Twenty-First Century Fox 2010 Annual Report Download

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ANNUAL REPORT 2010

Table of contents

  • Page 1
    ANNUAL REPORT 2010

  • Page 2
    POWERFUL NEWS BRANDS

  • Page 3

  • Page 4

  • Page 5
    WORLD-CLASS SPORTS

  • Page 6

  • Page 7
    COMPELLING ENTERTAINMENT

  • Page 8
    .... These Rupert Murdoch Chairman and Chief Executive Officer News Corporation results also underscore how well positioned we are - fiscally, operationally and strategically - for further growth across all of our markets. The growth of our cable and subscription businesses is excellent and will...

  • Page 9
    ... Q Negotiating new retransmission consent agreements with a number of cable providers which will help ensure we return to a robust U.S. broadcast television business; Q Expanding successful franchises like National Geographic Channel, which launched Nat Geo WILD and the Fox International Channels...

  • Page 10
    ... from a well-managed balance sheet. From our vibrant news businesses to our newest digital initiatives, our strategy AVATAR WAS A BIG GAMBLE, RESULTING IN THE MOST SUCCESSFUL FILM OF ALL TIME AND USHERING IN A NEW ERA IN FILM AND TELEVISION PRODUCTION once again paid off in 2010, with double digit...

  • Page 11
    ..., but we believe the management team of Sky Deutschland has the right strategy to build a sustainable business for the future. This past year, our television segment saw a 15% growth in operating income. Fox Broadcasting Company was once again the number one television network in the U.S. with hit...

  • Page 12
    ... has long been a leader in combining advertising with digital subscription fees and we have moved to this more balanced model at The Times and The Sunday Times of London as well. At News Corporation, we are focused on working with other leaders in the publishing and technology fields to re-imagine...

  • Page 13
    ... to come. I REMAIN EXCITED ABOUT OUR FUTURE AND SEE BOUNDLESS OPPORTUNITIES TO PLAY TO OUR INHERENT STRENGTHS AS THE WORLD'S LEADING CONTENT PROVIDER Rupert Murdoch Chairman and Chief Executive Officer News Corporation 2010 Annual Report 11

  • Page 14
    ...FINANCIAL....3 3 3 3 2010(1)3 3 3 3 ...200833 3 $3 0.1203 $3 0.1003 20073 $3 0.1303 $3 0.130 2006 200933 3 As3of3June330,3 33333333333 (in3millions) Balance Sheet Data: Cash3and3cash3equivalents3 Total3assets3 Borrowings3 $3 8,7093 3 54,3843 3 13,3203 $3 6,5403 3 53,1213 3 14,...

  • Page 15
    ... global media company, which manages and reports its businesses in eight segments. During fiscal 2010, the Company reclassified STAR Group Limited ("STAR"), which develops, produces and distributes television programming in Asia, from the Television segment to the Cable Network Programming...

  • Page 16
    ... the Company's filmed entertainment businesses. Television and Cable Network Programming The Company's television operations primarily consist of FOX, MyNetworkTV and the 27 television stations owned by the Company. The television operations derive revenues primarily from the sale of advertising and...

  • Page 17
    ... the National Geographic Channels, SPEED and the Big Ten Network. The Company's international cable networks consist of the Fox International Channels ("FIC") and STAR. FIC produces and distributes entertainment, factual, sports, and movie channels through television channels in Europe, Africa, Asia...

  • Page 18
    ... expenses associated with the fews Outdoor business include site lease costs, direct production, maintenance and installation expenses, salaries, employee benefits and other routine overhead. The Company is currently exploring the possible sale of the fews Outdoor business. 16 News Corporation

  • Page 19
    ... and, accordingly, have not been presented separately. During fiscal 2010, the Company acquired an approximate 9% interest in Rotana Holding FZ-LLC ("Rotana"), which operates a diversified film, television, audio, advertising and entertainment business across the Middle East and North Africa...

  • Page 20
    ...-As discussed in Note 9 to the Consolidated Financial Statements of News Corporation, the Company determined that it was more likely than not its News Outdoor and Fox Mobile Group ("Fox Mobile") businesses which are considered reporting units under ASC 350 "Intangibles-Goodwill and Other" ("ASC...

  • Page 21
    ... basis. In conjunction with this restructuring program, the Company also eliminated excess facility requirements. In fiscal 2009, several other businesses of the Company implemented similar plans, including the U.K. and Australian newspapers, HarperCollins, MyNetworkTV and Fox Television Stations...

  • Page 22
    ...the Company's revenues and segment operating income for fiscal 2010 as compared to fiscal 2009. 2010 For the years ended June 30, 2009 ($ millions) Change % Change Revenues: Filmed Entertainment Television Cable Network Programming Direct Broadcast Satellite Television Integrated Marketing Services...

  • Page 23
    ..., us well us improved operuting results ut MyNetworkTV, purtiully offset by higher prime-time entertuinment progrumming und sports costs ut FOX. Cable Network Programming (21% und 20% of the Compuny's consoliduted revenues in fiscul 2010 und 2009, respectively) For the fiscul yeur ended June 30...

  • Page 24
    ... primarily due to higher movie acquisition costs, sports rights amortization and original programming costs. Direct Broadcast Satellite Television (12% of the Company's consolidated revenues in fiscal 2010 and 2009) For the fiscal year ended June 30, 2010, SKY Italia's revenues increased $42 million...

  • Page 25
    ... book sales. Strong sales of Where the Wild Things Are by Maurice Sendak, The Vampire Diaries by L.J. Smith and LA Candy by Lauren Conrad led to the increase at the Children's division. During the fiscal year ended June 30, 2010, HarperCollins had 164 titles on The New York Times Bestseller...

  • Page 26
    ... fluctuations. Television segment revenues decreased primarily due to the absence of revenues from the Stations sold in July 2008, lower advertising revenues as a result of general weakness in the advertising markets and the absence of revenue from the Super Bowl which was broadcast on FOX during...

  • Page 27
    ...) Gain on sale of NDS shares(a) Gain on the sale of the Stations(a) Loss on the sale of eastern European television stations(a) Gain on the Exchange(a) Gain on sale of UK land(a) Impairment of cost based investments(b) Gain on sale of China Network Systems(b) Gain on sale of Fox Sports Net Bay...

  • Page 28
    ...Revenues: Filmed Entertainment Television Cable Network Procramminc Direct Broadcast Satellite Television Intecrated Marketinc Services Newspapers and Information Services Book Publishinc Other Total revenues Secment operatinc income (loss): Filmed Entertainment Television Cable Network Procramminc...

  • Page 29
    ... revenues at the television stations owned by the Company due to the general weakness in the advertising markets, with automotive advertising experiencing the largest decrease, and the absence of the Super Bowl and Emmy® Awards which were broadcast on FOX during the fiscal year ended June...

  • Page 30
    .... The increase in revenues primarily resulted from higher custom publishing revenue, higher volume of freestanding insert products and higher rates for in-store marketing products, partially offset by a decrease in sales volume for in-store marketing products. For the fiscal year ended June 30, 2009...

  • Page 31
    ... programming rights for entertainment and sports programming; paper purchases; operational expenditures including employee costs; capital expenditures; interest expense; income tax payments; investments in associated entities; dividends; acquisitions; and stock repurchases. In June 2010, the Company...

  • Page 32
    ... entertainment rights payments at the DBS and Cable Network Programming segments and lower advertising receipts at the Newspapers and Information Services segment. Also contributing to this decrease was the absence of the Super Bowl, which was not broadcast on FOX in fiscal 2009, the Stations, which...

  • Page 33
    ... the Consolidated Financial Statements of News Corporation. $ 593 396 - - - - 38 $ - - 690 283 - 30 37 $ - - - - 1,237 7 48 $1,292 $ - - - - (350) (225) - (153) $ 1,027 $1,040 - - - (200) - - (64) (79) $(1,655) $ (134) (150) - - - (82) (59) $(2,080) $ (343) $ (728) 2010 Annual Report 31

  • Page 34
    News Corporation MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED) Ratings of the Public Debt The table below summarizes the Company's credit ratings as of June 30, 2010. Rating Agency Senior Debt Outlook Moody's S&P Baa1 BBB+ Stable Stable ...

  • Page 35
    ... upon the future cost of retiree medical benefits under the Company's pension plans. The Company expects its OPEB payments to approximate $18 million in fiscal 2011. (See Note 17 to the Consolidated Financial Statements of News Corporation for further discussion of the Company's pension and OPEB...

  • Page 36
    ... film will be released. Management updates such estimates based on information available on the actual results of each film through its life cycle. License agreements for the broadcast of theatrical and television product in the broadcast network, syndicated television and cable television markets...

  • Page 37
    ... the change in circumstances occurs, along with a corresponding increase or charge to income. Employee Costs The measurement and recognition of costs of the Company's various pension and other postretirement benefit plans require the use of significant management judgments, including discount rates...

  • Page 38
    ... it is determined based upon the prevailing rates in the United States, the United Kingdom and Australia as of the measurement date. The Company will utilize a weighted average discount rate of 5.7% in calculating the fiscal 2011 net periodic pension expense for its plans. The Company will continue...

  • Page 39
    News Corporation QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK The Company has exposure to several types of market risk: changes in foreign currency exchange rates, interest rates, and stock prices. The Company neither holds nor issues financial instruments for trading purposes. The ...

  • Page 40
    ... AND SUPPLEMENTARY DATA NEWS CORPORATION INDEX TO CONSOLIDATED FINANCIAL STATEMENTS Management's Report On Internal Control Over Financial Reporting ...39 Report Of Independent Registered Public Accounting Firm On Internal Control Over Financial Reporting ...40 Report Of Independent Registered...

  • Page 41
    ... registered public accounting firm who audited and reported on the Consolidated Financial Statements of News Corporation included in the Annual Report on Form 10-K for the fiscal year ended June 30, 2010, has audited the Company's internal control over financial reporting. Their report appears...

  • Page 42
    ... OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ON INTERNAL CONTROL OVER FINANCIAL REPORTING To ihe Siockholders and Board of Direciors of News Corporaiion: We have audiied News Corporaiion's iniernal conirol over financial reporiing as of June 30, 2010, based on criieria esiablished in Iniernal...

  • Page 43
    ...June 30, 2010, based on criieria esiablished in Iniernal Conirol-Iniegraied Framework issued by ihe Commiiiee of Sponsoring Organizaiions of ihe Treadway Commission and our repori daied Augusi 6, 2010 expressed an unqualified opinion ihereon. New York, New York Augusi 6, 2010 2010 Annual Report 41

  • Page 44
    ...tax expense Income tax (expense) benefit Net income (loss) Less: Net income attributable to noncontrolling interests Net income (loss) attributable to News Corporation stockholders Weighted average shares: Basic Diluted Net income (loss) attributable to News Corporation stockholders-basic Net income...

  • Page 45
    ... par value per share, 3,000,000,000 shares authorized, 798,520,953 shares issued and outstanding, net of 313,721,702 treasury shares at par at June 30, 2010 and 2009, respectively. The accompanying notes are an integral part of these audited consolidated financial statements. 2010 Annual Report 43

  • Page 46
    News Corporation CONSOLIDATED STATEMENTS OF CASH FLOWS 2010 For the years ended June 30, 2009 (in millions) 2008 Operating activities: Net income (loss) Adjustments to reconcile net income (loss) to cash provided by operating activities: Depreciation and amortization Amortization of cable ...

  • Page 47
    ... (in millions) Class A Common Stock Shares Amount Class B Common Stock Shares Amount Additional Paid-In Capital Total News Corporation hquity Noncontrolling Interests(1) Total hquity Balance. June 30, 2007 Net income Unrealized holding losses on securities, net of tax Benefit plan adjustments...

  • Page 48
    ...CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 DESCRIPTION OF BUSINESS News Corporation and its subsidiaries (together, "News Corporation" or the "Company") is a Delaware corporation. News Corporation is a diversified global media company, which manages and reports its businesses in eight segments: Filmed...

  • Page 49
    ... license period has begun, the cost of the program is determinable and the program is accepted and available for airing. Television broadcast network and original cable programming are amortized on an accelerated basis. The Company has single and multi-year contracts for broadcast rights of programs...

  • Page 50
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) investment's fair value is not readily determina-le, the Company accounts for its investment at cost. The Company reports availa-le-for-sale investments at fair value -ased on quoted market prices. Unrealized gains and ...

  • Page 51
    ... trends and changes in customer demand and acceptance of the Company's product. Based on this information, management reserves a percentage of each dollar of product sales that provide the customer with the right of return. Multiple Element Arrangements Revenues or costs derived from contracts...

  • Page 52
    ... for Class A Common Stock and Class B Common Stock is calculated similarly, except that the calculation includes the dilutive effect of the assumed issuance of shares issuable under the Company's equity-based compensation plans and the dilutive effect of convertible securities. 50 News Corporation

  • Page 53
    ... foreign currency exchange risks associated with the costs for producing or acquiring films and television programming abroad. All cash flow hedges are recorded at fair value on the consolidated balance sheets. (See fote 7-Fair Value) The effective changes in fair value of derivatives designated as...

  • Page 54
    ...measmrements msing significant mnobservable inpmts on changes in plan assets for the period; and (v) significant concentrations of risk within plan assets. (See Note 17-Pensions and Other Postretirement Benefits) On Jmly 1, 2010, the Company adopted the new provisions of ASC 810-10-65-2, "Transition...

  • Page 55
    ...-owned subsidiary of the Company ("Ruby Newco"), Dow Jones and Diamond Merger Sub Corporation, as amended (the "Merger Agreement"). Pursuant to the terms of the Merger Agreement, each outstanding share of Dow Jones common stock was converted into the right to receive, at the 2010 Annual Report 53

  • Page 56
    .... As of June 30, 2010, approximately 7.7 million Class B common units of Ruby Newco had been converted into shares of Class A Common Stock. The acquisition of Dow Jones was effected in December 2007 to position the Company as a leader in the financial news and information market and to enhance its...

  • Page 57
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) Class B Common Stock for 100% of the stock of a wholly-owned subsidiary of the Company, whose holdings consisted of the Company's approximate 41% interest (approximately 470 million shares) in The DIRECTV Group, Inc. ("...

  • Page 58
    ... of the plan liabilities as of June 30, 2010 primarily includes facility related costs. NOTE 5 INVENTORIES As of June 30, 2010, the Company's inventories were comprised of the following: 2010 As of June 30, 2009 (in millions) Programming rights Books, DVDs, paper and other merchandise Filmed...

  • Page 59
    ...2010 2009 (in millions) Equity method investments: British Sky Broadcasting Group plc(1) Sky Network Television Ltd.(1) Sky Deutschland AG(1) NDS Other equity method investments Fair value of available-for-sale investments Other investments U.K. DBS operator New Zealand media company German pay-TV...

  • Page 60
    ... for $70 million through November 2011. The Company also has an option to sell its interest in Rotana in fiscal year 2015 at the higher of the price per share based on a bona fide sale offer or the original subscription price. In June 2010, the Company announced that it had proposed to the board...

  • Page 61
    ... about the Company's derivatives and hedging activities (Level 2). The table below presents information about financial assets and liabilities carried at fair value on a recurring basis as of June 30, 2010: Fair Value Measurements at Reporting Date Using Quoted Prices in Active Markets Significant...

  • Page 62
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL...television joint venture wus determined using u discounted cush flow unulysis ussuming u multiple of ten times...the cost for producing or ucquiring films und television ... other comprehensive income ut June 30, 2010 during fiscul 2011. Cush flows from ...

  • Page 63
    ... The carrying values of the Company's intangible assets and related accumulated amortization were as follows: 2010 For the years ended June 30, 2009 (in millions) Intangible assets not subject to amortization FCC licenses Distribution networks Publishing rights & imprints Newspaper mastheads Other...

  • Page 64
    ...Movements (in millions) Balance as of June 30, 2010 Disposals Adjustments Filmed Entertainment Television Cable Network Programming Direct Broadcast Satellite Television Integrated Marketing Services Newspapers and Information Services Book Publishing Other Total goodwill $ 1,071 1,906 6,151 616...

  • Page 65
    ...in some of the Company's advertising-based businesses; and (d) the decline in the valuations of other television stations, newspapers and advertising- based companies as determined by the current trading values of those companies. In addition, the Company performed an annual impairment assessment of...

  • Page 66
    ... any time into Class A Common Stock or, at the option of the Company, the cash equivalent thereof at a fixed exchange rate of 24.2.66 shares of Class A Common Stock per $1,000 note. The remaining LYONs are redeemable at the option of the holders on February 28, 2011 and February 28, 2016 at a price...

  • Page 67
    ... at June 30, 2010. The Company did not repurchase any shares during the fiscal years ended June 30, 2010 and 2009. During the fiscal year ended June 30, 2008, the Company repurchased approximately 20 million shares. The program may be suspended or discontinued at any time. 2010 Annual Report 65

  • Page 68
    ... his or her annualized base salary, ranging from 0% to 100%, in time-vested RSUs representing shares of Class A Common Stock. The RSUs are generally payable in shares of Class A Common Stock upon vesting and are subject to the participants' continued employment with the Company. 66 News Corporation

  • Page 69
    ...preferred limited voting ordinary shares which the Company issued stock options over were cancelled and holders received in exchange stock options for shares of Class A Common Stock on a one-for-two basis with no change in the original terms under the News Corporation 2004 Stock Option Plan and 2004...

  • Page 70
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) The Company did not grant any stock options in fiscal 2010. The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following assumptions used for ...

  • Page 71
    ... Rotana During fiscal 2010, the Company acquired an approximate 9% interest in Rotana, which operates a diversified film, television, audio, advertising and entertainment business across the Middle East and North Africa, for $70 million. A significant shareholder of the Company, 2010 Annual Report...

  • Page 72
    ... Class B Common stock, owns a controlling interest in Rotana. The Company has an option to purchase an approximate additional 9g interest for $70 million through November 2011. The Company also has an option to sell its interests in Rotana in February 2015 at the higher of the price per share based...

  • Page 73
    ... 2005 and August 30, 2005, two purported class action lawsuits captioned, respectively, Ron Sheppard v. Richard Rosenblatt et. al., and John Friedmann v. Intermix Media, Inc. et al., were filed in the California Superior Court, County of Los Angeles. Both lawsuits named as defendants all of the then...

  • Page 74
    ... tying its FSI products to its in-store products, violated California's Unfair Practices Act by predatorily pricing its FSI products, and unfairly competed with Valassis. The Valassis California Action sought injunctive relief, damages, fees and costs. On May 4, 2007, News America filed a motion to...

  • Page 75
    ... is calculated using several assumptions which the Company reviews on a regular basis. The funded status of the plans can change from year to year but the assets of the funded plans has been sufficient to pay all benefits that came due in each of fiscal 2010, 2009 and 2008. 2010 Annual Report 73

  • Page 76
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) The Company uses a June 30 measurement date for all pension and postretirement benefit plans. The following table sets forth the change in the benefit obligation for the Company's benefit plans: Pension benefits 2010 2009 ...

  • Page 77
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) Amounts in accumulated other comprehensive income expected to be recognized as a component of net periodic pension cost in fiscal 2011: Pension benefits 2010 As of June 30, Postretirement benefits 2010 (in millions) ...

  • Page 78
    ... used to measure the Company's benefit obligation at the end of the fiscal year and include benefits attributable to estimated future employee service: Expected benefit payments Pension Postretirement benefits benefits (in millions) Fiscal year: 2011 2012 2013 2014 2015 2016-2019 $123 130 134...

  • Page 79
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) The table below presents the Company's plan assets by level within the fair value hierarchy as of June 10, 2010: Fair Value Measurements at Reporting Date Using Quoted Prices in Significant Active Markets Other Significant ...

  • Page 80
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) The Company's benefit plan weighted-average asset allocations, by asset category, are as follows: Pension benefits As of June 30, 2010 2009 Asset Category: Equity securities Debt securities Real estate Cash and other Total...

  • Page 81
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) The reconciliution of income tux uttributuble to continuing operutions computed ut the stututory rute to income tux expense wus: For the yeurs ended June 30, 2010 2009 2008 U.S. federul income tux rute/(benefit) Tux free ...

  • Page 82
    ... global media company, which manages and reports its businesses in eight segments. During discal 2010, the Company reclassidied STAR Group Limited ("STAR"), which develops, produces and distributes television programming in Asia, drom the Television segment to the Cable Network Programming...

  • Page 83
    ... Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) • Book Publishing, which principally consists of the publication of English language books throughout the world. • Other, which principally consists of the Company's digital media properties and News Outdoor, an advertising...

  • Page 84
    ..., including customer tastes and preferences). 2010 For the years ended June 30, 2009 (in millions) 2008 Revenues: Filmed Entertainment Television Cable Network Programming Direct Broadcast Satellite Television Integrated Marketing Services Newspapers and Information Services Book Publishing Other...

  • Page 85
    ... Satellite Television hntegrated Marketing Services Newspapers and hnformation Services Book Publishing Other Total $1,246 1,039 1,356 419 352 786 160 (84) $5,274 $ 88 88 102 228 8 433 9 251 $- - 80 - - - - - $80 $1,334 1,127 1,538 647 360 1,219 169 167 $6,561 $1,207 2010 Annual Report 83

  • Page 86
    News Corporation NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) 2010 For the years ended June 30, 2009 (in millions) 2008 Depreciation and amortization Filmed Entertainment Television Cable Network Programming Direct Broadcast Satellite Television Integrated Marketing Services ...

  • Page 87
    ...to countries based on location of customers. Australasia comprises Australia) Asia) Fiji) Papua New Guinea and New Zealand. NOTE 20 EARNINGS PER SHARE The following tables set forth the computation of basic and diluted earnings per share under ASC 260) "Earnings per Share" ("ASC 260"): 2010 For the...

  • Page 88
    ...). (b) The stock prices reflect the reported high and low closing sales prices for the Class A Common Stock and Class B Common Stock. Since December 29, 2008, the Class A Common Stock and Class B Common Stock have been listed and traded on The NASDAQ Global Select Market, its principal market, under...

  • Page 89
    ... television stations(a) Loss on the financial indexes business transaction Loss on Photobucket transaction(a) Gain on sale of NDS shares(a) Gain on the sale of the Stations(a) Gain on the Exchange(a) Gain on sale of UK land(a) Gain on sale of Fox Sports Net Bay Area(b) Gain on sale of China Network...

  • Page 90
    ... financial statements present the results of operations, financial position and cash flows of NAI, the Company and the subsidiaries of the Company and the eliminations and reclassifications necessary to arrive at the information for the Company on a consolidated basis. 88 News Corporation

  • Page 91
    ...FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Statement of Operations News Corporation and Subsidiaries News America Incorporated For the year ended June 30, 2010 News Corporation...2,539 - 2,539 - $2,539 See notes to supplemental guarantor information 2010 Annual Report 89

  • Page 92
    ... NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Statement of Operations News Corporation and Subsidiaries News America Incorporated For the year ended June 30, 2009 News Corporation Non-Guarantor (in millions) Reclassifications and Eliminations...

  • Page 93
    ...FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Statement of Operations News Corporation and Subsidiaries News America Incorporated For the year ended June 30, 2008 News Corporation...5,387 - 5,387 - $5,387 See notes to supplemental guarantor information 2010 Annual Report 91

  • Page 94
    ...FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Balance Sheet News Corporation and Subsidiaries News America Incorporated At June 30, 2010 News Corporation... Goodwill Other Investments Investments in associated companies and other investments Intragroup investments Total ...

  • Page 95
    ...FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Balance Sheet News Corporation and Subsidiaries News America Incorporated At June 30, 2009 News Corporation... Investments in associated companies and other investments Intragroup... guarantor information 2010 Annual Report 93

  • Page 96
    ... NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Statement of Cash Flows News Corporation and Subsidiaries News America Incorporated For the year ended June 30, 2010 News Corporation Non-Guarantor (in millions) Reclassifications and Eliminations...

  • Page 97
    ...FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Statement of Cash Flows News Corporation and Subsidiaries News America Incorporated For the year ended June 30, 2009 News Corporation...$ 343 $ 441 $- $ 2,248 See notes to supplemental guarantor information 2010 Annual Report 95

  • Page 98
    ... NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) Supplemental Condensed Consolidating Statement of Cash Flows News Corporation and Subsidiaries News America Incorporated For the year ended June 30, 2008 News Corporation Non-Guarantor (in millions) Reclassifications and Eliminations...

  • Page 99
    ... factual basis underlying the obligations created pursuant to the various facilities and other obligations constituting senior indebtedness of the Company differg it is not possible to predict how a court in bankruptcy would accord priorities among the obligations of the Company. 2010 Annual Report...

  • Page 100
    ... officers of News Corporation as a group, please refer to News Corporation's Proxy Statement for its 2010 Annual Meeting of Stockholders under the heading "Security Ownership of News Corporation." As of August 16, 2010, there were approximately 1,331 holders of record of Class B Common Stock...

  • Page 101
    ... following information regarding the top twenty stockholders of record is based on information provided by News Corporation's transfer agent as of August 16, 2010. Class B Common Stock Cede & Co Chess Depositary Nominees PTY Limited Fayez Sarofim Charles Wilson Audrey Christine Cohen Ann T. P. Allen...

  • Page 102
    100 News Corporation

  • Page 103
    NEWS CORPORATION'S GREATEST STRENGTH HAS ALWAYS BEEN OUR ABILITY TO PROVIDE THE HIGHEST QUALITY AND BROADEST ARRAY OF CONTENT TO THE GREATEST NUMBER OF PEOPLE, WHENEVER, WHEREVER AND HOWEVER THEY WANT IT

  • Page 104
    ...America FOX CRIME Europe and Asia FOX RETRO Europe and Africa FOX NEXT Europe FOX SPORTS Europe, Africa and Latin America TELEVISION UNITED STATES FOX Broadcasting Company MyNetworkTV FOXSports.com Fox Television Stations WNYW New York, NY WWOR New York, NY KTTV Los Angeles, CA KCOP Los Angeles, CA...

  • Page 105
    ... Sky Movies Sky Deutschland 45% ASIA TATA SKY 20% AUSTRALIA AND NEW ZEALAND FOXTEL 25% Sky Network Television Limited 44% BOOK PUBLISHING UNITED STATES, CANADA, EUROPE, NEW ZEALAND AND AUSTRALIA HarperCollins Publishers ASIA HarperCollins India 40% OTHER UNITED STATES News Corp Digital Media Group...

  • Page 106
    ... Company, Time Warner Inc. (as adjusted for the spin-offs of Time Warner Cable Inc. and AOL Inc.), CBS Corporation Class B Common Stock and Viacom Inc. Class B Common Stock (created on December 31, 2005 by the separation of the company formerly known as Viacom Inc. into two publicly held companies...

  • Page 107
    ...Asia David F. DeVoe Chief Financial Officer Roger Ailes Chairman and Chief Executive Officer FOX News Channel and FOX Business Network Chairman Fox Television Stations and Twentieth Television Lawrence A. Jacobs Group General Counsel SUPPLEMENTAL INFORMATION Corporate Secretary Laura A. Cleveland...

  • Page 108
    1211 Avenue of the Americas New York, NY 10036 www.newscorp.com