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SEGMENT INFORMATION | 3 Months Ended
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Jun. 30, 2013
Segment Reporting [Abstract] |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company is comprised of four reportable segments: Phase I Deployment, Phase II Deployment, Services and Content & Entertainment. The segments were determined based on the products and services provided by each segment and how management reviews and makes decisions regarding segment operations. Performance of the segments is evaluated on the segment’s income (loss) from continuing operations before interest, taxes, depreciation and amortization. The Phase I Deployment and Phase II Deployment segments consist of the following:
Operations of: | Products and services provided:
Phase 1 DC | Financing vehicles and administrators for the Company’s 3,724 Systems installed nationwide in Phase 1 DC’s deployment to theatrical exhibitors. The Company retains ownership of the Systems and the residual cash flows related to the Systems after the repayment of all non-recourse debt at the expiration of exhibitor master license agreements.
Phase 2 DC | Financing vehicles and administrators for the Company’s 8,530 Systems installed in the second digital cinema deployment, through Phase 2 DC. The Company retains no ownership of the residual cash flows and digital cinema equipment after the completion of cost recoupment and at the expiration of the exhibitor master license agreements.
The Services segment consists of the following:
Operations of: | Products and services provided:
Services | Provides monitoring, billing, collection, verification and other management services to the Company’s Phase I Deployment, Phase II Deployment, Holdings, as well as to exhibitors who purchase their own equipment. Collects and disburses VPFs from motion picture studios and distributors and ACFs from alternative content providers, movie exhibitors and theatrical exhibitors.
Software | Develops and licenses software to the theatrical distribution and exhibition industries as well as other content owners, provides ASP services, and provides software enhancements and consulting services.
The Content & Entertainment segment consists of the following:
Operations of: | Products and services provided:
CEG | As a leading distributor of independent digital content, CEG collaborates with producers and the exhibition community to market, source, curate and distribute independent content to targeted and profitable audiences in theatres and homes, and via mobile and emerging platforms.
Information related to the segments of the Company and its subsidiaries is detailed below:
|  | As of June 30, 2013
|  | Phase I |  | Phase II |  | Services |  | Content & Entertainment |  | Corporate |  | Consolidated
Total intangible assets, net |  | $ | 332 |  |  | $ | 5 |  |  | $ | 42 |  |  | $ | 12,044 |  |  | $ | — |  |  | $ | 12,423 |
Total goodwill |  | $ | — |  |  | $ | — |  |  | $ | 4,197 |  |  | $ | 8,542 |  |  | $ | — |  |  | $ | 12,739 |
Total assets |  | $ | 131,731 |  |  | $ | 75,366 |  |  | $ | 21,299 |  |  | $ | 43,018 |  |  | $ | 4,371 |  |  | $ | 275,785 |
Notes payable, non-recourse |  | $ | 186,519 |  |  | $ | 43,252 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 229,771 |
Capital leases |  | — |  |  | — |  |  | — |  |  | — |  |  | 4,487 |  |  | 4,487 |
Total debt |  | $ | 186,519 |  |  | $ | 43,252 |  |  | $ | — |  |  | $ | — |  |  | $ | 4,487 |  |  | $ | 234,258 |
|  | As of March 31, 2013
|  | Phase I |  | Phase II |  | Services |  | Content & Entertainment |  | Corporate |  | Consolidated
Total intangible assets, net |  | $ | 344 |  |  | $ | 6 |  |  | $ | 49 |  |  | $ | 12,449 |  |  | $ | — |  |  | $ | 12,848 |
Total goodwill |  | $ | — |  |  | $ | — |  |  | $ | 4,197 |  |  | $ | 8,542 |  |  | $ | — |  |  | $ | 12,739 |
Total assets |  | $ | 137,880 |  |  | $ | 79,139 |  |  | $ | 21,864 |  |  | $ | 39,158 |  |  | $ | 6,017 |  |  | $ | 284,058 |
Notes payable, non-recourse |  | $ | 192,609 |  |  | $ | 45,300 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 237,909 |
Capital leases |  | — |  |  | — |  |  | — |  |  | — |  |  | 4,518 |  |  | 4,518 |
Total debt |  | $ | 192,609 |  |  | $ | 45,300 |  |  | $ | — |  |  | $ | — |  |  | $ | 4,518 |  |  | $ | 242,427 |
|  | Statements of Operations
|  | For the Three Months Ended June 30, 2013
|  | (Unaudited)
|  | Phase I |  | Phase II |  | Services |  | Content & Entertainment |  | Corporate |  | Consolidated
Revenues from external customers |  | $ | 8,919 |  |  | $ | 2,954 |  |  | $ | 4,478 |  |  | $ | 3,274 |  |  | $ | — |  |  | $ | 19,625 |
Intersegment revenues (1) |  | — |  |  | — |  |  | 70 |  |  | 11 |  |  | — |  |  | 81 |
Total segment revenues |  | 8,919 |  |  | 2,954 |  |  | 4,548 |  |  | 3,285 |  |  | — |  |  | 19,706 |
Less: Intersegment revenues |  | — |  |  | — |  |  | (70 | ) |  | (11 | ) |  | — |  |  | (81 | )
Total consolidated revenues |  | $ | 8,919 |  |  | $ | 2,954 |  |  | $ | 4,478 |  |  | $ | 3,274 |  |  | $ | — |  |  | $ | 19,625 |
Direct operating (exclusive of depreciation and amortization shown below) (2) |  | 155 |  |  | 142 |  |  | 809 |  |  | 3,385 |  |  | — |  |  | 4,491 |
Selling, general and administrative |  | 63 |  |  | 87 |  |  | 1,136 |  |  | 2,755 |  |  | 3,082 |  |  | 7,123 |
Plus: Allocation of Corporate overhead |  | — |  |  | — |  |  | 1,033 |  |  | 733 |  |  | (1,766 | ) |  | — |
Research and development |  | — |  |  | — |  |  | 28 |  |  | — |  |  | — |  |  | 28 |
Provision for doubtful accounts |  | 43 |  |  | 14 |  |  | 5 |  |  | — |  |  | — |  |  | 62 |
Depreciation and amortization of property and equipment |  | 7,137 |  |  | 1,881 |  |  | 102 |  |  | 3 |  |  | 152 |  |  | 9,275 |
Amortization of intangible assets |  | 11 |  |  | 2 |  |  | 7 |  |  | 405 |  |  | — |  |  | 425 |
Total operating expenses |  | 7,409 |  |  | 2,126 |  |  | 3,120 |  |  | 7,281 |  |  | 1,468 |  |  | 21,404 |
Income (loss) from operations |  | $ | 1,510 |  |  | $ | 828 |  |  | $ | 1,358 |  |  | $ | (4,007 | ) |  | $ | (1,468 | ) |  | $ | (1,779 | )
(1) Intersegment revenues of the Services segment principally represent service fees earned from the Phase I and Phase II Deployments. (2) Included in direct operating of the Services segment is $314 for the amortization of capitalized software development costs. The following employee and director stock-based compensation expense related to the Company’s stock-based awards is included in the above amounts as follows:
|  | Phase I |  | Phase II |  | Services |  | Content & Entertainment |  | Corporate |  | Consolidated
Direct operating |  | $ | — |  |  | $ | — |  |  | $ | 16 |  |  | $ | 2 |  |  | $ | — |  |  | $ | 18 |
Selling, general and administrative |  | — |  |  | — |  |  | 21 |  |  | 23 |  |  | 653 |  |  | 697 |
Research and development |  | — |  |  | — |  |  | 22 |  |  | — |  |  | — |  |  | 22 |
Total stock-based compensation |  | $ | — |  |  | $ | — |  |  | $ | 59 |  |  | $ | 25 |  |  | $ | 653 |  |  | $ | 737 |
|  | Statements of Operations
|  | For the Three Months Ended June 30, 2012
|  | (Unaudited)
|  | Phase I |  | Phase II |  | Services |  | Content & Entertainment |  | Corporate |  | Consolidated
Revenues from external customers |  | $ | 9,916 |  |  | $ | 3,159 |  |  | $ | 5,064 |  |  | $ | 2,765 |  |  | $ | — |  |  | $ | 20,904 |
Intersegment revenues (1) |  | — |  |  | — |  |  | 241 |  |  | 7 |  |  | — |  |  | 248 |
Total segment revenues |  | 9,916 |  |  | 3,159 |  |  | 5,305 |  |  | 2,772 |  |  | — |  |  | 21,152 |
Less: Intersegment revenues |  | — |  |  | — |  |  | (241 | ) |  | (7 | ) |  | — |  |  | (248 | )
Total consolidated revenues |  | $ | 9,916 |  |  | $ | 3,159 |  |  | $ | 5,064 |  |  | $ | 2,765 |  |  | $ | — |  |  | $ | 20,904 |
Direct operating (exclusive of depreciation and amortization shown below) (2) |  | 115 |  |  | 166 |  |  | 1,116 |  |  | 1,038 |  |  | — |  |  | 2,435 |
Selling, general and administrative |  | 17 |  |  | 25 |  |  | 890 |  |  | 1,695 |  |  | 3,266 |  |  | 5,893 |
Plus: Allocation of Corporate overhead |  | — |  |  | — |  |  | 1,263 |  |  | 924 |  |  | (2,187 | ) |  | — |
Research and development |  | — |  |  | — |  |  | 38 |  |  |  |  | — |  |  | 38 |
Provision for doubtful accounts |  | 52 |  |  | 16 |  |  | 8 |  |  | — |  |  | — |  |  | 76 |
Merger and acquisition expenses |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,267 |  |  | 1,267 |
Depreciation and amortization of property and equipment |  | 7,138 |  |  | 1,801 |  |  | 42 |  |  | 5 |  |  | 111 |  |  | 9,097 |
Amortization of intangible assets |  | 11 |  |  | 2 |  |  | 7 |  |  | 138 |  |  | — |  |  | 158 |
Total operating expenses |  | 7,333 |  |  | 2,010 |  |  | 3,364 |  |  | 3,800 |  |  | 2,457 |  |  | 18,964 |
Income (loss) from operations |  | $ | 2,583 |  |  | $ | 1,149 |  |  | $ | 1,700 |  |  | $ | (1,035 | ) |  | $ | (2,457 | ) |  | $ | 1,940 |
(1) Intersegment revenues of the Services segment represent service fees earned from the Phase I and Phase II Deployments. (2) Included in direct operating of the Services segment is $250 for the amortization of capitalized software development costs. The following employee and director stock-based compensation expense related to the Company’s stock-based awards is included in the above amounts as follows:
|  | Phase I |  | Phase II |  | Services |  | Content & Entertainment |  | Corporate |  | Consolidated
Direct operating |  | $ | — |  |  | $ | — |  |  | $ | 18 |  |  | $ | 4 |  |  | $ | — |  |  | $ | 22 |
Selling, general and administrative |  | — |  |  | — |  |  | 15 |  |  | 17 |  |  | 700 |  |  | 732 |
Research and development |  | — |  |  | — |  |  | 37 |  |  | — |  |  | — |  |  | 37 |
Total stock-based compensation |  | $ | — |  |  | $ | — |  |  | $ | 70 |  |  | $ | 21 |  |  | $ | 700 |  |  | $ | 791 |

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 + Details
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