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SEC Filings

S-4/A
AVALON CABLE OF MICHIGAN INC/ filed this Form S-4/A on 07/22/1999
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            Summary Unaudited Pro Forma Financial and Operating Data
   
   The following table shows for the periods indicated certain financial and
operating data for Avalon Cable LLC, its predecessors and entities that we have
acquired. The following summary unaudited pro forma financial and operating
data are based on the historical financial statements of Avalon Cable LLC,
Cable Michigan, Inc., AMRAC Clear View, the predecessor to Avalon Cable LLC,
Pegasus Cable Television, Inc., Pegasus Cable Television of Connecticut, Inc.,
and Taconic Technology Corporation and the assumptions and adjustments
described in the notes thereto included elsewhere in this prospectus. The data
for Avalon Cable LLC and Cable Michigan include 100% of Mercom for all periods
presented. The summary unaudited pro forma financial and operating data gives
effect to our completed acquisitions and our pending acquisitions, the issuance
of the old notes, the issuance of the senior subordinated notes by the issuers'
operating subsidiaries, the incurrence of debt under our secured credit
facility and the reorganization transactions described herein, as if they had
occurred on January 1, 1999 for pro forma information for the period ended
March 31, 1999 and January 1, 1998 for the pro forma information for the period
ended December 31, 1998. In the following table and the related notes, we refer
to:     
 
  . Avalon Cable of New England LLC as Avalon New England,
  . AMRAC Clear View as Amrac,
  . Pegasus Cable Television, Inc. and Pegasus Cable Television of
    Connecticut, Inc., collectively as Pegasus,
     
  . the assets and related liabilities that we acquired from Taconic
    Technology Corporation as Taconic,     
  . Avalon Cable of Michigan LLC as Avalon Michigan LLC.
 
   The summary unaudited pro forma financial and operating data do not purport
to represent what the issuers' results of operations actually would have been
if the completed and pending acquisitions had occurred as of the date indicated
or what such results will be for future periods. Among other things, this data
do not give effect to certain non-recurring charges or cost savings expected to
result from the completed and pending acquisitions. This summary and
accompanying notes are provided for informational purposes only and do not
necessarily indicate what our operating results would have been had the
completed and pending acquisitions been consummated on January 1, 1999 or 1998,
nor do they necessarily indicate the issuers' future results of operations or
financial position. The operating results for the three months ended March 31,
1999 are not necessarily indicative of results to be expected for the year
ending December 31, 1999.
 
   Management believes that the summary unaudited pro forma financial and
operating data is a meaningful presentation because the issuers had no
operations as of December 31, 1997 and only had significant operations for a
short period of time as of December 31, 1998, and their ability to satisfy debt
and other obligations is dependent upon cash flow from the completed and
pending acquisitions. The following information is qualified by reference to
and should be read in conjunction with the "Capitalization," "Selected
Historical Financial and Other Data," and "Management's Discussion and Analysis
of Financial Condition and Results of Operations" sections of this prospectus
and the financial statements and notes thereto included elsewhere in this
prospectus.
 
   The summary unaudited pro forma financial and operating data should be read
in conjunction with the financial statements of Avalon Cable LLC, Cable
Michigan, Amrac, Pegasus, and Taconic and the accompanying notes thereto
included elsewhere in this prospectus.
 
   Prior to July 21, 1998, Pegasus was operated as part of Pegasus
Communications Corporation. This table below sets forth selected historical
combined data for Pegasus for periods during which they did not operate as a
separate independent company and, accordingly, certain allocations were made in
preparing such financial data. Therefore, such data may not reflect the results
of operations or the financial condition which would have resulted if Pegasus
had operated as a separate independent company during such periods, and are not
necessarily indicative of the future results of operations or financial
position of Pegasus.
 
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