Charter 2007 Annual Report Download - page 41

ITEM 6. SELECTED FINANCIAL DATA.
The following table presents selected consolidated financial data for the periods indicated (dollars in millions, except share data):
2007 2006 2005 2004 2003
Charter Communications, Inc. Year Ended December 31,
(a)
Statement of Operations Data:
Revenues $ 6,002 $ 5,504 $ 5,033 $ 4,760 $ 4,616
Operating income (loss) from continuing operations $ 548 $ 367 $ 304 $ (1,942) $ 484
Interest expense, net $ (1,851) $ (1,877) $ (1,818) $ (1,669) $ (1,557)
Loss from continuing operations before income taxes and cumulative
effect of accounting change $ (1,407) $ (1,399) $ (891) $ (3,575) $ (363)
Net loss applicable to common stock $ (1,616) $ (1,370) $ (970) $ (4,345) $ (242)
Basic and diluted loss from continuing operations before cumulative
effect of accounting change per common share $ (4.39) $ (4.78) $ (3.24) $ (11.47) $ (0.83)
Basic and diluted loss per common share $ (4.39) $ (4.13) $ (3.13) $ (14.47) $ (0.82)
Weighted-average shares outstanding, basic and diluted 368,240,608 331,941,788 310,209,047 300,341,877 294,647,519
Balance Sheet Data (end of period):
Investment in cable properties $ 14,045 $ 14,440 $ 15,666 $ 16,167 $ 20,694
Total assets $ 14,666 $ 15,100 $ 16,431 $ 17,673 $ 21,364
Long-term debt $ 19,908 $ 19,062 $ 19,388 $ 19,464 $ 18,647
Note payable — related party $65$ 57 $ 49 $ —$—
Minority interest
(b)
$ 199 $ 192 $ 188 $ 648 $ 689
Preferred stock — redeemable $5$4$4$55$55
Shareholders’ deficit $ (7,892) $ (6,219) $ (4,920) $ (4,406) $ (175)
(a)
In 2006, we sold certain cable television systems in West Virginia and Virginia to Cebridge Connections, Inc. We determined that the West Virginia and Virginia cable
systems comprise operations and cash flows that for financial reporting purposes meet the criteria for discontinued operations. Accordingly, the results of operations for the
West Virginia and Virginia cable systems have been presented as discontinued operations, net of tax for the year ended December 31, 2006 and all prior periods presented
herein have been reclassified to conform to the current presentation.
(b)
Minority interest represents preferred membership interests in our indirect subsidiary, CC VIII, and since June 6, 2003, the pro rata share of the profits and losses of CC
VIII. This preferred membership interest arises from approximately $630 million of preferred membership units issued by CC VIII in connection with an acquisition in
February 2000. Our 70% interest in the 24,273,943 Class A preferred membership units (collectively, the “CC VIII interest”) is held by CCH I. See Notes 11 and 23 to our
accompanying consolidated financial statements contained in “Item 8. Financial Statements and Supplementary Data.” Reported losses allocated to minority interest on the
statement of operations are limited to the extent of any remaining minority interest on the balance sheet related to Charter Holdco. Because minority interest in Charter
Holdco was substantially eliminated at December 31, 2003, beginning in 2004, Charter began to absorb substantially all losses before income taxes that otherwise would
have been allocated to minority interest. Under our existing capital structure, Charter will continue to absorb all future losses for generally accepted accounting principals
(“GAAP”) purposes.
Comparability of the above information from year to year is affected by acquisitions and dispositions completed by us. See Note 4
to our accompanying consolidated financial statements contained in “Item 8. Financial Statements and Supplementary Data” and
“Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations – Liquidity and Capital Resources.”
CHARTER COMMUNICATIONS, INC. 2007 FORM 10-K
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