The cable giant, which is resisting a takeover attempt by
On a call with analysts to discuss its fourth-quarter results, Time Warner Cable officials said its capital spending would be about $3.8 billion annually over the next three years with much of that money used to improve its service.
In Southern California, the first two areas to be overhauled are to be West Hollywood and Costa Mesa.
Officials also said the company is converting its network in Southern California to all-digital, which means any customers that have no cable box and connect directly to a wall outlet will need to get a set-top adapter to receive TV service. The move, Time Warner Cable said, allows for more bandwidth that can then be redeployed for faster broadband.
The pay-TV distributor said it is also going to make its video-on-demand platform easier to navigate and will boost its library of content to about 75,000 hours of product. Time Warner Cable will also start to offer advanced set-top boxes that can record up to six channels at the same time, officials said. Currently, most customers can only record two channels at the same time.
For the quarter ending Dec. 31, 2013, Time Warner Cable had better-than-expected results. The company, which has 14.4 million customers overall and 11.2 million video subscribers, said profits jumped 5% to $540 million. Revenues increased about 2% to 5.6 billion.
The company continued to lose video subscribers, primarily as a result of its ugly fight with
Marcus reiterated that Charter's current offer of $37.4 billion or $132.50 per share for Time Warner Cable is insufficient. Including debt, Charter's offer is valued at $61.4 billion. Marcus said an offer of $160 per share, of which $100 would be in cash and $60 in Charter stock would bring Time Warner Cable to the table.
"That's a firm position," he said.