Virgin Media 2006 Annual Report Download - page 127

VIRGIN MEDIA INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
18. Shareholders’ Equity (Continued)
In accordance with the preceding paragraph, the outstanding shares as of December 31, 2005 and weighted average shares
outstanding for the years ended December 31, 2005 and 2004 were restated as follows (in millions):
December 31,
2005 December 31, 2004
Weighted average shares outstanding as previously
reported 85.1 85.6
Share exchange ratio in reverse acquisition 2.5 2.5
Weighted average shares outstanding, as restated 212.8 214.0
The following table summarizes the movement in the number of shares of common stock outstanding during the year ended
December 31, 2006 (in millions):
Number
of shares
December 31, 2005 outstanding shares as previously reported by NTL
Holdings (formerly known as NTL Incorporated) 85.2
Multiplied by share exchange ratio in reverse acquisition 2.5
Shares at December 31, 2005 (after giving effect to reverse acquisition) 212.9
Effect of the reverse acquisition—conversion of NTL Incorporated
(formerly known as Telewest Global, Inc.) shares 70.7
Issued under Scheme of Arrangement to acquire Virgin Mobile 34.4
Issuances and purchases during the period 5.9
December 31, 2006 outstanding shares 323.9
On May 18, 2006, August 28, 2006 and November 28, 2006, our board of directors approved and declared the payment of regular
quarterly cash dividends of $0.01, $0.02 and $0.02 per share on June 20, 2006, September 20, 2006 and December 20, 2006, to
stockholders of record as of June 12, 2006, September 12, 2006, and December 12, 2006, totaling £1.6 million, £3.5 million and £3.4
million, respectively. Future payments of regular quarterly dividends by us are at the discretion of the board of directors and will be
subject to our future needs and uses of free cash flow, which could include investments in operations, the repayment of debt, and share
repurchase programs.
Series A Warrants
On the effective date of the Plan, Series A warrants were issued to some of our former creditors and stockholders. The Series A
warrants were initially exercisable for a total of 8,750,496 shares of common stock at an exercise price of $309.88 per share. After
adjustment to account for the rights offering and the reverse acquisition of Telewest in accordance with anti−dilution adjustment
provisions, the Series A warrants are exercisable for a total of 25,769,060 shares of our common stock at an exercise price of $105.17
per share. The Series A warrants expire on January 10, 2011. The agreement governing the Series A warrants is governed by New
York law. The Series A warrants are listed on the NASDAQ National Market under the symbol “VMEDW.” The Series A warrants
may be subject to further change.
F−48
Source: VIRGIN MEDIA INVESTM, 10−K, March 01, 2007