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Dolan to buy, operate Voom
Posted: Sat, Feb 12, 2005, 1:42 PM ET (1842 GMT)
Cablevision announced late Thursday that it plans to sell its Voom satellite television service to a group of investors led by Cablevision chairman Charles Dolan, who plan to keep operating the service. Under the agreement, Voom HD LLC, a new company created by Charles and Tom Dolan, will acquire the assets and liabilities of the service and indemnify Cablevision from any remaining liabilities associated with the service. The announcement came three weeks after Cablevision announced it was selling Voom's Rainbow 1 satellite and ground station to EchoStar for $200 million, leading to speculation that Cablevision would shut down the service. However, the Dolans will continue to operate Voom by leasing capacity on other satellites, such as an SES Americom satellite Voom currently uses.
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