EXHIBIT 99C1
CONSOLIDATED STATEMENTS OF U S WEST, Inc.
INCOME (UNAUDITED)
Quarter Ended Nine Months Ended
September 30, % September 30, %
In millions 1996 1995 Change 1996 1995 Change
- ------------------------------ ------- -------------- ------- -------
SALES & OTHER REVENUES $3,179 $2,964 7.3 $9,353 $8,686 7.7
OPERATING EXPENSES
Employee-related 1,105 1,007 9.7 3,246 2,982 8.9
Other operating 623 592 5.2 1,823 1,661 9.8
Taxes other than
income taxes 101 103 (1.9) 319 330 (3.3)
Depreciation & amort 624 573 8.9 1,796 1,695 6.0
---------------- ----------------
Total operating expense 2,453 2,275 7.8 7,184 6,668 7.7
---------------- ----------------
Income from operations 726 689 5.4 2,169 2,018 7.5
Interest expense 140 137 2.2 411 404 1.7
Equity losses in
unconsol ventures 81 38 - 224 128 75.0
Gains on sales of rural
telephone exchanges 2 34 (94.1) 51 112 (54.5)
Guaranteed minority
interest expense 12 2 - 36 2 -
Other expense - net 1 8 (87.5) 47 6 -
---------------- ----------------
Income before inc taxes,
extd item & cum effect
of chg in acctg princ 494 538 (8.2) 1,502 1,590 (5.5)
Income tax provision 190 213 (10.8) 588 617 (4.7)
---------------- ----------------
Income before extd
item, cum effect of
chg in acctg princ 304 325 (6.5) 914 973 (6.1)
Extraordinary item:
Early extinguishment
of debt - net of tax - (9) - - (9) -
---------------- ----------------
Income before cum effect
of chg in acctg princ 304 316 (3.8) 914 964 (5.2)
Cumulative effect of
change in accounting
principle - net of tax - - - 34 - -
---------------- ----------------
NET INCOME 304 316 (3.8) 948 964 (1.7)
Preferred dividends 1 1 - 3 3 -
---------------- ----------------
EARNINGS AVAILABLE FOR
COMMON STOCK $303 $315 (3.8) $945 $961 (1.7)
================ ================
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CONSOLIDATED STATEMENTS OF U S WEST, Inc.
INCOME (UNAUDITED)
Quarter Ended Nine Months Ended
In millions, except September 30, % September 30, %
per share amounts 1996 1995 Change 1996 1995 Change
- ------------------------------ ------- -------------- ------- -------
COMMUNICATIONS GROUP:
Average common shares
outstanding (1)<F1> 478.4 471.2 1.5 476.7 470.1 1.4
================ ================
Earnings per common
share: (1)<F1>
Income before extraordi-
nary item & cumulative
effect of change in
accounting principle $0.60 $0.62 (3.2) $1.90 $1.91 (0.5)
Extraordinary item - (0.01) - - (0.01) -
Cumulative effect of
change in accounting
principle - - - 0.07 - -
---------------- ----------------
Earnings per
common share $0.60 $0.61 (1.6) $1.97 $1.90 3.7
================ ================
MEDIA GROUP:
Average common shares
outstanding (1)<F1> 473.9 471.2 0.6 473.5 470.1 0.7
================ ================
Earnings per common
share: (1)<F1>
Income available for
common stock before
extraordinary item $0.04 $0.07 (42.9) $0.01 $0.15 (93.3)
Extraordinary item - (0.01) - - (0.01) -
---------------- ----------------
Earnings per
common share $0.04 $0.06 (33.3) $0.01 $0.14 (92.9)
================ ================
<FN>
<F1>
1 Effective November 1, 1995, each share of U S WEST, Inc.
common stock was converted into one share each of U S WEST Communi-
cations Group common stock and U S WEST Media Group common stock.
Earnings per common share for 1995 have been presented on a pro
forma basis to reflect the two classes of stock as if they were
outstanding since January 1, 1995. For periods prior to the
recapitalization, the average common shares outstanding
are assumed to be equal to the average common shares outstanding
for U S WEST, Inc.
</FN>
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CONSOLIDATED STATEMENTS OF U S WEST, Inc.
INCOME (UNAUDITED)
Dollars in millions, Quarter Ended Nine Months Ended
except per share September 30, % September 30, %
amounts 1996 1995 Change 1996 1995 Change
- ------------------------------ ------- -------------- ------- -------
U S WEST, Inc.
Average common shares
outstanding (#1) - 471.2 - - 470.1 -
================ ================
Earnings per common
share: (1)<F1>
Income available for
common stock before
extraordinary item $ - $0.69 - $ - $2.06 -
Extraordinary item - (0.02) - - (0.02) -
---------------- ----------------
Earnings per
common share $ - $0.67 - $ - $2.04 -
================ ================
SELECTED CONSOLIDATED DATA
Capital
expenditures $776 $818 (5.1) $2,337 $2,183 7.1
Debt-to-capital
ratio (2)<F2> 50.6% 50.7%# - 50.6% 50.7%# -
Employees 60,837 61,123 (0.5) 60,837 61,123 (0.5)
EBITDA $1,350 $1,262 7.0 $3,965 $3,713 6.8
EBITDA margin 42.5% 42.6% - 42.4% 42.8% -
<FN>
<F1>
# As of December 31, 1995.
1 Effective November 1, 1995, each share of U S WEST, Inc.
common stock was converted into one share each of U S WEST Communi-
cations Group common stock and U S WEST Media Group common stock.
<F2>
2 Ratio includes preferred securities and other preferred stock
as a component of total capital. Including debt related to the net
investment in assets held for sale, preferred securities and other
preferred stock, the Company's percentage of debt to total capital
was 55.4% at September 30, 1996 and 56.4% at December 31, 1995.
</FN>
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