six channels, but on May 31, 1993, Encore acquired the pay cable rights to telecast recent feature films from Universal Pictures released after that year; as a result, TCI/Liberty decided to create an additional premium pay TV service to serve as a competitor to HBO and Showtime. The network carried the moniker "Encore 8" in its on-air branding as part of a numbering system that was used by Encore's multiplex channels. Early trademark filings indicated that TCI/Liberty proposed names including "Applause" and "Stars" for the service (the "s" in the latter was ultimately changed to a "z" in the final naming). Starz focused more on recent feature films, while Starz Encore (then Encore) focused on films released between the 1960s and the 1980s, before adding recent film fare itself in July 1999. It also held the television rights to releases from Carolco Pictures, New Line Cinema (as well as its sibling labels Fine Line Features and Turner Pictures), and the Walt Disney Company–owned studios Touchstone Pictures, Hollywood Pictures and Miramax Films. Films from those studios were not carried on Starz until 1997, after Disney's output agreement with Showtime for its non-family-oriented films concluded. The network restricted the scheduling of films that contained graphic sexual or violent content to late evening and overnight time periods. Starz's availability was mainly limited to TCI's systems at launch, debuting with a one-month free preview available to prospective subscribers; it would eventually sign its first major carriage agreement outside the TCI group, through a deal with Continental Cablevision in September 1995. Starz was available to an estimated 2.8 million pay television subscribers by 1996, only one million of whom had subscribed to a cable or satellite provider other than TCI. As a startup network, Starz endured major losses during its early years, with total deficits topping US$203 million and annual losses of US$150 million by 1997. It was predicted to lose an additional US$300 million in revenue before it was predicted to break even. In June 1997, Comcast signed an agreement to carry the network on its Pennsylvania and New Jersey systems to replace Philadelphia-based PRISM after that network shut down that October following the loss of its (and sister network SportsChannel Philadelphia's) sports programming to Comcast SportsNet Philadelphia. Partly in an effort to get the network's substantial losses off its books, TCI announced a deal on June 2, 1997, in which it transferred majority