Time Warner Says AT&T Merger on Track

NEW YORK – Time Warner Inc. reported financial results for its fourth quarter and full year ended December 31, 2016. The company said its proposed merger with AT&T should be completed later this year and is awaiting government approval.

Full-year revenues increased 3% to $29.3 billion. Warner Bros. made up $13.0 billion in revenue, the Turner division $11.3 billion and Home Box Office generated $5.89 billion for the year. Turner includes cable networks CNN, TBS and TNT.

Fourth-quarter revenue at the company was up 11% to $7.9 billion.

Chairman and Chief Executive Officer of Time Warner Jeff Bewkes said: “We had another very successful year in 2016, demonstrating once more Time Warner’s ability to deliver strong financial performance alongside creative and programming excellence. All our operating divisions increased revenue and profits while also making investments to capitalize on the growing demand for the very best video content and new ways to deliver it to audiences around the world. Warner Bros. is once again the #1 supplier of television shows for the broadcast networks, and had its second-best year ever at the global box office, nearing $5 billion in receipts with such hits as Batman v. Superman: Dawn of Justice, Suicide Squad and Fantastic Beasts and Where to Find Them.”

Bewkes continued: “HBO again stood apart with its combination of the biggest Hollywood hit movies and best original programming — receiving more Primetime Emmy Awards in 2016 than any other network for the 15th consecutive year and launching Westworld, which is produced by Warner Bros. and is the most-watched new series in HBO’s history. We’re also really pleased with the growth of HBO’s domestic OTT product, and we expanded HBO’s international OTT footprint with launches in Spain, Brazil and Argentina in 2016. Turner continued to strengthen its leadership with TBS, TNT and Adult Swim all ranking among ad-supported cable’s top five networks in primetime among adults 18-49 for the year. TBS was the #1 ad-supported entertainment cable network on the strength of great sports and a bold new lineup of originals, including Full Frontal with Samantha Bee, and CNN was the #1 news network among adults 18-49 in primetime and the #1 digital news destination in 2016. The deal to be acquired by AT&T Inc., which we announced in October 2016, will accelerate our efforts to spur innovation in the media industry and further strengthen our businesses. We remain on track to close the transaction later this year.”

AT&T said it would pay $107.50 per share for Time Warner in a deal announced last October.