Discontinued Operations (Tables)

9 Months Ended

Sep. 30, 2014

Discontinued Operations and Disposal Groups [Abstract]

Summary Results of Operations for Discontinued Operations

A summary of unaudited results of operations for our discontinued operations for the quarters and years to date ended September 30, 2014 and 2013 is as follows (dollars in thousands):


	For the Quarter Ended September 30,						For the Year to Date Ended September 30,
	2014			2013			2014			2013
Revenue	$	29		$	27,229		$	3,836		$	129,118

Loss before income tax	$	(2,065	)	$	(21,712	)	$	(32,784	)	$	(40,714	)
Income tax expense ^{(1) (2)}		—			30,450			—			20,477

Loss from discontinued operations, net of tax	$	(2,065	)	$	(52,162	)	$	(32,784	)	$	(61,191	)

Net loss per diluted share	$	(0.03	)	$	(0.78	)	$	(0.48	)	$	(0.91	)

(1)	Due to the valuation allowance against our net deferred taxes, there is no income tax benefit reported for the quarter and year to date ended September 30, 2014.

(2)	Third quarter of 2013 included $39.9 million of income tax expense recorded as a result of the decision to commit to a plan of sale for the International Schools segment.

Assets and Liabilities of Discontinued Operations on Consolidated Balance Sheets

Assets and liabilities of discontinued operations on our unaudited condensed consolidated balance sheets as of September 30, 2014 and December 31, 2013 include the following (dollars in thousands):


	September 30, 2014		December 31, 2013
Assets:
Current assets:
Cash and cash equivalents	$	2	$	475
Receivables, net		413		1,437
Other current assets		189		1,329

Total current assets		604		3,241
Non-current assets:
Property and equipment, net		—		2,561
Other assets, net		1,029		1,502

Total assets of discontinued operations	$	1,633	$	7,304

Liabilities:
Current liabilities:
Accounts payable and accrued expenses	$	521	$	1,344
Deferred tuition revenue		—		1,164
Remaining lease obligations		15,493		13,132

Total current liabilities		16,014		15,640
Non-current liabilities:
Remaining lease obligations		28,143		30,952
Other		286		6,444

Total liabilities of discontinued operations	$	44,443	$	53,036

Changes in Future Remaining Lease Obligations Discontinued Operations

Changes in our future remaining lease obligations, which are reflected within current and non-current liabilities of discontinued operations on our unaudited condensed consolidated balance sheets, for the quarters and years to date ended September 30, 2014 and 2013, were as follows (dollars in thousands):


	Balance, Beginning of Period		Charges Incurred ⁽¹⁾			Net Cash Payments			Other ⁽²⁾			Balance, End of Period
For the quarter ended September 30, 2014	$	50,240	$	(173	)	$	(6,581	)	$	150		$	43,636

For the quarter ended September 30, 2013	$	41,219	$	257		$	(3,224	)	$	—		$	38,252

For the year to date ended September 30, 2014	$	44,084	$	13,436		$	(18,637	)	$	4,753		$	43,636

For the year to date ended September 30, 2013	$	46,298	$	1,211		$	(9,192	)	$	(65	)	$	38,252

(1)	Includes charges for newly vacated spaces and subsequent adjustments for accretion, revised estimates and variances between estimated and actual charges, net of any reversals for terminated lease obligations.

(2)	Includes existing prepaid rent and deferred rent liability balances for newly vacated spaces that are netted with the losses incurred in the period recorded.