LONDON: BBC may be making gains due to the Iraq conflict but its reach has been dealt a blow in Israel. The Jewish state's three cable television companies have dropped BBC World from their systems.
 

The loss couldn't have come at a worse time for the UK broadcaster given the fact that the Iraq conflict is looking like continuing longer than expected. On record, the companies have denied the decision is linked with the fact that Israeli viewers are unhappy with the channels coverage of the Israeli-Palestinian conflict.

The ostensible reason given was the failure to reach an agreement on a new contract. A Reuters report indicates that the cable companies had decided to axe either BBC or Sky News once their contracts were up. They decided on BBC as the Beeb refused to lower its asking price. The companies have claimed that nearly all their 40 suppliers agreed to reduce their prices on account of the difficult economic circumstances the country is having top face.

On its part the beeb noted that the growing digital satellite television provider YES would still keep the news station.