Internap (INAPQ) 10-Q 28 Apr 15 2015 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2015
Document and Entity Information Abstract
Entity Registrant Name	Internap Corp
Entity Central Index Key	1056386
Trading Symbol	inap
Current Fiscal Year End Date	-19
Entity Filer Category	Accelerated Filer
Entity Common Stock Shares Outstanding	54,969,387
Document Type	10-Q
Document Period End Date	31-Mar-15
Amendment Flag	FALSE
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q1

UNAUDITED_CONDENSED_CONSOLIDAT

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2015	Mar. 31, 2014
Direct costs of network, sales and services, exclusive of depreciation and amortization, shown below:
Direct costs of customer support	$9,118	$8,927
Direct costs of amortization of acquired and developed technologies	1,150	1,461
Sales and marketing	10,283	10,103
General and administrative	11,685	11,398
Depreciation and amortization	19,058	17,465
Exit activities, restructuring and impairments	265	1,384
Total operating costs and expenses	84,905	86,498
Loss from operations	-4,119	-4,537
Non-operating expenses:
Interest expense	6,865	6,491
Other, net	-530	101
Total non-operating expenses	6,335	6,592
Loss before income taxes and equity in (earnings) of equity-method investment	-10,454	-11,129
Provision (benefit) for income taxes	27	-417
Equity in (earnings) of equity-method investment, net of taxes	-39	-37
Net loss	-10,442	-10,675
Other comprehensive (loss) income:
Foreign currency translation adjustment	-142	63
Unrealized loss on foreign currency contracts	-355
Unrealized (loss) gain on interest rate swap	-216	49
Total other comprehensive (loss) income	-713	112
Comprehensive loss	-11,155	-10,563
Basic and diluted net loss per share (in dollars per share)	($0.20)	($0.21)
Weighted average shares outstanding used in computing basic and diluted net loss per share (in shares):	51,336	51,027
Operating segments
Revenues:
Total revenues	80,786	81,961
Direct costs of network, sales and services, exclusive of depreciation and amortization, shown below:
Direct costs of network, sales and services, exclusive of depreciation and amortization	33,346	35,760
Operating segments | Data center services
Revenues:
Total revenues	59,098	58,283
Direct costs of network, sales and services, exclusive of depreciation and amortization, shown below:
Direct costs of network, sales and services, exclusive of depreciation and amortization	24,264	25,891
Operating segments | IP services
Revenues:
Total revenues	21,688	23,678
Direct costs of network, sales and services, exclusive of depreciation and amortization, shown below:
Direct costs of network, sales and services, exclusive of depreciation and amortization	$9,082	$9,869

UNAUDITED_CONDENSED_CONSOLIDAT1

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Mar. 31, 2015	Dec. 31, 2014
In Thousands, unless otherwise specified
Current assets:
Cash and cash equivalents	$16,219	$20,084
Accounts receivable, net of allowance for doubtful accounts of $2,153 and $2,121, respectively	20,833	19,606
Deferred tax asset	508	633
Prepaid expenses and other assets	13,218	12,276
Total current assets	50,778	52,599
Property and equipment, net	338,711	342,145
Investment in joint venture	2,648	2,622
Intangible assets, net	50,991	52,545
Goodwill	130,313	130,313
Deposits and other assets	10,405	9,923
Deferred tax asset	1,477	1,637
Total assets	585,323	591,784
Current liabilities:
Accounts payable	21,154	30,589
Accrued liabilities	12,165	13,120
Deferred revenues	6,696	7,345
Capital lease obligations	7,641	7,366
Term loan, less discount of $1,482 and $1,463, respectively	1,518	1,537
Exit activities and restructuring liability	1,795	1,809
Other current liabilities	2,245	1,590
Total current liabilities	53,214	63,356
Deferred revenues	3,818	3,544
Capital lease obligations	51,047	52,686
Revolving credit facility	23,000	10,000
Term loan, less discount of $6,170 and $6,543, respectively	287,080	287,457
Exit activities and restructuring liability	2,423	2,701
Deferred rent	10,182	10,583
Deferred tax liability	6,953	7,293
Other long-term liabilities	4,810	3,828
Total liabilities	442,527	441,448
Commitments and contingencies (note 5)
Stockholders' equity:
Preferred stock, $0.001 par value; 20,000 shares authorized; no shares issued or outstanding
Common stock, $0.001 par value; 120,000 shares authorized; 54,969 and 54,410 shares outstanding, respectively	55	54
Additional paid-in capital	1,266,634	1,262,402
Treasury stock, at cost; 687 and 621 shares, respectively	-5,301	-4,683
Accumulated deficit	-1,115,956	-1,105,514
Accumulated items of other comprehensive loss	-2,636	-1,923
Total stockholders' equity	142,796	150,336
Total liabilities and stockholders' equity	$585,323	$591,784

UNAUDITED_CONDENSED_CONSOLIDAT2

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parentheticals) (USD $)	Mar. 31, 2015	Dec. 31, 2014
In Thousands, except Per Share data, unless otherwise specified
Allowance for doubtful accounts receivable (in dollars)	$2,153	$2,121
Preferred stock, par value (in dollars per share)	$0.00	$0.00
Preferred stock, shares authorized	20,000	20,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	120,000	120,000
Common stock, shares outstanding	54,969	54,410
Treasury stock, shares	687	621
Term loan current
Term loan, discount (in dollars)	1,482	1,463
Term loan noncurrent
Term loan, discount (in dollars)	$6,170	$6,543

UNAUDITED_CONDENSED_CONSOLIDAT3

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2015	Mar. 31, 2014
Cash Flows from Operating Activities:
Net loss	($10,442)	($10,675)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	20,208	18,926
Amortization of debt discount and issuance costs	490	472
Stock-based compensation expense, net of capitalized amount	1,579	1,941
Equity in (earnings) of equity-method investment	-39	-37
Provision for doubtful accounts	400	43
Non-cash change in capital lease obligations	-760	28
Non-cash change in exit activities and restructuring liability	371	1,608
Non-cash change in deferred rent	-401	-736
Deferred taxes	54	-658
Other, net	-242	74
Changes in operating assets and liabilities:
Accounts receivable	-1,724	936
Prepaid expenses, deposits and other assets	-1,544	-680
Accounts payable	-7,652	1,890
Accrued and other liabilities	-903	439
Deferred revenues	-256	394
Exit activities and restructuring liability	-663	-764
Other liabilities	17	4
Net cash flows (used in) provided by operating activities	-1,507	13,205
Cash Flows from Investing Activities:
Purchases of property and equipment	-14,990	-24,756
Additions to acquired and developed technology	-712	-737
Acquisition, net of cash received		74
Net cash flows used in investing activities	-15,702	-25,419
Cash Flows from Financing Activities:
Proceeds from credit agreements	13,000
Principal payments on credit agreements	-750	-750
Return of deposit collateral on credit agreement		4,378
Payments on capital lease obligations	-1,770	-1,360
Proceeds from exercise of stock options	2,583	860
Acquisition of common stock for income tax withholdings	-618	-600
Other, net	979	-44
Net cash flows provided by financing activities	13,424	2,484
Effect of exchange rates on cash and cash equivalents	-80	-86
Net decrease in cash and cash equivalents	-3,865	-9,816
Cash and cash equivalents at beginning of period	20,084	35,018
Cash and cash equivalents at end of period	16,219	25,202
Supplemental disclosure of cash flow information:
Cash paid for interest	6,450	5,831
Non-cash acquisition of property and equipment under capital leases	1,166	5,955
Additions to property and equipment included in accounts payable	$6,530	$5,013

NATURE_OF_OPERATIONS_AND_BASIS

NATURE OF OPERATIONS AND BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2015
Organization, Consolidation and Presentation Of Financial Statements [Abstract]
NATURE OF OPERATIONS AND BASIS OF PRESENTATION	1.          NATURE OF OPERATIONS AND BASIS OF PRESENTATION
	Internap Corporation (“we,” “us” or “our”) provides high-performance information technology (“IT”) infrastructure services at 52 data centers across North America, Europe and the Asia-Pacific region and through 88 Internet Protocol (“IP”) service points.
	We have prepared the accompanying unaudited condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. These financial statements include all of our accounts and those of our wholly-owned subsidiaries. We have eliminated all intercompany transactions and balances in the accompanying financial statements.
	We have condensed or omitted certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP. In the opinion of management, the accompanying financial statements reflect all adjustments, which consist of normal recurring adjustments unless otherwise disclosed, necessary for a fair statement of our financial position as of March 31, 2015 and our operating results and cash flows for the interim period presented. The balance sheet at December 31, 2014 was derived from our audited financial statements, but does not include all disclosures required by GAAP. You should read the accompanying financial statements and the related notes in conjunction with our financial statements and notes thereto contained in our Annual Report on Form 10-K for the year ended December 31, 2014 filed with the Securities and Exchange Commission.
	The preparation of financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. Actual results may differ materially from these estimates. The results of operations for the three months ended March 31, 2015 are not necessarily indicative of the results that may be expected for any future periods.

FAIR_VALUE_MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Mar. 31, 2015
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	2.          FAIR VALUE MEASUREMENTS
	We account for certain assets and liabilities at fair value. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. We categorize each of our fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are:
		●	Level 1: Quoted prices in active markets for identical assets or liabilities;
		●	Level 2: Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
		●	Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	Assets and liabilities measured at fair value on a recurring basis are summarized as follows (in thousands):
			Level 1			Level 2			Level 3			Total
	March 31, 2015:
	Foreign currency contracts		$	—		$	487		$	—		$	487
	Interest rate swap (note 4)			—			1,029			—			1,029
	Asset retirement obligations(1)			—			—			2,536			2,536
	December 31, 2014:
	Interest rate swap (note 4)			—			813			—			813
	Asset retirement obligations(1)			—			—			2,471			2,471
	-1	We calculate the fair value of asset retirement obligations by discounting the estimated amount using the current Treasury bill rate adjusted for our credit non-performance. We include asset retirement obligations of $2.5 million in “Other long-term liabilities” in the accompanying consolidated balance sheets for March 31, 2015 and December 31, 2014.
	The following table provides a summary of changes in our Level 3 asset retirement obligations for the three months ended March 31, 2015 (in thousands):
	Balance, January 1, 2015		$	2,471
	Accretion			65
	Balance, March 31, 2015		$	2,536
	The fair values of our other Level 3 debt liabilities, estimated using a discount cash flow analysis based on incremental borrowing rates for similar types of borrowing arrangements, are as follows (in thousands):
		31-Mar-15						31-Dec-14
		Carrying			Fair			Carrying			Fair
		Amount			Value			Amount			Value
	Revolving credit facility		$	23,000		$	22,700		$	10,000		$	9,900
	Term loan			296,250			312,000			297,000			313,000

TRADE_NAME

TRADE NAME	3 Months Ended
	Mar. 31, 2015
Trade Name [Abstract]
TRADE NAME	3.          TRADE NAME
	As part of the acquisition of iWeb Technologies Inc., formerly known as iWeb Group Inc., (“iWeb”) in November 2013, we ascribed a value of $15.1 million to the iWeb trade name. Since the acquisition, we have operated under two brands, Internap and iWeb. In late March 2015, we determined to phase-out the use of the iWeb trade name to support our long-term strategy. Maintaining two brands adds costs and complexity and is no longer necessary as we have merged our product development, customer support and other key functions.
	We expect to complete the phase-out of the iWeb trade name by December 31, 2015. As a result, we changed the estimate of its useful life to approximately nine months beginning March 2015. The additional amortization expense in March 2015 was $0.5 million. As of March 31, 2015, the unamortized balance was $14.0 million. We will continue to evaluate the remaining nine-month useful life during the phase-out period.

INTEREST_RATE_SWAP

INTEREST RATE SWAP	3 Months Ended
	Mar. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
INTEREST RATE SWAP	4.          INTEREST RATE SWAP
	As of March 31, 2015, the fair value of our interest rate swap was $1.0 million, of which $0.8 million is included in “Other current liabilities” and $0.2 million is included in “Other long-term liabilities” in the accompanying consolidated balance sheets. As of December 31, 2014, the fair value of our interest rate swap was $0.8 million which we included in “Other long-term liabilities.” During the three months ended March 31, 2015 and 2014, we recorded the effective portion of the change in fair value of our interest rate swap in “Accumulated items of other comprehensive loss” in the accompanying consolidated balance sheets. We did not recognize any hedge ineffectiveness during the three months ended March 31, 2015 and 2014.
	We will reclassify amounts reported in “Accumulated items of other comprehensive loss” related to our interest rate swaps to “Interest expense” in our accompanying consolidated statements of operations and comprehensive loss as we accrue interest payments on our variable-rate debt. Through March 31, 2016, we estimated that we will reclassify an additional $0.8 million as an increase to interest expense since the hedge interest rate currently exceeds the variable interest rate on our debt.
	The activity of our interest rate swap is summarized as follows (in thousands):
		Three Months Ended
		March 31,
		2015			2014
	(Loss) gain recorded as the effective portion of the change in fair value	$	(216	)	$	49
	Interest payments reclassified as an increase to interest expense		198			200

COMMITMENTS_CONTINGENCIES_AND_

COMMITMENTS, CONTINGENCIES AND LITIGATION	3 Months Ended
	Mar. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS, CONTINGENCIES AND LITIGATION	5.          COMMITMENTS, CONTINGENCIES AND LITIGATION
	We are subject to legal proceedings, claims and litigation arising in the ordinary course of business. Although the outcome of these matters is currently not determinable, we do not expect that the ultimate costs to resolve these matters will have a material adverse impact on our financial condition, results of operations or cash flows.

EXIT_ACTIVITIES_AND_RESTRUCTUR

EXIT ACTIVITIES AND RESTRUCTURING LIABILITIES	3 Months Ended
	Mar. 31, 2015
Restructuring and Related Activities [Abstract]
EXIT ACTIVITIES AND RESTRUCTURING LIABILITIES	6.          EXIT ACTIVITIES AND RESTRUCTURING LIABILITIES
	In prior years, we incurred costs related to certain exited facilities. In addition, during the three months ended March 31, 2015, we recorded subsequent plan adjustments in sublease income assumptions for certain properties included in our previously-disclosed plans. We include the subsequent plan adjustments in “Exit activities, restructuring and impairments” in the accompanying statements of operations and comprehensive loss for the three months ended March 31, 2015 and 2014.
	The following table displays the transactions and balances for exit activities and restructuring charges, substantially related to our data center services segment, during the three months ended March 31, 2015 and 2014 (in thousands):
		December 31,		Initial		Plan		Cash			March 31,
		2014		Charges		Adjustments		Payments			2015
	Real estate obligations:
	2014 exit activities	$	2,010	$	—	$	206	$	(121	)	$	2,095
	2007 restructuring		2,325		—		160		(454	)		2,031
	Other		175		—		5		(88	)		92
	Total	$	4,510	$	—	$	371	$	(663	)	$	4,218
		December 31,		Initial		Plan		Cash			March 31,
		2013		Charges		Adjustments		Payments			2014
	Real estate obligations:
	2014 exit activities	$	—	$	1,454	$	—	$	(51	)	$	1,403
	2007 restructuring		3,296		—		138		(513	)		2,921
	Other		867		—		16		(200	)		683
	Total	$	4,163	$	1,454	$	154	$	(764	)	$	5,007

OPERATING_SEGMENTS

OPERATING SEGMENTS	3 Months Ended
	Mar. 31, 2015
Segment Reporting [Abstract]
OPERATING SEGMENTS	7.          OPERATING SEGMENTS
	We operate in two business segments: data center services and IP services. The data center services segment includes colocation, hosting and cloud services. Colocation involves providing physical space within data centers and associated services such as power, interconnection, environmental controls and security while allowing our customers to deploy and manage their servers, storage and other equipment. Hosting and cloud services involve the provision and maintenance of hardware, operating system software, management and monitoring software, data center infrastructure and interconnection, while allowing our customers to own and manage their software applications and content. Our IP services segment includes our patented Performance IP™ service, content delivery network services and IP routing and hardware and software platform.
	Segment profit is calculated as segment revenues less direct costs of sales and services, exclusive of depreciation and amortization for the segment and does not include direct costs of customer support, direct costs of amortization of acquired technologies or any other depreciation or amortization associated with direct costs.
		Three Months Ended
		March 31,
		2015			2014
	Revenues:
	Data center services	$	59,098		$	58,283
	IP services		21,688			23,678
	Total revenues		80,786			81,961
	Direct costs of sales and services, exclusive of depreciation and amortization:
	Data center services		24,264			25,891
	IP services		9,082			9,869
	Total direct costs of sales and services, exclusive of depreciation and amortization		33,346			35,760
	Segment profit:
	Data center services		34,834			32,392
	IP services		12,606			13,809
	Total segment profit		47,440			46,201
	Exit activities, restructuring and impairments		265			1,384
	Other operating expenses, including direct costs of customer support, depreciation and amortization		51,294			49,354
	Loss from operations		(4,119	)		(4,537	)
	Non-operating expenses		6,335			6,592
	Loss before income taxes and equity in (earnings) of equity-method investment	$	(10,454	)	$	(11,129	)

NET_LOSS_PER_SHARE

NET LOSS PER SHARE	3 Months Ended
	Mar. 31, 2015
Earnings Per Share [Abstract]
NET LOSS PER SHARE	8.           NET LOSS PER SHARE
	We compute basic net loss per share by dividing net loss attributable to our common stockholders by the weighted average number of shares of common stock outstanding during the period. We exclude all outstanding options and unvested restricted stock as such securities are anti-dilutive for all periods presented.
	Basic and diluted net loss per share is calculated as follows (in thousands, except per share amounts):
		Three Months Ended
		March 31,
		2015			2014
	Net loss attributable to common stock	$	(10,442	)	$	(10,675	)
	Weighted average shares outstanding, basic and diluted		51,336			51,027
	Net loss per share, basic and diluted	$	(0.20	)	$	(0.21	)
	Anti-dilutive securities excluded from diluted net loss per share calculation for stock-based compensation plans		7,296			7,615

RECENT_ACCOUNTING_PRONOUNCEMEN

RECENT ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Mar. 31, 2015
New Accounting Pronouncements and Changes In Accounting Principles [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	9.           RECENT ACCOUNTING PRONOUNCEMENTS
	In February 2015, the Financial Accounting Standards Board (“FASB”) issued guidance to improve targeted areas of the existing consolidation guidance and reduce the number of consolidation models. This update is effective for annual and interim periods beginning after December 15, 2015, with early adoption permitted. We expect adoption will not have a material impact on our financial condition or result of operations.
	In November 2014, FASB issued new guidance which provides companies with the option to apply pushdown accounting in its separate financial statements upon occurrence of an event in which an acquirer obtains control of the acquired entity. The election to apply pushdown accounting can be made either in the period in which the change of control occurred or in a subsequent period.  The guidance was effective November 18, 2014.  Adoption had no effect on our financial condition or results of operations.
	In August 2014, FASB issued new guidance which requires management to evaluate, in connection with preparing financial statements for each annual and interim reporting period, whether there are conditions or events, considered in the aggregate, that raise substantial doubt about an entity’s ability to continue as a going concern within one year after the date the financial statements are issued (or within one year after the date that the financial statements are available to be issued when applicable) and provide related disclosures. The guidance is effective for the annual and interim periods ending after December 15, 2016. Early adoption is permitted. We expect adoption will not have a material impact on our financial condition or result of operations.
	In May 2014, FASB issued new guidance which provides a single model for revenue arising from contracts with customers and supersedes current revenue recognition guidance. The guidance is effective the first quarter of 2017 and early adoption is not permitted. The guidance permits the application of its requirements retrospectively to all prior periods presented or in the year of adoption through a cumulative adjustment. We are currently evaluating the impact that the adoption will have on our consolidated financial statements and related disclosures. As we have not completed our evaluation, we cannot make a determination of the impact and have not yet selected a transition method or determined the effect of the standard on our ongoing financial reporting.

FAIR_VALUE_MEASUREMENTS_Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Mar. 31, 2015
Fair Value Disclosures [Abstract]
Schedule of assets and liabilities measured at fair value on a recurring basis			Level 1			Level 2			Level 3			Total
	March 31, 2015:
	Foreign currency contracts		$	—		$	487		$	—		$	487
	Interest rate swap (note 4)			—			1,029			—			1,029
	Asset retirement obligations(1)			—			—			2,536			2,536
	December 31, 2014:
	Interest rate swap (note 4)			—			813			—			813
	Asset retirement obligations(1)			—			—			2,471			2,471
	-1	We calculate the fair value of asset retirement obligations by discounting the estimated amount using the current Treasury bill rate adjusted for our credit non-performance. We include asset retirement obligations of $2.5 million in “Other long-term liabilities” in the accompanying consolidated balance sheets for March 31, 2015 and December 31, 2014.
Schedule of changes in asset retirement obligations	Balance, January 1, 2015		$	2,471
	Accretion			65
	Balance, March 31, 2015		$	2,536
Schedule of fair value of term loan and revolving credit facility		31-Mar-15						31-Dec-14
		Carrying			Fair			Carrying			Fair
		Amount			Value			Amount			Value
	Revolving credit facility		$	23,000		$	22,700		$	10,000		$	9,900
	Term loan			296,250			312,000			297,000			313,000

INTEREST_RATE_SWAP_Tables

INTEREST RATE SWAP (Tables)	3 Months Ended
	Mar. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of activity of interest rate swaps
		Three Months Ended
		March 31,
		2015			2014
	(Loss) gain recorded as the effective portion of the change in fair value	$	(216	)	$	49
	Interest payments reclassified as an increase to interest expense		198			200

EXIT_ACTIVITIES_AND_RESTRUCTUR1

EXIT ACTIVITIES AND RESTRUCTURING LIABILITIES (Tables)	3 Months Ended
	Mar. 31, 2015
Restructuring and Related Activities [Abstract]
Schedule of transactions and balances for exit activities and restructuring charges		December 31,		Initial		Plan		Cash			March 31,
		2014		Charges		Adjustments		Payments			2015
	Real estate obligations:
	2014 exit activities	$	2,010	$	—	$	206	$	(121	)	$	2,095
	2007 restructuring		2,325		—		160		(454	)		2,031
	Other		175		—		5		(88	)		92
	Total	$	4,510	$	—	$	371	$	(663	)	$	4,218
		December 31,		Initial		Plan		Cash			March 31,
		2013		Charges		Adjustments		Payments			2014
	Real estate obligations:
	2014 exit activities	$	—	$	1,454	$	—	$	(51	)	$	1,403
	2007 restructuring		3,296		—		138		(513	)		2,921
	Other		867		—		16		(200	)		683
	Total	$	4,163	$	1,454	$	154	$	(764	)	$	5,007

OPERATING_SEGMENTS_Tables

OPERATING SEGMENTS (Tables)	3 Months Ended
	Mar. 31, 2015
Segment Reporting [Abstract]
Schedule of operating results for business segments, along with reconciliations from segment profit to loss before income taxes and equity in (earnings) of equity-method investment		Three Months Ended
		March 31,
		2015			2014
	Revenues:
	Data center services	$	59,098		$	58,283
	IP services		21,688			23,678
	Total revenues		80,786			81,961
	Direct costs of sales and services, exclusive of depreciation and amortization:
	Data center services		24,264			25,891
	IP services		9,082			9,869
	Total direct costs of sales and services, exclusive of depreciation and amortization		33,346			35,760
	Segment profit:
	Data center services		34,834			32,392
	IP services		12,606			13,809
	Total segment profit		47,440			46,201
	Exit activities, restructuring and impairments		265			1,384
	Other operating expenses, including direct costs of customer support, depreciation and amortization		51,294			49,354
	Loss from operations		(4,119	)		(4,537	)
	Non-operating expenses		6,335			6,592
	Loss before income taxes and equity in (earnings) of equity-method investment	$	(10,454	)	$	(11,129	)

NET_LOSS_PER_SHARE_Tables

NET LOSS PER SHARE (Tables)	3 Months Ended
	Mar. 31, 2015
Earnings Per Share [Abstract]
Schedule of basic and diluted net loss per share		Three Months Ended
		March 31,
		2015			2014
	Net loss attributable to common stock	$	(10,442	)	$	(10,675	)
	Weighted average shares outstanding, basic and diluted		51,336			51,027
	Net loss per share, basic and diluted	$	(0.20	)	$	(0.21	)
	Anti-dilutive securities excluded from diluted net loss per share calculation for stock-based compensation plans		7,296			7,615

NATURE_OF_OPERATIONS_AND_BASIS1

NATURE OF OPERATIONS AND BASIS OF PRESENTATION (Detail Textuals)	3 Months Ended
	Mar. 31, 2015
	Point
	Data_Center
Organization, Consolidation and Presentation Of Financial Statements [Abstract]
Number of data centers	52
Number of internet protocol service points	88

FAIR_VALUE_MEASUREMENTS_Summar

FAIR VALUE MEASUREMENTS - Summary of Assets and liabilities measured at fair value on recurring basis (Details) (Recurring basis, USD $)	Mar. 31, 2015		Dec. 31, 2014
In Thousands, unless otherwise specified
Level 1 | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, fair value
Level 1 | Interest rate swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Level 1 | Asset retirement obligations
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value		[1]		[1]
Level 2 | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, fair value	487
Level 2 | Interest rate swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	1,029		813
Level 2 | Asset retirement obligations
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value		[1]		[1]
Level 3 | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, fair value
Level 3 | Interest rate swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Level 3 | Asset retirement obligations
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	2,536	[1]	2,471	[1]
Total | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, fair value	487
Total | Interest rate swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	1,029		813
Total | Asset retirement obligations
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	$2,536	[1]	$2,471	[1]
[1]	We calculate the fair value of asset retirement obligations by discounting the estimated amount using the current Treasury bill rate adjusted for our credit non-performance. We include asset retirement obligations of $2.5 million in "Other long-term liabilities" in the accompanying consolidated balance sheets for March 31, 2015 and December 31, 2014.

FAIR_VALUE_MEASUREMENTS_Summar1

FAIR VALUE MEASUREMENTS - Summary of Assets and liabilities measured at fair value on recurring basis (Parentheticals) (Details) (Other long-term liabilities, USD $)	Mar. 31, 2015	Dec. 31, 2014
In Millions, unless otherwise specified
Other long-term liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Asset retirement obligation	$2.50	$2.50

FAIR_VALUE_MEASUREMENTS_Summar2

FAIR VALUE MEASUREMENTS - Summary of changes in Level 3 financial asset - Asset retirement obligation (Details 1) (Asset retirement obligations, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2015
Asset retirement obligations
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance, January 1, 2015	$2,471
Accretion	65
Balance, March 31, 2015	$2,536

FAIR_VALUE_MEASUREMENTS_Summar3

FAIR VALUE MEASUREMENTS - Summary of fair value Level 3 debt - Term loan (Details 2) (USD $)	Mar. 31, 2015	Dec. 31, 2014
In Thousands, unless otherwise specified
Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Revolving credit facility	$23,000	$10,000
Term loan	296,250	297,000
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Revolving credit facility	22,700	9,900
Term loan	$312,000	$313,000

TRADE_NAME_Detail_Textuals

TRADE NAME (Detail Textuals) (iWeb Technologies Inc, USD $)	1 Months Ended	3 Months Ended
In Millions, unless otherwise specified	Nov. 30, 2013	Mar. 31, 2015
iWeb Technologies Inc
Trade Name [Line Items]
Acquisition value	$15.10
Additional amortization expense		0.5
Unamortized balance		$14

INTEREST_RATE_SWAP_Details

INTEREST RATE SWAP (Details) (Interest rate swap, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2015	Mar. 31, 2014
Interest rate swap
Derivative [Line Items]
(Loss) gain recorded as the effective portion of the change in fair value	($216)	$49
Interest payments reclassified as an increase to interest expense	$198	$200

INTEREST_RATE_SWAP_Detail_Text

INTEREST RATE SWAP (Detail Textuals) (Designated as Hedging Instrument, Cash Flow Hedging, Interest rate swap, USD $)	3 Months Ended
In Millions, unless otherwise specified	Mar. 31, 2015	Dec. 31, 2014
Derivative [Line Items]
Fair value of the interest rate swaps	$1
Other comprehensive loss
Derivative [Line Items]
Estimated reclassification of additional increase in interest expense through June 30, 2015	0.8
Other long-term liabilities
Derivative [Line Items]
Fair value of the interest rate swaps	0.8	0.8
Other current liabilities
Derivative [Line Items]
Fair value of the interest rate swaps	$0.20

EXIT_ACTIVITIES_AND_RESTRUCTUR2

EXIT ACTIVITIES AND RESTRUCTURING LIABILITIES - Summary of activity and balances for restructuring and asset impairment activity (Details) (Data center services, Exit activities and Restructuring charges, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2015	Mar. 31, 2014
Restructuring Reserve [Roll Forward]
December 31, 2013 and 2014	$4,510	$4,163
Initial Charges		1,454
Plan Adjustments	371	154
Cash Payments	-663	-764
March 31, 2014 and 2015	4,218	5,007
2014 exit activities
Restructuring Reserve [Roll Forward]
December 31, 2013 and 2014	2,010
Initial Charges		1,454
Plan Adjustments	206
Cash Payments	-121	-51
March 31, 2014 and 2015	2,095	1,403
2007 restructuring
Restructuring Reserve [Roll Forward]
December 31, 2013 and 2014	2,325	3,296
Initial Charges
Plan Adjustments	160	138
Cash Payments	-454	-513
March 31, 2014 and 2015	2,031	2,921
Other
Restructuring Reserve [Roll Forward]
December 31, 2013 and 2014	175	867
Initial Charges
Plan Adjustments	5	16
Cash Payments	-88	-200
March 31, 2014 and 2015	$92	$683

OPERATING_SEGMENTS_Summary_of_

OPERATING SEGMENTS - Summary of operating results for business segments - (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2015	Mar. 31, 2014
Segment profit:
Exit activities, restructuring and impairments	$265	$1,384
Loss from operations	-4,119	-4,537
Non-operating expenses	-6,335	-6,592
Loss before income taxes and equity in (earnings) of equity-method investment	-10,454	-11,129
Operating segments
Revenues:
Total revenues	80,786	81,961
Direct costs of sales and services, exclusive of depreciation and amortization:
Total direct costs of sales and services, exclusive of depreciation and amortization	33,346	35,760
Segment profit:
Total segment profit	47,440	46,201
Operating segments | Data center services
Revenues:
Total revenues	59,098	58,283
Direct costs of sales and services, exclusive of depreciation and amortization:
Total direct costs of sales and services, exclusive of depreciation and amortization	24,264	25,891
Segment profit:
Total segment profit	34,834	32,392
Operating segments | IP services
Revenues:
Total revenues	21,688	23,678
Direct costs of sales and services, exclusive of depreciation and amortization:
Total direct costs of sales and services, exclusive of depreciation and amortization	9,082	9,869
Segment profit:
Total segment profit	12,606	13,809
Segment reconciling items
Segment profit:
Exit activities, restructuring and impairments	265	1,384
Other operating expenses, including direct costs of customer support, depreciation and amortization	51,294	49,354
Loss from operations	-4,119	-4,537
Non-operating expenses	-6,335	-6,592
Loss before income taxes and equity in (earnings) of equity-method investment	($10,454)	($11,129)

OPERATING_SEGMENTS_Detail_Text

OPERATING SEGMENTS (Detail Textuals)	3 Months Ended
	Mar. 31, 2015
	Segment
Segment Reporting [Abstract]
Number of operating segments	2

NET_LOSS_PER_SHARE_Details

NET LOSS PER SHARE (Details) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2015	Mar. 31, 2014
Earnings Per Share [Abstract]
Net loss attributable to common stock	($10,442)	($10,675)
Weighted average shares outstanding, basic and diluted (in shares)	51,336	51,027
Net loss per share, basic and diluted (in dollars per share)	($0.20)	($0.21)
Anti-dilutive securities excluded from diluted net loss per share calculation for stock-based compensation plans (in shares)	7,296	7,615