1082114--3/24/2009--LIBERTY_MEDIA

related topics

{capital, credit, financial}

{product, market, service}

{condition, economic, financial}

{competitive, industry, competition}

{operation, international, foreign}

{personnel, key, retain}

{product, candidate, development}

{cost, operation, labor}

{system, service, information}

{investment, property, distribution}

{debt, indebtedness, cash}

{property, intellectual, protect}

{customer, product, revenue}

{regulation, change, law}

Factors Relating to our Company We do not have the right to manage our business affiliates, which means we are not able to cause those affiliates to operate in a manner that is favorable to us. The liquidity and value of our interests in our business affiliates may be affected by market conditions beyond our control that could cause us to record losses for declines in the market value of our available for sale securities. A substantial portion of our consolidated debt is held above the operating subsidiary level, and we could be unable in the future to obtain cash in amounts sufficient to service that debt and our other financial obligations. Certain of our subsidiaries and business affiliates depend on a limited number of potential customers for carriage of their programming. Rapid technological advances could render the products and services offered by our subsidiaries and business affiliates obsolete or non-competitive. Certain of our subsidiaries and business affiliates depend on their relationships with third party distribution channels, suppliers and advertisers and any adverse changes in these relationships could adversely affect our results of operations. Adverse events or trends in the industries in which our subsidiaries and business operate could harm our company. Our subsidiaries and business affiliates are subject to risks of adverse government regulation. The success of certain of our subsidiaries and business affiliates whose businesses involve the Internet depends on maintaining the integrity of their systems and infrastructure. The success of certain of our subsidiaries and business affiliates depends on audience acceptance of its programs and programming services which is difficult to predict. Increased programming and content costs may adversely affect profits. Weakening economic conditions may reduce consumer demand for our products and services. Disruptions in the worldwide credit and equity markets have increased the risk of default by the counterparties to our financial instruments and cash investments. QVC conducts its merchandising businesses under highly competitive conditions. QVC's sales and operating results depend on its ability to predict or respond to consumer preferences. QVC depends on the cable and satellite distributors that carry its network, and no assurance can be given that QVC will be able to renew its affiliation agreements on favorable terms or at all. Consumer retail spending can decline significantly during periods of general economic uncertainty or during recessionary periods when disposable incomes decline. QVC's success depends in large part on its ability to recruit and retain key employees capable of executing its unique business model. QVC has operations outside of the United States that are subject to numerous operational and financial risks. competes with other MVPDs, some of whom have greater resources than does and levels of competition are increasing. Emerging digital media competition could materially adversely affect DIRECTV. DIRECTV depends on others to produce programming and programming costs are increasing. DIRECTV's subscriber acquisition costs could materially increase. Increased subscriber churn or subscriber upgrade and retention costs could materially adversely affect DIRECTV's financial performance. Results are impacted by the effect of, and changes in, United States and Latin America economic conditions and weakening economic conditions may reduce subscriber spending and DIRECTV's rate of growth of subscriber additions and may increase subscriber churn. DTVLA is subject to various additional risks associated with doing business internationally, which include political instability, economic instability, and foreign currency exchange rate volatility. DIRECTV's ability to keep pace with technological developments is uncertain. DIRECTV's business relies on intellectual property, some of which is owned by third parties, and DIRECTV may inadvertently infringe patents and proprietary rights of others. DIRECTV relies on key personnel. Construction or launch delays on satellites could materially adversely affect DIRECTV's revenue and earnings. DIRECTV's satellites are subject to significant launch and operational risks. The cost of commercial insurance coverage on its satellites or the loss of a satellite that is not insured could materially adversely affect DIRECTV's earnings. DIRECTV depends on the Communications Act for access to cable-affiliated programming and changes impacting that access could materially adversely affect DIRECTV. Carriage requirements may negatively affect DIRECTV's ability to deliver local broadcast stations, as well as other aspects of its business. Satellite programming signals have been stolen and may be stolen in the future, which could result in lost revenue and would cause DIRECTV to incur incremental operating costs that do not result in subscriber acquisition. The ability to maintain FCC licenses and other regulatory approvals is critical to DIRECTV's business. DIRECTV controls a substantial portion of interaction with its customers and it may not be as efficient or effective as its outsourced providers resulting in higher costs. DIRECTV may not be able to obtain or retain certain foreign regulatory approvals.

Full 10-K form ▸

1082114--3/24/2009--LIBERTY_MEDIA_LLC