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Technology Stocks : C-Cube
CUBE 36.52+0.3%Dec 12 9:30 AM EST

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To: J Fieb who wrote (37820)12/15/1998 2:18:00 PM
From: John Rieman  Read Replies (1) of 50808
 
USSB headend will be moved to LA(Divi encoders) and Castle Rock(GI encoders)...................................

moon.ai-group.com

USSB Exits As A DBS Pioneer

The $1.3 billion merger deal between U.S. Satellite Broadcasting and DirecTV will mean the exit of one of the first DBS licensees in the small dish business.

USSB, under the direction of chairman Stanley S. Hubbard, signed up for its DBS license in 1981. Since the company's debut in 1994, when it launched the formerly-named "DSS" platform with DirecTV, the company has built a 2.1-million subscriber strong service focused on premium movie channels from HBO and Showtime.

The shared platform between the two companies serves more than 4.2 million subscribers.

Hubbard and his two sons, USSB President Stan E. Hubbard and Vice President Robert Hubbard, will serve on the DirecTV advisory board. Before they join, the company they founded will eventually be folded into DirecTV's operations.

Upon completion of the merger, expected in three to six months, DirecTV will consolidate billing and customer service operations now maintained by USSB.

USSB's satellite uplink operation in suburban Minneapolis could be shut down as work is transferred to DirecTV's facilities in Los Angeles and Castle Rock, Colo. However, USSB spokeswoman Jackie Faubus couldn't say for sure what will happen to the facility.

USSB has about 185 employees. DirecTV executives wouldn't speculate on what would happen with the staff. Faubus said after the deal closes, some employees will stay on to assure a smooth transition. Until that is done, she said it will be "business as usual" at the company.

Once USSB is merged into DirecTV, the Hubbards will have the chance to create programming for the satellite provider. The family already has the All-News Channel, which will continue getting carriage on the satellite platform.
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