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MSG Network Extends Sabres Deal, Adds Bills' Content For Western New York Reach

The Sabres "will continue to have their games carried" on MSG Network "for more than a decade in a wide-ranging deal" announced yesterday that will include carrying additional Sabres and Bills programming, according to a front-page piece by Alan Pergament of the BUFFALO NEWS. The agreement means that Sabres Owners Terry and Kim Pegula "will not have to deal with the risk" of starting a new RSN "while accomplishing most, if not all, the things they would have been able to do with one." Sources said that the agreement "will go beyond 10 years and will double the present rights fee" of about $9.6M annually. MSG "has agreed to brand the programs supplied by Pegula Sports and Entertainment under the title of MSG Western New York here and expects to expand its reach into all areas of Rochester." The new agreement "ends the long-running speculation that the Pegulas planned to start a regional network similar to the defunct Empire Sports Network." PS&E Exec VP/Media & Content Mark Preisler said, "What we have done is create our own platform, our own mini-network, which is stronger because we already have the distribution on MSG, we have the benefit of MSG programming on there and the benefit of the platform of producing as much programming as we feel comfortable" (BUFFALO NEWS, 6/21). The '16-17 season is the final year of the current deal. A team of people with N.Y.-based media consultancy Allen & Co. represented PS&E during these negotiations. MSG has carried Sabres games since '05. Sabres games on MSG last season had the highest local TV ratings of any U.S.-based NHL club. Rick Jeanneret and Rob Ray will continue as play-by-play and analyst for the games (John Ourand, Staff Writer).

GETTING MORE: In Rochester, Sal Maiorana writes while rumors about PS&E "starting its own regional cable sports network officially died Monday afternoon," the rebranded MSG WNY "will have the look and feel of a local network with expanding programming" that will include Bills content as well. PS&E "will pay all production costs, but will keep advertising revenue." In essence, "anything PSE could have produced via its own network, it can produce via MSG, and can do so with far less financial risk." Preisler: "When you run the economics of doing your own network, and we’re in the 54th largest market, the investment versus the potential subscriber fees in revenue don’t make sense." Maiorana notes the new deal means all Sabres and Bills programming -- "with the exception of the Bills 16 regular-season games -- will be hosted on MSG Western New York." All Bills' programming in Rochester --including "The Rex Ryan Show," "Bills All-Access," "Bills Tonight" and all preseason games -- will be on MSG WNY after previously being aired by WHAM-ABC. Also, two radio shows on Buffalo-based WGR-AM -- The Hockey Hotline" and "The John Murphy Show" -- "will now be simulcast on the new network" (ROCHESTER DEMOCRAT & CHRONICLE, 6/21).

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