CINCINNATI, Oct. 11,
2023 /PRNewswire/ -- The E.W. Scripps Company
(NASDAQ: SSP) has successfully completed cable and satellite
carriage agreements that account for about 75% of the company's
subscriber households. The renewals also expand the number of
stations on which Scripps is paid a distribution fee, growing
revenue and expanding distribution margins.
Scripps President and CEO Adam
Symson says he is pleased the company created new value with
the agreements, and especially without the need to resort to
station blackouts that punish viewers and accelerate cord
cutting.
"In resetting rates for the vast majority of our pay TV
subscriber base this year, we reached agreements that reflect the
mutual benefit of our relationship with these important
distribution partners," Symson said. "In addition, we successfully
negotiated to receive new distribution fees for television stations
carrying local and regional sports.
"As we continue to sign new rights agreements in local markets,
we fully expect to partner with distributors and garner
distribution fees for the carriage of live sports."
Scripps recently launched Scripps Sports and Scripps News
programming on two full-power, independent stations in its existing
markets of Las Vegas and
Salt Lake City, where it already
operates ABC-affiliated stations. The new stations, Vegas 34 and
Utah 16, give Scripps 11 duopolies
across the United States and will
be new contributors to its distribution fee growth. Both are
broadcast over Scripps-owned transmission towers that formerly
broadcast ION programming, and ION is still carried on other
spectrum in those markets.
For full-year 2023, Scripps expects:
- $750 million in Local Media
division distribution revenue, nearly 15% growth over 2022
- A 40% increase in net distribution dollars
Separate from any new fees associated with incremental Scripps
Sports rights acquisitions, the company has 5% of its
cable/satellite households renewing in 2024 and in the low 20%
range in 2025.
"Scripps is now capturing full value for its pay TV households,
and the robust growth in our net distribution margin dollars and
gross revenue is a testament to the durable economics of the linear
TV marketplace at a time when most streaming services themselves
are unprofitable," Symson said.
"At Scripps, we are pursuing an all-of-the-above strategy with
the still-massive linear TV marketplace as our foundation,
bolstered by the appeal of free TV over the air, and with
aggressive distribution of our national and local brands on
connected TV and virtual pay TV platforms."
On Oct. 5, Scripps announced a new
agreement to televise all locally broadcast games of NHL's Arizona
Coyotes in Arizona and
Utah. Scripps also has an
agreement with the Stanley Cup winner Vegas Golden Nights in
Las Vegas, Utah, Idaho
and Montana. Scripps also carries
Big Sky Football Conference games in Montana and Idaho. In addition to its local sports rights
agreements, Scripps Sports is a broadcast partner for the WNBA,
televising its regular-season Friday night games nationally on the
ION television network.
Investor contact: Carolyn
Micheli, (513) 977-3732, carolyn.micheli@scripps.com
Media contact: Michael Perry,
(513) 259-4718, michael.perry@scripps.com
About Scripps
The E.W. Scripps Company (NASDAQ:
SSP) is a diversified media company focused on creating a
better-informed world. As one of the nation's largest local TV
broadcasters, Scripps serves communities with quality, objective
local journalism and operates a portfolio of 61 stations in 41
markets. The Scripps Networks reach nearly every American through
the national news outlets Court TV and Scripps News and popular
entertainment brands ION, Bounce, Defy TV, Grit, ION Mystery and
Laff. Scripps is the nation's largest holder of broadcast spectrum.
Scripps runs an award-winning investigative reporting newsroom in
Washington, D.C., and is the
longtime steward of the Scripps National Spelling Bee. Founded in
1878, Scripps has held for decades to the motto, "Give light and
the people will find their own way."
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SOURCE The E.W. Scripps Company