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SEC Filings

10-Q
RENAISSANCE MEDIA GROUP LLC filed this Form 10-Q on 08/16/1999
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         Expenses. Expenses increased $17.1 million or 140.8% from $12.1 million
for the six months ended June 30, 1998 to $29.2 for the six months ended June
30, 1999. For the six months ended June 30, 1999, the Company incurred $2.7
million for programming services under the Time Warner Agreement. The increase
in expenses for the six months ended June 30, 1999 resulted primarily from the
Charter Transaction and TWI Acquisition.

         Operating Income (Loss). Operating income increased $0.8 million or
103.5% to $1.6 million for the six months ended June 30, 1999 from $0.8 million
for the six months ended June 30, 1998. The increase in operating income
resulted from the increase in revenue of $17.9 million for the six month period
ended June 30, 1999, over the six month period ended June 30, 1998.

         Interest Expense and other expenses. Interest expense and other
expenses, increased $3.5 million or 78.9% to $7.9 million for the six months
ended June 30, 1999 from $4.4 million for the six months ended June 30, 1998.
This increase was due primarily to the fact that the TWI acquisition partially
offset by the extinguishment of debt on May 1, 1999.

         Net Loss. For the reasons discussed above, net loss increased $2.6
million, or 73.3%, to $6.2 million for the six months ended June 30, 1999 from
$3.6 million for the six months ended June 30, 1998.

YEAR 2000 ISSUES

         The Company relies on computer systems, related software applications
and other control devices in operating and monitoring all major aspects of its
business, including, but not limited to, its financial systems (such as general
ledger, accounts payable, payroll and fixed asset modules), subscriber billing
systems, internal networks and telecommunications equipment. The Company also
relies, directly and indirectly, on the external systems of various independent
business enterprises, such as its suppliers and financial organizations, for the
accurate exchange of data.

         The Company continues to assess the likely impact of Year 2000 issues
on its business operations, including its material information technology ("IT")
and non-IT applications. These material applications include all billing and
subscriber information systems, general ledger software, payroll systems,
accounting software, phone switches and certain headend applications, all of
which are third party supported.

         The Company believes it has identified all systems that may be affected
by Year 2000 Issues. Concurrent with the identification phase, the Company is
securing compliance determinations relative to all identified systems. For those
systems that the Company believes are material, compliance programs have been
received or such systems have been certified by independent parties as Year 2000
compliant. For those material systems that are subject to compliance programs,
the Company expects to receive Year 2000 certifications from independent parties
by the second quarter of 1999. Determinations of Year 2000 compliance
requirements for less mission critical systems are in progress and are expected
to be completed in the third quarter of 1999.

         With respect to third parties with which the Company has a material
relationship, the Company believes its most significant relationships are with
financial institutions, who receive subscriber monthly payments and maintain
Company bank accounts, and subscriber billing and management systems providers.
We have received compliance programs, which, if executed as planned, should
provide a high degree of assurance that all Year 2000 third party issues
described herein will be addressed by late 1999.

         The Company has not incurred any material Year 2000 costs to date, and
excluding the need for contingency plans, does not expect to incur any material
Year 2000 costs in the future because most of its applications are maintained by
third parties who have borne Year 2000 compliance costs.

         The Company cannot be certain that it or third parties supporting its
systems have resolved or will resolve all Year 2000 issues in a timely manner.
Failure by the Company or any such third party to successfully address the
relevant Year 2000 issues could result in disruptions of the Company's business
and the incurrence of significant expenses by the Company. Additionally, the
Company could be affected by any disruption to third parties with which the
Company does business if such third parties have not successfully addressed
their Year 2000 issues.




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