Shareholder's Equity

6 Months Ended

Jun. 30, 2020

(6) Shareholders' Equity

Share Repurchases. On March 26, 2019, the Company announced that its Board had authorized a share repurchase program, enabling the repurchase of up to $50 million of its Class A ordinary shares through August 31, 2020. The Company exhausted this authorization in September 2019. Subsequently, on November 21, 2019, the Company announced that its Board had authorized the repurchase of an additional $50 million of its Class A ordinary shares through December 31, 2020. Share repurchases under the authorized plans could be effected on behalf of the Company through open market transactions, privately negotiated transactions, or otherwise, pursuant to SEC trading rules.

During the three months ended March 31, 2020, the Company repurchased and canceled 505,699 of its outstanding Class A ordinary shares for an aggregate purchase price of $16.9 million inclusive of stamp taxes of $0.1 million. On April 1, 2020, the Company announced the suspension of its buyback program as part of its Pandemic related business update.

Additional Paid-In Capital. Included in the balance of Additional paid-in capital are the net amounts paid to settle the convertible note hedges and the associated warrants that the Company entered into in conjunction with the issuance of its Convertible Notes in 2013. These instruments were partially settled upon the partial repurchase of the Convertible Notes in June 2020, in proportionate amounts. During the three months ended June 30, 2020, the Company received $0.4 million upon settlement of convertible note hedges that were canceled and paid $1.4 million to settle the warrants that were canceled. These figures are reported together with the associated fees in the Company's Consolidated Statements of Shareholders Equity. See Note 9, Current and Long-Term Debt for additional information on the Convertible Notes and the related equity instruments.

Accumulated Other Comprehensive Loss, net. Accumulated other comprehensive loss, net, is a separate component of Shareholders’ equity in the Consolidated Balance Sheets. The following tables present the changes in the balances of each component of Accumulated other comprehensive loss, net, for the three and six months ended June 30, 2020:



	Foreign Currency Translation Adjustments			Unrealized Losses on Interest Rate Swap and Foreign Currency Forward Contracts			Total
	(In thousands)
Total accumulated other comprehensive loss, net as of March 31, 2020	$	(78,763)	⁽¹⁾	$	(58,586)	⁽²⁾	$	(137,349)
Other comprehensive income (loss) before reclassification	1,762		⁽³⁾	(10,563)		⁽⁴⁾	(8,801)
Amounts reclassified from accumulated other comprehensive loss, net	—			7,323		⁽⁴⁾	7,323
Net current period other comprehensive income (loss)	1,762			(3,240)			(1,478)
Total accumulated other comprehensive loss, net as of June 30, 2020	$	(77,001)	⁽¹⁾	$	(61,826)	⁽²⁾	$	(138,827)

(1)Net of deferred income tax benefit of $5,597 and $6,035 as of June 30, 2020 and March 31, 2020, respectively.

(2)Net of deferred income tax expense of $1,246 and $2,171 as of June 30, 2020 and March 31, 2020, respectively.

(3)Net of deferred income tax expense of $437.

(4)Net of deferred income tax benefit of $546 and $379 for Other comprehensive income before reclassification and Amounts reclassified from accumulated other comprehensive loss, net, respectively, as of June 30, 2020. For additional information, see Note 13. Derivative Financial Instruments.


	Foreign Currency Translation Adjustments			Unrealized Losses on Interest Rate Swap and Foreign Currency Forward Contracts			Total
	(In thousands)
Total accumulated other comprehensive loss, net as of December 31, 2019	$	(59,143)	⁽¹⁾	$	(18,744)	⁽²⁾	$	(77,887)
Other comprehensive loss before reclassification	(17,858)		⁽³⁾	(53,067)		⁽⁴⁾	(70,925)
Amounts reclassified from accumulated other comprehensive loss, net	—			9,985		⁽⁴⁾	9,985
Net current period other comprehensive loss	(17,858)			(43,082)			(60,940)
Total accumulated other comprehensive loss, net as of June 30, 2020	$	(77,001)	⁽¹⁾	$	(61,826)	⁽²⁾	$	(138,827)

(1)Net of deferred income tax benefit of $5,597 and $5,474 as of June 30, 2020 and December 31, 2019, respectively.

(2)Net of deferred income tax expense of $1,246 and $14,273 as of June 30, 2020 and December 31, 2019, respectively.

(3)Net of deferred income tax benefit of $123.

(4)Net of deferred income tax benefit of $10,964 and $2,063 for Other comprehensive income before reclassification and Amounts reclassified from accumulated other comprehensive loss, net, respectively, as of June 30, 2020. For additional information, see Note 13. Derivative Financial Instruments.

The Company records unrealized gains and losses related to its interest rate swap contracts, net of taxes, in the Accumulated other comprehensive loss, net line within the Consolidated Balance Sheets. The amounts reclassified from Accumulated other comprehensive loss, net are recognized in the Cost of ATM operating revenues, Interest expense, net, or Other expense (income) lines in the Consolidated Statements of Operations.

The Company has elected the portfolio approach for the deferred tax asset of the unrealized gains and losses related to the interest rate swap contracts in Accumulated other comprehensive loss, net within the Consolidated Balance Sheets. Under the portfolio approach, the disproportionate tax effect created, when the valuation allowance was appropriately released as a tax benefit into continuing operations in 2010, will reverse out of the Accumulated other comprehensive loss, net line within the Consolidated Balance Sheets and into continuing operations as a tax expense when the Company ceases to hold any interest rate swap contracts. As of June 30, 2020, the disproportionate tax effect is $14.6 million.