Asset Retirement Obligations

9 Months Ended

Sep. 30, 2011

Asset Retirement Obligations [Abstract]

Asset Retirement Obligations

(12) Asset Retirement Obligations — The Company recognizes liabilities and corresponding assets for future obligations associated with the retirement of assets. USA Mobility has paging equipment assets, principally transmitters, which are located on leased locations. The underlying leases generally require the removal of equipment at the end of the lease term; therefore, a future obligation exists.

At December 31, 2010, the Company had recognized cumulative asset retirement costs of $2.3 million. During the first quarter of 2011, the Company recorded an increase of $36,900 in asset retirement costs. During the second quarter of 2011, there was no change to asset retirement costs. During the third quarter of 2011, the Company recorded a net decrease of $0.5 million in asset retirement costs to reflect changes in the timing of removal of transmitters. At September 30, 2011 cumulative asset retirement costs were $1.9 million. The asset retirement cost reductions during the nine months ended September 30, 2011 reflect decreased paging equipment assets that are being depreciated over the related estimated lives of 3 to 57 months. The asset retirement costs, and the corresponding liabilities, that have been recorded to date generally relate to either current plans to consolidate networks or to the removal of assets at an estimated future terminal date.

The components of the changes in the asset retirement obligation liabilities were as follows:

	Short-Term Portion		Long-Term Portion		Total
	(Dollars in thousands)
Balance at December 31, 2010	$	2,027	$	8,194	$	10,221
Accretion		80		536		616
Additions		(106)		(332)		(438)
Reclassifications		758		(758)		—
Amounts paid		(1,872)		—		(1,872)
Balance at September 30, 2011	$	887	$	7,640	$	8,527

The balances above were included with accounts payable and accrued liabilities and other long-term liabilities, respectively, at September 30, 2011.