Sprint - Nextel 2014 Annual Report Download - page 116

Table of Contents
Index to Consolidated Financial Statements
SPRINT CORPORATION
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
F-33
The following provides the activity in the severance and exit costs liability included in "Accounts payable,"
"Accrued expenses and other current liabilities" and "Other liabilities" within the consolidated balance sheets:
Successor
March 31,
2014 Net Expense Cash Payments and Other March 31, 2015
(in millions)
Lease exit costs $ 650 $ (28) (1) $ (331) $ 291
Severance costs 197 253 (2) (331) 119
Access exit costs 124 38 (3) (118) 44
$ 971 $ 263 $ (780) $ 454
_________________
(1) In addition to the $41 million gain (Wireless only) related to U.S. Cellular recognized, we recognized costs of $13 million ($12 million Wireless and $1
million Wireline) for the year ended March 31, 2015.
(2) For the Successor year ended March 31, 2015, we recognized costs of $253 million ($218 million Wireless, $35 million Wireline).
(3) For the Successor year ended March 31, 2015, we recognized costs of $38 million ($33 million Wireless, $5 million Wireline).
Successor
December 31,
2013 Net Expense Cash Payments and Other March 31, 2014
(in millions)
Lease exit costs $ 764 $ 11 (4) $ (125) $ 650
Severance costs 225 14 (5) (42) 197
Access exit costs 149 31 (6) (56) 124
$ 1,138 $ 56 $ (223) $ 971
_________________
(4) For the three-month transition period ended March 31, 2014, we recognized costs of $11 million (solely attributable to Wireless).
(5) For the three-month transition period ended March 31, 2014, we recognized costs of $14 million ($12 million Wireless, $2 million Wireline).
(6) For the three-month transition period ended March 31, 2014, $4 million (solely attributable to Wireline) was recognized as "Cost of services" and $27
million (solely attributable to Wireless) was recognized in "Severance and exit costs."
Successor
July 11,
2013 Net Expense Cash Payments and Other December 31, 2013
(in millions)
Lease exit costs $ 933 (7) $ 56 (8) $ (225) $ 764
Severance costs 54 219 (9) (48) 225
Access exit costs 189 53 (10) (93) 149
$ 1,176 $ 328 $ (366) $ 1,138
_________________
(7) The July 11, 2013 opening balance takes into account purchase price adjustments as it relates to the SoftBank Merger.
(8) For the year ended December 31, 2013, we recognized costs of $56 million ($54 million Wireless, $2 million Wireline).
(9) For the year ended December 31, 2013, we recognized costs of $219 million ($191 million Wireless, $28 million Wireline).
(10) For the year ended December 31, 2013, $19 million (solely attributable to Wireline) was recognized as "Cost of services" and $34 million (solely
attributable to Wireless) was recognized in "Severance and exit costs."
Predecessor
December 31,
2012 Purchase Price Adjustments Net Expense Cash Payments and Other July 10, 2013
(in millions)
Lease exit costs $ 190 $ 131 $ 478 (11) $ (33) $ 766
Severance costs 11 — 58 (12) (15) 54
Access exit costs 43 — 151 (13) (5) 189
$ 244 $ 131 $ 687 $ (53) $ 1,009
_________________
(11) For the 191-day period ended July 10, 2013, we recognized net costs of $478 million (solely attributable to our Wireless segment). For the unaudited
three-month period ended March 31, 2013, we recognized net costs of $8 million (solely attributable to our Wireless segment).
(12) For the 191-day period ended July 10, 2013, we recognized costs of $58 million ($55 million Wireless, and $3 million was Wireline). For the
unaudited three-month period ended March 31, 2013, we recognized net costs of $17 million ($14 million Wireless, and $3 million Wireline).
(13) Of the $151 million ($133 million Wireless; $18 million Wireline) recognized for the 191-day period ended July 10, 2013, $35 million was recognized
as "Cost of services" and $116 million was recognized in "Severance and exit costs." For the unaudited three-month period ended March 31, 2013, we
recognized $7 million ($4 million Wireless; $3 million Wireline) all as "Cost of services."