DERIVATIVE CONTRACTS AND COLLATERALIZED INDEBTEDNESS

3 Months Ended

Mar. 31, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

DERIVATIVE CONTRACTS AND COLLATERALIZED INDEBTEDNESS

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 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, 2016 and December 31, 2015:

Derivatives Not Designated as Hedging Instruments		Asset Derivatives				Liability Derivatives
	Balance Sheet Location	Fair Value at March 31, 2016		Fair Value at December 31, 2015		Fair Value at March 31, 2016		Fair Value at December 31, 2015
Prepaid forward contracts	Current derivative contracts	$	7,307	$	10,333	$	7,078	$	2,706
Prepaid forward contracts	Long-term derivative contracts	31,461		72,075		—		—
Total derivative contracts		$	38,768	$	82,408	$	7,078	$	2,706

These prepaid forward contracts are not designated as hedging instruments for accounting purposes and the related gain (loss) of $(48,012) and $46,166, respectively, for the three months ended March 31, 2016 and 2015, has been reflected in gain (loss) on equity derivative contracts, net in the accompanying condensed consolidated statements of income.

Settlements of Collateralized Indebtedness

In April 2016, the Company settled collateralized indebtedness relating to 2,732,184 Comcast shares by delivering cash equal to the collateralized loan value obtained from the proceeds of a new monetization contract covering an equivalent number of Comcast shares. Accordingly, the consolidated balance sheets of Cablevision and CSC Holdings as of March 31, 2016 reflect the reclassification of $166,882 of investment securities pledged as collateral from a current asset to a long-term asset and $133,691 of collateralized indebtedness from a current liability to a long-term liability.

In the Merger Agreement, Cablevision agreed that it would not share settle any collateralized indebtedness prior to the Merger.