XML 57 R12.htm IDEA: XBRL DOCUMENT
v2.4.0.8

Restructuring Charges | 9 Months Ended
--- | ---
Sep. 30, 2014
Restructuring and Related Activities [Abstract] |
Restructuring Charges | 7. RESTRUCTURING CHARGES Reductions in force have been carried out related to the reorganization of our corporate and campus functions to better align with current total student enrollments and decisions made in the current quarter and previous years to teach out a number of campuses, meaning gradually close the campuses through an orderly process. The remaining Transitional campuses that are in the process of teaching out as of September 30, 2014 will cease operations at various dates through 2017. The following table details the changes in our accrual for severance and related costs associated with these restructuring events for our continuing operations during the quarters and years to date ended September 30, 2014 and 2013 (dollars in thousands):
|  | Balance, Beginning of Period |  |  | Severance & Related Charges (1) |  |  | Payments |  |  | Non-cash Adjustments (2) |  |  | Balance, End of Period |
For the quarter ended September 30, 2014 |  | $ | 2,488 |  |  | $ | 3,622 |  |  | $ | (368 | ) |  | $ | (60 | ) |  | $ | 5,682 |
For the quarter ended September 30, 2013 |  | $ | 3,715 |  |  | $ | 1,516 |  |  | $ | (1,308 | ) |  | $ | (401 | ) |  | $ | 3,522 |
For the year to date ended September 30, 2014 |  | $ | 3,432 |  |  | $ | 3,622 |  |  | $ | (1,099 | ) |  | $ | (273 | ) |  | $ | 5,682 |
For the year to date ended September 30, 2013 |  | $ | 6,047 |  |  | $ | 4,275 |  |  | $ | (6,115 | ) |  | $ | (685 | ) |  | $ | 3,522 |
(1) | Includes charges related to COBRA and outplacement services which are assumed to be completed by the third month following an employee’s departure.
(2) | Includes cancellations due to employee departures prior to agreed upon end dates, employee transfers to open positions within the organization and subsequent adjustments to severance and related costs.
The current portion of the accrual for severance and related charges was $4.5 million and $2.1 million as of September 30, 2014 and September 30, 2013, respectively, which is recorded within current accrued expenses – payroll and related benefits; the long-term portion of $1.2 million and $1.4 million, respectively, is recorded within other non-current liabilities. In addition, as of September 30, 2014, we have accrued approximately $0.8 million related to retention bonuses that have been offered to certain employees involved in the teach-out process. These amounts will be recorded ratably over the period the employees are retained; $0.2 million was recorded during the quarter ended September 30, 2014. During the third quarter of 2014, three of our campuses completed their teach-out activities and had remaining lease obligations related to their facilities upon completing their teach-out. The charge recorded during the current quarter related to these discontinued operations was approximately $1.0 million, which represents the net present value of our remaining lease obligation less an estimated amount for sublease income and was recorded within loss from discontinued operations for the current quarter. A number of our teach-out campuses that have not yet closed will have remaining lease obligations following the eventual campus closure, with the longest lease term being through 2021. The total estimated charge related to the remaining lease obligation for these leases, once the campus completes the close process, and adjusted for possible lease buyouts and sublease assumptions is approximately $14 million. The amount related to each campus will be recorded at each campus closure date based on current estimates and assumptions related to the amount and timing of sublease income.

X
- Details
Name: | us-gaap_RestructuringAndRelatedActivitiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 5.P.3) -URI http://asc.fasb.org/extlink&oid=27011515&loc=d3e140864-122747 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 5 -Section P -Subsection 3, 4 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB TOPIC 5.P.4) -URI http://asc.fasb.org/extlink&oid=27011515&loc=d3e140904-122747 + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration