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SEC Filings

10-Q
CHARTER COMMUNICATIONS, INC. /MO/ filed this Form 10-Q on 08/09/2016
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The following tables present our major capital expenditures categories on an actual and pro forma basis, assuming the Transactions occurred as of January 1, 2015, in accordance with National Cable and Telecommunications Association ("NCTA") disclosure guidelines for the three and six months ended June 30, 2016 and 2015. The disclosure is intended to provide more consistency in the reporting of capital expenditures among peer companies in the cable industry. These disclosure guidelines are not required disclosures under GAAP, nor do they impact our accounting for capital expenditures under GAAP (dollars in millions):

 
Actual
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2016
 
2015
 
2016
 
2015
 
 
 
 
 
 
 
 
Customer premise equipment (a)
$
378

 
$
135

 
$
515

 
$
285

Scalable infrastructure (b)
386

 
118

 
496

 
193

Line extensions (c)
171

 
48

 
218

 
87

Upgrade/rebuild (d)
110

 
33

 
151

 
56

Support capital (e)
215

 
98

 
309

 
162

 
 
 
 
 
 
 
 
Total capital expenditures
$
1,260

 
$
432

 
$
1,689

 
$
783

 
 
 
 
 
 
 
 
Capital expenditures included in total related to:

 
 
 
 
 
 
 
Commercial services
$
191

 
$
65

 
$
255

 
$
116

Transition
$
111

 
$
28

 
$
164

 
$
42


 
Pro Forma
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2016
 
2015
 
2016
 
2015
 
 
 
 
 
 
 
 
Customer premise equipment (a)
$
651

 
$
698

 
$
1,412

 
$
1,385

Scalable infrastructure (b)
640

 
466

 
1,115

 
858

Line extensions (c)
277

 
244

 
502

 
488

Upgrade/rebuild (d)
171

 
166

 
305

 
267

Support capital (e)
336

 
281

 
575

 
441

 
 
 
 
 
 
 
 
Total capital expenditures
$
2,075

 
$
1,855

 
$
3,909

 
$
3,439


(a)
Customer premise equipment includes costs incurred at the customer residence to secure new customers and revenue generating units. It also includes customer installation costs and customer premise equipment (e.g., set-top boxes and cable modems).
(b)
Scalable infrastructure includes costs not related to customer premise equipment, to secure growth of new customers and revenue generating units, or provide service enhancements (e.g., headend equipment).
(c)
Line extensions include network costs associated with entering new service areas (e.g., fiber/coaxial cable, amplifiers, electronic equipment, make-ready and design engineering).
(d)
Upgrade/rebuild includes costs to modify or replace existing fiber/coaxial cable networks, including betterments.
(e)
Support capital includes costs associated with the replacement or enhancement of non-network assets due to technological and physical obsolescence (e.g., non-network equipment, land, buildings and vehicles).

Recently Issued Accounting Standards

See Note 21 to the accompanying consolidated financial statements contained in “Item 1. Financial Statements” for a discussion of recently issued accounting standards.



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