This is the Live Blogging of the Time Warner (TWX) conference call.

As a reminder. the company posted $12.5 Billion revenues (up slightly from the $12.49 Billion estimates) and EPS was $0.22 (versus First Call $0.23, Reuters and StarMine both $0.22). AOL's OIBDA was $2.57 billion and cable was $4.229 billion for the year and $302 M and $1.309 B respectively for the quarter. The company has spent $16.4 billion for 912 million shares to date, which gives an approximate average repurchase price at $17.98 since its buyback commenced. OIBDA for TWX as a whole expected to grow mid to high teens in 2007 OIBDA, and EPS is expected at $1.00 EPS for 2007. It still plans on maximizing return to shareholders in 2007, as well as returning cash.

AOL still posted $1.245 billion in subscriber revenues, despite the fact that these are being trimmed. Ad revenues grew 49% to $566M and 'other' AOL revenues were $45M. AOL domestic ad revenues less TAC (traffic acquisition costs), average monthly domestic unique users was 111 million, ad revenue per user was $3.25 in the quarter and $11.13 for all of 2006, page views were 44.383 million in the quarter and 197.374 million for the year, average monthly page views was 133 for the quarter and 148 for the year, domestic ad revenues less TAC per 1000 page views was $8.13 in the quarter and $6.26 for the year on average.

The ad growth is above industry according to Parsons, and they are on track to reach long term goals of growing page views and grow online ads at or above industry. After 6 months the management team is focusing on laying groundwork and driving up incremental usage. It met all overall expectations and achieved priorities from 2006 goals and are on track for another great 2007.

8:55 AM: ON THE CABLE FRONT, 'TWC' is sort of on hold until the dissenting creditors are out of the way. As far as Time Warner CABLE becoming public it had the IPO option or the spin-off plan; it has simultaneously been moving towrd both/either but creditors of Adelphia has the stay until FEB 26 blocking the spin-off. It is proceeding for Time Warner Cable to be independent. Cable is offering the small to mid sized business phone service and will start advanced advertising in cable.

The company is also in discussions with Liberty over a stake ownership Liberty holds in TWX, and while it is confident a deal can happen parsons said he cannot guarantee a deal will be reached. TWX has repurchased almost 20% at average of just under $18.00 and will complete the buyback in the first half of the lyear and will run the balance sheet at 3-TIMES LEVERAGE. It will then determine how to allocate capital.

9:00 AM: 2006 free cash flow was $4.8 Billion, and OIBDA conversion was at the higher-end of expectations. It has $33 Billion in net debt, up $17 Billion from 2005; $14B was for share buybacks and the rest was used for Adelphia. It paid over $900M in dividends in 2006. The $1.00 is again used as guidance for 2007 EPS, but it faces difficult comparisons for Q1 because of harry Potter and Wedding crashers making a Q1 2007 hard on comparables for Warner. All of these are smoothed out and part of 2007 anticipations.

AD.COM revenues were up 43%. THE AOL for free shift saw 8% declines in revenues (which is amazing that it hasn't fallen much more). $179 million was the restructuring charges for AOL in the quarter. Subscribers aretransitioning and they are signing up new free memebers. They have had 3 million transition to free and received 3 million more for the free AOL service. It still has 13.2 million paying Access.

Publishing revenues fell 1% in ads due to magazines ad drops and magazine closures.

JIM is starting the Q&A. Live Blog of Q&A session continues here.