Supplemental Consolidating Financial Information | 12 Months Ended |
Dec. 31, 2014 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplemental Consolidating Financial Information | Note 20 Supplemental Consolidating Financial Information |
On April 5, 2011, Intelsat Jackson completed an offering of $2.65 billion aggregate principal amount of senior notes, consisting of $1.5 billion aggregate principal amount of the 7 1/4% Senior Notes due 2019 and $1.15 billion aggregate principal amount of the 7 1/2% Senior Notes due 2021 (collectively the “2011 Jackson Notes”). The 2011 Jackson Notes are fully and unconditionally guaranteed, jointly and severally, by Intelsat S.A., Intelsat Holdings, Intelsat Investment Holdings S.à r.l. and Intelsat Investments (collectively, the “Parent Guarantors”); Intelsat Luxembourg and certain wholly-owned subsidiaries of Intelsat Jackson (the “Subsidiary Guarantors”). |
On April 26, 2012, Intelsat Jackson completed an offering of $1.2 billion aggregate principal amount of the 2020 Jackson Notes, which are fully and unconditionally guaranteed, jointly and severally, by the Parent Guarantors, Intelsat Luxembourg and the Subsidiary Guarantors. |
Separate financial statements of the Parent Guarantors, Intelsat Luxembourg, Intelsat Jackson and the Subsidiary Guarantors are not presented because management believes that such financial statements would not be material to investors. Investments in Intelsat Jackson’s subsidiaries in the following condensed consolidating financial information are accounted for under the equity method of accounting. Consolidating adjustments include the following: |
|
| • | | elimination of investment in subsidiaries; | | | | | | | | | | | | | | | | | | | | | | | | | |
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| • | | elimination of intercompany accounts; | | | | | | | | | | | | | | | | | | | | | | | | | |
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| • | | elimination of intercompany sales between guarantor and non-guarantor subsidiaries; and | | | | | | | | | | | | | | | | | | | | | | | | | |
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| • | | elimination of equity in earnings (losses) of subsidiaries. | | | | | | | | | | | | | | | | | | | | | | | | | |
We had other comprehensive loss of $6.9 million, other comprehensive income of $58.0 million and other comprehensive loss of $52.1 million for the years ended December 31, 2012, 2013and 2014, respectively. Other comprehensive income (loss) is fully attributable to the Subsidiary Guarantors, which are also consolidated within Intelsat Jackson. |
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INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING BALANCE SHEET |
AS OF DECEMBER 31, 2014 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation | | | Consolidated | |
S.A. and | Luxembourg | Jackson | Subsidiary | Guarantor | and |
Other | | | Guarantors | Subsidiaries | Eliminations |
Parent | | | | | |
Guarantors | | | | | |
ASSETS | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Current assets: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents | | $ | 6,229 | | | $ | 1,068 | | | $ | 63,633 | | | $ | 63,144 | | | $ | 52,217 | | | $ | (63,144 | ) | | $ | 123,147 | |
Receivables, net of allowance | | | 12 | | | | — | | | | 167,621 | | | | 167,569 | | | | 52,825 | | | | (167,569 | ) | | | 220,458 | |
Deferred income taxes | | | — | | | | — | | | | 74,466 | | | | 74,466 | | | | 1,849 | | | | (74,466 | ) | | | 76,315 | |
Prepaid expenses and other current assets | | | 940 | | | | — | | | | 27,938 | | | | 27,880 | | | | 9,334 | | | | (30,147 | ) | | | 35,945 | |
Intercompany receivables | | | — | | | | 134,093 | | | | 356,680 | | | | 285,453 | | | | — | | | | (776,226 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total current assets | | | 7,181 | | | | 135,161 | | | | 690,338 | | | | 618,512 | | | | 116,225 | | | | (1,111,552 | ) | | | 455,865 | |
Satellites and other property and equipment, net | | | — | | | | — | | | | 5,761,839 | | | | 5,761,839 | | | | 118,425 | | | | (5,761,839 | ) | | | 5,880,264 | |
Goodwill | | | — | | | | — | | | | 6,780,827 | | | | 6,780,827 | | | | — | | | | (6,780,827 | ) | | | 6,780,827 | |
Non-amortizable intangible assets | | | — | | | | — | | | | 2,458,100 | | | | 2,458,100 | | | | — | | | | (2,458,100 | ) | | | 2,458,100 | |
Amortizable intangible assets, net | | | — | | | | — | | | | 500,545 | | | | 500,545 | | | | — | | | | (500,545 | ) | | | 500,545 | |
Investment in affiliates | | | (270,172 | ) | | | 3,084,655 | | | | 141,594 | | | | 141,594 | | | | — | | | | (3,097,671 | ) | | | — | |
Other assets | | | 88 | | | | 37,245 | | | | 346,521 | | | | 240,844 | | | | 9,900 | | | | (240,844 | ) | | | 393,754 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total assets | | $ | (262,903 | ) | | $ | 3,257,061 | | | $ | 16,679,764 | | | $ | 16,502,261 | | | $ | 244,550 | | | $ | (19,951,378 | ) | | $ | 16,469,355 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Current liabilities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Accounts payable and accrued liabilities | | $ | 28,818 | | | $ | — | | | $ | 154,445 | | | $ | 154,124 | | | $ | 24,585 | | | $ | (156,390 | ) | | $ | 205,582 | |
Accrued interest payable | | | — | | | | 22,500 | | | | 138,971 | | | | 1,803 | | | | 24 | | | | (1,803 | ) | | | 161,495 | |
Current portion of long-term debt | | | — | | | | — | | | | 49,000 | | | | — | | | | — | | | | — | | | | 49,000 | |
Deferred satellite performance incentives | | | — | | | | — | | | | 19,793 | | | | 19,793 | | | | 1,164 | | | | (19,793 | ) | | | 20,957 | |
Other current liabilities | | | — | | | | — | | | | 183,677 | | | | 182,356 | | | | 6,353 | | | | (182,356 | ) | | | 190,030 | |
Intercompany payables | | | 450,846 | | | | — | | | | — | | | | — | | | | 39,928 | | | | (490,774 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total current liabilities | | | 479,664 | | | | 22,500 | | | | 545,886 | | | | 358,076 | | | | 72,055 | | | | (851,116 | ) | | | 627,064 | |
Long-term debt, net of current portion | | | — | | | | 3,500,000 | | | | 11,262,142 | | | | — | | | | — | | | | — | | | | 14,762,142 | |
Deferred satellite performance incentives, net of current portion | | | — | | | | — | | | | 163,360 | | | | 163,360 | | | | — | | | | (163,360 | ) | | | 163,360 | |
Deferred revenue, net of current portion | | | — | | | | — | | | | 966,832 | | | | 966,832 | | | | 486 | | | | (966,832 | ) | | | 967,318 | |
Deferred income taxes | | | — | | | | — | | | | 201,212 | | | | 201,212 | | | | 10,468 | | | | (201,212 | ) | | | 211,680 | |
Accrued retirement benefits | | | — | | | | — | | | | 262,536 | | | | 262,536 | | | | 370 | | | | (262,536 | ) | | | 262,906 | |
Other long-term liabilities | | | — | | | | — | | | | 193,141 | | | | 168,353 | | | | 24,311 | | | | (168,353 | ) | | | 217,452 | |
Shareholders’ equity (deficit): | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Common shares | | | 1,067 | | | | 7,202 | | | | 3,466,429 | | | | 7,535,655 | | | | 24 | | | | (11,009,310 | ) | | | 1,067 | |
Preferred shares | | | 35 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | 35 | |
Other shareholders’ equity (deficit) | | | (743,669 | ) | | | (272,641 | ) | | | (381,774 | ) | | | 6,846,237 | | | | 136,837 | | | | (6,328,659 | ) | | | (743,669 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total liabilities and shareholders’ equity | | $ | (262,903 | ) | | $ | 3,257,061 | | | $ | 16,679,764 | | | $ | 16,502,261 | | | $ | 244,550 | | | $ | (19,951,378 | ) | | $ | 16,469,355 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING BALANCE SHEET |
AS OF DECEMBER 31, 2013 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation | | | Consolidated | |
S.A. and | Luxembourg | Jackson | Subsidiary | Guarantor | and |
Other | | | Guarantors | Subsidiaries | Eliminations |
Parent | | | | | |
Guarantors | | | | | |
ASSETS | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Current assets: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents | | $ | 3,792 | | | $ | 139 | | | $ | 193,090 | | | $ | 167,800 | | | $ | 50,769 | | | $ | (167,800 | ) | | $ | 247,790 | |
Receivables, net of allowance | | | — | | | | — | | | | 160,023 | | | | 159,656 | | | | 76,324 | | | | (159,656 | ) | | | 236,347 | |
Deferred income taxes | | | — | | | | — | | | | 46,228 | | | | 46,228 | | | | (1,753 | ) | | | (46,228 | ) | | | 44,475 | |
Prepaid expenses and other current assets | | | 1,272 | | | | — | | | | 25,846 | | | | 25,794 | | | | 6,738 | | | | (26,426 | ) | | | 33,224 | |
Intercompany receivables | | | — | | | | — | | | | 421,504 | | | | 386,820 | | | | 20,609 | | | | (828,933 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total current assets | | | 5,064 | | | | 139 | | | | 846,691 | | | | 786,298 | | | | 152,687 | | | | (1,229,043 | ) | | | 561,836 | |
Satellites and other property and equipment, net | | | — | | | | — | | | | 5,698,952 | | | | 5,698,952 | | | | 147,106 | | | | (5,739,470 | ) | | | 5,805,540 | |
Goodwill | | | — | | | | — | | | | 6,780,827 | | | | 6,780,827 | | | | — | | | | (6,780,827 | ) | | | 6,780,827 | |
Non-amortizable intangible assets | | | — | | | | — | | | | 2,458,100 | | | | 2,458,100 | | | | — | | | | (2,458,100 | ) | | | 2,458,100 | |
Amortizable intangible assets, net | | | — | | | | — | | | | 568,775 | | | | 568,775 | | | | — | | | | (568,775 | ) | | | 568,775 | |
Investment in affiliates | | | (428,647 | ) | | | 3,053,901 | | | | 227,320 | | | | 227,320 | | | | — | | | | (3,079,894 | ) | | | — | |
Other assets | | | 88 | | | | 41,497 | | | | 362,636 | | | | 222,679 | | | | 10,371 | | | | (222,679 | ) | | | 414,592 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total assets | | $ | (423,495 | ) | | $ | 3,095,537 | | | $ | 16,943,301 | | | $ | 16,742,951 | | | $ | 310,164 | | | $ | (20,078,788 | ) | | $ | 16,589,670 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Current liabilities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Accounts payable and accrued liabilities | | $ | 28,795 | | | $ | 32 | | | $ | 132,454 | | | $ | 130,178 | | | $ | 22,290 | | | $ | (130,810 | ) | | $ | 182,939 | |
Accrued interest payable | | | — | | | | 22,500 | | | | 163,820 | | | | 2,458 | | | | 172 | | | | (2,458 | ) | | | 186,492 | |
Current portion of long-term debt | | | — | | | | — | | | | — | | | | — | | | | 24,418 | | | | — | | | | 24,418 | |
Deferred satellite performance incentives | | | — | | | | — | | | | 21,089 | | | | 21,089 | | | | 1,614 | | | | (21,089 | ) | | | 22,703 | |
Other current liabilities | | | — | | | | — | | | | 154,014 | | | | 152,772 | | | | 3,011 | | | | (152,772 | ) | | | 157,025 | |
Intercompany payables | | | 441,907 | | | | 206 | | | | — | | | | — | | | | — | | | | (442,113 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total current liabilities | | | 470,702 | | | | 22,738 | | | | 471,377 | | | | 306,497 | | | | 51,505 | | | | (749,242 | ) | | | 573,577 | |
Long-term debt, net of current portion | | | — | | | | 3,500,000 | | | | 11,762,996 | | | | — | | | | — | | | | — | | | | 15,262,996 | |
Deferred satellite performance incentives, net of current portion | | | — | | | | — | | | | 153,023 | | | | 153,023 | | | | 881 | | | | (153,023 | ) | | | 153,904 | |
Deferred revenue, net of current portion | | | — | | | | — | | | | 887,446 | | | | 887,446 | | | | 793 | | | | (887,446 | ) | | | 888,239 | |
Deferred income taxes | | | — | | | | — | | | | 191,298 | | | | 191,298 | | | | 11,388 | | | | (191,346 | ) | | | 202,638 | |
Accrued retirement benefits | | | — | | | | — | | | | 196,657 | | | | 196,657 | | | | 199 | | | | (196,657 | ) | | | 196,856 | |
Other long-term liabilities | | | — | | | | — | | | | 226,603 | | | | 179,025 | | | | 19,524 | | | | (179,025 | ) | | | 246,127 | |
Shareholders’ equity (deficit): | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Common shares | | | 1,060 | | | | 7,202 | | | | 3,466,429 | | | | 9,023,860 | | | | 24 | | | | (12,497,515 | ) | | | 1,060 | |
Preferred shares | | | 35 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | 35 | |
Other shareholders’ equity (deficit) | | | (895,292 | ) | | | (434,403 | ) | | | (412,528 | ) | | | 5,805,145 | | | | 225,850 | | | | (5,224,534 | ) | | | (935,762 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total liabilities and shareholders’ equity | | $ | (423,495 | ) | | $ | 3,095,537 | | | $ | 16,943,301 | | | $ | 16,742,951 | | | $ | 310,164 | | | $ | (20,078,788 | ) | | $ | 16,589,670 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS |
FOR THE YEAR ENDED DECEMBER 31, 2014 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat | | | Intelsat | | | Intelsat | | | Jackson | | | | | | Consolidation | | | Consolidated | |
S.A. and | Luxembourg | Jackson | Subsidiary | Non- | and |
Other | | | Guarantors | Guarantor | Eliminations |
Parent | | | | Subsidiaries | |
Guarantors | | | | | |
Revenue | | $ | — | | | $ | — | | | $ | 2,281,331 | | | $ | 2,281,348 | | | $ | 592,317 | | | $ | (2,682,610 | ) | | $ | 2,472,386 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Direct costs of revenue (exclusive of depreciation and amortization) | | | — | | | | — | | | | 257,999 | | | | 257,999 | | | | 491,460 | | | | (659,110 | ) | | | 348,348 | |
Selling, general and administrative | | | 7,547 | | | | 139 | | | | 132,379 | | | | 131,874 | | | | 57,493 | | | | (132,025 | ) | | | 197,407 | |
Depreciation and amortization | | | — | | | | — | | | | 644,597 | | | | 644,597 | | | | 34,754 | | | | (644,597 | ) | | | 679,351 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total operating expenses | | | 7,547 | | | | 139 | | | | 1,034,975 | | | | 1,034,470 | | | | 583,707 | | | | (1,435,732 | ) | | | 1,225,106 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from operations | | | (7,547 | ) | | | (139 | ) | | | 1,246,356 | | | | 1,246,878 | | | | 8,610 | | | | (1,246,878 | ) | | | 1,247,280 | |
Interest expense, net | | | 10,153 | | | | 274,253 | | | | 660,763 | | | | 6,605 | | | | (382 | ) | | | (6,605 | ) | | | 944,787 | |
Loss on early extinguishment of debt | | | — | | | | — | | | | (40,423 | ) | | | — | | | | — | | | | — | | | | (40,423 | ) |
Subsidiary income | | | 250,281 | | | | 545,402 | | | | 14,729 | | | | 14,729 | | | | — | | | | (825,141 | ) | | | — | |
Other income (expense), net | | | 2 | | | | — | | | | 2,864 | | | | 2,770 | | | | (5,461 | ) | | | (2,768 | ) | | | (2,593 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income before income taxes | | | 232,583 | | | | 271,010 | | | | 562,763 | | | | 1,257,772 | | | | 3,531 | | | | (2,068,182 | ) | | | 259,477 | |
Provision for income taxes | | | 53 | | | | — | | | | 17,361 | | | | 17,268 | | | | 5,557 | | | | (17,268 | ) | | | 22,971 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) | | | 232,530 | | | | 271,010 | | | | 545,402 | | | | 1,240,504 | | | | (2,026 | ) | | | (2,050,914 | ) | | | 236,506 | |
Net income attributable to noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (3,974 | ) | | | — | | | | (3,974 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) attributable to Intelsat, S.A. | | | 232,530 | | | | 271,010 | | | | 545,402 | | | | 1,240,504 | | | | (6,000 | ) | | | (2,050,914 | ) | | | 232,532 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cumulative preferred dividends | | | (9,917 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (9,917 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) attributable to common shareholders | | $ | 222,613 | | | $ | 271,010 | | | $ | 545,402 | | | $ | 1,240,504 | | | $ | (6,000 | ) | | $ | (2,050,914 | ) | | $ | 222,615 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS |
FOR THE YEAR ENDED DECEMBER 31, 2013 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation | | | Consolidated | |
S.A. and | Luxembourg | Jackson | Subsidiary | Guarantor | and |
Other | | | Guarantors | Subsidiaries | Eliminations |
Parent | | | | | |
Guarantors | | | | | |
Revenue | | $ | — | | | $ | — | | | $ | 2,382,169 | | | $ | 2,382,201 | | | $ | 663,354 | | | $ | (2,824,101 | ) | | $ | 2,603,623 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Direct costs of revenue (excluding depreciation and amortization) | | | — | | | | — | | | | 266,869 | | | | 266,869 | | | | 504,983 | | | | (662,952 | ) | | | 375,769 | |
Selling, general and administrative | | | 62,861 | | | | 8,167 | | | | 155,035 | | | | 152,961 | | | | 62,469 | | | | (153,026 | ) | | | 288,467 | |
Depreciation and amortization | | | — | | | | — | | | | 705,165 | | | | 705,165 | | | | 34,623 | | | | (708,386 | ) | | | 736,567 | |
Gain on satellite insurance recoveries | | | — | | | | — | | | | (9,618 | ) | | | (9,618 | ) | | | — | | | | 9,618 | | | | (9,618 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total operating expenses | | | 62,861 | | | | 8,167 | | | | 1,117,451 | | | | 1,115,377 | | | | 602,075 | | | | (1,514,746 | ) | | | 1,391,185 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from operations | | | (62,861 | ) | | | (8,167 | ) | | | 1,264,718 | | | | 1,266,824 | | | | 61,279 | | | | (1,309,355 | ) | | | 1,212,438 | |
Interest (income) expense, net | | | 40,916 | | | | 438,052 | | | | 644,838 | | | | (10,042 | ) | | | (1,545 | ) | | | 10,042 | | | | 1,122,261 | |
Loss on early extinguishment of debt | | | (24,185 | ) | | | (341,351 | ) | | | (2,553 | ) | | | — | | | | — | | | | — | | | | (368,089 | ) |
Subsidiary income (loss) | | | (85,180 | ) | | | 728,465 | | | | 70,409 | | | | 70,409 | | | | — | | | | (784,103 | ) | | | — | |
Other income (expense), net | | | (7 | ) | | | — | | | | 577 | | | | 42,772 | | | | (5,488 | ) | | | (42,772 | ) | | | (4,918 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) before income taxes | | | (213,149 | ) | | | (59,105 | ) | | | 688,313 | | | | 1,390,047 | | | | 57,336 | | | | (2,146,272 | ) | | | (282,830 | ) |
Provision for (benefit from) income taxes | | | — | | | | — | | | | (40,152 | ) | | | (38,819 | ) | | | 9,315 | | | | 38,819 | | | | (30,837 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) | | | (213,149 | ) | | | (59,105 | ) | | | 728,465 | | | | 1,428,866 | | | | 48,021 | | | | (2,185,091 | ) | | | (251,993 | ) |
Net income attributable to noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (3,687 | ) | | | — | | | | (3,687 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) attributable to Intelsat S.A. | | | (213,149 | ) | | | (59,105 | ) | | | 728,465 | | | | 1,428,866 | | | | 44,334 | | | | (2,185,091 | ) | | | (255,680 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cumulative preferred dividends | | | (10,196 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (10,196 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) attributable to common shareholders | | $ | (223,345 | ) | | $ | (59,105 | ) | | $ | 728,465 | | | $ | 1,428,866 | | | $ | 44,334 | | | $ | (2,185,091 | ) | | $ | (265,876 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS |
FOR THE YEAR ENDED DECEMBER 31, 2012 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation | | | Consolidated | |
S.A. and | Luxembourg | Jackson | Subsidiary | Guarantor | and |
Other | | | Guarantors | Subsidiaries | Eliminations |
Parent | | | | | |
Guarantors | | | | | |
Revenue | | $ | — | | | $ | — | | | $ | 2,318,470 | | | $ | 2,318,479 | | | $ | 732,274 | | | $ | (2,759,071 | ) | | $ | 2,610,152 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Direct costs of revenue (excluding depreciation and amortization) | | | — | | | | — | | | | 271,230 | | | | 291,757 | | | | 585,263 | | | | (732,350 | ) | | | 415,900 | |
Selling, general and administrative | | | 4,247 | | | | 25,264 | | | | 124,695 | | | | 123,465 | | | | 49,819 | | | | (123,465 | ) | | | 204,025 | |
Depreciation and amortization | | | — | | | | — | | | | 726,224 | | | | 709,120 | | | | 40,061 | | | | (710,502 | ) | | | 764,903 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total operating expenses | | | 4,247 | | | | 25,264 | | | | 1,122,149 | | | | 1,124,342 | | | | 675,143 | | | | (1,566,317 | ) | | | 1,384,828 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from operations | | | (4,247 | ) | | | (25,264 | ) | | | 1,196,321 | | | | 1,194,137 | | | | 57,131 | | | | (1,192,754 | ) | | | 1,225,324 | |
Interest (income) expense, net | | | 67,377 | | | | 610,771 | | | | 619,650 | | | | (223,283 | ) | | | 12,985 | | | | 223,283 | | | | 1,310,783 | |
Loss on early extinguishment of debt | | | — | | | | — | | | | (67,709 | ) | | | — | | | | (5,833 | ) | | | — | | | | (73,542 | ) |
Subsidiary income (loss) | | | (58,552 | ) | | | 587,519 | | | | 25,510 | | | | 25,510 | | | | — | | | | (579,987 | ) | | | — | |
Other income (expense), net | | | (13 | ) | | | (1 | ) | | | 18,944 | | | | 18,951 | | | | (6,724 | ) | | | (41,285 | ) | | | (10,128 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) before income taxes | | | (130,189 | ) | | | (48,517 | ) | | | 553,416 | | | | 1,461,881 | | | | 31,589 | | | | (2,037,309 | ) | | | (169,129 | ) |
Provision for (benefit from) income taxes | | | — | | | | — | | | | (34,103 | ) | | | (34,103 | ) | | | 14,475 | | | | 34,100 | | | | (19,631 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) | | | (130,189 | ) | | | (48,517 | ) | | | 587,519 | | | | 1,495,984 | | | | 17,114 | | | | (2,071,409 | ) | | | (149,498 | ) |
Net income attributable to noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (1,639 | ) | | | — | | | | (1,639 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income (loss) attributable to Intelsat S.A. | | $ | (130,189 | ) | | $ | (48,517 | ) | | $ | 587,519 | | | $ | 1,495,984 | | | $ | 15,475 | | | $ | (2,071,409 | ) | | $ | (151,137 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED DECEMBER 31, 2014 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat S.A. | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation | | | Consolidated | |
and Other | Luxembourg | Jackson | Subsidiary | Guarantor | and Eliminations |
Parent | | | Guarantors | Subsidiaries | |
Guarantors | | | | | |
Cash flows from operating activities: | | $ | (1,366 | ) | | $ | (270,171 | ) | | $ | 1,253,342 | | | $ | 1,887,340 | | | $ | 64,363 | | | $ | (1,887,338 | ) | | $ | 1,046,170 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Payments for satellites and other property and equipment (including capitalized interest) | | | — | | | | — | | | | (639,603 | ) | | | (639,603 | ) | | | (5,821 | ) | | | 639,603 | | | | (645,424 | ) |
Repayment from (disbursements for) intercompany loans | | | 9,214 | | | | — | | | | 3,873 | | | | 3,873 | | | | — | | | | (16,960 | ) | | | — | |
Investment in subsidiaries | | | (3,790 | ) | | | — | | | | (194 | ) | | | (194 | ) | | | — | | | | 4,178 | | | | — | |
Dividend from affiliates | | | 8,300 | | | | 279,400 | | | | 33,943 | | | | 33,943 | | | | — | | | | (355,586 | ) | | | — | |
Other investing activities | | | — | | | | — | | | | 174 | | | | 174 | | | | — | | | | (174 | ) | | | 174 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in)investing activities | | | 13,724 | | | | 279,400 | | | | (601,807 | ) | | | (601,807 | ) | | | (5,821 | ) | | | 271,061 | | | | (645,250 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Repayments of long-term debt | | | — | | | | — | | | | (586,000 | ) | | | — | | | | (24,418 | ) | | | — | | | | (610,418 | ) |
Payment of premium on early extinguishment of debt | | | — | | | | — | | | | (21,250 | ) | | | — | | | | — | | | | — | | | | (21,250 | ) |
Proceeds from issuance of long-term debt | | | — | | | | — | | | | 135,000 | | | | — | | | | — | | | | — | | | | 135,000 | |
Proceeds from (repayment of) intercompany borrowing | | | (4,233 | ) | | | — | | | | (9,214 | ) | | | — | | | | 360 | | | | 13,087 | | | | — | |
Dividends paid to preferred shareholders | | | (9,919 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (9,919 | ) |
Capital contribution from parent | | | | | | | — | | | | — | | | | 103,698 | | | | 3,984 | | | | (107,682 | ) | | | — | |
Dividends to shareholders | | | — | | | | (8,300 | ) | | | (279,400 | ) | | | (1,473,781 | ) | | | (33,943 | ) | | | 1,795,424 | | | | — | |
Principal payments on deferred satellite performance incentives | | | — | | | | — | | | | (18,705 | ) | | | (18,705 | ) | | | (1,069 | ) | | | 18,705 | | | | (19,774 | ) |
Capital contribution from noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | 12,209 | | | | — | | | | 12,209 | |
Dividends paid to noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (8,744 | ) | | | — | | | | (8,744 | ) |
Other financing activities | | | 4,231 | | | | — | | | | (338 | ) | | | (338 | ) | | | — | | | | 338 | | | | 3,893 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) financing activities | | | (9,921 | ) | | | (8,300 | ) | | | (779,907 | ) | | | (1,389,126 | ) | | | (51,621 | ) | | | 1,719,872 | | | | (519,003 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Effect of exchange rate changes on cash and cash equivalents | | | — | | | | — | | | | (1,085 | ) | | | (1,063 | ) | | | (5,473 | ) | | | 1,061 | | | | (6,560 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net change in cash and cash equivalents | | | 2,437 | | | | 929 | | | | (129,457 | ) | | | (104,656 | ) | | | 1,448 | | | | 104,656 | | | | (124,643 | ) |
Cash and cash equivalents, beginning of period | | | 3,792 | | | | 139 | | | | 193,090 | | | | 167,800 | | | | 50,769 | | | | (167,800 | ) | | | 247,790 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of period | | $ | 6,229 | | | $ | 1,068 | | | $ | 63,633 | | | $ | 63,144 | | | $ | 52,217 | | | $ | (63,144 | ) | | $ | 123,147 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED DECEMBER 31, 2013 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat S.A. | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation | | | Consolidated | |
and Other | Luxembourg | Jackson | Subsidiary | Guarantor | and Eliminations |
Parent | | | Guarantors | Subsidiaries | |
Guarantors | | | | | |
Cash flows from operating activities: | | $ | (108,561 | ) | | $ | (622,489 | ) | | $ | 1,406,174 | | | $ | 1,785,702 | | | $ | 41,767 | | | $ | (1,785,701 | ) | | $ | 716,892 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Payments for satellites and other property and equipment (including capitalized interest) | | | — | | | | — | | | | (591,762 | ) | | | (591,762 | ) | | | (9,030 | ) | | | 591,762 | | | | (600,792 | ) |
Proceeds from insurance settlements | | | — | | | | — | | | | 487,930 | | | | 487,930 | | | | — | | | | (487,930 | ) | | | 487,930 | |
Payment on satellite performance incentives from insurance proceeds | | | — | | | | — | | | | (19,199 | ) | | | (19,199 | ) | | | — | | | | 19,199 | | | | (19,199 | ) |
Repayment from (disbursements for) intercompany loans | | | (23,644 | ) | | | — | | | | (2,223,001 | ) | | | (593,753 | ) | | | 3,493 | | | | 2,836,905 | | | | — | |
Investment in subsidiaries | | | (11,436 | ) | | | (17,248 | ) | | | (324 | ) | | | (324 | ) | | | — | | | | 29,332 | | | | — | |
Dividend from affiliates | | | 20,181 | | | | 524,812 | | | | 9,811 | | | | 9,811 | | | | — | | | | (564,615 | ) | | | — | |
Other investing activities | | | — | | | | — | | | | (2,000 | ) | | | (2,000 | ) | | | — | | | | 2,000 | | | | (2,000 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in)investing activities | | | (14,899 | ) | | | 507,564 | | | | (2,338,545 | ) | | | (709,297 | ) | | | (5,537 | ) | | | 2,426,653 | | | | (134,061 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Repayments of long-term debt | | | (353,550 | ) | | | (5,307,986 | ) | | | (1,218,208 | ) | | | — | | | | (24,418 | ) | | | — | | | | (6,904,162 | ) |
Repayment of notes payable to former shareholders | | | (868 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (868 | ) |
Payment of premium on early extinguishment of debt | | | (9,395 | ) | | | (301,762 | ) | | | (67 | ) | | | — | | | | — | | | | — | | | | (311,224 | ) |
Proceeds from issuance of long-term debt | | | — | | | | 3,500,000 | | | | 2,754,688 | | | | — | | | | — | | | | — | | | | 6,254,688 | |
Proceeds from (repayment of) intercompany borrowing | | | (52,391 | ) | | | 2,289,335 | | | | 20,151 | | | | (44,111 | ) | | | (13,943 | ) | | | (2,199,041 | ) | | | — | |
Debt issuance costs | | | — | | | | (44,433 | ) | | | (40,412 | ) | | | — | | | | — | | | | — | | | | (84,845 | ) |
Proceeds from initial public offering | | | 572,500 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | 572,500 | |
Stock issuance costs | | | (26,683 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (26,683 | ) |
Dividends paid to preferred shareholders | | | (5,235 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (5,235 | ) |
Capital contribution from parent | | | | | | | — | | | | 17,248 | | | | 45,062 | | | | 11,760 | | | | (74,070 | ) | | | — | |
Dividends to shareholders | | | — | | | | (20,181 | ) | | | (524,812 | ) | | | (1,024,160 | ) | | | (9,811 | ) | | | 1,578,964 | | | | — | |
Principal payments on deferred satellite performance incentives | | | — | | | | — | | | | (16,509 | ) | | | (16,509 | ) | | | (993 | ) | | | 16,508 | | | | (17,503 | ) |
Capital contribution from noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | 12,209 | | | | — | | | | 12,209 | |
Dividends paid to noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (8,671 | ) | | | — | | | | (8,671 | ) |
Other financing activities | | | 2,800 | | | | — | | | | 471 | | | | 471 | | | | — | | | | (471 | ) | | | 3,271 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) financing activities | | | 127,178 | | | | 114,973 | | | | 992,550 | | | | (1,039,247 | ) | | | (33,867 | ) | | | (678,110 | ) | | | (516,523 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Effect of exchange rate changes on cash and cash equivalents | | | (7 | ) | | | — | | | | (468 | ) | | | (465 | ) | | | (5,528 | ) | | | 465 | | | | (6,003 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net change in cash and cash equivalents | | | 3,711 | | | | 48 | | | | 59,711 | | | | 36,693 | | | | (3,165 | ) | | | (36,693 | ) | | | 60,305 | |
Cash and cash equivalents, beginning of period | | | 81 | | | | 91 | | | | 133,379 | | | | 131,107 | | | | 53,934 | | | | (131,107 | ) | | | 187,485 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of period | | $ | 3,792 | | | $ | 139 | | | $ | 193,090 | | | $ | 167,800 | | | $ | 50,769 | | | $ | (167,800 | ) | | $ | 247,790 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Certain totals may not add due to the effects of rounding) |
|
INTELSAT S.A. AND SUBSIDIARIES |
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED DECEMBER 31, 2012 |
(in thousands) |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Intelsat S.A. | | | Intelsat | | | Intelsat | | | Jackson | | | Non- | | | Consolidation and | | | Consolidated | |
and Other | Luxembourg | Jackson | Subsidiary | Guarantor | Eliminations |
Parent | | | Guarantors | Subsidiaries | |
Guarantors | | | | | |
Cash flows from operating activities: | | $ | (40,535 | ) | | $ | (626,653 | ) | | $ | 1,320,065 | | | $ | 1,379,396 | | | $ | 168,433 | | | $ | (1,379,396 | ) | | $ | 821,310 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Payments for satellites and other property and equipment (including capitalized interest) | | | — | | | | — | | | | (857,311 | ) | | | (857,311 | ) | | | (8,705 | ) | | | 857,311 | | | | (866,016 | ) |
Proceeds from sale of building, net of fees | | | — | | | | — | | | | 82,415 | | | | 82,415 | | | | — | | | | (82,415 | ) | | | 82,415 | |
Repayment from (disbursements for) intercompany loans | | | — | | | | — | | | | 10,435 | | | | (221,460 | ) | | | — | | | | 211,025 | | | | — | |
Investment in subsidiaries | | | (5,549 | ) | | | — | | | | 208 | | | | 208 | | | | — | | | | 5,133 | | | | — | |
Dividend from affiliates | | | 32,481 | | | | 658,318 | | | | 17,423 | | | | 17,423 | | | | — | | | | (725,645 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) investing activities | | | 26,932 | | | | 658,318 | | | | (746,830 | ) | | | (978,725 | ) | | | (8,705 | ) | | | 265,409 | | | | (783,601 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Repayments of long-term debt | | | — | | | | — | | | | (2,364,508 | ) | | | — | | | | (110,303 | ) | | | — | | | | (2,474,811 | ) |
Repayment of notes payable to former shareholders | | | (1,683 | ) | | | — | | | | — | | | | — | | | | — | | | | — | | | | (1,683 | ) |
Proceeds from issuance of long-term debt | | | — | | | | — | | | | 2,451,521 | | | | — | | | | — | | | | — | | | | 2451521 | |
Proceeds from (repayment of) intercompany borrowing | | | 12,845 | | | | — | | | | — | | | | — | | | | (23,280 | ) | | | 10,435 | | | | — | |
— | |
Debt issuance costs | | | — | | | | — | | | | (27,384 | ) | | | — | | | | — | | | | — | | | | (27,384 | ) |
Payment of premium on early extinguishment of debt | | | — | | | | — | | | | (65,920 | ) | | | — | | | | — | | | | — | | | | (65,920 | ) |
Capital contribution from noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | 12,209 | | | | — | | | | 12,209 | |
Dividends paid to noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (8,838 | ) | | | — | | | | (8,838 | ) |
Principal payments on deferred satellite performance incentives | | | — | | | | — | | | | (14,833 | ) | | | (14,833 | ) | | | (1,136 | ) | | | 14,833 | | | | (15,969 | ) |
Principal payments on capital lease obligations | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
Capital contribution from parent | | | — | | | | — | | | | — | | | | 57,657 | | | | 5,341 | | | | (62,998 | ) | | | — | |
Dividends to shareholders | | | — | | | | (32,481 | ) | | | (658,318 | ) | | | (549,712 | ) | | | (17,423 | ) | | | 1,257,934 | | | | — | |
Repurchase of redeemable noncontrolling interest | | | — | | | | — | | | | — | | | | — | | | | (8,744 | ) | | | — | | | | (8,744 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) financing activities | | | 11,162 | | | | (32,481 | ) | | | (679,442 | ) | | | (506,888 | ) | | | (152,174 | ) | | | 1,220,204 | | | | (139,619 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Effect of exchange rate changes on cash and cash equivalents | | | (13 | ) | | | (1 | ) | | | (589 | ) | | | (582 | ) | | | (6,726 | ) | | | 582 | | | | (7,329 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net change in cash and cash equivalents | | | (2,454 | ) | | | (817 | ) | | | (106,796 | ) | | | (106,799 | ) | | | 828 | | | | 106,799 | | | | (109,239 | ) |
Cash and cash equivalents, beginning of period | | | 2,535 | | | | 908 | | | | 240,175 | | | | 237,906 | | | | 53,106 | | | | (237,906 | ) | | | 296,724 | |
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Cash and cash equivalents, end of period | | $ | 81 | | | $ | 91 | | | $ | 133,379 | | | $ | 131,107 | | | $ | 53,934 | | | $ | (131,107 | ) | | $ | 187,485 | |
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(Certain totals may not add due to the effects of rounding) |