Subscribers Of Time Warner Cable in New York are hopefully prepared for their next rate hike which will take effect on April 1. The average rate increase will be approximately 2.6%. While to some this might not seem like a huge amount of money try explaing that to the our senior citizens, most of whom are living on a fixed income. For some of the elderly cable tv is not only their one source for entertainment but also for information on current news in their local area.
Time Warner always professes that their rate hates are justified because they are providing more progarmming, upgrading equipment , etc.. etc... I'm wondering if subscribers have noticed any real difference in the quality of their programming with all of these upgrades. Granted Time Warner has added some new HD channels to their line-up but does that justify a rate increase.
Is Time Warner raising their rates because of rising fuel prices, programming and energy costs or is their another reason. Last year as New Yorkers know Time Warner took over Adelphia Cable Company and I'm sure the buyout wasn't cheap. Could this be the main reason behind the recent rate increase. After all buying out a company has to put a serious dent in your liquid assets unless their was just a stock swap. Then you need to worry about you're stockholders. A sure fire and quick way to appease the shareholder and increase your liquidity which was drained from your purchase at least in the case of Time Warner is to immediately increase the rates for you services.
