XML 42 R11.htm IDEA: XBRL DOCUMENT v3.3.0.814
CASH AND CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS; OTHER NON-CURRENT ASSETS
9 Months Ended
Sep. 30, 2015
CASH AND CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS; OTHER NON-CURRENT ASSETS  
CASH AND CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS; OTHER NON-CURRENT ASSETS

 

4. CASH AND CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS; OTHER NON-CURRENT ASSETS

        The Company's cash and cash equivalents and short-term investments comprise bank accounts and term deposits. Deposits with an original maturity ranging from 91 to 365 days are classified as short-term investments. Below are breakdowns of cash and cash equivalents and short-term investments:

                                                                                                                                                                                    

 

 

December 31,
2014

 

September 30,
2015

 

Cash and cash equivalents:

 

 

 

 

 

 

 

Russian ruble bank accounts

 

$

30,672 

 

$

16,266 

 

U.S. dollar bank accounts

 

 

5,861 

 

 

67,122 

 

Other

 

 

1,303 

 

 

651 

 

​  

​  

​  

​  

Total cash and cash equivalents

 

$

37,836 

 

$

84,039 

 

​  

​  

​  

​  

​  

​  

​  

​  

 

                                                                                                                                                                                    

 

 

December 31, 2014

 

September 30, 2015

 

 

 

Annual interest rate

 

Amount

 

Annual interest rate

 

Amount

 

Short-term investments:

 

 

 

 

 

 

 

 

 

 

 

Ruble-denominated deposits

 

 

 

$

 

 

 

$

 

U.S. dollar-denominated deposits

 

0.55% - 3.9%

 

$

103,800 

 

2.1% - 2.49%

 

$

17,200 

 

​  

​  

​  

​  

Total short-term investments

 

 

 

$

103,800 

 

 

 

$

17,200 

 

​  

​  

​  

​  

​  

​  

​  

​  

        Other non-current assets—On March 20, 2014, the United States imposed sanctions on Bank Rossiya, a Russian open joint stock company, and Bank Rossiya was placed on the Specially Designated Nationals ("SDN") and Blocked Persons List of the U.S. Department of the Treasury, Office of Foreign Assets Control ("OFAC"). On April 28, 2014, LLC IC Abros, a holding company related to Bank Rossiya, was also designated an SDN. At that time, more than 50% of the voting capital of Telcrest Investments Limited ("Telcrest"), one of the Company's principal stockholders, was beneficially owned, directly or indirectly, by Bank Rossiya and LLC IC Abros, and therefore the shares of the Company's common stock held by Telcrest were identified as "blocked property" pursuant to OFAC requirement. Although Telcrest notified the Company on September 25, 2015 that it is no longer 50% or more owned, directly or indirectly, in the aggregate by one or more SDNs, including Bank Rossiya, the Company believes that because its shares held by it have been reported as blocked property, such shares remain blocked until affirmatively unblocked by OFAC.

        In 2014 and the first quarter of 2015, dividends totaling $34,605 otherwise payable to Telcrest were blocked pursuant to the U.S. sanctions described above and paid into a separate interest-bearing bank account for the benefit of Telcrest (and amount of interest accrued as of September 30, 2015: $0.6 million), but to which Telcrest will not have access while the shares of the Company's common stock held by Telcrest remain blocked property pursuant to OFAC requirements.

        In addition, as of September 30, 2015, other non-current assets included advance payments to RTRS towards the construction of the digital infrastructure in the 50– coverage regions of approximately $6.7 million. See Note 9, Commitments and Contingencies "—Purchase Commitments".