Cincinnati Bell 2014 Annual Report Download - page 52

Table of Contents
Form 10-K Part II
Cincinnati Bell Inc.
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The following table summarizes our contractual obligations as of December 31, 2014:
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
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

Long-term debt, excluding capital leases (1)
$ 1,689.3
$ 6.0
$ 30.6
$ 310.8
$ 1,341.9
Capital leases (2)
98.1
7.2
11.0
7.0
72.9
Interest payments on long-term debt, capital leases, and other financing
arrangements (3)
750.0
121.2
240.5
199.1
189.2
Non-cancellable operating lease obligations
50.4
10.3
11.6
6.9
21.6
Purchase obligations (4)
178.1
157.9
20.2
—
—
Pension and postretirement benefits obligations (5)
63.3
27.5
22.4
4.1
9.3
Unrecognized tax benefits (6)
27.1
—
—
—
27.1
Other liabilities (7)
46.4
31.1
2.1
1.0
12.2
Total
$ 2,902.7
$ 361.2
$ 338.4
$ 528.9
$ 1,674.2
(1) Long-term debt excludes net unamortized discounts and premiums.
(2) Includes capital lease obligations and the associated asset retirement obligations primarily related to our wireless towers and
vehicle fleets used in the deployment of our fiber network. Wireless tower leases and asset retirement obligations are $83.2
million of which approximately $25 million will be transferred to the acquirer of our wireless spectrum licenses no later than
April 6, 2015.
(3) Interest payments on both fixed and variable rate long-term debt, capital leases, and other financing arrangements assuming no
early payment of debt in future periods. The interest rate applied on variable rate borrowings is the rate in effect as of December
31, 2014.
(4) Purchase obligations primarily consist of amounts under open purchase orders and open blanket purchase orders for purchases
of network, IT and telephony equipment, and other goods; contractual obligations for services such as software maintenance,
outsourced services; and other purchase commitments.
(5) Included in pension and postretirement benefit obligations are payments for postretirement benefits, qualified pension plans,
non-qualified pension plan and other employee retirement agreements. Amounts for 2015 include approximately $12 million
expected to be contributed for postretirement benefits. Although the Company expects to continue operating the plans past
2015, its contractual obligation related to postretirement obligations only extends through 2015. Amounts for 2015 through
2022 include approximately $30 million of estimated cash contributions to its qualified pension plans, with approximately $13
million expected to be contributed in 2015. Expected qualified pension plan contributions are based on current plan design,
legislation and current actuarial assumptions. Any changes in plan design, legislation or actuarial assumptions may also affect
the expected contribution amount.
(6) Includes the portion of liabilities related to unrecognized tax benefits. If the timing of payments cannot be reasonably
estimated for unrecognized tax benefits, these liabilities are included in the "Thereafter" column of the table above.
(7) Includes contractual obligations primarily related to restructuring reserves, asset removal obligations, long-term disability
obligations, workers compensation liabilities, and long-term incentive plan obligations.
The contractual obligations table is presented as of December 31, 2014. The amount of these obligations can be expected to change over time as new
contracts are initiated and existing contracts are completed, terminated, or modified.
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