Summary of Significant Accounting Policies (Tables)
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12 Months Ended |
Dec. 31, 2018 |
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| Property, Plant and Equipment |
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Estimated Useful Life
|
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December 31, 2018
|
|
December 31, 2017
|
|
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amounts in millions
|
|
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Land
|
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NA
|
|
$
|
183
|
|
217
|
|
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Buildings and improvements
|
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10 - 40 years
|
|
|
905
|
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974
|
|
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Support equipment
|
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3 - 20 years
|
|
|
553
|
|
514
|
|
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Satellite system
|
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15 years
|
|
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1,679
|
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1,676
|
|
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Construction in progress
|
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NA
|
|
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445
|
|
215
|
|
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Total property and equipment
|
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$
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3,765
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3,596
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| Share-based compensation expense |
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Years ended December 31,
|
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2018
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2017
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2016
|
|
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amounts in millions
|
|
|
Cost of subscriber services:
|
|
|
|
|
|
|
|
|
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Programming and content
|
|
$
|
28
|
|
27
|
|
21
|
|
|
Customer service and billing
|
|
|
4
|
|
4
|
|
4
|
|
|
Other
|
|
|
5
|
|
5
|
|
5
|
|
|
Other operating expense
|
|
|
17
|
|
16
|
|
13
|
|
|
Selling, general and administrative
|
|
|
138
|
|
178
|
|
107
|
|
|
|
|
$
|
192
|
|
230
|
|
150
|
|
|
| Liberty Media Corporation |
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| Reconciliation of Basic and Diluted Weighted Average Shares |
|
|
|
|
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|
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January 1, 2016
through
April 15, 2016
|
|
|
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number of shares in millions
|
|
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Basic WASO
|
|
335
|
|
|
Potentially dilutive shares
|
|
2
|
|
|
Diluted WASO
|
|
337
|
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| Liberty Sirius XM Group |
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| Reconciliation of Basic and Diluted Weighted Average Shares |
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|
|
|
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Year ended
December 31, 2018
|
|
Year ended
December 31, 2017
|
|
April 18, 2016
through
December 31, 2016
|
|
|
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|
number of shares in millions
|
|
|
Basic WASO
|
|
332
|
|
336
|
|
335
|
|
|
Potentially dilutive shares
|
|
4
|
|
4
|
|
2
|
|
|
Diluted WASO
|
|
336
|
|
340
|
|
337
|
|
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| Braves Group |
|
| Reconciliation of Basic and Diluted Weighted Average Shares |
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|
|
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|
Year ended
December 31, 2018
|
|
Year ended
December 31, 2017 (a)
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April 18, 2016
through
December 31, 2016
(a)(b)(c)
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number of shares in millions
|
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|
Basic WASO
|
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51
|
|
49
|
|
46
|
|
|
Potentially dilutive shares
|
|
10
|
|
10
|
|
9
|
|
|
Diluted WASO
|
|
61
|
|
59
|
|
55
|
|
|
(a)
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|
Potentially dilutive shares are excluded from the computation of diluted EPS during periods in which losses are reported since the result would be antidilutive.
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(b)
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|
As discussed in note 2, subsequent to the Recapitalization, Liberty distributed subscription rights to holders of Liberty Braves common stock, which were priced at a discount to the market value, to acquire additional shares of Liberty Braves common stock. The rights offering, because of the discount, is considered a stock dividend which requires retroactive treatment for prior periods for the weighted average shares outstanding.
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(c)
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As discussed in note 2, following the Recapitalization and Series C Liberty Braves common stock rights offering, the number of notional shares representing the Formula One Group’s intergroup interest in the Braves Group was adjusted to 9,084,940 shares. The intergroup interest is a quasi-equity interest which is not represented by outstanding shares of common stock; rather, the Formula One Group has an attributed value in the Braves Group which is generally stated in terms of a number of shares of stock issuable to the Formula One Group with respect to its interest in the Braves Group. Each reporting period, the notional shares representing the intergroup interest are marked to fair value. As the notional shares underlying the intergroup interest are not represented by outstanding shares of common stock, such shares have not been officially designated Series A, B or C Liberty Braves common stock. However, Liberty has assumed that the notional shares (if and when issued) would be comprised of Series C Liberty Braves common stock in order to not dilute voting percentages. Therefore, the market price of Series C Liberty Braves common stock is used for the quarterly mark-to-market adjustment through the unaudited attributed consolidated statements of operations. The notional shares representing the intergroup interest have no impact on the basic earnings per share weighted average number of shares outstanding. However, in periods where the Braves Group has net earnings, the notional shares representing the intergroup interest are included in the diluted earnings per share WASO as if the shares had been issued and outstanding during the period. In periods where the Braves Group has net earnings, an adjustment is also made to the numerator in the diluted earnings per share calculation for the unrealized gain or loss incurred from marking the intergroup interest to fair value during the period as follows:
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Year ended
December 31, 2018
|
|
Year ended
December 31, 2017 (a)
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|
April 18, 2016
through
December 31, 2016
(a)
|
|
|
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|
amounts in millions
|
|
|
Basic earnings (loss) attributable to Liberty Braves shareholders
|
$
|
5
|
|
(25)
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(30)
|
|
|
Unrealized (gain) loss on the intergroup interest
|
|
24
|
|
15
|
|
27
|
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|
Diluted earnings (loss) attributable to Liberty Braves shareholders
|
$
|
29
|
|
(10)
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|
(3)
|
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|
(a)
|
|
Unrealized gains on the intergroup interest are excluded from the computation of diluted EPS during periods in which net losses attributable to the Braves Group are reported since the gain would be antidilutive.
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| Formula One Group |
|
| Reconciliation of Basic and Diluted Weighted Average Shares |
|
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|
|
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|
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|
Year ended
December 31, 2018 (a)
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|
Year ended
December 31, 2017
|
|
April 18, 2016
through
December 31, 2016
|
|
|
|
|
number of shares in millions
|
|
|
Basic WASO
|
|
231
|
|
207
|
|
84
|
|
|
Potentially dilutive shares
|
|
1
|
|
4
|
|
1
|
|
|
Diluted WASO
|
|
232
|
|
211
|
|
85
|
|
|
(a)
|
|
Unrealized gains on the intergroup interest are excluded from the computation of diluted EPS during periods in which net losses attributable to the Formula One Group are reported since the gain would be antidilutive.
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| Accounting Standards Update 2014-09 | Liberty Sirius XM Group |
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| Schedule of revenue disaggregated by source |
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Year ended December 31, 2018
|
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in millions
|
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Subscriber
|
$
|
4,594
|
|
|
Advertising
|
|
188
|
|
|
Equipment
|
|
155
|
|
|
Music Royalty and Other
|
|
834
|
|
|
Total SIRIUS XM revenue
|
$
|
5,771
|
|
|
| Accounting Standards Update 2014-09 | Braves Group |
|
| Schedule of revenue disaggregated by source |
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Year ended December 31, 2018
|
|
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in millions
|
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|
Baseball
|
$
|
404
|
|
|
Development
|
|
38
|
|
|
Total Braves Holdings revenue
|
$
|
442
|
|
|
| Accounting Standards Update 2014-09 | Formula One Group |
|
| Schedule of revenue disaggregated by source |
|
|
|
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|
Year ended December 31, 2018
|
|
|
|
in millions
|
|
|
Primary
|
$
|
1,487
|
|
|
Other
|
|
340
|
|
|
Total Formula 1 revenue
|
$
|
1,827
|
|
|
| Difference between Revenue Guidance in Effect before and after Topic 606 | Accounting Standards Update 2014-09 |
|
| Schedule of cumulative effect of changes in consolidated financial statements |
The cumulative effect of the changes made to the consolidated balance sheet as of January 1, 2018 for the adoption of ASC 606 are as follows:
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Balance at
|
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|
Balance at
|
|
|
|
|
December 31,
|
|
Adoption of
|
|
January 1,
|
|
|
|
|
2017
|
|
ASC 606
|
|
2018
|
|
|
|
|
in millions
|
|
|
Assets
|
|
|
|
|
|
|
|
|
Other current assets
|
$
|
356
|
|
55
|
|
411
|
|
|
Other assets
|
$
|
599
|
|
37
|
|
636
|
|
|
|
|
|
|
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|
|
|
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Liabilities and Equity
|
|
|
|
|
|
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|
Accounts payable and accrued liabilities
|
$
|
1,250
|
|
33
|
|
1,283
|
|
|
Deferred revenue
|
$
|
1,941
|
|
(42)
|
|
1,899
|
|
|
Other current liabilities
|
$
|
20
|
|
11
|
|
31
|
|
|
Other liabilities
|
$
|
779
|
|
30
|
|
809
|
|
|
Deferred income tax liabilities
|
$
|
1,478
|
|
15
|
|
1,493
|
|
|
Retained earnings
|
$
|
13,081
|
|
41
|
|
13,122
|
|
|
Noncontrolling interests in equity of subsidiaries
|
$
|
5,631
|
|
4
|
|
5,635
|
|
In accordance with the new revenue standard requirements, the following table illustrates the impact on our reported results in the consolidated statements of operations assuming we did not adopt the new revenue standard on January 1, 2018. Other than previously discussed, upon the adoption of the revenue standard on January 1, 2018, there were no additional material adjustments to our consolidated balance sheet as of December 31, 2018.
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Year ended December 31, 2018
|
|
|
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Balances without
|
|
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|
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|
|
Impact of
|
|
adoption of
|
|
|
|
As reported
|
|
ASC 606
|
|
ASC 606
|
|
|
|
|
in millions
|
|
|
Revenue:
|
|
|
|
|
|
|
|
|
Subscriber revenue
|
$
|
4,594
|
|
95
|
|
4,689
|
|
|
Other revenue
|
$
|
1,619
|
|
(2)
|
|
1,617
|
|
|
|
|
|
|
|
|
|
|
|
Costs of subscriber services:
|
|
|
|
|
|
|
|
|
Revenue share and royalties
|
$
|
1,394
|
|
88
|
|
1,482
|
|
|
Subscriber acquisition costs
|
$
|
470
|
|
4
|
|
474
|
|
|
Selling, general and administrative
|
$
|
1,203
|
|
(1)
|
|
1,202
|
|
|
Income tax (expense) benefit
|
$
|
(176)
|
|
(1)
|
|
(177)
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings (loss)
|
$
|
865
|
|
1
|
|
866
|
|
|