Quarterly report pursuant to Section 13 or 15(d)

Summary of Significant Accounting Policies (Tables)

v3.19.3
Summary of Significant Accounting Policies (Tables)
 9 Months Ended
Sep. 30, 2019
Accounting Policies [Abstract]  
Cumulative Effect of Adjustments for Adoption of Topic 842 The adoption of ASC 842, “Leases,” did not have a material effect on our unaudited condensed consolidated statements of income or our unaudited condensed consolidated statements of cash flows. The effect of the adoption of ASC 842, “Leases,” on our unaudited condensed consolidated balance sheets as of January 1, 2019 and September 30, 2019 was as follows:
Before Impact of ASC 842 Effects of Adoption of ASC 842 After Impact of ASC 842
December 31, 2018 January 1, 2019
Balance Sheet (In thousands)
Assets:
Property and Equipment, net $ 1,178,489    $ (18,948)   $ 1,159,541   
Other Intangible Assets, net 69,705 (4,005)   65,700   
Right-of-Use Assets —    406,918    406,918   
Liabilities:
Current lease liabilities $ —    $ 48,832    $ 48,832   
Other accrued liabilities 257,823    (1,987)   255,836   
Long-Term Debt 918,779    (20,557)   898,222   
Long-Term Lease Liabilities —    370,647    370,647   
Other Long-Term Liabilities 75,887    (2,508)   73,379   
Deferred Income Taxes 33,178    (3,034)   30,144   
Stockholders' Equity:
Retained earnings $ 670,691    $ (7,428)   $ 663,263   

Adoption
of ASC 842 as of
January 1, 2019		 New
Leases		 Modifications (1) Reduction / Amortization As Reported September 30, 2019
(In thousands)
Right-of-Use Assets:
Finance Leases $ 18,948    $ 38    $ 18,782    $ (2,446)   $ 35,322   
Operating Leases 387,970    754    (25,910)   (33,964)   328,850   
Total Right-of-Use Assets $ 406,918    $ 792    $ (7,128)   $ (36,410)   $ 364,172   
Current Lease Liabilities:
Finance Leases $ 728    $ 3    $ 4,521    $ (3,737)   $ 1,515   
Operating Leases 48,104    521    (1,829)   (3,104)   43,692   
Total Current Lease Liabilities $ 48,832    $ 524    $ 2,692    $ (6,841)   $ 45,207   
Long-Term Lease Liabilities:
Finance Leases $ 19,829    $ 36    $ 17,750    $ (969)   $ 36,646   
Operating Leases 350,818    233    (23,914)   (32,132)   295,005   
Total Long-Term Lease Liabilities $ 370,647    $ 269    $ (6,164)   $ (33,101)   $ 331,651   
Lease Expenses
Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019
Lease Expense (In thousands)
Finance lease expense:
Reduction of right-of-use assets $ 874    $ 2,446   
Interest on lease liabilities 1,305    3,820   
Operating lease expense (1) 16,610    51,664   
Short-term lease expense (1) 340    1,208   
Variable lease expense 597    1,394   
Sublease income (3,510)   (10,894)  
Total $ 16,216    $ 49,638   
(1) Included in operating cash flows in the accompanying unaudited condensed consolidated statements of cash flows.
Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019
(In thousands)
Other Information
Cash paid for amounts included in the measurement of lease liabilities:
      Financing cash flows for finance leases $ 3,924    $ 4,706   
      Operating cash flows for finance leases $ 1,305    $ 3,820   
      Operating cash flows for operating leases $ 17,527    $ 54,311   
Right-of-use assets obtained in exchange for lease liabilities:
      Finance leases $ 822    $ 10,843   
      Operating leases (1) $ 7,053    $ (1,885)  

(1) Includes the impact of reclassification of right-of-use assets from operating leases to finance leases due to remeasurement.
September 30, 2019
Other Information
Weighted-average remaining lease term (in years):
      Finance leases 12.0
      Operating leases 9.6
Weighted-average discount rate:
      Finance leases 18.76  %
      Operating leases 6.84  %
Lessee, Operating Lease, Liability, Maturity
Undiscounted Lease Cash Flows Under ASC 842 as of September 30, 2019
Finance Operating Receipts from Subleases
Year Ending December 31, (In thousands)
2019 $ 1,643    $ 16,840    $ (3,337)  
2020 6,595    63,557    (11,309)  
2021 6,747    56,236    (8,535)  
2022 6,755    48,502    (6,103)  
2023 6,816    46,752    (6,103)  
Thereafter 50,689    243,142    (9,312)  
Total $ 79,245    $ 475,029    $ (44,699)  
Less: Present value discount (41,084)   (136,332)  
Lease liabilities $ 38,161    $ 338,697   
For comparison purposes the following table provides the future minimum lease payments as presented in our Annual Report on Form 10-K for the year ended December 31, 2018 in accordance with ASC 840, “Leases.”
Undiscounted Lease Cash Flows Under ASC 842 as of December 31, 2018
Finance Operating Receipts from Subleases
Year Ending December 31, (In thousands)
2019 $ 6,985    $ 82,177    $ (13,430)  
2020 7,165    66,023    (10,508)  
2021 7,357    51,501    (8,534)  
2022 7,374    37,152    (7,232)  
2023 7,609    33,486    (7,013)  
Thereafter 482,390    127,026    (13,116)  
Total minimum lease payments (receipts) $ 518,880    $ 397,365    $ (59,833)  
Less: Present value discount (498,291)  
Lease liabilities $ 20,589   
Current portion of lease liabilities $ 643   
Long-term portion of lease liabilities $ 19,946   
Finance Lease, Liability, Maturity
Undiscounted Lease Cash Flows Under ASC 842 as of September 30, 2019
Finance Operating Receipts from Subleases
Year Ending December 31, (In thousands)
2019 $ 1,643    $ 16,840    $ (3,337)  
2020 6,595    63,557    (11,309)  
2021 6,747    56,236    (8,535)  
2022 6,755    48,502    (6,103)  
2023 6,816    46,752    (6,103)  
Thereafter 50,689    243,142    (9,312)  
Total $ 79,245    $ 475,029    $ (44,699)  
Less: Present value discount (41,084)   (136,332)  
Lease liabilities $ 38,161    $ 338,697   
For comparison purposes the following table provides the future minimum lease payments as presented in our Annual Report on Form 10-K for the year ended December 31, 2018 in accordance with ASC 840, “Leases.”
Undiscounted Lease Cash Flows Under ASC 842 as of December 31, 2018
Finance Operating Receipts from Subleases
Year Ending December 31, (In thousands)
2019 $ 6,985    $ 82,177    $ (13,430)  
2020 7,165    66,023    (10,508)  
2021 7,357    51,501    (8,534)  
2022 7,374    37,152    (7,232)  
2023 7,609    33,486    (7,013)  
Thereafter 482,390    127,026    (13,116)  
Total minimum lease payments (receipts) $ 518,880    $ 397,365    $ (59,833)  
Less: Present value discount (498,291)  
Lease liabilities $ 20,589   
Current portion of lease liabilities $ 643   
Long-term portion of lease liabilities $ 19,946