Gregg Lengling
10-07-2002, 07:50 PM
WASHINGTON
EchoStar Communications Corp. and Hughes Electronics asked federal
regulators Monday to delay a decision on their proposed $26 billion
merger, which would create the largest pay-TV service in the country.
In a letter to Federal Communications Commission Chairman Michael
Powell, the companies asked for more time to discuss the possibility of
"major revisions" with the Justice Department, which is reviewing the
merger for antitrust implications.
It says the companies have agreed to submit proposed remedies which will
be discussed with the Justice Department on Oct. 28.
"There are many important consumer benefits at stake, so we are asking
the FCC not to rush to judgment before the DOJ completes its review,"
EchoStar spokesman Marc Lumpkin said. "We continue to believe that this
transaction offers substantial benefits to consumers and we look forward
to working with the government to gain approval, including discussion of
possible remedies."
EchoStar runs Dish Network; Hughes operates DirecTV. Together they serve
about 18 million subscribers.
Opponents say a merger will create a monopoly, particularly in rural
areas where cable television is not an option.
The letter said that EchoStar CEO Charles Ergen gave a two-day
deposition to Justice Department staff last week and that the agency
wants to meet with him again. No date has been set.
The two companies also asked Powell to conduct a public hearing on the
merger.
------------------
Gregg R. Lengling
RCA P61310 61" 16x9
glengling@ameritech.net
EchoStar Communications Corp. and Hughes Electronics asked federal
regulators Monday to delay a decision on their proposed $26 billion
merger, which would create the largest pay-TV service in the country.
In a letter to Federal Communications Commission Chairman Michael
Powell, the companies asked for more time to discuss the possibility of
"major revisions" with the Justice Department, which is reviewing the
merger for antitrust implications.
It says the companies have agreed to submit proposed remedies which will
be discussed with the Justice Department on Oct. 28.
"There are many important consumer benefits at stake, so we are asking
the FCC not to rush to judgment before the DOJ completes its review,"
EchoStar spokesman Marc Lumpkin said. "We continue to believe that this
transaction offers substantial benefits to consumers and we look forward
to working with the government to gain approval, including discussion of
possible remedies."
EchoStar runs Dish Network; Hughes operates DirecTV. Together they serve
about 18 million subscribers.
Opponents say a merger will create a monopoly, particularly in rural
areas where cable television is not an option.
The letter said that EchoStar CEO Charles Ergen gave a two-day
deposition to Justice Department staff last week and that the agency
wants to meet with him again. No date has been set.
The two companies also asked Powell to conduct a public hearing on the
merger.
------------------
Gregg R. Lengling
RCA P61310 61" 16x9
glengling@ameritech.net