Note 4 - NewWave Acquisition

3 Months Ended

Mar. 31, 2018

Business Combination Disclosure [Text Block]

4.	NEWWAVE ACQUISITION

May 1, 2017,

the Company acquired all of the outstanding equity interests in NewWave for

$740.2

million in cash on a debt-free basis. Refer to note

for details regarding the financing of the transaction. NewWave was a cable operator providing data, video and voice services to residential and business customers throughout non-urban areas of Arkansas, Illinois, Indiana, Louisiana, Mississippi, Missouri and Texas. Cable One and NewWave shared similar strategies, customer demographics, and products. Accordingly, the acquisition of NewWave offers the Company opportunities for revenue growth and adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) margin expansion as well as the potential to realize cost synergies.

The following table summarizes the allocation of the purchase price consideration as of the acquisition date, reflecting all measurement period adjustments recorded in

2017

(in thousands):

	Purchase Price Allocation
Assets A cquired
Cash and cash equivalents	$	12,220
Accounts receivable		15,027
Prepaid assets		2,286
Property, plant and equipment		192,234
Intangibles		476,300
Other assets		1,184
Total Assets Acquired		699,251

Liabilities A ssumed
Accounts payable and accrued liabilities		25,125
Deferred revenue		14,516
Deferred income taxes		6,644
Total Liabilities Assumed		46,285

Net A ssets A cquired		652,966
Purchase price consideration		740,166
Goodwill R ecognized	$	87,200

measurement period adjustments were recorded during the

three

months ended

March 31, 2018.