Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Feb. 19, 2014 | Jun. 30, 2013 |
Document And Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'HEALTHCARE SERVICES GROUP INC | ' | ' |
Entity Central Index Key | '0000731012 | ' | ' |
Document Type | '10-K | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $1,183,606 |
Entity Common Stock, Shares Outstanding | ' | 70,110 | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ||
Cash and cash equivalents | $64,155 | $68,949 | ||
Marketable securities, at fair value | 11,445 | 21,322 | ||
Accounts and notes receivable, less allowance for doubtful accounts of $3,919,000 in 2013 and $3,970,000 in 2012 | 189,107 | 140,218 | ||
Inventories and supplies | 32,447 | 28,675 | ||
Deferred income taxes | 2,339 | 0 | ||
Prepaid expenses and other | 9,699 | 8,682 | ||
Total current assets | 309,192 | 267,846 | ||
Property and equipment: | ' | ' | ||
Laundry and linen equipment installations | 2,516 | 2,336 | ||
Housekeeping and office equipment and furniture | 29,182 | 26,098 | ||
Autos and trucks | 305 | 315 | ||
Property and equipment, gross | 32,003 | 28,749 | ||
Less accumulated depreciation | 20,699 | 18,477 | ||
Property and equipment, net | 11,304 | 10,272 | ||
Goodwill | 40,183 | 16,955 | ||
Other intangible assets, less accumulated amortization of $12,909,000 in 2013 and $10,078,000 in 2012 | 23,372 | 5,203 | ||
Notes receivable — long term portion, net of discount | 5,779 | 1,823 | ||
Deferred compensation funding, at fair value | 22,200 | 17,831 | ||
Deferred income taxes — long term portion | 13,274 | 11,215 | ||
Other noncurrent assets | 38 | 38 | ||
Total Assets | 425,342 | 331,183 | ||
Current liabilities: | ' | ' | ||
Accounts payable | 43,682 | 22,810 | ||
Accrued payroll, accrued and withheld payroll taxes | 37,162 | 31,997 | ||
Other accrued expenses | 8,528 | 3,526 | ||
Income taxes payable | 1,878 | 1,906 | ||
Deferred income taxes | 0 | 575 | ||
Accrued insurance claims | 7,853 | 6,850 | ||
Total current liabilities | 99,103 | 67,664 | ||
Accrued insurance claims — long term portion | 18,325 | 15,712 | ||
Deferred compensation liability | 22,771 | 18,237 | ||
Commitments and contingencies | ' | ' | ||
STOCKHOLDERS’ EQUITY: | ' | ' | ||
Common stock, $.01 par value; 100,000,000 shares authorized; 71,868,000 shares issued and outstanding in 2013 and 70,036,000 shares issued and outstanding in 2012 | 719 | 700 | ||
Additional paid-in capital | 168,329 | 113,495 | ||
Retained earnings | 127,464 | 127,042 | ||
Accumulated other comprehensive income, net of taxes | 49 | [1] | 127 | [1] |
Common stock in treasury, at cost, 1,892,000 shares in 2013 and 1,983,000 shares in 2012 | -11,418 | -11,794 | ||
Total stockholders’ equity | 285,143 | 229,570 | ||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $425,342 | $331,183 | ||
[1] | All amounts are net of tax. |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Current assets: | ' | ' |
Allowance for doubtful accounts | $3,919 | $3,970 |
Accumulated amortization of other intangible assets | $12,909 | $10,078 |
STOCKHOLDERS’ EQUITY: | ' | ' |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 71,868,000 | 70,036,000 |
Common stock, shares outstanding | 71,868,000 | 70,036,000 |
Common stock in treasury, shares | 1,892,000 | 1,983,000 |
Consolidated_Statements_Of_Com
Consolidated Statements Of Comprehensive Income (USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Statement [Abstract] | ' | ' | ' | |
Revenues | $1,149,890 | $1,077,435 | $889,065 | |
Operating costs and expenses: | ' | ' | ' | |
Costs of services provided | 995,104 | 930,814 | 766,958 | |
Selling, general and administrative | 91,998 | 79,277 | 65,306 | |
Other income: | ' | ' | ' | |
Investment and interest | 3,701 | 2,920 | 1,011 | |
Income before income taxes | 66,489 | 70,264 | 57,812 | |
Income taxes | 19,360 | 26,050 | 19,656 | |
Net income | 47,129 | 44,214 | 38,156 | |
Per share data: | ' | ' | ' | |
Basic earnings per common share (in dollars per share) | $0.68 | $0.65 | $0.57 | |
Diluted earnings per common share (in dollars per share) | $0.67 | $0.65 | $0.56 | |
Weighted average number of common shares outstanding: | ' | ' | ' | |
Basic (in shares) | 69,206 | 67,511 | 66,637 | |
Diluted (in shares) | 70,045 | 68,485 | 67,585 | |
Comprehensive income: | ' | ' | ' | |
Net income | 47,129 | 44,214 | 38,156 | |
Other comprehensive income: | ' | ' | ' | |
Unrealized gain/(loss) on available for sale marketable securities, net of taxes | -78 | [1] | -216 | 421 |
Total comprehensive income | $47,051 | $43,998 | $38,577 | |
[1] | All amounts are net of tax. |
Consolidated_Statements_Of_Cas
Consolidated Statements Of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net income | $47,129 | $44,214 | $38,156 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 6,204 | 5,116 | 4,387 |
Bad debt provision | 1,990 | 2,160 | 2,450 |
Deferred income (benefits) tax | -4,922 | -3,493 | 275 |
Stock-based compensation expense | 2,607 | 2,538 | 2,152 |
Amortization of premium on marketable securities | 537 | 654 | 999 |
Unrealized loss on marketable securities | 0 | 82 | 486 |
Unrealized (gain) loss on deferred compensation fund investments | -2,820 | -1,871 | 104 |
Changes in operating assets and liabilities: | ' | ' | ' |
Accounts and notes receivable | -50,879 | -11,634 | -24,769 |
Prepaid income taxes | 0 | 405 | 3,574 |
Inventories and supplies | -3,772 | -3,531 | -4,531 |
Notes receivable — long term | -3,956 | -340 | 3,572 |
Deferred compensation funding | -4,369 | -4,051 | -1,804 |
Accounts payable and other accrued expenses | 25,961 | 13,664 | -1,079 |
Accrued payroll, accrued and withheld payroll taxes | 6,349 | 6,142 | 6,319 |
Accrued insurance claims | 3,616 | 4,908 | 732 |
Deferred compensation liability | 7,721 | 6,337 | 2,145 |
Income taxes payable | -28 | 1,906 | 0 |
Prepaid expenses and other assets | 790 | -2,830 | -220 |
Net cash provided by operating activities | 32,158 | 60,376 | 32,948 |
Cash flows from investing activities: | ' | ' | ' |
Disposals of fixed assets | 158 | 26 | 22 |
Additions to property and equipment | -3,762 | -3,484 | -5,545 |
Purchases of marketable securities | -6,598 | -10,833 | -18,934 |
Sales of marketable securities | 15,807 | 19,978 | 29,971 |
Cash paid for acquisition | -5,000 | 0 | -1,000 |
Net cash provided by investing activities | 605 | 5,687 | 4,514 |
Cash flows from financing activities: | ' | ' | ' |
Dividends paid | -46,707 | -44,093 | -42,228 |
Reissuance of treasury stock pursuant to Dividend Reinvestment Plan | 107 | 118 | 128 |
Tax benefit from equity compensation plans | 2,615 | 2,649 | 1,222 |
Proceeds from the exercise of stock options | 6,428 | 5,573 | 2,363 |
Net cash used in financing activities | -37,557 | -35,753 | -38,515 |
Net change in cash and cash equivalents | -4,794 | 30,310 | -1,053 |
Cash and cash equivalents at beginning of the period | 68,949 | 38,639 | 39,692 |
Cash and cash equivalents at end of the period | 64,155 | 68,949 | 38,639 |
Supplementary Cash Flow Information: | ' | ' | ' |
Cash paid for interest | 4 | 3 | 2 |
Cash paid for interest | $21,694 | $24,681 | $14,614 |
Consolidated_Statements_Of_Sto
Consolidated Statements Of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Income [Member] | Retained Earnings [Member] | Treasury Stock [Member] | |
In Thousands, unless otherwise specified | |||||||
Balance at Dec. 31, 2010 | $213,079 | $693 | $100,138 | ($78) | $130,993 | ($18,667) | |
Balance (in shares) at Dec. 31, 2010 | ' | 69,315 | ' | ' | ' | ' | |
Comprehensive income: | ' | ' | ' | ' | ' | ' | |
Net income | 38,156 | ' | ' | ' | 38,156 | ' | |
Unrealized gain/(loss) on available for sale marketable securities, net of taxes | 421 | ' | ' | 421 | ' | ' | |
Total comprehensive income | 38,577 | ' | ' | ' | ' | ' | |
Exercise of stock options and other stock-based compensation, net of shares tendered for payment | 2,363 | 2 | 349 | ' | ' | 2,012 | |
Exercise of stock options and other stock-based compensation, net of shares tendered for payment (in shares) | ' | 158 | ' | ' | ' | ' | |
Tax benefit from equity compensation plans | 1,222 | ' | 1,222 | ' | ' | ' | |
Share-based compensation expense — stock options and restricted stock | 1,870 | ' | 1,870 | ' | ' | ' | |
Treasury shares issued for Deferred Compensation Plan funding and redemptions | 402 | ' | 367 | ' | ' | 35 | |
Shares issued pursuant to Employee Stock Plans | 1,233 | ' | 782 | ' | ' | 451 | |
Cash dividends | -42,228 | ' | ' | ' | -42,228 | ' | |
Shares issued pursuant to Dividend Reinvestment Plan | 128 | ' | 81 | ' | ' | 47 | |
Shares issued pursuant to acquisition | 1,080 | ' | 918 | ' | ' | 162 | |
Balance at Dec. 31, 2011 | 217,726 | 695 | 105,727 | 343 | 126,921 | -15,960 | |
Balance (in shares) at Dec. 31, 2011 | ' | 69,473 | ' | ' | ' | ' | |
Comprehensive income: | ' | ' | ' | ' | ' | ' | |
Net income | 44,214 | ' | ' | ' | 44,214 | ' | |
Unrealized gain/(loss) on available for sale marketable securities, net of taxes | -216 | ' | ' | -216 | ' | ' | |
Total comprehensive income | 43,998 | ' | ' | ' | ' | ' | |
Exercise of stock options and other stock-based compensation, net of shares tendered for payment | 5,573 | 5 | 4,098 | ' | ' | 1,470 | |
Exercise of stock options and other stock-based compensation, net of shares tendered for payment (in shares) | ' | 563 | ' | ' | ' | ' | |
Tax benefit from equity compensation plans | 2,649 | ' | 2,649 | ' | ' | ' | |
Share-based compensation expense — stock options and restricted stock | 1,897 | ' | 1,897 | ' | ' | ' | |
Treasury shares issued for Deferred Compensation Plan funding and redemptions | 453 | ' | 394 | ' | ' | 59 | |
Shares issued pursuant to Employee Stock Plans | 1,249 | ' | 1,278 | ' | ' | -29 | |
Cash dividends | -44,093 | ' | ' | ' | -44,093 | ' | |
Shares issued pursuant to Dividend Reinvestment Plan | 118 | ' | 85 | ' | ' | 33 | |
Shares issued pursuant to acquisition | 0 | ' | -2,633 | ' | ' | 2,633 | |
Balance at Dec. 31, 2012 | 229,570 | 700 | 113,495 | 127 | 127,042 | -11,794 | |
Balance (in shares) at Dec. 31, 2012 | ' | 70,036 | ' | ' | ' | ' | |
Comprehensive income: | ' | ' | ' | ' | ' | ' | |
Net income | 47,129 | ' | ' | ' | 47,129 | ' | |
Unrealized gain/(loss) on available for sale marketable securities, net of taxes | -78 | [1] | ' | ' | -78 | ' | ' |
Total comprehensive income | 47,051 | ' | ' | ' | ' | ' | |
Exercise of stock options and other stock-based compensation, net of shares tendered for payment | 6,428 | 7 | 6,381 | ' | ' | 40 | |
Exercise of stock options and other stock-based compensation, net of shares tendered for payment (in shares) | ' | 617 | ' | ' | ' | ' | |
Tax benefit from equity compensation plans | 2,615 | ' | 2,615 | ' | ' | ' | |
Share-based compensation expense — stock options and restricted stock | 2,045 | ' | 2,045 | ' | ' | ' | |
Treasury shares issued for Deferred Compensation Plan funding and redemptions | 360 | ' | 294 | ' | ' | 66 | |
Shares issued pursuant to Employee Stock Plans | 1,842 | ' | 1,370 | ' | ' | 472 | |
Cash dividends | -46,707 | ' | ' | ' | -46,707 | ' | |
Shares issued pursuant to Dividend Reinvestment Plan | 107 | ' | 309 | ' | ' | -202 | |
Shares issued pursuant to acquisition | 41,832 | 12 | 41,820 | ' | ' | 0 | |
Shares issued pursuant to acquisition (in shares) | ' | 1,215 | ' | ' | ' | ' | |
Balance at Dec. 31, 2013 | $285,143 | $719 | $168,329 | $49 | $127,464 | ($11,418) | |
Balance (in shares) at Dec. 31, 2013 | ' | 71,868 | ' | ' | ' | ' | |
[1] | All amounts are net of tax. |
Description_of_Business_and_Si
Description of Business and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Description of Business and Significant Accounting Policies | ' |
Description of Business and Significant Accounting Policies | |
Nature of Operations | |
We provide management, administrative and operating expertise and services to the housekeeping, laundry, linen, facility maintenance and dietary service departments of the health care industry, including nursing homes, retirement complexes, rehabilitation centers and hospitals located throughout the United States. Although we do not directly participate in any government reimbursement programs, our clients’ reimbursements are subject to government regulation. Therefore, they are directly affected by any legislation relating to Medicare and Medicaid reimbursement programs. | |
We provide our services primarily pursuant to full service agreements with our clients. In such agreements, we are responsible for the day to day management of the managers and hourly employees located at our clients’ facilities. We also provide services on the basis of a management-only agreement for a very limited number of clients. Our agreements with clients typically provide for a one year service term, cancelable by either party upon 30 to 90 days’ notice after the initial 90-day period. | |
We are organized into two reportable segments; housekeeping, laundry, linen and other services (“Housekeeping”), and dietary department services (“Dietary”). | |
Housekeeping consists of the managing of the client’s housekeeping department which is principally responsible for the cleaning, disinfecting and sanitizing of patient rooms and common areas of a client’s facility, as well as the laundering and processing of the personal clothing belonging to the facility’s patients. Also within the scope of this segment’s service is the responsibility for laundering and processing of the bed linens, uniforms and other assorted linen items utilized by a client facility. | |
Dietary consists of managing the client’s dietary department which is principally responsible for food purchasing, meal preparation and providing dietitian consulting professional services, which includes the development of a menu that meets the patient’s dietary needs. We began the Dietary operations in 1997. | |
As of December 31, 2013, we operate two wholly-owned subsidiaries, Huntingdon Holdings, Inc. (“Huntingdon”) and Healthcare Staff Leasing Solutions, LLC (“Staff Leasing”). Huntingdon invests our cash and cash equivalents as well as manages our portfolio of marketable securities. Staff Leasing is an entity formed in 2011 to offer professional employer organization (“PEO”) services to potential clients in the health care industry. As of December 31, 2013, we have PEO service contracts in several states. During the years 2011 through 2013, operating results from our PEO services contracts were not material and were included in our Housekeeping segment. | |
Principles of Consolidation | |
The accompanying consolidated financial statements include the accounts of Healthcare Services Group, Inc. and its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. | |
Fair Value of Financial Instruments | |
Our financial instruments consist principally of cash and cash equivalents, marketable securities, accounts and notes receivable, deferred compensation funding and accounts payable. Our marketable securities consist of tax-exempt municipal bond investments that are reported at fair value with the unrealized gains and losses included in our consolidated statements of comprehensive income. In accordance with generally accepted accounting principles in the United States ("U.S. GAAP"), we define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The fair value of our cash equivalents and marketable securities is determined based on “Level 2” inputs, which consists of quoted prices for similar assets or market corroborated inputs. We believe recorded values of all of our financial instruments approximate their current fair values because of their nature, stated interest rates and respective maturity dates or durations. | |
We have certain notes receivable that either do not bear interest or bear interest at a below market rate. Therefore, such notes receivable of $2,892,000 and $1,639,000 at December 31, 2013 and 2012, respectively, have been discounted to their present value and are reported at such values of $2,880,000 and $1,620,000 at December 31, 2013 and 2012, respectively. | |
Cash and Cash Equivalents | |
Cash and cash equivalents are held in U.S. financial institutions or in custodial accounts with U.S. financial institutions. Cash and cash equivalents are defined as short-term, highly liquid investments with a maturity of three months or less at time of purchase that are readily convertible into cash and have insignificant interest rate risk. | |
Investments in Marketable Securities | |
We define our marketable securities as fixed income investments which are highly liquid investments that can be readily purchased or sold using established markets. At December 31, 2013, we had marketable securities of $11,445,000 which were comprised primarily of tax exempt municipal bonds. These investments are reported at fair value on our balance sheet. For the year ended December 31, 2013, the accumulated other comprehensive income on our consolidated balance sheet, statements of comprehensive income and stockholders’ equity includes unrealized gains from marketable securities of $49,000 related to marketable securities which are not recognized under the fair value option in accordance with U.S. GAAP. The unrealized gains and losses are recorded net of income taxes. | |
We, in accordance with U.S. GAAP, define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). Effective January 1, 2010, we have not elected the fair value option for marketable securities as we believe these assets are more representative of our investing activities. These assets are available for future needs of the Company to support our current and projected growth, if required. In accordance with U.S. GAAP, our investments in marketable securities are classified within Level 2 of the fair value hierarchy. These investment securities are valued based upon quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. | |
Our investment policy is to seek to manage these assets to achieve our goal of preserving principal, maintaining adequate liquidity at all times, and maximizing returns subject to our investment guidelines. Our investment policy limits investment to certain types of instruments issued by institutions primarily with investment grade credit ratings and places restrictions on maturities and concentration by type and issuer. | |
We periodically review our investments in marketable securities for other than temporary declines in fair value below the cost basis and whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. As of December 31, 2013, we believe that recorded value of our investments in marketable securities was recoverable in all material respects. | |
Inventories and Supplies | |
Inventories and supplies include housekeeping, linen and laundry supplies, as well as food provisions and supplies. Inventories and supplies are stated at cost to approximate a first-in, first-out (FIFO) basis. Linen supplies are amortized on a straight-line basis over their estimated useful life of 24 months. | |
Property and Equipment | |
Property and equipment are stated at cost. Additions, renewals and improvements are capitalized, while maintenance and repair costs are expensed when incurred. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the respective accounts and any resulting gain or loss is included in income. Depreciation is provided by the straight-line method over the following estimated useful lives: laundry and linen equipment installations — 3 to 7 years; housekeeping, and office furniture and equipment — 3 to 7 years; autos and trucks — 3 years. Depreciation expense on property and equipment for the years ended December 31, 2013, 2012 and 2011 was $3,373,000, $2,947,000 and $2,416,000, respectively. | |
Revenue Recognition | |
Revenues from our service agreements with clients are recognized as services are performed. | |
As a distributor of laundry equipment, we occasionally sell laundry installations to certain clients. The sales in most cases represent the construction and installation of a turn-key operation and are for payment terms ranging from 24 to 60 months. Our accounting policy for these sales is to recognize the gross profit over the life of the payments associated with our financing of the transactions. During 2013, 2012 and 2011 laundry installation sales were not material. | |
Income Taxes | |
We use the asset and liability method of accounting for income taxes. Under this method, income tax expense is recognized for the amount of taxes payable or refundable for the current year. We accrue for probable tax obligations as required by facts and circumstances in the various regulatory environments. In addition, deferred tax assets and liabilities are recognized for expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities. If appropriate, we would record a valuation allowance to reduce deferred tax assets to an amount for which realization is more likely than not. Deferred tax assets and liabilities are more fully described in subsequent Notes to the Consolidated Financial Statements. | |
In accordance with U.S. GAAP, we account for uncertain income tax positions reflected within our financial statements based on a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. | |
Earnings per Common Share | |
Basic earnings per common share are computed by dividing income available to common shareholders by the weighted-average common shares outstanding for the period. Diluted earnings per common share reflect the weighted-average common shares outstanding and dilutive common shares, such as those issuable upon exercise of stock options. | |
Share-Based Compensation | |
U.S. GAAP addresses the accounting for share-based compensation, specifically, the measurement and recognition of compensation expense, based on estimated fair values, for all share-based awards made to employees and directors, including stock options and participation in the Company’s employee stock purchase plan. We estimate the fair value of share-based awards on the date of grant using the Black-Scholes option valuation model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense in the Company’s consolidated statements of income over the requisite service periods. We use the straight-line single option method of expensing share-based awards in our consolidated financial statements of income. Because share-based compensation expense is based on awards that are ultimately expected to vest, share-based compensation expense will be reduced to account for estimated forfeitures. Forfeitures are to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. | |
Advertising Costs | |
Advertising costs are expensed when incurred. Advertising costs were not material for the years ended December 31, 2013, 2012 and 2011. | |
Impairment of Long-Lived Assets | |
We account for long-lived assets in accordance with the criteria established in U.S. GAAP, which states that the carrying amounts of long-lived assets be periodically reviewed to determine whether current events or circumstances warrant adjustment to such carrying amounts. Any impairment is measured by the amount that the carrying value of such assets exceeds their fair value, primarily based on estimated discounted cash flows. Considerable management judgment is necessary to estimate the fair value of assets. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value, less cost to sell. | |
Acquisitions | |
We acquire businesses and/or assets that augment and complement our operations from time to time. These acquisitions are accounted for under the purchase method of accounting. The consolidated financial statements include the results of operations from such business combinations as of the date of acquisition. | |
Identifiable Intangible Assets and Goodwill | |
Identifiable intangible assets with finite lives are amortized on a straight-line basis over their respective lives. Goodwill represents the excess of costs over the fair value of net assets of the acquired business. We review the carrying values of goodwill at least annually during the fourth quarter of each year to assess impairment because these assets are not amortized. Additionally, we review the carrying value of any intangible asset or goodwill whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. We assess impairment by comparing the fair value of an identifiable intangible asset or reporting unit with its carrying value. Impairments are recorded when incurred. No impairment loss was recognized on our intangible assets for the years ended December 31, 2013, 2012 or 2011. | |
Treasury Stock | |
Treasury stock purchases are accounted for under the cost method whereby the entire cost of the acquired stock is recorded as treasury stock. Gains or losses on the subsequent reissuance of shares are credited or charged to additional paid in capital. | |
Reclassification | |
Certain prior period amounts have been reclassified to conform to current year presentation. | |
Use of Estimates in Financial Statements | |
In preparing financial statements in conformity with U.S. GAAP, we make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. Significant estimates are used for, but not limited to, our allowance for doubtful accounts, accrued insurance claims, asset valuations and review for potential impairment, and deferred taxes. The estimates are based upon various factors including current and historical trends, as well as other pertinent industry and regulatory authority information. We regularly evaluate this information to determine if it is necessary to update the basis for our estimates and to compensate for known changes. | |
Concentrations of Credit Risk | |
The accounting guidance requires the disclosure of significant concentrations of credit risk, regardless of the degree of such risk. Financial instruments, as defined by U.S. GAAP, which potentially subject us to concentrations of credit risk, consist principally of cash and cash equivalents, marketable securities, deferred compensation funding and accounts and notes receivable. We define our marketable securities as fixed income investments which are highly liquid investments that can be readily purchased or sold using established markets. At December 31, 2013 and 2012, substantially all of our cash and cash equivalents, and marketable securities were held in one large financial institution located in the United States. | |
Our clients are concentrated in the health care industry, primarily providers of long-term care. Many of our clients’ revenues are highly contingent on Medicare, Medicaid and third party payors’ reimbursement funding rates. Congress has enacted a number of major laws during the past decade that have significantly altered, or threatened to alter, overall government reimbursement for nursing home services. These changes and lack of substantive reimbursement funding rate reform legislation, as well as other trends in the long-term care industry have affected and could adversely affect the liquidity of our clients, resulting in their inability to make payments to us on agreed upon payment terms. These factors, in addition to delays in payments from clients, have resulted in, and could continue to result in, significant additional bad debts in the future. | |
As a result of the current economic crisis, many states have significant budget deficits. State Medicaid programs are experiencing increased demand, and with lower revenues than projected, they have fewer resources to support their Medicaid programs. In addition, comprehensive health care legislation under the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 (together, the “Act”) was signed into law in March 2010. The Act will significantly impact the governmental healthcare programs in which our clients participate, and reimbursements received thereunder from governmental or third-party payors. Furthermore, in the coming year and beyond, new proposals or additional changes in existing regulations could be made to the Act which could directly impact the governmental reimbursement programs in which our clients participate. As a result, some state Medicaid programs are reconsidering previously approved increases in nursing home reimbursement or are considering delaying or foregoing those increases. A few states have indicated that it is possible they will run out of cash to pay Medicaid providers, including nursing homes. Any negative changes in our clients’ reimbursements may negatively impact our results of operations. Although we are currently evaluating the Act’s effect on our client base, we may not know the full effect until such time as these laws are fully implemented and Centers for Medicare and Medicaid Services (“CMS”) and other agencies issue applicable regulations or guidance. | |
In 2009 and 2010, Federal economic stimulus legislation was enacted to counter the impact of the economic crisis on state budgets. The legislation included the temporary provision of additional federal matching funds to help states maintain their Medicaid programs. This legislation to provide states with an extension of this fiscal relief was extended through June 2011, but at a reduced reimbursement rate. In July 2011, CMS issued a final rule that reduced Medicare payments to nursing centers by 11.1% and changed the reimbursement for the provision of group rehabilitation therapy services to Medicare beneficiaries. This new rule was effective as of October 1, 2011. Even if federal or state legislation is enacted that provides additional funding to Medicaid providers, given the volatility of the economic environment, it is difficult to predict the impact of this legislation on our clients’ liquidity and their ability to make payments to us as agreed. | |
In January 2013, the U.S. Congress enacted the American Taxpayer Relief Act of 2012, which delayed automatic spending cuts, including reduced Medicare payments to plans and providers up to 2%. These discretionary spending caps were originally enacted under provisions in the Budget Control Act of 2011, an initiative to reduce the federal deficit through the year 2021, also known as “sequestration.” The sequestration went into effect starting March 2013. In December 2013, the U.S. Congress enacted the Bipartisan Budget Act of 2013, which reduces the impact of the sequestration over the next two years, beginning in fiscal year 2014 and extended the reduction in Medicare payments to plans and providers for two years through the year 2023. | |
Significant Clients | |
We have several clients who each have made a contribution to our total consolidated revenues ranging from 3% to 5% for the year ended December 31, 2013. Although we expect to continue relationships with these clients, there can be no assurance thereof. The loss of such clients, or a significant reduction in the revenues we receive from these clients, would have a material adverse effect on the results of operations of our two operating segments. In addition, if such clients change their respective payment terms it could increase our accounts receivable balance and have a material adverse effect on our cash flows and cash and cash equivalents. | |
Recent Accounting Pronouncements | |
In February 2013, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This ASU requires an entity to include additional disclosures about significant amounts reclassified out of accumulated other comprehensive income by component. An entity has the option to present this information, either on the face of the statement where net income is presented or in the accompanying notes. This ASU does not change current requirements for reporting net income or other comprehensive income under current accounting guidance. This ASU is effective for reporting periods beginning after December 15, 2012. The adoption of this standard in 2013 did not have a material impact on the Company's consolidated results of operations, cash flows, or financial position. |
Acquisition
Acquisition | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Business Combinations [Abstract] | ' | |||
Acquisition | ' | |||
Acquisition | ||||
On July 12, 2013, the Company acquired substantially all of the operating assets of Platinum Health Services, LLC, a Delaware limited liability company and Platinum Health Services PEO, LLC, a Delaware limited liability company (collectively “Platinum”) pursuant to an Asset Purchase Agreement dated July 11, 2013. Platinum was a privately-held provider of professional housekeeping, laundry and maintenance services to long-term and post-acute care facilities and operated solely within the United States. The acquisition has been included within the consolidated results of operations and financial condition from the date of the acquisition. | ||||
The total purchase consideration was $46,832,000, which consisted of a cash payment of $5,000,000, the issuance of 1,215,000 shares of the Company's common stock with a fair value of $30,062,000 and contingent consideration with a fair value of $11,770,000 as of December 31, 2013. Upon the achievement of certain financial and retention targets, the selling stockholders will be eligible for contingent consideration paid by the future issuance of the Company's common stock. | ||||
The purchase consideration of the acquisition has been preliminarily allocated to the assets acquired and liabilities assumed based on estimated fair values. The preliminary allocation is as follows: | ||||
Fair value of assets acquired, net of liabilities assumed | $ | 2,604,000 | ||
Goodwill | 23,228,000 | |||
Intangible assets | 21,000,000 | |||
Net assets acquired | $ | 46,832,000 | ||
Goodwill, which is expected to be amortized for tax purposes, represents the excess of the purchase price over the fair value of the net assets acquired, and is primarily attributable to the assembled workforce of the acquired business. Goodwill was allocated to our Housekeeping reportable operating segment. Intangible assets consist of customer relationships of $21,000,000 and has been assigned an estimated useful life of 10 years. | ||||
Pro forma results are not presented as the acquisition was not deemed significant to the Company's operating results pursuant to Regulation S-X for the three months and years ended December 31, 2013 and 2012. |
Changes_in_Accumulated_Other_C
Changes in Accumulated Other Comprehensive Income by Component | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | |||
Changes in Accumulated Other Comprehensive Income by Component | ' | |||
Changes in Accumulated Other Comprehensive Income by Component | ||||
U.S. GAAP establishes standards for presenting information about significant items reclassified out of accumulated other comprehensive income by component. As of December 31, 2013 and 2012, respectively, we generated other comprehensive income from one component. This component relates to the unrealized gains and losses from our available for sale marketable securities during a given reporting period. Effective January 1, 2013, we elected to present this information in a separate disclosure. | ||||
The following table provides a summary of changes in accumulated other comprehensive income: | ||||
Unrealized Gains and Losses on Available for Sale Securities (1) | ||||
Accumulated other comprehensive income — December 31, 2012 | $ | 127,000 | ||
Other comprehensive income before reclassifications | (43,000 | ) | ||
Amounts reclassified from accumulated other comprehensive income (2)(3) | (35,000 | ) | ||
Net current period change in other comprehensive income | (78,000 | ) | ||
Accumulated other comprehensive income — December 31, 2013 | $ | 49,000 | ||
-1 | All amounts are net of tax. | |||
-2 | Realized gains and losses are recorded pre-tax in the other income - investment and interest caption on our consolidated statements of comprehensive income. | |||
-3 | The Company recorded $49,000 of realized gains from the sale of available for sale securities. Refer to Note 5 herein for further information. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||
Goodwill and Other Intangible Assets | ||||||||||||
Goodwill represents the excess of the purchase price over the fair value of net assets acquired of businesses and is not amortized. Goodwill is evaluated for impairment on an annual basis, or more frequently if impairment indicators arise, using a fair-value-based test that compares the fair value of the reporting unit to its carrying value. The carrying value of goodwill as of December 31, 2013 and 2012 was $40,183,000 and $16,955,000, respectively. | ||||||||||||
The changes in the carrying values of goodwill by reportable operating segment, as described in Note 14 herein, were as follows: | ||||||||||||
Reportable Segments | ||||||||||||
Housekeeping | Dietary | Total | ||||||||||
December 31, 2012 | $ | 14,894,000 | $ | 2,061,000 | $ | 16,955,000 | ||||||
Goodwill acquired during the year | 23,228,000 | — | 23,228,000 | |||||||||
December 31, 2013 | $ | 38,122,000 | $ | 2,061,000 | $ | 40,183,000 | ||||||
The cost of intangible assets is based on fair values at the date of acquisition. Intangible assets with determinable lives are amortized on a straight-line basis over their estimated useful life (between 7 and 10 years). | ||||||||||||
The following table sets forth the amounts of our identifiable intangible assets subject to amortization, which were acquired in acquisitions. | ||||||||||||
December 31, | ||||||||||||
2013 | 2012 | |||||||||||
Customer relationships | $ | 35,481,000 | $ | 14,481,000 | ||||||||
Non-compete agreements | 800,000 | 800,000 | ||||||||||
Total other intangibles, gross | 36,281,000 | 15,281,000 | ||||||||||
Less accumulated amortization | 12,909,000 | 10,078,000 | ||||||||||
Other intangibles, net | $ | 23,372,000 | $ | 5,203,000 | ||||||||
The customer relationships have a weighted-average amortization period of eight years and the non-compete agreements have a weighted-average amortization period of eight years. The following table sets forth the estimated amortization expense for intangibles subject to amortization for the following five fiscal years: | ||||||||||||
Period/Year | Customer | Non-Compete | Total | |||||||||
Relationships | Agreements | |||||||||||
2014 | $ | 3,211,000 | $ | 67,000 | $ | 3,278,000 | ||||||
2015 | 3,211,000 | — | 3,211,000 | |||||||||
2016 | 2,668,000 | — | 2,668,000 | |||||||||
2017 | 2,397,000 | — | 2,397,000 | |||||||||
2018 | 2,298,000 | — | 2,298,000 | |||||||||
Thereafter | 9,520,000 | — | 9,520,000 | |||||||||
Amortization expense for the years ended December 31, 2013, 2012 and 2011 was $2,831,000, $2,169,000 and $1,971,000, respectively. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||
Fair Value Measurements | ' | |||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||
We, in accordance with U.S. GAAP, define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). Effective January 1, 2010, we have not elected the fair value option for marketable securities as we believe these assets are more representative of our investing activities. These assets are available for future needs of the Company to support our current and projected growth, if required. In accordance with U.S. GAAP, our investments in marketable securities are classified within Level 2 of the fair value hierarchy. These investment securities are valued based upon quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. | ||||||||||||||||||||
The Company’s financial instruments consist mainly of cash and cash equivalents, available for sale marketable securities, accounts and notes receivable, prepaid expenses and other, and accounts payable (including income taxes payable and accrued expenses). The carrying value of these financial instruments approximates their fair value because of their short-term nature. The fair value of financial instruments is defined as the amount at which the instrument could be exchanged in a current transaction between willing parties. | ||||||||||||||||||||
The following tables provide fair value measurement information for our marketable securities and deferred compensation fund investment assets as of December 31, 2013 and 2012: | ||||||||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||
Fair Value Measurement Using: | ||||||||||||||||||||
Carrying | Total Fair | Quoted | Significant | Significant | ||||||||||||||||
Amount | Value | Prices | Other | Unobservable | ||||||||||||||||
in Active | Observable | Inputs | ||||||||||||||||||
Markets | Inputs | (Level 3) | ||||||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||||||
Financial Assets: | ||||||||||||||||||||
Marketable securities | ||||||||||||||||||||
Municipal bonds | $ | 11,445,000 | $ | 11,445,000 | $ | — | $ | 11,445,000 | $ | — | ||||||||||
Deferred compensation fund | ||||||||||||||||||||
Money Market | $ | 3,592,000 | $ | 3,592,000 | $ | — | $ | 3,592,000 | $ | — | ||||||||||
Balanced and Lifestyle | 8,174,000 | 8,174,000 | 8,174,000 | — | — | |||||||||||||||
Large Cap Growth | 4,292,000 | 4,292,000 | 4,292,000 | — | — | |||||||||||||||
Small Cap Value | 2,173,000 | 2,173,000 | 2,173,000 | — | — | |||||||||||||||
Fixed Income | 1,962,000 | 1,962,000 | 1,962,000 | — | — | |||||||||||||||
International | 1,079,000 | 1,079,000 | 1,079,000 | — | — | |||||||||||||||
Mid Cap Growth | 928,000 | 928,000 | 928,000 | — | — | |||||||||||||||
Deferred compensation fund | $ | 22,200,000 | $ | 22,200,000 | $ | 18,608,000 | $ | 3,592,000 | $ | — | ||||||||||
As of December 31, 2012 | ||||||||||||||||||||
Fair Value Measurement Using: | ||||||||||||||||||||
Carrying | Total Fair | Quoted | Significant | Significant | ||||||||||||||||
Amount | Value | Prices | Other | Unobservable | ||||||||||||||||
in Active | Observable | Inputs | ||||||||||||||||||
Markets | Inputs | (Level 3) | ||||||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||||||
Financial Assets: | ||||||||||||||||||||
Marketable securities | ||||||||||||||||||||
Municipal bonds | $ | 21,322,000 | $ | 21,322,000 | $ | — | $ | 21,322,000 | $ | — | ||||||||||
Deferred compensation fund | ||||||||||||||||||||
Money Market | $ | 4,114,000 | $ | 4,114,000 | $ | — | $ | 4,114,000 | $ | — | ||||||||||
Balanced and Lifestyle | 6,311,000 | 6,311,000 | 6,311,000 | — | — | |||||||||||||||
Large Cap Growth | 2,724,000 | 2,724,000 | 2,724,000 | — | — | |||||||||||||||
Small Cap Value | 1,936,000 | 1,936,000 | 1,936,000 | — | — | |||||||||||||||
Fixed Income | 1,461,000 | 1,461,000 | 1,461,000 | — | — | |||||||||||||||
International | 785,000 | 785,000 | 785,000 | — | — | |||||||||||||||
Mid Cap Growth | 500,000 | 500,000 | 500,000 | — | — | |||||||||||||||
Deferred compensation fund | $ | 17,831,000 | $ | 17,831,000 | $ | 13,717,000 | $ | 4,114,000 | $ | — | ||||||||||
The fair value of the municipal bonds is measured using third party pricing service data. The fair value of equity investments in the funded deferred compensation plan are valued (Level 1) based on quoted market prices. The money market fund in the funded deferred compensation plan is valued (Level 2) at the net asset value (“NAV”) of the shares held by the plan at the end of the period. As a practical expedient, the fair value of our money market fund is valued at the NAV as determined by the custodian of the fund. The money market fund includes short-term United States dollar denominated money-market instruments. The money market fund can be redeemed at its NAV at its measurement date as there are no significant restrictions on the ability of participants to sell this investment. These assets will be redeemed by the plan participants on an as needed basis. | ||||||||||||||||||||
For the year ended December 31, 2013, there were no unrealized gains or losses recorded. For the years ended December 31, 2012 and 2011, we recorded unrealized losses from marketable securities of $82,000 and $486,000 respectively, for investments recorded under the fair value option. | ||||||||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | Other-than-temporary Impairments | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||||
Type of security: | ||||||||||||||||||||
Municipal bonds — available for sale | 11,364,000 | 83,000 | (2,000 | ) | 11,445,000 | — | ||||||||||||||
Total debt securities | $ | 11,364,000 | $ | 83,000 | $ | (2,000 | ) | $ | 11,445,000 | $ | — | |||||||||
December 31, 2012 | ||||||||||||||||||||
Type of security: | ||||||||||||||||||||
Municipal bonds — available for sale | 21,111,000 | 220,000 | (9,000 | ) | 21,322,000 | — | ||||||||||||||
Total debt securities | $ | 21,111,000 | $ | 220,000 | $ | (9,000 | ) | $ | 21,322,000 | $ | — | |||||||||
December 31, 2011 | ||||||||||||||||||||
Type of security: | ||||||||||||||||||||
Municipal bonds | $ | 2,167,000 | $ | 82,000 | $ | — | $ | 2,249,000 | $ | — | ||||||||||
Municipal bonds — available for sale | 28,745,000 | 352,000 | (9,000 | ) | 29,088,000 | — | ||||||||||||||
Total debt securities | $ | 30,912,000 | $ | 434,000 | $ | (9,000 | ) | $ | 31,337,000 | $ | — | |||||||||
For the years ended December 31, 2013, 2012 and 2011, we received total proceeds of $14,985,000, $16,838,000 and $12,507,000, respectively, from sales of available for sale municipal bonds. These sales resulted in realized gains of $49,000, $229,000 and $95,000 recorded in other income – investment and interest caption on our statement of comprehensive income for the years ended December 31, 2013, 2012 and 2011, respectively. The basis for the sale of these securities was a specific identification of each bond sold during this period. | ||||||||||||||||||||
The following tables include contractual maturities of debt securities held at December 31, 2013 and 2012, which are classified as marketable securities in the consolidated Balance Sheet. | ||||||||||||||||||||
Municipal Bonds — Available for Sale | ||||||||||||||||||||
Contractual maturity: | December 31, 2013 | December 31, 2012 | ||||||||||||||||||
Maturing in one year or less | $ | 1,846,000 | $ | 5,164,000 | ||||||||||||||||
Maturing after one year through three years | 7,113,000 | 12,134,000 | ||||||||||||||||||
Maturing after three years | 2,486,000 | 4,024,000 | ||||||||||||||||||
Total debt securities | $ | 11,445,000 | $ | 21,322,000 | ||||||||||||||||
Accounts_and_Notes_Receivable
Accounts and Notes Receivable | 12 Months Ended |
Dec. 31, 2013 | |
Receivables [Abstract] | ' |
Accounts and Notes Receivable | ' |
Accounts and Notes Receivable | |
We expend considerable effort to collect the amounts due for our services on the terms agreed upon with our clients. Many of our clients participate in programs funded by federal and state governmental agencies which historically have encountered delays in making payments to its program participants. Congress has enacted a number of laws during the past decade that have significantly altered, or may alter, overall government reimbursement for nursing home services. Because our clients’ revenues are generally dependent on Medicare and Medicaid reimbursement funding rates and mechanisms, the overall effect of these laws and trends in the long term care industry have affected and could adversely affect the liquidity of our clients, resulting in their inability to make payments to us on agreed upon payment terms. These factors, in addition to delays in payments from clients, have resulted in and could continue to result in significant additional bad debts in the near future. Whenever possible, when a client falls behind in making agreed-upon payments, we convert the unpaid accounts receivable to interest bearing promissory notes. The promissory notes receivable provide a means by which to further evidence the amounts owed and provide a definitive repayment plan and therefore may ultimately enhance our ability to collect the amounts due. At December 31, 2013 and 2012, we had $16,116,000 and $10,730,000, net of reserves, respectively, of such promissory notes outstanding. Additionally, we consider restructuring service agreements from full service to management-only service in the case of certain clients experiencing financial difficulties. We believe that such restructurings may provide us with a means to maintain a relationship with the client while at the same time minimizing collection exposure. |
Allowance_For_Doubtful_Account
Allowance For Doubtful Accounts | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||||||
Allowance for Doubtful Accounts | ' | |||||||||||||||||||
Allowance for Doubtful Accounts | ||||||||||||||||||||
The allowance for doubtful accounts is established as losses are estimated to have occurred through a provision for bad debts charged to earnings. The allowance for doubtful accounts is evaluated based on our periodic review of accounts and notes receivable and is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | ||||||||||||||||||||
As a result of the current economic crisis, many states have significant budget deficits. State Medicaid programs are experiencing increased demand, and with lower revenues than projected, they have fewer resources to support their Medicaid programs. In addition, comprehensive health care legislation under the Act was signed into law in March 2010. The Act will significantly impact the governmental healthcare programs in which our clients participate, and reimbursements received thereunder from governmental or third-party payors. Furthermore, in the coming year and beyond, new proposals or additional changes in existing regulations could be made to the Act which could directly impact the governmental reimbursement programs in which our clients participate. As a result, some state Medicaid programs are reconsidering previously approved increases in nursing home reimbursement or are considering delaying or foregoing those increases. A few states have indicated it is possible they will run out of cash to pay Medicaid providers, including nursing homes. Any negative changes in our clients’ reimbursements may negatively impact our results of operations. Although we are currently evaluating the Act’s effect on our client base, we may not know the full effect until such time as these laws are fully implemented and CMS and other agencies issue applicable regulations or guidance. | ||||||||||||||||||||
In 2009 and 2010, Federal economic stimulus legislation was enacted to counter the impact of the economic crisis on state budgets. The legislation included the temporary provision of additional federal matching funds to help states maintain their Medicaid programs. This legislation to provide states with an extension of this fiscal relief was extended through June 2011, but at a reduced reimbursement rate. In July 2011, CMS issued a final rule that reduced Medicare payments to nursing centers by 11.1% and changed the reimbursement for the provision of group rehabilitation therapy services to Medicare beneficiaries. This new rule was effective as of October 1, 2011. Even if federal or state legislation is enacted that provides additional funding to Medicaid providers, given the volatility of the economic environment, it is difficult to predict the impact of this legislation on our clients’ liquidity and their ability to make payments to us as agreed. | ||||||||||||||||||||
In January 2013, the U.S. Congress enacted the American Taxpayer Relief Act of 2012, which delayed automatic spending cuts, including reduced Medicare payments to plans and providers up to 2%. These discretionary spending caps were originally enacted under provisions in the Budget Control Act of 2011, an initiative to reduce the federal deficit through the year 2021, also known as “sequestration.” The sequestration went into effect starting March 2013. In December 2013, the U.S. Congress enacted the Bipartisan Budget Act of 2013, which reduces the impact of the sequestration over the next two years, beginning in fiscal year 2014 and extended the reduction in Medicare payments to plans and providers for two years through the year 2023. | ||||||||||||||||||||
We have had varying collection experience with respect to our accounts and notes receivable. When contractual terms are not met, we generally encounter difficulty in collecting amounts due from certain of our clients. Therefore, we have sometimes been required to extend the period of payment for certain clients beyond contractual terms. These clients include those who have terminated service agreements and slow payers experiencing financial difficulties. In order to provide for these collection problems and the general risk associated with the granting of credit terms, we have recorded the following bad debt provisions (in an Allowance for Doubtful Accounts): | ||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Bad debt provision | $ | 1,990,000 | $ | 2,160,000 | $ | 2,450,000 | ||||||||||||||
In making our credit evaluations, in addition to analyzing and anticipating, where possible, the specific cases described above, we consider the general collection risk associated with trends in the long-term care industry. We also establish credit limits, perform ongoing credit evaluation and monitor accounts to minimize the risk of loss. Notwithstanding our efforts to minimize credit risk exposure, our clients could be adversely affected if future industry trends change in such a manner as to negatively impact their cash flows. If our clients experience a negative impact in their cash flows, it would have a material adverse effect on our results of operations and financial condition. | ||||||||||||||||||||
Impaired Notes Receivable | ||||||||||||||||||||
We evaluate our notes receivable for impairment quarterly and on an individual client basis. Notes receivable considered impaired are generally attributable to clients that are either in bankruptcy, are subject to collection activity or those slow payers that are experiencing financial difficulties. In the event that our evaluation results in a determination that a note receivable is impaired, it is valued at the present value of expected cash flows or market value of related collateral. Summary schedules of impaired notes receivable, and the related reserve, for the years ended December 31, 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||
Impaired Notes Receivable | ||||||||||||||||||||
Year ended December 31, | Balance Beginning of Year | Additions | Deductions | Balance End of Year | Average Outstanding Balance | |||||||||||||||
2013 | $ | 1,639,000 | $ | 1,267,000 | $ | 14,000 | $ | 2,892,000 | $ | 2,266,000 | ||||||||||
2012 | $ | 1,855,000 | $ | — | $ | 216,000 | $ | 1,639,000 | $ | 1,747,000 | ||||||||||
2011 | $ | 1,910,000 | $ | 5,000 | $ | 60,000 | $ | 1,855,000 | $ | 1,883,000 | ||||||||||
Reserve for Impaired Notes Receivable | ||||||||||||||||||||
Year ended December 31, | Balance Beginning of Year | Additions | Deductions | Balance End of Year | ||||||||||||||||
2013 | $ | 958,000 | $ | 1,072,000 | $ | 11,000 | $ | 2,019,000 | ||||||||||||
2012 | $ | 1,066,000 | $ | 108,000 | $ | 216,000 | $ | 958,000 | ||||||||||||
2011 | $ | 930,000 | $ | 196,000 | $ | 60,000 | $ | 1,066,000 | ||||||||||||
For impaired notes receivable, interest income is recognized on a cost recovery basis only. As a result, no interest income was recognized on impaired notes receivable. We follow an income recognition policy on all other notes receivable that does not recognize interest income until cash payments are received. This policy was established, recognizing the environment of the long-term care industry, and not because such notes receivable are necessarily impaired. The difference between income recognition on a full accrual basis and cash basis, for notes receivable that are not considered impaired, is not material. |
Lease_Commitments
Lease Commitments | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Leases, Operating [Abstract] | ' | |||||||||||
Lease Commitments | ' | |||||||||||
Lease Commitments | ||||||||||||
We lease office facilities, equipment and autos under operating leases expiring on various dates through 2016. Certain office leases contain renewal options. The following is a schedule, by calendar year, of future minimum lease payments under operating leases that have remaining terms as of December 31, 2013. | ||||||||||||
Period/Year | Operating | |||||||||||
Leases | ||||||||||||
2014 | $ | 1,063,000 | ||||||||||
2015 | 340,000 | |||||||||||
2016 | 70,000 | |||||||||||
2017 | — | |||||||||||
2018 | — | |||||||||||
Thereafter | — | |||||||||||
Total minimum lease payments | $ | 1,473,000 | ||||||||||
Certain property leases provide for scheduled rent escalations. We do not consider the scheduled rent escalations to be material to our operating lease expenses individually or in the aggregate. Total expense for all operating leases was as follows: | ||||||||||||
Year Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Operating lease expense | $ | 1,239,000 | $ | 1,451,000 | $ | 1,336,000 | ||||||
ShareBased_Compensation
Share-Based Compensation | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||
Share-Based Compensation | ' | ||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||
On May 29, 2012, the Company's shareholders adopted and approved the 2012 Equity Incentive Plan (the "2012 Plan"), under which current or prospective officers, employees, non-employee directors and advisors can receive share-based awards such as stock options, restricted stock and other stock awards. The 2012 Plan seeks to promote the highest level of performance by providing an economic interest in the long-term success of the Company. As of this date, no further grants were permitted under any previously existing stock plans (the "Pre-existing Plans"). Additionally, all remaining shares available for future grants under the Pre-existing Plans became available for issuance under the 2012 Plan. | |||||||||||||||||||||
In addition to the 2012 Plan, the Company also had two compensation plans at December 31, 2013 which are described below: the Employee Stock Purchase Plan (the “ESPP”) and the Supplemental Executive Retirement Plan (the “SERP”). | |||||||||||||||||||||
A summary of stock-based compensation expense for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||
December 31, | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Stock Options | $ | 2,017,000 | $ | 1,897,000 | $ | 1,870,000 | |||||||||||||||
Restricted Stock | 28,000 | — | — | ||||||||||||||||||
Employee Stock Purchase Plan (ESPP) | 562,000 | 641,000 | 282,000 | ||||||||||||||||||
Total pre-tax stock-based compensation expense charged against income (1) | $ | 2,607,000 | $ | 2,538,000 | $ | 2,152,000 | |||||||||||||||
-1 | Stock-based compensation expense is recorded in the selling, general and administrative caption in our consolidated statements of comprehensive income. | ||||||||||||||||||||
With respect to our SERP, we recorded expense of $538,000, $560,000 and $444,000 (representing the Company’s 25% match of participants’ deferrals) for the years ended December 31, 2013, 2012 and 2011, respectively. Both the SERP match and deferrals are included in the selling, general and administrative caption in our consolidated statements of comprehensive income. | |||||||||||||||||||||
2012 Equity Incentive Plan | |||||||||||||||||||||
The Nominating, Compensation and Stock Option Committee of the Board of Directors is responsible for determining the individuals who will be granted stock awards, the number of stock awards each individual will receive, the price per share (in accordance with the terms of our 2012 Plan), and the exercise period of each stock award. | |||||||||||||||||||||
We have outstanding stock awards that were granted under the Pre-existing Plans to non-employee directors, officers and employees of the Company and other specified groups, depending on the Pre-existing Plan. No further grants are allowed under the Pre-existing Plans. As of December 31, 2013, 5,277,000 shares of common stock were reserved for issuance under our 2012 Plan, including 2,793,000 shares which are available for future grant. The stock price will not be less than the fair market value of the common stock on the date the award is granted. No stock grant will have a term in excess of ten years. Since 2008, all awards granted become vested and exercisable ratably over a five year period on each yearly anniversary date of the stock grant. | |||||||||||||||||||||
A summary of our stock option activity is as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Weighted Average Exercise Price | Number of Shares | Weighted Average Exercise Price | Number of Shares | Weighted Average Exercise Price | Number of Shares | ||||||||||||||||
Beginning of period | $ | 13.18 | 2,632,000 | $ | 10.97 | 2,912,000 | $ | 9.14 | 3,002,000 | ||||||||||||
Granted | 23.5 | 564,000 | 17.5 | 601,000 | 16.11 | 510,000 | |||||||||||||||
Cancelled | 18.18 | (88,000 | ) | 14.53 | (134,000 | ) | 12.67 | (96,000 | ) | ||||||||||||
Exercised | 10.37 | (625,000 | ) | 7.81 | (747,000 | ) | 4.93 | (504,000 | ) | ||||||||||||
End of period | $ | 16.05 | 2,483,000 | $ | 13.18 | 2,632,000 | $ | 10.97 | 2,912,000 | ||||||||||||
The weighted average grant-date fair value of stock options granted during 2013, 2012 and 2011 was $6.81, $4.74 and $3.26 per common share, respectively. | |||||||||||||||||||||
During 2013, the Company granted 6,000 shares of restricted stock with a weighted average grant date fair value of $23.50 per share. | |||||||||||||||||||||
The following table summarizes other information about our outstanding stock options at December 31, 2013. | |||||||||||||||||||||
Stock Options | 2013 | 2012 | 2011 | ||||||||||||||||||
Range of exercise prices | $6.07 - 23.50 | $3.68 - 17.50 | $2.41 - 16.11 | ||||||||||||||||||
Outstanding: | |||||||||||||||||||||
Weighted average remaining contractual life (years) | 6.5 | 6.3 | 6 | ||||||||||||||||||
Aggregate intrinsic value | $ | 30,599,000 | $ | 26,472,000 | $ | 19,639,000 | |||||||||||||||
Exercisable: | |||||||||||||||||||||
Number of shares | 922,000 | 1,040,000 | 1,383,000 | ||||||||||||||||||
Weighted average remaining contractual life (years) | 4.5 | 4.2 | 3.9 | ||||||||||||||||||
Aggregate intrinsic value | $ | 15,053,000 | $ | 13,934,000 | $ | 13,925,000 | |||||||||||||||
Exercised: | |||||||||||||||||||||
Aggregate intrinsic value | $ | 9,139,000 | $ | 10,465,000 | $ | 5,059,000 | |||||||||||||||
Fair Value Estimates | |||||||||||||||||||||
The fair value of stock awards granted during 2013, 2012 and 2011 was estimated on the date of grant using the Black-Scholes option valuation model based on the following assumptions: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Risk-free interest rate | 1.50% | 1.30% | 2.60% | ||||||||||||||||||
Weighted average expected life in years | 6.0 years | 6.8 years | 7.4 years | ||||||||||||||||||
Expected volatility | 38.90% | 39.20% | 27.40% | ||||||||||||||||||
Dividend yield | 2.80% | 3.60% | 3.66% | ||||||||||||||||||
Forfeiture rate | 3.00% | 2.90% | 3.81% | ||||||||||||||||||
Other Information | |||||||||||||||||||||
Other information pertaining to activity of our stock awards during the years ended December 31, 2013, 2012 and 2011 was as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Total grant-date fair value of stock awards granted | $ | 3,412,000 | $ | 2,438,000 | $ | 1,477,000 | |||||||||||||||
Total fair value of stock awards vested during period | $ | 1,897,000 | $ | 1,409,000 | $ | 1,551,000 | |||||||||||||||
Total unrecognized compensation expense related to non-vested stock awards | $ | 4,963,000 | $ | 3,999,000 | $ | 3,547,000 | |||||||||||||||
For the years ended December 31, 2013, 2012 and 2011, the unrecognized compensation cost related to stock awards granted but not yet vested, as reported above, was expected to be recognized over a weighted average remaining period of four years. | |||||||||||||||||||||
Employee Stock Purchase Plan | |||||||||||||||||||||
Since January 1, 2000, we have had an ESPP for all eligible employees. All full-time and certain part-time employees who have completed two years of continuous service with us are eligible to participate. The ESPP was implemented through five annual offerings. On January 1, 2000, the first annual offering commenced. On February 12, 2004 (effective January 1, 2004), our Board of Directors extended the ESPP for an additional eight annual offerings. On April 12, 2011, the Board of Directors extended the ESPP for an additional five offerings through 2016. Annual offerings commence and terminate on the respective year’s first and last calendar day. Under the ESPP, we are authorized to issue up to 4,050,000 shares of our common stock to our employees. Pursuant to such authorization, we have 2,476,000 shares available for future grant at December 31, 2013. Furthermore, under the terms of the ESPP, eligible employees may contribute through payroll deductions up to $21,250 (85% of IRS limitation) of their compensation toward the purchase of the Company's common stock. No employee may purchase common stock which exceeds $25,000 in fair market value (determined on the date of grant) for each calendar year. The price per share is equal to the lower of 85% of the fair market price on the first day of the offering period, or 85% of the fair market price on the day of purchase. | |||||||||||||||||||||
The following table summarizes information about our ESPP annual offerings for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
ESPP Annual Offering | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Common shares purchased | 65,000 | 79,000 | 71,000 | ||||||||||||||||||
Per common share purchase price | $ | 19.75 | $ | 15.04 | $ | 13.83 | |||||||||||||||
Amount expensed under ESPP | $ | 562,000 | $ | 641,000 | $ | 282,000 | |||||||||||||||
Net proceeds from issuance | $ | 1,288,000 | $ | 1,192,000 | $ | 978,000 | |||||||||||||||
Common shares date of issue | Jan 3, 2014 | Jan 4, 2013 | Jan 4, 2012 | ||||||||||||||||||
Deferred Compensation Plan | |||||||||||||||||||||
Since January 1, 2000, we have had a SERP for certain key executives and employees. The SERP is not qualified under Section 401 of the Internal Revenue Code. Effective in Plan year 2010, the Plan was amended to allow participants to defer up to 25% of their earned income on a pre-tax basis. As of the last day of each plan year, each participant will receive a 25% match of up to 15% of their deferral in the form of our Common Stock based on the then current market value. SERP participants fully vest in our matching contribution three years from the first day of the initial year of participation. The income deferred and our matching contributions are unsecured and subject to the claims of our general creditors. Under the SERP, we are authorized to issue up to 1,013,000 shares of our common stock to our employees. Pursuant to such authorization, we have 452,000 shares available for future grant at December 31, 2013 (after deducting the 2013 funding of 19,000 shares delivered in 2014). In the aggregate, since initiation of the SERP, the Company’s 25% match has resulted in 560,000 shares (including the 2013 funding of shares delivered in 2014) being issued to the trustee. At the time of issuance, such shares were accounted for at cost, as treasury stock. At December 31, 2013, approximately 311,000 of such shares are vested and remain in the respective active participants’ accounts. The following table summarizes information about our SERP for the plan years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
SERP Plan Year | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Amount of company match expensed under SERP | $ | 538,000 | $ | 560,000 | $ | 444,000 | |||||||||||||||
Treasury shares issued to fund SERP expense | 19,000 | 24,000 | 26,000 | ||||||||||||||||||
SERP trust account balance at December 31 | $ | 31,415,000 | (1) | $ | 24,997,000 | (1) | $ | 18,942,000 | (1) | ||||||||||||
Unrealized gain (loss) recorded in SERP liability account | $ | 3,005,000 | $ | 1,718,000 | $ | (104,000 | ) | ||||||||||||||
-1 | SERP trust account investments are recorded at their fair value which is based on quoted market prices. Differences between such amounts in the table above and the deferred compensation funding asset reported on our Consolidated Balance Sheets represent the value of our Common Stock held in the Plan’s participants’ trust account and reported by us as treasury stock in our Consolidated Balance Sheets. |
Other_Employee_Benefit_Plans
Other Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2013 | |
Compensation and Retirement Disclosure [Abstract] | ' |
Other Employee Benefit Plans | ' |
Other Employee Benefit Plans | |
Retirement Savings Plan | |
Since October 1, 1999, we have had a retirement savings plan for employees (the “RSP”) under Section 401(k) of the Internal Revenue Code. The RSP allows eligible employees to contribute up to fifteen percent (15)% of their eligible compensation on a pre-tax basis. There is no match by the Company. |
Dividends
Dividends | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||
Dividends | ' | |||||||||||||||
Dividends | ||||||||||||||||
We have paid regular quarterly cash dividends since the second quarter of 2003. During 2013, we paid regular quarterly cash dividends totaling $46,707,000 as detailed below: | ||||||||||||||||
Quarter Ended | ||||||||||||||||
31-Mar-13 | 30-Jun-13 | 30-Sep-13 | 31-Dec-13 | |||||||||||||
Cash dividend per common share | $ | 0.16625 | $ | 0.1675 | $ | 0.16875 | $ | 0.17 | ||||||||
Total cash dividends paid | $ | 11,415,000 | $ | 11,516,000 | $ | 11,829,000 | $ | 11,947,000 | ||||||||
Record date | February 22 | May 10 | August 16 | November 15 | ||||||||||||
Payment date | March 15 | June 14 | September 20 | December 20 | ||||||||||||
Additionally, on January 28, 2014, our Board of Directors declared a regular quarterly cash dividend of $0.17125 per common share, which will be paid on March 28, 2014 to shareholders of record as of the close of business on February 21, 2014. | ||||||||||||||||
Cash dividends on our outstanding weighted average number of basic common shares for the years ended December 31, 2013, 2012 and 2011 was as follows: | ||||||||||||||||
December 31, | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
Cash dividends per common share | $ | 0.67 | $ | 0.65 | $ | 0.63 | ||||||||||
Our Board of Directors reviews our dividend policy on a quarterly basis. Although there can be no assurance that we will continue to pay dividends or the amount of the dividend, we expect to continue to pay a regular quarterly cash dividend. In connection with the establishment of our dividend policy, we adopted a Dividend Reinvestment Plan in 2003. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Income Taxes | ' | |||||||||||
Income Taxes | ||||||||||||
The following table summarizes the provision for income taxes: | ||||||||||||
Year Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Current: | ||||||||||||
Federal | $ | 19,045,000 | $ | 24,350,000 | $ | 15,053,000 | ||||||
State | 5,381,000 | 5,373,000 | 4,488,000 | |||||||||
24,426,000 | 29,723,000 | 19,541,000 | ||||||||||
Deferred: | ||||||||||||
Federal | (4,172,000 | ) | (3,048,000 | ) | 296,000 | |||||||
State | (894,000 | ) | (625,000 | ) | (181,000 | ) | ||||||
(5,066,000 | ) | (3,673,000 | ) | 115,000 | ||||||||
Tax Provision | $ | 19,360,000 | $ | 26,050,000 | $ | 19,656,000 | ||||||
Deferred income taxes are recorded using the asset and liability method. Deferred tax assets and liabilities are determined based on differences between the financial reporting and income tax basis of assets and liabilities. | ||||||||||||
Significant components of our federal and state deferred tax assets and liabilities are as follows: | ||||||||||||
Years Ended December 31, | ||||||||||||
2013 | 2012 | |||||||||||
Net current deferred assets (liabilities): | ||||||||||||
Allowance for doubtful accounts | $ | 1,560,000 | $ | 1,580,000 | ||||||||
Accrued insurance claims — current | 3,574,000 | 2,727,000 | ||||||||||
Expensing of housekeeping supplies | (5,059,000 | ) | (4,432,000 | ) | ||||||||
Other | 2,264,000 | (450,000 | ) | |||||||||
$ | 2,339,000 | $ | (575,000 | ) | ||||||||
Net noncurrent deferred assets (liabilities): | ||||||||||||
Deferred compensation | $ | 7,987,000 | $ | 7,095,000 | ||||||||
Non-deductible reserves | 5,000 | 8,000 | ||||||||||
Depreciation of property and equipment | (2,933,000 | ) | (3,028,000 | ) | ||||||||
Accrued insurance claims — noncurrent | 6,848,000 | 6,255,000 | ||||||||||
Amortization of intangibles | 1,015,000 | 522,000 | ||||||||||
Other | 352,000 | 363,000 | ||||||||||
$ | 13,274,000 | $ | 11,215,000 | |||||||||
Realization of the Company’s deferred tax assets is dependent upon future earnings in specific tax jurisdictions, the timing and amount of which are uncertain. Management assesses the Company’s income tax positions and records tax benefits for all years subject to examination based upon an evaluation of the facts, circumstances, and information available at the reporting dates, which include historical operating results and expectations of future earnings. As such, management believes it is more likely than not that the current and noncurrent deferred tax assets recorded will be realized to reduce future income taxes and therefore no valuation allowances are necessary. | ||||||||||||
A reconciliation of the provision for income taxes and the amount computed by applying the statutory federal income tax rate to income before income taxes is as follows: | ||||||||||||
Year Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Tax expense computed at statutory rate | $ | 23,271,000 | $ | 24,592,000 | $ | 20,234,000 | ||||||
Increases (decreases) resulting from: | ||||||||||||
State income taxes, net of federal tax benefit | 2,916,000 | 3,086,000 | 2,800,000 | |||||||||
Federal jobs credits | (7,121,000 | ) | (1,110,000 | ) | (4,196,000 | ) | ||||||
Tax exempt interest | (29,000 | ) | (99,000 | ) | (253,000 | ) | ||||||
Other, net | 323,000 | (419,000 | ) | 1,071,000 | ||||||||
$ | 19,360,000 | $ | 26,050,000 | $ | 19,656,000 | |||||||
Management performs an evaluation each period of its tax positions taken and expected to be taken in tax returns. The evaluation is performed on positions relating to tax years that remain subject to examination by major tax jurisdictions, the earliest of which is tax year ended December 31, 2010. Based on our evaluation, management has concluded that there are no significant uncertain tax positions requiring recognition in our financial statements. Therefore, the table reporting on the change in the liability for unrecognized tax benefits during the year ended December 31, 2013 is omitted as there is no activity to report in such account for the year ended December 31, 2013, and there was no balance of unrecognized tax benefits at the beginning of the year. | ||||||||||||
We may from time to time be assessed interest or penalties by major tax jurisdictions, although any such assessments historically have been minimal and immaterial to our financial results. In the event we have received an assessment for interest and/or penalties, it has been classified in the financial statements as selling, general and administrative expense. |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2013 | |
Related Party Transaction, Due from (to) Related Party [Abstract] | ' |
Related Party Transactions | ' |
Related Party Transactions | |
A director is a member of a law firm which was retained by us. During the years ended December 31, 2013, 2012 and 2011, fees received from us by such firm did not exceed $120,000 in any period. Additionally, such fees did not exceed, in any period, 5% of such firm’s revenues or the Company's revenues. |
Segment_Information
Segment Information | 12 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||
Segment Information | ' | |||||||||||||||||
Segment Information | ||||||||||||||||||
Reportable Operating Segments | ||||||||||||||||||
U.S. GAAP establishes standards for reporting information regarding operating segments in annual financial statements. Operating segments are identified as components of an enterprise for which separate discrete financial information is available for evaluation by the chief operating decision-maker, or decision-making group in making decisions on how to allocate resources and assess performance. | ||||||||||||||||||
We manage and evaluate our operations in two reportable segments: Housekeeping (housekeeping, laundry, linen and other services), and Dietary (dietary department services). Although both segments serve the same client base and share many operational similarities, they are managed separately due to distinct differences in the type of service provided, as well as the specialized expertise required of the professional management personnel responsible for delivering the respective segment’s services. We consider the various services provided within each reportable segment to comprise an identifiable reportable operating segment since such services are rendered pursuant to a single service agreement, specific to that reportable segment, as well as the fact that the delivery of the respective reportable segment’s services are managed by the same management personnel of the particular reportable segment. | ||||||||||||||||||
The Company’s accounting policies for the segments are generally the same as the Company’s significant accounting policies. Differences between the reportable segments’ operating results and other disclosed data and our consolidated financial statements relate primarily to corporate level transactions and recording of transactions at the reportable segment level which use methods other than generally accepted accounting principles. There are certain inventories and supplies that are primarily expensed when incurred within the operating segments, while they are capitalized for the consolidated financial statements. As discussed, most corporate expense is not allocated to the operating segments, and such expenses include corporate salary and benefit costs, bad debt expense, certain legal costs, information technology costs, depreciation, amortization of finite lived intangibles, share based compensation costs and other corporate specific costs. Additionally, there are allocations for workers compensation and general liability expense within the operating segments that differ from our actual expense recorded for U.S. GAAP. Additionally, included in the differences between the reportable segments’ operating results and other disclosed data are amounts attributable to Huntingdon, our investment holding company subsidiary. Huntingdon does not transact any business with the reportable segments. Segment amounts disclosed are prior to any elimination entries made in consolidation. | ||||||||||||||||||
Housekeeping provides services in Canada, although essentially all of its revenues and net income, 99% in both categories, are earned in one geographic area, the United States. Dietary provides services solely in the United States. | ||||||||||||||||||
Housekeeping | Dietary | Corporate and | Total | |||||||||||||||
Services | Services | Eliminations | ||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||
Revenues | $ | 759,093,000 | $ | 390,797,000 | $ | — | $ | 1,149,890,000 | ||||||||||
Income before income taxes | 68,872,000 | 21,244,000 | (23,627,000 | ) | (1) | 66,489,000 | ||||||||||||
Depreciation and amortization | 5,105,000 | 693,000 | 406,000 | 6,204,000 | ||||||||||||||
Total assets | 213,397,000 | 92,424,000 | 119,521,000 | (2) | 425,342,000 | |||||||||||||
Capital expenditures | $ | 2,726,000 | $ | 460,000 | $ | 576,000 | $ | 3,762,000 | ||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||
Revenues | $ | 737,407,000 | $ | 339,855,000 | $ | 173,000 | (1) | $ | 1,077,435,000 | |||||||||
Income before income taxes | 69,429,000 | 18,474,000 | (17,639,000 | ) | (1) | 70,264,000 | ||||||||||||
Depreciation and amortization | 4,069,000 | 676,000 | 371,000 | 5,116,000 | ||||||||||||||
Total assets | 144,412,000 | 62,263,000 | 124,508,000 | (2) | 331,183,000 | |||||||||||||
Capital expenditures | $ | 2,765,000 | $ | 453,000 | $ | 266,000 | $ | 3,484,000 | ||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||
Revenues | $ | 654,886,000 | $ | 234,247,000 | $ | (68,000 | ) | (1) | $ | 889,065,000 | ||||||||
Income before income taxes | 63,395,000 | 11,678,000 | (17,261,000 | ) | (1) | 57,812,000 | ||||||||||||
Depreciation and amortization | 3,428,000 | 614,000 | 345,000 | 4,387,000 | ||||||||||||||
Total assets | 135,223,000 | 57,034,000 | 97,438,000 | (2) | 289,695,000 | |||||||||||||
Capital expenditures | $ | 4,697,000 | $ | 372,000 | $ | 476,000 | $ | 5,545,000 | ||||||||||
-1 | represents primarily corporate office cost and related overhead, recording of transactions at the reportable segment level which use methods other than generally accepted accounting principles, as well as consolidated subsidiaries’ operating expenses that are not allocated to the reportable segments, net of investment and interest income. | |||||||||||||||||
-2 | represents primarily cash and cash equivalents, marketable securities, deferred income taxes and other current and noncurrent assets. | |||||||||||||||||
Total Revenues from Clients | ||||||||||||||||||
The following revenues earned from clients differ from segment revenues reported above due to the inclusion of adjustments used for segment reporting purposes by management. We earned total revenues from clients in the following service categories: | ||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||
Housekeeping services | $ | 514,180,000 | $ | 492,319,000 | $ | 440,924,000 | ||||||||||||
Laundry and linen services | 241,540,000 | 240,670,000 | 210,896,000 | |||||||||||||||
Dietary services | 390,797,000 | 339,867,000 | 234,542,000 | |||||||||||||||
Maintenance services and other | 3,373,000 | 4,579,000 | 2,703,000 | |||||||||||||||
$ | 1,149,890,000 | $ | 1,077,435,000 | $ | 889,065,000 | |||||||||||||
Earnings_Per_Common_Share
Earnings Per Common Share | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Earnings Per Common Share | ' | |||||||||||
Earnings Per Common Share | ||||||||||||
Basic net earnings per share are computed using the weighted-average number of common shares outstanding. The dilutive effect of potential common shares outstanding is included in diluted net earnings per share. The computations of basic net earnings per share and diluted net earnings per share for 2013, 2012 and 2011 are as follows: | ||||||||||||
Year ended December 31, 2013 | ||||||||||||
Income | Shares | Per-share | ||||||||||
(Numerator) | (Denominator) | Amount | ||||||||||
Net income | $ | 47,129,000 | ||||||||||
Basic earnings per common share | $ | 47,129,000 | 69,206,000 | $ | 0.68 | |||||||
Effect of dilutive securities: | ||||||||||||
Stock options and restricted stock | 839,000 | (0.01 | ) | |||||||||
Diluted earnings per common share | $ | 47,129,000 | 70,045,000 | $ | 0.67 | |||||||
Year ended December 31, 2012 | ||||||||||||
Income | Shares | Per-share | ||||||||||
(Numerator) | (Denominator) | Amount | ||||||||||
Net income | $ | 44,214,000 | ||||||||||
Basic earnings per common share | $ | 44,214,000 | 67,511,000 | $ | 0.65 | |||||||
Effect of dilutive securities: | ||||||||||||
Stock options and restricted stock | 974,000 | — | ||||||||||
Diluted earnings per common share | $ | 44,214,000 | 68,485,000 | $ | 0.65 | |||||||
Year ended December 31, 2011 | ||||||||||||
Income | Shares | Per-share | ||||||||||
(Numerator) | (Denominator) | Amount | ||||||||||
Net income | $ | 38,156,000 | ||||||||||
Basic earnings per common share | $ | 38,156,000 | 66,637,000 | $ | 0.57 | |||||||
Effect of dilutive securities: | ||||||||||||
Stock options and restricted stock | 948,000 | (0.01 | ) | |||||||||
Diluted earnings per common share | $ | 38,156,000 | 67,585,000 | $ | 0.56 | |||||||
For the years ended December 31, 2013, 2012 and 2011, options to purchase 546,000, 576,000 and 510,000 shares, respectively, were excluded from the computation of diluted earnings per common share as the exercise price of such options were in excess of the average market value of our common stock at the respective year end. |
Other_Contingencies
Other Contingencies | 12 Months Ended |
Dec. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Other Contingencies | ' |
Other Contingencies | |
We have a $125,000,000 bank line of credit on which we may draw to meet short-term liquidity requirements in excess of internally generated cash flow. Amounts drawn under the line of credit are payable upon demand. At December 31, 2013, there were no borrowings under the line of credit. However, at such date, we had outstanding a $43,520,000 (increased to $51,520,000 on January 1, 2014) irrevocable standby letter of credit which relates to payment obligations under our insurance programs. As a result of the letter of credit issued, the amount available under the line of credit was reduced by $43,520,000 at December 31, 2013. The line of credit requires us to satisfy one financial covenant. We are in compliance with our financial covenant at December 31, 2013 and expect to continue to remain in compliance with such financial covenant. This line of credit expires on December 18, 2018. We believe the line of credit will be renewed at that time. | |
Additionally, on December 30, 2013, we entered into a Security Interest, Pledge and Assignment of Deposit Account (the "Pledge") with Wells Fargo Bank, National Association (the “Bank”) as collateral for the Promissory Note (the “Note”) dated December 30, 2013. The Note is a short term non-revolving line of credit between the Company’s third party payroll administrator and the Bank. The Company entered into the Pledge at year end due to the timing of payroll funding and the holidays. On January 3, 2014, the Company's third party payroll administrator satisfied its payment obligation under the Note, and accordingly, the Company's Pledge was fully released and extinguished. The funds previously held as collateral were subsequently used for general operating activities. | |
We provide our services in 48 states and are subject to numerous local taxing jurisdictions within those states. Consequently, in the ordinary course of business, a jurisdiction may contest our reporting positions with respect to the application of its tax code to our services. A jurisdiction’s conflicting position on the taxability of our services could result in additional tax liabilities. | |
We have tax matters with various taxing authorities. Because of the uncertainties related to both the probable outcome and amount of probable assessment due, we are unable to make a reasonable estimate of a liability. We do not expect the resolution of any of these matters, taken individually or in the aggregate, to have a material adverse effect on our consolidated financial position or results of operations based on our best estimate of the outcomes of such matters. | |
We are also subject to various claims and legal actions in the ordinary course of business. Some of these matters include payroll and employee-related matters and examinations by governmental agencies. As we become aware of such claims and legal actions, we provide accruals if the exposures are probable and estimable. If an adverse outcome of such claims and legal actions is reasonably possible, we assess materiality and provide such financial disclosure, as appropriate. | |
As a result of the current economic crisis, many states have significant budget deficits. State Medicaid programs are experiencing increased demand, and with lower revenues than projected, they have fewer resources to support their Medicaid programs. In addition, comprehensive health care legislation under the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 (together, the “Act”) was signed into law in March 2010. The Act will significantly impact the governmental healthcare programs which our clients participate, and reimbursements received thereunder from governmental or third-party payors. In July 2011, Centers for Medicare and Medicaid Services (“CMS”) issued a final rule that reduced Medicare payments to nursing centers by 11.1% and changed the reimbursement for the provision of group rehabilitation therapy services to Medicare beneficiaries. This rule was effective as of October 1, 2011. Furthermore, in the coming year, new proposals or additional changes in existing regulations could be made to the Act and/or CMS could propose additional reimbursement reductions which could directly impact the governmental reimbursement programs in which our clients participate. As a result, some state Medicaid programs are reconsidering previously approved increases in nursing home reimbursement or are considering delaying or foregoing those increases. A few states have indicated it is possible they will run out of cash to pay Medicaid providers, including nursing homes. In addition, certain state governors have recently stated that they will reject Federal Medicaid assistance under the Act. Any negative changes in our clients’ reimbursements may negatively impact our results of operations. Although we are currently evaluating the Act’s effect on our client base, we may not know the full effect until such time as these laws are fully implemented and CMS and other agencies issue applicable regulations or guidance. | |
In January 2013, the U.S. Congress enacted the American Taxpayer Relief Act of 2012, which delayed automatic spending cuts, including reduced Medicare payments to plans and providers up to 2%. These discretionary spending caps were originally enacted under provisions in the Budget Control Act of 2011, an initiative to reduce the federal deficit through the year 2021, also known as “sequestration.” The sequestration went into effect starting March 2013. In December 2013, the U.S. Congress enacted the Bipartisan Budget Act of 2013, which reduces the impact of the sequestration over the next two years, beginning in fiscal year 2014 and extended the reduction in Medicare payments to plans and providers for two years through the year 2023. |
Accrued_Insurance_Claims
Accrued Insurance Claims | 12 Months Ended |
Dec. 31, 2013 | |
Payables and Accruals [Abstract] | ' |
Accrued Insurance Claims | ' |
Accrued Insurance Claims | |
We currently have a Paid Loss Retrospective Insurance Plan for general liability and workers’ compensation insurance, which comprise approximately 19% of our liabilities at December 31, 2013. Under our insurance plans for general liability and workers' compensation, predetermined loss limits are arranged with our insurance company to limit both our per occurrence cash outlay and annual insurance plan cost. Our accounting for this plan is affected by various uncertainties because we must make assumptions and apply judgment to estimate the ultimate cost to settle reported claims and claims incurred but not reported as of the balance sheet date. We address these uncertainties by regularly evaluating our claims’ pay-out experience, present value factor and other factors related to the nature of specific claims in arriving at the basis for our accrued insurance claims estimate. Our evaluations are based primarily on current information derived from reviewing our claims experience and industry trends. In the event that our claims experience and/or industry trends result in an unfavorable change resulting from, among other factors, the severity levels of reported claims and medical cost inflation, as compared to historical claim trends, it would have an adverse effect on our results of operations and financial condition. Under these plans, predetermined loss limits are arranged with an insurance company to limit both our per-occurrence cash outlay and annual insurance plan cost. | |
For workers’ compensation, we record a reserve based on the present value of estimated future cost of claims and related expenses that have been reported but not settled, including an estimate of claims incurred but not reported that are developed as a result of a review of our historical data and open claims. The present value of the payout is determined by applying an 8% discount factor against the estimated value of the claims over the estimated remaining pay-out period. Reducing the discount factor by 1% would reduce net income for the year ended December 31, 2013 by approximately $34,000. Additionally, reducing the estimated payout period by six months would result in an approximate $84,000 reduction in net income. | |
For general liability, we record a reserve for the estimated ultimate amounts to be paid for known claims and claims incurred but not reported as of the balance sheet date. The estimated ultimate reserve amount recorded is derived from the estimated claim reserves provided by our insurance carrier reduced by an historical experience factor. |
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2013 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
Subsequent Events | |
We evaluated all subsequent events through the date these financial statements are being filed with the SEC. There were no events or transactions occurring during this subsequent reporting period which require recognition or additional disclosure in these financial statements. |
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ' | |||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ||||||||||||||||
The following tables summarize the unaudited quarterly financial data for the last two fiscal years. | ||||||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||
2013 | ||||||||||||||||
Revenues | $ | 273,904,000 | $ | 273,604,000 | $ | 298,549,000 | $ | 303,833,000 | ||||||||
Operating costs and expenses | $ | 255,981,000 | $ | 253,965,000 | $ | 278,540,000 | $ | 298,616,000 | ||||||||
Income before income taxes | $ | 18,957,000 | $ | 19,858,000 | $ | 21,193,000 | $ | 6,481,000 | ||||||||
Net income | $ | 14,954,000 | $ | 12,933,000 | $ | 13,790,000 | $ | 5,452,000 | ||||||||
Basic earnings per common share(1) | $ | 0.22 | $ | 0.19 | $ | 0.2 | $ | 0.08 | ||||||||
Diluted earnings per common share(1) | $ | 0.22 | $ | 0.19 | $ | 0.2 | $ | 0.08 | ||||||||
Cash dividends per common share(1) | $ | 0.17 | $ | 0.17 | $ | 0.17 | $ | 0.17 | ||||||||
2012 | ||||||||||||||||
Revenues | $ | 260,607,000 | $ | 267,108,000 | $ | 272,681,000 | $ | 277,039,000 | ||||||||
Operating costs and expenses | $ | 248,477,000 | $ | 248,730,000 | $ | 255,070,000 | $ | 257,814,000 | ||||||||
Income before income taxes | $ | 13,783,000 | $ | 18,283,000 | $ | 18,573,000 | $ | 19,625,000 | ||||||||
Net income | $ | 8,579,000 | $ | 11,320,000 | $ | 11,517,000 | $ | 12,798,000 | ||||||||
Basic earnings per common share(1) | $ | 0.13 | $ | 0.17 | $ | 0.17 | $ | 0.19 | ||||||||
Diluted earnings per common share(1) | $ | 0.13 | $ | 0.17 | $ | 0.17 | $ | 0.19 | ||||||||
Cash dividends per common share(1) | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.17 | ||||||||
-1 | Year-to-date earnings and cash dividends per common share amounts may differ from the sum of quarterly amounts due to rounding. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts and Reserves | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | |||||||||||||||||||
Schedule II - Valuation and Qualifying Accounts and Reserves | ' | |||||||||||||||||||
Schedule II — Valuation and Qualifying Accounts and Reserves | ||||||||||||||||||||
Additions | ||||||||||||||||||||
Description | Beginning Balance | Charged to Costs and Expenses | Charged to Other Accounts | Deductions (A) | Ending Balance | |||||||||||||||
2013 | ||||||||||||||||||||
Allowance for Doubtful Accounts | $ | 3,970,000 | $ | 1,990,000 | $ | — | $ | 2,041,000 | $ | 3,919,000 | ||||||||||
2012 | ||||||||||||||||||||
Allowance for Doubtful Accounts | $ | 4,506,000 | $ | 2,160,000 | $ | — | $ | 2,696,000 | $ | 3,970,000 | ||||||||||
2011 | ||||||||||||||||||||
Allowance for Doubtful Accounts | $ | 4,069,000 | $ | 2,450,000 | $ | — | $ | 2,013,000 | $ | 4,506,000 | ||||||||||
(A) Represents write-offs |
Description_of_Business_and_Si1
Description of Business and Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Nature of Operations | ' |
Nature of Operations | |
We provide management, administrative and operating expertise and services to the housekeeping, laundry, linen, facility maintenance and dietary service departments of the health care industry, including nursing homes, retirement complexes, rehabilitation centers and hospitals located throughout the United States. Although we do not directly participate in any government reimbursement programs, our clients’ reimbursements are subject to government regulation. Therefore, they are directly affected by any legislation relating to Medicare and Medicaid reimbursement programs. | |
We provide our services primarily pursuant to full service agreements with our clients. In such agreements, we are responsible for the day to day management of the managers and hourly employees located at our clients’ facilities. We also provide services on the basis of a management-only agreement for a very limited number of clients. Our agreements with clients typically provide for a one year service term, cancelable by either party upon 30 to 90 days’ notice after the initial 90-day period. | |
We are organized into two reportable segments; housekeeping, laundry, linen and other services (“Housekeeping”), and dietary department services (“Dietary”). | |
Housekeeping consists of the managing of the client’s housekeeping department which is principally responsible for the cleaning, disinfecting and sanitizing of patient rooms and common areas of a client’s facility, as well as the laundering and processing of the personal clothing belonging to the facility’s patients. Also within the scope of this segment’s service is the responsibility for laundering and processing of the bed linens, uniforms and other assorted linen items utilized by a client facility. | |
Dietary consists of managing the client’s dietary department which is principally responsible for food purchasing, meal preparation and providing dietitian consulting professional services, which includes the development of a menu that meets the patient’s dietary needs. We began the Dietary operations in 1997. | |
As of December 31, 2013, we operate two wholly-owned subsidiaries, Huntingdon Holdings, Inc. (“Huntingdon”) and Healthcare Staff Leasing Solutions, LLC (“Staff Leasing”). Huntingdon invests our cash and cash equivalents as well as manages our portfolio of marketable securities. Staff Leasing is an entity formed in 2011 to offer professional employer organization (“PEO”) services to potential clients in the health care industry. As of December 31, 2013, we have PEO service contracts in several states. During the years 2011 through 2013, operating results from our PEO services contracts were not material and were included in our Housekeeping segment. | |
Principles of Consolidation | ' |
Principles of Consolidation | |
The accompanying consolidated financial statements include the accounts of Healthcare Services Group, Inc. and its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. | |
Fair Value of Financial Instruments | ' |
Fair Value of Financial Instruments | |
Our financial instruments consist principally of cash and cash equivalents, marketable securities, accounts and notes receivable, deferred compensation funding and accounts payable. Our marketable securities consist of tax-exempt municipal bond investments that are reported at fair value with the unrealized gains and losses included in our consolidated statements of comprehensive income. In accordance with generally accepted accounting principles in the United States ("U.S. GAAP"), we define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The fair value of our cash equivalents and marketable securities is determined based on “Level 2” inputs, which consists of quoted prices for similar assets or market corroborated inputs. We believe recorded values of all of our financial instruments approximate their current fair values because of their nature, stated interest rates and respective maturity dates or durations. | |
We have certain notes receivable that either do not bear interest or bear interest at a below market rate. Therefore, such notes receivable of $2,892,000 and $1,639,000 at December 31, 2013 and 2012, respectively, have been discounted to their present value and are reported at such values of $2,880,000 and $1,620,000 at December 31, 2013 and 2012, respectively. | |
Cash and Cash Equivalents | ' |
Cash and Cash Equivalents | |
Cash and cash equivalents are held in U.S. financial institutions or in custodial accounts with U.S. financial institutions. Cash and cash equivalents are defined as short-term, highly liquid investments with a maturity of three months or less at time of purchase that are readily convertible into cash and have insignificant interest rate risk. | |
Investments in Marketable Securities | ' |
Investments in Marketable Securities | |
We define our marketable securities as fixed income investments which are highly liquid investments that can be readily purchased or sold using established markets. At December 31, 2013, we had marketable securities of $11,445,000 which were comprised primarily of tax exempt municipal bonds. These investments are reported at fair value on our balance sheet. For the year ended December 31, 2013, the accumulated other comprehensive income on our consolidated balance sheet, statements of comprehensive income and stockholders’ equity includes unrealized gains from marketable securities of $49,000 related to marketable securities which are not recognized under the fair value option in accordance with U.S. GAAP. The unrealized gains and losses are recorded net of income taxes. | |
We, in accordance with U.S. GAAP, define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). Effective January 1, 2010, we have not elected the fair value option for marketable securities as we believe these assets are more representative of our investing activities. These assets are available for future needs of the Company to support our current and projected growth, if required. In accordance with U.S. GAAP, our investments in marketable securities are classified within Level 2 of the fair value hierarchy. These investment securities are valued based upon quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. | |
Our investment policy is to seek to manage these assets to achieve our goal of preserving principal, maintaining adequate liquidity at all times, and maximizing returns subject to our investment guidelines. Our investment policy limits investment to certain types of instruments issued by institutions primarily with investment grade credit ratings and places restrictions on maturities and concentration by type and issuer. | |
We periodically review our investments in marketable securities for other than temporary declines in fair value below the cost basis and whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. As of December 31, 2013, we believe that recorded value of our investments in marketable securities was recoverable in all material respects. | |
Inventories and Supplies | ' |
Inventories and Supplies | |
Inventories and supplies include housekeeping, linen and laundry supplies, as well as food provisions and supplies. Inventories and supplies are stated at cost to approximate a first-in, first-out (FIFO) basis. Linen supplies are amortized on a straight-line basis over their estimated useful life of 24 months. | |
Property and Equipment | ' |
Property and Equipment | |
Property and equipment are stated at cost. Additions, renewals and improvements are capitalized, while maintenance and repair costs are expensed when incurred. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the respective accounts and any resulting gain or loss is included in income. Depreciation is provided by the straight-line method over the following estimated useful lives: laundry and linen equipment installations — 3 to 7 years; housekeeping, and office furniture and equipment — 3 to 7 years; autos and trucks — 3 years. Depreciation expense on property and equipment for the years ended December 31, 2013, 2012 and 2011 was $3,373,000, $2,947,000 and $2,416,000, respectively. | |
Revenue Recognition | ' |
Revenue Recognition | |
Revenues from our service agreements with clients are recognized as services are performed. | |
As a distributor of laundry equipment, we occasionally sell laundry installations to certain clients. The sales in most cases represent the construction and installation of a turn-key operation and are for payment terms ranging from 24 to 60 months. Our accounting policy for these sales is to recognize the gross profit over the life of the payments associated with our financing of the transactions. During 2013, 2012 and 2011 laundry installation sales were not material. | |
Income Taxes | ' |
Income Taxes | |
We use the asset and liability method of accounting for income taxes. Under this method, income tax expense is recognized for the amount of taxes payable or refundable for the current year. We accrue for probable tax obligations as required by facts and circumstances in the various regulatory environments. In addition, deferred tax assets and liabilities are recognized for expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities. If appropriate, we would record a valuation allowance to reduce deferred tax assets to an amount for which realization is more likely than not. Deferred tax assets and liabilities are more fully described in subsequent Notes to the Consolidated Financial Statements. | |
In accordance with U.S. GAAP, we account for uncertain income tax positions reflected within our financial statements based on a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. | |
Earnings per Common Share | ' |
Earnings per Common Share | |
Basic earnings per common share are computed by dividing income available to common shareholders by the weighted-average common shares outstanding for the period. Diluted earnings per common share reflect the weighted-average common shares outstanding and dilutive common shares, such as those issuable upon exercise of stock options. | |
Share-Based Compensation | ' |
Share-Based Compensation | |
U.S. GAAP addresses the accounting for share-based compensation, specifically, the measurement and recognition of compensation expense, based on estimated fair values, for all share-based awards made to employees and directors, including stock options and participation in the Company’s employee stock purchase plan. We estimate the fair value of share-based awards on the date of grant using the Black-Scholes option valuation model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense in the Company’s consolidated statements of income over the requisite service periods. We use the straight-line single option method of expensing share-based awards in our consolidated financial statements of income. Because share-based compensation expense is based on awards that are ultimately expected to vest, share-based compensation expense will be reduced to account for estimated forfeitures. Forfeitures are to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. | |
Advertising Costs | ' |
Advertising Costs | |
Advertising costs are expensed when incurred. Advertising costs were not material for the years ended December 31, 2013, 2012 and 2011. | |
Impairment of Long-Lived Assets | ' |
Impairment of Long-Lived Assets | |
We account for long-lived assets in accordance with the criteria established in U.S. GAAP, which states that the carrying amounts of long-lived assets be periodically reviewed to determine whether current events or circumstances warrant adjustment to such carrying amounts. Any impairment is measured by the amount that the carrying value of such assets exceeds their fair value, primarily based on estimated discounted cash flows. Considerable management judgment is necessary to estimate the fair value of assets. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value, less cost to sell. | |
Acquisitions | ' |
Acquisitions | |
We acquire businesses and/or assets that augment and complement our operations from time to time. These acquisitions are accounted for under the purchase method of accounting. The consolidated financial statements include the results of operations from such business combinations as of the date of acquisition. | |
Identifiable Intangible Assets and Goodwill | ' |
Identifiable Intangible Assets and Goodwill | |
Identifiable intangible assets with finite lives are amortized on a straight-line basis over their respective lives. Goodwill represents the excess of costs over the fair value of net assets of the acquired business. We review the carrying values of goodwill at least annually during the fourth quarter of each year to assess impairment because these assets are not amortized. Additionally, we review the carrying value of any intangible asset or goodwill whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. We assess impairment by comparing the fair value of an identifiable intangible asset or reporting unit with its carrying value. Impairments are recorded when incurred. No impairment loss was recognized on our intangible assets for the years ended December 31, 2013, 2012 or 2011. | |
Treasury Stock | ' |
Treasury Stock | |
Treasury stock purchases are accounted for under the cost method whereby the entire cost of the acquired stock is recorded as treasury stock. Gains or losses on the subsequent reissuance of shares are credited or charged to additional paid in capital. | |
Reclassification | ' |
Reclassification | |
Certain prior period amounts have been reclassified to conform to current year presentation. | |
Use of Estimates in Financial Statements | ' |
Use of Estimates in Financial Statements | |
In preparing financial statements in conformity with U.S. GAAP, we make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. Significant estimates are used for, but not limited to, our allowance for doubtful accounts, accrued insurance claims, asset valuations and review for potential impairment, and deferred taxes. The estimates are based upon various factors including current and historical trends, as well as other pertinent industry and regulatory authority information. We regularly evaluate this information to determine if it is necessary to update the basis for our estimates and to compensate for known changes. | |
Concentrations of Credit Risk | ' |
Concentrations of Credit Risk | |
The accounting guidance requires the disclosure of significant concentrations of credit risk, regardless of the degree of such risk. Financial instruments, as defined by U.S. GAAP, which potentially subject us to concentrations of credit risk, consist principally of cash and cash equivalents, marketable securities, deferred compensation funding and accounts and notes receivable. We define our marketable securities as fixed income investments which are highly liquid investments that can be readily purchased or sold using established markets. At December 31, 2013 and 2012, substantially all of our cash and cash equivalents, and marketable securities were held in one large financial institution located in the United States. | |
Our clients are concentrated in the health care industry, primarily providers of long-term care. Many of our clients’ revenues are highly contingent on Medicare, Medicaid and third party payors’ reimbursement funding rates. Congress has enacted a number of major laws during the past decade that have significantly altered, or threatened to alter, overall government reimbursement for nursing home services. These changes and lack of substantive reimbursement funding rate reform legislation, as well as other trends in the long-term care industry have affected and could adversely affect the liquidity of our clients, resulting in their inability to make payments to us on agreed upon payment terms. These factors, in addition to delays in payments from clients, have resulted in, and could continue to result in, significant additional bad debts in the future. | |
As a result of the current economic crisis, many states have significant budget deficits. State Medicaid programs are experiencing increased demand, and with lower revenues than projected, they have fewer resources to support their Medicaid programs. In addition, comprehensive health care legislation under the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 (together, the “Act”) was signed into law in March 2010. The Act will significantly impact the governmental healthcare programs in which our clients participate, and reimbursements received thereunder from governmental or third-party payors. Furthermore, in the coming year and beyond, new proposals or additional changes in existing regulations could be made to the Act which could directly impact the governmental reimbursement programs in which our clients participate. As a result, some state Medicaid programs are reconsidering previously approved increases in nursing home reimbursement or are considering delaying or foregoing those increases. A few states have indicated that it is possible they will run out of cash to pay Medicaid providers, including nursing homes. Any negative changes in our clients’ reimbursements may negatively impact our results of operations. Although we are currently evaluating the Act’s effect on our client base, we may not know the full effect until such time as these laws are fully implemented and Centers for Medicare and Medicaid Services (“CMS”) and other agencies issue applicable regulations or guidance. | |
In 2009 and 2010, Federal economic stimulus legislation was enacted to counter the impact of the economic crisis on state budgets. The legislation included the temporary provision of additional federal matching funds to help states maintain their Medicaid programs. This legislation to provide states with an extension of this fiscal relief was extended through June 2011, but at a reduced reimbursement rate. In July 2011, CMS issued a final rule that reduced Medicare payments to nursing centers by 11.1% and changed the reimbursement for the provision of group rehabilitation therapy services to Medicare beneficiaries. This new rule was effective as of October 1, 2011. Even if federal or state legislation is enacted that provides additional funding to Medicaid providers, given the volatility of the economic environment, it is difficult to predict the impact of this legislation on our clients’ liquidity and their ability to make payments to us as agreed. | |
In January 2013, the U.S. Congress enacted the American Taxpayer Relief Act of 2012, which delayed automatic spending cuts, including reduced Medicare payments to plans and providers up to 2%. These discretionary spending caps were originally enacted under provisions in the Budget Control Act of 2011, an initiative to reduce the federal deficit through the year 2021, also known as “sequestration.” The sequestration went into effect starting March 2013. In December 2013, the U.S. Congress enacted the Bipartisan Budget Act of 2013, which reduces the impact of the sequestration over the next two years, beginning in fiscal year 2014 and extended the reduction in Medicare payments to plans and providers for two years through the year 2023. | |
Significant Clients | ' |
Significant Clients | |
We have several clients who each have made a contribution to our total consolidated revenues ranging from 3% to 5% for the year ended December 31, 2013. Although we expect to continue relationships with these clients, there can be no assurance thereof. The loss of such clients, or a significant reduction in the revenues we receive from these clients, would have a material adverse effect on the results of operations of our two operating segments. In addition, if such clients change their respective payment terms it could increase our accounts receivable balance and have a material adverse effect on our cash flows and cash and cash equivalents. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In February 2013, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This ASU requires an entity to include additional disclosures about significant amounts reclassified out of accumulated other comprehensive income by component. An entity has the option to present this information, either on the face of the statement where net income is presented or in the accompanying notes. This ASU does not change current requirements for reporting net income or other comprehensive income under current accounting guidance. This ASU is effective for reporting periods beginning after December 15, 2012. The adoption of this standard in 2013 did not have a material impact on the Company's consolidated results of operations, cash flows, or financial position. |
Acquisition_Tables
Acquisition (Tables) (Platinum Health Services, LLC [Member]) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Platinum Health Services, LLC [Member] | ' | |||
Business Acquisition [Line Items] | ' | |||
Schedule of Preliminary Allocation of Purchase Consideration | ' | |||
The preliminary allocation is as follows: | ||||
Fair value of assets acquired, net of liabilities assumed | $ | 2,604,000 | ||
Goodwill | 23,228,000 | |||
Intangible assets | 21,000,000 | |||
Net assets acquired | $ | 46,832,000 | ||
Changes_in_Accumulated_Other_C1
Changes in Accumulated Other Comprehensive Income by Component (Tables) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | |||
Summary of Changes in Accumulated Other Comprehensive Income | ' | |||
The following table provides a summary of changes in accumulated other comprehensive income: | ||||
Unrealized Gains and Losses on Available for Sale Securities (1) | ||||
Accumulated other comprehensive income — December 31, 2012 | $ | 127,000 | ||
Other comprehensive income before reclassifications | (43,000 | ) | ||
Amounts reclassified from accumulated other comprehensive income (2)(3) | (35,000 | ) | ||
Net current period change in other comprehensive income | (78,000 | ) | ||
Accumulated other comprehensive income — December 31, 2013 | $ | 49,000 | ||
-1 | All amounts are net of tax. | |||
-2 | Realized gains and losses are recorded pre-tax in the other income - investment and interest caption on our consolidated statements of comprehensive income. | |||
-3 | The Company recorded $49,000 of realized gains from the sale of available for sale securities. Refer to Note 5 herein for further information. |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||
Changes in the Carrying Values of Goodwill by Reportable Operating Segment | ' | |||||||||||
The changes in the carrying values of goodwill by reportable operating segment, as described in Note 14 herein, were as follows: | ||||||||||||
Reportable Segments | ||||||||||||
Housekeeping | Dietary | Total | ||||||||||
December 31, 2012 | $ | 14,894,000 | $ | 2,061,000 | $ | 16,955,000 | ||||||
Goodwill acquired during the year | 23,228,000 | — | 23,228,000 | |||||||||
December 31, 2013 | $ | 38,122,000 | $ | 2,061,000 | $ | 40,183,000 | ||||||
Identifiable Intangible Assets Subject To Amortization | ' | |||||||||||
The following table sets forth the amounts of our identifiable intangible assets subject to amortization, which were acquired in acquisitions. | ||||||||||||
December 31, | ||||||||||||
2013 | 2012 | |||||||||||
Customer relationships | $ | 35,481,000 | $ | 14,481,000 | ||||||||
Non-compete agreements | 800,000 | 800,000 | ||||||||||
Total other intangibles, gross | 36,281,000 | 15,281,000 | ||||||||||
Less accumulated amortization | 12,909,000 | 10,078,000 | ||||||||||
Other intangibles, net | $ | 23,372,000 | $ | 5,203,000 | ||||||||
Estimated Amortization Expense For Intangibles Subject To Amortization | ' | |||||||||||
The following table sets forth the estimated amortization expense for intangibles subject to amortization for the following five fiscal years: | ||||||||||||
Period/Year | Customer | Non-Compete | Total | |||||||||
Relationships | Agreements | |||||||||||
2014 | $ | 3,211,000 | $ | 67,000 | $ | 3,278,000 | ||||||
2015 | 3,211,000 | — | 3,211,000 | |||||||||
2016 | 2,668,000 | — | 2,668,000 | |||||||||
2017 | 2,397,000 | — | 2,397,000 | |||||||||
2018 | 2,298,000 | — | 2,298,000 | |||||||||
Thereafter | 9,520,000 | — | 9,520,000 | |||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||
Fair Value Measurements | ' | |||||||||||||||||||
The following tables provide fair value measurement information for our marketable securities and deferred compensation fund investment assets as of December 31, 2013 and 2012: | ||||||||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||
Fair Value Measurement Using: | ||||||||||||||||||||
Carrying | Total Fair | Quoted | Significant | Significant | ||||||||||||||||
Amount | Value | Prices | Other | Unobservable | ||||||||||||||||
in Active | Observable | Inputs | ||||||||||||||||||
Markets | Inputs | (Level 3) | ||||||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||||||
Financial Assets: | ||||||||||||||||||||
Marketable securities | ||||||||||||||||||||
Municipal bonds | $ | 11,445,000 | $ | 11,445,000 | $ | — | $ | 11,445,000 | $ | — | ||||||||||
Deferred compensation fund | ||||||||||||||||||||
Money Market | $ | 3,592,000 | $ | 3,592,000 | $ | — | $ | 3,592,000 | $ | — | ||||||||||
Balanced and Lifestyle | 8,174,000 | 8,174,000 | 8,174,000 | — | — | |||||||||||||||
Large Cap Growth | 4,292,000 | 4,292,000 | 4,292,000 | — | — | |||||||||||||||
Small Cap Value | 2,173,000 | 2,173,000 | 2,173,000 | — | — | |||||||||||||||
Fixed Income | 1,962,000 | 1,962,000 | 1,962,000 | — | — | |||||||||||||||
International | 1,079,000 | 1,079,000 | 1,079,000 | — | — | |||||||||||||||
Mid Cap Growth | 928,000 | 928,000 | 928,000 | — | — | |||||||||||||||
Deferred compensation fund | $ | 22,200,000 | $ | 22,200,000 | $ | 18,608,000 | $ | 3,592,000 | $ | — | ||||||||||
As of December 31, 2012 | ||||||||||||||||||||
Fair Value Measurement Using: | ||||||||||||||||||||
Carrying | Total Fair | Quoted | Significant | Significant | ||||||||||||||||
Amount | Value | Prices | Other | Unobservable | ||||||||||||||||
in Active | Observable | Inputs | ||||||||||||||||||
Markets | Inputs | (Level 3) | ||||||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||||||
Financial Assets: | ||||||||||||||||||||
Marketable securities | ||||||||||||||||||||
Municipal bonds | $ | 21,322,000 | $ | 21,322,000 | $ | — | $ | 21,322,000 | $ | — | ||||||||||
Deferred compensation fund | ||||||||||||||||||||
Money Market | $ | 4,114,000 | $ | 4,114,000 | $ | — | $ | 4,114,000 | $ | — | ||||||||||
Balanced and Lifestyle | 6,311,000 | 6,311,000 | 6,311,000 | — | — | |||||||||||||||
Large Cap Growth | 2,724,000 | 2,724,000 | 2,724,000 | — | — | |||||||||||||||
Small Cap Value | 1,936,000 | 1,936,000 | 1,936,000 | — | — | |||||||||||||||
Fixed Income | 1,461,000 | 1,461,000 | 1,461,000 | — | — | |||||||||||||||
International | 785,000 | 785,000 | 785,000 | — | — | |||||||||||||||
Mid Cap Growth | 500,000 | 500,000 | 500,000 | — | — | |||||||||||||||
Deferred compensation fund | $ | 17,831,000 | $ | 17,831,000 | $ | 13,717,000 | $ | 4,114,000 | $ | — | ||||||||||
Marketable Debt Securities | ' | |||||||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | Other-than-temporary Impairments | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||||
Type of security: | ||||||||||||||||||||
Municipal bonds — available for sale | 11,364,000 | 83,000 | (2,000 | ) | 11,445,000 | — | ||||||||||||||
Total debt securities | $ | 11,364,000 | $ | 83,000 | $ | (2,000 | ) | $ | 11,445,000 | $ | — | |||||||||
December 31, 2012 | ||||||||||||||||||||
Type of security: | ||||||||||||||||||||
Municipal bonds — available for sale | 21,111,000 | 220,000 | (9,000 | ) | 21,322,000 | — | ||||||||||||||
Total debt securities | $ | 21,111,000 | $ | 220,000 | $ | (9,000 | ) | $ | 21,322,000 | $ | — | |||||||||
December 31, 2011 | ||||||||||||||||||||
Type of security: | ||||||||||||||||||||
Municipal bonds | $ | 2,167,000 | $ | 82,000 | $ | — | $ | 2,249,000 | $ | — | ||||||||||
Municipal bonds — available for sale | 28,745,000 | 352,000 | (9,000 | ) | 29,088,000 | — | ||||||||||||||
Total debt securities | $ | 30,912,000 | $ | 434,000 | $ | (9,000 | ) | $ | 31,337,000 | $ | — | |||||||||
Contractual Maturities of Available For Sale Investments | ' | |||||||||||||||||||
The following tables include contractual maturities of debt securities held at December 31, 2013 and 2012, which are classified as marketable securities in the consolidated Balance Sheet. | ||||||||||||||||||||
Municipal Bonds — Available for Sale | ||||||||||||||||||||
Contractual maturity: | December 31, 2013 | December 31, 2012 | ||||||||||||||||||
Maturing in one year or less | $ | 1,846,000 | $ | 5,164,000 | ||||||||||||||||
Maturing after one year through three years | 7,113,000 | 12,134,000 | ||||||||||||||||||
Maturing after three years | 2,486,000 | 4,024,000 | ||||||||||||||||||
Total debt securities | $ | 11,445,000 | $ | 21,322,000 | ||||||||||||||||
Recovered_Sheet1
Allowance for Doubtful Accounts (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||||||
Allowance for Doubtful Debts | ' | |||||||||||||||||||
In order to provide for these collection problems and the general risk associated with the granting of credit terms, we have recorded the following bad debt provisions (in an Allowance for Doubtful Accounts): | ||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Bad debt provision | $ | 1,990,000 | $ | 2,160,000 | $ | 2,450,000 | ||||||||||||||
Impaired Notes Receivable | ' | |||||||||||||||||||
Summary schedules of impaired notes receivable, and the related reserve, for the years ended December 31, 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||
Impaired Notes Receivable | ||||||||||||||||||||
Year ended December 31, | Balance Beginning of Year | Additions | Deductions | Balance End of Year | Average Outstanding Balance | |||||||||||||||
2013 | $ | 1,639,000 | $ | 1,267,000 | $ | 14,000 | $ | 2,892,000 | $ | 2,266,000 | ||||||||||
2012 | $ | 1,855,000 | $ | — | $ | 216,000 | $ | 1,639,000 | $ | 1,747,000 | ||||||||||
2011 | $ | 1,910,000 | $ | 5,000 | $ | 60,000 | $ | 1,855,000 | $ | 1,883,000 | ||||||||||
Reserve for Impaired Notes Receivable | ' | |||||||||||||||||||
Reserve for Impaired Notes Receivable | ||||||||||||||||||||
Year ended December 31, | Balance Beginning of Year | Additions | Deductions | Balance End of Year | ||||||||||||||||
2013 | $ | 958,000 | $ | 1,072,000 | $ | 11,000 | $ | 2,019,000 | ||||||||||||
2012 | $ | 1,066,000 | $ | 108,000 | $ | 216,000 | $ | 958,000 | ||||||||||||
2011 | $ | 930,000 | $ | 196,000 | $ | 60,000 | $ | 1,066,000 | ||||||||||||
Lease_Commitments_Tables
Lease Commitments (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Leases, Operating [Abstract] | ' | |||||||||||
Future Minimum Lease Payments under Operating Leases | ' | |||||||||||
The following is a schedule, by calendar year, of future minimum lease payments under operating leases that have remaining terms as of December 31, 2013. | ||||||||||||
Period/Year | Operating | |||||||||||
Leases | ||||||||||||
2014 | $ | 1,063,000 | ||||||||||
2015 | 340,000 | |||||||||||
2016 | 70,000 | |||||||||||
2017 | — | |||||||||||
2018 | — | |||||||||||
Thereafter | — | |||||||||||
Total minimum lease payments | $ | 1,473,000 | ||||||||||
Operating Leases Expense | ' | |||||||||||
Total expense for all operating leases was as follows: | ||||||||||||
Year Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Operating lease expense | $ | 1,239,000 | $ | 1,451,000 | $ | 1,336,000 | ||||||
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||
Schedule of Stock-based Compensation Expense | ' | ||||||||||||||||||||
A summary of stock-based compensation expense for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||
December 31, | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Stock Options | $ | 2,017,000 | $ | 1,897,000 | $ | 1,870,000 | |||||||||||||||
Restricted Stock | 28,000 | — | — | ||||||||||||||||||
Employee Stock Purchase Plan (ESPP) | 562,000 | 641,000 | 282,000 | ||||||||||||||||||
Total pre-tax stock-based compensation expense charged against income (1) | $ | 2,607,000 | $ | 2,538,000 | $ | 2,152,000 | |||||||||||||||
-1 | Stock-based compensation expense is recorded in the selling, general and administrative caption in our consolidated statements of comprehensive income. | ||||||||||||||||||||
Summary of Stock Options Activity | ' | ||||||||||||||||||||
A summary of our stock option activity is as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Weighted Average Exercise Price | Number of Shares | Weighted Average Exercise Price | Number of Shares | Weighted Average Exercise Price | Number of Shares | ||||||||||||||||
Beginning of period | $ | 13.18 | 2,632,000 | $ | 10.97 | 2,912,000 | $ | 9.14 | 3,002,000 | ||||||||||||
Granted | 23.5 | 564,000 | 17.5 | 601,000 | 16.11 | 510,000 | |||||||||||||||
Cancelled | 18.18 | (88,000 | ) | 14.53 | (134,000 | ) | 12.67 | (96,000 | ) | ||||||||||||
Exercised | 10.37 | (625,000 | ) | 7.81 | (747,000 | ) | 4.93 | (504,000 | ) | ||||||||||||
End of period | $ | 16.05 | 2,483,000 | $ | 13.18 | 2,632,000 | $ | 10.97 | 2,912,000 | ||||||||||||
Other information pertaining to activity of our stock awards during the years ended December 31, 2013, 2012 and 2011 was as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Total grant-date fair value of stock awards granted | $ | 3,412,000 | $ | 2,438,000 | $ | 1,477,000 | |||||||||||||||
Total fair value of stock awards vested during period | $ | 1,897,000 | $ | 1,409,000 | $ | 1,551,000 | |||||||||||||||
Total unrecognized compensation expense related to non-vested stock awards | $ | 4,963,000 | $ | 3,999,000 | $ | 3,547,000 | |||||||||||||||
Summarized Information of Stock Options Outstanding | ' | ||||||||||||||||||||
The following table summarizes other information about our outstanding stock options at December 31, 2013. | |||||||||||||||||||||
Stock Options | 2013 | 2012 | 2011 | ||||||||||||||||||
Range of exercise prices | $6.07 - 23.50 | $3.68 - 17.50 | $2.41 - 16.11 | ||||||||||||||||||
Outstanding: | |||||||||||||||||||||
Weighted average remaining contractual life (years) | 6.5 | 6.3 | 6 | ||||||||||||||||||
Aggregate intrinsic value | $ | 30,599,000 | $ | 26,472,000 | $ | 19,639,000 | |||||||||||||||
Exercisable: | |||||||||||||||||||||
Number of shares | 922,000 | 1,040,000 | 1,383,000 | ||||||||||||||||||
Weighted average remaining contractual life (years) | 4.5 | 4.2 | 3.9 | ||||||||||||||||||
Aggregate intrinsic value | $ | 15,053,000 | $ | 13,934,000 | $ | 13,925,000 | |||||||||||||||
Exercised: | |||||||||||||||||||||
Aggregate intrinsic value | $ | 9,139,000 | $ | 10,465,000 | $ | 5,059,000 | |||||||||||||||
Assumption for Fair Value of Options Granted | ' | ||||||||||||||||||||
The fair value of stock awards granted during 2013, 2012 and 2011 was estimated on the date of grant using the Black-Scholes option valuation model based on the following assumptions: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Risk-free interest rate | 1.50% | 1.30% | 2.60% | ||||||||||||||||||
Weighted average expected life in years | 6.0 years | 6.8 years | 7.4 years | ||||||||||||||||||
Expected volatility | 38.90% | 39.20% | 27.40% | ||||||||||||||||||
Dividend yield | 2.80% | 3.60% | 3.66% | ||||||||||||||||||
Forfeiture rate | 3.00% | 2.90% | 3.81% | ||||||||||||||||||
Summary of ESPP Annual Offerings | ' | ||||||||||||||||||||
The following table summarizes information about our ESPP annual offerings for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
ESPP Annual Offering | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Common shares purchased | 65,000 | 79,000 | 71,000 | ||||||||||||||||||
Per common share purchase price | $ | 19.75 | $ | 15.04 | $ | 13.83 | |||||||||||||||
Amount expensed under ESPP | $ | 562,000 | $ | 641,000 | $ | 282,000 | |||||||||||||||
Net proceeds from issuance | $ | 1,288,000 | $ | 1,192,000 | $ | 978,000 | |||||||||||||||
Common shares date of issue | Jan 3, 2014 | Jan 4, 2013 | Jan 4, 2012 | ||||||||||||||||||
Summary of Information Of SERP | ' | ||||||||||||||||||||
The following table summarizes information about our SERP for the plan years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
SERP Plan Year | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Amount of company match expensed under SERP | $ | 538,000 | $ | 560,000 | $ | 444,000 | |||||||||||||||
Treasury shares issued to fund SERP expense | 19,000 | 24,000 | 26,000 | ||||||||||||||||||
SERP trust account balance at December 31 | $ | 31,415,000 | (1) | $ | 24,997,000 | (1) | $ | 18,942,000 | (1) | ||||||||||||
Unrealized gain (loss) recorded in SERP liability account | $ | 3,005,000 | $ | 1,718,000 | $ | (104,000 | ) | ||||||||||||||
-1 | SERP trust account investments are recorded at their fair value which is based on quoted market prices. Differences between such amounts in the table above and the deferred compensation funding asset reported on our Consolidated Balance Sheets represent the value of our Common Stock held in the Plan’s participants’ trust account and reported by us as treasury stock in our Consolidated Balance Sheets. |
Dividends_Tables
Dividends (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||
Dividend Payments | ' | |||||||||||||||
During 2013, we paid regular quarterly cash dividends totaling $46,707,000 as detailed below: | ||||||||||||||||
Quarter Ended | ||||||||||||||||
31-Mar-13 | 30-Jun-13 | 30-Sep-13 | 31-Dec-13 | |||||||||||||
Cash dividend per common share | $ | 0.16625 | $ | 0.1675 | $ | 0.16875 | $ | 0.17 | ||||||||
Total cash dividends paid | $ | 11,415,000 | $ | 11,516,000 | $ | 11,829,000 | $ | 11,947,000 | ||||||||
Record date | February 22 | May 10 | August 16 | November 15 | ||||||||||||
Payment date | March 15 | June 14 | September 20 | December 20 | ||||||||||||
Dividends Payable on Outstanding Weighted Average Basic Common Shares | ' | |||||||||||||||
Cash dividends on our outstanding weighted average number of basic common shares for the years ended December 31, 2013, 2012 and 2011 was as follows: | ||||||||||||||||
December 31, | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
Cash dividends per common share | $ | 0.67 | $ | 0.65 | $ | 0.63 | ||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Summary of Provision for Income Taxes | ' | |||||||||||
The following table summarizes the provision for income taxes: | ||||||||||||
Year Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Current: | ||||||||||||
Federal | $ | 19,045,000 | $ | 24,350,000 | $ | 15,053,000 | ||||||
State | 5,381,000 | 5,373,000 | 4,488,000 | |||||||||
24,426,000 | 29,723,000 | 19,541,000 | ||||||||||
Deferred: | ||||||||||||
Federal | (4,172,000 | ) | (3,048,000 | ) | 296,000 | |||||||
State | (894,000 | ) | (625,000 | ) | (181,000 | ) | ||||||
(5,066,000 | ) | (3,673,000 | ) | 115,000 | ||||||||
Tax Provision | $ | 19,360,000 | $ | 26,050,000 | $ | 19,656,000 | ||||||
Significant Components of Federal and State Deferred Tax Assets and Liabilities | ' | |||||||||||
Significant components of our federal and state deferred tax assets and liabilities are as follows: | ||||||||||||
Years Ended December 31, | ||||||||||||
2013 | 2012 | |||||||||||
Net current deferred assets (liabilities): | ||||||||||||
Allowance for doubtful accounts | $ | 1,560,000 | $ | 1,580,000 | ||||||||
Accrued insurance claims — current | 3,574,000 | 2,727,000 | ||||||||||
Expensing of housekeeping supplies | (5,059,000 | ) | (4,432,000 | ) | ||||||||
Other | 2,264,000 | (450,000 | ) | |||||||||
$ | 2,339,000 | $ | (575,000 | ) | ||||||||
Net noncurrent deferred assets (liabilities): | ||||||||||||
Deferred compensation | $ | 7,987,000 | $ | 7,095,000 | ||||||||
Non-deductible reserves | 5,000 | 8,000 | ||||||||||
Depreciation of property and equipment | (2,933,000 | ) | (3,028,000 | ) | ||||||||
Accrued insurance claims — noncurrent | 6,848,000 | 6,255,000 | ||||||||||
Amortization of intangibles | 1,015,000 | 522,000 | ||||||||||
Other | 352,000 | 363,000 | ||||||||||
$ | 13,274,000 | $ | 11,215,000 | |||||||||
Reconciliation of The Provision for Income Taxes | ' | |||||||||||
A reconciliation of the provision for income taxes and the amount computed by applying the statutory federal income tax rate to income before income taxes is as follows: | ||||||||||||
Year Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Tax expense computed at statutory rate | $ | 23,271,000 | $ | 24,592,000 | $ | 20,234,000 | ||||||
Increases (decreases) resulting from: | ||||||||||||
State income taxes, net of federal tax benefit | 2,916,000 | 3,086,000 | 2,800,000 | |||||||||
Federal jobs credits | (7,121,000 | ) | (1,110,000 | ) | (4,196,000 | ) | ||||||
Tax exempt interest | (29,000 | ) | (99,000 | ) | (253,000 | ) | ||||||
Other, net | 323,000 | (419,000 | ) | 1,071,000 | ||||||||
$ | 19,360,000 | $ | 26,050,000 | $ | 19,656,000 | |||||||
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||
Schedule of Information of Reportable Segments | ' | |||||||||||||||||
Housekeeping | Dietary | Corporate and | Total | |||||||||||||||
Services | Services | Eliminations | ||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||
Revenues | $ | 759,093,000 | $ | 390,797,000 | $ | — | $ | 1,149,890,000 | ||||||||||
Income before income taxes | 68,872,000 | 21,244,000 | (23,627,000 | ) | (1) | 66,489,000 | ||||||||||||
Depreciation and amortization | 5,105,000 | 693,000 | 406,000 | 6,204,000 | ||||||||||||||
Total assets | 213,397,000 | 92,424,000 | 119,521,000 | (2) | 425,342,000 | |||||||||||||
Capital expenditures | $ | 2,726,000 | $ | 460,000 | $ | 576,000 | $ | 3,762,000 | ||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||
Revenues | $ | 737,407,000 | $ | 339,855,000 | $ | 173,000 | (1) | $ | 1,077,435,000 | |||||||||
Income before income taxes | 69,429,000 | 18,474,000 | (17,639,000 | ) | (1) | 70,264,000 | ||||||||||||
Depreciation and amortization | 4,069,000 | 676,000 | 371,000 | 5,116,000 | ||||||||||||||
Total assets | 144,412,000 | 62,263,000 | 124,508,000 | (2) | 331,183,000 | |||||||||||||
Capital expenditures | $ | 2,765,000 | $ | 453,000 | $ | 266,000 | $ | 3,484,000 | ||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||
Revenues | $ | 654,886,000 | $ | 234,247,000 | $ | (68,000 | ) | (1) | $ | 889,065,000 | ||||||||
Income before income taxes | 63,395,000 | 11,678,000 | (17,261,000 | ) | (1) | 57,812,000 | ||||||||||||
Depreciation and amortization | 3,428,000 | 614,000 | 345,000 | 4,387,000 | ||||||||||||||
Total assets | 135,223,000 | 57,034,000 | 97,438,000 | (2) | 289,695,000 | |||||||||||||
Capital expenditures | $ | 4,697,000 | $ | 372,000 | $ | 476,000 | $ | 5,545,000 | ||||||||||
-1 | represents primarily corporate office cost and related overhead, recording of transactions at the reportable segment level which use methods other than generally accepted accounting principles, as well as consolidated subsidiaries’ operating expenses that are not allocated to the reportable segments, net of investment and interest income. | |||||||||||||||||
-2 | represents primarily cash and cash equivalents, marketable securities, deferred income taxes and other current and noncurrent assets. | |||||||||||||||||
Revenues by Client Services | ' | |||||||||||||||||
The following revenues earned from clients differ from segment revenues reported above due to the inclusion of adjustments used for segment reporting purposes by management. We earned total revenues from clients in the following service categories: | ||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||
Housekeeping services | $ | 514,180,000 | $ | 492,319,000 | $ | 440,924,000 | ||||||||||||
Laundry and linen services | 241,540,000 | 240,670,000 | 210,896,000 | |||||||||||||||
Dietary services | 390,797,000 | 339,867,000 | 234,542,000 | |||||||||||||||
Maintenance services and other | 3,373,000 | 4,579,000 | 2,703,000 | |||||||||||||||
$ | 1,149,890,000 | $ | 1,077,435,000 | $ | 889,065,000 | |||||||||||||
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Computation of Basic and Diluted Net Earnings Per Share | ' | |||||||||||
The computations of basic net earnings per share and diluted net earnings per share for 2013, 2012 and 2011 are as follows: | ||||||||||||
Year ended December 31, 2013 | ||||||||||||
Income | Shares | Per-share | ||||||||||
(Numerator) | (Denominator) | Amount | ||||||||||
Net income | $ | 47,129,000 | ||||||||||
Basic earnings per common share | $ | 47,129,000 | 69,206,000 | $ | 0.68 | |||||||
Effect of dilutive securities: | ||||||||||||
Stock options and restricted stock | 839,000 | (0.01 | ) | |||||||||
Diluted earnings per common share | $ | 47,129,000 | 70,045,000 | $ | 0.67 | |||||||
Year ended December 31, 2012 | ||||||||||||
Income | Shares | Per-share | ||||||||||
(Numerator) | (Denominator) | Amount | ||||||||||
Net income | $ | 44,214,000 | ||||||||||
Basic earnings per common share | $ | 44,214,000 | 67,511,000 | $ | 0.65 | |||||||
Effect of dilutive securities: | ||||||||||||
Stock options and restricted stock | 974,000 | — | ||||||||||
Diluted earnings per common share | $ | 44,214,000 | 68,485,000 | $ | 0.65 | |||||||
Year ended December 31, 2011 | ||||||||||||
Income | Shares | Per-share | ||||||||||
(Numerator) | (Denominator) | Amount | ||||||||||
Net income | $ | 38,156,000 | ||||||||||
Basic earnings per common share | $ | 38,156,000 | 66,637,000 | $ | 0.57 | |||||||
Effect of dilutive securities: | ||||||||||||
Stock options and restricted stock | 948,000 | (0.01 | ) | |||||||||
Diluted earnings per common share | $ | 38,156,000 | 67,585,000 | $ | 0.56 | |||||||
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Selected Quarterly Financial Data | ' | |||||||||||||||
The following tables summarize the unaudited quarterly financial data for the last two fiscal years. | ||||||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||
2013 | ||||||||||||||||
Revenues | $ | 273,904,000 | $ | 273,604,000 | $ | 298,549,000 | $ | 303,833,000 | ||||||||
Operating costs and expenses | $ | 255,981,000 | $ | 253,965,000 | $ | 278,540,000 | $ | 298,616,000 | ||||||||
Income before income taxes | $ | 18,957,000 | $ | 19,858,000 | $ | 21,193,000 | $ | 6,481,000 | ||||||||
Net income | $ | 14,954,000 | $ | 12,933,000 | $ | 13,790,000 | $ | 5,452,000 | ||||||||
Basic earnings per common share(1) | $ | 0.22 | $ | 0.19 | $ | 0.2 | $ | 0.08 | ||||||||
Diluted earnings per common share(1) | $ | 0.22 | $ | 0.19 | $ | 0.2 | $ | 0.08 | ||||||||
Cash dividends per common share(1) | $ | 0.17 | $ | 0.17 | $ | 0.17 | $ | 0.17 | ||||||||
2012 | ||||||||||||||||
Revenues | $ | 260,607,000 | $ | 267,108,000 | $ | 272,681,000 | $ | 277,039,000 | ||||||||
Operating costs and expenses | $ | 248,477,000 | $ | 248,730,000 | $ | 255,070,000 | $ | 257,814,000 | ||||||||
Income before income taxes | $ | 13,783,000 | $ | 18,283,000 | $ | 18,573,000 | $ | 19,625,000 | ||||||||
Net income | $ | 8,579,000 | $ | 11,320,000 | $ | 11,517,000 | $ | 12,798,000 | ||||||||
Basic earnings per common share(1) | $ | 0.13 | $ | 0.17 | $ | 0.17 | $ | 0.19 | ||||||||
Diluted earnings per common share(1) | $ | 0.13 | $ | 0.17 | $ | 0.17 | $ | 0.19 | ||||||||
Cash dividends per common share(1) | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.17 | ||||||||
-1 | Year-to-date earnings and cash dividends per common share amounts may differ from the sum of quarterly amounts due to rounding. |
Description_of_Business_and_Si2
Description of Business and Significant Accounting Policies (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Jul. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jan. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
segment | Autos And Trucks [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | ||||
subsidiary | Laundry And Linen Equipment Installations [Member] | Housekeeping, And Office Furniture And Equipment [Member] | Laundry And Linen Equipment Installations [Member] | Housekeeping, And Office Furniture And Equipment [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Service agreement term | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Days to notify cancellation of service | ' | ' | ' | ' | ' | '30 days | ' | ' | ' | '90 days | ' | ' |
Initial period of service term | ' | '90 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of reportable segments | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of subsidiaries | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notes receivable | ' | $2,892 | $1,639 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discounted notes receivable | ' | 2,880 | 1,620 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Marketable securities | ' | 11,445 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrealized gains from marketable securities | ' | 49 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization period of inventories and supplies | ' | '24 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Useful life | ' | ' | ' | ' | '3 years | ' | '3 years | '3 years | ' | ' | '7 years | '7 years |
Depreciation expense | ' | $3,373 | $2,947 | $2,416 | ' | ' | ' | ' | ' | ' | ' | ' |
Property and equipment payment terms | ' | ' | ' | ' | ' | '24 months | ' | ' | ' | '60 months | ' | ' |
Percentage of reduction of Medicare payments to nursing centers | 11.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of reduction of Medicare payments to plans and providers | ' | ' | ' | ' | ' | ' | ' | ' | 2.00% | ' | ' | ' |
Percentage of revenue from a major client | ' | ' | ' | ' | ' | 3.00% | ' | ' | ' | 5.00% | ' | ' |
Acquisition_Preliminary_Alloca
Acquisition (Preliminary Allocation of Purchase Consideration) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 12, 2013 | Jul. 12, 2013 |
In Thousands, unless otherwise specified | Platinum Health Services, LLC [Member] | Platinum Health Services, LLC [Member] | ||
Customer Relationships [Member] | ||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | ' | ' | ' | ' |
Fair value of assets acquired, net of liabilities assumed | ' | ' | $2,604 | ' |
Goodwill | 40,183 | 16,955 | 23,228 | ' |
Intangible assets | ' | ' | 21,000 | 21,000 |
Net assets acquired | ' | ' | $46,832 | ' |
Acquisition_Narrative_Details
Acquisition (Narrative) (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Jul. 12, 2013 | Dec. 31, 2013 | Jul. 12, 2013 |
Customer Relationships [Member] | Platinum Health Services, LLC [Member] | Platinum Health Services, LLC [Member] | Platinum Health Services, LLC [Member] | ||||
Customer Relationships [Member] | |||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Total purchase consideration | ' | ' | ' | ' | $46,832 | ' | ' |
Cash paid for acquisition | 5,000 | 0 | 1,000 | ' | 5,000 | ' | ' |
Equity interest issued to acquiree (in shares) | ' | ' | ' | ' | 1,215 | ' | ' |
Equity interest issued to acquiree (fair value) | ' | ' | ' | ' | 30,062 | ' | ' |
Contingent consideration (fair value) | ' | ' | ' | ' | ' | 11,770 | ' |
Acquired finite-lived intangible assets | ' | ' | ' | ' | $21,000 | ' | $21,000 |
Weighted average useful life of acquired finite-lived intangible assets | ' | ' | ' | '8 years | ' | ' | '10 years |
Changes_in_Accumulated_Other_C2
Changes in Accumulated Other Comprehensive Income by Component (Summary of Changes in Accumulated Other Comprehensive Income)(Details) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ' | ' | ' | ||
Accumulated other comprehensive income — December 31, 2012 | $127 | [1] | ' | ' | |
Other comprehensive income before reclassifications | -43 | [1] | ' | ' | |
Amounts reclassified from accumulated other comprehensive income (2)(3) | -35 | [1],[2],[3] | ' | ' | |
Net current period change in other comprehensive income | -78 | [1] | -216 | 421 | |
Accumulated other comprehensive income — December 31, 2013 | 49 | [1] | 127 | [1] | ' |
Realized gains from the sale of available for sale securities | $49 | ' | ' | ||
[1] | All amounts are net of tax. | ||||
[2] | The Company recorded $49,000 of realized gains from the sale of available for sale securities. Refer to Note 5 herein for further information. | ||||
[3] | Realized gains and losses are recorded pre-tax in the other income - investment and interest caption on our consolidated statements of comprehensive income. |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Changes in the Carrying Values of Goodwill by Reportable Operating Segment) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Goodwill [Roll Forward] | ' |
31-Dec-12 | $16,955 |
Goodwill acquired during the year | 23,228 |
31-Dec-13 | 40,183 |
Housekeeping [Member] | ' |
Goodwill [Roll Forward] | ' |
31-Dec-12 | 14,894 |
Goodwill acquired during the year | 23,228 |
31-Dec-13 | 38,122 |
Dietary [Member] | ' |
Goodwill [Roll Forward] | ' |
31-Dec-12 | 2,061 |
Goodwill acquired during the year | 0 |
31-Dec-13 | $2,061 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets (Identifiable Intangible Assets Subject to Amortization) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total other intangibles, gross | $36,281 | $15,281 |
Less accumulated amortization | 12,909 | 10,078 |
Other intangibles, net | 23,372 | 5,203 |
Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total other intangibles, gross | 35,481 | 14,481 |
Non-compete Agreements [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total other intangibles, gross | $800 | $800 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets (Estimated Amortization Expense for Intangibles Subject to Amortization) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ' |
2014 | $3,278 |
2015 | 3,211 |
2016 | 2,668 |
2017 | 2,397 |
2018 | 2,298 |
Thereafter | 9,520 |
Customer Relationships [Member] | ' |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ' |
2014 | 3,211 |
2015 | 3,211 |
2016 | 2,668 |
2017 | 2,397 |
2018 | 2,298 |
Thereafter | 9,520 |
Non-compete Agreements [Member] | ' |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ' |
2014 | 67 |
2015 | 0 |
2016 | 0 |
2017 | 0 |
2018 | 0 |
Thereafter | $0 |
Goodwill_and_Other_Intangible_5
Goodwill and Other Intangible Assets (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Goodwill [Line Items] | ' | ' | ' |
Goodwill | $40,183 | $16,955 | ' |
Amortization expense | $2,831 | $2,169 | $1,971 |
Customer Relationships [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Weighted average amortization period | '8 years | ' | ' |
Non-compete Agreements [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Weighted average amortization period | '8 years | ' | ' |
Minimum [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Estimated useful life of intangible assets | '7 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Estimated useful life of intangible assets | '10 years | ' | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Marketable securities | $11,445 | $21,322 | $31,337 |
Deferred compensation fund | 22,200 | 17,831 | ' |
Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 18,608 | 13,717 | ' |
Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 3,592 | 4,114 | ' |
Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 22,200 | 17,831 | ' |
Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 22,200 | 17,831 | ' |
Municipal Bonds [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Marketable securities | 0 | 0 | ' |
Municipal Bonds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Marketable securities | 11,445 | 21,322 | ' |
Municipal Bonds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Marketable securities | 0 | 0 | ' |
Municipal Bonds [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Marketable securities | 11,445 | 21,322 | ' |
Municipal Bonds [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Marketable securities | 11,445 | 21,322 | ' |
Money Market [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Money Market [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 3,592 | 4,114 | ' |
Money Market [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Money Market [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 3,592 | 4,114 | ' |
Money Market [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 3,592 | 4,114 | ' |
Balanced And Lifestyle [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 8,174 | 6,311 | ' |
Balanced And Lifestyle [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Balanced And Lifestyle [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Balanced And Lifestyle [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 8,174 | 6,311 | ' |
Balanced And Lifestyle [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 8,174 | 6,311 | ' |
Large Cap Growth [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 4,292 | 2,724 | ' |
Large Cap Growth [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Large Cap Growth [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Large Cap Growth [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 4,292 | 2,724 | ' |
Large Cap Growth [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 4,292 | 2,724 | ' |
Small Cap Value [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 2,173 | 1,936 | ' |
Small Cap Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Small Cap Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Small Cap Value [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 2,173 | 1,936 | ' |
Small Cap Value [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 2,173 | 1,936 | ' |
Fixed Income [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 1,962 | 1,461 | ' |
Fixed Income [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Fixed Income [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Fixed Income [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 1,962 | 1,461 | ' |
Fixed Income [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 1,962 | 1,461 | ' |
International [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 1,079 | 785 | ' |
International [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
International [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
International [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 1,079 | 785 | ' |
International [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 1,079 | 785 | ' |
Mid Cap Growth [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 928 | 500 | ' |
Mid Cap Growth [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Mid Cap Growth [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 0 | 0 | ' |
Mid Cap Growth [Member] | Carrying Amount [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | 928 | 500 | ' |
Mid Cap Growth [Member] | Total Fair Value [Member] | ' | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' | ' |
Deferred compensation fund | $928 | $500 | ' |
Fair_Value_Measurements_Market
Fair Value Measurements (Marketable Debt Securities) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' | ' |
Amortized Cost | $11,364 | $21,111 | $30,912 |
Gross Unrealized Gains | 83 | 220 | 434 |
Gross Unrealized Losses | -2 | -9 | -9 |
Estimated Fair Value | 11,445 | 21,322 | 31,337 |
Other-than-temporary Impairments | 0 | 0 | 0 |
Municipal Bonds — Available for Sale | ' | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' | ' |
Amortized Cost | 11,364 | 21,111 | 28,745 |
Gross Unrealized Gains | 83 | 220 | 352 |
Gross Unrealized Losses | -2 | -9 | -9 |
Estimated Fair Value | 11,445 | 21,322 | 29,088 |
Other-than-temporary Impairments | 0 | 0 | 0 |
Municipal Bonds - Other than Available for Sale [Member] | ' | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' | ' |
Amortized Cost | ' | ' | 2,167 |
Gross Unrealized Gains | ' | ' | 82 |
Gross Unrealized Losses | ' | ' | 0 |
Estimated Fair Value | ' | ' | 2,249 |
Other-than-temporary Impairments | ' | ' | $0 |
Fair_Value_Measurements_Contra
Fair Value Measurements (Contractual Maturities of Available for Sale Investments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Total debt securities | $11,445 | ' |
Municipal Bonds — Available for Sale | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Maturing in one year or less | 1,846 | 5,164 |
Maturing after one year through three years | 7,113 | 12,134 |
Maturing after three years | 2,486 | 4,024 |
Total debt securities | $11,445 | $21,322 |
Fair_Value_Measurements_Narrat
Fair Value Measurements (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Fair Value Disclosures [Abstract] | ' | ' | ' |
Unrealized losses from marketable securities | $0 | $82,000 | $486,000 |
Proceeds from available for sale municipal bonds | 14,985,000 | 16,838,000 | 12,507,000 |
Realized gain on other income, investment and interest | $49,000 | $229,000 | $95,000 |
Accounts_and_Notes_Receivable_
Accounts and Notes Receivable (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Receivables [Abstract] | ' | ' |
Notes outstanding, net | $16,116 | $10,730 |
Allowance_for_Doubtful_Account1
Allowance for Doubtful Accounts (Bad Debt Provisions) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Receivables [Abstract] | ' | ' | ' |
Bad debt provision | $1,990 | $2,160 | $2,450 |
Allowance_for_Doubtful_Account2
Allowance for Doubtful Accounts (Impaired Notes Receivable) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Impaired Notes Receivable | ' | ' | ' |
Balance Beginning of Year | $1,639 | $1,855 | $1,910 |
Additions | 1,267 | 0 | 5 |
Deductions | 14 | 216 | 60 |
Balance End of Year | 2,892 | 1,639 | 1,855 |
Average Outstanding Balance | $2,266 | $1,747 | $1,883 |
Allowance_for_Doubtful_Account3
Allowance for Doubtful Accounts (Reserve For Impaired Notes Receivable) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Reserve for Impaired Notes Receivable | ' | ' | ' |
Balance Beginning of Year | $958 | $1,066 | $930 |
Additions | 1,072 | 108 | 196 |
Deductions | 11 | 216 | 60 |
Balance End of Year | $2,019 | $958 | $1,066 |
Allowance_for_Doubtful_Account4
Allowance for Doubtful Accounts (Narrative) (Details) | 1 Months Ended | |
Jul. 31, 2011 | Jan. 31, 2013 | |
Maximum [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Percentage of reduction of Medicare payments to nursing centers | 11.10% | ' |
Percentage of reduction of Medicare payments to plans and providers | ' | 2.00% |
Lease_Commitments_Future_Minim
Lease Commitments (Future Minimum Lease Payments under Operating Leases) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Leases, Operating [Abstract] | ' |
2014 | $1,063 |
2015 | 340 |
2016 | 70 |
2017 | 0 |
2018 | 0 |
Thereafter | 0 |
Total minimum lease payments | $1,473 |
Lease_Commitments_Operating_Le
Lease Commitments (Operating Lease Expense) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Leases, Operating [Abstract] | ' | ' | ' |
Operating lease expense | $1,239 | $1,451 | $1,336 |
StockBased_Compensation_Summar
Stock-Based Compensation (Summary of Stock-Based Compensation Expense) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Stock-based compensation expense | $2,607 | [1] | $2,538 | [1] | $2,152 | [1] |
Stock Option [Member] | ' | ' | ' | |||
Stock-based compensation expense | 2,017 | 1,897 | 1,870 | |||
Restricted Stock [Member] | ' | ' | ' | |||
Stock-based compensation expense | 28 | 0 | 0 | |||
ESPP [Member] | ' | ' | ' | |||
Stock-based compensation expense | $562 | $641 | $282 | |||
[1] | Stock-based compensation expense is recorded in the selling, general and administrative caption in our consolidated statements of comprehensive income. |
ShareBased_Compensation_Summar
Share-Based Compensation (Summary of Stock Options Activity) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Weighted Average Exercise Price | ' | ' | ' |
Beginning of period (in dollars per share) | $13.18 | $10.97 | $9.14 |
Granted (in dollars per share) | $23.50 | $17.50 | $16.11 |
Cancelled (in dollars per share) | $18.18 | $14.53 | $12.67 |
Exercised (in dollars per share) | $10.37 | $7.81 | $4.93 |
End of period (in dollars per share) | $16.05 | $13.18 | $10.97 |
Number of Shares | ' | ' | ' |
Beginning of period (in shares) | 2,632 | 2,912 | 3,002 |
Granted (in shares) | 564 | 601 | 510 |
Cancelled (in shares) | -88 | -134 | -96 |
Exercised (in shares) | -625 | -747 | -504 |
End of period (in shares) | 2,483 | 2,632 | 2,912 |
ShareBased_Compensation_Summar1
Share-Based Compensation (Summarized Information of Stock Options Outstanding) (Details) (USD $) | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2011 |
$6.07 - 23.50 | $6.07 - 23.50 | $6.07 - 23.50 | $3.68 - 17.50 | $3.68 - 17.50 | $2.41 - 16.11 | $2.41 - 16.11 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Exercise price range - lower range (in dollars per share) | ' | $6.07 | ' | $6.07 | ' | ' | $6.07 |
Exercise price range - upper range (in dollars per share) | ' | $23.50 | ' | $23.50 | ' | ' | $23.50 |
Outstanding: | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining contractual life (years) | ' | '6 years 6 months | ' | ' | '6 years 3 months | ' | '6 years 0 months |
Aggregate intrinsic value | ' | $30,599 | ' | ' | $26,472 | ' | $19,639 |
Exercisable: | ' | ' | ' | ' | ' | ' | ' |
Number of shares | ' | 922 | ' | ' | 1,040 | ' | 1,383 |
Weighted average remaining contractual life (years) | ' | '4 years 6 months | ' | ' | '4 years 2 months | ' | '3 years 11 months |
Aggregate intrinsic value | ' | 15,053 | 13,934 | ' | ' | ' | 13,925 |
Exercised: | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value | $9,139 | ' | ' | $10,465 | ' | $5,059 | ' |
ShareBased_Compensation_Assump
Share-Based Compensation (Assumption For Fair Value Of Options Granted) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' |
Risk-free interest rate | 1.50% | 1.30% | 2.60% |
Weighted average expected life in years | '6 years | '6 years 9 months 18 days | '7 years 4 months 24 days |
Expected volatility | 38.90% | 39.20% | 27.40% |
Dividend yield | 2.80% | 3.60% | 3.66% |
Forfeiture rate | 3.00% | 2.90% | 3.81% |
ShareBased_Compensation_Summar2
Share-Based Compensation (Summary Of Other Information Of Stock Option Plans) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' | ' |
Total grant-date fair value of stock awards granted | $3,412 | $2,438 | $1,477 |
Total fair value of stock awards vested during period | 1,897 | 1,409 | 1,551 |
Total unrecognized compensation expense related to non-vested stock awards | $4,963 | $3,999 | $3,547 |
ShareBased_Compensation_Summar3
Share-Based Compensation (Summary Of ESPP Annual Offerings) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |||
Amount expensed under ESPP | $2,607 | [1] | $2,538 | [1] | $2,152 | [1] |
ESPP [Member] | ' | ' | ' | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |||
Common shares purchased (in shares) | 65 | 79 | 71 | |||
Per common share purchase Price (in dollars per share) | $19.75 | $15.04 | $13.83 | |||
Amount expensed under ESPP | 562 | 641 | 282 | |||
Net proceeds from issuance | $1,288 | $1,192 | $978 | |||
Common shares date of issue | 3-Jan-14 | 4-Jan-13 | 4-Jan-12 | |||
[1] | Stock-based compensation expense is recorded in the selling, general and administrative caption in our consolidated statements of comprehensive income. |
ShareBased_Compensation_Summar4
Share-Based Compensation (Summary Of Information Of SERP) (Details) (SERP [Member], USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
SERP [Member] | ' | ' | ' | |||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | |||
Amount of company match expensed under SERP | $538 | $560 | $444 | |||
Treasury shares issued to fund SERP expense | 19 | 24 | 26 | |||
SERP trust account balance at December 31 | 31,415 | [1] | 24,997 | [1] | 18,942 | [1] |
Unrealized gain (loss) recorded in SERP liability account | $3,005 | $1,718 | ($104) | |||
[1] | SERP trust account investments are recorded at their fair value which is based on quoted market prices. Differences between such amounts in the table above and the deferred compensation funding asset reported on our Consolidated Balance Sheets represent the value of our Common Stock held in the Plan’s participants’ trust account and reported by us as treasury stock in our Consolidated Balance Sheets. |
ShareBased_Compensation_Narrat
Share-Based Compensation (Narrative) (Details) (USD $) | 12 Months Ended | 12 Months Ended | 48 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Apr. 12, 2011 | Feb. 12, 2004 | Jan. 01, 2000 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | ||||
Equity Incentive Stock Option Plans [Member] | Equity Incentive Stock Option Plans [Member] | Equity Incentive Stock Option Plans [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | ESPP [Member] | ESPP [Member] | ESPP [Member] | ESPP [Member] | ESPP [Member] | ESPP [Member] | SERP [Member] | SERP [Member] | SERP [Member] | SERP [Member] | SERP [Member] | |||||||
offering | offering | offering | |||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Stock-based compensation expense | $2,607,000 | [1] | $2,538,000 | [1] | $2,152,000 | [1] | ' | ' | ' | $28,000 | $0 | $0 | $562,000 | $641,000 | $282,000 | ' | ' | ' | $538,000 | $560,000 | $444,000 | ' | ' |
Percentage of match participants' deferrals | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | 25.00% | ' | |||
Common stock reserved for future issuance | ' | ' | ' | 5,277,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Maximum term of grants | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Options vested and exercisable, period, in years | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Weighted average grant-date fair value of stock options granted (in dollars per share) | ' | ' | ' | $6.81 | $4.74 | $3.26 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Shares granted during period | ' | ' | ' | ' | ' | ' | 6,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Weighted average grant-date fair value of restricted stock granted (in dollars per share) | ' | ' | ' | ' | ' | ' | $23.50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Period of expense of unrecognized compensation cost, years | '4 years | '4 years | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Number of initial offerings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | ' | ' | |||
Number of additional offerings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | 8 | ' | ' | ' | ' | ' | ' | |||
Stock options authorized to issue to employees | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,050,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Shares available for future grant | ' | ' | ' | 2,793,000 | ' | ' | ' | ' | ' | 2,476,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Annual earnings withheld to purchase common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | 21,250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Percent of IRS limitation | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Maximum fair value of common stock purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Percentage of stock purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Percentage of earned income on a pre-tax basis, deferred | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | |||
Percentage of deferral in the form of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | |||
Stock options authorized to issue | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,013,000 | ' | ' | ' | 1,013,000 | |||
Common stock reserved for future issuance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 452,000 | ' | ' | ' | 452,000 | |||
Shares exercised and delivered | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19,000 | ' | ' | ' | 19,000 | |||
Shares issued to trustee | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 560,000 | |||
Stock options vested and outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 311,000 | ' | ' | ' | 311,000 | |||
[1] | Stock-based compensation expense is recorded in the selling, general and administrative caption in our consolidated statements of comprehensive income. |
Other_Employee_Benefit_Plans_D
Other Employee Benefit Plans (Details) (Maximum [Member]) | 12 Months Ended |
Dec. 31, 2013 | |
Maximum [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Percentage of employees contribution | 15.00% |
Dividends_Dividend_Payments_De
Dividends (Dividend Payments) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Dividends [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Cash dividends per common share (in dollars per share) | $0.17 | [1] | $0.17 | [1] | $0.17 | [1] | $0.17 | [1] | $0.17 | [1] | $0.16 | [1] | $0.16 | [1] | $0.16 | [1] | ' | ' | ' |
Total cash dividends paid | $11,947 | $11,829 | $11,516 | $11,415 | ' | ' | ' | ' | $46,707 | $44,093 | $42,228 | ||||||||
Record date | 15-Nov-13 | 16-Aug-13 | 10-May-13 | 22-Feb-13 | ' | ' | ' | ' | ' | ' | ' | ||||||||
Payment date | 20-Dec-13 | 20-Sep-13 | 14-Jun-13 | 15-Mar-13 | ' | ' | ' | ' | ' | ' | ' | ||||||||
Cash dividends per weighted average common share (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | $0.67 | $0.65 | $0.63 | ||||||||
[1] | Year-to-date earnings and cash dividends per common share amounts may differ from the sum of quarterly amounts due to rounding. |
Dividends_Narrative_Details
Dividends (Narrative) (Details) (USD $) | 3 Months Ended | 0 Months Ended | |||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Jan. 28, 2014 | |
Subsequent Event [Member] | |||||
Dividends [Abstract] | ' | ' | ' | ' | ' |
Dividend declared date | ' | ' | ' | ' | 28-Jan-14 |
Dividend per common share to be paid | ' | ' | ' | ' | $0.17 |
Dividend payable date | 20-Dec-13 | 20-Sep-13 | 14-Jun-13 | 15-Mar-13 | 28-Mar-14 |
Dividend record date | 15-Nov-13 | 16-Aug-13 | 10-May-13 | 22-Feb-13 | 21-Feb-14 |
Income_Taxes_Summary_of_Provis
Income Taxes (Summary of Provision for Income Taxes) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Current: | ' | ' | ' |
Federal | $19,045 | $24,350 | $15,053 |
State | 5,381 | 5,373 | 4,488 |
Total | 24,426 | 29,723 | 19,541 |
Deferred: | ' | ' | ' |
Federal | -4,172 | -3,048 | 296 |
State | -894 | -625 | -181 |
Total | -5,066 | -3,673 | 115 |
Tax Provision | $19,360 | $26,050 | $19,656 |
Income_Taxes_Significant_Compo
Income Taxes (Significant Components of Federal and State Deferred Tax Assets And Liabilities) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Net current deferred assets (liabilities): | ' | ' |
Allowance for doubtful accounts | $1,560,000 | $1,580,000 |
Accrued insurance claims — current | 3,574,000 | 2,727,000 |
Expensing of housekeeping supplies | -5,059,000 | -4,432,000 |
Other | 2,264,000 | -450,000 |
Net current deferred assets (liabilities) | 2,339,000 | -575,000 |
Net noncurrent deferred assets (liabilities): | ' | ' |
Deferred compensation | 7,987,000 | 7,095,000 |
Non-deductible reserves | 5,000 | 8,000 |
Depreciation of property and equipment | -2,933,000 | -3,028,000 |
Accrued insurance claims — noncurrent | 6,848,000 | 6,255,000 |
Amortization of intangibles | 1,015,000 | 522,000 |
Other | 352,000 | 363,000 |
Net noncurrent deferred assets | $13,274,000 | $11,215,000 |
Income_Taxes_Reconciliation_of
Income Taxes (Reconciliation of The Provision for Income Taxes) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | ' | ' | ' |
Tax expense computed at statutory rate | $23,271 | $24,592 | $20,234 |
State income taxes, net of federal tax benefit | 2,916 | 3,086 | 2,800 |
Federal jobs credits | -7,121 | -1,110 | -4,196 |
Tax exempt interest | -29 | -99 | -253 |
Other, net | 323 | -419 | 1,071 |
Tax Provision | $19,360 | $26,050 | $19,656 |
Related_Party_Transactions_Det
Related Party Transactions (Details) (Maximum [Member], USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Maximum [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Fees paid to related party firm (did not exceed) | $120,000 | $120,000 | $120,000 |
Percentage of fee paid to related party in relation to related party's total revenue (did not exceed) | 5.00% | 5.00% | 5.00% |
Segment_Information_Schedule_O
Segment Information (Schedule Of Information Of Reportable Segments) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | $1,149,890 | $1,077,435 | $889,065 | |||||
Income before income taxes | 6,481 | 21,193 | 19,858 | 18,957 | 19,625 | 18,573 | 18,283 | 13,783 | 66,489 | 70,264 | 57,812 | |||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 6,204 | 5,116 | 4,387 | |||||
Total assets | 425,342 | ' | ' | ' | 331,183 | ' | ' | ' | 425,342 | 331,183 | 289,695 | |||||
Capital expenditures | ' | ' | ' | ' | ' | ' | ' | ' | 3,762 | 3,484 | 5,545 | |||||
Housekeeping Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 759,093 | 737,407 | 654,886 | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 68,872 | 69,429 | 63,395 | |||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 5,105 | 4,069 | 3,428 | |||||
Total assets | 213,397 | ' | ' | ' | 144,412 | ' | ' | ' | 213,397 | 144,412 | 135,223 | |||||
Capital expenditures | ' | ' | ' | ' | ' | ' | ' | ' | 2,726 | 2,765 | 4,697 | |||||
Dietary Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 390,797 | 339,855 | 234,247 | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 21,244 | 18,474 | 11,678 | |||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 693 | 676 | 614 | |||||
Total assets | 92,424 | ' | ' | ' | 62,263 | ' | ' | ' | 92,424 | 62,263 | 57,034 | |||||
Capital expenditures | ' | ' | ' | ' | ' | ' | ' | ' | 460 | 453 | 372 | |||||
Corporate And Eliminations [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 173 | [1] | -68 | [1] | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -23,627 | [1] | -17,639 | [1] | -17,261 | [1] | ||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 406 | 371 | 345 | |||||
Total assets | 119,521 | [2] | ' | ' | ' | 124,508 | [2] | ' | ' | ' | 119,521 | [2] | 124,508 | [2] | 97,438 | [2] |
Capital expenditures | ' | ' | ' | ' | ' | ' | ' | ' | $576 | $266 | $476 | |||||
[1] | represents primarily corporate office cost and related overhead, recording of transactions at the reportable segment level which use methods other than generally accepted accounting principles, as well as consolidated subsidiaries’ operating expenses that are not allocated to the reportable segments, net of investment and interest income. | |||||||||||||||
[2] | represents primarily cash and cash equivalents, marketable securities, deferred income taxes and other current and noncurrent assets. |
Segment_Information_Revenues_B
Segment Information (Revenues By Client Services) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue from External Customer [Line Items] | ' | ' | ' |
Revenues | $1,149,890 | $1,077,435 | $889,065 |
Housekeeping Services [Member] | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Revenues | 514,180 | 492,319 | 440,924 |
Laundry and Linen Services [Member] | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Revenues | 241,540 | 240,670 | 210,896 |
Dietary Services [Member] | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Revenues | 390,797 | 339,867 | 234,542 |
Maintenance Services and Other [Member] | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Revenues | $3,373 | $4,579 | $2,703 |
Segment_Information_Narrative_
Segment Information (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2013 | |
segment | |
Segment Reporting [Abstract] | ' |
Number of reportable segments | 2 |
Percentage of revenue and income earned in one geographic segment | 99.00% |
Earnings_Per_Common_Share_Comp
Earnings Per Common Share (Computation Of Basic And Diluted Net Earnings Per Share) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Income (Numerator) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Net income | $5,452 | $13,790 | $12,933 | $14,954 | $12,798 | $11,517 | $11,320 | $8,579 | $47,129 | $44,214 | $38,156 | ||||||||
Basic earnings per common share | ' | ' | ' | ' | ' | ' | ' | ' | 47,129 | 44,214 | 38,156 | ||||||||
Diluted earnings per common share | ' | ' | ' | ' | ' | ' | ' | ' | $47,129 | $44,214 | $38,156 | ||||||||
Shares (Denominator) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Basic earnings per common share, Shares (Denominator) | ' | ' | ' | ' | ' | ' | ' | ' | 69,206 | 67,511 | 66,637 | ||||||||
Effect of dilutive securities, options and restricted stock (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 839 | 974 | 948 | ||||||||
Diluted earnings per common share (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 70,045 | 68,485 | 67,585 | ||||||||
Per-share Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Basic earnings per common share (in dollars per share) | $0.08 | [1] | $0.20 | [1] | $0.19 | [1] | $0.22 | [1] | $0.19 | [1] | $0.17 | [1] | $0.17 | [1] | $0.13 | [1] | $0.68 | $0.65 | $0.57 |
Effect of dilutive securities, options and restricted stock (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ($0.01) | $0 | ($0.01) | ||||||||
Diluted earnings per common share (in dollars per share) | $0.08 | [1] | $0.20 | [1] | $0.19 | [1] | $0.22 | [1] | $0.19 | [1] | $0.17 | [1] | $0.17 | [1] | $0.13 | [1] | $0.67 | $0.65 | $0.56 |
Options outstanding to purchase common stock excluded from computation of diluted earnings per common share (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 546 | 576 | 510 | ||||||||
[1] | Year-to-date earnings and cash dividends per common share amounts may differ from the sum of quarterly amounts due to rounding. |
Other_Contingencies_Details
Other Contingencies (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | |||
Jul. 31, 2011 | Dec. 31, 2013 | Jan. 31, 2013 | Jan. 31, 2013 | Dec. 31, 2013 | Jan. 02, 2014 | |
financial_covenant | Maximum [Member] | Subsequent Event [Member] | Standby Letter of Credit [Member] | Standby Letter of Credit [Member] | ||
state | Maximum [Member] | Subsequent Event [Member] | ||||
Short-term Debt [Line Items] | ' | ' | ' | ' | ' | ' |
Bank line of credit | ' | $125,000,000 | ' | ' | ' | ' |
Borrowings under line of credit | ' | 0 | ' | ' | ' | ' |
Irrevocable standby letter of credit, outstanding | ' | ' | ' | ' | 43,520,000 | 51,520,000 |
Reduction of bank line of credit | ' | ($43,520,000) | ' | ' | ' | ' |
Number of financial covenants | ' | 1 | ' | ' | ' | ' |
Line of credit expiration date | ' | 18-Dec-18 | ' | ' | ' | ' |
Number of states in which entity operates | ' | 48 | ' | ' | ' | ' |
Percentage of reduction to Medicare payments to nursing centers | 11.10% | ' | ' | ' | ' | ' |
Percentage of reduction of Medicare payments to plans and providers | ' | ' | 2.00% | 2.00% | ' | ' |
Accrued_Insurance_Claims_Detai
Accrued Insurance Claims (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Payables and Accruals [Abstract] | ' |
Percent of Liabilities | 19.00% |
Discount factor | 8.00% |
Decrease In net income due to 1% reduction of discount factor | $34 |
Decrease in net income due to six month reduction of payout period | $84 |
Selected_Quarterly_Financial_D2
Selected Quarterly Financial Data (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Revenues | $303,833 | $298,549 | $273,604 | $273,904 | $277,039 | $272,681 | $267,108 | $260,607 | ' | ' | ' | ||||||||
Operating costs and expenses | 298,616 | 278,540 | 253,965 | 255,981 | 257,814 | 255,070 | 248,730 | 248,477 | ' | ' | ' | ||||||||
Income before income taxes | 6,481 | 21,193 | 19,858 | 18,957 | 19,625 | 18,573 | 18,283 | 13,783 | 66,489 | 70,264 | 57,812 | ||||||||
Net income | $5,452 | $13,790 | $12,933 | $14,954 | $12,798 | $11,517 | $11,320 | $8,579 | $47,129 | $44,214 | $38,156 | ||||||||
Basic earnings per common share (in dollars per share) | $0.08 | [1] | $0.20 | [1] | $0.19 | [1] | $0.22 | [1] | $0.19 | [1] | $0.17 | [1] | $0.17 | [1] | $0.13 | [1] | $0.68 | $0.65 | $0.57 |
Diluted earnings per common share (in dollars per share) | $0.08 | [1] | $0.20 | [1] | $0.19 | [1] | $0.22 | [1] | $0.19 | [1] | $0.17 | [1] | $0.17 | [1] | $0.13 | [1] | $0.67 | $0.65 | $0.56 |
Cash dividends per common share (in dollars per share) | $0.17 | [1] | $0.17 | [1] | $0.17 | [1] | $0.17 | [1] | $0.17 | [1] | $0.16 | [1] | $0.16 | [1] | $0.16 | [1] | ' | ' | ' |
[1] | Year-to-date earnings and cash dividends per common share amounts may differ from the sum of quarterly amounts due to rounding. |
Recovered_Sheet2
Schedule II - Valuation And Qualifying Accounts and Reserves (Details) (Allowance For Doubtful Accounts [Member], USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
Allowance For Doubtful Accounts [Member] | ' | ' | ' | ||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ' | ' | ' | ||
Beginning Balance | $3,970 | $4,506 | $4,069 | ||
Additions Charged to Costs and Expenses | 1,990 | 2,160 | 2,450 | ||
Additions Charged to Other Accounts | 0 | 0 | 0 | ||
Deductions | 2,041 | [1] | 2,696 | [1] | 2,013 |
Ending Balance | $3,919 | $3,970 | $4,506 | ||
[1] | Represents write-offs |