Exactly.
However I don't understand how TV providers and channel companies interact. Do TV providers provide a contract to the channel companies (i.e. AMC or IFC), or what?
Basically if a TV provider has interest in offering a channel, they will approach the owners of the channel and ask for a price per subscriber. After a price is agreed on, a contract will be gone over and negotiated. After negotiations have finished, the contract is signed and the channel is supplied to the customers.