The financial statements included below represent the unaudited condensed combined financial statements of the QVC Debtors only. Certain foreign and domestic subsidiaries were not part of the Chapter 11 petition filing. These statements reflect the results of operations, financial position and cash flows of the combined QVC Debtor subsidiaries, including certain amounts and activities between QVC Debtor and non-Debtor subsidiaries of the Company, which are eliminated in the consolidated financial statements.


Condensed Combined Balance Sheet (unaudited)
	June 30,
(in millions)	2026
Assets
Current assets:
Cash and cash equivalents	$	675
Trade and other receivables, net of allowance for credit losses of $51 million	483
Inventories	583
Other current assets	557
Total current assets	2,298
Property and equipment, net of accumulated depreciation of $403 million	153

Intangible assets not subject to amortization: Tradenames	1,190
Intangible assets subject to amortization, net	212
Operating lease right-of-use assets	340
Other noncurrent assets	55
Assets held for sale noncurrent	17
Investment in non-debtor affiliates	3,237
Total assets	$	7,502
Liabilities and Equity
Current liabilities:
Accounts payable	$	282
Accrued liabilities	326
Current debt	1
Payable to non-debtor affiliates	21
Other current liabilities	41
Total current liabilities	671
Deferred income tax liabilities	167
Operating lease liabilities	330
Loans due to non-debtor affiliates	1,591
Other liabilities	59
Liabilities subject to compromise	5,093
Total liabilities	7,911
Equity:
Stockholder's equity:	(409)
Total liabilities and equity	$	7,502


Condensed Combined Statements of Operations (unaudited)
	Three months ended June 30, 2026		Six months ended June 30, 2026
(in millions)
Revenue, net	$	1,216	2,447
Revenue from non-debtor affiliates	10		19
Total revenue, net	1,226		2,466
Operating costs and expenses:
Cost of goods sold (excluding depreciation and amortization shown separately below)	804		1,626
Operating expense	90		182
Selling, general and administrative, including stock-based compensation and pre-petition charges	240		483
Depreciation and amortization	58		119

	1,192		2,410
Operating (loss) income	34		56
Other income (expense):
Reorganization items, net	(59)		(59)
Interest expense	(15)		(92)
Interest expense from non-debtor affiliates	(11)		(24)
Interest income	8		18
Other (expense) income	—		2
	(77)		(155)
Earnings (loss) before income taxes	(43)		(99)
Income tax (expense) benefit	(3)		3
Net earnings (loss)	$	(46)	(96)


Condensed Combined Statement of Cash Flow (unaudited)
	Six months ended June 30,
(in millions)	2026
Cash flows from operating activities:
Net cash provided (used) by operating activities (1):	$	(2)
Cash flows from investing activities:
Capital expenditures	(55)
Expenditures for television distribution rights	(15)


Net cash provided (used) by investing activities	(70)
Cash flows from financing activities:



Other financing activities with non-debtor affiliates, net	(15)
Other financing activities, net	(7)
Net cash provided (used) by financing activities	(22)

Net increase (decrease) in cash, cash equivalents and restricted cash	(94)
Cash, cash equivalents and restricted cash, beginning of year	1,213
Cash, cash equivalents and restricted cash, end of year	$	1,119

(1) The difference between the amount of Net cash provided by operating activities included in the table above and the amount of Net cash provided by operating activities included in the Condensed Consolidated Statements of Cash Flows for the same period primarily relates to the fact that the table above: (i) excludes the operating cash flows of our Non-Debtor Affiliates, which are included in the Condensed Consolidated Statements of Cash Flows, and (ii) includes the effects of the operating cash flows of the Debtors with the Non-Debtor Affiliates, which are eliminated in the Condensed Consolidated Statements of Cash Flows.