Viewing page 286 of 440

This transcription has been completed. Contact us with corrections.

Percy Sutton's TV Firm Wins $180 Million Cable Contract!

new york Voice  25c

Firm Wins One Third Share of "Communications Gold Mine"
By James L. Hicks

Acting on the      [[right side obscured]]
Donald Manes, the
panel, last Wednesday
Queens Inner City Ca
provide Cable Television
A one-third share in the
TV franchise in Queens has
to be worth $180 million do
  Manes recommended th
cable area be divided in
among inner City Cable, (The Sutton Group), the American Cablevision Company, headed by Time, Inc., and Warner-
"Television Goldmine"

The Cable TV contracts for Queens, the Bronx, Staten island, and [[cut off]]

communications gold mine."
  
Some idea of the money involved can be gained by estimates that it will cost nearly a billion dollars just to wire New York for cable television.
  
But Teleprompter, one of the losing companies bidding for the Queens-

[[left half of writing cut off in following]]
mated that by
Brooklyn and
than a half billion
on the Queens

kson
ole System is a
ercy Sutton and
National Black
Cable Communications will build and operate the cable TV system for Queens Inner City for 5 percent of the gross revenues.

[[image]]

NEW YORK Amsterdam News
Vol. 72 - No. 46 SATURDAY, NOVEMBER 14, 1981
35c - Outside NYC 40c
[[copyright mark]] 1981 The New York Amsterdam News
[[line]]

[[image]]
Sutton's group wins multi-million tv bid

Inner City Broadcasting Corporation, the owner of WBLS-FM, the nation's #1 radio station, and WLIB, the nation's premier Black News and Talk radio station in New York, has now entered the field of cable television in full force.

On Monday, November 8th, Inner City placed a winning bid of $10 million for a transponder on the new RCA satellite auctioned at the York Avenue office of the prestigious Sotheby Parke Bernet Galleries in New York City.

Transponders located on communication satellites are used for receiving radio and television signals from an uplink facility on the ground and relaying those signals to radio and television facilities known as earth stations on the ground in other parts of the country for delivery to radio, TV and cable television stations.

Competing with the giants of cable television and investment companies such as Home Box Office, Warner-Amex Satellite Entertainment  Company, Rockefeller Center, and others, Inner City Broadcasting's bid of $10.7 million
 
[[note: the continuity of the above article is ended by another article overlaying it]]
[[article resumes]]
group wins -
and according to Pierre M. Sutton, president of Inner City Broadcasting, the transponder on the RCA satellite to be launched on Ja. 12, 1982, is essential to Inner City's effective expansion into cable television.

Inner City's bidding at the Sotheby Parke Bernet Gallery capped weeks of planning. The auction was attended by seven Inner City officers and staff persons, headed by Mr. Sutton, Inner City's Chief Executive Officer.

Sutton stated that Inner City will use its transponders for transmitting its Black Music Television programming to be launched on July 2, 1982. This programming will be paid for by Cable Television subscribers and advertisers around the country.

Sutton stated that "In [[cut off]]
of the satellite [[cut off]]
[[article now resumes]]
our Black Music Television programming, it will be used for transmitting radio programming to our radio stations in Los Angeles, San Francisco and Detroit, as well as to an Inner city related radio network".

In addition to its radio stations in New York City, Inner City Broadcasting owns WLBS,-FM in Detroit; KBLX-FM in Los Angeles; as well as an investment company, Amiistad DOT Venture Capital of New York City. Inner City Managemente Consultants of New York, and Amistad Electronics, a printed circuit board manufacturing facility in Grand Prairie, Texas. [[end]]

[[overlain article]]
7 Cable TV Firms Targeted for Boroughs

-Continued from Page 3
former member of the board of the Metropolitan Transportation Authority.

Queens is regarded as the choicest of the four boroughs, which together represent over 2 million households that will generate hundreds of millions of dollars in revenue for the firms 
thousands of jobs, and tax
city estimated at
struction in the borough would run "between $182 million and $374 million."

And to indicate the magnitude of the system that borough alone, the lawyers, who were paid $775,000 for their independent evaluation of the cable companies,, said that "it holds the possibility of yielding more than sixty per cent more subscribers than any of the applicants' current systems," adding that "the ultimate cost to construct a boroughwide system in Queens would be more than sixty per cent greater than any of the largest
[[?]] now under construction in the
[[cut off]]
that would receive us, I think there were eleven, and we offered them genuine membership along with one hundred and four channels, subway protection (through closed-circuit television) and more access channels than anyone else."

"Besides," said Sutton, "the black constituency in Queens is so small I don't think it was a consideration."

The heads of two of the firms who didn't make the Queens list yesterday said that lawsuits were a possibility.

Al Simon, head of Orth-O-Vision said that "a suit is a possibility but we will wait until the Board of Estimate selects the firms. This isn't the last word. It's hard for me to believe that we have been left out in the cold like [[?]] had an application pending [?].
[[cut off]]

[[article resumes]] speeches I thought we had a good chance, then it all disappeared. We will consider bringing a suit after the Board of Estimate makes its decisions.

Herbert Sturz, chairman of the City Planning Commission and Koch's top advisor on cable television, said yesterday that "this is as important a decision as any the city has ever made, and today was a critical juncture toward final wiring of the entire city."

Ellen Chesler, a representative of City Council President Carol Bellamy on the board, said "This will change New York City .

[[right side of print begins to be cut off]] But she cautioned that "negotiations will be tough, the city hasn't
all the cards. Some of these firms
drop out because they don't feel there
enough for them."
Walter McCaffrey, chairman
Community Board 2, which includes
Woodside, and Sunnyside said
looking forward to sitting
people from America

284





Transcription Notes:
Note: "new york Voice" is a cut-out that overlays much of the first article. Note: on lower half, an article overlays the newsprint, hence both are only partially transcribed.