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<br />"Government Channel" means any channel where a local government agency is <br />the primary designated programmer, and the programming is noncommercial programming <br />concerning government events, activities, services, personnel, and related matters. <br /> <br />"Grantee" means Adelphia Cablevision of Santa Ana, LLC, dba Adelphia Cable <br />Communications, and the lawful successors, transferees, or assignees of that entity. <br /> <br />"Grantor" means the City of Santa Ana, acting by and through its elected <br />governing body, or such representative as the governing body may designate to act on cable <br />matters in its behalf. <br /> <br />"Gross Revenues" means all revenue, cash, credits, and other consideration that is <br />received, directly or indirectly, by Grantee or its subsidiaries or affiliates, from or in connection <br />with the distribution of any cable service provided to subscribers within the franchise service <br />area, and any other service provided within the franchise service area that may, under applicable <br />law, be included in the Cable Act's definition of cable service for the purpose of calculating and <br />collecting the maximum allowable franchise. Such revenue, cash, credits, and other <br />consideration includes, without limitation, the following: <br /> <br />(a) Fees received from residential and commercial subscribers to any tier of <br />Cable Service and for all video programming services. <br /> <br />(b) <br />similar services. <br /> <br />Fees received for installation, reconnection, downgrade, upgrade, and <br /> <br />(c) <br />(d) <br /> <br />Late fees and interest collected on delinquent subscriber fees or charges. <br /> <br />Fees paid for channels that are designated for commercial use. <br /> <br />(e) Fees paid in connection with the rental, lease, or sale of converters, remote <br />controls, and other equipment. <br /> <br />(f) Leased or access channel revenues received in connection with the <br />distribution of any Cable Service. <br /> <br />(g) All bad debts that are recovered. <br /> <br />(h) All revenue that is received by Grantee, or its subsidiaries or affiliates, <br />from the conduct of any service-related activity directly involving the video portion of the cable <br />system, including without limitation revenues derived from advertising sales (less agency fees), <br />the sale of products or services on home shopping channels, and the sale of program guides. <br /> <br />(i) The fair market value of any nonmonetary consideration received by <br />Grantee in any transaction with another person relating to the receipt of cable service or the <br />operation of the cable system as it pertains to the offering of cable service, such as a barter <br />transaction, but not less than the customary prices paid in connection with equivalent <br />transactions. <br /> <br />] 2097 -0002\6806 72v19 .doc <br /> <br />-43- <br /> <br />City of Santa Ana <br />EXECUTION COPY 4/07/05 <br />