The Scoop...

Disney's super kid

ABC, Inc. has benefited from the magic touch of its new parent, the Walt Disney Company, and maintains one of the industry's largest multimedia operations. Unfortunately, the company's most famous arm - the ABC Television Network and its 224 affiliates - has suffered of late. Once the nation's leading network, ABC has fallen to third place among the major networks.

ABC merged with United Paramount Theatres in 1953, and began hiring outside studios, including Disney Studios, to produce its programming in the 1950s. The network picked up cable sports channel ESPN in 1984, and was bought out by Capital Cities Communications in 1986 for a cool $3.5 billion. In 1996, Capital Cities/ABC was purchased by entertainment steamroller Disney for $19 billion. Under Disney's big mouse ears, the company cut out ABC Productions, and nixed plans to create a 24-hour news channel. Also in 1996, the company simplified its name to ABC, and kicked off a controversial ad campaign in 1996 based around a "TV is good" theme. The campaign depicted its wares as guilty pleasures, featured witty phrases such as "Don't worry, you've got billions of brain cells," but so far has generated more buzz than ratings.

Lying reporters; cutting down

In addition to its television broadcasting operation, which generates 85 percent of the company's revenues, ABC operates ABC radio and its affiliates and produces a slew of business guides and periodicals. In 1997, the network was forced to pay for having reporters lie on their job applications and pose as employees in order to produce a flashy expose on "Prime Time Live" about Food Lion's unsanitary practices. (A federal judge reduced the network's payout in punitive damages to the food chain from $5.5 million to $315,000.) Also that year, Disney continued to trim ABC's fat by selling four ABC newspapers, and partnering with Starwave to create ABCNEWS.com, a news Web site.

For you sports fans

ABC is ready for some football, and hopes viewers are too - the network laid down $4.4 billion in 1998 to keep broadcasting rights to "Monday Night Football," the highest rated sports program on TV. National Mobile Television (NMT) announced its provision of on-site production facilities for this hit Monday night program, as well as the NFC Wildcard Game and 2003's Super Bowl XXXVII, after its purchase of all of ABC Sports mobile production units in June 2000. NMT will be the sole provider for all of ABC Sports domestic productions until 2004.

Climbing up

Though the network has lost its previous reign over Tuesday night viewers, which it captured over the past decade with "Home Improvement" and "Roseanne," it has made a promising start at capturing the children's market. Under Disney's lead, the network has vied with Fox for the number one spot in Saturday morning programming, while the ABC Multimedia Group has enjoyed success with its digital and interactive television operations.

Tarses jumps ship

ABC president Jamie Tarses resigned in August 1999 after a stormy three-year stint at the network. Tarses encountered trouble from the beginning of her ABC career, locking horns with chairman Stuart Bloomberg shortly after she came aboard. Things calmed down for a spell, and Tarses seemed to be working well with Bloomberg, but when Disney decided to merge its TV operations with those of ABC, things turned sour again, this time between Tarses and Disney studio chief, Lloyd Braun. Braun attempted to alter ABC's programming too much for Tarses' tastes and the two personalities clashed. The altercation ultimately led to Ms. Tarses resignation.

The million dollar craze

Ratings are up, and the numbers are pulling for ABC, especially after the release of its explosively successful series "Who wants to be a millionaire." The network beat out NBC on a Thursday night in May 2000 - the first time in six years. Its competitor CBS is feeling the heat too. In the same month, ABC pulled 18.2 million primetime viewers in one week, 6.6 million higher than that for CBS. The company also signed an agreement with Time Warner Cable to guarantee ABC programming will be accessible to Time Warner Cable customers until 2006.