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Disney, Altice deal averts blackout

8:03pm IST - 01:06

Altice's beleaguered shares rally after the cable operator reached a tentative deal with Disney that averted a blackout for millions of New York area customers. Fred Katayama reports.

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Relief for New York sports fans. Disney reached a last minute tentative deal with Altice that averts a blackout. The agreement will allow New York area sports fans to watch "Monday Night Football" and the baseball playoffs that start Tuesday. The two companies have been sparring over how much Altice would have to pay so its more than 3 million cable subscribers in the area can continue to receive sports channel ESPN and other Disney networks. Disney was able to wrangle fee increases from the Dutch cable operator whose acquisitions of Cablevision and Suddenlink make it the fourth largest U.S. cable operator. But it didn't disclose the amount. ESPN, Disney's crown jewel, is the most expensive cable network. It has been losing subscribers, and its ratings have fallen. JP Morgan senior analyst Philip Cusick said, "We believe Altice shares can rally now that the carriage deal with Disney has been renewed and a blackout averted." Altice's U.S. shares had fallen 18 percent since July but opened higher Monday. Disney also rose.

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Disney, Altice deal averts blackout

8:03pm IST - 01:06