8-KEarnings & ResultsExhibits & Filings

CHARTER COMMUNICATIONS, INC. /MO/ 8-K Report, Financial Results (Aug 10, 2006)

Filed August 10, 2006For Securities:CHTR

Summary

Charter Communications, Inc. (CHTR) filed an 8-K on August 10, 2006, to report a significant change in its financial reporting due to the completion of system sales in West Virginia and Virginia during July 2006. These divested systems served approximately 239,700 analog video customers and, for accounting purposes, now meet the criteria for discontinued operations under U.S. GAAP. This reclassification necessitates the revision of prior years' financial statements to reflect these operations as discontinued. The filing includes revised portions of the Company's 2005 Form 10-K, specifically Management's Discussion and Analysis and Financial Statements, to incorporate this change. Investors should note that this presents a clearer picture of the ongoing core business by isolating the results of the sold assets. This 8-K serves primarily as a notification and reclassification event rather than a report of new operational or financial performance for the current period. The company is updating its historical financial statements to accurately reflect its business structure post-divestiture. The impact of these sales on future earnings and operational scope will be a key point of interest for investors examining the revised filings. The filing also includes a consent from KPMG LLP.

Key Highlights

  • 1Charter Communications completed the sale of its West Virginia and Virginia systems in July 2006.
  • 2The divested systems served approximately 239,700 analog video customers.
  • 3These systems are now classified as 'discontinued operations' for financial reporting purposes according to U.S. GAAP.
  • 4Prior years' financial statements (2005, 2004, 2003) have been revised to reflect this reclassification.
  • 5The filing includes revised Item 7 (MD&A) and Item 8 (Financial Statements) of the Company's 2005 Form 10-K.
  • 6The reclassification aims to present a clearer view of the company's ongoing core business by separating results of sold assets.
  • 7The filing also includes a consent from KPMG LLP.

Frequently Asked Questions

This 8-K is filed to report the completion of sales for Charter Communications' systems in West Virginia and Virginia and to update financial reporting to classify these sold systems as discontinued operations, as required by U.S. GAAP. Prior financial statements have been revised to reflect this change.

The systems sold in West Virginia and Virginia served approximately 239,700 analog video customers.

Classifying operations as 'discontinued' means that the results (revenues, expenses, profits, or losses) of these specific business segments are reported separately from the company's ongoing operations. This helps investors better understand the performance and prospects of the core, continuing business of Charter Communications.

The revised financial information, including the Management's Discussion and Analysis (MD&A) and the Financial Statements for prior periods reflecting the discontinued operations, can be found in Exhibits 99.1 and 99.2, which are filed with this 8-K and revise portions of the Company's 2005 Form 10-K.