v3.6.0.2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
 12 Months Ended
Dec. 31, 2016
Accounting Policies [Abstract]  
Schedule of Estimated Useful Lives of Property and Equipment
Property and equipment, including significant improvements, are recorded at cost. Repairs and maintenance costs are expensed as incurred. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, or, in the case of leasehold improvements, the lease term, if shorter.
Asset Category
Estimated
Useful Lives
Buildings and leasehold improvements
3 to 39 Years
Computer equipment and capitalized software
2 to 3 Years
Furniture and other equipment
3 to 12 Years
 
December 31,
 
2016
 
2015
 
(In thousands)
Property and equipment, net:
 
 
 
Buildings and leasehold improvements
$
247,451

 
$
235,545

Computer equipment and capitalized software
259,464

 
239,309

Furniture and other equipment
93,002

 
88,664

Projects in progress
13,048

 
18,676

Land
5,117

 
5,117

 
618,082

 
587,311

Accumulated depreciation and amortization
(311,834
)
 
(284,494
)
Property and equipment, net
$
306,248

 
$
302,817
Schedule of Effect of New Accounting Pronouncement
The primary effects of the adoption of ASU No. 2016-09 on the Company’s results of operations, cash flows and earnings per share will be due to the change in the treatment of the excess tax benefit (deficiency) related to equity awards to employees upon exercise of stock options and the vesting of restricted stock units. The table below illustrates this effect.
Excess tax benefit (deficiency) of equity awards to employees upon exercise of stock options and the vesting of restricted stock units:
 
Accounting under current GAAP:
 
Accounting following adoption of ASU No. 2016-09:
Statement of operations
 
Treated as an increase (or decrease) to additional paid-in capital when realized (i.e., reduction of income taxes payable)
 
Included in the determination of the income tax provision or benefit upon option exercise or share vesting
Statement of cash flows
 
Treated as a financing cash flow
 
Treated as an operating cash flow
Calculation of fully diluted shares for the determination of earnings per share
 
Included as a component of the assumed proceeds in applying the treasury stock method
 
Excluded from the assumed proceeds in applying the treasury stock method
To illustrate the effect of ASU No. 2016-09 on the Company’s results for the year ended December 31, 2016, the table below illustrates the change in the Company’s reported results after giving pro forma effect to ASU No. 2016-09 as if it had been in effect on January 1, 2016.
 
 
Reported results under current GAAP
 
Pro forma results assuming ASU No. 2016-09 had been in effect on January 1, 2016
 
 
(In thousands, except per share data)
Net (loss) earnings
 
$
(16,151
)
 
$
33,255

Net earnings attributable to noncontrolling interests
 
(25,129
)
 
(30,024
)
Net (loss) earnings attributable to IAC shareholders
 
(41,280
)
 
3,231

Cash flows provided by operating activities attributable to continuing operations
 
292,377

 
344,141

Cash flows used in financing activities attributable to continuing operations
 
(451,065
)
 
(502,829
)
Basic (loss) earnings per share from continuing operations
 
$
(0.52
)
 
$
0.10

Fully diluted loss per share from continuing operations
 
$
(0.52
)
 
$
(0.19
)