Time Warner Cable versus Time Warner

Although Time Warner Cable (TW) and Time Warner (TWX) need each other, the two companies are completely different entities. Aside from their interlocked history and names that cause confusion, the two companies deal with very different directions of the same business. Since the two companies split in 2009 they remained intertwined but the companies have significant differences from each other.

*Time Warner Cable (TWC) is a cable television company owned by Charter Communications.
Time Warner is multinational mass media and entertainment conglomerate owned by AT&T.

Until March 2009 Time Warner managed Time Warner Cable as a subsidiary and held an 84% stake in Time Warner Cable. This however ended when TWC was spun out as an independent company. After the spun out non-Time Warner shareholders received 0.083670 shares for each share already owned. This move made Time Warner Cable the largest cable operator in the United States owned solely by a single class of shareholders (without supervoting stock).

Sources:

Fool

Wikipedia

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