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                                                                   EXHIBIT 10.63






                                December 26, 2002



Ms. Lana Corbi
8570 Colecrest Drive
Los Angeles, CA. 90046

Dear Ms. Corbi:

The following will confirm our agreement regarding termination of your
employment with Crown Media United States, LLC (hereafter referred to as
"Crown"). As you have been previously advised, Crown has elected to terminate
your employment and employment agreement with Crown dated September 25, 2001
(the "Employment Agreement"), effective December 31, 2002. Such termination is
pursuant to Paragraph 8(b) of the Employment Agreement. Notwithstanding the
terms of the Employment Agreement, we have agreed that:

1.       In lieu of payment of the salary provided for in Paragraph 3(a) of the
         Employment Agreement over the remainder of the Term as provided in
         Paragraph 8(b), Crown will pay you a lump sum of $1,325,521 on or
         before December 31, 2002. This lump sum payment will be subject to any
         withholdings or deductions required by law.

2.       You will receive a flat bonus of $300,000 for 2002 (subject to any
         deductions required by law), in lieu of a bonus calculated pursuant to
         Paragraph 3(b) of the Employment Agreement. This bonus will be paid in
         2003 on the date the 2002 bonuses are paid to other Crown employees.

3.       The bonuses for 2003 and 2004 (in the latter case, adjusted for the
         partial contract year) will be calculated and paid as provided in
         Paragraph 3(b) of the Employment Agreement. In calculating these
         bonuses, any overall adjustments in the formulas or benchmarks which
         are used to calculate bonuses for other senior executives whose bonus
         formulas are similarly based on EBITA or revenues and which are
         necessary to allow for unforeseen developments in Crown's operations or
         the television marketplace, will also be made in your bonus
         calculations. In other words, you will be treated consistently with out
         top executives with respect to any such adjustments. These bonuses will
         be subject to the mitigation provisions of Paragraph 3(b) of the
         Employment Agreement.

4.       You are eligible for continued medical, dental and vision coverage for
         yourself and your family pursuant to the Consolidated Omnibus Budget
         Reconciliation Act ("COBRA"). Crown has agreed to make all payments
         required for continuation of this COBRA coverage on your behalf through
         June 30, 2004, provided that you are not eligible for coverage under
         any other employer's medical plans. Your participation in all other
         Crown employee benefit plans (including Fringe Benefits under the
         Employment Agreement) will cease as of December 31, 2002.

5.       You may retain the computer equipment which Crown previously installed
         in your home, consisting of:

         1 Dell desktop
         2 Dell 17" monitors
         2 HP 1200 printers
         1 DSL router
         1 Dell Latitude LS 400 w/ docking station
         1 Dell keyboard
         1 Dell mouse
         1 Zip drive
         1 Blackberry

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         You may also retain your company cell phone and Crown will ask that the
         cell phone be transferred to your account with your existing provider
         effective January 18, 2003. Similarly Crown will request that your high
         speed DSL service be transferred to your personal account on the same
         date. The DirectTV service, which has been provided to you, will be
         terminated.

6.       Notwithstanding Paragraph 5(a)(iii) of the "Nonqualified Stock Option
         Agreement" between you and Crown Media Holdings, Inc., dated as of
         August 1, 2000, and the terms of the Crown Media Holdings, Inc. Amended
         and Restated 2000 Long Term Incentive Plan, the 62,047 Crown options
         which were awarded under that agreement in lieu of the Odyssey SARs
         which you held (which options have fully vested) may be exercised at
         any time on or before December 31, 2005. The options will then expire
         on December 31, 2005.

7.       You, on behalf of yourself and your heirs, representatives and assigns,
         hereby release and discharge Crown, its parent companies, their
         subsidiaries and divisions, and all of the respective current and
         former directors, officers, shareholders, successors, agents,
         representatives and employees of each, from any and all claims you ever
         had, now have, or may in the future assert regarding any matter
         occurring prior to the Effective Date, including, without limitation,
         all claims regarding your employment or termination of your employment
         with Crown (including any rights and claims under the Age
         Discrimination in Employment Act and any other employment
         discrimination claims), any contract claim (express or implied), any
         tort, any claim for wages or benefits, any claim for breach of a fair
         employment practice law or any breach of any other local, state or
         federal law, statute, ordinance, regulation or provision. Except as
         provided herein, you acknowledge that you are owed no additional
         compensation under your Employment Agreement or otherwise in connection
         with the termination of your employment and that Crown will have no
         obligation to provide you at any time in the future any payments or
         benefits, other than those provided for in this agreement and vested
         benefits under Crown's benefit plans

8.       This Agreement does not constitute an admission by Crown of any
         violation of any federal, state, local or administrative statute,
         ordinance, regulation or provision.

9.       The terms and provisions of this Agreement are severable and if any
         term or provision is held to be invalid or unenforceable, it shall not
         affect the validity or enforceability of any other term or provision.

10.      You agree that any confidential information you acquired during your
         employment with Crown shall not be disclosed, either directly or
         indirectly, to any other person or used in a manner detrimental to
         Crown's interests. You further agree not retain any business records or
         documents relating to any activity of Crown or any of its parents,
         subsidiary or affiliated companies, and to return and not retain any
         property belonging to Crown or its parents, subsidiaries, and
         affiliates.

11.      Neither you nor anyone acting on your behalf shall publicize,
         disseminate or otherwise make known the terms of this Agreement,
         directly or indirectly, to any other person, except for those rendering
         professional financial or legal advice, to your immediate family, or
         unless required to do so by court order or other compulsory process of
         law.

12.      You agree to cooperate with Crown in the preparation and production of
         evidence and in providing testimony in any judicial or administrative
         proceeding pending now or in the future that involves allegations
         arising during the period of your employment. (Crown is not currently
         aware of any such pending proceedings.) You shall not be required to
         voluntarily participate (as opposed to participating pursuant to a
         valid subpoena) if to do so would result in self-incrimination or
         negatively impact your reputation, belief system or then-current
         employment or would be a conflict of interest with those of a
         then-current or past employer.

13.      This letter sets forth the entire agreement between you and Crown and
         supersedes any and all prior oral or written agreements or
         understandings between you and Crown concerning this subject except by
         a further writing signed by you and an authorized representative of
         Crown.

14.      The language of all parts of this Agreement shall in all cases be
         construed as a whole, according to its fair meaning, and not strictly
         for or against any party. This Agreement shall be governed by and
         construed in accordance with the laws of the State of California
         without regard to conflicts of law rules.

15.      Paragraphs 5(a), 5(c) and 7(b) of your Employment Agreement and all
         other provisions of that agreement which by their terms are intended to
         survive after the end of the Term, will continue in effect for the
         periods indicated.


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16.      This agreement will become effective seven days after you sign it, and
         you have the right to revoke the agreement during that seven day
         period.


If the foregoing correctly and fully recites the substance of our Agreement,
please so signify by signing in the space below.

                                           Very truly yours,

                                           Crown Media United States, LLC


                                           By:      /s/ C. Stanford
                                                    ---------------------------

                                           Name:    C. Stanford
                                                    ---------------------------

                                           Title:   VP
                                                    ---------------------------

I am fully aware of and understand this Agreement's contents and I am entering
into this Agreement knowingly, voluntarily, willfully and free form any coercion
or duress.

ACCEPTED & AGREED:


By: /s/ Lana Corbi                      Date: December 27, 2002
    ----------------------------              -------------------------
        Lana Corbi


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