Guarantor/Non-Guarantor Condensed Consolidated Financial Statements (Tables)

6 Months Ended

Jun. 30, 2014

Guarantor Non Guarantor Condensed Consolidated Financial Statements [Abstract]

Supplemental Guarantor Condensed Consolidated Balance Sheets

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited, in thousands)

	June 30, 2014
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	22,010			(1,485		)	3,186			—			$	23,711
Receivables, net of allowance	1,203			146,019			54,424			(1,109		)	200,537
Intercompany receivable (payable)	(24,837		)	52,296			(27,459		)	—			—
Deferred income taxes	22,710			8,122			1,533			—			32,365
Inventory	—			7,423			6,043			—			13,466
Prepaid expenses and other current assets	1,592			5,364			2,434			—			9,390
Total current assets	22,678			217,739			40,161			(1,109		)	279,469
Net property and equipment	4,351			828,830			91,009			(750		)	923,440
Investment in subsidiaries	913,402			124,684			—			(1,038,086		)	—
Intangible assets, net of accumulated amortization	76			28,200			—			—			28,276
Noncurrent deferred income taxes	77,957			—			4,010			(77,957		)	4,010
Other long-term assets	9,230			1,722			5,284			—			16,236
Total assets	$	1,027,694		$	1,201,175		$	140,464		$	(1,117,902	)	$	1,251,431
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	1,447		$	47,929		$	5,359		—			$	54,735
Current portion of long-term debt	—			429			—			—			429
Deferred revenues	—			1,563			1,743			—			3,306
Accrued expenses	11,825			52,891			8,176			(1,109		)	71,783
Total current liabilities	13,272			102,812			15,278			(1,109		)	130,253
Long-term debt, less current portion	493,564			66			—			—			493,630
Noncurrent deferred income taxes	—			180,945			—			(77,957		)	102,988
Other long-term liabilities	319			3,950			502			—			4,771
Total liabilities	507,155			287,773			15,780			(79,066		)	731,642
Total shareholders’ equity	520,539			913,402			124,684			(1,038,836		)	519,789
Total liabilities and shareholders’ equity	$	1,027,694		$	1,201,175		$	140,464		$	(1,117,902	)	$	1,251,431
	December 31, 2013
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	28,368		$	(2,059	)	$	1,076		$	—		$	27,385
Receivables, net of allowance	905			125,979			49,476			—			176,360
Intercompany receivable (payable)	(24,837		)	52,671			(27,834		)	—			—
Deferred income taxes	1,143			8,005			3,944			—			13,092
Inventory	—			7,415			5,817			—			13,232
Prepaid expenses and other current assets	1,013			7,094			1,204			—			9,311
Total current assets	6,592			199,105			33,683			—			239,380
Net property and equipment	4,531			846,632			87,244			(750		)	937,657
Investment in subsidiaries	939,091			120,630			—			(1,059,721		)	—
Intangible assets, net of accumulated amortization	75			32,194			—			—			32,269
Noncurrent deferred income taxes	78,486			—			1,156			(78,486		)	1,156
Other long-term assets	7,513			2,009			9,639			—			19,161
Total assets	$	1,036,288		$	1,200,570		$	131,722		$	(1,138,957	)	$	1,229,623
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	757		$	37,797		$	5,164		$	—		$	43,718
Current portion of long-term debt	—			2,847			—			—			2,847
Deferred revenues	—			699			—			—			699
Accrued expenses	16,368			51,739			5,462			—			73,569
Total current liabilities	17,125			93,082			10,626			—			120,833
Long-term debt, less current portion	499,586			80			—			—			499,666
Noncurrent deferred income taxes	—			163,122			—			(78,486		)	84,636
Other long-term liabilities	394			5,195			466			—			6,055
Total liabilities	517,105			261,479			11,092			(78,486		)	711,190
Total shareholders’ equity	519,183			939,091			120,630			(1,060,471		)	518,433
Total liabilities and shareholders’ equity	$	1,036,288		$	1,200,570		$	131,722		$	(1,138,957	)	$	1,229,623

Supplemental Guarantor Condensed Consolidated Statements of Operations

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited, in thousands)

	Three months ended June 30, 2014
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues	$	—		$	234,285		$	25,527		$	—		$	259,812
Costs and expenses:
Operating costs	—			149,353			16,914			—			166,267
Depreciation and amortization	356			41,979			3,456			—			45,791
General and administrative	6,800			17,438			1,176			(138		)	25,276
Intercompany leasing	—			(1,215		)	1,215			—			—
Bad debt expense	—			561			—			—			561
Total costs and expenses	7,156			208,116			22,761			(138		)	237,895
Income (loss) from operations	(7,156		)	26,169			2,766			138			21,917
Other income (expense):
Equity in earnings of subsidiaries	19,707			3,512			—			(23,219		)	—
Interest expense	(10,707		)	(24		)	3			—			(10,728		)
Loss on extinguishment of debt	(14,595		)	—			—			—			(14,595		)
Other	7			617			1,531			(138		)	2,017
Total other income (expense)	(5,588		)	4,105			1,534			(23,357		)	(23,306		)
Income (loss) before income taxes	(12,744		)	30,274			4,300			(23,219		)	(1,389		)
Income tax expense (benefit)	12,425			(10,567		)	(788		)	—			1,070
Net income (loss)	$	(319	)	$	19,707		$	3,512		$	(23,219	)	$	(319	)
	Three months ended June 30, 2013
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues	$	—		$	217,727		$	30,627		$	—		$	248,354
Costs and expenses:
Operating costs	—			138,946			20,798			—			159,744
Depreciation and amortization	282			43,745			3,321			—			47,348
General and administrative	6,085			16,867			791			(138		)	23,605
Intercompany leasing	—			(1,215		)	1,215			—			—
Bad debt expense	67			70			—			—			137
Impairment charges	—			44,788			—			—			44,788
Total costs and expenses	6,434			243,201			26,125			(138		)	275,622
Income (loss) from operations	(6,434		)	(25,474		)	4,502			138			(27,268		)
Other income (expense):
Equity in earnings of subsidiaries	(13,455		)	1,511			—			11,944			—
Interest expense	(12,341		)	—			10			—			(12,331		)
Other	1			574			(1,686		)	(138		)	(1,249		)
Total other income (expense)	(25,795		)	2,085			(1,676		)	11,806			(13,580		)
Income (loss) before income taxes	(32,229		)	(23,389		)	2,826			11,944			(40,848		)
Income tax expense (benefit)	6,334			9,934			(1,315		)	—			14,953
Net income (loss)	$	(25,895	)	$	(13,455	)	$	1,511		$	11,944		$	(25,895	)

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited, in thousands)

	Six months ended June 30, 2014
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues	$	—		$	451,155		$	47,691		$	—		$	498,846
Costs and expenses:
Operating costs	—			288,840			31,517			—			320,357
Depreciation and amortization	625			83,843			6,849			—			91,317
General and administrative	13,535			34,636			1,864			(276		)	49,759
Intercompany leasing	—			(2,430		)	2,430			—			—
Bad debt expense	—			437			—			—			437
Total costs and expenses	14,160			405,326			42,660			(276		)	461,870
Income (loss) from operations	(14,160		)	45,829			5,031			276			36,976
Other (expense) income:
Equity in earnings of subsidiaries	32,592			4,087			—			(36,679		)	—
Interest expense	(23,106		)	(17		)	7			—			(23,116		)
Loss on extinguishment of debt	(22,482		)	—			—			—			(22,482		)
Other	2,886			1,288			793			(276		)	4,691
Total other (expense) income	(10,110		)	5,358			800			(36,955		)	(40,907		)
Income (loss) before income taxes	(24,270		)	51,187			5,831			(36,679		)	(3,931		)
Income tax (expense) benefit	21,372			(18,595		)	(1,744		)	—			1,033
Net income (loss)	$	(2,898	)	$	32,592		$	4,087		$	(36,679	)	$	(2,898	)
	Six months ended June 30, 2013
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues	$	—		$	416,622		$	61,402		$	—		$	478,024
Costs and expenses:
Operating costs	—			268,162			41,187			—			309,349
Depreciation and amortization	534			86,447			6,652			—			93,633
General and administrative	11,511			33,845			1,579			(276		)	46,659
Intercompany leasing	—			(2,430		)	2,430			—			—
Bad debt expense	67			351			—			—			418
Impairment charges	—			44,788			—			—			44,788
Total costs and expenses	12,112			431,163			51,848			(276		)	494,847
Income (loss) from operations	(12,112		)	(14,541		)	9,554			276			(16,823		)
Other (expense) income:
Equity in earnings of subsidiaries	(4,266		)	3,853			—			413			—
Interest expense	(23,790		)	(20		)	17			—			(23,793		)
Other	2			857			(2,653		)	(276		)	(2,070		)
Total other (expense) income	(28,054		)	4,690			(2,636		)	137			(25,863		)
Income (loss) before income taxes	(40,166		)	(9,851		)	6,918			413			(42,686		)
Income tax (expense) benefit	12,979			5,585			(3,065		)	—			15,499
Net income (loss)	$	(27,187	)	$	(4,266	)	$	3,853		$	413		$	(27,187	)

Supplemental Guarantor Condensed Consolidated Statements of Cash Flows

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited, in thousands)

	Six months ended June 30, 2014
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidated
Cash flows from operating activities	$	25,255		$	57,484		$	12,748		$	95,487
Cash flows from investing activities:
Purchases of property and equipment	(494		)	(63,159		)	(10,914		)	(74,567		)
Proceeds from sale of property and equipment	—			6,262			276			6,538
	(494		)	(56,897		)	(10,638		)	(68,029		)
Cash flows from financing activities:
Debt repayments	(330,000		)	(13		)	—			(330,013		)
Proceeds from issuance of debt	320,000			—			—			320,000
Debt issuance costs	(6,187		)	—			—			(6,187		)
Tender premium costs	(15,381		)	—			—			(15,381		)
Proceeds from exercise of options	1,581			—			—			1,581
Purchase of treasury stock	(1,132		)	—			—			(1,132		)
	(31,119		)	(13		)	—			(31,132		)
Net increase (decrease) in cash and cash equivalents	(6,358		)	574			2,110			(3,674		)
Beginning cash and cash equivalents	28,368			(2,059		)	1,076			27,385
Ending cash and cash equivalents	$	22,010		$	(1,485	)	$	3,186		$	23,711
	Six months ended June 30, 2013
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidated
Cash flows from operating activities	$	(34,534	)	$	102,709		$	2,502		$	70,677
Cash flows from investing activities:
Purchases of property and equipment	(1,602		)	(103,574		)	(7,003		)	(112,179		)
Proceeds from sale of property and equipment	—			5,357			702			6,059
	(1,602		)	(98,217		)	(6,301		)	(106,120		)
Cash flows from financing activities:
Debt repayments	(10,000		)	(862		)	—			(10,862		)
Proceeds from issuance of debt	40,000			—			—			40,000
Debt issuance costs	(13		)	—			—			(13		)
Proceeds from exercise of options	789			—			—			789
Purchase of treasury stock	(628		)	—			—			(628		)
	30,148			(862		)	—			29,286
Net increase (decrease) in cash and cash equivalents	(5,988		)	3,630			(3,799		)	(6,157		)
Beginning cash and cash equivalents	18,479			(5,401		)	10,655			23,733
Ending cash and cash equivalents	$	12,491		$	(1,771	)	$	6,856		$	17,576