XML 23 R12.htm IDEA: XBRL DOCUMENT
v3.19.2

Restructuring and Related Charges | 6 Months Ended
--- | ---
Jun. 30, 2019
Restructuring and Related Activities [Abstract] |
Restructuring and Related Charges | Restructuring and Related Charges In October 2013, the Company implemented a restructuring to better align the Company’s resources with student enrollments at the time. This restructuring included the closing of 20 physical locations and reductions in the number of campus-based and corporate employees. At the time of this restructuring, a liability for lease obligations, some of which continue through 2022, was recorded and measured at fair value using a discounted cash flow approach encompassing significant unobservable inputs (Level 3). The estimation of future cash flows included non-cancelable contractual lease costs over the remaining terms of the leases discounted at the Company’s marginal borrowing rate of 4.5%, partially offset by estimated future sublease rental income discounted at credit-adjusted rates. In addition, the Company has incurred personnel-related restructuring charges due to cost reduction efforts and management changes. These changes are primarily intended to integrate CEC successfully and establish an efficient ongoing cost structure for the Company. The following details the changes in the Company’s restructuring liability during the six months ended June 30, 2018 and 2019 (in thousands):
| Lease and Related Costs, Net |  | Severance and Other Employee Separation Costs |  | Total
Balance at December 31, 2017 | $ | 8,781 |  |  | $ | — |  |  | $ | 8,781 |
Restructuring and other charges(1) | — |  |  | — |  |  | — |
Payments | (1,401 | ) |  | — |  |  | (1,401 | )
Adjustments(2) | 74 |  |  | — |  |  | 74 |
Balance at June 30, 2018 | $ | 7,454 |  |  | $ | — |  |  | $ | 7,454 |
Balance at December 31, 2018(3) | $ | 6,540 |  |  | $ | 14,347 |  |  | $ | 20,887 |
Restructuring and other charges(1) | — |  |  | 2,086 |  |  | 2,086 |
Payments | — |  |  | (5,764 | ) |  | (5,764 | )
Adjustments(2) | (6,540 | ) |  | — |  |  | (6,540 | )
Balance at June 30, 2019(3) | $ | — |  |  | $ | 10,669 |  |  | $ | 10,669 |
_____________________________________
(1) | Restructuring and other charges of $0.2 million and $2.1 million for the three and six months ended June 30, 2019, respectively, are included in Merger and integration costs on the unaudited condensed consolidated statements of income. There were no restructuring and other charges for the three and six months ended June 30, 2018.
(2) | For the three and six months ended June 30, 2018, adjustments include accretion of interest on lease costs, partially offset by changes in the timing and expected income from subleases. For the three and six months ended June 30, 2019, adjustments represent the impact of adopting ASC 842 on January 1, 2019. In accordance with ASC 842, the lease related restructuring liability balance as of December 31, 2018 was netted against the initial ROU lease asset recognized upon adoption. Asset retirement obligations related to these restructured properties are also included in the adjustments amount.
(3) The current portion of restructuring liabilities was $9.8 million and $6.8 million as of December 31, 2018 and June 30, 2019, respectively, which are included in accounts payable and accrued expenses. The long-term portion is included in other long-term liabilities.

X
- References No definition available. + 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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -URI http://asc.fasb.org/topic&trid=2175745 + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration