Quarterly report pursuant to Section 13 or 15(d)

Investment in Charter Accounted for Using the Equity Method (Tables)

v3.8.0.1
Investment in Charter Accounted for Using the Equity Method (Tables)
9 Months Ended
Sep. 30, 2017
Investments in Affiliates Accounted for Using the Equity Method  
Schedule of allocation of excess basis within memo accounts used for equity accounting purposes

The excess basis is $2,100 million as of September 30, 2017 and has been allocated within memo accounts used for equity accounting purposes as follows (amounts in millions):

 

 

 

 

 

 

Property and equipment

    

$

174

 

Customer relationships

 

 

346

 

Franchise fees

 

 

1,170

 

Trademarks

 

 

29

 

Goodwill

 

 

1,046

 

Debt

 

 

(20)

 

Deferred income tax liability

 

 

(645)

 

 

 

$

2,100

 

 

Summary of financial information for Charter

Summarized unaudited financial information for Charter is as follows (amounts in millions):

Charter condensed consolidated balance sheets

 

 

 

 

 

 

 

 

 

    

September 30, 2017

 

December 31, 2016

 

Current assets

 

$

4,132

 

3,300

 

Property and equipment, net

 

 

33,300

 

32,963

 

Goodwill

 

 

29,554

 

29,509

 

Intangible assets, net

 

 

79,905

 

81,924

 

Other assets

 

 

1,337

 

1,371

 

Total assets

 

$

148,228

 

149,067

 

Current liabilities

 

 

10,419

 

9,572

 

Deferred income taxes

 

 

26,576

 

26,665

 

Long-term debt

 

 

66,064

 

59,719

 

Other liabilities

 

 

2,591

 

2,745

 

Equity

 

 

42,578

 

50,366

 

Total liabilities and shareholders’ equity

 

$

148,228

 

149,067

 

Charter condensed consolidated statements of operations

 

 

 

 

 

 

 

 

 

 

 

Three months ended 

    

Nine months ended

 

September 30,

 

September 30,

 

2017

 

2016

 

2017

 

2016

Revenue

$

10,458

 

10,037

 

30,979

 

18,728

Cost and expenses:

 

 

 

 

 

 

 

 

Operating costs and expenses (excluding depreciation and amortization)

 

(6,703)

 

(6,482)

 

(19,857)

 

(12,157)

Depreciation and amortization

 

(2,701)

 

(2,437)

 

(7,846)

 

(4,412)

Other operating expenses, net

 

(145)

 

(207)

 

(374)

 

(776)

 

 

(9,549)

 

(9,126)

 

(28,077)

 

(17,345)

Operating income

 

909

 

911

 

2,902

 

1,383

Interest expense, net

 

(788)

 

(724)

 

(2,250)

 

(1,771)

Other income (expense), net

 

(3)

 

79

 

(55)

 

429

Income tax benefit (expense)

 

(26)

 

(16)

 

(99)

 

3,135

Net income (loss)

 

92

 

250

 

498

 

3,176

Less: Net income attributable to noncontrolling interests

 

(44)

 

(61)

 

(156)

 

(108)

Net income (loss) attributable to Charter shareholders

$

48

 

189

 

342

 

3,068