Mediacom Rate AdjustmentsMediacom
July 25, 2012
Mr. Kevin Firntahl
City Clerk
50 W. 13th Street
Dubuque, Iowa 52001 -4864
Dear Mr. Firntahl:
RECEIVED
12AUG -I PHI2:OI
City Clerks Office
Dubuque:, IA
The purpose of this letter is to inform you that, on or about September 1, 2012,
Mediacom will be implementing the following video rate adjustments:1
Product:
Old Rate:
New Rate:
Net Change:
Family Cable
$70.30
$72.30
$2.00
Additionally, all Star premium movie packages will increase by $3.00.
While we are always reluctant to raise video prices, the rapidly rising wholesale cost of
television content is forcing our retail video prices higher and higher. The reality is that
cable and satellite companies are constantly being pressured by the programmers we buy
from to pay more for the channels we carry. If a cable or satellite company dares to resist
a programmer's price increase, they get blacked out. Over the past few weeks, national
shutdowns involving Viacom/DirecTV and Rainbow Media/Dish Network stripped
consumers of channels like AMC, Nickelodeon, MTV and Comedy Central. But these
disputes represent just the tip of the iceberg. Already this year, there have been 22
separate broadcast station blackouts that have resulted in consumers in over 60 markets
losing access to channels. Hearst's recent blackout of Time Warner Cable and Bright
House customers is just the latest example of the onerous price increases the
programmers are trying to force upon cable and satellite companies and, ultimately, their
customers.
While the current regulatory regime created by Congress 20 years ago leaves us little
choice but to raise rates or lose channels, we have been working hard to reform this
dysfunctional system in Washington. We have repeatedly asked the Federal
Communications Commission and Members of Congress to protect our customers from
programmer practices that are rendering pay television unaffordable for more and more
Americans. We invite the leaders of your community to do the same.
I also wanted to take this opportunity to update you regarding the broadband services we
provide to your community. Mediacom is pleased to announce that it was recently
recognized in a Federal Communications Commission study as one of only five of the
1 Customers currently on promotional rates will not receive this rate change until the expiration of their respective promotional period.
Mediacom Communications Corporation
6300 Council St. NE • Cedar Rapids, IA 52402
nation's largest Internet service providers to routinely meet or exceed advertised
residential broadband speeds (see http: / /www.fcc.gov /measuring - broadband-
america/2012 /july). However, these accolades would not be possible without constant
attention to and reinvestment in our fiber network. The investments required to maintain
our fiber network, in terms of personnel, planning and capital, are significant. In addition
to making the video price changes identified above, we will also be adjusting the rates for
Mediacom Online Intro, Online2 and Online Max by $2.00, $4.00 and $5.00 respectively.
In closing, I want to express how much Mediacom appreciates the opportunity to
continue to serve your community's telecommunications needs. If you have any
questions, please contact me directly at (319) 268 -5033 or lgrassley @mediacomcc.com
Yours sincerely,
04j4
Lee Grassley
Senior Manager, Government Relations
2 In conjunction with this price change, Mediacom is increasing the download speed for many Online customers by 25% from up to
12 Mbps to up to 15 Mbps.
Mediacom Communications Corporation
6300 Council St. NE • Cedar Rapids, IA 52402