XML 51 R33.htm IDEA: XBRL DOCUMENT
v3.6.0.2

Discontinued Operations and Restructuring (Tables) | 12 Months Ended
--- | ---
Sep. 30, 2016
Discontinued Operations and Disposal Groups [Abstract] |
Schedule of discontinued operations | The following table summarizes the pre-tax charges (gains) pertaining to the above discontinued operations:
| Fiscal Year Ended September 30,
| 2015 |  | 2014
| (in thousands)
Goodwill impairment | $ | 10,550 |  |  | $ | 84,158 |
Long-lived assets impairment | 1,685 |  |  | 11,795 |
Other (a) | 21,045 |  |  | 7,590 |
Asset disposals | 7,443 |  |  | 2,882 |
Lease termination costs | 1,720 |  |  | 1,504 |
Reversal of contingent consideration payable | — |  |  | (4,792 | )
| $ | 42,443 |  |  | $ | 103,137 |
(a) | Includes estimated costs related to regulatory compliance, employee severance and accelerated amortization of prepaid expenses and other assets. The amount shown for fiscal 2015 includes a $10.5 million one-time charge associated with the settlement of outstanding issues with the U.S. Consumer Financial Protection Bureau and a $4.0 million charge related to the resolution of regulatory compliance issues in our Cash Genie U.K online lending business, which is a part of fiscal 2014 discontinued operations.
The following table presents the reconciliation of the major line items constituting "Loss from discontinued operations, net of tax" of Grupo Finmart and other operations discontinued prior to the adoption of ASU 2014-08 that are presented in the consolidated statements of operations:
| Fiscal Year Ended September 30,
| 2016 |  | 2015 |  | 2014
| (in thousands)
Revenues | $ | 45,256 |  |  | $ | 68,369 |  |  | $ | 54,522 |
Consumer loan bad debt | (30,081 | ) |  | (26,446 | ) |  | (19,605 | )
Operations expense | (38,740 | ) |  | (32,664 | ) |  | (32,184 | )
Impairment of goodwill | (73,244 | ) |  | — |  |  | — |
Interest expense, net | (16,464 | ) |  | (24,487 | ) |  | (19,479 | )
Depreciation, amortization and other | (12,732 | ) |  | (7,008 | ) |  | (2,382 | )
Gain on disposition | 34,237 |  |  | — |  |  | — |
Loss from discontinued operations before income taxes of Grupo Finmart | (91,768 | ) |  | (22,236 | ) |  | (19,128 | )
Income tax benefit | 12,896 |  |  | 7,508 |  |  | 7,741 |
Loss from discontinued operations, net of tax of operations discontinued prior to the adoption of ASU 2014-08 | (560 | ) |  | (27,317 | ) |  | (66,087 | )
Loss from discontinued operations, net of tax | $ | (79,432 | ) |  | $ | (42,045 | ) |  | $ | (77,474 | )
Loss from discontinued operations, net of tax of Grupo Finmart | $ | (78,872 | ) |  | $ | (14,728 | ) |  | $ | (11,387 | )
Loss from discontinued operations, net of tax of Grupo Finmart attributable to noncontrolling interest | 6,661 |  |  | 4,150 |  |  | 5,281 |
Loss from discontinued operations, net of tax of Grupo Finmart attributable to EZCORP, Inc. | $ | (72,211 | ) |  | $ | (10,578 | ) |  | $ | (6,106 | )
Cash flows from Grupo Finmart operating activities for the years ended September 30, 2016, 2015 and 2014 were $2.2 million, $11.1 million and $(7.4) million, respectively. Cash flows from Grupo Finmart investing activities for the years ended September 30, 2016, 2015 and 2014 were $42.7 million, $(41.1) million and $(33.5) million, respectively. The following table presents the reconciliation of the carrying amounts of major classes of assets and liabilities of Grupo Finmart that are classified as held for sale presented in the consolidated balance sheet as of September 30, 2015:
| September 30, 2015
| (in thousands)
Cash and cash equivalents | $ | 2,880 |
Restricted cash (1) (3) | 14,993 |
Consumer loans, net (1) (3) | 31,824 |
Consumer loan fees and interest receivable, net (1) (3) | 19,105 |
Prepaid expenses, income taxes and other current assets | 4,047 |
Restricted cash, non-current (3) | 2,883 |
Goodwill, intangible assets, and property and equipment, net | 91,272 |
Non-current consumer loans, net (1) (3) | 75,824 |
Deferred tax and other assets, net | 47,254 |
Total assets classified as held for sale | $ | 290,082 |
Current maturities of long-term debt (2) | $ | 74,345 |
Accounts payable, accrued expenses and other current liabilities (2) | 12,984 |
Long-term debt, less current maturities, net and other long-term liabilities (2) (4) | 101,644 |
Total liabilities classified as held for sale | $ | 188,973 |
(1) These amounts include the following assets of our previously consolidated VIEs:
| September 30, 2015
| (in thousands)
Restricted cash | $ | 1,361 |
Consumer loans, net | 5,846 |
Consumer loan fees and interest receivable, net | 6,399 |
Non-current consumer loans, net | 27,162 |
Total assets of consolidated VIEs | $ | 40,768 |
(2) These amounts include the following liabilities of our previously consolidated VIEs:
| September 30, 2015
| (in thousands)
Current maturities of long-term debt | $ | 42,017 |
Accounts payable, accrued expenses and other current liabilities | 4,313 |
Long-term debt, less current maturities | 31,247 |
Total liabilities of consolidated VIEs | $ | 77,577 |
(3) These amounts include the following assets of Grupo Finmart's securitization trust that can only be used to settle its liabilities:
| September 30, 2015
| (in thousands)
Restricted cash | $ | 12,033 |
Consumer loans* | 36,845 |
Consumer loan fees and interest receivable, net | 6,067 |
Restricted cash, non-current | 197 |
Total assets of Grupo Finmart's securitization trust | $ | 55,142 |
* | These amounts include the current and non-current portions of active consumer loans considered to be performing under the terms of the Grupo Finmart securitization trust. These balances, which represent the total collateral that can be used to settle the liabilities of the securitization trust, exclude loan loss allowances as described in Note 19, and are presented on a net basis in the consolidated balance sheets including allowances.
(4) This amount includes the following liabilities for which the creditors of Grupo Finmart's securitization trust do not have recourse to the general credit of EZCORP, Inc.:
| September 30, 2015
| (in thousands)
Long-term debt, less current maturities | $ | 40,493 |
The amount of gain recorded, in thousands, as a result of the disposition of Grupo Finmart was calculated under FASB ASC 810-10-40-5 as follows:
Fair value of consideration received | $ | 123,949 |
Carrying amount of noncontrolling interest in Grupo Finmart at the date of deconsolidation | (3,014 | )
Carrying amount of Grupo Finmart’s assets and liabilities at the date of deconsolidation | (61,525 | )
Accumulated other comprehensive loss reclassified into income | (25,173 | )
| $ | 34,237 |
Restructuring and related costs | Changes in the balance of these restructuring costs are summarized as follows:
| Fiscal Year Ended September 30,
| 2016 |  | 2015
| (in thousands)
Beginning balance | $ | 2,901 |  |  | $ | 6,121 |
Charged to expense | — |  |  | 763 |
Cash payments | (2,901 | ) |  | (3,983 | )
Ending balance | $ | — |  |  | $ | 2,901 |
he following table summarizes the pre-tax charges, inclusive of the charges presented in the changes in the balance of restructuring costs rollforward below, which have been recorded under “Restructuring” expense in our consolidated statements of operations:
| Fiscal Year Ended September 30,
| 2016 |  | 2015
| (in thousands)
Long-lived assets impairment | $ | — |  |  | $ | 2,346 |
Other (a) | 779 |  |  | 3,447 |
Asset disposals | 323 |  |  | 3,650 |
Lease termination costs | 819 |  |  | 7,637 |
| $ | 1,921 |  |  | $ | 17,080 |
(a) | Includes costs related to employee severance and other.
Schedule of restructuring reserve | Changes in the balance of these restructuring costs are summarized as follows:
| Fiscal Year Ended September 30,
| 2016 |  | 2015
| (in thousands)
Beginning balance | $ | 8,076 |  |  | $ | — |
Charged to expense | 1,594 |  |  | 9,469 |
Cash payments | (5,577 | ) |  | (1,393 | )
Other (a) | 1,024 |  |  | — |
Ending balance (b) | $ | 5,117 |  |  | $ | 8,076 |
(a) | Includes other individually immaterial adjustments as well as adjustments to our estimate of lease termination costs.
(b) | Ending balance as of September 30, 2016 is comprised of accrued lease termination costs that we expect to be partially offset by future sublease payments through 2029. We consider future changes in this accrual to be attributable to continuing operations.

X
- References No definition available. + Details
Name: | us-gaap_DiscontinuedOperationsAndDisposalGroupsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=65878427&loc=SL51721533-107759 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 4B -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721665-107760 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=64827811&loc=d3e1474-107760 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=64827811&loc=d3e1361-107760 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721683-107760 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 3A -URI http://asc.fasb.org/extlink&oid=64862545&loc=SL51724579-110230 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5C -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721675-107760 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 4A -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721663-107760 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=64862545&loc=d3e2941-110230 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5B -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721673-107760 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3A -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721659-107760 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5A -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721671-107760 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5D -URI http://asc.fasb.org/extlink&oid=64827811&loc=SL51721677-107760 + Details
Name: | us-gaap_ScheduleOfDisposalGroupsIncludingDiscontinuedOperationsIncomeStatementBalanceSheetAndAdditionalDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of costs incurred for restructuring including, but not limited to, exit and disposal activities, remediation, implementation, integration, asset impairment, and charges against earnings from the write-down of assets. + References Reference 1: 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 2: 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 Reference 3: 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 + Details
Name: | us-gaap_ScheduleOfRestructuringAndRelatedCostsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost. This element may also include a description of any reversal and other adjustment made during the period to the amount of an accrued liability for restructuring activities. This element may be used to encapsulate the roll forward presentations of an entity's restructuring reserve by type of cost and in total, and explanation of changes that occurred in the period. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (b)(2) -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 Reference 2: 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(b)(2)) -URI http://asc.fasb.org/extlink&oid=27011515&loc=d3e140904-122747 + Details
Name: | us-gaap_ScheduleOfRestructuringReserveByTypeOfCostTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration