Company: LBRDK
Filing Date: 2025-01-17
Form Type: PRER14A
Source: 0001140361-25-001417
Chunk: 218

Company: Liberty Broadband Corp
Filing Date: 2025-01-17
Form: PRER14A
Chunk 218
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. As a result of the delayed closing, there may be a substantial amount of time between the respective Charter special meeting and Liberty Broadband special meeting and the completion of the combination. During this time, the market price of Charter Class A common stock may fluctuate and it is therefore impossible to accurately predict the value of common stock consideration that Liberty Broadband stockholders will receive. Additionally, the delayed closing heightens the risk that a proposed tax law change or other change in applicable law may occur during the interim period which adversely affects the combination, including the intended tax treatment thereof. Many of these factors are beyond Charter’s and Liberty Broadband’s control. For more information, see “Risk Factors—Risks Related to the Combination.”

#### Accounting Treatment
Charter and Liberty Broadband prepare their financial statements, respectively, in accordance with GAAP. Charter will account for the acquisition of Liberty Broadband as a treasury stock repurchase of Charter shares held by Liberty Broadband. Charter will record the treasury stock repurchase at cost based on the merger consideration including the fair value of Charter stock issued to Liberty Broadband stockholders as of the closing date and cash settlements directly related to the combination. Charter will account for any remaining assets owned by Liberty Broadband following the GCI divestiture as asset acquisitions.

#### Regulatory Approvals
**The acquisition of Liberty Broadband by Charter, or the receipt by members of the Malone Group or the Maffei Group of shares of Charter Class A common stock as merger consideration may be subject to the HSR Act and the rules promulgated thereunder. To the extent applicable, Charter, Liberty Broadband and the applicable Liberty Broadband stockholders will make the appropriate filings, as necessary, pursuant to the HSR Act as promptly as reasonably practicable after the date that is one year prior to June 30, 2027 (and/or such other date as reasonably determined by the parties such that the end of the initial waiting period under the HSR Act is no earlier than one year prior to the closing). To the extent applicable, completion of the acquisition of Liberty Broadband by Charter would be subject to the expiration or earlier termination of the applicable waiting period and any commitments by the parties not to close before a certain date under a timing agreement entered into with a governmental authority, in each case, in respect of the combination or the conversion of the Liberty Broadband capital stock pursuant to the merger agreement under the HSR Act.

Charter and Liberty Broadband do not expect the completion of the acquisition of Liberty Broadband by