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SEC Filings

RENAISSANCE MEDIA GROUP LLC filed this Form S-4/A on 08/28/1998
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                       RENAISSANCE MEDIA GROUP LLC     
                              JUNE 30, 1998     
 Intangible Asset     
  Costs assigned to franchise agreements, goodwill and organization costs and
other intangible assets are amortized using the straight-line method over the
following estimated useful lives:     

      <S>                                                             <C>
       Goodwill...................................................... 25 years
       Franchise agreements.......................................... 15 years
       Loan fees and other intangible assets......................... 2-10 years
 Revenue Recognition     
  Cable television service revenue is recognized in the month service is
provided to customers. Advance payments on cable services to be rendered are
recorded as subscriber prepayments. Advertising revenue is recognized in the
period service is provided.     
 Estimates Used in Financial Statement Presentation     
  The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amount of assets and liabilities, the
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amount of revenues and expenses during the
reporting period. Actual results could differ from those estimates.     
  On April 9, 1998, the Company acquired six cable television systems from TWI
Cable. The systems are clustered in southern Louisiana, western Mississippi
and western Tennessee. This Acquisition represented the first Acquisition of
the Company. The purchase price for the systems was $309.5 million. TWI Cable
received $300 million in cash and a $9.5 million (9,500 units) equity interest
in Renaissance Media Holdings LLC, the parent company of Group, in
satisfaction of the purchase price. In addition to the purchase price, the
Company incurred approximately $1.3 million in transaction costs, exclusive of
financing costs.     
  The 9,500 units issued to TWI Cable as equity represent an 8.8% interest in
Holdings, determined by dividing the TWI Cable interests of 9,500 units by the
total units outstanding of Holdings of 108,500. TWI Cable's interest in
Holdings is as a minority member with one board representative, and TWI Cable
has economic interests in Holdings equal to its ownership percentage on the
same basis as the other members of Holdings. In accordance with the Limited
Liability Company Agreement of Holdings, TWI Cable is not required to make any
future equity contribution to Holdings and its ability to sell or otherwise
dispose of its interests in Holdings is limited. Holdings was formed to
consummate the Acquisition and had no assets prior to this transaction.     
  The Acquisition was accounted for using the purchase method of accounting
and accordingly, results of operation are reported from the date of the
Acquisition (April 9, 1998). The excess of the purchase price over the
estimated fair value of the tangible assets acquired ($244.3 million) has been
allocated to franchise cost and goodwill in the amount of $235.7 million and
$8.6 million, respectively. The appraisal of the acquired assets is not yet
complete, thus the allocation of the purchase price is subject to change.     
  Unaudited Pro Forma summarized results of operations for the Company for the
six months ended June 30, 1998 and 1997, assuming the Acquisition had been
consummated on January 1, 1998 and 1997 are as follows: