Charter 2013 Annual Report Download - page 105

Download and view the complete annual report

Please find page 105 of the 2013 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 136

  • 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
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2013, 2012 AND 2011
(dollars in millions, except share or per share data or where indicated)
F- 23
The following table summarizes our shares outstanding for the three years ended December 31, 2013:
Class A
Common
Stock
Class B
Common
Stock
BALANCE, December 31, 2010 112,317,691 2,241,299
Conversion of Class B common stock into Class A 2,241,299 (2,241,299)
Restricted stock issuances, net of cancellations 472,099 —
Option exercises 140,893 —
Stock issuances pursuant to employment agreements 7,000 —
Purchase of treasury stock (see Note 9) (14,608,564)—
BALANCE, December 31, 2011 100,570,418 —
Option exercises 370,715 —
Restricted stock issuances, net of cancellations 182,537 —
Stock issuances from exercise of warrants 179,850 —
Restricted stock unit vesting 51,476 —
Purchase of treasury stock (see Note 9) (178,749)—
BALANCE, December 31, 2012 101,176,247 —
Option exercises 543,221 —
Restricted stock issuances, net of cancellations 4,879 —
Stock issuances from exercise of warrants 4,481,656 —
Restricted stock unit vesting 88,330 —
Purchase of treasury stock (see Note 9) (150,258)—
BALANCE, December 31, 2013 106,144,075 —
11. Accounting for Derivative Instruments and Hedging Activities
The Company uses interest rate derivative instruments to manage its interest costs and reduce the Company’s exposure to increases
in floating interest rates. The Company manages its exposure to fluctuations in interest rates by maintaining a mix of fixed and
variable rate debt. Using interest rate derivative instruments, the Company agrees to exchange, at specified intervals through
2017, the difference between fixed and variable interest amounts calculated by reference to agreed-upon notional principal amounts.
The Company does not hold or issue derivative instruments for speculative trading purposes. The Company, until de-designating
in the three months ended March 31, 2013, had certain interest rate derivative instruments that were designated as cash flow
hedging instruments for GAAP purposes. Such instruments effectively converted variable interest payments on certain debt
instruments into fixed payments. For qualifying hedges, realized derivative gains and losses offset related results on hedged items
in the consolidated statements of operations. The Company formally documented, designated and assessed the effectiveness of
transactions that received hedge accounting.