Charter Communications Inc. Q1 2010 Earnings Conference Call Summary

The following is excerpted from the question-and-answer section of the transcript.

Question: Mike Pace - JPMorgan - Analyst : Hi, thanks and good morning. Two quick questions for Eloise, one for Mike. Eloise, can you give us an update on the equity in terms of trading on the NASDAQ, where you are with that progress? And then as far as the capital structure goes, although you have extended maturities, I'm curious your thoughts on the total aggregate amount of bank debt that you have on the balance sheet. Does that need to be reduced over time? And I'm not thinking leverage, I'm just thinking total dollars. Then for Mike, I'm wondering if you could discuss your thoughts on what is going on on the regulatory front. Specifically the FCC, what we've been reading about, whether net neutrality or the potential for items to be regulated more like phone services, et cetera. So if you can add some color on that, that would be helpful, thanks.

Question: Jason Kim - Goldman Sachs - Analyst : Hi, good morning. Thank you for taking my questions, and I just want to thank Eloise for all of your help over the years. The first question is on the RGU side, which were very strong the first quarter. I was wondering if could you gives more color in terms of what you see in terms of your gross adds versus churn, what's been driving that growth in the first quarter, and if there has been anything that's changed from your side in terms of your promotional stance or marketing message. And as a related question to that, if you think the Charter emerging from bankruptcy has helped in terms of your RGU performance since -- I think you had mentioned the last quarterly call that you thought that there were some disproportionate amount of marketing dollars being spent by the satellite operators in your footprint while you're in bankruptcy.

Question: Jason Kim - Goldman Sachs - Analyst : Okay, great, thanks. And then the next question is on the margin side, if I kind of back out the $6 million benefit that impacted the first quarter of 2009, it seemed like the core margins were pretty much flat year-over-year. I'm not looking for specific guidance or anything of that nature, but is that the kind of directional trend that we could be looking at for the rest of 2010? Because you did see tremendous margin expansion in 2009, but as you look to reinvest more into your business, including the things like commercial, and now your RGU gross adds or net adds has been accelerating, so in terms of aflat margin performance is what we could be expecting for 2010? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: Jason Kim - Goldman Sachs - Analyst : Got it. And just a couple of quick ones. Are you still not swapped out on your bank debt right now, and if not, are you planning to enter into new swaps? And the last question is, there was recent article about your chairman leaving his current employer, but just want to confirm that he will remain as chairman or not for charter right now.

Question: Jason Kim - Goldman Sachs - Analyst : Okay, thank you very much.

Question: David Joyce - Miller Tabek - Analyst : -- provide some color on any lumpiness on carriage or retrans fees that you would be seeing over the course of the next 12 months or so. I know you already gave some programming expense guidance, but is there anything in particular we should be looking for to model in there? And then secondly, if could you give some color on how much of your -- the footprint you think is covered by U-verse and FiOS at this point, now that they are, at least on the FiOS side, decelerating. Thanks. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: David Joyce - Miller Tabek - Analyst : Thank you.

Question: John Carns - Sadler Capital - Analyst : A couple of housekeeping first. I missed the number that you said was -- how many triple play or triple play penetration do you have?

Question: John Carns - Sadler Capital - Analyst : Okay, and when you said the bundle penetration was 58%, was the denominator customer relationships or video customers?

Question: John Carns - Sadler Capital - Analyst : Okay. Why shouldn't margins actually come under some pressure if you are going to be stepping up from maybe 5.5% programming cost increases to maybe 9% in the next three-quarters? Why shouldn't margins actually dip a bit from the first quarter?

Question: Jeff Volderchek - Research Group - Analyst : Good morning, guys. It's [Jeff Volderchek]. Couple of big picture questions for Mike. What are your thoughts around going all digital across your footprint? And as we think longer term, obviously you've got some spend over the next couple years, but what's a reasonable level of CapEx, as a percent of revenue as we think out? And then also, wanted to get your thoughts around potentially selling non-core systems because obviously, there's a strong market, there seems to be a favorable environment to private equity cable financing. Thanks.

Question: Jeff Volderchek - Research Group - Analyst : Just wondering about your thoughts about going all digital, and if you are considering going all digital, what the timeframe would be.

Question: Jeff Volderchek - Research Group - Analyst : Great, and if I could ask just one more. Seasonally, second quarter is the weakest result of the year for the cable industry. You've got a lot of operational momentum. Is there any reason to think there's less seasonality in the second quarter? And if you could give us any color on trends so far in second quarter, that would be helpful.

Question: Jeff Volderchek - Research Group - Analyst : Great, thank you.

Question: Ron Consiglio - Cantor Fitzgerald - Analyst : Hi, I'm sorry if I might have missed this. But wanted to touch base with you guys on consolidation. We're hearing about various properties coming to market and wanted to get a sense for whether you guys would be players and looking at new acquisitions. Or would you be looking to dispose, or is it possible swaps?

Question: Ron Consiglio - Cantor Fitzgerald - Analyst : Alright, great, thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: John Carns - Sadler Capital - Analyst : Last nit-picky question. You mentioned 120 million shares outstanding. The press release mentions 113 million. Which is the "right number"?

Question: John Carns - Sadler Capital - Analyst : So what's the total outstanding shares?

Question: John Carns - Sadler Capital - Analyst : What was the 120?

Question: John Carns - Sadler Capital - Analyst : Okay, so it's 113 total outstanding. I appreciate the help. Thanks. Oh, listen, one other thing, I'm sorry. Do you have any presentations coming up at any brokerage house sponsored presentations?

Question: John Carns - Sadler Capital - Analyst : MENI in LA, okay, thanks a lot.

Question: John Carns - Sadler Capital - Analyst : Yes, thanks.