Armenian-language TV network cries foul

Robert Shaffer

GLENDALE -- The owner of a television network that brings Armenian

programming to Glendale is saying cable television company Charter

Communications is being unfair to the city’s Armenian population. Allen

Silliphant, co-owner and president of Wallis/Silliphant Communications,

the company that leases channel 17 on Charter for Armenian and ethnic

language programming, said the cable company is raising their prices to

force him out of business. With his company out of the way, Armenian

cable subscribers would then be forced to purchase additional channels to

get channel 55, another Armenian channel run by Charter.

That would bring the cable company an extra $20 a month per

subscriber, he said.

“I would like to see Charter justify trying to get the Armenian

community to pay extra each month,” he said.

But Charter said Silliphant is making a political dispute out of a

business deal he signed but no longer likes. Charter charges

approximately an extra $20 to get Armenian Cable Television-Channel 55

and 43 other additional channels, which are part of an extended package

of programming. APRA Network-Channel 17 is included with the less

expensive Broadcast Basic cable package.

Berdg Karapetian, manager of local origination channels for Charter,

the company that was formerly Marcus Cable, said the charges are

unfounded. Charter would never want to lose the revenue they get from

leasing time on Channel 17 to Wallis/Silliphant Communications, he said.

Charter actually gives the company a break because the company

performs a service by providing television shows for Armenian customers,

Karapetian said. Charter charges the company less than the government

allows, he said. The two companies signed a contract that included the

raise in rates in early 1999, Silliphant said.

Wallis/Silliphant Communications leases air time from Charter then

sells the time to independent television producers, most of which provide

foreign language speaking shows.

Before Marcus became Charter, the company charged Wallis/Silliphant

about $12,000 per year to lease time. With the new contract, that has

been increased to nearly $200,000 with yearly increases, Silliphant said.

Increases on Dec. 31 brought the price of the channel Charter charges to

$226,000 this year, he said.

The increase in rates must be passed on to Armenian language

producers, some of who cannot afford to stay on the air or have to load

their shows with as much as 90% advertising, Silliphant said.

Karapetian said he is surprised the Silliphant and Dave Wallis signed

the contract if they thought it was unfair.

“I believe Dave Wallis is a very astute business person,” he said. “He

made the agreement and signed the agreement knowing what the financial

ramifications were.”

Silliphant said with Charter being the only cable company in town, his

company didn’t have much bargaining power.

“We didn’t’ feel the contract was anywhere near fair,” he said.

Charter is not doing anything illegal but is doing the Armenian

community a disservice by charging higher rates, he said.

“It impacts the entire Armenian community, and they’re trying to see

it as a business deal that has no ramifications. The fallout is some

programs are almost entirely advertising. It degrades the programming.

All the money is going to Charter.”

Vache Mangassarian, the producer and host of a show on Channel 17,

said Charter is trying to kick channel 17 off the air for political

reasons.

“When they raise their prices, they are responsible for putting an

Armenian producer out of business,” he said.

An hour of prime-time television on APRA costs about $160; the same

hour costs $128 on the Armenian Cable Network. Channel 55 has cheaper

rates because fewer people see it.

Producers of the shows pay their bills by selling advertisements. A

30-second ad in prime-time costs between $20 and $35 for most shows.

Silliphant said Charter’s increases also make it hard for him to make a

living. His personal income is down 75% to under $40,000 per year, he

said.

Channel 17 is important because it is the primary source for

programming for Farsi-speaking Armenians, Silliphant said. Channel 55

only runs Farsi programming occasionally.

Silliphant repeated claims made earlier this year that Armenian Cable

Television is controlled by an Armenian political party. Karapetian again

said that is untrue.

“The FCC requires that we treat entities without giving regard to

editorial content. We have to be colorblind and ethnic blind,” he said.

Karapetian said with Charter’s creation of the Channel 55, the company

has tried to provide programming for Glendale’s Armenian community.

Silliphant is using the newspaper in an attempt to gain popular opinion

and force Charter into lowering their rates, he said.

“Something is not genuine about this,” he said. “We have given

substantial discounts for years to Wallis/Silliphant Communications. We

have also developed and funded a channel that can bring additional

programming to the Armenian speaking population.”