Guarantor/Non-Guarantor Subsidiary Financial Information (Tables)
|
12 Months Ended |
Dec. 31, 2015 |
|---|
| Guarantor Non-guarantor Subsidiary Financial Information [Abstract] |
|
| Guarantor Non-guarantor Subsidiary Financial Information, Balance Sheets, Current Period |
Consolidating Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2015 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Assets |
Current assets: |
|
|
|
|
|
Cash and cash equivalents |
$ |
— |
|
112 |
|
215 |
|
— |
|
327 |
|
Restricted cash |
9 |
|
— |
|
2 |
|
— |
|
11 |
|
Accounts receivable, net |
1,114 |
|
— |
|
256 |
|
— |
|
1,370 |
|
Inventories |
714 |
|
— |
|
215 |
|
— |
|
929 |
|
Prepaid expenses |
18 |
|
— |
|
24 |
|
— |
|
42 |
|
Total current assets |
1,855 |
|
112 |
|
712 |
|
— |
|
2,679 |
|
Property and equipment, net |
295 |
|
67 |
|
640 |
|
— |
|
1,002 |
|
Cable and satellite television distribution rights, net |
— |
|
297 |
|
42 |
|
— |
|
339 |
|
Goodwill |
4,190 |
|
— |
|
845 |
|
— |
|
5,035 |
|
Other intangible assets, net |
842 |
|
2,050 |
|
44 |
|
— |
|
2,936 |
|
Other noncurrent assets |
5 |
|
— |
|
62 |
|
— |
|
67 |
|
Investments in subsidiaries |
3,569 |
|
2,687 |
|
— |
|
(6,256 |
) |
— |
|
Total assets |
$ |
10,756 |
|
5,213 |
|
2,345 |
|
(6,256 |
) |
12,058 |
|
Liabilities and equity |
Current liabilities: |
|
|
|
|
|
Current portion of debt and capital lease obligations |
$ |
3 |
|
— |
|
6 |
|
— |
|
9 |
|
Accounts payable-trade |
396 |
|
— |
|
262 |
|
— |
|
658 |
|
Accrued liabilities |
229 |
|
207 |
|
436 |
|
— |
|
872 |
|
Intercompany accounts payable (receivable) |
562 |
|
1,271 |
|
(1,833 |
) |
— |
|
— |
|
Total current liabilities |
1,190 |
|
1,478 |
|
(1,129 |
) |
— |
|
1,539 |
|
Long-term portion of debt and capital lease obligations |
5,342 |
|
— |
|
51 |
|
— |
|
5,393 |
|
Deferred compensation |
14 |
|
— |
|
(1 |
) |
— |
|
13 |
|
Deferred income taxes |
94 |
|
744 |
|
(11 |
) |
— |
|
827 |
|
Other long-term liabilities |
98 |
|
— |
|
70 |
|
— |
|
168 |
|
Total liabilities |
6,738 |
|
2,222 |
|
(1,020 |
) |
— |
|
7,940 |
|
Equity: |
|
|
|
|
|
QVC, Inc. stockholder's equity |
4,018 |
|
2,991 |
|
3,265 |
|
(6,256 |
) |
4,018 |
|
Noncontrolling interest |
— |
|
— |
|
100 |
|
— |
|
100 |
|
Total equity |
4,018 |
|
2,991 |
|
3,365 |
|
(6,256 |
) |
4,118 |
|
Total liabilities and equity |
$ |
10,756 |
|
5,213 |
|
2,345 |
|
(6,256 |
) |
12,058 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Balance Sheets, Prior Period |
Consolidating Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2014 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Assets |
Current assets: |
|
|
|
|
|
Cash and cash equivalents |
$ |
2 |
|
123 |
|
222 |
|
— |
|
347 |
|
Restricted cash |
10 |
|
— |
|
2 |
|
— |
|
12 |
|
Accounts receivable, net |
909 |
|
— |
|
287 |
|
— |
|
1,196 |
|
Inventories |
680 |
|
— |
|
202 |
|
— |
|
882 |
|
Prepaid expenses |
25 |
|
— |
|
25 |
|
— |
|
50 |
|
Total current assets |
1,626 |
|
123 |
|
738 |
|
— |
|
2,487 |
|
Property and equipment, net |
273 |
|
68 |
|
685 |
|
— |
|
1,026 |
|
Cable and satellite television distribution rights, net |
— |
|
388 |
|
73 |
|
— |
|
461 |
|
Goodwill |
4,184 |
|
— |
|
907 |
|
— |
|
5,091 |
|
Other intangible assets, net |
982 |
|
2,051 |
|
69 |
|
— |
|
3,102 |
|
Other noncurrent assets |
1 |
|
— |
|
57 |
|
— |
|
58 |
|
Investments in subsidiaries |
4,681 |
|
1,386 |
|
— |
|
(6,067 |
) |
— |
|
Total assets |
$ |
11,747 |
|
4,016 |
|
2,529 |
|
(6,067 |
) |
12,225 |
|
Liabilities and equity |
Current liabilities: |
|
|
|
|
|
Current portion of debt and capital lease obligations |
$ |
2 |
|
— |
|
7 |
|
— |
|
9 |
|
Accounts payable-trade |
420 |
|
— |
|
209 |
|
— |
|
629 |
|
Accrued liabilities |
282 |
|
143 |
|
460 |
|
— |
|
885 |
|
Intercompany accounts payable (receivable) |
1,384 |
|
(921 |
) |
(463 |
) |
— |
|
— |
|
Total current liabilities |
2,088 |
|
(778 |
) |
213 |
|
— |
|
1,523 |
|
Long-term portion of debt and capital lease obligations |
4,524 |
|
— |
|
55 |
|
— |
|
4,579 |
|
Deferred compensation |
16 |
|
— |
|
1 |
|
— |
|
17 |
|
Deferred income taxes |
77 |
|
877 |
|
(43 |
) |
— |
|
911 |
|
Other long-term liabilities |
99 |
|
— |
|
50 |
|
— |
|
149 |
|
Total liabilities |
6,804 |
|
99 |
|
276 |
|
— |
|
7,179 |
|
Equity: |
|
|
|
|
|
QVC, Inc. stockholder's equity |
4,943 |
|
3,917 |
|
2,150 |
|
(6,067 |
) |
4,943 |
|
Noncontrolling interest |
— |
|
— |
|
103 |
|
— |
|
103 |
|
Total equity |
4,943 |
|
3,917 |
|
2,253 |
|
(6,067 |
) |
5,046 |
|
Total liabilities and equity |
$ |
11,747 |
|
4,016 |
|
2,529 |
|
(6,067 |
) |
12,225 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Statements of Operations, Current Period |
Consolidating Statements of Operations
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2015 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Net revenue |
$ |
6,416 |
|
962 |
|
2,717 |
|
(1,352 |
) |
8,743 |
|
Cost of goods sold |
4,018 |
|
109 |
|
1,624 |
|
(223 |
) |
5,528 |
|
Gross profit |
2,398 |
|
853 |
|
1,093 |
|
(1,129 |
) |
3,215 |
|
Operating expenses: |
|
|
|
|
|
Operating |
338 |
|
265 |
|
293 |
|
(289 |
) |
607 |
|
Selling, general and administrative, including stock-based compensation |
1,180 |
|
1 |
|
404 |
|
(840 |
) |
745 |
|
Depreciation |
43 |
|
8 |
|
83 |
|
— |
|
134 |
|
Amortization |
233 |
|
163 |
|
58 |
|
— |
|
454 |
|
|
1,794 |
|
437 |
|
838 |
|
(1,129 |
) |
1,940 |
|
Operating income |
604 |
|
416 |
|
255 |
|
— |
|
1,275 |
|
Other (expense) income: |
|
|
|
|
|
Equity in losses of investee |
— |
|
— |
|
(9 |
) |
— |
|
(9 |
) |
Interest expense, net |
(205 |
) |
— |
|
(3 |
) |
— |
|
(208 |
) |
Foreign currency gain (loss) |
15 |
|
(1 |
) |
— |
|
— |
|
14 |
|
Loss on extinguishment of debt |
(21 |
) |
— |
|
— |
|
— |
|
(21 |
) |
Intercompany interest (expense) income |
(7 |
) |
(51 |
) |
58 |
|
— |
|
— |
|
|
(218 |
) |
(52 |
) |
46 |
|
— |
|
(224 |
) |
Income before income taxes |
386 |
|
364 |
|
301 |
|
— |
|
1,051 |
|
Income tax expense |
(136 |
) |
(153 |
) |
(100 |
) |
— |
|
(389 |
) |
Equity in earnings of subsidiaries, net of tax |
412 |
|
262 |
|
— |
|
(674 |
) |
— |
|
Net income |
662 |
|
473 |
|
201 |
|
(674 |
) |
662 |
|
Less net income attributable to the noncontrolling interest |
(34 |
) |
— |
|
(34 |
) |
34 |
|
(34 |
) |
Net income attributable to QVC, Inc. stockholder |
$ |
628 |
|
473 |
|
167 |
|
(640 |
) |
628 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Statements of Operations, Prior Period |
Consolidating Statements of Operations
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2014 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Net revenue |
$ |
6,198 |
|
920 |
|
2,992 |
|
(1,309 |
) |
8,801 |
|
Cost of goods sold |
3,907 |
|
108 |
|
1,807 |
|
(275 |
) |
5,547 |
|
Gross profit |
2,291 |
|
812 |
|
1,185 |
|
(1,034 |
) |
3,254 |
|
Operating expenses: |
|
|
|
|
|
Operating |
288 |
|
269 |
|
296 |
|
(235 |
) |
618 |
|
Selling, general and administrative, including stock-based compensation |
1,142 |
|
1 |
|
426 |
|
(799 |
) |
770 |
|
Depreciation |
39 |
|
5 |
|
91 |
|
— |
|
135 |
|
Amortization |
223 |
|
153 |
|
76 |
|
— |
|
452 |
|
|
1,692 |
|
428 |
|
889 |
|
(1,034 |
) |
1,975 |
|
Operating income |
599 |
|
384 |
|
296 |
|
— |
|
1,279 |
|
Other (expense) income: |
|
|
|
|
|
Equity in losses of investee |
— |
|
— |
|
(8 |
) |
— |
|
(8 |
) |
Interest expense, net |
(230 |
) |
— |
|
(9 |
) |
— |
|
(239 |
) |
Foreign currency gain (loss) |
16 |
|
(3 |
) |
(10 |
) |
— |
|
3 |
|
Loss on extinguishment of debt |
(48 |
) |
— |
|
— |
|
— |
|
(48 |
) |
Intercompany interest and other (expense) income |
(22 |
) |
51 |
|
(9 |
) |
(20 |
) |
— |
|
|
(284 |
) |
48 |
|
(36 |
) |
(20 |
) |
(292 |
) |
Income before income taxes |
315 |
|
432 |
|
260 |
|
(20 |
) |
987 |
|
Income tax expense |
(73 |
) |
(135 |
) |
(146 |
) |
— |
|
(354 |
) |
Equity in earnings of subsidiaries, net of tax |
391 |
|
25 |
|
— |
|
(416 |
) |
— |
|
Net income |
633 |
|
322 |
|
114 |
|
(436 |
) |
633 |
|
Less net income attributable to the noncontrolling interest |
(39 |
) |
— |
|
(39 |
) |
39 |
|
(39 |
) |
Net income attributable to QVC, Inc. stockholder |
$ |
594 |
|
322 |
|
75 |
|
(397 |
) |
594 |
|
Consolidating Statements of Operations
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2013 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Net revenue |
$ |
5,979 |
|
893 |
|
2,977 |
|
(1,226 |
) |
8,623 |
|
Cost of goods sold |
3,804 |
|
107 |
|
1,831 |
|
(277 |
) |
5,465 |
|
Gross profit |
2,175 |
|
786 |
|
1,146 |
|
(949 |
) |
3,158 |
|
Operating expenses: |
|
|
|
|
|
Operating |
234 |
|
267 |
|
289 |
|
(180 |
) |
610 |
|
Selling, general and administrative, including stock-based compensation |
1,083 |
|
— |
|
431 |
|
(769 |
) |
745 |
|
Depreciation |
38 |
|
6 |
|
83 |
|
— |
|
127 |
|
Amortization |
204 |
|
146 |
|
81 |
|
— |
|
431 |
|
|
1,559 |
|
419 |
|
884 |
|
(949 |
) |
1,913 |
|
Operating income |
616 |
|
367 |
|
262 |
|
— |
|
1,245 |
|
Other (expense) income: |
|
|
|
|
|
Equity in losses of investee |
— |
|
— |
|
(4 |
) |
— |
|
(4 |
) |
Gains on financial intstruments |
12 |
|
— |
|
3 |
|
— |
|
15 |
|
Interest expense, net |
(214 |
) |
— |
|
— |
|
— |
|
(214 |
) |
Foreign currency (loss) gain |
(7 |
) |
— |
|
8 |
|
— |
|
1 |
|
Loss on extinguishment of debt |
(57 |
) |
— |
|
— |
|
— |
|
(57 |
) |
Intercompany interest (expense) income |
(16 |
) |
51 |
|
(35 |
) |
— |
|
— |
|
|
(282 |
) |
51 |
|
(28 |
) |
— |
|
(259 |
) |
Income before income taxes |
334 |
|
418 |
|
234 |
|
— |
|
986 |
|
Income tax expense |
(119 |
) |
(132 |
) |
(102 |
) |
— |
|
(353 |
) |
Equity in earnings of subsidiaries, net of tax |
418 |
|
76 |
|
— |
|
(494 |
) |
— |
|
Net income |
633 |
|
362 |
|
132 |
|
(494 |
) |
633 |
|
Less net income attributable to the noncontrolling interest |
(45 |
) |
— |
|
(45 |
) |
45 |
|
(45 |
) |
Net income attributable to QVC, Inc. stockholder |
$ |
588 |
|
362 |
|
87 |
|
(449 |
) |
588 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Comprehensive Income (Loss), Current Period |
Consolidating Statements of Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2015 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Net income |
$ |
662 |
|
473 |
|
201 |
|
(674 |
) |
662 |
|
Foreign currency translation adjustments |
(102 |
) |
— |
|
(102 |
) |
102 |
|
(102 |
) |
Total comprehensive income |
560 |
|
473 |
|
99 |
|
(572 |
) |
560 |
|
Comprehensive income attributable to noncontrolling interest |
(33 |
) |
— |
|
(33 |
) |
33 |
|
(33 |
) |
Comprehensive income attributable to QVC, Inc. stockholder |
$ |
527 |
|
473 |
|
66 |
|
(539 |
) |
527 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Comprehensive Income (Loss), Prior Period |
Consolidating Statements of Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2014 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Net income |
$ |
633 |
|
322 |
|
114 |
|
(436 |
) |
633 |
|
Foreign currency translation adjustments |
(191 |
) |
— |
|
(191 |
) |
191 |
|
(191 |
) |
Total comprehensive income (loss) |
442 |
|
322 |
|
(77 |
) |
(245 |
) |
442 |
|
Comprehensive income attributable to noncontrolling interest |
(26 |
) |
— |
|
(26 |
) |
26 |
|
(26 |
) |
Comprehensive income (loss) attributable to QVC, Inc. stockholder |
$ |
416 |
|
322 |
|
(103 |
) |
(219 |
) |
416 |
|
Consolidating Statements of Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2013 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Net income |
$ |
633 |
|
362 |
|
132 |
|
(494 |
) |
633 |
|
Foreign currency translation adjustments |
(72 |
) |
— |
|
(72 |
) |
72 |
|
(72 |
) |
Total comprehensive income |
561 |
|
362 |
|
60 |
|
(422 |
) |
561 |
|
Comprehensive income attributable to noncontrolling interest |
(20 |
) |
— |
|
(20 |
) |
20 |
|
(20 |
) |
Comprehensive income attributable to QVC, Inc. stockholder |
$ |
541 |
|
362 |
|
40 |
|
(402 |
) |
541 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Schedule of Cash Flows, Current Period |
Consolidating Statements of Cash Flows
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2015 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Operating activities: |
|
|
|
|
|
|
|
|
|
|
Net cash provided by operating activities |
$ |
274 |
|
314 |
|
440 |
|
— |
|
1,028 |
|
Investing activities: |
|
|
|
|
|
Capital expenditures |
(154 |
) |
(9 |
) |
(52 |
) |
— |
|
(215 |
) |
Expenditures for cable and satellite television distribution rights |
— |
|
(68 |
) |
(4 |
) |
— |
|
(72 |
) |
Decrease (increase) in restricted cash |
1 |
|
— |
|
(1 |
) |
— |
|
— |
|
Changes in other noncurrent assets |
12 |
|
— |
|
(12 |
) |
— |
|
— |
|
Other investing activities |
2 |
|
— |
|
— |
|
— |
|
2 |
|
Intercompany investing activities |
525 |
|
413 |
|
— |
|
(938 |
) |
— |
|
Net cash provided by (used in) investing activities |
386 |
|
336 |
|
(69 |
) |
(938 |
) |
(285 |
) |
Financing activities: |
|
|
|
|
|
Principal payments of debt and capital lease obligations |
(2,170 |
) |
— |
|
(7 |
) |
— |
|
(2,177 |
) |
Principal borrowings of debt from senior secured credit facility |
2,974 |
|
— |
|
— |
|
— |
|
2,974 |
|
Payment of debt origination fees |
(3 |
) |
— |
|
— |
|
— |
|
(3 |
) |
Payment of bond premium fees |
(18 |
) |
— |
|
— |
|
— |
|
(18 |
) |
Other financing activities |
(15 |
) |
— |
|
— |
|
— |
|
(15 |
) |
Dividends paid to Liberty |
(1,485 |
) |
— |
|
— |
|
— |
|
(1,485 |
) |
Dividends paid to noncontrolling interest |
— |
|
— |
|
(36 |
) |
— |
|
(36 |
) |
Net short-term intercompany debt (repayments) borrowings |
(822 |
) |
2,192 |
|
(1,370 |
) |
— |
|
— |
|
Other intercompany financing activities |
877 |
|
(2,853 |
) |
1,038 |
|
938 |
|
— |
|
Net cash used in financing activities |
(662 |
) |
(661 |
) |
(375 |
) |
938 |
|
(760 |
) |
Effect of foreign exchange rate changes on cash and cash equivalents |
— |
|
— |
|
(3 |
) |
— |
|
(3 |
) |
Net increase in cash and cash equivalents |
(2 |
) |
(11 |
) |
(7 |
) |
— |
|
(20 |
) |
Cash and cash equivalents, beginning of period |
2 |
|
123 |
|
222 |
|
— |
|
347 |
|
Cash and cash equivalents, end of period |
$ |
— |
|
112 |
|
215 |
|
— |
|
327 |
|
|
| Guarantor Non-guarantor Subsidiary Financial Information, Schedule of Cash Flows, Prior Period |
Consolidating Statements of Cash Flows
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2014 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Operating activities: |
|
|
|
|
|
Net cash provided by operating activities |
$ |
343 |
|
459 |
|
411 |
|
— |
|
1,213 |
|
Investing activities: |
|
|
|
|
|
Capital expenditures |
(161 |
) |
(7 |
) |
5 |
|
(20 |
) |
(183 |
) |
Expenditures for cable and satellite television distribution rights, |
— |
|
(31 |
) |
— |
|
— |
|
(31 |
) |
Decrease in restricted cash |
1 |
|
— |
|
1 |
|
— |
|
2 |
|
Other investing activities |
1 |
|
— |
|
— |
|
— |
|
1 |
|
Intercompany investing activities |
607 |
|
267 |
|
— |
|
(874 |
) |
— |
|
Net cash provided by (used in) investing activities |
448 |
|
229 |
|
6 |
|
(894 |
) |
(211 |
) |
Financing activities: |
|
|
|
|
|
Principal payments of debt and capital lease obligations |
(3,039 |
) |
— |
|
(10 |
) |
— |
|
(3,049 |
) |
Principal borrowings of debt from senior secured credit facility |
1,852 |
|
— |
|
— |
|
— |
|
1,852 |
|
Proceeds from issuance of senior secured notes, net of original issue discount |
1,997 |
|
— |
|
— |
|
— |
|
1,997 |
|
Payment of debt origination fees |
(24 |
) |
— |
|
— |
|
— |
|
(24 |
) |
Payment of bond premium fees |
(32 |
) |
— |
|
— |
|
— |
|
(32 |
) |
Other financing activities |
(3 |
) |
— |
|
— |
|
— |
|
(3 |
) |
Dividends paid to Liberty |
(1,765 |
) |
— |
|
— |
|
— |
|
(1,765 |
) |
Dividends paid to noncontrolling interest |
— |
|
— |
|
(42 |
) |
— |
|
(42 |
) |
Net short-term intercompany debt borrowings (repayments) |
365 |
|
(42 |
) |
(323 |
) |
— |
|
— |
|
Other intercompany financing activities |
(218 |
) |
(656 |
) |
(20 |
) |
894 |
|
— |
|
Net cash used in financing activities |
(867 |
) |
(698 |
) |
(395 |
) |
894 |
|
(1,066 |
) |
Effect of foreign exchange rate changes on cash and cash equivalents |
— |
|
— |
|
(46 |
) |
— |
|
(46 |
) |
Net decrease in cash and cash equivalents |
(76 |
) |
(10 |
) |
(24 |
) |
— |
|
(110 |
) |
Cash and cash equivalents, beginning of period |
78 |
|
133 |
|
246 |
|
— |
|
457 |
|
Cash and cash equivalents, end of period |
$ |
2 |
|
123 |
|
222 |
|
— |
|
347 |
|
Consolidating Statements of Cash Flows
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2013 |
|
(in millions) |
Parent
issuer-
QVC, Inc. |
|
Combined
subsidiary
guarantors |
|
Combined
non-guarantor
subsidiaries |
|
Eliminations |
|
Consolidated-
QVC, Inc. and
subsidiaries |
|
Operating activities: |
|
|
|
|
|
Net cash provided by operating activities |
$ |
373 |
|
389 |
|
211 |
|
— |
|
973 |
|
Investing activities: |
|
|
|
|
|
Capital expenditures |
(106 |
) |
(8 |
) |
(100 |
) |
— |
|
(214 |
) |
Expenditures for cable and satellite television distribution rights |
— |
|
(56 |
) |
(2 |
) |
— |
|
(58 |
) |
Decrease in restricted cash |
2 |
|
— |
|
(1 |
) |
— |
|
1 |
|
Other investing activities |
— |
|
— |
|
3 |
|
— |
|
3 |
|
Changes in other noncurrent assets |
(1 |
) |
— |
|
(1 |
) |
— |
|
(2 |
) |
Intercompany investing activities |
368 |
|
277 |
|
— |
|
(645 |
) |
— |
|
Net cash provided by (used in) investing activities |
263 |
|
213 |
|
(101 |
) |
(645 |
) |
(270 |
) |
Financing activities: |
|
|
|
|
|
Principal payments of debt and capital lease obligations |
(2,375 |
) |
— |
|
(12 |
) |
— |
|
(2,387 |
) |
Principal borrowings of debt from senior secured credit facility |
1,674 |
|
— |
|
— |
|
— |
|
1,674 |
|
Proceeds from issuance of senior secured notes, net of original issue discount |
1,050 |
|
— |
|
— |
|
— |
|
1,050 |
|
Payment of debt origination fees |
(16 |
) |
— |
|
— |
|
— |
|
(16 |
) |
Payment of bond premium fees |
(46 |
) |
— |
|
— |
|
— |
|
(46 |
) |
Other financing activities |
12 |
|
— |
|
— |
|
— |
|
12 |
|
Dividends paid to Liberty |
(1,005 |
) |
— |
|
— |
|
— |
|
(1,005 |
) |
Dividends paid to noncontrolling interest |
— |
|
— |
|
(45 |
) |
— |
|
(45 |
) |
Net short-term intercompany debt borrowings (repayments) |
190 |
|
(63 |
) |
(127 |
) |
— |
|
— |
|
Other intercompany financing activities |
(117 |
) |
(571 |
) |
43 |
|
645 |
|
— |
|
Net cash used in financing activities |
(633 |
) |
(634 |
) |
(141 |
) |
645 |
|
(763 |
) |
Effect of foreign exchange rate changes on cash and cash equivalents |
— |
|
— |
|
(23 |
) |
— |
|
(23 |
) |
Net (decrease) increase in cash and cash equivalents |
3 |
|
(32 |
) |
(54 |
) |
— |
|
(83 |
) |
Cash and cash equivalents, beginning of period |
75 |
|
165 |
|
300 |
|
— |
|
540 |
|
Cash and cash equivalents, end of period |
$ |
78 |
|
133 |
|
246 |
|
— |
|
457 |
|
|