Condensed Consolidating Financial Information (Tables) | 3 Months Ended |
Mar. 31, 2015 |
Condensed Consolidating Financial Information [Abstract] | |
Condensed Consolidating Financial Information | Condensed Consolidating Financial Information |
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Level 3 Financing, Inc., a wholly owned subsidiary of the Company, has issued senior notes that are unsecured obligations of Level 3 Financing, Inc.; however, they are also fully and unconditionally and jointly and severally guaranteed on an unsecured senior basis by Level 3 Communications, Inc. and Level 3 Communications, LLC. |
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In conjunction with the registration of the senior notes, the accompanying condensed consolidating financial information has been prepared and presented pursuant to SEC Regulation S-X Rule 3-10 “Financial statements of guarantors and affiliates whose securities collateralize an issue registered or being registered.” |
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The operating activities of the separate legal entities included in the Company’s Consolidated Financial Statements are interdependent. The accompanying condensed consolidating financial information presents the results of operations, financial position and cash flows of each legal entity and, on an aggregate basis, the other non-guarantor subsidiaries based on amounts incurred by such entities, and is not intended to present the operating results of those legal entities on a stand-alone basis. Level 3 Communications, LLC leases equipment and certain facilities from other wholly owned subsidiaries of Level 3 Communications, Inc. These transactions are eliminated in the consolidated results of the Company. |
Condensed Consolidating Statements of Comprehensive Income (Loss) |
Three Months Ended March 31, 2015 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Revenue | $ | — | | | $ | — | | | $ | 818 | | | $ | 1,287 | | | $ | (52 | ) | | $ | 2,053 | |
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Costs and Expense: | | | | | | | | | | | |
Network Access Costs | — | | | — | | | 320 | | | 455 | | | (52 | ) | | 723 | |
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Network Related Expenses | — | | | — | | | 230 | | | 126 | | | — | | | 356 | |
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Depreciation and Amortization | — | | | — | | | 74 | | | 214 | | | — | | | 288 | |
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Selling, General and Administrative Expenses | 1 | | | — | | | 247 | | | 122 | | | — | | | 370 | |
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Total Costs and Expenses | 1 | | | — | | | 871 | | | 917 | | | (52 | ) | | 1,737 | |
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Operating Income (Loss) | (1 | ) | | — | | | (53 | ) | | 370 | | | — | | | 316 | |
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Other Income (Expense): | | | | | | | | | | | |
Interest Income | — | | | — | | | — | | | 1 | | | — | | | 1 | |
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Interest expense | (19 | ) | | (155 | ) | | (1 | ) | | (5 | ) | | — | | | (180 | ) |
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Interest income (expense) affiliates, net | 333 | | | 501 | | | (766 | ) | | (68 | ) | | — | | | — | |
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Equity in net earnings (losses) of subsidiaries | (191 | ) | | (536 | ) | | 177 | | | — | | | 550 | | | — | |
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Other, net | — | | | — | | | 2 | | | (12 | ) | | — | | | (10 | ) |
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Total Other Income (Expense) | 123 | | | (190 | ) | | (588 | ) | | (84 | ) | | 550 | | | (189 | ) |
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Income (Loss) before Income Taxes | 122 | | | (190 | ) | | (641 | ) | | 286 | | | 550 | | | 127 | |
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Income Tax Expense | — | | | (1 | ) | | — | | | (4 | ) | | — | | | (5 | ) |
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Net Income (Loss) | 122 | | | (191 | ) | | (641 | ) | | 282 | | | 550 | | | 122 | |
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Other Comprehensive Income (Loss), Net of Income Taxes | (141 | ) | | — | | | — | | | (141 | ) | | 141 | | | (141 | ) |
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Comprehensive Income (Loss) | $ | (19 | ) | | $ | (191 | ) | | $ | (641 | ) | | $ | 141 | | | $ | 691 | | | $ | (19 | ) |
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Condensed Consolidating Statements of Comprehensive Income (Loss) |
Three Months Ended March 31, 2014 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Revenue | $ | — | | | $ | — | | | $ | 737 | | | $ | 931 | | | $ | (59 | ) | | $ | 1,609 | |
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Costs and Expense: | | | | | | | | | | | |
Network Access Costs | — | | | — | | | 290 | | | 383 | | | (59 | ) | | 614 | |
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Network Related Expenses | — | | | — | | | 182 | | | 110 | | | — | | | 292 | |
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Depreciation and Amortization | — | | | — | | | 70 | | | 114 | | | — | | | 184 | |
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Selling, General and Administrative Expenses | — | | | — | | | 143 | | | 112 | | | — | | | 255 | |
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Total Costs and Expenses | — | | | — | | | 685 | | | 719 | | | (59 | ) | | 1,345 | |
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Operating Income | — | | | — | | | 52 | | | 212 | | | — | | | 264 | |
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Other Income (Expense): | | | | | | | | | | | |
Interest expense | (34 | ) | | (112 | ) | | (1 | ) | | (4 | ) | | — | | | (151 | ) |
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Interest income (expense) affiliates, net | 288 | | | 459 | | | (712 | ) | | (35 | ) | | — | | | — | |
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Equity in net earnings (losses) of subsidiaries | (142 | ) | | (488 | ) | | 178 | | | — | | | 452 | | | — | |
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Other, net | — | | | — | | | 3 | | | 3 | | | — | | | 6 | |
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Total Other Expense | 112 | | | (141 | ) | | (532 | ) | | (36 | ) | | 452 | | | (145 | ) |
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Income (Loss) before Income Taxes | 112 | | | (141 | ) | | (480 | ) | | 176 | | | 452 | | | 119 | |
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Income Tax Expense | — | | | (1 | ) | | (1 | ) | | (5 | ) | | — | | | (7 | ) |
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Net Income (Loss) | 112 | | | (142 | ) | | (481 | ) | | 171 | | | 452 | | | 112 | |
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Other Comprehensive Income, Net of Income Taxes | 6 | | | — | | | — | | | 6 | | | (6 | ) | | 6 | |
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Comprehensive Income (Loss) | $ | 118 | | | $ | (142 | ) | | $ | (481 | ) | | $ | 177 | | | $ | 446 | | | $ | 118 | |
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Condensed Consolidating Balance Sheets |
March 31, 2015 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Assets | | | | | | | | | | | |
Current Assets: | | | | | | | | | | | |
Cash and cash equivalents | $ | 14 | | | $ | 5 | | | $ | 841 | | | $ | 254 | | | $ | — | | | $ | 1,114 | |
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Restricted cash and securities | — | | | — | | | 1 | | | 6 | | | — | | | 7 | |
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Receivables, less allowances for doubtful accounts | — | | | — | | | 41 | | | 702 | | | — | | | 743 | |
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Due from affiliates | 14,987 | | | 22,125 | | | — | | | — | | | (37,112 | ) | | — | |
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Other | 2 | | | 27 | | | 70 | | | 89 | | | — | | | 188 | |
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Total Current Assets | 15,003 | | | 22,157 | | | 953 | | | 1,051 | | | (37,112 | ) | | 2,052 | |
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Property, Plant, and Equipment, net | — | | | — | | | 3,181 | | | 6,563 | | | — | | | 9,744 | |
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Restricted Cash and Securities | 3 | | | — | | | 15 | | | 1 | | | — | | | 19 | |
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Goodwill and Other Intangibles, net | — | | | — | | | 371 | | | 8,667 | | | — | | | 9,038 | |
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Investment in Subsidiaries | 16,700 | | | 14,342 | | | 3,726 | | | — | | | (34,768 | ) | | — | |
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Other Assets, net | 25 | | | 126 | | | 9 | | | 290 | | | — | | | 450 | |
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Total Assets | $ | 31,731 | | | $ | 36,625 | | | $ | 8,255 | | | $ | 16,572 | | | $ | (71,880 | ) | | $ | 21,303 | |
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Liabilities and Stockholders' Equity (Deficit) | | | | | | | | | | | |
Current Liabilities: | | | | | | | | | | | |
Accounts payable | $ | — | | | $ | — | | | $ | 225 | | | $ | 404 | | | $ | — | | | $ | 629 | |
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Current portion of long-term debt | — | | | 494 | | | 3 | | | 13 | | | — | | | 510 | |
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Accrued payroll and employee benefits | — | | | — | | | 135 | | | 42 | | | — | | | 177 | |
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Accrued interest | 12 | | | 170 | | | — | | | 5 | | | — | | | 187 | |
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Current portion of deferred revenue | — | | | — | | | 114 | | | 186 | | | — | | | 300 | |
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Due to affiliates | — | | | — | | | 35,463 | | | 1,649 | | | (37,112 | ) | | — | |
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Other | — | | | 2 | | | 82 | | | 66 | | | — | | | 150 | |
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Total Current Liabilities | 12 | | | 666 | | | 36,022 | | | 2,365 | | | (37,112 | ) | | 1,953 | |
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Long-Term Debt, less current portion | 900 | | | 9,900 | | | 16 | | | 174 | | | — | | | 10,990 | |
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Deferred Revenue, less current portion | — | | | — | | | 599 | | | 296 | | | — | | | 895 | |
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Other Liabilities | 15 | | | 24 | | | 127 | | | 582 | | | — | | | 748 | |
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Commitments and Contingencies | | | | | | | | | | | |
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Stockholders' Equity (Deficit) | 30,804 | | | 26,035 | | | (28,509 | ) | | 13,155 | | | (34,768 | ) | | 6,717 | |
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Total Liabilities and Stockholders' Equity (Deficit) | $ | 31,731 | | | $ | 36,625 | | | $ | 8,255 | | | $ | 16,572 | | | $ | (71,880 | ) | | $ | 21,303 | |
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Condensed Consolidating Balance Sheets |
December 31, 2014 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Assets | | | | | | | | | | | |
Current Assets: | | | | | | | | | | | |
Cash and cash equivalents | $ | 7 | | | $ | 5 | | | $ | 307 | | | $ | 261 | | | $ | — | | | $ | 580 | |
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Restricted cash and securities | — | | | — | | | 1 | | | 6 | | | — | | | 7 | |
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Receivables, less allowances for doubtful accounts | — | | | — | | | 34 | | | 703 | | | — | | | 737 | |
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Due from affiliates | 14,522 | | | 21,270 | | | — | | | — | | | (35,792 | ) | | — | |
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Other | 2 | | | 21 | | | 45 | | | 97 | | | — | | | 165 | |
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Total Current Assets | 14,531 | | | 21,296 | | | 387 | | | 1,067 | | | (35,792 | ) | | 1,489 | |
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Property, Plant, and Equipment, net | — | | | — | | | 3,152 | | | 6,708 | | | — | | | 9,860 | |
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Restricted Cash and Securities | 3 | | | — | | | 16 | | | 1 | | | — | | | 20 | |
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Goodwill and Other Intangibles, net | — | | | — | | | 373 | | | 8,730 | | | — | | | 9,103 | |
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Investment in Subsidiaries | 16,686 | | | 14,777 | | | 3,729 | | | — | | | (35,192 | ) | | — | |
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Other Assets, net | 28 | | | 129 | | | 9 | | | 309 | | | — | | | 475 | |
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Total Assets | $ | 31,248 | | | $ | 36,202 | | | $ | 7,666 | | | $ | 16,815 | | | $ | (70,984 | ) | | $ | 20,947 | |
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Liabilities and Stockholders' Equity (Deficit) | | | | | | | | | | | |
Current Liabilities: | | | | | | | | | | | |
Accounts payable | $ | — | | | $ | — | | | $ | 215 | | | $ | 449 | | | $ | — | | | $ | 664 | |
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Current portion of long-term debt | 333 | | | — | | | 3 | | | 13 | | | — | | | 349 | |
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Accrued payroll and employee benefits | — | | | — | | | 174 | | | 99 | | | — | | | 273 | |
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Accrued interest | 12 | | | 158 | | | — | | | 4 | | | — | | | 174 | |
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Current portion of deferred revenue | — | | | — | | | 118 | | | 169 | | | — | | | 287 | |
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Due to affiliates | — | | | — | | | 34,401 | | | 1,391 | | | (35,792 | ) | | — | |
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Other | — | | | 2 | | | 62 | | | 103 | | | — | | | 167 | |
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Total Current Liabilities | 345 | | | 160 | | | 34,973 | | | 2,228 | | | (35,792 | ) | | 1,914 | |
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Long-Term Debt, less current portion | 900 | | | 9,893 | | | 16 | | | 175 | | | — | | | 10,984 | |
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Deferred Revenue, less current portion | — | | | — | | | 617 | | | 304 | | | — | | | 921 | |
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Other Liabilities | 16 | | | 24 | | | 125 | | | 600 | | | — | | | 765 | |
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Commitments and Contingencies | | | | | | | | | | | |
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Stockholders' Equity (Deficit) | 29,987 | | | 26,125 | | | (28,065 | ) | | 13,508 | | | (35,192 | ) | | 6,363 | |
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Total Liabilities and Stockholders' Equity (Deficit) | $ | 31,248 | | | $ | 36,202 | | | $ | 7,666 | | | $ | 16,815 | | | $ | (70,984 | ) | | $ | 20,947 | |
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Condensed Consolidating Statements of Cash Flows |
Three Months Ended March 31, 2015 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Net Cash Provided by (Used in) Operating Activities | $ | (7 | ) | | $ | (137 | ) | | $ | (82 | ) | | $ | 531 | | | $ | — | | | $ | 305 | |
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Cash Flows from Investing Activities: | | | | | | | | | | | |
Capital Expenditures | — | | | — | | | (77 | ) | | (177 | ) | | — | | | (254 | ) |
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Decrease in restricted cash and securities, net | — | | | — | | | 1 | | | — | | | — | | | 1 | |
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Proceeds from the sale of property, plant and equipment and other assets | — | | | — | | | — | | | 1 | | | — | | | 1 | |
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Other | — | | | — | | | — | | | — | | | — | | | — | |
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Net Cash Used in Investing Activities | — | | | — | | | (76 | ) | | (176 | ) | | — | | | (252 | ) |
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Cash Flows from Financing Activities: | | | | | | | | | | | |
Long-term debt borrowings, net of issuance costs | — | | | 492 | | | — | | | — | | | — | | | 492 | |
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Payments on and repurchases of long-term debt, including current portion and refinancing costs | — | | | — | | | — | | | (2 | ) | | — | | | (2 | ) |
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Increase (decrease) due from/to affiliates, net | 14 | | | (355 | ) | | 692 | | | (351 | ) | | — | | | — | |
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Net Cash Provided by (Used in) Financing Activities | 14 | | | 137 | | | 692 | | | (353 | ) | | — | | | 490 | |
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Effect of Exchange Rates on Cash and Cash Equivalents | — | | | — | | | — | | | (9 | ) | | — | | | (9 | ) |
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Net Change in Cash and Cash Equivalents | 7 | | | — | | | 534 | | | (7 | ) | | — | | | 534 | |
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Cash and Cash Equivalents at Beginning of Period | 7 | | | 5 | | | 307 | | | 261 | | | — | | | 580 | |
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Cash and Cash Equivalents at End of Period | $ | 14 | | | $ | 5 | | | $ | 841 | | | $ | 254 | | | $ | — | | | $ | 1,114 | |
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Condensed Consolidating Statements of Cash Flows |
Three Months Ended March 31, 2014 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Net Cash Provided by (Used in) Operating Activities | $ | (16 | ) | | $ | (125 | ) | | $ | 183 | | | $ | 99 | | | $ | — | | | $ | 141 | |
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Cash Flows from Investing Activities: | | | | | | | | | | | |
Capital Expenditures | — | | | — | | | (74 | ) | | (89 | ) | | — | | | (163 | ) |
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Decrease in restricted cash and securities, net | — | | | — | | | — | | | 1 | | | — | | | 1 | |
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Proceeds from sale of property, plant and equipment and other assets | — | | | — | | | — | | | 1 | | | — | | | 1 | |
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Other | — | | | — | | | — | | | (1 | ) | | — | | | (1 | ) |
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Net Cash Used in Investing Activities | — | | | — | | | (74 | ) | | (88 | ) | | — | | | (162 | ) |
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Cash Flows from Financing Activities: | | | | | | | | | | | |
Long-term debt borrowings, net of issuance costs | — | | | — | | | — | | | — | | | — | | | — | |
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Payments on and repurchases of long-term debt, including current portion and refinancing costs | — | | | — | | | — | | | (3 | ) | | — | | | (3 | ) |
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Increase (decrease) due from/to affiliates, net | 16 | | | 125 | | | (100 | ) | | (41 | ) | | — | | | — | |
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Net Cash Provided by (Used in) Financing Activities | 16 | | | 125 | | | (100 | ) | | (44 | ) | | — | | | (3 | ) |
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Effect of Exchange Rates on Cash and Cash Equivalents | — | | | — | | | — | | | — | | | — | | | — | |
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Net Change in Cash and Cash Equivalents | — | | | — | | | 9 | | | (33 | ) | | — | | | (24 | ) |
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Cash and Cash Equivalents at Beginning of Period | 8 | | | 6 | | | 347 | | | 270 | | | — | | | 631 | |
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Cash and Cash Equivalents at End of Period | $ | 8 | | | $ | 6 | | | $ | 356 | | | $ | 237 | | | $ | — | | | $ | 607 | |
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Schedule of Condensed Consolidating Statements of Operations | Condensed Consolidating Statements of Comprehensive Income (Loss) |
Three Months Ended March 31, 2015 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Revenue | $ | — | | | $ | — | | | $ | 818 | | | $ | 1,287 | | | $ | (52 | ) | | $ | 2,053 | |
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Costs and Expense: | | | | | | | | | | | |
Network Access Costs | — | | | — | | | 320 | | | 455 | | | (52 | ) | | 723 | |
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Network Related Expenses | — | | | — | | | 230 | | | 126 | | | — | | | 356 | |
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Depreciation and Amortization | — | | | — | | | 74 | | | 214 | | | — | | | 288 | |
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Selling, General and Administrative Expenses | 1 | | | — | | | 247 | | | 122 | | | — | | | 370 | |
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Total Costs and Expenses | 1 | | | — | | | 871 | | | 917 | | | (52 | ) | | 1,737 | |
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Operating Income (Loss) | (1 | ) | | — | | | (53 | ) | | 370 | | | — | | | 316 | |
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Other Income (Expense): | | | | | | | | | | | |
Interest Income | — | | | — | | | — | | | 1 | | | — | | | 1 | |
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Interest expense | (19 | ) | | (155 | ) | | (1 | ) | | (5 | ) | | — | | | (180 | ) |
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Interest income (expense) affiliates, net | 333 | | | 501 | | | (766 | ) | | (68 | ) | | — | | | — | |
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Equity in net earnings (losses) of subsidiaries | (191 | ) | | (536 | ) | | 177 | | | — | | | 550 | | | — | |
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Other, net | — | | | — | | | 2 | | | (12 | ) | | — | | | (10 | ) |
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Total Other Income (Expense) | 123 | | | (190 | ) | | (588 | ) | | (84 | ) | | 550 | | | (189 | ) |
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Income (Loss) before Income Taxes | 122 | | | (190 | ) | | (641 | ) | | 286 | | | 550 | | | 127 | |
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Income Tax Expense | — | | | (1 | ) | | — | | | (4 | ) | | — | | | (5 | ) |
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Net Income (Loss) | 122 | | | (191 | ) | | (641 | ) | | 282 | | | 550 | | | 122 | |
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Other Comprehensive Income (Loss), Net of Income Taxes | (141 | ) | | — | | | — | | | (141 | ) | | 141 | | | (141 | ) |
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Comprehensive Income (Loss) | $ | (19 | ) | | $ | (191 | ) | | $ | (641 | ) | | $ | 141 | | | $ | 691 | | | $ | (19 | ) |
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Condensed Consolidating Statements of Comprehensive Income (Loss) |
Three Months Ended March 31, 2014 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Revenue | $ | — | | | $ | — | | | $ | 737 | | | $ | 931 | | | $ | (59 | ) | | $ | 1,609 | |
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Costs and Expense: | | | | | | | | | | | |
Network Access Costs | — | | | — | | | 290 | | | 383 | | | (59 | ) | | 614 | |
|
Network Related Expenses | — | | | — | | | 182 | | | 110 | | | — | | | 292 | |
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Depreciation and Amortization | — | | | — | | | 70 | | | 114 | | | — | | | 184 | |
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Selling, General and Administrative Expenses | — | | | — | | | 143 | | | 112 | | | — | | | 255 | |
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Total Costs and Expenses | — | | | — | | | 685 | | | 719 | | | (59 | ) | | 1,345 | |
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Operating Income | — | | | — | | | 52 | | | 212 | | | — | | | 264 | |
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Other Income (Expense): | | | | | | | | | | | |
Interest expense | (34 | ) | | (112 | ) | | (1 | ) | | (4 | ) | | — | | | (151 | ) |
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Interest income (expense) affiliates, net | 288 | | | 459 | | | (712 | ) | | (35 | ) | | — | | | — | |
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Equity in net earnings (losses) of subsidiaries | (142 | ) | | (488 | ) | | 178 | | | — | | | 452 | | | — | |
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Other, net | — | | | — | | | 3 | | | 3 | | | — | | | 6 | |
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Total Other Expense | 112 | | | (141 | ) | | (532 | ) | | (36 | ) | | 452 | | | (145 | ) |
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Income (Loss) before Income Taxes | 112 | | | (141 | ) | | (480 | ) | | 176 | | | 452 | | | 119 | |
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Income Tax Expense | — | | | (1 | ) | | (1 | ) | | (5 | ) | | — | | | (7 | ) |
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Net Income (Loss) | 112 | | | (142 | ) | | (481 | ) | | 171 | | | 452 | | | 112 | |
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Other Comprehensive Income, Net of Income Taxes | 6 | | | — | | | — | | | 6 | | | (6 | ) | | 6 | |
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Comprehensive Income (Loss) | $ | 118 | | | $ | (142 | ) | | $ | (481 | ) | | $ | 177 | | | $ | 446 | | | $ | 118 | |
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Schedule of Condensed Consolidating Balance Sheets | Condensed Consolidating Balance Sheets |
March 31, 2015 |
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| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Assets | | | | | | | | | | | |
Current Assets: | | | | | | | | | | | |
Cash and cash equivalents | $ | 14 | | | $ | 5 | | | $ | 841 | | | $ | 254 | | | $ | — | | | $ | 1,114 | |
|
Restricted cash and securities | — | | | — | | | 1 | | | 6 | | | — | | | 7 | |
|
Receivables, less allowances for doubtful accounts | — | | | — | | | 41 | | | 702 | | | — | | | 743 | |
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Due from affiliates | 14,987 | | | 22,125 | | | — | | | — | | | (37,112 | ) | | — | |
|
Other | 2 | | | 27 | | | 70 | | | 89 | | | — | | | 188 | |
|
Total Current Assets | 15,003 | | | 22,157 | | | 953 | | | 1,051 | | | (37,112 | ) | | 2,052 | |
|
Property, Plant, and Equipment, net | — | | | — | | | 3,181 | | | 6,563 | | | — | | | 9,744 | |
|
Restricted Cash and Securities | 3 | | | — | | | 15 | | | 1 | | | — | | | 19 | |
|
Goodwill and Other Intangibles, net | — | | | — | | | 371 | | | 8,667 | | | — | | | 9,038 | |
|
Investment in Subsidiaries | 16,700 | | | 14,342 | | | 3,726 | | | — | | | (34,768 | ) | | — | |
|
Other Assets, net | 25 | | | 126 | | | 9 | | | 290 | | | — | | | 450 | |
|
Total Assets | $ | 31,731 | | | $ | 36,625 | | | $ | 8,255 | | | $ | 16,572 | | | $ | (71,880 | ) | | $ | 21,303 | |
|
| | | | | | | | | | | |
Liabilities and Stockholders' Equity (Deficit) | | | | | | | | | | | |
Current Liabilities: | | | | | | | | | | | |
Accounts payable | $ | — | | | $ | — | | | $ | 225 | | | $ | 404 | | | $ | — | | | $ | 629 | |
|
Current portion of long-term debt | — | | | 494 | | | 3 | | | 13 | | | — | | | 510 | |
|
Accrued payroll and employee benefits | — | | | — | | | 135 | | | 42 | | | — | | | 177 | |
|
Accrued interest | 12 | | | 170 | | | — | | | 5 | | | — | | | 187 | |
|
Current portion of deferred revenue | — | | | — | | | 114 | | | 186 | | | — | | | 300 | |
|
Due to affiliates | — | | | — | | | 35,463 | | | 1,649 | | | (37,112 | ) | | — | |
|
Other | — | | | 2 | | | 82 | | | 66 | | | — | | | 150 | |
|
Total Current Liabilities | 12 | | | 666 | | | 36,022 | | | 2,365 | | | (37,112 | ) | | 1,953 | |
|
Long-Term Debt, less current portion | 900 | | | 9,900 | | | 16 | | | 174 | | | — | | | 10,990 | |
|
Deferred Revenue, less current portion | — | | | — | | | 599 | | | 296 | | | — | | | 895 | |
|
Other Liabilities | 15 | | | 24 | | | 127 | | | 582 | | | — | | | 748 | |
|
Commitments and Contingencies | | | | | | | | | | | |
|
Stockholders' Equity (Deficit) | 30,804 | | | 26,035 | | | (28,509 | ) | | 13,155 | | | (34,768 | ) | | 6,717 | |
|
Total Liabilities and Stockholders' Equity (Deficit) | $ | 31,731 | | | $ | 36,625 | | | $ | 8,255 | | | $ | 16,572 | | | $ | (71,880 | ) | | $ | 21,303 | |
|
Condensed Consolidating Balance Sheets |
December 31, 2014 |
|
|
| | | | | | | | | | | | | | | | | | | | | | | |
| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Assets | | | | | | | | | | | |
Current Assets: | | | | | | | | | | | |
Cash and cash equivalents | $ | 7 | | | $ | 5 | | | $ | 307 | | | $ | 261 | | | $ | — | | | $ | 580 | |
|
Restricted cash and securities | — | | | — | | | 1 | | | 6 | | | — | | | 7 | |
|
Receivables, less allowances for doubtful accounts | — | | | — | | | 34 | | | 703 | | | — | | | 737 | |
|
Due from affiliates | 14,522 | | | 21,270 | | | — | | | — | | | (35,792 | ) | | — | |
|
Other | 2 | | | 21 | | | 45 | | | 97 | | | — | | | 165 | |
|
Total Current Assets | 14,531 | | | 21,296 | | | 387 | | | 1,067 | | | (35,792 | ) | | 1,489 | |
|
Property, Plant, and Equipment, net | — | | | — | | | 3,152 | | | 6,708 | | | — | | | 9,860 | |
|
Restricted Cash and Securities | 3 | | | — | | | 16 | | | 1 | | | — | | | 20 | |
|
Goodwill and Other Intangibles, net | — | | | — | | | 373 | | | 8,730 | | | — | | | 9,103 | |
|
Investment in Subsidiaries | 16,686 | | | 14,777 | | | 3,729 | | | — | | | (35,192 | ) | | — | |
|
Other Assets, net | 28 | | | 129 | | | 9 | | | 309 | | | — | | | 475 | |
|
Total Assets | $ | 31,248 | | | $ | 36,202 | | | $ | 7,666 | | | $ | 16,815 | | | $ | (70,984 | ) | | $ | 20,947 | |
|
| | | | | | | | | | | |
Liabilities and Stockholders' Equity (Deficit) | | | | | | | | | | | |
Current Liabilities: | | | | | | | | | | | |
Accounts payable | $ | — | | | $ | — | | | $ | 215 | | | $ | 449 | | | $ | — | | | $ | 664 | |
|
Current portion of long-term debt | 333 | | | — | | | 3 | | | 13 | | | — | | | 349 | |
|
Accrued payroll and employee benefits | — | | | — | | | 174 | | | 99 | | | — | | | 273 | |
|
Accrued interest | 12 | | | 158 | | | — | | | 4 | | | — | | | 174 | |
|
Current portion of deferred revenue | — | | | — | | | 118 | | | 169 | | | — | | | 287 | |
|
Due to affiliates | — | | | — | | | 34,401 | | | 1,391 | | | (35,792 | ) | | — | |
|
Other | — | | | 2 | | | 62 | | | 103 | | | — | | | 167 | |
|
Total Current Liabilities | 345 | | | 160 | | | 34,973 | | | 2,228 | | | (35,792 | ) | | 1,914 | |
|
Long-Term Debt, less current portion | 900 | | | 9,893 | | | 16 | | | 175 | | | — | | | 10,984 | |
|
Deferred Revenue, less current portion | — | | | — | | | 617 | | | 304 | | | — | | | 921 | |
|
Other Liabilities | 16 | | | 24 | | | 125 | | | 600 | | | — | | | 765 | |
|
Commitments and Contingencies | | | | | | | | | | | |
|
Stockholders' Equity (Deficit) | 29,987 | | | 26,125 | | | (28,065 | ) | | 13,508 | | | (35,192 | ) | | 6,363 | |
|
Total Liabilities and Stockholders' Equity (Deficit) | $ | 31,248 | | | $ | 36,202 | | | $ | 7,666 | | | $ | 16,815 | | | $ | (70,984 | ) | | $ | 20,947 | |
|
Schedule of Condensed Consolidating Statements of Cash Flows | Condensed Consolidating Statements of Cash Flows |
Three Months Ended March 31, 2015 |
|
|
| | | | | | | | | | | | | | | | | | | | | | | |
| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Net Cash Provided by (Used in) Operating Activities | $ | (7 | ) | | $ | (137 | ) | | $ | (82 | ) | | $ | 531 | | | $ | — | | | $ | 305 | |
|
Cash Flows from Investing Activities: | | | | | | | | | | | |
Capital Expenditures | — | | | — | | | (77 | ) | | (177 | ) | | — | | | (254 | ) |
|
Decrease in restricted cash and securities, net | — | | | — | | | 1 | | | — | | | — | | | 1 | |
|
Proceeds from the sale of property, plant and equipment and other assets | — | | | — | | | — | | | 1 | | | — | | | 1 | |
|
Other | — | | | — | | | — | | | — | | | — | | | — | |
|
Net Cash Used in Investing Activities | — | | | — | | | (76 | ) | | (176 | ) | | — | | | (252 | ) |
|
Cash Flows from Financing Activities: | | | | | | | | | | | |
Long-term debt borrowings, net of issuance costs | — | | | 492 | | | — | | | — | | | — | | | 492 | |
|
Payments on and repurchases of long-term debt, including current portion and refinancing costs | — | | | — | | | — | | | (2 | ) | | — | | | (2 | ) |
|
Increase (decrease) due from/to affiliates, net | 14 | | | (355 | ) | | 692 | | | (351 | ) | | — | | | — | |
|
Net Cash Provided by (Used in) Financing Activities | 14 | | | 137 | | | 692 | | | (353 | ) | | — | | | 490 | |
|
Effect of Exchange Rates on Cash and Cash Equivalents | — | | | — | | | — | | | (9 | ) | | — | | | (9 | ) |
|
Net Change in Cash and Cash Equivalents | 7 | | | — | | | 534 | | | (7 | ) | | — | | | 534 | |
|
Cash and Cash Equivalents at Beginning of Period | 7 | | | 5 | | | 307 | | | 261 | | | — | | | 580 | |
|
Cash and Cash Equivalents at End of Period | $ | 14 | | | $ | 5 | | | $ | 841 | | | $ | 254 | | | $ | — | | | $ | 1,114 | |
|
Condensed Consolidating Statements of Cash Flows |
Three Months Ended March 31, 2014 |
|
|
| | | | | | | | | | | | | | | | | | | | | | | |
| Level 3 Communications, Inc. | | Level 3 Financing, Inc. | | Level 3 Communications, LLC | | Other Non-Guarantor Subsidiaries | | Eliminations | | Total |
| (dollars in millions) |
Net Cash Provided by (Used in) Operating Activities | $ | (16 | ) | | $ | (125 | ) | | $ | 183 | | | $ | 99 | | | $ | — | | | $ | 141 | |
|
Cash Flows from Investing Activities: | | | | | | | | | | | |
Capital Expenditures | — | | | — | | | (74 | ) | | (89 | ) | | — | | | (163 | ) |
|
Decrease in restricted cash and securities, net | — | | | — | | | — | | | 1 | | | — | | | 1 | |
|
Proceeds from sale of property, plant and equipment and other assets | — | | | — | | | — | | | 1 | | | — | | | 1 | |
|
Other | — | | | — | | | — | | | (1 | ) | | — | | | (1 | ) |
|
Net Cash Used in Investing Activities | — | | | — | | | (74 | ) | | (88 | ) | | — | | | (162 | ) |
|
Cash Flows from Financing Activities: | | | | | | | | | | | |
Long-term debt borrowings, net of issuance costs | — | | | — | | | — | | | — | | | — | | | — | |
|
Payments on and repurchases of long-term debt, including current portion and refinancing costs | — | | | — | | | — | | | (3 | ) | | — | | | (3 | ) |
|
Increase (decrease) due from/to affiliates, net | 16 | | | 125 | | | (100 | ) | | (41 | ) | | — | | | — | |
|
Net Cash Provided by (Used in) Financing Activities | 16 | | | 125 | | | (100 | ) | | (44 | ) | | — | | | (3 | ) |
|
Effect of Exchange Rates on Cash and Cash Equivalents | — | | | — | | | — | | | — | | | — | | | — | |
|
Net Change in Cash and Cash Equivalents | — | | | — | | | 9 | | | (33 | ) | | — | | | (24 | ) |
|
Cash and Cash Equivalents at Beginning of Period | 8 | | | 6 | | | 347 | | | 270 | | | — | | | 631 | |
|
Cash and Cash Equivalents at End of Period | $ | 8 | | | $ | 6 | | | $ | 356 | | | $ | 237 | | | $ | — | | | $ | 607 | |
|
| | | | | | | | | | | | | | | | | | | | | | | | |