| Schedule of allocation of excess basis within memo accounts used for equity accounting purposes |
The excess basis in our investment in Charter of $3,409 million as of June 30, 2019 is allocated within memo accounts used for equity accounting purposes as follows (amounts in millions):
|
|
|
|
|
|
|
|
|
June 30, |
|
December 31, |
|
|
|
2019 |
|
2018 |
Property and equipment |
|
$ |
277 |
|
328 |
Customer relationships |
|
|
754 |
|
721 |
Franchise fees |
|
|
1,853 |
|
1,821 |
Trademarks |
|
|
29 |
|
29 |
Goodwill |
|
|
1,279 |
|
1,202 |
Debt |
|
|
(74) |
|
(105) |
Deferred income tax liability |
|
|
(709) |
|
(698) |
|
|
$ |
3,409 |
|
3,298 |
|
| 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, 2019 |
|
December 31, 2018 |
|
Current assets |
|
$ |
3,490 |
|
2,944 |
|
Property and equipment, net |
|
|
34,475 |
|
35,126 |
|
Goodwill |
|
|
29,554 |
|
29,554 |
|
Intangible assets, net |
|
|
75,780 |
|
76,884 |
|
Other assets |
|
|
2,786 |
|
1,622 |
|
Total assets |
|
$ |
146,085 |
|
146,130 |
|
Current liabilities |
|
|
9,875 |
|
12,095 |
|
Deferred income taxes |
|
|
17,522 |
|
17,389 |
|
Long-term debt |
|
|
71,784 |
|
69,537 |
|
Other liabilities |
|
|
3,810 |
|
2,837 |
|
Equity |
|
|
43,094 |
|
44,272 |
|
Total liabilities and shareholders’ equity |
|
$ |
146,085 |
|
146,130 |
|
Charter condensed consolidated statements of operations
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Six months ended |
|
June 30, |
|
June 30, |
|
2019 |
|
2018 |
|
2019 |
|
2018 |
Revenue |
$ |
11,347 |
|
10,854 |
|
22,553 |
|
21,511 |
Cost and expenses: |
|
|
|
|
|
|
|
|
Operating costs and expenses (excluding depreciation and amortization) |
|
7,244 |
|
6,873 |
|
14,480 |
|
13,709 |
Depreciation and amortization |
|
2,500 |
|
2,592 |
|
5,050 |
|
5,302 |
Other operating (income) expenses, net |
|
62 |
|
29 |
|
57 |
|
98 |
|
|
9,806 |
|
9,494 |
|
19,587 |
|
19,109 |
Operating income |
|
1,541 |
|
1,360 |
|
2,966 |
|
2,402 |
Interest expense, net |
|
(945) |
|
(878) |
|
(1,870) |
|
(1,729) |
Other income (expense), net |
|
(126) |
|
(102) |
|
(190) |
|
(42) |
Income tax benefit (expense) |
|
(84) |
|
(41) |
|
(203) |
|
(69) |
Net income (loss) |
|
386 |
|
339 |
|
703 |
|
562 |
Less: Net income attributable to noncontrolling interests |
|
(72) |
|
(66) |
|
(136) |
|
(121) |
Net income (loss) attributable to Charter shareholders |
$ |
314 |
|
273 |
|
567 |
|
441 |
|