Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 27, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'INSPERITY, INC. | ' |
Entity Central Index Key | '0001000753 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 25,332,418 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
CONSOLIDATED_BALANCE_SHEETS_Un
CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $179,458 | $225,755 |
Restricted cash | 57,222 | 51,928 |
Marketable securities | 45,953 | 46,340 |
Accounts receivable, net: | ' | ' |
Trade | 3,730 | 7,453 |
Unbilled | 237,748 | 199,628 |
Other | 3,336 | 2,928 |
Prepaid insurance | 30,613 | 10,638 |
Other current assets | 12,851 | 12,053 |
Income taxes receivable | 2,740 | 409 |
Deferred income taxes | 0 | 8,185 |
Total current assets | 573,651 | 565,317 |
Property and equipment: | ' | ' |
Land | 5,214 | 4,115 |
Buildings and improvements | 68,471 | 67,939 |
Computer hardware and software | 87,631 | 85,241 |
Software development costs | 40,628 | 38,522 |
Furniture and fixtures | 36,855 | 36,479 |
Aircraft | 35,879 | 35,879 |
Total property and equipment, gross | 274,678 | 268,175 |
Accumulated depreciation and amortization | -191,913 | -181,760 |
Total property and equipment, net | 82,765 | 86,415 |
Other assets: | ' | ' |
Prepaid health insurance | 9,000 | 9,000 |
Deposits – health insurance | 3,700 | 3,700 |
Deposits – workers’ compensation | 93,686 | 81,878 |
Goodwill and other intangible assets, net | 14,808 | 18,434 |
Other assets | 1,748 | 1,816 |
Total other assets | 122,942 | 114,828 |
Total assets | 779,358 | 766,560 |
Current liabilities: | ' | ' |
Accounts payable | 3,255 | 2,678 |
Payroll taxes and other payroll deductions payable | 105,026 | 165,604 |
Accrued worksite employee payroll cost | 211,028 | 173,801 |
Accrued health insurance costs | 26,351 | 5,103 |
Accrued workers’ compensation costs | 59,393 | 52,930 |
Accrued corporate payroll and commissions | 26,474 | 21,611 |
Other accrued liabilities | 23,008 | 14,960 |
Total current liabilities | 454,535 | 436,687 |
Noncurrent liabilities: | ' | ' |
Accrued workers’ compensation costs | 73,009 | 68,905 |
Deferred income taxes | 3,806 | 7,696 |
Total noncurrent liabilities | 76,815 | 76,601 |
Commitments and contingencies | ' | ' |
Stockholders’ equity: | ' | ' |
Common stock | 308 | 308 |
Additional paid-in capital | 136,972 | 135,653 |
Treasury stock, at cost | -151,091 | -138,688 |
Accumulated other comprehensive income, net of tax | 24 | 29 |
Retained earnings | 261,795 | 255,970 |
Total stockholders’ equity | 248,008 | 253,272 |
Total liabilities and stockholders’ equity | $779,358 | $766,560 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Revenues (gross billings of $3.362 billion, $3.236 billion, $10.231 billion and $9.736 billion, less worksite employee payroll cost of $2.802 billion, $2.696 billion, $8.469 billion and $8.037 billion, respectively) | $560,303 | $539,869 | $1,761,923 | $1,698,979 |
Direct costs: | ' | ' | ' | ' |
Payroll taxes, benefits and workers’ compensation costs | 459,486 | 442,460 | 1,459,477 | 1,395,706 |
Gross profit | 100,817 | 97,409 | 302,446 | 303,273 |
Operating expenses: | ' | ' | ' | ' |
Salaries, wages and payroll taxes | 49,384 | 43,797 | 148,245 | 137,697 |
Stock-based compensation | 2,701 | 2,749 | 8,346 | 8,351 |
Commissions | 3,790 | 3,609 | 10,753 | 10,349 |
Advertising | 4,885 | 4,273 | 18,182 | 19,243 |
General and administrative expenses | 20,295 | 20,567 | 64,143 | 62,592 |
Goodwill and Intangible Asset Impairment | 0 | 0 | 2,485 | 0 |
Depreciation and amortization | 5,302 | 5,302 | 15,827 | 15,692 |
Total operating expenses | 86,357 | 80,297 | 267,981 | 253,924 |
Operating income | 14,460 | 17,112 | 34,465 | 49,349 |
Other income (expense): | ' | ' | ' | ' |
Interest, net | 9 | 26 | 80 | 155 |
Other, net | 34 | -1 | 20 | -2,668 |
Income before income tax expense | 14,503 | 17,137 | 34,565 | 46,836 |
Income tax expense | 6,118 | 7,055 | 14,725 | 20,093 |
Net income | 8,385 | 10,082 | 19,840 | 26,743 |
Less distributed and undistributed earnings allocated to participating securities | -243 | -289 | -576 | -769 |
Net income allocated to common shares | $8,142 | $9,793 | $19,264 | $25,974 |
Basic net income per share of common stock (in dollars per share) | $0.33 | $0.39 | $0.78 | $1.05 |
Diluted net income per share of common stock (in dollars per share) | $0.33 | $0.39 | $0.78 | $1.04 |
CONSOLIDATED_STATEMENTS_OF_OPE1
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Gross billings | $3,362 | $3,236 | $10,231 | $9,736 |
Worksite employee payroll costs | $2,802 | $2,696 | $8,469 | $8,037 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $8,385 | $10,082 | $19,840 | $26,743 |
Other comprehensive income: | ' | ' | ' | ' |
Unrealized gain (loss) on available-for-sale securities, net of tax | -17 | 26 | -5 | 7 |
Comprehensive income | $8,368 | $10,108 | $19,835 | $26,750 |
CONSOLIDATED_STATEMENT_OF_STOC
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) (USD $) | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income [Member] | Retained Earnings [Member] |
In Thousands | ||||||
Balance at Dec. 31, 2013 | $253,272 | $308 | $135,653 | ($138,688) | $29 | $255,970 |
Balance (shares) at Dec. 31, 2013 | ' | 30,758 | ' | ' | ' | ' |
Purchase of treasury stock, at cost | -20,769 | 0 | 0 | -20,769 | 0 | 0 |
Exercise of stock options | 277 | 0 | -177 | 454 | 0 | 0 |
Income tax benefit from stock-based compensation, net | 66 | 0 | 66 | 0 | 0 | 0 |
Stock-based compensation expense | 8,346 | 0 | 1,233 | 7,113 | 0 | 0 |
Other | 996 | 0 | 197 | 799 | 0 | 0 |
Dividends paid | -14,015 | 0 | 0 | 0 | 0 | -14,015 |
Unrealized loss on marketable securities, net of tax | -5 | 0 | 0 | 0 | -5 | 0 |
Net income | 19,840 | 0 | 0 | 0 | 0 | 19,840 |
Balance at Sep. 30, 2014 | $248,008 | $308 | $136,972 | ($151,091) | $24 | $261,795 |
Balance (shares) at Sep. 30, 2014 | ' | 30,758 | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $19,840 | $26,743 |
Adjustments to reconcile net income to net cash used in operating activities: | ' | ' |
Depreciation and amortization | 15,827 | 15,692 |
Goodwill and Intangible Asset Impairment | 2,485 | 0 |
Cost method investments, other than temporary impairments | ' | 2,679 |
Amortization of marketable securities | 1,474 | 1,597 |
Stock-based compensation | 8,346 | 8,351 |
Deferred income taxes | 4,299 | 3,150 |
Changes in operating assets and liabilities: | ' | ' |
Restricted cash | -5,294 | -3,168 |
Accounts receivable | -34,805 | -28,576 |
Prepaid insurance | -19,975 | -1,729 |
Other current assets | -798 | -446 |
Other assets | -11,761 | -11,406 |
Accounts payable | 577 | -349 |
Payroll taxes and other payroll deductions payable | -60,578 | -76,246 |
Accrued worksite employee payroll expense | 37,227 | 34,072 |
Accrued health insurance costs | 21,248 | -7,118 |
Accrued workers’ compensation costs | 10,567 | 2,828 |
Accrued corporate payroll, commissions and other accrued liabilities | 12,911 | 3,850 |
Income taxes payable/receivable | -2,572 | -4,301 |
Total adjustments | -20,822 | -61,120 |
Net cash used in operating activities | -982 | -34,377 |
Marketable securities: | ' | ' |
Purchases | -36,468 | -49,580 |
Proceeds from dispositions | 10,630 | 8,025 |
Proceeds from maturities | 24,759 | 9,474 |
Property and equipment | -11,032 | -9,281 |
Net cash used in investing activities | -12,111 | -41,362 |
Cash flows from financing activities: | ' | ' |
Purchase of treasury stock | -20,769 | -17,130 |
Dividends paid | -14,015 | -13,039 |
Proceeds from the exercise of stock options | 277 | 1,163 |
Income tax benefit from stock-based compensation | 307 | 1,181 |
Other | 996 | 862 |
Net cash used in financing activities | -33,204 | -26,963 |
Net decrease in cash and cash equivalents | -46,297 | -102,702 |
Cash and cash equivalents at beginning of period | 225,755 | 264,544 |
Cash and cash equivalents at end of period | $179,458 | $161,842 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended | |
Sep. 30, 2014 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |
Basis of Presentation | ' | |
1 | Basis of Presentation | |
Insperity, Inc., a Delaware corporation (“Insperity,” “we,” “our,” and “us”), provides an array of human resources (“HR”) and business solutions designed to help improve business performance. Our most comprehensive HR business offering is provided through our professional employer organization (“PEO”) services, known as Workforce Optimization®, which encompasses a broad range of HR functions, including payroll and employment administration, employee benefits, workers’ compensation, government compliance, performance management, and training and development services. | ||
In addition to Workforce Optimization, we offer Human Capital Management, Payroll Services, Time and Attendance, Performance Management, Organizational Planning, Recruiting Services, Employment Screening, Financial Services, Expense Management, Retirement Services and Insurance Services (collectively “Strategic Business Units”, formerly known as Adjacent Businesses), many of which are offered via desktop applications and software as a service (“SaaS”) delivery models. These other products or services are offered separately, in customizable bundles, or along with Workforce Optimization. | ||
The Consolidated Financial Statements include the accounts of Insperity and its subsidiaries, all of which are wholly owned. Intercompany accounts and transactions have been eliminated in consolidation. | ||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. | ||
The accompanying Consolidated Financial Statements should be read in conjunction with our audited Consolidated Financial Statements as of and for the year ended December 31, 2013. Our Consolidated Balance Sheet at December 31, 2013 has been derived from the audited financial statements at that date, but does not include all of the information or footnotes required by GAAP for complete financial statements. Our Consolidated Balance Sheet at September 30, 2014 and our Consolidated Statements of Operations and Comprehensive Income for the three and nine month periods ended September 30, 2014 and 2013, our Consolidated Statements of Cash Flows for the nine month periods ended September 30, 2014 and 2013, and our Consolidated Statement of Stockholders’ Equity for the nine month period ended September 30, 2014 , have been prepared by us without audit. In the opinion of management, all adjustments, consisting only of normal recurring adjustments necessary to present fairly the consolidated financial position, results of operations and cash flows, have been made. | ||
The results of operations for the interim periods are not necessarily indicative of the operating results for a full year or of future operations. |
Accounting_Policies
Accounting Policies | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Accounting Policies | ' | ||||||||
2 | Accounting Policies | ||||||||
Health Insurance Costs | |||||||||
We provide group health insurance coverage to our worksite employees through a national network of carriers, including UnitedHealthcare (“United”), UnitedHealthcare of California, Kaiser Permanente, Blue Shield of California, HMSA BlueCross BlueShield, Unity Health Plan and Tufts, all of which provide fully insured policies or service contracts. | |||||||||
The policy with United provides the majority of our health insurance coverage. As a result of certain contractual terms, we have accounted for this plan since its inception using a partially self-funded insurance accounting model. Accordingly, we record the costs of the United plan, including an estimate of the incurred claims, taxes and administrative fees (collectively the “Plan Costs”) as benefits expense in our Consolidated Statements of Operations. The estimated incurred claims are based upon: (i) the level of claims processed during the quarter; (ii) estimated completion rates based upon recent claim development patterns under the plan; and (iii) the number of participants in the plan, including both active and COBRA enrollees. Each reporting period, changes in the estimated ultimate costs resulting from claim trends, plan design and migration, participant demographics and other factors are incorporated into the Plan Costs. | |||||||||
Additionally, since the plan’s inception, under the terms of the contract, United establishes cash funding rates 90 days in advance of the beginning of a reporting quarter. If the Plan Costs for a reporting quarter are greater than the premiums paid and owed to United, a deficit in the plan would be incurred and a liability for the excess costs would be accrued in our Consolidated Balance Sheets. On the other hand, if the Plan Costs for the reporting quarter are less than the premiums paid and owed to United, a surplus in the plan would be incurred and we would record an asset for the excess premiums in our Consolidated Balance Sheets. The terms of the arrangement require us to maintain an accumulated cash surplus in the plan of $9.0 million, which is reported as long-term prepaid insurance. In addition, United requires a deposit equal to approximately one day of claims funding activity, which was $3.5 million as of September 30, 2014, and is reported as a long-term asset. As of September 30, 2014, Plan Costs were less than the net premiums paid and owed to United by $31.8 million. As this amount is in excess of the agreed-upon $9.0 million surplus maintenance level, the $22.8 million balance is included in prepaid insurance, a current asset, in our Consolidated Balance Sheets. The premiums owed to United at September 30, 2014 were $22.7 million, which is included in accrued health insurance costs, a current liability in our Consolidated Balance Sheets. Our benefits costs incurred in the first nine months of 2014 included costs of $2.4 million for changes in estimated run-off related to 2013. | |||||||||
Workers’ Compensation Costs | |||||||||
Our workers’ compensation coverage has been provided through an arrangement with the ACE Group of Companies (the “ACE Program”) since 2007. The ACE Program is fully insured in that ACE has the responsibility to pay all claims incurred regardless of whether we satisfy our responsibilities. We bear the economic burden for the first $1 million layer of claims per occurrence, as well as a maximum aggregate amount of $5 million per policy year for those claims that exceed $1 million, and the insurance carrier bears responsibility for the claims in excess of such amounts. | |||||||||
Because we bear the economic burden for claims up to the levels noted above, such claims, which are the primary component of our workers’ compensation costs, are recorded in the period incurred. Workers’ compensation insurance includes ongoing health care and indemnity coverage whereby claims are paid over numerous years following the date of injury. Accordingly, the accrual of related incurred costs in each reporting period includes estimates, which take into account the ongoing development of claims and therefore requires a significant level of judgment. | |||||||||
We employ a third party actuary to estimate our loss development rate, which is primarily based upon the nature of worksite employees’ job responsibilities, the location of worksite employees, the historical frequency and severity of workers’ compensation claims, and an estimate of future cost trends. Each reporting period, changes in the actuarial assumptions resulting from changes in actual claims experience and other trends are incorporated into our workers’ compensation claims cost estimates. During the nine months ended September 30, 2014 and 2013, we reduced our workers’ compensation costs by $3.0 million and $8.3 million, respectively, for changes in estimated losses related to prior reporting periods. Workers’ compensation cost estimates are discounted to present value at a rate based upon the U.S. Treasury rates that correspond with the weighted average estimated claim payout period (the average discount rate utilized in the 2014 and 2013 periods were 1.0% and 0.7%, respectively) and are accreted over the estimated claim payment period and included as a component of direct costs in our Consolidated Statements of Operations. | |||||||||
The following table presents the activity and balances related to incurred but not paid workers’ compensation claims: | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Beginning balance, January 1, | $ | 120,833 | $ | 111,685 | |||||
Accrued claims | 39,130 | 30,496 | |||||||
Present value discount | (1,418 | ) | (748 | ) | |||||
Paid claims | (28,314 | ) | (24,462 | ) | |||||
Ending balance | $ | 130,231 | $ | 116,971 | |||||
Current portion of accrued claims | $ | 57,222 | $ | 50,317 | |||||
Long-term portion of accrued claims | 73,009 | 66,654 | |||||||
$ | 130,231 | $ | 116,971 | ||||||
The current portion of accrued workers’ compensation costs on our Consolidated Balance Sheets at September 30, 2014 includes $2.2 million of workers’ compensation administrative fees. | |||||||||
As of September 30, 2014 and 2013, the undiscounted accrued workers’ compensation costs were $140.0 million and $127.5 million, respectively. | |||||||||
At the beginning of each policy period, the insurance carrier establishes monthly funding requirements comprised of premium costs and funds to be set aside for payment of future claims (“claim funds”). The level of claim funds is primarily based upon anticipated worksite employee payroll levels and expected workers’ compensation loss rates, as determined by the insurance carrier. Monies funded into the program for incurred claims expected to be paid within one year are recorded as restricted cash, a short-term asset, while the remainder of claim funds are included in deposits, a long-term asset in our Consolidated Balance Sheets. During the first nine months of 2014 and 2013, we paid the insurance carrier an additional $7.2 million and $5.0 million, respectively, in claim funds for prior policy years, which increased deposits. As of September 30, 2014, we had restricted cash of $57.2 million and deposits of $93.7 million. | |||||||||
Our estimate of incurred claim costs expected to be paid within one year is recorded as accrued workers’ compensation costs and included in short-term liabilities, while our estimate of incurred claim costs expected to be paid beyond one year is included in long-term liabilities on our Consolidated Balance Sheets. |
Cash_Cash_Equivalents_and_Mark
Cash, Cash Equivalents and Marketable Securities | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Cash, Cash Equivalents and Marketable Securities [Abstract] | ' | ||||||||||||||||
Cash, Cash Equivalents and Marketable Securities | ' | ||||||||||||||||
3 | Cash, Cash Equivalents and Marketable Securities | ||||||||||||||||
The following table summarizes our cash and investments in cash equivalents and marketable securities held by investment managers and overnight investments: | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
Overnight Holdings | |||||||||||||||||
Money market funds (cash equivalents) | $ | 123,800 | $ | 192,040 | |||||||||||||
Investment Holdings | |||||||||||||||||
Money market funds (cash equivalents) | 43,427 | 42,913 | |||||||||||||||
Marketable securities | 45,953 | 46,340 | |||||||||||||||
213,180 | 281,293 | ||||||||||||||||
Cash held in demand accounts | 20,778 | 23,054 | |||||||||||||||
Outstanding checks | (8,547 | ) | (32,252 | ) | |||||||||||||
Total cash, cash equivalents and marketable securities | $ | 225,411 | $ | 272,095 | |||||||||||||
Cash and cash equivalents | $ | 179,458 | $ | 225,755 | |||||||||||||
Marketable securities | 45,953 | 46,340 | |||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 225,411 | $ | 272,095 | |||||||||||||
Our cash and overnight holdings fluctuate based on the timing of clients’ payroll processing cycles. Included in the cash balance as of September 30, 2014 and December 31, 2013, are $90.8 million and $143.0 million, respectively, in funds associated with federal and state income tax withholdings, employment taxes and other payroll deductions, as well as $18.3 million and $24.5 million in client prepayments, respectively. | |||||||||||||||||
We account for our financial assets in accordance with Accounting Standard Codification (“ASC”) 820, Fair Value Measurement. This standard defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. The fair value measurement disclosures are grouped into three levels based on valuation factors: | |||||||||||||||||
• | Level 1 - quoted prices in active markets using identical assets | ||||||||||||||||
• | Level 2 - significant other observable inputs, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other observable inputs | ||||||||||||||||
• | Level 3 - significant unobservable inputs | ||||||||||||||||
The following table summarizes the levels of fair value measurements of our financial assets: | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
(in thousands) | |||||||||||||||||
September 30, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2014 | |||||||||||||||||
Money market funds | $ | 167,227 | $ | 167,227 | $ | — | $ | — | |||||||||
Municipal bonds | 45,953 | — | 45,953 | — | |||||||||||||
Total | $ | 213,180 | $ | 167,227 | $ | 45,953 | $ | — | |||||||||
Fair Value Measurements | |||||||||||||||||
(in thousands) | |||||||||||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2013 | |||||||||||||||||
Money market funds | $ | 234,953 | $ | 234,953 | $ | — | $ | — | |||||||||
Municipal bonds | 46,340 | — | 46,340 | — | |||||||||||||
Total | $ | 281,293 | $ | 234,953 | $ | 46,340 | $ | — | |||||||||
The municipal bond securities valued as Level 2 investments are primarily pre-refunded municipal bonds that are secured by escrow funds containing U.S. Government securities. Our valuation techniques used to measure fair value for these securities during the period consisted primarily of third party pricing services that utilized actual market data such as trades of comparable bond issues, broker/dealer quotations for the same or similar investments in active markets and other observable inputs. | |||||||||||||||||
The following is a summary of our available-for-sale marketable securities: | |||||||||||||||||
Amortized | Gross | Gross | Estimated | ||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
(in thousands) | |||||||||||||||||
30-Sep-14 | |||||||||||||||||
Municipal bonds | $ | 45,912 | $ | 45 | $ | (4 | ) | $ | 45,953 | ||||||||
31-Dec-13 | |||||||||||||||||
Municipal bonds | $ | 46,290 | $ | 51 | $ | (1 | ) | $ | 46,340 | ||||||||
As of September 30, 2014, the contractual maturities of our marketable securities were as follows: | |||||||||||||||||
Amortized | Estimated | ||||||||||||||||
Cost | Fair Value | ||||||||||||||||
(in thousands) | |||||||||||||||||
Less than one year | $ | 14,503 | $ | 14,519 | |||||||||||||
One to five years | 31,409 | 31,434 | |||||||||||||||
Total | $ | 45,912 | $ | 45,953 | |||||||||||||
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets Goodwill and Other Intangible Assets (Notes) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Text Block] | ' | ||||||||||||||||
4 | Goodwill and Other Intangible Assets | ||||||||||||||||
During the second quarter of 2014, impairment indicators were identified in our Employment Screening business, which is a discrete reporting unit, due to changes in management, the reporting unit’s financial results and the loss of certain customers. As a result, we performed impairment tests for our Employment Screening business’ long-lived assets and goodwill and concluded that the assets were impaired. The impairments resulted primarily from lower projected revenue growth rates and profitability levels. Accordingly, we recognized intangible asset impairments of $0.7 million and, upon completion of step two of the goodwill impairment test, we recognized a goodwill impairment charge of $1.8 million in the second quarter of 2014. The fair values of the long-lived assets and reporting unit were estimated using discounted cash flow models, which we believe appropriately estimates the fair values of the long-lived assets and reporting unit. The material assumptions used in the models included the weighted average cost of capital and long-term growth rates. We consider these to be Level 3 fair value measures. | |||||||||||||||||
The following table presents the gross carrying amount and accumulated amortization for each class of intangible assets and the gross carrying amount and accumulated impairment for goodwill: | |||||||||||||||||
31-Dec-13 | Nine Months Ended | 30-Sep-14 | |||||||||||||||
September 30, 2014 | |||||||||||||||||
Balance | Impairment | Amortization Expense | Balance | ||||||||||||||
(in thousands) | |||||||||||||||||
Gross carrying amount: | |||||||||||||||||
Trademarks | $ | 1,230 | $ | (1,010 | ) | $ | — | $ | 220 | ||||||||
Customer relationships | 7,784 | (1,392 | ) | — | 6,392 | ||||||||||||
Aggregate goodwill acquired: | |||||||||||||||||
Goodwill | 21,156 | — | — | 21,156 | |||||||||||||
Total | $ | 30,170 | $ | (2,402 | ) | $ | — | $ | 27,768 | ||||||||
Accumulated amortization: | |||||||||||||||||
Trademarks | $ | (680 | ) | $ | 695 | $ | (67 | ) | $ | (52 | ) | ||||||
Customer relationships | (4,340 | ) | 976 | (1,074 | ) | (4,438 | ) | ||||||||||
Accumulated impairment: | |||||||||||||||||
Goodwill | (6,716 | ) | (1,754 | ) | — | (8,470 | ) | ||||||||||
Total | $ | (11,736 | ) | $ | (83 | ) | $ | (1,141 | ) | $ | (12,960 | ) | |||||
Net carrying amount: | |||||||||||||||||
Trademarks | $ | 550 | $ | (315 | ) | $ | (67 | ) | $ | 168 | |||||||
Customer relationships | 3,444 | (416 | ) | (1,074 | ) | 1,954 | |||||||||||
Goodwill | 14,440 | (1,754 | ) | — | 12,686 | ||||||||||||
Total goodwill and other intangible assets | $ | 18,434 | $ | (2,485 | ) | $ | (1,141 | ) | $ | 14,808 | |||||||
Other_Assets
Other Assets | 9 Months Ended | |
Sep. 30, 2014 | ||
Other Assets [Abstract] | ' | |
Cost-method Investments, Description [Text Block] | ' | |
5 | Other Assets | |
In 2011, we acquired a minority interest in The Receivables Exchange (“TRE”), an online marketplace for the sale of accounts receivable, for $2.8 million. In the second quarter of 2013, TRE issued similar securities at per share amounts substantially below the per share book value of our investment. Accordingly, we valued the investment based on a similar security market transaction, which is a Level 2 valuation technique. This resulted in a non-cash impairment charge of $2.7 million, which is included in other income (expense) in our Consolidated Statements of Operations, during the second quarter of 2013. Due to federal income tax limitations on capital losses, no tax benefit associated with the impairment was recognized. |
Revolving_Credit_Facility
Revolving Credit Facility | 9 Months Ended | |
Sep. 30, 2014 | ||
Debt Disclosure [Abstract] | ' | |
Revolving Credit Facility | ' | |
6 | Revolving Credit Facility | |
We have a $100 million revolving credit facility (the “Facility”), which may be increased to $150 million based on the terms and subject to the conditions set forth in the agreement relating to the Facility (the “Credit Agreement”). The Facility matures on September 15, 2015. The Facility contains both affirmative and negative covenants, which we believe are customary for arrangements of this nature. At September 30, 2014, we were in compliance with all financial covenants under the Credit Agreement and had not drawn on the Facility. As of September 30, 2014, we had an outstanding $0.6 million letter of credit issued under the Facility. |
Stockholders_Equity
Accounting Policies (Policies) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Health Insurance Costs | ' | ||||||||
Health Insurance Costs | |||||||||
We provide group health insurance coverage to our worksite employees through a national network of carriers, including UnitedHealthcare (“United”), UnitedHealthcare of California, Kaiser Permanente, Blue Shield of California, HMSA BlueCross BlueShield, Unity Health Plan and Tufts, all of which provide fully insured policies or service contracts. | |||||||||
The policy with United provides the majority of our health insurance coverage. As a result of certain contractual terms, we have accounted for this plan since its inception using a partially self-funded insurance accounting model. Accordingly, we record the costs of the United plan, including an estimate of the incurred claims, taxes and administrative fees (collectively the “Plan Costs”) as benefits expense in our Consolidated Statements of Operations. The estimated incurred claims are based upon: (i) the level of claims processed during the quarter; (ii) estimated completion rates based upon recent claim development patterns under the plan; and (iii) the number of participants in the plan, including both active and COBRA enrollees. Each reporting period, changes in the estimated ultimate costs resulting from claim trends, plan design and migration, participant demographics and other factors are incorporated into the Plan Costs. | |||||||||
Additionally, since the plan’s inception, under the terms of the contract, United establishes cash funding rates 90 days in advance of the beginning of a reporting quarter. If the Plan Costs for a reporting quarter are greater than the premiums paid and owed to United, a deficit in the plan would be incurred and a liability for the excess costs would be accrued in our Consolidated Balance Sheets. On the other hand, if the Plan Costs for the reporting quarter are less than the premiums paid and owed to United, a surplus in the plan would be incurred and we would record an asset for the excess premiums in our Consolidated Balance Sheets. The terms of the arrangement require us to maintain an accumulated cash surplus in the plan of $9.0 million, which is reported as long-term prepaid insurance. In addition, United requires a deposit equal to approximately one day of claims funding activity, which was $3.5 million as of September 30, 2014, and is reported as a long-term asset. As of September 30, 2014, Plan Costs were less than the net premiums paid and owed to United by $31.8 million. As this amount is in excess of the agreed-upon $9.0 million surplus maintenance level, the $22.8 million balance is included in prepaid insurance, a current asset, in our Consolidated Balance Sheets. The premiums owed to United at September 30, 2014 were $22.7 million, which is included in accrued health insurance costs, a current liability in our Consolidated Balance Sheets. Our benefits costs incurred in the first nine months of 2014 included costs of $2.4 million for changes in estimated run-off related to 2013. | |||||||||
Workers' Compensation Costs | ' | ||||||||
Workers’ Compensation Costs | |||||||||
Our workers’ compensation coverage has been provided through an arrangement with the ACE Group of Companies (the “ACE Program”) since 2007. The ACE Program is fully insured in that ACE has the responsibility to pay all claims incurred regardless of whether we satisfy our responsibilities. We bear the economic burden for the first $1 million layer of claims per occurrence, as well as a maximum aggregate amount of $5 million per policy year for those claims that exceed $1 million, and the insurance carrier bears responsibility for the claims in excess of such amounts. | |||||||||
Because we bear the economic burden for claims up to the levels noted above, such claims, which are the primary component of our workers’ compensation costs, are recorded in the period incurred. Workers’ compensation insurance includes ongoing health care and indemnity coverage whereby claims are paid over numerous years following the date of injury. Accordingly, the accrual of related incurred costs in each reporting period includes estimates, which take into account the ongoing development of claims and therefore requires a significant level of judgment. | |||||||||
We employ a third party actuary to estimate our loss development rate, which is primarily based upon the nature of worksite employees’ job responsibilities, the location of worksite employees, the historical frequency and severity of workers’ compensation claims, and an estimate of future cost trends. Each reporting period, changes in the actuarial assumptions resulting from changes in actual claims experience and other trends are incorporated into our workers’ compensation claims cost estimates. During the nine months ended September 30, 2014 and 2013, we reduced our workers’ compensation costs by $3.0 million and $8.3 million, respectively, for changes in estimated losses related to prior reporting periods. Workers’ compensation cost estimates are discounted to present value at a rate based upon the U.S. Treasury rates that correspond with the weighted average estimated claim payout period (the average discount rate utilized in the 2014 and 2013 periods were 1.0% and 0.7%, respectively) and are accreted over the estimated claim payment period and included as a component of direct costs in our Consolidated Statements of Operations. | |||||||||
The following table presents the activity and balances related to incurred but not paid workers’ compensation claims: | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Beginning balance, January 1, | $ | 120,833 | $ | 111,685 | |||||
Accrued claims | 39,130 | 30,496 | |||||||
Present value discount | (1,418 | ) | (748 | ) | |||||
Paid claims | (28,314 | ) | (24,462 | ) | |||||
Ending balance | $ | 130,231 | $ | 116,971 | |||||
Current portion of accrued claims | $ | 57,222 | $ | 50,317 | |||||
Long-term portion of accrued claims | 73,009 | 66,654 | |||||||
$ | 130,231 | $ | 116,971 | ||||||
The current portion of accrued workers’ compensation costs on our Consolidated Balance Sheets at September 30, 2014 includes $2.2 million of workers’ compensation administrative fees. | |||||||||
As of September 30, 2014 and 2013, the undiscounted accrued workers’ compensation costs were $140.0 million and $127.5 million, respectively. | |||||||||
At the beginning of each policy period, the insurance carrier establishes monthly funding requirements comprised of premium costs and funds to be set aside for payment of future claims (“claim funds”). The level of claim funds is primarily based upon anticipated worksite employee payroll levels and expected workers’ compensation loss rates, as determined by the insurance carrier. Monies funded into the program for incurred claims expected to be paid within one year are recorded as restricted cash, a short-term asset, while the remainder of claim funds are included in deposits, a long-term asset in our Consolidated Balance Sheets. During the first nine months of 2014 and 2013, we paid the insurance carrier an additional $7.2 million and $5.0 million, respectively, in claim funds for prior policy years, which increased deposits. As of September 30, 2014, we had restricted cash of $57.2 million and deposits of $93.7 million. | |||||||||
Our estimate of incurred claim costs expected to be paid within one year is recorded as accrued workers’ compensation costs and included in short-term liabilities, while our estimate of incurred claim costs expected to be paid beyond one year is included in long-term liabilities on our Consolidated Balance Sheets. |
Net_Income_Per_Share
Accounting Policies (Policies) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Health Insurance Costs | ' | ||||||||
Health Insurance Costs | |||||||||
We provide group health insurance coverage to our worksite employees through a national network of carriers, including UnitedHealthcare (“United”), UnitedHealthcare of California, Kaiser Permanente, Blue Shield of California, HMSA BlueCross BlueShield, Unity Health Plan and Tufts, all of which provide fully insured policies or service contracts. | |||||||||
The policy with United provides the majority of our health insurance coverage. As a result of certain contractual terms, we have accounted for this plan since its inception using a partially self-funded insurance accounting model. Accordingly, we record the costs of the United plan, including an estimate of the incurred claims, taxes and administrative fees (collectively the “Plan Costs”) as benefits expense in our Consolidated Statements of Operations. The estimated incurred claims are based upon: (i) the level of claims processed during the quarter; (ii) estimated completion rates based upon recent claim development patterns under the plan; and (iii) the number of participants in the plan, including both active and COBRA enrollees. Each reporting period, changes in the estimated ultimate costs resulting from claim trends, plan design and migration, participant demographics and other factors are incorporated into the Plan Costs. | |||||||||
Additionally, since the plan’s inception, under the terms of the contract, United establishes cash funding rates 90 days in advance of the beginning of a reporting quarter. If the Plan Costs for a reporting quarter are greater than the premiums paid and owed to United, a deficit in the plan would be incurred and a liability for the excess costs would be accrued in our Consolidated Balance Sheets. On the other hand, if the Plan Costs for the reporting quarter are less than the premiums paid and owed to United, a surplus in the plan would be incurred and we would record an asset for the excess premiums in our Consolidated Balance Sheets. The terms of the arrangement require us to maintain an accumulated cash surplus in the plan of $9.0 million, which is reported as long-term prepaid insurance. In addition, United requires a deposit equal to approximately one day of claims funding activity, which was $3.5 million as of September 30, 2014, and is reported as a long-term asset. As of September 30, 2014, Plan Costs were less than the net premiums paid and owed to United by $31.8 million. As this amount is in excess of the agreed-upon $9.0 million surplus maintenance level, the $22.8 million balance is included in prepaid insurance, a current asset, in our Consolidated Balance Sheets. The premiums owed to United at September 30, 2014 were $22.7 million, which is included in accrued health insurance costs, a current liability in our Consolidated Balance Sheets. Our benefits costs incurred in the first nine months of 2014 included costs of $2.4 million for changes in estimated run-off related to 2013. | |||||||||
Workers' Compensation Costs | ' | ||||||||
Workers’ Compensation Costs | |||||||||
Our workers’ compensation coverage has been provided through an arrangement with the ACE Group of Companies (the “ACE Program”) since 2007. The ACE Program is fully insured in that ACE has the responsibility to pay all claims incurred regardless of whether we satisfy our responsibilities. We bear the economic burden for the first $1 million layer of claims per occurrence, as well as a maximum aggregate amount of $5 million per policy year for those claims that exceed $1 million, and the insurance carrier bears responsibility for the claims in excess of such amounts. | |||||||||
Because we bear the economic burden for claims up to the levels noted above, such claims, which are the primary component of our workers’ compensation costs, are recorded in the period incurred. Workers’ compensation insurance includes ongoing health care and indemnity coverage whereby claims are paid over numerous years following the date of injury. Accordingly, the accrual of related incurred costs in each reporting period includes estimates, which take into account the ongoing development of claims and therefore requires a significant level of judgment. | |||||||||
We employ a third party actuary to estimate our loss development rate, which is primarily based upon the nature of worksite employees’ job responsibilities, the location of worksite employees, the historical frequency and severity of workers’ compensation claims, and an estimate of future cost trends. Each reporting period, changes in the actuarial assumptions resulting from changes in actual claims experience and other trends are incorporated into our workers’ compensation claims cost estimates. During the nine months ended September 30, 2014 and 2013, we reduced our workers’ compensation costs by $3.0 million and $8.3 million, respectively, for changes in estimated losses related to prior reporting periods. Workers’ compensation cost estimates are discounted to present value at a rate based upon the U.S. Treasury rates that correspond with the weighted average estimated claim payout period (the average discount rate utilized in the 2014 and 2013 periods were 1.0% and 0.7%, respectively) and are accreted over the estimated claim payment period and included as a component of direct costs in our Consolidated Statements of Operations. | |||||||||
The following table presents the activity and balances related to incurred but not paid workers’ compensation claims: | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Beginning balance, January 1, | $ | 120,833 | $ | 111,685 | |||||
Accrued claims | 39,130 | 30,496 | |||||||
Present value discount | (1,418 | ) | (748 | ) | |||||
Paid claims | (28,314 | ) | (24,462 | ) | |||||
Ending balance | $ | 130,231 | $ | 116,971 | |||||
Current portion of accrued claims | $ | 57,222 | $ | 50,317 | |||||
Long-term portion of accrued claims | 73,009 | 66,654 | |||||||
$ | 130,231 | $ | 116,971 | ||||||
The current portion of accrued workers’ compensation costs on our Consolidated Balance Sheets at September 30, 2014 includes $2.2 million of workers’ compensation administrative fees. | |||||||||
As of September 30, 2014 and 2013, the undiscounted accrued workers’ compensation costs were $140.0 million and $127.5 million, respectively. | |||||||||
At the beginning of each policy period, the insurance carrier establishes monthly funding requirements comprised of premium costs and funds to be set aside for payment of future claims (“claim funds”). The level of claim funds is primarily based upon anticipated worksite employee payroll levels and expected workers’ compensation loss rates, as determined by the insurance carrier. Monies funded into the program for incurred claims expected to be paid within one year are recorded as restricted cash, a short-term asset, while the remainder of claim funds are included in deposits, a long-term asset in our Consolidated Balance Sheets. During the first nine months of 2014 and 2013, we paid the insurance carrier an additional $7.2 million and $5.0 million, respectively, in claim funds for prior policy years, which increased deposits. As of September 30, 2014, we had restricted cash of $57.2 million and deposits of $93.7 million. | |||||||||
Our estimate of incurred claim costs expected to be paid within one year is recorded as accrued workers’ compensation costs and included in short-term liabilities, while our estimate of incurred claim costs expected to be paid beyond one year is included in long-term liabilities on our Consolidated Balance Sheets. |
Commitments_and_Contingencies
Accounting Policies (Policies) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Health Insurance Costs | ' | ||||||||
Health Insurance Costs | |||||||||
We provide group health insurance coverage to our worksite employees through a national network of carriers, including UnitedHealthcare (“United”), UnitedHealthcare of California, Kaiser Permanente, Blue Shield of California, HMSA BlueCross BlueShield, Unity Health Plan and Tufts, all of which provide fully insured policies or service contracts. | |||||||||
The policy with United provides the majority of our health insurance coverage. As a result of certain contractual terms, we have accounted for this plan since its inception using a partially self-funded insurance accounting model. Accordingly, we record the costs of the United plan, including an estimate of the incurred claims, taxes and administrative fees (collectively the “Plan Costs”) as benefits expense in our Consolidated Statements of Operations. The estimated incurred claims are based upon: (i) the level of claims processed during the quarter; (ii) estimated completion rates based upon recent claim development patterns under the plan; and (iii) the number of participants in the plan, including both active and COBRA enrollees. Each reporting period, changes in the estimated ultimate costs resulting from claim trends, plan design and migration, participant demographics and other factors are incorporated into the Plan Costs. | |||||||||
Additionally, since the plan’s inception, under the terms of the contract, United establishes cash funding rates 90 days in advance of the beginning of a reporting quarter. If the Plan Costs for a reporting quarter are greater than the premiums paid and owed to United, a deficit in the plan would be incurred and a liability for the excess costs would be accrued in our Consolidated Balance Sheets. On the other hand, if the Plan Costs for the reporting quarter are less than the premiums paid and owed to United, a surplus in the plan would be incurred and we would record an asset for the excess premiums in our Consolidated Balance Sheets. The terms of the arrangement require us to maintain an accumulated cash surplus in the plan of $9.0 million, which is reported as long-term prepaid insurance. In addition, United requires a deposit equal to approximately one day of claims funding activity, which was $3.5 million as of September 30, 2014, and is reported as a long-term asset. As of September 30, 2014, Plan Costs were less than the net premiums paid and owed to United by $31.8 million. As this amount is in excess of the agreed-upon $9.0 million surplus maintenance level, the $22.8 million balance is included in prepaid insurance, a current asset, in our Consolidated Balance Sheets. The premiums owed to United at September 30, 2014 were $22.7 million, which is included in accrued health insurance costs, a current liability in our Consolidated Balance Sheets. Our benefits costs incurred in the first nine months of 2014 included costs of $2.4 million for changes in estimated run-off related to 2013. | |||||||||
Workers' Compensation Costs | ' | ||||||||
Workers’ Compensation Costs | |||||||||
Our workers’ compensation coverage has been provided through an arrangement with the ACE Group of Companies (the “ACE Program”) since 2007. The ACE Program is fully insured in that ACE has the responsibility to pay all claims incurred regardless of whether we satisfy our responsibilities. We bear the economic burden for the first $1 million layer of claims per occurrence, as well as a maximum aggregate amount of $5 million per policy year for those claims that exceed $1 million, and the insurance carrier bears responsibility for the claims in excess of such amounts. | |||||||||
Because we bear the economic burden for claims up to the levels noted above, such claims, which are the primary component of our workers’ compensation costs, are recorded in the period incurred. Workers’ compensation insurance includes ongoing health care and indemnity coverage whereby claims are paid over numerous years following the date of injury. Accordingly, the accrual of related incurred costs in each reporting period includes estimates, which take into account the ongoing development of claims and therefore requires a significant level of judgment. | |||||||||
We employ a third party actuary to estimate our loss development rate, which is primarily based upon the nature of worksite employees’ job responsibilities, the location of worksite employees, the historical frequency and severity of workers’ compensation claims, and an estimate of future cost trends. Each reporting period, changes in the actuarial assumptions resulting from changes in actual claims experience and other trends are incorporated into our workers’ compensation claims cost estimates. During the nine months ended September 30, 2014 and 2013, we reduced our workers’ compensation costs by $3.0 million and $8.3 million, respectively, for changes in estimated losses related to prior reporting periods. Workers’ compensation cost estimates are discounted to present value at a rate based upon the U.S. Treasury rates that correspond with the weighted average estimated claim payout period (the average discount rate utilized in the 2014 and 2013 periods were 1.0% and 0.7%, respectively) and are accreted over the estimated claim payment period and included as a component of direct costs in our Consolidated Statements of Operations. | |||||||||
The following table presents the activity and balances related to incurred but not paid workers’ compensation claims: | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Beginning balance, January 1, | $ | 120,833 | $ | 111,685 | |||||
Accrued claims | 39,130 | 30,496 | |||||||
Present value discount | (1,418 | ) | (748 | ) | |||||
Paid claims | (28,314 | ) | (24,462 | ) | |||||
Ending balance | $ | 130,231 | $ | 116,971 | |||||
Current portion of accrued claims | $ | 57,222 | $ | 50,317 | |||||
Long-term portion of accrued claims | 73,009 | 66,654 | |||||||
$ | 130,231 | $ | 116,971 | ||||||
The current portion of accrued workers’ compensation costs on our Consolidated Balance Sheets at September 30, 2014 includes $2.2 million of workers’ compensation administrative fees. | |||||||||
As of September 30, 2014 and 2013, the undiscounted accrued workers’ compensation costs were $140.0 million and $127.5 million, respectively. | |||||||||
At the beginning of each policy period, the insurance carrier establishes monthly funding requirements comprised of premium costs and funds to be set aside for payment of future claims (“claim funds”). The level of claim funds is primarily based upon anticipated worksite employee payroll levels and expected workers’ compensation loss rates, as determined by the insurance carrier. Monies funded into the program for incurred claims expected to be paid within one year are recorded as restricted cash, a short-term asset, while the remainder of claim funds are included in deposits, a long-term asset in our Consolidated Balance Sheets. During the first nine months of 2014 and 2013, we paid the insurance carrier an additional $7.2 million and $5.0 million, respectively, in claim funds for prior policy years, which increased deposits. As of September 30, 2014, we had restricted cash of $57.2 million and deposits of $93.7 million. | |||||||||
Our estimate of incurred claim costs expected to be paid within one year is recorded as accrued workers’ compensation costs and included in short-term liabilities, while our estimate of incurred claim costs expected to be paid beyond one year is included in long-term liabilities on our Consolidated Balance Sheets. |
Accounting_Policies_Policies
Accounting Policies (Policies) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Health Insurance Costs | ' | ||||||||
Health Insurance Costs | |||||||||
We provide group health insurance coverage to our worksite employees through a national network of carriers, including UnitedHealthcare (“United”), UnitedHealthcare of California, Kaiser Permanente, Blue Shield of California, HMSA BlueCross BlueShield, Unity Health Plan and Tufts, all of which provide fully insured policies or service contracts. | |||||||||
The policy with United provides the majority of our health insurance coverage. As a result of certain contractual terms, we have accounted for this plan since its inception using a partially self-funded insurance accounting model. Accordingly, we record the costs of the United plan, including an estimate of the incurred claims, taxes and administrative fees (collectively the “Plan Costs”) as benefits expense in our Consolidated Statements of Operations. The estimated incurred claims are based upon: (i) the level of claims processed during the quarter; (ii) estimated completion rates based upon recent claim development patterns under the plan; and (iii) the number of participants in the plan, including both active and COBRA enrollees. Each reporting period, changes in the estimated ultimate costs resulting from claim trends, plan design and migration, participant demographics and other factors are incorporated into the Plan Costs. | |||||||||
Additionally, since the plan’s inception, under the terms of the contract, United establishes cash funding rates 90 days in advance of the beginning of a reporting quarter. If the Plan Costs for a reporting quarter are greater than the premiums paid and owed to United, a deficit in the plan would be incurred and a liability for the excess costs would be accrued in our Consolidated Balance Sheets. On the other hand, if the Plan Costs for the reporting quarter are less than the premiums paid and owed to United, a surplus in the plan would be incurred and we would record an asset for the excess premiums in our Consolidated Balance Sheets. The terms of the arrangement require us to maintain an accumulated cash surplus in the plan of $9.0 million, which is reported as long-term prepaid insurance. In addition, United requires a deposit equal to approximately one day of claims funding activity, which was $3.5 million as of September 30, 2014, and is reported as a long-term asset. As of September 30, 2014, Plan Costs were less than the net premiums paid and owed to United by $31.8 million. As this amount is in excess of the agreed-upon $9.0 million surplus maintenance level, the $22.8 million balance is included in prepaid insurance, a current asset, in our Consolidated Balance Sheets. The premiums owed to United at September 30, 2014 were $22.7 million, which is included in accrued health insurance costs, a current liability in our Consolidated Balance Sheets. Our benefits costs incurred in the first nine months of 2014 included costs of $2.4 million for changes in estimated run-off related to 2013. | |||||||||
Workers' Compensation Costs | ' | ||||||||
Workers’ Compensation Costs | |||||||||
Our workers’ compensation coverage has been provided through an arrangement with the ACE Group of Companies (the “ACE Program”) since 2007. The ACE Program is fully insured in that ACE has the responsibility to pay all claims incurred regardless of whether we satisfy our responsibilities. We bear the economic burden for the first $1 million layer of claims per occurrence, as well as a maximum aggregate amount of $5 million per policy year for those claims that exceed $1 million, and the insurance carrier bears responsibility for the claims in excess of such amounts. | |||||||||
Because we bear the economic burden for claims up to the levels noted above, such claims, which are the primary component of our workers’ compensation costs, are recorded in the period incurred. Workers’ compensation insurance includes ongoing health care and indemnity coverage whereby claims are paid over numerous years following the date of injury. Accordingly, the accrual of related incurred costs in each reporting period includes estimates, which take into account the ongoing development of claims and therefore requires a significant level of judgment. | |||||||||
We employ a third party actuary to estimate our loss development rate, which is primarily based upon the nature of worksite employees’ job responsibilities, the location of worksite employees, the historical frequency and severity of workers’ compensation claims, and an estimate of future cost trends. Each reporting period, changes in the actuarial assumptions resulting from changes in actual claims experience and other trends are incorporated into our workers’ compensation claims cost estimates. During the nine months ended September 30, 2014 and 2013, we reduced our workers’ compensation costs by $3.0 million and $8.3 million, respectively, for changes in estimated losses related to prior reporting periods. Workers’ compensation cost estimates are discounted to present value at a rate based upon the U.S. Treasury rates that correspond with the weighted average estimated claim payout period (the average discount rate utilized in the 2014 and 2013 periods were 1.0% and 0.7%, respectively) and are accreted over the estimated claim payment period and included as a component of direct costs in our Consolidated Statements of Operations. | |||||||||
The following table presents the activity and balances related to incurred but not paid workers’ compensation claims: | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Beginning balance, January 1, | $ | 120,833 | $ | 111,685 | |||||
Accrued claims | 39,130 | 30,496 | |||||||
Present value discount | (1,418 | ) | (748 | ) | |||||
Paid claims | (28,314 | ) | (24,462 | ) | |||||
Ending balance | $ | 130,231 | $ | 116,971 | |||||
Current portion of accrued claims | $ | 57,222 | $ | 50,317 | |||||
Long-term portion of accrued claims | 73,009 | 66,654 | |||||||
$ | 130,231 | $ | 116,971 | ||||||
The current portion of accrued workers’ compensation costs on our Consolidated Balance Sheets at September 30, 2014 includes $2.2 million of workers’ compensation administrative fees. | |||||||||
As of September 30, 2014 and 2013, the undiscounted accrued workers’ compensation costs were $140.0 million and $127.5 million, respectively. | |||||||||
At the beginning of each policy period, the insurance carrier establishes monthly funding requirements comprised of premium costs and funds to be set aside for payment of future claims (“claim funds”). The level of claim funds is primarily based upon anticipated worksite employee payroll levels and expected workers’ compensation loss rates, as determined by the insurance carrier. Monies funded into the program for incurred claims expected to be paid within one year are recorded as restricted cash, a short-term asset, while the remainder of claim funds are included in deposits, a long-term asset in our Consolidated Balance Sheets. During the first nine months of 2014 and 2013, we paid the insurance carrier an additional $7.2 million and $5.0 million, respectively, in claim funds for prior policy years, which increased deposits. As of September 30, 2014, we had restricted cash of $57.2 million and deposits of $93.7 million. | |||||||||
Our estimate of incurred claim costs expected to be paid within one year is recorded as accrued workers’ compensation costs and included in short-term liabilities, while our estimate of incurred claim costs expected to be paid beyond one year is included in long-term liabilities on our Consolidated Balance Sheets. |
Accounting_Policies_Tables
Accounting Policies (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Activity and balances related to incurred but not paid workers' compensation claims | ' | ||||||||
The following table presents the activity and balances related to incurred but not paid workers’ compensation claims: | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Beginning balance, January 1, | $ | 120,833 | $ | 111,685 | |||||
Accrued claims | 39,130 | 30,496 | |||||||
Present value discount | (1,418 | ) | (748 | ) | |||||
Paid claims | (28,314 | ) | (24,462 | ) | |||||
Ending balance | $ | 130,231 | $ | 116,971 | |||||
Current portion of accrued claims | $ | 57,222 | $ | 50,317 | |||||
Long-term portion of accrued claims | 73,009 | 66,654 | |||||||
$ | 130,231 | $ | 116,971 | ||||||
Cash_Cash_Equivalents_and_Mark1
Cash, Cash Equivalents and Marketable Securities (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Cash, Cash Equivalents and Marketable Securities [Abstract] | ' | ||||||||||||||||
Summary of investments in cash, cash equivalents and marketable securities | ' | ||||||||||||||||
The following table summarizes our cash and investments in cash equivalents and marketable securities held by investment managers and overnight investments: | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
Overnight Holdings | |||||||||||||||||
Money market funds (cash equivalents) | $ | 123,800 | $ | 192,040 | |||||||||||||
Investment Holdings | |||||||||||||||||
Money market funds (cash equivalents) | 43,427 | 42,913 | |||||||||||||||
Marketable securities | 45,953 | 46,340 | |||||||||||||||
213,180 | 281,293 | ||||||||||||||||
Cash held in demand accounts | 20,778 | 23,054 | |||||||||||||||
Outstanding checks | (8,547 | ) | (32,252 | ) | |||||||||||||
Total cash, cash equivalents and marketable securities | $ | 225,411 | $ | 272,095 | |||||||||||||
Cash and cash equivalents | $ | 179,458 | $ | 225,755 | |||||||||||||
Marketable securities | 45,953 | 46,340 | |||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 225,411 | $ | 272,095 | |||||||||||||
Summary of fair value measurements of financial assets | ' | ||||||||||||||||
The following table summarizes the levels of fair value measurements of our financial assets: | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
(in thousands) | |||||||||||||||||
September 30, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2014 | |||||||||||||||||
Money market funds | $ | 167,227 | $ | 167,227 | $ | — | $ | — | |||||||||
Municipal bonds | 45,953 | — | 45,953 | — | |||||||||||||
Total | $ | 213,180 | $ | 167,227 | $ | 45,953 | $ | — | |||||||||
Fair Value Measurements | |||||||||||||||||
(in thousands) | |||||||||||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2013 | |||||||||||||||||
Money market funds | $ | 234,953 | $ | 234,953 | $ | — | $ | — | |||||||||
Municipal bonds | 46,340 | — | 46,340 | — | |||||||||||||
Total | $ | 281,293 | $ | 234,953 | $ | 46,340 | $ | — | |||||||||
Summary of available-for-sale securities | ' | ||||||||||||||||
The following is a summary of our available-for-sale marketable securities: | |||||||||||||||||
Amortized | Gross | Gross | Estimated | ||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
(in thousands) | |||||||||||||||||
30-Sep-14 | |||||||||||||||||
Municipal bonds | $ | 45,912 | $ | 45 | $ | (4 | ) | $ | 45,953 | ||||||||
31-Dec-13 | |||||||||||||||||
Municipal bonds | $ | 46,290 | $ | 51 | $ | (1 | ) | $ | 46,340 | ||||||||
Contractual maturities of marketable securities | ' | ||||||||||||||||
As of September 30, 2014, the contractual maturities of our marketable securities were as follows: | |||||||||||||||||
Amortized | Estimated | ||||||||||||||||
Cost | Fair Value | ||||||||||||||||
(in thousands) | |||||||||||||||||
Less than one year | $ | 14,503 | $ | 14,519 | |||||||||||||
One to five years | 31,409 | 31,434 | |||||||||||||||
Total | $ | 45,912 | $ | 45,953 | |||||||||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | ||||||||||||||||
Schedule of Intangible Assets and Goodwill [Table Text Block] | ' | ||||||||||||||||
The following table presents the gross carrying amount and accumulated amortization for each class of intangible assets and the gross carrying amount and accumulated impairment for goodwill: | |||||||||||||||||
31-Dec-13 | Nine Months Ended | 30-Sep-14 | |||||||||||||||
September 30, 2014 | |||||||||||||||||
Balance | Impairment | Amortization Expense | Balance | ||||||||||||||
(in thousands) | |||||||||||||||||
Gross carrying amount: | |||||||||||||||||
Trademarks | $ | 1,230 | $ | (1,010 | ) | $ | — | $ | 220 | ||||||||
Customer relationships | 7,784 | (1,392 | ) | — | 6,392 | ||||||||||||
Aggregate goodwill acquired: | |||||||||||||||||
Goodwill | 21,156 | — | — | 21,156 | |||||||||||||
Total | $ | 30,170 | $ | (2,402 | ) | $ | — | $ | 27,768 | ||||||||
Accumulated amortization: | |||||||||||||||||
Trademarks | $ | (680 | ) | $ | 695 | $ | (67 | ) | $ | (52 | ) | ||||||
Customer relationships | (4,340 | ) | 976 | (1,074 | ) | (4,438 | ) | ||||||||||
Accumulated impairment: | |||||||||||||||||
Goodwill | (6,716 | ) | (1,754 | ) | — | (8,470 | ) | ||||||||||
Total | $ | (11,736 | ) | $ | (83 | ) | $ | (1,141 | ) | $ | (12,960 | ) | |||||
Net carrying amount: | |||||||||||||||||
Trademarks | $ | 550 | $ | (315 | ) | $ | (67 | ) | $ | 168 | |||||||
Customer relationships | 3,444 | (416 | ) | (1,074 | ) | 1,954 | |||||||||||
Goodwill | 14,440 | (1,754 | ) | — | 12,686 | ||||||||||||
Total goodwill and other intangible assets | $ | 18,434 | $ | (2,485 | ) | $ | (1,141 | ) | $ | 14,808 | |||||||
Stockholders_Equity_Stockholde
Stockholders' Equity Stockholders' Equity (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Stockholders' Equity Attributable to Parent [Abstract] | ' | ||||||||
Quarterly dividends declared [Table Text Block] | ' | ||||||||
The Board declared quarterly dividends as follows: | |||||||||
2014 | 2013 | ||||||||
(amounts per share) | |||||||||
First quarter | $ | 0.17 | $ | 0.17 | |||||
Second quarter | 0.19 | 0.17 | |||||||
Third quarter | 0.19 | 0.17 | |||||||
Net_Income_per_Share_Tables
Net Income per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Summary of the net income allocated to common shares and the basic and diluted shares used in the net income per share computations | ' | ||||||||||||||||
The following table summarizes the net income allocated to common shares and the basic and diluted shares used in the net income per share computations: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in thousands) | |||||||||||||||||
Net income | $ | 8,385 | $ | 10,082 | $ | 19,840 | $ | 26,743 | |||||||||
Less distributed and undistributed earnings allocated to participating securities | (243 | ) | (289 | ) | (576 | ) | (769 | ) | |||||||||
Net income allocated to common shares | $ | 8,142 | $ | 9,793 | $ | 19,264 | $ | 25,974 | |||||||||
Weighted average common shares outstanding | 24,650 | 24,849 | 24,747 | 24,855 | |||||||||||||
Incremental shares from assumed conversions of common stock options | 2 | 18 | 5 | 24 | |||||||||||||
Adjusted weighted average common shares outstanding | 24,652 | 24,867 | 24,752 | 24,879 | |||||||||||||
Potentially dilutive securities not included in weighted average share calculation due to anti-dilutive effect | 16 | — | 5 | 10 | |||||||||||||
Accounting_Policies_Details
Accounting Policies (Details) (USD $) | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Oct. 01, 2010 | |
Health Insurance Costs [Abstract] | ' | ' | ' | ' |
Number of days in advance of the beginning of a reporting quarter United establishes cash funding rates | '90 days | ' | ' | ' |
Required accumulated cash surplus | $9,000,000 | ' | $9,000,000 | ' |
Required deposit equal to approximately one day of claims funding activity | 3,500,000 | ' | ' | ' |
Amount which plan costs were less than the net premiums paid and owed | 31,800,000 | ' | ' | ' |
Prepaid health insurance, current | 22,800,000 | ' | ' | ' |
Premiums owed to United | 22,700,000 | ' | ' | ' |
Changes in estimated run-off included in benefits costs | 2,400,000 | ' | ' | ' |
Workers' Compensation Costs [Abstract] | ' | ' | ' | ' |
Company's maximum economic burden for the first layer of claims per occurrence | ' | ' | ' | 1,000,000 |
Company's maximum aggregate economic burden for claims in excess of 1 million per policy year | ' | ' | ' | 5,000,000 |
Reduction in accrued workers' compensation costs for changes in estimated losses | 3,000,000 | 8,300,000 | ' | ' |
U.S. Treasury rates that correspond with the weighted average estimated claim payout period (in hundredths) | 1.00% | 0.70% | ' | ' |
Incurred but not paid workers compensation liabilities [Abstract] | ' | ' | ' | ' |
Beginning balance, January 1, | 120,833,000 | 111,685,000 | ' | ' |
Accrued claims | 39,130,000 | 30,496,000 | ' | ' |
Present value discount | -1,418,000 | -748,000 | ' | ' |
Paid claims | -28,314,000 | -24,462,000 | ' | ' |
Ending balance | 130,231,000 | 116,971,000 | ' | ' |
Current portion of accrued claims | 57,222,000 | 50,317,000 | ' | ' |
Long-term portion of accrued claims | 73,009,000 | 66,654,000 | 68,905,000 | ' |
Ending balance | 130,231,000 | 116,971,000 | ' | ' |
Workers compensation administrative fees accrued | 2,200,000 | ' | ' | ' |
Undiscounted accrued workers' compensation costs | 140,000,000 | 127,500,000 | ' | ' |
Time period incurred claims expected to be paid recorded as restricted cash | '1 year | ' | ' | ' |
Time period incurred claims expected to be paid, included in deposits, a long-term asset | 'Greater than 1 year | ' | ' | ' |
Additional claim funds paid related to ACE Program | 7,200,000 | 5,000,000 | ' | ' |
Return of excess claim funds related to ACE Program | 0 | ' | ' | ' |
Restricted cash - worker's compensation | 57,222,000 | ' | 51,928,000 | ' |
Deposits workers compensation | $93,686,000 | ' | $81,878,000 | ' |
Time period estimate of incurred claim costs to be paid included in short-term liabilities | '1 year | ' | ' | ' |
Time period incurred claims expected to be paid, included in long-term liabilities | 'Greater than 1 year | ' | ' | ' |
Cash_Cash_Equivalents_and_Mark2
Cash, Cash Equivalents and Marketable Securities (Details) (USD $) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | |
Overnight Holdings | ' | ' | ' | ' |
Money market funds (cash equivalents) | $123,800,000 | $192,040,000 | ' | ' |
Investment Holdings | ' | ' | ' | ' |
Money market funds (cash equivalents) | 43,427,000 | 42,913,000 | ' | ' |
Marketable securities | 45,953,000 | 46,340,000 | ' | ' |
Total cash equivalents and marketable securities | 213,180,000 | 281,293,000 | ' | ' |
Cash held in demand accounts | 20,778,000 | 23,054,000 | ' | ' |
Outstanding checks | -8,547,000 | -32,252,000 | ' | ' |
Total cash, cash equivalents and marketable securities | 225,411,000 | 272,095,000 | ' | ' |
Cash and cash equivalents | 179,458,000 | 225,755,000 | 161,842,000 | 264,544,000 |
Marketable securities | 45,953,000 | 46,340,000 | ' | ' |
Withholding associated with federal and state income taxes, employment taxes and other payroll deductions included in cash balance | 90,800,000 | 143,000,000 | ' | ' |
Client prepayments included in cash balance | 18,300,000 | 24,500,000 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Available-for-sale marketable securities [Abstract] | ' | ' | ' | ' |
Amortized Cost | 45,912,000 | 46,290,000 | ' | ' |
Gross Unrealized Gains | 45,000 | 51,000 | ' | ' |
Gross Unrealized Losses | -4,000 | -1,000 | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Contractual maturities amortized cost [Abstract] | ' | ' | ' | ' |
Less than one year | 14,503,000 | ' | ' | ' |
One to five years | 31,409,000 | ' | ' | ' |
Amortized Cost | 45,912,000 | ' | ' | ' |
Contractual maturities estimated fair value [Abstract] | ' | ' | ' | ' |
Less than one year | 14,519,000 | ' | ' | ' |
One to five years | 31,434,000 | ' | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Level 1 [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Money market funds | 167,227,000 | 234,953,000 | ' | ' |
Municipal bonds | 0 | 0 | ' | ' |
Total | 167,227,000 | 234,953,000 | ' | ' |
Available-for-sale marketable securities [Abstract] | ' | ' | ' | ' |
Municipal bonds | 0 | 0 | ' | ' |
Contractual maturities estimated fair value [Abstract] | ' | ' | ' | ' |
Municipal bonds | 0 | 0 | ' | ' |
Level 2 [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Money market funds | 0 | 0 | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Total | 45,953,000 | 46,340,000 | ' | ' |
Available-for-sale marketable securities [Abstract] | ' | ' | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Contractual maturities estimated fair value [Abstract] | ' | ' | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Level 3 [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Money market funds | 0 | 0 | ' | ' |
Municipal bonds | 0 | 0 | ' | ' |
Total | 0 | 0 | ' | ' |
Available-for-sale marketable securities [Abstract] | ' | ' | ' | ' |
Municipal bonds | 0 | 0 | ' | ' |
Contractual maturities estimated fair value [Abstract] | ' | ' | ' | ' |
Municipal bonds | 0 | 0 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Money market funds | 167,227,000 | 234,953,000 | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Total | 213,180,000 | 281,293,000 | ' | ' |
Available-for-sale marketable securities [Abstract] | ' | ' | ' | ' |
Municipal bonds | 45,953,000 | 46,340,000 | ' | ' |
Contractual maturities estimated fair value [Abstract] | ' | ' | ' | ' |
Municipal bonds | $45,953,000 | $46,340,000 | ' | ' |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets Goodwill and Other Intangible Assets (Details) (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Dec. 31, 2013 | |
Goodwill and Other Intangible Assets [Abstract] | ' | ' |
Portion of total impairment related to other intangibles | $700,000 | ' |
Portion of total impairment related to goodwill | 1,800,000 | ' |
Gross carrying amount | ' | ' |
Goodwill and Other Intangibles Impairment, gross | -2,402,000 | ' |
Total gross carrying amount and aggregate goodwill acquired [Abstract] | ' | ' |
Beg Bal Total gross carrying amount and aggregate goodwill acquired | 30,170,000 | ' |
Goodwill and Other Intangibles Impairment, gross | -2,402,000 | ' |
End Bal Total gross carrying amount and aggregate goodwill acquired | 27,768,000 | ' |
Accumulated amortization [Abstract] | ' | ' |
Adj to accumulated amortization and accumulated impairment for goodwill and other intangibles | -83,000 | ' |
Amortization Expense | -1,141,000 | ' |
Total accumulated amortization and accumulated impairment [Abstract] | ' | ' |
Beg Bal Total accumulated amortization and accumulated impairment | -11,736,000 | ' |
Adj to accumulated amortization and accumulated impairment for goodwill and other intangibles | -83,000 | ' |
Amortization Expense | -1,141,000 | ' |
End Bal Total accumulated amortization and accumulated impairment | -12,960,000 | ' |
Net carrying amount [Abstract] | ' | ' |
Beg Bal Goodwill and other intangible assets, net | 18,434,000 | ' |
Goodwill and Other Intangibles Impairment | -2,485,000 | ' |
Amortization Expense | -1,141,000 | ' |
End Bal Goodwill and other intangible assets, net | 14,808,000 | ' |
Trademarks [Member] | ' | ' |
Gross carrying amount | ' | ' |
Beg Bal Finite-Lived Intangible Assets, Gross | 1,230,000 | ' |
Goodwill and Other Intangibles Impairment, gross | -1,010,000 | ' |
Ending Bal Finite-Lived Intangible Assets, Gross | 220,000 | ' |
Total gross carrying amount and aggregate goodwill acquired [Abstract] | ' | ' |
Goodwill and Other Intangibles Impairment, gross | -1,010,000 | ' |
Accumulated amortization [Abstract] | ' | ' |
Beg Bal Finite-Lived Intangible Assets, Accumulated Amortization | -680,000 | ' |
Adj to accumulated amortization and accumulated impairment for goodwill and other intangibles | 695,000 | ' |
Amortization Expense | -67,000 | ' |
End Bal Finite-Lived Intangible Assets, Accumulated Amortization | -52,000 | ' |
Total accumulated amortization and accumulated impairment [Abstract] | ' | ' |
Adj to accumulated amortization and accumulated impairment for goodwill and other intangibles | 695,000 | ' |
Amortization Expense | -67,000 | ' |
Net carrying amount [Abstract] | ' | ' |
Beg Bal Intangibles, net (excluding goodwill) | 550,000 | ' |
Impairment of Intangible Assets (Excluding Goodwill) | -315,000 | ' |
Amortization Expense | -67,000 | ' |
End Bal Intangibles, net (excluding goodwill) | 168,000 | ' |
Customer Relationships [Member] | ' | ' |
Gross carrying amount | ' | ' |
Beg Bal Finite-Lived Intangible Assets, Gross | 7,784,000 | ' |
Goodwill and Other Intangibles Impairment, gross | -1,392,000 | ' |
Ending Bal Finite-Lived Intangible Assets, Gross | 6,392,000 | ' |
Total gross carrying amount and aggregate goodwill acquired [Abstract] | ' | ' |
Goodwill and Other Intangibles Impairment, gross | -1,392,000 | ' |
Accumulated amortization [Abstract] | ' | ' |
Beg Bal Finite-Lived Intangible Assets, Accumulated Amortization | -4,340,000 | ' |
Adj to accumulated amortization and accumulated impairment for goodwill and other intangibles | 976,000 | ' |
Amortization Expense | -1,074,000 | ' |
End Bal Finite-Lived Intangible Assets, Accumulated Amortization | -4,438,000 | ' |
Total accumulated amortization and accumulated impairment [Abstract] | ' | ' |
Adj to accumulated amortization and accumulated impairment for goodwill and other intangibles | 976,000 | ' |
Amortization Expense | -1,074,000 | ' |
Net carrying amount [Abstract] | ' | ' |
Beg Bal Intangibles, net (excluding goodwill) | 3,444,000 | ' |
Impairment of Intangible Assets (Excluding Goodwill) | -416,000 | ' |
Amortization Expense | -1,074,000 | ' |
End Bal Intangibles, net (excluding goodwill) | 1,954,000 | ' |
Goodwill [Member] | ' | ' |
Aggregate goodwill acquired | ' | ' |
Beg Bal Goodwill, Gross | 21,156,000 | ' |
End Bal Goodwill, Gross | 21,156,000 | ' |
Goodwill, Impaired, Accumulated Impairment Loss [Abstract] | ' | ' |
Goodwill, Impaired, Accumulated Impairment Loss | -8,470,000 | -6,716,000 |
Goodwill, Impairment Loss | -1,754,000 | ' |
Net carrying amount [Abstract] | ' | ' |
Beg Bal Goodwill, net balance | 14,440,000 | ' |
Goodwill, Impairment Loss | -1,754,000 | ' |
Emd Bal Goodwill, net balance | $12,686,000 | ' |
Other_Assets_Details
Other Assets (Details) (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2011 | |
Other Assets [Abstract] | ' | ' |
Cost method investments, other than temporary impairments | $2,679,000 | ' |
Cost method investments | ' | $2,800,000 |
Revolving_Credit_Facility_Deta
Revolving Credit Facility (Details) (USD $) | Sep. 30, 2014 |
In Millions, unless otherwise specified | |
Debt Disclosure [Abstract] | ' |
Current borrowing capacity | $100 |
Maximum borrowing capacity | 150 |
Letters of Credit Outstanding, Amount | $0.60 |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Stockholders' Equity Note [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' |
Shares repurchased under the program (in shares) | ' | ' | ' | ' | ' | ' | 580,804 | ' |
Shares withheld for tax withholding obligations for the vesting of restricted stock awards (in shares) | ' | ' | ' | ' | ' | ' | 112,458 | ' |
Authorized to repurchased additional shares under repurchase program (in shares) | 768,765 | ' | ' | ' | ' | ' | 768,765 | ' |
Dividends declared per share of common stock (in dollars per share) | $0.19 | $0.19 | $0.17 | $0.17 | $0.17 | $0.17 | ' | ' |
Payments of Dividends | ' | ' | ' | ' | ' | ' | $14,015 | $13,039 |
Net_Income_per_Share_Details
Net Income per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Net income | $8,385 | $10,082 | $19,840 | $26,743 |
Less distributed and undistributed earnings allocated to participating securities | -243 | -289 | -576 | -769 |
Net income allocated to common shares | $8,142 | $9,793 | $19,264 | $25,974 |
Weighted average common shares outstanding (in shares) | 24,650 | 24,849 | 24,747 | 24,855 |
Incremental shares from assumed conversions of common stock options (in shares) | 2 | 18 | 5 | 24 |
Adjusted weighted average common shares outstanding (in shares) | 24,652 | 24,867 | 24,752 | 24,879 |
Potentially dilutive securities not included in weighted average share calculation due to anti-dilutive effect (in shares) | 16 | 0 | 5 | 10 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ' |
Number of states potentially subject to additional FUTA (BCR Add-On) tax | 11 |
FUTA tax associated with BCR Add-On | $4.30 |