Trial in CBS-TV and Fox copyright infringement suit against EchoS...
Trial in CBS-TV and Fox copyright infringement suit against EchoStar over latter’s carriage of distant network signals is scheduled to open April 7 in U.S. Dist. Court, Miami, EchoStar said in annual 10-K report filed with SEC. Trial comes…
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nearly 5 years after filing of initial suit involving networks, EchoStar and PrimeTime 24, which provided distant network programming for satellite service. EchoStar since has reached settlements with ABC (April 2002) and NBC (Nov. 2002). It also settled with PrimeTime 24, which filed breach-of-contract suit against satellite service in Sept. 1998 seeking $10 million in damages. Suit has bounced between federal district and appeals courts for much of 5 years. Federal judge granted preliminary injunction in Sept. 2000, blocking EchoStar from continuing to provide distant network signal. But ruling was overturned by 11th U.S. Appeals Court, Atlanta, which held lower court’s ruling wasn’t supported by evidence and returned it for further proceedings. Six of original 8 plaintiffs, including CBS-TV and Fox, entered court- ordered mediation with EchoStar in late Jan. Meanwhile, company said EchoStar IX satellite was scheduled for May launch aboard rocket using Boeing sea launch vehicle positioned near equator. EchoStar IX, which has thirty-two 120-w transponders, will be located at 121? W and will provide Ku-/Ka-band spot beam service. Space Systems/Loral satellite also has C-band payload. Bird is expected to be operational 60-90 days following launch, EchoStar spokesman said. Still in limbo are EchoStar’s plans for VisionStar, which has license for Ka-band satellite at 113? W. EchoStar owns 90% of VisionStar and has asked FCC for extension after failing to meet construction and launch milestones. It paid $2.8 million last year to increase stake in VisionStar to 90%. VisionStar had missed April 30 and May 31, 2001, deadlines for construction and launch of satellite, and FCC previously had denied request for extension. EchoStar also appears to have narrowed its list of OEM customers to Canada’s Bell ExpressVu. Not mentioned in annual 10-K is previous agreement with Via Digital, which is expected to be sold to France’s Canal Plus. Elsewhere in annual report, EchoStar said it reduced monthly churn rate for year ended Dec. 31 to 1.59% from 1.6% year earlier and average subscriber acquisition costs were $421.