Liberty Media Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Assets And Liabilities Measured At Fair Value (Tables)

Assets And Liabilities Measured At Fair Value (Tables)

9 Months Ended

Sep. 30, 2016

Assets and Liabilities Measured at Fair Value


	Fair Value Measurements at				Fair Value Measurements at
	September 30, 2016				December 31, 2015
			Quoted			Quoted
			prices			prices
			in active	Significant		in active	Significant
			markets	other		markets	other
			for identical	observable		for identical	observable
			assets	inputs		assets	inputs
Description	Total		(Level 1)	(Level 2)	Total	(Level 1)	(Level 2)
	amounts in millions
Cash equivalents	$	317	317	—	68	68	—
Short term marketable securities	$	—	—	—	15	15	—
Available-for-sale securities	$	444	420	24	474	425	49
Financial instrument assets	$	233	—	233	232	—	232
Debt	$	1,510	—	1,510	995	—	995

Realized and Unrealized Gains (Losses) on Financial Instruments


	Three months ended			Nine months ended
	September 30,			September 30,
	2016		2015	2016	2015
	amounts in millions
Fair Value Option Securities	$	14	(117)	43	(139)
Exchangeable senior debentures (note 9)		(23)	—	(23)	—
Cash convertible notes (a)		(53)	(19)	(52)	30
Change in fair value of bond hedges (a)		69	(9)	1	(47)
Other derivatives (b)		—	(55)	(2)	(32)
	$	7	(200)	(33)	(188)

(a)

Liberty issued $1 billion of cash convertible notes in October 2013 which are accounted for at fair value (Level 2), as elected by Liberty at the issuance of the notes. Contemporaneously with the issuance of the convertible notes, Liberty entered into privately negotiated cash convertible note hedges, which are expected to offset potential cash payments Liberty would be required to make in excess of the principal amount of the convertible notes, upon conversion of the notes. The bond hedges are marked to market based on the trading price of underlying securities and other observable market data as the significant inputs (Level 2). See note 9 for additional discussion of the convertible notes and the bond hedges.

Derivatives are marked to market based on the trading price of underlying securities and other observable market data as the significant inputs (Level 2). During September 2014, Liberty entered into a forward contract to acquire up to 15.9 million shares of Live Nation common stock. Prior to the contract’s original expiration during March 2015, the Company extended the contract through October 15, 2015 with the expiration to occur on the sixtieth day following the completion of the counterparty’s initial hedge, which was November 27, 2015 and settlement occurred on December 2, 2015. The counterparty acquired the maximum number of Live Nation shares of common stock at a volume weighted average share price of $24.91 per share during September 2015. Liberty settled the contract for $396 million paid to the counterparty.