(The following is a reformatted version of a statement from Cory Shields, EVP Communications of NBC Universal, regarding its iTunes contract.)

We are also disappointed in not being able to successfully negotiate a new iTunes agreement with Apple. We're hopeful that we can reach a resolution before the existing contract expires. However, we felt it important to set the record straight.

We never asked to double the wholesale price for our TV shows. In fact, our negotiations were centered on our request for flexibility in wholesale pricing, including the ability to package shows together in ways that could make our content even more attractive for consumers.

It is clear that Apple's retail pricing strategy for its iTunes service is designed to drive sales of Apple devices, at the expense of those who create the content that make these devices worth buying.

In addition, we asked Apple to take concrete steps to protect content from piracy, since it is estimated that the typical iPod contains a significant amount of illegally downloaded material.

Furthermore, we want consumers to know that all our returning series, including new episodes, will be available on iTunes through the remainder of the contract, which expires in early December. Our content is also available on NBC.com, Amazon.com, and the soon-to-launch hulu.com.

(jkt)NY

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Last Updated: August 31, 2007 15:46 EDT