Sky channels return to Virgin Media
Sky channels return to Virgin Media
Sky?s basic channels are to return to UK cable on November 13, following a new agreement between BSkyB and Virgin Media. Two new carriage agreements will see the return of Sky 1, Sky 2, Sky 3, Sky News, Sky Sports News, Sky Arts 1, Sky Arts 2, Sky Real Lives and Sky Real Lives 2 to the Virgin cablenet. A second agreement ensures continued carriage for Virgin Media TV?s Living, Living 2, Bravo, Bravo 2, Trouble, Challenge and Virgin 1 within Sky?s DTH satellite package. Virgin will pay Sky an annual licence fee of ?30 million with a capped performance-based adjustment that allows for an additional ?6m and ?8m in years one and two respectively and ?7.9m for the final seven months of the agreement that expires in June 2011. This puts the cost of the deal, which will see the return of channels including Sky One, Sky News and Sky Sports News, at around ?37m per year. In return Virgin will receive increased payments of at least ?24 million for Sky?s carriage of Virgin Media TV channels that include Living, Trouble and Bravo. Under an identical arrangement this could rise up to an equal ?37 million when its own performance based incentives are included.
Sky?s basic channels are to return to UK cable on November 13, following a new agreement between BSkyB and Virgin Media. Two new carriage agreements will see the return of Sky 1, Sky 2, Sky 3, Sky News, Sky Sports News, Sky Arts 1, Sky Arts 2, Sky Real Lives and Sky Real Lives 2 to the Virgin cablenet. A second agreement ensures continued carriage for Virgin Media TV?s Living, Living 2, Bravo, Bravo 2, Trouble, Challenge and Virgin 1 within Sky?s DTH satellite package. Virgin will pay Sky an annual licence fee of ?30 million with a capped performance-based adjustment that allows for an additional ?6m and ?8m in years one and two respectively and ?7.9m for the final seven months of the agreement that expires in June 2011. This puts the cost of the deal, which will see the return of channels including Sky One, Sky News and Sky Sports News, at around ?37m per year. In return Virgin will receive increased payments of at least ?24 million for Sky?s carriage of Virgin Media TV channels that include Living, Trouble and Bravo. Under an identical arrangement this could rise up to an equal ?37 million when its own performance based incentives are included.
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