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SEC Filings

424B3
CHARTER COMMUNICATIONS HOLDINGS CAPITAL CORP filed this Form 424B3 on 09/01/1999
Entire Document
 
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                            INTERMEDIA CABLE SYSTEMS
              (COMPRISED OF COMPONENTS OF INTERMEDIA PARTNERS AND
                     INTERMEDIA CAPITAL PARTNERS IV, L.P.)
 
         NOTES TO CONDENSED COMBINED FINANCIAL STATEMENTS -- CONTINUED
 
Payable to InterMedia Partners IV, L.P." Debt, unamortized debt issue costs and
interest expense related to the financing of the cable systems not owned by RMG
have not been allocated to the InterMedia Cable Systems. As such, the level of
debt, unamortized debt issue costs and related interest expense presented in the
condensed combined financial statements are not representative of the debt that
would be required or interest expense incurred if the InterMedia Cable Systems
were a separate legal entity.
 
USE OF ESTIMATES IN THE PREPARATION OF FINANCIAL STATEMENTS
 
     The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the
reporting period. Actual results could differ from these estimates.
 
2.  EXCHANGE OF CABLE PROPERTIES
 
EXCHANGE
 
     On December 31, 1998, certain of the Systems' cable television assets
located in and around western and eastern Tennessee ("Exchanged Assets"),
serving approximately 10,600 (unaudited) basic subscribers, plus cash of $398
were exchanged for other cable television assets located in and around western
and eastern Tennessee, serving approximately 10,000 (unaudited) basic
subscribers.
 
     The exchange resulted in a gain of $26,218 calculated as the difference
between the fair value of the assets received and the net book value of the
Exchanged Assets less cash paid of $398.
 
3.  NOTE PAYABLE TO INTERMEDIA PARTNERS IV, L.P.
 
     RMG's note payable to IP-IV consists of the following:
 

<TABLE>
<CAPTION>
                                                 JUNE 30,    DECEMBER 31,
                                                   1999          1998
                                                 --------    ------------
<S>                                              <C>         <C>
Intercompany revolving credit facility,
  $1,200,000 commitment as of June 30, 1999,
  interest currently at 6.57% payable on
  maturity, matures December 31, 2006..........  $414,493      $396,579
                                                 ========      ========
</TABLE>

 
     RMG's debt is outstanding under an intercompany revolving credit facility
executed with IP-IV. The revolving credit facility currently provides for
$1,200,000 of available credit.
 
     RMG's intercompany revolving credit facility requires repayment of the
outstanding principal and accrued interest on the earlier of (i) December 31,
2006, or (ii) acceleration of any of IP-IV's obligations to repay its bank debt
outstanding under its revolving credit facility ("IP-IV Revolving Credit
Facility") and term loan agreement ("IP-IV Term
 
                                      F-279