Termination Follows Rejection by DISH DBS Noteholders of EchoStar Debt Exchange Offer Terms

DIRECTV to Continue Executing Strategy to Deliver Future of Pay TV to Consumers

EL SEGUNDO, Calif., Nov. 21, 2024 /PRNewswire/ -- DIRECTV (the "Company") today announced that it has notified EchoStar of its election to terminate, effective as of 11:59 p.m., ET on Friday, November 22nd, 2024, the Equity Purchase Agreement (EPA) pursuant to which it had agreed to acquire EchoStar's video distribution business, DISH DBS ("DISH"). The termination of the Agreement follows DISH DBS noteholders' failure to agree to the proposed Exchange Debt Offer Terms issued by EchoStar, which was a condition of DIRECTV's obligations to acquire DISH under the EPA.

"While we believed a combination of DIRECTV and DISH would have benefitted all stakeholders, we have terminated the transaction because the proposed Exchange Terms were necessary to protect DIRECTV's balance sheet and our operational flexibility," said Bill Morrow, CEO of DIRECTV. "DIRECTV will advance our mission to aggregate, curate, and distribute content tailored to customers' interests by pursuing innovative products and providing customers with additional choice, flexibility, and control. We are well positioned for the future with a strong balance sheet and support from our long-term partner TPG."

DIRECTV will continue to invest in next-generation streaming platforms and revolutionize the industry through new packaging options while integrating content from live TV alongside direct-to-consumer services.

The termination of the DISH acquisition does not affect TPG's acquisition of the remaining 70% stake in DIRECTV from AT&T, which is expected to close in the second half of 2025.

About DIRECTV

As a leader in sports and entertainment for 30 years, DIRECTV provides industry-leading content and an amazing user experience with or without a satellite. By reimagining what is possible, DIRECTV's mission is to aggregate, curate and deliver exceptional, innovative service tailored to customers' interests. In 2023, DIRECTV elevated the customer experience by delivering Gemini, which can integrate customers' content from their third-party streaming services onto a single one-stop, digital experience. At DIRECTV, the sports season never ends, and customers are treated to broadcasts of several major sports, including the NFL, MLB, NBA, NHL, and multiple domestic and international soccer leagues. DIRECTV provides customers the choice of watching sports, movies, and TV shows on their TVs at home or their favorite mobile devices via the DIRECTV app.

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SOURCE DIRECTV