| Schedule of allocation of excess basis within memo accounts used for equity accounting purposes |
The excess basis in our investment in Charter of $3,767 million as of September 30, 2019 is allocated within memo accounts used for equity accounting purposes as follows (amounts in millions):
|
|
|
|
|
|
|
|
|
September 30, |
|
December 31, |
|
|
|
2019 |
|
2018 |
Property and equipment |
|
$ |
251 |
|
328 |
Customer relationships |
|
|
906 |
|
721 |
Franchise fees |
|
|
1,927 |
|
1,821 |
Trademarks |
|
|
29 |
|
29 |
Goodwill |
|
|
1,460 |
|
1,202 |
Debt |
|
|
(41) |
|
(105) |
Deferred income tax liability |
|
|
(765) |
|
(698) |
|
|
$ |
3,767 |
|
3,298 |
|
| Summary of financial information for Charter |
Summarized unaudited financial information for Charter is as follows (amounts in millions):
Charter condensed consolidated balance sheets
|
|
|
|
|
|
|
|
|
September 30, 2019 |
|
December 31, 2018 |
|
Current assets |
|
$ |
3,477 |
|
2,944 |
|
Property and equipment, net |
|
|
34,218 |
|
35,126 |
|
Goodwill |
|
|
29,554 |
|
29,554 |
|
Intangible assets, net |
|
|
75,278 |
|
76,884 |
|
Other assets |
|
|
2,740 |
|
1,622 |
|
Total assets |
|
$ |
145,267 |
|
146,130 |
|
Current liabilities |
|
|
11,982 |
|
12,095 |
|
Deferred income taxes |
|
|
17,609 |
|
17,389 |
|
Long-term debt |
|
|
71,390 |
|
69,537 |
|
Other liabilities |
|
|
3,764 |
|
2,837 |
|
Equity |
|
|
40,522 |
|
44,272 |
|
Total liabilities and shareholders’ equity |
|
$ |
145,267 |
|
146,130 |
|
Charter condensed consolidated statements of operations
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Nine months ended |
|
September 30, |
|
September 30, |
|
2019 |
|
2018 |
|
2019 |
|
2018 |
Revenue |
$ |
11,450 |
|
10,892 |
|
34,003 |
|
32,403 |
Cost and expenses: |
|
|
|
|
|
|
|
|
Operating costs and expenses (excluding depreciation and amortization) |
|
7,435 |
|
7,012 |
|
21,915 |
|
20,721 |
Depreciation and amortization |
|
2,415 |
|
2,482 |
|
7,465 |
|
7,784 |
Other operating (income) expenses, net |
|
14 |
|
18 |
|
71 |
|
116 |
|
|
9,864 |
|
9,512 |
|
29,451 |
|
28,621 |
Operating income |
|
1,586 |
|
1,380 |
|
4,552 |
|
3,782 |
Interest expense, net |
|
(963) |
|
(901) |
|
(2,833) |
|
(2,630) |
Other income (expense), net |
|
(30) |
|
214 |
|
(220) |
|
172 |
Income tax benefit (expense) |
|
(126) |
|
(109) |
|
(329) |
|
(178) |
Net income (loss) |
|
467 |
|
584 |
|
1,170 |
|
1,146 |
Less: Net income attributable to noncontrolling interests |
|
(80) |
|
(91) |
|
(216) |
|
(212) |
Net income (loss) attributable to Charter shareholders |
$ |
387 |
|
493 |
|
954 |
|
934 |
|