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WALKING ON AIR: HEADLINE SPORTS CLOSE TO DEAL WITH MLB?

          Headline Sports "has reached a tentative deal" with MLB
     "to carry" the World Series and All-Star Game, according to
     sources of William Houston of the Toronto GLOBE & MAIL, who
     reports that the deal would also include the "complete
     postseason schedule and some Sunday" ESPN games.  TSN "was
     the only other serious bidder" for the rights, but
     "apparently backed off" when MLB COO Paul Beeston "raised
     the rights fee by" 66%.  A source said, "TSN last year paid
     [C]$6-million for the rights.  But Beeston hiked that fee to
     [C]$10-million because he was upset over CTV attempting to
     merge TSN and CTV Sportsnet.  When the merger fell through,
     Beeston dropped the price to [C]$9-million, but it was still
     a lot of money."  Houston calls Headline Sports' deal a
     "major breakthrough" (Toronto GLOBE & MAIL, 6/14).

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