Disney-Time Warner Brawl Escalates as ABC Programming Pulled

Updated from 12:21 p.m. EDT

A squabble over transmission rights between Time Warner's (TWX Quote) Time Warner Cable and Walt Disney's (DIS Quote) ABC television network has escalated into a nationwide dispute that has left 11 Disney-owned stations off local cable systems.

The timing of the dispute couldn't be worse for Disney and ABC. The May "sweeps" -- the ratings period during which advertising rates for the next television season are set -- began last week, and ABC, like its competitors, has scheduled numerous TV specials to strengthen ratings. As a result of the disagreement with Time Warner, ABC programming will not be broadcast via cable in much of New York and Los Angeles, the two biggest TV markets in the country.

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