SEC Filings

WARNER MEDIA, LLC filed this Form 10-Q on 10/26/2017
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Programming Licensing Backlog

Programming licensing backlog represents the amount of future revenues not yet recorded from cash contracts for the worldwide licensing of theatrical and television product for premium cable, basic cable, network and syndicated television and OTT exhibition. Backlog was $7.2 billion and $6.8 billion at September 30, 2017 and December 31, 2016, respectively. Included in the backlog amounts is licensing of theatrical and television product from the Warner Bros. segment to the Turner segment in the amount of $945 million and $942 million at September 30, 2017 and December 31, 2016, respectively. Also included in the backlog amounts is licensing of theatrical product from the Warner Bros. segment to the Home Box Office segment in the amount of $681 million and $689 million at September 30, 2017 and December 31, 2016, respectively.


This report contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the fact that they do not relate strictly to historical or current facts. Forward-looking statements often include words such as “anticipates,” “estimates,” “expects,” “projects,” “intends,” “plans,” “believes” and words and terms of similar substance in connection with discussions of future operating or financial performance. Examples of the forward-looking statements in this report include, but are not limited to, the statements regarding (i) the expected timing of the completion of the AT&T merger and (ii) the Company’s expectations regarding the impact of the AT&T merger on the Company’s efforts to spur innovation in the media industry.

The Company’s forward-looking statements are based on management’s current expectations and assumptions regarding the Company’s business and performance, the economy and other future conditions and forecasts of future events, circumstances and results. As with any projection or forecast, forward-looking statements are inherently susceptible to uncertainty and changes in circumstances. The Company’s actual results may vary materially from those expressed or implied in its forward-looking statements. Important factors that could cause the Company’s actual results to differ materially from those in its forward-looking statements include government regulation, economic, strategic, political and social conditions and the following factors:



the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger Agreement;


the risk that the necessary regulatory approvals for the proposed merger may not be obtained or may be obtained subject to conditions that are not anticipated;


risks that any of the closing conditions to the merger may not be satisfied in a timely manner;


risks related to disruption of management time from ongoing business operations due to the merger;


failure to realize the benefits expected from the merger;


the effect of the merger on the ability of Time Warner to retain customers and retain and hire key personnel;


the effect of the merger on the ability of Time Warner to maintain relationships with its suppliers;


the effect of the merger on Time Warner’s operating results and businesses generally;


any litigation in connection with the merger;


recent and future changes in technology, services and standards, including alternative methods for the delivery, storage and consumption of digital media and evolving home entertainment formats;


changes in consumer behavior, including changes in spending behavior and viewing patterns;


changes in the Company’s plans, initiatives and strategies, and the acceptance thereof by consumers, affiliates and other third parties with which the Company does business;


changes in the plans, initiatives and strategies of the third parties that distribute, license and/or sell Time Warner’s content;


the popularity of the Company’s content;


the Company’s ability to enter into or renew affiliate agreements on favorable terms;


competitive pressures, including as a result of audience fragmentation and changes in technology and consumer viewing patterns;


changes in advertising market conditions or advertising expenditures due to various factors, including decreasing numbers of subscribers to multichannel video services provided by traditional affiliates, changes in consumer viewing patterns, economic conditions, pressure from public interest groups, changes in laws and regulations and other societal or political developments;


changes in how the Company sells advertising, including offering data- and analytics-driven advertising products, and advertisers’ acceptance thereof;