New President Named at NBC Entertainment

NBC unveiled a succession plan for its entertainment division Monday, naming Scott Sassa president of NBC Entertainment and the eventual replacement for Don Ohlmeyer, president of NBC West Coast, who will oversee the transition to new management until his contract expires at the end of next year.

Sassa, who has headed NBC’s television station group for the last year and previously built the entertainment cable arm of Turner Broadcasting System, replaces Warren Littlefield, a 20-year veteran of NBC who held the position as entertainment president for eight years.

Littlefield, who helped build NBC into the top-rated network with programs such as “Frasier,” “ER” and “Seinfeld,” is forming a joint production venture with NBC.

The management changes, widely speculated upon in Hollywood for months, come at a critical time for the television network. After several years on top, NBC is struggling to keep its No. 1 position in the prime-time ratings without its Thursday night powerhouse, “Seinfeld,” or its Sunday afternoon football package, which is useful in promoting shows to male viewers. Its ratings have dropped more this season than those of any of the major networks.

NBC has been unsuccessful in creating a blockbuster to replace “Seinfeld,” and many in the Hollywood community wonder whether the network’s aggressive focus on cost containment and program ownership has jeopardized its ability to keep its edge. NBC critics say the network has alienated some top producers by demanding ownership of programs and longer terms for licensing shows.

While other networks are busy signing development deals for next season, NBC is locked in a stalemate with many key suppliers. NBC is asking for “perpetual licensing fees” that would prevent suppliers from returning to the bargaining table after a series has been on the air for four years and established its ability to draw audiences. The renewal process enabled Warner Bros. to strike the most lucrative licensing deal in television this year for “ER.”

The cost of “ER” and other hit shows, coupled with an erosion of the network audience caused by cable and the Internet, is threatening NBC’s status as the only television network to make a profit.

Some Hollywood executives say the appointment of Sassa, who is known more as a business strategist than a creative executive, reinforces NBC’s strategy and the changing television landscape. “In the old days, you would bring in a big shot in entertainment to fill one of these positions,” said one television source. “These jobs are becoming less about programming and more about network profitability and making the best use of vertical integration, digital television, the Internet.”

Indeed, CBS Entertainment’s new president, Nancy Tellem, has a background in business affairs, as does Lloyd Braun, the president of Walt Disney Co.’s network television studio.

For the last year, Sassa has been spearheading the shift from analog to digital technology, among other things, at NBC’s station group. Before that, he served briefly as a top executive at Marvel Entertainment and is credited with building Turner’s cable business, which includes such assets as TNT, TBS and the Cartoon Network.

“After getting under the hood of this business at the station group, hit shows are more important than anything,” said Sassa, 39. “But the way the business is structured, you have to have good shows on terms that are fair for everybody.”

Sassa would not comment on the current confrontation with studio suppliers.

Sassa has been seen as the heir apparent to Ohlmeyer since he was hired in October 1996. He worked for Ohlmeyer early in his career at Ohlmeyer Communications Co., a television production company, and his new boss was instrumental in recruiting Sassa to NBC.

Ohlmeyer, who became president of NBC West Coast in 1993, is credited with returning NBC to the top of the ratings chart in 1995, after losing the lead in 1991 to CBS.

Ohlmeyer did not rule out staying at NBC after his contract expires but said his first love is making shows. “I continued to produce the Indy 500 for a couple years after taking this job,” said Ohlmeyer, 51. “I miss that.”

Ohlmeyer, an early investor in ESPN and an avid producer of sports programs, dismissed speculation that he might take a leading role in the new football league NBC is forming with Time Warner.