Print Page  Close Window

SEC Filings

10-Q
CHARTER COMMUNICATIONS, INC. /MO/ filed this Form 10-Q on 12/22/1999
Entire Document
 
<PAGE>   47

         from operating, investing or financing activities, as determined in
         accordance with generally accepted accounting principles. EBITDA should
         also not be construed as an indication of a company's operating
         performance or as a measure of liquidity. Management's discretionary
         use of funds depicted by EBITDA may be limited by working capital, debt
         service and capital expenditure requirements and by restrictions
         related to legal requirements, commitments and uncertainties.

(b)      EBITDA margin represents EBITDA as a percentage of revenues

(c)      Adjusted EBITDA means EBITDA before stock option compensation expense,
         corporate expenses, management fees and other income (expense).
         Adjusted EBITDA is presented because it is a widely accepted financial
         indicator of a cable company's ability to service its indebtedness.
         However, adjusted EBITDA should not be considered as an alternative to
         income from operations or to cash flows from operating, investing or
         financing activities, as determined in accordance with generally
         accepted accounting principles. Adjusted EBITDA should also not be
         construed as an indication of a company's operating performance or as a
         measure of liquidity. In addition, because adjusted EBITDA is not
         calculated identically by all companies, the presentation here may not
         be comparable to other similarly titled measures of other companies.
         Management's discretionary use of funds depicted by adjusted EBITDA may
         be limited by working capital, debt service and capital expenditure
         requirements and by restrictions related to legal requirements,
         commitments and uncertainties.

                 Pro forma revenues and adjusted EBITDA for the first three 
                 quarters of 1999 is as follows (in thousands):

<TABLE>
<CAPTION>

                                                                    Adjusted
                      Three Months Ended           Revenues          EBITDA
                      ------------------         ------------     -------------
<S>                   <C>                       <C>              <C>
                      March 31, 1999                $ 711,190       $ 345, 973
                      June 30, 1999                   720,858          348,061
                      September 30, 1999              729,154          360,427
                                                 -------------    -------------
                          Total                    $2,161,202       $1,054,461
                                                 =============    =============
</TABLE>



(d)      Homes passed are the number of living units, such as single residence
         homes, apartments and condominium units, passed by the cable television
         distribution network in a given cable system service area.

(e)      Basic customers are customers who receive basic cable service.

(f)      Basic penetration represents basic customers as a percentage of homes
         passed.

(g)      Premium units represent the total number of subscriptions to premium 
         channels.

(h)      Premium penetration represents premium units as a percentage of basic 
         customers.

(i)      Average monthly revenue per basic customer represents revenues divided
         by the number of months in the period divided by the number of basic
         customers at period end.




                                       47