In a plan presented to Cablevision's board of directors, the Dolan family has offered to buy the remaining portion of the company that it does not already own for $7.9 billion. Currently, the Dolans hold 71% of the voting shares in the company. Under the terms of the deal, non-cable assets (e.g. the New York Knicks, Radio City Music Hall and Madison Square Garden) would be spun off as a separate public firm known as Rainbow Media Holdings.

Newsday has more on the deal: "The $7.9 billion deal would give Cablevision stockholders $21 in cash for each share they currently own, plus shares in the new company, Rainbow Media Holdings. That company also would include the New York Knicks, the New York Rangers, and several cable channels, like the American Movie Channel."

Not only will Cablevision be splitting in two -- it looks like the Dolan family will be splitting in two as well: Charles Dolan, the family patriarch, would become chairman of the private cable company, while his son James Dolan would become chairman and chief executive of the new holding company (Rainbow Media Holdings). And they all lived happily ever after...