Liberty Broadband Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Assets and Liabilities Measured at Fair Value (Tables)

Assets and Liabilities Measured at Fair Value (Tables)

6 Months Ended

Jun. 30, 2016

Assets and Liabilities Measured at Fair Value

Schedule of assets and liabilities measured at fair value


	June 30, 2016				December 31, 2015
			Quoted prices	Significant		Quoted prices	Significant
			in active	other		in active	other
			markets for	observable		markets for	observable
			identical assets	inputs		identical assets	inputs
Description	Total		(Level 1)	(Level 2)	Total	(Level 1)	(Level 2)
	(amounts in thousands)
Cash equivalents	$	245,592	245,592	—	639,956	639,956	—
Short-term marketable securities	$	—	—	—	9,014	9,014	—
Available-for-sale securities	$	—	—	—	439,560	439,560	—

Schedule of realized and unrealized gains (losses) on financial instruments

	Three months ended			Six months ended
	June 30,			June 30,
	2016		2015	2016		2015
	(amounts in thousands)
Time Warner Cable investment and financial instruments (1)(2)(3)	$	47,985	12,354		92,990	11,025
	$	47,985	12,354		92,990	11,025

(1)

During the period ended June 30, 2015 the Company had an outstanding written call option on 625,000 Time Warner Cable shares which was cash settled during June 2015 for $48.3 million. Also during the period ended June 30, 2015 the Company had an additional outstanding written call option on 625,000 Time Warner Cable shares which was cash settled during April 2015 for $36.7 million. No written call options on Time Warner Cable shares were outstanding as of June 30, 2016 or December 31, 2015. The unrealized gain during the three and six months ended June 30, 2016 is due to an increase in the Time Warner Cable stock price during the period.

(2)

On March 27, 2015, Liberty Broadband entered into a cashless collar agreement with a financial institution on 1.7 million Time Warner Cable shares held by the Company. The collar was originally scheduled to expire during March 2017. The Company unwound the agreement during July 2015 for $67.1 million cash paid to the counterparty. In connection with this collar agreement, the Company also entered into a revolving loan agreement with an availability of $234 million, which was terminated upon unwinding of the collar agreement during July 2015 (note 7).

As discussed in note 5, Time Warner Cable merged with Charter on May 18, 2016. Therefore the Company no longer has an investment in Time Warner Cable as of May 18, 2016, and the unrealized gain (loss) related to our investment in Time Warner Cable is recorded through this date. In connection with the merger, the Company exchanged, in a tax-free transaction, its shares of Time Warner Cable for shares of New Charter (as defined in note 5) Class A common stock.