Cablevision ( CVC) shares took a hit Wednesday as the company's buyout plan was shot down by shareholders.The Bethpage, N.Y., cable company says shareholders rejected a $10.6 billion offer by a group of investors led by the founding Dolan family. News of the latest take-private defeat sent Cablevision shares down as investors ponder the prospects for a company facing increased video competition on its home turf from phone giant Verizon ( VZ). But Cablevision executives were upbeat, characterizing the rejection as a positive vote for the company. "While we are disappointed that shareholders did not approve the transaction, there is really nothing negative about today's outcome," the Dolans said in a press release. "In fact, in many ways, it is a very positive event. We see today's outcome as a vote of confidence in the prospects of Cablevision." The Dolan group -- led by chairman and founder Charles Dolan and CEO son Jim Dolan -- already owns about 20% of the company. The latest bid, which would have paid investors $36.26 per share, is the third failed attempt by the Dolans to take the nation's No. 6 cable shop private. The first offer came in June 2005, when the Dolans floated a $7.9 billion buyout plan that was later sunk by the board. That deal promised to pay stakeholders $21 a share in cash, a 24% premium for Cablevision holders at the time. The plan called for Cablevision to spin off its media and entertainment properties into a separately traded Rainbow Media venture.