Clearwire 2009 Annual Report Download - page 125

Th
e
dil
ute
d
we
i
g
h
te
d
average s
h
ares
did
not
i
nc
l
u
d
et
h
ee
ff
ects o
f
t
h
e
f
o
ll
ow
i
ng potent
i
a
l
common s
h
ares a
s
th
e
i
r
i
nc
l
us
i
on wou
ld h
ave
b
een ant
idil
ut
i
ve
(i
nt
h
ousan
d
s
)
:
Y
ear Ended
December
31
,
2
009
P
e
ri
od
Fr
om
N
ovember 29
,
2008
to
December
31,
2008
Stoc
k
opt
i
ons
.
..........................................
.
2
2
,
1
5
419
,
317
Rest
ri
cted stoc
k
u
ni
ts
.
.....................................
9,
488 3
,
0
5
4
W
arrants
...............................................
1
7,806 17,806
C
ontin
g
ent share
s
........................................
12
,7
4
7
28
,
824
6
2,19
66
9,001
T
he contin
g
ent shares for the
y
ear ended December 31, 2009, primaril
y
relate to Clearwire Communications
Class B Common Interests and Clearwire Communications Voting Interests that will be issued to Participatin
g
Equ
i
t
yh
o
ld
ers upon t
h
e Secon
d
an
d
T
hi
r
d
Investment C
l
os
i
n
g
s as suc
hi
nterests, on a com
bi
ne
db
as
i
s, can
b
e
e
xc
h
an
g
e
df
or C
l
ass A Common Stoc
k
.T
h
e Secon
d
Investment C
l
os
i
n
g
was Decem
b
er 21, 2009. We expect t
h
e
T
hird Investment Closing to occur during the first quarter of 2010.
Th
e cont
i
ngent s
h
ares
f
or t
h
e year en
d
e
d
Decem
b
er 31, 2008, re
l
ate to purc
h
ase pr
i
ce s
h
are a
dj
ustment o
f
28,235,294 million shares and equity issuance to CW Investment Holdings of 588,235 shares, all of which wer
e
i
ssue
di
nFe
b
ruar
y
o
f
2009
.
Th
esu
b
scr
i
pt
i
on r
igh
ts to purc
h
ase
i
na
gg
re
g
ate approx
i
mate
ly
114 m
illi
on s
h
ares o
f
C
l
ass A Common Stoc
k
are not included in the computation of diluted loss per share because the ri
g
hts’ subscription price of $7.33 per shar
e
was greater t
h
an t
h
e average mar
k
et pr
i
ce o
f
C
l
ass A Common Stoc
kd
ur
i
ng t
h
e per
i
o
d
suc
h
r
i
g
h
ts are outstan
di
ng
i
n
2009 (out-of-the-mone
y
)
.
We
h
ave ca
l
cu
l
ate
d
an
dp
resente
db
as
i
can
d dil
ute
d
net
l
oss
p
er s
h
are o
f
C
l
ass A Common Stoc
k
.C
l
ass
B
Common Stock loss per share is not calculated since it does not contractuall
y
participate in distributions of
Clearwire. Prior to the Closing, we had no equity as we were a wholly-owned division of Sprint. As such, we did not
c
a
l
cu
l
ate or present net
l
oss per s
h
are
f
or t
h
e per
i
o
df
rom Januar
y
1, 2008 to Novem
b
er 28, 2008 an
d
t
h
e
y
ear en
d
e
d
D
ecember 31, 2007
.
17. Business
S
egments
I
n
f
ormat
i
on a
b
out operat
i
n
g
se
g
ments
i
s
b
ase
d
on our
i
nterna
l
or
g
an
i
zat
i
on an
d
report
i
n
g
o
f
revenue an
d
operatin
g
income (loss) based upon internal accountin
g
methods. Operatin
g
se
g
ments are defined as components o
f
an enterprise about which separate financial information is available that is evaluated regularly by the chief
operat
i
n
gd
ec
i
s
i
on ma
k
er, or
d
ec
i
s
i
on ma
ki
n
gg
roup,
i
n
d
ec
idi
n
gh
ow to a
ll
ocate resources an
di
n assess
i
n
g
p
er
f
ormance. Our c
hi
e
f
operat
i
n
gd
ec
i
s
i
on ma
k
er
i
s our C
hi
e
f
Execut
i
ve O
ffi
cer. As o
f
Decem
b
er 31, 2009 an
d
2008, we have identified two reportable segments: the United States and the International businesses. In 2007 we
on
l
y
h
a
d
one reporta
bl
e
b
us
i
ness segment: t
h
eUn
i
te
d
States, as we
h
a
d
no
i
nternat
i
ona
l
operat
i
ons pr
i
or to t
he
C
l
os
i
n
g.
11
5
C
LEARWIRE
CO
RP
O
RATI
O
N AND
SU
B
S
IDIARIE
S
N
OTES TO CONSOLIDATED FINANCIAL STATEMENTS —
(
Continued
)