Document_and_Entity_Informatio
Document and Entity Information (USD $) | 6 Months Ended | ||
Jun. 30, 2014 | Jul. 25, 2014 | Jun. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'ENVENTIS CORP | ' | ' |
Entity Central Index Key | '0000766561 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $132,476,662 |
Entity Common Stock, Shares Outstanding | ' | 13,665,701 | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'Q2 | ' | ' |
Document Type | '10-Q | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 30-Jun-14 | ' | ' |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Operating revenue: | ' | ' | ' | ' |
Services | $35,671 | $34,231 | $69,884 | $67,636 |
Equipment | 14,052 | 12,910 | 24,079 | 28,274 |
Total operating revenue | 49,723 | 47,141 | 93,963 | 95,910 |
Costs and expenses: | ' | ' | ' | ' |
Cost of sales, excluding depreciation and amortization | 12,357 | 10,860 | 20,901 | 24,082 |
Cost of services, excluding depreciation and amortization | 17,335 | 16,971 | 33,995 | 33,570 |
Selling, general and administrative expenses | 8,327 | 7,047 | 15,290 | 14,496 |
Asset impairment | 0 | 5 | 0 | 638 |
Depreciation and amortization | 7,510 | 7,252 | 15,090 | 14,261 |
Total costs and expenses | 45,529 | 42,135 | 85,276 | 87,047 |
Operating income | 4,194 | 5,006 | 8,687 | 8,863 |
Other income and expense: | ' | ' | ' | ' |
Interest and other income | 8 | 13 | 8 | 15 |
Interest expense | -991 | -1,131 | -1,970 | -2,270 |
Total other expense | -983 | -1,118 | -1,962 | -2,255 |
Income before income taxes | 3,211 | 3,888 | 6,725 | 6,608 |
Income tax provision | 1,300 | 1,567 | 2,741 | 2,661 |
Net income | $1,911 | $2,321 | $3,984 | $3,947 |
Basic earnings per share | $0.14 | $0.17 | $0.29 | $0.29 |
Weighted average common shares outstanding | 13,641,564 | 13,531,007 | 13,619,055 | 13,543,690 |
Diluted earnings per share | $0.14 | $0.17 | $0.29 | $0.29 |
Weighted average common and equivalent shares outstanding | 13,696,119 | 13,576,967 | 13,679,378 | 13,584,749 |
Dividends per share | $0.15 | $0.14 | $0.30 | $0.29 |
STATEMENTS_OF_COMPREHENSIVE_IN
STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ' | ' | ' | ' |
Net income | $1,911 | $2,321 | $3,984 | $3,947 |
Designated interest rate swaps: | ' | ' | ' | ' |
Changes in fair value | 5 | 65 | -16 | 60 |
Income tax (expense) benefit | -2 | -26 | 6 | -24 |
Unrealized holding gain (loss) on designated interest rate swaps | 3 | 39 | -10 | 36 |
Amounts Included In Net Periodic Benefit Cost | ' | ' | ' | ' |
Amortization of net actuarial loss | 98 | 120 | 196 | 240 |
Amortization of prior service credit | -236 | -236 | -472 | -472 |
Income tax benefit | 55 | 46 | 110 | 92 |
Change in post-retirement benefit plan | -83 | -70 | -166 | -140 |
Other comprehensive loss | -80 | -31 | -176 | -104 |
Comprehensive income | $1,831 | $2,290 | $3,808 | $3,843 |
CONSOLIDATED_BALANCE_SHEETS_Un
CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $7,478 | $7,960 |
Receivables, net of allowance for doubtful accounts of $344 and $370 | 31,650 | 26,073 |
Inventories | 1,043 | 1,668 |
Income taxes receivable | 3,334 | 970 |
Deferred income taxes, net | 2,377 | 2,660 |
Prepaid expenses | 2,753 | 2,545 |
Other | 1,034 | 1,386 |
Total current assets | 49,669 | 43,262 |
Investments | 3,595 | 3,414 |
Property, plant and equipment | 471,823 | 461,712 |
Accumulated depreciation and amortization | -293,754 | -280,386 |
Property, plant and equipment, net | 178,069 | 181,326 |
Other assets: | ' | ' |
Goodwill | 29,028 | 29,028 |
Intangible assets, net | 3,827 | 4,088 |
Deferred costs and other assets | 6,435 | 5,762 |
Total other assets | 39,290 | 38,878 |
Total assets | 270,623 | 266,880 |
Current liabilities: | ' | ' |
Accounts payable | 3,586 | 3,163 |
Extended term payable | 13,068 | 8,879 |
Deferred revenue | 5,202 | 6,056 |
Accrued expenses and other | 11,201 | 10,443 |
Financial derivative instruments | 371 | 242 |
Current maturities of long-term obligations | 1,504 | 1,586 |
Total current liabilities | 34,932 | 30,369 |
Long-term liabilities: | ' | ' |
Debt obligations, net of current maturities | 132,938 | 133,621 |
Accrued income taxes | 246 | 244 |
Deferred revenue | 2,570 | 2,705 |
Financial derivative instruments | 537 | 1,184 |
Accrued employee benefits and deferred compensation | 12,357 | 12,344 |
Deferred income taxes | 37,199 | 37,103 |
Total long-term liabilities | 185,847 | 187,201 |
Total liabilities | 220,779 | 217,570 |
Commitments and contingencies | ' | ' |
Shareholders' equity: | ' | ' |
Common stock, no par value, $0.10 stated value, Shares authorized: 100,000,000 Shares issued and outstanding: 13,646,449 in 2014 and 13,568,871 in 2013 | 1,365 | 1,357 |
Additional paid-in capital | 17,271 | 16,462 |
Retained earnings | 30,675 | 30,782 |
Accumulated other comprehensive income | 533 | 709 |
Total shareholders' equity | 49,844 | 49,310 |
Total liabilities and shareholders' equity | $270,623 | $266,880 |
CONSOLIDATED_BALANCE_SHEETS_Un1
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Current assets: | ' | ' |
Receivables, allowance for doubtful accounts | $344 | $370 |
Shareholders' equity: | ' | ' |
Common stock, no par value | $0 | $0 |
Common stock, stated value | $0.10 | $0.10 |
Common stock, authorized | 100,000,000 | 100,000,000 |
Common stock, issued | 13,646,449 | 13,568,871 |
Common stock, outstanding | 13,646,449 | 13,568,871 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
OPERATING ACTIVITIES: | ' | ' |
Net income | $3,984 | $3,947 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation and amortization | 15,090 | 14,261 |
Asset impairment | 0 | 638 |
Accrued patronage refunds | -407 | -353 |
Stock-based compensation expense | 423 | 429 |
Loss on financial derivative instruments | 66 | 46 |
Excess tax benefit | -63 | -100 |
Other | 388 | 515 |
Changes in operating assets and liabilities, net of effect from acquired net assets | ' | ' |
Receivables | -5,736 | -4,888 |
Prepaid expenses | -208 | -507 |
Inventories | 625 | 2,106 |
Accounts payable and accrued expenses | 253 | -4,686 |
Deferred revenue, billings and deposits | -989 | 15 |
Income taxes | -1,807 | -453 |
Other | 502 | 664 |
Net cash provided by operating activities | 12,121 | 11,634 |
INVESTING ACTIVITIES: | ' | ' |
Additions to property, plant and equipment and materials and supplies | -12,399 | -12,862 |
Broadband stimulus grant received | 0 | 831 |
Proceeds from sales of assets | 136 | 114 |
Net cash used in investing activities | -12,263 | -11,917 |
FINANCING ACTIVITIES: | ' | ' |
Borrowings on extended term payable arrangement | 30,881 | 32,231 |
Payments on extended term payable arrangement | -26,692 | -29,479 |
Payments on credit facility and capital lease obligations | -795 | -821 |
Proceeds from issuance of common stock | 294 | 355 |
Stock repurchase | 0 | -1,275 |
Dividends paid | -4,091 | -3,936 |
Excess tax benefit | 63 | 100 |
Net cash used in financing activities | -340 | -2,825 |
Net decrease in cash and cash equivalents | -482 | -3,108 |
Cash and cash equivalents at beginning of the period | 7,960 | 8,305 |
Cash and cash equivalents at the end of the period | 7,478 | 5,197 |
Supplemental disclosure of cash flow information: | ' | ' |
Cash paid for interest | 2,103 | 2,960 |
Net cash paid for income taxes | $4,548 | $2,763 |
Basis_of_Presentation_and_Cons
Basis of Presentation and Consolidation | 6 Months Ended |
Jun. 30, 2014 | |
Basis of Presentation and Consolidation [Abstract] | ' |
Basis of Presentation and Consolidation | ' |
Note 1. Basis of Presentation and Consolidation | |
On June 29, 2014, Enventis Corporation, a Minnesota corporation ("Enventis"), entered into an Agreement and Plan of Merger (the "Merger Agreement"), by and among Enventis, Consolidated Communications Holdings, Inc., a Delaware corporation ("Consolidated"), and Sky Merger Sub Inc., a Minnesota corporation and wholly owned subsidiary of Consolidated ("Merger Sub"), pursuant to which Merger Sub will merge with and into Enventis (the "Merger"). See Note 15 "Pending Merger." | |
The accompanying unaudited consolidated financial statements of Enventis Corporation, formerly Hickory Tech Corporation, and its subsidiaries have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") for interim financial information and with the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and disclosures normally included in annual financial statements prepared in accordance with GAAP have been omitted or condensed pursuant to such rules and regulations. In the opinion of management, the unaudited consolidated financial statements reflect all adjustments (consisting only of normal and recurring accruals) considered necessary for the fair presentation of the financial statements and present fairly the results of operations, financial position and cash flows for the interim periods presented as required by Regulation S-X, Rule 10-01. These unaudited interim consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto, together with the audited consolidated financial statements and notes thereto contained in our Form 10-K for the year ended December 31, 2013. | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, expenses and related disclosures at the date of the financial statements and during the reporting period. Actual results may differ from these estimates. The results of operations for the interim periods presented are not necessarily indicative of the results that may be expected for the fiscal year as a whole or any other interim period. | |
Our consolidated financial statements report the financial condition and results of operations for Enventis Corporation and its subsidiaries in three reportable segments: Fiber and Data, Equipment and Telecom. Intercompany transactions have been eliminated from the consolidated financial statements. | |
Recent Accounting Developments | |
In June 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-12, "Compensation - Stock Compensation" providing explicit guidance on how to account for share-based payments granted to employees in which the terms of the award provide that a performance target that affects vesting could be achieved after the requisite service period. The amendments in this Update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Early adoption is permitted. We are currently evaluating the impact this guidance may have on our consolidated financial statements. | |
In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers" and created a new topic in the FASB Accounting Standards Codification ("ASC"), Topic 606. The new standard provides a single comprehensive revenue recognition framework for all entities and supersedes nearly all existing U.S. GAAP revenue recognition guidance, including industry-specific guidance. The core principle of the revenue model is that an entity should recognize revenue in a manner that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard is designed to create greater comparability for financial statement users across industries and also requires enhanced disclosures. The amendments are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. We are currently evaluating the impact this guidance may have on our consolidated financial statements and related disclosures. | |
We have reviewed other recently issued accounting pronouncements and determined they are either not applicable to our business or no material effect is expected on our financial position, results of operations, cash flows or disclosures. |
Earnings_and_Dividends_per_Sha
Earnings and Dividends per Share | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings and Dividends per Share [Abstract] | ' | ||||||||||||||||
Earnings and Dividends per Share | ' | ||||||||||||||||
Note 2. Earnings and Dividends per Share | |||||||||||||||||
We compute earnings per share pursuant to the two-class method. Under the two-class method, unvested restricted shares that contain non-forfeitable rights to dividends are participating securities and therefore, are included in the computation of basic earnings per share. The two-class method includes an earnings allocation formula to determine earnings per share for common stock and participating securities according to dividends and their respective participation rights in undistributed earnings. Our unvested restricted shares issued under the Long-Term Executive Incentive Program ("LTEIP"), which contain the non-forfeitable right to receive dividends, are considered participating securities. | |||||||||||||||||
Basic earnings per share ("EPS") is calculated by dividing net income applicable to common shares by the weighted average number of shares of common stock outstanding during each respective period. Any dividends paid on participating securities and any undistributed earnings considered to be attributable to participating securities are excluded from the numerator. The related participating securities are similarly excluded from the denominator. Diluted earnings per share are calculated by dividing net income applicable to common shares by the weighted average number of shares outstanding during the period increased by potentially dilutive common equivalent shares. Potentially dilutive common shares include stock options, stock subscribed under the Enventis Corporation Amended and Restated Employee Stock Purchase Plan ("ESPP"), retention stock awards and stock awarded under the LTEIP. | |||||||||||||||||
The computation of basic and diluted earnings per share for the three and six months ended June 30, 2014 and 2013 using the two-class method is as follows: | |||||||||||||||||
Three Months Ended June 30 | Six Months Ended June 30 | ||||||||||||||||
(Dollars in thousands, except share and earnings per share amounts) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Net income | $ | 1,911 | $ | 2,321 | $ | 3,984 | $ | 3,947 | |||||||||
Less: net income allocable to participating securities | (3 | ) | (4 | ) | (7 | ) | (8 | ) | |||||||||
Net income attributable to common shares | $ | 1,908 | $ | 2,317 | $ | 3,977 | $ | 3,939 | |||||||||
Weighted average shares outstanding | 13,641,564 | 13,531,007 | 13,619,055 | 13,543,690 | |||||||||||||
Stock options (dilutive only) | 18,293 | 5,896 | 17,228 | 5,320 | |||||||||||||
Stock subscribed ("ESPP") | - | - | - | - | |||||||||||||
Retention awards | 19,667 | 16,775 | 19,544 | 13,980 | |||||||||||||
Stock subscribed ("LTEIP") | 16,595 | 23,289 | 23,551 | 21,759 | |||||||||||||
Total dilutive shares outstanding | 13,696,119 | 13,576,967 | 13,679,378 | 13,584,749 | |||||||||||||
Earnings per share: | |||||||||||||||||
Basic and diluted | $ | 0.14 | $ | 0.17 | $ | 0.29 | $ | 0.29 | |||||||||
Dividends per share | $ | 0.15 | $ | 0.145 | $ | 0.3 | $ | 0.29 | |||||||||
There were no anti-dilutive shares for the three and six months ended June 30, 2014. The diluted earnings per share computation excluded 77,150 shares and 82,150 shares for the three and six months ended June 30, 2013, respectively, because their effect on earnings per share would have been anti-dilutive. | |||||||||||||||||
Cash dividends are based on the number of common shares outstanding at their respective record dates. The number of shares outstanding as of the record date for the first and second quarters of 2014 and 2013, respectively, are as follows: | |||||||||||||||||
Shares outstanding on record date | 2014 | 2013 | |||||||||||||||
First quarter (February 15) | 13,612,913 | 13,586,903 | |||||||||||||||
Second quarter (May 15) | 13,654,438 | 13,559,043 | |||||||||||||||
Dividends per share are based on the quarterly dividend per share as declared by our Board of Directors. During the first six months of 2014 and 2013, shareholders elected to reinvest $154,000 of dividends into Enventis common stock pursuant to the Enventis Corporation Dividend Reinvestment Plan. | |||||||||||||||||
There were no share repurchases in the first six months of 2014. During the six months ended June 30, 2013, we acquired and retired 124,285 shares as part of our stock repurchase plan. |
LongLived_Assets
Long-Lived Assets | 6 Months Ended |
Jun. 30, 2014 | |
Long-Lived Assets [Abstract] | ' |
Long-Lived Assets | ' |
Note 3. Long-Lived Assets | |
There were no asset impairment charges during the first six months of 2014. We did recognize an impairment charge of $5,000 within our Fiber and Data Segment during the quarter ended June 30, 2013, bringing total impairment charges for the six months ended June 30, 2013 to $638,000. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 6 Months Ended | |||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | |||||||||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||||||||
Note 4. Goodwill and Other Intangible Assets | ||||||||||||||||||
We have goodwill in each of our reportable segments. Fiber and Data Segment goodwill resulted from our acquisitions of IdeaOne Telecom in 2012, CP Telecom in 2009 and Enventis Telecom in 2005. Equipment Segment goodwill also resulted from our acquisition of Enventis Telecom in 2005 and the Telecom Segment goodwill resulted from our acquisition of Heartland Telecommunications in 1997. The tax deductible portion of goodwill is $26,964,000. | ||||||||||||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | ||||||||||||||||
Fiber and Data | $ | 5,384 | $ | 5,384 | ||||||||||||||
Equipment | 596 | 596 | ||||||||||||||||
Telecom | 23,048 | 23,048 | ||||||||||||||||
Total goodwill | $ | 29,028 | $ | 29,028 | ||||||||||||||
Intangible assets with finite lives are amortized over their respective estimated useful lives. Identifiable intangible assets that are subject to amortization are evaluated for impairment. | ||||||||||||||||||
The components of intangible assets are as follows: | ||||||||||||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | ||||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||||
Useful Lives | Amount | Amortization | Amount | Amortization | ||||||||||||||
Definite-lived intangible assets | ||||||||||||||||||
Customer relationships | 1 - 8 years | $ | 8,459 | $ | 6,405 | $ | 8,459 | $ | 6,061 | |||||||||
Other intangible assets | 1 - 5 years | 3,312 | 1,539 | 3,130 | 1,440 | |||||||||||||
Total | $ | 11,771 | $ | 7,944 | $ | 11,589 | $ | 7,501 | ||||||||||
Amortization expense related to the definite-lived intangible assets was $443,000 for the six months ended June 30, 2014 and 2013. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Fair Value of Financial Instruments [Abstract] | ' | ||||||||||||||||||||
Fair Value of Financial Instruments | ' | ||||||||||||||||||||
Note 5. Fair Value of Financial Instruments | |||||||||||||||||||||
Fair value of financial and non-financial assets and liabilities is the price that would be received for an asset or paid to transfer a liability (exit price) in an orderly transaction between market participants. The three levels of the fair value hierarchy for assessing the inputs used in fair value measurements are as follows: | |||||||||||||||||||||
· | Level 1 – quoted prices in active markets for identical assets and liabilities | ||||||||||||||||||||
· | Level 2 – observable inputs other than quoted prices in active markets for identical assets and liabilities | ||||||||||||||||||||
· | Level 3 – unobservable inputs in which there is little or no market data available and require the entity to develop its own assumptions | ||||||||||||||||||||
The highest priority is given to quoted prices in active markets for identical assets and liabilities (Level 1) and the lowest priority is given to unobservable inputs (Level 3). | |||||||||||||||||||||
The carrying value of cash and cash equivalents, net accounts receivables, payables, and other short-term monetary assets and liabilities was estimated by management to approximate fair value due to the relatively short period of time to maturity for these instruments. | |||||||||||||||||||||
Our long-term debt agreement allows us to select short-term LIBOR pricing options, which we have elected. Therefore, the carrying amounts of our long-term debt approximate fair value. The fair value estimate of our interest rate swaps represent the net present value of future cash flows based on projections of the three-month LIBOR rate over the life of each swap. It also incorporates credit valuation adjustments to appropriately reflect both our own non-performance risk and the non-performance risk of the respective counterparties. See Note 9 "Financial Derivative Instruments" for further discussion regarding our interest rate swaps. | |||||||||||||||||||||
The carrying amount and the fair value of our long-term debt, after deducting current maturities, interest rate swaps and our investments are as follows: | |||||||||||||||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | |||||||||||||||||||
Input Level | Carrying Amount | Fair Value | Carrying Amount | Fair Value | |||||||||||||||||
Long-term debt | 2 | $ | 132,938 | $ | 132,938 | $ | 133,621 | $ | 133,621 | ||||||||||||
Interest rate swaps | 2 | $ | 908 | $ | 908 | $ | 1,426 | $ | 1,426 | ||||||||||||
Investments | 3 | $ | 3,595 | n/a | $ | 3,414 | n/a | ||||||||||||||
Our investments at June 30, 2014 and December 31, 2013 consist primarily of minority positions in various cooperatives and our investment in CoBank, ACB ("CoBank") and are accounted for under the cost method. It is impractical to determine fair value of these investments because there is no established market for these equity interests. We did not evaluate any of the investments for impairment during the six months ended June 30, 2014 and 2013 as there were no events or changes in circumstances indicating impairment may be present. |
Accrued_Expenses_and_Other
Accrued Expenses and Other | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Accrued Expenses and Other [Abstract] | ' | ||||||||
Accrued Expenses and Other | ' | ||||||||
Note 6. Accrued Expenses and Other | |||||||||
The following table shows the Company's Consolidated Balance Sheets detail for accrued expenses and other: | |||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | |||||||
Accrued incentive compensation | $ | 1,046 | $ | 1,792 | |||||
Accrued wages and commissions | 3,555 | 3,543 | |||||||
Other accrued expenses | 6,600 | 5,108 | |||||||
Total accrued expenses and other | $ | 11,201 | $ | 10,443 | |||||
Other accrued expenses are primarily made up of accrued real estate and use taxes, accrued interest, the current portion of post-retirement benefits and other accrued expenses. |
Extended_Term_Payable
Extended Term Payable | 6 Months Ended |
Jun. 30, 2014 | |
Extended Term Payable [Abstract] | ' |
Extended Term Payable | ' |
Note 7. Extended Term Payable | |
Enterprise Integration Services, Inc. ("EIS"), a wholly owned subsidiary of Enventis, has an $18,000,000 wholesale financing agreement with a financing company to fund equipment purchases from certain approved vendors. Advances under this financing arrangement are collateralized by the inventory and accounts receivable of our Equipment Segment and a guarantee of an amount up to $2,500,000 by Enventis. The agreement requires EIS to maintain specific levels of collateral relative to the outstanding balance due, provide select monthly financial information, and make all payments when due or on demand in the event of a collateral shortfall, among other requirements. A default on the financing agreement by EIS would require Enventis to perform under the guarantee. The financing agreement provides 60 day, interest-free payment terms for working capital and can be terminated at any time by either party. The balance outstanding under the financing arrangement was $13,068,000 and $8,879,000 at June 30, 2014 and December 31, 2013, respectively. The balance fluctuates on a quarterly basis dependent upon timing of customer orders. These balances are classified as current liabilities in the accompanying Consolidated Balance Sheets and are not considered part of our debt financing. |
Debt_and_Other_Obligations
Debt and Other Obligations | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Debt and Other Obligations [Abstract] | ' | ||||||||
Debt and Other Obligations | ' | ||||||||
Note 8. Debt and Other Obligations | |||||||||
Our long-term obligations were as follows: | |||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | |||||||
Debt (current and long-term) | $ | 134,255 | $ | 134,932 | |||||
Capital leases | 187 | 275 | |||||||
Total debt | 134,442 | 135,207 | |||||||
Current portion of: | |||||||||
Debt | 1,353 | 1,353 | |||||||
Capital leases | 151 | 233 | |||||||
Current maturities of long-term obligations | 1,504 | 1,586 | |||||||
Long-term debt obligations, net of current maturities | $ | 132,938 | $ | 133,621 | |||||
On October 30, 2013 we amended our credit facility with a syndicate of banks, led by CoBank, ACB which provides us the option to pay interest at LIBOR or at a Base Rate, as defined in the agreements, plus an applicable margin. The maturity date of our amended credit facility is December 31, 2019. Our amended credit facility is comprised of a $30,000,000 revolving credit component ($30,000,000 available to borrow as of June 30, 2014, which includes $20,000 reserved for letters of credit) and a $135,270,000 term loan component ($134,255,000 outstanding as of June 30, 2014). | |||||||||
At June 30, 2014, we are in full compliance with specified financial ratios and tests required by our credit facility. The credit facility includes allowances for continued payment of dividends and specific limits on common stock repurchases. |
Financial_Derivative_Instrumen
Financial Derivative Instruments | 6 Months Ended | |||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||
Financial Derivative Instruments [Abstract] | ' | |||||||||||||||||
Financial Derivative Instruments | ' | |||||||||||||||||
Note 9. Financial Derivative Instruments | ||||||||||||||||||
We utilize interest-rate swap agreements to manage our exposure to interest rate fluctuations on a portion of our variable-interest rate debt. We have effectively changed our exposure to varying cash flows on the variable-rate portion of our debt into fixed-rate cash flows, therefore reducing the impact of interest rate changes on future cash interest payments. We do not enter into derivative instruments for any purpose other than to manage interest rate exposure. We do not engage in interest rate speculation using derivative instruments. | ||||||||||||||||||
We account for derivatives in accordance with Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 815, "Derivatives and Hedging." ASC 815 requires all derivative instruments be recorded on the balance sheet as either an asset or a liability measured at its fair value, and changes in the derivatives' fair value be recognized in earnings unless specific hedge accounting criteria are met. If a derivative is designated as a hedge, the effective portion of changes in the fair value of derivatives is recorded as a component of accumulated other comprehensive income in shareholders' equity, net of tax, which is subsequently, reclassified into earnings when the underlying hedged transaction is recognized in earnings. Amounts related to our derivatives will be reclassified from accumulated other comprehensive income to interest expense as interest payments are accrued or made on our variable rate debt. The estimated amount expected to be reclassified as an increase to interest expense within the next twelve months is $81,000 at June 30, 2014. The ineffective portion of the fair value of derivatives is recognized directly in earnings. Hedge ineffectiveness is attributable to the swaps having a non-zero fair value at the time they were designated. If we were to terminate our interest rate swap positions, any related balance in accumulated other comprehensive income would immediately be recognized in earnings or reclassified into earnings as the interest payments are made dependent on the facts and circumstances of the termination. The changes in the fair value of derivatives that are not designated as hedges are recognized immediately in earnings. | ||||||||||||||||||
The fair value of our interest rate swap agreements were determined based on level 2 inputs. Listed below are the interest rate swap agreements outstanding as of June 30, 2014 which were designated as cash flow hedges of interest rate risk and have the effect of locking our interest rates on a portion of our existing variable interest rate debt. | ||||||||||||||||||
Interest Rate Swap Agreement Effective Dates | Notional Amount | Rate | ||||||||||||||||
September 2011 - September 2014 | $ | 24,000,000 | 1.66 | % | ||||||||||||||
September 2011 - March 2015 | $ | 24,000,000 | 1.91 | % | ||||||||||||||
September 2011 - September 2015 | $ | 24,000,000 | 2.14 | % | ||||||||||||||
The following table presents the fair value of our derivative instruments included in our Consolidated Balance Sheets as either current or long-term liabilities. | ||||||||||||||||||
(Dollars in thousands) | Balance Sheet Location | 30-Jun-14 | 31-Dec-13 | |||||||||||||||
Interest rate derivatives designated as cash flow hedges | ||||||||||||||||||
Pay-fixed swaps liabilities | Financial derivative instruments | $ | 908 | $ | 1,426 | |||||||||||||
The table below illustrates the effect of derivative instruments on consolidated operations. | ||||||||||||||||||
Three Months Ended June 30 | Six Months Ended June 30 | |||||||||||||||||
(Dollars in thousands) | Location of (Gain)/Loss | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Interest rate derivatives designated as cash flow hedges | ||||||||||||||||||
(Gains)/losses recognized on effective portion of derivative instruments | Other comprehensive income | $ | 29 | $ | (41 | ) | $ | 82 | $ | (15 | ) | |||||||
Losses reclassified from accumulated other comprehensive income into income | Interest expense | $ | 34 | $ | 25 | $ | 66 | $ | 46 | |||||||||
(Gains)/losses recognized in income on ineffective portion and amount excluded from effectiveness testing | Interest expense | $ | - | $ | (6 | ) | $ | - | $ | 1 |
Employee_PostRetirement_Benefi
Employee Post-Retirement Benefits | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Employee Post-Retirement Benefits [Abstract] | ' | ||||||||||||||||
Employee Post-Retirement Benefits | ' | ||||||||||||||||
Note 10. Employee Post-Retirement Benefits | |||||||||||||||||
Enventis provides post-retirement health care and life insurance benefits for eligible employees. We are currently not funding these post-retirement benefits, but have accrued these liabilities. We are required to recognize the funded status of our post-retirement benefit plans on our Consolidated Balance Sheets and recognize as a component of accumulated other comprehensive income, net of tax, the gains or losses and prior service costs or credits that arise during the period but are not recognized as components of net periodic benefit cost. Employees hired on or after January 1, 2007 are not eligible for post-retirement health care and life insurance benefits. | |||||||||||||||||
The components of net periodic benefit cost were as follows: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
30-Jun | 30-Jun | ||||||||||||||||
(Dollars in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 55 | $ | 67 | $ | 110 | $ | 134 | |||||||||
Interest cost | 131 | 120 | 263 | 240 | |||||||||||||
Amortization of prior service credit | (236 | ) | (236 | ) | (472 | ) | (472 | ) | |||||||||
Recognized net actuarial loss | 98 | 120 | 196 | 240 | |||||||||||||
Net periodic benefit cost | $ | 48 | $ | 71 | $ | 97 | $ | 142 |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | |||||||||
Accumulated Other Comprehensive Income | ' | |||||||||
Note 11. Accumulated Other Comprehensive Income (Loss) | ||||||||||
The table below illustrates the effect on certain line items of net income of the amounts reclassified out of each component of accumulated other comprehensive income ("AOCI") for the three and six months ended June 30, 2014. See Note 9 "Financial Derivative Instruments" and Note 10 "Employee Post-Retirement Benefits" for additional details regarding the reclassifications below. | ||||||||||
(Dollars in thousands) | Amounts Reclassified from AOCI | |||||||||
Details about AOCI Components | Three Months Ended June 30, 2014 | Six Months Ended June 30, 2014 | Affected Line Item in the Consolidated Statements of Income | |||||||
Gains and losses on cash flow hedges | ||||||||||
Interest rate contracts | $ | 34 | $ | 66 | Interest expense | |||||
(14 | ) | (27 | ) | Income tax provision | ||||||
$ | 20 | $ | 39 | Net of tax | ||||||
Amortization of benefit pension items | ||||||||||
Prior service credits | $ | 236 | $ | 472 | (a) | |||||
Actuarial loss | (98 | ) | (196 | ) | (a) | |||||
138 | 276 | Total before tax | ||||||||
(55 | ) | (110 | ) | Income tax provision | ||||||
$ | 83 | $ | 166 | Net of tax | ||||||
Total reclassifications of period | $ | 103 | $ | 205 | Net of tax | |||||
(a)These accumulated other comprehensive income components are included in the computation of net periodic benefit cost. See Note 10 "Employee Post-Retirement Benefits." |
Income_Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2014 | |
Income Taxes [Abstract] | ' |
Income Taxes | ' |
Note 12. Income Taxes | |
The effective income tax rate from operations was 40.5% and 40.3% for the second quarter of 2014 and 2013, respectively. The effective tax rate from operations differs from the federal statutory rate primarily due to state income taxes. | |
As of June 30, 2014, we had unrecognized tax benefits totaling $240,000 (net of tax) excluding interest. The amount of the unrecognized tax benefits, if recognized, that would affect the effective income tax rates of future periods is $213,000. Due to expirations of statute of limitations, it is reasonably possible that the total amount of unrecognized tax benefits will not decrease during the next 12 months. | |
We file consolidated income tax returns in the United States federal jurisdiction and combined or separate income tax returns in various state jurisdictions. In general, we are no longer subject to United States federal income tax examinations for the years prior to 2010 except to the extent of losses utilized in subsequent years. |
Stock_Compensation
Stock Compensation | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Stock Compensation [Abstract] | ' | ||||||||
Stock Compensation | ' | ||||||||
Note 13. Stock Compensation | |||||||||
Our stock award plans provide for granting non-qualified stock options, stock awards and restricted stock awards to employees. We recognize stock compensation charges related to stock award plans based on management's best estimates and assumptions that the performance and service requirements of the plan will be achieved. Such compensation charges are recorded based upon the grant date fair value or settlement date fair value (as applicable) of our stock and are recognized over the requisite service period specified by the specific award plans. Share-based compensation expense includes amounts recognized related to the Company Employee Stock Purchase Plan. This plan allows participating employees to acquire shares of common stock at 85% of the average closing price for the five days previous to the purchase date. Stock-based compensation expense was $423,000 and $429,000, respectively, in the six months ended June 30, 2014 and 2013. This includes compensation expense for share-based payment awards granted prior to, but not vested as of June 30, 2014. As of June 30, 2014, we had not yet recognized compensation expense related to non-vested awards totaling $1,438,000. The weighted average period over which this compensation expense will be recognized is 2.42 years. | |||||||||
1993 Stock Award Plan | |||||||||
Long-Term Executive Incentive Program ("LTEIP") | |||||||||
We carry obligations of $800,000 and $971,000 as of June 30, 2014 and December 31, 2013 respectively, related to liability classified awards under the LTEIP that will be settled in company common stock in future periods. | |||||||||
Non-vested restricted stock activity for the six months ended June 30, 2014 is depicted in the table below. Granted shares represent non-vested shares issued to settle an obligation under the LTEIP plan during the period. | |||||||||
Weighted Average | |||||||||
Shares | Fair Value | ||||||||
Non-vested at January 1 | 28,525 | $ | 9.83 | ||||||
Granted/settled | 41,413 | $ | 13.31 | ||||||
Vested | (50,684 | ) | $ | 11.35 | |||||
Forfeited | - | $ | - | ||||||
Non-vested at June 30 | 19,254 | $ | 13.31 | ||||||
Employee Stock Retention | |||||||||
Under this program, designated employees can earn shares of common stock if they complete a requisite service period which typically ranges from 11 to 36 months. Compensation expense related to the Employee Stock Retention program is recognized over the requisite service period. | |||||||||
Retention stock activity for the six months ended June 30, 2014 is as follows: | |||||||||
Weighted Average | |||||||||
Shares | Fair Value | ||||||||
Non-vested at January 1 | 31,285 | $ | 8.77 | ||||||
Granted | 4,000 | $ | 12.1 | ||||||
Vested | - | $ | - | ||||||
Forfeited | (550 | ) | $ | 10.39 | |||||
Non-vested at June 30 | 34,735 | $ | 9.13 | ||||||
Stock Options | |||||||||
Stock options granted may be exercised no later than ten years after the date of grant, with one-third of the options vesting each year. | |||||||||
A summary of stock option activity for the six months ended June 30, 2014 is as follows: | |||||||||
Weighted Average | |||||||||
Options | Exercise Price | ||||||||
Outstanding at January 1 | 102,450 | $ | 10.35 | ||||||
Granted | - | $ | - | ||||||
Exercised | (10,800 | ) | $ | 11.04 | |||||
Forfeited | - | $ | - | ||||||
Expired | (28,200 | ) | $ | 11.68 | |||||
Outstanding at June 30 | 63,450 | $ | 9.64 | ||||||
Exercisable at June 30 | 63,450 | $ | 9.64 | ||||||
In the six months ended June 30, 2014, we received $119,000 in cash related to stock options exercised during the period. |
Quarterly_Segment_Financial_Su
Quarterly Segment Financial Summary | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Quarterly Segment Financial Summary [Abstract] | ' | ||||||||||||||||||||
Quarterly Segment Financial Summary | ' | ||||||||||||||||||||
Note 14. Quarterly Segment Financial Summary | |||||||||||||||||||||
Our operations are reported in three segments: (i) Fiber and Data, (ii) Equipment and (iii) Telecom. | |||||||||||||||||||||
Our Fiber and Data Segment serves wholesale, enterprise and commercial business customers with advanced data, Internet, cloud, voice and voice over Internet Protocol ("VoIP") services. With our IP network and communication expertise, we are able to provide both custom and broad network solutions which can be extended beyond our regional network through interconnections to provide end-to-end national connectivity. The Fiber and Data Segment includes revenue from Ethernet, Private Line, Multiprotocol Label Switching ("MPLS"), Data Center, Dedicated Internet and our cloud services. We own, lease and utilize long-term indefeasible rights of use ("IRU") agreements for the operation of our network. Fiber and Data services are marketed throughout our core regions: northern Minnesota and the Minneapolis-Saint Paul metropolitan area, southern Minnesota, Des Moines, Iowa and Fargo, North Dakota. | |||||||||||||||||||||
Our Equipment Segment provides equipment solutions and support for a broad spectrum of business customers ranging in size from medium to large enterprise. We design and implement networks utilizing leading technology including: TelePresence Video, Unified Communications and Data Center solutions in collaboration with industry-leading partners. We provide a comprehensive set of services including: Advisory, Implementation, Development and Support. Our Total Care support team provides a proactive approach to monitor and support customer networks, unified communications environment and data centers. Equipment sales and services are marketed primarily in our Minnesota core regions and specifically the Minneapolis-Saint Paul metropolitan area. | |||||||||||||||||||||
Our Telecom Segment provides bundled residential and business services including high-speed Internet, broadband services, digital TV, local voice and long distance services in our legacy telecom service area. Telecom is comprised of the operation of both Incumbent Local Exchange Carrier ("ILEC") and Competitive Local Exchange Carrier ("CLEC") operations. Our ILEC operations provide services in 13 south central Minnesota communities and 13 rural northwest Iowa communities. Our CLEC operation provides services in south central Minnesota and near Des Moines, Iowa. We own our network in both the ILEC and CLEC exchanges. | |||||||||||||||||||||
Segment information for the three and six months ended June 30, 2014 and 2013 is as follows: | |||||||||||||||||||||
(Dollars in thousands) | Corporate and | ||||||||||||||||||||
Three Months Ended June 30, 2014 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 17,632 | $ | 17,407 | $ | 13,960 | $ | 724 | $ | 49,723 | |||||||||||
Intersegment revenue | 211 | - | 426 | (637 | ) | - | |||||||||||||||
Total operating revenue | 17,843 | 17,407 | 14,386 | 87 | 49,723 | ||||||||||||||||
Asset impairment | - | - | - | - | - | ||||||||||||||||
Depreciation and amortization | 3,107 | 130 | 3,708 | 565 | 7,510 | ||||||||||||||||
Operating income (loss) | 2,377 | 1,716 | 1,852 | (1,751 | ) | 4,194 | |||||||||||||||
Interest expense | - | 1 | - | 990 | 991 | ||||||||||||||||
Income tax provision (benefit) | 963 | 695 | 751 | (1,109 | ) | 1,300 | |||||||||||||||
Net income (loss) | 1,415 | 1,020 | 1,103 | (1,627 | ) | 1,911 | |||||||||||||||
Total assets | 116,854 | 26,180 | 105,165 | 22,424 | 270,623 | ||||||||||||||||
Property, plant and equipment, net | 97,651 | 1,859 | 73,957 | 4,602 | 178,069 | ||||||||||||||||
Additions to property, plant and equipment (1) | 3,180 | 28 | 3,508 | 133 | 6,849 | ||||||||||||||||
(Dollars in thousands) | Corporate and | ||||||||||||||||||||
Three Months Ended June 30, 2013 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 16,779 | $ | 15,116 | $ | 14,206 | $ | 1,040 | $ | 47,141 | |||||||||||
Intersegment revenue | 213 | - | 416 | (629 | ) | - | |||||||||||||||
Total operating revenue | 16,992 | 15,116 | 14,622 | 411 | 47,141 | ||||||||||||||||
Asset impairment | 5 | - | - | - | 5 | ||||||||||||||||
Depreciation and amortization | 2,922 | 124 | 3,756 | 450 | 7,252 | ||||||||||||||||
Operating income (loss) | 2,249 | 934 | 1,953 | (130 | ) | 5,006 | |||||||||||||||
Interest expense | - | - | - | 1,131 | 1,131 | ||||||||||||||||
Income tax provision (benefit) | 912 | 378 | 791 | (514 | ) | 1,567 | |||||||||||||||
Net income (loss) | 1,340 | 555 | 1,163 | (737 | ) | 2,321 | |||||||||||||||
Total assets | 112,582 | 24,964 | 109,614 | 18,230 | 265,390 | ||||||||||||||||
Property, plant and equipment, net | 93,964 | 2,202 | 78,658 | 5,781 | 180,605 | ||||||||||||||||
Additions to property, plant and equipment (1) | 2,970 | 403 | 2,622 | 521 | 6,516 | ||||||||||||||||
Corporate and | |||||||||||||||||||||
Six Months Ended June 30, 2014 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 35,110 | $ | 29,655 | $ | 27,894 | $ | 1,304 | $ | 93,963 | |||||||||||
Intersegment revenue | 432 | - | 860 | (1,292 | ) | - | |||||||||||||||
Total operating revenue | 35,542 | 29,655 | 28,754 | 12 | 93,963 | ||||||||||||||||
Asset impairment | - | - | - | - | - | ||||||||||||||||
Depreciation and amortization | 6,297 | 268 | 7,386 | 1,139 | 15,090 | ||||||||||||||||
Operating income (loss) | 5,324 | 2,202 | 3,747 | (2,586 | ) | 8,687 | |||||||||||||||
Interest expense | - | 1 | - | 1,969 | 1,970 | ||||||||||||||||
Income tax provision (benefit) | 2,171 | 894 | 1,528 | (1,852 | ) | 2,741 | |||||||||||||||
Net income (loss) | 3,154 | 1,307 | 2,221 | (2,698 | ) | 3,984 | |||||||||||||||
Total assets | 116,854 | 26,180 | 105,165 | 22,424 | 270,623 | ||||||||||||||||
Property, plant and equipment, net | 97,651 | 1,859 | 73,957 | 4,602 | 178,069 | ||||||||||||||||
Additions to property, plant and equipment (1) | 5,768 | 137 | 5,312 | 566 | 11,783 | ||||||||||||||||
Corporate and | |||||||||||||||||||||
Six Months Ended June 30, 2013 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 33,250 | $ | 32,353 | $ | 28,454 | $ | 1,853 | $ | 95,910 | |||||||||||
Intersegment revenue | 426 | - | 833 | (1,259 | ) | - | |||||||||||||||
Total operating revenue | 33,676 | 32,353 | 29,287 | 594 | 95,910 | ||||||||||||||||
Asset impairment | 638 | - | - | - | 638 | ||||||||||||||||
Depreciation and amortization | 5,718 | 209 | 7,459 | 875 | 14,261 | ||||||||||||||||
Operating income (loss) | 3,887 | 1,755 | 3,823 | (602 | ) | 8,863 | |||||||||||||||
Interest expense | - | - | - | 2,270 | 2,270 | ||||||||||||||||
Income tax provision (benefit) | 1,589 | 715 | 1,558 | (1,201 | ) | 2,661 | |||||||||||||||
Net income (loss) | 2,301 | 1,040 | 2,267 | (1,661 | ) | 3,947 | |||||||||||||||
Total assets | 112,582 | 24,964 | 109,614 | 18,230 | 265,390 | ||||||||||||||||
Property, plant and equipment, net | 93,964 | 2,202 | 78,658 | 5,781 | 180,605 | ||||||||||||||||
Additions to property, plant and equipment (1) | 5,913 | 961 | 4,382 | 1,049 | 12,305 | ||||||||||||||||
(1) Net of Broadband Stimulus Funds received and does not include changes in materials and supplies. | |||||||||||||||||||||
(2) Includes intersegment eliminations. | |||||||||||||||||||||
Pending_Merger
Pending Merger | 6 Months Ended |
Jun. 30, 2014 | |
Pending Merger [Abstract] | ' |
Pending Merger | ' |
Note 15. Pending Merger | |
On June 29, 2014, Enventis Corporation, a Minnesota corporation ("Enventis"), entered into an Agreement and Plan of Merger (the "Merger Agreement"), by and among Enventis, Consolidated Communications Holdings, Inc., a Delaware corporation ("Consolidated"), and Sky Merger Sub Inc., a Minnesota corporation and wholly owned subsidiary of Consolidated ("Merger Sub"), pursuant to which Merger Sub will merge with and into Enventis (the "Merger"). | |
Pursuant the terms of the Merger Agreement, each share of our common stock issued and outstanding immediately prior to the closing of the Merger will be converted into the right to receive 0.7402 shares of Consolidated common stock. | |
Completion of the merger is subject to various customary closing conditions, including, but not limited to, approval and adoption by Enventis' and Consolidated's shareholders and certain regulatory approvals. | |
We incurred $911,000 of transaction fees related to entering the Merger Agreement during the quarter ended June 30, 2014. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies [Abstract] | ' |
Commitments and Contingencies | ' |
Note 16. Commitments and Contingencies | |
In April 2014, we received a notice from a large interexchange carrier disputing approximately $486,000 of interstate and intrastate switched access charges that we billed them. We do not agree with this dispute and cannot predict the outcome of such proceedings nor their impact, if any, to the Company. The interexchange carrier has initiated litigation in the states of Minnesota and Iowa. The litigation also involves many similar companies in our industry. The circumstances do not satisfy the criteria for accrual in accordance with FASB ASC Topic 450-20, "Loss Contingencies." | |
Following our Merger Agreement announcement, four putative class actions were commenced in Minnesota District Court, Blue Earth County, against Enventis, the Enventis Board of Directors, Consolidated Communications Holdings, Inc. and Sky Merger Sub Inc. The actions allege, among other things that our Board of Directors breached their fiduciary responsibilities in connection with the proposed merger. The Company intends to vigorously defend these actions and does not believe the resolution will have a material adverse effect on our financial position, results of operations or cash flows. | |
We are involved in certain other contractual disputes in the ordinary course of business, but do not believe the resolution of any of these existing matters will have a material adverse effect on our financial position, results of operations or cash flows. |
Subsequent_Event
Subsequent Event | 6 Months Ended |
Jun. 30, 2014 | |
Subsequent Event (Details) [Abstract] | ' |
Subsequent Event [Text Block] | ' |
Note 17. Subsequent Event | |
Subsequent to June 30, 2014, the Company received customer orders for a significant amount of equipment sales in our Equipment reporting segment. In connection with the large volume of equipment sales demand, we utilized $15,000,000 of our revolving line of credit to accommodate the fulfillment of the sales substantiated by the number of order-backed sales. As of July 30, 2014 we have $15,000,000 available in our revolving line of credit. |
Earnings_and_Dividends_per_Sha1
Earnings and Dividends per Share (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings and Dividends per Share [Abstract] | ' | ||||||||||||||||
Earnings and dividends per share | ' | ||||||||||||||||
The computation of basic and diluted earnings per share for the three and six months ended June 30, 2014 and 2013 using the two-class method is as follows: | |||||||||||||||||
Three Months Ended June 30 | Six Months Ended June 30 | ||||||||||||||||
(Dollars in thousands, except share and earnings per share amounts) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Net income | $ | 1,911 | $ | 2,321 | $ | 3,984 | $ | 3,947 | |||||||||
Less: net income allocable to participating securities | (3 | ) | (4 | ) | (7 | ) | (8 | ) | |||||||||
Net income attributable to common shares | $ | 1,908 | $ | 2,317 | $ | 3,977 | $ | 3,939 | |||||||||
Weighted average shares outstanding | 13,641,564 | 13,531,007 | 13,619,055 | 13,543,690 | |||||||||||||
Stock options (dilutive only) | 18,293 | 5,896 | 17,228 | 5,320 | |||||||||||||
Stock subscribed ("ESPP") | - | - | - | - | |||||||||||||
Retention awards | 19,667 | 16,775 | 19,544 | 13,980 | |||||||||||||
Stock subscribed ("LTEIP") | 16,595 | 23,289 | 23,551 | 21,759 | |||||||||||||
Total dilutive shares outstanding | 13,696,119 | 13,576,967 | 13,679,378 | 13,584,749 | |||||||||||||
Earnings per share: | |||||||||||||||||
Basic and diluted | $ | 0.14 | $ | 0.17 | $ | 0.29 | $ | 0.29 | |||||||||
Dividends per share | $ | 0.15 | $ | 0.145 | $ | 0.3 | $ | 0.29 | |||||||||
Shares outstanding on record date | ' | ||||||||||||||||
Cash dividends are based on the number of common shares outstanding at their respective record dates. The number of shares outstanding as of the record date for the first and second quarters of 2014 and 2013, respectively, are as follows: | |||||||||||||||||
Shares outstanding on record date | 2014 | 2013 | |||||||||||||||
First quarter (February 15) | 13,612,913 | 13,586,903 | |||||||||||||||
Second quarter (May 15) | 13,654,438 | 13,559,043 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended | |||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | |||||||||||||||||
Components of Goodwill | ' | |||||||||||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | ||||||||||||||||
Fiber and Data | $ | 5,384 | $ | 5,384 | ||||||||||||||
Equipment | 596 | 596 | ||||||||||||||||
Telecom | 23,048 | 23,048 | ||||||||||||||||
Total goodwill | $ | 29,028 | $ | 29,028 | ||||||||||||||
Components of Other Intangible Assets | ' | |||||||||||||||||
Intangible assets with finite lives are amortized over their respective estimated useful lives. Identifiable intangible assets that are subject to amortization are evaluated for impairment. | ||||||||||||||||||
The components of intangible assets are as follows: | ||||||||||||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | ||||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||||
Useful Lives | Amount | Amortization | Amount | Amortization | ||||||||||||||
Definite-lived intangible assets | ||||||||||||||||||
Customer relationships | 1 - 8 years | $ | 8,459 | $ | 6,405 | $ | 8,459 | $ | 6,061 | |||||||||
Other intangible assets | 1 - 5 years | 3,312 | 1,539 | 3,130 | 1,440 | |||||||||||||
Total | $ | 11,771 | $ | 7,944 | $ | 11,589 | $ | 7,501 |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Fair Value of Financial Instruments [Abstract] | ' | ||||||||||||||||||||
Fair Value | ' | ||||||||||||||||||||
The carrying amount and the fair value of our long-term debt, after deducting current maturities, interest rate swaps and our investments are as follows: | |||||||||||||||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | |||||||||||||||||||
Input Level | Carrying Amount | Fair Value | Carrying Amount | Fair Value | |||||||||||||||||
Long-term debt | 2 | $ | 132,938 | $ | 132,938 | $ | 133,621 | $ | 133,621 | ||||||||||||
Interest rate swaps | 2 | $ | 908 | $ | 908 | $ | 1,426 | $ | 1,426 | ||||||||||||
Investments | 3 | $ | 3,595 | n/a | $ | 3,414 | n/a |
Accrued_Expenses_and_Other_Tab
Accrued Expenses and Other (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Accrued Expenses and Other [Abstract] | ' | ||||||||
Schedule of accrued expenses | ' | ||||||||
The following table shows the Company's Consolidated Balance Sheets detail for accrued expenses and other: | |||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | |||||||
Accrued incentive compensation | $ | 1,046 | $ | 1,792 | |||||
Accrued wages and commissions | 3,555 | 3,543 | |||||||
Other accrued expenses | 6,600 | 5,108 | |||||||
Total accrued expenses and other | $ | 11,201 | $ | 10,443 |
Debt_and_Other_Obligations_Tab
Debt and Other Obligations (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Debt and Other Obligations [Abstract] | ' | ||||||||
Schedule of Long-term Debt Instruments | ' | ||||||||
Note 8. Debt and Other Obligations | |||||||||
Our long-term obligations were as follows: | |||||||||
(Dollars in thousands) | 30-Jun-14 | 31-Dec-13 | |||||||
Debt (current and long-term) | $ | 134,255 | $ | 134,932 | |||||
Capital leases | 187 | 275 | |||||||
Total debt | 134,442 | 135,207 | |||||||
Current portion of: | |||||||||
Debt | 1,353 | 1,353 | |||||||
Capital leases | 151 | 233 | |||||||
Current maturities of long-term obligations | 1,504 | 1,586 | |||||||
Long-term debt obligations, net of current maturities | $ | 132,938 | $ | 133,621 |
Financial_Derivative_Instrumen1
Financial Derivative Instruments (Tables) | 6 Months Ended | |||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||
Financial Derivative Instruments [Abstract] | ' | |||||||||||||||||
Interest Rate Swap Agreements | ' | |||||||||||||||||
The fair value of our interest rate swap agreements were determined based on level 2 inputs. Listed below are the interest rate swap agreements outstanding as of June 30, 2014 which were designated as cash flow hedges of interest rate risk and have the effect of locking our interest rates on a portion of our existing variable interest rate debt. | ||||||||||||||||||
Interest Rate Swap Agreement Effective Dates | Notional Amount | Rate | ||||||||||||||||
September 2011 - September 2014 | $ | 24,000,000 | 1.66 | % | ||||||||||||||
September 2011 - March 2015 | $ | 24,000,000 | 1.91 | % | ||||||||||||||
September 2011 - September 2015 | $ | 24,000,000 | 2.14 | % | ||||||||||||||
Fair Value of Derivative Instruments | ' | |||||||||||||||||
The following table presents the fair value of our derivative instruments included in our Consolidated Balance Sheets as either current or long-term liabilities. | ||||||||||||||||||
(Dollars in thousands) | Balance Sheet Location | 30-Jun-14 | 31-Dec-13 | |||||||||||||||
Interest rate derivatives designated as cash flow hedges | ||||||||||||||||||
Pay-fixed swaps liabilities | Financial derivative instruments | $ | 908 | $ | 1,426 | |||||||||||||
Effect of Derivative Instruments on Consolidated Operations | ' | |||||||||||||||||
The table below illustrates the effect of derivative instruments on consolidated operations. | ||||||||||||||||||
Three Months Ended June 30 | Six Months Ended June 30 | |||||||||||||||||
(Dollars in thousands) | Location of (Gain)/Loss | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Interest rate derivatives designated as cash flow hedges | ||||||||||||||||||
(Gains)/losses recognized on effective portion of derivative instruments | Other comprehensive income | $ | 29 | $ | (41 | ) | $ | 82 | $ | (15 | ) | |||||||
Losses reclassified from accumulated other comprehensive income into income | Interest expense | $ | 34 | $ | 25 | $ | 66 | $ | 46 | |||||||||
(Gains)/losses recognized in income on ineffective portion and amount excluded from effectiveness testing | Interest expense | $ | - | $ | (6 | ) | $ | - | $ | 1 |
Employee_PostRetirement_Benefi1
Employee Post-Retirement Benefits (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Employee Post-Retirement Benefits [Abstract] | ' | ||||||||||||||||
Employee Post-Retirement Benefits | ' | ||||||||||||||||
The components of net periodic benefit cost were as follows: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
30-Jun | 30-Jun | ||||||||||||||||
(Dollars in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 55 | $ | 67 | $ | 110 | $ | 134 | |||||||||
Interest cost | 131 | 120 | 263 | 240 | |||||||||||||
Amortization of prior service credit | (236 | ) | (236 | ) | (472 | ) | (472 | ) | |||||||||
Recognized net actuarial loss | 98 | 120 | 196 | 240 | |||||||||||||
Net periodic benefit cost | $ | 48 | $ | 71 | $ | 97 | $ | 142 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | |||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | |||||||||
The table below illustrates the effect on certain line items of net income of the amounts reclassified out of each component of accumulated other comprehensive income ("AOCI") for the three and six months ended June 30, 2014. See Note 9 "Financial Derivative Instruments" and Note 10 "Employee Post-Retirement Benefits" for additional details regarding the reclassifications below. | ||||||||||
(Dollars in thousands) | Amounts Reclassified from AOCI | |||||||||
Details about AOCI Components | Three Months Ended June 30, 2014 | Six Months Ended June 30, 2014 | Affected Line Item in the Consolidated Statements of Income | |||||||
Gains and losses on cash flow hedges | ||||||||||
Interest rate contracts | $ | 34 | $ | 66 | Interest expense | |||||
(14 | ) | (27 | ) | Income tax provision | ||||||
$ | 20 | $ | 39 | Net of tax | ||||||
Amortization of benefit pension items | ||||||||||
Prior service credits | $ | 236 | $ | 472 | (a) | |||||
Actuarial loss | (98 | ) | (196 | ) | (a) | |||||
138 | 276 | Total before tax | ||||||||
(55 | ) | (110 | ) | Income tax provision | ||||||
$ | 83 | $ | 166 | Net of tax | ||||||
Total reclassifications of period | $ | 103 | $ | 205 | Net of tax | |||||
(a)These accumulated other comprehensive income components are included in the computation of net periodic benefit cost. See Note 10 "Employee Post-Retirement Benefits." |
Stock_Compensation_Tables
Stock Compensation (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Stock Compensation [Abstract] | ' | ||||||||
Nonvested Restricted Stock Activity Under LTEIP | ' | ||||||||
Non-vested restricted stock activity for the six months ended June 30, 2014 is depicted in the table below. Granted shares represent non-vested shares issued to settle an obligation under the LTEIP plan during the period. | |||||||||
Weighted Average | |||||||||
Shares | Fair Value | ||||||||
Non-vested at January 1 | 28,525 | $ | 9.83 | ||||||
Granted/settled | 41,413 | $ | 13.31 | ||||||
Vested | (50,684 | ) | $ | 11.35 | |||||
Forfeited | - | $ | - | ||||||
Non-vested at June 30 | 19,254 | $ | 13.31 | ||||||
Nonvested Stock Retention | ' | ||||||||
Retention stock activity for the six months ended June 30, 2014 is as follows: | |||||||||
Weighted Average | |||||||||
Shares | Fair Value | ||||||||
Non-vested at January 1 | 31,285 | $ | 8.77 | ||||||
Granted | 4,000 | $ | 12.1 | ||||||
Vested | - | $ | - | ||||||
Forfeited | (550 | ) | $ | 10.39 | |||||
Non-vested at June 30 | 34,735 | $ | 9.13 | ||||||
Stock options activity | ' | ||||||||
A summary of stock option activity for the six months ended June 30, 2014 is as follows: | |||||||||
Weighted Average | |||||||||
Options | Exercise Price | ||||||||
Outstanding at January 1 | 102,450 | $ | 10.35 | ||||||
Granted | - | $ | - | ||||||
Exercised | (10,800 | ) | $ | 11.04 | |||||
Forfeited | - | $ | - | ||||||
Expired | (28,200 | ) | $ | 11.68 | |||||
Outstanding at June 30 | 63,450 | $ | 9.64 | ||||||
Exercisable at June 30 | 63,450 | $ | 9.64 |
Quarterly_Segment_Financial_Su1
Quarterly Segment Financial Summary (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Quarterly Segment Financial Summary [Abstract] | ' | ||||||||||||||||||||
Segment information | ' | ||||||||||||||||||||
Segment information for the three and six months ended June 30, 2014 and 2013 is as follows: | |||||||||||||||||||||
(Dollars in thousands) | Corporate and | ||||||||||||||||||||
Three Months Ended June 30, 2014 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 17,632 | $ | 17,407 | $ | 13,960 | $ | 724 | $ | 49,723 | |||||||||||
Intersegment revenue | 211 | - | 426 | (637 | ) | - | |||||||||||||||
Total operating revenue | 17,843 | 17,407 | 14,386 | 87 | 49,723 | ||||||||||||||||
Asset impairment | - | - | - | - | - | ||||||||||||||||
Depreciation and amortization | 3,107 | 130 | 3,708 | 565 | 7,510 | ||||||||||||||||
Operating income (loss) | 2,377 | 1,716 | 1,852 | (1,751 | ) | 4,194 | |||||||||||||||
Interest expense | - | 1 | - | 990 | 991 | ||||||||||||||||
Income tax provision (benefit) | 963 | 695 | 751 | (1,109 | ) | 1,300 | |||||||||||||||
Net income (loss) | 1,415 | 1,020 | 1,103 | (1,627 | ) | 1,911 | |||||||||||||||
Total assets | 116,854 | 26,180 | 105,165 | 22,424 | 270,623 | ||||||||||||||||
Property, plant and equipment, net | 97,651 | 1,859 | 73,957 | 4,602 | 178,069 | ||||||||||||||||
Additions to property, plant and equipment (1) | 3,180 | 28 | 3,508 | 133 | 6,849 | ||||||||||||||||
(Dollars in thousands) | Corporate and | ||||||||||||||||||||
Three Months Ended June 30, 2013 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 16,779 | $ | 15,116 | $ | 14,206 | $ | 1,040 | $ | 47,141 | |||||||||||
Intersegment revenue | 213 | - | 416 | (629 | ) | - | |||||||||||||||
Total operating revenue | 16,992 | 15,116 | 14,622 | 411 | 47,141 | ||||||||||||||||
Asset impairment | 5 | - | - | - | 5 | ||||||||||||||||
Depreciation and amortization | 2,922 | 124 | 3,756 | 450 | 7,252 | ||||||||||||||||
Operating income (loss) | 2,249 | 934 | 1,953 | (130 | ) | 5,006 | |||||||||||||||
Interest expense | - | - | - | 1,131 | 1,131 | ||||||||||||||||
Income tax provision (benefit) | 912 | 378 | 791 | (514 | ) | 1,567 | |||||||||||||||
Net income (loss) | 1,340 | 555 | 1,163 | (737 | ) | 2,321 | |||||||||||||||
Total assets | 112,582 | 24,964 | 109,614 | 18,230 | 265,390 | ||||||||||||||||
Property, plant and equipment, net | 93,964 | 2,202 | 78,658 | 5,781 | 180,605 | ||||||||||||||||
Additions to property, plant and equipment (1) | 2,970 | 403 | 2,622 | 521 | 6,516 | ||||||||||||||||
Corporate and | |||||||||||||||||||||
Six Months Ended June 30, 2014 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 35,110 | $ | 29,655 | $ | 27,894 | $ | 1,304 | $ | 93,963 | |||||||||||
Intersegment revenue | 432 | - | 860 | (1,292 | ) | - | |||||||||||||||
Total operating revenue | 35,542 | 29,655 | 28,754 | 12 | 93,963 | ||||||||||||||||
Asset impairment | - | - | - | - | - | ||||||||||||||||
Depreciation and amortization | 6,297 | 268 | 7,386 | 1,139 | 15,090 | ||||||||||||||||
Operating income (loss) | 5,324 | 2,202 | 3,747 | (2,586 | ) | 8,687 | |||||||||||||||
Interest expense | - | 1 | - | 1,969 | 1,970 | ||||||||||||||||
Income tax provision (benefit) | 2,171 | 894 | 1,528 | (1,852 | ) | 2,741 | |||||||||||||||
Net income (loss) | 3,154 | 1,307 | 2,221 | (2,698 | ) | 3,984 | |||||||||||||||
Total assets | 116,854 | 26,180 | 105,165 | 22,424 | 270,623 | ||||||||||||||||
Property, plant and equipment, net | 97,651 | 1,859 | 73,957 | 4,602 | 178,069 | ||||||||||||||||
Additions to property, plant and equipment (1) | 5,768 | 137 | 5,312 | 566 | 11,783 | ||||||||||||||||
Corporate and | |||||||||||||||||||||
Six Months Ended June 30, 2013 | Fiber and Data | Equipment | Telecom | Other (2) | Consolidated | ||||||||||||||||
Revenue from unaffiliated customers | $ | 33,250 | $ | 32,353 | $ | 28,454 | $ | 1,853 | $ | 95,910 | |||||||||||
Intersegment revenue | 426 | - | 833 | (1,259 | ) | - | |||||||||||||||
Total operating revenue | 33,676 | 32,353 | 29,287 | 594 | 95,910 | ||||||||||||||||
Asset impairment | 638 | - | - | - | 638 | ||||||||||||||||
Depreciation and amortization | 5,718 | 209 | 7,459 | 875 | 14,261 | ||||||||||||||||
Operating income (loss) | 3,887 | 1,755 | 3,823 | (602 | ) | 8,863 | |||||||||||||||
Interest expense | - | - | - | 2,270 | 2,270 | ||||||||||||||||
Income tax provision (benefit) | 1,589 | 715 | 1,558 | (1,201 | ) | 2,661 | |||||||||||||||
Net income (loss) | 2,301 | 1,040 | 2,267 | (1,661 | ) | 3,947 | |||||||||||||||
Total assets | 112,582 | 24,964 | 109,614 | 18,230 | 265,390 | ||||||||||||||||
Property, plant and equipment, net | 93,964 | 2,202 | 78,658 | 5,781 | 180,605 | ||||||||||||||||
Additions to property, plant and equipment (1) | 5,913 | 961 | 4,382 | 1,049 | 12,305 | ||||||||||||||||
(1) Net of Broadband Stimulus Funds received and does not include changes in materials and supplies. | |||||||||||||||||||||
(2) Includes intersegment eliminations. | |||||||||||||||||||||
Basis_of_Presentation_and_Cons1
Basis of Presentation and Consolidation (Details) | 6 Months Ended |
Jun. 30, 2014 | |
Segment | |
Basis of Presentation and Consolidation [Abstract] | ' |
Number of business segments | 3 |
Earnings_and_Dividends_per_Sha2
Earnings and Dividends per Share (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | 15-May-14 | Feb. 15, 2014 | Dec. 31, 2013 | 15-May-13 | Feb. 15, 2013 | |
Earnings per share, basic and diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | $1,911,000 | $2,321,000 | $3,984,000 | $3,947,000 | ' | ' | ' | ' | ' |
Net income allocable to participating securities | -3,000 | -4,000 | -7,000 | -8,000 | ' | ' | ' | ' | ' |
Net income after earnings allocated to participating securities | 1,908,000 | 2,317,000 | 3,977,000 | 3,939,000 | ' | ' | ' | ' | ' |
Weighted average shares outstanding | 13,641,564 | 13,531,007 | 13,619,055 | 13,543,690 | ' | ' | ' | ' | ' |
Total dilutive shares outstanding | 13,696,119 | 13,576,967 | 13,679,378 | 13,584,749 | ' | ' | ' | ' | ' |
Earnings per share, basic and diluted (in dollars per share) | $0.14 | $0.17 | $0.29 | $0.29 | ' | ' | ' | ' | ' |
Dividends per share (in dollars per share) | $0.15 | $0.14 | $0.30 | $0.29 | ' | ' | ' | ' | ' |
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 77,150 | 0 | 82,150 | ' | ' | ' | ' | ' |
Shares outstanding (in shares) | 13,646,449 | ' | 13,646,449 | ' | 13,654,438 | 13,612,913 | 13,568,871 | 13,559,043 | 13,586,903 |
Dividends reinvested | ' | ' | $154,000 | $154,000 | ' | ' | ' | ' | ' |
Stock repurchased and retired during the period (in shares) | ' | ' | 0 | 124,285 | ' | ' | ' | ' | ' |
Stock Options (dilutive only) [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnings per share, basic and diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental common shares attributable to share-based payment arrangements (in shares) | 18,293 | 5,896 | 17,228 | 5,320 | ' | ' | ' | ' | ' |
Stock subscribed (ESPP) [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnings per share, basic and diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental common shares attributable to share-based payment arrangements (in shares) | 0 | 0 | 0 | 0 | ' | ' | ' | ' | ' |
Retention Awards [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnings per share, basic and diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental common shares attributable to share-based payment arrangements (in shares) | 19,667 | 16,775 | 19,544 | 13,980 | ' | ' | ' | ' | ' |
Stock Subscribed LTEIP [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnings per share, basic and diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental common shares attributable to share-based payment arrangements (in shares) | 16,595 | 23,289 | 23,551 | 21,759 | ' | ' | ' | ' | ' |
LongLived_Assets_Details
Long-Lived Assets (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Long-Lived Assets [Abstract] | ' | ' | ' | ' |
Asset impairment | $0 | $5 | $0 | $638 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Goodwill [Line Items] | ' | ' | ' |
Goodwill | $29,028,000 | ' | $29,028,000 |
Goodwill tax deductible amount | 26,964,000 | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | 11,771,000 | ' | 11,589,000 |
Accumulated Amortization | 7,944,000 | ' | 7,501,000 |
Amortization of intangibles | 443,000 | 443,000 | ' |
Customer relationships [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | 8,459,000 | ' | 8,459,000 |
Accumulated Amortization | 6,405,000 | ' | 6,061,000 |
Customer relationships [Member] | Minimum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '1 year | ' | ' |
Customer relationships [Member] | Maximum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '8 years | ' | ' |
Other intangibles [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | 3,312,000 | ' | 3,130,000 |
Accumulated Amortization | 1,539,000 | ' | 1,440,000 |
Other intangibles [Member] | Minimum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '1 year | ' | ' |
Other intangibles [Member] | Maximum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '5 years | ' | ' |
Fiber and Data Segment [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill | 5,384,000 | ' | 5,384,000 |
Equipment Segment [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill | 596,000 | ' | 596,000 |
Telecom [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill | $23,048,000 | ' | $23,048,000 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Carrying Amount [Member] | Level 2 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | $132,938 | $133,621 |
Interest rate swaps | 908 | 1,426 |
Carrying Amount [Member] | Level 3 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Investments | 3,595 | 3,414 |
Fair Value [Member] | Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 132,938 | 133,621 |
Interest rate swaps | $908 | $1,426 |
Accrued_Expenses_and_Other_Det
Accrued Expenses and Other (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued Expenses and Other [Abstract] | ' | ' |
Accrued incentive compensation | $1,046 | $1,792 |
Accrued wages and commissions | 3,555 | 3,543 |
Other accrued expenses | 6,600 | 5,108 |
Total accrued expenses and other | $11,201 | $10,443 |
Extended_Term_Payable_Details
Extended Term Payable (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 |
Enterprise Integration Services Inc [Member] | Payment Guarantee [Member] | |||
Guarantor Obligations [Line Items] | ' | ' | ' | ' |
Wholesale Financing Agreement Total Amount Available | ' | ' | $18,000,000 | ' |
Guarantor Obligations Amount | ' | ' | ' | 2,500,000 |
Extended term payable | $13,068,000 | $8,879,000 | ' | ' |
Guarantor Obligations Financing Agreement Terms | ' | ' | 'The agreement requires Enterprise Integration Services, Inc. to maintain specific levels of collateral relative to the outstanding balance due, provide select monthly financial information, and make all payments when due or on demand in the event of a collateral shortfall, among other requirements. A default on the financing agreement by Enterprise Integration Services, Inc. would require Enventis to perform under the guarantee. The financing agreement provides 60 day, interest-free payment terms for working capital and can be terminated at any time by either party. | ' |
Number of days of interest free payments per financing agreement | ' | ' | '60 days | ' |
Debt_and_Other_Obligations_Det
Debt and Other Obligations (Details) (USD $) | 6 Months Ended | ||
Jun. 30, 2014 | Jul. 30, 2014 | Dec. 31, 2013 | |
Debt Instrument [Line Items] | ' | ' | ' |
Debt (current and long-term) | $134,255,000 | ' | $134,932,000 |
Capital lease obligations | 187,000 | ' | 275,000 |
Total debt | 134,442,000 | ' | 135,207,000 |
Long-term debt, current maturities | 1,353,000 | ' | 1,353,000 |
Capital lease obligations, current maturities | 151,000 | ' | 233,000 |
Current maturities of long-term obligations | 1,504,000 | ' | 1,586,000 |
Long-term debt obligations, net of current maturities | 132,938,000 | ' | 133,621,000 |
Debt Instrument, Maturity Date | 31-Dec-19 | ' | ' |
Debt Instrument, Unused Borrowing Capacity, Amount | 30,000,000 | 15,000,000 | ' |
Credit Facility, Amount Outstanding | ' | 15,000,000 | ' |
Revolving Credit Facility [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Credit Facility, Maximum Borrowing Capacity | 30,000,000 | ' | ' |
Credit Facility, Amount Outstanding | 20,000 | ' | ' |
Term Loan B Facility [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Debt (current and long-term) | 134,255,000 | ' | ' |
Credit Facility, Maximum Borrowing Capacity | $135,270,000 | ' | ' |
Financial_Derivative_Instrumen2
Financial Derivative Instruments (Details) (USD $) | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 |
Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Derivatives [Member] | Interest Rate Swap September 2014 [Member] | Interest Rate Swap March 2015 [Member] | Interest Rate Swap September 2015 [Member] | ||
Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | Designated as Cash Flow Hedges [Member] | ||
Interest Expense [Member] | Interest Expense [Member] | Interest Expense [Member] | Interest Expense [Member] | Other Comprehensive Income (Loss) [Member] | Other Comprehensive Income (Loss) [Member] | Other Comprehensive Income (Loss) [Member] | Other Comprehensive Income (Loss) [Member] | |||||||
Financial Derivative Instruments [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated amount expected to be reclassified from accumulated other comprehensive income to income | $81,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest-Rate Swap Agreement [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Nominal Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24,000,000 | 24,000,000 | 24,000,000 |
Variable Interest Rate (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.66% | 1.91% | 2.14% |
Derivatives, Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative Liabilities | ' | 908,000 | 1,426,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
(Gains)/losses recognized on effective portion of derivative instruments | ' | ' | ' | ' | ' | ' | ' | 29,000 | -41,000 | 82,000 | -15,000 | ' | ' | ' |
Losses reclassified from accumulated other comprehensive income into income | ' | ' | ' | 34,000 | 25,000 | 66,000 | 46,000 | ' | ' | ' | ' | ' | ' | ' |
(Gains)/losses recognized in income on ineffective portion and excluded from effectiveness testing | ' | ' | ' | $0 | ($6,000) | $0 | $1,000 | ' | ' | ' | ' | ' | ' | ' |
Employee_PostRetirement_Benefi2
Employee Post-Retirement Benefits (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Components of net periodic benefit cost | ' | ' | ' | ' |
Service cost | $55 | $67 | $110 | $134 |
Interest cost | 131 | 120 | 263 | 240 |
Amortization of prior service credit | -236 | -236 | -472 | -472 |
Amortization of net actuarial loss | 98 | 120 | 196 | 240 |
Net periodic benefit cost | $48 | $71 | $97 | $142 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ' | ' | ' | ' | ||
Interest expense | $991 | $1,131 | $1,970 | $2,270 | ||
Income tax provision | 1,300 | 1,567 | 2,741 | 2,661 | ||
Prior service credits | -236 | -236 | -472 | -472 | ||
Actuarial loss | 98 | 120 | 196 | 240 | ||
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ' | ' | ' | ' | ||
Total reclassifications of period, net of tax | 103 | ' | 205 | ' | ||
Gains and Losses on Cash Flow Hedges [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ' | ' | ' | ' | ||
Interest expense | 34 | ' | 66 | ' | ||
Income tax provision | -14 | ' | -27 | ' | ||
Net of tax | 20 | ' | 39 | ' | ||
Amortization of Benefit Pension Items [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ' | ' | ' | ' | ||
Prior service credits | 236 | [1] | ' | 472 | [1] | ' |
Actuarial loss | -98 | [1] | ' | -196 | [1] | ' |
Total before tax | 138 | ' | 276 | ' | ||
Income tax provision | -55 | ' | -110 | ' | ||
Net of tax | $83 | ' | $166 | ' | ||
[1] | These accumulated other comprehensive income components are included in the computation of net periodic benefit cost. See Note 10 "Employee Post-Retirement Benefits." |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Income Taxes [Abstract] | ' | ' |
Effective income tax rate (in hundredths) | 40.50% | 40.30% |
Unrecognized tax benefits excluding interest | $240,000 | ' |
Unrecognized tax benefits that would impact effective tax rate | 213,000 | ' |
Unrecognized tax benefits that may decrease in the next 12 months due to expirations of statute of limitations | $0 | ' |
Stock_Compensation_Details
Stock Compensation (Details) (USD $) | 6 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | |
Employee Stock Purchase Plan [Member] | LTEIP Restricted Stock [Member] | LTEIP Restricted Stock [Member] | Stock Award Plan [Member] | Stock Award Plan [Member] | Stock Options [Member] | Retention Awards [Member] | Retention Awards [Member] | Retention Awards [Member] | |
Minimum [Member] | Maximum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of fair market value at which employees acquire shares under Employee Stock Purchase Plan (in hundredths) | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Number of days average share price used for award conversion | '5 days | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation expense | ' | ' | ' | $423,000 | $429,000 | ' | ' | ' | ' |
Compensation expense not yet recognized | ' | ' | ' | 1,438,000 | ' | ' | ' | ' | ' |
Weighted average period of recognition | ' | ' | ' | '2 years 5 months 1 day | ' | ' | ' | ' | ' |
Award Requisite Service Period | ' | ' | ' | ' | ' | ' | ' | '11 months | '36 months |
Proceeds from Stock Options Exercised | ' | ' | ' | ' | ' | 119,000 | ' | ' | ' |
Portion of options vesting each year (in hundredths) | ' | ' | ' | ' | ' | 33.00% | ' | ' | ' |
Period within which stock options may be exercised | ' | ' | ' | ' | ' | '10 years | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-vested at Beginning of Year (in shares) | ' | 28,525 | ' | ' | ' | ' | 31,285 | ' | ' |
Granted/Settled (in shares) | ' | 41,413 | ' | ' | ' | ' | 4,000 | ' | ' |
Vested (in shares) | ' | -50,684 | ' | ' | ' | ' | 0 | ' | ' |
Forfeited (in shares) | ' | 0 | ' | ' | ' | ' | -550 | ' | ' |
Non-vested at End of Period (in shares) | ' | 19,254 | ' | ' | ' | ' | 34,735 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-vested at Beginning of Year (in dollars per share) | ' | $9.83 | ' | ' | ' | ' | $8.77 | ' | ' |
Granted (in dollars per share) | ' | $13.31 | ' | ' | ' | ' | $12.10 | ' | ' |
Vested (in dollars per share) | ' | $11.35 | ' | ' | ' | ' | $0 | ' | ' |
Forfeited (in dollars per share) | ' | $0 | ' | ' | ' | ' | $10.39 | ' | ' |
Non-vested at End of Period (in dollars per share) | ' | $13.31 | ' | ' | ' | ' | $9.13 | ' | ' |
Long Term Executive Incentive Program [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Performance Shares Related Liability | ' | $800,000 | $971,000 | ' | ' | ' | ' | ' | ' |
Number of options, shares [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at beginning of period (in shares) | ' | ' | ' | ' | ' | 102,450 | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | ' | 0 | ' | ' | ' |
Exercised (in shares) | ' | ' | ' | ' | ' | -10,800 | ' | ' | ' |
Forfeited (in shares) | ' | ' | ' | ' | ' | 0 | ' | ' | ' |
Expired (in shares) | ' | ' | ' | ' | ' | -28,200 | ' | ' | ' |
Outstanding at end of period (in shares) | ' | ' | ' | ' | ' | 63,450 | ' | ' | ' |
Exercisable at end of period (in shares) | ' | ' | ' | ' | ' | 63,450 | ' | ' | ' |
Weighted Average Exercise Price [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at start of period (in dollars per share) | ' | ' | ' | ' | ' | $10.35 | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | ' | ' | $0 | ' | ' | ' |
Exercised (in dollars per share) | ' | ' | ' | ' | ' | $11.04 | ' | ' | ' |
Forfeited (in dollars per share) | ' | ' | ' | ' | ' | $0 | ' | ' | ' |
Expired (in dollars per share) | ' | ' | ' | ' | ' | $11.68 | ' | ' | ' |
Outstanding at end of period (in dollars per share) | ' | ' | ' | ' | ' | $9.64 | ' | ' | ' |
Exercisable at end of period (in dollars per share) | ' | ' | ' | ' | ' | $9.64 | ' | ' | ' |
Quarterly_Segment_Financial_Su2
Quarterly Segment Financial Summary (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | ||||
Segment | |||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Number of reported segments | ' | ' | 3 | ' | ' | ||||
Total operating revenue | $49,723 | $47,141 | $93,963 | $95,910 | ' | ||||
Asset impairment | 0 | 5 | 0 | 638 | ' | ||||
Depreciation and amortization | 7,510 | 7,252 | 15,090 | 14,261 | ' | ||||
Operating income | 4,194 | 5,006 | 8,687 | 8,863 | ' | ||||
Interest expense | 991 | 1,131 | 1,970 | 2,270 | ' | ||||
Income tax provision (benefit) | 1,300 | 1,567 | 2,741 | 2,661 | ' | ||||
Net income (loss) | 1,911 | 2,321 | 3,984 | 3,947 | ' | ||||
Total assets | 270,623 | 265,390 | 270,623 | 265,390 | 266,880 | ||||
Property, plant and equipment, net | 178,069 | 180,605 | 178,069 | 180,605 | 181,326 | ||||
Additions to property, plant and equipment | 6,849 | [1] | 6,516 | [1] | 11,783 | [1] | 12,305 | [1] | ' |
Fiber and Data Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 17,843 | 16,992 | 35,542 | 33,676 | ' | ||||
Asset impairment | 0 | 5 | 0 | 638 | ' | ||||
Depreciation and amortization | 3,107 | 2,922 | 6,297 | 5,718 | ' | ||||
Operating income | 2,377 | 2,249 | 5,324 | 3,887 | ' | ||||
Interest expense | 0 | 0 | 0 | 0 | ' | ||||
Income tax provision (benefit) | 963 | 912 | 2,171 | 1,589 | ' | ||||
Net income (loss) | 1,415 | 1,340 | 3,154 | 2,301 | ' | ||||
Total assets | 116,854 | 112,582 | 116,854 | 112,582 | ' | ||||
Property, plant and equipment, net | 97,651 | 93,964 | 97,651 | 93,964 | ' | ||||
Additions to property, plant and equipment | 3,180 | [1] | 2,970 | [1] | 5,768 | [1] | 5,913 | [1] | ' |
Equipment Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 17,407 | 15,116 | 29,655 | 32,353 | ' | ||||
Asset impairment | 0 | 0 | 0 | 0 | ' | ||||
Depreciation and amortization | 130 | 124 | 268 | 209 | ' | ||||
Operating income | 1,716 | 934 | 2,202 | 1,755 | ' | ||||
Interest expense | 1 | 0 | 1 | 0 | ' | ||||
Income tax provision (benefit) | 695 | 378 | 894 | 715 | ' | ||||
Net income (loss) | 1,020 | 555 | 1,307 | 1,040 | ' | ||||
Total assets | 26,180 | 24,964 | 26,180 | 24,964 | ' | ||||
Property, plant and equipment, net | 1,859 | 2,202 | 1,859 | 2,202 | ' | ||||
Additions to property, plant and equipment | 28 | 403 | 137 | 961 | ' | ||||
Telecom Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 14,386 | 14,622 | 28,754 | 29,287 | ' | ||||
Asset impairment | 0 | 0 | 0 | 0 | ' | ||||
Depreciation and amortization | 3,708 | 3,756 | 7,386 | 7,459 | ' | ||||
Operating income | 1,852 | 1,953 | 3,747 | 3,823 | ' | ||||
Interest expense | 0 | 0 | 0 | 0 | ' | ||||
Income tax provision (benefit) | 751 | 791 | 1,528 | 1,558 | ' | ||||
Net income (loss) | 1,103 | 1,163 | 2,221 | 2,267 | ' | ||||
Total assets | 105,165 | 109,614 | 105,165 | 109,614 | ' | ||||
Property, plant and equipment, net | 73,957 | 78,658 | 73,957 | 78,658 | ' | ||||
Additions to property, plant and equipment | 3,508 | [1] | 2,622 | [1] | 5,312 | [1] | 4,382 | [1] | ' |
Telecom Segment [Member] | South Central Minnesota [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Number of communities serviced by incumbent local exchange carrier operations | ' | ' | 13 | ' | ' | ||||
Telecom Segment [Member] | Rural Northwest Iowa [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Number of communities serviced by incumbent local exchange carrier operations | ' | ' | 13 | ' | ' | ||||
Corporate and Other [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 87 | [2] | 411 | [2] | 12 | [2] | 594 | [2] | ' |
Asset impairment | 0 | 0 | 0 | 0 | ' | ||||
Depreciation and amortization | 565 | 450 | 1,139 | 875 | ' | ||||
Operating income | -1,751 | -130 | -2,586 | -602 | ' | ||||
Interest expense | 990 | 1,131 | 1,969 | 2,270 | ' | ||||
Income tax provision (benefit) | -1,109 | -514 | -1,852 | -1,201 | ' | ||||
Net income (loss) | -1,627 | -737 | -2,698 | -1,661 | ' | ||||
Total assets | 22,424 | 18,230 | 22,424 | 18,230 | ' | ||||
Property, plant and equipment, net | 4,602 | 5,781 | 4,602 | 5,781 | ' | ||||
Additions to property, plant and equipment | 133 | 521 | 566 | 1,049 | ' | ||||
Unaffiliated Customers [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 49,723 | 47,141 | 93,963 | 95,910 | ' | ||||
Unaffiliated Customers [Member] | Fiber and Data Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 17,632 | 16,779 | 35,110 | 33,250 | ' | ||||
Unaffiliated Customers [Member] | Equipment Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 17,407 | 15,116 | 29,655 | 32,353 | ' | ||||
Unaffiliated Customers [Member] | Telecom Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 13,960 | 14,206 | 27,894 | 28,454 | ' | ||||
Unaffiliated Customers [Member] | Corporate and Other [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 724 | 1,040 | 1,304 | 1,853 | ' | ||||
Intersegment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 0 | 0 | 0 | 0 | ' | ||||
Intersegment [Member] | Fiber and Data Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 211 | 213 | 432 | 426 | ' | ||||
Intersegment [Member] | Equipment Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 0 | 0 | 0 | 0 | ' | ||||
Intersegment [Member] | Telecom Segment [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | 426 | 416 | 860 | 833 | ' | ||||
Intersegment [Member] | Corporate and Other [Member] | ' | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ||||
Total operating revenue | ($637) | [2] | ($629) | [2] | ($1,292) | [2] | ($1,259) | [2] | ' |
[1] | Net of Broadband Stimulus Funds received and does not include changes in materials and supplies. | ||||||||
[2] | Includes intersegment eliminations. |
Pending_Merger_Details
Pending Merger (Details) (USD $) | 3 Months Ended |
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 |
Pending Merger [Abstract] | ' |
Acquirer Shares Received for Each Share of Acquirees Common Stock | 0.7402 |
Transaction fees incurred related to entering Merger Agreement | $911 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Lawsuit | |
Commitments and Contingencies [Abstract] | ' |
Disputed interstate and intrastate switched access charges | $486 |
Number of putative class actions commenced following announcement of Merger Agreement | 4 |
Subsequent_Event_Details
Subsequent Event (Details) (USD $) | Jul. 30, 2014 | Jun. 30, 2014 |
Subsequent Event (Details) [Abstract] | ' | ' |
Revolving Credit Facility, Amount Outstanding | $15,000,000 | ' |
Revolving Credit Facility, Unused Borrowing Capacity, Amount | $15,000,000 | $30,000,000 |