Optimum Communications, Inc. (OPTU)

Optimum Communications added two directors on 28 October 2026 and set up a special committee of the two, the company reported in a Form 8-K 1.

The committee has been delegated authority to evaluate, negotiate and recommend potential strategic and financial transactions, including financing, restructuring, reorganization or recapitalization 1. Light Reading noted the company did not say whether that includes a sale of the company 10.

On 16 September 2026 the audit committee concluded that earlier financial statements should no longer be relied on, because the company had failed to recognize non-cash deferred tax benefits tied to two impairment charges 2.

The restatement is expected to reduce previously reported net losses by about $430 million for 2025 and about $720 million for the first quarter and first half of 2026 2. It will not change revenue, cash or EBITDA 2.

The company is scheduled to post third-quarter results on 6 November and will not host a call, Light Reading reported 10.

The latest quarterly report, for the period ended 30 June 2026, said substantial doubt exists about the company's ability to continue as a going concern 4. It cited $4.1 billion of debt due in April 2027 and $2.2 billion in July 2027 4.

The company is a holding company built from two cable purchases 6. Altice Europe, through a subsidiary, bought Cequel Corporation on 21 December 2015, and the company acquired Cablevision Systems Corporation on 21 June 2016 6.

It launched its own mobile phone service in 2019 6.

Revenue slid from $9.24 billion in 2023 to $8.95 billion in 2024 and $8.59 billion in 2025, while customer relationships fell from 4,743.5 thousand to 4,333.6 thousand 6.

In 2025 broadband revenue fell 3 percent and video revenue fell 11 percent, each mainly because there were fewer customers, with rate increases softening the drop 6.

The 2025 net loss attributable to stockholders was $1.87 billion, against a loss of $103 million in 2024 6. An impairment charge of $1.61 billion on its cable franchise rights, the local permits to run cable systems, was recorded in 2025 6.

In November 2025 the company changed its name from Altice USA, Inc. to Optimum Communications, Inc., and its Class A stock began trading as OPTU on 19 November 2025 6.

In March 2026 a Lightpath subsidiary issued $1,657.0 million of secured notes backed by fiber network revenue 9.

On 1 June 2026 the company announced transactions meant to position it for talks with an investor group holding debt of its subsidiary CSC Holdings 7.

Light Reading reported that the company had considered several alternatives and judged a consensual restructuring of the CSC Holdings debt, negotiated with the lenders' cooperation group, the best path 12.

In July 2026 two subsidiaries added a $250 million term loan that matures on 25 November 2028 and carries fixed interest of 9 percent 8.

Broadband

Broadband is the largest line, with residential broadband revenue of $3.54 billion in 2025, down 3 percent 6.

Residential broadband, video, telephony and mobile made up about 41, 30, 3 and 2 percent of 2025 revenue 6.

Its fiber-to-the-home network is available to about 3.1 million homes 6.

At the end of the second quarter of 2026 it reported 4.0 million broadband subscribers, and 53 percent of residential broadband customers took 1 Gig or faster speeds 5.

Rivals named in the annual report include Verizon (with the former Frontier operations), AT&T, T-Mobile, Charter, Comcast and satellite broadband providers 6.

Video

Video revenue fell 11 percent to $2.59 billion in 2025, mainly on fewer video customers, partly offset by rate increases 6.

Three newer packages, Entertainment TV, Extra TV and Everything TV, reached 18 percent of the residential video base at the end of the second quarter of 2026, up from 10 percent a year earlier 5.

Programming costs, paid to channel owners, were $1.92 billion in 2025 against $2.25 billion in 2024 6.

Mobile and phone service

Mobile runs over a nationwide network through an agreement with T-Mobile, and Light Reading reported the company expanded that multiyear agreement 611.

Mobile service revenue rose 41 percent to $165 million in 2025 6.

The company reported 724 thousand mobile lines at the end of the second quarter of 2026, after adding 50 thousand in the quarter 5.

Telephony revenue fell 9 percent to $254 million in 2025 on fewer telephony customers 6.

Business services and Lightpath

Business services and wholesale revenue rose 1 percent to $1.49 billion in 2025, led by ethernet and fiber-rights revenue from Lightpath 6.

Lightpath, the fiber business for companies, is 50.01 percent owned by the company and serves the New York, Boston and Miami areas 6.

In August the company said Lightpath had announced new fiber builds for two hyperscale data center campuses 5.

News and advertising

News 12 Networks runs seven 24-hour local news channels around the New York area, and Optimum Media sells advertising across television and digital screens 6.

News and advertising revenue fell 3 percent to $472 million in 2025, mainly on less political advertising 6.

People, places and workforce

Dennis Mathew is chairman and chief executive, and Marc Sirota is chief financial officer 51.

The company had about 9,500 employees at the end of 2025, about 380 of them in unions 6.

Its headquarters is leased office space in Long Island City, New York, under a lease that expires in 2032, and it owns a building in Bethpage, New York 6.

Its systems operate under franchises in more than 1,400 communities 6.

Current problems

Consolidated net debt was $25,333 million at 30 June 2026, which the company put at 8.0 times on its own L2QA measure 5.

The second-quarter 2026 net loss attributable to stockholders was $291.8 million 5.

A putative class action filed on 9 June 2026 accuses directors and the controlling holders of breach of fiduciary duty over the restructuring transactions, the private exchange and the tender offer 4. Management said it does not believe the outcome will have a material adverse effect 4.

On 13 August 2026 the New York Stock Exchange notified the company that it was out of compliance with Section 802.01C of its Listed Company Manual 3.

The umbrella, in words

Optimum is the consumer brand, and the company is a holding company that conducts no business operations of its own 6.

Its parts include Lightpath, News 12 Networks, Optimum Media and Juice Media, and NY Interconnect, LLC, a joint venture with Charter and Comcast for local advertising 6.

CSC Holdings, LLC is a wholly owned indirect subsidiary, and the debt it owes to an investor group is the subject of the company's talks 7.

Light Reading reported that the former Cablevision footprint, Optimum East, and the stake in Lightpath were placed in a new unrestricted subsidiary, CSC Investments II 12.

Next Alt, the holding company of Patrick Drahi, controls the company through Class B shares that carry a twenty-five-to-one voting ratio against Class A 6.

After the May exchange, Next Alt beneficially owned about 27.8 percent of Class A shares, 99.9 percent of Class B shares and 90.5 percent of the voting power 4.

In that exchange CSC II issued preferred units with a stated value of $200 million to Next Partner, L.P. for 5,846,652 Class A and 74,153,348 Class B shares owned by Next Alt 4.

CSC II sold $300 million of Series A Preferred Units to institutional investors, with a dividend of 13 percent a year if paid in cash or 15 percent if compounded 5.

In July 2026 CSC II completed a tender offer and accepted 120 million Class A shares from unaffiliated holders for $300 million in total 5.

The company is scheduled to post third-quarter results on 6 November, without a call, Light Reading reported 10.

It intends to restate its 2025 annual report and the quarterly reports for the periods ended 30 September 2025, 31 March 2026 and 30 June 2026 as soon as reasonably practicable 2.

It also expects to report a material weakness in its internal control over financial reporting related to accounting for income taxes 2.

The NYSE gave the company six months from its notice to regain compliance, and the company said it intends to monitor the matter until 13 February 2027 3.

If it does not comply, the exchange will start procedures to suspend and delist the Class A stock 3.

Debt due in April 2027 is $4.1 billion and in July 2027 is $2.2 billion, the quarterly report said 4.

Light Reading cited $6.2 billion due in 2028 and $3.8 billion in 2029 10.

Chief financial officer Marc Sirota said measures taken "increase the likelihood of a consensual, comprehensive deal," Light Reading reported 11.

The company expects to add 150,000 to 175,000 passings, homes and businesses its network can reach, in full-year 2026, Light Reading reported 11.