Impairment loss on intangible assets. We recorded impairment losses on intangible assets of $3
million for the six months ended February 28, 2010.
Minority interest. For the six months ended February 28, 2010, we recorded minority interest
charges of $12 million related to certain specialty television stations
Long-term debt payments
CW Media has required repayments of $5 million in annual principal payments on its long-term
debt. In addition, subsequent to February 28, 2010, CW Media made a voluntary principal
repayment on their senior secured credit facility of US$ 23 million.
Restructuring and Recapitalization
As part of the ongoing restructuring and recapitalization process, we are committed to pay certain professional and other fees incurred by us and the other parties involved in the process. In the first six months of fiscal 2010, payments of fees amounted to $43 million. For the remainder of fiscal 2010, we expect to incur approximately $7 million per month in such costs.
In addition, CW Media entered into an agreement dated August 15, 2007 (the “Separation
Agreement”) pursuant to which, certain of the parties to the Separation Agreement agreed to
indemnify CW Media in respect of specified liabilities, including certain tax liabilities, and in some
cases, on a joint and several basis. As at February 28, 2010, we have recorded income tax
liabilities of $29 million which according to the terms of this agreement will be recoverable from
other parties to the Separation Agreement if and when the liabilities are realized. We have
recorded accounts receivable in this amount.
