Retransmission Consent

In the fall of 2017, Panora Telco and Guthrie Center Communications will enter retransmission negotiations. During these negotiations, local channels and broadcast rates will be determined for the next three-year period.

Here’s information on retransmission consent and TV programming costs.

TV Programming Costs – FAQ

Q: What is retransmission consent?

A: Cable television providers, like us, must get permission from local broadcast stations like ABC, CBS,
FOX and NBC (among others) to carry the network’s programming. This is outlined in the 1992 Cable
Act, which requires cable providers to provide local channels, but does not allow them to charge the
local broadcasters to carry their signal.

Q: Why are you negotiating fees with local broadcasters to carry local stations like ABC, CBS, FOX and
NBC? Aren’t shows on these stations free?

A: Local broadcasters that used to provide free programming like the Big Four (ABC, CBS, FOX and
NBC) now require affliates to pay them compensation in order to air their programming, which can
otherwise be obtained for free over the air.

Q: If you are trying to control costs, why does my bill increase?

A: Panora Telco and Guthrie Center Communications work vigorously to negotiate fair and equitable
rates with local broadcast stations. However, programming costs, including those for the Big Four, have
dramatically increased over the past years. And, approximately 73 cents of every video subscriber dollar
from Panora Telco and Guthrie Center Communications is allocated to those programming fees.

Q: Why do I get charged for channels I do not watch?

A: Unfortunately, networks do not allow us to pick and choose which channels we offer to our
customers. There is not an option to pick channels “a la carte.” Instead, networks bundle less popular
channels with the more popular channels they offer.