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CONSOLIDATED STATEMENT OF OPERATIONS (USD $)
In Thousands, except Per Share data, unless otherwise specified
12 Months Ended
Jun. 30, 2014
Jun. 30, 2013
Jun. 30, 2012
Revenues:      
Service $ 1,480,103 $ 1,563,890 $ 1,643,891
Product 371,454 415,707 440,048
Royalties and fees 40,880 39,116 38,288
Total revenues 1,892,437 [1] 2,018,713 [1] 2,122,227 [1]
Operating expenses:      
Cost of service 907,294 930,687 941,671
Cost of product 187,204 228,577 221,635
Site operating expenses 202,359 203,912 207,031
General and administrative 172,793 226,740 249,634
Rent 322,105 324,716 331,769
Depreciation and amortization 99,733 91,755 104,970
Goodwill impairment 34,939 0 67,684
Total operating expenses 1,926,427 2,006,387 2,124,394
Operating (loss) income (33,990) [1],[2] 12,326 [1],[2] (2,167) [1]
Other (expense) income:      
Interest expense (22,290) (37,594) (28,245)
Interest income and other, net 1,952 35,366 5,098
(Loss) income from continuing operations before income taxes and equity in loss of affiliated companies (54,328) 10,098 (25,314)
Income taxes (71,129) 10,024 4,430
Equity in loss of affiliated companies, net of income taxes (11,623) (15,956) (30,859)
(Loss) income from continuing operations (137,080) [2],[3] 4,166 [2],[3] (51,743)
Income (loss) from discontinued operations, net of taxes 1,353 [4] 25,028 [4] (62,350)
Net (loss) income $ (135,727) [2],[3],[4] $ 29,194 [2],[3],[4] $ (114,093)
Basic and diluted:      
(Loss) income from continuing operations per share, basic and diluted (in dollars per share) $ (2.43) [5] $ 0.07 $ (0.91)
Income (loss) from discontinued operations per share, basic and diluted (in usd per share) $ 0.02 [5] $ 0.44 [5] $ (1.09)
Net income (loss) per share, basic and diluted (in dollars per share) $ (2.40) [5],[6] $ 0.51 [6] $ (2.00) [6]
Weighted average common and common equivalent shares outstanding:      
Basic (in shares) 56,482 56,704 57,137
Diluted (in shares) 56,482 56,846 57,137
Cash dividends declared per common share $ 0.12 $ 0.24 $ 0.24
[1] See Note 2 to the Consolidated Financial Statements for discussion of the classification of the results of operations of Hair Club as discontinued operations.
[2] During the second quarter of fiscal year 2014, the Company recorded a goodwill impairment charge of $34.9 million, an $84.4 million non-cash charge to establish a valuation allowance against the Company’s U.S. and U.K. deferred tax assets and non-cash salon asset impairment charge of $4.7 million. During the third quarter of fiscal 2014, the Company recorded non-cash salon impairment of $8.9 million. During the fourth quarter of fiscal year 2013, the Company recorded a $12.6 million ($7.7 million net of tax) inventory write-down associated with the Company's implementation of standardized plan-o-grams.
[3] During the fourth quarter of fiscal year 2014, the Company recorded a $12.6 million charge representing its share of goodwill impairment charges recorded by EEG. During the first quarter of fiscal year 2013, the Company recorded a $32.2 million net of tax foreign currency gain associated with the sale of Provalliance. During the second quarter of fiscal year 2013, the Company recorded a $17.9 million impairment charge net of tax related to the impairment of EEG. During the fourth quarter of fiscal year 2013, the Company incurred $6.7 million net of tax of expense for a make-whole payment associated with the prepayment of debt.
[4] During the fourth quarter of fiscal year 2013, the Company recorded a $15.4 million gain, net of professional and transaction fees and taxes, associated with the disposition of Hair Club.
[5] Total is an annual recalculation; line items calculated quarterly may not sum to total.
[6] Total is a recalculation; line items calculated individually may not sum to total due to rounding.