Property, Plant and Equipment

12 Months Ended

Dec. 31, 2016

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment Disclosure [Text Block]

Property, Plant and Equipment

Property, plant and equipment is comprised of the following:

	December 31,						Depreciable Lives (Years)
(dollars in millions)	2016			2015
Land and rights-of-way	$	4.3		$	4.3		20	-	Indefinite
Buildings and leasehold improvements	173.7			165.0			3	-	40
Network equipment	3,165.7			2,959.3			2	-	50
Office software, furniture, fixtures and vehicles	150.6			131.4			2	-	14
Construction in process	17.0			29.2			n/a
Gross value	3,511.3			3,289.2
Accumulated depreciation	(2,425.8		)	(2,313.7		)
Property, plant and equipment, net	$	1,085.5		$	975.5

Depreciation expense on property, plant and equipment totaled $182.0 million, $141.3 million, and $127.2 million in 2016, 2015, and 2014, respectively. In 2016, approximately 85%, compared to approximately 79% in 2015 and 81% in 2014, of "Depreciation," as presented in the Consolidated Statements of Operations, was associated with the cost of providing services. There are numerous assets included within network equipment resulting in a range of depreciable lives between 2 and 50 years, the majority of which fall within the range of 7 to 22 years. In 2016, we reduced the estimated useful life of certain set-top boxes and the related software as we upgraded to new technology. In the fourth quarter of 2015, we reduced the useful life of our copper assets from 15 years to 7 years as customers have continued to migrate to services provided by our fiber network.

No asset impairment losses were recognized in 2016 or 2015. During the year ended December 31, 2014, the Entertainment and Communications segment recognized an asset impairment loss of $4.6 million for the abandonment of an internal use software project.

As of December 31, 2016 and 2015, buildings and leasehold improvements, network equipment, and office software, furniture, fixtures and vehicles include $96.8 million and $91.2 million, respectively, of assets accounted for as capital leases. Concurrent with the shut-down of our wireless network as of March 31, 2015, $57.7 million of fully depreciated capital lease assets were transferred to continuing operations as these assets were retained by the Company. These leases were previously reported in discontinued operations as they were still being utilized in our wireless operations. Depreciation of capital lease assets is included in "Depreciation and amortization" in the Consolidated Statements of Operations.