Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 24, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ALSK | |
Entity Registrant Name | ALASKA COMMUNICATIONS SYSTEMS GROUP INC | |
Entity Central Index Key | 1,089,511 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 50,398,688 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 36,831 | $ 31,709 |
Restricted cash | 9,467 | 467 |
Accounts receivable, net of allowance of $2,240 and $2,338 | 28,202 | 30,900 |
Materials and supplies | 4,727 | 4,321 |
Prepayments and other current assets | 7,309 | 6,575 |
Deferred income taxes | 13,798 | 104,245 |
Current assets held-for-sale | 9,565 | |
Total current assets | 100,334 | 187,782 |
Property, plant and equipment | 1,322,906 | 1,333,134 |
Less: accumulated depreciation and amortization | (961,829) | (976,401) |
Property, plant and equipment, net | 361,077 | 356,733 |
Debt issuance costs | 2,092 | 4,469 |
Deferred income taxes | 11,360 | |
Equity method investments | 0 | 252,067 |
Non-current assets held-for-sale | 22 | 14,664 |
Other assets | 1,854 | 301 |
Total assets | 476,739 | 816,016 |
Current liabilities: | ||
Current portion of long-term obligations | 4,297 | 15,521 |
Accounts payable, accrued and other current liabilities, non-affiliates | 64,979 | 54,373 |
Accounts payable, accrued and other current liabilities, affiliates, net | 4,853 | |
Advance billings and customer deposits | 4,734 | 4,490 |
Current liabilities held-for-sale | 18,728 | |
Total current liabilities | 74,010 | 97,965 |
Long-term obligations, net of current portion | 188,100 | 418,447 |
Deferred income taxes | 81,267 | |
Other long-term liabilities, net of current portion | 63,489 | 24,370 |
Non-current liabilities held-for-sale | 2,107 | |
Deferred AWN capacity revenue, net of current portion | 56,734 | |
Total liabilities | $ 325,599 | $ 680,890 |
Commitments and contingencies | ||
ACS stockholders' equity (deficit): | ||
Common stock, $.01 par value; 145,000 authorized; 50,399 issued and outstanding at June 30, 2015; 49,660 issued and outstanding at December 31, 2014 | $ 504 | $ 497 |
Additional paid in capital | 156,106 | 154,368 |
Accumulated deficit | (3,212) | (14,588) |
Accumulated other comprehensive loss | (3,411) | (5,151) |
Total ACS stockholders' equity | 149,987 | 135,126 |
Noncontrolling interest | 1,153 | |
Total stockholders' equity | 151,140 | 135,126 |
Total liabilities and stockholders' equity | $ 476,739 | $ 816,016 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 2,240 | $ 2,338 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 145,000,000 | 145,000,000 |
Common stock, shares issued | 50,399,000 | 49,660,000 |
Common stock, shares outstanding | 50,399,000 | 49,660,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive (Loss) Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Operating revenues: | ||||
Operating revenues, non-affiliates | $ 55,665 | $ 78,803 | $ 120,876 | $ 155,348 |
Operating revenues, affiliates | 1,755 | 575 | 3,541 | |
Total operating revenues | 55,665 | 80,558 | 121,451 | 158,889 |
Operating expenses: | ||||
Cost of services and sales, non-affiliates | 30,078 | 29,800 | 56,383 | 59,858 |
Cost of services and sales, affiliates | 15,001 | 4,961 | 29,761 | |
Selling, general and administrative | 22,611 | 25,314 | 50,595 | 49,909 |
Depreciation and amortization | 8,075 | 8,475 | 17,016 | 17,265 |
(Gain) loss on disposal of assets, net | (724) | 410 | (39,386) | 811 |
Earnings from equity method investments | (9,168) | (3,056) | (17,691) | |
Total operating expenses | 60,040 | 69,832 | 86,513 | 139,913 |
Operating (loss) income | (4,375) | 10,726 | 34,938 | 18,976 |
Other income and expense: | ||||
Interest expense | (4,257) | (8,672) | (14,304) | (17,529) |
Interest income | 17 | 6 | 42 | 14 |
Total other income and expense | (4,240) | (8,666) | (14,262) | (17,515) |
(Loss) income before income tax benefit (expense) | (8,615) | 2,060 | 20,676 | 1,461 |
Income tax benefit (expense) | 3,755 | (975) | (9,319) | (761) |
Net (loss) income | (4,860) | 1,085 | 11,357 | 700 |
Less net loss attributable to noncontrolling interest | (19) | (19) | ||
Net (loss) income attributable to ACS | (4,841) | 1,085 | 11,376 | 700 |
Other comprehensive income: | ||||
Minimum pension liability adjustment | 21 | 23 | 42 | 43 |
Income tax effect | (9) | (9) | (18) | (18) |
Amortization of defined benefit plan loss | 273 | 41 | 546 | 225 |
Income tax effect | (112) | (17) | (224) | (93) |
Interest rate swap marked to fair value | 198 | 391 | 397 | 876 |
Income tax effect | (82) | (161) | (163) | (360) |
Reclassification of loss on ineffective hedge | 10 | 307 | 1,970 | 914 |
Income tax effect | (4) | (126) | (810) | (375) |
Total other comprehensive income | 295 | 449 | 1,740 | 1,212 |
Total comprehensive (loss) income attributable to ACS | (4,546) | 1,534 | 13,116 | 1,912 |
Net loss attributable to noncontrolling interest | (19) | (19) | ||
Total other comprehensive income attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Total comprehensive loss attributable to noncontrolling interest | (19) | (19) | ||
Total comprehensive (loss) income | $ (4,565) | $ 1,534 | $ 13,097 | $ 1,912 |
Net (loss) income per share attributable to ACS: | ||||
Basic and diluted | $ (0.10) | $ 0.02 | $ 0.23 | $ 0.01 |
Diluted | $ (0.10) | $ 0.02 | $ 0.22 | $ 0.01 |
Weighted average shares outstanding: | ||||
Basic | 50,252 | 49,377 | 50,085 | 49,146 |
Diluted | 50,252 | 49,910 | 51,082 | 49,649 |
Condensed Consolidated Stateme5
Condensed Consolidated Statement of Stockholders' Equity (Deficit) - 6 months ended Jun. 30, 2015 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid in Capital [Member] | Accumulated Earnings (Deficit) [Member] | Accumulated Other Comprehensive Loss [Member] | Noncontrolling Interests [Member] |
Beginning Balance at Dec. 31, 2014 | $ 135,126 | $ 497 | $ 154,368 | $ (14,588) | $ (5,151) | |
Beginning Balance, Shares at Dec. 31, 2014 | 49,660 | |||||
Total comprehensive income (loss) | 13,097 | 11,376 | 1,740 | $ (19) | ||
Stock compensation | 1,279 | 1,279 | ||||
Excess tax benefit from share-based payments | 733 | 733 | ||||
Surrender of shares to cover withholding taxes on stock-based compensation | (402) | (402) | ||||
Issuance of common stock, pursuant to stock plans, $.01 par | 135 | $ 7 | 128 | |||
Issuance of common stock, pursuant to stock plans, $.01 par, Shares | 739 | |||||
Contributions from noncontrolling interest | 1,172 | 1,172 | ||||
Ending Balance at Jun. 30, 2015 | $ 151,140 | $ 504 | $ 156,106 | $ (3,212) | $ (3,411) | $ 1,153 |
Ending Balance, Shares at Jun. 30, 2015 | 50,399 |
Condensed Consolidated Stateme6
Condensed Consolidated Statement of Stockholders' Equity (Deficit) (Parenthetical) - $ / shares | Jun. 30, 2015 | Dec. 31, 2014 |
Statement of Stockholders' Equity [Abstract] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Cash Flows from Operating Activities: | ||
Net income | $ 11,357 | $ 700 |
Adjustments to reconcile net income to net cash (used) provided by operating activities: | ||
Depreciation and amortization | 17,016 | 17,265 |
Loss on disposal of assets, net | 1,754 | 811 |
Gain on wireless sale | (41,140) | |
Unrealized gain on ineffective hedge | (542) | |
Amortization of debt issuance costs and debt discount | 4,671 | 2,666 |
Amortization of ineffective hedge | 1,970 | 914 |
Amortization of deferred capacity revenue | (1,469) | (2,010) |
Stock-based compensation | 1,279 | 1,193 |
Deferred income tax (benefit) expense | (3,394) | 747 |
Provision for uncollectible accounts | 1,319 | 1,475 |
Cash distribution from equity method investments | 3,056 | 17,691 |
Earnings from equity method investments | (3,056) | (17,691) |
Other non-cash expense, net | 543 | 207 |
Income taxes payable | 8,038 | |
Changes in operating assets and liabilities | (9,648) | (3,915) |
Net cash (used) provided by operating activities | (8,246) | 20,053 |
Cash Flows from Investing Activities: | ||
Capital expenditures | (26,133) | (17,874) |
Capitalized interest | (788) | (1,362) |
Change in unsettled capital expenditures | 674 | (4,414) |
Cash received in acquisition of business | 68 | |
Proceeds on wireless sale | 278,068 | |
Proceeds on sale of assets | 3,126 | |
Return of capital from equity investment | 1,875 | 7,342 |
Net cash provided (used) by investing activities | 256,822 | (16,240) |
Cash Flows from Financing Activities: | ||
Repayments of long-term debt | (242,837) | (18,742) |
Debt issuance costs | (1,042) | |
Cash paid in acquisition of business | (291) | |
Cash proceeds from noncontrolling interest | 250 | |
Payment of withholding taxes on stock-based compensation | (402) | (583) |
Excess tax benefit from share-based payments | 733 | |
Proceeds from the issuance of common stock | 135 | 132 |
Net cash used by financing activities | (243,454) | (19,193) |
Change in cash and cash equivalents | 5,122 | (15,380) |
Cash and cash equivalents, beginning of period | 31,709 | 43,039 |
Cash and cash equivalents, end of period | 36,831 | 27,659 |
Supplemental Cash Flow Data: | ||
Interest paid | 8,941 | 16,028 |
Income taxes paid | $ 3,942 | $ 14 |
Description of Company and Summ
Description of Company and Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Description of Company and Summary of Significant Accounting Policies | 1. DESCRIPTION OF COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Alaska Communications Systems Group, Inc. (“we”, “our”, “us”, the “Company” and “ACS”), a Delaware corporation, through its operating subsidiaries, provides broadband telecommunication and managed information technology (“IT Managed”) services to customers in the State of Alaska and beyond using its telecommunications network. The accompanying unaudited condensed consolidated financial statements represent the consolidated financial position, comprehensive income and cash flows of Alaska Communications Systems Group, Inc. and the following wholly owned subsidiaries: • Alaska Communications Systems Holdings, Inc. (“ACS Holdings”) • Crest Communications Corporation • WCI Cable, Inc. • ACS of Alaska, LLC (“ACSAK”) • WCIC Hillsboro, LLC • ACS of the Northland, LLC (“ACSN”) • Alaska Northstar Communications, LLC • ACS of Fairbanks, LLC (“ACSF”) • WCI Lightpoint, LLC • ACS of Anchorage, LLC (“ACSA”) • Worldnet Communications, Inc. • ACS Wireless, Inc. (“ACSW”) • Alaska Fiber Star, LLC • ACS Long Distance, LLC (“ACSLD”) • TekMate, LLC • ACS Internet, LLC (“ACSI”) • ACS Messaging, Inc. (“ACSM”) • ACS Cable Systems, LLC (“ACSC”) In addition to the wholly-owned subsidiaries, the Company has a fifty percent interest in ACS-Quintillion JV, LLC, a joint venture formed by its wholly-owned subsidiary ACS Cable Systems, LLC and Quintillion Holdings, LLC (“QHL”) in connection with the fiber optic network transactions. See Note 3 “ Joint Venture Sale of Wireless Operations” Basis of Presentation The accompanying unaudited condensed consolidated financial statements and footnotes included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. Certain information and footnote disclosures normally included in financial statements prepared in accordance with Generally Accepted Accounting Principles (“GAAP”) in the United States of America have been condensed or omitted pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”). The Company believes the disclosures made are adequate to make the information presented not misleading. The Company has consolidated the financial results of the joint venture with QHL based on its determination that, for accounting purposes, it holds a controlling financial interest in the joint venture and is the primary beneficiary of this variable interest entity. The Company has accounted for and reported QHL’s 50% ownership interest in the joint venture as a noncontrolling interest. See Note 3 “ Joint Venture In the opinion of management, the unaudited condensed consolidated financial statements contain all normal, recurring adjustments necessary to present fairly the consolidated financial position, comprehensive income and cash flows for all periods presented. Comprehensive income for the three and six months ended June 30, 2015, are not necessarily indicative of comprehensive income which might be expected for the entire year or any other interim periods. The balance sheet at December 31, 2014 has been derived from the audited financial statements as of that date but does not include all of the information and notes required by GAAP for complete financial statements. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s consolidated financial statements and the accompanying notes, including estimates of probable losses and expenses. Actual results could differ materially from those estimates. Accounting Pronouncements Issued Not Yet Adopted In February 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-02, “ Consolidation (Topic 810), Amendments to the Consolidation Analysis” In April 2015, the FASB issued ASU 2015-03, “ Interest – Imputation of Interest (Subtopic 835-30), Simplifying the Presentation of Debt Issuance Costs” In April 2015, the FASB issued ASU 2015-04, “ Compensation – Retirement Benefits (Topic 715), Practical Expedient for the Measurement Date of an Employer’s Defined Benefit Obligation and Plan Assets In April 2015, the FASB issued ASU 2015-05, “ Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40), Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement On May 28, 2014, the FASB issued ASU 2014-09, “ Revenue from Contracts with Customers (Topic 606) |
Sale of Wireless Operations
Sale of Wireless Operations | 6 Months Ended |
Jun. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Sale of Wireless Operations | 2. SALE OF WIRELESS OPERATIONS On December 4, 2014, the Company entered into a Purchase and Sale Agreement (the “Agreement”) to sell to General Communication, Inc (“GCI”), ACSW’s interest in AWN and substantially all the assets and subscribers used primarily in the wireless business of ACS and its affiliates (the “Acquired Assets”), as described below, for a cash payment of $300,000, which amount was subject to adjustment for certain working capital assets and liabilities as well as minimum subscriber levels and preferred distributions (the “Wireless Sale”). The transaction was completed on February 2, 2015. After adjustments for certain working capital assets and liabilities, minimum subscriber levels and preferred distributions totaling $14,612, and $9,000 of cash held in escrow pending resolution of potential additional purchase price adjustments (not reflected in the recognized gain), cash proceeds on the sale were $278,068, of which $240,472 was utilized to pay down our 2010 Senior Secured Credit Facility (“Senior Credit Facility”). The Company recorded a gain before income tax of $41,140 in the six month period ended June 30, 2015. The following table provides the calculation of the gain: Consideration: Cash $ 37,596 Cash held in escrow 9,000 Principal payment on Senior Credit Facility 240,472 Total consideration 287,068 Carrying value of assets and liabilities sold: Equity investment in AWN 250,192 Assets and liabilities, net 5,121 Net change in deferred capacity revenue (18,385 ) Total carrying value of assets and liabilities sold 236,928 Contingent gain (9,000 ) Gain on disposal of assets $ 41,140 On August 4, 2015, the Company and GCI entered into an agreement to resolve all outstanding disputes between the parties associated with the sale of the wireless business including finalization of the purchase price adjustments. In July and early August 2015, $7,092 of the $9,000 cash held in escrow was disbursed to the Company and $1,680 was disbursed to GCI. The remaining $228 will be disbursed to the Company upon timely completion of certain backhaul orders during the fourth quarter of 2015, or to GCI in the event the Company does not complete the backhaul orders on a timely basis. Final resolution of escrow disbursements was originally scheduled for February 2016. In the third quarter of 2015, the Company will record an additional gain on, and cash proceeds from, the sale of wireless operations of $7,092. See Note 16, “ Subsequent Events The Acquired Assets included, without limitation, all the equity interests of AWN owned or held by ACSW, substantially all of ACS’s wireless subscriber assets, including subscriber contracts, and certain network assets at predetermined demarcation points to the cell site locations, including certain fiber strands and associated cell site electronics and microwave facilities and associated electronics. This transaction also includes a capacity agreement with GCI that is similar to the capacity agreement provided in the July 23, 2013 transaction with AWN, whereby ACS provides certain capacity from the predetermined demarcation points to a central switch location and, if required, to points outside of Alaska. The two companies entered into a service transition plan in which ACS continued to provide certain retail and back office services to its previous wireless customers for an interim period, which was completed on April 17, 2015. This arrangement did not cover the full cost of providing the service. As of June 30, 2015, the fair value of these services was $3,528, which exceeded the consideration received for this service by approximately $522. This estimated loss was reflected in the calculation of the gain on the sale. In May 2015, the Company received a cash payment from GCI of $1,680 for timely completion of a transition support agreement. This amount was reflected in cash proceeds and gain on the sale in the second quarter of 2015. In addition to the major elements discussed above, ACS and its controlled affiliates are restricted from operating a wireless network or providing wireless products or services in Alaska for a period of four years after closing, except for: (a) fixed wireless replacement, (b) WiFi, (c) wireless backhaul and transport, (d) cell site leases and (e) acting as a wireless internet service provider. As part of the transaction, the Company initiated a plan to sell certain assets associated with realigning operations. These assets include certain handset inventory, which was sold, and retail store leases which were actively marketed for sale to third parties. Upon completion of the service transition plan, the Company accelerated its plan to achieve cost savings related to the wind down of the wireless business and from the synergies derived from becoming a more focused broadband and IT Managed Services company. Key cost avoidance milestones have been achieved, including completing the exit from all retail store locations. The Company considered the sale of assets to GCI under the guidance of Accounting Standards Codification (“ASC”) 205-20 Discontinued Operations and ultimately concluded that the assets sold did not meet the definition of a component of an entity. The conclusion was based on the determination that the assets did not comprise operations that can be clearly distinguished, either operationally or for financial reporting. The Company has one operating segment and one reporting unit and although there are revenue streams that are clearly identifiable, the majority of the operating costs are comingled across the operations of its business and cannot be reasonably separated. The following table provides a reconciliation of the major classes of assets and liabilities included in the Consolidated Balance Sheet under the captions “Current assets held-for-sale”, “Non-current assets held-for-sale,” “Current liabilities held-for-sale” and “Non-current liabilities held-for-sale” at June 30, 2015 and December 31, 2014: June 30, December 31, Current assets: Accounts receivable, non-affiliates, net $ — $ 7,607 Materials and supplies — 1,958 Total current assets held-for-sale $ — $ 9,565 Property, plant and equipment, net of accumulated depreciation of $7 and $8,835 22 14,664 Total non-current assets held-for-sale $ 22 $ 14,664 Current liabilities: Current portion of long-term obligations $ — $ 287 Accounts payable, accrued and other current liabilities, non-affiliates — 301 Accounts payable, accrued and other current liabilities, affiliates, net — 14,411 Advance billings and customer deposits — 3,729 Total current liabilities held-for-sale $ — $ 18,728 Long-term obligations, net of current portion — 2,107 Total non-current liabilities held-for-sale $ — $ 2,107 Although they did not meet the criteria for being classified as held-for-sale, certain other assets and liabilities were impacted by the transaction as follows: • The equity method investment in AWN, valued at $250,192, was sold to GCI on February 2, 2015. • The remaining Deferred AWN capacity revenue, which was created during the AWN transaction in 2013 and was being amortized over the 20 year contract life, was removed. This capacity had a carrying value of $59,672 on February 2, 2015. It was replaced with a new service obligation in the amount of $41,287 which was recorded at the estimated fair value of the services to be provided to GCI in the future and will be amortized over the new contract life of up to 30 years. • On February 2, 2015, the Company’s Senior Credit Facility was amended resulting in $240,472 in principal payments and the write-off of associated debt discount and debt issuance costs of $721 and $1,907, respectively in the six month period ended June 30, 2015. For additional information on this amendment, see Note 7 “ Long-term Obligations. • Current deferred tax assets of $89,542 representing Federal and state net operating loss carryforwards and state alternative minimum tax credit carryforwards, and non-current deferred tax liabilities of $70,577 related to the Company’s investment in AWN, reversed in the six month period ended June 30, 2015 as a result of the Wireless Sale. In connection with the Company’s decision to sell its wireless operations the Company has, and will continue to incur, a number of transaction related and wind-down costs throughout 2015. The wind-down costs include those associated with workforce reductions, termination of retail store and other contracts and other associated obligations that meet the criteria for being reported as exit obligations under ASC 420 Exit or Disposal Cost Obligations. In the fourth quarter of 2014, the Company adjusted its inventory held for sale, less cost to sell, to fair value and began to incur labor obligations. The wind-down costs were more significant in the first half of 2015, and will decline in the second half of the year. Significant wind-down costs included contract termination costs associated with retail store leases. These obligations included costs associated with the disposal of capital lease assets and liabilities and costs to vacate operating leases which had a remaining term of approximately 11 years and a remaining contract value of $2,797 at February 2, 2015. Exit from these leases was substantially complete as of June 30, 2015. Transaction costs include legal, debt amendment, accounting and other costs necessary to consummate the transaction. The Company has incurred $11,308 in transaction and wind-down costs in 2015. The following table summarizes the Company’s current obligations for exit activities as of and for the six month period ended June 30, 2015: Labor Contract Other Total Balance, December 31, 2014 $ 490 $ — $ — $ 490 Charged to expense 4,639 3,950 233 8,822 Paid and/or settled (4,273 ) (3,950 ) (102 ) (8,325 ) Balance, June 30, 2015 $ 856 $ — $ 131 $ 987 The exit activities as noted above that have been incurred to date are included in the captions “Selling, general and administrative”, and “Cost of service and sales, non-affiliate” on the Company’s “Consolidated Statements of Comprehensive (Loss) Income”. The exit liability is included in “Accounts payable and other accrued liabilities – non affiliates” on the Company’s “Consolidated Balance Sheets”. |
Joint Venture
Joint Venture | 6 Months Ended |
Jun. 30, 2015 | |
Text Block [Abstract] | |
Joint Venture | 3. JOINT VENTURE During the second quarter of 2015, the Company entered into a series of transactions with ConocoPhillips Alaska, Inc. (“CPAI”) and QHL which included the acquisition of a fiber optic network on the North Slope from CPAI and the establishment of a joint venture with QHL. The network will enable commercially-available, high-speed connectivity where only high-cost microwave and satellite communications were available. Through the ACS and QHL joint venture, this network will be made available to other telecom carriers in the market. The transactions described below were all entered into concurrently on April 2, 2015 and in contemplation of each of the other transactions. Transactions with CPAI The Company, through its wholly-owned subsidiary ACS Cable Systems, LLC, acquired from CPAI a fiber optic cable (including conduit, licenses, permits and right-of-ways) running from the Kuparuk Operating Center to the Trans-Alaska Pipeline System Pump Station #1 (the “Fiber Optic System”). The purchase price was $11,000, $5,500 of which was paid by the Company at closing and the balance of which is payable on or before April 4, 2016. The Company sold to CPAI a 30 year indefeasible right of use (“IRU”) on certain fibers from the Fiber Optic System. The sales price was $400, all of which was paid by CPAI at closing. The Company and CPAI also entered into agreements for the exchange of IRUs, pipeline access, conduit and future capacity, and the prepayment of certain fees and services. Transactions with QHL The Company sold certain fiber strands from the Fiber Optic System to QHL for $5,300, $2,650 of which was paid by QHL at closing and the balance of which is payable on or before April 2, 2016. The Company and QHL also exchanged 30 year IRU agreements. Formation of Joint Venture On April 2, 2015, the Company, through its wholly-owned subsidiary ACS Cable Systems, LLC, entered into a joint venture agreement with QHL to form ACS-Quintillion JV, LLC (the “Joint Venture”) for the purpose of expanding the fiber optic network, and making the network available to other telecom carriers. The Joint Venture may also participate in and facilitate other capital and service initiatives in the telecom industry. The Company and QHL each contributed to the Joint Venture IRUs with a combined value of $1,844 ($922 by each party). Each party also contributed cash of $250. The Company contributed an additional IRU with a value of $461. The Company and QHL each hold a 50% voting interest in the Joint Venture. Accounting Treatment The above transactions for which no cash was exchanged (nonmonetary transactions) have been determined to be reciprocal transfers because, for each individual transaction, or combination of transactions, an asset or obligation was received for an asset or obligation relinquished, and have been determined to have commercial substance based on the Company’s expectations regarding the future cash flow streams from the assets received. The nonmonetary transactions, including both assets and services, have been recorded at fair value which was equivalent to carrying value. There were no gains or losses recorded by the Company in connection with these exchanges. The Company has determined that the transactions described above do not constitute a business combination as defined in ASC 805, “Business Combinations.” The Company has determined that the Joint Venture is a Variable Interest Entity as defined in ASC 810, “Consolidation.” The Company has consolidated the financial results of the Joint Venture based on its determination that, the 50% voting interest of each party notwithstanding, for accounting purposes it holds a controlling financial interest in, and is the primary beneficiary of, the Joint Venture. This determination was based on (i) the Company’s role as Joint Venture manager and its right to a management fee equal to a percentage of the Joint Venture’s collected gross revenue; (ii) the Company’ engineering, design, installation, service and maintenance expertise in the telecom industry and its existing relationships and presence in the Alaska telecom market are expected to be significant factors in the successful operation of the Joint Venture; and (iii) the Company’s expected future utilization of certain assets of the Joint Venture in the operation of the Company’s business. There was no gain or loss recorded by the Company on the initial consolidation of the Joint Venture. The Company has accounted for and reported QHL’s 50% ownership interest in the Joint Venture as a noncontrolling interest. The table below provides certain financial information about the Joint Venture included in the Company’s consolidated balance sheet at June 30, 2015. Cash may only be utilized to settle obligations of the Joint Venture: June 30, Cash $ 500 Fiber and IRUs $ 2,304 The operating results and cash flows of the Joint Venture in the second quarter of 2015 were not material. |
Equity Method Investments
Equity Method Investments | 6 Months Ended |
Jun. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments | 4. EQUITY METHOD INVESTMENTS The Company had no equity method investments at June 30, 2015. The Company’s equity method investment at December 31, 2014 consisted of a one-third interest in AWN. See Note 2 “ Sale of Wireless Operations” June 30, December 31, 2015 2014 Ownership Ownership June 30, December 31, Alaska Wireless Network, LLC 0 % 33.33 % $ — $ 252,067 Summarized financial information for AWN for the periods during which the Company had an ownership interest is as follows: June 30, December 31, Current assets $ — $ 139,237 Non-current assets $ — $ 554,608 Current liabilities $ — $ 91,247 Non-current liabilities $ — $ 21,505 Equity $ — $ 581,093 Three Months Ended Six Months Ended 2015 2014 2015 2014 Operating revenues $ — $ 64,665 $ 21,457 $ 127,702 Gross profit $ — $ 45,785 $ 15,745 $ 89,703 Operating income $ — $ 29,243 $ 9,757 $ 56,212 Net income $ — $ 29,155 $ 9,722 $ 56,032 Adjusted Free Cash Flow (1) $ — $ 32,948 $ 10,805 $ 67,449 (1) Adjusted Free Cash Flow as defined in the Operating Agreement. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 5. FAIR VALUE MEASUREMENTS The fair values of cash equivalents, restricted cash, other short-term monetary assets and liabilities and capital leases approximate carrying values due to their nature. The fair value of the Company’s Senior Credit Facility, convertible notes and other long-term obligations of $194,355 at June 30, 2015, were estimated based primarily on quoted market prices (Level 1). The carrying values of these liabilities totaled $192,397 at June 30, 2015. The Company has developed valuation techniques based upon observable and unobservable inputs to calculate the fair value of non-current monetary assets and liabilities. Observable inputs reflect market data obtained from independent sources while unobservable inputs reflect internal market assumptions. These two types of inputs create the following fair value hierarchy: • Level 1- Quoted prices for identical instruments in active markets. • Level 2- Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations whose inputs are observable or whose significant value drivers are observable. • Level 3- Significant inputs to the valuation model are unobservable. Financial assets and liabilities are classified within the fair value hierarchy in their entirety based on the lowest level of input that is significant to the fair value measurements. The Company’s assessment of the significance of a particular input to the fair value measurements requires judgment and may affect the valuation of the assets and liabilities being measured, as well as their level within the fair value hierarchy. The following table presents the balances of assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014, at each hierarchical level: June 30, 2015 December 31, 2014 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Other long-term liabilities: Interest rate swaps $ (478 ) $ — $ (478 ) $ — $ (1,416 ) $ — $ (1,416 ) $ — Derivative Financial Instruments The Company uses floating-to-fixed interest rate swaps to manage variable interest rate risk. The notional amounts of these swaps at June 30, 2015, are $115,500 and $77,000 with interest rates of 7.220% and 7.225%, respectively, inclusive of a 4.75% LIBOR spread. The swaps began on June 30, 2012 and expire on September 30, 2015. At low LIBOR rates, payments under the swaps increased the Company’s cash interest expense. The outstanding amount of the swaps as of a period end are reported on the balance sheet at fair value, represented by the estimated amount the Company would receive or pay to terminate the swaps. They are valued using models based on readily observable market parameters for all substantial terms of the contracts and are classified within Level 2 of the fair value hierarchy. On December 4, 2014, upon the announcement of the sale of its wireless operations, $240,472 of the Company’s Senior Credit Facility was expected to be repaid. Hedge accounting treatment on the interest rate swap in the notional amount of $115,500 was discontinued because it became “possible” that the interest payments on which the swap were intended to hedge would not occur. At February 2, 2015, 95.5% or $110,268 of the $115,500 swap was deemed ineffective and, therefore, future changes in fair value will be recorded to interest expense. As of June 30, 2015, $541 was credited to interest expense for the ineffective portion. The following table presents information about the floating-to-fixed interest rate swaps in the total notional amount of $192,500 as of and for the six month periods ending June 30, 2015 and 2014: 2015 2014 Balance, January 1 $ 1,416 $ 3,234 Reclassified from accumulated other comprehensive loss to other long-term liabilities (397 ) (876 ) Change in fair value credited to interest expense (541 ) — Balance, June 30 $ 478 $ 2,358 Deferred Capacity Revenue As discussed in Note 2 “ Sale of Wireless Operations,” The following table describes the valuation techniques used to measure the fair value of the service obligation and the significant unobservable inputs and values for those inputs: Description Estimated Valuation Technique Level 3 Unobservable Inputs Significant Deferred Capacity Revenue $ 41,287 Cost/Replacement Value and Discounted Cash Flow Weighted Average Cost of Capital Cost trend factor Estimated % used by GCI Historical cost of underlying assets 11.00% 1% - 4% 1% - 100% Actual cost Other Items As discussed in Note 3, “ Joint Venture The following table describes the valuation techniques used to measure the fair value of the assets and liabilities recorded by the Company, including those recognized through consolidation of the Joint Venture, and the significant unobservable inputs: Estimated Valuation Level 3 Description Fair Value Technique Unobservable Inputs IRU Assets $ 2,304 Cost Historical cost of underlying assets IRU Obligations $ 4,153 Cost Historical cost of underlying assets The carrying value of these items at June 30, 2015 was as follows: IRU Assets $ 2,304 IRU Obligations $ 4,153 |
Current Liabilities
Current Liabilities | 6 Months Ended |
Jun. 30, 2015 | |
Payables and Accruals [Abstract] | |
Current Liabilities | 6. CURRENT LIABILITIES Accounts payable, accrued and other current liabilities, non-affiliates consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 Accounts payable - trade $ 14,244 $ 25,672 Accrued payroll, benefits, and related liabilities 13,965 18,086 Income taxes payable 8,038 — Contingent sale proceeds held in escrow 9,000 — Note payable, non-interest bearing, due 2016 5,500 — Other 14,232 10,615 $ 64,979 $ 54,373 Advance billings and customer deposits consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 Advance billings $ 4,703 $ 4,449 Customer deposits 31 41 $ 4,734 $ 4,490 |
Long-Term Obligations
Long-Term Obligations | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Long-Term Obligations | 7. LONG-TERM OBLIGATIONS Long-term obligations consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 2010 senior credit facility term loan due 2016 $ 80,355 $ 322,700 Debt discount - 2010 senior credit facility term loan due 2016 (972 ) (1,014 ) 6.25% convertible notes due 2018 114,000 114,000 Debt discount - 6.25% convertible notes due 2018 (6,172 ) (7,242 ) Capital leases and other long-term obligations 5,186 5,524 192,397 433,968 Less current portion (4,297 ) (15,521 ) Long-term obligations, net of current portion $ 188,100 $ 418,447 As of June 30, 2015, the aggregate maturities of long-term obligations for each of the five years and thereafter subsequent to June 30, 2015, were as follows: 2015 (July 1 - December 31) $ 2,332 2016 (January 1 - December 31) 79,251 2017 (January 1 - December 31) 433 2018 (January 1 - December 31) 114,358 2019 (January 1 - December 31) 153 2020 (January 1 - December 31) 57 Thereafter 2,957 $ 199,541 The Senior Credit Facility was amended effective February 2, 2015 in connection with the Wireless Sale, including the sale of the Company’s interest in AWN (“Second Amendment”). Proceeds on the Wireless Sale were utilized to reduce the outstanding balance of the Senior Credit Facility by $240,472. Certain of the terms in the Second Amendment as compared with those terms as amended effective November 1, 2012 are as follows: First Second Amendment Amendment Interest rate: Margin over LIBOR 4.75 % 4.75 % LIBOR floor 1.50 % 1.50 % Total Leverage to Adjusted EBITDA Ratio Limit: March 31, 2015 and thereafter 5.25 5.25 Senior Secured Leverage to Adjusted EBITDA Ratio Limit: March 31, 2015 and thereafter 4.25 3.00 Adjusted EBITDA to Fixed Charges Coverage Ratio Minimum: March 31, 2015 through September 15, 2015 2.50 2.00 December 31, 2015 and thereafter 2.75 2.00 In connection with the $240,472 principal payment made with proceeds from the Wireless Sale, expected future quarterly principal payments on the Senior Credit Facility were reduced proportionately from $3,675 to $936, effective January 1, 2015, and from $3,300 to $841, effective January 1, 2016. See Note 16 “ Subsequent Events |
Other Long-Term Liabilities
Other Long-Term Liabilities | 6 Months Ended |
Jun. 30, 2015 | |
Payables and Accruals [Abstract] | |
Other Long-Term Liabilities | 8. OTHER LONG-TERM LIABILITIES Other long-term liabilities consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 Deferred GCI capacity revenue, net of current portion $ 38,379 $ — Other deferred IRU capacity revenue, net of current portion 5,088 3,335 Other 20,022 21,035 $ 63,489 $ 24,370 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | 9. ACCUMULATED OTHER COMPREHENSIVE LOSS The following table summarizes the activity in accumulated other comprehensive loss for the six month period ended June 30, 2015: Defined Interest Total Balance, December 31, 2014 $ (3,639 ) $ (1,512 ) $ (5,151 ) Other comprehensive income before reclassifications 24 234 258 Reclassifications from accumulated comprehensive loss to net income 322 1,160 1,482 Net other comprehensive income 346 1,394 1,740 Balance, June 30, 2015 $ (3,293 ) $ (118 ) $ (3,411 ) Amounts reclassified to net income from our defined benefit pension plan and interest rate swaps have been presented within “ Cost of services and sales, non-affiliate” Interest expense,” |
Stock Incentive Plans
Stock Incentive Plans | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Incentive Plans | 10. STOCK INCENTIVE PLANS Under the Company’s stock incentive plan, stock options, restricted stock, stock-settled stock appreciation rights, performance share units and other awards may be granted to officers, employees, consultants, and non-employee directors. The following table summarizes the restricted stock unit, long-term incentive award and non-employee director stock compensation activity for the six month period ended June 30, 2015: Number Weighted Value Nonvested at December 31, 2014 1,299 $ 2.30 Granted 1,130 1.82 Vested (627 ) 2.72 Canceled or expired (75 ) 1.94 Nonvested at June 30, 2015 1,727 $ 1.85 The following table summarizes the performance share unit activity for the six month period ended June 30, 2015: Number Weighted Value Nonvested at December 31, 2014 790 $ 3.32 Granted 1,094 2.09 Vested (257 ) 1.70 Canceled or expired (193 ) 1.97 Nonvested at June 30, 2015 1,434 $ 2.85 The following table summarizes the assumptions used for valuation of equity instruments granted during the six month periods ended June 30, 2015 and 2014: 2015 2014 Restricted stock: Risk free rate 0.00 % 0.03% - 0.23% Expected annual forfeiture rate 9 % 9% The following table provides selected information about the Company’s share-based compensation for the three and six month periods ended June 30, 2015 and 2014: Three Months Ended Six Months Ended 2015 2014 2015 2014 Total compensation cost for share-based payments $ 795 $ 540 $ 1,279 $ 1,193 Weighted average grant-date fair value of equity instruments granted (per share) $ 2.37 $ 1.87 $ 1.95 $ 1.89 Total grant date fair value of shares vested during the period $ 123 $ 113 $ 2,470 $ 2,829 Unamortized share-based payments $ 3,648 $ 2,017 $ 3,648 $ 2,017 Weighted average period (in years) to be recognized as expense 1.6 1.7 1.6 1.7 |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 11. EARNINGS PER SHARE Earnings per share are based on the weighted average number of shares of common stock and dilutive potential common share equivalents outstanding. Basic earnings per share assumes no dilution and is computed by dividing net income (loss) attributable to ACS by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution of securities that could share in the earnings of the Company. Potential common share equivalents include options, restricted stock granted to employees and deferred shares granted to directors. The Company includes dilutive stock options based on the “treasury stock method.” The Company’s 6.25% Convertible Notes due 2018 (“6.25% Notes”) are convertible by the holder beginning February 1, 2018 at an initial conversion rate of 97.2668 shares of common stock per one thousand dollars principal amount of the 6.25% Notes. This is equivalent to an initial conversion price of approximately $10.28 per share of common stock. Given that the Company’s current share price is well below $10.28, the Company does not anticipate that there will be a conversion of the 6.25% Notes into equity. Effective in the first quarter of 2015, the Company determined that it has the intent and ability to settle the principal and interest payments on its 6.25% Notes in cash over time. This determination was based on (i) the Company’s improved liquidity position subsequent to the Wireless Sale, including its performance against the financial ratios defined under the terms of its Senior Credit Facility, reduced levels of debt and increased availability under its revolving credit facility; (ii) its intention to refinance its term loan facility to provide additional borrowing flexibility; and (iii) its expectations of future operating performance. Accordingly, 11,088 shares related to the 6.25% Notes have been excluded from the calculation of diluted earnings per share for the three and six month periods ended June 30, 2015. In connection with the Company’s acquisition of the remaining 51% interest in TekMate, LLC (“TekMate”), $800 was payable at the Company’s option either in cash or issuance of common stock in 2014. The Company determined in the second quarter of 2014 to settle this liability in cash, which was then paid on July 15, 2014. Accordingly, these potential share equivalents were not included in earnings per share as potential common stock equivalents for the three and six month periods ended June 30, 2014. Due to the Company’s reported net loss for the three month period ended June 30, 2015, 3,659 potential common share equivalents outstanding, which consisted of restricted stock and deferred shares granted to directors, were anti-dilutive. In the three and six month periods ended June 30, 2014, 24 options and SSARs were out-of-the-money and, therefore, were anti-dilutive and excluded from the calculation. Additionally, 11,088 shares related to the Company’s convertible notes were anti-dilutive for the three and six month periods ended June 30, 2014. The calculation of basic and diluted earnings per share for the three and six month periods ended June 30, 2015 and 2014 are as follows: Three Months Ended Six Months Ended 2015 2014 2015 2014 Net (loss) income attributable to ACS $ (4,841 ) $ 1,085 $ 11,376 $ 700 Weighted average common shares outstanding: Basic shares 50,252 49,377 50,085 49,146 Effect of stock-based compensation — 533 997 503 Diluted shares 50,252 49,910 51,082 49,649 (Loss) earnings per share: Basic $ (0.10 ) $ 0.02 $ 0.23 $ 0.01 Diluted $ (0.10 ) $ 0.02 $ 0.22 $ 0.01 |
Retirement Plans
Retirement Plans | 6 Months Ended |
Jun. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Retirement Plans | 12. RETIREMENT PLANS Multi-employer Defined Benefit Plan Pension benefits for substantially all of the Company’s Alaska-based employees are provided through the Alaska Electrical Pension Fund (“AEPF”). The Company pays a contractual hourly amount based on employee classification or base compensation to the AEPF. As a multi-employer defined benefit plan, the accumulated benefits and plan assets are not determined for, or allocated separately to, the individual employer. This plan was not in endangered or critical status during the plan year. Defined Benefit Plan The Company has a separate defined benefit plan that covers certain employees previously employed by Century Telephone Enterprise, Inc. (“CenturyTel Plan”). This plan was transferred to the Company in connection with the acquisition of CenturyTel, Inc.’s Alaska properties, whereby assets and liabilities of the CenturyTel Plan were transferred to the ACS Retirement Plan on September 1, 1999. As of June 30, 2015, this plan is not fully funded under the Employee Retirement Income Security Act of 1974, as amended. The following table presents the net periodic pension expense for the ACS Retirement Plan for the three and six month periods ended June 30, 2015 and 2014: Three Months Ended Six Months Ended 2015 2014 2015 2014 Interest cost $ 165 $ 172 $ 331 $ 332 Expected return on plan assets (186 ) (195 ) (373 ) (375 ) Amortization of loss 294 64 588 268 Net periodic pension expense $ 273 $ 41 $ 546 $ 225 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2015 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | 13. SUPPLEMENTAL CASH FLOW INFORMATION The following table presents supplemental non-cash transaction and nonmonetary exchange information for the six month periods ended June 30, 2015 and 2014: 2015 2014 Supplemental Non-cash Transactions: Capital expenditures incurred but not yet paid at June 30 $ 8,106 $ 4,225 Property acquired under capital leases $ 20 $ 44 Additions to ARO asset $ 6 $ 289 Accrued acquisition purchase price $ (291 ) $ 1,086 Contingent sale proceeds held in escrow $ 9,000 $ — Net change in restricted cash $ (9,000 ) $ — Assets contributed to joint venture by noncontrolling interest $ 922 $ — Note receivable on sale of asset $ 2,650 $ — Nonmonetary Exchanges: Property, plant and equipment $ 710 $ — Deferred revenue $ (2,310 ) $ — Prepaid expenses $ 1,600 $ — IRUs received $ 2,765 $ — IRUs relinquished $ (2,765 ) $ — |
Business Segments
Business Segments | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Business Segments | 14. BUSINESS SEGMENTS The Company operates its business under a single reportable segment. The Company’s chief operating decision maker assesses the financial performance of the business as follows: (i) revenues are managed on the basis of specific customers and customer groups; (ii) costs are managed and assessed by function and generally support the organization across all customer groups or revenue streams; (iii) profitability is assessed at the consolidated level; and (iv) investment decisions and the assessment of existing assets are based on the support they provide to all revenue streams. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 15. COMMITMENTS AND CONTINGENCIES The Company enters into purchase commitments with vendors in the ordinary course of business. The Company also has long-term purchase contracts with vendors to support the on-going needs of its business. These purchase commitments and contracts have varying terms and in certain cases may require the Company to buy goods and services in the future at predetermined volumes and at fixed prices. The Company is involved in various claims, legal actions and regulatory proceedings arising in the ordinary course of business. The Company establishes an accrual when a particular contingency is probable and estimable, and has recorded litigation accruals of $647 at June 30 2015 against certain current claims and legal actions. At June 30, 2015, the Company also had $9,000 of cash held in escrow pending the resolution of potential purchase price adjustments in connection with the Wireless Sale. As described in Note 16, “ Subsequent Events |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | 16. SUBSEQUENT EVENTS Debt Refinancing During the second quarter of 2015, the Company commenced an effort to refinance its 2010 Senior Credit Facility Term Loan due 2016. As of July 30, 2015, the Company had received commitment letters totaling $100,000 for senior and revolving loan facilities. These commitments are customary for facilities of this size and type and contain standard conditions to close, including entering into underlying credit agreements and completion of legal due diligence. The Company currently expects to satisfy these conditions during the third quarter of 2015. Sale of Wireless Operations On August 4, 2015, the Company and GCI entered into an agreement to resolve all outstanding disputes between the parties associated with the sale of the wireless business including finalization of the purchase price adjustments. In July and early August 2015, $7,092 of the $9,000 cash held in escrow was disbursed to the Company and $1,680 was disbursed to GCI. The remaining $228 will be disbursed to the Company upon timely completion of certain backhaul orders during the fourth quarter of 2015, or to GCI in the event the Company does not complete the backhaul orders on a timely basis. Final resolution of escrow disbursements was originally scheduled for February 2016. In the third quarter of 2015, the Company will record an additional gain on, and cash proceeds from, the sale of wireless operations of $7,092. See Note 16, “ Subsequent Events |
Description of Company and Su24
Description of Company and Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements and footnotes included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. Certain information and footnote disclosures normally included in financial statements prepared in accordance with Generally Accepted Accounting Principles (“GAAP”) in the United States of America have been condensed or omitted pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”). The Company believes the disclosures made are adequate to make the information presented not misleading. The Company has consolidated the financial results of the joint venture with QHL based on its determination that, for accounting purposes, it holds a controlling financial interest in the joint venture and is the primary beneficiary of this variable interest entity. The Company has accounted for and reported QHL’s 50% ownership interest in the joint venture as a noncontrolling interest. See Note 3 “ Joint Venture In the opinion of management, the unaudited condensed consolidated financial statements contain all normal, recurring adjustments necessary to present fairly the consolidated financial position, comprehensive income and cash flows for all periods presented. Comprehensive income for the three and six months ended June 30, 2015, are not necessarily indicative of comprehensive income which might be expected for the entire year or any other interim periods. The balance sheet at December 31, 2014 has been derived from the audited financial statements as of that date but does not include all of the information and notes required by GAAP for complete financial statements. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s consolidated financial statements and the accompanying notes, including estimates of probable losses and expenses. Actual results could differ materially from those estimates. |
Accounting Pronouncements Issued Not Yet Adopted | Accounting Pronouncements Issued Not Yet Adopted In February 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-02, “ Consolidation (Topic 810), Amendments to the Consolidation Analysis” In April 2015, the FASB issued ASU 2015-03, “ Interest – Imputation of Interest (Subtopic 835-30), Simplifying the Presentation of Debt Issuance Costs” In April 2015, the FASB issued ASU 2015-04, “ Compensation – Retirement Benefits (Topic 715), Practical Expedient for the Measurement Date of an Employer’s Defined Benefit Obligation and Plan Assets In April 2015, the FASB issued ASU 2015-05, “ Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40), Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement On May 28, 2014, the FASB issued ASU 2014-09, “ Revenue from Contracts with Customers (Topic 606) |
Fair Value Measurements | The Company has developed valuation techniques based upon observable and unobservable inputs to calculate the fair value of non-current monetary assets and liabilities. Observable inputs reflect market data obtained from independent sources while unobservable inputs reflect internal market assumptions. These two types of inputs create the following fair value hierarchy: • Level 1- Quoted prices for identical instruments in active markets. • Level 2- Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations whose inputs are observable or whose significant value drivers are observable. • Level 3- Significant inputs to the valuation model are unobservable. |
Sale of Wireless Operations (Ta
Sale of Wireless Operations (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Components of Gain on Sale of Assets | The following table provides the calculation of the gain: Consideration: Cash $ 37,596 Cash held in escrow 9,000 Principal payment on Senior Credit Facility 240,472 Total consideration 287,068 Carrying value of assets and liabilities sold: Equity investment in AWN 250,192 Assets and liabilities, net 5,121 Net change in deferred capacity revenue (18,385 ) Total carrying value of assets and liabilities sold 236,928 Contingent gain (9,000 ) Gain on disposal of assets $ 41,140 |
Schedule of Reconciliation of Major Classes of Assets and Liabilities Held for Sale | The following table provides a reconciliation of the major classes of assets and liabilities included in the Consolidated Balance Sheet under the captions “Current assets held-for-sale”, “Non-current assets held-for-sale,” “Current liabilities held-for-sale” and “Non-current liabilities held-for-sale” at June 30, 2015 and December 31, 2014: June 30, December 31, Current assets: Accounts receivable, non-affiliates, net $ — $ 7,607 Materials and supplies — 1,958 Total current assets held-for-sale $ — $ 9,565 Property, plant and equipment, net of accumulated depreciation of $7 and $8,835 22 14,664 Total non-current assets held-for-sale $ 22 $ 14,664 Current liabilities: Current portion of long-term obligations $ — $ 287 Accounts payable, accrued and other current liabilities, non-affiliates — 301 Accounts payable, accrued and other current liabilities, affiliates, net — 14,411 Advance billings and customer deposits — 3,729 Total current liabilities held-for-sale $ — $ 18,728 Long-term obligations, net of current portion — 2,107 Total non-current liabilities held-for-sale $ — $ 2,107 |
Schedule of Company's Current Obligations for Exit Activities | The following table summarizes the Company’s current obligations for exit activities as of and for the six month period ended June 30, 2015: Labor Contract Other Total Balance, December 31, 2014 $ 490 $ — $ — $ 490 Charged to expense 4,639 3,950 233 8,822 Paid and/or settled (4,273 ) (3,950 ) (102 ) (8,325 ) Balance, June 30, 2015 $ 856 $ — $ 131 $ 987 |
Joint Venture (Tables)
Joint Venture (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Text Block [Abstract] | |
Schedule of Certain Financial Information about Joint Venture Included in Company's Consolidated Balance Sheet | The table below provides certain financial information about the Joint Venture included in the Company’s consolidated balance sheet at June 30, 2015. Cash may only be utilized to settle obligations of the Joint Venture: June 30, Cash $ 500 Fiber and IRUs $ 2,304 |
Equity Method Investments (Tabl
Equity Method Investments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Company's Ownership Interest and Investment | The following table provides the Company’s ownership interest and investment in AWN at the dates indicated: June 30, December 31, 2015 2014 Ownership Ownership June 30, December 31, Alaska Wireless Network, LLC 0 % 33.33 % $ — $ 252,067 |
Summarized Financial Information | Summarized financial information for AWN for the periods during which the Company had an ownership interest is as follows: June 30, December 31, Current assets $ — $ 139,237 Non-current assets $ — $ 554,608 Current liabilities $ — $ 91,247 Non-current liabilities $ — $ 21,505 Equity $ — $ 581,093 Three Months Ended Six Months Ended 2015 2014 2015 2014 Operating revenues $ — $ 64,665 $ 21,457 $ 127,702 Gross profit $ — $ 45,785 $ 15,745 $ 89,703 Operating income $ — $ 29,243 $ 9,757 $ 56,212 Net income $ — $ 29,155 $ 9,722 $ 56,032 Adjusted Free Cash Flow (1) $ — $ 32,948 $ 10,805 $ 67,449 (1) Adjusted Free Cash Flow as defined in the Operating Agreement. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents the balances of assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014, at each hierarchical level: June 30, 2015 December 31, 2014 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Other long-term liabilities: Interest rate swaps $ (478 ) $ — $ (478 ) $ — $ (1,416 ) $ — $ (1,416 ) $ — |
Schedule of Floating-to-Fixed Interest Rate Swaps | The following table presents information about the floating-to-fixed interest rate swaps in the total notional amount of $192,500 as of and for the six month periods ending June 30, 2015 and 2014: 2015 2014 Balance, January 1 $ 1,416 $ 3,234 Reclassified from accumulated other comprehensive loss to other long-term liabilities (397 ) (876 ) Change in fair value credited to interest expense (541 ) — Balance, June 30 $ 478 $ 2,358 |
Schedule of Valuation Techniques to Measure Fair Value of Service Obligation and Significant Unobservable Inputs and Values | The following table describes the valuation techniques used to measure the fair value of the service obligation and the significant unobservable inputs and values for those inputs: Description Estimated Valuation Technique Level 3 Unobservable Inputs Significant Deferred Capacity Revenue $ 41,287 Cost/Replacement Value and Discounted Cash Flow Weighted Average Cost of Capital Cost trend factor Estimated % used by GCI Historical cost of underlying assets 11.00% 1% - 4% 1% - 100% Actual cost |
Schedule of Valuation Techniques to Measure Fair Value of Assets and Liabilities | The following table describes the valuation techniques used to measure the fair value of the assets and liabilities recorded by the Company, including those recognized through consolidation of the Joint Venture, and the significant unobservable inputs: Estimated Valuation Level 3 Description Fair Value Technique Unobservable Inputs IRU Assets $ 2,304 Cost Historical cost of underlying assets IRU Obligations $ 4,153 Cost Historical cost of underlying assets |
Schedule of Carrying Value of Assets and Liabilities | The carrying value of these items at June 30, 2015 was as follows: IRU Assets $ 2,304 IRU Obligations $ 4,153 |
Current Liabilities (Tables)
Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable, Accrued and Other Current Liabilities, Non-Affiliates | Accounts payable, accrued and other current liabilities, non-affiliates consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 Accounts payable - trade $ 14,244 $ 25,672 Accrued payroll, benefits, and related liabilities 13,965 18,086 Income taxes payable 8,038 — Contingent sale proceeds held in escrow 9,000 — Note payable, non-interest bearing, due 2016 5,500 — Other 14,232 10,615 $ 64,979 $ 54,373 |
Schedule of Advance Billings and Customer Deposits | Advance billings and customer deposits consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 Advance billings $ 4,703 $ 4,449 Customer deposits 31 41 $ 4,734 $ 4,490 |
Long-Term Obligations (Tables)
Long-Term Obligations (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Obligations | Long-term obligations consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 2010 senior credit facility term loan due 2016 $ 80,355 $ 322,700 Debt discount - 2010 senior credit facility term loan due 2016 (972 ) (1,014 ) 6.25% convertible notes due 2018 114,000 114,000 Debt discount - 6.25% convertible notes due 2018 (6,172 ) (7,242 ) Capital leases and other long-term obligations 5,186 5,524 192,397 433,968 Less current portion (4,297 ) (15,521 ) Long-term obligations, net of current portion $ 188,100 $ 418,447 |
Schedule of Aggregate Maturities of Long-term Obligations | As of June 30, 2015, the aggregate maturities of long-term obligations for each of the five years and thereafter subsequent to June 30, 2015, were as follows: 2015 (July 1 - December 31) $ 2,332 2016 (January 1 - December 31) 79,251 2017 (January 1 - December 31) 433 2018 (January 1 - December 31) 114,358 2019 (January 1 - December 31) 153 2020 (January 1 - December 31) 57 Thereafter 2,957 $ 199,541 |
Schedule of Senior Credit Facility Terms Second Amendment Comparison with First Amendment | Certain of the terms in the Second Amendment as compared with those terms as amended effective November 1, 2012 are as follows: First Second Amendment Amendment Interest rate: Margin over LIBOR 4.75 % 4.75 % LIBOR floor 1.50 % 1.50 % Total Leverage to Adjusted EBITDA Ratio Limit: March 31, 2015 and thereafter 5.25 5.25 Senior Secured Leverage to Adjusted EBITDA Ratio Limit: March 31, 2015 and thereafter 4.25 3.00 Adjusted EBITDA to Fixed Charges Coverage Ratio Minimum: March 31, 2015 through September 15, 2015 2.50 2.00 December 31, 2015 and thereafter 2.75 2.00 |
Other Long-Term Liabilities (Ta
Other Long-Term Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Payables and Accruals [Abstract] | |
Summary of Other Long-Term Liabilities | Other long-term liabilities consist of the following at June 30, 2015 and December 31, 2014: 2015 2014 Deferred GCI capacity revenue, net of current portion $ 38,379 $ — Other deferred IRU capacity revenue, net of current portion 5,088 3,335 Other 20,022 21,035 $ 63,489 $ 24,370 |
Accumulated Other Comprehensi32
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Summary of Activity in Accumulated Other Comprehensive Loss | The following table summarizes the activity in accumulated other comprehensive loss for the six month period ended June 30, 2015: Defined Interest Total Balance, December 31, 2014 $ (3,639 ) $ (1,512 ) $ (5,151 ) Other comprehensive income before reclassifications 24 234 258 Reclassifications from accumulated comprehensive loss to net income 322 1,160 1,482 Net other comprehensive income 346 1,394 1,740 Balance, June 30, 2015 $ (3,293 ) $ (118 ) $ (3,411 ) |
Stock Incentive Plans (Tables)
Stock Incentive Plans (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Activity for Restricted Stock Units, Long-Term Incentive Awards and Non-Employee Director Stock Compensation | The following table summarizes the restricted stock unit, long-term incentive award and non-employee director stock compensation activity for the six month period ended June 30, 2015: Number Weighted Value Nonvested at December 31, 2014 1,299 $ 2.30 Granted 1,130 1.82 Vested (627 ) 2.72 Canceled or expired (75 ) 1.94 Nonvested at June 30, 2015 1,727 $ 1.85 |
Summary of Activity for Performance Share Units | The following table summarizes the performance share unit activity for the six month period ended June 30, 2015: Number Weighted Value Nonvested at December 31, 2014 790 $ 3.32 Granted 1,094 2.09 Vested (257 ) 1.70 Canceled or expired (193 ) 1.97 Nonvested at June 30, 2015 1,434 $ 2.85 |
Summary of Assumptions Used for Valuation of Equity Instruments Granted | The following table summarizes the assumptions used for valuation of equity instruments granted during the six month periods ended June 30, 2015 and 2014: 2015 2014 Restricted stock: Risk free rate 0.00 % 0.03% - 0.23% Expected annual forfeiture rate 9 % 9% |
Share-Based Compensation | The following table provides selected information about the Company’s share-based compensation for the three and six month periods ended June 30, 2015 and 2014: Three Months Ended Six Months Ended 2015 2014 2015 2014 Total compensation cost for share-based payments $ 795 $ 540 $ 1,279 $ 1,193 Weighted average grant-date fair value of equity instruments granted (per share) $ 2.37 $ 1.87 $ 1.95 $ 1.89 Total grant date fair value of shares vested during the period $ 123 $ 113 $ 2,470 $ 2,829 Unamortized share-based payments $ 3,648 $ 2,017 $ 3,648 $ 2,017 Weighted average period (in years) to be recognized as expense 1.6 1.7 1.6 1.7 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Calculation of Basic and Diluted Earnings Per Share | The calculation of basic and diluted earnings per share for the three and six month periods ended June 30, 2015 and 2014 are as follows: Three Months Ended Six Months Ended 2015 2014 2015 2014 Net (loss) income attributable to ACS $ (4,841 ) $ 1,085 $ 11,376 $ 700 Weighted average common shares outstanding: Basic shares 50,252 49,377 50,085 49,146 Effect of stock-based compensation — 533 997 503 Diluted shares 50,252 49,910 51,082 49,649 (Loss) earnings per share: Basic $ (0.10 ) $ 0.02 $ 0.23 $ 0.01 Diluted $ (0.10 ) $ 0.02 $ 0.22 $ 0.01 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Summary of Net Periodic Pension Expense for ACS Retirement Plan | The following table presents the net periodic pension expense for the ACS Retirement Plan for the three and six month periods ended June 30, 2015 and 2014: Three Months Ended Six Months Ended 2015 2014 2015 2014 Interest cost $ 165 $ 172 $ 331 $ 332 Expected return on plan assets (186 ) (195 ) (373 ) (375 ) Amortization of loss 294 64 588 268 Net periodic pension expense $ 273 $ 41 $ 546 $ 225 |
Supplemental Cash Flow Inform36
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Non-Cash Transaction and Nonmonetary Exchange Information | The following table presents supplemental non-cash transaction and nonmonetary exchange information for the six month periods ended June 30, 2015 and 2014: 2015 2014 Supplemental Non-cash Transactions: Capital expenditures incurred but not yet paid at June 30 $ 8,106 $ 4,225 Property acquired under capital leases $ 20 $ 44 Additions to ARO asset $ 6 $ 289 Accrued acquisition purchase price $ (291 ) $ 1,086 Contingent sale proceeds held in escrow $ 9,000 $ — Net change in restricted cash $ (9,000 ) $ — Assets contributed to joint venture by noncontrolling interest $ 922 $ — Note receivable on sale of asset $ 2,650 $ — Nonmonetary Exchanges: Property, plant and equipment $ 710 $ — Deferred revenue $ (2,310 ) $ — Prepaid expenses $ 1,600 $ — IRUs received $ 2,765 $ — IRUs relinquished $ (2,765 ) $ — |
Description of Company and Su37
Description of Company and Summary of Significant Accounting Policies - Additional Information (Detail) | Apr. 02, 2015 | Feb. 02, 2015 | Jun. 30, 2015 | Feb. 01, 2015 | Dec. 31, 2014 |
Significant Accounting Policies [Line Items] | |||||
Percentage of ownership interest sold in wireless operation | 33.33% | ||||
Alaska Wireless Network, LLC [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in equity method investment | 0.00% | 33.33% | 33.33% | ||
ACS Cable Systems LLC and Quintillion Holdings, LLC Joint Venture [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in equity method investment | 50.00% | ||||
Quintillion Holdings, LLC [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in joint venture | 50.00% | ||||
Quintillion Holdings, LLC [Member] | Noncontrolling Interests [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in joint venture | 50.00% |
Sale of Wireless Operations - A
Sale of Wireless Operations - Additional Information (Detail) | Aug. 04, 2015USD ($) | Feb. 02, 2015USD ($) | Dec. 04, 2014USD ($) | May. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($)SegmentsReporting_Unit | Dec. 31, 2014USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Cash proceeds from sale of one or more of its affiliates | $ 278,068,000 | $ 300,000,000 | |||||
Adjustments for working capital assets and liabilities, minimum subscriber levels and preferred distributions | 14,612,000 | ||||||
Cash held in escrow | 9,000,000 | $ 9,000,000 | |||||
Amount of gain on sale, pre-tax | 41,140,000 | ||||||
Cash held in escrow | $ 9,000,000 | ||||||
Estimated amount of fair value of services | 3,528,000 | ||||||
Estimated amount of gain on sale | 522,000 | ||||||
Number of operating segment | Segments | 1 | ||||||
Number of reporting unit | Reporting_Unit | 1 | ||||||
Equity method investments | $ 0 | $ 252,067,000 | |||||
Deferred AWN capacity revenue | $ 59,672,000 | ||||||
Long term debt repayment of principal amount | 240,472,000 | ||||||
Federal and state net operating loss and state alternative minimum tax credits carryforwards | 89,542,000 | ||||||
Non current deferred tax liabilities related to investment in AWN | 70,577,000 | ||||||
Operating leases remaining terms | 11 years | ||||||
Transaction related costs | $ 11,308,000 | ||||||
Scenario Forecast [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Additional gain and cash proceeds on sale of wireless operations | $ 7,092,000 | ||||||
GCI [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Cash payment received for completion of transition support service | $ 1,680,000 | ||||||
Remaining contract life | 30 years | ||||||
Estimated fair value services | $ 41,287,000 | ||||||
Wireless Operations [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Operating lease remaining contract value | $ 2,797,000 | ||||||
2010 Senior Credit Facility Term Loan Due 2016 [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Long term debt repayment of principal amount | $ 240,472,000 | ||||||
Debt discount | 721,000 | ||||||
Debt issuance costs | 1,907,000 | ||||||
Alaska Wireless Network, LLC [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Equity method investments | $ 250,192,000 | $ 252,067,000 | |||||
Remaining contract life | 20 years | ||||||
Subsequent Event [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Cash held in escrow | $ 228,000 | ||||||
Escrow disbursement released related to sale of wireless operations | 7,092,000 | ||||||
Subsequent Event [Member] | GCI [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Escrow disbursement released related to sale of wireless operations | $ 1,680,000 |
Sale of Wireless Operations - C
Sale of Wireless Operations - Components of Gain on Sale of Assets (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Feb. 02, 2015 | |
Consideration: | ||
Cash | $ 37,596 | |
Cash held in escrow | 9,000 | $ 9,000 |
Principal payment on Senior Credit Facility | 240,472 | |
Total consideration | 287,068 | |
Carrying value of assets and liabilities sold: | ||
Equity investment in AWN | 250,192 | |
Assets and liabilities, net | 5,121 | |
Net change in deferred capacity revenue | (18,385) | |
Total carrying value of assets and liabilities sold | 236,928 | |
Contingent gain | (9,000) | |
Gain on disposal of assets | $ 41,140 |
Sale of Wireless Operations - S
Sale of Wireless Operations - Schedule of Reconciliation of Major Classes of Assets and Liabilities Held for Sale (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Accounts receivable, non-affiliates, net | $ 7,607 | |
Materials and supplies | 1,958 | |
Total current assets held-for-sale | 9,565 | |
Property, plant and equipment, net of accumulated depreciation of $7 and $8,835 | $ 22 | 14,664 |
Total non-current assets held-for-sale | $ 22 | 14,664 |
Current liabilities: | ||
Current portion of long-term obligations | 287 | |
Advance billings and customer deposits | 3,729 | |
Total current liabilities held-for-sale | 18,728 | |
Total non-current liabilities held-for-sale | 2,107 | |
Total non-current liabilities held-for-sale | 2,107 | |
Non-affiliates [Member] | ||
Current liabilities: | ||
Accounts payable, accrued and other current liabilities | 301 | |
Affiliates [Member] | ||
Current liabilities: | ||
Accounts payable, accrued and other current liabilities | $ 14,411 |
Sale of Wireless Operations -41
Sale of Wireless Operations - Schedule of Reconciliation of Major Classes of Assets and Liabilities Held for Sale (Parenthetical) (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Discontinued Operations and Disposal Groups [Abstract] | ||
Accumulated depreciation of property, plant and equipment, net | $ 7 | $ 8,835 |
Sale of Wireless Operations -42
Sale of Wireless Operations - Schedule of Company's Current Obligations for Exit Activities (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Balance, December 31, 2014 | $ 490 |
Charged to expense | 8,822 |
Paid and/or settled | (8,325) |
Balance, June 30, 2015 | 987 |
Labor Obligations [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Balance, December 31, 2014 | 490 |
Charged to expense | 4,639 |
Paid and/or settled | (4,273) |
Balance, June 30, 2015 | 856 |
Contract Terminations [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Charged to expense | 3,950 |
Paid and/or settled | (3,950) |
Other Associated Obligations [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Charged to expense | 233 |
Paid and/or settled | (102) |
Balance, June 30, 2015 | $ 131 |
Joint Venture - Additional Info
Joint Venture - Additional Information (Detail) - USD ($) | Apr. 02, 2015 | Jun. 30, 2015 |
Investment [Line Items] | ||
Note receivable on sale of asset | $ 2,650,000 | |
Gain or loss recorded on initial consolidation of Joint Venture | $ 0 | |
IRU [Member] | ||
Investment [Line Items] | ||
Contribution to Joint Venture | $ 1,844,000 | |
Cash Contribution to Joint Venture | $ 250,000 | |
ACS [Member] | ||
Investment [Line Items] | ||
Voting interest in joint venture | 50.00% | |
ACS [Member] | IRU [Member] | ||
Investment [Line Items] | ||
Contribution to Joint Venture | $ 922,000 | |
Additional Contribution to Joint Venture | 461,000 | |
ConocoPhillips Alaska, Inc. [Member] | ||
Investment [Line Items] | ||
Purchase price of fiber strand optic cable | 11,000,000 | |
Purchase price paid at closing | 5,500,000 | |
Note payable on asset purchase | $ 5,500,000 | |
Term of fibers indefeasible right of use sold to CPAI | The Company, through its wholly-owned subsidiary ACS Cable Systems, LLC, acquired from CPAI a fiber optic cable (including conduit, licenses, permits and right-of-ways) running from the Kuparuk Operating Center to the Trans-Alaska Pipeline System Pump Station #1 (the “Fiber Optic System”). The purchase price was $11,000, $5,500 of which was paid by the Company at closing and the balance of which is payable on or before April 4, 2016. The Company sold to CPAI a 30 year indefeasible right of use (“IRU”) on certain fibers from the Fiber Optic System. The sales price was $400, all of which was paid by CPAI at closing. The Company and CPAI also entered into agreements for the exchange of IRUs, pipeline access, conduit and future capacity, and the prepayment of certain fees and services. | |
Term of indefeasible right of use | 30 years | |
Sale price of indefeasible right of use of fibers to CPAI | $ 400,000 | |
Quintillion Holdings, LLC [Member] | ||
Investment [Line Items] | ||
Term of indefeasible right of use | 30 years | |
Sale price of fiber strands | $ 5,300,000 | |
Payment received in connection with sale of 46 fiber strands from the Fiber Optic System at closing date | 2,650,000 | |
Note receivable on sale of asset | $ 2,650,000 | |
Percentage ownership interest in joint venture | 50.00% | |
Quintillion Holdings, LLC [Member] | IRU [Member] | ||
Investment [Line Items] | ||
Contribution to Joint Venture | $ 922,000 | |
Cash Contribution to Joint Venture | $ 250,000 |
Joint Venture - Schedule of Cer
Joint Venture - Schedule of Certain Financial Information about Joint Venture Included in Company's Consolidated Balance Sheet (Detail) $ in Thousands | Jun. 30, 2015USD ($) |
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures [Abstract] | |
Cash | $ 500 |
IRU Assets | $ 2,304 |
Equity Method Investments - Add
Equity Method Investments - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Feb. 01, 2015 | Dec. 31, 2014 |
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 0 | $ 252,067 | |
Alaska Wireless Network, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Percentage ownership interest in equity method investment | 0.00% | 33.33% | 33.33% |
Equity method investments | $ 250,192 | $ 252,067 |
Equity Method Investments - Sch
Equity Method Investments - Schedule of Company's Ownership Interest and Investment (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Feb. 01, 2015 | Dec. 31, 2014 |
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 0 | $ 252,067 | |
Alaska Wireless Network, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Percentage ownership interest in equity method investment | 0.00% | 33.33% | 33.33% |
Equity method investments | $ 250,192 | $ 252,067 |
Equity Method Investments - Sum
Equity Method Investments - Summarized Financial Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||||
Current assets | $ 100,334 | $ 100,334 | $ 187,782 | ||
Current liabilities | 74,010 | 74,010 | 97,965 | ||
Equity | 149,987 | 149,987 | 135,126 | ||
Operating revenues | 55,665 | $ 80,558 | 121,451 | $ 158,889 | |
Operating income | (4,375) | 10,726 | 34,938 | 18,976 | |
Net income | $ (4,841) | 1,085 | 11,376 | 700 | |
Alaska Wireless Network, LLC [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Current assets | 139,237 | ||||
Non-current assets | 554,608 | ||||
Current liabilities | 91,247 | ||||
Non-current liabilities | 21,505 | ||||
Equity | $ 581,093 | ||||
Operating revenues | 64,665 | 21,457 | 127,702 | ||
Gross profit | 45,785 | 15,745 | 89,703 | ||
Operating income | 29,243 | 9,757 | 56,212 | ||
Net income | 29,155 | 9,722 | 56,032 | ||
Adjusted Free Cash Flow | $ 32,948 | $ 10,805 | $ 67,449 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Feb. 02, 2015 | Dec. 04, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Long-term obligations | $ 192,397 | $ 192,397 | $ 433,968 | |||
Notional amounts of floating-to-fixed interest rate swaps, one | 115,500 | |||||
Notional amounts of floating-to-fixed interest rate swaps, two | $ 77,000 | |||||
Interest rate of floating-to-fixed interest rate swaps, one | 7.22% | 7.22% | ||||
Interest rate of floating-to-fixed interest rate swaps, two | 7.225% | 7.225% | ||||
LIBOR spread | 4.75% | 4.75% | ||||
Commencing swap date | Jun. 30, 2012 | |||||
Expiration Date | Sep. 30, 2015 | |||||
Notional amounts of floating-to-fixed interest rate swaps, over-hedged | $ 110,268 | |||||
Notional amounts of floating-to-fixed interest rate swaps, over-hedged percentage | 95.50% | |||||
Change in fair value credited to interest expense | $ 541 | |||||
Notional amounts of floating-to-fixed interest rate swaps | $ 192,500 | $ 192,500 | ||||
Estimated Fair Value | $ 41,287 | |||||
Service obligation | 40,450 | 40,450 | ||||
Minimum [Member] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Amortized to revenue contract life | 10 years | |||||
Maximum [Member] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Amortized to revenue contract life | 30 years | |||||
Estimated Value [Member] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Fair value of long-term obligations | 194,355 | 194,355 | ||||
Carrying Values [Member] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Long-term obligations | 192,397 | 192,397 | ||||
2010 Senior Credit Facility Term Loan Due 2016 [Member] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Long-term obligations | $ 80,355 | $ 80,355 | $ 322,700 | |||
Amount of Senior Credit Facility to be paid related to sale | $ 240,472 |
Fair Value Measurements - Balan
Fair Value Measurements - Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Interest Rate Swaps [Member] - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Other long-term liabilities | $ (478) | $ (1,416) | $ (2,358) | $ (3,234) |
Level 2 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Other long-term liabilities | $ (478) | $ (1,416) |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Floating-to-Fixed Interest Rate Swaps (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Change in fair value credited to interest expense | $ 541 | ||
Interest Rate Swaps [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Beginning Balance | $ 1,416 | $ 3,234 | |
Reclassified from accumulated other comprehensive loss to other long-term liabilities | (397) | (876) | |
Change in fair value credited to interest expense | (541) | ||
Ending Balance | $ 478 | $ 478 | $ 2,358 |
Fair Value Measurements - Sch51
Fair Value Measurements - Schedule of Valuation Techniques to Measure Fair Value of Service Obligation and Significant Unobservable Inputs and Values (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Feb. 02, 2015 | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Estimated Fair Value | $ 41,287 | |
Level 3 [Member] | Deferred Capacity Revenue [Member] | Cost/Replacement Value and Discounted Cash Flow [Member] | Weighted Average Cost of Capital [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Estimated Fair Value | $ 41,287 | |
Valuation Technique | Cost/Replacement Value and Discounted Cash Flow | |
Significant Input Values, rate | 11.00% | |
Level 3 [Member] | Deferred Capacity Revenue [Member] | Cost/Replacement Value and Discounted Cash Flow [Member] | Cost trend factor [Member] | Minimum [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Significant Input Values, rate | 1.00% | |
Level 3 [Member] | Deferred Capacity Revenue [Member] | Cost/Replacement Value and Discounted Cash Flow [Member] | Cost trend factor [Member] | Maximum [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Significant Input Values, rate | 4.00% | |
Level 3 [Member] | Deferred Capacity Revenue [Member] | Cost/Replacement Value and Discounted Cash Flow [Member] | Estimated % used by GCI [Member] | Minimum [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Significant Input Values, rate | 1.00% | |
Level 3 [Member] | Deferred Capacity Revenue [Member] | Cost/Replacement Value and Discounted Cash Flow [Member] | Estimated % used by GCI [Member] | Maximum [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Significant Input Values, rate | 100.00% | |
Level 3 [Member] | Deferred Capacity Revenue [Member] | Cost/Replacement Value and Discounted Cash Flow [Member] | Historical cost of underlying assets [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Significant Input Values, description | Actual cost |
Fair Value Measurements - Sch52
Fair Value Measurements - Schedule of Valuation Techniques to Measure Fair Value of Assets and Liabilities (Detail) - Jun. 30, 2015 - USD ($) $ in Thousands | Total |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
IRU Assets | $ 2,304 |
Level 3 [Member] | Valuation Technique Replacement Value [Member] | Historical cost of underlying assets [Member] | Estimated Value [Member] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
IRU Assets | 2,304 |
IRU Obligations | $ 4,153 |
Level 3 [Member] | IRU Obligations [Member] | Valuation Technique Replacement Value [Member] | Historical cost of underlying assets [Member] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Valuation Technique | Cost |
Level 3 [Member] | IRU Assets [Member] | Valuation Technique Replacement Value [Member] | Historical cost of underlying assets [Member] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Valuation Technique | Cost |
Fair Value Measurements - Sch53
Fair Value Measurements - Schedule of Carrying Value of Assets and Liabilities (Detail) $ in Thousands | Jun. 30, 2015USD ($) |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
IRU Assets | $ 2,304 |
Carrying Values [Member] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
IRU Assets | 2,304 |
IRU Obligations | $ 4,153 |
Current Liabilities - Schedule
Current Liabilities - Schedule of Accounts Payable, Accrued and Other Current Liabilities, Non-Affiliates (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Payables and Accruals [Abstract] | ||
Accounts payable - trade | $ 14,244 | $ 25,672 |
Accrued payroll, benefits, and related liabilities | 13,965 | 18,086 |
Income taxes payable | 8,038 | |
Contingent sale proceeds held in escrow | 9,000 | |
Note payable, non-interest bearing, due 2016 | 5,500 | |
Other | 14,232 | 10,615 |
Total accounts payable, accrued and other current liabilities | $ 64,979 | $ 54,373 |
Current Liabilities - Schedul55
Current Liabilities - Schedule of Advance Billings and Customer Deposits (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Advance billings | $ 4,703 | $ 4,449 |
Customer deposits | 31 | 41 |
Customer advances and deposits, current, total | $ 4,734 | $ 4,490 |
Long-Term Obligations - Schedul
Long-Term Obligations - Schedule of Long-Term Obligations (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Capital leases and other long-term obligations | $ 5,186 | $ 5,524 |
Long-term obligations | 192,397 | 433,968 |
Long-term obligations | 192,397 | 433,968 |
Less current portion | (4,297) | (15,521) |
Long-term obligations, net of current portion | 188,100 | 418,447 |
2010 Senior Credit Facility Term Loan Due 2016 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term obligations | 80,355 | 322,700 |
Long-term obligations | 80,355 | 322,700 |
Debt instrument unamortized discount | (972) | (1,014) |
6.25% Convertible Notes Due 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term obligations | 114,000 | 114,000 |
Long-term obligations | 114,000 | 114,000 |
Debt instrument unamortized discount | $ (6,172) | $ (7,242) |
Long-Term Obligations - Sched57
Long-Term Obligations - Schedule of Long-Term Obligations (Parenthetical) (Detail) - Jun. 30, 2015 | Total |
2010 Senior Credit Facility Term Loan Due 2016 [Member] | |
Debt Instrument [Line Items] | |
Maturity year of senior credit facility term loan - start | Oct. 21, 2010 |
Maturity year of convertible notes | Oct. 21, 2016 |
6.25% Convertible Notes Due 2018 [Member] | |
Debt Instrument [Line Items] | |
Interest rate of convertible notes | 6.25% |
Maturity year of convertible notes | May 1, 2018 |
Long-Term Obligations - Sched58
Long-Term Obligations - Schedule of Aggregate Maturities of Long-term Obligations (Detail) $ in Thousands | Jun. 30, 2015USD ($) |
Debt Disclosure [Abstract] | |
2015 (July 1 - December 31) | $ 2,332 |
2016 (January 1 - December 31) | 79,251 |
2017 (January 1 - December 31) | 433 |
2018 (January 1 - December 31) | 114,358 |
2019 (January 1 - December 31) | 153 |
2020 (January 1 - December 31) | 57 |
Thereafter | 2,957 |
Total | $ 199,541 |
Long-Term Obligations - Additio
Long-Term Obligations - Additional Information (Detail) - USD ($) | Feb. 02, 2015 | Jun. 30, 2015 |
Debt Instrument [Line Items] | ||
Principal payment | $ 240,472,000 | |
January One Two Thousand Fifteen [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Reduced principal payment | 3,675,000 | |
January One Two Thousand Fifteen [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Reduced principal payment | 936,000 | |
January One Two Thousand Sixteen [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Reduced principal payment | 3,300,000 | |
January One Two Thousand Sixteen [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Reduced principal payment | $ 841,000 | |
Senior Secured Credit Facilities [Member] | ||
Debt Instrument [Line Items] | ||
Principal payment | $ 240,472,000 |
Long -Term Obligations - Schedu
Long -Term Obligations - Schedule of Senior Credit Facility Terms Second Amendment Comparison with First Amendment (Detail) - Jun. 30, 2015 | Total |
First Amendment [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Interest rate, Margin over LIBOR | 4.75% |
Interest rate, LIBOR floor | 1.50% |
First Amendment [Member] | March 31, 2015 and thereafter [Member] | |
Debt Instrument [Line Items] | |
Total Leverage to Adjusted EBITDA Ratio Limit | 5.25% |
Senior Secured Leverage to Adjusted EBITDA Ratio Limit | 4.25% |
First Amendment [Member] | March 31, 2015 through September 15, 2015 [Member] | |
Debt Instrument [Line Items] | |
Adjusted EBITDA to Fixed Charges Coverage Ratio Minimum | 2.50% |
First Amendment [Member] | December 31, 2015 and thereafter [Member] | |
Debt Instrument [Line Items] | |
Adjusted EBITDA to Fixed Charges Coverage Ratio Minimum | 2.75% |
Second Amendment [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Interest rate, Margin over LIBOR | 4.75% |
Interest rate, LIBOR floor | 1.50% |
Second Amendment [Member] | March 31, 2015 and thereafter [Member] | |
Debt Instrument [Line Items] | |
Total Leverage to Adjusted EBITDA Ratio Limit | 5.25% |
Senior Secured Leverage to Adjusted EBITDA Ratio Limit | 3.00% |
Second Amendment [Member] | March 31, 2015 through September 15, 2015 [Member] | |
Debt Instrument [Line Items] | |
Adjusted EBITDA to Fixed Charges Coverage Ratio Minimum | 2.00% |
Second Amendment [Member] | December 31, 2015 and thereafter [Member] | |
Debt Instrument [Line Items] | |
Adjusted EBITDA to Fixed Charges Coverage Ratio Minimum | 2.00% |
Other Long-Term Liabilities - S
Other Long-Term Liabilities - Summary of Other Long-Term Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | $ 63,489 | $ 24,370 |
Deferred GCI Capacity Revenue, Net of Current Portion [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | 38,379 | |
Other Deferred IRU Capacity Revenue, Net of Current Portion [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | 5,088 | 3,335 |
Other [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | $ 20,022 | $ 21,035 |
Accumulated Other Comprehensi62
Accumulated Other Comprehensive Loss - Summary of Activity in Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | $ (5,151) | |||
Other comprehensive income before reclassifications | 258 | |||
Reclassifications from accumulated comprehensive loss to net income | 1,482 | |||
Total other comprehensive income | $ 295 | $ 449 | 1,740 | $ 1,212 |
Ending Balance | (3,411) | (3,411) | ||
Interest Rate Swaps [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (1,512) | |||
Other comprehensive income before reclassifications | 234 | |||
Reclassifications from accumulated comprehensive loss to net income | 1,160 | |||
Total other comprehensive income | 1,394 | |||
Ending Balance | (118) | (118) | ||
Defined Benefit Pension Plans [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (3,639) | |||
Other comprehensive income before reclassifications | 24 | |||
Reclassifications from accumulated comprehensive loss to net income | 322 | |||
Total other comprehensive income | 346 | |||
Ending Balance | $ (3,293) | $ (3,293) |
Accumulated Other Comprehensi63
Accumulated Other Comprehensive Loss - Additional Information (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Interest Expense [Member] | Next Twelve Months [Member] | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |
Accumulated other comprehensive loss to be reclassified to interest expense | $ 0 |
Stock Incentive Plans - Summary
Stock Incentive Plans - Summary of Activity for Restricted Stock Units, Long-Term Incentive Awards and Non-Employee Director Stock Compensation (Detail) - 6 months ended Jun. 30, 2015 - Restricted Stock Unit [Member] - $ / shares shares in Thousands | Total |
Summary of activity for restricted stock units, long-term incentive awards and non-employee director stock compensation | |
Number of Shares - Nonvested at December 31, 2014 | 1,299 |
Number of Shares - Granted | 1,130 |
Number of Shares - Vested | (627) |
Number of Shares - Canceled or expired | (75) |
Number of Shares - Nonvested at June 30, 2015 | 1,727 |
Weighted Average Grant Date Fair Value - Nonvested at December 31, 2014 | $ 2.30 |
Weighted Average Grant Date Fair Value - Granted | 1.82 |
Weighted Average Grant Date Fair Value - Vested | 2.72 |
Weighted Average Grant Date Fair Value - Canceled or expired | 1.94 |
Weighted Average Grant Date Fair Value - Nonvested at June 30, 2015 | $ 1.85 |
Stock Incentive Plans - Summa65
Stock Incentive Plans - Summary of Activity for Performance Share Units (Detail) - 6 months ended Jun. 30, 2015 - Performance Share Units [Member] - $ / shares shares in Thousands | Total |
Summary of activity for performance share units | |
Number of Shares - Nonvested at December 31, 2014 | 790 |
Number of Shares - Granted | 1,094 |
Number of Shares - Vested | (257) |
Number of Shares - Canceled or expired | (193) |
Number of Shares - Nonvested at June 30, 2015 | 1,434 |
Weighted Average Grant Date Fair Value - Nonvested at December 31, 2014 | $ 3.32 |
Weighted Average Grant Date Fair Value - Granted | 2.09 |
Weighted Average Grant Date Fair Value - Vested | 1.70 |
Weighted Average Grant Date Fair Value - Canceled or expired | 1.97 |
Weighted Average Grant Date Fair Value - Nonvested at June 30, 2015 | $ 2.85 |
Stock Incentive Plans - Summa66
Stock Incentive Plans - Summary of Assumptions Used for Valuation of Equity Instruments Granted (Detail) - Restricted Stock [Member] | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Restricted stock: | ||
Risk free rate | 0.00% | |
Risk free rate, minimum | 0.03% | |
Risk free rate, maximum | 0.23% | |
Expected annual forfeiture rate | 9.00% | 9.00% |
Stock Incentive Plans - Share-B
Stock Incentive Plans - Share-Based Compensation (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Total compensation cost for share-based payments | $ 795 | $ 540 | $ 1,279 | $ 1,193 |
Weighted average grant-date fair value of equity instruments granted (per share) | $ 2.37 | $ 1.87 | $ 1.95 | $ 1.89 |
Total grant date fair value of shares vested during the period | $ 123 | $ 113 | $ 2,470 | $ 2,829 |
Unamortized share-based payments | $ 3,648 | $ 2,017 | $ 3,648 | $ 2,017 |
Weighted average period (in years) to be recognized as expense | 1 year 7 months 6 days | 1 year 8 months 12 days | 1 year 7 months 6 days | 1 year 8 months 12 days |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
6.25% Convertible Notes Due 2018 [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Interest rate of convertible notes | 6.25% | 6.25% | |||
Maturity year of convertible notes | May 1, 2018 | ||||
Shares received upon conversion | 97.2668 | ||||
Principal amount for initial conversion | $ 1,000 | $ 1,000 | |||
Initial conversion price | $ 10.28 | $ 10.28 | |||
Convertible note, convertible beginning date | Feb. 1, 2018 | ||||
Convertible Notes Payable [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Anti-dilutive shares excluded from calculation | 11,088,000 | 11,088,000 | 11,088,000 | 11,088,000 | |
TekMate, LLC [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Percentage of ownership interest in equity method investments | 51.00% | 51.00% | |||
Consideration payable in cash or stock | $ 800 | ||||
Options [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Anti-dilutive shares excluded from calculation | 24,000 | 24,000 | |||
Stock Appreciation Rights (SARs) [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Anti-dilutive shares excluded from calculation | 24,000 | 24,000 | |||
Restricted Stock and Deferred Shares [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Anti-dilutive shares excluded from calculation | 3,659,000 |
Earnings Per Share - Calculatio
Earnings Per Share - Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Earnings Per Share, Basic and Diluted [Abstract] | ||||
Net (loss) income attributable to ACS | $ (4,841) | $ 1,085 | $ 11,376 | $ 700 |
Weighted average common shares outstanding: | ||||
Basic shares | 50,252 | 49,377 | 50,085 | 49,146 |
Effect of stock-based compensation | 533 | 997 | 503 | |
Diluted shares | 50,252 | 49,910 | 51,082 | 49,649 |
(Loss) earnings per share: | ||||
Basic | $ (0.10) | $ 0.02 | $ 0.23 | $ 0.01 |
Diluted | $ (0.10) | $ 0.02 | $ 0.22 | $ 0.01 |
Retirement Plans - Summary of N
Retirement Plans - Summary of Net Periodic Pension Expense for ACS Retirement Plan (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Compensation and Retirement Disclosure [Abstract] | ||||
Interest cost | $ 165 | $ 172 | $ 331 | $ 332 |
Expected return on plan assets | (186) | (195) | (373) | (375) |
Amortization of loss | 294 | 64 | 588 | 268 |
Net periodic pension expense | $ 273 | $ 41 | $ 546 | $ 225 |
Supplemental Cash Flow Inform71
Supplemental Cash Flow Information - Schedule of Supplemental Non-Cash Transaction and Nonmonetary Exchange Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Supplemental Non-cash Transactions: | ||
Capital expenditures incurred but not yet paid at June 30 | $ 8,106 | $ 4,225 |
Property acquired under capital leases | 20 | 44 |
Additions to ARO asset | 6 | 289 |
Accrued acquisition purchase price | (291) | $ 1,086 |
Contingent sale proceeds held in escrow | 9,000 | |
Net change in restricted cash | (9,000) | |
Note receivable on sale of asset | 2,650 | |
Property, plant and equipment [Member] | ||
Nonmonetary Exchanges: | ||
Nonmonetary Exchanges | 710 | |
Deferred revenue [Member] | ||
Nonmonetary Exchanges: | ||
Nonmonetary Exchanges | (2,310) | |
Prepaid expenses [Member] | ||
Nonmonetary Exchanges: | ||
Nonmonetary Exchanges | 1,600 | |
IRUs received [Member] | ||
Nonmonetary Exchanges: | ||
Nonmonetary Exchanges | 2,765 | |
IRUs relinquished [Member] | ||
Nonmonetary Exchanges: | ||
Nonmonetary Exchanges | (2,765) | |
Noncontrolling Interests [Member] | ||
Supplemental Non-cash Transactions: | ||
Assets contributed to joint venture | $ 922 |
Business Segments - Additional
Business Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2015Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments in which business operates | 1 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Feb. 02, 2015 |
Commitments and Contingencies Disclosure [Abstract] | ||
Litigation costs | $ 647 | |
Cash held in escrow | $ 9,000 | $ 9,000 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) | Aug. 04, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Jul. 30, 2015 |
Subsequent Event [Line Items] | ||||
Cash held in escrow | $ 9,000,000 | |||
Scenario Forecast [Member] | ||||
Subsequent Event [Line Items] | ||||
Additional gain and cash proceeds on sale of wireless operations | $ 7,092,000 | |||
Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Cash held in escrow | $ 228,000 | |||
Escrow disbursements released related to sale of wireless operations | 7,092,000 | |||
Subsequent Event [Member] | 2010 Senior Credit Facility Term Loan Due 2016 [Member] | ||||
Subsequent Event [Line Items] | ||||
Total commitment letters received | $ 100,000,000 | |||
Subsequent Event [Member] | GCI [Member] | ||||
Subsequent Event [Line Items] | ||||
Escrow disbursements released related to sale of wireless operations | $ 1,680,000 |