AMC Networks

Posted on October 5, 2014 by mtzukin

by Meg Zukin

AMC Networks

photo courtesy of under consideration.com [i]

Contact Information[ii]—

11 Penn Plaza

New York, NY 10001

Main phone: 212-324-8500

http://www.amcnetworks.com

About—

AMC Networks is an American entertainment company which owns and operates AMC, BBC America, IFC, Sundance TV, WE, IFC Films, and AMC Networks International. Initially, AMC was known as Rainbow Media Holdings and until 2011, was a subsidiary of Cablevision Systems. In 2011, Cablevision made Rainbow Media Holdings a publicly traded company and changed its name to AMC Networks [iii].

AMC has recently gained momentum through television shows like The Walking Dead, Mad Men, and Breaking Bad, on its cable channel, AMC [iv]. IFC Films and its affiliate channel, IFC, are responsible for indie films like Boyhood [v] and quirky television comedies like Portlandia [vi]. Recently, the company acquired a 49.9% stake in BBC through a joint venture that cost $200 million [vii].

Key Executives—

Charles Dolan, Executive Chairman AMC Networks

Josh Sapan, President and CEO of AMC Networks

Charlie Collier, President and General Manager of amc

Jennifer Caserta, President and General Manager of IFC

Sarah Barnett, President and General Manager of BBC America and SundanceTV

Jonathan Sehring, President of Sundance Selects and IFC Films

Marc Juris, President and General Manager of WE tv

Pictures and titles courtesy of http://www.amcnetworks.com/about-us/leadership [viii]

Financials—

AMC Networks just reported its third quarter earnings. Net revenues increased a whopping 31.4% to $520 million [ix]. International revenue reached $122.7 million, up 765% from last year. This could be attributed to acquisitions of both BBC and Chellomedia, a deal AMC made in February which gave them a stack of networks in Europe, Latin America, the Middle East, and Asia [x]. The company also reported earnings of $53.2 million, or 74 cents a share. Analysts estimated that AMC Networks would come in at 73 cents a share and thus, they surpassed projections [xi].

According to the third quarter report, AMC Networks is currently working with a $110 million operating income [xii].

When the market closed on December 1, 2014, AMCX was down 1.34% at $63.99 per share. The company hit a low-point in mid-October at $52.75 per share and was at its highest in March at $77.40 per share. Looking at the past 3 years (when AMCX became a publicly traded company), we see exponential growth overall.

photo courtesy of Google Finance [xxx]

What’s Happening Now?—

Sarah Barnett Named President and General Manager, BBC America

AMC Networks announced last week (November 21, 2014) that current SundanceTV chief, Sarah Barnett, would be moving up to President and General Manager of BBC America [xiii]. Barnett began her career at BBC in production before she spent a decade at SundanceTV. She will start her new position in January, surveying over both SundanceTV and BBC America until AMC taps someone else to oversee SundanceTV. The current General Manager at BBC, Perry Simon, who was on the team behind Orphan Black, is moving to production with BBC Worldwide North America [xv].

Barnett certainly has the chops for an upgrade in position. Under her reign, she established Sundance as an original programming network with shows like Rectify, Top of the Lake, and The Honourable Woman [xvi] With this new position she will continue to report to Ed Carroll, Chief Operating Officer of AMC Networks.

AMC Announces Two-Night Premiere for Spin-Off Series “Better Call Saul”

AMC’s next new drama series, Better Call Saul, will debut on Sunday, February 8 with its second episode debuting the next night, Monday, February 9 [xvii]. The series follows Breaking Bad character Saul Goodman, prior to him becoming Walter White’s lawyer lawyer.

video courtesy of AMC Networks on Youtube [xviii]

The back-to-back premiere is “AMC’s first ever two-night series premiere event” according to Charlie Collier [xix]. Season one is slated for 10 episodes and Talking Dead will air before it, a solid segue for high-ratings for both shows. Breaking Bad creator Vince Gilligan co-created the spin-off with writer-director Peter Gould [xx].

AMC Networks and BBC Worldwide Enter Partnership

In October, AMC Networks bought a 49.9% stake in the BBC America cable channel. They paid $200 million to BBC Worldwide and the marriage between the two companies leaves BBC with a 50.1% stake in BBC America [xxi]. BBC America is available in almost 80 million homes domestically and was the most critically acclaimed channel on ad-supported television in 2013 [xxii].

BBC America will be managed as a standalone channel within AMC, much like how AMC, WE tv, and SundanceTV are operated. Even though BBC still has a grander stake in its American counterpart, AMC Networks will maintain operational control over the company, as well as affiliate and advertising sales [xxiii].

This agreement occurred almost exactly on the one-year anniversary of AMC’s $1 billion acquisition of Liberty Global’s international network, Chellomedia. That acquisition led to AMC Networks International which is available in 140 countries [xxiv].

AMC Networks/IFC Films Acquires Rights to “October Gale”

IFC Films bought the American rights to writer-director Ruba Nadda‘s thriller, October Gale, which premiered at the Toronto Film Festival. IFC Films also released another film by Nadda, Cairo Time. The film stars Patricia Clarkson, Tim Roth, and Scott Speedman. Clarkson plays a doctor who takes in a skeptical man when he floats ashore at her secluded cabin with a gunshot wound [xxv]. Myriad Pictures is handling worldwide sales.

Fred Armisen and Carrie Brownstein Return to Portlandia

Portlandia will return to IFC for its ten-episode fifth season in January. This season will showcase a laundry list of cameos including Vanessa Bayer, Steve Buscemi, Peter Giles, Justin Long, Shepard Fairey, Jane Lynch, and Olivia Wilde, amongst others [xxvi].

video courtesy of IFC Youtube

Viewers will be able to recap previous seasons on New Year’s Day when IFC will air a marathon but seasons 1 through 4 are also available on Netflix and iTunes [xxvii].

IFC Orders New Comedy Series: “Gigi’s Bucket List”

IFC has ordered a series starring David Krumholtz as “Gigi,” a 72-year-old Jewish grandmother from Boca Raton, Florida. Krumholtz is also an executive producer along with Grandma’s House Entertainment.

It will shoot this year and is slated to air in 2015. Gigi indulges herself after she discovers that she has access to her dead husband’s bank account [xxviii]. This series fits in with IFC’s quirky personality and will air in 73 million U.S. homes [xix].

David Dobkin to Direct “Badlands” for AMC

In July, AMC ordered Badlands, a martial arts drama that is loosely based on the Chinese Journey to the West. It is the third AMC series that was picked up straight to series at the network [xxxi].

However, it was announced on November 24, 2014 that director David Dobkin has signed onto the project as series director and executive producer. Dobkin has worked on Wedding Crashers and Shanghai Knights previously. AMC bought six, one-hour, episodes with an expected premiere either in late 2015 or early 2016 [xxxii].

Works Cited—

[i] AMC Logo accessed 11/20/2014

[ii] AMC Contact accessed 11/20/2014

[iii] Hoovers AMC profile accessed 11/20/2014

[iv] AMC Shows accessed 11/20/2014

[v] Boyhood, IFC accessed 11/22/2014

[vi] Portlandia, IFC accessed 11/22/2014

[vii] AMC Networks/BBC accessed 11/22/2014

[viii] AMC Leadership accessed 11/22/2014

[ix] Quarter Earnings accessed 11/30/2014

[x] Chellomedia deal accessed 12/1/2014

[xi] Quarter projections accessed 11/30/2014

[xii] Operating income accessed 11/30/2014

[xiii] Sarah Barnett, BBC accessed 11/22/2014

[xiv] Perry Simon future plans accessed 12/1/2014

[xv] BBC Worldwide North America accessed 12/1/2014

[xvi] Sarah Barnett at Sundance accessed 11/22/2014

[xvii] Better Call Saul premiere accessed 10/28/2014

[xviii] Better Call Saul video accessed 12/1/2014

[xix] AMC double night debut accessed 12/1/2014

[xx] Co-creators Better Call Saul accessed 12/1/2014

[xxi] BBC deal accessed 11/24/2014

[xxii] Metacritic BBC critically-acclaimed accessed 11/29/2014

[xxiii] BBC America management accessed 12/1/2014

[xxiv] Chellomedia acquisition accessed 12/1/2014

[xxv] October Gale acquisition accessed 10/28/2014

[xxvi] Portlandia fifth season accessed 12/1/2014

[xxvii] Recap New Year’s Day accessed 12/1/2014

[xxviii] IFC orders comedy series accessed 12/1/2014

[xix] IFC series accessed 12/1/2014

[xxx] Current state of stock market accessed 12/1/2014

[xxxi] Badlands accessed 12/1/2014

[xxxii] David Dobkin signs on accessed 12/1/2014

AMC Networks

Posted on October 30, 2013 by Valerie Champeau

By Val Champeau

-courtesy of AMCtv.com

AMC Network Entertainment LLC.

11 Penn Plaza, 15th Floor
New York, NY 10001
646-273-7105

http://www.amcnetworks.com/

History

AMC Networks was originally known as, Rainbow Media Holdings, LLC. Rainbow, formed in 1980, started as a small network originally only including Bravo and SportsChannel New York. The Cablevision owned media conglomerate would, less than a decade later, go on to merge with NBC in 1988. This merger gave NBC 50% ownership of Rainbow Media in the original deal. After decades of trades, gains, and mergers, Cablevision considered taking Rainbow Media public, but did not actually go through with the deal until 2011. [1]

-courtesy of lyngsat-logo.com

On March 10th, 2011, Cablevision took Rainbow Media broke it off into a publicly traded company, AMC Networks today. Congruently, with AMC going public, Cablevision kept their cable business still as a private entity. [2]

Since going public, AMC has hit the ground running. Most recently, 2013, AMC Networks acquired the international content division of Liberty Global, Chellomedia, for a reported 750 million Euros, or $1.04 billion. This deal now gives AMC Networks access to approximately 138 countries. [3]

Financials

Most recently, in the 3rd quarter of 2013:

Net revenue increased by 19.1% to $395 million
Operating income increased 40.9% to $122 million
Adjusted Operating Cash Flow (AOCF) increased 25.4% to $137 million

“Our solid financial results in the third quarter were driven by a return on our investment in original programming…Our shows are performing well on IFC, Sundance Channel and WE tv. At AMC, our acclaimed series Breaking Bad came to a close with record viewership and the Emmy Award for Oustanding Drama Series, and The Walking Dead kicked off its fourth season with record ratings that extended its reign as the #1 show on television among adults 18-49. With our Chellomedia acquisition, we believe we will over time further capitalize on demand for our content by growing internationally, a key strategy to ensuring our long-term success.”

–Josh Sapan, AMC Networks President and CEO [4]

Looking at AMC Networks‘ one year stock evaluation it seems that the company, although currently in the red, has stayed relatively stable since going public. [5]

Key Executives

Josh Sapan

President and CEO AMC Networks INC

-courtesy amcnetworks.com

Josh Sapan has been the President and CEO of AMC Networks Inc since March 9, 2011. He was brought over from his previous position as CEO of Rainbow Media Holdings (Now AMC Networks), where he was employed since, 1995. Sapan currently serves on the boards of The Cable Center, CTAM, The New School and many others. [6]

Ed Carrol

Chief Operating Officer AMC Networks Inc.

-courtesy amcnetworks.com

Ed Carrol oversees all operations for each brand associated with AMC Networks – AMC, WE tv, IFC, and Sundance Channel. He is also responsible for ad sales in the company’s international divisions (AMC/Sundance Channel Global). He has been with the company for 24 years. [7]

Sean S. Sullivan

Executive Vice President and Chief Financial Officer AMC Networks Inc.

-courtesy amcnetworks.com

Sean S. Sullivan is responsible for all of AMC Networks‘ financial needs. This includes, accounting, tax, financial planning, treasury, and investor relations. Along with financials, Sullivan, oversees the information technology and creative service departments, Broadcasting & Technology, programming origination and distribution division. He joined AMC Networks in September 2010 from HIT Entertainment. [8]

Recent News

Breaking Bad – “Felina”: The Final Episode Hype

-courtesy of businessinsider.com

Breaking Bad is considered one of the most compelling, addictive, and suspenseful dramas that has ever hit cable. Driven by plot and fueled by characters, AMC took viewers on a journey of a man’s total distraction, leaving in it’s wake one of the most highly anticipated final episodes ever for a series. In short, Walter White (Bryan Cranston), a high school chemistry teacher, diagnosed with cancer, finds himself at a crossroads in his life. He has always played it safe for his family, and now with a baby on the way, White turns to a life of crime. Partnering up with his former student, Jesse (Aaron Paul), to cook meth, White finds himself spiraling down a dark path which eventually becomes his own demise. Everything he aims to save in the beginning of series, he slowly looses, until he has nothing left to loose. This is what has the audience on the edge of their seats for the final episode. What many people admired about the episode, unlike many other series such as, Lost and The Sopranos, is that it left no question unanswered and tied all 5 seasons up with a big bang at the end, which everyone knew was coming – Walt’s death. “Felina” had the highest ratings of any episode in the series, 10.28 million viewers. Along with viewership, the final Breaking Bad episode created an explosion over the twitter-shpear. Walter White’s final hours on screen generated 1.2 million tweets, making it the most talked about television show for the week (out-ranking “The Voice” and “Grey’s Anatomy“). Breaking Bad had 12 Emmy Nominations in the 2013 season. [9] [10]

The Walking Dead

– courtesy of collider.com

AMC defiantly has a way with drama. The hit apocalyptic zombie series, The Walking Dead, has accumulated what many would describe as a “cult” following. Much like other AMC shows, Breaking Bad and Mad Men, the viewers are drawn in by the concept, but, stay for the character development. AMC has made a name for itself in seeing just how far people will go when faced with a challenge, and for The Walking Dead, that challenge is to stay alive. Over the course of the series we see the protagonists stripped of humanity and brought down to nothing but animal instinct. How they act and, re-act, is what keeps viewers coming back week after week. It is not a typical zombie movie where the audience knows that, in the end, the humans will triumph and all is well in a matter of 2 hours. The Walking Dead has reinvented suspense, being known for killing off main characters at any moment. How do we know? Because numbers don’t lie. The most recent season of Walking Dead, season 4, had earth shattering numbers, which had the media buzzing with anticipation. The hour long zombie drama pulled in 16.1 million viewers and an 8.2 rating among adults 18-49. These statistics put the show up 30% in the demo from season 3’s finale (their pervious high). [11] [12]

In The Works

AMC’s New Pilot: Preacher

Originally considered by, HBO, AMC has reportedly ordered the pilot to adapt the extremely dark DC comic , Preacher. HBO apparently passed up the deal due to the comic being too controversial. Although, they didn’t state what was controversial about it, it could be assumed that it was the dark religious aspect of the storyline. Originally authored by Garth Ennis and Steve Dillon, Preacher has been described as many things, but to sum them up: the series is full on crazy. With the wrap up of Breaking Bad, AMC needs to fill the void that the dark drama has left for viewers. Although the pilot has only been ordered, there has already star power around the potential new show. Seth Rogen, a devoted Preacher comic fan, has sent out a number of hinting tweets that he could be involved with the project:

He then followed up the tweet with another, naming some main characters in the series:

Will the show get green lighted? No one can say for sure. However, one thing can be said- this will defiantly be a defining moment for AMC and their content. Judging from the comic books themselves, this show will be darker than anything seen on TV before, pushing AMC to the top of drama original programing. [13]

*Storyline of The Preacher Comic Book Series

Sources

[1] History

[2] History: Cablevision exlporing spinoff of Rainbow Media

[3] Purchase of Chellomedia

[11] The Walking Dead

[12] The Walking Dead

[13] Preacher

AMC Networks

Posted on April 4, 2013 by Elliott Brannon

by Elliott Brannon

amc_network_logo_render

11 Penn Plaza
New York, NY 10001
Phone: (212) 324-8500
Website: http://www.amcnetworks.com

About the Company: [3] [4]

AMC Networks (NASDAQ: AMCX) is an American entertainment company founded in 1980 whose brands include the cable networks AMC, IFC, Sundance Channel, and WE tv. The company also controls IFC Films, a United States distributor of indie film.

In 2012, the company’s revenues increased from $1.188 billion in 2011 to $1.353 billion, a growth of 13.9%. AMC Network’s overall income also increased 11.1%, maturing from $327 million in 2011 to nearly $463 million in 2012. Company stock prices have also increased about 18% since January (as of April 3, 2013).

Brands: [5]

AMC was first launched in 1984. Since then, the network has gone on to become the only cable network in history to receive the Emmy Award for Outstanding Drama Series four years in a row and the only cable network to win the Golden Globe Award for Best Television Series – Drama for three years in a row. AMC’s popular original series include Mad Men, Breaking Bad, and The Walking Dead.

IFC is the Independent Film Channel and was initially launched in 1994. The channel airs original series such as Onion News Network and Portlandia as well as numerous indie films and other syndicated television shows.

Sundance Channel was founded by Robert Redford in 1996. Its original series include Girls Who Like Boys Who Like Boys and All On The Line.

WE tv is a network targeted at women and was first launched in 1997. Popular original series include Braxton Family Values and Bridezillas.

IFC Films distributes independent films throughout the U.S. This division also controls the feature film production company, IFC Productions.

Key Executives: [1]

Josh Sapan, President & Chief Executive Officer of AMC Networks

Charles Dolan Executive Chairman
Josh Sapan President & Chief Executive Officer
Charlie CollierPresident & General Manager, AMC
Jennifer Caserta Priore President & General Manager, IFC
Sarah Barnett Executive Vice President & General Manager, Sundance Channel
Kim Martin President & General Manager, WE tv

Recent News (January-April 2013):

April 1: The season three finale of AMC‘s The Walking Dead on March 31st delivered 12.4 million viewers total and 8.1 million viewers age 18 to 49 with a 7.4 HH rating, making it the #1 TV program for the week and #1 television show for the overall season amongst adults age 18-49 [6].

AMC’s new logo and tagline

During the airing of the finale, AMC debuted its brand new logo and tagline, replacing its old tagline, “Story Matters Here,” with “Something More.” Linda Schupack, AMC’s executive vice president of marketing explained that, “AMC: Something More further refines our focus on- and off-air and speaks to our promise to viewers to provide an experience that is unexpected, unconventional and uncompromising” [7].

March 21: AMC released a trailer for its newest original series, Low Winter Sun, a police drama set in Detroit based on a 2006 British miniseries.

The show is being co-produced by AMC Studios and Endemol Studios. Its credits include executive producer Chris Mundy, who has previously worked on CBS’s Criminal Minds [8].

March 13: James Maiella was appointed as the new senior vice president of corporate communications at AMC Networks. Maiella will overlook business and trade relations for all of the companies cable networks as well as IFC Films. He will work alongside the company’s other current senior vice president of corporate communications, Georgia Juvelis [9].

March 12: AMC Networks launched YEAH!, a movie streaming service. Movies are currently available on www.YEAHTV.com, which carries classic films with added bonus features, such as interviews with filmmakers and story notes, only available exclusively through the service. Users must pay $5 to watch a movie and its additional bonus features or can pay $2 to watch a movie without the added content. The service is only available online through a computer for now, but an iPad app is set for release this summer [10].

March 5: Anchor Bay Entertainment and AMC Networks completed a home entertainment distribution deal, giving Anchor Bay the rights to distribute DVD and Blu-ray releases of AMC, IFC, and Sundance original series throughout the United States and Canada. Some specific digital distribution deals are also included in the agreement.

Sundance’s Rectify and AMC’s Low Winter Sun, which have both not debuted yet, will be the first series distributed under the new deal. Anchor Bay has worked closely with AMC Networks in the past, serving as the home entertainment distributor for AMC’s The Walking Dead [11].

February 25: Sundance Channel and AMC reached an agreement giving Sundance Channel syndication rights to the off network premiere of AMC’s Breaking Bad.

Breaking Bad’s Walter White

This agreement comes in lieu of the upcoming premiere of Sundance Channel’s first ever scripted series, Rectify, which is produced by the same group behind Breaking Bad [12].

Rectify is set to premiere on April 22, 2013 at 10:100pm et/pt [13].

February 21: WE tv greenlighted a new unscripted reality series, Glam & Gold, starring olympic gold medalist Sanya Richards-Ross and two-time Super Bowl champion Aaron Ross. Filming is already underway in Austin and Jacksonville. Glam & Gold joins a host of other WE tv shows starring African-Americans including Mary Tary and Braxton Family Values [17].

February 15: IFC Films secured North American rights to the indie neo-noir thriller, The Canyons, starring Lindsay Lohan and James Deen and directed by Paul Schrader. The film will premiere in early summer at a Special Presentation at the Film Society of Lincoln Center in conjunction with a day-and-date release. Schrader’s film will also be simultaneously released on a variety of other digital platforms [18].

February 11: The Walking Dead’s February 10th airing of its season 3B premiere on AMC delivered 12.3 million viewers. With 7.7 million viewers age 18-49, the episode delivered the highest rating for a television series in basic cable history for that demographic.

The series’ average viewership in season 3 for adults 18-49 was 6.8 million, making it the #1 program of the season amongst that age range [14].

February 5: Joel Stillerman, executive vice president of programming, production, and digital content for AMC, announced a two-year first look deal with Stacey Sher and Michael Shamberg of Double Feature Films. Shamberg and Sher are both two-time Academy Award nominees and have worked on a variety of films together including Django Unchained, Erin Brokovich, and Garden State [15].

January 15: AMC and Fox Television Studios announced a new agreement that will bring AMC’s The Killing back to the network for a third season. The agreement brings Veena Sud back as the series’ executive producer and showrunner and also brings back lead actors Mireille Enos and Joel Kinnaman. Production of the show’s new season began on February 25 in Vancouver [16].

References:

AMC Networks

Posted on September 19, 2012 by jeblanco

by Jose Blanco

Courtesy of underconsideration.com

Key Exceutives

Charles Dolan	Executive Chairman
Josh Sapan	President & Chief Executive Officer
Ed Carroll	Chief Operating Officer
Sean S. Sullivan	Executive Vice President & Chief Financial Officer
Jamie Gallagher	Executive Vice President & General Counsel
John P. Giraldo	Chief Accounting Officer
Bob Broussard	President, AMC Networks Distribution
Rob Doodian	Executive Vice President, Human Resources
Ellen Kroner	Executive Vice President, Communications & Marketing
Steven Pontillo	Executive Vice President & Chief Technology Officer
David Evans	Senior Vice President, Broadband
Paul Rehrig	Senior Vice President, Business Development

Highest Competitors

1. Showtime

2. HBO

Corporate Headquarters

AMC Networks Inc.
11 Penn Plaza
New York, NY 10001
Main Phone #: (212) 324-8500

Brief Network Description

Previously known as Rainbow Media Holdings (a division of the Cablevision, the American cable television company), AMC Networks [1] is a public entertainment company that focuses on specialty television and independent film production based in New York City. Within their branch of premium cable television channels, AMC Networks focuses on producing original content through their multiple channels (AMC, WE tv, the Sundance Channel, and IFC). On July 1^st of 2011, Cablevision made AMC Networks [1] become a publicly traded company, leaving former Rainbow Media president, Josh Sapan, as President and CEO of AMC Networks. Previously recognized for their airing of classic movies, the company began producing original content in 2007 with the launch of programs such as “Mad Men” in AMC (their most popular channel to which the company was named after).

Courtesy of Zap2it.com

Ever since, AMC Networks has promoted the creation of high-quality original content in their programming. With hit shows such as “The Walking Dead”, “Mad Men”, and “Breaking Bad”, all of which have received critical acclaim and popular appraisal, AMC Networks has marked its presence in the television industry, especially with through their channel AMC. As their tagline states; “Story matters here.”.

This Year for AMC Networks

Third Quarter 2012 Results

AMC Networks has been seemingly busy this year, given to their known legal dispute [2] with DISH Network early on this summer that led the American cable company to “drop” all of AMC Networks’ programming since this July to early October until the dispute was finalized. A deeper analysis regarding to the legal dispute and it’s result will continue further along the reading. Given to situations such as the previously stated, the company’s operating income (OI) decreased 8% in its Q3 [3] of this year (in comparison to Q3 of 2011) to a total of $87 million and its AOCF (adjusted operating cash flow) decreased 10.9% to $110 million (Q3 as well). According to AMC Networks’ most recent quarterly report, these blatant decreases in OI and AOCF are due to “ the impact of the litigation and associated carriage dispute with DISH Network.”. Now, OI also decreased due to “flat operating income at national networks and a $9 million increase in the operating loss at International and Other.” Normally when the network refers to its “International and Other” operation, its regarding its independent film production company IFC films, but AMC Networks is currently working on expanding its market on a global scale by opening up markets in Asia, Latin America, Europe, Canada, and Africa. [4]

Regardless of the networks decreasing OI and AOCF, the company has seen a steady increase in net revenues this year by a significant 17% ($332 million by the en of this year’s Q3 ) and an increase of 40% in share value this year (AMCX)[5], a share which is now traded at $52.25. These revenues, which were off set by their legal disputes, were due to not only the success of their programming but also to their growth in digital and licensing distribution (which is one of the primary reasons for the incitement of their current and past conflicts with cable companies such as DISH Network) through deals with online platforms such as Amazon.com, Netflix, and iTunes. Within their national networks, this led to an increase of 24.3% of revenues to $199 million [3]. Although use of online platforms has increase, Josh Sapan announced at the 40th Annual UBS Global Media and Communications Conference that took place recently on Dec. 4th “Our company has taken a rather more restrained approach on making our shows more accessible online. As a matter of policy its not good for the ecosystem, we chose to very selectively to sell our content.” then adding “We will support it. We will have to carefully manage where our rights go. We are in a position to balance that quite well and we have been compensating it for some time. We will be a good and healthy participant.” while referring to these online platforms [4].

DISH Network and AMC Networks

Now, what is this huge legal mumbo jumbo with DISH Network all about? AMC Networks current strategy consists of profit maximization through affiliate fees [5]. What they do is come up with two to three hit programs (“The Walking Dead”, “Mad Men”, and “Breaking Bad”) which make the channel indispensable to the carrier then fill the rest of the channels programming with inexpensive content such as non-fiction/reality programming (“Comic Book Men”, “Whisker Wars”). As posted in an article by Bill Gurley regarding affiliate fees on Abovethecrowd.com; “How can a cable company not offer “Mad Men”.” And they can’t and AMC knows so. Hence within their contracts they bundle up their other channels and relatively go better off in the contract [5].

Courtesy of infospace.ischool.syr.edu

“DISH felt that the network had devalued its admittedly popular dramas… by selling them to outlets such as Netflix, iTunes, and Amazon.com” according to an article on fool.com [6]. DISH felt as if they were being cut out and not just that, but AMC was demanding an increase in affiliate fees (which makes sense do to the success of their programs). DISH argued that AMC’s ratings did not meet with their demands. Given to their disagreements, DISH dropped all programming from AMC Networks in July 2012. But AMC, as well put in fool.com, “won’t be bullied”[6] .

They retaliated by launching ads denouncing DISH’s decision to drop them from programming. With campaigns such as the “Put Zonbies Back” ad that showed footage of people costumed as zombies scrawling through the streets of New York City (in real life) promoting their apocalyptic series “The Walking Dead” and retaliating the carrier’s decision to drop it’s programming.

These campaigns gave way to fan made spoofs and responses that demanded DISH to bring back AMC programming.

They did not stop there. Through their advertising, they gave DISH customers a week to “switch” providers and leave DISH [7].

Many doubted on AMC’s success given that their viewership had decreased 7%-9% in July when compared to 2011, according to the video by the Wall Street Journal [8]. With these decreases in ratings, AMC gave advertisers free time spaces in online streaming trying to push the ratings up. “You’d be surprised, there’s been a bit of a drop off since the black out started (referring to ratings when DISH dropped AMC)… these are niche products and as a result don’t have the same financial impact.” argued the WSJ [8].

Before the premiere of the third season of “The Walking Dead”, both parties agreed upon a settlement [9]. AMC and Cablevision would receive $700 million and receive a 20% stake with Voom HD, which offers up to 21 channels of HD programming. DISH acquired wireless spectrum licenses that cover up to 45 separate markets.

Television Channels

Courtesy of wikemedia.org

A speciality cable television channel that focuses on providing original content such as their hit shows “The Walking Dead”, “Mad Men”, and “Breaking Bad” and airing classic films.

Recent News

People at the WSJ must have been biting their tongues when the “The Walking Dead” premiered on Oct. 14^th and received 10.87 million viewers. But the real breakthrough [10]came with the show’s midseason finale that reached 15.2 million viewers on the night of the premiere, a 58% increase in comparison to its previous season finale (yet this was only the mid-season finale) and breaking records for cable television. It surpassed all other fall programs that appeal to the 18-49 age demographic such as “the Big Bang Theory” and “Modern Family”. Plus, the show’s new follow-up talk show “the Talking Dead” received a viewership of 2.2 million.

http://www.youtube.com/watch?v=gUvKSXO_Ipc

In February, AMC will premiere two new non-fiction tv-shows, “Immortalized” and “Freakshow“, “The Walking Dead“, “the Talking Dead“(both returning Feb. 14th 2013), and the hit reality tv show “Comic Book Men” will also return that same month [11].

Courtesy of media.sundancechannel.com

The Sundance Channel is a cable television channel that airs original programming, independent films, documentaries, and short films plus recent news regarding the current year’s Sundance Film Festival.

Recent News

The Sundance Channel announced in November its upcoming releases of 5 new dramas of high caliber talent and “non-formaulative” story lines. These new premieres include shows such as “Valentines”, based off a novel by Olaf Olafsson and produced by Robert Redford that follows the life of a New York lawyer and his three daughters. Other shows include “Death in the Modern Age”, “T”, and “Behind the Sun” [12].

Courtesy of patrickgallo.weebly.com

The IFC Channel (Independent Film Channel) airs independent film, original programming, and news and buzz relate to the independent film industry. IFC airs programs that range from slightly off comedies such as “Portlandia“, the multiple chapters of the R. Kelly “hip-hopera” “Trapped in the Closet“, to the absurdity behind beard competitions in the reality tv show “Whisker Wars“.

Recent News

AMC Networks has entered into fierce negotiations with Verizon in the past month concerning contract renewals. Pressure has also escalated in negotiations with Timewarner concerning the networks low-rated channels that are being bundled with their stronger channels such as AMC. Both carriage companies have threatened to drop [13] the networks programming as a result of weak ratings from both IFC and WE tv.

Courtesy of 1.bp.blogspot.com

WE tv airs is a cable television channel that targets women and women’s issues. Programming includes documentaries, some original programming, talk shows, fashion shows, older feature films, and some re-runs of other TV shows. Their latest hits include “Mary Mary“, a program that follows the lives of the famous gospel duo composed of the two ATkins-Campbell sister, Erica and Tina.

References

1. AMC Networks Homepage http://www.amcnetworks.com/default

2. Dish Network Settles Suit With AMC -WSJ http://online.wsj.com/article/SB10001424052970203406404578070960821103982.html

3.Third Quarter Report of AMC Networks 2012 http://www.amcnetworks.com/release_release_press.jsp?nodeid=6602

4.40th Annual UBS Global Media and Communications Conference http://cc.talkpoint.com/ubsx001/120312a_im/?entity=15_EJSUBIR

5.http://abovethecrowd.com/2010/04/28/affiliate-fees-make-the-world-go-round/

6.http://www.fool.com/investing/general/2012/10/22/amc-and-dish-work-out-a-new-deal-the-zombies-are-b.aspx

7.http://www.fool.com/investing/general/2012/07/15/amc-breaking-bad-news-for-dish-but-its-great-for-i.aspx

8. Drama of the Lost Dish Network http://www.youtube.com/watch?v=GAWgizbYfGw&feature=player_embedded

9. http://www.hollywoodreporter.com/thr-esq/amc-back-dish-lawsuit-settled-381472

10. AMC’s “The Walking Dead” is The First Cable Series to Beat Every Other Show of the Fall Broadcast Season in Adult 18-49 http://www.amcnetworks.com/release_release_press.jsp?nodeid=6607

11. http://www.amctv.com/

12.Sundace Channel’s New Shows http://www.amcnetworks.com/release_release_press.jsp?nodeid=6601

13.http://www.bloomberg.com/news/2012-12-03/time-warner-cable-threatens-to-drop-low-rated-networks.html

Principles & Practices

Website by the students of TRF235

Tag Archives: Josh Sapan

AMC Networks

AMC Networks

AMC Networks

About the Company: [3] [4]

Brands: [5]

Key Executives: [1]

Recent News (January-April 2013):

References:

AMC Networks