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NAME GAME BEGINS AS NCTA BEGINS SEARCH FOR SACHS REPLACEMENT

NCTA Pres. Robert Sachs told NCTA’s board that he won’t seek to renew his contract, which is up at the end of this year. His letter immediately touched off a round of speculation in the industry over who will replace him. NCTA Chmn. Glenn Britt, CEO of Time Warner Cable, said a search committee would be formed and a search firm retained, but the name on the lips of most sources we spoke to was Tori Clarke, the former NCTA vp who became the face representing the Pentagon during the U.S. invasion of Iraq. She recently returned to cable, as Comcast senior adviser-communications & govt. affairs. Others mentioned included Rep. Tauzin (R- La.), among other lawmakers stepping down after this term.

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Sachs, who became NCTA president in 1999, had said then that he wanted the post for only 3 years. The NCTA board offered to extend his contract, and he accepted. But in a letter to the NCTA board last week, the 55-year-old Sachs said the commute between his home in Boston and the NCTA offices in Washington had taken a toll he could no longer justify. However, Sachs said he would stay on until the end of his contract and even longer, if necessary, until a replacement can be found. Several industry sources said they expect that after he leaves, he will consult for the industry from his home in Mass.

Sachs’ tenure included much change in the industry, including an agreement with the consumer electronics industry on “plug-&-play” capability, as well as holding the industry together during a critical part of the digital transition and rallying industry leaders behind a response to the uproar over indecency on TV that included a commitment to give consumers free blocking technology. Sachs also presided as the industry has pushed for a deregulatory environment for cable-provided high-speed Internet. Britt said in a statement that Sach’s “skill at keeping an industry with sometimes divergent business views working together in Washington” shouldn’t be understated.

Britt said the executive committee of the NCTA board this summer will discuss plans to retain an executive search firm, but the search probably wouldn’t get fully under way until the entire board meets in late Sept. Sachs told the board he would remain “fully engaged” until his replacement is named: “There’s no reason for NCTA to lose a single beat during this period.”

Although most industry sources said they believed the decision was a personal one, Sachs did have a few policy differences with industry leaders, notably with Cox CEO Jim Robbins over his decision to wage a public battle with ESPN over programming costs. Although the dispute between Cox and ESPN was eventually settled, some in the industry saw the inter-industry spat as an indication that Sachs’ ability to hold the industry together was faltering. NCTA represents both the major cable operators and programmers. One source said Sachs’ long term goals didn’t mesh with “the direction the industry was headed.” However, most industry sources we spoke to seemed to accept that the burdensome commute finally become too much.

Clarke has told industry insiders that she’s not interested in the position, but the fact that she has solid Republican credentials as asst. secy. of defense for public affairs and was press secy. for then-President Bush’s 1992 reelection campaign, might induce industry leaders to make her an offer she couldn’t refuse, particularly if President Bush is reelected in Nov., we were told. “A lot will depend on the outcome of the election in November,” one source said in answer to a question about whether a Republican or a Democrat might be chosen to lead NCTA. Sachs, a Democrat, was seen by some has having a limited impact in the current Republican-dominated administration. Moreover, House Majority Leader Tom Delay (R-Tex.) still oversees the Republicans’ K-Street Project, designed to pressure trade associations to pick Republicans for their leaders. Clarke also was an advisor to Sen. McCain (R-Ariz.) and assistant U.S. trade representative in the first Bush administration. A possible drawback to Clarke is that she has worked mainly in a communications capacity and not as a lobbyist, we were told.

Other names mentioned were Tauzin, who’s serving out his final term. He made a triumphant return to the NCTA National Show in April, having lost 35 pounds, beaming and saying that his treatment thus far has been a success. However, Tauzin had earlier turned down an offer from the MPAA and is thought to be asking for upwards of $2 million, or about twice what Sachs is paid. Also mentioned by sources was Sen. Breaux (D- La.), a conservative Democrat who also isn’t seeking re- election this year. He has made no secret of his desire to stay in Washington as a lobbyist. Current NCTA Exec. Vp. David Krone, another Democrat, also might be considered, we were told, though much would depend on the Nov. election and whether the board would want a candidate with a higher public profile.