Table of Contents

 	
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)

x	Quarterly Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934	
For the quarterly period ended September 30, 2018 
OR

c	Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934	
For the Transition Period from                      to                      

 	 	 	
Commission File Number	Exact Name of Registrant; State of
Incorporation; Address and Telephone
Number of Principal Executive Offices	I.R.S. Employer Identification No.	
001-32871	COMCAST CORPORATION	27-0000798	
 	PENNSYLVANIA
One Comcast Center
Philadelphia, PA 19103-2838
(215) 286-1700	 	
 	 	 	
001-36438	NBCUNIVERSAL MEDIA, LLC	14-1682529	
 	DELAWARE
30 Rockefeller Plaza
New York, NY 10112-0015
(212) 664-4444	 	
 
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding twelve months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

 	Comcast Corporation	 	Yes	x	 	No	c	 	
 	NBCUniversal Media, LLC	 	Yes	x	 	No	c	 	
 	 	 	 	 	 	 	 	 	
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such period that the registrant was required to submit and post such files).

 	Comcast Corporation	 	Yes	x	 	No	c	 	
 	NBCUniversal Media, LLC	 	Yes	x	 	No	c	 	
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Comcast Corporation	Large accelerated filer	x	Accelerated filer	c	Non-accelerated filer	c	Smaller reporting company	c	Emerging growth company	c	
NBCUniversal Media, LLC	Large accelerated filer	c	Accelerated filer	c	Non-accelerated filer	x	Smaller reporting company	c	Emerging growth company	c	
If an emerging growth company, indicate by check mark whether the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Comcast Corporation	c	
NBCUniversal Media, LLC	c	
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).

 	Comcast Corporation	 	Yes	c	 	No	x	 	
 	NBCUniversal Media, LLC	 	Yes	c	 	No	x	 	
Indicate the number of shares outstanding of each of the registrant’s classes of stock, as of the latest practical date:
As of September 30, 2018, there were 4,540,060,394 shares of Comcast Corporation Class A common stock and 9,444,375 shares of Comcast Corporation Class B common stock outstanding.
Not applicable for NBCUniversal Media, LLC.
NBCUniversal Media, LLC meets the conditions set forth in General Instruction H(1)(a) and (b) of Form 10-Q and is therefore filing this form with the reduced disclosure format.

 	

TABLE OF CONTENTS

  	  	Page
Number	
PART I. FINANCIAL INFORMATION	
Item 1.	Comcast Corporation Financial Statements	1	
 	Condensed Consolidated Statement of Income (Unaudited)	1	
 	Condensed Consolidated Statement of Comprehensive Income (Unaudited)	2	
 	Condensed Consolidated Statement of Cash Flows (Unaudited)	3	
 	Condensed Consolidated Balance Sheet (Unaudited)	4	
 	Condensed Consolidated Statement of Changes in Equity (Unaudited)	5	
 	Notes to Condensed Consolidated Financial Statements (Unaudited)	6	
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	31	
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	47	
Item 4.	Controls and Procedures	47	
PART II. OTHER INFORMATION	
Item 1.	Legal Proceedings	49	
Item 1A.	Risk Factors	49	
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	49	
Item 5.	Other Information	49	
Item 6.	Exhibits	50	
SIGNATURES	52	
NBCUniversal Media, LLC Financial Statements	53	
 
Explanatory Note
This Quarterly Report on Form 10-Q is a combined report being filed separately by Comcast Corporation (“Comcast”) and NBCUniversal Media, LLC (“NBCUniversal”). Comcast owns all of the common equity interests in NBCUniversal, and NBCUniversal meets the conditions set forth in General Instruction H(1)(a) and (b) of Form 10-Q and is therefore filing its information within this Form 10-Q with the reduced disclosure format. Each of Comcast and NBCUniversal is filing on its own behalf the information contained in this report that relates to itself, and neither company makes any representation as to information relating to the other company. Where information or an explanation is provided that is substantially the same for each company, such information or explanation has been combined in this report. Where information or an explanation is not substantially the same for each company, separate information and explanation has been provided. In addition, separate condensed consolidated financial statements for each company, along with notes to the condensed consolidated financial statements, are included in this report. Unless indicated otherwise, throughout this Quarterly Report on Form 10-Q, we refer to Comcast and its consolidated subsidiaries, including NBCUniversal and its consolidated subsidiaries, as “we,” “us” and “our;” Comcast Cable Communications, LLC and its consolidated subsidiaries as “Comcast Cable;” Comcast Holdings Corporation as “Comcast Holdings;” NBCUniversal, LLC as “NBCUniversal Holdings;” and NBCUniversal Enterprise, Inc. as “NBCUniversal Enterprise.”
This Quarterly Report on Form 10-Q is for the three and nine months ended September 30, 2018. This Quarterly Report on Form 10-Q modifies and supersedes documents filed before it. The Securities and Exchange Commission (“SEC”) allows us to “incorporate by reference” information that we file with it, which means that we can disclose important information to you by referring you directly to those documents. Information incorporated by reference is considered to be part of this Quarterly Report on Form 10-Q. In addition, information that we file with the SEC in the future will automatically update and supersede information contained in this Quarterly Report on Form 10-Q.
You should carefully review the information contained in this Quarterly Report on Form 10-Q and particularly consider any risk factors set forth in this Quarterly Report on Form 10-Q and in other reports or documents that we file from time to time with the SEC. In this Quarterly Report on Form 10-Q, we state our beliefs of future events and of our future financial performance. In some cases, you can identify these so-called “forward-looking statements” by words such as “may,” “will,” “should,” “expects,” “believes,” “estimates,” “potential,” or “continue,” or the negative of these words, and other comparable words. You should be aware that these statements are only our predictions. In evaluating these statements, you should consider various factors, including

the risks outlined below and in other reports we file with the SEC. Actual events or our actual results could differ materially from our forward-looking statements as a result of any such factors, which could adversely affect our businesses, results of operations or financial condition. We undertake no obligation to update any forward-looking statements.
Our businesses may be affected by, among other things, the following:
 	 	
•	our businesses currently face a wide range of competition, and our businesses and results of operations could be adversely affected if we do not compete effectively	
 	 	
•	changes in consumer behavior driven by online distribution platforms for viewing content could adversely affect our businesses and challenge existing business models	
 	 	
•	a decline in advertisers’ expenditures or changes in advertising markets could negatively impact our businesses	
 	 	
•	our businesses depend on keeping pace with technological developments	
 	 	
•	we are subject to regulation by federal, state, local and foreign authorities, which impose additional costs and restrictions on our businesses	
 	 	
•	programming expenses for our video services are increasing, which could adversely affect our Cable Communications segment’s video business	
 	 	
•	NBCUniversal’s success depends on consumer acceptance of its content, and its businesses may be adversely affected if its content fails to achieve sufficient consumer acceptance or the costs to create or acquire content increase	
 	 	
•	the loss of NBCUniversal’s programming distribution agreements, or the renewal of these agreements on less favorable terms, could adversely affect its businesses	
 	 	
•	we rely on network and information systems and other technologies, as well as key properties, and a disruption, cyber attack, failure or destruction of such networks, systems, technologies or properties may disrupt our businesses	
 	 	
•	our businesses depend on using and protecting certain intellectual property rights and on not infringing the intellectual property rights of others	
 	 	
•	we may be unable to obtain necessary hardware, software and operational support	
 	 	
•	weak economic conditions may have a negative impact on our businesses	
 	 	
•	acquisitions, including our acquisition of Sky plc, and other strategic initiatives present many risks, and we may not realize the financial and strategic goals that we had contemplated	
 	 	
•	labor disputes, whether involving employees or sports organizations, may disrupt our operations and adversely affect our businesses	
 	 	
•	the loss of key management personnel or popular on-air and creative talent could have an adverse effect on our businesses	
 	 	
•	we face risks relating to doing business internationally that could adversely affect our businesses	
 	 	
•	our Class B common stock has substantial voting rights and separate approval rights over several potentially material transactions, and our Chairman and CEO has considerable influence over our company through his beneficial ownership of our Class B common stock	

Table of Contents

PART I: FINANCIAL INFORMATION
ITEM 1: FINANCIAL STATEMENTS
Comcast Corporation
Condensed Consolidated Statement of Income
(Unaudited)

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions, except per share data)	2018	 	2017	 	2018	 	2017	
Revenue	$	22,135	
 	 	$	21,081	
 	 	$	66,661	
 	 	$	62,954	
 	
Costs and Expenses:	 	 	 	 	 	 	 	
Programming and production	6,711	
 	 	6,059	
 	 	20,440	
 	 	18,450	
 	
Other operating and administrative	6,444	
 	 	6,535	
 	 	19,323	
 	 	18,642	
 	
Advertising, marketing and promotion	1,667	
 	 	1,604	
 	 	4,924	
 	 	4,894	
 	
Depreciation	2,038	
 	 	1,991	
 	 	6,070	
 	 	5,876	
 	
Amortization	580	
 	 	555	
 	 	1,750	
 	 	1,645	
 	
Other operating gains	(141	)	 	(442	)	 	(341	)	 	(442	)	
Total costs and expenses	17,299	
 	 	16,302	
 	 	52,166	
 	 	49,065	
 	
Operating income	4,836	
 	 	4,779	
 	 	14,495	
 	 	13,889	
 	
Interest expense	(830	)	 	(766	)	 	(2,413	)	 	(2,279	)	
Investment and other income (loss), net	(111	)	 	70	
 	 	92	
 	 	299	
 	
Income before income taxes	3,895	
 	 	4,083	
 	 	12,174	
 	 	11,909	
 	
Income tax expense	(999	)	 	(1,409	)	 	(2,894	)	 	(4,038	)	
Net income	2,896	
 	 	2,674	
 	 	9,280	
 	 	7,871	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	10	
 	 	32	
 	 	60	
 	 	135	
 	
Net income attributable to Comcast Corporation	$	2,886	
 	 	$	2,642	
 	 	$	9,220	
 	 	$	7,736	
 	
Basic earnings per common share attributable to Comcast Corporation shareholders	$	0.63	
 	 	$	0.56	
 	 	$	2.00	
 	 	$	1.64	
 	
Diluted earnings per common share attributable to Comcast Corporation shareholders	$	0.62	
 	 	$	0.55	
 	 	$	1.98	
 	 	$	1.61	
 	
Dividends declared per common share	$	0.19	
 	 	$	0.1575	
 	 	$	0.57	
 	 	$	0.4725	
 	
See accompanying notes to condensed consolidated financial statements.

1

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Comcast Corporation

Condensed Consolidated Statement of Comprehensive Income
(Unaudited) 

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Net income	$	2,896	
 	 	$	2,674	
 	 	$	9,280	
 	 	$	7,871	
 	
Unrealized gains (losses) on marketable securities, net of deferred taxes of $(1), $35, $(1), and $26	2	
 	 	(59	)	 	—	
 	 	(42	)	
Deferred gains (losses) on cash flow hedges, net of deferred taxes of $5, $(9), $8, and $(16)	(15	)	 	16	
 	 	(26	)	 	28	
 	
Amounts reclassified to net income:	 	 	 	 	 	 	 	
Realized (gains) losses on marketable securities, net of deferred taxes of $—, $—, $— and $—	—	
 	 	(1	)	 	—	
 	 	(1	)	
Realized (gains) losses on cash flow hedges, net of deferred taxes of $(5), $7, $(13) and $15	17	
 	 	(12	)	 	43	
 	 	(26	)	
Employee benefit obligations, net of deferred taxes of $2, $3, $7 and $(30)	(8	)	 	(6	)	 	(24	)	 	51	
 	
Currency translation adjustments, net of deferred taxes of $25, $(8), $22 and $(47)	(103	)	 	20	
 	 	(119	)	 	166	
 	
Comprehensive income	2,789	
 	 	2,632	
 	 	9,154	
 	 	8,047	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	10	
 	 	32	
 	 	60	
 	 	135	
 	
Less: Other comprehensive income (loss) attributable to noncontrolling interests	(20	)	 	5	
 	 	(45	)	 	87	
 	
Comprehensive income attributable to Comcast Corporation	$	2,799	
 	 	$	2,595	
 	 	$	9,139	
 	 	$	7,825	
 	
See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Statement of Cash Flows
(Unaudited) 

 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	
Operating Activities	 	 	 	
Net income	$	9,280	
 	 	$	7,871	
 	
Adjustments to reconcile net income to net cash provided by operating activities:	 	 	 	
Depreciation, amortization and other operating gains	7,479	
 	 	7,079	
 	
Share-based compensation	607	
 	 	594	
 	
Noncash interest expense (income), net	289	
 	 	187	
 	
Net (gain) loss on investment activity and other	118	
 	 	(133	)	
Deferred income taxes	877	
 	 	681	
 	
Changes in operating assets and liabilities, net of effects of acquisitions and divestitures:	 	 	 	
Current and noncurrent receivables, net	(225	)	 	123	
 	
Film and television costs, net	64	
 	 	(71	)	
Accounts payable and accrued expenses related to trade creditors	(85	)	 	(20	)	
Other operating assets and liabilities	103	
 	 	(454	)	
Net cash provided by operating activities	18,507	
 	 	15,857	
 	
Investing Activities	 	 	 	
Capital expenditures	(6,607	)	 	(6,839	)	
Cash paid for intangible assets	(1,375	)	 	(1,136	)	
Acquisitions and construction of real estate properties	(129	)	 	(325	)	
Construction of Universal Beijing Resort	(257	)	 	(47	)	
Acquisitions, net of cash acquired	(88	)	 	(429	)	
Proceeds from sales of investments	127	
 	 	120	
 	
Purchases of investments	(840	)	 	(2,064	)	
Other	579	
 	 	797	
 	
Net cash provided by (used in) investing activities	(8,590	)	 	(9,923	)	
Financing Activities	 	 	 	
Proceeds from (repayments of) short-term borrowings, net	2,909	
 	 	(2,807	)	
Proceeds from borrowings	9,850	
 	 	11,460	
 	
Repurchases and repayments of debt	(4,405	)	 	(5,021	)	
Repurchases of common stock under repurchase program and employee plans	(4,282	)	 	(4,212	)	
Dividends paid	(2,487	)	 	(2,147	)	
Purchase of Universal Studios Japan noncontrolling interests	—	
 	 	(2,299	)	
Distributions to noncontrolling interests and dividends for redeemable subsidiary preferred stock	(209	)	 	(198	)	
Other	(242	)	 	103	
 	
Net cash provided by (used in) financing activities	1,134	
 	 	(5,121	)	
Increase (decrease) in cash, cash equivalents and restricted cash	11,051	
 	 	813	
 	
Cash, cash equivalents and restricted cash, beginning of period	3,571	
 	 	3,415	
 	
Cash, cash equivalents and restricted cash, end of period	$	14,622	
 	 	$	4,228	
 	
See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Balance Sheet
(Unaudited)

(in millions, except share data)	September 30,
2018	 	December 31,
2017	
Assets	 	 	 	
Current Assets:	 	 	 	
Cash and cash equivalents	$	10,616	
 	 	$	3,428	
 	
Receivables, net	8,983	
 	 	8,834	
 	
Programming rights	1,223	
 	 	1,613	
 	
Other current assets	2,384	
 	 	2,468	
 	
Total current assets	23,206	
 	 	16,343	
 	
Film and television costs	7,377	
 	 	7,087	
 	
Investments	7,724	
 	 	6,931	
 	
Property and equipment, net of accumulated depreciation of $50,934 and $49,916	39,855	
 	 	38,470	
 	
Franchise rights	59,365	
 	 	59,364	
 	
Goodwill	36,703	
 	 	36,780	
 	
Other intangible assets, net of accumulated amortization of $13,391 and $11,950	18,649	
 	 	18,133	
 	
Other noncurrent assets, net	7,756	
 	 	4,354	
 	
Total assets	$	200,635	
 	 	$	187,462	
 	
Liabilities and Equity	 	 	 	
Current Liabilities:	 	 	 	
Accounts payable and accrued expenses related to trade creditors	$	7,036	
 	 	$	6,908	
 	
Accrued participations and residuals	1,809	
 	 	1,644	
 	
Deferred revenue	1,633	
 	 	1,687	
 	
Accrued expenses and other current liabilities	5,976	
 	 	6,620	
 	
Current portion of long-term debt	3,173	
 	 	5,134	
 	
Total current liabilities	19,627	
 	 	21,993	
 	
Long-term debt, less current portion	69,711	
 	 	59,422	
 	
Deferred income taxes	25,167	
 	 	24,259	
 	
Other noncurrent liabilities	12,468	
 	 	10,972	
 	
Commitments and contingencies (Note 11)	

 	
 	
Redeemable noncontrolling interests and redeemable subsidiary preferred stock	1,317	
 	 	1,357	
 	
Equity:	 	 	 	
Preferred stock—authorized, 20,000,000 shares; issued, zero	—	
 	 	—	
 	
Class A common stock, $0.01 par value—authorized, 7,500,000,000 shares; issued, 5,412,851,422 and 5,507,854,670; outstanding, 4,540,060,394 and 4,635,063,642	54	
 	 	55	
 	
Class B common stock, $0.01 par value—authorized, 75,000,000 shares; issued and outstanding, 9,444,375	—	
 	 	—	
 	
Additional paid-in capital	37,394	
 	 	37,497	
 	
Retained earnings	41,218	
 	 	38,202	
 	
Treasury stock, 872,791,028 Class A common shares	(7,517	)	 	(7,517	)	
Accumulated other comprehensive income (loss)	374	
 	 	379	
 	
Total Comcast Corporation shareholders’ equity	71,523	
 	 	68,616	
 	
Noncontrolling interests	822	
 	 	843	
 	
Total equity	72,345	
 	 	69,459	
 	
Total liabilities and equity	$	200,635	
 	 	$	187,462	
 	
See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Statement of Changes in Equity
(Unaudited) 

 	Redeemable
Noncontrolling
Interests and
Redeemable
Subsidiary
Preferred Stock	 
Common Stock	Additional
Paid-In
Capital	Retained
Earnings	Treasury
Stock at
Cost	Accumulated
Other
Comprehensive
Income (Loss)	Non-
controlling
Interests	Total
Equity	 	
(in millions)	 	A	B	 	 	 	 	 	 	 	 	 	
Balance, December 31, 2016	$	1,446	
 	$	56	
 	$	—	
 	$	38,230	
 	$	23,065	
 	$	(7,517	)	$	98	
 	$	2,231	
 	$	56,163	
 	 	 	 	
Stock compensation plans	 	 	 	440	
 	 	 	 	 	440	
 	 	 	 	
Repurchases of common stock under repurchase program and employee plans	 	(1	)	 	(633	)	(3,587	)	 	 	 	(4,221	)	 	 	 	
Employee stock purchase plans	 	 	 	140	
 	 	 	 	 	140	
 	 	 	 	
Dividends declared	 	 	 	 	(2,239	)	 	 	 	(2,239	)	 	 	 	
Other comprehensive income (loss)	 	 	 	 	 	 	89	
 	87	
 	176	
 	 	 	 	
Contributions from (distributions to) noncontrolling interests, net	(31	)	 	 	 	 	 	 	(81	)	(81	)	 	 	 	
Purchase of Universal Studios Japan noncontrolling interests	 	 	 	(696	)	 	 	194	
 	(1,736	)	(2,238	)	 	 	 	
Other	(114	)	 	 	48	
 	(1	)	 	 	252	
 	299	
 	 	 	 	
Net income (loss)	52	
 	 	 	 	7,736	
 	 	 	83	
 	7,819	
 	 	 	 	
Balance, September 30, 2017	$	1,353	
 	$	55	
 	$	—	
 	$	37,529	
 	$	24,974	
 	$	(7,517	)	$	381	
 	$	836	
 	$	56,258	
 	 	 	 	
Balance, December 31, 2017	$	1,357	
 	$	55	
 	$	—	
 	$	37,497	
 	$	38,202	
 	$	(7,517	)	$	379	
 	$	843	
 	$	69,459	
 	 	 	 	
Cumulative effects of adoption of accounting standards	 	 	 	 	(43	)	 	76	
 	 	33	
 	 	 	 	
Stock compensation plans	 	 	 	434	
 	 	 	 	 	434	
 	 	 	 	
Repurchases of common stock under repurchase program and employee plans	 	(1	)	 	(757	)	(3,530	)	 	 	 	(4,288	)	 	 	 	
Employee stock purchase plans	 	 	 	161	
 	 	 	 	 	161	
 	 	 	 	
Dividends declared	 	 	 	 	(2,631	)	 	 	 	(2,631	)	 	 	 	
Other comprehensive income (loss)	 	 	 	 	 	 	(81	)	(45	)	(126	)	 	 	 	
Contributions from (distributions to) noncontrolling interests, net	(42	)	 	 	 	 	 	 	277	
 	277	
 	 	 	 	
Other	(35	)	 	 	59	
 	 	 	 	(276	)	(217	)	 	 	 	
Net income (loss)	37	
 	 	 	 	9,220	
 	 	 	23	
 	9,243	
 	 	 	 	
Balance, September 30, 2018	$	1,317	
 	$	54	
 	$	—	
 	$	37,394	
 	$	41,218	
 	$	(7,517	)	$	374	
 	$	822	
 	$	72,345	
 	 	 	 	
See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
Note 1: Condensed Consolidated Financial Statements
Business and Basis of Presentation
We have prepared these unaudited condensed consolidated financial statements based on SEC rules that permit reduced disclosure for interim periods. These financial statements include all adjustments that are necessary for a fair presentation of our consolidated results of operations, cash flows and financial condition for the periods shown, including normal, recurring accruals and other items. The consolidated results of operations for the interim periods presented are not necessarily indicative of results for the full year.  
The year-end condensed consolidated balance sheet was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles in the United States (“GAAP”). For a more complete discussion of our accounting policies and certain other information, refer to our consolidated financial statements included in our 2017 Annual Report on Form 10-K and the footnotes within this Form 10-Q. 
On October 9, 2018, we acquired a controlling interest in Sky plc. Beginning in the fourth quarter of 2018, Sky’s results will be included in our consolidated financial statements. See Note 6 for additional information on the transaction.
Reclassifications
Reclassifications have been made to our condensed consolidated financial statements for the prior year periods to conform to classifications used in 2018. See Note 7 for a discussion of the effects of the adoption of new accounting pronouncements and tax reform on our condensed consolidated financial statements.
Note 2: Segment Information
We present our operations in five reportable business segments:
 	 	
•	Cable Communications: Consists of the operations of Comcast Cable, which is one of the nation’s largest providers of video, high-speed Internet, voice, and security and automation services (“cable services”) to residential customers under the XFINITY brand; we also provide these and other services to business customers and sell advertising.	
 	 	
•	Cable Networks: Consists primarily of our national cable networks that provide a variety of entertainment, news and information, and sports content, our regional sports and news networks, our international cable networks, our cable television studio production operations, and various digital properties. 	
 	 	
•	Broadcast Television: Consists primarily of the NBC and Telemundo broadcast networks, our NBC and Telemundo owned local broadcast television stations, the NBC Universo national cable network, our broadcast television studio production operations, and various digital properties. 	
 	 	
•	Filmed Entertainment: Consists primarily of the operations of Universal Pictures, which produces, acquires, markets and distributes filmed entertainment worldwide; our films are also produced under the Illumination, DreamWorks Animation and Focus Features names. 	
 	 	
•	Theme Parks: Consists primarily of our Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. In addition, along with a consortium of Chinese state-owned companies, we are developing a Universal theme park and resort in Beijing, China. 	
We use Adjusted EBITDA to evaluate the profitability of our operating segments and the components of net income attributable to Comcast Corporation excluded from Adjusted EBITDA are not separately evaluated. Our financial data by business segment is presented in the tables below.

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 	Three Months Ended September 30, 2018	
(in millions)	Revenue	Adjusted EBITDA (d)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Communications	$	13,787	
 	$	5,615	
 	$	2,071	
 	$	1,944	
 	$	353	
 	
NBCUniversal	 	 	 	 	 	
Cable Networks	2,884	
 	968	
 	180	
 	11	
 	6	
 	
Broadcast Television	2,452	
 	321	
 	32	
 	37	
 	—	
 	
Filmed Entertainment	1,819	
 	214	
 	26	
 	9	
 	6	
 	
Theme Parks	1,528	
 	725	
 	170	
 	269	
 	23	
 	
Headquarters and Other(a)	15	
 	(161	)	106	
 	79	
 	43	
 	
Eliminations(b)	(73	)	(1	)	—	
 	—	
 	—	
 	
NBCUniversal	8,625	
 	2,066	
 	514	
 	405	
 	78	
 	
Corporate and Other(c)	276	
 	(378	)	33	
 	35	
 	14	
 	
Eliminations(b)	(553	)	10	
 	—	
 	—	
 	—	
 	
Comcast Consolidated	$	22,135	
 	$	7,313	
 	$	2,618	
 	$	2,384	
 	$	445	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended September 30, 2017	
(in millions)	Revenue	Adjusted EBITDA (d)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Communications	$	13,339	
 	$	5,216	
 	$	2,015	
 	$	2,061	
 	$	284	
 	
NBCUniversal	 	 	 	 	 	
Cable Networks	2,603	
 	906	
 	179	
 	5	
 	4	
 	
Broadcast Television	2,125	
 	316	
 	33	
 	66	
 	4	
 	
Filmed Entertainment	1,753	
 	383	
 	32	
 	18	
 	6	
 	
Theme Parks	1,550	
 	775	
 	166	
 	199	
 	18	
 	
Headquarters and Other(a)	15	
 	(122	)	97	
 	66	
 	37	
 	
Eliminations(b)	(70	)	(1	)	—	
 	—	
 	—	
 	
NBCUniversal	7,976	
 	2,257	
 	507	
 	354	
 	69	
 	
Corporate and Other(c)	266	
 	(349	)	24	
 	19	
 	12	
 	
Eliminations(b)	(500	)	9	
 	—	
 	—	
 	—	
 	
Comcast Consolidated	$	21,081	
 	$	7,133	
 	$	2,546	
 	$	2,434	
 	$	365	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended September 30, 2018	
(in millions)	Revenue	Adjusted EBITDA (d)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Communications	$	41,015	
 	$	16,668	
 	$	6,171	
 	$	5,398	
 	$	950	
 	
NBCUniversal	 	 	 	 	
 	
Cable Networks(e)	8,994	
 	3,422	
 	548	
 	22	
 	15	
 	
Broadcast Television(e)	8,340	
 	1,245	
 	106	
 	99	
 	75	
 	
Filmed Entertainment	5,176	
 	555	
 	117	
 	24	
 	20	
 	
Theme Parks	4,170	
 	1,789	
 	492	
 	811	
 	158	
 	
Headquarters and Other(a)	44	
 	(497	)	314	
 	179	
 	106	
 	
Eliminations(b)(e)	(256	)	(3	)	—	
 	—	
 	—	
 	
NBCUniversal	26,468	
 	6,511	
 	1,577	
 	1,135	
 	374	
 	
Corporate and Other(c)	922	
 	(1,167	)	72	
 	74	
 	51	
 	
Eliminations(b)(e)	(1,744	)	(38	)	—	
 	—	
 	—	
 	
Comcast Consolidated	$	66,661	
 	$	21,974	
 	$	7,820	
 	$	6,607	
 	$	1,375	

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 	Nine Months Ended September 30, 2017	
(in millions)	Revenue	Adjusted EBITDA (d)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Communications	$	39,646	
 	$	15,683	
 	$	5,928	
 	$	5,798	
 	$	897	
 	
NBCUniversal	 	 	 	 	
 	
Cable Networks	7,939	
 	3,076	
 	574	
 	15	
 	11	
 	
Broadcast Television	6,574	
 	1,054	
 	96	
 	125	
 	11	
 	
Filmed Entertainment	5,862	
 	1,041	
 	79	
 	47	
 	17	
 	
Theme Parks	3,982	
 	1,723	
 	494	
 	671	
 	57	
 	
Headquarters and Other(a)	32	
 	(542	)	292	
 	119	
 	101	
 	
Eliminations(b)	(242	)	(2	)	—	
 	—	
 	—	
 	
NBCUniversal	24,147	
 	6,350	
 	1,535	
 	977	
 	197	
 	
Corporate and Other(c)	679	
 	(845	)	58	
 	64	
 	42	
 	
Eliminations(b)	(1,518	)	30	
 	—	
 	—	
 	—	
 	
Comcast Consolidated	$	62,954	
 	$	21,218	
 	$	7,521	
 	$	6,839	
 	$	1,136	

(a)	NBCUniversal Headquarters and Other activities include costs associated with overhead, allocations, personnel costs and headquarter initiatives. 	
 	 	
(b)	Included in Eliminations are transactions that our segments enter into with one another. The most common types of transactions are the following:	
 	 	
•	our Cable Networks segment generates revenue by selling programming to our Cable Communications segment, which represents a substantial majority of the revenue elimination amount	
 	 	
•	our Broadcast Television segment generates revenue from the fees received under retransmission consent agreements with our Cable Communications segment	
 	 	
•	our Cable Communications segment generates revenue by selling advertising and by selling the use of satellite feeds to our Cable Networks segment	
 	 	
•	our Cable Networks and Broadcast Television segments generate revenue by selling advertising to our Cable Communications segment	
 	 	
•	our Filmed Entertainment and Broadcast Television segments generate revenue by licensing content to our Cable Networks segment; for segment reporting, this revenue is recognized as the programming rights asset for the licensed content is amortized based on third party revenue	
 	 	
(c)	Corporate and Other activities include costs associated with overhead and personnel, revenue and expenses associated with other business development initiatives, including our wireless phone service, and the operations of Comcast Spectacor, which owns the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania.	
 	 	
(d)	We use Adjusted EBITDA as the measure of profit or loss for our operating segments. Adjusted EBITDA is defined as net income attributable to Comcast Corporation before net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock, income tax expense, investment and other income (loss), net, interest expense, depreciation and amortization expense, and other operating gains and losses (such as impairment charges related to fixed and intangible assets and gains or losses on the sale of long-lived assets), if any. From time to time we may exclude from Adjusted EBITDA the impact of certain events, gains, losses or other charges (such as significant legal settlements) that affect the period-to-period comparability of our operating performance. Our reconciliation of the aggregate amount of Adjusted EBITDA for our reportable segments to consolidated income before income taxes is presented in the table below.	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Adjusted EBITDA	$	7,313	
 	 	$	7,133	
 	 	$	21,974	
 	 	$	21,218	
 	
Adjustment for legal settlement	—	
 	 	(250	)	 	—	
 	 	(250	)	
Depreciation	(2,038	)	 	(1,991	)	 	(6,070	)	 	(5,876	)	
Amortization	(580	)	 	(555	)	 	(1,750	)	 	(1,645	)	
Other operating gains	141	
 	 	442	
 	 	341	
 	 	442	
 	
Interest expense	(830	)	 	(766	)	 	(2,413	)	 	(2,279	)	
Investment and other income (loss), net	(111	)	 	70	
 	 	92	
 	 	299	
 	
Income before income taxes	$	3,895	
 	 	$	4,083	
 	 	$	12,174	
 	 	$	11,909	

(e)	The revenue and operating costs and expenses associated with our broadcast of the 2018 PyeongChang Olympics were reported in our Cable Networks and Broadcast Television segments. The revenue and operating costs and expenses associated with our broadcast of the 2018 Super Bowl were reported in our Broadcast Television segment. Included in Eliminations are transactions relating to these events that our Broadcast Television and Cable Networks segments enter into with our other segments.	

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Note 3: Revenue

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Residential:	 	 	 	 	 	 	 	
Video	$	5,591	
 	 	$	5,760	
 	 	$	16,878	
 	 	$	17,206	
 	
High-Speed Internet	4,321	
 	 	3,942	
 	 	12,740	
 	 	11,682	
 	
Voice	982	
 	 	1,013	
 	 	2,982	
 	 	3,081	
 	
Business services	1,803	
 	 	1,629	
 	 	5,290	
 	 	4,757	
 	
Advertising	684	
 	 	594	
 	 	1,932	
 	 	1,774	
 	
Other	406	
 	 	401	
 	 	1,193	
 	 	1,146	
 	
Total Cable Communications(a)	13,787	
 	 	13,339	
 	 	41,015	
 	 	39,646	

Distribution	1,680	
 	 	1,533	
 	 	5,251	
 	 	4,645	
 	
Advertising	820	
 	 	787	
 	 	2,746	
 	 	2,519	
 	
Content licensing and other	384	
 	 	283	
 	 	997	
 	 	775	
 	
Total Cable Networks	2,884	
 	 	2,603	
 	 	8,994	
 	 	7,939	

Advertising	1,355	
 	 	1,241	
 	 	5,107	
 	 	3,790	
 	
Content licensing	538	
 	 	432	
 	 	1,541	
 	 	1,458	
 	
Distribution and other	559	
 	 	452	
 	 	1,692	
 	 	1,326	
 	
Total Broadcast Television	2,452	
 	 	2,125	
 	 	8,340	
 	 	6,574	

Theatrical	601	
 	 	515	
 	 	1,564	
 	 	2,003	
 	
Content licensing	719	
 	 	662	
 	 	2,100	
 	 	2,080	
 	
Home entertainment	260	
 	 	299	
 	 	733	
 	 	919	
 	
Other	239	
 	 	277	
 	 	779	
 	 	860	
 	
Total Filmed Entertainment	1,819	
 	 	1,753	
 	 	5,176	
 	 	5,862	

Total Theme Parks	1,528	
 	 	1,550	
 	 	4,170	
 	 	3,982	
 	
Headquarters and Other	15	
 	 	15	
 	 	44	
 	 	32	
 	
Eliminations(b)	(73	)	 	(70	)	 	(256	)	 	(242	)	
Total NBCUniversal	8,625	
 	 	7,976	
 	 	26,468	
 	 	24,147	

Corporate and Other	276	
 	 	266	
 	 	922	
 	 	679	
 	
Eliminations(b)	(553	)	 	(500	)	 	(1,744	)	 	(1,518	)	
Total revenue	$	22,135	
 	 	$	21,081	
 	 	$	66,661	
 	 	$	62,954	

(a)	For the three and nine months ended September 30, 2018, 2.6% and 2.7%, respectively, of Cable Communications segment revenue was derived from franchise and other regulatory fees. For both the three and nine months ended September 30, 2017, 2.8% of Cable Communications segment revenue was derived from franchise and other regulatory fees.	
 	 	
(b)	Included in Eliminations are transactions that our segments enter into with one another. See Note 2 for a description of these transactions.	
We operate primarily in the United States, but also in select international markets, primarily in Europe and Asia. The table below summarizes revenue by geographic location.

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	  	2017	 	2018	  	2017	
United States	$	20,244	
 	 	$	19,142	
 	 	$	61,060	
 	  	$	57,047	
 	
Foreign	1,891	
 	 	1,939	
 	 	5,601	
 	  	5,907	
 	
Total revenue	$	22,135	
 	 	$	21,081	
 	 	$	66,661	
 	 	$	62,954	
 	
No single customer accounted for a significant amount of revenue in any period presented.

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Cable Communications Segment
Residential
Our Cable Communications segment generates revenue from residential customers subscribing to our video, high-speed Internet, voice, and security and automation services, which we market individually and as bundled services at a discounted rate in the United States. Revenue from residential customers that purchase bundled services at a discounted rate is allocated between the separate services based on the respective stand-alone selling prices. The stand-alone selling prices are determined based on the current prices at which we separately sell the cable services. Significant judgment is used to determine performance obligations that should be accounted for separately and the allocation of revenue when services are combined in a bundle. Revenue related to our security and automation services is reported in other revenue.
We recognize revenue from residential cable services as the services are provided on a monthly basis. Subscription rates and related charges vary according to the services and features customers receive. Customers are typically billed in advance and pay on a monthly basis. Installation fees are deferred and recognized as revenue over the period of benefit to the customer, which is less than a year for residential customers. While a portion of our residential customers are subject to contracts for their cable services, which are typically 2 years in length, based on our evaluation of the terms of these contracts, we recognize revenue for these cable services on a basis that is consistent with our customers that are not subject to contracts. Our cable services generally involve customer premise equipment, such as set-top boxes, cable modems and wireless gateways. The timing and pattern of recognition for customer premise equipment revenue are consistent with those of our residential cable services. Sales commissions related to our residential customers are expensed as incurred, as the related period of benefit is less than a year.
Under the terms of our cable franchise agreements, we are generally required to pay the cable franchising authority an amount based on our gross video revenue. We generally pass these and other similar fees through to our cable services customers and classify these fees in the respective cable service revenue, with the corresponding costs included in other operating and administrative expenses.
Business Services
Our Cable Communications segment generates revenue from business customers subscribing to a variety of products and services. Our small business services offerings primarily include high-speed Internet services, as well as voice and video services, similar to those that we provide to our residential customers, and also include cloud-based solutions that provide file sharing, online backup and web conferencing, among other features. We also offer Ethernet network services that connect multiple locations and provide higher downstream and upstream speed options to medium-sized customers and larger enterprises, as well as advanced voice services. In addition, we provide cellular backhaul services to mobile network operators to help these customers manage their network bandwidth.
Recently, we have expanded our enterprise service offerings to include a software-defined networking product and our managed solutions business to offer enterprise customers support related to Wi-Fi networks, router management, network security, business continuity risks and other services. We primarily offer our enterprise service offerings to Fortune 1000 companies and other large enterprises with multiple locations both within and outside of our cable distribution footprint where we have agreements with other companies to use their networks to provide coverage.
We recognize revenue from business services as the services are provided on a monthly basis. Substantially all of our business customers are initially under contracts, with terms typically ranging from 2 years for small and medium-sized businesses to up to 5 years for larger enterprises. At any given time, the amount of future revenue to be earned related to fixed pricing under existing agreements is equal to approximately half of our annual business services revenue, of which the substantial majority will be recognized within 2 years. Customers with contracts may only discontinue service in accordance with the terms of their contracts. We receive payments from business customers based on a billing schedule established in our contracts, which is typically on a monthly basis. Installation revenue related to our business services customers and sales commissions are generally deferred and recognized over the respective contract terms.
Advertising
Our Cable Communications segment generates revenue from the sale of advertising and from our advanced advertising business. As part of our distribution agreements with cable networks, we generally receive an allocation of scheduled advertising time on cable networks that we sell to local, regional and national advertisers. In most cases, the available advertising units are sold by our sales force. We also represent the advertising sales efforts of other multichannel video providers in some markets. Since we are acting as the principal in these arrangements, we record the advertising that is sold in advertising revenue and the fees paid to multichannel video providers in other operating and administrative expenses. In some cases, we work with representation firms as an extension of our sales force to sell a portion of the advertising units allocated to us and record the revenue net of agency commissions. In addition, we generate revenue from the sale of advertising online and on our On Demand service. We enter into advertising arrangements with customers and have determined that a contract exists once all terms and conditions are agreed upon, typically when the number of advertising units is specifically identified and the timing of airing is scheduled. Advertisements are

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generally aired or viewed within one year once all terms and conditions are agreed upon. Advertising revenue is recognized in the period in which advertisements are aired or viewed. Payment terms vary by contract, although terms generally require payment within 30 to 60 days from when advertisements are aired or viewed. Our advanced advertising business provide technology, tools, marketplace solutions and data-driven insights to various customers in the media industry to more effectively engage with their targeted audiences. Revenue earned from our advanced advertising business is recognized when services are provided.
NBCUniversal Segments
Distribution
Our Cable Networks segment generates distribution revenue from the distribution of our cable network programming to traditional and virtual multichannel video providers. Our Broadcast Television segment generates distribution revenue from the fees received under retransmission consent agreements and associated fees received from NBC-affiliated local broadcast television stations. 
Distribution revenue is recognized as programming is provided on a monthly basis, generally under multiyear agreements. Monthly fees received under distribution agreements with multichannel video providers are generally based on the number of subscribers. Payment terms and conditions vary by contract type, although terms generally include payment within 30 to 60 days.
Advertising
Our Cable Networks and Broadcast Television segments generate advertising revenue from the sale of advertising on our cable and broadcast networks, our owned local broadcast television stations, and various digital properties.
We enter into advertising arrangements with customers and have determined that a contract exists once all terms and conditions are agreed upon, typically when the number of advertising units is specifically identified and the timing of airing is scheduled. Advertisements are generally aired or viewed within one year once all terms are agreed upon. Advertising revenue is recognized, net of agency commissions, in the period in which advertisements are aired or viewed and payment occurs thereafter, generally within 30 days. In some instances, we guarantee audience ratings for the advertisements. To the extent there is a shortfall in contracts where the ratings were guaranteed, a portion of the revenue is deferred until the shortfall is settled, typically by providing additional advertising units generally within one year of the original airing. 
Theatrical
Our Filmed Entertainment segment theatrical revenue is generated from the worldwide theatrical release of our produced and acquired films for exhibition in movie theaters and is affected by the timing, nature and number of films released in movie theaters and their acceptance by audiences. Theatrical revenue is also affected by the number of exhibition screens, ticket prices, the percentage of ticket sale retention by the exhibitors and the popularity of competing films at the time our films are released. We recognize theatrical revenue as the films are viewed and exhibited in theaters and payment generally occurs within 60 days after exhibition.
Content Licensing
Our Cable Networks, Broadcast Television and Filmed Entertainment segments generate revenue from the licensing of our owned film and television content in the United States and internationally to cable, broadcast and premium networks and subscription video on demand services. Our content licensing agreements generally include fixed pricing and span multiple years. For example, following a film’s theatrical release, our Filmed Entertainment segment may license the exhibition rights of a film to different customers over multiple successive distribution windows.  
We recognize revenue when the content is delivered and available for use by the licensee. When the term of an existing agreement is renewed or extended, we recognize revenue at the later of when the content is available or when the renewal or extension period begins. Payment terms and conditions vary by contract type, although payments are generally collected over the license term. The amount of future revenue to be earned related to fixed pricing under existing agreements primarily relates to our Filmed Entertainment segment, which at any given time equals approximately 1 to 2 years of our annual Filmed Entertainment content licensing revenue. The substantial majority of this revenue will be recognized within 2 years. This amount may fluctuate from period to period depending on the timing of the release and the availability of content under existing agreements and may not represent the total content licensing revenue expected to be recognized as it does not include revenue from future agreements or from variable pricing or optional purchases under existing agreements. 
For our content licensing agreements that include variable pricing, such as pricing based on the number of subscribers to a subscription video on demand service sold by our customers, we generally recognize revenue as our customers sell to their subscribers.      

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Home Entertainment
Our Filmed Entertainment segment generates revenue from the sale of our produced and acquired films on standard-definition digital video discs and Blu-ray discs (together, “DVDs”) and through digital distribution services. Our Cable Networks and Broadcast Television networks also generate revenue from the sale of owned programming on DVDs and through digital distribution services, which is reported in other revenue. We recognize revenue from DVD sales, net of estimated returns and customer incentives, on the date that DVDs are delivered to and made available for sale by retailers. Payment terms generally include payment within 60 to 90 days from delivery to the retailer. 
Theme Parks
Our Theme Parks segment generates revenue primarily from ticket sales and guest spending at our Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. Guest spending includes in-park spending on food, beverages and merchandise. We recognize revenue from theme park ticket sales when the tickets are used, generally within a year from the date of purchase. For annual passes, we generally recognize revenue on a straight-line basis over the period the pass is available to be used. We recognize revenue from guest spending at the point of sale.  
Condensed Consolidated Balance Sheet
The following tables summarize our accounts receivable and other balances that are not separately presented in our condensed consolidated balance sheet that relate to the recognition of revenue and collection of the related cash, as well as deferred costs associated with our contracts with customers.

(in millions)	September 30,
2018	 	December 31,
2017	
Receivables, gross	$	9,300	
 	 	$	9,122	
 	
Less: Allowance for doubtful accounts	317	
 	 	288	
 	
Receivables, net	$	8,983	
 	 	$	8,834	

 	
 	 	 	 	 	 	 	 	
(in millions)	September 30,
2018	 	December 31,
2017	
Noncurrent receivables, net (included in other noncurrent assets, net)	$	1,207	
 	 	$	1,184	
 	
Contract acquisition and fulfillment costs (included in other noncurrent assets, net)	$	928	
 	 	$	922	
 	
Noncurrent deferred revenue (included in other noncurrent liabilities)	$	572	
 	 	$	497	
 	
In our Cable Communications segment, we manage credit risk by screening applicants through the use of internal customer information, identification verification tools and credit bureau data, as well as offering customers the opportunity to establish automatic monthly payments. If a customer’s account is delinquent, various measures are used to collect outstanding amounts, including termination of the customer’s cable services.
Note 4: Earnings Per Share
Computation of Diluted EPS

 	Three Months Ended September 30	
 	2018	 	2017	
(in millions, except per share data)	Net Income
Attributable to
Comcast
Corporation	 	Shares	 	Per Share
Amount	 	Net Income
Attributable to
Comcast
Corporation	 	Shares	 	Per Share
Amount	
Basic EPS attributable to Comcast Corporation shareholders	$	2,886	
 	 	4,564	
 	 	$	0.63	
 	 	$	2,642	
 	 	4,698	
 	 	$	0.56	
 	
Effect of dilutive securities:	 	 	 	 	 	 	 	 	 	 	 	
Assumed exercise or issuance of shares relating to stock plans	 	 	55	
 	 	 	 	 	 	79	
 	 	 	
Diluted EPS attributable to Comcast Corporation shareholders	$	2,886	
 	 	4,619	
 	 	$	0.62	
 	 	$	2,642	
 	 	4,777	
 	 	$	0.55	

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 	Nine Months Ended September 30	
 	2018	 	2017	
(in millions, except per share data)	Net Income
Attributable to
Comcast
Corporation	 	Shares	 	Per Share
Amount	 	Net Income
Attributable to
Comcast
Corporation	 	Shares	 	Per Share
Amount	
Basic EPS attributable to Comcast Corporation shareholders	$	9,220	
 	 	4,599	
 	 	$	2.00	
 	 	$	7,736	
 	 	4,725	
 	 	$	1.64	
 	
Effect of dilutive securities:	 	 	 	 	 	 	 	 	 	 	 	
Assumed exercise or issuance of shares relating to stock plans	 	 	56	
 	 	 	 	 	 	81	
 	 	 	
Diluted EPS attributable to Comcast Corporation shareholders	$	9,220	
 	 	4,655	
 	 	$	1.98	
 	 	$	7,736	
 	 	4,806	
 	 	$	1.61	
 	
Diluted earnings per common share attributable to Comcast Corporation shareholders (“diluted EPS”) considers the impact of potentially dilutive securities using the treasury stock method. Our potentially dilutive securities include potential common shares related to our stock options and our restricted share units (“RSUs”). The amount of potential common shares related to our share-based compensation plans that were excluded from diluted EPS because their effect would have been antidilutive was not material for the three and nine months ended September 30, 2018 and 2017.
Note 5: Long-Term Debt
As of September 30, 2018, our debt had a carrying value of $72.9 billion and an estimated fair value of $74.5 billion. The estimated fair value of our publicly traded debt was primarily based on Level 1 inputs that use quoted market values for the debt. The estimated fair value of debt for which there are no quoted market prices was based on Level 2 inputs that use interest rates available to us for debt with similar terms and remaining maturities. See Note 6 for information regarding the financing of the Sky transaction.

Debt Borrowings	
(in millions)	Nine Months Ended
September 30, 2018	
Comcast sterling-denominated term loan due 2021 (see Note 6)	$	3,913	
 	
Comcast revolving credit facility (see Note 6)	1,500	
 	
Comcast 3.90% senior notes due 2038	1,200	
 	
Comcast 3.55% senior notes due 2028	1,000	
 	
Comcast 4.00% senior notes due 2048	1,000	
 	
Comcast 4.25% senior notes due 2053	800	
 	
Universal Beijing Resort term loans (see Note 6)	386	
 	
Other	51	
 	
Total	$	9,850	

 	
 	 	 	 	
Debt Repayments	
(in millions)	Nine Months Ended
September 30, 2018	
NBCUniversal Enterprise 1.662% senior notes due 2018	$	1,100	
 	
Comcast 5.70% senior notes due 2018	1,000	
 	
Comcast 5.875% senior notes due 2018	900	
 	
NBCUniversal Enterprise senior floating rate notes due 2018	700	
 	
Universal Studios Japan term loans maturing 2022	362	
 	
Other	343	
 	
Total	$	4,405	
 	
Revolving Credit Facilities
As of September 30, 2018, $1.5 billion was outstanding under our consolidated revolving credit facilities. Amounts available under our consolidated revolving credit facilities, net of amounts outstanding under our commercial paper programs and outstanding letters of credit, totaled $3.8 billion, which included $823 million available under NBCUniversal Enterprise’s revolving credit facility.

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Commercial Paper Programs
As of September 30, 2018, Comcast had $3 billion face amount of commercial paper outstanding. As of September 30, 2018, NBCUniversal Enterprise had $794 million face amount of commercial paper outstanding.
Note 6: Significant Transactions
Sky Transaction
On October 9, 2018, in connection with our offer to acquire the share capital of Sky, we acquired a controlling interest in Sky through a series of purchases of Sky shares and acceptances of the offer at our offer price of £17.28 per Sky share. Because shareholders owning over 90% of the fully diluted share capital of Sky have either accepted our offer or sold their Sky shares to us, we have exercised, in accordance with applicable U.K. law, our right to acquire the remaining shares of Sky, which we expect will be completed in the fourth quarter of 2018. The consideration under our offer implies a value of approximately £30.2 billion (approximately $39.4 billion using the exchange rate on October 9, 2018) for the fully diluted share capital of Sky. As of October 9, 2018, Sky had outstanding indebtedness that will be consolidated in our financial statements with an aggregate principal amount of approximately $11 billion using the exchange rates as of such date, which is not guaranteed by us, Comcast Cable Communications, LLC or NBCUniversal. 
Sky is one of Europe’s leading media and entertainment companies, connecting customers to a broad range of video content through its pay television services. It also provides communication services, including residential high-speed Internet, voice, and wireless phone services. Sky operates the Sky News broadcast network and sports and entertainment networks, produces original content, and has exclusive content rights.  
To finance our acquisition, in September 2018, we borrowed £3.0 billion ($3.9 billion using the exchange rate on the date of borrowing) under our £7.0 billion unsecured sterling-denominated term loan credit agreement and $1.5 billion under Comcast’s revolving credit facility, and issued $3.0 billion of commercial paper under Comcast’s commercial paper program, all of which were classified as long-term debt at September 30, 2018. The proceeds from the term loan borrowing were restricted as to use for purchase of Sky shares and were classified as restricted cash in other noncurrent assets, net. Additionally, in October 2018, we issued $27.0 billion aggregate amount of senior unsecured fixed and floating rate notes that will mature between 2020 and 2058, and borrowed £3.6 billion ($4.8 billion using the exchange rates on the dates of borrowings) under our £7.0 billion unsecured sterling-denominated term loan credit agreement and $3.0 billion under our $3.0 billion unsecured dollar-denominated term loan credit agreement. The unsecured term loans and senior notes are guaranteed by Comcast Cable Communications, LLC and NBCUniversal. In October 2018, we used a portion of the net proceeds from the senior notes offering to repay the commercial paper outstanding and revolving credit facility borrowings, and to replenish a portion of our cash, in each case, that had been previously used for purchases of Sky shares. 
Acquisition-Related Expenses 
As a result of the Sky transaction, we have incurred incremental expenses related to legal, accounting, valuation and other professional services, which are reflected in other operating and administrative expenses. We also incurred certain financing costs associated with our borrowings, which are reflected in interest expense. The table below presents the amounts related to these expenses included in our consolidated statement of operations. Additional acquisition-related fees are expected in the fourth quarter of 2018.     

 	Three Months Ended September 30	Nine Months Ended September 30	
(in millions)	2018	2018	
Other operating and administrative expenses	$	8	
 	$	29	
 	
Interest expense	$	34	
 	$	45	
 	
Preliminary Purchase Price Allocation and Unaudited Pro Forma Information 
We will apply acquisition accounting to Sky and its results of operations will be included in our consolidated results of operations from the date of acquisition. The assets and liabilities acquired as a result of the transaction will be recorded at their estimated fair values. Due to the limited time since the acquisition date and limitations on access to Sky information prior to the acquisition date, the initial accounting for the transaction is incomplete at this time. As a result, we are unable to provide amounts recognized as of the acquisition date for assets and liabilities acquired. Also, because the initial accounting for the transaction is incomplete, we are unable to provide supplemental pro forma revenue and earnings of the combined entity. We will include this information in future filings. 

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Universal Beijing Resort
We entered into an agreement with a consortium of Chinese state-owned companies to build and operate a Universal theme park and resort in Beijing, China (“Universal Beijing Resort”). We own a 30% interest in Universal Beijing Resort and the construction will be funded through a combination of debt financing and equity contributions from the investors in accordance with their equity interests. The debt financing, which is being provided by a syndicate of Chinese financial institutions, contains certain financial and operating covenants and a maximum borrowing limit of ¥26.6 billion RMB (approximately $4 billion as of quarter end). The debt financing is secured by the assets of Universal Beijing Resort and the equity interests of the investors. For the nine months ended September 30, 2018, Universal Beijing Resort borrowed $386 million of term loans under the debt financing agreements.
We have concluded that Universal Beijing Resort is a variable interest entity based on its governance structure, and we consolidate it because we have the power to direct activities that most significantly impact its economic performance. There are no liquidity arrangements, guarantees or other financial commitments between us and Universal Beijing Resort, and therefore our maximum risk of financial loss is our 30% interest. Universal Beijing Resort’s results of operations are reported in our Theme Parks segment. Our condensed consolidated statement of cash flows includes the costs of construction and related borrowings in the "construction of Universal Beijing Resort" and "proceeds from borrowings" captions, respectively, and equity contributions from our investing partner are included in other financing activities.
In March 2018, Universal Beijing Resort received initial equity investments through a combination of cash and noncash contributions from the investors. As of September 30, 2018, our condensed consolidated balance sheet included assets, primarily property and equipment, and liabilities, including the term loans, of Universal Beijing Resort totaling $1.2 billion and $728 million, respectively.
FCC Spectrum Auction
On April 13, 2017, the Federal Communications Commission announced the results of its spectrum auction. In the auction, NBCUniversal relinquished its spectrum rights in the New York, Philadelphia and Chicago designated market areas (“DMAs”) where NBC and Telemundo had overlapping spectrum. NBCUniversal received proceeds of $482 million in July 2017, which were recorded in other investing activities in our condensed consolidated statement of cash flows. NBCUniversal recognized a pretax gain of $337 million in other operating gains for the three and nine months ended September 30, 2017 in our condensed consolidated statement of income. NBC and Telemundo stations share broadcast signals in these DMAs. In connection with the auction, we also acquired the rights to $1.7 billion of spectrum, which were recorded to other intangible assets, net in our condensed consolidated balance sheet. We had previously made a deposit of $1.8 billion to participate in the auction in the third quarter of 2016 and received a refund for amounts in excess of the purchase price in the second quarter of 2017.
Universal Studios Japan
On April 6, 2017, we acquired the remaining interests in Universal Studios Japan that we did not already own for $2.3 billion. The acquisition was funded through cash on hand and borrowings under our commercial paper program. Because we maintained control of Universal Studios Japan, the difference between the consideration transferred and the recorded value of the noncontrolling interests, as well as the related tax and accumulated other comprehensive income impacts, were recorded to additional paid-in capital.
Note 7: Recent Accounting Pronouncements and Tax Reform
Revenue Recognition
In May 2014, the Financial Accounting Standards Board (“FASB”) updated the accounting guidance related to revenue recognition. The updated accounting guidance provides a single, contract-based revenue recognition model to help improve financial reporting by providing clearer guidance on when an entity should recognize revenue and by reducing the number of standards to which an entity has to refer. The core principle of the new standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services.
We adopted the updated guidance on January 1, 2018 on a full retrospective basis, which required us to reflect the impact of the updated guidance for all periods presented. Upon adoption, we also implemented changes in our presentation of certain revenues and expenses, primarily in our Cable Communications segment.
The adoption of the new standard did not have a material impact on our consolidated results of operations or financial position for any period presented. The updated guidance also requires additional disclosures regarding the nature, timing and uncertainty of our revenue transactions (see Note 3). 
The tables below present the effects on our condensed consolidated statement of income and balance sheet for the prior year periods presented. 

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Condensed Consolidated Statement of Income

 	Three Months Ended September 30, 2017	 	Nine Months Ended September 30, 2017	
(in millions)	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	 	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	
Revenue	$	20,983	
 	$	98	
 	$	21,081	
 	 	$	62,611	
 	$	343	
 	$	62,954	
 	
Total costs and expenses	$	16,191	
 	$	111	
 	$	16,302	
 	 	$	48,731	
 	$	334	
 	$	49,065	
 	
Operating income	$	4,792	
 	$	(13	)	$	4,779	
 	 	$	13,880	
 	$	9	
 	$	13,889	
 	
Net income attributable to Comcast Corporation	$	2,650	
 	$	(8	)	$	2,642	
 	 	$	7,729	
 	$	7	
 	$	7,736	
 	
Condensed Consolidated Balance Sheet

 	December 31, 2017	
(in millions)	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	
Total current assets	$	16,060	
 	$	283	
 	$	16,343	
 	
Film and television costs	$	7,076	
 	$	11	
 	$	7,087	
 	
Other intangible assets, net	$	18,779	
 	$	(646	)	$	18,133	
 	
Other noncurrent assets, net	$	3,489	
 	$	865	
 	$	4,354	
 	
Total assets	$	186,949	
 	$	513	
 	$	187,462	

Total current liabilities	$	21,561	
 	$	432	
 	$	21,993	
 	
Deferred income taxes	$	24,256	
 	$	3	
 	$	24,259	
 	
Other noncurrent liabilities	$	10,904	
 	$	68	
 	$	10,972	
 	
Total equity	$	69,449	
 	$	10	
 	$	69,459	
 	
Total liabilities and equity	$	186,949	
 	$	513	
 	$	187,462	
 	
Cable Communications
A summary of the changes implemented for the Cable Communications segment is presented below.
Changes to Presentation of Revenue and Related Costs
 	 	
•	Revenue from our residential video services decreased with corresponding increases to high-speed Internet and voice revenue due to a change in the allocation of revenue among our cable services included in a bundle that our residential customers purchase at a discount.	
 	 	
•	Revenue from franchise and other regulatory fees, which was previously presented in other revenue, is now presented with the corresponding cable services. This resulted in increases to video, voice and business services revenue.	
 	 	
•	Residential customer late fees are now presented in other revenue. These fees were previously presented as a reduction to other operating costs and expenses.	
 	 	
•	Certain costs, including costs related to the fulfillment of contracts with customers, are now presented as other assets and the related costs are recognized over time in operating costs and expenses, which are comprised of total costs and expenses, excluding depreciation and amortization expense and other operating gains. These amounts were previously presented as intangible assets, and the expenses were previously presented in amortization expense. The payments related to these assets are now presented in net cash provided by operating activities rather than in cash paid for intangible assets in our consolidated statement of cash flows.	
Changes to the Timing of Recognition of Revenue and Related Costs
 	 	
•	Installation revenue and commission expense are now recognized as revenue and operating costs and expenses, respectively, over a period of time rather than recognized immediately as they were previously. We recorded a deferred revenue liability related to upfront installation fees that are not distinct services, which required us to allocate the installation fees to the respective service. The installation fees are generally recognized as revenue over the period that the fee would influence a customer to renew their service. This period is less than a year for residential customers and the term of the related contract for business services customers. Incremental costs to obtain a contract with a customer, such as commissions for our business customers, are now deferred and recognized over the contract term. Sales commissions related to our residential customers are expensed as incurred as the related period of benefit is less than a year.	

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The table below presents the effects these changes had on our Cable Communications segment revenue, operating costs and expenses, and depreciation and amortization expense as a result of the updated guidance for the prior year periods. Previously reported amounts are based on amounts previously presented in the segment information footnote.

 	Three Months Ended September 30, 2017	 	Nine Months Ended September 30, 2017	
(in millions)	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	 	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	
Residential:	 	 	 	 	 	 	 	
Video	$	5,825	
 	$	(65	)	$	5,760	
 	 	$	17,396	
 	$	(190	)	$	17,206	
 	
High-speed Internet	3,709	
 	233	
 	3,942	
 	 	10,994	
 	688	
 	11,682	
 	
Voice	840	
 	173	
 	1,013	
 	 	2,559	
 	522	
 	3,081	
 	
Business services	1,575	
 	54	
 	1,629	
 	 	4,596	
 	161	
 	4,757	
 	
Advertising	542	
 	52	
 	594	
 	 	1,628	
 	146	
 	1,774	
 	
Other	712	
 	(311	)	401	
 	 	2,064	
 	(918	)	1,146	
 	
Total Cable Communications revenue	$	13,203	
 	$	136	
 	$	13,339	
 	 	$	39,237	
 	$	409	
 	$	39,646	
 	
Operating costs and expenses	$	7,957	
 	$	166	
 	$	8,123	
 	 	$	23,473	
 	$	490	
 	$	23,963	
 	
Depreciation and amortization expense	$	2,049	
 	$	(34	)	$	2,015	
 	 	$	6,030	
 	$	(102	)	$	5,928	
 	
NBCUniversal Segments
The adoption of the updated guidance impacted the timing of recognition for some of our revenue contracts, primarily for content licensing agreements. As a result of the adoption of the updated guidance, when the term of existing content licensing agreements is renewed or extended, revenue is not recognized until the date when the renewal or extension period begins. Under the prior guidance, revenue for the content licensing renewal period was recognized on the date that the renewal was agreed to contractually. This change resulted in delayed revenue recognition for content licensing renewals or extensions in our Cable Networks, Broadcast Television and Filmed Entertainment segments. This change also impacted the timing of the related amortization of our film and television costs and participations and residuals expenses. The adoption of the updated guidance did not have a material impact on the results of operations or financial position for the NBCUniversal segments.
Financial Assets and Financial Liabilities
In January 2016, the FASB updated the accounting guidance related to the recognition and measurement of financial assets and financial liabilities. The updated accounting guidance, among other things, requires that all nonconsolidated equity investments, except those accounted for under the equity method, be measured at fair value and the changes in fair value be recognized in net income. On January 1, 2018, we adopted the updated guidance prospectively along with a related clarifying update and as a result, we recorded an immaterial cumulative effect adjustment to retained earnings, accumulated other comprehensive income (loss) and investments. See Note 9 for further information.
Tax Reform
On December 22, 2017, new federal tax reform legislation was enacted in the United States (“2017 Tax Act”), resulting in significant changes from previous tax law. The new legislation reduced the federal corporate income tax rate to 21% from 35% effective January 1, 2018. In the fourth quarter of 2017, we recorded a net income tax benefit of approximately $12.7 billion on the date of enactment of the new legislation, primarily relating to a reduction of our net deferred tax liabilities as a result of the rate change. This amount also includes the reversal of our net deferred tax liabilities related to cumulative undistributed foreign earnings and deferred tax assets for related foreign tax credits, partially offset by the one-time deemed repatriation tax on undistributed foreign earnings and profits.
The adjustments to deferred tax assets and liabilities, and the liability related to the transition tax, are provisional amounts based on information available as of September 30, 2018. These amounts are subject to change as we obtain information necessary to complete the calculations. During the nine months ended September 30, 2018, we recorded immaterial adjustments to the provisional amounts related to the cumulative temporary differences and the one-time deemed repatriation tax on undistributed foreign earnings and profits. We expect to complete our analysis of the provisional items in the fourth quarter of 2018.
In February 2018, the FASB issued guidance that permits companies to reclassify disproportionate tax effects recorded in accumulated other comprehensive income as a result of the 2017 Tax Act to retained earnings. We adopted the guidance as of January 1, 2018 and, as a result, we recorded an immaterial cumulative effect adjustment to retained earnings and accumulated other comprehensive income (loss).

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In February 2018, the Bipartisan Budget Act of 2018 was enacted. As part of this legislation, various tax provisions that had expired on December 31, 2016 were retroactively extended to December 31, 2017, including the statute permitting the immediate deduction for certain film and television production costs. We recorded an income tax benefit of $128 million in the first quarter of 2018 as a result of the enactment of this legislation.
Restricted Cash
In November 2016, the FASB updated the accounting guidance related to restricted cash. The new standard requires that the statement of cash flows present the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents, and a reconciliation of such total to amounts on the balance sheet. We adopted the updated guidance on January 1, 2018 and as required applied the retrospective transition method. The adoption did not have a material impact for any period presented.  
Leases
In February 2016, the FASB updated the accounting guidance related to leases. The updated accounting guidance requires lessees to recognize a right-of-use asset and a lease liability on the balance sheet for all leases with the exception of short-term leases. The asset and liability are initially measured based on the present value of committed lease payments. For a lessee, the recognition, measurement and presentation of expenses and cash flows arising from a lease do not significantly change from previous guidance. For a lessor, the accounting applied is also largely unchanged from previous guidance. We will adopt the updated accounting guidance in the first quarter of 2019 and prior periods will not be adjusted. We are currently in the process of determining the impact that the updated accounting guidance will have on our consolidated financial statements.
Note 8: Film and Television Costs

(in millions)	September 30,
2018	 	December 31,
2017	
Film Costs:	 	 	 	
Released, less amortization	$	1,573	
 	 	$	1,734	
 	
Completed, not released	242	
 	 	50	
 	
In production and in development	1,010	
 	 	1,149	
 	
 	2,825	
 	 	2,933	
 	
Television Costs:	 	 	 	
Released, less amortization	2,286	
 	 	2,260	
 	
In production and in development	905	
 	 	818	
 	
 	3,191	
 	 	3,078	
 	
Programming rights, less amortization	2,584	
 	 	2,689	
 	
 	8,600	
 	 	8,700	
 	
Less: Current portion of programming rights	1,223	
 	 	1,613	
 	
Film and television costs	$	7,377	
 	 	$	7,087	
 	
Note 9: Investments

(in millions)	September 30,
2018	 	December 31,
2017	
Equity method	$	4,163	
 	 	$	3,546	
 	
Marketable equity securities	322	
 	 	433	
 	
Nonmarketable equity securities	1,528	
 	 	1,186	
 	
Other investments	1,798	
 	 	1,785	
 	
Total investments	7,811	
 	 	6,950	
 	
Less: Current investments	87	
 	 	19	
 	
Noncurrent investments	$	7,724	
 	 	$	6,931	

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Investment and Other Income (Loss), Net

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Equity in net income (losses) of investees, net	$	(76	)	 	$	(39	)	 	$	(56	)	 	$	12	
 	
Realized and unrealized gains (losses) on equity securities, net	(38	)	 	7	
 	 	(50	)	 	—	
 	
Other income (loss), net	3	
 	 	102	
 	 	198	
 	 	287	
 	
Investment and other income (loss), net	$	(111	)	 	$	70	
 	 	$	92	
 	 	$	299	
 	
Beginning January 1, 2018, in connection with our adoption of the updated accounting guidance related to the recognition and measurement of financial assets and financial liabilities (see Note 7), we updated the presentation and accounting policies for our investments previously classified as fair value and cost method investments. The investment categories presented in the table above are based on the new guidance and updated policies, where applicable, are presented below.  
Equity Method
Atairos
In February 2018, we amended our agreement with Atairos, which primarily increases our commitment to fund Atairos from up to $4 billion to up to $5 billion in the aggregate at any one time, subject to certain offsets.
As of September 30, 2018 and December 31, 2017, we had an investment in Atairos of $2.9 billion and $2.4 billion, respectively. For the nine months ended September 30, 2018 and 2017, we made cash capital contributions to Atairos totaling $133 million and $994 million, respectively. Atairos follows investment company accounting and records its investments at their fair values each reporting period with the net gains or losses reflected in its statement of income. We recognize our share of Atairos’ income and losses in equity in net income (losses) of investees, net. For the three and nine months ended September 30, 2018, our share of Atairos’ income was $38 million and $224 million, respectively. For the three and nine months ended September 30, 2017, our share of Atairos’ income was $7 million and $106 million, respectively.
In April 2018, we sold a controlling interest in our arena management-related businesses to Atairos and received as consideration additional equity interests in Atairos. We account for our retained ownership in the businesses as an equity method investment. In connection with the sale of the businesses, we recognized a pretax gain of $200 million in other operating gains in the second quarter of 2018.
In July 2017, we sold a business to a company owned by Atairos and received as consideration an investment in that company, which we account for as an equity method investment. In connection with the sale of the business, we recognized a pretax gain of $105 million in other operating gains in the third quarter of 2017.
Hulu
As of September 30, 2018 and December 31, 2017, we had an investment in Hulu of $219 million and $249 million, respectively. For the nine months ended September 30, 2018 and 2017, we made cash capital contributions to Hulu totaling $341 million and $198 million, respectively. We recognize our proportionate share of Hulu’s income and losses in equity in net income (losses) of investees, net. For the three and nine months ended September 30, 2018, we recognized our proportionate share of Hulu’s losses of $132 million and $370 million, respectively. For the three and nine months ended September 30, 2017, we recognized our proportionate share of Hulu’s losses of $62 million and $168 million, respectively.
The Weather Channel
In March 2018, we sold our investment in The Weather Channel cable network and recognized a pretax gain of $64 million in other income (loss), net.
Marketable Equity Securities
We classify publicly traded investments with readily determinable fair values that are not accounted for under the equity method as marketable equity securities. Marketable equity securities are recorded at cost and adjusted to fair value at each reporting period. The changes in fair value between measurement dates are recorded in realized and unrealized gains (losses) on equity securities, net. The fair values of our marketable equity securities are based on Level 1 inputs that use quoted market prices.

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Snap
In March 2017, we acquired an interest in Snap Inc. for $500 million as part of its initial public offering, which we have classified as a marketable equity security. Snap is a camera company whose primary product is Snapchat, a camera app that was created to help people communicate through short videos and images. As of September 30, 2018 and December 31, 2017, we had an investment in Snap of $249 million and $430 million, respectively. For the three and nine months ended September 30, 2018, we recognized unrealized losses of $135 million and $180 million, respectively, in realized and unrealized gains (losses) on equity securities, net related to our investment in Snap.
Nonmarketable Equity Securities
We classify investments without readily determinable fair values that are not accounted for under the equity method as nonmarketable equity securities. The accounting guidance requires nonmarketable equity securities to be recorded at cost and adjusted to fair value at each reporting period. However, the guidance allows for a measurement alternative, which is to record the investments at cost, less impairment, if any, and subsequently adjust for observable price changes of identical or similar investments of the same issuer. We apply this measurement alternative to a majority of our nonmarketable equity securities. When an observable event occurs, we estimate the fair values of our nonmarketable equity securities based on Level 2 inputs that are derived from observable price changes of similar securities adjusted for insignificant differences in rights and obligations. The changes in value are recorded in realized and unrealized gains (losses) on equity securities, net.  
Other Investments
AirTouch
We hold two series of preferred stock of Verizon Americas, Inc., formerly known as AirTouch Communications, Inc. (“AirTouch”), a subsidiary of Verizon Communications Inc., which are redeemable in April 2020. As of both September 30, 2018 and December 31, 2017, we had an investment in AirTouch of $1.6 billion. We account for our investment in AirTouch as a held to maturity investment using the cost method. As of September 30, 2018, the estimated fair value of the AirTouch preferred stock and the estimated fair value of the associated liability related to the redeemable subsidiary preferred shares issued by one of our consolidated subsidiaries were each $1.7 billion. The estimated fair values are based on Level 2 inputs that use pricing models whose inputs are derived primarily from or corroborated by observable market data through correlation or other means for substantially the full term of the financial instrument.
Note 10: Supplemental Financial Information
Share-Based Compensation
Our share-based compensation plans consist primarily of awards of RSUs and stock options to certain employees and directors as part of our approach to long-term incentive compensation. Additionally, through our employee stock purchase plans, employees are able to purchase shares of our common stock at a discount through payroll deductions.
In March 2018, we granted 12.1 million RSUs and 41.0 million stock options related to our annual management awards. The weighted-average fair values associated with these grants were $35.94 per RSU and $7.15 per stock option.
Recognized Share-Based Compensation Expense

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Restricted share units	$	94	
 	 	$	99	
 	 	$	279	
 	 	$	284	
 	
Stock options	50	
 	 	52	
 	 	155	
 	 	155	
 	
Employee stock purchase plans	7	
 	 	8	
 	 	24	
 	 	25	
 	
Total	$	151	
 	 	$	159	
 	 	$	458	
 	 	$	464	
 	
As of September 30, 2018, we had unrecognized pretax compensation expense of $914 million and $489 million related to nonvested RSUs and nonvested stock options, respectively.

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Cash Payments for Interest and Income Taxes 

 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	
Interest	$	2,240	
 	 	$	2,277	
 	
Income taxes	$	1,533	
 	 	$	3,415	
 	
Noncash Investing and Financing Activities
During the nine months ended September 30, 2018:
 	 	
•	we acquired $2.1 billion of property and equipment and intangible assets that were accrued but unpaid	
 	 	
•	we recorded a liability of $864 million for a quarterly cash dividend of $0.19 per common share to be paid in October 2018 	
 	 	
•	we received noncash contributions from noncontrolling interests totaling $391 million related to Universal Beijing Resort (see Note 6)	
Cash, Cash Equivalents and Restricted Cash
The following table provides a reconciliation of cash, cash equivalents and restricted cash reported in the condensed consolidated balance sheet to the total of the amounts reported in our condensed consolidated statement of cash flows. 

(in millions)	September 30,
2018	 	December 31,
2017	
Cash and cash equivalents	$	10,616	
 	 	$	3,428	
 	
Restricted cash included in other current assets	47	
 	 	60	
 	
Restricted cash included in other noncurrent assets, net	3,959	
 	 	83	
 	
Cash, cash equivalents and restricted cash, end of period	$	14,622	
 	 	$	3,571	
 	
Accumulated Other Comprehensive Income (Loss)

(in millions)	September 30,
2018	 	September 30,
2017	
Unrealized gains (losses) on marketable securities	$	2	
 	 	$	(43	)	
Deferred gains (losses) on cash flow hedges	28	
 	 	(12	)	
Unrecognized gains (losses) on employee benefit obligations	294	
 	 	270	
 	
Cumulative translation adjustments	50	
 	 	166	
 	
Accumulated other comprehensive income (loss), net of deferred taxes	$	374	
 	 	$	381	
 	
Note 11: Commitments and Contingencies
Redeemable Subsidiary Preferred Stock
As of September 30, 2018, the fair value of the NBCUniversal Enterprise redeemable subsidiary preferred stock was $742 million. The estimated fair value is based on Level 2 inputs that use pricing models whose inputs are derived primarily from or corroborated by observable market data through correlation or other means for substantially the full term of the financial instrument.
Contingencies
We are a defendant in several unrelated lawsuits claiming infringement of various patents relating to various aspects of our businesses. In certain of these cases, other industry participants are also defendants, and also in certain of these cases, we expect that any potential liability would be in part or in whole the responsibility of our equipment and technology vendors under applicable contractual indemnification provisions. In addition, we are subject to other legal proceedings and claims that arise in the ordinary course of our business. While the amount of ultimate liability with respect to such actions is not expected to materially affect our results of operations, cash flows or financial position, any litigation resulting from any such legal proceedings or claims could be time-consuming and injure our reputation.

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Note 12: Condensed Consolidating Financial Information
Comcast (“Comcast Parent”), Comcast Cable Communications, LLC (“CCCL Parent”), and NBCUniversal (“NBCUniversal Media Parent”) have fully and unconditionally guaranteed each other’s debt securities, including the Comcast revolving credit facility.
Comcast Parent and CCCL Parent also fully and unconditionally guarantee NBCUniversal Enterprise’s $3 billion aggregate principal amount of senior notes and $1.6 billion revolving credit facility and commercial paper program. NBCUniversal Media Parent does not guarantee the NBCUniversal Enterprise senior notes, revolving credit facility or commercial paper program.
Comcast Parent provides an unconditional guarantee of the Universal Studios Japan $3.5 billion term loans with a final maturity of March 2022. Comcast Parent also provides an unconditional subordinated guarantee of the $185 million principal amount currently outstanding of Comcast Holdings’ ZONES due October 2029. Neither CCCL Parent nor NBCUniversal Media Parent guarantee the Comcast Holdings’ ZONES due October 2029. None of Comcast Parent, CCCL Parent nor NBCUniversal Media Parent guarantee the $62 million principal amount currently outstanding of Comcast Holdings’ ZONES due November 2029 or the Universal Beijing Resort term loans.

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Comcast Corporation

Condensed Consolidating Statement of Income
For the Three Months Ended September 30, 2018 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Revenue:	 	 	 	 	 	 	 	
Service revenue	$	—	
 	$	—	
 	$	—	
 	$	—	
 	$	22,135	
 	$	—	
 	$	22,135	
 	
Management fee revenue	299	
 	—	
 	294	
 	—	
 	—	
 	(593	)	—	
 	
Total revenue	299	
 	—	
 	294	
 	—	
 	22,135	
 	(593	)	22,135	
 	
Costs and Expenses:	 	 	 	 	 	 	 	
Programming and production	—	
 	—	
 	—	
 	—	
 	6,711	
 	—	
 	6,711	
 	
Other operating and administrative	208	
 	—	
 	294	
 	230	
 	6,305	
 	(593	)	6,444	
 	
Advertising, marketing and promotion	—	
 	—	
 	—	
 	—	
 	1,667	
 	—	
 	1,667	
 	
Depreciation	12	
 	—	
 	—	
 	—	
 	2,026	
 	—	
 	2,038	
 	
Amortization	1	
 	—	
 	—	
 	—	
 	579	
 	—	
 	580	
 	
Other operating gains	—	
 	—	
 	—	
 	—	
 	(141	)	—	
 	(141	)	
Total cost and expenses	221	
 	—	
 	294	
 	230	
 	17,147	
 	(593	)	17,299	
 	
Operating income (loss)	78	
 	—	
 	—	
 	(230	)	4,988	
 	—	
 	4,836	
 	
Interest expense	(600	)	(3	)	(48	)	(113	)	(66	)	—	
 	(830	)	
Investment and other income (loss), net	3,299	
 	3,380	
 	3,007	
 	1,576	
 	1,065	
 	(12,438	)	(111	)	
Income (loss) before income taxes	2,777	
 	3,377	
 	2,959	
 	1,233	
 	5,987	
 	(12,438	)	3,895	
 	
Income tax (expense) benefit	109	
 	(1	)	10	
 	(2	)	(1,115	)	—	
 	(999	)	
Net income (loss)	2,886	
 	3,376	
 	2,969	
 	1,231	
 	4,872	
 	(12,438	)	2,896	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	10	
 	—	
 	10	
 	
Net income (loss) attributable to Comcast Corporation	$	2,886	
 	$	3,376	
 	$	2,969	
 	$	1,231	
 	$	4,862	
 	$	(12,438	)	$	2,886	
 	
Comprehensive income (loss) attributable to Comcast Corporation	$	2,799	
 	$	3,349	
 	$	2,974	
 	$	1,112	
 	$	4,663	
 	$	(12,098	)	$	2,799	

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Comcast Corporation

Condensed Consolidating Statement of Income
For the Three Months Ended September 30, 2017

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Revenue:	 	 	 	 	 	 	 	
Service revenue	$	—	
 	$	—	
 	$	—	
 	$	—	
 	$	21,081	
 	$	—	
 	$	21,081	
 	
Management fee revenue	285	
 	—	
 	280	
 	—	
 	—	
 	(565	)	—	
 	
Total revenue	285	
 	—	
 	280	
 	—	
 	21,081	
 	(565	)	21,081	
 	
Costs and Expenses:	 	 	 	 	 	 	 	
Programming and production	—	
 	—	
 	—	
 	—	
 	6,059	
 	—	
 	6,059	
 	
Other operating and administrative	183	
 	—	
 	280	
 	277	
 	6,360	
 	(565	)	6,535	
 	
Advertising, marketing and promotion	—	
 	—	
 	—	
 	—	
 	1,604	
 	—	
 	1,604	
 	
Depreciation	7	
 	—	
 	—	
 	—	
 	1,984	
 	—	
 	1,991	
 	
Amortization	1	
 	—	
 	—	
 	—	
 	554	
 	—	
 	555	
 	
Other operating gains	—	
 	—	
 	—	
 	—	
 	(442	)	—	
 	(442	)	
Total cost and expenses	191	
 	—	
 	280	
 	277	
 	16,119	
 	(565	)	16,302	
 	
Operating income (loss)	94	
 	—	
 	—	
 	(277	)	4,962	
 	—	
 	4,779	
 	
Interest expense	(544	)	(3	)	(48	)	(116	)	(55	)	—	
 	(766	)	
Investment and other income (loss), net	2,934	
 	2,513	
 	1,995	
 	2,206	
 	1,845	
 	(11,423	)	70	
 	
Income (loss) before income taxes	2,484	
 	2,510	
 	1,947	
 	1,813	
 	6,752	
 	(11,423	)	4,083	
 	
Income tax (expense) benefit	158	
 	(10	)	17	
 	(6	)	(1,568	)	—	
 	(1,409	)	
Net income (loss)	2,642	
 	2,500	
 	1,964	
 	1,807	
 	5,184	
 	(11,423	)	2,674	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	32	
 	—	
 	32	
 	
Net income (loss) attributable to Comcast Corporation	$	2,642	
 	$	2,500	
 	$	1,964	
 	$	1,807	
 	$	5,152	
 	$	(11,423	)	$	2,642	
 	
Comprehensive income (loss) attributable to Comcast Corporation	$	2,595	
 	$	2,484	
 	$	1,968	
 	$	1,722	
 	$	5,024	
 	$	(11,198	)	$	2,595	

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Comcast Corporation

Condensed Consolidating Statement of Income
For the Nine Months Ended September 30, 2018 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Revenue:	 	 	 	 	 	 	 	
Service revenue	$	—	
 	$	—	
 	$	—	
 	$	—	
 	$	66,661	
 	$	—	
 	$	66,661	
 	
Management fee revenue	889	
 	—	
 	873	
 	—	
 	—	
 	(1,762	)	—	
 	
Total revenue	889	
 	—	
 	873	
 	—	
 	66,661	
 	(1,762	)	66,661	
 	
Costs and Expenses:	 	 	 	 	 	 	 	
Programming and production	—	
 	—	
 	—	
 	—	
 	20,440	
 	—	
 	20,440	
 	
Other operating and administrative	626	
 	—	
 	873	
 	772	
 	18,814	
 	(1,762	)	19,323	
 	
Advertising, marketing and promotion	—	
 	—	
 	—	
 	—	
 	4,924	
 	—	
 	4,924	
 	
Depreciation	34	
 	—	
 	—	
 	—	
 	6,036	
 	—	
 	6,070	
 	
Amortization	4	
 	—	
 	—	
 	—	
 	1,746	
 	—	
 	1,750	
 	
Other operating gains	—	
 	—	
 	—	
 	—	
 	(341	)	—	
 	(341	)	
Total cost and expenses	664	
 	—	
 	873	
 	772	
 	51,619	
 	(1,762	)	52,166	
 	
Operating income (loss)	225	
 	—	
 	—	
 	(772	)	15,042	
 	—	
 	14,495	
 	
Interest expense	(1,739	)	(9	)	(143	)	(332	)	(190	)	—	
 	(2,413	)	
Investment and other income (loss), net	10,416	
 	10,279	
 	8,832	
 	5,107	
 	3,977	
 	(38,519	)	92	
 	
Income (loss) before income taxes	8,902	
 	10,270	
 	8,689	
 	4,003	
 	18,829	
 	(38,519	)	12,174	
 	
Income tax (expense) benefit	318	
 	—	
 	29	
 	(12	)	(3,229	)	—	
 	(2,894	)	
Net income (loss)	9,220	
 	10,270	
 	8,718	
 	3,991	
 	15,600	
 	(38,519	)	9,280	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	60	
 	—	
 	60	
 	
Net income (loss) attributable to Comcast Corporation	$	9,220	
 	$	10,270	
 	$	8,718	
 	$	3,991	
 	$	15,540	
 	$	(38,519	)	$	9,220	
 	
Comprehensive income (loss) attributable to Comcast Corporation	$	9,139	
 	$	10,245	
 	$	8,723	
 	$	3,877	
 	$	15,357	
 	$	(38,202	)	$	9,139	

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Comcast Corporation

Condensed Consolidating Statement of Income
For the Nine Months Ended September 30, 2017 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Revenue:	 	 	 	 	 	 	 	
Service revenue	$	—	
 	$	—	
 	$	—	
 	$	—	
 	$	62,954	
 	$	—	
 	$	62,954	
 	
Management fee revenue	841	
 	—	
 	827	
 	—	
 	—	
 	(1,668	)	—	
 	
Total revenue	841	
 	—	
 	827	
 	—	
 	62,954	
 	(1,668	)	62,954	
 	
Costs and Expenses:	 	 	 	 	 	 	 	
Programming and production	—	
 	—	
 	—	
 	—	
 	18,450	
 	—	
 	18,450	
 	
Other operating and administrative	553	
 	—	
 	827	
 	844	
 	18,086	
 	(1,668	)	18,642	
 	
Advertising, marketing and promotion	—	
 	—	
 	—	
 	—	
 	4,894	
 	—	
 	4,894	
 	
Depreciation	21	
 	—	
 	—	
 	—	
 	5,855	
 	—	
 	5,876	
 	
Amortization	4	
 	—	
 	—	
 	—	
 	1,641	
 	—	
 	1,645	
 	
Other operating gains	—	
 	—	
 	—	
 	—	
 	(442	)	—	
 	(442	)	
Total costs and expenses	578	
 	—	
 	827	
 	844	
 	48,484	
 	(1,668	)	49,065	
 	
Operating income (loss)	263	
 	—	
 	—	
 	(844	)	14,470	
 	—	
 	13,889	
 	
Interest expense	(1,592	)	(9	)	(159	)	(344	)	(175	)	—	
 	(2,279	)	
Investment and other income (loss), net	8,600	
 	7,841	
 	6,628	
 	5,493	
 	4,476	
 	(32,739	)	299	
 	
Income (loss) before income taxes	7,271	
 	7,832	
 	6,469	
 	4,305	
 	18,771	
 	(32,739	)	11,909	
 	
Income tax (expense) benefit	465	
 	(26	)	56	
 	(17	)	(4,516	)	—	
 	(4,038	)	
Net income (loss)	7,736	
 	7,806	
 	6,525	
 	4,288	
 	14,255	
 	(32,739	)	7,871	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	135	
 	—	
 	135	
 	
Net income (loss) attributable to Comcast Corporation	$	7,736	
 	$	7,806	
 	$	6,525	
 	$	4,288	
 	$	14,120	
 	$	(32,739	)	$	7,736	
 	
Comprehensive income (loss) attributable to Comcast Corporation	$	7,825	
 	$	7,804	
 	$	6,531	
 	$	4,253	
 	$	13,993	
 	$	(32,581	)	$	7,825	

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Comcast Corporation

Condensed Consolidating Statement of Cash Flows
For the Nine Months Ended September 30, 2018 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Net cash provided by (used in) operating activities	$	(1,461	)	$	137	
 	$	(206	)	$	(1,047	)	$	21,084	
 	$	—	
 	$	18,507	
 	
Investing Activities:	 	 	 	 	 	 	 	
Net transactions with affiliates	(1,087	)	(586	)	206	
 	800	
 	667	
 	—	
 	—	
 	
Capital expenditures	(15	)	—	
 	—	
 	—	
 	(6,592	)	—	
 	(6,607	)	
Cash paid for intangible assets	(3	)	—	
 	—	
 	—	
 	(1,372	)	—	
 	(1,375	)	
Acquisitions and construction of real estate properties	(94	)	—	
 	—	
 	—	
 	(35	)	—	
 	(129	)	
Construction of Universal Beijing Resort	—	
 	—	
 	—	
 	—	
 	(257	)	—	
 	(257	)	
Acquisitions, net of cash acquired	—	
 	—	
 	—	
 	—	
 	(88	)	—	
 	(88	)	
Proceeds from sales of investments	—	
 	—	
 	—	
 	67	
 	60	
 	—	
 	127	
 	
Purchases of investments	(118	)	—	
 	—	
 	(50	)	(672	)	—	
 	(840	)	
Other	—	
 	449	
 	—	
 	—	
 	130	
 	—	
 	579	
 	
Net cash provided by (used in) investing activities	(1,317	)	(137	)	206	
 	817	
 	(8,159	)	—	
 	(8,590	)	
Financing Activities:	 	 	 	 	 	 	 	
Proceeds from (repayments of) short-term borrowings, net	2,117	
 	—	
 	—	
 	—	
 	792	
 	—	
 	2,909	
 	
Proceeds from borrowings	9,386	
 	—	
 	—	
 	—	
 	464	
 	—	
 	9,850	
 	
Repurchases and repayments of debt	(1,900	)	—	
 	—	
 	(3	)	(2,502	)	—	
 	(4,405	)	
Repurchases of common stock under repurchase program and employee plans	(4,282	)	—	
 	—	
 	—	
 	—	
 	—	
 	(4,282	)	
Dividends paid	(2,487	)	—	
 	—	
 	—	
 	—	
 	—	
 	(2,487	)	
Distributions to noncontrolling interests and dividends for redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	(209	)	—	
 	(209	)	
Other	(56	)	—	
 	—	
 	—	
 	(186	)	—	
 	(242	)	
Net cash provided by (used in) financing activities	2,778	
 	—	
 	—	
 	(3	)	(1,641	)	—	
 	1,134	
 	
Increase (decrease) in cash, cash equivalents and restricted cash	—	
 	—	
 	—	
 	(233	)	11,284	
 	—	
 	11,051	
 	
Cash, cash equivalents and restricted cash, beginning of period	—	
 	—	
 	—	
 	496	
 	3,075	
 	—	
 	3,571	
 	
Cash, cash equivalents and restricted cash, end of period	$	—	
 	$	—	
 	$	—	
 	$	263	
 	$	14,359	
 	$	—	
 	$	14,622	

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Comcast Corporation

Condensed Consolidating Statement of Cash Flows
For the Nine Months Ended September 30, 2017 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Net cash provided by (used in) operating activities	$	(931	)	$	91	
 	$	(233	)	$	(1,055	)	$	17,985	
 	$	—	
 	$	15,857	
 	
Investing Activities:	 	 	 	 	 	 	 	
Net transactions with affiliates	4,216	
 	(91	)	818	
 	833	
 	(5,776	)	—	
 	—	
 	
Capital expenditures	(6	)	—	
 	—	
 	—	
 	(6,833	)	—	
 	(6,839	)	
Cash paid for intangible assets	(2	)	—	
 	—	
 	—	
 	(1,134	)	—	
 	(1,136	)	
Acquisitions and construction of real estate properties	(190	)	—	
 	—	
 	—	
 	(135	)	—	
 	(325	)	
Construction of Universal Beijing Resort	—	
 	—	
 	—	
 	—	
 	(47	)	—	
 	(47	)	
Acquisitions, net of cash acquired	—	
 	—	
 	—	
 	—	
 	(429	)	—	
 	(429	)	
Proceeds from sales of investments	—	
 	—	
 	—	
 	10	
 	110	
 	—	
 	120	
 	
Purchases of investments	(56	)	—	
 	(35	)	(57	)	(1,916	)	—	
 	(2,064	)	
Other	101	
 	—	
 	—	
 	49	
 	647	
 	—	
 	797	
 	
Net cash provided by (used in) investing activities	4,063	
 	(91	)	783	
 	835	
 	(15,513	)	—	
 	(9,923	)	
Financing Activities:	 	 	 	 	 	 	 	
Proceeds from (repayments of) short-term borrowings, net	(1,739	)	—	
 	—	
 	—	
 	(1,068	)	—	
 	(2,807	)	
Proceeds from borrowings	5,997	
 	—	
 	—	
 	—	
 	5,463	
 	—	
 	11,460	
 	
Repurchases and repayments of debt	(1,000	)	—	
 	(550	)	(3	)	(3,468	)	—	
 	(5,021	)	
Repurchases of common stock under repurchase program and employee plans	(4,212	)	—	
 	—	
 	—	
 	—	
 	—	
 	(4,212	)	
Dividends paid	(2,147	)	—	
 	—	
 	—	
 	—	
 	—	
 	(2,147	)	
Purchase of Universal Studios Japan noncontrolling interests	—	
 	—	
 	—	
 	—	
 	(2,299	)	—	
 	(2,299	)	
Distributions to noncontrolling interests and dividends for redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	(198	)	—	
 	(198	)	
Other	(31	)	—	
 	—	
 	—	
 	134	
 	—	
 	103	
 	
Net cash provided by (used in) financing activities	(3,132	)	—	
 	(550	)	(3	)	(1,436	)	—	
 	(5,121	)	
Increase (decrease) in cash, cash equivalents and restricted cash	—	
 	—	
 	—	
 	(223	)	1,036	
 	—	
 	813	
 	
Cash, cash equivalents and restricted cash, beginning of period	—	
 	—	
 	—	
 	482	
 	2,933	
 	—	
 	3,415	
 	
Cash, cash equivalents and restricted cash, end of period	$	—	
 	$	—	
 	$	—	
 	$	259	
 	$	3,969	
 	$	—	
 	$	4,228	

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Comcast Corporation

Condensed Consolidating Balance Sheet
September 30, 2018 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Assets	

 	

 	
 	
Cash and cash equivalents	$	—	
 	$	—	
 	$	—	
 	$	263	
 	$	10,353	
 	$	—	
 	$	10,616	
 	
Receivables, net	—	
 	—	
 	—	
 	—	
 	8,983	
 	—	
 	8,983	
 	
Programming rights	—	
 	—	
 	—	
 	—	
 	1,223	
 	—	
 	1,223	
 	
Other current assets	58	
 	8	
 	—	
 	34	
 	2,284	
 	—	
 	2,384	
 	
Total current assets	58	
 	8	
 	—	
 	297	
 	22,843	
 	—	
 	23,206	
 	
Film and television costs	—	
 	—	
 	—	
 	—	
 	7,377	
 	—	
 	7,377	
 	
Investments	267	
 	11	
 	122	
 	790	
 	6,534	
 	—	
 	7,724	
 	
Investments in and amounts due from subsidiaries eliminated upon consolidation	129,360	
 	146,297	
 	132,562	
 	53,078	
 	103,526	
 	(564,823	)	—	
 	
Property and equipment, net	649	
 	—	
 	—	
 	—	
 	39,206	
 	—	
 	39,855	
 	
Franchise rights	—	
 	—	
 	—	
 	—	
 	59,365	
 	—	
 	59,365	
 	
Goodwill	—	
 	—	
 	—	
 	—	
 	36,703	
 	—	
 	36,703	
 	
Other intangible assets, net	11	
 	—	
 	—	
 	—	
 	18,638	
 	—	
 	18,649	
 	
Other noncurrent assets, net	782	
 	230	
 	—	
 	95	
 	6,884	
 	(235	)	7,756	
 	
Total assets	$	131,127	
 	$	146,546	
 	$	132,684	
 	$	54,260	
 	$	301,076	
 	$	(565,058	)	$	200,635	
 	
Liabilities and Equity	 	 	 	 	 	 	 	
Accounts payable and accrued expenses related to trade creditors	$	13	
 	$	—	
 	$	—	
 	$	—	
 	$	7,023	
 	$	—	
 	$	7,036	
 	
Accrued participations and residuals	—	
 	—	
 	—	
 	—	
 	1,809	
 	—	
 	1,809	
 	
Deferred revenue	—	
 	—	
 	—	
 	—	
 	1,633	
 	—	
 	1,633	
 	
Accrued expenses and other current liabilities	1,852	
 	150	
 	231	
 	346	
 	3,397	
 	—	
 	5,976	
 	
Current portion of long-term debt	699	
 	—	
 	—	
 	4	
 	2,470	
 	—	
 	3,173	
 	
Total current liabilities	2,564	
 	150	
 	231	
 	350	
 	16,332	
 	—	
 	19,627	
 	
Long-term debt, less current portion	54,120	
 	144	
 	2,100	
 	7,748	
 	5,599	
 	—	
 	69,711	
 	
Deferred income taxes	—	
 	330	
 	—	
 	68	
 	25,070	
 	(301	)	25,167	
 	
Other noncurrent liabilities	2,920	
 	—	
 	—	
 	1,225	
 	8,257	
 	66	
 	12,468	
 	
Redeemable noncontrolling interests and redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	1,317	
 	—	
 	1,317	
 	
Equity:	 	 	 	 	 	 	 	
Common stock	54	
 	—	
 	—	
 	—	
 	—	
 	—	
 	54	
 	
Other shareholders’ equity	71,469	
 	145,922	
 	130,353	
 	44,869	
 	243,679	
 	(564,823	)	71,469	
 	
Total Comcast Corporation shareholders’ equity	71,523	
 	145,922	
 	130,353	
 	44,869	
 	243,679	
 	(564,823	)	71,523	
 	
Noncontrolling interests	—	
 	—	
 	—	
 	—	
 	822	
 	—	
 	822	
 	
Total equity	71,523	
 	145,922	
 	130,353	
 	44,869	
 	244,501	
 	(564,823	)	72,345	
 	
Total liabilities and equity	$	131,127	
 	$	146,546	
 	$	132,684	
 	$	54,260	
 	$	301,076	
 	$	(565,058	)	$	200,635	

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Comcast Corporation

Condensed Consolidating Balance Sheet
December 31, 2017 

(in millions)	Comcast
Parent	Comcast
Holdings	CCCL
Parent	NBCUniversal
Media Parent	Non-
Guarantor
Subsidiaries	Elimination
and
Consolidation
Adjustments	Consolidated
Comcast
Corporation	
Assets	 	 	 	 	 	 	 	
Cash and cash equivalents	$	—	
 	$	—	
 	$	—	
 	$	496	
 	$	2,932	
 	$	—	
 	$	3,428	
 	
Receivables, net	—	
 	—	
 	—	
 	—	
 	8,834	
 	—	
 	8,834	
 	
Programming rights	—	
 	—	
 	—	
 	—	
 	1,613	
 	—	
 	1,613	
 	
Other current assets	60	
 	—	
 	7	
 	25	
 	2,376	
 	—	
 	2,468	
 	
Total current assets	60	
 	—	
 	7	
 	521	
 	15,755	
 	—	
 	16,343	
 	
Film and television costs	—	
 	—	
 	—	
 	—	
 	7,087	
 	—	
 	7,087	
 	
Investments	146	
 	21	
 	108	
 	693	
 	5,963	
 	—	
 	6,931	
 	
Investments in and amounts due from subsidiaries eliminated upon consolidation	117,164	
 	142,519	
 	139,528	
 	50,102	
 	113,332	
 	(562,645	)	—	
 	
Property and equipment, net	551	
 	—	
 	—	
 	—	
 	37,919	
 	—	
 	38,470	
 	
Franchise rights	—	
 	—	
 	—	
 	—	
 	59,364	
 	—	
 	59,364	
 	
Goodwill	—	
 	—	
 	—	
 	—	
 	36,780	
 	—	
 	36,780	
 	
Other intangible assets, net	12	
 	—	
 	—	
 	—	
 	18,121	
 	—	
 	18,133	
 	
Other noncurrent assets, net	435	
 	708	
 	—	
 	88	
 	3,437	
 	(314	)	4,354	
 	
Total assets	$	118,368	
 	$	143,248	
 	$	139,643	
 	$	51,404	
 	$	297,758	
 	$	(562,959	)	$	187,462	
 	
Liabilities and Equity	 	 	 	 	 	 	 	
Accounts payable and accrued expenses related to trade creditors	$	16	
 	$	—	
 	$	—	
 	$	—	
 	$	6,892	
 	$	—	
 	$	6,908	
 	
Accrued participations and residuals	—	
 	—	
 	—	
 	—	
 	1,644	
 	—	
 	1,644	
 	
Deferred revenue	—	
 	—	
 	—	
 	—	
 	1,687	
 	—	
 	1,687	
 	
Accrued expenses and other current liabilities	1,888	
 	92	
 	333	
 	326	
 	3,981	
 	—	
 	6,620	
 	
Current portion of long-term debt	2,810	
 	—	
 	—	
 	4	
 	2,320	
 	—	
 	5,134	
 	
Total current liabilities	4,714	
 	92	
 	333	
 	330	
 	16,524	
 	—	
 	21,993	
 	
Long-term debt, less current portion	42,428	
 	140	
 	2,100	
 	7,751	
 	7,003	
 	—	
 	59,422	
 	
Deferred income taxes	—	
 	285	
 	—	
 	67	
 	24,250	
 	(343	)	24,259	
 	
Other noncurrent liabilities	2,610	
 	—	
 	—	
 	1,128	
 	7,205	
 	29	
 	10,972	
 	
Redeemable noncontrolling interests and redeemable subsidiary preferred stock	—	
 	—	
 	—	
 	—	
 	1,357	
 	—	
 	1,357	
 	
Equity:	 	 	 	 	 	 	 	
Common stock	55	
 	—	
 	—	
 	—	
 	—	
 	—	
 	55	
 	
Other shareholders’ equity	68,561	
 	142,731	
 	137,210	
 	42,128	
 	240,576	
 	(562,645	)	68,561	
 	
Total Comcast Corporation shareholders’ equity	68,616	
 	142,731	
 	137,210	
 	42,128	
 	240,576	
 	(562,645	)	68,616	
 	
Noncontrolling interests	—	
 	—	
 	—	
 	—	
 	843	
 	—	
 	843	
 	
Total equity	68,616	
 	142,731	
 	137,210	
 	42,128	
 	241,419	
 	(562,645	)	69,459	
 	
Total liabilities and equity	$	118,368	
 	$	143,248	
 	$	139,643	
 	$	51,404	
 	$	297,758	
 	$	(562,959	)	$	187,462	

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Table of Contents

ITEM 2: MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Overview
We are a global media and technology company with two primary businesses, Comcast Cable and NBCUniversal. We present our operations for Comcast Cable in one reportable business segment, referred to as Cable Communications, and our operations for NBCUniversal in four reportable business segments: Cable Networks, Broadcast Television, Filmed Entertainment and Theme Parks (collectively, the “NBCUniversal segments”).
We adopted the updated guidance related to revenue recognition on January 1, 2018 on a full retrospective basis, which required us to reflect the impact of the updated guidance for all periods presented (see Note 7 to Comcast’s condensed consolidated financial statements and Note 6 to NBCUniversal’s condensed consolidated financial statements).
On October 9, 2018, in connection with our offer to acquire the share capital of Sky, we acquired a controlling interest in Sky through a series of purchases of Sky shares and acceptances of the offer at our offer price of £17.28 per Sky share. The consideration under our offer implies a value of approximately £30.2 billion (approximately $39.4 billion using the exchange rate on October 9, 2018) for the fully diluted share capital of Sky. Sky’s results will be included in our consolidated financial statements beginning in the fourth quarter of 2018. 
Cable Communications Segment
Comcast Cable is one of the nation’s largest providers of video, high-speed Internet, voice, and security and automation services (“cable services”) to residential customers under the XFINITY brand; we also provide these and other services to business customers and sell advertising. As of September 30, 2018, our cable systems had 30.1 million total customer relationships, including 27.8 million residential and 2.3 million business customer relationships, and passed more than 57 million homes and businesses. Our Cable Communications segment generates revenue primarily from residential and business customers that subscribe to our cable services, which we market individually and as bundled services, and from the sale of advertising.
NBCUniversal Segments
NBCUniversal is one of the world’s leading media and entertainment companies that develops, produces and distributes entertainment, news and information, sports, and other content for global audiences, and owns and operates theme parks worldwide .
Cable Networks
Our Cable Networks segment consists primarily of a diversified portfolio of cable television networks. Our cable networks are comprised of our national cable networks that provide a variety of entertainment, news and information, and sports content; our regional sports and news networks; our international cable networks; our cable television studio production operations; and our various digital properties. Our Cable Networks segment generates revenue primarily from the distribution of our cable network programming to traditional and virtual multichannel video providers; from the sale of advertising on our cable networks and digital properties; from the licensing of our owned programming, including programming from our cable television studio production operations, to cable and broadcast networks and subscription video on demand services; and from the sale of our owned programming on standard-definition digital video discs and Blu-ray discs (together, “DVDs”) and through digital distribution services such as iTunes.
Broadcast Television
Our Broadcast Television segment consists primarily of the NBC and Telemundo broadcast networks, our NBC and Telemundo owned local broadcast television stations, the NBC Universo national cable network, our broadcast television studio production operations, and our various digital properties. Our Broadcast Television segment generates revenue primarily from the sale of advertising on our broadcast networks, owned local broadcast television stations and digital properties; from the licensing of our owned programming by our broadcast television studio production operations to various distribution platforms, including to cable and broadcast networks as well as to subscription video on demand services; from the fees received under retransmission consent agreements and associated fees received from NBC-affiliated local broadcast television stations; and from the sale of our owned programming on DVDs and through digital distribution services.

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Filmed Entertainment
Our Filmed Entertainment segment primarily produces, acquires, markets and distributes filmed entertainment worldwide. Our films are produced primarily under the Universal Pictures, Illumination, DreamWorks Animation and Focus Features names. Our Filmed Entertainment segment generates revenue primarily from the worldwide distribution of our produced and acquired films for exhibition in movie theaters, from the licensing of produced and acquired films through various distribution platforms, and from the sale of produced and acquired films on DVDs and through digital distribution services. Our Filmed Entertainment segment also generates revenue from Fandango, our movie ticketing and entertainment business, the sale of consumer products, the production and licensing of live stage plays, and the distribution of filmed entertainment produced by third parties.
Theme Parks
Our Theme Parks segment consists primarily of our Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. In addition, along with a consortium of Chinese state-owned companies, we are developing a theme park in Beijing, China. Our Theme Parks segment generates revenue primarily from ticket sales and guest spending at our Universal theme parks.
Corporate and Other
We are pursuing business development initiatives, such as our wireless phone service that we launched in the second quarter of 2017 using our virtual network operator rights to provide the service over Verizon’s wireless network and our existing network of in-home and outdoor Wi-Fi hotspots. We offer the wireless phone service only as part of our bundled service offerings to residential customers that subscribe to our high-speed Internet service within our cable distribution footprint and may in the future also offer wireless phone service to our small business customers on similar terms. The wireless phone service has success-based working capital requirements, primarily associated with the procurement of handsets, which customers are able to pay for upfront or finance interest-free over 24 months, and other equipment. 
Our other business interests consist of the operations of Comcast Spectacor, which owns the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania.
Competition
The results of operations of our reportable business segments are affected by competition, as all of our businesses operate in intensely competitive, consumer-driven and rapidly changing environments and compete with a growing number of companies that provide a broad range of communications products and services and entertainment, news and information content to consumers. Technological changes are further intensifying and complicating the competitive landscape and challenging existing business models. In particular, consumers are increasingly turning to online sources for viewing and purchasing content, which has and likely will continue to reduce the number of our video customers and subscribers to our cable networks even as it makes our high-speed Internet services more valuable to consumers. In addition, the increasing number of entertainment choices available has intensified audience fragmentation, which has and likely will continue to adversely affect the audience ratings of our cable networks and broadcast television programming.
For additional information on the competition our businesses face, see our 2017 Annual Report on Form 10-K and refer to Item 1: Business and Item 1A: Risk Factors. Within the Business section, refer to the “Competition” discussion, and within the Risk Factors section, refer to the risk factors entitled “Our businesses currently face a wide range of competition, and our businesses and results of operations could be adversely affected if we do not compete effectively” and “Changes in consumer behavior driven by online distribution platforms for viewing content could adversely affect our businesses and challenge existing business models.”
Seasonality and Cyclicality
Each of our businesses is subject to seasonal and cyclical variations. In our Cable Communications segment, our results are impacted by the seasonal nature of residential customers receiving our cable services in college and vacation markets. This generally results in fewer net customer relationship additions in the second quarter of each year.
Revenue in our Cable Communications, Cable Networks and Broadcast Television segments is subject to cyclical advertising patterns and changes in viewership levels. Advertising revenue in the U.S. is generally higher in the second and fourth quarters of each year, due in part to increases in consumer advertising in the spring and in the period leading up to and including the holiday season. Advertising revenue in the U.S. is also cyclical, with a benefit in even-numbered years due to advertising related to candidates running for political office and issue-oriented advertising. Revenue in our Cable Networks and Broadcast Television segments fluctuates depending on the timing of when our programming is aired, which typically results in higher advertising revenue in the second and fourth quarters of each year. Our revenue and operating costs and expenses (comprised of total costs and expenses, excluding depreciation and amortization expense and other operating gains) are cyclical as a result of our periodic broadcasts of major sporting events, such as the Olympic Games, which affect our Cable Networks and Broadcast Television segments, and the Super Bowl, which affects our Broadcast Television segment. In particular, our advertising revenue increases

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due to increased demand for advertising time and our distribution revenue increases in the period of these broadcasts. Our operating costs and expenses also increase as a result of our production costs for these broadcasts and the amortization of the related rights fees.
Revenue in our Filmed Entertainment segment fluctuates due to the timing, nature and number of films released in movie theaters, on DVDs, and through various other distribution platforms. Release dates are determined by several factors, including competition and the timing of vacation and holiday periods. As a result, revenue tends to be seasonal, with increases experienced each year during the summer months and around the holiday season. Content licensing revenue in our Cable Networks, Broadcast Television and Filmed Entertainment segments also fluctuates due to the timing of when our content is made available to licensees.
Revenue in our Theme Parks segment fluctuates with changes in theme park attendance that result from the seasonal nature of vacation travel and weather variations, local entertainment offerings and the opening of new attractions, as well as with changes in currency exchange rates. Our theme parks generally experience peak attendance during the spring holiday period, the summer months when schools are closed and the holiday season.
Consolidated Operating Results

 	Three Months Ended
September 30	 	Increase/
(Decrease)	 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	  	
 	 	2018	 	2017	 	  	
 	
Revenue	$	22,135	
 	 	$	21,081	
 	 	5.0	 %	 	$	66,661	
 	 	$	62,954	
 	 	5.9	 %	
Costs and Expenses:	 	 	 	 	 	 	 	 	 	 	 	
Programming and production	6,711	
 	 	6,059	
 	 	10.8	
 	 	20,440	
 	 	18,450	
 	 	10.8	
 	
Other operating and administrative	6,444	
 	 	6,535	
 	 	(1.4	)	 	19,323	
 	 	18,642	
 	 	3.7	
 	
Advertising, marketing and promotion	1,667	
 	 	1,604	
 	 	3.9	
 	 	4,924	
 	 	4,894	
 	 	0.6	
 	
Depreciation	2,038	
 	 	1,991	
 	 	2.4	
 	 	6,070	
 	 	5,876	
 	 	3.3	
 	
Amortization	580	
 	 	555	
 	 	4.9	
 	 	1,750	
 	 	1,645	
 	 	6.5	
 	
Other operating gains	(141	)	 	(442	)	 	(67.9	)	 	(341	)	 	(442	)	 	(22.7	)	
Operating income	4,836	
 	 	4,779	
 	 	1.2	
 	 	14,495	
 	 	13,889	
 	 	4.4	
 	
Interest expense	(830	)	 	(766	)	 	8.4	
 	 	(2,413	)	 	(2,279	)	 	5.9	
 	
Investment and other income (loss), net	(111	)	 	70	
 	 	(256.2	)	 	92	
 	 	299	
 	 	(69.1	)	
Income before income taxes	3,895	
 	 	4,083	
 	 	(4.6	)	 	12,174	
 	 	11,909	
 	 	2.2	
 	
Income tax expense	(999	)	 	(1,409	)	 	(29.1	)	 	(2,894	)	 	(4,038	)	 	(28.3	)	
Net income	2,896	
 	 	2,674	
 	 	8.3	
 	 	9,280	
 	 	7,871	
 	 	17.9	
 	
Less: Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	10	
 	 	32	
 	 	(70.9	)	 	60	
 	 	135	
 	 	(55.7	)	
Net income attributable to Comcast Corporation	$	2,886	
 	 	$	2,642	
 	 	9.3	 %	 	$	9,220	
 	 	$	7,736	
 	 	19.2	 %	
 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted EBITDA(a)	$	7,313	
 	 	$	7,133	
 	 	2.5	 %	 	$	21,974	
 	 	$	21,218	
 	 	3.6	 %	
All percentages are calculated based on actual amounts. Minor differences may exist due to rounding.
 	 	
(a)	Adjusted EBITDA is a non-GAAP financial measure. Refer to the “Non-GAAP Financial Measure” section on page 44 for additional information, including our definition and our use of Adjusted EBITDA, and for a reconciliation from net income attributable to Comcast Corporation to Adjusted EBITDA.	
Consolidated Revenue
Our Cable Communications, Cable Networks, Broadcast Television and Filmed Entertainment segments accounted for the increase in consolidated revenue for the three months ended September 30, 2018, which was partially offset by a decrease in revenue in our Theme Parks segment.
Our Cable Communications, Cable Networks, Broadcast Television and Theme Parks segments accounted for the increase in consolidated revenue for the nine months ended September 30, 2018, which were partially offset by a decrease in revenue in our Filmed Entertainment segment. Consolidated revenue for the nine months ended September 30, 2018 included revenue associated with our broadcasts of the 2018 PyeongChang Olympics and the 2018 Super Bowl in February 2018.

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Revenue for our segments is discussed separately below under the heading “Segment Operating Results.” Revenue for our business development initiatives and other businesses is discussed separately below under the heading “Corporate and Other Results of Operations.”
Consolidated Costs and Expenses
Our Cable Networks, Broadcast Television and Filmed Entertainment segments accounted for the increase in consolidated operating costs and expenses for the three months ended September 30, 2018.
Our Cable Communications, Cable Networks, Broadcast Television and Theme Parks segments accounted for the increase in consolidated operating costs and expenses for the nine months ended September 30, 2018, which were partially offset by decreases in operating costs and expenses in our Filmed Entertainment segment.
Operating costs and expenses for our segments are discussed separately below under the heading “Segment Operating Results.” Operating costs and expenses for our corporate operations, businesses development initiatives and other businesses are discussed separately below under the heading “Corporate and Other Results of Operations.”
Consolidated Depreciation and Amortization Expense

 	Three Months Ended
September 30	 	Increase/
(Decrease)	 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	  	 	2018	 	2017	 	  	
Cable Communications	$	2,071	
 	 	$	2,015	
 	 	2.8	%	 	$	6,171	
 	 	$	5,928	
 	 	4.1	%	
NBCUniversal	514	
 	 	507	
 	 	1.8	
 	 	1,577	
 	 	1,535	
 	 	2.9	
 	
Corporate and Other	33	
 	 	24	
 	 	37.0	
 	 	72	
 	 	58	
 	 	21.6	
 	
Total	$	2,618	
 	 	$	2,546	
 	 	2.9	%	 	$	7,820	
 	 	$	7,521	
 	 	4.0	%	
Consolidated depreciation and amortization expense increased for the three and nine months ended September 30, 2018 primarily due to increases in both capital expenditures and expenditures for software in our Cable Communications segment in recent years. We continue to invest in our network capacity and in customer premise equipment, primarily for our X1 platform, cloud DVR technology and wireless gateways. Certain of these assets have relatively short estimated useful lives, which also contributed to the increase in depreciation expense for the three and nine months ended September 30, 2018 in our Cable Communications segment.
Consolidated Other Operating Gains
Consolidated other operating gains for the three and nine months ended September 30, 2018 included $141 million related to the sale of a business in our Filmed Entertainment segment. The nine months ended September 30, 2018 also included $200 million related to the sale of a controlling interest in our arena management-related businesses in Corporate and Other (see Note 9 to Comcast’s condensed consolidated financial statements). Consolidated other operating gains for both the three and nine months ended September 30, 2017 included $337 million related to NBCUniversal’s relinquishment of spectrum rights (see Note 6 to Comcast’s condensed consolidated financial statements and Note 5 to NBCUniversal’s condensed consolidated financial statements) and $105 million related to the sale of a business in Corporate and other (see Note 9 to Comcast’s condensed consolidated financial statements).
Segment Operating Results
Our segment operating results are presented based on how we assess operating performance and internally report financial information. We use Adjusted EBITDA as the measure of profit or loss for our operating segments. See Note 2 to both Comcast’s and NBCUniversal’s condensed consolidated financial statements for our definition of Adjusted EBITDA and a reconciliation from the aggregate amount of Adjusted EBITDA for our reportable business segments to consolidated income before income taxes.
To be consistent with our current management reporting presentation, certain 2017 operating results were reclassified within the Cable Communications segment.

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Cable Communications Segment Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	 	%	
Revenue	 	 	 	 	 	 	 	
Residential:	 	 	 	 	 	 	 	
Video	$	5,591	
 	 	$	5,760	
 	 	$	(169	)	 	(2.9	)%	
High-speed Internet	4,321	
 	 	3,942	
 	 	379	
 	 	9.6	
 	
Voice	982	
 	 	1,013	
 	 	(31	)	 	(3.1	)	
Business services	1,803	
 	 	1,629	
 	 	174	
 	 	10.6	
 	
Advertising	684	
 	 	594	
 	 	90	
 	 	15.2	
 	
Other	406	
 	 	401	
 	 	5	
 	 	1.1	
 	
Total revenue	13,787	
 	 	13,339	
 	 	448	
 	 	3.4	
 	
Operating costs and expenses	 	 	 	 	 	 	 	
Programming	3,309	
 	 	3,264	
 	 	45	
 	 	1.4	
 	
Technical and product support	1,624	
 	 	1,602	
 	 	22	
 	 	1.3	
 	
Customer service	595	
 	 	626	
 	 	(31	)	 	(4.9	)	
Advertising, marketing and promotion	935	
 	 	952	
 	 	(17	)	 	(1.8	)	
Franchise and other regulatory fees	389	
 	 	398	
 	 	(9	)	 	(2.4	)	
Other	1,320	
 	 	1,281	
 	 	39	
 	 	3.1	
 	
Total operating costs and expenses	8,172	
 	 	8,123	
 	 	49	
 	 	0.6	
 	
Adjusted EBITDA	$	5,615	
 	 	$	5,216	
 	 	$	399	
 	 	7.6	 %	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	 	%	
Revenue	 	 	 	 	 	 	 	
Residential:	 	 	 	 	 	 	 	
Video	$	16,878	
 	 	$	17,206	
 	 	$	(328	)	 	(1.9	)%	
High-speed Internet	12,740	
 	 	11,682	
 	 	1,058	
 	 	9.1	
 	
Voice	2,982	
 	 	3,081	
 	 	(99	)	 	(3.2	)	
Business services	5,290	
 	 	4,757	
 	 	533	
 	 	11.2	
 	
Advertising	1,932	
 	 	1,774	
 	 	158	
 	 	8.9	
 	
Other	1,193	
 	 	1,146	
 	 	47	
 	 	4.1	
 	
Total revenue	41,015	
 	 	39,646	
 	 	1,369	
 	 	3.5	
 	
Operating costs and expenses	

 	 	
 	
Programming	9,947	
 	 	9,698	
 	 	249	
 	 	2.6	
 	
Technical and product support	4,823	
 	 	4,681	
 	 	142	
 	 	3.0	
 	
Customer service	1,802	
 	 	1,850	
 	 	(48	)	 	(2.6	)	
Advertising, marketing and promotion	2,802	
 	 	2,779	
 	 	23	
 	 	0.9	
 	
Franchise and other regulatory fees	1,178	
 	 	1,196	
 	 	(18	)	 	(1.5	)	
Other	3,795	
 	 	3,759	
 	 	36	
 	 	0.9	
 	
Total operating costs and expenses	24,347	
 	 	23,963	
 	 	384	
 	 	1.6	
 	
Adjusted EBITDA	$	16,668	
 	 	$	15,683	
 	 	$	985	
 	 	6.3	 %	

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Customer Metrics

 	Total Customers	Net Additional Customers	
 	September 30	Three Months Ended
September 30	Nine Months Ended
September 30	
(in thousands, except per customer amounts)	2018	2017	2018	2017	2018	2017	
Customer relationships	 	 	 	 	 	 	
Residential customer relationships	27,817	
 	26,957	
 	258	
 	83	
 	649	
 	424	
 	
Business services customer relationships	2,274	
 	2,146	
 	30	
 	31	
 	94	
 	102	
 	
Total customer relationships	30,091	
 	29,104	
 	288	
 	115	
 	744	
 	527	
 	
Residential customer relationships mix	 	 	 	 	 	 	
Single product customers	8,912	
 	8,055	
 	284	
 	125	
 	716	
 	299	
 	
Double product customers	9,045	
 	8,983	
 	(9	)	38	
 	(12	)	186	
 	
Triple and quad product customers	9,860	
 	9,919	
 	(17	)	(79	)	(55	)	(61	)	
Video	 	 	 	 	 	 	
Residential customers	20,978	
 	21,341	
 	(95	)	(134	)	(325	)	(147	)	
Business services customers	1,037	
 	1,049	
 	(11	)	9	
 	(17	)	30	
 	
Total video customers	22,015	
 	22,390	
 	(106	)	(125	)	(342	)	(118	)	
High-speed Internet	 	 	 	 	 	 	
Residential customers	24,774	
 	23,546	
 	334	
 	182	
 	910	
 	718	
 	
Business services customers	2,098	
 	1,974	
 	29	
 	32	
 	92	
 	100	
 	
Total high-speed Internet customers	26,871	
 	25,519	
 	363	
 	214	
 	1,002	
 	818	
 	
Voice	 	 	 	 	 	 	
Residential customers	10,164	
 	10,351	
 	(49	)	(119	)	(151	)	(195	)	
Business services customers	1,283	
 	1,214	
 	13	
 	25	
 	46	
 	74	
 	
Total voice customers	11,447	
 	11,565	
 	(35	)	(94	)	(105	)	(122	)	
Security and automation	 	 	 	 	 	 	
Security and automation customers	1,277	
 	1,079	
 	42	
 	51	
 	147	
 	188	
 	
Customer metrics are presented based on actual amounts. Minor differences may exist due to rounding. Customer relationships represent the number of residential and business customers that subscribe to at least one of our cable services. Single product, double product, and triple and quad product customers represent residential customers that subscribe to one, two, or three and four of our cable services, respectively. For multiple dwelling units (“MDUs”), including buildings located on college campuses, whose residents have the ability to receive additional cable services, such as additional programming choices or our high-definition video (“HD”) or digital video recorder (“DVR”) advanced services, we count and report customers based on the number of potential billable relationships within each MDU. For MDUs whose residents are not able to receive additional cable services, the MDU is counted as a single customer. Residential video and high-speed Internet customers as of September 30, 2018 included prepaid customers totaling approximately 5,000 and 119,000, respectively.
Average monthly total revenue per customer relationship for the three and nine months ended September 30, 2018 was $153.46 and $153.34, respectively. Average monthly total revenue per customer relationship for the three and nine months ended September 30, 2017 was $153.08 and $152.74, respectively. This metric is impacted by rate adjustments and changes in the types and levels of services received by our residential and business services customers, as well as changes in advertising revenue. While revenue from our residential video, high-speed Internet and voice services are also impacted by changes in the allocation of revenue among services sold in a bundle, the allocation does not impact average monthly total revenue per customer relationship.
Average monthly Adjusted EBITDA per customer relationship for the three and nine months ended September 30, 2018 was $62.49 and $62.32, respectively. Average monthly Adjusted EBITDA per customer relationship for the three and nine months ended September 30, 2017 was $59.86 and $60.42, respectively. Each of our cable services has a different contribution to operating margin. We use average monthly Adjusted EBITDA per customer relationship to evaluate the profitability of our customer base across all of our service offerings. We believe this metric is useful particularly as we continue to focus on growing our higher-margin businesses, including residential high-speed Internet and business services.
Cable Communications Segment—Revenue
Video
Video revenue decreased 2.9% and 1.9% for the three and nine months ended September 30, 2018, respectively, compared to the same periods in 2017. The decreases were primarily due to declines in the number of residential video customers, revenue associated with a boxing event available on pay-per-view in the prior year periods and, to a lesser extent, changes in average video rates. We have experienced, and expect that we will continue to experience, declines in the number of residential video customers due to competitive pressures, and we expect that our video revenue will continue to decline. Competition is intense, both from traditional multichannel video providers and from new technologies and distribution platforms for viewing content. We are responding to

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this competition through our X1 platform and sales and marketing programs, such as promotions, bundled service offerings and service offerings targeted at specific market segments.
High-Speed Internet
High-speed Internet revenue increased 9.6% and 9.1% for the three and nine months ended September 30, 2018, respectively, compared to the same periods in 2017. Increases in the number of residential customers receiving our high-speed Internet services accounted for increases in revenue of 4.9% for both the three and nine months ended September 30, 2018. The remaining increases in revenue for the three and nine months ended September 30, 2018 were primarily due to changes in average high-speed Internet rates. Our customer base continues to grow as consumers choose our high-speed Internet services and seek offerings with better speed, coverage and control.
Voice
Voice revenue decreased 3.1% and 3.2% for the three and nine months ended September 30, 2018, respectively, compared to the same periods in 2017 primarily due to decreases in the number of residential voice customers. We expect that the number of residential voice customers and voice revenue will continue to decline.
Business Services
Business services revenue increased 10.6% and 11.2% for the three and nine months ended September 30, 2018, respectively, compared to the same periods in 2017. The increases were primarily due to increases in the number of customers receiving our small and medium-sized business services offerings and rate adjustments. We believe the increases in the number of business customers are primarily the result of our efforts to gain market share from competitors by offering competitive services and pricing, although the rate of growth in the number of our small business customers may slow as the business matures.
Advertising
Advertising revenue increased 15.2% and 8.9% for the three and nine months ended September 30, 2018, respectively, compared to the same periods in 2017 primarily due to increases in political advertising revenue. Excluding political advertising revenue, advertising revenue was flat for the three months ended September 30, 2018 and increased 1.1% for the nine months ended September 30, 2018, compared to the same periods in 2017. The increase for the nine months ended September 30, 2018 was primarily due to increases in revenue from our advanced advertising business.
For both the three and nine months ended September 30, 2018, 4% of our Cable Communications segment advertising revenue was generated from our NBCUniversal segments. For both the three and nine months ended September 30, 2017, 5% of our Cable Communications segment advertising revenue was generated from our NBCUniversal segments. These amounts are eliminated in our condensed consolidated financial statements but are included in the amounts presented above.
Other
Other revenue increased 1.1% and 4.1% for the three and nine months ended September 30, 2018, respectively, compared to the same periods in 2017. The increase for the nine months ended September 30, 2018 was primarily due to the increase in revenue from our security and automation services.
Cable Communications Segment—Operating Costs and Expenses
Programming expenses increased for the three and nine months ended September 30, 2018 compared to the same periods in 2017 primarily due to increases in programming license fees, including retransmission consent fees and sports programming costs, which was partially offset by fees associated with a boxing event available on pay-per-view in the prior year periods.
Technical and product support expenses increased for the three and nine months ended September 30, 2018 compared to the same periods in 2017 primarily due to expenses related to the continued development, deployment and support of our X1 platform, cloud DVR technology and wireless gateways, and continued growth in business services and security and automation services.
Customer service expenses decreased for the three and nine months ended September 30, 2018 compared to the same periods in 2017 primarily due to lower personnel costs as a result of reduced call volumes.
Advertising, marketing and promotion expenses decreased for the three months ended September 30, 2018 compared to the same period in 2017 primarily due to a reduction in marketing spending. Advertising, marketing and promotion expenses remained flat for the nine months ended September 30, 2018 compared to the same period in 2017.
Franchise and other regulatory fees decreased for the three and nine months ended September 30, 2018 compared to the same periods in 2017 primarily due to decreases in the revenue to which the fees apply.

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Other costs and expenses increased for the three months ended September 30, 2018 compared to the same period in 2017 primarily due to increases in costs to support our advertising sales business. Other costs and expenses remained flat for the nine months ended September 30, 2018 compared to the same period in 2017.
Cable Communications Segment—Operating Margin
Our Cable Communications segment operating margin is Adjusted EBITDA as a percentage of revenue. The most significant operating costs and expenses for our Cable Communications segment are the programming expenses we incur to provide content to our video customers, which increased 1.4% and 2.6% for the three and nine months ended September 30, 2018, respectively.
Our Cable Communications segment operating margin for the three months ended September 30, 2018 and 2017 was 40.7% and 39.1%, respectively. Our Cable Communications segment operating margin for the nine months ended September 30, 2018 and 2017 was 40.6% and 39.6%, respectively. Adjusted EBITDA was negatively impacted by two hurricanes that affected our service areas in the third quarter of 2017. We will continue to focus on growing our higher-margin businesses, particularly residential high-speed Internet and business services, and on overall operating cost management.
NBCUniversal Segments Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Cable Networks	$	2,884	
 	 	$	2,603	
 	 	$	281	
 	10.8	 %	
Broadcast Television	2,452	
 	 	2,125	
 	 	327	
 	15.4	
 	
Filmed Entertainment	1,819	
 	 	1,753	
 	 	66	
 	3.8	
 	
Theme Parks	1,528	
 	 	1,550	
 	 	(22	)	(1.4	)	
Headquarters, other and eliminations	(58	)	 	(55	)	 	(3	)	NM	
 	
Total revenue	$	8,625	
 	 	$	7,976	
 	 	$	649	
 	8.1	 %	
Adjusted EBITDA	 	 	 	 	 	 	
Cable Networks	$	968	
 	 	$	906	
 	 	$	62	
 	6.9	 %	
Broadcast Television	321	
 	 	316	
 	 	5	
 	1.8	
 	
Filmed Entertainment	214	
 	 	383	
 	 	(169	)	(44.2	)	
Theme Parks	725	
 	 	775	
 	 	(50	)	(6.5	)	
Headquarters, other and eliminations	(162	)	 	(123	)	 	(39	)	NM	
 	
Total Adjusted EBITDA	$	2,066	
 	 	$	2,257	
 	 	$	(191	)	(8.5	)%	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Cable Networks	$	8,994	
 	 	$	7,939	
 	 	$	1,055	
 	13.3	 %	
Broadcast Television	8,340	
 	 	6,574	
 	 	1,766	
 	26.9	
 	
Filmed Entertainment	5,176	
 	 	5,862	
 	 	(686	)	(11.7	)	
Theme Parks	4,170	
 	 	3,982	
 	 	188	
 	4.7	
 	
Headquarters, other and eliminations	(212	)	 	(210	)	 	(2	)	NM	
 	
Total revenue	$	26,468	
 	 	$	24,147	
 	 	$	2,321	
 	9.6	 %	
Adjusted EBITDA	 	 	 	 	 	 	
Cable Networks	$	3,422	
 	 	$	3,076	
 	 	$	346	
 	11.3	 %	
Broadcast Television	1,245	
 	 	1,054	
 	 	191	
 	18.2	
 	
Filmed Entertainment	555	
 	 	1,041	
 	 	(486	)	(46.7	)	
Theme Parks	1,789	
 	 	1,723	
 	 	66	
 	3.8	
 	
Headquarters, other and eliminations	(500	)	 	(544	)	 	44	
 	NM	
 	
Total Adjusted EBITDA	$	6,511	
 	 	$	6,350	
 	 	$	161	
 	2.5	 %	
Percentage changes that are considered not meaningful are denoted with NM.

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Cable Networks Segment Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Distribution	$	1,680	
 	 	$	1,533	
 	 	$	147	
 	9.5	 %	
Advertising	820	
 	 	787	
 	 	33	
 	4.2	
 	
Content licensing and other	384	
 	 	283	
 	 	101	
 	36.1	
 	
Total revenue	2,884	
 	 	2,603	
 	 	281	
 	10.8	
 	
Operating costs and expenses	 	 	 	 	 	 	
Programming and production	1,410	
 	 	1,219	
 	 	191	
 	15.7	
 	
Other operating and administrative	372	
 	 	343	
 	 	29	
 	8.3	
 	
Advertising, marketing and promotion	134	
 	 	135	
 	 	(1	)	(1.2	)	
Total operating costs and expenses	1,916	
 	 	1,697	
 	 	219	
 	12.9	
 	
Adjusted EBITDA	$	968	
 	 	$	906	
 	 	$	62	
 	6.9	 %	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Distribution	$	5,251	
 	 	$	4,645	
 	 	$	606	
 	13.0	 %	
Advertising	2,746	
 	 	2,519	
 	 	227	
 	9.0	
 	
Content licensing and other	997	
 	 	775	
 	 	222	
 	28.7	
 	
Total revenue	8,994	
 	 	7,939	
 	 	1,055	
 	13.3	
 	
Operating costs and expenses	 	 	 	 	 	 	
Programming and production	4,082	
 	 	3,499	
 	 	583	
 	16.7	
 	
Other operating and administrative	1,116	
 	 	989	
 	 	127	
 	12.8	
 	
Advertising, marketing and promotion	374	
 	 	375	
 	 	(1	)	(0.4	)	
Total operating costs and expenses	5,572	
 	 	4,863	
 	 	709	
 	14.6	
 	
Adjusted EBITDA	$	3,422	
 	 	$	3,076	
 	 	$	346	
 	11.3	 %	
Cable Networks Segment—Revenue
Cable Networks revenue increased for the three months ended September 30, 2018 compared to the same period in 2017 due to increases in distribution revenue, content licensing and other revenue, and advertising revenue. The increase in distribution revenue was primarily due to increases in the contractual rates charged under distribution agreements and the timing of contract renewals, which were partially offset by a decline in the number of subscribers at our cable networks. The increase in content licensing and other revenue was primarily due to the timing of content provided under our licensing agreements. The increase in advertising revenue was primarily due to higher prices for advertising units sold, which was partially offset by the impact of continued declines in audience ratings at our networks.
Cable Networks revenue increased for the nine months ended September 30, 2018 compared to the same period in 2017 due to increases in distribution revenue, advertising revenue, and content licensing and other revenue. The increase in distribution revenue was primarily due to $236 million of revenue associated with our broadcast of the 2018 PyeongChang Olympics. The increase in distribution revenue was also due to increases in the contractual rates charged under distribution agreements and the timing of contract renewals, which were partially offset by a decline in the number of subscribers at our cable networks. The increase in advertising revenue was primarily due to $142 million of revenue associated with our broadcast of the 2018 PyeongChang Olympics. The increase in advertising revenue was also due to higher prices for advertising units sold, which was partially offset by the impact of continued declines in audience ratings at our networks. The increase in content licensing and other revenue was primarily due to the timing of content provided under our licensing agreements. Excluding $378 million of revenue associated with our broadcast of the 2018 PyeongChang Olympics, Cable Networks segment revenue increased 8.5% for the nine months ended September 30, 2018.
For both the three and nine months ended September 30, 2018 and 2017, 15% of our Cable Networks segment revenue was generated from our Cable Communications segment. These amounts are eliminated in our condensed consolidated financial statements but are included in the amounts presented above.

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Cable Networks Segment—Operating Costs and Expenses
Operating costs and expenses increased for the three months ended September 30, 2018 compared to the same period in 2017 primarily due to increases in programming and production costs. The increase in programming and production costs was primarily due to increases in sports programming rights and our continued investment in original programming and an increase in studio production costs.
Operating costs and expenses increased for the nine months ended September 30, 2018 compared to the same period in 2017 primarily due to increases in programming and production costs and other operating and administrative costs. The increase in programming and production costs was primarily driven by our broadcast of the 2018 PyeongChang Olympics, as well as costs related to our continued investment in original programming and an increase in studio production costs. The increase in other operating and administrative costs was primarily due to costs related to our various digital properties, employee-related costs and costs related to our international channels.
Broadcast Television Segment Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Advertising	$	1,355	
 	 	$	1,241	
 	 	$	114	
 	9.2	 %	
Content licensing	538	
 	 	432	
 	 	106	
 	24.7	
 	
Distribution and other	559	
 	 	452	
 	 	107	
 	23.9	
 	
Total revenue	2,452	
 	 	2,125	
 	 	327	
 	15.4	
 	
Operating costs and expenses	 	 	 	 	 	 	
Programming and production	1,640	
 	 	1,340	
 	 	300	
 	22.4	
 	
Other operating and administrative	373	
 	 	336	
 	 	37	
 	11.4	
 	
Advertising, marketing and promotion	118	
 	 	133	
 	 	(15	)	(11.9	)	
Total operating costs and expenses	2,131	
 	 	1,809	
 	 	322	
 	17.8	
 	
Adjusted EBITDA	$	321	
 	 	$	316	
 	 	$	5	
 	1.8	 %	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Advertising	$	5,107	
 	 	$	3,790	
 	 	$	1,317	
 	34.7	 %	
Content licensing	1,541	
 	 	1,458	
 	 	83	
 	5.7	
 	
Distribution and other	1,692	
 	 	1,326	
 	 	366	
 	27.6	
 	
Total revenue	8,340	
 	 	6,574	
 	 	1,766	
 	26.9	
 	
Operating costs and expenses	 	 	 	 	 	 	
Programming and production	5,604	
 	 	4,124	
 	 	1,480	
 	35.9	
 	
Other operating and administrative	1,129	
 	 	1,021	
 	 	108	
 	10.5	
 	
Advertising, marketing and promotion	362	
 	 	375	
 	 	(13	)	(3.4	)	
Total operating costs and expenses	7,095	
 	 	5,520	
 	 	1,575	
 	28.5	
 	
Adjusted EBITDA	$	1,245	
 	 	$	1,054	
 	 	$	191	
 	18.2	 %	
Broadcast Television Segment—Revenue
Broadcast Television revenue increased for the three months ended September 30, 2018 compared to the same period in 2017 due to increases in advertising revenue, distribution and other revenue, and content licensing revenue. The increase in advertising revenue was due to higher prices for advertising units sold and due to revenue associated with Telemundo’s broadcast of the 2018 FIFA World Cup Russia ™ , which was partially offset by the impact of continued declines in audience ratings. The increase in distribution and other revenue was primarily due to increases in fees recognized under our retransmission consent agreements. The increase in content licensing revenue was primarily due to timing of content provided under our licensing agreements.
Broadcast Television revenue increased for the nine months ended September 30, 2018 compared to the same period in 2017 due to increases in advertising revenue, distribution and other revenue and content licensing revenue. The increase in advertising revenue was primarily due to $1.1 billion of revenue associated with our broadcasts of the 2018 PyeongChang Olympics and the 2018 Super Bowl. The increase in advertising revenue was also due to higher prices for advertising units sold, which was partially offset by the impact of continued declines in audience ratings. The increase in distribution and other revenue was primarily due

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to increases in fees recognized under our retransmission consent agreements. The increase in distribution and other revenue was also due to $112 million of revenue associated with our broadcast of the 2018 PyeongChang Olympics. The increase in content licensing revenue was primarily due to the timing of content provided under our licensing agreements. Excluding $1.2 billion of revenue associated with our broadcasts of the 2018 PyeongChang Olympics and the 2018 Super Bowl, revenue increased 8.7% for the nine months ended September 30, 2018.
Broadcast Television Segment—Operating Costs and Expenses
Operating costs and expenses increased for the three months ended September 30, 2018 compared to the same period in 2017 primarily due to higher programming and production costs associated with Telemundo’s broadcast of the 2018 FIFA World Cup Russia ™  and higher studio production costs.
Operating costs and expenses increased for the nine months ended September 30, 2018 compared to the same period in 2017 primarily due to higher programming and production costs. The increase in programming and production costs was primarily due to costs associated with our broadcasts of the 2018 PyeongChang Olympics and the 2018 Super Bowl.
Filmed Entertainment Segment Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Theatrical	$	601	
 	 	$	515	
 	 	$	86	
 	16.7	 %	
Content licensing	719	
 	 	662	
 	 	57	
 	8.6	
 	
Home entertainment	260	
 	 	299	
 	 	(39	)	(13.1	)	
Other	239	
 	 	277	
 	 	(38	)	(13.3	)	
Total revenue	1,819	
 	 	1,753	
 	 	66	
 	3.8	
 	
Operating costs and expenses	 	 	 	 	 	 	
Programming and production	914	
 	 	773	
 	 	141	
 	18.2	
 	
Other operating and administrative	267	
 	 	282	
 	 	(15	)	(5.0	)	
Advertising, marketing and promotion	424	
 	 	315	
 	 	109	
 	34.6	
 	
Total operating costs and expenses	1,605	
 	 	1,370	
 	 	235	
 	17.2	
 	
Adjusted EBITDA	$	214	
 	 	$	383	
 	 	$	(169	)	(44.2	)%	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	 	 	 	 	 	 	
Theatrical	$	1,564	
 	 	$	2,003	
 	 	$	(439	)	(21.9	)%	
Content licensing	2,100	
 	 	2,080	
 	 	20	
 	1.0	
 	
Home entertainment	733	
 	 	919	
 	 	(186	)	(20.3	)	
Other	779	
 	 	860	
 	 	(81	)	(9.3	)	
Total revenue	5,176	
 	 	5,862	
 	 	(686	)	(11.7	)	
Operating costs and expenses	 	 	 	 	 	 	
Programming and production	2,492	
 	 	2,712	
 	 	(220	)	(8.1	)	
Other operating and administrative	869	
 	 	936	
 	 	(67	)	(7.1	)	
Advertising, marketing and promotion	1,260	
 	 	1,173	
 	 	87	
 	7.4	
 	
Total operating costs and expenses	4,621	
 	 	4,821	
 	 	(200	)	(4.1	)	
Adjusted EBITDA	$	555	
 	 	$	1,041	
 	 	$	(486	)	(46.7	)%	
Filmed Entertainment Segment—Revenue
Filmed Entertainment revenue increased for the three months ended September 30, 2018 compared to the same period in 2017 due to increases in theatrical revenue and content licensing revenue, which were partially offset by decreases in home entertainment revenue and other revenue. The increase in theatrical revenue was primarily due to the timing and performance of releases in the current year period, including  Mamma Mia! Here We Go Again  and  Jurassic World: Fallen Kingdom , which were partially offset by successful releases in the prior year period, including  Despicable Me 3 . The increase in content licensing revenue was primarily due to the timing of when content was made available under licensing agreements. The decrease in home entertainment revenue was primarily due to higher sales of 2017 releases, including  The Fate of the Furious , which were partially offset by sales of 2018

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releases, including Jurassic World: Fallen Kingdom. The decrease in other revenue was primarily due to the sale of a business in the current year period.
Filmed Entertainment revenue decreased for the nine months ended September 30, 2018 compared to the same period in 2017 due to decreases in theatrical revenue, home entertainment revenue and other revenue, which were partially offset by an increase in content licensing revenue. Theatrical revenue decreased due to the strong performances of several releases in our 2017 film slate, including  The Fate of the Furious  and  Despicable Me 3,  which was partially offset by performances of several releases in our 2018 film slate, including  Jurassic World: Fallen Kingdom  and  Mamma Mia! Here We Go Again . Home entertainment revenue decreased primarily due to higher sales of 2017 releases in the prior year period, including  Sing  and  The Fate of the Furious , which were partially offset by sales of 2018 releases, including  Jurassic World: Fallen Kingdom.  The decrease in other revenue was primarily due to decreases in revenue as a result of the sale of a business and a decrease in revenue from consumer products. Content licensing revenue increased primarily due to the timing of when content was made available under licensing agreements.
Filmed Entertainment Segment—Operating Costs and Expenses
Operating costs and expenses increased for the three months ended September 30, 2018 compared to the same period in 2017 due to increases in programming and production costs and advertising, marketing and promotion expenses, which were partially offset by a decrease in other operating and administrative expenses. The increase in programming and production costs was primarily due to higher amortization of film production costs in the current year period. The increase in advertising, marketing and promotion expenses was primarily due to a higher number of releases in the current year period as compared to the prior year period and increased marketing in the current year period relating to future releases. The decrease in other operating and administrative expenses was primarily due to the sale of a business in the current year period.
Operating costs and expenses decreased for the nine months ended September 30, 2018 compared to the same period in 2017 primarily due to decreases in programming and production costs and other operating and administrative expenses, which were partially offset by an increase in advertising, marketing and promotion expenses. The decrease in programming and production costs was primarily due to higher amortization of film production costs in the prior year period compared to the current year period. The decrease in other operating and administrative expenses was primarily due to a reduction in employee-related costs and the sale of a business in the current year period. The increase in advertising, marketing and promotion expenses was primarily related to increased marketing in the current year period relating to future releases.
Theme Parks Segment Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	$	1,528	
 	 	$	1,550	
 	 	$	(22	)	(1.4	)%	
Operating costs and expenses	803	
 	 	775	
 	 	28	
 	3.7	
 	
Adjusted EBITDA	$	725	
 	 	$	775	
 	 	$	(50	)	(6.5	)%	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	$	4,170	
 	 	$	3,982	
 	 	$	188	
 	4.7	%	
Operating costs and expenses	2,381	
 	 	2,259	
 	 	122	
 	5.4	
 	
Adjusted EBITDA	$	1,789	
 	 	$	1,723	
 	 	$	66	
 	3.8	%	
Theme Parks Segment—Revenue
Theme Parks revenue decreased for the three months ended September 30, 2018 compared to the same period in 2017 primarily as a result of lower attendance driven by inclement weather conditions and natural disasters in Japan.
Theme Parks revenue increased for the nine months ended September 30, 2018 compared to the same period in 2017 primarily due to higher guest spending, driven by increased ticket prices and merchandise, food and beverage spend, partially offset by the impact of inclement weather conditions and natural disasters in Japan.
Theme Parks Segment—Operating Costs and Expenses
Operating costs and expenses increased for the three and nine months ended September 30, 2018 compared to the same periods in 2017 primarily due to higher operating costs related to newer rides and attractions, and for  Volcano Bay TM  in Orlando, which was partially offset by the impact of inclement weather conditions and natural disasters in Japan.

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Corporate and Other Results of Operations

 	Three Months Ended
September 30	 	Increase/
(Decrease)	
(in millions)	2018	 	2017	 	$	%	
Revenue	$	276	
 	
 	$	266	
 	
 	$	10	
 	4.2	 %	
Operating costs and expenses	654	
 	
 	865	
 	
 	(211	)	(24.4	)	
Adjustment for legal settlement	—	
 	 	(250	)	 	250	
 	NM	
 	
Adjusted EBITDA	$	(378	)	
 	$	(349	)	
 	$	(29	)	(8.1	)%	
 	 	 	 	 	 	 	
 	Nine Months Ended
September 30	
 	Increase/
(Decrease)	
(in millions)	2018	
 	2017	
 	$	%	
Revenue	$	922	
 	
 	$	679	
 	
 	$	243	
 	35.8	 %	
Operating costs and expenses	2,089	
 	
 	1,774	
 	
 	315	
 	17.8	
 	
Adjustment for legal settlement	—	
 	 	(250	)	 	250	
 	NM	
 	
Adjusted EBITDA	$	(1,167	)	
 	$	(845	)	
 	$	(322	)	(38.1	)%	
Corporate and Other—Revenue
Other revenue primarily relates to revenue from business development initiatives, such as our wireless phone service that we launched in 2017, and from Comcast Spectacor, which owns the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania.
Corporate and Other revenue increased for the three and nine months ended September 30, 2018 primarily due to revenue associated with our wireless phone service, which was partially offset by decreases in revenue due to sales of businesses in the second quarter of 2018 and the third quarter of 2017.
Corporate and Other—Operating Costs and Expenses
Corporate and Other operating costs and expenses primarily include overhead, personnel costs, the costs of other business development initiatives, including our wireless phone service, and operating costs and expenses associated with Comcast Spectacor.
Corporate and Other operating costs and expenses decreased for the three months ended September 30, 2018 primarily due to sales of businesses in the second quarter of 2018 and the third quarter of 2017, partially offset by increased expenses associated with our wireless phone service and transaction-related costs associated with the Sky transaction.
Corporate and Other operating costs and expenses increased for the nine months ended September 30, 2018 primarily due to expenses associated with our wireless phone service and transaction-related costs associated with the Sky transaction, which were partially offset by declines in operating costs and expenses due to sales of businesses in the second quarter of 2018 and the third quarter of 2017. Corporate and Other Adjusted EBITDA excludes $250 million of expenses related to a legal settlement in the prior year periods.
Consolidated Interest Expense
Interest expense increased for the three and nine months ended September 30, 2018 compared to the same periods in 2017 primarily due to increases in our debt outstanding and included $34 million and $45 million of costs associated with the financing of the Sky transaction for the three and nine months ended September 30, 2018, respectively.
Consolidated Investment and Other Income (Loss), Net

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Equity in net income (losses) of investees, net	$	(76	)	 	$	(39	)	 	$	(56	)	 	$	12	
 	
Realized and unrealized gains (losses) on equity securities, net	(38	)	 	7	
 	 	(50	)	 	—	
 	
Other income (loss), net	3	
 	 	102	
 	 	198	
 	 	287	
 	
Total	$	(111	)	 	$	70	
 	 	$	92	
 	 	$	299	

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Equity in Net Income (Losses) of Investees, Net
The changes in equity in net income (losses) of investees, net for the three and nine months ended September 30, 2018 compared to the same periods in 2017 were primarily related to our equity method investments in Atairos and Hulu. The losses at Hulu were primarily due to higher programming, advertising and marketing costs, and higher other administrative expenses. The equity in net income (losses) of Atairos and Hulu for the three and nine months ended September 30, 2018 and 2017 are presented in the table below.

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Atairos	$	38	
 	 	$	7	
 	 	$	224	
 	 	$	106	
 	
Hulu	$	(132	)	 	$	(62	)	 	$	(370	)	 	$	(168	)	
Realized and Unrealized Gains (Losses) on Equity Securities, Net
The changes in realized and unrealized gains (losses) on equity securities, net for the three and nine months ended September 30, 2018 compared to the same periods in 2017 were primarily due to the adoption of updated accounting guidance for our marketable equity securities, which primarily relates to our investment in Snap (see Note 9).
Other Income (Loss), Net
Other income (loss), net for the three and nine months ended September 30, 2018 decreased compared to the same periods in 2017 as a result of the sale of an investment in March 2018. Other income (loss), net for the three months ended September 30, 2018 included $60 million of pretax losses on foreign exchange as a result of the remeasurement of sterling-denominated cash balances to be used in the Sky transaction in October 2018. Other income (loss), net for the nine months ended September 30, 2018 also included a $64 million pretax gain related to the sale of our investment in The Weather Channel cable network (see Note 9).
Consolidated Income Tax Expense
Income tax expense for the three and nine months ended September 30, 2018 and 2017 reflects an effective income tax rate that differs from the federal statutory rate primarily due to state and foreign income taxes and adjustments associated with uncertain tax positions. The decreases in income tax expense for the three and nine months ended September 30, 2018 compared to the same periods in 2017 were primarily due to the effects of the 2017 Tax Act, which were partially offset by higher taxable income from operations and $148 million of income tax expense due to state and federal tax law changes that were enacted in the third quarter of 2018. The 2017 Tax Act, among other things, reduced the federal corporate income tax rate to 21% from 35%, effective January 1, 2018. We also recognized an income tax benefit of $128 million during the first quarter of 2018 related to the enactment of additional federal tax legislation in 2018. 
Non-GAAP Financial Measure
Consolidated Adjusted EBITDA is a non-GAAP financial measure and is the primary basis used to measure the operational strength and performance of our businesses as well as to assist in the evaluation of underlying trends in our businesses. This measure eliminates the significant level of noncash depreciation and amortization expense that results from the capital-intensive nature of certain of our businesses and from intangible assets recognized in business combinations. It is also unaffected by our capital and tax structures, and by our investment activities, including the results of entities that we do not consolidate, as our management excludes these results when evaluating our operating performance. Our management and Board of Directors use this financial measure to evaluate our consolidated operating performance and the operating performance of our operating segments and to allocate resources and capital to our operating segments. It is also a significant performance measure in our annual incentive compensation programs. Additionally, we believe that Adjusted EBITDA is useful to investors because it is one of the bases for comparing our operating performance with that of other companies in our industries, although our measure of consolidated Adjusted EBITDA may not be directly comparable to similar measures used by other companies.
We define consolidated Adjusted EBITDA as net income attributable to Comcast Corporation before net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock, income tax expense, investment and other income (loss), net, interest expense, depreciation and amortization expense, and other operating gains and losses (such as impairment charges related to fixed and intangible assets and gains or losses on the sale of long-lived assets), if any. From time to time we may exclude from Adjusted EBITDA the impact of certain events, gains, losses or other charges (such as significant legal settlements) that affect the period-to-period comparability of our operating performance. 

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We reconcile consolidated Adjusted EBITDA to net income attributable to Comcast Corporation. This measure should not be considered a substitute for operating income, net income, net income attributable to Comcast Corporation, or net cash provided by operating activities that we have reported in accordance with GAAP.
Reconciliation from Net Income Attributable to Comcast Corporation to Adjusted EBITDA

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Net income attributable to Comcast Corporation	$	2,886	
 	 	$	2,642	
 	 	$	9,220	
 	 	$	7,736	
 	
Net income (loss) attributable to noncontrolling interests and redeemable subsidiary preferred stock	10	
 	 	32	
 	 	60	
 	 	135	
 	
Income tax expense	999	
 	 	1,409	
 	 	2,894	
 	 	4,038	
 	
Interest expense	830	
 	 	766	
 	 	2,413	
 	 	2,279	
 	
Investment and other (income) loss, net	111	
 	 	(70	)	 	(92	)	 	(299	)	
Depreciation	2,038	
 	 	1,991	
 	 	6,070	
 	 	5,876	
 	
Amortization	580	
 	 	555	
 	 	1,750	
 	 	1,645	
 	
Other operating gains	(141	)	 	(442	)	 	(341	)	 	(442	)	
Adjustment for legal settlement	—	
 	 	250	
 	 	—	
 	 	250	
 	
Adjusted EBITDA	$	7,313	
 	 	$	7,133	
 	 	$	21,974	
 	 	$	21,218	
 	
Liquidity and Capital Resources
Our businesses generate significant cash flows from operating activities. We believe that we will be able to continue to meet our current and long-term liquidity and capital requirements, including fixed charges, through our cash flows from operating activities; existing cash, cash equivalents and investments; available borrowings under our existing credit facilities; and our ability to obtain future external financing. We anticipate that we will continue to use a substantial portion of our cash flows in repaying our debt obligations, funding our capital expenditures, investing in business opportunities and returning capital to shareholders.
On October 9, 2018, in connection with our offer to acquire the share capital of Sky, we acquired a controlling interest in Sky through a series of purchases of Sky shares and acceptances of the offer at our offer price of £17.28 per Sky share. Because shareholders owning over 90% of the fully diluted share capital of Sky have either accepted our offer or sold their Sky shares to us, we have exercised, in accordance with applicable U.K. law, our right to acquire the remaining shares of Sky, which we expect will be completed in the fourth quarter of 2018. The consideration under our offer implies a value of approximately £30.2 billion (approximately $39.4 billion using the exchange rate on October 9, 2018) for the fully diluted share capital of Sky. As of October 9, 2018, Sky had outstanding indebtedness that will be consolidated in our financial statements with an aggregate principal amount of approximately $11 billion using the exchange rates as of such date, which is not guaranteed by us, Comcast Cable Communications, LLC or NBCUniversal. 
To finance our acquisition, in September 2018, we borrowed £3.0 billion ($3.9 billion using the exchange rate on the date of borrowing) under our £7.0 billion unsecured sterling-denominated term loan credit agreement and $1.5 billion under Comcast’s revolving credit facility, and issued $3.0 billion of commercial paper under Comcast’s commercial paper program, all of which were classified as long-term debt at September 30, 2018. The proceeds from the term loan borrowing were restricted as to use for purchase of Sky shares and were classified as restricted cash in other noncurrent assets, net. Additionally, in October 2018, we issued $27.0 billion aggregate amount of senior unsecured fixed and floating rate notes that will mature between 2020 and 2058, and borrowed £3.6 billion ($4.8 billion using the exchange rates on the dates of borrowings) under our £7.0 billion unsecured sterling-denominated term loan credit agreement and $3.0 billion under our $3.0 billion unsecured dollar-denominated term loan credit agreement. The unsecured term loans and senior notes are guaranteed by Comcast Cable Communications, LLC and NBCUniversal. In October 2018, we used a portion of the net proceeds from the senior notes offering to repay the commercial paper outstanding and revolving credit facility borrowings, and to replenish a portion of our cash, in each case, that had been previously used for purchases of Sky shares.
We entered into an agreement with a consortium of Chinese state-owned companies to build and operate a Universal theme park and resort in Beijing, China (“Universal Beijing Resort”). We own a 30% interest in Universal Beijing Resort and the construction will be funded through a combination of debt financing and equity contributions from the investors in accordance with their equity interests. The construction will take place over several years and debt financing and equity contributions will occur on a periodic basis. See Note 6 to Comcast’s condensed consolidated financial statements for additional information on Universal Beijing Resort, including the debt financing agreements.

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Operating Activities
Components of Net Cash Provided by Operating Activities

 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	
Operating income	$	14,495	
 	 	$	13,889	
 	
Depreciation, amortization and other operating gains	7,479	
 	 	7,079	
 	
Noncash share-based compensation	607	
 	 	594	
 	
Changes in operating assets and liabilities	(511	)	 	(179	)	
Payments of interest	(2,240	)	 	(2,277	)	
Payments of income taxes	(1,533	)	 	(3,415	)	
Other	210	
 	 	166	
 	
Net cash provided by operating activities	$	18,507	
 	 	$	15,857	
 	
The variance in changes in operating assets and liabilities for the nine months ended September 30, 2018 compared to the same period in 2017 was primarily related to our broadcast of the 2018 PyeongChang Olympics and the timing of collections on our receivables, partially offset by our broadcast of the 2018 Super Bowl.
The decrease in income tax payments for the nine months ended September 30, 2018 compared to the same period in 2017 was primarily due to federal income tax overpayments of $824 million related to the 2017 tax year that were applied to reduce tax payments in the current year, as well as a reduction in the federal income tax rate and additional depreciation deductions allowed under the 2017 Tax Act.
Investing Activities
Net cash used in investing activities for the nine months ended September 30, 2018 consisted primarily of capital expenditures, cash paid for intangible assets and purchases of investments. Capital expenditures decreased for the nine months ended September 30, 2018 compared to the same period in 2017 primarily due to a decrease in spending by our Cable Communications segment on customer premise equipment, which was partially offset by increased investments in line extensions primarily for the expansion of business services and continued investments in scalable infrastructure to increase network capacity. NBCUniversal capital expenditures increased for the nine months ended September 30, 2018 compared to the same period in 2017 primarily due to an increase in spending at our Universal theme parks. Purchases of investments for the nine months ended September 30, 2018 consisted primarily of our cash capital contributions of $341 million to Hulu and $133 million to Atairos.
Financing Activities
Net cash provided by financing activities for the nine months ended September 30, 2018 consisted primarily of proceeds from borrowings, which were partially offset by repayments of debt, repurchases of common stock under our share repurchase program and employee plans, and dividend payments.
We have made, and may from time to time in the future make, optional repayments on our debt obligations, which may include repurchases or exchanges of our outstanding public notes and debentures, depending on various factors, such as market conditions. See Note 5 to Comcast’s condensed consolidated financial statements for additional information on our financing activities, including details of our debt repayments and borrowings.
Available Borrowings Under Credit Facilities
We also maintain significant availability under our lines of credit and commercial paper programs to meet our short-term liquidity requirements.
As of September 30, 2018, amounts available under our consolidated revolving credit facilities, net of amounts outstanding under our commercial paper programs and outstanding letters of credit, totaled $3.8 billion, which included $823 million available under the NBCUniversal Enterprise revolving credit facility.

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Share Repurchases and Dividends
Effective January 1, 2017, our Board of Directors increased our share repurchase program authorization to $12 billion, which does not have an expiration date. Under the authorization, we may repurchase shares in the open market or in private transactions. During the nine months ended September 30, 2018, we repurchased a total of 112 million shares of our Class A common stock for $4.0 billion. We expect to repurchase $1.0 billion more under this authorization during the fourth quarter of 2018, although we plan to pause our common stock repurchase program in 2019 to accelerate the reduction of indebtedness we incurred in connection with the acquisition of Sky.
In addition, we paid $282 million for the nine months ended September 30, 2018 related to employee taxes associated with the administration of our share-based compensation plans.
In January 2018, our Board of Directors approved a 21% increase in our dividend to $0.76 per share on an annualized basis. In July 2018, our Board of Directors approved our third quarter dividend of $0.19 per share to be paid in October 2018. We expect to continue to pay quarterly dividends, although each dividend is subject to approval by our Board of Directors.
Critical Accounting Judgments and Estimates
The preparation of our condensed consolidated financial statements requires us to make estimates that affect the reported amounts of assets, liabilities, revenue and expenses, and the related disclosure of contingent assets and contingent liabilities. We base our judgments on our historical experience and on various other assumptions that we believe are reasonable under the circumstances, the results of which form the basis for making estimates about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.
We believe our judgments and related estimates associated with the valuation and impairment testing of our cable franchise rights and accounting for film and television costs are critical in the preparation of our condensed consolidated financial statements. We performed our annual impairment testing of our cable franchise rights as of July 1, 2018 and no impairment charge was required.
For a more complete discussion of the accounting judgments and estimates that we have identified as critical in the preparation of our condensed consolidated financial statements, please refer to our Management’s Discussion and Analysis of Financial Condition and Results of Operations in our 2017 Annual Report on Form 10-K.
Recent Accounting Pronouncements
See Note 7 to Comcast’s condensed consolidated financial statements and see Note 6 to NBCUniversal’s condensed consolidated financial statements for additional information related to recent accounting pronouncements.
ITEM 3: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
We have evaluated the information required under this item that was disclosed in our 2017 Annual Report on Form 10-K and there have been no significant changes to this information.
ITEM 4: CONTROLS AND PROCEDURES
Comcast Corporation
Conclusions regarding disclosure controls and procedures
Our principal executive and principal financial officers, after evaluating the effectiveness of Comcast’s disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) as of the end of the period covered by this report, have concluded that, based on the evaluation of these controls and procedures required by paragraph (b) of Exchange Act Rules 13a-15 or 15d-15, Comcast’s disclosure controls and procedures were effective.
Changes in internal control over financial reporting
There were no changes in Comcast’s internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred during Comcast’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, Comcast’s internal control over financial reporting.

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NBCUniversal Media, LLC
Conclusions regarding disclosure controls and procedures
Our principal executive and principal financial officers, after evaluating the effectiveness of NBCUniversal’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) as of the end of the period covered by this report, have concluded that, based on the evaluation of these controls and procedures required by paragraph (b) of Exchange Act Rules 13a-15 or 15d-15, NBCUniversal’s disclosure controls and procedures were effective.
Changes in internal control over financial reporting
There were no changes in NBCUniversal’s internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred during NBCUniversal’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, NBCUniversal’s internal control over financial reporting.

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PART II: OTHER INFORMATION
ITEM 1: LEGAL PROCEEDINGS
Refer to Note 11 to Comcast’s condensed consolidated financial statements included in this Quarterly Report on Form 10-Q for a discussion of legal proceedings.
NBCUniversal is subject to legal proceedings and claims that arise in the ordinary course of its business and does not expect the final disposition of these matters to have a material adverse effect on its results of operations, cash flows or financial condition, although any such matters could be time-consuming and costly and could injure its reputation.
ITEM 1A: RISK FACTORS
There have been no significant changes from the risk factors previously disclosed in Item 1A of our 2017 Annual Report on Form 10-K.
ITEM 2: UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
The table below summarizes Comcast’s common stock repurchases during the three months ended September 30, 2018.
Purchases of Equity Securities 

Period	Total
Number of
Shares
Purchased	 	Average
Price
Per
Share	Total Number of
Shares Purchased
as Part of Publicly
Announced Authorization	Total Dollar
Amount
Purchased
Under the Publicly Announced
Authorization	Maximum Dollar
Value of Shares That
May Yet Be
Purchased Under the Publicly Announced
Authorization (a)	
July 1-31, 2018	—	
 	 	$	—	
 	—	
 	$	—	
 	$	4,250,000,013	
 	
August 1-31, 2018	18,310,297	
 	
 	$	34.13	
 	18,310,297	
 	$	625,000,000	
 	$	3,625,000,013	
 	
September 1-30, 2018	17,317,433	
 	 	$	36.09	
 	17,317,433	
 	$	625,000,000	
 	$	3,000,000,013	
 	
Total	35,627,730	
 	 	$	35.09	
 	35,627,730	
 	$	1,250,000,000	
 	$	3,000,000,013	

(a)	Effective January 1, 2017, our Board of Directors increased our share repurchase program authorization to $12 billion, which does not have an expiration date. Under this authorization, we may repurchase shares in the open market or in private transactions.	
The total number of shares purchased during the three months ended September 30, 2018 does not include any shares received in the administration of employee share-based compensation plans.
ITEM 5: OTHER INFORMATION
Iran Threat Reduction and Syria Human Rights Act Disclosure
Pursuant to Section 219 of the Iran Threat Reduction and Syria Human Rights Act of 2012, companies are required, among other things, to disclose certain activities, transactions or dealings with the Government of Iran or entities controlled directly or indirectly by the Government of Iran. Disclosure is generally required even where the activities, transactions or dealings are conducted in compliance with applicable laws and regulations and are de minimis. As of the date of this report, we are not aware of any activity, transaction or dealing during the three months ended September 30, 2018 that requires disclosure under the Act, except with respect to a January 2016 licensing agreement by a non-U.S. subsidiary of DreamWorks Animation prior to our August 2016 DreamWorks Animation acquisition. The agreement licensed a prior season of a children’s animated television series for a three-year, non-cancelable term and for a one-time fee of $5,200 to a broadcasting company that is owned and controlled by the Government of Iran. The broadcasting company paid the license fee in the first quarter of 2016. We believe that DreamWorks Animation conducted its licensing activity in compliance with applicable laws and that the license is for the permissible exportation of informational materials pursuant to certain statutory and regulatory exemptions from U.S. sanctions.

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ITEM 6: EXHIBITS
Comcast

Exhibit
No.	 	Description	
10.1	 	Term Loan Credit Agreement among Comcast, the financial institutions party thereto, Bank of America, N.A., as administrative agent, Wells Fargo Bank, National Association, as syndication agent, and Merrill Lynch, Pierce, Fenner & Smith Incorporated and Wells Fargo Securities LLC, as joint lead arrangers and joint bookrunners, dated August 22, 2018 (incorporated by reference to Exhibit 10.1 to Comcast’s Current Report on Form 8-K filed on August 22, 2018).	
10.2	 	Amendment No. 1 to 364-Day Bridge Credit Agreement among Comcast, the financial institutions party thereto, and Bank of America, N.A., as administrative agent, and Wells Fargo Bank, National Association, as syndication agent, dated as of August 22, 2018 (incorporated by reference to Exhibit 10.2 to Comcast’s Current Report on Form 8-K filed on August 22, 2018).	
10.3	 	Comcast Revolving Credit Agreement Increased Revolving Commitment Activation Notice, dated September 21, 2018 (incorporated by reference to Exhibit 10.1 to Comcast’s Current Report on Form 8-K filed on September 24, 2018).	
10.4	 	Comcast Revolving Credit Agreement New Lender Supplement, dated September 21, 2018 (incorporated by reference to Exhibit 10.2 to Comcast’s Current Report on Form 8-K filed on September 24, 2018).	
10.5	 	Amendment No. 1 to Term Loan Credit Agreement, dated September 23, 2018 (incorporated by reference to Exhibit 10.3 to Comcast’s Current Report on Form 8-K filed on September 24, 2018).	
31.1	 	Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.	
32.1	 	Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.	
101	 	The following financial statements from Comcast Corporation’s Quarterly Report on Form 10-Q for the three and nine months ended September 30, 2018, filed with the Securities and Exchange Commission on October 25, 2018, formatted in XBRL (eXtensible Business Reporting Language): (i) the Condensed Consolidated Statement of Income; (ii) the Condensed Consolidated Statement of Comprehensive Income; (iii) the Condensed Consolidated Statement of Cash Flows; (iv) the Condensed Consolidated Balance Sheet; (v) the Condensed Consolidated Statement of Changes in Equity; and (vi) the Notes to Condensed Consolidated Financial Statements.	

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NBCUniversal

Exhibit
No.	 	Description	
10.1	 	Term Loan Credit Agreement among Comcast, the financial institutions party thereto, Bank of America, N.A., as administrative agent, Wells Fargo Bank, National Association, as syndication agent, and Merrill Lynch, Pierce, Fenner & Smith Incorporated and Wells Fargo Securities LLC, as joint lead arrangers and joint bookrunners, dated August 22, 2018 (incorporated by reference to Exhibit 10.1 to NBCUniversal’s Current Report on Form 8-K filed on August 22, 2018).	
10.2	 	Amendment No. 1 to 364-Day Bridge Credit Agreement among Comcast, the financial institutions party thereto, and Bank of America, N.A., as administrative agent, and Wells Fargo Bank, National Association, as syndication agent, dated as of August 22, 2018 (incorporated by reference to Exhibit 10.2 to NBCUniversal’s Current Report on Form 8-K filed on August 22, 2018).	
10.3	 	Comcast Revolving Credit Agreement Increased Revolving Commitment Activation Notice, dated September 21, 2018 (incorporated by reference to Exhibit 10.1 to NBCUniversal’s Current Report on Form 8-K filed on September 24, 2018).	
10.4	 	Comcast Revolving Credit Agreement New Lender Supplement, dated September 21, 2018 (incorporated by reference to Exhibit 10.2 to NBCUniversal’s Current Report on Form 8-K filed on September 24, 2018).	
10.5	 	Amendment No. 1 to Term Loan Credit Agreement, dated September 23, 2018 (incorporated by reference to Exhibit 10.3 to NBCUniversal’s Current Report on Form 8-K filed on September 24, 2018).	
31.2	 	Certification of Principal Executive Officer and Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.	
32.2	 	Certification of Principal Executive Officer and Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.	
101	 	The following financial statements from NBCUniversal Media, LLC’s Quarterly Report on Form 10-Q for the three and nine months ended September 30, 2018, filed with the Securities and Exchange Commission on October 25, 2018, formatted in XBRL (eXtensible Business Reporting Language): (i) the Condensed Consolidated Statement of Income; (ii) the Condensed Consolidated Statement of Comprehensive Income; (iii) the Condensed Consolidated Statement of Cash Flows; (iv) the Condensed Consolidated Balance Sheet; (v) the Condensed Consolidated Statement of Changes in Equity; and (vi) the Notes to Condensed Consolidated Financial Statements.	

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SIGNATURES
Comcast
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 	 	COMCAST CORPORATION	
 	 	
By:  	 	/s/ DANIEL C. MURDOCK	
 	 	Daniel C. Murdock
Senior Vice President, Chief Accounting Officer and Controller
(Principal Accounting Officer)	
Date: October 25, 2018 
NBCUniversal
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 	 	NBCUNIVERSAL MEDIA, LLC	
 	 	
By:	 	/s/ DANIEL C. MURDOCK	
 	 	Daniel C. Murdock
Senior Vice President
(Principal Accounting Officer)	
Date: October 25, 2018 

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NBCUniversal Media, LLC Financial Statements

Index	Page	
Condensed Consolidated Statement of Income (Unaudited)	54	
Condensed Consolidated Statement of Comprehensive Income (Unaudited)	55	
Condensed Consolidated Statement of Cash Flows (Unaudited)	56	
Condensed Consolidated Balance Sheet (Unaudited)	57	
Condensed Consolidated Statement of Changes in Equity (Unaudited)	58	
Notes to Condensed Consolidated Financial Statements (Unaudited)	59	

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NBCUniversal Media, LLC

Condensed Consolidated Statement of Income
(Unaudited) 

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Revenue	$	8,625	
 	 	$	7,976	
 	 	$	26,468	
 	 	$	24,147	
 	
Costs and Expenses:	 	 	 	 	 	 	 	
Programming and production	3,896	
 	 	3,239	
 	 	11,947	
 	 	10,115	
 	
Other operating and administrative	1,959	
 	 	1,856	
 	 	5,886	
 	 	5,574	
 	
Advertising, marketing and promotion	704	
 	 	624	
 	 	2,124	
 	 	2,108	
 	
Depreciation	250	
 	 	253	
 	 	750	
 	 	749	
 	
Amortization	264	
 	 	254	
 	 	827	
 	 	786	
 	
Other operating gains	(141	)	 	(337	)	 	(141	)	 	(337	)	
Total costs and expenses	6,932	
 	 	5,889	
 	 	21,393	
 	 	18,995	
 	
Operating income	1,693	
 	 	2,087	
 	 	5,075	
 	 	5,152	
 	
Interest expense	(134	)	 	(139	)	 	(394	)	 	(431	)	
Investment and other income (loss), net	(205	)	 	(26	)	 	(377	)	 	(42	)	
Income before income taxes	1,354	
 	 	1,922	
 	 	4,304	
 	 	4,679	
 	
Income tax expense	(112	)	 	(98	)	 	(291	)	 	(289	)	
Net income	1,242	
 	 	1,824	
 	 	4,013	
 	 	4,390	
 	
Less: Net income (loss) attributable to noncontrolling interests	11	
 	 	17	
 	 	22	
 	 	102	
 	
Net income attributable to NBCUniversal	$	1,231	
 	 	$	1,807	
 	 	$	3,991	
 	 	$	4,288	
 	
See accompanying notes to condensed consolidated financial statements.

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NBCUniversal Media, LLC

Condensed Consolidated Statement of Comprehensive Income
(Unaudited) 

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Net income	$	1,242	
 	 	$	1,824	
 	 	$	4,013	
 	 	$	4,390	
 	
Unrealized gains (losses) on marketable securities, net	—	
 	 	(94	)	 	—	
 	 	(233	)	
Deferred gains (losses) on cash flow hedges, net	(2	)	 	(5	)	 	(4	)	 	(27	)	
Employee benefit obligations, net	(4	)	 	(3	)	 	(11	)	 	101	
 	
Currency translation adjustments, net	(133	)	 	22	
 	 	(144	)	 	211	
 	
Comprehensive income	1,103	
 	 	1,744	
 	 	3,854	
 	 	4,442	
 	
Less: Net income (loss) attributable to noncontrolling interests	11	
 	 	17	
 	 	22	
 	 	102	
 	
Less: Other comprehensive income (loss) attributable to noncontrolling interests	(20	)	 	5	
 	 	(45	)	 	87	
 	
Comprehensive income attributable to NBCUniversal	$	1,112	
 	 	$	1,722	
 	 	$	3,877	
 	 	$	4,253	
 	
See accompanying notes to condensed consolidated financial statements.

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NBCUniversal Media, LLC

Condensed Consolidated Statement of Cash Flows
(Unaudited) 

 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	
Operating Activities	 	 	 	
Net income	$	4,013	
 	 	$	4,390	
 	
Adjustments to reconcile net income to net cash provided by operating activities:	 	 	 	
Depreciation, amortization and other operating gains	1,436	
 	 	1,198	
 	
Net (gain) loss on investment activity and other	497	
 	 	125	
 	
Deferred income taxes	21	
 	 	(6	)	
Changes in operating assets and liabilities, net of effects of acquisitions and divestitures:	 	 	 	
Current and noncurrent receivables, net	90	
 	 	247	
 	
Film and television costs, net	69	
 	 	(77	)	
Accounts payable and accrued expenses related to trade creditors	(123	)	 	(270	)	
Other operating assets and liabilities	(165	)	 	(35	)	
Net cash provided by operating activities	5,838	
 	 	5,572	
 	
Investing Activities	 	 	 	
Capital expenditures	(1,135	)	 	(977	)	
Cash paid for intangible assets	(374	)	 	(197	)	
Note receivable from Comcast	(1,522	)	 	—	
 	
Construction of Universal Beijing Resort	(257	)	 	(47	)	
Purchases of investments	(450	)	 	(368	)	
Other	(45	)	 	566	
 	
Net cash provided by (used in) investing activities	(3,783	)	 	(1,023	)	
Financing Activities	 	 	 	
Proceeds from borrowings	485	
 	 	3,948	
 	
Repurchases and repayments of debt	(387	)	 	(3,450	)	
Proceeds from (repayments of) borrowings from Comcast, net	(1,791	)	 	(898	)	
Distributions to member	(1,228	)	 	(1,720	)	
Distributions to noncontrolling interests	(163	)	 	(165	)	
Purchase of Universal Studios Japan noncontrolling interests	—	
 	 	(2,299	)	
Other	(147	)	 	86	
 	
Net cash provided by (used in) financing activities	(3,231	)	 	(4,498	)	
Increase (decrease) in cash, cash equivalents and restricted cash	(1,176	)	 	51	
 	
Cash, cash equivalents and restricted cash, beginning of period	2,377	
 	 	1,987	
 	
Cash, cash equivalents and restricted cash, end of period	$	1,201	
 	 	$	2,038	
 	
See accompanying notes to condensed consolidated financial statements.

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NBCUniversal Media, LLC

Condensed Consolidated Balance Sheet
(Unaudited)

(in millions)	September 30,
2018	 	December 31,
2017	
Assets	 	 	 	
Current Assets:	 	 	 	
Cash and cash equivalents	$	1,181	
 	 	$	2,347	
 	
Receivables, net	6,851	
 	 	6,967	
 	
Programming rights	1,213	
 	 	1,606	
 	
Note receivable from Comcast	1,522	
 	 	—	
 	
Other current assets	1,103	
 	 	1,037	
 	
Total current assets	11,870	
 	 	11,957	
 	
Film and television costs	7,369	
 	 	7,082	
 	
Investments	1,722	
 	 	1,816	
 	
Property and equipment, net of accumulated depreciation of $4,816 and $4,166	12,427	
 	 	11,346	
 	
Goodwill	23,918	
 	 	23,989	
 	
Intangible assets, net of accumulated amortization of $8,358 and $7,585	13,829	
 	 	13,306	
 	
Other noncurrent assets, net	1,799	
 	 	1,804	
 	
Total assets	$	72,934	
 	 	$	71,300	
 	
Liabilities and Equity	 	 	 	
Current Liabilities:	 	 	 	
Accounts payable and accrued expenses related to trade creditors	$	1,665	
 	 	$	1,663	
 	
Accrued participations and residuals	1,809	
 	 	1,644	
 	
Program obligations	615	
 	 	745	
 	
Deferred revenue	1,336	
 	 	1,457	
 	
Accrued expenses and other current liabilities	1,914	
 	 	2,394	
 	
Note payable to Comcast	41	
 	 	1,831	
 	
Current portion of long-term debt	162	
 	 	198	
 	
Total current liabilities	7,542	
 	 	9,932	
 	
Long-term debt, less current portion	12,401	
 	 	12,275	
 	
Accrued participations, residuals and program obligations	1,703	
 	 	1,490	
 	
Other noncurrent liabilities	5,189	
 	 	4,153	
 	
Commitments and contingencies	

Redeemable noncontrolling interests	387	
 	 	409	
 	
Equity:	
 	 	 	
Member’s capital	44,771	
 	 	42,148	
 	
Accumulated other comprehensive income (loss)	98	
 	 	(20	)	
Total NBCUniversal member’s equity	44,869	
 	 	42,128	
 	
Noncontrolling interests	843	
 	 	913	
 	
Total equity	45,712	
 	 	43,041	
 	
Total liabilities and equity	$	72,934	
 	 	$	71,300	
 	
See accompanying notes to condensed consolidated financial statements.

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NBCUniversal Media, LLC

Condensed Consolidated Statement of Changes in Equity
(Unaudited)

(in millions)	Redeemable
Noncontrolling
Interests	 	Member’s
Capital	 	Accumulated
Other
Comprehensive
Income (Loss)	 	Noncontrolling
Interests	 	Total Equity	
Balance, December 31, 2016	$	530	
 	 	$	38,894	
 	 	$	(135	)	 	$	2,116	
 	 	$	40,875	
 	
Dividends declared	 	 	(1,720	)	 	 	 	 	 	(1,720	)	
Contributions from (distributions to) noncontrolling interests, net	(56	)	 	 	 	 	 	(95	)	 	(95	)	
Contribution from member	 	 	662	
 	 	 	 	 	 	662	
 	
Other comprehensive income (loss)	 	 	 	 	(35	)	 	87	
 	 	52	
 	
Purchase of Universal Studios Japan noncontrolling interests	 	 	(704	)	 	141	
 	 	(1,736	)	 	(2,299	)	
Other	(85	)	 	185	
 	 	 	 	470	
 	 	655	
 	
Net income (loss)	18	
 	 	4,288	
 	 	 	 	84	
 	 	4,372	
 	
Balance, September 30, 2017	$	407	
 	 	$	41,605	
 	 	$	(29	)	 	$	926	
 	 	$	42,502	
 	
Balance, December 31, 2017	$	409	
 	 	$	42,148	
 	 	$	(20	)	 	$	913	
 	 	$	43,041	
 	
Cumulative effects of adoption of accounting standards	 	 	(232	)	 	232	
 	 	 	 	—	
 	
Dividends declared	 	 	(1,228	)	 	 	 	 	 	(1,228	)	
Contributions from (distributions to) noncontrolling interests, net	(43	)	 	 	 	 	 	272	
 	 	272	
 	
Other comprehensive income (loss)	 	 	 	 	(114	)	 	(45	)	 	(159	)	
Other	(5	)	 	92	
 	 	 	 	(293	)	 	(201	)	
Net income (loss)	26	
 	 	3,991	
 	 	 	 	(4	)	 	3,987	
 	
Balance, September 30, 2018	$	387	
 	 	$	44,771	
 	 	$	98	
 	 	$	843	
 	 	$	45,712	
 	
See accompanying notes to condensed consolidated financial statements.

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NBCUniversal Media, LLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
Note 1: Condensed Consolidated Financial Statements
Basis of Presentation
Unless indicated otherwise, throughout these notes to the condensed consolidated financial statements, we refer to NBCUniversal and its consolidated subsidiaries as “we,” “us” and “our.” We have prepared these unaudited condensed consolidated financial statements based on SEC rules that permit reduced disclosure for interim periods. These financial statements include all adjustments that are necessary for a fair presentation of our consolidated results of operations, cash flows and financial condition for the periods shown, including normal, recurring accruals and other items. The consolidated results of operations for the interim periods presented are not necessarily indicative of results for the full year.  
The year-end condensed consolidated balance sheet was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles in the United States (“GAAP”). For a more complete discussion of our accounting policies and certain other information, refer to our consolidated financial statements included in our 2017 Annual Report on Form 10-K and the footnotes within this Form 10-Q. 
See Note 6 for a discussion of the effects of the adoption of new accounting pronouncements on our condensed consolidated financial statements.
Note 2: Segment Information
We present our operations in four reportable business segments:
 	 	
•	Cable Networks: Consists primarily of our national cable networks that provide a variety of entertainment, news and information, and sports content, our regional sports and news networks, our international cable networks, our cable television studio production operations, and various digital properties. 	
 	 	
•	Broadcast Television: Consists primarily of the NBC and Telemundo broadcast networks, our NBC and Telemundo owned local broadcast television stations, the NBC Universo national cable network, our broadcast television studio production operations, and various digital properties.	
 	 	
•	Filmed Entertainment: Consists primarily of the operations of Universal Pictures, which produces, acquires, markets and distributes filmed entertainment worldwide; our films are also produced under the Illumination, DreamWorks Animation and Focus Features names. 	
 	 	
•	Theme Parks: Consists primarily of our Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. In addition, along with a consortium of Chinese state-owned companies, we are developing a Universal theme park and resort in Beijing, China.	
We use Adjusted EBITDA to evaluate the profitability of our operating segments and the components of net income attributable to NBCUniversal excluded from Adjusted EBITDA are not separately evaluated. Our financial data by business segment is presented in the tables below.

 	Three Months Ended September 30, 2018	
(in millions)	Revenue	Adjusted EBITDA (c)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Networks	$	2,884	
 	$	968	
 	$	180	
 	$	11	
 	$	6	
 	
Broadcast Television	2,452	
 	321	
 	32	
 	37	
 	—	
 	
Filmed Entertainment	1,819	
 	214	
 	26	
 	9	
 	6	
 	
Theme Parks	1,528	
 	725	
 	170	
 	269	
 	23	
 	
Headquarters and Other(a)	15	
 	(161	)	106	
 	79	
 	43	
 	
Eliminations(b)	(73	)	(1	)	—	
 	—	
 	—	
 	
Total	$	8,625	
 	$	2,066	
 	$	514	
 	$	405	
 	$	78	

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 	Three Months Ended September 30, 2017	
(in millions)	Revenue	Adjusted EBITDA (c)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Networks	$	2,603	
 	$	906	
 	$	179	
 	$	5	
 	$	4	
 	
Broadcast Television	2,125	
 	316	
 	33	
 	66	
 	4	
 	
Filmed Entertainment	1,753	
 	383	
 	32	
 	18	
 	6	
 	
Theme Parks	1,550	
 	775	
 	166	
 	199	
 	18	
 	
Headquarters and Other(a)	15	
 	(122	)	97	
 	66	
 	37	
 	
Eliminations(b)	(70	)	(1	)	—	
 	—	
 	—	
 	
Total	$	7,976	
 	$	2,257	
 	$	507	
 	$	354	
 	$	69	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended September 30, 2018	
(in millions)	Revenue	Adjusted EBITDA (c)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Networks(d)	$	8,994	
 	$	3,422	
 	$	548	
 	$	22	
 	$	15	
 	
Broadcast Television(d)	8,340	
 	1,245	
 	106	
 	99	
 	75	
 	
Filmed Entertainment	5,176	
 	555	
 	117	
 	24	
 	20	
 	
Theme Parks	4,170	
 	1,789	
 	492	
 	811	
 	158	
 	
Headquarters and Other(a)	44	
 	(497	)	314	
 	179	
 	106	
 	
Eliminations(b)(d)	(256	)	(3	)	—	
 	—	
 	—	
 	
Total	$	26,468	
 	$	6,511	
 	$	1,577	
 	$	1,135	
 	$	374	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended September 30, 2017	
(in millions)	Revenue	Adjusted EBITDA (c)	Depreciation and Amortization	Capital
Expenditures	Cash Paid for Intangible Assets	
Cable Networks	$	7,939	
 	$	3,076	
 	$	574	
 	$	15	
 	$	11	
 	
Broadcast Television	6,574	
 	1,054	
 	96	
 	125	
 	11	
 	
Filmed Entertainment	5,862	
 	1,041	
 	79	
 	47	
 	17	
 	
Theme Parks	3,982	
 	1,723	
 	494	
 	671	
 	57	
 	
Headquarters and Other(a)	32	
 	(542	)	292	
 	119	
 	101	
 	
Eliminations(b)	(242	)	(2	)	—	
 	—	
 	—	
 	
Total	$	24,147	
 	$	6,350	
 	$	1,535	
 	$	977	
 	$	197	

(a)	Headquarters and Other activities include costs associated with overhead, allocations, personnel costs and headquarter initiatives.	
 	 	
(b)	Included in Eliminations are transactions that our segments enter into with one another, which consisted primarily of the licensing of film and television content from our Filmed Entertainment and Broadcast Television segments to our Cable Networks segment; for segment reporting, this revenue is recognized as the programming rights asset for the licensed content is amortized based on third party revenue.	
 	 	
(c)	We use Adjusted EBITDA as the measure of profit or loss for our operating segments. Adjusted EBITDA is defined as net income attributable to NBCUniversal before net income (loss) attributable to noncontrolling interests, income tax expense, investment and other income (loss), net, interest expense, depreciation and amortization expense, and other operating gains and losses (such as impairment charges related to fixed and intangible assets and gains or losses on the sale of long-lived assets), if any. From time to time we may exclude from Adjusted EBITDA the impact of certain events, gains, losses or other charges (such as significant legal settlements) that affect the period-to-period comparability of our operating performance. Our reconciliation of the aggregate amount of Adjusted EBITDA for our reportable segments to consolidated income before income taxes is presented in the table below.	

 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Adjusted EBITDA	$	2,066	
 	 	$	2,257	
 	 	$	6,511	
 	 	$	6,350	
 	
Depreciation	(250	)	 	(253	)	 	(750	)	 	(749	)	
Amortization	(264	)	 	(254	)	 	(827	)	 	(786	)	
Other operating gains	141	
 	 	337	
 	 	141	
 	 	337	
 	
Interest expense	(134	)	 	(139	)	 	(394	)	 	(431	)	
Investment and other income (loss), net	(205	)	 	(26	)	 	(377	)	 	(42	)	
Income before income taxes	$	1,354	
 	 	$	1,922	
 	 	$	4,304	
 	 	$	4,679	

(d)	The revenue and operating costs and expenses associated with our broadcast of the 2018 PyeongChang Olympics were reported in our Cable Networks and Broadcast Television segments. The revenue and operating costs and expenses associated with our broadcast of the 2018 Super Bowl were reported in our Broadcast Television segment. Included in Eliminations are transactions relating to these events that our Broadcast Television and Cable Networks segments enter into with our other segments.	

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Note 3: Revenue

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Distribution	$	1,680	
 	 	$	1,533	
 	 	$	5,251	
 	 	$	4,645	
 	
Advertising	820	
 	 	787	
 	 	2,746	
 	 	2,519	
 	
Content licensing and other	384	
 	 	283	
 	 	997	
 	 	775	
 	
Total Cable Networks	2,884	
 	 	2,603	
 	 	8,994	
 	 	7,939	

Advertising	1,355	
 	 	1,241	
 	 	5,107	
 	 	3,790	
 	
Content licensing	538	
 	 	432	
 	 	1,541	
 	 	1,458	
 	
Distribution and other	559	
 	 	452	
 	 	1,692	
 	 	1,326	
 	
Total Broadcast Television	2,452	
 	 	2,125	
 	 	8,340	
 	 	6,574	

Theatrical	601	
 	 	515	
 	 	1,564	
 	 	2,003	
 	
Content licensing	719	
 	 	662	
 	 	2,100	
 	 	2,080	
 	
Home entertainment	260	
 	 	299	
 	 	733	
 	 	919	
 	
Other	239	
 	 	277	
 	 	779	
 	 	860	
 	
Total Filmed Entertainment	1,819	
 	 	1,753	
 	 	5,176	
 	 	5,862	

Total Theme Parks	1,528	
 	 	1,550	
 	 	4,170	
 	 	3,982	
 	
Headquarters and Other	15	
 	 	15	
 	 	44	
 	 	32	
 	
Eliminations(a)	(73	)	 	(70	)	 	(256	)	 	(242	)	
Total revenue	$	8,625	
 	 	$	7,976	
 	 	$	26,468	
 	 	$	24,147	

(a)	Included in Eliminations are transactions that our segments enter into with one another. See Note 2 for a description of these transactions.	
We operate primarily in the United States, but also in select international markets primarily in Europe and Asia. The table below summarizes revenue by geographic location.

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	  	2017	 	2018	  	2017	
United States	$	6,758	
 	 	$	6,088	
 	 	$	20,945	
 	  	$	18,344	
 	
Foreign	1,867	
 	 	1,888	
 	 	5,523	
 	  	5,803	
 	
Total revenue	$	8,625	
 	 	$	7,976	
 	 	$	26,468	
 	 	$	24,147	
 	
No single customer accounted for a significant amount of revenue in any period presented.
Distribution
Our Cable Networks segment generates distribution revenue from the distribution of our cable network programming to traditional and virtual multichannel video providers. Our Broadcast Television segment generates distribution revenue from the fees received under retransmission consent agreements and associated fees received from NBC-affiliated local broadcast television stations.
Distribution revenue is recognized as programming is provided on a monthly basis, generally under multiyear agreements. Monthly fees received under distribution agreements with multichannel video providers are generally based on the number of subscribers. Payment terms and conditions vary by contract type, although terms generally include payment within 30 to 60 days.
Advertising
Our Cable Networks and Broadcast Television segments generate advertising revenue from the sale of advertising on our cable and broadcast networks, our owned local broadcast television stations, and various digital properties. 
We enter into advertising arrangements with customers and have determined that a contract exists once all terms and conditions are agreed upon, typically when the number of advertising units is specifically identified and the timing of airing is scheduled. Advertisements are generally aired or viewed within one year once all terms are agreed upon. Advertising revenue is recognized, net of agency commissions, in the period in which advertisements are aired or viewed and payment occurs thereafter, generally within 30 days. In some instances, we guarantee audience ratings for the advertisements. To the extent there is a shortfall in contracts where the ratings were guaranteed, a portion of the revenue is deferred until the shortfall is settled, typically by providing additional advertising units generally within one year of the original airing. 

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Theatrical
Our Filmed Entertainment segment theatrical revenue is generated from the worldwide theatrical release of our produced and acquired films for exhibition in movie theaters and is affected by the timing, nature and number of films released in movie theaters and their acceptance by audiences. Theatrical revenue is also affected by the number of exhibition screens, ticket prices, the percentage of ticket sale retention by the exhibitors and the popularity of competing films at the time our films are released. We recognize theatrical revenue as the films are viewed and exhibited in theaters and payment generally occurs within 60 days after exhibition. 
Content Licensing
Our Cable Networks, Broadcast Television and Filmed Entertainment segments generate revenue from the licensing of our owned film and television content in the United States and internationally to cable, broadcast and premium networks and subscription video on demand services. Our content licensing agreements generally include fixed pricing and span multiple years. For example, following a film’s theatrical release, our Filmed Entertainment segment may license the exhibition rights of a film to different customers over multiple successive distribution windows.  
We recognize revenue when the content is delivered and available for use by the licensee. When the term of an existing agreement is renewed or extended, we recognize revenue at the later of when the content is available or when the renewal or extension period begins. Payment terms and conditions vary by contract type, although payments are generally collected over the license term. The amount of future revenue to be earned related to fixed pricing under existing agreements primarily relates to our Filmed Entertainment segment, which at any given time equals approximately 1 to 2 years of our annual Filmed Entertainment content licensing revenue. The substantial majority of this revenue will be recognized within 2 years. This amount may fluctuate from period to period depending on the timing of the release and the availability of content under existing agreements and may not represent the total content licensing revenue expected to be recognized as it does not include revenue from future agreements or from variable pricing or optional purchases under existing agreements. 
For our content licensing agreements that include variable pricing, such as pricing based on the number of subscribers to a subscription video on demand service sold by our customers, we generally recognize revenue as our customers sell to their subscribers.
Home Entertainment
Our Filmed Entertainment segment generates revenue from the sale of our produced and acquired films on standard-definition digital video discs and Blu-ray discs (together, “DVDs”) and through digital distribution services. Our Cable Networks and Broadcast Television networks also generate revenue from the sale of owned programming on DVDs and through digital distribution services, which is reported in other revenue. We recognize revenue from DVD sales, net of estimated returns and customer incentives, on the date that DVDs are delivered to and made available for sale by retailers. Payment terms generally include payment within 60 to 90 days from delivery to the retailer. 
Theme Parks
Our Theme Parks segment generates revenue primarily from ticket sales and guest spending at our Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. Guest spending includes in-park spending on food, beverages and merchandise. We recognize revenue from theme park ticket sales when the tickets are used, generally within a year from the date of purchase. For annual passes, we generally recognize revenue on a straight-line basis over the period the pass is available to be used. We recognize revenue from guest spending at the point of sale.  
Condensed Consolidated Balance Sheet
The following tables summarize our accounts receivable and other balances that are not separately presented in our condensed consolidated balance sheet that relate to the recognition of revenue and collection of the related cash.

(in millions)	September 30,
2018	 	December 31,
2017	
Receivables, gross	$	6,951	
 	 	$	7,055	
 	
Less: Allowance for doubtful accounts	100	
 	 	88	
 	
Receivables, net	$	6,851	
 	 	$	6,967	

 	
 	 	 	 	 	 	 	 	
(in millions)	September 30,
2018	 	December 31,
2017	
Noncurrent receivables, net (included in other noncurrent assets, net)	$	1,098	
 	 	$	1,093	
 	
Noncurrent deferred revenue (included in other noncurrent liabilities)	$	451	
 	 	$	392	

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Note 4: Long-Term Debt
As of September 30, 2018, our debt, excluding the note payable to Comcast, had a carrying value of $12.6 billion and an estimated fair value of $12.9 billion. The estimated fair value of our publicly traded debt was primarily based on Level 1 inputs that use quoted market values for the debt. The estimated fair value of debt for which there are no quoted market prices was based on Level 2 inputs that use interest rates available to us for debt with similar terms and remaining maturities.
For the nine months ended September 30, 2018, Universal Beijing Resort borrowed $386 million under its debt financing agreement to fund the construction of a Universal theme park and resort in Beijing, China (see Note 5).
For the nine months ended September 30, 2018, we repaid $362 million of Universal Studios Japan term loans maturing 2022.
Cross-Guarantee Structure
We, Comcast and a 100% owned cable holding company subsidiary of Comcast (“CCCL Parent”) have fully and unconditionally guaranteed each other’s debt securities, including the $7.6 billion Comcast revolving credit facility due 2021 and the £3.0 billion of borrowings ($3.9 billion using the exchange rate on the date of borrowing) under Comcast’s £7.0 billion unsecured sterling-denominated term loan credit agreement. As of September 30, 2018, outstanding debt securities of $58.7 billion of Comcast and CCCL Parent were subject to the cross-guarantee structure.
In October 2018, in connection with Comcast’s acquisition of Sky on October 9, 2018, Comcast issued $27.0 billion aggregate amount of senior unsecured fixed and floating rate notes that will mature between 2020 and 2058, and borrowed £3.6 billion ($4.8 billion using the exchange rates on the dates of borrowings) under Comcast’s £7.0 billion unsecured sterling-denominated term loan credit agreement and $3.0 billion under Comcast’s $3.0 billion unsecured dollar-denominated term loan credit agreement. We also guarantee these senior notes and unsecured term loans under the cross-guarantee structure.
We do not, however, guarantee the obligations of NBCUniversal Enterprise with respect to its $3.0 billion aggregate principal amount of senior notes, $1.6 billion revolving credit facility and commercial paper program, or $725 million liquidation preference of Series A cumulative preferred stock. Additionally, the Universal Studios Japan and Universal Beijing Resort term loans are not subject to the cross-guarantee structure and are not guaranteed by us; however, the Universal Studios Japan term loans have a separate guarantee from Comcast.
Note 5: Significant Transactions
Universal Beijing Resort
We entered into an agreement with a consortium of Chinese state-owned companies to build and operate a Universal theme park and resort in Beijing, China (“Universal Beijing Resort”). We own a 30% interest in Universal Beijing Resort and the construction will be funded through a combination of debt financing and equity contributions from the investors in accordance with their equity interests. The debt financing, which is being provided by a syndicate of Chinese financial institutions, contains certain financial and operating covenants and a maximum borrowing limit of ¥26.6 billion RMB (approximately $4 billion as of quarter end). The debt financing is secured by the assets of Universal Beijing Resort and the equity interests of the investors. For the nine months ended September 30, 2018, Universal Beijing Resort borrowed $386 million of term loans under the debt financing agreements.
We have concluded that Universal Beijing Resort is a variable interest entity based on its governance structure, and we consolidate it because we have the power to direct activities that most significantly impact its economic performance. There are no liquidity arrangements, guarantees or other financial commitments between us and Universal Beijing Resort, and therefore our maximum risk of financial loss is our 30% interest. Universal Beijing Resort’s results of operations are reported in our Theme Parks segment. Our condensed consolidated statement of cash flows includes the costs of construction and related borrowings in the "construction of Universal Beijing Resort" and "proceeds from borrowings" captions, respectively, and equity contributions from our investing partner are included in other financing activities.
In March 2018, Universal Beijing Resort received initial equity investments through a combination of cash and noncash contributions from the investors. As of September 30, 2018, our condensed consolidated balance sheet included assets, primarily property and equipment, and liabilities, including the term loans, of Universal Beijing Resort totaling $1.2 billion and $728 million, respectively.
FCC Spectrum Auction
On April 13, 2017, the Federal Communications Commission announced the results of its spectrum auction. In the auction, we relinquished our spectrum rights in the New York, Philadelphia and Chicago designated market areas (“DMAs”) where NBC and Telemundo had overlapping spectrum. We received proceeds of $482 million in July 2017, which were recorded in other investing activities in our condensed consolidated statement of cash flows. We recognized a pretax gain of $337 million in other operating gains for the three and nine months ended September 30, 2017 in our condensed consolidated statement of income. NBC and Telemundo stations will share broadcast signals in these DMAs.

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Universal Studios Japan
On April 6, 2017, we acquired the remaining interests in Universal Studios Japan that we did not already own for $2.3 billion. The acquisition was funded through borrowings under our revolving credit agreement with Comcast. Because we maintained control of Universal Studios Japan, the difference between the consideration transferred and the recorded value of the noncontrolling interests, as well as the related accumulated other comprehensive income impact, were recorded to member’s capital.
Note 6: Recent Accounting Pronouncements
Revenue Recognition
In May 2014, the Financial Accounting Standards Board (“FASB”) updated the accounting guidance related to revenue recognition. The updated accounting guidance provides a single, contract-based revenue recognition model to help improve financial reporting by providing clearer guidance on when an entity should recognize revenue and by reducing the number of standards to which an entity has to refer. The core principle of the new standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services.
We adopted the updated guidance on January 1, 2018 on a full retrospective basis, which required us to reflect the impact of the updated guidance for all periods presented. 
The adoption of the new standard did not have a material impact on our consolidated results of operations or financial position for any period presented. The updated guidance also requires additional disclosures regarding the nature, timing and uncertainty of our revenue transactions (see Note 3). 
The tables below present the effects on our condensed consolidated statement of income and balance sheet for the prior year periods presented.
Condensed Consolidated Statement of Income

 	Three Months Ended September 30, 2017	 	Nine Months Ended September 30, 2017	
(in millions)	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	 	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	
Revenue	$	8,014	
 	$	(38	)	$	7,976	
 	 	$	24,213	
 	$	(66	)	$	24,147	
 	
Total costs and expenses	$	5,909	
 	$	(20	)	$	5,889	
 	 	$	19,048	
 	$	(53	)	$	18,995	
 	
Operating income	$	2,105	
 	$	(18	)	$	2,087	
 	 	$	5,165	
 	$	(13	)	$	5,152	
 	
Net income attributable to NBCUniversal	$	1,825	
 	$	(18	)	$	1,807	
 	 	$	4,301	
 	$	(13	)	$	4,288	
 	
Condensed Consolidated Balance Sheet

 	December 31, 2017	
(in millions)	Previously Reported	
 	Effects of Adoption	
 	As Adjusted	
 	
Total current assets	$	11,673	
 	$	284	
 	$	11,957	
 	
Film and television costs	$	7,071	
 	$	11	
 	$	7,082	
 	
Other noncurrent assets, net	$	1,872	
 	$	(68	)	$	1,804	
 	
Total assets	$	71,073	
 	$	227	
 	$	71,300	

Total current liabilities	$	9,602	
 	$	330	
 	$	9,932	
 	
Other noncurrent liabilities	$	4,109	
 	$	44	
 	$	4,153	
 	
Total equity	$	43,188	
 	$	(147	)	$	43,041	
 	
Total liabilities and equity	$	71,073	
 	$	227	
 	$	71,300	
 	
The adoption of the updated guidance impacted the timing of recognition for some of our revenue contracts, primarily for content licensing agreements. As a result of the adoption of the updated guidance, when the term of existing content licensing agreements is renewed or extended, revenue is not recognized until the date when the renewal or extension period begins. Under the prior guidance, revenue for the content licensing renewal period was recognized on the date that the renewal was agreed to contractually. This change resulted in delayed revenue recognition for content licensing renewals or extensions in our Cable Networks, Broadcast Television and Filmed Entertainment segments. This change also impacted the timing of the related amortization of our film and television costs and participations and residuals expenses. The adoption of the updated guidance did not have a material impact on the results of operations or financial position for our reportable segments.

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Financial Assets and Financial Liabilities
In January 2016, the FASB updated the accounting guidance related to the recognition and measurement of financial assets and financial liabilities. The updated accounting guidance, among other things, requires that all nonconsolidated equity investments, except those accounted for under the equity method, be measured at fair value and the changes in fair value be recognized in net income. On January 1, 2018, we adopted the updated guidance prospectively along with a related clarifying update and as a result, we recorded a $232 million cumulative effect adjustment to member’s capital and accumulated other comprehensive income (loss). See Note 8 for further information.
Restricted Cash
In November 2016, the FASB updated the accounting guidance related to restricted cash. The new standard requires that the statement of cash flows present the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents, and a reconciliation of such total to amounts on the balance sheet. We adopted the updated guidance on January 1, 2018 and as required applied the retrospective transition method. The adoption did not have a material impact for any period presented.  
Leases
In February 2016, the FASB updated the accounting guidance related to leases. The updated accounting guidance requires lessees to recognize a right-of-use asset and a lease liability on the balance sheet for all leases with the exception of short-term leases. The asset and liability are initially measured based on the present value of committed lease payments. For a lessee, the recognition, measurement and presentation of expenses and cash flows arising from a lease do not significantly change from previous guidance. For a lessor, the accounting applied is also largely unchanged from previous guidance. We will adopt the updated accounting guidance in the first quarter of 2019 and prior periods will not be adjusted. We are currently in the process of determining the impact that the updated accounting guidance will have on our consolidated financial statements.
Note 7: Film and Television Costs

(in millions)	September 30,
2018	 	December 31,
2017	
Film Costs:	 	 	 	
Released, less amortization	$	1,573	
 	 	$	1,734	
 	
Completed, not released	242	
 	 	50	
 	
In production and in development	1,010	
 	 	1,149	
 	
 	2,825	
 	 	2,933	
 	
Television Costs:	 	 	 	
Released, less amortization	2,286	
 	 	2,260	
 	
In production and in development	905	
 	 	818	
 	
 	3,191	
 	 	3,078	
 	
Programming rights, less amortization	2,566	
 	 	2,677	
 	
 	8,582	
 	 	8,688	
 	
Less: Current portion of programming rights	1,213	
 	 	1,606	
 	
Film and television costs	$	7,369	
 	 	$	7,082	
 	
Note 8: Investments

(in millions)	September 30,
2018	 	December 31,
2017	
Equity method	$	660	
 	 	$	690	
 	
Marketable equity securities	249	
 	 	430	
 	
Nonmarketable equity securities	813	
 	 	696	
 	
Total investments	$	1,722	
 	 	$	1,816	

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Investment and Other Income (Loss), Net

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Equity in net income (losses) of investees, net	$	(119	)	 	$	(52	)	 	$	(306	)	 	$	(107	)	
Realized and unrealized gains (losses) on equity securities, net	(91	)	 	—	
 	 	(128	)	 	2	
 	
Other income (loss), net	5	
 	 	26	
 	 	57	
 	 	63	
 	
Investment and other income (loss), net	$	(205	)	 	$	(26	)	 	$	(377	)	 	$	(42	)	
Beginning January 1, 2018, in connection with our adoption of the updated accounting guidance related to the recognition and measurement of financial assets and financial liabilities (see Note 6), we updated the presentation and accounting policies for our investments previously classified as fair value and cost method investments. The investment categories presented in the table above are based on the new guidance and updated policies, where applicable, are presented below.
Equity Method
Hulu
As of September 30, 2018 and December 31, 2017, we had an investment in Hulu of $219 million and $249 million, respectively. For the nine months ended September 30, 2018 and 2017, we made cash capital contributions to Hulu totaling $341 million and $198 million, respectively. We recognize our proportionate share of Hulu’s income and losses in equity in net income (losses) of investees, net. For the three and nine months ended September 30, 2018, we recognized our proportionate share of Hulu’s losses of $132 million and $370 million, respectively. For the three and nine months ended September 30, 2017, we recognized our proportionate share of Hulu’s losses of $62 million and $168 million, respectively.
The Weather Channel
In March 2018, we sold our investment in The Weather Channel cable network and recognized a pretax gain of $64 million in other income (loss), net.
Marketable Equity Securities
We classify publicly traded investments with readily determinable fair values that are not accounted for under the equity method as marketable equity securities. Marketable equity securities are recorded at cost and adjusted to fair value at each reporting period. The changes in fair value between measurement dates are recorded in realized and unrealized gains (losses) on equity securities, net. The fair values of our marketable equity securities are based on Level 1 inputs that use quoted market prices.
Snap
In March 2017, Comcast acquired an interest in Snap Inc. as part of its initial public offering. On March 31, 2017, Comcast contributed its investment in Snap to us as an equity contribution of $662 million, which was recorded in our condensed consolidated statement of equity based on the fair value of the investment as of March 31, 2017. We have classified our investment as a marketable equity security. Snap is a camera company whose primary product is Snapchat, a camera app that was created to help people communicate through short videos and images. As of September 30, 2018 and December 31, 2017, we had an investment in Snap of $249 million and $430 million, respectively. For the three and nine months ended September 30, 2018, we recognized unrealized losses of $135 million and $180 million, respectively, in realized and unrealized gains (losses) on equity securities, net related to our investment in Snap.
Nonmarketable Equity Securities
We classify investments without readily determinable fair values that are not accounted for under the equity method as nonmarketable equity securities. The accounting guidance requires nonmarketable equity securities to be recorded at cost and adjusted to fair value at each reporting period. However, the guidance allows for a measurement alternative, which is to record the investments at cost, less impairment, if any, and subsequently adjust for observable price changes of identical or similar investments of the same issuer. We apply this measurement alternative to our nonmarketable equity securities. When an observable event occurs, we estimate the fair values of our nonmarketable equity securities based on Level 2 inputs that are derived from observable price changes of similar securities adjusted for insignificant differences in rights and obligations. The changes in value are recorded in realized and unrealized gains (losses) on equity securities, net.

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NBCUniversal Media, LLC

Note 9: Supplemental Financial Information
Cash Payments for Interest and Income Taxes 

 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	
Interest	$	253	
 	 	$	340	
 	
Income taxes	$	373	
 	 	$	213	
 	
Noncash Investing and Financing Activities
During the nine months ended September 30, 2018:
 	 	
•	we acquired $1.2 billion of property and equipment and intangible assets that were accrued but unpaid	
 	 	
•	we received noncash contributions from noncontrolling interests totaling $391 million related to Universal Beijing Resort (see Note 5)	
Cash, Cash Equivalents and Restricted Cash
The following table provides a reconciliation of cash, cash equivalents and restricted cash reported in the condensed consolidated balance sheet to the total of the amounts reported in our condensed consolidated statement of cash flows. 

(in millions)	September 30,
2018	 	December 31,
2017	
Cash and cash equivalents	$	1,181	
 	 	$	2,347	
 	
Restricted cash included in other noncurrent assets, net	20	
 	 	30	
 	
Cash, cash equivalents and restricted cash, end of period	$	1,201	
 	 	$	2,377	
 	
Accumulated Other Comprehensive Income (Loss)

(in millions)	September 30,
2018	 	September 30,
2017	
Unrealized gains (losses) on marketable securities	$	—	
 	 	$	(233	)	
Deferred gains (losses) on cash flow hedges	5	
 	 	(4	)	
Unrecognized gains (losses) on employee benefit obligations	115	
 	 	115	
 	
Cumulative translation adjustments	(22	)	 	93	
 	
Accumulated other comprehensive income (loss)	$	98	
 	 	$	(29	)	
Note 10: Related Party Transactions
In the ordinary course of our business, we enter into transactions with Comcast.
We generate revenue from Comcast primarily from the distribution of our cable network programming, the fees received under retransmission consent agreements in our Broadcast Television segment and, to a lesser extent, the sale of advertising and our owned programming, and we incur expenses primarily related to advertising and various support services provided by Comcast to us.
Comcast is also the counterparty to one of our contractual obligations. As of September 30, 2018, the carrying value of the liability associated with this contractual obligation was $383 million.
The following tables present transactions with Comcast and its consolidated subsidiaries that are included in our condensed consolidated financial statements.
Condensed Consolidated Statement of Income

 	Three Months Ended
September 30	 	Nine Months Ended
September 30	
(in millions)	2018	 	2017	 	2018	 	2017	
Transactions with Comcast and Consolidated Subsidiaries	 	 	 	 	 	 	 	
Revenue	$	506	
 	 	$	463	
 	 	$	1,580	
 	 	$	1,382	
 	
Total costs and expenses	$	(59	)	 	$	(38	)	 	$	(162	)	 	$	(148	)	
Interest expense and investment and other income (loss), net	$	(9	)	 	$	(20	)	 	$	(52	)	 	$	(67	)	

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Condensed Consolidated Balance Sheet

(in millions)	September 30,
2018	 	December 31,
2017	
Transactions with Comcast and Consolidated Subsidiaries	 	 	 	
Receivables, net	$	350	
 	 	$	326	
 	
Note receivable from Comcast	$	1,522	
 	 	$	—	
 	
Accounts payable and accrued expenses related to trade creditors	$	48	
 	 	$	54	
 	
Accrued expenses and other current liabilities	$	20	
 	 	$	50	
 	
Note payable to Comcast	$	41	
 	 	$	1,831	
 	
Long-term debt	$	698	
 	 	$	610	
 	
Other noncurrent liabilities	$	394	
 	 	$	389	
 	
Share-Based Compensation
Comcast maintains share-based compensation plans that consist primarily of awards of restricted share units and stock options to certain employees and directors as part of its approach to long-term incentive compensation. Additionally, through its employee stock purchase plans, employees are able to purchase shares of Comcast common stock at a discount through payroll deductions. Certain of our employees participate in these plans and the expense associated with their participation is settled in cash with Comcast. For the three months ended September 30, 2018 and 2017, we recognized share-based compensation expense of $37 million and $38 million, respectively. For the nine months ended September 30, 2018 and 2017, we recognized share-based compensation expense of $115 million and $103 million, respectively.

68

Exhibit 31.1

CERTIFICATIONS
I, Brian L. Roberts, certify that:
 	 	
1.	I have reviewed this Quarterly Report on Form 10-Q of Comcast Corporation;	
 	 	
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;	
 	 	
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;	
 	 	
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:	
 	 	
a)	designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;	
 	 	
b)	designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;	
 	 	
c)	evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and	
 	 	
d)	disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an Annual Report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and	
 	 	
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):	
 	 	
a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and	
 	 	
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.	
Date: October 25, 2018 

/s/ BRIAN L. ROBERTS
	
Name: Brian L. Roberts	
Title: Chief Executive Officer	

I, Michael J. Cavanagh, certify that:
 	 	
1.	I have reviewed this Quarterly Report on Form 10-Q of Comcast Corporation;	
 	 	
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;	
 	 	
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;	
 	 	
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:	
 	 	
a)	designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;	
 	 	
b)	designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;	
 	 	
c)	evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and	
 	 	
d)	disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an Annual Report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and	
 	 	
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):	
 	 	
a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and	
 	 	
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.	
Date: October 25, 2018 

/s/ MICHAEL J. CAVANAGH
	
Name: Michael J. Cavanagh	
Title: Chief Financial Officer	

Exhibit 31.2

CERTIFICATIONS
I, Brian L. Roberts, certify that:
 	 	
1.	I have reviewed this Quarterly Report on Form 10-Q of NBCUniversal Media, LLC;	
 	 	
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;	
 	 	
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;	
 	 	
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:	
 	 	
a)	designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;	
 	 	
b)	designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;	
 	 	
c)	evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and	
 	 	
d)	disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an Annual Report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and	
 	 	
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):	
 	 	
a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and	
 	 	
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.	
Date: October 25, 2018

/s/ BRIAN L. ROBERTS	
Name: Brian L. Roberts	
Title: Principal Executive Officer	

I, Michael J. Cavanagh, certify that:
 	 	
1.	I have reviewed this Quarterly Report on Form 10-Q of NBCUniversal Media, LLC;	
 	 	
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;	
 	 	
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;	
 	 	
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:	
 	 	
a)	designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;	
 	 	
b)	designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;	
 	 	
c)	evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and	
 	 	
d)	disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an Annual Report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and	
 	 	
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):	
 	 	
a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and	
 	 	
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.	
Date: October 25, 2018

/s/ MICHAEL J. CAVANAGH	
Name: Michael J. Cavanagh	
Title: Principal Financial Officer	

Exhibit 32.1

CERTIFICATION PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT
October 25, 2018 
Securities and Exchange Commission
100 F Street, N.E.
Washington, D.C. 20549

Ladies and Gentlemen:
The certification set forth below is being submitted in connection with the Quarterly Report on Form 10-Q of Comcast Corporation (the “Report”) for the purpose of complying with Rule 13a-14(b) or Rule 15d-14(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Section 1350 of Chapter 63 of Title 18 of the United States Code.
Brian L. Roberts, the Chief Executive Officer and Michael J. Cavanagh, the Chief Financial Officer of Comcast Corporation, each certifies that, to the best of his knowledge:
 	 	
1.	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Exchange Act; and	
 	 	
2.	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Comcast Corporation.	

 	
/s/ BRIAN L. ROBERTS	
Name: Brian L. Roberts	
Title: Chief Executive Officer	

 	
/s/ MICHAEL J. CAVANAGH	
Name: Michael J. Cavanagh	
Title: Chief Financial Officer	

Exhibit 32.2

CERTIFICATION PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT
October 25, 2018
Securities and Exchange Commission
100 F Street, N.E.
Washington, D.C. 20549

Ladies and Gentlemen:
The certification set forth below is being submitted in connection with the Quarterly Report on Form 10-Q of NBCUniversal Media, LLC (the “Report”) for the purpose of complying with Rule 13a-14(b) or Rule 15d-14(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Section 1350 of Chapter 63 of Title 18 of the United States Code.
Brian L. Roberts, the Principal Executive Officer and Michael J. Cavanagh, the Principal Financial Officer of NBCUniversal Media, LLC, each certifies that, to the best of his knowledge:
 	 	
1.	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Exchange Act; and	
 	 	
2.	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of NBCUniversal Media, LLC.	

 	
/s/ BRIAN L. ROBERTS	
Name: Brian L. Roberts	
Title: Principal Executive Officer	

 	
/s/ MICHAEL J. CAVANAGH	
Name: Michael J. Cavanagh	
Title: Principal Financial Officer