Nexstar Stations Cut Retrans Deals

by TVB Staff | September 4, 2008

Nexstar Broadcasting has reached retransmission agreements with DirecTV and AT&T. The Irving, Texas-based television group said the multi-year deals grant the two carriers non-exclusive rights to carry the standard- and high-definition signals of Nexstar’s 50 owned and/or operated TV stations across 29 markets in Illinois, Indiana, Maryland, Missouri, Montana, Texas, Pennsylvania, Louisiana, Arkansas, Alabama and New York. The combined reach of the stations covers around 8.5 percent of U.S. TV households.

Nexstar (NASDAQ: NXST) shares rose slightly just a few pennies following the news, from around $3.37 to $3.44.

Nexstar posted income of $3.9 million on revenues of $70.7 million in the second quarter this year, compared to a loss of $1.3 million on $68.7 million a year ago, and a loss of $100,000 on revenues of $63.7 million in 1Q. Retrans fees generated $4.8 million in 2Q, up 14 percent from a year ago.