Profile: Cablevision Systems Corp (CVC)
14 Aug 2014
Cablevision Systems Corporation (Cablevision) , incorporated on November 21, 1997,through its wholly owned subsidiary CSC Holdings, LLC (CSC Holdings, and collectively with Cablevision) and their subsidiaries operates in the United States based on the number of video customers. As of December 31, 2012, the Company 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). The Company's cable television systems in the New York metropolitan area consists of the metropolitan cluster of cable television systems under common ownership in the United States (measured by number of video customers). It also provides high-speed data (also referred to as high-speed Internet access) and Voice over Internet Protocol (VoIP) services using its cable television broadband network. Through Cablevision Lightpath, Inc. (Lightpath), its wholly-owned subsidiary, it provides telephone services and high-speed Internet access to the business market. In addition, it owns approximately 97.2% of Newsday LLC which operates a newspaper publishing business. It also owns regional news and high school sports programming services, a motion picture theatre business and a cable television advertising sales business. In June 2013, Bow Tie Cinemas completed the acquisition of Clearview Cinemas from Cablevision Systems Corp. In July 2013, Charter Communications Inc and Cablevision Systems Corp announced the completion of acquisition of Cablevision's Bresnan Broadband Holdings, LLC (Optimum West).
The Company classifies its operations into two reportable segments: Telecommunications Services and Other. Its Telecommunications Services segment includes its cable television business, including its video, high-speed data, and VoIP operations and the operations of the commercial data and voice services provided by Lightpath. Its Other segment includes the operations of Newsday, which includes the Newsday daily newspaper, amNew York, Star Community Publishing Group, and online websites including newsday.com and exploreLI.com, its motion picture theatre business (Clearview Cinemas), the News 12 Networks, its regional news programming services, the MSG Varsity network, itsnetwork dedicated entirely to showcasing high school sports and activities and other local programming, its cable television advertising company, Cablevision Media Sales Corporation (Cablevision Media Sales) and certain other businesses and unallocated corporate costs.
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.
The Company's cable television systems offer varying packages of video service. Its video service is marketed under the Optimum brand name. Its video services may include, among other programming, local broadcast network affiliates and independent television stations, certain other news, information, sports and entertainment channels, such as CNN, AMC, CNBC, ESPN, MTV, The NFL Network and regional sports networks such as MSG Network, and certain services such as HBO, Showtime, The Movie Channel, Starz, Encore and Cinemax. W also offer interactive video service, which enables customers to receive video on demand and subscription video on demand services, as well as interactive entertainment and advertising services.
The Company provides high-speed data services using its cable television broadband network. High-speed data services are provided to residential and small business customers through a cable modem device. The high-speed data service is marketed as Optimum Online.
The Company offers VoIP technology services to its residential and small business Optimum Online customers, marketed as Optimum Voice. Through Lightpath, a business broadband service provider, it provides telecommunications services, such as Ethernet-based data, Internet, voice and video transport solutions and managed services, to the business market in the New York metropolitan area. As of December 31, 2012, Lightpath had over 5,800 buildings connected to its fiber network. Lightpath has built an advanced fiber optic network extending more than 5,200 route miles, which includes approximately 274,000 miles of fiber, throughout the New York metropolitan area. Optimum Business Services provides similar products in its Optimum West service area.
The Company's cable television systems offer a government mandated broadcast basic level of service which generally includes local over-the-air broadcast stations, such as network affiliates and public, educational or governmental channels. Its cable television systems also offer an expanded basic package of services, generally marketed as The Optimum Value Package, which includes, among other programming, news, information, entertainment, and sports channels such as CNN, CNBC, Discovery, ESPN, AMC, the Disney Channel, and regional sports networks, such as MSG Network. For additional charges, its cable television systems provide services such as HBO, Showtime, The Movie Channel, Starz, Encore and Cinemax, which may be purchased either individually or in tiers.
Optimum Online is its high-speed Internet access offering, which connects customers to the Internet using the same network that delivers cable television service. Its plant is designed for download speeds to a maximum of: 15Mbps (megabits per second) downstream and two Mbps upstream for Optimum Online level of service, 30megabits per second downstream and five megabits per second upstream for its Optimum Online Boost level of service, 50 megabits per second downstream and eight megabits per second upstream for its Optimum Online Boost Plus level of service in its New York metropolitan service area, and 101megabits per second downstream and 15 megabits per second upstream for its Optimum Online Ultra level of service in its New York metropolitan service area.Optimum Online is available on an a la carte basis with Optimum Online Boost, Optimum Online Boost Plus or Optimum Online Ultra available for an additional charge per month. Discount and promotional pricing are available when Optimum Online is combined with its other service offerings. It has deployed a broadband wireless network (WiFi) in commercial and high traffic locations across its New York metropolitan service area as a free value-added benefit to Optimum Online customers. The WiFi feature, which is delivered via wireless access points mounted on its cable television broadband network, allows Optimum Online customers to access the service while they are away from their home or office. WiFi has been activated across its Long Island, Bronx, Brooklyn, New Jersey, Westchester, and Connecticut service areas. Its WiFi service also allows its customers to access the WiFi networks of Comcast Corporation (Comcast), Time Warner Cable Inc., and Bright House Networks, LLC.
The Company offers pricing discounts for certain products that are added to existing services. For example, it offers an Optimum Triple Play package that is a special promotion for new customers or eligible customers where its three products, video, high-speed data and voice, are each available at a reduced rate for a specified period, when purchased together.
Newsday consists of the Newsday daily newspaper, amNew York, Star Community Publishing Group and online websites, including newsday.com and exploreLI.com. Newsday has also developed and deployed applications for iPhone, iPad, Kindle and Android devices. Its publications are distributed through both paid and free distribution in various ways across Long Island and the New York metropolitan service area.
The Company's regional news services include News 12 Long Island, News 12 New Jersey, News 12 Westchester, News 12 Connecticut, News 12 The Bronx, News 12 Brooklyn, News 12 Hudson Valley, and News 12 Interactive, as well as News 12 Traffic and Weather (collectively, the News 12 Networks). The News 12 Networks include seven 24-hour local news channels and five traffic and weather services dedicated to covering areas within the New York metropolitan area. News 12 Networks is available to all subscribers throughout its footprint in the New York metropolitan area.
MSG Varsity is a network dedicated entirely to showcasing high school sports and activities and other local programming. One of the components of this programming service is the involvement of high schools throughout its footprint as co-producers of MSG Varsity's content, in addition to content created by its professional productions. It has licensing arrangement with Madison Square Garden permitting them to use MSG Varsity as the name of this programming service. MSG Varsity is available to all subscribers throughout its footprint in the New York metropolitan service area.
The Company's chain of tri-state area movie theatres, Clearview Cinemas, features family, art and independent films. Its exhibition facilities include Manhattan's famed Ziegfeld Theatre, a frequent and historic host to film premieres and events. Clearview operates 47 movie theatres containing 243 screens in New York City, Westchester County, Rockland County, Long Island, Pennsylvania and New Jersey.
Cablevision Media Sales Corporation is a cable television advertising company that sells local and regional commercial advertising time on cable television networks and offers advertisers the opportunity to target specific geographic and demographic audiences. Its cable television systems operate in an intensely competitive environment, competing with a variety of other video programming providers and delivery systems, including incumbent telephone companies, satellite-delivered signals, Internet-based programming and broadcast television signals available to homes within its market by over-the-air reception. It provides other services and features over its cable television system, such as games and interactive advertising, that may be subject to a range of federal, state, and local laws such as privacy and consumer protection regulations.
The Company competes with Verizon Communications, Inc. (Verizon) , AT&T Inc. (AT&T), DISH Network and DirecTV.
Cablevision Systems Corp
1111 Stewart Avenue
BETHPAGE NY 11714