XML 53 R40.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Other (Gains) and Charges Other (Gains) and Charges (Tables)
 12 Months Ended
Dec. 31, 2019
Other Charges - Operating Expenses [Abstract]  
Other (Gains) and Charges [Table Text Block]
Activity with respect to other charges for the years ended December 31, 2018 and 2019 is summarized in the below table:
(In thousands)
Accrued Charges at December 31, 2017
 
Charges & Adjustments
 
Payments & Adjustments
 
 Accrued Charges at December 31, 2018
 
Charges & Adjustments
 
Payments & Adjustments
 
 Accrued Charges at December 31, 2019
Cash charges:
 
 
 
 
 
 
 
 
 
 
 
 
 
Labor reduction costs
$
1,674

 
$
13,321

 
$
(7,372
)
 
$
7,623

 
$
3,039

 
$
(9,924
)
 
$
738

Lease obligation costs(1)
2,105

 
11,952

 
(9,175
)
 
4,882

 
—

 
(4,882
)
 
—

Contract termination costs
—

 
6,750

 
(6,750
)
 
—

 
—

 
—

 
—

Other miscellaneous
—

 
2,696

 
(2,696
)
 
—

 
4,615

 
(4,615
)
 
—

Total cash charges
$
3,779

 
34,719

 
$
(25,993
)
 
$
12,505

 
7,654

 
$
(19,421
)
 
$
738

Non-cash charges:
 
 
 
 
 
 
 
 
 
 
 
 
 
Rental merchandise losses
 
 
620

 
 
 
 
 
—

 
 
 
 
Asset impairments(2)
 
 
6,825

 
 
 
 
 
9,938

 
 
 
 
Other(3)
 
 
17,160

 
 
 
 
 
(78,320
)
 
 
 
 
Total other charges (gains)
 
 
$
59,324

 
 
 
 
 
$
(60,728
)
 
 
 
 

(1) Upon adoption of ASU 2016-02, previously accrued lease obligation costs related to discontinued operations were eliminated and are now reflected as an adjustment to our operating lease right-of-use assets in our condensed consolidated balance sheet.
(2) Asset impairments primarily includes impairments of operating lease right-of-use assets and other property assets related to the closure of Rent-A-Center Business stores and our product service centers for the year ended December 31, 2019. Asset impairments for the year ended December 31, 2018, primarily includes capitalized software write-downs and impairment of property assets related to the closure of Rent-A-Center Business stores.
(3) Other primarily includes $92.5 million in Vintage Settlement proceeds, $21.8 million gain on the sale of our corporate headquarters, and $1.1 million in insurance proceeds related to the 2017 hurricanes, offset by $21.4 million in incremental legal and professional fees related to the termination of the Merger Agreement and the Merchants Preferred acquisition, $13.0 million for the Blair class action settlement (refer to Note L for additional details), $2.4 million in state tax audit assessments, and $0.3 million in other litigation settlements for the year ended December 31, 2019. Other for the year ended December 31, 2018, primarily includes $18.4 million in incremental legal and advisory fees associated with our strategic review and merger related activities, partially offset by a $1.1 million favorable contract termination settlement.