Annual report pursuant to Section 13 and 15(d)

Financial Information for Tracking Stock Groups (Tabels)

v2.4.1.9
Financial Information for Tracking Stock Groups (Tabels)
12 Months Ended
Dec. 31, 2014
Condensed Financial Information of Parent Company Only Disclosure [Abstract]  
Condensed Balance Sheet

BALANCE SHEET INFORMATION

December 31, 2014

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

  

 

    

QVC

    

Ventures

    

Inter-group

    

Consolidated

 

 

 

Group

 

Group

 

eliminations

 

Liberty

 

 

 

amounts in millions

 

Assets

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

422 

 

1,884 

 

 

2,306 

 

Trade and other receivables, net

 

 

1,196 

 

36 

 

 

1,232 

 

Inventory, net

 

 

882 

 

167 

 

 

1,049 

 

Short-term marketable securities

 

 

21 

 

868 

 

 

889 

 

Other current assets

 

 

262 

 

 

(199)

 

72 

 

Total current assets

 

 

2,783 

 

2,964 

 

(199)

 

5,548 

 

Investments in available-for-sale securities and other cost investments (note 2)

 

 

 

1,220 

 

 

1,224 

 

Investments in affiliates, accounted for using the equity method (note 3)

 

 

375 

 

1,258 

 

 

1,633 

 

Property and equipment, net

 

 

1,026 

 

67 

 

 

1,093 

 

Intangible assets not subject to amortization, net

 

 

7,634 

 

259 

 

 

7,893 

 

Intangible assets subject to amortization, net

 

 

1,130 

 

55 

 

 

1,185 

 

Other assets, at cost, net of accumulated amortization

 

 

60 

 

 

 

65 

 

Total assets

 

$

13,012 

 

5,828 

 

(199)

 

18,641 

 

Liabilities and Equity

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

Intergroup payable (receivable)

 

$

(5)

 

 

 

 

Accounts payable

 

 

629 

 

106 

 

 

735 

 

Accrued liabilities

 

 

688 

 

55 

 

 

743 

 

Current portion of debt (note 4)

 

 

 

937 

 

 

946 

 

Deferred tax liabilities

 

 

 —

 

1,171 

 

(199)

 

972 

 

Other current liabilities

 

 

269 

 

74 

 

 

343 

 

Total current liabilities

 

 

1,590 

 

2,348 

 

(199)

 

3,739 

 

Long-term debt (note 4)

 

 

5,851 

 

1,254 

 

 

7,105 

 

Deferred income tax liabilities

 

 

1,033 

 

816 

 

 

1,849 

 

Other liabilities

 

 

157 

 

11 

 

 

168 

 

Total liabilities

 

 

8,631 

 

4,429 

 

(199)

 

12,861 

 

Equity/Attributed net assets (liabilities)

 

 

4,280 

 

1,393 

 

 

5,673 

 

Noncontrolling interests in equity of subsidiaries

 

 

101 

 

 

 

107 

 

Total liabilities and equity

 

$

13,012 

 

5,828 

 

(199)

 

18,641 

 

 

BALANCE SHEET INFORMATION

December 31, 2013

(unaudited)

 

Condensed Income Statement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

 

 

QVC

 

Ventures

 

Inter-group

 

Consolidated

 

 

 

Group

 

Group

 

eliminations

 

Liberty

 

 

 

amounts in millions

 

Assets

    

 

    

    

    

    

    

    

    

 

Current assets:

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

595 

 

307 

 

 

902 

 

Trade and other receivables, net

 

 

1,148 

 

 

 

1,152 

 

Inventory, net

 

 

1,123 

 

 

 

1,123 

 

Short-term marketable securities

 

 

 —

 

412 

 

 

412 

 

Other current assets

 

 

354 

 

 —

 

(170)

 

184 

 

Current assets of discontinued operations

 

 

25 

 

628 

 

 —

 

653 

 

Total current assets

 

 

3,245 

 

1,351 

 

(170)

 

4,426 

 

Investments in available-for-sale securities and other cost investments (note 2)

 

 

 

1,309 

 

 

1,313 

 

Investments in affiliates, accounted for using the equity method (note 3)

 

 

343 

 

894 

 

 

1,237 

 

Property and equipment, net

 

 

1,208 

 

 —

 

 

1,208 

 

Intangible assets not subject to amortization, net

 

 

8,383 

 

 —

 

 

8,383 

 

Intangible assets subject to amortization, net

 

 

1,587 

 

 —

 

 

1,587 

 

Other assets, at cost, net of accumulated amortization

 

 

80 

 

 —

 

 

80 

 

Noncurrent assets of discontinued operations

 

 

12 

 

6,430 

 

 —

 

6,442 

 

Total assets

 

$

14,862 

 

9,984 

 

(170)

 

24,676 

 

Liabilities and Equity

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

Intergroup payable (receivable)

 

$

221 

 

(221)

 

 —

 

 —

 

Accounts payable

 

 

606 

 

 —

 

 

606 

 

Accrued liabilities

 

 

883 

 

20 

 

 

903 

 

Current portion of debt (note 4)

 

 

39 

 

870 

 

 

909 

 

Deferred tax liabilities

 

 

 —

 

1,095 

 

(170)

 

925 

 

Other current liabilities

 

 

145 

 

 

 —

 

148 

 

Current liabilities of discontinued operations

 

 

22 

 

243 

 

 —

 

265 

 

Total current liabilities

 

 

1,916 

 

2,010 

 

(170)

 

3,756 

 

Long-term debt (note 4)

 

 

5,044 

 

1,062 

 

 

6,106 

 

Deferred income tax liabilities

 

 

1,207 

 

790 

 

 

2,001 

 

Other liabilities

 

 

191 

 

 —

 

 

191 

 

Noncurrent liabilities of discontinued operations

 

 

 

1,189 

 

(4)

 

1,187 

 

Total liabilities

 

 

8,360 

 

5,051 

 

(170)

 

13,241 

 

Equity/Attributed net assets (liabilities)

 

 

6,378 

 

558 

 

 

6,936 

 

Noncontrolling interests in equity of subsidiaries

 

 

124 

 

4,375 

 

 

4,499 

 

Total liabilities and equity

 

$

14,862 

 

9,984 

 

(170)

 

24,676 

 

 

STATEMENT OF OPERATIONS INFORMATION

Year ended December 31, 2014

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

QVC

 

Ventures

 

Consolidated

 

 

 

Group

 

Group

 

Liberty

 

 

 

amounts in millions

 

Total revenue, net

 

$

10,028 

 

471 

 

10,499 

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

Cost of retail sales (exclusive of depreciation shown separately below)

 

 

6,378 

 

306 

 

6,684 

 

Operating

 

 

854 

 

37 

 

891 

 

Selling, general and administrative, including stock-based compensation (note 5)

 

 

940 

 

127 

 

1,067 

 

Depreciation and amortization

 

 

643 

 

19 

 

662 

 

Impairment of intangible assets

 

 

 

 —

 

 

 

 

 

8,822 

 

489 

 

9,311 

 

Operating income (loss)

 

 

1,206 

 

(18)

 

1,188 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest expense

 

 

(312)

 

(75)

 

(387)

 

Share of earnings (losses) of affiliates, net (note 3)

 

 

51 

 

(12)

 

39 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

(22)

 

(35)

 

(57)

 

Gains (losses) on transactions, net

 

 

 —

 

74 

 

74 

 

Other, net

 

 

(43)

 

22 

 

(21)

 

 

 

 

(326)

 

(26)

 

(352)

 

Earnings (loss) from continuing operations before income taxes

 

 

880 

 

(44)

 

836 

 

Income tax benefit (expense)

 

 

(306)

 

48 

 

(258)

 

Net earnings (loss) from continuing operations

 

 

574 

 

 

578 

 

Net earnings (loss) from discontinued operations, net of taxes

 

 

(15)

 

63 

 

48 

 

Net earnings (loss)

 

 

559 

 

67 

 

626 

 

Less net earnings (loss) attributable to noncontrolling interests

 

 

39 

 

50 

 

89 

 

Net earnings (loss) attributable to Liberty Interactive Corporation shareholders

 

$

520 

 

17 

 

537 

 

 

STATEMENT OF OPERATIONS INFORMATION

Year ended December 31, 2013

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

QVC

 

Ventures

 

Consolidated

 

 

 

Group

 

Group

 

Liberty

 

 

 

 

amounts in millions

 

Total revenue, net

 

$

10,219 

 

 —

 

10,219 

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

Cost of retail sales (exclusive of depreciation shown separately below)

 

 

6,533 

 

 

6,533 

 

Operating

 

 

862 

 

 —

 

862 

 

Selling, general and administrative, including stock-based compensation (note 5)

 

 

1,010 

 

19 

 

1,029 

 

Depreciation and amortization

 

 

629 

 

 —

 

629 

 

Impairment of intangible assets

 

 

30 

 

 —

 

30 

 

 

 

 

9,064 

 

19 

 

9,083 

 

Operating income (loss)

 

 

1,155 

 

(19)

 

1,136 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest expense

 

 

(290)

 

(90)

 

(380)

 

Share of earnings (losses) of affiliates, net (note 3)

 

 

48 

 

(15)

 

33 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

(12)

 

(10)

 

(22)

 

Gains (losses) on transactions, net

 

 

(1)

 

 —

 

(1)

 

Other, net

 

 

(54)

 

25 

 

(29)

 

 

 

 

(309)

 

(90)

 

(399)

 

Earnings (loss) from continuing operations before income taxes

 

 

846 

 

(109)

 

737 

 

Income tax benefit (expense)

 

 

(346)

 

163 

 

(183)

 

Earnings (loss) from continuing operations, net of taxes

 

 

500 

 

54 

 

554 

 

Earnings (loss) from discontinued operations, net of taxes

 

 

(17)

 

43 

 

26 

 

Net earnings (loss)

 

 

483 

 

97 

 

580 

 

Less net earnings (loss) attributable to noncontrolling interests

 

 

45 

 

34 

 

79 

 

Net earnings (loss) attributable to Liberty Interactive Corporation shareholders

 

$

438 

 

63 

 

501 

 

 

STATEMENT OF OPERATIONS INFORMATION

Year ended December 31, 2012

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

QVC

 

Ventures

 

Consolidated

 

 

 

Group

 

Group

 

Liberty

 

 

 

amounts in millions

 

Total revenue, net

 

$

9,888 

 

 —

 

9,888 

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

Cost of retail sales (exclusive of depreciation shown separately below)

 

 

6,307 

 

 —

 

6,307 

 

Operating

 

 

819 

 

 —

 

819 

 

Selling, general and administrative, including stock-based compensation (note 5)

 

 

943 

 

12 

 

955 

 

Depreciation and amortization

 

 

591 

 

 —

 

591 

 

Impairment of intangible assets

 

 

53 

 

 —

 

53 

 

 

 

 

8,713 

 

12 

 

8,725 

 

Operating income (loss)

 

 

1,175 

 

(12)

 

1,163 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest expense

 

 

(322)

 

(144)

 

(466)

 

Share of earnings (losses) of affiliates, net (note 3)

 

 

28 

 

19 

 

47 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

51 

 

(402)

 

(351)

 

Gains (losses) on transactions, net

 

 

 —

 

443 

 

443 

 

Other, net

 

 

 —

 

47 

 

47 

 

 

 

 

(243)

 

(37)

 

(280)

 

Earnings (loss) before income taxes

 

 

932 

 

(49)

 

883 

 

Income tax benefit (expense)

 

 

(357)

 

79 

 

(278)

 

Earnings (loss) from continuing operations

 

 

575 

 

30 

 

605 

 

Earnings (loss) from discontinued operations, net of taxes

 

 

(46)

 

1,032 

 

986 

 

Net earnings (loss)

 

 

529 

 

1,062 

 

1,591 

 

Less net earnings (loss) attributable to noncontrolling interests

 

 

63 

 

(2)

 

61 

 

Net earnings (loss) attributable to Liberty Interactive Corporation shareholders

 

$

466 

 

1,064 

 

1,530 

 

 

 

 

Condensed Cash Flow Statement

BALANCE SHEET INFORMATION

December 31, 2014

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

  

 

    

QVC

    

Ventures

    

Inter-group

    

Consolidated

 

 

 

Group

 

Group

 

eliminations

 

Liberty

 

 

 

amounts in millions

 

Assets

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

422 

 

1,884 

 

 

2,306 

 

Trade and other receivables, net

 

 

1,196 

 

36 

 

 

1,232 

 

Inventory, net

 

 

882 

 

167 

 

 

1,049 

 

Short-term marketable securities

 

 

21 

 

868 

 

 

889 

 

Other current assets

 

 

262 

 

 

(199)

 

72 

 

Total current assets

 

 

2,783 

 

2,964 

 

(199)

 

5,548 

 

Investments in available-for-sale securities and other cost investments (note 2)

 

 

 

1,220 

 

 

1,224 

 

Investments in affiliates, accounted for using the equity method (note 3)

 

 

375 

 

1,258 

 

 

1,633 

 

Property and equipment, net

 

 

1,026 

 

67 

 

 

1,093 

 

Intangible assets not subject to amortization, net

 

 

7,634 

 

259 

 

 

7,893 

 

Intangible assets subject to amortization, net

 

 

1,130 

 

55 

 

 

1,185 

 

Other assets, at cost, net of accumulated amortization

 

 

60 

 

 

 

65 

 

Total assets

 

$

13,012 

 

5,828 

 

(199)

 

18,641 

 

Liabilities and Equity

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

Intergroup payable (receivable)

 

$

(5)

 

 

 

 

Accounts payable

 

 

629 

 

106 

 

 

735 

 

Accrued liabilities

 

 

688 

 

55 

 

 

743 

 

Current portion of debt (note 4)

 

 

 

937 

 

 

946 

 

Deferred tax liabilities

 

 

 —

 

1,171 

 

(199)

 

972 

 

Other current liabilities

 

 

269 

 

74 

 

 

343 

 

Total current liabilities

 

 

1,590 

 

2,348 

 

(199)

 

3,739 

 

Long-term debt (note 4)

 

 

5,851 

 

1,254 

 

 

7,105 

 

Deferred income tax liabilities

 

 

1,033 

 

816 

 

 

1,849 

 

Other liabilities

 

 

157 

 

11 

 

 

168 

 

Total liabilities

 

 

8,631 

 

4,429 

 

(199)

 

12,861 

 

Equity/Attributed net assets (liabilities)

 

 

4,280 

 

1,393 

 

 

5,673 

 

Noncontrolling interests in equity of subsidiaries

 

 

101 

 

 

 

107 

 

Total liabilities and equity

 

$

13,012 

 

5,828 

 

(199)

 

18,641 

 

 

BALANCE SHEET INFORMATION

December 31, 2013

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

 

 

QVC

 

Ventures

 

Inter-group

 

Consolidated

 

 

 

Group

 

Group

 

eliminations

 

Liberty

 

 

 

amounts in millions

 

Assets

    

 

    

    

    

    

    

    

    

 

Current assets:

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

595 

 

307 

 

 

902 

 

Trade and other receivables, net

 

 

1,148 

 

 

 

1,152 

 

Inventory, net

 

 

1,123 

 

 

 

1,123 

 

Short-term marketable securities

 

 

 —

 

412 

 

 

412 

 

Other current assets

 

 

354 

 

 —

 

(170)

 

184 

 

Current assets of discontinued operations

 

 

25 

 

628 

 

 —

 

653 

 

Total current assets

 

 

3,245 

 

1,351 

 

(170)

 

4,426 

 

Investments in available-for-sale securities and other cost investments (note 2)

 

 

 

1,309 

 

 

1,313 

 

Investments in affiliates, accounted for using the equity method (note 3)

 

 

343 

 

894 

 

 

1,237 

 

Property and equipment, net

 

 

1,208 

 

 —

 

 

1,208 

 

Intangible assets not subject to amortization, net

 

 

8,383 

 

 —

 

 

8,383 

 

Intangible assets subject to amortization, net

 

 

1,587 

 

 —

 

 

1,587 

 

Other assets, at cost, net of accumulated amortization

 

 

80 

 

 —

 

 

80 

 

Noncurrent assets of discontinued operations

 

 

12 

 

6,430 

 

 —

 

6,442 

 

Total assets

 

$

14,862 

 

9,984 

 

(170)

 

24,676 

 

Liabilities and Equity

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

Intergroup payable (receivable)

 

$

221 

 

(221)

 

 —

 

 —

 

Accounts payable

 

 

606 

 

 —

 

 

606 

 

Accrued liabilities

 

 

883 

 

20 

 

 

903 

 

Current portion of debt (note 4)

 

 

39 

 

870 

 

 

909 

 

Deferred tax liabilities

 

 

 —

 

1,095 

 

(170)

 

925 

 

Other current liabilities

 

 

145 

 

 

 —

 

148 

 

Current liabilities of discontinued operations

 

 

22 

 

243 

 

 —

 

265 

 

Total current liabilities

 

 

1,916 

 

2,010 

 

(170)

 

3,756 

 

Long-term debt (note 4)

 

 

5,044 

 

1,062 

 

 

6,106 

 

Deferred income tax liabilities

 

 

1,207 

 

790 

 

 

2,001 

 

Other liabilities

 

 

191 

 

 —

 

 

191 

 

Noncurrent liabilities of discontinued operations

 

 

 

1,189 

 

(4)

 

1,187 

 

Total liabilities

 

 

8,360 

 

5,051 

 

(170)

 

13,241 

 

Equity/Attributed net assets (liabilities)

 

 

6,378 

 

558 

 

 

6,936 

 

Noncontrolling interests in equity of subsidiaries

 

 

124 

 

4,375 

 

 

4,499 

 

Total liabilities and equity

 

$

14,862 

 

9,984 

 

(170)

 

24,676 

 

 

STATEMENT OF OPERATIONS INFORMATION

Year ended December 31, 2014

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

QVC

 

Ventures

 

Consolidated

 

 

 

Group

 

Group

 

Liberty

 

 

 

amounts in millions

 

Total revenue, net

 

$

10,028 

 

471 

 

10,499 

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

Cost of retail sales (exclusive of depreciation shown separately below)

 

 

6,378 

 

306 

 

6,684 

 

Operating

 

 

854 

 

37 

 

891 

 

Selling, general and administrative, including stock-based compensation (note 5)

 

 

940 

 

127 

 

1,067 

 

Depreciation and amortization

 

 

643 

 

19 

 

662 

 

Impairment of intangible assets

 

 

 

 —

 

 

 

 

 

8,822 

 

489 

 

9,311 

 

Operating income (loss)

 

 

1,206 

 

(18)

 

1,188 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest expense

 

 

(312)

 

(75)

 

(387)

 

Share of earnings (losses) of affiliates, net (note 3)

 

 

51 

 

(12)

 

39 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

(22)

 

(35)

 

(57)

 

Gains (losses) on transactions, net

 

 

 —

 

74 

 

74 

 

Other, net

 

 

(43)

 

22 

 

(21)

 

 

 

 

(326)

 

(26)

 

(352)

 

Earnings (loss) from continuing operations before income taxes

 

 

880 

 

(44)

 

836 

 

Income tax benefit (expense)

 

 

(306)

 

48 

 

(258)

 

Net earnings (loss) from continuing operations

 

 

574 

 

 

578 

 

Net earnings (loss) from discontinued operations, net of taxes

 

 

(15)

 

63 

 

48 

 

Net earnings (loss)

 

 

559 

 

67 

 

626 

 

Less net earnings (loss) attributable to noncontrolling interests

 

 

39 

 

50 

 

89 

 

Net earnings (loss) attributable to Liberty Interactive Corporation shareholders

 

$

520 

 

17 

 

537 

 

 

STATEMENT OF OPERATIONS INFORMATION

Year ended December 31, 2013

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

QVC

 

Ventures

 

Consolidated

 

 

 

Group

 

Group

 

Liberty

 

 

 

 

amounts in millions

 

Total revenue, net

 

$

10,219 

 

 —

 

10,219 

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

Cost of retail sales (exclusive of depreciation shown separately below)

 

 

6,533 

 

 

6,533 

 

Operating

 

 

862 

 

 —

 

862 

 

Selling, general and administrative, including stock-based compensation (note 5)

 

 

1,010 

 

19 

 

1,029 

 

Depreciation and amortization

 

 

629 

 

 —

 

629 

 

Impairment of intangible assets

 

 

30 

 

 —

 

30 

 

 

 

 

9,064 

 

19 

 

9,083 

 

Operating income (loss)

 

 

1,155 

 

(19)

 

1,136 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest expense

 

 

(290)

 

(90)

 

(380)

 

Share of earnings (losses) of affiliates, net (note 3)

 

 

48 

 

(15)

 

33 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

(12)

 

(10)

 

(22)

 

Gains (losses) on transactions, net

 

 

(1)

 

 —

 

(1)

 

Other, net

 

 

(54)

 

25 

 

(29)

 

 

 

 

(309)

 

(90)

 

(399)

 

Earnings (loss) from continuing operations before income taxes

 

 

846 

 

(109)

 

737 

 

Income tax benefit (expense)

 

 

(346)

 

163 

 

(183)

 

Earnings (loss) from continuing operations, net of taxes

 

 

500 

 

54 

 

554 

 

Earnings (loss) from discontinued operations, net of taxes

 

 

(17)

 

43 

 

26 

 

Net earnings (loss)

 

 

483 

 

97 

 

580 

 

Less net earnings (loss) attributable to noncontrolling interests

 

 

45 

 

34 

 

79 

 

Net earnings (loss) attributable to Liberty Interactive Corporation shareholders

 

$

438 

 

63 

 

501 

 

 

STATEMENT OF OPERATIONS INFORMATION

Year ended December 31, 2012

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

QVC

 

Ventures

 

Consolidated

 

 

 

Group

 

Group

 

Liberty

 

 

 

amounts in millions

 

Total revenue, net

 

$

9,888 

 

 —

 

9,888 

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

Cost of retail sales (exclusive of depreciation shown separately below)

 

 

6,307 

 

 —

 

6,307 

 

Operating

 

 

819 

 

 —

 

819 

 

Selling, general and administrative, including stock-based compensation (note 5)

 

 

943 

 

12 

 

955 

 

Depreciation and amortization

 

 

591 

 

 —

 

591 

 

Impairment of intangible assets

 

 

53 

 

 —

 

53 

 

 

 

 

8,713 

 

12 

 

8,725 

 

Operating income (loss)

 

 

1,175 

 

(12)

 

1,163 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest expense

 

 

(322)

 

(144)

 

(466)

 

Share of earnings (losses) of affiliates, net (note 3)

 

 

28 

 

19 

 

47 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

51 

 

(402)

 

(351)

 

Gains (losses) on transactions, net

 

 

 —

 

443 

 

443 

 

Other, net

 

 

 —

 

47 

 

47 

 

 

 

 

(243)

 

(37)

 

(280)

 

Earnings (loss) before income taxes

 

 

932 

 

(49)

 

883 

 

Income tax benefit (expense)

 

 

(357)

 

79 

 

(278)

 

Earnings (loss) from continuing operations

 

 

575 

 

30 

 

605 

 

Earnings (loss) from discontinued operations, net of taxes

 

 

(46)

 

1,032 

 

986 

 

Net earnings (loss)

 

 

529 

 

1,062 

 

1,591 

 

Less net earnings (loss) attributable to noncontrolling interests

 

 

63 

 

(2)

 

61 

 

Net earnings (loss) attributable to Liberty Interactive Corporation shareholders

 

$

466 

 

1,064 

 

1,530 

 

 

 

 

STATEMENT OF CASH FLOWS INFORMATION

Year ended December 31, 2014

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    

Attributed (note 1)

    

    

 

 

 

QVC Group

    

Ventures Group

 

Consolidated Liberty

 

 

 

amounts in millions

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net earnings (loss)

 

$

559 

 

67 

 

626 

 

Adjustments to reconcile net earnings to net cash provided by operating activities:

 

 

 

 

 

 

 

 

(Earnings) loss from discontinued operations

 

 

15 

 

(63)

 

(48)

 

Depreciation and amortization

 

 

643 

 

19 

 

662 

 

Stock-based compensation

 

 

83 

 

25 

 

108 

 

Cash payments for stock-based compensation

 

 

(13)

 

(2)

 

(15)

 

Excess tax benefit from stock-based compensation

 

 

(20)

 

(1)

 

(21)

 

Noncash interest expense

 

 

 

 —

 

 

Share of (earnings) losses of affiliates, net

 

 

(51)

 

12 

 

(39)

 

Cash receipts from returns on equity investments

 

 

22 

 

23 

 

45 

 

Realized and unrealized (gains) losses on financial instruments, net

 

 

22 

 

35 

 

57 

 

(Gains) losses on transactions, net

 

 

 —

 

(74)

 

(74)

 

(Gains) losses on extinguishment of debt

 

 

48 

 

 —

 

48 

 

Impairment of intangible assets

 

 

 

 —

 

 

Deferred income tax expense (benefit)

 

 

(160)

 

119 

 

(41)

 

Intergroup tax allocation

 

 

169 

 

(169)

 

 —

 

Intergroup tax payments

 

 

(388)

 

388 

 

 —

 

Other noncash charges (credits), net

 

 

(3)

 

 

(2)

 

Changes in operating assets and liabilities

 

 

 

 

 

 

 

 

Current and other assets

 

 

(80)

 

(4)

 

(84)

 

Payables and other liabilities

 

 

345 

 

60 

 

405 

 

Net cash provided (used) by operating activities

 

 

1,204 

 

436 

 

1,640 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Cash proceeds from dispositions

 

 

 —

 

163 

 

163 

 

Investment in and loans to cost and equity investees

 

 

(4)

 

(87)

 

(91)

 

Capital expended for property and equipment

 

 

(226)

 

(15)

 

(241)

 

Purchases of short term investments and other marketable securities

 

 

(73)

 

(791)

 

(864)

 

Sales of short term investments and other marketable securities

 

 

52 

 

539 

 

591 

 

Other investing activities, net

 

 

(30)

 

14 

 

(16)

 

Net cash provided (used) by investing activities

 

 

(281)

 

(177)

 

(458)

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Borrowings of debt

 

 

4,360 

 

146 

 

4,506 

 

Repayments of debt

 

 

(3,563)

 

(186)

 

(3,749)

 

Intergroup receipts (payments), net

 

 

(1,035)

 

1,035 

 

 —

 

Repurchases of Liberty Interactive common stock

 

 

(785)

 

 —

 

(785)

 

Taxes paid in lieu of shares issued for stock-based compensation

 

 

(25)

 

(1)

 

(26)

 

Excess tax benefit from stock-based compensation

 

 

20 

 

 

21 

 

Other financing activities, net

 

 

(8)

 

(25)

 

(33)

 

Net cash provided (used) by financing activities

 

 

(1,036)

 

970 

 

(66)

 

Effect of foreign currency exchange rates on cash

 

 

(46)

 

 —

 

(46)

 

Net cash provided (used) by discontinued operations:

 

 

 

 

 

 

 

 

Cash provided (used) by operating activities

 

 

(20)

 

293 

 

273 

 

Cash provided (used) by investing activities

 

 

 —

 

(194)

 

(194)

 

Cash provided (used) by financing activities

 

 

 

368 

 

371 

 

Change in available cash held by discontinued operations

 

 

 

(119)

 

(116)

 

Net cash provided (used) by discontinued operations

 

 

(14)

 

348 

 

334 

 

Net increase (decrease) in cash and cash equivalents

 

 

(173)

 

1,577 

 

1,404 

 

Cash and cash equivalents at beginning of period

 

 

595 

 

307 

 

902 

 

Cash and cash equivalents at end of period

 

$

422 

 

1,884 

 

2,306 

 

 

 

STATEMENT OF CASH FLOWS INFORMATION

Year ended December 31, 2013

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

QVC Group

 

Ventures Group

 

Liberty

 

 

 

amounts in millions

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net earnings (loss)

 

$

483 

 

97 

 

580 

 

Adjustments to reconcile net earnings to net cash provided by operating activities:

 

 

 

 

 

 

 

 

(Earnings) loss from discontinued operations

 

 

17 

 

(43)

 

(26)

 

Depreciation and amortization

 

 

629 

 

 —

 

629 

 

Stock-based compensation

 

 

110 

 

 

118 

 

Cash payments for stock-based compensation

 

 

(8)

 

 —

 

(8)

 

Excess tax benefit from stock-based compensation

 

 

(13)

 

 —

 

(13)

 

Noncash interest expense

 

 

12 

 

 

13 

 

Share of losses (earnings) of affiliates, net

 

 

(48)

 

15 

 

(33)

 

Cash receipts from return on equity investments

 

 

16 

 

19 

 

35 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

12 

 

10 

 

22 

 

(Gains) losses on transactions, net

 

 

 

 —

 

 

(Gains) losses on extinguishment of debt

 

 

57 

 

 

57 

 

Impairment of intangible assets

 

 

30 

 

 

30 

 

Deferred income tax (benefit) expense

 

 

(132)

 

110 

 

(22)

 

Intergroup tax allocation

 

 

272 

 

(272)

 

 —

 

Intergroup tax payments

 

 

(52)

 

52 

 

 —

 

Other noncash charges (credits), net

 

 

(14)

 

11 

 

(3)

 

Changes in operating assets and liabilities

 

 

 

 

 

 

 

 

Current and other assets

 

 

(81)

 

(3)

 

(84)

 

Payables and other current liabilities

 

 

(306)

 

37 

 

(269)

 

Net cash provided (used) by operating activities

 

 

985 

 

42 

 

1,027 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Cash proceeds from dispositions

 

 

 

1,136 

 

1,137 

 

Investments in and loans to cost and equity investees

 

 

(4)

 

(380)

 

(384)

 

Capital expended for property and equipment

 

 

(291)

 

 —

 

(291)

 

Cash paid for acquisitions, net of cash acquired

 

 

(24)

 

 —

 

(24)

 

Purchases of short term and other marketable securities

 

 

 —

 

(959)

 

(959)

 

Sales of short term investments and other marketable securities

 

 

 —

 

400 

 

400 

 

Other investing activities, net

 

 

(38)

 

(3)

 

(41)

 

Net cash provided (used) by investing activities

 

 

(356)

 

194 

 

(162)

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Borrowings of debt

 

 

3,520 

 

841 

 

4,361 

 

Repayments of debt

 

 

(3,052)

 

(2,363)

 

(5,415)

 

Repurchases of Liberty Interactive common stock

 

 

(1,089)

 

 

(1,089)

 

Taxes paid in lieu of shares issued for stock-based compensation

 

 

(21)

 

 —

 

(21)

 

Excess tax benefit from stock-based compensation

 

 

13 

 

 —

 

13 

 

Other financing activities, net

 

 

(57)

 

 —

 

(57)

 

Net cash provided (used) by financing activities

 

 

(686)

 

(1,522)

 

(2,208)

 

Effect of foreign currency rates on cash

 

 

(24)

 

 

(24)

 

Net cash provided (used) by discontinued operations:

 

 

 

 

 

 

 

 

Cash provided (used) by operating activities

 

 

(13)

 

346 

 

333 

 

Cash provided (used) by investing activities

 

 

(6)

 

(192)

 

(198)

 

Cash provided (used) by financing activities

 

 

(1)

 

(171)

 

(172)

 

Change in available cash held by discontinued operations

 

 

(2)

 

17 

 

15 

 

Net cash provided (used) by discontinued operations

 

 

(22)

 

 

(22)

 

Net increase (decrease) in cash and cash equivalents

 

 

(103)

 

(1,286)

 

(1,389)

 

Cash and cash equivalents at beginning of period

 

 

698 

 

1,593 

 

2,291 

 

Cash and cash equivalents at end period

 

$

595 

 

307 

 

902 

 

 

STATEMENT OF CASH FLOWS INFORMATION

Year ended December 31, 2012

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributed (note 1)

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

QVC Group

 

Ventures Group

 

Liberty

 

 

 

amounts in millions

 

Cash flows from operating activities:

    

 

    

    

    

    

    

 

Net earnings (loss)

 

$

529 

 

1,062 

 

1,591 

 

Adjustments to reconcile net earnings to net cash provided by operating activities:

 

 

 

 

 

 

 

 

(Earnings) loss from discontinued operations

 

 

46 

 

(1,032)

 

(986)

 

Depreciation and amortization

 

 

591 

 

 —

 

591 

 

Stock-based compensation

 

 

84 

 

 

91 

 

Cash payments for stock-based compensation

 

 

(12)

 

 

(12)

 

Excess tax benefit from stock-based compensation

 

 

(56)

 

(8)

 

(64)

 

Noncash interest expense

 

 

 

 

 

Share of losses (earnings) of affiliates, net

 

 

(28)

 

(19)

 

(47)

 

Cash receipts from return on equity investments

 

 

11 

 

34 

 

45 

 

Realized and unrealized gains (losses) on financial instruments, net

 

 

(51)

 

402 

 

351 

 

(Gains) losses on transactions, net

 

 

 —

 

(443)

 

(443)

 

Impairment of intangible assets

 

 

53 

 

 

53 

 

Deferred income tax (benefit) expense

 

 

(177)

 

123 

 

(54)

 

Intergroup tax allocation

 

 

152 

 

(152)

 

 —

 

Intergroup tax payments

 

 

(33)

 

33 

 

 —

 

Other noncash charges (credits), net

 

 

 

 

 

Changes in operating assets and liabilities

 

 

 

 

 

 

 

 

Current and other assets

 

 

(77)

 

(1)

 

(78)

 

Payables and other current liabilities

 

 

430 

 

(32)

 

398 

 

Net cash provided (used) by operating activities

 

 

1,472 

 

(25)

 

1,447 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Cash proceeds from dispositions

 

 

 —

 

692 

 

692 

 

Proceeds (settlements) of financial instruments, net

 

 

 —

 

(258)

 

(258)

 

Investments in and loans to cost and equity investees

 

 

(59)

 

(177)

 

(236)

 

Capital expended for property and equipment

 

 

(333)

 

 —

 

(333)

 

Cash paid for acquisitions, net of cash acquired

 

 

(83)

 

 —

 

(83)

 

Purchases of short term investments and other marketable securities

 

 

 —

 

(58)

 

(58)

 

Sales of short term investments and other marketable securities

 

 

46 

 

 —

 

46 

 

Other investing activities, net

 

 

(29)

 

(10)

 

(39)

 

Net cash provided (used) by investing activities

 

 

(458)

 

189 

 

(269)

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Borrowings of debt

 

 

2,305 

 

 

2,305 

 

Repayments of debt

 

 

(1,385)

 

(115)

 

(1,500)

 

Intergroup receipts (payments), net

 

 

160 

 

(160)

 

 —

 

Reattribution of cash between groups

 

 

(1,346)

 

1,346 

 

 —

 

Repurchases of Liberty common stock

 

 

(815)

 

 

(815)

 

Proceeds from rights offering

 

 

 —

 

328 

 

328 

 

Taxes paid in lieu of shares issued for stock-based compensation

 

 

(112)

 

(16)

 

(128)

 

Excess tax benefit from stock-based compensation

 

 

56 

 

 

64 

 

Other financing activities, net

 

 

(5)

 

 —

 

(5)

 

Net cash provided (used) by financing activities

 

 

(1,142)

 

1,391 

 

249 

 

Effect of foreign currency rates on cash

 

 

(20)

 

 

(20)