Reelzchannel appears to be the latest victim of the faltering economy. According to a story in the Los Angeles Times, the channel is laying off 40 workers and cancelling its most prominent series, Dailies.
The two-year old channel, owned by Hubbard Media of Minneapolis, is especially vulnerable to the current advertising climate. The channel is offered to operators free, unlike other basic channels which demand a fee from operators for carriage. Its single source of income is the proceeds from advertising.
Dailies is the channel's signature show, a daily wrap-up of entertainment news and information. Unknown is the fate of a VOD movie guarantee program announced early in October. Channel officials said they would recommend to viewers a quality film that didn’t light up the box office but was now available on demand. Viewers who accepted the recommendation and bought the movie but didn't like it could apply to Reelzchannel for a refund. That recommendation was made during Dailies.
The press spokesman for Reelzchannel did not return several calls to confirm the Times report.