XML 105 R26.htm IDEA: XBRL DOCUMENT v2.4.0.8
SUBSEQUENT EVENTS
12 Months Ended
Feb. 28, 2014
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS
2012 Retention Plan & Trust
On March 5, 2014, the Board of Directors of the Company approved the exercise of the Company's repurchase option under the Voting and Transfer Restriction Agreement with the trustee of the 2012 Retention Plan & Trust. Pursuant to the exercise of that option, the Company repurchased 400,000 shares of Preferred Stock from the trustee in exchange for 975,848 shares of the Company's Class A Common Stock. On April 2, 2014, 975,848 shares of Class A Common Stock were distributed to employees who met the vesting requirements of the plan. See Note 3, Redeemable Preferred Stock, for more discussion of the 2012 Retention Plan & Trust.

Hungary License Litigation
On April 16, 2014, the arbitral tribunal in Emmis International Holding, B.V., Emmis Radio Operating, B.V. and MEM Magyar Electronic Media Kereskedelmi es Szolgaltato Kft. v. Hungary (ICSID CASE NO. ARB/12/2) issued its ruling that the International Centre for the Settlement of Investment Disputes ("ICSID") did not have jurisdiction to hear the case in which Emmis and the other owner of Slager sought damages for the unlawful taking of the station’s radio license in 2009.
After losing its license in 2009, Slager Radio had initially sought redress in the Hungarian courts. After Slager's success in the Hungarian trial and appellate courts, the Hungarian Parliament changed the media law to take away the remedy that Slager was seeking. Emmis and the other owner then filed for arbitration in ICSID , believing that ICSID presented the best forum for redress of their claims. In light of the tribunal’s decision, Emmis is evaluating whether any other viable forums exist.

Second Amendment to Credit Agreement
On May 6, 2014, Emmis entered into the Second Amendment to Credit Agreement and Limited Consent (“Second Amendment”) which permits Emmis to acquire majority control of a technology company for total consideration not to exceed $6.0 million. In addition, the Second Amendment permits the exclusion of certain transaction-related costs associated with the acquisition of WBLS-FM and WLIB-AM in an aggregate amount not in excess of $1.25 million. No financial covenants were impacted by the Second Amendment and total costs were less than $0.1 million