Clearwire 2008 Annual Report Download - page 105

Pro Forma Resu
l
ts o
f
O
p
erations
Th
e
f
o
ll
ow
i
n
g
C
l
earw
i
re com
bi
ne
d
pro
f
orma resu
l
ts o
f
operat
i
ons
f
or t
h
e
y
ears en
d
e
d
Decem
b
er 31, 2008 an
d
2007
h
ave
b
een prepare
d
to
gi
ve e
ff
ect to t
h
e Transact
i
ons assum
i
n
gi
t was consummate
d
on Januar
y
1o
f
eac
hfi
sca
l
y
ear presented. The pro forma statements of operations are presented for illustrative purposes only and are not
n
ecessar
ily i
n
di
cat
i
ve o
f
t
h
e resu
l
ts o
f
operat
i
ons t
h
at wou
ld h
ave
b
een o
b
ta
i
ne
dh
a
d
t
h
ese events actua
lly
occurre
d
at t
h
e
b
e
gi
nn
i
n
g
o
f
t
h
e per
i
o
d
s presente
d
, nor
d
ot
h
e
yi
nten
d
to
b
e a pro
j
ect
i
on o
ff
uture resu
l
ts o
f
operat
i
ons.
I
ncluded in the pro forma results of operations are the followin
g
non-recurrin
g
items
:
• The accelerated vesting of stock options for certain members of management upon the Closing resulted in a
one-time charge of approximately
$
38.9 million recorded by Old Clearwire in its historical consolidate
d
fi
nanc
i
a
l
statements
f
or t
h
e 11 mont
h
sen
d
e
d
Novem
b
er 28
,
2008
;
• Transaction costs of $48.6 million, comprised of $33.4 million of investment bankin
g
fees and $15.2 millio
n
of other professional fees, were recorded b
y
Old Clearwire in its historical consolidated financial statement
s
f
or t
h
e year en
d
e
d
Decem
b
er 31, 2008;
2008 200
7
Unaud
i
ted Pro Forma Results o
f
Op
erat
i
on
s
December
31,
(
In thousands, except per share
amounts
)
R
e
v
enue
.
...........................................
$
230
,
646
$
151
,
44
0
N
et
l
oss
(
a
)
.
........................................
.
$(
359,326
)$(
238,061
)
N
et loss per common share:
B
as
i
c
.
...........................................
$
(
1.85) $ (1.22
)
Dil
uted
.
.......................................... $ (1.97) $ (1.28
)
W
ei
g
hted avera
g
e common shares outstandin
g:
Bas
i
c
............................................
194
,
484 194
,
484
D
il
ute
d
...........................................
7
23,30
77
23,30
7
(a) Pro forma net loss includes the non-recurrin
g
items discussed above, which is different from the pro forma ne
t
l
oss prepare
di
n accor
d
ance w
i
t
h
Art
i
c
l
e 11- Pro
f
orma F
i
nanc
i
a
l
In
f
ormat
i
on o
f
Secur
i
t
i
es an
d
Exc
h
ang
e
Commission Re
g
ulation S-X.
4
. Investments
I
nvestments as of December 31, 2008 consist of the followin
g
(in thousands)
:
C
ost
G
ains Losses Fair Value
G
ross
U
nrealized
December
31, 2008
S
hort-term
U
.S. Government and A
g
enc
y
Issue
s
....................
$
1,899,529 $2,220 $— $1,901,749
L
ong-term
A
uct
i
on rate secur
i
t
i
e
s
...............................
1
8
,
974 — — 18
,
97
4
To
t
a
lIn
ves
tm
e
nt
s
................................
$
1
,
918
,
503
$
2
,
220
$
—
$
1
,
920
,
723
Securities that are available for current o
p
erations are classified as short-term available-for-sale investments
,
an
d
are state
d
at
f
a
i
rva
l
ue. Auct
i
on rate secur
i
t
i
es w
i
t
h
out rea
dil
y
d
eterm
i
na
bl
e mar
k
et va
l
ues are c
l
ass
ifi
e
d
as
l
ong-
93
CLEARWIRE CORPORATION AND
S
UB
S
IDIARIE
S
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS —
(
Continued
)