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35% were served by systems capable of providing two-way interactive
communication capability. Such two-way interactive communication capability
includes two-way Internet connections, services provided by Wink Communications,
Inc., which are interactive services that provide additional information and
statistics about programs or the option to order an advertised product while
customers are viewing such programs or advertisement, and interactive program
guides. These amounts do not reflect the impact of our pending acquisitions or
acquisitions closed since June 30, 1999.
     CORPORATE MANAGEMENT.  We are managed from the corporate offices of Charter
Investment in St. Louis, Missouri. The senior management of Charter Investment
at these offices consist of approximately 200 people led by Jerald L. Kent. They
are responsible for coordinating and overseeing our operations, including
certain critical functions such as marketing and engineering, that are conducted
by personnel at the regional and local system level. The corporate office also
performs certain financial control functions such as accounting, finance and
acquisitions, payroll and benefit administration, internal audit, purchasing and
programming contract administration on a centralized basis.
     OPERATING REGIONS.  To manage and operate our systems, we have established
two divisions that contain a total of seven operating regions: Western; Central;
MetroPlex (Dallas/Fort Worth); North Central; Northeast; Southeast; and
Southern. Each of the two divisions is managed by a Senior Vice President who
reports directly to Mr. Kent and is responsible for overall supervision of the
operating regions within. Each region is managed by a team consisting of a
Senior Vice President or a Vice President, supported by operational, marketing
and engineering personnel. Within each region, certain groups of cable systems
are further organized into clusters. We believe that much of our success is
attributable to our operating philosophy which emphasizes decentralized
management, with decisions being made as close to the customer as possible.