International Family Entertainment
The company has its origins in Pat Robertson's Christian Broadcasting Network (CBN); the religious broadcaster had re-positioned its CBN Satellite Service, which primarily carried televangelism, as the CBN Cable Network, which carried a mixture of secular programming and religious programs. Owing to its new scope, the service was later renamed the CBN Family Channel.[3]
By the 1990s, the network had become too profitable to remain under the ownership of the non-profit CBN without legal repercussions. In January 1990, a decision was made to spin off the CBN Family Channel into a new, for-profit company known as International Family Entertainment, via a sale at a price of $250 million in convertible notes.[4][5] The majority of IFE was owned by the network's management, with a 15% minority interest held by TCI Development Corporation, a subsidiary of cable provider Tele-Communications Inc. Special voting shares were issued to Pat Robertson and Timothy Robertson that gave them control of the company.[5] IFE continued to use CBN's facilities under a rental agreement.[4][6] As a stipulation of the spin-off, The Family Channel was required to maintain daily airings of CBN's flagship television program The 700 Club, a condition that has remained in effect to this day.[3]
CBN sold $23 million in notes to another cable company. An additional $127 million of convertible notes were converted into stock prior to an IPO in April 1992, in which CBN would sell them for $93 million to $106 million worth. More shares would be sold directly by IFE in the amount of $47 million to $53 million in a total of about $150 million.[5] IFE's proceeds would be used for programming, marketing and possible acquisitions or investments.[7] Plans were in the works for a home video distribution deal with Pacific Arts by the end of 1992, a South Korea cable network with Hyundai Electronics Industries Co. (now SK Hynix), and a joint venture to bid for a Czechoslovak TV station. Additional plans called for Family Channels in Britain and the rest of Europe, and additional cable channels. In consideration by IFE for the cable channel's genres were game shows, westerns, country music and sports as well as Spanish-language simulcasting.[5] On April 28, 1992, IFE began public trading on the New York Stock Exchange under the ticker FAM.[8]
In May 1992, IFE announced plans to launch Game Channel, a joint venture with Game Technologies, which is a channel that would air original and classic game shows. The co-owners planned to allow viewers to interact with its programming over a 1-900 line; revenue was to be shared with providers that carried the channel, who could also integrate their own interactive content into the service. Upon its announcement, Game Channel already faced competition from Sony Pictures Television's upcoming Game Show Network, as well as other new cable networks launching around the same period.[9][10][11] On June 7, 1993, The Family Channel launched a game show block with interactive segments built around its new original production Trivial Pursuit, in preparation for the planned launch of Game Channel.[12]
In February 1993, IFE acquired the assets of Television South, a former ITV franchisee in Southern England, for $68.5 million. The deal gave IFE ownership of the library of Mary Tyler Moore's studio MTM Enterprises; IFE planned to leverage the MTM programs as part of a new syndication division, and the sale would also bolster an impending British version of The Family Channel. In June 1993, prior to its launch, IFE sold a 39% stake in The Family Channel UK to local company Flextech. The channel officially launched on September 1.[13][14] Flextech would later buy out IFE's share in The Family Channel UK,[15] which then became the game show-oriented channel Challenge.
On August 20, 1993, IFE soft-launched the Cable Health Club (later known as FitTV),[16] a service devoted to fitness.[17] In December 1993, IFE opened a bidding war to acquire the Nostalgia Network, competing with a partnership of Florida-based MOR Music TV Inc. and Arizona-based Gen-She Inc., and part-owner Concept Communications (owned by the Unification Church).[18]
In December 1993, IFE purchased three Myrtle Beach, South Carolina theaters and Calvin Gilmore Productions for $20 million. The Great American Entertainment Co. was formed as a subsidiary of IFE to control the companies.[19]
In 1994, IFE acquired Dorothy Hamill International, which had bought the ice show franchise Ice Capades out of bankruptcy. However, the company went out of business afterward due to the decreasing popularity of its shows in favor of traditional figure skating competitions and exhibitions.[20] The tour had a lackluster season, which led Hamill to leave the company. IFE then searched for a management company to handle the touring company for an equity stake. Instead, they sold Ice Capades in late 1995 while retaining the option of reacquiring a majority stake in Del Wilber & Associates for 10 years.[21][22]
By March 1995, IFE formed the Family Channel Pictures banner to produce four $8 to $12 million theatrical films per year. Amblin Television president Tony Thomopoulos was hired as MTM Entertainment's chief executive officer and would also oversee programing on The Family Channel, Family Channel Pictures, and creative aspects of Ice Capades and Great American Entertainment Company.[23]
Acquisition by Disney
On October 24, 2001, The Walt Disney Company acquired Fox Family Worldwide for $2.9 billion cash plus $2.3 billion in debt assumption, due to Fox Family Channel's 35% audience decline, which gave Disney control of the Fox Family channel (which, owing to its new ownership, was renamed ABC Family, and its parent company renamed ABC Family Worldwide), Saban Entertainment, Saban's 49.6% stake in Saban International Paris, Fox Kids' international networks in Latin America and Europe,[37] a 76% stake in Fox Kids Europe (which operated the European networks), as well as additional cable rights to the Australian children's music series The Wiggles (which originally began airing in the U.S. on Fox Family in May 1999 before being moved to Playhouse Disney in June 2002), Major League Baseball (MLB) games that were assigned to Fox Family via the Fox Sports division (which included a slate of Thursday-night regular season games), and Division Series games.[38] ESPN assumed the production responsibilities for these games as part of its ESPN Major League Baseball package, although they continued to air on ABC Family for the time being.[38]
