Cablevision 2014 Annual Report Download - page 37

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Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations
This Form 10-K contains statements that constitute forward looking information within the meaning of the Private Securities
Litigation Reform Act of 1995. In this Form 10-K there are statements concerning our future operating results and future financial
performance. Words such as "expects", "anticipates", "believes", "estimates", "may", "will", "should", "could", "potential",
"continue", "intends", "plans" and similar words and terms used in the discussion of future operating results, future financial
performance and future events identify forward looking statements. Investors are cautioned that such forward looking statements
are not guarantees of future performance, results or events and involve risks and uncertainties and that actual results or developments
may differ materially from the forward looking statements as a result of various factors. Factors that may cause such differences
to occur include, but are not limited to:
• the level of our revenues;
• competition for subscribers from existing competitors (such as telephone companies, direct broadcast satellite ("DBS")
distributors, and Internet-based providers) and new competitors entering our franchise areas;
• demand for our video, high-speed data and voice services, which is impacted by competition from other services and
changes in technology and consumer expectations and behavior;
• the level of our expenses, including the cost of programming;
• the level of our capital expenditures;
• changes in the laws or regulations under which we operate;
• general economic conditions in the areas in which we operate;
• the state of the market for debt securities and bank loans;
• demand for advertising in our newspapers along with subscriber and single copy outlet sales demand for our newspapers;
• market demand for new services;
• demand for advertising on our cable television systems;
• industry conditions;
• the outcome of litigation and other proceedings, including the matters described under Item 3. Legal Proceedings;
• future acquisitions and dispositions of assets;
• the tax-free treatment of the MSG Distribution and the AMC Networks Distribution (each as defined herein);
• whether pending uncompleted transactions, if any, are completed on the terms and at the times set forth (if at all);
• other risks and uncertainties inherent in the cable business, the newspaper publishing business, and our other businesses;
• financial community and rating agency perceptions of our business, operations, financial condition and the industries in
which we operate; and
• the factors described in our filings with the Securities and Exchange Commission, including under the sections entitled
"Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" contained
herein.
We disclaim any obligation to update or revise the forward looking statements contained herein, except as otherwise required by
applicable federal securities laws.
CABLEVISION SYSTEMS CORPORATION
All dollar amounts, except per customer and per share data, included in the following discussion under this Item 7, are presented
in thousands.
Summary
Our future performance is dependent, to a large extent, on the impact of direct competition, general economic conditions (including
capital and credit market conditions), our ability to manage our businesses effectively, and our relative strength and leverage in
the marketplace, both with suppliers and customers. See "Item 1A. Risk Factors".
In 2013, we completed the Clearview Sale and the Bresnan Sale (see Note 1 to our consolidated financial statements). Effective
as of the closing dates of the Clearview Sale and the Bresnan Sale, we no longer consolidate the financial results of Clearview
Cinemas and Bresnan Cable. Accordingly, the historical financial results of Clearview Cinemas and Bresnan Cable have been
reflected in our consolidated financial statements as discontinued operations for all periods presented.
Cable
Our Cable segment, which accounted for 90% of our consolidated revenues, net of inter-segment eliminations, for the year ended
December 31, 2014, derives revenues principally through monthly charges to subscribers of our video, high-speed data and VoIP
services which accounted for 53%, 22% and 14%, respectively, of our consolidated revenues, net of inter-segment eliminations,
for the year ended December 31, 2014. These monthly charges include fees for video programming, high-speed data and VoIP
services, as well as equipment rental, digital video recorder ("DVR"), video-on-demand, pay-per-view, installation and home