Comcast 2009 Annual Report Download - page 28

Table of Contents
The Areas We Serve
The map below highlights our 40 major markets with emphasis on our operations in the top 25 U.S. TV markets.
Comcast 2009 Annual Report on Form 10-K
22
NBC Universal Transaction
We entered into agreements with General Electric Company
(“GE”) in December 2009 to form a new company of which
we will own 51% and control, with the remaining 49% to be
owned by GE. Under the terms of the transaction, GE will
contribute NBC Universal’s businesses, including its cable
and broadcast networks, filmed entertainment, televised
entertainment, theme parks and unconsolidated investments,
as well as other GE assets used primarily in NBC Universal’s
business. NBC Universal will borrow
•
a decrease in our total debt outstanding of $3.4 billion or
10.4% to approximately $29.1 billion, which is primarily due
to repayment of scheduled debt and the repurchase of debt
securities prior to their scheduled maturities
•
the repurchase of approximately 49.8 million shares of our
Class A and Class A Special common stock under our
share repurchase authorization for approximately $765
million
•
we declared dividends of approximately $850 million in
2009 and paid approximately $761 million in 2009; in
February 2009, our Board of Directors increased the
planned annual dividend by 8% to $0.27 per share; and in
December 2009, it increased the planned annual dividend
by 40% to $0.378 per share, with the first quarterly
payment of $0.0945 per share occurring in January 2010
$9.1 billion from third party lenders and distribute the
proceeds to GE. We will contribute our national programming
networks, our regional sports networks and certain of our
Internet businesses, as well as other assets used primarily in
those businesses, collectively valued at approximately $7.25
billion, and make a cash payment to GE of $7.1 billion, less
certain adjustments primarily based on the free cash flow
generated by NBC Universal between December 4, 2009 and
the closing. GE will be entitled to cause the new company to
redeem half of GE’s interest three and a half years after the
closing and its remaining interest seven years after the
closing. If GE exercises its first redemption right, we have the
right to purchase the remainder of GE’s interest. If GE does
not exercise its first redemption right, we have the right to
purchase half of GE’s interest five years after the closing. We
also will have the right to purchase GE’s remaining interest, if
any, eight years after the closing. The redemption and
purchase price will equal the ownership percentage being
acquired multiplied by 120% of the fully distributed public
market trading value of the new company, less half of the
excess of 120% of that value over $28.15 billion. Subject to
various limitations, we are committed to fund up to $2.875
billion in cash or common stock for each of the two
redemptions (for an aggregate of up to $5.75 billion), with
amounts not used in the first redemption to be available for
the second redemption. The transaction is subject to various
regulatory approvals and is expected to close by the end of
2010.