Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2014

Summary of Significant Accounting Policies

Schedule of assets measured at fair value on a recurring and non-recurring basis

The following table presents the Company’s assets measured at fair value on a recurring and non-recurring basis at June 30, 2014 and December 31, 2013 (in thousands):

			Fair Value Measurements at Reporting Date
	Total		Level 1		Level 2		Level 3
June 30, 2014 (unaudited):
Interest rate cap derivative agreements	$	2	$	—	$	2	$	—
Life insurance policy (1)		1,214		—		1,214		—
Total assets at June 30, 2014	$	1,216	$	—	$	1,216	$	—
December 31, 2013:
Interest rate cap derivative agreements	$	16	$	—	$	16	$	—
Life insurance policy (1)		1,385		—		1,385		—
Total assets at December 31, 2013	$	1,401	$	—	$	1,401	$	—

(1) Includes the split life insurance policy for one of the Company’s former associates, which the Company has valued using Level 2 measurements. These amounts are included in other assets, net on the accompanying consolidated balance sheets, and will be used to reimburse the Company for payments made to the former associate from the related retirement benefit agreement included in accrued payroll and employee benefits on the accompanying consolidated balance sheets.

Schedule of liabilities measured at fair value on a recurring and non-recurring basis

The following table presents the Company’s liabilities measured at fair value on a recurring and non-recurring basis at June 30, 2014 and December 31, 2013 (in thousands):

			Fair Value Measurements at Reporting Date
	Total		Level 1		Level 2		Level 3
June 30, 2014 (unaudited):
Interest rate swap derivative agreement	$	818	$	—	$	818	$	—
Retirement benefit agreement (1)		1,214		—		1,214		—
Total liabilities at June 30, 2014	$	2,032	$	—	$	2,032	$	—
December 31, 2013:
Interest rate swap derivative agreement	$	1,066	$	—	$	1,066	$	—
Retirement benefit agreement (1)		1,385		—		1,385		—
Total liabilities at December 31, 2013	$	2,451	$	—	$	2,451	$	—

(1) Includes the retirement benefit agreement for one of the Company’s former associates, which the Company has valued using Level 2 measurements. The agreement calls for the balance of the retirement benefit to be paid out to the former associate in 10 annual installments, beginning in 2011. As such, the Company has paid the former associate a total of $0.8 million through June 30, 2014, which was reimbursed to the Company using funds from the related split life insurance policy. These amounts are included in accrued payroll and employee benefits on the accompanying consolidated balance sheets.

Schedule of amortization and write-off of deferred financing fees

Total amortization of deferred financing fees for the three and six months ended June 30, 2014 and 2013 was as follows (in thousands):

	Three Months Ended		Three Months Ended		Six Months Ended		Six Months Ended
	June 30, 2014		June 30, 2013		June 30, 2014		June 30, 2013
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Continuing operations:
Amortization of deferred financing fees	$	736	$	725	$	1,472	$	1,483
Discontinued operations:
Amortization of deferred financing fees		—		—		—		2
Total amortization of deferred financing fees	$	736	$	725	$	1,472	$	1,485

Schedule of computation of basic and diluted earnings (loss) per common share

The following table sets forth the computation of basic and diluted earnings per common share (in thousands, except per share data):

	Three Months Ended		Three Months Ended		Six Months Ended		Six Months Ended
	June 30, 2014		June 30, 2013		June 30, 2014		June 30, 2013
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Numerator:
Net income	$	43,535	$	20,009	$	40,039	$	48,935
Income from consolidated joint venture attributable to non-controlling interest		(1,659)		(1,226)		(3,885)		(1,523)
Distributions to non-controlling interest		(8)		(8)		(16)		(16)
Dividends paid on unvested restricted stock compensation		(97)		—		(197)		—
Preferred stock dividends and redemption charges		(2,300)		(3,510)		(4,600)		(14,413)
Undistributed income allocated to unvested restricted stock compensation		(206)		(126)		(87)		(264)
Numerator for basic and diluted earnings available to common stockholders	$	39,265	$	15,139	$	31,254	$	32,719
Denominator:
Weighted average basic and diluted common shares outstanding		182,604		160,843		181,836		155,987
Basic and diluted earnings available to common stockholders per common share	$	0.22	$	0.09	$	0.17	$	0.21