Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Jul. 25, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
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 | 52,433,202 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 12,982 | $ 21,228 |
Restricted cash | 11,924 | 1,917 |
Accounts receivable, net of allowance of $2,365 and $1,115 | 22,240 | 25,062 |
Materials and supplies | 5,577 | 4,917 |
Prepayments and other current assets | 7,340 | 5,995 |
Total current assets | 60,063 | 59,119 |
Property, plant and equipment | 1,357,723 | 1,349,899 |
Less: accumulated depreciation and amortization | (996,459) | (983,050) |
Property, plant and equipment, net | 361,264 | 366,849 |
Deferred income taxes | 16,266 | 14,718 |
Other assets | 1,773 | 1,674 |
Total assets | 439,366 | 442,360 |
Current liabilities: | ||
Current portion of long-term obligations | 15,958 | 1,973 |
Accounts payable, accrued and other current liabilities | 30,917 | 38,180 |
Advance billings and customer deposits | 4,351 | 4,167 |
Total current liabilities | 51,226 | 44,320 |
Long-term obligations, net of current portion | 171,708 | 177,626 |
Other long-term liabilities, net of current portion | 60,949 | 61,538 |
Total liabilities | 283,883 | 283,484 |
Commitments and contingencies | ||
Alaska Communications stockholders' equity: | ||
Common stock, $.01 par value; 145,000 authorized; 52,435 issued and outstanding at June 30, 2017; 51,477 issued and outstanding at December 31, 2016 | 524 | 515 |
Additional paid in capital | 157,929 | 159,474 |
(Accumulated deficit) retained earnings | (1,377) | 752 |
Accumulated other comprehensive loss | (2,574) | (2,910) |
Total Alaska Communications stockholders' equity | 154,502 | 157,831 |
Noncontrolling interest | 981 | 1,045 |
Total stockholders' equity | 155,483 | 158,876 |
Total liabilities and stockholders' equity | $ 439,366 | $ 442,360 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 2,365 | $ 1,115 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 145,000,000 | 145,000,000 |
Common stock, shares issued | 52,435,000 | 51,477,000 |
Common stock, shares outstanding | 52,435,000 | 51,477,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive (Loss) Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Operating revenues | $ 58,536 | $ 56,262 | $ 115,267 | $ 112,590 |
Operating expenses: | ||||
Cost of services and sales (excluding depreciation and amortization) | 26,454 | 25,543 | 51,596 | 51,671 |
Selling, general and administrative | 17,438 | 17,586 | 35,531 | 34,926 |
Depreciation and amortization | 9,028 | 8,640 | 17,931 | 17,160 |
Loss on disposal of assets, net | 14 | 128 | 33 | 152 |
Total operating expenses | 52,934 | 51,897 | 105,091 | 103,909 |
Operating income | 5,602 | 4,365 | 10,176 | 8,681 |
Other income and (expense): | ||||
Interest expense | (3,913) | (3,852) | (7,758) | (7,721) |
Loss on extinguishment of debt | (5,158) | (7,434) | (336) | |
Interest income | 7 | 6 | 14 | 11 |
Total other income and (expense) | (9,064) | (3,846) | (15,178) | (8,046) |
(Loss) income before income tax benefit (expense) | (3,462) | 519 | (5,002) | 635 |
Income tax benefit (expense) | 632 | (236) | 1,464 | (299) |
Net (loss) income | (2,830) | 283 | (3,538) | 336 |
Less net loss attributable to noncontrolling interest | (32) | (34) | (64) | (67) |
Net (loss) income attributable to Alaska Communications | (2,798) | 317 | (3,474) | 403 |
Other comprehensive income (loss): | ||||
Minimum pension liability adjustment | 29 | 14 | 58 | 28 |
Income tax effect | (12) | (6) | (24) | (15) |
Amortization of defined benefit plan loss | 154 | 217 | 308 | 434 |
Income tax effect | (63) | (89) | (126) | (178) |
Interest rate swap marked to fair value | 131 | (49) | 156 | (174) |
Income tax effect | (54) | 20 | (65) | 71 |
Reclassification to interest expense | 24 | 26 | 49 | 53 |
Income tax effect | (10) | (11) | (20) | (22) |
Total other comprehensive income | 199 | 122 | 336 | 197 |
Total comprehensive (loss) income attributable to Alaska Communications | (2,599) | 439 | (3,138) | 600 |
Net loss attributable to noncontrolling interest | (32) | (34) | (64) | (67) |
Total other comprehensive income attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Total comprehensive loss attributable to noncontrolling interest | (32) | (34) | (64) | (67) |
Total comprehensive (loss) income | $ (2,631) | $ 405 | $ (3,202) | $ 533 |
Net (loss) income per share attributable to Alaska Communications: | ||||
Basic and Diluted | $ (0.05) | $ 0.01 | $ (0.07) | $ 0.01 |
Weighted average shares outstanding: | ||||
Basic | 52,341 | 51,231 | 52,177 | 50,986 |
Diluted | 52,341 | 52,138 | 52,177 | 52,006 |
Condensed Consolidated Stateme5
Condensed Consolidated Statement of Stockholders' Equity - 6 months ended Jun. 30, 2017 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid in Capital [Member] | (Accumulated Deficit) Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Noncontrolling Interest [Member] |
Beginning Balance at Dec. 31, 2016 | $ 158,876 | $ 515 | $ 159,474 | $ 752 | $ (2,910) | $ 1,045 |
Beginning Balance, Shares at Dec. 31, 2016 | 51,477 | |||||
Total comprehensive (loss) income | (3,202) | (3,474) | 336 | (64) | ||
Cumulative effect of new accounting principles adopted | 67 | (1,278) | 1,345 | |||
Stock compensation | 581 | 581 | ||||
Extinguishment of convertible note options, net of tax | (359) | (359) | ||||
Surrender of shares to cover minimum withholding taxes on stock-based compensation | (599) | (599) | ||||
Issuance of common stock, pursuant to stock plans, $.01 par | 119 | $ 9 | 110 | |||
Issuance of common stock, pursuant to stock plans, $.01 par, Shares | 958 | |||||
Ending Balance at Jun. 30, 2017 | $ 155,483 | $ 524 | $ 157,929 | $ (1,377) | $ (2,574) | $ 981 |
Ending Balance, Shares at Jun. 30, 2017 | 52,435 |
Condensed Consolidated Stateme6
Condensed Consolidated Statement of Stockholders' Equity (Parenthetical) - $ / shares | Jun. 30, 2017 | Dec. 31, 2016 |
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, 2017 | Jun. 30, 2016 | |
Cash Flows from Operating Activities: | ||
Net (loss) income | $ (3,538) | $ 336 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||
Depreciation and amortization | 17,931 | 17,160 |
Loss on disposal of assets, net | 33 | 152 |
Amortization of debt issuance costs and debt discount | 1,537 | 2,021 |
Loss on extinguishment of debt | 7,434 | 336 |
Amortization of deferred capacity revenue | (1,717) | (1,702) |
Stock-based compensation | 581 | 1,447 |
Deferred income tax (benefit) expense | (1,466) | 495 |
Tax deficiencies from share-based payments | (51) | |
Charge for uncollectible accounts | 1,633 | 77 |
Other non-cash expense, net | 288 | 414 |
Income taxes payable (receivable) | 574 | (722) |
Changes in operating assets and liabilities | (6,225) | (1,077) |
Net cash provided by operating activities | 17,065 | 18,886 |
Cash Flows from Investing Activities: | ||
Capital expenditures | (10,522) | (13,662) |
Capitalized interest | (463) | (548) |
Change in unsettled capital expenditures | (2,043) | (9,156) |
Proceeds on sale of assets | 4 | 2,663 |
Net cash used by investing activities | (13,024) | (20,703) |
Cash Flows from Financing Activities: | ||
Repayments of long-term debt | (174,013) | (11,486) |
Proceeds from the issuance of long-term debt | 183,000 | |
Debt issuance costs and discounts | (5,508) | (44) |
Cash paid for debt extinguishment | (5,279) | (150) |
Cash proceeds from noncontrolling interest | 75 | |
Payment of withholding taxes on stock-based compensation | (599) | (472) |
Proceeds from the issuance of common stock | 119 | 128 |
Net cash used by financing activities | (2,280) | (11,949) |
Change in cash, cash equivalents and restricted cash | 1,761 | (13,766) |
Cash, cash equivalents and restricted cash, beginning of period | 23,145 | 37,825 |
Cash, cash equivalents and restricted cash, end of period | 24,906 | 24,059 |
Supplemental Cash Flow Data: | ||
Interest paid | 7,595 | 6,359 |
Income taxes (refunded) paid, net | $ (572) | $ 577 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Alaska Communications Systems Group, Inc. (“we”, “our”, “us”, the “Company” and “Alaska Communications”), a Delaware corporation, through its operating subsidiaries, provides broadband telecommunication and managed information technology (“IT”) 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”) • ACS of Alaska, LLC (“ACSAK”) • ACS of the Northland, LLC (“ACSN”) • ACS of Fairbanks, LLC (“ACSF”) • ACS of Anchorage, LLC (“ACSA”) • ACS Wireless, Inc. (“ACSW”) • ACS Long Distance, LLC (“ACSLD”) • Alaska Communications Internet, LLC (“ACSI”) • ACS Messaging, Inc. (“ACSM”) • ACS Cable Systems, LLC (“ACSC”) • Crest Communications Corporation • WCI Cable, Inc. • WCIC Hillsboro, LLC • Alaska Northstar Communications, LLC • WCI LightPoint, LLC • WorldNet Communications, Inc. • Alaska Fiber Star, LLC • TekMate, LLC (“TekMate”) In addition to the wholly-owned subsidiaries, the Company has a fifty percent interest in ACS-Quintillion Joint Venture Basis of Presentation The accompanying unaudited condensed consolidated financial statements and notes included in this Quarterly Report on Form 10-Q 10-K 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 percent ownership interest in the joint venture as a noncontrolling interest. See Note 2 “ 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 (loss) income and cash flows for all periods presented. Comprehensive loss for the three and six months ended June 30, 2017, is not necessarily indicative of comprehensive (loss) income which might be expected for the entire year or any other interim periods. The balance sheet at December 31, 2016 has been derived from the audited financial statements as of that date but does not include all information and notes required by GAAP for complete financial statements. Certain reclassifications have been made to the prior year financial statements to conform to the current year presentation. 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. Recently Adopted Accounting Pronouncements In the first quarter of 2017, the Company adopted ASU No. 2016-09, Compensation – Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting 2016-09”). 2016-09 2016-09 six-month Stock Incentive Plans Income Taxes In August 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments 2016-15”). zero-coupon 2016-15 2016-15 2016-15, 2016-15 In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230), Restricted Cash 2016-18”). 2016-18 2016-18 2016-18 Supplemental Cash Flow Information Accounting Pronouncements Issued Not Yet Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) 2014-09”). 2014-09 2014-09 2014-09 In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) 2016-02”). 2016-02 right-of-use 2016-02 2016-02 2016-02 In March 2017, the FASB issued ASU No. 2017-07, Compensation – Retirement Benefits (Topic 715) 2017-07”). 2017-07 2017-07 2017-07 2017-07 In May 2017, the FASB issued ASU No. 2017-09, Compensation – Stock Compensation (Topic 718) 2017-09”). 2017-09 2017-09 classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. ASU 2017-09 2017-09 |
Joint Venture
Joint Venture | 6 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Joint Venture | 2. JOINT VENTURE In the second quarter of 2015, the Company entered into a series of transactions including the acquisition of a fiber optic network on the North Slope of Alaska and the establishment of a joint venture with QHL. The network enables commercially-available, high-speed connectivity where only high-cost microwave and satellite communications was previously available. Through the Alaska Communications and QHL joint venture, this network has been made available to other telecom carriers in the market. Acquisition of Fiber Optic Network The Company, through its wholly-owned subsidiary ACS Cable Systems, LLC, acquired a fiber optic cable system (including conduit, licenses, permits and right-of-ways) 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 to the Company by QHL at closing and the balance of which was paid on March 31, 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 in-field The Company determined that the Joint Venture is a Variable Interest Entity as defined in ASC 810, “ Consolidation The table below provides certain financial information about the Joint Venture included on the Company’s consolidated balance sheet at June 30, 2017 and December 31, 2016. Cash may be utilized only to settle obligations of the Joint Venture. Because the Joint Venture is an LLC, its creditors do not have recourse to the general credit of the Company. 2017 2016 Cash $ 67 $ 67 Fiber and IRUs, net of accumulated depreciation of $161 and $112 $ 1,980 $ 2,029 The operating results and cash flows of the Joint Venture in the three and six-month |
Fair Value Measurements and Der
Fair Value Measurements and Derivative Financial Instruments | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Derivative Financial Instruments | 3. FAIR VALUE MEASUREMENTS AND DERIVATIVE FINANCIAL INSTRUMENTS Fair Value Measurements The Company has developed valuation techniques based upon observable and unobservable inputs to calculate the fair value of non-current • Level 1- • Level 2- • Level 3- 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 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 estimated fair value of the Company’s 6.25% Convertible Notes due 2018 (“6.25% Notes”) Notes of $9,913 at June 30, 2017, was estimated based on quoted market prices for identical instruments on dates different from the market trade date value (Level 2). The carrying value of the 6.25% Notes at June 30, 2017 was $9,913. The estimated fair value and carrying value of the Company’s 6.25% Notes was $91,729 at December 31, 2016. The carrying values of the Company’s senior credit facilities and other long-term obligations of $180,956 and $90,075 at June 30, 2017 and December 31, 2016, respectively, approximate fair value primarily as a result of the stated interest rates of the 2017 Senior Credit Facility and 2015 Senior Credit Facilities approximating current market rates (Level 2). The following table presents the Company’s financial liabilities measured at fair value on a recurring basis as of June 30, 2017 and December 31, 2016, at each hierarchical level: June 30, 2017 December 31, 2016 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Other assets: Interest rate swaps $ 126 $ — $ 126 $ — $ — $ — $ — $ — Other long-term liabilities: Interest rate swaps $ — $ — $ — $ — $ 100 $ — $ 100 $ — Derivative Financial Instruments The Company currently uses interest rate swaps to manage variable interest rate risk. At low LIBOR rates, payments under the swaps increase 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, and are valued using models based on readily observable market parameters for all substantial terms of the contracts. Under the terms of the 2017 Senior Credit Facility, the Company was required enter into or obtain an interest rate hedge sufficient to effectively fix or limit the interest rate on borrowings under the Agreement of a minimum of $90,000 with a weighted average life of at least two years within ninety days of March 28, 2017. Subsequent to repayment of the principal amounts outstanding under its 2015 Senior Credit Facilities on March 28, 2017, the Company redesignated its existing pay-fixed, pay-fixed, Long-Term Obligations Accumulated Other Comprehensive Loss. The Company’s two interest rate swaps at June 30, 2017 are with the same counterparty, are hedges of the same variable rate borrowing instrument and are subject to a master netting arrangement. The fair value of the two derivatives has been reported on a net basis on the balance sheet at June 30, 2017. The following table provides a gross presentation, the effects of offsetting, and the net presentation of these derivative instruments as of June 30,2017. The net amount of the derivative asset can be reconciled to the fair value disclosures. Gross Amount Gross Amount Net Amount Other assets $ 137 $ (11 ) $ 126 Other long-term liabilities $ 11 $ (11 ) $ — The following table presents the notional amount, fair value and balance sheet classification of the Company’s derivative financial instruments designated as cash flow hedges as of June 30, 2017 and December, 31, 2016: Balance Sheet Location Notional Fair At June 30, 2017: Interest rate swaps Other assets $ 90,000 $ 126 At December 31, 2016: Interest rate swaps Other long-term liabilities $ 42,750 $ 100 The following table presents gains and losses before income taxes on the Company’s interest rate swaps designated as cash flow hedges for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Gain (loss) recognized in accumulated other comprehensive loss $ 131 $ (49 ) $ 156 $ (174 ) Loss reclassified from accumulated other comprehensive loss (24 ) (26 ) (49 ) (53 ) Gain recognized in interest expense (ineffective portion and amount excluded from effectiveness testing) — — — — |
Accounts Receivable
Accounts Receivable | 6 Months Ended |
Jun. 30, 2017 | |
Receivables [Abstract] | |
Accounts Receivable | 4. ACCOUNTS RECEIVABLE Accounts receivable, net, consists of the following at June 30, 2017 and December 31, 2016: 2017 2016 Retail customers $ 15,210 $ 17,511 Wholesale carriers 5,086 4,293 Other 4,309 4,373 24,605 26,177 Less: allowance for doubtful accounts (2,365 ) (1,115 ) Accounts receivable, net $ 22,240 $ 25,062 The following table summarizes the change in the allowance for doubtful accounts for the six-month 2017 Balance at January 1 $ 1,115 Provision for uncollectible accounts 1,633 Charged to other accounts — Deductions (383 ) Balance at June 30 $ 2,365 On April 10, 2017, the Universal Service Administrative Company (“USAC”), which administers the Federal Communications Commission’s (“FCC”) rural health care universal service support mechanism, confirmed that demand for rural health care support had exceeded the program’s $400 million annual cap in Funding Year 2016, which began July 1, 2016 and ended on June 30, 2017. As a result, USAC announced that applicants that filed successful funding requests between September 1 and November 30, 2016 would receive 92.5 percent of the funding for which they were otherwise eligible. On June 30, 2017, the FCC issued an order to Alaskan health care providers impacted by the Rural Health Care Program pro-ration, |
Current Liabilities
Current Liabilities | 6 Months Ended |
Jun. 30, 2017 | |
Payables and Accruals [Abstract] | |
Current Liabilities | 5. CURRENT LIABILITIES Accounts payable, accrued and other current liabilities consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 Accrued payroll, benefits, and related liabilities $ 10,836 $ 14,395 Accounts payable - trade 9,940 13,782 Deferred capacity and other revenue 5,432 4,502 Accrued interest on long-term obligations 160 1,026 Other 4,549 4,475 $ 30,917 $ 38,180 Advance billings and customer deposits consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 Advance billings $ 4,319 $ 4,136 Customer deposits 32 31 $ 4,351 $ 4,167 |
Long-Term Obligations
Long-Term Obligations | 6 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Long-Term Obligations | 6. LONG-TERM OBLIGATIONS Long-term obligations consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 2017 senior secured credit facility due 2023 $ 180,000 $ — Debt discount (3,000 ) — Debt issuance costs (3,176 ) — 2015 senior secured credit facilities due 2018 — 86,750 Debt issuance costs — (1,738 ) 6.25% convertible notes due 2018 10,044 94,000 Debt discount (131 ) (2,271 ) Debt issuance costs (27 ) (467 ) Capital leases and other long-term obligations 3,956 3,325 187,666 179,599 Less current portion (15,958 ) (1,973 ) Long-term obligations, net of current portion $ 171,708 $ 177,626 As of June 30, 2017, the aggregate maturities of long-term obligations were as follows: 2017 (July 1 - December 31) $ 2,602 2018 (January 1 - December 31) 16,880 2019 (January 1 - December 31) 6,639 2020 (January 1 - December 31) 8,902 2021 (January 1 - December 31) 16,267 2022 (January 1 - December 31) 86,483 Thereafter 56,227 $ 194,000 As of June 30, 2017, the Company had no amounts outstanding under the $15,000 revolving facility component of its 2017 Senior Credit Facility. 2017 Senior Credit Facility On March 13, 2017 (the “Closing Date”), the Company entered into a new senior credit facility consisting of a Term A-1 A-2 The Term A-1 The Term A-2 The Company may, at its option, designate a portion of the borrowings under the Term A-1 A-2 The revolving facility provides for borrowings in an aggregate amount outstanding at any one time not to exceed $15,000, including a letter of credit subfacility and swingline subfacility with commitment limitations based on amounts drawn under the revolving facility (collectively the “Revolving Facility”). The Revolving Facility bears interest at LIBOR plus 5.0% per annum, with a LIBOR minimum of 1.0%. The obligations under the 2017 Senior Credit Facility are secured by substantially all of the personal property and certain material real property owned by the Company and its wholly-owned subsidiaries, with certain exceptions. The 2017 Senior Credit Facility contains customary representations, warranties and covenants, including covenants limiting the incurrence of debt, declaring dividends, repurchase of the Company’s common stock, making investments, dispositions, and entering into mergers and acquisitions. Financial covenants (i) impose a maximum net total leverage to consolidated EBITDA ratio; and (ii) require a minimum consolidated EBITDA to fixed charge coverage ratio. The 2017 Senior Credit Facility provides for events of default customary for credit facilities of this type, including non-payment As required under the terms of the 2017 Senior Credit Facility, the Company has entered into interest rate hedges sufficient to effectively fix or limit the interest rate on borrowings under the Agreement of a minimum of $90,000 with a weighted average life of at least two years. See Note 3 “ Fair Value Measurements and Derivative Financial Instruments 2015 Senior Credit Facilities On March 28, 2017, the Company utilized proceeds from the 2017 Senior Credit Facility and cash on hand to repay, in full, the outstanding principal balance of its 2015 Senior Credit Facilities in the amount of $86,750 and accrued interest and fees totaling $1,385. The Company recorded a loss of $2,274 on the extinguishment of debt associated with this transaction, including the write-off 6.25% Convertible Notes Due 2018 On March 17, 2017, the Company issued a tender offer to purchase any and all of its outstanding 6.25% Notes for cash in an amount equal to one thousand twenty-five dollars per one thousand dollars principal amount (the “Tender Offer”). The Tender Offer was subsequently amended to one thousand thirty-seven dollars and fifty cents per one thousand dollars principal amount. Under the terms of the Agreement, proceeds from the Company’s 2017 Senior Credit Facility in the amount of $94,000 must be utilized to fund the Tender Offer, the repurchase, or repayment at maturity of, the 6.25% Notes. The Tender Offer expired on April 14, 2017 and was settled on April 17, 2017. As of the expiration date, $83,956 aggregate principal amount of the 6.25% Notes were validly tendered and not validly withdrawn pursuant to the Tender Offer, and were accepted for purchase by the Company at a purchase price equal to one thousand thirty-seven dollars and fifty cents per one thousand dollars principal amount. The Company settled the Tender Offer on April 17, 2017 for a total of $90,011, including principal of $83,956, accrued interest of $2,420, the premium of $3,148 and fees of $487. Settlement was funded with restricted cash of $83,956 and other cash on hand of $6,055. The Company recorded a loss on the extinguishment of this debt of $5,160 in the second quarter of 2017. Following settlement, 6.25% Notes in the aggregate principal amount of $10,044 remained outstanding. The purchase or settlement at maturity of the remaining 6.25% Notes will be funded, in part, with restricted cash of $10,044 designated for this purpose. |
Other Long-Term Liabilities
Other Long-Term Liabilities | 6 Months Ended |
Jun. 30, 2017 | |
Payables and Accruals [Abstract] | |
Other Long-Term Liabilities | 7. OTHER LONG-TERM LIABILITIES Other long-term liabilities consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 Deferred GCI capacity revenue, net of current portion $ 34,228 $ 35,255 Other deferred IRU capacity revenue, net of current portion 17,274 15,697 Other deferred revenue, net of current portion 1,346 2,202 Other 8,101 8,384 $ 60,949 $ 61,538 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jun. 30, 2017 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | 8. ACCUMULATED OTHER COMPREHENSIVE LOSS The following table summarizes the activity in accumulated other comprehensive loss for the six-month Defined Interest Total Balance at December 31, 2016 $ (2,875 ) $ (35 ) $ (2,910 ) Other comprehensive income before reclassifications 34 91 125 Reclassifications from accumulated comprehensive loss to net income 182 29 211 Net other comprehensive income 216 120 336 Balance at June 30, 2017 $ (2,659 ) $ 85 $ (2,574 ) The following table summarizes the reclassifications from accumulated other comprehensive loss to net (loss) income for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Amortization of defined benefit plan pension items: Amortization of loss $ 154 $ 217 $ 308 $ 434 Income tax effect (63 ) (89 ) (126 ) (178 ) After tax 91 128 182 256 Amortization of loss on interest rate swap: Reclassification to interest expense 24 26 49 53 Income tax effect (10 ) (11 ) (20 ) (22 ) After tax 14 15 29 31 Total reclassifications, net of income tax $ 105 $ 143 $ 211 $ 287 Amounts reclassified to net (loss) income from our defined benefit pension plan and interest rate swaps have been presented within “Selling, general and administrative expenses” and “Interest expense,” respectively, in the Condensed Consolidated Statements of Comprehensive (Loss) Income. The estimated amount of accumulated other comprehensive loss to be reclassified to interest expense within the next twelve months is $62. See Note 3 “ Fair Value Measurements and Derivative Financial Instruments |
Stock Incentive Plans
Stock Incentive Plans | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Incentive Plans | 9. 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 Prior to 2017, the Company’s stock-based compensation expense reflected an estimate of forfeited share-based awards. Upon the adoption of ASU 2016-09 six-month Summary of Significant Accounting Policies The following table summarizes the restricted stock unit, long-term incentive award and non-employee six-month Number Weighted Value Nonvested at December 31, 2016 1,414 $ 1.79 Granted 70 2.01 Vested (737 ) 1.83 Canceled or expired — — Nonvested at June 30, 2017 747 $ 1.77 The following table summarizes the performance share unit activity for the six-month Number Weighted Value Nonvested at December 31, 2016 1,334 $ 1.77 Granted — — Vested (532 ) 1.78 Canceled or expired (19 ) 1.81 Nonvested at June 30, 2017 783 $ 1.76 The following table provides selected information about the Company’s share-based compensation as of and for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Total compensation cost for share-based payments $ (29 ) $ 642 $ 581 $ 1,447 Weighted average grant-date fair value of equity instruments granted (per share) $ 2.20 $ 1.70 $ 1.81 $ 1.74 Total fair value of shares vested during the period $ 140 $ 70 $ 2,286 $ 1,884 At June 30: Unamortized share-based payments $ 807 $ 2,586 Weighted average period (in years) to be recognized as expense 1.3 1.6 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. INCOME TAXES The Company adopted ASU 2016-09 2016-09, six-month six-month paid-in 2016-09 six-month Summary of Significant Accounting Policies The Company’s income tax benefit of $632 and $1,464 and effective income tax rate of 18.3% and 29.3% in the three and six-month periods ended June 30, 2017 reflect the impact of permanent book to tax differences. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2017 | |
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 attributable to Alaska Communications 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 restricted stock granted to employees and deferred shares granted to directors. The Company includes dilutive stock options based on the “treasury stock method.” Effective in 2015, the Company discontinued use of the “if converted” method in calculating diluted earnings per share in connection with its contingently convertible debt. Accordingly, 2,502 and 5,714 shares related to the 6.25% Notes have been excluded from the calculation of diluted earnings per share for the three and six-month six-month six-month The calculation of basic and diluted earnings per share for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Net (loss) income attributable to Alaska Communications $ (2,798 ) $ 317 $ (3,474 ) $ 403 Weighted average common shares outstanding: Basic shares 52,341 51,231 52,177 50,986 Effect of stock-based compensation — 907 — 1,020 Diluted shares 52,341 52,138 52,177 52,006 Net (loss) income per share attributable to Alaska Communications: Basic $ (0.05 ) $ 0.01 $ (0.07 ) $ 0.01 Diluted $ (0.05 ) $ 0.01 $ (0.07 ) $ 0.01 |
Retirement Plans
Retirement Plans | 6 Months Ended |
Jun. 30, 2017 | |
Retirement Benefits [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, 2017, 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 Three Months Ended Six Months Ended 2017 2016 2017 2016 Interest cost $ 156 $ 168 $ 312 $ 335 Expected return on plan assets (185 ) (181 ) (370 ) (362 ) Amortization of loss 183 230 366 461 Net periodic pension expense $ 154 $ 217 $ 308 $ 434 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | 13. SUPPLEMENTAL CASH FLOW INFORMATION The Company adopted ASU 2016-15, 2016-15 Summary of Significant Accounting Policies The Company adopted ASU 2016-18 2016-18 2016-18 six-month stand-by 2016-18. Summary of Significant Accounting Policies Restricted cash of $11,924 at June 30, 2017 consisted of $10,044 to fund the purchase or settlement at maturity of the Company’s 6.25% Notes, and certificates of deposit of $1,880 required under the terms of certain contracts to which the Company is a party. Restricted cash of $1,917 at December 31, 2016 consisted of certificates of deposit as described above. The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the statement of financial position at June 30, 2017 and 2016 that sum to the total of these items reported in the statement of cash flows: June 30, 2017 2016 Cash and cash equivalents $ 12,982 $ 22,248 Restricted cash 11,924 1,811 Total cash, cash equivalents and restricted cash $ 24,906 $ 24,059 The following table presents supplemental non-cash six-month 2017 2016 Supplemental Non-cash Capital expenditures incurred but not paid at June 30 $ 1,506 $ 2,536 Property acquired under capital leases $ 1,078 $ — Additions to ARO asset $ 186 $ 141 |
Business Segments
Business Segments | 6 Months Ended |
Jun. 30, 2017 | |
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, 2017 | |
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 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 $668 at June 30, 2017 against certain current claims and legal actions. The Company also faces contingencies that are reasonably possible to occur that cannot currently be estimated. The Company believes that the disposition of these matters will not have a material adverse effect on the Company’s consolidated financial position, comprehensive income or cash flows. It is the Company’s policy to expense costs associated with loss contingencies, including any related legal fees, as they are incurred. |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements and notes included in this Quarterly Report on Form 10-Q 10-K 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 percent ownership interest in the joint venture as a noncontrolling interest. See Note 2 “ 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 (loss) income and cash flows for all periods presented. Comprehensive loss for the three and six months ended June 30, 2017, is not necessarily indicative of comprehensive (loss) income which might be expected for the entire year or any other interim periods. The balance sheet at December 31, 2016 has been derived from the audited financial statements as of that date but does not include all information and notes required by GAAP for complete financial statements. Certain reclassifications have been made to the prior year financial statements to conform to the current year presentation. |
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. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In the first quarter of 2017, the Company adopted ASU No. 2016-09, Compensation – Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting 2016-09”). 2016-09 2016-09 six-month Stock Incentive Plans Income Taxes In August 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments 2016-15”). zero-coupon 2016-15 2016-15 2016-15, 2016-15 In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230), Restricted Cash 2016-18”). 2016-18 2016-18 2016-18 Supplemental Cash Flow Information |
Accounting Pronouncements Issued Not Yet Adopted | Accounting Pronouncements Issued Not Yet Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) 2014-09”). 2014-09 2014-09 2014-09 In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) 2016-02”). 2016-02 right-of-use 2016-02 2016-02 2016-02 In March 2017, the FASB issued ASU No. 2017-07, Compensation – Retirement Benefits (Topic 715) 2017-07”). 2017-07 2017-07 2017-07 2017-07 In May 2017, the FASB issued ASU No. 2017-09, Compensation – Stock Compensation (Topic 718) 2017-09”). 2017-09 2017-09 classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. ASU 2017-09 2017-09 |
Joint Venture (Tables)
Joint Venture (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Certain Financial Information about Joint Venture Included on Company's Consolidated Balance Sheet | The table below provides certain financial information about the Joint Venture included on the Company’s consolidated balance sheet at June 30, 2017 and December 31, 2016. Cash may be utilized only to settle obligations of the Joint Venture. Because the Joint Venture is an LLC, its creditors do not have recourse to the general credit of the Company. 2017 2016 Cash $ 67 $ 67 Fiber and IRUs, net of accumulated depreciation of $161 and $112 $ 1,980 $ 2,029 |
Fair Value Measurements and D25
Fair Value Measurements and Derivative Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Financial Liabilities Measured at Fair Value on Recurring Basis | The following table presents the Company’s financial liabilities measured at fair value on a recurring basis as of June 30, 2017 and December 31, 2016, at each hierarchical level: June 30, 2017 December 31, 2016 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Other assets: Interest rate swaps $ 126 $ — $ 126 $ — $ — $ — $ — $ — Other long-term liabilities: Interest rate swaps $ — $ — $ — $ — $ 100 $ — $ 100 $ — |
Summary of Gross Presentation, Effects of Offsetting and Net Presentation of Derivative Instruments | The following table provides a gross presentation, the effects of offsetting, and the net presentation of these derivative instruments as of June 30,2017. The net amount of the derivative asset can be reconciled to the fair value disclosures. Gross Amount Gross Amount Net Amount Other assets $ 137 $ (11 ) $ 126 Other long-term liabilities $ 11 $ (11 ) $ — |
Schedule of Derivative Financial Instruments Designated as Cash Flow Hedges | The following table presents the notional amount, fair value and balance sheet classification of the Company’s derivative financial instruments designated as cash flow hedges as of June 30, 2017 and December, 31, 2016: Balance Sheet Location Notional Fair At June 30, 2017: Interest rate swaps Other assets $ 90,000 $ 126 At December 31, 2016: Interest rate swaps Other long-term liabilities $ 42,750 $ 100 |
Schedule of Gains and Losses Before Income Taxes Recognized on Interest Rate Swaps Designated as Cash Flow Hedges | The following table presents gains and losses before income taxes on the Company’s interest rate swaps designated as cash flow hedges for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Gain (loss) recognized in accumulated other comprehensive loss $ 131 $ (49 ) $ 156 $ (174 ) Loss reclassified from accumulated other comprehensive loss (24 ) (26 ) (49 ) (53 ) Gain recognized in interest expense (ineffective portion and amount excluded from effectiveness testing) — — — — |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Allowance for Doubtful Accounts [Member] | |
Schedule of Accounts Receivable and Allowance for Doubtful Accounts | The following table summarizes the change in the allowance for doubtful accounts for the six-month 2017 Balance at January 1 $ 1,115 Provision for uncollectible accounts 1,633 Charged to other accounts — Deductions (383 ) Balance at June 30 $ 2,365 |
Non-affiliates [Member] | |
Schedule of Accounts Receivable and Allowance for Doubtful Accounts | Accounts receivable, net, consists of the following at June 30, 2017 and December 31, 2016: 2017 2016 Retail customers $ 15,210 $ 17,511 Wholesale carriers 5,086 4,293 Other 4,309 4,373 24,605 26,177 Less: allowance for doubtful accounts (2,365 ) (1,115 ) Accounts receivable, net $ 22,240 $ 25,062 |
Current Liabilities (Tables)
Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable, Accrued and Other Current Liabilities | Accounts payable, accrued and other current liabilities consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 Accrued payroll, benefits, and related liabilities $ 10,836 $ 14,395 Accounts payable - trade 9,940 13,782 Deferred capacity and other revenue 5,432 4,502 Accrued interest on long-term obligations 160 1,026 Other 4,549 4,475 $ 30,917 $ 38,180 |
Schedule of Advance Billings and Customer Deposits | Advance billings and customer deposits consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 Advance billings $ 4,319 $ 4,136 Customer deposits 32 31 $ 4,351 $ 4,167 |
Long-Term Obligations (Tables)
Long-Term Obligations (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Obligations | Long-term obligations consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 2017 senior secured credit facility due 2023 $ 180,000 $ — Debt discount (3,000 ) — Debt issuance costs (3,176 ) — 2015 senior secured credit facilities due 2018 — 86,750 Debt issuance costs — (1,738 ) 6.25% convertible notes due 2018 10,044 94,000 Debt discount (131 ) (2,271 ) Debt issuance costs (27 ) (467 ) Capital leases and other long-term obligations 3,956 3,325 187,666 179,599 Less current portion (15,958 ) (1,973 ) Long-term obligations, net of current portion $ 171,708 $ 177,626 |
Schedule of Aggregate Maturities of Long-term Obligations | As of June 30, 2017, the aggregate maturities of long-term obligations were as follows: 2017 (July 1 - December 31) $ 2,602 2018 (January 1 - December 31) 16,880 2019 (January 1 - December 31) 6,639 2020 (January 1 - December 31) 8,902 2021 (January 1 - December 31) 16,267 2022 (January 1 - December 31) 86,483 Thereafter 56,227 $ 194,000 |
Other Long-Term Liabilities (Ta
Other Long-Term Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Payables and Accruals [Abstract] | |
Summary of Other Long-Term Liabilities | Other long-term liabilities consist of the following at June 30, 2017 and December 31, 2016: 2017 2016 Deferred GCI capacity revenue, net of current portion $ 34,228 $ 35,255 Other deferred IRU capacity revenue, net of current portion 17,274 15,697 Other deferred revenue, net of current portion 1,346 2,202 Other 8,101 8,384 $ 60,949 $ 61,538 |
Accumulated Other Comprehensi30
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
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 Defined Interest Total Balance at December 31, 2016 $ (2,875 ) $ (35 ) $ (2,910 ) Other comprehensive income before reclassifications 34 91 125 Reclassifications from accumulated comprehensive loss to net income 182 29 211 Net other comprehensive income 216 120 336 Balance at June 30, 2017 $ (2,659 ) $ 85 $ (2,574 ) |
Summary of Reclassifications from Accumulated Other Comprehensive Loss to Net (Loss) Income | The following table summarizes the reclassifications from accumulated other comprehensive loss to net (loss) income for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Amortization of defined benefit plan pension items: Amortization of loss $ 154 $ 217 $ 308 $ 434 Income tax effect (63 ) (89 ) (126 ) (178 ) After tax 91 128 182 256 Amortization of loss on interest rate swap: Reclassification to interest expense 24 26 49 53 Income tax effect (10 ) (11 ) (20 ) (22 ) After tax 14 15 29 31 Total reclassifications, net of income tax $ 105 $ 143 $ 211 $ 287 |
Stock Incentive Plans (Tables)
Stock Incentive Plans (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
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 six-month Number Weighted Value Nonvested at December 31, 2016 1,414 $ 1.79 Granted 70 2.01 Vested (737 ) 1.83 Canceled or expired — — Nonvested at June 30, 2017 747 $ 1.77 |
Summary of Activity for Performance Share Units | The following table summarizes the performance share unit activity for the six-month Number Weighted Value Nonvested at December 31, 2016 1,334 $ 1.77 Granted — — Vested (532 ) 1.78 Canceled or expired (19 ) 1.81 Nonvested at June 30, 2017 783 $ 1.76 |
Share-Based Compensation | The following table provides selected information about the Company’s share-based compensation as of and for the three and six-month Three Months Ended Six Months Ended 2017 2016 2017 2016 Total compensation cost for share-based payments $ (29 ) $ 642 $ 581 $ 1,447 Weighted average grant-date fair value of equity instruments granted (per share) $ 2.20 $ 1.70 $ 1.81 $ 1.74 Total fair value of shares vested during the period $ 140 $ 70 $ 2,286 $ 1,884 At June 30: Unamortized share-based payments $ 807 $ 2,586 Weighted average period (in years) to be recognized as expense 1.3 1.6 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
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 Three Months Ended Six Months Ended 2017 2016 2017 2016 Net (loss) income attributable to Alaska Communications $ (2,798 ) $ 317 $ (3,474 ) $ 403 Weighted average common shares outstanding: Basic shares 52,341 51,231 52,177 50,986 Effect of stock-based compensation — 907 — 1,020 Diluted shares 52,341 52,138 52,177 52,006 Net (loss) income per share attributable to Alaska Communications: Basic $ (0.05 ) $ 0.01 $ (0.07 ) $ 0.01 Diluted $ (0.05 ) $ 0.01 $ (0.07 ) $ 0.01 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Retirement Benefits [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 Three Months Ended Six Months Ended 2017 2016 2017 2016 Interest cost $ 156 $ 168 $ 312 $ 335 Expected return on plan assets (185 ) (181 ) (370 ) (362 ) Amortization of loss 183 230 366 461 Net periodic pension expense $ 154 $ 217 $ 308 $ 434 |
Supplemental Cash Flow Inform34
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Summary of Reconciliation of Cash and Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the statement of financial position at June 30, 2017 and 2016 that sum to the total of these items reported in the statement of cash flows: June 30, 2017 2016 Cash and cash equivalents $ 12,982 $ 22,248 Restricted cash 11,924 1,811 Total cash, cash equivalents and restricted cash $ 24,906 $ 24,059 |
Schedule of Supplemental Non-Cash Transaction and Nonmonetary Exchange Information | The following table presents supplemental non-cash six-month 2017 2016 Supplemental Non-cash Capital expenditures incurred but not paid at June 30 $ 1,506 $ 2,536 Property acquired under capital leases $ 1,078 $ — Additions to ARO asset $ 186 $ 141 |
Summary of Significant Accoun35
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | Apr. 02, 2015 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2017 | Jun. 30, 2016 |
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in joint venture | 50.00% | ||||
Excess tax expense from share-based payments | $ 51 | ||||
ASU 2016-09 [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Adjustments for new accounting pronouncement | $ 1,441 | ||||
Excess tax expense from share-based payments | 51 | ||||
Noncontrolling Interest [Member] | Quintillion Holdings, LLC [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in joint venture | 50.00% | ||||
Additional Paid in Capital [Member] | ASU 2016-09 [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Adjustments for new accounting pronouncement | 163 | ||||
(Accumulated Deficit) Retained Earnings [Member] | ASU 2016-09 [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Adjustments for new accounting pronouncement | 96 | ||||
Income tax effect of retained earnings | $ 67 | ||||
ACS Cable Systems LLC and Quintillion Holdings, LLC Joint Venture [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Percentage ownership interest in joint venture | 50.00% | 50.00% |
Joint Venture - Additional Info
Joint Venture - Additional Information (Detail) - USD ($) | Apr. 07, 2016 | Mar. 31, 2016 | Apr. 02, 2015 | Jun. 30, 2016 | Mar. 31, 2016 | Jun. 30, 2017 |
Investment [Line Items] | ||||||
Additional Contribution to Joint Venture | $ 75,000 | $ 461,000 | ||||
Voting interest in joint venture | 50.00% | |||||
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] | IRU [Member] | ||||||
Investment [Line Items] | ||||||
Contribution to Joint Venture | 922,000 | |||||
Additional Contribution to Joint Venture | 461,000 | |||||
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 | |||||
Additional Contribution to Joint Venture | $ 75,000 | |||||
Quintillion Holdings, LLC [Member] | IRU [Member] | ||||||
Investment [Line Items] | ||||||
Contribution to Joint Venture | 922,000 | |||||
Cash Contribution to Joint Venture | $ 250,000 | |||||
ACS Cable Systems LLC and Quintillion Holdings, LLC Joint Venture [Member] | ||||||
Investment [Line Items] | ||||||
Voting interest in joint venture | 50.00% | 50.00% | ||||
ACS Cable Systems LLC and Quintillion Holdings, LLC Joint Venture [Member] | Quintillion Holdings, LLC [Member] | ||||||
Investment [Line Items] | ||||||
Voting interest in joint venture | 50.00% | |||||
Fiber Optic Network [Member] | ||||||
Investment [Line Items] | ||||||
Purchase price of fiber strand optic cable | $ 11,000,000 | |||||
Purchase price paid at closing | $ 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 a fiber optic cable system (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"). | |||||
Term of indefeasible right of use | 30 years | |||||
Sale price of indefeasible right of use of fibers to CPAI | $ 400,000 |
Joint Venture - Schedule of Cer
Joint Venture - Schedule of Certain Financial Information about Joint Venture Included on Company's Consolidated Balance Sheet (Detail) - Carrying Values [Member] - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Investment [Line Items] | ||
Cash | $ 67 | $ 67 |
Fiber and IRUs, net of accumulated depreciation of $161 and $112 | $ 1,980 | $ 2,029 |
Joint Venture - Schedule of C38
Joint Venture - Schedule of Certain Financial Information about Joint Venture Included on Company's Consolidated Balance Sheet (Parenthetical) (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Carrying Values [Member] | ||
Investment [Line Items] | ||
Accumulated depreciation of IRU Assets, net | $ 161 | $ 112 |
Fair Value Measurements and D39
Fair Value Measurements and Derivative Financial Instruments - Additional Information (Detail) - USD ($) | 6 Months Ended | ||||||
Jun. 30, 2017 | Jun. 14, 2017 | Apr. 14, 2017 | Mar. 31, 2017 | Mar. 28, 2017 | Mar. 17, 2017 | Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Interest rate of convertible notes | 6.25% | ||||||
Long-term obligations | $ 187,666,000 | $ 179,599,000 | |||||
Interest rate of floating-to-fixed interest rate swaps | 6.49425% | ||||||
LIBOR spread | 5.00% | ||||||
Expiration Date | Jun. 28, 2019 | ||||||
Interest Rate Swaps [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Interest rate swap, notional amount | $ 48,635,000 | $ 42,058,000 | |||||
Interest rate swap, accreted notional amount | $ 90,000,000 | ||||||
Estimated Value [Member] | Level 2 [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Fair value of long-term obligations | $ 9,913,000 | 91,729,000 | |||||
Senior Credit Facilities and Other Long-Term Obligations [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Long-term obligations | 180,956,000 | 90,075,000 | |||||
2017 Senior Credit Facility [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Debt instrument covenants minimum borrowing | $ 90,000,000 | ||||||
Weighted average life of senior credit facility | 2 years | ||||||
6.25% Convertible Notes Due 2018 [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Interest rate of convertible notes | 6.25% | 6.25% | 6.25% | 6.25% | |||
Long-term obligations | $ 9,913,000 | $ 91,729,000 | |||||
2015 Senior Secured Credit Facilities Due 2018 [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Interest rate of floating-to-fixed interest rate swaps | 6.333% | ||||||
LIBOR spread | 5.00% | ||||||
Expiration Date | Dec. 31, 2017 | ||||||
2015 Senior Secured Credit Facilities Due 2018 [Member] | Interest Rate Swaps [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Interest rate swap, notional amount | $ 41,365,000 |
Fair Value Measurements and D40
Fair Value Measurements and Derivative Financial Instruments - Financial Liabilities Measured at Fair Value on Recurring Basis (Detail) - Interest Rate Swaps [Member] - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | $ 126 | |
Other long-term liabilities | $ 100 | |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | $ 126 | |
Other long-term liabilities | $ 100 |
Fair Value Measurements and D41
Fair Value Measurements and Derivative Financial Instruments - Summary of Gross Presentation, Effects of Offsetting and Net Presentation of Derivative Instruments (Detail) - Interest Rate Swaps [Member] $ in Thousands | Jun. 30, 2017USD ($) |
Derivative [Line Items] | |
Other assets, Gross Amount Recognized | $ 137 |
Other long-term liabilities, Gross Amount Recognized | 11 |
Other assets, Gross Amount Offset on the Balance Sheet | (11) |
Other long-term liabilities, Gross Amount Offset on the Balance Sheet | (11) |
Other assets, Net Amount Presented on the Balance Sheet | 126 |
Other long-term liabilities, Net Amount Presented on the Balance Sheet | $ 0 |
Fair Value Measurements and D42
Fair Value Measurements and Derivative Financial Instruments - Schedule of Derivative Financial Instruments Designated as Cash Flow Hedges (Detail) - Interest Rate Swaps [Member] - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 |
Derivatives, Fair Value [Line Items] | ||
Fair Value | $ 100,000 | |
Designated as Hedging Instrument [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | $ 90,000,000 | |
Fair Value | $ 126,000 | |
Designated as Hedging Instrument [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 42,750,000 | |
Fair Value | $ 100,000 |
Fair Value Measurements and D43
Fair Value Measurements and Derivative Financial Instruments - Schedule of Gains and Losses Before Income Taxes Recognized on Interest Rate Swaps Designated as Cash Flow Hedges (Detail) - Interest Rate Swaps [Member] - Cash Flow Hedging [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in accumulated other comprehensive loss | $ 131 | $ (49) | $ 156 | $ (174) |
Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss reclassified from accumulated other comprehensive loss | (24) | (26) | (49) | (53) |
Gain recognized in interest expense (ineffective portion and amount excluded from effectiveness testing) | $ 0 | $ 0 | $ 0 | $ 0 |
Accounts Receivable - Schedule
Accounts Receivable - Schedule of Accounts Receivable, Net (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 22,240 | $ 25,062 |
Accounts Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, non-affiliates, gross | 24,605 | 26,177 |
Less: allowance for doubtful accounts | (2,365) | (1,115) |
Accounts receivable, net | 22,240 | 25,062 |
Accounts Receivable [Member] | Retail Customers [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, non-affiliates, gross | 15,210 | 17,511 |
Accounts Receivable [Member] | Wholesale Carriers [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, non-affiliates, gross | 5,086 | 4,293 |
Accounts Receivable [Member] | Other [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, non-affiliates, gross | $ 4,309 | $ 4,373 |
Accounts Receivable - Schedul45
Accounts Receivable - Schedule of Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Provision for uncollectible accounts | $ 1,633 | $ 77 |
Allowance for Doubtful Accounts [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Beginning Balance | 1,115 | |
Provision for uncollectible accounts | 1,633 | |
Charged to other accounts | 0 | |
Deductions | (383) | |
Ending Balance | $ 2,365 |
Accounts Receivable - Additiona
Accounts Receivable - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2017 | Apr. 10, 2017 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of refund available | 92.50% | |
Charge on account receivable | $ 1,102 | |
Accounts Receivable, Net [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Account receivable from customers | $ 4,233 | |
Minimum [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Annual cap of rural health care support | $ 400,000 |
Current Liabilities - Schedule
Current Liabilities - Schedule of Accounts Payable, Accrued and Other Current Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Payables and Accruals [Abstract] | ||
Accrued payroll, benefits, and related liabilities | $ 10,836 | $ 14,395 |
Accounts payable - trade | 9,940 | 13,782 |
Deferred capacity and other revenue | 5,432 | 4,502 |
Accrued interest on long-term obligations | 160 | 1,026 |
Other | 4,549 | 4,475 |
Total accounts payable, accrued and other current liabilities | $ 30,917 | $ 38,180 |
Current Liabilities - Schedul48
Current Liabilities - Schedule of Advance Billings and Customer Deposits (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Advance billings | $ 4,319 | $ 4,136 |
Customer deposits | 32 | 31 |
Advance billings and customer deposits | $ 4,351 | $ 4,167 |
Long-Term Obligations - Schedul
Long-Term Obligations - Schedule of Long-Term Obligations (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Apr. 17, 2017 | Mar. 28, 2017 | Mar. 13, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | |||||
Capital leases and other long-term obligations | $ 3,956 | $ 3,325 | |||
Total debt | 187,666 | 179,599 | |||
Total debt | 187,666 | 179,599 | |||
Less current portion | (15,958) | (1,973) | |||
Long-term obligations, net of current portion | 171,708 | 177,626 | |||
2017 Senior Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term obligations | 180,000 | ||||
Debt instrument unamortized discount | (3,000) | $ (3,172) | |||
Debt issuance costs | (3,176) | ||||
2015 Senior Secured Credit Facilities Due 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term obligations | 86,750 | ||||
Debt issuance costs | (1,738) | ||||
6.25% Convertible Notes Due 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Convertible notes | 10,044 | $ 10,044 | $ 94,000 | 94,000 | |
Debt instrument unamortized discount | (131) | (2,271) | |||
Debt issuance costs | (27) | (467) | |||
Total debt | 9,913 | 91,729 | |||
Total debt | $ 9,913 | $ 91,729 |
Long-Term Obligations - Sched50
Long-Term Obligations - Schedule of Long-Term Obligations (Parenthetical) (Detail) | Apr. 14, 2017 | Jun. 30, 2017 | Mar. 28, 2017 | Mar. 17, 2017 |
Debt Instrument [Line Items] | ||||
Interest rate of convertible notes | 6.25% | |||
2017 Senior Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maturity year of senior secured credit facilities - start | Mar. 13, 2017 | |||
Maturity date | Mar. 13, 2023 | |||
2015 Senior Secured Credit Facilities Due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Maturity year of senior secured credit facilities - start | Sep. 14, 2015 | |||
Maturity date | Mar. 3, 2018 | |||
6.25% Convertible Notes Due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate of convertible notes | 6.25% | 6.25% | 6.25% | 6.25% |
Maturity date | Apr. 14, 2017 | May 1, 2018 |
Long-Term Obligations - Sched51
Long-Term Obligations - Schedule of Aggregate Maturities of Long-term Obligations (Detail) $ in Thousands | Jun. 30, 2017USD ($) |
Debt Disclosure [Abstract] | |
2017 (July 1 - December 31) | $ 2,602 |
2018 (January 1 - December 31) | 16,880 |
2019 (January 1 - December 31) | 6,639 |
2020 (January 1 - December 31) | 8,902 |
2021 (January 1 - December 31) | 16,267 |
2022 (January 1 - December 31) | 86,483 |
Thereafter | 56,227 |
Total | $ 194,000 |
Long-Term Obligations - Additio
Long-Term Obligations - Additional Information (Detail) - 2017 Senior Credit Facility [Member] - USD ($) | Jun. 30, 2017 | Mar. 13, 2017 |
Debt Instrument [Line Items] | ||
Revolving credit facility | $ 15,000,000 | $ 15,000,000 |
Amount outstanding under revolving credit facility | $ 0 |
Long Term Obligations - 2017 Se
Long Term Obligations - 2017 Senior Credit Facilities - Additional Information (Detail) - USD ($) | Apr. 14, 2017 | Mar. 28, 2017 | Mar. 13, 2017 | Jun. 30, 2017 | Apr. 17, 2017 | Mar. 17, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | |||||||
Interest rate of convertible notes | 6.25% | ||||||
2017 Senior Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility | $ 15,000,000 | $ 15,000,000 | |||||
Gross cash proceeds | 176,828,000 | ||||||
Cash on hand | 8,955,000 | ||||||
Fees and expense | $ 6,528,000 | ||||||
Debt discount | 3,172,000 | $ 3,000,000 | |||||
Payment of fees and other expenses | 3,451,000 | ||||||
Maturity date | Mar. 13, 2023 | ||||||
Debt instrument covenants minimum borrowing | $ 90,000,000 | ||||||
Weighted average life of senior credit facility | 2 years | ||||||
2017 Senior Credit Facility [Member] | Term A-1 Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior secured financing | 120,000,000 | ||||||
Quarterly principal payments in fourth quarter of 2017 through the first quarter of 2020 | 1,500,000 | ||||||
Quarterly principal payments in second quarter of 2020 through the first quarter of 2021 | 2,250,000 | ||||||
Quarterly principal payments in second quarter of 2021 through the fourth quarter of 2021 | $ 4,000,000 | ||||||
Maturity date | Mar. 13, 2022 | ||||||
2017 Senior Credit Facility [Member] | Term A-1 Facility [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
LIBOR interest rate | 1.00% | ||||||
2017 Senior Credit Facility [Member] | Term A-1 Facility [Member] | LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate over LIBOR | 5.00% | ||||||
2017 Senior Credit Facility [Member] | Term A-2 Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior secured financing | $ 60,000,000 | ||||||
Maturity date | Mar. 13, 2023 | ||||||
Quarterly principal payments in fourth quarter of 2017 through the first quarter of 2021 | 150,000 | ||||||
Quarterly principal payments in second quarter of 2021 through the fourth quarter of 2022 | $ 600,000 | ||||||
2017 Senior Credit Facility [Member] | Term A-2 Facility [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
LIBOR interest rate | 1.00% | ||||||
2017 Senior Credit Facility [Member] | Term A-2 Facility [Member] | LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate over LIBOR | 7.00% | ||||||
2017 Senior Credit Facility [Member] | Term A-1 Facility and Term A-2 Facility [Member] | Federal Funds Effective Swap Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate over LIBOR | 0.50% | ||||||
2017 Senior Credit Facility [Member] | Term A-1 Facility and Term A-2 Facility [Member] | Alternate Base Rate [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate over LIBOR | 0.00% | ||||||
2017 Senior Credit Facility [Member] | Revolving Credit Facility Loan [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility | $ 15,000,000 | ||||||
2017 Senior Credit Facility [Member] | Revolving Credit Facility Loan [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
LIBOR interest rate | 1.00% | ||||||
2017 Senior Credit Facility [Member] | Revolving Credit Facility Loan [Member] | LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate over LIBOR | 5.00% | ||||||
2015 Senior Secured Credit Facilities Due 2018 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayment of line of credit | 88,135,000 | ||||||
Maturity date | Mar. 3, 2018 | ||||||
6.25% Convertible Notes Due 2018 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Convertible notes | $ 94,000,000 | $ 10,044,000 | $ 10,044,000 | $ 94,000,000 | |||
Interest rate of convertible notes | 6.25% | 6.25% | 6.25% | 6.25% | |||
Fees and expense | $ 487,000 | ||||||
Debt discount | $ 131,000 | $ 2,271,000 | |||||
Payment of fees and other expenses | $ 197,000 | ||||||
Maturity date | Apr. 14, 2017 | May 1, 2018 |
Long Term Obligations - 2015 Se
Long Term Obligations - 2015 Senior Credit Facilities - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 28, 2017 | Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 |
Debt Instrument [Line Items] | ||||
Loss on extinguishment of debt | $ 5,158 | $ 7,434 | $ 336 | |
2010 Senior Credit Facility Term Loan Due 2016 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term obligations | $ 86,750 | |||
Principal amount including accrued interest and fees | 1,385 | |||
Loss on extinguishment of debt | $ 2,274 |
Long Term Obligations - 6.25% C
Long Term Obligations - 6.25% Convertible Notes due 2018 - Additional Information (Detail) - USD ($) | Apr. 17, 2017 | Apr. 14, 2017 | Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | Mar. 28, 2017 | Mar. 17, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||||||||
Interest rate of convertible notes | 6.25% | 6.25% | ||||||
Cash and cash equivalents | $ 12,982,000 | $ 12,982,000 | $ 22,248,000 | $ 21,228,000 | ||||
Loss on extinguishment of debt | $ 5,158,000 | $ 7,434,000 | $ 336,000 | |||||
6.25% Convertible Notes Due 2018 [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, repurchase amount per note | $ 1,025 | |||||||
Debt instrument, repurchased face amount per note | $ 1,000 | |||||||
Interest rate of convertible notes | 6.25% | 6.25% | 6.25% | 6.25% | 6.25% | |||
Proceeds from convertible notes | $ 94,000,000 | |||||||
Principal amount of convertible notes | $ 83,956,000 | |||||||
Maturity date | Apr. 14, 2017 | May 1, 2018 | ||||||
Repayment of notes | $ 90,011,000 | |||||||
Principal | 83,956,000 | |||||||
Accrued interest | 2,420,000 | |||||||
Premium | 3,148,000 | |||||||
Fees | 487,000 | |||||||
Restricted cash and cash equivalents | 83,956,000 | $ 10,044,000 | $ 10,044,000 | |||||
Cash and cash equivalents | 6,055,000 | |||||||
Convertible notes | $ 10,044,000 | 10,044,000 | $ 10,044,000 | $ 94,000,000 | $ 94,000,000 | |||
Loss on extinguishment of debt | $ 5,160,000 |
Other Long-Term Liabilities - S
Other Long-Term Liabilities - Summary of Other Long-Term Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | $ 60,949 | $ 61,538 |
Deferred GCI Capacity Revenue, Net of Current Portion [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | 34,228 | 35,255 |
Other Deferred IRU Capacity Revenue, Net of Current Portion [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | 17,274 | 15,697 |
Other Deferred Revenue, Net of Current Portion [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | 1,346 | 2,202 |
Other Long-Term Liabilities [Member] | ||
Other Long Term Liabilities [Line Items] | ||
Other long-term liabilities | $ 8,101 | $ 8,384 |
Accumulated Other Comprehensi57
Accumulated Other Comprehensive Loss - Summary of Activity in Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | $ (2,910) | |||
Other comprehensive income before reclassifications | 125 | |||
Reclassifications from accumulated comprehensive loss to net income | $ 105 | $ 143 | 211 | $ 287 |
Total other comprehensive income | 199 | $ 122 | 336 | $ 197 |
Ending Balance | (2,574) | (2,574) | ||
Interest Rate Swaps [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (35) | |||
Other comprehensive income before reclassifications | 91 | |||
Reclassifications from accumulated comprehensive loss to net income | 29 | |||
Total other comprehensive income | 120 | |||
Ending Balance | 85 | 85 | ||
Defined Benefit Pension Plan [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (2,875) | |||
Other comprehensive income before reclassifications | 34 | |||
Reclassifications from accumulated comprehensive loss to net income | 182 | |||
Total other comprehensive income | 216 | |||
Ending Balance | $ (2,659) | $ (2,659) |
Accumulated Other Comprehensi58
Accumulated Other Comprehensive Loss - Summary of Reclassifications from Accumulated Other Comprehensive Loss to Net (Loss) Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Amortization of defined benefit plan pension items: | ||||
Amortization of loss | $ 154 | $ 217 | $ 308 | $ 434 |
Income tax effect | (63) | (89) | (126) | (178) |
After tax | 91 | 128 | 182 | 256 |
Amortization of loss on interest rate swap: | ||||
Reclassification to interest expense | 24 | 26 | 49 | 53 |
Income tax effect | (10) | (11) | (20) | (22) |
After tax | 14 | 15 | 29 | 31 |
Total reclassifications, net of income tax | $ 105 | $ 143 | $ 211 | $ 287 |
Accumulated Other Comprehensi59
Accumulated Other Comprehensive Loss - Additional Information (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2017USD ($) | |
Interest Expense [Member] | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |
Accumulated other comprehensive loss to be reclassified to interest expense | $ 62 |
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) - Restricted Stock Unit [Member] shares in Thousands | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Summary of activity for restricted stock units, long-term incentive awards and non-employee director stock compensation | |
Number of Shares - Nonvested at December 31, 2016 | shares | 1,414 |
Number of Shares - Granted | shares | 70 |
Number of Shares - Vested | shares | (737) |
Number of Shares - Canceled or expired | shares | 0 |
Number of Shares - Nonvested at June 30, 2017 | shares | 747 |
Weighted Average Grant Date Fair Value - Nonvested at December 31, 2016 | $ / shares | $ 1.79 |
Weighted Average Grant Date Fair Value - Granted | $ / shares | 2.01 |
Weighted Average Grant Date Fair Value - Vested | $ / shares | 1.83 |
Weighted Average Grant Date Fair Value - Canceled or expired | $ / shares | 0 |
Weighted Average Grant Date Fair Value - Nonvested at June 30, 2017 | $ / shares | $ 1.77 |
Stock Incentive Plans - Summa61
Stock Incentive Plans - Summary of Activity for Performance Share Units (Detail) - Performance Share Units [Member] shares in Thousands | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Summary of activity for performance share units | |
Number of Shares - Nonvested at December 31, 2016 | shares | 1,334 |
Number of Shares - Granted | shares | 0 |
Number of Shares - Vested | shares | (532) |
Number of Shares - Canceled or expired | shares | (19) |
Number of Shares - Nonvested at June 30, 2017 | shares | 783 |
Weighted Average Grant Date Fair Value - Nonvested at December 31, 2016 | $ / shares | $ 1.77 |
Weighted Average Grant Date Fair Value - Granted | $ / shares | 0 |
Weighted Average Grant Date Fair Value - Vested | $ / shares | 1.78 |
Weighted Average Grant Date Fair Value - Canceled or expired | $ / shares | 1.81 |
Weighted Average Grant Date Fair Value - Nonvested at June 30, 2017 | $ / shares | $ 1.76 |
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, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Total compensation cost for share-based payments | $ (29) | $ 642 | $ 581 | $ 1,447 |
Weighted average grant-date fair value of equity instruments granted (per share) | $ 2.20 | $ 1.70 | $ 1.81 | $ 1.74 |
Total fair value of shares vested during the period | $ 140 | $ 70 | $ 2,286 | $ 1,884 |
Unamortized share-based payments | $ 807 | $ 2,586 | ||
Weighted average period (in years) to be recognized as expense | 1 year 3 months 19 days | 1 year 7 months 6 days |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax [Line Items] | ||||
Income tax benefit (expense) | $ 632 | $ (236) | $ 1,464 | $ (299) |
Tax deficiency from share-based payments charged to additional paid-in capital | $ 51 | |||
Effective income tax rate | 18.30% | 29.30% | ||
ASU 2016-09 [Member] | ||||
Income Tax [Line Items] | ||||
Income tax benefit (expense) | $ 29 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Apr. 14, 2017 | Mar. 28, 2017 | Mar. 17, 2017 | |
Number of shares excluded from computation of earnings per share [Line Items] | |||||||
Interest rate of convertible notes | 6.25% | 6.25% | |||||
Antidilutive securities excluded from computation of earnings per share, amount | 1,957 | 1,957 | |||||
6.25% Convertible Notes Due 2018 [Member] | |||||||
Number of shares excluded from computation of earnings per share [Line Items] | |||||||
Interest rate of convertible notes | 6.25% | 6.25% | 6.25% | 6.25% | 6.25% | ||
Convertible Notes Payable [Member] | |||||||
Number of shares excluded from computation of earnings per share [Line Items] | |||||||
Anti-dilutive shares excluded from calculation | 2,502 | 5,714 | |||||
Convertible Notes Payable [Member] | 6.25% Convertible Notes Due 2018 [Member] | |||||||
Number of shares excluded from computation of earnings per share [Line Items] | |||||||
Anti-dilutive shares excluded from calculation | 9,143 | 9,298 |
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, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Per Share, Basic and Diluted [Abstract] | ||||
Net (loss) income attributable to Alaska Communications | $ (2,798) | $ 317 | $ (3,474) | $ 403 |
Weighted average common shares outstanding: | ||||
Basic shares | 52,341 | 51,231 | 52,177 | 50,986 |
Effect of stock-based compensation | 907 | 1,020 | ||
Diluted shares | 52,341 | 52,138 | 52,177 | 52,006 |
Net (loss) income per share attributable to Alaska Communications: | ||||
Basic | $ (0.05) | $ 0.01 | $ (0.07) | $ 0.01 |
Diluted | $ (0.05) | $ 0.01 | $ (0.07) | $ 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, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Retirement Benefits [Abstract] | ||||
Interest cost | $ 156 | $ 168 | $ 312 | $ 335 |
Expected return on plan assets | (185) | (181) | (370) | (362) |
Amortization of loss | 183 | 230 | 366 | 461 |
Net periodic pension expense | $ 154 | $ 217 | $ 308 | $ 434 |
Supplemental Cash Flow Inform67
Supplemental Cash Flow Information - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||||||
Jun. 30, 2017 | Apr. 17, 2017 | Apr. 14, 2017 | Mar. 28, 2017 | Mar. 17, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | |
Supplemental Cash Flow Information [Line Items] | |||||||
Restricted cash | $ 11,924 | $ 1,917 | $ 1,811 | ||||
Certificate of deposits value | $ 1,880 | ||||||
Interest rate of convertible notes | 6.25% | ||||||
Certificates of Deposit [Member] | |||||||
Supplemental Cash Flow Information [Line Items] | |||||||
Restricted cash | $ 1,917 | ||||||
6.25% Convertible Notes Due 2018 [Member] | |||||||
Supplemental Cash Flow Information [Line Items] | |||||||
Convertible notes | $ 10,044 | $ 10,044 | $ 94,000 | $ 94,000 | |||
Interest rate of convertible notes | 6.25% | 6.25% | 6.25% | 6.25% | |||
ASU 2016-18 [Member] | |||||||
Supplemental Cash Flow Information [Line Items] | |||||||
Net change in restricted cash | $ 13 |
Supplemental Cash Flow Inform68
Supplemental Cash Flow Information - Summary of Reconciliation of Cash and Cash Equivalents and Restricted Cash (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Cash and Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 12,982 | $ 21,228 | $ 22,248 | |
Restricted cash | 11,924 | 1,917 | 1,811 | |
Total cash, cash equivalents and restricted cash | $ 24,906 | $ 23,145 | $ 24,059 | $ 37,825 |
Supplemental Cash Flow Inform69
Supplemental Cash Flow Information - Schedule of Supplemental Non-Cash Transaction and Nonmonetary Exchange Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Supplemental Non-cash Transactions: | ||
Capital expenditures incurred but not paid at June 30 | $ 1,506 | $ 2,536 |
Property acquired under capital leases | 1,078 | |
Additions to ARO asset | $ 186 | $ 141 |
Business Segments - Additional
Business Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2017Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments in which business operates | 1 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Jun. 30, 2017USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation accruals | $ 668 |