Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | ||
Mar. 31, 2014 | 2-May-14 | 2-May-14 | |
Class A Common Stock | Class B Common Stock | ||
Document Type | '10-Q | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Mar-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'Q3 | ' | ' |
Entity Registrant Name | 'TWENTY-FIRST CENTURY FOX, INC. | ' | ' |
Entity Central Index Key | '0001308161 | ' | ' |
Current Fiscal Year End Date | '--06-30 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 1,427,837,712 | 798,520,953 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Revenues | $8,219 | $7,353 | $23,443 | $20,463 | ||||
Operating expenses | -5,475 | -4,826 | -15,473 | -12,859 | ||||
Selling, general and administrative | -978 | -980 | -3,082 | -2,898 | ||||
Depreciation and amortization | -267 | -214 | -840 | -569 | ||||
Impairment charges | ' | ' | ' | -35 | ||||
Equity earnings of affiliates | 170 | 132 | 430 | 432 | ||||
Interest expense, net | -284 | -277 | -830 | -802 | ||||
Interest income | 6 | 8 | 21 | 39 | ||||
Other, net | -33 | 2,109 | 123 | 3,672 | ||||
Income from continuing operations before income tax expense | 1,358 | 3,305 | 3,792 | 7,443 | ||||
Income tax expense | -269 | -728 | -929 | -1,437 | ||||
Income from continuing operations | 1,089 | 2,577 | 2,863 | 6,006 | ||||
(Loss) income from discontinued operations, net of tax | -16 | 321 | 696 | 1,625 | ||||
Net income | 1,073 | 2,898 | 3,559 | 7,631 | ||||
Less: Net income attributable to noncontrolling interests | -20 | [1] | -44 | [1] | -44 | [1] | -163 | [1] |
Net income attributable to Twenty-First Century Fox, Inc. stockholders | 1,053 | 2,854 | 3,515 | 7,468 | ||||
Earnings Per Share Data | ' | ' | ' | ' | ||||
Income from continuing operations attributable to Twenty-First Century Fox, Inc. stockholders | $1,069 | $2,533 | $2,819 | $5,843 | ||||
Weighted average shares: | ' | ' | ' | ' | ||||
Basic | 2,252 | 2,324 | 2,279 | 2,344 | ||||
Diluted | 2,256 | 2,330 | 2,283 | 2,348 | ||||
Income from continuing operations attributable to Twenty-First Century Fox, Inc. stockholders per share: | ' | ' | ' | ' | ||||
Basic | $0.47 | $1.09 | $1.24 | $2.49 | ||||
Diluted | $0.47 | $1.09 | $1.23 | $2.49 | ||||
Net income attributable to Twenty-First Century Fox, Inc. stockholders per share: | ' | ' | ' | ' | ||||
Basic | $0.47 | $1.23 | $1.54 | $3.19 | ||||
Diluted | $0.47 | $1.22 | $1.54 | $3.18 | ||||
[1] | Net income attributable to noncontrolling interests includes $26 million for the three months ended MarchB 31, 2014 and 2013 and $74 million for the nine months ended MarchB 31, 2014 and 2013 relating to redeemable noncontrolling interests. |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Net income | $1,073 | $2,898 | $3,559 | $7,631 | ||||
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' | ||||
Foreign currency translation adjustments | 21 | -433 | 588 | -152 | ||||
Unrealized holding gains (losses) on securities | 5 | -27 | -134 | -25 | ||||
Benefit plan adjustments | 10 | 13 | 23 | 41 | ||||
Other comprehensive income (loss), net of tax | 36 | -447 | 477 | -136 | ||||
Comprehensive income | 1,109 | 2,451 | 4,036 | 7,495 | ||||
Less: Net income attributable to noncontrolling interests | -20 | [1] | -44 | [1] | -44 | [1] | -163 | [1] |
Less: Other comprehensive income attributable to noncontrolling interests | -4 | ' | -134 | -2 | ||||
Comprehensive income attributable to Twenty-First Century Fox, Inc. stockholders | $1,085 | $2,407 | $3,858 | $7,330 | ||||
[1] | Net income attributable to noncontrolling interests includes $26 million for the three months ended MarchB 31, 2014 and 2013 and $74 million for the nine months ended MarchB 31, 2014 and 2013 relating to redeemable noncontrolling interests. |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
Statement Consolidated Statements Of Comprehensive Income Parenthetical [Line Items] | ' | ' | ' | ' |
Net income attributable to redeemable noncontrolling interests | $26 | $26 | $74 | $74 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Current assets: | ' | ' | ||
Cash and cash equivalents | $5,517 | $6,659 | ||
Receivables, net | 6,314 | 5,459 | ||
Inventories, net | 3,387 | [1] | 2,784 | [1] |
Other | 431 | 665 | ||
Total current assets | 15,649 | 15,567 | ||
Non-current assets: | ' | ' | ||
Receivables | 456 | 437 | ||
Investments | 2,908 | 3,704 | ||
Inventories, net | 6,541 | 5,371 | ||
Property, plant and equipment, net | 2,942 | 2,829 | ||
Intangible assets, net | 8,294 | 5,064 | ||
Goodwill | 17,918 | 17,255 | ||
Other non-current assets | 585 | 717 | ||
Total assets | 55,293 | 50,944 | ||
Current liabilities: | ' | ' | ||
Borrowings | 797 | 137 | ||
Accounts payable, accrued expenses and other current liabilities | 4,434 | 4,434 | ||
Participations, residuals and royalties payable | 1,881 | 1,663 | ||
Program rights payable | 1,921 | 1,524 | ||
Deferred revenue | 682 | 677 | ||
Total current liabilities | 9,715 | 8,435 | ||
Non-current liabilities: | ' | ' | ||
Borrowings | 18,257 | 16,321 | ||
Other liabilities | 3,100 | 3,264 | ||
Deferred income taxes | 2,723 | 2,280 | ||
Redeemable noncontrolling interests | 534 | [2] | 519 | [2] |
Commitments and contingencies | ' | ' | ||
Equity: | ' | ' | ||
Additional paid-in capital | 15,200 | 15,840 | ||
Retained earnings and accumulated other comprehensive income | 2,241 | 1,135 | ||
Total Twenty-First Century Fox, Inc. stockholders' equity | 17,463 | 16,998 | ||
Noncontrolling interests | 3,501 | 3,127 | ||
Total equity | 20,964 | 20,125 | ||
Total liabilities and equity | 55,293 | 50,944 | ||
Class A Common Stock | ' | ' | ||
Equity: | ' | ' | ||
Common stock | 14 | [3] | 15 | [3] |
Class B Common Stock | ' | ' | ||
Equity: | ' | ' | ||
Common stock | $8 | [4] | $8 | [4] |
[1] | Current portion of inventories as of March 31, 2014 and JuneB 30, 2013 was comprised of programming rights ($3,305 million and $2,715 million, respectively), DVDs, Blu-rays, and other merchandise. | |||
[2] | The Company accounts for redeemable noncontrolling interests in accordance with ASC 480-10-S99-3A because their exercise is outside the control of the Company and, accordingly, as of March 31, 2014 and JuneB 30, 2013, has included the fair value of the redeemable noncontrolling interests in the consolidated balance sheets. The redeemable noncontrolling interests recorded at fair value are put arrangements held by the noncontrolling interests in certain of the Companybs majority-owned sports networks.The Company utilizes the market, income or cost approaches or a combination of these valuation techniques for its Level 3 fair value measures. Inputs to such measures could include observable market data obtained from independent sources such as broker quotes and recent market transactions for similar assets. It is the Companybs policy to maximize the use of observable inputs in the measurement of its Level 3 fair value measurements. To the extent observable inputs are not available, the Company utilizes unobservable inputs based upon the assumptions market participants would use in valuing the asset. Examples of utilized unobservable inputs are future cash flows, long term growth rates and applicable discount rates. Significant unobservable inputs used in the fair value measurement of the Companybs redeemable noncontrolling interests are earnings before interest, taxes, depreciation and amortization (bOIBDAb) growth rates (3% - 7% range) and discount rates (8%). Significant increases (decreases) in growth rates and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in growth rates and multiples, would result in a significantly higher (lower) fair value measurement. The fair value of the redeemable noncontrolling interests in two of the sports networks were primarily determined by (i)B applying a multiples-based formula that is intended to approximate fair value for one of the sports networks and (ii)B using a discounted OIBDA valuation model, assuming a 8% discount rate for another sports network. As of March 31, 2014, one of the minority shareholderbs put right is currently exercisable and another minority shareholderbs put right will become exercisable in March 2015.The remaining redeemable noncontrolling interest is currently not exercisable and is not material. | |||
[3] | ClassB A common stock, $0.01 par value per share, 6,000,000,000 shares authorized, 1,438,450,783 shares and 1,517,670,765 shares issued and outstanding, net of 123,687,371 treasury shares at par, at March 31, 2014 and JuneB 30, 2013, respectively. | |||
[4] | Class B common stock, $0.01 par value per share, 3,000,000,000 shares authorized, 798,520,953 shares issued and outstanding, net of 356,993,807 treasury shares at par, at March 31, 2014 and JuneB 30, 2013. |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 |
Class A Common Stock | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 6,000,000,000 | 6,000,000,000 |
Common stock, shares issued and outstanding net of treasury stock | 1,438,450,783 | 1,517,670,765 |
Common stock, treasury shares | 123,687,371 | 123,687,371 |
Class B Common Stock | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 3,000,000,000 | 3,000,000,000 |
Common stock, shares issued and outstanding net of treasury stock | 798,520,953 | 798,520,953 |
Common stock, treasury shares | 356,993,807 | 356,993,807 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Operating activities: | ' | ' |
Net income | $3,559 | $7,631 |
Less: Income from discontinued operations, net of tax | 696 | 1,625 |
Income from continuing operations | 2,863 | 6,006 |
Adjustments to reconcile income from continuing operations to cash provided by operating activities: | ' | ' |
Depreciation and amortization | 840 | 569 |
Amortization of cable distribution investments | 61 | 67 |
Equity earnings of affiliates | -430 | -432 |
Cash distributions received from affiliates | 223 | 192 |
Impairment charges | ' | 35 |
Other, net | -123 | -3,672 |
Change in operating assets and liabilities, net of acquisitions: | ' | ' |
Receivables and other assets | -680 | -233 |
Inventories, net | -1,457 | -964 |
Accounts payable and other liabilities | 284 | 817 |
Net cash provided by operating activities from continuing operations | 1,581 | 2,385 |
Investing activities: | ' | ' |
Property, plant and equipment | -470 | -400 |
Acquisitions, net of cash acquired | -692 | -589 |
Investments in equity affiliates | -72 | -615 |
Other investments | -33 | -57 |
Proceeds from dispositions | 259 | 1,968 |
Net cash (used in) provided by investing activities from continuing operations | -1,008 | 307 |
Financing activities: | ' | ' |
Borrowings | 987 | 1,277 |
Repayment of borrowings | -142 | -754 |
Issuance of shares | 66 | 170 |
Repurchase of shares | -2,752 | -1,834 |
Dividends paid | -444 | -364 |
Purchase of subsidiary shares from noncontrolling interests | -76 | ' |
Sale of subsidiary shares to noncontrolling interests | ' | 70 |
Distribution to News Corporation | -10 | ' |
Net cash used in financing activities from continuing operations | -2,371 | -1,435 |
Net increase (decrease) in cash and cash equivalents from discontinued operations | 608 | -1,577 |
Net decrease in cash and cash equivalents | -1,190 | -320 |
Cash and cash equivalents, beginning of year | 6,659 | 9,626 |
Exchange movement on opening cash balance | 48 | 18 |
Cash and cash equivalents, end of period | $5,517 | $9,324 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Mar. 31, 2014 | |
Basis of Presentation | ' |
TWENTY-FIRST CENTURY FOX, INC. | |
NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS | |
NOTE 1. BASIS OF PRESENTATION | |
Twenty-First Century Fox, Inc. (formerly known as News Corporation) and its subsidiaries (together, “Twenty-First Century Fox” or the “Company”) is a Delaware corporation. Twenty-First Century Fox is a diversified global media and entertainment company, which manages and reports its businesses in five segments: Cable Network Programming, Television, Filmed Entertainment, Direct Broadcast Satellite Television and Other, Corporate and Eliminations. | |
The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments consisting only of normal recurring adjustments necessary for a fair presentation have been reflected in these unaudited consolidated financial statements. Operating results for the interim periods presented are not necessarily indicative of the results that may be expected for the fiscal year ending June 30, 2014. | |
These interim unaudited consolidated financial statements and notes thereto should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013 as filed with the Securities and Exchange Commission (“SEC”) on August 19, 2013 (the “2013 Form 10-K”). | |
The consolidated financial statements include the accounts of Twenty-First Century Fox. Intercompany transactions and balances have been eliminated. Investments in which the Company exercises significant influence but does not exercise control and is not the primary beneficiary are accounted for using the equity method. Investments in which the Company is not able to exercise significant influence over the investee are designated as available-for-sale if readily determinable fair values are available. If an investment’s fair value is not readily determinable, the Company accounts for its investment under the cost method. | |
The preparation of the Company’s consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts that are reported in the consolidated financial statements and accompanying disclosures. Actual results could differ from those estimates. | |
On September 19, 2013, the Company changed its fiscal year from a 52-53 week fiscal year ending on the Sunday closest to June 30 to a fiscal year ending on June 30 of each year. The Company’s 2013 fiscal year ended on June 30, 2013. The Company made this change to better align its financial reporting with the media and entertainment assets retained following the separation of its business into two independent publicly traded companies (the “Separation”) by distributing to its stockholders all of the outstanding shares of the new News Corporation (“News Corp”) on June 28, 2013. (See Note 4 – Discontinued Operations) | |
Certain fiscal 2013 amounts have been reclassified to conform to the fiscal 2014 presentation. As a result of the Separation, News Corp has been classified as discontinued operations for all periods presented (See Note 4 – Discontinued Operations). Unless indicated otherwise, the information in the notes to the unaudited consolidated financial statements relate to the Company’s continuing operations. | |
Recently Adopted and Recently Issued Accounting Guidance | |
Adopted | |
In February 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU 2013-02”), which requires the Company to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, it requires the Company to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, the Company is required to cross-reference to other disclosures required under GAAP that provide additional detail about those amounts. ASU 2013-02 became effective for the Company for interim reporting periods beginning July 1, 2013. The adoption of ASU 2013-02 resulted in the disclosure of additional information within the notes to the consolidated financial statements. (See Note 12 – Stockholders’ Equity) | |
Issued | |
In March 2013, the FASB issued ASU 2013-05, “Foreign Currency Matters (Topic 830): Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity,” (“ASU 2013-05”). The objective of ASU 2013-05 is to resolve the diversity in practice regarding the release of the cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets or a business within a foreign entity. ASU 2013-05 is effective for the Company for interim reporting periods beginning July 1, 2014, however, early adoption is permitted. The Company is currently evaluating the impact ASU 2013-05 will have on its consolidated financial statements. | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360)” (“ASU 2014-08”). The amendments in ASU 2014-08 provide guidance for the recognition of discontinued operations, change the requirements for reporting discontinued operations in ASC 205-20, “Discontinued Operations” (“ASC 205-20”) and require additional disclosures about discontinued operations. ASU 2014-08 is effective for the Company for interim reporting periods beginning July 1, 2015, however, early adoption is permitted. The Company is currently evaluating the impact ASU 2014-08 will have on its consolidated financial statements. |
Variable_Interest_Entities
Variable Interest Entities | 9 Months Ended |
Mar. 31, 2014 | |
Variable Interest Entities | ' |
NOTE 2. VARIABLE INTEREST ENTITIES | |
The Company evaluates whether a Twenty-First Century Fox entity or interest is a variable interest entity (“VIE”) and whether the Company is the primary beneficiary. Consolidation is required if both of these criteria are met. | |
The Company owns an approximate 33% interest in Hulu LLC (“Hulu”). In October 2012, Hulu redeemed Providence Equity Partners’ equity interest for $200 million. In connection with the transaction, Hulu incurred a charge primarily related to employee equity-based compensation. Accordingly, the Company recorded approximately $60 million to reflect its share of the charge in the second quarter of fiscal 2013. The Company has guaranteed $115 million of Hulu’s $338 million five-year term loan which was used by Hulu, in part, to finance the transaction. The fair value of this guarantee was calculated using Level 3 inputs and was included in the consolidated balance sheets in Other liabilities. In July 2013, the Company invested an additional $125 million in Hulu and has committed to invest an additional $125 million in Hulu to maintain its ownership percentage of approximately 33%. | |
Hulu is considered a VIE. However, the Company is not the primary beneficiary. The Company’s risk of loss related to this investment is $115 million, the portion of Hulu’s debt that it guarantees. The Company will continue to account for its interest in Hulu as an equity method investment. |
Acquisitions_Disposals_and_Oth
Acquisitions, Disposals and Other Transactions | 9 Months Ended |
Mar. 31, 2014 | |
Acquisitions, Disposals and Other Transactions | ' |
NOTE 3. ACQUISITIONS, DISPOSALS AND OTHER TRANSACTIONS | |
During the nine months ended March 31, 2014 and fiscal year ended June 30, 2013, the Company completed a number of acquisitions as more fully described below. All of the Company’s acquisitions were accounted for under Accounting Standards Codification (“ASC”) 805, “Business Combinations” (“ASC 805”), which requires, among other things, that an acquirer (i) remeasure any previously held equity interest in an acquiree at its acquisition date fair value and recognize any resulting gains or losses in earnings and (ii) record any non-controlling interests in an acquiree at their acquisition date fair values. Accordingly, several of the transactions described below resulted in the recognition of remeasurement gains since the Company acquired control of an acquiree in stages. Further, other transactions described below involved the Company acquiring control with an ownership stake of less than 100%. In those instances, the allocation of the excess purchase price reflects 100% of the fair value of the acquiree with the non-controlling interests recorded at fair value. | |
The below acquisitions all support the Company’s strategic priority of increasing its brand presence and reach in key international and domestic markets, acquiring greater control of investments that complement its portfolio of businesses and creating new pay-TV sports franchises. For those acquisitions where the accounting for the business combination is based on provisional amounts and the allocation of the excess purchase price is not final, the amounts allocated to intangibles and goodwill, the estimates of useful lives and the related amortization expense are subject to change pending the completion of final valuations of certain assets and liabilities. A change in the purchase price allocations and any estimates of useful lives could result in a change in the value allocated to the intangible assets that could impact amortization expense. | |
Fiscal 2014 | |
Acquisitions | |
Latin America Pay Television | |
In September 2013, the Company acquired the 22% interest it did not already own in Latin America Pay Television (“LAPTV”), an entity that distributes premium and basic television channels in Latin America, for approximately $75 million in cash. As a result of this transaction, the Company now owns 100% of LAPTV. The transaction is accounted for as the purchase of subsidiary shares from noncontrolling interests. | |
Plazamedia | |
In December 2013, Sky Deutschland AG (“Sky Deutschland”), a majority-owned consolidated subsidiary of the Company, agreed to acquire from Constantin Medien AG, a 100% interest in the production company PLAZAMEDIA TV and Film Produktion GmbH (“Plazamedia”) as well as a 25.1% equity stake in Sport1 GmbH and Constantin Sport Marketing GmbH for €57.5 million (approximately $80 million), net of cash acquired. Plazamedia is an established full-service provider for television and new media as well as one of the leading producers of sports television in the German-speaking markets. This transaction will be financed under Sky Deutschland’s credit agreement, as amended. (See Note 10 – Borrowings) | |
Yankees Entertainment and Sports Network | |
In December 2012, the Company acquired a 49% equity interest in the Yankees Entertainment and Sports Network (“YES Network”), a Regional Sports Network (“RSN”) primarily broadcasting pre-season and regular season games for the New York Yankees and the Brooklyn Nets, for $584 million. Simultaneous with the closing of this transaction, the Company also paid approximately $250 million of upfront programming costs on behalf of the YES Network. The Company accounted for its investment in the YES Network under the equity method of accounting. The Company’s total investment of $834 million was allocated between tangible and intangible assets in accordance with ASC 323, “Investments – Equity Investments.” | |
On February 28, 2014, the Company acquired an additional 31% interest in the YES Network, increasing the Company’s ownership interest to 80%, for approximately $680 million, net of cash acquired, and subsequent to the acquisition, the Company has consolidated the balance sheet and operating results of the YES Network, including $1.7 billion in debt. The remaining 20% of the YES Network not owned by the Company has been recorded at fair value of approximately $385 million based on the Company’s provisional valuation of the YES Network business using a market approach (a Level 3 measurement as defined in Note 8 – Fair Value). The carrying amount of the Company’s previously held equity interest in the YES Network was revalued to its provisional fair value of approximately $860 million as of the acquisition date. The aggregate excess purchase price has been preliminarily allocated, based on a provisional valuation of 100% of the YES Network, as follows: approximately $1.9 billion to intangible assets consisting of Multiple-System Operator (“MSO”) agreements with useful lives of 20 years and advertiser relationships with useful lives of 6 years, and the indefinite-lived YES Network trade name; approximately $1.7 billion to debt; approximately $1.5 billion representing the goodwill on the transaction; and other net assets. The goodwill reflects the synergies and increased market penetration expected from combining the operations of the YES Network and the Company. Subsequent to the acquisition, the Company paid approximately $160 million of upfront programming costs on behalf of the YES Network. | |
Fiscal 2013 | |
Acquisitions | |
Eredivisie Media & Marketing | |
In November 2012, the Company acquired a controlling 51% ownership stake in Eredivisie Media & Marketing CV (“EMM”) for approximately $350 million, of which $325 million was cash and $25 million was contingent consideration. EMM is a media company that holds the collective media and sponsorship rights of the Dutch Premier League. The remaining 49% of EMM, which is owned by the Dutch Premier League and the global TV production company Endemol, has been recorded at its acquisition date fair value. The excess purchase price, based on a valuation of 100% of EMM, of approximately $670 million has been allocated as follows: $325 million to amortizable intangible assets, primarily customer relationships, with useful lives ranging from 6 to 20 years, and approximately $345 million representing the goodwill on the transaction. The goodwill reflects the synergies and increased market penetration expected from combining the operations of EMM and the Company. | |
Fox Sports Asia (formerly ESPN Star Sports) | |
In November 2012, the Company acquired the remaining 50% interest in ESPN Star Sports, now operating as Fox Sports Asia, that it did not already own for approximately $220 million, net of cash acquired. Fox Sports Asia is a leading sports broadcaster in Asia and the Company now, through its wholly owned subsidiaries, owns 100% of Fox Sports Asia. The carrying amount of the Company’s previously held equity interest in Fox Sports Asia was revalued to fair value as of the acquisition date, resulting in a non-taxable gain of $174 million which was included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2013. The aggregate excess purchase price of $1,030 million, including the revalued previously held investment of $280 million and contract-related liabilities of approximately $450 million, has been allocated as follows: $190 million to amortizable intangible assets, primarily MSO agreements, with useful lives ranging from 8 to 15 years, and approximately $840 million representing the goodwill on the transaction. The goodwill reflects the synergies and increased market penetration expected from combining the operations of Fox Sports Asia and the Company. | |
SportsTime Ohio | |
In December 2012, the Company acquired SportsTime Ohio, a RSN serving the Cleveland, Ohio market, for an estimated total purchase price, including post-closing costs, of approximately $285 million, of which $135 million was in cash. The balance of the purchase price represents the fair value of deferred payments and payments that are contingent upon achievement of certain performance objectives. The excess purchase price of approximately $275 million has been allocated as follows: $135 million to amortizable intangible assets, primarily MSO agreements, with useful lives ranging from 8 to 20 years, and approximately $140 million representing the goodwill on the transaction. The goodwill reflects the synergies and increased market penetration expected from combining the operations of the RSN and the Company. | |
Sky Deutschland | |
During the third quarter of fiscal 2013, the Company acquired, through a combination of a private placement and a rights offering, approximately 92 million additional shares of Sky Deutschland increasing the Company’s ownership interest to 55%. The remaining 45% of Sky Deutschland not owned by the Company has been recorded at fair value of approximately $2.3 billion, based on the closing price of its shares on the Frankfurt Stock Exchange on the date control was acquired (a Level 1 measurement as defined in Note 8 – Fair Value). The aggregate cost of shares acquired by the Company was approximately €410 million (approximately $550 million). The carrying amount of the Company’s previously held equity interest in Sky Deutschland was revalued to fair value as of the acquisition date, resulting in a gain of approximately $2.1 billion which was included in Other, net in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2013. The aggregate excess purchase price has been allocated as follows: approximately $1.7 billion to intangible assets, primarily consisting of subscriber relationships, with a useful life of 11 years, and the indefinite-lived Sky trade name, approximately $4.3 billion representing the goodwill on the transaction and the related deferred tax liabilities. As of result of these transactions, the Company has the power to control Sky Deutschland and the results of Sky Deutschland were included in the Company’s consolidated results of operations beginning in January 2013. Prior to the acquisition of the additional 5% ownership interest, the Company accounted for its investment in Sky Deutschland under the equity method of accounting and the Company’s investment consisted of common stock, convertible bonds and loans. | |
The Company has guaranteed Sky Deutschland’s €300 million (approximately $415 million) five-year bank credit facility, of which €225 million (approximately $310 million) has been utilized and is included in Borrowings. In connection with the consolidation of Sky Deutschland, the Company assumed approximately $480 million in bank debt, which Sky Deutschland repaid in full during the third quarter of fiscal 2013. Additionally, the Company is the guarantor to the German Football League for Sky Deutschland’s Bundesliga broadcasting license for the 2013-2014 to 2016-2017 seasons in an amount up to 50% of the license fee per season and the Company has also agreed to extend the maturity of existing shareholder loans that were issued before it became a consolidated subsidiary. | |
In January 2011, the Company purchased a convertible bond from Sky Deutschland for approximately $225 million. The Company currently has the right to convert the bonds into 53.9 million underlying Sky Deutschland shares, subject to certain black-out periods. If not converted, the Company will redeem the bonds for cash upon their maturity in January 2015. The convertible bonds were separated into their host and derivative financial instrument components. Prior to Sky Deutschland becoming a consolidated subsidiary, both the host and derivative financial instrument components were recorded at their estimated fair value in Investments in the consolidated balance sheets. The change in estimated fair value of the derivative instrument resulted in a gain of $58 million which was recorded in Other, net in the Company’s unaudited consolidated statements of operations for the nine months ended March 31, 2013. Subsequent to becoming a consolidated subsidiary, the convertible loan was effectively settled as a pre-existing relationship under the provisions of ASC 805-10-25-21 with the carrying amount of the asset for the derivative component written off as a settlement loss which was included in Other, net in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2013. | |
Other | |
In May 2012, the Company renewed its existing FOX affiliation agreement with a major FOX affiliate group (“Network Affiliate”). As part of the transaction, the Company received cash consideration of $50 million and the Network Affiliate had an option to buy the Company’s Baltimore station. Network Affiliate exercised its option to purchase the Baltimore television station and the Company recognized a loss on the transaction, of which $92 million was included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2013. The Company is amortizing the $50 million received from the Network Affiliate over the term of the affiliation agreement. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Discontinued Operations | ' | |||||||||||||||
NOTE 4. DISCONTINUED OPERATIONS | ||||||||||||||||
Separation of News Corp | ||||||||||||||||
On June 28, 2013, the Company completed the Separation of its business into two independent publicly traded companies by distributing to its stockholders all of the outstanding shares of News Corp. The Company retained its interests in a global portfolio of media and entertainment assets spanning six continents. News Corp holds the Company’s former businesses including newspapers, information services and integrated marketing services, digital real estate services, book publishing, digital education and sports programming and pay-TV distribution in Australia. The Company completed the Separation by distributing to its stockholders one share of News Corp Class A common stock for every four shares of the Company’s Class A common stock held on June 21, 2013, and one share of News Corp Class B common stock for every four shares of the Company’s Class B common stock held on June 21, 2013. The Company’s stockholders received cash in lieu of fractional shares. Following the Separation, the Company does not beneficially own any shares of News Corp Class A common stock or News Corp Class B common stock. | ||||||||||||||||
Effective June 28, 2013, the Separation qualified for discontinued operations treatment in accordance with ASC 205-20, and accordingly the Company deconsolidated News Corp’s balance sheet as of June 30, 2013, and presented its results for the three and nine months ended March 31, 2013 as discontinued operations on the unaudited consolidated statements of operations and as discontinued operations on the unaudited consolidated statements of cash flows for the nine months ended March 31, 2013. The footnotes to the financial statements have also been revised accordingly. | ||||||||||||||||
The Company entered into a separation and distribution agreement with News Corp (“Separation and Distribution Agreement”) pursuant to which the Company agreed to provide a cash contribution to News Corp immediately prior to the Separation, so that as of the Separation, News Corp would have approximately $2.6 billion of cash on hand. Accordingly, immediately prior to the Separation, the Company distributed approximately $2.4 billion to News Corp, which was comprised of $1.6 billion in cash funding and approximately $800 million that was held by News Corp’s subsidiaries immediately prior to the Separation. The Company made a final cash distribution of $217 million in September 2013, pursuant to the Separation and Distribution Agreement. | ||||||||||||||||
Separation and Distribution Agreement | ||||||||||||||||
The Separation and Distribution Agreement sets forth, among other things, the parties’ agreements regarding the principal transactions necessary to effect the Separation. | ||||||||||||||||
The Separation and Distribution Agreement provides for the transfers of entities and their related assets and liabilities so that as of the Separation, the Company and News Corp each consists of the entities associated with the businesses described above. The Separation and Distribution Agreement also provides that the Company will indemnify News Corp, on an after-tax basis, for payments made after the Separation arising out of civil claims and investigations relating to the U.K. Newspaper Matters (as defined below), as well as legal and professional fees and expenses paid in connection with the related criminal matters, other than fees, expenses and costs relating to employees who are not (i) directors, officers or certain designated employees or (ii) with respect to civil matters, co-defendants with News Corp. U.K. Newspaper Matters refers to ongoing investigations by U.K. and U.S. regulators and governmental authorities relating to phone hacking, illegal data access and inappropriate payments to public officials at The News of the World and The Sun and related matters. In addition, the Separation and Distribution Agreement governs the Company’s and News Corp’s agreements with regard to each party’s ability to comply with certain statutes or rules and regulations promulgated by the Federal Communications Commission. (See Note 14 – Commitments and Contingencies) | ||||||||||||||||
Tax Sharing and Indemnification Agreement | ||||||||||||||||
The Company entered into a tax sharing and indemnification agreement with News Corp that governs the Company’s and News Corp’s respective rights, responsibilities and obligations with respect to tax liabilities and benefits, tax attributes, tax contests and other matters regarding income taxes, non-income taxes and related tax returns. Under the tax sharing and indemnification agreement, News Corp will generally indemnify the Company against taxes attributable to News Corp’s assets or operations for all tax periods or portions thereof after the Separation. For taxable periods or portions thereof prior to the Separation, the Company will generally indemnify News Corp against U.S. consolidated and combined taxes attributable to such periods, and News Corp will indemnify the Company against News Corp’s separately filed U.S. state and foreign taxes and foreign consolidated and combined taxes for such periods. The tax sharing and indemnification agreement also provides that the proceeds, if any, from the refunds of certain foreign taxes (plus interest) of a subsidiary of News Corp that were claimed prior to the Separation are to be paid to the Company, net of certain taxes. | ||||||||||||||||
A subsidiary of News Corp, prior to the Separation, had filed refunds to claim certain losses in a foreign jurisdiction. At June 30, 2013, News Corp did not recognize an asset for the claims since such amounts were being disputed by the foreign tax authority and the resolution was not determinable at that time. During the nine months ended March 31, 2014, the foreign jurisdiction notified News Corp that it had accepted its claims and would refund the taxes plus interest to News Corp. As of March 31, 2014, the net amount that the Company has received, pursuant to the tax sharing and indemnification agreement with News Corp, is approximately $720 million, which has been included in (Loss) income from discontinued operations, net of tax, in the unaudited consolidated statement of operations. | ||||||||||||||||
Employee Matters Agreement | ||||||||||||||||
The Company entered into an employee matters agreement that governs the Company’s and News Corp’s obligations with respect to employment, compensation, benefits and other related matters for employees of certain of News Corp’s U.S.-based businesses (the “Employee Matters Agreement”). In general, the Employee Matters Agreement addresses matters relating to employees transferring to News Corp’s U.S. businesses and former News Corp employees of those businesses that participated in the Company’s retirement plans (including postretirement benefits) and welfare programs, which were retained by the Company following the distribution. The Employee Matters Agreement also addresses equity compensation matters relating to employees of both companies. | ||||||||||||||||
Summarized Financial Information | ||||||||||||||||
Revenues and (Loss) income from discontinued operations related to News Corp were as follows: | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions, except per share data) | ||||||||||||||||
Revenues | $ | - | $ | 2,185 | $ | - | $ | 6,636 | ||||||||
(Loss) income before income tax (expense) benefit(a) | $ | (16 | ) | $ | 363 | $ | 696 | $ | 1,668 | |||||||
Income tax (expense) benefit | $ | - | $ | (13 | ) | $ | - | $ | 35 | |||||||
(Loss) income from discontinued operations, net of tax | $ | (16 | ) | $ | 321 | $ | 696 | $ | 1,625 | |||||||
Basic EPS from discontinued operations | $ | (0.01 | ) | $ | 0.14 | $ | 0.31 | $ | 0.69 | |||||||
Diluted EPS from discontinued operations | $ | (0.01 | ) | $ | 0.14 | $ | 0.3 | $ | 0.69 | |||||||
(a) | Includes the net tax refund from News Corp, as stated above, for the nine months ended March 31, 2014 of approximately $720 million. | |||||||||||||||
Cash flows from discontinued operations related to News Corp were as follows: | ||||||||||||||||
For the nine months ended | ||||||||||||||||
March 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
(in millions) | ||||||||||||||||
Net cash provided by operating activities from discontinued operations | $ | 608 | $ | 379 | ||||||||||||
Net cash used in investing activities from discontinued operations | - | (1,692 | ) | |||||||||||||
Net cash used in financing activities from discontinued operations | - | (264 | ) | |||||||||||||
Net increase (decrease) in cash and cash equivalents from discontinued operations | $ | 608 | $ | (1,577 | ) | |||||||||||
Receivables_Net
Receivables, Net | 9 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Receivables, Net | ' | |||||||
NOTE 5. RECEIVABLES, NET | ||||||||
Receivables are presented net of an allowance for returns and doubtful accounts, which is an estimate of amounts that may not be collectible. In determining the allowance for returns, management analyzes historical returns, current economic trends and changes in customer demand and acceptance of the Company’s products. Based on this information, management reserves a percentage of each dollar of product sales that provide the customer with the right of return. The allowance for doubtful accounts is estimated based on historical experience, receivable aging, current economic trends and specific identification of certain receivables that are at risk of not being paid. | ||||||||
The Company has receivables with original maturities greater than one year in duration principally related to the Company’s sale of program rights in the television syndication markets within the Filmed Entertainment segment. Allowances for credit losses are established against these non-current receivables as necessary. As of March 31, 2014 and June 30, 2013, these allowances were not material. | ||||||||
Receivables, net consisted of: | ||||||||
As of | As of | |||||||
March 31, | June 30, | |||||||
2014 | 2013 | |||||||
(in millions) | ||||||||
Total receivables | $ | 7,810 | $ | 6,795 | ||||
Allowances for returns and doubtful accounts | (1,040 | ) | (899 | ) | ||||
Total receivables, net | 6,770 | 5,896 | ||||||
Less: current receivables, net | (6,314 | ) | (5,459 | ) | ||||
Non-current receivables, net | $ | 456 | $ | 437 | ||||
Inventories
Inventories | 9 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventories | ' | |||||||
NOTE 6. INVENTORIES | ||||||||
The Company’s inventories were comprised of the following: | ||||||||
As of | As of | |||||||
March 31, | June 30, | |||||||
2014 | 2013 | |||||||
(in millions) | ||||||||
Programming rights | $ | 6,052 | $ | 4,996 | ||||
DVDs, Blu-rays, and other merchandise | 82 | 69 | ||||||
Filmed entertainment costs: | ||||||||
Films: | ||||||||
Released | 971 | 806 | ||||||
Completed, not released | 112 | 10 | ||||||
In production | 1,129 | 958 | ||||||
In development or preproduction | 205 | 193 | ||||||
2,417 | 1,967 | |||||||
Television productions: | ||||||||
Released | 764 | 696 | ||||||
In production | 610 | 425 | ||||||
In development or preproduction | 3 | 2 | ||||||
1,377 | 1,123 | |||||||
Total filmed entertainment costs, less accumulated amortization(a) | 3,794 | 3,090 | ||||||
Total inventories, net | 9,928 | 8,155 | ||||||
Less: current portion of inventories, net(b) | (3,387 | ) | (2,784 | ) | ||||
Total non-current inventories, net | $ | 6,541 | $ | 5,371 | ||||
(a) | Does not include $343 million and $366 million of net intangible film library costs as of March 31, 2014 and June 30, 2013, respectively, which are included in intangible assets subject to amortization in the consolidated balance sheets. | |||||||
(b) | Current portion of inventories as of March 31, 2014 and June 30, 2013 was comprised of programming rights ($3,305 million and $2,715 million, respectively), DVDs, Blu-rays, and other merchandise. |
Investments
Investments | 9 Months Ended | |||||||||||||
Mar. 31, 2014 | ||||||||||||||
Investments | ' | |||||||||||||
NOTE 7. INVESTMENTS | ||||||||||||||
The Company’s investments were comprised of the following: | ||||||||||||||
Ownership | As of | As of | ||||||||||||
percentage | March 31, | June 30, | ||||||||||||
As of | 2014 | 2013 | ||||||||||||
March 31, | ||||||||||||||
2014 | ||||||||||||||
(in millions) | ||||||||||||||
Equity method investments: | ||||||||||||||
British Sky Broadcasting Group plc(a) | U.K. DBS operator | 39% | $ | 2,311 | $ | 1,978 | ||||||||
Yankees Entertainment and Sports Network(b) | Regional sports network | 80% | - | 825 | ||||||||||
Other equity method investments | various | 368 | 386 | |||||||||||
Fair value of available-for-sale investments | various | 47 | 268 | |||||||||||
Other investments | various | 182 | 247 | |||||||||||
Total investments | $ | 2,908 | $ | 3,704 | ||||||||||
(a) | The Company’s investment in British Sky Broadcasting Group plc (“BSkyB”) had a market value of $9,364 million at March 31, 2014 and was valued using the quoted market price on the London Stock Exchange (a Level 1 measurement as described in Note 8 – Fair Value). | |||||||||||||
(b) | See Note 3 – Acquisitions, Disposals and Other Transactions. | |||||||||||||
BSkyB | ||||||||||||||
BSkyB’s shareholders and board of directors have authorized a share repurchase program. The Company entered into an agreement with BSkyB under which, following any market purchases of shares by BSkyB, the Company will sell to BSkyB sufficient shares to maintain its approximate 39% interest subsequent to those market purchases, for a price equal to the price paid by BSkyB in respect of the relevant market purchases. BSkyB began repurchasing shares as part of this share repurchase program during the second quarter of fiscal 2012. As a result, the Company received cash considerations of $35 million and $14 million during the three months ended March 31, 2014 and 2013, respectively, and of $107 million and $272 million during the nine months ended March 31, 2014 and 2013, respectively. The Company recognized gains of $28 million and $11 million during the three months ended March 31, 2014 and 2013, respectively, and of $84 million and $217 million during the nine months ended March 31, 2014 and 2013, respectively, which were included in Equity earnings of affiliates in the Company’s unaudited consolidated statements of operations. | ||||||||||||||
NDS | ||||||||||||||
In July 2012, the Company sold its 49% investment in NDS Group Limited (“NDS”) to Cisco Systems Inc. for approximately $1.9 billion, of which approximately $60 million was set aside in escrow to satisfy any indemnification obligations. The Company recorded a gain of approximately $1.4 billion on this transaction which was included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2013. | ||||||||||||||
During the third quarter of fiscal 2014, upon the resolution of the indemnification obligations, the escrow was released. The Company received approximately $30 million of the amount set aside in escrow and has recorded a charge for the remaining amount. The charge is included in Other, net in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014. | ||||||||||||||
Other | ||||||||||||||
In January 2014, the Company agreed to sell its 47% interest in CMC-News Asia Holdings Limited, which has a carrying value of approximately $80 million. The Company expects this transaction to close in the fourth quarter of fiscal 2014 and expects to record a gain on the sale. | ||||||||||||||
In March 2013, the Company sold a portion of its interest in Phoenix Satellite Television Holdings Ltd. (“Phoenix”), for approximately $90 million in cash, decreasing its ownership interest to 12% from 18% at June 30, 2012. The Company recorded a gain of approximately $81 million on this transaction which was included in Other, net in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2013. In November 2013, the Company sold its remaining 12% interest in Phoenix for approximately $210 million. The Company recorded a gain of $199 million on this transaction which was included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. | ||||||||||||||
Fair value of available-for-sale investments | ||||||||||||||
The cost basis, unrealized gains, unrealized losses and fair market value of available-for-sale investments are set forth below: | ||||||||||||||
As of | As of | |||||||||||||
March 31, | June 30, | |||||||||||||
2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||
Cost basis of available-for-sale investments | $ | 21 | $ | 36 | ||||||||||
Accumulated gross unrealized gain(a) | 26 | 232 | ||||||||||||
Fair value of available-for-sale investments | $ | 47 | $ | 268 | ||||||||||
Net deferred tax liability | $ | 9 | $ | 81 | ||||||||||
(a) | Approximately $200 million of the unrealized gain as of June 30, 2013 relates to the Company’s investment in Phoenix which was sold in November 2013 and recognized in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. | |||||||||||||
Fair_Value
Fair Value | 9 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Fair Value | ' | ||||||||||||||||
NOTE 8. FAIR VALUE | |||||||||||||||||
In accordance with ASC 820, “Fair Value Measurement,” fair value measurements are required to be disclosed using a three-tiered fair value hierarchy which distinguishes market participant assumptions into the following categories: (i) inputs that are quoted prices in active markets (“Level 1”); (ii) inputs other than quoted prices included within Level 1 that are observable, including quoted prices for similar assets or liabilities (“Level 2”); and (iii) inputs that require the entity to use its own assumptions about market participant assumptions (“Level 3”). | |||||||||||||||||
The tables below present information about financial assets and liabilities carried at fair value on a recurring basis: | |||||||||||||||||
Fair value measurements | |||||||||||||||||
As of March 31, 2014 | |||||||||||||||||
Description | Total | Quoted prices in | Significant | Significant | |||||||||||||
active markets for | other | unobservable | |||||||||||||||
identical instruments | observable | inputs | |||||||||||||||
(Level 1) | inputs | (Level 3) | |||||||||||||||
(Level 2) | |||||||||||||||||
(in millions) | |||||||||||||||||
Assets | |||||||||||||||||
Available-for-sale securities(a) | $ | 47 | $ | 47 | $ | - | $ | - | |||||||||
Liabilities | |||||||||||||||||
Derivatives(b) | (18 | ) | - | (18 | ) | - | |||||||||||
Redeemable noncontrolling interests(c) | (534 | ) | - | - | (534 | ) | |||||||||||
Total | $ | (505 | ) | $ | 47 | $ | (18 | ) | $ | (534 | ) | ||||||
As of June 30, 2013 | |||||||||||||||||
Description | Total | Quoted prices in | Significant | Significant | |||||||||||||
active markets for | other | unobservable | |||||||||||||||
identical instruments | observable | inputs | |||||||||||||||
(Level 1) | |||||||||||||||||
inputs | (Level 3) | ||||||||||||||||
(Level 2) | |||||||||||||||||
(in millions) | |||||||||||||||||
Assets | |||||||||||||||||
Available-for-sale securities(a) | $ | 268 | $ | 268 | $ | - | $ | - | |||||||||
Derivatives(b) | 3 | - | 3 | - | |||||||||||||
Redeemable noncontrolling interests(c) | (519 | ) | - | - | (519 | ) | |||||||||||
Total | $ | (248 | ) | $ | 268 | $ | 3 | $ | (519 | ) | |||||||
(a) | See Note 7 – Investments. | ||||||||||||||||
(b) | Primarily represents derivatives associated with the Company’s foreign currency forward and interest rate swap contracts designated as cash flow hedges. | ||||||||||||||||
(c) | The Company accounts for redeemable noncontrolling interests in accordance with ASC 480-10-S99-3A because their exercise is outside the control of the Company and, accordingly, as of March 31, 2014 and June 30, 2013, has included the fair value of the redeemable noncontrolling interests in the consolidated balance sheets. The redeemable noncontrolling interests recorded at fair value are put arrangements held by the noncontrolling interests in certain of the Company’s majority-owned sports networks. | ||||||||||||||||
The Company utilizes the market, income or cost approaches or a combination of these valuation techniques for its Level 3 fair value measures. Inputs to such measures could include observable market data obtained from independent sources such as broker quotes and recent market transactions for similar assets. It is the Company’s policy to maximize the use of observable inputs in the measurement of its Level 3 fair value measurements. To the extent observable inputs are not available, the Company utilizes unobservable inputs based upon the assumptions market participants would use in valuing the asset. Examples of utilized unobservable inputs are future cash flows, long term growth rates and applicable discount rates. | |||||||||||||||||
Significant unobservable inputs used in the fair value measurement of the Company’s redeemable noncontrolling interests are earnings before interest, taxes, depreciation and amortization (“OIBDA”) growth rates (3% - 7% range) and discount rates (8%). Significant increases (decreases) in growth rates and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in growth rates and multiples, would result in a significantly higher (lower) fair value measurement. | |||||||||||||||||
The fair value of the redeemable noncontrolling interests in two of the sports networks were primarily determined by (i) applying a multiples-based formula that is intended to approximate fair value for one of the sports networks and (ii) using a discounted OIBDA valuation model, assuming a 8% discount rate for another sports network. As of March 31, 2014, one of the minority shareholder’s put right is currently exercisable and another minority shareholder’s put right will become exercisable in March 2015. | |||||||||||||||||
The remaining redeemable noncontrolling interest is currently not exercisable and is not material. | |||||||||||||||||
The changes in redeemable noncontrolling interests classified as Level 3 measurements were as follows: | |||||||||||||||||
For the nine months ended | |||||||||||||||||
March 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||
Beginning of period | $ | (519 | ) | $ | (641 | ) | |||||||||||
Net income attributable to redeemable noncontrolling interests | (74 | ) | (74 | ) | |||||||||||||
Distributions and other | 59 | 70 | |||||||||||||||
End of period | $ | (534 | ) | $ | (645 | ) | |||||||||||
Financial Instruments | |||||||||||||||||
The carrying value of the Company’s financial instruments, including cash and cash equivalents, receivables, payables and cost method investments, approximates fair value. | |||||||||||||||||
The aggregate fair value of the Company’s borrowings at March 31, 2014 was $22,109 million compared with a carrying value of $19,054 million and, at June 30, 2013, was $18,756 million compared with a carrying value of $16,458 million. Fair value is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market (a Level 1 measurement). | |||||||||||||||||
Foreign Currency Forward Contracts | |||||||||||||||||
The Company uses financial instruments primarily to hedge certain exposures to foreign currency exchange risks associated with the cost of producing or acquiring films and television programming. The Company’s foreign currency forward contracts are valued using an income approach based on the present value of the forward rate less the contract rate multiplied by the notional amount. The notional amount of foreign currency forward contracts designated as cash flow hedges with foreign currency risk outstanding at March 31, 2014 and June 30, 2013 were $410 million and $578 million, respectively. As of March 31, 2014, the fair value of the foreign currency forward contracts designated as cash flow hedges of $(10) million were recorded along with the underlying hedged balances. The notional amount of foreign currency forward contracts, not designated as cash flow hedges, but used as economic hedges with foreign currency risk outstanding at March 31, 2014 and June 30, 2013 were $318 million and $128 million, respectively. As of March 31, 2014, the fair value of the foreign currency forward contracts used as economic hedges of $(3) million were recorded along with the underlying hedged balances. For the three and nine months ended March 31, 2014, the changes in the fair values of foreign currency forward contracts that are not designated as cash flow hedges were not material. These changes were recorded in earnings each period and are presented net within Other in the table below. | |||||||||||||||||
Interest Rate Swap Contracts | |||||||||||||||||
The Company uses financial instruments to hedge certain exposures to interest rate risks associated with certain borrowings. The Company’s interest rate swap contracts are valued using an income approach. The notional amount of interest rate swap contracts outstanding at March 31, 2014 and June 30, 2013 were $584 million and nil. As of March 31, 2014, approximately $310 million of the total notional amount of interest rate swap contracts outstanding were designated as cash flow hedges. The fair value of the interest rate swap contracts as of March 31, 2014 was approximately $(5) million and was recorded along with the underlying hedged balances. The changes in the fair values of the interest rate swap contracts for the three and nine months ended March 31, 2014 were not material. For designated cash flow hedges and economic hedges, these changes were recorded in each period in accumulated other comprehensive income and earnings, respectively, and are presented net in the table below. | |||||||||||||||||
The following table shows the changes in fair value of derivatives designated as cash flow hedges and other derivatives: | |||||||||||||||||
For the three months ended | |||||||||||||||||
March 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||
Beginning of period | $ | (19 | ) | $ | (3 | ) | |||||||||||
Changes in fair value recorded in accumulated other comprehensive (loss) income, net of | (5 | ) | 6 | ||||||||||||||
settlements | |||||||||||||||||
Reclassified losses from accumulated other comprehensive income to net income | 6 | 1 | |||||||||||||||
Other | - | (13 | ) | ||||||||||||||
End of period | $ | (18 | ) | $ | (9 | ) | |||||||||||
For the nine months ended | |||||||||||||||||
March 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||
Beginning of period | $ | 3 | $ | 17 | |||||||||||||
Changes in fair value recorded in accumulated other comprehensive loss, net of settlements | (26 | ) | - | ||||||||||||||
Reclassified losses (gains) from accumulated other comprehensive income to net income | 10 | (13 | ) | ||||||||||||||
Other | (5 | ) | (13 | ) | |||||||||||||
End of period | $ | (18 | ) | $ | (9 | ) | |||||||||||
The effective changes in the fair values of derivative contracts designated as cash flow hedges are reclassified from accumulated other comprehensive income to net income when the underlying hedged item is recognized in earnings. The Company expects to reclassify the cumulative changes in fair values of the foreign currency forward contracts, included in accumulated other comprehensive income, within the next 24 months. For interest rate swaps, the Company expects to reclassify changes in fair values included in accumulated other comprehensive income to earnings during the relevant period as interest payments are made until the expiration of the swap contracts occurs at various dates until fiscal 2017. Cash flows from the settlement of these derivative contracts offset cash flows from the underlying hedged item and are included in operating activities in the unaudited consolidated statement of cash flows. | |||||||||||||||||
Concentrations of Credit Risk | |||||||||||||||||
Cash and cash equivalents are maintained with several financial institutions. The Company has deposits held with banks that exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions of reputable credit and, therefore, bear minimal credit risk. | |||||||||||||||||
The Company’s receivables did not represent significant concentrations of credit risk as of March 31, 2014 or June 30, 2013 due to the wide variety of customers, markets and geographic areas to which the Company’s products and services are sold. | |||||||||||||||||
The Company monitors its positions with, and the credit quality of, the financial institutions which are counterparties to its financial instruments. The Company is exposed to credit loss in the event of nonperformance by the counterparties to the agreements. At March 31, 2014, the Company did not anticipate nonperformance by any of the counterparties. |
Goodwill
Goodwill | 9 Months Ended | |||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||
Goodwill | ' | |||||||||||||||||||||||
NOTE 9. GOODWILL | ||||||||||||||||||||||||
The changes in the carrying value of goodwill, by segment, are as follows: | ||||||||||||||||||||||||
Cable Network | Television | Filmed | Direct Broadcast | Other, Corporate and Eliminations | Total Goodwill | |||||||||||||||||||
Programming | Entertainment | Satellite | ||||||||||||||||||||||
Television | ||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Balance, June 30, 2013 | $ | 7,753 | $ | 1,882 | $ | 1,537 | $ | 6,052 | $ | 31 | $ | 17,255 | ||||||||||||
Acquisitions | 1,489 | - | - | - | - | 1,489 | ||||||||||||||||||
Foreign exchange movements | - | - | 44 | 310 | - | 354 | ||||||||||||||||||
Adjustments | 159 | - | - | (1,339 | ) | - | (1,180 | ) | ||||||||||||||||
Balance, March 31, 2014 | $ | 9,401 | $ | 1,882 | $ | 1,581 | $ | 5,023 | $ | 31 | $ | 17,918 | ||||||||||||
The increase in the carrying value of the Cable Network Programming segment goodwill during the nine months ended March 31, 2014 was attributable to the preliminary allocation of the excess purchase price related to the acquisition of the majority interest in the YES Network in February 2014 (See Note 3 – Acquisitions, Disposals and Other Transactions) and the finalization of the allocation of excess purchase price related to Fox Sports Asia. The decrease in the carrying value of Direct Broadcast Satellite Television segment goodwill during the nine months ended March 31, 2014 was primarily due to the finalization of the allocation of excess purchase price from goodwill to acquired identifiable intangible assets of approximately $1.7 billion partially offset by deferred tax liabilities of approximately $0.4 billion in connection with the consolidation of Sky Deutschland. |
Borrowings
Borrowings | 9 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Borrowings | ' | |||||||
NOTE 10. BORROWINGS | ||||||||
Senior Notes Issued | ||||||||
In September 2013, 21st Century Fox America, Inc. (formerly known as News America Incorporated) (“21CFA”), a wholly-owned subsidiary of the Company, issued $300 million of 4.00% Senior Notes due 2023 and $700 million of 5.40% Senior Notes due 2043. The net proceeds of approximately $987 million were used for general corporate purposes. | ||||||||
In September 2012, 21CFA issued $1.0 billion of 3.00% Senior Notes due 2022. The net proceeds of approximately $987 million were used for general corporate purposes. | ||||||||
Senior Notes Due | ||||||||
In February 2014, the Company retired A$150 million ($134 million) of 8.625% Senior Notes. | ||||||||
Included in Borrowings within Current liabilities as of March 31, 2014 was 5.30% Senior Notes of $750 million that are due in December 2014. | ||||||||
YES Network Debt | ||||||||
The Company acquired the majority interest in the YES Network in February 2014 (See Note 3 – Acquisitions, Disposals and Other Transactions). In connection with the acquisition, the Company consolidated the YES Network’s debt, which, on preliminary allocation of the purchase price, had an estimated fair value of $1.7 billion as of the acquisition date, consisting of $1.1 billion outstanding under a credit agreement and approximately $605 million of Senior Subordinated Notes due June 2018. No changes were made to the terms and conditions of the debt. | ||||||||
The carrying value of the YES Network’s debt, as of March 31, 2014, is comprised of the following: | ||||||||
Maturity Date | As of | |||||||
March 31, | ||||||||
2014 | ||||||||
(in millions) | ||||||||
Credit agreement:(a) | ||||||||
Term loan | Dec-17 | $ | 1,085 | |||||
Revolving credit facility | Dec-17 | 27 | ||||||
Total credit agreement | 1,112 | |||||||
Senior subordinated notes(b) | Jun-18 | 603 | ||||||
Total YES Network debt | 1,715 | |||||||
Less: current borrowings | (47 | ) | ||||||
Noncurrent borrowings | $ | 1,668 | ||||||
(a) | The credit agreement provides a term loan and a $305 million secured revolving credit facility with a sub-limit available for the issuance of letters of credit. | |||||||
The material terms of the credit agreement include various financial and restrictive covenants. The credit agreement is collateralized by a substantial portion of the real and personal property assets of the YES Network. | ||||||||
At the election of YES Network, the credit agreement bears interest at (i) one, two, three or six month LIBOR plus the applicable LIBOR margin, or (ii) the Base Rate plus a Base Rate margin; margins reset quarterly based on the specified leverage ratio of YES Network. YES Network pays a facility fee of 0.50%. | ||||||||
Principal payments with respect to the term loan are required quarterly. The payments for each of the succeeding five fiscal years are as follows: 2014 – $19 million; 2015 – $49 million; 2016 – $84 million; 2017 – $99 million; and 2018 – $834 million. Additionally, an annual excess cash flow payment is required as mandatory prepayment of future amortization obligations, subject to certain leverage ratio conditions. | ||||||||
The credit agreement also provides for the establishment of additional credit facilities provided certain terms and provisions are met. | ||||||||
(b) | The Senior Subordinated Notes were issued in June 2008 with a principal amount of $525 million pursuant to an indenture agreement and note purchase agreement. These notes are direct unsecured obligations of the YES Network and rank pari passu with all other unsecured indebtedness of the YES Network. Redemption may occur after a specified date, in whole or in part, at the option of the Company, at the principal plus any redemption fees, otherwise the principal amount is due at maturity. These agreements contain various customary affirmative and negative covenants. On acquisition of the majority interest in the YES Network, the Company recorded a preliminary fair value adjustment to increase the carrying value of the Senior Subordinated Notes to the acquisition date fair value of approximately $605 million yielding an effective interest rate of 5.75%. The adjustment is being amortized as a reduction of interest expense over the remaining term of the obligation. | |||||||
Other | ||||||||
In January 2013, Sky Deutschland, a majority owned subsidiary of the Company, entered into a credit agreement, with major financial institutions, that 21CFA and the Company have both guaranteed. The credit agreement provides a €300 million unsecured credit facility with a sub-limit of €75 million revolving credit facility available for cash drawdowns or the issuance of letters of credit and a maturity date of February 2018. Sky Deutschland may request that the maturity date be extended for one year. The material terms of the agreement include limitations on liens and indebtedness. Fees under the credit agreement are based on the Company’s long-term senior unsecured non-credit enhanced debt ratings. Given the current debt ratings of the Company, Sky Deutschland pays a facility fee of 0.125% and interest of Eurocurrency Rate plus 1.125%. As of March 31, 2014, €225 million (approximately $310 million) was outstanding under this credit agreement and €73 million was available for either additional financing or letters of credit. The proceeds were used to repay existing Sky Deutschland debt. | ||||||||
In April 2014, Sky Deutschland amended its credit agreement to increase the size of its revolving credit facility by €78.5 million, which currently remains unused. Sky Deutschland intends to utilize the funds from this amendment to finance the acquisition of Plazamedia at the closing date of the transaction. If the Plazamedia transaction is not finalized, this amendment to the credit agreement will be rescinded. The amendment did not materially change the terms of the original credit facility entered into in January 2013. |
Film_Production_Financing
Film Production Financing | 9 Months Ended |
Mar. 31, 2014 | |
Film Production Financing | ' |
NOTE 11. FILM PRODUCTION FINANCING | |
The Company enters into arrangements with third parties to co-produce certain of its theatrical productions. These arrangements, which are referred to as co-financing arrangements, take various forms. The parties to these arrangements include studio and non-studio entities both domestic and international. In several of these agreements, other parties control certain distribution rights. The Filmed Entertainment segment records the amounts received for the sale of an economic interest as a reduction of the cost of the film, as the investor assumes full risk for that portion of the film asset acquired in these transactions. The substance of these arrangements is that the third-party investors own an interest in the film and, therefore, receive a participation based on the third-party investor’s contractual interest in the profits or losses incurred on the film. Consistent with the requirements of ASC 926 “Entertainment – Films” (“ASC 926”), the estimate of the third-party investor’s interest in profits or losses on the film is based on total estimated ultimate revenues. |
Stockholders_Equity
Stockholders' Equity | 9 Months Ended | |||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||
Stockholders' Equity | ' | |||||||||||||||||||||||
NOTE 12. STOCKHOLDERS’ EQUITY | ||||||||||||||||||||||||
The following table summarizes changes in equity: | ||||||||||||||||||||||||
For the three months ended March 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Twenty-First | Twenty-First | |||||||||||||||||||||||
Century Fox | Noncontrolling | Total | Century Fox | Noncontrolling | Total | |||||||||||||||||||
stockholders | interests | equity | stockholders | interests | equity | |||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Balance, beginning of period | $ | 17,649 | $ | 3,151 | $ | 20,800 | $ | 28,152 | $ | 853 | $ | 29,005 | ||||||||||||
Net income | 1,053 | (6 | ) | (a) | 1,047 | 2,854 | 29 | (a) | 2,883 | |||||||||||||||
Other comprehensive income (loss) | 32 | 4 | 36 | (447 | ) | - | (447 | ) | ||||||||||||||||
Cancellation of shares, net | (1,013 | ) | - | (1,013 | ) | (361 | ) | - | (361 | ) | ||||||||||||||
Dividends declared | (281 | ) | - | (281 | ) | (197 | ) | - | (197 | ) | ||||||||||||||
Acquisitions | - | 385 | (b) | 385 | - | 2,301 | (b) | 2,301 | ||||||||||||||||
Other | 23 | (33 | ) | (c) | (10 | ) | 63 | 2 | (c) | 65 | ||||||||||||||
Balance, end of period | $ | 17,463 | $ | 3,501 | $ | 20,964 | $ | 30,064 | $ | 3,185 | $ | 33,249 | ||||||||||||
For the nine months ended March 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Twenty-First | Twenty-First | |||||||||||||||||||||||
Century Fox | Noncontrolling | Total | Century Fox | Noncontrolling | Total | |||||||||||||||||||
stockholders | interests | equity | stockholders | interests | equity | |||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Balance, beginning of period | $ | 16,998 | $ | 3,127 | $ | 20,125 | $ | 24,684 | $ | 501 | $ | 25,185 | ||||||||||||
Net income | 3,515 | (30 | ) | (a) | 3,485 | 7,468 | 121 | (a) | 7,589 | |||||||||||||||
Other comprehensive income (loss) | 343 | 134 | 477 | (138 | ) | 2 | (136 | ) | ||||||||||||||||
Cancellation of shares, net | (2,577 | ) | - | (2,577 | ) | (1,573 | ) | - | (1,573 | ) | ||||||||||||||
Dividends declared | (568 | ) | - | (568 | ) | (398 | ) | - | (398 | ) | ||||||||||||||
Acquisitions | - | 385 | (b) | 385 | - | 2,619 | (b) | 2,619 | ||||||||||||||||
Other | (248 | ) | (115 | ) | (c) | (363 | ) | 21 | (58 | ) | (c) | (37 | ) | |||||||||||
Balance, end of period | $ | 17,463 | $ | 3,501 | $ | 20,964 | $ | 30,064 | $ | 3,185 | $ | 33,249 | ||||||||||||
(a) | Net income attributable to noncontrolling interests excludes $26 million for the three months ended March 31, 2014 and 2013 and $74 million for the nine months ended March 31, 2014 and 2013, relating to redeemable noncontrolling interests which are reflected in temporary equity. For the three and nine months ended March 31, 2013, Net income attributable to noncontrolling interests included $11 million and $32 million, respectively, relating to Discontinued Operations. | |||||||||||||||||||||||
(b) | Represents the non-controlling interest in the YES Network, Sky Deutschland and EMM at their acquisition date fair values. The Company acquired the majority interest in the YES Network in February 2014, Sky Deutschland in January 2013 and EMM in November 2012. | |||||||||||||||||||||||
(c) | Other activity attributable to noncontrolling interests excludes $(13) million and $(30) million for the three months ended March 31, 2014 and 2013, respectively, and $(59) million and $(70) million for the nine months ended March 31, 2014 and 2013, respectively, relating to redeemable noncontrolling interests. | |||||||||||||||||||||||
Other Comprehensive Income | ||||||||||||||||||||||||
Comprehensive income is reported in the unaudited consolidated statement of comprehensive income and consists of Net income and other gains and losses, including foreign currency translation adjustments, unrealized holding gains and losses on securities, and benefit plan adjustments, which affect shareholders’ equity, and under GAAP, are excluded from Net income. | ||||||||||||||||||||||||
The following table summarizes the activity within Other comprehensive income (loss): | ||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, 2014 | March 31, 2014 | |||||||||||||||||||||||
Before tax | Tax | Net of tax | Before tax | Tax | Net of tax | |||||||||||||||||||
(provision) | (provision) | |||||||||||||||||||||||
benefit | benefit | |||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Foreign currency translation adjustments | ||||||||||||||||||||||||
Unrealized gains | $ | 17 | $ | (1 | ) | $ | 16 | $ | 663 | $ | (83 | ) | $ | 580 | ||||||||||
Amount reclassified on hedging activity(a) | 6 | (1 | ) | 5 | 10 | (2 | ) | 8 | ||||||||||||||||
Other comprehensive income | $ | 23 | $ | (2 | ) | $ | 21 | $ | 673 | $ | (85 | ) | $ | 588 | ||||||||||
Gains and losses on securities | ||||||||||||||||||||||||
Unrealized gains (losses) | $ | 8 | $ | (3 | ) | $ | 5 | $ | (6 | ) | $ | 2 | $ | (4 | ) | |||||||||
Amount reclassified on sale of Phoenix(b) | - | - | - | (200 | ) | 70 | (130 | ) | ||||||||||||||||
Other comprehensive income (loss) | $ | 8 | $ | (3 | ) | $ | 5 | $ | (206 | ) | $ | 72 | $ | (134 | ) | |||||||||
Benefit plan adjustments | ||||||||||||||||||||||||
Reclassification adjustments realized in net | $ | 15 | $ | (5 | ) | $ | 10 | $ | 37 | $ | (14 | ) | $ | 23 | ||||||||||
income(c) | ||||||||||||||||||||||||
Other comprehensive income | $ | 15 | $ | (5 | ) | $ | 10 | $ | 37 | $ | (14 | ) | $ | 23 | ||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, 2013 | March 31, 2013 | |||||||||||||||||||||||
Before tax | Tax | Net of tax | Before tax | Tax | Net of tax | |||||||||||||||||||
(provision) | (provision) | |||||||||||||||||||||||
benefit | benefit | |||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Foreign currency translation adjustments | ||||||||||||||||||||||||
Unrealized losses | $ | (434 | ) | $ | - | $ | (434 | ) | $ | (154 | ) | $ | - | $ | (154 | ) | ||||||||
Amount reclassified on hedging activity(a) | 1 | - | 1 | (13 | ) | 5 | (8 | ) | ||||||||||||||||
Amount reclassified on the sale of NDS(b) | - | - | - | 10 | - | 10 | ||||||||||||||||||
Other comprehensive loss | $ | (433 | ) | $ | - | $ | (433 | ) | $ | (157 | ) | $ | 5 | $ | (152 | ) | ||||||||
Gains and losses on securities | ||||||||||||||||||||||||
Unrealized losses | $ | (42 | ) | $ | 15 | $ | (27 | ) | $ | (39 | ) | $ | 14 | $ | (25 | ) | ||||||||
Other comprehensive loss | $ | (42 | ) | $ | 15 | $ | (27 | ) | $ | (39 | ) | $ | 14 | $ | (25 | ) | ||||||||
Benefit plan adjustments | ||||||||||||||||||||||||
Reclassification adjustments realized in net | $ | 19 | $ | (6 | ) | $ | 13 | $ | 54 | $ | (13 | ) | $ | 41 | ||||||||||
income(c) | ||||||||||||||||||||||||
Other comprehensive income | $ | 19 | $ | (6 | ) | $ | 13 | $ | 54 | $ | (13 | ) | $ | 41 | ||||||||||
(a) | Reclassifications of amounts related to hedging activity are included in Operating expenses or Selling, general and administrative expenses, as appropriate, in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 8 – Fair Value for additional information regarding hedging activity. | |||||||||||||||||||||||
(b) | Reclassifications of amounts related to the sale of Phoenix are included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. Reclassifications of amounts related to the sale of NDS are included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2013. | |||||||||||||||||||||||
(c) | Reclassifications of amounts related to benefit plan adjustments are included in Selling, general and administrative expenses in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 15 – Pension And Other Postretirement Benefits for additional information. | |||||||||||||||||||||||
Dividends | ||||||||||||||||||||||||
The following table summarizes the dividends declared per share on both the Company’s Class A common stock, par value $0.01 per share (“Class A Common Stock”) and the Class B common stock, par value $0.01 per share (“Class B Common Stock”): | ||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Cash dividend per share | $ | 0.125 | $ | 0.085 | $ | 0.25 | $ | 0.17 | ||||||||||||||||
The Company declared a dividend of $0.125 per share on both the Class A Common Stock and Class B Common Stock in the three months ended March 31, 2014, which was paid in April 2014 to stockholders of record on March 12, 2014. | ||||||||||||||||||||||||
Earnings Per Share Data | ||||||||||||||||||||||||
The following table sets forth the Company’s computation of Income from continuing operations attributable to Twenty-First Century Fox, Inc. stockholders: | ||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Income from continuing operations | $ | 1,089 | $ | 2,577 | $ | 2,863 | $ | 6,006 | ||||||||||||||||
Less: Net income attributable to noncontrolling interests | (20 | ) | (44 | ) | (44 | ) | (163 | ) | ||||||||||||||||
Income from continuing operations attributable to Twenty-First | $ | 1,069 | $ | 2,533 | $ | 2,819 | $ | 5,843 | ||||||||||||||||
Century Fox, Inc. stockholders | ||||||||||||||||||||||||
Stock Repurchase Program | ||||||||||||||||||||||||
The Board has authorized a stock repurchase program, under which the Company is currently authorized to acquire Class A Common Stock. In August 2013, the Board authorized the repurchase of $4 billion of Class A Common Stock, excluding commissions, which replaced the remaining authorized amount under the stock repurchase program. The Company intends to complete this stock repurchase program by August 2014. | ||||||||||||||||||||||||
The remaining authorized amount under the Company’s stock repurchase program as of March 31, 2014, excluding commissions, was approximately $1.6 billion. | ||||||||||||||||||||||||
The program may be modified, extended, suspended or discontinued at any time. | ||||||||||||||||||||||||
Temporary Suspension of Voting Rights Affecting Non-U.S. Stockholders | ||||||||||||||||||||||||
On April 18, 2012, the Company announced that it suspended 50% of the voting rights of the Class B Common Stock held by stockholders who are not U.S. citizens (“Non-U.S. Stockholders”) in order to maintain compliance with U.S. law which states that no broadcast station licensee may be owned by a corporation if more than 25% of that corporation’s stock was owned or voted by Non-U.S. Stockholders, their representatives, or by any other corporation organized under the laws of a foreign country. The Company owns broadcast station licensees in connection with its ownership and operation of U.S. television stations. As of October 2013, the suspension of voting rights of shares of Class B Common Stock held by Non-U.S. Stockholders was 35%. This suspension of voting rights will remain in place for as long as the Company deems it necessary to maintain compliance with applicable U.S. law, and may be adjusted by the Audit Committee as it deems appropriate. | ||||||||||||||||||||||||
Voting Agreement with the Murdoch Family Interests | ||||||||||||||||||||||||
On April 18, 2012, the Murdoch Family Trust and K. Rupert Murdoch (together the “Murdoch Family Interests”) entered into an agreement with the Company, whereby the Murdoch Family Interests agreed to limit their voting rights during the voting rights suspension period. Under this agreement, the Murdoch Family Interests will not vote or provide voting instructions with respect to a portion of their shares of Class B Common Stock to the extent that doing so would increase their percentage of voting power from what it was prior to the suspension of voting rights. Currently, as a result of the suspension of voting rights, the aggregate percentage vote of the Murdoch Family Interests is at 39.4% of the outstanding shares of Class B Common Stock not subject to the suspension of voting rights, and the percentage vote may be adjusted as provided in the agreement with the Company. | ||||||||||||||||||||||||
Delisting from the Australian Securities Exchange | ||||||||||||||||||||||||
In March 2014, the Company received approval from its stockholders and subsequently the Australian Securities Exchange (the “ASX”) for removal of its full foreign listing from the ASX. Delisting from the ASX occurred on May 8, 2014 and, effective as of that date, all of Twenty-First Century Fox’s Class A and Class B Common Stock is listed solely on the NASDAQ Global Select Market. | ||||||||||||||||||||||||
Equity_Based_Compensation
Equity Based Compensation | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Equity Based Compensation | ' | |||||||||||||||
NOTE 13. EQUITY BASED COMPENSATION | ||||||||||||||||
Separation-Related Adjustments | ||||||||||||||||
In connection with the Separation, the Company entered into an Employee Matters Agreement with News Corp, which generally provides that employees of News Corp no longer participate in benefit plans sponsored or maintained by the Company. Pursuant to the Employee Matters Agreement, the Company made certain adjustments to the exercise price and number of our share-based compensation awards, using the closing price of the Company’s Class A Common Stock on the final day of trading prior to the effective date of the Separation and the volumetric weighted-average prices for the first day of trading for the Company immediately following the Separation, with the intention of preserving the intrinsic value of the awards immediately prior to the Separation. These adjustments are summarized as follows: | ||||||||||||||||
· | All equity based awards that had a vesting, payment or expiration date, as applicable, on or prior to December 31, 2013 continued under the Company’s 2005 Plan and have been settled in, or by reference to, the Company’s Class A Common Stock, as adjusted to reflect the Separation. The total number of shares issued under equity based awards in the six months ended December 31, 2013 was 7.6 million and of this amount, approximately 1 million shares were issued to News Corp employees. | |||||||||||||||
· | All other equity based awards that have a vesting, payment or expiration date, as applicable, after December 31, 2013 were converted to awards over equity of the post-Separation employer, as adjusted to reflect the Separation. | |||||||||||||||
· | All equity based awards were adjusted in terms of exercise price and number of shares to preserve the intrinsic value of the awards immediately prior to the Separation. | |||||||||||||||
The Separation-related adjustments did not have a material impact on either compensation expense or the potentially dilutive securities to be considered in the calculation of diluted earnings per share of common stock. | ||||||||||||||||
The following table summarizes the Company’s equity-based compensation transactions: | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Equity-based compensation | $ | 30 | $ | 64 | $ | 126 | $ | 201 | ||||||||
Cash received from exercise of equity-based compensation | $ | - | $ | 29 | $ | 35 | $ | 148 | ||||||||
As of March 31, 2014, the Company’s total compensation cost related to restricted stock units (“RSUs”) and performance stock units (“PSUs”), not yet recognized, was approximately $130 million, and is expected to be recognized over a weighted average period between one and two years. Compensation expense on all equity-based awards is generally recognized on a straight-line basis over the vesting period of the entire award. However, certain performance based awards are recognized on an accelerated basis. | ||||||||||||||||
The intrinsic value of stock options exercised during the nine months ended March 31, 2014 and 2013 was $32 million and $51 million, respectively. The intrinsic value of the stock options outstanding as of March 31, 2014 and June 30, 2013 was nil and $29 million, respectively. The Company’s stock option program has no stock options outstanding as of March 31, 2014. | ||||||||||||||||
As of March 31, 2014 and June 30, 2013, the liability for cash-settled awards was approximately $145 million and $185 million, respectively. Cash settled awards are marked-to-market at each reporting period. | ||||||||||||||||
The Company recognized an incremental tax benefit, on vested PSUs, RSUs and stock options exercised, of $37 million and $34 million for the nine months ended March 31, 2014 and 2013, respectively. | ||||||||||||||||
Performance Stock Units | ||||||||||||||||
During the nine months ended March 31, 2014 and 2013, approximately 4.9 million and 7.2 million PSUs were granted, respectively, of which approximately 3.9 million and 5.7 million, respectively, will be settled in shares of Class A Common Stock. PSUs granted to executive directors and certain awards granted to employees in certain foreign locations are settled in cash. | ||||||||||||||||
During the nine months ended March 31, 2014, approximately 2.8 million PSUs vested, of which approximately 0.7 million were settled in shares of Class A Common Stock, before statutory tax withholdings. The fair value of PSUs settled in shares of Class A Common Stock was $21 million for the nine months ended March 31, 2014. The remaining 2.1 million PSUs settled during the nine months ended March 31, 2014 were settled in cash of $67 million before statutory tax withholdings. No PSUs vested during the nine months ended March 31, 2013. | ||||||||||||||||
Restricted Stock Units | ||||||||||||||||
During the nine months ended March 31, 2014 and 2013, approximately 0.8 million and 1.3 million RSUs were granted, respectively, and will be settled in shares of Class A Common Stock. | ||||||||||||||||
During the nine months ended March 31, 2014 and 2013, approximately 5.6 million and 7.1 million RSUs vested, respectively, of which approximately 5.0 million and 6.2 million, respectively, were settled in shares of Class A Common Stock, before statutory tax withholdings. The fair value of RSUs settled in shares of Class A Common Stock was $160 million and $147 million for the nine months ended March 31, 2014 and 2013, respectively. The remaining 0.6 million and 0.9 million RSUs settled during the nine months ended March 31, 2014 and 2013, respectively, were settled in cash of $18 million and $22 million, respectively, before statutory tax withholdings. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Mar. 31, 2014 | |
Commitments and Contingencies | ' |
NOTE 14. COMMITMENTS AND CONTINGENCIES | |
Commitments | |
The Company has commitments under certain firm contractual arrangements (“firm commitments”) to make future payments. These firm commitments secure the future rights to various assets and services to be used in the normal operations. The total firm commitments and future debt payments as of March 31, 2014 and June 30, 2013 were $85.3 billion and $79.9 billion, respectively. The increase from June 30, 2013 was primarily due to the acquisition of the majority interest in the YES Network in February 2014 (See Note 3 – Acquisitions, Disposals and Other Transactions). | |
Guarantees | |
The Company’s guarantees as of March 31, 2014 have not changed significantly from disclosures included in the 2013 Form 10-K. | |
Contingencies | |
Shareholder Litigation | |
The following discussion is limited to certain recent developments concerning the Company’s legal proceedings and should be read in conjunction with the disclosure set forth in Part I, Item 3 of the 2013 Form 10-K. | |
Delaware | |
Reference is made to the Amalgamated Bank Litigation, the New Orleans Employees’ Retirement Litigation, the Mass. Laborers Litigation and the Cohen Litigation which were purported stockholder derivative actions consolidated in the Delaware Court of Chancery (the “Consolidated Action”) and previously described by the Company in the 2013 Form 10-K. The plaintiffs’ Third Amended Complaint in the Consolidated Action alleged claims against director defendants for breach of fiduciary duty arising from the Company’s purchase of Shine and from their purported failure to investigate alleged acts of voicemail interception at The News of the World (the “NoW Matter”) and allegedly permitting the Company to engage in a cover up related to the NoW Matter. The Third Amended Complaint sought a declaration that the defendants violated their fiduciary duties, damages, pre- and post-judgment interest, fees and costs. | |
On June 26, 2013, the Court approved the settlement in principle that the parties reached on April 17, 2013, and entered a final judgment dismissing the Consolidated Action. Pursuant to the terms of that settlement, the parties agreed that the director defendants in the Consolidated Action would cause to be paid on their behalf the amount of $139 million to the Company, minus $28 million in attorneys’ fees and expenses awarded by the Court to the plaintiffs’ counsel. No stockholder objected to either the settlement or the proposed fee award. The settlement became effective on August 16, 2013, because as of that date, the dismissal of the Consolidated Action as well as the dismissals of each of the Shields Litigation, the Iron Workers Litigation and the Stricklin Litigation (each as described in the 2013 Form 10-K under the heading “Shareholder Litigation—Southern District of New York”) were no longer subject to appeal. The above amount was paid from an escrow account created for the benefit of the director defendants pursuant to an agreement reached between the defendants and their directors’ and officers’ liability insurers for the payment of insurance proceeds, subject to a claims release, and accordingly the Company recorded the net settlement of $111 million in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. In addition to the payment to the Company, the settlement contemplates that the Company will build on corporate governance and compliance enhancements which the Company has implemented. These shall remain in effect at least through December 31, 2016, and will be applicable to both the Company and News Corp. | |
Southern District of New York | |
On July 19, 2011, a purported class action lawsuit captioned Wilder v. News Corp., et al. (“Wilder Litigation”), was filed on behalf of all purchasers of the Company’s common stock between March 3, 2011 and July 11, 2011, in the United States District Court for the Southern District of New York. The plaintiff brought claims under Section 10(b) and Section 20(a) of the Securities Exchange Act, alleging that false and misleading statements were issued regarding the NoW Matter. The suit names as defendants the Company, Rupert Murdoch, James Murdoch and Rebekah Brooks, and seeks compensatory damages, rescission for damages sustained, and costs. On June 5, 2012, the court issued an order appointing the Avon Pension Fund (“Avon”) as lead plaintiff and Robbins Geller Rudman & Dowd as lead counsel. Thereafter, on July 3, 2012, the court issued an order providing that an amended consolidated complaint shall be filed by July 31, 2012. Avon filed an amended consolidated complaint on July 31, 2012, which among other things, added as defendants NI Group Limited (now known as News Corp UK & Ireland Limited) and Les Hinton, and expanded the class period to include February 15, 2011 to July 18, 2011. The defendants filed motions to dismiss the litigation, which were granted by the court on March 31, 2014. Plaintiffs were given until April 30, 2014 to amend their complaint. On April 30, 2014, plaintiffs filed a second amended consolidated complaint, which generally repeats the allegations of the amended consolidated complaint and also expands the class period to July 8, 2009 to July 18, 2011. The Company’s management believes the claims in the Wilder Litigation are entirely without merit, and intends to vigorously defend those claims. | |
U.K. Newspaper Matters and Related Investigations and Litigation | |
U.S. regulators and governmental authorities continue to conduct investigations initiated in 2011 with respect to the U.K. Newspaper Matters. The Company is cooperating with these investigations. It is not possible at this time to estimate the liability, if any, of the Company relating to these investigations. | |
In connection with the Separation, the Company and News Corp agreed in the Separation and Distribution Agreement that the Company will indemnify News Corp, on an after-tax basis, for payments made after the Separation arising out of civil claims and investigations relating to the U.K. Newspaper Matters, as well as legal and professional fees and expenses paid in connection with the related criminal matters, other than fees, expenses and costs relating to employees who are not (i) directors, officers or certain designated employees or (ii) with respect to civil matters, co-defendants with News Corp (the “Indemnity”). As of June 30, 2013, the Company recognized approximately $150 million as its obligation under the Indemnity, of which approximately $40 million related to the amounts accrued by News Corp as of the date of the Separation and approximately $110 million for the fair value of expected future payments to be made under the Indemnity. Pursuant to ASC 460 “Guarantees” (“ASC 460”), the amount provided for future payments is being amortized in a systematic pattern that reflects the release from the underlying risks and is included in (Loss) income from discontinued operations, net of tax, in the consolidated statement of operations. As of March 31, 2014, the Company has recognized approximately $110 million as its obligation under the Indemnity, of which approximately $70 million relates to amounts payable to News Corp and approximately $40 million for the remaining unamortized fair value of expected future payments to be made under the Indemnity. Pursuant to the Indemnity, the Company made payments of $58 million to News Corp during the nine months ended March 31, 2014. If additional information becomes available and as payments are made, the Company will update the liability provision for the Indemnity. Any changes to the liability provision for the Indemnity in the future will impact the results of operations for that period. The liability provision for the Indemnity was estimated by probability weighting expected payments to be made to News Corp under such Agreement and discounting probability-weighted expected payments to the valuation date, using a discount rate based on the Company’s cost of debt. | |
It is possible that these proceedings and any adverse resolution thereof, including any fines or other penalties associated with any plea, judgment or similar result could damage the Company’s reputation, impair its ability to conduct its business and adversely affect its results of operations and financial condition. | |
Other | |
The Company’s operations are subject to tax in various domestic and international jurisdictions and as a matter of course, the Company is regularly audited by federal, state and foreign tax authorities. The Company believes it has appropriately accrued for the expected outcome of all pending tax matters and does not currently anticipate that the ultimate resolution of pending tax matters will have a material adverse effect on its consolidated financial condition, future results of operations or liquidity. | |
The Company establishes an accrued liability for legal claims when the Company determines that a loss is both probable and the amount of the loss can be reasonably estimated. Once established, accruals are adjusted from time to time, as appropriate, in light of additional information. The amount of any loss ultimately incurred in relation to matters for which an accrual has been established may be higher or lower than the amounts accrued for such matters. Any fees, expenses, fines, penalties, judgments or settlements which might be incurred by the Company in connection with the various proceedings could affect the Company’s results of operations and financial condition. For the contingencies disclosed above for which there is at least a reasonable possibility that a loss may be incurred, other than the accrual provided, the Company was unable to estimate the amount of loss or range of loss. |
Pension_and_Other_Postretireme
Pension and Other Postretirement Benefits | 9 Months Ended |
Mar. 31, 2014 | |
Pension and Other Postretirement Benefits | ' |
NOTE 15. PENSION AND OTHER POSTRETIREMENT BENEFITS | |
The Company participates in and/or sponsors various pension, savings and postretirement benefit plans. The major pension plans and postretirement benefit plans are closed to new participants (with the exception of groups covered by collective bargaining agreements). The Company has a legally enforceable obligation to contribute to some plans and is not required to contribute to others. The Company makes contributions in accordance with applicable laws or contract terms in each jurisdiction in which the Company operates. The Company’s benefit obligation is calculated using several assumptions which the Company reviews on a regular basis. The net periodic benefits costs for pension and postretirement benefits were approximately $30 million and $40 million for the three months ended March 31, 2014 and 2013, respectively, and approximately $90 million and $130 million for the nine months ended March 31, 2014 and 2013, respectively. |
Segment_Information
Segment Information | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Segment Information | ' | |||||||||||||||
NOTE 16. SEGMENT INFORMATION | ||||||||||||||||
The Company has realigned its reporting segments following the Separation and the Other segment has been renamed Other, Corporate and Eliminations. This segment includes costs not directly associated with an operating segment, such as corporate overhead and eliminations. | ||||||||||||||||
The Company is a diversified global media and entertainment company, which manages and reports its businesses in the following five segments: | ||||||||||||||||
· | Cable Network Programming, which principally consists of the production and licensing of programming distributed through cable television systems, direct broadcast satellite operators and telecommunication companies primarily in the U.S., Latin America, Europe and Asia. | |||||||||||||||
· | Television, which principally consists of the broadcasting of network programming in the U.S. and the operation of 28 full power broadcast television stations, including 10 duopolies, in the U.S. (of these stations, 18 are affiliated with the FOX Broadcasting Company (“FOX”) and 10 are affiliated with Master Distribution Service, Inc. (“MyNetworkTV”)). | |||||||||||||||
· | Filmed Entertainment, which principally consists of the production and acquisition of live-action and animated motion pictures for distribution and licensing in all formats in all entertainment media worldwide, and the production and licensing of television programming worldwide. | |||||||||||||||
· | Direct Broadcast Satellite Television, which consists of the distribution of programming services via satellite, cable, and broadband directly to subscribers in Italy, Germany and Austria. | |||||||||||||||
· | Other, Corporate and Eliminations, which principally consists of corporate overhead and eliminations and other businesses. | |||||||||||||||
The Company’s operating segments have been determined in accordance with the Company’s internal management structure, which is organized based on operating activities. The Company evaluates performance based upon several factors, of which the primary financial measure is Segment OIBDA. | ||||||||||||||||
Segment OIBDA is defined as revenues less operating expenses and selling, general and administrative expenses. Segment OIBDA does not include: depreciation and amortization, amortization of cable distribution investments, impairment charges, equity earnings of affiliates, interest expense, interest income, other, net, income tax expense and net income attributable to noncontrolling interests. Management believes that Segment OIBDA is an appropriate measure for evaluating the operating performance of the Company’s business segments because it is the primary measure used by the Company’s chief operating decision maker to evaluate the performance of and allocate resources within the Company’s businesses. | ||||||||||||||||
Management believes that information about Total Segment OIBDA assists all users of the Company’s consolidated financial statements by allowing them to evaluate changes in the operating results of the Company’s portfolio of businesses separate from non-operational factors that affect net income, thus providing insight into both operations and the other factors that affect reported results. | ||||||||||||||||
Total Segment OIBDA provides management, investors and equity analysts a measure to analyze the operating performance of the Company’s business and its enterprise value against historical data and competitors’ data, although historical results, including Segment OIBDA and Total Segment OIBDA, may not be indicative of future results (as operating performance is highly contingent on many factors, including customer tastes and preferences). | ||||||||||||||||
Total Segment OIBDA is a non-GAAP measure and should be considered in addition to, not as a substitute for, net income (loss), cash flow and other measures of financial performance reported in accordance with GAAP. In addition, this measure does not reflect cash available to fund requirements and excludes items, such as depreciation and amortization and impairment charges, which are significant components in assessing the Company’s financial performance. | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Revenues: | ||||||||||||||||
Cable Network Programming | $ | 3,152 | $ | 2,827 | $ | 8,926 | $ | 7,928 | ||||||||
Television | 1,587 | 1,249 | 4,265 | 3,764 | ||||||||||||
Filmed Entertainment | 2,279 | 2,346 | 6,876 | 6,607 | ||||||||||||
Direct Broadcast Satellite Television | 1,530 | 1,320 | 4,437 | 3,060 | ||||||||||||
Other, Corporate and Eliminations | (329 | ) | (389 | ) | (1,061 | ) | (896 | ) | ||||||||
Total revenues | $ | 8,219 | $ | 7,353 | $ | 23,443 | $ | 20,463 | ||||||||
Segment OIBDA: | ||||||||||||||||
Cable Network Programming | $ | 1,176 | $ | 1,069 | $ | 3,205 | $ | 3,098 | ||||||||
Television | 288 | 219 | 737 | 642 | ||||||||||||
Filmed Entertainment | 354 | 334 | 1,019 | 1,191 | ||||||||||||
Direct Broadcast Satellite Television | 58 | 91 | 278 | 241 | ||||||||||||
Other, Corporate and Eliminations | (89 | ) | (143 | ) | (290 | ) | (399 | ) | ||||||||
Total Segment OIBDA | $ | 1,787 | $ | 1,570 | $ | 4,949 | $ | 4,773 | ||||||||
Amortization of cable distribution investments | (21 | ) | (23 | ) | (61 | ) | (67 | ) | ||||||||
Depreciation and amortization | (267 | ) | (214 | ) | (840 | ) | (569 | ) | ||||||||
Impairment charges | - | - | - | (35 | ) | |||||||||||
Equity earnings of affiliates | 170 | 132 | 430 | 432 | ||||||||||||
Interest expense, net | (284 | ) | (277 | ) | (830 | ) | (802 | ) | ||||||||
Interest income | 6 | 8 | 21 | 39 | ||||||||||||
Other, net | (33 | ) | 2,109 | 123 | 3,672 | |||||||||||
Income from continuing operations before income tax expense | 1,358 | 3,305 | 3,792 | 7,443 | ||||||||||||
Income tax expense | (269 | ) | (728 | ) | (929 | ) | (1,437 | ) | ||||||||
Income from continuing operations | 1,089 | 2,577 | 2,863 | 6,006 | ||||||||||||
(Loss) income from discontinued operations, net of tax | (16 | ) | 321 | 696 | 1,625 | |||||||||||
Net income | 1,073 | 2,898 | 3,559 | 7,631 | ||||||||||||
Less: Net income attributable to noncontrolling interests | (20 | ) | (44 | ) | (44 | ) | (163 | ) | ||||||||
Net income attributable to Twenty-First Century Fox, Inc. | $ | 1,053 | $ | 2,854 | $ | 3,515 | $ | 7,468 | ||||||||
stockholders | ||||||||||||||||
Intersegment revenues, generated by the Filmed Entertainment segment, of approximately $305 million and $330 million for the three months ended March 31, 2014 and 2013, respectively, and of approximately $916 million and $779 million for the nine months ended March 31, 2014 and 2013, respectively, have been eliminated within the Other, Corporate and Eliminations segment. Segment OIBDA, generated by the Filmed Entertainment segment, of approximately $(3) million and $13 million for the three months ended March 31, 2014 and 2013, respectively, and of approximately $31 million and $21 million for the nine months ended March 31, 2014 and 2013, respectively, have been eliminated within the Other, Corporate and Eliminations segment. | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Depreciation and amortization: | ||||||||||||||||
Cable Network Programming | $ | 58 | $ | 53 | $ | 157 | $ | 140 | ||||||||
Television | 30 | 23 | 79 | 66 | ||||||||||||
Filmed Entertainment | 33 | 32 | 98 | 98 | ||||||||||||
Direct Broadcast Satellite Television | 143 | 102 | 495 | 249 | ||||||||||||
Other, Corporate and Eliminations | 3 | 4 | 11 | 16 | ||||||||||||
Total depreciation and amortization | $ | 267 | $ | 214 | $ | 840 | $ | 569 | ||||||||
Depreciation and amortization for the three months ended March 31, 2014 and 2013 include the amortization of definite lived intangible assets of $82 million and $51 million, respectively. Depreciation and amortization for the nine months ended March 31, 2014 and 2013 include the amortization of definite lived intangible assets of $300 million and $125 million, respectively. | ||||||||||||||||
As of | As of | |||||||||||||||
March 31, | June 30, | |||||||||||||||
2014 | 2013 | |||||||||||||||
(in millions) | ||||||||||||||||
Total assets: | ||||||||||||||||
Cable Network Programming | $ | 22,431 | $ | 17,830 | ||||||||||||
Television | 6,727 | 6,415 | ||||||||||||||
Filmed Entertainment | 10,700 | 9,411 | ||||||||||||||
Direct Broadcast Satellite Television | 9,378 | 8,636 | ||||||||||||||
Other, Corporate and Eliminations | 3,149 | 4,948 | ||||||||||||||
Investments | 2,908 | 3,704 | ||||||||||||||
Total assets | $ | 55,293 | $ | 50,944 | ||||||||||||
Goodwill and Intangible assets, net: | ||||||||||||||||
Cable Network Programming | $ | 12,870 | $ | 9,444 | ||||||||||||
Television | 4,282 | 4,283 | ||||||||||||||
Filmed Entertainment | 2,442 | 2,439 | ||||||||||||||
Direct Broadcast Satellite Television | 6,522 | 6,057 | ||||||||||||||
Other, Corporate and Eliminations | 96 | 96 | ||||||||||||||
Total goodwill and intangible assets, net | $ | 26,212 | $ | 22,319 | ||||||||||||
Revenues by Component | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Revenues: | ||||||||||||||||
Affiliate Fees | $ | 2,326 | $ | 2,066 | $ | 6,547 | $ | 5,593 | ||||||||
Subscription | 1,390 | 1,216 | 4,061 | 2,814 | ||||||||||||
Advertising | 2,294 | 1,884 | 6,344 | 5,781 | ||||||||||||
Content | 2,067 | 2,098 | 6,135 | 5,978 | ||||||||||||
Other | 142 | 89 | 356 | 297 | ||||||||||||
Total revenues | $ | 8,219 | $ | 7,353 | $ | 23,443 | $ | 20,463 | ||||||||
Additional_Financial_Informati
Additional Financial Information | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Additional Financial Information | ' | |||||||||||||||
NOTE 17. ADDITIONAL FINANCIAL INFORMATION | ||||||||||||||||
Supplemental Cash Flows Information | ||||||||||||||||
For the nine months ended | ||||||||||||||||
March 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
(in millions) | ||||||||||||||||
Supplemental cash flows information: | ||||||||||||||||
Cash paid for income taxes | $ | (1,100 | ) | $ | (891 | ) | ||||||||||
Cash paid for interest | (816 | ) | (815 | ) | ||||||||||||
Sale of other investments | 1 | 2 | ||||||||||||||
Purchase of other investments | (34 | ) | (59 | ) | ||||||||||||
Supplemental information on businesses acquired: | ||||||||||||||||
Fair value of assets acquired | 2,833 | 4,999 | ||||||||||||||
Cash acquired | 3 | 685 | ||||||||||||||
Liabilities assumed | (1,763 | ) | (1,791 | ) | ||||||||||||
Decrease in deferred consideration | 7 | - | ||||||||||||||
Noncontrolling interest increase | (385 | ) | (2,619 | ) | ||||||||||||
Cash paid | (695 | ) | (1,274 | ) | ||||||||||||
Fair value of equity instruments issued to third parties | - | - | ||||||||||||||
Issuance of subsidiary common units | - | - | ||||||||||||||
Fair value of equity instruments consideration | $ | - | $ | - | ||||||||||||
Other, net | ||||||||||||||||
The following table sets forth the components of Other, net included in the unaudited consolidated statements of operations: | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Gain on Sky Deutschland transaction(a) | $ | - | $ | 2,069 | $ | - | $ | 2,069 | ||||||||
(Loss) gain on sale of investments in NDS(b) | (30 | ) | - | (30 | ) | 1,446 | ||||||||||
Gain on sale of investment in Phoenix(b) | - | 81 | 199 | 81 | ||||||||||||
Gain on Fox Sports Asia transaction(a) | - | - | - | 174 | ||||||||||||
Shareholder litigation settlement(c) | - | - | 111 | - | ||||||||||||
Loss on sale of Baltimore station(a) | - | - | - | (92 | ) | |||||||||||
Restructuring(d) | (3 | ) | (3 | ) | (87 | ) | (8 | ) | ||||||||
Investment impairment losses(e) | - | (15 | ) | (67 | ) | (15 | ) | |||||||||
Change in fair value of Sky Deutschland convertible securities(a) | - | - | - | 58 | ||||||||||||
Other | - | (23 | ) | (3 | ) | (41 | ) | |||||||||
Other, net | $ | (33 | ) | $ | 2,109 | $ | 123 | $ | 3,672 | |||||||
(a) | See Note 3 – Acquisitions, Disposals and Other Transactions. | |||||||||||||||
(b) | See Note 7 – Investments. | |||||||||||||||
(c) | See Note 14 – Commitments and Contingencies. | |||||||||||||||
(d) | The Company recorded $87 million of restructuring charges in the nine months ended March 31, 2014 for contract termination costs primarily related to cost structure efficiency enhancement initiatives at the DBS segment. | |||||||||||||||
(e) | The write-downs of investments were recorded as a result of either the deteriorating financial position of the investee or due to a permanent impairment resulting from sustained losses and limited prospects for recovery. | |||||||||||||||
Income Taxes | ||||||||||||||||
The Company’s unrecognized tax benefits, excluding interest and penalties, as of March 31, 2014 and June 30, 2013 was $140 million and $200 million, respectively. The decrease of $60 million from June 30, 2013 was primarily due to the settlement of a foreign tax matter. Interest related to the settled foreign tax matter was $24 million as of June 30, 2013. | ||||||||||||||||
Supplemental_Guarantor_Informa
Supplemental Guarantor Information | 9 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Supplemental Guarantor Information | ' | |||||||||||||||||||
NOTE 18. SUPPLEMENTAL GUARANTOR INFORMATION | ||||||||||||||||||||
In May 2012, 21CFA entered into a credit agreement (the “Credit Agreement”), among 21CFA as Borrower, the Company as Parent Guarantor, the lenders named therein, the initial issuing banks named therein, JPMorgan Chase Bank, N.A. (“JPMorgan Chase”) and Citibank, N.A. as Co-Administrative Agents, JPMorgan Chase as Designated Agent and Bank of America, N.A. as Syndication Agent. The Credit Agreement provides a $2 billion unsecured revolving credit facility with a sub-limit of $400 million (or its equivalent in Euros) available for the issuance of letters of credit and a maturity date of May 2017. Under the Credit Agreement, the Company may request an increase in the amount of the credit facility up to a maximum amount of $2.5 billion and the Company may request that the maturity date be extended for up to two additional one-year periods. Borrowings are issuable in U.S. dollars only, while letters of credit are issuable in U.S. dollars or Euros. The material terms of the agreement include the requirement that the Company maintain specific leverage ratios and limitations on secured indebtedness. Fees under the Credit Agreement will be based on the Company’s long-term senior unsecured non-credit enhanced debt ratings. Given the current debt ratings, 21CFA pays a facility fee of 0.125% and an initial drawn cost of LIBOR plus 1.125%. | ||||||||||||||||||||
The Parent Guarantor presently guarantees the senior public indebtedness of 21CFA and the guarantee is full and unconditional. The supplemental condensed consolidating financial information of the Parent Guarantor should be read in conjunction with these consolidated financial statements. | ||||||||||||||||||||
In accordance with rules and regulations of the SEC, the Company uses the equity method to account for the results of all of the non-guarantor subsidiaries, representing substantially all of the Company’s consolidated results of operations, excluding certain intercompany eliminations. | ||||||||||||||||||||
The following condensed consolidating financial statements present the results of operations, financial position and cash flows of 21CFA, the Company and the subsidiaries of the Company and the eliminations and reclassifications necessary to arrive at the information for the Company on a consolidated basis. | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the three months ended March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 8,218 | $ | - | $ | 8,219 | ||||||||||
Expenses | (68 | ) | - | (6,652 | ) | - | (6,720 | ) | ||||||||||||
Equity earnings of affiliates | 1 | - | 169 | - | 170 | |||||||||||||||
Interest expense, net | (396 | ) | (142 | ) | (14 | ) | 268 | (284 | ) | |||||||||||
Interest income | 1 | 1 | 272 | (268 | ) | 6 | ||||||||||||||
Earnings (losses) from subsidiary entities | 236 | 1,203 | - | (1,439 | ) | - | ||||||||||||||
Other, net | 5 | - | (38 | ) | - | (33 | ) | |||||||||||||
(Loss) income from continuing operations | (220 | ) | 1,062 | 1,955 | (1,439 | ) | 1,358 | |||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax benefit (expense) | 50 | - | (390 | ) | 71 | (269 | ) | |||||||||||||
(Loss) income from continuing operations | (170 | ) | 1,062 | 1,565 | (1,368 | ) | 1,089 | |||||||||||||
(Loss) from discontinued operations, net of tax | (7 | ) | (9 | ) | - | - | (16 | ) | ||||||||||||
Net (loss) income | (177 | ) | 1,053 | 1,565 | (1,368 | ) | 1,073 | |||||||||||||
Less: Net income attributable to | - | - | (20 | ) | - | (20 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net (loss) income attributable to Twenty-First | $ | (177 | ) | $ | 1,053 | $ | 1,545 | $ | (1,368 | ) | $ | 1,053 | ||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive (loss) income attributable to | $ | (215 | ) | $ | 1,085 | $ | 1,689 | $ | (1,474 | ) | $ | 1,085 | ||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the three months ended March 31, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 7,352 | $ | - | $ | 7,353 | ||||||||||
Expenses | (132 | ) | - | (5,888 | ) | - | (6,020 | ) | ||||||||||||
Equity earnings of affiliates | 1 | - | 131 | - | 132 | |||||||||||||||
Interest expense, net | (381 | ) | (128 | ) | (18 | ) | 250 | (277 | ) | |||||||||||
Interest income | - | 1 | 257 | (250 | ) | 8 | ||||||||||||||
Earnings (losses) from subsidiary entities | 2,388 | 2,971 | - | (5,359 | ) | - | ||||||||||||||
Other, net | (24 | ) | 2 | 2,131 | - | 2,109 | ||||||||||||||
Income (loss) from continuing operations | 1,853 | 2,846 | 3,965 | (5,359 | ) | 3,305 | ||||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax (expense) benefit | (393 | ) | - | (883 | ) | 548 | (728 | ) | ||||||||||||
Income (loss) from continuing operations | 1,460 | 2,846 | 3,082 | (4,811 | ) | 2,577 | ||||||||||||||
Income from discontinued operations, net of tax | 8 | 8 | 305 | - | 321 | |||||||||||||||
Net income (loss) | 1,468 | 2,854 | 3,387 | (4,811 | ) | 2,898 | ||||||||||||||
Less: Net income attributable to | - | - | (44 | ) | - | (44 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net income (loss) attributable to Twenty-First | $ | 1,468 | $ | 2,854 | $ | 3,343 | $ | (4,811 | ) | $ | 2,854 | |||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive income (loss) attributable to | $ | 1,391 | $ | 2,407 | $ | 3,249 | $ | (4,640 | ) | $ | 2,407 | |||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the nine months ended March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 23,442 | $ | - | $ | 23,443 | ||||||||||
Expenses | (233 | ) | - | (19,162 | ) | - | (19,395 | ) | ||||||||||||
Equity earnings of affiliates | 1 | - | 429 | - | 430 | |||||||||||||||
Interest expense, net | (1,174 | ) | (418 | ) | (27 | ) | 789 | (830 | ) | |||||||||||
Interest income | 2 | 2 | 806 | (789 | ) | 21 | ||||||||||||||
Earnings (losses) from subsidiary entities | 770 | 3,228 | - | (3,998 | ) | - | ||||||||||||||
Other, net | 280 | - | (157 | ) | - | 123 | ||||||||||||||
(Loss) income from continuing operations | (353 | ) | 2,812 | 5,331 | (3,998 | ) | 3,792 | |||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax benefit (expense) | 86 | - | (1,306 | ) | 291 | (929 | ) | |||||||||||||
(Loss) income from continuing operations | (267 | ) | 2,812 | 4,025 | (3,707 | ) | 2,863 | |||||||||||||
(Loss) income from discontinued operations, | (7 | ) | 703 | - | - | 696 | ||||||||||||||
net of tax | ||||||||||||||||||||
Net (loss) income | (274 | ) | 3,515 | 4,025 | (3,707 | ) | 3,559 | |||||||||||||
Less: Net income attributable to | - | - | (44 | ) | - | (44 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net (loss) income attributable to Twenty-First | $ | (274 | ) | $ | 3,515 | $ | 3,981 | $ | (3,707 | ) | $ | 3,515 | ||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive (loss) income attributable to | $ | (72 | ) | $ | 3,858 | $ | 4,706 | $ | (4,634 | ) | $ | 3,858 | ||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the nine months ended March 31, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 20,462 | $ | - | $ | 20,463 | ||||||||||
Expenses | (388 | ) | - | (15,973 | ) | - | (16,361 | ) | ||||||||||||
Equity (losses) earnings of affiliates | (1 | ) | - | 433 | - | 432 | ||||||||||||||
Interest expense, net | (1,143 | ) | (364 | ) | (22 | ) | 727 | (802 | ) | |||||||||||
Interest income | 1 | 5 | 760 | (727 | ) | 39 | ||||||||||||||
Earnings (losses) from subsidiary entities | 5,030 | 7,811 | - | (12,841 | ) | - | ||||||||||||||
Other, net | (31 | ) | 6 | 3,697 | - | 3,672 | ||||||||||||||
Income (loss) from continuing operations | 3,469 | 7,458 | 9,357 | (12,841 | ) | 7,443 | ||||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax (expense) benefit | (670 | ) | - | (1,807 | ) | 1,040 | (1,437 | ) | ||||||||||||
Income (loss) from continuing operations | 2,799 | 7,458 | 7,550 | (11,801 | ) | 6,006 | ||||||||||||||
Income from discontinued operations, net of tax | 23 | 10 | 1,592 | - | 1,625 | |||||||||||||||
Net income (loss) | 2,822 | 7,468 | 9,142 | (11,801 | ) | 7,631 | ||||||||||||||
Less: Net income attributable to | - | - | (163 | ) | - | (163 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net income (loss) attributable to Twenty-First | $ | 2,822 | $ | 7,468 | $ | 8,979 | $ | (11,801 | ) | $ | 7,468 | |||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive income (loss) attributable to | $ | 2,726 | $ | 7,330 | $ | 8,804 | $ | (11,530 | ) | $ | 7,330 | |||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Balance Sheet | ||||||||||||||||||||
At March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
ASSETS: | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 466 | $ | 3,152 | $ | 1,899 | $ | - | $ | 5,517 | ||||||||||
Receivables, net | 19 | - | 6,307 | (12 | ) | 6,314 | ||||||||||||||
Inventories, net | - | - | 3,387 | - | 3,387 | |||||||||||||||
Other | 23 | - | 408 | - | 431 | |||||||||||||||
Total current assets | 508 | 3,152 | 12,001 | (12 | ) | 15,649 | ||||||||||||||
Non-current assets: | ||||||||||||||||||||
Receivables | 15 | - | 441 | - | 456 | |||||||||||||||
Inventories, net | - | - | 6,541 | - | 6,541 | |||||||||||||||
Property, plant and equipment, net | 126 | - | 2,816 | - | 2,942 | |||||||||||||||
Intangible assets, net | - | - | 8,294 | - | 8,294 | |||||||||||||||
Goodwill | - | - | 17,918 | - | 17,918 | |||||||||||||||
Other | 376 | - | 209 | - | 585 | |||||||||||||||
Investments: | ||||||||||||||||||||
Investments in associated companies | 91 | 55 | 2,762 | - | 2,908 | |||||||||||||||
and other investments | ||||||||||||||||||||
Intragroup investments | 64,986 | 45,524 | - | (110,510 | ) | - | ||||||||||||||
Total investments | 65,077 | 45,579 | 2,762 | (110,510 | ) | 2,908 | ||||||||||||||
TOTAL ASSETS | $ | 66,102 | $ | 48,731 | $ | 50,982 | $ | (110,522 | ) | $ | 55,293 | |||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Borrowings | $ | 750 | $ | - | $ | 47 | $ | - | $ | 797 | ||||||||||
Other current liabilities | 511 | 400 | 8,019 | (12 | ) | 8,918 | ||||||||||||||
Total current liabilities | 1,261 | 400 | 8,066 | (12 | ) | 9,715 | ||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Borrowings | 16,279 | - | 1,978 | - | 18,257 | |||||||||||||||
Other non-current liabilities | 586 | - | 5,237 | - | 5,823 | |||||||||||||||
Intercompany | 32,586 | 30,868 | (63,454 | ) | - | - | ||||||||||||||
Redeemable noncontrolling interests | - | - | 534 | - | 534 | |||||||||||||||
Total equity | 15,390 | 17,463 | 98,621 | (110,510 | ) | 20,964 | ||||||||||||||
TOTAL LIABILITIES AND EQUITY | $ | 66,102 | $ | 48,731 | $ | 50,982 | $ | (110,522 | ) | $ | 55,293 | |||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Balance Sheet | ||||||||||||||||||||
At June 30, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
ASSETS | ||||||||||||||||||||
Current Assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 524 | $ | 3,956 | $ | 2,179 | $ | - | $ | 6,659 | ||||||||||
Receivables, net | 17 | - | 5,442 | - | 5,459 | |||||||||||||||
Inventories, net | - | - | 2,784 | - | 2,784 | |||||||||||||||
Other | 28 | 209 | 428 | - | 665 | |||||||||||||||
Total current assets | 569 | 4,165 | 10,833 | - | 15,567 | |||||||||||||||
Non-current assets: | ||||||||||||||||||||
Receivables | 15 | - | 422 | - | 437 | |||||||||||||||
Inventories, net | - | - | 5,371 | - | 5,371 | |||||||||||||||
Property, plant and equipment, net | 132 | - | 2,697 | - | 2,829 | |||||||||||||||
Intangible assets, net | - | - | 5,064 | - | 5,064 | |||||||||||||||
Goodwill | - | - | 17,255 | - | 17,255 | |||||||||||||||
Other | 361 | - | 356 | - | 717 | |||||||||||||||
Investments: | ||||||||||||||||||||
Investments in associated companies | 86 | 58 | 3,560 | - | 3,704 | |||||||||||||||
and other investments | ||||||||||||||||||||
Intragroup investments | 64,062 | 41,775 | - | (105,837 | ) | - | ||||||||||||||
Total investments | 64,148 | 41,833 | 3,560 | (105,837 | ) | 3,704 | ||||||||||||||
TOTAL ASSETS | $ | 65,225 | $ | 45,998 | $ | 45,558 | $ | (105,837 | ) | $ | 50,944 | |||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Borrowings | $ | 137 | $ | - | $ | - | $ | - | $ | 137 | ||||||||||
Other current liabilities | 551 | 134 | 7,613 | - | 8,298 | |||||||||||||||
Total current liabilities | 688 | 134 | 7,613 | - | 8,435 | |||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Borrowings | 16,029 | - | 292 | - | 16,321 | |||||||||||||||
Other non-current liabilities | 307 | 16 | 5,221 | - | 5,544 | |||||||||||||||
Intercompany | 31,495 | 28,850 | (60,345 | ) | - | - | ||||||||||||||
Redeemable noncontrolling interests | - | - | 519 | - | 519 | |||||||||||||||
Total equity | 16,706 | 16,998 | 92,258 | (105,837 | ) | 20,125 | ||||||||||||||
TOTAL LIABILITIES AND EQUITY | $ | 65,225 | $ | 45,998 | $ | 45,558 | $ | (105,837 | ) | $ | 50,944 | |||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||
For the nine months ended March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating | $ | (817 | ) | $ | 1,481 | $ | 917 | $ | - | $ | 1,581 | |||||||||
activities from continuing operations | ||||||||||||||||||||
Investing activities: | ||||||||||||||||||||
Property, plant and equipment | (3 | ) | - | (467 | ) | - | (470 | ) | ||||||||||||
Investments | (1 | ) | - | (796 | ) | - | (797 | ) | ||||||||||||
Proceeds from dispositions | - | - | 259 | - | 259 | |||||||||||||||
Net cash used in investing activities from | (4 | ) | - | (1,004 | ) | - | (1,008 | ) | ||||||||||||
continuing operations | ||||||||||||||||||||
Financing activities: | ||||||||||||||||||||
Borrowings | 987 | - | - | - | 987 | |||||||||||||||
Repayments of borrowings | (134 | ) | - | (8 | ) | - | (142 | ) | ||||||||||||
Issuance of shares | - | 66 | - | - | 66 | |||||||||||||||
Repurchase of shares | - | (2,752 | ) | - | - | (2,752 | ) | |||||||||||||
Purchase of subsidiary shares from | - | - | (76 | ) | - | (76 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Dividends paid | - | (287 | ) | (157 | ) | - | (444 | ) | ||||||||||||
Distribution to News Corporation | - | (10 | ) | - | - | (10 | ) | |||||||||||||
Net cash provided by (used in) financing | 853 | (2,983 | ) | (241 | ) | - | (2,371 | ) | ||||||||||||
activities from continuing operations | ||||||||||||||||||||
Net (decrease) increase in cash and cash | (90 | ) | 698 | - | - | 608 | ||||||||||||||
equivalents from discontinued operations | ||||||||||||||||||||
Net decrease in cash and cash | (58 | ) | (804 | ) | (328 | ) | - | (1,190 | ) | |||||||||||
equivalents | ||||||||||||||||||||
Cash and cash equivalents, beginning of | 524 | 3,956 | 2,179 | - | 6,659 | |||||||||||||||
year | ||||||||||||||||||||
Exchange movement on opening cash | - | - | 48 | - | 48 | |||||||||||||||
balance | ||||||||||||||||||||
Cash and cash equivalents, end of period | $ | 466 | $ | 3,152 | $ | 1,899 | $ | - | $ | 5,517 | ||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||
For the nine months ended March 31, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating | $ | (828 | ) | $ | 909 | $ | 2,304 | $ | - | $ | 2,385 | |||||||||
activities from continuing operations | ||||||||||||||||||||
Investing activities: | ||||||||||||||||||||
Property, plant and equipment | (16 | ) | - | (384 | ) | - | (400 | ) | ||||||||||||
Investments | (6 | ) | (15 | ) | (1,240 | ) | - | (1,261 | ) | |||||||||||
Proceeds from dispositions | - | - | 1,968 | - | 1,968 | |||||||||||||||
Net cash (used in) provided by investing | (22 | ) | (15 | ) | 344 | - | 307 | |||||||||||||
activities from continuing operations | ||||||||||||||||||||
Financing activities: | ||||||||||||||||||||
Borrowings | 987 | - | 290 | - | 1,277 | |||||||||||||||
Repayment of borrowings | (273 | ) | - | (481 | ) | - | (754 | ) | ||||||||||||
Issuance of shares | - | 170 | - | - | 170 | |||||||||||||||
Repurchase of shares | - | (1,834 | ) | - | - | (1,834 | ) | |||||||||||||
Dividends paid | - | (201 | ) | (163 | ) | - | (364 | ) | ||||||||||||
Sale of subsidiary shares to noncontrolling | - | - | 70 | - | 70 | |||||||||||||||
interest | ||||||||||||||||||||
Net cash provided by (used in) financing | 714 | (1,865 | ) | (284 | ) | - | (1,435 | ) | ||||||||||||
activities from continuing operations | ||||||||||||||||||||
Net decrease in cash and cash equivalents | (41 | ) | - | (1,536 | ) | - | (1,577 | ) | ||||||||||||
from discontinued operations | ||||||||||||||||||||
Net (decrease) increase in cash and cash | (177 | ) | (971 | ) | 828 | - | (320 | ) | ||||||||||||
equivalents | ||||||||||||||||||||
Cash and cash equivalents, beginning of | 561 | 6,005 | 3,060 | - | 9,626 | |||||||||||||||
year | ||||||||||||||||||||
Exchange movement on opening cash | - | - | 18 | - | 18 | |||||||||||||||
balance | ||||||||||||||||||||
Cash and cash equivalents, end of period | $ | 384 | $ | 5,034 | $ | 3,906 | $ | - | $ | 9,324 | ||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Notes to Supplemental Guarantor Information | ||||||||||||||||||||
-1 | Investments in the Company’s subsidiaries, for purposes of the supplemental consolidating presentation, are accounted for by their parent companies under the equity method of accounting whereby earnings of subsidiaries are reflected in the respective parent company’s investment account and earnings. | |||||||||||||||||||
-2 | The guarantees of 21CFA’s senior public indebtedness constitute senior indebtedness of the Company, and rank pari passu with all present and future senior indebtedness of the Company. Because the factual basis underlying the obligations created pursuant to the various facilities and other obligations constituting senior indebtedness of the Company differ, it is not possible to predict how a court in bankruptcy would accord priorities among the obligations of the Company. |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Revenues and Income from Discontinued Operations | ' | |||||||||||||||
Revenues and (Loss) income from discontinued operations related to News Corp were as follows: | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions, except per share data) | ||||||||||||||||
Revenues | $ | - | $ | 2,185 | $ | - | $ | 6,636 | ||||||||
(Loss) income before income tax (expense) benefit(a) | $ | (16 | ) | $ | 363 | $ | 696 | $ | 1,668 | |||||||
Income tax (expense) benefit | $ | - | $ | (13 | ) | $ | - | $ | 35 | |||||||
(Loss) income from discontinued operations, net of tax | $ | (16 | ) | $ | 321 | $ | 696 | $ | 1,625 | |||||||
Basic EPS from discontinued operations | $ | (0.01 | ) | $ | 0.14 | $ | 0.31 | $ | 0.69 | |||||||
Diluted EPS from discontinued operations | $ | (0.01 | ) | $ | 0.14 | $ | 0.3 | $ | 0.69 | |||||||
(a) | Includes the net tax refund from News Corp, as stated above, for the nine months ended March 31, 2014 of approximately $720 million. | |||||||||||||||
Cash Flows from Discontinued Operations | ' | |||||||||||||||
Cash flows from discontinued operations related to News Corp were as follows: | ||||||||||||||||
For the nine months ended | ||||||||||||||||
March 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
(in millions) | ||||||||||||||||
Net cash provided by operating activities from discontinued operations | $ | 608 | $ | 379 | ||||||||||||
Net cash used in investing activities from discontinued operations | - | (1,692 | ) | |||||||||||||
Net cash used in financing activities from discontinued operations | - | (264 | ) | |||||||||||||
Net increase (decrease) in cash and cash equivalents from discontinued operations | $ | 608 | $ | (1,577 | ) | |||||||||||
Receivables_Net_Tables
Receivables, Net (Tables) | 9 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Schedule of Receivables, Net | ' | |||||||
Receivables, net consisted of: | ||||||||
As of | As of | |||||||
March 31, | June 30, | |||||||
2014 | 2013 | |||||||
(in millions) | ||||||||
Total receivables | $ | 7,810 | $ | 6,795 | ||||
Allowances for returns and doubtful accounts | (1,040 | ) | (899 | ) | ||||
Total receivables, net | 6,770 | 5,896 | ||||||
Less: current receivables, net | (6,314 | ) | (5,459 | ) | ||||
Non-current receivables, net | $ | 456 | $ | 437 | ||||
Inventories_Tables
Inventories (Tables) | 9 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Schedule of Inventories | ' | |||||||
The Company’s inventories were comprised of the following: | ||||||||
As of | As of | |||||||
March 31, | June 30, | |||||||
2014 | 2013 | |||||||
(in millions) | ||||||||
Programming rights | $ | 6,052 | $ | 4,996 | ||||
DVDs, Blu-rays, and other merchandise | 82 | 69 | ||||||
Filmed entertainment costs: | ||||||||
Films: | ||||||||
Released | 971 | 806 | ||||||
Completed, not released | 112 | 10 | ||||||
In production | 1,129 | 958 | ||||||
In development or preproduction | 205 | 193 | ||||||
2,417 | 1,967 | |||||||
Television productions: | ||||||||
Released | 764 | 696 | ||||||
In production | 610 | 425 | ||||||
In development or preproduction | 3 | 2 | ||||||
1,377 | 1,123 | |||||||
Total filmed entertainment costs, less accumulated amortization(a) | 3,794 | 3,090 | ||||||
Total inventories, net | 9,928 | 8,155 | ||||||
Less: current portion of inventories, net(b) | (3,387 | ) | (2,784 | ) | ||||
Total non-current inventories, net | $ | 6,541 | $ | 5,371 | ||||
(a) | Does not include $343 million and $366 million of net intangible film library costs as of March 31, 2014 and June 30, 2013, respectively, which are included in intangible assets subject to amortization in the consolidated balance sheets. | |||||||
(b) | Current portion of inventories as of March 31, 2014 and June 30, 2013 was comprised of programming rights ($3,305 million and $2,715 million, respectively), DVDs, Blu-rays, and other merchandise. |
Investments_Tables
Investments (Tables) | 9 Months Ended | |||||||||||||
Mar. 31, 2014 | ||||||||||||||
Schedule of Investments | ' | |||||||||||||
The Company’s investments were comprised of the following: | ||||||||||||||
Ownership | As of | As of | ||||||||||||
percentage | March 31, | June 30, | ||||||||||||
As of | 2014 | 2013 | ||||||||||||
March 31, | ||||||||||||||
2014 | ||||||||||||||
(in millions) | ||||||||||||||
Equity method investments: | ||||||||||||||
British Sky Broadcasting Group plc(a) | U.K. DBS operator | 39% | $ | 2,311 | $ | 1,978 | ||||||||
Yankees Entertainment and Sports Network(b) | Regional sports network | 80% | - | 825 | ||||||||||
Other equity method investments | various | 368 | 386 | |||||||||||
Fair value of available-for-sale investments | various | 47 | 268 | |||||||||||
Other investments | various | 182 | 247 | |||||||||||
Total investments | $ | 2,908 | $ | 3,704 | ||||||||||
(a) | The Company’s investment in British Sky Broadcasting Group plc (“BSkyB”) had a market value of $9,364 million at March 31, 2014 and was valued using the quoted market price on the London Stock Exchange (a Level 1 measurement as described in Note 8 – Fair Value). | |||||||||||||
(b) | See Note 3 – Acquisitions, Disposals and Other Transactions. | |||||||||||||
Schedule of Available-for-Sale Investments | ' | |||||||||||||
The cost basis, unrealized gains, unrealized losses and fair market value of available-for-sale investments are set forth below: | ||||||||||||||
As of | As of | |||||||||||||
March 31, | June 30, | |||||||||||||
2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||
Cost basis of available-for-sale investments | $ | 21 | $ | 36 | ||||||||||
Accumulated gross unrealized gain(a) | 26 | 232 | ||||||||||||
Fair value of available-for-sale investments | $ | 47 | $ | 268 | ||||||||||
Net deferred tax liability | $ | 9 | $ | 81 | ||||||||||
(a) | Approximately $200 million of the unrealized gain as of June 30, 2013 relates to the Company’s investment in Phoenix which was sold in November 2013 and recognized in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. | |||||||||||||
Fair_Value_Tables
Fair Value (Tables) | 9 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Fair Value of Financial Assets (Liabilities) and the Level Used to Measure Them | ' | ||||||||||||||||
The tables below present information about financial assets and liabilities carried at fair value on a recurring basis: | |||||||||||||||||
Fair value measurements | |||||||||||||||||
As of March 31, 2014 | |||||||||||||||||
Description | Total | Quoted prices in | Significant | Significant | |||||||||||||
active markets for | other | unobservable | |||||||||||||||
identical instruments | observable | inputs | |||||||||||||||
(Level 1) | inputs | (Level 3) | |||||||||||||||
(Level 2) | |||||||||||||||||
(in millions) | |||||||||||||||||
Assets | |||||||||||||||||
Available-for-sale securities(a) | $ | 47 | $ | 47 | $ | - | $ | - | |||||||||
Liabilities | |||||||||||||||||
Derivatives(b) | (18 | ) | - | (18 | ) | - | |||||||||||
Redeemable noncontrolling interests(c) | (534 | ) | - | - | (534 | ) | |||||||||||
Total | $ | (505 | ) | $ | 47 | $ | (18 | ) | $ | (534 | ) | ||||||
As of June 30, 2013 | |||||||||||||||||
Description | Total | Quoted prices in | Significant | Significant | |||||||||||||
active markets for | other | unobservable | |||||||||||||||
identical instruments | observable | inputs | |||||||||||||||
(Level 1) | |||||||||||||||||
inputs | (Level 3) | ||||||||||||||||
(Level 2) | |||||||||||||||||
(in millions) | |||||||||||||||||
Assets | |||||||||||||||||
Available-for-sale securities(a) | $ | 268 | $ | 268 | $ | - | $ | - | |||||||||
Derivatives(b) | 3 | - | 3 | - | |||||||||||||
Redeemable noncontrolling interests(c) | (519 | ) | - | - | (519 | ) | |||||||||||
Total | $ | (248 | ) | $ | 268 | $ | 3 | $ | (519 | ) | |||||||
(a) | See Note 7 – Investments. | ||||||||||||||||
(b) | Primarily represents derivatives associated with the Company’s foreign currency forward and interest rate swap contracts designated as cash flow hedges. | ||||||||||||||||
(c) | The Company accounts for redeemable noncontrolling interests in accordance with ASC 480-10-S99-3A because their exercise is outside the control of the Company and, accordingly, as of March 31, 2014 and June 30, 2013, has included the fair value of the redeemable noncontrolling interests in the consolidated balance sheets. The redeemable noncontrolling interests recorded at fair value are put arrangements held by the noncontrolling interests in certain of the Company’s majority-owned sports networks. | ||||||||||||||||
The Company utilizes the market, income or cost approaches or a combination of these valuation techniques for its Level 3 fair value measures. Inputs to such measures could include observable market data obtained from independent sources such as broker quotes and recent market transactions for similar assets. It is the Company’s policy to maximize the use of observable inputs in the measurement of its Level 3 fair value measurements. To the extent observable inputs are not available, the Company utilizes unobservable inputs based upon the assumptions market participants would use in valuing the asset. Examples of utilized unobservable inputs are future cash flows, long term growth rates and applicable discount rates. | |||||||||||||||||
Significant unobservable inputs used in the fair value measurement of the Company’s redeemable noncontrolling interests are earnings before interest, taxes, depreciation and amortization (“OIBDA”) growth rates (3% - 7% range) and discount rates (8%). Significant increases (decreases) in growth rates and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in growth rates and multiples, would result in a significantly higher (lower) fair value measurement. | |||||||||||||||||
The fair value of the redeemable noncontrolling interests in two of the sports networks were primarily determined by (i) applying a multiples-based formula that is intended to approximate fair value for one of the sports networks and (ii) using a discounted OIBDA valuation model, assuming a 8% discount rate for another sports network. As of March 31, 2014, one of the minority shareholder’s put right is currently exercisable and another minority shareholder’s put right will become exercisable in March 2015. | |||||||||||||||||
The remaining redeemable noncontrolling interest is currently not exercisable and is not material. | |||||||||||||||||
Changes in Fair Value of Financial Liabilities on a Recurring Basis Using Level 3 | ' | ||||||||||||||||
The changes in redeemable noncontrolling interests classified as Level 3 measurements were as follows: | |||||||||||||||||
For the nine months ended | |||||||||||||||||
March 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||
Beginning of period | $ | (519 | ) | $ | (641 | ) | |||||||||||
Net income attributable to redeemable noncontrolling interests | (74 | ) | (74 | ) | |||||||||||||
Distributions and other | 59 | 70 | |||||||||||||||
End of period | $ | (534 | ) | $ | (645 | ) | |||||||||||
Changes in Fair Value of Derivatives Designated as Cash Flow Hedges and Other Derivatives | ' | ||||||||||||||||
The following table shows the changes in fair value of derivatives designated as cash flow hedges and other derivatives: | |||||||||||||||||
For the three months ended | |||||||||||||||||
March 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||
Beginning of period | $ | (19 | ) | $ | (3 | ) | |||||||||||
Changes in fair value recorded in accumulated other comprehensive (loss) income, net of | (5 | ) | 6 | ||||||||||||||
settlements | |||||||||||||||||
Reclassified losses from accumulated other comprehensive income to net income | 6 | 1 | |||||||||||||||
Other | - | (13 | ) | ||||||||||||||
End of period | $ | (18 | ) | $ | (9 | ) | |||||||||||
For the nine months ended | |||||||||||||||||
March 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||
Beginning of period | $ | 3 | $ | 17 | |||||||||||||
Changes in fair value recorded in accumulated other comprehensive loss, net of settlements | (26 | ) | - | ||||||||||||||
Reclassified losses (gains) from accumulated other comprehensive income to net income | 10 | (13 | ) | ||||||||||||||
Other | (5 | ) | (13 | ) | |||||||||||||
End of period | $ | (18 | ) | $ | (9 | ) | |||||||||||
Goodwill_Tables
Goodwill (Tables) | 9 Months Ended | |||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||
Schedule of Changes in the Carrying Value of Goodwill | ' | |||||||||||||||||||||||
The changes in the carrying value of goodwill, by segment, are as follows: | ||||||||||||||||||||||||
Cable Network | Television | Filmed | Direct Broadcast | Other, Corporate and Eliminations | Total Goodwill | |||||||||||||||||||
Programming | Entertainment | Satellite | ||||||||||||||||||||||
Television | ||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Balance, June 30, 2013 | $ | 7,753 | $ | 1,882 | $ | 1,537 | $ | 6,052 | $ | 31 | $ | 17,255 | ||||||||||||
Acquisitions | 1,489 | - | - | - | - | 1,489 | ||||||||||||||||||
Foreign exchange movements | - | - | 44 | 310 | - | 354 | ||||||||||||||||||
Adjustments | 159 | - | - | (1,339 | ) | - | (1,180 | ) | ||||||||||||||||
Balance, March 31, 2014 | $ | 9,401 | $ | 1,882 | $ | 1,581 | $ | 5,023 | $ | 31 | $ | 17,918 | ||||||||||||
Borrowings_Tables
Borrowings (Tables) | 9 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Carrying Value of the Yes Network's Debt | ' | |||||||
The carrying value of the YES Network’s debt, as of March 31, 2014, is comprised of the following: | ||||||||
Maturity Date | As of | |||||||
March 31, | ||||||||
2014 | ||||||||
(in millions) | ||||||||
Credit agreement:(a) | ||||||||
Term loan | Dec-17 | $ | 1,085 | |||||
Revolving credit facility | Dec-17 | 27 | ||||||
Total credit agreement | 1,112 | |||||||
Senior subordinated notes(b) | Jun-18 | 603 | ||||||
Total YES Network debt | 1,715 | |||||||
Less: current borrowings | (47 | ) | ||||||
Noncurrent borrowings | $ | 1,668 | ||||||
(a) | The credit agreement provides a term loan and a $305 million secured revolving credit facility with a sub-limit available for the issuance of letters of credit. | |||||||
The material terms of the credit agreement include various financial and restrictive covenants. The credit agreement is collateralized by a substantial portion of the real and personal property assets of the YES Network. | ||||||||
At the election of YES Network, the credit agreement bears interest at (i) one, two, three or six month LIBOR plus the applicable LIBOR margin, or (ii) the Base Rate plus a Base Rate margin; margins reset quarterly based on the specified leverage ratio of YES Network. YES Network pays a facility fee of 0.50%. | ||||||||
Principal payments with respect to the term loan are required quarterly. The payments for each of the succeeding five fiscal years are as follows: 2014 – $19 million; 2015 – $49 million; 2016 – $84 million; 2017 – $99 million; and 2018 – $834 million. Additionally, an annual excess cash flow payment is required as mandatory prepayment of future amortization obligations, subject to certain leverage ratio conditions. | ||||||||
The credit agreement also provides for the establishment of additional credit facilities provided certain terms and provisions are met. | ||||||||
(b) | The Senior Subordinated Notes were issued in June 2008 with a principal amount of $525 million pursuant to an indenture agreement and note purchase agreement. These notes are direct unsecured obligations of the YES Network and rank pari passu with all other unsecured indebtedness of the YES Network. Redemption may occur after a specified date, in whole or in part, at the option of the Company, at the principal plus any redemption fees, otherwise the principal amount is due at maturity. These agreements contain various customary affirmative and negative covenants. On acquisition of the majority interest in the YES Network, the Company recorded a preliminary fair value adjustment to increase the carrying value of the Senior Subordinated Notes to the acquisition date fair value of approximately $605 million yielding an effective interest rate of 5.75%. The adjustment is being amortized as a reduction of interest expense over the remaining term of the obligation. |
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 9 Months Ended | |||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||
Schedule of Changes in Equity | ' | |||||||||||||||||||||||
The following table summarizes changes in equity: | ||||||||||||||||||||||||
For the three months ended March 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Twenty-First | Twenty-First | |||||||||||||||||||||||
Century Fox | Noncontrolling | Total | Century Fox | Noncontrolling | Total | |||||||||||||||||||
stockholders | interests | equity | stockholders | interests | equity | |||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Balance, beginning of period | $ | 17,649 | $ | 3,151 | $ | 20,800 | $ | 28,152 | $ | 853 | $ | 29,005 | ||||||||||||
Net income | 1,053 | (6 | ) | (a) | 1,047 | 2,854 | 29 | (a) | 2,883 | |||||||||||||||
Other comprehensive income (loss) | 32 | 4 | 36 | (447 | ) | - | (447 | ) | ||||||||||||||||
Cancellation of shares, net | (1,013 | ) | - | (1,013 | ) | (361 | ) | - | (361 | ) | ||||||||||||||
Dividends declared | (281 | ) | - | (281 | ) | (197 | ) | - | (197 | ) | ||||||||||||||
Acquisitions | - | 385 | (b) | 385 | - | 2,301 | (b) | 2,301 | ||||||||||||||||
Other | 23 | (33 | ) | (c) | (10 | ) | 63 | 2 | (c) | 65 | ||||||||||||||
Balance, end of period | $ | 17,463 | $ | 3,501 | $ | 20,964 | $ | 30,064 | $ | 3,185 | $ | 33,249 | ||||||||||||
For the nine months ended March 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Twenty-First | Twenty-First | |||||||||||||||||||||||
Century Fox | Noncontrolling | Total | Century Fox | Noncontrolling | Total | |||||||||||||||||||
stockholders | interests | equity | stockholders | interests | equity | |||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Balance, beginning of period | $ | 16,998 | $ | 3,127 | $ | 20,125 | $ | 24,684 | $ | 501 | $ | 25,185 | ||||||||||||
Net income | 3,515 | (30 | ) | (a) | 3,485 | 7,468 | 121 | (a) | 7,589 | |||||||||||||||
Other comprehensive income (loss) | 343 | 134 | 477 | (138 | ) | 2 | (136 | ) | ||||||||||||||||
Cancellation of shares, net | (2,577 | ) | - | (2,577 | ) | (1,573 | ) | - | (1,573 | ) | ||||||||||||||
Dividends declared | (568 | ) | - | (568 | ) | (398 | ) | - | (398 | ) | ||||||||||||||
Acquisitions | - | 385 | (b) | 385 | - | 2,619 | (b) | 2,619 | ||||||||||||||||
Other | (248 | ) | (115 | ) | (c) | (363 | ) | 21 | (58 | ) | (c) | (37 | ) | |||||||||||
Balance, end of period | $ | 17,463 | $ | 3,501 | $ | 20,964 | $ | 30,064 | $ | 3,185 | $ | 33,249 | ||||||||||||
(a) | Net income attributable to noncontrolling interests excludes $26 million for the three months ended March 31, 2014 and 2013 and $74 million for the nine months ended March 31, 2014 and 2013, relating to redeemable noncontrolling interests which are reflected in temporary equity. For the three and nine months ended March 31, 2013, Net income attributable to noncontrolling interests included $11 million and $32 million, respectively, relating to Discontinued Operations. | |||||||||||||||||||||||
(b) | Represents the non-controlling interest in the YES Network, Sky Deutschland and EMM at their acquisition date fair values. The Company acquired the majority interest in the YES Network in February 2014, Sky Deutschland in January 2013 and EMM in November 2012. | |||||||||||||||||||||||
(c) | Other activity attributable to noncontrolling interests excludes $(13) million and $(30) million for the three months ended March 31, 2014 and 2013, respectively, and $(59) million and $(70) million for the nine months ended March 31, 2014 and 2013, respectively, relating to redeemable noncontrolling interests. | |||||||||||||||||||||||
Schedule of Comprehensive Income Loss | ' | |||||||||||||||||||||||
The following table summarizes the activity within Other comprehensive income (loss): | ||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, 2014 | March 31, 2014 | |||||||||||||||||||||||
Before tax | Tax | Net of tax | Before tax | Tax | Net of tax | |||||||||||||||||||
(provision) | (provision) | |||||||||||||||||||||||
benefit | benefit | |||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Foreign currency translation adjustments | ||||||||||||||||||||||||
Unrealized gains | $ | 17 | $ | (1 | ) | $ | 16 | $ | 663 | $ | (83 | ) | $ | 580 | ||||||||||
Amount reclassified on hedging activity(a) | 6 | (1 | ) | 5 | 10 | (2 | ) | 8 | ||||||||||||||||
Other comprehensive income | $ | 23 | $ | (2 | ) | $ | 21 | $ | 673 | $ | (85 | ) | $ | 588 | ||||||||||
Gains and losses on securities | ||||||||||||||||||||||||
Unrealized gains (losses) | $ | 8 | $ | (3 | ) | $ | 5 | $ | (6 | ) | $ | 2 | $ | (4 | ) | |||||||||
Amount reclassified on sale of Phoenix(b) | - | - | - | (200 | ) | 70 | (130 | ) | ||||||||||||||||
Other comprehensive income (loss) | $ | 8 | $ | (3 | ) | $ | 5 | $ | (206 | ) | $ | 72 | $ | (134 | ) | |||||||||
Benefit plan adjustments | ||||||||||||||||||||||||
Reclassification adjustments realized in net | $ | 15 | $ | (5 | ) | $ | 10 | $ | 37 | $ | (14 | ) | $ | 23 | ||||||||||
income(c) | ||||||||||||||||||||||||
Other comprehensive income | $ | 15 | $ | (5 | ) | $ | 10 | $ | 37 | $ | (14 | ) | $ | 23 | ||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, 2013 | March 31, 2013 | |||||||||||||||||||||||
Before tax | Tax | Net of tax | Before tax | Tax | Net of tax | |||||||||||||||||||
(provision) | (provision) | |||||||||||||||||||||||
benefit | benefit | |||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Foreign currency translation adjustments | ||||||||||||||||||||||||
Unrealized losses | $ | (434 | ) | $ | - | $ | (434 | ) | $ | (154 | ) | $ | - | $ | (154 | ) | ||||||||
Amount reclassified on hedging activity(a) | 1 | - | 1 | (13 | ) | 5 | (8 | ) | ||||||||||||||||
Amount reclassified on the sale of NDS(b) | - | - | - | 10 | - | 10 | ||||||||||||||||||
Other comprehensive loss | $ | (433 | ) | $ | - | $ | (433 | ) | $ | (157 | ) | $ | 5 | $ | (152 | ) | ||||||||
Gains and losses on securities | ||||||||||||||||||||||||
Unrealized losses | $ | (42 | ) | $ | 15 | $ | (27 | ) | $ | (39 | ) | $ | 14 | $ | (25 | ) | ||||||||
Other comprehensive loss | $ | (42 | ) | $ | 15 | $ | (27 | ) | $ | (39 | ) | $ | 14 | $ | (25 | ) | ||||||||
Benefit plan adjustments | ||||||||||||||||||||||||
Reclassification adjustments realized in net | $ | 19 | $ | (6 | ) | $ | 13 | $ | 54 | $ | (13 | ) | $ | 41 | ||||||||||
income(c) | ||||||||||||||||||||||||
Other comprehensive income | $ | 19 | $ | (6 | ) | $ | 13 | $ | 54 | $ | (13 | ) | $ | 41 | ||||||||||
(a) | Reclassifications of amounts related to hedging activity are included in Operating expenses or Selling, general and administrative expenses, as appropriate, in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 8 – Fair Value for additional information regarding hedging activity. | |||||||||||||||||||||||
(b) | Reclassifications of amounts related to the sale of Phoenix are included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. Reclassifications of amounts related to the sale of NDS are included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2013. | |||||||||||||||||||||||
(c) | Reclassifications of amounts related to benefit plan adjustments are included in Selling, general and administrative expenses in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 15 – Pension And Other Postretirement Benefits for additional information. | |||||||||||||||||||||||
Schedule of Dividends Declared | ' | |||||||||||||||||||||||
The following table summarizes the dividends declared per share on both the Company’s Class A common stock, par value $0.01 per share (“Class A Common Stock”) and the Class B common stock, par value $0.01 per share (“Class B Common Stock”): | ||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Cash dividend per share | $ | 0.125 | $ | 0.085 | $ | 0.25 | $ | 0.17 | ||||||||||||||||
Earnings Per Share Data Numerator ReconciliationTableTextBlock | ' | |||||||||||||||||||||||
The following table sets forth the Company’s computation of Income from continuing operations attributable to Twenty-First Century Fox, Inc. stockholders: | ||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Income from continuing operations | $ | 1,089 | $ | 2,577 | $ | 2,863 | $ | 6,006 | ||||||||||||||||
Less: Net income attributable to noncontrolling interests | (20 | ) | (44 | ) | (44 | ) | (163 | ) | ||||||||||||||||
Income from continuing operations attributable to Twenty-First | $ | 1,069 | $ | 2,533 | $ | 2,819 | $ | 5,843 | ||||||||||||||||
Century Fox, Inc. stockholders | ||||||||||||||||||||||||
EquityBased_Compensation_Table
Equity-Based Compensation (Tables) | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Summary of Equity-Based Compensation | ' | |||||||||||||||
The following table summarizes the Company’s equity-based compensation transactions: | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Equity-based compensation | $ | 30 | $ | 64 | $ | 126 | $ | 201 | ||||||||
Cash received from exercise of equity-based compensation | $ | - | $ | 29 | $ | 35 | $ | 148 | ||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Reconciliation of Revenue and Segment OIBDA from Segments to Consolidated | ' | |||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Revenues: | ||||||||||||||||
Cable Network Programming | $ | 3,152 | $ | 2,827 | $ | 8,926 | $ | 7,928 | ||||||||
Television | 1,587 | 1,249 | 4,265 | 3,764 | ||||||||||||
Filmed Entertainment | 2,279 | 2,346 | 6,876 | 6,607 | ||||||||||||
Direct Broadcast Satellite Television | 1,530 | 1,320 | 4,437 | 3,060 | ||||||||||||
Other, Corporate and Eliminations | (329 | ) | (389 | ) | (1,061 | ) | (896 | ) | ||||||||
Total revenues | $ | 8,219 | $ | 7,353 | $ | 23,443 | $ | 20,463 | ||||||||
Segment OIBDA: | ||||||||||||||||
Cable Network Programming | $ | 1,176 | $ | 1,069 | $ | 3,205 | $ | 3,098 | ||||||||
Television | 288 | 219 | 737 | 642 | ||||||||||||
Filmed Entertainment | 354 | 334 | 1,019 | 1,191 | ||||||||||||
Direct Broadcast Satellite Television | 58 | 91 | 278 | 241 | ||||||||||||
Other, Corporate and Eliminations | (89 | ) | (143 | ) | (290 | ) | (399 | ) | ||||||||
Total Segment OIBDA | $ | 1,787 | $ | 1,570 | $ | 4,949 | $ | 4,773 | ||||||||
Amortization of cable distribution investments | (21 | ) | (23 | ) | (61 | ) | (67 | ) | ||||||||
Depreciation and amortization | (267 | ) | (214 | ) | (840 | ) | (569 | ) | ||||||||
Impairment charges | - | - | - | (35 | ) | |||||||||||
Equity earnings of affiliates | 170 | 132 | 430 | 432 | ||||||||||||
Interest expense, net | (284 | ) | (277 | ) | (830 | ) | (802 | ) | ||||||||
Interest income | 6 | 8 | 21 | 39 | ||||||||||||
Other, net | (33 | ) | 2,109 | 123 | 3,672 | |||||||||||
Income from continuing operations before income tax expense | 1,358 | 3,305 | 3,792 | 7,443 | ||||||||||||
Income tax expense | (269 | ) | (728 | ) | (929 | ) | (1,437 | ) | ||||||||
Income from continuing operations | 1,089 | 2,577 | 2,863 | 6,006 | ||||||||||||
(Loss) income from discontinued operations, net of tax | (16 | ) | 321 | 696 | 1,625 | |||||||||||
Net income | 1,073 | 2,898 | 3,559 | 7,631 | ||||||||||||
Less: Net income attributable to noncontrolling interests | (20 | ) | (44 | ) | (44 | ) | (163 | ) | ||||||||
Net income attributable to Twenty-First Century Fox, Inc. | $ | 1,053 | $ | 2,854 | $ | 3,515 | $ | 7,468 | ||||||||
stockholders | ||||||||||||||||
Reconciliation of Depreciation and Amortization from Segments to Consolidated | ' | |||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Depreciation and amortization: | ||||||||||||||||
Cable Network Programming | $ | 58 | $ | 53 | $ | 157 | $ | 140 | ||||||||
Television | 30 | 23 | 79 | 66 | ||||||||||||
Filmed Entertainment | 33 | 32 | 98 | 98 | ||||||||||||
Direct Broadcast Satellite Television | 143 | 102 | 495 | 249 | ||||||||||||
Other, Corporate and Eliminations | 3 | 4 | 11 | 16 | ||||||||||||
Total depreciation and amortization | $ | 267 | $ | 214 | $ | 840 | $ | 569 | ||||||||
Depreciation and amortization for the three months ended March 31, 2014 and 2013 include the amortization of definite lived intangible assets of $82 million and $51 million, respectively. Depreciation and amortization for the nine months ended March 31, 2014 and 2013 include the amortization of definite lived intangible assets of $300 million and $125 million, respectively. | ||||||||||||||||
Reconciliation of Assets from Segments to Consolidated | ' | |||||||||||||||
As of | As of | |||||||||||||||
March 31, | June 30, | |||||||||||||||
2014 | 2013 | |||||||||||||||
(in millions) | ||||||||||||||||
Total assets: | ||||||||||||||||
Cable Network Programming | $ | 22,431 | $ | 17,830 | ||||||||||||
Television | 6,727 | 6,415 | ||||||||||||||
Filmed Entertainment | 10,700 | 9,411 | ||||||||||||||
Direct Broadcast Satellite Television | 9,378 | 8,636 | ||||||||||||||
Other, Corporate and Eliminations | 3,149 | 4,948 | ||||||||||||||
Investments | 2,908 | 3,704 | ||||||||||||||
Total assets | $ | 55,293 | $ | 50,944 | ||||||||||||
Reconciliation of Goodwill and Intangible Assets from Segments to Consolidated | ' | |||||||||||||||
Goodwill and Intangible assets, net: | ||||||||||||||||
Cable Network Programming | $ | 12,870 | $ | 9,444 | ||||||||||||
Television | 4,282 | 4,283 | ||||||||||||||
Filmed Entertainment | 2,442 | 2,439 | ||||||||||||||
Direct Broadcast Satellite Television | 6,522 | 6,057 | ||||||||||||||
Other, Corporate and Eliminations | 96 | 96 | ||||||||||||||
Total goodwill and intangible assets, net | $ | 26,212 | $ | 22,319 | ||||||||||||
Reconciliation of Revenue from Components to Consolidated | ' | |||||||||||||||
Revenues by Component | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Revenues: | ||||||||||||||||
Affiliate Fees | $ | 2,326 | $ | 2,066 | $ | 6,547 | $ | 5,593 | ||||||||
Subscription | 1,390 | 1,216 | 4,061 | 2,814 | ||||||||||||
Advertising | 2,294 | 1,884 | 6,344 | 5,781 | ||||||||||||
Content | 2,067 | 2,098 | 6,135 | 5,978 | ||||||||||||
Other | 142 | 89 | 356 | 297 | ||||||||||||
Total revenues | $ | 8,219 | $ | 7,353 | $ | 23,443 | $ | 20,463 | ||||||||
Additional_Financial_Informati1
Additional Financial Information (Tables) | 9 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Supplemental Cash Flows Information | ' | |||||||||||||||
For the nine months ended | ||||||||||||||||
March 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
(in millions) | ||||||||||||||||
Supplemental cash flows information: | ||||||||||||||||
Cash paid for income taxes | $ | (1,100 | ) | $ | (891 | ) | ||||||||||
Cash paid for interest | (816 | ) | (815 | ) | ||||||||||||
Sale of other investments | 1 | 2 | ||||||||||||||
Purchase of other investments | (34 | ) | (59 | ) | ||||||||||||
Supplemental information on businesses acquired: | ||||||||||||||||
Fair value of assets acquired | 2,833 | 4,999 | ||||||||||||||
Cash acquired | 3 | 685 | ||||||||||||||
Liabilities assumed | (1,763 | ) | (1,791 | ) | ||||||||||||
Decrease in deferred consideration | 7 | - | ||||||||||||||
Noncontrolling interest increase | (385 | ) | (2,619 | ) | ||||||||||||
Cash paid | (695 | ) | (1,274 | ) | ||||||||||||
Fair value of equity instruments issued to third parties | - | - | ||||||||||||||
Issuance of subsidiary common units | - | - | ||||||||||||||
Fair value of equity instruments consideration | $ | - | $ | - | ||||||||||||
Components of Other, net | ' | |||||||||||||||
The following table sets forth the components of Other, net included in the unaudited consolidated statements of operations: | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
March 31, | March 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(in millions) | ||||||||||||||||
Gain on Sky Deutschland transaction(a) | $ | - | $ | 2,069 | $ | - | $ | 2,069 | ||||||||
(Loss) gain on sale of investments in NDS(b) | (30 | ) | - | (30 | ) | 1,446 | ||||||||||
Gain on sale of investment in Phoenix(b) | - | 81 | 199 | 81 | ||||||||||||
Gain on Fox Sports Asia transaction(a) | - | - | - | 174 | ||||||||||||
Shareholder litigation settlement(c) | - | - | 111 | - | ||||||||||||
Loss on sale of Baltimore station(a) | - | - | - | (92 | ) | |||||||||||
Restructuring(d) | (3 | ) | (3 | ) | (87 | ) | (8 | ) | ||||||||
Investment impairment losses(e) | - | (15 | ) | (67 | ) | (15 | ) | |||||||||
Change in fair value of Sky Deutschland convertible securities(a) | - | - | - | 58 | ||||||||||||
Other | - | (23 | ) | (3 | ) | (41 | ) | |||||||||
Other, net | $ | (33 | ) | $ | 2,109 | $ | 123 | $ | 3,672 | |||||||
(a) | See Note 3 – Acquisitions, Disposals and Other Transactions. | |||||||||||||||
(b) | See Note 7 – Investments. | |||||||||||||||
(c) | See Note 14 – Commitments and Contingencies. | |||||||||||||||
(d) | The Company recorded $87 million of restructuring charges in the nine months ended March 31, 2014 for contract termination costs primarily related to cost structure efficiency enhancement initiatives at the DBS segment. | |||||||||||||||
(e) | The write-downs of investments were recorded as a result of either the deteriorating financial position of the investee or due to a permanent impairment resulting from sustained losses and limited prospects for recovery. |
Supplemental_Guarantor_Informa1
Supplemental Guarantor Information (Tables) | 9 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ' | |||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the three months ended March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 8,218 | $ | - | $ | 8,219 | ||||||||||
Expenses | (68 | ) | - | (6,652 | ) | - | (6,720 | ) | ||||||||||||
Equity earnings of affiliates | 1 | - | 169 | - | 170 | |||||||||||||||
Interest expense, net | (396 | ) | (142 | ) | (14 | ) | 268 | (284 | ) | |||||||||||
Interest income | 1 | 1 | 272 | (268 | ) | 6 | ||||||||||||||
Earnings (losses) from subsidiary entities | 236 | 1,203 | - | (1,439 | ) | - | ||||||||||||||
Other, net | 5 | - | (38 | ) | - | (33 | ) | |||||||||||||
(Loss) income from continuing operations | (220 | ) | 1,062 | 1,955 | (1,439 | ) | 1,358 | |||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax benefit (expense) | 50 | - | (390 | ) | 71 | (269 | ) | |||||||||||||
(Loss) income from continuing operations | (170 | ) | 1,062 | 1,565 | (1,368 | ) | 1,089 | |||||||||||||
(Loss) from discontinued operations, net of tax | (7 | ) | (9 | ) | - | - | (16 | ) | ||||||||||||
Net (loss) income | (177 | ) | 1,053 | 1,565 | (1,368 | ) | 1,073 | |||||||||||||
Less: Net income attributable to | - | - | (20 | ) | - | (20 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net (loss) income attributable to Twenty-First | $ | (177 | ) | $ | 1,053 | $ | 1,545 | $ | (1,368 | ) | $ | 1,053 | ||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive (loss) income attributable to | $ | (215 | ) | $ | 1,085 | $ | 1,689 | $ | (1,474 | ) | $ | 1,085 | ||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the three months ended March 31, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 7,352 | $ | - | $ | 7,353 | ||||||||||
Expenses | (132 | ) | - | (5,888 | ) | - | (6,020 | ) | ||||||||||||
Equity earnings of affiliates | 1 | - | 131 | - | 132 | |||||||||||||||
Interest expense, net | (381 | ) | (128 | ) | (18 | ) | 250 | (277 | ) | |||||||||||
Interest income | - | 1 | 257 | (250 | ) | 8 | ||||||||||||||
Earnings (losses) from subsidiary entities | 2,388 | 2,971 | - | (5,359 | ) | - | ||||||||||||||
Other, net | (24 | ) | 2 | 2,131 | - | 2,109 | ||||||||||||||
Income (loss) from continuing operations | 1,853 | 2,846 | 3,965 | (5,359 | ) | 3,305 | ||||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax (expense) benefit | (393 | ) | - | (883 | ) | 548 | (728 | ) | ||||||||||||
Income (loss) from continuing operations | 1,460 | 2,846 | 3,082 | (4,811 | ) | 2,577 | ||||||||||||||
Income from discontinued operations, net of tax | 8 | 8 | 305 | - | 321 | |||||||||||||||
Net income (loss) | 1,468 | 2,854 | 3,387 | (4,811 | ) | 2,898 | ||||||||||||||
Less: Net income attributable to | - | - | (44 | ) | - | (44 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net income (loss) attributable to Twenty-First | $ | 1,468 | $ | 2,854 | $ | 3,343 | $ | (4,811 | ) | $ | 2,854 | |||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive income (loss) attributable to | $ | 1,391 | $ | 2,407 | $ | 3,249 | $ | (4,640 | ) | $ | 2,407 | |||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the nine months ended March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 23,442 | $ | - | $ | 23,443 | ||||||||||
Expenses | (233 | ) | - | (19,162 | ) | - | (19,395 | ) | ||||||||||||
Equity earnings of affiliates | 1 | - | 429 | - | 430 | |||||||||||||||
Interest expense, net | (1,174 | ) | (418 | ) | (27 | ) | 789 | (830 | ) | |||||||||||
Interest income | 2 | 2 | 806 | (789 | ) | 21 | ||||||||||||||
Earnings (losses) from subsidiary entities | 770 | 3,228 | - | (3,998 | ) | - | ||||||||||||||
Other, net | 280 | - | (157 | ) | - | 123 | ||||||||||||||
(Loss) income from continuing operations | (353 | ) | 2,812 | 5,331 | (3,998 | ) | 3,792 | |||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax benefit (expense) | 86 | - | (1,306 | ) | 291 | (929 | ) | |||||||||||||
(Loss) income from continuing operations | (267 | ) | 2,812 | 4,025 | (3,707 | ) | 2,863 | |||||||||||||
(Loss) income from discontinued operations, | (7 | ) | 703 | - | - | 696 | ||||||||||||||
net of tax | ||||||||||||||||||||
Net (loss) income | (274 | ) | 3,515 | 4,025 | (3,707 | ) | 3,559 | |||||||||||||
Less: Net income attributable to | - | - | (44 | ) | - | (44 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net (loss) income attributable to Twenty-First | $ | (274 | ) | $ | 3,515 | $ | 3,981 | $ | (3,707 | ) | $ | 3,515 | ||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive (loss) income attributable to | $ | (72 | ) | $ | 3,858 | $ | 4,706 | $ | (4,634 | ) | $ | 3,858 | ||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Operations | ||||||||||||||||||||
For the nine months ended March 31, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | $ | 1 | $ | - | $ | 20,462 | $ | - | $ | 20,463 | ||||||||||
Expenses | (388 | ) | - | (15,973 | ) | - | (16,361 | ) | ||||||||||||
Equity (losses) earnings of affiliates | (1 | ) | - | 433 | - | 432 | ||||||||||||||
Interest expense, net | (1,143 | ) | (364 | ) | (22 | ) | 727 | (802 | ) | |||||||||||
Interest income | 1 | 5 | 760 | (727 | ) | 39 | ||||||||||||||
Earnings (losses) from subsidiary entities | 5,030 | 7,811 | - | (12,841 | ) | - | ||||||||||||||
Other, net | (31 | ) | 6 | 3,697 | - | 3,672 | ||||||||||||||
Income (loss) from continuing operations | 3,469 | 7,458 | 9,357 | (12,841 | ) | 7,443 | ||||||||||||||
before income tax expense | ||||||||||||||||||||
Income tax (expense) benefit | (670 | ) | - | (1,807 | ) | 1,040 | (1,437 | ) | ||||||||||||
Income (loss) from continuing operations | 2,799 | 7,458 | 7,550 | (11,801 | ) | 6,006 | ||||||||||||||
Income from discontinued operations, net of tax | 23 | 10 | 1,592 | - | 1,625 | |||||||||||||||
Net income (loss) | 2,822 | 7,468 | 9,142 | (11,801 | ) | 7,631 | ||||||||||||||
Less: Net income attributable to | - | - | (163 | ) | - | (163 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Net income (loss) attributable to Twenty-First | $ | 2,822 | $ | 7,468 | $ | 8,979 | $ | (11,801 | ) | $ | 7,468 | |||||||||
Century Fox stockholders | ||||||||||||||||||||
Comprehensive income (loss) attributable to | $ | 2,726 | $ | 7,330 | $ | 8,804 | $ | (11,530 | ) | $ | 7,330 | |||||||||
Twenty-First Century Fox stockholders | ||||||||||||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Balance Sheet | ' | |||||||||||||||||||
Supplemental Condensed Consolidating Balance Sheet | ||||||||||||||||||||
At March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
ASSETS: | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 466 | $ | 3,152 | $ | 1,899 | $ | - | $ | 5,517 | ||||||||||
Receivables, net | 19 | - | 6,307 | (12 | ) | 6,314 | ||||||||||||||
Inventories, net | - | - | 3,387 | - | 3,387 | |||||||||||||||
Other | 23 | - | 408 | - | 431 | |||||||||||||||
Total current assets | 508 | 3,152 | 12,001 | (12 | ) | 15,649 | ||||||||||||||
Non-current assets: | ||||||||||||||||||||
Receivables | 15 | - | 441 | - | 456 | |||||||||||||||
Inventories, net | - | - | 6,541 | - | 6,541 | |||||||||||||||
Property, plant and equipment, net | 126 | - | 2,816 | - | 2,942 | |||||||||||||||
Intangible assets, net | - | - | 8,294 | - | 8,294 | |||||||||||||||
Goodwill | - | - | 17,918 | - | 17,918 | |||||||||||||||
Other | 376 | - | 209 | - | 585 | |||||||||||||||
Investments: | ||||||||||||||||||||
Investments in associated companies | 91 | 55 | 2,762 | - | 2,908 | |||||||||||||||
and other investments | ||||||||||||||||||||
Intragroup investments | 64,986 | 45,524 | - | (110,510 | ) | - | ||||||||||||||
Total investments | 65,077 | 45,579 | 2,762 | (110,510 | ) | 2,908 | ||||||||||||||
TOTAL ASSETS | $ | 66,102 | $ | 48,731 | $ | 50,982 | $ | (110,522 | ) | $ | 55,293 | |||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Borrowings | $ | 750 | $ | - | $ | 47 | $ | - | $ | 797 | ||||||||||
Other current liabilities | 511 | 400 | 8,019 | (12 | ) | 8,918 | ||||||||||||||
Total current liabilities | 1,261 | 400 | 8,066 | (12 | ) | 9,715 | ||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Borrowings | 16,279 | - | 1,978 | - | 18,257 | |||||||||||||||
Other non-current liabilities | 586 | - | 5,237 | - | 5,823 | |||||||||||||||
Intercompany | 32,586 | 30,868 | (63,454 | ) | - | - | ||||||||||||||
Redeemable noncontrolling interests | - | - | 534 | - | 534 | |||||||||||||||
Total equity | 15,390 | 17,463 | 98,621 | (110,510 | ) | 20,964 | ||||||||||||||
TOTAL LIABILITIES AND EQUITY | $ | 66,102 | $ | 48,731 | $ | 50,982 | $ | (110,522 | ) | $ | 55,293 | |||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Balance Sheet | ||||||||||||||||||||
At June 30, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
ASSETS | ||||||||||||||||||||
Current Assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 524 | $ | 3,956 | $ | 2,179 | $ | - | $ | 6,659 | ||||||||||
Receivables, net | 17 | - | 5,442 | - | 5,459 | |||||||||||||||
Inventories, net | - | - | 2,784 | - | 2,784 | |||||||||||||||
Other | 28 | 209 | 428 | - | 665 | |||||||||||||||
Total current assets | 569 | 4,165 | 10,833 | - | 15,567 | |||||||||||||||
Non-current assets: | ||||||||||||||||||||
Receivables | 15 | - | 422 | - | 437 | |||||||||||||||
Inventories, net | - | - | 5,371 | - | 5,371 | |||||||||||||||
Property, plant and equipment, net | 132 | - | 2,697 | - | 2,829 | |||||||||||||||
Intangible assets, net | - | - | 5,064 | - | 5,064 | |||||||||||||||
Goodwill | - | - | 17,255 | - | 17,255 | |||||||||||||||
Other | 361 | - | 356 | - | 717 | |||||||||||||||
Investments: | ||||||||||||||||||||
Investments in associated companies | 86 | 58 | 3,560 | - | 3,704 | |||||||||||||||
and other investments | ||||||||||||||||||||
Intragroup investments | 64,062 | 41,775 | - | (105,837 | ) | - | ||||||||||||||
Total investments | 64,148 | 41,833 | 3,560 | (105,837 | ) | 3,704 | ||||||||||||||
TOTAL ASSETS | $ | 65,225 | $ | 45,998 | $ | 45,558 | $ | (105,837 | ) | $ | 50,944 | |||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Borrowings | $ | 137 | $ | - | $ | - | $ | - | $ | 137 | ||||||||||
Other current liabilities | 551 | 134 | 7,613 | - | 8,298 | |||||||||||||||
Total current liabilities | 688 | 134 | 7,613 | - | 8,435 | |||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Borrowings | 16,029 | - | 292 | - | 16,321 | |||||||||||||||
Other non-current liabilities | 307 | 16 | 5,221 | - | 5,544 | |||||||||||||||
Intercompany | 31,495 | 28,850 | (60,345 | ) | - | - | ||||||||||||||
Redeemable noncontrolling interests | - | - | 519 | - | 519 | |||||||||||||||
Total equity | 16,706 | 16,998 | 92,258 | (105,837 | ) | 20,125 | ||||||||||||||
TOTAL LIABILITIES AND EQUITY | $ | 65,225 | $ | 45,998 | $ | 45,558 | $ | (105,837 | ) | $ | 50,944 | |||||||||
Supplemental Condensed Consolidating Statement of Cash Flows | ' | |||||||||||||||||||
Supplemental Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||
For the nine months ended March 31, 2014 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating | $ | (817 | ) | $ | 1,481 | $ | 917 | $ | - | $ | 1,581 | |||||||||
activities from continuing operations | ||||||||||||||||||||
Investing activities: | ||||||||||||||||||||
Property, plant and equipment | (3 | ) | - | (467 | ) | - | (470 | ) | ||||||||||||
Investments | (1 | ) | - | (796 | ) | - | (797 | ) | ||||||||||||
Proceeds from dispositions | - | - | 259 | - | 259 | |||||||||||||||
Net cash used in investing activities from | (4 | ) | - | (1,004 | ) | - | (1,008 | ) | ||||||||||||
continuing operations | ||||||||||||||||||||
Financing activities: | ||||||||||||||||||||
Borrowings | 987 | - | - | - | 987 | |||||||||||||||
Repayments of borrowings | (134 | ) | - | (8 | ) | - | (142 | ) | ||||||||||||
Issuance of shares | - | 66 | - | - | 66 | |||||||||||||||
Repurchase of shares | - | (2,752 | ) | - | - | (2,752 | ) | |||||||||||||
Purchase of subsidiary shares from | - | - | (76 | ) | - | (76 | ) | |||||||||||||
noncontrolling interests | ||||||||||||||||||||
Dividends paid | - | (287 | ) | (157 | ) | - | (444 | ) | ||||||||||||
Distribution to News Corporation | - | (10 | ) | - | - | (10 | ) | |||||||||||||
Net cash provided by (used in) financing | 853 | (2,983 | ) | (241 | ) | - | (2,371 | ) | ||||||||||||
activities from continuing operations | ||||||||||||||||||||
Net (decrease) increase in cash and cash | (90 | ) | 698 | - | - | 608 | ||||||||||||||
equivalents from discontinued operations | ||||||||||||||||||||
Net decrease in cash and cash | (58 | ) | (804 | ) | (328 | ) | - | (1,190 | ) | |||||||||||
equivalents | ||||||||||||||||||||
Cash and cash equivalents, beginning of | 524 | 3,956 | 2,179 | - | 6,659 | |||||||||||||||
year | ||||||||||||||||||||
Exchange movement on opening cash | - | - | 48 | - | 48 | |||||||||||||||
balance | ||||||||||||||||||||
Cash and cash equivalents, end of period | $ | 466 | $ | 3,152 | $ | 1,899 | $ | - | $ | 5,517 | ||||||||||
See notes to supplemental guarantor information | ||||||||||||||||||||
Supplemental Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||
For the nine months ended March 31, 2013 | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
21st Century | Twenty-First | Non-Guarantor | Reclassifications | Twenty-First | ||||||||||||||||
Fox America, Inc. | Century Fox | and | Century Fox | |||||||||||||||||
eliminations | and | |||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating | $ | (828 | ) | $ | 909 | $ | 2,304 | $ | - | $ | 2,385 | |||||||||
activities from continuing operations | ||||||||||||||||||||
Investing activities: | ||||||||||||||||||||
Property, plant and equipment | (16 | ) | - | (384 | ) | - | (400 | ) | ||||||||||||
Investments | (6 | ) | (15 | ) | (1,240 | ) | - | (1,261 | ) | |||||||||||
Proceeds from dispositions | - | - | 1,968 | - | 1,968 | |||||||||||||||
Net cash (used in) provided by investing | (22 | ) | (15 | ) | 344 | - | 307 | |||||||||||||
activities from continuing operations | ||||||||||||||||||||
Financing activities: | ||||||||||||||||||||
Borrowings | 987 | - | 290 | - | 1,277 | |||||||||||||||
Repayment of borrowings | (273 | ) | - | (481 | ) | - | (754 | ) | ||||||||||||
Issuance of shares | - | 170 | - | - | 170 | |||||||||||||||
Repurchase of shares | - | (1,834 | ) | - | - | (1,834 | ) | |||||||||||||
Dividends paid | - | (201 | ) | (163 | ) | - | (364 | ) | ||||||||||||
Sale of subsidiary shares to noncontrolling | - | - | 70 | - | 70 | |||||||||||||||
interest | ||||||||||||||||||||
Net cash provided by (used in) financing | 714 | (1,865 | ) | (284 | ) | - | (1,435 | ) | ||||||||||||
activities from continuing operations | ||||||||||||||||||||
Net decrease in cash and cash equivalents | (41 | ) | - | (1,536 | ) | - | (1,577 | ) | ||||||||||||
from discontinued operations | ||||||||||||||||||||
Net (decrease) increase in cash and cash | (177 | ) | (971 | ) | 828 | - | (320 | ) | ||||||||||||
equivalents | ||||||||||||||||||||
Cash and cash equivalents, beginning of | 561 | 6,005 | 3,060 | - | 9,626 | |||||||||||||||
year | ||||||||||||||||||||
Exchange movement on opening cash | - | - | 18 | - | 18 | |||||||||||||||
balance | ||||||||||||||||||||
Cash and cash equivalents, end of period | $ | 384 | $ | 5,034 | $ | 3,906 | $ | - | $ | 9,324 | ||||||||||
Basis_of_Presentation_Details
Basis of Presentation (Details) | 9 Months Ended |
Mar. 31, 2014 | |
segments | |
Basis of Presentation [Abstract] | ' |
Number of segments | 5 |
Variable_Interest_Entities_Det
Variable Interest Entities (Details) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Jul. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Oct. 31, 2012 | Oct. 31, 2012 |
Hulu | Hulu | Hulu | Hulu | Hulu | |||||
Financial Guarantee | |||||||||
Variable Interest Entity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of ownership | ' | ' | ' | ' | 33.00% | ' | 33.00% | ' | ' |
Equity affiliate's redemption of equity interest | ' | ' | ' | ' | ' | ' | ' | $200 | ' |
Equity-based compensation | 30 | 64 | 126 | 201 | ' | 60 | ' | ' | ' |
Maximum guarantee obligation | ' | ' | ' | ' | ' | ' | ' | ' | 115 |
Carrying value of equity affiliate's term loan | ' | ' | ' | ' | ' | ' | ' | 338 | ' |
Maturity of equity affiliate's term loan | ' | ' | ' | ' | ' | ' | ' | 'five-year term | ' |
Investments in equity affiliates | ' | ' | ' | ' | 125 | ' | ' | ' | ' |
Additional commitment | ' | ' | ' | ' | 125 | ' | ' | ' | ' |
Aggregate risk of loss related to unconsolidated VIE | ' | ' | ' | ' | ' | ' | $115 | ' | ' |
Acquisitions_Disposals_and_Oth1
Acquisitions, Disposals and Other Transactions (Details) | 9 Months Ended | 1 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 1 Months Ended | |||||||||||||||||||||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2013 | 31-May-12 | Mar. 31, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Jan. 31, 2013 | Jan. 31, 2013 | Jan. 31, 2011 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Feb. 28, 2014 | Dec. 31, 2012 | Feb. 28, 2014 | Feb. 28, 2014 | Nov. 30, 2012 | Mar. 31, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | ||
USD ($) | USD ($) | USD ($) | FOX affiliate group | Baltimore Station | EMM | EMM | EMM | SportsTime Ohio | SportsTime Ohio | SportsTime Ohio | Latin America Pay Television | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | Yes Network | Yes Network | Yes Network | Yes Network | Fox Sports Asia | Fox Sports Asia | Fox Sports Asia | Fox Sports Asia | |||
USD ($) | USD ($) | USD ($) | Minimum | Maximum | USD ($) | Minimum | Maximum | USD ($) | USD ($) | EUR (€) | USD ($) | USD ($) | EUR (€) | USD ($) | USD ($) | EUR (€) | Plazamedia TV And Film Produktion GmbH | Sport1 GmbH and Constantin Sport Marketing GmbH | Agreed Upon Acquired Interests From Constantin Media AG | Agreed Upon Acquired Interests From Constantin Media AG | USD ($) | USD ($) | Multiple System Operator Agreements | Advertiser Relationships | USD ($) | USD ($) | Minimum | Maximum | ||||||
USD ($) | EUR (€) | |||||||||||||||||||||||||||||||||
Acquisitions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Ownership percentage acquired | ' | ' | ' | ' | ' | 51.00% | ' | ' | ' | ' | ' | 22.00% | ' | ' | ' | 5.00% | 5.00% | 5.00% | ' | ' | ' | ' | ' | ' | 31.00% | ' | ' | ' | 50.00% | ' | ' | ' | ||
Ownership percentage in subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | 55.00% | 55.00% | 55.00% | ' | ' | ' | ' | ' | ' | 80.00% | ' | ' | ' | 100.00% | ' | ' | ' | ||
Purchase of subsidiary shares from noncontrolling interests | $76 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Percentage of voting equity interests agreed to acquire | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | 25.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Potential payments to acquire a business and investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 80 | 57.5 | ' | ' | ' | ' | ' | ' | ' | ' | ||
Ownership Percentage Acquired in the equity method Investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 49.00% | ' | ' | ' | ' | ' | ' | ||
Payment to acquire equity interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 584 | ' | ' | ' | ' | ' | ' | ||
Upfront cost paid on behalf of equity investee | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250 | ' | ' | ' | ' | ' | ' | ||
Equity investment, aggregate cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 834 | ' | ' | ' | ' | ' | ' | ||
Minority interest ownership percentage by noncontrolling owners | ' | ' | ' | ' | ' | 49.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 45.00% | 45.00% | 45.00% | ' | ' | ' | ' | ' | ' | 20.00% | ' | ' | ' | ' | ' | ' | ' | ||
Business acquisition, cost of acquired entity, cash paid | 692 | 589 | ' | ' | ' | 325 | ' | ' | 135 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 680 | ' | ' | ' | 220 | ' | ' | ' | ||
Aggregate fair value of borrowings | 22,109 | ' | 18,756 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,700 | ' | ' | ' | ' | ' | ' | ' | ||
Business combination, acquisition of less than 100 percent, noncontrolling interest, fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,300 | ' | 2,300 | ' | ' | ' | ' | ' | ' | 385 | ' | ' | ' | ' | ' | ' | ' | ||
Business Combination, Acquisition of Less than 100 Percent, Noncontrolling Interest, Valuation Technique | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'market approach | ' | ' | ' | ' | ' | ' | ' | ||
Percentage of the entity that the excess purchase price valuation is based on | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ||
Business acquisition purchase price allocation amortizable intangible assets | ' | ' | ' | ' | ' | 325 | ' | ' | 135 | ' | ' | ' | ' | ' | ' | 1,700 | ' | 1,700 | ' | ' | ' | ' | ' | ' | 1,900 | ' | ' | ' | 190 | ' | ' | ' | ||
Useful life of amortizable intangible assets | ' | ' | ' | ' | ' | ' | '6 years | '20 years | ' | '8 years | '20 years | ' | ' | ' | ' | '11 years | '11 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | '20 years | '6 years | ' | ' | '8 years | '15 years | ||
Business acquisition purchase price allocation goodwill amount | ' | ' | ' | ' | ' | 345 | ' | ' | 140 | ' | ' | ' | ' | ' | ' | 4,300 | ' | 4,300 | ' | ' | ' | ' | ' | ' | 1,500 | ' | ' | ' | 840 | ' | ' | ' | ||
Upfront costs paid subsequent to the acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 160 | ' | ' | ' | ' | ' | ' | ' | ||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Fair Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 860 | ' | ' | ' | 280 | ' | ' | ' | ||
Purchase price of acquired entity | ' | ' | ' | ' | ' | 350 | ' | ' | 285 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Contingent consideration on acquisition | ' | ' | ' | ' | ' | 25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Business acquisition purchase price allocation intangible assets including goodwill | ' | ' | ' | ' | ' | 670 | ' | ' | 275 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,030 | ' | ' | ' | ||
Remeasurement gain or loss on step acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,100 | ' | 2,100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 174 | ' | ' | ||
Business acquisition purchase price allocation contract-related liabilities amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 450 | ' | ' | ' | ||
Business acquisition, cost of acquired entity, cash paid | 695 | 1,274 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 550 | 410 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Number of shares acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 92 | 92 | 92 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Assumed debt from acquired entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 480 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Outstanding under line of credit agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 310 | 225 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Line of Credit Facility, Current Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 415 | 300 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Percentage Of License Fee Per Season | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Available-for-sale securities | 47 | [1] | ' | 268 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 225 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum number of convertible shares in convertible bond issuance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 53.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Embedded derivative, gain (loss) on embedded derivative, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 58 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Other Transactions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Total payment received from network affiliate | ' | ' | ' | 50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Gain (loss) on exchange or sale of business | ' | ' | ' | ' | ($92) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
[1] | See Note 7 b Investments. |
Discontinued_Operations_Narrat
Discontinued Operations (Narratives) (Details) (USD $) | 9 Months Ended | 12 Months Ended | 1 Months Ended | |||||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2014 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 21, 2013 | Jun. 21, 2013 |
Total Cash Contributed to News Corporation | Total Amount Distributed Prior to Separation of News Corporation | Cash Funding Prior to Separation of News Corporation | Cash Held by Subsidiaries Prior to Separation of News Corporation | Final Amount Paid to News Corporation | Class A Common Stock | Class B Common Stock | ||
Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Company shares exchanged for News Corp share | ' | ' | ' | ' | ' | ' | 4 | 4 |
Cash distribution to News Corp | $10 | $2,600 | $2,400 | $1,600 | $800 | $217 | ' | ' |
Net Tax Refund received and recognized from News Corp | $720 | ' | ' | ' | ' | ' | ' | ' |
Discontinued_Operations_Profit
Discontinued Operations (Profit and Loss) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ||||
Revenues | ' | $2,185 | ' | $6,636 | ||||
(Loss) income before income tax (expense) benefit | -16 | [1] | 363 | [1] | 696 | [1] | 1,668 | [1] |
Income tax (expense) benefit | ' | -13 | ' | 35 | ||||
(Loss) income from discontinued operations, net of tax | ($16) | $321 | $696 | $1,625 | ||||
Basic EPS from discontinued operations | ($0.01) | $0.14 | $0.31 | $0.69 | ||||
Diluted EPS from discontinued operations | ($0.01) | $0.14 | $0.30 | $0.69 | ||||
[1] | Includes the net tax refund from News Corp, as stated above, for the nine months ended March 31, 2014 of approximately $720 million. |
Discontinued_Operations_Profit1
Discontinued Operations (Profit and Loss) (Parenthetical) (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2014 |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ' |
Net Tax Refund received and recognized from News Corp | $720 |
Discontinued_Operations_Cash_F
Discontinued Operations (Cash Flows) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Disclosure Discontinued Operations Cash Flows Details [Line Items] | ' | ' |
Net cash provided by operating activities from discontinued operations | $608 | $379 |
Net cash used in investing activities from discontinued operations | ' | -1,692 |
Net cash used in financing activities from discontinued operations | ' | -264 |
Net increase (decrease) in cash and cash equivalents from discontinued operations | $608 | ($1,577) |
Receivables_Net_Details
Receivables, Net (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Receivables, Net [Abstract] | ' | ' |
Total receivables | $7,810 | $6,795 |
Allowances for returns and doubtful accounts | -1,040 | -899 |
Total receivables, net | 6,770 | 5,896 |
Less: current receivables, net | -6,314 | -5,459 |
Non-current receivables, net | $456 | $437 |
Inventories_Details
Inventories (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Inventory [Line Items] | ' | ' | ||
Programming rights | $6,052 | $4,996 | ||
DVDs, Blu-rays, and other merchandise | 82 | 69 | ||
Films, Released | 971 | 806 | ||
Films, Completed, not released | 112 | 10 | ||
Films, In production | 1,129 | 958 | ||
Films, In development or preproduction | 205 | 193 | ||
Films, Total | 2,417 | 1,967 | ||
Television productions, Released | 764 | 696 | ||
Television productions, In production | 610 | 425 | ||
Television productions, In development or preproduction | 3 | 2 | ||
Television productions, Total | 1,377 | 1,123 | ||
Total filmed entertainment costs, less accumulated amortization | 3,794 | [1] | 3,090 | [1] |
Total inventories, net | 9,928 | 8,155 | ||
Less: current portion of inventories, net | -3,387 | [2] | -2,784 | [2] |
Total non-current inventories, net | $6,541 | $5,371 | ||
[1] | Does not include $343 million and $366 million of net intangible film library costs as of March 31, 2014 and JuneB 30, 2013, respectively, which are included in intangible assets subject to amortization in the consolidated balance sheets. | |||
[2] | Current portion of inventories as of March 31, 2014 and JuneB 30, 2013 was comprised of programming rights ($3,305 million and $2,715 million, respectively), DVDs, Blu-rays, and other merchandise. |
Inventories_Parenthetical_Deta
Inventories (Parenthetical) (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Inventory [Line Items] | ' | ' |
Programming rights | $6,052 | $4,996 |
Acquired Film Libraries | ' | ' |
Inventory [Line Items] | ' | ' |
Intangible assets subject to amortization, net | 343 | 366 |
Current | ' | ' |
Inventory [Line Items] | ' | ' |
Programming rights | $3,305 | $2,715 |
Investments_Details
Investments (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Investments Table [Line Items] | ' | ' | ||
Fair value of available-for-sale investments | $47 | [1] | $268 | [1] |
Other investments | 182 | 247 | ||
Total investments | 2,908 | 3,704 | ||
British Sky Broadcasting Group plc | ' | ' | ||
Investments Table [Line Items] | ' | ' | ||
Percentage of ownership | 39.00% | [2] | ' | |
Equity method investments | 2,311 | [2] | 1,978 | [2] |
Yankees Entertainment and Sports Network | ' | ' | ||
Investments Table [Line Items] | ' | ' | ||
Percentage of ownership | 80.00% | [3] | ' | |
Equity method investments | ' | 825 | [3] | |
Other Equity Method Investments | ' | ' | ||
Investments Table [Line Items] | ' | ' | ||
Equity method investments | $368 | $386 | ||
[1] | See Note 7 b Investments. | |||
[2] | The Companybs investment in British Sky Broadcasting Group plc (bBSkyBb) had a market value of $9,364 million at March 31, 2014 and was valued using the quoted market price on the London Stock Exchange (a Level 1 measurement as described in Note 8 b Fair Value). | |||
[3] | See Note 3 b Acquisitions, Disposals and Other Transactions. |
Investments_Parenthetical_Deta
Investments (Parenthetical) (Details) (British Sky Broadcasting Group plc, USD $) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
British Sky Broadcasting Group plc | ' |
Investments Table [Line Items] | ' |
Market value of equity method investments | $9,364 |
Investments_Narratives_Details
Investments (Narratives) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2013 | Jul. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Jul. 31, 2012 | Jan. 31, 2014 | Nov. 30, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2012 | ||||||
British Sky Broadcasting Group plc | British Sky Broadcasting Group plc | British Sky Broadcasting Group plc | British Sky Broadcasting Group plc | British Sky Broadcasting Group plc | NDS | NDS | NDS | NDS | NDS | C M C News Asia Holdings Limited | Phoenix Satellite Television | Phoenix Satellite Television | Phoenix Satellite Television | Phoenix Satellite Television | Phoenix Satellite Television | Phoenix Satellite Television | |||||||
Escrow | Agreed Upon Sale Of Equity Investee | ||||||||||||||||||||||
Investments Table [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||
Percentage of ownership | 39.00% | [1] | ' | 39.00% | [1] | ' | ' | 49.00% | ' | ' | ' | ' | 47.00% | ' | ' | ' | ' | ' | ' | ||||
Proceeds from sale of equity method investments | $35 | $14 | $107 | $272 | ' | $1,900 | ' | ' | ' | $60 | ' | ' | ' | ' | ' | ' | ' | ||||||
Gain (loss) on sale of stock in subsidiary or equity method investee | 28 | 11 | 84 | 217 | ' | ' | -30 | [2] | -30 | [2] | 1,446 | [2] | ' | ' | ' | ' | ' | ' | ' | ' | |||
Cash received from escrow | ' | ' | ' | ' | ' | ' | 30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||
Equity method investments | 2,311 | [1] | ' | 2,311 | [1] | ' | 1,978 | [1] | ' | ' | ' | ' | ' | 80 | ' | ' | ' | ' | ' | ' | |||
Proceeds from sale of portion of cost method investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 210 | 90 | ' | ' | ' | ' | ||||||
Percentage of ownership accounted for available for sale security | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12.00% | 12.00% | 12.00% | ' | 12.00% | 18.00% | ||||||
Gain (loss) on sale of available for sale investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $81 | $199 | $81 | ' | ||||||
[1] | The Companybs investment in British Sky Broadcasting Group plc (bBSkyBb) had a market value of $9,364 million at March 31, 2014 and was valued using the quoted market price on the London Stock Exchange (a Level 1 measurement as described in Note 8 b Fair Value). | ||||||||||||||||||||||
[2] | See Note 7 b Investments. |
Investments_Available_for_Sale
Investments (Available for Sale Table) (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Schedule Of Available For Sale Securities [Line Items] | ' | ' | ||
Cost basis of available-for-sale investments | $21 | $36 | ||
Accumulated gross unrealized gain | 26 | [1] | 232 | [1] |
Fair value of available-for-sale investments | 47 | [2] | 268 | [2] |
Net deferred tax liability | $9 | $81 | ||
[1] | Approximately $200 million of the unrealized gain as of June 30, 2013 relates to the Companybs investment in Phoenix which was sold in November 2013 and recognized in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. | |||
[2] | See Note 7 b Investments. |
Investments_Available_for_Sale1
Investments (Available for Sale Table) (Parenthetical) (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Schedule Of Available For Sale Securities [Line Items] | ' | ' | ||
Accumulated gross unrealized gain | $26 | [1] | $232 | [1] |
Phoenix Satellite Television | ' | ' | ||
Schedule Of Available For Sale Securities [Line Items] | ' | ' | ||
Accumulated gross unrealized gain | ' | $200 | ||
[1] | Approximately $200 million of the unrealized gain as of June 30, 2013 relates to the Companybs investment in Phoenix which was sold in November 2013 and recognized in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. |
Fair_Value_Details
Fair Value (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Assets | ' | ' | ||
Available-for-sale securities | $47 | [1] | $268 | [1] |
Derivatives | ' | 3 | [2] | |
Liabilities | ' | ' | ||
Derivatives | -18 | [2] | ' | |
Redeemable noncontrolling interests | -534 | [3] | -519 | [3] |
Total | -505 | -248 | ||
Quoted prices inactive markets for identical instruments (Level 1) | ' | ' | ||
Assets | ' | ' | ||
Available-for-sale securities | 47 | [1] | 268 | [1] |
Liabilities | ' | ' | ||
Total | 47 | 268 | ||
Significant Other Observable Inputs (Level 2) | ' | ' | ||
Assets | ' | ' | ||
Derivatives | ' | 3 | [2] | |
Liabilities | ' | ' | ||
Derivatives | -18 | [2] | ' | |
Total | -18 | 3 | ||
Significant Unobservable Inputs (Level 3) | ' | ' | ||
Liabilities | ' | ' | ||
Redeemable noncontrolling interests | -534 | [3] | -519 | [3] |
Total | ($534) | ($519) | ||
[1] | See Note 7 b Investments. | |||
[2] | Primarily represents derivatives associated with the Companybs foreign currency forward and interest rate swap contracts designated as cash flow hedges | |||
[3] | The Company accounts for redeemable noncontrolling interests in accordance with ASC 480-10-S99-3A because their exercise is outside the control of the Company and, accordingly, as of March 31, 2014 and JuneB 30, 2013, has included the fair value of the redeemable noncontrolling interests in the consolidated balance sheets. The redeemable noncontrolling interests recorded at fair value are put arrangements held by the noncontrolling interests in certain of the Companybs majority-owned sports networks.The Company utilizes the market, income or cost approaches or a combination of these valuation techniques for its Level 3 fair value measures. Inputs to such measures could include observable market data obtained from independent sources such as broker quotes and recent market transactions for similar assets. It is the Companybs policy to maximize the use of observable inputs in the measurement of its Level 3 fair value measurements. To the extent observable inputs are not available, the Company utilizes unobservable inputs based upon the assumptions market participants would use in valuing the asset. Examples of utilized unobservable inputs are future cash flows, long term growth rates and applicable discount rates. Significant unobservable inputs used in the fair value measurement of the Companybs redeemable noncontrolling interests are earnings before interest, taxes, depreciation and amortization (bOIBDAb) growth rates (3% - 7% range) and discount rates (8%). Significant increases (decreases) in growth rates and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in growth rates and multiples, would result in a significantly higher (lower) fair value measurement. The fair value of the redeemable noncontrolling interests in two of the sports networks were primarily determined by (i)B applying a multiples-based formula that is intended to approximate fair value for one of the sports networks and (ii)B using a discounted OIBDA valuation model, assuming a 8% discount rate for another sports network. As of March 31, 2014, one of the minority shareholderbs put right is currently exercisable and another minority shareholderbs put right will become exercisable in March 2015.The remaining redeemable noncontrolling interest is currently not exercisable and is not material. |
Fair_Value_Paranthetical_Detai
Fair Value (Paranthetical) (Details) | 9 Months Ended |
Mar. 31, 2014 | |
Fair value inputs, quantitative information: | ' |
Minority shareholder's put right exercisable period | 'As of March 31, 2014, one of the minority shareholderbs put right is currently exercisable and another minority shareholderbs put right will become exercisable in March 2015. |
Significant Unobservable Inputs (Level 3) | Redeemable Noncontrolling Interests | ' |
Fair value inputs, quantitative information: | ' |
Discount rates | 8.00% |
Minimum | Significant Unobservable Inputs (Level 3) | Redeemable Noncontrolling Interests | ' |
Fair value inputs, quantitative information: | ' |
EBITDA growth rates | 3.00% |
Maximum | Significant Unobservable Inputs (Level 3) | Redeemable Noncontrolling Interests | ' |
Fair value inputs, quantitative information: | ' |
EBITDA growth rates | 7.00% |
Fair_Value_Liabilities_Measure
Fair Value (Liabilities Measured on Recurring Basis) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Beginning of period | ($519) | ($641) |
Net income attributable to redeemable noncontrolling interests | -74 | -74 |
Distributions and other | 59 | 70 |
End of period | ($534) | ($645) |
Fair_Value_Narratives_Details
Fair Value (Narratives) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Jun. 30, 2013 |
Financial Instruments [Abstract] | ' | ' |
Aggregate fair value of borrowings | $22,109 | $18,756 |
Aggregate carrying value of borrowings | 19,054 | 16,458 |
Foreign Currency Forward Contract | Cash Flow Hedging | ' | ' |
Financial Instruments [Abstract] | ' | ' |
Derivative Notional Amount | 410 | 578 |
Fair value of foreign exchange forward contracts, liabilities | -10 | ' |
Number of months to reclassify the cumulative change in fair value of cash flow hedges | '24 months | ' |
Foreign Currency Forward Contract | Not Designated as Hedging Instrument | ' | ' |
Financial Instruments [Abstract] | ' | ' |
Derivative Notional Amount | 318 | 128 |
Fair value of foreign exchange forward contracts, liabilities | -3 | ' |
Interest Rate Swap | ' | ' |
Financial Instruments [Abstract] | ' | ' |
Derivative Notional Amount | 584 | ' |
Fair value interest rate swap contracts | -5 | ' |
Interest Rate Swap | Cash Flow Hedging | ' | ' |
Financial Instruments [Abstract] | ' | ' |
Derivative Notional Amount | $310 | ' |
Reclassification of OCI to earnings for interest rate swap, description | 'For interest rate swaps, the Company expects to reclassify changes in fair values included in accumulated other comprehensive income to earnings during the relevant period as interest payments are made until the expiration of the swap contracts occurs at various dates until fiscal 2017. | ' |
Fair_Value_Changes_in_Fair_Val
Fair Value (Changes in Fair Value of Derivatives) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
[ChangesInFairValueOfDerivativesRollforward] | ' | ' | ' | ' | ||||
Beginning of period | ($19) | ($3) | $3 | $17 | ||||
Changes in fair value recorded in accumulated other comprehensive (loss) income, net of settlements | -5 | 6 | -26 | ' | ||||
Reclassified losses (gains) from accumulated other comprehensive income to net income | 6 | [1] | 1 | [1] | 10 | [1] | -13 | [1] |
Other | ' | -13 | -5 | -13 | ||||
End of period | ($18) | ($9) | ($18) | ($9) | ||||
[1] | Reclassifications of amounts related to hedging activity are included in Operating expenses or Selling, general and administrative expenses, as appropriate, in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 8 b Fair Value for additional information regarding hedging activity. |
Goodwill_Details
Goodwill (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2014 |
Goodwill [Line Items] | ' |
Goodwill, beginning balance | $17,255 |
Acquisitions | 1,489 |
Foreign exchange movements | 354 |
Adjustments | -1,180 |
Goodwill, ending balance | 17,918 |
Cable Network Programming Segment | ' |
Goodwill [Line Items] | ' |
Goodwill, beginning balance | 7,753 |
Acquisitions | 1,489 |
Adjustments | 159 |
Goodwill, ending balance | 9,401 |
Television Segment | ' |
Goodwill [Line Items] | ' |
Goodwill, beginning balance | 1,882 |
Acquisitions | ' |
Foreign exchange movements | ' |
Adjustments | ' |
Goodwill, ending balance | 1,882 |
Filmed Entertainment Segment | ' |
Goodwill [Line Items] | ' |
Goodwill, beginning balance | 1,537 |
Foreign exchange movements | 44 |
Goodwill, ending balance | 1,581 |
Direct Broadcast Satellite Television Segment | ' |
Goodwill [Line Items] | ' |
Goodwill, beginning balance | 6,052 |
Foreign exchange movements | 310 |
Adjustments | -1,339 |
Goodwill, ending balance | 5,023 |
Other, Corporate and Eliminations Segment | ' |
Goodwill [Line Items] | ' |
Goodwill, beginning balance | 31 |
Acquisitions | ' |
Foreign exchange movements | ' |
Adjustments | ' |
Goodwill, ending balance | $31 |
Goodwill_Narratives_Details
Goodwill (Narratives) (Details) (Sky Deutschland, USD $) | Mar. 31, 2014 |
Sky Deutschland | ' |
Goodwill [Line Items] | ' |
Business acquisition purchase price allocation amortizable intangible assets | $1,700,000,000 |
Deferred tax liabilities | $400,000,000 |
Borrowings_Narratives_Details
Borrowings (Narratives) (Details) | 9 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | |||||||||||||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2013 | Jan. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Apr. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Feb. 28, 2014 | Feb. 28, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Feb. 28, 2014 | Feb. 28, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Feb. 28, 2014 |
USD ($) | USD ($) | USD ($) | Sky Deutschland | Sky Deutschland | Sky Deutschland | Sky Deutschland | 4.00% Due 2023 | 5.40% Due 2043 | 5.40% Due 2043 and 4.00% Due 2023 | 3.00% Due 2022 | 8.625% Senior Notes | 8.625% Senior Notes | 5.3% Senior Notes Due 2014 | YES Network | YES Network | YES Network | YES Network | YES Network | YES Network | YES Network | |
EUR (€) | USD ($) | EUR (€) | Subsequent Event | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | AUD | USD ($) | USD ($) | USD ($) | Credit Agreement | Revolving Credit Facility Agreement | Credit Agreement Term Loan | Senior Subordinated notes Issued June 2008 and Due June 2018 | Senior Subordinated notes Issued June 2008 and Due June 2018 | ||||
OneYearPeriods | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Face amount of debt | ' | ' | ' | ' | ' | ' | ' | $300 | $700 | ' | $1,000 | ' | ' | ' | ' | ' | ' | ' | ' | $525 | ' |
Stated interest rate of debt instrument | ' | ' | ' | ' | ' | ' | ' | 4.00% | 5.40% | ' | 3.00% | 8.63% | 8.63% | 5.30% | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of debt | 987 | 1,277 | ' | ' | ' | ' | ' | ' | ' | 987 | 987 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior notes retired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 134 | 150 | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowings | 797 | ' | 137 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 750 | 47 | ' | ' | ' | ' | ' | ' |
Aggregate fair value of borrowings | 22,109 | ' | 18,756 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,700 | 1,100 | ' | ' | 605 | 605 |
Line of Credit Facility, Current Borrowing Capacity | ' | ' | ' | 300 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 305 | ' | ' | ' |
Facility fee | ' | ' | ' | 0.13% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | ' | ' | ' |
Repayments of term loan principal in fiscal 2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19 | ' | ' |
Repayments of term loan principal in fiscal 2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 49 | ' | ' |
Repayments of term loan principal in fiscal 2016 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 84 | ' | ' |
Repayments of term loan principal in fiscal 2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 99 | ' | ' |
Repayments of term loan principal in fiscal 2018 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 834 | ' | ' |
Debt Instrument Effective Interest Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.75% | ' |
Sub-limit on unsecured revolving credit facility | ' | ' | ' | 75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium over Eurocurrency rate for interest on credit facility | ' | ' | ' | 1.13% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding under line of credit agreement | ' | ' | ' | ' | 310 | 225 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount available for additional financing or letters of credit | ' | ' | ' | ' | ' | 73 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity date on unsecured revolving credit facility | ' | ' | ' | 'February 2018 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity Extension Number Of One Year Periods | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase in limit of unsecured revolving credit facility | ' | ' | ' | ' | ' | ' | € 78.50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowings_Schedule_of_Borrowi
Borrowings (Schedule of Borrowings) (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |||
In Millions, unless otherwise specified | YES Network | YES Network | YES Network | YES Network | YES Network | |||||
Senior Subordinated notes Issued June 2008 and Due June 2018 | Credit Agreement Term Loan | Revolving Credit Facility Agreement | Credit Agreement | |||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | |||
Debt instrument maturity year | ' | ' | ' | 'June 2018 | [1] | 'December 2017 | [2] | 'December 2017 | [2] | ' |
Aggregate carrying value of borrowings | $19,054 | $16,458 | $1,715 | $603 | [1] | $1,085 | [2] | $27 | [2] | $1,112 |
Less: current borrowings | -797 | -137 | -47 | ' | ' | ' | ' | |||
Borrowings | $18,257 | $16,321 | $1,668 | ' | ' | ' | ' | |||
[1] | The Senior Subordinated Notes were issued in June 2008 with a principal amount of $525 million pursuant to an indenture agreement and note purchase agreement. These notes are direct unsecured obligations of the YES Network and rank pari passu with all other unsecured indebtedness of the YES Network. Redemption may occur after a specified date, in whole or in part, at the option of the Company, at the principal plus any redemption fees, otherwise the principal amount is due at maturity. These agreements contain various customary affirmative and negative covenants. On acquisition of the majority interest in the YES Network, the Company recorded a preliminary fair value adjustment to increase the carrying value of the Senior Subordinated Notes to the acquisition date fair value of approximately $605 million yielding an effective interest rate of 5.75%. The adjustment is being amortized as a reduction of interest expense over the remaining term of the obligation. | |||||||||
[2] | The credit agreement provides a term loan and a $305 million secured revolving credit facility with a sub-limit available for the issuance of letters of credit.The material terms of the credit agreement include various financial and restrictive covenants. The credit agreement is collateralized by a substantial portion of the real and personal property assets of the YES Network.At the election of YES Network, the credit agreement bears interest at (i) one, two, three or six month LIBOR plus the applicable LIBOR margin, or (ii) the Base Rate plus a Base Rate margin; margins reset quarterly based on the specified leverage ratio of YES Network. YES Network pays a facility fee of 0.50%. Principal payments with respect to the term loan are required quarterly. The payments for each of the succeeding five fiscal years are as follows: 2014 b $19 million; 2015 b $49 million; 2016 b $84 million; 2017 b $99 million; and 2018 b $834 million. Additionally, an annual excess cash flow payment is required as mandatory prepayment of future amortization obligations, subject to certain leverage ratio conditions.The credit agreement also provides for the establishment of additional credit facilities provided certain terms and provisions are met. |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ||||
Balance, beginning of period | $20,800 | $29,005 | $20,125 | $25,185 | ||||
Net income | 1,047 | 2,883 | 3,485 | 7,589 | ||||
Other comprehensive income (loss) | 36 | -447 | 477 | -136 | ||||
Cancellation of shares, net | -1,013 | -361 | -2,577 | -1,573 | ||||
Dividends declared | -281 | -197 | -568 | -398 | ||||
Acquisitions | 385 | 2,301 | 385 | 2,619 | ||||
Other | -10 | 65 | -363 | -37 | ||||
Balance, end of period | 20,964 | 33,249 | 20,964 | 33,249 | ||||
Parent | ' | ' | ' | ' | ||||
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ||||
Balance, beginning of period | 17,649 | 28,152 | 16,998 | 24,684 | ||||
Net income | 1,053 | 2,854 | 3,515 | 7,468 | ||||
Other comprehensive income (loss) | 32 | -447 | 343 | -138 | ||||
Cancellation of shares, net | -1,013 | -361 | -2,577 | -1,573 | ||||
Dividends declared | -281 | -197 | -568 | -398 | ||||
Acquisitions | ' | ' | ' | ' | ||||
Other | 23 | 63 | -248 | 21 | ||||
Balance, end of period | 17,463 | 30,064 | 17,463 | 30,064 | ||||
Noncontrolling Interest | ' | ' | ' | ' | ||||
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ||||
Balance, beginning of period | 3,151 | 853 | 3,127 | 501 | ||||
Net income | -6 | [1] | 29 | [1] | -30 | [1] | 121 | [1] |
Other comprehensive income (loss) | 4 | ' | 134 | 2 | ||||
Cancellation of shares, net | ' | ' | ' | ' | ||||
Dividends declared | ' | ' | ' | ' | ||||
Acquisitions | 385 | [2] | 2,301 | [2] | 385 | [2] | 2,619 | [2] |
Other | -33 | [3] | 2 | [3] | -115 | [3] | -58 | [3] |
Balance, end of period | $3,501 | $3,185 | $3,501 | $3,185 | ||||
[1] | Net income attributable to noncontrolling interests excludes $26 million for the three months ended March 31, 2014 and 2013 and $74 million for the nine months ended March 31, 2014 and 2013, relating to redeemable noncontrolling interests which are reflected in temporary equity. For the three and nine months ended March 31, 2013, Net income attributable to noncontrolling interests included $11 million and $32 million, respectively, relating to Discontinued Operations. | |||||||
[2] | Represents the non-controlling interest in the YES Network, Sky Deutschland and EMM at their acquisition date fair values. The Company acquired the majority interest in the YES Network in February 2014, Sky Deutschland in January 2013 and EMM in November 2012. | |||||||
[3] | Other activity attributable to noncontrolling interests excludes $(13) million and $(30) million for the three months ended March 31, 2014 and 2013, respectively, and $(59) million and $(70) million for the nine months ended March 31, 2014 and 2013, respectively, relating to redeemable noncontrolling interests. |
Stockholders_Equity_Parentheti
Stockholders' Equity (Parenthetical) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Temporary Equity Disclosure | ' | ' | ' | ' | ||||
Net income attributable to redeemable noncontrolling interests | $26 | $26 | $74 | $74 | ||||
Noncontrolling Interest [Abstract] | ' | ' | ' | ' | ||||
Net income attributable to noncontrolling interests | 20 | [1] | 44 | [1] | 44 | [1] | 163 | [1] |
Discontinued Operations | ' | ' | ' | ' | ||||
Noncontrolling Interest [Abstract] | ' | ' | ' | ' | ||||
Net income attributable to noncontrolling interests | ' | 11 | ' | 32 | ||||
Redeemable Noncontrolling Interests | ' | ' | ' | ' | ||||
Noncontrolling Interest [Abstract] | ' | ' | ' | ' | ||||
Other activity attributable to redeemable noncontrolling interests | ($13) | ($30) | ($59) | ($70) | ||||
[1] | Net income attributable to noncontrolling interests includes $26 million for the three months ended MarchB 31, 2014 and 2013 and $74 million for the nine months ended MarchB 31, 2014 and 2013 relating to redeemable noncontrolling interests. |
Stockholders_Equity_Other_Comp
Stockholders' Equity (Other Comprehensive Income) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Foreign currency translation adjustments | ' | ' | ' | ' | ||||
Unrealized gains (losses), before reclassification adjustment, before tax | $17 | ($434) | $663 | ($154) | ||||
Reclassified losses (gains) from accumulated other comprehensive income to net income | 6 | [1] | 1 | [1] | 10 | [1] | -13 | [1] |
Amount reclassified on the sale of NDS, before tax | ' | ' | ' | 10 | [2] | |||
Foreign currency translation adjustments, after reclassification, before tax | 23 | -433 | 673 | -157 | ||||
Unrealized gains, before reclassification adjustment, tax | -1 | ' | -83 | ' | ||||
Reclassification adjustment for hedging activity, tax | -1 | [1] | ' | -2 | [1] | 5 | [1] | |
Amount reclassified on the sale of NDS, tax | ' | ' | ' | ' | ||||
Foreign currency translation adjustments, after reclassification, tax | -2 | ' | -85 | 5 | ||||
Unrealized gains (losses), before reclassification adjustment, net of tax | 16 | -434 | 580 | -154 | ||||
Reclassification adjustment for hedging activity, net of tax | 5 | [1] | 1 | [1] | 8 | [1] | -8 | [1] |
Amount reclassified on the sale of NDS, net of tax | ' | ' | ' | 10 | [2] | |||
Foreign currency translation adjustments | 21 | -433 | 588 | -152 | ||||
Gains and losses on securities | ' | ' | ' | ' | ||||
Unrealized gains (losses) on securities, before reclassification adjustment, before tax | 8 | -42 | -6 | -39 | ||||
Amount reclassified on sale of Phoenix, before tax | ' | ' | -200 | [2] | ' | |||
Unrealized gains (losses) on securities, after reclassification adjustment, before tax | 8 | -42 | -206 | -39 | ||||
Unrealized gains (losses) on securities, before reclassification adjustment, tax | -3 | 15 | 2 | 14 | ||||
Amount reclassified on sale of Phoenix, tax | ' | ' | 70 | [2] | ' | |||
Unrealized gains (losses) on securities, after reclassification adjustment, tax | -3 | 15 | 72 | 14 | ||||
Unrealized gains (losses), net of tax | 5 | -27 | -4 | -25 | ||||
Amount reclassified on sale of Phoenix, net of tax | ' | ' | -130 | [2] | ' | |||
Unrealized holding gains (losses) on securities | 5 | -27 | -134 | -25 | ||||
Benefit plan adjustments | ' | ' | ' | ' | ||||
Reclassification adjustment realized in net income, before tax | 15 | [3] | 19 | [3] | 37 | [3] | 54 | [3] |
Benefit plan adjustments, after reclassification adjustment, before tax | 15 | 19 | 37 | 54 | ||||
Reclassification adjustment realized in net income, tax | -5 | [3] | -6 | [3] | -14 | [3] | -13 | [3] |
Benefit plan adjustments, after reclassification adjustment, tax | -5 | -6 | -14 | -13 | ||||
Reclassification adjustment realized in net income, net of tax | 10 | [3] | 13 | [3] | 23 | [3] | 41 | [3] |
Benefit plan adjustments | $10 | $13 | $23 | $41 | ||||
[1] | Reclassifications of amounts related to hedging activity are included in Operating expenses or Selling, general and administrative expenses, as appropriate, in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 8 b Fair Value for additional information regarding hedging activity. | |||||||
[2] | Reclassifications of amounts related to the sale of Phoenix are included in Other, net in the unaudited consolidated statements of operations for the nine months ended March 31, 2014. Reclassifications of amounts related to the sale of NDS are included in Other, net in the unaudited consolidated statements of operations for the nine months ended MarchB 31, 2013. | |||||||
[3] | Reclassifications of amounts related to benefit plan adjustments are included in Selling, general and administrative expenses in the unaudited consolidated statements of operations for the three and nine months ended March 31, 2014 and 2013. See Note 15 b Pension And Other Postretirement Benefits for additional information. |
Stockholders_Equity_Narratives
Stockholders' Equity (Narratives) (Details) (USD $) | 1 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||
In Billions, except Per Share data, unless otherwise specified | Aug. 31, 2013 | Mar. 31, 2014 | Apr. 18, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2013 | Oct. 31, 2013 | Apr. 18, 2012 | Mar. 31, 2014 |
Class A Common Stock | Class A Common Stock | Class A Common Stock | Class A Common Stock | Class A Common Stock | Class B Common Stock | Class B Common Stock | Class B Common Stock | Class B Common Stock | Class B Common Stock | Class B Common Stock | Class B Common Stock | Class B Common Stock | ||||
Non U S Stockholders | Non U S Stockholders | Murdoch Family Interests | ||||||||||||||
Common stock, par value | ' | ' | ' | $0.01 | ' | $0.01 | ' | $0.01 | $0.01 | ' | $0.01 | ' | $0.01 | ' | ' | ' |
Cash dividend per share | ' | ' | ' | $0.13 | $0.09 | $0.25 | $0.17 | ' | $0.13 | $0.09 | $0.25 | $0.17 | ' | ' | ' | ' |
Stock Repurchase Program | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock repurchase program, remaining authorized repurchase amount | ' | $1.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock repurchase program, authorized amount | $4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock repurchase program, maturity date | ' | 31-Aug-14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Temporary Suspension of Voting Rights | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Broadcast station licensee ownership threshold | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of suspended voting rights | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | 50.00% | ' |
Aggregate percentage vote of outstanding shares not subject to suspension of voting rights | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 39.40% |
Delisting from Australian securities exchange | ' | 8-May-14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Schedule_o
Stockholder's Equity (Schedule of Dividends Declared) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | |
Class A Common Stock | ' | ' | ' | ' |
Cash dividend per share | $0.13 | $0.09 | $0.25 | $0.17 |
Class B Common Stock | ' | ' | ' | ' |
Cash dividend per share | $0.13 | $0.09 | $0.25 | $0.17 |
Stockholders_Equity_Earnings_P
Stockholder's Equity (Earnings Per Share) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Earnings Per Share Data Numerator Reconciliation [Line Items] | ' | ' | ' | ' | ||||
Income from continuing operations | $1,089 | $2,577 | $2,863 | $6,006 | ||||
Less: Net income attributable to noncontrolling interests | -20 | [1] | -44 | [1] | -44 | [1] | -163 | [1] |
Income from continuing operations attributable to Twenty-First Century Fox, Inc. stockholders | $1,069 | $2,533 | $2,819 | $5,843 | ||||
[1] | Net income attributable to noncontrolling interests includes $26 million for the three months ended MarchB 31, 2014 and 2013 and $74 million for the nine months ended MarchB 31, 2014 and 2013 relating to redeemable noncontrolling interests. |
EquityBased_Compensation_Narra
Equity-Based Compensation (Narratives) (Details) (USD $) | 6 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2013 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Shares Vesting Held By News Corp Employees | 1 | ' | ' | ' |
Share-based compensation arrangement by share-based payment award, shares issued in period | 7.6 | ' | ' | ' |
Total compensation costs related to non-vested RSUs and PSUs not yet recognized for all plans presented | ' | $130 | ' | ' |
Total intrinsic value of stock options exercised | ' | 32 | 51 | ' |
Total intrinsic value of options outstanding | ' | ' | ' | 29 |
Liability for cash-settled awards | ' | 145 | ' | 185 |
Incremental tax benefit on vested PSUs, RSUs and stock options | ' | 37 | 34 | ' |
RSUs and PSUs Years | Minimum | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Weighted average future expense period of unrecognized stock-based compensation expense (years) | ' | '1 year | ' | ' |
RSUs and PSUs Years | Maximum | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Weighted average future expense period of unrecognized stock-based compensation expense (years) | ' | '2 years | ' | ' |
Performance Stock Units | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Granted | ' | 4.9 | 7.2 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | ' | 2.8 | ' | ' |
Performance Stock Units | Settled In Stock | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Granted | ' | 3.9 | 5.7 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | ' | 0.7 | ' | ' |
Total Fair Value of Vested Awards During the Period | ' | 21 | ' | ' |
Performance Stock Units | Settled In Cash | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | ' | 2.1 | ' | ' |
Cash used to settle vested awards in the period | ' | 67 | ' | ' |
Restricted Stock Units | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | ' | 5.6 | 7.1 | ' |
Restricted Stock Units | Settled In Stock | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Granted | ' | 0.8 | 1.3 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | ' | 5 | 6.2 | ' |
Total Fair Value of Vested Awards During the Period | ' | 160 | 147 | ' |
Restricted Stock Units | Settled In Cash | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | ' | 0.6 | 0.9 | ' |
Cash used to settle vested awards in the period | ' | $18 | $22 | ' |
EquityBased_Compensation_Detai
Equity-Based Compensation (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' | ' |
Equity-based compensation | $30 | $64 | $126 | $201 |
Cash received from exercise of equity-based compensation | ' | $29 | $35 | $148 |
Commitments_and_Contingencies_
Commitments and Contingencies (Narratives) (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 | Jun. 26, 2013 | Mar. 31, 2014 | Jun. 26, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Jun. 30, 2013 | |
Consolidated Action | Consolidated Action | Consolidated Action | Shareholder Litigation | U.K. Newspaper Matters | U.K. Newspaper Matters | ||||
Attorney's Fees | |||||||||
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | |
Total firm commitments and future debt payments | $85,300,000,000 | $79,900,000,000 | ' | ' | ' | ' | ' | ' | |
Litigation settlement, gross | ' | ' | 139,000,000 | ' | 28,000,000 | ' | ' | ' | |
Shareholder litigation settlement | ' | ' | ' | ' | ' | 111,000,000 | [1] | ' | ' |
Compliance enhancements effective through | ' | ' | ' | 'December 31, 2016 | ' | ' | ' | ' | |
Total amounts recognized as an obligation under the Indemnity | ' | ' | ' | ' | ' | ' | 110,000,000 | 150,000,000 | |
Fair value of amounts accrued by News Corp | ' | ' | ' | ' | ' | ' | 70,000,000 | 40,000,000 | |
Fair value of expected future payments | ' | ' | ' | ' | ' | ' | 40,000,000 | 110,000,000 | |
Indemnity payment to News Corp | ' | ' | ' | ' | ' | ' | $58,000,000 | ' | |
[1] | See Note 14 b Commitments and Contingencies. |
Pension_and_Other_Postretireme1
Pension and Other Postretirement Benefits (Narratives) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' |
Net periodic costs | $30 | $40 | $90 | $130 |
Segment_Information_Narratives
Segment Information (Narratives) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
fullpowertvstations | segments | |||
fullpowertvstations | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Number of segments | ' | ' | 5 | ' |
Full power broadcast television stations | 28 | ' | 28 | ' |
Revenues | $8,219 | $7,353 | $23,443 | $20,463 |
Segment OIBDA | 1,787 | 1,570 | 4,949 | 4,773 |
Amortization of Intangible Assets | 82 | 51 | 300 | 125 |
Operating Segments | Duopolies | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Full power broadcast television stations | 10 | ' | 10 | ' |
Operating Segments | FOX Network | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Full power broadcast television stations | 18 | ' | 18 | ' |
Operating Segments | MyNetworkTV | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Full power broadcast television stations | 10 | ' | 10 | ' |
Intersegment Elimination | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Revenues | 305 | 330 | 916 | 779 |
Segment OIBDA | ($3) | $13 | $31 | $21 |
Segment_Information_Segment_Ne
Segment Information (Segment Net Income (Loss)) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | $8,219 | $7,353 | $23,443 | $20,463 | ||||
Segment OIBDA | 1,787 | 1,570 | 4,949 | 4,773 | ||||
Amortization of cable distribution investments | -21 | -23 | -61 | -67 | ||||
Depreciation and amortization | -267 | -214 | -840 | -569 | ||||
Impairment charges | ' | ' | ' | -35 | ||||
Equity earnings of affiliates | 170 | 132 | 430 | 432 | ||||
Interest expense, net | -284 | -277 | -830 | -802 | ||||
Interest income | 6 | 8 | 21 | 39 | ||||
Other, net | -33 | 2,109 | 123 | 3,672 | ||||
Income from continuing operations before income tax expense | 1,358 | 3,305 | 3,792 | 7,443 | ||||
Income tax expense | -269 | -728 | -929 | -1,437 | ||||
Income from continuing operations | 1,089 | 2,577 | 2,863 | 6,006 | ||||
(Loss) income from discontinued operations, net of tax | -16 | 321 | 696 | 1,625 | ||||
Net income | 1,073 | 2,898 | 3,559 | 7,631 | ||||
Less: Net income attributable to noncontrolling interests | -20 | [1] | -44 | [1] | -44 | [1] | -163 | [1] |
Net income attributable to Twenty-First Century Fox, Inc. stockholders | 1,053 | 2,854 | 3,515 | 7,468 | ||||
Cable Network Programming Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 3,152 | 2,827 | 8,926 | 7,928 | ||||
Segment OIBDA | 1,176 | 1,069 | 3,205 | 3,098 | ||||
Depreciation and amortization | -58 | -53 | -157 | -140 | ||||
Television Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 1,587 | 1,249 | 4,265 | 3,764 | ||||
Segment OIBDA | 288 | 219 | 737 | 642 | ||||
Depreciation and amortization | -30 | -23 | -79 | -66 | ||||
Filmed Entertainment Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 2,279 | 2,346 | 6,876 | 6,607 | ||||
Segment OIBDA | 354 | 334 | 1,019 | 1,191 | ||||
Depreciation and amortization | -33 | -32 | -98 | -98 | ||||
Direct Broadcast Satellite Television Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 1,530 | 1,320 | 4,437 | 3,060 | ||||
Segment OIBDA | 58 | 91 | 278 | 241 | ||||
Depreciation and amortization | -143 | -102 | -495 | -249 | ||||
Other, Corporate and Eliminations Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | -329 | -389 | -1,061 | -896 | ||||
Segment OIBDA | -89 | -143 | -290 | -399 | ||||
Depreciation and amortization | ($3) | ($4) | ($11) | ($16) | ||||
[1] | Net income attributable to noncontrolling interests includes $26 million for the three months ended MarchB 31, 2014 and 2013 and $74 million for the nine months ended MarchB 31, 2014 and 2013 relating to redeemable noncontrolling interests. |
Segment_Information_Depreciati
Segment Information (Depreciation and Amortization) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Depreciation and amortization | $267 | $214 | $840 | $569 |
Cable Network Programming Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Depreciation and amortization | 58 | 53 | 157 | 140 |
Television Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Depreciation and amortization | 30 | 23 | 79 | 66 |
Filmed Entertainment Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Depreciation and amortization | 33 | 32 | 98 | 98 |
Direct Broadcast Satellite Television Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Depreciation and amortization | 143 | 102 | 495 | 249 |
Other, Corporate and Eliminations Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Depreciation and amortization | $3 | $4 | $11 | $16 |
Segment_Information_Assets_Det
Segment Information (Assets) (Details) (USD $) | Mar. 31, 2014 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Segment Reporting Information [Line Items] | ' | ' |
Total assets | $55,293 | $50,944 |
Goodwill and intangible assets, net | 26,212 | 22,319 |
Cable Network Programming Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total assets | 22,431 | 17,830 |
Goodwill and intangible assets, net | 12,870 | 9,444 |
Television Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total assets | 6,727 | 6,415 |
Goodwill and intangible assets, net | 4,282 | 4,283 |
Filmed Entertainment Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total assets | 10,700 | 9,411 |
Goodwill and intangible assets, net | 2,442 | 2,439 |
Direct Broadcast Satellite Television Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total assets | 9,378 | 8,636 |
Goodwill and intangible assets, net | 6,522 | 6,057 |
Other, Corporate and Eliminations Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total assets | 3,149 | 4,948 |
Goodwill and intangible assets, net | 96 | 96 |
Investments | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total assets | $2,908 | $3,704 |
Segment_Information_Revenues_b
Segment Information (Revenues by Component) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
Revenues [Abstract] | ' | ' | ' | ' |
Affiliate Fees | $2,326 | $2,066 | $6,547 | $5,593 |
Subscription | 1,390 | 1,216 | 4,061 | 2,814 |
Advertising | 2,294 | 1,884 | 6,344 | 5,781 |
Content | 2,067 | 2,098 | 6,135 | 5,978 |
Other | 142 | 89 | 356 | 297 |
Total revenues | $8,219 | $7,353 | $23,443 | $20,463 |
Additional_Financial_Informati2
Additional Financial Information (Supplemental Cash Flow) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Supplemental cash flows information: | ' | ' |
Cash paid for income taxes | ($1,100) | ($891) |
Cash paid for interest | -816 | -815 |
Sale of other investments | 1 | 2 |
Purchase of other investments | -34 | -59 |
Supplemental information on businesses acquired: | ' | ' |
Fair value of assets acquired | 2,833 | 4,999 |
Cash acquired | 3 | 685 |
Liabilities assumed | -1,763 | -1,791 |
Decrease in deferred consideration | 7 | ' |
Noncontrolling interest increase | -385 | -2,619 |
Cash paid | -695 | -1,274 |
Fair value of equity instruments issued to third parties | ' | ' |
Issuance of subsidiary common units | ' | ' |
Fair value of equity instruments consideration | ' | ' |
Additional_Financial_Informati3
Additional Financial Information (Other Net) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Restructuring | ($3) | [1] | ($3) | [1] | ($87) | [1] | ($8) | [1] |
Investment impairment losses | ' | -15 | [2] | -67 | [2] | -15 | [2] | |
Other | ' | -23 | -3 | -41 | ||||
Other, net | -33 | 2,109 | 123 | 3,672 | ||||
Fox Sports Asia | ' | ' | ' | ' | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Remeasurement gain or loss on step acquisition | ' | ' | ' | 174 | [3] | |||
Sky Deutschland | ' | ' | ' | ' | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Remeasurement gain or loss on step acquisition | ' | 2,069 | [3] | ' | 2,069 | [3] | ||
Change in fair value of Sky Deutschland convertible securities | ' | ' | ' | 58 | [3] | |||
NDS | ' | ' | ' | ' | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Gain (loss) on exchange or sale of business | -30 | [4] | ' | -30 | [4] | 1,446 | [4] | |
Baltimore Station | ' | ' | ' | ' | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Gain (loss) on exchange or sale of business | ' | ' | ' | -92 | [3] | |||
Shareholder Litigation | ' | ' | ' | ' | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Shareholder litigation settlement | ' | ' | 111 | [5] | ' | |||
Phoenix Satellite Television | ' | ' | ' | ' | ||||
Other Nonoperating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Gain on sale of investment in Phoenix | ' | $81 | [4] | $199 | [4] | $81 | [4] | |
[1] | The Company recorded $87 million of restructuring charges in the nine months ended March 31, 2014 for contract termination costs primarily related to cost structure efficiency enhancement initiatives at the DBS segment. | |||||||
[2] | The write-downs of investments were recorded as a result of either the deteriorating financial position of the investee or due to a permanent impairment resulting from sustained losses and limited prospects for recovery. | |||||||
[3] | See Note 3 b Acquisitions, Disposals and Other Transactions. | |||||||
[4] | See Note 7 b Investments. | |||||||
[5] | See Note 14 b Commitments and Contingencies. |
Additional_Financial_Informati4
Additional Financial Information (Parenthetical) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Other Non Operating Income Expense [Line Items] | ' | ' | ' | ' | ||||
Restructuring Charges | $3 | [1] | $3 | [1] | $87 | [1] | $8 | [1] |
[1] | The Company recorded $87 million of restructuring charges in the nine months ended March 31, 2014 for contract termination costs primarily related to cost structure efficiency enhancement initiatives at the DBS segment. |
Additional_Financial_Informati5
Additional Financial Information (Narratives) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Jun. 30, 2013 |
Unrecognized tax benefits, excluding interest and penalties | $140 | $200 |
Unrecognized tax benefits decreased due to settlement of a foreign tax matter for previous year | 60 | ' |
Interest related to settled foreign tax | ' | $24 |
Supplemental_Guarantor_Informa2
Supplemental Guarantor Information (Narratives) (Details) (Credit Agreement $2 Billion Due May 2017, USD $) | 9 Months Ended |
Mar. 31, 2014 | |
OneYearPeriods | |
Credit Agreement $2 Billion Due May 2017 | ' |
Line Of Credit Facility [Line Items] | ' |
Limit on unsecured revolving credit facility | $2,000,000,000 |
Sub-limit on unsecured revolving credit facility | 400,000,000 |
Maximum borrowing capacity | $2,500,000,000 |
Unsecured revolving credit facility fee | 0.13% |
Premium over LIBOR for initial drawn cost on borrowings on unsecured revolving credit facility | 1.13% |
Maturity date on unsecured revolving credit facility | 'May 2017 |
Maturity Extension Number Of One Year Periods | 2 |
Supplemental_Guarantor_Informa3
Supplemental Guarantor Information (Supplemental Condensed Consolidating Statement of Operations) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
Condensed Financial Statements Captions [Line Items] | ' | ' | ' | ' | ||||
Revenues | $8,219 | $7,353 | $23,443 | $20,463 | ||||
Expenses | -6,720 | -6,020 | -19,395 | -16,361 | ||||
Equity (losses) earnings of affiliates | 170 | 132 | 430 | 432 | ||||
Interest expense, net | -284 | -277 | -830 | -802 | ||||
Interest income | 6 | 8 | 21 | 39 | ||||
Earnings (losses) from subsidiary entities | ' | ' | ' | ' | ||||
Other, net | -33 | 2,109 | 123 | 3,672 | ||||
Income (Loss) from continuing operations before income tax expense | 1,358 | 3,305 | 3,792 | 7,443 | ||||
Income tax (expense) benefit | -269 | -728 | -929 | -1,437 | ||||
Income (Loss) from continuing operations | 1,089 | 2,577 | 2,863 | 6,006 | ||||
(Loss) income from discontinued operations, net of tax | -16 | 321 | 696 | 1,625 | ||||
Net (loss) income | 1,073 | 2,898 | 3,559 | 7,631 | ||||
Less: Net income attributable to noncontrolling interests | -20 | [1] | -44 | [1] | -44 | [1] | -163 | [1] |
Net (loss) income attributable to Twenty-First Century Fox stockholders | 1,053 | 2,854 | 3,515 | 7,468 | ||||
Comprehensive (loss) income attributable to Twenty-First Century Fox stockholders | 1,085 | 2,407 | 3,858 | 7,330 | ||||
Twenty First Century Fox America Inc | ' | ' | ' | ' | ||||
Condensed Financial Statements Captions [Line Items] | ' | ' | ' | ' | ||||
Revenues | 1 | 1 | 1 | 1 | ||||
Expenses | -68 | -132 | -233 | -388 | ||||
Equity (losses) earnings of affiliates | 1 | 1 | 1 | -1 | ||||
Interest expense, net | -396 | -381 | -1,174 | -1,143 | ||||
Interest income | 1 | ' | 2 | 1 | ||||
Earnings (losses) from subsidiary entities | 236 | 2,388 | 770 | 5,030 | ||||
Other, net | 5 | -24 | 280 | -31 | ||||
Income (Loss) from continuing operations before income tax expense | -220 | 1,853 | -353 | 3,469 | ||||
Income tax (expense) benefit | 50 | -393 | 86 | -670 | ||||
Income (Loss) from continuing operations | -170 | 1,460 | -267 | 2,799 | ||||
(Loss) income from discontinued operations, net of tax | -7 | 8 | -7 | 23 | ||||
Net (loss) income | -177 | 1,468 | -274 | 2,822 | ||||
Less: Net income attributable to noncontrolling interests | ' | ' | ' | ' | ||||
Net (loss) income attributable to Twenty-First Century Fox stockholders | -177 | 1,468 | -274 | 2,822 | ||||
Comprehensive (loss) income attributable to Twenty-First Century Fox stockholders | -215 | 1,391 | -72 | 2,726 | ||||
Twenty-First Century Fox | ' | ' | ' | ' | ||||
Condensed Financial Statements Captions [Line Items] | ' | ' | ' | ' | ||||
Revenues | ' | ' | ' | ' | ||||
Expenses | ' | ' | ' | ' | ||||
Equity (losses) earnings of affiliates | ' | ' | ' | ' | ||||
Interest expense, net | -142 | -128 | -418 | -364 | ||||
Interest income | 1 | 1 | 2 | 5 | ||||
Earnings (losses) from subsidiary entities | 1,203 | 2,971 | 3,228 | 7,811 | ||||
Other, net | ' | 2 | ' | 6 | ||||
Income (Loss) from continuing operations before income tax expense | 1,062 | 2,846 | 2,812 | 7,458 | ||||
Income tax (expense) benefit | ' | ' | ' | ' | ||||
Income (Loss) from continuing operations | 1,062 | 2,846 | 2,812 | 7,458 | ||||
(Loss) income from discontinued operations, net of tax | -9 | 8 | 703 | 10 | ||||
Net (loss) income | 1,053 | 2,854 | 3,515 | 7,468 | ||||
Less: Net income attributable to noncontrolling interests | ' | ' | ' | ' | ||||
Net (loss) income attributable to Twenty-First Century Fox stockholders | 1,053 | 2,854 | 3,515 | 7,468 | ||||
Comprehensive (loss) income attributable to Twenty-First Century Fox stockholders | 1,085 | 2,407 | 3,858 | 7,330 | ||||
Non-Guarantor Subsidiaries | ' | ' | ' | ' | ||||
Condensed Financial Statements Captions [Line Items] | ' | ' | ' | ' | ||||
Revenues | 8,218 | 7,352 | 23,442 | 20,462 | ||||
Expenses | -6,652 | -5,888 | -19,162 | -15,973 | ||||
Equity (losses) earnings of affiliates | 169 | 131 | 429 | 433 | ||||
Interest expense, net | -14 | -18 | -27 | -22 | ||||
Interest income | 272 | 257 | 806 | 760 | ||||
Earnings (losses) from subsidiary entities | ' | ' | ' | ' | ||||
Other, net | -38 | 2,131 | -157 | 3,697 | ||||
Income (Loss) from continuing operations before income tax expense | 1,955 | 3,965 | 5,331 | 9,357 | ||||
Income tax (expense) benefit | -390 | -883 | -1,306 | -1,807 | ||||
Income (Loss) from continuing operations | 1,565 | 3,082 | 4,025 | 7,550 | ||||
(Loss) income from discontinued operations, net of tax | ' | 305 | ' | 1,592 | ||||
Net (loss) income | 1,565 | 3,387 | 4,025 | 9,142 | ||||
Less: Net income attributable to noncontrolling interests | -20 | -44 | -44 | -163 | ||||
Net (loss) income attributable to Twenty-First Century Fox stockholders | 1,545 | 3,343 | 3,981 | 8,979 | ||||
Comprehensive (loss) income attributable to Twenty-First Century Fox stockholders | 1,689 | 3,249 | 4,706 | 8,804 | ||||
Reclassifications and eliminations | ' | ' | ' | ' | ||||
Condensed Financial Statements Captions [Line Items] | ' | ' | ' | ' | ||||
Revenues | ' | ' | ' | ' | ||||
Expenses | ' | ' | ' | ' | ||||
Equity (losses) earnings of affiliates | ' | ' | ' | ' | ||||
Interest expense, net | 268 | 250 | 789 | 727 | ||||
Interest income | -268 | -250 | -789 | -727 | ||||
Earnings (losses) from subsidiary entities | -1,439 | -5,359 | -3,998 | -12,841 | ||||
Other, net | ' | ' | ' | ' | ||||
Income (Loss) from continuing operations before income tax expense | -1,439 | -5,359 | -3,998 | -12,841 | ||||
Income tax (expense) benefit | 71 | 548 | 291 | 1,040 | ||||
Income (Loss) from continuing operations | -1,368 | -4,811 | -3,707 | -11,801 | ||||
(Loss) income from discontinued operations, net of tax | ' | ' | ' | ' | ||||
Net (loss) income | -1,368 | -4,811 | -3,707 | -11,801 | ||||
Less: Net income attributable to noncontrolling interests | ' | ' | ' | ' | ||||
Net (loss) income attributable to Twenty-First Century Fox stockholders | -1,368 | -4,811 | -3,707 | -11,801 | ||||
Comprehensive (loss) income attributable to Twenty-First Century Fox stockholders | ($1,474) | ($4,640) | ($4,634) | ($11,530) | ||||
[1] | Net income attributable to noncontrolling interests includes $26 million for the three months ended MarchB 31, 2014 and 2013 and $74 million for the nine months ended MarchB 31, 2014 and 2013 relating to redeemable noncontrolling interests. |
Supplemental_Guarantor_Informa4
Supplemental Guarantor Information (Supplemental Condensed Consolidating Balance Sheet) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | ||
In Millions, unless otherwise specified | ||||||||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | $5,517 | ' | $6,659 | $9,324 | ' | $9,626 | ||
Receivables, net | 6,314 | ' | 5,459 | ' | ' | ' | ||
Inventories, net | 3,387 | [1] | ' | 2,784 | [1] | ' | ' | ' |
Other | 431 | ' | 665 | ' | ' | ' | ||
Total current assets | 15,649 | ' | 15,567 | ' | ' | ' | ||
Non-current assets: | ' | ' | ' | ' | ' | ' | ||
Receivables | 456 | ' | 437 | ' | ' | ' | ||
Inventories, net | 6,541 | ' | 5,371 | ' | ' | ' | ||
Property, plant and equipment, net | 2,942 | ' | 2,829 | ' | ' | ' | ||
Intangible assets, net | 8,294 | ' | 5,064 | ' | ' | ' | ||
Goodwill | 17,918 | ' | 17,255 | ' | ' | ' | ||
Other | 585 | ' | 717 | ' | ' | ' | ||
Investments: | ' | ' | ' | ' | ' | ' | ||
Investments in associated companies and other investments | 2,908 | ' | 3,704 | ' | ' | ' | ||
Intragroup investments | ' | ' | ' | ' | ' | ' | ||
Total investments | 2,908 | ' | 3,704 | ' | ' | ' | ||
Total assets | 55,293 | ' | 50,944 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | 797 | ' | 137 | ' | ' | ' | ||
Other current liabilities | 8,918 | ' | 8,298 | ' | ' | ' | ||
Total current liabilities | 9,715 | ' | 8,435 | ' | ' | ' | ||
Non-current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | 18,257 | ' | 16,321 | ' | ' | ' | ||
Other non-current liabilities | 5,823 | ' | 5,544 | ' | ' | ' | ||
Intercompany | ' | ' | ' | ' | ' | ' | ||
Redeemable noncontrolling interests | 534 | [2] | ' | 519 | [2] | ' | ' | ' |
Total equity | 20,964 | 20,800 | 20,125 | 33,249 | 29,005 | 25,185 | ||
TOTAL LIABILITIES AND EQUITY | 55,293 | ' | 50,944 | ' | ' | ' | ||
Twenty First Century Fox America Inc | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 466 | ' | 524 | 384 | ' | 561 | ||
Receivables, net | 19 | ' | 17 | ' | ' | ' | ||
Inventories, net | ' | ' | ' | ' | ' | ' | ||
Other | 23 | ' | 28 | ' | ' | ' | ||
Total current assets | 508 | ' | 569 | ' | ' | ' | ||
Non-current assets: | ' | ' | ' | ' | ' | ' | ||
Receivables | 15 | ' | 15 | ' | ' | ' | ||
Inventories, net | ' | ' | ' | ' | ' | ' | ||
Property, plant and equipment, net | 126 | ' | 132 | ' | ' | ' | ||
Intangible assets, net | ' | ' | ' | ' | ' | ' | ||
Goodwill | ' | ' | ' | ' | ' | ' | ||
Other | 376 | ' | 361 | ' | ' | ' | ||
Investments: | ' | ' | ' | ' | ' | ' | ||
Investments in associated companies and other investments | 91 | ' | 86 | ' | ' | ' | ||
Intragroup investments | 64,986 | ' | 64,062 | ' | ' | ' | ||
Total investments | 65,077 | ' | 64,148 | ' | ' | ' | ||
Total assets | 66,102 | ' | 65,225 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | 750 | ' | 137 | ' | ' | ' | ||
Other current liabilities | 511 | ' | 551 | ' | ' | ' | ||
Total current liabilities | 1,261 | ' | 688 | ' | ' | ' | ||
Non-current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | 16,279 | ' | 16,029 | ' | ' | ' | ||
Other non-current liabilities | 586 | ' | 307 | ' | ' | ' | ||
Intercompany | 32,586 | ' | 31,495 | ' | ' | ' | ||
Redeemable noncontrolling interests | ' | ' | ' | ' | ' | ' | ||
Total equity | 15,390 | ' | 16,706 | ' | ' | ' | ||
TOTAL LIABILITIES AND EQUITY | 66,102 | ' | 65,225 | ' | ' | ' | ||
Twenty-First Century Fox | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 3,152 | ' | 3,956 | 5,034 | ' | 6,005 | ||
Receivables, net | ' | ' | ' | ' | ' | ' | ||
Inventories, net | ' | ' | ' | ' | ' | ' | ||
Other | ' | ' | 209 | ' | ' | ' | ||
Total current assets | 3,152 | ' | 4,165 | ' | ' | ' | ||
Non-current assets: | ' | ' | ' | ' | ' | ' | ||
Receivables | ' | ' | ' | ' | ' | ' | ||
Inventories, net | ' | ' | ' | ' | ' | ' | ||
Property, plant and equipment, net | ' | ' | ' | ' | ' | ' | ||
Intangible assets, net | ' | ' | ' | ' | ' | ' | ||
Goodwill | ' | ' | ' | ' | ' | ' | ||
Other | ' | ' | ' | ' | ' | ' | ||
Investments: | ' | ' | ' | ' | ' | ' | ||
Investments in associated companies and other investments | 55 | ' | 58 | ' | ' | ' | ||
Intragroup investments | 45,524 | ' | 41,775 | ' | ' | ' | ||
Total investments | 45,579 | ' | 41,833 | ' | ' | ' | ||
Total assets | 48,731 | ' | 45,998 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | ' | ' | ' | ' | ' | ' | ||
Other current liabilities | 400 | ' | 134 | ' | ' | ' | ||
Total current liabilities | 400 | ' | 134 | ' | ' | ' | ||
Non-current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | ' | ' | ' | ' | ' | ' | ||
Other non-current liabilities | ' | ' | 16 | ' | ' | ' | ||
Intercompany | 30,868 | ' | 28,850 | ' | ' | ' | ||
Redeemable noncontrolling interests | ' | ' | ' | ' | ' | ' | ||
Total equity | 17,463 | ' | 16,998 | ' | ' | ' | ||
TOTAL LIABILITIES AND EQUITY | 48,731 | ' | 45,998 | ' | ' | ' | ||
Non-Guarantor Subsidiaries | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 1,899 | ' | 2,179 | 3,906 | ' | 3,060 | ||
Receivables, net | 6,307 | ' | 5,442 | ' | ' | ' | ||
Inventories, net | 3,387 | ' | 2,784 | ' | ' | ' | ||
Other | 408 | ' | 428 | ' | ' | ' | ||
Total current assets | 12,001 | ' | 10,833 | ' | ' | ' | ||
Non-current assets: | ' | ' | ' | ' | ' | ' | ||
Receivables | 441 | ' | 422 | ' | ' | ' | ||
Inventories, net | 6,541 | ' | 5,371 | ' | ' | ' | ||
Property, plant and equipment, net | 2,816 | ' | 2,697 | ' | ' | ' | ||
Intangible assets, net | 8,294 | ' | 5,064 | ' | ' | ' | ||
Goodwill | 17,918 | ' | 17,255 | ' | ' | ' | ||
Other | 209 | ' | 356 | ' | ' | ' | ||
Investments: | ' | ' | ' | ' | ' | ' | ||
Investments in associated companies and other investments | 2,762 | ' | 3,560 | ' | ' | ' | ||
Intragroup investments | ' | ' | ' | ' | ' | ' | ||
Total investments | 2,762 | ' | 3,560 | ' | ' | ' | ||
Total assets | 50,982 | ' | 45,558 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | 47 | ' | ' | ' | ' | ' | ||
Other current liabilities | 8,019 | ' | 7,613 | ' | ' | ' | ||
Total current liabilities | 8,066 | ' | 7,613 | ' | ' | ' | ||
Non-current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | 1,978 | ' | 292 | ' | ' | ' | ||
Other non-current liabilities | 5,237 | ' | 5,221 | ' | ' | ' | ||
Intercompany | -63,454 | ' | -60,345 | ' | ' | ' | ||
Redeemable noncontrolling interests | 534 | ' | 519 | ' | ' | ' | ||
Total equity | 98,621 | ' | 92,258 | ' | ' | ' | ||
TOTAL LIABILITIES AND EQUITY | 50,982 | ' | 45,558 | ' | ' | ' | ||
Reclassifications and eliminations | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | ' | ' | ' | ' | ' | ' | ||
Receivables, net | -12 | ' | ' | ' | ' | ' | ||
Inventories, net | ' | ' | ' | ' | ' | ' | ||
Other | ' | ' | ' | ' | ' | ' | ||
Total current assets | -12 | ' | ' | ' | ' | ' | ||
Non-current assets: | ' | ' | ' | ' | ' | ' | ||
Receivables | ' | ' | ' | ' | ' | ' | ||
Inventories, net | ' | ' | ' | ' | ' | ' | ||
Property, plant and equipment, net | ' | ' | ' | ' | ' | ' | ||
Intangible assets, net | ' | ' | ' | ' | ' | ' | ||
Goodwill | ' | ' | ' | ' | ' | ' | ||
Other | ' | ' | ' | ' | ' | ' | ||
Investments: | ' | ' | ' | ' | ' | ' | ||
Investments in associated companies and other investments | ' | ' | ' | ' | ' | ' | ||
Intragroup investments | -110,510 | ' | -105,837 | ' | ' | ' | ||
Total investments | -110,510 | ' | -105,837 | ' | ' | ' | ||
Total assets | -110,522 | ' | -105,837 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | ' | ' | ' | ' | ' | ' | ||
Other current liabilities | -12 | ' | ' | ' | ' | ' | ||
Total current liabilities | -12 | ' | ' | ' | ' | ' | ||
Non-current liabilities: | ' | ' | ' | ' | ' | ' | ||
Borrowings | ' | ' | ' | ' | ' | ' | ||
Other non-current liabilities | ' | ' | ' | ' | ' | ' | ||
Intercompany | ' | ' | ' | ' | ' | ' | ||
Redeemable noncontrolling interests | ' | ' | ' | ' | ' | ' | ||
Total equity | -110,510 | ' | -105,837 | ' | ' | ' | ||
TOTAL LIABILITIES AND EQUITY | ($110,522) | ' | ($105,837) | ' | ' | ' | ||
[1] | Current portion of inventories as of March 31, 2014 and JuneB 30, 2013 was comprised of programming rights ($3,305 million and $2,715 million, respectively), DVDs, Blu-rays, and other merchandise. | |||||||
[2] | The Company accounts for redeemable noncontrolling interests in accordance with ASC 480-10-S99-3A because their exercise is outside the control of the Company and, accordingly, as of March 31, 2014 and JuneB 30, 2013, has included the fair value of the redeemable noncontrolling interests in the consolidated balance sheets. The redeemable noncontrolling interests recorded at fair value are put arrangements held by the noncontrolling interests in certain of the Companybs majority-owned sports networks.The Company utilizes the market, income or cost approaches or a combination of these valuation techniques for its Level 3 fair value measures. Inputs to such measures could include observable market data obtained from independent sources such as broker quotes and recent market transactions for similar assets. It is the Companybs policy to maximize the use of observable inputs in the measurement of its Level 3 fair value measurements. To the extent observable inputs are not available, the Company utilizes unobservable inputs based upon the assumptions market participants would use in valuing the asset. Examples of utilized unobservable inputs are future cash flows, long term growth rates and applicable discount rates. Significant unobservable inputs used in the fair value measurement of the Companybs redeemable noncontrolling interests are earnings before interest, taxes, depreciation and amortization (bOIBDAb) growth rates (3% - 7% range) and discount rates (8%). Significant increases (decreases) in growth rates and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in growth rates and multiples, would result in a significantly higher (lower) fair value measurement. The fair value of the redeemable noncontrolling interests in two of the sports networks were primarily determined by (i)B applying a multiples-based formula that is intended to approximate fair value for one of the sports networks and (ii)B using a discounted OIBDA valuation model, assuming a 8% discount rate for another sports network. As of March 31, 2014, one of the minority shareholderbs put right is currently exercisable and another minority shareholderbs put right will become exercisable in March 2015.The remaining redeemable noncontrolling interest is currently not exercisable and is not material. |
Supplemental_Guarantor_Informa5
Supplemental Guarantor Information (Supplemental Condensed Consolidating Statement of Cash Flows) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Operating activities: | ' | ' |
Net cash (used in) provided by operating activities from continuing operations | $1,581 | $2,385 |
Investing activities: | ' | ' |
Property, plant and equipment | -470 | -400 |
Investments | -797 | -1,261 |
Proceeds from dispositions | 259 | 1,968 |
Net cash (used in) provided by investing activities from continuing operations | -1,008 | 307 |
Financing activities: | ' | ' |
Borrowings | 987 | 1,277 |
Repayment of borrowings | -142 | -754 |
Issuance of shares | 66 | 170 |
Repurchase of shares | -2,752 | -1,834 |
Purchase of subsidiary shares from noncontrolling interests | -76 | ' |
Dividends paid | -444 | -364 |
Sale of subsidiary shares to noncontrolling interests | ' | 70 |
Distribution to News Corporation | -10 | ' |
Net cash provided by (used in) financing activities from continuing operations | -2,371 | -1,435 |
Net increase (decrease) in cash and cash equivalents from discontinued operations | 608 | -1,577 |
Net (decrease) increase in cash and cash equivalents | -1,190 | -320 |
Cash and cash equivalents, beginning of year | 6,659 | 9,626 |
Exchange movement on opening cash balance | 48 | 18 |
Cash and cash equivalents, end of period | 5,517 | 9,324 |
Twenty First Century Fox America Inc | ' | ' |
Operating activities: | ' | ' |
Net cash (used in) provided by operating activities from continuing operations | -817 | -828 |
Investing activities: | ' | ' |
Property, plant and equipment | -3 | -16 |
Investments | -1 | -6 |
Proceeds from dispositions | ' | ' |
Net cash (used in) provided by investing activities from continuing operations | -4 | -22 |
Financing activities: | ' | ' |
Borrowings | 987 | 987 |
Repayment of borrowings | -134 | -273 |
Issuance of shares | ' | ' |
Repurchase of shares | ' | ' |
Purchase of subsidiary shares from noncontrolling interests | ' | ' |
Dividends paid | ' | ' |
Sale of subsidiary shares to noncontrolling interests | ' | ' |
Distribution to News Corporation | ' | ' |
Net cash provided by (used in) financing activities from continuing operations | 853 | 714 |
Net increase (decrease) in cash and cash equivalents from discontinued operations | -90 | -41 |
Net (decrease) increase in cash and cash equivalents | -58 | -177 |
Cash and cash equivalents, beginning of year | 524 | 561 |
Exchange movement on opening cash balance | ' | ' |
Cash and cash equivalents, end of period | 466 | 384 |
Twenty-First Century Fox | ' | ' |
Operating activities: | ' | ' |
Net cash (used in) provided by operating activities from continuing operations | 1,481 | 909 |
Investing activities: | ' | ' |
Property, plant and equipment | ' | ' |
Investments | ' | -15 |
Proceeds from dispositions | ' | ' |
Net cash (used in) provided by investing activities from continuing operations | ' | -15 |
Financing activities: | ' | ' |
Borrowings | ' | ' |
Repayment of borrowings | ' | ' |
Issuance of shares | 66 | 170 |
Repurchase of shares | -2,752 | -1,834 |
Purchase of subsidiary shares from noncontrolling interests | ' | ' |
Dividends paid | -287 | -201 |
Sale of subsidiary shares to noncontrolling interests | ' | ' |
Distribution to News Corporation | -10 | ' |
Net cash provided by (used in) financing activities from continuing operations | -2,983 | -1,865 |
Net increase (decrease) in cash and cash equivalents from discontinued operations | 698 | ' |
Net (decrease) increase in cash and cash equivalents | -804 | -971 |
Cash and cash equivalents, beginning of year | 3,956 | 6,005 |
Exchange movement on opening cash balance | ' | ' |
Cash and cash equivalents, end of period | 3,152 | 5,034 |
Non-Guarantor Subsidiaries | ' | ' |
Operating activities: | ' | ' |
Net cash (used in) provided by operating activities from continuing operations | 917 | 2,304 |
Investing activities: | ' | ' |
Property, plant and equipment | -467 | -384 |
Investments | -796 | -1,240 |
Proceeds from dispositions | 259 | 1,968 |
Net cash (used in) provided by investing activities from continuing operations | -1,004 | 344 |
Financing activities: | ' | ' |
Borrowings | ' | 290 |
Repayment of borrowings | -8 | -481 |
Issuance of shares | ' | ' |
Repurchase of shares | ' | ' |
Purchase of subsidiary shares from noncontrolling interests | -76 | ' |
Dividends paid | -157 | -163 |
Sale of subsidiary shares to noncontrolling interests | ' | 70 |
Distribution to News Corporation | ' | ' |
Net cash provided by (used in) financing activities from continuing operations | -241 | -284 |
Net increase (decrease) in cash and cash equivalents from discontinued operations | ' | -1,536 |
Net (decrease) increase in cash and cash equivalents | -328 | 828 |
Cash and cash equivalents, beginning of year | 2,179 | 3,060 |
Exchange movement on opening cash balance | 48 | 18 |
Cash and cash equivalents, end of period | 1,899 | 3,906 |
Reclassifications and eliminations | ' | ' |
Operating activities: | ' | ' |
Net cash (used in) provided by operating activities from continuing operations | ' | ' |
Investing activities: | ' | ' |
Property, plant and equipment | ' | ' |
Investments | ' | ' |
Proceeds from dispositions | ' | ' |
Net cash (used in) provided by investing activities from continuing operations | ' | ' |
Financing activities: | ' | ' |
Borrowings | ' | ' |
Repayment of borrowings | ' | ' |
Issuance of shares | ' | ' |
Repurchase of shares | ' | ' |
Purchase of subsidiary shares from noncontrolling interests | ' | ' |
Dividends paid | ' | ' |
Sale of subsidiary shares to noncontrolling interests | ' | ' |
Distribution to News Corporation | ' | ' |
Net cash provided by (used in) financing activities from continuing operations | ' | ' |
Net increase (decrease) in cash and cash equivalents from discontinued operations | ' | ' |
Net (decrease) increase in cash and cash equivalents | ' | ' |
Cash and cash equivalents, beginning of year | ' | ' |
Exchange movement on opening cash balance | ' | ' |
Cash and cash equivalents, end of period | ' | ' |