Cablevision 2012 Annual Report Download - page 7

(1)
PART I
Item 1. Business
This combined Annual Report on Form 10-K is separately filed by Cablevision Systems Corporation
("Cablevision") and CSC Holdings, LLC ("CSC Holdings" and collectively with Cablevision, the
"Company" or the "Registrants").
Cablevision Systems Corporation
Cablevision is a Delaware corporation which was organized in 1997. Cablevision owns all of the
outstanding membership interests in CSC Holdings and its liabilities include approximately $2.9 billion
of senior notes which amount does not include approximately $754 million of its senior notes held by
Newsday Holdings LLC, its 97.2% owned subsidiary. The $754 million of notes are eliminated in
Cablevision's consolidated financial statements and are shown as notes due from Cablevision in total
member's deficiency of CSC Holdings. Cablevision has no operations independent of its CSC Holdings
subsidiary.
CSC Holdings
CSC Holdings is one of the largest cable operators in the United States based on the number of video
customers. As of December 31, 2012, we served approximately 3.2 million video customers in and
around the New York metropolitan area and in Montana, Wyoming, Colorado and Utah (the "Optimum
West service area"). We believe that our cable television systems in the New York metropolitan area
comprise the largest metropolitan cluster of cable television systems under common ownership in the
United States (measured by number of video customers). We also provide high-speed data (also referred
to as high-speed Internet access) and Voice over Internet Protocol ("VoIP") services using our cable
television broadband network. Through Cablevision Lightpath, Inc. ("Lightpath"), our wholly-owned
subsidiary, we provide telephone services and high-speed Internet access to the business market. In
addition, we own approximately 97.2% of Newsday LLC which operates a newspaper publishing
business. We also own regional news and high school sports programming services, a motion picture
theatre business and a cable television advertising sales business.
We classify our operations into two reportable segments: Telecommunications Services and Other. Our
Telecommunications Services segment includes our cable television business, including our video, high-
speed data, and VoIP operations and the operations of the commercial data and voice services provided
by Lightpath. It also includes the operations of our cable television systems in Montana, Wyoming,
Colorado and Utah, which were acquired in December 2010. Our Other segment includes the operations
of (i) Newsday, which includes the Newsday daily newspaper, amNew York, Star Community Publishing
Group, and online websites including newsday.com and exploreLI.com, (ii) our motion picture theatre
business ("Clearview Cinemas"), (iii) the News 12 Networks, our regional news programming services,
(iv) the MSG Varsity network, our network dedicated entirely to showcasing high school sports and
activities and other local programming, (v) our cable television advertising company, Cablevision Media
Sales Corporation ("Cablevision Media Sales"), and (vi) certain other businesses and unallocated
corporate costs. Refer to Note 18 to our consolidated financial statements included in this Annual Report
on Form 10-K for financial information about our segments.
In February 2013, we entered into a purchase agreement pursuant to which Charter Communications
Operating, LLC will acquire the Company's Bresnan Broadband Holdings, LLC subsidiary (Optimum
West) for $1.625 billion in cash, subject to certain adjustments, including a reduction for certain funded
indebtedness of Bresnan Cable. See further discussion below.