Court Rejects Request To Stay UHF Discount

The US Court of Appeals for the DC Circuit denied the emergency stay motion filed by public interest groups that sought to prevent the Federal Communications Commission from implementing its decision to reinstate the so-called UHF discount that the groups claim will “make it easier for the nation’s largest television ownership groups to acquire additional stations, and crowd out diverse and local voices.” A stay would have prevented the UHF discount from going into effect while the court hears the case on its merits. Restoring the UHF discount to its national ownership rule, in effect, raises the limit on household coverage of TV station groups from 39% to 78%.

The decision is good news for Sinclair Broadcast Group, which needs it to implement its proposed agreement to buy Tribune Media for $3.9 billion and assumption of debt. That deal would increase Sinclair's household reach to 72%. The FCC had urged the court to deny the stay, saying the public interest groups’ request fell "far short" of meeting the criteria for a stay.