10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

______________

FORM 10-Q

______________

(Mark One)
x	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2012
or
o	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Transition Period From             to             
Commission File Number: 001-33664

Charter Communications, Inc.

(Exact name of registrant as specified in its charter)

Delaware	43-1857213
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification Number)
12405 Powerscourt Drive St. Louis, Missouri 63131	(314) 965-0555
(Address of principal executive offices including zip code)	(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrants have submitted electronically and posted on their corporate website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrants were required to submit and post such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of “accelerated filer,” “large accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer x    Accelerated filer o    Non-accelerated filer oSmaller reporting company o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes o No x

APPLICABLE ONLY TO REGISTRANTS INVOLVED IN BANKRUPTCY

PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes x No o

Number of shares of Class A common stock outstanding as of June 30, 2012: 100,784,199

CHARTER COMMUNICATIONS, INC.
QUARTERLY REPORT ON FORM 10-Q FOR THE PERIOD ENDED JUNE 30, 2012

TABLE OF CONTENTS

		Page No.
PART I	FINANCIAL INFORMATION
Item 1	Financial Statements ‑ Charter Communications, Inc. and Subsidiaries
	Condensed Consolidated Balance Sheets as of June 30, 2012 and December 31, 2011	1
	Condensed Consolidated Statements of Operations
	for the three and six months ended June 30, 2012 and 2011	2
	Condensed Consolidated Statements of Comprehensive Loss
	for the three and six months ended June 30, 2012 and 2011	2
	Condensed Consolidated Statements of Cash Flows for the six months ended
	June 30, 2012 and 2011	3
	Notes to Condensed Consolidated Financial Statements	4
Item 2	Management's Discussion and Analysis of Financial Condition and Results of Operations	21
Item 3	Quantitative and Qualitative Disclosure About Market Risk	34
Item 4	Controls and Procedures	35
PART II	OTHER INFORMATION
Item 1	Legal Proceedings	36
Item 1A	Risk Factors	36
Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	36
Item 6	Exhibits	36
Signatures		S-1
Exhibit Index		E-1

This quarterly report on Form 10-Q is for the three and six months ended June 30, 2012. The Securities and Exchange Commission ("SEC") allows us to "incorporate by reference" information that we file with the SEC, which means that we can disclose important information to you by referring you directly to those documents. In this quarterly report, "we," "us" and "our" refer to Charter Communications, Inc. and its subsidiaries.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS:

This quarterly report includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), regarding, among other things, our plans, strategies and prospects, both business and financial including, without limitation, the forward-looking statements set forth in the “Results of Operations” and “Liquidity and Capital Resources” sections under Part I, Item 2. “Management's Discussion and Analysis of Financial Condition and Results of Operations” in this quarterly report. Although we believe that our plans, intentions and expectations reflected in or suggested by these forward‑looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions or expectations. Forward‑looking statements are inherently subject to risks, uncertainties and assumptions including, without limitation, the factors described under “Risk Factors” under Part II, Item 1A and the factors described under “Risk Factors” under Part I, Item 1A of our most recent Form 10-K filed with the SEC. Many of the forward-looking statements contained in this quarterly report may be identified by the use of forward‑looking words such as “believe,” “expect,” “anticipate,” “should,” “planned,” “will,” “may,” “intend,” “estimated,” “aim,” “on track,” “target,” “opportunity,” “tentative,” “positioning,” “designed,” “create” and “potential,” among others. Important factors that could cause actual results to differ materially from the forward‑looking statements we make in this quarterly report are set forth in this quarterly report, in our annual report on Form 10-K, and in other reports or documents that we file from time to time with the SEC, and include, but are not limited to:

• our ability to sustain and grow revenues and free cash flow by offering video, Internet, telephone, advertising and other services to residential and commercial customers, to adequately meet the customer experience demands in our markets and to maintain and grow our customer base, particularly in the face of increasingly aggressive competition, the need for innovation and the related capital expenditures and the difficult economic conditions in the United States;

• the development and deployment of new products and technologies;

• the impact of competition from other market participants, including but not limited to incumbent telephone companies, direct broadcast satellite operators, wireless broadband and telephone providers, digital subscriber line (“DSL”) providers, and video provided over the Internet;

• general business conditions, economic uncertainty or downturn, high unemployment levels and the level of activity in the housing sector;

• our ability to obtain programming at reasonable prices or to raise prices to offset, in whole or in part, the effects of higher programming costs (including retransmission consents);

• the effects of governmental regulation on our business;

• the availability and access, in general, of funds to meet our debt obligations prior to or when they become due and to fund our operations and necessary capital expenditures, either through (i) cash on hand, (ii) free cash flow, or (iii) access to the capital or credit markets; and

• our ability to comply with all covenants in our indentures and credit facilities any violation of which, if not cured in a timely manner, could trigger a default of our other obligations under cross-default provisions.

All forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by this cautionary statement. We are under no duty or obligation to update any of the forward-looking statements after the date of this quarterly report.

2

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements.

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS
(dollars in millions, except share data)

	June 30, 2012			December 31, 2011
	(unaudited)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	5		$	2
Restricted cash and cash equivalents	27			27
Accounts receivable, less allowance for doubtful accounts of
$17 and $16, respectively	256			272
Prepaid expenses and other current assets	79			69
Total current assets	367			370
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net of accumulated
depreciation of $2,996 and $2,364, respectively	7,024			6,897
Franchises	5,287			5,288
Customer relationships, net	1,562			1,704
Goodwill	953			954
Total investment in cable properties, net	14,826			14,843
OTHER NONCURRENT ASSETS	360			392
Total assets	$	15,553		$	15,605
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	1,194		$	1,153
Total current liabilities	1,194			1,153
LONG-TERM DEBT	12,786			12,856
DEFERRED INCOME TAXES	987			847
OTHER LONG-TERM LIABILITIES	342			340
SHAREHOLDERS’ EQUITY:
Class A common stock; $.001 par value; 900 million shares authorized;
100,795,123 and 100,570,418 shares issued, respectively	—			—
Class B common stock; $.001 par value; 25 million shares authorized;
no shares issued and outstanding	—			—
Preferred stock; $.001 par value; 250 million shares authorized;
no non-redeemable shares issued and outstanding	—			—
Additional paid-in capital	1,582			1,556
Accumulated deficit	(1,261		)	(1,082		)
Treasury stock at cost; 10,924 and 0 shares, respectively	(1		)	—
Accumulated other comprehensive loss	(76		)	(65		)
Total shareholders’ equity	244			409
Total liabilities and shareholders’ equity	$	15,553		$	15,605

The accompanying notes are an integral part of these condensed consolidated financial statements.

1

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIESCONDENSEDCONSOLIDATED STATEMENTS OF OPERATIONS
(dollars in millions, except per share and share data)

Unaudited

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
REVENUES	$	1,884		$	1,791		$	3,711		$	3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	831			784			1,645			1,552
Selling, general and administrative	373			343			745			688
Depreciation and amortization	415			393			823			776
Other operating (income) expenses, net	(4		)	1			(1		)	6
	1,615			1,521			3,212			3,022
Income from operations	269			270			499			539
OTHER EXPENSES:
Interest expense, net	(225		)	(241		)	(462		)	(474		)
Loss on extinguishment of debt	(59		)	(53		)	(74		)	(120		)
Other expense, net	—			(2		)	(1		)	(2		)
	(284		)	(296		)	(537		)	(596		)
Loss before income taxes	(15		)	(26		)	(38		)	(57		)
Income tax expense	(68		)	(81		)	(139		)	(160		)
Net loss	$	(83	)	$	(107	)	$	(177	)	$	(217	)
LOSS PER COMMON SHARE, BASIC AND DILUTED	$	(0.84	)	$	(0.98	)	$	(1.78	)	$	(1.95	)
Weighted average common shares outstanding, basic and diluted	99,496,755			109,265,876			99,464,858			111,234,155

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(dollars in millions)

Unaudited

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Net loss	$	(83	)	$	(107	)	$	(177	)	$	(217	)
Changes in fair value of interest rate swap agreements, net of tax	(12		)	(20		)	(11		)	(9		)
Comprehensive loss	$	(95	)	$	(127	)	$	(188	)	$	(226	)

The accompanying notes are an integral part of these condensed consolidated financial statements.

2

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(dollars in millions)

Unaudited

	Six Months Ended June 30,
	2012			2011
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$	(177	)	$	(217	)
Adjustments to reconcile net loss to net cash flows from operating activities:
Depreciation and amortization	823			776
Noncash interest expense	24			20
Loss on extinguishment of debt	74			120
Deferred income taxes	136			155
Other, net	11			16
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	16			5
Prepaid expenses and other assets	(11		)	(6		)
Accounts payable, accrued expenses and other	27			38
Net cash flows from operating activities	923			907
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	(808		)	(680		)
Change in accrued expenses related to capital expenditures	13			—
Other, net	10			(14		)
Net cash flows from investing activities	(785		)	(694		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	2,817			3,561
Repayments of long-term debt	(2,919		)	(3,366		)
Payments for debt issuance costs	(24		)	(43		)
Purchase of treasury stock	(4		)	(207		)
Other, net	(5		)	4
Net cash flows from financing activities	(135		)	(51		)
NET INCREASE IN CASH AND CASH EQUIVALENTS	3			162
CASH AND CASH EQUIVALENTS, beginning of period	29			32
CASH AND CASH EQUIVALENTS, end of period	$	32		$	194
CASH PAID FOR INTEREST	$	448		$	402

The accompanying notes are an integral part of these condensed consolidated financial statements.

3

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

1.    Organization and Basis of Presentation

Organization

Charter Communications, Inc. (“Charter”) is a holding company whose principal asset is a 100% common equity interest in Charter Communications Holding Company, LLC (“Charter Holdco”). Charter owns cable systems through its subsidiaries, which are collectively, with Charter, referred to herein as the “Company.” All significant intercompany accounts and transactions among consolidated entities have been eliminated.

The Company is a cable operator providing services in the United States. The Company offers to residential and commercial customers traditional cable video programming (basic and digital video), Internet services, and telephone services, as well as advanced video services such as Charter OnDemand™, high definition television, and digital video recorder (“DVR”) service. The Company sells its cable video programming, Internet, telephone, and advanced video services primarily on a subscription basis. The Company also sells local advertising on cable networks and on the Internet and provides fiber connectivity to cellular towers.

Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures typically included in Charter's Annual Report on Form 10-K have been condensed or omitted for this quarterly report. The accompanying condensed consolidated financial statements are unaudited and are subject to review by regulatory authorities. However, in the opinion of management, such financial statements include all adjustments, which consist of only normal recurring adjustments, necessary for a fair presentation of the results for the periods presented. Interim results are not necessarily indicative of results for a full year.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Areas involving significant judgments and estimates include capitalization of labor and overhead costs; depreciation and amortization costs; impairments of property, plant and equipment, intangibles and goodwill; income taxes; contingencies and programming expense. Actual results could differ from those estimates.

Certain prior year amounts have been reclassified to conform with the 2012 presentation.

Restricted cash and cash equivalents on the accompanying condensed consolidated balance sheets consist of amounts held in an escrow account pending final resolution from the Bankruptcy Court. Restricted cash is included in cash and cash equivalents on the accompanying condensed consolidated statements of cash flows.  See Note 10.

4

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

2.    Franchises, Goodwill and Other Intangible Assets

As of June 30, 2012 and December 31, 2011, indefinite lived and finite-lived intangible assets are presented in the following table:

	June 30, 2012						December 31, 2011
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Indefinite lived intangible assets:
Franchises	$	5,287	$	—	$	5,287	$	5,288	$	—	$	5,288
Goodwill	953		—		953		954		—		954
Trademarks	158		—		158		158		—		158
	$	6,398	$	—	$	6,398	$	6,400	$	—	$	6,400
Finite-lived intangible assets:
Customer relationships	$	2,368	$	806	$	1,562	$	2,368	$	664	$	1,704
Other intangible assets	90		22		68		79		16		63
	$	2,458	$	828	$	1,630	$	2,447	$	680	$	1,767

Amortization expense related to customer relationships and other intangible assets for the three months ended June 30, 2012 and 2011 was $74 million and $80 million, respectively, and for the six months ended June 30, 2012 and 2011 was $148 million and $159 million, respectively. Franchises and goodwill decreased by $1 million and $1 million, respectively, as a result of cable system divestitures completed during the six months ended June 30, 2012.

The Company expects amortization expense on its finite-lived intangible assets will be as follows.

Six months ending December 31, 2012	$	145
2013	267
2014	240
2015	214
2016	187
Thereafter	577
	$	1,630

Actual amortization expense in future periods could differ from these estimates as a result of new intangible asset acquisitions or divestitures, changes in useful lives, impairments and other relevant factors.

5

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

3.    Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following as of June 30, 2012 and December 31, 2011:

	June 30, 2012		December 31, 2011
Accounts payable – trade	$	155	$	142
Accrued capital expenditures	156		143
Accrued expenses:
Interest	181		191
Programming costs	329		303
Franchise related fees	48		50
Compensation	116		123
Other	209		201
	$	1,194	$	1,153

4.    Long-Term Debt

Long-term debt consists of the following as of June 30, 2012 and December 31, 2011:

	June 30, 2012				December 31, 2011
	Principal Amount		Accreted Value		Principal Amount		Accreted Value
CCH II, LLC:
13.500% senior notes due November 30, 2016	$	1,146	$	1,297	$	1,480	$	1,692
CCO Holdings, LLC:
7.250% senior notes due October 30, 2017	1,000		1,000		1,000		1,000
7.875% senior notes due April 30, 2018	900		900		900		900
7.000% senior notes due January 15, 2019	1,400		1,392		1,400		1,391
8.125% senior notes due April 30, 2020	700		700		700		700
7.375% senior notes due June 1, 2020	750		750		750		750
6.500% senior notes due April 30, 2021	1,500		1,500		1,500		1,500
6.625% senior notes due January 31, 2022	750		746		—		—
Credit facility due September 6, 2014	350		332		350		326
Charter Communications Operating, LLC:
8.000% senior second-lien notes due April 30, 2012	—		—		500		502
10.875% senior second-lien notes due September 15, 2014	—		—		312		331
Credit facilities	4,308		4,169		3,929		3,764
Long-Term Debt	$	12,804	$	12,786	$	12,821	$	12,856

The accreted values presented above represent the fair value of the notes as of the date the Company emerged from Bankruptcy (see Note 10) or the principal amount of the notes less the original issue discount at the time of sale, plus the accretion to the balance sheet date. However, the amount that is currently payable if the debt becomes immediately due is equal to the principal amount of the debt. The Company has availability under its credit facilities of approximately $756 million as of June 30, 2012, and as such, debt maturing in the next twelve months is classified as long-term.

6

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

In January 2011, CCO Holdings, LLC ("CCO Holdings") and CCO Holdings Capital Corp. closed on transactions in which they issued $1.4 billion aggregate principal amount of 7.000% senior notes due 2019. The net proceeds of the issuances were contributed by CCO Holdings to Charter Communications Operating, LLC ("Charter Operating") as a capital contribution and were used to repay indebtedness under the Charter Operating credit facilities. The Company recorded a loss on extinguishment of debt of approximately $67 million for the six months ended June 30, 2011 related to these transactions.

In May 2011, CCO Holdings and CCO Holdings Capital Corp. closed on transactions in which they issued $1.5 billion aggregate principal amount of 6.500% senior notes due 2021. The net proceeds of the issuances were contributed by CCO Holdings to Charter Operating as a capital contribution and intercompany loan and were used to repay indebtedness under the Charter Operating credit facilities. The Company recorded a loss on extinguishment of debt of approximately $53 million for the three and six months ended June 30, 2011 related to these transactions.

In January 2012, CCO Holdings and CCO Holdings Capital Corp. closed on transactions in which they issued $750 million aggregate principal amount of 6.625% senior notes due 2022. The notes were issued at a price of 99.5% of the aggregate principal amount. The net proceeds of the notes were used, along with a draw on the $500 million delayed draw portion of the Charter Operating Term Loan A facility, to repurchase $300 million aggregate principal amount of Charter Operating's outstanding 8.000% senior second-lien notes due 2012, $294 million aggregate principal amount of Charter Operating's 10.875% senior second-lien notes due 2014 and $334 million aggregate principal amount of CCH II, LLC's ("CCH II") 13.500% senior notes due 2016, as well as to repay amounts outstanding under the Company's revolving credit facility. The tender offers closed in January and February 2012 and the Company recorded a loss on extinguishment of debt of approximately $15 million on this transaction for the six months ended June 30, 2012.

In March 2012, Charter Operating redeemed the remaining $18 million of 10.875% senior notes due 2014 pursuant to a notice of redemption.

In April 2012, Charter Operating entered into a senior secured term loan D facility pursuant to the terms of the Charter Operating credit agreement providing for $750 million of term loans with a final maturity date of May 15, 2019. Pricing on the new term loan D was set at LIBOR plus 3% with a LIBOR floor of 1%, and issued at a price of 99.5% of the aggregate principal amount. The proceeds were used to refinance Charter Operating's existing term loan B-1 and term loan B-2, both due 2014, with the remaining amount used to pay down a portion of its existing term loan C due 2016. Charter Operating concurrently amended and restated its existing $1.3 billion revolving credit facility with a new $1.15 billion revolving credit facility due 2017 at the interest rate of LIBOR plus 2.25% and amended and restated its existing credit agreement dated March 31, 2010 (the “Existing Credit Agreement”). The amendments to the Existing Credit Agreement included, among other things, certain allowances under the negative covenants, including an allowance for restricted payments so long as the Consolidated Leverage Ratio as defined in the Charter Operating credit agreement is no greater than 3.5 after giving pro forma effect to such restricted payment, the calculation of certain financial covenants and changes to the related financial definitions, and the thresholds for certain events of default, including a modification of the Change of Control definition. The Change of Control definition was amended to conform to the provision contained in the CCO Holdings' indentures so that a Change of Control would now occur upon both the consummation of a transaction resulting in any person or group having the power to vote more than 50% of the ordinary voting power and a Ratings Event as defined in the Charter Operating credit agreement. The Change of Control definition previously contained the more than 50% threshold without the Ratings Event trigger. The Company recorded a loss on extinguishment of debt of approximately $59 million during the three and six months ended June 30, 2012 related to these transactions.

In April 2012, CCO Holdings entered into an amendment to its existing credit agreement dated March 6, 2007 which included, among other things, amendments to the Change of Control definition and certain other provisions and definitions related thereto. The Change of Control definition was amended to conform to the provision contained in Charter Operating's credit agreement as described above. Previously, the percentage of voting power necessary for a Change of Control had been 35%, and the definition of Change of Control did not include a Ratings Event.

5.    Treasury Stock

On March 22, 2011, the Company purchased, in a private transaction, 4.5 million shares of Charter’s Class A common stock from funds advised by Franklin Advisers, Inc.  The price paid was $46.10 per share for a total of $207 million.  The transaction was funded from existing cash on hand and available liquidity.  The shares were reflected on the Company's condensed consolidated balance sheets as treasury stock until retired in December 2011.

7

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

In January 2012, the Company purchased, in a private transaction with a shareholder, 49,332 shares of its common stock at $55.18 for a total of $3 million. These shares were retired in January 2012.

During the three and six months ended June 30, 2012, the Company withheld 5,566 and 10,924 shares, respectively, of its common stock in payment of $1 million income tax withholding owed by employees upon vesting of restricted shares. The Company accounts for treasury stock using the cost method and includes treasury stock as a component of total shareholders' equity.

6.     Accounting for Derivative Instruments and Hedging Activities

The Company uses interest rate swap agreements to manage its interest costs and reduce the Company’s exposure to increases in floating interest rates. The Company manages its exposure to fluctuations in interest rates by maintaining a mix of fixed and variable rate debt. Using interest rate swap agreements, the Company agrees to exchange, at specified intervals through 2017, the difference between fixed and variable interest amounts calculated by reference to agreed-upon notional principal amounts.

The Company does not hold or issue derivative instruments for speculative trading purposes. The Company has certain interest rate derivative instruments that have been designated as cash flow hedging instruments. Such instruments effectively convert variable interest payments on certain debt instruments into fixed payments. For qualifying hedges, realized derivative gains and losses offset related results on hedged items in the condensed consolidated statements of operations. The Company formally documents, designates and assesses the effectiveness of transactions that receive hedge accounting.

The effect of derivative instruments on the Company’s condensed consolidated balance sheets is presented in the table below:

	June 30, 2012			December 31, 2011
Other long-term liabilities:
Fair value of interest rate derivatives designated as hedges	$	76		$	65
Accumulated other comprehensive loss:
Interest rate derivatives designated as hedges	$	(76	)	$	(65	)

Changes in the fair value of interest rate agreements that are designated as hedging instruments of the variability of cash flows associated with floating-rate debt obligations, and that meet effectiveness criteria are reported in accumulated other comprehensive loss. The amounts are subsequently reclassified as an increase or decrease to interest expense in the same periods in which the related interest on the floating-rate debt obligations affected earnings (losses).

The effects of derivative instruments on the Company’s condensed consolidated statements of comprehensive loss and condensed consolidated statements of operations is presented in the table below.

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Other comprehensive loss:
Loss on interest rate derivatives designated as hedges (effective portion)	$	(12	)	$	(20	)	(11		)	(9		)
Net loss:
Amount of loss reclassified from accumulated other comprehensive loss into interest expense	$	(9	)	$	(10	)	$	(17	)	$	(20	)

As of June 30, 2012 and December 31, 2011, the Company had $3.1 billion and $2.0 billion in notional amounts of interest rate

8

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

swap agreements outstanding. The notional amounts of interest rate instruments do not represent amounts exchanged by the parties and, thus, are not a measure of exposure to credit loss. The amounts exchanged were determined by reference to the notional amount and the other terms of the contracts.

During the quarter, the Company entered into $1.1 billion in delayed start interest rate swaps that become effective in March 2013 through March 2015.  In any future quarter in which a portion of these delayed start hedges first becomes effective, an equal or greater notional amount of the currently effective swaps are scheduled to mature.  Therefore, the $2.0 billion notional amount of currently effective interest rate swaps will gradually step down over time as current swaps mature and an equal or lesser amount of delayed start swaps become effective.

7.    Fair Value Measurements

Financial Assets and Liabilities

The Company has estimated the fair value of its financial instruments as of June 30, 2012 and December 31, 2011 using available market information or other appropriate valuation methodologies. Considerable judgment, however, is required in interpreting market data to develop the estimates of fair value. Accordingly, the estimates presented in the accompanying condensed consolidated financial statements are not necessarily indicative of the amounts the Company would realize in a current market exchange.

The carrying amounts of cash and cash equivalents, receivables, payables and other current assets and liabilities approximate fair value because of the short maturity of those instruments.

The estimated fair value of the Company’s debt at June 30, 2012 and December 31, 2011 are based on quoted market prices and is classified within Level 1 (defined below) of the valuation hierarchy.

A summary of the carrying value and fair value of the Company’s debt at June 30, 2012 and December 31, 2011 is as follows:

	June 30, 2012				December 31, 2011
	Carrying Value		Fair Value		Carrying Value		Fair Value
Debt
CCH II debt	$	1,297	$	1,278	$	1,692	$	1,713
CCO Holdings debt	$	6,988	$	7,602	$	6,241	$	6,630
Charter Operating debt	$	—	$	—	$	833	$	847
Credit facilities	$	4,501	$	4,570	$	4,090	$	4,193

The interest rate derivatives designated as hedges were valued as $76 million and $65 million liabilities as of June 30, 2012 and December 31, 2011, respectively, using a present value calculation based on an implied forward LIBOR curve (adjusted for Charter Operating’s or counterparties’ credit risk) and were classified within Level 2 (defined below) of the valuation hierarchy. The current weighted average pay rate for the Company’s interest rate swaps was 2.25% at both June 30, 2012 and December 31, 2011 (exclusive of applicable spreads).

The accounting guidanceestablishes a three-level hierarchy for disclosure of fair value measurements, based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date, as follows:

• Level 1 – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

• Level 2 – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

• Level 3 – inputs to the valuation methodology are unobservable and significant to the fair value measurement.

9

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Nonfinancial Assets and Liabilities

The Company’s nonfinancial assets such as franchises, property, plant, and equipment, and other intangible assets are not measured at fair value on a recurring basis; however they are subject to fair value adjustments in certain circumstances, such as when there is evidence that an impairment may exist.  No impairments were recorded in the three and six months ended June 30, 2012 and 2011.

8.     Other Operating (Income) Expenses, Net

Other operating (income) expenses, net consist of the following for the years presented:

	Three Months Ended June 30,					Six Months Ended June 30,
	2012			2011		2012			2011
Gain on sale of assets, net	$	(14	)	$	—	$	(13	)	$	—
Special charges, net	10			1		12			6
	$	(4	)	$	1	$	(1	)	$	6

Gain on sale of assets, net

Gain on sale of assets represents the gain recognized on the sales of fixed assets and cable systems.

Special charges, net

Special charges, net for the three and six months ended June 30, 2012 and 2011 primarily includes severance charges and settlements.

9.    Income Taxes

All of Charter’s operations are held through Charter Holdco and its direct and indirect subsidiaries. Charter Holdco and the majority of its subsidiaries are generally limited liability companies that are not subject to income tax. However, certain of these limited liability companies are subject to state income tax. In addition, the indirect subsidiaries that are corporations are subject to federal and state income tax. All of the remaining taxable income, gains, losses, deductions and credits of Charter Holdco are passed through to Charter.

For the three and six months ended June 30, 2012, the Company recorded $68 million and $139 million of income tax expense, respectively. For the three and six months ended June 30, 2011, the Company recorded $81 million and $160 million of income tax expense, respectively, including $8 million of expense related to a state tax law change. The income tax expense is recognized primarily through increases in deferred tax liabilities related to our investment in Charter Holdco, as well as through current state income tax expense and increases in the deferred tax liabilities of certain of our indirect corporate subsidiaries. The tax provision in future periods will vary based on current and future temporary differences, as well as future operating results.

As of June 30, 2012 and December 31, 2011, the Company had net deferred income tax liabilities of approximately $964 million and $824 million, respectively. Included in net deferred tax liabilities is net current deferred assets of $23 million as of June 30, 2012 and December 31, 2011 included in prepaid expenses and other current assets in the accompanying condensed consolidated balance sheets of the Company. Net deferred tax liabilities included approximately $222 million and $221 million at June 30, 2012 and December 31, 2011, respectively, relating to certain indirect subsidiaries of Charter Holdco that file separate federal or state income tax returns.  The remainder of the Company's net deferred tax liability arose from Charter's investment in Charter Holdco, and was largely attributable to the characterization of franchises for financial reporting purposes as indefinite-lived.

No tax years for Charter or Charter Holdco are currently under examination by the Internal Revenue Service.  Tax years ending 2008 through 2011 remain subject to examination and assessment. Years prior to 2008 remain open solely for purposes of examination of Charter’s loss and credit carryforwards.

10

11

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

10.    Contingencies

On March 27, 2009, Charter filed a Chapter 11 petition in the United States Bankruptcy Court for the Southern District of New York. On November 17, 2009, the Bankruptcy Court issued its Order and Opinion confirming the Plan over the objections of various objectors. Charter consummated the Plan on November 30, 2009 and reinstated the Charter Operating Credit Agreement and certain other debt of its subsidiaries.

Two appeals are pending relating to confirmation of the Plan, the appeals by (i) Law Debenture Trust Company of New York (“Law Debenture Trust”) (as the Trustee with respect to the $479 million in aggregate principal amount of 6.50% convertible senior notes due 2027 issued by Charter which are no longer outstanding following consummation of the Plan); and (ii) R² Investments, LDC (“R² Investments”) (a former equity interest holder in Charter). The appeals by Law Debenture Trust and R² Investments were denied by the District Court for the Southern District of New York in March 2011. Both Law Debenture Trust and R² Investments have appealed that ruling. The Company cannot predict the ultimate outcome of the appeals nor can it estimate a reasonable range of loss.

The Company is also a defendant or co-defendant in several lawsuits claiming infringement of various patents relating to various aspects of its businesses.  Other industry participants are also defendants in certain of these cases. In the event that a court ultimately determines that the Company infringes on any intellectual property rights, the Company may be subject to substantial damages and/or an injunction that could require the Company or its vendors to modify certain products and services the Company offers to its subscribers, as well as negotiate royalty or license agreements with respect to the patents at issue.  While the Company believes the lawsuits are without merit and intends to defend the actions vigorously, no assurance can be given that any adverse outcome would not be material to the Company's consolidated financial condition, results of operations, or liquidity. The Company cannot predict the outcome of any such claims nor can it estimate a reasonable range of loss.

The Company is party to lawsuits and claims that arise in the ordinary course of conducting its business, including lawsuits claiming violation of anti-trust laws and violation of wage and hour laws. The ultimate outcome of these other legal matters pending against the Company cannot be predicted, and although such lawsuits and claims are not expected individually to have a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity, such lawsuits could have, in the aggregate, a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity. Whether or not the Company ultimately prevails in any particular lawsuit or claim, litigation can be time consuming and costly and injure the Company's reputation.

11.    Stock Compensation Plans

Charter’s 2009 Stock Incentive Plan provides for grants of nonqualified stock options, incentive stock options, stock appreciation rights, dividend equivalent rights, performance units and performance shares, share awards, phantom stock, restricted stock units and restricted stock.  Directors, officers and other employees of the Company and its subsidiaries, as well as others performing consulting services for the Company, are eligible for grants under the 2009 Stock Incentive Plan.

During the three and six months ended June 30, 2012, the Company granted 243,832 shares of restricted stock. During the three and six months ended June 30, 2011, the Company granted 17,600 and 30,100 shares of restricted stock, respectively. Restricted stock vests annually over a one to four-year period beginning from the date of grant. During the three and six months ended June 30, 2012, the Company granted 447,700 and 453,700 stock options, respectively. During the three and six months ended June 30, 2011, the Company granted 2 million stock options. Stock options generally vest annually over four years from either the grant date or delayed vesting commencement dates. A portion of stock options and restricted stock vest based on achievement of stock price hurdles. Stock options generally expire ten years from the grant date. During the three and six months ended June 30, 2012, the Company granted 46,900 and 62,400 restricted stock units, respectively. During the three and six months ended June 30, 2011, the Company granted 230,500 restricted stock units. Restricted stock units have no voting rights and vest ratably over four years from either the grant date or delayed vesting commencement dates. As of June 30, 2012, total unrecognized compensation remaining to be recognized in future periods totaled $45 million for restricted stock, $53 million for stock options and $14 million for restricted stock units and the weighted average period over which it is expected to be recognized is three years for restricted stock and stock options and four years for restricted stock units.

The Company recorded $13 million and $24 million of stock compensation expense for the three and six months ended June 30, 2012, respectively, and $9 million and $16 million of stock compensation expense for the three and six months ended June 30,

12

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

2011, respectively, which is included in selling, general, and administrative expense and other operating expenses, net.

12.    Consolidating Schedules

The CCO Holdings notes and the CCO Holdings credit facility are obligations of CCO Holdings. The CCH II notes are obligations of CCH II. However, these notes of CCO Holdings and CCH II are also jointly, severally, fully and unconditionally guaranteed on an unsecured senior basis by Charter. 

The accompanying condensed consolidating financial information has been prepared and presented pursuant to SEC Regulation S-X Rule 3-10, Financial Statements of Guarantors and Affiliates Whose Securities Collateralize an Issue Registered or Being Registered. This information is not intended to present the financial position, results of operations and cash flows of the individual companies or groups of companies in accordance with generally accepted accounting principles.

Condensed consolidating financial statements as of June 30, 2012 and December 31, 2011 and for the six months ended June 30, 2012 and 2011 follow.

13

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Balance Sheet
As of June 30, 2012
	Charter		Intermediate Holding Companies		CCH II		CCO Holdings		Charter Operating and Subsidiaries		Eliminations			Charter Consolidated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	3	$	—	$	—	$	2	$	—	$	—		$	5
Restricted cash and cash equivalents	—		—		—		—		27		—			27
Accounts receivable, net	—		3		—		—		253		—			256
Receivables from related party	80		146		4		3		—		(233		)	—
Prepaid expenses and other current assets	21		11		—		—		47		—			79
Total current assets	104		160		4		5		327		(233		)	367
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	—		32		—		—		6,992		—			7,024
Franchises	—		—		—		—		5,287		—			5,287
Customer relationships, net	—		—		—		—		1,562		—			1,562
Goodwill	—		—		—		—		953		—			953
Total investment in cable properties, net	—		32		—		—		14,794		—			14,826
CC VIII PREFERRED INTEREST	97		227		—		—		—		(324		)	—
INVESTMENT IN SUBSIDIARIES	1,039		514		1,600		8,582		—		(11,735		)	—
LOANS RECEIVABLE – RELATED PARTY	—		44		265		359		—		(668		)	—
OTHER NONCURRENT ASSETS	—		158		—		95		107		—			360
Total assets	$	1,240	$	1,135	$	1,869	$	9,041	$	15,228	$	(12,960	)	$	15,553
LIABILITIES AND SHAREHOLDERS’/MEMBER’S EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	9	$	92	$	58	$	121	$	914	$	—		$	1,194
Payables to related party	—		—		—		—		233		(233		)	—
Total current liabilities	9		92		58		121		1,147		(233		)	1,194
LONG-TERM DEBT	—		—		1,297		7,320		4,169		—			12,786
LOANS PAYABLE – RELATED PARTY	—		—		—		—		668		(668		)	—
DEFERRED INCOME TAXES	763		—		—		—		224		—			987
OTHER LONG-TERM LIABILITIES	224		4		—		—		114		—			342
Shareholders’/Member’s equity	244		1,039		514		1,600		8,582		(11,735		)	244
Noncontrolling interest	—		—		—		—		324		(324		)	—
Total shareholders’/member’s equity	244		1,039		514		1,600		8,906		(12,059		)	244
Total liabilities and shareholders’/member’s equity	$	1,240	$	1,135	$	1,869	$	9,041	$	15,228	$	(12,960	)	$	15,553

14

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Balance Sheet
As of December 31, 2011
	Charter		Intermediate Holding Companies		CCH II		CCO Holdings		Charter Operating and Subsidiaries		Eliminations			Charter Consolidated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	—	$	—	$	—	$	2	$	—	$	—		$	2
Restricted cash and cash equivalents	—		—		—		—		27		—			27
Accounts receivable, net	—		4		—		—		268		—			272
Receivables from related party	58		176		8		7		—		(249		)	—
Prepaid expenses and other current assets	21		21		—		—		27		—			69
Total current assets	79		201		8		9		322		(249		)	370
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	—		33		—		—		6,864		—			6,897
Franchises	—		—		—		—		5,288		—			5,288
Customer relationships, net	—		—		—		—		1,704		—			1,704
Goodwill	—		—		—		—		954		—			954
Total investment in cable properties, net	—		33		—		—		14,810		—			14,843
CC VIII PREFERRED INTEREST	91		213		—		—		—		(304		)	—
INVESTMENT IN SUBSIDIARIES	1,102		592		2,094		8,623		—		(12,411		)	—
LOANS RECEIVABLE – RELATED PARTY	—		43		256		37		—		(336		)	—
OTHER NONCURRENT ASSETS	—		158		—		90		144		—			392
Total assets	$	1,272	$	1,240	$	2,358	$	8,759	$	15,276	$	(13,300	)	$	15,605
LIABILITIES AND SHAREHOLDERS’/MEMBER’S EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	12	$	134	$	74	$	98	$	835	$	—		$	1,153
Payables to related party	—		—		—		—		249		(249		)	—
Total current liabilities	12		134		74		98		1,084		(249		)	1,153
LONG-TERM DEBT	—		—		1,692		6,567		4,597		—			12,856
LOANS PAYABLE – RELATED PARTY	—		—		—		—		336		(336		)	—
DEFERRED INCOME TAXES	624		—		—		—		223		—			847
OTHER LONG-TERM LIABILITIES	227		4		—		—		109		—			340
Shareholders’/Member’s equity	409		1,102		592		2,094		8,623		(12,411		)	409
Noncontrolling interest	—		—		—		—		304		(304		)	—
Total shareholders’/member’s equity	409		1,102		592		2,094		8,927		(12,715		)	409
Total liabilities and shareholders’/member’s equity	$	1,272	$	1,240	$	2,358	$	8,759	$	15,276	$	(13,300	)	$	15,605

15

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Statement of Operations
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
REVENUES	$	13		$	75		$	—		$	—		$	3,711		$	(88	)	$	3,711
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	—			—			—			—			1,645			—			1,645
Selling, general and administrative	13			75			—			—			745			(88		)	745
Depreciation and amortization	—			—			—			—			823			—			823
Other operating income, net	—			—			—			—			(1		)	—			(1		)
	13			75			—			—			3,212			(88		)	3,212
Income from operations	—			—			—			—			499			—			499
OTHER INCOME AND (EXPENSES):
Interest expense, net	—			1			(65		)	(259		)	(139		)	—			(462		)
Loss on extinguishment of debt	—			—			(6		)	—			(68		)	—			(74		)
Other expense, net	—			—			—			—			(1		)	—			(1		)
Equity in income (loss) of subsidiaries	(48		)	(63		)	8			267			—			(164		)	—
	(48		)	(62		)	(63		)	8			(208		)	(164		)	(537		)
Income (loss) before income taxes	(48		)	(62		)	(63		)	8			291			(164		)	(38		)
INCOME TAX EXPENSE	(135		)	—			—			—			(4		)	—			(139		)
Consolidated net income (loss)	(183		)	(62		)	(63		)	8			287			(164		)	(177		)
Less: Net (income) loss – noncontrolling interest	6			14			—			—			(20		)	—			—
Net income (loss)	$	(177	)	$	(48	)	$	(63	)	$	8		$	267		$	(164	)	$	(177	)

16

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Statement of Operations
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
REVENUES	$	16		$	59		$	—		$	—		$	3,561		$	(75	)	$	3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	—			—			—			—			1,552			—			1,552
Selling, general and administrative	16			59			—			—			688			(75		)	688
Depreciation and amortization	—			—			—			—			776			—			776
Other operating expenses, net	—			—			—			—			6			—			6
	16			59			—			—			3,022			(75		)	3,022
Income from operations	—			—			—			—			539			—			539
OTHER INCOME AND (EXPENSES):
Interest expense, net	—			—			(96		)	(169		)	(209		)	—			(474		)
Loss on extinguishment of debt	—			—			—			—			(120		)	—			(120		)
Other expense, net	—			—			—			—			(2		)	—			(2		)
Equity in income (loss) of subsidiaries	(63		)	(79		)	17			186			—			(61		)	—
	(63		)	(79		)	(79		)	17			(331		)	(61		)	(596		)
Income (loss) before income taxes	(63		)	(79		)	(79		)	17			208			(61		)	(57		)
INCOME TAX EXPENSE	(160		)	—			—			—			—			—			(160		)
Consolidated net income (loss)	(223		)	(79		)	(79		)	17			208			(61		)	(217		)
Less: Net (income) loss – noncontrolling interest	6			16			—			—			(22		)	—			—
Net income (loss)	$	(217	)	$	(63	)	$	(79	)	$	17		$	186		$	(61	)	$	(217	)

17

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Statement of Comprehensive Income (Loss)
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings		Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
Consolidated net income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8	$	287		$	(164	)	$	(177	)
Changes in fair value of interest rate swap agreements, net of tax	—			—			—			—		(11		)	—			(11		)
Comprehensive income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8	$	276		$	(164	)	$	(188	)

Charter Communications, Inc.
Condensed Consolidating Statement of Comprehensive Income (Loss)
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings		Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
Consolidated net income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17	$	208		$	(61	)	$	(217	)
Changes in fair value of interest rate swap agreements, net of tax	—			—			—			—		(9		)	—			(9		)
Comprehensive income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17	$	199		$	(61	)	$	(226	)

18

CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Statement of Cash Flows
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8		$	287		$	(164	)	$	(177	)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	—			—			—			—			823			—			823
Noncash interest expense	—			—			(14		)	12			26			—			24
Loss on extinguishment of debt	—			—			6			—			68			—			74
Deferred income taxes	134			—			—			—			2			—			136
Equity in (income) losses of subsidiaries	48			63			(8		)	(267		)	—			164			—
Other, net	—			2			—			(1		)	10			—			11
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	—			1			—			—			15			—			16
Prepaid expenses and other assets	1			10			—			—			(22		)	—			(11		)
Accounts payable, accrued expenses and other	(2		)	(44		)	(17		)	23			67			—			27
Receivables from and payables to related party	2			31			(4		)	(4		)	(25		)	—			—
Net cash flows from operating activities	—			1			(100		)	(229		)	1,251			—			923
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			—			—			—			(808		)	—			(808		)
Change in accrued expenses related to capital expenditures	—			—			—			—			13			—			13
Contribution to subsidiary	—			—			—			(419		)	—			419			—
Distributions from subsidiary	3			15			489			715			—			(1,222		)	—
Other, net	—			1			—			—			9			—			10
Net cash flows from investing activities	3			16			489			296			(786		)	(803		)	(785		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	—			—			—			746			2,071			—			2,817
Repayments of long-term debt	—			—			(386		)	—			(2,533		)	—			(2,919		)
Borrowings (payments) loans payable - related parties	—			—			—			(314		)	314			—			—
Payment for debt issuance costs	—			—			—			(10		)	(14		)	—			(24		)
Purchase of treasury stock	(4		)	—			—			—			—			—			(4		)
Contributions from parent	—			—			—			—			419			(419		)	—
Distributions to parent	—			(15		)	(3		)	(489		)	(715		)	1,222			—
Other, net	4			(2		)	—			—			(7		)	—			(5		)
Net cash flows from financing activities	—			(17		)	(389		)	(67		)	(465		)	803			(135		)
NET INCREASE IN CASH AND CASH EQUIVALENTS	3			—			—			—			—			—			3
CASH AND CASH EQUIVALENTS, beginning of period	—			—			—			2			27			—			29
CASH AND CASH EQUIVALENTS, end of period	$	3		$	—		$	—		$	2		$	27		$	—		$	32

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CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

(dollars in millions, except per share amounts and where indicated)

Charter Communications, Inc.
Condensed Consolidating Statement of Cash Flows
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17		$	208		$	(61	)	$	(217	)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	—			—			—			—			776			—			776
Noncash interest expense	—			—			(19		)	10			29			—			20
Loss on extinguishment of debt	—			—			—			—			120			—			120
Deferred income taxes	159			—			—			—			(4		)	—			155
Equity in (income) losses of subsidiaries	63			79			(17		)	(186		)	—			61			—
Other, net	—			1			—			—			15			—			16
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	—			1			—			—			4			—			5
Prepaid expenses and other assets	—			(2		)	—			—			(4		)	—			(6		)
Accounts payable, accrued expenses and other	(3		)	(22		)	—			55			8			—			38
Receivables from and payables to related party	4			30			(4		)	(4		)	(26		)	—			—
Net cash flows from operating activities	—			8			(119		)	(108		)	1,126			—			907
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			—			—			—			(680		)	—			(680		)
Contribution to subsidiary	—			—			—			(2,647		)	—			2,647			—
Distributions from subsidiary	206			1,030			322			231			—			(1,789		)	—
Other, net	—			—			—			—			(14		)	—			(14		)
Net cash flows from investing activities	206			1,030			322			(2,416		)	(694		)	858			(694		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	—			—			—			2,890			671			—			3,561
Repayments of long-term debt	—			—			—			—			(3,366		)	—			(3,366		)
Payment for debt issuance costs	—			—			—			(43		)	—			—			(43		)
Purchase of treasury stock	(207		)	—			—			—			—			—			(207		)
Contributions from parent	—			—			—			—			2,647			(2,647		)	—
Distributions to parent	—			(1,030		)	(206		)	(322		)	(231		)	1,789			—
Other, net	4			—						—			—			—			4
Net cash flows from financing activities	(203		)	(1,030		)	(206		)	2,525			(279		)	(858		)	(51		)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	3			8			(3		)	1			153			—			162
CASH AND CASH EQUIVALENTS, beginning of period	—			—			3			1			28			—			32
CASH AND CASH EQUIVALENTS, end of period	$	3		$	8		$	—		$	2		$	181		$	—		$	194

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Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations.

General

Charter Communications, Inc. (“Charter”) is a holding company whose principal asset is a 100% common equity interest in Charter Communications Holding Company, LLC (“Charter Holdco”). Charter owns cable systems through its subsidiaries.

We are a cable operator providing services in the United States with approximately 5.3 million residential and commercial customers at June 30, 2012. We offer our customers traditional cable video programming (basic and digital video), Internet services, and telephone services, as well as advanced video services such as Charter OnDemand^TM (“OnDemand”), high definition (“HD”) television and digital video recorder (“DVR”) service. We also sell local advertising on cable networks and provide fiber connectivity to cellular towers.

Overview

Total revenue growth was 5% and 4% for the three and six months ended June 30, 2012 compared to the corresponding periods in 2011, respectively, as we continued to grow our Internet and commercial businesses and also due to increased advertising revenue. Video revenue for the three months ended June 30, 2012 compared to the corresponding period in 2011 remained flat and declined 1% for the six months ended June 30, 2012 compared to the corresponding period in 2011. For the three and six months ended June 30, 2012, adjusted earnings (loss) before interest expense, income taxes, depreciation and amortization (“Adjusted EBITDA”) was $693 million and $1.3 billion, respectively.  For the three and six months ended June 30, 2011, Adjusted EBITDA was $673 million and $1.3 billion, respectively.  See “—Use of Adjusted EBITDA and Free Cash Flow” for further information on Adjusted EBITDA and free cash flow.  Adjusted EBITDA increased as a result of Internet, commercial and advertising revenue growth offset by an increase in programming costs, higher expense associated with driving higher growth and investment in the customer experience. For the three and six months ended June 30, 2012, our income from operations was $269 million and $499 million, respectively. For the three and six months ended June 30, 2011, our income from operations was $270 million and $539 million, respectively. The decrease in income from operations for the three and six months ended June 30, 2012 is primarily due to increases in depreciation and amortization offset by increases in Adjusted EBITDA.

Our business plans include goals for increasing the number of customers and revenue.  To reach our goals, we have been working to further improve the quality of the video product we offer by increasing digital and HD-DVR penetration and no longer actively marketing analog service.  We now expect to accelerate these improvements, specifically as we enter the third quarter of 2012.  Our goal was 100 HD channels across substantially all of our footprint by the end of the year and we reached that goal in July 2012.  We are also focused on achieving higher digital and HD-DVR penetration including increasing the penetration of these services in the households we serve.  We believe our current digital offerings and HD-DVR products enable us to provide a compelling digital offer for existing customers and successfully compete for new video customers.  We continue to simplify our offers and pricing and improve our packaging of products to bring more value to our customers, with particular focus on offers aimed at new customers to increase the penetration of our products in our markets.  In addition, we are implementing a number of changes to our operational structure, selling methods and operating tactics which we believe will position us for better customer service and growth. In the short term, however, we expect that customer connects, revenue and operating expenses may be adversely impacted during this transition. We also expect our capital expenditures to increase as we drive further digital and HD-DVR penetration.

We believe that continued competition and the weakened economic conditions in the United States, including weakness in the housing market and relatively high unemployment levels, have adversely affected consumer demand for our services, particularly basic video. Our video competitors often offer more channels, including more HD channels, and typically only offer digital services which have a better picture quality compared to our analog product. In the current economic environment, customers have been more willing to consider our competitors' products, partially because of increased marketing highlighting perceived differences between competitive video products, especially when those competitors are often offering significant incentives to switch providers. We also believe some customers have chosen to receive video over the Internet rather than through our OnDemand and premium video services, thereby reducing our video revenues. We believe competition from wireless and economic factors have contributed to an increase in the number of homes that replace their traditional telephone service with wireless service thereby impacting the growth of our telephone business.

If the economic and competitive conditions discussed above do not improve or our efforts to improve our products and the way we market those products are not ultimately successful in increasing our growth, we believe our business and results of operations will be adversely affected which may contribute to future impairments of our franchises and goodwill.

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The following table summarizes our customer statistics for basic video, digital video, Internet and telephone as of June 30, 2012 and 2011 (in thousands).

	Approximate as of
	June 30,
	2012 (a)		2011 (a)
Video (b)	4,098		4,224
Internet (c)	3,662		3,352
Phone (d)	1,828		1,748
Residential PSUs (e)	9,588		9,324
Video (b)(f)	171		177
Internet (c)	177		149
Phone (d)	91		69
Commercial PSUs (e)	439		395
Digital Video RGUs (g)	3,484		3,387
Total RGUs (h)	13,511		13,106
Residential ARPU
Video (i)	$	73	$	71
Internet (i)	$	42	$	42
Phone (i)	$	40	$	40

After giving effect to acquisitions of cable systems in 2011, residential basic video customers, residential Internet customers, residential telephone customers and digital video revenue generating units would have been approximately 4,251,000, 3,371,000, 1,753,000, and 3,396,000, respectively, as of June 30, 2011. Commercial PSUs would have remained unchanged.

(a) We calculate the aging of customer accounts based on the monthly billing cycle for each account. On that basis, at June 30, 2012 and 2011, customers include approximately 17,000 and 16,100 customers, respectively, whose accounts were over 60 days past due in payment, approximately 2,900 and 2,200 customers, respectively, whose accounts were over 90 days past due in payment, and approximately 1,300 and 1,000 customers, respectively, whose accounts were over 120 days past due in payment.

(b) “Video customers” represent those customers who subscribe to our video cable services. Effective January 1, 2012, Charter revised its reporting of customers whereby customers residing in multi-dwelling residential structures are now included in residential customer relationships and PSUs (see footnote (e)) rather than commercial. Further, residential PSUs and customer relationships are no longer calculated on an EBU (see footnote (f)) basis but are based on separate billing relationships. The impact of these changes increased residential customer relationships and PSUs and reduced commercial customer relationships and PSUs, with an overall net decrease to total customer relationships and PSUs. Prior periods were reclassified to conform to the 2012 presentation.

(c) “Internet customers” represent those customers who subscribe to our Internet service.

(d) “Phone customers” represent those customers who subscribe to our telephone service.

(e) “Primary Service Units” or “PSUs” represent the total of video, Internet and phone customers.

(f) Included within commercial video customers are those in commercial structures, which are calculated on an equivalent bulk unit (“EBU”) basis. We calculate EBUs by dividing the bulk price charged to accounts in an area by the published rate charged to non-bulk residential customers in that market for the comparable tier of service. This EBU method of estimating basic video customers is consistent with the methodology used in determining costs paid to programmers and

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is consistent with the methodology used by other multiple system operators (“MSOs”). As we increase our published video rates to residential customers without a corresponding increase in the prices charged to commercial service customers, our EBU count will decline even if there is no real loss in commercial service customers.

(g) “Digital video RGUs” include all video customers who subscribe to our digital video service.

(h) “Revenue generating units” or “RGUs” represent the total of all basic video, digital video, Internet and phone customers, not counting additional outlets within one household. For example, a customer who receives two types of service (such as basic video and digital video) would be treated as two RGUs and, if that customer added on Internet service, the customer would be treated as three RGUs. This statistic is computed in accordance with the guidelines of the National Cable & Telecommunications Association (“NCTA”).

(i) "Average Monthly Revenue Per Customer" or "ARPU" represents quarterly revenue for the service indicated, divided by three, divided by the average number of customers for the service indicated during the respective quarter.

We have a history of net losses.  Our net losses are principally attributable to insufficient revenue to cover the combination of operating expenses, interest expenses that we incur because of our debt, depreciation expenses resulting from the capital investments we have made and continue to make in our cable properties, amortization expenses of customer relationships and non-cash tax expense resulting from increases in our deferred tax liabilities.

Critical Accounting Policies and Estimates

For a discussion of our critical accounting policies and the means by which we develop estimates therefore, see "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations" in our 2011 Annual Report on Form 10-K.

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Results of Operations

The following table sets forth the percentages of revenues that items in the accompanying condensed consolidated statements of operations constituted for the periods presented (dollars in millions, except per share data):

	Three Months Ended June 30,										Six Months Ended June 30,
	2012					2011					2012					2011
Revenues	$	1,884		100	%	$	1,791		100	%	$	3,711		100	%	$	3,561		100	%
Costs and Expenses:
Operating (excluding depreciation and amortization)	831			44	%	784			44	%	1,645			44	%	1,552			44	%
Selling, general and administrative	373			20	%	343			19	%	745			20	%	688			19	%
Depreciation and amortization	415			22	%	393			22	%	823			22	%	776			22	%
Other operating (income) expenses, net	(4		)	—	%	1			—	%	(1		)	—	%	6			—	%
	1,615			86	%	1,521			85	%	3,212			87	%	3,022			85	%
Income from operations	269			14	%	270			15	%	499			13	%	539			15	%
Other Expenses:
Interest expense, net	(225		)			(241		)			(462		)			(474		)
Loss on extinguishment of debt	(59		)			(53		)			(74		)			(120		)
Other expense, net	—					(2		)			(1		)			(2		)
	(284		)			(296		)			(537		)			(596		)
Loss before income taxes	(15		)			(26		)			(38		)			(57		)
Income tax expense	(68		)			(81		)			(139		)			(160		)
Net loss	$	(83	)			$	(107	)			$	(177	)			$	(217	)
LOSS PER COMMON SHARE, BASIC AND DILUTED:	$	(0.84	)			$	(0.98	)			$	(1.78	)			$	(1.95	)
Weighted average common shares outstanding, basic and diluted	99,496,755					109,265,876					99,464,858					111,234,155

Revenues. Total revenue grew $93 million or 5% for the three months ended June 30, 2012 as compared to the three months ended June 30, 2011 and increased $150 million or 4% for the six months ended June 30, 2012 as compared to the six months ended June 30, 2011. Revenue growth primarily reflects increases in the number of residential Internet and telephone and commercial business customers, price increases, and incremental video revenues from DVR and HD television services, offset by a decrease in basic video customers. Asset acquisitions increased revenues during the three and six months ended June 30, 2012 as compared to the corresponding periods in 2011 by approximately $8 million and $16 million, respectively.

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Revenues by service offering were as follows (dollars in millions):

	Three Months Ended June 30,
	2012				2011				2012 over 2011
	Revenues		% of Revenues		Revenues		% of Revenues		Change			% Change
Video	$	911	48	%	$	912	51	%	$	(1	)	—	%
Internet	465		25	%	420		23	%	45			11	%
Telephone	217		12	%	213		12	%	4			2	%
Commercial	160		8	%	131		7	%	29			22	%
Advertising sales	87		5	%	76		4	%	11			14	%
Other	44		2	%	39		2	%	5			13	%
	$	1,884	100	%	$	1,791	100	%	$	93		5	%

	Six Months Ended June 30,
	2012				2011				2012 over 2011
	Revenues		% of Revenues		Revenues		% of Revenues		Change			% Change
Video	$	1,806	49	%	$	1,829	51	%	$	(23	)	(1	)%
Internet	917		25	%	833		23	%	84			10	%
Telephone	434		12	%	425		12	%	9			2	%
Commercial	313		8	%	258		7	%	55			21	%
Advertising sales	153		4	%	138		4	%	15			11	%
Other	88		2	%	78		2	%	10			13	%
	$	3,711	100	%	$	3,561	100	%	$	150		4	%

Certain prior year amounts have been reclassified to conform with the 2012 presentation, including the reflection of revenues earned from customers residing in multi-dwelling residential structures from commercial revenues to video and Internet revenues. See page 21 and 22 for definitions of customers and ARPU discussed below.

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Video revenues consist primarily of revenues from basic and digital video services provided to our non-commercial customers, as well as franchise fees, equipment rental and video installation revenue. Video ARPU increased from $71 for each of the three and six months ended June 30, 2011 to $73 for each of the three and six months ended June 30, 2012, as a result of price increases and incremental revenues from DVR and HD television services. Residential basic video customers decreased by 126,000 from June 30, 2011 to June 30, 2012, or 153,000 customers after giving effect to asset acquisitions. Digital video customers increased by 97,000 customers from June 30, 2011 to June 30, 2012, or 88,000 customers after giving effect to asset acquisitions. The decrease in video revenues is attributable to the following (dollars in millions):

	Three months ended June 30, 2012 compared to three months ended June 30, 2011 Increase / (Decrease)			Six months ended June 30, 2012 compared to six months ended June 30, 2011 Increase / (Decrease)
Decrease in basic video customers	$	(22	)	$	(46	)
Decrease in premium, OnDemand and Pay-Per-View	(8		)	(20		)
Incremental video services and price adjustments	18			22
Increase in digital video customers	6			11
Asset acquisitions	5			10
	$	(1	)	$	(23	)

Internet ARPU remained relatively constant at $42 for each of the three and six months ended June 30, 2012 and 2011. Residential Internet customers grew by 310,000 customers from June 30, 2011 to June 30, 2012, or 291,000 customers after giving effect to asset acquisitions. The increase in Internet revenues from our residential customers is attributable to the following (dollars in millions):

	Three months ended June 30, 2012 compared to three months ended June 30, 2011 Increase / (Decrease)		Six months ended June 30, 2012 compared to six months ended June 30, 2011 Increase / (Decrease)
Increase in residential Internet customers	$	34	$	64
Service level changes and price adjustments	9		16
Asset acquisitions	2		4
	$	45	$	84

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Telephone ARPU remained relatively constant at $40 for the three months ended June 30, 2011 and 2012, and decreased from $41 for the six months ended June 30, 2011 to $40 for the six months ended June 30, 2012. The decrease is due to increased value based packages and bundling. Residential telephone customers grew by 80,000 customers from June 30, 2011 to June 30, 2012, or 75,000 customers after giving effect to asset acquisitions. The increase in telephone revenues from our residential customers is attributable to the following (dollars in millions):

	Three months ended June 30, 2012 compared to three months ended June 30, 2011 Increase / (Decrease)			Six months ended June 30, 2012 compared to six months ended June 30, 2011 Increase / (Decrease)
Increase in residential telephone customers	$	8		$	17
Price adjustments and service level changes	(4		)	(9		)
Asset acquisitions	—			1
	$	4		$	9

Commercial revenues consist primarily of revenues from services provided to our commercial customers. Increases in commercial revenues were the result of increases in customers across all types of businesses we serve, an expanded product set and sales efforts. Commercial PSUs increased 44,000 from June 30, 2011 to June 30, 2012. The increase in commercial revenues is attributable to the following (dollars in millions):

	Three months ended June 30, 2012 compared to three months ended June 30, 2011 Increase / (Decrease)		Six months ended June 30, 2012 compared to six months ended June 30, 2011 Increase / (Decrease)
Sales to small-to-medium sized business customers	$	21	$	42
Carrier site customers	4		8
Other	3		4
Asset acquisitions	1		1
	$	29	$	55

Advertising sales revenues consist primarily of revenues from commercial advertising customers, programmers and other vendors. Advertising sales revenues increased for the three and six months ended June 30, 2012 as a result of an increase in revenue from the political and automotive sectors. For the three months ended June 30, 2012 and 2011, we received $19 million and $13 million, respectively, and for the six months ended June 30, 2012 and 2011, we received $29 million and $23 million, respectively, in advertising sales revenues from vendors.

Other revenues consist of home shopping, late payment fees, wire maintenance fees and other miscellaneous revenues. The increase during the three and six months ended June 30, 2012 compared to the three and six months ended June 30, 2011 was primarily the result of increases in late payment fees.

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Operating expenses. The increase in our operating expenses is attributable to the following (dollars in millions):

	Three months ended June 30, 2012 compared to three months ended June 30, 2011 Increase / (Decrease)			Six months ended June 30, 2012 compared to six months ended June 30, 2011 Increase / (Decrease)
Programming costs	$	25		$	47
Service labor costs	8			23
Maintenance costs	7			11
Advertising sales	4			7
Cost of providing Internet and telephone services	(3		)	(7		)
Other, net	2			4
Asset acquisitions	4			8
	$	47		$	93

Programming costs were approximately $496 million and $469 million, representing 60% of total operating expenses for each of the three months ended June 30, 2012 and 2011 and were approximately $987 million and $935 million, representing 60% of total operating expenses for each of the six months ended June 30, 2012 and 2011. Programming costs consist primarily of costs paid to programmers for basic, digital, premium, OnDemand, and pay-per-view programming. The increases in programming costs are primarily a result of annual contractual rate adjustments, including increases in amounts paid for retransmission consents and for new programming,offset in part by customer losses. Programming costs were also offset by the amortization of payments received from programmers of $2 million for each of the three months ended June 30, 2012 and 2011, respectively, and $3 million and $4 million for the six months ended June 30, 2012 and 2011, respectively. We expect programming expenses to continue to increase due to a variety of factors, including increased demands by owners of some broadcast stations for carriage of other services or payments to those broadcasters for retransmission consent, annual increases imposed by programmers with additional selling power as a result of media consolidation, and additional programming, including new sports services and non-linear programming for on-line and OnDemand programming. We have been unable to fully pass these increases on to our customers nor do we expect to be able to do so in the future without a potential loss of customers.

Service labor increased $8 million and $23 million for the three and six months ended June 30, 2012 due to increased preventive maintenance levels and a higher number of reconnects.

Selling, general and administrative expenses.The increase in selling, general and administrative expenses is attributable to the following (dollars in millions):

	Three months ended June 30 2012 compared to three months ended June 30, 2011 Increase / (Decrease)			Six months ended June 30 2012 compared to six months ended June 30, 2011 Increase / (Decrease)
Marketing costs	$	20		$	32
Commercial services	5			11
Customer care costs	4			10
Stock compensation	4			9
Bad debt and collection costs	(3		)	(7		)
Other, net	(2		)	(2		)
Asset acquisitions	2			4
	$	30		$	57

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The increase in marketing costs for the three and six months ended June 30, 2012 is the result of increased media investment and commercial marketing as well as a $7 million favorable adjustment in the second quarter of 2011 related to expenses previously accrued on 2010 marketing campaigns.

Depreciation and amortization.Depreciation and amortization expense increased by $22 million and $47 million for the three and six months ended June 30, 2012 compared to the corresponding periods in 2011, respectively, primarily representing depreciation on recent capital expenditures, offset by certain assets becoming fully depreciated.

Other operating (income) expenses, net. The change in other operating (income) expense, net is attributable to the following (dollars in millions):

	Three months ended June 30, 2012 compared to three months ended June 30, 2011			Six months ended June 30, 2012 compared to six months ended June 30, 2011
Increase in gain on sales of assets	$	(14	)	$	(13	)
Increase in special charges, net	9			6
	$	(5	)	$	(7	)

The increase in gain on sales of assets is due to a gain recorded on the sale of cable systems in the second quarter of 2012. The increase in special charges in the three and six months ended June 30, 2012 as compared to prior periods is a result of an increase in severance charges and settlements. For more information, see Note 8 to the accompanying condensed consolidated financial statements contained in “Item 1. Financial Statements.”

Interest expense, net. For the three and six months ended June 30, 2012 compared to the corresponding periods in 2011, net interest expense decreased by $16 million and $12 million, respectively, which was primarily a result of a decrease in our average interest rate from 7.4% and 7.3% for the three and six months ended June 30, 2011, respectively, to 6.6% and 6.7% for the three and six months ended June 30, 2012, respectively, offset by an increase in our weighted average debt outstanding from $12.6 billion and $12.5 billion for the three and six months ended June 30, 2011, respectively, to $12.9 billion for each of the three and six months ended June 30, 2012.

Loss on extinguishment of debt. Loss on extinguishment of debt consists of the following for the periods presented:

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
CCH II and Charter Operating notes repurchase	$	—	$	—	$	15	$	—
Charter Operating credit facility refinancing/prepayments	59		53		59		120
	$	59	$	53	$	74	$	120

For more information, see Note 4 to the accompanying condensed consolidated financial statements contained in “Item 1. Financial Statements ”

Income tax expense.Income tax expense was recognized for the three and six months ended June 30, 2012 and 2011 through increases in deferred tax liabilities related to our investment in Charter Holdco and certain of our indirect subsidiaries, in addition to current state income tax expense.  Income tax expense for the three and six months ended June 30, 2011 included an $8 million expense for a state tax law change.

Net loss.Net loss decreased from $107 million for the three months ended June 30, 2011 to $83 million for the three months ended June 30, 2012 and from $217 million for the six months ended June 30, 2011 to $177 million for the six months ended June 30,

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2012 primarily as a result of the factors described above.

Loss per common share.During the three and six months ended June 30, 2012 compared to the corresponding periods in 2011, net loss per common share decreased by $0.14 and $0.17, respectively, as a result of the factors described above offset by a decrease in our weighted average shares outstanding as a result of share repurchases in the last twelve months.

Use of Adjusted EBITDAand Free Cash Flow

We use certain measures that are not defined by GAAP to evaluate various aspects of our business. Adjusted EBITDA and free cash flow are non-GAAP financial measures and should be considered in addition to, not as a substitute for, net loss and net cash flows from operating activities reported in accordance with GAAP. These terms, as defined by us, may not be comparable to similarly titled measures used by other companies. Adjusted EBITDA and free cash flow are reconciled to consolidated net loss and net cash flows from operating activities, respectively, below.

Adjusted EBITDA is defined as net loss plus net interest expense, income tax expense, depreciation and amortization, stock compensation expense, loss on extinguishment of debt and other operating (income) expenses, such as special charges and gain on sale or retirement of assets. As such, it eliminates the significant non-cash depreciation and amortization expense that results from the capital-intensive nature of our businesses as well as other non-cash or special items, and is unaffected by our capital structure or investment activities. Adjusted EBITDA is used by management and Charter’s board of directors to evaluate the performance of our business. However, this measure is limited in that it does not reflect the periodic costs of certain capitalized tangible and intangible assets used in generating revenues and our cash cost of financing. Management evaluates these costs through other financial measures.

Free cash flow is defined as net cash flows from operating activities, less capital expenditures and changes in accrued expenses related to capital expenditures.

We believe that Adjusted EBITDA and free cash flow provide information useful to investors in assessing our performance and our ability to service our debt, fund operations and make additional investments with internally generated funds. In addition, Adjusted EBITDA generally correlates to the leverage ratio calculation under our credit facilities or outstanding notes to determine compliance with the covenants contained in the facilities and notes (all such documents have been previously filed with the United States Securities and Exchange Commission). For the purpose of calculating compliance with leverage covenants, we use Adjusted EBITDA, as presented, excluding certain expenses paid by our operating subsidiaries to other Charter entities. Our debt covenants refer to these expenses as management fees, which fees were in the amount of $41 million and $35 million for the three months ended June 30, 2012 and 2011, respectively, and $82 million and $70 million for the six months ended June 30, 2012 and 2011, respectively.

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Net loss	$	(83	)	$	(107	)	$	(177	)	$	(217	)
Plus: Interest expense, net	225			241			462			474
Income tax expense	68			81			139			160
Depreciation and amortization	415			393			823			776
Stock compensation expense	13			9			24			15
Loss on extinguishment of debt	59			53			74			120
Other, net	(4		)	3			—			8
Adjusted EBITDA	$	693		$	673		$	1,345		$	1,336
Net cash flows from operating activities	$	469		$	460		$	923		$	907
Less: Purchases of property, plant and equipment	(468		)	(324		)	(808		)	(680		)
Change in accrued expenses related to capital expenditures	25			19			13			—
Free cash flow	$	26		$	155		$	128		$	227

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Liquidity and Capital Resources

Introduction

This section contains a discussion of our liquidity and capital resources, including a discussion of our cash position, sources and uses of cash, access to credit facilities and other financing sources, historical financing activities, cash needs, capital expenditures and outstanding debt.

Overview of Our Contractual Obligations and Liquidity

We have significant amounts of debt.  The accreted value of our debt as of June 30, 2012 was $12.8 billion, consisting of $4.5 billion of credit facility debt and $8.3 billion of high-yield notes. Our business requires significant cash to fund principal and interest payments on our debt.  As of June 30, 2012, $15 million of our long-term debt matures in 2012, $268 million in 2013, $418 million in 2014, $106 million in 2015, $3.4 billion in 2016 and $8.6 billion thereafter. As of December 31, 2011, as shown in our annual report on Form 10-K, we had other contractual obligations, including interest on our debt, totaling $6.2 billion. We also currently expect to incur capital expenditures of approximately $1.5 billion to $1.7 billion in 2012.

Our projected cash needs and projected sources of liquidity depend upon, among other things, our actual results, and the timing and amount of our expenditures. Free cash flow was $26 million and $128 million for the three and six months ended June 30, 2012, respectively. We expect to generate positive free cash flow for 2012. As of June 30, 2012, the amount available under our credit facilities was approximately $756 million. We expect to utilize free cash flow and availability under our credit facilities as well as future refinancing transactions to further extend the maturities of or reduce the principal on our obligations. The timing and terms of any refinancing transactions will be subject to market conditions. Additionally, we may, from time to time, depending on market conditions and other factors, use cash on hand and the proceeds from securities offerings or other borrowings, to retire our debt through open market purchases, privately negotiated purchases, tender offers, or redemption provisions. We believe we have sufficient liquidity from cash on hand, free cash flow and Charter Operating’s revolving credit facility as well as access to the capital markets to fund our projected operating cash needs.

We continue to evaluate the deployment of our anticipated future free cash flow including to reduce our leverage, and to invest in our business growth and other strategic opportunities, including mergers and acquisitions as well as stock repurchases and dividends. As possible acquisitions, swaps or dispositions arise in our industry, we actively review them against our objectives including, among other considerations, improving the operational efficiency and clustering of our business and achieving appropriate return targets, and we may participate to the extent we believe these possibilities present attractive opportunities. However, there can be no assurance that we will actually complete any acquisition, disposition or system swap or that any such transactions will be material to our operations or results.

Free Cash Flow

Free cash flow was $26 million and $155 million for the three months ended June 30, 2012 and 2011, respectively, and $128 million and $227 million for the six months ended June 30, 2012 and 2011, respectively. The decrease in free cash flow for the three and six months ended June 30, 2012 compared to the corresponding period in 2011 is primarily due to an increase of $144 million and $128 million, respectively, in capital expenditures and an increase of $32 million and $46 million, respectively, in cash paid for interest due to a change in the timing of payments with the completion of refinancings. The decrease in free cash flow is offset by changes in operating assets and liabilities, excluding the change in accrued interest, that provided $32 million and $70 million more cash during the three and six months ended June 30, 2012, respectively, driven by collection of receivables and an increase in accounts payable.

Limitations on Distributions

Distributions by Charter’s subsidiaries to a parent company for payment of principal on parent company notes are restricted under indentures and credit facilities governing our indebtedness, unless there is no default under the applicable indenture and credit facilities, and unless each applicable subsidiary’s leverage ratio test is met at the time of such distribution. As of June 30, 2012, there was no default under any of these indentures or credit facilities and each subsidiary met its applicable leverage ratio tests based on June 30, 2012 financial results. Such distributions would be restricted, however, if any such subsidiary fails to meet these tests at the time of the contemplated distribution. In the past, certain subsidiaries have from time to time failed to meet their leverage ratio test. There can be no assurance that they will satisfy these tests at the time of the contemplated distribution. Distributions by Charter Operating for payment of principal on parent company notes are further restricted by the covenants in

32

its credit facilities.

Distributions by CCO Holdings and Charter Operating to a parent company for payment of parent company interest are permitted if there is no default under the aforementioned indentures and CCO Holdings and Charter Operating credit facilities.

In addition to the limitation on distributions under the various indentures discussed above, distributions by our subsidiaries may be limited by applicable law, including the Delaware Limited Liability Company Act, under which our subsidiaries may only make distributions if they have “surplus” as defined in the act.

Historical Operating, Investing, and Financing Activities

Cash and Cash Equivalents. We held $32 million and $29 million in cash and cash equivalents as of June 30, 2012 and December 31, 2011, respectively, including $27 million of restricted cash.

Operating Activities. Net cash provided by operating activities increased $16 million from $907 million for the six months ended June 30, 2011 to $923 million for the six months ended June 30, 2012, primarily due to changes in operating assets and liabilities, excluding the change in accrued interest and in liabilities related to capital expenditures, that provided $57 million more cash during 2012 driven by collection of receivables and an increase in accounts payable and higher Adjusted EBITDA offset by a $46 million increase in the timing of cash interest payments.

Investing Activities.Net cash used in investing activities for the six months ended June 30, 2012 and 2011 was $785 million and $694 million, respectively. The increase is primarily due to higher capital expenditures.

Financing Activities.Net cash used in financing activities was $135 million and $51 million for the six months ended June 30, 2012 and 2011, respectively. The increase in cash used was primarily the result of an increase in the amount by which repayments of long term debt exceeded borrowings offset by decreases in purchases of treasury stock.

Capital Expenditures

We have significant ongoing capital expenditure requirements.  Capital expenditures were $808 million and $680 million for the six months ended June 30, 2012 and 2011, respectively.  The increase related to higher actual and anticipated residential and commercial customer growth, scalable Internet infrastructure to accommodate higher penetration and network throughput, and further investments in customer experience, both in systems and the network. See the table below for more details.

During 2012, we currently expect capital expenditures to be between $1.5 billion and $1.7 billion. The actual amount of our capital expenditures depends on the level of success of our new operating strategies and residential product offerings, with the increase over prior year reflecting higher expected levels of customer premise equipment placement for both new and existing customers, resulting from increased digitization and DVR penetration, and growth in our commercial business.

Our capital expenditures are funded primarily from free cash flow and borrowings on our credit facility. In addition, our liabilities related to capital expenditures increased by $13 million for the six months ended June 30, 2012.

The following table presents our major capital expenditures categories in accordance with NCTA disclosure guidelines for the three and six months ended June 30, 2012 and 2011. The disclosure is intended to provide more consistency in the reporting of capital expenditures among peer companies in the cable industry. These disclosure guidelines are not required disclosures under GAAP, nor do they impact our accounting for capital expenditures under GAAP (dollars in millions):

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
Customer premise equipment (a)	$	193	$	130	$	366	$	287
Scalable infrastructure (b)	167		85		246		207
Line extensions (c)	33		29		59		49
Upgrade/rebuild (d)	7		7		14		12
Support capital (e)	68		73		123		125
Total capital expenditures (f)	$	468	$	324	$	808	$	680

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(a) Customer premise equipment includes costs incurred at the customer residence to secure new customers, revenue units and additional bandwidth revenues. It also includes customer installation costs and customer premise equipment (e.g., set-top boxes and cable modems).

(b) Scalable infrastructure includes costs not related to customer premise equipment, to secure growth of new customers, revenue units, and additional bandwidth revenues, or provide service enhancements (e.g., headend equipment).

(c) Line extensions include network costs associated with entering new service areas (e.g., fiber/coaxial cable, amplifiers, electronic equipment, make-ready and design engineering).

(d) Upgrade/rebuild includes costs to modify or replace existing fiber/coaxial cable networks, including betterments.

(e) Support capital includes costs associated with the replacement or enhancement of non-network assets due to technological and physical obsolescence (e.g., non-network equipment, land, buildings and vehicles).

(f) Total capital expenditures includes $61 million and $45 million of capital expenditures related to commercial services for the three months ended June 30, 2012 and 2011, respectively, and $99 million and $72 million for the six months ended June 30, 2012 and 2011, respectively.

Item 3.Quantitative and Qualitative Disclosures About Market Risk.

We are exposed to various market risks, including fluctuations in interest rates. We have used interest rate swap agreements to manage our interest costs and reduce our exposure to increases in floating interest rates. We manage our exposure to fluctuations in interest rates by maintaining a mix of fixed and variable rate debt. Using interest rate swap agreements, we agree to exchange, at specified intervals through 2017, the difference between fixed and variable interest amounts calculated by reference to agreed-upon notional principal amounts.

As of June 30, 2012 and December 31, 2011, the accreted value of our debt was approximately $12.8 billion and $12.9 billion, respectively.  As of June 30, 2012 and December 31, 2011, the weighted average interest rate on the credit facility debt, including the effects of our interest rate swap agreements, was approximately 4.0% and 4.3%, respectively, and the weighted average interest rate on the high-yield notes was approximately 8.0% and 8.5%, respectively, resulting in a blended weighted average interest rate of 6.6% and 7.1%, respectively.  The interest rate on approximately 79% and 82% of the total principal amount of our debt was effectively fixed, including the effects of our interest rate swap agreements, as of June 30, 2012 and December 31, 2011, respectively.

We do not hold or issue derivative instruments for speculative trading purposes. We have interest rate derivative instruments that have been designated as cash flow hedging instruments. Such instruments effectively convert variable interest payments on certain debt instruments into fixed payments. For qualifying hedges, realized derivative gains and losses offset related results on hedged items in the consolidated statements of operations. We formally document, designate and assess the effectiveness of transactions that receive hedge accounting. For the three and six months ended June 30, 2012 and 2011 there was no cash flow hedge ineffectiveness on interest rate swap agreements.

Changes in the fair value of interest rate agreements that are designated as hedging instruments of the variability of cash flows associated with floating-rate debt obligations, and that meet effectiveness criteria are reported in other comprehensive loss. For the three and six months ended June 30, 2012, losses of $12 million and $11 million, respectively, and for the three and six months ended June 30, 2011, losses of $20 million and $9 million, respectively, related to derivative instruments designated as cash flow hedges, were recorded in other comprehensive loss. The amounts are subsequently reclassified as an increase or decrease to interest expense in the same periods in which the related interest on the floating-rate debt obligations affects earnings (losses).

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The table set forth below summarizes the fair values and contract terms of financial instruments subject to interest rate risk maintained by us as of June 30, 2012 (dollars in millions):

	2012			2013			2014			2015			2016			Thereafter			Total			Fair Value at June 30, 2012
Debt:
Fixed Rate	$	—		$	—		$	—		$	—		$	1,146		$	7,000		$	8,146		$	8,880
Average Interest Rate	—			—			—			—			13.50		%	7.15		%	8.05		%
Variable Rate	$	15		$	268		$	418		$	106		$	2,281		$	1,570		$	4,658		$	4,570
Average Interest Rate	3.80		%	2.54		%	3.19		%	3.54		%	4.74		%	4.86		%	4.48		%
Interest Rate Instruments:
Variable to Fixed Rate	$	—		$	900		$	800		$	300		$	250		$	850		$	3,100		$	76
Average Pay Rate	—			5.21		%	5.65		%	5.99		%	4.89		%	4.84		%	5.27		%
Average Receive Rate	—			3.79		%	3.87		%	4.06		%	4.95		%	5.41		%	4.37		%

At June 30, 2012, we had $3.1 billion in notional amounts of interest rate swaps outstanding. This includes $1.1 billion in delayed start interest rate swaps that become effective in March 2013 through March 2015.  In any future quarter in which a portion of these delayed start hedges first becomes effective, an equal or greater notional amount of the currently effective swaps are scheduled to mature.  Therefore, the $2.0 billion notional amount of currently effective interest rate swaps will gradually step down over time as current swaps mature and an equal or lesser amount of delayed start swaps become effective.

The notional amounts of interest rate instruments do not represent amounts exchanged by the parties and, thus, are not a measure of our exposure to credit loss. The amounts exchanged are determined by reference to the notional amount and the other terms of the contracts. The estimated fair value is determined using a present value calculation based on an implied forward LIBOR curve (adjusted for Charter Operating’s or counterparties’ credit risk). Interest rates on variable debt are estimated using the average implied forward LIBOR for the year of maturity based on the yield curve in effect at June 30, 2012 including applicable bank spread.

Item 4.Controls and Procedures.

As of the end of the period covered by this report, under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, we have evaluated the effectiveness of the design and operation of our disclosure controls and procedures with respect to the information generated for use in this quarterly report. The evaluation was based in part upon reports and certifications provided by a number of executives. Based upon, and as of the date of that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that the disclosure controls and procedures were effective to provide reasonable assurances that information required to be disclosed in the reports we file or submit under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms.

In designing and evaluating the disclosure controls and procedures, our management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonable, not absolute, assurance of achieving the desired control objectives, and management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures. Based upon the above evaluation, we believe that our controls provide such reasonable assurances.

There was no change in our internal control over financial reporting during the second quarter of 2012 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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PART II

Item 1.Legal Proceedings.

We are party to lawsuits and claims that arise in the ordinary course of conducting our business, including lawsuits claiming infringement of various patents relating to various aspects of our businesses and lawsuits claiming violation of anti-trust laws and violation of wage and hour laws.  The ultimate outcome of these other legal matters pending against us or our subsidiaries cannot be predicted, and although such lawsuits and claims are not expected individually to have a material adverse effect on our consolidated financial condition, results of operations, or liquidity, such lawsuits could have in the aggregate a material adverse effect on our consolidated financial condition, results of operations, or liquidity.  Whether or not we ultimately prevail in any particular lawsuit or claim, litigation can be time consuming and costly and injure our reputation.

Item 1A.Risk Factors.

Our Annual Report on Form 10-K for the year ended December 31, 2011 includes “Risk Factors” under Item 1A of Part I. There have been no material changes from the risk factors described in our Form 10-K.

Item 2.Unregistered Sales of Equity Proceeds and Use of Proceeds.

(C)Purchases of Equity Securities by the Issuer

The following table presents Charter's purchases of equity securities completed during the second quarter of 2012.

Period	(a) Total Number of Shares Purchased	(b) Average Price Paid per Share	(c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	(d) Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
April 1 - 30, 2012	5,435 (1)	$60.82	N/A	N/A
May 1 - 31, 2012	—	—	N/A	N/A
June 1 - 30, 2012	131 (1)	$66.36	N/A	N/A

(1) In April and June 2012, Charter withheld 5,435 and 131 shares of its common stock, respectively, in payment of income tax withholding owed by employees upon vesting of restricted shares and restricted stock units.

Item 6.Exhibits.

The index to the exhibits begins on page E-1 of this quarterly report.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, Charter Communications, Inc. has duly caused this quarterly report to be signed on its behalf by the undersigned, thereunto duly authorized.

	CHARTER COMMUNICATIONS, INC.,
	Registrant
	By:	/s/ Kevin D. Howard
		Kevin D. Howard
		Senior Vice President - Finance, Controller and
Date: August 7, 2012		Chief Accounting Officer

S-1

Exhibit Index

Exhibit	Description
10.1	Employment Agreement dated as of April 30, 2012, by and between Charter Communications, Inc. and John Bickham (incorporated by reference to Exhibit 10.1 to the current report on Form 8-K filed by Charter Communications, Inc. on May 1, 2012 (File No. 001-33664)).
10.2	Time-Vesting Stock Option Agreement dated as of April 30, 2012 by and between Charter Communications, Inc. and John Bickham (incorporated by reference to Exhibit 10.2 to the current report on Form 8-K filed by Charter Communications, Inc. on May 1, 2012 (File No. 001-33664)).
10.3	Performance-Vesting Restricted Stock Agreement dated as of April 30, 2012 by and between Charter Communications, Inc. and John Bickham (incorporated by reference to Exhibit 10.3 to the current report on Form 8-K filed by Charter Communications, Inc. on May 1, 2012 (File No. 001-33664)).
10.4	Performance-Vesting Stock Option Agreement dated as of April 30, 2012 by and between Charter Communications, Inc. and John Bickham (incorporated by reference to Exhibit 10.4 to the current report on Form 8-K filed by Charter Communications, Inc. on May 1, 2012 (File No. 001-33664)).
10.5	Time-Vesting Restricted Stock Agreement dated as of April 30, 2012 by and between Charter Communications, Inc. and John Bickham (incorporated by reference to Exhibit 10.5 to the current report on Form 8-K filed by Charter Communications, Inc. on May 1, 2012 (File No. 001-33664)).
12.1*	Computation of Ratio of Earnings to Fixed Charges.
31.1*	Certificate of Chief Executive Officer pursuant to Rule 13a-14(a)/Rule 15d-14(a) under the under the Securities Exchange Act of 1934.
31.2*	Certificate of Chief Financial Officer pursuant to Rule 13a-14(a)/Rule 15d-14(a) under the Securities Exchange Act of 1934.
32.1*	Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (Chief Executive Officer).
32.2*	Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (Chief Financial Officer).
101	The following financial statements from Charter Communications, Inc.'s Quarterly Report on Form 10-Q for the three and six months ended June 30, 2012, filed with the Securities and Exchange Commission on August 7, 2012, formatted in XBRL (eXtensible Business Reporting Language): (i) the Condensed Consolidated Balance Sheets; (ii) the Condensed Consolidated Statements of Operations; (iii) the Condensed Consolidated Statements of Comprehensive Loss (iv) the Condensed Consolidated Statements of Cash Flows; and (v) the Notes to Condensed Consolidated Financial Statements.

_____________

* Filed herewith.

E-1

EX-12.1

Exhibit 12.1

CHARTER COMMUNICATIONS, INC AND SUBSIDIARIES
RATIO OF EARNINGS TO FIXED CHARGES CALCULATION
(In millions)
	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Earnings
Loss before Income Taxes	$	(15	)	$	(26	)	$	(38	)	$	(57	)
Fixed Charges	227			243			466			478
Total Earnings	$	212		$	217		$	428		$	421
Fixed Charges
Interest Expense	$	220		$	232		$	447		$	456
Amortization of Debt Costs	5			9			15			18
Interest Element of Rentals	2			2			4			4
Total Fixed Charges	$	227		$	243		$	466		$	478
Ratio of Earnings to Fixed Charges (1)	—			—			—			—

(1) Earnings for the three and six months ended June 30, 2012 were insufficient to cover fixed charges by $15 million and $38 million, respectively. Earnings for the three and six months ended June 30, 2011 were insufficient to cover fixed charges by $26 million and $57 million, respectively. As a result of such deficiencies, the ratios are not presented above.

EX-31.1

Exhibit 31.1

I, Thomas M. Rutledge, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Charter Communications, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 7, 2012

/s/ Thomas M. Rutledge

Thomas M. Rutledge
President and Chief Executive Officer

EX-31.2

Exhibit 31.2

I, Christopher L. Winfrey, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Charter Communications, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 7, 2012

/s/ Christopher L. Winfrey

Christopher L. Winfrey

Chief Financial Officer

(Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION OF CHIEF EXECUTIVE
OFFICER REGARDING PERIODIC REPORT CONTAINING
FINANCIAL STATEMENTS

I, Thomas M. Rutledge, the President and Chief Executive Officer of Charter Communications, Inc. (the "Company") in compliance with 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, hereby certify that, the Company's Quarterly Report on Form 10-Q for the period ended June 30, 2012 (the "Report") filed with the Securities and Exchange Commission:

• fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

• the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Thomas M. Rutledge

Thomas M. Rutledge

President and Chief Executive Officer

August 7, 2012

EX-32.2

Exhibit 32.2

CERTIFICATION OF CHIEF FINANCIAL
OFFICER REGARDING PERIODIC REPORT CONTAINING
FINANCIAL STATEMENTS

I, Christopher L. Winfrey, the Chief Financial Officer of Charter Communications, Inc. (the "Company"), in compliance with 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, hereby certify that, the Company's Quarterly Report on Form 10-Q for the period ended June 30, 2012 (the "Report") filed with the Securities and Exchange Commission:

• fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

• the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Christopher L. Winfrey

Christopher L. Winfrey

Chief Financial Officer

(Principal Financial Officer)

August 7, 2012

XML

Income Taxes (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011	Dec. 31, 2011
Income Tax Contingency [Line Items]
Income tax expense	$ (68)	$ (81)	$ (139)	$ (160)
Current State and Local Tax Expense (Benefit)		8
Deferred Tax Liabilities, Net	964		964		824
Deferred Tax Assets, Net, Current	23		23		23
Charter Holdco Subsidiaries [Member]
Income Tax Contingency [Line Items]
Deferred Tax Liabilities, Net	$ 222		$ 222		$ 221

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Treasury Stock (Details) (Class A Common Stock [Member], USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended	3 Months Ended
	Jun. 30, 2012	Mar. 31, 2012	Jun. 30, 2012	Mar. 31, 2011 Franklin Advisers, Inc. [Member]
Equity, Class of Treasury Stock [Line Items]
Number of shares purchased (in shares)		49,332		4,500,000
Price per share paid (in dollars per share)		$ 55.18		$ 46.10
Total consideration of stock purchase	$ 1	$ 3	$ 1	$ 207
Shares withheld in payment of income tax withholding owed by employees (in shares)	5,566		10,924

XML

Consolidating Schedules (Tables)

6 Months Ended

Jun. 30, 2012

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Schedule of Condensed Balance Sheet [Table Text Block]

Charter Communications, Inc.
Condensed Consolidating Balance Sheet
As of June 30, 2012
	Charter		Intermediate Holding Companies		CCH II		CCO Holdings		Charter Operating and Subsidiaries		Eliminations			Charter Consolidated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	3	$	—	$	—	$	2	$	—	$	—		$	5
Restricted cash and cash equivalents	—		—		—		—		27		—			27
Accounts receivable, net	—		3		—		—		253		—			256
Receivables from related party	80		146		4		3		—		(233		)	—
Prepaid expenses and other current assets	21		11		—		—		47		—			79
Total current assets	104		160		4		5		327		(233		)	367
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	—		32		—		—		6,992		—			7,024
Franchises	—		—		—		—		5,287		—			5,287
Customer relationships, net	—		—		—		—		1,562		—			1,562
Goodwill	—		—		—		—		953		—			953
Total investment in cable properties, net	—		32		—		—		14,794		—			14,826
CC VIII PREFERRED INTEREST	97		227		—		—		—		(324		)	—
INVESTMENT IN SUBSIDIARIES	1,039		514		1,600		8,582		—		(11,735		)	—
LOANS RECEIVABLE – RELATED PARTY	—		44		265		359		—		(668		)	—
OTHER NONCURRENT ASSETS	—		158		—		95		107		—			360
Total assets	$	1,240	$	1,135	$	1,869	$	9,041	$	15,228	$	(12,960	)	$	15,553
LIABILITIES AND SHAREHOLDERS’/MEMBER’S EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	9	$	92	$	58	$	121	$	914	$	—		$	1,194
Payables to related party	—		—		—		—		233		(233		)	—
Total current liabilities	9		92		58		121		1,147		(233		)	1,194
LONG-TERM DEBT	—		—		1,297		7,320		4,169		—			12,786
LOANS PAYABLE – RELATED PARTY	—		—		—		—		668		(668		)	—
DEFERRED INCOME TAXES	763		—		—		—		224		—			987
OTHER LONG-TERM LIABILITIES	224		4		—		—		114		—			342
Shareholders’/Member’s equity	244		1,039		514		1,600		8,582		(11,735		)	244
Noncontrolling interest	—		—		—		—		324		(324		)	—
Total shareholders’/member’s equity	244		1,039		514		1,600		8,906		(12,059		)	244
Total liabilities and shareholders’/member’s equity	$	1,240	$	1,135	$	1,869	$	9,041	$	15,228	$	(12,960	)	$	15,553

Charter Communications, Inc.
Condensed Consolidating Balance Sheet
As of December 31, 2011
	Charter		Intermediate Holding Companies		CCH II		CCO Holdings		Charter Operating and Subsidiaries		Eliminations			Charter Consolidated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	—	$	—	$	—	$	2	$	—	$	—		$	2
Restricted cash and cash equivalents	—		—		—		—		27		—			27
Accounts receivable, net	—		4		—		—		268		—			272
Receivables from related party	58		176		8		7		—		(249		)	—
Prepaid expenses and other current assets	21		21		—		—		27		—			69
Total current assets	79		201		8		9		322		(249		)	370
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	—		33		—		—		6,864		—			6,897
Franchises	—		—		—		—		5,288		—			5,288
Customer relationships, net	—		—		—		—		1,704		—			1,704
Goodwill	—		—		—		—		954		—			954
Total investment in cable properties, net	—		33		—		—		14,810		—			14,843
CC VIII PREFERRED INTEREST	91		213		—		—		—		(304		)	—
INVESTMENT IN SUBSIDIARIES	1,102		592		2,094		8,623		—		(12,411		)	—
LOANS RECEIVABLE – RELATED PARTY	—		43		256		37		—		(336		)	—
OTHER NONCURRENT ASSETS	—		158		—		90		144		—			392
Total assets	$	1,272	$	1,240	$	2,358	$	8,759	$	15,276	$	(13,300	)	$	15,605
LIABILITIES AND SHAREHOLDERS’/MEMBER’S EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	12	$	134	$	74	$	98	$	835	$	—		$	1,153
Payables to related party	—		—		—		—		249		(249		)	—
Total current liabilities	12		134		74		98		1,084		(249		)	1,153
LONG-TERM DEBT	—		—		1,692		6,567		4,597		—			12,856
LOANS PAYABLE – RELATED PARTY	—		—		—		—		336		(336		)	—
DEFERRED INCOME TAXES	624		—		—		—		223		—			847
OTHER LONG-TERM LIABILITIES	227		4		—		—		109		—			340
Shareholders’/Member’s equity	409		1,102		592		2,094		8,623		(12,411		)	409
Noncontrolling interest	—		—		—		—		304		(304		)	—
Total shareholders’/member’s equity	409		1,102		592		2,094		8,927		(12,715		)	409
Total liabilities and shareholders’/member’s equity	$	1,272	$	1,240	$	2,358	$	8,759	$	15,276	$	(13,300	)	$	15,605

Schedule of Condensed Income Statement [Table Text Block]

Charter Communications, Inc.
Condensed Consolidating Statement of Operations
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
REVENUES	$	13		$	75		$	—		$	—		$	3,711		$	(88	)	$	3,711
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	—			—			—			—			1,645			—			1,645
Selling, general and administrative	13			75			—			—			745			(88		)	745
Depreciation and amortization	—			—			—			—			823			—			823
Other operating income, net	—			—			—			—			(1		)	—			(1		)
	13			75			—			—			3,212			(88		)	3,212
Income from operations	—			—			—			—			499			—			499
OTHER INCOME AND (EXPENSES):
Interest expense, net	—			1			(65		)	(259		)	(139		)	—			(462		)
Loss on extinguishment of debt	—			—			(6		)	—			(68		)	—			(74		)
Other expense, net	—			—			—			—			(1		)	—			(1		)
Equity in income (loss) of subsidiaries	(48		)	(63		)	8			267			—			(164		)	—
	(48		)	(62		)	(63		)	8			(208		)	(164		)	(537		)
Income (loss) before income taxes	(48		)	(62		)	(63		)	8			291			(164		)	(38		)
INCOME TAX EXPENSE	(135		)	—			—			—			(4		)	—			(139		)
Consolidated net income (loss)	(183		)	(62		)	(63		)	8			287			(164		)	(177		)
Less: Net (income) loss – noncontrolling interest	6			14			—			—			(20		)	—			—
Net income (loss)	$	(177	)	$	(48	)	$	(63	)	$	8		$	267		$	(164	)	$	(177	)

Charter Communications, Inc.
Condensed Consolidating Statement of Operations
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
REVENUES	$	16		$	59		$	—		$	—		$	3,561		$	(75	)	$	3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	—			—			—			—			1,552			—			1,552
Selling, general and administrative	16			59			—			—			688			(75		)	688
Depreciation and amortization	—			—			—			—			776			—			776
Other operating expenses, net	—			—			—			—			6			—			6
	16			59			—			—			3,022			(75		)	3,022
Income from operations	—			—			—			—			539			—			539
OTHER INCOME AND (EXPENSES):
Interest expense, net	—			—			(96		)	(169		)	(209		)	—			(474		)
Loss on extinguishment of debt	—			—			—			—			(120		)	—			(120		)
Other expense, net	—			—			—			—			(2		)	—			(2		)
Equity in income (loss) of subsidiaries	(63		)	(79		)	17			186			—			(61		)	—
	(63		)	(79		)	(79		)	17			(331		)	(61		)	(596		)
Income (loss) before income taxes	(63		)	(79		)	(79		)	17			208			(61		)	(57		)
INCOME TAX EXPENSE	(160		)	—			—			—			—			—			(160		)
Consolidated net income (loss)	(223		)	(79		)	(79		)	17			208			(61		)	(217		)
Less: Net (income) loss – noncontrolling interest	6			16			—			—			(22		)	—			—
Net income (loss)	$	(217	)	$	(63	)	$	(79	)	$	17		$	186		$	(61	)	$	(217	)

Schedule of Condensed Statement of Comprehensive Income (Loss) [Table Text Block]

Charter Communications, Inc.
Condensed Consolidating Statement of Comprehensive Income (Loss)
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings		Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
Consolidated net income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8	$	287		$	(164	)	$	(177	)
Changes in fair value of interest rate swap agreements, net of tax	—			—			—			—		(11		)	—			(11		)
Comprehensive income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8	$	276		$	(164	)	$	(188	)

Charter Communications, Inc.
Condensed Consolidating Statement of Comprehensive Income (Loss)
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings		Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
Consolidated net income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17	$	208		$	(61	)	$	(217	)
Changes in fair value of interest rate swap agreements, net of tax	—			—			—			—		(9		)	—			(9		)
Comprehensive income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17	$	199		$	(61	)	$	(226	)

Schedule of Condensed Cash Flow Statement [Table Text Block]

Charter Communications, Inc.
Condensed Consolidating Statement of Cash Flows
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8		$	287		$	(164	)	$	(177	)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	—			—			—			—			823			—			823
Noncash interest expense	—			—			(14		)	12			26			—			24
Loss on extinguishment of debt	—			—			6			—			68			—			74
Deferred income taxes	134			—			—			—			2			—			136
Equity in (income) losses of subsidiaries	48			63			(8		)	(267		)	—			164			—
Other, net	—			2			—			(1		)	10			—			11
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	—			1			—			—			15			—			16
Prepaid expenses and other assets	1			10			—			—			(22		)	—			(11		)
Accounts payable, accrued expenses and other	(2		)	(44		)	(17		)	23			67			—			27
Receivables from and payables to related party	2			31			(4		)	(4		)	(25		)	—			—
Net cash flows from operating activities	—			1			(100		)	(229		)	1,251			—			923
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			—			—			—			(808		)	—			(808		)
Change in accrued expenses related to capital expenditures	—			—			—			—			13			—			13
Contribution to subsidiary	—			—			—			(419		)	—			419			—
Distributions from subsidiary	3			15			489			715			—			(1,222		)	—
Other, net	—			1			—			—			9			—			10
Net cash flows from investing activities	3			16			489			296			(786		)	(803		)	(785		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	—			—			—			746			2,071			—			2,817
Repayments of long-term debt	—			—			(386		)	—			(2,533		)	—			(2,919		)
Borrowings (payments) loans payable - related parties	—			—			—			(314		)	314			—			—
Payment for debt issuance costs	—			—			—			(10		)	(14		)	—			(24		)
Purchase of treasury stock	(4		)	—			—			—			—			—			(4		)
Contributions from parent	—			—			—			—			419			(419		)	—
Distributions to parent	—			(15		)	(3		)	(489		)	(715		)	1,222			—
Other, net	4			(2		)	—			—			(7		)	—			(5		)
Net cash flows from financing activities	—			(17		)	(389		)	(67		)	(465		)	803			(135		)
NET INCREASE IN CASH AND CASH EQUIVALENTS	3			—			—			—			—			—			3
CASH AND CASH EQUIVALENTS, beginning of period	—			—			—			2			27			—			29
CASH AND CASH EQUIVALENTS, end of period	$	3		$	—		$	—		$	2		$	27		$	—		$	32

Charter Communications, Inc.
Condensed Consolidating Statement of Cash Flows
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17		$	208		$	(61	)	$	(217	)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	—			—			—			—			776			—			776
Noncash interest expense	—			—			(19		)	10			29			—			20
Loss on extinguishment of debt	—			—			—			—			120			—			120
Deferred income taxes	159			—			—			—			(4		)	—			155
Equity in (income) losses of subsidiaries	63			79			(17		)	(186		)	—			61			—
Other, net	—			1			—			—			15			—			16
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	—			1			—			—			4			—			5
Prepaid expenses and other assets	—			(2		)	—			—			(4		)	—			(6		)
Accounts payable, accrued expenses and other	(3		)	(22		)	—			55			8			—			38
Receivables from and payables to related party	4			30			(4		)	(4		)	(26		)	—			—
Net cash flows from operating activities	—			8			(119		)	(108		)	1,126			—			907
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			—			—			—			(680		)	—			(680		)
Contribution to subsidiary	—			—			—			(2,647		)	—			2,647			—
Distributions from subsidiary	206			1,030			322			231			—			(1,789		)	—
Other, net	—			—			—			—			(14		)	—			(14		)
Net cash flows from investing activities	206			1,030			322			(2,416		)	(694		)	858			(694		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	—			—			—			2,890			671			—			3,561
Repayments of long-term debt	—			—			—			—			(3,366		)	—			(3,366		)
Payment for debt issuance costs	—			—			—			(43		)	—			—			(43		)
Purchase of treasury stock	(207		)	—			—			—			—			—			(207		)
Contributions from parent	—			—			—			—			2,647			(2,647		)	—
Distributions to parent	—			(1,030		)	(206		)	(322		)	(231		)	1,789			—
Other, net	4			—						—			—			—			4
Net cash flows from financing activities	(203		)	(1,030		)	(206		)	2,525			(279		)	(858		)	(51		)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	3			8			(3		)	1			153			—			162
CASH AND CASH EQUIVALENTS, beginning of period	—			—			3			1			28			—			32
CASH AND CASH EQUIVALENTS, end of period	$	3		$	8		$	—		$	2		$	181		$	—		$	194

XML

Condensed Consolidating Balance Sheets (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
CURRENT ASSETS:
Cash and cash equivalents	$ 5	$ 2
Restricted cash and cash equivalents	27	27
Accounts receivable, net	256	272
Receivables from related party	0	0
Prepaid expenses and other current assets	79	69
Total current assets	367	370
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	7,024	6,897
Franchises	5,287	5,288
Customer relationships, net	1,562	1,704
Goodwill	953	954
Total investment in cable properties, net	14,826	14,843
CC VIII PREFERRED INTEREST	0	0
INVESTMENT IN SUBSIDIARIES	0	0
LOANS RECEIVABLE - RELATED PARTY	0	0
OTHER NONCURRENT ASSETS	360	392
Total assets	15,553	15,605
CURRENT LIABILITIES:
Accounts payable and accrued expenses	1,194	1,153
Payables to related party	0	0
Total current liabilities	1,194	1,153
LONG-TERM DEBT	12,786	12,856
LOANS PAYABLE - RELATED PARTY	0	0
DEFERRED INCOME TAXES	987	847
OTHER LONG-TERM LIABILITIES	342	340
Shareholders'/Member's equity	244	409
Noncontrolling interest	0	0
Total shareholders'/member's equity	244	409
Total liabilities and shareholders'/member's equity	15,553	15,605
Charter [Member]
CURRENT ASSETS:
Cash and cash equivalents	3	0
Restricted cash and cash equivalents	0	0
Accounts receivable, net	0	0
Receivables from related party	80	58
Prepaid expenses and other current assets	21	21
Total current assets	104	79
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	0	0
Franchises	0	0
Customer relationships, net	0	0
Goodwill	0	0
Total investment in cable properties, net	0	0
CC VIII PREFERRED INTEREST	97	91
INVESTMENT IN SUBSIDIARIES	1,039	1,102
LOANS RECEIVABLE - RELATED PARTY	0	0
OTHER NONCURRENT ASSETS	0	0
Total assets	1,240	1,272
CURRENT LIABILITIES:
Accounts payable and accrued expenses	9	12
Payables to related party	0	0
Total current liabilities	9	12
LONG-TERM DEBT	0	0
LOANS PAYABLE - RELATED PARTY	0	0
DEFERRED INCOME TAXES	763	624
OTHER LONG-TERM LIABILITIES	224	227
Shareholders'/Member's equity	244	409
Noncontrolling interest	0	0
Total shareholders'/member's equity	244	409
Total liabilities and shareholders'/member's equity	1,240	1,272
Intermediate Holding Companies [Member]
CURRENT ASSETS:
Cash and cash equivalents	0	0
Restricted cash and cash equivalents	0	0
Accounts receivable, net	3	4
Receivables from related party	146	176
Prepaid expenses and other current assets	11	21
Total current assets	160	201
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	32	33
Franchises	0	0
Customer relationships, net	0	0
Goodwill	0	0
Total investment in cable properties, net	32	33
CC VIII PREFERRED INTEREST	227	213
INVESTMENT IN SUBSIDIARIES	514	592
LOANS RECEIVABLE - RELATED PARTY	44	43
OTHER NONCURRENT ASSETS	158	158
Total assets	1,135	1,240
CURRENT LIABILITIES:
Accounts payable and accrued expenses	92	134
Payables to related party	0	0
Total current liabilities	92	134
LONG-TERM DEBT	0	0
LOANS PAYABLE - RELATED PARTY	0	0
DEFERRED INCOME TAXES	0	0
OTHER LONG-TERM LIABILITIES	4	4
Shareholders'/Member's equity	1,039	1,102
Noncontrolling interest	0	0
Total shareholders'/member's equity	1,039	1,102
Total liabilities and shareholders'/member's equity	1,135	1,240
CCH II [Member]
CURRENT ASSETS:
Cash and cash equivalents	0	0
Restricted cash and cash equivalents	0	0
Accounts receivable, net	0	0
Receivables from related party	4	8
Prepaid expenses and other current assets	0	0
Total current assets	4	8
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	0	0
Franchises	0	0
Customer relationships, net	0	0
Goodwill	0	0
Total investment in cable properties, net	0	0
CC VIII PREFERRED INTEREST	0	0
INVESTMENT IN SUBSIDIARIES	1,600	2,094
LOANS RECEIVABLE - RELATED PARTY	265	256
OTHER NONCURRENT ASSETS	0	0
Total assets	1,869	2,358
CURRENT LIABILITIES:
Accounts payable and accrued expenses	58	74
Payables to related party	0	0
Total current liabilities	58	74
LONG-TERM DEBT	1,297	1,692
LOANS PAYABLE - RELATED PARTY	0	0
DEFERRED INCOME TAXES	0	0
OTHER LONG-TERM LIABILITIES	0	0
Shareholders'/Member's equity	514	592
Noncontrolling interest	0	0
Total shareholders'/member's equity	514	592
Total liabilities and shareholders'/member's equity	1,869	2,358
CCO Holdings [Member]
CURRENT ASSETS:
Cash and cash equivalents	2	2
Restricted cash and cash equivalents	0	0
Accounts receivable, net	0	0
Receivables from related party	3	7
Prepaid expenses and other current assets	0	0
Total current assets	5	9
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	0	0
Franchises	0	0
Customer relationships, net	0	0
Goodwill	0	0
Total investment in cable properties, net	0	0
CC VIII PREFERRED INTEREST	0	0
INVESTMENT IN SUBSIDIARIES	8,582	8,623
LOANS RECEIVABLE - RELATED PARTY	359	37
OTHER NONCURRENT ASSETS	95	90
Total assets	9,041	8,759
CURRENT LIABILITIES:
Accounts payable and accrued expenses	121	98
Payables to related party	0	0
Total current liabilities	121	98
LONG-TERM DEBT	7,320	6,567
LOANS PAYABLE - RELATED PARTY	0	0
DEFERRED INCOME TAXES	0	0
OTHER LONG-TERM LIABILITIES	0	0
Shareholders'/Member's equity	1,600	2,094
Noncontrolling interest	0	0
Total shareholders'/member's equity	1,600	2,094
Total liabilities and shareholders'/member's equity	9,041	8,759
Charter Operating and Subsidiaries [Member]
CURRENT ASSETS:
Cash and cash equivalents	0	0
Restricted cash and cash equivalents	27	27
Accounts receivable, net	253	268
Receivables from related party	0	0
Prepaid expenses and other current assets	47	27
Total current assets	327	322
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	6,992	6,864
Franchises	5,287	5,288
Customer relationships, net	1,562	1,704
Goodwill	953	954
Total investment in cable properties, net	14,794	14,810
CC VIII PREFERRED INTEREST	0	0
INVESTMENT IN SUBSIDIARIES	0	0
LOANS RECEIVABLE - RELATED PARTY	0	0
OTHER NONCURRENT ASSETS	107	144
Total assets	15,228	15,276
CURRENT LIABILITIES:
Accounts payable and accrued expenses	914	835
Payables to related party	233	249
Total current liabilities	1,147	1,084
LONG-TERM DEBT	4,169	4,597
LOANS PAYABLE - RELATED PARTY	668	336
DEFERRED INCOME TAXES	224	223
OTHER LONG-TERM LIABILITIES	114	109
Shareholders'/Member's equity	8,582	8,623
Noncontrolling interest	324	304
Total shareholders'/member's equity	8,906	8,927
Total liabilities and shareholders'/member's equity	15,228	15,276
Eliminations [Member]
CURRENT ASSETS:
Cash and cash equivalents	0	0
Restricted cash and cash equivalents	0	0
Accounts receivable, net	0	0
Receivables from related party	(233)	(249)
Prepaid expenses and other current assets	0	0
Total current assets	(233)	(249)
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	0	0
Franchises	0	0
Customer relationships, net	0	0
Goodwill	0	0
Total investment in cable properties, net	0	0
CC VIII PREFERRED INTEREST	(324)	(304)
INVESTMENT IN SUBSIDIARIES	(11,735)	(12,411)
LOANS RECEIVABLE - RELATED PARTY	(668)	(336)
OTHER NONCURRENT ASSETS	0	0
Total assets	(12,960)	(13,300)
CURRENT LIABILITIES:
Accounts payable and accrued expenses	0	0
Payables to related party	(233)	(249)
Total current liabilities	(233)	(249)
LONG-TERM DEBT	0	0
LOANS PAYABLE - RELATED PARTY	(668)	(336)
DEFERRED INCOME TAXES	0	0
OTHER LONG-TERM LIABILITIES	0	0
Shareholders'/Member's equity	(11,735)	(12,411)
Noncontrolling interest	(324)	(304)
Total shareholders'/member's equity	(12,059)	(12,715)
Total liabilities and shareholders'/member's equity	$ (12,960)	$ (13,300)

XML

Fair Value Measurements (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Value	$ 12,786	$ 12,856
Interest rate derivatives designated as hedges	76	65
Weighted average pay rate for the Company's interest rate swap agreements (in hundredths)	2.25%	2.25%
CCH II debt [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Value		1,692
Fair Value	1,278	1,713
CCO Holdings debt [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Value	6,988	6,241
Fair Value	7,602	6,630
Charter Operating debt [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Value	0	833
Fair Value	0	847
Credit facilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Value	4,501	4,090
Fair Value	$ 4,570	$ 4,193

XML

Accounts Payable and Accrued Expenses (Notes)

6 Months Ended

Jun. 30, 2012

Accounts Payable and Accrued Liabilities, Current [Abstract]

Accounts Payable and Accrued Expenses

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following as of June 30, 2012 and December 31, 2011:

	June 30, 2012		December 31, 2011
Accounts payable – trade	$	155	$	142
Accrued capital expenditures	156		143
Accrued expenses:
Interest	181		191
Programming costs	329		303
Franchise related fees	48		50
Compensation	116		123
Other	209		201
	$	1,194	$	1,153

XML

Condensed Consolidating Statements of Operations (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
REVENUES	$ 1,884	$ 1,791	$ 3,711	$ 3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	831	784	1,645	1,552
Selling, general and administrative	373	343	745	688
Depreciation and amortization	415	393	823	776
Other operating income (expense), net	(4)	1	(1)	6
Total costs and expenses	1,615	1,521	3,212	3,022
Income from operations	269	270	499	539
OTHER INCOME (EXPENSES):
Interest expense, net	(225)	(241)	(462)	(474)
Loss on extinguishment of debt	(59)	(53)	(74)	(120)
Other expense, net	0	(2)	(1)	(2)
Equity in income (loss) of subisidiaries			0	0
Total other income (expense)	(284)	(296)	(537)	(596)
Income (Loss) before income taxes	(15)	(26)	(38)	(57)
Income tax expense	(68)	(81)	(139)	(160)
Consolidated net income (loss)	(83)	(107)	(177)	(217)
Less: Net (income) loss – noncontrolling interest			0	0
Net income (loss)			(177)	(217)
Charter [Member]
REVENUES			13	16
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)			0	0
Selling, general and administrative			13	16
Depreciation and amortization			0	0
Other operating income (expense), net			0	0
Total costs and expenses			13	16
Income from operations			0	0
OTHER INCOME (EXPENSES):
Interest expense, net			0	0
Loss on extinguishment of debt			0	0
Other expense, net			0	0
Equity in income (loss) of subisidiaries			(48)	(63)
Total other income (expense)			(48)	(63)
Income (Loss) before income taxes			(48)	(63)
Income tax expense			(135)	(160)
Consolidated net income (loss)			(183)	(223)
Less: Net (income) loss – noncontrolling interest			6	6
Net income (loss)			(177)	(217)
Intermediate Holding Companies [Member]
REVENUES			75	59
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)			0	0
Selling, general and administrative			75	59
Depreciation and amortization			0	0
Other operating income (expense), net			0	0
Total costs and expenses			75	59
Income from operations			0	0
OTHER INCOME (EXPENSES):
Interest expense, net			1	0
Loss on extinguishment of debt			0	0
Other expense, net			0	0
Equity in income (loss) of subisidiaries			(63)	(79)
Total other income (expense)			(62)	(79)
Income (Loss) before income taxes			(62)	(79)
Income tax expense			0	0
Consolidated net income (loss)			(62)	(79)
Less: Net (income) loss – noncontrolling interest			14	16
Net income (loss)			(48)	(63)
CCH II [Member]
REVENUES			0	0
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)			0	0
Selling, general and administrative			0	0
Depreciation and amortization			0	0
Other operating income (expense), net			0	0
Total costs and expenses			0	0
Income from operations			0	0
OTHER INCOME (EXPENSES):
Interest expense, net			(65)	(96)
Loss on extinguishment of debt			(6)	0
Other expense, net			0	0
Equity in income (loss) of subisidiaries			8	17
Total other income (expense)			(63)	(79)
Income (Loss) before income taxes			(63)	(79)
Income tax expense			0	0
Consolidated net income (loss)			(63)	(79)
Less: Net (income) loss – noncontrolling interest			0	0
Net income (loss)			(63)	(79)
CCO Holdings [Member]
REVENUES			0	0
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)			0	0
Selling, general and administrative			0	0
Depreciation and amortization			0	0
Other operating income (expense), net			0	0
Total costs and expenses			0	0
Income from operations			0	0
OTHER INCOME (EXPENSES):
Interest expense, net			(259)	(169)
Loss on extinguishment of debt			0	0
Other expense, net			0	0
Equity in income (loss) of subisidiaries			267	186
Total other income (expense)			8	17
Income (Loss) before income taxes			8	17
Income tax expense			0	0
Consolidated net income (loss)			8	17
Less: Net (income) loss – noncontrolling interest			0	0
Net income (loss)			8	17
Charter Operating and Subsidiaries [Member]
REVENUES			3,711	3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)			1,645	1,552
Selling, general and administrative			745	688
Depreciation and amortization			823	776
Other operating income (expense), net			(1)	6
Total costs and expenses			3,212	3,022
Income from operations			499	539
OTHER INCOME (EXPENSES):
Interest expense, net			(139)	(209)
Loss on extinguishment of debt			(68)	(120)
Other expense, net			(1)	(2)
Equity in income (loss) of subisidiaries			0	0
Total other income (expense)			(208)	(331)
Income (Loss) before income taxes			291	208
Income tax expense			(4)	0
Consolidated net income (loss)			287	208
Less: Net (income) loss – noncontrolling interest			(20)	(22)
Net income (loss)			267	186
Eliminations [Member]
REVENUES			(88)	(75)
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)			0	0
Selling, general and administrative			(88)	(75)
Depreciation and amortization			0	0
Other operating income (expense), net			0	0
Total costs and expenses			(88)	(75)
Income from operations			0	0
OTHER INCOME (EXPENSES):
Interest expense, net			0	0
Loss on extinguishment of debt			0	0
Other expense, net			0	0
Equity in income (loss) of subisidiaries			(164)	(61)
Total other income (expense)			(164)	(61)
Income (Loss) before income taxes			(164)	(61)
Income tax expense			0	0
Consolidated net income (loss)			(164)	(61)
Less: Net (income) loss – noncontrolling interest			0	0
Net income (loss)			$ (164)	$ (61)

XML

Franchises, Goodwill and Other Intangible Assets Indefinite-Lived Intangible Assets Acquired (Details) (USD $) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2012
Franchises [Member]
Acquired Indefinite-lived Intangible Assets [Line Items]
Indefinite-lived Intangible Assets, Period Increase (Decrease)	$ 1
Goodwill [Member]
Acquired Indefinite-lived Intangible Assets [Line Items]
Indefinite-lived Intangible Assets, Period Increase (Decrease)	$ 1

XML

Franchises, Goodwill and Other Intangible Assets Other Intangibles Assets Amortization Expense (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-lived intangible assets, amortization expense	$ 74	$ 80	$ 148	$ 159

XML

Condensed Consolidating Statements of Comprehensive Income (Loss) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Consolidated net income (loss)	$ (83)	$ (107)	$ (177)	$ (217)
Changes in fair value of interest rate swap agreements, net of tax	(12)	(20)	(11)	(9)
Comprehensive income (loss)	(95)	(127)	(188)	(226)
Charter [Member]
Consolidated net income (loss)			(183)	(223)
Changes in fair value of interest rate swap agreements, net of tax			0	0
Comprehensive income (loss)			(183)	(223)
Intermediate Holding Companies [Member]
Consolidated net income (loss)			(62)	(79)
Changes in fair value of interest rate swap agreements, net of tax			0	0
Comprehensive income (loss)			(62)	(79)
CCH II [Member]
Consolidated net income (loss)			(63)	(79)
Changes in fair value of interest rate swap agreements, net of tax			0	0
Comprehensive income (loss)			(63)	(79)
CCO Holdings [Member]
Consolidated net income (loss)			8	17
Changes in fair value of interest rate swap agreements, net of tax			0	0
Comprehensive income (loss)			8	17
Charter Operating and Subsidiaries [Member]
Consolidated net income (loss)			287	208
Changes in fair value of interest rate swap agreements, net of tax			(11)	(9)
Comprehensive income (loss)			276	199
Eliminations [Member]
Consolidated net income (loss)			(164)	(61)
Changes in fair value of interest rate swap agreements, net of tax			0	0
Comprehensive income (loss)			$ (164)	$ (61)

XML

Franchises, Goodwill and Other Intangible Assets Future Amortization Expense (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Goodwill and Intangible Assets Disclosure [Abstract]
Six months ended December 31, 2012	$ 145
2013	267
2014	240
2015	214
2016	187
Thereafter	577
Net carrying amount	$ 1,630	$ 1,767

XML

Accounts Payable and Accrued Expenses (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Accounts Payable and Accrued Liabilities, Current [Abstract]
Accounts payable - trade	$ 155	$ 142
Accrued capital expenditures	156	143
Accrued expenses:
Interest	181	191
Programming costs	329	303
Franchise related fees	48	50
Compensation	116	123
Other	209	201
Total	$ 1,194	$ 1,153

XML

Franchises, Goodwill and Other Intangible Assets (Notes)

6 Months Ended

Jun. 30, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Franchises, Goodwill and Other Intangible Assets

Franchises, Goodwill and Other Intangible Assets

As of June 30, 2012 and December 31, 2011, indefinite lived and finite-lived intangible assets are presented in the following table:

	June 30, 2012						December 31, 2011
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Indefinite lived intangible assets:
Franchises	$	5,287	$	—	$	5,287	$	5,288	$	—	$	5,288
Goodwill	953		—		953		954		—		954
Trademarks	158		—		158		158		—		158
	$	6,398	$	—	$	6,398	$	6,400	$	—	$	6,400
Finite-lived intangible assets:
Customer relationships	$	2,368	$	806	$	1,562	$	2,368	$	664	$	1,704
Other intangible assets	90		22		68		79		16		63
	$	2,458	$	828	$	1,630	$	2,447	$	680	$	1,767

Amortization expense related to customer relationships and other intangible assets for the three months ended June 30, 2012 and 2011 was $74 million and $80 million, respectively, and for the six months ended June 30, 2012 and 2011 was $148 million and $159 million, respectively. Franchises and goodwill decreased by $1 million and $1 million, respectively, as a result of cable system divestitures completed during the six months ended June 30, 2012.

The Company expects amortization expense on its finite-lived intangible assets will be as follows.

Six months ending December 31, 2012	$	145
2013	267
2014	240
2015	214
2016	187
Thereafter	577
	$	1,630

Actual amortization expense in future periods could differ from these estimates as a result of new intangible asset acquisitions or divestitures, changes in useful lives, impairments and other relevant factors.

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Long-Term Debt (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended				6 Months Ended			1 Months Ended				6 Months Ended																							3 Months Ended				1 Months Ended	6 Months Ended			1 Months Ended					6 Months Ended		6 Months Ended	3 Months Ended	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011	Dec. 31, 2011	Apr. 30, 2012 Term Loan D [Member] LIBOR [Member]	Jun. 30, 2012 CCH II [Member]	Jun. 30, 2011 CCH II [Member]	Dec. 31, 2011 CCH II [Member]	Jan. 31, 2012 CCH II [Member] 13.500% senior notes due November 30, 2016 [Member]	Jun. 30, 2012 CCH II [Member] 13.500% senior notes due November 30, 2016 [Member]	Dec. 31, 2011 CCH II [Member] 13.500% senior notes due November 30, 2016 [Member]	Nov. 30, 2009 CCH II [Member] 13.500% senior notes due November 30, 2016 [Member]	Jun. 30, 2012 CCO Holdings [Member]	Jun. 30, 2011 CCO Holdings [Member]	Dec. 31, 2011 CCO Holdings [Member]	Jun. 30, 2012 CCO Holdings [Member] 7.250% senior notes due October 30, 2017 [Member]	Dec. 31, 2011 CCO Holdings [Member] 7.250% senior notes due October 30, 2017 [Member]	Sep. 30, 2010 CCO Holdings [Member] 7.250% senior notes due October 30, 2017 [Member]	Jun. 30, 2012 CCO Holdings [Member] 7.875% senior notes due April 30, 2018 [Member]	Dec. 31, 2011 CCO Holdings [Member] 7.875% senior notes due April 30, 2018 [Member]	Apr. 30, 2010 CCO Holdings [Member] 7.875% senior notes due April 30, 2018 [Member]	Jun. 30, 2012 CCO Holdings [Member] 7.000% senior notes due January 15, 2019 [Member]	Dec. 31, 2011 CCO Holdings [Member] 7.000% senior notes due January 15, 2019 [Member]	Jan. 31, 2011 CCO Holdings [Member] 7.000% senior notes due January 15, 2019 [Member]	Jun. 30, 2012 CCO Holdings [Member] 8.125% senior notes due April 30, 2020 [Member]	Dec. 31, 2011 CCO Holdings [Member] 8.125% senior notes due April 30, 2020 [Member]	Apr. 30, 2010 CCO Holdings [Member] 8.125% senior notes due April 30, 2020 [Member]	Jun. 30, 2012 CCO Holdings [Member] 7.375% senior notes due June 1, 2020 [Member]	Dec. 31, 2011 CCO Holdings [Member] 7.375% senior notes due June 1, 2020 [Member]	Jun. 30, 2012 CCO Holdings [Member] 6.500% senior notes due April 30, 2021 [Member]	Dec. 31, 2011 CCO Holdings [Member] 6.500% senior notes due April 30, 2021 [Member]	May 31, 2011 CCO Holdings [Member] 6.500% senior notes due April 30, 2021 [Member]	Jun. 30, 2012 CCO Holdings [Member] 6.625% senior notes due January 31, 2022 [Member]	Jan. 31, 2012 CCO Holdings [Member] 6.625% senior notes due January 31, 2022 [Member]	Dec. 31, 2011 CCO Holdings [Member] 6.625% senior notes due January 31, 2022 [Member]	Jun. 30, 2012 CCO Holdings [Member] Credit facility due September 6, 2014 [Member]	Mar. 31, 2012 CCO Holdings [Member] Credit facility due September 6, 2014 [Member]	Dec. 31, 2011 CCO Holdings [Member] Credit facility due September 6, 2014 [Member]	Jun. 30, 2012 Charter Operating [Member]	Jan. 31, 2012 Charter Operating [Member] 8.000% senior second-lien notes due April 30, 2012 [Member]	Jun. 30, 2012 Charter Operating [Member] 8.000% senior second-lien notes due April 30, 2012 [Member]	Dec. 31, 2011 Charter Operating [Member] 8.000% senior second-lien notes due April 30, 2012 [Member]	Apr. 30, 2004 Charter Operating [Member] 8.000% senior second-lien notes due April 30, 2012 [Member]	Mar. 31, 2012 Charter Operating [Member] 10.875% senior second lien notes due September 15, 2014 [Member]	Jan. 31, 2012 Charter Operating [Member] 10.875% senior second lien notes due September 15, 2014 [Member]	Jun. 30, 2012 Charter Operating [Member] 10.875% senior second lien notes due September 15, 2014 [Member]	Dec. 31, 2011 Charter Operating [Member] 10.875% senior second lien notes due September 15, 2014 [Member]	Mar. 31, 2008 Charter Operating [Member] 10.875% senior second lien notes due September 15, 2014 [Member]	Jun. 30, 2012 Charter Operating [Member] Credit facilities [Member]	Dec. 31, 2011 Charter Operating [Member] Credit facilities [Member]	Jun. 30, 2011 Charter Operating [Member] Credit facilities [Member] January 2011 [Member]	Jun. 30, 2011 Charter Operating [Member] Credit facilities [Member] May 2011 [Member]	Jun. 30, 2011 Charter Operating [Member] Credit facilities [Member] May 2011 [Member]	Jan. 31, 2012 Charter Operating [Member] Term Loan A [Member]	Apr. 30, 2012 Charter Operating [Member] Term Loan D [Member]	Apr. 30, 2012 Charter Operating [Member] Revolving credit facility due 2015 [Member]	Apr. 30, 2012 Charter Operating [Member] Revolving credit facility due 2017 [Member]	Apr. 30, 2012 Charter Operating [Member] Revolving credit facility due 2017 [Member] LIBOR [Member]
Debt Instrument [Line Items]
Principal Amount, senior notes	$ 12,804		$ 12,804		$ 12,821						$ 1,146	$ 1,480					$ 1,000	$ 1,000		$ 900	$ 900		$ 1,400	$ 1,400	$ 1,400	$ 700	$ 700		$ 750	$ 750	$ 1,500	$ 1,500	$ 1,500	$ 750	$ 750	$ 0						$ 0	$ 500				$ 0	$ 312
Accreted Value	12,786		12,786		12,856		1,297		1,692		1,297	1,692		7,320		6,567	1,000	1,000		900	900		1,392	1,391		700	700		750	750	1,500	1,500		746		0	332		326			0	502				0	331		4,169	3,764
Principal Amount, credit facilities																																					350		350											4,308	3,929
Credit Facility Availability																																																		756					500
Debt Instrument, Interest Rate, Stated Percentage													13.50%						7.25%			7.875%			7.00%			8.125%		7.375%			6.50%		6.625%									8.00%					10.875%
Debt Instrument, Discount, Percentage of Principal																																			99.50%																					99.50%
Loss on extinguishment of debt	59	53	74	120			6	0						0	0																											15								59		67	53	53
Extinguishment of Debt, Amount										334																															300				18	294
Line of Credit Facility, Maximum Borrowing Capacity																																																								$ 750	$ 1,300	$ 1,150
Debt Instrument, Basis Spread on Variable Rate						3.00%																																																					2.25%
debt instrument leverage ratio																																								3.5
Debt Instrument, Interest Rate, Libor Floor						1.00%
Change of control threshold for voting stock in event of debt default																																					50.00%	35.00%

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Contingencies (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011	Oct. 02, 2007 Convertible Debt [Member]
Loss Contingencies [Line Items]
Principal Amount	$ 12,804	$ 12,821	$ 479
Stated interest rate, percentage			6.50%

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CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
CURRENT ASSETS:
Cash and cash equivalents	$ 5	$ 2
Restricted cash and cash equivalents	27	27
Accounts receivable, less allowance for doubtful accounts of $17 and $16, respectively	256	272
Prepaid expenses and other current assets	79	69
Total current assets	367	370
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net of accumulated depreciation of $2,996 and $2,364, respectively	7,024	6,897
Franchises	5,287	5,288
Customer relationships, net	1,562	1,704
Goodwill	953	954
Total investment in cable properties, net	14,826	14,843
OTHER NONCURRENT ASSETS	360	392
Total assets	15,553	15,605
CURRENT LIABILITIES:
Accounts payable and accrued expenses	1,194	1,153
Total current liabilities	1,194	1,153
LONG-TERM DEBT	12,786	12,856
DEFERRED INCOME TAXES	987	847
OTHER LONG-TERM LIABILITIES	342	340
SHAREHOLDERS' EQUITY:
Preferred stock; $.001 par value; 250 million shares authorized; no non-redeemable shares issued and outstanding	0	0
Additional paid-in capital	1,582	1,556
Accumulated deficit	(1,261)	(1,082)
Treasury stock at cost; 10,924 and 0 shares, respectively	(1)	0
Accumulated other comprehensive loss	(76)	(65)
Total shareholders' equity	244	409
Total liabilities and shareholders' equity	15,553	15,605
Class A Common Stock [Member]
SHAREHOLDERS' EQUITY:
Common stock	0	0
Class B Common Stock [Member]
SHAREHOLDERS' EQUITY:
Common stock	$ 0	$ 0

XML

Condensed Consolidating Statements of Cash Flows (Details) (USD $) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$ (177)	$ (217)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	823	776
Noncash interest expense	24	20
Loss on extinguishment of debt	74	120
Deferred income taxes	136	155
Equity in (income) losses of subisidiaries	0	0
Other, net	11	16
Changes in operating assets and liabilities:
Accounts receivable	16	5
Prepaid expenses and other assets	(11)	(6)
Accounts payable, accrued expenses and other	27	38
Receivables from and payables to related parties	0	0
Net cash flows from operating activities	923	907
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	(808)	(680)
Change in accrued expenses related to capital expenditures	13	0
Contribution to subsidiary	0	0
Distributions from subsidiary	0	0
Other, net	10	(14)
Net cash flows from investing activities	(785)	(694)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	2,817	3,561
Repayments of long-term debt	(2,919)	(3,366)
Borrowings (payments) loans payable - related parties	0
Payments for debt issuance costs	(24)	(43)
Purchase of treasury stock	(4)	(207)
Contributions from parent	0	0
Distributions to parent	0	0
Other, net	(5)	4
Net cash flows from financing activities	(135)	(51)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	3	162
CASH AND CASH EQUIVALENTS, beginning of period	29	32
CASH AND CASH EQUIVALENTS, end of period	32	194
Charter [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	(183)	(223)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	0	0
Noncash interest expense	0	0
Loss on extinguishment of debt	0	0
Deferred income taxes	134	159
Equity in (income) losses of subisidiaries	48	63
Other, net	0	0
Changes in operating assets and liabilities:
Accounts receivable	0	0
Prepaid expenses and other assets	1	0
Accounts payable, accrued expenses and other	(2)	(3)
Receivables from and payables to related parties	2	4
Net cash flows from operating activities	0	0
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	0	0
Change in accrued expenses related to capital expenditures	0
Contribution to subsidiary	0	0
Distributions from subsidiary	3	206
Other, net	0	0
Net cash flows from investing activities	3	206
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	0	0
Repayments of long-term debt	0	0
Borrowings (payments) loans payable - related parties	0
Payments for debt issuance costs	0	0
Purchase of treasury stock	(4)	(207)
Contributions from parent	0	0
Distributions to parent	0	0
Other, net	4	4
Net cash flows from financing activities	0	(203)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	3	3
CASH AND CASH EQUIVALENTS, beginning of period	0	0
CASH AND CASH EQUIVALENTS, end of period	3	3
Intermediate Holding Companies [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	(62)	(79)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	0	0
Noncash interest expense	0	0
Loss on extinguishment of debt	0	0
Deferred income taxes	0	0
Equity in (income) losses of subisidiaries	63	79
Other, net	2	1
Changes in operating assets and liabilities:
Accounts receivable	1	1
Prepaid expenses and other assets	10	(2)
Accounts payable, accrued expenses and other	(44)	(22)
Receivables from and payables to related parties	31	30
Net cash flows from operating activities	1	8
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	0	0
Change in accrued expenses related to capital expenditures	0
Contribution to subsidiary	0	0
Distributions from subsidiary	15	1,030
Other, net	1	0
Net cash flows from investing activities	16	1,030
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	0	0
Repayments of long-term debt	0	0
Borrowings (payments) loans payable - related parties	0
Payments for debt issuance costs	0	0
Purchase of treasury stock	0	0
Contributions from parent	0	0
Distributions to parent	(15)	(1,030)
Other, net	(2)	0
Net cash flows from financing activities	(17)	(1,030)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	0	8
CASH AND CASH EQUIVALENTS, beginning of period	0	0
CASH AND CASH EQUIVALENTS, end of period	0	8
CCH II [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	(63)	(79)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	0	0
Noncash interest expense	(14)	(19)
Loss on extinguishment of debt	6	0
Deferred income taxes	0	0
Equity in (income) losses of subisidiaries	(8)	(17)
Other, net	0	0
Changes in operating assets and liabilities:
Accounts receivable	0	0
Prepaid expenses and other assets	0	0
Accounts payable, accrued expenses and other	(17)	0
Receivables from and payables to related parties	(4)	(4)
Net cash flows from operating activities	(100)	(119)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	0	0
Change in accrued expenses related to capital expenditures	0
Contribution to subsidiary	0	0
Distributions from subsidiary	489	322
Other, net	0	0
Net cash flows from investing activities	489	322
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	0	0
Repayments of long-term debt	(386)	0
Borrowings (payments) loans payable - related parties	0
Payments for debt issuance costs	0	0
Purchase of treasury stock	0	0
Contributions from parent	0	0
Distributions to parent	(3)	(206)
Other, net	0
Net cash flows from financing activities	(389)	(206)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	0	(3)
CASH AND CASH EQUIVALENTS, beginning of period	0	3
CASH AND CASH EQUIVALENTS, end of period	0	0
CCO Holdings [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	8	17
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	0	0
Noncash interest expense	12	10
Loss on extinguishment of debt	0	0
Deferred income taxes	0	0
Equity in (income) losses of subisidiaries	(267)	(186)
Other, net	(1)	0
Changes in operating assets and liabilities:
Accounts receivable	0	0
Prepaid expenses and other assets	0	0
Accounts payable, accrued expenses and other	23	55
Receivables from and payables to related parties	(4)	(4)
Net cash flows from operating activities	(229)	(108)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	0	0
Change in accrued expenses related to capital expenditures	0
Contribution to subsidiary	(419)	(2,647)
Distributions from subsidiary	715	231
Other, net	0	0
Net cash flows from investing activities	296	(2,416)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	746	2,890
Repayments of long-term debt	0	0
Borrowings (payments) loans payable - related parties	(314)
Payments for debt issuance costs	(10)	(43)
Purchase of treasury stock	0	0
Contributions from parent	0	0
Distributions to parent	(489)	(322)
Other, net	0	0
Net cash flows from financing activities	(67)	2,525
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	0	1
CASH AND CASH EQUIVALENTS, beginning of period	2	1
CASH AND CASH EQUIVALENTS, end of period	2	2
Charter Operating and Subsidiaries [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	287	208
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	823	776
Noncash interest expense	26	29
Loss on extinguishment of debt	68	120
Deferred income taxes	2	(4)
Equity in (income) losses of subisidiaries	0	0
Other, net	10	(15)
Changes in operating assets and liabilities:
Accounts receivable	15	4
Prepaid expenses and other assets	(22)	(4)
Accounts payable, accrued expenses and other	67	8
Receivables from and payables to related parties	(25)	(26)
Net cash flows from operating activities	1,251	1,126
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	(808)	(680)
Change in accrued expenses related to capital expenditures	13
Contribution to subsidiary	0	0
Distributions from subsidiary	0	0
Other, net	9	(14)
Net cash flows from investing activities	(786)	(694)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	2,071	671
Repayments of long-term debt	(2,533)	(3,366)
Borrowings (payments) loans payable - related parties	314
Payments for debt issuance costs	(14)	0
Purchase of treasury stock	0	0
Contributions from parent	419	2,647
Distributions to parent	(715)	(231)
Other, net	(7)	0
Net cash flows from financing activities	(465)	(279)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	0	153
CASH AND CASH EQUIVALENTS, beginning of period	27	28
CASH AND CASH EQUIVALENTS, end of period	27	181
Eliminations [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	(164)	(61)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	0	0
Noncash interest expense	0	0
Loss on extinguishment of debt	0	0
Deferred income taxes	0	0
Equity in (income) losses of subisidiaries	164	61
Other, net	0	0
Changes in operating assets and liabilities:
Accounts receivable	0	0
Prepaid expenses and other assets	0	0
Accounts payable, accrued expenses and other	0	0
Receivables from and payables to related parties	0	0
Net cash flows from operating activities	0	0
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	0	0
Change in accrued expenses related to capital expenditures	0
Contribution to subsidiary	419	2,647
Distributions from subsidiary	(1,222)	(1,789)
Other, net	0	0
Net cash flows from investing activities	(803)	858
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	0	0
Repayments of long-term debt	0	0
Borrowings (payments) loans payable - related parties	0
Payments for debt issuance costs	0	0
Purchase of treasury stock	0	0
Contributions from parent	(419)	(2,647)
Distributions to parent	1,222	1,789
Other, net	0	0
Net cash flows from financing activities	803	(858)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	0	0
CASH AND CASH EQUIVALENTS, beginning of period	0	0
CASH AND CASH EQUIVALENTS, end of period	$ 0	$ 0

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011
CASH FLOWS FROM OPERATING ACTIVITIES [Abstract]
Net loss	$ (177)	$ (217)
Adjustments to reconcile net loss to net cash flows from operating activities:
Depreciation and amortization	823	776
Noncash interest expense	24	20
Loss on extinguishment of debt	74	120
Deferred income taxes	136	155
Other, net	11	16
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	16	5
Prepaid expenses and other assets	(11)	(6)
Accounts payable, accrued expenses and other	27	38
Net cash flows from operating activities	923	907
CASH FLOWS FROM INVESTING ACTIVITIES [Abstract]
Purchases of property, plant and equipment	(808)	(680)
Change in accrued expenses related to capital expenditures	13	0
Other, net	10	(14)
Net cash flows from investing activities	(785)	(694)
CASH FLOWS FROM FINANCING ACTIVITIES [Abstract]
Borrowings of long-term debt	2,817	3,561
Repayments of long-term debt	(2,919)	(3,366)
Payments for debt issuance costs	(24)	(43)
Purchase of treasury stock	(4)	(207)
Other, net	(5)	4
Net cash flows from financing activities	(135)	(51)
NET INCREASE IN CASH AND CASH EQUIVALENTS	3	162
CASH AND CASH EQUIVALENTS, beginning of period	29	32
CASH AND CASH EQUIVALENTS, end of period	32	194
Cash Paid for Interest	$ 448	$ 402

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Accounting for Derivative Instruments and Hedging Activities Derivative instruments effect on the Company's consolidated statement of operations (Details) (Interest Rate Swap [Member], Cash Flow Hedging [Member], USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Interest Expense [Member]
Derivatives, Fair Value [Line Items]
Amount of gain (loss) reclassified from accumulated other comprehensive loss into interest expense or reorganization items, net	$ (9)	$ (10)	$ (17)	$ (20)
Other Comprehensive Income (Loss) [Member]
Derivatives, Fair Value [Line Items]
Loss on interest rate derivatives designated as hedges (effective portion)	$ (12)	$ (20)	$ (11)	$ (9)

XML

Accounting for Derivative Instruments and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of derivative instruments effect on the Company's consolidated balance sheet

The effect of derivative instruments on the Company’s condensed consolidated balance sheets is presented in the table below:

	June 30, 2012			December 31, 2011
Other long-term liabilities:
Fair value of interest rate derivatives designated as hedges	$	76		$	65
Accumulated other comprehensive loss:
Interest rate derivatives designated as hedges	$	(76	)	$	(65	)

Schedule of derivative instruments effect on the Company's consolidated statements of operations

The effects of derivative instruments on the Company’s condensed consolidated statements of comprehensive loss and condensed consolidated statements of operations is presented in the table below.

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Other comprehensive loss:
Loss on interest rate derivatives designated as hedges (effective portion)	$	(12	)	$	(20	)	(11		)	(9		)
Net loss:
Amount of loss reclassified from accumulated other comprehensive loss into interest expense	$	(9	)	$	(10	)	$	(17	)	$	(20	)

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Accounting for Derivative Instruments and Hedging Activities (Details) (USD $) In Billions, unless otherwise specified	Jun. 30, 2012	Apr. 30, 2012	Dec. 31, 2011
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Notional amount of interest rate cash flow hedge derivative	$ 3.1	$ 1.1	$ 2.0
Effective portion of notional amount of interest rate cash flow hedge derivative	$ 2.0

XML

Other Operating (Income) Expenses, Net (Tables)

6 Months Ended

Jun. 30, 2012

Other Cost and Expense Disclosure, Operating [Abstract]

Schedule of other operating (income) expenses

Other operating (income) expenses, net consist of the following for the years presented:

	Three Months Ended June 30,					Six Months Ended June 30,
	2012			2011		2012			2011
Gain on sale of assets, net	$	(14	)	$	—	$	(13	)	$	—
Special charges, net	10			1		12			6
	$	(4	)	$	1	$	(1	)	$	6

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Organization and Basis of Presentation (Notes)

6 Months Ended

Jun. 30, 2012

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization and Basis of Presentation

Organization and Basis of Presentation

Organization

Charter Communications, Inc. (“Charter”) is a holding company whose principal asset is a 100% common equity interest in Charter Communications Holding Company, LLC (“Charter Holdco”). Charter owns cable systems through its subsidiaries, which are collectively, with Charter, referred to herein as the “Company.” All significant intercompany accounts and transactions among consolidated entities have been eliminated.

The Company is a cable operator providing services in the United States. The Company offers to residential and commercial customers traditional cable video programming (basic and digital video), Internet services, and telephone services, as well as advanced video services such as Charter OnDemand™, high definition television, and digital video recorder (“DVR”) service. The Company sells its cable video programming, Internet, telephone, and advanced video services primarily on a subscription basis. The Company also sells local advertising on cable networks and on the Internet and provides fiber connectivity to cellular towers.

Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures typically included in Charter's Annual Report on Form 10-K have been condensed or omitted for this quarterly report. The accompanying condensed consolidated financial statements are unaudited and are subject to review by regulatory authorities. However, in the opinion of management, such financial statements include all adjustments, which consist of only normal recurring adjustments, necessary for a fair presentation of the results for the periods presented. Interim results are not necessarily indicative of results for a full year.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Areas involving significant judgments and estimates include capitalization of labor and overhead costs; depreciation and amortization costs; impairments of property, plant and equipment, intangibles and goodwill; income taxes; contingencies and programming expense. Actual results could differ from those estimates.

Certain prior year amounts have been reclassified to conform with the 2012 presentation.

Restricted cash and cash equivalents on the accompanying condensed consolidated balance sheets consist of amounts held in an escrow account pending final resolution from the Bankruptcy Court. Restricted cash is included in cash and cash equivalents on the accompanying condensed consolidated statements of cash flows.  See Note 10.

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CONDENSED CONSOLIDATED BALANCE SHEET (PARENTHETICALS) (USD $) In Millions, except Share data, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Allowance for doubtful accounts	$ 17	$ 16
Accumulated depreciation, property, plant and equipment	$ 2,996	$ 2,364
Preferred Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred Stock, shares authorized (in shares)	250,000,000	250,000,000
Preferred Stock, shares issued (in shares)	0	0
Preferred Stock, shares outstanding (in shares)	0	0
Treasury Stock, shares (in shares)	10,924	0
Class A Common Stock [Member]
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares authorized (in shares)	900,000,000	900,000,000
Common Stock, shares issued (in shares)	100,795,123	100,570,418
Class B Common Stock [Member]
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares authorized (in shares)	25,000,000	25,000,000
Common Stock, shares issued (in shares)	0	0
Common Stock, shares outstanding (in shares)	0	0

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Stock Compensation Plans (Notes)

3 Months Ended

Mar. 31, 2012

Share-based Compensation [Abstract]

Stock Compensation Plans

Stock Compensation Plans

Charter’s 2009 Stock Incentive Plan provides for grants of nonqualified stock options, incentive stock options, stock appreciation rights, dividend equivalent rights, performance units and performance shares, share awards, phantom stock, restricted stock units and restricted stock.  Directors, officers and other employees of the Company and its subsidiaries, as well as others performing consulting services for the Company, are eligible for grants under the 2009 Stock Incentive Plan.

During the three and six months ended June 30, 2012, the Company granted 243,832 shares of restricted stock. During the three and six months ended June 30, 2011, the Company granted 17,600 and 30,100 shares of restricted stock, respectively. Restricted stock vests annually over a one to four-year period beginning from the date of grant. During the three and six months ended June 30, 2012, the Company granted 447,700 and 453,700 stock options, respectively. During the three and six months ended June 30, 2011, the Company granted 2 million stock options. Stock options generally vest annually over four years from either the grant date or delayed vesting commencement dates. A portion of stock options and restricted stock vest based on achievement of stock price hurdles. Stock options generally expire ten years from the grant date. During the three and six months ended June 30, 2012, the Company granted 46,900 and 62,400 restricted stock units, respectively. During the three and six months ended June 30, 2011, the Company granted 230,500 restricted stock units. Restricted stock units have no voting rights and vest ratably over four years from either the grant date or delayed vesting commencement dates. As of June 30, 2012, total unrecognized compensation remaining to be recognized in future periods totaled $45 million for restricted stock, $53 million for stock options and $14 million for restricted stock units and the weighted average period over which it is expected to be recognized is three years for restricted stock and stock options and four years for restricted stock units.

The Company recorded $13 million and $24 million of stock compensation expense for the three and six months ended June 30, 2012, respectively, and $9 million and $16 million of stock compensation expense for the three and six months ended June 30, 2011, respectively, which is included in selling, general, and administrative expense and other operating expenses, net.

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Document And Entity Information (USD $) In Billions, except Share data, unless otherwise specified	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011
Entity Information [Line Items]
Entity Registrant Name	CHARTER COMMUNICATIONS, INC. /MO/
Entity Central Index Key	0001091667
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2012
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Common Stock, Shares Outstanding	100,784,199
Entity Public Float		$ 2.6

XML

Consolidating Schedules (Notes)

6 Months Ended

Jun. 30, 2012

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Consolidating Financial Statements

Consolidating Schedules

The CCO Holdings notes and the CCO Holdings credit facility are obligations of CCO Holdings. The CCH II notes are obligations of CCH II. However, these notes of CCO Holdings and CCH II are also jointly, severally, fully and unconditionally guaranteed on an unsecured senior basis by Charter. 

The accompanying condensed consolidating financial information has been prepared and presented pursuant to SEC Regulation S-X Rule 3-10, Financial Statements of Guarantors and Affiliates Whose Securities Collateralize an Issue Registered or Being Registered. This information is not intended to present the financial position, results of operations and cash flows of the individual companies or groups of companies in accordance with generally accepted accounting principles.

Condensed consolidating financial statements as of June 30, 2012 and December 31, 2011 and for the six months ended June 30, 2012 and 2011 follow.

Charter Communications, Inc.
Condensed Consolidating Balance Sheet
As of June 30, 2012
	Charter		Intermediate Holding Companies		CCH II		CCO Holdings		Charter Operating and Subsidiaries		Eliminations			Charter Consolidated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	3	$	—	$	—	$	2	$	—	$	—		$	5
Restricted cash and cash equivalents	—		—		—		—		27		—			27
Accounts receivable, net	—		3		—		—		253		—			256
Receivables from related party	80		146		4		3		—		(233		)	—
Prepaid expenses and other current assets	21		11		—		—		47		—			79
Total current assets	104		160		4		5		327		(233		)	367
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	—		32		—		—		6,992		—			7,024
Franchises	—		—		—		—		5,287		—			5,287
Customer relationships, net	—		—		—		—		1,562		—			1,562
Goodwill	—		—		—		—		953		—			953
Total investment in cable properties, net	—		32		—		—		14,794		—			14,826
CC VIII PREFERRED INTEREST	97		227		—		—		—		(324		)	—
INVESTMENT IN SUBSIDIARIES	1,039		514		1,600		8,582		—		(11,735		)	—
LOANS RECEIVABLE – RELATED PARTY	—		44		265		359		—		(668		)	—
OTHER NONCURRENT ASSETS	—		158		—		95		107		—			360
Total assets	$	1,240	$	1,135	$	1,869	$	9,041	$	15,228	$	(12,960	)	$	15,553
LIABILITIES AND SHAREHOLDERS’/MEMBER’S EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	9	$	92	$	58	$	121	$	914	$	—		$	1,194
Payables to related party	—		—		—		—		233		(233		)	—
Total current liabilities	9		92		58		121		1,147		(233		)	1,194
LONG-TERM DEBT	—		—		1,297		7,320		4,169		—			12,786
LOANS PAYABLE – RELATED PARTY	—		—		—		—		668		(668		)	—
DEFERRED INCOME TAXES	763		—		—		—		224		—			987
OTHER LONG-TERM LIABILITIES	224		4		—		—		114		—			342
Shareholders’/Member’s equity	244		1,039		514		1,600		8,582		(11,735		)	244
Noncontrolling interest	—		—		—		—		324		(324		)	—
Total shareholders’/member’s equity	244		1,039		514		1,600		8,906		(12,059		)	244
Total liabilities and shareholders’/member’s equity	$	1,240	$	1,135	$	1,869	$	9,041	$	15,228	$	(12,960	)	$	15,553

Charter Communications, Inc.
Condensed Consolidating Balance Sheet
As of December 31, 2011
	Charter		Intermediate Holding Companies		CCH II		CCO Holdings		Charter Operating and Subsidiaries		Eliminations			Charter Consolidated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	—	$	—	$	—	$	2	$	—	$	—		$	2
Restricted cash and cash equivalents	—		—		—		—		27		—			27
Accounts receivable, net	—		4		—		—		268		—			272
Receivables from related party	58		176		8		7		—		(249		)	—
Prepaid expenses and other current assets	21		21		—		—		27		—			69
Total current assets	79		201		8		9		322		(249		)	370
INVESTMENT IN CABLE PROPERTIES:
Property, plant and equipment, net	—		33		—		—		6,864		—			6,897
Franchises	—		—		—		—		5,288		—			5,288
Customer relationships, net	—		—		—		—		1,704		—			1,704
Goodwill	—		—		—		—		954		—			954
Total investment in cable properties, net	—		33		—		—		14,810		—			14,843
CC VIII PREFERRED INTEREST	91		213		—		—		—		(304		)	—
INVESTMENT IN SUBSIDIARIES	1,102		592		2,094		8,623		—		(12,411		)	—
LOANS RECEIVABLE – RELATED PARTY	—		43		256		37		—		(336		)	—
OTHER NONCURRENT ASSETS	—		158		—		90		144		—			392
Total assets	$	1,272	$	1,240	$	2,358	$	8,759	$	15,276	$	(13,300	)	$	15,605
LIABILITIES AND SHAREHOLDERS’/MEMBER’S EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	12	$	134	$	74	$	98	$	835	$	—		$	1,153
Payables to related party	—		—		—		—		249		(249		)	—
Total current liabilities	12		134		74		98		1,084		(249		)	1,153
LONG-TERM DEBT	—		—		1,692		6,567		4,597		—			12,856
LOANS PAYABLE – RELATED PARTY	—		—		—		—		336		(336		)	—
DEFERRED INCOME TAXES	624		—		—		—		223		—			847
OTHER LONG-TERM LIABILITIES	227		4		—		—		109		—			340
Shareholders’/Member’s equity	409		1,102		592		2,094		8,623		(12,411		)	409
Noncontrolling interest	—		—		—		—		304		(304		)	—
Total shareholders’/member’s equity	409		1,102		592		2,094		8,927		(12,715		)	409
Total liabilities and shareholders’/member’s equity	$	1,272	$	1,240	$	2,358	$	8,759	$	15,276	$	(13,300	)	$	15,605

Charter Communications, Inc.
Condensed Consolidating Statement of Operations
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
REVENUES	$	13		$	75		$	—		$	—		$	3,711		$	(88	)	$	3,711
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	—			—			—			—			1,645			—			1,645
Selling, general and administrative	13			75			—			—			745			(88		)	745
Depreciation and amortization	—			—			—			—			823			—			823
Other operating income, net	—			—			—			—			(1		)	—			(1		)
	13			75			—			—			3,212			(88		)	3,212
Income from operations	—			—			—			—			499			—			499
OTHER INCOME AND (EXPENSES):
Interest expense, net	—			1			(65		)	(259		)	(139		)	—			(462		)
Loss on extinguishment of debt	—			—			(6		)	—			(68		)	—			(74		)
Other expense, net	—			—			—			—			(1		)	—			(1		)
Equity in income (loss) of subsidiaries	(48		)	(63		)	8			267			—			(164		)	—
	(48		)	(62		)	(63		)	8			(208		)	(164		)	(537		)
Income (loss) before income taxes	(48		)	(62		)	(63		)	8			291			(164		)	(38		)
INCOME TAX EXPENSE	(135		)	—			—			—			(4		)	—			(139		)
Consolidated net income (loss)	(183		)	(62		)	(63		)	8			287			(164		)	(177		)
Less: Net (income) loss – noncontrolling interest	6			14			—			—			(20		)	—			—
Net income (loss)	$	(177	)	$	(48	)	$	(63	)	$	8		$	267		$	(164	)	$	(177	)

Charter Communications, Inc.
Condensed Consolidating Statement of Operations
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
REVENUES	$	16		$	59		$	—		$	—		$	3,561		$	(75	)	$	3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	—			—			—			—			1,552			—			1,552
Selling, general and administrative	16			59			—			—			688			(75		)	688
Depreciation and amortization	—			—			—			—			776			—			776
Other operating expenses, net	—			—			—			—			6			—			6
	16			59			—			—			3,022			(75		)	3,022
Income from operations	—			—			—			—			539			—			539
OTHER INCOME AND (EXPENSES):
Interest expense, net	—			—			(96		)	(169		)	(209		)	—			(474		)
Loss on extinguishment of debt	—			—			—			—			(120		)	—			(120		)
Other expense, net	—			—			—			—			(2		)	—			(2		)
Equity in income (loss) of subsidiaries	(63		)	(79		)	17			186			—			(61		)	—
	(63		)	(79		)	(79		)	17			(331		)	(61		)	(596		)
Income (loss) before income taxes	(63		)	(79		)	(79		)	17			208			(61		)	(57		)
INCOME TAX EXPENSE	(160		)	—			—			—			—			—			(160		)
Consolidated net income (loss)	(223		)	(79		)	(79		)	17			208			(61		)	(217		)
Less: Net (income) loss – noncontrolling interest	6			16			—			—			(22		)	—			—
Net income (loss)	$	(217	)	$	(63	)	$	(79	)	$	17		$	186		$	(61	)	$	(217	)

Charter Communications, Inc.
Condensed Consolidating Statement of Comprehensive Income (Loss)
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings		Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
Consolidated net income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8	$	287		$	(164	)	$	(177	)
Changes in fair value of interest rate swap agreements, net of tax	—			—			—			—		(11		)	—			(11		)
Comprehensive income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8	$	276		$	(164	)	$	(188	)

Charter Communications, Inc.
Condensed Consolidating Statement of Comprehensive Income (Loss)
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings		Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
Consolidated net income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17	$	208		$	(61	)	$	(217	)
Changes in fair value of interest rate swap agreements, net of tax	—			—			—			—		(9		)	—			(9		)
Comprehensive income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17	$	199		$	(61	)	$	(226	)

Charter Communications, Inc.
Condensed Consolidating Statement of Cash Flows
For the six months ended June 30, 2012
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(183	)	$	(62	)	$	(63	)	$	8		$	287		$	(164	)	$	(177	)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	—			—			—			—			823			—			823
Noncash interest expense	—			—			(14		)	12			26			—			24
Loss on extinguishment of debt	—			—			6			—			68			—			74
Deferred income taxes	134			—			—			—			2			—			136
Equity in (income) losses of subsidiaries	48			63			(8		)	(267		)	—			164			—
Other, net	—			2			—			(1		)	10			—			11
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	—			1			—			—			15			—			16
Prepaid expenses and other assets	1			10			—			—			(22		)	—			(11		)
Accounts payable, accrued expenses and other	(2		)	(44		)	(17		)	23			67			—			27
Receivables from and payables to related party	2			31			(4		)	(4		)	(25		)	—			—
Net cash flows from operating activities	—			1			(100		)	(229		)	1,251			—			923
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			—			—			—			(808		)	—			(808		)
Change in accrued expenses related to capital expenditures	—			—			—			—			13			—			13
Contribution to subsidiary	—			—			—			(419		)	—			419			—
Distributions from subsidiary	3			15			489			715			—			(1,222		)	—
Other, net	—			1			—			—			9			—			10
Net cash flows from investing activities	3			16			489			296			(786		)	(803		)	(785		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	—			—			—			746			2,071			—			2,817
Repayments of long-term debt	—			—			(386		)	—			(2,533		)	—			(2,919		)
Borrowings (payments) loans payable - related parties	—			—			—			(314		)	314			—			—
Payment for debt issuance costs	—			—			—			(10		)	(14		)	—			(24		)
Purchase of treasury stock	(4		)	—			—			—			—			—			(4		)
Contributions from parent	—			—			—			—			419			(419		)	—
Distributions to parent	—			(15		)	(3		)	(489		)	(715		)	1,222			—
Other, net	4			(2		)	—			—			(7		)	—			(5		)
Net cash flows from financing activities	—			(17		)	(389		)	(67		)	(465		)	803			(135		)
NET INCREASE IN CASH AND CASH EQUIVALENTS	3			—			—			—			—			—			3
CASH AND CASH EQUIVALENTS, beginning of period	—			—			—			2			27			—			29
CASH AND CASH EQUIVALENTS, end of period	$	3		$	—		$	—		$	2		$	27		$	—		$	32

Charter Communications, Inc.
Condensed Consolidating Statement of Cash Flows
For the six months ended June 30, 2011
	Charter			Intermediate Holding Companies			CCH II			CCO Holdings			Charter Operating and Subsidiaries			Eliminations			Charter Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(223	)	$	(79	)	$	(79	)	$	17		$	208		$	(61	)	$	(217	)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization	—			—			—			—			776			—			776
Noncash interest expense	—			—			(19		)	10			29			—			20
Loss on extinguishment of debt	—			—			—			—			120			—			120
Deferred income taxes	159			—			—			—			(4		)	—			155
Equity in (income) losses of subsidiaries	63			79			(17		)	(186		)	—			61			—
Other, net	—			1			—			—			15			—			16
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions:
Accounts receivable	—			1			—			—			4			—			5
Prepaid expenses and other assets	—			(2		)	—			—			(4		)	—			(6		)
Accounts payable, accrued expenses and other	(3		)	(22		)	—			55			8			—			38
Receivables from and payables to related party	4			30			(4		)	(4		)	(26		)	—			—
Net cash flows from operating activities	—			8			(119		)	(108		)	1,126			—			907
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			—			—			—			(680		)	—			(680		)
Contribution to subsidiary	—			—			—			(2,647		)	—			2,647			—
Distributions from subsidiary	206			1,030			322			231			—			(1,789		)	—
Other, net	—			—			—			—			(14		)	—			(14		)
Net cash flows from investing activities	206			1,030			322			(2,416		)	(694		)	858			(694		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of long-term debt	—			—			—			2,890			671			—			3,561
Repayments of long-term debt	—			—			—			—			(3,366		)	—			(3,366		)
Payment for debt issuance costs	—			—			—			(43		)	—			—			(43		)
Purchase of treasury stock	(207		)	—			—			—			—			—			(207		)
Contributions from parent	—			—			—			—			2,647			(2,647		)	—
Distributions to parent	—			(1,030		)	(206		)	(322		)	(231		)	1,789			—
Other, net	4			—						—			—			—			4
Net cash flows from financing activities	(203		)	(1,030		)	(206		)	2,525			(279		)	(858		)	(51		)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	3			8			(3		)	1			153			—			162
CASH AND CASH EQUIVALENTS, beginning of period	—			—			3			1			28			—			32
CASH AND CASH EQUIVALENTS, end of period	$	3		$	8		$	—		$	2		$	181		$	—		$	194

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Income Statement [Abstract]
REVENUES	$ 1,884	$ 1,791	$ 3,711	$ 3,561
COSTS AND EXPENSES:
Operating (excluding depreciation and amortization)	831	784	1,645	1,552
Selling, general and administrative	373	343	745	688
Depreciation and amortization	415	393	823	776
Other operating (income) expenses, net	(4)	1	(1)	6
Total costs and expenses	1,615	1,521	3,212	3,022
Income from operations	269	270	499	539
OTHER EXPENSES:
Interest expense, net	(225)	(241)	(462)	(474)
Loss on extinguishment of debt	(59)	(53)	(74)	(120)
Other expense, net	0	(2)	(1)	(2)
Total other expense	(284)	(296)	(537)	(596)
Loss before income taxes	(15)	(26)	(38)	(57)
Income tax expense	(68)	(81)	(139)	(160)
Net loss	$ (83)	$ (107)	$ (177)	$ (217)
LOSS PER COMMON SHARE, BASIC AND DILUTED
LOSS PER COMMON SHARE, BASIC AND DILUTED (in dollars per share)	$ (0.84)	$ (0.98)	$ (1.78)	$ (1.95)
Weighted average common shares outstanding, basic and diluted (in shares)	99,496,755	109,265,876	99,464,858	111,234,155

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Accounting for Derivative Instruments and Hedging Activities (Notes)

6 Months Ended

Jun. 30, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Accounting for Derivative Instruments and Hedging Activities

Accounting for Derivative Instruments and Hedging Activities

The Company uses interest rate swap agreements to manage its interest costs and reduce the Company’s exposure to increases in floating interest rates. The Company manages its exposure to fluctuations in interest rates by maintaining a mix of fixed and variable rate debt. Using interest rate swap agreements, the Company agrees to exchange, at specified intervals through 2017, the difference between fixed and variable interest amounts calculated by reference to agreed-upon notional principal amounts.

The Company does not hold or issue derivative instruments for speculative trading purposes. The Company has certain interest rate derivative instruments that have been designated as cash flow hedging instruments. Such instruments effectively convert variable interest payments on certain debt instruments into fixed payments. For qualifying hedges, realized derivative gains and losses offset related results on hedged items in the condensed consolidated statements of operations. The Company formally documents, designates and assesses the effectiveness of transactions that receive hedge accounting.

The effect of derivative instruments on the Company’s condensed consolidated balance sheets is presented in the table below:

	June 30, 2012			December 31, 2011
Other long-term liabilities:
Fair value of interest rate derivatives designated as hedges	$	76		$	65
Accumulated other comprehensive loss:
Interest rate derivatives designated as hedges	$	(76	)	$	(65	)

Changes in the fair value of interest rate agreements that are designated as hedging instruments of the variability of cash flows associated with floating-rate debt obligations, and that meet effectiveness criteria are reported in accumulated other comprehensive loss. The amounts are subsequently reclassified as an increase or decrease to interest expense in the same periods in which the related interest on the floating-rate debt obligations affected earnings (losses).

The effects of derivative instruments on the Company’s condensed consolidated statements of comprehensive loss and condensed consolidated statements of operations is presented in the table below.

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Other comprehensive loss:
Loss on interest rate derivatives designated as hedges (effective portion)	$	(12	)	$	(20	)	(11		)	(9		)
Net loss:
Amount of loss reclassified from accumulated other comprehensive loss into interest expense	$	(9	)	$	(10	)	$	(17	)	$	(20	)

As of June 30, 2012 and December 31, 2011, the Company had $3.1 billion and $2.0 billion in notional amounts of interest rate swap agreements outstanding. The notional amounts of interest rate instruments do not represent amounts exchanged by the parties and, thus, are not a measure of exposure to credit loss. The amounts exchanged were determined by reference to the notional amount and the other terms of the contracts.

During the quarter, the Company entered into $1.1 billion in delayed start interest rate swaps that become effective in March 2013 through March 2015.  In any future quarter in which a portion of these delayed start hedges first becomes effective, an equal or greater notional amount of the currently effective swaps are scheduled to mature.  Therefore, the $2.0 billion notional amount of currently effective interest rate swaps will gradually step down over time as current swaps mature and an equal or lesser amount of delayed start swaps become effective.

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Treasury Stock (Notes)

6 Months Ended

Jun. 30, 2012

Treasury Stock [Abstract]

Treasury Stock

Treasury Stock

On March 22, 2011, the Company purchased, in a private transaction, 4.5 million shares of Charter’s Class A common stock from funds advised by Franklin Advisers, Inc.  The price paid was $46.10 per share for a total of $207 million.  The transaction was funded from existing cash on hand and available liquidity.  The shares were reflected on the Company's condensed consolidated balance sheets as treasury stock until retired in December 2011.

In January 2012, the Company purchased, in a private transaction with a shareholder, 49,332 shares of its common stock at $55.18 for a total of $3 million. These shares were retired in January 2012.

During the three and six months ended June 30, 2012, the Company withheld 5,566 and 10,924 shares, respectively, of its common stock in payment of $1 million income tax withholding owed by employees upon vesting of restricted shares. The Company accounts for treasury stock using the cost method and includes treasury stock as a component of total shareholders' equity.

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2012

Fair Value Disclosures [Abstract]

Summary of Carrying and Fair Value of Debt

A summary of the carrying value and fair value of the Company’s debt at June 30, 2012 and December 31, 2011 is as follows:

	June 30, 2012				December 31, 2011
	Carrying Value		Fair Value		Carrying Value		Fair Value
Debt
CCH II debt	$	1,297	$	1,278	$	1,692	$	1,713
CCO Holdings debt	$	6,988	$	7,602	$	6,241	$	6,630
Charter Operating debt	$	—	$	—	$	833	$	847
Credit facilities	$	4,501	$	4,570	$	4,090	$	4,193

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Franchises, Goodwill and Other Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Indefinite-lived and finite-lived intangible assets

As of June 30, 2012 and December 31, 2011, indefinite lived and finite-lived intangible assets are presented in the following table:

	June 30, 2012						December 31, 2011
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Indefinite lived intangible assets:
Franchises	$	5,287	$	—	$	5,287	$	5,288	$	—	$	5,288
Goodwill	953		—		953		954		—		954
Trademarks	158		—		158		158		—		158
	$	6,398	$	—	$	6,398	$	6,400	$	—	$	6,400
Finite-lived intangible assets:
Customer relationships	$	2,368	$	806	$	1,562	$	2,368	$	664	$	1,704
Other intangible assets	90		22		68		79		16		63
	$	2,458	$	828	$	1,630	$	2,447	$	680	$	1,767

Expected future amortization expense on finite-lived intangible assets

The Company expects amortization expense on its finite-lived intangible assets will be as follows.

Six months ending December 31, 2012	$	145
2013	267
2014	240
2015	214
2016	187
Thereafter	577
	$	1,630

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Income Taxes (Notes)

6 Months Ended

Jun. 30, 2012

Income Taxes [Abstract]

Income Taxes

Income Taxes

All of Charter’s operations are held through Charter Holdco and its direct and indirect subsidiaries. Charter Holdco and the majority of its subsidiaries are generally limited liability companies that are not subject to income tax. However, certain of these limited liability companies are subject to state income tax. In addition, the indirect subsidiaries that are corporations are subject to federal and state income tax. All of the remaining taxable income, gains, losses, deductions and credits of Charter Holdco are passed through to Charter.

For the three and six months ended June 30, 2012, the Company recorded $68 million and $139 million of income tax expense, respectively. For the three and six months ended June 30, 2011, the Company recorded $81 million and $160 million of income tax expense, respectively, including $8 million of expense related to a state tax law change. The income tax expense is recognized primarily through increases in deferred tax liabilities related to our investment in Charter Holdco, as well as through current state income tax expense and increases in the deferred tax liabilities of certain of our indirect corporate subsidiaries. The tax provision in future periods will vary based on current and future temporary differences, as well as future operating results.

As of June 30, 2012 and December 31, 2011, the Company had net deferred income tax liabilities of approximately $964 million and $824 million, respectively. Included in net deferred tax liabilities is net current deferred assets of $23 million as of June 30, 2012 and December 31, 2011 included in prepaid expenses and other current assets in the accompanying condensed consolidated balance sheets of the Company. Net deferred tax liabilities included approximately $222 million and $221 million at June 30, 2012 and December 31, 2011, respectively, relating to certain indirect subsidiaries of Charter Holdco that file separate federal or state income tax returns.  The remainder of the Company's net deferred tax liability arose from Charter's investment in Charter Holdco, and was largely attributable to the characterization of franchises for financial reporting purposes as indefinite-lived.

No tax years for Charter or Charter Holdco are currently under examination by the Internal Revenue Service.  Tax years ending 2008 through 2011 remain subject to examination and assessment. Years prior to 2008 remain open solely for purposes of examination of Charter’s loss and credit carryforwards.

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Fair Value Measurements (Notes)

6 Months Ended

Jun. 30, 2012

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Financial Assets and Liabilities

The Company has estimated the fair value of its financial instruments as of June 30, 2012 and December 31, 2011 using available market information or other appropriate valuation methodologies. Considerable judgment, however, is required in interpreting market data to develop the estimates of fair value. Accordingly, the estimates presented in the accompanying condensed consolidated financial statements are not necessarily indicative of the amounts the Company would realize in a current market exchange.

The carrying amounts of cash and cash equivalents, receivables, payables and other current assets and liabilities approximate fair value because of the short maturity of those instruments.

The estimated fair value of the Company’s debt at June 30, 2012 and December 31, 2011 are based on quoted market prices and is classified within Level 1 (defined below) of the valuation hierarchy.

A summary of the carrying value and fair value of the Company’s debt at June 30, 2012 and December 31, 2011 is as follows:

	June 30, 2012				December 31, 2011
	Carrying Value		Fair Value		Carrying Value		Fair Value
Debt
CCH II debt	$	1,297	$	1,278	$	1,692	$	1,713
CCO Holdings debt	$	6,988	$	7,602	$	6,241	$	6,630
Charter Operating debt	$	—	$	—	$	833	$	847
Credit facilities	$	4,501	$	4,570	$	4,090	$	4,193

The interest rate derivatives designated as hedges were valued as $76 million and $65 million liabilities as of June 30, 2012 and December 31, 2011, respectively, using a present value calculation based on an implied forward LIBOR curve (adjusted for Charter Operating’s or counterparties’ credit risk) and were classified within Level 2 (defined below) of the valuation hierarchy. The current weighted average pay rate for the Company’s interest rate swaps was 2.25% at both June 30, 2012 and December 31, 2011 (exclusive of applicable spreads).

The accounting guidanceestablishes a three-level hierarchy for disclosure of fair value measurements, based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date, as follows:

• Level 1 – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

• Level 2 – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

• Level 3 – inputs to the valuation methodology are unobservable and significant to the fair value measurement.

Nonfinancial Assets and Liabilities

The Company’s nonfinancial assets such as franchises, property, plant, and equipment, and other intangible assets are not measured at fair value on a recurring basis; however they are subject to fair value adjustments in certain circumstances, such as when there is evidence that an impairment may exist.  No impairments were recorded in the three and six months ended June 30, 2012 and 2011.

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Other Operating (Income) Expenses, Net (Notes)

6 Months Ended

Jun. 30, 2012

Other Cost and Expense Disclosure, Operating [Abstract]

Other Income and Other Expense Disclosure [Text Block]

Other Operating (Income) Expenses, Net

Other operating (income) expenses, net consist of the following for the years presented:

	Three Months Ended June 30,					Six Months Ended June 30,
	2012			2011		2012			2011
Gain on sale of assets, net	$	(14	)	$	—	$	(13	)	$	—
Special charges, net	10			1		12			6
	$	(4	)	$	1	$	(1	)	$	6

Gain on sale of assets, net

Gain on sale of assets represents the gain recognized on the sales of fixed assets and cable systems.

Special charges, net

Special charges, net for the three and six months ended June 30, 2012 and 2011 primarily includes severance charges and settlements.

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Contingencies (Notes)

6 Months Ended

Jun. 30, 2012

Commitments and Contingencies Disclosure [Abstract]

Contingencies

Contingencies

On March 27, 2009, Charter filed a Chapter 11 petition in the United States Bankruptcy Court for the Southern District of New York. On November 17, 2009, the Bankruptcy Court issued its Order and Opinion confirming the Plan over the objections of various objectors. Charter consummated the Plan on November 30, 2009 and reinstated the Charter Operating Credit Agreement and certain other debt of its subsidiaries.

Two appeals are pending relating to confirmation of the Plan, the appeals by (i) Law Debenture Trust Company of New York (“Law Debenture Trust”) (as the Trustee with respect to the $479 million in aggregate principal amount of 6.50% convertible senior notes due 2027 issued by Charter which are no longer outstanding following consummation of the Plan); and (ii) R² Investments, LDC (“R² Investments”) (a former equity interest holder in Charter). The appeals by Law Debenture Trust and R² Investments were denied by the District Court for the Southern District of New York in March 2011. Both Law Debenture Trust and R² Investments have appealed that ruling. The Company cannot predict the ultimate outcome of the appeals nor can it estimate a reasonable range of loss.

The Company is also a defendant or co-defendant in several lawsuits claiming infringement of various patents relating to various aspects of its businesses.  Other industry participants are also defendants in certain of these cases. In the event that a court ultimately determines that the Company infringes on any intellectual property rights, the Company may be subject to substantial damages and/or an injunction that could require the Company or its vendors to modify certain products and services the Company offers to its subscribers, as well as negotiate royalty or license agreements with respect to the patents at issue.  While the Company believes the lawsuits are without merit and intends to defend the actions vigorously, no assurance can be given that any adverse outcome would not be material to the Company's consolidated financial condition, results of operations, or liquidity. The Company cannot predict the outcome of any such claims nor can it estimate a reasonable range of loss.

The Company is party to lawsuits and claims that arise in the ordinary course of conducting its business, including lawsuits claiming violation of anti-trust laws and violation of wage and hour laws. The ultimate outcome of these other legal matters pending against the Company cannot be predicted, and although such lawsuits and claims are not expected individually to have a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity, such lawsuits could have, in the aggregate, a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity. Whether or not the Company ultimately prevails in any particular lawsuit or claim, litigation can be time consuming and costly and injure the Company's reputation.

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Accounting for Derivative Instruments and Hedging Activities Derivative instruments effect on the Company's consolidated balance sheets (Details) (Interest Rate Swap [Member], Designated as Hedging Instrument [Member], USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Accumulated Other Comprehensive Income (Loss) [Member]
Derivatives, Fair Value [Line Items]
Derivative Liability, Fair Value, Gross Liability	$ (76)	$ (65)
Other Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative Liability, Fair Value, Gross Liability	$ 76	$ 65

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Long-Term Debt (Tables)

6 Months Ended

Jun. 30, 2012

Debt Disclosure [Abstract]

Long-term debt

Long-term debt consists of the following as of June 30, 2012 and December 31, 2011:

	June 30, 2012				December 31, 2011
	Principal Amount		Accreted Value		Principal Amount		Accreted Value
CCH II, LLC:
13.500% senior notes due November 30, 2016	$	1,146	$	1,297	$	1,480	$	1,692
CCO Holdings, LLC:
7.250% senior notes due October 30, 2017	1,000		1,000		1,000		1,000
7.875% senior notes due April 30, 2018	900		900		900		900
7.000% senior notes due January 15, 2019	1,400		1,392		1,400		1,391
8.125% senior notes due April 30, 2020	700		700		700		700
7.375% senior notes due June 1, 2020	750		750		750		750
6.500% senior notes due April 30, 2021	1,500		1,500		1,500		1,500
6.625% senior notes due January 31, 2022	750		746		—		—
Credit facility due September 6, 2014	350		332		350		326
Charter Communications Operating, LLC:
8.000% senior second-lien notes due April 30, 2012	—		—		500		502
10.875% senior second-lien notes due September 15, 2014	—		—		312		331
Credit facilities	4,308		4,169		3,929		3,764
Long-Term Debt	$	12,804	$	12,786	$	12,821	$	12,856

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Organization and Basis of Presentation (Details)	Jun. 30, 2012
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Equity interest in Charter Communications Holding Company, LLC	100.00%

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Stock Compensation Plans (Details) (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation	$ 13	$ 9	$ 24	$ 16
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity awards, other than options, granted in period (in shares)	243,832	17,600	243,832	30,100
Unrecognized compensation cost	45		45
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition			3 years
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	447,700	2,000,000	453,700	2,000,000
Unrecognized compensation cost	53		53
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition			3 years
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity awards, other than options, granted in period (in shares)	46,900	230,500	62,400	230,500
Unrecognized compensation cost	$ 14		$ 14
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition			4 years
Maximum [Member] | Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			4 years
Maximum [Member] | Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			4 years
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period			P10Y
Maximum [Member] | Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			4 years
Minimum [Member] | Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			1 year

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Net loss	$ (83)	$ (107)	$ (177)	$ (217)
Changes in fair value of interest rate swap agreements, net of tax	(12)	(20)	(11)	(9)
Comprehensive loss	$ (95)	$ (127)	$ (188)	$ (226)

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Long-Term Debt (Notes)

6 Months Ended

Jun. 30, 2012

Debt Disclosure [Abstract]

Long-Term Debt

Long-Term Debt

Long-term debt consists of the following as of June 30, 2012 and December 31, 2011:

	June 30, 2012				December 31, 2011
	Principal Amount		Accreted Value		Principal Amount		Accreted Value
CCH II, LLC:
13.500% senior notes due November 30, 2016	$	1,146	$	1,297	$	1,480	$	1,692
CCO Holdings, LLC:
7.250% senior notes due October 30, 2017	1,000		1,000		1,000		1,000
7.875% senior notes due April 30, 2018	900		900		900		900
7.000% senior notes due January 15, 2019	1,400		1,392		1,400		1,391
8.125% senior notes due April 30, 2020	700		700		700		700
7.375% senior notes due June 1, 2020	750		750		750		750
6.500% senior notes due April 30, 2021	1,500		1,500		1,500		1,500
6.625% senior notes due January 31, 2022	750		746		—		—
Credit facility due September 6, 2014	350		332		350		326
Charter Communications Operating, LLC:
8.000% senior second-lien notes due April 30, 2012	—		—		500		502
10.875% senior second-lien notes due September 15, 2014	—		—		312		331
Credit facilities	4,308		4,169		3,929		3,764
Long-Term Debt	$	12,804	$	12,786	$	12,821	$	12,856

The accreted values presented above represent the fair value of the notes as of the date the Company emerged from Bankruptcy (see Note 10) or the principal amount of the notes less the original issue discount at the time of sale, plus the accretion to the balance sheet date. However, the amount that is currently payable if the debt becomes immediately due is equal to the principal amount of the debt. The Company has availability under its credit facilities of approximately $756 million as of June 30, 2012, and as such, debt maturing in the next twelve months is classified as long-term.

In January 2011, CCO Holdings, LLC ("CCO Holdings") and CCO Holdings Capital Corp. closed on transactions in which they issued $1.4 billion aggregate principal amount of 7.000% senior notes due 2019. The net proceeds of the issuances were contributed by CCO Holdings to Charter Communications Operating, LLC ("Charter Operating") as a capital contribution and were used to repay indebtedness under the Charter Operating credit facilities. The Company recorded a loss on extinguishment of debt of approximately $67 million for the six months ended June 30, 2011 related to these transactions.

In May 2011, CCO Holdings and CCO Holdings Capital Corp. closed on transactions in which they issued $1.5 billion aggregate principal amount of 6.500% senior notes due 2021. The net proceeds of the issuances were contributed by CCO Holdings to Charter Operating as a capital contribution and intercompany loan and were used to repay indebtedness under the Charter Operating credit facilities. The Company recorded a loss on extinguishment of debt of approximately $53 million for the three and six months ended June 30, 2011 related to these transactions.

In January 2012, CCO Holdings and CCO Holdings Capital Corp. closed on transactions in which they issued $750 million aggregate principal amount of 6.625% senior notes due 2022. The notes were issued at a price of 99.5% of the aggregate principal amount. The net proceeds of the notes were used, along with a draw on the $500 million delayed draw portion of the Charter Operating Term Loan A facility, to repurchase $300 million aggregate principal amount of Charter Operating's outstanding 8.000% senior second-lien notes due 2012, $294 million aggregate principal amount of Charter Operating's 10.875% senior second-lien notes due 2014 and $334 million aggregate principal amount of CCH II, LLC's ("CCH II") 13.500% senior notes due 2016, as well as to repay amounts outstanding under the Company's revolving credit facility. The tender offers closed in January and February 2012 and the Company recorded a loss on extinguishment of debt of approximately $15 million on this transaction for the six months ended June 30, 2012.

In March 2012, Charter Operating redeemed the remaining $18 million of 10.875% senior notes due 2014 pursuant to a notice of redemption.

In April 2012, Charter Operating entered into a senior secured term loan D facility pursuant to the terms of the Charter Operating credit agreement providing for $750 million of term loans with a final maturity date of May 15, 2019. Pricing on the new term loan D was set at LIBOR plus 3% with a LIBOR floor of 1%, and issued at a price of 99.5% of the aggregate principal amount. The proceeds were used to refinance Charter Operating's existing term loan B-1 and term loan B-2, both due 2014, with the remaining amount used to pay down a portion of its existing term loan C due 2016. Charter Operating concurrently amended and restated its existing $1.3 billion revolving credit facility with a new $1.15 billion revolving credit facility due 2017 at the interest rate of LIBOR plus 2.25% and amended and restated its existing credit agreement dated March 31, 2010 (the “Existing Credit Agreement”). The amendments to the Existing Credit Agreement included, among other things, certain allowances under the negative covenants, including an allowance for restricted payments so long as the Consolidated Leverage Ratio as defined in the Charter Operating credit agreement is no greater than 3.5 after giving pro forma effect to such restricted payment, the calculation of certain financial covenants and changes to the related financial definitions, and the thresholds for certain events of default, including a modification of the Change of Control definition. The Change of Control definition was amended to conform to the provision contained in the CCO Holdings' indentures so that a Change of Control would now occur upon both the consummation of a transaction resulting in any person or group having the power to vote more than 50% of the ordinary voting power and a Ratings Event as defined in the Charter Operating credit agreement. The Change of Control definition previously contained the more than 50% threshold without the Ratings Event trigger. The Company recorded a loss on extinguishment of debt of approximately $59 million during the three and six months ended June 30, 2012 related to these transactions.

In April 2012, CCO Holdings entered into an amendment to its existing credit agreement dated March 6, 2007 which included, among other things, amendments to the Change of Control definition and certain other provisions and definitions related thereto. The Change of Control definition was amended to conform to the provision contained in Charter Operating's credit agreement as described above. Previously, the percentage of voting power necessary for a Change of Control had been 35%, and the definition of Change of Control did not include a Ratings Event.

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Franchises, Goodwill and Other Intangible Assets Indefinite and Finite-Lived Intangibles (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Indefinite-lived intangible assets: [Abstract]
Goodwill	$ 953	$ 954
Total indefinite lived intangible assets	6,398	6,400
Finite-lived intangible assets [Abstract]
Gross carrying amount	2,458	2,447
Accumulated amortization	828	680
Net carrying amount	1,630	1,767
Customer Relationships [Member]
Finite-lived intangible assets [Abstract]
Gross carrying amount	2,368	2,368
Accumulated amortization	806	664
Net carrying amount	1,562	1,704
Other Intangible Assets [Member]
Finite-lived intangible assets [Abstract]
Gross carrying amount	90	79
Accumulated amortization	22	16
Net carrying amount	68	63
Franchises [Member]
Indefinite-lived intangible assets: [Abstract]
Indefinite lived intangible assets, gross	5,287	5,288
Goodwill [Member]
Indefinite-lived intangible assets: [Abstract]
Goodwill	953	954
Trademarks [Member]
Indefinite-lived intangible assets: [Abstract]
Indefinite lived intangible assets, gross	$ 158	$ 158

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Other Operating (Income) Expenses, Net (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Component of Operating Other Cost and Expense [Line Items]
Other operating (income) expense, net	$ (4)	$ 1	$ (1)	$ 6
Gain on sale of assets, net [Member]
Component of Operating Other Cost and Expense [Line Items]
Other operating (income) expense, net	(14)	0	(13)	0
Special charges, net [Member]
Component of Operating Other Cost and Expense [Line Items]
Other operating (income) expense, net	$ 10	$ 1	$ 12	$ 6

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Accounts Payable and Accrued Expenses (Tables)

6 Months Ended

Jun. 30, 2012

Accounts Payable and Accrued Liabilities, Current [Abstract]

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following as of June 30, 2012 and December 31, 2011:

	June 30, 2012		December 31, 2011
Accounts payable – trade	$	155	$	142
Accrued capital expenditures	156		143
Accrued expenses:
Interest	181		191
Programming costs	329		303
Franchise related fees	48		50
Compensation	116		123
Other	209		201
	$	1,194	$	1,153