Document And Entity Information
Document And Entity Information | 3 Months Ended |
Mar. 31, 2021shares | |
Entity Information [Line Items] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Mar. 31, 2021 |
Document Transition Report | false |
Entity File Number | 001-37789 |
Entity Registrant Name | CCO Holdings, LLC |
Entity Central Index Key | 0001271833 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2021 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | false |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 86-1067239 |
Entity Address, Address Line One | 400 Atlantic Street |
Entity Address, City or Town | Stamford |
Entity Address, State or Province | CT |
Entity Address, Postal Zip Code | 06901 |
City Area Code | 203 |
Local Phone Number | 905-7801 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 1 |
CCO Holdings Capital Corp. | |
Entity Information [Line Items] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Mar. 31, 2021 |
Document Transition Report | false |
Entity File Number | 333-112593-01 |
Entity Registrant Name | CCO Holdings Capital Corp. |
Entity Central Index Key | 0001271834 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2021 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | false |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 20-0257904 |
Entity Address, Address Line One | 400 Atlantic Street |
Entity Address, City or Town | Stamford |
Entity Address, State or Province | CT |
Entity Address, Postal Zip Code | 06901 |
City Area Code | 203 |
Local Phone Number | 905-7801 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 1 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 519 | $ 710 |
Accounts receivable, less allowance for doubtful accounts of $173 and $217, respectively | 2,352 | 2,503 |
Prepaid expenses and other current assets | 435 | 325 |
Total current assets | 3,306 | 3,538 |
INVESTMENT IN CABLE PROPERTIES: | ||
Property, plant and equipment, net of accumulated depreciation of $32,499 and $31,558, respectively | 33,265 | 33,490 |
Customer relationships, net | 5,185 | 5,615 |
Franchises | 67,322 | 67,322 |
Goodwill | 29,554 | 29,554 |
Total investment in cable properties, net | 135,326 | 135,981 |
OTHER NONCURRENT ASSETS | 3,123 | 3,102 |
Total assets | 141,755 | 142,621 |
CURRENT LIABILITIES: | ||
Accounts payable and accrued liabilities | 8,238 | 8,243 |
Payables to related party | 69 | 96 |
Current portion of long-term debt | 1,005 | 1,008 |
Total current liabilities | 9,312 | 9,347 |
LONG-TERM DEBT | 83,882 | 81,744 |
LOANS PAYABLE - RELATED PARTY | 1,074 | 1,001 |
DEFERRED INCOME TAXES | 53 | 53 |
OTHER LONG-TERM LIABILITIES | 3,238 | 3,268 |
MEMBER’S EQUITY: | ||
CCO Holdings member’s equity | 44,174 | 47,185 |
Noncontrolling interests | 22 | 23 |
Total member’s equity | 44,196 | 47,208 |
Total liabilities and member’s equity | $ 141,755 | $ 142,621 |
CONSOLIDATED BALANCE SHEET (PAR
CONSOLIDATED BALANCE SHEET (PARENTHETICALS) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
CURRENT ASSETS: | ||
Allowance for doubtful accounts | $ 173 | $ 217 |
INVESTMENT IN CABLE PROPERTIES: | ||
Property, plant and equipment, accumulated depreciation | $ 32,499 | $ 31,558 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Income Statement [Abstract] | ||
REVENUES | $ 12,519 | $ 11,736 |
COSTS AND EXPENSES: | ||
Operating costs and expenses (exclusive of items shown separately below) | 7,731 | 7,452 |
Depreciation and amortization | 2,436 | 2,493 |
Other operating expenses, net | 304 | 10 |
Total costs and expenses | 10,471 | 9,955 |
Income from operations | 2,048 | 1,781 |
OTHER INCOME (EXPENSES): | ||
Interest expense, net | (981) | (992) |
Other income (expenses), net | 42 | (324) |
Total other income (expenses), net | (939) | (1,316) |
Income before income taxes | 1,109 | 465 |
Income tax expense | (10) | (6) |
Consolidated net income | $ 1,099 | $ 459 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN MEMBER'S EQUITY - USD ($) $ in Millions | Total | CCO Holdings Member’s Equity | Noncontrolling Interests |
Balance at Dec. 31, 2019 | $ 55,289 | $ 55,266 | $ 23 |
Rollforward of Consolidated Member's Equity: | |||
Consolidated net income | 459 | 459 | 0 |
Stock compensation expense | 90 | 90 | 0 |
Contributions from parent | 27 | 27 | 0 |
Distributions to Parent | (2,685) | (2,685) | 0 |
Distributions to noncontrolling interest | (1) | 0 | (1) |
Balance at Mar. 31, 2020 | 53,179 | 53,157 | 22 |
Balance at Dec. 31, 2020 | 47,208 | 47,185 | 23 |
Rollforward of Consolidated Member's Equity: | |||
Consolidated net income | 1,099 | 1,099 | 0 |
Stock compensation expense | 134 | 134 | 0 |
Distributions to Parent | (4,244) | (4,244) | 0 |
Distributions to noncontrolling interest | (1) | 0 | (1) |
Balance at Mar. 31, 2021 | $ 44,196 | $ 44,174 | $ 22 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Consolidated net income | $ 1,099 | $ 459 |
Adjustments to reconcile consolidated net income to net cash flows from operating activities: | ||
Depreciation and amortization | 2,436 | 2,493 |
Stock compensation expense | 134 | 90 |
Noncash interest income, net | (9) | (12) |
Other, net | 5 | 313 |
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions: | ||
Accounts receivable | 151 | 102 |
Prepaid expenses and other assets | (167) | (57) |
Accounts payable, accrued liabilities and other | 87 | (131) |
Receivables from and payables to related party | (4) | (67) |
Net cash flows from operating activities | 3,732 | 3,190 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of property, plant and equipment | (1,821) | (1,461) |
Change in accrued expenses related to capital expenditures | (75) | (388) |
Other, net | 53 | 39 |
Net cash flows from investing activities | (1,843) | (1,810) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Borrowings of long-term debt | 5,289 | 4,339 |
Repayments of long-term debt | (3,164) | (3,589) |
Payments for debt issuance costs | (22) | (41) |
Borrowings of loans payable - related parties | 48 | 5 |
Contributions from parent | 0 | 27 |
Distributions to parent | (4,244) | (2,685) |
Distributions to noncontrolling interest | (1) | (1) |
Other, net | 14 | (24) |
Net cash flows from financing activities | (2,080) | (1,969) |
NET DECREASE IN CASH AND CASH EQUIVALENTS | (191) | (589) |
CASH AND CASH EQUIVALENTS, beginning of period | 710 | 3,249 |
CASH AND CASH EQUIVALENTS, end of period | 519 | 2,660 |
CASH PAID FOR INTEREST | 1,012 | 1,050 |
CASH PAID FOR TAXES | $ 2 | $ 2 |
Organization and Basis of Prese
Organization and Basis of Presentation (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Organization and Basis of Presentation [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation Organization CCO Holdings, LLC (together with its subsidiaries, “CCO Holdings,” or the “Company”) is a leading broadband connectivity company and cable operator. Over an advanced high-capacity, two-way telecommunications network, the Company offers a full range of state-of-the-art residential and business services including Spectrum Internet, TV, Mobile and Voice. For small and medium-sized companies, Spectrum Business ® delivers the same suite of broadband products and services coupled with special features and applications to enhance productivity, while for larger businesses and government entities, Spectrum Enterprise provides highly customized, fiber-based solutions. Spectrum Reach ® delivers tailored advertising and production for the modern media landscape. The Company also distributes award-winning news coverage, sports and high-quality original programming to its customers through Spectrum Networks and Spectrum Originals. CCO Holdings is a holding company whose principal assets are the equity interests in its operating subsidiaries. CCO Holdings is a direct subsidiary of CCH I Holdings, LLC, which is an indirect subsidiary of Charter Communications, Inc. (“Charter”), Charter Communications Holdings, LLC (“Charter Holdings”) and Spectrum Management Holding Company, LLC (“Spectrum Management”). All of the outstanding capital stock of CCO Holdings Capital Corp. is owned by CCO Holdings. The consolidated financial statements include the accounts of CCO Holdings and all of its subsidiaries where the underlying operations reside. All significant intercompany accounts and transactions among consolidated entities have been eliminated. Charter, Charter Holdings and Spectrum Management have performed financing, cash management, treasury and other services for CCO Holdings on a centralized basis. Changes in member’s equity in the consolidated balance sheets related to these activities have been considered cash receipts (contributions) and payments (distributions) for purposes of the consolidated statements of cash flows and are reflected in financing activities. The Company’s operations are managed and reported to its Chief Executive Officer (“CEO”), the Company’s chief operating decision maker, on a consolidated basis. The CEO assesses performance and allocates resources based on the consolidated results of operations. Under this organizational and reporting structure, the Company has one reportable segment. Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures typically included in the Company's Annual Report on Form 10-K have been condensed or omitted for this quarterly report. The accompanying consolidated financial statements are unaudited and are subject to review by regulatory authorities. However, in the opinion of management, such financial statements include all adjustments, which consist of only normal recurring adjustments, necessary for a fair presentation of the results for the periods presented. Interim results are not necessarily indicative of results for a full year. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Areas involving significant judgments and estimates include capitalization of labor and overhead costs, impairments of franchises and goodwill, pension benefits and income taxes. Actual results could differ from those estimates. Certain prior period amounts have been reclassified to conform with the 2021 presentation. |
Franchises, Goodwill and Other
Franchises, Goodwill and Other Intangible Assets (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Franchises, Goodwill and Other Intangible Assets | Franchises, Goodwill and Other Intangible Assets Indefinite-lived and finite-lived intangible assets consist of the following as of March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Indefinite-lived intangible assets: Franchises $ 67,322 $ — $ 67,322 $ 67,322 $ — $ 67,322 Goodwill 29,554 — 29,554 29,554 — 29,554 Wireless spectrum licenses 464 — 464 464 — 464 $ 97,340 $ — $ 97,340 $ 97,340 $ — $ 97,340 Finite-lived intangible assets: Customer relationships $ 18,230 $ (13,045) $ 5,185 $ 18,230 $ (12,615) $ 5,615 Other intangible assets 420 (169) 251 420 (159) 261 $ 18,650 $ (13,214) $ 5,436 $ 18,650 $ (12,774) $ 5,876 Amortization expense related to customer relationships and other intangible assets for the three months ended March 31, 2021 and 2020 was $440 million and $508 million, respectively. The Company expects amortization expense on its finite-lived intangible assets will be as follows: Nine months ended December 31, 2021 $ 1,162 2022 1,332 2023 1,075 2024 824 2025 575 Thereafter 468 $ 5,436 |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Accounts Payable and Accrued Liabilities | Accounts Payable and Accrued Liabilities Accounts payable and accrued liabilities consist of the following as of March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 Accounts payable – trade $ 698 $ 737 Deferred revenue 491 436 Accrued liabilities: Programming costs 2,074 1,940 Labor 1,066 1,370 Capital expenditures 1,121 1,227 Interest 1,057 1,083 Taxes and regulatory fees 501 523 Operating lease liabilities 212 202 Other 1,018 725 $ 8,238 $ 8,243 |
Leases (Notes)
Leases (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Operating Leases | Leases Operating lease expenses were $102 million and $95 million for the three months ended March 31, 2021 and 2020, respectively, inclusive of $32 million for each of the three months ended March 31, 2021 and 2020 of both short-term lease costs and variable lease costs that were not included in the measurement of operating lease liabilities. Cash paid for amounts included in the measurement of operating lease liabilities, recorded as operating cash flows in the statements of cash flows, were $69 million and $61 million for the three months ended March 31, 2021 and 2020, respectively. Operating lease right-of-use assets obtained in exchange for operating lease obligations were $92 million and $62 million for the three months ended March 31, 2021 and 2020, respectively. Supplemental balance sheet information related to leases is as follows. March 31, 2021 December 31, 2020 Operating lease right-of-use assets: Included within other noncurrent assets $ 1,098 $ 1,065 Operating lease liabilities: Current portion included within accounts payable and accrued liabilities $ 212 $ 202 Long-term portion included within other long-term liabilities 966 941 $ 1,178 $ 1,143 Weighted average remaining lease term for operating leases 6.2 years 6.4 years Weighted average discount rate for operating leases 3.7 % 3.9 % Maturities of lease liabilities as of March 31, 2021 are as follows. Operating leases Nine months ended December 31, 2021 $ 204 2022 257 2023 238 2024 195 2025 155 Thereafter 329 Undiscounted lease cash flow commitments 1,378 Reconciling impact from discounting (200) Lease liabilities on consolidated balance sheet as of March 31, 2021 $ 1,178 The Company has $64 million and $63 million of finance lease liabilities recognized in the consolidated balance sheets as of March 31, 2021 and December 31, 2020, respectively, included within accounts payable and accrued liabilities and other long-term liabilities. The related finance lease right-of-use assets are recorded in property, plant and equipment, net. The Company’s finance leases were not considered material for further supplemental lease disclosures. |
Long-Term Debt (Notes)
Long-Term Debt (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Long-term debt consists of the following as of March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 Principal Amount Accreted Value Principal Amount Accreted Value CCO Holdings, LLC: 4.000% senior notes due March 1, 2023 $ 500 $ 498 $ 500 $ 498 5.750% senior notes due February 15, 2026 1,750 1,733 2,500 2,475 5.500% senior notes due May 1, 2026 1,500 1,493 1,500 1,492 5.875% senior notes due May 1, 2027 800 796 800 796 5.125% senior notes due May 1, 2027 3,250 3,226 3,250 3,225 5.000% senior notes due February 1, 2028 2,500 2,473 2,500 2,472 5.375% senior notes due June 1, 2029 1,500 1,501 1,500 1,501 4.750% senior notes due March 1, 2030 3,050 3,042 3,050 3,042 4.500% senior notes due August 15, 2030 2,750 2,750 2,750 2,750 4.250% senior notes due February 1, 2031 3,000 3,001 3,000 3,001 4.500% senior notes due May 1, 2032 2,900 2,928 2,900 2,928 Charter Communications Operating, LLC: 4.464% senior notes due July 23, 2022 3,000 2,993 3,000 2,992 Senior floating rate notes due February 1, 2024 900 902 900 902 4.500% senior notes due February 1, 2024 1,100 1,095 1,100 1,094 4.908% senior notes due July 23, 2025 4,500 4,477 4,500 4,475 3.750% senior notes due February 15, 2028 1,000 989 1,000 989 4.200% senior notes due March 15, 2028 1,250 1,242 1,250 1,241 5.050% senior notes due March 30, 2029 1,250 1,242 1,250 1,242 2.800% senior notes due April 1, 2031 1,600 1,583 1,600 1,583 2.300% senior notes due February 1, 2032 1,000 991 1,000 991 6.384% senior notes due October 23, 2035 2,000 1,983 2,000 1,983 5.375% senior notes due April 1, 2038 800 786 800 786 3.500% senior notes due June 1, 2041 1,500 1,482 — — 6.484% senior notes due October 23, 2045 3,500 3,468 3,500 3,468 5.375% senior notes due May 1, 2047 2,500 2,506 2,500 2,506 5.750% senior notes due April 1, 2048 2,450 2,392 2,450 2,392 5.125% senior notes due July 1, 2049 1,250 1,240 1,250 1,240 4.800% senior notes due March 1, 2050 2,800 2,797 2,800 2,797 3.700% senior notes due April 1, 2051 2,050 2,031 2,050 2,030 3.900% senior notes due June 1, 2052 1,000 992 — — 6.834% senior notes due October 23, 2055 500 495 500 495 3.850% senior notes due April 1, 2061 1,850 1,809 1,350 1,339 Credit facilities 10,081 10,015 10,150 10,081 Time Warner Cable, LLC: 4.000% senior notes due September 1, 2021 1,000 1,005 1,000 1,008 5.750% sterling senior notes due June 2, 2031 (a) 862 917 854 911 6.550% senior debentures due May 1, 2037 1,500 1,667 1,500 1,668 7.300% senior debentures due July 1, 2038 1,500 1,761 1,500 1,763 6.750% senior debentures due June 15, 2039 1,500 1,705 1,500 1,706 5.875% senior debentures due November 15, 2040 1,200 1,253 1,200 1,254 5.500% senior debentures due September 1, 2041 1,250 1,258 1,250 1,258 5.250% sterling senior notes due July 15, 2042 (b) 896 866 889 859 4.500% senior debentures due September 15, 2042 1,250 1,146 1,250 1,145 Time Warner Cable Enterprises LLC: 8.375% senior debentures due March 15, 2023 1,000 1,092 1,000 1,104 8.375% senior debentures due July 15, 2033 1,000 1,266 1,000 1,270 Total debt 84,339 84,887 82,143 82,752 Less current portion: 4.000% senior notes due September 1, 2021 (1,000) (1,005) (1,000) (1,008) Long-term debt $ 83,339 $ 83,882 $ 81,143 $ 81,744 (a) Principal amount includes £625 million remeasured at $862 million and $854 million as of March 31, 2021 and December 31, 2020, respectively, using the exchange rate at the respective dates. (b) Principal amount includes £650 million remeasured at $896 million and $889 million as of March 31, 2021 and December 31, 2020, respectively, using the exchange rate at the respective dates. The accreted values presented in the table above represent the principal amount of the debt adjusted for original issue discount or premium at the time of sale, deferred financing costs, and, in regards to debt assumed in acquisitions, fair value premium adjustments as a result of applying acquisition accounting plus the accretion of those amounts to the balance sheet date. However, the amount that is currently payable if the debt becomes immediately due is equal to the principal amount of the debt. In regards to the fixed-rate British pound sterling denominated notes (the “Sterling Notes”), the principal amount of the debt and any premium or discount is remeasured into US dollars as of each balance sheet date. See Note 7. The Company has availability under the Charter Communications Operating, LLC ("Charter Operating") credit facilities of approximately $4.7 billion as of March 31, 2021. In March 2021, Charter Operating and Charter Communications Operating Capital Corp. jointly issued $1.5 billion aggregate principal amount of 3.500% senior secured notes due June 2041 at a price of 99.544% of the aggregate principal amount, $1.0 billion aggregate principal amount of 3.900% senior secured notes due June 2052 at a price of 99.951% of the aggregate principal amount and an additional $500 million aggregate principal amount of 3.850% senior secured notes due April 2061 at a price of 94.668% of the aggregate principal amount. The net proceeds were used to pay related fees and expenses and for general corporate purposes, including distributions to the Company's parent companies to fund buybacks of Charter Class A common stock and Charter Holdings common units as well as repaying certain indebtedness, including $750 million of CCO Holdings, LLC ("CCO Holdings") 5.750% notes due February 2026. The Company recorded a loss on extinguishment of debt of $29 million during the three months ended March 31, 2021 related to these transactions which is recorded in in other income (expenses), net in the consolidated statements of operations. The Charter Operating notes are guaranteed by CCO Holdings and substantially all of the subsidiaries of Charter Operating. In addition, the Charter Operating notes are secured by a perfected first priority security interest in substantially all of the assets of Charter Operating and substantially all of its subsidiaries to the extent such liens can be perfected under the Uniform Commercial Code by the filing of a financing statement and the liens rank equally with the liens on the collateral securing obligations under the Charter Operating credit facilities. Charter Operating may redeem some or all of the Charter Operating notes at any time at a premium. The Charter Operating notes are subject to the terms and conditions of the indenture governing the Charter Operating notes. The Charter Operating notes contain customary representations and warranties and affirmative covenants with limited negative covenants. The Charter Operating indenture also contains customary events of default. In April 2021, CCO Holdings and CCO Holdings Capital Corp. jointly issued $1.0 billion of 4.500% senior unsecured notes due 2033 at par. The net proceeds will be used for general corporate purposes, including distributions to the Company's parent companies to fund potential buybacks of Charter Class A common stock and Charter Holdings common units, to repay certain indebtedness and to pay related fees and expenses. The CCO Holdings notes are senior debt obligations of CCO Holdings and CCO Holdings Capital Corp. and rank equally with all other current and future unsecured, unsubordinated obligations of CCO Holdings and CCO Holdings Capital Corp. They are structurally subordinated to all obligations of subsidiaries of CCO Holdings. CCO Holdings may redeem some or all of the notes at any time at a premium. Beginning in 2030, the optional redemption price declines to 100% of the principal amount, plus accrued and unpaid interest, if any. In addition, at any time prior to 2024, CCO Holdings may redeem up to 40% of the aggregate principal amount of the notes at a premium plus accrued and unpaid interest to the redemption date, with the net cash proceeds of one or more equity offerings (as defined in the indenture); provided that certain conditions are met. In the event of specified change of control events, CCO Holdings must offer to purchase the outstanding notes from the holders at a purchase price equal to 101% of the total principal amount of the notes, plus any accrued and unpaid interest. |
Loans Payable - Related Party (
Loans Payable - Related Party (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
Loans Payable - Related Party | Loans Payable - Related PartyLoans payable - related party as of March 31, 2021 and December 31, 2020 consists of loans from Charter Communications Holding Company, LLC (“Charter Holdco”) to Charter Operating of $743 million and $727 million, respectively, and loans from Charter to Charter Operating of $331 million and $274 million, respectively. Interest accrued at LIBOR plus 1.25% on the loans payable from Charter Holdco and LIBOR plus 2.00% on the loans payable from Charter during the periods ending March 31, 2021 and December 31, 2020. |
Accounting for Derivative Instr
Accounting for Derivative Instruments and Hedging Activities (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting for Derivative Instruments and Hedging Activities [Abstract] | |
Accounting for Derivative Instruments and Hedging Activities | Accounting for Derivative Instruments and Hedging Activities The Company uses derivative instruments to manage foreign exchange risk on the Sterling Notes, and does not hold or issue derivative instruments for speculative trading purposes. Cross-currency derivative instruments are used to effectively convert £1.275 billion aggregate principal amount of fixed-rate British pound sterling denominated debt, including annual interest payments and the payment of principal at maturity, to fixed-rate U.S. dollar denominated debt. The cross-currency swaps have maturities of June 2031 and July 2042. The Company is required to post collateral on the cross-currency derivative instruments when the derivative contracts are in a liability position. In April 2019, the Company entered into a collateral holiday agreement for 60% of both the 2031 and 2042 cross-currency swaps, which eliminates the requirement to post collateral for three years, as well as a ten year collateral cap on the remaining 40% of the cross-currency swaps which limits the required collateral posting on that 40% of the cross-currency swaps to $150 million. In March 2021, the collateral holiday for 20% of the swaps was extended to November 2022 in consideration for the Company's agreement to post collateral over a threshold amount on that 20% portion of the swaps from March 2021 through October 2021. The fair value of the Company's cross-currency derivatives was $121 million and $184 million and is included in other long-term liabilities on its consolidated balance sheets as of March 31, 2021 and December 31, 2020, respectively. The Company’s derivative instruments are not designated as hedges and are marked to fair value each period, with the impact recorded as a gain or loss on financial instruments in the consolidated statements of operations in other expenses, net. While these derivative instruments are not designated as hedges for accounting purposes, management continues to believe such instruments are closely correlated with the respective debt, thus managing associated risk. The effect of financial instruments are recorded in other income (expenses), net in the consolidated statements of operations and consisted of the following. Three Months Ended March 31, 2021 2020 Change in fair value of cross-currency derivative instruments $ 63 $ (426) Foreign currency remeasurement of Sterling Notes to U.S. dollars (15) 108 Gain (loss) on financial instruments, net $ 48 $ (318) |
Fair Value Measurements (Notes)
Fair Value Measurements (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | Fair Value Measurements Accounting guidance establishes a three-level hierarchy for disclosure of fair value measurements, based on the transparency of inputs to the valuation of an asset or liability as of the measurement date, as follows: • Level 1 – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. • Level 2 – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. • Level 3 – inputs to the valuation methodology are unobservable and significant to the fair value measurement. Financial Assets and Liabilities The Company has estimated the fair value of its financial instruments as of March 31, 2021 and December 31, 2020 using available market information or other appropriate valuation methodologies. Considerable judgment, however, is required in interpreting market data to develop the estimates of fair value. Accordingly, the estimates presented in the accompanying consolidated financial statements are not necessarily indicative of the amounts the Company would realize in a current market exchange. The carrying amounts of cash and cash equivalents, receivables, payables and other current assets and liabilities approximate fair value because of the short maturity of those instruments. As of March 31, 2021 and December 31, 2020, accounts receivable, net on the consolidated balance sheets includes approximately $344 million and $338 million of current equipment installment plan receivables, respectively, and other noncurrent assets includes approximately $168 million and $134 million of noncurrent equipment installment plan receivables, respectively. Financial instruments accounted for at fair value on a recurring basis and classified within Level 2 of the valuation hierarchy include the Company's cross-currency derivative instruments and were valued at $121 million and $184 million as of March 31, 2021 and December 31, 2020, respectively. The estimated fair value of the Company’s senior notes and debentures as of March 31, 2021 and December 31, 2020 is based on quoted market prices in active markets and is classified within Level 1 of the valuation hierarchy, while the estimated fair value of the Company’s credit facilities is based on quoted market prices in inactive markets and is classified within Level 2. A summary of the carrying value and fair value of debt as of March 31, 2021 and December 31, 2020 is as follows: March 31, 2021 December 31, 2020 Carrying Value Fair Value Carrying Value Fair Value Senior notes and debentures $ 74,872 $ 82,191 $ 72,671 $ 84,163 Credit facilities $ 10,015 $ 10,032 $ 10,081 $ 10,063 Nonfinancial Assets and Liabilities |
Revenue (Notes)
Revenue (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Revenue [Abstract] | |
Revenue | Revenues The Company’s revenues by product line are as follows: Three Months Ended March 31, 2021 2020 Internet $ 5,086 $ 4,407 Video 4,344 4,422 Voice 399 457 Residential revenue 9,829 9,286 Small and medium business 1,012 996 Enterprise 638 622 Commercial revenue 1,650 1,618 Advertising sales 344 365 Mobile 492 258 Other 204 209 $ 12,519 $ 11,736 |
Operating Costs and Expenses (N
Operating Costs and Expenses (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Operating Costs and Expenses [Abstract] | |
Operating Costs and Expenses | Operating Costs and Expenses Operating costs and expenses, exclusive of items shown separately in the consolidated statements of operations, consist of the following for the periods presented: Three Months Ended March 31, 2021 2020 Programming $ 2,988 $ 2,892 Regulatory, connectivity and produced content 600 551 Costs to service customers 1,804 1,848 Marketing 751 766 Mobile 572 374 Other 1,016 1,021 $ 7,731 $ 7,452 Programming costs consist primarily of costs paid to programmers for basic, premium, digital, video on demand and pay-per-view programming. Regulatory, connectivity and produced content costs represent payments to franchise and regulatory authorities, costs directly related to providing video, Internet and voice services as well as payments for sports, local and news content produced by the Company. Included in regulatory, connectivity and produced content costs is content acquisition costs for the Los Angeles Lakers’ basketball games and Los Angeles Dodgers’ baseball games, which are recorded as games are exhibited over the contract period. Costs to service customers include costs related to field operations, network operations and customer care for the Company’s residential and SMB customers, including internal and third-party labor for the non-capitalizable portion of installations, service and repairs, maintenance, bad debt expense, billing and collection, occupancy and vehicle costs. Marketing costs represent the costs of marketing to current and potential commercial and residential customers including labor costs. Mobile costs represent costs associated with the Company's mobile service such as device and service costs, marketing, sales and commissions, retail stores, personnel costs, taxes, among others. Other includes corporate overhead, advertising sales expenses, indirect costs associated with the Company’s enterprise business customers and regional sports and news networks, property tax and insurance expense and stock compensation expense, among others. |
Other Operating Expenses, Net (
Other Operating Expenses, Net (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Other Operating Expenses, Net | Other Operating Expenses, Net Other operating expenses, net consist of the following for the periods presented: Three Months Ended March 31, 2021 2020 Special charges, net $ 257 $ 19 (Gain) loss on disposal of assets, net 47 (9) $ 304 $ 10 Special charges, net Special charges, net primarily includes net amounts of litigation settlements, including the $220 million tentative settlement with Sprint Communications Company L.P. (“Sprint”) and T-Mobile USA, Inc. ("T-Mobile") discussed in Note 17, and employee termination costs. (Gain) loss on disposal of assets, net |
Other Income (Expenses), Net (N
Other Income (Expenses), Net (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Other Expenses, Net | Other Income (Expenses), Net Other income (expenses), net consist of the following for the periods presented: Three Months Ended March 31, 2021 2020 Loss on extinguishment of debt (see Note 5) $ (29) $ (27) Gain (loss) on financial instruments, net (see Note 7) 48 (318) Other pension benefits, net (see Note 18) 18 10 Gain on equity investments, net 5 11 $ 42 $ (324) |
Stock Compensation Plans (Notes
Stock Compensation Plans (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Stock Compensation Plans [Abstract] | |
Stock Compensation Plans | Stock Compensation Plans Charter’s stock incentive plans provide for grants of nonqualified stock options, incentive stock options, stock appreciation rights, dividend equivalent rights, performance units and performance shares, share awards, phantom stock, restricted stock units and restricted stock. Directors, officers and other employees of the Company and its subsidiaries, as well as others performing consulting services for the Company, are eligible for grants under the stock incentive plans. Charter granted the following equity awards for the periods presented. Three Months Ended March 31, 2021 2020 Stock options 1,225,000 1,253,700 Restricted stock units 345,100 408,300 Charter stock options and restricted stock units generally cliff vest three years from the date of grant. Certain stock options and restricted stock units vest based on achievement of stock price hurdles. Stock options generally expire ten years from the grant date and restricted stock units have no voting rights. Restricted stock generally vests one year from the date of grant. |
Income Taxes (Notes)
Income Taxes (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes CCO Holdings is a single member limited liability company not subject to income tax. CCO Holdings holds all operations through indirect subsidiaries. The majority of these indirect subsidiaries are limited liability companies that are not subject to income tax. Charter has elected the accounting policy not to allocate income taxes to its subsidiaries that are not subject to income tax. Certain indirect subsidiaries that are required to file separate returns are subject to federal and state tax. CCO Holdings’ tax provision reflects the tax provision of the entities required to file separate returns. Generally, the taxable income, gains, losses, deductions and credits of CCO Holdings are passed through to its indirect members, Charter and Advance/Newhouse Partnership (“A/N”). Charter is responsible for its share of taxable income or loss of CCO Holdings allocated to it in accordance with the Charter Holdings Limited Liability Company Agreement and partnership tax rules and regulations. Charter also records financial statement deferred tax assets and liabilities related to its investment, and its underlying net assets, in CCO Holdings. The Company recorded income tax expense of $10 million and $6 million for the three months ended March 31, 2021 and 2020, respectively. On March 18, 2020, the Families First Coronavirus Response Act ("FFCR Act"), and on March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act") were each enacted in response to the COVID-19 pandemic. The FFCR Act and the CARES Act contain numerous tax provisions, such as deferring payroll tax payments, establishing a credit for the retention of certain employees, relaxing limitations on the deductibility of interest, and updating the definition of qualified improvement property. This legislation currently has no material impact to income tax expense on the Company’s financial statements. In determining the Company’s tax provision for financial reporting purposes, the Company establishes a reserve for uncertain tax positions unless such positions are determined to be “more likely than not” of being sustained upon examination, based on their technical merits. There is considerable judgment involved in making such a determination. The Company has recorded unrecognized tax benefits totaling approximately $102 million, excluding interest and penalties, as of March 31, 2021 and December 31, 2020. The Company does not currently anticipate that its reserve for uncertain tax positions will significantly increase or decrease during 2021; however, various events could cause the Company’s current expectations to change in the future. These uncertain tax positions, if ever recognized in the financial statements, would be recorded in the consolidated statements of operations as part of the income tax provision. No tax years for Charter are currently under examination by the Internal Revenue Service ("IRS") for income tax purposes. Charter's 2016 through 2020 tax years remain open for examination and assessment. Charter’s short period return dated May 17, 2016 (prior to the merger with Time Warner Cable Inc. ("TWC") and acquisition of Bright House Networks, LLC ("Bright House")) and prior years remain open solely for purposes of examination of Charter’s loss and credit carryforwards. The IRS is currently examining Charter Holdings’ income tax return for 2016. Charter Holdings’ 2017 through 2020 tax years remain open for examination and assessment. The IRS is currently examining TWC’s income tax returns for 2011 through 2014. TWC’s tax year 2015 remains subject to examination and assessment. Prior to TWC’s separation from Time Warner Inc. (“Time Warner”) in March 2009, TWC was included in the consolidated U.S. federal and certain state income tax returns of Time Warner. The IRS has examined Time Warner’s 2008 through 2010 income tax returns and the results are under appeal. The Company does not anticipate that these examinations will have a material impact on the Company’s consolidated financial position or results of operations. In addition, the Company is also subject to ongoing examinations of the Company’s tax returns by state and local tax authorities for various periods. Activity related to these state and local examinations did not have a material impact on the Company’s consolidated financial position or results of operations during the three months ended March 31, 2021, nor does the Company anticipate a material impact in the future. |
Comprehensive Income (Notes)
Comprehensive Income (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |
Comprehensive Income | Comprehensive IncomeComprehensive income equaled consolidated net income for each of the three months ended March 31, 2021 and 2020. |
Related Party Transactions (Not
Related Party Transactions (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions The following sets forth certain transactions in which the Company and the directors, executive officers, and affiliates of the Company are involved. Liberty Broadband and A/N Under the terms of the Stockholders Agreement, the number of Charter’s directors is fixed at 13, and includes its CEO. Two designees selected by A/N are members of the board of directors of Charter and three designees selected by Liberty Broadband Corporation (“Liberty Broadband”) are members of the board of directors of Charter. The remaining eight directors are not affiliated with either A/N or Liberty Broadband. Each of A/N and Liberty Broadband is entitled to nominate at least one director to each of the committees of Charter’s board of directors, subject to applicable stock exchange listing rules and certain specified voting or equity ownership thresholds for each of A/N and Liberty Broadband, and provided that the Nominating and Corporate Governance Committee and the Compensation and Benefit Committee each have at least a majority of directors independent from A/N, Liberty Broadband and Charter (referred to as the “unaffiliated directors”). Each of the Nominating and Corporate Governance Committee and the Compensation and Benefits Committee is currently comprised of three unaffiliated directors and one designee of each of A/N and Liberty Broadband. A/N and Liberty Broadband also have certain other committee designations and other governance rights. Mr. Thomas Rutledge, the Company’s CEO, is the chairman of the board of Charter. In December 2016, Charter and A/N entered into a letter agreement, as amended in December 2017 (the “A/N Letter Agreement”), that requires A/N to sell to Charter or to Charter Holdings, on a monthly basis, a number of shares of Charter Class A common stock or Charter Holdings common units that represents a pro rata participation by A/N and its affiliates in any repurchases of shares of Charter Class A common stock from persons other than A/N effected by Charter during the immediately preceding calendar month, at a purchase price equal to the average price paid by Charter for the shares repurchased from persons other than A/N during such immediately preceding calendar month. A/N and Charter both have the right to terminate or suspend the pro rata repurchase arrangement on a prospective basis. In February 2021, Charter and Liberty Broadband entered into a letter agreement (the “LBB Letter Agreement”). The LBB Letter Agreement implements Liberty Broadband’s obligations under the Stockholders Agreement to participate in share repurchases by Charter. Under the LBB Letter Agreement, Liberty Broadband will sell to Charter, generally on a monthly basis, a number of shares of Charter Class A common stock representing an amount sufficient for Liberty Broadband’s ownership of Charter to be reduced such that it does not exceed the ownership cap then applicable to Liberty Broadband under the Stockholders Agreement at a purchase price per share equal to the volume weighted average price per share paid by Charter for shares repurchased during such immediately preceding calendar month other than (i) purchases from A/N, (ii) purchases in privately negotiated transactions or (iii) purchases for the withholding of shares of Charter Class A common stock pursuant to equity compensation programs of Charter. Gregory Maffei, a director of Charter and President and CEO and director and holder of 12.6% voting interest in Liberty Broadband, is Chairman of the board of directors of Qurate Retail, Inc. ("Qurate") and Dr. John Malone, a director emeritus of Charter and Chairman of the board of directors and holder of 45.8% of voting interest in Liberty Broadband, also serves on the Qurate board of directors. As reported in SEC filings of Qurate, Mr. Maffei and Dr. Malone, Mr. Maffei has ownership of an approximate 6.3% voting interest in Quarate and Dr. Malone has ownership of an approximate 41.2% voting interest in Qurate. Qurate wholly owns HSN, Inc. (“HSN”) and QVC, Inc. (“QVC”). The Company has programming relationships with HSN and QVC. For the three months ended March 31, 2021 and 2020, the Company recorded revenue in aggregate of approximately $11 million and $12 million, respectively, from HSN and QVC as part of channel carriage fees and revenue sharing arrangements for home shopping sales made to customers in the Company’s footprint. Dr. Malone and Mr. Steven Miron, a member of Charter’s board of directors, also serve on the board of directors of Discovery, Inc. (“Discovery”). As reported in Discovery's SEC filings, Dr. Malone owns 1.2% of the series A common stock, 93.6% of the series B common stock and 3.6% of the series C common stock of Discovery and has a 27.9% voting interest in Discovery for the election of directors. As reported in Discovery's SEC filings, Advance/Newhouse Programming Partnership (“A/N PP”), an affiliate of A/N and in which Mr. Miron is the CEO, owns 100% of the Series A-1 preferred stock of Discovery and 100% of the Series C-1 preferred stock of Discovery and has a 23.9% voting interest for matters other than the election of directors. A/N PP also has the right to appoint three directors out of a total of twelve directors to Discovery’s board. The Company purchases programming from Discovery. Based on publicly available information, the Company does not believe that Discovery would currently be considered a related party. The amount paid in the aggregate to Discovery represents less than 2% of total operating costs and expenses for the three months ended March 31, 2021 and 2020. Equity Investments |
Contingencies (Notes)
Contingencies (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | Contingencies In August 2015, a purported stockholder of Charter, Matthew Sciabacucchi, filed a lawsuit in the Delaware Court of Chancery, on behalf of a putative class of Charter stockholders, challenging the transactions involving Charter, TWC, A/N, and Liberty Broadband announced by Charter on May 26, 2015. The lawsuit, which named as defendants Charter and its board of directors, alleged that the transactions resulted from breaches of fiduciary duty by Charter’s directors and that Liberty Broadband improperly benefited from the challenged transactions at the expense of other Charter stockholders. Charter denies any liability, believes that it has substantial defenses, and is vigorously defending this lawsuit. Although Charter is unable to predict the outcome of this lawsuit, it does not expect the outcome will have a material effect on its operations, financial condition or cash flows. The California Attorney General and the Alameda County, California District Attorney are investigating whether certain of Charter’s waste disposal policies, procedures and practices are in violation of the California Business and Professions Code and the California Health and Safety Code. That investigation was commenced in January 2014. A similar investigation involving TWC was initiated in February 2012. Charter is cooperating with these investigations. While the Company is unable to predict the outcome of these investigations, it does not expect that the outcome will have a material effect on its operations, financial condition, or cash flows. Sprint filed a patent suit against Charter and Bright House on December 2, 2017 in the United States District Court for the District of Delaware. This suit alleges infringement of 9 patents related to the Company's provision of Voice over Internet Protocol (“VoIP”) services. Sprint previously sued TWC with respect to eight of these patents and obtained a final judgment of $151 million inclusive of interest and costs, which the Company paid in November 2019. The Company has also brought a patent suit against Sprint (TC Tech, LLC v. Sprint) in the United States District Court for the District of Delaware implicating Sprint's LTE technology and a similar suit against T-Mobile in the United States District Court for the Western District of Texas. Sprint filed a subsequent patent suit against Charter on May 17, 2018 in the United States District Court for the Eastern District of Virginia. This suit alleges infringement of two patents related to the Company's video on demand services. The court transferred this case to the United States District Court for the District of Delaware on December 20, 2018 pursuant to an agreement between the parties. On February 18, 2020, Sprint filed a lawsuit against Charter, Bright House and TWC. Sprint alleges that Charter misappropriated trade secrets from Sprint years ago through employees hired by Bright House. Sprint asserts that the alleged trade secrets relate to the VoIP business of Charter, TWC and Bright House. The case is now pending in the United States District Court for the District of Kansas. Charter, T-Mobile and Sprint have tentatively reached a settlement of all of the foregoing suits that would result in a payment of $220 million by Charter to T-Mobile. The Company can give no assurance that this tentative settlement will be finalized. Pending finalization of the settlement and in the event the settlement is not finalized, the Company will vigorously defend these Sprint suits and prosecute the suits it has brought against T-Mobile and Sprint. While the Company is unable to predict the outcome of these lawsuits, it does not expect that the litigation will have a material effect on its operations, financial condition, or cash flows. In addition to the Sprint litigation described above, the Company and its parent companies are defendants or co-defendants in several additional lawsuits involving alleged infringement of various intellectual property relating to various aspects of their businesses. Other industry participants are also defendants in certain of these cases or related cases. In the event that a court ultimately determines that the Company infringes on any intellectual property, the Company may be subject to substantial damages and/or an injunction that could require the Company or its vendors to modify certain products and services the Company offers to its subscribers, as well as negotiate royalty or license agreements with respect to the intellectual property at issue. While the Company believes the lawsuits are without merit and intends to defend the actions vigorously, no assurance can be given that any adverse outcome would not be material to the Company’s consolidated financial condition, results of operations, or liquidity. The Company cannot predict the outcome of any such claims nor can it reasonably estimate a range of possible loss. The Company and its parent companies are party to other lawsuits, claims and regulatory inquiries that arise in the ordinary course of conducting their business. The ultimate outcome of these other legal matters pending against the Company cannot be predicted, and although such lawsuits and claims are not expected individually to have a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity, such lawsuits could have, in the aggregate, a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity. Whether or not the Company ultimately prevails in any particular lawsuit or claim, litigation can be time consuming and costly and injure the Company’s reputation. |
Employee Benefit Plans (Notes)
Employee Benefit Plans (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The Company sponsors qualified defined and nonqualified defined benefit pension plans that provide pension benefits to a majority of employees who were employed by TWC before the merger with TWC. Pension benefits are based on formulas that reflect the employees’ years of service and compensation during their employment period. Actuarial gains or losses are changes in the amount of either the benefit obligation or the fair value of plan assets resulting from experience different from that assumed or from changes in assumptions. The Company has elected to follow a mark-to-market pension accounting policy for recording the actuarial gains or losses annually during the fourth quarter, or earlier if a remeasurement event occurs during an interim period. No future compensation increases or future service will be credited to participants of the pension plans given the frozen nature of the plans. The components of net periodic pension benefit (costs) for the three months ended March 31, 2021 and 2020 are recorded in in other income (expenses), net in the consolidated statements of operations and consisted of the following: Three Months Ended March 31, 2021 2020 Interest cost $ (24) $ (28) Expected return on plan assets 42 38 Net periodic pension benefits $ 18 $ 10 The Company made no cash contributions to the qualified pension plans during the three months ended March 31, 2021 and 2020; however, the Company may make discretionary cash contributions to the qualified pension plans in the future. Such contributions will be dependent on a variety of factors, including current and expected interest rates, asset performance, the funded status of the qualified pension plans and management’s judgment. For the nonqualified unfunded pension plan, the Company will continue to make contributions during 2021 to the extent benefits are paid. |
Accounting for Derivative Ins_2
Accounting for Derivative Instruments and Hedging Activities (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting for Derivative Instruments and Hedging Activities [Abstract] | |
Derivatives Policy | The Company uses derivative instruments to manage foreign exchange risk on the Sterling Notes, and does not hold or issue derivative instruments for speculative trading purposes. |
Franchises, Goodwill and Othe_2
Franchises, Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Indefinite-lived and Finite-lived Intangible Assets | Indefinite-lived and finite-lived intangible assets consist of the following as of March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Indefinite-lived intangible assets: Franchises $ 67,322 $ — $ 67,322 $ 67,322 $ — $ 67,322 Goodwill 29,554 — 29,554 29,554 — 29,554 Wireless spectrum licenses 464 — 464 464 — 464 $ 97,340 $ — $ 97,340 $ 97,340 $ — $ 97,340 Finite-lived intangible assets: Customer relationships $ 18,230 $ (13,045) $ 5,185 $ 18,230 $ (12,615) $ 5,615 Other intangible assets 420 (169) 251 420 (159) 261 $ 18,650 $ (13,214) $ 5,436 $ 18,650 $ (12,774) $ 5,876 |
Expected Future Amortization Expense | The Company expects amortization expense on its finite-lived intangible assets will be as follows: Nine months ended December 31, 2021 $ 1,162 2022 1,332 2023 1,075 2024 824 2025 575 Thereafter 468 $ 5,436 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Accounts Payable and Accrued Liabilities | Accounts payable and accrued liabilities consist of the following as of March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 Accounts payable – trade $ 698 $ 737 Deferred revenue 491 436 Accrued liabilities: Programming costs 2,074 1,940 Labor 1,066 1,370 Capital expenditures 1,121 1,227 Interest 1,057 1,083 Taxes and regulatory fees 501 523 Operating lease liabilities 212 202 Other 1,018 725 $ 8,238 $ 8,243 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Schedule of supplemental balance sheet information | Supplemental balance sheet information related to leases is as follows. March 31, 2021 December 31, 2020 Operating lease right-of-use assets: Included within other noncurrent assets $ 1,098 $ 1,065 Operating lease liabilities: Current portion included within accounts payable and accrued liabilities $ 212 $ 202 Long-term portion included within other long-term liabilities 966 941 $ 1,178 $ 1,143 Weighted average remaining lease term for operating leases 6.2 years 6.4 years Weighted average discount rate for operating leases 3.7 % 3.9 % |
Schedule of future minimum lease payments for operating leases | Maturities of lease liabilities as of March 31, 2021 are as follows. Operating leases Nine months ended December 31, 2021 $ 204 2022 257 2023 238 2024 195 2025 155 Thereafter 329 Undiscounted lease cash flow commitments 1,378 Reconciling impact from discounting (200) Lease liabilities on consolidated balance sheet as of March 31, 2021 $ 1,178 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long-term Debt Summary | Long-term debt consists of the following as of March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 Principal Amount Accreted Value Principal Amount Accreted Value CCO Holdings, LLC: 4.000% senior notes due March 1, 2023 $ 500 $ 498 $ 500 $ 498 5.750% senior notes due February 15, 2026 1,750 1,733 2,500 2,475 5.500% senior notes due May 1, 2026 1,500 1,493 1,500 1,492 5.875% senior notes due May 1, 2027 800 796 800 796 5.125% senior notes due May 1, 2027 3,250 3,226 3,250 3,225 5.000% senior notes due February 1, 2028 2,500 2,473 2,500 2,472 5.375% senior notes due June 1, 2029 1,500 1,501 1,500 1,501 4.750% senior notes due March 1, 2030 3,050 3,042 3,050 3,042 4.500% senior notes due August 15, 2030 2,750 2,750 2,750 2,750 4.250% senior notes due February 1, 2031 3,000 3,001 3,000 3,001 4.500% senior notes due May 1, 2032 2,900 2,928 2,900 2,928 Charter Communications Operating, LLC: 4.464% senior notes due July 23, 2022 3,000 2,993 3,000 2,992 Senior floating rate notes due February 1, 2024 900 902 900 902 4.500% senior notes due February 1, 2024 1,100 1,095 1,100 1,094 4.908% senior notes due July 23, 2025 4,500 4,477 4,500 4,475 3.750% senior notes due February 15, 2028 1,000 989 1,000 989 4.200% senior notes due March 15, 2028 1,250 1,242 1,250 1,241 5.050% senior notes due March 30, 2029 1,250 1,242 1,250 1,242 2.800% senior notes due April 1, 2031 1,600 1,583 1,600 1,583 2.300% senior notes due February 1, 2032 1,000 991 1,000 991 6.384% senior notes due October 23, 2035 2,000 1,983 2,000 1,983 5.375% senior notes due April 1, 2038 800 786 800 786 3.500% senior notes due June 1, 2041 1,500 1,482 — — 6.484% senior notes due October 23, 2045 3,500 3,468 3,500 3,468 5.375% senior notes due May 1, 2047 2,500 2,506 2,500 2,506 5.750% senior notes due April 1, 2048 2,450 2,392 2,450 2,392 5.125% senior notes due July 1, 2049 1,250 1,240 1,250 1,240 4.800% senior notes due March 1, 2050 2,800 2,797 2,800 2,797 3.700% senior notes due April 1, 2051 2,050 2,031 2,050 2,030 3.900% senior notes due June 1, 2052 1,000 992 — — 6.834% senior notes due October 23, 2055 500 495 500 495 3.850% senior notes due April 1, 2061 1,850 1,809 1,350 1,339 Credit facilities 10,081 10,015 10,150 10,081 Time Warner Cable, LLC: 4.000% senior notes due September 1, 2021 1,000 1,005 1,000 1,008 5.750% sterling senior notes due June 2, 2031 (a) 862 917 854 911 6.550% senior debentures due May 1, 2037 1,500 1,667 1,500 1,668 7.300% senior debentures due July 1, 2038 1,500 1,761 1,500 1,763 6.750% senior debentures due June 15, 2039 1,500 1,705 1,500 1,706 5.875% senior debentures due November 15, 2040 1,200 1,253 1,200 1,254 5.500% senior debentures due September 1, 2041 1,250 1,258 1,250 1,258 5.250% sterling senior notes due July 15, 2042 (b) 896 866 889 859 4.500% senior debentures due September 15, 2042 1,250 1,146 1,250 1,145 Time Warner Cable Enterprises LLC: 8.375% senior debentures due March 15, 2023 1,000 1,092 1,000 1,104 8.375% senior debentures due July 15, 2033 1,000 1,266 1,000 1,270 Total debt 84,339 84,887 82,143 82,752 Less current portion: 4.000% senior notes due September 1, 2021 (1,000) (1,005) (1,000) (1,008) Long-term debt $ 83,339 $ 83,882 $ 81,143 $ 81,744 (a) Principal amount includes £625 million remeasured at $862 million and $854 million as of March 31, 2021 and December 31, 2020, respectively, using the exchange rate at the respective dates. (b) Principal amount includes £650 million remeasured at $896 million and $889 million as of March 31, 2021 and December 31, 2020, respectively, using the exchange rate at the respective dates. |
Accounting for Derivative Ins_3
Accounting for Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting for Derivative Instruments and Hedging Activities [Abstract] | |
Income Statement Effects of Financial Instruments | The effect of financial instruments are recorded in other income (expenses), net in the consolidated statements of operations and consisted of the following. Three Months Ended March 31, 2021 2020 Change in fair value of cross-currency derivative instruments $ 63 $ (426) Foreign currency remeasurement of Sterling Notes to U.S. dollars (15) 108 Gain (loss) on financial instruments, net $ 48 $ (318) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Measurements [Abstract] | |
Carrying Value and Fair Value of Debt | A summary of the carrying value and fair value of debt as of March 31, 2021 and December 31, 2020 is as follows: March 31, 2021 December 31, 2020 Carrying Value Fair Value Carrying Value Fair Value Senior notes and debentures $ 74,872 $ 82,191 $ 72,671 $ 84,163 Credit facilities $ 10,015 $ 10,032 $ 10,081 $ 10,063 |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Revenue [Abstract] | |
Revenue | The Company’s revenues by product line are as follows: Three Months Ended March 31, 2021 2020 Internet $ 5,086 $ 4,407 Video 4,344 4,422 Voice 399 457 Residential revenue 9,829 9,286 Small and medium business 1,012 996 Enterprise 638 622 Commercial revenue 1,650 1,618 Advertising sales 344 365 Mobile 492 258 Other 204 209 $ 12,519 $ 11,736 |
Operating Costs and Expenses (T
Operating Costs and Expenses (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Operating Costs and Expenses [Abstract] | |
Operating Costs and Expenses | Operating costs and expenses, exclusive of items shown separately in the consolidated statements of operations, consist of the following for the periods presented: Three Months Ended March 31, 2021 2020 Programming $ 2,988 $ 2,892 Regulatory, connectivity and produced content 600 551 Costs to service customers 1,804 1,848 Marketing 751 766 Mobile 572 374 Other 1,016 1,021 $ 7,731 $ 7,452 |
Other Operating Expenses, Net_2
Other Operating Expenses, Net (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Other Operating Expenses, Net | Other operating expenses, net consist of the following for the periods presented: Three Months Ended March 31, 2021 2020 Special charges, net $ 257 $ 19 (Gain) loss on disposal of assets, net 47 (9) $ 304 $ 10 |
Other Income (Expenses), Net (T
Other Income (Expenses), Net (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Other Expenses, Net | Other income (expenses), net consist of the following for the periods presented: Three Months Ended March 31, 2021 2020 Loss on extinguishment of debt (see Note 5) $ (29) $ (27) Gain (loss) on financial instruments, net (see Note 7) 48 (318) Other pension benefits, net (see Note 18) 18 10 Gain on equity investments, net 5 11 $ 42 $ (324) |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Stock Compensation Plans [Abstract] | |
Equity Award Grants | Charter granted the following equity awards for the periods presented. Three Months Ended March 31, 2021 2020 Stock options 1,225,000 1,253,700 Restricted stock units 345,100 408,300 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Retirement Benefits [Abstract] | |
Net Periodic Pension Benefit | The components of net periodic pension benefit (costs) for the three months ended March 31, 2021 and 2020 are recorded in in other income (expenses), net in the consolidated statements of operations and consisted of the following: Three Months Ended March 31, 2021 2020 Interest cost $ (24) $ (28) Expected return on plan assets 42 38 Net periodic pension benefits $ 18 $ 10 |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Details) | 3 Months Ended |
Mar. 31, 2021 | |
Organization and Basis of Presentation [Abstract] | |
Number of reportable segments | 1 |
Franchises, Goodwill and Othe_3
Franchises, Goodwill and Other Intangible Assets (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Indefinite-lived Intangible Assets: | |||
Goodwill | $ 29,554 | $ 29,554 | |
Indefinite-lived intangible assets and goodwill | 97,340 | 97,340 | |
Finite-lived Intangible Assets: | |||
Gross Carrying Amount | 18,650 | 18,650 | |
Accumulated Amortization | (13,214) | (12,774) | |
Net Carrying Amount | 5,436 | 5,876 | |
Amortization expense | 440 | $ 508 | |
Nine months ended December 31, 2021 | 1,162 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year One | 1,332 | ||
2022 | 1,075 | ||
2023 | 824 | ||
2024 | 575 | ||
Thereafter | 468 | ||
Franchises | |||
Indefinite-lived Intangible Assets: | |||
Indefinite-lived intangible assets | 67,322 | 67,322 | |
Wireless spectrum licenses | |||
Indefinite-lived Intangible Assets: | |||
Indefinite-lived intangible assets | 464 | 464 | |
Customer relationships | |||
Finite-lived Intangible Assets: | |||
Gross Carrying Amount | 18,230 | 18,230 | |
Accumulated Amortization | (13,045) | (12,615) | |
Net Carrying Amount | 5,185 | 5,615 | |
Other intangible assets | |||
Finite-lived Intangible Assets: | |||
Gross Carrying Amount | 420 | 420 | |
Accumulated Amortization | (169) | (159) | |
Net Carrying Amount | $ 251 | $ 261 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Accounts Payable and Accrued Liabilities [Abstract] | ||
Accounts payable – trade | $ 698 | $ 737 |
Deferred revenue | 491 | 436 |
Accrued liabilities: | ||
Programming costs | 2,074 | 1,940 |
Labor | 1,066 | 1,370 |
Capital expenditures | 1,121 | 1,227 |
Interest | 1,057 | 1,083 |
Taxes and regulatory fees | 501 | 523 |
Operating lease liabilities | 212 | 202 |
Other | 1,018 | 725 |
Total accounts payable and accrued liabilities | $ 8,238 | $ 8,243 |
Leases (Details)
Leases (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Leases [Abstract] | |||
Operating Lease Expense | $ 102 | $ 95 | |
short term leases and variable leases costs | 32 | 32 | |
Operating Lease Payments | 69 | 61 | |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 92 | $ 62 | |
Operating Lease, Right-of-Use Asset | $ 1,098 | $ 1,065 | |
Included within other noncurrent assets | us-gaap:OtherAssets | us-gaap:OtherAssets | |
Operating lease liabilities | $ 212 | $ 202 | |
Current portion included within accounts payable and accrued liabilities | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent | |
Noncurrent portion of operating lease liability | $ 966 | $ 941 | |
Long-term portion included within other long-term liabilities | OTHER LONG-TERM LIABILITIES | OTHER LONG-TERM LIABILITIES | |
Total Operating Lease Liability | $ 1,178 | $ 1,143 | |
Weighted average remaining operating lease term (in years) | 6 years 2 months 12 days | 6 years 4 months 24 days | |
Weighted average discount rate - operating leases (percentage) | 3.70% | 3.90% | |
Finance Lease Liabilities | $ 64 | $ 63 | |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |||
Nine months ended December 31, 2021 | 204 | ||
2022 | 257 | ||
2023 | 238 | ||
2024 | 195 | ||
2025 | 155 | ||
Thereafter | 329 | ||
Undiscounted lease cash flow commitments | 1,378 | ||
Reconciling impact from discounting | $ (200) |
Long-Term Debt (Details)
Long-Term Debt (Details) £ in Millions, $ in Millions | 3 Months Ended | ||||
Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Apr. 30, 2021USD ($) | Mar. 31, 2021GBP (£) | Dec. 31, 2020USD ($) | |
Long-term Debt: | |||||
Principal Amount | $ 84,339 | $ 82,143 | |||
Accreted Value | 84,887 | 82,752 | |||
Accreted value, current portion | (1,005) | (1,008) | |||
Principal amount, noncurrent portion | 83,339 | 81,143 | |||
Accreted value, noncurrent portion | 83,882 | 81,744 | |||
Loss on extinguishment of debt (see Note 5) | (29) | $ (27) | |||
Credit facilities | |||||
Long-term Debt: | |||||
Accreted Value | $ 10,015 | 10,081 | |||
CCO Holdings | |||||
Long-term Debt: | |||||
Debt Instrument Redemption Price (Percentage) | 100.00% | ||||
Debt instrument, amount of principal that may be redeemed (percentage) | 40.00% | ||||
Debt instrument redemption price in the event of change of control events (percentage) | 101.00% | ||||
CCO Holdings | 4.000% senior notes due March 1, 2023 | |||||
Long-term Debt: | |||||
Principal Amount | $ 500 | 500 | |||
Accreted Value | $ 498 | 498 | |||
Stated interest rate (percentage) | 4.00% | 4.00% | |||
CCO Holdings | 5.750% senior notes due February 15, 2026 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,750 | 2,500 | |||
Accreted Value | $ 1,733 | 2,475 | |||
Stated interest rate (percentage) | 5.75% | 5.75% | |||
Debt repurchased, principal amount | $ 750 | ||||
CCO Holdings | 5.500% senior notes due May 1, 2026 | |||||
Long-term Debt: | |||||
Principal Amount | 1,500 | 1,500 | |||
Accreted Value | $ 1,493 | 1,492 | |||
Stated interest rate (percentage) | 5.50% | 5.50% | |||
CCO Holdings | 5.875% senior notes due May 1, 2027 | |||||
Long-term Debt: | |||||
Principal Amount | $ 800 | 800 | |||
Accreted Value | $ 796 | 796 | |||
Stated interest rate (percentage) | 5.875% | 5.875% | |||
CCO Holdings | 5.125% senior notes due May 1, 2027 | |||||
Long-term Debt: | |||||
Principal Amount | $ 3,250 | 3,250 | |||
Accreted Value | $ 3,226 | 3,225 | |||
Stated interest rate (percentage) | 5.125% | 5.125% | |||
CCO Holdings | 5.000% senior notes due February 1, 2028 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,500 | 2,500 | |||
Accreted Value | $ 2,473 | 2,472 | |||
Stated interest rate (percentage) | 5.00% | 5.00% | |||
CCO Holdings | 5.375% senior notes due June 1, 2029 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,500 | 1,500 | |||
Accreted Value | $ 1,501 | 1,501 | |||
Stated interest rate (percentage) | 5.375% | 5.375% | |||
CCO Holdings | 4.750% senior notes due March 1, 2030 | |||||
Long-term Debt: | |||||
Principal Amount | $ 3,050 | 3,050 | |||
Accreted Value | $ 3,042 | 3,042 | |||
Stated interest rate (percentage) | 4.75% | 4.75% | |||
CCO Holdings | 4.500% senior notes due August 15, 2030 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,750 | 2,750 | |||
Accreted Value | $ 2,750 | 2,750 | |||
Stated interest rate (percentage) | 4.50% | 4.50% | |||
CCO Holdings | 4.250% senior notes due February 1, 2031 | |||||
Long-term Debt: | |||||
Principal Amount | $ 3,000 | 3,000 | |||
Accreted Value | $ 3,001 | 3,001 | |||
Stated interest rate (percentage) | 4.25% | 4.25% | |||
CCO Holdings | 4.500% senior notes due May 1, 2032 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,900 | 2,900 | |||
Accreted Value | $ 2,928 | 2,928 | |||
Stated interest rate (percentage) | 4.50% | 4.50% | |||
CCO Holdings | 4.500% senior notes due June 1, 2033 | Subsequent Event | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | ||||
Stated interest rate (percentage) | 4.50% | ||||
Charter Operating | 4.464% senior notes due July 23, 2022 | |||||
Long-term Debt: | |||||
Principal Amount | $ 3,000 | 3,000 | |||
Accreted Value | $ 2,993 | 2,992 | |||
Stated interest rate (percentage) | 4.464% | 4.464% | |||
Charter Operating | Senior floating rate notes due February 1, 2024 | |||||
Long-term Debt: | |||||
Principal Amount | $ 900 | 900 | |||
Accreted Value | 902 | 902 | |||
Charter Operating | 4.500% senior notes due February 1, 2024 | |||||
Long-term Debt: | |||||
Principal Amount | 1,100 | 1,100 | |||
Accreted Value | $ 1,095 | 1,094 | |||
Stated interest rate (percentage) | 4.50% | 4.50% | |||
Charter Operating | 4.908% senior notes due July 23, 2025 | |||||
Long-term Debt: | |||||
Principal Amount | $ 4,500 | 4,500 | |||
Accreted Value | $ 4,477 | 4,475 | |||
Stated interest rate (percentage) | 4.908% | 4.908% | |||
Charter Operating | 3.750% senior notes due February 15, 2028 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | 1,000 | |||
Accreted Value | $ 989 | 989 | |||
Stated interest rate (percentage) | 3.75% | 3.75% | |||
Charter Operating | 4.200% senior notes due March 15, 2028 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,250 | 1,250 | |||
Accreted Value | $ 1,242 | 1,241 | |||
Stated interest rate (percentage) | 4.20% | 4.20% | |||
Charter Operating | 5.050% senior notes due March 30, 2029 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,250 | 1,250 | |||
Accreted Value | $ 1,242 | 1,242 | |||
Stated interest rate (percentage) | 5.05% | 5.05% | |||
Charter Operating | 2.800% senior notes due April 1, 2031 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,600 | 1,600 | |||
Accreted Value | $ 1,583 | 1,583 | |||
Stated interest rate (percentage) | 2.80% | 2.80% | |||
Charter Operating | 2.300% senior notes due February 1, 2032 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | 1,000 | |||
Accreted Value | $ 991 | 991 | |||
Stated interest rate (percentage) | 2.30% | 2.30% | |||
Charter Operating | 6.384% senior notes due October 23, 2035 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,000 | 2,000 | |||
Accreted Value | $ 1,983 | 1,983 | |||
Stated interest rate (percentage) | 6.384% | 6.384% | |||
Charter Operating | 5.375% senior notes due April 1, 2038 | |||||
Long-term Debt: | |||||
Principal Amount | $ 800 | 800 | |||
Accreted Value | $ 786 | 786 | |||
Stated interest rate (percentage) | 5.375% | 5.375% | |||
Charter Operating | 3.500% senior notes due June 1, 2041 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,500 | 0 | |||
Accreted Value | $ 1,482 | 0 | |||
Stated interest rate (percentage) | 3.50% | 3.50% | |||
Debt instrument issue price (percentage) | 99.544% | ||||
Charter Operating | 6.484% senior notes due October 23, 2045 | |||||
Long-term Debt: | |||||
Principal Amount | $ 3,500 | 3,500 | |||
Accreted Value | $ 3,468 | 3,468 | |||
Stated interest rate (percentage) | 6.484% | 6.484% | |||
Charter Operating | 5.375% senior notes due May 1, 2047 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,500 | 2,500 | |||
Accreted Value | $ 2,506 | 2,506 | |||
Stated interest rate (percentage) | 5.375% | 5.375% | |||
Charter Operating | 5.750% senior notes due April 1, 2048 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,450 | 2,450 | |||
Accreted Value | $ 2,392 | 2,392 | |||
Stated interest rate (percentage) | 5.75% | 5.75% | |||
Charter Operating | 5.125% senior notes due July 1, 2049 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,250 | 1,250 | |||
Accreted Value | $ 1,240 | 1,240 | |||
Stated interest rate (percentage) | 5.125% | 5.125% | |||
Charter Operating | 4.800% senior notes due March 1, 2050 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,800 | 2,800 | |||
Accreted Value | $ 2,797 | 2,797 | |||
Stated interest rate (percentage) | 4.80% | 4.80% | |||
Charter Operating | 3.700% senior notes due April 1, 2051 | |||||
Long-term Debt: | |||||
Principal Amount | $ 2,050 | 2,050 | |||
Accreted Value | $ 2,031 | 2,030 | |||
Stated interest rate (percentage) | 3.70% | 3.70% | |||
Charter Operating | 3.900% senior notes due June 1, 2052 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | 0 | |||
Accreted Value | $ 992 | 0 | |||
Stated interest rate (percentage) | 3.90% | 3.90% | |||
Debt instrument issue price (percentage) | 99.951% | ||||
Charter Operating | 6.834% senior notes due October 23, 2055 | |||||
Long-term Debt: | |||||
Principal Amount | $ 500 | 500 | |||
Accreted Value | $ 495 | 495 | |||
Stated interest rate (percentage) | 6.834% | 6.834% | |||
Charter Operating | 3.850% senior notes due April 1, 2061 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,850 | 1,350 | |||
Accreted Value | 1,809 | 1,339 | |||
Charter Operating | Credit facilities | |||||
Long-term Debt: | |||||
Principal Amount | 10,081 | 10,150 | |||
Accreted Value | 10,015 | 10,081 | |||
Charter Operating | Revolving Credit Facility | |||||
Long-term Debt: | |||||
Availability under credit facilities | 4,700 | ||||
Charter Operating | Additional 3.850% Senior Notes Due April 1, 2061 | |||||
Long-term Debt: | |||||
Principal Amount | $ 500 | ||||
Stated interest rate (percentage) | 3.85% | 3.85% | |||
Debt instrument issue price (percentage) | 94.668% | ||||
Time Warner Cable | 4.000% senior notes due September 1, 2021 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | 1,000 | |||
Accreted Value | 1,005 | 1,008 | |||
Principal amount, current portion | (1,000) | (1,000) | |||
Accreted value, current portion | $ (1,005) | (1,008) | |||
Stated interest rate (percentage) | 4.00% | 4.00% | |||
Time Warner Cable | 5.750% sterling senior notes due June 2, 2031 (a) | |||||
Long-term Debt: | |||||
Principal Amount | $ 862 | £ 625 | 854 | ||
Accreted Value | $ 917 | 911 | |||
Stated interest rate (percentage) | 5.75% | 5.75% | |||
Time Warner Cable | 6.550% senior debentures due May 1, 2037 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,500 | 1,500 | |||
Accreted Value | $ 1,667 | 1,668 | |||
Stated interest rate (percentage) | 6.55% | 6.55% | |||
Time Warner Cable | 7.300% senior debentures due July 1, 2038 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,500 | 1,500 | |||
Accreted Value | $ 1,761 | 1,763 | |||
Stated interest rate (percentage) | 7.30% | 7.30% | |||
Time Warner Cable | 6.750% senior debentures due June 15, 2039 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,500 | 1,500 | |||
Accreted Value | $ 1,705 | 1,706 | |||
Stated interest rate (percentage) | 6.75% | 6.75% | |||
Time Warner Cable | 5.875% senior debentures due November 15, 2040 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,200 | 1,200 | |||
Accreted Value | $ 1,253 | 1,254 | |||
Stated interest rate (percentage) | 5.875% | 5.875% | |||
Time Warner Cable | 5.500% senior debentures due September 1, 2041 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,250 | 1,250 | |||
Accreted Value | $ 1,258 | 1,258 | |||
Stated interest rate (percentage) | 5.50% | 5.50% | |||
Time Warner Cable | 5.250% sterling senior notes due July 15, 2042 (b) | |||||
Long-term Debt: | |||||
Principal Amount | $ 896 | £ 650 | 889 | ||
Accreted Value | $ 866 | 859 | |||
Stated interest rate (percentage) | 5.25% | 5.25% | |||
Time Warner Cable | 4.500% senior debentures due September 15, 2042 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,250 | 1,250 | |||
Accreted Value | $ 1,146 | 1,145 | |||
Stated interest rate (percentage) | 4.50% | 4.50% | |||
Time Warner Cable Enterprises | 8.375% senior debentures due March 15, 2023 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | 1,000 | |||
Accreted Value | $ 1,092 | 1,104 | |||
Stated interest rate (percentage) | 8.375% | 8.375% | |||
Time Warner Cable Enterprises | 8.375% senior debentures due July 15, 2033 | |||||
Long-term Debt: | |||||
Principal Amount | $ 1,000 | 1,000 | |||
Accreted Value | $ 1,266 | $ 1,270 | |||
Stated interest rate (percentage) | 8.375% | 8.375% |
Loans Payable - Related Party_2
Loans Payable - Related Party (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | |
Related Party Transactions [Abstract] | ||
LOANS PAYABLE - RELATED PARTY | $ 1,074 | $ 1,001 |
Related Party Transactions: | ||
LOANS PAYABLE - RELATED PARTY | 1,074 | 1,001 |
Charter Holdco | ||
Related Party Transactions [Abstract] | ||
LOANS PAYABLE - RELATED PARTY | 743 | 727 |
Related Party Transactions: | ||
LOANS PAYABLE - RELATED PARTY | $ 743 | 727 |
LIBOR spread | 1.25% | |
Charter | ||
Related Party Transactions [Abstract] | ||
LOANS PAYABLE - RELATED PARTY | $ 331 | 274 |
Related Party Transactions: | ||
LOANS PAYABLE - RELATED PARTY | $ 331 | $ 274 |
LIBOR spread | 2.00% |
Accounting for Derivative Ins_4
Accounting for Derivative Instruments and Hedging Activities (Details) £ in Millions, $ in Millions | 3 Months Ended | ||||
Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2021GBP (£) | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) | |
Gain (Loss) On Financial Instruments, Net | |||||
Change in fair value of cross-currency derivative instruments | $ 63 | $ (426) | |||
Foreign currency remeasurement of Sterling Notes to U.S. dollars | (15) | 108 | |||
Gain (loss) on financial instruments, net | $ 48 | $ (318) | |||
Cross Currency Derivatives | |||||
Derivatives: | |||||
Notional amount | £ | £ 1,275 | ||||
Collateral holiday agreement, percentage of position covered | 60.00% | 60.00% | |||
Collateral holiday agreement, term | 3 years | ||||
collateral cap term | 10 years | ||||
Collateral cap, percentage of position covered | 40.00% | 40.00% | |||
Maximum amount of collateral required to be posted | $ 150 | ||||
Collateral Holiday Agreement Percentage Extended to November 2022 | 20.00% | 20.00% | |||
Level 2 | Cross Currency Derivatives | |||||
Derivatives: | |||||
Derivative Liability | $ 121 | $ 184 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Fair Value Measurements: | ||
Carrying Value | $ 84,887 | $ 82,752 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts Receivable, Net | 2,352 | 2,503 |
Other noncurrent assets | 3,123 | 3,102 |
Senior notes and debentures | ||
Fair Value Measurements: | ||
Carrying Value | 74,872 | 72,671 |
Credit facilities | ||
Fair Value Measurements: | ||
Carrying Value | 10,015 | 10,081 |
Level 1 | Senior notes and debentures | ||
Fair Value Measurements: | ||
Fair Value | 82,191 | 84,163 |
Level 2 | Credit facilities | ||
Fair Value Measurements: | ||
Fair Value | 10,032 | 10,063 |
Equipment installment plan receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts Receivable, Net | 344 | 338 |
Other noncurrent assets | 168 | 134 |
Cross Currency Derivatives | Level 2 | ||
Fair Value Measurements: | ||
Derivative Liability | $ 121 | $ 184 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Product Information [Line Items] | ||
REVENUES | $ 12,519 | $ 11,736 |
Internet | ||
Product Information [Line Items] | ||
REVENUES | 5,086 | 4,407 |
Video | ||
Product Information [Line Items] | ||
REVENUES | 4,344 | 4,422 |
Voice | ||
Product Information [Line Items] | ||
REVENUES | 399 | 457 |
Residential revenue | ||
Product Information [Line Items] | ||
REVENUES | 9,829 | 9,286 |
Small and medium business | ||
Product Information [Line Items] | ||
REVENUES | 1,012 | 996 |
Enterprise | ||
Product Information [Line Items] | ||
REVENUES | 638 | 622 |
Commercial revenue | ||
Product Information [Line Items] | ||
REVENUES | 1,650 | 1,618 |
Advertising sales | ||
Product Information [Line Items] | ||
REVENUES | 344 | 365 |
Mobile | ||
Product Information [Line Items] | ||
REVENUES | 492 | 258 |
Other | ||
Product Information [Line Items] | ||
REVENUES | $ 204 | $ 209 |
Operating Costs and Expenses (D
Operating Costs and Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Operating Costs and Expenses [Abstract] | ||
Programming | $ 2,988 | $ 2,892 |
Regulatory, connectivity and produced content | 600 | 551 |
Costs to service customers | 1,804 | 1,848 |
Marketing | 751 | 766 |
Mobile | 572 | 374 |
Other | 1,016 | 1,021 |
Operating costs and expenses (exclusive of items shown separately in the consolidated statements of operations) | $ 7,731 | $ 7,452 |
Other Operating Expenses, Net_3
Other Operating Expenses, Net (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |||
Special charges, net | $ 257 | $ 19 | |
(Gain) loss on disposal of assets, net | 47 | (9) | |
Other operating expenses, net | 304 | $ 10 | |
Loss Contingency, Damages Awarded, Value | $ 220 | $ 151 |
Other Income (Expenses), Net (D
Other Income (Expenses), Net (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Other Income and Expenses [Abstract] | ||
Loss on extinguishment of debt (see Note 5) | $ (29) | $ (27) |
Gain (loss) on financial instruments, net (see Note 7) | 48 | (318) |
Other pension benefits, net (see Note 18) | 18 | 10 |
Gain (Loss) on Sale of Equity Investments | 5 | 11 |
Other income (expenses), net | $ 42 | $ (324) |
Stock Compensation Plans (Detai
Stock Compensation Plans (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Stock Compensation Plans: | ||
Stock compensation expense | $ 134 | $ 90 |
Stock options | ||
Stock Compensation Plans: | ||
Stock options granted in period (shares) | 1,225,000 | 1,253,700 |
Award vesting period | 3 years | |
Award expiration period | 10 years | |
Unrecognized compensation cost | $ 374 | |
Remaining period over which to recognize unrecognized compensation expense | 2 years | |
Restricted stock | ||
Stock Compensation Plans: | ||
Award vesting period | 1 year | |
Unrecognized compensation cost | $ 0.2 | |
Remaining period over which to recognize unrecognized compensation expense | 1 month | |
Restricted stock units | ||
Stock Compensation Plans: | ||
Awards other than stock options granted in period (shares) | 345,100 | 408,300 |
Award vesting period | 3 years | |
Unrecognized compensation cost | $ 357 | |
Remaining period over which to recognize unrecognized compensation expense | 2 years |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Income tax expense | $ 10 | $ 6 | |
Unrecognized Tax Benefits | $ 102 | $ 102 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Related Party Transactions: | ||
Gregory Maffei's voting interest in Liberty Broadband (percentage) | 12.60% | |
Dr. John Malone's voting interest in Liberty Broadband (percentage) | 45.80% | |
Gregory Maffei's voting interest in Qurate Retail, Inc. (percentage) | 6.30% | |
Dr. John Malone's voting interest in Qurate Retail, Inc. (percentage) | 41.20% | |
Cash payments received from HSN, Inc. and QVC, Inc. | $ 11 | $ 12 |
Dr. John Malone's voting interest in Discovery Communications, Inc. for election of directors (percentage) | 27.90% | |
Advance Newhouse Programming Partnership's ownership percentage in Series A preferred stock of Discovery Communications, Inc. (percentage) | 100.00% | |
Advance Newhouse Programming Partnership's ownership percentage in Series C preferred stock of Discovery Communications, Inc. (percentage) | 100.00% | |
Advance Newhouse Programming Partnership's voting interest in Discovery Communications, Inc. for election of directors (percentage) | 23.90% | |
Maximum | ||
Related Party Transactions: | ||
Percent of total operating costs and expenses paid to Discovery Communications, Inc. and Starz (percentage) | 2.00% | 2.00% |
Equity Method Investee | ||
Related Party Transactions: | ||
Payments to related parties | $ 58 | $ 63 |
Common Class A [Member] | ||
Related Party Transactions: | ||
Dr. John Malone's ownership percentage in Discovery Communications, Inc. (percentage) | 1.20% | |
Common Class B [Member] | ||
Related Party Transactions: | ||
Dr. John Malone's ownership percentage in Discovery Communications, Inc. (percentage) | 93.60% | |
Class C Common Stock | ||
Related Party Transactions: | ||
Dr. John Malone's ownership percentage in Discovery Communications, Inc. (percentage) | 3.60% |
Contingencies (Details)
Contingencies (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Loss Contingency, Damages Awarded, Value | $ 220 | $ 151 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Retirement Benefits [Abstract] | ||
Interest cost | $ (24) | $ (28) |
Expected return on plan assets | 42 | 38 |
Net periodic pension benefits | $ 18 | $ 10 |