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Vince McMahons plan to expand his Worldwide Wrestling Entertainment empire through a dedicated cable channel is on the ropes.
Although WWEs TV shows draw big ratings, it has yet to strike a single deal with a cable or satellite-TV provider to carry its own cable channel, sources said.
WWE had timed the April 1 launch of the network in 40 million homes to coincide with its pay-per-view extravaganza, Wrestlemania. The company even had a clock counting down to the April launch date on its site, which has since disappeared.
The Stamford, Conn., company is also lagging when it comes to hiring experienced cable executives. It was expected to hire some 200 employees, including a general manager to run the channel.
WWEs Vince McMahon hasnt been able to pin down a single pay-TV distributor to carry his proposed WWE channel, which has been a tough sell to advertisers.
WWE has the programming and marketing muscle, but they just have no one with cable experience who can execute for them, said one cable executive.
WWE swung to a loss in the fourth quarter on costs to launch the TV network and revamp its film division. The company lost $8.6 million, while revenue fell 7.8 percent to $122.5 million. WWE spent $4 million in the quarter to get the network off the ground.
WWE has a long-term agreement with NBCUniversals USA Network to air Monday Night Raw. The 10 p.m. show drew 4.6 million viewers on Monday, making it one of the most-watched shows on cable.
WWEs often raunchy programming targets mostly 18-to-34 year-old men, although the company has made efforts to become more family friendly and broaden its appeal for advertisers.
Given the content issues, I think a whole channel would be a stretch, said Gerri Donini, senior vice president broadcast at media-buying shop R.J. Palmer. It is very limited in who it reaches."
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