TF1 remains in a deadlock over its attempt to secure retransmission fees from the major telco and pay -TV operators, according to a note from equity analysts at Exane/BNPP.
“Canal has ended the signal of all TF1 channels over the weekend, blaming “on screen” TF1 for it. In parallel, the French press reports that TF1 has lost between 5 and 20 per cent of some of it key programs over the weekend. In addition, Les Echos reports that Iliad is also contemplating such move, and is threatening to take legal action to make TF1 pay for the distribution of its channels, whilst the discussion with Orange is ongoing – so far only the replay has been turned off on Orange.”
“The same French press article reports that the contract between SFR and TF1 could have ‘best nation’ clauses that would change the terms in the case TF1 was to sign more favourable deal with other telco operators. Finally, the article reports that, unsurprisingly, media buyers are starting to the nervous and will ask for rebates in the event audience drops are material.”