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Table of Contents
CLEARWIRE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)
The following shows the effects of the changes in Clearwire
’ s ownership interests in Clearwire Communications (in thousands):
Dividend Policy
We have not declared or paid any cash dividends on Class A or Class B Common Stock. We currently expect to retain future earnings, if any, for
use in the operations and expansion of our business. We do not anticipate paying any cash dividends in the foreseeable future. In addition, covenants
in the indentures governing our Senior Secured Notes impose significant restrictions on our ability to pay cash dividends to our stockholders.
Non
- controlling Interests in Clearwire Communications
Clearwire Communications is consolidated into Clearwire because we hold 100% of the voting interest in Clearwire Communications. Therefore,
the holders of the Class B Common Interests represent non
- controlling interests in a consolidated subsidiary. As a result, the income (loss)
consolidated by Clearwire is decreased in proportion to the outstanding non - controlling interests. The conversion of Class B Common Interests and
the corresponding number of Class B Common Stock to Class A Common Stock is recorded in Issuance of common stock, net of issuance costs, and
other capital transactions on our consolidated statement of stockholders' equity.
Warrants
As of December 31, 2012, there were 375,000 warrants outstanding with an expiration date of November 13, 2013. Holders may exercise their
warrants at any time, with an exercise price of $3.00.
F - 82
Year ended December 31,
2012
2011
2010
Clearwire's loss from equity investees (note 20)
$
(758,705
)
$
(612,214
)
$
(496,875
)
Increase/(decrease) in Clearwire ’ s additional paid - in capital for issuance or conversion of
Class B Common Stock
379,048
137,353
(64,569
)
Increase in Clearwire ’ s additional paid - in capital for issuance of Class A Common Stock
58,460
384,106
301,849
Other effects of changes in Clearwire ’ s additional paid - in capital for issuance of Class A and
Class B Common Stock
28,143
18,870
145,785
Net transfers from non - controlling interests
465,651
540,329
383,065
Change from net loss attributable to Clearwire and transfers to non - controlling interests
$
(293,054
)
$
(71,885
)
$
(113,810
)