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20 <br /> The variation between the rates calculated by TWC and staff are due to data treatment <br /> rounding differences.. The rates proposed by TWC conform with the benchmark rate <br /> rules and as such are valid. <br /> Staff calculated a $1.64 per subscriber "adjusted monthly equipment and installation <br /> value where TWC's calculation was $1.43. The difference is attributed to rounding <br /> treatment by the algorithms used by TWC and the consultants. Regardless, the $1.43 <br /> value was entered into the FCC-1200 benchmark rate formula to determine whether if <br /> it affected program service the rates; no material differences were detected. <br /> FCC-1215: A-La-Cart Channel Offerings. <br /> OBSERVATIONS: <br /> The Company offers four premium a-la-carte program services, HBO, <br /> Cinemax, Showtime and The Disney Channel. The premium a-la-carte services <br /> are available individually to all classes of subscribers. <br /> The monthly per service cost is $11.50. A four package combination "deal" is <br /> not available to subscribers on this system, unlike other TWC systems, where <br /> channel capacity is greater. <br /> The Company reported a financial interest in four program services, HBO, <br /> Cinemax, Turner [TBS, CNN & TNT] and BET. <br /> Equipment requirements are a cable ready television for basic services or a <br /> converter decoder box for premium services like HBO, Showtime, and Disney. <br /> The operator reported 21 subscription units to these premium services. Note <br /> that many customers subscribe to multiple unit services, like HBO and Disney. <br /> Although no downgrade service charges are assessed, an upgrade service charge <br /> necessitating a truck roll based upon the Hourly Service Charge of$17.96. <br /> Subscribers leasing a converter to view premium and pay-per-view programs, <br /> incur a $2.00 nominal charge for service upgrades performed via computer form <br /> the office. <br /> FINDINGS: <br /> The operator's a-la-carte program service rates are consistent with the <br /> FCC-1215 reporting requirements. The rates appear reasonable in that they are <br /> consistent with similar a-la-carte offerings by other multiple system cable <br /> operators. <br />