Rogers Communications Inc.
), the largest cable operator in Canada has reached a multi year
AMC Networks Inc.
) that will line up the AMC Network channels with Roger's digital
Following the deal, Roger's digital cable customers can enjoy
AMC's popular TV series including
The Walking Dead
in HD format. Additionally, Roger subscribers will also be able
to enjoy new and upcoming TV series like
Hell on Wheels
Low Winter Sun
slated for release this year.
The agreement enables customers to view AMC's original series
across multiple platforms like Rogers on Demand channel and
Rogers Anyplace TV on Demand, soon after the original television.
AMC programs are available to Rogers VIP package customers, while
the SD package customers will get the HD version starting this
month. However, the financial terms of the deal were not
The deal marks the end of a dispute between the two companies
over contract renewal. Roger's digital customers received threats
from AMC over a possible channel black out after the previous
contract between the two expired on Feb 28, 2013. Signing the
deal with AMC is a major achievement for Rogers as AMC has
emerged as one of the post popular inventors of the popular TV
series and has received high ratings for its shows.
Currently, there has been a rise in conflict between
programmers and cable companies over hike in programming fees.
Cable companies like
Dish Network Corp
) are persistently defending any significant rise in programming
fees as it will have a negative impact on their margins.
Moreover, if they manage to pass on the cost hike to its
customers, it could in turn increase their subscriber loss.
We believe this is a major success for Rogers as it will not
only keep AMC's popular channels in its portfolio, but will also
stop customer churn, which otherwise could have happened had it
failed to renew the contract.
Currently, Rogers carries a Zacks Rank #2 (Buy).
AMC NETWORKS- A (AMCX): Free Stock Analysis
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