Altice Usa — Key Risks
The Company Is Carrying $26.2 Billion in Debt and May Not Be Able to Refinance It
This is the most urgent risk in the filing. As of December 31, 2025, the company had approximately $26.2 billion in total consolidated debt, with $7.4 billion maturing in 2027. The filing explicitly states that a failure to secure committed refinancing by April 2026 "may raise substantial doubt about our ability to continue as a going concern" — meaning the company could be at risk of not surviving as an independent business. Making this harder, a group of existing creditors called the "Co-Op" has entered a cooperation agreement that may actively limit the company's ability to access bond and loan markets to refinance.
Verizon and AT&T Fiber Now Reach the Majority of the Company's Customers
The company's core broadband and video business faces severe competition from fiber-based rivals. Verizon (including its Frontier acquisition) can now sell fiber services to over two-thirds of households in the company's New York, New Jersey, and Connecticut footprint. AT&T and other fiber providers can reach roughly half of households in its south-central U.S. markets. Unlike the company's older cable infrastructure, fiber networks can offer comparable or superior speeds, putting real pressure on pricing and customer retention.
Streaming Is Hollowing Out the Video Business
Content owners like Disney, Warner Bros. Discovery, and Paramount are increasingly selling directly to consumers through their own apps, bypassing traditional cable entirely. This shrinks the perceived value of a cable TV subscription. Meanwhile, the company pays high retransmission consent fees (fees paid to carry local broadcast stations) and rising programming costs — expenses that competitors streaming directly to consumers largely avoid. In December 2025, the company was already forced to drop New England Sports Network from its lineup during a contract dispute, the kind of disruption that drives customers away.
Programming Costs Are Rising Faster Than the Company Can Pass Them Along
Programming costs are one of the company's largest expense categories, and they keep climbing — especially for sports and broadcast content. Because the company has fewer subscribers than rivals like Comcast or Charter, it has less negotiating leverage to push back on price increases. Broadcast station groups are also consolidating, giving them even more power to demand higher fees. If the company can't pass these costs on to customers in an increasingly competitive market, margins get squeezed from both sides.
The Company's Credit Rating Is Already Deep in Junk Territory
As of early 2026, S&P rates the company CCC+ and Moody's rates its main subsidiary Caa2 — both deep in junk territory, signaling that rating agencies view default as a real possibility. These low ratings make borrowing more expensive and more restrictive, creating a feedback loop: weaker finances lead to worse ratings, which lead to higher borrowing costs, which further weaken finances.
Controlling Shareholder's Interests May Not Align With Other Investors
Next Alt, the holding company controlled by Patrick Drahi, holds approximately 94% of the voting power of the company despite owning only about 40% of shares outstanding. This is due to a tri-class stock structure where Class B shares carry 25 votes each versus 1 vote for Class A shares. Public shareholders have almost no ability to influence board elections, executive decisions, or major transactions. The filing notes that Drahi's personal reputation and the Altice brand's legacy — including legal and reputational issues abroad — could negatively affect how customers, regulators, and investors view the company.
The New York City Franchise — 255,000 Video Customers — Has Already Expired
The company's largest single franchise, covering approximately 255,000 video customers in New York City, is currently operating under temporary authority after its franchise expired. If the city ultimately declines to renew on acceptable terms, the company could lose the right to operate in its most important market. A second franchise held by its Lightpath business unit expired back in 2008 and is still pending renewal.