<Page>
Exhibit 99.1
[LOGO]
LIBERTY MEDIA CORPORATION
SECOND QUARTER EARNINGS RELEASE
IMPORTANT NOTICE: Liberty Media Corporation ("Liberty") (NYSE: L, LMC.B)
President and CEO, Robert Bennett, will discuss Liberty's earnings release in a
conference call which will begin at 1:30 p.m. (ET) August 9, 2004. The call can
be accessed by dialing (719) 457-2638 at least 10 minutes prior to the start
time. Replays of the conference call can be accessed from 6:30 p.m. (ET) on
August 9, 2004 through 12:00 a.m (ET) August 16, 2004, by dialing (719) 457-0820
plus the pass code 269795#. The call will also be broadcast live across the
Internet. To access the web cast go to
http://www.libertymedia.com/investor_relations/default.htm. Links to this press
release will also be available on the Liberty Media web site.
Englewood, Colorado - On August 9, 2004, Liberty filed its Form 10-Q with the
Securities and Exchange Commission for the three months ended June 30, 2004. The
following release is being provided to supplement the information provided to
investors in Liberty's Form 10-Q as filed with the SEC.
Liberty is a holding company owning interests in a broad range of electronic
retailing, media, communications and entertainment businesses. Our businesses
are organized by operating groups with the two largest groups being the
Interactive Group and Networks Group, as shown below.
<Table>
<Caption>
Interactive Group Networks Group
- ----------------- --------------
CONSOLIDATED CONSOLIDATED
QVC, Inc. Starz Encore Group LLC (SEG)
Ascent Media Group EQUITY AFFILIATES
OnCommand Corporation Discovery Communications, Inc.
OpenTV Corporation CourtTV
COST METHOD INVESTMENTS GSN
InterActiveCorp COST METHOD INVESTMENTS
The News Corporation Limited
</Table>
The following discussion of the combined results of our Groups presents 100% of
the revenue, expenses and operating cash flow of each of the consolidated
subsidiaries and equity affiliates in each Group even though we may own less
than 100% of these businesses. The following discussion excludes financial
results from our cost method investments. Unless otherwise noted, the following
discussion compares financial information for the three months ended June 30,
2004 to the same period in 2003. Please see page 9 of this press release for the
definition of operating cash flow and a discussion of management's use of this
performance measure. Schedule 1 to this press release provides a reconciliation
of combined results for the Groups to consolidated earnings (loss) from
continuing operations before income taxes and minority interests.
INTERACTIVE GROUP
Interactive Group's combined revenue increased 18% and operating cash flow
increased 29% for the quarter. Increases in revenue and operating cash flow are
primarily due to increases at QVC and Ascent Media. Following is a more detailed
discussion of operating results at QVC and Ascent Media.
QVC
QVC's total revenue and operating cash flow increased 17% and 27%, respectively,
for the quarter.
QVC's domestic revenue and operating cash flow increased 8% and 13%,
respectively. The domestic revenue increase is attributable to increased sales
to existing subscribers primarily in the areas of apparel, accessories and
cosmetics and, to a lesser extent, lower returns as a percentage of sales. The
domestic operations increased sales per FTE by 8.4% to $12.29 and units shipped
by 9%. The domestic operating
1
<Page>
cash flow margin increased 102 basis points over the prior year primarily due to
a higher gross profit margin. Gross margins increased during the quarter due to
a shift in product mix to higher margin apparel, accessories and cosmetics
products as well as decreased shipping costs.
Revenue from international operations increased 50% as a result of a combination
of greater sales to existing subscribers, new subscriber growth and favorable
foreign currency exchange rates. Fueled by the increase in sales, higher gross
margins and improved operating leverage, the operating cash flow of the
international operations increased from $23 million to $57 million, or 148%. The
international cash flow margin increased from 9.6% to 15.9%. Excluding the
effect of exchange rates, QVC's international revenue and operating cash flow
growth was 39% and 120%.
ASCENT MEDIA
Ascent Media's revenue increased 30% and operating cash flow increased 53%
during the quarter. The increase is primarily due to acquisitions and new
projects by Ascent Media's Networks Group, as well as increases in projects for
feature films and episodic television in Ascent Media's Audio Group and UK
Creative Services Group. Ascent Media's operating expenses increased 32% due, in
part, to increases in variable expenses such as personnel and material costs.
The aforementioned acquisitions by Ascent Media's Network Group also contributed
to operating expense increases as well as a 26% increase in selling, general and
administrative expenses. Excluding the effects of the acquisitions, revenue and
operating cash flow increased 17% and 30%, respectively.
ONCOMMAND
OnCommand revenue and operating cash flow were flat compared to the prior year.
Increases in hotel occupancy and higher movie prices were offset by decreases in
movie film buy rates and decreases in rooms receiving the OnCommand service.
NETWORKS GROUP
Networks Group's combined revenue increased 15% and operating cash flow
increased 9% for the quarter. The increase in revenue is primarily due to
increases at Starz Encore and Discovery. The increase in operating cash flow is
primarily due to an increase of 30% at Discovery partially offset by a 31%
decrease at Starz Encore. For further details of Starz Encore's and Discovery's
operating results see detailed discussion below.
STARZ ENCORE
SEG's revenue increased 6% for the quarter. This increase is primarily due to an
increase in the number of subscription units. SEG's period-end subscription
units have increased 9% since the end of 2003 primarily due to increases across
all of SEG's service offerings. STARZ! added 950,000 new subscription units in
the second quarter of 2004, an 8% increase, their largest quarterly increase
since 1998. Such increases in subscription units are due in part to new
affiliation agreements between SEG and certain distributors and participation
with distributors in national marketing campaigns and other marketing
strategies. Under these new affiliation agreements, SEG has obtained benefits
such as more favorable packaging of SEG's services and increased co-operative
marketing commitments. SEG is negotiating with its other distributors to obtain
similar packaging and increased co-operative marketing commitments.
SEG's operating expenses increased 30% for the quarter. The increases are due
primarily to higher programming costs, which increased from $99 million to $133
million. Sales and marketing expenses also increased and were partially offset
by decreases in bad debt expense. As noted above, SEG has entered into new
affiliation agreements with certain multichannel television distributors.
Consequently, SEG anticipates that its 2004 co-operative promotions and its
sales and marketing expenses will continue to be higher than in 2003. During the
three months ended June 30, 2004, SEG sold a portion of its pre-
2
<Page>
petition accounts receivable from Adelphia Communications to an independent
third party. As a result, SEG recognized a one-time benefit of $8 million as the
proceeds from the sale exceeded SEG's carrying amount of the receivable by $8
million.
DISCOVERY
DCI's second quarter revenue of $588 million and operating cash flow of $183
million were 20% and 30% ahead of last year. DCI's affiliated networks now reach
more than 1.1 billion cumulative worldwide subscribers.
Domestic Networks revenue increased 20% due to increases in both affiliate and
advertising revenue. Net advertising revenue increased 16%, driven primarily by
higher CPMs. Net affiliate revenue increased 28% as aggregate subscribers
increased 20%. Net affiliate revenue grew at a faster rate than subscription
units primarily due to an increase in paying subscribers and higher rates as
compared to the prior year. Subscriber growth was across all of the domestic
networks with significant gains for Discovery's emerging networks (which
includes Discovery's digital networks), Discovery Health Channel and FitTV. Net
affiliate revenue is net of launch support amortization and other items of $30
million and $36 million for the quarters ended June 30, 2004 and 2003,
respectively. Operating expenses increased 21% due to increases in programming
and marketing related expenses. Operating cash flow increased 19% to $169
million.
International Networks revenue increased 24% due to increases in both affiliate
and advertising revenue. Net advertising revenue increased 31% driven by
positive developments in advertising sales and subscriber growth in all
international regions, with Asia and Europe showing continuing improvements. Net
affiliate revenue increased 14% as aggregate subscribers increased 4%. Net
affiliate revenue grew at a faster rate than subscription units primarily due to
an increase in paying subscribers and higher rates as compared to the prior
year. Operating expenses increased 16% due to increases in programming,
marketing, sales related, personnel and G&A expenses associated with the
favorable sales results and continuing growth of the business. Operating cash
flow increased by 55% to $31 million. Excluding the effect of exchange rates,
revenue increased 18%, operating expenses increased 13% and operating cash flow
increased 37%.
International Ventures revenue increased by 36% in the quarter. The operating
cash flow deficit improved by 75%, from $4 million to $1 million. At the
Consumer Products division operating cash flow improved by $1 million primarily
due to a reduction in store operating costs, inventory ownership and other
overhead from the closure of underperforming stores in 2003 in addition to
increased third party licensing revenue.
DCI's outstanding debt balance at June 30, 2004 was $2.562 billion.
3
<Page>
FAIR VALUE OF PUBLIC HOLDINGS AND DERIVATIVES
<Table>
<Caption>
June 30, 2004 March 31, 2004
(AMOUNTS IN MILLIONS) ------------- --------------
The News Corporation Limited, including derivatives (1) $ 8,401 8,504
InterActiveCorp $ 4,173 4,379
Other Non Strategic Public Holdings, including derivatives $ 9,191 10,317
</Table>
(1) At March 31, 2004, includes 5 million NWS.A shares that were contributed to
Liberty Media International on the June 7, 2004 spin-off date.
CASH AND DEBT
The following presentation is provided to separately identify cash and liquid
investments and debt information.
<Table>
<Caption>
June 30, 2004 March 31, 2004
(AMOUNTS IN MILLIONS) ------------- --------------
CASH AND CASH RELATED INVESTMENTS:
Consolidated Cash $ 1,968 1,834
Consolidated Short-Term Investments 38 72
Consolidated Long-Term Marketable Securities (1) 351 550
-------- --------
TOTAL CONSOLIDATED CASH AND LIQUID INVESTMENTS $ 2,357 2,456
======== ========
DEBT:
Senior Notes and Debentures (2) $ 6,998 7,138
Senior Exchangeable Debentures (3) 4,628 4,638
Other 208 194
-------- --------
TOTAL DEBT 11,834 11,970
Less: Unamortized Discount Attributable To Call Option Obligations (2,363) (2,391)
Unamorized Discount (22) (23)
-------- --------
CONSOLIDATED DEBT (GAAP) $ 9,449 9,556
======== ========
</Table>
(1) Represents long-term marketable debt securities which are included in
investments in available-for-sale securities and other cost investments in
Liberty's consolidated balance sheet.
(2) Represents face amount of Senior Notes and Debentures with no reduction for
the unamortized discount.
(3) Represents face amount of Senior Exchangeable Debentures with no reduction
for the unamortized discount attributable to the embedded call option
obligation.
Liberty's Total Consolidated Cash and Liquid Investments decreased $99 million
to $2.4 billion and Total Debt decreased by $136 million from March 31, 2004.
Total Consolidated Cash and Liquid Investments decreased due to repayments of
debt and funding to Liberty Media International, Inc. prior to the spin-off
which were partially offset by cash flow from operations of Liberty's
subsidiaries and the proceeds from the expiration of certain equity collars. The
decrease in Total Debt was due to repayments of corporate debt as part of
Liberty's debt reduction plan that was announced in 2003.
4
<Page>
2004 OUTLOOK
QVC - 2004 GUIDANCE INCREASED
The following estimates assume primarily, among other factors, that the product
mix remains materially consistent with that experienced in 2003, foreign
currency exchange rates remain constant, continued international growth and
domestic sales trends are consistent with that experienced in the second half of
2003.
For full year 2004 versus 2003, QVC operating results are expected to be as
follows:
o Revenue increase by low to mid teens %.
o Operating cash flow increase by mid to high teens %.
o Operating income decrease by low to mid teens % due to the effects of
purchase accounting adjustments.
STARZ ENCORE - 2004 GUIDANCE REMAINS UNCHANGED
The following estimates assume, among other factors, that SEG continues to
experience positive trends under the new Comcast affiliation agreement, SEG's
distributors continue to see growth in digital subscribers consistent with that
experienced historically, the timing of receipt of output product from the
studios does not materially change, and Starz subscription units continue to
increase. These estimates further assume that SEG's 2004 programming costs
increase between $170 million and $190 million over amounts expensed in 2003.
For full year 2004 versus 2003, SEG operating results are expected as follows:
o Revenue between $940 and $965 million.
o Operating cash flow between $185 and $210 million.
o Operating income between $125 and $150 million.
DCI - 2004 GUIDANCE REMAINS UNCHANGED
The following estimates assume primarily, among other factors, a stable
advertising market, continued growth in international distribution, and a stable
national retail environment.
For full year 2004 versus 2003, DCI consolidated operating results are expected
to increase as follows:
o Revenue by high teens %.
o Operating cash flow by approximately 30%.
o Operating income by approximately 30%.
OUTSTANDING SHARES
At June 30, 2004, there were approximately 2.919 billion (2.799 billion as
adjusted for the July 2004 share repurchase from Comcast) outstanding shares of
L and LMC.B and 88 million shares of L and LMC.B reserved for issuance pursuant
to warrants and employee stock options. At June 30, 2004, 23 million options
have a strike price that was lower than the closing stock price. Exercise of
these options, would result in aggregate proceeds of approximately $54 million.
5
<Page>
CERTAIN STATEMENTS IN THIS PRESS RELEASE MAY CONSTITUTE "FORWARD-LOOKING
STATEMENTS" WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995. SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS,
UNCERTAINTIES AND OTHER IMPORTANT FACTORS THAT COULD CAUSE THE ACTUAL RESULTS,
PERFORMANCE OR ACHIEVEMENTS OF THE OPERATING BUSINESSES OF LIBERTY INCLUDED
HEREIN OR INDUSTRY RESULTS, TO DIFFER MATERIALLY FROM ANY FUTURE RESULTS,
PERFORMANCE OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING
STATEMENTS. SUCH RISKS, UNCERTAINTIES AND OTHER FACTORS INCLUDE, AMONG OTHERS:
THE RISKS AND FACTORS DESCRIBED IN THE PUBLICLY FILED DOCUMENTS OF LIBERTY,
INCLUDING THE MOST RECENTLY FILED FORM 10-Q OF LIBERTY; GENERAL ECONOMIC AND
BUSINESS CONDITIONS AND INDUSTRY TRENDS INCLUDING IN THE ADVERTISING AND RETAIL
MARKETS; SPENDING ON DOMESTIC AND FOREIGN ADVERTISING; THE CONTINUED STRENGTH OF
THE INDUSTRIES IN WHICH SUCH BUSINESSES OPERATE; CONTINUED CONSOLIDATION OF THE
BROADBAND DISTRIBUTION INDUSTRY; UNCERTAINTIES INHERENT IN PROPOSED BUSINESS
STRATEGIES AND DEVELOPMENT PLANS; RAPID TECHNOLOGICAL CHANGES; FUTURE FINANCIAL
PERFORMANCE, INCLUDING AVAILABILITY, TERMS AND DEPLOYMENT OF CAPITAL;
AVAILABILITY OF QUALIFIED PERSONNEL; THE DEVELOPMENT AND PROVISION OF
PROGRAMMING FOR NEW TELEVISION AND TELECOMMUNICATIONS TECHNOLOGIES; CHANGES IN,
OR THE FAILURE OR THE INABILITY TO COMPLY WITH, GOVERNMENT REGULATION,
INCLUDING, WITHOUT LIMITATION, REGULATIONS OF THE FEDERAL COMMUNICATIONS
COMMISSION, AND ADVERSE OUTCOMES FROM REGULATORY PROCEEDINGS; ADVERSE OUTCOMES
IN PENDING LITIGATION; CHANGES IN THE NATURE OF KEY STRATEGIC RELATIONSHIPS WITH
PARTNERS AND JOINT VENTURES; COMPETITOR RESPONSES TO SUCH OPERATING BUSINESSES'
PRODUCTS AND SERVICES, AND THE OVERALL MARKET ACCEPTANCE OF SUCH PRODUCTS AND
SERVICES, INCLUDING ACCEPTANCE OF THE PRICING OF SUCH PRODUCTS AND SERVICES; AND
THREATENED TERRORIST ATTACKS AND ONGOING MILITARY ACTION, INCLUDING ARMED
CONFLICT IN THE MIDDLE EAST AND OTHER PARTS OF THE WORLD. THESE FORWARD-LOOKING
STATEMENTS SPEAK ONLY AS OF THE DATE OF THIS RELEASE. LIBERTY EXPRESSLY
DISCLAIMS ANY OBLIGATION OR UNDERTAKING TO DISSEMINATE ANY UPDATES OR REVISIONS
TO ANY FORWARD-LOOKING STATEMENT CONTAINED HEREIN TO REFLECT ANY CHANGE IN
LIBERTY'S EXPECTATIONS WITH REGARD THERETO OR ANY CHANGE IN EVENTS, CONDITIONS
OR CIRCUMSTANCES ON WHICH ANY SUCH STATEMENT IS BASED.
Contact: Mike Erickson (877) 772-1518
6
<Page>
SUPPLEMENTAL INFORMATION
As a supplement to Liberty's consolidated statements of operations, the
following is a presentation of quarterly financial information and operating
metrics on a stand-alone basis for Liberty's three largest privately held
businesses (QVC, Inc., Starz Encore Group LLC and Discovery Communications,
Inc.).
Please see page 9 for the definition of operating cash flow (OCF) and Schedule 2
at the end of this document for reconciliations for the applicable periods in
2004 and 2003 of operating cash flow to operating income, as determined under
GAAP, for each identified entity.
The selected financial information presented for DCI was obtained directly from
DCI. Liberty does not control the decision-making processes or business
management practices of DCI. Accordingly, Liberty relies on DCI's management and
their independent auditors to provide accurate financial information prepared in
accordance with generally accepted accounting principles that Liberty uses in
the application of the equity method. Liberty is not aware, however, of any
errors in or possible misstatements of the financial information provided to it
by DCI that would have a material effect on Liberty's consolidated financial
statements. Further, Liberty could not, among other things, cause DCI to
distribute to Liberty its proportionate share of the revenue or OCF of DCI.
7
<Page>
<Table>
<Caption>
(AMOUNTS IN MILLIONS) 2Q04 1Q04 4Q03 3Q03 2Q03
------- ------- ------- ------- -------
QVC, INC. (98.2%)
Revenue - Domestic $ 930 932 1,233 901 862
Revenue - International $ 359 351 340 252 239
------- ------- ------- ------- -------
Revenue - Total $ 1,289 1,283 1,573 1,153 1,101
------- ------- ------- ------- -------
OCF - Domestic $ 221 212 292 206 196
OCF - International $ 57 58 56 28 23
------- ------- ------- ------- -------
OCF - Total $ 278 270 348 234 219
------- ------- ------- ------- -------
Operating Income $ 164 153 229 191 185
Gross Margin - Domestic 37.8% 36.6% 35.6% 36.9% 37.0%
Gross Margin - International 37.0% 37.3% 37.0% 36.4% 35.6%
Homes Reached - Domestic 87.3 87.0 85.9 86.7 86.7
Homes Reached - International 63.4 61.4 59.4 58.0 56.8
STARZ ENCORE GROUP LLC (100%)
Revenue $ 238 232 235 217 225
OCF $ 62 69 99 72 90
Operating Income (Loss) $ 48 53 (2) 126 52
Subscription Units - Starz! 13.3 12.3 12.3 12.0 12.5
Subscription Units - Encore 23.4 21.9 21.9 21.0 20.9
Subscription Units - Thematic Multiplex & Other 127.2 120.1 116.8 110.7 109.0
------- ------- ------- ------- -------
Subscription Units - Total 163.9 154.3 151.0 143.7 142.4
------- ------- ------- ------- -------
DISCOVERY COMMUNICATIONS, INC. (50.0%)
Revenue - U.S. Networks (1) $ 423 382 374 326 352
Revenue - International Networks (2) $ 123 109 120 107 99
Revenue - International Ventures (3) $ 19 17 16 15 14
Revenue - Consumer Products & Other (4) $ 23 19 94 26 25
------- ------- ------- ------- -------
Revenue - Total $ 588 527 604 474 490
------- ------- ------- ------- -------
OCF - U.S. Networks (1) $ 169 139 117 116 142
OCF - International Networks (2) $ 31 17 30 21 20
OCF - International Ventures (3) $ (1) (1) (7) (4) (4)
OCF - Consumer Products & Other (4) $ (16) (18) 11 (17) (17)
------- ------- ------- ------- -------
OCF - Total $ 183 137 151 116 141
------- ------- ------- ------- -------
Operating Income $ 118 78 103 78 96
Subscription Units - U.S. Networks (1) 648 625 625 548 540
Subscription Units - International Networks (2) 309 300 310 301 295
Subscription Units - International Ventures (3) 146 145 130 125 127
------- ------- ------- ------- -------
Subscription Units - Total 1,103 1,070 1,065 974 962
------- ------- ------- ------- -------
</Table>
(1) DCI - DISCOVERY NETWORKS U.S.: Discovery Channel, TLC, Animal Planet,
Travel Channel, Discovery Health Channel, FIT TV, Discovery Kids Channel,
BBC-America Representation, The Science Channel, Discovery Times Channel,
Discovery Home & Leisure Channel, Discovery Wings Channel, Discovery en
Espanol, Discovery HD Theater and online initiatives.
OTHER JOINT VENTURES - DISCOVERY TIMES CHANNEL, DISCOVERY HEALTH CHANNEL,
ANIMAL PLANET (US) - CONSOLIDATED:
DCI owns a 50% interest in Discovery Times Channel, a 72% interest in The
Health Channel and a 60% interest in Animal Planet (US). These ventures are
controlled by DCI and therefore DCI consolidates the revenues and operating
expenses of the ventures as part of Discovery Networks U.S. Due to certain
contractual redemption rights of the outside partners in the ventures, no
losses of these ventures are allocated to the outside partners. Upon
expiration of these rights, the economic interests will approximate the
equity interests.
(2) DCI - DISCOVERY NETWORKS INTERNATIONAL: Discovery Channels in Europe, Latin
America, Asia, India, Germany, Italy/Africa and Kids-Latin America, Travel
& Adventure-Latin America, Health-Latin America, Discovery Home & Leisure
UK, Showcase Europe, Travel & Adventure Asia, Animal Planet-United Kingdom
and Health Channel-United Kingdom.
8
<Page>
(3) BBC/DCI JOINT VENTURES - CONSOLIDATED:
The equity in the assets of the British Broadcasting Corporation/DCI joint
ventures are predominantly held 50/50 by DCI and BBC. Exceptions involve
participants related to the local market in which a specific network
operates. Where DCI exercises control of BBC/DCI joint ventures, DCI
consolidates financial results into International Ventures. Until such
assets reach breakeven, 100% of the economic interests are consolidated.
After DCI has fully recouped prior investment, the economic interests will
match the equity interests and will be accounted for under the equity
method.
BBC/DCI JOINT VENTURES - EQUITY AFFILIATES:
DCI accounts for its interests in remaining joint ventures, including
interests in Discovery Channel Canada, Discovery Channel Japan, Animal
Planet Canada, Animal Planet Japan, and Joint Venture Programming, as
equity method investments. The operating results of these entities are not
reflected in the results presented above.
(4) DCI - CONSUMER PRODUCTS AND OTHER: The principal components of Discovery
Consumer Products include a proprietary retail business comprised of a
nationwide chain of 120 Discovery Channel stores, mail-order catalogs, an
on-line shopping site, a global licensing and strategic partnerships
business, and a supplementary education business reaching over 35 million
students, 1.5 million teachers and 90,000 classrooms in the U.S.
NON-GAAP FINANCIAL MEASURES
This press release includes a presentation of operating cash flow, which is a
non-GAAP financial measure, for each of the privately held assets of Liberty
included herein together with a reconciliation of that non-GAAP measure to the
privately held asset's operating income, determined under GAAP. Liberty defines
operating cash flow as revenue less cost of sales, operating expenses, and
selling, general and administrative expenses (excluding stock compensation).
Operating cash flow, as defined by Liberty, excludes depreciation and
amortization, stock compensation and restructuring and impairment charges that
are included in the measurement of operating income pursuant to GAAP.
Liberty believes operating cash flow is an important indicator of the
operational strength and performance of its businesses, including the ability to
service debt and fund capital expenditures. In addition, this measure allows
management to view operating results and perform analytical comparisons and
benchmarking between businesses and identify strategies to improve performance.
Because operating cash flow is used as a measure of operating performance,
Liberty views operating income as the most directly comparable GAAP measure.
Operating cash flow is not meant to replace or supercede operating income or any
other GAAP measure, but rather to supplement the information to present
investors with the same information as Liberty's management considers in
assessing the results of operations and performance of its assets. Please see
the attached schedules for a reconciliation of segment operating cash flow to
earnings before income taxes and minority interests (Schedule 1) and a
reconciliation, for our largest consolidated subsidiaries and our largest equity
affiliate, of operating cash flow to operating income calculated in accordance
with GAAP (Schedule 2).
9
<Page>
LIBERTY MEDIA CORPORATION
SCHEDULE 1
The following table provides a reconciliation of consolidated segment operating
cash flow to earnings (loss) from continuing operations before income taxes and
minority interests for the quarters ended June 30, 2004 and 2003.
<Table>
<Caption>
(AMOUNTS IN MILLIONS) 2Q04 2Q03
----- -----
INTERACTIVE GROUP
Combined operating cash flow $ 318 246
Eliminate equity method affiliates -- (219)
----- -----
CONSOLIDATED OPERATING CASH FLOW 318 27
----- -----
NETWORKS GROUP
Combined operating cash flow 269 247
Eliminate equity method affiliates (204) (153)
----- -----
CONSOLIDATED OPERATING CASH FLOW 65 94
----- -----
Corporate & Other consolidated operating cash flow (5) (41)
----- -----
CONSOLIDATED SEGMENT OPERATING CASH FLOW $ 378 80
===== =====
Consolidated segment operating cash flow $ 378 80
Stock compensation (10) (42)
Depreciation and amortization (186) (83)
Interest expense (150) (126)
Share of earnings (losses) of affiliates 36 54
Gains (losses) on dispositions of assets, net 13 27
Nontemporary declines in fair value of investments (128) (2)
Realized and unrealized gains (losses) on financial instruments, net (374) (688)
Other, net 23 50
----- -----
EARNINGS (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES AND MINORITY INTERESTS $(398) (730)
===== =====
</Table>
10
<Page>
LIBERTY MEDIA CORPORATION
SCHEDULE 2
The following table provides a reconciliation, for our largest consolidated
subsidiaries and our largest equity affiliate, of operating cash flow to
operating income calculated in accordance with GAAP for the quarters ended March
31, 2003, December 31, 2003, March 31, 2004, and June 30, 2004.
<Table>
<Caption>
(AMOUNTS IN MILLIONS) 2Q04 1Q04 4Q03 3Q03 2Q03
----- ----- ----- ----- -----
QVC, INC. (98.2%)
Operating Cash Flow $ 278 270 348 234 219
Depreciation and Amortization (106) (108) (114) (43) (34)
Stock Compensation Expense (8) (9) (5) -- --
Other Non Cash Charges -- -- -- -- --
----- ----- ----- ----- -----
OPERATING INCOME $ 164 153 229 191 185
===== ===== ===== ===== =====
STARZ ENCORE GROUP LLC (100%)
Operating Cash Flow $ 62 69 99 72 90
Depreciation and Amortization (14) (13) (20) (21) (17)
Stock Compensation Expense -- (3) 76 75 (21)
Other Non Cash Charges -- -- (157) -- --
----- ----- ----- ----- -----
OPERATING INCOME $ 48 53 (2) 126 52
===== ===== ===== ===== =====
DISCOVERY COMMUNICATIONS, INC. (50.0%)
Operating Cash Flow $ 183 137 151 116 141
Depreciation and Amortization (38) (31) (32) (30) (31)
Stock Compensation Expense (27) (28) (16) (8) (14)
Other Non Cash Charges -- -- -- -- --
----- ----- ----- ----- -----
OPERATING INCOME $ 118 78 103 78 96
===== ===== ===== ===== =====
</Table>
11