Acquisitions (Tables)

9 Months Ended

Sep. 30, 2015

Fair values of assets acquired and liabilities assumed

The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the Acquisition Date. Certain estimated values for the Acquisition, including goodwill, investments, property and equipment, other intangible assets, program assets, other liabilities (less current portion), deferred taxes, and other working capital are not yet finalized. Therefore, the preliminary purchase price allocations are subject to change as we complete our analysis of the fair value at the Acquisition Date. The purchase price was allocated based on information available at the Acquisition Date.


Fair value of consideration paid:	(in thousands)
Cash consideration transferred	$	652,365
Recognized amounts of identifiable assets acquired and liabilities assumed:
Assets acquired:
Cash and cash equivalents		107,532
Restricted cash		5,524
Accounts receivable		110,387
Other current assets		40,909
Property and equipment		89,466
Programs and program licenses		79,211
Other intangible assets		760,636
Investments		376,454
Liabilities assumed:
Accounts payable		(28,924	)
Program rights payable (current portion)		(19,395	)
Customer deposits and unearned revenue		(2,132	)
Employee compensation and benefits		(25,355	)
Accrued marketing and advertising costs		(543	)
Other liabilities		(68,114	)
Deferred income taxes		(43,150	)
2.80% 2018 Senior Notes		(128,577	)
7.38% 2020 Senior Notes		(528,205	)
11.00%/12.00% 2021 PIK Toggle Notes		(409,549	)
Term Loan		(18,189	)
Program rights payable (less current portion)		(3,492	)
Other liabilities (less current portion)		(4,363	)
Non-controlling interest		(858,530	)
Goodwill		1,220,764
Net Assets Acquired	$	652,365

Fair value of identifiable intangible assets


Preliminary fair value of identifiable intangible assets and estimated useful lives (in thousands):
Intangible Asset Category	Type	Life in Years	Fair Value
Copyrights and other tradenames	Amortizable	10-25		333,912
Broadcast licenses	Amortizable	25		128,017
Customer lists	Amortizable	15		26,670
Advertiser lists	Amortizable	7		106,681
Acquired rights and other	Amortizable	20		165,356

Pro forma Results

		Three months ended						Nine months ended
Pro Forma Results		September 30,						September 30,
(in thousands)		2015			2014			2015			2014
Pro Forma Revenues:	$		776,122	$		748,817	$		2,384,591	$		2,358,337
Pro forma net income attributable to SNI	$		124,559	$		109,047	$		419,920	$		380,917
Pro forma net income attributable to SNI per basic common share	$		0.96	$		0.77	$	$	3.23	$		2.67
Pro forma net income attributable to SNI per diluted common share	$		0.96	$		0.77	$	$	3.22	$		2.65
Weighted average basic shares outstanding			129,177			140,738			129,817			142,786
Weighted average diluted shares outstanding			129,704			141,628			130,434			143,703