With Nexstar's retransmission agreement with DirecTV about to expire, Nexstar has posted a statement on its stations’ websites that DirecTV customers would lose access to the station’s programming if a new deal is not reached soon.
The deal reportedly expires at the end of June or early July. It could impact more than 160 Nexstar stations.
In a statement to TV Tech, Nexstar has said DirecTV rejected “the same fair market rates we offered to other large distribution partners” in other successfully concluded retransmission deals while DirecTV has complained that Nexstar is asking for “more than double” the amount it is currently getting.
Both companies declined to provide an exact date when the deal expires.
The current negotiations come in the context of ongoing legal battles between Nexstar and DirecTV.
DirecTV has an ongoing carriage dispute with Mission Broadcasting and White Knight that has kept stations from Mission and White Knight off DirecTV since October. DirecTV had filed a March legal suit against Nexstar and the other broadcasters, complaining that Nexstar has prevented the completion of a fair deal because it controls retransmission negotiations for Mission and White Knight. Nexstar has denied it has any involvement in those negotiations.
With the current deal with Nexstar about to expire, DirecTV filed an "informal complaint" with the FCC on June 30 alleging that Nexstar continues to violate media ownership and other rules by having de facto control over stations owned by Mission Broadcasting and White Knight, including in 25 markets where Nexstar also owns a top 4 local broadcaster.
In the FCC filing, DirecTV alleges that this control is exercised through a combination of services agreements, financing arrangements and option agreements, and is further evidenced by the behavior of Nexstar, Mission, and White Knight in retransmission consent negotiations with DirecTV. The Complaint also alleges that Nexstar, Mission, and White Knight have misled the FCC about these arrangements for years.
In response to the current retransmission dispute, Nexstar issued a statement to TV Tech saying, "Nexstar has been negotiating tirelessly and in good faith to reach a mutually agreeable multi-year contract with DirecTV since May, offering them the same fair market rates we offered to other large distribution partners with whom we successfully completed negotiations over the last three years. DirecTV has continuously proposed rates that are well below market for the valuable network and local community programming provided by our station(s), leaving us skeptical of whether they are motivated to reach a fair agreement. Nexstar routinely reaches amicable retransmission and carriage agreements with its cable, satellite, and telco partners. Since the beginning of 2020, Nexstar has successfully completed agreements with 500 distribution partners, covering more than 90 percent of the company’s nationwide footprint. In 2022 alone, we successfully completed agreements with more than 50 of our distribution partners, including several large distributors.”
In a statement to TV Tech regarding the current negotiations, DirecTV said “Nexstar, the nation’s largest broadcaster, is demanding to more than double the amount it charges our customers to access approximately 200 local stations it owns or controls in more than 100 metro areas that serve 68% of U.S. TV households. Unfortunately, Nexstar has a long track record of demanding significantly higher fees from all pay TV operators and often forces providers to stop carrying their channels during negotiations. DirecTV will take the necessary actions to provide our customers access to their favorite programming while protecting them from unwarranted price increases.”
