New York -- Tele-Communications Inc.'s TCI
Communications Inc. unit and Insight Communications Co. said last Friday that they had
signed a definitive agreement to establish a strategic partnership combining cable systems
in central and southern Indiana.
In keeping with their December letter of intent, the
companies also agreed to exchange cable systems in Utah and Indiana, adding to respective
clusters in those states. The Insight-managed Indiana venture will include TCIC's
contributed systems in Bloomington, Kokomo, Richmond and other areas of Indiana, and
Insight's systems serving customers around Noblesville, Lafayette, Jeffersonville and
other areas. TCIC and Insight will each contribute approximately 160,000 customers to the
partnership, and each will own 50 percent of the new entity.
In a side deal, TCI will exchange cable systems serving
approximately 62,500 customers in Evansville and Jasper, Ind., for all of Insight's
Utah cable systems, totaling 58,000 subscribers, in Sandy, Brigham City and Vernal.