Attached files
| file | filename |
|---|---|
| EX-99.2 - EX-99.2 - CBS Radio Inc. | d472750dex992.htm |
| 8-K - FORM 8-K - CBS Radio Inc. | d472750d8k.htm |
Exhibit 99.1
CBS RADIO INC.
INTERIM CONSOLIDATED FINANCIAL STATEMENTS
The historical financial statements of CBS Radio Inc. (“CBS Radio”) included herein have been presented on a “carve-out” basis from CBS Corporation’s consolidated financial statements using the historical results of operations, cash flows, assets and liabilities of CBS Radio and include allocations of corporate expenses from CBS Corporation. These allocations reflect significant assumptions, and the financial statements do not fully reflect what CBS Radio’s financial position, results of operations or cash flows would have been had it been a stand-alone company during the periods presented. As a result, historical financial information is not necessarily indicative of CBS Radio’s future results of operations, financial position or cash flows.
CBS RADIO INC.
INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited; in millions, except share and per share amounts)
| Three Months Ended September 30, |
Nine Months Ended September 30, |
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| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Revenues |
$ | 299.7 | $ | 317.0 | $ | 855.3 | $ | 894.1 | ||||||||
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| Costs and expenses: |
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| Operating |
112.9 | 110.0 | 306.8 | 299.0 | ||||||||||||
| Selling, general and administrative |
121.8 | 121.8 | 373.5 | 359.3 | ||||||||||||
| Depreciation |
6.5 | 6.6 | 19.0 | 19.8 | ||||||||||||
| Restructuring charges |
— | — | 7.5 | — | ||||||||||||
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| Total costs and expenses |
241.2 | 238.4 | 706.8 | 678.1 | ||||||||||||
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| Operating income |
58.5 | 78.6 | 148.5 | 216.0 | ||||||||||||
| Interest expense |
(20.7 | ) | — | (59.8 | ) | — | ||||||||||
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| Income before income taxes |
37.8 | 78.6 | 88.7 | 216.0 | ||||||||||||
| Provision for income taxes |
(16.3 | ) | (30.9 | ) | (36.7 | ) | (85.8 | ) | ||||||||
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| Net income |
$ | 21.5 | $ | 47.7 | $ | 52.0 | $ | 130.2 | ||||||||
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| Net income per basic and diluted share |
$ | 307,143 | $ | 681,429 | $ | 742,857 | $ | 1,860,000 | ||||||||
| Weighted average number of basic and diluted common shares outstanding |
70 | 70 | 70 | 70 | ||||||||||||
CBS RADIO INC.
INTERIM CONSOLIDATED BALANCE SHEETS
(Unaudited; in millions, except share and per share amounts)
| At September 30, 2017 |
At December 31, 2016 |
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| Assets |
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| Current Assets: |
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| Cash |
$ | 30.1 | $ | 24.3 | ||||
| Receivables, less allowances of $8.4 (2017) and $6.9 (2016) |
253.9 | 244.2 | ||||||
| Prepaid income taxes |
13.3 | — | ||||||
| Prepaid expenses |
25.9 | 22.3 | ||||||
| Other current assets |
17.0 | 13.8 | ||||||
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| Total current assets |
340.2 | 304.6 | ||||||
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| Property and equipment, net |
138.5 | 145.3 | ||||||
| FCC licenses |
2,545.4 | 2,545.4 | ||||||
| Goodwill |
1,331.8 | 1,331.8 | ||||||
| Other assets |
3.6 | 4.1 | ||||||
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| Total Assets |
$ | 4,359.5 | $ | 4,331.2 | ||||
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| Liabilities and Stockholder’s Equity |
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| Current Liabilities: |
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| Accounts payable |
$ | 39.1 | $ | 34.0 | ||||
| Accrued expenses |
19.6 | 29.7 | ||||||
| Accrued compensation |
24.4 | 20.7 | ||||||
| Accrued interest |
12.7 | 7.5 | ||||||
| Income taxes payable |
— | 20.5 | ||||||
| Due to CBS |
4.4 | 12.3 | ||||||
| Other current liabilities |
18.5 | 24.0 | ||||||
| Current portion of long-term debt |
10.6 | 10.6 | ||||||
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| Total current liabilities |
129.3 | 159.3 | ||||||
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| Long-term debt |
1,354.9 | 1,334.7 | ||||||
| Deferred income tax liabilities, net |
923.5 | 918.2 | ||||||
| Other liabilities |
58.8 | 58.6 | ||||||
| Commitments and contingencies |
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| Stockholder’s Equity: |
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| Series 1 common stock, par value $.01 per share; 500 shares authorized; 20 shares issued |
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| Series 2 common stock, par value $.01 per share; 500 shares authorized; 50 shares issued |
— | — | ||||||
| Additional paid-in-capital |
2,523.6 | 2,543.0 | ||||||
| Accumulated deficit |
(630.6 | ) | (682.6 | ) | ||||
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| Total Stockholder’s Equity |
1,893.0 | 1,860.4 | ||||||
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| Total Liabilities and Stockholder’s Equity |
$ | 4,359.5 | $ | 4,331.2 | ||||
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CBS RADIO INC.
INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited; in millions)
| Nine Months Ended September 30, | ||||||||
| 2017 | 2016 | |||||||
| Operating Activities: |
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| Net income |
$ | 52.0 | $ | 130.2 | ||||
| Adjustments to reconcile net income to net cash flow provided by operating activities: |
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| Depreciation |
19.0 | 19.8 | ||||||
| Deferred income tax provision |
5.4 | 5.6 | ||||||
| Stock-based compensation expense |
10.0 | 10.6 | ||||||
| Change in assets and liabilities, net of investing and financing activities |
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| (Increase) decrease in receivables |
(9.8 | ) | 25.8 | |||||
| (Increase) decrease in prepaid expenses and other current assets |
(4.8 | ) | 1.4 | |||||
| Decrease in accounts payable and accrued expenses |
(4.2 | ) | (20.5 | ) | ||||
| (Decrease) increase in income taxes |
(34.3 | ) | .5 | |||||
| Other, net |
1.6 | (1.8 | ) | |||||
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| Net cash flow provided by operating activities |
34.9 | 171.6 | ||||||
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| Investing Activities: |
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| Capital expenditures |
(16.3 | ) | (14.0 | ) | ||||
| Proceeds from dispositions |
1.0 | 8.0 | ||||||
| Proceeds from sale of investments |
— | 3.8 | ||||||
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| Net cash flow used for investing activities |
(15.3 | ) | (2.2 | ) | ||||
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| Financing Activities: |
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| Proceeds from debt borrowings |
40.2 | — | ||||||
| Repayment of debt borrowings |
(23.0 | ) | — | |||||
| Other financing activities |
(1.5 | ) | — | |||||
| Net cash distribution to CBS |
(29.5 | ) | (174.0 | ) | ||||
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| Net cash flow used for financing activities |
(13.8 | ) | (174.0 | ) | ||||
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| Net increase (decrease) in cash |
5.8 | (4.6 | ) | |||||
| Cash at beginning of period |
24.3 | 5.8 | ||||||
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| Cash at end of period |
$ | 30.1 | $ | 1.2 | ||||
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| Supplemental disclosure of cash flow information: |
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| Cash paid for income taxes |
$ | 65.7 | $ | 79.7 | ||||
| Cash paid for interest |
$ | 51.6 | $ | — | ||||
| Non-cash investing activity: |
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| Accruals for unpaid property and equipment additions |
$ | 1.7 | $ | — | ||||