COVER PAGE
COVER PAGE - shares | 9 Months Ended | |
Sep. 30, 2019 | Nov. 08, 2019 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2019 | |
Document Transition Report | false | |
Entity File Number | 001-09553 | |
Entity Registrant Name | CBS CORPORATION | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 04-2949533 | |
Entity Address, Address Line One | 51 W. 52nd Street, | |
Entity Address, City or Town | New York, | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10019 | |
City Area Code | 212 | |
Local Phone Number | 975-4321 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0000813828 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2019 | |
Current Fiscal Year End Date | --12-31 | |
Amendment Flag | false | |
Common Class A [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, $0.001 par value | |
Trading Symbol | CBS.A | |
Security Exchange Name | NYSE | |
Shares of common stock outstanding | 22,802,951 | |
Common Class B [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Class B Common Stock, $0.001 par value | |
Trading Symbol | CBS | |
Security Exchange Name | NYSE | |
Shares of common stock outstanding | 351,924,645 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Statement [Abstract] | ||||
Revenues | $ 3,295 | $ 3,263 | $ 11,271 | $ 10,490 |
Costs and expenses: | ||||
Operating | 2,078 | 1,922 | 7,335 | 6,506 |
Selling, general and administrative | 584 | 549 | 1,702 | 1,605 |
Depreciation and amortization | 52 | 56 | 158 | 168 |
Restructuring charges | 0 | 0 | 108 | 25 |
Merger-related costs and other corporate matters | 80 | 46 | 93 | 65 |
Gain on sale of assets | 0 | 0 | (549) | 0 |
Total costs and expenses | 2,794 | 2,573 | 8,847 | 8,369 |
Operating income (loss) | 501 | 690 | 2,424 | 2,121 |
Interest expense | (114) | (115) | (346) | (349) |
Interest income | 12 | 12 | 38 | 43 |
Other items, net | (24) | (17) | (66) | (52) |
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | 375 | 570 | 2,050 | 1,763 |
(Provision) benefit for income taxes | (33) | (64) | 344 | (312) |
Equity in loss of investee companies, net of tax | (23) | (18) | (52) | (52) |
Net earnings | $ 319 | $ 488 | $ 2,342 | $ 1,399 |
Basic net earnings per common share (in dollars per share) | $ 0.85 | $ 1.30 | $ 6.26 | $ 3.70 |
Diluted net earnings per common share (in dollars per share) | $ 0.85 | $ 1.29 | $ 6.23 | $ 3.66 |
Weighted average number of common shares outstanding: | ||||
Basic (in shares) | 374 | 375 | 374 | 378 |
Diluted (in shares) | 376 | 379 | 376 | 382 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 319 | $ 488 | $ 2,342 | $ 1,399 |
Other comprehensive income (loss), net of tax: | ||||
Cumulative translation adjustments | (10) | (3) | (8) | (17) |
Amortization of net actuarial loss | 14 | 15 | 41 | 45 |
Total other comprehensive income, net of tax | 4 | 12 | 33 | 28 |
Total comprehensive income | $ 323 | $ 500 | $ 2,375 | $ 1,427 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Current Assets: | ||
Cash and cash equivalents | $ 196 | $ 322 |
Receivables, less allowances of $46 (2019) and $41 (2018) | 3,685 | 4,041 |
Programming and other inventory | 1,964 | 1,988 |
Prepaid income taxes | 0 | 27 |
Prepaid expenses | 218 | 149 |
Other current assets | 210 | 225 |
Total current assets | 6,273 | 6,752 |
Property and equipment | 2,942 | 2,926 |
Less accumulated depreciation and amortization | 1,771 | 1,717 |
Net property and equipment | 1,171 | 1,209 |
Programming and other inventory | 4,861 | 3,883 |
Goodwill | 5,064 | 4,920 |
Intangible assets | 2,655 | 2,638 |
Operating lease assets | 1,001 | 0 |
Deferred income tax assets, net | 779 | 29 |
Other assets | 2,672 | 2,395 |
Assets held for sale | 0 | 33 |
Total Assets | 24,476 | 21,859 |
Current Liabilities: | ||
Accounts payable | 308 | 201 |
Accrued compensation | 280 | 346 |
Participants’ share and royalties payable | 1,201 | 1,177 |
Accrued programming and production costs | 635 | 704 |
Income taxes payable | 94 | 0 |
Commercial paper | 50 | 674 |
Accrued expenses and other current liabilities | 1,554 | 1,471 |
Total current liabilities | 4,122 | 4,573 |
Long-term debt | 9,359 | 9,465 |
Pension and postretirement benefit obligations | 1,354 | 1,388 |
Deferred income tax liabilities, net | 552 | 399 |
Noncurrent operating lease liabilities | 948 | 0 |
Other liabilities | 3,089 | 3,230 |
Commitments and contingencies | ||
Stockholders’ Equity: | ||
Common stock | 1 | 1 |
Additional paid-in capital | 43,510 | 43,637 |
Accumulated deficit | (14,683) | (17,201) |
Accumulated other comprehensive income (loss) | (918) | (775) |
Stockholders' equity including treasury stock | 27,910 | 25,662 |
Less treasury stock, at cost; 500 (2019 and 2018) Class B shares | 22,858 | 22,858 |
Total Stockholders’ Equity | 5,052 | 2,804 |
Total Liabilities and Stockholders’ Equity | 24,476 | 21,859 |
Common Class A [Member] | ||
Stockholders’ Equity: | ||
Common stock | 0 | 0 |
Common Class B [Member] | ||
Stockholders’ Equity: | ||
Common stock | $ 1 | $ 1 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Allowances for receivables | $ 46 | $ 41 |
Common Class A [Member] | ||
Class of Stock [Line Items] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 375,000,000 | 375,000,000 |
Common stock, shares issued (in shares) | 23,000,000 | 35,000,000 |
Common Class B [Member] | ||
Class of Stock [Line Items] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 5,000,000,000 | 5,000,000,000 |
Common stock, shares issued (in shares) | 852,000,000 | 838,000,000 |
Treasury stock, at cost, Class B shares (in shares) | 500,000,000 | 500,000,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Operating Activities: | ||
Net earnings | $ 2,342 | $ 1,399 |
Adjustments to reconcile net earnings to net cash flow provided by operating activities from continuing operations: | ||
Depreciation and amortization | 158 | 168 |
Deferred tax benefit | (582) | (51) |
Stock-based compensation | 117 | 105 |
Equity in loss of investee companies, net of tax and distributions | 53 | 52 |
Gain on sale of assets | (549) | 0 |
Change in assets and liabilities, net of investing and financing activities | (1,198) | (494) |
Net cash flow provided by operating activities from continuing operations | 341 | 1,179 |
Net cash flow provided by operating activities from discontinued operations | 0 | 1 |
Net cash flow provided by operating activities | 341 | 1,180 |
Investing Activities: | ||
Investments in and advances to investee companies | (72) | (76) |
Capital expenditures | (94) | (99) |
Acquisitions, net of cash acquired | (39) | (29) |
Proceeds from dispositions | 740 | 0 |
Proceeds from sale of investments | 15 | 0 |
Other investing activities | 3 | 8 |
Net cash flow provided by (used for) investing activities from continuing operations | 553 | (196) |
Net cash flow used for investing activities from discontinued operations | 0 | (23) |
Net cash flow provided by (used for) investing activities | 553 | (219) |
Financing Activities: | ||
Repayments of short-term debt borrowings, net | (624) | (305) |
Proceeds from issuance of senior notes | 492 | 0 |
Repayment of senior notes | (600) | 0 |
Payment of finance lease obligations | (9) | (12) |
Payment of contingent consideration | (3) | (5) |
Dividends | (205) | (208) |
Purchase of Company common stock | (14) | (497) |
Payment of payroll taxes in lieu of issuing shares for stock-based compensation | (43) | (59) |
Acquisition of noncontrolling interest | (26) | 0 |
Proceeds from exercise of stock options | 14 | 23 |
Other financing activities | 0 | (1) |
Net cash flow provided by (used for) financing activities | (1,018) | (1,064) |
Net decrease in cash, cash equivalents and restricted cash | (124) | (103) |
Cash, cash equivalents and restricted cash at beginning of period (includes $120 (2019) and $0 (2018) of restricted cash) | 442 | 285 |
Cash, cash equivalents and restricted cash at end of period (includes $122 (2019) and $0 (2018) of restricted cash) | 318 | 182 |
Supplemental disclosure of cash flow information | ||
Cash paid for interest | 385 | 406 |
Cash paid (refunded) for income taxes | 333 | (19) |
Discontinued Operations [Member] | ||
Supplemental disclosure of cash flow information | ||
Cash paid (refunded) for income taxes | $ 0 | $ (3) |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 |
Statement of Cash Flows [Abstract] | ||||
Restricted cash | $ 122 | $ 120 | $ 0 | $ 0 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Millions | Total | Common Stock [Member]Common Class A [Member] | Common Stock [Member]Common Class B [Member] | Additional Paid-In Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] | Treasury Stock [Member] |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adoption of new revenue recognition standard | $ (261) | ||||||
Balance, beginning of period at Dec. 31, 2017 | $ 0 | $ 1 | $ 43,797 | (18,900) | $ (662) | $ (22,258) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock-based compensation | 112 | ||||||
Exercise of stock options | 24 | ||||||
Retirement of treasury stock | (59) | 59 | |||||
Dividends | (206) | ||||||
Acquisition of noncontrolling interest | 0 | ||||||
Net earnings | $ 1,399 | 1,399 | |||||
Other comprehensive income | 28 | 28 | |||||
Reclassification of income tax effects of the Tax Reform Act | 0 | 0 | |||||
Class B Common Stock purchased | (501) | ||||||
Shares paid for tax withholding for stock-based compensation | (59) | ||||||
Balance, end of period at Sep. 30, 2018 | 2,514 | 0 | 1 | 43,668 | (17,762) | (634) | (22,759) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adoption of new revenue recognition standard | 0 | ||||||
Balance, beginning of period at Jun. 30, 2018 | 0 | 1 | 43,720 | (18,250) | (646) | (22,658) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock-based compensation | 14 | ||||||
Exercise of stock options | 2 | ||||||
Retirement of treasury stock | 0 | 0 | |||||
Dividends | (68) | ||||||
Acquisition of noncontrolling interest | 0 | ||||||
Net earnings | 488 | 488 | |||||
Other comprehensive income | 12 | 12 | |||||
Reclassification of income tax effects of the Tax Reform Act | 0 | 0 | |||||
Class B Common Stock purchased | (101) | ||||||
Shares paid for tax withholding for stock-based compensation | 0 | ||||||
Balance, end of period at Sep. 30, 2018 | 2,514 | 0 | 1 | 43,668 | (17,762) | (634) | (22,759) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adoption of new revenue recognition standard | 0 | ||||||
Balance, beginning of period at Dec. 31, 2018 | 2,804 | 0 | 1 | 43,637 | (17,201) | (775) | (22,858) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock-based compensation | 117 | ||||||
Exercise of stock options | 14 | ||||||
Retirement of treasury stock | (43) | 43 | |||||
Dividends | (205) | ||||||
Acquisition of noncontrolling interest | (10) | ||||||
Net earnings | 2,342 | 2,342 | |||||
Other comprehensive income | 33 | 33 | |||||
Reclassification of income tax effects of the Tax Reform Act | 176 | 176 | 176 | ||||
Class B Common Stock purchased | 0 | ||||||
Shares paid for tax withholding for stock-based compensation | (43) | ||||||
Balance, end of period at Sep. 30, 2019 | 5,052 | 0 | 1 | 43,510 | (14,683) | (918) | (22,858) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adoption of new revenue recognition standard | 0 | ||||||
Balance, beginning of period at Jun. 30, 2019 | 0 | 1 | 43,534 | (15,002) | (922) | (22,858) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock-based compensation | 42 | ||||||
Exercise of stock options | 3 | ||||||
Retirement of treasury stock | 0 | 0 | |||||
Dividends | (69) | ||||||
Acquisition of noncontrolling interest | 0 | ||||||
Net earnings | 319 | 319 | |||||
Other comprehensive income | 4 | 4 | |||||
Reclassification of income tax effects of the Tax Reform Act | 0 | 0 | |||||
Class B Common Stock purchased | 0 | ||||||
Shares paid for tax withholding for stock-based compensation | 0 | ||||||
Balance, end of period at Sep. 30, 2019 | $ 5,052 | $ 0 | $ 1 | $ 43,510 | $ (14,683) | $ (918) | $ (22,858) |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | 1 ) BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of Business- CBS Corporation (together with its consolidated subsidiaries unless the context otherwise requires, the “Company” or “CBS Corp.”) is comprised of the following segments: Entertainment (CBS Television, comprised of the CBS Television Network, CBS Television Studios and CBS Global Distribution Group; Network 10; CBS Interactive; CBS Sports Network and CBS Films), Cable Networks (Showtime Networks, Pop and Smithsonian Networks), Publishing (Simon & Schuster) and Local Media (CBS Television Stations and CBS Local Digital Media). Merger Agreement with Viacom Inc.- On August 13, 2019 , CBS Corp. and Viacom Inc. (“Viacom”) entered into an Agreement and Plan of Merger (the “Merger Agreement”), as amended as of October 16, 2019 , pursuant to which CBS Corp. and Viacom agreed to combine their respective businesses. The Merger Agreement provides that Viacom will merge with and into CBS Corp. (the “Merger”), with CBS Corp. continuing as the surviving company, upon the terms and subject to the conditions therein. At the effective time of the Merger (the “Effective Time”), the name of the combined company will be changed to “ViacomCBS Inc.” (“ViacomCBS”). At the Effective Time, (1) each share of Viacom Class A Common Stock issued and outstanding immediately prior to the Effective Time, other than shares held directly by Viacom as treasury shares or held by CBS Corp., will be converted automatically into 0.59625 shares of ViacomCBS Class A Common Stock, and (2) each share of Viacom Class B Common Stock issued and outstanding immediately prior to the Effective Time, other than shares held directly by Viacom as treasury shares or held by CBS Corp., will be converted automatically into 0.59625 shares of ViacomCBS Class B Common Stock (together with ViacomCBS Class A Common Stock, the “ViacomCBS Common Stock”). At the Effective Time, each share of CBS Corp. Class A Common Stock and each share of CBS Corp. Class B Common Stock (together with CBS Corp. Class A Common Stock, the “CBS Corp. Common Stock”) issued and outstanding immediately prior to the Effective Time, will remain an issued and outstanding share of ViacomCBS Class A Common Stock and ViacomCBS Class B Common Stock, respectively. On October 16, 2019 , CBS Corp. and Viacom entered into an amendment to the Merger Agreement pursuant to which CBS Corp. and Viacom agreed to delist the CBS Corp. Common Stock from the New York Stock Exchange and to list the ViacomCBS Common Stock on the NASDAQ Global Select Market following the Effective Time. The Merger Agreement provides that the executive officers of ViacomCBS will include, among others, Mr. Robert M. Bakish, the current President and Chief Executive Officer of Viacom, who will serve as President and Chief Executive Officer of ViacomCBS; Ms. Christina Spade, the current Executive Vice President, Chief Financial Officer of CBS Corp., who will serve as Executive Vice President, Chief Financial Officer of ViacomCBS; and Ms. Christa D’Alimonte, the current Executive Vice President, General Counsel and Secretary of Viacom, who will serve as Executive Vice President, General Counsel and Secretary of ViacomCBS. Mr. Joseph R. Ianniello, the current President and Acting Chief Executive Officer of CBS Corp., will serve as Chairman and Chief Executive Officer of the CBS business of ViacomCBS. In addition, under the Merger Agreement, the Company and Viacom have agreed to take all actions necessary to cause the ViacomCBS board of directors to consist of 13 members, comprised of six CBS Corp. directors, four Viacom directors, two directors designated by National Amusements, Inc. (“NAI”), and the ViacomCBS Chief Executive Officer. On October 25, 2019, the Company’s Registration Statement on Form S-4, which was filed with the Securities and Exchange Commission (“SEC”) in connection with the pending Merger, was declared effective by the SEC. On October 28, 2019, NAI and a wholly owned subsidiary of NAI (together with NAI, the “NAI Parties”), the controlling stockholder of each of CBS Corp. and Viacom, delivered written consents that constitute receipt of stockholder approval for each of CBS Corp. and Viacom with respect to the adoption of the Merger Agreement and related approvals. The Company expects the Merger to close by early December 2019, subject to other customary closing conditions. The Merger will be accounted for as a transaction between entities under common control as NAI is the controlling stockholder of each of CBS Corp. and Viacom. Upon the closing of the Merger, the net assets of Viacom will be combined with those of the Company at their historical carrying amounts and the companies will be presented on a combined basis for all historical periods presented. Basis of Presentation -The accompanying unaudited consolidated financial statements of the Company have been prepared pursuant to the rules of the SEC. These financial statements should be read in conjunction with the more detailed financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 . In the opinion of management, the accompanying unaudited financial statements reflect all adjustments, consisting only of normal and recurring adjustments, necessary for a fair statement of the financial position, results of operations and cash flows of the Company for the periods presented. Certain previously reported amounts have been reclassified to conform to the current presentation. Use of Estimates -The preparation of the Company’s financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires management to make estimates, judgments and assumptions that affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. Noncurrent Receivables- Noncurrent receivables of $1.83 billion at September 30, 2019 and $1.55 billion at December 31, 2018 are included in “Other assets” on the Company’s Consolidated Balance Sheets and primarily relate to revenues recognized under long-term television licensing arrangements. Television license fee revenues are recognized at the beginning of the license period in which programs are made available to the licensee for exhibition, while the related cash is collected over the term of the license period. Deferred Revenues- Deferred revenues of $416 million at September 30, 2019 and $274 million at December 31, 2018 are primarily included within “Accrued expenses and other current liabilities” on the Company’s Consolidated Balance Sheets. These amounts consist mainly of cash received related to advertising arrangements and the licensing of television programming for which the revenues have not yet been earned. The change in deferred revenues for the nine months ended September 30, 2019 primarily reflects cash payments received during the period for which the performance obligation was not satisfied prior to the end of the period offset by $168 million of revenues recognized that were included in deferred revenues at December 31, 2018 . Unrecognized Revenues Under Contract- As of September 30, 2019 , unrecognized revenue attributable to unsatisfied performance obligations under the Company’s long-term contracts was $4.14 billion , of which $572 million is expected to be recognized for the remainder of 2019 , $1.64 billion for 2020 , $1.11 billion for 2021 , and $820 million thereafter. These amounts only include contracts subject to a guaranteed fixed amount or the guaranteed minimum under variable contracts. Such amounts change on a regular basis as the Company renews existing agreements or enters into new agreements. Unrecognized revenues under contract disclosed above do not include (i) contracts with an original expected term of one year or less, mainly consisting of the Company’s advertising contracts (ii) contracts for which variable consideration is determined based on the customer’s subsequent sale or usage, mainly consisting of affiliate and subscription fee agreements and (iii) long-term licensing agreements for multiple programs for which the Company’s right to invoice corresponds with the value of the programs provided to the customer. Leases- The Company has operating leases primarily for office space, equipment, satellite transponders and studio facilities and finance leases for satellite transponders and office equipment. The Company determines that a contract contains a lease if it obtains substantially all of the economic benefits of, and the right to direct the use of, an asset identified in the contract. For leases with terms greater than 12 months, the Company records a right-of-use asset and a lease liability representing the present value of future lease payments. The discount rate used to measure the lease asset and liability is determined at the beginning of the lease term using the rate implicit in the lease, if readily determinable, or the Company’s collateralized incremental borrowing rate. For those contracts that include fixed rental payments for both the use of the asset (“lease costs”) as well as for other occupancy or service costs relating to the asset (“non-lease costs”), the Company includes both the lease costs and non-lease costs in the measurement of the lease asset and liability. The Company also owns buildings and production facilities where it leases space to lessees. The Company’s leases have remaining terms ranging from one to 16 years and often contain renewal options to extend the lease for periods of generally up to five years. For leases that contain renewal options, the Company includes the renewal period in the lease term if it is reasonably certain that the option will be exercised. Lease expenses and income are recognized on a straight-line basis over the lease term, with the exception of variable lease costs, which are expensed as incurred, and leases of assets used in the production of programming, which are capitalized in programming assets and amortized over the projected useful life of the related programming. Restricted Cash -Restricted cash of $122 million at September 30, 2019 and $120 million at December 31, 2018 is included within “Other assets” on the Company’s Consolidated Balance Sheets and consists of amounts held in a grantor trust related to the separation and settlement agreement between the Company and the former Chairman of the Board, President and Chief Executive Officer of the Company (see Note 13 ). Net Earnings per Common Share -Basic net earnings per share (“EPS”) is based upon net earnings divided by the weighted average number of common shares outstanding during the period. Diluted EPS reflects the effect of the assumed exercise of stock options and vesting of restricted stock units (“RSUs”) only in the periods in which such effect would have been dilutive. Excluded from the calculation of diluted EPS because their inclusion would have been anti-dilutive, were 7 million stock options and RSUs for each of the three and nine months ended September 30, 2019 , and 7 million stock options for each of the three and nine months ended September 30, 2018 . The table below presents a reconciliation of weighted average shares used in the calculation of basic and diluted EPS. Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2019 2018 2019 2018 Weighted average shares for basic EPS 374 375 374 378 Dilutive effect of shares issuable under stock-based compensation plans 2 4 2 4 Weighted average shares for diluted EPS 376 379 376 382 Other Liabilities -Other liabilities consist primarily of the noncurrent portion of residual liabilities of previously disposed businesses, participants’ share and royalties payable, program rights obligations, long-term tax liabilities, deferred compensation and other employee benefit accruals. Additional Paid-In Capital -For the nine months ended September 30, 2019 and 2018 , the Company recorded dividends of $205 million and $206 million , respectively, as a reduction to additional paid-in capital as the Company had an accumulated deficit balance. Gain on Sale of Assets -During the first quarter of 2019, the Company completed the sale of its CBS Television City property and sound stage operation (“CBS Television City”) for $750 million . The Company has guaranteed a specified level of cash flows to be generated by the business during the first five years following the completion of the sale. Included on the Company’s Consolidated Balance Sheet at September 30, 2019 is a liability of $123 million , reflecting the present value of the estimated amount payable under the guarantee obligation. This transaction resulted in a gain of $549 million ( $386 million , net of tax), which includes a reduction for the guarantee obligation. CBS Television City has been classified as held for sale on the Company’s Consolidated Balance Sheet at December 31, 2018 . Acquisition -In March 2019, the Company acquired the remaining 50% interest in Pop , a general entertainment cable network, for $50 million , bringing the Company’s ownership to 100% . The assets acquired primarily consist of goodwill and other identifiable intangible assets. The results of Pop are included in the Cable Networks segment from the date of acquisition. Recently Adopted Accounting Pronouncements Leases During the first quarter of 2019 , the Company adopted Financial Accounting Standards Board (“FASB”) guidance on the accounting for leases, which supersedes previous lease guidance. Under this guidance, for all leases with terms in excess of one year, the Company recognizes on its balance sheet a lease liability and a right-of-use asset representing its right to use the underlying asset for the lease term. The new guidance retains a distinction between finance leases and operating leases and the classification criteria is substantially similar to previous guidance. Additionally, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee have not significantly changed. The Company applied the modified retrospective method of adoption and therefore, results for reporting periods beginning after January 1, 2019 are presented under the new guidance while prior periods have not been adjusted. As a result of this guidance, the Company’s Consolidated Balance Sheet at September 30, 2019 included right-of-use assets of $1.00 billion and lease liabilities of $1.08 billion for its operating leases. This guidance did not have an impact on the Company’s Consolidated Statement of Operations. See Note 12 for additional information. Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income During the first quarter of 2019 , the Company adopted FASB guidance that permits an entity to reclassify certain income tax effects of federal tax legislation enacted in December 2017 (the “Tax Reform Act”) on items within accumulated other comprehensive income (“AOCI”) to retained earnings. As a result of the Tax Reform Act, in 2017, the Company remeasured its deferred income tax assets and liabilities to reflect the reduction in the federal income tax rate from 35% to 21%. The remeasurement was recognized in net earnings and as a result, the income tax effects of the Tax Reform Act on items within AOCI remained at historical rates (“stranded tax effects”). During the first quarter of 2019, as a result of the adoption of this guidance, the Company elected to reclassify the stranded tax effects of $176 million relating to its pension and postretirement obligations from AOCI to accumulated deficit. This guidance also requires entities to disclose their accounting policy for releasing stranded tax effects, unrelated to the Tax Reform Act, from AOCI. For pension and postretirement benefit plans, the Company releases stranded tax effects from AOCI when the pension and postretirement plans are terminated. Targeted Improvements to Accounting for Hedging Activities During the first quarter of 2019 , the Company adopted FASB amended guidance for hedge accounting, which expands the eligibility of hedging strategies that qualify for hedge accounting, modifies the recognition and presentation of hedges in the financial statements, and changes how companies assess hedge effectiveness. In addition, this guidance amends and expands disclosure requirements. The adoption of this guidance did not have an impact on the Company’s consolidated financial statements. Accounting Pronouncements Not Yet Adopted Improvements to Accounting for Costs of Films and License Agreements for Program Materials In March 2019, the FASB issued guidance on the accounting for costs of films and episodic television series, which aligns the accounting for capitalizing production costs of episodic television series with the guidance for films. As a result, the capitalization of costs incurred to produce episodic television series will no longer be limited to the amount of revenue contracted in the initial market until persuasive evidence of a secondary market exists. In addition, this guidance requires the Company to test for impairment of television series on a title-by-title basis or together with other series as part of a group, based on the predominant monetization strategy of the series. This guidance also removes the requirement to classify all capitalized costs for produced television series as noncurrent on the balance sheet and adds new disclosure requirements relating to costs for acquired and produced television series. The Company is currently evaluating the impact of this guidance, which is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted. Collaborative Arrangements: Clarifying the Interaction with the New Revenue Standard In November 2018, the FASB issued guidance to clarify that certain transactions between parties to collaborative arrangements should be accounted for in accordance with FASB revenue guidance when the counterparty is a customer. This guidance also prohibits the presentation of collaborative arrangements as revenues from contracts with customers if the counterparty is not a customer. This guidance, which is required to be applied retrospectively and is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted, is not expected to have an impact on the Company’s consolidated financial statements. Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract In August 2018, the FASB issued guidance on the accounting for implementation costs of a cloud computing arrangement that is considered to be a service contract. This guidance requires companies to follow the guidance for capitalizing costs associated with internal-use software to determine which costs to capitalize in a cloud computing arrangement that is a service contract. The guidance also specifies the financial statement presentation for capitalized implementation costs and the related amortization, as well as required financial statement disclosures. The Company is currently evaluating the impact of this guidance, which is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted. Changes to the Disclosure Requirements for Defined Benefit Plans In August 2018, the FASB issued amended guidance that eliminates, adds and clarifies certain disclosure requirements for defined benefit pension or other postretirement plans. The Company is currently evaluating the impact of this guidance, which is required to be applied retrospectively and is effective for annual periods ending after December 15, 2020, with early adoption permitted. Changes to the Disclosure Requirements for Fair Value Measurements In August 2018, the FASB issued amended guidance that eliminates, adds and modifies certain disclosure requirements for fair value measurements. This guidance, which is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted, is not expected to have an impact on the Company’s consolidated financial statements. |
Stock-based Compensation
Stock-based Compensation | 9 Months Ended |
Sep. 30, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-based Compensation | 2 ) STOCK-BASED COMPENSATION The following table summarizes the Company’s stock-based compensation expense for the three and nine months ended September 30, 2019 and 2018 . Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 RSUs and PSUs $ 38 $ 7 $ 104 $ 86 Stock options 4 7 13 19 Stock-based compensation expense, before income taxes 42 14 117 105 Related tax benefit (8 ) (3 ) (27 ) (26 ) Stock-based compensation expense, net of tax benefit $ 34 $ 11 $ 90 $ 79 Stock-based compensation expenses for the three and nine months ended September 30, 2019 includes $6 million for the accelerated vesting of stock-based compensation that is triggered by the Merger. Stock-based compensation for the three and nine months ended September 30, 2018 included forfeitures of $28 million and accelerations of $6 million relating to changes in senior management. Each of these items are included in “Merger-related costs and other corporate matters” on the Consolidated Statements of Operations. During the nine months ended September 30, 2019 , the Company granted 4 million RSUs for CBS Corp. Class B Common Stock with a weighted average per unit grant-date fair value of $50.24 . RSUs granted during the first nine months of 2019 generally vest over a one - to four -year service period. Compensation expense for RSUs is determined based upon the market price of the shares underlying the awards on the date of grant. For certain RSU awards the number of shares an employee earns ranges from 0% to 120% of the target award, based on the outcome of established performance conditions. Compensation expense is recorded based on the probable outcome of the performance conditions. Total unrecognized compensation cost related to unvested RSUs at September 30, 2019 was $237 million , which is expected to be recognized over a weighted average period of 2.5 years . Total unrecognized compensation cost related to unvested stock option awards at September 30, 2019 was $17 million , which is expected to be recognized over a weighted average period of 1.9 years |
Restructuring, Merger-Related C
Restructuring, Merger-Related Costs and Other Corporate Matters | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring Charges [Abstract] | |
Restructuring, Merger-Related Costs and Other Corporate Matters | 3 ) RESTRUCTURING, MERGER-RELATED COSTS AND OTHER CORPORATE MATTERS Restructuring Charges During the first quarter of 2019 , the Company initiated a restructuring plan under which severance payments are being provided to certain eligible employees who voluntarily elected to participate. The Company also implemented additional restructuring plans during the first quarter of 2019 across several of its businesses in connection with a continued effort to reduce its cost structure. As a result, the Company recorded restructuring charges of $108 million in the first quarter of 2019 , reflecting $98 million of severance costs and $10 million of costs associated with exiting contractual obligations and other related costs. During the year ended December 31, 2018 , the Company recorded restructuring charges of $67 million , reflecting $57 million of severance costs and $10 million of costs associated with exiting contractual obligations and other related costs. During the year ended December 31, 2017 , the Company recorded restructuring charges of $63 million , reflecting $54 million of severance costs and $9 million of costs associated with exiting contractual obligations and other related costs. As of September 30, 2019 , the cumulative settlements for the 2019 , 2018 and 2017 restructuring charges were $140 million , of which $126 million was for severance costs and $14 million was for costs associated with contractual obligations and other related costs. The Company expects to substantially utilize its restructuring reserves by the end of 2020. Balance at 2019 2019 Balance at December 31, 2018 Charges Settlements September 30, 2019 Entertainment $ 31 $ 48 $ (37 ) $ 42 Cable Networks — 5 (2 ) 3 Publishing 2 5 (3 ) 4 Local Media 23 28 (19 ) 32 Corporate 12 22 (17 ) 17 Total $ 68 $ 108 $ (78 ) $ 98 Balance at 2018 2018 Balance at December 31, 2017 Charges Settlements December 31, 2018 Entertainment $ 39 $ 27 $ (35 ) $ 31 Publishing 3 1 (2 ) 2 Local Media 11 18 (6 ) 23 Corporate 2 21 (11 ) 12 Total $ 55 $ 67 $ (54 ) $ 68 Merger-related Costs and Other Corporate Matters For the three and nine months ended September 30, 2019 , the Company incurred costs of $80 million and $83 million , respectively, in connection with the pending Merger with Viacom, consisting of financial advisory, legal and other professional fees, as well as contractual executive compensation, including the accelerated vesting of stock-based compensation, that is triggered by the Merger. For the nine-month period, the Company also incurred costs of $10 million associated with legal proceedings involving the Company (see Note 13 ) and other corporate matters. During the three and nine months ended September 30, 2018 , the Company recorded expenses of $46 million and $65 million , respectively, primarily for professional fees associated with legal proceedings, investigations at the Company and other corporate matters. |
Restructuring, Merger-Related Costs and Other Corporate Matters | 3 ) RESTRUCTURING, MERGER-RELATED COSTS AND OTHER CORPORATE MATTERS Restructuring Charges During the first quarter of 2019 , the Company initiated a restructuring plan under which severance payments are being provided to certain eligible employees who voluntarily elected to participate. The Company also implemented additional restructuring plans during the first quarter of 2019 across several of its businesses in connection with a continued effort to reduce its cost structure. As a result, the Company recorded restructuring charges of $108 million in the first quarter of 2019 , reflecting $98 million of severance costs and $10 million of costs associated with exiting contractual obligations and other related costs. During the year ended December 31, 2018 , the Company recorded restructuring charges of $67 million , reflecting $57 million of severance costs and $10 million of costs associated with exiting contractual obligations and other related costs. During the year ended December 31, 2017 , the Company recorded restructuring charges of $63 million , reflecting $54 million of severance costs and $9 million of costs associated with exiting contractual obligations and other related costs. As of September 30, 2019 , the cumulative settlements for the 2019 , 2018 and 2017 restructuring charges were $140 million , of which $126 million was for severance costs and $14 million was for costs associated with contractual obligations and other related costs. The Company expects to substantially utilize its restructuring reserves by the end of 2020. Balance at 2019 2019 Balance at December 31, 2018 Charges Settlements September 30, 2019 Entertainment $ 31 $ 48 $ (37 ) $ 42 Cable Networks — 5 (2 ) 3 Publishing 2 5 (3 ) 4 Local Media 23 28 (19 ) 32 Corporate 12 22 (17 ) 17 Total $ 68 $ 108 $ (78 ) $ 98 Balance at 2018 2018 Balance at December 31, 2017 Charges Settlements December 31, 2018 Entertainment $ 39 $ 27 $ (35 ) $ 31 Publishing 3 1 (2 ) 2 Local Media 11 18 (6 ) 23 Corporate 2 21 (11 ) 12 Total $ 55 $ 67 $ (54 ) $ 68 Merger-related Costs and Other Corporate Matters For the three and nine months ended September 30, 2019 , the Company incurred costs of $80 million and $83 million , respectively, in connection with the pending Merger with Viacom, consisting of financial advisory, legal and other professional fees, as well as contractual executive compensation, including the accelerated vesting of stock-based compensation, that is triggered by the Merger. For the nine-month period, the Company also incurred costs of $10 million associated with legal proceedings involving the Company (see Note 13 ) and other corporate matters. During the three and nine months ended September 30, 2018 , the Company recorded expenses of $46 million and $65 million , respectively, primarily for professional fees associated with legal proceedings, investigations at the Company and other corporate matters. |
Programming and Other Inventory
Programming and Other Inventory | 9 Months Ended |
Sep. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Programming and Other Inventory | 4 ) PROGRAMMING AND OTHER INVENTORY At At September 30, 2019 December 31, 2018 Acquired program rights $ 2,657 $ 2,400 Acquired television library 99 99 Internally produced programming: Released 2,810 2,477 In process and other 1,188 839 Publishing, primarily finished goods 71 56 Total programming and other inventory 6,825 5,871 Less current portion 1,964 1,988 Total noncurrent programming and other inventory $ 4,861 $ 3,883 |
Related Parties
Related Parties | 9 Months Ended |
Sep. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related Parties | 5 ) RELATED PARTIES National Amusements, Inc. National Amusements, Inc. is the controlling stockholder of CBS Corp. and Viacom. Mr. Sumner M. Redstone, the controlling stockholder, chairman of the board of directors and chief executive officer of NAI, is the Chairman Emeritus of CBS Corp. and the Chairman Emeritus of Viacom. In addition, Ms. Shari Redstone, Mr. Sumner M. Redstone’s daughter, is the president and a director of NAI and the vice chair of the Board of Directors of each of CBS Corp. and Viacom. At September 30, 2019 , NAI directly or indirectly owned approximately 78.9% of CBS Corp.’s voting Class A Common Stock, and owned approximately 10.4% of CBS Corp.’s Class A Common Stock and non-voting Class B Common Stock on a combined basis. NAI is controlled by Mr. Redstone through the Sumner M. Redstone National Amusements Trust (the “SMR Trust”), which owns 80% of the voting interest of NAI, and such voting interest of NAI held by the SMR Trust is voted solely by Mr. Redstone until his incapacity or death. The SMR Trust provides that in the event of Mr. Redstone’s death or incapacity, voting control of the NAI voting interest held by the SMR Trust will pass to seven trustees, who will include CBS Corporation director Ms. Shari Redstone. No member of the Company’s management is a trustee of the SMR Trust. On August 13, 2019 , the Company and Viacom entered into the Merger Agreement, as amended as of October 16, 2019 , which provides that Viacom will merge with and into CBS Corp., with CBS Corp. continuing as the surviving company, upon the terms and subject to the conditions therein. Concurrently with the execution of the Merger Agreement, CBS Corp. and Viacom entered into a Support Agreement (the “Support Agreement”) with the NAI Parties. Pursuant to the Support Agreement, on October 28, 2019, the NAI Parties delivered written consents that constitute receipt of stockholder approval for each of CBS Corp. and Viacom with respect to the adoption of the Merger Agreement and related approvals. Also on August 13, 2019 , CBS Corp., Viacom, the NAI Parties and certain other persons affiliated or associated with NAI entered into a Governance Agreement (the “Governance Agreement”) regarding ViacomCBS governance matters, such as the composition of the ViacomCBS board of directors, among other matters, and the Company and NAI, among other parties, entered into an amendment (the “Amendment to Settlement Agreement”) to the Settlement and Release Agreement dated as of September 9, 2018 (the “Settlement Agreement”) among such parties, providing for the deletion of certain provisions in the Settlement Agreement regarding matters that will be governed by the Governance Agreement. The Governance Agreement and the Amendment to Settlement Agreement will become effective at the Effective Time. See Note 1 for additional information regarding the pending Merger. Viacom Inc. As part of its normal course of business, the Company licenses its television content, leases production facilities and sells advertising spots to various subsidiaries of Viacom. Viacom also distributes certain of the Company’s television programs in the home entertainment market. The Company’s total revenues from these transactions were $19 million and $42 million for the three months ended September 30, 2019 and 2018 , respectively, and $45 million and $71 million for the nine months ended September 30, 2019 and 2018 , respectively. The Company leases production facilities, licenses feature films and purchases advertising spots from various subsidiaries of Viacom. The total amounts for these transactions were $13 million and $9 million for the three months ended September 30, 2019 and 2018 , respectively, and $31 million and $21 million for the nine months ended September 30, 2019 and 2018 , respectively. The following table presents the amounts due from Viacom in the normal course of business as reflected on the Company’s Consolidated Balance Sheets. Amounts due to Viacom. were minimal at September 30, 2019 and December 31, 2018 . At At September 30, 2019 December 31, 2018 Receivables $ 40 $ 38 Other assets (Receivables, noncurrent) 16 23 Total amounts due from Viacom $ 56 $ 61 See the aforementioned section entitled “ National Amusements, Inc. ” for information relating to the Merger Agreement, Support Agreement and Governance Agreement involving CBS Corp. and Viacom and Note 1 for additional information regarding the pending Merger. Other Related Parties. The Company has equity interests in a domestic television network and several international joint ventures for television channels from which the Company earns revenues primarily by licensing its television programming. In addition, the Company held a 50% equity interest in Pop , a general entertainment cable network. In March 2019, the Company acquired the remaining 50% interest in Pop for $50 million , bringing the Company’s ownership to 100% . Total revenues earned from sales to these joint ventures were $12 million and $14 million for the three months ended September 30, 2019 and 2018 , respectively, and $101 million and $67 million for the nine months ended September 30, 2019 and 2018 , respectively. At September 30, 2019 and December 31, 2018 , total amounts due from these joint ventures were $11 million and $34 million , respectively. Amounts associated with Pop are included above through the date of acquisition. The Company, through the normal course of business, is involved in transactions with other related parties that have not been material in any of the periods presented. |
Bank Financing and Debt
Bank Financing and Debt | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Bank Financing and Debt | 6 ) BANK FINANCING AND DEBT The following table sets forth the Company’s debt. At At September 30, 2019 December 31, 2018 Commercial paper $ 50 $ 674 Senior debt (2.30% - 7.875% due 2019 - 2045) (a) 9,334 9,435 Obligations under finance leases 35 43 Total debt 9,419 10,152 Less commercial paper 50 674 Less current portion of long-term debt 10 13 Total long-term debt, net of current portion $ 9,359 $ 9,465 (a) At September 30, 2019 and December 31, 2018 , the senior debt balances included (i) a net unamortized discount of $57 million and $58 million , respectively, (ii) unamortized deferred financing costs of $42 million and $43 million at September 30, 2019 and December 31, 2018 , respectively, and (iii) a decrease in the carrying value of the debt relating to previously settled fair value hedges of $6 million and $5 million , respectively. The face value of the Company’s senior debt was $9.44 billion and $9.54 billion at September 30, 2019 and December 31, 2018 , respectively. In March 2019, the Company issued $500 million of 4.20% senior notes due 2029 . The Company used the net proceeds from this issuance in the redemption of its $600 million outstanding 2.30% senior notes due August 2019 . Commercial Paper The Company had outstanding commercial paper borrowings under its $2.5 billion commercial paper program of $50 million and $674 million at September 30, 2019 and December 31, 2018 , respectively, each with maturities of less than 60 days. The weighted average interest rate for these borrowings was 2.25% and 3.02% at September 30, 2019 and December 31, 2018 , respectively. Credit Facility At September 30, 2019 , the Company had a $2.5 billion revolving credit facility (the “Credit Facility”) which expires in June 2021 . The Credit Facility requires the Company to maintain a maximum Consolidated Leverage Ratio of 4.5x at the end of each quarter as further described in the Credit Facility. At September 30, 2019 , the Company’s Consolidated Leverage Ratio was approximately 3.1x . The Consolidated Leverage Ratio is the ratio of the Company’s indebtedness from continuing operations, adjusted to exclude certain finance lease obligations, at the end of a quarter, to the Company’s Consolidated EBITDA for the trailing four consecutive quarters. Consolidated EBITDA is defined in the Credit Facility as operating income plus interest income and before depreciation, amortization and certain other noncash items. The Credit Facility is used for general corporate purposes. At September 30, 2019 , the Company had no borrowings outstanding under the Credit Facility and the remaining availability under the Credit Facility, net of outstanding letters of credit, was $2.49 billion . |
Pension and Other Postretiremen
Pension and Other Postretirement Benefits | 9 Months Ended |
Sep. 30, 2019 | |
Retirement Benefits [Abstract] | |
Pension and Other Postretirement Benefits | 7 ) PENSION AND OTHER POSTRETIREMENT BENEFITS The components of net periodic cost for the Company’s pension and postretirement benefit plans were as follows: Pension Benefits Postretirement Benefits Three Months Ended September 30, 2019 2018 2019 2018 Components of net periodic cost: Service cost $ 7 $ 7 $ — $ — Interest cost 39 38 4 3 Expected return on plan assets (38 ) (45 ) — — Amortization of actuarial loss (gain) (a) 23 24 (5 ) (4 ) Net periodic cost $ 31 $ 24 $ (1 ) $ (1 ) Pension Benefits Postretirement Benefits Nine Months Ended September 30, 2019 2018 2019 2018 Components of net periodic cost: Service cost $ 21 $ 23 $ — $ — Interest cost 117 112 11 11 Expected return on plan assets (114 ) (135 ) — — Amortization of actuarial loss (gain) (a) 69 72 (14 ) (13 ) Net periodic cost $ 93 $ 72 $ (3 ) $ (2 ) (a) Reflects amounts reclassified from accumulated other comprehensive loss to net earnings. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | 8 ) STOCKHOLDERS’ EQUITY During the third quarter of 2019 , the Company declared a quarterly cash dividend of $.18 per share on its Class A and Class B Common Stock, resulting in total dividends of $69 million , which were paid on October 1, 2019 . Accumulated Other Comprehensive Income (Loss) The following tables summarize the changes in the components of accumulated other comprehensive loss. Cumulative Translation Adjustments Net Actuarial Loss and Prior Service Cost Accumulated Other Comprehensive Loss At December 31, 2018 $ 133 $ (908 ) $ (775 ) Other comprehensive loss before reclassifications (8 ) — (8 ) Reclassifications to net earnings — 41 (a) 41 Other comprehensive income (loss) (8 ) 41 33 Tax effects reclassified to accumulated deficit — (176 ) (b) (176 ) At September 30, 2019 $ 125 $ (1,043 ) $ (918 ) Cumulative Translation Adjustments Net Actuarial Loss and Prior Service Cost Accumulated Other Comprehensive Loss At December 31, 2017 $ 159 $ (821 ) $ (662 ) Other comprehensive loss before reclassifications (17 ) — (17 ) Reclassifications to net earnings — 45 (a) 45 Other comprehensive income (loss) (17 ) 45 28 At September 30, 2018 $ 142 $ (776 ) $ (634 ) (a) Reflects amortization of net actuarial losses (see Note 7 ). Amounts are net of tax benefits of $14 million for each of the nine months ended September 30, 2019 and 2018 . (b) Reflects the reclassification of certain income tax effects of the Tax Reform Act on items within accumulated other comprehensive loss to accumulated deficit upon the adoption of new FASB guidance (see Note 1 ). |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 9 ) INCOME TAXES The (provision) benefit for income taxes represents federal, state and local, and foreign income taxes on earnings before income taxes and equity in loss of investee companies. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Provision for income taxes before discrete items $ (84 ) $ (119 ) $ (324 ) $ (364 ) Tax benefit from transfer of assets (a) — — 768 — Provision for gain on sale of assets (b) — — (163 ) — Impact of tax law changes (c) — 54 — 54 Tax benefits from positions relating to the Tax Reform Act (d) 43 — 43 — Audit settlements and statute lapses 6 2 7 3 Other discrete items 2 (1 ) 13 (5 ) (Provision) benefit for income taxes $ (33 ) $ (64 ) $ 344 $ (312 ) Effective income tax rate 8.8 % 11.2 % (16.8 )% 17.7 % (a) Reflects a deferred tax benefit resulting from the transfer of intangible assets between subsidiaries of the Company in connection with a reorganization of the Company’s international operations. The related deferred tax asset is primarily expected to be realized over the next 25 years . (b) Reflects the tax provision from the gain on the sale of CBS Television City. (c) During the third quarter of 2018, in connection with the preparation of its 2017 federal tax return, the Company elected to utilize a federal tax law provision that was retroactively renewed in 2018. This tax law provision allowed the Company to immediately expense certain qualified production costs on its 2017 tax return. As a result, during the third quarter of 2018, the Company established a deferred tax liability associated with this deduction at the 2017 federal tax rate of 35%, and concurrently recorded a net tax benefit of $69 million , primarily reflecting the re-measurement of this deferred tax liability at the reduced federal corporate tax rate of 21% under the Tax Reform Act. This benefit was partially offset by a charge of $15 million to adjust the provisional amount of transition tax on cumulative foreign earnings and profits that resulted from the enactment of the Tax Reform Act. See discussion below. (d) Reflects tax benefits realized in connection with the preparation of the 2018 federal tax return, based on further clarity provided by the United States government on tax positions relating to the Tax Reform Act. In January 2019, the United States government issued guidance relating to the one-time transition tax on cumulative foreign earnings and profits required by the Tax Reform Act. This guidance resulted in a decrease of $146 million to the Company’s reserve for uncertain tax positions during the nine months ended September 30, 2019 for amounts paid as a result of this guidance; however, it did not have a material impact on the Company’s Consolidated Statement of Operations. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measurements | 10 ) FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS The Company’s carrying value of financial instruments approximates fair value, except for notes and debentures, which are not recorded at fair value. At September 30, 2019 and December 31, 2018 , the carrying value of the Company’s senior debt was $9.33 billion and $9.43 billion , respectively, and the fair value, which is estimated based on quoted market prices for similar liabilities (Level 2) and includes accrued interest, was $10.41 billion and $9.48 billion , respectively. The Company uses derivative financial instruments primarily to modify its exposure to market risks from fluctuations in foreign currency exchange rates. The Company does not use derivative instruments unless there is an underlying exposure and, therefore, the Company does not hold or enter into derivative financial instruments for speculative trading purposes. Foreign Exchange Contracts Foreign exchange forward contracts have principally been used to hedge projected cash flows, in currencies such as the British Pound, the Euro, the Canadian Dollar and the Australian Dollar, generally for periods up to 24 months. The Company designates forward contracts used to hedge committed and forecasted foreign currency transactions as cash flow hedges. Gains or losses on the effective portion of designated cash flow hedges are initially recorded in other comprehensive income and reclassified to the statement of operations when the hedged item is recognized. Additionally, the Company enters into non-designated forward contracts to hedge non-U.S. dollar denominated cash flows. At September 30, 2019 and December 31, 2018 , the notional amount of all foreign exchange contracts was $522 million and $325 million , respectively. Gains recognized on derivative financial instruments were as follows: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Financial Statement Account Non-designated foreign exchange contracts $ 9 $ — $ 11 $ 13 Other items, net The fair value of the Company’s derivative instruments was not material to the Company’s Consolidated Balance Sheets for any of the periods presented. The following tables set forth the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2019 and December 31, 2018 . These assets and liabilities have been categorized according to the three-level fair value hierarchy established by the FASB, which prioritizes the inputs used in measuring fair value. Level 1 is based on publicly quoted prices for the asset or liability in active markets. Level 2 is based on inputs that are observable other than quoted market prices in active markets, such as quoted prices for the asset or liability in inactive markets or quoted prices for similar assets or liabilities. Level 3 is based on unobservable inputs reflecting the Company’s own assumptions about the assumptions that market participants would use in pricing the asset or liability. At September 30, 2019 Level 1 Level 2 Level 3 Total Assets: Foreign currency hedges $ — $ 13 $ — $ 13 Total Assets $ — $ 13 $ — $ 13 Liabilities: Deferred compensation $ — $ 320 $ — $ 320 Foreign currency hedges — 1 — 1 Total Liabilities $ — $ 321 $ — $ 321 At December 31, 2018 Level 1 Level 2 Level 3 Total Assets: Foreign currency hedges $ — $ 15 $ — $ 15 Total Assets $ — $ 15 $ — $ 15 Liabilities: Deferred compensation $ — $ 336 $ — $ 336 Foreign currency hedges — 1 — 1 Total Liabilities $ — $ 337 $ — $ 337 |
Segment and Revenue Information
Segment and Revenue Information | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment and Revenue Information | 11 ) SEGMENT AND REVENUE INFORMATION The following tables set forth the Company’s financial information by reportable segment. The Company’s operating segments, which are the same as its reportable segments, have been determined in accordance with the Company’s internal management structure, which is organized based upon products and services. Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Revenues: Entertainment $ 2,286 $ 2,190 $ 8,203 $ 7,345 Cable Networks 563 529 1,677 1,653 Publishing 217 240 599 607 Local Media 406 434 1,286 1,269 Corporate/Eliminations (177 ) (130 ) (494 ) (384 ) Total Revenues $ 3,295 $ 3,263 $ 11,271 $ 10,490 Revenues generated between segments primarily reflect advertising sales, content licensing and station affiliation fees. These transactions are recorded at market value as if the sales were to third parties and are eliminated in consolidation. Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Intercompany Revenues: Entertainment $ 175 $ 134 $ 493 $ 391 Cable Networks 2 2 4 2 Local Media 6 3 17 13 Total Intercompany Revenues $ 183 $ 139 $ 514 $ 406 The Company presents operating income (loss) excluding restructuring charges, merger-related costs and other corporate matters and gain on sale of assets, each where applicable, (“Segment Operating Income”) as the primary measure of profit and loss for its operating segments in accordance with FASB guidance for segment reporting. The Company believes the presentation of Segment Operating Income is relevant and useful for investors because it allows investors to view segment performance in a manner similar to the primary method used by the Company’s management and enhances their ability to understand the Company’s operating performance. Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Segment Operating Income (Loss): Entertainment $ 302 $ 384 $ 1,258 $ 1,237 Cable Networks 196 241 556 722 Publishing 52 51 102 98 Local Media 96 124 364 370 Corporate/Eliminations (65 ) (64 ) (204 ) (216 ) Restructuring charges — — (108 ) (25 ) Merger-related costs and other corporate matters (80 ) (46 ) (93 ) (65 ) Gain on sale of assets — — 549 — Operating income 501 690 2,424 2,121 Interest expense (114 ) (115 ) (346 ) (349 ) Interest income 12 12 38 43 Other items, net (24 ) (17 ) (66 ) (52 ) Earnings before income taxes and equity in loss of investee companies 375 570 2,050 1,763 (Provision) benefit for income taxes (33 ) (64 ) 344 (312 ) Equity in loss of investee companies, net of tax (23 ) (18 ) (52 ) (52 ) Net earnings $ 319 $ 488 $ 2,342 $ 1,399 Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Depreciation and Amortization: Entertainment $ 30 $ 31 $ 89 $ 94 Cable Networks 5 5 15 14 Publishing 1 1 4 4 Local Media 10 11 30 33 Corporate 6 8 20 23 Total Depreciation and Amortization $ 52 $ 56 $ 158 $ 168 Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Stock-based Compensation: Entertainment $ 18 $ 19 $ 51 $ 50 Cable Networks 3 2 9 8 Publishing 1 1 3 3 Local Media 3 3 9 9 Corporate (a) 17 (11 ) 45 35 Total Stock-based Compensation $ 42 $ 14 $ 117 $ 105 (a) Included in the three and nine months ended September 30, 2018 are forfeitures of $28 million and accelerations of $6 million relating to changes in senior management. Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Capital Expenditures: Entertainment $ 17 $ 20 $ 60 $ 58 Cable Networks 4 4 8 10 Publishing 3 2 5 4 Local Media 7 6 14 15 Corporate 3 5 7 12 Total Capital Expenditures $ 34 $ 37 $ 94 $ 99 At At September 30, 2019 December 31, 2018 Assets: Entertainment (a) $ 15,242 $ 13,579 Cable Networks 3,434 2,693 Publishing 1,238 1,054 Local Media 4,138 4,037 Corporate/Eliminations 411 484 Discontinued operations 13 12 Total Assets $ 24,476 $ 21,859 (a) Includes assets held for sale of $33 million at December 31, 2018 . The following table presents the Company’s revenues disaggregated into categories based on the nature of such revenues. Three Months Ended Nine Months Ended September 30, September 30, Revenues by Type 2019 2018 2019 2018 Advertising $ 1,177 $ 1,263 $ 4,645 $ 4,323 Content licensing and distribution: Programming 722 693 2,527 2,417 Publishing 217 240 599 607 Affiliate and subscription fees 1,124 1,008 3,348 2,976 Other 55 59 152 167 Total Revenues $ 3,295 $ 3,263 $ 11,271 $ 10,490 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Leases | 12 ) LEASES On January 1, 2019 , the Company adopted FASB guidance on the accounting for leases. The Company applied the modified retrospective method of adoption and therefore, results for reporting periods beginning after January 1, 2019 are presented under the new guidance while prior periods have not been adjusted. The adoption of this guidance resulted in the recognition on the Company’s Consolidated Balance Sheet of right-of-use assets and lease liabilities representing the present value of future lease payments of all leases with terms in excess of one year. At September 30, 2019 , the following amounts were recorded on the Company’s Consolidated Balance Sheet relating to its leases. Leases Operating Finance Right-of-Use Assets Operating lease assets $ 1,001 $ — Property and equipment, net $ — $ 31 Lease Liabilities Accrued expenses and other current liabilities $ 131 $ 11 Noncurrent operating lease liabilities 948 — Long-term debt — 24 Total lease liabilities $ 1,079 $ 35 Leases Operating Finance Weighted average remaining lease term 10 years 3 years Weighted average discount rate 4.2 % 4.2 % For existing leases at the time of adoption, the Company elected to not reassess (i) whether each contract is or contains a lease, (ii) the classification of leases as operating or finance leases, and (iii) initial direct costs for existing leases. Lessee Contracts The Company has operating leases primarily for office space, equipment, satellite transponders and studio facilities. The Company also has finance leases for satellite transponders and office equipment. Lease costs are generally fixed, with certain contracts containing variable payments for non-lease costs based on usage and escalations in the lessors’ annual costs. The following table presents the Company’s lease cost. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Operating lease cost (a) (b) $ 55 $ 163 Finance lease cost: Amortization of right-of-use assets 3 9 Interest expense on lease liabilities — 1 Short-term lease cost (b) (c) 26 67 Variable lease cost (d) 5 16 Sublease income (2 ) (14 ) Total lease cost $ 87 $ 242 (a) Includes fixed lease costs and non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) associated with long-term operating leases. (b) Includes costs capitalized in programming assets during the period for leased assets used in the production of programming. (c) Short-term leases have a term of 12 months or less and exclude month-to-month leases. Short-term leases are not recorded on the Company’s Consolidated Balance Sheet. (d) Primarily includes non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) and costs for equipment leases that vary based on usage. The following table presents supplemental cash flow information related to the Company’s leases. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Cash paid for amounts included in lease liabilities Operating cash flows from operating leases $ 53 $ 160 Financing cash flows from finance leases $ 3 $ 9 Noncash additions to operating lease assets $ 134 $ 300 The expected future payments relating to the Company’s operating and finance lease liabilities at September 30, 2019 are as follows: Leases Operating Finance 2019 (October 1 through December 31) $ 56 $ 4 2020 170 12 2021 174 11 2022 143 7 2023 130 2 2024 and thereafter 672 2 Total minimum payments 1,345 38 Less amounts representing interest 266 3 Present value of minimum payments $ 1,079 $ 35 At December 31, 2018 , future minimum payments under noncancellable operating leases with terms in excess of one year and payments under finance leases were as follows: Leases Operating Finance 2019 $ 174 $ 13 2020 129 12 2021 122 11 2022 110 7 2023 101 2 2024 and thereafter 465 2 Total minimum payments $ 1,101 $ 47 Less amounts representing interest 4 Present value of minimum payments $ 43 Future minimum operating lease payments at December 31, 2018 have been reduced by future minimum sublease income of $30 million . As of September 30, 2019 , the Company had signed additional operating leases with lease terms ranging from two to 10 years that have not yet commenced. The total future undiscounted lease payments under these leases are $14 million , which were not recorded on the Company’s Consolidated Balance Sheet at September 30, 2019 . Lessor Contracts The Company enters into operating leases for the use of its owned production facilities and office buildings. Lease payments received under these agreements consist of fixed payments for the rental of space and certain building operating costs, as well as variable payments based on usage of production facilities and services, and escalating costs of building operations. The Company recorded total lease income of $32 million and $95 million , including both fixed and variable amounts, for the three and nine months ended September 30, 2019 , respectively. At September 30, 2019 , future fixed lease income under noncancellable operating leases is as follows: 2019 (October 1 through December 31) $ 13 2020 52 2021 49 2022 45 2023 43 2024 and thereafter 93 Total $ 295 |
Leases | 12 ) LEASES On January 1, 2019 , the Company adopted FASB guidance on the accounting for leases. The Company applied the modified retrospective method of adoption and therefore, results for reporting periods beginning after January 1, 2019 are presented under the new guidance while prior periods have not been adjusted. The adoption of this guidance resulted in the recognition on the Company’s Consolidated Balance Sheet of right-of-use assets and lease liabilities representing the present value of future lease payments of all leases with terms in excess of one year. At September 30, 2019 , the following amounts were recorded on the Company’s Consolidated Balance Sheet relating to its leases. Leases Operating Finance Right-of-Use Assets Operating lease assets $ 1,001 $ — Property and equipment, net $ — $ 31 Lease Liabilities Accrued expenses and other current liabilities $ 131 $ 11 Noncurrent operating lease liabilities 948 — Long-term debt — 24 Total lease liabilities $ 1,079 $ 35 Leases Operating Finance Weighted average remaining lease term 10 years 3 years Weighted average discount rate 4.2 % 4.2 % For existing leases at the time of adoption, the Company elected to not reassess (i) whether each contract is or contains a lease, (ii) the classification of leases as operating or finance leases, and (iii) initial direct costs for existing leases. Lessee Contracts The Company has operating leases primarily for office space, equipment, satellite transponders and studio facilities. The Company also has finance leases for satellite transponders and office equipment. Lease costs are generally fixed, with certain contracts containing variable payments for non-lease costs based on usage and escalations in the lessors’ annual costs. The following table presents the Company’s lease cost. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Operating lease cost (a) (b) $ 55 $ 163 Finance lease cost: Amortization of right-of-use assets 3 9 Interest expense on lease liabilities — 1 Short-term lease cost (b) (c) 26 67 Variable lease cost (d) 5 16 Sublease income (2 ) (14 ) Total lease cost $ 87 $ 242 (a) Includes fixed lease costs and non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) associated with long-term operating leases. (b) Includes costs capitalized in programming assets during the period for leased assets used in the production of programming. (c) Short-term leases have a term of 12 months or less and exclude month-to-month leases. Short-term leases are not recorded on the Company’s Consolidated Balance Sheet. (d) Primarily includes non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) and costs for equipment leases that vary based on usage. The following table presents supplemental cash flow information related to the Company’s leases. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Cash paid for amounts included in lease liabilities Operating cash flows from operating leases $ 53 $ 160 Financing cash flows from finance leases $ 3 $ 9 Noncash additions to operating lease assets $ 134 $ 300 The expected future payments relating to the Company’s operating and finance lease liabilities at September 30, 2019 are as follows: Leases Operating Finance 2019 (October 1 through December 31) $ 56 $ 4 2020 170 12 2021 174 11 2022 143 7 2023 130 2 2024 and thereafter 672 2 Total minimum payments 1,345 38 Less amounts representing interest 266 3 Present value of minimum payments $ 1,079 $ 35 At December 31, 2018 , future minimum payments under noncancellable operating leases with terms in excess of one year and payments under finance leases were as follows: Leases Operating Finance 2019 $ 174 $ 13 2020 129 12 2021 122 11 2022 110 7 2023 101 2 2024 and thereafter 465 2 Total minimum payments $ 1,101 $ 47 Less amounts representing interest 4 Present value of minimum payments $ 43 Future minimum operating lease payments at December 31, 2018 have been reduced by future minimum sublease income of $30 million . As of September 30, 2019 , the Company had signed additional operating leases with lease terms ranging from two to 10 years that have not yet commenced. The total future undiscounted lease payments under these leases are $14 million , which were not recorded on the Company’s Consolidated Balance Sheet at September 30, 2019 . Lessor Contracts The Company enters into operating leases for the use of its owned production facilities and office buildings. Lease payments received under these agreements consist of fixed payments for the rental of space and certain building operating costs, as well as variable payments based on usage of production facilities and services, and escalating costs of building operations. The Company recorded total lease income of $32 million and $95 million , including both fixed and variable amounts, for the three and nine months ended September 30, 2019 , respectively. At September 30, 2019 , future fixed lease income under noncancellable operating leases is as follows: 2019 (October 1 through December 31) $ 13 2020 52 2021 49 2022 45 2023 43 2024 and thereafter 93 Total $ 295 |
Leases | 12 ) LEASES On January 1, 2019 , the Company adopted FASB guidance on the accounting for leases. The Company applied the modified retrospective method of adoption and therefore, results for reporting periods beginning after January 1, 2019 are presented under the new guidance while prior periods have not been adjusted. The adoption of this guidance resulted in the recognition on the Company’s Consolidated Balance Sheet of right-of-use assets and lease liabilities representing the present value of future lease payments of all leases with terms in excess of one year. At September 30, 2019 , the following amounts were recorded on the Company’s Consolidated Balance Sheet relating to its leases. Leases Operating Finance Right-of-Use Assets Operating lease assets $ 1,001 $ — Property and equipment, net $ — $ 31 Lease Liabilities Accrued expenses and other current liabilities $ 131 $ 11 Noncurrent operating lease liabilities 948 — Long-term debt — 24 Total lease liabilities $ 1,079 $ 35 Leases Operating Finance Weighted average remaining lease term 10 years 3 years Weighted average discount rate 4.2 % 4.2 % For existing leases at the time of adoption, the Company elected to not reassess (i) whether each contract is or contains a lease, (ii) the classification of leases as operating or finance leases, and (iii) initial direct costs for existing leases. Lessee Contracts The Company has operating leases primarily for office space, equipment, satellite transponders and studio facilities. The Company also has finance leases for satellite transponders and office equipment. Lease costs are generally fixed, with certain contracts containing variable payments for non-lease costs based on usage and escalations in the lessors’ annual costs. The following table presents the Company’s lease cost. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Operating lease cost (a) (b) $ 55 $ 163 Finance lease cost: Amortization of right-of-use assets 3 9 Interest expense on lease liabilities — 1 Short-term lease cost (b) (c) 26 67 Variable lease cost (d) 5 16 Sublease income (2 ) (14 ) Total lease cost $ 87 $ 242 (a) Includes fixed lease costs and non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) associated with long-term operating leases. (b) Includes costs capitalized in programming assets during the period for leased assets used in the production of programming. (c) Short-term leases have a term of 12 months or less and exclude month-to-month leases. Short-term leases are not recorded on the Company’s Consolidated Balance Sheet. (d) Primarily includes non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) and costs for equipment leases that vary based on usage. The following table presents supplemental cash flow information related to the Company’s leases. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Cash paid for amounts included in lease liabilities Operating cash flows from operating leases $ 53 $ 160 Financing cash flows from finance leases $ 3 $ 9 Noncash additions to operating lease assets $ 134 $ 300 The expected future payments relating to the Company’s operating and finance lease liabilities at September 30, 2019 are as follows: Leases Operating Finance 2019 (October 1 through December 31) $ 56 $ 4 2020 170 12 2021 174 11 2022 143 7 2023 130 2 2024 and thereafter 672 2 Total minimum payments 1,345 38 Less amounts representing interest 266 3 Present value of minimum payments $ 1,079 $ 35 At December 31, 2018 , future minimum payments under noncancellable operating leases with terms in excess of one year and payments under finance leases were as follows: Leases Operating Finance 2019 $ 174 $ 13 2020 129 12 2021 122 11 2022 110 7 2023 101 2 2024 and thereafter 465 2 Total minimum payments $ 1,101 $ 47 Less amounts representing interest 4 Present value of minimum payments $ 43 Future minimum operating lease payments at December 31, 2018 have been reduced by future minimum sublease income of $30 million . As of September 30, 2019 , the Company had signed additional operating leases with lease terms ranging from two to 10 years that have not yet commenced. The total future undiscounted lease payments under these leases are $14 million , which were not recorded on the Company’s Consolidated Balance Sheet at September 30, 2019 . Lessor Contracts The Company enters into operating leases for the use of its owned production facilities and office buildings. Lease payments received under these agreements consist of fixed payments for the rental of space and certain building operating costs, as well as variable payments based on usage of production facilities and services, and escalating costs of building operations. The Company recorded total lease income of $32 million and $95 million , including both fixed and variable amounts, for the three and nine months ended September 30, 2019 , respectively. At September 30, 2019 , future fixed lease income under noncancellable operating leases is as follows: 2019 (October 1 through December 31) $ 13 2020 52 2021 49 2022 45 2023 43 2024 and thereafter 93 Total $ 295 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 13 ) COMMITMENTS AND CONTINGENCIES Guarantees On January 31, 2019 , the Company completed the sale of CBS Television City. The Company has guaranteed a specified level of cash flows to be generated by the business during the first five years following the completion of the sale. Included on the Company’s Consolidated Balance Sheet at September 30, 2019 is a liability of $123 million , reflecting the present value of the estimated amount payable under the guarantee obligation (Level 3 in the fair value hierarchy). The Company has indemnification obligations with respect to letters of credit and surety bonds primarily used as security against non-performance in the normal course of business. At September 30, 2019 , the outstanding letters of credit and surety bonds approximated $101 million and were not recorded on the Company’s Consolidated Balance Sheet. In the course of its business, the Company both provides and receives indemnities which are intended to allocate certain risks associated with business transactions. Similarly, the Company may remain contingently liable for various obligations of a business that has been divested in the event that a third party does not live up to its obligations under an indemnification obligation. The Company records a liability for its indemnification obligations and other contingent liabilities when probable and reasonably estimable. Legal Matters General. On an ongoing basis, the Company vigorously defends itself in numerous lawsuits and proceedings and responds to various investigations and inquiries from federal, state, local and international authorities (collectively, “litigation’’). Litigation may be brought against the Company without merit, is inherently uncertain and always difficult to predict. However, based on its understanding and evaluation of the relevant facts and circumstances, the Company believes that the below-described legal matters and other litigation to which it is a party are not likely, in the aggregate, to have a material adverse effect on its results of operations, financial position or cash flows. Under the separation agreement between the Company and Viacom, the Company and Viacom have agreed to defend and indemnify the other in certain litigation in which the Company and/or Viacom is named. Litigation Relating to the Pending Merger with Viacom. On September 27, 2019, Bucks County Employees Retirement Fund (the “Bucks County Fund”), a purported holder of CBS Corp. Class B Common Stock, served the Company with a demand for inspection of books and records pursuant to 8 Del. C. § 220 in connection with the pending Merger (the “Demand”). While the Company has not conceded the Bucks County Fund’s entitlement to any documents, on October 10, 2019, the Company offered to produce certain categories of documents properly within the scope of a books and records demand under § 220. The Bucks County Fund rejected the Company’s offer and filed litigation in the Court of Chancery of the State of Delaware on October 15, 2019, seeking to compel production of all documents requested in the Demand. Investigation-Related Matters . As announced on August 1, 2018, the Company’s Board of Directors (“Board”) retained two law firms to conduct a full investigation of the allegations in press reports about the Company’s former Chairman of the Board, President and Chief Executive Officer, Mr. Leslie Moonves, CBS News and cultural issues at all levels of the Company. On December 17, 2018, the Board announced the completion of the investigation, certain findings of the investigation and the Board’s determination, discussed below, with respect to the termination of Mr. Moonves’s employment. The Company has received subpoenas from the New York County District Attorney’s Office and the New York City Commission on Human Rights regarding the subject matter of this investigation and related matters. The New York State Attorney General’s Office and the United States Securities and Exchange Commission have also requested information about these matters, including with respect to the Company’s related public disclosures. The Company may continue to receive additional related regulatory and investigative inquiries from these and other entities in the future. The Company is cooperating with these inquiries. On August 27, 2018 and on October 1, 2018, each of Gene Samit and John Lantz, respectively, filed putative class action suits in the United States District Court for the Southern District of New York, individually and on behalf of others similarly situated, for claims that are similar to those alleged in the amended complaint described below. On November 6, 2018, the Court entered an order consolidating the two actions. On November 30, 2018, the Court appointed Construction Laborers Pension Trust for Southern California as the lead plaintiff of the consolidated action. On February 11, 2019, the lead plaintiff filed a consolidated amended putative class action complaint against the Company, certain current and former senior executives and members of the Board. The consolidated action is stated to be on behalf of purchasers of CBS Corp.’s Class A Common Stock and Class B Common Stock between September 26, 2016 and December 4, 2018. This action seeks to recover damages arising during this time period allegedly caused by the defendants’ purported violations of the federal securities laws, including by allegedly making materially false and misleading statements or failing to disclose material information, and seeks costs and expenses as well as remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. On April 12, 2019, the defendants filed motions to dismiss this action, which are pending. The Company believes that the claims are without merit and is currently unable to determine a range of potential liability, if any. Accordingly, no accrual for this matter has been made in the Company’s consolidated financial statements. Separation Agreement . On September 9, 2018, the Company entered into a separation and settlement agreement and releases (the “Separation Agreement”) with Mr. Leslie Moonves, pursuant to which Mr. Moonves resigned as a director and as Chairman of the Board, President and Chief Executive Officer of the Company. In October 2018, the Company contributed $120 million to a grantor trust pursuant to the Separation Agreement. On December 17, 2018, the Board announced that, following its consideration of the findings of the investigation referred to above, it had determined that there were grounds to terminate Mr. Moonves’s employment for cause under his employment agreement with the Company. Any dispute related to the Board’s determination is subject to binding arbitration as set forth in the Separation Agreement. On January 16, 2019, Mr. Moonves commenced a binding arbitration proceeding with respect to this matter and the related Board investigation, which proceeding is ongoing. The assets of the grantor trust will remain in the trust until a final determination in the arbitration. The Company is currently unable to determine the outcome of the arbitration and the amount, if any, that may be awarded thereunder and, accordingly, no accrual for this matter has been made in the Company’s consolidated financial statements. Claims Related to Former Businesses: Asbestos. The Company is a defendant in lawsuits claiming various personal injuries related to asbestos and other materials, which allegedly occurred as a result of exposure caused by various products manufactured by Westinghouse, a predecessor, generally prior to the early 1970s. Westinghouse was neither a producer nor a manufacturer of asbestos. The Company is typically named as one of a large number of defendants in both state and federal cases. In the majority of asbestos lawsuits, the plaintiffs have not identified which of the Company’s products is the basis of a claim. Claims against the Company in which a product has been identified most commonly relate to allegations of exposure to asbestos-containing insulating material used in conjunction with turbines. Claims are frequently filed and/or settled in groups, which may make the amount and timing of settlements, and the number of pending claims, subject to significant fluctuation from period to period. The Company does not report as pending those claims on inactive, stayed, deferred or similar dockets that some jurisdictions have established for claimants who allege minimal or no impairment. As of September 30, 2019 , the Company had pending approximately 31,030 asbestos claims, as compared with approximately 31,570 as of December 31, 2018 and 31,500 as of September 30, 2018 . During the third quarter of 2019 , the Company received approximately 850 new claims and closed or moved to an inactive docket approximately 1,940 claims. The Company reports claims as closed when it becomes aware that a dismissal order has been entered by a court or when the Company has reached agreement with the claimants on the material terms of a settlement. Settlement costs depend on the seriousness of the injuries that form the basis of the claims, the quality of evidence supporting the claims and other factors. The Company’s total costs for the years 2018 and 2017 for settlement and defense of asbestos claims after insurance recoveries and net of tax were approximately $45 million and $57 million , respectively. The Company’s costs for settlement and defense of asbestos claims may vary year to year and insurance proceeds are not always recovered in the same period as the insured portion of the expenses. The Company believes that its reserves and insurance are adequate to cover its asbestos liabilities. This belief is based upon many factors and assumptions, including the number of outstanding claims, estimated average cost per claim, the breakdown of claims by disease type, historic claim filings, costs per claim of resolution and the filing of new claims. While the number of asbestos claims filed against the Company has remained generally flat in recent years, it is difficult to predict future asbestos liabilities, as events and circumstances may occur, including, among others, the number and types of claims and average cost to resolve such claims, which could affect the Company’s estimate of its asbestos liabilities. Other. The Company from time to time receives claims from federal and state environmental regulatory agencies and other entities asserting that it is or may be liable for environmental cleanup costs and related damages principally relating to historical and predecessor operations of the Company. In addition, the Company from time to time receives personal injury claims including toxic tort and product liability claims (other than asbestos) arising from historical operations of the Company and its predecessors. |
Condensed Consolidating Financi
Condensed Consolidating Financial Statements | 9 Months Ended |
Sep. 30, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Consolidating Financial Statements | 14 ) CONDENSED CONSOLIDATING FINANCIAL STATEMENTS CBS Operations Inc. is a wholly owned subsidiary of the Company. CBS Operations Inc. has fully and unconditionally guaranteed CBS Corp.’s senior debt securities. The following condensed consolidating financial statements present the results of operations, financial position and cash flows of CBS Corp., CBS Operations Inc., the direct and indirect Non-Guarantor Affiliates of CBS Corp. and CBS Operations Inc., and the eliminations necessary to arrive at the information for the Company on a consolidated basis. Changes to the entities that comprise the guarantor group are reflected for the prior periods presented. Statement of Operations For the Three Months Ended September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 42 $ 2 $ 3,251 $ — $ 3,295 Costs and expenses: Operating 25 1 2,052 — 2,078 Selling, general and administrative 7 151 426 — 584 Depreciation and amortization 1 4 47 — 52 Restructuring charges, merger-related costs and other corporate matters (3 ) 78 5 — 80 Total costs and expenses 30 234 2,530 — 2,794 Operating income (loss) 12 (232 ) 721 — 501 Interest (expense) income, net (137 ) (140 ) 175 — (102 ) Other items, net (8 ) (3 ) (13 ) — (24 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (133 ) (375 ) 883 — 375 Benefit (provision) for income taxes 25 56 (114 ) — (33 ) Equity in earnings (loss) of investee companies, net of tax 427 315 (23 ) (742 ) (23 ) Net earnings (loss) $ 319 $ (4 ) $ 746 $ (742 ) $ 319 Total comprehensive income (loss) $ 323 $ (1 ) $ 734 $ (733 ) $ 323 Statement of Operations For the Nine Months Ended September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 131 $ 7 $ 11,133 $ — $ 11,271 Costs and expenses: Operating 75 3 7,257 — 7,335 Selling, general and administrative 33 276 1,393 — 1,702 Depreciation and amortization 3 14 141 — 158 Restructuring charges, merger-related costs and other corporate matters — 108 93 — 201 Gain on sale of assets — — (549 ) — (549 ) Total costs and expenses 111 401 8,335 — 8,847 Operating income (loss) 20 (394 ) 2,798 — 2,424 Interest (expense) income, net (412 ) (408 ) 512 — (308 ) Other items, net (26 ) (23 ) (17 ) — (66 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (418 ) (825 ) 3,293 — 2,050 Benefit for income taxes 86 152 106 — 344 Equity in earnings (loss) of investee companies, net of tax 2,674 659 (52 ) (3,333 ) (52 ) Net earnings (loss) $ 2,342 $ (14 ) $ 3,347 $ (3,333 ) $ 2,342 Total comprehensive income (loss) $ 2,375 $ (8 ) $ 3,326 $ (3,318 ) $ 2,375 Statement of Operations For the Three Months Ended September 30, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 47 $ 2 $ 3,214 $ — $ 3,263 Costs and expenses: Operating 25 1 1,896 — 1,922 Selling, general and administrative 11 58 480 — 549 Depreciation and amortization 1 5 50 — 56 Restructuring charges, merger-related costs and other corporate matters — 46 — — 46 Total costs and expenses 37 110 2,426 — 2,573 Operating income (loss) 10 (108 ) 788 — 690 Interest (expense) income, net (133 ) (130 ) 160 — (103 ) Other items, net (7 ) (4 ) (6 ) — (17 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (130 ) (242 ) 942 — 570 Benefit (provision) for income taxes 27 50 (141 ) — (64 ) Equity in earnings (loss) of investee companies, net of tax 591 410 (18 ) (1,001 ) (18 ) Net earnings $ 488 $ 218 $ 783 $ (1,001 ) $ 488 Total comprehensive income $ 500 $ 218 $ 782 $ (1,000 ) $ 500 Statement of Operations For the Nine Months Ended September 30, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 134 $ 7 $ 10,349 $ — $ 10,490 Costs and expenses: Operating 73 3 6,430 — 6,506 Selling, general and administrative 36 190 1,379 — 1,605 Depreciation and amortization 3 16 149 — 168 Restructuring charges, merger-related costs and other corporate matters — 71 19 — 90 Total costs and expenses 112 280 7,977 — 8,369 Operating income (loss) 22 (273 ) 2,372 — 2,121 Interest (expense) income, net (396 ) (378 ) 468 — (306 ) Other items, net (23 ) 8 (37 ) — (52 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (397 ) (643 ) 2,803 — 1,763 Benefit (provision) for income taxes 82 133 (527 ) — (312 ) Equity in earnings (loss) of investee companies, net of tax 1,714 1,174 (52 ) (2,888 ) (52 ) Net earnings $ 1,399 $ 664 $ 2,224 $ (2,888 ) $ 1,399 Total comprehensive income $ 1,427 $ 666 $ 2,206 $ (2,872 ) $ 1,427 Balance Sheet At September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Assets Cash and cash equivalents $ 102 $ — $ 94 $ — $ 196 Receivables, net 20 1 3,664 — 3,685 Programming and other inventory 3 1 1,960 — 1,964 Prepaid expenses and other current assets 6 39 419 (36 ) 428 Total current assets 131 41 6,137 (36 ) 6,273 Property and equipment 31 228 2,683 — 2,942 Less accumulated depreciation and amortization 15 198 1,558 — 1,771 Net property and equipment 16 30 1,125 — 1,171 Programming and other inventory 5 4 4,852 — 4,861 Goodwill 98 62 4,904 — 5,064 Intangible assets — — 2,655 — 2,655 Operating lease assets 9 106 886 — 1,001 Investments in consolidated subsidiaries 50,434 17,561 — (67,995 ) — Deferred income tax assets, net — — 779 — 779 Other assets 292 — 2,380 — 2,672 Intercompany — — 33,740 (33,740 ) — Total Assets $ 50,985 $ 17,804 $ 57,458 $ (101,771 ) $ 24,476 Liabilities and Stockholders’ Equity Accounts payable $ 4 $ 34 $ 270 $ — $ 308 Participants’ share and royalties payable — — 1,201 — 1,201 Accrued programming and production costs 2 2 631 — 635 Commercial paper 50 — — — 50 Accrued expenses and other current liabilities 377 334 1,253 (36 ) 1,928 Total current liabilities 433 370 3,355 (36 ) 4,122 Long-term debt 9,290 — 69 — 9,359 Noncurrent operating lease liabilities 8 100 840 — 948 Other liabilities 2,568 208 2,219 — 4,995 Intercompany 33,634 106 — (33,740 ) — Stockholders’ Equity: Preferred stock — — 126 (126 ) — Common stock 1 123 590 (713 ) 1 Additional paid-in capital 43,510 — 60,894 (60,894 ) 43,510 Retained earnings (accumulated deficit) (14,683 ) 17,200 (5,858 ) (11,342 ) (14,683 ) Accumulated other comprehensive income (loss) (918 ) 28 23 (51 ) (918 ) 27,910 17,351 55,775 (73,126 ) 27,910 Less treasury stock, at cost 22,858 331 4,800 (5,131 ) 22,858 Total Stockholders’ Equity 5,052 17,020 50,975 (67,995 ) 5,052 Total Liabilities and Stockholders’ Equity $ 50,985 $ 17,804 $ 57,458 $ (101,771 ) $ 24,476 Balance Sheet At December 31, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Assets Cash and cash equivalents $ 148 $ — $ 174 $ — $ 322 Receivables, net 27 1 4,013 — 4,041 Programming and other inventory 2 2 1,984 — 1,988 Prepaid expenses and other current assets 81 46 310 (36 ) 401 Total current assets 258 49 6,481 (36 ) 6,752 Property and equipment 31 223 2,672 — 2,926 Less accumulated depreciation and amortization 14 184 1,519 — 1,717 Net property and equipment 17 39 1,153 — 1,209 Programming and other inventory 5 4 3,874 — 3,883 Goodwill 98 62 4,760 — 4,920 Intangible assets — — 2,638 — 2,638 Investments in consolidated subsidiaries 47,600 16,901 — (64,501 ) — Deferred income tax assets, net — — 29 — 29 Other assets 281 — 2,114 — 2,395 Assets held for sale — — 33 — 33 Intercompany — 526 31,686 (32,212 ) — Total Assets $ 48,259 $ 17,581 $ 52,768 $ (96,749 ) $ 21,859 Liabilities and Stockholders ’ Equity Accounts payable $ 5 $ 31 $ 165 $ — $ 201 Participants’ share and royalties payable — — 1,177 — 1,177 Accrued programming and production costs 3 2 699 — 704 Commercial paper 674 — — — 674 Accrued expenses and other current liabilities 396 308 1,149 (36 ) 1,817 Total current liabilities 1,078 341 3,190 (36 ) 4,573 Long-term debt 9,388 — 77 — 9,465 Other liabilities 2,777 212 2,028 — 5,017 Intercompany 32,212 — — (32,212 ) — Stockholders’ Equity: Preferred stock — — 126 (126 ) — Common stock 1 123 590 (713 ) 1 Additional paid-in capital 43,637 — 60,894 (60,894 ) 43,637 Retained earnings (accumulated deficit) (17,201 ) 17,214 (9,381 ) (7,833 ) (17,201 ) Accumulated other comprehensive income (loss) (775 ) 22 44 (66 ) (775 ) 25,662 17,359 52,273 (69,632 ) 25,662 Less treasury stock, at cost 22,858 331 4,800 (5,131 ) 22,858 Total Stockholders’ Equity 2,804 17,028 47,473 (64,501 ) 2,804 Total Liabilities and Stockholders’ Equity $ 48,259 $ 17,581 $ 52,768 $ (96,749 ) $ 21,859 Statement of Cash Flows For the Nine Months Ended September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Net cash flow (used for) provided by operating activities $ (710 ) $ (263 ) $ 1,314 $ — $ 341 Investing Activities: Investments in and advances to investee companies — — (72 ) — (72 ) Capital expenditures — (7 ) (87 ) — (94 ) Acquisitions, net of cash acquired — — (39 ) — (39 ) Proceeds from dispositions 4 — 736 — 740 Proceeds from sale of investments — — 15 — 15 Other investing activities 3 — — — 3 Net cash flow provided by (used for) investing activities 7 (7 ) 553 — 553 Financing Activities: Repayments of short-term debt borrowings, net (624 ) — — — (624 ) Proceeds from issuance of senior notes 492 — — — 492 Repayment of senior notes (600 ) — — — (600 ) Payment of finance lease obligations — — (9 ) — (9 ) Payment of contingent consideration — — (3 ) — (3 ) Dividends (205 ) — — — (205 ) Purchase of Company common stock (14 ) — — — (14 ) Payment of payroll taxes in lieu of issuing shares for stock-based compensation (43 ) — — — (43 ) Acquisition of noncontrolling interest — — (26 ) — (26 ) Proceeds from exercise of stock options 14 — — — 14 Increase (decrease) in intercompany payables 1,639 270 (1,909 ) — — Net cash flow provided by (used for) financing activities 659 270 (1,947 ) — (1,018 ) Net decrease in cash, cash equivalents and restricted cash (44 ) — (80 ) — (124 ) Cash, cash equivalents and restricted cash at beginning of period (includes $120 of restricted cash) 268 — 174 — 442 Cash, cash equivalents and restricted cash at end of period (includes $122 of restricted cash) $ 224 $ — $ 94 $ — $ 318 Statement of Cash Flows For the Nine Months Ended September 30, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Net cash flow (used for) provided by operating activities $ (357 ) $ (183 ) $ 1,720 $ — $ 1,180 Investing Activities: Investments in and advances to investee companies — — (76 ) — (76 ) Capital expenditures — (12 ) (87 ) — (99 ) Acquisitions, net of cash acquired — — (29 ) — (29 ) Other investing activities 8 — — — 8 Net cash flow provided by (used for) investing activities from continuing operations 8 (12 ) (192 ) — (196 ) Net cash flow used for investing activities from discontinued operations (23 ) — — — (23 ) Net cash flow used for investing activities (15 ) (12 ) (192 ) — (219 ) Financing Activities: Repayments of short-term debt borrowings, net (305 ) — — — (305 ) Payment of finance lease obligations — — (12 ) — (12 ) Payment of contingent consideration — — (5 ) — (5 ) Dividends (208 ) — — — (208 ) Purchase of Company common stock (497 ) — — — (497 ) Payment of payroll taxes in lieu of issuing shares for stock-based compensation (59 ) — — — (59 ) Proceeds from exercise of stock options 23 — — — 23 Other financing activities (1 ) — — — (1 ) Increase (decrease) in intercompany payables 1,308 195 (1,503 ) — — Net cash flow provided by (used for) financing activities 261 195 (1,520 ) — (1,064 ) Net (decrease) increase in cash and cash equivalents (111 ) — 8 — (103 ) Cash and cash equivalents at beginning of period 173 — 112 — 285 Cash and cash equivalents at end of period $ 62 $ — $ 120 $ — $ 182 |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Use of Estimates | Use of Estimates -The preparation of the Company’s financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires management to make estimates, judgments and assumptions that affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. |
Leases | Leases- The Company has operating leases primarily for office space, equipment, satellite transponders and studio facilities and finance leases for satellite transponders and office equipment. The Company determines that a contract contains a lease if it obtains substantially all of the economic benefits of, and the right to direct the use of, an asset identified in the contract. For leases with terms greater than 12 months, the Company records a right-of-use asset and a lease liability representing the present value of future lease payments. The discount rate used to measure the lease asset and liability is determined at the beginning of the lease term using the rate implicit in the lease, if readily determinable, or the Company’s collateralized incremental borrowing rate. For those contracts that include fixed rental payments for both the use of the asset (“lease costs”) as well as for other occupancy or service costs relating to the asset (“non-lease costs”), the Company includes both the lease costs and non-lease costs in the measurement of the lease asset and liability. The Company also owns buildings and production facilities where it leases space to lessees. The Company’s leases have remaining terms ranging from one to 16 years and often contain renewal options to extend the lease for periods of generally up to five years. For leases that contain renewal options, the Company includes the renewal period in the lease term if it is reasonably certain that the option will be exercised. Lease expenses and income are recognized on a straight-line basis over the lease term, with the exception of variable lease costs, which are expensed as incurred, and leases of assets used in the production of programming, which are capitalized in programming assets and amortized over the projected useful life of the related programming. |
Net Earnings per Common Share | Net Earnings per Common Share |
Recently Adopted Accounting Pronouncements and Accounting Pronouncements Not Yet Adopted | Recently Adopted Accounting Pronouncements Leases During the first quarter of 2019 , the Company adopted Financial Accounting Standards Board (“FASB”) guidance on the accounting for leases, which supersedes previous lease guidance. Under this guidance, for all leases with terms in excess of one year, the Company recognizes on its balance sheet a lease liability and a right-of-use asset representing its right to use the underlying asset for the lease term. The new guidance retains a distinction between finance leases and operating leases and the classification criteria is substantially similar to previous guidance. Additionally, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee have not significantly changed. The Company applied the modified retrospective method of adoption and therefore, results for reporting periods beginning after January 1, 2019 are presented under the new guidance while prior periods have not been adjusted. As a result of this guidance, the Company’s Consolidated Balance Sheet at September 30, 2019 included right-of-use assets of $1.00 billion and lease liabilities of $1.08 billion for its operating leases. This guidance did not have an impact on the Company’s Consolidated Statement of Operations. See Note 12 for additional information. Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income During the first quarter of 2019 , the Company adopted FASB guidance that permits an entity to reclassify certain income tax effects of federal tax legislation enacted in December 2017 (the “Tax Reform Act”) on items within accumulated other comprehensive income (“AOCI”) to retained earnings. As a result of the Tax Reform Act, in 2017, the Company remeasured its deferred income tax assets and liabilities to reflect the reduction in the federal income tax rate from 35% to 21%. The remeasurement was recognized in net earnings and as a result, the income tax effects of the Tax Reform Act on items within AOCI remained at historical rates (“stranded tax effects”). During the first quarter of 2019, as a result of the adoption of this guidance, the Company elected to reclassify the stranded tax effects of $176 million relating to its pension and postretirement obligations from AOCI to accumulated deficit. This guidance also requires entities to disclose their accounting policy for releasing stranded tax effects, unrelated to the Tax Reform Act, from AOCI. For pension and postretirement benefit plans, the Company releases stranded tax effects from AOCI when the pension and postretirement plans are terminated. Targeted Improvements to Accounting for Hedging Activities During the first quarter of 2019 , the Company adopted FASB amended guidance for hedge accounting, which expands the eligibility of hedging strategies that qualify for hedge accounting, modifies the recognition and presentation of hedges in the financial statements, and changes how companies assess hedge effectiveness. In addition, this guidance amends and expands disclosure requirements. The adoption of this guidance did not have an impact on the Company’s consolidated financial statements. Accounting Pronouncements Not Yet Adopted Improvements to Accounting for Costs of Films and License Agreements for Program Materials In March 2019, the FASB issued guidance on the accounting for costs of films and episodic television series, which aligns the accounting for capitalizing production costs of episodic television series with the guidance for films. As a result, the capitalization of costs incurred to produce episodic television series will no longer be limited to the amount of revenue contracted in the initial market until persuasive evidence of a secondary market exists. In addition, this guidance requires the Company to test for impairment of television series on a title-by-title basis or together with other series as part of a group, based on the predominant monetization strategy of the series. This guidance also removes the requirement to classify all capitalized costs for produced television series as noncurrent on the balance sheet and adds new disclosure requirements relating to costs for acquired and produced television series. The Company is currently evaluating the impact of this guidance, which is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted. Collaborative Arrangements: Clarifying the Interaction with the New Revenue Standard In November 2018, the FASB issued guidance to clarify that certain transactions between parties to collaborative arrangements should be accounted for in accordance with FASB revenue guidance when the counterparty is a customer. This guidance also prohibits the presentation of collaborative arrangements as revenues from contracts with customers if the counterparty is not a customer. This guidance, which is required to be applied retrospectively and is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted, is not expected to have an impact on the Company’s consolidated financial statements. Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract In August 2018, the FASB issued guidance on the accounting for implementation costs of a cloud computing arrangement that is considered to be a service contract. This guidance requires companies to follow the guidance for capitalizing costs associated with internal-use software to determine which costs to capitalize in a cloud computing arrangement that is a service contract. The guidance also specifies the financial statement presentation for capitalized implementation costs and the related amortization, as well as required financial statement disclosures. The Company is currently evaluating the impact of this guidance, which is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted. Changes to the Disclosure Requirements for Defined Benefit Plans In August 2018, the FASB issued amended guidance that eliminates, adds and clarifies certain disclosure requirements for defined benefit pension or other postretirement plans. The Company is currently evaluating the impact of this guidance, which is required to be applied retrospectively and is effective for annual periods ending after December 15, 2020, with early adoption permitted. Changes to the Disclosure Requirements for Fair Value Measurements In August 2018, the FASB issued amended guidance that eliminates, adds and modifies certain disclosure requirements for fair value measurements. This guidance, which is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted, is not expected to have an impact on the Company’s consolidated financial statements. |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Reconciliation from Basic to Diluted Shares | The table below presents a reconciliation of weighted average shares used in the calculation of basic and diluted EPS. Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2019 2018 2019 2018 Weighted average shares for basic EPS 374 375 374 378 Dilutive effect of shares issuable under stock-based compensation plans 2 4 2 4 Weighted average shares for diluted EPS 376 379 376 382 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-based Compensation | The following table summarizes the Company’s stock-based compensation expense for the three and nine months ended September 30, 2019 and 2018 . Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 RSUs and PSUs $ 38 $ 7 $ 104 $ 86 Stock options 4 7 13 19 Stock-based compensation expense, before income taxes 42 14 117 105 Related tax benefit (8 ) (3 ) (27 ) (26 ) Stock-based compensation expense, net of tax benefit $ 34 $ 11 $ 90 $ 79 |
Restructuring, Merger-Related_2
Restructuring, Merger-Related Costs and Other Corporate Matters (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring Charges [Abstract] | |
Restructuring Reserve Rollforward | Balance at 2019 2019 Balance at December 31, 2018 Charges Settlements September 30, 2019 Entertainment $ 31 $ 48 $ (37 ) $ 42 Cable Networks — 5 (2 ) 3 Publishing 2 5 (3 ) 4 Local Media 23 28 (19 ) 32 Corporate 12 22 (17 ) 17 Total $ 68 $ 108 $ (78 ) $ 98 Balance at 2018 2018 Balance at December 31, 2017 Charges Settlements December 31, 2018 Entertainment $ 39 $ 27 $ (35 ) $ 31 Publishing 3 1 (2 ) 2 Local Media 11 18 (6 ) 23 Corporate 2 21 (11 ) 12 Total $ 55 $ 67 $ (54 ) $ 68 |
Programming and Other Invento_2
Programming and Other Inventory (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Current Programming and Other Inventory | At At September 30, 2019 December 31, 2018 Acquired program rights $ 2,657 $ 2,400 Acquired television library 99 99 Internally produced programming: Released 2,810 2,477 In process and other 1,188 839 Publishing, primarily finished goods 71 56 Total programming and other inventory 6,825 5,871 Less current portion 1,964 1,988 Total noncurrent programming and other inventory $ 4,861 $ 3,883 |
Noncurrent Programming and Other Inventory | At At September 30, 2019 December 31, 2018 Acquired program rights $ 2,657 $ 2,400 Acquired television library 99 99 Internally produced programming: Released 2,810 2,477 In process and other 1,188 839 Publishing, primarily finished goods 71 56 Total programming and other inventory 6,825 5,871 Less current portion 1,964 1,988 Total noncurrent programming and other inventory $ 4,861 $ 3,883 |
Related Parties (Tables)
Related Parties (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Related Party Transactions [Abstract] | |
Amounts due from Viacom Inc. | The following table presents the amounts due from Viacom in the normal course of business as reflected on the Company’s Consolidated Balance Sheets. Amounts due to Viacom. were minimal at September 30, 2019 and December 31, 2018 . At At September 30, 2019 December 31, 2018 Receivables $ 40 $ 38 Other assets (Receivables, noncurrent) 16 23 Total amounts due from Viacom $ 56 $ 61 |
Bank Financing and Debt (Tables
Bank Financing and Debt (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | The following table sets forth the Company’s debt. At At September 30, 2019 December 31, 2018 Commercial paper $ 50 $ 674 Senior debt (2.30% - 7.875% due 2019 - 2045) (a) 9,334 9,435 Obligations under finance leases 35 43 Total debt 9,419 10,152 Less commercial paper 50 674 Less current portion of long-term debt 10 13 Total long-term debt, net of current portion $ 9,359 $ 9,465 (a) At September 30, 2019 and December 31, 2018 , the senior debt balances included (i) a net unamortized discount of $57 million and $58 million , respectively, (ii) unamortized deferred financing costs of $42 million and $43 million at September 30, 2019 and December 31, 2018 , respectively, and (iii) a decrease in the carrying value of the debt relating to previously settled fair value hedges of $6 million and $5 million , respectively. The face value of the Company’s senior debt was $9.44 billion and $9.54 billion at September 30, 2019 and December 31, 2018 , respectively. |
Pension and Other Postretirem_2
Pension and Other Postretirement Benefits (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Retirement Benefits [Abstract] | |
Pension and Other Postretirement Benefits | The components of net periodic cost for the Company’s pension and postretirement benefit plans were as follows: Pension Benefits Postretirement Benefits Three Months Ended September 30, 2019 2018 2019 2018 Components of net periodic cost: Service cost $ 7 $ 7 $ — $ — Interest cost 39 38 4 3 Expected return on plan assets (38 ) (45 ) — — Amortization of actuarial loss (gain) (a) 23 24 (5 ) (4 ) Net periodic cost $ 31 $ 24 $ (1 ) $ (1 ) Pension Benefits Postretirement Benefits Nine Months Ended September 30, 2019 2018 2019 2018 Components of net periodic cost: Service cost $ 21 $ 23 $ — $ — Interest cost 117 112 11 11 Expected return on plan assets (114 ) (135 ) — — Amortization of actuarial loss (gain) (a) 69 72 (14 ) (13 ) Net periodic cost $ 93 $ 72 $ (3 ) $ (2 ) (a) Reflects amounts reclassified from accumulated other comprehensive loss to net earnings. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Changes in Components of Accumulated Other Comprehensive Income (Loss) | The following tables summarize the changes in the components of accumulated other comprehensive loss. Cumulative Translation Adjustments Net Actuarial Loss and Prior Service Cost Accumulated Other Comprehensive Loss At December 31, 2018 $ 133 $ (908 ) $ (775 ) Other comprehensive loss before reclassifications (8 ) — (8 ) Reclassifications to net earnings — 41 (a) 41 Other comprehensive income (loss) (8 ) 41 33 Tax effects reclassified to accumulated deficit — (176 ) (b) (176 ) At September 30, 2019 $ 125 $ (1,043 ) $ (918 ) Cumulative Translation Adjustments Net Actuarial Loss and Prior Service Cost Accumulated Other Comprehensive Loss At December 31, 2017 $ 159 $ (821 ) $ (662 ) Other comprehensive loss before reclassifications (17 ) — (17 ) Reclassifications to net earnings — 45 (a) 45 Other comprehensive income (loss) (17 ) 45 28 At September 30, 2018 $ 142 $ (776 ) $ (634 ) (a) Reflects amortization of net actuarial losses (see Note 7 ). Amounts are net of tax benefits of $14 million for each of the nine months ended September 30, 2019 and 2018 . (b) Reflects the reclassification of certain income tax effects of the Tax Reform Act on items within accumulated other comprehensive loss to accumulated deficit upon the adoption of new FASB guidance (see Note 1 ). |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The (provision) benefit for income taxes represents federal, state and local, and foreign income taxes on earnings before income taxes and equity in loss of investee companies. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Provision for income taxes before discrete items $ (84 ) $ (119 ) $ (324 ) $ (364 ) Tax benefit from transfer of assets (a) — — 768 — Provision for gain on sale of assets (b) — — (163 ) — Impact of tax law changes (c) — 54 — 54 Tax benefits from positions relating to the Tax Reform Act (d) 43 — 43 — Audit settlements and statute lapses 6 2 7 3 Other discrete items 2 (1 ) 13 (5 ) (Provision) benefit for income taxes $ (33 ) $ (64 ) $ 344 $ (312 ) Effective income tax rate 8.8 % 11.2 % (16.8 )% 17.7 % (a) Reflects a deferred tax benefit resulting from the transfer of intangible assets between subsidiaries of the Company in connection with a reorganization of the Company’s international operations. The related deferred tax asset is primarily expected to be realized over the next 25 years . (b) Reflects the tax provision from the gain on the sale of CBS Television City. (c) During the third quarter of 2018, in connection with the preparation of its 2017 federal tax return, the Company elected to utilize a federal tax law provision that was retroactively renewed in 2018. This tax law provision allowed the Company to immediately expense certain qualified production costs on its 2017 tax return. As a result, during the third quarter of 2018, the Company established a deferred tax liability associated with this deduction at the 2017 federal tax rate of 35%, and concurrently recorded a net tax benefit of $69 million , primarily reflecting the re-measurement of this deferred tax liability at the reduced federal corporate tax rate of 21% under the Tax Reform Act. This benefit was partially offset by a charge of $15 million to adjust the provisional amount of transition tax on cumulative foreign earnings and profits that resulted from the enactment of the Tax Reform Act. See discussion below. (d) Reflects tax benefits realized in connection with the preparation of the 2018 federal tax return, based on further clarity provided by the United States government on tax positions relating to the Tax Reform Act. |
Financial Instruments and Fai_2
Financial Instruments and Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments | Gains recognized on derivative financial instruments were as follows: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Financial Statement Account Non-designated foreign exchange contracts $ 9 $ — $ 11 $ 13 Other items, net |
Fair Value Measurements | The following tables set forth the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2019 and December 31, 2018 . These assets and liabilities have been categorized according to the three-level fair value hierarchy established by the FASB, which prioritizes the inputs used in measuring fair value. Level 1 is based on publicly quoted prices for the asset or liability in active markets. Level 2 is based on inputs that are observable other than quoted market prices in active markets, such as quoted prices for the asset or liability in inactive markets or quoted prices for similar assets or liabilities. Level 3 is based on unobservable inputs reflecting the Company’s own assumptions about the assumptions that market participants would use in pricing the asset or liability. At September 30, 2019 Level 1 Level 2 Level 3 Total Assets: Foreign currency hedges $ — $ 13 $ — $ 13 Total Assets $ — $ 13 $ — $ 13 Liabilities: Deferred compensation $ — $ 320 $ — $ 320 Foreign currency hedges — 1 — 1 Total Liabilities $ — $ 321 $ — $ 321 At December 31, 2018 Level 1 Level 2 Level 3 Total Assets: Foreign currency hedges $ — $ 15 $ — $ 15 Total Assets $ — $ 15 $ — $ 15 Liabilities: Deferred compensation $ — $ 336 $ — $ 336 Foreign currency hedges — 1 — 1 Total Liabilities $ — $ 337 $ — $ 337 |
Segment and Revenue Informati_2
Segment and Revenue Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Revenues by Segment | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Revenues: Entertainment $ 2,286 $ 2,190 $ 8,203 $ 7,345 Cable Networks 563 529 1,677 1,653 Publishing 217 240 599 607 Local Media 406 434 1,286 1,269 Corporate/Eliminations (177 ) (130 ) (494 ) (384 ) Total Revenues $ 3,295 $ 3,263 $ 11,271 $ 10,490 |
Intercompany Revenues by Segment | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Intercompany Revenues: Entertainment $ 175 $ 134 $ 493 $ 391 Cable Networks 2 2 4 2 Local Media 6 3 17 13 Total Intercompany Revenues $ 183 $ 139 $ 514 $ 406 |
Segment Operating Income (Loss) and Reconciliation to Net Earnings (Loss) | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Segment Operating Income (Loss): Entertainment $ 302 $ 384 $ 1,258 $ 1,237 Cable Networks 196 241 556 722 Publishing 52 51 102 98 Local Media 96 124 364 370 Corporate/Eliminations (65 ) (64 ) (204 ) (216 ) Restructuring charges — — (108 ) (25 ) Merger-related costs and other corporate matters (80 ) (46 ) (93 ) (65 ) Gain on sale of assets — — 549 — Operating income 501 690 2,424 2,121 Interest expense (114 ) (115 ) (346 ) (349 ) Interest income 12 12 38 43 Other items, net (24 ) (17 ) (66 ) (52 ) Earnings before income taxes and equity in loss of investee companies 375 570 2,050 1,763 (Provision) benefit for income taxes (33 ) (64 ) 344 (312 ) Equity in loss of investee companies, net of tax (23 ) (18 ) (52 ) (52 ) Net earnings $ 319 $ 488 $ 2,342 $ 1,399 |
Depreciation and Amortization, Stock-based Compensation and Capital Expenditures | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Depreciation and Amortization: Entertainment $ 30 $ 31 $ 89 $ 94 Cable Networks 5 5 15 14 Publishing 1 1 4 4 Local Media 10 11 30 33 Corporate 6 8 20 23 Total Depreciation and Amortization $ 52 $ 56 $ 158 $ 168 Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Stock-based Compensation: Entertainment $ 18 $ 19 $ 51 $ 50 Cable Networks 3 2 9 8 Publishing 1 1 3 3 Local Media 3 3 9 9 Corporate (a) 17 (11 ) 45 35 Total Stock-based Compensation $ 42 $ 14 $ 117 $ 105 (a) Included in the three and nine months ended September 30, 2018 are forfeitures of $28 million and accelerations of $6 million relating to changes in senior management. Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Capital Expenditures: Entertainment $ 17 $ 20 $ 60 $ 58 Cable Networks 4 4 8 10 Publishing 3 2 5 4 Local Media 7 6 14 15 Corporate 3 5 7 12 Total Capital Expenditures $ 34 $ 37 $ 94 $ 99 |
Assets by Segment | At At September 30, 2019 December 31, 2018 Assets: Entertainment (a) $ 15,242 $ 13,579 Cable Networks 3,434 2,693 Publishing 1,238 1,054 Local Media 4,138 4,037 Corporate/Eliminations 411 484 Discontinued operations 13 12 Total Assets $ 24,476 $ 21,859 (a) Includes assets held for sale of $33 million at December 31, 2018 . |
Disaggregation of Revenue | The following table presents the Company’s revenues disaggregated into categories based on the nature of such revenues. Three Months Ended Nine Months Ended September 30, September 30, Revenues by Type 2019 2018 2019 2018 Advertising $ 1,177 $ 1,263 $ 4,645 $ 4,323 Content licensing and distribution: Programming 722 693 2,527 2,417 Publishing 217 240 599 607 Affiliate and subscription fees 1,124 1,008 3,348 2,976 Other 55 59 152 167 Total Revenues $ 3,295 $ 3,263 $ 11,271 $ 10,490 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Schedule of Assets and Liabilities, Lessee | At September 30, 2019 , the following amounts were recorded on the Company’s Consolidated Balance Sheet relating to its leases. Leases Operating Finance Right-of-Use Assets Operating lease assets $ 1,001 $ — Property and equipment, net $ — $ 31 Lease Liabilities Accrued expenses and other current liabilities $ 131 $ 11 Noncurrent operating lease liabilities 948 — Long-term debt — 24 Total lease liabilities $ 1,079 $ 35 |
Composition of Lease Cost | The following table presents the Company’s lease cost. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Operating lease cost (a) (b) $ 55 $ 163 Finance lease cost: Amortization of right-of-use assets 3 9 Interest expense on lease liabilities — 1 Short-term lease cost (b) (c) 26 67 Variable lease cost (d) 5 16 Sublease income (2 ) (14 ) Total lease cost $ 87 $ 242 (a) Includes fixed lease costs and non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) associated with long-term operating leases. (b) Includes costs capitalized in programming assets during the period for leased assets used in the production of programming. (c) Short-term leases have a term of 12 months or less and exclude month-to-month leases. Short-term leases are not recorded on the Company’s Consolidated Balance Sheet. (d) Primarily includes non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) and costs for equipment leases that vary based on usage. Leases Operating Finance Weighted average remaining lease term 10 years 3 years Weighted average discount rate 4.2 % 4.2 % |
Supplemental Cash Flow Information Related to Leases | The following table presents supplemental cash flow information related to the Company’s leases. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Cash paid for amounts included in lease liabilities Operating cash flows from operating leases $ 53 $ 160 Financing cash flows from finance leases $ 3 $ 9 Noncash additions to operating lease assets $ 134 $ 300 |
Lessee, Operating Lease, Future Lease Payments | The expected future payments relating to the Company’s operating and finance lease liabilities at September 30, 2019 are as follows: Leases Operating Finance 2019 (October 1 through December 31) $ 56 $ 4 2020 170 12 2021 174 11 2022 143 7 2023 130 2 2024 and thereafter 672 2 Total minimum payments 1,345 38 Less amounts representing interest 266 3 Present value of minimum payments $ 1,079 $ 35 |
Lessee, Finance Lease, Future Lease Payments | The expected future payments relating to the Company’s operating and finance lease liabilities at September 30, 2019 are as follows: Leases Operating Finance 2019 (October 1 through December 31) $ 56 $ 4 2020 170 12 2021 174 11 2022 143 7 2023 130 2 2024 and thereafter 672 2 Total minimum payments 1,345 38 Less amounts representing interest 266 3 Present value of minimum payments $ 1,079 $ 35 |
Lessee, Finance Lease, Future Lease Payments, Prior to Adoption | At December 31, 2018 , future minimum payments under noncancellable operating leases with terms in excess of one year and payments under finance leases were as follows: Leases Operating Finance 2019 $ 174 $ 13 2020 129 12 2021 122 11 2022 110 7 2023 101 2 2024 and thereafter 465 2 Total minimum payments $ 1,101 $ 47 Less amounts representing interest 4 Present value of minimum payments $ 43 |
Lessee, Operating Lease, Future Lease Payments, Prior to Adoption | At December 31, 2018 , future minimum payments under noncancellable operating leases with terms in excess of one year and payments under finance leases were as follows: Leases Operating Finance 2019 $ 174 $ 13 2020 129 12 2021 122 11 2022 110 7 2023 101 2 2024 and thereafter 465 2 Total minimum payments $ 1,101 $ 47 Less amounts representing interest 4 Present value of minimum payments $ 43 |
Lessor, Future Lease Income | At September 30, 2019 , future fixed lease income under noncancellable operating leases is as follows: 2019 (October 1 through December 31) $ 13 2020 52 2021 49 2022 45 2023 43 2024 and thereafter 93 Total $ 295 |
Condensed Consolidating Finan_2
Condensed Consolidating Financial Statements (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Consolidating Statements of Operations | Statement of Operations For the Three Months Ended September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 42 $ 2 $ 3,251 $ — $ 3,295 Costs and expenses: Operating 25 1 2,052 — 2,078 Selling, general and administrative 7 151 426 — 584 Depreciation and amortization 1 4 47 — 52 Restructuring charges, merger-related costs and other corporate matters (3 ) 78 5 — 80 Total costs and expenses 30 234 2,530 — 2,794 Operating income (loss) 12 (232 ) 721 — 501 Interest (expense) income, net (137 ) (140 ) 175 — (102 ) Other items, net (8 ) (3 ) (13 ) — (24 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (133 ) (375 ) 883 — 375 Benefit (provision) for income taxes 25 56 (114 ) — (33 ) Equity in earnings (loss) of investee companies, net of tax 427 315 (23 ) (742 ) (23 ) Net earnings (loss) $ 319 $ (4 ) $ 746 $ (742 ) $ 319 Total comprehensive income (loss) $ 323 $ (1 ) $ 734 $ (733 ) $ 323 Statement of Operations For the Nine Months Ended September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 131 $ 7 $ 11,133 $ — $ 11,271 Costs and expenses: Operating 75 3 7,257 — 7,335 Selling, general and administrative 33 276 1,393 — 1,702 Depreciation and amortization 3 14 141 — 158 Restructuring charges, merger-related costs and other corporate matters — 108 93 — 201 Gain on sale of assets — — (549 ) — (549 ) Total costs and expenses 111 401 8,335 — 8,847 Operating income (loss) 20 (394 ) 2,798 — 2,424 Interest (expense) income, net (412 ) (408 ) 512 — (308 ) Other items, net (26 ) (23 ) (17 ) — (66 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (418 ) (825 ) 3,293 — 2,050 Benefit for income taxes 86 152 106 — 344 Equity in earnings (loss) of investee companies, net of tax 2,674 659 (52 ) (3,333 ) (52 ) Net earnings (loss) $ 2,342 $ (14 ) $ 3,347 $ (3,333 ) $ 2,342 Total comprehensive income (loss) $ 2,375 $ (8 ) $ 3,326 $ (3,318 ) $ 2,375 Statement of Operations For the Three Months Ended September 30, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 47 $ 2 $ 3,214 $ — $ 3,263 Costs and expenses: Operating 25 1 1,896 — 1,922 Selling, general and administrative 11 58 480 — 549 Depreciation and amortization 1 5 50 — 56 Restructuring charges, merger-related costs and other corporate matters — 46 — — 46 Total costs and expenses 37 110 2,426 — 2,573 Operating income (loss) 10 (108 ) 788 — 690 Interest (expense) income, net (133 ) (130 ) 160 — (103 ) Other items, net (7 ) (4 ) (6 ) — (17 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (130 ) (242 ) 942 — 570 Benefit (provision) for income taxes 27 50 (141 ) — (64 ) Equity in earnings (loss) of investee companies, net of tax 591 410 (18 ) (1,001 ) (18 ) Net earnings $ 488 $ 218 $ 783 $ (1,001 ) $ 488 Total comprehensive income $ 500 $ 218 $ 782 $ (1,000 ) $ 500 Statement of Operations For the Nine Months Ended September 30, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Revenues $ 134 $ 7 $ 10,349 $ — $ 10,490 Costs and expenses: Operating 73 3 6,430 — 6,506 Selling, general and administrative 36 190 1,379 — 1,605 Depreciation and amortization 3 16 149 — 168 Restructuring charges, merger-related costs and other corporate matters — 71 19 — 90 Total costs and expenses 112 280 7,977 — 8,369 Operating income (loss) 22 (273 ) 2,372 — 2,121 Interest (expense) income, net (396 ) (378 ) 468 — (306 ) Other items, net (23 ) 8 (37 ) — (52 ) Earnings (loss) before income taxes and equity in earnings (loss) of investee companies (397 ) (643 ) 2,803 — 1,763 Benefit (provision) for income taxes 82 133 (527 ) — (312 ) Equity in earnings (loss) of investee companies, net of tax 1,714 1,174 (52 ) (2,888 ) (52 ) Net earnings $ 1,399 $ 664 $ 2,224 $ (2,888 ) $ 1,399 Total comprehensive income $ 1,427 $ 666 $ 2,206 $ (2,872 ) $ 1,427 |
Condensed Consolidating Balance Sheets | Balance Sheet At September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Assets Cash and cash equivalents $ 102 $ — $ 94 $ — $ 196 Receivables, net 20 1 3,664 — 3,685 Programming and other inventory 3 1 1,960 — 1,964 Prepaid expenses and other current assets 6 39 419 (36 ) 428 Total current assets 131 41 6,137 (36 ) 6,273 Property and equipment 31 228 2,683 — 2,942 Less accumulated depreciation and amortization 15 198 1,558 — 1,771 Net property and equipment 16 30 1,125 — 1,171 Programming and other inventory 5 4 4,852 — 4,861 Goodwill 98 62 4,904 — 5,064 Intangible assets — — 2,655 — 2,655 Operating lease assets 9 106 886 — 1,001 Investments in consolidated subsidiaries 50,434 17,561 — (67,995 ) — Deferred income tax assets, net — — 779 — 779 Other assets 292 — 2,380 — 2,672 Intercompany — — 33,740 (33,740 ) — Total Assets $ 50,985 $ 17,804 $ 57,458 $ (101,771 ) $ 24,476 Liabilities and Stockholders’ Equity Accounts payable $ 4 $ 34 $ 270 $ — $ 308 Participants’ share and royalties payable — — 1,201 — 1,201 Accrued programming and production costs 2 2 631 — 635 Commercial paper 50 — — — 50 Accrued expenses and other current liabilities 377 334 1,253 (36 ) 1,928 Total current liabilities 433 370 3,355 (36 ) 4,122 Long-term debt 9,290 — 69 — 9,359 Noncurrent operating lease liabilities 8 100 840 — 948 Other liabilities 2,568 208 2,219 — 4,995 Intercompany 33,634 106 — (33,740 ) — Stockholders’ Equity: Preferred stock — — 126 (126 ) — Common stock 1 123 590 (713 ) 1 Additional paid-in capital 43,510 — 60,894 (60,894 ) 43,510 Retained earnings (accumulated deficit) (14,683 ) 17,200 (5,858 ) (11,342 ) (14,683 ) Accumulated other comprehensive income (loss) (918 ) 28 23 (51 ) (918 ) 27,910 17,351 55,775 (73,126 ) 27,910 Less treasury stock, at cost 22,858 331 4,800 (5,131 ) 22,858 Total Stockholders’ Equity 5,052 17,020 50,975 (67,995 ) 5,052 Total Liabilities and Stockholders’ Equity $ 50,985 $ 17,804 $ 57,458 $ (101,771 ) $ 24,476 Balance Sheet At December 31, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Assets Cash and cash equivalents $ 148 $ — $ 174 $ — $ 322 Receivables, net 27 1 4,013 — 4,041 Programming and other inventory 2 2 1,984 — 1,988 Prepaid expenses and other current assets 81 46 310 (36 ) 401 Total current assets 258 49 6,481 (36 ) 6,752 Property and equipment 31 223 2,672 — 2,926 Less accumulated depreciation and amortization 14 184 1,519 — 1,717 Net property and equipment 17 39 1,153 — 1,209 Programming and other inventory 5 4 3,874 — 3,883 Goodwill 98 62 4,760 — 4,920 Intangible assets — — 2,638 — 2,638 Investments in consolidated subsidiaries 47,600 16,901 — (64,501 ) — Deferred income tax assets, net — — 29 — 29 Other assets 281 — 2,114 — 2,395 Assets held for sale — — 33 — 33 Intercompany — 526 31,686 (32,212 ) — Total Assets $ 48,259 $ 17,581 $ 52,768 $ (96,749 ) $ 21,859 Liabilities and Stockholders ’ Equity Accounts payable $ 5 $ 31 $ 165 $ — $ 201 Participants’ share and royalties payable — — 1,177 — 1,177 Accrued programming and production costs 3 2 699 — 704 Commercial paper 674 — — — 674 Accrued expenses and other current liabilities 396 308 1,149 (36 ) 1,817 Total current liabilities 1,078 341 3,190 (36 ) 4,573 Long-term debt 9,388 — 77 — 9,465 Other liabilities 2,777 212 2,028 — 5,017 Intercompany 32,212 — — (32,212 ) — Stockholders’ Equity: Preferred stock — — 126 (126 ) — Common stock 1 123 590 (713 ) 1 Additional paid-in capital 43,637 — 60,894 (60,894 ) 43,637 Retained earnings (accumulated deficit) (17,201 ) 17,214 (9,381 ) (7,833 ) (17,201 ) Accumulated other comprehensive income (loss) (775 ) 22 44 (66 ) (775 ) 25,662 17,359 52,273 (69,632 ) 25,662 Less treasury stock, at cost 22,858 331 4,800 (5,131 ) 22,858 Total Stockholders’ Equity 2,804 17,028 47,473 (64,501 ) 2,804 Total Liabilities and Stockholders’ Equity $ 48,259 $ 17,581 $ 52,768 $ (96,749 ) $ 21,859 |
Condensed Consolidating Statements of Cash Flows | Statement of Cash Flows For the Nine Months Ended September 30, 2019 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Net cash flow (used for) provided by operating activities $ (710 ) $ (263 ) $ 1,314 $ — $ 341 Investing Activities: Investments in and advances to investee companies — — (72 ) — (72 ) Capital expenditures — (7 ) (87 ) — (94 ) Acquisitions, net of cash acquired — — (39 ) — (39 ) Proceeds from dispositions 4 — 736 — 740 Proceeds from sale of investments — — 15 — 15 Other investing activities 3 — — — 3 Net cash flow provided by (used for) investing activities 7 (7 ) 553 — 553 Financing Activities: Repayments of short-term debt borrowings, net (624 ) — — — (624 ) Proceeds from issuance of senior notes 492 — — — 492 Repayment of senior notes (600 ) — — — (600 ) Payment of finance lease obligations — — (9 ) — (9 ) Payment of contingent consideration — — (3 ) — (3 ) Dividends (205 ) — — — (205 ) Purchase of Company common stock (14 ) — — — (14 ) Payment of payroll taxes in lieu of issuing shares for stock-based compensation (43 ) — — — (43 ) Acquisition of noncontrolling interest — — (26 ) — (26 ) Proceeds from exercise of stock options 14 — — — 14 Increase (decrease) in intercompany payables 1,639 270 (1,909 ) — — Net cash flow provided by (used for) financing activities 659 270 (1,947 ) — (1,018 ) Net decrease in cash, cash equivalents and restricted cash (44 ) — (80 ) — (124 ) Cash, cash equivalents and restricted cash at beginning of period (includes $120 of restricted cash) 268 — 174 — 442 Cash, cash equivalents and restricted cash at end of period (includes $122 of restricted cash) $ 224 $ — $ 94 $ — $ 318 Statement of Cash Flows For the Nine Months Ended September 30, 2018 CBS Corp. CBS Operations Inc. Non- Guarantor Affiliates Eliminations CBS Corp. Consolidated Net cash flow (used for) provided by operating activities $ (357 ) $ (183 ) $ 1,720 $ — $ 1,180 Investing Activities: Investments in and advances to investee companies — — (76 ) — (76 ) Capital expenditures — (12 ) (87 ) — (99 ) Acquisitions, net of cash acquired — — (29 ) — (29 ) Other investing activities 8 — — — 8 Net cash flow provided by (used for) investing activities from continuing operations 8 (12 ) (192 ) — (196 ) Net cash flow used for investing activities from discontinued operations (23 ) — — — (23 ) Net cash flow used for investing activities (15 ) (12 ) (192 ) — (219 ) Financing Activities: Repayments of short-term debt borrowings, net (305 ) — — — (305 ) Payment of finance lease obligations — — (12 ) — (12 ) Payment of contingent consideration — — (5 ) — (5 ) Dividends (208 ) — — — (208 ) Purchase of Company common stock (497 ) — — — (497 ) Payment of payroll taxes in lieu of issuing shares for stock-based compensation (59 ) — — — (59 ) Proceeds from exercise of stock options 23 — — — 23 Other financing activities (1 ) — — — (1 ) Increase (decrease) in intercompany payables 1,308 195 (1,503 ) — — Net cash flow provided by (used for) financing activities 261 195 (1,520 ) — (1,064 ) Net (decrease) increase in cash and cash equivalents (111 ) — 8 — (103 ) Cash and cash equivalents at beginning of period 173 — 112 — 285 Cash and cash equivalents at end of period $ 62 $ — $ 120 $ — $ 182 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies (Narrative) (Details) $ in Millions | Jan. 31, 2019 | Mar. 31, 2019USD ($) | Sep. 30, 2019USD ($)shares | Mar. 31, 2019USD ($) | Sep. 30, 2018USD ($)shares | Sep. 30, 2019USD ($)shares | Sep. 30, 2018USD ($)shares | Aug. 13, 2019membershares | Dec. 31, 2018USD ($) |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Number of members on board of directors | member | 6 | ||||||||
Revenues | |||||||||
Revenue recognized | $ 168 | ||||||||
Leases | |||||||||
Renewal options to extend term | 5 years | 5 years | |||||||
Additional Paid-In Capital | |||||||||
Dividends recorded on common stock | $ 69 | $ 205 | $ 206 | ||||||
Gain on Sale of Assets | |||||||||
Sale of property and sound stage | 740 | 0 | |||||||
Gain on sale of property and sound stage operation | $ 0 | $ 0 | $ 549 | $ 0 | |||||
Minimum [Member] | |||||||||
Leases | |||||||||
Remaining term | 1 year | 1 year | |||||||
Maximum [Member] | |||||||||
Leases | |||||||||
Remaining term | 16 years | 16 years | |||||||
CBS Television City [Member] | |||||||||
Gain on Sale of Assets | |||||||||
Sale of property and sound stage | $ 750 | ||||||||
Guaranteed cash flow period | 5 years | ||||||||
Estimated liability | $ 123 | $ 123 | |||||||
Gain on sale of property and sound stage operation | 549 | ||||||||
Gain on sale of property and sound stage operation, net | $ 386 | ||||||||
Stock Options and RSUs [Member] | |||||||||
Net Earnings (Loss) per Common Share | |||||||||
Antidilutive securities excluded from computation of earnings per share (in shares) | shares | 7,000,000 | 7,000,000 | 7,000,000 | 7,000,000 | |||||
Other Assets [Member] | |||||||||
Noncurrent Receivables | |||||||||
Noncurrent receivables | $ 1,830 | $ 1,830 | $ 1,550 | ||||||
Restricted Cash | |||||||||
Restricted cash | 122 | 122 | 120 | ||||||
Accrued Expenses and Other Current Liabilities [Member] | |||||||||
Revenues | |||||||||
Deferred revenue | $ 416 | $ 416 | $ 274 | ||||||
Viacom Inc [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Number of members on board of directors | member | 4 | ||||||||
NAI [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Number of members on board of directors | member | 2 | ||||||||
Viacom Inc [Member] | Common Class A [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Share Conversion Ratio of Viacom shares to ViacomCBS shares | shares | 0.59625 | ||||||||
Viacom Inc [Member] | Common Class B [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Share Conversion Ratio of Viacom shares to ViacomCBS shares | shares | 0.59625 | ||||||||
ViacomCBS [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Number of members on board of directors | member | 13 | ||||||||
Pop [Member] | |||||||||
Acquisition | |||||||||
Percentage of interest acquired | 50.00% | 50.00% | |||||||
Consideration transferred in Pop acquisition | $ 50 | ||||||||
Total ownership percentage of Pop | 100.00% | 100.00% |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies (Unrecognized Revenues Under Contract) (Details) $ in Millions | Sep. 30, 2019USD ($) |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Unrecognized revenue | $ 4,140 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-10-01 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Unrecognized revenue | $ 572 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Expected timing of satisfaction period | 3 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Unrecognized revenue | $ 1,640 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Expected timing of satisfaction period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Unrecognized revenue | $ 1,110 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Expected timing of satisfaction period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Unrecognized revenue | $ 820 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Expected timing of satisfaction period |
Basis of Presentation and Sum_6
Basis of Presentation and Summary of Significant Accounting Policies (Earnings per Share) (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Weighted average shares for basic EPS (in shares) | 374 | 375 | 374 | 378 |
Dilutive effect of shares issuable under stock-based compensation plans (in shares) | 2 | 4 | 2 | 4 |
Weighted average shares for diluted EPS (in shares) | 376 | 379 | 376 | 382 |
Basis of Presentation and Sum_7
Basis of Presentation and Summary of Significant Accounting Policies (Recently Adopted Accounting Pronouncements Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Operating lease assets | $ 1,001 | $ 0 | |
Operating lease liability | 1,079 | ||
Tax effects reclassified to accumulated deficit | $ 176 | $ 176 |
Stock-based Compensation (Detai
Stock-based Compensation (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share-based Payment Arrangement [Abstract] | ||||
RSUs and PSUs | $ 38 | $ 7 | $ 104 | $ 86 |
Stock options | 4 | 7 | 13 | 19 |
Stock-based compensation expense, before income taxes | 42 | 14 | 117 | 105 |
Related tax benefit | (8) | (3) | (27) | (26) |
Stock-based compensation expense, net of tax benefit | $ 34 | $ 11 | $ 90 | $ 79 |
Stock-based Compensation (Narra
Stock-based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of RSUs granted during the period (in shares) | 4 | |||
Weighted average grant date fair value - RSUs (in dollars per share) | $ 50.24 | |||
Unrecognized future expense of RSUs | $ 237 | $ 237 | ||
Unrecognized future expense of stock options | 17 | $ 17 | ||
Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted average period to expense unrecognized stock-based compensation expense | 2 years 6 months | |||
Restricted Stock Units (RSUs) [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Service period over which grants vest | 1 year | |||
Percent of payout on stock-based compensation award | 0.00% | |||
Restricted Stock Units (RSUs) [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Service period over which grants vest | 4 years | |||
Percent of payout on stock-based compensation award | 120.00% | |||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted average period to expense unrecognized stock-based compensation expense | 1 year 10 months 24 days | |||
Merger-related costs and other corporate matters | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Accelerations | $ 6 | $ 6 | $ 6 | $ 6 |
Forfeitures | $ 28 | $ 28 |
Restructuring, Merger-Related_3
Restructuring, Merger-Related Costs and Other Corporate Matters (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | 33 Months Ended | ||||
Sep. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2019 | |
Restructuring Reserve | ||||||||
Beginning balance | $ 68 | $ 68 | $ 55 | $ 55 | ||||
Charges | $ 0 | $ 0 | 108 | 25 | 67 | $ 63 | ||
Settlements | (78) | (54) | $ (140) | |||||
Ending balance | 98 | 98 | 68 | 55 | 98 | |||
Merger-related costs and other corporate matters | 80 | $ 46 | 93 | 65 | ||||
Merger-related costs | 83 | |||||||
Other corporate matters, costs | 10 | |||||||
Operating Segments [Member] | Entertainment [Member] | ||||||||
Restructuring Reserve | ||||||||
Beginning balance | 31 | 31 | 39 | 39 | ||||
Charges | 48 | 27 | ||||||
Settlements | (37) | (35) | ||||||
Ending balance | 42 | 42 | 31 | 39 | 42 | |||
Operating Segments [Member] | Cable Networks [Member] | ||||||||
Restructuring Reserve | ||||||||
Beginning balance | 0 | 0 | ||||||
Charges | 5 | |||||||
Settlements | (2) | |||||||
Ending balance | 3 | 3 | 0 | 3 | ||||
Operating Segments [Member] | Publishing [Member] | ||||||||
Restructuring Reserve | ||||||||
Beginning balance | 2 | 2 | 3 | 3 | ||||
Charges | 5 | 1 | ||||||
Settlements | (3) | (2) | ||||||
Ending balance | 4 | 4 | 2 | 3 | 4 | |||
Operating Segments [Member] | Local Media [Member] | ||||||||
Restructuring Reserve | ||||||||
Beginning balance | 23 | 23 | 11 | 11 | ||||
Charges | 28 | 18 | ||||||
Settlements | (19) | (6) | ||||||
Ending balance | 32 | 32 | 23 | 11 | 32 | |||
Corporate [Member] | ||||||||
Restructuring Reserve | ||||||||
Beginning balance | 12 | 12 | $ 2 | 2 | ||||
Charges | 22 | 21 | ||||||
Settlements | (17) | (11) | ||||||
Ending balance | $ 17 | $ 17 | 12 | 2 | 17 | |||
Severance Costs [Member] | ||||||||
Restructuring Reserve | ||||||||
Charges | 98 | 57 | 54 | |||||
Settlements | (126) | |||||||
Exiting Contractual Obligations [Member] | ||||||||
Restructuring Reserve | ||||||||
Charges | $ 10 | $ 10 | $ 9 | |||||
Settlements | $ (14) |
Programming and Other Invento_3
Programming and Other Inventory (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Acquired program rights | $ 2,657 | $ 2,400 |
Acquired television library | 99 | 99 |
Internally produced programming: | ||
Released | 2,810 | 2,477 |
In process and other | 1,188 | 839 |
Publishing, primarily finished goods | 71 | 56 |
Total programming and other inventory | 6,825 | 5,871 |
Less current portion | 1,964 | 1,988 |
Total noncurrent programming and other inventory | $ 4,861 | $ 3,883 |
Related Parties (Details)
Related Parties (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Mar. 31, 2019USD ($) | Sep. 30, 2019USD ($)trustee | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)trustee | Sep. 30, 2018USD ($) | Feb. 28, 2019 | Dec. 31, 2018USD ($) | |
Related Party Transaction [Line Items] | |||||||
SMR Trust ownership in NAI | 80.00% | 80.00% | |||||
Pop [Member] | |||||||
Amounts due from Related Party | |||||||
Percentage of interest acquired | 50.00% | ||||||
Consideration transferred in Pop acquisition | $ 50 | ||||||
Total ownership percentage of Pop | 100.00% | ||||||
National Amusements, Inc. [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
NAI ownership of CBS Corp. Class A Common Stock (percentage) | 78.90% | 78.90% | |||||
NAI ownership of CBS Corp. Class A and Class B Common Stock on a combined basis (percentage) | 10.40% | 10.40% | |||||
Number of trustees | trustee | 7 | 7 | |||||
Viacom Inc. [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Revenues from transactions with related parties | $ 19 | $ 42 | $ 45 | $ 71 | |||
Expenses from transactions with related parties | 13 | 9 | 31 | 21 | |||
Amounts due from Related Party | |||||||
Receivables | 40 | 40 | $ 38 | ||||
Other assets (Receivables, noncurrent) | 16 | 16 | 23 | ||||
Amounts due from related parties | 56 | 56 | 61 | ||||
Pop [Member] | |||||||
Amounts due from Related Party | |||||||
Equity interest percentage | 50.00% | ||||||
Domestic and International Television Joint Ventures [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Revenues from transactions with related parties | 12 | $ 14 | 101 | $ 67 | |||
Amounts due from Related Party | |||||||
Amounts due from related parties | $ 11 | $ 11 | $ 34 |
Bank Financing and Debt (Schedu
Bank Financing and Debt (Schedule of Debt) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Commercial paper | $ 50 | $ 674 |
Senior debt (2.30% - 7.875% due 2019 - 2045) | 9,334 | 9,435 |
Obligations under finance leases | 35 | 43 |
Total debt | 9,419 | 10,152 |
Less commercial paper | 50 | 674 |
Less current portion of long-term debt | 10 | 13 |
Total long-term debt, net of current portion | 9,359 | 9,465 |
Senior Debt [Member] | ||
Debt Instrument [Line Items] | ||
Net unamortized discount on senior debt | 57 | 58 |
Unamortized deferred financing costs | 42 | 43 |
Decrease to carrying value of debt relating to previously settled fair value hedges | 6 | 5 |
Face value of debt | $ 9,440 | $ 9,540 |
Senior Debt [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 2.30% | |
Senior Debt [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 7.875% |
Bank Financing and Debt (Narrat
Bank Financing and Debt (Narrative) (Details) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Mar. 31, 2019USD ($) | |
Debt Instrument [Line Items] | |||
Commercial paper | $ 50,000,000 | $ 674,000,000 | |
Commercial Paper [Member] | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity under credit facility | $ 2,500,000,000 | ||
Debt maturity, less than | 60 days | ||
Weighted average interest rate | 2.25% | 3.02% | |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity under credit facility | $ 2,500,000,000 | ||
Maximum consolidated leverage ratio | 4.5 | ||
Consolidated leverage ratio | 3.1 | ||
Period for Consolidated EBITDA | 12 months | ||
Amount borrowed under credit facility | $ 0 | ||
Availability under credit facility | $ 2,490,000,000 | ||
Senior Notes Due 2029 [Member] | |||
Debt Instrument [Line Items] | |||
Debt issued during period | $ 500,000,000 | ||
Stated interest rate | 4.20% | ||
Debt Due August 2019 [Member] | |||
Debt Instrument [Line Items] | |||
Stated interest rate | 2.30% | ||
Debt redeemed | $ 600,000,000 |
Pension and Other Postretirem_3
Pension and Other Postretirement Benefits (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 7 | $ 7 | $ 21 | $ 23 |
Interest cost | 39 | 38 | 117 | 112 |
Expected return on plan assets | (38) | (45) | (114) | (135) |
Amortization of actuarial loss (gain) | 23 | 24 | 69 | 72 |
Net periodic cost | 31 | 24 | 93 | 72 |
Postretirement Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | 4 | 3 | 11 | 11 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of actuarial loss (gain) | (5) | (4) | (14) | (13) |
Net periodic cost | $ (1) | $ (1) | $ (3) | $ (2) |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Oct. 01, 2019 | Sep. 30, 2019 | Sep. 30, 2019 | Sep. 30, 2018 |
Stockholders' Equity Note [Abstract] | ||||
Dividends per common share (in dollars per share) | $ 0.18 | |||
Dividends recorded on common stock | $ 69 | $ 205 | $ 206 | |
Subsequent Event [Member] | ||||
Class of Stock [Line Items] | ||||
Dividends paid per common share (in dollars per share) | $ 0.18 |
Stockholders' Equity (Accumulat
Stockholders' Equity (Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
AOCI Attributable to Parent, Net of Tax | |||||
Accumulated other comprehensive income (loss) beginning balance | $ (775) | $ (775) | $ (662) | ||
Other comprehensive loss before reclassifications | (8) | (17) | |||
Reclassifications to net earnings | 41 | 45 | |||
Total other comprehensive income, net of tax | $ 4 | $ 12 | 33 | 28 | |
Tax effects reclassified to accumulated deficit | (176) | (176) | |||
Accumulated other comprehensive income (loss) ending balance | (918) | (634) | (918) | (634) | |
Tax provision on net actuarial gain (loss) and prior service costs related to pension and other postretirement benefit plans | 14 | 14 | |||
Cumulative Translation Adjustments [Member] | |||||
AOCI Attributable to Parent, Net of Tax | |||||
Accumulated other comprehensive income (loss) beginning balance | 133 | 133 | 159 | ||
Other comprehensive loss before reclassifications | (8) | (17) | |||
Reclassifications to net earnings | 0 | 0 | |||
Total other comprehensive income, net of tax | (8) | (17) | |||
Tax effects reclassified to accumulated deficit | 0 | ||||
Accumulated other comprehensive income (loss) ending balance | 125 | 142 | 125 | 142 | |
Net Actuarial Loss and Prior Service Cost [Member] | |||||
AOCI Attributable to Parent, Net of Tax | |||||
Accumulated other comprehensive income (loss) beginning balance | $ (908) | (908) | (821) | ||
Other comprehensive loss before reclassifications | 0 | 0 | |||
Reclassifications to net earnings | 41 | 45 | |||
Total other comprehensive income, net of tax | 41 | 45 | |||
Tax effects reclassified to accumulated deficit | (176) | ||||
Accumulated other comprehensive income (loss) ending balance | $ (1,043) | $ (776) | $ (1,043) | $ (776) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Provision for income taxes before discrete items | $ (84) | $ (119) | $ (324) | $ (364) |
Tax benefit from transfer of assets | 0 | 0 | 768 | 0 |
Provision for gain on sale of assets | 0 | 0 | (163) | 0 |
Impact of tax law changes | 0 | 54 | 0 | 54 |
Tax benefits from positions relating to the Tax Reform Act | 43 | 0 | 43 | 0 |
Audit settlements and statute lapses | 6 | 2 | 7 | 3 |
Other discrete items | 2 | (1) | 13 | (5) |
Provision for income taxes | $ (33) | $ (64) | $ 344 | $ (312) |
Effective income tax rate | 8.80% | 11.20% | (16.80%) | 17.70% |
Deferred tax asset, period of expected benefit | 25 years | |||
Benefit from retroactive renewal | $ 69 | |||
Adjustment to provisional amount of transition tax on cumulative foreign earnings and profits | $ 15 | |||
Decrease to reserve for uncertain tax positions | $ 146 |
Financial Instruments and Fai_3
Financial Instruments and Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||
Carrying value of senior debt | $ 9,334 | $ 9,435 |
Cash Flow Hedging [Member] | Foreign exchange contracts [Member] | ||
Derivative [Line Items] | ||
Maximum derivative contract term | 24 months | |
Notional amount of derivative | $ 522 | 325 |
Senior Debt [Member] | ||
Derivative [Line Items] | ||
Fair value of senior debt | $ 10,410 | $ 9,480 |
Financial Instruments and Fai_4
Financial Instruments and Fair Value Measurements (Gain (Losses) Recognized on Derivative Financial Instruments) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Foreign exchange contracts [Member] | ||||
Derivatives [Line Items] | ||||
Non-designated foreign exchange contracts | $ 9 | $ 0 | $ 11 | $ 13 |
Financial Instruments and Fai_5
Financial Instruments and Fair Value Measurements (Fair Value of Assets and Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Assets: | ||
Foreign currency hedges | $ 13 | $ 15 |
Total Assets | 13 | 15 |
Liabilities: | ||
Deferred compensation | 320 | 336 |
Foreign currency hedges | 1 | 1 |
Total Liabilities | 321 | 337 |
Level 1 [Member] | ||
Assets: | ||
Foreign currency hedges | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities: | ||
Deferred compensation | 0 | 0 |
Foreign currency hedges | 0 | 0 |
Total Liabilities | 0 | 0 |
Level 2 [Member] | ||
Assets: | ||
Foreign currency hedges | 13 | 15 |
Total Assets | 13 | 15 |
Liabilities: | ||
Deferred compensation | 320 | 336 |
Foreign currency hedges | 1 | 1 |
Total Liabilities | 321 | 337 |
Level 3 [Member] | ||
Assets: | ||
Foreign currency hedges | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities: | ||
Deferred compensation | 0 | 0 |
Foreign currency hedges | 0 | 0 |
Total Liabilities | $ 0 | $ 0 |
Segment and Revenue Informati_3
Segment and Revenue Information (Revenues) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | $ 3,295 | $ 3,263 | $ 11,271 | $ 10,490 |
Operating Segments [Member] | Entertainment [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | 2,286 | 2,190 | 8,203 | 7,345 |
Operating Segments [Member] | Cable Networks [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | 563 | 529 | 1,677 | 1,653 |
Operating Segments [Member] | Publishing [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | 217 | 240 | 599 | 607 |
Operating Segments [Member] | Local Media [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | 406 | 434 | 1,286 | 1,269 |
Corporate and Eliminations [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | (177) | (130) | (494) | (384) |
Intersegment Eliminations [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | (183) | (139) | (514) | (406) |
Intersegment Eliminations [Member] | Entertainment [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | (175) | (134) | (493) | (391) |
Intersegment Eliminations [Member] | Cable Networks [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | (2) | (2) | (4) | (2) |
Intersegment Eliminations [Member] | Local Media [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | $ (6) | $ (3) | $ (17) | $ (13) |
Segment and Revenue Informati_4
Segment and Revenue Information (Operating Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | ||||||
Operating income (loss) | $ 501 | $ 690 | $ 2,424 | $ 2,121 | ||
Restructuring charges | 0 | 0 | (108) | (25) | $ (67) | $ (63) |
Merger-related costs and other corporate matters | (80) | (46) | (93) | (65) | ||
Gain on sale of assets | 0 | 0 | 549 | 0 | ||
Interest expense | (114) | (115) | (346) | (349) | ||
Interest income | 12 | 12 | 38 | 43 | ||
Other items, net | (24) | (17) | (66) | (52) | ||
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | 375 | 570 | 2,050 | 1,763 | ||
(Provision) benefit for income taxes | (33) | (64) | 344 | (312) | ||
Equity in loss of investee companies, net of tax | (23) | (18) | (52) | (52) | ||
Net earnings | 319 | 488 | 2,342 | 1,399 | ||
Operating Segments [Member] | Entertainment [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating income (loss) | 302 | 384 | 1,258 | 1,237 | ||
Restructuring charges | (48) | (27) | ||||
Operating Segments [Member] | Cable Networks [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating income (loss) | 196 | 241 | 556 | 722 | ||
Restructuring charges | (5) | |||||
Operating Segments [Member] | Publishing [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating income (loss) | 52 | 51 | 102 | 98 | ||
Restructuring charges | (5) | (1) | ||||
Operating Segments [Member] | Local Media [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating income (loss) | 96 | 124 | 364 | 370 | ||
Restructuring charges | (28) | $ (18) | ||||
Corporate and Eliminations [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating income (loss) | (65) | (64) | (204) | (216) | ||
Segment Reconciling Items [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring charges | 0 | 0 | (108) | (25) | ||
Merger-related costs and other corporate matters | (80) | (46) | (93) | (65) | ||
Gain on sale of assets | $ 0 | $ 0 | $ 549 | $ 0 |
Segment and Revenue Informati_5
Segment and Revenue Information (Depreciation and Amortization) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | $ 52 | $ 56 | $ 158 | $ 168 |
Operating Segments [Member] | Entertainment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 30 | 31 | 89 | 94 |
Operating Segments [Member] | Cable Networks [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 5 | 5 | 15 | 14 |
Operating Segments [Member] | Publishing [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 1 | 1 | 4 | 4 |
Operating Segments [Member] | Local Media [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 10 | 11 | 30 | 33 |
Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | $ 6 | $ 8 | $ 20 | $ 23 |
Segment and Revenue Informati_6
Segment and Revenue Information (Stock-based Compensation) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Stock-based compensation | $ 42 | $ 14 | $ 117 | $ 105 |
Operating Segments [Member] | Entertainment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Stock-based compensation | 18 | 19 | 51 | 50 |
Operating Segments [Member] | Cable Networks [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Stock-based compensation | 3 | 2 | 9 | 8 |
Operating Segments [Member] | Publishing [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Stock-based compensation | 1 | 1 | 3 | 3 |
Operating Segments [Member] | Local Media [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Stock-based compensation | 3 | 3 | 9 | 9 |
Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Stock-based compensation | $ 17 | (11) | $ 45 | 35 |
Forfeitures | 28 | 28 | ||
Accelerations | $ 6 | $ 6 |
Segment and Revenue Informati_7
Segment and Revenue Information (Capital Expenditures) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 34 | $ 37 | $ 94 | $ 99 |
Operating Segments [Member] | Entertainment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 17 | 20 | 60 | 58 |
Operating Segments [Member] | Cable Networks [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 4 | 4 | 8 | 10 |
Operating Segments [Member] | Publishing [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 3 | 2 | 5 | 4 |
Operating Segments [Member] | Local Media [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 7 | 6 | 14 | 15 |
Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 3 | $ 5 | $ 7 | $ 12 |
Segment and Revenue Informati_8
Segment and Revenue Information (Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Segment Reporting Information [Line Items] | ||
Assets | $ 24,476 | $ 21,859 |
Assets of discontinued operations | 13 | 12 |
Assets held for sale | 0 | 33 |
Operating Segments [Member] | Entertainment [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 15,242 | 13,579 |
Assets held for sale | 33 | |
Operating Segments [Member] | Cable Networks [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 3,434 | 2,693 |
Operating Segments [Member] | Publishing [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 1,238 | 1,054 |
Operating Segments [Member] | Local Media [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 4,138 | 4,037 |
Corporate and Eliminations [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | $ 411 | $ 484 |
Segment and Revenue Informati_9
Segment and Revenue Information (Revenues by Type) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 3,295 | $ 3,263 | $ 11,271 | $ 10,490 |
Advertising [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,177 | 1,263 | 4,645 | 4,323 |
Programming [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 722 | 693 | 2,527 | 2,417 |
Publishing [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 217 | 240 | 599 | 607 |
Affiliate and Subscription Fees [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,124 | 1,008 | 3,348 | 2,976 |
Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 55 | $ 59 | $ 152 | $ 167 |
Leases (Balance Sheet Amounts)
Leases (Balance Sheet Amounts) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Operating | ||
Operating lease assets | $ 1,001 | $ 0 |
Accrued expenses and other current liabilities, operating leases | 131 | |
Noncurrent operating lease liabilities | 948 | 0 |
Total lease liabilities | 1,079 | |
Finance | ||
Property and equipment, net | 31 | |
Accrued expenses and other current liabilities, finance leases | 11 | |
Long-term debt | 24 | |
Total lease liabilities | $ 35 | $ 43 |
Leases (Weighted Average) (Deta
Leases (Weighted Average) (Details) | Sep. 30, 2019 |
Operating | |
Weighted average remaining lease term | 10 years |
Weighted average discount rate | 4.20% |
Finance | |
Weighted average remaining lease term | 3 years |
Weighted average discount rate | 4.20% |
Leases (Lease Cost) (Details)
Leases (Lease Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Leases [Abstract] | ||
Operating lease cost | $ 55 | $ 163 |
Finance lease cost: | ||
Amortization of right-of-use assets | 3 | 9 |
Interest expense on lease liabilities | 0 | 1 |
Short-term lease cost | 26 | 67 |
Variable lease cost | 5 | 16 |
Sublease income | (2) | (14) |
Total lease cost | $ 87 | $ 242 |
Leases (Operating and Financing
Leases (Operating and Financing Cash Flows) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | Sep. 30, 2018 | |
Leases [Abstract] | |||
Operating cash flows from operating leases | $ 53 | $ 160 | |
Financing cash flows from finance leases | 3 | 9 | $ 12 |
Noncash additions to operating lease assets | $ 134 | $ 300 |
Leases (Future Minimum Payments
Leases (Future Minimum Payments) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Operating | ||
2019 (October 1 through December 31) | $ 56 | |
2020 | 170 | |
2021 | 174 | |
2022 | 143 | |
2023 | 130 | |
2024 and thereafter | 672 | |
Total minimum payments | 1,345 | |
Less amounts representing interest | 266 | |
Present value of minimum payments | 1,079 | |
Finance | ||
2019 (October 1 through December 31) | 4 | |
2020 | 12 | |
2021 | 11 | |
2022 | 7 | |
2023 | 2 | |
2024 and thereafter | 2 | |
Total minimum payments | 38 | |
Less amounts representing interest | 3 | |
Present value of minimum payments | $ 35 | $ 43 |
Leases (Future Minimum Paymen_2
Leases (Future Minimum Payments Prior to Adoption) (Details) $ in Millions | Dec. 31, 2018USD ($) |
Operating | |
2019 | $ 174 |
2020 | 129 |
2021 | 122 |
2022 | 110 |
2023 | 101 |
2024 and thereafter | 465 |
Total minimum payments | 1,101 |
Finance | |
2019 | 13 |
2020 | 12 |
2021 | 11 |
2022 | 7 |
2023 | 2 |
2024 and thereafter | 2 |
Total minimum payments | 47 |
Less amounts representing interest | 4 |
Present value of minimum payments | $ 43 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Lessee, Lease, Description [Line Items] | |||
Future minimum sublease income | $ 30 | ||
Operating leases not yet commenced, future undiscounted lease payments | $ 14 | $ 14 | |
Lease income | $ 32 | $ 95 | |
Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Operating leases not yet commenced, term of contract | 2 years | 2 years | |
Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Operating leases not yet commenced, term of contract | 10 years | 10 years |
Leases (Future Lease Income as
Leases (Future Lease Income as Lessor) (Details) $ in Millions | Sep. 30, 2019USD ($) |
Leases [Abstract] | |
2019 (October 1 through December 31) | $ 13 |
2020 | 52 |
2021 | 49 |
2022 | 45 |
2023 | 43 |
2024 and thereafter | 93 |
Total | $ 295 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Millions | Jan. 31, 2019 | Oct. 31, 2018USD ($) | Sep. 30, 2019USD ($)claim | Dec. 31, 2018USD ($)claim | Dec. 31, 2017USD ($) | Sep. 30, 2018claim |
Commitments and Contingencies Disclosure [Abstract] | ||||||
Outstanding letters of credit and surety bonds | $ 101 | |||||
Loss Contingencies [Line Items] | ||||||
Contributions to grantor trust | $ 120 | |||||
Costs for settlement and defense of asbestos claims, net of insurance recoveries and taxes | $ 45 | $ 57 | ||||
Asbestos Claims [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of pending asbestos claims | claim | 31,030 | 31,570 | 31,500 | |||
Number of new asbestos claims | claim | 850 | |||||
Number of asbestos claims closed or moved to inactive docket | claim | 1,940 | |||||
CBS Television City [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Guaranteed cash flow period | 5 years | |||||
Estimated liability | $ 123 |
Condensed Consolidating Finan_3
Condensed Consolidating Financial Statements (Statement of Operations) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Condensed Income Statements, Captions [Line Items] | ||||
Revenues | $ 3,295 | $ 3,263 | $ 11,271 | $ 10,490 |
Costs and expenses: | ||||
Operating | 2,078 | 1,922 | 7,335 | 6,506 |
Selling, general and administrative | 584 | 549 | 1,702 | 1,605 |
Depreciation and amortization | 52 | 56 | 158 | 168 |
Restructuring charges, merger-related costs and other corporate matters | 80 | 46 | 201 | 90 |
Gain on sale of assets | 0 | 0 | (549) | 0 |
Total costs and expenses | 2,794 | 2,573 | 8,847 | 8,369 |
Operating income (loss) | 501 | 690 | 2,424 | 2,121 |
Interest (expense) income, net | (102) | (103) | (308) | (306) |
Other items, net | (24) | (17) | (66) | (52) |
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | 375 | 570 | 2,050 | 1,763 |
Benefit (provision) for income taxes | (33) | (64) | 344 | (312) |
Equity in earnings (loss) of investee companies, net of tax | (23) | (18) | (52) | (52) |
Net earnings | 319 | 488 | 2,342 | 1,399 |
Total comprehensive income | 323 | 500 | 2,375 | 1,427 |
Eliminations [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Costs and expenses: | ||||
Operating | 0 | 0 | 0 | 0 |
Selling, general and administrative | 0 | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Restructuring charges, merger-related costs and other corporate matters | 0 | 0 | 0 | 0 |
Gain on sale of assets | 0 | |||
Total costs and expenses | 0 | 0 | 0 | 0 |
Operating income (loss) | 0 | 0 | 0 | 0 |
Interest (expense) income, net | 0 | 0 | 0 | 0 |
Other items, net | 0 | 0 | 0 | 0 |
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | 0 | 0 | 0 | 0 |
Benefit (provision) for income taxes | 0 | 0 | 0 | 0 |
Equity in earnings (loss) of investee companies, net of tax | (742) | (1,001) | (3,333) | (2,888) |
Net earnings | (742) | (1,001) | (3,333) | (2,888) |
Total comprehensive income | (733) | (1,000) | (3,318) | (2,872) |
CBS Corp. [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Revenues | 42 | 47 | 131 | 134 |
Costs and expenses: | ||||
Operating | 25 | 25 | 75 | 73 |
Selling, general and administrative | 7 | 11 | 33 | 36 |
Depreciation and amortization | 1 | 1 | 3 | 3 |
Restructuring charges, merger-related costs and other corporate matters | (3) | 0 | 0 | 0 |
Gain on sale of assets | 0 | |||
Total costs and expenses | 30 | 37 | 111 | 112 |
Operating income (loss) | 12 | 10 | 20 | 22 |
Interest (expense) income, net | (137) | (133) | (412) | (396) |
Other items, net | (8) | (7) | (26) | (23) |
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | (133) | (130) | (418) | (397) |
Benefit (provision) for income taxes | 25 | 27 | 86 | 82 |
Equity in earnings (loss) of investee companies, net of tax | 427 | 591 | 2,674 | 1,714 |
Net earnings | 319 | 488 | 2,342 | 1,399 |
Total comprehensive income | 323 | 500 | 2,375 | 1,427 |
CBS Operations Inc. [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Revenues | 2 | 2 | 7 | 7 |
Costs and expenses: | ||||
Operating | 1 | 1 | 3 | 3 |
Selling, general and administrative | 151 | 58 | 276 | 190 |
Depreciation and amortization | 4 | 5 | 14 | 16 |
Restructuring charges, merger-related costs and other corporate matters | 78 | 46 | 108 | 71 |
Gain on sale of assets | 0 | |||
Total costs and expenses | 234 | 110 | 401 | 280 |
Operating income (loss) | (232) | (108) | (394) | (273) |
Interest (expense) income, net | (140) | (130) | (408) | (378) |
Other items, net | (3) | (4) | (23) | 8 |
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | (375) | (242) | (825) | (643) |
Benefit (provision) for income taxes | 56 | 50 | 152 | 133 |
Equity in earnings (loss) of investee companies, net of tax | 315 | 410 | 659 | 1,174 |
Net earnings | (4) | 218 | (14) | 664 |
Total comprehensive income | (1) | 218 | (8) | 666 |
Non-Guarantor Affiliates [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Revenues | 3,251 | 3,214 | 11,133 | 10,349 |
Costs and expenses: | ||||
Operating | 2,052 | 1,896 | 7,257 | 6,430 |
Selling, general and administrative | 426 | 480 | 1,393 | 1,379 |
Depreciation and amortization | 47 | 50 | 141 | 149 |
Restructuring charges, merger-related costs and other corporate matters | 5 | 0 | 93 | 19 |
Gain on sale of assets | (549) | |||
Total costs and expenses | 2,530 | 2,426 | 8,335 | 7,977 |
Operating income (loss) | 721 | 788 | 2,798 | 2,372 |
Interest (expense) income, net | 175 | 160 | 512 | 468 |
Other items, net | (13) | (6) | (17) | (37) |
Earnings (loss) before income taxes and equity in earnings (loss) of investee companies | 883 | 942 | 3,293 | 2,803 |
Benefit (provision) for income taxes | (114) | (141) | 106 | (527) |
Equity in earnings (loss) of investee companies, net of tax | (23) | (18) | (52) | (52) |
Net earnings | 746 | 783 | 3,347 | 2,224 |
Total comprehensive income | $ 734 | $ 782 | $ 3,326 | $ 2,206 |
Condensed Consolidating Finan_4
Condensed Consolidating Financial Statements (Balance Sheet) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 |
ASSETS | ||||
Cash and cash equivalents | $ 196 | $ 322 | ||
Receivables, net | 3,685 | 4,041 | ||
Programming and other inventory | 1,964 | 1,988 | ||
Prepaid expenses and other current assets | 428 | 401 | ||
Total current assets | 6,273 | 6,752 | ||
Property and equipment | 2,942 | 2,926 | ||
Less accumulated depreciation and amortization | 1,771 | 1,717 | ||
Net property and equipment | 1,171 | 1,209 | ||
Programming and other inventory | 4,861 | 3,883 | ||
Goodwill | 5,064 | 4,920 | ||
Intangible assets | 2,655 | 2,638 | ||
Operating lease assets | 1,001 | 0 | ||
Investments in consolidated subsidiaries | 0 | 0 | ||
Deferred income tax assets, net | 779 | 29 | ||
Other assets | 2,672 | 2,395 | ||
Assets held for sale | 0 | 33 | ||
Intercompany | 0 | 0 | ||
Total Assets | 24,476 | 21,859 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable | 308 | 201 | ||
Participants’ share and royalties payable | 1,201 | 1,177 | ||
Accrued programming and production costs | 635 | 704 | ||
Commercial paper | 50 | 674 | ||
Accrued expenses and other current liabilities | 1,928 | 1,817 | ||
Total current liabilities | 4,122 | 4,573 | ||
Long-term debt | 9,359 | 9,465 | ||
Noncurrent operating lease liabilities | 948 | 0 | ||
Other liabilities | 4,995 | 5,017 | ||
Intercompany | 0 | 0 | ||
Stockholders’ Equity: | ||||
Preferred stock | 0 | 0 | ||
Common stock | 1 | 1 | ||
Additional paid-in capital | 43,510 | 43,637 | ||
Retained earnings (accumulated deficit) | (14,683) | (17,201) | ||
Accumulated other comprehensive income (loss) | (918) | (775) | $ (634) | $ (662) |
Stockholders' equity including treasury stock | 27,910 | 25,662 | ||
Less treasury stock, at cost | 22,858 | 22,858 | ||
Total Stockholders’ Equity | 5,052 | 2,804 | $ 2,514 | |
Total Liabilities and Stockholders’ Equity | 24,476 | 21,859 | ||
Eliminations [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | ||
Receivables, net | 0 | 0 | ||
Programming and other inventory | 0 | 0 | ||
Prepaid expenses and other current assets | (36) | (36) | ||
Total current assets | (36) | (36) | ||
Property and equipment | 0 | 0 | ||
Less accumulated depreciation and amortization | 0 | 0 | ||
Net property and equipment | 0 | 0 | ||
Programming and other inventory | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Intangible assets | 0 | 0 | ||
Operating lease assets | 0 | |||
Investments in consolidated subsidiaries | (67,995) | (64,501) | ||
Deferred income tax assets, net | 0 | 0 | ||
Other assets | 0 | 0 | ||
Assets held for sale | 0 | |||
Intercompany | (33,740) | (32,212) | ||
Total Assets | (101,771) | (96,749) | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable | 0 | 0 | ||
Participants’ share and royalties payable | 0 | 0 | ||
Accrued programming and production costs | 0 | 0 | ||
Commercial paper | 0 | 0 | ||
Accrued expenses and other current liabilities | (36) | (36) | ||
Total current liabilities | (36) | (36) | ||
Long-term debt | 0 | 0 | ||
Noncurrent operating lease liabilities | 0 | |||
Other liabilities | 0 | 0 | ||
Intercompany | (33,740) | (32,212) | ||
Stockholders’ Equity: | ||||
Preferred stock | (126) | (126) | ||
Common stock | (713) | (713) | ||
Additional paid-in capital | (60,894) | (60,894) | ||
Retained earnings (accumulated deficit) | (11,342) | (7,833) | ||
Accumulated other comprehensive income (loss) | (51) | (66) | ||
Stockholders' equity including treasury stock | (73,126) | (69,632) | ||
Less treasury stock, at cost | (5,131) | (5,131) | ||
Total Stockholders’ Equity | (67,995) | (64,501) | ||
Total Liabilities and Stockholders’ Equity | (101,771) | (96,749) | ||
CBS Corp. [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 102 | 148 | ||
Receivables, net | 20 | 27 | ||
Programming and other inventory | 3 | 2 | ||
Prepaid expenses and other current assets | 6 | 81 | ||
Total current assets | 131 | 258 | ||
Property and equipment | 31 | 31 | ||
Less accumulated depreciation and amortization | 15 | 14 | ||
Net property and equipment | 16 | 17 | ||
Programming and other inventory | 5 | 5 | ||
Goodwill | 98 | 98 | ||
Intangible assets | 0 | 0 | ||
Operating lease assets | 9 | |||
Investments in consolidated subsidiaries | 50,434 | 47,600 | ||
Deferred income tax assets, net | 0 | 0 | ||
Other assets | 292 | 281 | ||
Assets held for sale | 0 | |||
Intercompany | 0 | 0 | ||
Total Assets | 50,985 | 48,259 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable | 4 | 5 | ||
Participants’ share and royalties payable | 0 | 0 | ||
Accrued programming and production costs | 2 | 3 | ||
Commercial paper | 50 | 674 | ||
Accrued expenses and other current liabilities | 377 | 396 | ||
Total current liabilities | 433 | 1,078 | ||
Long-term debt | 9,290 | 9,388 | ||
Noncurrent operating lease liabilities | 8 | |||
Other liabilities | 2,568 | 2,777 | ||
Intercompany | 33,634 | 32,212 | ||
Stockholders’ Equity: | ||||
Preferred stock | 0 | 0 | ||
Common stock | 1 | 1 | ||
Additional paid-in capital | 43,510 | 43,637 | ||
Retained earnings (accumulated deficit) | (14,683) | (17,201) | ||
Accumulated other comprehensive income (loss) | (918) | (775) | ||
Stockholders' equity including treasury stock | 27,910 | 25,662 | ||
Less treasury stock, at cost | 22,858 | 22,858 | ||
Total Stockholders’ Equity | 5,052 | 2,804 | ||
Total Liabilities and Stockholders’ Equity | 50,985 | 48,259 | ||
CBS Operations Inc. [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | ||
Receivables, net | 1 | 1 | ||
Programming and other inventory | 1 | 2 | ||
Prepaid expenses and other current assets | 39 | 46 | ||
Total current assets | 41 | 49 | ||
Property and equipment | 228 | 223 | ||
Less accumulated depreciation and amortization | 198 | 184 | ||
Net property and equipment | 30 | 39 | ||
Programming and other inventory | 4 | 4 | ||
Goodwill | 62 | 62 | ||
Intangible assets | 0 | 0 | ||
Operating lease assets | 106 | |||
Investments in consolidated subsidiaries | 17,561 | 16,901 | ||
Deferred income tax assets, net | 0 | 0 | ||
Other assets | 0 | 0 | ||
Assets held for sale | 0 | |||
Intercompany | 0 | 526 | ||
Total Assets | 17,804 | 17,581 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable | 34 | 31 | ||
Participants’ share and royalties payable | 0 | 0 | ||
Accrued programming and production costs | 2 | 2 | ||
Commercial paper | 0 | 0 | ||
Accrued expenses and other current liabilities | 334 | 308 | ||
Total current liabilities | 370 | 341 | ||
Long-term debt | 0 | 0 | ||
Noncurrent operating lease liabilities | 100 | |||
Other liabilities | 208 | 212 | ||
Intercompany | 106 | 0 | ||
Stockholders’ Equity: | ||||
Preferred stock | 0 | 0 | ||
Common stock | 123 | 123 | ||
Additional paid-in capital | 0 | 0 | ||
Retained earnings (accumulated deficit) | 17,200 | 17,214 | ||
Accumulated other comprehensive income (loss) | 28 | 22 | ||
Stockholders' equity including treasury stock | 17,351 | 17,359 | ||
Less treasury stock, at cost | 331 | 331 | ||
Total Stockholders’ Equity | 17,020 | 17,028 | ||
Total Liabilities and Stockholders’ Equity | 17,804 | 17,581 | ||
Non-Guarantor Affiliates [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 94 | 174 | ||
Receivables, net | 3,664 | 4,013 | ||
Programming and other inventory | 1,960 | 1,984 | ||
Prepaid expenses and other current assets | 419 | 310 | ||
Total current assets | 6,137 | 6,481 | ||
Property and equipment | 2,683 | 2,672 | ||
Less accumulated depreciation and amortization | 1,558 | 1,519 | ||
Net property and equipment | 1,125 | 1,153 | ||
Programming and other inventory | 4,852 | 3,874 | ||
Goodwill | 4,904 | 4,760 | ||
Intangible assets | 2,655 | 2,638 | ||
Operating lease assets | 886 | |||
Investments in consolidated subsidiaries | 0 | 0 | ||
Deferred income tax assets, net | 779 | 29 | ||
Other assets | 2,380 | 2,114 | ||
Assets held for sale | 33 | |||
Intercompany | 33,740 | 31,686 | ||
Total Assets | 57,458 | 52,768 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable | 270 | 165 | ||
Participants’ share and royalties payable | 1,201 | 1,177 | ||
Accrued programming and production costs | 631 | 699 | ||
Commercial paper | 0 | 0 | ||
Accrued expenses and other current liabilities | 1,253 | 1,149 | ||
Total current liabilities | 3,355 | 3,190 | ||
Long-term debt | 69 | 77 | ||
Noncurrent operating lease liabilities | 840 | |||
Other liabilities | 2,219 | 2,028 | ||
Intercompany | 0 | 0 | ||
Stockholders’ Equity: | ||||
Preferred stock | 126 | 126 | ||
Common stock | 590 | 590 | ||
Additional paid-in capital | 60,894 | 60,894 | ||
Retained earnings (accumulated deficit) | (5,858) | (9,381) | ||
Accumulated other comprehensive income (loss) | 23 | 44 | ||
Stockholders' equity including treasury stock | 55,775 | 52,273 | ||
Less treasury stock, at cost | 4,800 | 4,800 | ||
Total Stockholders’ Equity | 50,975 | 47,473 | ||
Total Liabilities and Stockholders’ Equity | $ 57,458 | $ 52,768 |
Condensed Consolidating Finan_5
Condensed Consolidating Financial Statements (Statement of Cash Flows) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements, Captions [Line Items] | ||||||
Net cash flow (used for) provided by operating activities | $ 341 | $ 1,180 | ||||
Investing Activities: | ||||||
Investments in and advances to investee companies | (72) | (76) | ||||
Capital expenditures | $ (34) | $ (37) | (94) | (99) | ||
Acquisitions, net of cash acquired | (39) | (29) | ||||
Proceeds from dispositions | 740 | 0 | ||||
Proceeds from sale of investments | 15 | 0 | ||||
Other investing activities | 3 | 8 | ||||
Net cash flow provided by (used for) investing activities from continuing operations | 553 | (196) | ||||
Net cash flow used for investing activities from discontinued operations | 0 | (23) | ||||
Net cash flow provided by (used for) investing activities | 553 | (219) | ||||
Financing Activities: | ||||||
Repayments of short-term debt borrowings, net | (624) | (305) | ||||
Proceeds from issuance of senior notes | 492 | 0 | ||||
Repayment of senior notes | (600) | 0 | ||||
Payment of finance lease obligations | (3) | (9) | (12) | |||
Payment of contingent consideration | (3) | (5) | ||||
Dividends | (205) | (208) | ||||
Purchase of Company common stock | (14) | (497) | ||||
Payment of payroll taxes in lieu of issuing shares for stock-based compensation | (43) | (59) | ||||
Acquisition of noncontrolling interest | (26) | 0 | ||||
Proceeds from exercise of stock options | 14 | 23 | ||||
Other financing activities | 0 | (1) | ||||
Increase (decrease) in intercompany payables | 0 | 0 | ||||
Net cash flow provided by (used for) financing activities | (1,018) | (1,064) | ||||
Net decrease in cash, cash equivalents and restricted cash | (124) | (103) | ||||
Cash, cash equivalents and restricted cash at beginning of period (includes $120 (2019) and $0 (2018) of restricted cash) | 442 | 285 | ||||
Cash, cash equivalents and restricted cash at end of period (includes $122 (2019) and $0 (2018) of restricted cash) | 318 | 182 | 318 | 182 | ||
Restricted cash | 122 | 0 | 122 | 0 | $ 120 | $ 0 |
Eliminations [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net cash flow (used for) provided by operating activities | 0 | 0 | ||||
Investing Activities: | ||||||
Investments in and advances to investee companies | 0 | 0 | ||||
Capital expenditures | 0 | 0 | ||||
Acquisitions, net of cash acquired | 0 | 0 | ||||
Proceeds from dispositions | 0 | |||||
Proceeds from sale of investments | 0 | |||||
Other investing activities | 0 | 0 | ||||
Net cash flow provided by (used for) investing activities from continuing operations | 0 | |||||
Net cash flow used for investing activities from discontinued operations | 0 | |||||
Net cash flow provided by (used for) investing activities | 0 | 0 | ||||
Financing Activities: | ||||||
Repayments of short-term debt borrowings, net | 0 | 0 | ||||
Proceeds from issuance of senior notes | 0 | |||||
Repayment of senior notes | 0 | |||||
Payment of finance lease obligations | 0 | 0 | ||||
Payment of contingent consideration | 0 | 0 | ||||
Dividends | 0 | 0 | ||||
Purchase of Company common stock | 0 | 0 | ||||
Payment of payroll taxes in lieu of issuing shares for stock-based compensation | 0 | 0 | ||||
Acquisition of noncontrolling interest | 0 | |||||
Proceeds from exercise of stock options | 0 | 0 | ||||
Other financing activities | 0 | |||||
Increase (decrease) in intercompany payables | 0 | 0 | ||||
Net cash flow provided by (used for) financing activities | 0 | 0 | ||||
Net decrease in cash, cash equivalents and restricted cash | 0 | 0 | ||||
Cash, cash equivalents and restricted cash at beginning of period (includes $120 (2019) and $0 (2018) of restricted cash) | 0 | 0 | ||||
Cash, cash equivalents and restricted cash at end of period (includes $122 (2019) and $0 (2018) of restricted cash) | 0 | 0 | 0 | 0 | ||
CBS Corp. [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net cash flow (used for) provided by operating activities | (710) | (357) | ||||
Investing Activities: | ||||||
Investments in and advances to investee companies | 0 | 0 | ||||
Capital expenditures | 0 | 0 | ||||
Acquisitions, net of cash acquired | 0 | 0 | ||||
Proceeds from dispositions | 4 | |||||
Proceeds from sale of investments | 0 | |||||
Other investing activities | 3 | 8 | ||||
Net cash flow provided by (used for) investing activities from continuing operations | 8 | |||||
Net cash flow used for investing activities from discontinued operations | (23) | |||||
Net cash flow provided by (used for) investing activities | 7 | (15) | ||||
Financing Activities: | ||||||
Repayments of short-term debt borrowings, net | (624) | (305) | ||||
Proceeds from issuance of senior notes | 492 | |||||
Repayment of senior notes | (600) | |||||
Payment of finance lease obligations | 0 | 0 | ||||
Payment of contingent consideration | 0 | 0 | ||||
Dividends | (205) | (208) | ||||
Purchase of Company common stock | (14) | (497) | ||||
Payment of payroll taxes in lieu of issuing shares for stock-based compensation | (43) | (59) | ||||
Acquisition of noncontrolling interest | 0 | |||||
Proceeds from exercise of stock options | 14 | 23 | ||||
Other financing activities | (1) | |||||
Increase (decrease) in intercompany payables | 1,639 | 1,308 | ||||
Net cash flow provided by (used for) financing activities | 659 | 261 | ||||
Net decrease in cash, cash equivalents and restricted cash | (44) | (111) | ||||
Cash, cash equivalents and restricted cash at beginning of period (includes $120 (2019) and $0 (2018) of restricted cash) | 268 | 173 | ||||
Cash, cash equivalents and restricted cash at end of period (includes $122 (2019) and $0 (2018) of restricted cash) | 224 | 62 | 224 | 62 | ||
CBS Operations Inc. [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net cash flow (used for) provided by operating activities | (263) | (183) | ||||
Investing Activities: | ||||||
Investments in and advances to investee companies | 0 | 0 | ||||
Capital expenditures | (7) | (12) | ||||
Acquisitions, net of cash acquired | 0 | 0 | ||||
Proceeds from dispositions | 0 | |||||
Proceeds from sale of investments | 0 | |||||
Other investing activities | 0 | 0 | ||||
Net cash flow provided by (used for) investing activities from continuing operations | (12) | |||||
Net cash flow used for investing activities from discontinued operations | 0 | |||||
Net cash flow provided by (used for) investing activities | (7) | (12) | ||||
Financing Activities: | ||||||
Repayments of short-term debt borrowings, net | 0 | 0 | ||||
Proceeds from issuance of senior notes | 0 | |||||
Repayment of senior notes | 0 | |||||
Payment of finance lease obligations | 0 | 0 | ||||
Payment of contingent consideration | 0 | 0 | ||||
Dividends | 0 | 0 | ||||
Purchase of Company common stock | 0 | 0 | ||||
Payment of payroll taxes in lieu of issuing shares for stock-based compensation | 0 | 0 | ||||
Acquisition of noncontrolling interest | 0 | |||||
Proceeds from exercise of stock options | 0 | 0 | ||||
Other financing activities | 0 | |||||
Increase (decrease) in intercompany payables | 270 | 195 | ||||
Net cash flow provided by (used for) financing activities | 270 | 195 | ||||
Net decrease in cash, cash equivalents and restricted cash | 0 | 0 | ||||
Cash, cash equivalents and restricted cash at beginning of period (includes $120 (2019) and $0 (2018) of restricted cash) | 0 | 0 | ||||
Cash, cash equivalents and restricted cash at end of period (includes $122 (2019) and $0 (2018) of restricted cash) | 0 | 0 | 0 | 0 | ||
Non-Guarantor Affiliates [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net cash flow (used for) provided by operating activities | 1,314 | 1,720 | ||||
Investing Activities: | ||||||
Investments in and advances to investee companies | (72) | (76) | ||||
Capital expenditures | (87) | (87) | ||||
Acquisitions, net of cash acquired | (39) | (29) | ||||
Proceeds from dispositions | 736 | |||||
Proceeds from sale of investments | 15 | |||||
Other investing activities | 0 | 0 | ||||
Net cash flow provided by (used for) investing activities from continuing operations | (192) | |||||
Net cash flow used for investing activities from discontinued operations | 0 | |||||
Net cash flow provided by (used for) investing activities | 553 | (192) | ||||
Financing Activities: | ||||||
Repayments of short-term debt borrowings, net | 0 | 0 | ||||
Proceeds from issuance of senior notes | 0 | |||||
Repayment of senior notes | 0 | |||||
Payment of finance lease obligations | (9) | (12) | ||||
Payment of contingent consideration | (3) | (5) | ||||
Dividends | 0 | 0 | ||||
Purchase of Company common stock | 0 | 0 | ||||
Payment of payroll taxes in lieu of issuing shares for stock-based compensation | 0 | 0 | ||||
Acquisition of noncontrolling interest | (26) | |||||
Proceeds from exercise of stock options | 0 | 0 | ||||
Other financing activities | 0 | |||||
Increase (decrease) in intercompany payables | (1,909) | (1,503) | ||||
Net cash flow provided by (used for) financing activities | (1,947) | (1,520) | ||||
Net decrease in cash, cash equivalents and restricted cash | (80) | 8 | ||||
Cash, cash equivalents and restricted cash at beginning of period (includes $120 (2019) and $0 (2018) of restricted cash) | 174 | 112 | ||||
Cash, cash equivalents and restricted cash at end of period (includes $122 (2019) and $0 (2018) of restricted cash) | $ 94 | $ 120 | $ 94 | $ 120 |