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Consolidated Statements Of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Operating Activities:      
Net income $ 44,337 $ 106,618 $ 174,792
Adjustments to reconcile net income to net cash flows from operating activities:      
Depreciation and other 177,247 195,162 193,700
Amortization of intangible assets 13,594 14,692 10,933
Share-based payments expense 17,240 13,384 16,831
Windfall excess tax benefits related to share-based payments (739) (1,964) (3,698)
Deferred income taxes (19,619) (22,611) (10,933)
Impairment expense, restructuring and lease termination costs [1] 2,054 0 32,732
(Income) loss from equity method investments, net 800 28,734 (19,928)
Amortization of deferred financing fees and debt discount 2,761 4,116 6,394
(Gain) loss from early extinguishment of debt (5,854) 2,018 6,013
Gain on purchase of Gazelle (Note 3) (989) 0 0
Goodwill impairment (Note 6) 85,890 0 0
Other (972) (1,750) (2,039)
Cash flows from changes in operating assets and liabilities:      
Accounts receivable, net 10,011 8,671 7,978
Content library (8,320) 19,747 (22,459)
Prepaid expenses and other current assets (10,065) 44,282 (50,542)
Other assets 162 1,702 230
Accounts payable 17,943 (68,912) 1,491
Accrued payable to retailers (9,968) (6,847) (4,088)
Other accrued liabilities 10,572 1,309 (9,573)
Net cash flows from operating activities [2] 326,085 338,351 327,834
Investing Activities:      
Purchases of property and equipment (77,591) (97,924) (161,412)
Proceeds from sale of property and equipment 3,225 1,977 13,344
Acquisitions, net of cash acquired (17,980) 0 (244,036)
Receipt of note receivable principal 0 0 22,913
Cash paid for equity investments 0 (24,500) (28,000)
Extinguishment payment received from equity investment 0 5,000 0
Net cash flows used in investing activities [2] (92,346) (115,447) (397,191)
Financing Activities:      
Proceeds from issuance of senior unsecured notes 0 295,500 343,769
Proceeds from new borrowing on Credit Facility 310,500 642,000 400,000
Principal payments on Credit Facility (339,375) (680,125) (215,313)
Financing costs associated with Credit Facility and senior unsecured notes [3] (9) (2,911) (2,203)
Settlement and conversion of convertible debt 0 (51,149) (172,211)
Repurchase of Notes (Note 9) (34,589) 0 0
Repurchases of common stock [4] (159,800) (545,091) (195,004)
Dividends paid (Note 20) (21,210) 0 0
Principal payments on capital lease obligations and other debt (11,510) (13,996) (14,834)
Windfall excess tax benefits related to share-based payments 739 1,964 3,698
Withholding tax paid on vesting of restricted stock net of proceeds from exercise of stock options (1,461) (520) 8,460
Net cash flows from (used in) financing activities [2] (256,715) [5] (354,328) [6] 156,362 [7]
Effect of exchange rate changes on cash 2,829 2,683 1,538
Increase (decrease) in cash and cash equivalents (20,147) (128,741) 88,543
Cash and cash equivalents:      
Beginning of period 242,696 371,437 282,894
End of period 222,549 242,696 371,437
Supplemental disclosure of cash flow information:      
Cash paid during the period for interest 45,502 41,614 20,699
Cash paid during the period for income taxes, net 100,544 36,777 55,989
Supplemental disclosure of non-cash investing and financing activities:      
Purchases of property and equipment financed by capital lease obligations 2,397 8,198 7,408
Purchases of property and equipment included in ending accounts payable 2,577 8,255 6,656
Non-cash gain included in equity investments 0 0 68,376
Common stock issued on conversion of callable convertible debt, net of tax 0 24,255 14,292
Non-cash debt issue costs [3] $ 0 $ 4,500 $ 6,231
[1] The non-cash restructuring, impairment and related costs in 2015 of $2.1 million is composed of $7.4 million in impairments of lease related assets partially offset by a $5.3 million benefit resulting from the lease termination. The 2013 non-cash charge represents asset impairments of $32.7 million related to our four ventures previously included in our former New Ventures segment, Orango, Rubi, Crisp Market, and Star Studio, which were discontinued during 2013.
[2] During 2015 we discontinued our Redbox operations in Canada. 2014 also includes the wind-down process of certain new ventures that were discontinued during 2013. Cash flows from these discontinued operations are not segregated from cash flows from continuing operations in all periods presented. See Note 12: Discontinued Operations for cash flow disclosures related to our discontinued Redbox operations in Canada.
[3] Total financing costs associated with the Credit Facility and senior unsecured notes issued in 2014 were $8.2 million composed of non-cash debt issue costs of $4.5 million recorded as debt discount associated with our issuance of $300.0 million senior unsecured notes due 2021, $1.5 million in deferred financing fees associated with the senior unsecured notes, and $2.2 million in deferred financing fees associated with the refinancing of our Credit Facility. The cash payments for financing costs associated with the Credit Facility and senior unsecured notes in 2014 were $2.9 million.
[4] The total cost of repurchases of common stock in 2014 was $545.1 million, which includes $3.7 million in fees and expenses relating to the tender offer recorded as part of the cost of treasury stock in our Consolidated Balance Sheets. The cash payments for the tender offer fees in 2014 were $3.7 million.
[5] During 2015 we discontinued our Redbox operations in Canada. Cash flows from these discontinued operations are not segregated from cash flows from continuing operations in all periods presented. See Note 12: Discontinued Operations for cash flow disclosures related to our discontinued Redbox operations in Canada.
[6] During the first quarter of 2015, we discontinued our Redbox operations in Canada and during 2013, we discontinued four ventures, Orango, Rubi, Crisp Market, and Star Studio. Cash flows from these discontinued operations are not segregated from cash flows from continuing operations in all periods presented. See Note 12: Discontinued Operations for cash flow disclosures related to our discontinued Redbox operations in Canada.
[7] During the first quarter of 2015, we discontinued our Redbox operations in Canada and during 2013, we discontinued four ventures, Orango, Rubi, Crisp Market, and Star Studio. Cash flows from these discontinued operations are not segregated from cash flows from continuing operations in all periods presented. See Note 12: Discontinued Operations for cash flow disclosures related to our discontinued Redbox operations in Canada.