Cablevision 2014 Annual Report Download - page 148

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
(Dollars in thousands, except share and per share amounts)
F-59
Years Ending December 31,
2014 2013 2012
Revenues, net.................................................................................................................... $ 3,234 $ 3,103 $ 2,538
Operating expenses:
Technical expenses, net of credits.................................................................................. $ 157,359 $ 156,028 $ 158,622
Selling, general and administrative expenses (credits):
General and administrative expense allocations........................................................ (3,176)(2,282)(2,755)
Other.......................................................................................................................... 7,638 7,133 5,046
Selling, general and administrative expenses, subtotal........................................... 4,462 4,851 2,291
Operating expenses, net .......................................................................................... 161,821 160,879 160,913
Net charges.............................................................................................................. $ 158,587 $ 157,776 $ 158,375
Revenues, net
The Company recognizes revenue in connection with television advertisements and print advertising, as well as certain
telecommunication services charged by its subsidiaries to AMC Networks and Madison Square Garden. The Company and its
subsidiaries, together with AMC Networks and Madison Square Garden, may enter into agreements with third parties in which
the amounts paid/received by AMC Networks and Madison Square Garden, their subsidiaries, or the Company may differ from
the amounts that would have been paid/received if such arrangements were negotiated separately. Where subsidiaries of the
Company have incurred a cost incremental to fair value and Madison Square Garden or AMC Networks have received a benefit
incremental to fair value from these negotiations, the Company and its subsidiaries will charge Madison Square Garden or AMC
Networks for the incremental amount.
Technical Expenses
Technical expenses include costs incurred by the Company for the carriage of the MSG networks and Fuse program services
(through June 30, 2014), as well as for AMC, WE tv, IFC, Sundance Channel and BBC America (beginning in the fourth quarter
of 2014) on Cablevision's cable systems. The Company also purchases certain programming signal transmission and production
services from AMC Networks.
Selling, General and Administrative Expenses (Credits)
General and Administrative Expense Allocations
Amounts included in the tables above represent allocations to Madison Square Garden and AMC Networks for services performed
by the Company on their behalf. Amounts also include charges to the Company for services performed or paid by the affiliate on
the Company's behalf.
Other
The Company, AMC Networks and Madison Square Garden routinely enter into transactions with each other in the ordinary course
of business. Such transactions may include, but are not limited to, sponsorship agreements and cross-promotion arrangements.
As the transactions discussed above are conducted between subsidiaries under common control, amounts charged for certain
services may not represent amounts that might have been received or incurred if the transactions were based upon arm's length
negotiations.
Transactions with Other Affiliates
During 2014, 2013 and 2012, the Company provided services to or incurred costs on behalf of certain related parties, including
from time to time, the Dolan Family. All costs incurred on behalf of these related parties are reimbursed to the Company.
Aggregate amounts due from and due to AMC Networks, Madison Square Garden and other affiliates at December 31, 2014 and
2013 are summarized below: