Cablevision 2012 Annual Report Download - page 213

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
(Dollars in thousands, except per share amounts)
I-85
NOTE 20. OTHER MATTERS
Superstorm Sandy
On October 29, 2012, Superstorm Sandy made landfall in the Company's New York metropolitan service
area, resulting in widespread power outages and service disruptions for almost 60% of the Company's
Telecommunications Services customers in this service area, as well as damage to certain portions of the
Company's cable network.
The following table summarizes service outage credits which reduced revenues, net, incremental costs
depreciation and capital expenditures related to Superstorm Sandy for the Telecommunications Services
segment for the year ended December 31, 2012:
Revenues, net ........................................................................................................................................ $ 33,237
Operating expenses:
Technical and operating expenses ..................................................................................................... 59,013
Selling, general and administrative expenses .................................................................................... 15,338
Impact to AOCF ................................................................................................................................... 107,588
Depreciation ...................................................................................................................................... 1,462
Impact to operating income .................................................................................................................. $109,050
Capital expenditures ............................................................................................................................. $ 5,639
Revenues, net
Following the storm, the Company offered a credit to all customers who were without service (including
cases where the loss of service was due to a loss of electric power) and who contacted the Company to
request a credit. The Company recorded a reduction to revenue of approximately $33,237 which
primarily relates to these customer credits for service outages in 2012 (including credits we expect to
issue to customers who have yet to contact us as of December 31, 2012).
Technical and Operating Expenses
Technical and operating expenses incurred as a result of Superstorm Sandy include salaries resulting from
incremental over time and premium pay, payroll taxes and benefits of approximately $28,084, repairs and
maintenance costs of approximately $41,209 and other costs of $2,300, partially offset by a reduction of
programming and other costs of approximately $12,580.
Selling, General and Administrative Expenses
Selling, general and administrative expenses incurred as a result of Superstorm Sandy include primarily
salaries resulting from incremental over time and premium pay, payroll taxes and benefits of
approximately $13,745 and other costs of approximately $1,593.
Depreciation
Depreciation includes charges related to assets that were damaged beyond repair as a result of Superstorm
Sandy.