Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | ||
Jun. 30, 2014 | Jul. 25, 2014 | Jul. 25, 2014 | |
Common Stock | Class B Convertible Common Stock | ||
Entity Registrant Name | 'IAC/INTERACTIVECORP | ' | ' |
Entity Central Index Key | '0000891103 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Document Type | '10-Q | ' | ' |
Document Period End Date | 30-Jun-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'Q2 | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 77,597,075 | 5,789,499 |
CONSOLIDATED_BALANCE_SHEET
CONSOLIDATED BALANCE SHEET (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and cash equivalents | $987,326 | $1,100,444 |
Marketable securities | 81,611 | 6,004 |
Accounts receivable, net of allowance of $11,443 and $8,540 respectively | 223,436 | 207,408 |
Other current assets | 185,059 | 161,530 |
Total current assets | 1,477,432 | 1,475,386 |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 291,289 | 293,964 |
Goodwill | 1,720,650 | 1,675,323 |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 470,361 | 445,336 |
Long-term investments | 119,487 | 179,990 |
Other non-current assets | 88,259 | 164,685 |
TOTAL ASSETS | 4,167,478 | 4,234,684 |
LIABILITIES: | ' | ' |
Accounts payable, trade | 58,569 | 77,653 |
Deferred revenue | 184,423 | 158,206 |
Accrued expenses and other current liabilities | 344,738 | 351,038 |
Total current liabilities | 587,730 | 586,897 |
Long-term debt | 1,080,000 | 1,080,000 |
Income taxes payable | 420,408 | 416,384 |
Deferred income taxes | 327,957 | 320,748 |
Other long-term liabilities | 52,419 | 58,393 |
Redeemable noncontrolling interests | 24,137 | 42,861 |
Commitments and contingencies | ' | ' |
SHAREHOLDERS' EQUITY: | ' | ' |
Additional paid-in capital | 11,358,763 | 11,562,567 |
Accumulated deficit | -14,846 | -32,735 |
Accumulated other comprehensive loss | -9,906 | -13,046 |
Treasury stock 184,182,001 and 184,945,527 shares, respectively | -9,661,350 | -9,830,317 |
Total IAC shareholders' equity | 1,672,928 | 1,686,736 |
Noncontrolling interests | 1,899 | 42,665 |
Total shareholders' equity | 1,674,827 | 1,729,401 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 4,167,478 | 4,234,684 |
Common Stock | ' | ' |
SHAREHOLDERS' EQUITY: | ' | ' |
Common stock | 251 | 251 |
Class B Convertible Common Stock | ' | ' |
SHAREHOLDERS' EQUITY: | ' | ' |
Common stock | $16 | $16 |
CONSOLIDATED_BALANCE_SHEET_Par
CONSOLIDATED BALANCE SHEET (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Accounts receivable, allowance (in dollars) | $11,443 | $8,540 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment (in dollars) | 277,966 | 265,298 |
Accumulated Amortization (in dollars) | $85,407 | $83,310 |
Treasury stock, shares | 184,182,001 | 184,945,527 |
Common Stock | ' | ' |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, authorized shares | 1,600,000,000 | 1,600,000,000 |
Common stock, issued shares | 251,393,985 | 250,982,079 |
Common stock, outstanding shares | 77,579,984 | 76,404,552 |
Class B Convertible Common Stock | ' | ' |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, authorized shares | 400,000,000 | 400,000,000 |
Common stock, issued shares | 16,157,499 | 16,157,499 |
Common stock, outstanding shares | 5,789,499 | 5,789,499 |
CONSOLIDATED_STATEMENT_OF_OPER
CONSOLIDATED STATEMENT OF OPERATIONS (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Revenue | $756,315 | $799,411 | $1,496,562 | $1,541,660 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | 211,100 | 272,822 | 420,294 | 528,671 |
Selling and marketing expense | 272,786 | 247,153 | 571,498 | 490,067 |
General and administrative expense | 109,719 | 103,515 | 204,535 | 199,239 |
Product development expense | 38,357 | 34,052 | 77,373 | 69,169 |
Depreciation | 15,257 | 17,036 | 30,075 | 31,052 |
Amortization of intangibles | 13,406 | 18,137 | 25,385 | 32,215 |
Total operating costs and expenses | 660,625 | 692,715 | 1,329,160 | 1,350,413 |
Operating income | 95,690 | 106,696 | 167,402 | 191,247 |
Equity in losses of unconsolidated affiliates | -6,850 | -1,078 | -8,785 | -1,169 |
Interest expense | -14,046 | -7,658 | -28,110 | -15,321 |
Other (expense) income, net | -62,900 | -4 | -62,923 | 1,654 |
Earnings from continuing operations before income taxes | 11,894 | 97,956 | 67,584 | 176,411 |
Income tax provision | -29,889 | -39,416 | -51,274 | -65,162 |
(Loss) earnings from continuing operations | -17,995 | 58,540 | 16,310 | 111,249 |
Loss from discontinued operations, net of tax | -868 | -1,068 | -1,682 | -2,012 |
Net (loss) earnings | -18,863 | 57,472 | 14,628 | 109,237 |
Net loss attributable to noncontrolling interests | 867 | 818 | 3,261 | 2,690 |
Net earnings attributable to IAC shareholders | -17,996 | 58,290 | 17,889 | 111,927 |
Per share information attributable to IAC shareholders: | ' | ' | ' | ' |
Basic earnings per share from continuing operations (in dollars per share) | ($0.21) | $0.71 | $0.24 | $1.36 |
Diluted earnings per share from continuing operations (in dollars per share) | ($0.21) | $0.69 | $0.22 | $1.31 |
Basic earnings per share (in dollars per share) | ($0.22) | $0.70 | $0.22 | $1.33 |
Diluted earnings per share (in dollars per share) | ($0.22) | $0.67 | $0.20 | $1.29 |
Dividends declared per share (in dollars per share) | $0.24 | $0.24 | $0.48 | $0.48 |
Non-cash compensation expense by function: | ' | ' | ' | ' |
Total non-cash compensation expense | 16,552 | 11,820 | 26,165 | 24,483 |
Cost of revenue | ' | ' | ' | ' |
Non-cash compensation expense by function: | ' | ' | ' | ' |
Total non-cash compensation expense | 459 | 681 | 451 | 1,301 |
Selling and marketing expense | ' | ' | ' | ' |
Non-cash compensation expense by function: | ' | ' | ' | ' |
Total non-cash compensation expense | 657 | 794 | 853 | 1,180 |
General and administrative expense | ' | ' | ' | ' |
Non-cash compensation expense by function: | ' | ' | ' | ' |
Total non-cash compensation expense | 13,707 | 9,427 | 21,659 | 20,207 |
Product development expense | ' | ' | ' | ' |
Non-cash compensation expense by function: | ' | ' | ' | ' |
Total non-cash compensation expense | $1,729 | $918 | $3,202 | $1,795 |
CONSOLIDATED_STATEMENT_OF_COMP
CONSOLIDATED STATEMENT 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 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net (loss) earnings | ($18,863) | $57,472 | $14,628 | $109,237 |
Other comprehensive (loss) income, net of tax: | ' | ' | ' | ' |
Change in foreign currency translation adjustment | -187 | -4,598 | 5,190 | -13,021 |
Change in net unrealized (losses) gains on available-for-sale securities (net of tax benefits of $865 and $1,438 for the three and six months ended June 30, 2014, respectively, and tax provision of $740 and tax benefit of $84 for the three and six months ended June 30, 2013, respectively) | -2,139 | 17,187 | -2,250 | 12,211 |
Net current period other comprehensive loss | -2,326 | 12,589 | 2,940 | -810 |
Comprehensive (loss) income | -21,189 | 70,061 | 17,568 | 108,427 |
Comprehensive loss attributable to noncontrolling interests | 984 | 138 | 3,461 | 3,482 |
Comprehensive (loss) income attributable to IAC shareholders | ($20,205) | $70,199 | $21,029 | $111,909 |
CONSOLIDATED_STATEMENT_OF_COMP1
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Change in net unrealized gains on available-for-sale securities, tax | $865 | ($740) | $1,438 | $84 |
CONSOLIDATED_STATEMENT_OF_SHAR
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (USD $) | Total | IAC | Common Stock | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss | Treasury Stock | Noncontrolling Interests | Redeemable Noncontrolling Interests |
In Thousands, unless otherwise specified | Class B Convertible Common Stock | |||||||||
Redeemable noncontrolling interests, balance at Dec. 31, 2013 | $42,861 | ' | ' | ' | ' | ' | ' | ' | ' | $42,861 |
Balance at Dec. 31, 2013 | 1,729,401 | 1,686,736 | 251 | 16 | 11,562,567 | -32,735 | -13,046 | -9,830,317 | 42,665 | ' |
Balance (in shares) at Dec. 31, 2013 | ' | ' | 250,982 | 16,157 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net (loss) earnings for the six months ended June 30, 2014 | 17,889 | 17,889 | ' | ' | ' | 17,889 | ' | ' | 0 | ' |
Redeemable noncontrolling interests, net loss for the three months ended March 31, 2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3,261 |
Other comprehensive (loss) income, net of tax | 3,239 | 3,140 | ' | ' | ' | ' | 3,140 | ' | 99 | ' |
Non-cash compensation expense | 26,165 | 25,979 | ' | ' | 25,979 | ' | ' | ' | 186 | ' |
Stock Issued During Period, Shares, New Issues | ' | ' | 412 | ' | ' | ' | ' | ' | ' | ' |
Redeemable noncontrolling interests, other comprehensive loss, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | -299 |
Issuance of common stock upon exercise of stock options, vesting of restricted stock units and other, net of withholding taxes | -13,735 | -13,735 | ' | ' | -182,702 | ' | ' | 168,967 | ' | ' |
Income tax benefit related to the exercise of stock options, vesting of restricted stock units and other | 25,487 | 25,487 | ' | ' | 25,487 | ' | ' | ' | ' | ' |
Dividends | -39,556 | -39,556 | ' | ' | -39,556 | ' | ' | ' | ' | ' |
Purchase of redeemable noncontrolling interests | -50,347 | ' | ' | ' | ' | ' | ' | ' | -50,347 | -38,893 |
Adjustment of redeemable noncontrolling interests and noncontrolling interests to fair value | -23,716 | -33,012 | ' | ' | -33,012 | ' | ' | ' | 9,296 | 23,716 |
Redeemable noncontrolling interests, other | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13 |
Redeemable noncontrolling interests, balance at Jun. 30, 2014 | 24,137 | ' | ' | ' | ' | ' | ' | ' | ' | 24,137 |
Balance at Jun. 30, 2014 | $1,674,827 | $1,672,928 | $251 | $16 | $11,358,763 | ($14,846) | ($9,906) | ($9,661,350) | $1,899 | ' |
Balance (in shares) at Jun. 30, 2014 | ' | ' | 251,394 | 16,157 | ' | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENT_OF_CASH
CONSOLIDATED STATEMENT OF CASH FLOWS (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities attributable to continuing operations: | ' | ' |
Net (loss) earnings | $14,628 | $109,237 |
Less: loss from discontinued operations, net of tax | -1,682 | -2,012 |
(Loss) earnings from continuing operations | 16,310 | 111,249 |
Adjustments to reconcile earnings from continuing operations to net cash provided by operating activities attributable to continuing operations: | ' | ' |
Non-cash compensation expense | 26,165 | 24,483 |
Depreciation | 30,075 | 31,052 |
Amortization of intangibles | 25,385 | 32,215 |
Impairment of long-term investments | 64,281 | ' |
Excess Tax Benefit from Share-based Compensation, Operating Activities | -32,889 | -23,547 |
Deferred income taxes | 5,849 | -6,737 |
Equity in losses of unconsolidated affiliates | 8,785 | 1,169 |
Acquisition-related contingent consideration fair value adjustments | 500 | 5,707 |
Changes in assets and liabilities, net of effects of acquisitions: | ' | ' |
Accounts receivable | -5,718 | -9,754 |
Other assets | -19,238 | -14,789 |
Accounts payable and other current liabilities | -31,242 | 23,438 |
Income taxes payable | 29,299 | 45,529 |
Deferred revenue | 25,851 | -203 |
Other, net | 5,358 | 8,451 |
Net cash provided by operating activities attributable to continuing operations | 148,771 | 228,263 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | -103,637 | -36,913 |
Capital expenditures | -26,557 | -47,819 |
Proceeds from maturities and sales of marketable debt securities | 998 | 12,502 |
Purchases of marketable debt securities | -78,380 | 0 |
Proceeds from sales of long-term investments | 2,803 | 310 |
Purchases of long-term investments | -14,701 | -25,259 |
Other, net | -616 | -1,443 |
Net cash used in investing activities attributable to continuing operations | -220,090 | -98,622 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | 0 | -15,844 |
Purchase of treasury stock | 0 | -162,660 |
Dividends | -40,086 | -38,880 |
Issuance of common stock, net of withholding taxes | -13,823 | -868 |
Excess tax benefits from stock-based awards | 32,889 | 23,547 |
Purchase of noncontrolling interest | -30,000 | 0 |
Funds returned from escrow for Meetic tender offer | 12,354 | 0 |
Acquisition-related contingent consideration payment | -7,373 | 0 |
Other, net | -141 | -3,634 |
Net cash used in financing activities attributable to continuing operations | -46,180 | -198,339 |
Total cash used in continuing operations | -117,499 | -68,698 |
Total cash (used in) provided by discontinued operations | -157 | 2,335 |
Effect of exchange rate changes on cash and cash equivalents | 4,538 | -4,889 |
Net decrease in cash and cash equivalents | -113,118 | -71,252 |
Cash and cash equivalents at beginning of period | 1,100,444 | 749,977 |
Cash and cash equivalents at end of period | $987,326 | $678,725 |
THE_COMPANY_AND_SUMMARY_OF_SIG
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended | |
Jun. 30, 2014 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||
Nature of Operations | ||
IAC is a leading media and Internet company comprised of more than 150 brands and products, including Ask.com, About.com, Match.com, HomeAdvisor and Vimeo. Focused on the areas of search, applications, online dating, media and eCommerce, IAC's family of websites is one of the largest in the world, with over a billion monthly visits across more than 100 countries. IAC includes its Search & Applications, The Match Group, Media and eCommerce reportable segments, as well as investments in unconsolidated affiliates. | ||
All references to "IAC," the "Company," "we," "our" or "us" in this report are to IAC/InterActiveCorp. | ||
Reportable Segments | ||
During the first quarter of 2014, IAC realigned its reportable segments as follows: | ||
• | The Company created a new segment called The Match Group that includes Match, which was previously reported as its own separate segment, and DailyBurn and Tutor, which were previously in the Media and Other segments, respectively. | |
• | The businesses within the Local segment (HomeAdvisor, Felix and, for periods prior to July 1, 2013, CityGrid Media) were moved to the eCommerce segment, formerly called the Other segment. | |
• | There were no changes to the Search & Applications segment. | |
Non-GAAP Measure | ||
In addition, the Company introduced Adjusted EBITDA, a new non-GAAP financial measure, beginning with the first quarter of 2014. We believe Adjusted EBITDA is a useful measure for analysts and investors as this measure allows a more meaningful comparison between our performance and that of our competitors. Moreover, our management uses this measure internally to evaluate the performance of our business as a whole and our individual business segments. | ||
Refer to Note 8 to the consolidated financial statements for the reconciliation of Adjusted EBITDA to operating income (loss) by reportable segment. | ||
Basis of Presentation | ||
The consolidated financial statements include the accounts of the Company, all entities that are wholly-owned by the Company and all entities in which the Company has a controlling financial interest. Intercompany transactions and accounts have been eliminated. Investments in the common stock or in-substance common stock of entities in which the Company has the ability to exercise significant influence over the operating and financial matters of the investee, but does not have a controlling financial interest, are accounted for using the equity method and are included in "Long-term investments" in the accompanying consolidated balance sheet. | ||
The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") for interim financial information and with the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation. Interim results are not necessarily indicative of the results that may be expected for a full year. The accompanying unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto for the year ended December 31, 2013 included in our Current Report on Form 8-K dated July 2, 2014. | ||
Accounting Estimates | ||
The preparation of consolidated financial statements in accordance with U.S. GAAP requires management to make certain estimates, judgments and assumptions that impact the reported amounts of assets, liabilities, revenue and expenses and the related disclosure of contingent assets and liabilities. Actual results could differ from these estimates. On an ongoing basis, the Company evaluates its estimates and judgments including those related to: the fair values of marketable securities and other investments; the recoverability of goodwill and indefinite-lived intangible assets; the useful lives and recovery of definite-lived intangible assets and property and equipment; the carrying value of accounts receivable, including the determination of the allowance for doubtful accounts and revenue reserves; the fair value of acquisition-related contingent consideration; the reserves for income tax contingencies; the valuation allowance for deferred income tax assets; and the fair value of and forfeiture rates for stock-based awards, among others. The Company bases its estimates and judgments on historical experience, its forecasts and budgets and other factors that the Company considers relevant. | ||
Certain Risks and Concentrations | ||
A substantial portion of the Company's revenue is derived from online advertising, the market for which is highly competitive and rapidly changing. Significant changes in this industry or changes in advertising spending behavior or in customer buying behavior could adversely affect our operating results. Most of the Company's online advertising revenue is attributable to a services agreement with Google Inc. ("Google"), which expires on March 31, 2016. Our services agreement requires that we comply with certain guidelines promulgated by Google. Subject to certain limitations, Google may unilaterally update its policies and guidelines, which could require modifications to, or prohibit and/or render obsolete certain of our products, services and/or business practices, which could be costly to address or otherwise have an adverse effect on our business, financial condition and results of operations. For the three and six months ended June 30, 2014, revenue earned from Google is $349.5 million and $704.6 million, respectively. For the three and six months ended June 30, 2013, revenue earned from Google is $405.8 million and $781.9 million, respectively. This revenue is earned by the businesses comprising the Search & Applications segment. Accounts receivable related to revenue earned from Google totaled $114.5 million and $112.3 million at June 30, 2014 and December 31, 2013, respectively. | ||
Recent Accounting Pronouncements | ||
In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers, which clarifies the principles for recognizing revenue and develops a common standard for all industries. The new guidance is effective for reporting periods beginning after December 15, 2016. Entities have the option of using either a full retrospective or cumulative effect approach to adopt ASU No. 2014-09. The Company is currently evaluating the new guidance and has not determined the impact this standard may have on its consolidated financial statements or the method of adoption. | ||
In April 2014, the FASB issued ASU No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity, which changes the criteria for determining which disposals can be presented as discontinued operations and modifies the related disclosure requirements. Under the new guidance, a discontinued operation is defined as a disposal of a component or group of components that represents a strategic shift that has, or will have, a major effect on an entity's operations and financial results. The Company will adopt the new guidance effective January 1, 2015. The adoption of ASU No. 2014-08 will not have a material effect on the Company’s consolidated financial statements. |
INCOME_TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
INCOME TAXES | ' |
INCOME TAXES | |
At the end of each interim period, the Company makes its best estimate of the annual expected effective income tax rate and applies that rate to its ordinary year-to-date earnings or loss. The income tax provision or benefit related to significant, unusual, or extraordinary items, if applicable, that will be separately reported or reported net of their related tax effects are individually computed and recognized in the interim period in which they occur. In addition, the effect of changes in enacted tax laws or rates, tax status, judgment on the realizability of a beginning-of-the-year deferred tax asset in future years or income tax contingencies is recognized in the interim period in which the change occurs. | |
The computation of the annual expected effective income tax rate at each interim period requires certain estimates and assumptions including, but not limited to, the expected pre-tax income (or loss) for the year, projections of the proportion of income (and/or loss) earned and taxed in foreign jurisdictions, permanent and temporary differences, and the likelihood of the realizability of deferred tax assets generated in the current year. The accounting estimates used to compute the provision or benefit for income taxes may change as new events occur, more experience is acquired, additional information is obtained or our tax environment changes. To the extent that the expected annual effective income tax rate changes during a quarter, the effect of the change on prior quarters is included in income tax provision in the quarter in which the change occurs. | |
For the three and six months ended June 30, 2014, the Company recorded an income tax provision for continuing operations of $29.9 million and $51.3 million, respectively, which represents effective income tax rates of 251% and 76%, respectively. The effective rates for the three and six months ended June 30, 2014 are higher than the statutory rate of 35% due primarily to the largely unbenefited loss associated with the write-downs of certain of the Company's investments, interest on reserves for income tax contingencies, and state taxes, partially offset by foreign income taxed at lower rates. For the three and six months ended June 30, 2013, the Company recorded an income tax provision for continuing operations of $39.4 million and $65.2 million, respectively, which represents effective income tax rates of 40% and 37%, respectively. The effective rates for the three and six months ended June 30, 2013 are higher than the statutory rate of 35% due primarily to state taxes and interest on reserves for income tax contingencies, partially offset by foreign income taxed at lower rates. | |
The Company recognizes interest and, if applicable, penalties related to unrecognized tax benefits in the income tax provision. Included in the income tax provision for continuing operations and discontinued operations for the three months ended June 30, 2014 is a $1.5 million and a $0.8 million expense, respectively, net of related deferred taxes, for interest on unrecognized tax benefits. Included in the income tax provision for continuing operations and discontinued operations for the six months ended June 30, 2014 is a $3.1 million and a $1.6 million expense, respectively, net of related deferred taxes, for interest on unrecognized tax benefits. At June 30, 2014 and December 31, 2013, the Company has accrued $140.7 million and $133.0 million, respectively, for the payment of interest. At June 30, 2014 and December 31, 2013, the Company has accrued $5.3 million and $5.1 million, respectively, for penalties. | |
The Company is routinely under audit by federal, state, local and foreign authorities in the area of income tax. These audits include questioning the timing and the amount of income and deductions and the allocation of income and deductions among various tax jurisdictions. In June 2014, the Internal Revenue Service notified the Company that it will audit the Company’s tax returns for the years ended December 31, 2010 through 2012. Various other jurisdictions are currently under examination, the most significant of which are France, California, New York and New York City for various tax years beginning with 2006. Income taxes payable include reserves considered sufficient to pay assessments that may result from examination of prior year tax returns. Changes to reserves from period to period and differences between amounts paid, if any, upon resolution of audits and amounts previously provided may be material. Differences between the reserves for income tax contingencies and the amounts owed by the Company are recorded in the period they become known. | |
At June 30, 2014 and December 31, 2013, unrecognized tax benefits, including interest, are $412.0 million and $408.8 million, respectively. Of the total unrecognized tax benefits at June 30, 2014, $409.5 million is included in "Income taxes payable," $2.1 million relates to deferred tax assets included in "Deferred income taxes" and $0.3 million is included in "Accrued expenses and other current liabilities" in the accompanying consolidated balance sheet. Included in unrecognized tax benefits at June 30, 2014 is $39.9 million relating to tax positions for which the ultimate deductibility is highly certain, but for which there is uncertainty about the timing of such deductibility. | |
The statute of limitations for federal income taxes for the years 2001 through 2009 expired on July 1, 2014. As a result, previously unrecognized tax benefits, including interest, totaling $374.8 million will be recognized in the third quarter of 2014. The income tax benefit to continuing operations and discontinued operations will be $88.3 million and $175.7 million, respectively. The remaining amount of $110.8 million will affect various balance sheet accounts, primarily non-current deferred tax assets, which will be reduced by $100.0 million. If the remaining balance of unrecognized tax benefits at June 30, 2014 is subsequently recognized, $32.5 million, net of related deferred tax assets and interest, would reduce income tax provision for continuing operations. Excluding the amounts related to the 2001-2009 period described above, the Company believes that it is reasonably possible that its unrecognized tax benefits could decrease by an additional $11.6 million within twelve months of the current reporting date, of which approximately $8.3 million would decrease income tax provision for continuing operations, primarily due to expirations of statutes of limitations. |
MARKETABLE_SECURITIES
MARKETABLE SECURITIES | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Marketable Securities [Abstract] | ' | |||||||||||||||
MARKETABLE SECURITIES | ' | |||||||||||||||
MARKETABLE SECURITIES | ||||||||||||||||
At June 30, 2014, current available-for-sale marketable securities are as follows: | ||||||||||||||||
Amortized | Gross | Gross | Fair | |||||||||||||
Cost | Unrealized | Unrealized | Value | |||||||||||||
Gains | Losses | |||||||||||||||
(In thousands) | ||||||||||||||||
Corporate debt securities | $ | 78,599 | $ | 41 | $ | (59 | ) | $ | 78,581 | |||||||
Total debt securities | 78,599 | 41 | (59 | ) | 78,581 | |||||||||||
Equity security | 149 | 2,881 | — | 3,030 | ||||||||||||
Total marketable securities | $ | 78,748 | $ | 2,922 | $ | (59 | ) | $ | 81,611 | |||||||
At December 31, 2013, current available-for-sale marketable securities are as follows: | ||||||||||||||||
Amortized | Gross | Gross | Fair | |||||||||||||
Cost | Unrealized | Unrealized | Value | |||||||||||||
Gains | Losses | |||||||||||||||
(In thousands) | ||||||||||||||||
Corporate debt security | $ | 1,004 | $ | 4 | $ | — | $ | 1,008 | ||||||||
Total debt security | 1,004 | 4 | — | 1,008 | ||||||||||||
Equity securities | 216 | 4,780 | — | 4,996 | ||||||||||||
Total marketable securities | $ | 1,220 | $ | 4,784 | $ | — | $ | 6,004 | ||||||||
The net unrealized gains in the tables above are included in "Accumulated other comprehensive loss" in the accompanying consolidated balance sheet. | ||||||||||||||||
The contractual maturities of debt securities classified as current available-for-sale at June 30, 2014 are as follows: | ||||||||||||||||
Amortized | Fair | |||||||||||||||
Cost | Value | |||||||||||||||
(In thousands) | ||||||||||||||||
Due in one year or less | $ | 10,632 | $ | 10,642 | ||||||||||||
Due after one year through five years | 67,967 | 67,939 | ||||||||||||||
Total | $ | 78,599 | $ | 78,581 | ||||||||||||
The following table summarizes investments in current available-for-sale marketable debt securities (22 in total at June 30, 2014) that have been in a continuous unrealized loss position for less than twelve months: | ||||||||||||||||
June 30, 2014 | 31-Dec-13 | |||||||||||||||
Fair | Gross | Fair | Gross | |||||||||||||
Value | Unrealized | Value | Unrealized | |||||||||||||
Losses | Losses | |||||||||||||||
(In thousands) | ||||||||||||||||
Corporate debt securities | $ | 51,621 | $ | (59 | ) | $ | — | $ | — | |||||||
Total | $ | 51,621 | $ | (59 | ) | $ | — | $ | — | |||||||
At June 30, 2014 and December 31, 2013, there are no investments in current available-for-sale marketable securities that have been in a continuous unrealized loss position for twelve months or longer. | ||||||||||||||||
All of the Company’s marketable debt securities are rated investment grade. The gross unrealized losses on the marketable debt securities relate principally to changes in interest rates. Because the Company does not intend to sell any marketable debt securities and it is not more likely than not that the Company will be required to sell any marketable debt securities before recovery of their amortized cost bases, which may be maturity, the Company does not consider any of its marketable debt securities to be other-than-temporarily impaired at June 30, 2014. | ||||||||||||||||
The following table presents the proceeds from maturities and sales of current and non-current available-for-sale marketable securities and the related gross realized gains: | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(In thousands) | ||||||||||||||||
Proceeds from maturities and sales of available-for-sale marketable securities | $ | 3,462 | $ | 2 | $ | 3,462 | $ | 12,502 | ||||||||
Gross realized gains | 2,299 | — | 2,299 | — | ||||||||||||
There were no realized losses from the maturities and sales of available-for-sale marketable securities for the three and six months ended June 30, 2014 and 2013. Gross realized gains from the maturities and sales of available-for-sale marketable securities are included in "Other (expense) income, net" in the accompanying consolidated statement of operations. | ||||||||||||||||
The specific-identification method is used to determine the cost of securities sold and the amount of unrealized gains and losses reclassified out of accumulated other comprehensive income into earnings. |
FAIR_VALUE_MEASUREMENTS_AND_FI
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||||||||
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS | ||||||||||||||||
The Company categorizes its financial instruments measured at fair value into a fair value hierarchy that prioritizes the inputs used in determining the fair value of the asset or liability. The three levels of the fair value hierarchy are: | ||||||||||||||||
• | Level 1: Observable inputs obtained from independent sources, such as quoted prices for identical assets and liabilities in active markets. | |||||||||||||||
• | Level 2: Other inputs that are observable directly or indirectly, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active and inputs that are derived principally from or corroborated by observable market data. The fair value of the Company's Level 2 financial assets are primarily obtained from observable market prices for identical underlying securities that may not be actively traded. Certain of these securities may have different market prices from multiple market data sources, in which case an average market price is used. | |||||||||||||||
• | Level 3: Unobservable inputs for which there is little or no market data and require the Company to develop its own assumptions, based on the best information available in the circumstances, about the assumptions market participants would use in pricing the assets or liabilities. See below for a discussion of fair value measurements made using Level 3 inputs. | |||||||||||||||
The following tables present the Company's financial instruments that are measured at fair value on a recurring basis: | ||||||||||||||||
June 30, 2014 | ||||||||||||||||
Quoted Market | Significant | Significant | Total | |||||||||||||
Prices in Active | Other | Unobservable | Fair Value | |||||||||||||
Markets for | Observable | Inputs | Measurements | |||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(In thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 350,637 | $ | — | $ | — | $ | 350,637 | ||||||||
Commercial paper | — | 246,620 | — | 246,620 | ||||||||||||
Time deposits | — | 59,006 | — | 59,006 | ||||||||||||
Marketable securities: | ||||||||||||||||
Corporate debt securities | — | 78,581 | — | 78,581 | ||||||||||||
Equity security | 3,030 | — | — | 3,030 | ||||||||||||
Long-term investments: | ||||||||||||||||
Auction rate security | — | — | 9,250 | 9,250 | ||||||||||||
Marketable equity security | 9,516 | — | — | 9,516 | ||||||||||||
Total | $ | 363,183 | $ | 384,207 | $ | 9,250 | $ | 756,640 | ||||||||
Liabilities: | ||||||||||||||||
Contingent consideration arrangements | $ | — | $ | — | $ | (41,397 | ) | $ | (41,397 | ) | ||||||
December 31, 2013 | ||||||||||||||||
Quoted Market | Significant | Significant | Total | |||||||||||||
Prices in Active | Other | Unobservable | Fair Value | |||||||||||||
Markets for | Observable | Inputs | Measurements | |||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(In thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 698,307 | $ | — | $ | — | $ | 698,307 | ||||||||
Commercial paper | — | 12,000 | — | 12,000 | ||||||||||||
Time deposits | — | 32,325 | — | 32,325 | ||||||||||||
Marketable securities: | ||||||||||||||||
Corporate debt security | — | 1,008 | — | 1,008 | ||||||||||||
Equity securities | 4,996 | — | — | 4,996 | ||||||||||||
Long-term investments: | ||||||||||||||||
Auction rate security | — | — | 8,920 | 8,920 | ||||||||||||
Marketable equity securities | 11,711 | — | — | 11,711 | ||||||||||||
Total | $ | 715,014 | $ | 45,333 | $ | 8,920 | $ | 769,267 | ||||||||
Liabilities: | ||||||||||||||||
Contingent consideration arrangements | $ | — | $ | — | $ | (45,828 | ) | $ | (45,828 | ) | ||||||
The following tables present the changes in the Company's financial instruments that are measured at fair value on a recurring basis using significant unobservable inputs (Level 3): | ||||||||||||||||
Three Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Auction Rate | Contingent | Auction Rate | Contingent | |||||||||||||
Security | Consideration | Security | Consideration | |||||||||||||
Arrangements | Arrangements | |||||||||||||||
(In thousands) | ||||||||||||||||
Balance at April 1 | $ | 9,150 | $ | (48,758 | ) | $ | 8,580 | $ | (44,577 | ) | ||||||
Total net gains (losses): | ||||||||||||||||
Included in earnings (unrealized) | — | (527 | ) | — | (4,249 | ) | ||||||||||
Included in other comprehensive income (loss) | 100 | 499 | 180 | (368 | ) | |||||||||||
Settlements | — | 7,389 | — | 12 | ||||||||||||
Balance at June 30 | $ | 9,250 | $ | (41,397 | ) | $ | 8,760 | $ | (49,182 | ) | ||||||
Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Auction Rate | Contingent | Auction Rate | Contingent | |||||||||||||
Security | Consideration | Security | Consideration | |||||||||||||
Arrangements | Arrangements | |||||||||||||||
(In thousands) | ||||||||||||||||
Balance at January 1 | $ | 8,920 | $ | (45,828 | ) | $ | 8,100 | $ | (1,909 | ) | ||||||
Total net gains (losses): | ||||||||||||||||
Included in earnings (unrealized) | — | (500 | ) | — | (5,707 | ) | ||||||||||
Included in other comprehensive income (loss) | 330 | 136 | 660 | (368 | ) | |||||||||||
Fair value at date of acquisition | — | (2,835 | ) | — | (41,387 | ) | ||||||||||
Settlements | — | 7,630 | — | 189 | ||||||||||||
Balance at June 30 | $ | 9,250 | $ | (41,397 | ) | $ | 8,760 | $ | (49,182 | ) | ||||||
Auction rate security | ||||||||||||||||
The Company's auction rate security is valued by discounting the estimated future cash flow streams of the security over the life of the security. Credit spreads and other risk factors are also considered in establishing fair value. The cost basis of the auction rate security is $10.0 million, with gross unrealized losses of $0.8 million and $1.1 million at June 30, 2014 and December 31, 2013, respectively. The unrealized losses are included in "Accumulated other comprehensive loss" in the accompanying consolidated balance sheet. At June 30, 2014, the auction rate security is rated A-/WR and matures in 2035. The Company does not consider the auction rate security to be other-than-temporarily impaired at June 30, 2014, due to its high credit rating and because the Company does not intend to sell this security, and it is not more likely than not that the Company will be required to sell this security, before the recovery of its amortized cost basis, which may be maturity. | ||||||||||||||||
Contingent Consideration Arrangements | ||||||||||||||||
As of June 30, 2014, there are six contingent consideration arrangements related to recent business acquisitions. Five of the contingent consideration arrangements have limits as to the maximum amount that can be paid; the maximum contingent payments related to these arrangements is $158.9 million and the fair value of these five arrangements at June 30, 2014 is $40.0 million. The fair value of the one contingent consideration arrangement without a limit on the maximum amount is $1.4 million at June 30, 2014. The contingent consideration arrangements are generally based upon earnings performance and/or operating metrics. The Company primarily uses probability-weighted analyses to determine the amount of the gross liability, and, to the extent the arrangement is long-term in nature, applies a discount rate, which captures the risks associated with the obligation. The amount of scenarios in the probability-weighted analyses can vary; generally, more scenarios are prepared for longer duration and more complex arrangements. | ||||||||||||||||
The most significant contingent consideration arrangement relates to the January 2013 acquisition of Massive Media, NV, which operates Twoo.com. The Twoo.com contingent consideration arrangement is payable in three annual installments beginning in 2014. The 2014, 2015 and 2016 payments are based upon 2013 EBITDA, 2014 EBITDA and monthly active users of Twoo.com at December 31, 2014 and 2015 EBITDA and monthly active users of Twoo.com at December 31, 2015, respectively. The 2014 installment in the amount of $7.4 million was paid in the second quarter of 2014. The remaining aggregate amount of the 2015 and 2016 installment payments cannot exceed €77.9 million ($105.9 million at June 30, 2014). The estimate of the fair value for the Twoo.com 2015 and 2016 installment payments is based upon the Company's multi-scenario forecasts of Twoo.com's EBITDA for 2014 and 2015 and the number of users at December 31, 2014 and December 31, 2015, and the Company's estimate of the probability of each scenario occurring. These multi-scenario forecasts and related probability assessments were based primarily on management's internal projections and strategic plans. The fair value of this arrangement is determined using a discount rate of 15%. | ||||||||||||||||
The fair value of the contingent consideration arrangements is sensitive to changes in the forecasts of earnings and/or the relevant operating metrics and changes in discount rates. The Company remeasures the fair value of the contingent consideration arrangements each reporting period, and changes are recognized in “General and administrative expense” in the accompanying consolidated statement of operations. The contingent consideration arrangement liability at June 30, 2014 includes a current portion of $10.4 million and non-current portion of $31.0 million, which are included in “Accrued expenses and other current liabilities” and “Other long-term liabilities,” respectively, in the accompanying consolidated balance sheet. | ||||||||||||||||
Assets measured at fair value on a nonrecurring basis | ||||||||||||||||
The Company's non-financial assets, such as goodwill, intangible assets and property and equipment, as well as equity and cost method investments, are adjusted to fair value only when an impairment charge is recognized. Such fair value measurements are based predominantly on Level 3 inputs. | ||||||||||||||||
Cost method investments | ||||||||||||||||
At June 30, 2014 and December 31, 2013, the carrying values of the Company's investments accounted for under the cost method totaled $85.7 million and $137.3 million, respectively, and are included in "Long-term investments" in the accompanying consolidated balance sheet. The Company evaluates each cost method investment for impairment on a quarterly basis and recognizes an impairment loss if a decline in value is determined to be other-than-temporary. If the Company has not identified events or changes in circumstances that may have a significant adverse effect on the fair value of a cost method investment, then the fair value of such cost method investment is not estimated, as it is impracticable to do so. | ||||||||||||||||
In the second quarter of 2014, the Company recorded $64.2 million of other-than-temporary impairment charges for certain cost method investments as a result of our assessment of the near-term prospects and financial condition of the investees. This charge is included in "Other (expense) income, net" in the accompanying consolidated statement of operations. | ||||||||||||||||
Equity method investments | ||||||||||||||||
In the second quarter of 2014, the Company recorded a $4.2 million other-than-temporary impairment charge on an equity method investment following the sale of a majority of the investee's assets. This charge is included in "Equity in losses of unconsolidated affiliates" in the accompanying consolidated statement of operations. | ||||||||||||||||
Financial instruments measured at fair value only for disclosure purposes | ||||||||||||||||
The following table presents the carrying value and the fair value of financial instruments measured at fair value only for disclosure purposes: | ||||||||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||
Value | Value | Value | Value | |||||||||||||
(In thousands) | ||||||||||||||||
Liabilities: | ||||||||||||||||
Long-term debt | $ | (1,080,000 | ) | $ | (1,109,517 | ) | $ | (1,080,000 | ) | $ | (1,058,396 | ) | ||||
The fair value of long-term debt is estimated using market prices or indices for similar liabilities and taking into consideration other factors such as credit quality and maturity, which are Level 3 inputs. |
LONGTERM_DEBT
LONG-TERM DEBT | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
LONG-TERM DEBT | ' | |||||||
LONG-TERM DEBT | ||||||||
The balance of long-term debt is comprised of: | ||||||||
June 30, | 31-Dec-13 | |||||||
2014 | ||||||||
(In thousands) | ||||||||
4.875% Senior Notes due November 30, 2018 (the "2013 Senior Notes"); interest payable each May 30 and November 30, which commenced May 30, 2014 | $ | 500,000 | $ | 500,000 | ||||
4.75% Senior Notes due December 15, 2022 (the "2012 Senior Notes"); interest payable each June 15 and December 15, which commenced June 15, 2013 | 500,000 | 500,000 | ||||||
5% New York City Industrial Development Agency Liberty Bonds due September 1, 2035; interest payable each March 1 and September 1, which commenced March 1, 2006 | 80,000 | 80,000 | ||||||
Total long-term debt | $ | 1,080,000 | $ | 1,080,000 | ||||
The 2013 and 2012 Senior Notes were issued on November 15, 2013 and December 21, 2012, respectively. On December 21, 2012, the Company entered into a $300 million revolving credit facility, which expires on December 21, 2017. The annual fee to maintain the revolving credit facility is 25 basis points. At June 30, 2014 and December 31, 2013, there are no outstanding borrowings under the revolving credit facility. | ||||||||
The 2013 and 2012 Senior Notes are unconditionally guaranteed by certain domestic subsidiaries, which are designated as guarantor subsidiaries. The guarantor subsidiaries are the same for the 2013 and 2012 Senior Notes and IAC's obligation under the revolving credit; IAC's obligation under the revolving credit is also secured by the stock of certain of our domestic and foreign subsidiaries. See Note 10 for guarantor and non-guarantor financial information. | ||||||||
The indentures governing the 2013 and 2012 Senior Notes restrict our ability to incur additional indebtedness in the event we are not in compliance with the maximum leverage ratio of 3.0 to 1.0. In addition, the terms of the revolving credit facility require that we maintain a leverage ratio of not more than 3.0 to 1.0 and restrict our ability to incur additional indebtedness. As of June 30, 2014, the Company was in compliance with all of these covenants. |
ACCUMULATED_OTHER_COMPREHENSIV
ACCUMULATED OTHER COMPREHENSIVE LOSS | 6 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Equity [Abstract] | ' | |||||||||||
ACCUMULATED OTHER COMPREHENSIVE LOSS | ' | |||||||||||
ACCUMULATED OTHER COMPREHENSIVE LOSS | ||||||||||||
The following tables present the components of accumulated other comprehensive (loss) income and items reclassified out of accumulated other comprehensive (loss) income into earnings: | ||||||||||||
Three Months Ended June 30, 2014 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized Gains (Losses)On Available-For-Sale Securities | Accumulated Other Comprehensive Loss | ||||||||||
(In thousands) | ||||||||||||
Balance as of April 1 | $ | (15,132 | ) | $ | 7,435 | $ | (7,697 | ) | ||||
Other comprehensive loss before reclassifications, net of tax benefit of $0.1 million related to unrealized losses on available-for-sale securities | (150 | ) | (799 | ) | (949 | ) | ||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | — | (1,260 | ) | (1,260 | ) | |||||||
Net current period other comprehensive loss | (150 | ) | (2,059 | ) | (2,209 | ) | ||||||
Balance as of June 30 | $ | (15,282 | ) | $ | 5,376 | $ | (9,906 | ) | ||||
Three Months Ended June 30, 2013 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized (Losses) Gains On Available-For-Sale Securities | Accumulated Other Comprehensive (Loss) Income | ||||||||||
(In thousands) | ||||||||||||
Balance as of April 1 | $ | (32,024 | ) | $ | (12,072 | ) | $ | (44,096 | ) | |||
Other comprehensive (loss) income before reclassifications, net of tax benefit of $0.7 million related to unrealized gains on available-for-sale securities | (5,278 | ) | 17,187 | 11,909 | ||||||||
Amounts reclassified from accumulated other comprehensive loss | — | — | — | |||||||||
Net current period other comprehensive (loss) income | (5,278 | ) | 17,187 | 11,909 | ||||||||
Balance as of June 30 | $ | (37,302 | ) | $ | 5,115 | $ | (32,187 | ) | ||||
Six Months Ended June 30, 2014 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized Gains (Losses)On Available-For-Sale Securities | Accumulated Other Comprehensive Loss | ||||||||||
(In thousands) | ||||||||||||
Balance as of January 1 | $ | (20,352 | ) | $ | 7,306 | $ | (13,046 | ) | ||||
Other comprehensive income (loss) before reclassifications, net of tax benefit of $0.7 million related to unrealized losses on available-for-sale securities | 5,070 | (670 | ) | 4,400 | ||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | — | (1,260 | ) | (1,260 | ) | |||||||
Net current period other comprehensive income (loss) | 5,070 | (1,930 | ) | 3,140 | ||||||||
Balance as of June 30 | $ | (15,282 | ) | $ | 5,376 | $ | (9,906 | ) | ||||
Six Months Ended June 30, 2013 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized (Losses) Gains On Available-For-Sale Securities | Accumulated Other Comprehensive Loss | ||||||||||
(In thousands) | ||||||||||||
Balance as of January 1 | $ | (25,073 | ) | $ | (7,096 | ) | $ | (32,169 | ) | |||
Other comprehensive (loss) income before reclassifications, net of tax provision of $0.1 million related to unrealized losses on available-for-sale securities | (12,229 | ) | 12,212 | (17 | ) | |||||||
Amounts reclassified from accumulated other comprehensive loss | — | (1 | ) | (1 | ) | |||||||
Net current period other comprehensive (loss) income | (12,229 | ) | 12,211 | (18 | ) | |||||||
Balance as of June 30 | $ | (37,302 | ) | $ | 5,115 | $ | (32,187 | ) | ||||
Unrealized gains and losses, net of tax, reclassified out of accumulated other comprehensive loss related to the maturities and sales of available-for-sale securities are included in "Other (expense) income, net" in the accompanying consolidated statement of operations. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
EARNINGS PER SHARE | ' | |||||||||||||||
EARNINGS PER SHARE | ||||||||||||||||
The following table sets forth the computation of basic and diluted (loss) earnings per share attributable to IAC shareholders. | ||||||||||||||||
Three Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Basic | Diluted | Basic | Diluted | |||||||||||||
(In thousands, except per share data) | ||||||||||||||||
Numerator: | ||||||||||||||||
(Loss) earnings from continuing operations | $ | (17,995 | ) | $ | (17,995 | ) | $ | 58,540 | $ | 58,540 | ||||||
Net loss attributable to noncontrolling interests | 867 | 867 | 818 | 818 | ||||||||||||
(Loss) earnings from continuing operations attributable to IAC shareholders | (17,128 | ) | (17,128 | ) | 59,358 | 59,358 | ||||||||||
Loss from discontinued operations attributable to IAC shareholders | (868 | ) | (868 | ) | (1,068 | ) | (1,068 | ) | ||||||||
Net (loss) earnings attributable to IAC shareholders | $ | (17,996 | ) | $ | (17,996 | ) | $ | 58,290 | $ | 58,290 | ||||||
Denominator: | ||||||||||||||||
Weighted average basic shares outstanding | 83,178 | 83,178 | 83,609 | 83,609 | ||||||||||||
Dilutive securities including stock options and RSUs(a) | — | — | — | 2,954 | ||||||||||||
Denominator for earnings per share—weighted average shares(a) | 83,178 | 83,178 | 83,609 | 86,563 | ||||||||||||
(Loss) earnings per share attributable to IAC shareholders: | ||||||||||||||||
(Loss) earnings per share from continuing operations | $ | (0.21 | ) | $ | (0.21 | ) | $ | 0.71 | $ | 0.69 | ||||||
Discontinued operations | (0.01 | ) | (0.01 | ) | (0.01 | ) | (0.02 | ) | ||||||||
(Loss) earnings per share | $ | (0.22 | ) | $ | (0.22 | ) | $ | 0.7 | $ | 0.67 | ||||||
Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Basic | Diluted | Basic | Diluted | |||||||||||||
(In thousands, except per share data) | ||||||||||||||||
Numerator: | ||||||||||||||||
Earnings from continuing operations | $ | 16,310 | $ | 16,310 | $ | 111,249 | $ | 111,249 | ||||||||
Net loss attributable to noncontrolling interests | 3,261 | 3,261 | 2,690 | 2,690 | ||||||||||||
Earnings from continuing operations attributable to IAC shareholders | 19,571 | 19,571 | 113,939 | 113,939 | ||||||||||||
Loss from discontinued operations attributable to IAC shareholders | (1,682 | ) | (1,682 | ) | (2,012 | ) | (2,012 | ) | ||||||||
Net earnings attributable to IAC shareholders | $ | 17,889 | $ | 17,889 | $ | 111,927 | $ | 111,927 | ||||||||
Denominator: | ||||||||||||||||
Weighted average basic shares outstanding | 82,833 | 82,833 | 83,912 | 83,912 | ||||||||||||
Dilutive securities including stock options and RSUs(b) | — | 5,150 | — | 3,058 | ||||||||||||
Denominator for earnings per share—weighted average shares(b) | 82,833 | 87,983 | 83,912 | 86,970 | ||||||||||||
Earnings (loss) per share attributable to IAC shareholders: | ||||||||||||||||
Earnings per share from continuing operations | $ | 0.24 | $ | 0.22 | $ | 1.36 | $ | 1.31 | ||||||||
Discontinued operations | (0.02 | ) | (0.02 | ) | (0.03 | ) | (0.02 | ) | ||||||||
Earnings per share | $ | 0.22 | $ | 0.2 | $ | 1.33 | $ | 1.29 | ||||||||
_________________________________________ | ||||||||||||||||
(a) | For the three months ended June 30, 2014, the Company has a loss from continuing operations and as a result, approximately 11.5 million shares related to potentially dilutive securities were excluded for computing dilutive earnings per share because the impact would have been anti-dilutive. Accordingly, the weighted average basic shares outstanding were used to compute all earnings per share amounts. | |||||||||||||||
(b) | If the effect is dilutive, weighted average common shares outstanding include the incremental shares that would be issued upon the assumed exercise of stock options and vesting of restricted stock units ("RSUs"). For the six months ended June 30, 2014, there are no shares excluded from the calculation of diluted earnings per share. For the three and six months ended June 30, 2013, approximately 0.7 million and 3.8 million shares, respectively, related to potentially dilutive securities are excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive. |
SEGMENT_INFORMATION
SEGMENT INFORMATION | 6 Months Ended | |||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||
SEGMENT INFORMATION | ' | |||||||||||||||||||||||
SEGMENT INFORMATION | ||||||||||||||||||||||||
The overall concept that IAC employs in determining its operating segments is to present the financial information in a manner consistent with how the chief operating decision maker views the businesses, how the businesses are organized as to segment management, and the focus of the businesses with regards to the types of services or products offered or the target market. Operating segments are combined for reporting purposes if they meet certain aggregation criteria, which principally relate to the similarity of their economic characteristics or, in the case of the eCommerce reportable segment, do not meet the quantitative thresholds that require presentation as separate operating segments. | ||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||
Search & Applications | $ | 395,716 | $ | 427,449 | $ | 793,751 | $ | 824,641 | ||||||||||||||||
The Match Group | 214,314 | 197,987 | 425,501 | 390,862 | ||||||||||||||||||||
Media | 36,656 | 57,495 | 73,011 | 102,490 | ||||||||||||||||||||
eCommerce | 109,949 | 116,591 | 204,791 | 223,888 | ||||||||||||||||||||
Inter-segment elimination | (320 | ) | (111 | ) | (492 | ) | (221 | ) | ||||||||||||||||
Total | $ | 756,315 | $ | 799,411 | $ | 1,496,562 | $ | 1,541,660 | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Operating Income (Loss): | ||||||||||||||||||||||||
Search & Applications | $ | 77,771 | $ | 89,346 | $ | 148,108 | $ | 176,329 | ||||||||||||||||
The Match Group | 61,198 | 53,129 | 101,001 | 90,488 | ||||||||||||||||||||
Media | (9,794 | ) | (2,033 | ) | (18,360 | ) | (9,190 | ) | ||||||||||||||||
eCommerce | 8 | (4,603 | ) | (1,553 | ) | (9,096 | ) | |||||||||||||||||
Corporate | (33,493 | ) | (29,143 | ) | (61,794 | ) | (57,284 | ) | ||||||||||||||||
Total | $ | 95,690 | $ | 106,696 | $ | 167,402 | $ | 191,247 | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Adjusted EBITDA: | ||||||||||||||||||||||||
Search & Applications | $ | 91,258 | $ | 102,420 | $ | 173,329 | $ | 199,934 | ||||||||||||||||
The Match Group | 69,368 | 67,685 | 116,798 | 115,591 | ||||||||||||||||||||
Media | (8,911 | ) | (1,003 | ) | (16,775 | ) | (7,183 | ) | ||||||||||||||||
eCommerce | 4,523 | 4,467 | 7,327 | 5,190 | ||||||||||||||||||||
Corporate | (14,806 | ) | (15,631 | ) | (31,152 | ) | (28,828 | ) | ||||||||||||||||
Total | $ | 141,432 | $ | 157,938 | $ | 249,527 | $ | 284,704 | ||||||||||||||||
Revenue by geography is based on where the customer is located. Geographic information about revenue and long-lived assets is presented below: | ||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||
United States | $ | 511,862 | $ | 551,880 | $ | 1,016,265 | $ | 1,066,494 | ||||||||||||||||
All other countries | 244,453 | 247,531 | 480,297 | 475,166 | ||||||||||||||||||||
Total | $ | 756,315 | $ | 799,411 | $ | 1,496,562 | $ | 1,541,660 | ||||||||||||||||
June 30, | December 31, | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Long-lived assets (excluding goodwill and intangible assets): | ||||||||||||||||||||||||
United States | $ | 269,746 | $ | 271,916 | ||||||||||||||||||||
All other countries | 21,543 | 22,048 | ||||||||||||||||||||||
Total | $ | 291,289 | $ | 293,964 | ||||||||||||||||||||
The Company's primary financial measure is Adjusted EBITDA, which is defined as operating income excluding: (1) non-cash compensation expense; (2) depreciation; and (3) acquisition-related items consisting of (i) amortization of intangible assets and goodwill and intangible asset impairments and (ii) gains and losses recognized on changes in the fair value of contingent consideration arrangements. The Company believes this measure is useful for analysts and investors as this measure allows a more meaningful comparison between our performance and that of our competitors. Moreover, our management uses this measure internally to evaluate the performance of our business as a whole and our individual business segments. The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature, and we believe that by excluding these items, Adjusted EBITDA corresponds more closely to the cash operating income generated from our business, from which capital investments are made and debt is serviced. Adjusted EBITDA has certain limitations in that it does not take into account the impact to IAC's statement of operations of certain expenses. IAC endeavors to compensate for the limitations of the non-GAAP measure presented by providing the comparable U.S. GAAP measure with equal or greater prominence, financial statements prepared in accordance with U.S. GAAP, and descriptions of the reconciling items, including quantifying such items, to derive the non-GAAP measure. | ||||||||||||||||||||||||
The following tables reconcile Adjusted EBITDA to operating income (loss) for the Company's reportable segments: | ||||||||||||||||||||||||
Three Months Ended June 30, 2014 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 91,258 | $ | — | $ | (5,082 | ) | $ | (8,405 | ) | $ | — | $ | 77,771 | ||||||||||
The Match Group | 69,368 | (170 | ) | (5,589 | ) | (1,684 | ) | (727 | ) | 61,198 | ||||||||||||||
Media | (8,911 | ) | (161 | ) | (224 | ) | (698 | ) | 200 | (9,794 | ) | |||||||||||||
eCommerce | 4,523 | — | (1,896 | ) | (2,619 | ) | — | 8 | ||||||||||||||||
Corporate | (14,806 | ) | (16,221 | ) | (2,466 | ) | — | — | (33,493 | ) | ||||||||||||||
Total | $ | 141,432 | $ | (16,552 | ) | $ | (15,257 | ) | $ | (13,406 | ) | $ | (527 | ) | $ | 95,690 | ||||||||
Three Months Ended June 30, 2013 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 102,420 | $ | — | $ | (6,413 | ) | $ | (6,661 | ) | $ | — | $ | 89,346 | ||||||||||
The Match Group | 67,685 | (363 | ) | (4,838 | ) | (5,106 | ) | (4,249 | ) | 53,129 | ||||||||||||||
Media | (1,003 | ) | (213 | ) | (524 | ) | (293 | ) | — | (2,033 | ) | |||||||||||||
eCommerce | 4,467 | — | (2,993 | ) | (6,077 | ) | — | (4,603 | ) | |||||||||||||||
Corporate | (15,631 | ) | (11,244 | ) | (2,268 | ) | — | — | (29,143 | ) | ||||||||||||||
Total | $ | 157,938 | $ | (11,820 | ) | $ | (17,036 | ) | $ | (18,137 | ) | $ | (4,249 | ) | $ | 106,696 | ||||||||
Six Months Ended June 30, 2014 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 173,329 | $ | — | $ | (9,547 | ) | $ | (15,674 | ) | $ | — | $ | 148,108 | ||||||||||
The Match Group | 116,798 | (187 | ) | (11,389 | ) | (3,521 | ) | (700 | ) | 101,001 | ||||||||||||||
Media | (16,775 | ) | (325 | ) | (506 | ) | (954 | ) | 200 | (18,360 | ) | |||||||||||||
eCommerce | 7,327 | — | (3,644 | ) | (5,236 | ) | — | (1,553 | ) | |||||||||||||||
Corporate | (31,152 | ) | (25,653 | ) | (4,989 | ) | — | — | (61,794 | ) | ||||||||||||||
Total | $ | 249,527 | $ | (26,165 | ) | $ | (30,075 | ) | $ | (25,385 | ) | $ | (500 | ) | $ | 167,402 | ||||||||
Six Months Ended June 30, 2013 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 199,934 | $ | (3 | ) | $ | (10,278 | ) | $ | (13,324 | ) | $ | — | $ | 176,329 | |||||||||
The Match Group | 115,591 | (206 | ) | (9,544 | ) | (9,646 | ) | (5,707 | ) | 90,488 | ||||||||||||||
Media | (7,183 | ) | (418 | ) | (1,047 | ) | (542 | ) | — | (9,190 | ) | |||||||||||||
eCommerce | 5,190 | 29 | (5,612 | ) | (8,703 | ) | — | (9,096 | ) | |||||||||||||||
Corporate | (28,828 | ) | (23,885 | ) | (4,571 | ) | — | — | (57,284 | ) | ||||||||||||||
Total | $ | 284,704 | $ | (24,483 | ) | $ | (31,052 | ) | $ | (32,215 | ) | $ | (5,707 | ) | $ | 191,247 | ||||||||
CONTINGENCIES
CONTINGENCIES | 6 Months Ended |
Jun. 30, 2014 | |
Loss Contingency [Abstract] | ' |
CONTINGENCIES | ' |
CONTINGENCIES | |
In the ordinary course of business, the Company is a party to various lawsuits. The Company establishes reserves for specific legal matters when it determines that the likelihood of an unfavorable outcome is probable and the loss is reasonably estimable. Management has also identified certain other legal matters where we believe an unfavorable outcome is not probable and, therefore, no reserve is established. Although management currently believes that resolving claims against us, including claims where an unfavorable outcome is reasonably possible, will not have a material impact on the liquidity, results of operations, or financial condition of the Company, these matters are subject to inherent uncertainties and management's view of these matters may change in the future. The Company also evaluates other contingent matters, including income and non-income tax contingencies, to assess the likelihood of an unfavorable outcome and estimated extent of potential loss. It is possible that an unfavorable outcome of one or more of these lawsuits or other contingencies could have a material impact on the liquidity, results of operations, or financial condition of the Company. See Note 2 for additional information related to income tax contingencies. |
GUARANTOR_AND_NONGUARANTOR_FIN
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||
Guarantor and Nonguarantor Financial Statements [Abstract] | ' | |||||||||||||||||||
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION | ' | |||||||||||||||||||
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION | ||||||||||||||||||||
The 2013 and 2012 Senior Notes are unconditionally guaranteed, jointly and severally, by certain domestic subsidiaries which are 100% owned by the Company. The following tables present condensed consolidating financial information at June 30, 2014 and December 31, 2013 and for the three and six months ended June 30, 2014 and 2013 for: IAC, on a stand-alone basis; the combined guarantor subsidiaries of IAC; the combined non-guarantor subsidiaries of IAC; and IAC on a consolidated basis. | ||||||||||||||||||||
Balance sheet at June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash and cash equivalents | $ | 732,792 | $ | — | $ | 254,534 | $ | — | $ | 987,326 | ||||||||||
Marketable securities | 78,581 | — | 3,030 | — | 81,611 | |||||||||||||||
Accounts receivable, net | 10 | 142,486 | 80,940 | — | 223,436 | |||||||||||||||
Other current assets | 40,425 | 88,193 | 60,904 | (4,463 | ) | 185,059 | ||||||||||||||
Intercompany receivables | — | 620,647 | 888,364 | (1,509,011 | ) | — | ||||||||||||||
Property and equipment, net | 6,229 | 219,466 | 65,594 | — | 291,289 | |||||||||||||||
Goodwill | — | 1,212,699 | 507,951 | — | 1,720,650 | |||||||||||||||
Intangible assets, net | — | 308,170 | 162,191 | — | 470,361 | |||||||||||||||
Investment in subsidiaries | 3,904,440 | 822,242 | — | (4,726,682 | ) | — | ||||||||||||||
Other non-current assets | 70,343 | 26,184 | 119,709 | (8,490 | ) | 207,746 | ||||||||||||||
Total assets | $ | 4,832,820 | $ | 3,440,087 | $ | 2,143,217 | $ | (6,248,646 | ) | $ | 4,167,478 | |||||||||
Accounts payable, trade | $ | 3,712 | $ | 23,852 | $ | 31,005 | $ | — | $ | 58,569 | ||||||||||
Other current liabilities | 32,195 | 292,415 | 204,551 | — | 529,161 | |||||||||||||||
Long-term debt | 1,000,000 | 80,000 | — | — | 1,080,000 | |||||||||||||||
Income taxes payable | 386,753 | 7,785 | 25,870 | — | 420,408 | |||||||||||||||
Intercompany liabilities | 1,509,011 | — | — | (1,509,011 | ) | — | ||||||||||||||
Other long-term liabilities | 228,221 | 98,506 | 66,602 | (12,953 | ) | 380,376 | ||||||||||||||
Redeemable noncontrolling interests | — | — | 24,137 | — | 24,137 | |||||||||||||||
IAC shareholders' equity | 1,672,928 | 2,937,529 | 1,789,153 | (4,726,682 | ) | 1,672,928 | ||||||||||||||
Noncontrolling interests | — | — | 1,899 | — | 1,899 | |||||||||||||||
Total liabilities and shareholders' equity | $ | 4,832,820 | $ | 3,440,087 | $ | 2,143,217 | $ | (6,248,646 | ) | $ | 4,167,478 | |||||||||
Balance sheet at December 31, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash and cash equivalents | $ | 782,022 | $ | — | $ | 318,422 | $ | — | $ | 1,100,444 | ||||||||||
Marketable securities | 1,007 | — | 4,997 | — | 6,004 | |||||||||||||||
Accounts receivable, net | 38 | 135,651 | 71,719 | — | 207,408 | |||||||||||||||
Other current assets | 45,111 | 76,572 | 40,661 | (814 | ) | 161,530 | ||||||||||||||
Intercompany receivables | — | 569,030 | 847,423 | (1,416,453 | ) | — | ||||||||||||||
Property and equipment, net | 5,316 | 221,386 | 67,262 | — | 293,964 | |||||||||||||||
Goodwill | — | 1,180,159 | 495,164 | — | 1,675,323 | |||||||||||||||
Intangible assets, net | — | 302,082 | 143,254 | — | 445,336 | |||||||||||||||
Investment in subsidiaries | 3,833,751 | 782,840 | — | (4,616,591 | ) | — | ||||||||||||||
Other non-current assets | 83,207 | 15,521 | 252,576 | (6,629 | ) | 344,675 | ||||||||||||||
Total assets | $ | 4,750,452 | $ | 3,283,241 | $ | 2,241,478 | $ | (6,040,487 | ) | $ | 4,234,684 | |||||||||
Accounts payable, trade | $ | 4,310 | $ | 51,525 | $ | 21,818 | $ | — | $ | 77,653 | ||||||||||
Other current liabilities | 41,623 | 280,549 | 187,072 | — | 509,244 | |||||||||||||||
Long-term debt | 1,000,000 | 80,000 | — | — | 1,080,000 | |||||||||||||||
Income taxes payable | 383,926 | 6,768 | 25,690 | — | 416,384 | |||||||||||||||
Intercompany liabilities | 1,416,453 | — | — | (1,416,453 | ) | — | ||||||||||||||
Other long-term liabilities | 217,404 | 96,239 | 72,941 | (7,443 | ) | 379,141 | ||||||||||||||
Redeemable noncontrolling interests | — | — | 42,861 | — | 42,861 | |||||||||||||||
IAC shareholders' equity | 1,686,736 | 2,768,160 | 1,848,431 | (4,616,591 | ) | 1,686,736 | ||||||||||||||
Noncontrolling interests | — | — | 42,665 | — | 42,665 | |||||||||||||||
Total liabilities and shareholders' equity | $ | 4,750,452 | $ | 3,283,241 | $ | 2,241,478 | $ | (6,040,487 | ) | $ | 4,234,684 | |||||||||
Statement of operations for the three months ended June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 556,162 | $ | 203,497 | $ | (3,344 | ) | $ | 756,315 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 383 | 124,935 | 86,469 | (687 | ) | 211,100 | ||||||||||||||
Selling and marketing expense | 619 | 219,959 | 54,647 | (2,439 | ) | 272,786 | ||||||||||||||
General and administrative expense | 26,609 | 49,415 | 33,682 | 13 | 109,719 | |||||||||||||||
Product development expense | 1,705 | 26,769 | 10,114 | (231 | ) | 38,357 | ||||||||||||||
Depreciation | 312 | 9,224 | 5,721 | — | 15,257 | |||||||||||||||
Amortization of intangibles | — | 9,659 | 3,747 | — | 13,406 | |||||||||||||||
Total operating costs and expenses | 29,628 | 439,961 | 194,380 | (3,344 | ) | 660,625 | ||||||||||||||
Operating (loss) income | (29,628 | ) | 116,201 | 9,117 | — | 95,690 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 5,112 | 1,535 | 64 | (13,561 | ) | (6,850 | ) | |||||||||||||
Interest expense | (12,985 | ) | (1,052 | ) | (9 | ) | — | (14,046 | ) | |||||||||||
Other income (expense), net | 9,689 | (10,072 | ) | (62,517 | ) | — | (62,900 | ) | ||||||||||||
(Loss) earnings from continuing operations before income taxes | (27,812 | ) | 106,612 | (53,345 | ) | (13,561 | ) | 11,894 | ||||||||||||
Income tax benefit (provision) | 10,684 | (39,785 | ) | (788 | ) | — | (29,889 | ) | ||||||||||||
(Loss) earnings from continuing operations | (17,128 | ) | 66,827 | (54,133 | ) | (13,561 | ) | (17,995 | ) | |||||||||||
Loss from discontinued operations, net of tax | (868 | ) | — | (27 | ) | 27 | (868 | ) | ||||||||||||
Net (loss) earnings | (17,996 | ) | 66,827 | (54,160 | ) | (13,534 | ) | (18,863 | ) | |||||||||||
Net (earnings) loss attributable to noncontrolling interests | — | (9 | ) | 876 | — | 867 | ||||||||||||||
Net (loss) earnings attributable to IAC shareholders | $ | (17,996 | ) | $ | 66,818 | $ | (53,284 | ) | $ | (13,534 | ) | $ | (17,996 | ) | ||||||
Comprehensive (loss) income attributable to IAC shareholders | $ | (20,205 | ) | $ | 66,154 | $ | (55,870 | ) | $ | (10,284 | ) | $ | (20,205 | ) | ||||||
Statement of operations for the three months ended June 30, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 576,605 | $ | 223,965 | $ | (1,159 | ) | $ | 799,411 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 549 | 161,166 | 112,107 | (1,000 | ) | 272,822 | ||||||||||||||
Selling and marketing expense | 710 | 201,025 | 45,570 | (152 | ) | 247,153 | ||||||||||||||
General and administrative expense | 23,582 | 46,993 | 32,947 | (7 | ) | 103,515 | ||||||||||||||
Product development expense | 867 | 24,779 | 8,406 | — | 34,052 | |||||||||||||||
Depreciation | 344 | 12,142 | 4,550 | — | 17,036 | |||||||||||||||
Amortization of intangibles | — | 12,399 | 5,738 | — | 18,137 | |||||||||||||||
Total operating costs and expenses | 26,052 | 458,504 | 209,318 | (1,159 | ) | 692,715 | ||||||||||||||
Operating (loss) income | (26,052 | ) | 118,101 | 14,647 | — | 106,696 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 75,927 | 7,728 | (131 | ) | (84,602 | ) | (1,078 | ) | ||||||||||||
Interest expense | (6,515 | ) | (1,078 | ) | (65 | ) | — | (7,658 | ) | |||||||||||
Other income (expense), net | 3,109 | (9,331 | ) | 6,218 | — | (4 | ) | |||||||||||||
Earnings from continuing operations before income taxes | 46,469 | 115,420 | 20,669 | (84,602 | ) | 97,956 | ||||||||||||||
Income tax benefit (provision) | 12,889 | (41,863 | ) | (10,442 | ) | — | (39,416 | ) | ||||||||||||
Earnings from continuing operations | 59,358 | 73,557 | 10,227 | (84,602 | ) | 58,540 | ||||||||||||||
(Loss) earnings from discontinued operations, net of tax | (1,068 | ) | — | 4 | (4 | ) | (1,068 | ) | ||||||||||||
Net earnings | 58,290 | 73,557 | 10,231 | (84,606 | ) | 57,472 | ||||||||||||||
Net loss attributable to noncontrolling interests | — | 404 | 414 | — | 818 | |||||||||||||||
Net earnings attributable to IAC shareholders | $ | 58,290 | $ | 73,961 | $ | 10,645 | $ | (84,606 | ) | $ | 58,290 | |||||||||
Comprehensive income attributable to IAC shareholders | $ | 70,199 | $ | 73,897 | $ | 5,147 | $ | (79,044 | ) | $ | 70,199 | |||||||||
Statement of operations for the six months ended June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 1,102,488 | $ | 400,404 | $ | (6,330 | ) | $ | 1,496,562 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 355 | 253,096 | 168,490 | (1,647 | ) | 420,294 | ||||||||||||||
Selling and marketing expense | 811 | 456,049 | 118,775 | (4,137 | ) | 571,498 | ||||||||||||||
General and administrative expense | 49,055 | 96,131 | 59,323 | 26 | 204,535 | |||||||||||||||
Product development expense | 3,176 | 54,215 | 20,554 | (572 | ) | 77,373 | ||||||||||||||
Depreciation | 641 | 18,784 | 10,650 | — | 30,075 | |||||||||||||||
Amortization of intangibles | — | 18,660 | 6,725 | — | 25,385 | |||||||||||||||
Total operating costs and expenses | 54,038 | 896,935 | 384,517 | (6,330 | ) | 1,329,160 | ||||||||||||||
Operating (loss) income | (54,038 | ) | 205,553 | 15,887 | — | 167,402 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 59,394 | (114 | ) | 37 | (68,102 | ) | (8,785 | ) | ||||||||||||
Interest expense | (25,970 | ) | (2,094 | ) | (46 | ) | — | (28,110 | ) | |||||||||||
Other income (expense), net | 19,388 | (18,706 | ) | (63,605 | ) | — | (62,923 | ) | ||||||||||||
(Loss) earnings from continuing operations before income taxes | (1,226 | ) | 184,639 | (47,727 | ) | (68,102 | ) | 67,584 | ||||||||||||
Income tax benefit (provision) | 20,797 | (69,730 | ) | (2,341 | ) | — | (51,274 | ) | ||||||||||||
Earnings (loss) from continuing operations | 19,571 | 114,909 | (50,068 | ) | (68,102 | ) | 16,310 | |||||||||||||
Loss from discontinued operations, net of tax | (1,682 | ) | — | (40 | ) | 40 | (1,682 | ) | ||||||||||||
Net earnings (loss) | 17,889 | 114,909 | (50,108 | ) | (68,062 | ) | 14,628 | |||||||||||||
Net loss attributable to noncontrolling interests | — | — | 3,261 | — | 3,261 | |||||||||||||||
Net earnings (loss) attributable to IAC shareholders | $ | 17,889 | $ | 114,909 | $ | (46,847 | ) | $ | (68,062 | ) | $ | 17,889 | ||||||||
Comprehensive income (loss) attributable to IAC shareholders | $ | 21,029 | $ | 114,629 | $ | (45,764 | ) | $ | (68,865 | ) | $ | 21,029 | ||||||||
Statement of operations for the six months ended June 30, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 1,113,443 | $ | 430,413 | $ | (2,196 | ) | $ | 1,541,660 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 1,226 | 319,041 | 210,183 | (1,779 | ) | 528,671 | ||||||||||||||
Selling and marketing expense | 1,141 | 386,941 | 102,394 | (409 | ) | 490,067 | ||||||||||||||
General and administrative expense | 45,827 | 89,849 | 63,571 | (8 | ) | 199,239 | ||||||||||||||
Product development expense | 1,766 | 48,787 | 18,616 | — | 69,169 | |||||||||||||||
Depreciation | 711 | 21,535 | 8,806 | — | 31,052 | |||||||||||||||
Amortization of intangibles | — | 21,449 | 10,766 | — | 32,215 | |||||||||||||||
Total operating costs and expenses | 50,671 | 887,602 | 414,336 | (2,196 | ) | 1,350,413 | ||||||||||||||
Operating (loss) income | (50,671 | ) | 225,841 | 16,077 | — | 191,247 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 190,477 | 10,123 | (223 | ) | (201,546 | ) | (1,169 | ) | ||||||||||||
Interest expense | (13,072 | ) | (2,143 | ) | (106 | ) | — | (15,321 | ) | |||||||||||
Other (expense) income, net | (52,339 | ) | (27,518 | ) | 81,511 | — | 1,654 | |||||||||||||
Earnings from continuing operations before income taxes | 74,395 | 206,303 | 97,259 | (201,546 | ) | 176,411 | ||||||||||||||
Income tax benefit (provision) | 39,544 | (74,511 | ) | (30,195 | ) | — | (65,162 | ) | ||||||||||||
Earnings from continuing operations | 113,939 | 131,792 | 67,064 | (201,546 | ) | 111,249 | ||||||||||||||
(Loss) earnings from discontinued operations, net of tax | (2,012 | ) | — | 11 | (11 | ) | (2,012 | ) | ||||||||||||
Net earnings | 111,927 | 131,792 | 67,075 | (201,557 | ) | 109,237 | ||||||||||||||
Net loss attributable to noncontrolling interests | — | 412 | 2,278 | — | 2,690 | |||||||||||||||
Net earnings attributable to IAC shareholders | $ | 111,927 | $ | 132,204 | $ | 69,353 | $ | (201,557 | ) | $ | 111,927 | |||||||||
Comprehensive income attributable to IAC shareholders | $ | 111,909 | $ | 132,066 | $ | 47,763 | $ | (179,829 | ) | $ | 111,909 | |||||||||
Statement of cash flows for the six months ended June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Net cash (used in) provided by operating activities attributable to continuing operations | $ | (38,576 | ) | $ | 193,388 | $ | (6,041 | ) | $ | — | $ | 148,771 | ||||||||
Cash flows from investing activities attributable to continuing operations: | ||||||||||||||||||||
Acquisitions, net of cash acquired | — | (88,462 | ) | (15,175 | ) | — | (103,637 | ) | ||||||||||||
Capital expenditures | (2,390 | ) | (16,477 | ) | (7,690 | ) | — | (26,557 | ) | |||||||||||
Proceeds from maturities and sales of marketable debt securities | 998 | — | — | — | 998 | |||||||||||||||
Purchases of marketable debt securities | (78,380 | ) | — | — | — | (78,380 | ) | |||||||||||||
Proceeds from sales of long-term investments | — | — | 2,803 | — | 2,803 | |||||||||||||||
Purchases of long-term investments | (3,000 | ) | (6,761 | ) | (4,940 | ) | — | (14,701 | ) | |||||||||||
Other, net | — | 11 | (627 | ) | — | (616 | ) | |||||||||||||
Net cash used in investing activities attributable to continuing operations | (82,772 | ) | (111,689 | ) | (25,629 | ) | — | (220,090 | ) | |||||||||||
Cash flows from financing activities attributable to continuing operations: | ||||||||||||||||||||
Dividends | (40,086 | ) | — | — | — | (40,086 | ) | |||||||||||||
Issuance of common stock, net of withholding taxes | (13,823 | ) | — | — | — | (13,823 | ) | |||||||||||||
Excess tax benefits from stock-based awards | 22,116 | — | 10,773 | — | 32,889 | |||||||||||||||
Purchase of noncontrolling interest | — | (30,000 | ) | — | — | (30,000 | ) | |||||||||||||
Funds returned from escrow for Meetic tender offer | — | — | 12,354 | — | 12,354 | |||||||||||||||
Acquisition-related contingent consideration payment | — | — | (7,373 | ) | — | (7,373 | ) | |||||||||||||
Intercompany | 104,410 | (51,723 | ) | (52,687 | ) | — | — | |||||||||||||
Other, net | (383 | ) | — | 242 | — | (141 | ) | |||||||||||||
Net cash provided by (used in) financing activities attributable to continuing operations | 72,234 | (81,723 | ) | (36,691 | ) | — | (46,180 | ) | ||||||||||||
Total cash used in continuing operations | (49,114 | ) | (24 | ) | (68,361 | ) | — | (117,499 | ) | |||||||||||
Total cash used in discontinued operations | (116 | ) | — | (41 | ) | — | (157 | ) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | 24 | 4,514 | — | 4,538 | |||||||||||||||
Net decrease in cash and cash equivalents | (49,230 | ) | — | (63,888 | ) | — | (113,118 | ) | ||||||||||||
Cash and cash equivalents at beginning of period | 782,022 | — | 318,422 | — | 1,100,444 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 732,792 | $ | — | $ | 254,534 | $ | — | $ | 987,326 | ||||||||||
Statement of cash flows for the six months ended June 30, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Net cash (used in) provided by operating activities attributable to continuing operations | $ | (32,997 | ) | $ | 260,013 | $ | 1,247 | $ | — | $ | 228,263 | |||||||||
Cash flows from investing activities attributable to continuing operations: | ||||||||||||||||||||
Acquisitions, net of cash acquired | — | (6,572 | ) | (30,341 | ) | — | (36,913 | ) | ||||||||||||
Capital expenditures | (719 | ) | (39,071 | ) | (8,029 | ) | — | (47,819 | ) | |||||||||||
Proceeds from maturities and sales of marketable debt securities | 12,502 | — | — | — | 12,502 | |||||||||||||||
Proceeds from sales of long-term investments | — | — | 310 | — | 310 | |||||||||||||||
Purchases of long-term investments | (17,362 | ) | — | (7,897 | ) | — | (25,259 | ) | ||||||||||||
Other, net | (55 | ) | 38 | (1,426 | ) | — | (1,443 | ) | ||||||||||||
Net cash used in investing activities attributable to continuing operations | (5,634 | ) | (45,605 | ) | (47,383 | ) | — | (98,622 | ) | |||||||||||
Cash flows from financing activities attributable to continuing operations: | ||||||||||||||||||||
Principal payments on long-term debt | (15,844 | ) | — | — | — | (15,844 | ) | |||||||||||||
Purchase of treasury stock | (162,660 | ) | — | — | — | (162,660 | ) | |||||||||||||
Dividends | (38,880 | ) | — | — | — | (38,880 | ) | |||||||||||||
Issuance of common stock, net of withholding taxes | (868 | ) | — | — | — | (868 | ) | |||||||||||||
Excess tax benefits from stock-based awards | 23,547 | — | — | — | 23,547 | |||||||||||||||
Intercompany | 144,320 | (213,207 | ) | 68,887 | — | — | ||||||||||||||
Other, net | (927 | ) | (1,224 | ) | (1,483 | ) | — | (3,634 | ) | |||||||||||
Net cash (used in) provided by financing activities attributable to continuing operations | (51,312 | ) | (214,431 | ) | 67,404 | — | (198,339 | ) | ||||||||||||
Total cash (used in) provided by continuing operations | (89,943 | ) | (23 | ) | 21,268 | — | (68,698 | ) | ||||||||||||
Total cash provided by discontinued operations | 2,335 | — | — | — | 2,335 | |||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | 23 | (4,912 | ) | — | (4,889 | ) | |||||||||||||
Net (decrease) increase in cash and cash equivalents | (87,608 | ) | — | 16,356 | — | (71,252 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | 501,075 | — | 248,902 | — | 749,977 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 413,467 | $ | — | $ | 265,258 | $ | — | $ | 678,725 | ||||||||||
THE_COMPANY_AND_SUMMARY_OF_SIG1
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Accounting Estimates | ' |
Accounting Estimates | |
The preparation of consolidated financial statements in accordance with U.S. GAAP requires management to make certain estimates, judgments and assumptions that impact the reported amounts of assets, liabilities, revenue and expenses and the related disclosure of contingent assets and liabilities. Actual results could differ from these estimates. On an ongoing basis, the Company evaluates its estimates and judgments including those related to: the fair values of marketable securities and other investments; the recoverability of goodwill and indefinite-lived intangible assets; the useful lives and recovery of definite-lived intangible assets and property and equipment; the carrying value of accounts receivable, including the determination of the allowance for doubtful accounts and revenue reserves; the fair value of acquisition-related contingent consideration; the reserves for income tax contingencies; the valuation allowance for deferred income tax assets; and the fair value of and forfeiture rates for stock-based awards, among others. The Company bases its estimates and judgments on historical experience, its forecasts and budgets and other factors that the Company considers relevant. |
MARKETABLE_SECURITIES_Tables
MARKETABLE SECURITIES (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Marketable Securities [Abstract] | ' | |||||||||||||||
Schedule of current available-for-sale marketable securities | ' | |||||||||||||||
At June 30, 2014, current available-for-sale marketable securities are as follows: | ||||||||||||||||
Amortized | Gross | Gross | Fair | |||||||||||||
Cost | Unrealized | Unrealized | Value | |||||||||||||
Gains | Losses | |||||||||||||||
(In thousands) | ||||||||||||||||
Corporate debt securities | $ | 78,599 | $ | 41 | $ | (59 | ) | $ | 78,581 | |||||||
Total debt securities | 78,599 | 41 | (59 | ) | 78,581 | |||||||||||
Equity security | 149 | 2,881 | — | 3,030 | ||||||||||||
Total marketable securities | $ | 78,748 | $ | 2,922 | $ | (59 | ) | $ | 81,611 | |||||||
At December 31, 2013, current available-for-sale marketable securities are as follows: | ||||||||||||||||
Amortized | Gross | Gross | Fair | |||||||||||||
Cost | Unrealized | Unrealized | Value | |||||||||||||
Gains | Losses | |||||||||||||||
(In thousands) | ||||||||||||||||
Corporate debt security | $ | 1,004 | $ | 4 | $ | — | $ | 1,008 | ||||||||
Total debt security | 1,004 | 4 | — | 1,008 | ||||||||||||
Equity securities | 216 | 4,780 | — | 4,996 | ||||||||||||
Total marketable securities | $ | 1,220 | $ | 4,784 | $ | — | $ | 6,004 | ||||||||
Schedule of contractual maturities of debt securities classified as available-for-sale | ' | |||||||||||||||
The contractual maturities of debt securities classified as current available-for-sale at June 30, 2014 are as follows: | ||||||||||||||||
Amortized | Fair | |||||||||||||||
Cost | Value | |||||||||||||||
(In thousands) | ||||||||||||||||
Due in one year or less | $ | 10,632 | $ | 10,642 | ||||||||||||
Due after one year through five years | 67,967 | 67,939 | ||||||||||||||
Total | $ | 78,599 | $ | 78,581 | ||||||||||||
Schedule of Unrealized Loss on Investments | ' | |||||||||||||||
The following table summarizes investments in current available-for-sale marketable debt securities (22 in total at June 30, 2014) that have been in a continuous unrealized loss position for less than twelve months: | ||||||||||||||||
June 30, 2014 | 31-Dec-13 | |||||||||||||||
Fair | Gross | Fair | Gross | |||||||||||||
Value | Unrealized | Value | Unrealized | |||||||||||||
Losses | Losses | |||||||||||||||
(In thousands) | ||||||||||||||||
Corporate debt securities | $ | 51,621 | $ | (59 | ) | $ | — | $ | — | |||||||
Total | $ | 51,621 | $ | (59 | ) | $ | — | $ | — | |||||||
Schedule of proceeds from maturities and sales of current and non-current available-for-sale marketable securities and the related gross realized gains and losses | ' | |||||||||||||||
The following table presents the proceeds from maturities and sales of current and non-current available-for-sale marketable securities and the related gross realized gains: | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
(In thousands) | ||||||||||||||||
Proceeds from maturities and sales of available-for-sale marketable securities | $ | 3,462 | $ | 2 | $ | 3,462 | $ | 12,502 | ||||||||
Gross realized gains | 2,299 | — | 2,299 | — | ||||||||||||
FAIR_VALUE_MEASUREMENTS_AND_FI1
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Schedule of assets and liabilities measured at fair value on a recurring basis | ' | |||||||||||||||
The following tables present the Company's financial instruments that are measured at fair value on a recurring basis: | ||||||||||||||||
June 30, 2014 | ||||||||||||||||
Quoted Market | Significant | Significant | Total | |||||||||||||
Prices in Active | Other | Unobservable | Fair Value | |||||||||||||
Markets for | Observable | Inputs | Measurements | |||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(In thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 350,637 | $ | — | $ | — | $ | 350,637 | ||||||||
Commercial paper | — | 246,620 | — | 246,620 | ||||||||||||
Time deposits | — | 59,006 | — | 59,006 | ||||||||||||
Marketable securities: | ||||||||||||||||
Corporate debt securities | — | 78,581 | — | 78,581 | ||||||||||||
Equity security | 3,030 | — | — | 3,030 | ||||||||||||
Long-term investments: | ||||||||||||||||
Auction rate security | — | — | 9,250 | 9,250 | ||||||||||||
Marketable equity security | 9,516 | — | — | 9,516 | ||||||||||||
Total | $ | 363,183 | $ | 384,207 | $ | 9,250 | $ | 756,640 | ||||||||
Liabilities: | ||||||||||||||||
Contingent consideration arrangements | $ | — | $ | — | $ | (41,397 | ) | $ | (41,397 | ) | ||||||
December 31, 2013 | ||||||||||||||||
Quoted Market | Significant | Significant | Total | |||||||||||||
Prices in Active | Other | Unobservable | Fair Value | |||||||||||||
Markets for | Observable | Inputs | Measurements | |||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(In thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 698,307 | $ | — | $ | — | $ | 698,307 | ||||||||
Commercial paper | — | 12,000 | — | 12,000 | ||||||||||||
Time deposits | — | 32,325 | — | 32,325 | ||||||||||||
Marketable securities: | ||||||||||||||||
Corporate debt security | — | 1,008 | — | 1,008 | ||||||||||||
Equity securities | 4,996 | — | — | 4,996 | ||||||||||||
Long-term investments: | ||||||||||||||||
Auction rate security | — | — | 8,920 | 8,920 | ||||||||||||
Marketable equity securities | 11,711 | — | — | 11,711 | ||||||||||||
Total | $ | 715,014 | $ | 45,333 | $ | 8,920 | $ | 769,267 | ||||||||
Liabilities: | ||||||||||||||||
Contingent consideration arrangements | $ | — | $ | — | $ | (45,828 | ) | $ | (45,828 | ) | ||||||
Schedule of changes in assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | |||||||||||||||
The following tables present the changes in the Company's financial instruments that are measured at fair value on a recurring basis using significant unobservable inputs (Level 3): | ||||||||||||||||
Three Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Auction Rate | Contingent | Auction Rate | Contingent | |||||||||||||
Security | Consideration | Security | Consideration | |||||||||||||
Arrangements | Arrangements | |||||||||||||||
(In thousands) | ||||||||||||||||
Balance at April 1 | $ | 9,150 | $ | (48,758 | ) | $ | 8,580 | $ | (44,577 | ) | ||||||
Total net gains (losses): | ||||||||||||||||
Included in earnings (unrealized) | — | (527 | ) | — | (4,249 | ) | ||||||||||
Included in other comprehensive income (loss) | 100 | 499 | 180 | (368 | ) | |||||||||||
Settlements | — | 7,389 | — | 12 | ||||||||||||
Balance at June 30 | $ | 9,250 | $ | (41,397 | ) | $ | 8,760 | $ | (49,182 | ) | ||||||
Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Auction Rate | Contingent | Auction Rate | Contingent | |||||||||||||
Security | Consideration | Security | Consideration | |||||||||||||
Arrangements | Arrangements | |||||||||||||||
(In thousands) | ||||||||||||||||
Balance at January 1 | $ | 8,920 | $ | (45,828 | ) | $ | 8,100 | $ | (1,909 | ) | ||||||
Total net gains (losses): | ||||||||||||||||
Included in earnings (unrealized) | — | (500 | ) | — | (5,707 | ) | ||||||||||
Included in other comprehensive income (loss) | 330 | 136 | 660 | (368 | ) | |||||||||||
Fair value at date of acquisition | — | (2,835 | ) | — | (41,387 | ) | ||||||||||
Settlements | — | 7,630 | — | 189 | ||||||||||||
Balance at June 30 | $ | 9,250 | $ | (41,397 | ) | $ | 8,760 | $ | (49,182 | ) | ||||||
Fair Value, by Balance Sheet Grouping | ' | |||||||||||||||
The following table presents the carrying value and the fair value of financial instruments measured at fair value only for disclosure purposes: | ||||||||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||
Value | Value | Value | Value | |||||||||||||
(In thousands) | ||||||||||||||||
Liabilities: | ||||||||||||||||
Long-term debt | $ | (1,080,000 | ) | $ | (1,109,517 | ) | $ | (1,080,000 | ) | $ | (1,058,396 | ) |
LONGTERM_DEBT_Tables
LONG-TERM DEBT (Tables) | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Schedule of Long-term Debt Instruments | ' | |||||||
The balance of long-term debt is comprised of: | ||||||||
June 30, | 31-Dec-13 | |||||||
2014 | ||||||||
(In thousands) | ||||||||
4.875% Senior Notes due November 30, 2018 (the "2013 Senior Notes"); interest payable each May 30 and November 30, which commenced May 30, 2014 | $ | 500,000 | $ | 500,000 | ||||
4.75% Senior Notes due December 15, 2022 (the "2012 Senior Notes"); interest payable each June 15 and December 15, which commenced June 15, 2013 | 500,000 | 500,000 | ||||||
5% New York City Industrial Development Agency Liberty Bonds due September 1, 2035; interest payable each March 1 and September 1, which commenced March 1, 2006 | 80,000 | 80,000 | ||||||
Total long-term debt | $ | 1,080,000 | $ | 1,080,000 | ||||
ACCUMULATED_OTHER_COMPREHENSIV1
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 6 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Equity [Abstract] | ' | |||||||||||
Schedule of accumulated other comprehensive loss | ' | |||||||||||
The following tables present the components of accumulated other comprehensive (loss) income and items reclassified out of accumulated other comprehensive (loss) income into earnings: | ||||||||||||
Three Months Ended June 30, 2014 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized Gains (Losses)On Available-For-Sale Securities | Accumulated Other Comprehensive Loss | ||||||||||
(In thousands) | ||||||||||||
Balance as of April 1 | $ | (15,132 | ) | $ | 7,435 | $ | (7,697 | ) | ||||
Other comprehensive loss before reclassifications, net of tax benefit of $0.1 million related to unrealized losses on available-for-sale securities | (150 | ) | (799 | ) | (949 | ) | ||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | — | (1,260 | ) | (1,260 | ) | |||||||
Net current period other comprehensive loss | (150 | ) | (2,059 | ) | (2,209 | ) | ||||||
Balance as of June 30 | $ | (15,282 | ) | $ | 5,376 | $ | (9,906 | ) | ||||
Three Months Ended June 30, 2013 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized (Losses) Gains On Available-For-Sale Securities | Accumulated Other Comprehensive (Loss) Income | ||||||||||
(In thousands) | ||||||||||||
Balance as of April 1 | $ | (32,024 | ) | $ | (12,072 | ) | $ | (44,096 | ) | |||
Other comprehensive (loss) income before reclassifications, net of tax benefit of $0.7 million related to unrealized gains on available-for-sale securities | (5,278 | ) | 17,187 | 11,909 | ||||||||
Amounts reclassified from accumulated other comprehensive loss | — | — | — | |||||||||
Net current period other comprehensive (loss) income | (5,278 | ) | 17,187 | 11,909 | ||||||||
Balance as of June 30 | $ | (37,302 | ) | $ | 5,115 | $ | (32,187 | ) | ||||
Six Months Ended June 30, 2014 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized Gains (Losses)On Available-For-Sale Securities | Accumulated Other Comprehensive Loss | ||||||||||
(In thousands) | ||||||||||||
Balance as of January 1 | $ | (20,352 | ) | $ | 7,306 | $ | (13,046 | ) | ||||
Other comprehensive income (loss) before reclassifications, net of tax benefit of $0.7 million related to unrealized losses on available-for-sale securities | 5,070 | (670 | ) | 4,400 | ||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | — | (1,260 | ) | (1,260 | ) | |||||||
Net current period other comprehensive income (loss) | 5,070 | (1,930 | ) | 3,140 | ||||||||
Balance as of June 30 | $ | (15,282 | ) | $ | 5,376 | $ | (9,906 | ) | ||||
Six Months Ended June 30, 2013 | ||||||||||||
Foreign Currency Translation Adjustment | Unrealized (Losses) Gains On Available-For-Sale Securities | Accumulated Other Comprehensive Loss | ||||||||||
(In thousands) | ||||||||||||
Balance as of January 1 | $ | (25,073 | ) | $ | (7,096 | ) | $ | (32,169 | ) | |||
Other comprehensive (loss) income before reclassifications, net of tax provision of $0.1 million related to unrealized losses on available-for-sale securities | (12,229 | ) | 12,212 | (17 | ) | |||||||
Amounts reclassified from accumulated other comprehensive loss | — | (1 | ) | (1 | ) | |||||||
Net current period other comprehensive (loss) income | (12,229 | ) | 12,211 | (18 | ) | |||||||
Balance as of June 30 | $ | (37,302 | ) | $ | 5,115 | $ | (32,187 | ) | ||||
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Computation of basic and diluted earnings per share | ' | |||||||||||||||
The following table sets forth the computation of basic and diluted (loss) earnings per share attributable to IAC shareholders. | ||||||||||||||||
Three Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Basic | Diluted | Basic | Diluted | |||||||||||||
(In thousands, except per share data) | ||||||||||||||||
Numerator: | ||||||||||||||||
(Loss) earnings from continuing operations | $ | (17,995 | ) | $ | (17,995 | ) | $ | 58,540 | $ | 58,540 | ||||||
Net loss attributable to noncontrolling interests | 867 | 867 | 818 | 818 | ||||||||||||
(Loss) earnings from continuing operations attributable to IAC shareholders | (17,128 | ) | (17,128 | ) | 59,358 | 59,358 | ||||||||||
Loss from discontinued operations attributable to IAC shareholders | (868 | ) | (868 | ) | (1,068 | ) | (1,068 | ) | ||||||||
Net (loss) earnings attributable to IAC shareholders | $ | (17,996 | ) | $ | (17,996 | ) | $ | 58,290 | $ | 58,290 | ||||||
Denominator: | ||||||||||||||||
Weighted average basic shares outstanding | 83,178 | 83,178 | 83,609 | 83,609 | ||||||||||||
Dilutive securities including stock options and RSUs(a) | — | — | — | 2,954 | ||||||||||||
Denominator for earnings per share—weighted average shares(a) | 83,178 | 83,178 | 83,609 | 86,563 | ||||||||||||
(Loss) earnings per share attributable to IAC shareholders: | ||||||||||||||||
(Loss) earnings per share from continuing operations | $ | (0.21 | ) | $ | (0.21 | ) | $ | 0.71 | $ | 0.69 | ||||||
Discontinued operations | (0.01 | ) | (0.01 | ) | (0.01 | ) | (0.02 | ) | ||||||||
(Loss) earnings per share | $ | (0.22 | ) | $ | (0.22 | ) | $ | 0.7 | $ | 0.67 | ||||||
Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Basic | Diluted | Basic | Diluted | |||||||||||||
(In thousands, except per share data) | ||||||||||||||||
Numerator: | ||||||||||||||||
Earnings from continuing operations | $ | 16,310 | $ | 16,310 | $ | 111,249 | $ | 111,249 | ||||||||
Net loss attributable to noncontrolling interests | 3,261 | 3,261 | 2,690 | 2,690 | ||||||||||||
Earnings from continuing operations attributable to IAC shareholders | 19,571 | 19,571 | 113,939 | 113,939 | ||||||||||||
Loss from discontinued operations attributable to IAC shareholders | (1,682 | ) | (1,682 | ) | (2,012 | ) | (2,012 | ) | ||||||||
Net earnings attributable to IAC shareholders | $ | 17,889 | $ | 17,889 | $ | 111,927 | $ | 111,927 | ||||||||
Denominator: | ||||||||||||||||
Weighted average basic shares outstanding | 82,833 | 82,833 | 83,912 | 83,912 | ||||||||||||
Dilutive securities including stock options and RSUs(b) | — | 5,150 | — | 3,058 | ||||||||||||
Denominator for earnings per share—weighted average shares(b) | 82,833 | 87,983 | 83,912 | 86,970 | ||||||||||||
Earnings (loss) per share attributable to IAC shareholders: | ||||||||||||||||
Earnings per share from continuing operations | $ | 0.24 | $ | 0.22 | $ | 1.36 | $ | 1.31 | ||||||||
Discontinued operations | (0.02 | ) | (0.02 | ) | (0.03 | ) | (0.02 | ) | ||||||||
Earnings per share | $ | 0.22 | $ | 0.2 | $ | 1.33 | $ | 1.29 | ||||||||
_________________________________________ | ||||||||||||||||
(a) | For the three months ended June 30, 2014, the Company has a loss from continuing operations and as a result, approximately 11.5 million shares related to potentially dilutive securities were excluded for computing dilutive earnings per share because the impact would have been anti-dilutive. Accordingly, the weighted average basic shares outstanding were used to compute all earnings per share amounts. | |||||||||||||||
(b) | If the effect is dilutive, weighted average common shares outstanding include the incremental shares that would be issued upon the assumed exercise of stock options and vesting of restricted stock units ("RSUs"). For the six months ended June 30, 2014, there are no shares excluded from the calculation of diluted earnings per share. For the three and six months ended June 30, 2013, approximately 0.7 million and 3.8 million shares, respectively, related to potentially dilutive securities are excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive. |
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 6 Months Ended | |||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||
Schedule of reconciliation of revenues from segments to consolidated | ' | |||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||
Search & Applications | $ | 395,716 | $ | 427,449 | $ | 793,751 | $ | 824,641 | ||||||||||||||||
The Match Group | 214,314 | 197,987 | 425,501 | 390,862 | ||||||||||||||||||||
Media | 36,656 | 57,495 | 73,011 | 102,490 | ||||||||||||||||||||
eCommerce | 109,949 | 116,591 | 204,791 | 223,888 | ||||||||||||||||||||
Inter-segment elimination | (320 | ) | (111 | ) | (492 | ) | (221 | ) | ||||||||||||||||
Total | $ | 756,315 | $ | 799,411 | $ | 1,496,562 | $ | 1,541,660 | ||||||||||||||||
Schedule of reconciliation of operating income (loss) from segments to consolidated | ' | |||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Operating Income (Loss): | ||||||||||||||||||||||||
Search & Applications | $ | 77,771 | $ | 89,346 | $ | 148,108 | $ | 176,329 | ||||||||||||||||
The Match Group | 61,198 | 53,129 | 101,001 | 90,488 | ||||||||||||||||||||
Media | (9,794 | ) | (2,033 | ) | (18,360 | ) | (9,190 | ) | ||||||||||||||||
eCommerce | 8 | (4,603 | ) | (1,553 | ) | (9,096 | ) | |||||||||||||||||
Corporate | (33,493 | ) | (29,143 | ) | (61,794 | ) | (57,284 | ) | ||||||||||||||||
Total | $ | 95,690 | $ | 106,696 | $ | 167,402 | $ | 191,247 | ||||||||||||||||
Schedule of reconciliation of Adjusted EBITDA from segments to consolidated | ' | |||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Adjusted EBITDA: | ||||||||||||||||||||||||
Search & Applications | $ | 91,258 | $ | 102,420 | $ | 173,329 | $ | 199,934 | ||||||||||||||||
The Match Group | 69,368 | 67,685 | 116,798 | 115,591 | ||||||||||||||||||||
Media | (8,911 | ) | (1,003 | ) | (16,775 | ) | (7,183 | ) | ||||||||||||||||
eCommerce | 4,523 | 4,467 | 7,327 | 5,190 | ||||||||||||||||||||
Corporate | (14,806 | ) | (15,631 | ) | (31,152 | ) | (28,828 | ) | ||||||||||||||||
Total | $ | 141,432 | $ | 157,938 | $ | 249,527 | $ | 284,704 | ||||||||||||||||
Schedule of revenue and long-lived assets, excluding goodwill and intangible assets, by geography | ' | |||||||||||||||||||||||
Revenue by geography is based on where the customer is located. Geographic information about revenue and long-lived assets is presented below: | ||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||
United States | $ | 511,862 | $ | 551,880 | $ | 1,016,265 | $ | 1,066,494 | ||||||||||||||||
All other countries | 244,453 | 247,531 | 480,297 | 475,166 | ||||||||||||||||||||
Total | $ | 756,315 | $ | 799,411 | $ | 1,496,562 | $ | 1,541,660 | ||||||||||||||||
June 30, | December 31, | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Long-lived assets (excluding goodwill and intangible assets): | ||||||||||||||||||||||||
United States | $ | 269,746 | $ | 271,916 | ||||||||||||||||||||
All other countries | 21,543 | 22,048 | ||||||||||||||||||||||
Total | $ | 291,289 | $ | 293,964 | ||||||||||||||||||||
Schedule of reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | |||||||||||||||||||||||
The following tables reconcile Adjusted EBITDA to operating income (loss) for the Company's reportable segments: | ||||||||||||||||||||||||
Three Months Ended June 30, 2014 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 91,258 | $ | — | $ | (5,082 | ) | $ | (8,405 | ) | $ | — | $ | 77,771 | ||||||||||
The Match Group | 69,368 | (170 | ) | (5,589 | ) | (1,684 | ) | (727 | ) | 61,198 | ||||||||||||||
Media | (8,911 | ) | (161 | ) | (224 | ) | (698 | ) | 200 | (9,794 | ) | |||||||||||||
eCommerce | 4,523 | — | (1,896 | ) | (2,619 | ) | — | 8 | ||||||||||||||||
Corporate | (14,806 | ) | (16,221 | ) | (2,466 | ) | — | — | (33,493 | ) | ||||||||||||||
Total | $ | 141,432 | $ | (16,552 | ) | $ | (15,257 | ) | $ | (13,406 | ) | $ | (527 | ) | $ | 95,690 | ||||||||
Three Months Ended June 30, 2013 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 102,420 | $ | — | $ | (6,413 | ) | $ | (6,661 | ) | $ | — | $ | 89,346 | ||||||||||
The Match Group | 67,685 | (363 | ) | (4,838 | ) | (5,106 | ) | (4,249 | ) | 53,129 | ||||||||||||||
Media | (1,003 | ) | (213 | ) | (524 | ) | (293 | ) | — | (2,033 | ) | |||||||||||||
eCommerce | 4,467 | — | (2,993 | ) | (6,077 | ) | — | (4,603 | ) | |||||||||||||||
Corporate | (15,631 | ) | (11,244 | ) | (2,268 | ) | — | — | (29,143 | ) | ||||||||||||||
Total | $ | 157,938 | $ | (11,820 | ) | $ | (17,036 | ) | $ | (18,137 | ) | $ | (4,249 | ) | $ | 106,696 | ||||||||
Six Months Ended June 30, 2014 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 173,329 | $ | — | $ | (9,547 | ) | $ | (15,674 | ) | $ | — | $ | 148,108 | ||||||||||
The Match Group | 116,798 | (187 | ) | (11,389 | ) | (3,521 | ) | (700 | ) | 101,001 | ||||||||||||||
Media | (16,775 | ) | (325 | ) | (506 | ) | (954 | ) | 200 | (18,360 | ) | |||||||||||||
eCommerce | 7,327 | — | (3,644 | ) | (5,236 | ) | — | (1,553 | ) | |||||||||||||||
Corporate | (31,152 | ) | (25,653 | ) | (4,989 | ) | — | — | (61,794 | ) | ||||||||||||||
Total | $ | 249,527 | $ | (26,165 | ) | $ | (30,075 | ) | $ | (25,385 | ) | $ | (500 | ) | $ | 167,402 | ||||||||
Six Months Ended June 30, 2013 | ||||||||||||||||||||||||
Adjusted | Non-Cash | Depreciation | Amortization | Acquisition-related Contingent Consideration Fair Value Adjustments | Operating | |||||||||||||||||||
EBITDA | Compensation | of Intangibles | Income | |||||||||||||||||||||
Expense | (Loss) | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Search & Applications | $ | 199,934 | $ | (3 | ) | $ | (10,278 | ) | $ | (13,324 | ) | $ | — | $ | 176,329 | |||||||||
The Match Group | 115,591 | (206 | ) | (9,544 | ) | (9,646 | ) | (5,707 | ) | 90,488 | ||||||||||||||
Media | (7,183 | ) | (418 | ) | (1,047 | ) | (542 | ) | — | (9,190 | ) | |||||||||||||
eCommerce | 5,190 | 29 | (5,612 | ) | (8,703 | ) | — | (9,096 | ) | |||||||||||||||
Corporate | (28,828 | ) | (23,885 | ) | (4,571 | ) | — | — | (57,284 | ) | ||||||||||||||
Total | $ | 284,704 | $ | (24,483 | ) | $ | (31,052 | ) | $ | (32,215 | ) | $ | (5,707 | ) | $ | 191,247 | ||||||||
GUARANTOR_AND_NONGUARANTOR_FIN1
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Tables) | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||
Guarantor and Nonguarantor Financial Statements [Abstract] | ' | |||||||||||||||||||
Schedule of condensed balance sheet | ' | |||||||||||||||||||
Balance sheet at June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash and cash equivalents | $ | 732,792 | $ | — | $ | 254,534 | $ | — | $ | 987,326 | ||||||||||
Marketable securities | 78,581 | — | 3,030 | — | 81,611 | |||||||||||||||
Accounts receivable, net | 10 | 142,486 | 80,940 | — | 223,436 | |||||||||||||||
Other current assets | 40,425 | 88,193 | 60,904 | (4,463 | ) | 185,059 | ||||||||||||||
Intercompany receivables | — | 620,647 | 888,364 | (1,509,011 | ) | — | ||||||||||||||
Property and equipment, net | 6,229 | 219,466 | 65,594 | — | 291,289 | |||||||||||||||
Goodwill | — | 1,212,699 | 507,951 | — | 1,720,650 | |||||||||||||||
Intangible assets, net | — | 308,170 | 162,191 | — | 470,361 | |||||||||||||||
Investment in subsidiaries | 3,904,440 | 822,242 | — | (4,726,682 | ) | — | ||||||||||||||
Other non-current assets | 70,343 | 26,184 | 119,709 | (8,490 | ) | 207,746 | ||||||||||||||
Total assets | $ | 4,832,820 | $ | 3,440,087 | $ | 2,143,217 | $ | (6,248,646 | ) | $ | 4,167,478 | |||||||||
Accounts payable, trade | $ | 3,712 | $ | 23,852 | $ | 31,005 | $ | — | $ | 58,569 | ||||||||||
Other current liabilities | 32,195 | 292,415 | 204,551 | — | 529,161 | |||||||||||||||
Long-term debt | 1,000,000 | 80,000 | — | — | 1,080,000 | |||||||||||||||
Income taxes payable | 386,753 | 7,785 | 25,870 | — | 420,408 | |||||||||||||||
Intercompany liabilities | 1,509,011 | — | — | (1,509,011 | ) | — | ||||||||||||||
Other long-term liabilities | 228,221 | 98,506 | 66,602 | (12,953 | ) | 380,376 | ||||||||||||||
Redeemable noncontrolling interests | — | — | 24,137 | — | 24,137 | |||||||||||||||
IAC shareholders' equity | 1,672,928 | 2,937,529 | 1,789,153 | (4,726,682 | ) | 1,672,928 | ||||||||||||||
Noncontrolling interests | — | — | 1,899 | — | 1,899 | |||||||||||||||
Total liabilities and shareholders' equity | $ | 4,832,820 | $ | 3,440,087 | $ | 2,143,217 | $ | (6,248,646 | ) | $ | 4,167,478 | |||||||||
Balance sheet at December 31, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash and cash equivalents | $ | 782,022 | $ | — | $ | 318,422 | $ | — | $ | 1,100,444 | ||||||||||
Marketable securities | 1,007 | — | 4,997 | — | 6,004 | |||||||||||||||
Accounts receivable, net | 38 | 135,651 | 71,719 | — | 207,408 | |||||||||||||||
Other current assets | 45,111 | 76,572 | 40,661 | (814 | ) | 161,530 | ||||||||||||||
Intercompany receivables | — | 569,030 | 847,423 | (1,416,453 | ) | — | ||||||||||||||
Property and equipment, net | 5,316 | 221,386 | 67,262 | — | 293,964 | |||||||||||||||
Goodwill | — | 1,180,159 | 495,164 | — | 1,675,323 | |||||||||||||||
Intangible assets, net | — | 302,082 | 143,254 | — | 445,336 | |||||||||||||||
Investment in subsidiaries | 3,833,751 | 782,840 | — | (4,616,591 | ) | — | ||||||||||||||
Other non-current assets | 83,207 | 15,521 | 252,576 | (6,629 | ) | 344,675 | ||||||||||||||
Total assets | $ | 4,750,452 | $ | 3,283,241 | $ | 2,241,478 | $ | (6,040,487 | ) | $ | 4,234,684 | |||||||||
Accounts payable, trade | $ | 4,310 | $ | 51,525 | $ | 21,818 | $ | — | $ | 77,653 | ||||||||||
Other current liabilities | 41,623 | 280,549 | 187,072 | — | 509,244 | |||||||||||||||
Long-term debt | 1,000,000 | 80,000 | — | — | 1,080,000 | |||||||||||||||
Income taxes payable | 383,926 | 6,768 | 25,690 | — | 416,384 | |||||||||||||||
Intercompany liabilities | 1,416,453 | — | — | (1,416,453 | ) | — | ||||||||||||||
Other long-term liabilities | 217,404 | 96,239 | 72,941 | (7,443 | ) | 379,141 | ||||||||||||||
Redeemable noncontrolling interests | — | — | 42,861 | — | 42,861 | |||||||||||||||
IAC shareholders' equity | 1,686,736 | 2,768,160 | 1,848,431 | (4,616,591 | ) | 1,686,736 | ||||||||||||||
Noncontrolling interests | — | — | 42,665 | — | 42,665 | |||||||||||||||
Total liabilities and shareholders' equity | $ | 4,750,452 | $ | 3,283,241 | $ | 2,241,478 | $ | (6,040,487 | ) | $ | 4,234,684 | |||||||||
Schedule of condensed income statement | ' | |||||||||||||||||||
Statement of operations for the three months ended June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 556,162 | $ | 203,497 | $ | (3,344 | ) | $ | 756,315 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 383 | 124,935 | 86,469 | (687 | ) | 211,100 | ||||||||||||||
Selling and marketing expense | 619 | 219,959 | 54,647 | (2,439 | ) | 272,786 | ||||||||||||||
General and administrative expense | 26,609 | 49,415 | 33,682 | 13 | 109,719 | |||||||||||||||
Product development expense | 1,705 | 26,769 | 10,114 | (231 | ) | 38,357 | ||||||||||||||
Depreciation | 312 | 9,224 | 5,721 | — | 15,257 | |||||||||||||||
Amortization of intangibles | — | 9,659 | 3,747 | — | 13,406 | |||||||||||||||
Total operating costs and expenses | 29,628 | 439,961 | 194,380 | (3,344 | ) | 660,625 | ||||||||||||||
Operating (loss) income | (29,628 | ) | 116,201 | 9,117 | — | 95,690 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 5,112 | 1,535 | 64 | (13,561 | ) | (6,850 | ) | |||||||||||||
Interest expense | (12,985 | ) | (1,052 | ) | (9 | ) | — | (14,046 | ) | |||||||||||
Other income (expense), net | 9,689 | (10,072 | ) | (62,517 | ) | — | (62,900 | ) | ||||||||||||
(Loss) earnings from continuing operations before income taxes | (27,812 | ) | 106,612 | (53,345 | ) | (13,561 | ) | 11,894 | ||||||||||||
Income tax benefit (provision) | 10,684 | (39,785 | ) | (788 | ) | — | (29,889 | ) | ||||||||||||
(Loss) earnings from continuing operations | (17,128 | ) | 66,827 | (54,133 | ) | (13,561 | ) | (17,995 | ) | |||||||||||
Loss from discontinued operations, net of tax | (868 | ) | — | (27 | ) | 27 | (868 | ) | ||||||||||||
Net (loss) earnings | (17,996 | ) | 66,827 | (54,160 | ) | (13,534 | ) | (18,863 | ) | |||||||||||
Net (earnings) loss attributable to noncontrolling interests | — | (9 | ) | 876 | — | 867 | ||||||||||||||
Net (loss) earnings attributable to IAC shareholders | $ | (17,996 | ) | $ | 66,818 | $ | (53,284 | ) | $ | (13,534 | ) | $ | (17,996 | ) | ||||||
Comprehensive (loss) income attributable to IAC shareholders | $ | (20,205 | ) | $ | 66,154 | $ | (55,870 | ) | $ | (10,284 | ) | $ | (20,205 | ) | ||||||
Statement of operations for the three months ended June 30, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 576,605 | $ | 223,965 | $ | (1,159 | ) | $ | 799,411 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 549 | 161,166 | 112,107 | (1,000 | ) | 272,822 | ||||||||||||||
Selling and marketing expense | 710 | 201,025 | 45,570 | (152 | ) | 247,153 | ||||||||||||||
General and administrative expense | 23,582 | 46,993 | 32,947 | (7 | ) | 103,515 | ||||||||||||||
Product development expense | 867 | 24,779 | 8,406 | — | 34,052 | |||||||||||||||
Depreciation | 344 | 12,142 | 4,550 | — | 17,036 | |||||||||||||||
Amortization of intangibles | — | 12,399 | 5,738 | — | 18,137 | |||||||||||||||
Total operating costs and expenses | 26,052 | 458,504 | 209,318 | (1,159 | ) | 692,715 | ||||||||||||||
Operating (loss) income | (26,052 | ) | 118,101 | 14,647 | — | 106,696 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 75,927 | 7,728 | (131 | ) | (84,602 | ) | (1,078 | ) | ||||||||||||
Interest expense | (6,515 | ) | (1,078 | ) | (65 | ) | — | (7,658 | ) | |||||||||||
Other income (expense), net | 3,109 | (9,331 | ) | 6,218 | — | (4 | ) | |||||||||||||
Earnings from continuing operations before income taxes | 46,469 | 115,420 | 20,669 | (84,602 | ) | 97,956 | ||||||||||||||
Income tax benefit (provision) | 12,889 | (41,863 | ) | (10,442 | ) | — | (39,416 | ) | ||||||||||||
Earnings from continuing operations | 59,358 | 73,557 | 10,227 | (84,602 | ) | 58,540 | ||||||||||||||
(Loss) earnings from discontinued operations, net of tax | (1,068 | ) | — | 4 | (4 | ) | (1,068 | ) | ||||||||||||
Net earnings | 58,290 | 73,557 | 10,231 | (84,606 | ) | 57,472 | ||||||||||||||
Net loss attributable to noncontrolling interests | — | 404 | 414 | — | 818 | |||||||||||||||
Net earnings attributable to IAC shareholders | $ | 58,290 | $ | 73,961 | $ | 10,645 | $ | (84,606 | ) | $ | 58,290 | |||||||||
Comprehensive income attributable to IAC shareholders | $ | 70,199 | $ | 73,897 | $ | 5,147 | $ | (79,044 | ) | $ | 70,199 | |||||||||
Statement of operations for the six months ended June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 1,102,488 | $ | 400,404 | $ | (6,330 | ) | $ | 1,496,562 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 355 | 253,096 | 168,490 | (1,647 | ) | 420,294 | ||||||||||||||
Selling and marketing expense | 811 | 456,049 | 118,775 | (4,137 | ) | 571,498 | ||||||||||||||
General and administrative expense | 49,055 | 96,131 | 59,323 | 26 | 204,535 | |||||||||||||||
Product development expense | 3,176 | 54,215 | 20,554 | (572 | ) | 77,373 | ||||||||||||||
Depreciation | 641 | 18,784 | 10,650 | — | 30,075 | |||||||||||||||
Amortization of intangibles | — | 18,660 | 6,725 | — | 25,385 | |||||||||||||||
Total operating costs and expenses | 54,038 | 896,935 | 384,517 | (6,330 | ) | 1,329,160 | ||||||||||||||
Operating (loss) income | (54,038 | ) | 205,553 | 15,887 | — | 167,402 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 59,394 | (114 | ) | 37 | (68,102 | ) | (8,785 | ) | ||||||||||||
Interest expense | (25,970 | ) | (2,094 | ) | (46 | ) | — | (28,110 | ) | |||||||||||
Other income (expense), net | 19,388 | (18,706 | ) | (63,605 | ) | — | (62,923 | ) | ||||||||||||
(Loss) earnings from continuing operations before income taxes | (1,226 | ) | 184,639 | (47,727 | ) | (68,102 | ) | 67,584 | ||||||||||||
Income tax benefit (provision) | 20,797 | (69,730 | ) | (2,341 | ) | — | (51,274 | ) | ||||||||||||
Earnings (loss) from continuing operations | 19,571 | 114,909 | (50,068 | ) | (68,102 | ) | 16,310 | |||||||||||||
Loss from discontinued operations, net of tax | (1,682 | ) | — | (40 | ) | 40 | (1,682 | ) | ||||||||||||
Net earnings (loss) | 17,889 | 114,909 | (50,108 | ) | (68,062 | ) | 14,628 | |||||||||||||
Net loss attributable to noncontrolling interests | — | — | 3,261 | — | 3,261 | |||||||||||||||
Net earnings (loss) attributable to IAC shareholders | $ | 17,889 | $ | 114,909 | $ | (46,847 | ) | $ | (68,062 | ) | $ | 17,889 | ||||||||
Comprehensive income (loss) attributable to IAC shareholders | $ | 21,029 | $ | 114,629 | $ | (45,764 | ) | $ | (68,865 | ) | $ | 21,029 | ||||||||
Statement of operations for the six months ended June 30, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Revenue | $ | — | $ | 1,113,443 | $ | 430,413 | $ | (2,196 | ) | $ | 1,541,660 | |||||||||
Operating costs and expenses: | ||||||||||||||||||||
Cost of revenue (exclusive of depreciation shown separately below) | 1,226 | 319,041 | 210,183 | (1,779 | ) | 528,671 | ||||||||||||||
Selling and marketing expense | 1,141 | 386,941 | 102,394 | (409 | ) | 490,067 | ||||||||||||||
General and administrative expense | 45,827 | 89,849 | 63,571 | (8 | ) | 199,239 | ||||||||||||||
Product development expense | 1,766 | 48,787 | 18,616 | — | 69,169 | |||||||||||||||
Depreciation | 711 | 21,535 | 8,806 | — | 31,052 | |||||||||||||||
Amortization of intangibles | — | 21,449 | 10,766 | — | 32,215 | |||||||||||||||
Total operating costs and expenses | 50,671 | 887,602 | 414,336 | (2,196 | ) | 1,350,413 | ||||||||||||||
Operating (loss) income | (50,671 | ) | 225,841 | 16,077 | — | 191,247 | ||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 190,477 | 10,123 | (223 | ) | (201,546 | ) | (1,169 | ) | ||||||||||||
Interest expense | (13,072 | ) | (2,143 | ) | (106 | ) | — | (15,321 | ) | |||||||||||
Other (expense) income, net | (52,339 | ) | (27,518 | ) | 81,511 | — | 1,654 | |||||||||||||
Earnings from continuing operations before income taxes | 74,395 | 206,303 | 97,259 | (201,546 | ) | 176,411 | ||||||||||||||
Income tax benefit (provision) | 39,544 | (74,511 | ) | (30,195 | ) | — | (65,162 | ) | ||||||||||||
Earnings from continuing operations | 113,939 | 131,792 | 67,064 | (201,546 | ) | 111,249 | ||||||||||||||
(Loss) earnings from discontinued operations, net of tax | (2,012 | ) | — | 11 | (11 | ) | (2,012 | ) | ||||||||||||
Net earnings | 111,927 | 131,792 | 67,075 | (201,557 | ) | 109,237 | ||||||||||||||
Net loss attributable to noncontrolling interests | — | 412 | 2,278 | — | 2,690 | |||||||||||||||
Net earnings attributable to IAC shareholders | $ | 111,927 | $ | 132,204 | $ | 69,353 | $ | (201,557 | ) | $ | 111,927 | |||||||||
Comprehensive income attributable to IAC shareholders | $ | 111,909 | $ | 132,066 | $ | 47,763 | $ | (179,829 | ) | $ | 111,909 | |||||||||
Schedule of condensed cash flow statement | ' | |||||||||||||||||||
Statement of cash flows for the six months ended June 30, 2014: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Net cash (used in) provided by operating activities attributable to continuing operations | $ | (38,576 | ) | $ | 193,388 | $ | (6,041 | ) | $ | — | $ | 148,771 | ||||||||
Cash flows from investing activities attributable to continuing operations: | ||||||||||||||||||||
Acquisitions, net of cash acquired | — | (88,462 | ) | (15,175 | ) | — | (103,637 | ) | ||||||||||||
Capital expenditures | (2,390 | ) | (16,477 | ) | (7,690 | ) | — | (26,557 | ) | |||||||||||
Proceeds from maturities and sales of marketable debt securities | 998 | — | — | — | 998 | |||||||||||||||
Purchases of marketable debt securities | (78,380 | ) | — | — | — | (78,380 | ) | |||||||||||||
Proceeds from sales of long-term investments | — | — | 2,803 | — | 2,803 | |||||||||||||||
Purchases of long-term investments | (3,000 | ) | (6,761 | ) | (4,940 | ) | — | (14,701 | ) | |||||||||||
Other, net | — | 11 | (627 | ) | — | (616 | ) | |||||||||||||
Net cash used in investing activities attributable to continuing operations | (82,772 | ) | (111,689 | ) | (25,629 | ) | — | (220,090 | ) | |||||||||||
Cash flows from financing activities attributable to continuing operations: | ||||||||||||||||||||
Dividends | (40,086 | ) | — | — | — | (40,086 | ) | |||||||||||||
Issuance of common stock, net of withholding taxes | (13,823 | ) | — | — | — | (13,823 | ) | |||||||||||||
Excess tax benefits from stock-based awards | 22,116 | — | 10,773 | — | 32,889 | |||||||||||||||
Purchase of noncontrolling interest | — | (30,000 | ) | — | — | (30,000 | ) | |||||||||||||
Funds returned from escrow for Meetic tender offer | — | — | 12,354 | — | 12,354 | |||||||||||||||
Acquisition-related contingent consideration payment | — | — | (7,373 | ) | — | (7,373 | ) | |||||||||||||
Intercompany | 104,410 | (51,723 | ) | (52,687 | ) | — | — | |||||||||||||
Other, net | (383 | ) | — | 242 | — | (141 | ) | |||||||||||||
Net cash provided by (used in) financing activities attributable to continuing operations | 72,234 | (81,723 | ) | (36,691 | ) | — | (46,180 | ) | ||||||||||||
Total cash used in continuing operations | (49,114 | ) | (24 | ) | (68,361 | ) | — | (117,499 | ) | |||||||||||
Total cash used in discontinued operations | (116 | ) | — | (41 | ) | — | (157 | ) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | 24 | 4,514 | — | 4,538 | |||||||||||||||
Net decrease in cash and cash equivalents | (49,230 | ) | — | (63,888 | ) | — | (113,118 | ) | ||||||||||||
Cash and cash equivalents at beginning of period | 782,022 | — | 318,422 | — | 1,100,444 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 732,792 | $ | — | $ | 254,534 | $ | — | $ | 987,326 | ||||||||||
Statement of cash flows for the six months ended June 30, 2013: | ||||||||||||||||||||
IAC | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Total Eliminations | IAC Consolidated | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Net cash (used in) provided by operating activities attributable to continuing operations | $ | (32,997 | ) | $ | 260,013 | $ | 1,247 | $ | — | $ | 228,263 | |||||||||
Cash flows from investing activities attributable to continuing operations: | ||||||||||||||||||||
Acquisitions, net of cash acquired | — | (6,572 | ) | (30,341 | ) | — | (36,913 | ) | ||||||||||||
Capital expenditures | (719 | ) | (39,071 | ) | (8,029 | ) | — | (47,819 | ) | |||||||||||
Proceeds from maturities and sales of marketable debt securities | 12,502 | — | — | — | 12,502 | |||||||||||||||
Proceeds from sales of long-term investments | — | — | 310 | — | 310 | |||||||||||||||
Purchases of long-term investments | (17,362 | ) | — | (7,897 | ) | — | (25,259 | ) | ||||||||||||
Other, net | (55 | ) | 38 | (1,426 | ) | — | (1,443 | ) | ||||||||||||
Net cash used in investing activities attributable to continuing operations | (5,634 | ) | (45,605 | ) | (47,383 | ) | — | (98,622 | ) | |||||||||||
Cash flows from financing activities attributable to continuing operations: | ||||||||||||||||||||
Principal payments on long-term debt | (15,844 | ) | — | — | — | (15,844 | ) | |||||||||||||
Purchase of treasury stock | (162,660 | ) | — | — | — | (162,660 | ) | |||||||||||||
Dividends | (38,880 | ) | — | — | — | (38,880 | ) | |||||||||||||
Issuance of common stock, net of withholding taxes | (868 | ) | — | — | — | (868 | ) | |||||||||||||
Excess tax benefits from stock-based awards | 23,547 | — | — | — | 23,547 | |||||||||||||||
Intercompany | 144,320 | (213,207 | ) | 68,887 | — | — | ||||||||||||||
Other, net | (927 | ) | (1,224 | ) | (1,483 | ) | — | (3,634 | ) | |||||||||||
Net cash (used in) provided by financing activities attributable to continuing operations | (51,312 | ) | (214,431 | ) | 67,404 | — | (198,339 | ) | ||||||||||||
Total cash (used in) provided by continuing operations | (89,943 | ) | (23 | ) | 21,268 | — | (68,698 | ) | ||||||||||||
Total cash provided by discontinued operations | 2,335 | — | — | — | 2,335 | |||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | 23 | (4,912 | ) | — | (4,889 | ) | |||||||||||||
Net (decrease) increase in cash and cash equivalents | (87,608 | ) | — | 16,356 | — | (71,252 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | 501,075 | — | 248,902 | — | 749,977 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 413,467 | $ | — | $ | 265,258 | $ | — | $ | 678,725 | ||||||||||
THE_COMPANY_AND_SUMMARY_OF_SIG2
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (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 |
country | brand | ||||
visit | |||||
country | |||||
Revenue from major customers | ' | ' | ' | ' | ' |
Minimum number of brands owned by the company | ' | ' | 150 | ' | ' |
Number of monthly visits to company websites | ' | ' | 1,000,000,000 | ' | ' |
Number of countries where the company has consumer audiences | 100 | ' | 100 | ' | ' |
Revenue | $756,315 | $799,411 | $1,496,562 | $1,541,660 | ' |
Accounts receivable, net of allowance of $11,443 and $8,540 respectively | 223,436 | ' | 223,436 | ' | 207,408 |
Google Inc. | ' | ' | ' | ' | ' |
Revenue from major customers | ' | ' | ' | ' | ' |
Revenue | 349,500 | 405,800 | 704,600 | 781,900 | ' |
Accounts receivable, net of allowance of $11,443 and $8,540 respectively | $114,500 | ' | $114,500 | ' | $112,300 |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' |
Income tax provision (benefit) | $29,889,000 | $39,416,000 | $51,274,000 | $65,162,000 | ' |
Effective tax rate (as a percent) | 251.00% | 40.00% | 76.00% | 37.00% | ' |
Federal statutory rate (as a percent) | 35.00% | 35.00% | 35.00% | 35.00% | ' |
Total unrecognized tax benefits including interest | 412,000,000 | ' | 412,000,000 | ' | 408,800,000 |
Portion of unrecognized tax benefits included in income taxes payable | 409,500,000 | ' | 409,500,000 | ' | ' |
Portion of unrecognized tax benefits related to deferred tax assets included in deferred income taxes | 2,100,000 | ' | 2,100,000 | ' | ' |
Portion of unrecognized tax benefits included in accrued expenses and other current liabilities | 300,000 | ' | 300,000 | ' | ' |
Unrecognized tax benefits, tax positions for which the ultimate deductibility is highly certain but timing is uncertain | 39,900,000 | ' | 39,900,000 | ' | ' |
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | 374,800,000 | ' | 374,800,000 | ' | ' |
Unrecognized Tax Benefits Related To Federal Income Taxes Statute Of Limitations Expiring To Be Recognized In Subsequent Quarter That Would Income Tax Expense Continuing Operations | 88,300,000 | ' | 88,300,000 | ' | ' |
Unrecognized Tax Benefits Related to Federal Income Taxes Statute of Limitations Expiring To Be Recognized In Subsequent Quarter That Would Impact Income Tax Expense Discontinued Operations | 175,700,000 | ' | 175,700,000 | ' | ' |
Unrelated To Federal Income Taxes Statute of Limitations Expiring Unrecognized Tax Benefits To Be Recognized In Subsequent Quarter, Balance Sheet | 110,800,000 | ' | 110,800,000 | ' | ' |
Unrelated to Federal Income Taxes Statute Of Limitations Expiring Unrecognized Tax Benefits To Be Recognized In Subsequent Quarter, Non-Current Deferred Tax Asset | 100,000,000 | ' | 100,000,000 | ' | ' |
Unrecognized tax benefit, if recognized would reduce income tax expense for continuing operations | 32,500,000 | ' | 32,500,000 | ' | ' |
Interest expense related to unrecognized tax benefits from continuing operations | 1,500,000 | ' | 3,100,000 | ' | ' |
Interest expense related to unrecognized tax benefits from discontinued operations | 800,000 | ' | 1,600,000 | ' | ' |
Accrued interest on unrecognized tax benefits | 140,700,000 | ' | 140,700,000 | ' | 133,000,000 |
Accrued penalties on unrecognized tax benefits | 5,300,000 | ' | 5,300,000 | ' | 5,100,000 |
Change In Unrecognized Tax Benefits Unrelated To The Federal Income Taxes Statute Of Limitations Expiring Reasonably Possible Within Twelve Months Of The Current Reporting Period | 11,600,000 | ' | 11,600,000 | ' | ' |
Change In Unrecognized Tax Benefits Unrelated To The Federal Income Taxes Statute Of Limitations Expiring Reasonably Possible Within Twelve Months Of The Current Reporting Period, Income Tax Provision | $8,300,000 | ' | $8,300,000 | ' | ' |
MARKETABLE_SECURITIES_Details
MARKETABLE SECURITIES (Details) (USD $) | 6 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Current available-for-sale marketable securities | ' | ' |
Amortized Cost | $78,748 | $1,220 |
Gross Unrealized Gains | 2,922 | 4,784 |
Gross Unrealized Losses | -59 | 0 |
Marketable securities | 81,611 | 6,004 |
Contractual maturities of debt securities classified as available-for-sale | ' | ' |
Due in one year or less, amortized cost | 10,632 | ' |
Due after one year through five years, amortized cost | 67,967 | ' |
Total Amortized Cost | 78,599 | ' |
Due in one year or less, fair value | 10,642 | ' |
Due after one year through five years, fair value | 67,939 | ' |
Total, Estimated Fair Value | 78,581 | ' |
Total debt securities | ' | ' |
Current available-for-sale marketable securities | ' | ' |
Amortized Cost | 78,599 | 1,004 |
Gross Unrealized Gains | 41 | 4 |
Gross Unrealized Losses | -59 | 0 |
Marketable securities | 78,581 | 1,008 |
Corporate debt securities | ' | ' |
Current available-for-sale marketable securities | ' | ' |
Amortized Cost | 78,599 | 1,004 |
Gross Unrealized Gains | 41 | 4 |
Gross Unrealized Losses | -59 | 0 |
Marketable securities | 78,581 | 1,008 |
Equity securities | ' | ' |
Current available-for-sale marketable securities | ' | ' |
Amortized Cost | 149 | 216 |
Gross Unrealized Gains | 2,881 | 4,780 |
Gross Unrealized Losses | 0 | 0 |
Marketable securities | $3,030 | $4,996 |
MARKETABLE_SECURITIES_Details_
MARKETABLE SECURITIES (Details 1) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
investment | investment | ||||
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 22 | ' | 22 | ' | ' |
Marketable securities | $81,611 | ' | $81,611 | ' | $6,004 |
Available-for-sale Securities, Gross Unrealized Loss | ' | ' | -59 | ' | 0 |
Proceeds from maturities and sales of current and non-current available-for-sale marketable securities and related gross realized gains and losses | ' | ' | ' | ' | ' |
Proceeds from maturities and sales of available-for-sale marketable securities | 3,462 | 2 | 3,462 | 12,502 | ' |
Available-for-sale Securities, Gross Realized Gains | 2,299 | 0 | 2,299 | 0 | ' |
Corporate Debt Securities [Member] | ' | ' | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 51,621 | ' | 51,621 | ' | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | ' | ' | -59 | ' | 0 |
Marketable securities | 78,581 | ' | 78,581 | ' | 1,008 |
Available-for-sale Securities, Gross Unrealized Loss | ' | ' | -59 | ' | 0 |
Total | ' | ' | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' | ' |
Marketable securities | 51,621 | ' | 51,621 | ' | 0 |
Available-for-sale Securities, Gross Unrealized Loss | ' | ' | ($59) | ' | $0 |
FAIR_VALUE_MEASUREMENTS_AND_FI2
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Marketable securities | $81,611 | $6,004 |
Fair value on a recurring basis | Quoted Market Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Assets: | ' | ' |
Total Assets | 363,183 | 715,014 |
Fair value on a recurring basis | Quoted Market Prices in Active Markets for Identical Assets (Level 1) | Money market funds | ' | ' |
Assets: | ' | ' |
Cash equivalents: | 350,637 | 698,307 |
Fair value on a recurring basis | Quoted Market Prices in Active Markets for Identical Assets (Level 1) | Equity securities | ' | ' |
Assets: | ' | ' |
Marketable securities | 3,030 | 4,996 |
Long-term investments: | 9,516 | 11,711 |
Fair value on a recurring basis | Significant Other Observable Inputs (Level 2) | ' | ' |
Assets: | ' | ' |
Total Assets | 384,207 | 45,333 |
Fair value on a recurring basis | Significant Other Observable Inputs (Level 2) | Commercial paper | ' | ' |
Assets: | ' | ' |
Cash equivalents: | 246,620 | 12,000 |
Fair value on a recurring basis | Significant Other Observable Inputs (Level 2) | Time deposits | ' | ' |
Assets: | ' | ' |
Cash equivalents: | 59,006 | 32,325 |
Fair value on a recurring basis | Significant Other Observable Inputs (Level 2) | Corporate debt securities | ' | ' |
Assets: | ' | ' |
Marketable securities | 78,581 | 1,008 |
Fair value on a recurring basis | Significant Unobservable Inputs (Level 3) | ' | ' |
Assets: | ' | ' |
Total Assets | 9,250 | 8,920 |
Liabilities: | ' | ' |
Contingent consideration arrangement | -41,397 | -45,828 |
Fair value on a recurring basis | Significant Unobservable Inputs (Level 3) | Auction rate security | ' | ' |
Assets: | ' | ' |
Long-term investments: | 9,250 | 8,920 |
Fair value on a recurring basis | Fair value | ' | ' |
Assets: | ' | ' |
Total Assets | 756,640 | 769,267 |
Liabilities: | ' | ' |
Contingent consideration arrangement | -41,397 | -45,828 |
Fair value on a recurring basis | Fair value | Money market funds | ' | ' |
Assets: | ' | ' |
Cash equivalents: | 350,637 | 698,307 |
Fair value on a recurring basis | Fair value | Commercial paper | ' | ' |
Assets: | ' | ' |
Cash equivalents: | 246,620 | 12,000 |
Fair value on a recurring basis | Fair value | Time deposits | ' | ' |
Assets: | ' | ' |
Cash equivalents: | 59,006 | 32,325 |
Fair value on a recurring basis | Fair value | Corporate debt securities | ' | ' |
Assets: | ' | ' |
Marketable securities | 78,581 | 1,008 |
Fair value on a recurring basis | Fair value | Equity securities | ' | ' |
Assets: | ' | ' |
Marketable securities | 3,030 | 4,996 |
Long-term investments: | 9,516 | 11,711 |
Fair value on a recurring basis | Fair value | Auction rate security | ' | ' |
Assets: | ' | ' |
Long-term investments: | $9,250 | $8,920 |
FAIR_VALUE_MEASUREMENTS_AND_FI3
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS (Details 1) | 6 Months Ended | 12 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
USD ($) | USD ($) | USD ($) | Twoo [Member] | Twoo [Member] | Auction rate security | Auction rate security | Auction rate security | Auction rate security | Auction rate security | Contingent Consideration Arrangement | Contingent Consideration Arrangement | Contingent Consideration Arrangement | Contingent Consideration Arrangement | |
USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||
Assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($527,000) | ($4,249,000) | ($500,000) | ($5,707,000) |
Changes in assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period, assets | ' | ' | ' | ' | ' | 9,150,000 | 8,580,000 | 8,920,000 | 8,100,000 | 8,100,000 | ' | ' | ' | ' |
Total net gains (losses) included in other comprehensive income (loss) | ' | ' | ' | ' | ' | 100,000 | 180,000 | 330,000 | 660,000 | ' | ' | ' | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Other Comprehensive Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 499,000 | -368,000 | 136,000 | -368,000 |
Balance at the end of the period, assets | ' | ' | ' | ' | ' | 9,250,000 | 8,760,000 | 9,250,000 | 8,760,000 | 8,920,000 | ' | ' | ' | ' |
Changes in liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -48,758,000 | -44,577,000 | -45,828,000 | -1,909,000 |
Fair value at date of acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,835,000 | -41,387,000 |
Settlements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,389,000 | 12,000 | 7,630,000 | 189,000 |
Balance at the end of the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -41,397,000 | -49,182,000 | -41,397,000 | -49,182,000 |
Auction rate securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cost basis | ' | ' | ' | ' | ' | 10,000,000 | ' | 10,000,000 | ' | 0 | ' | ' | ' | ' |
Gross unrealized losses | 59,000 | ' | 0 | ' | ' | ' | ' | 800,000 | ' | 1,100,000 | ' | ' | ' | ' |
Acquisition information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition Contingent Consideration Maximum Amount At Balance Sheet date | 158,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition Contingent Consideration Fair Value at Balance Sheet Date With A Maximum Limit | 40,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition Contingent Consideration Fair value at Balance Sheet Date Without a Limit | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition-related contingent consideration payment | 7,373,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | ' | ' | ' | 105,900,000 | 77,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value of contingent consideration discount rate for risk | ' | ' | ' | 15.00% | 15.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition, Contingent Consideration, at Fair Value, Current | 10,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition, Contingent Consideration, at Fair Value, Noncurrent | 31,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Assets measured at fair value on a nonrecurring basis | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cost Method Investments | 85,700,000 | ' | 137,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cost-method Investments, Other than Temporary Impairment | 64,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity Method Investment, Other than Temporary Impairment | $4,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
FAIR_VALUE_MEASUREMENTS_AND_FI4
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS (Details 2) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | ' |
Long-term debt | $1,080,000 | $1,080,000 |
Reported Value Measurement [Member] | ' | ' |
Assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | ' |
Long-term debt | 1,080,000 | 1,080,000 |
Fair value | ' | ' |
Assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ' | ' |
Long-term Debt, Fair Value | $1,109,517 | $1,058,396 |
LONGTERM_DEBT_Details
LONG-TERM DEBT (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Nov. 15, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Dec. 21, 2012 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Dec. 21, 2012 |
Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Bonds | Bonds | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | |||
4.875% Senior Notes due November 30, 2018 | 4.875% Senior Notes due November 30, 2018 | 4.875% Senior Notes due November 30, 2018 | 4.75% Senior Notes Due December 2022 | 4.75% Senior Notes Due December 2022 | 4.75% Senior Notes Due December 2022 | 5% New York City Industrial Development Agency Bonds due September 2035 | 5% New York City Industrial Development Agency Bonds due September 2035 | ||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total long-term debt | $1,080,000,000 | $1,080,000,000 | $500,000,000 | $500,000,000 | ' | $500,000,000 | $500,000,000 | ' | $80,000,000 | $80,000,000 | ' | ' | ' |
Stated rate | ' | ' | 4.88% | 4.88% | ' | 4.75% | 4.75% | ' | 5.00% | 5.00% | ' | ' | ' |
Line of Credit Facility [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit, maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000,000 |
Line of credit, amount outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | ' |
Line of credit, commitment fee percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.25% | 0.25% | ' |
Maximum leverage ratio | ' | ' | ' | ' | 3 | ' | ' | 3 | ' | ' | ' | ' | 3 |
ACCUMULATED_OTHER_COMPREHENSIV2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning Balance | ' | ' | ($13,046,000) | ' |
Net current period other comprehensive loss | -2,326,000 | 12,589,000 | 2,940,000 | -810,000 |
Ending Balance | -9,906,000 | ' | -9,906,000 | ' |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax | 100,000 | 700,000 | 700,000 | -100,000 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Tax | 800,000 | ' | 800,000 | ' |
Foreign Currency Translation Adjustment | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning Balance | -15,132,000 | -32,024,000 | -20,352,000 | -25,073,000 |
Other comprehensive income before reclassifications, net of tax provision related to unrealized gains on available-for-sale securities | -150,000 | -5,278,000 | 5,070,000 | -12,229,000 |
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | 0 | 0 | 0 | 0 |
Net current period other comprehensive loss | -150,000 | -5,278,000 | 5,070,000 | -12,229,000 |
Ending Balance | -15,282,000 | -37,302,000 | -15,282,000 | -37,302,000 |
Unrealized Gains (Losses)On Available-For-Sale Securities | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning Balance | 7,435,000 | -12,072,000 | 7,306,000 | -7,096,000 |
Other comprehensive income before reclassifications, net of tax provision related to unrealized gains on available-for-sale securities | -799,000 | 17,187,000 | -670,000 | 12,212,000 |
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | -1,260,000 | 0 | -1,260,000 | -1,000 |
Net current period other comprehensive loss | -2,059,000 | 17,187,000 | -1,930,000 | 12,211,000 |
Ending Balance | 5,376,000 | 5,115,000 | 5,376,000 | 5,115,000 |
Accumulated Other Comprehensive Income (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning Balance | -7,697,000 | -44,096,000 | -13,046,000 | -32,169,000 |
Other comprehensive income before reclassifications, net of tax provision related to unrealized gains on available-for-sale securities | -949,000 | 11,909,000 | 4,400,000 | -17,000 |
Amounts reclassified from accumulated other comprehensive loss, net of tax benefit of $0.8 million related to unrealized losses on available-for-sale securities | -1,260,000 | 0 | -1,260,000 | -1,000 |
Net current period other comprehensive loss | -2,209,000 | 11,909,000 | 3,140,000 | -18,000 |
Ending Balance | ($9,906,000) | ($32,187,000) | ($9,906,000) | ($32,187,000) |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Numerator: Basic | ' | ' | ' | ' |
Earnings from continuing operations | ($17,995) | $58,540 | $16,310 | $111,249 |
Net loss attributable to noncontrolling interests | 867 | 818 | 3,261 | 2,690 |
Earnings from continuing operations attributable to IAC shareholders | -17,128 | 59,358 | 19,571 | 113,939 |
Loss from discontinued operations attributable to IAC shareholders | -868 | -1,068 | -1,682 | -2,012 |
Net earnings attributable to IAC shareholders | -17,996 | 58,290 | 17,889 | 111,927 |
Numerator: Diluted | ' | ' | ' | ' |
Earnings from continuing operations | -17,995 | 58,540 | 16,310 | 111,249 |
Net loss attributable to noncontrolling interests | 867 | 818 | 3,261 | 2,690 |
Earnings from continuing operations attributable to IAC shareholders | -17,128 | 59,358 | 19,571 | 113,939 |
Loss from discontinued operations attributable to IAC shareholders | -868 | -1,068 | -1,682 | -2,012 |
Net earnings attributable to IAC shareholders | ($17,996) | $58,290 | $17,889 | $111,927 |
Denominator: Basic | ' | ' | ' | ' |
Weighted average basic shares outstanding | 83,178 | 83,609 | 82,833 | 83,912 |
Denominator: Diluted | ' | ' | ' | ' |
Weighted average basic shares outstanding | 83,178 | 83,609 | 82,833 | 83,912 |
Dilutive securities including stock options and RSUs (in shares) | 0 | 2,954 | 5,150 | 3,058 |
Denominator for earnings per share-weighted average shares (in shares) | 83,178 | 86,563 | 87,983 | 86,970 |
Earnings (loss) per share attributable to IAC shareholders: Basic | ' | ' | ' | ' |
Earnings per share from continuing operations (in dollars per share) | ($0.21) | $0.71 | $0.24 | $1.36 |
Discontinued operations (in dollars per share) | ($0.01) | ($0.01) | ($0.02) | ($0.03) |
Earnings per share (in dollars per share) | ($0.22) | $0.70 | $0.22 | $1.33 |
Earnings (loss) per share attributable to IAC shareholders: Diluted | ' | ' | ' | ' |
Earnings per share from continuing operations (in dollars per share) | ($0.21) | $0.69 | $0.22 | $1.31 |
Discontinued operations (in dollars per share) | ($0.01) | ($0.02) | ($0.02) | ($0.02) |
Earnings per share (in dollars per share) | ($0.22) | $0.67 | $0.20 | $1.29 |
EARNINGS_PER_SHARE_Details_2
EARNINGS PER SHARE (Details 2) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Anti-dilutive weighted average common shares | ' | ' | ' | ' |
Dilutive securities including stock options and RSUs (in shares) | 0 | 2,954,000 | 5,150,000 | 3,058,000 |
RSUs | ' | ' | ' | ' |
Anti-dilutive weighted average common shares | ' | ' | ' | ' |
Potentially dilutive securities excluded from calculation of diluted earnings per share (in shares) | 11,500,000 | 700,000 | 0 | 3,800,000 |
SEGMENT_INFORMATION_Details
SEGMENT INFORMATION (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 |
Segment reporting information | ' | ' | ' | ' |
Revenue | $756,315 | $799,411 | $1,496,562 | $1,541,660 |
Operating income | 95,690 | 106,696 | 167,402 | 191,247 |
Reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | ' | ' | ' |
Adjusted EBITDA | 141,432 | 157,938 | 249,527 | 284,704 |
Non-Cash Compensation Expense | -16,552 | -11,820 | -26,165 | -24,483 |
Depreciation | -15,257 | -17,036 | -30,075 | -31,052 |
Amortization of Intangibles | -13,406 | -18,137 | -25,385 | -32,215 |
Acquisition-related contingent consideration fair value adjustments | -527 | -4,249 | -500 | -5,707 |
Operating income | 95,690 | 106,696 | 167,402 | 191,247 |
Search & Applications | ' | ' | ' | ' |
Segment reporting information | ' | ' | ' | ' |
Revenue | 395,716 | 427,449 | 793,751 | 824,641 |
Operating income | 77,771 | 89,346 | 148,108 | 176,329 |
Reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | ' | ' | ' |
Adjusted EBITDA | 91,258 | 102,420 | 173,329 | 199,934 |
Non-Cash Compensation Expense | 0 | 0 | 0 | -3 |
Depreciation | -5,082 | -6,413 | -9,547 | -10,278 |
Amortization of Intangibles | -8,405 | -6,661 | -15,674 | -13,324 |
Acquisition-related contingent consideration fair value adjustments | 0 | 0 | 0 | 0 |
Operating income | 77,771 | 89,346 | 148,108 | 176,329 |
The Match Group | ' | ' | ' | ' |
Segment reporting information | ' | ' | ' | ' |
Revenue | 214,314 | 197,987 | 425,501 | 390,862 |
Operating income | 61,198 | 53,129 | 101,001 | 90,488 |
Reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | ' | ' | ' |
Adjusted EBITDA | 69,368 | 67,685 | 116,798 | 115,591 |
Non-Cash Compensation Expense | -170 | -363 | -187 | -206 |
Depreciation | -5,589 | -4,838 | -11,389 | -9,544 |
Amortization of Intangibles | -1,684 | -5,106 | -3,521 | -9,646 |
Acquisition-related contingent consideration fair value adjustments | -727 | -4,249 | -700 | -5,707 |
Operating income | 61,198 | 53,129 | 101,001 | 90,488 |
Media | ' | ' | ' | ' |
Segment reporting information | ' | ' | ' | ' |
Revenue | 36,656 | 57,495 | 73,011 | 102,490 |
Operating income | -9,794 | -2,033 | -18,360 | -9,190 |
Reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | ' | ' | ' |
Adjusted EBITDA | -8,911 | -1,003 | -16,775 | -7,183 |
Non-Cash Compensation Expense | -161 | -213 | -325 | -418 |
Depreciation | -224 | -524 | -506 | -1,047 |
Amortization of Intangibles | -698 | -293 | -954 | -542 |
Acquisition-related contingent consideration fair value adjustments | 200 | 0 | 200 | 0 |
Operating income | -9,794 | -2,033 | -18,360 | -9,190 |
eCommerce | ' | ' | ' | ' |
Segment reporting information | ' | ' | ' | ' |
Revenue | 109,949 | 116,591 | 204,791 | 223,888 |
Operating income | 8 | -4,603 | -1,553 | -9,096 |
Reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | ' | ' | ' |
Adjusted EBITDA | 4,523 | 4,467 | 7,327 | 5,190 |
Non-Cash Compensation Expense | 0 | 0 | 0 | 29 |
Depreciation | -1,896 | -2,993 | -3,644 | -5,612 |
Amortization of Intangibles | -2,619 | -6,077 | -5,236 | -8,703 |
Acquisition-related contingent consideration fair value adjustments | 0 | 0 | 0 | 0 |
Operating income | 8 | -4,603 | -1,553 | -9,096 |
Corporate | ' | ' | ' | ' |
Segment reporting information | ' | ' | ' | ' |
Operating income | -33,493 | -29,143 | -61,794 | -57,284 |
Reconciliation of Adjusted EBITDA to operating income (loss) for the entity's reportable segments | ' | ' | ' | ' |
Adjusted EBITDA | -14,806 | -15,631 | -31,152 | -28,828 |
Non-Cash Compensation Expense | -16,221 | -11,244 | -25,653 | -23,885 |
Depreciation | -2,466 | -2,268 | -4,989 | -4,571 |
Amortization of Intangibles | 0 | 0 | 0 | 0 |
Acquisition-related contingent consideration fair value adjustments | 0 | ' | ' | ' |
Operating income | -33,493 | -29,143 | -61,794 | -57,284 |
Total Eliminations | ' | ' | ' | ' |
Segment reporting information | ' | ' | ' | ' |
Revenue | ($320) | ($111) | ($492) | ($221) |
SEGMENT_INFORMATION_Details_2
SEGMENT INFORMATION (Details 2) (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 |
Revenue and long-lived assets by geography | ' | ' | ' | ' | ' |
Revenue | $756,315 | $799,411 | $1,496,562 | $1,541,660 | ' |
Long-lived assets (excluding goodwill and intangible assets) | 291,289 | ' | 291,289 | ' | 293,964 |
United States | ' | ' | ' | ' | ' |
Revenue and long-lived assets by geography | ' | ' | ' | ' | ' |
Revenue | 511,862 | 551,880 | 1,016,265 | 1,066,494 | ' |
Long-lived assets (excluding goodwill and intangible assets) | 269,746 | ' | 269,746 | ' | 271,916 |
All Other Countries [Member] | ' | ' | ' | ' | ' |
Revenue and long-lived assets by geography | ' | ' | ' | ' | ' |
Revenue | 244,453 | 247,531 | 480,297 | 475,166 | ' |
Long-lived assets (excluding goodwill and intangible assets) | $21,543 | ' | $21,543 | ' | $22,048 |
CONTINGENCIES_Details
CONTINGENCIES (Details) | 6 Months Ended |
Jun. 30, 2014 | |
lawsuit | |
Loss Contingency [Abstract] | ' |
Minimum number of lawsuits that could have material impact on the liquidity, results of operations, or financial condition | 1 |
GUARANTOR_AND_NONGUARANTOR_FIN2
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||||
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | $987,326 | $1,100,444 | $678,725 | $749,977 |
Marketable securities | 81,611 | 6,004 | ' | ' |
Accounts receivable, net | 223,436 | 207,408 | ' | ' |
Other current assets | 185,059 | 161,530 | ' | ' |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 291,289 | 293,964 | ' | ' |
Goodwill | 1,720,650 | 1,675,323 | ' | ' |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 470,361 | 445,336 | ' | ' |
Other non-current assets | 88,259 | 164,685 | ' | ' |
TOTAL ASSETS | 4,167,478 | 4,234,684 | ' | ' |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Accounts payable, trade | 58,569 | 77,653 | ' | ' |
Long-term debt | 1,080,000 | 1,080,000 | ' | ' |
Income taxes payable | 420,408 | 416,384 | ' | ' |
Other long-term liabilities | 52,419 | 58,393 | ' | ' |
Redeemable noncontrolling interests | 24,137 | 42,861 | ' | ' |
IAC shareholders' equity | 1,672,928 | 1,686,736 | ' | ' |
Noncontrolling interests | 1,899 | 42,665 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 4,167,478 | 4,234,684 | ' | ' |
IAC | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | 732,792 | 782,022 | 413,467 | 501,075 |
Marketable securities | 78,581 | 1,007 | ' | ' |
Accounts receivable, net | 10 | 38 | ' | ' |
Other current assets | 40,425 | 45,111 | ' | ' |
Intercompany receivables | 0 | 0 | ' | ' |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 6,229 | 5,316 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 0 | 0 | ' | ' |
Investment in subsidiaries | 3,904,440 | 3,833,751 | ' | ' |
Other non-current assets | 70,343 | 83,207 | ' | ' |
TOTAL ASSETS | 4,832,820 | 4,750,452 | ' | ' |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Accounts payable, trade | 3,712 | 4,310 | ' | ' |
Other Liabilities, Current | 32,195 | 41,623 | ' | ' |
Long-term debt | 1,000,000 | 1,000,000 | ' | ' |
Income taxes payable | 386,753 | 383,926 | ' | ' |
Intercompany liabilities | 1,509,011 | 1,416,453 | ' | ' |
Other long-term liabilities | 228,221 | 217,404 | ' | ' |
Redeemable noncontrolling interests | 0 | 0 | ' | ' |
IAC shareholders' equity | 1,672,928 | 1,686,736 | ' | ' |
Noncontrolling interests | 0 | 0 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 4,832,820 | 4,750,452 | ' | ' |
Guarantor Subsidiaries | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Marketable securities | 0 | 0 | ' | ' |
Accounts receivable, net | 142,486 | 135,651 | ' | ' |
Other current assets | 88,193 | 76,572 | ' | ' |
Intercompany receivables | 620,647 | 569,030 | ' | ' |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 219,466 | 221,386 | ' | ' |
Goodwill | 1,212,699 | 1,180,159 | ' | ' |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 308,170 | 302,082 | ' | ' |
Investment in subsidiaries | 822,242 | 782,840 | ' | ' |
Other non-current assets | 26,184 | 15,521 | ' | ' |
TOTAL ASSETS | 3,440,087 | 3,283,241 | ' | ' |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Accounts payable, trade | 23,852 | 51,525 | ' | ' |
Other Liabilities, Current | 292,415 | 280,549 | ' | ' |
Long-term debt | 80,000 | 80,000 | ' | ' |
Income taxes payable | 7,785 | 6,768 | ' | ' |
Intercompany liabilities | 0 | 0 | ' | ' |
Other long-term liabilities | 98,506 | 96,239 | ' | ' |
Redeemable noncontrolling interests | 0 | 0 | ' | ' |
IAC shareholders' equity | 2,937,529 | 2,768,160 | ' | ' |
Noncontrolling interests | 0 | 0 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 3,440,087 | 3,283,241 | ' | ' |
Non-Guarantor Subsidiaries | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | 254,534 | 318,422 | 265,258 | 248,902 |
Marketable securities | 3,030 | 4,997 | ' | ' |
Accounts receivable, net | 80,940 | 71,719 | ' | ' |
Other current assets | 60,904 | 40,661 | ' | ' |
Intercompany receivables | 888,364 | 847,423 | ' | ' |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 65,594 | 67,262 | ' | ' |
Goodwill | 507,951 | 495,164 | ' | ' |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 162,191 | 143,254 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other non-current assets | 119,709 | 252,576 | ' | ' |
TOTAL ASSETS | 2,143,217 | 2,241,478 | ' | ' |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Accounts payable, trade | 31,005 | 21,818 | ' | ' |
Other Liabilities, Current | 204,551 | 187,072 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Income taxes payable | 25,870 | 25,690 | ' | ' |
Intercompany liabilities | 0 | 0 | ' | ' |
Other long-term liabilities | 66,602 | 72,941 | ' | ' |
Redeemable noncontrolling interests | 24,137 | 42,861 | ' | ' |
IAC shareholders' equity | 1,789,153 | 1,848,431 | ' | ' |
Noncontrolling interests | 1,899 | 42,665 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 2,143,217 | 2,241,478 | ' | ' |
Total Eliminations | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Marketable securities | 0 | 0 | ' | ' |
Accounts receivable, net | 0 | 0 | ' | ' |
Other current assets | -4,463 | -814 | ' | ' |
Intercompany receivables | -1,509,011 | -1,416,453 | ' | ' |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 0 | 0 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 0 | 0 | ' | ' |
Investment in subsidiaries | -4,726,682 | -4,616,591 | ' | ' |
Other non-current assets | -8,490 | -6,629 | ' | ' |
TOTAL ASSETS | -6,248,646 | -6,040,487 | ' | ' |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Accounts payable, trade | 0 | 0 | ' | ' |
Other Liabilities, Current | 0 | 0 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Income taxes payable | 0 | 0 | ' | ' |
Intercompany liabilities | -1,509,011 | -1,416,453 | ' | ' |
Other long-term liabilities | -12,953 | -7,443 | ' | ' |
Redeemable noncontrolling interests | 0 | 0 | ' | ' |
IAC shareholders' equity | -4,726,682 | -4,616,591 | ' | ' |
Noncontrolling interests | 0 | 0 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | -6,248,646 | -6,040,487 | ' | ' |
IAC Consolidated | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | 987,326 | 1,100,444 | 678,725 | 749,977 |
Marketable securities | 81,611 | 6,004 | ' | ' |
Accounts receivable, net | 223,436 | 207,408 | ' | ' |
Other current assets | 185,059 | 161,530 | ' | ' |
Intercompany receivables | 0 | 0 | ' | ' |
Property and equipment, net of accumulated depreciation and amortization of $277,966 and $265,298, respectively | 291,289 | 293,964 | ' | ' |
Goodwill | 1,720,650 | 1,675,323 | ' | ' |
Intangible assets, net of accumulated amortization of $85,407 and $83,310, respectively | 470,361 | 445,336 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other non-current assets | 207,746 | 344,675 | ' | ' |
TOTAL ASSETS | 4,167,478 | 4,234,684 | ' | ' |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Accounts payable, trade | 58,569 | 77,653 | ' | ' |
Other Liabilities, Current | 529,161 | 509,244 | ' | ' |
Long-term debt | 1,080,000 | 1,080,000 | ' | ' |
Income taxes payable | 420,408 | 416,384 | ' | ' |
Intercompany liabilities | 0 | 0 | ' | ' |
Other long-term liabilities | 380,376 | 379,141 | ' | ' |
Redeemable noncontrolling interests | 24,137 | 42,861 | ' | ' |
IAC shareholders' equity | 1,672,928 | 1,686,736 | ' | ' |
Noncontrolling interests | 1,899 | 42,665 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $4,167,478 | $4,234,684 | ' | ' |
GUARANTOR_AND_NONGUARANTOR_FIN3
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Details2) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' |
Revenue | $756,315 | $799,411 | $1,496,562 | $1,541,660 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | 211,100 | 272,822 | 420,294 | 528,671 |
Selling and marketing expense | 272,786 | 247,153 | 571,498 | 490,067 |
General and administrative expense | 109,719 | 103,515 | 204,535 | 199,239 |
Product development expense | 38,357 | 34,052 | 77,373 | 69,169 |
Depreciation | 15,257 | 17,036 | 30,075 | 31,052 |
Amortization of intangibles | 13,406 | 18,137 | 25,385 | 32,215 |
Total operating costs and expenses | 660,625 | 692,715 | 1,329,160 | 1,350,413 |
Operating income | 95,690 | 106,696 | 167,402 | 191,247 |
Equity in losses of unconsolidated affiliates | -6,850 | -1,078 | -8,785 | -1,169 |
Interest expense | -14,046 | -7,658 | -28,110 | -15,321 |
Other (expense) income, net | -62,900 | -4 | -62,923 | 1,654 |
Earnings from continuing operations before income taxes | 11,894 | 97,956 | 67,584 | 176,411 |
Income tax provision | -29,889 | -39,416 | -51,274 | -65,162 |
(Loss) earnings from continuing operations | -17,995 | 58,540 | 16,310 | 111,249 |
Loss from discontinued operations, net of tax | -868 | -1,068 | -1,682 | -2,012 |
Net (loss) earnings | -18,863 | 57,472 | 14,628 | 109,237 |
Net loss attributable to noncontrolling interests | 867 | 818 | 3,261 | 2,690 |
Net earnings attributable to IAC shareholders | -17,996 | 58,290 | 17,889 | 111,927 |
Comprehensive income attributable to IAC shareholders | -20,205 | 70,199 | 21,029 | 111,909 |
IAC | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' |
Revenue | 0 | 0 | 0 | 0 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | 383 | 549 | 355 | 1,226 |
Selling and marketing expense | 619 | 710 | 811 | 1,141 |
General and administrative expense | 26,609 | 23,582 | 49,055 | 45,827 |
Product development expense | 1,705 | 867 | 3,176 | 1,766 |
Depreciation | 312 | 344 | 641 | 711 |
Amortization of intangibles | 0 | 0 | 0 | 0 |
Total operating costs and expenses | 29,628 | 26,052 | 54,038 | 50,671 |
Operating income | -29,628 | -26,052 | -54,038 | -50,671 |
Equity in losses of unconsolidated affiliates | 5,112 | 75,927 | 59,394 | 190,477 |
Interest expense | -12,985 | -6,515 | -25,970 | -13,072 |
Other (expense) income, net | 9,689 | 3,109 | 19,388 | -52,339 |
Earnings from continuing operations before income taxes | -27,812 | 46,469 | -1,226 | 74,395 |
Income tax provision | 10,684 | 12,889 | 20,797 | 39,544 |
(Loss) earnings from continuing operations | -17,128 | 59,358 | 19,571 | 113,939 |
Loss from discontinued operations, net of tax | -868 | -1,068 | -1,682 | -2,012 |
Net (loss) earnings | -17,996 | 58,290 | 17,889 | 111,927 |
Net loss attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net earnings attributable to IAC shareholders | -17,996 | 58,290 | 17,889 | 111,927 |
Comprehensive income attributable to IAC shareholders | -20,205 | 70,199 | 21,029 | 111,909 |
Guarantor Subsidiaries | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' |
Revenue | 556,162 | 576,605 | 1,102,488 | 1,113,443 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | 124,935 | 161,166 | 253,096 | 319,041 |
Selling and marketing expense | 219,959 | 201,025 | 456,049 | 386,941 |
General and administrative expense | 49,415 | 46,993 | 96,131 | 89,849 |
Product development expense | 26,769 | 24,779 | 54,215 | 48,787 |
Depreciation | 9,224 | 12,142 | 18,784 | 21,535 |
Amortization of intangibles | 9,659 | 12,399 | 18,660 | 21,449 |
Total operating costs and expenses | 439,961 | 458,504 | 896,935 | 887,602 |
Operating income | 116,201 | 118,101 | 205,553 | 225,841 |
Equity in losses of unconsolidated affiliates | 1,535 | 7,728 | -114 | 10,123 |
Interest expense | -1,052 | -1,078 | -2,094 | -2,143 |
Other (expense) income, net | -10,072 | -9,331 | -18,706 | -27,518 |
Earnings from continuing operations before income taxes | 106,612 | 115,420 | 184,639 | 206,303 |
Income tax provision | -39,785 | -41,863 | -69,730 | -74,511 |
(Loss) earnings from continuing operations | 66,827 | 73,557 | 114,909 | 131,792 |
Loss from discontinued operations, net of tax | 0 | 0 | 0 | 0 |
Net (loss) earnings | 66,827 | 73,557 | 114,909 | 131,792 |
Net loss attributable to noncontrolling interests | -9 | 404 | 0 | 412 |
Net earnings attributable to IAC shareholders | 66,818 | 73,961 | 114,909 | 132,204 |
Comprehensive income attributable to IAC shareholders | 66,154 | 73,897 | 114,629 | 132,066 |
Non-Guarantor Subsidiaries | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' |
Revenue | 203,497 | 223,965 | 400,404 | 430,413 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | 86,469 | 112,107 | 168,490 | 210,183 |
Selling and marketing expense | 54,647 | 45,570 | 118,775 | 102,394 |
General and administrative expense | 33,682 | 32,947 | 59,323 | 63,571 |
Product development expense | 10,114 | 8,406 | 20,554 | 18,616 |
Depreciation | 5,721 | 4,550 | 10,650 | 8,806 |
Amortization of intangibles | 3,747 | 5,738 | 6,725 | 10,766 |
Total operating costs and expenses | 194,380 | 209,318 | 384,517 | 414,336 |
Operating income | 9,117 | 14,647 | 15,887 | 16,077 |
Equity in losses of unconsolidated affiliates | 64 | -131 | 37 | -223 |
Interest expense | -9 | -65 | -46 | -106 |
Other (expense) income, net | -62,517 | 6,218 | -63,605 | 81,511 |
Earnings from continuing operations before income taxes | -53,345 | 20,669 | -47,727 | 97,259 |
Income tax provision | -788 | -10,442 | -2,341 | -30,195 |
(Loss) earnings from continuing operations | -54,133 | 10,227 | -50,068 | 67,064 |
Loss from discontinued operations, net of tax | -27 | 4 | -40 | 11 |
Net (loss) earnings | -54,160 | 10,231 | -50,108 | 67,075 |
Net loss attributable to noncontrolling interests | 876 | 414 | 3,261 | 2,278 |
Net earnings attributable to IAC shareholders | -53,284 | 10,645 | -46,847 | 69,353 |
Comprehensive income attributable to IAC shareholders | -55,870 | 5,147 | -45,764 | 47,763 |
Total Eliminations | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' |
Revenue | -3,344 | -1,159 | -6,330 | -2,196 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | -687 | -1,000 | -1,647 | -1,779 |
Selling and marketing expense | -2,439 | -152 | -4,137 | -409 |
General and administrative expense | 13 | -7 | 26 | -8 |
Product development expense | -231 | 0 | -572 | 0 |
Depreciation | 0 | 0 | 0 | 0 |
Amortization of intangibles | 0 | 0 | 0 | 0 |
Total operating costs and expenses | -3,344 | -1,159 | -6,330 | -2,196 |
Operating income | 0 | 0 | 0 | 0 |
Equity in losses of unconsolidated affiliates | -13,561 | -84,602 | -68,102 | -201,546 |
Interest expense | 0 | 0 | 0 | 0 |
Other (expense) income, net | 0 | 0 | 0 | 0 |
Earnings from continuing operations before income taxes | -13,561 | -84,602 | -68,102 | -201,546 |
Income tax provision | 0 | 0 | 0 | 0 |
(Loss) earnings from continuing operations | -13,561 | -84,602 | -68,102 | -201,546 |
Loss from discontinued operations, net of tax | 27 | -4 | 40 | -11 |
Net (loss) earnings | -13,534 | -84,606 | -68,062 | -201,557 |
Net loss attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net earnings attributable to IAC shareholders | -13,534 | -84,606 | -68,062 | -201,557 |
Comprehensive income attributable to IAC shareholders | -10,284 | -79,044 | -68,865 | -179,829 |
IAC Consolidated | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' |
Revenue | 756,315 | 799,411 | 1,496,562 | 1,541,660 |
Operating costs and expenses: | ' | ' | ' | ' |
Cost of revenue (exclusive of depreciation shown separately below) | 211,100 | 272,822 | 420,294 | 528,671 |
Selling and marketing expense | 272,786 | 247,153 | 571,498 | 490,067 |
General and administrative expense | 109,719 | 103,515 | 204,535 | 199,239 |
Product development expense | 38,357 | 34,052 | 77,373 | 69,169 |
Depreciation | 15,257 | 17,036 | 30,075 | 31,052 |
Amortization of intangibles | 13,406 | 18,137 | 25,385 | 32,215 |
Total operating costs and expenses | 660,625 | 692,715 | 1,329,160 | 1,350,413 |
Operating income | 95,690 | 106,696 | 167,402 | 191,247 |
Equity in losses of unconsolidated affiliates | -6,850 | -1,078 | -8,785 | -1,169 |
Interest expense | -14,046 | -7,658 | -28,110 | -15,321 |
Other (expense) income, net | -62,900 | -4 | -62,923 | 1,654 |
Earnings from continuing operations before income taxes | 11,894 | 97,956 | 67,584 | 176,411 |
Income tax provision | -29,889 | -39,416 | -51,274 | -65,162 |
(Loss) earnings from continuing operations | -17,995 | 58,540 | 16,310 | 111,249 |
Loss from discontinued operations, net of tax | -868 | -1,068 | -1,682 | -2,012 |
Net (loss) earnings | -18,863 | 57,472 | 14,628 | 109,237 |
Net loss attributable to noncontrolling interests | 867 | 818 | 3,261 | 2,690 |
Net earnings attributable to IAC shareholders | -17,996 | 58,290 | 17,889 | 111,927 |
Comprehensive income attributable to IAC shareholders | ($20,205) | $70,199 | $21,029 | $111,909 |
GUARANTOR_AND_NONGUARANTOR_FIN4
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Details3) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash (used in) provided by operating activities attributable to continuing operations | $148,771 | $228,263 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | -103,637 | -36,913 |
Capital expenditures | -26,557 | -47,819 |
Proceeds from maturities and sales of marketable debt securities | 998 | 12,502 |
Proceeds from sales of long-term investments | 2,803 | 310 |
Purchases of marketable debt securities | -78,380 | 0 |
Purchases of long-term investments | -14,701 | -25,259 |
Other, net | -616 | -1,443 |
Net cash used in investing activities attributable to continuing operations | -220,090 | -98,622 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | 0 | -15,844 |
Purchase of treasury stock | 0 | -162,660 |
Dividends | -40,086 | -38,880 |
Issuance of common stock, net of withholding taxes | -13,823 | -868 |
Excess tax benefits from stock-based awards | 32,889 | 23,547 |
Purchase of noncontrolling interest | -30,000 | 0 |
Funds returned from escrow for Meetic tender offer | 12,354 | 0 |
Acquisition-related contingent consideration payment | -7,373 | 0 |
Other, net | -141 | -3,634 |
Net cash used in financing activities attributable to continuing operations | -46,180 | -198,339 |
Net Cash Provided by (Used in) Continuing Operations | -117,499 | -68,698 |
Total cash (used in) provided by discontinued operations | -157 | 2,335 |
Effect of exchange rate changes on cash and cash equivalents | 4,538 | -4,889 |
Net increase (decrease) in cash and cash equivalents | -113,118 | -71,252 |
Cash and cash equivalents at beginning of period | 1,100,444 | 749,977 |
Cash and cash equivalents at end of period | 987,326 | 678,725 |
IAC | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash (used in) provided by operating activities attributable to continuing operations | -38,576 | -32,997 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | 0 | 0 |
Capital expenditures | -2,390 | -719 |
Proceeds from maturities and sales of marketable debt securities | 998 | 12,502 |
Proceeds from sales of long-term investments | 0 | 0 |
Purchases of marketable debt securities | -78,380 | ' |
Purchases of long-term investments | -3,000 | -17,362 |
Other, net | 0 | -55 |
Net cash used in investing activities attributable to continuing operations | -82,772 | -5,634 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | ' | -15,844 |
Purchase of treasury stock | ' | -162,660 |
Dividends | -40,086 | -38,880 |
Issuance of common stock, net of withholding taxes | -13,823 | -868 |
Excess tax benefits from stock-based awards | 22,116 | 23,547 |
Purchase of noncontrolling interest | 0 | ' |
Funds returned from escrow for Meetic tender offer | 0 | ' |
Intercompany Financing Activites | 104,410 | 144,320 |
Other, net | -383 | -927 |
Net cash used in financing activities attributable to continuing operations | 72,234 | -51,312 |
Net Cash Provided by (Used in) Continuing Operations | -49,114 | -89,943 |
Total cash (used in) provided by discontinued operations | -116 | 2,335 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | -49,230 | -87,608 |
Cash and cash equivalents at beginning of period | 782,022 | 501,075 |
Cash and cash equivalents at end of period | 732,792 | 413,467 |
Guarantor Subsidiaries | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash (used in) provided by operating activities attributable to continuing operations | 193,388 | 260,013 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | -88,462 | -6,572 |
Capital expenditures | -16,477 | -39,071 |
Proceeds from maturities and sales of marketable debt securities | 0 | 0 |
Proceeds from sales of long-term investments | 0 | 0 |
Purchases of marketable debt securities | 0 | ' |
Purchases of long-term investments | -6,761 | 0 |
Other, net | 11 | 38 |
Net cash used in investing activities attributable to continuing operations | -111,689 | -45,605 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | ' | 0 |
Purchase of treasury stock | ' | ' |
Dividends | ' | ' |
Issuance of common stock, net of withholding taxes | ' | ' |
Excess tax benefits from stock-based awards | ' | ' |
Purchase of noncontrolling interest | -30,000 | ' |
Funds returned from escrow for Meetic tender offer | 0 | ' |
Intercompany Financing Activites | -51,723 | -213,207 |
Other, net | ' | -1,224 |
Net cash used in financing activities attributable to continuing operations | -81,723 | -214,431 |
Net Cash Provided by (Used in) Continuing Operations | -24 | -23 |
Total cash (used in) provided by discontinued operations | ' | ' |
Effect of exchange rate changes on cash and cash equivalents | 24 | 23 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 |
Non-Guarantor Subsidiaries | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash (used in) provided by operating activities attributable to continuing operations | -6,041 | 1,247 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | -15,175 | -30,341 |
Capital expenditures | -7,690 | -8,029 |
Proceeds from maturities and sales of marketable debt securities | 0 | 0 |
Proceeds from sales of long-term investments | 2,803 | 310 |
Purchases of marketable debt securities | 0 | ' |
Purchases of long-term investments | -4,940 | -7,897 |
Other, net | -627 | -1,426 |
Net cash used in investing activities attributable to continuing operations | -25,629 | -47,383 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | ' | 0 |
Purchase of treasury stock | ' | ' |
Dividends | ' | ' |
Issuance of common stock, net of withholding taxes | ' | ' |
Excess tax benefits from stock-based awards | 10,773 | ' |
Purchase of noncontrolling interest | 0 | ' |
Funds returned from escrow for Meetic tender offer | 12,354 | ' |
Acquisition-related contingent consideration payment | -7,373 | ' |
Intercompany Financing Activites | -52,687 | 68,887 |
Other, net | 242 | -1,483 |
Net cash used in financing activities attributable to continuing operations | -36,691 | 67,404 |
Net Cash Provided by (Used in) Continuing Operations | -68,361 | 21,268 |
Total cash (used in) provided by discontinued operations | -41 | ' |
Effect of exchange rate changes on cash and cash equivalents | 4,514 | -4,912 |
Net increase (decrease) in cash and cash equivalents | -63,888 | 16,356 |
Cash and cash equivalents at beginning of period | 318,422 | 248,902 |
Cash and cash equivalents at end of period | 254,534 | 265,258 |
Total Eliminations | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash (used in) provided by operating activities attributable to continuing operations | 0 | 0 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | 0 | 0 |
Capital expenditures | 0 | 0 |
Proceeds from maturities and sales of marketable debt securities | 0 | 0 |
Proceeds from sales of long-term investments | 0 | 0 |
Purchases of marketable debt securities | 0 | ' |
Purchases of long-term investments | 0 | 0 |
Other, net | 0 | 0 |
Net cash used in investing activities attributable to continuing operations | 0 | 0 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | ' | 0 |
Purchase of treasury stock | ' | 0 |
Dividends | 0 | 0 |
Issuance of common stock, net of withholding taxes | 0 | 0 |
Excess tax benefits from stock-based awards | 0 | 0 |
Purchase of noncontrolling interest | 0 | ' |
Funds returned from escrow for Meetic tender offer | 0 | ' |
Intercompany Financing Activites | 0 | 0 |
Other, net | 0 | 0 |
Net cash used in financing activities attributable to continuing operations | 0 | 0 |
Net Cash Provided by (Used in) Continuing Operations | 0 | 0 |
Total cash (used in) provided by discontinued operations | 0 | 0 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 |
IAC Consolidated | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash (used in) provided by operating activities attributable to continuing operations | 148,771 | 228,263 |
Cash flows from investing activities attributable to continuing operations: | ' | ' |
Acquisitions, net of cash acquired | -103,637 | -36,913 |
Capital expenditures | -26,557 | -47,819 |
Proceeds from maturities and sales of marketable debt securities | 998 | 12,502 |
Proceeds from sales of long-term investments | 2,803 | 310 |
Purchases of marketable debt securities | -78,380 | ' |
Purchases of long-term investments | -14,701 | -25,259 |
Other, net | -616 | -1,443 |
Net cash used in investing activities attributable to continuing operations | -220,090 | -98,622 |
Cash flows from financing activities attributable to continuing operations: | ' | ' |
Principal payments on long-term debt | ' | -15,844 |
Purchase of treasury stock | ' | -162,660 |
Dividends | -40,086 | -38,880 |
Issuance of common stock, net of withholding taxes | -13,823 | -868 |
Excess tax benefits from stock-based awards | 32,889 | 23,547 |
Purchase of noncontrolling interest | -30,000 | ' |
Funds returned from escrow for Meetic tender offer | 12,354 | ' |
Acquisition-related contingent consideration payment | -7,373 | ' |
Intercompany Financing Activites | 0 | 0 |
Other, net | -141 | -3,634 |
Net cash used in financing activities attributable to continuing operations | -46,180 | -198,339 |
Net Cash Provided by (Used in) Continuing Operations | -117,499 | -68,698 |
Total cash (used in) provided by discontinued operations | -157 | 2,335 |
Effect of exchange rate changes on cash and cash equivalents | 4,538 | -4,889 |
Net increase (decrease) in cash and cash equivalents | -113,118 | -71,252 |
Cash and cash equivalents at beginning of period | 1,100,444 | 749,977 |
Cash and cash equivalents at end of period | $987,326 | $678,725 |