Comcast 2009 Annual Report Download - page 5

Table of Contents
Part I
Item 1: Business
We are a leading provider of video, high-speed Internet and
phone services (“cable services”), offering a variety of
entertainment, information and communications services to
residential and commercial customers. As of December 31,
2009, our cable systems served approximately 23.6 million
video customers, 15.9 million high-speed Internet customers
and 7.6 million phone customers and passed over
51.2 million homes and businesses in 39 states and the
District of Columbia. We report the results of these
operations as our Cable segment, which generates
approximately 95% of our consolidated revenue. Our Cable
segment also includes the operations of our regional sports
networks. Our Programming segment consists primarily of
our consolidated national programming networks, E!, Golf
Channel, VERSUS, G4 and Style. We were incorporated
under the laws of Pennsylvania in December 2001. Through
our predecessors, we have developed, managed and
operated cable systems since 1963.
Our other business interests include Comcast Interactive
Media and Comcast Spectacor. Comcast Interactive Media
develops and operates our Internet businesses, including
Comcast.net, Fancast, the Platform, Fandango, Plaxo and
DailyCandy. Comcast Spectacor owns two professional
sports teams, the Philadelphia 76ers and the Philadelphia
Flyers, and a large, multipurpose arena in Philadelphia, the
Wachovia Center, and provides facilities management
services, including food services, for sporting events,
concerts and other events. Comcast Interactive Media,
Comcast Spectacor and all other consolidated businesses
not included in our Cable or Programming segments are
included in “Corporate and Other” activities.
For financial and other information about our reportable
segments, refer to Item 8, Note 18 to our consolidated
financial statements included in this Annual Report on Form
10-K.
Available Information and Websites
Our phone number is [phone], and our principal
executive offices are located at One Comcast Center,
Philadelphia, PA 19103-2838. The public may read and copy
any materials we file with the SEC at the SEC’s Public
Reference Room at 100 F Street, NE, Washington, DC
20549. The public may obtain information on the operation of
the Public Reference Room by calling the SEC at 1-800-
SEC-0330. Our Annual Reports on Form 10-K, Quarterly
Reports on Form 10-Q, Current Reports on Form 8-K and
any amendments to such reports filed with or furnished to the
SEC under Sections 13(a) or 15(d) of the Securities
Exchange Act of 1934, as amended (the “Exchange Act”),
are available free of charge on the SEC’s website at
www.sec.gov and on our website at www.comcast.com as
soon as reasonably practicable after such reports are
electronically filed with the SEC. The information posted on
our website is not incorporated into our SEC filings.
General Developments of Our Businesses
The following are the more significant developments in our
businesses during 2009:
•
an increase in consolidated revenue of 3.9% to
approximately $35.8 billion and an increase in consolidated
operating income of 7.2% to approximately $7.2 billion
•
an increase in Cable segment revenue of 3.8% to
approximately $33.9 billion and an increase in operating
income before depreciation and amortization of 4.0% to
approximately $13.7 billion
•
an increase in Programming segment revenue of 4.9% to
approximately $1.5 billion and an increase in operating
income before depreciation and amortization of 7.5% to
approximately $389 million
• the addition of approximately 1.0 million high-
speed
Internet customers and approximately 1.1 million phone
customers; a decrease of approximately 623,000 video
customers
•
a reduction in Cable segment capital expenditures of 9.2%
to approximately $5.0 billion
•
the continued investment in service enhancements,
including the transition from analog to digital transmission
of approximately 40 to 50 of the channels we distribute
(“our all digital conversion”),
which allows us to recapture
bandwidth and expand our video service offerings; the
continued deployment of DOCSIS 3.0 wideband
technology, which allows us to offer faster high-
speed
Internet service; the offering of certain cable network
programming to our customers online through Fancast
XFINITY TV; and the initial deployment of 4G wireless
high-speed Internet service in certain markets
•
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