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Cox Against Nexstar/Media General; Wheeler Says Incentive Auction Likely To Finish Before Deal Approved

The public should "voice its opposition" to Nexstar's buying Media General for about $4.6 billion (see 1601270040), Cox Communications said in a news release Thursday. "Nexstar should not be allowed to become a larger company, which would force more cable…

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TV/satellite companies and ultimately consumers to pay higher fees for retransmission consent." Nexstar is "demanding" that Cox pay triple the previous retrans price or Nexstar will remove its signal Friday, Cox said. Nexstar has expressed concern its deal could be held up by the impending incentive auction. FCC Chairman Tom Wheeler said Thursday after the agency's meeting that the question is likely academic because he expects the transaction approval process likely will take longer than the auction. He declined to give an exact estimate of the auction's length. Cox's "misguided plea to consumers" highlights "irrational thinking," Nexstar said in a released response Thursday. The expiring agreement between Nexstar and Cox dates from 2010, and Nexstar is seeking "slightly more than double" rather than triple the older rate, Nexstar said. If Cox has to raise rates to its viewers, it's because Cox has misallocated its programming fee payments, Nexstar said.