Shaw 2013 Annual Report Download - page 26

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S
haw
C
ommunications Inc
.
MANA
G
EMENT’
S
DI
SCUSS
I
O
N AND ANALY
S
I
S
August
,
iii)
Free cash
f
low
The Company uses free cash flow as a measure of the Company’s ability to repay debt an
d
return cash to shareholders. Consolidated free cash flow is calculated as follows
:
Year ended August 31
,
(
$millions Cdn) 2013 201
2
C
hange
%
R
evenue
Cabl
e
3
,
266 3
,
193 2.
3
Sate
ll
ite
860
8
44
1
.
9
M
edia
1
,
106
1
,
0
5
3
5.
0
5,
232
5,
090 2.8
Interse
g
ment el
i
m
i
nat
i
on
s
(90)
(92) (2
.
2)
5
,
1
4
2
4
,
998 2
.
9
Operating income before amortization
(
1)
Cab
l
e
1
,5
82
1,
5
02
5.
3
Sate
ll
ite
285
293 (2
.7
)
Medi
a
3
5
3
332 6.
3
2
,
220
2,12
74.
4
Ca
p
ital ex
p
enditures and e
q
ui
p
ment costs (net)
:
Cabl
e
8
67
8
10 7.0
Accelerated ca
p
ital fund investmen
t
(
1)
(
110
)
– >100.
0
Adjusted Cabl
e
7
57
8
10 (6.5)
S
atellite
1
2
3
9
4 30.9
M
edia
31
31 –
T
ota
l
911
9
35 (2.6)
F
ree cash
f
low be
f
ore the
f
ollow
i
n
g1
,
309
1,192 9
.
8
Less:
In
te
r
est
(308)
(329) (6
.4
)
Cash taxe
s
(
300
)
(282) 6.4
Other adjustments:
Non-cash share-based com
p
ensat
i
on
5
6 (16
.7
)
C
RT
C
bene
fi
t obl
ig
at
i
on
f
und
i
n
g
(
5
2)
(
4
8) 8
.
3
Non-controlling interest
s
(
39
)
(34) 14.7
Pension adjustmen
t
12
1
2
–
Customer e
q
ui
p
ment financin
g
(
10
)
(
20
)(
50.0
)
Pr
efe
rr
ed s
h
a
r
edi
v
ide
n
ds
(13)
(1
5
) (13
.
3)
F
ree cash flow 60
4
482 25.
3
Op
erat
i
n
g
mar
gi
n
(1)
Cab
l
e
4
8
.4
%
4
7.
0%
1.4
S
atellite 33.1
%
34.7% (1.6)
Medi
a
31.9
%
31.5% 0.4
(1) S
ee key per
f
ormance dr
i
vers on page
20.
22