Voom Goes Ka-Boom
What they intended to do with those assets, especially without the satellite and operating licenses, is anyone's guess. Now we'll never know; the sale fell through when the February 28 deadline passed without consummation. As a result, Cablevision announced today that they will shut down Voom altogether, providing current customers with continuing service for at least 30 days during what the company is calling a "transition period." The real question is, transition to what? Cablevision did not immediately return phone calls seeking additional comments.
Speaking of current customers, Cablevision disclosed in its most recent regulatory filing that the Voom service had only 26,000 subscribers, compared with over 13.9 million for DirecTV and 11 million for Dish Network. In terms of money, Voom posted an operating loss of $661.4 million on revenues of $14.9 million for all of 2004, including $354.9 million in write-downs. In early trading today, Cablevision shares fell $1.04, or 3.3 percent, to $30.02.
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