NOTE 7. STOCKHOLDERS’ EQUITY

The following tables summarize changes in stockholders’ equity:

	For the three months ended December 31, 2017									For the six months ended December 31, 2017
	Twenty-First Century Fox stockholders		Noncontrolling interests				Total equity			Twenty-First Century Fox stockholders			Noncontrolling interests				Total equity
	(in millions)
Balance, beginning of period	$	16,304	$	1,252			$	17,556		$	15,722		$	1,216			$	16,938
Net income		1,831		37		^(a)		1,868			2,686			73		^(a)		2,759
Other comprehensive income		227		4				231			369			13				382
Issuance of shares		-		-				-			41			-				41
Dividends declared		-		-				-			(333	)		-				(333	)
Other		27		(51	)	^(b)		(24	)		(96	)		(60	)	^(b)		(156	)

Balance, end of period	$	18,389	$	1,242			$	19,631		$	18,389		$	1,242			$	19,631

	For the three months ended December 31, 2016										For the six months ended December 31, 2016
	Twenty-First Century Fox stockholders			Noncontrolling interests				Total equity			Twenty-First Century Fox stockholders			Noncontrolling interests				Total equity
	(in millions)
Balance, beginning of period	$	13,807		$	1,248			$	15,055		$	13,661		$	1,220			$	14,881
Net income		856			37		^(a)		893			1,677			77		^(a)		1,754
Other comprehensive loss		(197	)		(21	)			(218	)		(238	)		(20	)			(258	)
Cancellation of shares, net		(138	)		-				(138	)		(528	)		-				(528	)
Dividends declared		-			-				-			(335	)		-				(335	)
Other		12			(49	)	^(b)		(37	)		103			(62	)	^(b)		41
		-
Balance, end of period	$	14,340		$	1,215			$	15,555		$	14,340		$	1,215			$	15,555

^(a)

Net income attributable to noncontrolling interests excludes $48 million and $43 million for the three months ended December 31, 2017 and 2016, respectively, and $77 million and $70 million for the six months ended December 31, 2017 and 2016, respectively, relating to redeemable noncontrolling interests which are reflected in temporary equity.

^(b)

Other activity attributable to noncontrolling interests excludes $(35) million and $(18) million for the three months ended December 31, 2017 and 2016, respectively, and $(59) million and $(44) million for the six months ended December 31, 2017 and 2016, respectively, relating to redeemable noncontrolling interests.

Comprehensive Income

Comprehensive income is reported in the Unaudited Consolidated Statements of Comprehensive Income and consists of Net income and Other comprehensive income (loss), including foreign currency translation adjustments, losses and gains on cash flow hedges, unrealized holding gains on securities, benefit plan adjustments and the Company’s share of other comprehensive income of equity method investees, which affect stockholders’ equity, and under GAAP, are excluded from Net income.

The following tables summarize the activity within Other comprehensive income (loss):

	For the three months ended December 31, 2017									For the six months ended December 31, 2017
	Before tax			Tax (provision) benefit			Net of tax			Before tax			Tax (provision) benefit			Net of tax
	(in millions)
Foreign currency translation adjustments
Unrealized gains	$	38		$	-		$	38		$	79		$	-		$	79

Other comprehensive income	$	38		$	-		$	38		$	79		$	-		$	79
Cash flow hedges
Unrealized gains	$	1		$	-		$	1		$	9		$	(3	)	$	6
Reclassifications realized in net income^(a)		(3	)		1			(2	)		(11	)		4			(7	)

Other comprehensive loss	$	(2	)	$	1		$	(1	)	$	(2	)	$	1		$	(1	)
Gains on securities
Unrealized gains	$	154		$	(57	)	$	97		$	283		$	(104	)	$	179

Other comprehensive income	$	154		$	(57	)	$	97		$	283		$	(104	)	$	179
Benefit plan adjustments
Reclassification adjustments realized in net income^(b)	$	96		$	(35	)	$	61		$	106		$	(39	)	$	67

Other comprehensive income	$	96		$	(35	)	$	61		$	106		$	(39	)	$	67
Equity method investments
Unrealized gains and reclassifications	$	50		$	(14	)	$	36		$	84		$	(26	)	$	58

Other comprehensive income	$	50		$	(14	)	$	36		$	84		$	(26	)	$	58

	For the three months ended December 31, 2016									For the six months ended December 31, 2016
	Before tax			Tax (provision) benefit			Net of tax			Before tax			Tax (provision) benefit			Net of tax
	(in millions)
Foreign currency translation adjustments
Unrealized losses	$	(153	)	$	-		$	(153	)	$	(151	)	$	-		$	(151	)

Other comprehensive loss	$	(153	)	$	-		$	(153	)	$	(151	)	$	-		$	(151	)
Cash flow hedges
Unrealized gains	$	2		$	(1	)	$	1		$	13		$	(5	)	$	8
Reclassifications realized in net income^(a)		5			(1	)		4			7			(2	)		5

Other comprehensive income	$	7		$	(2	)	$	5		$	20		$	(7	)	$	13
Benefit plan adjustments
Reclassification adjustments realized in net income^(b)	$	54		$	(20	)	$	34		$	68		$	(25	)	$	43

Other comprehensive income	$	54		$	(20	)	$	34		$	68		$	(25	)	$	43
Equity method investments
Unrealized losses and reclassifications	$	(156	)	$	52		$	(104	)	$	(223	)	$	60		$	(163	)

Other comprehensive loss	$	(156	)	$	52		$	(104	)	$	(223	)	$	60		$	(163	)

^(a)

Reclassifications of amounts related to hedging activity are included in Revenues, Operating expenses, Selling, general and administrative expenses, Interest expense, net or Other, net, as appropriate, in the Unaudited Consolidated Statements of Operations (See Note 5 – Fair Value for additional information regarding hedging activity).

^(b)	Reclassifications of amounts related to benefit plan adjustments are included in Other, net in the Unaudited Consolidated Statements of Operations.

Earnings Per Share Data

The following table sets forth the Company’s computation of Income from continuing operations attributable to Twenty-First Century Fox stockholders:

	For the three months ended December 31,						For the six months ended December 31,
	2017			2016			2017			2016
	(in millions)
Income from continuing operations	$	1,921		$	937		$	2,825		$	1,831
Less: Net income attributable to noncontrolling interests		(85	)		(80	)		(150	)		(147	)

Income from continuing operations attributable to Twenty-First Century Fox stockholders	$	1,836		$	857		$	2,675		$	1,684

Stock Repurchase Program

The Board authorized a stock repurchase program, under which the Company is authorized to acquire Class A Common Stock. As of December 31, 2017, the Company’s remaining buyback authorization was approximately $3.1 billion representing approximately $3 billion under the fiscal 2017 authorization and approximately $110 million under the fiscal 2016 authorization. Pursuant to the Merger Agreement (See Note 2 – Acquisitions, Disposals and Other Transactions under the heading “Disney Transaction/Distribution of New Fox”), the Company is required to obtain Disney’s consent prior to repurchasing any additional shares.

The Company did not repurchase any of its Class A Common Stock or Class B Common Stock during the six months ended December 31, 2017.

Dividends

The following table summarizes the dividends declared per share on both the Company’s Class A Common Stock and the Class B Common Stock:

For the six months ended

December 31,

2017

2016

Cash dividend per share

0.18

Subsequent to December 31, 2017, the Company declared a dividend of $0.18 per share on both the Class A Common Stock and Class B Common Stock, which is payable on April 18, 2018. The record date for determining dividend entitlements is March 14, 2018.