Cablevision 2011 Annual Report Download - page 204

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
(Dollars in thousands, except per share amounts)
I-80
affiliation agreement provides for the carriage of the MSG Network and MSG Plus program services on
the Company's cable television systems in the tri-state area. This agreement has a term of 10 years,
obligates the Company to carry the MSG networks program services on its cable television systems and
provides for the payment by the Company to the MSG networks of a per subscriber license fee, which fee
is increased each year during the term of the agreement.
Selling, General and Administrative Expenses (Credits)
Corporate General and Administrative Expense Allocations
General and administrative costs, primarily costs of maintaining common support functions such as
executive management, human resources, legal, finance, tax, accounting, audit, treasury, strategic
planning, information technology, transportation services, creative and production services, etc., were
allocated to Madison Square Garden through December 31, 2009 and to AMC Networks through June 30,
2011. Subsequent to January 1, 2010 and July 1, 2011, amounts allocated to Madison Square Garden and
AMC Networks, respectively, represent charges pursuant to transition services agreements. Corporate
overhead costs previously allocated to AMC Networks and Madison Square Garden that were not
eliminated as a result of the AMC Networks Distribution and MSG Distribution have been reclassified to
continuing operations.
Health and Welfare Plan Allocations
Employees of Madison Square Garden and AMC Networks participated in health and welfare plans
sponsored by the Company through December 31, 2009 and December 31, 2011, respectively. Health
and welfare benefit costs have generally been charged to AMC Networks and Madison Square Garden
based upon the proportionate number of participants in the plans.
Risk Management and General Insurance Allocations
The Company provided AMC Networks and Madison Square Garden with risk management and general
insurance related services through the dates of the AMC Networks Distribution and the MSG
Distribution.
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.
Transactions with Other Affiliates
During 2011, 2010 and 2009, the Company provided services to or incurred costs on behalf of certain
related parties, including from time to time, members of the Dolan family or to entities owned by
members of the Dolan family. All costs incurred on behalf of these related parties are reimbursed to the
Company.