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SEC Filings

10-Q
CCO HOLDINGS LLC filed this Form 10-Q on 10/27/2017
Entire Document
 

CCO HOLDINGS, LLC AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
(dollars in millions, except where indicated)


3.    Franchises, Goodwill and Other Intangible Assets

Indefinite-lived and finite-lived intangible assets consist of the following as of September 30, 2017 and December 31, 2016:

 
 
September 30, 2017
 
December 31, 2016
 
 
Gross Carrying Amount
 
Accumulated Amortization
 
Net Carrying Amount
 
Gross Carrying Amount
 
Accumulated Amortization
 
Net Carrying Amount
Indefinite-lived intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
Franchises
 
$
67,316

 
$

 
$
67,316

 
$
67,316

 
$

 
$
67,316

Goodwill
 
29,554

 

 
29,554

 
29,509

 

 
29,509

Other intangible assets
 

 

 

 
4

 

 
4

 
 
$
96,870

 
$

 
$
96,870

 
$
96,829

 
$

 
$
96,829

 
 
 
 
 
 
 
 
 
 
 
 
 
Finite-lived intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
Customer relationships
 
$
18,227

 
$
(5,638
)
 
$
12,589

 
$
18,226

 
$
(3,618
)
 
$
14,608

Other intangible assets
 
673

 
(181
)
 
492

 
615

 
(128
)
 
487

 
 
$
18,900

 
$
(5,819
)
 
$
13,081

 
$
18,841

 
$
(3,746
)
 
$
15,095


Amortization expense related to customer relationships and other intangible assets for the three and nine months ended September 30, 2017 was $664 million and $2.1 billion, respectively, and was $748 million and $1.2 billion for the three and nine months ended September 30, 2016, respectively.
    
The Company expects amortization expense on its finite-lived intangible assets will be as follows:

Three months ended December 31, 2017
 
$
662

2018
 
2,470

2019
 
2,187

2020
 
1,895

2021
 
1,611

Thereafter
 
4,256

 
 
$
13,081


Actual amortization expense in future periods will differ from these estimates as a result of new intangible asset acquisitions or divestitures, changes in useful lives, impairments, adoption of new accounting standards and other relevant factors.

4.    Accounts Payable and Accrued Liabilities

Accounts payable and accrued liabilities consist of the following as of September 30, 2017 and December 31, 2016:

 
September 30, 2017
 
December 31, 2016
Accounts payable – trade
$
519

 
$
416

Deferred revenue
405

 
352

Accrued liabilities:
 
 
 
Programming costs
1,947

 
1,783

Labor
741

 
953

Capital expenditures
1,389

 
1,107

Interest
994

 
958

Taxes and regulatory fees
572

 
529

Other
936

 
799

 
$
7,503

 
$
6,897



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