FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person * TANABE CHARLES Y   2. Issuer Name and Ticker or Trading Symbol Discovery Holding CO [DISC] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner __X__ Officer (give title below) _____ Other (specify below) Senior Vice President (Last) (First) (Middle) 12300 LIBERTY BLVD. 3. Date of Earliest Transaction (Month/Day/Year) 05/23/2007 (Street) ENGLEWOOD, CO 80112 4. If Amendment, Date Original Filed(Month/Day/Year) 6. Individual or Joint/Group Filing(Check Applicable Line) _X_ Form filed by One Reporting Person ___ Form filed by More than One Reporting Person (City) (State) (Zip) Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned

1.Title of Security (Instr. 3) 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Series A Common Stock 05/23/2007   M   200 A $ 17.54 14,172 D   Series A Common Stock 05/23/2007   S   200 D $ 23.21 13,972 D   Series A Common Stock 05/23/2007   M   1,234 A $ 17.54 15,206 D   Series A Common Stock 05/23/2007   S   1,234 D $ 23.22 13,972 D   Series A Common Stock 05/23/2007   M   1,800 A $ 17.54 15,772 D   Series A Common Stock 05/23/2007   S   1,800 D $ 23.23 13,972 D   Series A Common Stock 05/23/2007   M   21,092 A $ 17.54 35,064 D   Series A Common Stock 05/23/2007   S   21,092 D $ 23.4 13,972 D   Series A Common Stock 05/23/2007   M   4,004 A $ 17.54 17,976 D   Series A Common Stock 05/23/2007   S   4,004 D $ 23.41 13,972 D   Series A Common Stock 05/23/2007   M   5,212 A $ 17.54 19,184 D   Series A Common Stock 05/23/2007   S   5,212 D $ 23.42 13,972 D   Series A Common Stock 05/23/2007   M   4,690 A $ 17.54 18,662 D   Series A Common Stock 05/23/2007   S   4,690 D $ 23.43 13,972 D   Series A Common Stock 05/23/2007   M   7,300 A $ 17.54 21,272 D   Series A Common Stock 05/23/2007   S   7,300 D $ 23.44 13,972 D   Series A Common Stock 05/23/2007   M   3,768 A $ 17.54 17,740 D   Series A Common Stock 05/23/2007   S   3,768 D $ 23.45 13,972 D   Series A Common Stock 05/23/2007   M   300 A $ 17.54 14,272 D   Series A Common Stock 05/23/2007   S   300 D $ 23.46 13,972 D   Series A Common Stock 05/23/2007   M   400 A $ 17.54 14,372 D   Series A Common Stock 05/23/2007   S   400 D $ 23.47 13,972 D   Series A Common Stock               306 (1) I By Spouse Series A Common Stock               754 (2) I By 401(k) Savings Plan

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)

1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Underlying Securities (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Stock Option (right to buy)	$ 17.54	05/23/2007		M			200	(3)	02/28/2011	Series A Common Stock	200	$ 0	196,715	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			1,234	(3)	02/28/2011	Series A Common Stock	1,234	$ 0	195,481	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			1,800	(3)	02/28/2011	Series A Common Stock	1,800	$ 0	193,681	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			21,092	(3)	02/28/2011	Series A Common Stock	21,092	$ 0	172,589	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			4,004	(3)	02/28/2011	Series A Common Stock	4,004	$ 0	168,585	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			5,212	(3)	02/28/2011	Series A Common Stock	5,212	$ 0	163,373	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			4,690	(3)	02/28/2011	Series A Common Stock	4,690	$ 0	158,683	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			7,300	(3)	02/28/2011	Series A Common Stock	7,300	$ 0	151,383	D
Stock Option (right to buy	$ 17.54	05/23/2007		M			3,768	(3)	02/28/2011	Series A Common Stock	3,768	$ 0	147,615	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			300	(3)	02/28/2011	Series A Common Stock	300	$ 0	147,315	D
Stock Option (right to buy)	$ 17.54	05/23/2007		M			400	(3)	02/28/2011	Series A Common Stock	400	$ 0	146,915	D

Reporting Owners

Reporting Owner Name / Address	Relationships
	Director	10% Owner	Officer	Other
TANABE CHARLES Y 12300 LIBERTY BLVD. ENGLEWOOD, CO 80112			Senior Vice President

Signatures

/s/ Charles Y. Tanabe		05/24/2007
**Signature of Reporting Person		Date

Explanation of Responses:

*	If the form is filed by more than one reporting person, see Instruction 4(b)(v).
**	Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1)	The Reporting Person disclaims beneficial ownership of these shares owned by his Spouse.
(2)	The number of shares represents equivalent shares based on the fair market value of the shares of the Issuer's Series A common stock held by the unitized stock fund under the Liberty Media Corporation 401(k) Savings Plan based on a report from the Plan Administrator dated as of April 30, 2007. The Reporting Person has an interest in the unitized fund, which holds shares of the Issuer's Series A common stock and short-term investments.
(3)	The option vested as to 30% on February 28, 2002 and 17.5% on February 28, 2003, 2004, 2005, and 2006.
Remarks: The trading symbols for the Issuer's Series A and Series B Common Stock are DISCA and DISCB, respectively.

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