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Significant Accounting Policies (Policies)
9 Months Ended
Sep. 30, 2017
Accounting Policies [Abstract]  
Basis of Accounting, Policy [Policy Text Block]
Basis of Presentation
 
The
accompanying unaudited condensed consolidated financial statements and notes included in this Quarterly Report on Form
10
-Q have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form
10
-K for the year ended
December 31, 2016.
Certain information and note disclosures normally included in financial statements prepared in accordance with Generally Accepted Accounting Principles in the United States of America (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the SEC. The Company believes the disclosures made are adequate to make the information presented
not
misleading.
 
The Company enters into contracts with its rural health care customers. Customers are billed, and revenue is recognized, for services as provided when it is determined that the selling price is fixed or determinable and collectability is reasonably assure
d. Payment for the services is made, in part, by the customer. The Company also receives funding support for these services through the Federal Communications Commission’s (“FCC”) rural health care universal service support mechanism. As of
September 30, 2017,
the Universal Service Administrative Company (“USAC”), which administers this program, had
not
issued approval notices to the Company's rural health care customers (all of whom had timely applied for funding), or otherwise announced funding levels, for Funding Year
2017,
which began on
July 1, 2017
and ends on
June 30, 2018.
Revenues associated with services provided to the Company's rural health care customers in the
third
quarter of
2017
were recognized based on the amounts that were determinable and for which collectability is reasonably assured. Such amounts were estimated based on recent historical demand and funding approval levels. In the event approved funding varies from the estimated approval level, revenues will be adjusted accordingly.
 
T
he Company has consolidated the financial results of the AQ-JV based on its determination that, for accounting purposes, it holds a controlling financial interest in the joint venture and is the primary beneficiary of this variable interest entity. The Company has accounted for and reported QHL’s
50
percent ownership interest in the joint venture as a noncontrolling interest. See Note
2
Joint Venture
” for additional information.
 
In the opinion of management, the unaudited condensed consolidated financial statements contain all normal, recurring adjustments necessary to present fairly the consolidated financial position, comprehensive income (loss) and cash flows for all periods p
resented. Comprehensive income (loss) for the
three
and
nine
months ended
September 30, 2017,
is
not
necessarily indicative of comprehensive income (loss) which might be expected for the entire year or any other interim periods. The balance sheet at
December 31, 2016
has been derived from the audited financial statements as of that date but does
not
include all information and notes required by GAAP for complete financial statements. Certain reclassifications have been made to the prior year financial statements to conform to the current year presentation.
Use of Estimates, Policy [Policy Text Block]
Use of Estimates
 
The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company
’s consolidated financial statements and the accompanying notes, including estimates of operating revenues, probable losses and expenses. Actual results could differ materially from those estimates.
New Accounting Pronouncements, Policy [Policy Text Block]
Recently Adopted Accounting Pronouncements
 
In the
first
quarter of
2017,
the Company adopted ASU
No.
2016
-
09,
Compensation – Stock Compensation (Topic
718
), Improvements to Employee Share-Based Payment Accounting
” (“ASU
2016
-
09”
). The amendments in ASU
2016
-
09
simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The relevant provisions of ASU
2016
-
09
and the effect of adoption on the Company’s financial statements and related disclosures are summarized as follows: (i) The tax effects of exercised or vested awards should be treated as discrete items in the reporting period in which they occur. Excess tax benefits should be recognized regardless of whether the benefit reduces taxes payable in the current period. Excess tax benefits and tax deficiencies should be recognized as income tax expense or benefit in the income statement. The Company adopted these provisions on a modified retrospective basis. Excess tax benefits and tax deficiencies are included in the income tax provision beginning in the
first
quarter of
2017.
A cumulative-effect adjustment was recorded in the
first
quarter of
2017
to reclassify
$1,441
from additional paid in capital to retained earnings for excess tax benefits and deficiencies recorded to additional paid in capital prior to
2017.
(ii) Excess tax benefits and tax deficiencies should be classified as an operating activity in the statement of cash flows. The Company adopted this provision on a retrospective basis. Tax deficiencies from share-based payments of
$51
classified as a financing activity on the statement of cash flows in the
nine
-month period of
2016
were reclassified to operating activities. See the condensed consolidated statement of cash flows. (iii) An entity
may
make an accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. Prior to
2017,
the Company’s stock-based compensation expense reflected an estimate of the number of awards that were expected to vest, including an estimate of forfeitures. Effective in the
first
quarter
2017,
the Company elected to account for forfeitures when they occur. This provision was adopted on a modified retrospective basis, and a cumulative-effect adjustment was recorded in the
first
quarter of
2017
to reclassify
$163
from additional paid in capital to retained earnings for the effect of this accounting change on periods prior to
2017.
Retained earnings was charged
$96
net of the income tax effect of
$67.
(iv) The threshold to qualify for equity classification permits withholding up to the maximum statutory tax rates. The Company has historically withheld taxes at the minimum statutory rate. Adoption of this provision is
not
expected to have a material effect on the Company’s financial statements. (vii) Cash paid by an employer when directly withholding shares for tax withholding purposes should be classified as a financing activity. This classification is consistent with the Company’s historical practice. See the consolidated statement of stockholders’ equity, Note
9
Stock Incentive Plans
” and Note
10
Income Taxes
” for additional information.
 
In
August 2016,
the
Financial Accounting Standards Board (“FASB”) issued ASU
No.
2016
-
15,
Statement of Cash Flows (Topic
230
), Classification of Certain Cash Receipts and Cash Payments
” (“ASU
2016
-
15”
). The amendments in this update address
eight
specific cash flow classification issues for which current GAAP either is unclear or does
not
include specific guidance, and for which there exists diversity in practice: Debt prepayment or debt extinguishment costs; settlement of
zero
-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. ASU
2016
-
15
is effective for fiscal years beginning after
December 15, 2017,
and interim periods within those years, and early adoption is permitted. The Company adopted ASU
2016
-
15
effective in the
first
quarter of
2017
on a modified retrospective basis as required by the standard. The Company’s cash flow classifications for the
eight
issues addressed in ASU
2016
-
15,
where applicable, were generally consistent with the new guidance. Accordingly, adoption of ASU
2016
-
15
did
not
have a material effect on the Company’s financial statements.
 
In
November 2016,
the FASB issued ASU
No.
2016
-
18,
State
ment of Cash Flows (Topic
230
),
Restricted Cash
” (“ASU
2016
-
18”
). ASU
2016
-
18
requires that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. ASU
2016
-
18
is effective for fiscal years beginning after
December 15, 2017,
and was adopted by the Company effective in the
first
quarter of
2017
as permitted. The Company adopted ASU
2016
-
18
on a retrospective basis as required by the standard. See Note
13
Supplemental Cash Flow Information
” for additional information.
 
Accounting Pronouncements
Issued
Not
Yet Adopted
 
In
May 2014,
the FASB issued ASU
No.
2014
-
09,
Revenue from Contracts with Customers (Topic
606
)
” (“ASU
2014
-
09”
). The amendments in ASU
2014
-
09
and subsequent updates require that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Adoption of the new standard is to be applied on a full retrospective basis or modified retrospective basis. The Company’s assessment of ASU
2014
-
09
and subsequent updates is nearing completion and will be completed during the
fourth
quarter of
2017.
This assessment includes determining the effect of the new standard on the Company’s financial statements, accounting systems, business processes, and internal controls. Based on its assessment to date, the Company does
not
currently expect adoption to have a material effect on its consolidated revenues. It is currently expected that adoption of the new standard will result in the deferral of certain contract fulfillment and other costs, including certain sales commissions, connection costs and modems, which are currently expensed as incurred. Such deferred costs will be amortized over the period that the associated revenue is recognized. Adoption of ASU
2014
-
09
will also require enhanced financial statement disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The Company is currently implementing the new standard, which requires changes to the Company’s accounting systems, business processes and internal controls. The Company will adopt ASU
2014
-
09
effective
January 1, 2018
on a modified retrospective basis.
 
In
February 2016,
the FASB issued ASU
No.
2016
-
02
, “
Leases
(Topic
842
)
” (“ASU
2016
-
02”
). The primary change in GAAP addressed by ASU
2016
-
02
is the requirement for a lessee to recognize on the balance sheet a liability to make lease payments (“lease liability”) and a right-of-use asset representing its right to use the underlying asset for the lease term. The accounting applied by a lessor is largely unchanged from that applied under previous GAAP. ASU
2016
-
02
also requires qualitative and quantitative disclosures to enable users of the financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. ASU
2016
-
02
is effective for fiscal years beginning after
December 15, 2018,
including interim periods within those years. Lessees must apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The Company is evaluating the effect that ASU
2016
-
02
will have on its consolidated financial statements and related disclosures.
 
In
March 2017,
the FASB issued ASU
No.
2017
-
07,
Compensation – Retirement Benefits (Topic
715
)
” (“ASU
2017
-
07”
). The amendments in ASU
2017
-
07
require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees. The other components of net benefit costs are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if
one
is presented. If a separate line item or items are used to present the other components of net benefit costs, that line item or items must be appropriately described. If a separate line item or items are
not
used, the line item or items used in the income statement to present the other components of net benefit cost must be disclosed. ASU
2017
-
07
also requires that only the service cost component is eligible for capitalization when applicable. ASU
2017
-
07
is effective for fiscal years beginning after
December 15, 2017.
The Company does
not
currently expect that adoption of ASU
2017
-
07
will have a material effect on its consolidated financial statements and related disclosures.
 
In
May 2017,
the FASB issued ASU
No.
2017
-
09,
Compensation – Stock Compensation (Topic
718
)
” (“ASU
2017
-
09”
). The amendments in ASU
2017
-
09
are intended to provide clarity, and reduce diversity in practice and the cost and complexity of applying the guidance in Topic
718.
The primary provision of ASU
2017
-
09
is to provide guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. An entity should account for the effects of a change as a modification unless all the following conditions are met: (i) The fair value of the modified award is the same as the fair value of the original award immediately before the original award is modified. If the modification does
not
affect any of the inputs to the valuation technique that the entity uses to value the award, the entity is
not
required to estimate the value immediately before and after the modification. (ii) The vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the original award is modified. (iii) The classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. ASU
2017
-
09
is effective for fiscal years beginning after
December 15, 2017.
Early adoption is permitted, including adoption in any interim period. The amendments in this update should be applied prospectively to awards modified on or after the adoption date. The effect of the adoption of ASU
2017
-
09
on the Company’s financial statements and related disclosures will be dependent on the frequency and types of changes made to its share-based payment awards.
 
In
August 2017,
the FASB issued ASU
No.,
2017
-
12,
Derivatives and Hedging (Topic
815
), Targeted Improvements to Accounting for Hedging Activities
” (“ASU
2017
-
12”
). The amendments in ASU
2017
-
12
are intended to improve and simplify the accounting rules for hedge accounting, including providing a better portrayal of the economic results of an entity’s risk management activities in its financial statements and simplification of the application of hedge accounting guidance. The new guidance eliminates the requirement to separately measure and report hedge ineffectiveness and, for qualifying hedges, requires the entire change in the fair value of the hedging instrument to be presented in the same income statement line as the hedged item. ASU
2017
-
12
is effective for fiscal years beginning after
December 15, 2018.
Early adoption is permitted in any interim period or fiscal year prior to the effective date. The accounting and disclosure requirements are to be adopted on a prospective basis and a cumulative-effect adjustment is to be recorded for cash flow and net investment hedges existing at the date of adoption. The Company is evaluating the effect that ASU
2017
-
12
will have on its consolidated financial statements and related disclosures.