Its telecommunications services -- digital video, high-speed data, and telephone -- did well in the quarter, as did its cable-operator brethren Comcast
Cable net revenues grew nearly 5% during the quarter amid a sloppy economy, and customer counts for high-speed data and telephone usage rose both sequentially and year over year. Moreover, Cablevision's Rainbow unit, which includes a host of popular networks, saw a big 40% jump in its operating income.
There's just one catch …
Last July's purchase of Long Island's daily newspaper Newsday remains a thorn in Cablevision's side. After the company had to write off $400 million of its $650 million purchase price last quarter, the Newsday unit checked in this quarter with a $7.2 million operating loss.
That shouldn't come as a big shock to anyone. Even Warren Buffett, whose Berkshire Hathaway
That's certainly been the case with Tribune Company, which was privatized not long ago and is already in bankruptcy. The opening months of Cablevision's experience with newspapers seem to be going equally poorly.
At the same time, Cablevision apparently is considering a spinoff of its Madison Square Garden complex, which includes the famous sports and entertainment complex in the middle of Manhattan, along with Radio City Music Hall and a couple of theaters.
Beyond all this, and like its peers, Cablevision faces tough ongoing competition from the offerings of telecomm companies such as Verizon
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