Business
Sinclair, Nexstar will bring ‘Jimmy Kimmel Live’ back to owned ABC stations on Friday
Sinclair and Nexstar are returning “Jimmy Kimmel Live!” to ABC affiliate broadcast stations beginning Friday, the companies said in separate statements.
The announcements come three days after Disney’s ABC broadcast network returned the late night program to its air after a nearly week-long suspension. Disney had temporarily suspended the late night show following comments Kimmel made about the alleged murder of conservative activist Charlie Kirk and President Donald Trump’s MAGA movement.
“Our objective throughout this process has been to ensure that programming remains accurate and engaging for the widest possible audience. We take seriously our responsibility as local broadcasters to provide programming that serves the interests of our communities, while also honoring our obligations to air national network programming,” Sinclair said in a statement on Friday.
“Over the last week, we have received thoughtful feedback from viewers, advertisers, and community leaders representing a wide range of perspectives,” Sinclair said. “We have also witnessed troubling acts of violence, including the despicable incident of a shooting at an ABC affiliate station in Sacramento. These events underscore why responsible broadcasting matters and why respectful dialogue between differing voices remains so important.”
The broadcast station owners said earlier this week they would continue to preempt Kimmel’s late night show, meaning it would be unavailable on local stations for roughly 20% of the country, while they evaluated the situation and continued discussions with Disney.
Sinclair owns roughly 40 ABC affiliate stations in the U.S., including one in in Washington, D.C. Nexstar owns about 30 in markets including Salt Lake City and New Orleans.
Kimmel addressed the situation — and the ongoing preemptions — during his returning show this week.
“We are still on the air in most of the country, except, ironically, from Washington, D.C., where we have been preempted,” Kimmel said during Tuesday’s monologue. “After almost 23 years on the air, we’re suddenly not being broadcast in 20% of the country, which is not a situation we relish.”
Sinclair said Friday it had proposed measures to “strengthen accountability, viewer feedback, and community dialogue” at ABC and its affiliates.
“While ABC and Disney have not yet adopted these measures, and Sinclair respects their right to make those decisions under our network affiliate agreements, we believe such measures could strengthen trust and accountability,” it said.
Nexstar said in a statement: “We have had discussions with executives at The Walt Disney Company and appreciate their constructive approach to addressing our concerns.”
Disney declined to comment Friday.
Kimmel’s suspension last week came shortly after Nexstar announced it would not air the program in light of the host’s comments. Sinclair soon after said it would likewise preempt the program.
Those announcements followed comments from Federal Communications Commission Chairman Brendan Carr that suggested ABC affiliate stations could be at risk of losing broadcast station licenses over Kimmel’s remarks, which came during a show monologue.
The series of events raised questions about influence by the Trump administration on the media and First Amendment protections.
“Our decision to preempt this program was independent of any government interaction or influence,” Sinclair said Friday. “Free speech provides broadcasters with the right to exercise judgment as to the content on their local stations. While we understand that not everyone will agree with our decisions about programming, it is simply inconsistent to champion free speech while demanding that broadcasters air specific content.”
Earlier this week, Sen. Maria Cantwell, D-Wash., sent a letter to Sinclair pushing to bring “Jimmy Kimmel Live!” back on air. Sinclair owns the Seattle ABC affiliate station.
Nexstar similarly denied any government influence.
“As a local broadcaster, Nexstar remains committed to protecting the First Amendment while producing and airing local and national news that is fact-based and unbiased and, above all, broadcasting content that is in the best interest of the communities we serve,” Nexstar said in a statement.
“We stand apart from cable television, monolithic streaming services, and national networks in our commitment – and obligation – to be stewards of the public airwaves and to protect and reflect the specific sensibilities of our communities,” the statement continued. “To be clear, our commitment to those principles has guided our decisions throughout this process, independent of any external influence from government agencies or individuals.”
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Employers added 178,000 jobs, far more than had expected, the Labor Department says.
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A Gulfstream G-IV private jet on approach to Washington’s Reagan National Airport in Arlington, Virginia, June 12, 2024.
J. David Ake | Getty Images
As the Iran war pushes jet fuel prices higher, well-heeled travelers are facing hefty surcharges to fly private, sometimes on flights booked months prior, charter brokers and aviation insiders told CNBC.
Vimana Private Jets CEO Ameerh Naran said the firm recently booked a $520,000 flight from Dubai to London on a Boeing business jet for a client. That same trip cost the client $400,000 in 2023. The difference was entirely due to jet fuel prices — which now average about $4.65 a gallon globally — Naran said.
It’s yet another ripple in the recent disruptions to air travel.
More customers turned to private air travel during the pandemic to avoid crowds. The option remains popular and has become more important to the aviation sector as wealthier households prop up spending in travel and other sectors.
These deep-pocketed travelers are less likely to get priced out as airfares rise, but they have to navigate unexpected fees as brokers and charters differ on how they pass along fuel costs. Jet fuel prices in major U.S. cities were up more than 80% last month, according to Airlines for America, an industry group, citing Argus data.
Jet charter brokers like Vimana arrange flights with jet operators, which own the planes and buy fuel, on behalf of passengers. Naran said Vimana does not renegotiate contracts and does not reprice flights, but that charter prices have surged quickly.
He advised travelers to book sooner than later, saying any price hikes are likely to be sticky even if the Iran war ends soon.
Larger jet operators are slower to pass along fuel costs to passengers as they buy fuel in bulk and want to avoid alienating customers, according to Naran. However, operators will likely have to pay more at the pump when they replenish their supplies, and some are taking losses by not repricing flights, he said.
“There’s a long-term effect, because a lot of companies now will be making losses,” he said. “They’re not going to renegotiate the contract because they don’t want to spoil the relationship with the client, but if they’re making a loss today, they’ve got to recoup it.”
Jet charter prices have increased by 5% to 15% on average, with some rising by as much as 20%, since the Iran conflict began, according to charter broker Amalfi Jets’ database.
Passing costs to passengers
While some operators have raised prices on flights booked months ago and scheduled to fly in the coming weeks, Amalfi Jets CEO Kolin Jones said his company is eating the surcharges for jet card customers.
Some operators are also passing along increased war risk premiums for flights in the Gulf, though Amalfi Jets has only encountered this with three flights so far, he said. The charges added about $8,000 to $10,000 per trip, Jones said.
Gregg Brunson-Pitts of charter broker Advanced Aviation Team said that while he believes operators should honor prices for previously booked flights, repricing is a risk.
In some cases, the fees are relatively insignificant, he said, like a $1,500 surcharge for a flight from Palm Beach, Florida, to Phoenix, Arizona, on a Bombardier Challenger 300, for example. On the other hand, a round trip on a Gulfstream from the East Coast to Asia could incur $20,000 in surcharges for every dollar increase in fuel prices per gallon, he said.
Some long-haul trips have all-inclusive fuel pricing, Brunson-Pitts added.
Nearly all charter contracts include a fuel variable expense, allowing providers to charge more even if the flight was booked six months ago, according to Amanda Applegate, a partner at Soar Aviation Law.
Fractional jet owners, who share overhead costs in exchange for a set number of flight hours, typically pay an hourly rate on fuel that’s adjusted on a monthly or weekly basis. Even they may be on the hook for surcharges when fuel prices spike, Applegate said.
Private jet travelers are less price-sensitive than most flyers, and brokers told CNBC that they haven’t seen surcharges deter demand. Customers who only fly private once or twice a year for special occasions are most likely to get sticker shock, they said.
“Realistically, the individuals that are flying private, the need and want and reason of flying private does outweigh cost,” Jones said. “If you’re going to spend $25,000 on a private jet, and let’s say the cost is now $30,000, that doesn’t necessarily price people out.”
Brokers are also working to mitigate costs by refueling in countries where fuel is cheaper, even if it means additional flight time, Jones said.
Demand for private flying
So far, the business jet market is holding steady, with flights up 5% year over year in the week through March 22, according to aviation data and consultancy firm WingX.
Flexjet global CEO Andrew Collins said jet utilization by the company’s fractional aircraft owners is up 15% over last year. Clients are generally invoiced after they fly, and the company resets fuel prices toward the end of the month, taking an average of the month, he said.
Even as oil prices surge, travelers looking to avoid long lines at airports may be propping up demand for private charters.
Recent government shutdowns — a major disruption last fall and now a partial, ongoing shutdown — have left key aviation workers without pay and slowed air travel.
Most recently, that has led to hourslong lines at major U.S. airports like those serving Houston and New York as Transportation Security Administration officers called out of work while they weren’t receiving regular pay.
In the five weeks after the partial government shutdown began on Feb. 14, business jet departures increased year over year at most metropolitan airports, WingX reported.
Flexjet’s Collins said the company saw an increase in what he called “pop-up flights,” or reservations that guaranteed an aircraft within 10 hours of departure, during the recent airport chaos.
That said, Amalfi’s Jones said he has noticed some clients opting to fly on smaller aircraft to spend less.
“Some of them are very upset about that, like, ‘Hey, I used to fly on Citation Xs. Pricing is so expensive, and now I’m flying on a Hawker 800,'” Jones said. “It’s like, well, you’re still flying private. You’re going to get there maybe three minutes slower than the bigger airplane. But all in all, it’s the same kind of level of experience.”
Brunson-Pitts encouraged flyers to confirm with their broker whether they can expect a fuel surcharge or an invoice after their trip. Still, he said he expects the situation to be temporary, comparing it to oil’s rapid surge and subsequent crash from 2007 through 2008.
“This too shall pass,” he said. “That doesn’t mean it’s not painful, but the price of jet fuel rises and then it falls again.”
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