Cablevision 2011 Annual Report Download - page 8

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AMC Networks Inc. Distribution
On June 30, 2011, Cablevision distributed to its stockholders all of the outstanding common stock of
AMC Networks Inc. ("AMC Networks"), a company which consists principally of national programming
networks, including AMC, WE tv, IFC and Sundance Channel, previously owned and operated by the
Company's Rainbow segment (the "AMC Networks Distribution"). The AMC Networks Distribution
took the form of a distribution by Cablevision of one share of AMC Networks Class A Common Stock
for every four shares of Cablevision NY Group ("CNYG") Class A Common Stock and one share of
AMC Networks Class B Common Stock for every four shares of CNYG Class B Common Stock. As a
result of the AMC Networks Distribution, we no longer consolidate the financial results of AMC
Networks for the purpose of our own financial reporting and the historical financial results of AMC
Networks have been reflected in our consolidated financial statements as discontinued operations for all
periods presented through the AMC Networks Distribution date.
Acquisition of Bresnan Cable
On December 14, 2010, the Company, through two wholly-owned subsidiaries, consummated the
acquisition of Bresnan Broadband Holdings, LLC ("Bresnan Cable"). The purchase price was
approximately $1.36 billion. The acquisition was financed using an equity contribution to the acquisition
subsidiaries by CSC Holdings of $395 million, which CSC Holdings borrowed under its revolving loan
facility, and debt incurred by the acquisition subsidiaries consisting of an undrawn $75 million revolving
loan facility, a $765 million term loan facility and $250 million 8.0% senior notes due 2018.
MSG Distribution
On February 9, 2010, Cablevision distributed to its stockholders all of the outstanding common stock of
The Madison Square Garden Company ("Madison Square Garden"), a company which owns the sports,
entertainment and certain media businesses previously owned and operated by the Company's Madison
Square Garden segment (the "MSG Distribution"). The MSG Distribution took the form of a distribution
by Cablevision of one share of Madison Square Garden Class A Common Stock for every four shares of
CNYG Class A Common Stock and one share of Madison Square Garden Class B Common Stock for
every four shares of CNYG Class B Common Stock. As a result of the MSG Distribution, we no longer
consolidate the financial results of Madison Square Garden for the purpose of our own financial reporting
and the historical financial results of Madison Square Garden have been reflected in our consolidated
financial statements as discontinued operations for all periods presented through the MSG Distribution
date.
Telecommunications Services
General
Cable television is a service that delivers multiple channels of video programming to subscribers who pay
a monthly fee for the services they receive. Video signals are received over-the-air, by fiber optic
transport or via satellite delivery by antennas, microwave relay stations and satellite earth stations and are
modulated, amplified and distributed over a network of coaxial and fiber optic cable to the subscribers'
television sets. Cable television systems typically are constructed and operated pursuant to non-exclusive
franchises awarded by local and state governmental authorities for specified periods of time.
Our cable television systems offer varying packages of video service. In our New York metropolitan
service area, the video service is marketed under the Optimum and iO brand names. Our cable television
systems in Montana, Wyoming, Colorado and Utah (the "Optimum West service area") use the Optimum
brand name to market our video product offerings. Our video services may include, among other
programming, local broadcast network affiliates and independent television stations, certain other news,
information and entertainment channels such as CNN, AMC, CNBC, ESPN, MTV, and regional sports