DERIVATIVE CONTRACTS AND COLLATERALIZED INDEBTEDNESS

3 Months Ended

Mar. 31, 2013

DERIVATIVE CONTRACTS AND COLLATERALIZED INDEBTEDNESS [Abstract]

DERIVATIVE CONTRACTS AND COLLATERALIZED INDEBTEDNESS

NOTE 9. DERIVATIVE CONTRACTS AND COLLATERALIZED INDEBTEDNESS

The Company has entered into various transactions to limit the exposure against equity price risk on its shares of Comcast Corporation ("Comcast") common stock. The Company has monetized all of its stock holdings in Comcast Corporation through the execution of prepaid forward contracts, collateralized by an equivalent amount of the respective underlying stock. At maturity, the contracts provide for the option to deliver cash or shares of Comcast stock with a value determined by reference to the applicable stock price at maturity. These contracts, at maturity, are expected to offset declines in the fair value of these securities below the hedge price per share while allowing the Company to retain upside appreciation from the hedge price per share to the relevant cap price.

The following represents the location of the assets and liabilities associated with the Company's derivative instruments within the condensed consolidated balance sheets at March 31, 2013 and December 31, 2012:

		Asset Derivatives				Liability Derivatives
Derivatives Not Designated as Hedging Instruments	Balance Sheet Location	Fair Value at March 31, 2013		Fair Value at December 31, 2012		Fair Value at March 31, 2013		Fair Value at December 31, 2012
Prepaid forward contracts	Derivative contracts, current	$	-	$	-	$	152,977	$	134,524
Prepaid forward contracts	Derivative contracts, long-term		4,002		3,143		35,438		13,739
Total derivative contracts		$	4,002	$	3,143	$	188,415	$	148,263

The following represents the impact and location of the Company's derivative instruments within the condensed consolidated statements of operations for the three months ended March 31, 2013 and 2012:

		Amount of Loss Recognized
Derivatives Not Designated as	Location of	Three Months Ended March 31,
Hedging Instruments	Loss Recognized	2013			2012
Prepaid forward contracts	Loss on equity derivative contracts, net	$	(71,716	)	$	(111,194	)
Interest rate swap contracts	Loss on interest rate swap contracts, net		-			(1,645	)
Total derivative contracts		$	(71,716	)	$	(112,839	)

Settlements of Collateralized Indebtedness

The following table summarizes the settlement of the Company's collateralized indebtedness relating to Comcast Corporation shares that were settled by delivering cash equal to the collateralized loan value, net of the value of the related equity derivative contracts for the three months ended March 31, 2013. The cash was obtained from the proceeds of new monetization contracts covering an equivalent number of Comcast shares. The terms of the new contracts allow the Company to retain upside participation in Comcast shares up to each respective contract's upside appreciation limit with downside exposure limited to the respective hedge price.

Number of shares		2,668,875
Collateralized indebtedness settled	$	(59,003	)
Derivative contracts settled		(32,423	)
		(91,426	)
Proceeds from new monetization contracts		103,226
Net cash receipt	$	11,800

In April 2013, the Company settled collateralized indebtedness relating to 2,732,184 shares of stock of Comcast Corporation by delivering cash equal to the collateralized loan value obtained from the proceeds of a new monetization contract covering an equivalent number of Comcast Corporation shares. Accordingly, the consolidated balance sheets of Cablevision and CSC Holdings as of March 31, 2013 reflect the reclassification of $114,779 of investment securities pledged as collateral from a current asset to a long-term asset and $66,137 of collateralized indebtedness from a current liability to a long-term liability.