SEC Filings

S-4/A
TIME WARNER INC. filed this Form S-4/A on 03/24/2000
Entire Document
 
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                                  TIME WARNER
 
                       Selected Historical Financial Data
   
   The selected historical financial data of Time Warner has been derived from
the audited historical consolidated financial statements and related notes of
Time Warner for each of the years in the five-year period ended December 31,
1999. The historical data is only a summary, and you should read it in
conjunction with the historical financial statements and related notes
contained in the annual report of Time Warner which has been incorporated by
reference into this joint proxy statement-prospectus.     
   
   The selected historical financial data for 1999 reflects the consolidation
of TWE and its related companies, retroactive to the beginning of 1999. We
refer to TWE and its related companies as the "entertainment group." The
selected historical financial data for all prior periods has not been changed.
However, in order to enhance comparability, pro forma financial data for 1998
reflects the consolidation of the entertainment group. In addition, selected
historical financial data of the entertainment group is included elsewhere in
this joint proxy statement-prospectus to facilitate an analysis of Time
Warner's results of operations and financial condition for all prior periods in
which the entertainment group was not consolidated.     
      
   The selected historical financial data for 1998 reflects:     
     
  .  the transfer of cable television systems (or interests therein) serving
     approximately 650,000 subscribers that were formerly owned by
     subsidiaries of Time Warner to the TWE-Advance Newhouse Partnership,
     subject to approximately $1 billion of debt, in exchange for common and
     preferred interests in the partnership, as well as related transactions,
     which we refer to as the "TWE-A/N Transfers"; and     
     
  .  the redemption of Time Warner's series M preferred stock at an aggregate
     cost of approximately $2.1 billion, using proceeds from the issuance of
     lower-cost debt.     
      
   The selected historical financial data for 1996 reflects:     
     
  .  the use of approximately $1.55 billion of net proceeds from the issuance
     of Time Warner's series M preferred stock to reduce outstanding
     indebtedness; and     
     
  .  the acquisitions of Turner Broadcasting System, Inc. and Cablevision
     Industries Corporation and related companies, resulting in:     
       
    .  the issuance of an aggregate 6.3 million shares of Time Warner
       preferred stock having a total liquidation preference of $633 million
       and 365.4 million shares of Time Warner common stock; and     
       
    .  the assumption or incurrence of approximately $4.8 billion of
       indebtedness.     
      
   The selected historical financial data for 1995 reflects:     
     
  .  Time Warner's acquisitions of KBLCOM Incorporated and Summit
     Communications Group, Inc.; and     
     
  .  the exchange by Toshiba Corporation and ITOCHU Corporation of their
     direct and indirect interests in TWE, resulting in:     
       
    .  the issuance of an aggregate 29.3 million shares of Time Warner
       preferred stock having a total liquidation preference of $2.926
       billion and 5.2 million shares of Time Warner common stock; and     
       
    .  the assumption or incurrence of approximately $1.3 billion of
       indebtedness.     
   
   Per common share amounts and average common shares give effect to the two-
for-one common stock split that occurred on December 15, 1998.     
 
 
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