Diamond Sports Group Could Soon Emerge From Bankruptcy
Issue #145 — After nearly a year in bankruptcy, Diamond Sports Group is readying itself for its second act with a bit of help from Amazon.
Diamond Sports Group Could Soon Emerge From Bankruptcy
Like a phoenix rising from the ashes, Diamond Sports Group (DSG), the parent company of the regional sports network (RSN), Bally Sports, could soon find itself out of Bankruptcy protection.
The operator of the RSNs managed to get $450 million in debtor-in-possession (DIP), with $350 million of that used to pay DSG’s first-lien debt holders and the remainder being used to help with the company’s balance sheet.
The Houston judge overseeing the bankruptcy case has also approved DSG withdrawing its $1.5 billion lawsuit against its parent company, Sinclair Television Group, in exchange for a cash payment under an amended Management Services Agreement.
As a result of these moves, Bally Sports will continue to televise NBA and NHL games for the remainder of the 2023 - 2024 season for teams with media rights agreements. The same deal applies to the MLB, which begins its upcoming season in the next few weeks.
However, this agreement will see DSG sever ties with the Bally Casino brand, ending a 10-year $88 million naming rights deal. The RSNs will keep the name for the 2024 MLB season, after which a rename of the networks will be mandated.
There is more good news for DSG as the restructuring agreement sees a minority investment of $115 coming in from Amazon. The two have come to a commercial deal that will see the RSNs gain streaming availability as they will be added to the Prime Video streaming service.
This is a win-win for all parties, as the additional money will enable DSG to turn over a new leaf and begin a new chapter. It will also give Prime Video a much-needed boost in its quest to become a sports streaming destination beyond just the NFL.
Prime Video subscribers in local markets could access local teams shown by their respective RSN. The pricing structures and availability of the RSNs on the streamer are still to be determined.
For DSG, all this positive news may finally make its outlook shine a bright light a diamond, but the RSNs dependency on the cable industry for carriage revenue and whether it can still maintain and/or renew its existing media rights deals with the various professional teams after a tumultuous puts its survival on thin ice. (Sportico, ESPN, Associated Press)
RECAP
Catherine Herridge Held In Contempt For Refusing To Reveal Source
After dealing with a mini-controversy regarding her personal belongings remaining at CBS News despite being laid off, Catherine Herridge is now facing some serious legal issues after U.S. District Court Judge Christopher R. Cooper held her in contempt and ordered her to pay $800 per day until she reveals her sources regarding stories she wrote while working for Fox News in 2017. Herridge wrote about a Chinese-American scientist, Yanping Chen, who was under federal investigation at that time regarding whether she had lied about her military service and whether China could access the student database of a graduate program she was involved in in Virginia. Chen sued Herridge claiming her privacy was violated as a result of Herridge receiving confidential material. “The Court does not reach this result lightly,” the judge wrote, which now squarely puts the case under the First Amendment microscope with Herridge’s attorney’s vowing to appeal, saying, “We disagree with the district court’s decision, and to protect Ms. Herridge’s First Amendment rights, we intend to appeal.” Fox News, for its part, has said, “Holding a journalist in contempt for protecting a confidential source has a deeply chilling effect on journalism.” It added, “Fox News Media remains committed to protecting the rights of a free press and freedom of speech and believes this decision should be appealed.” (The Washington Post, CNN )
Cable News Networks Looking To Cut Back On Anchor Salaries
One potential consequence of the rise of cord-cutting and the belt-tightening being performed by cable news nets is the slimming down of anchor salaries. In an industry that doesn’t fairly compensate its behind-the-scenes staffers, news anchors come with high price tags, especially at the broadcast and cable news networks. Marquee talent like Fox News’ Sean Hannity reportedly earns around $25 million annually, CNN's Anderson Cooper is said to make an estimated $20 million per year, and MSNBC's Rachel Maddow earns around $30 despite appearing on the network once a week. This week, CNN pushed back on the notion that it had a separation payout of $24.5 million for former anchor Don Lemon. The net did not reveal the actual number, but Lemon still received a hefty number to settle his termination, which shows how well-compensated these anchors are. Other cable news personalities are also said to be earning six-figure salaries, but with shrinking TV audiences leading to decreased revenues from advertising and affiliate fees, does it make sense to keep paying on-air talent exorbitant salaries? CNN’s Mark Thompson is keen to tackle anchor salaries; in his recent company-wide memo to staff, Thompson said the linear version of CNN needs to be “on a more sustainable economic footing.” What the means is still to be determined, but with his recent moves mainly affecting behind-the-scene operations, it is not a stretch to see him attempt to pare down the salaries of his on-air talent. The same should also be expected to happen at Fox News and MSNBC as they, too, are not immune from the economic changes affecting the linear TV industry. (Mediaite, TVNewser)
QUICK RECAP
Memoriam: ESPN NFL reporter Chris Mortensen has passed away at age 72. (ESPN PR/X)
Women’s History Month: Here is how the networks are honoring women. (TVNewser)
Politics: The White House calls on Fox News to retract bribery claims against the president. (Deadline)
Business: Merger talks between Paramount Global and Warner Bros. Discovery have ceased for now. (CNBC)
ABC News: Network president Kim Godwin sent a memo to staffers calling former President Donald Trump’s comments “as racist as they come.” (Semafor)
BBC: The network apologizes to the young person's parents at the center of the Huw Edwards scandal. (The Guardian)
CBS News: 60 Minutes’ executive producer Bill Owen on how the show is transforming itself. (Deadline)
CNN: CEO Mark Thompson, in a memo to staff, lays out the “five projects to design and implement change at CNN.” (The Wrap)
Digital: ESPN has its best January ever for its digital products. (ESPN Press Room)
Design: CNN debuts its new studio at the Ted Turner Techwood Campus in Atlanta. (RNDH1987/YouTube)
Design: CNBC gives its main studio a makeover. (Talking Biz News)
Award: ESPN's VP of corporate communication, Monique Fahlste, was named by Ragan Communications a 2024 honoree in the Leader category of Top Women in Communications Awards. (ESPN/PR)
Award: CNN's Christiane Amanpour’s interview with Siam Namazi was named Network Interview of the Year by the U.K.’s Royal Television Society. (Royal Television Society/X)
Israel-Hamas War: CNN leadership confronted by staffers, including Christiane Amanpour, regarding perceived “double standards” in covering the war. (The Intercept)
Israel-Hamas War: Journalists and news leaders sign letters for media access and support. (TVNewser)
Ratings: The final numbers for Super Bowl LVIII are in, and 210 million people watched it210 million people watched it. (Broadcasting+Cable)
Ratings: Fox News continues its streak as most watched cable news network. (TVNewser)
Ratings: TNT Sports’ The Match averages over 500,000 viewers on Monday night. (Austin Carp/X)
Streaming: Paramount Global's Bob Bakish speaks in favor of the new sports streaming joint venture. (Awful Announcing)
Streaming: LIV Golf adds the Caffeine streaming platform to its coverage options. (Awful Announcing)
Streaming: How Fox Nation is differentiating itself from Fox News. (The Wall Street Journal)
Sports: United Soccer League gets a multi-year media rights deal with ESPN. (Awful Announcing)
Sports: ESPN personalities thank retiring columnist Peter King for helping them with their careers. (Awful Announcing)
Sports: How can NBC Sports and the Olympics revive interest in the Paris Games? (The Athletic)
Programming: Bloomberg TV is launching a new morning show in Asia. (Talking Biz News)
Programming: NewsNation’s Chris Stirewalt on his new Sunday public affairs program. (The Wrap)
Programming: MSNBC's The Weekend is turning into a weekend morning success story. (The Wrap)
Programming: Nicolle Wallace returns to MSNBC after a maternity leave absence. (MSNBC PR/X)
In: John Neal named editor BBC News TV bulletins. (BBC News PR/X)
In: David Gura rejoins Bloomberg as Big Take podcast host. (TVNewser)
In: Former NASCAR driver Dale Earnhardt Jr. is joining Amazon's Prime Video and TNT Sports. (The Athletic)
In: Kate O’Brian was named president of news at Scripps News. (TVNewser)
In: Former CNN This Morning anchor Phil Mattingly named chief domestic correspondent for CNN. (CNN Press Room)
In: NBC News announces new leadership roles for senior staff. (TVNewser)
In: Former MSNBC anchor Mehdi Hasan is launching Zeteo, a subscription-based digital media company. (The Washington Post)
In: Noticias Telemundo names Gemma Garcia EVP of news. (TVNewser)
In: ESPN re-signs one of its premier NFL analysts, Ryan Clark. (ESPN PR/X)
In: New editorial positions announced at CBS News and Stations. (TVNewser)
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A MarkHenry Media LLC publication - Issue #145 - 2024