DCP RIGHTS, LLC • 100 North Crescent Drive • Beverly Hills, CA 90210 •
December 23, 2021 VIA EMAIL (amatos@camaraderepresentantes.org) Hon. Ángel Matos García Acting Chairman Tourism Commission Puerto Rico House of Representatives The Capitol San Juan, PR 00902-2228 Re:
Investigation on the New Year’s Eve Event pursuant to House Resolution 256
Dear Mr. Matos García and members of the House Tourism Commission: On behalf of DCP Rights, LLC, I would like to thank you for this opportunity to provide points of clarification regarding the Venue Support Agreement, dated as of September 20, 2021, (“Agreement”) between DCP Rights, LLC and the Puerto Rico Convention Center District Authority (“PRCDA”). DCP Rights, LLC holds IP rights to the following franchises/programs: Golden Globe Awards, Dick Clark's New Year's Rockin' Eve, Academy of Country Music Awards, and American Music Awards. In response to your letter dated December 20, 2021, the following are the responses of DCP Rights, LLC, for itself and its affiliates, (“DCP”) to the questions you have asked regarding the Agreement and/or television program titled Dick Clark’s New Year’s Rockin’ Eve 2022 (“Program”):
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QUESTION Indicate the date on which you or any member of DCP was contacted by someone from Puerto Rico with the intention of producing a television event for December 31, 2021. a. b.
c.
RESPONSE On or about May 25, 2021, Michael Nieporent, DCP’s Vice President, Sponsorship, began communication with Sara Garibaldi at the Ketchum Agency, whom we understood to represent Discover Puerto Rico, regarding a potential partnership for the Program. Regarding the particular name of the See above response person who contacted you initially. Provide the names of all persons at DCP The following individuals from DCP were involved in the and the positions that they hold at DCP, negotiation of the Agreement (“DCP Personnel”): involved in the contracting with the Puerto • Chris Czarkowski - Chief Revenue Officer Rico Convention Center District to • Kevin Smith – SVP, Sponsorship produce an activity on December 31, 2021 • Michael Nieporent – VP, Sponsorship • Mona Metwalli – SVP, Business Affairs Provide the names of all persons in Puerto We are conducting a search of our electronic Rico connected with the December 31, communications which has not been completed yet; 2021 event who communicated with DCP however, we can confirm communications with the and its personnel. following individuals in Puerto Rico regarding the Agreement:
Hon. Ángel Matos García December 23, 2021 Page 2
d.
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Provide a copy of all documentary and electronic communications shared between DCP, Puerto Rico Destination Marketing Organization (Discover Puerto Rico) and the Puerto Rico Convention Center District Authority.
Indicate whether Mr. Oscar Santa María participated in any oral or written conversation; face-to-face or remote meeting in connection with the contract between DCP and the Puerto Rico Convention Center District Authority. a. If Mr. Oscar Santa María participated in any of these, indicate in what capacity. Meaning to what direct authority or on whose behalf is Mr. Oscar Santa Maria’s participation. Breakdown by cost or expense items of the amount for which DCP was contracted. Meaning how do you divide the amount of $2,275,000.00 for which DCP was contracted by the Puerto Rico Convention Center District Authority.
• Mariela Vallines - PRCDA • Norberto Pérez-O’Neill, Esq. – PRCDA • Noema Giralt – PRCDA • Leah Chandler – Discover Puerto Rico • Michelle DeLeo – Discover Puerto Rico • Brad Dean – Discover Puerto Rico • Xiomara Rodriguez - Discover Puerto Rico Respectfully, this request is broad and burdensome. In addition, due to the holidays and the unavailability of DCP’s IT staff, DCP is simply unable to investigate this information at this time. It is our understanding that this information should be more easily and immediately available to the Commission through the local governmental entities. None of the DCP Personnel have any knowledge of or acquaintanceship with Mr. Santa María, nor do they have any personal recollections or electronic records of his being involved with the Agreement. Not applicable
DCP’s production plans and costs for the Program have changed radically since the new Covid restrictions were announced on 12/21 and are in the process of being revamped and revised right now. Furthermore, final production costs and expenses are not actually fully known and verified until after production concludes. a. Indicate the name of the person who Mona Metwalli - SVP, Business Affairs represented DCP in the signing of the contract with the Puerto Rico Convention Center District Authority. i. Job description at DCP of the position As SVP, Business Affairs for DCP, Mona Metwalli’s of the person that authorized him or responsibilities include, without limitation, structuring, her to sign the contract with the negotiating, and drafting marketing, promotion, Puerto Rico Convention Center partnership, sponsorship, and integration agreements on behalf of DCP as well as providing legal advice on District Authority. various company matters. Provide the value of the cost of the commission, DCP did not make any such payment to natural or legal success fee, bonus, payment for execution, person living in Puerto Rico, affiliated with Puerto Rico, referral fee, or stipend for any natural or legal or working for an entity affiliated with Puerto Rico, person for the production of the event in Puerto including the Ketchum Agency. Rico of the Dick Clark's New Year's Rockin’ Eve.
Hon. Ángel Matos García December 23, 2021 Page 3
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How will the fifteen (15) minutes time in which the activity that will be held in the vicinity of the Puerto Rico Convention enter by the production of the Dick Clark's New Year's Rockin’ Eve be distributed? a.
b.
The total amount of content produced at the Puerto Rico Convention Center located in San Juan, Puerto Rico (“Venue”) to be incorporated in the broadcast of the Program is approximately ten (10) minutes in the aggregate, consisting of approximately five (5) separate segments. What will be the content of this DCP respectfully refers the Commission to Exhibit A to transmission? the Agreement which sets forth the details of the specific content to be included in the Program. For convenience, the following is a summary of the content elements to be included in the Program: • One (1) performance by a mutually approved musical act (“Artist”) from the Venue during the broadcast of the Program (“Program Performance”); • One (1) segment featuring a mutually agreed performer serving as the local co-host of the Program from the Venue (“Host”) introducing the Venue and teasing the Program Performance; • One (1) interview with Artist about or related to the Program Performance; • One (1) pre-recorded video package segment, which shall be between approximately one minute forty-five seconds (1:45) and three minutes (3:00) in length, that highlights mutually agreed topics related to Puerto Rico (e.g., showcasing how the island celebrates the world’s longest holiday season, etc.); and • One (1) video package segment featuring or recapping the countdown to midnight in the Spanish language which will take place at or around the Venue at 11:59 p.m. Atlantic Standard Time and which will be incorporated in the Program after 11:30 p.m. Eastern Standard Time (“EST”) but before 11:59 p.m. EST. Which artists will be televised? Daddy Yankee will be the musical performer in the Program (“Artist”); Roselyn Sanchez will be the local cohost of the Program (“Host”). The selection of the performers to appear as Artist and Host was made as follows: • Ketchum, on behalf of its client, Discover Puerto Rico, provided DCP with a list of desired and acceptable performers to appear as Artist and Host in the Program;
Hon. Ángel Matos García December 23, 2021 Page 4 DCP investigated the availability, willingness, and feasibility of the talent on that list to participate in the Program; and • Daddy Yankee and Roselyn Sanchez were excellent choices approved by PRCDA, available, and willing to appear. c. Provide the names of the people who There was no negotiation on a per minute or per any were in charge of negotiating the televised time period basis. time and cost per minute. d. Provide the name of the persons who The artists appearing in the Program (Daddy Yankee negotiated the exclusivity of the artists in and Roselyn Sanchez) are fulfilling the contractual Puerto Rico who will be televised on the requirements, not related to any exclusivity issue. Dick Clark's New Year's Rockin’ Eve. Provide evidence that supports the scope of the Please see the attached materials. For convenience, audience of the Dick Clark's New Year's Rockin’ the following are key statistics regarding the reach and Eve program. scope of the Program: • #2 Non-Sports Telecast for all of 2020 (11:30 p.m. – 1:00 a.m., A18-49, L+SD) • 38,000,000,000+ global media impressions across broadcast, digital, radio, and print • 42,300,000 total audience unique reach (P2+L+SD) • 5,200,000 total interactions across Facebook, Instagram, and Twitter • 8,200,000 video views across Facebook and Twitter • #1 most social program across all of TV on 12/31/20 • 5,000,000+ performance views on YouTube.com within ten (10) days of broadcast • 3x more viewers than Fox NYE special / 2.7x more viewers than CNN’s NYE special (total unique viewers P2+ L+SD). •
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Data sourced from the following independent third-party entities: Nielsen/Nielsen Music, Cision, Meltwater, BurrellesLuce, TV Eyes
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What will be the scope of the transmission of the The full-length Program is broadcast in the United event from Puerto Rico? States (including Puerto Rico) and Canada as well as at U.S. military bases around the world. It is possible that the Program may also be broadcast in Latin America. Clips, press releases, interviews, and other elements may also find natural distribution in other countries throughout the world. In connection with the increases or rebound in The safety of our cast, crew, and audiences is of Covid-19 contagions in the United States, do you paramount importance to DCP. We are keeping fully apprised of the COVID situation in all locations where
Hon. Ángel Matos García December 23, 2021 Page 5 contemplate cancelling this event in New York, the Program is being produced and have engaged California, or another state. health experts to advise us on our procedures. We also closely monitor governmental requirements, rules, orders, and the like to ensure we are complying with the most stringent production protocols. Since the pandemic began in March 2020, we have safely produced eight (8) live event television programs as well as other pre-recorded production. At present, we are not planning to cancel shooting in any of our locations for the Program but will be adjusting our production plans as circumstances and regulations require. Again, we appreciate the opportunity to provide you with clarifying information about the Agreement. I trust these responses have addressed the Commission’s concerns. Cordially, Michael Kohn EVP, Business Operations & General Counsel enclosures
DICK CLARK'S NEW YEAR'S ROCKIN' EVE WITH RYAN SEACREST Airing annually since 1972, NYRE features the iconic ball drop in Times Square with the biggest entertainers celebrating the year with a lineup of unforgettable performances. NYRE is the mostwatched New Year’s program on television and is continually one of the largest televised events of the year. The 2021/2022 broadcast will be Dick Clark's New Year's Rockin' Eve's 50th anniversary!
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#2 NON-SPORTS TELECAST IN 2020 (11:30pm-1am Show, A18-49 L+SD)
THE BUZZ
38B+
+74%
GLOBAL MEDIA IMPRESSIONS ACROSS BROADCAST, DIGITAL, RADIO AND PRINT
YOY GLOBAL MEDIA IMPRESSIONS
BROADCAST
42.3mm
5.57
TOTAL AUDIENCE UNIQUE REACH (P2+ L+SD)
A18-49 RATING (L+SD)
(across 8-10pm, 10-11pm, 1:30pm-1am, 1-2am)
(11:30pm - 1:00am Show)
6.7
28mm+
A18-49 RATING (L+SD) DURING THE 12:00-12:15AM QUARTER HOUR BEATING THE COMBINED NYE COMPETITION
TOTAL AVERAGE VIEWERS DURING THE MIDNIGHT MOMENT (P2+ L+SD)
(2.73 rating on NBC, 1.77 rating on CNN and 1.58 rating on FOX)
SOCIAL
5.2mm
+73%
TOTAL INTERACTIONS ACROSS FACEBOOK, INSTAGRAM & TWITTER ABOUT THE NYRE 2020/2021
YOY INCREASE TOTAL INTERACTIONS (NYRE 2019/20 vs. NYRE 2020/21)
(12/31/20)
8.2mm
#1
VIDEO VIEW COUNTS GENERATED (+36% YOY) ACROSS OWNED FACEBOOK AND TWITTER VIDEOS ABOUT DICK CLARK'S PRIMETIME NEW YEAR'S ROCKIN' EVE WITH RYAN SEACREST 2021 ON 12/31/20
DRIVER OF SOCIAL VIDEO VIEWS ACROSS ALL OF TV ON 12/31/20
#1
MOST SOCIAL PROGRAM ACROSS ALL OF TV ON 12/31/20
BRAND POWER
100%
5mm+
PARTICIPATION FROM PERFORMERS ACROSS SOCIAL MEDIA, HELPING DRIVE TUNE-IN AND AWARENESS
SHOW PERFORMANCE VIEWS ON YOUTUBE WITHIN THE FIRST 10 DAYS FOLLOWING THE SHOW
THE LANDSCAPE
3x
2.7x
MORE VIEWERS THAN FOX'S NEW YEAR'S EVE TOAST & ROAST
MORE VIEWERS THAN CNN'S NEW YEAR'S EVE LIVE (T otal Unique Viewers P2+ L+SD)
(T otal Unique Viewers P2+ L+SD)
THE PARTNERS
This year, Planet Fitness and New Year's Rockin' Eve teamed up once again to help viewers break free from 2020 and get moving into 2021 and for the first time ever, Planet Fitness was the presenting sponsor of NYRE during the Midnight Celebration in Times Square and the Central Time Zone Countdown in New Orleans!
Kia took the "2021" numerals on a first-ever road trip across the country, from Irvine, CA to Times Square, NY, bringing hope to all of those that couldn't be in Times Square when the numbers light up at midnight. In partnership with New Year's Rockin' Eve and National Geographic, the journey was documented along the way and highlighted in the broadcast. And for the first time ever, Kia was the presenting sponsor of NYRE during the 10-11pm celebration!
"By partnering with MRC L&A, Kia Motors America accomplished two key objectives. We raised awareness of the all-new 2021 Sorento SUV and shared the hope and anticipation of New Year’s Eve in Times Square with hundreds of millions of viewers through the inspirational stories of workers on the frontline of the pandemic." - Russell Wager VP, Marketing (Kia)
THE FANS GEN POP
NYRE DIE-HARD FANS
Among music listeners, radio was one of the top discovery sources for music
51%
68%
Money spent on music categories (typical month)
$96
$135
Watched television (broadcast or cable) in past 12 months
73%
89%
Electronics purchasing in the past 3 months
23%
30%
Women's personal care products & beauty purchasing in the past 3 months
39%
53%
Men's personal care products purchasing in the past 3 months
37%
47%
Automotives purchasing in the past 3 months
9%
15%
Sources: Nielsen, Nielsen Social, MRC Data/Nielsen Music, Cision, Meltwater, BurrellesLuce, TV Eyes; Unique Viewers based on a 6 min qualifier ;Nielsen Music / MRC Data U.S. Music 360 2020AT1: How much do you agree or disagree with the following statements? – Top 2 Box Base: Music Listeners – Total Gen Pop 13+ (2750), New Year’s Rockin’ Eve Die-Hard Fans (296), New Year’s Rockin’ Eve Considerers (196). #2: (11:30pm-1am Show, A18-49 L+SD)
‘Dick Clark’s New Year’s Rockin’ Eve’ Ties ‘The Masked Singer’ for Season’s Top-Rated Entertainment Broadcast
ABC broadcast's 10-11 p.m. hour draws 11.2 million viewers and a 3.5 rating among adults 18-49
Reid Nakamura | January 4, 2021 @ 6:11 PM
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ABC’s “Dick Clark’s New Year’s Rockin’ Eve” broadcast on Thursday night tied the Thanksgiving episode of “The Masked Singer” as the toprated entertainment telecast of the season so far, according to Nielsen.
The 10-11 p.m. hour drew a total of 11.2 million total viewers and scored a 3.5 rating among adults 18-49 in live-plus-same-day viewing, according to Nielsen. The first two hours, which aired from 8-10 p.m., averaged 8.4 million viewers and a 2.3 in the demo. The primetime broadcast’s peak came, naturally, in the final half-hour, with 11.9 million viewers and a 3.8 rating at 10:30 p.m.
The Ryan Seacrest-hosted broadcast out-performed the competition, with NBC’s primetime programming averaging 4.7 million viewers and a 1.0 rating and Fox trailing at 2.2 million viewers and a 0.7 rating.
Also Read: Everybody Loved Watching Anderson Cooper and Andy Cohen Get Drunk for New Year's Despite the pandemic, the 2021 edition of “Dick Clark’s New Year’s Rockin’ Eve” even outperformed last year, with the first two hours growing by 15% and the final primetime hour up 4%. Produced by Dick Clark Productions, the 49th edition of “New Year’s Rockin’ Eve” marked Seacrest’s 16th year hosting the show, alongside “Pretty Little Liars” alum Lucy Hale, “Pose” star Billy Porter, Ciara and Big Freedia. Performers included Porter, Cyndi Lauper, Brandy, Doja Cat, Megan Thee Stallion, Miley Cyrus and Jennifer Lopez.