Disney hits back at EchoStar fee claims

NEW YORK - The Walt Disney Company has accused EchoStar of misleading the press with claims that Disney had raised access fees to its ABC Family channel.

The claim is the latest salvo in the battle between the two companies, which sees Disney fighting EchoStar's decision to drop the channel.



In a statement, Anne Sweeney, president ABC Cable Networks Group, said: "In a press release it issued on January 2, EchoStar falsely claimed that Disney has sought increased fees for carriage of ABC Family on the EchoStar system. This statement, which has been repeated in other news reports, is untrue."



She goes on to say that Disney has not sought any increase in the carriage fees beyond what was agreed in a contract signed with EchoStar in 1995. The dispute between the companies has seen EchoStar accuse Disney of imposing rate increases "well beyond the rate of inflation", and of attempting to thwart its takeover of DirecTV unless it agrees to a programming deal.



Disney says that if EchoStar drops its channels it will be breaking a contract that runs until August 2005, but EchoStar has cited a clause allowing either party to terminate the pact if ownership of the channel changes. ABC Family was created when Disney bought the Fox Family Channel from News Corporation.



Last week, EchoStar was ordered by courts to continue broadcasting the ABC Family channel and ESPN Classic. However, that ruling is due to be reviewed again today.



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