DOCUMENT_AND_ENTITY_INFORMATIO
DOCUMENT AND ENTITY INFORMATION | 9 Months Ended | |
Sep. 30, 2013 | Nov. 04, 2013 | |
Entity Registrant Name | 'A. H. Belo Corp | ' |
Entity Central Index Key | '0001413898 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-13 | ' |
Amendment Flag | 'false | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 21,869,988 |
Series A: Common stock | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 19,472,833 |
Series B: Common stock | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 2,397,155 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net Operating Revenue | ' | ' | ' | ' |
Advertising and marketing services | $49,785 | $52,095 | $151,561 | $156,350 |
Circulation | 30,603 | 30,942 | 89,277 | 92,644 |
Printing and distribution | 9,773 | 9,222 | 27,258 | 26,228 |
Total net operating revenue | 90,161 | 92,259 | 268,096 | 275,222 |
Operating Costs and Expense | ' | ' | ' | ' |
Salaries, wages and employee benefits | 35,914 | 37,462 | 110,689 | 113,762 |
Other production, distribution and operating costs | 34,713 | 33,755 | 104,805 | 102,392 |
Newsprint, ink and other supplies | 12,803 | 12,508 | 37,132 | 36,443 |
Depreciation | 4,371 | 4,790 | 14,053 | 16,648 |
Amortization | 1,122 | 1,092 | 3,368 | 3,278 |
Total operating costs and expense | 88,923 | 89,607 | 270,047 | 272,523 |
Income (loss) from operations | 1,238 | 2,652 | -1,951 | 2,699 |
Other Income (Expense), Net | ' | ' | ' | ' |
Other income, net | 1,131 | 567 | 2,190 | 2,381 |
Interest income (expense) | 108 | -128 | -311 | -506 |
Total other income (expense), net | 1,239 | 439 | 1,879 | 1,875 |
Income (Loss) from Continuing Operations Before Income Taxes | 2,477 | 3,091 | -72 | 4,574 |
Income tax expense | 392 | 523 | 1,284 | 1,342 |
Income (Loss) from Continuing Operations | 2,085 | 2,568 | -1,356 | 3,232 |
Loss from discontinued operations | -1,575 | -1,149 | -5,130 | -5,478 |
Gain related to the divestiture of discontinued operations | 4,746 | 0 | 4,746 | 0 |
Tax benefit from discontinued operations | 13 | 22 | 49 | 56 |
Income (Loss) from Discontinued Operations | 3,184 | -1,127 | -335 | -5,422 |
Net Income (Loss) | 5,269 | 1,441 | -1,691 | -2,190 |
Net loss attributable to noncontrolling interests | -52 | -42 | -171 | -42 |
Net Income (Loss) Attributable to A. H. Belo Corporation | $5,321 | $1,483 | ($1,520) | ($2,148) |
Basic Earnings Per Share | ' | ' | ' | ' |
Continuing operations | $0.09 | $0.11 | ($0.06) | $0.15 |
Discontinued operations | $0.15 | ($0.04) | ($0.02) | ($0.25) |
Net income (loss) attributable to A. H. Belo Corporation | $0.24 | $0.07 | ($0.08) | ($0.10) |
Diluted Earnings Per Share | ' | ' | ' | ' |
Continuing operations | $0.09 | $0.11 | ($0.06) | $0.15 |
Discontinued operations | $0.14 | ($0.05) | ($0.02) | ($0.25) |
Net income (loss) attributable to A. H. Belo Corporation | $0.23 | $0.06 | ($0.08) | ($0.10) |
Weighted average shares outstanding | ' | ' | ' | ' |
Basic | 21,943,876 | 22,807,657 | 22,005,705 | 21,850,253 |
Diluted | 22,069,511 | 22,927,717 | 22,005,705 | 21,850,253 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net income (loss) | $5,269 | $1,441 | ($1,691) | ($2,190) |
Other comprehensive income, net of tax: | ' | ' | ' | ' |
Amortization of net actuarial loss | 245 | 10 | 736 | 30 |
Total other comprehensive income | 245 | 10 | 736 | 30 |
Comprehensive income (loss) | 5,514 | 1,451 | -955 | -2,160 |
Comprehensive loss attributable to noncontrolling interests | -52 | -42 | -171 | -42 |
Total comprehensive income (loss) attributable to A. H. Belo Corporation | $5,566 | $1,493 | ($784) | ($2,118) |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $56,436 | $34,094 |
Accounts receivable (net of allowance of $1,638 and $2,034 at September 30, 2013 and December 31, 2012, respectively) | 34,375 | 39,212 |
Inventories | 8,496 | 7,585 |
Prepaids and other current assets | 7,140 | 6,547 |
Deferred income taxes, net | 128 | 1,496 |
Assets of discontinued operations | 18,347 | 48,402 |
Total current assets | 124,922 | 137,336 |
Property, plant and equipment, at cost: | ' | ' |
Property, plant and equipment, at cost | 544,413 | 566,193 |
Less accumulated depreciation | -444,846 | -457,339 |
Property, plant and equipment, net | 99,567 | 108,854 |
Intangible assets, net | 6,466 | 9,473 |
Goodwill | 24,582 | 24,582 |
Investments | 9,834 | 6,826 |
Deferred income taxes, net | 646 | 1,113 |
Other assets | 4,557 | 3,755 |
Total assets | 270,574 | 291,939 |
Current liabilities: | ' | ' |
Accounts payable | 15,376 | 13,635 |
Accrued compensation and benefits | 14,073 | 17,020 |
Other accrued expense | 4,262 | 5,804 |
Advance subscription payments | 19,562 | 17,693 |
Liabilities of discontinued operations | 7,153 | 7,781 |
Total current liabilities | 60,426 | 61,933 |
Long-term pension liabilities | 108,146 | 122,821 |
Other post-employment benefits | 2,923 | 2,919 |
Other liabilities | 3,358 | 2,206 |
Shareholders’ equity: | ' | ' |
Preferred stock, $.01 par value; Authorized 2,000,000 shares; none issued | 0 | 0 |
Treasury stock, Series A, at cost; 432,283 and 74,130 shares held at September 30, 2013 and December 31, 2012, respectively | -2,636 | -350 |
Additional paid-in capital | 496,782 | 495,528 |
Accumulated other comprehensive loss | -72,796 | -73,532 |
Accumulated deficit | -325,931 | -319,862 |
Total shareholders’ equity attributable to A. H. Belo Corporation | 95,642 | 102,005 |
Noncontrolling interests | 79 | 55 |
Total shareholders’ equity | 95,721 | 102,060 |
Total liabilities and shareholders’ equity | 270,574 | 291,939 |
Series A: Common stock | ' | ' |
Shareholders’ equity: | ' | ' |
Common stock, $.01 par value; Authorized 125,000,000 shares | 199 | 197 |
Series B: Common stock | ' | ' |
Shareholders’ equity: | ' | ' |
Common stock, $.01 par value; Authorized 125,000,000 shares | $24 | $24 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) PARENTHETICAL (Unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts receivable | $1,638 | $2,034 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 125,000,000 | 125,000,000 |
Series A: Common stock | ' | ' |
Common stock, shares issued | 19,918,393 | 19,651,830 |
Treasury stock Series A, shares held | 432,283 | 74,130 |
Series B: Common stock | ' | ' |
Common stock, shares issued | 2,399,676 | 2,401,556 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) (USD $) | Total | Series A | Common Stock | Common Stock | Common Stock | Additional Paid-in Capital | Treasury Stock | Treasury Stock | Accumulated Other Comprehensive Income/(Loss) | Accumulated Deficit | Noncontrolling Interests |
In Thousands, except Share data, unless otherwise specified | USD ($) | USD ($) | USD ($) | Series A | Series B | USD ($) | USD ($) | Series A | USD ($) | USD ($) | USD ($) |
Beginning Balance at Dec. 31, 2011 | $121,479 | ' | $216 | ' | ' | $493,773 | $0 | ' | ($63,069) | ($309,441) | $0 |
Beginning Balance, Shares Treasury Stock at Dec. 31, 2011 | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' |
Beginning Balance, Shares Common Stock at Dec. 31, 2011 | ' | ' | ' | 19,182,236 | 2,398,017 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | -2,190 | ' | ' | ' | ' | ' | ' | ' | ' | -2,148 | -42 |
Other comprehensive loss | 30 | ' | ' | ' | ' | ' | ' | ' | 30 | ' | ' |
Noncontrolling Interest, Increase from Subsidiary Equity Issuance | 127 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 127 |
Issuance of shares for restricted stock units, shares | ' | ' | ' | 297,536 | ' | ' | ' | ' | ' | ' | ' |
Issuance of shares for restricted stock units | 0 | ' | 3 | ' | ' | -3 | ' | ' | ' | ' | ' |
Issuance of shares for stock option exercises, shares | ' | ' | ' | 69,326 | 16,500 | ' | ' | ' | ' | ' | ' |
Issuance of shares for stock option exercises | 162 | ' | 1 | ' | ' | 161 | ' | ' | ' | ' | ' |
Share-based compensation | 1,112 | ' | ' | ' | ' | 1,112 | ' | ' | ' | ' | ' |
Conversion of Series B to Series A, shares | ' | ' | ' | 2,901 | -2,901 | ' | ' | ' | ' | ' | ' |
Conversion of Series B to Series A | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends | -4,095 | ' | ' | ' | ' | ' | ' | ' | ' | -4,095 | ' |
Ending Balance at Sep. 30, 2012 | 116,625 | ' | 220 | ' | ' | 495,043 | 0 | ' | -63,039 | -315,684 | 85 |
Ending Balance, Shares Treasury Stock at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' |
Ending Balance, Shares Common Stock at Sep. 30, 2012 | ' | ' | ' | 19,551,999 | 2,411,616 | ' | ' | ' | ' | ' | ' |
Beginning Balance at Dec. 31, 2012 | 102,060 | ' | 221 | ' | ' | 495,528 | -350 | ' | -73,532 | -319,862 | 55 |
Beginning Balance, Shares Treasury Stock at Dec. 31, 2012 | ' | ' | ' | ' | ' | ' | ' | -74,130 | ' | ' | ' |
Beginning Balance, Shares Common Stock at Dec. 31, 2012 | ' | ' | ' | 19,651,830 | 2,401,556 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | -1,691 | ' | ' | ' | ' | ' | ' | ' | ' | -1,520 | -171 |
Other comprehensive loss | 736 | ' | ' | ' | ' | ' | ' | ' | 736 | ' | ' |
Noncontrolling Interest, Increase from Subsidiary Equity Issuance | 195 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 195 |
Treasury stock purchases, shares | ' | -358,153 | ' | ' | ' | ' | ' | -358,153 | ' | ' | ' |
Treasury stock purchases | -2,286 | -2,286 | ' | ' | ' | ' | -2,286 | ' | ' | ' | ' |
Issuance of shares for restricted stock units, shares | ' | ' | ' | 247,863 | ' | ' | ' | ' | ' | ' | ' |
Issuance of shares for restricted stock units | 0 | ' | 2 | ' | ' | -2 | ' | ' | ' | ' | ' |
Issuance of shares for stock option exercises, shares | 16,820 | ' | ' | 16,820 | ' | ' | ' | ' | ' | ' | ' |
Issuance of shares for stock option exercises | 65 | ' | 0 | ' | ' | 65 | ' | ' | ' | ' | ' |
Income tax on options and RSUs | 84 | ' | ' | ' | ' | 84 | ' | ' | ' | ' | ' |
Share-based compensation | 1,107 | ' | ' | ' | ' | 1,107 | ' | ' | ' | ' | ' |
Conversion of Series B to Series A, shares | ' | ' | ' | 1,880 | -1,880 | ' | ' | ' | ' | ' | ' |
Conversion of Series B to Series A | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends | -4,549 | ' | ' | ' | ' | ' | ' | ' | ' | -4,549 | ' |
Ending Balance at Sep. 30, 2013 | $95,721 | ' | $223 | ' | ' | $496,782 | ($2,636) | ' | ($72,796) | ($325,931) | $79 |
Ending Balance, Shares Treasury Stock at Sep. 30, 2013 | ' | ' | ' | ' | ' | ' | ' | -432,283 | ' | ' | ' |
Ending Balance, Shares Common Stock at Sep. 30, 2013 | ' | ' | ' | 19,918,393 | 2,399,676 | ' | ' | ' | ' | ' | ' |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Operating Activities | ' | ' |
Net loss | ($1,691) | ($2,190) |
Adjustments to reconcile net loss to net cash provided by operations: | ' | ' |
Net loss from discontinued operations | 335 | 5,422 |
Depreciation and amortization | 17,421 | 19,926 |
Share-based compensation | 1,045 | 1,054 |
Amortization of net actuarial losses | 736 | 30 |
Gain on disposal of fixed assets | -399 | -423 |
Deferred income taxes | 475 | 214 |
Provision for uncertain tax positions | -108 | 6 |
Equity method investment earnings | -1,819 | -1,733 |
Write-off of unamortized debt issuance costs | 401 | 0 |
Other | 188 | 0 |
Net change in assets acquired and held for sale | 0 | 2,396 |
Benefit plan contributions in excess of expense | -17,526 | -29,671 |
Changes in working capital and other operating assets and liabilities, net | 6,413 | -4,001 |
Net cash provided by (used for) continuing operations | 5,471 | -8,970 |
Net cash provided by discontinued operations | 245 | 2,482 |
Net cash provided by (used for) operating activities | 5,716 | -6,488 |
Investing Activities | ' | ' |
Capital expenditures, net | -4,837 | -4,251 |
Proceeds from sale of fixed assets | 540 | 628 |
Purchase of investments | -1,377 | 0 |
Net cash used for continuing investing activities | -5,674 | -3,623 |
Net cash provided by (used for) discontinued investing activities | 28,944 | -2,515 |
Net cash provided by (used for) investing activities | 23,270 | -6,138 |
Financing Activities | ' | ' |
Dividends paid | -4,549 | -4,095 |
Proceeds from exercise of stock options | 65 | 162 |
Purchase of treasury stock | -2,286 | 0 |
Capital contributions by noncontrolling interests | 126 | 127 |
Net cash used for financing activities | -6,644 | -3,806 |
Net increase (decrease) in cash and cash equivalents | 22,342 | -16,432 |
Cash and cash equivalents at beginning of period | 34,094 | 57,440 |
Cash and cash equivalents at end of period | 56,436 | 41,008 |
Supplemental Disclosures | ' | ' |
Interest paid | 3 | 269 |
Income tax paid, net of refunds | 63 | 4,570 |
Noncash investing and financing activities: | ' | ' |
Capital contributions by noncontrolling interest of property, plant and equipment | $69 | $26 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Summary of Significant Accounting Policies | ' |
Summary of Significant Accounting Policies | |
Description of Business. A. H. Belo Corporation (“A. H. Belo” or the “Company”), headquartered in Dallas, Texas, is a distinguished newspaper publishing and local news and information company that owns and operates three daily newspapers and related websites. A. H. Belo publishes The Dallas Morning News (www.dallasnews.com), Texas’ leading newspaper and winner of nine Pulitzer Prizes; The Providence Journal (www.providencejournal.com), the oldest continuously-published daily newspaper in the United States and winner of four Pulitzer Prizes; and the Denton Record-Chronicle (www.dentonrc.com), a daily newspaper operating in Denton, Texas, approximately 40 miles north of Dallas. The Company’s newspapers also publish various niche publications targeting specific audiences and own and operate commercial printing, distribution and direct mail service businesses. A. H. Belo offers digital marketing solutions through 508 Digital and Your Speakeasy, LLC and also owns investments in Classified Ventures, LLC, owner of Cars.com, and Wanderful Media, LLC, owner of Find&Save®. | |
Basis of Presentation. These Condensed Consolidated Financial Statements include the accounts of A. H. Belo and its subsidiaries and were prepared in accordance with United States Generally Accepted Accounting Principles (“GAAP”) for interim financial information and in accordance with the Securities and Exchange Commission’s (“SEC”) 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 GAAP for complete financial statements. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. In the opinion of management, all adjustments considered necessary for a fair presentation were included. Transactions between the consolidated companies were eliminated and noncontrolling interests in less than wholly-owned subsidiaries were reflected in the consolidated financial statements. These Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012. Operating results for the three and nine months ended September 30, 2013, may not be necessarily indicative of the results that may be expected for the year ending December 31, 2013. All dollar amounts are presented in thousands, except per share amounts, unless the context requires otherwise. | |
In October 2013, the Company entered into a definitive asset purchase agreement to dispose of substantially all of the assets and operations related to The Press‑Enterprise, a daily newspaper in Riverside, California, which serves the Inland Southern California region. As described in Note 2 – Discontinued Operations and Sales of Assets, this agreement meets the criteria of discontinued operations as prescribed under Accounting Standards Codification 205 - Presentation of Financial Statements. Accordingly, presentation of current and prior period amounts in the condensed consolidated financial statements and notes thereto reflect continuing operations of the Company unless otherwise noted. | |
New Accounting Standards. In 2012, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-02 – Comprehensive Income (Topic 220) Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, requiring an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component and to present significant amounts reclassified out of accumulated other comprehensive income by respective line items of net income if the amount reclassified is required to be reclassified to net income in its entirety. The Company adopted this modification in 2012 and the notes to the consolidated financial statements now reference the account and amounts reclassified from accumulated other comprehensive loss to net income by component. |
DISPOSITIONS_AND_DISCONTINUED_
DISPOSITIONS AND DISCONTINUED OPERATIONS | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||||||
Disposal Groups, Including Discontinued Operations | ' | |||||||||||||||
Discontinued Operations and Sales of Assets | ||||||||||||||||
Discontinued operations | ||||||||||||||||
In the third and fourth quarters of 2013, the Company completed multiple transactions and entered into a definitive asset purchase agreement, as amended, to divest of The Press‑Enterprise, a daily newspaper in Riverside, California, its niche publications La Prensa and The Weekly, related websites and substantially all related real estate assets. | ||||||||||||||||
On July 8, 2013, The Press‑Enterprise sold certain equipment which was idled in 2012 when the newspaper ceased printing certain unprofitable commercial products. This transaction generated net proceeds of $504 and a pretax gain of $269. On July 17, 2013, the Company completed the sale of its five-story office building and certain related assets in Riverside, California to the County of Riverside for $30,000. This building served as the administrative headquarters for The Press‑Enterprise. The proceeds to the Company were $28,589 after selling costs of $1,411. In the third quarter of 2013 the Company recorded a pretax gain of $4,477 related to this transaction. | ||||||||||||||||
On October 9, 2013, the Company and Freedom Communications Holdings, Inc. entered into a definitive asset purchase agreement under which Freedom Communications Holdings, Inc. would acquire substantially all of the assets which comprise the newspaper operations of The Press‑Enterprise (including the production facility and related land) for $27,250 in cash and subject to usual closing costs and customary working capital adjustment to be finalized by January 2014. Effective October 31, 2013, the Company amended the asset purchase agreement to extend the transaction closing date to mid-November in return for a non-refundable deposit of $1,000 to be credited to the purchase price at closing. The Company agreed to bear certain costs up to $541 related to the relocation of The Press‑Enterprise to new leased premises and approximately $1,600 for the relocation of a data center in the production facility and the completion of certain capital projects. After finalizing other exit costs, the Company anticipates recording a pretax gain on this transaction between $8,000 and $12,000 in the fourth quarter of 2013. | ||||||||||||||||
As a result of the above pending and completed transactions, the activity and balances of The Press‑Enterprise as of September 30, 2013, are presented as discontinued operations. Major components of these amounts presented as discontinued operations in the condensed consolidated financial statements are set forth below. | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Loss from discontinued operations | ||||||||||||||||
Revenue | $ | 12,987 | $ | 16,622 | $ | 38,836 | $ | 47,636 | ||||||||
Costs and expense | (14,562 | ) | (17,771 | ) | (43,966 | ) | (53,114 | ) | ||||||||
(1,575 | ) | (1,149 | ) | (5,130 | ) | (5,478 | ) | |||||||||
Gain related to the divestiture of discontinued operations | ||||||||||||||||
Gain on sale of press equipment | 269 | — | 269 | — | ||||||||||||
Gain on sale of five-story office building | 4,477 | — | 4,477 | — | ||||||||||||
4,746 | — | 4,746 | — | |||||||||||||
Tax benefit from discontinued operations | 13 | 22 | 49 | 56 | ||||||||||||
Income (Loss) from Discontinued Operations | $ | 3,184 | $ | (1,127 | ) | $ | (335 | ) | $ | (5,422 | ) | |||||
September 30, | December 31, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Assets of discontinued operations | ||||||||||||||||
Current assets | $ | 7,352 | $ | 10,203 | ||||||||||||
Property, plant and equipment, net | 9,395 | 35,755 | ||||||||||||||
Other assets | 1,600 | 2,444 | ||||||||||||||
Total | $ | 18,347 | $ | 48,402 | ||||||||||||
Liabilities of discontinued operations | $ | 7,153 | $ | 7,781 | ||||||||||||
Upon completion of these transactions, the Company will have no newspaper operations in Riverside, California but will continue to own and market for sale the land and buildings associated with a previously idled commercial printing operation in Riverside, California. | ||||||||||||||||
Other dispositions | ||||||||||||||||
In June 2013, the Company executed an agreement with a third-party for the sale of a public parking lot in downtown Providence, Rhode Island. Net sales proceeds of $367 were received in the third quarter of 2013, generating a gain of $242. |
GOODWILL_AND_INTANGIBLE_ASSETS
GOODWILL AND INTANGIBLE ASSETS | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||
Goodwill and Intangible Assets | ' | |||||||||||
Goodwill and Intangible Assets | ||||||||||||
The Company recorded intangible assets consisting of goodwill and subscriber lists from its previous newspaper acquisitions. The carrying value of goodwill was $24,582, net of cumulative impairment losses of $323,734, as of September 30, 2013 and December 31, 2012. Subscriber lists related to The Providence Journal are amortized over 18 years, and have a remaining life of 1 year, 5 months. | ||||||||||||
During the three months ended March 31, 2013, the Company finalized the accounting for its December 2012 acquisition of certain assets and liabilities from DG Publishing, Inc., which produces and publishes Design Guide Texas and Texas Wedding Guide magazines and related websites. Customer relationships purchased in the acquisition were assigned a value of $362 and are amortized over an estimated useful life of three years. The customer relationships are a component of The Dallas Morning News reporting unit. Remaining assets and liabilities acquired were not material. | ||||||||||||
The table below sets forth the Company’s identifiable intangible assets, consisting of subscriber lists and customer relationship assets. | ||||||||||||
Total | The | The | ||||||||||
Intangible Assets | Dallas Morning News | Providence | ||||||||||
Journal | ||||||||||||
September 30, 2013 | ||||||||||||
Gross balance | $ | 79,060 | $ | 362 | $ | 78,698 | ||||||
Accumulated amortization | (72,594 | ) | (90 | ) | (72,504 | ) | ||||||
Net balance | $ | 6,466 | $ | 272 | $ | 6,194 | ||||||
December 31, 2012 | ||||||||||||
Gross balance | $ | 78,698 | $ | — | $ | 78,698 | ||||||
Accumulated amortization | (69,225 | ) | — | (69,225 | ) | |||||||
Net balance | $ | 9,473 | $ | — | $ | 9,473 | ||||||
INVESTMENTS
INVESTMENTS | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Investments [Abstract] | ' | |||||||
Investments | ' | |||||||
Investments | ||||||||
The Company owns investment interests in various entities which are recorded under the equity method or cost method of accounting or consolidated if the Company holds a controlling financial interest. Under the equity method, the Company records its share of the investee’s earnings or losses each period in other income (expense), net, in the consolidated statements of operations. Under the cost method, the Company records earnings or losses when such amounts are realized. The Company evaluates the recoverability of its investments each period. During the three months ended September 30, 2013 and 2012, the Company recorded $721 and $607, respectively, of earnings from equity method investments. During the nine months ended September 30, 2013 and 2012, the Company recorded $1,819 and $1,733, respectively, of earnings from equity method investments. The table below sets forth the Company’s investments: | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Equity method investments | $ | 8,902 | $ | 5,706 | ||||
Cost method investments | 932 | 1,120 | ||||||
Total investments | $ | 9,834 | $ | 6,826 | ||||
Equity method investments. Investments recorded under the equity method of accounting include the following: | ||||||||
Classified Ventures, LLC (“Classified Ventures”) – The Company and its former parent equally share a 6.6 percent interest in Classified Ventures, in which the other owners are Gannett Co., Inc., The McClatchy Company, Tribune Company and The Washington Post Company. The two principal businesses Classified Ventures operates are Cars.com and Apartments.com. Revenue, operating income and net income of Classified Ventures were $370,818, $77,450 and $81,604, respectively, for the nine months ended September 30, 2013, and $325,288, $62,295 and $63,031, respectively, for the nine months ended September 30, 2012. | ||||||||
Wanderful Media, LLC (“Wanderful”) – The Company owns a 12.7 percent interest in Wanderful, which owns Find&Save®, a digital shopping platform where consumers can find national and local retail goods and services for sale. This platform combines local media participation with advanced search and database technology to allow consumers to view local advertised offers and online sales circulars or search for an item and receive a list of local advertisers and the price and terms offered for the searched item. | ||||||||
Consolidated investments. During the third quarter of 2012, the Company and a local advertising agency entered into an operating agreement and formed Your Speakeasy, LLC (“Speakeasy”) which targets middle-market business customers and provides turnkey social media account management and content development services. The Company owns a 70 percent interest in Speakeasy and, accordingly, consolidates the investee’s assets, liabilities and results of operations within its consolidated financial statements. |
LONGTERM_INCENTIVE_PLANS
LONG-TERM INCENTIVE PLANS | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
Share-Based Compensation | ' | ||||||||||||||||
Long-term Incentive Plans | |||||||||||||||||
A. H. Belo sponsors a long-term incentive plan under which 8,000,000 common shares are authorized for equity based awards. Awards under the plan may be granted to A. H. Belo employees and outside directors in the form of non-qualified stock options, incentive stock options, restricted shares, restricted stock units (“RSUs”), performance shares, performance units or stock appreciation rights. In addition, stock options may be accompanied by stock appreciation rights and limited stock appreciation rights. Rights and limited rights may also be issued without accompanying stock options. | |||||||||||||||||
Stock Options. The table below sets forth a summary of stock option activity under the A. H. Belo long-term incentive plan: | |||||||||||||||||
Number of | Weighted-Average | ||||||||||||||||
Options | Exercise Price | ||||||||||||||||
Outstanding at December 31, 2012 | 1,215,680 | $ | 17.9 | ||||||||||||||
Exercised | (16,820 | ) | 3.89 | ||||||||||||||
Canceled | (43,627 | ) | 22.29 | ||||||||||||||
Outstanding at September 30, 2013 | 1,155,233 | $ | 17.94 | ||||||||||||||
Vested and exercisable at September 30, 2013 | 1,155,233 | $ | 17.94 | ||||||||||||||
The vested and exercisable weighted average remaining contractual term of A. H. Belo stock options outstanding, as of September 30, 2013, was 2.5 years. The expense associated with all outstanding options was fully recognized in prior years and no new options were granted for the nine months ended September 30, 2013. | |||||||||||||||||
Restricted Stock Units. Under A. H. Belo’s long-term incentive plan, the Company’s Board of Directors periodically awards RSUs. The RSUs have service and/or performance conditions and vest over a period of one to three years. Upon vesting, the RSUs are redeemed 60 percent in A. H. Belo Series A common stock and 40 percent in cash. As of September 30, 2013, the liability for the portion of the award to be redeemed in cash was $1,931. The table below sets forth a summary of RSU activity under the A. H. Belo long-term incentive plan: | |||||||||||||||||
Total | Issuance of | RSUs | Cash | Weighted- | |||||||||||||
RSUs | Common | Redeemed in | Payments at | Average Price | |||||||||||||
Stock | Cash | Closing Price | on Date of | ||||||||||||||
of Stock | Grant | ||||||||||||||||
Non-vested at December 31, 2012 | 811,618 | $ | 5.97 | ||||||||||||||
Granted | 344,811 | 5.5 | |||||||||||||||
Vested | (413,136 | ) | 247,863 | 165,273 | $ | 897 | 6.26 | ||||||||||
Non-vested at September 30, 2013 | 743,293 | $ | 5.59 | ||||||||||||||
A. H. Belo recognizes compensation expense for RSUs issued to its employees and directors under its long-term incentive plan on a straight-line basis over the vesting period of the award, as set forth in the table below: | |||||||||||||||||
RSUs Redeemable in Stock | RSUs Redeemable in Cash | Total RSU Awards Expense | |||||||||||||||
Three months ended September 30, | |||||||||||||||||
2013 | $ | 107 | $ | 290 | $ | 397 | |||||||||||
2012 | 180 | 184 | 364 | ||||||||||||||
Nine months ended September 30, | |||||||||||||||||
2013 | $ | 1,045 | $ | 1,436 | $ | 2,481 | |||||||||||
2012 | 1,054 | 561 | 1,615 | ||||||||||||||
LONGTERM_DEBT
LONG-TERM DEBT | 9 Months Ended |
Sep. 30, 2013 | |
Debt Disclosure [Abstract] | ' |
Long-term Debt | ' |
Long-term Debt | |
As of December 31, 2012, the Company operated under an Amended and Restated Credit Agreement dated January 30, 2009, by and between the Company and certain of its subsidiaries, as borrowers, JPMorgan Chase Bank, N.A., as administrative agent, and the lenders party thereto (as amended by First through Fifth Amendments dated August 18, 2009, December 3, 2009, August 18, 2010, March 10, 2011, and May 2, 2011, respectively). The Credit Agreement, with a maturity date of September 30, 2014, provided a $25,000 working capital facility that was subject to a borrowing base. Among other matters, the Credit Agreement created an asset-based revolving credit facility secured by the Company’s accounts receivable, inventory, real property and other assets. | |
Under certain conditions, the facility restricted payment of dividends, imposed a fixed charge coverage ratio covenant, limited investments and limited the Company’s ability to divest assets. Additionally, payment of voluntary pension contributions, declaration of special dividends and purchase of shares of the Company’s common stock were permitted only as long as no borrowings were outstanding under the revolving credit facility. The Company was also required to pay commitment fees at 0.5 percent on the unused credit facility and 2.5 percent on outstanding letters of credit. The Company had not borrowed under the Credit Agreement since 2009 as cash flows from operations were sufficient to meet liquidity requirements. On January 4, 2013, the Company voluntarily terminated its Credit Agreement to provide greater financial and operating flexibility for purposes of funding its pension plans, returning capital to shareholders, managing its investments and eliminating direct and indirect costs related to the Credit Agreement. All liens and security interests under the Credit Agreement were released and no early termination penalties were incurred by the Company as a result of the termination. Unamortized debt issuance costs of $401 were recorded to interest expense during the three months ended March 31, 2013, as a result of the termination. |
INCOME_TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes | |
Income taxes are recorded using the asset and liability method. The provision for taxes reflects the Company’s estimate of the effective rate expected to be applicable for the full fiscal year, adjusted for any discrete transactions, which are reported in the period in which they occur. The estimated effective tax rate is re-evaluated each quarter based on the Company’s estimated tax expense for the year. | |
The Company recognized income tax expense from continuing operations of $392 and $523 for the three months ended September 30, 2013 and 2012, respectively, and $1,284 and $1,342 for the nine months ended September 30, 2013 and 2012, respectively. Tax expense represents effective income tax rates from continuing operations of 15.8 percent and 16.9 percent, for the three months ended September 30, 2013 and 2012, respectively, and 29.3 percent, for the nine months ended September 30, 2012. Effective income tax rates for the nine months ended September 30, 2013, were not meaningful. Tax expense for 2013 and 2012 was primarily attributable to state income tax expense and changes in the valuation allowance on deferred taxes. | |
The Company evaluates uncertain tax positions and recognizes a liability for the tax benefit associated with an uncertain position only if it is more likely than not the position will not be sustained on examination by taxing authorities, based on the technical merits of the position. As of September 30, 2013, due to newly issued IRS regulations, the Company determined it did not have any uncertain tax positions. As a result, the previous liability was reversed along with the corresponding interest and penalties. As of December 31, 2012, the Company recorded reserves of $324 for uncertain tax positions and reserves $93 for related interest and penalties. | |
The Company currently projects taxable income for the year ending December 31, 2013, for federal income tax purposes and in certain state income tax jurisdictions. Net operating losses can be carried forward to offset future taxable income. The Company’s net operating loss carryforwards begin to expire in 2016 if not utilized. |
PENSION_AND_OTHER_RETIREMENT_P
PENSION AND OTHER RETIREMENT PLANS | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||
Pension and Other Retirement Plans | ' | |||||||||||||||
Pension and Other Retirement Plans | ||||||||||||||||
Defined Benefit Plans. The Company sponsors two defined benefit pension plans, A. H. Belo Pension Plans I and II (collectively the “A. H. Belo Pension Plans”). A. H. Belo Pension Plan I provides benefits to certain employees primarily employed with The Dallas Morning News or the A. H. Belo corporate offices. A. H. Belo Pension Plan II provides benefits to certain employees at The Providence Journal. The table below sets forth required and voluntary contributions the Company made to the pension plans: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Required contributions | $ | 5,060 | $ | 4,600 | $ | 7,396 | $ | 18,072 | ||||||||
Voluntary contributions | 4,604 | — | 4,604 | 10,000 | ||||||||||||
Total contributions | $ | 9,664 | $ | 4,600 | $ | 12,000 | $ | 28,072 | ||||||||
During the third quarter of 2013, the Company accelerated payment of its scheduled fourth quarter contribution, in addition to making a $4,604 voluntary contribution. No further contributions are required during the fourth quarter of 2013, as the Company met minimum funding requirements for the year. | ||||||||||||||||
In 2013, the Company adjusted its targeted allocation of the plans’ assets invested in equity securities and fixed income securities to approximate 55 percent and 45 percent, respectively. Management believes the assumed rate of return on these investments of 6.5 percent continues to be appropriate. | ||||||||||||||||
Net Periodic Pension Benefit | ||||||||||||||||
The Company estimates net periodic pension expense or benefit based on the expected return on plan assets, the interest on projected pension obligations and the amortization of actuarial gains and losses in accumulated other comprehensive loss. The table below sets forth components of net periodic pension benefit: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Interest cost | $ | 3,999 | $ | 4,325 | $ | 11,997 | $ | 12,975 | ||||||||
Expected return on plans’ assets | (4,891 | ) | (4,600 | ) | (14,673 | ) | (13,800 | ) | ||||||||
Amortization of actuarial loss | 426 | 175 | 1,277 | 525 | ||||||||||||
Net periodic pension benefit | $ | (466 | ) | $ | (100 | ) | $ | (1,399 | ) | $ | (300 | ) | ||||
Defined Contribution Plans. The A. H. Belo Savings Plan (“Savings Plan”), a defined contribution 401(k) plan, covers substantially all employees of A. H. Belo. The Company provides an ongoing dollar-for-dollar match up to 1.5 percent of each eligible participant’s contribution on a per-pay-period basis. Expense and contributions for 2013 and 2012 related to the Savings Plan are presented in the table following. | ||||||||||||||||
The A. H. Belo Pension Transition Supplement Plan (“PTS Plan”), a defined contribution plan, covered certain employees affected by the curtailment of The G. B. Dealey Retirement Pension Plan (a plan sponsored by the Company’s former parent company). The Company was obligated to make contributions to this plan based on the earnings of actively employed participants for a period of five years, which concluded on March 31, 2013. Contributions were generally paid in the first quarter following each plan year. In April 2013, the Company made a final contribution for amounts accrued during the three months ended March 31, 2013, and the Company’s obligation to fund this plan is now satisfied. | ||||||||||||||||
In May 2013, the PTS Plan was amended to allow a merger of the PTS Plan into the Savings Plan. The merger was effective on July 1, 2013, at which time the account balances for each participant and beneficiary of the PTS Plan and the Savings Plan were merged. After the effective date of the merger, the terms and conditions and all other provisions of the merged plans are those expressed in the Savings Plan. | ||||||||||||||||
The table below sets forth the expense and contributions applicable to the Savings and PTS Plans: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Savings Plan | ||||||||||||||||
Expense and contributions | $ | 306 | $ | 306 | $ | 1,001 | $ | 959 | ||||||||
PTS Plan | ||||||||||||||||
Expense | — | 945 | 1,090 | 3,181 | ||||||||||||
Contributions | — | — | 5,217 | 4,480 | ||||||||||||
SHAREHOLDERS_EQUITY
SHAREHOLDERS' EQUITY | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||||||||||
Shareholders' Equity | ' | |||||||||||||||||||||||
Shareholders’ Equity | ||||||||||||||||||||||||
Accumulated other comprehensive loss. Accumulated other comprehensive loss contains actuarial gains and losses associated with the A. H. Belo Pension Plans and gains and losses resulting from negative plan amendments and other actuarial experience related to other post-employment benefit plans. The Company records amortization of accumulated other comprehensive loss in salaries, wages and employee benefits in its consolidated statements of operations. Gains and losses associated with the A. H. Belo Pension Plans are amortized over the weighted average remaining life expectancy of the participants. Gains and losses associated with the Company’s other post-employment benefit plans are amortized over the average remaining service period of active plan participants. The net deferred tax assets associated with accumulated other comprehensive loss are fully reserved. The tables below set forth the changes in accumulated other comprehensive loss, net of taxes: | ||||||||||||||||||||||||
Three Months Ended September 30, | ||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||
Total | Defined benefit pension plans | Other post-employment benefit plans | Total | Defined benefit pension plans | Other post-employment benefit plans | |||||||||||||||||||
Balance, beginning of period | $ | (73,041 | ) | $ | (74,081 | ) | $ | 1,040 | $ | (63,049 | ) | $ | (64,669 | ) | $ | 1,620 | ||||||||
Amortization | 245 | 426 | (181 | ) | 10 | 175 | (165 | ) | ||||||||||||||||
Balance, end of period | $ | (72,796 | ) | $ | (73,655 | ) | $ | 859 | $ | (63,039 | ) | $ | (64,494 | ) | $ | 1,455 | ||||||||
Nine Months Ended September 30, | ||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||
Total | Defined benefit pension plans | Other post-employment benefit plans | Total | Defined benefit pension plans | Other post-employment benefit plans | |||||||||||||||||||
Balance, beginning of period | $ | (73,532 | ) | $ | (74,932 | ) | $ | 1,400 | $ | (63,069 | ) | $ | (65,019 | ) | $ | 1,950 | ||||||||
Amortization | 736 | 1,277 | (541 | ) | 30 | 525 | (495 | ) | ||||||||||||||||
Balance, end of period | $ | (72,796 | ) | $ | (73,655 | ) | $ | 859 | $ | (63,039 | ) | $ | (64,494 | ) | $ | 1,455 | ||||||||
Dividends. During the three months ended September 30, 2013 and 2012, the Company recorded and paid dividends of $1,814 and $1,371, respectively. During the nine months ended September 30, 2013 and 2012, the Company recorded and paid dividends of $4,549 and $4,095, respectively. | ||||||||||||||||||||||||
On September 12, 2013, the Company announced a quarterly dividend of $0.08 per share to shareholders of record and holders of RSUs as of the close of business on November 15, 2013, payable on December 6, 2013. | ||||||||||||||||||||||||
Treasury Stock. In 2012, the Company’s Board of Directors authorized the purchase of up to 1,000,000 shares of the Company’s Series A or Series B common stock through open market purchases, privately negotiated transactions or otherwise. During the three and nine months ended September 30, 2013, the Company purchased 124,122 and 358,153 shares of Series A common stock, respectively, for $922 and $2,286, respectively, which are recorded in treasury stock. All purchases were made through open market transactions. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Earnings Per Share | ' | |||||||||||||||
Earnings Per Share | ||||||||||||||||
The table below sets forth the reconciliations for net income (loss) and weighted average shares used for calculating basic and diluted earnings per share (“EPS”). The Company’s Series A and B common stock equally share in the distributed and undistributed earnings. | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Earnings (numerator) | ||||||||||||||||
Net income (loss) available to common shareholders from continuing operations (a) | $ | 1,964 | $ | 2,610 | $ | (1,336 | ) | $ | 3,274 | |||||||
Shares (denominator) | ||||||||||||||||
Weighted average common shares outstanding (basic) | 21,943,876 | 22,807,657 | 22,005,705 | 21,850,253 | ||||||||||||
Effect of dilutive securities (b) | 125,635 | 120,060 | — | — | ||||||||||||
Adjusted weighted average shares outstanding (diluted) | 22,069,511 | 22,927,717 | 22,005,705 | 21,850,253 | ||||||||||||
Earnings per share from continuing operations | ||||||||||||||||
Basic | $ | 0.09 | $ | 0.11 | $ | (0.06 | ) | $ | 0.15 | |||||||
Diluted | $ | 0.09 | $ | 0.11 | $ | (0.06 | ) | $ | 0.15 | |||||||
(a) | Net income (loss) available to common shareholders from continuing operations includes an adjustment for dividends paid to holders of RSUs which are participating securities. | |||||||||||||||
(b) | A total of 1,772,891 and 2,272,543 options and RSUs outstanding during the three months ended September 30, 2013 and 2012, respectively, and 1,898,526 and 2,392,603 options and RSUs outstanding during the nine months ended September 30, 2013 and 2012, respectively, were excluded from the calculation because they did not affect the EPS for common shareholders or the effect was anti-dilutive. |
CONTINGENCIES
CONTINGENCIES | 9 Months Ended |
Sep. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Contingencies | ' |
Contingencies | |
In June 2013, The Providence Journal executed an agreement allowing it to effectively assume the distribution of various national and regional newspapers and magazines previously managed by a third-party distributor. The agreement also settles claims and disputes between The Providence Journal and the third-party distributor. Under the agreement, The Providence Journal will pay the third-party distributor approximately $1,330 over a two-year period for the acquisition of business and settlement of claims. The Company anticipates profits from the distribution contracts to well exceed the amounts paid under the agreement. The Company allocated approximately one-half of the cost of the agreement as a loss on the settlement of claims and, accordingly, a loss of $665 was recorded to Other production, distribution and operating costs during the three months ended June 30, 2013. The remaining amounts to be paid are treated as contract acquisition costs and are being amortized to expense over three years starting in July 2013, consistent with the contract terms between The Providence Journal and the newspaper and magazine publishers. | |
In addition to the matter above, a number of legal proceedings are pending against A. H. Belo. In the opinion of management, liabilities, if any, arising from these legal proceedings would not have a material adverse effect on A. H. Belo’s results of operations, liquidity or financial condition. |
Recovered_Sheet1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation, Policy | ' |
These Condensed Consolidated Financial Statements include the accounts of A. H. Belo and its subsidiaries and were prepared in accordance with United States Generally Accepted Accounting Principles (“GAAP”) for interim financial information and in accordance with the Securities and Exchange Commission’s (“SEC”) 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 GAAP for complete financial statements. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. In the opinion of management, all adjustments considered necessary for a fair presentation were included. Transactions between the consolidated companies were eliminated and noncontrolling interests in less than wholly-owned subsidiaries were reflected in the consolidated financial statements. These Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012. Operating results for the three and nine months ended September 30, 2013, may not be necessarily indicative of the results that may be expected for the year ending December 31, 2013. All dollar amounts are presented in thousands, except per share amounts, unless the context requires otherwise. | |
Discontinued Operations, Policy | ' |
In October 2013, the Company entered into a definitive asset purchase agreement to dispose of substantially all of the assets and operations related to The Press‑Enterprise, a daily newspaper in Riverside, California, which serves the Inland Southern California region. As described in Note 2 – Discontinued Operations and Sales of Assets, this agreement meets the criteria of discontinued operations as prescribed under Accounting Standards Codification 205 - Presentation of Financial Statements. Accordingly, presentation of current and prior period amounts in the condensed consolidated financial statements and notes thereto reflect continuing operations of the Company unless otherwise noted. | |
New Accounting Pronouncements, Policy | ' |
In 2012, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-02 – Comprehensive Income (Topic 220) Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, requiring an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component and to present significant amounts reclassified out of accumulated other comprehensive income by respective line items of net income if the amount reclassified is required to be reclassified to net income in its entirety. The Company adopted this modification in 2012 and the notes to the consolidated financial statements now reference the account and amounts reclassified from accumulated other comprehensive loss to net income by component. | |
Investment, Policy | ' |
The Company owns investment interests in various entities which are recorded under the equity method or cost method of accounting or consolidated if the Company holds a controlling financial interest. Under the equity method, the Company records its share of the investee’s earnings or losses each period in other income (expense), net, in the consolidated statements of operations. Under the cost method, the Company records earnings or losses when such amounts are realized. The Company evaluates the recoverability of its investments each period. | |
Income Tax, Policy | ' |
The Company evaluates uncertain tax positions and recognizes a liability for the tax benefit associated with an uncertain position only if it is more likely than not the position will not be sustained on examination by taxing authorities, based on the technical merits of the position. | |
Income taxes are recorded using the asset and liability method. The provision for taxes reflects the Company’s estimate of the effective rate expected to be applicable for the full fiscal year, adjusted for any discrete transactions, which are reported in the period in which they occur. The estimated effective tax rate is re-evaluated each quarter based on the Company’s estimated tax expense for the year. | |
Pension and Other Postretirement Plans, Policy | ' |
Net Periodic Pension Benefit | |
The Company estimates net periodic pension expense or benefit based on the expected return on plan assets, the interest on projected pension obligations and the amortization of actuarial gains and losses in accumulated other comprehensive loss. | |
Stockholders' Equity, Policy | ' |
Accumulated other comprehensive loss contains actuarial gains and losses associated with the A. H. Belo Pension Plans and gains and losses resulting from negative plan amendments and other actuarial experience related to other post-employment benefit plans. The Company records amortization of accumulated other comprehensive loss in salaries, wages and employee benefits in its consolidated statements of operations. Gains and losses associated with the A. H. Belo Pension Plans are amortized over the weighted average remaining life expectancy of the participants. Gains and losses associated with the Company’s other post-employment benefit plans are amortized over the average remaining service period of active plan participants. The net deferred tax assets associated with accumulated other comprehensive loss are fully reserved. |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||||||
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures | ' | |||||||||||||||
Major components of these amounts presented as discontinued operations in the condensed consolidated financial statements are set forth below. | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Loss from discontinued operations | ||||||||||||||||
Revenue | $ | 12,987 | $ | 16,622 | $ | 38,836 | $ | 47,636 | ||||||||
Costs and expense | (14,562 | ) | (17,771 | ) | (43,966 | ) | (53,114 | ) | ||||||||
(1,575 | ) | (1,149 | ) | (5,130 | ) | (5,478 | ) | |||||||||
Gain related to the divestiture of discontinued operations | ||||||||||||||||
Gain on sale of press equipment | 269 | — | 269 | — | ||||||||||||
Gain on sale of five-story office building | 4,477 | — | 4,477 | — | ||||||||||||
4,746 | — | 4,746 | — | |||||||||||||
Tax benefit from discontinued operations | 13 | 22 | 49 | 56 | ||||||||||||
Income (Loss) from Discontinued Operations | $ | 3,184 | $ | (1,127 | ) | $ | (335 | ) | $ | (5,422 | ) | |||||
September 30, | December 31, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Assets of discontinued operations | ||||||||||||||||
Current assets | $ | 7,352 | $ | 10,203 | ||||||||||||
Property, plant and equipment, net | 9,395 | 35,755 | ||||||||||||||
Other assets | 1,600 | 2,444 | ||||||||||||||
Total | $ | 18,347 | $ | 48,402 | ||||||||||||
Liabilities of discontinued operations | $ | 7,153 | $ | 7,781 | ||||||||||||
Intangible_Assets_Tables
Intangible Assets (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||
Company's Identifiable Intangible Assets | ' | |||||||||||
The table below sets forth the Company’s identifiable intangible assets, consisting of subscriber lists and customer relationship assets. | ||||||||||||
Total | The | The | ||||||||||
Intangible Assets | Dallas Morning News | Providence | ||||||||||
Journal | ||||||||||||
September 30, 2013 | ||||||||||||
Gross balance | $ | 79,060 | $ | 362 | $ | 78,698 | ||||||
Accumulated amortization | (72,594 | ) | (90 | ) | (72,504 | ) | ||||||
Net balance | $ | 6,466 | $ | 272 | $ | 6,194 | ||||||
December 31, 2012 | ||||||||||||
Gross balance | $ | 78,698 | $ | — | $ | 78,698 | ||||||
Accumulated amortization | (69,225 | ) | — | (69,225 | ) | |||||||
Net balance | $ | 9,473 | $ | — | $ | 9,473 | ||||||
Investments_Tables
Investments (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Investments [Abstract] | ' | |||||||
Company's investments | ' | |||||||
The table below sets forth the Company’s investments: | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Equity method investments | $ | 8,902 | $ | 5,706 | ||||
Cost method investments | 932 | 1,120 | ||||||
Total investments | $ | 9,834 | $ | 6,826 | ||||
Longterm_Incentive_Plans_Table
Long-term Incentive Plans (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
Stock option activity | ' | ||||||||||||||||
The table below sets forth a summary of stock option activity under the A. H. Belo long-term incentive plan: | |||||||||||||||||
Number of | Weighted-Average | ||||||||||||||||
Options | Exercise Price | ||||||||||||||||
Outstanding at December 31, 2012 | 1,215,680 | $ | 17.9 | ||||||||||||||
Exercised | (16,820 | ) | 3.89 | ||||||||||||||
Canceled | (43,627 | ) | 22.29 | ||||||||||||||
Outstanding at September 30, 2013 | 1,155,233 | $ | 17.94 | ||||||||||||||
Vested and exercisable at September 30, 2013 | 1,155,233 | $ | 17.94 | ||||||||||||||
RSU activity | ' | ||||||||||||||||
The table below sets forth a summary of RSU activity under the A. H. Belo long-term incentive plan: | |||||||||||||||||
Total | Issuance of | RSUs | Cash | Weighted- | |||||||||||||
RSUs | Common | Redeemed in | Payments at | Average Price | |||||||||||||
Stock | Cash | Closing Price | on Date of | ||||||||||||||
of Stock | Grant | ||||||||||||||||
Non-vested at December 31, 2012 | 811,618 | $ | 5.97 | ||||||||||||||
Granted | 344,811 | 5.5 | |||||||||||||||
Vested | (413,136 | ) | 247,863 | 165,273 | $ | 897 | 6.26 | ||||||||||
Non-vested at September 30, 2013 | 743,293 | $ | 5.59 | ||||||||||||||
Compensation expense related to RSU awards | ' | ||||||||||||||||
A. H. Belo recognizes compensation expense for RSUs issued to its employees and directors under its long-term incentive plan on a straight-line basis over the vesting period of the award, as set forth in the table below: | |||||||||||||||||
RSUs Redeemable in Stock | RSUs Redeemable in Cash | Total RSU Awards Expense | |||||||||||||||
Three months ended September 30, | |||||||||||||||||
2013 | $ | 107 | $ | 290 | $ | 397 | |||||||||||
2012 | 180 | 184 | 364 | ||||||||||||||
Nine months ended September 30, | |||||||||||||||||
2013 | $ | 1,045 | $ | 1,436 | $ | 2,481 | |||||||||||
2012 | 1,054 | 561 | 1,615 | ||||||||||||||
Recovered_Sheet2
Pension and Other Retirement Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||
Required and Voluntary Contributions to Pension Plan [Table Text Block] | ' | |||||||||||||||
The table below sets forth required and voluntary contributions the Company made to the pension plans: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Required contributions | $ | 5,060 | $ | 4,600 | $ | 7,396 | $ | 18,072 | ||||||||
Voluntary contributions | 4,604 | — | 4,604 | 10,000 | ||||||||||||
Total contributions | $ | 9,664 | $ | 4,600 | $ | 12,000 | $ | 28,072 | ||||||||
Net periodic pension expense | ' | |||||||||||||||
The table below sets forth components of net periodic pension benefit: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Interest cost | $ | 3,999 | $ | 4,325 | $ | 11,997 | $ | 12,975 | ||||||||
Expected return on plans’ assets | (4,891 | ) | (4,600 | ) | (14,673 | ) | (13,800 | ) | ||||||||
Amortization of actuarial loss | 426 | 175 | 1,277 | 525 | ||||||||||||
Net periodic pension benefit | $ | (466 | ) | $ | (100 | ) | $ | (1,399 | ) | $ | (300 | ) | ||||
Expense and Contributions Applicable to Each Plan [Table Text Block] | ' | |||||||||||||||
The table below sets forth the expense and contributions applicable to the Savings and PTS Plans: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Savings Plan | ||||||||||||||||
Expense and contributions | $ | 306 | $ | 306 | $ | 1,001 | $ | 959 | ||||||||
PTS Plan | ||||||||||||||||
Expense | — | 945 | 1,090 | 3,181 | ||||||||||||
Contributions | — | — | 5,217 | 4,480 | ||||||||||||
Shareholders_Equity_Tables
Shareholders' Equity (Tables) | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||||||||||
Changes in accumulated other comprehensive loss | ' | |||||||||||||||||||||||
The tables below set forth the changes in accumulated other comprehensive loss, net of taxes: | ||||||||||||||||||||||||
Three Months Ended September 30, | ||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||
Total | Defined benefit pension plans | Other post-employment benefit plans | Total | Defined benefit pension plans | Other post-employment benefit plans | |||||||||||||||||||
Balance, beginning of period | $ | (73,041 | ) | $ | (74,081 | ) | $ | 1,040 | $ | (63,049 | ) | $ | (64,669 | ) | $ | 1,620 | ||||||||
Amortization | 245 | 426 | (181 | ) | 10 | 175 | (165 | ) | ||||||||||||||||
Balance, end of period | $ | (72,796 | ) | $ | (73,655 | ) | $ | 859 | $ | (63,039 | ) | $ | (64,494 | ) | $ | 1,455 | ||||||||
Nine Months Ended September 30, | ||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||
Total | Defined benefit pension plans | Other post-employment benefit plans | Total | Defined benefit pension plans | Other post-employment benefit plans | |||||||||||||||||||
Balance, beginning of period | $ | (73,532 | ) | $ | (74,932 | ) | $ | 1,400 | $ | (63,069 | ) | $ | (65,019 | ) | $ | 1,950 | ||||||||
Amortization | 736 | 1,277 | (541 | ) | 30 | 525 | (495 | ) | ||||||||||||||||
Balance, end of period | $ | (72,796 | ) | $ | (73,655 | ) | $ | 859 | $ | (63,039 | ) | $ | (64,494 | ) | $ | 1,455 | ||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Weighted average shares used for calculating basic and diluted earnings per share | ' | |||||||||||||||
The table below sets forth the reconciliations for net income (loss) and weighted average shares used for calculating basic and diluted earnings per share (“EPS”). The Company’s Series A and B common stock equally share in the distributed and undistributed earnings. | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Earnings (numerator) | ||||||||||||||||
Net income (loss) available to common shareholders from continuing operations (a) | $ | 1,964 | $ | 2,610 | $ | (1,336 | ) | $ | 3,274 | |||||||
Shares (denominator) | ||||||||||||||||
Weighted average common shares outstanding (basic) | 21,943,876 | 22,807,657 | 22,005,705 | 21,850,253 | ||||||||||||
Effect of dilutive securities (b) | 125,635 | 120,060 | — | — | ||||||||||||
Adjusted weighted average shares outstanding (diluted) | 22,069,511 | 22,927,717 | 22,005,705 | 21,850,253 | ||||||||||||
Earnings per share from continuing operations | ||||||||||||||||
Basic | $ | 0.09 | $ | 0.11 | $ | (0.06 | ) | $ | 0.15 | |||||||
Diluted | $ | 0.09 | $ | 0.11 | $ | (0.06 | ) | $ | 0.15 | |||||||
(a) | Net income (loss) available to common shareholders from continuing operations includes an adjustment for dividends paid to holders of RSUs which are participating securities. | |||||||||||||||
(b) | A total of 1,772,891 and 2,272,543 options and RSUs outstanding during the three months ended September 30, 2013 and 2012, respectively, and 1,898,526 and 2,392,603 options and RSUs outstanding during the nine months ended September 30, 2013 and 2012, respectively, were excluded from the calculation because they did not affect the EPS for common shareholders or the effect was anti-dilutive. |
Discontinued_Operations_Financ
Discontinued Operations (Financial Statements of Discontinued Operations) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ' | ' | ' | ' | ' |
Revenue | $12,987 | $16,622 | $38,836 | $47,636 | ' |
Costs and expense | -14,562 | -17,771 | -43,966 | -53,114 | ' |
Loss before income taxes | -1,575 | -1,149 | -5,130 | -5,478 | ' |
Gain related to the divestiture of discontinued operations | -4,746 | 0 | -4,746 | 0 | ' |
Tax benefit from discontinued operations | -13 | -22 | -49 | -56 | ' |
Income (Loss) from Discontinued Operations | 3,184 | -1,127 | -335 | -5,422 | ' |
Current assets | 7,352 | ' | 7,352 | ' | 10,203 |
Property, plant and equipment, net | 9,395 | ' | 9,395 | ' | 35,755 |
Other assets | 1,600 | ' | 1,600 | ' | 2,444 |
Total | 18,347 | ' | 18,347 | ' | 48,402 |
Liabilities of discontinued operations | 7,153 | ' | 7,153 | ' | 7,781 |
Equipment Sale [Member] | ' | ' | ' | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ' | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | -269 | 0 | -269 | 0 | ' |
Building Sale [Member] | ' | ' | ' | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ' | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | ($4,477) | $0 | ($4,477) | $0 | ' |
Discontinued_Operations_Narrat
Discontinued Operations (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | $4,746 | $0 | $4,746 | $0 |
Proceeds from Sale of Property, Plant, and Equipment | ' | ' | 540 | 628 |
Equipment Sale [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Disposal Date | 8-Jul-13 | ' | ' | ' |
Proceeds from Divestiture of Businesses, Net of Cash Divested | 504 | ' | ' | ' |
Gain related to the divestiture of discontinued operations | 269 | 0 | 269 | 0 |
Building Sale [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Disposal Date | 17-Jul-13 | ' | ' | ' |
Proceeds from Divestiture of Businesses, Net of Cash Divested | 28,589 | ' | ' | ' |
Gain related to the divestiture of discontinued operations | 4,477 | 0 | 4,477 | 0 |
Proceeds from Divestiture of Businesses | 30,000 | ' | ' | ' |
Building Sale [Member] | Selling Costs - Direct [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | -1,411 | ' | ' | ' |
Newspaper Sale [Member] | Relocation Costs [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | 541 | ' | ' | ' |
Newspaper Sale [Member] | Newspaper Sale [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Proceeds from Divestiture of Businesses | 27,250 | ' | ' | ' |
Security Deposit | 1,000 | ' | 1,000 | ' |
Newspaper Sale [Member] | Capital Asset Costs [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | 1,600 | ' | ' | ' |
Minimum | Newspaper Sale [Member] | Newspaper Sale [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | 8,000 | ' | ' | ' |
Maximum | Newspaper Sale [Member] | Newspaper Sale [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Gain related to the divestiture of discontinued operations | 12,000 | ' | ' | ' |
Land Sale [Member] | ' | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' | ' |
Proceeds from Sale of Property, Plant, and Equipment | 367 | ' | ' | ' |
Gain (Loss) on Disposition of Property Plant Equipment | $242 | ' | ' | ' |
Goodwill_and_Other_Intangibles
Goodwill and Other Intangibles (Schedule of identifiable intangible assets) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Intangible Assets | ' | ' |
Gross balance | $79,060 | $78,698 |
Accumulated amortization | -72,594 | -69,225 |
Net balance | 6,466 | 9,473 |
Providence Journal Subscription List | ' | ' |
Intangible Assets | ' | ' |
Gross balance | 78,698 | 78,698 |
Accumulated amortization | -72,504 | -69,225 |
Net balance | 6,194 | 9,473 |
The Dallas Morning News Customer Relationships | ' | ' |
Intangible Assets | ' | ' |
Gross balance | 362 | 0 |
Accumulated amortization | -90 | 0 |
Net balance | $272 | $0 |
Goodwill_and_Other_Intangibles1
Goodwill and Other Intangibles (Narrative) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | Subscriber Lists - The Providence Journal and The Press-Enterprise | Customer Relationships - The Dallas Morning News | ||
Goodwill | ' | ' | ' | ' |
Carrying value of goodwill | $24,582 | $24,582 | ' | ' |
Cumulative goodwill impairment losses | 323,734 | 323,734 | ' | ' |
Finite-Lived Intangible Assets, Gross | ' | ' | ' | ' |
Amortization period of identifiable intangible assets | ' | ' | '18 years | '3 years |
Finite-Lived Intangible Assets, Remaining Amortization Period | ' | ' | '1 year 5 months | ' |
Finite-lived Intangible Assets Acquired | ' | ' | ' | $362 |
Investments_Schedule_of_invest
Investments (Schedule of investments) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investments | ' | ' |
Equity method investments | $8,902 | $5,706 |
Cost method investments | 932 | 1,120 |
Total investments | $9,834 | $6,826 |
Investments_Narrative_Details
Investments (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Investments | ' | ' | ' | ' |
Earnings from equity method investments | $721 | $607 | $1,819 | $1,733 |
Speakeasy | ' | ' | ' | ' |
Investments Schedule | ' | ' | ' | ' |
Consolidated method - Ownership percentage of investments | 70.00% | ' | 70.00% | ' |
Classified Ventures | ' | ' | ' | ' |
Investments Schedule | ' | ' | ' | ' |
Equity method - Belo and A. H. Belo total joint ownership percentage of investment | 6.60% | ' | 6.60% | ' |
Equity Method Investment, Summarized Financial Information, Revenue | ' | ' | 370,818 | 325,288 |
Equity Method Investment Summarized Financial Information Operating Income | ' | ' | 77,450 | 62,295 |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | ' | ' | $81,604 | $63,031 |
Wanderful | ' | ' | ' | ' |
Investments Schedule | ' | ' | ' | ' |
Equity method - A. H. Belo ownership percentage of investments | 12.70% | ' | 12.70% | ' |
Longterm_Incentive_Plans_Sched
Long-term Incentive Plans (Schedule of stock option activity) (Details) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
Stock option activity rollforward | ' |
Number of Options, Outstanding, Beginning Balance | 1,215,680 |
Number of Options Exercised | -16,820 |
Number of Options Canceled | -43,627 |
Number of Options, Outstanding, Ending Balance | 1,155,233 |
Number of Options, Vested and exercisable, End of period | 1,155,233 |
Weighted average price per share | ' |
Weighted Average Exercise Price, Outstanding Beginning Balance | $17.90 |
Weighted Average Exercise Price, Exercised | $3.89 |
Weighted Average Exercise Price, Canceled | $22.29 |
Weighted Average Exercise Price, Outstanding Ending Balance | $17.94 |
Weighted Average Exercise Price, Vested and exercisable, End of Period | $17.94 |
Longterm_Incentive_Plans_Sched1
Long-term Incentive Plans (Schedule of RSU activity) (Details) (USD $) | 9 Months Ended |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 |
RSU non-vested rollforward | ' |
Non-vested at December 31, 2012 | 811,618 |
Granted | 344,811 |
Vested | -413,136 |
Non-vested at September 30, 2013 | 743,293 |
Vested RSUs redeemed for stock, cash, and related payments | ' |
Issuance of Common Stock | 247,863 |
RSUs Redeemed in Cash | 165,273 |
Cash Payments at Closing Price of Stock | $897 |
Weighted- Average Price on Date of Grant | ' |
Beginning balance - Weighted average price | $5.97 |
Granted | $5.50 |
Vested | $6.26 |
Ending balance - Weighted average price | $5.59 |
Longterm_Incentive_Plans_Sched2
Long-term Incentive Plans (Schedule of compensation expense for RSUs) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Compensation expense related to stock awards | ' | ' | ' | ' |
Share-based compensation expense | $397 | $364 | $2,481 | $1,615 |
RSUs - Redeemed in Stock | ' | ' | ' | ' |
Compensation expense related to stock awards | ' | ' | ' | ' |
Share-based compensation expense | 107 | 180 | 1,045 | 1,054 |
RSUs - Redeemed in Cash | ' | ' | ' | ' |
Compensation expense related to stock awards | ' | ' | ' | ' |
Share-based compensation expense | $290 | $184 | $1,436 | $561 |
Longterm_Incentive_Plans_Narra
Long-term Incentive Plans (Narrative) (Details) (USD $) | 9 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Feb. 08, 2008 |
Stock Options | ' | ' |
Common shares authorized for equity awards | ' | 8,000,000 |
Vested and exercisable weighted average remaining contractual term | '2 years 6 months 7 days | ' |
RSUs - Redeemed in Stock | ' | ' |
RSUs | ' | ' |
Percentage of redemption of RSUs in common stock | 60.00% | ' |
RSUs - Redeemed in Cash | ' | ' |
RSUs | ' | ' |
Percentage of redemption of RSUs in cash | 40.00% | ' |
Liability for the cash portion of redemption | 1,931 | ' |
Minimum | RSUs - Redeemed in Stock | ' | ' |
RSUs | ' | ' |
RSUs - vesting period | '1 year | ' |
Maximum | RSUs - Redeemed in Stock | ' | ' |
RSUs | ' | ' |
RSUs - vesting period | '3 years | ' |
Longterm_Debt_Narrative_Detail
Long-term Debt (Narrative) (Details) (Revolving Credit Facility, USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 |
Revolving Credit Facility | ' |
Line of Credit | ' |
Working capital facility | $25,000 |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.50% |
Line of Credit Facility, Interest Rate During Period | 2.50% |
Debt issuance costs amortized in current period | $401 |
Income_Taxes_Supplemental_Info
Income Taxes Supplemental Information (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' |
Unrecognized Tax Benefits | $0 | ' | $0 | ' | $324 |
Income tax expense | 392 | 523 | 1,284 | 1,342 | ' |
Effective Income Tax Rate, Continuing Operations | 15.80% | 16.90% | ' | 29.30% | ' |
Income tax penalties and interest accrued | $0 | ' | $0 | ' | $93 |
Tax Credit Carryforward, Expiration Date | ' | ' | 31-Dec-16 | ' | ' |
Pension_and_Other_Retirement_P1
Pension and Other Retirement Plans (Schedule of defined benefit contributions) (Details) (Pension Plans, Defined Benefit, USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined Benefit Plan, Contributions by Employer | $9,664 | $4,600 | $12,000 | $28,072 |
Required Contributions [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined Benefit Plan, Contributions by Employer | 5,060 | 4,600 | 7,396 | 18,072 |
Voluntary Contributions [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined Benefit Plan, Contributions by Employer | $4,604 | $0 | $4,604 | $10,000 |
Pension_and_Other_Retirement_P2
Pension and Other Retirement Plans (Schedule of net periodic pension benefit) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Defined Benefit Plan Disclosure | ' | ' | ' | ' |
Amortization of net actuarial losses | ' | ' | $736 | $30 |
Pension Plans, Defined Benefit | ' | ' | ' | ' |
Defined Benefit Plan Disclosure | ' | ' | ' | ' |
Interest cost | 3,999 | 4,325 | 11,997 | 12,975 |
Expected return on plans’ assets | -4,891 | -4,600 | -14,673 | -13,800 |
Amortization of net actuarial losses | 426 | 175 | 1,277 | 525 |
Net periodic pension benefit | ($466) | ($100) | ($1,399) | ($300) |
Pension_and_Other_Retirement_P3
Pension and Other Retirement Plans (Schedule of defined contribution contributions and expense) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
401(K) Plan | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Defined Contribution Plan, Cost Recognized | $306 | $306 | $1,001 | $959 |
Pension Transition Supplement Plan | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Defined Contribution Plan, Cost Recognized | 0 | 945 | 1,090 | 3,181 |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $0 | $0 | $5,217 | $4,480 |
Pension_and_Other_Retirement_P4
Pension and Other Retirement Plans (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
401(K) Plan | ' | ' | ' | ' |
Defined Contribution Plans | ' | ' | ' | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent | ' | ' | 1.50% | ' |
Pension Transition Supplement Plan | ' | ' | ' | ' |
Defined Contribution Plans | ' | ' | ' | ' |
Maximum period of supplemental contributions to the PTS plan | ' | ' | '5 years | ' |
A. H. Belo Pension Plans | ' | ' | ' | ' |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' |
Defined Benefit Plan, Contributions by Employer | $9,664 | $4,600 | $12,000 | $28,072 |
Assumed rate of return on plans' assets | ' | ' | 6.50% | ' |
A. H. Belo Pension Plans | Equity Securities | ' | ' | ' | ' |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' |
Target allocation of plans' assets | ' | ' | 55.00% | ' |
A. H. Belo Pension Plans | Fixed Income Securities | ' | ' | ' | ' |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' |
Target allocation of plans' assets | ' | ' | 45.00% | ' |
Required Contributions [Member] | A. H. Belo Pension Plans | ' | ' | ' | ' |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' |
Defined Benefit Plan, Contributions by Employer | 5,060 | 4,600 | 7,396 | 18,072 |
Expected remaining pension plan contributions in 2013 | ' | ' | 0 | ' |
Voluntary Contributions [Member] | A. H. Belo Pension Plans | ' | ' | ' | ' |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' |
Defined Benefit Plan, Contributions by Employer | $4,604 | $0 | $4,604 | $10,000 |
Shareholders_Equity_Schedule_o
Shareholders' Equity (Schedule of accumulated other comprehensive loss) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated other comprehensive income rollforward | ' | ' | ' | ' |
Balance, beginning of period | ($73,041) | ($63,049) | ($73,532) | ($63,069) |
Amortization of net actuarial loss | 245 | 10 | 736 | 30 |
Balance, end of period | -72,796 | -63,039 | -72,796 | -63,039 |
Pension Plans, Defined Benefit | ' | ' | ' | ' |
Accumulated other comprehensive income rollforward | ' | ' | ' | ' |
Balance, beginning of period | -74,081 | -64,669 | -74,932 | -65,019 |
Amortization of net actuarial loss | 426 | 175 | 1,277 | 525 |
Balance, end of period | -73,655 | -64,494 | -73,655 | -64,494 |
Other Post-Employment Benefit Plans | ' | ' | ' | ' |
Accumulated other comprehensive income rollforward | ' | ' | ' | ' |
Balance, beginning of period | 1,040 | 1,620 | 1,400 | 1,950 |
Amortization of net actuarial loss | -181 | -165 | -541 | -495 |
Balance, end of period | $859 | $1,455 | $859 | $1,455 |
Shareholders_Equity_Narrative_
Shareholders' Equity (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Dividends [Abstract] | ' | ' | ' | ' |
Payments of dividends | $1,814 | $1,371 | $4,549 | $4,095 |
Treasury Stock, Number of Shares and Restriction Disclosures [Abstract] | ' | ' | ' | ' |
Number of shares authorized to be repurchased | 1,000,000 | ' | 1,000,000 | ' |
Treasury stock, Series A, at cost | ' | ' | -2,286 | ' |
Dividend Declared September 12, 2013 [Member] | ' | ' | ' | ' |
Dividends [Abstract] | ' | ' | ' | ' |
Dividends payable, date declared | 12-Sep-13 | ' | ' | ' |
Common Stock, Dividends, Per Share, Declared | $0.08 | ' | ' | ' |
Dividends payable, date of record | 15-Nov-13 | ' | ' | ' |
Dividends payable, date paid | 6-Dec-13 | ' | ' | ' |
Series A: Common stock | ' | ' | ' | ' |
Treasury Stock, Number of Shares and Restriction Disclosures [Abstract] | ' | ' | ' | ' |
Treasury stock purchases, shares | 124,122 | ' | 358,153 | ' |
Treasury stock, Series A, at cost | ($922) | ' | ($2,286) | ' |
Earnings_Per_Share_Schedule_of
Earnings Per Share (Schedule of earnings per share reconciliation) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Earnings Per Share [Abstract] | ' | ' | ' | ' | ||||
Net Income (Loss) Available to Common Stockholders, Basic | $1,964 | [1] | $2,610 | [1] | ($1,336) | [1] | $3,274 | [1] |
Weighted Average Number of Shares Outstanding | ' | ' | ' | ' | ||||
Weighted average common shares outstanding (basic) | 21,943,876 | 22,807,657 | 22,005,705 | 21,850,253 | ||||
Effect of dilutive securities | 125,635 | [2] | 120,060 | [2] | 0 | [2] | 0 | [2] |
Adjusted weighted average shares outstanding (diluted) | 22,069,511 | 22,927,717 | 22,005,705 | 21,850,253 | ||||
Earnings per share from continuing operations | ' | ' | ' | ' | ||||
Basic | $0.09 | $0.11 | ($0.06) | $0.15 | ||||
Diluted | $1,964 | [1] | $2,610 | [1] | ($1,336) | [1] | $3,274 | [1] |
[1] | (a)Net income (loss) available to common shareholders from continuing operations includes an adjustment for dividends paid to holders of RSUs which are participating securities. | |||||||
[2] | (b)A total of 1,772,891 and 2,272,543 options and RSUs outstanding during the three months ended September 30, 2013 and 2012, respectively, and 1,898,526 and 2,392,603 options and RSUs outstanding during the nine months ended September 30, 2013 and 2012, respectively, were excluded from the calculation because they did not affect the EPS for common shareholders or the effect was anti-dilutive |
Earnings_Per_Share_Narrative_D
Earnings Per Share (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1,772,891 | 2,272,543 | 1,898,526 | 2,392,603 |
Contingencies_Narrative_Detail
Contingencies (Narrative) (Details) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 |
Loss Contingencies [Line Items] | ' |
Contract Revenue Cost | $665 |
Litigation Settlement, Amount | 1,330 |
Loss Contingency, Loss in Period | $665 |