Charter 2004 Annual Report Download - page 92

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CHARTER COMMUNICATIONS, INC. 2004 FORM 10-K
Interested
Transaction Related Party Description of Transaction
Oxygen Media Corporation Paul G. Allen We paid Oxygen Media approximately $13 million under a carriage
Carriage Agreement W. Lance Conn agreement in exchange for programming in 2004. We recorded
Jo Allen Patton approximately $1 million in 2004 from Oxygen Media related to launch
incentives as a reduction of programming expense. We will receive
1 million shares of Oxygen Preferred Stock with a liquidation preference
of $33.10 per share in March 2005. We recognized approximately
$13 million as a reduction of programming expense in 2004, in recognition
of the guaranteed value of the investment.
Portland Trail Blazers Paul G. Allen We paid approximately $96,100 for rights to carry the cable broadcast of
Carriage Agreement certain Trail Blazers basketball games in 2004.
Digeo, Inc. Broadband Paul G. Allen We paid Digeo approximately $3 million for customized development of
Carriage Agreement William D. Savoy the i-channels and the local content tool kit in 2004. We entered into a
Carl E. Vogel license agreement in 2004 for the Digeo software that runs DVR units
purchased from a third party. Charter paid approximately $474,400 in
license and maintenance fees in 2004. In 2004, we executed a purchase
agreement for the purchase of up to 70,000 DVR units and a related
software license agreement, both subject to satisfaction of certain
conditions.
Viacom Networks Jonathan L. Dolgen We are party to certain affiliation agreements with networks of Viacom,
pursuant to which Viacom provides Charter with programming for
distribution via our cable systems. For the year ended December 31, 2004,
Charter paid Viacom approximately $194 million for programming and
Charter recorded as receivables approximately $8 million from Viacom for
launch incentives and marketing support.
ADC Telecommunications Larry W. Wangberg We paid $344,800 to purchase certain access/network equipment in 2004.
Inc.
HDNet and HDNet Movies Mark Cuban Charter Holdco is party to an agreement to carry two around-the-clock,
Network high definition networks, HDNet and HDNet Movies. We paid HDNet
and HDNet Movies approximately $609,100 in 2004.
Affiliate lease agreement David L. McCall We paid approximately $43,400 in 2004 under an office lease agreement
to a partnership controlled by Mr. McCall, a former executive officer who
resigned in January 2003.
Carriage fees David C. Merritt We paid approximately $1 million in 2004 to carry The Outdoor Channel.
Mr. Merritt is a director of an affiliate of this channel.
Payment for relative’s Carl E. Vogel During all of 2004, Mr. Vogel’s brother-in-law was an employee of Charter
services Holdco and was paid a salary commensurate with his position in the
engineering department.
Indemnification Advances Current and former Charter reimbursed certain of its current and former directors and
directors and current executive officers a total of approximately $3 million for costs incurred in
and former officers connection with litigation matters in 2004.
named in certain
legal proceedings
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