Dish Network Proposes Arbitration to Tribune in Fee Dispute

By Tess Stynes

Dish Network Corp. is asking Tribune Media Co. to let an arbitrator settle a dispute over a new distribution agreement and end a blackout of Tribune's 42 television stations and WGN cable channel to the satellite broadcaster's customers.

On Sunday night, roughly 5 million Dish subscribers in 33 markets across 34 states and the District of Columbia lost access to local TV stations owned by Tribune. About 7 million weren't receiving the WGN America network.

"We want to return these local stations to our customers immediately, and binding, baseball-style arbitration offers a path to reach a fair deal and to serve the best interests of our customers," said Warren Schlichting, Dish programming executive in prepared remarks Wednesday.

At issue are fees that Tribune is seeking for carriage of its stations and WGN America.

Tribune previously has said the deal it offered Dish was the same one it has with other pay-TV distributors. In a press release on Wednesday, Tribune said Dish has been "totally unresponsive" in negotiating a new contract and that it had heard nothing after delivering another proposal Sunday at 11:50 p.m. New York time. A Tribune Media spokesman wasn't immediately available to comment further Thursday morning.

Dish Network has contended that Tribune is demanding an unreasonable price increase for its local channels, which are available free with an antenna. In addition, an increase for WGN America isn't warranted because the channel no longer carries Chicago Cubs games and its ratings are down in Dish homes, the satellite broadcaster previously has said.

Such fights over distribution fees have become commonplace in the television industry.

Write to Tess Stynes at tess.stynes@wsj.com

(END) Dow Jones Newswires

June 16, 2016 10:28 ET (14:28 GMT)

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