White House Correspondents Insider

Behind the scenes of the most powerful city in the world — Washington, D.C. — and those who cover it.

Department of Justice Files Suit to Block AT&T Merger With Time Warner

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Photo courtesy Josh Hallett.

The Department of Justice has filed a lawsuit to block AT&T’s purchase of Time Warner, a potential $85 billion deal granting the telecommunications giant access to major media brands including CNN, Warner Brothers, HBO and more.

Filing in the District Court for the District of Columbia, government lawyers claim the merger would allow companies under AT&T’s umbrella to control a disproportionate interest of both what individuals watch and how they watch it, meaning they could force both competitors and consumers to pay higher prices.  AT&T owns satellite provider DirecTV, while Time Warner owns networks such as TBS, TNT, Cartoon Network and HBO.

“This merger would greatly harm American consumers,” said assistant attorney general Makan Delrahim.  “It would mean higher monthly television bills and fewer of the new, emerging innovative options that consumers are beginning to enjoy.”

AT&T general counsel David McAtee countered the lawsuit’s claims, saying the deal was a “vertical merger,” combining two companies that operate at separate stages of a production process.  He also stated that the lawsuit was “a radical and inexplicable departure from decades of antitrust precedent.”  Historically, vertical mergers are much more difficult for government officials to block.

The Department of Justice was forced to defend the lawsuit in light of several comments by President Donald Trump, criticizing cable news network CNN, which is owned by Time Warner.  One executive at Turner Broadcasting said, “there isn’t any precedent.  It’s one thing to say ‘Fake news!’, it’s another to reverse governmental policy because you object to a company’s journalism.”  Trump has indicated several times he may attempt to thwart the merger, both during the presidential campaign and as president.

AT&T Chairman and CEO Randall Stephenson said he has no intention of selling CNN to win approval of the Time Warner merger.

 

News Network Ratings Thrive in Age of Trump

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Photo courtesy Pixabay.

Cable news continues to thrive during the Trump administration, with all three major networks showing healthy ratings last month.

Fox News ended the month of October as the most-watched basic cable network overall, coming in first with both total day and prime time viewers.  Fox had lost the top slot in prime time recently to sports network ESPN, although the network has continued to hold the most total day ratings for eight weeks in a row.  Five of the channel’s programs also were listed in the top 10 cable telecasts in total viewers, including Tucker Carlson Tonight, Hannity, and newly-added The Ingraham Angle.

MSNBC came in at third place among total viewers in basic cable for the week, behind Fox News and ESPN.  Measuring total day viewers, the news network was in second place among all networks, only behind competitor news channel Fox News.  The network had two shows in the top ten total viewed programs: The Rachel Maddow Show coming in third place and Last Word With Lawrence O’Donnell in eighth place.

CNN also earned healthy ratings, landing in 10th place for the top ten basic cable networks for prime time viewers.  Among total day, CNN lept to sixth place in the top ten ratings.  CNN had no programs in the top ten most viewed shows, where the network’s most-watched program, Anderson Cooper 360 coming in 25th in total viewers.  (The show ranked 11th among viewers in the critical 25-54 year old demographic.)

Even so, all three cable news networks have witnessed varying declines in net primetime viewers for the month of October compared to 2016, the final full month of the presidential year election campaign.  Fox News saw a 28% decline in total viewers over last year, and CNN down 52%.  MSNBC fared best in the yearly comparison, only declining 6%.

 

Disney Ends Ban on Los Angeles Times Film Critics After Media Backlash

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Photo courtesy Pixabay

Amidst significant media backlash, the Walt Disney Company has reversed its decision to ban film critics with the Los Angeles Times from press screenings of its films.

Disney said in a statement:

“We’ve had productive discussions with the newly installed leadership at the Los Angeles Times regarding our specific concerns, and as a result, we’ve agreed to restore access to advance screenings for their film critics.”

The Walt Disney Co. had revoked the Times’ access to all press briefings, an ABC website for journalists and other media events following a September story in the paper titled “Is Disney paying its share in Anaheim?” which focused on the company’s business ties with the city of Anaheim.  Disney had considered the story to be unfair, and blacklisted the newspaper following its publication.

In response to the blacklisting, several individual journalists, film critics and media outlets ranging from The New York Times, Washington Post and The A.V. Club announced their own boycotts of advance screenings of Disney films.

The A.V. Club’s A. A. Dowd wrote that the outlet took exception with Disney’s strong-arm tactics.

“It’s a dangerous precedent that Disney is setting: Write an unfavorable story—one that Disney hasn’t disputed factually, even—and it will blacklist your publication, punishing independent journalism by using its massive corporate influence. And it’s one that we similarly can’t abide. The A.V. Club will follow [Washingont Post film critic Alyssa] Rosenberg’s lead and—effective immediately—we will refrain from attending any press screenings of Disney movies, at least until the company rescinds its ban on The Los Angeles Times. “

Film critic groups had also voted to disqualify Disney films from award nominations.  In a release, the Los Angeles Film Critics Association, the New York Film Critics Circle, the Boston Society of Film Critics and the National Society of Film Critics jointly announced their decision, wherein “all four critics’ organizations have voted to disqualify Disney’s films from year-end awards consideration until said blackout is publicly rescinded.”

The Walt Disney Co. has enacted punitive action against news organizations and analysts in the past for publishing pieces the company deemed unfair.  Press liaisons have told journalists several times that access to Disney executives and film previews is “a privilege and not a right.”

“A powerful company punishing a news organization for a story they do not like is meant to have a chilling effect,” The Times said. “This is a dangerous precedent and not at all in the public interest.”

Fox News Rejects Democratic Mega-Donor’s Television Commercials

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Fox News building on 6th Avenue in NYC. Photo courtesy Jim Henderson via Wikimedia Commons.

Fox News has cancelled a contract to broadcast advertisements on the network that were purchased by a Democratic mega-donor as part of a $10 million national campaign demanding the impeachment of President Donald Trump.

Californian hedge fund manager and activist Tom Steyer confirmed on Friday that Fox News informed him October 31 it was discontinuing his ad entitled “Join Us,” which urged viewers to sign an online petition demanding Congress begin impeachment proceedings.

Brad Deutsch, an attorney for Steyer, claimed Fox News was in breach of contract after agreeing “unconditionally” on October 27 to air the ads for a second week.  Deutsch stated the network’s actions on pulling the ads early showed “a profound failure of journalistic integrity, a suppression of constitutionally protected speech, and likely a consequence of inexcusable political pressure.”

The ad campaign was the focus of a tweet sent from President Trump on the same day, saying Steyer was “[w]acky & totally unhinged.”

Deutsch wrote in a letter to Fox that “It is no coincidence that the Cancellation of the Advertisement, in the second week of its run, came on the heels of a tweet from President Trump criticizing the spot and Mr. Steyer personally.”

Steyer criticized the decision of the network, saying “[m]illions of Americans have raised their voices in opposition to Donald Trump.  If Fox News is siding with Trump and trying to silence us, they must be afraid of what we have to say.  It shows no respect for democracy.”

Fox News’s co-president Jack Abernathy said the decision to pull the ads was reached due to the “strong negative reaction” by the network’s viewers.

“Due to the strong negative reaction to their ad by our viewers, we could not in good conscious take their money,” Abernathy said.

 

CNBC’s Sharon Epperson Back On Air After Brain Aneurysm

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CNBC Studio.  Photo courtesy of Wikipedia

CNBC senior personal finance correspondent Sharon Epperson is back on the air at CNBC after a 13 month absence.

One morning in September 2016, Epperson went to the hospital after complaints of a severe headache while exercising.  There, she was diagnosed with a brain aneurysm, leading to emergency surgery and two weeks recovering in the ICU.  Following release, she faced months of rehabilitation, including again learning to walk and maintain her balance.

After several months of work and perseverance, Epperson decided she was well enough to return to CNBC after completing the 4th Annual TeamCindy 5K Run for Research, which benefits the Brain Aneurysm Foundation.

“I really missed engaging with my viewers and readers,” Epperson said in a recent interview.  “Real life involves a lot of insecurities surrounding saving for retirement, paying off debt, putting kids through college, taking care of aging parents — all while trying to advance our careers.  It’s not easy.”

Epperson returned to CNBC with an appearance on the half-hour Saturday broadcast of “On the Money.”

Radio & Television Correspondents’ Association Holds 73rd Annual Correspondents’ Dinner

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Uber’s Justin Kintz with Democratic Whip Steny Hoyer. Photo courtesy Haddad Media

The Radio & Television Correspondents’ Association brought together hundreds of journalists, politicos and business leaders Wednesday evening at the National Building Museum in Washington, DC for the 73rd annual Radio & Television Congressional Correspondents’ Dinner.

The evening began with a reception hosted by media champion Uber.

Photo courtesy Haddad Media

Speaker of the House Paul Ryan wowed the crowd with his keynote address, taking a jovial tone by telling the crowd that:

“The reason I wanted to come by is because I have seen your latest approval ratings.  And I just want to tell you, keep your heads up.  As low as they are, they could be a whole lot worse.  Because they could be my approval ratings.”

The Speaker turned to a more serious topic, addressing the role of a free press in our nation.  While the White House dismisses stories critical of the administration as “fake news,” the Speaker praised the work done by the media and the central role journalists play in our system of government.

“We have a very messy system. But this very messy system of government is the best possible system, and this messy system of government completely relies on a free and open press… Our Republic does not work without what you do.”

IHeartRadio’s Bobby Bones was the Master of Ceremonies for the evening, with headline entertainer and correspondent for Comedy Central’s “The Daily Show with Trevor Noah” Roy Wood, Jr. making fun of all parties with a great riff on the importance of trust.

Guests included House Democratic Leader Nancy Pelosi, House Majority Leader Kevin McCarthy, Senator Joe Manchin, Rep. Mark Meadows, Wolf Blitzer, Dana Bash, Craig Gordon, Ryan Williams, Brian Lamb, Sara Murray, Gloria Borger, Justin Kintz, Jimmy Kemp, Kenny Day, Bill Gibbons, John Parkinson, Robin Sproul, Sam Feist and Kevin Cirilli.

Get some popcorn and watch the entirety of the 73rd Annual Radio & Television Congressional Correspondents’ Dinner courtesy of C-SPAN here.

Jimmy Kemp, Justin Kintz, Carly DeBeikes, Ken Strickland, Sam Feist and friends. Photo courtesy Haddad Media

FCC Eliminates Rule Requiring TV and Radio Stations to Have Local Studios

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Photo courtesy Pixabay.

The Federal Communications Commission voted by a 3-2 margin to eliminate a decades-old rule requiring television and radio stations to maintain studios in the local communities they serve.

The three Republican commissioners said the decision would lead to cost savings for the broadcasters, which could be used to enhance “programming, equipment upgrades, newsgathering, and other services that benefit consumers.”

Enacted over 80 years ago, the rule was established to “facilitate input from community members and the station’s participation in community activities.” In today’s modern age, that rule is no longer needed because residents “can interact directly [with stations] through alternative means such as e-mail, social media, and the telephone,” the FCC said in a release announcing the decision.

“Getting rid of the rule will help broadcasters serve viewers and listeners, especially those in small towns and rural areas where the cost of compliance dissuades broadcasters from even launching stations,” FCC Chairman Ajit Pai stated.

Local stations will still have an “obligation to air programming responsive to the interests of the community,” according to commissioner Michael O’Rielly. Residents will still be able to contact their local stations, because “it is more efficient and effective to call or e-mail a broadcast station, especially in times of an emergency, rather than visit the actual studio.”

The Democratic minority commissioners argued that eliminating the rule would exacerbate the problem around the shortage of stations with strong community ties.

“There are many broadcasters who do an extraordinary job serving communities during disaster,” said commissioner Jessica Rosenworcel. “But let’s be honest – they can only do so when they have a real presence in their area of license.” She continued that removing the main station rule “will hollow out the unique role broadcasters play in local communities.”

Newsmax CEO Christopher Ruddy predicted that because of the rule change, “local news production could be moved to places such as New York and Washington as the big networks buy up local stations.”

RT America Ignores Justice Deadline to Register as Foreign Agent

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Photo courtesy the Kremlin.

RT America, the DC-based television network’s bureau partially funded by the Kremlin, has ignored an October 17 deadline set by the Department of Justice to register under the Foreign Agents Registration Act.

“Our legal team has been doing everything possible for RT to avoid having to register under FARA and the dialog is ongoing,” RT communications director Anna Belkina said in a statement.  “On their advice we are not discussing further details at this time.”

The Justice Department demanded action by RT America in September, along with establishing the October deadline.  Experts say deadlines accompanying FARA registrations are rare, but can happen in instances Justice suspects they will not get voluntary compliance.

There is currently no clear plan to address next steps in the situation; one likely possibility could be that the DoJ again requests RT to register under FARA.  RT could also file an injunction to stop the government from forcing it to file.

Federal investigations are probing the role played by RT America in Russia’s efforts to influence the 2016 presidential election.  An intelligence report issued in January said RT “conducts strategic messaging for [the] Russian government” and “seeks to influence politics, [and] fuel discontent in the U.S.”

FARA was created in 1939 to prevent German propaganda from swaying the American public prior to the onset of World War II.  Companies or individuals working on behalf of foreign governments are required under the legislation to disclose their funding the the relationship with the Department of Justice, but registration does not prohibit any news agency from operations.

Other media outlets funded by foreign governments are registered under FARA and continue working in the United States, such as Japanese broadcaster NHK and Chinese newspaper The China Daily.

Attorney General Refuses To Rule Out Jailing Journalists

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By U.S. Customs and Border Protection (160120-H-NI589-0103) [Public domain], via Wikimedia Commons

During a hearing at the Senate Judiciary Committee, Attorney General Jeff Sessions stated he could not make a “blanket commitment” against jailing journalists for reporting the news.

In response to a question posed from Sen. Amy Klobuchar (D-MN) asking him to pledge not to put “reporters in jail for doing their jobs,” the Attorney General responded:

“Well, I don’t know that I can make a blanket commitment to that effect.  But I will say this, we have not taken any aggressive action against the media at this point.”

Sen. Klobuchar commented that the president’s recent tweets suggesting the administration could look into revoking broadcast licenses for networks prompted her to ask the Attorney General for clarification.

“We always try to find an alternative way, as you probably know, Sen. Klobuchar, to directly confronting media persons.  But that’s not a total blanket protection,” Sessions told the committee.

 

FCC Extends Deadline for Public Input on Sinclair-Tribune Merger

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Photo courtesy Pixabay.

Today, the Federal Communications Commission (FCC) announced it is extending the timeline allowing members of the public to comment on the Sinclair Broadcast Group’s proposed takeover of Tribune Media.

“Today we permit interested parties to submit additional comments in the proceeding for the transfer of control of Tribune Media Company to Sinclair Broadcast Group, Inc.  We are also pausing the Commission’s 180-day transaction shot clock in this proceeding for 15 days, until November 2, 2017,” the agency said via release.  “[W]e believe that this action will contribute to a more efficient review of the proposed transaction.”

The FCC usually attempts to complete transfer reviews within 180 days, but the Sinclair acquisition has prompted opposition from consumer groups and rival conservative media outlets.

In September, the agency requested Sinclair provide more information on the acquisition, including their plans on staying in compliance with federal restrictions regarding media ownership limits.

The announcement is intended to provide interested parties more time to communicate their concerns to Sinclair’s response, filed earlier this month.  “The Commission has a strong interest in ensuring a full and complete record upon which to base its decision in this proceeding.  Pausing the clock will ensure that commenters have additional time to review and comment on this new information,” the FCC stated.