$700 million TV offer from Seven-Ten bid

[one-eyed]

TV puts callers on hold
By Daryl Timms
Herald-Sun
November 04, 2006

SEVERAL top football commentators have been left in limbo as Channels 10 and Seven continue to negotiate with pay TV operator Foxtel.

The number of games Seven plans to telecast ranges from two to four, but depends on the network offloading games to another outlet.

The Seven and Ten consortium paid $760 million for the AFL television rights for 2007-2011. But under the agreement they must telecast all eight games or allocate games to another broadcaster.

Fox Footy was aligned to Channel 9's failed bid and went off the air the day after the AFL Grand Final.

About 50 people were employed by Fox Footy but most left the City Rd, Southbank, station on Tuesday when their contracts expired. Only a handful have been retained to work for Foxtel.

Foxtel has put in a bid for four matches to screen on Fox Sports 3, but it has been unable to agree on a price with the two free-to-air networks.

The confusion delayed the AFL fixture release and is now affecting commentators.

Several commentators who have applied for roles with Seven have been told that no jobs can be offered until it's known how many games it will broadcast.

Some commentators, including Brian Taylor and Dwayne Russell (Channel 9) and Tony Shaw (Fox Footy), also have radio commitments, but don't know whether to expand them.

Fox Footy's Clinton Grybus is also waiting for the deal to be done, as is co-commentator Kevin Bartlett.

While many believe an agreement with Foxtel is inevitable, there's a possibility it could still be weeks away.

Football's leading commentator, Nine's Dennis Cometti, is unsure whether he'll be calling football on TV next season.

His contract with Nine expires next month and he said last night he'd had no approach from Seven.

"I have no idea what's happening," Cometti said.

"They (Channel 9) have been terrific and there's been no urgency about it. But I haven't heard a thing."

Cometti said he had been happy to talk to Seven, but it depended on whether it believed there was a role for him.

http://www.foxsports.com.au/story/0,8659,20697574-23211,00.html

[one-eyed]

Sell-out claim on AFL TV deal
Mark Day
The Australian
November 16, 2006

AUSTRALIAN football rights holders Channel 7 and Channel 10 are looking to community television stations in Sydney and Brisbane to meet their obligation to broadcast eight live AFL games a week and avoid a financial black hole on Friday and Sunday nights.

The surprise move was confirmed yesterday by the acting chief executive of Sydney's TVS Channel 31, Laurie Patton. He told Media: "There have been some discussions and we would be delighted to provide air time for this to occur. We see it as a very strong delivery of our community obligations under our licence conditions."

It is understood the AFL consortium of Seven and Ten has drawn up contingency plans to purchase air time on TVS and the Brisbane community station Briz31 if no agreement can be reached with pay-TV provider Foxtel.

Negotiations between the groups have been drawn out and acrimonious, with the parties reportedly $15 million apart.

Under the terms of Seven and Ten's $780 million five-year agreement with the AFL, the free-to-air broadcasters have the right to on-sell up to four games a week to pay TV. If no agreement is reached, they will be bound to broadcast all eight games a week on free-to-air. This includes one game on Friday night and a new twilight game on Sunday evening which must, under the contract, be broadcast live nationally.

This will suit Seven and Ten in the AFL southern states but is a recipe for financial disaster in NSW, ACT and Queensland. The ratings for live AFL head to head against an NRL double-header on Nine on Friday night, and Sunday league games leading into Nine's 6pm news, would be minuscule.

Seven refuses to detail its plans but has made it known that it has no intention of crippling its prime-time programming in Sydney and Brisbane, and has developed contingency plans with which it is "quite comfortable".

But the AFL is reported to be deeply unhappy with the plan to use the community channels. No AFL official would comment yesterday, but it is understood the AFL is seething over what it sees as a sell-out by Seven and Ten.

"There is no way that this is in the spirit of the agreement," a source said. "The whole aim is to put football before the biggest possible audience. That's what Seven promised. This trashes that promise."

Many households in Sydney are unable to pick up UHF channel 31 and the channel operator, Television Sydney, is under great financial pressure. TVS has its studios on the campus of the University of Western Sydney and broadcasts from the ABC's Gore Hill tower.

But its UHF signal is weak and regarded as inferior by those who can pick it up.

Station sources admitted there were black spots, including the northern beaches, but the signal was available in most elevated areas of Sydney, from Wollongong to the central coast.

Brisbane's Channel 31 signal is more widely received but neither community channel extends to country areas, which will disappoint the AFL because it is keen to promote its code throughout the nation.

The financial future of TVS is under a cloud. Last month it was reported it would soon run out of cash unless more funds were made available by the University of Western Sydney. It has already committed $1.5 million and guaranteed a $2 million bank loan.

The station is reportedly losing $73,000 a month. As a community station it is entitled to sell up to eight hours a day of air time to outside profit-making companies and it can carry seven minutes an hour of sponsorship advertising.

This means the consortium could buy the air time it needs on Friday nights and Sunday evenings, while keeping the revenue from selling up to 21 minutes of advertising during a three-hour game. A deal with the Seven-Ten consortium might provide financial salvation for the station, as well as being a way to protect as much revenue as possible. But it would be a far costlier exercise than doing a deal with Foxtel, which has offered $45 million for the rights to broadcast four live games a week, plus replays of all other games. Seven and Ten have demanded $60 million.

If the Seven-Ten consortium pays TVS and Briz 31 for air time to show the Friday night and Sunday evening games, it will increase the cost impact of the rights purchase.

The consortium will have to pick up the entire cost of production for eight matches a week, as well as forgo advertising and revenue from Foxtel. Market analysts estimate the negative impact of a go-it-alone decision at $80 million a year.

Seven would not comment yesterday.

http://www.theaustralian.news.com.au/story/0,20867,20765443-2722,00.html

[one-eyed]

Packer the stumbling block in AFL's TV deal
Caroline Wilson
The Age
November 21, 2006

CHANNEL Nine boss James Packer is believed to have been the major influence behind Foxtel's refusal to complete an AFL broadcast deal with Channels Ten and Seven.

The Publishing and Broadcasting Limited chief has been reluctant to increase Foxtel's $45 million bid for a four-game weekly package of home-and-away matches, which has been rejected by the new AFL media consortium.

With the issue of the AFL's 2007 TV fixture certain to come to a head over the next week, football and broadcasting chiefs met in Werribee last night, midway through the AFL's two-day think-tank.

While the two parties remained divided over whether a community network such as Channel 31 would be legally allowed under the terms of the new broadcast agreement to televise Friday night games into Sydney and Brisbane, The Age understands that several other options remain open to Seven should it fail to sell its Friday night games in the tough northern markets to Foxtel and its Fox Sports Three.

It remains more than likely that a pay network such as ESPN will televise those games for Channel Seven, despite yesterday's insistence from TVS chief, Laurie Patton, that TVS had invested in a powerful transmitter that gave it the ability to be seen across Sydney.

"TVS broadcasts from the same Gore Hill tower as the ABC and SBS and shares a high-powered antenna with SBS," Patton said.

"According to our transmission company, Broadcast Australia, TVS' coverage of Sydney is broadly comparable with SBS and the ABC — reaching more than two million potential viewers."

Seven's Melbourne chief Ian Johnson, along with Ten chairman Nick Falloon and his chief executive Grant Blackley, News Limited executive Julian Clarke and Telstra's Justin Milne attended last night's commission meeting.

News Limited and PBL are joint owners of Foxtel, and News Limited executives have privately conceded to the AFL that the PBL board has been unwilling to increase its $45 million bid.

Although Channels Seven, Ten and Foxtel are expected to meet before a final decision is reached, the deadline for next year's broadcast commitments remains unofficially set by the free-to-air networks as the start of December.

Seven and Ten have already planned a public announcement of their 2007 eight-games-a-round fixture and it is believed the two networks have no intention of going back to the negotiating table with Foxtel at the end of next season should a deal not be reached.

http://www.realfooty.theage.com.au/realfooty/articles/2006/11/20/1163871340092.html

[Fishfinger]

With the issue of the AFL's 2007 TV fixture certain to come to a head over the next week, football and broadcasting chiefs met in Werribee last night

If it's going to hit the fan next week they're where plenty is stored up. 

What about the regional audience? They wouldn't get ch31 (lucky buggers   ), would they get TVS?

[mightytiges]

What a joke this is. The country's most popular sport on community tv. Next they'll have the bloke from Versali's Garden on Ch 31 as goalumpire and every time there's a goal he'll give the thumbs up and say "maresi" (I hope I got the Greek right Ramps).

[WilliamPowell]

What about the regional audience? They wouldn't get ch31 (lucky buggers   ), would they get TVS?

I reckon the Regionals are covered FF because the Prime Network will take the coverage and where Prime can't it will be Southern Cross.

The problem area will be live into Sydney & Brisbane - local.

I still think ESPN is in with a show

Typical bloody Packer attitude - sook sook - my personal view has always been that Foxtel needs the footy - it will hurt them if they don't have some sort of AFL coverage

[one-eyed]

Footy goes to air for free
Caroline Wilson
The Age
November 23, 2006

EVERY AFL game will be shown on free-to-air television next season following yesterday's breakdown of last-ditch negotiations between Channels Seven, Ten and Foxtel.

Seven and Ten, which in January won the AFL television rights with a $780 million bid over five years, vowed privately last night that they would show all AFL home-and-away games and finals until 2011.

They have already begun preparing an advertising campaign urging pay TV subscribers to turn in their transponders.

The breakdown in talks means the networks will be paying almost double what they had planned. The financial winners will be AFL fans, who will no longer have to pay to watch AFL games.

As first revealed by The Age in September, community station Channel 31 is now likely to be called in to show matches and football events that Seven and Ten are committed to under their contract with the AFL. This could include some pre-season games into Melbourne.

The stand by Seven and Ten followed an uneasy meeting in Sydney yesterday involving Foxtel chief executive Kim Williams, Seven CEO David Leckie and Ten's Grant Blackley. Mr Williams said Foxtel would not increase its $45 million offer to show four games a week. The networks want $60 million.

AFL chief executive Andrew Demetriou expressed his displeasure at the prospect of Channel 31 broadcasting games, but said it was not the AFL's problem if a deal could not be struck.

"Seven and Ten have purchased the right to eight free-to-air games and the right to on-sell up to four games to another broadcaster should they come to an arrangement. Failing that, they will be showing eight games on free-to-air and that's what we expect," he said.

Demetriou would not say whether the AFL would veto any deal to on-sell games to Channel 31, but added: "Last time I checked I couldn't get Channel 31."

The AFL would be happy to see games on SBS, the ABC or Foxtel. When asked about a possible deal with Channel 31, Demetriou replied: "We'd be thrilled with ABC and SBS."

Only a major policy backflip by Foxtel and its key shareholder, Publishing and Broadcasting Limited, could now see AFL football shown next year on the recently launched Fox Sports Three.

Mr Williams told the free-to-air networks that Foxtel planned to retain some commitment to AFL through panel programs such as On The Couch.

Seven and Ten executives, who dined with AFL officials at Werribee earlier this week, told them that yesterday's meeting would prove the final chance for Foxtel to come back on board.

Ten chairman Nick Falloon is believed to have emphasised that Foxtel would miss out on football for five years if it did not come on board.

The AFL is believed to have written to Seven and Ten requesting details of their proposed deal with Channel 31, including the quality of its signal. The community network might also be used to televise events such as the All-Australian team announcement, the AFL draft and Hall of Fame inductions.

http://www.realfooty.theage.com.au/realfooty/articles/2006/11/22/1163871482557.html

[one-eyed]

From the Herald-Sun
23 November 2006 
Daryl Timms

Demetriou also said he was not embarrassed that Channels 9 and 10 were still negotiating with other parties to broadcast AFL matches.

He said the AFL had received its first payment from the two free-to-air networks that have paid $780 million to broadcast footy for the next five years.

The deal allows for the two networks to show all eight games a week on commercial TV or they can on-sell up to four games to another broadcaster.

"I have no reason to doubt that they will fulfil their contractual obligations, so it's not embarrassing for us at all," Demetriou said.

"Since this arrangement has been announced, I have heard that they are selling rights to SBS, they are selling the rights to the ABC and they are selling the rights to Foxtel, Fox Sports, ESPN and Channel 31. I don't know whether any of those are correct."

Demetriou said there had been no deadline set and he did not see any problem from the AFL's behalf if the deal was done just before the start of next season.

He conceded the AFL did have the right of veto but would not speculate if it would be used should the two networks strike up a deal with community network Channel 31.

"Last time I checked, I couldn't get Channel 31. I think I got the trots on it a few years ago in the snow," he said.

Demetriou said the AFL would be thrilled if a deal could be done with Foxtel, the ABC or SBS. But asked about Channel 31, he replied: "We'd be thrilled with the ABC and SBS."

http://www.heraldsun.news.com.au/footy/common/story_page/0,8033,20805499%255E20322,00.html

[Moi]

Apparently there's going to be ads to tell people to get rid of their pay TV subscription because of the breakdown with Foxtel
Goody, then we could watch 20 to 1 and CSI shows all week long 
Yeah, I know it's 9, but free-to-air at the moment is crap.
Apologies to the ABC

[WilliamPowell]

From the Herald-Sun
23 November 2006 
Daryl Timms

Demetriou also said he was not embarrassed that Channels 9 and 10 were still negotiating with other parties to broadcast AFL matches.

Andy D may not be embarrassed but Mr timms should be - Channels 9 and 10...  get with times Daryl - Ch 9 is history

And just a bit advice to Andy D - update your web-site man your TV broadcast partners are Channels 7 and 10
not 9 & 10 - I know it kills ya' but 9 are gawn 

[mightytiges]

Agree Moi. FTA tv is mostly crap at the moment  .

How is Foxtel going to do without footy  ??? Alot of people only had it mainly for the footy.

[WilliamPowell]

Fun times ahead I reckon.

From where I am sitting ABC2 is looking mighty good to assist Chs 7 & 10 with coverage into Sydney

I have to say for tiger fans with us having 5 interstate trips in 2007 the idea that everyone will have the ability to see them is a good thing for the fan.

[one-eyed]

Foxtel vows to take on AFL using rival codes
Caroline Wilson and Michael Gleeson
The Age
November 24, 2006

FOXTEL chief executive Kim Williams has vowed to take on AFL football through his network's three rival codes — soccer, rugby union and rugby league.

Conceding that Foxtel's bid to televise four AFL games a week in 2007 was now almost certainly doomed, Mr Williams launched a stinging attack on Channels Seven and Ten for their arrogance and inconsistency and accused the free-to-air networks of deceiving the football public.

"People forget we hold the rights to the three other football codes in this country," an angry Mr Williams told The Age. "I do know that we televise 100 per cent of A-League games every week, 100 per cent of the Super 14s and five out of eight rugby league games every week.

"Does that mean there will be competition? You betcha."

While AFL chief executive Andrew Demetriou yesterday applauded the televising of all eight games each week on free-to-air as "great for the game", it seems certain the AFL will prevent community network Channel 31 from televising Friday night games into Sydney and Brisbane and also from showing pre-season games into Melbourne.

"I can't get Channel 31," he reiterated. "I don't know if many people can, so as it stands today all I know is we've got football on Seven and Ten," he said. He said that the AFL reserved the right to sanction which stations were sub-licensed to show football.

Agreeing that the dispute between the AFL's five-year pay TV partner and Seven and Ten centred on money, Mr Demetriou said eight games on free-to-air would increase the game's audience.

Said Mr Williams of the Channel 31 proposal: "That is consistent with the level of respect Seven and Ten have brought to the negotiating table."

Making it clear that Wednesday's last-ditch talks with Channels Seven and Ten — as revealed in yesterday's Age — had been punctuated with acrimony and accusations, Mr Williams again stressed that Foxtel's annual $45 million offer for four weekly games was identical to the offer made in partnership with Channel Nine last December. Seven and Ten, which have placed an asking price of $65 million on a four-game package but would accept $60 million, firmly believe Foxtel was paying $60 million as part of the Nine bid.

But Mr Williams said that was untrue and Seven and Ten were "deceiving everyone". He also denied that the loss of AFL games would irreparably damage Foxtel. "As I said to Seven and Ten, in terms of South Australia and Western Australia, the impact on our subscriptions will be zero. Not once have we been able to televise local games into those states," he said.

"What we did do was celebrate, interrogate and appreciate the code through our overall coverage. We will wait for the market to decide."

Channel Seven's football boss Ian Johnson said his network would now set about preparing its return to AFL via a four-game commitment and would soon appoint its expanded commentary team on that basis.

Mr Demetriou said he did not believe the game's brand or prestige was damaged by being bandied about between networks and potentially foisted onto a low-scale community station in their prime growth markets. "It's a fantastic outcome for our supporters, I don't know why anyone thinks it's damaging our brand," he said.

http://www.realfooty.theage.com.au/realfooty/articles/2006/11/23/1163871551066.html

[one-eyed]

Seven, Ten play hardball on AFL rights
24 November 2006   Herald-Sun
Daryl Timms

CHANNEL 7 has set a seven-day deadline to find another broadcaster to televise AFL games next season.

If one is not found by next Friday, Seven and its AFL television-rights partner Channel 10 will show all eight games each round between them.

The networks have tried to sell four games each round to Foxtel. However the pay-TV provider has offered $45 million, not the $60 million asking price.

After paying $780 million for the television rights for the 2007-11 seasons, the two commercial networks say they will not budge on their asking price for four games. Nor will Foxtel, which planned to show the games on Fox Sports 3.

AFL chief executive Andrew Demetriou said this week the league had an agreement with Channels 7 and 10 to show eight games.

He said the agreement was that the two networks had to televise all eight games, but could sell up to four games.

Although SBS and the ABC have been linked as the third broadcaster of games, Demetriou cast doubts on community station Channel 31 having the penetration required to show matches.

Channel 7's Melbourne boss Ian Johnson said yesterday the two networks had no option but to show all eight games after more talks with Foxtel this week broke down.

"This is all getting very close to the absolute deadline, in my opinion, because we have to book OB (outside broadcast vans), get crews and commentators and we have to get out in the marketplace to sell this stuff," Johnson said.

"If we can't come to an arrangement, we just have to move on. We have got no choice.

"I think the footy fans will be rapt, but I can't deny that it's not ideal for us."

Channel 7 ideally would like to televise two games a round, which would leave Channel 10 with two, while Foxtel would be allocated four.

Johnson said the absolute deadline to find another broadcaster would be December 1 -- next Friday.

He said it was not ideal for the two networks to broadcast games against each other in similar time slots.

While it was reported yesterday that Channel 31 could broadcast games in Melbourne next season, the station vigorously denied the claims in a press release yesterday.

However, as was reported last week, TVS in Sydney and Brisbane's Channel 31 have been approached by Seven and Ten to broadcast games in their states.

Channel 10's marketing and publicity manager for sport Gus Seebeck said yesterday his network had been preparing for quite some time for the possibility of broadcasting four games.

"And it's something that we are very comfortable with and, certainly from where I sit, quite excited about," Seebeck said.

"It's now at a time where everyone has to put things into place to prepare for next year. We are obviously heading well down that path now."

Foxtel chief executive Kim Williams told the Herald Sun last night: "We take no pleasure in this position, but we have been consistent from day one (May 31).

"While we still retain a very strong commitment to the AFL, we are not willing to go beyond the money ($45 million) we put on the table some months ago.

"Is it over? I'm old-fashioned. I think you never say 'never'. I think it's bad luck to say that."

Williams reiterated that the Foxtel offer to Seven and Ten was exactly the offer to PBL in the joint Nine-Foxtel offer.

A Foxtel spokesman said: "They seem to think that if they keep rattling the cage, more money will fall out.

"It won't."

http://www.heraldsun.news.com.au/footy/common/story_page/0,8033,20812912^20322,00.html

[WilliamPowell]

Had to chuckle

FOXTEL chief executive Kim Williams has vowed to take on AFL football through his network's three rival codes — soccer, rugby union and rugby league.

"People forget we hold the rights to the three other football codes in this country," an angry Mr Williams told The Age. "I do know that we televise 100 per cent of A-League games every week, 100 per cent of the Super 14s and five out of eight rugby league games every week.

"Does that mean there will be competition? You betcha."

He is right they do have the rights to all this codes but...ummm.... last time I checked the A-League is a summer sport so how can they use it to take on the AFL coverage when it wont be on?

The Super 14's lasts er... what... 14-16 weeks and are over by the middle of the year so I am confused.

The only code they will really have to take on the AFL coverage is the NRL which is fine and good because I don't mind league.

But they have 3 dedicated sports channels and I cannot see where they are going to get the content now to fill 'em