Cincinnati Bell 2014 Annual Report Download - page 23

Table of Contents
Form 10-K Part I
Cincinnati Bell Inc.

None.

As of December 31, 2014, we owned or maintained properties in Ohio, Kentucky and Indiana. Principal office locations are in Cincinnati, Ohio.
Our property comprises copper and fiber plant and associated equipment in our local operating market. Each of the Company’s subsidiaries maintains some
investment in furniture and office equipment, computer equipment and associated operating system software, application system software, leasehold
improvements, and other assets.
With regard to its local Wireline operations, the Company owns substantially all of the central office switching stations and the land upon which they are
situated. Some business and administrative offices are located in rented facilities, some of which are recorded as capital leases. The Company’s out-of-
territory Wireline network assets include a fiber network plant, internet protocol and circuit switches and integrated access terminal equipment. In addition,
we lease eight Company-run retail locations. Those locations were historically used by the wireless operations but have been converted to sell our Fioptics
suite of products.
Our wireless operation is currently leasing spectrum to provide service until April 6, 2015 in conjunction with the agreements to sell our wireless spectrum
licenses and certain other assets related to our wireless business. CBW also leases locations that contain its switching and messaging equipment as well as all
of its tower sites. Certain tower leases and the related assets will be assumed by the acquiring company.
For additional information about the Company’s properties, see Note 5 to the consolidated financial statements.

We are subject to various lawsuits, actions, proceedings, claims and other matters asserted under laws and regulations in the normal course of business. We
believe the liabilities accrued for legal contingencies in our consolidated financial statements, as prescribed by generally accepted accounting principles
("GAAP"), are adequate in light of the probable and estimable contingencies. However, there can be no assurances that the actual amounts required to satisfy
alleged liabilities from various legal proceedings, claims, tax examinations, and other matters, and to comply with applicable laws and regulations, will not
exceed the amounts reflected in our consolidated financial statements. As such, costs, if any, that may be incurred in excess of those amounts provided as of
December 31, 2014, cannot be reasonably determined.
Based on information currently available, consultation with counsel, available insurance coverage and established reserves, management believes the
eventual outcome of all outstanding claims will not individually, or in the aggregate, have a material effect on the Company's financial position, results of
operations or cash flows.

Not applicable.
23