Time Warner Cable and Fox have reached an agreement that will keep the network's channels on the cable network.

Time Warner Cable and Fox have reached an agreement that will keep the network's channels on the cable network.

The deal covers Fox television stations, Fox Broadcasting (Fox), Fox Cable Networks, and Fox's regional sports programming. It also includes Bright House Networks and its 2 million cable subscribers. Exact terms were not disclosed.

"We're pleased that, after months of negotiations, we were able to reach a fair agreement with Time Warner Cable -- one that recognizes the value of our programming," said Chase Carey, deputy chairman, president and COO of News Corporation, which owns Fox.

"We're happy to have reached a reasonable deal with no disruption in programming for our customers," said Glenn Britt, chairman, president and CEO of Time Warner Cable.

The deal means that Time Warner Cable customers do not have to worry about losing Fox channels  including football games, the upcoming season of "American Idol," or the latest episode of "Glee."

At issue were the licensing fees that Time Warner paid to Fox in order to broadcast its programming. , but Time Warner said that Fox's initial demands amounted to a 300 percent increase.

Both companies launched Web sites  Time Warner with "Roll Over and Get Tough" and Fox with www.keepfoxon.com  to plead their cases.

The contract between Time Warner and Fox was set to expire at midnight on New Year's Eve. Shortly after midnight, however, Time Warner announced that the two sides had , and a deal was announced Friday around 7pm Eastern time.

Time Warner continues to negotiate a contract with Scripps Interactive Network, which owns Food Network, HGTV, and Great American Country (GAC).

"We're still negotiating with Scripps, but there should be no change in customers' ability to see their programming," a Time Warner spokesman said in an e-mail.

Scripps said it was "very encouraged by the Fox announcement" and that "talks continue" with Time Warner Cable.

Cablevision customers were not as lucky. A similar licensing deal between Cablevision and Scripps was also set to expire at midnight last night. The two sides were unable to reach a deal, however, and Cablevision customers in the New York-New Jersey area woke up to TVs without Food Network or HGTV.

"I think it will be a while before there is an agreement with Cablevision," according to a Scripps spokesperson. "Despite our attempts since last May, Cablevision never engaged in meaningful discussions with us to continue carriage of our networks."

A hotline set up by Scripps has received 120,000 customer calls since midnight, according to Scripps.

"The rates we are seeking represent a very modest increase when you consider that Food Network and HGTV are among the top networks in all of cable," John Lansing, executive vice president of Scripps Networks Interactive, said in a statement.

Cablevision said it has "made a number of fair and reasonable proposals that would allow us to continue carrying Food Network and HGTV. All of our proposals have been rejected by Scripps."

Sen. John Kerry, who urging them to reach a deal, applauded the Fox-Time Warner announcement.

"Both the broadcasting business and the cable business are expensive enterprises and good faith negotiations should result in mutually acceptable terms to both the seller and the buyer without final consumers being put in the crosshairs. I am glad that despite some bumps in the road, that was achieved in this instance," Kerry said in a statement. "I will reach out to both parties, the FCC, and consumer advocates to assess lessons learned from this dispute and what, if any, changes to law are necessary. I again extend my appreciation for a positive outcome to the parties and the efforts that the FCC exerted to bring them together."

"Fox and Time Warner have granted a New Year's resolution of millions of viewers, and I congratulate them," FCC chairman Julius Genachowski said in a statement.

He urged other companies locked in licensing deals  including Sinclair Broadcasting Group and cable company Mediacom  to follow Fox and Time Warner's lead.

"The governing statute contemplates that retransmission terms should be and will be resolved by agreement between private companies, and broadcast and cable companies must accept shared responsibility for any failure to reach a timely deal," Genachowski said.