Cablevision Chairman: No Plans To Go Private
21 Mayo 2009 - 11:26AM
Noticias Dow Jones
Charles Dolan, chairman of Cablevision Systems Corp. (CVC), said
Thursday that his family isn't considering another attempt at
taking the cable and entertainment conglomerate private after its
previous offer was rejected by shareholders in 2007.
Under questioning from shareholders at its annual meeting at the
company's headquarters, Dolan reiterated that the company is
considering spinning off its Madison Square Garden assets - which
include the arena, the New York Knicks and Rangers sports teams,
and other properties - to shareholders as a separate public
company.
"During this difficult economic time, anything more ambitious
than that is not appropriate at this time," said Dolan.
In 2007, Cablevision offered to buy back its shares outstanding
for $36.26 apiece, a price negotiated higher by shareholder groups
over a period of months. The offer ultimately was voted down at a
special meeting of shareholders held in the fall of that year.
Shares of Cablevision recently traded down 3.9% at $19.11.
Kim Kerns, a spokeswoman for Cablevision, declined to comment
further on the company's exploration of a spin-off of MSG.
Cablevision didn't elaborate on that topic at the meeting.
Its six Class A directors and 11 Class B directors were
re-elected without incident at the meeting, and several company
proposals were approved by the shareholders relating to its
accounting and employee stock purchase plans.
The company's chief operating officer, Tom Rutledge, said
circulation of Newsday, the Long Island-based tabloid Cablevision
acquired last year, is down 3% year-over-year and its advertising
revenue is under pressure - a trend found throughout the
beleaguered publishing industry.
Rutledge said the company is looking for ways Newsday can
generate new revenue streams online using Cablevision's subscriber
base. The company has said it will end access to free Web content
from Newsday later this year.
Dolan said he has been a Newsday subscriber for "a half a
century."
-By Nat Worden, Dow Jones Newswires; 201-938-5216;
nat.worden@dowjones.com