What’s behind the speculation about a Dish bankruptcy? (2024)

FAQs

What’s behind the speculation about a Dish bankruptcy? ›

There is simply speculation that it might file for bankruptcy because it's terribly short on cash, heavily loaded with higher-interest debt and coming up on a deadline of April 1, 2024 to either pay T-Mobile approximately $3.5 billion for 800 MHz spectrum or forego purchasing that spectrum.

Dish has $2 billion in debt maturing in November. The company is currently exploring funding options at all levels of its capital structure, amidst difficulties in securing additional resources. However, the company could face bankruptcy within six months.

ENGLEWOOD, Colo., Jan. 2, 2024 /PRNewswire/ -- EchoStar Corporation (Nasdaq: SATS) ("EchoStar") announced today the completion of its acquisition of DISH Network Corporation ("DISH Network") on December 31, 2023.

Dish Network believes it could generate just over $18 billion in revenues next year, and could grow that figure to over $41 billion by 2033. Meaning, the company believes it will ultimately cash in on the nationwide 5G network it is building.

So Who Actually Pays for Bankruptcies? The person who files for bankruptcy is typically the one that pays the court filing fee, which partially funds the court system and related aspects of bankruptcy cases. Individuals who earn less than 150% of the federal poverty guidelines can ask to have the fee waived.

Just ask Dish Network, the second-largest satellite video services provider in the U.S. A case in point. Approximately 552,000 Dish Network subscribers dropped their subscriptions in the first quarter, accelerating an ominous trend that saw Dish lose 268,000 subscribers in the fourth quarter of 2022.

This problem is typically caused by a programming guide or receiver errors. It can also be caused by programming disputes. For more information and to see if you are currently affected, visit dishpromise.com.

DISH gives you the best of cable through satellite tv, plus much, much more. With so many extras for free, the clear choice is DISH!

According to New Street Research's analysis, Dish still has resources that will fund them through mid-2026 without relying on the capital markets. They see two paths for Dish: 1) building a successful wireless business that the capital markets will fund or 2) the sale of their spectrum.

Lowering your DISH bill

Just call 1-866-986-8959, and DISH will go over a variety of options that should better fit your budget.

What bills go away with bankruptcies? ›

For instance, Chapter 7 bankruptcy covers or "discharges" credit card balances, medical bills, past-due rent payments, payday loans, overdue cellphone and utility bills, car loan balances, and even home mortgages in as little as four months. However, not all obligations go away in Chapter 7.

Bankruptcy Pays for Itself

Filing for bankruptcy isn't completely free. So, oftentimes, bankruptcy pays for itself. Between petition fees, liquidation of assets, and for some, repayments plans, a portion of the debt owed is paid through the bankruptcy process alone.

If you listed the IRS as a creditor in your bankruptcy, the IRS will receive electronic notice about your case from the U.S. Bankruptcy Courts within a day or two of the petition date.

Dish Network and AT&T are joining forces, though not, as some have predicted, in the pay-TV space. Instead, Dish has agreed to pay AT&T $5 billion over a 10-year period to secure the telecom giant as its wireless network provider.

Dish Network has been the subject of a number of criticisms relating to management of advertising, disclosure of fees, telemarketing, employee rights and programming disputes; a number of which resulted in lawsuits.

CLSA highlighted Dish TV's achievement of becoming debt-free in 1QFY24, despite its disappointing performance in 3QFY24. Additionally, Dish TV has significantly reduced its debt burden over the past five years, repaying ₹32 billion mainly through internal cash generation.

2014-2024. In the second quarter of 2024, Dish TV had 6.08 million traditional pay TV subscribers, down from about 6.9 million in the corresponding quarter of the previous year. The company's over-the-top (OTT) service, Sling TV, had around two million subscribers.