Bethpage, N.Y. – Cablevision (NYSE: CVC), the nation’s eighth-largest
cable TV provider, announced on Thursday that it plans to explore a spin-off of
Rainbow Media Holdings, its content division that includes cable networks such
as AMC and Sundance Channel, and film studio IFC Entertainment. The deal would
be structured as a tax-free pro rata distribution to Cablevision’s
"Cablevision is confident of the strength of the Rainbow
business, which houses an attractive portfolio of programming assets, and
believes that the spin-off has the potential to enhance the value of that
business and Cablevision, thereby providing each company with greater
flexibility to pursue strategic objectives," the company said.
would remain a part of Cablevision after the deal would include Newsday, News
12 Networks, MSG Variety and Clearview Cinemas.
Cablevision is targeting
mid-year 2011 for completion of the proposed spin-off.