Charter 2010 Annual Report Download - page 64

                                         

in each loan year to 1% of the original amount of the term loan, with the remaining balance due at final maturity on September 6,
2016, $199 million principal amount of a non-revolving loan repayable in full on March 6, 2013 and $80 million outstanding under
a revolving credit facility. Amounts outstanding under the revolving credit facility mature on March 6, 2015; provided, however, that
unless otherwise directed by the revolving lenders holding more than 50% of the revolving commitments, the termination date will be
December 1, 2013 if, on December 1, 2013, Charter Operating and its subsidiaries do not have less than $1.0 billion of indebtedness on
a consolidated basis with maturities between January 1, 2014 and April 30, 2014.
Contractual Obligations
e following table summarizes our payment obligations as of December 31, 2010 under our long-term debt and certain other contractual
obligations and commitments (dollars in millions.)
Payments by Period
Total Less than
1 year 1-3 years 3-5 years More than 5 years
Contractual Obligations
Long-Term Debt Principal Payments (1) $ 12,316 $ 58 $ 1,495 $ 3,561 $ 7,202
Long-Term Debt Interest Payments (2) 4,896 847 1,648 1,365 1,036
Capital and Operating Lease Obligations (3) 89 23 36 20 10
Programming Minimum Commitments (4) 267 103 164 -- --
Other (5) 290 235 10 45 --
Total $ 17,858 $ 1,266 $ 3,353 $ 4,991 $ 8,248
(1) e table presents maturities of long-term debt outstanding as of December 31, 2010 and does not reflect the issuance of the CCO
Holdings notes in January 2011 and the application of proceeds to repay borrowings under the Charter Operating credit facilities. Refer
to Notes 7 and 21 to our accompanying consolidated financial statements contained in “Item 8. Financial Statements and Supplementary
Data” for a description of our long-term debt and other contractual obligations and commitments.
(2) Interest payments on variable debt are estimated using amounts outstanding at December 31, 2010 and the average implied forward
London Interbank Offering Rate (“LIBOR”) rates applicable for the quarter during the interest rate reset based on the yield curve in effect
at December 31, 2010. Actual interest payments will differ based on actual LIBOR rates and actual amounts outstanding for applicable periods.
(3) We lease certain facilities and equipment under noncancelable operating leases. Leases and rental costs charged to expense for the years
ended December 31, 2010, 2009, and 2008, were $24 million, $25 million and $24 million, respectively.
(4) We pay programming fees under multi-year contracts ranging from three to ten years, typically based on a flat fee per customer, which
may be fixed for the term, or may in some cases escalate over the term. Programming costs included in the accompanying statement
of operations were approximately $1.8 billion, $1.7 billion and $1.6 billion, for the years ended December 31, 2010, 2009, and 2008,
respectively. Certain of our programming agreements are based on a flat fee per month or have guaranteed minimum payments. e table
sets forth the aggregate guaranteed
minimum commitments under our programming contracts.
(5) “Other” represents other guaranteed minimum commitments, which consist primarily of commitments to our billing services vendors.
e following items are not included in the contractual obligations table because the obligations are not fixed and/or determinable due to
various factors discussed below. However, we incur these costs as part of our operations:
We rent utility poles used in our operations. Generally, pole rentals are cancelable on short notice, but we anticipate that such rentals
•