AT&T, Rainbow Continue Discussions As Contract Deadline Passes

The carriage contract between AT&T U-verse and Rainbow
Media Holdings expired at midnight, but the parties continued to negotiate into
the morning hours.

As such, AMC, We TV and IFC remained on the distributor's
air and available to its more than 2 million subscribers as of 10 a.m.
(ET), according to a spokesperson for the programmer.

The contract was originally scheduled to conclude on July 1,
before
being extended through July 14.

The parties evidently disagree over the value of the three
services, but the continuing discussions have yet to yield a new accord. Any
prolonged disconnect could claim the fourth-season premiere of Mad Men, AMC's Emmy-winning drama series about the
professional and personal lives of men and women at a 1960s advertising agency.

Relative
to rates, SNL Kagan Associates
estimates AMC's monthly license fee at 25
cents per subscriber, IFC's at 20 cents and We's at 12 cents.