Assets Held for Sale

3 Months Ended

Mar. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

During the first quarter of 2021, the Company committed to a plan to sell certain Voice assets in the United Kingdom as they were determined to be non-core assets. Such assets are recorded within the Voice, Backup, Security, and CPP reportable segment. On February 9, 2021, in a cash transaction, the Company sold the assets for a gain of $2.0 million which was recorded in gain on sale of businesses on the Condensed Consolidated Statement of Operations.

The Company classifies asset held for sale when management approves and commits to a formal plan of sale with the expectation the sale will be completed within one year. The net assets of the business held for sale are then recorded at the lower of their current carrying value or the fair market value, less costs to sell.

During the first quarter of 2021, the Company committed to a plan to sell its B2B Backup business as it was determined to be a non-core business. The business is recorded within the Voice, Backup, Security, and CPP reportable segment.

The following table presents information related to the assets and liabilities that were classified as held for sale in our Condensed Consolidated Balance Sheet (in thousands):


	March 31, 2021
Accounts receivable, net	$	6,394
Prepaid expenses and other current assets		1,669
Property and equipment, net		9,280
Operating lease right-of-use assets		15,150
Trade names, net		3,886
Customer relationships, net		8,201
Goodwill		86,389
Other purchased intangibles, net		775
Deferred income taxes, noncurrent		3,814
Other assets		96
Total assets held for sale	$	135,654

Accounts payable and accrued expenses	$	3,670

Deferred revenue, current		2,749
Operating lease liabilities, current		2,648
Other current liabilities		435
Deferred revenue, noncurrent		7
Operating lease liabilities, noncurrent		12,566

Other long-term liabilities		240
Total liabilities held for sale	$	22,315