• by David Goetzl  @dgoetzl, June 1, 2011

A renewed carriage agreement with Time Warner Cable will help TV Guide Network reach 80% penetration with a full-screen picture by the end of the year. The network, which is in about 80 million homes, is trying to eliminate all iterations where a listings scroll appears on the screen along with the programming.

When Lionsgate took control of the network, full-screen versions were in 32% of its footprint. The figure is now at 60%.

Lionsgate purchased the network in 2009, and its wide distribution brought value, although CEO Jon Feltheimer said its "real estate was tarnished" by the listings scroll.

That continues to hurt ratings and ad sales, even as that market has improved, Feltheimer told investors Wednesday. But ratings in homes with DirecTV and Dish Network -- where there are no listings -- are up 29%, suggesting that as full-screen penetration climbs, so will network success.

"Why we haven't had the opportunity to benefit from the uplift in advertising ... we expect to see our ratings continue to go up and our ad sales to follow," Feltheimer said.

The network has struggled financially with what Lionsgate listed as "nil" revenues in the year that ended March 31, while there was a loss of more than $28 million. Lionsgate can, however, use the network as a distribution platform for TV content it owns, such as "Weeds," and recognizes revenue from the licensing of films and TV shows.

The network is known for its red-carpet coverage at entertainment events and has been carrying shows such as "Weeds" and "Curb Your Enthusiasm." TV Guide Network has announced plans for original programming -- a series based on the Web site "Gossip Cop" and a mini-series in the Hollywood crime genre.

Lionsgate operates TV Guide Network along with tvguide.com.