DirecTV, Tribune Broadcasting Reach Deal

by InvestorPlace Staff | April 5, 2012 1:30 pm

DirecTV, Tribune Broadcasting Reach Deal

A short tiff between Tribune Broadcasting and DirectTV (NASDAQ:DTV[1]) that affected content for about 5 million U.S. households has been resolved.

The two companies said Wednesday that they reached a five-year deal restoring DTV’s access to local stations as well as WGN America, according to the Associated Press[2]. The channels had been blacked out since Sunday while the two remained at odds over a new deal.

Roughtly 19 U.S. markets were affected, including New York City, Chicago and L.A. Programs from American Idol to Major League Baseball broadcasts went dark, the AP reported.

DirecTV released a statement saying Tribune Broadcasting was “willing to hold our customers hostage in an attempt to extract excessive rates.” However, while terms of the new deal were not released, DTV signaled they were fair.

DTV shares were up about 1.5% to $49.60 in afternoon trading, continuing a 15% climb that has the stock approaching all-time highs around $53.

Endnotes:
  1. DTV: http://studio-5.financialcontent.com/investplace/quote?Symbol=DTV
  2. Associated Press: http://news.yahoo.com/tribune-broadcasting-directv-reach-5-deal-020937643.html

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