Equipment Installment Plans (Table)

3 Months Ended

Mar. 31, 2019

Receivables [Abstract]

Equipment installment plan receivables

The following table summarizes equipment installment plan receivables as of March 31, 2019 and December 31, 2018.

	March 31, 2019			December 31, 2018
(Dollars in millions)
Equipment installment plan receivables, gross	$	975		$	974
Allowance for credit losses	(77		)	(77		)
Equipment installment plan receivables, net	$	898		$	897
Net balance presented in the Consolidated Balance Sheet as:
Accounts receivable — Customers and agents (Current portion)	$	571		$	560
Other assets and deferred charges (Non-current portion)	327			337
Equipment installment plan receivables, net	$	898		$	897

Equipment installment plan receivables credit categories

The balance and aging of the equipment installment plan receivables on a gross basis by credit category were as follows:

	March 31, 2019						December 31, 2018
	Lower Risk		Higher Risk		Total		Lower Risk		Higher Risk		Total
(Dollars in millions)
Unbilled	$	901	$	13	$	914	$	904	$	17	$	921
Billed — current	41		1		42		35		1		36
Billed — past due	17		2		19		15		2		17
Equipment installment plan receivables, gross	$	959	$	16	$	975	$	954	$	20	$	974

Equipment installment plans allowance for credit losses

Activity for the three months endedMarch 31, 2019 and 2018, in the allowance for credit losses for equipment installment plan receivables was as follows:

	March 31, 2019			March 31, 2018
(Dollars in millions)
Allowance for credit losses, beginning of period	$	77		$	65
Bad debts expense	18			14
Write-offs, net of recoveries	(18		)	(13		)
Allowance for credit losses, end of period	$	77		$	66