Major Components of Assets and Liabilities of Discontinued Operations |
The major
components of assets and liabilities of our discontinued operations
were as follows:
|
|
|
|
|
|
|
|
|
|
|
December 31, |
|
(in thousands)
|
|
2013 |
|
|
2012 |
|
Current
assets:
|
|
|
|
|
|
|
|
|
Accounts receivable,
net
|
|
$ |
2,168 |
|
|
$ |
35,618 |
|
Inventory, less
allowances
|
|
|
818 |
|
|
|
8,588 |
|
Deferred advertising
costs
|
|
|
— |
|
|
|
3,506 |
|
Advances
|
|
|
— |
|
|
|
10,708 |
|
Other current
assets
|
|
|
226 |
|
|
|
532 |
|
|
|
|
|
|
|
|
|
|
Total current
assets
|
|
|
3,212 |
|
|
|
58,952 |
|
Property and equipment,
net
|
|
|
— |
|
|
|
453 |
|
Media library,
net
|
|
|
— |
|
|
|
2,649 |
|
Goodwill
|
|
|
— |
|
|
|
6,731 |
|
Other intangibles,
net
|
|
|
— |
|
|
|
5,418 |
|
Other assets
|
|
|
10 |
|
|
|
11 |
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$ |
3,222 |
|
|
$ |
74,214 |
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
Line of credit
|
|
$ |
— |
|
|
$ |
16,231 |
|
Accounts
payable
|
|
|
1,121 |
|
|
|
7,920 |
|
Participations
payable
|
|
|
— |
|
|
|
569 |
|
Accrued
liabilities
|
|
|
475 |
|
|
|
25,175 |
|
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
$ |
1,596 |
|
|
$ |
49,895 |
|
|
|
|
|
|
|
|
|
|
|
Income from Discontinued Operations Amounts as Reported on Consolidated Statements of Operations |
The income
from discontinued operations amounts as reported on our
consolidated statements of operations were comprised of the
following amounts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
(in thousands)
|
|
2013 |
|
|
2012 |
|
|
2011 |
|
Net revenue
|
|
$ |
53,539 |
|
|
$ |
75,232 |
|
|
$ |
51,082 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations
before income taxes
|
|
|
2,386 |
|
|
|
10,417 |
|
|
|
59 |
|
Exit activity and asset
impairment charges before income taxes (a)
|
|
|
(1,776 |
) |
|
|
— |
|
|
|
— |
|
Income tax
expense
|
|
|
(209 |
) |
|
|
(3,769 |
) |
|
|
(56 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations of
discontinued operations
|
|
|
401 |
|
|
|
6,648 |
|
|
|
3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain (loss) on disposal
of discontinued operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on sale of GVE
before income taxes
|
|
|
5,622 |
|
|
|
— |
|
|
|
— |
|
Loss on abandonment of
DRTV before income taxes (b)
|
|
|
(9,481 |
) |
|
|
— |
|
|
|
— |
|
Income tax
expense
|
|
|
1,463 |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain from disposal of
discontinued operations
|
|
|
(2,396 |
) |
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from discontinued
operations.
|
|
$ |
(1,995 |
) |
|
$ |
6,648 |
|
|
$ |
3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) |
In direct conjunction
with the discontinuing of our GVE and DRTV operations, during 2013
we recognized exit activity charges of $0.8 million for employee
termination benefits and $1.0 million for non-cancellable facility
leases, of which $0.3 million had been paid as of December 31,
2013, the balance of these amounts is expected to be paid in
2014 |
(b) |
As a direct result of the
discontinuance of our GVE and DRTV operations, we recognized
impairment charges of $2.5 million for inventory, $3.8 million for
deferred advertising costs, $0.8 million for advances, $0.4 million
for property and equipment, $2.1 million for media library, $6.7
million for goodwill, and $3.5 million for other
intangibles. |
|