Retrans Skirmish? Sinclair May Pull Signals From Mediacom

Notorious retrans problem child Sinclair is at it again. The broadcaster has threatened to notify Mediacom on or before Oct 15 of its intent to terminate retransmission of its stations effective Dec 1, according to fine print in the MSO’s Thurs SEC filing to sell $200mln in bonds to pay down debt. The threat is serious because approximately half of Mediacom’s subs carry local broadcast stations owned or programmed by Sinclair. But while "negotiations have narrowed the gap between Sinclair and us," Mediacom warns that it can’t predict whether a new agreement will come before systems have to cease carriage. "Sinclair is seeking compensation that we believe to be in excess of what is appropriate, although the amount is not material to our results of operations or financial condition," Mediacom said in its filing. About half of Mediacom’s subs carry local broadcast stations owned or programmed by Sinclair under a month-to-month arrangement that’s terminable at the end of any month with 45-days notice. All of the stations are affiliates of one of the Big 4 networks. Mediacom would not comment beyond the filing. Sinclair did not return calls for comment.