Charter 2009 Annual Report Download - page 61

Download and view the complete annual report

Please find page 61 of the 2009 Charter annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 90

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90

CCH II, LLC AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2009, 2008, AND 2007
(dollars in millions, except where indicated)
F-13
(8) Reconciliation of reorganization value to determination of equity:
Total reorganization value $ 15,400
Less: Assets owned by parent companies (204)
Total reorganization value – CCH II 15,196
Less: Working capital deficit (excluding debt) (152)
Other long term liabilities (excluding taxes) (68)
Loans payable – related party (13)
Fair value of debt (13,333)
Member’ s equity 1,630
Less: Noncontrolling interest (222)
Total CCH II member’ s equity $ 1,408
(9) As a result of the Plan, the following adjustments were recorded to members’ equity.
Loss due to Plan effects $ (353)
Noncash contributions from parent company related to exchange of CCH II notes 1,151
Distribution of new CCH II notes to CCH I (101)
Cash contribution from parent company 51
CC VIII preferred equity adjustment (see explanatory note 7) 129
$ 877
(10) The following table summarizes the allocation of the reorganization value to CCH II’ s assets at the date of
emergence as shown in the reorganized consolidated balance sheet as of November 30, 2009:
Reorganization value – CCH II $ 15,196
Less fair value of:
Property, plant and equipment (6,784)
Franchises (5,272)
Customer relationships (2,363)
Other noncurrent assets (37)
(14,456)
Excess of reorganization value over assets 740
Deferred income taxes resulting from allocation 211
Reorganization value of CCH II assets in excess of fair value (goodwill) $ 951
Liabilities were also adjusted to fair value in the application of fresh start accounting resulting in the
reduction of long-term debt by $502 million based on market values of CCH II’ s reinstated debt instruments
as of November 30, 2009. See Note 8 to the consolidated financial statements. In addition, deferred tax
liabilities of $211 million were recorded in accordance with accounting guidance regarding reorganizations
and income taxes.