RiseStar
August 12th, 2003, 11:18 AM
Pegasus Left out of NRTC Settlement
DirecTVs settlement with the National Rural Telecommunications Cooperative - concerning the dispute on the sale of premium programming and other issues - doesnt include Pegasus.
And the NRTC/DirecTV news sent Pegasus stock down more than 37 percent, to $23.10.
DirecTV said Pegasus will have an opportunity to join the NRTC settlement. However, whether or not Pegasus elects to join, DirecTV believes that all issues regarding how long Pegasus contractual rights last and its future relationship with DirecTV are resolved by this settlement because Pegasus rights are derived from the DirecTV/NRTC contract and this settlement resolves all issues under that contract, the satellite TV company said.
In a statement, Pegasus said it will evaluate the proposed settlement and other alternatives.
The company said its rights, including its exclusive right to distribute DirecTV programming in its rural territories, cannot be altered, amended or modified by DirecTV or NRTC without Pegasus agreement. Pegasus also said its claims will be resolved in court if the company and DirecTV do not agree to a bi-lateral settlement.
DirecTVs settlement with the National Rural Telecommunications Cooperative - concerning the dispute on the sale of premium programming and other issues - doesnt include Pegasus.
And the NRTC/DirecTV news sent Pegasus stock down more than 37 percent, to $23.10.
DirecTV said Pegasus will have an opportunity to join the NRTC settlement. However, whether or not Pegasus elects to join, DirecTV believes that all issues regarding how long Pegasus contractual rights last and its future relationship with DirecTV are resolved by this settlement because Pegasus rights are derived from the DirecTV/NRTC contract and this settlement resolves all issues under that contract, the satellite TV company said.
In a statement, Pegasus said it will evaluate the proposed settlement and other alternatives.
The company said its rights, including its exclusive right to distribute DirecTV programming in its rural territories, cannot be altered, amended or modified by DirecTV or NRTC without Pegasus agreement. Pegasus also said its claims will be resolved in court if the company and DirecTV do not agree to a bi-lateral settlement.