Oprah’s new cable network ‘to cost $100mn’
New York: Investors in Oprah Winfrey`s new cable network are revising their contract with the chat show host as the deal is costing more than expected.
Discovery Communications has already invested 75 million dollars in launching Winfrey`s OWN cable network and it is likely to exceed the 100-million-dollar budget.
With each delay of the launch from 2009 to mid-2010 to January 2011, Discovery has had to form a whole new budget.
“We’re in the process of revising that contract,” a news daily quoted the company`s chief financial officer Brad Singer as saying.
“The budget likely will go up and the cost to launch the network will be higher than we had originally contemplated.” he added.
Peter Liguori, Discovery Communcations COO, said, “There’s been good absolute volume on the ad front. They’re effectively spending in investing in programming. As we have a little more time for launch, we`re able to have a solid library of programming, and we anticipate a very effective launch.”