| Schedule of allocation of excess basis within memo accounts used for equity accounting purposes |
The excess basis in our investment in Charter of $4,555 million as of June 30, 2020 is allocated within memo accounts used for equity accounting purposes as follows (amounts in millions):
|
|
|
|
|
|
|
|
|
June 30, |
|
December 31, |
|
|
|
2020 |
|
2019 |
Property and equipment |
|
$ |
236 |
|
225 |
Customer relationships |
|
|
1,180 |
|
1,043 |
Franchise fees |
|
|
2,182 |
|
1,996 |
Trademarks |
|
|
29 |
|
29 |
Goodwill |
|
|
1,883 |
|
1,630 |
Debt |
|
|
(70) |
|
(9) |
Deferred income tax liability |
|
|
(885) |
|
(817) |
|
|
$ |
4,555 |
|
4,097 |
|
| Summary of financial information for Charter |
Summarized unaudited financial information for Charter is as follows (amounts in millions):
Charter condensed consolidated balance sheets
|
|
|
|
|
|
|
|
|
June 30, 2020 |
|
December 31, 2019 |
|
Current assets |
|
$ |
4,770 |
|
6,537 |
|
Property and equipment, net |
|
|
34,074 |
|
34,591 |
|
Goodwill |
|
|
29,554 |
|
29,554 |
|
Intangible assets, net |
|
|
73,808 |
|
74,775 |
|
Other assets |
|
|
2,930 |
|
2,731 |
|
Total assets |
|
$ |
145,136 |
|
148,188 |
|
Current liabilities |
|
|
9,142 |
|
12,385 |
|
Deferred income taxes |
|
|
17,789 |
|
17,711 |
|
Long-term debt |
|
|
77,663 |
|
75,578 |
|
Other liabilities |
|
|
4,141 |
|
3,703 |
|
Equity |
|
|
36,401 |
|
38,811 |
|
Total liabilities and shareholders’ equity |
|
$ |
145,136 |
|
148,188 |
|
Charter condensed consolidated statements of operations
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Six months ended |
|
June 30, |
|
June 30, |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
Revenue |
$ |
11,696 |
|
11,347 |
|
23,434 |
|
22,553 |
Cost and expenses: |
|
|
|
|
|
|
|
|
Operating costs and expenses (excluding depreciation and amortization) |
|
7,297 |
|
7,244 |
|
14,729 |
|
14,480 |
Depreciation and amortization |
|
2,428 |
|
2,500 |
|
4,925 |
|
5,050 |
Other operating (income) expenses, net |
|
2 |
|
62 |
|
9 |
|
57 |
|
|
9,727 |
|
9,806 |
|
19,663 |
|
19,587 |
Operating income |
|
1,969 |
|
1,541 |
|
3,771 |
|
2,966 |
Interest expense, net |
|
(957) |
|
(945) |
|
(1,937) |
|
(1,870) |
Other income (expense), net |
|
30 |
|
(126) |
|
(296) |
|
(190) |
Income tax benefit (expense) |
|
(166) |
|
(84) |
|
(195) |
|
(203) |
Net income (loss) |
|
876 |
|
386 |
|
1,343 |
|
703 |
Less: Net income attributable to noncontrolling interests |
|
(110) |
|
(72) |
|
(181) |
|
(136) |
Net income (loss) attributable to Charter shareholders |
$ |
766 |
|
314 |
|
1,162 |
|
567 |
|