Charter 2012 Annual Report Download - page 16

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Holdings") and Charter Operating, had debt obligations as of December 31, 2012. For a description of the debt issued by these
issuers please see “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations — Description
of Our Outstanding Debt.”
Products and Services
Through our hybrid fiber and coaxial cable network, we offer our customers traditional cable video services (basic and digital,
which we refer to as “video” services), as well as advanced video services (such as OnDemand, HD television, and DVR service),
Internet services and telephone services. Our telephone services are primarily provided using voice over Internet protocol (“VoIP”)
technology, to transmit digital voice signals over our systems. Our video, Internet, and telephone services are offered to residential
and commercial customers on a subscription basis, with prices and related charges based on the types of service selected, whether
the services are sold as a “bundle” or on an individual basis, and the equipment necessary to receive the services.
The following table summarizes our customer statistics for video, Internet and telephone as of December 31, 2012 and 2011.
Approximate as of
December 31,
2012 (a) 2011 (a)
Residential
Video (b) 3,989 4,144
Internet (c) 3,785 3,492
Telephone (d) 1,914 1,791
Residential PSUs (e) 9,688 9,427
Commercial
Video (f) 169 170
Internet (c) 193 163
Telephone (d) 105 79
Commercial PSUs (e) 467 412
Residential ARPU
Video (g) $ 74 $ 72
Internet (g) $ 42 $ 42
Telephone (g) $ 37 $ 41
(a) We calculate the aging of customer accounts based on the monthly billing cycle for each account. On that basis, at
December 31, 2012 and 2011, customers include approximately 18,400 and 18,600 customers, respectively, whose
accounts were over 60 days past due in payment, approximately 2,600 and 2,500 customers, respectively, whose accounts
were over 90 days past due in payment, and approximately 1,700 and 1,400 customers, respectively, whose accounts
were over 120 days past due in payment.
(b) "Video Customers” represent those customers who subscribe to our video services. Effective January 1, 2012, Charter
revised its reporting of customers whereby customers residing in multi-dwelling residential structures are now included
in residential video customers rather than commercial video customers. Further, residential video customers are no
longer calculated on an EBU (see footnote (f)) basis but are based on separate billing relationships. The impact of these
changes increased residential video customers and reduced commercial video customers, with an overall net decrease to
total video customers. Prior periods were reclassified to conform to the 2012 presentation.
(c) “Internet customers” represent those customers who subscribe to our Internet service.
(d) “Telephone customers” represent those customers who subscribe to our telephone service.
(e) “Primary Service Units” or “PSUs” represent the total of video, Internet and telephone customers.