Cablevision 2011 Annual Report Download - page 178

Download and view the complete annual report

Please find page 178 of the 2011 Cablevision annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 220

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176
  • 177
  • 178
  • 179
  • 180
  • 181
  • 182
  • 183
  • 184
  • 185
  • 186
  • 187
  • 188
  • 189
  • 190
  • 191
  • 192
  • 193
  • 194
  • 195
  • 196
  • 197
  • 198
  • 199
  • 200
  • 201
  • 202
  • 203
  • 204
  • 205
  • 206
  • 207
  • 208
  • 209
  • 210
  • 211
  • 212
  • 213
  • 214
  • 215
  • 216
  • 217
  • 218
  • 219
  • 220

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
(Dollars in thousands, except per share amounts)
I-54
The following represents the location of the assets and liabilities associated with the Company's
derivative instruments within the consolidated balance sheets at December 31, 2011 and December 31,
2010:
Derivatives Not Asset Derivatives Liability Derivatives
Designated as
Hedging
Instruments
Balance
Sheet
Location
Fair Value at
December 31,
2011
Fair Value at
December 31,
2010
Fair Value at
December 31,
2011
Fair Value at
December 31,
2010
Interest rate swap
contracts ................
Current derivative
contracts $ - $ - $55,383 $ -
Interest rate swap
contracts .....................
Long-term
derivative contracts - - - 167,278
Prepaid forward
contracts ................
Current derivative
contracts - - 19,840 47,251
Prepaid forward
contracts ................
Long-term
derivative contracts 18,617 - 3,141 12,049
Total derivative contracts..............................
.
$18,617 $ - $78,364 $226,578
The following represents the impact and location of the Company's derivative instruments within the
consolidated statements of income for the years ended December 31, 2011, 2010 and 2009:
Derivatives Not Location of Amount of Gain (Loss) Recognized
Designated as Hedging Gain (Loss) Years Ended December 31,
Instruments Recognized 2011 2010 2009
Interest rate swap contracts .... Loss on interest rate
swap contracts, net $(7,973) $ (85,013) $(75,631)
Prepaid forward contracts ...... Gain (loss) on equity
derivative contracts, net 1,454 (72,044) 631
Total derivative contracts .....................................................
.
$(6,519) $(157,057) $(75,000)
For the years ended December 31, 2011, 2010 and 2009, the Company recorded a gain (loss) on
investments of $37,370, $109,751 and $(430) respectively, representing the net increase (decrease) in the
fair values of all investment securities pledged as collateral for the period.
At December 31, 2011, the Company had principal collateralized indebtedness obligations of $148,175
relating to shares of Comcast common stock that mature during the next twelve months. The Company
intends to settle such obligations by either delivering shares of the applicable stock and proceeds of the
equity derivative contracts or delivering cash from the proceeds of new monetization transactions.
In the event of an early termination of any of these contracts, the Company would be obligated to repay
the guarantee (discussed above) which would be calculated based on the fair value of the collateralized
indebtedness less the sum of the fair values of the underlying stock and equity collar at the termination
date.