Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Jul. 31, 2014 | |
Document Information [Line Items] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'CNK | ' |
Entity Registrant Name | 'Cinemark Holdings, Inc. | ' |
Entity Central Index Key | '0001385280 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 115,704,880 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Current assets | ' | ' | ||
Cash and cash equivalents | $578,141 | $599,929 | ||
Inventories | 13,316 | 13,735 | ||
Accounts receivable | 80,544 | 81,519 | ||
Current income tax receivable | 2,192 | 669 | ||
Current deferred tax asset | 16,888 | 18,807 | ||
Prepaid expenses and other | 12,967 | 14,940 | ||
Total current assets | 704,048 | 729,599 | ||
Theatre properties and equipment | 2,501,147 | 2,402,796 | ||
Less accumulated depreciation and amortization | 1,055,521 | 975,606 | ||
Theatre properties and equipment, net | 1,445,626 | 1,427,190 | ||
Other assets | ' | ' | ||
Goodwill | 1,286,689 | [1] | 1,288,090 | [1] |
Intangible assets - net | 352,051 | 356,144 | ||
Investment in NCM | 179,516 | 178,853 | ||
Investments in and advances to affiliates | 72,895 | 59,657 | ||
Long-term deferred tax asset | 319 | 330 | ||
Deferred charges and other assets - net | 75,328 | 104,300 | ||
Total other assets | 1,966,798 | 1,987,374 | ||
Total assets | 4,116,472 | 4,144,163 | ||
Current liabilities | ' | ' | ||
Current portion of long-term debt | 8,389 | 9,856 | ||
Current portion of capital lease obligations | 15,216 | 13,847 | ||
Current income tax payable | 24,261 | 22,081 | ||
Current liability for uncertain tax positions | 963 | 963 | ||
Accounts payable and accrued expenses | 293,005 | 348,965 | ||
Total current liabilities | 341,834 | 395,712 | ||
Long-term liabilities | ' | ' | ||
Long-term debt, less current portion | 1,819,444 | 1,822,944 | ||
Capital lease obligations, less current portion | 200,075 | 202,509 | ||
Long-term deferred tax liability | 127,585 | 148,746 | ||
Long-term liability for uncertain tax positions | 15,175 | 19,167 | ||
Deferred lease expenses | 45,433 | 43,552 | ||
Deferred revenue - NCM | 339,009 | 334,429 | ||
Other long-term liabilities | 71,496 | 74,687 | ||
Total long-term liabilities | 2,618,217 | 2,646,034 | ||
Commitments and contingencies (see Note 19) | ' | ' | ||
Cinemark Holdings, Inc.'s stockholders' equity: | ' | ' | ||
Common stock, $0.001 par value: 300,000,000 shares authorized, 119,745,508 shares issued and 115,704,880 shares outstanding at June 30, 2014 and 119,077,473 shares issued and 115,382,538 shares outstanding at December 31, 2013 | 120 | 119 | ||
Additional paid-in-capital | 1,089,565 | 1,079,304 | ||
Treasury stock, 4,040,628 and 3,694,935 shares, at cost, at June 30, 2014 and December 31, 2013, respectively | -61,722 | -51,946 | ||
Retained earnings | 196,892 | 147,764 | ||
Accumulated other comprehensive loss | -77,872 | -81,819 | ||
Total Cinemark Holdings, Inc.'s stockholders' equity | 1,146,983 | 1,093,422 | ||
Noncontrolling interests | 9,438 | 8,995 | ||
Total equity | 1,156,421 | 1,102,417 | ||
Total liabilities and equity | $4,116,472 | $4,144,163 | ||
[1] | Balances are presented net of accumulated impairment losses of $214,031 for the U.S. operating segment and $27,622 for the international operating segment. |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 119,745,508 | 119,077,473 |
Common stock, shares outstanding | 115,704,880 | 115,382,538 |
Treasury stock, shares | 4,040,628 | 3,694,935 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Revenues | ' | ' | ' | ' | ||||
Admissions | $455,726 | $464,483 | $836,640 | $813,897 | ||||
Concession | 226,417 | 228,746 | 419,440 | 401,142 | ||||
Other | 35,720 | 32,393 | 64,063 | 58,356 | ||||
Total revenues | 717,863 | 725,622 | 1,320,143 | 1,273,395 | ||||
Cost of operations | ' | ' | ' | ' | ||||
Film rentals and advertising | 249,198 | 257,435 | 449,855 | 437,427 | ||||
Concession supplies | 35,336 | 37,021 | 65,389 | 65,021 | ||||
Salaries and wages | 69,942 | 67,085 | 134,293 | 125,554 | ||||
Facility lease expense | 80,647 | 76,124 | 159,004 | 145,742 | ||||
Utilities and other | 78,570 | 76,360 | 154,502 | 145,112 | ||||
General and administrative expenses | 39,717 | 40,546 | 79,089 | 78,325 | ||||
Depreciation and amortization | 43,881 | 38,734 | 86,377 | 77,766 | ||||
Impairment of long-lived assets | 430 | 1,101 | 784 | 1,945 | ||||
(Gain) loss on sale of assets and other | 3,276 | -2,801 | 6,129 | -3,143 | ||||
Total cost of operations | 600,997 | 591,605 | 1,135,422 | 1,073,749 | ||||
Operating income | 116,866 | 134,017 | 184,721 | 199,646 | ||||
Other income (expense) | ' | ' | ' | ' | ||||
Interest expense | -28,286 | [1] | -34,458 | [1] | -56,766 | [1] | -67,064 | [1] |
Interest income | 1,030 | 594 | 2,044 | 1,397 | ||||
Foreign currency exchange gain (loss) | 1,825 | -1,670 | 4,877 | -340 | ||||
Loss on early retirement of debt | ' | -72,302 | ' | -72,302 | ||||
Distributions from NCM | 1,180 | 1,693 | 10,677 | 7,796 | ||||
Equity in income of affiliates | 3,600 | 1,685 | 7,220 | 4,106 | ||||
Total other expense | -20,651 | -104,458 | -31,948 | -126,407 | ||||
Income before income taxes | 96,215 | 29,559 | 152,773 | 73,239 | ||||
Income taxes | 24,081 | 8,722 | 44,943 | 19,340 | ||||
Net income | 72,134 | 20,837 | 107,830 | 53,899 | ||||
Less: Net income attributable to noncontrolling interests | 403 | 572 | 656 | 1,040 | ||||
Net income attributable to Cinemark Holdings, Inc. | $71,731 | $20,265 | $107,174 | $52,859 | ||||
Weighted average shares outstanding | ' | ' | ' | ' | ||||
Basic | 114,786 | 114,007 | 114,485 | 113,745 | ||||
Diluted | 114,961 | 114,387 | 114,814 | 114,210 | ||||
Earnings per share attributable to Cinemark Holdings, Inc.'s common stockholders | ' | ' | ' | ' | ||||
Basic | $0.62 | $0.18 | $0.93 | $0.46 | ||||
Diluted | $0.62 | $0.18 | $0.93 | $0.46 | ||||
Dividends declared per common share | $0.25 | $0.21 | $0.50 | $0.42 | ||||
[1] | Includes amortization of debt issue costs. |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (Loss) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Net income | $72,134 | $20,837 | $107,830 | $53,899 |
Other comprehensive income (loss), net of tax | ' | ' | ' | ' |
Unrealized gain due to fair value adjustments on interest rate swap agreements, net of settlements, net of taxes of $391, $963, $759 and $1,391 | 661 | 1,590 | 1,158 | 2,366 |
Unrealized gain due to fair value adjustments on available-for-sale securities, net of taxes of $724, $415, $1,916 and $1,249 | 1,221 | 685 | 3,244 | 2,041 |
Other comprehensive income in equity method investments | 134 | 1,678 | 396 | 1,678 |
Foreign currency translation adjustments | 8,346 | -40,827 | -843 | -39,241 |
Total other comprehensive income (loss), net of tax | 10,362 | -36,874 | 3,955 | -33,156 |
Total comprehensive income (loss), net of tax | 82,496 | -16,037 | 111,785 | 20,743 |
Comprehensive income attributable to noncontrolling interests | -405 | -413 | -664 | -925 |
Comprehensive income (loss) attributable to Cinemark Holdings, Inc. | $82,091 | ($16,450) | $111,121 | $19,818 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Unrealized (loss) gain due to fair value adjustments on interest rate swap agreements, tax | $391 | $963 | $759 | $1,391 |
Unrealized gain due to fair value adjustments on available-for-sale securities, tax | $724 | $415 | $1,916 | $1,249 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | ||
Operating activities | ' | ' | ||
Net income | $107,830 | $53,899 | ||
Adjustments to reconcile net income to cash provided by operating activities: | ' | ' | ||
Depreciation | 85,032 | 75,846 | ||
Amortization of intangible and other assets and favorable/unfavorable leases | 1,345 | 1,920 | ||
Amortization of long-term prepaid rents | 785 | 1,379 | ||
Amortization of debt issue costs | 2,623 | 2,856 | ||
Amortization of deferred revenues, deferred lease incentives and other | -6,732 | -5,266 | ||
Amortization of bond discount | ' | 482 | ||
Impairment of long-lived assets | 784 | 1,945 | ||
Share based awards compensation expense | 6,589 | 6,788 | ||
(Gain) loss on sale of assets and other | 6,129 | -3,143 | ||
Write-off of unamortized debt discount and debt issue costs related to early retirement of debt | ' | 15,688 | ||
Deferred lease expenses | 1,848 | 2,103 | ||
Deferred income tax expenses | -22,003 | -43,081 | ||
Equity in income of affiliates | -7,220 | -4,106 | ||
Interest paid on redemption of senior notes | ' | -8,054 | ||
Distributions from equity investees | 8,352 | 3,003 | ||
Changes in assets and liabilities and other | -25,615 | 11,224 | ||
Net cash provided by operating activities | 159,747 | 113,483 | ||
Investing activities | ' | ' | ||
Additions to theatre properties and equipment | -102,563 | -90,388 | ||
Proceeds from sale of theatre properties and equipment and other | 1,547 | 18,478 | ||
Acquisitions of theatres in U.S. | ' | -259,247 | ||
Investment in joint ventures and other | -1,896 | -3,264 | ||
Net cash used for investing activities | -102,912 | -334,421 | ||
Financing activities | ' | ' | ||
Proceeds from stock option exercises | 112 | 58 | ||
Payroll taxes paid as a result of restricted stock withholdings | -9,776 | -3,464 | ||
Dividends paid to stockholders | -57,772 | [1] | -48,364 | [2] |
Issuance of senior notes | ' | 530,000 | ||
Redemption of senior notes | ' | -461,946 | ||
Repayments of long-term debt | -4,952 | -4,736 | ||
Payment of debt issue costs | ' | -9,212 | ||
Payments on capital leases | -6,827 | -5,374 | ||
Other | 3,340 | 3,305 | ||
Net cash provided by (used for) financing activities | -75,875 | 267 | ||
Effect of exchange rate changes on cash and cash equivalents | -2,748 | -6,519 | ||
Decrease in cash and cash equivalents | -21,788 | -227,190 | ||
Cash and cash equivalents: | ' | ' | ||
Beginning of period | 599,929 | 742,664 | ||
End of period | $578,141 | $515,474 | ||
[1] | On May 22, 2014 the Company's board of directors declared a cash dividend for the first quarter of 2014 in the amount of $0.25 per share of common stock payable to stockholders of record on June 6, 2014. The dividend was paid on June 20, 2014. On February 14, 2014, the Company's board of directors declared a cash dividend for the fourth quarter of 2013 in the amount of $0.25 per share of common stock payable to stockholders of record on March 4, 2014. The dividend was paid on March 19, 2014. | |||
[2] | On May 24, 2013 the Company's board of directors declared a cash dividend for the first quarter of 2013 in the amount of $0.21 per share of common stock payable to stockholders of record on June 6, 2013. The dividend was paid on June 20, 2013. On February 12, 2013, the Company's board of directors declared a cash dividend for the fourth quarter of 2012 in the amount of $0.21 per share of common stock payable to stockholders of record on March 4, 2013. The dividend was paid on March 15, 2013. |
The_Company_and_Basis_of_Prese
The Company and Basis of Presentation | 6 Months Ended | |
Jun. 30, 2014 | ||
The Company and Basis of Presentation | ' | |
1 | The Company and Basis of Presentation | |
Cinemark Holdings, Inc. and subsidiaries (the “Company”) is a leader in the motion picture exhibition industry, with theatres in the United States (“U.S.”), Brazil, Argentina, Chile, Colombia, Peru, Ecuador, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, Guatemala and Bolivia. The Company also managed additional theatres in the U.S., Brazil, and Colombia during the six months ended June 30, 2014. | ||
The accompanying condensed consolidated balance sheet as of December 31, 2013, which was derived from audited financial statements, and the unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements. In the opinion of management, all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation have been included. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the accompanying notes. Actual results could differ from these estimates. Majority-owned subsidiaries that the Company has control of are consolidated while those affiliates of which the Company owns between 20% and 50% and does not control are accounted for under the equity method. Those affiliates of which the Company owns less than 20% are generally accounted for under the cost method, unless the Company is deemed to have the ability to exercise significant influence over the affiliate, in which case the Company would account for its investment under the equity method. The results of these subsidiaries and affiliates are included in the condensed consolidated financial statements effective with their formation or from their dates of acquisition. Intercompany balances and transactions are eliminated in consolidation. | ||
These condensed consolidated financial statements should be read in conjunction with the audited annual consolidated financial statements and the notes thereto for the year ended December 31, 2013, included in the Annual Report on Form 10-K filed February 28, 2014 by the Company under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Operating results for the six months ended June 30, 2014 are not necessarily indicative of the results to be achieved for the full year. |
New_Accounting_Pronouncements
New Accounting Pronouncements | 6 Months Ended | |
Jun. 30, 2014 | ||
New Accounting Pronouncements | ' | |
2 | New Accounting Pronouncements | |
In April 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity (“ASU 2014-08”). The update changes the criteria for reporting discontinued operations and enhances convergence of the FASB’s and International Accounting Standard Board’s reporting requirements for discontinued operations. ASU 2014-08 is effective for a) all disposals or classifications as held for sale of components of an entity that occur within annual periods beginning on or after December 15, 2014 and interim periods within those years and b) all businesses or nonprofit activities that, on acquisition, are classified as held for sale that occur within the annual periods beginning on or after December 15, 2014, and interim periods within those years. Early adoption is permitted, but only for disposals or classifications as held for sale that have not been reported in financial statements previously issued or available for issuance. We do not expect the adoption of ASU 2014-08 to have a significant impact on our condensed consolidated financial statements. | ||
In May 2014, the FASB issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). The update clarifies the principles for recognizing revenue and creates a common revenue standard for U.S. GAAP and International Financial Reporting Standards (“IFRS”). ASU 2014-09 affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards (for example, insurance contracts or lease contracts). The amendments in ASU 2014-09 are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. We are currently evaluating the impact of ASU 2014-09 on our condensed consolidated financial statements. |
Earnings_Per_Share
Earnings Per Share | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
3 | Earnings Per Share | ||||||||||||||||
The Company considers its unvested restricted stock awards, which contain non-forfeitable rights to dividends, participating securities, and includes such participating securities in its computation of earnings per share pursuant to the two-class method. Basic earnings per share for the two classes of stock (common stock and unvested restricted stock) is calculated by dividing net income by the weighted average number of shares of common stock and unvested restricted stock outstanding during the reporting period. Diluted earnings per share is calculated using the weighted average number of shares of common stock plus the potentially dilutive effect of common equivalent shares outstanding determined under both the two class method and the treasury stock method. | |||||||||||||||||
The following table presents computations of basic and diluted earnings per share under the two-class method: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net income attributable to Cinemark Holdings, Inc. | $ | 71,731 | $ | 20,265 | $ | 107,174 | $ | 52,859 | |||||||||
Earnings allocated to participating share-based awards (1) | (542 | ) | (225 | ) | (704 | ) | (547 | ) | |||||||||
Net income attributable to common stockholders | $ | 71,189 | $ | 20,040 | $ | 106,470 | $ | 52,312 | |||||||||
Denominator (shares in thousands): | |||||||||||||||||
Basic weighted average common stock outstanding | 114,786 | 114,007 | 114,485 | 113,745 | |||||||||||||
Common equivalent shares for stock options | — | 9 | — | 10 | |||||||||||||
Common equivalent shares for restricted stock units | 175 | 371 | 329 | 455 | |||||||||||||
Diluted | 114,961 | 114,387 | 114,814 | 114,210 | |||||||||||||
Basic earnings per share attributable to common stockholders | $ | 0.62 | $ | 0.18 | $ | 0.93 | $ | 0.46 | |||||||||
Diluted earnings per share attributable to common stockholders | $ | 0.62 | $ | 0.18 | $ | 0.93 | $ | 0.46 | |||||||||
(1) | For the three months ended June 30, 2014 and 2013, a weighted average of approximately 876 and 1,289 shares of unvested restricted stock, respectively, were considered participating securities. For the six months ended June 30, 2014 and 2013, a weighted average of approximately 761 and 1,197 shares of unvested restricted stock, respectively, were considered participating securities. |
LongTerm_Debt_Activity
Long-Term Debt Activity | 6 Months Ended | |
Jun. 30, 2014 | ||
Long-Term Debt Activity | ' | |
4 | Long-Term Debt Activity | |
Issuance of 4.875% Senior Notes Due 2023 | ||
On May 24, 2013, Cinemark USA, Inc. issued $530,000 aggregate principal amount of 4.875% senior notes due 2023, at par value (the “4.875% Senior Notes”). Proceeds, after payment of fees, were used to finance a redemption of the $470,000 8.625% senior notes due 2019 (the “8.625% Senior Notes”). Interest on the 4.875% Senior Notes is payable on June 1 and December 1 of each year, beginning December 1, 2013. The 4.875% Senior Notes mature on June 1, 2023. | ||
Redemption of 8.625% Senior Notes | ||
On June 24, 2013, Cinemark USA, Inc. redeemed the 8.625% Senior Notes at 112.035% of the principal amount, inclusive of a make-whole premium, plus accrued and unpaid interest, utilizing the proceeds from the issuance of the 4.875% Senior Notes discussed above. As a result of the redemption, the Company wrote-off approximately $8,054 in unamortized bond discount and $7,634 in unamortized debt issue costs, paid the make-whole premium of approximately $56,564 and paid other fees of $50, all of which are reflected in loss on early retirement of debt during the three and six months ended June 30, 2013. | ||
Fair Value of Long-Term Debt | ||
The Company estimates the fair value of its long-term debt primarily using quoted market prices, which fall under Level 2 of the U.S. GAAP fair value hierarchy as defined by FASB Accounting Standards Codification (“ASC”) Topic 820-10-35, Fair Value Measurement. The carrying value of the Company’s long-term debt was $1,827,833 and $1,832,800 as of June 30, 2014 and December 31, 2013, respectively. The fair value of the Company’s long-term debt was $1,860,094 and $1,815,879 as of June 30, 2014 and December 31, 2013, respectively. | ||
Acquisitions_and_Dispositions
Acquisitions and Dispositions | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Acquisitions and Dispositions | ' | ||||||||
5 | Acquisitions and Dispositions | ||||||||
Acquisition of Rave Theatres | |||||||||
On May 29, 2013, the Company acquired 32 theatres with 483 screens from Rave Real Property Holdco, LLC and certain of its subsidiaries, Rave Cinemas, LLC and RC Processing, LLC (collectively “Rave”) in an asset purchase for approximately $236,875 in cash plus the assumption of certain liabilities (the “Rave Acquisition”). The acquisition resulted in an expansion of the Company’s domestic theatre base into one new state and seven new markets. The transaction was subject to antitrust approval by the Department of Justice or Federal Trade Commission. The Department of Justice required the Company to agree to divest of three of the newly-acquired theatres, which occurred during August 2013 (see discussion below). | |||||||||
The transaction was accounted for by applying the acquisition method. The following table represents the fair value of the identifiable assets acquired and liabilities assumed as of the acquisition date: | |||||||||
Theatre properties and equipment | $ | 102,977 | |||||||
Tradename | 25,000 | ||||||||
Favorable leases | 17,587 | ||||||||
Goodwill | 186,418 | ||||||||
Unfavorable leases | (30,718 | ) | |||||||
Deferred revenue | (6,634 | ) | |||||||
Capital lease liabilities | (61,651 | ) | |||||||
Other assets, net of other liabilities | 3,896 | ||||||||
Total | $ | 236,875 | |||||||
The weighted average amortization period for the intangible assets acquired is approximately 14 years as of the acquisition date. The goodwill is fully deductible for tax purposes. | |||||||||
The following unaudited pro forma information summarizes our results of operations as if the Rave Acquisition had occurred as of January 1, 2013: | |||||||||
Three Months Ended | Six Months Ended | ||||||||
June 30, 2013 | June 30, 2013 | ||||||||
Total revenues | $ | 767,348 | $ | 1,367,959 | |||||
Income before income taxes | $ | 35,403 | $ | 82,816 | |||||
Acquisition of Other U.S. Theatres | |||||||||
The Company acquired two additional theatres with 30 screens during April 2013 in two separate transactions for an aggregate purchase price of approximately $22,372 in cash plus the assumption of certain liabilities. The transactions were accounted for by applying the acquisition method. The following table represents the aggregate fair values of identifiable assets acquired and the liabilities assumed as of the acquisition date: | |||||||||
Theatre properties and equipment | $ | 17,524 | |||||||
Goodwill | 17,409 | ||||||||
Capital lease liability | (12,173 | ) | |||||||
Deferred revenue | (388 | ) | |||||||
Total | $ | 22,372 | |||||||
Disposition of Mexico Subsidiaries | |||||||||
During February 2013, the Company entered into a stock purchase agreement with Grupo Cinemex, S.A. De C.V. pursuant to which the Company would sell its Mexican subsidiaries, which consisted of 31 theatres and 290 screens. The transaction was subject to approval by the Mexican Federal Competition Commission (the “Competition Commission”). During November 2013, the Competition Committee approved the sale and the transaction closed on November 15, 2013. The sales price, which was paid in Mexican pesos, was approximately $126,167, based on the exchange rate at November 15, 2013. | |||||||||
Disposition of Three Rave Theatres | |||||||||
In conjunction with the Rave Acquisition, the Company was required to divest of three theatres pursuant to a Hold Separate Agreement with the Department of Justice. On July 17, 2013, the Company entered into a definitive agreement to sell these three theatres to Carmike Cinemas, Inc. The transaction was approved by the Department of Justice and closed on August 16, 2013. |
Equity
Equity | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Equity | ' | ||||||||||||
6 | Equity | ||||||||||||
Below is a summary of changes in stockholders’ equity attributable to Cinemark Holdings, Inc., noncontrolling interests and total equity for the six months ended June 30, 2014 and 2013: | |||||||||||||
Cinemark | Noncontrolling | Total | |||||||||||
Holdings, Inc. | Interests | Equity | |||||||||||
Stockholders’ | |||||||||||||
Equity | |||||||||||||
Balance at January 1, 2014 | $ | 1,093,422 | $ | 8,995 | $ | 1,102,417 | |||||||
Share based awards compensation expense | 6,589 | — | 6,589 | ||||||||||
Stock withholdings related to restricted stock and restricted stock units that vested during the six months ended June 30, 2014 | (9,776 | ) | — | (9,776 | ) | ||||||||
Exercise of stock options | 112 | — | 112 | ||||||||||
Tax benefit related to restricted stock and restricted stock unit vesting | 3,561 | — | 3,561 | ||||||||||
Dividends paid to stockholders (1) | (57,772 | ) | — | (57,772 | ) | ||||||||
Dividends accrued on unvested restricted stock unit awards (1) | (274 | ) | — | (274 | ) | ||||||||
Dividends paid to noncontrolling interests | — | (221 | ) | (221 | ) | ||||||||
Net income | 107,174 | 656 | 107,830 | ||||||||||
Fair value adjustments on interest rate swap agreements designated as hedges, net of settlements, net of taxes of $759 | 1,158 | — | 1,158 | ||||||||||
Fair value adjustments on available-for-sale securities, net of taxes of $1,916 | 3,244 | — | 3,244 | ||||||||||
Other comprehensive income in equity method investments | 396 | — | 396 | ||||||||||
Foreign currency translation adjustments | (851 | ) | 8 | (843 | ) | ||||||||
Balance at June 30, 2014 | $ | 1,146,983 | $ | 9,438 | $ | 1,156,421 | |||||||
Cinemark | Noncontrolling | Total | |||||||||||
Holdings, Inc. | Interests | Equity | |||||||||||
Stockholders’ | |||||||||||||
Equity | |||||||||||||
Balance at January 1, 2013 | $ | 1,084,065 | $ | 10,919 | $ | 1,094,984 | |||||||
Share based awards compensation expense | 6,788 | — | 6,788 | ||||||||||
Stock withholdings related to restricted stock and restricted stock units that vested during the six months ended June 30, 2013 | (3,464 | ) | — | (3,464 | ) | ||||||||
Exercise of stock options | 58 | — | 58 | ||||||||||
Tax benefit related to restricted stock and restricted stock unit vesting | 3,489 | — | 3,489 | ||||||||||
Dividends paid to stockholders (2) | (48,364 | ) | — | (48,364 | ) | ||||||||
Dividends accrued on unvested restricted stock unit awards (2) | (310 | ) | — | (310 | ) | ||||||||
Dividends paid to noncontrolling interests | — | (184 | ) | (184 | ) | ||||||||
Net income | 52,859 | 1,040 | 53,899 | ||||||||||
Fair value adjustments on interest rate swap agreements designated as hedges, net of settlements, net of taxes of $1,391 | 2,366 | — | 2,366 | ||||||||||
Fair value adjustments on available-for-sale securities, net of taxes of $1,249 | 2,041 | — | 2,041 | ||||||||||
Other comprehensive income in equity method investees | 1,678 | — | 1,678 | ||||||||||
Foreign currency translation adjustments | (39,126 | ) | (115 | ) | (39,241 | ) | |||||||
Balance at June 30, 2013 | $ | 1,062,080 | $ | 11,660 | $ | 1,073,740 | |||||||
(1) | On May 22, 2014 the Company’s board of directors declared a cash dividend for the first quarter of 2014 in the amount of $0.25 per share of common stock payable to stockholders of record on June 6, 2014. The dividend was paid on June 20, 2014. On February 14, 2014, the Company’s board of directors declared a cash dividend for the fourth quarter of 2013 in the amount of $0.25 per share of common stock payable to stockholders of record on March 4, 2014. The dividend was paid on March 19, 2014. | ||||||||||||
(2) | On May 24, 2013 the Company’s board of directors declared a cash dividend for the first quarter of 2013 in the amount of $0.21 per share of common stock payable to stockholders of record on June 6, 2013. The dividend was paid on June 20, 2013. On February 12, 2013, the Company’s board of directors declared a cash dividend for the fourth quarter of 2012 in the amount of $0.21 per share of common stock payable to stockholders of record on March 4, 2013. The dividend was paid on March 15, 2013. |
Investment_in_National_CineMed
Investment in National CineMedia | 6 Months Ended | ||||||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||||||
Investment in National CineMedia | ' | ||||||||||||||||||||||||||||
7 | Investment in National CineMedia | ||||||||||||||||||||||||||||
The Company has an investment in National CineMedia, LLC (“NCM”). NCM operates a digital in-theatre network in the U.S. for providing cinema advertising and non-film events. Upon joining NCM, the Company entered into an Exhibitor Services Agreement with NCM (“ESA”), pursuant to which NCM provides advertising, promotion and event services to our theatres. As described further in Note 6 to the Company’s financial statements as included in its 2013 Annual Report on Form 10-K, on February 13, 2007, National CineMedia, Inc. (“NCM, Inc.”), an entity that serves as the sole manager of NCM, completed an initial public offering (“IPO”) of its common stock. In connection with the NCM Inc. initial public offering, the Company amended its operating agreement and the ESA. Following the NCM, Inc. IPO, the Company does not recognize undistributed equity in the earnings on its original NCM membership units (referred to herein as the Company’s Tranche 1 Investment) until NCM’s future net earnings, less distributions received, surpass the amount of the excess distribution. The Company recognizes equity in earnings on its Tranche 1 Investment only to the extent it receives cash distributions from NCM. The Company recognizes cash distributions it receives from NCM on its Tranche 1 Investment as a component of earnings as Distributions from NCM. The Company believes that the accounting model provided by ASC Topic 323-10-35-22 for recognition of equity investee losses in excess of an investor’s basis is analogous to the accounting for equity income subsequent to recognizing an excess distribution. | |||||||||||||||||||||||||||||
Below is a summary of activity with NCM included in the Company’s condensed consolidated financial statements: | |||||||||||||||||||||||||||||
Investment | Deferred | Distributions | Equity in | Other | Other | Cash | |||||||||||||||||||||||
in NCM | Revenue | from | Earnings | Revenue | Comprehensive | Received | |||||||||||||||||||||||
NCM | Income | ||||||||||||||||||||||||||||
Balance as of January 1, 2014 | $ | 178,853 | $ | (334,429 | ) | ||||||||||||||||||||||||
Receipt of common units due to annual common unit adjustment | 8,216 | (8,216 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Revenues earned under ESA (1) | — | — | — | — | (4,611 | ) | — | 4,611 | |||||||||||||||||||||
Receipt of excess cash distributions | (5,967 | ) | — | (7,167 | ) | — | — | — | 13,134 | ||||||||||||||||||||
Receipt under tax receivable agreement | (2,385 | ) | — | (3,510 | ) | — | — | — | 5,895 | ||||||||||||||||||||
Equity in earnings | 357 | — | — | (357 | ) | — | — | — | |||||||||||||||||||||
Equity in other comprehensive income | 442 | — | — | — | — | (442 | ) | — | |||||||||||||||||||||
Amortization of deferred revenue | — | 3,636 | — | — | (3,636 | ) | — | — | |||||||||||||||||||||
Balance as of and for the period ended June 30, 2014 | $ | 179,516 | $ | (339,009 | ) | $ | (10,677 | ) | $ | (357 | ) | $ | (8,247 | ) | $ | (442 | ) | $ | 23,640 | ||||||||||
(1) | Amount includes the per patron and per digital screen theatre access fees due to the Company, net of amounts due to NCM for on-screen advertising time provided to the Company’s beverage concessionaire of approximately $5,686. | ||||||||||||||||||||||||||||
During the three months ended June 30, 2014 and 2013, the Company recorded equity in earnings (loss) of approximately $(75) and $536, respectively. During the six months ended June 30, 2014 and 2013, the Company recorded equity in earnings of approximately $357 and $1,402, respectively. | |||||||||||||||||||||||||||||
Pursuant to a Common Unit Adjustment Agreement dated as of February 13, 2007 between NCM, Inc. and the Company, AMC Entertainment, Inc. (“AMC”) and Regal Entertainment Group (“Regal”), annual adjustments to the common membership units are made primarily based on increases or decreases in the number of theatre screens operated and theatre attendance generated by each Founding Member. As further discussed in Note 6 to the Company’s financial statements as included in its 2013 Annual Report on Form 10-K, the common units received are recorded at fair value as an increase in the Company’s investment in NCM with an offset to deferred revenue. The deferred revenue is amortized over the remaining term of the ESA. During March 2014, NCM performed its annual common unit adjustment calculation under the Common Unit Adjustment Agreement. As a result of the calculation, the Company received an additional 557,631 common units of NCM, each of which is convertible into one share of NCM, Inc. common stock. The Company recorded the additional common units received at fair value with a corresponding adjustment to deferred revenue of approximately $8,216. The deferred revenue will be recognized over the remaining term of the ESA, which is approximately 22 years. | |||||||||||||||||||||||||||||
As of June 30, 2014, the Company owned a total of 24,556,136 common units of NCM, representing an ownership interest of approximately 19%. | |||||||||||||||||||||||||||||
On May 5, 2014, NCM, Inc., the sole manager of NCM, announced that it has entered into an agreement to acquire Screenvision, LLC for $375,000, consisting of cash and NCM, Inc. common stock. The transaction is subject to regulatory approval and other customary closing conditions. | |||||||||||||||||||||||||||||
Below is summary financial information for NCM for the three and six months ended June 26, 2014 and June 27, 2013. | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 26, 2014 | June 27, 2013 | June 26, 2014 | June 27, 2013 | ||||||||||||||||||||||||||
Gross revenues | $ | 99,958 | $ | 122,810 | $ | 170,173 | $ | 205,029 | |||||||||||||||||||||
Operating income | $ | 42,131 | $ | 57,928 | $ | 54,898 | $ | 79,563 | |||||||||||||||||||||
Net earnings | $ | 26,467 | $ | 41,153 | $ | 23,703 | $ | 46,778 | |||||||||||||||||||||
Investment_in_Digital_Cinema_I
Investment in Digital Cinema Implementation Partners | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Investment in Digital Cinema Implementation Partners | ' | ||||||||||||||||
8 | Investment in Digital Cinema Implementation Partners | ||||||||||||||||
On February 12, 2007, the Company, AMC and Regal entered into a joint venture known as Digital Cinema Implementation Partners LLC (“DCIP”) to facilitate the implementation of digital cinema in the Company’s theatres and to establish agreements with major motion picture studios for the financing of digital cinema. On March 10, 2010, the Company signed a master equipment lease agreement and other related agreements (collectively the “agreements”) with Kasima LLC (“Kasima”), which is an indirect subsidiary of DCIP and a related party to the Company. As of June 30, 2014, the Company had a 33% voting interest in DCIP and a 24.3% economic interest in DCIP. | |||||||||||||||||
The Company has a variable interest in Kasima through the terms of its master equipment lease agreement; however, the Company has determined that it is not the primary beneficiary of Kasima, as the Company does not have the ability to direct the activities of Kasima that most significantly impact Kasima’s economic performance. The Company accounts for its investment in DCIP and its subsidiaries under the equity method of accounting. During the three months ended June 30, 2014 and 2013, the Company recorded equity in earnings of approximately $2,884 and $1,150, respectively. During the six months ended June 30, 2014 and 2013, the Company recorded equity in earnings of $6,178 and $2,702, respectively. | |||||||||||||||||
Below is a summary of changes in the Company’s investment in DCIP for the six months ended June 30, 2014: | |||||||||||||||||
Investment in | |||||||||||||||||
DCIP | |||||||||||||||||
Balance as of January 1, 2014 | $ | 38,033 | |||||||||||||||
Cash contributions | 1,896 | ||||||||||||||||
Equity in income | 6,178 | ||||||||||||||||
Equity in other comprehensive loss | (46 | ) | |||||||||||||||
Balance as of June 30, 2014 | $ | 46,061 | |||||||||||||||
The digital projection systems that are leased from Kasima are under an operating lease with an initial term of twelve years that contains ten one-year fair value renewal options. The equipment lease agreement also contains a fair value purchase option. Under the equipment lease agreement, which was amended effective March 31, 2014, the Company pays minimum annual rent of one thousand dollars per digital projection system. The Company is also subject to various types of other rent if such digital projection systems do not meet minimum performance requirements as outlined in the agreements. Certain of the other rent payments are subject to either a monthly or an annual maximum. As of June 30, 2014, the Company had 3,641 digital projection systems being leased under the master equipment lease agreement with Kasima. The Company recorded equipment lease expense of approximately $2,808 and $3,951 during the six months ended June 30, 2014 and 2013, respectively, which is included in utilities and other costs on the condensed consolidated statements of income. | |||||||||||||||||
Below is summary financial information for DCIP for the three and six months ended June 30, 2014 and 2013. | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, 2014 | June 30, 2013 | June 30, 2014 | June 30, 2013 | ||||||||||||||
Revenues | $ | 43,396 | $ | 45,022 | $ | 86,084 | $ | 88,077 | |||||||||
Operating income | $ | 26,700 | $ | 28,884 | $ | 51,004 | $ | 55,525 | |||||||||
Net income | $ | 19,065 | $ | 2,456 | $ | 24,593 | $ | 14,264 | |||||||||
Investment_in_Marketable_Secur
Investment in Marketable Securities - RealD, Inc. | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Investment in Marketable Securities - RealD, Inc. | ' | ||||
9 | Investment in Marketable Securities – RealD, Inc. | ||||
The Company owns 1,222,780 shares of RealD, Inc. (“RealD”) and accounts for its investment in RealD as a marketable security. The Company has determined that its RealD shares are available-for-sale securities in accordance with ASC Topic 320-10-35-1, therefore unrealized holding gains and losses are reported as a component of accumulated other comprehensive loss until realized. | |||||
As of June 30, 2014, the estimated fair value of the Company’s investment in RealD was $15,603, which is based on the closing price of RealD’s common stock on June 30, 2014, and falls under Level 1 of the U.S. GAAP fair value hierarchy as defined by ASC Topic 820-10-35. During the six months ended June 30, 2014, the Company recorded an unrealized holding gain of approximately $5,160, before taxes, as a component of accumulated other comprehensive loss on the condensed consolidated balance sheet. | |||||
Below is a summary of changes in the Company’s investment in RealD for the six months ended June 30, 2014: | |||||
Investment in | |||||
RealD | |||||
Balance as of January 1, 2014 | $ | 10,443 | |||
Unrealized holding gain | 5,160 | ||||
Balance as of June 30, 2014 | $ | 15,603 | |||
Treasury_Stock_and_Share_Based
Treasury Stock and Share Based Awards | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Treasury Stock and Share Based Awards | ' | ||||||||
10 | Treasury Stock and Share Based Awards | ||||||||
Treasury Stock – Treasury stock represents shares of common stock repurchased or withheld by the Company and not yet retired. The Company has applied the cost method in recording its treasury shares. Below is a summary of the Company’s treasury stock activity for the six months ended June 30, 2014: | |||||||||
Number of | Cost | ||||||||
Treasury | |||||||||
Shares | |||||||||
Balance at January 1, 2014 | 3,694,935 | $ | 51,946 | ||||||
Restricted stock withholdings (1) | 333,507 | 9,776 | |||||||
Restricted stock forfeitures | 12,186 | — | |||||||
Balance at June 30, 2014 | 4,040,628 | $ | 61,722 | ||||||
-1 | The Company withheld shares as a result of such election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and restricted stock units. The Company determined the number of shares to be withheld based upon market values ranging from $27.19 to $30.23 per share. | ||||||||
As of June 30, 2014, the Company had no plans to retire any shares of treasury stock. | |||||||||
Stock Options – During the six months ended June 30, 2014, 14,584 stock options were exercised at a weighted average exercise price of $7.63 and a total intrinsic value of $296. The Company recognized a tax benefit of approximately $124 related to the stock option exercises. As of June 30, 2014, there were no stock options outstanding. | |||||||||
Restricted Stock – During the six months ended June 30, 2014, the Company granted 261,213 shares of restricted stock to directors and employees of the Company. The fair value of the restricted stock granted was determined based on the market value of the Company’s common stock on the date of grant, which ranged from $28.54 to $30.30 per share. The Company assumed forfeiture rates ranging from 0% to 5% for the restricted stock awards. Restricted stock granted to directors vests over a one-year period. Certain of the restricted stock granted to employees vests over three years based on continued service and the remaining restricted stock granted to employees vests over four years based on continued service. The recipients of restricted stock are entitled to receive dividends and to vote their respective shares, however, the sale and transfer of the restricted shares is prohibited during the restriction period. | |||||||||
Below is a summary of restricted stock activity for the six months ended June 30, 2014: | |||||||||
Shares of | Weighted | ||||||||
Restricted | Average | ||||||||
Stock | Grant Date | ||||||||
Fair Value | |||||||||
Outstanding at January 1, 2014 | 1,260,913 | $ | 21.85 | ||||||
Granted | 261,213 | $ | 28.72 | ||||||
Vested | (619,307 | ) | $ | 20.5 | |||||
Forfeited | (12,186 | ) | $ | 19.61 | |||||
Outstanding at June 30, 2014 | 890,633 | $ | 24.83 | ||||||
Unvested restricted stock at June 30, 2014 | 890,633 | $ | 24.83 | ||||||
The Company receives an income tax deduction upon vesting of the restricted stock awards. The total fair value of shares that vested during the six months ended June 30, 2014 was $18,571. The Company recognized a tax benefit of approximately $7,109 during the six months ended June 30, 2014 related to these vested shares. | |||||||||
The Company recorded compensation expense of $4,986 and $5,123 related to restricted stock awards during the six months ended June 30, 2014 and 2013, respectively. As of June 30, 2014, the remaining unrecognized compensation expense related to restricted stock awards was $16,616 and the weighted average period over which this remaining compensation expense will be recognized is approximately two years. | |||||||||
Restricted Stock Units – During the six months ended June 30, 2014, the Company granted restricted stock units representing 197,515 hypothetical shares of common stock to employees. The restricted stock units vest based on a combination of financial performance factors and continued service. The financial performance factors are based on an implied equity value concept that determines an internal rate of return (“IRR”) during the two fiscal year period ending December 31, 2015 based on a formula utilizing a multiple of Adjusted EBITDA subject to certain specified adjustments as defined in the restricted stock unit award agreement. The financial performance factors for the restricted stock units have a threshold, target and maximum level of payment opportunity. If the IRR for the two year period is at least 8.5%, which is the threshold, one-third of the restricted stock units vest. If the IRR for the two year period is at least 10.5%, which is the target, two-thirds of the restricted stock units vest. If the IRR for the two year period is at least 12.5%, which is the maximum, 100% of the restricted stock units vest. Grantees are eligible to receive a ratable portion of the common stock issuable if the IRR is within the targets previously noted. All payouts of restricted stock units that vest will be subject to an additional two year service requirement and will be paid in the form of common stock if the participant continues to provide services through March 2018, which is the fourth anniversary of the grant date. Restricted stock unit award participants are eligible to receive dividend equivalent payments if and at the time the restricted stock unit awards vest. | |||||||||
Below is a table summarizing the potential number of shares that could vest under restricted stock unit awards granted during the six months ended June 30, 2014 at each of the three target levels of financial performance (excluding forfeiture assumptions): | |||||||||
Number of | Value at | ||||||||
Shares | Grant | ||||||||
Vesting | |||||||||
at IRR of at least 8.5% | 65,832 | $ | 1,879 | ||||||
at IRR of at least 10.5% | 131,683 | $ | 3,758 | ||||||
at IRR of at least 12.5% | 197,515 | $ | 5,637 | ||||||
Due to the fact that the IRR for the two year performance period could not be determined at the time of grant, the Company estimated that the most likely outcome is the achievement of the mid-point IRR level. The fair value of the restricted stock unit awards was determined based on the market value of the Company’s common stock on the date of grant, which was $28.54 per share. The Company assumed forfeiture rates ranging from 0% to 5% for the restricted stock unit awards. If during the service period, additional information becomes available to lead the Company to believe a different IRR level will be achieved for the two-year performance period, the Company will reassess the number of units that will vest for the grant and adjust its compensation expense accordingly on a prospective basis over the remaining service period. | |||||||||
The Company recorded compensation expense of $1,603 and $1,665 related to restricted stock unit awards during the six months ended June 30, 2014 and 2013, respectively. | |||||||||
During the six months ended June 30, 2014, 392,238 restricted stock unit awards vested. Upon vesting, each restricted stock unit was converted into one share of the Company’s common stock. In addition, the Company paid approximately $1,341 in dividends on the vested restricted stock units, which represented dividends that had accumulated on the awards since they were granted in 2010. The fair value of the restricted stock unit awards that vested during the six months ended June 30, 2014 was approximately $11,312. The Company recognized a tax benefit of approximately $4,751 during the six months ended June 30, 2014 related to these vested awards. | |||||||||
As of June 30, 2014, the remaining unrecognized compensation expense related to the outstanding restricted stock unit awards was $6,080. The weighted average period over which this remaining compensation expense will be recognized is approximately two years. As of June 30, 2014, the Company had restricted stock units outstanding that represented a total of 577,097 hypothetical shares of common stock, assuming the maximum IRR level is achieved for each of the grants. |
Interest_Rate_Swap_Agreements
Interest Rate Swap Agreements | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Interest Rate Swap Agreements | ' | ||||||||||||||||||||||||
11 | Interest Rate Swap Agreements | ||||||||||||||||||||||||
The Company is currently a party to three interest rate swap agreements that are used to hedge interest rate risk associated with the variable interest rates on the Company’s term loan debt and qualify for cash flow hedge accounting. The fair values of the interest rate swaps are recorded on the Company’s condensed consolidated balance sheet as an asset or liability with the effective portion of the interest rate swaps’ gains or losses reported as a component of accumulated other comprehensive loss and the ineffective portion reported in earnings. The changes in fair values are reclassified from accumulated other comprehensive loss into earnings in the same period that the hedged items affect earnings. | |||||||||||||||||||||||||
The valuation technique used to determine fair value is the income approach and under this approach, the Company uses projected future interest rates as provided by counterparties to the interest rate swap agreements and the fixed rates that the Company is obligated to pay under these agreements. Therefore, the Company’s measurements use significant unobservable inputs, which fall in Level 3 of the U.S. GAAP hierarchy as defined by FASB ASC Topic 820-10-35. There were no changes in valuation techniques during the period and no transfers in or out of Level 3. See Note 14 for a summary of unrealized gains or losses recorded in accumulated other comprehensive loss and earnings. | |||||||||||||||||||||||||
Below is a summary of the Company’s current interest rate swap agreements designated as cash flow hedges as of June 30, 2014: | |||||||||||||||||||||||||
Nominal | Effective Date | Pay Rate | Receive Rate | Expiration Date | Current | Long- | Estimated | ||||||||||||||||||
Amount | Liability (1) | Term | Total Fair | ||||||||||||||||||||||
Liability (2) | Value at | ||||||||||||||||||||||||
June 30, | |||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||
$ | 175,000 | December 2010 | 1.3975 | % | 1-Month LIBOR | September 2015 | $ | 2,027 | $ | 448 | $ | 2,475 | |||||||||||||
$ | 175,000 | Dec-10 | 1.4 | % | 1-Month LIBOR | Sep-15 | 2,058 | 436 | 2,494 | ||||||||||||||||
$ | 100,000 | November 2011 | 1.715 | % | 1-Month LIBOR | Apr-16 | 1,472 | 818 | 2,290 | ||||||||||||||||
$ | 450,000 | $ | 5,557 | $ | 1,702 | $ | 7,259 | ||||||||||||||||||
(1) | Included in accounts payable and accrued expenses on the condensed consolidated balance sheet as of June 30, 2014. | ||||||||||||||||||||||||
(2) | Included in other long-term liabilities on the condensed consolidated balance sheet as of June 30, 2014. | ||||||||||||||||||||||||
The changes in accumulated other comprehensive loss, net of taxes, related to the Company’s interest rate swap agreements for the three and six months ended June 30, 2014 and 2013 were as follows: | |||||||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Beginning balances – April 1 | $ | (5,219 | ) | $ | (8,091 | ) | |||||||||||||||||||
Other comprehensive income (loss) before reclassifications, net of taxes of $504 and $(75) | (848 | ) | 122 | ||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of taxes of $895 and $888 | 1,509 | 1,468 | |||||||||||||||||||||||
Net other comprehensive income | 661 | 1,590 | |||||||||||||||||||||||
Ending balances – June 30 | $ | (4,558 | ) | $ | (6,501 | ) | |||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Beginning balances – January 1 | $ | (5,716 | ) | $ | (8,867 | ) | |||||||||||||||||||
Other comprehensive loss before reclassifications, net of taxes of $1,010 and $334 | (1,827 | ) | (514 | ) | |||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of taxes of $1,769 and $1,725 | 2,985 | 2,880 | |||||||||||||||||||||||
Net other comprehensive income | 1,158 | 2,366 | |||||||||||||||||||||||
Ending balances – June 30 | $ | (4,558 | ) | $ | (6,501 | ) | |||||||||||||||||||
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||
12 | Goodwill and Other Intangible Assets | ||||||||||||||||
The Company’s goodwill was as follows: | |||||||||||||||||
U.S. | International | Total | |||||||||||||||
Operating | Operating | ||||||||||||||||
Segment | Segment | ||||||||||||||||
Balance at January 1, 2014 (1) | $ | 1,150,471 | $ | 137,619 | $ | 1,288,090 | |||||||||||
Foreign currency translation adjustments | — | (1,401 | ) | (1,401 | ) | ||||||||||||
Balance at June 30, 2014 (1) | $ | 1,150,471 | $ | 136,218 | $ | 1,286,689 | |||||||||||
-1 | Balances are presented net of accumulated impairment losses of $214,031 for the U.S. operating segment and $27,622 for the international operating segment. | ||||||||||||||||
The Company evaluates goodwill for impairment on an annual basis during the fourth quarter or whenever events or changes in circumstances indicate the carrying value of goodwill might exceed its estimated fair value. The Company evaluates goodwill for impairment at the reporting unit level and has allocated goodwill to the reporting unit based on an estimate of its relative fair value. The Company considers the reporting unit to be each of its eighteen regions in the U.S. and each of its eight countries internationally (Honduras, El Salvador, Nicaragua, Costa Rica, Panama and Guatemala are considered one reporting unit). Goodwill impairment is evaluated using a two-step approach requiring the Company to compute the fair value of a reporting unit and compare it with its carrying value. If the carrying value of the reporting unit exceeds the estimated fair value, a second step is performed to measure the potential goodwill impairment. Significant judgment is involved in estimating cash flows and fair value. Management’s estimates, which fall under Level 3 of the U.S. GAAP fair value hierarchy as defined by FASB ASC Topic 820-10-35, are based on historical and projected operating performance, recent market transactions and current industry trading multiples. Fair value is determined based on a multiple of cash flows, which was eight times for the evaluation performed during the fourth quarter of 2013. | |||||||||||||||||
No events or changes in circumstances occurred during the six months ended June 30, 2014 that indicated the carrying value of goodwill might exceed its estimated fair value. | |||||||||||||||||
Intangible assets consisted of the following: | |||||||||||||||||
Balance at | Amortization | Other (1) | Balance at | ||||||||||||||
January 1, | June 30, | ||||||||||||||||
2014 | 2014 | ||||||||||||||||
Intangible assets with finite lives: | |||||||||||||||||
Gross carrying amount | $ | 101,617 | $ | — | $ | (1,216 | ) | $ | 100,401 | ||||||||
Accumulated amortization | (46,297 | ) | (3,059 | ) | — | (49,356 | ) | ||||||||||
Total net intangible assets with finite lives | 55,320 | (3,059 | ) | (1,216 | ) | 51,045 | |||||||||||
Intangible assets with indefinite lives: | |||||||||||||||||
Tradename | 300,824 | — | 182 | 301,006 | |||||||||||||
Total intangible assets – net | $ | 356,144 | $ | (3,059 | ) | $ | (1,034 | ) | $ | 352,051 | |||||||
(1) | Consists primarily of foreign currency translation adjustments. | ||||||||||||||||
Estimated aggregate future amortization expense for intangible assets is as follows: | |||||||||||||||||
For the six months ended December 31, 2014 | $ | 3,169 | |||||||||||||||
For the twelve months ended December 31, 2015 | 5,988 | ||||||||||||||||
For the twelve months ended December 31, 2016 | 5,876 | ||||||||||||||||
For the twelve months ended December 31, 2017 | 5,319 | ||||||||||||||||
For the twelve months ended December 31, 2018 | 4,368 | ||||||||||||||||
Thereafter | 26,325 | ||||||||||||||||
Total | $ | 51,045 | |||||||||||||||
Impairment_of_LongLived_Assets
Impairment of Long-Lived Assets | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Impairment of Long-Lived Assets | ' | ||||||||||||||||
13 | Impairment of Long-Lived Assets | ||||||||||||||||
The Company reviews long-lived assets for impairment indicators on a quarterly basis or whenever events or changes in circumstances indicate the carrying amount of the assets may not be fully recoverable. | |||||||||||||||||
The Company considers actual theatre level cash flows, budgeted theatre level cash flows, theatre property and equipment carrying values, amortizing intangible asset carrying values, the age of a recently built theatre, competitive theatres in the marketplace, the impact of recent ticket price changes, available lease renewal options and other factors considered relevant in its assessment of impairment of individual theatre assets. Long-lived assets are evaluated for impairment on an individual theatre basis, which the Company believes is the lowest applicable level for which there are identifiable cash flows. The impairment evaluation is based on the estimated undiscounted cash flows from continuing use through the remainder of the theatre’s useful life. The remainder of the useful life correlates with the available remaining lease period, which includes the probability of renewal periods for leased properties and a period of approximately twenty years for fee owned properties. If the estimated undiscounted cash flows are not sufficient to recover a long-lived asset’s carrying value, the Company then compares the carrying value of the asset group (theatre) with its estimated fair value. When estimated fair value is determined to be lower than the carrying value of the asset group (theatre), the asset group (theatre) is written down to its estimated fair value. Significant judgment is involved in estimating cash flows and fair value. Management’s estimates, which fall under Level 3 of the U.S. GAAP fair value hierarchy as defined by FASB ASC Topic 820-10-35, are based on historical and projected operating performance, recent market transactions and current industry trading multiples. Fair value is determined based on a multiple of cash flows, which was six and a half times for the evaluations performed during the six months ended June 30, 2014 and 2013. As of June 30, 2014, the estimated aggregate fair value of the long-lived assets impaired during the six months ended June 30, 2014 was approximately $2,071. | |||||||||||||||||
The long-lived asset impairment charges recorded during each of the periods presented are specific to theatres that were directly and individually impacted by increased competition, adverse changes in market demographics or adverse changes in the development or the conditions of the areas surrounding the theatre. | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
United States theatre properties | $ | 430 | $ | 651 | $ | 784 | $ | 770 | |||||||||
International theatre properties | — | 450 | — | 1,175 | |||||||||||||
Impairment of long-lived assets | $ | 430 | $ | 1,101 | $ | 784 | $ | 1,945 | |||||||||
Fair_Value_Measurements
Fair Value Measurements | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
14 | Fair Value Measurements | ||||||||||||||||
The Company determines fair value measurements in accordance with FASB ASC Topic 820, which establishes a fair value hierarchy under which an asset or liability is categorized based on the lowest level of input significant to its fair value measurement. The levels of input defined by FASB ASC Topic 820 are as follows: | |||||||||||||||||
Level 1 – quoted market prices in active markets for identical assets or liabilities that are accessible at the measurement date; | |||||||||||||||||
Level 2 – other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly; and | |||||||||||||||||
Level 3 – unobservable and should be used to measure fair value to the extent that observable inputs are not available. | |||||||||||||||||
Below is a summary of assets and liabilities measured at fair value on a recurring basis by the Company under FASB ASC Topic 820 as of June 30, 2014: | |||||||||||||||||
Description | Carrying | Fair Value | |||||||||||||||
Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Interest rate swap liabilities – current (see Note 11) | $ | (5,557 | ) | $ | — | $ | — | $ | (5,557 | ) | |||||||
Interest rate swap liabilities – long term (see Note 11) | $ | (1,702 | ) | $ | — | $ | — | $ | (1,702 | ) | |||||||
Investment in RealD (see Note 9) | $ | 15,603 | $ | 15,603 | $ | — | $ | — | |||||||||
Below is a summary of assets and liabilities measured at fair value on a recurring basis by the Company under FASB ASC Topic 820 as of December 31, 2013: | |||||||||||||||||
Description | Carrying | Fair Value | |||||||||||||||
Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Interest rate swap liabilities – current (see Note 11) | $ | (5,367 | ) | $ | — | $ | — | $ | (5,367 | ) | |||||||
Interest rate swap liabilities – long term (see Note 11) | $ | (3,809 | ) | $ | — | $ | — | $ | (3,809 | ) | |||||||
Investment in RealD (see Note 9) | $ | 10,443 | $ | 10,443 | $ | — | $ | — | |||||||||
Below is a reconciliation of the beginning and ending balance for liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3): | |||||||||||||||||
Liabilities | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Beginning balances – January 1 | $ | 9,176 | $ | 14,192 | |||||||||||||
Total (gain) loss included in accumulated other comprehensive loss | 1,068 | (877 | ) | ||||||||||||||
Settlements | (2,985 | ) | (2,880 | ) | |||||||||||||
Ending balances – June 30 | $ | 7,259 | $ | 10,435 | |||||||||||||
The Company also uses the income approach for fair value measurements on a nonrecurring basis in the impairment evaluations of its long-lived assets (see Note 12 and Note 13). Additionally, the Company uses the market approach to estimate the fair value of its long-term debt (see Note 4). There were no changes in valuation techniques during the period. There were no transfers in or out of Level 1, Level 2 or Level 3 during the six months ended June 30, 2014. |
Foreign_Currency_Translation
Foreign Currency Translation | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Foreign Currency Translation | ' | ||||||||||||||||
15 | Foreign Currency Translation | ||||||||||||||||
The accumulated other comprehensive loss account in stockholders’ equity of $77,872 and $81,819 at June 30, 2014 and December 31, 2013, respectively, includes cumulative foreign currency adjustments of $79,798 and $78,947, respectively, from translating the financial statements of the Company’s international subsidiaries, and also includes the change in fair values of the Company’s interest rate swap agreements that are designated as hedges and the change in fair value of the Company’s available-for-sale securities. | |||||||||||||||||
All foreign countries where the Company has operations are non-highly inflationary and the local currency is the same as the functional currency in all of the locations. Thus, any fluctuation in the currency results in a cumulative foreign currency translation adjustment recorded to accumulated other comprehensive loss. | |||||||||||||||||
Below is a summary of the impact of translating the June 30, 2014 financial statements of certain of the Company’s international subsidiaries: | |||||||||||||||||
Country | Total Assets at | Other Comprehensive | |||||||||||||||
Exchange Rate as of | June 30, 2014 | Income (Loss) For The | |||||||||||||||
Six Months Ended | |||||||||||||||||
June 30, 2014 | December 31, 2013 | June 30, 2014 | |||||||||||||||
Brazil | 2.21 | 2.36 | $ | 363,614 | $ | 16,666 | |||||||||||
Argentina | 8.14 | 6.52 | $ | 98,090 | (16,625 | ) | |||||||||||
Chile | 552.1 | 525.55 | $ | 52,924 | (1,878 | ) | |||||||||||
All other | 986 | ||||||||||||||||
$ | (851 | ) | |||||||||||||||
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Supplemental Cash Flow Information | ' | ||||||||
16 | Supplemental Cash Flow Information | ||||||||
The following is provided as supplemental information to the condensed consolidated statements of cash flows: | |||||||||
Six Months Ended | |||||||||
June 30, | |||||||||
2014 | 2013 | ||||||||
Cash paid for interest | $ | 53,890 | $ | 61,814 | |||||
Cash paid for income taxes, net of refunds received | $ | 64,540 | $ | 43,748 | |||||
Noncash investing and financing activities: | |||||||||
Change in accounts payable and accrued expenses for the acquisition of theatre properties and equipment (1) | $ | (4,617 | ) | $ | (3,222 | ) | |||
Theatre properties acquired under capital lease | $ | 4,012 | $ | 50,840 | |||||
Investment in NCM – receipt of common units (see Note 7) | $ | 8,216 | $ | 98,797 | |||||
Dividends accrued on unvested restricted stock unit awards | $ | (274 | ) | $ | (310 | ) | |||
Change in fair market value of available-for-sale securities, net of taxes (see Note 9) | $ | 3,244 | $ | 2,041 | |||||
(1) | Additions to theatre properties and equipment included in accounts payable as of June 30, 2014 and December 31, 2013 were $7,393 and $12,010, respectively. |
Segments
Segments | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segments | ' | ||||||||||||||||
17 | Segments | ||||||||||||||||
The Company manages its international market and its U.S. market as separate reportable operating segments, with the international segment consisting of operations in Brazil, Argentina, Chile, Colombia, Peru, Ecuador, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, Guatemala, and Bolivia. Each segment’s revenue is derived from admissions and concession sales and other ancillary revenues, primarily screen advertising. The measure of segment profit and loss the Company uses to evaluate performance and allocate its resources is Adjusted EBITDA, as defined in the reconciliation table below. The Company does not report total asset information by segment because that information is not used to evaluate the performance of or allocate resources between segments. | |||||||||||||||||
Below is a breakdown of selected financial information by reportable operating segment: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Revenues | |||||||||||||||||
U.S. | $ | 524,485 | $ | 517,109 | $ | 969,405 | $ | 883,472 | |||||||||
International | 196,881 | 211,879 | 357,073 | 396,072 | |||||||||||||
Eliminations | (3,503 | ) | (3,366 | ) | (6,335 | ) | (6,149 | ) | |||||||||
Total revenues | $ | 717,863 | $ | 725,622 | $ | 1,320,143 | $ | 1,273,395 | |||||||||
Adjusted EBITDA | |||||||||||||||||
U.S. | $ | 120,871 | $ | 128,697 | $ | 214,411 | $ | 208,775 | |||||||||
International | 48,484 | 49,327 | 83,499 | 85,505 | |||||||||||||
Total Adjusted EBITDA | $ | 169,355 | $ | 178,024 | $ | 297,910 | $ | 294,280 | |||||||||
Capital expenditures | |||||||||||||||||
U.S. | $ | 30,483 | $ | 29,631 | $ | 60,795 | $ | 35,787 | |||||||||
International | 19,274 | 23,868 | 41,768 | 54,601 | |||||||||||||
Total capital expenditures | $ | 49,757 | $ | 53,499 | $ | 102,563 | $ | 90,388 | |||||||||
The following table sets forth a reconciliation of net income to Adjusted EBITDA: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net income | $ | 72,134 | $ | 20,837 | $ | 107,830 | $ | 53,899 | |||||||||
Add (deduct): | |||||||||||||||||
Income taxes | 24,081 | 8,722 | 44,943 | 19,340 | |||||||||||||
Interest expense (1) | 28,286 | 34,458 | 56,766 | 67,064 | |||||||||||||
Loss on early retirement of debt | — | 72,302 | — | 72,302 | |||||||||||||
Other income (2) | (6,455 | ) | (609 | ) | (14,141 | ) | (5,163 | ) | |||||||||
Depreciation and amortization | 43,881 | 38,734 | 86,377 | 77,766 | |||||||||||||
Impairment of long-lived assets | 430 | 1,101 | 784 | 1,945 | |||||||||||||
(Gain) loss on sale of assets and other | 3,276 | (2,801 | ) | 6,129 | (3,143 | ) | |||||||||||
Deferred lease expenses | 249 | 1,213 | 1,848 | 2,103 | |||||||||||||
Amortization of long-term prepaid rents | 407 | 729 | 785 | 1,379 | |||||||||||||
Share based awards compensation expense | 3,066 | 3,338 | 6,589 | 6,788 | |||||||||||||
Adjusted EBITDA (3) | $ | 169,355 | $ | 178,024 | $ | 297,910 | $ | 294,280 | |||||||||
(1) | Includes amortization of debt issue costs. | ||||||||||||||||
(2) | Includes interest income, foreign currency exchange gain (loss) and equity in income of affiliates and excludes distributions from NCM. | ||||||||||||||||
(3) | Distributions from NCM are reported entirely within the U.S. operating segment. | ||||||||||||||||
Financial Information About Geographic Areas | |||||||||||||||||
Below is a breakdown of selected financial information by geographic area: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
Revenues | 2014 | 2013 | 2014 | 2013 | |||||||||||||
U.S. | $ | 524,485 | $ | 517,109 | $ | 969,405 | $ | 883,472 | |||||||||
Brazil | 97,501 | 82,686 | 172,900 | 164,803 | |||||||||||||
Other international countries | 99,380 | 129,193 | 184,173 | 231,269 | |||||||||||||
Eliminations | (3,503 | ) | (3,366 | ) | (6,335 | ) | (6,149 | ) | |||||||||
Total | $ | 717,863 | $ | 725,622 | $ | 1,320,143 | $ | 1,273,395 | |||||||||
Theatre Properties and Equipment-net | June 30, | December 31, | |||||||||||||||
2014 | 2013 | ||||||||||||||||
U.S. | $ | 1,054,954 | $ | 1,062,471 | |||||||||||||
Brazil | 234,325 | 201,492 | |||||||||||||||
Other international countries | 156,347 | 163,227 | |||||||||||||||
Total | $ | 1,445,626 | $ | 1,427,190 | |||||||||||||
Related_Party_Transactions
Related Party Transactions | 6 Months Ended | |
Jun. 30, 2014 | ||
Related Party Transactions | ' | |
18 | Related Party Transactions | |
The Company manages theatres for Laredo Theatre, Ltd. (“Laredo”). The Company is the sole general partner and owns 75% of the limited partnership interests of Laredo. Lone Star Theatres, Inc. owns the remaining 25% of the limited partnership interests in Laredo and is 100% owned by Mr. David Roberts, Lee Roy Mitchell’s son-in-law. Lee Roy Mitchell is the Company’s Chairman of the Board and directly and indirectly owns approximately 9% of the Company’s common stock. Under the agreement, management fees are paid by Laredo to the Company at a rate of 5% of annual theatre revenues up to $50,000 and 3% of annual theatre revenues in excess of $50,000. The Company recorded $279 and $284 of management fee revenues during the six months ended June 30, 2014 and 2013, respectively. All such amounts are included in the Company’s condensed consolidated financial statements with the intercompany amounts eliminated in consolidation. | ||
The Company leases 15 theatres and one parking facility from Syufy Enterprises, LP (“Syufy”) or affiliates of Syufy. Raymond Syufy is one of the Company’s directors and is an officer of the general partner of Syufy. Of these 16 leases, 14 have fixed minimum annual rent. The two leases without minimum annual rent have rent based upon a specified percentage of gross sales as defined in the lease with no minimum annual rent. For the six months ended June 30, 2014 and 2013, the Company paid total rent of approximately $11,643 and $11,713, respectively, to Syufy. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended | |
Jun. 30, 2014 | ||
Commitments and Contingencies | ' | |
19 | Commitments and Contingencies | |
On June 23, 2014 the Company’s board of directors announced that Mr. Sean Gamble will be the Company’s Executive Vice President – Chief Financial Officer. The Company and Mr. Gamble entered into an Employment Agreement to be effective as of August 25, 2014 (the “Agreement”). The term of the Agreement is three years provided, however, that at the end of each year of the term, the term shall be automatically extended for an additional one-year period. The base salary stipulated in the Agreement is subject to review during the term of the Agreement for increase (but not decrease) each year by the compensation committee of the Company’s board of directors. Mr. Gamble will be eligible to receive annual cash incentive bonuses upon the Company meeting certain performance targets established by the compensation committee and will be eligible to participate in, and receive grants of equity incentive awards under, the Company’s long-term incentive plan. | ||
From time to time, the Company is involved in various legal proceedings arising from the ordinary course of its business operations, such as personal injury claims, employment matters, landlord-tenant disputes, patent claims and contractual disputes, some of which are covered by insurance. The Company believes its potential liability with respect to proceedings currently pending is not material, individually or in the aggregate, to the Company’s financial position, results of operations and cash flows. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Computations of Basic and Diluted Earnings Per Share | ' | ||||||||||||||||
The following table presents computations of basic and diluted earnings per share under the two-class method: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net income attributable to Cinemark Holdings, Inc. | $ | 71,731 | $ | 20,265 | $ | 107,174 | $ | 52,859 | |||||||||
Earnings allocated to participating share-based awards (1) | (542 | ) | (225 | ) | (704 | ) | (547 | ) | |||||||||
Net income attributable to common stockholders | $ | 71,189 | $ | 20,040 | $ | 106,470 | $ | 52,312 | |||||||||
Denominator (shares in thousands): | |||||||||||||||||
Basic weighted average common stock outstanding | 114,786 | 114,007 | 114,485 | 113,745 | |||||||||||||
Common equivalent shares for stock options | — | 9 | — | 10 | |||||||||||||
Common equivalent shares for restricted stock units | 175 | 371 | 329 | 455 | |||||||||||||
Diluted | 114,961 | 114,387 | 114,814 | 114,210 | |||||||||||||
Basic earnings per share attributable to common stockholders | $ | 0.62 | $ | 0.18 | $ | 0.93 | $ | 0.46 | |||||||||
Diluted earnings per share attributable to common stockholders | $ | 0.62 | $ | 0.18 | $ | 0.93 | $ | 0.46 | |||||||||
(1) | For the three months ended June 30, 2014 and 2013, a weighted average of approximately 876 and 1,289 shares of unvested restricted stock, respectively, were considered participating securities. For the six months ended June 30, 2014 and 2013, a weighted average of approximately 761 and 1,197 shares of unvested restricted stock, respectively, were considered participating securities. |
Acquisitions_and_Dispositions_
Acquisitions and Dispositions (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Rave Theatres | ' | ||||||||
Fair Value of Identifiable Assets Acquired and Liabilities Assumed as of Acquisition Date | ' | ||||||||
The following table represents the fair value of the identifiable assets acquired and liabilities assumed as of the acquisition date: | |||||||||
Theatre properties and equipment | $ | 102,977 | |||||||
Tradename | 25,000 | ||||||||
Favorable leases | 17,587 | ||||||||
Goodwill | 186,418 | ||||||||
Unfavorable leases | (30,718 | ) | |||||||
Deferred revenue | (6,634 | ) | |||||||
Capital lease liabilities | (61,651 | ) | |||||||
Other assets, net of other liabilities | 3,896 | ||||||||
Total | $ | 236,875 | |||||||
Unaudited Pro Forma Information of Results of Operations as Rave Acquisition Had Occured | ' | ||||||||
The following unaudited pro forma information summarizes our results of operations as if the Rave Acquisition had occurred as of January 1, 2013: | |||||||||
Three Months Ended | Six Months Ended | ||||||||
June 30, 2013 | June 30, 2013 | ||||||||
Total revenues | $ | 767,348 | $ | 1,367,959 | |||||
Income before income taxes | $ | 35,403 | $ | 82,816 | |||||
Additional Theatres | ' | ||||||||
Fair Value of Identifiable Assets Acquired and Liabilities Assumed as of Acquisition Date | ' | ||||||||
The following table represents the aggregate fair values of identifiable assets acquired and the liabilities assumed as of the acquisition date: | |||||||||
Theatre properties and equipment | $ | 17,524 | |||||||
Goodwill | 17,409 | ||||||||
Capital lease liability | (12,173 | ) | |||||||
Deferred revenue | (388 | ) | |||||||
Total | $ | 22,372 | |||||||
Equity_Tables
Equity (Tables) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Summary of Changes in Stockholders' Equity | ' | ||||||||||||
Below is a summary of changes in stockholders’ equity attributable to Cinemark Holdings, Inc., noncontrolling interests and total equity for the six months ended June 30, 2014 and 2013: | |||||||||||||
Cinemark | Noncontrolling | Total | |||||||||||
Holdings, Inc. | Interests | Equity | |||||||||||
Stockholders’ | |||||||||||||
Equity | |||||||||||||
Balance at January 1, 2014 | $ | 1,093,422 | $ | 8,995 | $ | 1,102,417 | |||||||
Share based awards compensation expense | 6,589 | — | 6,589 | ||||||||||
Stock withholdings related to restricted stock and restricted stock units that vested during the six months ended June 30, 2014 | (9,776 | ) | — | (9,776 | ) | ||||||||
Exercise of stock options | 112 | — | 112 | ||||||||||
Tax benefit related to restricted stock and restricted stock unit vesting | 3,561 | — | 3,561 | ||||||||||
Dividends paid to stockholders (1) | (57,772 | ) | — | (57,772 | ) | ||||||||
Dividends accrued on unvested restricted stock unit awards (1) | (274 | ) | — | (274 | ) | ||||||||
Dividends paid to noncontrolling interests | — | (221 | ) | (221 | ) | ||||||||
Net income | 107,174 | 656 | 107,830 | ||||||||||
Fair value adjustments on interest rate swap agreements designated as hedges, net of settlements, net of taxes of $759 | 1,158 | — | 1,158 | ||||||||||
Fair value adjustments on available-for-sale securities, net of taxes of $1,916 | 3,244 | — | 3,244 | ||||||||||
Other comprehensive income in equity method investments | 396 | — | 396 | ||||||||||
Foreign currency translation adjustments | (851 | ) | 8 | (843 | ) | ||||||||
Balance at June 30, 2014 | $ | 1,146,983 | $ | 9,438 | $ | 1,156,421 | |||||||
Cinemark | Noncontrolling | Total | |||||||||||
Holdings, Inc. | Interests | Equity | |||||||||||
Stockholders’ | |||||||||||||
Equity | |||||||||||||
Balance at January 1, 2013 | $ | 1,084,065 | $ | 10,919 | $ | 1,094,984 | |||||||
Share based awards compensation expense | 6,788 | — | 6,788 | ||||||||||
Stock withholdings related to restricted stock and restricted stock units that vested during the six months ended June 30, 2013 | (3,464 | ) | — | (3,464 | ) | ||||||||
Exercise of stock options | 58 | — | 58 | ||||||||||
Tax benefit related to restricted stock and restricted stock unit vesting | 3,489 | — | 3,489 | ||||||||||
Dividends paid to stockholders (2) | (48,364 | ) | — | (48,364 | ) | ||||||||
Dividends accrued on unvested restricted stock unit awards (2) | (310 | ) | — | (310 | ) | ||||||||
Dividends paid to noncontrolling interests | — | (184 | ) | (184 | ) | ||||||||
Net income | 52,859 | 1,040 | 53,899 | ||||||||||
Fair value adjustments on interest rate swap agreements designated as hedges, net of settlements, net of taxes of $1,391 | 2,366 | — | 2,366 | ||||||||||
Fair value adjustments on available-for-sale securities, net of taxes of $1,249 | 2,041 | — | 2,041 | ||||||||||
Other comprehensive income in equity method investees | 1,678 | — | 1,678 | ||||||||||
Foreign currency translation adjustments | (39,126 | ) | (115 | ) | (39,241 | ) | |||||||
Balance at June 30, 2013 | $ | 1,062,080 | $ | 11,660 | $ | 1,073,740 | |||||||
(1) | On May 22, 2014 the Company’s board of directors declared a cash dividend for the first quarter of 2014 in the amount of $0.25 per share of common stock payable to stockholders of record on June 6, 2014. The dividend was paid on June 20, 2014. On February 14, 2014, the Company’s board of directors declared a cash dividend for the fourth quarter of 2013 in the amount of $0.25 per share of common stock payable to stockholders of record on March 4, 2014. The dividend was paid on March 19, 2014. | ||||||||||||
(2) | On May 24, 2013 the Company’s board of directors declared a cash dividend for the first quarter of 2013 in the amount of $0.21 per share of common stock payable to stockholders of record on June 6, 2013. The dividend was paid on June 20, 2013. On February 12, 2013, the Company’s board of directors declared a cash dividend for the fourth quarter of 2012 in the amount of $0.21 per share of common stock payable to stockholders of record on March 4, 2013. The dividend was paid on March 15, 2013. |
Investment_in_National_CineMed1
Investment in National CineMedia (Tables) | 6 Months Ended | ||||||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||||||
Summary of Activity with NCM Included in Company's Condensed Consolidated Financial Statements | ' | ||||||||||||||||||||||||||||
Below is a summary of activity with NCM included in the Company’s condensed consolidated financial statements: | |||||||||||||||||||||||||||||
Investment | Deferred | Distributions | Equity in | Other | Other | Cash | |||||||||||||||||||||||
in NCM | Revenue | from | Earnings | Revenue | Comprehensive | Received | |||||||||||||||||||||||
NCM | Income | ||||||||||||||||||||||||||||
Balance as of January 1, 2014 | $ | 178,853 | $ | (334,429 | ) | ||||||||||||||||||||||||
Receipt of common units due to annual common unit adjustment | 8,216 | (8,216 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Revenues earned under ESA (1) | — | — | — | — | (4,611 | ) | — | 4,611 | |||||||||||||||||||||
Receipt of excess cash distributions | (5,967 | ) | — | (7,167 | ) | — | — | — | 13,134 | ||||||||||||||||||||
Receipt under tax receivable agreement | (2,385 | ) | — | (3,510 | ) | — | — | — | 5,895 | ||||||||||||||||||||
Equity in earnings | 357 | — | — | (357 | ) | — | — | — | |||||||||||||||||||||
Equity in other comprehensive income | 442 | — | — | — | — | (442 | ) | — | |||||||||||||||||||||
Amortization of deferred revenue | — | 3,636 | — | — | (3,636 | ) | — | — | |||||||||||||||||||||
Balance as of and for the period ended June 30, 2014 | $ | 179,516 | $ | (339,009 | ) | $ | (10,677 | ) | $ | (357 | ) | $ | (8,247 | ) | $ | (442 | ) | $ | 23,640 | ||||||||||
(1) | Amount includes the per patron and per digital screen theatre access fees due to the Company, net of amounts due to NCM for on-screen advertising time provided to the Company’s beverage concessionaire of approximately $5,686. | ||||||||||||||||||||||||||||
Summary Financial Information for NCM | ' | ||||||||||||||||||||||||||||
Below is summary financial information for NCM for the three and six months ended June 26, 2014 and June 27, 2013. | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 26, 2014 | June 27, 2013 | June 26, 2014 | June 27, 2013 | ||||||||||||||||||||||||||
Gross revenues | $ | 99,958 | $ | 122,810 | $ | 170,173 | $ | 205,029 | |||||||||||||||||||||
Operating income | $ | 42,131 | $ | 57,928 | $ | 54,898 | $ | 79,563 | |||||||||||||||||||||
Net earnings | $ | 26,467 | $ | 41,153 | $ | 23,703 | $ | 46,778 | |||||||||||||||||||||
Investment_in_Digital_Cinema_I1
Investment in Digital Cinema Implementation Partners (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Summary of Activity with DCIP | ' | ||||||||||||||||
Below is a summary of changes in the Company’s investment in DCIP for the six months ended June 30, 2014: | |||||||||||||||||
Investment in | |||||||||||||||||
DCIP | |||||||||||||||||
Balance as of January 1, 2014 | $ | 38,033 | |||||||||||||||
Cash contributions | 1,896 | ||||||||||||||||
Equity in income | 6,178 | ||||||||||||||||
Equity in other comprehensive loss | (46 | ) | |||||||||||||||
Balance as of June 30, 2014 | $ | 46,061 | |||||||||||||||
Summary of Financial Information for DCIP | ' | ||||||||||||||||
Below is summary financial information for DCIP for the three and six months ended June 30, 2014 and 2013. | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, 2014 | June 30, 2013 | June 30, 2014 | June 30, 2013 | ||||||||||||||
Revenues | $ | 43,396 | $ | 45,022 | $ | 86,084 | $ | 88,077 | |||||||||
Operating income | $ | 26,700 | $ | 28,884 | $ | 51,004 | $ | 55,525 | |||||||||
Net income | $ | 19,065 | $ | 2,456 | $ | 24,593 | $ | 14,264 |
Investment_in_Marketable_Secur1
Investment in Marketable Securities - RealD, Inc. (Tables) | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Summary of Changes in Investment in RealD | ' | ||||
Below is a summary of changes in the Company’s investment in RealD for the six months ended June 30, 2014: | |||||
Investment in | |||||
RealD | |||||
Balance as of January 1, 2014 | $ | 10,443 | |||
Unrealized holding gain | 5,160 | ||||
Balance as of June 30, 2014 | $ | 15,603 | |||
Treasury_Stock_and_Share_Based1
Treasury Stock and Share Based Awards (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Summary of Treasury Stock Activity | ' | ||||||||
Below is a summary of the Company’s treasury stock activity for the six months ended June 30, 2014: | |||||||||
Number of | Cost | ||||||||
Treasury | |||||||||
Shares | |||||||||
Balance at January 1, 2014 | 3,694,935 | $ | 51,946 | ||||||
Restricted stock withholdings (1) | 333,507 | 9,776 | |||||||
Restricted stock forfeitures | 12,186 | — | |||||||
Balance at June 30, 2014 | 4,040,628 | $ | 61,722 | ||||||
-1 | The Company withheld shares as a result of such election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and restricted stock units. The Company determined the number of shares to be withheld based upon market values ranging from $27.19 to $30.23 per share. | ||||||||
Summary of Restricted Stock Activity | ' | ||||||||
Below is a summary of restricted stock activity for the six months ended June 30, 2014: | |||||||||
Shares of | Weighted | ||||||||
Restricted | Average | ||||||||
Stock | Grant Date | ||||||||
Fair Value | |||||||||
Outstanding at January 1, 2014 | 1,260,913 | $ | 21.85 | ||||||
Granted | 261,213 | $ | 28.72 | ||||||
Vested | (619,307 | ) | $ | 20.5 | |||||
Forfeited | (12,186 | ) | $ | 19.61 | |||||
Outstanding at June 30, 2014 | 890,633 | $ | 24.83 | ||||||
Unvested restricted stock at June 30, 2014 | 890,633 | $ | 24.83 | ||||||
Summary of Potential Number of Shares Vesting under Restricted Stock Unit Awards | ' | ||||||||
Below is a table summarizing the potential number of shares that could vest under restricted stock unit awards granted during the six months ended June 30, 2014 at each of the three target levels of financial performance (excluding forfeiture assumptions): | |||||||||
Number of | Value at | ||||||||
Shares | Grant | ||||||||
Vesting | |||||||||
at IRR of at least 8.5% | 65,832 | $ | 1,879 | ||||||
at IRR of at least 10.5% | 131,683 | $ | 3,758 | ||||||
at IRR of at least 12.5% | 197,515 | $ | 5,637 |
Interest_Rate_Swap_Agreements_
Interest Rate Swap Agreements (Tables) | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Interest Rate Swap Agreements Designated as Hedge Agreements | ' | ||||||||||||||||||||||||
Below is a summary of the Company’s current interest rate swap agreements designated as cash flow hedges as of June 30, 2014: | |||||||||||||||||||||||||
Nominal | Effective Date | Pay Rate | Receive Rate | Expiration Date | Current | Long- | Estimated | ||||||||||||||||||
Amount | Liability (1) | Term | Total Fair | ||||||||||||||||||||||
Liability (2) | Value at | ||||||||||||||||||||||||
June 30, | |||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||
$ | 175,000 | December 2010 | 1.3975 | % | 1-Month LIBOR | September 2015 | $ | 2,027 | $ | 448 | $ | 2,475 | |||||||||||||
$ | 175,000 | Dec-10 | 1.4 | % | 1-Month LIBOR | Sep-15 | 2,058 | 436 | 2,494 | ||||||||||||||||
$ | 100,000 | November 2011 | 1.715 | % | 1-Month LIBOR | Apr-16 | 1,472 | 818 | 2,290 | ||||||||||||||||
$ | 450,000 | $ | 5,557 | $ | 1,702 | $ | 7,259 | ||||||||||||||||||
(1) | Included in accounts payable and accrued expenses on the condensed consolidated balance sheet as of June 30, 2014. | ||||||||||||||||||||||||
(2) | Included in other long-term liabilities on the condensed consolidated balance sheet as of June 30, 2014. | ||||||||||||||||||||||||
Interest Rate Swap Agreement | ' | ||||||||||||||||||||||||
Changes in Accumulated Other Comprehensive Loss, Net of Taxes, Related to Interest Rate Swap Agreements | ' | ||||||||||||||||||||||||
The changes in accumulated other comprehensive loss, net of taxes, related to the Company’s interest rate swap agreements for the three and six months ended June 30, 2014 and 2013 were as follows: | |||||||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Beginning balances – April 1 | $ | (5,219 | ) | $ | (8,091 | ) | |||||||||||||||||||
Other comprehensive income (loss) before reclassifications, net of taxes of $504 and $(75) | (848 | ) | 122 | ||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of taxes of $895 and $888 | 1,509 | 1,468 | |||||||||||||||||||||||
Net other comprehensive income | 661 | 1,590 | |||||||||||||||||||||||
Ending balances – June 30 | $ | (4,558 | ) | $ | (6,501 | ) | |||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Beginning balances – January 1 | $ | (5,716 | ) | $ | (8,867 | ) | |||||||||||||||||||
Other comprehensive loss before reclassifications, net of taxes of $1,010 and $334 | (1,827 | ) | (514 | ) | |||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of taxes of $1,769 and $1,725 | 2,985 | 2,880 | |||||||||||||||||||||||
Net other comprehensive income | 1,158 | 2,366 | |||||||||||||||||||||||
Ending balances – June 30 | $ | (4,558 | ) | $ | (6,501 | ) | |||||||||||||||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Summary of Goodwill | ' | ||||||||||||||||
The Company’s goodwill was as follows: | |||||||||||||||||
U.S. | International | Total | |||||||||||||||
Operating | Operating | ||||||||||||||||
Segment | Segment | ||||||||||||||||
Balance at January 1, 2014 (1) | $ | 1,150,471 | $ | 137,619 | $ | 1,288,090 | |||||||||||
Foreign currency translation adjustments | — | (1,401 | ) | (1,401 | ) | ||||||||||||
Balance at June 30, 2014 (1) | $ | 1,150,471 | $ | 136,218 | $ | 1,286,689 | |||||||||||
-1 | Balances are presented net of accumulated impairment losses of $214,031 for the U.S. operating segment and $27,622 for the international operating segment. | ||||||||||||||||
Intangible Assets | ' | ||||||||||||||||
Intangible assets consisted of the following: | |||||||||||||||||
Balance at | Amortization | Other (1) | Balance at | ||||||||||||||
January 1, | June 30, | ||||||||||||||||
2014 | 2014 | ||||||||||||||||
Intangible assets with finite lives: | |||||||||||||||||
Gross carrying amount | $ | 101,617 | $ | — | $ | (1,216 | ) | $ | 100,401 | ||||||||
Accumulated amortization | (46,297 | ) | (3,059 | ) | — | (49,356 | ) | ||||||||||
Total net intangible assets with finite lives | 55,320 | (3,059 | ) | (1,216 | ) | 51,045 | |||||||||||
Intangible assets with indefinite lives: | |||||||||||||||||
Tradename | 300,824 | — | 182 | 301,006 | |||||||||||||
Total intangible assets – net | $ | 356,144 | $ | (3,059 | ) | $ | (1,034 | ) | $ | 352,051 | |||||||
(1) | Consists primarily of foreign currency translation adjustments. | ||||||||||||||||
Estimated Aggregate Future Amortization Expense for Intangible Assets | ' | ||||||||||||||||
Estimated aggregate future amortization expense for intangible assets is as follows: | |||||||||||||||||
For the six months ended December 31, 2014 | $ | 3,169 | |||||||||||||||
For the twelve months ended December 31, 2015 | 5,988 | ||||||||||||||||
For the twelve months ended December 31, 2016 | 5,876 | ||||||||||||||||
For the twelve months ended December 31, 2017 | 5,319 | ||||||||||||||||
For the twelve months ended December 31, 2018 | 4,368 | ||||||||||||||||
Thereafter | 26,325 | ||||||||||||||||
Total | $ | 51,045 | |||||||||||||||
Impairment_of_LongLived_Assets1
Impairment of Long-Lived Assets (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Long-Lived Asset Impairment Charges | ' | ||||||||||||||||
The long-lived asset impairment charges recorded during each of the periods presented are specific to theatres that were directly and individually impacted by increased competition, adverse changes in market demographics or adverse changes in the development or the conditions of the areas surrounding the theatre. | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
United States theatre properties | $ | 430 | $ | 651 | $ | 784 | $ | 770 | |||||||||
International theatre properties | — | 450 | — | 1,175 | |||||||||||||
Impairment of long-lived assets | $ | 430 | $ | 1,101 | $ | 784 | $ | 1,945 | |||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Measurement of Assets and Liabilities on Recurring Basis | ' | ||||||||||||||||
Below is a summary of assets and liabilities measured at fair value on a recurring basis by the Company under FASB ASC Topic 820 as of June 30, 2014: | |||||||||||||||||
Description | Carrying | Fair Value | |||||||||||||||
Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Interest rate swap liabilities – current (see Note 11) | $ | (5,557 | ) | $ | — | $ | — | $ | (5,557 | ) | |||||||
Interest rate swap liabilities – long term (see Note 11) | $ | (1,702 | ) | $ | — | $ | — | $ | (1,702 | ) | |||||||
Investment in RealD (see Note 9) | $ | 15,603 | $ | 15,603 | $ | — | $ | — | |||||||||
Below is a summary of assets and liabilities measured at fair value on a recurring basis by the Company under FASB ASC Topic 820 as of December 31, 2013: | |||||||||||||||||
Description | Carrying | Fair Value | |||||||||||||||
Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Interest rate swap liabilities – current (see Note 11) | $ | (5,367 | ) | $ | — | $ | — | $ | (5,367 | ) | |||||||
Interest rate swap liabilities – long term (see Note 11) | $ | (3,809 | ) | $ | — | $ | — | $ | (3,809 | ) | |||||||
Investment in RealD (see Note 9) | $ | 10,443 | $ | 10,443 | $ | — | $ | — | |||||||||
Reconciliation of Beginning and Ending Balance for Liabilities Measured at Fair Value | ' | ||||||||||||||||
Below is a reconciliation of the beginning and ending balance for liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3): | |||||||||||||||||
Liabilities | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Beginning balances – January 1 | $ | 9,176 | $ | 14,192 | |||||||||||||
Total (gain) loss included in accumulated other comprehensive loss | 1,068 | (877 | ) | ||||||||||||||
Settlements | (2,985 | ) | (2,880 | ) | |||||||||||||
Ending balances – June 30 | $ | 7,259 | $ | 10,435 | |||||||||||||
Foreign_Currency_Translation_T
Foreign Currency Translation (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Summary of Impact of Translating Financial Statements of Certain of Company's International Subsidiaries | ' | ||||||||||||||||
Below is a summary of the impact of translating the June 30, 2014 financial statements of certain of the Company’s international subsidiaries: | |||||||||||||||||
Country | Total Assets at | Other Comprehensive | |||||||||||||||
Exchange Rate as of | June 30, 2014 | Income (Loss) For The | |||||||||||||||
Six Months Ended | |||||||||||||||||
June 30, 2014 | December 31, 2013 | June 30, 2014 | |||||||||||||||
Brazil | 2.21 | 2.36 | $ | 363,614 | $ | 16,666 | |||||||||||
Argentina | 8.14 | 6.52 | $ | 98,090 | (16,625 | ) | |||||||||||
Chile | 552.1 | 525.55 | $ | 52,924 | (1,878 | ) | |||||||||||
All other | 986 | ||||||||||||||||
$ | (851 | ) | |||||||||||||||
Supplemental_Cash_Flow_Informa1
Supplemental Cash Flow Information (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Supplemental Information to Condensed Consolidated Statements of Cash Flows | ' | ||||||||
The following is provided as supplemental information to the condensed consolidated statements of cash flows: | |||||||||
Six Months Ended | |||||||||
June 30, | |||||||||
2014 | 2013 | ||||||||
Cash paid for interest | $ | 53,890 | $ | 61,814 | |||||
Cash paid for income taxes, net of refunds received | $ | 64,540 | $ | 43,748 | |||||
Noncash investing and financing activities: | |||||||||
Change in accounts payable and accrued expenses for the acquisition of theatre properties and equipment (1) | $ | (4,617 | ) | $ | (3,222 | ) | |||
Theatre properties acquired under capital lease | $ | 4,012 | $ | 50,840 | |||||
Investment in NCM – receipt of common units (see Note 7) | $ | 8,216 | $ | 98,797 | |||||
Dividends accrued on unvested restricted stock unit awards | $ | (274 | ) | $ | (310 | ) | |||
Change in fair market value of available-for-sale securities, net of taxes (see Note 9) | $ | 3,244 | $ | 2,041 | |||||
(1) | Additions to theatre properties and equipment included in accounts payable as of June 30, 2014 and December 31, 2013 were $7,393 and $12,010, respectively. |
Segments_Tables
Segments (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Selected Financial Information by Reportable Operating Segment | ' | ||||||||||||||||
Below is a breakdown of selected financial information by reportable operating segment: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Revenues | |||||||||||||||||
U.S. | $ | 524,485 | $ | 517,109 | $ | 969,405 | $ | 883,472 | |||||||||
International | 196,881 | 211,879 | 357,073 | 396,072 | |||||||||||||
Eliminations | (3,503 | ) | (3,366 | ) | (6,335 | ) | (6,149 | ) | |||||||||
Total revenues | $ | 717,863 | $ | 725,622 | $ | 1,320,143 | $ | 1,273,395 | |||||||||
Adjusted EBITDA | |||||||||||||||||
U.S. | $ | 120,871 | $ | 128,697 | $ | 214,411 | $ | 208,775 | |||||||||
International | 48,484 | 49,327 | 83,499 | 85,505 | |||||||||||||
Total Adjusted EBITDA | $ | 169,355 | $ | 178,024 | $ | 297,910 | $ | 294,280 | |||||||||
Capital expenditures | |||||||||||||||||
U.S. | $ | 30,483 | $ | 29,631 | $ | 60,795 | $ | 35,787 | |||||||||
International | 19,274 | 23,868 | 41,768 | 54,601 | |||||||||||||
Total capital expenditures | $ | 49,757 | $ | 53,499 | $ | 102,563 | $ | 90,388 | |||||||||
Reconciliation of Net Income to Adjusted EBITDA | ' | ||||||||||||||||
The following table sets forth a reconciliation of net income to Adjusted EBITDA: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net income | $ | 72,134 | $ | 20,837 | $ | 107,830 | $ | 53,899 | |||||||||
Add (deduct): | |||||||||||||||||
Income taxes | 24,081 | 8,722 | 44,943 | 19,340 | |||||||||||||
Interest expense (1) | 28,286 | 34,458 | 56,766 | 67,064 | |||||||||||||
Loss on early retirement of debt | — | 72,302 | — | 72,302 | |||||||||||||
Other income (2) | (6,455 | ) | (609 | ) | (14,141 | ) | (5,163 | ) | |||||||||
Depreciation and amortization | 43,881 | 38,734 | 86,377 | 77,766 | |||||||||||||
Impairment of long-lived assets | 430 | 1,101 | 784 | 1,945 | |||||||||||||
(Gain) loss on sale of assets and other | 3,276 | (2,801 | ) | 6,129 | (3,143 | ) | |||||||||||
Deferred lease expenses | 249 | 1,213 | 1,848 | 2,103 | |||||||||||||
Amortization of long-term prepaid rents | 407 | 729 | 785 | 1,379 | |||||||||||||
Share based awards compensation expense | 3,066 | 3,338 | 6,589 | 6,788 | |||||||||||||
Adjusted EBITDA (3) | $ | 169,355 | $ | 178,024 | $ | 297,910 | $ | 294,280 | |||||||||
(1) | Includes amortization of debt issue costs. | ||||||||||||||||
(2) | Includes interest income, foreign currency exchange gain (loss) and equity in income of affiliates and excludes distributions from NCM. | ||||||||||||||||
(3) | Distributions from NCM are reported entirely within the U.S. operating segment. | ||||||||||||||||
Selected Financial Information by Geographic Area | ' | ||||||||||||||||
Below is a breakdown of selected financial information by geographic area: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
Revenues | 2014 | 2013 | 2014 | 2013 | |||||||||||||
U.S. | $ | 524,485 | $ | 517,109 | $ | 969,405 | $ | 883,472 | |||||||||
Brazil | 97,501 | 82,686 | 172,900 | 164,803 | |||||||||||||
Other international countries | 99,380 | 129,193 | 184,173 | 231,269 | |||||||||||||
Eliminations | (3,503 | ) | (3,366 | ) | (6,335 | ) | (6,149 | ) | |||||||||
Total | $ | 717,863 | $ | 725,622 | $ | 1,320,143 | $ | 1,273,395 | |||||||||
Theatre Properties and Equipment-net | June 30, | December 31, | |||||||||||||||
2014 | 2013 | ||||||||||||||||
U.S. | $ | 1,054,954 | $ | 1,062,471 | |||||||||||||
Brazil | 234,325 | 201,492 | |||||||||||||||
Other international countries | 156,347 | 163,227 | |||||||||||||||
Total | $ | 1,445,626 | $ | 1,427,190 | |||||||||||||
The_Company_and_Basis_of_Prese1
The Company and Basis of Presentation - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2014 | |
Summary Of Significant Accounting Policies [Line Items] | ' |
Majority-owned subsidiaries that Company controls | 'Between 20% and 50% |
Subsidiaries that Company accounts for under cost method | 'Less than 20% |
Computations_of_Basic_and_Dilu
Computations of Basic and Diluted Earnings Per Share (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Earnings Per Share Disclosure [Line Items] | ' | ' | ' | ' | ||||
Net income attributable to Cinemark Holdings, Inc. | $71,731 | $20,265 | $107,174 | $52,859 | ||||
Earnings allocated to participating share-based awards | -542 | [1] | -225 | [1] | -704 | [1] | -547 | [1] |
Net income attributable to common stockholders | $71,189 | $20,040 | $106,470 | $52,312 | ||||
Basic weighted average common stock outstanding | 114,786 | 114,007 | 114,485 | 113,745 | ||||
Common equivalent shares for stock options | ' | 9 | ' | 10 | ||||
Common equivalent shares for restricted stock units | 175 | 371 | 329 | 455 | ||||
Diluted | 114,961 | 114,387 | 114,814 | 114,210 | ||||
Basic earnings per share attributable to common stockholders | $0.62 | $0.18 | $0.93 | $0.46 | ||||
Diluted earnings per share attributable to common stockholders | $0.62 | $0.18 | $0.93 | $0.46 | ||||
[1] | For the three months ended June 30, 2014 and 2013, a weighted average of approximately 876 and 1,289 shares of unvested restricted stock, respectively, were considered participating securities. For the six months ended June 30, 2014 and 2013, a weighted average of approximately 761 and 1,197 shares of unvested restricted stock, respectively, were considered participating securities. |
Computations_of_Basic_and_Dilu1
Computations of Basic and Diluted Earnings Per Share (Parenthetical) (Detail) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Earnings Per Share Disclosure [Line Items] | ' | ' | ' | ' |
Weighted average shares of unvested restricted stock | 876 | 1,289 | 761 | 1,197 |
LongTerm_Debt_Activity_Additio
Long-Term Debt Activity - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 6 Months Ended | 6 Months Ended | 0 Months Ended | 3 Months Ended | 6 Months Ended | |||||
In Thousands, unless otherwise specified | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | 24-May-13 | Jun. 30, 2014 | 24-May-13 | Jun. 24, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 24, 2013 |
4.875 % Senior Notes Due May 2023 | 4.875 % Senior Notes Due May 2023 | 8.625% senior note due 2019 | 8.625% senior note due 2019 | 8.625% senior note | 8.625% senior note | 8.625% senior note | 8.625% senior note | |||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate principal amount issued | ' | ' | ' | ' | ' | $530,000 | ' | ' | ' | ' | ' | ' |
Maturity year | ' | ' | ' | ' | '2023 | ' | '2019 | ' | ' | ' | ' | ' |
Interest rate | ' | ' | ' | ' | ' | 4.88% | ' | 8.63% | ' | ' | ' | 8.63% |
Debt instrument, maturity date | ' | ' | ' | ' | 1-Jun-23 | ' | ' | ' | ' | ' | ' | ' |
Principal amount of redeemed senior notes at maturity | ' | ' | ' | ' | ' | ' | ' | ' | 470,000 | ' | ' | ' |
Percentage of debt repayment premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 112.04% | ' |
Discount on issue | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,054 | 8,054 | ' |
Write off of unamortization of debt issuance cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,634 | ' |
Early retirement of debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56,564 | ' |
Loss on early retirement of debt | 72,302 | 72,302 | ' | ' | ' | ' | ' | ' | ' | 50 | 50 | ' |
Carrying value of long-term debt | ' | ' | 1,827,833 | 1,832,800 | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of long-term debt | ' | ' | $1,860,094 | $1,815,879 | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisitions_and_Dispositions_1
Acquisitions and Dispositions - Additional Information (Detail) (USD $) | 1 Months Ended | |||
In Thousands, unless otherwise specified | Apr. 30, 2013 | Aug. 16, 2013 | 29-May-13 | Nov. 15, 2013 |
Other US Theatres | Rave Divestitures | Rave Theatres | Mexico | |
Screens | Theatre | Screens | Screens | |
Theatre | State | Theatre | ||
Theatre | ||||
Market | ||||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Number of theatres acquired | 2 | ' | 32 | ' |
Number of screens acquired | 30 | ' | 483 | ' |
Number of states | ' | ' | 1 | ' |
Purchase price of acquisition | $22,372 | ' | $236,875 | ' |
Number of markets | ' | ' | 7 | ' |
Weighted average amortization period for the intangible assets acquired | ' | ' | '14 years | ' |
Number of theatres operated by subsidiary | ' | ' | ' | 31 |
Number of screens operated by subsidiary | ' | ' | ' | 290 |
Stock purchase agreement , sale of subsidiaries | ' | ' | ' | $126,167 |
Number of theatres sold | ' | 3 | ' | ' |
Fair_Value_of_Identifiable_Ass
Fair Value of Identifiable Assets Acquired and Liabilities Assumed as of Acquisition Date (Detail) (USD $) | 29-May-13 | Apr. 30, 2013 |
In Thousands, unless otherwise specified | Rave Theatres | Other US Theatres |
Business Acquisition [Line Items] | ' | ' |
Theatre properties and equipment | $102,977 | $17,524 |
Tradename | 25,000 | ' |
Favorable leases | 17,587 | ' |
Goodwill | 186,418 | 17,409 |
Unfavorable leases | -30,718 | ' |
Deferred revenue | -6,634 | -388 |
Capital lease liabilities | -61,651 | -12,173 |
Other assets, net of other liabilities | 3,896 | ' |
Total | $236,875 | $22,372 |
Unaudited_Pro_Forma_Informatio
Unaudited Pro Forma Information of Results of Operations as Rave Acquisition had Occured (Detail) (Rave Theatres, USD $) | 3 Months Ended | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2013 | Jun. 30, 2013 |
Rave Theatres | ' | ' |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ' | ' |
Total revenues | $767,348 | $1,367,959 |
Income before income taxes | $35,403 | $82,816 |
Summary_of_Changes_in_Stockhol
Summary of Changes in Stockholders Equity (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
Shareholders Equity [Line Items] | ' | ' | ' | ' | ||
Cinemark Holdings, Inc. Stockholders' equity, Beginning Balance | ' | ' | $1,093,422 | ' | ||
Share based awards compensation expense | ' | ' | 6,589 | 6,788 | ||
Stock withholdings related to restricted stock and restricted stock units that vested | ' | ' | -9,776 | -3,464 | ||
Exercise of stock options | ' | ' | 112 | 58 | ||
Tax benefit related to restricted stock and restricted stock unit vesting | ' | ' | 3,561 | 3,489 | ||
Dividends paid to stockholders | ' | ' | -57,772 | [1] | -48,364 | [2] |
Dividends accrued on unvested restricted stock unit awards | ' | ' | -274 | [1] | -310 | [2] |
Dividends paid to noncontrolling interests | ' | ' | -221 | -184 | ||
Net income | 72,134 | 20,837 | 107,830 | 53,899 | ||
Fair value adjustments on interest rate swap agreements designated as hedges, net of settlements, net of taxes | ' | ' | 1,158 | 2,366 | ||
Fair value adjustments on available-for-sale securities, net of taxes | 1,221 | 685 | 3,244 | 2,041 | ||
Other comprehensive income in equity method investees | 134 | 1,678 | 396 | 1,678 | ||
Cinemark Holdings, Inc. Stockholders' Equity, Ending Balance | 1,146,983 | ' | 1,146,983 | ' | ||
Noncontrolling Interests, Beginning Balance | ' | ' | 8,995 | ' | ||
Net income attributable to Noncontrolling Interests | -403 | -572 | -656 | -1,040 | ||
Noncontrolling Interests, Ending Balance | 9,438 | ' | 9,438 | ' | ||
Total Equity, Beginning Balance | ' | ' | 1,102,417 | 1,094,984 | ||
Foreign currency translation adjustments | 8,346 | -40,827 | -843 | -39,241 | ||
Total Equity, Ending Balance | 1,156,421 | 1,073,740 | 1,156,421 | 1,073,740 | ||
Noncontrolling Interests | ' | ' | ' | ' | ||
Shareholders Equity [Line Items] | ' | ' | ' | ' | ||
Dividends paid to noncontrolling interests | ' | ' | ' | -184 | ||
Noncontrolling Interests, Beginning Balance | ' | ' | 8,995 | 10,919 | ||
Net income attributable to Noncontrolling Interests | ' | ' | 656 | 1,040 | ||
Foreign currency translation adjustments | ' | ' | 8 | -115 | ||
Noncontrolling Interests, Ending Balance | 9,438 | 11,660 | 9,438 | 11,660 | ||
Cinemark Holdings, Inc. Stockholders' Equity | ' | ' | ' | ' | ||
Shareholders Equity [Line Items] | ' | ' | ' | ' | ||
Cinemark Holdings, Inc. Stockholders' equity, Beginning Balance | ' | ' | 1,093,422 | 1,084,065 | ||
Share based awards compensation expense | ' | ' | 6,589 | 6,788 | ||
Stock withholdings related to restricted stock and restricted stock units that vested | ' | ' | -9,776 | -3,464 | ||
Exercise of stock options | ' | ' | 112 | 58 | ||
Tax benefit related to restricted stock and restricted stock unit vesting | ' | ' | 3,561 | 3,489 | ||
Dividends paid to stockholders | ' | ' | -57,772 | [1] | -48,364 | [2] |
Dividends accrued on unvested restricted stock unit awards | ' | ' | -274 | [1] | -310 | [2] |
Dividends paid to noncontrolling interests | ' | ' | ' | 0 | ||
Net income | ' | ' | 107,174 | 52,859 | ||
Fair value adjustments on interest rate swap agreements designated as hedges, net of settlements, net of taxes | ' | ' | 1,158 | 2,366 | ||
Fair value adjustments on available-for-sale securities, net of taxes | ' | ' | 3,244 | 2,041 | ||
Other comprehensive income in equity method investees | ' | ' | 396 | 1,678 | ||
Foreign currency translation adjustments | ' | ' | -851 | -39,126 | ||
Cinemark Holdings, Inc. Stockholders' Equity, Ending Balance | $1,146,983 | $1,062,080 | $1,146,983 | $1,062,080 | ||
[1] | On May 22, 2014 the Company's board of directors declared a cash dividend for the first quarter of 2014 in the amount of $0.25 per share of common stock payable to stockholders of record on June 6, 2014. The dividend was paid on June 20, 2014. On February 14, 2014, the Company's board of directors declared a cash dividend for the fourth quarter of 2013 in the amount of $0.25 per share of common stock payable to stockholders of record on March 4, 2014. The dividend was paid on March 19, 2014. | |||||
[2] | On May 24, 2013 the Company's board of directors declared a cash dividend for the first quarter of 2013 in the amount of $0.21 per share of common stock payable to stockholders of record on June 6, 2013. The dividend was paid on June 20, 2013. On February 12, 2013, the Company's board of directors declared a cash dividend for the fourth quarter of 2012 in the amount of $0.21 per share of common stock payable to stockholders of record on March 4, 2013. The dividend was paid on March 15, 2013. |
Summary_of_Changes_in_Stockhol1
Summary of Changes in Stockholders Equity (Parenthetical) (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2014 | Jun. 30, 2013 |
Shareholders Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Unrealized loss due to fair value adjustments on interest rate swap agreements, taxes | $391 | ' | ' | $963 | ' | ' | $759 | $1,391 |
Unrealized (loss) gain due to fair value adjustments on available-for-sale securities, net of taxes | 724 | ' | ' | 415 | ' | ' | 1,916 | 1,249 |
Declaration Date | ' | 22-May-14 | 14-Feb-14 | ' | 24-May-13 | 12-Feb-13 | ' | ' |
Amount per Share of Common Stock | $0.25 | $0.25 | $0.25 | $0.21 | $0.21 | $0.21 | $0.50 | $0.42 |
Record Date | ' | 6-Jun-14 | 4-Mar-14 | ' | 6-Jun-13 | 4-Mar-13 | ' | ' |
Date Paid | ' | 20-Jun-14 | 19-Mar-14 | ' | 20-Jun-13 | 15-Mar-13 | ' | ' |
Cinemark Holdings, Inc. Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Unrealized loss due to fair value adjustments on interest rate swap agreements, taxes | ' | ' | ' | ' | ' | ' | 759 | 1,391 |
Unrealized (loss) gain due to fair value adjustments on available-for-sale securities, net of taxes | ' | ' | ' | ' | ' | ' | $1,916 | $1,249 |
Summary_of_Activity_with_NCM_I
Summary of Activity with NCM Included in Company's Condensed Consolidated Financial Statements (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 6 Months Ended | 6 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | ||
Investment In NCM | Investment In NCM | Deferred Revenue | Deferred Revenue | Deferred Revenue | Distributions from NCM | Equity in Earnings | Other Revenue | Other Comprehensive Income (Loss) | Cash Received | NCM | NCM | NCM | NCM | NCM | NCM | NCM | NCM | ||||||||
Annual Common Unit Adjustment | Annual Common Unit Adjustment | Deferred Revenue | Equity in Earnings | Other Revenue | Other Comprehensive Income (Loss) | ||||||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | ' | ' | ' | $178,853 | ' | $178,853 | ' | ($339,009) | ($334,429) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Receipt of common units due to annual common unit adjustment | -8,216 | ' | ' | -8,216 | -98,797 | ' | 8,216 | ' | ' | -8,216 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Revenues earned under ESA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -4,611 | [1] | ' | 4,611 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
Receipt of excess cash distributions | ' | ' | ' | ' | ' | -5,967 | ' | ' | ' | ' | -7,167 | ' | ' | ' | 13,134 | ' | ' | ' | ' | ' | ' | ' | ' | ||
Receipt under tax receivable agreement | ' | ' | ' | ' | ' | -2,385 | ' | ' | ' | ' | -3,510 | ' | ' | ' | 5,895 | ' | ' | ' | ' | ' | ' | ' | ' | ||
Equity in earnings | ' | -3,600 | -1,685 | -7,220 | -4,106 | 357 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75 | -536 | -357 | -1,402 | ' | -357 | ' | ' | ||
Equity in other comprehensive income | ' | -134 | -1,678 | -396 | -1,678 | 442 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -442 | ||
Amortization of deferred revenue | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,636 | ' | -3,636 | ' | ||
Ending Balance | ' | 179,516 | ' | 179,516 | ' | 179,516 | ' | -339,009 | -334,429 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Ending Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -10,677 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Ending Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -357 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Ending Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -8,247 | -442 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Ending Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $23,640 | ' | ' | ' | ' | ' | ' | ' | ' | ||
[1] | Amount includes the per patron and per digital screen theatre access fees due to the Company, net of amounts due to NCM for on-screen advertising time provided to the Company's beverage concessionaire of approximately $5,686. |
Summary_of_Activity_with_NCM_I1
Summary of Activity with NCM Included in Company's Condensed Consolidated Financial Statements (Parenthetical) (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Schedule of Equity Method Investments [Line Items] | ' |
Company's beverage concessionaire | $5,686 |
Investment_in_National_CineMed2
Investment in National CineMedia - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | |||||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | 5-May-14 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Screenvision LLC | NCM | NCM | NCM | NCM | ||||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity in earnings | ' | $3,600 | $1,685 | $7,220 | $4,106 | ' | ($75) | $536 | $357 | $1,402 |
Number of additional common units of NCM received under common unit adjustment agreement | 557,631 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment in NCM - receipt of common units | 8,216 | ' | ' | 8,216 | 98,797 | ' | ' | ' | ' | ' |
Remaining term of exhibitor services agreement | '22 years | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total number of common units of NCM owned by Company | ' | 24,556,136 | ' | 24,556,136 | ' | ' | ' | ' | ' | ' |
Interest on common units of NCM owned by Company | ' | 19.00% | ' | 19.00% | ' | ' | ' | ' | ' | ' |
NCM Agreement to acquire Screenvision | ' | ' | ' | ' | ' | $375,000 | ' | ' | ' | ' |
Summary_Financial_Information_
Summary Financial Information for National Cinemedia (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 26, 2014 | Jun. 27, 2013 | Jun. 26, 2014 | Jun. 27, 2013 |
NCM | NCM | NCM | NCM | |||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Gross revenues | ' | ' | ' | ' | $99,958 | $122,810 | $170,173 | $205,029 |
Operating income | 116,866 | 134,017 | 184,721 | 199,646 | 42,131 | 57,928 | 54,898 | 79,563 |
Net earnings | $72,134 | $20,837 | $107,830 | $53,899 | $26,467 | $41,153 | $23,703 | $46,778 |
Investment_in_Digital_Cinema_I2
Investment in Digital Cinema Implementation Partners - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
ProjectionSystem | RenewalOptions | |||
ProjectionSystem | ||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Voting interest in Digital Cinema Implementation Partners | 33.00% | ' | 33.00% | ' |
Economic interest in Digital Cinema Implementation Partners | 24.30% | ' | 24.30% | ' |
Equity in earnings | $3,600 | $1,685 | $7,220 | $4,106 |
Digital projection systems leased under operating lease, initial term | ' | ' | '12 years | ' |
Number of equipments being leased under master equipment lease agreement | 3,641 | ' | 3,641 | ' |
Equipment lease expense | ' | ' | 2,808 | 3,951 |
Number of one-year fair value renewal options | ' | ' | 10 | ' |
Minimum annual rent per digital projection system | ' | ' | 1 | ' |
Digital Cinema Implementation Partners LLC | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Equity in earnings | $2,884 | $1,150 | $6,178 | $2,702 |
Summary_of_Changes_in_Companys
Summary of Changes in Company's Investment in Digital Implementation Partners (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Equity in income | $3,600 | $1,685 | $7,220 | $4,106 |
Equity in other comprehensive loss | 134 | 1,678 | 396 | 1,678 |
Digital Cinema Implementation Partners LLC | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Beginning balance | ' | ' | 38,033 | ' |
Cash contributions | ' | ' | 1,896 | ' |
Equity in income | 2,884 | 1,150 | 6,178 | 2,702 |
Equity in other comprehensive loss | ' | ' | -46 | ' |
Ending balance | $46,061 | ' | $46,061 | ' |
Summary_Financial_Information_1
Summary Financial Information for DCIP (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Operating income | $116,866 | $134,017 | $184,721 | $199,646 |
Net income | 72,134 | 20,837 | 107,830 | 53,899 |
Digital Cinema Implementation Partners LLC | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Revenues | 43,396 | 45,022 | 86,084 | 88,077 |
Operating income | 26,700 | 28,884 | 51,004 | 55,525 |
Net income | $19,065 | $2,456 | $24,593 | $14,264 |
Investment_in_Marketable_Secur2
Investment in Marketable Securities - RealD, Inc. - Additional Information (Detail) (USD $) | 6 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Number of shares owned in RealD | 1,222,780 | ' |
Estimated fair value of company owned shares in RealD | $15,603 | $10,443 |
Unrealized holding gain | $5,160 | ' |
Summary_of_Changes_in_Investme
Summary of Changes in Investment in RealD (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Schedule of Equity Method Investments [Line Items] | ' |
Investment in marketable securities - RealD, Beginning Balance | $10,443 |
Unrealized holding gain | 5,160 |
Investment in marketable securities - RealD, Ending Balance | $15,603 |
Summary_of_Treasury_Stock_Acti
Summary of Treasury Stock Activity (Detail) (USD $) | 6 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | |
Schedule of Treasury Stock [Line Items] | ' | |
Beginning Balance, Shares | 3,694,935 | |
Restricted stock withholdings | 333,507 | [1] |
Restricted stock forfeitures | 12,186 | |
Ending Balance, Shares | 4,040,628 | |
Beginning Balance, Cost | $51,946 | |
Restricted stock withholdings | 9,776 | [1] |
Restricted stock forfeitures | ' | |
Ending Balance, Cost | $61,722 | |
[1] | The Company withheld shares as a result of such election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and restricted stock units. The Company determined the number of shares to be withheld based upon market values ranging from $27.19 to $30.23 per share. |
Summary_of_Treasury_Stock_Acti1
Summary of Treasury Stock Activity (Parenthetical) (Detail) (USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Minimum | ' |
Schedule of Treasury Stock [Line Items] | ' |
Market Value of Restricted Shares Withheld | $27.19 |
Maximum | ' |
Schedule of Treasury Stock [Line Items] | ' |
Market Value of Restricted Shares Withheld | $30.23 |
Treasury_Stock_and_Share_Based2
Treasury Stock and Share Based Awards - Additional Information (Detail) (USD $) | 6 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Stockholders Equity Note [Line Items] | ' | ' |
Number of stock options exercised | 14,584 | ' |
Weighted average exercise price of options exercised | $7.63 | ' |
Intrinsic value of options exercised | $296 | ' |
Tax benefit recognized on stock option exercised | 124 | ' |
Stock options outstanding | 0 | ' |
Restricted Stock | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Shares of Restricted Stock Granted | 261,213 | ' |
Weighted average market value of common stock on the date of grant | $28.72 | ' |
Minimum forfeiture rate for restricted stock awards | 0.00% | ' |
Maximum forfeiture rate for restricted stock awards | 5.00% | ' |
Total fair value of shares vested during the period | 18,571 | ' |
Recognized tax benefits related to shares vested during the period | 7,109 | ' |
Compensation expense | 4,986 | 5,123 |
Unrecognized compensation expense | 16,616 | ' |
Compensation expense recognition period (in years) | '2 years | ' |
Restricted stock unit awards vested | 619,307 | ' |
Restricted Stock | Minimum | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Weighted average market value of common stock on the date of grant | $28.54 | ' |
Restricted Stock | Maximum | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Weighted average market value of common stock on the date of grant | $30.30 | ' |
Restricted Stock | Board of Directors | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Award vesting period for restricted stock granted | '1 year | ' |
Restricted Stock | Employee Scenario One | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Award vesting period for restricted stock granted | '3 years | ' |
Restricted Stock | Employee Scenario Two | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Award vesting period for restricted stock granted | '4 years | ' |
Restricted Stock Units (RSUs) | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Weighted average market value of common stock on the date of grant | $28.54 | ' |
Total fair value of shares vested during the period | 11,312 | ' |
Recognized tax benefits related to shares vested during the period | 4,751 | ' |
Compensation expense | 1,603 | 1,665 |
Unrecognized compensation expense | 6,080 | ' |
Compensation expense recognition period (in years) | '2 years | ' |
Number of hypothetical shares of common stock | 577,097 | ' |
Percentage of IRR, which is the threshold | 8.50% | ' |
Percentage of IRR, which is the target | 10.50% | ' |
Percentage of IRR, which is the maximum | 12.50% | ' |
Percentage of restricted stock units vest | 100.00% | ' |
Restricted stock unit awards vested | 392,238 | ' |
Restricted stock unit conversion into share of common stock, conversion ratio | 1 | ' |
Dividends paid on vested restricted stock units | $1,341 | ' |
Restricted Stock Units (RSUs) | Minimum | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Expected forfeiture rate | 0.00% | ' |
Restricted Stock Units (RSUs) | Maximum | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Expected forfeiture rate | 5.00% | ' |
Restricted Stock Units (RSUs) | Employee | ' | ' |
Stockholders Equity Note [Line Items] | ' | ' |
Number of hypothetical shares of common stock | 197,515 | ' |
Summary_of_Restricted_Stock_Ac
Summary of Restricted Stock Activity (Detail) (Restricted Stock, USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Restricted Stock | ' |
Shares of Restricted Stock | ' |
Shares of Restricted Stock, Beginning balance | 1,260,913 |
Shares of Restricted Stock, Granted | 261,213 |
Shares of Restricted Stock, Vested | -619,307 |
Shares of Restricted Stock, Forfeited | -12,186 |
Shares of Restricted Stock, Ending balance | 890,633 |
Shares of Restricted Stock, Unvested restricted stock | 890,633 |
Weighted Average Grant Date Fair Value | ' |
Weighted Average Grant Date Fair Value Outstanding, Beginning | $21.85 |
Weighted Average Grant Date Fair Value, Granted | $28.72 |
Weighted Average Grant Date Fair Value, Vested | $20.50 |
Weighted Average Grant Date Fair Value, Forfeited | $19.61 |
Weighted Average Grant Date Fair Value Outstanding, Ending | $24.83 |
Weighted Average Grant Date Fair Value, Unvested restricted stock | $24.83 |
Summary_of_Potential_Number_of
Summary of Potential Number of Shares Vesting under Restricted Stock Unit Awards (Detail) (USD $) | 6 Months Ended |
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 |
Schedule of Restricted Stock Unit [Line Items] | ' |
Number of shares vesting at IRR level of at least 8.5% | 65,832 |
Number of shares vesting at IRR level of at least 10.5% | 131,683 |
Number of shares vesting at IRR level of at least 12.5% | 197,515 |
Fair value of shares vesting at IRR level of at least 8.5% | $1,879 |
Fair value of shares vesting at IRR level of at least 10.5% | 3,758 |
Fair value of shares vesting at IRR level of at least 12.5% | $5,637 |
Interest_Rate_Swap_Agreements_1
Interest Rate Swap Agreements - Additional Information (Detail) | Jun. 30, 2014 |
Agreement | |
Derivative [Line Items] | ' |
Number of interest rate swap agreements | 3 |
Summary_of_Interest_Rate_Swap_
Summary of Interest Rate Swap Agreements Designated as Hedge Agreements (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | ||||
In Thousands, unless otherwise specified | Agreement One | Agreement Two | Agreement Three | ||||||
Interest Rate Swaps [Line Items] | ' | ' | ' | ' | ' | ||||
Nominal Amount | $450,000 | ' | $175,000 | $175,000 | $100,000 | ||||
Effective Date | ' | ' | 1-Dec-10 | 1-Dec-10 | 1-Nov-11 | ||||
Pay Rate | ' | ' | 1.40% | 1.40% | 1.72% | ||||
Receive Rate | ' | ' | '1-Month LIBOR | '1-Month LIBOR | '1-Month LIBOR | ||||
Expiration Date | ' | ' | 1-Sep-15 | 1-Sep-15 | 1-Apr-16 | ||||
Current Liability | 5,557 | [1] | 5,367 | 2,027 | [1] | 2,058 | [1] | 1,472 | [1] |
Long-Term Liability | 1,702 | [2] | 3,809 | 448 | [2] | 436 | [2] | 818 | [2] |
Estimated Total Fair Value at March 31, 2014 | $7,259 | ' | $2,475 | $2,494 | $2,290 | ||||
[1] | Included in accounts payable and accrued expenses on the condensed consolidated balance sheet as of June 30, 2014. | ||||||||
[2] | Included in other long-term liabilities on the condensed consolidated balance sheet as of June 30, 2014. |
Changes_in_Accumulated_Other_C
Changes in Accumulated Other Comprehensive Loss, Net of Taxes, Related to Interest Rate Swap Agreements (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Other comprehensive income (loss) before reclassifications, net of taxes | $661 | $1,590 | $1,158 | $2,366 |
Net other comprehensive income | ' | ' | 1,158 | 2,366 |
Interest Rate Swap | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Beginning balances | -5,219 | -8,091 | -5,716 | -8,867 |
Other comprehensive income (loss) before reclassifications, net of taxes | -848 | 122 | -1,827 | -514 |
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of taxes | 1,509 | 1,468 | 2,985 | 2,880 |
Net other comprehensive income | 661 | 1,590 | 1,158 | 2,366 |
Ending balances | ($4,558) | ($6,501) | ($4,558) | ($6,501) |
Changes_in_Accumulated_Other_C1
Changes in Accumulated Other Comprehensive Loss, Net of Taxes, Related to Interest Rate Swap Agreements (Parenthetical) (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Other comprehensive income (loss) before reclassifications, tax | $391 | $963 | $759 | $1,391 |
Interest Rate Swap | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Other comprehensive income (loss) before reclassifications, tax | 504 | -75 | 1,010 | 334 |
Amounts reclassified from accumulated other comprehensive loss to interest expense, tax | $895 | $888 | $1,769 | $1,725 |
Summary_of_Goodwill_Detail
Summary of Goodwill (Detail) (USD $) | 6 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | ||||
U.S. Operating Segment | U.S. Operating Segment | International Operating Segment | ||||||
Goodwill [Line Items] | ' | ' | ' | ' | ||||
Beginning Balance | $1,288,090 | [1] | $1,150,471 | [1] | $1,150,471 | [1] | $137,619 | [1] |
Foreign currency translation adjustments | -1,401 | ' | ' | -1,401 | ||||
Ending Balance | $1,286,689 | [1] | $1,150,471 | [1] | $1,150,471 | [1] | $136,218 | [1] |
[1] | Balances are presented net of accumulated impairment losses of $214,031 for the U.S. operating segment and $27,622 for the international operating segment. |
Summary_of_Goodwill_Parentheti
Summary of Goodwill (Parenthetical) (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
U.S. Operating Segment | ' |
Goodwill [Line Items] | ' |
Accumulated impairment losses | $214,031 |
International Operating Segment | ' |
Goodwill [Line Items] | ' |
Accumulated impairment losses | $27,622 |
Intangible_Assets_Detail
Intangible Assets (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | |
Intangible Assets [Line Items] | ' | |
Intangible assets with finite lives, Beginning balance | $101,617 | |
Amortization, intangible assets | -3,059 | |
Other, Gross carrying amount | -1,216 | [1] |
Intangible assets with finite lives, Ending balance | 100,401 | |
Intangible assets with finite lives, Accumulated amortization, Beginning balance | -46,297 | |
Accumulated amortization | -3,059 | |
Other Accumulated Amortization of Intangible Assets | ' | [1] |
Intangible assets with finite lives, Accumulated amortization, Ending balance | -49,356 | |
Net intangible assets with finite lives, Beginning balance | 55,320 | |
Amortization, intangible assets | -3,059 | |
Other, Finite lived intangible assets | -1,216 | [1] |
Net intangible assets with finite lives, Ending balance | 51,045 | |
Total intangible assets - net, Beginning balance | 356,144 | |
Accumulated amortization | -3,059 | |
Other, Total intangible assets - net | -1,034 | [1] |
Total intangible assets - net, Ending balance | 352,051 | |
Trade Names | ' | |
Intangible Assets [Line Items] | ' | |
Indefinite-lived Intangible Assets, Tradename, Beginning Balance | 300,824 | |
Other, Tradename | 182 | [1] |
Indefinite-lived Intangible Assets, Tradename, Ending Balance | $301,006 | |
[1] | Consists primarily of foreign currency translation adjustments. |
Estimated_Aggregate_Future_Amo
Estimated Aggregate Future Amortization Expense for Intangible Assets (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
For the six months ended December 31, 2014 | $3,169 | ' |
For the twelve months ended December 31, 2015 | 5,988 | ' |
For the twelve months ended December 31, 2016 | 5,876 | ' |
For the twelve months ended December 31, 2017 | 5,319 | ' |
For the twelve months ended December 31, 2018 | 4,368 | ' |
Thereafter | 26,325 | ' |
Total | $51,045 | $55,320 |
Impairment_of_LongLived_Assets2
Impairment of Long-Lived Assets - Additional Information (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Indefinite-lived Intangible Assets [Line Items] | ' | ' |
Lease period of fee owned properties | '20 years | ' |
Fair value of long-lived assets in the multiples of cash flow | 'Six and a half times | 'Six and a half times |
Estimated aggregate fair value of long-lived assets impaired during current period | $2,071 | ' |
LongLived_Asset_Impairment_Cha
Long-Lived Asset Impairment Charges (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' | ' | ' |
Impairment of long-lived assets | $430 | $1,101 | $784 | $1,945 |
U.S. Operating Segment | ' | ' | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' | ' | ' |
Theatre properties | 430 | 651 | 784 | 770 |
International Operating Segment | ' | ' | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' | ' | ' |
Theatre properties | ' | $450 | ' | $1,175 |
Summary_of_Assets_and_Liabilit
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | |
In Thousands, unless otherwise specified | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Interest rate swap liabilities - current | ($5,557) | [1] | ($5,367) |
Interest rate swap liabilities - long term | -1,702 | [2] | -3,809 |
Investment in RealD | 15,603 | 10,443 | |
Level 1 | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Investment in RealD | 15,603 | 10,443 | |
Level 3 | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Interest rate swap liabilities - current | -5,557 | -5,367 | |
Interest rate swap liabilities - long term | ($1,702) | ($3,809) | |
[1] | Included in accounts payable and accrued expenses on the condensed consolidated balance sheet as of June 30, 2014. | ||
[2] | Included in other long-term liabilities on the condensed consolidated balance sheet as of June 30, 2014. |
Reconciliation_of_Beginning_an
Reconciliation of Beginning and Ending Balance for Liabilities Measured at Fair Value on Recurring Basis Unobservable Inputs (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning balances - Liabilities | $9,176 | $14,192 |
Total (gain) loss included in accumulated other comprehensive loss | 1,068 | -877 |
Settlements | -2,985 | -2,880 |
Ending balances - Liabilities | $7,259 | $10,435 |
Foreign_Currency_Translation_A
Foreign Currency Translation - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Foreign Currency Translation [Line Items] | ' | ' |
Accumulated other comprehensive income (loss) | ($77,872) | ($81,819) |
Cumulative foreign currency adjustments | ($79,798) | ($78,947) |
Summary_of_Impact_of_Translati
Summary of Impact of Translating Financial Statements of Certain of Company's International Subsidiaries (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | Brazil | Brazil | Argentina | Argentina | Chile | Chile | All Other | Cinemark Holdings, Inc. Stockholders' Equity | Cinemark Holdings, Inc. Stockholders' Equity | ||
Foreign Currency Translation [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exchange Rate | ' | ' | 2.21 | 2.36 | 8.14 | 6.52 | 552.1 | 525.55 | ' | ' | ' |
Total Assets | $4,116,472 | $4,144,163 | $363,614 | ' | $98,090 | ' | $52,924 | ' | ' | ' | ' |
Other comprehensive Income (Loss) | ' | ' | $16,666 | ' | ($16,625) | ' | ($1,878) | ' | $986 | ($851) | ($39,126) |
Supplemental_Information_to_Co
Supplemental Information to Condensed Consolidated Statements of Cash Flows (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
Schedule of Cash Flow, Supplemental [Line Items] | ' | ' | ' | ' | ' | ||
Cash paid for interest | ' | ' | ' | $53,890 | $61,814 | ||
Cash paid for income taxes, net of refunds received | ' | ' | ' | 64,540 | 43,748 | ||
Noncash investing and financing activities: | ' | ' | ' | ' | ' | ||
Change in accounts payable and accrued expenses for the acquisition of theatre properties and equipment | ' | ' | ' | -4,617 | [1] | -3,222 | [1] |
Theatre properties acquired under capital lease | ' | ' | ' | 4,012 | 50,840 | ||
Investment in NCM - receipt of common units (see Note 7) | 8,216 | ' | ' | 8,216 | 98,797 | ||
Dividends accrued on unvested restricted stock unit awards | ' | ' | ' | -274 | [2] | -310 | [3] |
Change in fair market value of available-for-sale securities, net of taxes (see Note 9) | ' | $1,221 | $685 | $3,244 | $2,041 | ||
[1] | Additions to theatre properties and equipment included in accounts payable as of June 30, 2014 and December 31, 2013 were $7,393 and $12,010, respectively. | ||||||
[2] | On May 22, 2014 the Company's board of directors declared a cash dividend for the first quarter of 2014 in the amount of $0.25 per share of common stock payable to stockholders of record on June 6, 2014. The dividend was paid on June 20, 2014. On February 14, 2014, the Company's board of directors declared a cash dividend for the fourth quarter of 2013 in the amount of $0.25 per share of common stock payable to stockholders of record on March 4, 2014. The dividend was paid on March 19, 2014. | ||||||
[3] | On May 24, 2013 the Company's board of directors declared a cash dividend for the first quarter of 2013 in the amount of $0.21 per share of common stock payable to stockholders of record on June 6, 2013. The dividend was paid on June 20, 2013. On February 12, 2013, the Company's board of directors declared a cash dividend for the fourth quarter of 2012 in the amount of $0.21 per share of common stock payable to stockholders of record on March 4, 2013. The dividend was paid on March 15, 2013. |
Supplemental_Information_to_Co1
Supplemental Information to Condensed Consolidated Statements of Cash Flows (Parenthetical) (Detail) (USD $) | 6 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Schedule of Cash Flow, Supplemental [Line Items] | ' | ' |
Additions to theatre properties and equipment included in accounts payable | $7,393 | $12,010 |
Selected_Financial_Information
Selected Financial Information by Reportable Operating Segment (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | $717,863 | $725,622 | $1,320,143 | $1,273,395 | ||||
Adjusted EBITDA | 169,355 | [1] | 178,024 | [1] | 297,910 | [1] | 294,280 | [1] |
Capital expenditures | 49,757 | 53,499 | 102,563 | 90,388 | ||||
U.S. Operating Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 524,485 | 517,109 | 969,405 | 883,472 | ||||
Adjusted EBITDA | 120,871 | 128,697 | 214,411 | 208,775 | ||||
Capital expenditures | 30,483 | 29,631 | 60,795 | 35,787 | ||||
International Segment | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 196,881 | 211,879 | 357,073 | 396,072 | ||||
Adjusted EBITDA | 48,484 | 49,327 | 83,499 | 85,505 | ||||
Capital expenditures | 19,274 | 23,868 | 41,768 | 54,601 | ||||
Eliminations | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | ($3,503) | ($3,366) | ($6,335) | ($6,149) | ||||
[1] | Distributions from NCM are reported entirely within the U.S. operating segment. |
Reconciliation_of_Net_Income_t
Reconciliation of Net Income to Adjusted EBITDA (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Net income | $72,134 | $20,837 | $107,830 | $53,899 | ||||
Add (deduct): | ' | ' | ' | ' | ||||
Income taxes | 24,081 | 8,722 | 44,943 | 19,340 | ||||
Interest expense | 28,286 | [1] | 34,458 | [1] | 56,766 | [1] | 67,064 | [1] |
Loss on early retirement of debt | ' | 72,302 | ' | 72,302 | ||||
Other income | -6,455 | [2] | -609 | [2] | -14,141 | [2] | -5,163 | [2] |
Depreciation and amortization | 43,881 | 38,734 | 86,377 | 77,766 | ||||
Impairment of long-lived assets | 430 | 1,101 | 784 | 1,945 | ||||
(Gain) loss on sale of assets and other | 3,276 | -2,801 | 6,129 | -3,143 | ||||
Deferred lease expenses | 249 | 1,213 | 1,848 | 2,103 | ||||
Amortization of long-term prepaid rents | 407 | 729 | 785 | 1,379 | ||||
Share based awards compensation expense | 3,066 | 3,338 | 6,589 | 6,788 | ||||
Adjusted EBITDA | $169,355 | [3] | $178,024 | [3] | $297,910 | [3] | $294,280 | [3] |
[1] | Includes amortization of debt issue costs. | |||||||
[2] | Includes interest income, foreign currency exchange gain (loss) and equity in income of affiliates and excludes distributions from NCM. | |||||||
[3] | Distributions from NCM are reported entirely within the U.S. operating segment. |
Selected_Financial_Information1
Selected Financial Information by Geographic Area (Detail) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' |
Revenues | $717,863 | $725,622 | $1,320,143 | $1,273,395 | ' |
Theatre Properties and Equipment - net | 1,445,626 | ' | 1,445,626 | ' | 1,427,190 |
U.S. Operating Segment | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' |
Revenues | 524,485 | 517,109 | 969,405 | 883,472 | ' |
Theatre Properties and Equipment - net | 1,054,954 | ' | 1,054,954 | ' | 1,062,471 |
Brazil | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' |
Revenues | 97,501 | 82,686 | 172,900 | 164,803 | ' |
Theatre Properties and Equipment - net | 234,325 | ' | 234,325 | ' | 201,492 |
Other international countries | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' |
Revenues | 99,380 | 129,193 | 184,173 | 231,269 | ' |
Theatre Properties and Equipment - net | 156,347 | ' | 156,347 | ' | 163,227 |
Eliminations | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' |
Revenues | ($3,503) | ($3,366) | ($6,335) | ($6,149) | ' |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Laredo Theatre, Ltd | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Company's interest in Laredo | 75.00% | ' |
Lone Star Theatre's interest in Laredo | 25.00% | ' |
Ownership interest held by David Roberts | 100.00% | ' |
Percentage of common stock held by Chairman of the Board of Directors | 9.00% | ' |
Percentage of management fees based on theatre revenues | 5.00% | ' |
Maximum amount of theater revenue used to calculate management fees | $50,000 | ' |
Percentage of management fees based on theatre revenues in excess | 3.00% | ' |
Minimum amount of theater revenue used to calculate management fees | 50,000 | ' |
Management fee revenues | 279 | 284 |
Syufy Enterprises, LP | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Number of theatres leased | 15 | ' |
Number of parking facilities leased | 1 | ' |
Total number of leases | 16 | ' |
Number of leases with minimum annual rent | 14 | ' |
Number of leases without minimum annual rent | 2 | ' |
Total rent paid to Syufy | $11,643 | $11,713 |