jvid视频

jvid视频 Reports Second Quarter 2012 Financial Results

ENGLEWOOD, Colo.--(BUSINESS WIRE)-- jvid视频 (鈥渏vid视频鈥�) (Nasdaq: LMCA, LMCB) today reported second quarter 2012 results. Highlights include⁽¹⁾:

• Increased STARZ and ENCORE subscriptions by 9% and 4%, respectively
• Concluded debut season of Magic City, the STARZ Original series, with strong viewership throughout the season
• Today announced intention to separate jvid视频 and Starz, LLC
• Physically settled forward purchase contracts on SiriusXM and Live Nation, increasing our ownership to 46% (on an as-converted basis) and 26%, respectively
• Repurchased $96 million of jvid视频 stock from May 1, 2012 through July 31, 2012

鈥淲e are pleased to announce our plan to separate the assets of Liberty Media and Starz, LLC, creating two separate asset-backed stocks,鈥� said Greg Maffei, President and CEO of Liberty. 鈥淭his transaction will provide better transparency on the Starz operating business; optimize the Starz capital structure; permit us to better pursue our strategic objectives, including creating two currencies that could be used for acquisitions; and create significant liquidity at jvid视频, which preserves all our options with respect to SiriusXM and Live Nation.

鈥淪tarz again posted impressive subscriber gains and we are excited for the upcoming premiere of season two of the STARZ Original series Boss next week,鈥� Maffei continued. 鈥淚n July, we physically settled our forward purchases of SiriusXM and Live Nation, increasing our ownership positions.鈥�

Liberty鈥檚 Board of Directors has authorized a plan to distribute to the stockholders of jvid视频 shares of a subsidiary that will hold all of the businesses, assets and liabilities of jvid视频 not associated with Starz, LLC. The transaction would be effected as a pro-rata dividend of shares of a newly created subsidiary to the stockholders of jvid视频. The subsidiary, which would become a separate public company, would be called jvid视频 (鈥淣ew Liberty鈥�). The businesses, assets and liabilities not included in New Liberty would be part of a separate public company called Starz. Starz will consist of 100% of Starz, LLC, approximately $1.5 billion in debt (assuming full draw down of the Starz bank facility) and an undetermined amount of cash.

The spin-off is intended to be tax-free to stockholders of jvid视频 and its completion will be subject to various conditions, including the registration of the shares to be distributed, the receipt of an IRS private letter ruling, the opinions of tax counsel and required government approvals. The spin-off will not require a stockholder vote. Subject to such conditions, including those described above, the spin-off is currently expected to occur in late 2012.

jvid视频

jvid视频鈥檚 revenue and adjusted OIBDA⁽²⁾ remained relatively flat at $537 million and $126 million, respectively, in the second quarter, and operating income increased 7% to $101 million. The decrease in revenue was primarily due to a decrease in revenue at TruePosition which continues to be out of contract with one of its large customers. The increase in adjusted OIBDA and operating income was primarily driven by an increase at ANLBC offset by a decrease at Starz, LLC.

Starz, LLC

鈥淭he senior Starz team and I are very energized by the decision to make Starz its own independent company. I believe this stand-alone structure is the first step to unlocking the real potential growth opportunities for our businesses,鈥� said Chris Albrecht, Starz, LLC, CEO. "The Starz subscription businesses are continuing their run of quarterly subscription highs, with STARZ achieving 20.7 million subscribers and Encore reaching 34.2 million at the end of the second quarter. We continue to add value to the networks with our investment in quality original programming, with our Golden Globe庐-winning series, Boss, returning to STARZ for its second season later this month. Global anticipation is building for the fourth and final installment of Spartacus in January 2013. David Goyer鈥檚 new series, Da Vinci's Demons, and the second season of Magic City will round out our programming slate for the first half of 2013.鈥�

Starz鈥檚 revenue remained unchanged at $403 million for the second quarter. The increase in revenue for the Starz Channels business was offset by decreases in revenue for the Starz Distribution and Starz Animation businesses.

Starz鈥檚 adjusted OIBDA decreased 8% to $108 million for the second quarter. The decrease was primarily as a result of a decrease in the Starz Channels business due to an increase in programming expenses associated with the mix of Starz original programming content.

Share Repurchases

From May 1, 2012 through July 31, 2012, 1.1 million shares of Series A Liberty Capital common stock (Nasdaq: LMCA) were purchased at an average cost per share of $85.03 for total cash consideration of $95.9 million. Since the reclassification of the original Liberty Capital tracking stock on March 4, 2008 through July 31, 2012, 57.5 million shares have been repurchased at an average cost per share of $31.33 for total cash consideration of $1.8 billion. These repurchases represent 44.5% of the shares outstanding at the time of the introduction of the original Liberty Capital stock. jvid视频 has approximately $940 million remaining under its current stock repurchase authorization.

jvid视频 owns interests in a broad range of media, communications and entertainment businesses. Those interests include its subsidiaries Starz, LLC; Atlanta National League Baseball Club, Inc.; and TruePosition, Inc.; interests in SiriusXM and Live Nation; and minority equity investments in Barnes & Noble, Time Warner Inc. and Viacom.

FOOTNOTES

NOTES

Unless otherwise noted, the foregoing discussion compares financial information for the three months ended June 30, 2012 to the same period in 2011.

The following financial information is intended to supplement Liberty Media鈥檚 condensed consolidated statements of operations to be included in its Form 10-Q.

Fair Value of Public Holdings

Cash and Debt

The following presentation is provided to separately identify cash and liquid investments and debt information.

Total jvid视频 group cash and liquid investments decreased $421 million, primarily as a result of stock repurchases, payments made on financial instruments, and investments made on cost and equity investees. These outflows were partially offset by cash provided by operating activities. Total jvid视频 debt decreased by $1 million, as a result of capital lease payments.

Important Notice: jvid视频 (Nasdaq: LMCA, LMCB) President and CEO, Gregory B. Maffei, will discuss jvid视频鈥檚 earnings release in a conference call which will begin at 10:45 a.m. (ET) on August 8, 2012. The call can be accessed by dialing (888) 587-0613 or (719) 457-2654 at least 10 minutes prior to the start time. Replays of the conference call can be accessed until 12:15 p.m. (ET), August 15, 2012, by dialing (888) 203-1112 or (719) 457-0820 plus the pass code 4996345#. The call will also be broadcast live across the Internet and archived on our website. To access the webcast go to . Links to this press release will also be available on the jvid视频 website.

This press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements about business strategies, market potential, future financial prospects, new service and product launches including original content programming, new distribution platforms for our programming, the continuation of our stock repurchase plans, the proposed separation from Starz, LLC including the potential benefits flowing therefrom and other matters that are not historical facts. These forward-looking statements involve many risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements, including, without limitation, possible changes in market acceptance of new products or services, competitive issues, regulatory matters affecting our businesses, continued access to capital on terms acceptable to jvid视频, changes in law, market conditions conducive to stock repurchases and the satisfaction or waiver, if applicable, of the conditions to the separation from Starz, LLC. These forward-looking statements speak only as of the date of this press release, and Liberty Media expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in jvid视频鈥檚 expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. Please refer to the publicly filed documents of jvid视频, including the most recent Forms 10-Q and 10-K, for additional information about jvid视频 and about the risks and uncertainties related to jvid视频鈥檚 business which may affect the statements made in this press release.

SUPPLEMENTAL INFORMATION

As a supplement to jvid视频鈥檚 consolidated statements of operations, to be included in its Form 10-Q, the following is a presentation of quarterly financial information and operating metrics on a stand-alone basis for the largest privately held business (Starz, LLC) owned by jvid视频 at June 30, 2012, which jvid视频 has identified as a reportable segment.

Please see below for the definition of adjusted OIBDA and a discussion of why management believes the presentation of adjusted OIBDA provides useful information for investors. Schedule 2 to this press release provides a reconciliation of adjusted OIBDA for Starz, LLC to its operating income for the same period, as determined under GAAP.

QUARTERLY SUMMARY

NON-GAAP FINANCIAL MEASURES

This press release includes a presentation of adjusted OIBDA, which is a non-GAAP financial measure, for jvid视频 and Starz LLC, together with a reconciliation to that entity鈥檚 operating income, as determined under GAAP. jvid视频 defines adjusted OIBDA as revenue less operating expenses, and selling, general and administrative expenses (excluding stock and other equity-based compensation) and excludes from that definition depreciation and amortization, restructuring and impairment charges and legal settlements that are included in the measurement of operating income pursuant to GAAP.

jvid视频 believes adjusted OIBDA is an important indicator of the operational strength and performance of its businesses, including each business鈥� ability to service debt and fund capital expenditures. In addition, this measure allows management to view operating results and perform analytical comparisons and benchmarking between businesses and identify strategies to improve performance. Because adjusted OIBDA is used as a measure of operating performance, jvid视频 views operating income as the most directly comparable GAAP measure. Adjusted OIBDA is not meant to replace or supersede operating income or any other GAAP measure, but rather to supplement such GAAP measures in order to present investors with the same information that jvid视频's management considers in assessing the results of operations and performance of its assets. Please see the attached schedules for applicable reconciliations.

SCHEDULE 1

The following table provides a reconciliation of adjusted OIBDA for jvid视频 to operating income calculated in accordance with GAAP for the three months ended June 30, 2011, September 30, 2011, December 31, 2011, March 31, 2012 and June 30, 2012, respectively.

QUARTERLY SUMMARY

SCHEDULE 2

The following table provides a reconciliation of adjusted OIBDA for Starz, LLC to its operating income calculated in accordance with GAAP for the three months ended June 30, 2011, September 30, 2011, December 31, 2011, March 31, 2012 and June 30, 2012, respectively.

QUARTERLY SUMMARY

jvid视频
Courtnee Ulrich, (720) 875-5420

Source: jvid视频

Released August 8, 2012