Alliance in Negotiations with Local Affiliates Over Retransmission Fees

Alliance Communications is in the process of negotiating retransmission fees with local affiliates of national broadcast networks (e.g. KSFY, KELO, KDLT, Fox and KCAU). Local affiliate stations in Sioux Falls and across the country can charge fees to satellite and cable television providers, like Alliance Communications, for retransmitting their programming.

Our goal is to negotiate a fair price to you, the customers. There is a direct correlation between the cost of retransmission fees and prices customers pay in their monthly bills. Unfortunately, broadcasters have immense leverage in the negotiation process because they can threaten to shut off access to content that viewers have come to expect. Although we remain optimistic that the negotiations will be achieved without customer impact, there is a possibility that unresolved negotiations may lead to service disruption.

Retransmission agreements must be reached by December 31, 2011, or local station owners will require Alliance to drop them from our channel lineup. We will keep you updated on our progress, especially if it appears that there will be an impact on services.