Moody's: Cablevision Systems unchanged

Moody's Investors Service said that Cablevision Systems Corp.'s announcement that it plans to initiate a quarterly dividend payment of $0.10 per share of common stock will not have a material impact on the company's credit profile and ratings for the Cablevision Systems are unaffected.

Moody's said it believes that the enhanced underlying enterprise value of the company resulting from the outperformance of its core cable and network programming operations provides adequate flexibility within its current Ba3 corporate family rating to manage a modest ongoing dividend payout.

Moody's said it expects Cablevision's primary telecommunications business segment, which notably continues to demonstrate strong operating results notwithstanding heightened competition, will generate modest amounts of free cash flow approximating 2%-to-3% of its total debt pro forma for the planned dividend payments.

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