CORRECTED-Ergen says Dish Network cannot afford to bid for DirecTV

Thu May 8, 2014 2:30pm EDT

(corrects headline and first line in story to say Ergen is chairman, not CEO of Dish Network)

May 8 (Reuters) - Dish Network Corp Chairman Charlie Ergen said the satellite TV company would not make a move for competitor DirecTV because the price would be too high, even though a combination of the two companies would have high synergies.

"DirecTV would be too frothy for us, for our board to look at, at those kind of prices," Ergen said on a conference call on Thursday after the company reported first quarter results.

Ergen was referring to media reports saying AT&T Inc and DirecTV were weighing a tie-up.

He also said Dish was not in a position to outbid Sprint Corp should it make a move for smaller rival T-Mobile US Inc but if Sprint did not proceed, T-Mobile US Inc would be of strategic interest to Dish. (Reporting By Liana B. Baker; Editing by David Gregorio)