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| Alliance Atlantis announces U.S. second window licensing agreement of CSI: Miami to A&E Television Networks |
| Posted
on Thursday, April 17, 2003 - 02:30 PM |
ALLIANCE ATLANTIS COMMUNICATIONS INC. today announced that A&E Television Networks (A&E) has acquired certain second window US broadcast rights for the hit prime-time drama series CSI: Miami. On CSI: Miami and CSI: Crime Scene Investigation, ALLIANCE ATLANTIS and CBS
Productions share the worldwide revenues on a 50/50 basis, after certain third-party profit participations. The total value of the deal over its term could exceed US$230 million.
This transaction follows the success enjoyed by the original CSI: Crime Scene Investigation, in second window sales in the US, as well as by both CSI and CSI: Miami in international sales to major broadcast markets around the world. CSI: Crime Scene Investigation US second window rights were secured in April 2001 by TNN: The National Network in what is believed to be the highest price per episode ever paid for US second window use by a cable broadcaster.
"The licensing of these US second window rights for CSI: Miami clearly demonstrate that our ownership position in the CSI franchise will be an important contributor to Alliance Atlantis's earnings, free cash flow and debt reduction targets," said Judson Martin, Senior Executive Vice President and Chief Financial Officer of Alliance Atlantis. "When you combine the meaningful benefits arising from the CSI franchise with the stability and growth prospects of our Broadcast and Motion Picture Distribution Groups, I am comfortable that our commitment to free cash flow and debt reduction will be achieved".
"It is a sign of the extraordinary strength of the CSI franchise that we have been able to secure the sale of US second window rights for CSI: Miami before the end of its first season on CBS, following very much the example of success set by the original CSI: Crime Scene Investigation," said Michael MacMillan, Chairman and CEO of Alliance Atlantis. "The original CSI continues to be the most watched series on US network television, with CSI: Miami continuing to be the most watched new series on US network television."
From October 2004 to October 2006, A&E has the right to air one episode per week, not in prime time and not against the network timeslot. In addition, A&E has acquired the US second window broadcast rights for up to eight seasons of CSI: Miami, for broadcast anytime, except weekends and not against the network timeslot. The licence fee for these US second window rights exceeds US$1.2 million per episode. The agreement is conditional upon ALLIANCE ATLANTIS producing and CBS broadcasting the first three seasons of CSI: Miami.
ALLIANCE ATLANTIS and CBS Productions have retained the right to sell US weekend syndication broadcast rights for the period commencing September 2006 through September 2008.
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