Sizmek (SZMK) 10-Q 13 Nov 14 2014 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2014	Nov. 13, 2014
Document and Entity Information	'	'
Entity Registrant Name	'Sizmek Inc.	'
Entity Central Index Key	'0001591877	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Non-accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	30,398,505
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q3	'

CONSOLIDATED_AND_COMBINED_BALA

CONSOLIDATED AND COMBINED BALANCE SHEETS (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
CURRENT ASSETS:	'	'
Cash and cash equivalents	$91,229	$22,648
Accounts receivable (less allowances of $210 in 2014 and $776 in 2013)	42,387	47,362
Deferred income taxes	263	472
Restricted cash	1,627	1,725
Other current assets	5,322	6,817
Current assets of TV business	4,710	'
Total current assets	145,538	79,024
Property and equipment, net	31,916	26,002
Goodwill	40,154	134,086
Intangible assets, net	75,096	84,319
Deferred income taxes	964	329
Restricted cash	4,027	3,497
Other non-current assets	3,714	2,766
Total assets	301,409	330,023
CURRENT LIABILITIES:	'	'
Accounts payable	2,871	3,625
Accrued liabilities	16,380	17,959
Deferred income taxes	94	94
Current liabilities of TV business	1,332	'
Total current liabilities	20,677	21,678
Deferred income taxes	7,751	8,324
Other non-current liabilities	6,526	6,885
Non-current liabilities of TV business	260	'
Total liabilities	35,214	36,887
STOCKHOLDERS' EQUITY or BUSINESS CAPITAL:	'	'
Preferred stock, $0.001 par value-Authorized 15,000 shares; issued and outstanding-none	'	'
Common stock, $0.001 par value-Authorized 200,000 shares; 30,399 issued and outstanding at September 30, 2014	30	'
Additional capital	370,686	'
Accumulated deficit	-104,449	'
Parent company investment	'	292,454
Accumulated other comprehensive income (loss)	-72	682
Total stockholders' equity or business capital	266,195	293,136
Total liabilities and stockholders' equity or business capital	$301,409	$330,023

CONSOLIDATED_AND_COMBINED_BALA1

CONSOLIDATED AND COMBINED BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, except Per Share data, unless otherwise specified
CONSOLIDATED AND COMBINED BALANCE SHEETS	'	'
Accounts receivable, allowances (in dollars)	$210	$776
Preferred stock, par value (in dollars per share)	$0.00	'
Preferred stock, Authorized shares	15,000	'
Preferred stock, issued shares	0	'
Preferred stock, outstanding shares	0	'
Common stock, par value (in dollars per share)	$0.00	'
Common stock, Authorized shares	200,000	'
Common stock, issued shares	30,399	'
Common stock, outstanding shares	30,399	'

CONSOLIDATED_AND_COMBINED_STAT

CONSOLIDATED AND COMBINED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
CONSOLIDATED AND COMBINED STATEMENTS OF OPERATIONS	'	'	'	'
Revenues	$39,513	$38,228	$121,893	$113,564
Cost of revenues (excluding depreciation and amortization)	14,274	13,262	44,028	39,370
Sales and marketing	14,082	12,721	44,184	41,688
Research and development	3,300	2,181	10,041	7,501
General and administrative	4,276	4,230	17,464	13,432
Merger, integration and other	221	1,286	6,510	3,394
Depreciation and amortization	6,280	5,927	19,257	17,642
Goodwill impairment	-98,196	'	-98,196	'
Loss from operations	-101,116	-1,379	-117,787	-9,463
Interest expense	'	29	'	39
Other (income) and expense, net	479	129	687	-65
Loss before income taxes	-101,595	-1,537	-118,474	-9,437
Provision (benefit) for income taxes	-213	251	-1,032	1,542
Net loss	($101,382)	($1,788)	($117,442)	($10,979)
Basic and diluted loss per common share (in dollars per share)	($3.34)	($0.06)	($3.86)	($0.36)
Weighted average common shares outstanding:	'	'	'	'
Basic and diluted (in shares)	30,399	30,399	30,399	30,399

CONSOLIDATED_AND_COMBINED_STAT1

CONSOLIDATED AND COMBINED STATEMENTS OF COMPREHENSIVE LOSS (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
CONSOLIDATED AND COMBINED STATEMENTS OF COMPREHENSIVE LOSS	'	'	'	'
Net loss	($101,382)	($1,788)	($117,442)	($10,979)
Other comprehensive income (loss):	'	'	'	'
Unrealized gain (loss) on derivatives, net of tax	-24	88	-116	205
Unrealized gain (loss) on available for sale securities, net of tax	-157	763	-121	723
Foreign currency translation adjustment	-989	338	-517	-769
Total other comprehensive income (loss)	-1,170	1,189	-754	159
Total comprehensive loss	($102,552)	($599)	($118,196)	($10,820)

CONSOLIDATED_STATEMENT_OF_STOC

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (USD $)	Common Stock	Parent Company Investment	Additional Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)	Total
In Thousands, unless otherwise specified
Balance at Dec. 31, 2013	'	$292,454	'	'	$682	$293,136
Increase (Decrease) in Stockholders' Equity	'	'	'	'	'	'
Net loss	'	-12,993	'	-104,449	'	-117,442
Net contributions from Parent	'	89,292	'	'	'	89,292
Share-based compensation	'	'	1,963	'	'	1,963
Other comprehensive loss	'	'	'	'	-754	-754
Conversion of Parent company investment to capital	30	-368,753	368,723	'	'	'
Conversion of Parent company investment to capital (in shares)	30,399	'	'	'	'	'
Balance at Sep. 30, 2014	$30	'	$370,686	($104,449)	($72)	$266,195
Balance (in shares) at Sep. 30, 2014	30,399	'	'	'	'	30,399

CONSOLIDATED_AND_COMBINED_STAT2

CONSOLIDATED AND COMBINED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Cash flows from operating activities:	'	'
Net loss	($117,442)	($10,979)
Adjustments to reconcile net loss to net cash provided by operating activities:	'	'
Goodwill impairment	98,196	'
Depreciation of property and equipment	7,484	5,884
Amortization of intangibles	11,773	11,758
Deferred income taxes	-1,040	-500
(Benefit) provision for accounts receivable (recoveries) losses	-134	678
Share-based compensation	8,430	4,923
Other	-2,203	-723
Changes in operating assets and liabilities:	'	'
Accounts receivable	4,333	3,529
Other assets	1,092	602
Accounts payable and other liabilities	-1,370	-4,493
Deferred revenue	'	-14
Net cash provided by operating activities	9,119	10,665
Cash flows from investing activities:	'	'
Purchases of property and equipment	-3,840	-3,819
Capitalized costs of developing software	-9,643	-7,068
Purchase of long-term investment	-975	-175
Proceeds from maturity of short-term investments	'	314
Acquisitions, net of cash acquired	-6,079	'
Other	-842	1,359
Net cash used in investing activities	-21,379	-9,389
Cash flows from financing activities:	'	'
Payments on seller financing and earnout	'	-2,531
Payments of TV business liabilities	-9,431	'
Proceeds from TV business assets	45,408	'
Net contributions from Parent	44,833	5,506
Net cash provided by (used in) financing activities	80,810	2,975
Effect of exchange rate changes on cash and cash equivalents	31	-209
Net increase in cash and cash equivalents	68,581	4,042
Cash and cash equivalents at beginning of year	22,648	13,692
Cash and cash equivalents at end of period	91,229	17,734
Supplemental disclosures of cash flow information:	'	'
Cash paid (received) for income taxes	-1,272	-1,659
Cash paid (received) for interest	-340	-120
Promissory notes issued to acquire businesses	$675	'

Basis_of_Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2014
Basis of Presentation	'
Basis of Presentation	'
	1.  Basis of Presentation
	The Company
	Sizmek Inc. (“Sizmek” the “Company,” “we,” “us,” and “our”), a Delaware corporation formed in 2013, operates a leading independent global online ad campaign management and distribution platform as measured by the number of advertising impressions served and the number of countries in which we serve customers.  Our revenues are principally derived from services related to online advertising. We help advertisers, agencies and publishers engage with consumers across multiple online media channels (mobile, display, rich media, video and social) while delivering efficient, impactful and measurable ad campaigns.  We connect nearly 14,000 advertisers and over 5,000 agencies to audiences in about 65 countries, serving more than 1.5 trillion impressions a year.
	Separation from Digital Generation, Inc.
	Prior to February 7, 2014, we operated as the online segment of Digital Generation, Inc. (“DG”), a leading global television and online advertising management and distribution business. On February 7, 2014, pursuant to the terms of the Agreement and Plan of Merger, dated as of August 12, 2013 (the “Merger Agreement”), by and among Extreme Reach Inc. (“Extreme Reach”), Dawn Blackhawk Acquisition Corp., a wholly-owned subsidiary of Extreme Reach (“Acquisition Sub”), and DG, all of our issued and outstanding shares of common stock, par value $0.001 per share (“Sizmek Common Stock”) were distributed by DG pro rata to its stockholders (the “Spin-Off”) with the DG stockholders receiving one share of Sizmek Common Stock for each share of the common stock of DG (“DG Common Stock”).  Immediately after the distribution of the Sizmek Common Stock, pursuant to the Merger Agreement, Acquisition Sub merged with and into DG with DG as the surviving corporation (the “Merger”) and all of the outstanding shares of DG Common Stock were converted into the right to receive $3.00 per share, and DG became a wholly-owned subsidiary of Extreme Reach.  Prior to the Spin-Off, DG contributed to us all of the business and operations of its online advertising segment, all of DG’s cash, most of the working capital from its television segment, and certain other corporate assets pursuant to the separation and redemption agreement and related documents, and we agreed to indemnify DG and affiliates of DG (including Extreme Reach) for all pre-closing liabilities of DG, including stockholder litigation, tax obligations, and employee liabilities. Sizmek now operates as a separate, stand-alone publicly-traded company in the online advertising services business segment.
	Carve-out Financial Statements Prior to Spin-Off
	Prior to our Spin-Off from DG on February 7, 2014, our combined financial statements were derived from the consolidated financial statements and accounting records of DG.  These statements reflected the combined historical results of operations, financial position and cash flows of DG’s online business primarily conducted through MediaMind Technologies Inc., EyeWonder, LLC, Peer39, Inc., and Unicast, and an allocable portion of DG’s corporate costs.  Prior to the Spin-Off, our financial statements are presented as if such businesses had been combined for all periods presented.
	All intercompany transactions have been eliminated. All intercompany transactions between us and DG have been included in these combined financial statements and are considered to be effectively settled for cash in the combined financial statements at the time the transaction is recorded. The total net effect of the settlement of these intercompany transactions is reflected in the combined statements of cash flows as a financing activity and in the combined balance sheet as “Parent company investment.”
	For periods prior to our Spin-Off on February 7, 2014, the combined financial statements include expense allocations for (1) certain corporate functions historically provided by DG, including, but not limited to, finance, audit, legal, information technology, human resources, communications, compliance, and shared services; (2) employee benefits and incentives; and (3) share-based compensation. These expenses have been allocated to us on the basis of direct usage when identifiable, with the remainder allocated on a pro-rata basis of combined revenues, headcount or other measures of the Company and DG. We consider the basis on which the expenses have been allocated to be a reasonable reflection of the utilization of services provided to or the benefit received by us during the periods presented. The allocations may not, however, reflect the expense we would have incurred as an independent, publicly-traded company for the periods presented. We benefited from sharing the corporate cost structure of DG rather than incurring such costs ourselves on a stand-alone basis. For the nine months ended September 30, 2013, DG reported corporate overhead (excluding share-based compensation) of $18.7 million. The amount of such corporate overhead that was allocated to us in these carve-out financial statements was $7.2 million, in accordance with the allocation principles for preparing carve-out financial statements.  As a result, these carve-out financial statements include corporate overhead expenses which represent approximately 39% of DG’s total corporate overhead for the first nine months of 2013.  The majority of the pre Spin-Off expense allocations were charged to general and administrative expense.  For the two quarters subsequent to the Spin-Off, general and administrative expense as a percentage of revenues has been comparable to the corresponding periods of the prior year.  Accordingly, while we benefited from sharing DG’s cost structure prior to the Spin-Off, since the Spin-Off we have been able to control our corporate overhead expenses to a level reasonably consistent with the pre Spin-Off periods.
	DG used a centralized approach to cash management and the financing of its operations.  Prior to the Spin-Off, the majority of our cash was transferred to DG on a daily basis, and DG funded our operating and investing activities as needed. Cash transfers to and from DG’s cash management accounts are reflected in “Parent company investment.”
	Prior to the Spin-Off, the combined financial statements included certain assets and liabilities that were held at the DG corporate level but were specifically identifiable or otherwise allocable to us. The cash and cash equivalents held by DG at the corporate level were not specifically identifiable to us and therefore were not allocated to us for any of the periods presented prior to the Spin-Off; however, at the Spin-Off date, cash and working capital associated with DG’s TV business were contributed to us.  Cash and cash equivalents in our combined balance sheet prior to the Spin-Off primarily represents cash held locally by entities included in our combined financial statements. DG’s third-party debt and the related interest expense have not been allocated to us for any period as we were not the legal obligor and those amounts were paid off on or about February 7, 2014 as part of DG’s Merger with Extreme Reach.

General

General	9 Months Ended
	Sep. 30, 2014
General	'
General	'
	2. General
	Principles of Consolidation and Combination
	The consolidated and combined financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and include the accounts of our subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation or combination.  For the period prior to the Spin-Off, the carve-out financial statements have been prepared on a basis that management believes to be reasonable to reflect the financial position, results of operations and cash flows of the Company’s operations, including portions of DG’s corporate costs and administrative shared services. These unaudited financial statements should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.
	These financial statements have been prepared by us without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”).  Certain information and disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations.  However, we believe the disclosures are adequate to make the information presented not misleading.  The unaudited consolidated and combined financial statements reflect all adjustments, which are, in the opinion of management, of a normal and recurring nature and necessary for a fair presentation of our financial position as of the balance sheet dates, and the results of operations and cash flows for the periods presented.
	Seasonality
	Our business is seasonal. Revenues tend to be the highest in the fourth quarter as a large portion of our revenues follow the advertising patterns of our customers.
	Use of Estimates
	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate our estimates, including those related to the recoverability and useful lives of our long-lived assets, the adequacy of our allowance for doubtful accounts and credit memo reserves, contingent consideration and income taxes. We base our estimates on historical experience, future expectations and on other relevant assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from those estimates.
	Risk of Goodwill Impairment
	See Note 5 for a discussion of the risk of a future impairment of our goodwill.
	Assets and Liabilities of DG’s TV Business
	Pursuant to the Separation and Redemption Agreement, DG contributed to us substantially all of its television business current assets and certain other assets existing on February 7, 2014, and we agreed to assume substantially all of DG’s television business liabilities that existed on February 7, 2014 or were attributable to periods up to and including February 7, 2014.  These net assets contributed were recorded at $77.5 million.  The details of these assets and liabilities outstanding as of September 30, 2014 were as follows (in thousands):
	Description		September 30, 2014
			(in thousands)
	Current assets of television business:
	Income tax receivables		$	3,358
	Trade accounts receivable		1,198
	Springbox revenue sharing		154
	Total		$	4,710
	Current liabilities of television business:
	Trade accounts payable		$	732
	Accrued liabilities		600
	Total		$	1,332
	Non-current liabilities of television business:
	Uncertain tax positions		$	260
	Derivative Instruments
	During 2014, we entered into foreign currency forward contracts and options to hedge a portion of the exposure to the variability in expected future cash flows resulting from changes in related foreign currency exchange rates between the New Israeli Shekel (“NIS”) and the U.S. Dollar. These transactions were designated as cash flow hedges, as defined by Accounting Standards Codification (“ASC”) Topic 815, “Derivatives and Hedging.”
	ASC Topic 815 requires that we recognize derivative instruments as either assets or liabilities in our balance sheet at fair value. These contracts are Level 2 fair value measurements in accordance with ASC Topic 820, “Fair Value Measurements and Disclosures.” For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income (loss), net of taxes, and reclassified into earnings (various operating expenses) in the same period or periods during which the hedged transaction affects earnings.
	Our cash flow hedging strategy has been to hedge against the risk of overall changes in cash flows resulting from certain forecasted foreign currency rent and salary payments during the next twelve months. We hedged portions of our forecasted expenses denominated in the NIS with foreign currency forward contracts and options.  At September 30, 2014, all of our foreign currency forward contracts and options had either expired or were settled.  As a result of our previous hedging activities, we incurred the following gains in our results of operations (in thousands):
			Three Months Ended						Nine Months Ended
			September 30,						September 30,
			2014			2013			2014			2013
	Hedging gain recognized in operations		$	6		$	214		$	121		$	695
	At December 31, 2013, we had $5.2 million notional amount of foreign currency forward contracts and options outstanding that had a net fair value asset balance of $0.1 million ($0.1 million asset, net of a $0.0 million liability) which is included in other current assets. The vast majority of any gain or loss from hedging activities is included in our various operating expenses.  It is our policy to offset fair value amounts recognized for derivative instruments executed with the same counterparty. In connection with our foreign currency forward contracts and options and other banking arrangements, we have agreed to maintain $1.6 million of cash in bank accounts with our counterparty, which we classify as restricted cash on our balance sheet.
	Accumulated Other Comprehensive Income (Loss)
	Components of accumulated other comprehensive income (loss) (“AOCI” or “AOCL”), net of tax, for the three and nine months ended September 30, 2014 and 2013 were as follows (in thousands):
			Three Months Ended September 30, 2014
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at June 30, 2014		$	(726	)	$	24		$	1,800		$	1,098
	Other comprehensive income (loss) before reclassifications		(989		)	(18		)	(157		)	(1,164		)
	Amounts reclassified out of AOCI		—			(6		)	—			(6		)
	Net current period activity		(989		)	(24		)	(157		)	(1,170		)
	Balance at September 30, 2014		$	(1,715	)	$	—		$	1,643		$	(72	)
			Nine Months Ended September 30, 2014
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at December 31, 2013		$	(1,198	)	$	116		$	1,764		$	682
	Other comprehensive income (loss) before reclassifications		(517		)	(10		)	(121		)	(648		)
	Amounts reclassified out of AOCI		—			(106		)	—			(106		)
	Net current period activity		(517		)	(116		)	(121		)	(754		)
	Balance at September 30, 2014		$	(1,715	)	$	—		$	1,643		$	(72	)
			Three Months Ended September 30, 2013
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
			Derivatives			Securities
Balance at June 30, 2013		$	(1,994	)	$	490		$	(44	)	$	(1,548	)
Other comprehensive income (loss) before reclassifications		338			319			763			1,420
Amounts reclassified out of AOCL		—			(231		)	—			(231		)
Net current period activity		338			88			763			1,189
Balance at September 30, 2013		$	(1,656	)	$	578		$	719		$	(359	)
		Nine Months Ended September 30, 2013
		Foreign			Unrealized			Unrealized			Accumulated
		Currency			Gain on			Gain (Loss)			Other
		Translation			Foreign			on Available			Comprehensive
					Currency			for Sale			Income (Loss)
					Derivatives			Securities
Balance at December 31, 2012		$	(887	)	$	373		$	(4	)	$	(518	)
Other comprehensive income (loss) before reclassifications		(769		)	831			723			785
Amounts reclassified out of AOCL		—			(626		)	—			(626		)
Net current period activity		(769		)	205			723			159
Balance at September 30, 2013		$	(1,656	)	$	578		$	719		$	(359	)
The following tables summarize the reclassifications from AOCL to the consolidated and combined statements of operations for the three and nine months ended September 30, 2014 and 2013 (in thousands):
		Amounts Reclassified out of AOCL
		Three Months			Three Months			Affected Line Items in the Consolidated and Combined
		Ended September 30,			Ended September 30,			Statements of Operations
		2014			2013
Gains (losses) on cash flow hedges:
Foreign currency derivatives		$	1		$	28		Cost of revenues
Foreign currency derivatives		—			15			Sales and marketing
Foreign currency derivatives		4			161			Research and development
Foreign currency derivatives		1			40			General and administrative
Foreign currency derivatives		—			(30		)	Other (income) and expense, net
Total before taxes		6			214
Tax amounts		—			17
Income after tax		$	6		$	231
		Amounts Reclassified out of AOCL
		Nine Months			Nine Months			Affected Line Items in the Consolidated and Combined
		Ended September 30,			Ended September 30,			Statements of Operations
		2014			2013
Gains (losses) on cash flow hedges:
Foreign currency derivatives		$	12		$	83		Cost of revenues
Foreign currency derivatives		5			47			Sales and marketing
Foreign currency derivatives		58			476			Research and development
Foreign currency derivatives		16			129			General and administrative
Foreign currency derivatives		30			(40		)	Other (income) and expense, net
Total before taxes		121			695
Tax amounts		(15		)	(69		)
Income after tax		$	106		$	626
Merger, Integration and Other Expenses
Merger, integration and other expenses reflect the expenses incurred in (i) DG’s Merger with Extreme Reach and our Spin-Off from DG, (ii) acquiring or disposing of a business, (iii) integrating an acquired operation (e.g., severance pay, office closure costs) into the Company and certain other expenses.  A summary of our merger, integration and other expenses are as follows (in thousands):
		Three Months Ended September 30,						Nine Months Ended September 30,
Description		2014			2013			2014			2013
Severance		$	803		$	59		$	1,694		$	249
Merger and Spin-Off (1)		5			—			4,865			—
Strategic alternatives		—			1,355			—			1,969
MediaMind preacquisition liability		—			—			—			720
Proxy contest		—			6			—			171
TV receivables collected in excess of reserve		(1,725		)	—			(1,725		)	—
Integration costs		1,138			(134		)	1,676			285
Total		$	221		$	1,286		$	6,510		$	3,394
	-1		See discussion of Merger and Spin-Off under “Separation from Digital Generation, Inc.” in Note 1.
Recently Issued Accounting Guidance
In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).”  ASU 2014-09 modifies revenue recognition guidance for U.S. GAAP.  Previous revenue recognition guidance in U.S. GAAP comprised broad revenue recognition concepts together with numerous revenue requirements for particular industries or transactions, which sometimes resulted in different accounting for economically similar transactions.  In contrast, International Accounting Standards Board (“IASB”) provided limited guidance on revenue recognition.  Accordingly, the FASB and IASB initiated a joint project to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards (“IFRS”).  The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.  To achieve that core principle, an entity should apply the following steps:
Step 1: Identify the contract(s) with a customer.
Step 2: Identify the performance obligations in the contract.
Step 3: Determine the transaction price.
Step 4: Allocate the transaction price to the performance obligations in the contract.
Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation.
For Sizmek, the amendments in ASU 2014-09 are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early adoption is not permitted.  An entity shall adopt the amendments in ASU 2014-09 by either (i) retrospectively adjusting each prior reporting period presented or (ii) retrospectively adjusting for the cumulative effect of initially applying ASU 2014-09 at the date of initial adoption.  We have not as yet determined (i) the extent to which we expect ASU 2014-09 will impact our reported revenues or (ii) the manner in which it will be adopted.
Recently Adopted Accounting Guidance
Effective January 1, 2014, we adopted ASU 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” on a prospective basis.  ASU 2013-11 amends the accounting guidance related to the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss or a tax credit carryforward exists. The guidance requires an unrecognized tax benefit to be presented as a decrease in a deferred tax asset where a net operating loss, a similar tax loss, or a tax credit carryforward exists and certain criteria are met.  The adoption of ASU 2013-11 did not have a material impact on our financial statements.

Fair_Value_Measurements

Fair Value Measurements

9 Months Ended

Sep. 30, 2014

Fair Value Measurements

'

Fair Value Measurements

'

3. Fair Value Measurements

ASC 820, Fair Value Measurements and Disclosures, defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date.

ASC 820 establishes a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows:

·

Level 1—Quoted prices in active markets for identical assets or liabilities.

·

Level 2—Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

·

Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

We have classified our assets and liabilities that are measured at fair value on a recurring basis (at least annually) into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date.

The tables below set forth by level assets and liabilities that were accounted for at fair value as of September 30, 2014 and December 31, 2013. The carrying values of our accounts receivable and accounts payable approximate their respective fair values due to the short-term nature of these financial instruments. The tables do not include cash on hand or assets and liabilities that are measured at historical cost or any basis other than fair value (in thousands).

Fair Value Measurements at September 30, 2014

Balance

Quoted Prices

Significant

Significant

Total

Sheet

in Active

Other

Unobservable

Fair Value

Location

Markets

Observable

Inputs

Measurements

(Level 1)

Inputs

(Level 3)

(Level 2)

Assets:

Money market funds

(a)

$

949

$

—

$

—

$

949

Marketable equity securities

(c)

1,984

—

—

1,984

Revenue sharing arrangement

(d)

—

—

154

154

Total

$

2,933

$

—

$

154

$

3,087

Liabilities:

Revenue earnout payable

(e)

$

—

$

—

$

225

$

225

Fair Value Measurements at December 31, 2013

Balance

Quoted Prices

Significant

Significant

Total

Sheet

in Active

Other

Unobservable

Fair Value

Location

Markets

Observable

Inputs

Measurements

(Level 1)

Inputs

(Level 3)

(Level 2)

Assets:

Currency forward derivatives/options

(b)

$

—

$

137

$

—

$

137

Marketable equity securities

(c)

2,105

—

—

2,105

Total

$

2,105

$

137

$

—

$

2,242

Liabilities:

Revenue earnout payable

$

—

$

—

$

—

$

—

(a)

Included in cash and cash equivalents.

(b)

Included in other current assets.

(c)

Included in other non-current assets.

(d)

Included in current assets of TV business.

(e)

Included in current liabilities of TV business.

The fair value of our money market funds was determined based upon quoted market prices.  The currency forward derivatives/options are derivative instruments whose value is based upon quoted market prices from various market participants. We have a zero cost basis in these derivative instruments. Our marketable equity securities relate to a single issuer that has an adjusted cost basis of $0.3 million.

In connection with our Spin-Off from DG, DG contributed a revenue sharing asset to us that resulted from DG’s sale of its Springbox unit.  We are entitled to a percentage of the revenues collected by the business for three years after the closing date (June 1, 2012).  Revenue sharing payments are generally made once a year.  We have estimated the future revenues of Springbox based on the historical revenues and certain other factors, discounted to their present value.  The following table provides a reconciliation of changes in the fair values of our Level 3 assets (in thousands):

Revenue Sharing

Arrangement

Nine Months

Ended September 30,

2014

Balance at beginning of year

$

—

Additions

340

Less cash receipts

(186

)

Balance at end of period

$

154

Also in connection with our Spin-Off from DG, we assumed a portion of a revenue earnout arrangement that DG had agreed to in its purchase of North Country.  Under the arrangement, to the extent North Country’s revenues exceed a specified amount for the twelve months ended July 31, 2014; we are obligated to pay the North Country sellers a fee equal to a percentage of those revenues up to a maximum of $225,000. We have estimated North Country’s future revenues based on the historical revenues and certain other factors.  The following table provides a reconciliation of changes in the fair values of our Level 3 liabilities (in thousands):

Revenue Earnout

Payable

Nine Months

Ended September 30,

2014

Balance at beginning of year

$

—

Additions

225

Less cash payments

—

Balance at end of period

$

225

Revenue and other earnout arrangements sometimes require a minimum level of performance (e.g., revenues, adjusted EBITDA) before any earnout payment becomes due.  Accordingly, there can be significant volatility in the earnout liability. Each reporting period, we update our estimates of the performance indicators (e.g., revenue, adjusted EBITDA) and the corresponding earnout levels achieved, discounted to their present values.  Changes in fair value are recorded in cost of revenues in the accompanying statements of operations.

In connection with our acquisition of Republic Project, we agreed to a contingent consideration component of the purchase price based on 2014 and 2015 revenues and adjusted EBITDA.  The earnouts have minimum levels for revenue and adjusted EBITDA before any earnout payment becomes due.  As of September 30, 2014, we do not expect to make any payments with respect to the Republic Project contingent consideration arrangement.  See Note 4—Acquisition of Republic Project.

In May 2014, we purchased $1.0 million of Abakus convertible promissory notes (“Convertible Notes”) for $1.0 million.  The Convertible Notes are due 90 days after written notice after the earlier of (i) May 30, 2016 and (ii) an occurrence of an Event of Default (as defined).  Abakus is a small private company that has developed a digital attribution software solution.  The Convertible Notes bear interest at 5% per annum payable at maturity.  The Convertible Notes are convertible into Abakus Series A Preferred Stock (“Series A Preferred”) as follows:

a)

Automatic conversion if Abakus sells $2.0 million of Series A Preferred (“Qualified Financing”), whereupon the Convertible Notes shall be converted, at Sizmek’s option, at either (i) 75% of the share price in the Qualified Financing, or (ii) the quotient of $7.0 million divided by the number of shares outstanding upon exercise of all dilutive securities, and

b)

Optional conversion at Sizmek’s election if Abakus completes an Equity Financing (as defined) that is not a Qualified Financing, whereupon the Convertible Notes shall be converted at 75% of the share price in the Equity Financing.

In addition, upon a Change in Control, as defined, the Convertible Notes shall be paid off at the greater of (i) the outstanding balance, or (ii) the amount the holder would have received upon conversion of the Convertible Notes.  The Convertible Notes are considered held-to-maturity securities and are carried at amortized cost.  The fair value of the Convertible Notes is not readily determinable.  We are not aware of a market for the Convertible Notes.  The Convertible Notes are included in other non-current assets.

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2014
Acquisitions	'
Acquisitions	'
	4. Acquisitions
	Pixel
	On September 4, 2014, we acquired all of the outstanding shares of Zestraco Investments Limited including its wholly-owned subsidiary PixelCo. D.O.O. (“Pixel”) for $0.45 million in cash and a deferred payment obligation of $0.05 million which is due by December 31, 2014.  Pixel performed advertising service operations principally for us prior to our purchase and had no appreciable assets.
	The objective of the transaction was to bring in-house the group of technology service personnel that had been providing advertising operations service to us through a contract.  We expect to realize operating synergies from this transaction.  Pixel has been included in our results of operations since the date of closing. The $0.5 million purchase price was allocated to goodwill and is not deductible for income tax purposes.  The purchase price allocation is final.
	Aerify Media
	On August 11, 2014, we acquired substantially all the assets and operations of privately-held Aerify Media LLC (“Aerify”), a firm specializing in mobile tracking and retargeting, for $5.625 million in cash and a $0.625 million deferred payment obligation due in one-year.  Aerify’s mobile in-app and web tracking technology expands our capabilities in the fast-growing mobile segment, adding both talent and technology to the platform.  The transaction is not expected to have a material impact on our full year revenues or EBITDA.
	The objective of the transaction was to accelerate the development of our mobile technology in order to better serve the advertising community. We expect to realize operating synergies from this transaction.  Aerify has been included in our results of operations since the date of closing.
	The $6.25 million purchase price was allocated to the assets acquired and liabilities assumed based upon their estimated fair values. We allocated $2.05 million to developed technology, $0.4 million to customer relationships and $3.8 million to goodwill.  The developed technology and customer relationships acquired in the transaction are being amortized on a straight-line basis over 4 years and 5 years, respectively. The weighted average amortization period is 4.2 years. The goodwill and other intangible assets created in the acquisition are deductible for tax purposes.  For 2013, Aerify reported revenues of $3.1 million and a loss before income taxes of $0.6 million.  For the period from the acquisition date through September 30, 2014, Aerify reported $0.4 million of revenue.  The purchase price allocation is final.
	Republic Project
	On October 4, 2013, we acquired the assets and operations of privately-held Republic Project, a cloud-based ad platform that enables agencies and brands to create, deliver and measure social and mobile rich media campaigns, for $1.1 million in cash, a $0.3 million deferred payment obligation due in April 2015 (except in certain circumstances) and contingent consideration we valued at zero. The contingent consideration payment ranges from zero to $13.1 million based on reaching revenue and adjusted EBITDA performance targets in 2014 and 2015.
	The objective was to expand our product offerings and to better serve the advertising community. We expect to realize operating synergies from this transaction, and we expect Republic Project to create opportunities to sell its services to our customers. Republic Project has been included in our results of operations since the date of closing.
	The purchase price was allocated to the assets acquired and liabilities assumed based upon their estimated fair values. We allocated $0.3 million to customer relationships, $0.6 million to developed technology and $0.4 million to noncompetition agreements. The customer relationships, developed technology and noncompetition agreements acquired in the transaction are being amortized on a straight-line basis over 5 years, 4 years and 4 years, respectively. The weighted average amortization period is 4.2 years. The intangible assets created in the acquisition are deductible for tax purposes.

Goodwill

Goodwill	9 Months Ended
	Sep. 30, 2014
Goodwill	'
Goodwill	'
	5. Goodwill
	We operate as a single reporting unit. Changes in the carrying value of our goodwill for the nine months ended September 30, 2014 are as follows (in thousands):
		Goodwill		Accumulated			Net Carrying
				Impairment			Value
				Losses
	Balance at December 31, 2013	$	376,417	$	(242,331	)	$	134,086
	Acquisition of Aerify Media	3,760		—			3,760
	Acquisition of Pixel	504		—			504
	Impairment loss	—		(98,196		)	(98,196		)
	Balance at September 30, 2014	$	380,681	$	(340,527	)	$	40,154
	We test goodwill for possible impairment each year on December 31st and whenever events or changes in circumstances indicate the carrying value of our goodwill may not be recoverable. The goodwill impairment test involves a two-step process. In the first step, we compare the fair value of the Company to its carrying value. If the fair value of the Company exceeds its carrying value, goodwill is not impaired and no further testing is required. If the fair value of the Company is less than its carrying value, we must perform the second step of the impairment test to measure the amount of the impairment loss. In the second step, the Company’s fair value is allocated to its assets and liabilities, including any unrecognized intangible assets, in a hypothetical analysis that calculates the implied fair value of goodwill in the same manner as if the Company was being acquired in a business combination. If the implied fair value of the Company’s goodwill is less than the carrying value, the difference is recorded as an impairment loss.
	2014 Goodwill Impairment Loss
	At December 31, 2013, based on a variety of methods including a discounted cash flow model (a Level 3 fair value measurement) that used our internal forecast, we determined the fair value of the Company was only 5% in excess of its carrying value. In preparing our discounted cash flow model, we made assumptions about future revenues and expenses to determine the cash flows that would result from our operations.
	We noted at the time, and at each of the next two quarters, there was substantial risk the forecasted cash flows of the Company may fall short of our expectations. We noted that if actual or expected future cash flows should fall sufficiently below our forecast, it would likely require us to record another goodwill impairment charge (in addition to the impairment charge taken in 2012).  We noted future net cash flows are impacted by a variety of factors including revenues, operating margins, capital expenditures, income tax rates, and a discount rate.
	We also noted the market value of our common stock plus a reasonable control premium is an indicator of the fair value of our Company. We noted that if the market value of our common stock should decline sufficiently from its initial trading value (initial trading began in February 2014) for an extended period of time, it would likely cause us to conclude that our goodwill was impaired and we would be required to record another goodwill impairment charge.  At each of March 31, 2014 and June 30, 2014, we continued to monitor our goodwill and determined an interim goodwill impairment test was not required.
	During the third quarter of 2014, we determined that indicators of potential impairment existed requiring us to perform an interim goodwill impairment test. These indicators included (i) revenues and operating results sufficiently below our earlier forecast which prompted us to revise our future forecast, (ii) our market capitalization continuing to decline throughout 2014 such that our market capitalization plus a reasonable control premium was well below the book value of our total stockholders’ equity, (iii) a decreasing trend in our revenue growth, and (iv) turnover within the sales executive team.
	In performing our interim goodwill impairment test, we estimated the fair value of the Company using an income approach, specifically a discounted cash flow model (a Level 3 fair value measurement).  Under the income approach, we calculated the fair value of the Company based on the present value of its estimated future cash flows. Cash flow projections are based on a variety of estimates including revenue growth rates, operating margins, tax rates, capital expenditures and a discount rate.  The discount rate used was based on our weighted average cost of capital adjusted for the risks associated with the Company’s projected cash flows.
	Upon estimating the fair value of our goodwill, we determined it was less than its carrying value. As a result, we performed the second step of the impairment analysis and allocated the fair value of the Company to the estimated fair values of each of its assets and liabilities (including identifiable intangible assets) with the excess fair value being the implied goodwill. Estimating the fair value of certain assets and liabilities requires significant judgment about future cash flows. The implied fair value of the Company’s goodwill was $98.2 million less than its carrying value, which we recorded as a goodwill impairment loss during the third quarter of 2014. To verify the reasonableness of the fair value of the Company, we compared the adjusted carrying value of the Company to its market capitalization plus a reasonable control premium. We determined the implied control premium of about 42% was reasonable based upon a review of the historical control premiums of comparable companies.  In accordance with our policy, we will test goodwill for impairment again at December 31, 2014.
	Risk of Future Impairment
	After recording the third quarter 2014 impairment charge, the fair value of the Company (as determined using a discounted cash flow model) approximated its carrying value.  In preparing our discounted cash flow model, we made assumptions about future revenues and expenses for several periods to determine the cash flows that will result.
	As with any forecast, there is substantial risk our forecasted cash flows may fall short of our current expectations.  If actual or expected future cash flows should fall sufficiently below our current forecast, it is likely we would be required to record another goodwill impairment charge.  Future net cash flows are impacted by a variety of factors including revenues, operating margins, capital expenditures, income tax rates, and a discount rate.
	Further, the market value of our common stock plus a reasonable control premium is an indicator of the fair value of our Company.  If the market value of our common stock should fall sufficiently below the current level for an extended period of time, it would likely cause us to conclude that our goodwill is impaired and we would be required to record another goodwill impairment charge.

Sharebased_Compensation

Share-based Compensation	9 Months Ended
	Sep. 30, 2014
Share-based Compensation	'
Share-based Compensation	'
	6.  Share-based Compensation
	Prior to our Spin-Off from DG on February 7, 2014, certain of our employees participated in DG’s equity based incentive programs.  Share-based compensation expense reflected in the accompanying financial statements up until February 7, 2014 relates to DG’s stock plan awards and not to our stock awards.  Immediately prior to completing the Spin-Off transaction, all outstanding equity awards became fully vested and were converted into shares of DG common stock, to the extent the award had an intrinsic value.  Equity awards with no intrinsic value were cancelled.  DG’s equity incentive plans were terminated in connection with the Merger Agreement (see Note 1).  Below is a summary of our share-based compensation expense related to stock awards (in thousands):
		Nine Months Ended September 30,
	Description	2014		2013
	DG stock options and RSUs awarded to our employees	$	2,650	$	2,811
	DG share-based awards allocated to us as part of corporate services	3,817		2,112
	Sizmek share-based awards granted	1,963		—
	Total	$	8,430	$	4,923
	During the first quarter of 2014, subsequent to the Spin-Off on February 7, 2014, Sizmek’s Compensation Committee granted (i) 134,760 performance-based Restricted Stock Units (“RSUs”), (ii) 89,839 time-based RSUs and (iii) 141,118 time-based stock options, to certain of our executive officers.  The RSUs and stock options expected to vest were valued at $2.2 million and $0.8 million, respectively.  The awards (i) vest over periods ranging from ten months to three years, (ii) are subject to the employees’ continued employment with us, and (iii) with respect to the performance-based RSUs, are subject to reaching certain (a) revenue, (b) adjusted EBITDA and (c) free cash flow growth targets (i.e., performance conditions).  In addition, during the first quarter, we granted 67,230 time-based RSUs to our outside directors with a value of $0.8 million. These awards vest over a one-year period and are subject to the directors providing continued services to us.
	During the second quarter of 2014, Sizmek’s Compensation Committee granted (i) 99,134 performance-based RSUs, (ii) 98,400 time-based RSUs and (iii) 464,880 time-based stock options, to certain of our employees.  The RSUs and stock options expected to vest were valued at $1.9 million and $2.5 million, respectively.  The awards (i) vest over periods ranging from 8 to 34 months, (ii) are subject to the employees’ continued employment with us, and (iii) with respect to the performance-based RSUs, are subject to reaching certain (a) revenue, (b) adjusted EBITDA and (c) free cash flow growth targets (i.e., performance conditions).
	During the third quarter of 2014, Sizmek’s Compensation Committee granted (i) 146,877 time-based RSUs and (ii) 8,641 time-based stock options, to certain of our employees.  The RSUs and stock options expected to vest were valued at $1.4 million and $0.1 million, respectively.  The RSU awards vest over two years and are subject to the employees’ continued employment with us.  The stock options vest over three years and are subject to the employees’ continued employment with us.
	For the nine months ended September 30, 2014, we recognized $2.0 million in share-based compensation expense related to the Sizmek equity awards.  Unrecognized compensation costs related to unvested RSUs and stock options were $6.9 million at September 30, 2014. These costs are expected to be recognized over the weighted average remaining vesting period of 2.3 years.

Income_Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2014
Income Taxes	'
Income Taxes	'
	7.  Income Taxes
	For the nine months ended September 30, 2014, our effective tax rate was 0.9% compared to (16.3%) for the nine months ended September 30, 2013. The effective tax rates for each period differ from the expected federal statutory rate of 35.0% as a result of state and foreign income taxes; the non-deductibility of our 2014 goodwill impairment charge; certain other non-deductible expenses; and valuation allowances in the U.S. and state jurisdictions within the U.S.  The valuation allowance creates an effective tax rate of zero for income or loss earned in the U.S., substantially reducing our effective tax rate.
	For the period from January 1, 2014 through the Spin-Off from DG on February 7, 2014, our operations were included in the consolidated income tax returns of DG.  However, income taxes were calculated and provided for Sizmek on a separate return basis for all periods presented.  The amount of assets and liabilities related to income taxes prior to the Spin-Off that were retained by Sizmek are reflected in our consolidated balance sheet.
	We recognize the financial statement benefit of a tax position only after determining that the relevant tax authority would more-likely-than not sustain the position following an audit.  For tax positions meeting the more-likely-than not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority.  During the nine months ended September 30, 2014, there were no additional uncertain tax positions. Interest and penalties related to uncertain tax positions are recognized in income tax expense.  For the nine months ended September 30, 2014, we recognized less than $0.1 million of interest or penalties related to uncertain tax positions in our financial statements compared to less than $0.1 million for the nine months ended September 30, 2013.
	The changes in uncertain tax positions for the nine months ended September 30, 2014 and 2013 were as follows (in thousands):
		Nine Months Ended September 30,
		2014		2013
	Balance at beginning of year	$	1,701	$	1,801
	Changes to tax positions related to current or prior periods	362		—
	Balance at end of period	$	2,063	$	1,801
	If we reduced our reserve for uncertain tax positions, it would result in us recognizing a tax benefit.  We are in the process of amending two years of tax returns to alleviate uncertain tax positions.  Upon the taxing authority accepting those tax returns, we expect approximately $362,000 of uncertain tax positions to be effectively settled within 12 months.
	As of September 30, 2014, we provided a valuation allowance against substantially all of our U.S. and state NOL carryforwards as ultimate realization of these NOLs was not determined to be more-likely-than not.  Accordingly, we have NOL carryforwards available to us (should we have sufficient future taxable income to utilize them) that are not reflected in our consolidated and combined balance sheets at September 30, 2014 and December 31, 2013, respectively.
	We are subject to U.S. federal income tax, income tax from multiple foreign jurisdictions including Israel and the United Kingdom, and income taxes of multiple state jurisdictions.  U.S. federal, state and local income tax returns for 2010 through 2013 remain open to examination.  Israeli and United Kingdom income tax returns remain open to examination for 2007 through 2013 and 2008 through 2013, respectively.  Historically, our operating results have been included DG’s U.S. federal and state tax returns or tax returns of non-U.S. jurisdictions.  Effective for the period beginning February 8, 2014, we will file stand-alone income tax returns in the U.S. federal jurisdiction, various U.S. state jurisdictions and various foreign jurisdictions.  Prior to the Spin-Off, we entered into a tax matters agreement with DG that governs the parties’ respective rights, responsibilities and obligations with respect to taxes.  The tax matters agreement generally provides that the filing of tax returns, the control of audit proceedings, and the payment of any additional tax liability relative to periods prior to February 8, 2014 is our responsibility.
	We do not provide deferred taxes on the undistributed earnings of our non-U.S. subsidiaries in situations where our intention is to reinvest such earnings indefinitely. Furthermore, we believe both our U.S. and non-U.S. subsidiaries have significant net assets, liquidity, and other financial resources available to meet their operational and capital investment requirements.

Earnings_Loss_per_Share

Earnings (Loss) per Share	9 Months Ended
	Sep. 30, 2014
Earnings (Loss) per Share	'
Earnings (Loss) per Share	'
	8.  Earnings (Loss) per Share
	Basic earnings (loss) per common share excludes dilution and is calculated by dividing net earnings (loss) by the weighted-average number of common shares outstanding during the period.  Diluted earnings (loss) per common share is calculated by dividing net earnings (loss) by the weighted-average number of common shares outstanding during the period, as adjusted for the potential dilutive effect of non-participating share-based awards such as stock options and RSUs.
	On February 7, 2014, 30.4 million shares of our common stock were distributed to DG stockholders in conjunction with the Spin-Off.  For comparative purposes, and to provide a more meaningful calculation of the weighted-average shares outstanding, we have assumed this amount to be outstanding as of the beginning of each period presented prior to the Spin-Off in the calculation of weighted-average shares outstanding.
	The following table presents earnings (loss) per common share for the three and nine months ended September 30, 2014 and 2013 (in thousands, except per share data):
		Three Months Ended						Nine Months Ended
		September 30,						September 30,
		2014			2013			2014			2013
	Net loss	$	(101,382	)	$	(1,788	)	$	(117,442	)	$	(10,979	)
	Weighted average common shares outstanding — basic	30,399			30,399			30,399			30,399
	Dilutive securities	—			—			—			—
	Weighted average common shares outstanding - diluted	30,399			30,399			30,399			30,399
	Basic loss per common share	$	(3.34	)	$	(0.06	)	$	(3.86	)	$	(0.36	)
	Diluted loss per common share	$	(3.34	)	$	(0.06	)	$	(3.86	)	$	(0.36	)
	Antidilutive securities not included:
	Stock options and RSUs	847			—			847			—

Geographical_Information

Geographical Information	9 Months Ended
	Sep. 30, 2014
Geographical Information.	'
Geographical Information	'
	9.  Geographical Information
	We operate in one business segment, online advertising services.  Our chief operating decision maker is considered to be our Chief Executive Officer.  The chief operating decision maker allocates resources and assesses performance of the business and other activities at the operating segment level.  The following table summarizes our revenues by geographic area (in thousands):
		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2014		2013		2014		2013
	Revenues:
	United States	$	19,594	$	18,569	$	58,135	$	52,911
	North America (excluding U.S.)	823		533		2,907		1,692
	Europe, Middle East and Africa	10,522		11,048		36,149		35,638
	Asia Pacific	6,506		6,201		18,918		18,906
	Latin America	2,068		1,877		5,784		4,417
	Total	$	39,513	$	38,228	$	121,893	$	113,564
	For the nine months ended September 30, 2014, about 52% of our revenues were attributable to foreign jurisdictions. However, no one country other than the United States and the United Kingdom represented more than 10% of our consolidated or combined revenues.

Related_Party_Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2014
Related Party Transactions	'
Related Party Transactions	'
	10.  Related Party Transactions
	Prior to the Spin-Off, DG provided certain management and administrative services to us.  These services included, among others, accounting, treasury, audit, tax, legal, executive oversight, human resources, real estate, information technology and risk management.  These expenses have been allocated to us on a basis of direct usage when identifiable, with the remainder allocated on the basis of revenue, headcount, or other measures.  Further, DG allocated merger, integration and other expenses to us largely based on revenues.  The allocations of such expenses to us were as follows (in thousands):
			Three Months Ended September 30,						Nine Months Ended September 30,
	DG’s Expense Allocation to Sizmek		2014			2013			2014		2013
	Management and administrative services		$	—		$	1,927		$	514	$	5,671
	Merger, integration and other		—			1,231			4,038		2,091
	Total		$	—		$	3,158		$	4,552	$	7,762
	The above expense allocations do not include share-based compensation which is discussed in Note 6.
	Included in the above are allocated costs of DG’s employee benefit plans and other employee incentives.  Employee benefits and incentives include 401(k) matching contributions, participation in DG’s long-term incentive compensation award plans and healthcare plans.  The employee benefit and incentive costs are reflected in the statements of operations and are classified consistent with how the underlying employee’s salary and other compensation costs have been recorded.
	DG and the Company consider the allocated cost for corporate services, employee benefits and incentives to be reasonable based on the utilization of the services. However, we believe the allocated cost for these services differs from what would have resulted from transactions among third parties if we were a stand-alone entity.
	In addition, DG primarily used a centralized approach to cash management and financing of its operations with all related activity between DG and us reflected in business capital in our December 31, 2013 balance sheet.  The transactions included:
		·		cash deposits from our customers to us that were transferred to DG’s bank accounts on a regular basis;
		·		cash infusions from DG to fund our operations, capital expenditures and acquisitions;
		·		allocations of DG’s corporate services, employee benefits and other incentives; and
		·		intercompany charges for expenses related to facilities we shared with DG’s other business segment.
	The following is a reconciliation of the amounts presented as “Net contributions from Parent” on the consolidated statement of stockholders’ equity and the amounts presented as “Net contributions from Parent” and monetization of other Parent contributions on the consolidated and combined statements of cash flows (in thousands):
			Nine Months Ended
			September 30,
			2014			2013
	Net contributions from Parent per the statements of stockholders’ equity		$	89,292		$	10,268
	Non-cash changes to business capital:
	Share-based compensation prior to Spin-Off		(6,467		)	(4,923		)
	TV business net assets remaining on balance sheet		(3,118		)	—
	Amortization of TV business assets		(726		)	—
	Recovery of TV business assets		1,854
	Other		(25		)	161
	Net contributions from Parent and monetization of other Parent contributions per the statements of cash flows		$	80,810		$	5,506
	Pursuant to the Merger Agreement, shortly prior to the Spin-Off, DG contributed to us all of its cash, and most of its other current assets and current liabilities relating to its television business.  The vast majority of the assets have since been monetized and the liabilities have been paid. The remaining identifiable TV assets and liabilities are summarized in Note 2.

Litigation

Litigation	9 Months Ended
	Sep. 30, 2014
Litigation	'
Litigation	'
	11.  Litigation
	Although the Company is not a party to any of the litigation discussed below, under the Separation and Redemption Agreement that we entered into with DG in connection with the Spin-Off, we have agreed to indemnify and hold harmless DG and its former directors for the costs of defending the cases, and any damages that may be awarded to the plaintiff and purported class of former DG stockholders.
	On January 14, 2014, a purported holder of common stock of Digital Generation, Inc. (“DG”), Equity Trading (“Plaintiff”), filed a complaint in the Supreme Court of the State of New York, County of New York, Equity Trading v. Scott K. Ginsburg, et al., No. 050112/2014, on behalf of itself and all others similarly situated, against DG, all directors of DG, Extreme Reach, Inc. (“Extreme Reach”) and Dawn Blackhawk Acquisition Corp., a Delaware corporation and a wholly-owned subsidiary of Extreme Reach (“Acquisition Sub”), alleging breaches of fiduciary duty in connection with the then pending Agreement and Plan of Merger, dated as of August 12, 2013, by and among Extreme Reach, Acquisition Sub and DG. The complaint sought an injunction barring the consummation of the transaction and unspecified monetary damages.
	On January 16, 2014, Plaintiff filed with the New York state court a request seeking an order (i) preliminarily enjoining the Merger, (ii) requiring expedited discovery and (iii) scheduling a post-discovery hearing to continue the injunction (Plaintiff’s “Request”), and on January 17, 2014, the New York state court issued an order setting a briefing schedule and a hearing for January 30, 2014, on Plaintiff’s Request.  On January 27, 2014, the defendants removed this action from the New York state court to the United States District Court for the Southern District of New York, causing the matter to now be captioned Equity Trading v. Scott K. Ginsburg, et al., 14 Civ. 499 (RWS) (RLE). The defendants also submitted briefing in opposition to the Request.  At a hearing held on January 30, 2014, the Court denied Plaintiff’s Request. On February 4, 2014, the Court agreed to a Stipulation for Extension of Time and Order (the “Scheduling Order”), providing a proposed briefing schedule.  On February 26, 2014, Plaintiff filed a Motion to Remand the action to the Supreme Court of the State of New York, County of New York.  On March 12, 2014, the defendants stipulated to remand.  On April 11, 2014, Plaintiff filed an amended complaint, asserting the same causes of action as the initial complaint and adding certain additional factual allegations.  On July 18, 2014, the defendants filed motions to dismiss the amended complaint.  On September 16, 2014, Plaintiff filed oppositions to the motions to dismiss and a cross-motion to strike exhibits to the motions to dismiss.  On October 24, 2014, the defendants’ filed replies in support of the motions to dismiss and an opposition to the cross-motion to strike.  Plaintiff’s reply in support of the cross-motion to strike is due on November 14, 2014.
	The Company believes Plaintiff’s allegations are without merit and intends to defend this action vigorously. We believe the purported claims and our defense costs will qualify for reimbursement under DG’s and/or our insurance coverage, which are subject to the applicable deductible and the limits of the policies.

General_Policies

General (Policies)	9 Months Ended
	Sep. 30, 2014
General	'
Principles of Consolidation and Combination	'
	Principles of Consolidation and Combination
	The consolidated and combined financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and include the accounts of our subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation or combination.  For the period prior to the Spin-Off, the carve-out financial statements have been prepared on a basis that management believes to be reasonable to reflect the financial position, results of operations and cash flows of the Company’s operations, including portions of DG’s corporate costs and administrative shared services. These unaudited financial statements should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.
	These financial statements have been prepared by us without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”).  Certain information and disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations.  However, we believe the disclosures are adequate to make the information presented not misleading.  The unaudited consolidated and combined financial statements reflect all adjustments, which are, in the opinion of management, of a normal and recurring nature and necessary for a fair presentation of our financial position as of the balance sheet dates, and the results of operations and cash flows for the periods presented.
Seasonality	'
	Seasonality
	Our business is seasonal. Revenues tend to be the highest in the fourth quarter as a large portion of our revenues follow the advertising patterns of our customers.
Use of Estimates	'
	Use of Estimates
	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate our estimates, including those related to the recoverability and useful lives of our long-lived assets, the adequacy of our allowance for doubtful accounts and credit memo reserves, contingent consideration and income taxes. We base our estimates on historical experience, future expectations and on other relevant assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from those estimates.
Risk of Goodwill Impairment	'
	Risk of Goodwill Impairment
	We test goodwill for possible impairment each year on December 31st and whenever events or changes in circumstances indicate the carrying value of our goodwill may not be recoverable. The goodwill impairment test involves a two-step process. In the first step, we compare the fair value of the Company to its carrying value. If the fair value of the Company exceeds its carrying value, goodwill is not impaired and no further testing is required. If the fair value of the Company is less than its carrying value, we must perform the second step of the impairment test to measure the amount of the impairment loss. In the second step, the Company’s fair value is allocated to its assets and liabilities, including any unrecognized intangible assets, in a hypothetical analysis that calculates the implied fair value of goodwill in the same manner as if the Company was being acquired in a business combination. If the implied fair value of the Company’s goodwill is less than the carrying value, the difference is recorded as an impairment loss.
Assets and Liabilities of DG's TV Business	'
	Assets and Liabilities of DG’s TV Business
	Pursuant to the Separation and Redemption Agreement, DG contributed to us substantially all of its television business current assets and certain other assets existing on February 7, 2014, and we agreed to assume substantially all of DG’s television business liabilities that existed on February 7, 2014 or were attributable to periods up to and including February 7, 2014.  These net assets contributed were recorded at $77.5 million.  The details of these assets and liabilities outstanding as of September 30, 2014 were as follows (in thousands):
	Description		September 30, 2014
			(in thousands)
	Current assets of television business:
	Income tax receivables		$	3,358
	Trade accounts receivable		1,198
	Springbox revenue sharing		154
	Total		$	4,710
	Current liabilities of television business:
	Trade accounts payable		$	732
	Accrued liabilities		600
	Total		$	1,332
	Non-current liabilities of television business:
	Uncertain tax positions		$	260
Derivative Instruments	'
	Derivative Instruments
	During 2014, we entered into foreign currency forward contracts and options to hedge a portion of the exposure to the variability in expected future cash flows resulting from changes in related foreign currency exchange rates between the New Israeli Shekel (“NIS”) and the U.S. Dollar. These transactions were designated as cash flow hedges, as defined by Accounting Standards Codification (“ASC”) Topic 815, “Derivatives and Hedging.”
	ASC Topic 815 requires that we recognize derivative instruments as either assets or liabilities in our balance sheet at fair value. These contracts are Level 2 fair value measurements in accordance with ASC Topic 820, “Fair Value Measurements and Disclosures.” For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income (loss), net of taxes, and reclassified into earnings (various operating expenses) in the same period or periods during which the hedged transaction affects earnings.
	Our cash flow hedging strategy has been to hedge against the risk of overall changes in cash flows resulting from certain forecasted foreign currency rent and salary payments during the next twelve months. We hedged portions of our forecasted expenses denominated in the NIS with foreign currency forward contracts and options.  At September 30, 2014, all of our foreign currency forward contracts and options had either expired or were settled.  As a result of our previous hedging activities, we incurred the following gains in our results of operations (in thousands):
			Three Months Ended						Nine Months Ended
			September 30,						September 30,
			2014			2013			2014			2013
	Hedging gain recognized in operations		$	6		$	214		$	121		$	695
	At December 31, 2013, we had $5.2 million notional amount of foreign currency forward contracts and options outstanding that had a net fair value asset balance of $0.1 million ($0.1 million asset, net of a $0.0 million liability) which is included in other current assets. The vast majority of any gain or loss from hedging activities is included in our various operating expenses.  It is our policy to offset fair value amounts recognized for derivative instruments executed with the same counterparty. In connection with our foreign currency forward contracts and options and other banking arrangements, we have agreed to maintain $1.6 million of cash in bank accounts with our counterparty, which we classify as restricted cash on our balance sheet.
Accumulated Other Comprehensive Income (Loss)	'
	Accumulated Other Comprehensive Income (Loss)
	Components of accumulated other comprehensive income (loss) (“AOCI” or “AOCL”), net of tax, for the three and nine months ended September 30, 2014 and 2013 were as follows (in thousands):
			Three Months Ended September 30, 2014
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at June 30, 2014		$	(726	)	$	24		$	1,800		$	1,098
	Other comprehensive income (loss) before reclassifications		(989		)	(18		)	(157		)	(1,164		)
	Amounts reclassified out of AOCI		—			(6		)	—			(6		)
	Net current period activity		(989		)	(24		)	(157		)	(1,170		)
	Balance at September 30, 2014		$	(1,715	)	$	—		$	1,643		$	(72	)
			Nine Months Ended September 30, 2014
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at December 31, 2013		$	(1,198	)	$	116		$	1,764		$	682
	Other comprehensive income (loss) before reclassifications		(517		)	(10		)	(121		)	(648		)
	Amounts reclassified out of AOCI		—			(106		)	—			(106		)
	Net current period activity		(517		)	(116		)	(121		)	(754		)
	Balance at September 30, 2014		$	(1,715	)	$	—		$	1,643		$	(72	)
			Three Months Ended September 30, 2013
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at June 30, 2013		$	(1,994	)	$	490		$	(44	)	$	(1,548	)
	Other comprehensive income (loss) before reclassifications		338			319			763			1,420
	Amounts reclassified out of AOCL		—			(231		)	—			(231		)
	Net current period activity		338			88			763			1,189
	Balance at September 30, 2013		$	(1,656	)	$	578		$	719		$	(359	)
			Nine Months Ended September 30, 2013
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at December 31, 2012		$	(887	)	$	373		$	(4	)	$	(518	)
	Other comprehensive income (loss) before reclassifications		(769		)	831			723			785
	Amounts reclassified out of AOCL		—			(626		)	—			(626		)
	Net current period activity		(769		)	205			723			159
	Balance at September 30, 2013		$	(1,656	)	$	578		$	719		$	(359	)
	The following tables summarize the reclassifications from AOCL to the consolidated and combined statements of operations for the three and nine months ended September 30, 2014 and 2013 (in thousands):
			Amounts Reclassified out of AOCL
			Three Months			Three Months			Affected Line Items in the Consolidated and Combined
			Ended September 30,			Ended September 30,			Statements of Operations
			2014			2013
	Gains (losses) on cash flow hedges:
	Foreign currency derivatives		$	1		$	28		Cost of revenues
	Foreign currency derivatives		—			15			Sales and marketing
	Foreign currency derivatives		4			161			Research and development
	Foreign currency derivatives		1			40			General and administrative
	Foreign currency derivatives		—			(30		)	Other (income) and expense, net
	Total before taxes		6			214
	Tax amounts		—			17
	Income after tax		$	6		$	231
			Amounts Reclassified out of AOCL
			Nine Months			Nine Months			Affected Line Items in the Consolidated and Combined
			Ended September 30,			Ended September 30,			Statements of Operations
2014			2013
Gains (losses) on cash flow hedges:
Foreign currency derivatives		$	12		$	83		Cost of revenues
Foreign currency derivatives		5			47			Sales and marketing
Foreign currency derivatives		58			476			Research and development
Foreign currency derivatives		16			129			General and administrative
Foreign currency derivatives		30			(40		)	Other (income) and expense, net
Total before taxes		121			695
Tax amounts		(15		)	(69		)
Income after tax		$	106		$	626
Merger, Integration and Other Expenses	'
	Merger, Integration and Other Expenses
	Merger, integration and other expenses reflect the expenses incurred in (i) DG’s Merger with Extreme Reach and our Spin-Off from DG, (ii) acquiring or disposing of a business, (iii) integrating an acquired operation (e.g., severance pay, office closure costs) into the Company and certain other expenses.  A summary of our merger, integration and other expenses are as follows (in thousands):
			Three Months Ended September 30,						Nine Months Ended September 30,
	Description		2014			2013			2014			2013
	Severance		$	803		$	59		$	1,694		$	249
	Merger and Spin-Off (1)		5			—			4,865			—
	Strategic alternatives		—			1,355			—			1,969
	MediaMind preacquisition liability		—			—			—			720
	Proxy contest		—			6			—			171
	TV receivables collected in excess of reserve		(1,725		)	—			(1,725		)	—
	Integration costs		1,138			(134		)	1,676			285
	Total		$	221		$	1,286		$	6,510		$	3,394
		-1		See discussion of Merger and Spin-Off under “Separation from Digital Generation, Inc.” in Note 1.
Recently Issued and Adopted Accounting Guidance	'
	Recently Issued Accounting Guidance
	In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).”  ASU 2014-09 modifies revenue recognition guidance for U.S. GAAP.  Previous revenue recognition guidance in U.S. GAAP comprised broad revenue recognition concepts together with numerous revenue requirements for particular industries or transactions, which sometimes resulted in different accounting for economically similar transactions.  In contrast, International Accounting Standards Board (“IASB”) provided limited guidance on revenue recognition.  Accordingly, the FASB and IASB initiated a joint project to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards (“IFRS”).  The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.  To achieve that core principle, an entity should apply the following steps:
	Step 1: Identify the contract(s) with a customer.
	Step 2: Identify the performance obligations in the contract.
	Step 3: Determine the transaction price.
	Step 4: Allocate the transaction price to the performance obligations in the contract.
	Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation.
	For Sizmek, the amendments in ASU 2014-09 are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early adoption is not permitted.  An entity shall adopt the amendments in ASU 2014-09 by either (i) retrospectively adjusting each prior reporting period presented or (ii) retrospectively adjusting for the cumulative effect of initially applying ASU 2014-09 at the date of initial adoption.  We have not as yet determined (i) the extent to which we expect ASU 2014-09 will impact our reported revenues or (ii) the manner in which it will be adopted.
	Recently Adopted Accounting Guidance
	Effective January 1, 2014, we adopted ASU 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” on a prospective basis.  ASU 2013-11 amends the accounting guidance related to the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss or a tax credit carryforward exists. The guidance requires an unrecognized tax benefit to be presented as a decrease in a deferred tax asset where a net operating loss, a similar tax loss, or a tax credit carryforward exists and certain criteria are met.  The adoption of ASU 2013-11 did not have a material impact on our financial statements.

General_Tables

General (Tables)	9 Months Ended
	Sep. 30, 2014
General	'
Schedule of DG's assets and liabilities outstanding	'
	The details of these assets and liabilities outstanding as of September 30, 2014 were as follows (in thousands):
	Description		September 30, 2014
			(in thousands)
	Current assets of television business:
	Income tax receivables		$	3,358
	Trade accounts receivable		1,198
	Springbox revenue sharing		154
	Total		$	4,710
	Current liabilities of television business:
	Trade accounts payable		$	732
	Accrued liabilities		600
	Total		$	1,332
	Non-current liabilities of television business:
	Uncertain tax positions		$	260
Schedule of gains recognized in consolidated results of operations due to hedging activities	'
	As a result of our previous hedging activities, we incurred the following gains in our results of operations (in thousands):
			Three Months Ended						Nine Months Ended
			September 30,						September 30,
			2014			2013			2014			2013
	Hedging gain recognized in operations		$	6		$	214		$	121		$	695
Schedule of components of accumulated other comprehensive income (loss) (AOCI or AOCL), net of tax	'
	Components of accumulated other comprehensive income (loss) (“AOCI” or “AOCL”), net of tax, for the three and nine months ended September 30, 2014 and 2013 were as follows (in thousands):
			Three Months Ended September 30, 2014
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at June 30, 2014		$	(726	)	$	24		$	1,800		$	1,098
	Other comprehensive income (loss) before reclassifications		(989		)	(18		)	(157		)	(1,164		)
	Amounts reclassified out of AOCI		—			(6		)	—			(6		)
	Net current period activity		(989		)	(24		)	(157		)	(1,170		)
	Balance at September 30, 2014		$	(1,715	)	$	—		$	1,643		$	(72	)
			Nine Months Ended September 30, 2014
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at December 31, 2013		$	(1,198	)	$	116		$	1,764		$	682
	Other comprehensive income (loss) before reclassifications		(517		)	(10		)	(121		)	(648		)
	Amounts reclassified out of AOCI		—			(106		)	—			(106		)
	Net current period activity		(517		)	(116		)	(121		)	(754		)
	Balance at September 30, 2014		$	(1,715	)	$	—		$	1,643		$	(72	)
			Three Months Ended September 30, 2013
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at June 30, 2013		$	(1,994	)	$	490		$	(44	)	$	(1,548	)
	Other comprehensive income (loss) before reclassifications		338			319			763			1,420
	Amounts reclassified out of AOCL		—			(231		)	—			(231		)
	Net current period activity		338			88			763			1,189
	Balance at September 30, 2013		$	(1,656	)	$	578		$	719		$	(359	)
			Nine Months Ended September 30, 2013
			Foreign			Unrealized			Unrealized			Accumulated
			Currency			Gain on			Gain (Loss)			Other
			Translation			Foreign			on Available			Comprehensive
						Currency			for Sale			Income (Loss)
						Derivatives			Securities
	Balance at December 31, 2012		$	(887	)	$	373		$	(4	)	$	(518	)
	Other comprehensive income (loss) before reclassifications		(769		)	831			723			785
	Amounts reclassified out of AOCL		—			(626		)	—			(626		)
	Net current period activity		(769		)	205			723			159
	Balance at September 30, 2013		$	(1,656	)	$	578		$	719		$	(359	)
Summary of reclassifications from AOCL to the consolidated and combined statements of operations	'
	The following tables summarize the reclassifications from AOCL to the consolidated and combined statements of operations for the three and nine months ended September 30, 2014 and 2013 (in thousands):
			Amounts Reclassified out of AOCL
			Three Months			Three Months			Affected Line Items in the Consolidated and Combined
			Ended September 30,			Ended September 30,			Statements of Operations
			2014			2013
	Gains (losses) on cash flow hedges:
	Foreign currency derivatives		$	1		$	28		Cost of revenues
	Foreign currency derivatives		—			15			Sales and marketing
	Foreign currency derivatives		4			161			Research and development
	Foreign currency derivatives		1			40			General and administrative
	Foreign currency derivatives		—			(30		)	Other (income) and expense, net
	Total before taxes		6			214
	Tax amounts		—			17
	Income after tax		$	6		$	231
			Amounts Reclassified out of AOCL
			Nine Months			Nine Months			Affected Line Items in the Consolidated and Combined
			Ended September 30,			Ended September 30,			Statements of Operations
			2014			2013
	Gains (losses) on cash flow hedges:
	Foreign currency derivatives		$	12		$	83		Cost of revenues
	Foreign currency derivatives		5			47			Sales and marketing
	Foreign currency derivatives		58			476			Research and development
	Foreign currency derivatives		16			129			General and administrative
	Foreign currency derivatives		30			(40		)	Other (income) and expense, net
	Total before taxes		121			695
	Tax amounts		(15		)	(69		)
	Income after tax		$	106		$	626
Summary of merger, integration and other expenses	'
	A summary of our merger, integration and other expenses are as follows (in thousands):
			Three Months Ended September 30,						Nine Months Ended September 30,
	Description		2014			2013			2014			2013
	Severance		$	803		$	59		$	1,694		$	249
	Merger and Spin-Off (1)		5			—			4,865			—
	Strategic alternatives		—			1,355			—			1,969
	MediaMind preacquisition liability		—			—			—			720
	Proxy contest		—			6			—			171
	TV receivables collected in excess of reserve		(1,725		)	—			(1,725		)	—
	Integration costs		1,138			(134		)	1,676			285
	Total		$	221		$	1,286		$	6,510		$	3,394
		-1		See discussion of Merger and Spin-Off under “Separation from Digital Generation, Inc.” in Note 1.

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2014
Fair Value Measurements	'
Schedule of assets and liabilities accounted for at fair value	'
	The tables do not include cash on hand or assets and liabilities that are measured at historical cost or any basis other than fair value (in thousands).
					Fair Value Measurements at September 30, 2014
			Balance		Quoted Prices		Significant		Significant		Total
			Sheet		in Active		Other		Unobservable		Fair Value
			Location		Markets		Observable		Inputs		Measurements
					(Level 1)		Inputs		(Level 3)
							(Level 2)
	Assets:
	Money market funds		(a)		$	949	$	—	$	—	$	949
	Marketable equity securities		(c)		1,984		—		—		1,984
	Revenue sharing arrangement		(d)		—		—		154		154
	Total				$	2,933	$	—	$	154	$	3,087
	Liabilities:
	Revenue earnout payable		(e)		$	—	$	—	$	225	$	225
					Fair Value Measurements at December 31, 2013
			Balance		Quoted Prices		Significant		Significant		Total
			Sheet		in Active		Other		Unobservable		Fair Value
			Location		Markets		Observable		Inputs		Measurements
					(Level 1)		Inputs		(Level 3)
							(Level 2)
	Assets:
	Currency forward derivatives/options		(b)		$	—	$	137	$	—	$	137
	Marketable equity securities		(c)		2,105		—		—		2,105
	Total				$	2,105	$	137	$	—	$	2,242
	Liabilities:
	Revenue earnout payable				$	—	$	—	$	—	$	—
		(a)		Included in cash and cash equivalents.
		(b)		Included in other current assets.
		(c)		Included in other non-current assets.
		(d)		Included in current assets of TV business.
		(e)		Included in current liabilities of TV business.
Schedule of reconciliation of changes in the fair values of Level 3 assets	'
	The following table provides a reconciliation of changes in the fair values of our Level 3 assets (in thousands):
			Revenue Sharing
			Arrangement
			Nine Months
			Ended September 30,
			2014
	Balance at beginning of year		$	—
	Additions		340
	Less cash receipts		(186		)
	Balance at end of period		$	154
Schedule of reconciliation of changes in the fair values of Level 3 liabilities	'
	The following table provides a reconciliation of changes in the fair values of our Level 3 liabilities (in thousands):
			Revenue Earnout
			Payable
			Nine Months
			Ended September 30,
			2014
	Balance at beginning of year		$	—
	Additions		225
	Less cash payments		—
	Balance at end of period		$	225

Goodwill_Tables

Goodwill (Tables)	9 Months Ended
	Sep. 30, 2014
Goodwill	'
Schedule of changes in carrying value of goodwill	'
	We operate as a single reporting unit. Changes in the carrying value of our goodwill for the nine months ended September 30, 2014 are as follows (in thousands):
		Goodwill		Accumulated			Net Carrying
				Impairment			Value
				Losses
	Balance at December 31, 2013	$	376,417	$	(242,331	)	$	134,086
	Acquisition of Aerify Media	3,760		—			3,760
	Acquisition of Pixel	504		—			504
	Impairment loss	—		(98,196		)	(98,196		)
	Balance at September 30, 2014	$	380,681	$	(340,527	)	$	40,154

Sharebased_Compensation_Tables

Share-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2014
Share-based Compensation	'
Summary of share-based compensation expense	'
	Below is a summary of our share-based compensation expense related to stock awards (in thousands):
		Nine Months Ended September 30,
	Description	2014		2013
	DG stock options and RSUs awarded to our employees	$	2,650	$	2,811
	DG share-based awards allocated to us as part of corporate services	3,817		2,112
	Sizmek share-based awards granted	1,963		—
	Total	$	8,430	$	4,923

Income_Taxes_Tables

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2014
Income Taxes	'
Schedule of changes in uncertain tax positions	'
	The changes in uncertain tax positions for the nine months ended September 30, 2014 and 2013 were as follows (in thousands):
		Nine Months Ended September 30,
		2014		2013
	Balance at beginning of year	$	1,701	$	1,801
	Changes to tax positions related to current or prior periods	362		—
	Balance at end of period	$	2,063	$	1,801

Earnings_Loss_per_Share_Tables

Earnings (Loss) per Share (Tables)	9 Months Ended
	Sep. 30, 2014
Earnings (Loss) per Share	'
Schedule of earnings (loss) per common share	'
	The following table presents earnings (loss) per common share for the three and nine months ended September 30, 2014 and 2013 (in thousands, except per share data):
		Three Months Ended						Nine Months Ended
		September 30,						September 30,
		2014			2013			2014			2013
	Net loss	$	(101,382	)	$	(1,788	)	$	(117,442	)	$	(10,979	)
	Weighted average common shares outstanding — basic	30,399			30,399			30,399			30,399
	Dilutive securities	—			—			—			—
	Weighted average common shares outstanding - diluted	30,399			30,399			30,399			30,399
	Basic loss per common share	$	(3.34	)	$	(0.06	)	$	(3.86	)	$	(0.36	)
	Diluted loss per common share	$	(3.34	)	$	(0.06	)	$	(3.86	)	$	(0.36	)
	Antidilutive securities not included:
	Stock options and RSUs	847			—			847			—

Geographical_InformationTables

Geographical Information(Tables)	9 Months Ended
	Sep. 30, 2014
Geographical Information.	'
Schedule of revenues by geographic area	'
	The following table summarizes our revenues by geographic area (in thousands):
		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2014		2013		2014		2013
	Revenues:
	United States	$	19,594	$	18,569	$	58,135	$	52,911
	North America (excluding U.S.)	823		533		2,907		1,692
	Europe, Middle East and Africa	10,522		11,048		36,149		35,638
	Asia Pacific	6,506		6,201		18,918		18,906
	Latin America	2,068		1,877		5,784		4,417
	Total	$	39,513	$	38,228	$	121,893	$	113,564

Related_Party_TransactionsTabl

Related Party Transactions(Tables)	9 Months Ended
	Sep. 30, 2014
Related Party Transactions	'
Schedule of allocation of related party expenses	'
	The allocations of such expenses to us were as follows (in thousands):
		Three Months Ended September 30,						Nine Months Ended September 30,
	DG’s Expense Allocation to Sizmek	2014			2013			2014		2013
	Management and administrative services	$	—		$	1,927		$	514	$	5,671
	Merger, integration and other	—			1,231			4,038		2,091
	Total	$	—		$	3,158		$	4,552	$	7,762
Schedule of reconciliation of the amounts presented as Net contributions from Parent on statement of stockholders' equity and on statements of cash flows	'
	Net contributions from Parent” and monetization of other Parent contributions on the consolidated and combined statements of cash flows (in thousands):
		Nine Months Ended
		September 30,
		2014			2013
	Net contributions from Parent per the statements of stockholders’ equity	$	89,292		$	10,268
	Non-cash changes to business capital:
	Share-based compensation prior to Spin-Off	(6,467		)	(4,923		)
	TV business net assets remaining on balance sheet	(3,118		)	—
	Amortization of TV business assets	(726		)	—
	Recovery of TV business assets	1,854
	Other	(25		)	161
	Net contributions from Parent and monetization of other Parent contributions per the statements of cash flows	$	80,810		$	5,506

Basis_of_Presentation_Details

Basis of Presentation (Details) (USD $)	Sep. 30, 2014	Feb. 07, 2014	Sep. 30, 2014	Sep. 30, 2014	Feb. 07, 2014	Sep. 30, 2013
In Millions, except Share data, unless otherwise specified	item		Maximum	Minimum	DG	DG
			item	item
Basis of Presentation	'	'	'	'	'	'
Number of advertisers connected to audiences	'	'	14,000	'	'	'
Number of agencies connected audiences	'	'	'	5,000	'	'
Number of countries in which entity operates	65	'	'	'	'	'
Number of impressions served	'	'	'	1,500,000,000,000	'	'
Common stock, par value (in dollars per share)	$0.00	$0.00	'	'	'	'
Number of shares of Sizmek Common Stock issued per share of common stock of DG	'	'	'	'	1	'
Per share distribution to DG shareholders (in dollars per share)	'	'	'	'	$3	'
Corporate overhead reported by DG	'	'	'	'	'	$18.70
Amount of corporate overhead allocated to entity	'	'	'	'	'	$7.20
Percentage of DG's total corporate overhead representing corporate overhead costs of entity (as a percent)	'	'	'	'	'	39.00%

General_Details

General (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Assets and Liabilities of DG's TV Business	'	'
Net assets contributed	$301,409	$330,023
Current assets of television business:	'	'
Trade accounts receivable	42,387	47,362
Total	4,710	'
Current liabilities of television business:	'	'
Accrued liabilities	16,380	17,959
Total	1,332	'
DG contributed assets to entity and DG liabilities assumed by entity | DG	'	'
Assets and Liabilities of DG's TV Business	'	'
Net assets contributed	77,500	'
Current assets of television business:	'	'
Income tax receivables	3,358	'
Trade accounts receivable	1,198	'
Springbox revenue sharing	154	'
Total	4,710	'
Current liabilities of television business:	'	'
Trade accounts payable	732	'
Accrued liabilities	600	'
Total	1,332	'
Non-current liabilities of television business:	'	'
Uncertain tax positions	$260	'

General_Details_2

General (Details 2) (USD $)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Derivative Instruments	'	'	'	'	'
Period for which certain forecasted foreign currency rent and salary payments are hedged	'	'	'	'	'12 months
Notional amount of foreign currency forward contracts and options outstanding	'	'	'	'	$5,200,000
Net fair value balance of foreign currency forward contracts and options outstanding	'	'	'	'	100,000
Fair value asset balance of foreign currency forward contracts and options outstanding	'	'	'	'	100,000
Fair value liability balance of foreign currency forward contracts and options outstanding	'	'	'	'	0
Hedging gain recognized in operations	6,000	214,000	121,000	695,000	'
Amount of cash in bank accounts with the counterparty the entity has agreed to maintain	$1,600,000	'	$1,600,000	'	'

General_Details_3

General (Details 3) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Accumulated Other Comprehensive Income (Loss)	'	'	'	'
Balance at beginning of the period	$1,098	($1,548)	$682	($518)
Other comprehensive income (loss) before reclassifications	-1,164	1,420	-648	785
Amounts reclassified out of AOCI	-6	-231	-106	-626
Net current period activity	-1,170	1,189	-754	159
Balance at end of the period	-72	-359	-72	-359
Foreign Currency Translation	'	'	'	'
Accumulated Other Comprehensive Income (Loss)	'	'	'	'
Balance at beginning of the period	-726	-1,994	-1,198	-887
Other comprehensive income (loss) before reclassifications	-989	338	-517	-769
Net current period activity	-989	338	-517	-769
Balance at end of the period	-1,715	-1,656	-1,715	-1,656
Unrealized Gain on Foreign Currency Derivatives	'	'	'	'
Accumulated Other Comprehensive Income (Loss)	'	'	'	'
Balance at beginning of the period	24	490	116	373
Other comprehensive income (loss) before reclassifications	-18	319	-10	831
Amounts reclassified out of AOCI	-6	-231	-106	-626
Net current period activity	-24	88	-116	205
Balance at end of the period	'	578	'	578
Unrealized Gain (Loss) on Available for Sale Securities	'	'	'	'
Accumulated Other Comprehensive Income (Loss)	'	'	'	'
Balance at beginning of the period	1,800	-44	1,764	-4
Other comprehensive income (loss) before reclassifications	-157	763	-121	723
Net current period activity	-157	763	-121	723
Balance at end of the period	$1,643	$719	$1,643	$719

General_Details_4

General (Details 4) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Affected Line Items in the Consolidated and Combined Statements of Operations	'	'	'	'
Cost of revenues	($14,274)	($13,262)	($44,028)	($39,370)
Sales and marketing	-14,082	-12,721	-44,184	-41,688
Research and development	-3,300	-2,181	-10,041	-7,501
General and administrative	-4,276	-4,230	-17,464	-13,432
Other (income) and expense, net	-479	-129	-687	65
Loss before income taxes	-101,595	-1,537	-118,474	-9,437
Tax amounts	213	-251	1,032	-1,542
Net loss	-101,382	-1,788	-117,442	-10,979
Unrealized Gain on Foreign Currency Derivatives | Foreign currency derivatives | Amounts Reclassified out of AOCL	'	'	'	'
Affected Line Items in the Consolidated and Combined Statements of Operations	'	'	'	'
Cost of revenues	1	28	12	83
Sales and marketing	'	15	5	47
Research and development	4	161	58	476
General and administrative	1	40	16	129
Other (income) and expense, net	'	-30	30	-40
Loss before income taxes	6	214	121	695
Tax amounts	'	17	-15	-69
Net loss	$6	$231	$106	$626

General_Details_5

General (Details 5) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Merger, Integration and Other Expenses	'	'	'	'
Total	$221	$1,286	$6,510	$3,394
Merger, Integration and Other Expenses	'	'	'	'
Merger, Integration and Other Expenses	'	'	'	'
Severance	803	59	1,694	249
Merger and Spin-Off	5	'	4,865	'
Strategic alternatives	'	1,355	'	1,969
MediaMind preacquisition liability	'	'	'	720
Proxy contest	'	6	'	171
TV receivables collected in excess of reserve	-1,725	'	-1,725	'
Integration costs	1,138	-134	1,676	285
Total	$221	$1,286	$6,510	$3,394

Fair_Value_Measurements_Detail

Fair Value Measurements (Details) (Recurring basis, USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Quoted Prices in Active Markets (Level 1)	'	'
Assets:	'	'
Total	$2,933	$2,105
Quoted Prices in Active Markets (Level 1) | Cash and cash equivalents	'	'
Assets:	'	'
Money market funds	949	'
Quoted Prices in Active Markets (Level 1) | Other non-current assets	'	'
Assets:	'	'
Marketable equity securities	1,984	2,105
Significant Other Observable Inputs (Level 2)	'	'
Assets:	'	'
Total	'	137
Significant Other Observable Inputs (Level 2) | Other current assets	'	'
Assets:	'	'
Currency forward derivatives/options	'	137
Significant Unobservable Inputs (Level 3)	'	'
Assets:	'	'
Total	154	'
Significant Unobservable Inputs (Level 3) | Current assets of TV business	'	'
Assets:	'	'
Revenue sharing arrangement	154	'
Significant Unobservable Inputs (Level 3) | Current liabilities of TV business	'	'
Liabilities:	'	'
Revenue earnout payable	225	'
Total Fair Value Measurements	'	'
Assets:	'	'
Total	3,087	2,242
Total Fair Value Measurements | Cash and cash equivalents	'	'
Assets:	'	'
Money market funds	949	'
Total Fair Value Measurements | Other current assets	'	'
Assets:	'	'
Currency forward derivatives/options	'	137
Total Fair Value Measurements | Other non-current assets	'	'
Assets:	'	'
Marketable equity securities	1,984	2,105
Total Fair Value Measurements | Current assets of TV business	'	'
Assets:	'	'
Revenue sharing arrangement	154	'
Total Fair Value Measurements | Current liabilities of TV business	'	'
Liabilities:	'	'
Revenue earnout payable	$225	'

Fair_Value_Measurements_Detail1

Fair Value Measurements (Details 2) (USD $)	0 Months Ended		9 Months Ended
	Jun. 01, 2012	Sep. 30, 2014	Sep. 30, 2014	Sep. 30, 2014
			Revenue Earnout Payable	Revenue Sharing Arrangement
Fair Value Measurements	'	'	'	'
Cost basis of currency forward derivative/options	'	$0	'	'
Marketable equity securities, adjusted cost basis	'	300,000	'	'
Period after the date of sale for which entity is entitled to receive a percentage of revenue collected	'3 years	'	'	'
Reconciliation of changes in fair value of Level 3 assets	'	'	'	'
Additions	'	'	'	340,000
Less cash receipts	'	'	'	-186,000
Balance at end of period	'	'	'	154,000
Maximum amount payable to North Country sellers if their revenue exceeds specified amount	'	'	225,000	'
Reconciliation of changes in the fair values of level 3 liabilities	'	'	'	'
Additions	'	'	225,000	'
Balance at end of period	'	'	$225,000	'

Fair_Value_Measurements_Detail2

Fair Value Measurements (Details 3) (Convertible Notes, Abakus, USD $)	1 Months Ended	9 Months Ended
In Millions, unless otherwise specified	31-May-14	Sep. 30, 2014
Convertible Notes | Abakus	'	'
Fair Value Measurements	'	'
Amount of convertible notes purchased	$1	'
Period of time convertible notes are due after written notice	'	'90 days
Interest rate (as a percent)	'	5.00%
Number of preferred shares to be sold by Abakus for triggering automatic conversion (in shares)	'	2
Conversion price as a percentage of the share price in Qualified Financing	'	75.00%
Amount divided by the number of shares outstanding upon exercise of all dilutive securities to derive quotient for determining conversion price upon automatic conversion	'	$7
Conversion price as a percentage of the share price in the Equity Financing	'	75.00%

Acquisitions_Details

Acquisitions (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013	Sep. 04, 2014
In Thousands, unless otherwise specified			Pixel
Acquisition	'	'	'
Cash consideration	'	'	$450
Deferred payment obligation	'	'	50
Purchase price allocated to goodwill	$40,154	$134,086	$500

Acquisitions_Details_2

Acquisitions (Details 2) (USD $)	3 Months Ended		9 Months Ended			12 Months Ended	0 Months Ended	2 Months Ended	0 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013	Dec. 31, 2013	Aug. 11, 2014	Sep. 30, 2014	Aug. 11, 2014	Aug. 11, 2014
						Aerify	Aerify	Aerify	Aerify	Aerify
									Developed technology	Customer relationships
Acquisition	'	'	'	'	'	'	'	'	'	'
Purchase price allocated to the assets acquired and liabilities	'	'	'	'	'	'	$6,250,000	'	'	'
Cash consideration	'	'	'	'	'	'	5,625,000	'	'	'
Deferred payment obligation	'	'	'	'	'	'	625,000	'	'	'
Finite lived intangible assets acquired	'	'	'	'	'	'	'	'	2,050,000	400,000
Goodwill	40,154,000	'	40,154,000	'	134,086,000	'	3,800,000	'	'	'
Weighted average amortization period	'	'	'	'	'	'	'4 years 2 months 12 days	'	'4 years	'5 years
Revenues	39,513,000	38,228,000	121,893,000	113,564,000	'	3,100,000	'	400,000	'	'
Loss from continuing operations	'	'	'	'	'	$600,000	'	'	'	'

Acquisitions_Details_3

Acquisitions (Details 3) (USD $)

3 Months Ended

9 Months Ended

0 Months Ended

0 Months Ended

0 Months Ended

0 Months Ended

Sep. 30, 2014

Sep. 30, 2013

Sep. 30, 2014

Sep. 30, 2013

Oct. 04, 2013

Oct. 04, 2013

Oct. 04, 2013

Oct. 04, 2013

Oct. 04, 2013

Oct. 04, 2013

Oct. 04, 2013

Oct. 04, 2013

Republic Project

Republic Project

Republic Project

Republic Project

Republic Project

Republic Project

Republic Project

Republic Project

Customer relationships

Customer relationships

Developed technology

Developed technology

Noncompetition agreements

Noncompetition agreements

Acquisition

'

'

'

'

'

'

'

'

'

'

'

'

Cash consideration

'

'

'

'

$1,100,000

'

'

'

'

'

'

'

Deferred payment obligation

'

'

'

'

'

300,000

'

'

'

'

'

'

Contingent consideration

'

'

'

'

'

0

'

'

'

'

'

'

Contingent consideration payment , low end of range

'

'

'

'

'

0

'

'

'

'

'

'

Contingent consideration payment, high end of range

'

'

'

'

'

13,100,000

'

'

'

'

'

'

Finite lived intangible assets acquired

'

'

'

'

'

'

'

300,000

'

600,000

'

400,000

Weighted average amortization period

'

'

'

'

'4 years 2 months 12 days

'

'5 years

'

'4 years

'

'4 years

'

Revenues

$39,513,000

$38,228,000

$121,893,000

$113,564,000

'

'

'

'

'

'

'

'

Goodwill_Details

Goodwill (Details) (USD $)	3 Months Ended	9 Months Ended		9 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2014	Dec. 31, 2013	Sep. 30, 2014	Aug. 11, 2014	Sep. 30, 2014	Sep. 04, 2014
				Aerify	Aerify	Pixel	Pixel
Goodwill	'	'	'	'	'	'	'
Balance at beginning of the period	'	$376,417	'	'	'	'	'
Acquisition	'	'	'	3,760	'	504	'
Balance at end of the period	380,681	380,681	'	'	'	'	'
Accumulated Impairment Losses	'	'	'	'	'	'	'
Balance at beginning of the period	'	-242,331	'	'	'	'	'
Impairment loss	-98,196	-98,196	'	'	'	'	'
Balance at end of the period	-340,527	-340,527	'	'	'	'	'
Net Carrying Value	'	'	'	'	'	'	'
Balance at beginning of the period	'	134,086	'	'	3,800	'	500
Acquisition	'	'	'	3,760	'	504	'
Impairment loss	98,196	98,196	'	'	'	'	'
Balance at end of the period	$40,154	$40,154	'	'	$3,800	'	$500
Fair value of reporting unit in excess of carrying value (as a percent)	'	'	5.00%	'	'	'	'
Implied control premium (as a percent)	42.00%	'	'	'	'	'	'

Sharebased_Compensation_Detail

Share-based Compensation (Details) (USD $)

9 Months Ended

2 Months Ended

3 Months Ended

2 Months Ended

3 Months Ended

2 Months Ended

3 Months Ended

2 Months Ended

3 Months Ended

9 Months Ended

9 Months Ended

Sep. 30, 2014

Sep. 30, 2013

Sep. 30, 2014

Mar. 31, 2014

Mar. 31, 2014

Jun. 30, 2014

Jun. 30, 2014

Sep. 30, 2014

Jun. 30, 2014

Mar. 31, 2014

Mar. 31, 2014

Jun. 30, 2014

Mar. 31, 2014

Jun. 30, 2014

Mar. 31, 2014

Mar. 31, 2014

Sep. 30, 2014

Jun. 30, 2014

Sep. 30, 2014

Sep. 30, 2013

Feb. 07, 2014

Sep. 30, 2014

Sep. 30, 2013

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

Sizmek Plan

DG

DG

DG

DG

DG

Executive officers

Executive officers

Employees

Employees

Stock options

Stock options

Stock options

Restricted Stock Units

Restricted Stock Units

Restricted Stock Units

Restricted Stock Units

Restricted Stock Units

Restricted Stock Units

Restricted Stock Units

Restricted Stock Units

DG Plan

DG Plan

DG Plan

DG Plan

DG Plan

Minimum

Maximum

Minimum

Maximum

Time-based

Time-based

Time-based

Executive officers

Employees

Performance-based

Performance-based

Time-based

Time-based

Time-based

Time-based

Stock options and RSUs

Stock options and RSUs

Executive officers

Executive officers

Employees

Executive officers

Directors

Employees

Employees

Share-based Compensation

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Intrinsic value of equity awards cancelled

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

$0

'

'

Share-based awards

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

2,650,000

2,811,000

Stock-based awards allocated to the entity as part of corporate services

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

3,817,000

2,112,000

'

'

'

Total

8,430,000

4,923,000

1,963,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Awards other than options, granted in period (in shares)

'

'

'

'

'

'

'

'

'

'

'

'

134,760

99,134

89,839

67,230

146,877

98,400

'

'

'

'

'

Options granted (in shares)

'

'

'

'

'

'

'

8,641

464,880

141,118

'

'

'

'

'

'

'

'

'

'

'

'

'

Value of RSUs granted in period

'

'

'

'

'

'

'

'

'

'

2,200,000

1,900,000

'

'

'

800,000

1,400,000

'

'

'

'

'

'

Value of stock options granted in period

'

'

'

'

'

'

'

100,000

2,500,000

800,000

'

'

'

'

'

'

'

'

'

'

'

'

'

Vesting period of other then stock options

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'2 years

'

'

'

'

'

'

Vesting period

'

'

'

'10 months

'3 years

'8 months

'34 months

'3 years

'

'

'

'

'

'

'

'1 year

'

'

'

'

'

'

'

Unrecognized compensation costs related to unvested RSUs and stock options

'

'

$6,900,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Weighted average remaining vesting period for recognition of compensation costs

'

'

'2 years 3 months 18 days

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Income_Taxes_Details

Income Taxes (Details) (USD $)	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Income Taxes	'	'
Effective tax rate (as a percent)	0.90%	-16.30%
Federal statutory tax rate (as a percent)	35.00%	35.00%
Effective tax rate for income or loss earned in the U.S. (as a percent)	0.00%	'
Maximum interest or penalities related to uncertain tax positions	$100,000	$100,000
Changes in uncertain tax positions	'	'
Balance at beginning of period	1,701,000	1,801,000
Changes to tax positions related to current or prior periods	362,000	'
Balance at end of period	2,063,000	1,801,000
Amount of uncertain tax positions expected to be effectively settled within 12 months	$362,000	'

Earnings_Loss_per_Share_Detail

Earnings (Loss) per Share (Details) (USD $)	0 Months Ended	3 Months Ended		9 Months Ended
In Thousands, except Share data, unless otherwise specified	Feb. 07, 2014	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Earnings (Loss) per Share	'	'	'	'	'
Common stock distributed in conjunction with the Spin-Off	30,400,000	'	'	'	'
Net loss	'	($101,382)	($1,788)	($117,442)	($10,979)
Weighted average common shares outstanding - basic	'	30,399,000	30,399,000	30,399,000	30,399,000
Weighted average common shares outstanding - diluted	'	30,399,000	30,399,000	30,399,000	30,399,000
Basic loss per common share (in dollars per share)	'	($3.34)	($0.06)	($3.86)	($0.36)
Diluted loss per common share (in dollars per share)	'	($3.34)	($0.06)	($3.86)	($0.36)
Antidilutive securities not included:	'	'	'	'	'
Stock options and RSUs (in shares)	'	847,000	'	847,000	'

Geographical_Information_Detai

Geographical Information (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
			segment
Geographical information	'	'	'	'
Number of operating segments	'	'	1	'
Revenues	$39,513	$38,228	$121,893	$113,564
Percentage of revenue attributable to foreign jurisdictions	'	'	52.00%	'
United States	'	'	'	'
Geographical information	'	'	'	'
Revenues	19,594	18,569	58,135	52,911
North America (excluding U.S.)	'	'	'	'
Geographical information	'	'	'	'
Revenues	823	533	2,907	1,692
Europe, Middle East and Africa	'	'	'	'
Geographical information	'	'	'	'
Revenues	10,522	11,048	36,149	35,638
Asia Pacific	'	'	'	'
Geographical information	'	'	'	'
Revenues	6,506	6,201	18,918	18,906
Latin America	'	'	'	'
Geographical information	'	'	'	'
Revenues	$2,068	$1,877	$5,784	$4,417

Related_Party_Transactions_Det

Related Party Transactions (Details) (Management and administrative services, DG, USD $)	3 Months Ended	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Management and administrative services | DG	'	'	'
DG's Expense Allocation to Sizmek	'	'	'
Management and administrative services	$1,927	$514	$5,671
Merger, integration and other	1,231	4,038	2,091
Total	$3,158	$4,552	$7,762

Related_Party_Transactions_Det1

Related Party Transactions (Details 2) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
DG's Expense Allocation to Sizmek	'	'
Net contributions from parent per the statements of stockholders' equity	$89,292	$10,268
Non-cash changes to business capital:	'	'
Share-based compensation prior to Spin-Off	-8,430	-4,923
DG	'	'
Non-cash changes to business capital:	'	'
Share-based compensation prior to Spin-Off	-6,467	-4,923
TV business net assets remaining on balance sheet	-3,118	'
Amortization of TV business assets	-726	'
Recovery of TV business assets	1,854	'
Other	-25	161
Net contributions from Parent and monetization of other Parent contributions per the statements of cash flow	$80,810	$5,506