Reports: DISH Network Corp's CBS Pact Gets Temporary Extension

DISH Network Corp

gained more than 2 percent on news it obtained a temporary extension on its contract to rebroadcast content from CBS Corp.

in six major markets. http://www.latimes.com/entertainment/envelope/cotown/la-et-ct-deadline-looms-cbs-dish-network-20141120-story.html The Englewood, Colo., satellite TV company lost programming last month from Turner Networks' Boomerang, Cartoon Network, CNN when the two companies failed to negotiate renewed terms of a distribution agreement. http://dish.client.shareholder.com/releasedetail.cfm?ReleaseID=877128 Increasing demands by broadcasters for higher rates "have resulted in more frequent negotiating impasses and interruptions of service," DISH told investors earlier this year. https://www.sec.gov/Archives/edgar/data/1001082/000110465914012023/a13-26242_110k.htm#Item1_Business_193441 CBS last week ran advertisements in warning customers in affected markets that CBS could soon go dark on DISH, emphasizing the potential loss of the NFL. The 14 markets include New York, Los Angeles and San Francisco, Dallas, Minneapolis and Detroit. Wunderlich analyst Matthew Harrigan recently said he expects a loss of subscribers from the Turner fiasco as well as potential disruptions caused by CBS negotiations. Harrigan noted that AMC Networks recently warned customers of DISH competitor DirecTV that they could lose programming in December "This again conveys that content owners are advantaged relative to distributors in posturing with consumers' Harrigan said. DISH Chairman Charles Ergen has said the loss of CBS "could be disruptive," although Ergen has "remained positive" on reaching a deal, according to Harrigan, who maintains a Hold rating on DISH and $60 target. DISH changed hands recently at $73.47 a share up $1.25.