Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended |
Mar. 31, 2014 | |
Document and Entity Information [Abstract] | ' |
Entity Registrant Name | 'IMAX Corporation |
Entity Central Index Key | '0000921582 |
Document Type | '10-Q |
Document Period End Date | 31-Mar-14 |
Amendment Flag | 'false |
Document Fiscal Year Focus | '2014 |
Document Fiscal Period Focus | 'Q1 |
Current Fiscal Year End Date | '--12-31 |
Entity Well Known Seasoned Issuer | 'Yes |
Entity Voluntary Filers | 'Yes |
Entity Current Reporting Status | 'Yes |
Entity Filer Category | 'Large Accelerated Filer |
Entity Common Stock Shares Outstanding | 67,957,167 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and cash equivalents | $29,692 | $29,546 |
Accounts receivable, net of allowance for doubtful accounts of $838 (December 31, 2013 - $887) | 59,942 | 73,074 |
Financing receivables | 103,752 | 107,110 |
Inventories | 13,798 | 9,825 |
Prepaid expenses | 4,641 | 3,602 |
Film assets | 6,714 | 7,076 |
Property, plant and equipment | 141,875 | 132,847 |
Other assets | 27,173 | 27,034 |
Deferred income taxes | 24,402 | 24,259 |
Other intangible assets | 27,230 | 27,745 |
Goodwill | 39,027 | 39,027 |
Total assets | 478,246 | 481,145 |
Liabilities | ' | ' |
Accounts payable | 14,319 | 19,396 |
Accrued and other liabilities | 57,745 | 65,232 |
Deferred revenue | 83,409 | 76,932 |
Total liabilities | 155,473 | 161,560 |
Commitments and contingencies | ' | ' |
Shareholders' equity | ' | ' |
Capital stock common shares - no par value. Authorized - unlimited number. Issued and outstanding - 67,957,167 (December 31, 2013 - 67,841,233) | 328,685 | 327,313 |
Other equity | 38,216 | 36,452 |
Accumulated deficit | -42,472 | -43,051 |
Accumulated other comprehensive loss | -1,656 | -1,129 |
Total shareholders' equity | 322,773 | 319,585 |
Total liabilities and shareholders' equity | $478,246 | $481,145 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheet (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Assets | ' | ' |
Allowance for doubtful accounts | $838 | $887 |
Shareholders' equity | ' | ' |
Common stock, share issued | 67,957,167 | 67,841,233 |
Common stock, share outstanding | 67,957,167 | 67,841,233 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Revenues | ' | ' |
Equipment and product sales | $6,354 | $10,679 |
Services | 28,872 | 26,656 |
Rentals | 10,791 | 9,972 |
Finance income | 2,180 | 1,984 |
Other | 0 | 375 |
Revenues | 48,197 | 49,666 |
Costs and expenses applicable to revenues | ' | ' |
Equipment and product sales | 3,719 | 5,059 |
Services | 14,350 | 14,964 |
Rentals | 3,720 | 3,453 |
Other | 0 | 0 |
Cost and expenses applicable to revenues, total | 21,789 | 23,476 |
Gross margin | 26,408 | 26,190 |
Selling, general and administrative expenses (including share-based compensation expense of $3.2 million for the three months ended March 31, 2014 (2013 - $2.8 million)) | 21,312 | 19,661 |
Gain on curtailment of postretirement benefit plan | 0 | -2,185 |
Research and development | 3,599 | 3,634 |
Amortization of intangibles | 402 | 364 |
Receivable provisions, net of recoveries | 287 | 0 |
Income from operations | 808 | 4,716 |
Interest income | 16 | 13 |
Interest expense | -266 | -345 |
Income from operations before income taxes | 558 | 4,384 |
Provision for income taxes | -72 | -1,203 |
Loss from equity-accounted investments, net of tax | -262 | -220 |
Net income from continuing operations | 224 | 2,961 |
Net income (loss) from discontinued operations, net of tax | 355 | -100 |
Net income | $579 | $2,861 |
Net income per share - basic and diluted: | ' | ' |
Net income per share from continuing operations - basic | $0 | $0.04 |
Net income per share from discontinued operations - basic | $0.01 | $0 |
Net income per share - basic | $0.01 | $0.04 |
Net income per share from continuing operations - diluted | $0 | $0.04 |
Net income per share from discontinued operations - diluted | $0.01 | $0 |
Net income per share - diluted | $0.01 | $0.04 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Operations (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Condensed Consolidated Statements of Operations [Abstract] | ' | ' |
Compensation costs | $3.20 | $2.80 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net income | $579 | $2,861 |
Unrealized net loss from cash flow hedging instruments | -810 | -302 |
Realization of cash flow hedging net loss (gain) upon settlement | 248 | -130 |
Foreign currency translation adjustments | -146 | -348 |
Gain on curtailment of postretirement benefit plan | 0 | 398 |
Amortization of defined benefit plan actuarial loss | 0 | 111 |
Other comprehensive loss, before tax | -708 | -271 |
Income tax expense related to other comprehensive loss | 181 | 68 |
Other comprehensive loss, net of tax | -527 | -203 |
Comprehensive income | $52 | $2,658 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Operating Activities | ' | ' |
Net income | $579 | $2,861 |
Net (income) loss from discontinued operations | -355 | 100 |
Adjustments to reconcile net income to cash from operations: | ' | ' |
Depreciation and amortization | 7,555 | 8,591 |
Write-downs, net of recoveries | 518 | 0 |
Change in deferred income taxes | -75 | 904 |
Stock and other non-cash compensation | 3,281 | 3,000 |
Gain on curtailment of postretirement benefit plan | 0 | -2,185 |
Unrealized foreign currency exchange loss | 646 | 189 |
Loss from equity-accounted investments | 346 | 220 |
Investment in film assets | -1,888 | -3,866 |
Changes in other non-cash operating assets and liabilities | 2,755 | -10,703 |
Net cash provided by (used in) operating activities from discontinued operations | 572 | -100 |
Net cash provided by (used in) operating activities | 13,934 | -989 |
Investing Activities | ' | ' |
Purchase of property, plant and equipment | -7,927 | -3,315 |
Investment in joint revenue sharing equipment | -5,506 | -8,717 |
Acquisition of other intangible assets | -287 | -778 |
Net cash used in investing activities | -13,720 | -12,810 |
Financing Activities | ' | ' |
Common shares issued - stock options exercised | 742 | 2,485 |
Settlement of restricted share units | -789 | 0 |
Increase in bank indebtedness | 0 | 12,000 |
Repayment of bank indebtedness | 0 | -5,000 |
Credit facility amendment fees paid | 0 | -1,881 |
Net cash (used in) provided by financing activities | -47 | 7,604 |
Effects of exchange rate changes on cash | -21 | 17 |
Increase (decrease) in cash and cash equivalents during the period | 146 | -6,178 |
Cash and cash equivalents, beginning of period | 29,546 | 21,336 |
Cash and cash equivalents, end of period | $29,692 | $15,158 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2014 | |
Basis of Presentation and Condensed Consolidated Statements of Operations Supplemental Information [Abstract] | ' |
Basis of Presentation | ' |
IMAX CORPORATION | |
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS | |
(Tabular amounts in thousands of U.S. dollars unless otherwise stated) | |
(Unaudited) | |
1. Basis of Presentation | |
IMAX Corporation, together with its wholly-owned subsidiaries (the “Company”), prepares its financial statements in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”). | |
The condensed consolidated financial statements include the accounts of the Company together with its wholly-owned subsidiaries, except for subsidiaries which the Company has identified as variable interest entities (“VIEs”) where the Company is not the primary beneficiary. The nature of the Company's business is such that the results of operations for the interim periods presented are not necessarily indicative of results to be expected for the fiscal year. In the opinion of management, the information contained herein reflects all normal and recurring adjustments necessary to make the results of operations for the interim periods a fair statement of such operations. | |
The Company has evaluated its various variable interests to determine whether they are VIEs as required by the Consolidation Topic of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC” or “Codification”). The Company has 10 film production companies that are VIEs. For 3 of the Company's film production companies, the Company has determined that it is the primary beneficiary of these entities as the Company has the power to direct the activities of the respective VIE that most significantly impact the respective VIE's economic performance and has the obligation to absorb losses of the VIE that could potentially be significant to the respective VIE or the right to receive benefits from the respective VIE that could potentially be significant to the respective VIE. The Company continues to consolidate these entities, with no material impact on the operating results or financial condition of the Company, as these production companies have total assets of $0.4 million and total liabilities of $nil as at March 31, 2014 (December 31, 2013 — assets and liabilities of $nil, respectively). For the other 7 film production companies which are VIEs, the Company did not consolidate these film entities since it does not have the power to direct activities and does not absorb the majority of the expected losses or expected residual returns. The Company equity accounts for these entities. As at March 31, 2014, these 7 VIEs have total assets of $5.3 million (December 31, 2013 — $5.2 million) and total liabilities of $5.3 million (December 31, 2013 — $5.2 million). Earnings of the investees included in the Company's condensed consolidated statement of operations amounted to $nil for the three months ended March 31, 2014 (2013 — $nil). The carrying value of these investments in VIEs that are not consolidated is $nil at March 31, 2014 (December 31, 2013 — $nil). A loss in value of an investment other than a temporary decline is recognized as a charge to the condensed consolidated statement of operations. The Company's exposure, which is determined based on the level of funding contributed by the Company and the development stage of the respective film, is $1.6 million at March 31, 2014 (December 31, 2013 — $1.5 million). | |
The Company accounts for investments in new business ventures using the guidance of ASC 323 “Investments – Equity Method and Joint Ventures” (“ASC 323”) or ASC 320 − “Investments in Debt and Equity Securities” (“ASC 320”), as appropriate. At March 31, 2014, the equity method of accounting is being utilized for investments with a total carrying value of $1.4 million (December 31, 2013 − $0.4 million). In 2013, the Company contributed $1.4 million, net of its share of costs, to a new business venture in the early-stage of start-up. In the first quarter of 2014, this new business venture was operational. The Company has determined it is not the primary beneficiary of these VIEs, and therefore these entities have not been consolidated. In addition, the Company has an investment in preferred stock of another business venture with a total cost of $1.5 million which meets the criteria for classification as a debt security under ASC 320 and is recorded at a total fair value of $1.0 million at March 31, 2014 (December 31, 2013 – $1.0 million). This investment is classified as an available-for-sale investment. The Company has invested $2.5 million in the preferred shares of an enterprise which meet the criteria for classification as an equity security under ASC 325 − “Investments − Others” (“ASC 325”) and accrued $0.5 million pertaining to warrants related to the respective investment (December 31, 2013 – investment of $2.5 million and $0.5 million pertaining to warrants). The total carrying value of investments in new business ventures at March 31, 2014 and December 31, 2013, is $5.4 million and $5.8 million, respectively, and is recorded in Other Assets. | |
All significant intercompany accounts and transactions, including all unrealized intercompany profits on transactions with equity-accounted investees, have been eliminated. | |
The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP. | |
These interim financial statements should be read in conjunction with the consolidated financial statements included in the Company's 2013 Annual Report on Form 10-K for the year ended December 31, 2013 (“the 2013 Form 10-K”) which should be consulted for a summary of the significant accounting policies utilized by the Company. These interim financial statements are prepared following accounting policies consistent with the Company's financial statements for the year ended December 31, 2013, except as noted below. |
New_Accounting_Standards_and_A
New Accounting Standards and Accounting Changes | 3 Months Ended |
Mar. 31, 2014 | |
New Accounting Standards and Accounting Changes [Abstract] | ' |
New Accounting Standards and Accounting Changes | ' |
2. New Accounting Standards and Accounting Changes | |
The adoption of new accounting policies and recently issued FASB accounting standard codification updates were not material to the Company's condensed consolidated financial statements for the period ended March 31, 2014. | |
Financing_Receivables
Financing Receivables | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Financing Receivables [Abstract] | ' | |||||
Financing Receivables | ' | |||||
3. Financing Receivables | ||||||
Financing receivables, consisting of net investment in sales-type leases and receivables from financed sales of theater systems are as follows: | ||||||
March 31, | December 31, | |||||
2014 | 2013 | |||||
Gross minimum lease payments receivable | $ | 16,862 | $ | 17,475 | ||
Unearned finance income | -2,916 | -3,052 | ||||
Minimum lease payments receivable | 13,946 | 14,423 | ||||
Accumulated allowance for uncollectible amounts | -806 | -806 | ||||
Net investment in leases | 13,140 | 13,617 | ||||
Gross financed sales receivables | 125,293 | 129,398 | ||||
Unearned finance income | -34,193 | -35,669 | ||||
Financed sales receivables | 91,100 | 93,729 | ||||
Accumulated allowance for uncollectible amounts | -488 | -236 | ||||
Net financed sales receivables | 90,612 | 93,493 | ||||
Total financing receivables | $ | 103,752 | $ | 107,110 | ||
Net financed sales receivables due within one year | $ | 16,458 | $ | 17,335 | ||
Net financed sales receivables due after one year | $ | 74,154 | $ | 76,158 | ||
As at March 31, 2014, the financed sale receivables had a weighted average effective interest rate of 10.0% (December 31, 2013 — 9.8%). |
Inventories
Inventories | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Inventories [Abstract] | ' | |||||
Inventories | ' | |||||
4. Inventories | ||||||
March 31, | December 31, | |||||
2014 | 2013 | |||||
Raw materials | $ | 5,842 | $ | 4,321 | ||
Work-in-process | 549 | 500 | ||||
Finished goods | 7,407 | 5,004 | ||||
$ | 13,798 | $ | 9,825 | |||
At March 31, 2014, finished goods inventory for which title had passed to the customer and revenue was deferred amounted to $2.7 million (December 31, 2013 — $1.7 million). | ||||||
During the three months ended March 31, 2014, the Company had write-downs for excess and obsolete inventory based upon current estimates of net realizable value considering future events and conditions of less than $0.1 million (2013 — $nil). | ||||||
Property_Plant_and_Equipment
Property Plant and Equipment | 3 Months Ended | |||||||||
Mar. 31, 2014 | ||||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||||
Property, Plant and Equipment | ' | |||||||||
5. Property, Plant and Equipment | ||||||||||
As at March 31, 2014 | ||||||||||
Accumulated | Net Book | |||||||||
Cost | Depreciation | Value | ||||||||
Equipment leased or held for use | ||||||||||
Theater system components | $ | 161,135 | $ | 54,471 | $ | 106,664 | ||||
Camera equipment | 4,591 | 2,821 | 1,770 | |||||||
165,726 | 57,292 | 108,434 | ||||||||
Assets under construction | 11,140 | - | 11,140 | |||||||
Other property, plant and equipment | ||||||||||
Land | 7,936 | - | 7,936 | |||||||
Buildings | 15,948 | 10,552 | 5,396 | |||||||
Office and production equipment | 27,865 | 19,534 | 8,331 | |||||||
Leasehold improvements | 9,886 | 9,248 | 638 | |||||||
61,635 | 39,334 | 22,301 | ||||||||
$ | 238,501 | $ | 96,626 | $ | 141,875 | |||||
As at December 31, 2013 | ||||||||||
Accumulated | Net Book | |||||||||
Cost | Depreciation | Value | ||||||||
Equipment leased or held for use | ||||||||||
Theater system components | $ | 158,192 | $ | 51,537 | $ | 106,655 | ||||
Camera equipment | 4,591 | 2,736 | 1,855 | |||||||
162,783 | 54,273 | 108,510 | ||||||||
Assets under construction | 8,055 | - | 8,055 | |||||||
Other property, plant and equipment | ||||||||||
Land | 1,593 | - | 1,593 | |||||||
Buildings | 15,832 | 10,410 | 5,422 | |||||||
Office and production equipment | 27,190 | 18,707 | 8,483 | |||||||
Leasehold improvements | 9,884 | 9,100 | 784 | |||||||
54,499 | 38,217 | 16,282 | ||||||||
$ | 225,337 | $ | 92,490 | $ | 132,847 |
Other_Intangible_Assets
Other Intangible Assets | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Other Intangible Assets [Abstract] | ' | ||||||||
Other Intangible Assets | ' | ||||||||
6. Other Intangible Assets | |||||||||
As at March 31, 2014 | |||||||||
Accumulated | Net Book | ||||||||
Cost | Amortization | Value | |||||||
Patents and trademarks | $ | 9,037 | $ | 5,868 | $ | 3,169 | |||
Licenses and intellectual property | 19,990 | 3,654 | 16,336 | ||||||
Other | 8,752 | 1,027 | 7,725 | ||||||
$ | 37,779 | $ | 10,549 | $ | 27,230 | ||||
As at December 31, 2013 | |||||||||
Accumulated | Net Book | ||||||||
Cost | Amortization | Value | |||||||
Patents and trademarks | $ | 8,774 | $ | 5,741 | $ | 3,033 | |||
Licenses and intellectual property | 19,950 | 3,260 | 16,690 | ||||||
Other | 8,843 | 821 | 8,022 | ||||||
$ | 37,567 | $ | 9,822 | $ | 27,745 | ||||
Other intangible assets of $8.8 million are comprised mainly of the Company's investment in an enterprise resource planning system. Fully amortized other intangible assets are still in use by the Company. | |||||||||
During the three months ended March 31, 2014, the Company acquired $0.2 million in other intangible assets. The weighted average amortization period for these additions was 10 years. | |||||||||
During the three months ended March 31, 2014, the Company incurred costs of less than $0.1 million to renew or extend the term of acquired other intangible assets which were recorded in selling, general and administrative expenses (2013 – less than $0.1 million). | |||||||||
As at March 31, 2014, estimated amortization expense for each of the years ended December 31, are as follows: | |||||||||
2014 (nine months remaining) | $ | 2,181 | |||||||
2015 | 2,816 | ||||||||
2016 | 2,632 | ||||||||
2017 | 2,632 | ||||||||
2018 | 2,632 |
Credit_Facility
Credit Facility | 3 Months Ended |
Mar. 31, 2014 | |
Credit Facility [Abstract] | ' |
Credit Facility | ' |
7. Credit Facility | |
On February 7, 2013, the Company amended and restated the terms of its existing senior secured credit facility (the “Prior Credit Facility”). The amended and restated facility (the “Credit Facility”), with a scheduled maturity of February 7, 2018, has a maximum borrowing capacity of $200.0 million. The Prior Credit Facility had a maximum borrowing capacity of $110.0 million. Certain of the Company's subsidiaries serve as guarantors (the “Guarantors”) of the Company's obligations under the Credit Facility. The Credit Facility is collateralized by a first priority security interest in substantially all of the present and future assets of the Company and the Guarantors. On March 14, 2014, the Company amended the terms of the Credit Facility (“Amendment No.1”) to obtain the consent the lenders named therein to allow it to enter into certain corporate transactions, including the recent sale of a 20% interest in IMAX China (Holding), Inc. (“IMAX China”). See note 17 for additional information. | |
Under the Company's amended and restated facility (the “Credit Facility”), the effective interest rate for the three months ended March 31, 2014 for the revolving loan portion was nil as no amounts were outstanding during the period (2013 – 2.66%). | |
The Company was in compliance with all of the covenants under the Credit Facility at March 31, 2014. | |
Total amounts drawn and available under the Credit Facility at March 31, 2014 were $nil and $200.0 million, respectively (December 31, 2013 — $nil and $200.0 million, respectively). | |
Wells Fargo Foreign Exchange Facility | |
Within the Credit Facility, the Company is able to purchase foreign currency forward contracts and/or other swap arrangements. The settlement risk on its foreign currency forward contracts was $1.0 million at March 31, 2014 as the notional value exceeded the fair value of the forward contracts. As at March 31, 2014, the Company has $29.8 million of such arrangements outstanding. | |
Bank of Montreal Facility | |
As at March 31, 2014, the Company has available a $10.0 million facility (December 31, 2013 — $10.0 million) with the Bank of Montreal for use solely in conjunction with the issuance of performance guarantees and letters of credit fully insured by EDC (the “Bank of Montreal Facility”). As at March 31, 2014, the Company has letters of credit and advance payment guarantees outstanding of $0.3 million (December 31, 2013 — $0.3 million) under the Bank of Montreal Facility. | |
Contingencies_and_Guarantees
Contingencies and Guarantees | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Commitments, Contingencies and Guarantees [Abstract] | ' | |||||
Contingencies and Guarantees | ' | |||||
8. Contingencies and Guarantees | ||||||
The Company is involved in lawsuits, claims, and proceedings, including those identified below, which arise in the ordinary course of business. In accordance with the Contingencies Topic of the FASB ASC, the Company will make a provision for a liability when it is both probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company believes it has adequate provisions for any such matters. The Company reviews these provisions in conjunction with any related provisions on assets related to the claims at least quarterly and adjusts these provisions to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel and other pertinent information related to the case. Should developments in any of these matters outlined below cause a change in the Company's determination as to an unfavorable outcome and result in the need to recognize a material provision, or, should any of these matters result in a final adverse judgment or be settled for significant amounts, they could have a material adverse effect on the Company's results of operations, cash flows, and financial position in the period or periods in which such a change in determination, settlement or judgment occurs. | ||||||
The Company expenses legal costs relating to its lawsuits, claims and proceedings as incurred. | ||||||
(a) In March 2005, the Company, together with Three-Dimensional Media Group, Ltd. (“3DMG”), filed a complaint in the U.S. District Court for the Central District of California, Western Division, against In-Three, Inc. (“In-Three”) alleging patent infringement. On March 10, 2006, the Company and In-Three entered into a settlement agreement settling the dispute between the Company and In-Three. Despite the settlement reached between the Company and In-Three, co-plaintiff 3DMG refused to dismiss its claims against In-Three. Accordingly, the Company and In-Three moved jointly for a motion to dismiss the Company's and In-Three's claims. On August 24, 2010, the Court dismissed all of the claims pending between the Company and In-Three, thus dismissing the Company from the litigation. | ||||||
On May 15, 2006, the Company initiated arbitration against 3DMG before the International Centre for Dispute Resolution in New York (the “ICDR”), alleging breaches of the license and consulting agreements between the Company and 3DMG. On June 15, 2006, 3DMG filed an answer denying any breaches and asserting counterclaims that the Company breached the parties' license agreement. On June 21, 2007, the ICDR unanimously denied 3DMG's Motion for Summary Judgment filed on April 11, 2007 concerning the Company's claims and 3DMG's counterclaims. The proceeding was suspended on May 4, 2009 due to failure of 3DMG to pay fees associated with the proceeding. The proceeding was further suspended on October 11, 2010 pending resolution of reexamination proceedings currently pending involving one of 3DMG's patents. The Company will continue to pursue its claims vigorously and believes that all allegations made by 3DMG are without merit. The Company further believes that the amount of loss, if any, suffered in connection with the counterclaims would not have a material impact on the financial position or results of operations of the Company, although no assurance can be given with respect to the ultimate outcome of the arbitration. | ||||||
(b) In January 2004, the Company and IMAX Theatre Services Ltd., a subsidiary of the Company, commenced an arbitration seeking damages before the International Court of Arbitration of the International Chambers of Commerce (the “ICC”) with respect to the breach by Electronic Media Limited (“EML”) of its December 2000 agreement with the Company. In June 2004, the Company commenced a related arbitration before the ICC against EML's affiliate, E-City Entertainment (I) PVT Limited (“E-City”), seeking damages as a result of E-City's breach of a September 2000 lease agreement. An arbitration hearing took place in November 2005 against E-City which considered all claims by the Company. On February 1, 2006, the ICC issued an award on liability finding unanimously in the Company's favor on all claims. Further hearings took place in July 2006 and December 2006. On August 24, 2007, the ICC issued an award unanimously in favor of the Company in the amount of $9.4 million, consisting of past and future rents owed to the Company under its lease agreements, plus interest and costs. In the award, the ICC upheld the validity and enforceability of the Company's theater system contract. The Company thereafter submitted its application to the arbitration panel for interest and costs. On March 27, 2008, the arbitration panel issued a final award in favor of the Company in the amount of $11.3 million, plus an additional $2,512 each day in interest from October 1, 2007 until the date the award is paid, which the Company is seeking to enforce and collect in full. In July 2008, E-City commenced a proceeding in Mumbai, India seeking an order that the ICC award may not be recognized in India. The Company has opposed that application on a number of grounds and seeks to have the ICC award recognized in India. On June 24, 2011, the Company commenced an application to the Ontario Superior Court of Justice for recognition of the final award. On December 2, 2011, the Ontario court issued an order recognizing the final award and requiring E-City to pay the Company $30,000 to cover the costs of the application. On January 18, 2012, the Company filed an application in New York State Supreme Court seeking recognition of the Ontario order in New York. On April 11, 2012, the New York court issued an order granting the Company's application leading to an entry of $15.5 million judgment in favor of the Company on May 4, 2012. On March 11, 2014, E-City moved the Court to vacate this judgment on the ground that the service of process was improper, and this motion is currently pending. On January 30, 2013, the Company filed another action in the New York Supreme Court seeking to collect the amount due under the New York judgment from certain entities and individuals affiliated with E-City. On June 13, 2013, the Bombay High Court ruled that it has jurisdiction over the proceeding but on November 19, 2013, the Supreme Court of India stayed proceedings in the High Court pending Supreme Court review of the High Court's ruling. The defendants in the New York action have answered and objected to the Company's petition, and they have moved to dismiss for improper service of process. The New York Court heard oral arguments on August 20, 2013 and April 3, 2014 and has taken the matter under advisement. | ||||||
(c) The Company and certain of its officers and directors were named as defendants in eight purported class action lawsuits filed between August 11, 2006 and September 18, 2006, alleging violations of U.S. federal securities laws. These eight actions were filed in the U.S. District Court for the Southern District of New York (the “Court”). On January 18, 2007, the Court consolidated all eight class action lawsuits and appointed Westchester Capital Management, Inc. as the lead plaintiff and Abbey Spanier Rodd & Abrams, LLP as lead plaintiff's counsel. On October 2, 2007, plaintiffs filed a consolidated amended class action complaint. The amended complaint, brought on behalf of shareholders who purchased the Company's common stock on the NASDAQ between February 27, 2003 and July 20, 2007 (the “U.S. Class”), alleges primarily that the defendants engaged in securities fraud by disseminating materially false and misleading statements during the class period regarding the Company's revenue recognition of theater system installations, and failing to disclose material information concerning the Company's revenue recognition practices. The amended complaint also added PricewaterhouseCoopers LLP, the Company's auditors, as a defendant. On April 14, 2011, the Court issued an order appointing The Merger Fund as the lead plaintiff and Abbey Spanier Rodd & Abrams, LLP as lead plaintiff's counsel. On November 2, 2011, the parties entered into a memorandum of understanding containing the terms and conditions of a settlement of this action. On January 26, 2012, the parties executed and filed with the Court a formal stipulation of settlement and proposed form of notice to the class, which the Court preliminarily approved on February 1, 2012. Under the terms of the settlement, members of the U.S. Class who did not opt out of the settlement will release defendants from liability for all claims that were alleged in this action or could have been alleged in this action or any other proceeding (including the action in Canada as described in (d) of this note (the “Canadian Action”) relating to the purchase of IMAX securities on the NASDAQ from February 27, 2003 and July 20, 2007 or the subject matter and facts relating to this action. As part of the settlement and in exchange for the release, defendants will pay $12.0 million to a settlement fund which amount will be funded by the carriers of the Company's directors and officers insurance policy and by PricewaterhouseCoopers LLP. On March 26, 2012, the parties executed and filed with the Court an amended formal stipulation of settlement and proposed form of notice to the class, which the court preliminarily approved on March 28, 2012. On June 20, 2012, the Court issued an order granting final approval of the settlement. The settlement is conditioned on the Company's receipt of an order from the court in the Canadian Action, the Ontario Superior Court of Justice, (the “Canadian Court”) excluding from the class in the Canadian Action every member of the class in both actions who has not opted out of the U.S. settlement. A hearing on the motion for the order occurred on July 30, 2012 before the Canadian Court and on March 19, 2013, the Canadian Court issued a decision granting the Company's motion to exclude from the class in the Canadian Action every member of the classes in both actions who has not opted out of the U.S. settlement. However, no final order will be granted by the Court until the plaintiffs in the Canadian Action have exhausted their appeals. | ||||||
(d) A class action lawsuit was filed on September 20, 2006 in the Canadian Court against the Company and certain of its officers and directors, alleging violations of Canadian securities laws. This lawsuit was brought on behalf of shareholders who acquired the Company's securities between February 17, 2006 and August 9, 2006. The lawsuit seeks $210.0 million in compensatory and punitive damages, as well as costs. For reasons released December 14, 2009, the Canadian Court granted leave to the plaintiffs to amend their statement of claim to plead certain claims pursuant to the Securities Act (Ontario) against the Company and certain individuals (“the Defendants”) and granted certification of the action as a class proceeding. These are procedural decisions, and do not contain any conclusions binding on a judge at trial as to the factual or legal merits of the claim. Leave to appeal those decisions was denied. In March 2013, the Defendants obtained an Order enforcing the settlement Order in the parallel class action in the United States in this Canadian class action lawsuit, with the result that the class in this case was reduced in size by approximately 85%. A motion by the Plaintiffs to appeal that Order was dismissed. The Company believes the allegations made against it in the statement of claim are meritless and will vigorously defend the matter, although no assurance can be given with respect to the ultimate outcome of such proceedings. The Company's directors' and officers' insurance policy provides for reimbursement of costs and expenses incurred in connection with this lawsuit as well as potential damages awarded, if any, subject to certain policy limits, exclusions and deductibles. | ||||||
(e) On June 26, 2013, the Company filed suit against GDC Technology (USA) LLC and certain of its affiliates (collectively, “GDC”) in the U.S. District Court for the Central District of California alleging trade secret misappropriation, unjust enrichment and unfair competition and seeking injunctive relief, compensatory damages, and punitive damages. This action is based on GDC's commercial exploitation of large format digital theater projection system and film conversion technologies, which the lawsuit alleges were stolen from the Company by its former employee, Gary Tsui, and then provided by Tsui to various technology companies in China. The Company's action against GDC alleges that GDC is now knowingly and actively using these trade secrets and marketing large format film projection systems and conversion technology that the Company is informed and believes were derived from and incorporate the trade secrets stolen by Tsui. On August 12, 2013, in light of the complicating effects of the interwoven corporate relationships among the GDC defendants on federal diversity jurisdiction, the Company voluntarily dismissed the federal court action and filed a complaint in the Los Angeles County Superior Court alleging the same set of operative facts and same causes of action that had been contained in the District Court action. GDC has been served with the lawsuit, but has not yet filed its response. The lawsuit is at a very early stage, and the Company cannot predict the timing or outcome of this matter at this time. | ||||||
(f) The Company is also involved in litigation against Gary Tsui (“Tsui”) and related parties in both Canada and China based on Tsui's theft and use of the Company's trade secrets. The Company filed a lawsuit against Tsui and other related individuals and entities in the Ontario Superior Court of Justice on December 8, 2009, through which the Company sought injunctive relief to prohibit Tsui from disclosing or using the Company's confidential and proprietary information and from competing with the Company. The Company is also seeking compensatory and punitive damages. The Ontario Court awarded the injunctive relief sought by the Company on December 22, 2009. On April 30, 2013, a warrant was issued for Tsui's arrest based on his refusal to comply with the orders of the Ontario court, including with respect to the continued use of the Company's trade secrets. The Ontario action is to proceed to trial in mid-2014, though all of Tsui's defenses were stricken by the Ontario court in a January 2012 contempt order. The Company also initiated suits against Tsui in Beijing No. 1 Intermediate People's Court in Beijing, China on February 16, 2013 and December 3, 2013, seeking relief similar to that sought in the Ontario action. The actions in Canada and China remain ongoing. | ||||||
(g) In March 2013, IMAX (Shanghai) Multimedia Technology Co., Ltd., the Company's wholly-owned subsidiary in China, received notice from the Shanghai office of the General Administration of Customs that it had been selected for a customs audit. The Company is unable to assess the potential impact, if any, of the audit at this time. | ||||||
(h) In addition to the matters described above, the Company is currently involved in other legal proceedings or governmental inquiries which, in the opinion of the Company's management, will not materially affect the Company's financial position or future operating results, although no assurance can be given with respect to the ultimate outcome of any such proceedings. | ||||||
(i) In the normal course of business, the Company enters into agreements that may contain features that meet the definition of a guarantee. The Guarantees Topic of the FASB ASC defines a guarantee to be a contract (including an indemnity) that contingently requires the Company to make payments (either in cash, financial instruments, other assets, shares of its stock or provision of services) to a third party based on (a) changes in an underlying interest rate, foreign exchange rate, equity or commodity instrument, index or other variable, that is related to an asset, a liability or an equity security of the counterparty, (b) failure of another party to perform under an obligating agreement or (c) failure of another third party to pay its indebtedness when due. | ||||||
Financial Guarantees | ||||||
The Company has provided no significant financial guarantees to third parties. | ||||||
Product Warranties | ||||||
The following summarizes the accrual for product warranties that was recorded as part of accrued liabilities in the condensed consolidated balance sheets: | ||||||
March 31, | December 31, | |||||
2014 | 2013 | |||||
Balance at the beginning of period | $ | 7 | $ | 32 | ||
Warranty redemptions | -1 | -77 | ||||
Warranties issued | 5 | 52 | ||||
Balance at the end of period | $ | 11 | $ | 7 | ||
Director/Officer Indemnifications | ||||||
The Company's General By-law contains an indemnification of its directors/officers, former directors/officers and persons who have acted at its request to be a director/officer of an entity in which the Company is a shareholder or creditor, to indemnify them, to the extent permitted by the Canada Business Corporations Act, against expenses (including legal fees), judgments, fines and any amount actually and reasonably incurred by them in connection with any action, suit or proceeding in which the directors and/or officers are sued as a result of their service, if they acted honestly and in good faith with a view to the best interests of the Company. The nature of the indemnification prevents the Company from making a reasonable estimate of the maximum potential amount it could be required to pay to counterparties. The Company has purchased directors' and officers' liability insurance. No amount has been accrued in the condensed consolidated balance sheets as at March 31, 2014 and December 31, 2013 with respect to this indemnity. | ||||||
Other Indemnification Agreements | ||||||
In the normal course of the Company's operations, the Company provides indemnifications to counterparties in transactions such as: theater system lease and sale agreements and the supervision of installation or servicing of the theater systems; film production, exhibition and distribution agreements; real property lease agreements; and employment agreements. These indemnification agreements require the Company to compensate the counterparties for costs incurred as a result of litigation claims that may be suffered by the counterparty as a consequence of the transaction or the Company's breach or non-performance under these agreements. While the terms of these indemnification agreements vary based upon the contract, they normally extend for the life of the agreements. A small number of agreements do not provide for any limit on the maximum potential amount of indemnification; however, virtually all of the Company's system lease and sale agreements limit such maximum potential liability to the purchase price of the system. The fact that the maximum potential amount of indemnification required by the Company is not specified in some cases prevents the Company from making a reasonable estimate of the maximum potential amount it could be required to pay to counterparties. Historically, the Company has not made any significant payments under such indemnifications and no amounts have been accrued in the condensed consolidated financial statements with respect to the contingent aspect of these indemnities. | ||||||
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements of Operations Supplemental Information | 3 Months Ended |
Mar. 31, 2014 | |
Basis of Presentation and Condensed Consolidated Statements of Operations Supplemental Information [Abstract] | ' |
Condensed Consolidated Statements of Operations Supplemental Information | ' |
9. Condensed Consolidated Statements of Operations Supplemental Information | |
(a) Selling Expenses | |
The Company defers direct selling costs such as sales commissions and other amounts related to its sale and sales-type lease arrangements until the related revenue is recognized. These costs and direct advertising and marketing, included in costs and expenses applicable to revenues-equipment and product sales, totaled $0.2 million for the three months ended March 31, 2014 (2013 — $0.3 million). | |
Film exploitation costs, including advertising and marketing, totaled $1.3 million for the three months ended March 31, 2014 (2013 — $1.0 million) and are recorded in costs and expenses applicable to revenues-services as incurred. | |
Commissions are recognized as costs and expenses applicable to revenues-rentals in the month they are earned. These costs totaled less than $0.1 million for the three months ended March 31, 2014 (2013 — less than $0.1 million). Direct advertising and marketing costs for each theater are charged to costs and expenses applicable to revenues-rentals as incurred. These costs totaled $0.2 million for the three months ended March 31, 2014 (2013 — $0.2 million). | |
(b) Foreign Exchange | |
Included in selling, general and administrative expenses for the three months ended March 31, 2014 is a loss of $0.7 million (2013 — loss of less than $0.1 million), for net foreign exchange gains/losses related to the translation of foreign currency denominated monetary assets and liabilities. See note 15(d) for additional information. | |
(c) Collaborative Arrangements | |
Joint Revenue Sharing Arrangements | |
In a joint revenue sharing arrangement, the Company receives a portion of a theater's box-office and concession revenues and in some cases a small upfront or initial payment, in exchange for placing a theater system at the theater operator's venue. Under joint revenue sharing arrangements, the customer has the right and the ability to operate the hardware components or direct others to operate them in a manner determined by the customer. The Company's joint revenue sharing arrangements are typically non-cancellable for 10 to 13 years with renewal provisions. Title to equipment under joint revenue sharing arrangements does not transfer to the customer. The Company's joint revenue sharing arrangements do not contain a guarantee of residual value at the end of the term. The customer is required to pay for executory costs such as insurance and taxes and is required to pay the Company for maintenance and extended warranty throughout the term. The customer is responsible for obtaining insurance coverage for the theater systems commencing on the date specified in the arrangement's shipping terms and ending on the date the theater systems are delivered back to the Company. | |
The Company has signed joint revenue sharing agreements with 39 exhibitors for a total of 649 theater systems, of which 388 theaters were operating as at March 31, 2014, the terms of which are similar in nature, rights and obligations. The accounting policy for the Company's joint revenue sharing arrangements is disclosed in note 2(m) of the Company's 2013 Form 10-K. | |
Amounts attributable to transactions arising between the Company and its customers under joint revenue sharing arrangements are included in Rentals revenue and for the three months ended March 31, 2014 amounted to $10.9 million (2013 — $9.4 million). | |
IMAX DMR | |
In an IMAX DMR arrangement, the Company transforms conventional motion pictures into the Company's large screen format, allowing the release of Hollywood content to the global IMAX theater network. In a typical IMAX DMR film arrangement, the Company will absorb its costs for the digital re-mastering and then recoup this cost from a percentage of the gross box-office receipts of the film, which generally range from 10-15%. The Company does not typically hold distribution rights or the copyright to these films. | |
For the three months ended March 31, 2014, 18 IMAX DMR films were exhibited throughout the IMAX theater network. The Company has entered into arrangements with film producers to convert 10 additional films, which are expected to be released during the remainder of 2014, the terms of which are substantially similar in nature, rights and obligations. The accounting policy for the Company's IMAX DMR arrangements is disclosed in note 2(m) of the Company's 2013 Form 10-K. | |
Amounts attributable to transactions arising between the Company and its customers under IMAX DMR arrangements are included in Services revenue and for the three months ended March 31, 2014 amounted to $15.2 million (2013 — $14.4 million). | |
Co-Produced Film Arrangements | |
In certain film arrangements, the Company co-produces a film with a third party whereby the third party retains the copyright and rights to the film, except that the Company obtains exclusive theatrical distribution rights to the film. Under these arrangements, both parties contribute funding to the Company's wholly-owned production company for the production of the film and for associated exploitation costs. Clauses in the film arrangements generally provide for the third party to take over the production of the film if the cost of the production exceeds its approved budget or if it appears as though the film will not be delivered on a timely basis. | |
The accounting policies relating to co-produced film arrangements are disclosed in notes 2(a) and 2(m) of the Company's 2013 Form 10-K. | |
As at March 31, 2014, the Company has one significant co-produced film arrangement which represents the VIE total assets and liabilities balance of $5.3 million and 6 other co-produced film arrangements, the terms of which are similar. | |
For the three months ended March 31, 2014, amounts totaling $0.5 million (2013 — $1.1 million) attributable to transactions between the Company and other parties involved in the production of the films have been included in cost and expenses applicable to revenues-services. | |
Condensed_Consolidated_Stateme5
Condensed Consolidated Statements of Cash Flows Supplemental Information | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Condensed Consolidated Statements of Cash Flows Supplemental Information [Abstract] | ' | ||||||
Condensed Consolidated Statements of Cash Flows Supplemental Information | ' | ||||||
10. Condensed Consolidated Statements of Cash Flows Supplemental Information | |||||||
(a) Changes in other non-cash operating assets and liabilities are comprised of the following: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Decrease (increase) in: | |||||||
Accounts receivable | $ | 13,011 | $ | -6,353 | |||
Financing receivables | 3,191 | -2,011 | |||||
Inventories | -4,032 | -1,643 | |||||
Prepaid expenses | -1,829 | -949 | |||||
Commissions and other deferred selling expenses | -802 | -37 | |||||
Insurance recoveries | -50 | -88 | |||||
Other assets | -180 | -298 | |||||
Increase (decrease) in: | |||||||
Accounts payable | -5,077 | 2,245 | |||||
Accrued and other liabilities(1) | -7,954 | -3,978 | |||||
Deferred revenue | 6,477 | 2,409 | |||||
$ | 2,755 | $ | -10,703 | ||||
__________ | |||||||
(1) Change in accrued and other liabilities for the three months ended March 31, 2014 includes payments of $nil for variable stock-based compensation (2013 - $1.0 million). | |||||||
(b) Cash payments made on account of: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Income taxes | $ | 2,526 | $ | 173 | |||
Interest | $ | - | $ | 246 | |||
(c) Depreciation and amortization are comprised of the following: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Film assets | $ | 2,373 | $ | 3,468 | |||
Property, plant and equipment | |||||||
Joint revenue sharing arrangements | 2,881 | 2,858 | |||||
Other property, plant and equipment | 1,283 | 1,338 | |||||
Other intangible assets | 727 | 689 | |||||
Other assets | 160 | 140 | |||||
Deferred financing costs | 131 | 98 | |||||
$ | 7,555 | $ | 8,591 | ||||
(d) Write-downs, net of recoveries, are comprised of the following: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Property, plant and equipment | $ | 224 | $ | - | |||
Financing receivables | 167 | - | |||||
Accounts receivable | 120 | - | |||||
Inventories | 7 | - | |||||
$ | 518 | $ | - |
Income_Taxes
Income Taxes | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Income Taxes [Abstract] | ' | ||||||
Income Taxes | ' | ||||||
11. Income Taxes | |||||||
(a) Income Taxes | |||||||
The Company's effective tax rate differs from the statutory tax rate and varies from year to year primarily as a result of permanent differences, investment and other tax credits, the provision for income taxes at different rates in foreign and other provincial jurisdictions, enacted statutory tax rate increases or reductions in the year, changes due to foreign exchange, changes in the Company's valuation allowance based on the Company's recoverability assessments of deferred tax assets, and favorable or unfavorable resolution of various tax examinations. During the quarter ended March 31, 2014, there was no change in the Company's estimates of the recoverability of its deferred tax assets based on an analysis of both positive and negative evidence including projected future earnings. | |||||||
As at March 31, 2014, the Company had net deferred income tax assets after valuation allowance of $24.4 million (December 31, 2013 — $24.3 million), which consists of a gross deferred income tax asset of $29.2 million (December 31, 2013 — $29.1 million), against which the Company is carrying a $4.8 million valuation allowance (December 31, 2013 — $4.8 million). | |||||||
(b) Income Tax Effect on Comprehensive Income | |||||||
The income tax benefit (expense) related to the following items included in the Company's other comprehensive loss are: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Unrealized change in cash flow hedging instruments | $ | 83 | $ | 77 | |||
Realized change in cash flow hedging instruments upon settlement | 65 | 33 | |||||
Foreign currency translation adjustments | 33 | 87 | |||||
Amortization of actuarial loss on defined benefit plan | - | -29 | |||||
Gain on curtailment of postretirement benefit plan | - | -100 | |||||
$ | 181 | $ | 68 |
Capital_Stock
Capital Stock | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Capital Stock [Abstract] | ' | ||||||||||
Capital Stock | ' | ||||||||||
12. Capital Stock | |||||||||||
Stock-Based Compensation | |||||||||||
The compensation costs recorded in the condensed consolidated statement of operations for these plans were $3.2 million for the three months ended March 31, 2014 (2013 —$2.8 million). | |||||||||||
As at March 31, 2014, the Company has reserved a total of 10,380,973 (December 31, 2013 — 10,530,723) common shares for future issuance under the Company's Stock Option Plan (“SOP”) and the IMAX 2013 Long-Term Incentive Plan (“IMAX LTIP”). Of the common shares reserved for issuance, there are options in respect of 6,984,862 common shares and RSUs in respect of 657,960 common shares outstanding at March 31, 2014. At March 31, 2014, options in respect of 4,006,707 common shares were vested and exercisable. | |||||||||||
Stock Option Plan | |||||||||||
The Company recorded an expense of $2.2 million for the three months ended March 31, 2014 (2013 — $2.3 million) related to stock option grants issued to employees and directors in the IMAX LTIP and SOP plans. An income tax benefit is recorded in the condensed consolidated statements of operations of $0.4 million for these costs. | |||||||||||
The weighted average fair value of all stock options, granted to employees and directors for the three months ended March 31, 2014 at the grant date was $8.33 per share (2013 — $6.54 per share). The following assumptions were used to estimate the average fair value of the stock options: | |||||||||||
Three Months | |||||||||||
Ended March 31, | |||||||||||
2014 | 2013 | ||||||||||
Average risk-free interest rate | 2.50% | 1.36% | |||||||||
Expected option life (in years) | 4.48 - 5.82 | 4.62 | |||||||||
Expected volatility | 37.50% | 40% | |||||||||
Annual termination probability | 0% - 8.40% | 8.52% | |||||||||
Dividend yield | 0% | 0% | |||||||||
Stock options to Non-Employees | |||||||||||
There were no common share options issued to non-employees during the three months ended March 31, 2014 and 2013. | |||||||||||
As at March 31, 2014, non-employee stock options outstanding amounted to 76,751 stock options (2013 — 115,001) with a weighted average exercise price of $15.67 (2013 — $14.20). 40,276 stock options (2013 — 39,209) were exercisable with an average weighted exercise price of $11.33 (2013 — $10.37) and the vested stock options have an aggregate intrinsic value of $0.7 million (2013 — $0.6 million). | |||||||||||
For the three months ended March 31, 2014, the Company recorded a charge of less than $0.1 million (2013 — $0.1 million) to cost and expenses related to revenues − services and selling, general and administrative expenses related to the non-employee stock options. Included in accrued liabilities is an accrual of $0.1 million for non-employee stock options (December 31, 2013 − $0.1 million). | |||||||||||
China Long Term Incentive Plan (“China LTIP”) | |||||||||||
Each stock option issued under the China LTIP represents an opportunity to participate economically in the future growth and value creation of the subsidiary. The China LTIP options issued by the subsidiary (“China Options”) operate in tandem with options granted to certain employees of the subsidiary under the Company's SOP and IMAX LTIP (“Tandem Options”). | |||||||||||
In 2012, an aggregate of 146,623 Tandem Options were granted to certain employees in conjunction with China Options with an average price of $22.39 per share in accordance with the China LTIP. During the three months ended March 31, 2014, an additional 6,021 Tandem Options were granted in conjunction with China Options with an average price of $27.20 per share. The Tandem Options have a maximum contractual life of 7 years. As at March 31, 2014, there were 152,644 (December 31, 2013 — 146,623) outstanding and unvested Tandem Options issued under the China LTIP with a weighted average exercise price of $22.58 per share (December 31, 2013 — $22.39 per share). The weighted average fair value of the Tandem Options granted during the three months ended March 31, 2014 was $7.02 per share. The total fair value of the Tandem Options granted with respect to the China LTIP was $1.6 million. The Company is recognizing this expense over a 5 year period. If a performance event occurs, including upon the occurrence of a qualified initial public offering or upon a change in control on or prior to the fifth anniversary of the grant date, the 152,644 Tandem Options issued forfeit immediately and the related charge would be reversed. There were no option awards issued under the China LTIP during the three months ended March 31, 2013. | |||||||||||
The Company has recorded an expense of $0.1 million for the three months ended March 31, 2014 (March 31, 2013 — $0.1 million) related to Tandem Options issued under the China LTIP. | |||||||||||
Stock Option Summary | |||||||||||
The following table summarizes certain information in respect of option activity under the SOP and IMAX LTIP for the three month periods ended March 31: | |||||||||||
Weighted Average Exercise | |||||||||||
Number of Shares | Price Per Share | ||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||
Options outstanding, beginning of period | 6,263,121 | 7,441,068 | $ | 21.11 | $ | 18.48 | |||||
Granted | 828,353 | 178,112 | 27.44 | 25.44 | |||||||
Exercised | -100,612 | -383,651 | 7.37 | 6.48 | |||||||
Forfeited | - | -21,750 | - | 26.49 | |||||||
Cancelled | -6,000 | -1,250 | 31.73 | 29.49 | |||||||
Options outstanding, end of period | 6,984,862 | 7,212,529 | 22.05 | 19.27 | |||||||
Options exercisable, end of period | 4,006,707 | 3,507,692 | 19.65 | 16.57 | |||||||
The Company cancelled 6,000 stock options from its SOP (2013 — 1,250) surrendered by Company employees during the three months ended March 31, 2014. | |||||||||||
As at March 31, 2014, 6,632,982 options were fully vested or are expected to vest with a weighted average exercise price of $21.87, aggregate intrinsic value of $40.8 million and weighted average remaining contractual life of 4.9 years. As at March 31, 2014, options that are exercisable have an intrinsic value of $33.7 million and a weighted average remaining contractual life of 4.4 years. The intrinsic value of options exercised in the three months ended March 31, 2014 was $2.1 million (2013 — $7.2 million). | |||||||||||
Restricted Share Units | |||||||||||
RSUs have been granted to employees, consultants and directors under the IMAX LTIP. Each RSU represents a contingent right to receive one common share and is the economic equivalent of one common share. The grant date fair value of each RSU is equal to the share price of the Company's stock at the grant date. The Company recorded an expense of $0.9 million for the three month period ended March 31, 2014 (2013 — $nil), related to RSU grants issued to employees and directors in the plan. The annual termination probability assumed for the three months ended March 31, 2014, ranged from 0% to 9.46%. In addition, the Company recorded an expense of less than $0.1 million for the three months ended March 31, 2014 (2013 — $nil), related to RSU grants issued to certain advisors and strategic partners of the Company. | |||||||||||
During the three months ended March 31, 2014, in connection with the vesting of RSUs, the Company delivered 43,138 Common Shares to IMAX LTIP participants, of which 15,322 Common Shares were issued from treasury and 27,816 Common Shares were purchased in the open market by the IMAX LTIP trustee. | |||||||||||
Total stock-based compensation expense related to non-vested RSU's not yet recognized at March 31, 2014 and the weighted average period over which the awards are expected to be recognized is $14.6 million and 3.3 years. The Company's actual tax benefits realized for the tax deductions related to the vesting of RSUs was $0.4 million for the three months ended March 31, 2014. | |||||||||||
RSUs granted under the IMAX LTIP vest between one and four years from the date granted. Vesting of the RSUs is subject to continued employment or service with the Company. | |||||||||||
The following table summarizes certain information in respect of RSU activity under the IMAX LTIP for the three months ended March 31, 2014: | |||||||||||
Weighted Average Grant Date Fair Value | |||||||||||
Number of Awards | |||||||||||
RSUs outstanding, beginning of period | 264,140 | $ | 26.14 | ||||||||
Granted | 436,958 | 27.59 | |||||||||
Vested and settled | -43,138 | 26.28 | |||||||||
RSUs outstanding, end of period | 657,960 | 27.1 | |||||||||
Stock Appreciation Rights | |||||||||||
There have been no stock appreciation rights (“SARs”) granted since 2007. As at March 31, 2014 and December 31, 2013, no SARs were outstanding. During the first quarter of 2013, 50,000 SARs were cash settled for $1.0 million. The average exercise price for the settled SARs for the three months ended March 31, 2013 was $6.86 per SAR. None of the SARs were forfeited, cancelled, or expired for the three months ended March 31, 2013. The Company recorded an expense of $0.4 million for the three months ended March 31, 2013 to selling, general and administrative expenses related to these SARs. | |||||||||||
(b) Income Per Share | |||||||||||
Reconciliations of the numerator and denominator of the basic and diluted per-share computations are comprised of the following: | |||||||||||
Three Months | |||||||||||
Ended March 31, | |||||||||||
2014 | 2013 | ||||||||||
Net income applicable to common shareholders | $ | 579 | $ | 2,861 | |||||||
Weighted average number of common shares (000's): | |||||||||||
Issued and outstanding, beginning of period | 67,841 | 66,482 | |||||||||
Weighted average number of shares issued during the period | 67 | 164 | |||||||||
Weighted average number of shares used in computing basic income per | |||||||||||
Share | 67,908 | 66,646 | |||||||||
Assumed exercise of stock options and RSUs, net of shares assumed repurchased | 1,413 | 2,044 | |||||||||
Weighted average number of shares used in computing diluted income per | |||||||||||
Share | 69,321 | 68,690 | |||||||||
The calculation of diluted earnings per share excludes 4,499,145 shares that are issuable upon exercise of RSUs and stock options of 276,275 and 4,222,870, respectively, as the impact of these exercises would be antidilutive. | |||||||||||
(c) Shareholders' Equity | |||||||||||
The following summarizes the movement of Shareholders' Equity for the three months ended March 31, 2014: | |||||||||||
Balance as at December 31, 2013 | $ | 319,585 | |||||||||
Net income | 579 | ||||||||||
Adjustments to capital stock: | |||||||||||
Issuance of common shares for stock options exercised | 742 | ||||||||||
Issuance of common shares for vested RSUs | 402 | ||||||||||
Stock options exercised | 228 | ||||||||||
Adjustments to other equity: | |||||||||||
Employee stock options granted | 2,250 | ||||||||||
Stock options exercised | -228 | ||||||||||
RSUs granted | 914 | ||||||||||
RSUs vested | -1,192 | ||||||||||
Excess tax benefits from RSUs | 20 | ||||||||||
Adjustments to accumulated other comprehensive loss: | |||||||||||
Unrealized net loss from cash flow hedging instruments | -810 | ||||||||||
Realization of cash flow hedging net loss upon settlement | 248 | ||||||||||
Foreign currency translation adjustment | -146 | ||||||||||
Tax effect of movement in other comprehensive loss | 181 | ||||||||||
Balance as at March 31, 2014 | $ | 322,773 |
Segmented_Information
Segmented Information | 3 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Segmented Information [Abstract] | ' | |||||||||||
Segmented Information | ' | |||||||||||
13. Segmented Information | ||||||||||||
The Company has seven reportable segments identified by category of product sold or service provided: IMAX systems; theater system maintenance; joint revenue sharing arrangements; film production and IMAX DMR; film distribution; film post-production; and other. The IMAX systems segment designs, manufactures, sells or leases IMAX theater projection system equipment. The theater system maintenance segment maintains IMAX theater projection system equipment in the IMAX theater network. The joint revenue sharing arrangements segment provides IMAX theater projection system equipment to an exhibitor in exchange for a share of the box-office and concession revenues. The film production and IMAX DMR segment produces films and performs film re-mastering services. The film distribution segment distributes films for which the Company has distribution rights. The film post-production segment provides film post-production and film print services. The Company refers to all theaters using the IMAX theater system as “IMAX theaters”. The other segment includes certain IMAX theaters that the Company owns and operates, camera rentals and other miscellaneous items. The accounting policies of the segments are the same as those described in note 2 to the audited consolidated financial statements included in the Company's 2013 Form 10-K. | ||||||||||||
Management, including the Company's Chief Executive Officer (“CEO”) who is the Company's Chief Operating Decision Maker (as defined in the Segment Reporting Topic of the FASB ASC), assesses segment performance based on segment revenues, gross margins and film performance. Selling, general and administrative expenses, research and development costs, amortization of intangibles, receivables provisions (recoveries), write-downs net of recoveries, interest income, interest expense and tax (provision) recovery are not allocated to the segments. | ||||||||||||
Transactions between the film production and IMAX DMR segment and the film post-production segment are valued at exchange value. Inter-segment profits are eliminated upon consolidation, as well as for the disclosures below. | ||||||||||||
Transactions between the other segments are not significant. | ||||||||||||
Three Months | ||||||||||||
Ended March 31, | ||||||||||||
2014 | 2013 | |||||||||||
Revenue(1) | ||||||||||||
IMAX theater systems | ||||||||||||
IMAX systems | $ | 7,760 | $ | 12,738 | ||||||||
Theater system maintenance | 8,195 | 7,789 | ||||||||||
Joint revenue sharing arrangements | 10,856 | 9,376 | ||||||||||
26,811 | 29,903 | |||||||||||
Films | ||||||||||||
Production and IMAX DMR | 15,185 | 14,355 | ||||||||||
Distribution | 1,463 | 2,487 | ||||||||||
Post-production | 3,226 | 1,141 | ||||||||||
19,874 | 17,983 | |||||||||||
Other | 1,512 | 1,780 | ||||||||||
Total | $ | 48,197 | $ | 49,666 | ||||||||
Gross margins | ||||||||||||
IMAX theater systems | ||||||||||||
IMAX systems(2) | $ | 4,773 | $ | 8,191 | ||||||||
Theater system maintenance | 3,001 | 3,054 | ||||||||||
Joint revenue sharing arrangements(2) | 7,283 | 6,159 | ||||||||||
15,057 | 17,404 | |||||||||||
Films | ||||||||||||
Production and IMAX DMR(2) | 11,074 | 9,213 | ||||||||||
Distribution(2) | 190 | 203 | ||||||||||
Post-production | 525 | -432 | ||||||||||
11,789 | 8,984 | |||||||||||
Other | -438 | -198 | ||||||||||
Total | $ | 26,408 | $ | 26,190 | ||||||||
_________ | ||||||||||||
(1) The Company's largest customer represents 16.2% of total revenues for the three months ended March 31, 2014 (2013 — 13.1%). | ||||||||||||
(2) IMAX systems include marketing and commission costs of $0.2 million for the three months ended March 31, 2014 (2013 — $0.3 million). Joint revenue sharing arrangements segment margins include advertising, marketing and commission costs of $0.2 million for the three months ended March 31, 2014 (2013 — $0.2 million). Production and DMR segment margins include marketing costs of $1.1 million for the three months ended March 31, 2014 (2013 — $0.9 million). Distribution segment margins include marketing costs of $0.2 million for the three months ended March 31, 2014 (2013 — $0.1 million). | ||||||||||||
Geographic Information | ||||||||||||
Revenue by geographic area is based on the location of the customer. Revenue related to IMAX DMR is presented based upon the geographic location of the theaters that exhibit the re-mastered films. IMAX DMR revenue is generated through contractual relationships with studios and other third parties and these may not be in the same geographical location as the theater. | ||||||||||||
Three Months | ||||||||||||
Ended March 31, | ||||||||||||
2014 | 2013 | |||||||||||
Revenue | ||||||||||||
United States | $ | 19,684 | $ | 21,335 | ||||||||
Canada | 2,125 | 1,749 | ||||||||||
Greater China | 10,509 | 11,027 | ||||||||||
Western Europe | 4,996 | 3,390 | ||||||||||
Asia (excluding Greater China) | 4,286 | 3,991 | ||||||||||
Russia and the CIS | 2,346 | 4,939 | ||||||||||
Latin America | 2,256 | 1,420 | ||||||||||
Rest of the World | 1,995 | 1,815 | ||||||||||
Total | $ | 48,197 | $ | 49,666 | ||||||||
No single country in the Rest of the World, Western Europe, Latin America and Asia (excluding Greater China) classifications comprise more than 10% of the total revenue. | ||||||||||||
Employees_Pension_and_Postreti
Employees Pension and Postretirement Benefits | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Employees Pension and Postretirement Benefits [Abstract] | ' | ||||||
Employees Pension and Postretirement Benefits | ' | ||||||
14. Employee's Pension and Postretirement Benefits | |||||||
(a) Defined Benefit Plan | |||||||
The Company has an unfunded U.S. defined benefit pension plan (the “SERP”) covering Richard L. Gelfond, Chief Executive Officer (“CEO”) of the Company and Bradley J. Wechsler, Chairman of the Company's Board of Directors. | |||||||
The following table provides disclosure of the pension obligation for the SERP: | |||||||
As at | As at | ||||||
March 31, | December 31, | ||||||
2014 | 2013 | ||||||
Obligation, beginning of period | $ | 18,284 | $ | 20,366 | |||
Interest cost | 66 | 195 | |||||
Actuarial gain | - | -2,277 | |||||
Obligation, end of period and unfunded status | $ | 18,350 | $ | 18,284 | |||
The following table provides disclosure of pension expense for the SERP: | |||||||
Three Months Ended March 31, | |||||||
2014 | 2013 | ||||||
Interest cost | $ | 66 | $ | 49 | |||
Amortization of actuarial loss | - | 111 | |||||
Pension expense | $ | 66 | $ | 160 | |||
No contributions are expected to be made for the SERP during 2014. The Company expects interest costs of $0.2 million to be recognized as a component of net periodic benefit cost during the remainder of 2014. | |||||||
The accumulated benefit obligation for the SERP was $18.4 million at March 31, 2014 (December 31, 2013 - $18.3 million). | |||||||
The following benefit payments are expected to be made as per the current SERP assumptions and the terms of the SERP in each of the next 5 years, and in the aggregate: | |||||||
2014 (nine months remaining) | $ | - | |||||
2015 | - | ||||||
2016 | - | ||||||
2017 | 19,228 | ||||||
2018 | - | ||||||
Thereafter | - | ||||||
$ | 19,228 | ||||||
(b) Defined Contribution Plan | |||||||
The Company also maintains defined contribution pension plans for its employees, including its executive officers. The Company makes contributions to these plans on behalf of employees in an amount up to 5% of their base salary subject to certain prescribed maximums. During the three months ended March 31, 2014, the Company contributed and expensed an aggregate of $0.3 million (2013 — $0.3 million) to its Canadian plan and an aggregate of $0.1 million (2013 — $0.1 million) to its defined contribution employee pension plan under Section 401(k) of the U.S. Internal Revenue Code. | |||||||
(c) Postretirement Benefits - Executives | |||||||
The Company has an unfunded postretirement plan for Messrs. Gelfond and Wechsler. The plan provides that the Company will maintain health benefits for Messrs. Gelfond and Wechsler until they become eligible for Medicare and, thereafter, the Company will provide Medicare supplement coverage as selected by Messrs. Gelfond and Wechsler. The postretirement benefits obligation as at March 31, 2014 is $0.4 million (December 31, 2013 — $0.4 million). The Company has expensed less than $0.1 million for the three months ended March 31, 2014 (2013 — less than $0.1 million). | |||||||
The following benefit payments are expected to be made as per the current plan assumptions in each of the next 5 years: | |||||||
2014 (nine months remaining) | $ | 20 | |||||
2015 | 22 | ||||||
2016 | 24 | ||||||
2017 | 29 | ||||||
2018 | 33 | ||||||
Thereafter | 269 | ||||||
$ | 397 | ||||||
(d) Postretirement Benefits – Canadian Employees | |||||||
The Company has an unfunded postretirement plan for its Canadian employees upon meeting specific eligibility requirements. The Company will provide eligible participants, upon retirement, with health and welfare benefits. The postretirement benefits obligation as at March 31, 2014 is $2.3 million (December 31, 2013 — $2.3 million). The Company has expensed less than $0.1 million for the three months ended March 31, 2014 (2013 — less than $0.1 million). | |||||||
In the first quarter of 2013, the Company amended the Canadian postretirement plan to reduce future benefits provided under the plan. As a result of this change, the Company recognized a pre-tax curtailment gain in 2013 of $2.2 million (included in selling, general and administrative expenses) and a reduction in the postretirement liability of $2.6 million. | |||||||
2014 (nine months remaining) | $ | 76 | |||||
2015 | 89 | ||||||
2016 | 99 | ||||||
2017 | 110 | ||||||
2018 | 116 | ||||||
Thereafter | 1,856 | ||||||
$ | 2,346 |
Financial_Instruments
Financial Instruments | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Financial Instruments [Abstract] | ' | ||||||||||||||||||||||||
Financial Instruments | ' | ||||||||||||||||||||||||
15. Financial Instruments | |||||||||||||||||||||||||
(a) Financial Instruments | |||||||||||||||||||||||||
The Company maintains cash with various major financial institutions. The Company's cash is invested with highly rated financial institutions. | |||||||||||||||||||||||||
The Company's accounts receivables and financing receivables are subject to credit risk. The Company's accounts receivable and financing receivables are concentrated with the theater exhibition industry and film entertainment industry. To minimize the Company's credit risk, the Company retains title to underlying theater systems leased, performs initial and ongoing credit evaluations of its customers and makes ongoing provisions for its estimate of potentially uncollectible amounts. The Company believes it has adequately provided for related exposures surrounding receivables and contractual commitments. | |||||||||||||||||||||||||
(b) Fair Value Measurements | |||||||||||||||||||||||||
The carrying values of the Company's cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities due within one year approximate fair values due to the short-term maturity of these instruments. The Company's other financial instruments are comprised of the following: | |||||||||||||||||||||||||
As at March 31, 2014 | As at December 31, 2013 | ||||||||||||||||||||||||
Carrying | Estimated | Carrying | Estimated | ||||||||||||||||||||||
Amount | Fair Value | Amount | Fair Value | ||||||||||||||||||||||
Net financed sales receivable | $ | 90,612 | $ | 89,244 | $ | 93,493 | $ | 92,043 | |||||||||||||||||
Net investment in sales-type leases | $ | 13,140 | $ | 12,747 | $ | 13,617 | $ | 13,214 | |||||||||||||||||
Available-for-sale investment | $ | 1,000 | $ | 1,000 | $ | 1,000 | $ | 1,000 | |||||||||||||||||
Foreign exchange contracts — designated forwards | $ | -983 | $ | -983 | $ | -421 | $ | -421 | |||||||||||||||||
The estimated fair values of the net financed sales receivable and net investment in sales-type leases are estimated based on discounting future cash flows at currently available interest rates with comparable terms (Level 2 input in accordance with the Fair Value Measurements Topic of the FASB ASC hierarchy) as at March 31, 2014 and December 31, 2013, respectively. | |||||||||||||||||||||||||
The fair value of the Company's available-for-sale investment is determined using the present value of expected cash flows based on projected earnings and other information readily available from the business venture (Level 3 input in accordance with the Fair Value Measurements Topic of the FASB ASC hierarchy) as at March 31, 2014 and December 31, 2013, respectively. The discounted cash flow valuation technique is based on significant unobservable inputs of revenue and expense projections, appropriately risk weighted, as the investment is in a start-up entity. The significant unobservable inputs used in the fair value measurement of the Company's available-for-sale investment are long-term revenue growth and pretax operating margin. A significant increase (decrease) in any of those inputs in isolation would result in a lower or higher fair value measurement. | |||||||||||||||||||||||||
The fair value of foreign currency derivatives is determined using quoted prices in active markets (Level 2 input in accordance with the Fair Value Measurements Topic of the FASB ASC hierarchy) as at March 31, 2014 and December 31, 2013, respectively. These identical instruments are traded on a closed exchange. | |||||||||||||||||||||||||
There were no significant transfers between Level 1 and Level 2 during the three months ended March 31, 2014 or 2013. When a determination is made to classify an asset or liability within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement. The table below sets forth a summary of changes in the fair value of the Company's available-for-sale investment measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the period: | |||||||||||||||||||||||||
Available For Sale Investments | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Beginning balance, January 1, | $ | 1,000 | $ | 1,350 | |||||||||||||||||||||
Transfers into/out of Level 3 | - | - | |||||||||||||||||||||||
Total gains or losses (realized/unrealized) | |||||||||||||||||||||||||
Included in earnings | - | - | |||||||||||||||||||||||
Change in other comprehensive income | - | - | |||||||||||||||||||||||
Purchases, issuances, sales and settlements | - | - | |||||||||||||||||||||||
Ending balance, March 31, | $ | 1,000 | $ | 1,350 | |||||||||||||||||||||
The amount of total gains or losses for the period included in earnings attributable to the | |||||||||||||||||||||||||
change in unrealized gains or losses relating to assets still held at the reporting date | $ | - | $ | - | |||||||||||||||||||||
There were no transfers in or out of the Company's level 3 assets during the three months ended March 31, 2014. | |||||||||||||||||||||||||
(c) Financing Receivables | |||||||||||||||||||||||||
The Company's net investment in leases and its net financed sale receivables are subject to the disclosure requirements of ASC 310 “Receivables”. Due to differing risk profiles of its net investment in leases and its net financed sales receivables, the Company views its net investment in leases and its net financed sale receivables as separate classes of financing receivables. The Company does not aggregate financing receivables to assess impairment. | |||||||||||||||||||||||||
The Company monitors the credit quality of each customer on a frequent basis through collections and aging analyses. The Company also holds meetings monthly in order to identify credit concerns and whether a change in credit quality classification is required for the customer. A customer may improve in their credit quality classification once a substantial payment is made on overdue balances or the customer has agreed to a payment plan with the Company and payments have commenced in accordance to the payment plan. The change in credit quality indicator is dependent upon management approval. | |||||||||||||||||||||||||
The Company classifies its customers into four categories to indicate the credit quality worthiness of its financing receivables for internal purposes only: | |||||||||||||||||||||||||
Good standing — Theater continues to be in good standing with the Company as the client's payments and reporting are up-to-date. | |||||||||||||||||||||||||
Credit Watch — Theater operator has begun to demonstrate a delay in payments, has been placed on the Company's credit watch list for continued monitoring, but active communication continues with the Company. Depending on the size of outstanding balance, length of time in arrears and other factors, transactions may need to be approved by management. These financing receivables are considered to be in better condition than those receivables related to theaters in the "Pre-approved transactions" category, but not in as good of condition as those receivables in "Good standing". | |||||||||||||||||||||||||
Pre-approved transactions only — Theater operator is demonstrating a delay in payments with little or no communication with the Company. All service or shipments to the theater must be reviewed and approved by management. These financing receivables are considered to be in better condition than those receivables related to theaters in the "All transactions suspended" category, but not in as good of condition as those receivables in "Credit Watch." Depending on the individual facts and circumstances of each customer, finance income recognition may be suspended if management believes the receivable to be impaired. | |||||||||||||||||||||||||
All transactions suspended — Theater is severely delinquent, non-responsive or not negotiating in good faith with the Company. Once a theater is classified as “All transactions suspended”, the theater is placed on nonaccrual status and all revenue recognitions related to the theater are stopped. | |||||||||||||||||||||||||
The following table discloses the recorded investment in financing receivables by credit quality indicator: | |||||||||||||||||||||||||
As at March 31, 2014 | As at December 31, 2013 | ||||||||||||||||||||||||
Minimum | Financed | Minimum | Financed | ||||||||||||||||||||||
Lease | Sales | Lease | Sales | ||||||||||||||||||||||
Payments | Receivables | Total | Payments | Receivables | Total | ||||||||||||||||||||
In good standing | $ | 11,867 | $ | 89,113 | $ | 100,980 | $ | 12,318 | $ | 89,017 | $ | 101,335 | |||||||||||||
Credit watch | 410 | 571 | 981 | 420 | 3,895 | 4,315 | |||||||||||||||||||
Pre-approved transactions | 258 | 555 | 813 | 288 | - | 288 | |||||||||||||||||||
Transactions suspended | 1,411 | 861 | 2,272 | 1,397 | 817 | 2,214 | |||||||||||||||||||
$ | 13,946 | $ | 91,100 | $ | 105,046 | $ | 14,423 | $ | 93,729 | $ | 108,152 | ||||||||||||||
While recognition of finance income is suspended, payments received by a customer are applied against the outstanding balance owed. If payments are sufficient to cover any unreserved receivables, a recovery of provision taken on the billed amount, if applicable, is recorded to the extent of the residual cash received. Once the collectibility issues are resolved and the customer has returned to being in good standing, the Company will resume recognition of finance income. | |||||||||||||||||||||||||
The Company's investment in financing receivables on nonaccrual status is as follows: | |||||||||||||||||||||||||
As at March 31, 2014 | As at December 31, 2013 | ||||||||||||||||||||||||
Recorded | Related | Recorded | Related | ||||||||||||||||||||||
Investment | Allowance | Investment | Allowance | ||||||||||||||||||||||
Net investment in leases | $ | 1,411 | $ | -606 | $ | 1,684 | $ | -606 | |||||||||||||||||
Net financed sales receivables | 861 | -488 | 817 | -236 | |||||||||||||||||||||
$ | 2,272 | $ | -1,094 | $ | 2,501 | $ | -842 | ||||||||||||||||||
The Company considers financing receivables with aging between 60-89 days as indications of theaters with potential collection concerns. The Company will begin to focus its review on these financing receivables and increase its discussions internally and with the theater regarding payment status. Once a theater's aging exceeds 90 days, the Company's policy is to review and assess collectibility on the theater's past due accounts. Over 90 days past due is used by the Company as an indicator of potential impairment as invoices up to 90 days outstanding could be considered reasonable due to the time required for dispute resolution or for the provision of further information or supporting documentation to the customer. | |||||||||||||||||||||||||
The Company's aged financing receivables are as follows: | |||||||||||||||||||||||||
As at March 31, 2014 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Total | Investment | |||||||||||||||||||||
And | Financing | Recorded | Recorded | Related | Net of | ||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Investment | Allowances | Allowances | ||||||||||||||||||
Net investment in leases | $ | 278 | $ | 277 | $ | 929 | $ | 1,484 | $ | 12,462 | $ | 13,946 | $ | -806 | $ | 13,140 | |||||||||
Net financed sales receivables | 2,449 | 1,799 | 3,543 | 7,791 | 83,309 | 91,100 | -488 | 90,612 | |||||||||||||||||
Total | $ | 2,727 | $ | 2,076 | $ | 4,472 | $ | 9,275 | $ | 95,771 | $ | 105,046 | $ | -1,294 | $ | 103,752 | |||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Total | Investment | |||||||||||||||||||||
And | Financing | Recorded | Recorded | Related | Net of | ||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Investment | Allowances | Allowances | ||||||||||||||||||
Net investment in leases | $ | 444 | $ | 218 | $ | 841 | $ | 1,503 | $ | 12,920 | $ | 14,423 | $ | -806 | $ | 13,617 | |||||||||
Net financed sales receivables | 2,502 | 1,211 | 3,018 | 6,731 | 86,998 | 93,729 | -236 | 93,493 | |||||||||||||||||
Total | $ | 2,946 | $ | 1,429 | $ | 3,859 | $ | 8,234 | $ | 99,918 | $ | 108,152 | $ | -1,042 | $ | 107,110 | |||||||||
The Company's recorded investment in past due financing receivables for which the Company continues to accrue finance income is as follows: | |||||||||||||||||||||||||
As at March 31, 2014 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Investment | ||||||||||||||||||||||
And | Financing | Recorded | Related | Past Due | |||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Allowance | and Accruing | |||||||||||||||||||
Net investment in leases | $ | 180 | $ | 161 | $ | 291 | $ | 632 | $ | 4,182 | $ | -200 | $ | 4,614 | |||||||||||
Net financed sales receivables | 424 | 473 | 1,429 | 2,326 | 15,680 | - | 18,006 | ||||||||||||||||||
Total | $ | 604 | $ | 634 | $ | 1,720 | $ | 2,958 | $ | 19,862 | $ | -200 | $ | 22,620 | |||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Investment | ||||||||||||||||||||||
And | Financing | Recorded | Related | Past Due | |||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Allowance | and Accruing | |||||||||||||||||||
Net investment in leases | $ | 168 | $ | 108 | $ | 205 | $ | 481 | $ | 4,865 | $ | -200 | $ | 5,146 | |||||||||||
Net financed sales receivables | 450 | 469 | 2,056 | 2,975 | 19,282 | - | 22,257 | ||||||||||||||||||
Total | $ | 618 | $ | 577 | $ | 2,261 | $ | 3,456 | $ | 24,147 | $ | -200 | $ | 27,403 | |||||||||||
The Company considers financing receivables to be impaired when it believes it to be probable that it will not recover the full amount of principal and interest owing under the arrangement. The Company uses its knowledge of the industry and economic trends, as well as its prior experiences to determine the amount recoverable for impaired financing receivables. The following table discloses information regarding the Company's impaired financing receivables: | |||||||||||||||||||||||||
Impaired Financing Receivables | |||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | |||||||||||||||||||||||||
Average | Interest | ||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Income | |||||||||||||||||||||
Investment | Principal | Allowance | Investment | Recognized | |||||||||||||||||||||
Recorded investment for which there is a related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 525 | 335 | -488 | 528 | - | |||||||||||||||||||
Recorded investment for which there is no related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | - | - | - | - | - | ||||||||||||||||||||
Total recorded investment in impaired loans: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 525 | $ | 335 | $ | -488 | $ | 528 | $ | - | |||||||||||||||
Impaired Financing Receivables | |||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | |||||||||||||||||||||||||
Average | Interest | ||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Income | |||||||||||||||||||||
Investment | Principal | Allowance | Investment | Recognized | |||||||||||||||||||||
Recorded investment for which there is a related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 188 | 224 | -66 | 181 | - | |||||||||||||||||||
Recorded investment for which there is no related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | 369 | 31 | - | 372 | 22 | ||||||||||||||||||||
Total recorded investment in impaired loans: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 557 | $ | 255 | $ | -66 | $ | 553 | $ | 22 | |||||||||||||||
The Company's activity in the allowance for credit losses for the period and the Company's recorded investment in financing receivables is as follows: | |||||||||||||||||||||||||
Three Months Ended March 31, 2014 | Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
Net Investment | Net Financed | Net Investment | Net Financed | ||||||||||||||||||||||
in Leases | Sales Receivables | in Leases | Sales Receivables | ||||||||||||||||||||||
Allowance for credit losses: | |||||||||||||||||||||||||
Beginning balance | $ | 806 | $ | 236 | $ | 1,130 | $ | 66 | |||||||||||||||||
Charge-offs | - | - | - | - | |||||||||||||||||||||
Provision | - | 252 | - | - | |||||||||||||||||||||
Ending balance | $ | 806 | $ | 488 | $ | 1,130 | $ | 66 | |||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 806 | $ | 488 | $ | 1,130 | $ | 66 | |||||||||||||||||
Financing receivables: | |||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 13,946 | $ | 91,100 | $ | 14,101 | $ | 83,299 | |||||||||||||||||
(d) Foreign Exchange Risk Management | |||||||||||||||||||||||||
The Company is exposed to market risk from changes in foreign currency rates. A majority portion of the Company's revenues is denominated in U.S. dollars while a substantial portion of its costs and expenses is denominated in Canadian dollars. A portion of the net U.S. dollar cash flows of the Company is periodically converted to Canadian dollars to fund Canadian dollar expenses through the spot market. In China and Japan the Company has ongoing operating expenses related to its operations in Chinese Renminbi and Japanese yen, respectively. Net cash flows are converted to and from U.S. dollars through the spot market. The Company also has cash receipts under leases denominated in Chinese Renminbi, Japanese yen, Canadian dollar and Euros which are converted to U.S. dollars through the spot market. The Company's policy is to not use any financial instruments for trading or other speculative purposes. | |||||||||||||||||||||||||
The Company entered into a series of foreign currency forward contracts to manage the Company's risks associated with the volatility of foreign currencies. Certain of these foreign currency forward contracts met the criteria required for hedge accounting under the Derivatives and Hedging Topic of the FASB ASC at inception, and continue to meet hedge effectiveness tests at March 31, 2014 (the “Foreign Currency Hedges”), with settlement dates throughout 2015. Foreign currency derivatives are recognized and measured in the balance sheet at fair value. Changes in the fair value (gains or losses) are recognized in the condensed consolidated statement of operations except for derivatives designated and qualifying as foreign currency hedging instruments. For foreign currency hedging instruments, the effective portion of the gain or loss in a hedge of a forecasted transaction is reported in other comprehensive income and reclassified to the condensed consolidated statement of operations when the forecasted transaction occurs. Any ineffective portion is recognized immediately in the consolidated statement of operations. The Company currently does not hold any derivatives which are not designated as hedging instruments and therefore no gain or loss pertaining to an ineffective portion has been recognized. | |||||||||||||||||||||||||
The following tabular disclosures reflect the impact that derivative instruments and hedging activities have on the Company's condensed consolidated financial statements: | |||||||||||||||||||||||||
Notional value foreign exchange contracts as at: | |||||||||||||||||||||||||
March 31, | December 31, | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||
Foreign exchange contracts – Forwards | $ | 29,799 | $ | 23,555 | |||||||||||||||||||||
Fair value of derivatives in foreign exchange contracts as at: | |||||||||||||||||||||||||
March 31, | December 31, | ||||||||||||||||||||||||
Balance Sheet Location | 2014 | 2013 | |||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||
Foreign exchange contracts — Forwards | Other assets | $ | 1 | $ | - | ||||||||||||||||||||
Foreign exchange contracts — Forwards | Accrued and other liabilities | -984 | -421 | ||||||||||||||||||||||
$ | -983 | $ | -421 | ||||||||||||||||||||||
Derivatives in Foreign Currency Hedging relationships for the three months ended March 31: | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Foreign exchange contracts – Forwards | Derivative Loss Recognized in OCI (Effective Portion) | $ | -810 | $ | -302 | ||||||||||||||||||||
Location of Derivative (Loss) | |||||||||||||||||||||||||
Gain Reclassified from AOCI | |||||||||||||||||||||||||
into Income (Effective Portion) | 2014 | 2013 | |||||||||||||||||||||||
Foreign exchange contracts – Forwards | Selling, general and administrative expenses | $ | -248 | $ | 130 | ||||||||||||||||||||
(e) Investments in New Business Ventures | |||||||||||||||||||||||||
The Company accounts for investments in new business ventures using the guidance of the FASB ASC 323 or FASB ASC 320, as appropriate. As at March 31, 2014, the equity method of accounting is being utilized for investments with a total carrying value of $1.4 million (December 31, 2013 — $0.4 million). In 2013, the Company contributed $1.4 million, net of its share of costs, to a new business venture in the early-stage of start-up. In the first quarter of 2014, this new business venture was operational. For the three months ended March 31, 2014, gross revenues, cost of revenue and net loss for these investments were $0.9 million, $0.9 million and $0.8 million, respectively (2013 — $3.4 million, $5.5 million and $2.2 million, respectively). The difference between the Company's investment balance and the amount of underlying equity in net assets owned by the Company amounts to $0.4 million and relates to goodwill. The Company has determined it is not the primary beneficiary of these VIEs, and therefore these entities have not been consolidated. In addition, the Company has an investment in preferred stock of another business venture of $1.5 million which meets the criteria for classification as a debt security under the FASB ASC 320 and is recorded at its fair value of $1.0 million at March 31, 2014 (December 31, 2013 — $1.0 million). This investment is classified as an available-for-sale investment. The Company has invested $2.5 million in the preferred shares of an enterprise which meet the criteria for classification as an equity security under ASC 325 − “Investments − Others” (“ASC 325”) and accrued $0.5 million pertaining to warrants related to the respective investment (December 31, 2013 – investment of $2.5 million and $0.5 million pertaining to warrants). There has been no change in the value of this investment. The total carrying value of investments in new business ventures at March 31, 2014 is $5.4 million (December 31, 2013 — $5.8 million) and is recorded in Other Assets. |
Discontinued_Operations
Discontinued Operations | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Discontinued Operations And Disposal Groups [Abstract] | ' | ||||||||
Discontinued Operations | ' | ||||||||
16. Discontinued Operations | |||||||||
Nyack Theater | |||||||||
On January 30, 2014, the Company's lease with respect to its owned and operated Nyack IMAX Theater ended and the Company has decided not to renew the respective lease. The transactions of the Company's owned and operated Nyack theater are reflected as a discontinued operation. | |||||||||
Operating Results for Discontinued Operations | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Services revenue | $ | 35 | $ | 203 | |||||
Services cost of sales applicable to revenues (1) | 537 | -354 | |||||||
Tax (expense) recovery | -217 | 51 | |||||||
Net income (loss) from discontinued operations | $ | 355 | $ | -100 | |||||
__________ | |||||||||
(1) Upon the expiration of the lease, lease inducements contingent upon the completion of the full term of the lease were recognized as a reduction in rent expense of $0.8 million (2013 - $nil). | |||||||||
Subsequent_Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events [TextBlock] | ' |
17. Subsequent Event | |
On April 8, 2014, the Company announced the investment in its Greater China business by CMC Capital partners (“CMC”), an investment fund that is focused on media and entertainment, and FountainVest Partners (“FountainVest”), a China-focused private equity firm. The IMAX China investment provides for the sale and issuance of 20% of the shares in IMAX China to entities owned and controlled by CMC and FountainVest, with the intent of further strengthening the Company's competitive position in China. | |
The sale price for the interest is $80.0 million, to be paid by the investors in two equal installments. The first installment was received on April 8, 2014, and the second installment is due in February 2015. IMAX China remains a consolidated subsidiary of the Company. Beginning in the second quarter of 2014, the Company's condensed consolidated financial statements will include the non-controlling interest in the net income of IMAX China resulting from this transaction and the net proceeds will be classified as redeemable non-controlling interest in temporary equity. | |
The shareholders' agreement contains restrictions on the transfer of IMAX China's common shares, certain provisions related to the composition of IMAX China's board of directors and certain provisions relating to the redemption and share issuance in lieu of initial public offering of IMAX China's shares and put and call rights relating to change of control of the Company. | |
Prior_Periods_Figures
Prior Periods' Figures | 3 Months Ended |
Mar. 31, 2014 | |
Basis of Presentation and Condensed Consolidated Statements of Operations Supplemental Information [Abstract] | ' |
Prior Periods' Figures | ' |
18. Prior Periods' Figures | |
Certain of the prior periods' figures have been reclassified to conform to the current period's presentation. |
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
Basis of Presentation and Condensed Consolidated Statements of Operations Supplemental Information [Abstract] | ' |
Variable interest entities | ' |
The condensed consolidated financial statements include the accounts of the Company together with its wholly-owned subsidiaries, except for subsidiaries which the Company has identified as variable interest entities (“VIEs”) where the Company is not the primary beneficiary. The nature of the Company's business is such that the results of operations for the interim periods presented are not necessarily indicative of results to be expected for the fiscal year. In the opinion of management, the information contained herein reflects all normal and recurring adjustments necessary to make the results of operations for the interim periods a fair statement of such operations. | |
The Company has evaluated its various variable interests to determine whether they are VIEs as required by the Consolidation Topic of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC” or “Codification”). The Company has 10 film production companies that are VIEs. For 3 of the Company's film production companies, the Company has determined that it is the primary beneficiary of these entities as the Company has the power to direct the activities of the respective VIE that most significantly impact the respective VIE's economic performance and has the obligation to absorb losses of the VIE that could potentially be significant to the respective VIE or the right to receive benefits from the respective VIE that could potentially be significant to the respective VIE. The Company continues to consolidate these entities, with no material impact on the operating results or financial condition of the Company, as these production companies have total assets of $0.4 million and total liabilities of $nil as at March 31, 2014 (December 31, 2013 — assets and liabilities of $nil, respectively). For the other 7 film production companies which are VIEs, the Company did not consolidate these film entities since it does not have the power to direct activities and does not absorb the majority of the expected losses or expected residual returns. The Company equity accounts for these entities. As at March 31, 2014, these 7 VIEs have total assets of $5.3 million (December 31, 2013 — $5.2 million) and total liabilities of $5.3 million (December 31, 2013 — $5.2 million). Earnings of the investees included in the Company's condensed consolidated statement of operations amounted to $nil for the three months ended March 31, 2014 (2013 — $nil). The carrying value of these investments in VIEs that are not consolidated is $nil at March 31, 2014 (December 31, 2013 — $nil). A loss in value of an investment other than a temporary decline is recognized as a charge to the condensed consolidated statement of operations. The Company's exposure, which is determined based on the level of funding contributed by the Company and the development stage of the respective film, is $1.6 million at March 31, 2014 (December 31, 2013 — $1.5 million). | |
Income tax policy | ' |
The Company's effective tax rate differs from the statutory tax rate and varies from year to year primarily as a result of numerous permanent differences, investment and other tax credits, the provision for income taxes at different rates in foreign and other provincial jurisdictions, enacted statutory tax rate increases or reductions in the year, changes due to foreign exchange, changes in the Company's valuation allowance based on the Company's recoverability assessments of deferred tax assets, and favorable or unfavorable resolution of various tax examinations. | |
Consistent with its historical financial reporting, the Company has elected to classify interest and penalties related to income tax liabilities, when applicable, as part of the interest expense in its condensed consolidated statement of operations rather than income tax expense. | |
Condition for Company's policy to review and assess collectability on theater's past due accounts | ' |
While recognition of finance income is suspended, payments received by a customer are applied against the outstanding balance owed. If payments are sufficient to cover any unreserved receivables, a recovery of provision taken on the billed amount, if applicable, is recorded to the extent of the residual cash received. Once the collectibility issues are resolved and the customer has returned to being in good standing, the Company will resume recognition of finance income. | |
The Company considers financing receivables with aging between 60-89 days as indications of theaters with potential collection concerns. The Company will begin to focus its review on these financing receivables and increase its discussions internally and with the theater regarding payment status. Once a theater's aging exceeds 90 days, the Company's policy is to review and assess collectibility on the theater's past due accounts. Over 90 days past due is used by the Company as an indicator of potential impairment as invoices up to 90 days outstanding could be considered reasonable due to the time required for dispute resolution or for the provision of further information or supporting documentation to the customer. | |
The Company considers financing receivables to be impaired when it believes it to be probable that it will not recover the full amount of principal and interest owing under the arrangement. | |
Fair Value of Financial Instruments Policy | ' |
The estimated fair values of the net financed sales receivable and net investment in sales-type leases are estimated based on discounting future cash flows at currently available interest rates with comparable terms (Level 2 input in accordance with the Fair Value Measurements Topic of the FASB ASC hierarchy) as at March 31, 2014 and December 31, 2013, respectively. | |
The fair value of the Company's available-for-sale investment is determined using the present value of expected cash flows based on projected earnings and other information readily available from the business venture (Level 3 input in accordance with the Fair Value Measurements Topic of the FASB ASC hierarchy) as at March 31, 2014 and December 31, 2013, respectively. The discounted cash flow valuation technique is based on significant unobservable inputs of revenue and expense projections, appropriately risk weighted, as the investment is in a start-up entity. The significant unobservable inputs used in the fair value measurement of the Company's available-for-sale investment are long-term revenue growth and pretax operating margin. A significant increase (decrease) in any of those inputs in isolation would result in a lower or higher fair value measurement. | |
The fair value of foreign currency derivatives is determined using quoted prices in active markets (Level 2 input in accordance with the Fair Value Measurements Topic of the FASB ASC hierarchy) as at March 31, 2014 and December 31, 2013, respectively. These identical instruments are traded on a closed exchange. | |
Fair Value Transfer Policy | ' |
There were no significant transfers between Level 1 and Level 2 during the three months ended March 31, 2014 or 2013. When a determination is made to classify an asset or liability within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement. | |
Derivatives policy | ' |
The Company entered into a series of foreign currency forward contracts to manage the Company's risks associated with the volatility of foreign currencies. Certain of these foreign currency forward contracts met the criteria required for hedge accounting under the Derivatives and Hedging Topic of the FASB ASC at inception, and continue to meet hedge effectiveness tests at March 31, 2014 (the “Foreign Currency Hedges”), with settlement dates throughout 2015. Foreign currency derivatives are recognized and measured in the balance sheet at fair value. Changes in the fair value (gains or losses) are recognized in the condensed consolidated statement of operations except for derivatives designated and qualifying as foreign currency hedging instruments. For foreign currency hedging instruments, the effective portion of the gain or loss in a hedge of a forecasted transaction is reported in other comprehensive income and reclassified to the condensed consolidated statement of operations when the forecasted transaction occurs. Any ineffective portion is recognized immediately in the consolidated statement of operations. The Company currently does not hold any derivatives which are not designated as hedging instruments and therefore no gain or loss pertaining to an ineffective portion has been recognized. | |
Financing_Receivables_Tables
Financing Receivables (Tables) | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Financing Receivables [Abstract] | ' | |||||
Financing receivables, consisting of net investment in sales-type leases and receivables from financed sales | ' | |||||
March 31, | December 31, | |||||
2014 | 2013 | |||||
Gross minimum lease payments receivable | $ | 16,862 | $ | 17,475 | ||
Unearned finance income | -2,916 | -3,052 | ||||
Minimum lease payments receivable | 13,946 | 14,423 | ||||
Accumulated allowance for uncollectible amounts | -806 | -806 | ||||
Net investment in leases | 13,140 | 13,617 | ||||
Gross financed sales receivables | 125,293 | 129,398 | ||||
Unearned finance income | -34,193 | -35,669 | ||||
Financed sales receivables | 91,100 | 93,729 | ||||
Accumulated allowance for uncollectible amounts | -488 | -236 | ||||
Net financed sales receivables | 90,612 | 93,493 | ||||
Total financing receivables | $ | 103,752 | $ | 107,110 | ||
Net financed sales receivables due within one year | $ | 16,458 | $ | 17,335 | ||
Net financed sales receivables due after one year | $ | 74,154 | $ | 76,158 |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Inventories [Abstract] | ' | |||||
Inventories | ' | |||||
March 31, | December 31, | |||||
2014 | 2013 | |||||
Raw materials | $ | 5,842 | $ | 4,321 | ||
Work-in-process | 549 | 500 | ||||
Finished goods | 7,407 | 5,004 | ||||
$ | 13,798 | $ | 9,825 |
Property_Plant_and_Equipment_T
Property Plant and Equipment (Tables) | 3 Months Ended | |||||||||
Mar. 31, 2014 | ||||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||||
Property, Plant and Equipment | ' | |||||||||
As at March 31, 2014 | ||||||||||
Accumulated | Net Book | |||||||||
Cost | Depreciation | Value | ||||||||
Equipment leased or held for use | ||||||||||
Theater system components | $ | 161,135 | $ | 54,471 | $ | 106,664 | ||||
Camera equipment | 4,591 | 2,821 | 1,770 | |||||||
165,726 | 57,292 | 108,434 | ||||||||
Assets under construction | 11,140 | - | 11,140 | |||||||
Other property, plant and equipment | ||||||||||
Land | 7,936 | - | 7,936 | |||||||
Buildings | 15,948 | 10,552 | 5,396 | |||||||
Office and production equipment | 27,865 | 19,534 | 8,331 | |||||||
Leasehold improvements | 9,886 | 9,248 | 638 | |||||||
61,635 | 39,334 | 22,301 | ||||||||
$ | 238,501 | $ | 96,626 | $ | 141,875 | |||||
As at December 31, 2013 | ||||||||||
Accumulated | Net Book | |||||||||
Cost | Depreciation | Value | ||||||||
Equipment leased or held for use | ||||||||||
Theater system components | $ | 158,192 | $ | 51,537 | $ | 106,655 | ||||
Camera equipment | 4,591 | 2,736 | 1,855 | |||||||
162,783 | 54,273 | 108,510 | ||||||||
Assets under construction | 8,055 | - | 8,055 | |||||||
Other property, plant and equipment | ||||||||||
Land | 1,593 | - | 1,593 | |||||||
Buildings | 15,832 | 10,410 | 5,422 | |||||||
Office and production equipment | 27,190 | 18,707 | 8,483 | |||||||
Leasehold improvements | 9,884 | 9,100 | 784 | |||||||
54,499 | 38,217 | 16,282 | ||||||||
$ | 225,337 | $ | 92,490 | $ | 132,847 |
Other_Intangible_Assets_Tables
Other Intangible Assets (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Other Intangible Assets [Abstract] | ' | ||||||||
Other Intangible Assets | ' | ||||||||
As at March 31, 2014 | |||||||||
Accumulated | Net Book | ||||||||
Cost | Amortization | Value | |||||||
Patents and trademarks | $ | 9,037 | $ | 5,868 | $ | 3,169 | |||
Licenses and intellectual property | 19,990 | 3,654 | 16,336 | ||||||
Other | 8,752 | 1,027 | 7,725 | ||||||
$ | 37,779 | $ | 10,549 | $ | 27,230 | ||||
As at December 31, 2013 | |||||||||
Accumulated | Net Book | ||||||||
Cost | Amortization | Value | |||||||
Patents and trademarks | $ | 8,774 | $ | 5,741 | $ | 3,033 | |||
Licenses and intellectual property | 19,950 | 3,260 | 16,690 | ||||||
Other | 8,843 | 821 | 8,022 | ||||||
$ | 37,567 | $ | 9,822 | $ | 27,745 | ||||
2014 (nine months remaining) | $ | 2,181 | |||||||
2015 | 2,816 | ||||||||
2016 | 2,632 | ||||||||
2017 | 2,632 | ||||||||
2018 | 2,632 |
Contingencies_and_Guarantees_T
Contingencies and Guarantees (Tables) | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Commitments, Contingencies and Guarantees [Abstract] | ' | |||||
Accrual for product warranties | ' | |||||
March 31, | December 31, | |||||
2014 | 2013 | |||||
Balance at the beginning of period | $ | 7 | $ | 32 | ||
Warranty redemptions | -1 | -77 | ||||
Warranties issued | 5 | 52 | ||||
Balance at the end of period | $ | 11 | $ | 7 |
Condensed_Consolidated_Stateme6
Condensed Consolidated Statements of Cash Flows Supplemental Information (Tables) | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Condensed Consolidated Statements of Cash Flows Supplemental Information [Abstract] | ' | ||||||
Changes in other non-cash operating assets and liabilities | ' | ||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Decrease (increase) in: | |||||||
Accounts receivable | $ | 13,011 | $ | -6,353 | |||
Financing receivables | 3,191 | -2,011 | |||||
Inventories | -4,032 | -1,643 | |||||
Prepaid expenses | -1,829 | -949 | |||||
Commissions and other deferred selling expenses | -802 | -37 | |||||
Insurance recoveries | -50 | -88 | |||||
Other assets | -180 | -298 | |||||
Increase (decrease) in: | |||||||
Accounts payable | -5,077 | 2,245 | |||||
Accrued and other liabilities(1) | -7,954 | -3,978 | |||||
Deferred revenue | 6,477 | 2,409 | |||||
$ | 2,755 | $ | -10,703 | ||||
Cash payments | ' | ||||||
(b) Cash payments made on account of: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Income taxes | $ | 2,526 | $ | 173 | |||
Interest | $ | - | $ | 246 | |||
Summary of depreciation and amortization | ' | ||||||
(c) Depreciation and amortization are comprised of the following: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Film assets | $ | 2,373 | $ | 3,468 | |||
Property, plant and equipment | |||||||
Joint revenue sharing arrangements | 2,881 | 2,858 | |||||
Other property, plant and equipment | 1,283 | 1,338 | |||||
Other intangible assets | 727 | 689 | |||||
Other assets | 160 | 140 | |||||
Deferred financing costs | 131 | 98 | |||||
$ | 7,555 | $ | 8,591 | ||||
Write downs, net of recoveries | ' | ||||||
(d) Write-downs, net of recoveries, are comprised of the following: | |||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Property, plant and equipment | $ | 224 | $ | - | |||
Financing receivables | 167 | - | |||||
Accounts receivable | 120 | - | |||||
Inventories | 7 | - | |||||
$ | 518 | $ | - |
Income_Taxes_Tables
Income Taxes (Tables) | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Income Taxes [Abstract] | ' | ||||||
Income Tax Effect on Comprehensive Income | ' | ||||||
Three Months | |||||||
Ended March 31, | |||||||
2014 | 2013 | ||||||
Unrealized change in cash flow hedging instruments | $ | 83 | $ | 77 | |||
Realized change in cash flow hedging instruments upon settlement | 65 | 33 | |||||
Foreign currency translation adjustments | 33 | 87 | |||||
Amortization of actuarial loss on defined benefit plan | - | -29 | |||||
Gain on curtailment of postretirement benefit plan | - | -100 | |||||
$ | 181 | $ | 68 |
Capital_Stock_Tables
Capital Stock (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Capital Stock [Abstract] | ' | ||||||||||
Weighted average fair value of common share granted to employees | ' | ||||||||||
Three Months | |||||||||||
Ended March 31, | |||||||||||
2014 | 2013 | ||||||||||
Average risk-free interest rate | 2.50% | 1.36% | |||||||||
Expected option life (in years) | 4.48 - 5.82 | 4.62 | |||||||||
Expected volatility | 37.50% | 40% | |||||||||
Annual termination probability | 0% - 8.40% | 8.52% | |||||||||
Dividend yield | 0% | 0% | |||||||||
Option activity under the Stock Option Plan | ' | ||||||||||
Weighted Average Exercise | |||||||||||
Number of Shares | Price Per Share | ||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||
Options outstanding, beginning of period | 6,263,121 | 7,441,068 | $ | 21.11 | $ | 18.48 | |||||
Granted | 828,353 | 178,112 | 27.44 | 25.44 | |||||||
Exercised | -100,612 | -383,651 | 7.37 | 6.48 | |||||||
Forfeited | - | -21,750 | - | 26.49 | |||||||
Cancelled | -6,000 | -1,250 | 31.73 | 29.49 | |||||||
Options outstanding, end of period | 6,984,862 | 7,212,529 | 22.05 | 19.27 | |||||||
Options exercisable, end of period | 4,006,707 | 3,507,692 | 19.65 | 16.57 | |||||||
Movement of Restricted Stock Units | ' | ||||||||||
Weighted Average Grant Date Fair Value | |||||||||||
Number of Awards | |||||||||||
RSUs outstanding, beginning of period | 264,140 | $ | 26.14 | ||||||||
Granted | 436,958 | 27.59 | |||||||||
Vested and settled | -43,138 | 26.28 | |||||||||
RSUs outstanding, end of period | 657,960 | 27.1 | |||||||||
Basic and diluted per-share computations | ' | ||||||||||
Three Months | |||||||||||
Ended March 31, | |||||||||||
2014 | 2013 | ||||||||||
Net income applicable to common shareholders | $ | 579 | $ | 2,861 | |||||||
Weighted average number of common shares (000's): | |||||||||||
Issued and outstanding, beginning of period | 67,841 | 66,482 | |||||||||
Weighted average number of shares issued during the period | 67 | 164 | |||||||||
Weighted average number of shares used in computing basic income per | |||||||||||
Share | 67,908 | 66,646 | |||||||||
Assumed exercise of stock options and RSUs, net of shares assumed repurchased | 1,413 | 2,044 | |||||||||
Weighted average number of shares used in computing diluted income per | |||||||||||
Share | 69,321 | 68,690 | |||||||||
Movement of Shareholders' Equity | ' | ||||||||||
Balance as at December 31, 2013 | $ | 319,585 | |||||||||
Net income | 579 | ||||||||||
Adjustments to capital stock: | |||||||||||
Issuance of common shares for stock options exercised | 742 | ||||||||||
Issuance of common shares for vested RSUs | 402 | ||||||||||
Stock options exercised | 228 | ||||||||||
Adjustments to other equity: | |||||||||||
Employee stock options granted | 2,250 | ||||||||||
Stock options exercised | -228 | ||||||||||
RSUs granted | 914 | ||||||||||
RSUs vested | -1,192 | ||||||||||
Excess tax benefits from RSUs | 20 | ||||||||||
Adjustments to accumulated other comprehensive loss: | |||||||||||
Unrealized net loss from cash flow hedging instruments | -810 | ||||||||||
Realization of cash flow hedging net loss upon settlement | 248 | ||||||||||
Foreign currency translation adjustment | -146 | ||||||||||
Tax effect of movement in other comprehensive loss | 181 | ||||||||||
Balance as at March 31, 2014 | $ | 322,773 |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Segmented Information [Abstract] | ' | |||||||||||
Inter-segment revenue | ' | |||||||||||
Three Months | ||||||||||||
Ended March 31, | ||||||||||||
2014 | 2013 | |||||||||||
Revenue(1) | ||||||||||||
IMAX theater systems | ||||||||||||
IMAX systems | $ | 7,760 | $ | 12,738 | ||||||||
Theater system maintenance | 8,195 | 7,789 | ||||||||||
Joint revenue sharing arrangements | 10,856 | 9,376 | ||||||||||
26,811 | 29,903 | |||||||||||
Films | ||||||||||||
Production and IMAX DMR | 15,185 | 14,355 | ||||||||||
Distribution | 1,463 | 2,487 | ||||||||||
Post-production | 3,226 | 1,141 | ||||||||||
19,874 | 17,983 | |||||||||||
Other | 1,512 | 1,780 | ||||||||||
Total | $ | 48,197 | $ | 49,666 | ||||||||
Gross margins | ||||||||||||
IMAX theater systems | ||||||||||||
IMAX systems(2) | $ | 4,773 | $ | 8,191 | ||||||||
Theater system maintenance | 3,001 | 3,054 | ||||||||||
Joint revenue sharing arrangements(2) | 7,283 | 6,159 | ||||||||||
15,057 | 17,404 | |||||||||||
Films | ||||||||||||
Production and IMAX DMR(2) | 11,074 | 9,213 | ||||||||||
Distribution(2) | 190 | 203 | ||||||||||
Post-production | 525 | -432 | ||||||||||
11,789 | 8,984 | |||||||||||
Other | -438 | -198 | ||||||||||
Total | $ | 26,408 | $ | 26,190 | ||||||||
Three Months | ||||||||||||
Ended March 31, | ||||||||||||
2014 | 2013 | |||||||||||
Revenue | ||||||||||||
United States | $ | 19,684 | $ | 21,335 | ||||||||
Canada | 2,125 | 1,749 | ||||||||||
Greater China | 10,509 | 11,027 | ||||||||||
Western Europe | 4,996 | 3,390 | ||||||||||
Asia (excluding Greater China) | 4,286 | 3,991 | ||||||||||
Russia and the CIS | 2,346 | 4,939 | ||||||||||
Latin America | 2,256 | 1,420 | ||||||||||
Rest of the World | 1,995 | 1,815 | ||||||||||
Total | $ | 48,197 | $ | 49,666 |
Employees_Pension_and_Postreti1
Employees Pension and Postretirement Benefits (Tables) | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
SERP Benefits [Member] | ' | ||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ||||||
Amounts accrued | ' | ||||||
As at | As at | ||||||
March 31, | December 31, | ||||||
2014 | 2013 | ||||||
Obligation, beginning of period | $ | 18,284 | $ | 20,366 | |||
Interest cost | 66 | 195 | |||||
Actuarial gain | - | -2,277 | |||||
Obligation, end of period and unfunded status | $ | 18,350 | $ | 18,284 | |||
The following table provides disclosure of pension expense for the SERP: | |||||||
Three Months Ended March 31, | |||||||
2014 | 2013 | ||||||
Interest cost | $ | 66 | $ | 49 | |||
Amortization of actuarial loss | - | 111 | |||||
Pension expense | $ | 66 | $ | 160 | |||
Schedule of expected benefit payments | ' | ||||||
2014 (nine months remaining) | $ | - | |||||
2015 | - | ||||||
2016 | - | ||||||
2017 | 19,228 | ||||||
2018 | - | ||||||
Thereafter | - | ||||||
$ | 19,228 | ||||||
Postretirement Benefits Executive [Member] | ' | ||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ||||||
Schedule of expected benefit payments | ' | ||||||
2014 (nine months remaining) | $ | 20 | |||||
2015 | 22 | ||||||
2016 | 24 | ||||||
2017 | 29 | ||||||
2018 | 33 | ||||||
Thereafter | 269 | ||||||
$ | 397 | ||||||
Postretirement Benefits Canadian Employees [Member] | ' | ||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ||||||
Schedule of expected benefit payments | ' | ||||||
2014 (nine months remaining) | $ | 76 | |||||
2015 | 89 | ||||||
2016 | 99 | ||||||
2017 | 110 | ||||||
2018 | 116 | ||||||
Thereafter | 1,856 | ||||||
$ | 2,346 |
Financial_Instruments_Tables
Financial Instruments (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Financial Instruments [Abstract] | ' | ||||||||||||||||||||||||
Fair Value of Financial Instruments | ' | ||||||||||||||||||||||||
As at March 31, 2014 | As at December 31, 2013 | ||||||||||||||||||||||||
Carrying | Estimated | Carrying | Estimated | ||||||||||||||||||||||
Amount | Fair Value | Amount | Fair Value | ||||||||||||||||||||||
Net financed sales receivable | $ | 90,612 | $ | 89,244 | $ | 93,493 | $ | 92,043 | |||||||||||||||||
Net investment in sales-type leases | $ | 13,140 | $ | 12,747 | $ | 13,617 | $ | 13,214 | |||||||||||||||||
Available-for-sale investment | $ | 1,000 | $ | 1,000 | $ | 1,000 | $ | 1,000 | |||||||||||||||||
Foreign exchange contracts — designated forwards | $ | -983 | $ | -983 | $ | -421 | $ | -421 | |||||||||||||||||
Summary of changes in the fair value | ' | ||||||||||||||||||||||||
Available For Sale Investments | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Beginning balance, January 1, | $ | 1,000 | $ | 1,350 | |||||||||||||||||||||
Transfers into/out of Level 3 | - | - | |||||||||||||||||||||||
Total gains or losses (realized/unrealized) | |||||||||||||||||||||||||
Included in earnings | - | - | |||||||||||||||||||||||
Change in other comprehensive income | - | - | |||||||||||||||||||||||
Purchases, issuances, sales and settlements | - | - | |||||||||||||||||||||||
Ending balance, March 31, | $ | 1,000 | $ | 1,350 | |||||||||||||||||||||
The amount of total gains or losses for the period included in earnings attributable to the | |||||||||||||||||||||||||
change in unrealized gains or losses relating to assets still held at the reporting date | $ | - | $ | - | |||||||||||||||||||||
Recorded Investment in Financing Receivables | ' | ||||||||||||||||||||||||
As at March 31, 2014 | As at December 31, 2013 | ||||||||||||||||||||||||
Minimum | Financed | Minimum | Financed | ||||||||||||||||||||||
Lease | Sales | Lease | Sales | ||||||||||||||||||||||
Payments | Receivables | Total | Payments | Receivables | Total | ||||||||||||||||||||
In good standing | $ | 11,867 | $ | 89,113 | $ | 100,980 | $ | 12,318 | $ | 89,017 | $ | 101,335 | |||||||||||||
Credit watch | 410 | 571 | 981 | 420 | 3,895 | 4,315 | |||||||||||||||||||
Pre-approved transactions | 258 | 555 | 813 | 288 | - | 288 | |||||||||||||||||||
Transactions suspended | 1,411 | 861 | 2,272 | 1,397 | 817 | 2,214 | |||||||||||||||||||
$ | 13,946 | $ | 91,100 | $ | 105,046 | $ | 14,423 | $ | 93,729 | $ | 108,152 | ||||||||||||||
Investment In Financing Receivables On Nonaccrual Status | ' | ||||||||||||||||||||||||
As at March 31, 2014 | As at December 31, 2013 | ||||||||||||||||||||||||
Recorded | Related | Recorded | Related | ||||||||||||||||||||||
Investment | Allowance | Investment | Allowance | ||||||||||||||||||||||
Net investment in leases | $ | 1,411 | $ | -606 | $ | 1,684 | $ | -606 | |||||||||||||||||
Net financed sales receivables | 861 | -488 | 817 | -236 | |||||||||||||||||||||
$ | 2,272 | $ | -1,094 | $ | 2,501 | $ | -842 | ||||||||||||||||||
Aging of Financing Receivables | ' | ||||||||||||||||||||||||
As at March 31, 2014 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Total | Investment | |||||||||||||||||||||
And | Financing | Recorded | Recorded | Related | Net of | ||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Investment | Allowances | Allowances | ||||||||||||||||||
Net investment in leases | $ | 278 | $ | 277 | $ | 929 | $ | 1,484 | $ | 12,462 | $ | 13,946 | $ | -806 | $ | 13,140 | |||||||||
Net financed sales receivables | 2,449 | 1,799 | 3,543 | 7,791 | 83,309 | 91,100 | -488 | 90,612 | |||||||||||||||||
Total | $ | 2,727 | $ | 2,076 | $ | 4,472 | $ | 9,275 | $ | 95,771 | $ | 105,046 | $ | -1,294 | $ | 103,752 | |||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Total | Investment | |||||||||||||||||||||
And | Financing | Recorded | Recorded | Related | Net of | ||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Investment | Allowances | Allowances | ||||||||||||||||||
Net investment in leases | $ | 444 | $ | 218 | $ | 841 | $ | 1,503 | $ | 12,920 | $ | 14,423 | $ | -806 | $ | 13,617 | |||||||||
Net financed sales receivables | 2,502 | 1,211 | 3,018 | 6,731 | 86,998 | 93,729 | -236 | 93,493 | |||||||||||||||||
Total | $ | 2,946 | $ | 1,429 | $ | 3,859 | $ | 8,234 | $ | 99,918 | $ | 108,152 | $ | -1,042 | $ | 107,110 | |||||||||
Financing receivables continues to accrue finance income | ' | ||||||||||||||||||||||||
As at March 31, 2014 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Investment | ||||||||||||||||||||||
And | Financing | Recorded | Related | Past Due | |||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Allowance | and Accruing | |||||||||||||||||||
Net investment in leases | $ | 180 | $ | 161 | $ | 291 | $ | 632 | $ | 4,182 | $ | -200 | $ | 4,614 | |||||||||||
Net financed sales receivables | 424 | 473 | 1,429 | 2,326 | 15,680 | - | 18,006 | ||||||||||||||||||
Total | $ | 604 | $ | 634 | $ | 1,720 | $ | 2,958 | $ | 19,862 | $ | -200 | $ | 22,620 | |||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Related | Recorded | ||||||||||||||||||||||||
Accrued | Billed | Unbilled | Investment | ||||||||||||||||||||||
And | Financing | Recorded | Related | Past Due | |||||||||||||||||||||
Current | 30-89 Days | 90+ Days | Receivables | Investment | Allowance | and Accruing | |||||||||||||||||||
Net investment in leases | $ | 168 | $ | 108 | $ | 205 | $ | 481 | $ | 4,865 | $ | -200 | $ | 5,146 | |||||||||||
Net financed sales receivables | 450 | 469 | 2,056 | 2,975 | 19,282 | - | 22,257 | ||||||||||||||||||
Total | $ | 618 | $ | 577 | $ | 2,261 | $ | 3,456 | $ | 24,147 | $ | -200 | $ | 27,403 | |||||||||||
Impaired financing receivables | ' | ||||||||||||||||||||||||
Impaired Financing Receivables | |||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | |||||||||||||||||||||||||
Average | Interest | ||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Income | |||||||||||||||||||||
Investment | Principal | Allowance | Investment | Recognized | |||||||||||||||||||||
Recorded investment for which there is a related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 525 | 335 | -488 | 528 | - | |||||||||||||||||||
Recorded investment for which there is no related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | - | - | - | - | - | ||||||||||||||||||||
Total recorded investment in impaired loans: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 525 | $ | 335 | $ | -488 | $ | 528 | $ | - | |||||||||||||||
Impaired Financing Receivables | |||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | |||||||||||||||||||||||||
Average | Interest | ||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Income | |||||||||||||||||||||
Investment | Principal | Allowance | Investment | Recognized | |||||||||||||||||||||
Recorded investment for which there is a related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 188 | 224 | -66 | 181 | - | |||||||||||||||||||
Recorded investment for which there is no related allowance: | |||||||||||||||||||||||||
Net financed sales receivables | 369 | 31 | - | 372 | 22 | ||||||||||||||||||||
Total recorded investment in impaired loans: | |||||||||||||||||||||||||
Net financed sales receivables | $ | 557 | $ | 255 | $ | -66 | $ | 553 | $ | 22 | |||||||||||||||
Allowance for credit losses and investment in financing receivables | ' | ||||||||||||||||||||||||
Three Months Ended March 31, 2014 | Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
Net Investment | Net Financed | Net Investment | Net Financed | ||||||||||||||||||||||
in Leases | Sales Receivables | in Leases | Sales Receivables | ||||||||||||||||||||||
Allowance for credit losses: | |||||||||||||||||||||||||
Beginning balance | $ | 806 | $ | 236 | $ | 1,130 | $ | 66 | |||||||||||||||||
Charge-offs | - | - | - | - | |||||||||||||||||||||
Provision | - | 252 | - | - | |||||||||||||||||||||
Ending balance | $ | 806 | $ | 488 | $ | 1,130 | $ | 66 | |||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 806 | $ | 488 | $ | 1,130 | $ | 66 | |||||||||||||||||
Financing receivables: | |||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 13,946 | $ | 91,100 | $ | 14,101 | $ | 83,299 | |||||||||||||||||
Notional amount of derivative | ' | ||||||||||||||||||||||||
March 31, | December 31, | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||
Foreign exchange contracts – Forwards | $ | 29,799 | $ | 23,555 | |||||||||||||||||||||
Fair value of foreign exchange contracts | ' | ||||||||||||||||||||||||
March 31, | December 31, | ||||||||||||||||||||||||
Balance Sheet Location | 2014 | 2013 | |||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||
Foreign exchange contracts — Forwards | Other assets | $ | 1 | $ | - | ||||||||||||||||||||
Foreign exchange contracts — Forwards | Accrued and other liabilities | -984 | -421 | ||||||||||||||||||||||
$ | -983 | $ | -421 | ||||||||||||||||||||||
Derivatives in Foreign Currency Hedging relationships | ' | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Foreign exchange contracts – Forwards | Derivative Loss Recognized in OCI (Effective Portion) | $ | -810 | $ | -302 | ||||||||||||||||||||
Location of Derivative (Loss) | |||||||||||||||||||||||||
Gain Reclassified from AOCI | |||||||||||||||||||||||||
into Income (Effective Portion) | 2014 | 2013 | |||||||||||||||||||||||
Foreign exchange contracts – Forwards | Selling, general and administrative expenses | $ | -248 | $ | 130 | ||||||||||||||||||||
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Discontinued Operations And Disposal Groups [Abstract] | ' | ||||||||
Schedule of Discontinued Operations | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Services revenue | $ | 35 | $ | 203 | |||||
Services cost of sales applicable to revenues (1) | 537 | -354 | |||||||
Tax (expense) recovery | -217 | 51 | |||||||
Net income (loss) from discontinued operations | $ | 355 | $ | -100 | |||||
Basis_of_Presentation_Details
Basis of Presentation (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Basis of Presentation (Textuals) [Abstract] | ' | ' | ' |
Number Of Variable Interest Entities | '10 | ' | ' |
Number Of Variable Interest Entities Primary Beneficiary | '3 | ' | ' |
Number Of Variable Interest Entities Not A Primary Beneficiary | '7 | ' | ' |
Variable interest entity, non-consolidated, Assets | $5.30 | ' | ' |
Variable interest entity, non-consolidated, Liabilities | 5.3 | ' | ' |
Total carrying value of investments in new business ventures | 5.4 | ' | 5.8 |
Investment in preferred stock of other business venture | 1 | ' | 1 |
Cost of available for sale securities | 1.5 | ' | ' |
Cost Method Investments Original Cost | 2.5 | ' | 2.5 |
Warrants | 0.5 | ' | 0.5 |
Variable Interest Entity, Primary Beneficiary [Member] | ' | ' | ' |
Basis of Presentation (Textuals) [Abstract] | ' | ' | ' |
Variable interest entity, consolidated, Assets | 0.4 | ' | 0 |
Variable interest entity, consolidated, Liabilities | 0 | ' | 0 |
Variable Interest Entity, Not Primary Beneficiary [Member] | ' | ' | ' |
Basis of Presentation (Textuals) [Abstract] | ' | ' | ' |
Variable interest entity, non-consolidated, Assets | 5.3 | ' | 5.2 |
Variable interest entity, non-consolidated, Liabilities | 5.3 | ' | 5.2 |
Earnings of the investees | 0 | 0 | ' |
Loss exposure | 1.6 | ' | 1.5 |
Carrying value of equity investments | 1.4 | ' | 0.4 |
Carrying value of investments | 0 | ' | 0 |
Variable Interest Entity, Not Primary Beneficiary [Member] | New Equity Accounted Investment [Member] | ' | ' | ' |
Basis of Presentation (Textuals) [Abstract] | ' | ' | ' |
Carrying value of equity investments | ' | ' | $1.40 |
Financing_Receivables_Details
Financing Receivables (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing receivables, consisting of net investment in sales-type leases and receivables from financed sales | ' | ' |
Gross minimum lease payments receivable | $16,862 | $17,475 |
Unearned finance income | -2,916 | -3,052 |
Minimum lease payments receivable | 13,946 | 14,423 |
Accumulated allowance for uncollectible amounts | -806 | -806 |
Net investment in leases | 13,140 | 13,617 |
Gross financed sales receivables | 125,293 | 129,398 |
Unearned finance income | -34,193 | -35,669 |
Financed sales receivables | 91,100 | 93,729 |
Accumulated allowance for uncollectible amounts | -488 | -236 |
Net financed sales receivables | 90,612 | 93,493 |
Total financing receivables | 103,752 | 107,110 |
Net financed sales receivables due within one year | 16,458 | 17,335 |
Net financed sales receivables due after one year | $74,154 | $76,158 |
Inventories_Details
Inventories (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventories | ' | ' |
Raw materials | $5,842 | $4,321 |
Work-in-process | 549 | 500 |
Finished goods | 7,407 | 5,004 |
Total | $13,798 | $9,825 |
Property_Plant_and_Equipment_D
Property Plant and Equipment (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, plant and equipment | ' | ' |
Cost | $238,501 | $225,337 |
Accumulated Depreciation | 96,626 | 92,490 |
Net Book Value | 141,875 | 132,847 |
Equipment leased or held for use [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 165,726 | 162,783 |
Accumulated Depreciation | 57,292 | 54,273 |
Net Book Value | 108,434 | 108,510 |
Theater System Components [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 161,135 | 158,192 |
Accumulated Depreciation | 54,471 | 51,537 |
Net Book Value | 106,664 | 106,655 |
Camera Equipment [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 4,591 | 4,591 |
Accumulated Depreciation | 2,821 | 2,736 |
Net Book Value | 1,770 | 1,855 |
Assets Under Construction [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 11,140 | 8,055 |
Accumulated Depreciation | 0 | 0 |
Net Book Value | 11,140 | 8,055 |
Other property, plant and equipment [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 61,635 | 54,499 |
Accumulated Depreciation | 39,334 | 38,217 |
Net Book Value | 22,301 | 16,282 |
Land [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 7,936 | 1,593 |
Accumulated Depreciation | 0 | 0 |
Net Book Value | 7,936 | 1,593 |
Buildings [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 15,948 | 15,832 |
Accumulated Depreciation | 10,552 | 10,410 |
Net Book Value | 5,396 | 5,422 |
Office and Production Equipment [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 27,865 | 27,190 |
Accumulated Depreciation | 19,534 | 18,707 |
Net Book Value | 8,331 | 8,483 |
Leasehold Improvements [Member] | ' | ' |
Property, plant and equipment | ' | ' |
Cost | 9,886 | 9,884 |
Accumulated Depreciation | 9,248 | 9,100 |
Net Book Value | $638 | $784 |
Other_Intangible_Assets_Detail
Other Intangible Assets (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Intangible Assets | ' | ' |
Other Intangible Assets, Cost | $37,779 | $37,567 |
Other Intangible Assets, Accumulated Amortization | 10,549 | 9,822 |
Other Intangible Assets, Net Book Value | 27,230 | 27,745 |
Patents and Trademarks [Member] | ' | ' |
Other Intangible Assets | ' | ' |
Other Intangible Assets, Cost | 9,037 | 8,774 |
Other Intangible Assets, Accumulated Amortization | 5,868 | 5,741 |
Other Intangible Assets, Net Book Value | 3,169 | 3,033 |
Licenses and Intellectual Property [Member] | ' | ' |
Other Intangible Assets | ' | ' |
Other Intangible Assets, Cost | 19,990 | 19,950 |
Other Intangible Assets, Accumulated Amortization | 3,654 | 3,260 |
Other Intangible Assets, Net Book Value | 16,336 | 16,690 |
Other [Member] | ' | ' |
Other Intangible Assets | ' | ' |
Other Intangible Assets, Cost | 8,752 | 8,843 |
Other Intangible Assets, Accumulated Amortization | 1,027 | 821 |
Other Intangible Assets, Net Book Value | $7,725 | $8,022 |
Contingencies_and_Guarantees_D
Contingencies and Guarantees (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Accrual for product warranties | ' | ' |
Balance at the beginning of period | $7 | $32 |
Warranty redemptions | -1 | -77 |
Warranties issued | 5 | 52 |
Balance at the end of period | $11 | $7 |
Condensed_Consolidated_Stateme7
Condensed Consolidated Statement of Operations Supplemental Information (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Film | ||
Theaters | ||
Exhibitor | ||
Selling Expenses | ' | ' |
Deferred direct selling cost and direct advertising and marketing | $0.20 | $0.30 |
Film exploitation costs, including advertising and marketing | 1.3 | 1 |
Commissions recognized as cost and expenses | 0.1 | 0.1 |
Commissions recognized as cost and expenses | 'less than | 'less than |
Direct advertising and marketing costs related to theater | 0.2 | 0.2 |
Foreign Exchange | ' | ' |
Foreign exchange translation loss related to monetary assets and liabilities | -0.7 | -0.1 |
Foreign exchange translation loss related to monetary assets and liabilities | ' | 'less than |
Collaborative Arrangements | ' | ' |
Non-cancellable term of joint revenue sharing arrangements | '10 to 13 years | ' |
Total number of exhibitors under joint revenue sharing agreements | 39 | ' |
Total number of theater systems under joint revenue sharing agreements | 649 | ' |
Total number of operating theaters under joint revenue sharing agreement | 388 | ' |
Amounts attributable to transactions arising between the company and its customers under joint revenue sharing arrangements | 10.9 | 9.4 |
IMAX DMR films exhibited in the current period | 18 | ' |
Number of films to be released in the remainder of the current year | 10 | ' |
Amounts attributable to transactions arising between the company and its customers under IMAX DMR arrangements | 15.2 | 14.4 |
Number of significant co-produced film arrangement | 1 | ' |
Number of other co-produced film arrangements | 6 | ' |
Variable interest entity, non-consolidated, Assets | 5.3 | ' |
Variable interest entity, non-consolidated, Liabilities | 5.3 | ' |
Amounts attributable to transactions between the company and other parties included in cost and expense | $0.50 | $1.10 |
Maximum [Member] | ' | ' |
Collaborative Arrangements | ' | ' |
Non-cancellable term of joint revenue sharing arrangements | 13 | ' |
Percentage of the gross box-office receipts of the film for recovering digital re-mastering cost | 15.00% | ' |
Minimum [Member] | ' | ' |
Collaborative Arrangements | ' | ' |
Non-cancellable term of joint revenue sharing arrangements | 10 | ' |
Percentage of the gross box-office receipts of the film for recovering digital re-mastering cost | 10.00% | ' |
Condensed_Consolidated_Stateme8
Condensed Consolidated Statements of Cash Flows Supplemental Information (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Decrease (increase) in: | ' | ' |
Accounts receivable | $13,011 | ($6,353) |
Financing receivables | 3,191 | -2,011 |
Inventories | -4,032 | -1,643 |
Prepaid expenses | -1,829 | -949 |
Commissions and other deferred selling expenses | -802 | -37 |
Insurance recoveries | -50 | -88 |
Other assets | -180 | -298 |
Increase (decrease) in: | ' | ' |
Accounts payable | -5,077 | 2,245 |
Accrued and other Liabilities | -7,954 | -3,978 |
Deferred revenue | 6,477 | 2,409 |
Changes in other non-cash operating assets and liabilities | 2,755 | -10,703 |
Cash payments | ' | ' |
Income taxes | 2,526 | 173 |
Interest | $0 | $246 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Unrealized change in cash flow hedging instruments | $83 | $77 |
Realized change in cash flow hedging instruments upon settlement | 65 | 33 |
Foreign currency translation adjustments | 33 | 87 |
Amortization of actuarial loss on defined benefit plan | 0 | -29 |
Gain on curtailment of postretirement benefit plan | 0 | -100 |
Income tax effect on comprehensive loss | $181 | $68 |
Capital_Stock_Details
Capital Stock (Details) (Employee Stock Option [Member]) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Weighted average fair value of common share granted to employees | ' | ' |
Average risk-free interest rate | 2.50% | 1.36% |
Expected volatility | 37.50% | 40.00% |
Dividend yield | 0.00% | 0.00% |
Maximum [Member] | ' | ' |
Weighted average fair value of common share granted to employees | ' | ' |
Expected option life (in years) | '5 years 9 months 25 days | '4 years 7 months 13 days |
Annual termination probability | 8.40% | 8.52% |
Minimum [Member] | ' | ' |
Weighted average fair value of common share granted to employees | ' | ' |
Expected option life (in years) | '4 years 5 months 23 days | '4 years 7 months 13 days |
Annual termination probability | 0.00% | 8.52% |
Segmented_Information_Details
Segmented Information (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Revenues | ' | ' |
Revenues | $48,197 | $49,666 |
Gross margins | ' | ' |
Gross margins | 26,408 | 26,190 |
Imax Theater Systems Total [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 26,811 | 29,903 |
Gross margins | ' | ' |
Gross margins | 15,057 | 17,404 |
Imax Systems [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 7,760 | 12,738 |
Gross margins | ' | ' |
Gross margins | 4,773 | 8,191 |
Theater System Maintenance [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 8,195 | 7,789 |
Gross margins | ' | ' |
Gross margins | 3,001 | 3,054 |
Joint Revenue Sharing Arrangements [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 10,856 | 9,376 |
Gross margins | ' | ' |
Gross margins | 7,283 | 6,159 |
Films Total [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 19,874 | 17,983 |
Gross margins | ' | ' |
Gross margins | 11,789 | 8,984 |
Production and IMAX DMR [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 15,185 | 14,355 |
Gross margins | ' | ' |
Gross margins | 11,074 | 9,213 |
Distribution [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 1,463 | 2,487 |
Gross margins | ' | ' |
Gross margins | 190 | 203 |
Post Production [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 3,226 | 1,141 |
Gross margins | ' | ' |
Gross margins | 525 | -432 |
Others [Member] | ' | ' |
Revenues | ' | ' |
Revenues | 1,512 | 1,780 |
Gross margins | ' | ' |
Gross margins | ($438) | ($198) |
Employees_Pension_and_Postreti2
Employees Pension and Postretirement Benefits (Details) (Pension Plans, Defined Benefit [Member], USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Pension Plans, Defined Benefit [Member] | ' | ' | ' |
Amounts Accrued | ' | ' | ' |
Obligation, beginning of period | $18,284 | $20,366 | $20,366 |
Interest cost | 66 | 49 | 195 |
Actuarial loss | 0 | ' | -2,277 |
Obligation, end of period and unfunded status | 18,350 | ' | 18,284 |
Pension Expense | ' | ' | ' |
Interest cost | 66 | 49 | 195 |
Amortization of actuarial loss | 0 | 111 | ' |
Pension expense | $66 | $160 | ' |
Financial_Instruments_Details
Financial Instruments (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Financial Instrument | ' | ' |
Net financed sales receivable | $90,612 | $93,493 |
Net investment in sales-type leases | 13,140 | 13,617 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ' | ' |
Other Financial Instrument | ' | ' |
Net financed sales receivable | 90,612 | 93,493 |
Net investment in sales-type leases | 13,140 | 13,617 |
Available-for-sale investment | 1,000 | 1,000 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | Designated as Hedging Instrument [Member] | ' | ' |
Other Financial Instrument | ' | ' |
Foreign exchange contracts | -983 | -421 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Other Financial Instrument | ' | ' |
Net financed sales receivable | 89,244 | 92,043 |
Net investment in sales-type leases | 12,747 | 13,214 |
Available-for-sale investment | 1,000 | 1,000 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Designated as Hedging Instrument [Member] | ' | ' |
Other Financial Instrument | ' | ' |
Foreign exchange contracts | ($983) | ($421) |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Discontinued Operations And Disposal Groups [Abstract] | ' | ' |
Services revenue | $35 | $203 |
Services cost of sales applicable to revenues | 537 | -354 |
Tax (expense) recovery | -217 | 51 |
Net income (loss) from discontinued operations | $355 | ($100) |
Subsequent_Event_Details
Subsequent Event (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2014 |
Subsequent Events [Abstract] | ' |
Subsequent Events Date | 8-Apr-14 |
Subsequent Event Description | 'On April 8, 2014, the Company announced the investment in its Greater China business by CMC Capital partners (“CMC”), an investment fund that is focused on media and entertainment, and FountainVest Partners (“FountainVest”), a China-focused private equity firm. The IMAX China investment provides for the sale and issuance of 20% of the shares in IMAX China to entities owned and controlled by CMC and FountainVest, with the intent of further strengthening the Company’s competitive position in China. The sale price for the interest is $80.0 million, to be paid by the investors in two equal installments. The first installment was received on April 8, 2014, and the second installment is due in February 2015. IMAX China remains a consolidated subsidiary of the Company. Beginning in the second quarter of 2014, the Company’s condensed consolidated financial statements will include the non-controlling interest in the net income of IMAX China resulting from this transaction and the net proceeds will be classified as redeemable non-controlling interest in temporary equity. The shareholders’ agreement contains restrictions on the transfer of IMAX China’s common shares, certain provisions related to the composition of IMAX China’s board of directors and certain provisions relating to the redemption and share issuance in lieu of initial public offering of IMAX China’s shares and put and call rights relating to change of control of the Company. |
Sale and issuance of the shares in IMAX China to third party | 20.00% |
Third party sale price for share in IMAX China | $80 |
Number Of Installments | '2 |
Financing_Receivables_Details_
Financing Receivables (Details Textuals) | Mar. 31, 2014 | Dec. 31, 2013 |
Financing Receivables (Textuals) [Abstract] | ' | ' |
Financed sale receivables, Weighted average effective interest rate | 10.00% | 9.80% |
Inventories_Details_Textuals
Inventories (Details Textuals) (USD $) | 3 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |
Inventories (Textuals) [Abstract] | ' | ' | ' |
Finished goods inventory with title passed to customer | $2,700,000 | ' | $1,700,000 |
Write-downs for excess and obsolete inventory | $7,000 | $0 | ' |
Other_Intangible_Assets_Detail1
Other Intangible Assets (Details 1) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Other Intangible Assets [Abstract] | ' |
2014 (nine months remaining) | $2,181 |
2015 | 2,816 |
2016 | 2,632 |
2017 | 2,632 |
2018 | $2,632 |
Other_Intangible_Assets_Detail2
Other Intangible Assets (Details Textuals) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Other Intangible Assets (Textuals) [Abstract] | ' | ' |
Other Intangible Asset, comprised mainly of ERP System | $8.80 | ' |
Acquisition of patents and Trademarks, cost | 0.2 | ' |
Weighted average amortization period for additions to other intangible assets | '10 years | ' |
Costs incurred to renew or extend the term of acquired other intangible assets | 'less than | 'less than |
Costs incurred to renew or extend the term of acquired other intangible assets | $0.10 | $0.10 |
Credit_Facility_Details_Textua
Credit Facility (Details Textuals) (USD $) | Apr. 08, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Feb. 07, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | Wells Fargo Foreign Exchange Facility [Member] | Bank of Montreal Facilities [Member] | Bank of Montreal Facilities [Member] | Prior Credit Facility [Member] | Credit Facility [Member] | Credit Facility [Member] | Credit Facility [Member] | Credit Facility [Member] | Credit Facility [Member] | ||
Letter Of Credit And Apg [Member] | Letter Of Credit And Apg [Member] | Revolving Loan [Member] | Revolving Loan [Member] | ||||||||
Credit Facility (Textuals) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit Facility Expiration Date | ' | ' | ' | ' | ' | ' | 7-Feb-18 | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | $110,000 | ' | ' | $200,000 | ' | ' |
Sale and issuance of the shares in IMAX China to third party | 20.00% | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Effective interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | 2.66% |
Current borrowing capacity | ' | ' | ' | 10,000 | 10,000 | ' | 200,000 | 200,000 | ' | ' | ' |
Amounts drawn | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' |
Settlement risk on its foreign currency forward contracts | ' | ' | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Notional Amount of arrangements entered into | ' | ' | 29,800 | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of credit and advance payment guarantees | ' | ' | ' | 300 | 300 | ' | ' | ' | ' | ' | ' |
Revolving Loan | ' | ' | ' | ' | ' | ' | $0 | $0 | ' | ' | ' |
Contingencies_and_Guarantees_D1
Contingencies and Guarantees (Details Textuals) (USD $) | 0 Months Ended | ||||||||
Sep. 20, 2006 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 02, 2013 | 4-May-12 | Jan. 26, 2012 | Dec. 02, 2011 | Mar. 27, 2008 | Aug. 24, 2007 | |
Contingencies And Guarantees Disclosure (Textuals) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interim awards issued in favor of Company | ' | ' | ' | ' | ' | ' | ' | ' | $9,400,000 |
Final Award in favor of company | ' | ' | ' | ' | '15,500,000 | ' | '$30,000 to cover the costs of the application | 'Amount of $11,300,000 plus an additional $2,512 each day in interest from October 1, 2007 until the date the award is paid | ' |
Damages sought | '210,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
The arbitrator issued a final award in damages | ' | ' | ' | ' | ' | 12,000,000 | ' | ' | ' |
Indemnification of its directors/officers | ' | 0 | 0 | ' | ' | ' | ' | ' | ' |
Other Indemnification | ' | '0 | ' | ' | ' | ' | ' | ' | ' |
Financial Guarantees | ' | $0 | ' | ' | ' | ' | ' | ' | ' |
Reduction In Canadian Class Action Lawsuit Size | ' | ' | ' | 85.00% | ' | ' | ' | ' | ' |
Condensed_Consolidated_Stateme9
Condensed Consolidated Statements of Cash Flows Supplemental Information (Details 1) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Summary of Depreciation and amortization | ' | ' |
Film assets | $2,373 | $3,468 |
Property, plant and equipment | ' | ' |
Joint revenue sharing arrangements | 2,881 | 2,858 |
Other property, plant and equipment | 1,283 | 1,338 |
Other intangible assets | 727 | 689 |
Other assets | 160 | 140 |
Deferred financing costs | 131 | 98 |
Depreciation and amortization | $7,555 | $8,591 |
Recovered_Sheet1
Condensed Consolidated Statements of Cash Flows Supplemental Information (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Write-downs, net of recoveries | ' | ' |
Property, plant and equipment | $224 | $0 |
Financing receivables | 167 | 0 |
Accounts receivable | 120 | 0 |
Inventories | 7 | 0 |
Write-downs, net of recoveries | $518 | $0 |
Recovered_Sheet2
Condensed Consolidated Statements of Cash Flows Supplemental Information (Details Textual) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Condensed Consolidated Statements of Cash Flows Supplemental Information (Textuals) [Abstract] | ' | ' |
Payments for variable stock based compensation | $0 | $1 |
Income_Taxes_Details_Textual
Income Taxes (Details Textual) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Deferred Tax Assets | ' | ' |
Deferred income tax asset after valuation allowance | $24.40 | $24.30 |
Deferred income tax asset before valuation allowance | 29.2 | 29.1 |
Valuation allowance | $4.80 | $4.80 |
Capital_Stock_Details_1
Capital Stock (Details 1) (Employee Stock Option [Member], USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Employee Stock Option [Member] | ' | ' |
Option activity under the Stock Option Plan | ' | ' |
Options outstanding, beginning of period | 6,263,121 | 7,441,068 |
Options outstanding, per share beginning of period | $21.11 | $18.48 |
Options granted | 828,353 | 178,112 |
Weighted average fair value of options granted | $27.44 | $25.44 |
Exercised | -100,612 | -383,651 |
Weighted average fair value of options exercised | $7.37 | $6.48 |
Forfeited | 0 | -21,750 |
Weighted average fair value of options forfeited | $0 | $26.49 |
Options cancelled | -6,000 | -1,250 |
Weighted average fair value of options cancelled | $31.73 | $29.49 |
Options outstanding, end of period | 6,984,862 | 7,212,529 |
Options outstanding, per share end of period | $22.05 | $19.27 |
Options exercisable, end of period | 4,006,707 | 3,507,692 |
Options exercisable, weighted average exercise price | $19.65 | $16.57 |
Capital_Stock_Details_2
Capital Stock (Details 2) (Restricted Share Units (RSUs) [Member], USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Restricted Share Units (RSUs) [Member] | ' |
Resticted Share Units activity under the LTIP | ' |
RSUs outanding, beginning of period | 264,140 |
RSUs outstanding, per share beginning of period | $26.14 |
RSUs granted | 436,958 |
Weighted average grant date fair value of RSUs granted | $27.59 |
RSUs vested and settled | -43,138 |
Weighted average grant date fair value RSUs vested and settled | $26.28 |
RSUs outanding, end of period | 657,960 |
RSUs outstanding, per share end of period | $27.10 |
Capital_Stock_Details_3
Capital Stock (Details 3) (USD $) | 3 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 |
Net income applicable to common shareholders | $579 | $2,861 | ' |
Weighted average number of common shares: | ' | ' | ' |
Issued and outstanding, beginning of period | 67,841,233 | 66,482,425 | 67,957,167 |
Weighted average number of shares issued during the period | 66,697 | 164,261 | ' |
Weighted average number of shares used in computing basic income per share | 67,907,930 | 66,646,686 | ' |
Assumed exercise of stock options and RSUs, net of shares assumed repurchased | 1,412,639 | 2,043,751 | ' |
Weighted average number of shares used in computing diluted income per share | 69,320,569 | 68,690,437 | ' |
Capital_Stock_Details_4
Capital Stock (Details 4) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Movement of Shareholders Equity | ' | ' |
Balance as at December 31, 2013 | $319,585 | ' |
Net income | 579 | 2,861 |
Adjustment to capital stock for issuance of common shares for stock options exercised | 742 | ' |
Adjustment to capital stock for issuance of common shares for vested RSUs | 402 | ' |
Adjustment to capital stock for stock options exercised | 228 | ' |
Adjustment to other equity for employee stock options granted | 2,250 | ' |
Adjustment to other equity for non-employee stock options granted | -228 | ' |
Adjustment to other equity for RSUs granted | 914 | ' |
Adjustment to other equity for RSUs vested | -1,192 | ' |
Adjustment to other equity for the excess tax benefits from RSUs | 20 | ' |
Adjustment to accumulated other comprehensive loss for unrealized net loss from cash flow hedging instruments | -810 | ' |
Adjustment to accumulated other comprehensive loss for the realization of cash flow hedging net loss upon settlement | 248 | ' |
Adjustment to accumulated other comprehensive loss for foreign currency translation adjustment | -146 | -348 |
Tax effect of movement in other comprehensive loss | -181 | -68 |
Balance as at March 31, 2014 | $322,773 | ' |
Capital_Stock_Details_Textual
Capital Stock (Details Textual) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | $3.20 | $2.80 | ' | ' |
Antidilutive shares issuable upon exercise of stock options | 4,499,145 | ' | ' | ' |
Common shares issued in connection with vested RSUs | 67,957,167 | ' | ' | 67,841,233 |
Employee Stock Option [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | 2.2 | 2.3 | ' | ' |
Reserved common shares for future issuance | 10,380,973 | ' | ' | 10,530,723 |
Options outstanding | 6,984,862 | 7,212,529 | 7,441,068 | 6,263,121 |
Options outstanding, weighted average exercise price | $22.05 | $19.27 | $18.48 | $21.11 |
Options fully vested or expected to vest, weighted average exercise price | $21.87 | ' | ' | ' |
Options common shares were vested and exercisable | 4,006,707 | ' | ' | ' |
Options fully vested, expected | 6,632,982 | ' | ' | ' |
Options fully vested or expected to vest, weighted average remaining contractual life | '4 years 10 months 24 days | ' | ' | ' |
Options fully vested or expected to vest, aggregate intrinsic value | 40.8 | ' | ' | ' |
Weighted average remaining contractual life of exercisable option | '4 years 4 months 24 days | ' | ' | ' |
Options exercisable intrinsic value | 33.7 | ' | ' | ' |
Intrinsic value of options exercised | 2.1 | 7.2 | ' | ' |
Options granted | 828,353 | 178,112 | ' | ' |
Options exercisable | 4,006,707 | 3,507,692 | ' | ' |
Options exercisable, weighted average exercise price | $19.65 | $16.57 | ' | ' |
Weighted average fair value of options granted | $8.33 | $6.54 | ' | ' |
Options cancelled | 6,000 | 1,250 | ' | ' |
Antidilutive shares issuable upon exercise of stock options | 4,222,870 | ' | ' | ' |
Tax benefits realized stock options | 0.4 | ' | ' | ' |
Options Non Employees [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | 0.1 | 0.1 | ' | ' |
Share-based compensation costs recorded | 'less than | ' | ' | ' |
Options outstanding | 76,751 | 115,001 | ' | ' |
Options outstanding, weighted average exercise price | $15.67 | $14.20 | ' | ' |
Options fully vested or expected to vest, aggregate intrinsic value | 0.7 | 0.6 | ' | ' |
Options granted | 0 | 0 | ' | ' |
Options exercisable | 40,276 | 39,209 | ' | ' |
Options exercisable, weighted average exercise price | $11.33 | $10.37 | ' | ' |
Amount of stock options or rights included in accrued liabilities | 0.1 | ' | ' | 0.1 |
Employee Stock Option China Incentive Plan [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | 0.1 | 0.1 | ' | ' |
Options outstanding | 152,644 | ' | ' | 146,623 |
Options outstanding, weighted average exercise price | $22.58 | ' | ' | $22.39 |
Weighted average remaining contractual life of exercisable option | '7 years 0 months 0 days | ' | ' | ' |
Options granted | 6,021 | 0 | 146,623 | ' |
Options granted to purchase the company's common stock, average exercise price | $27.20 | ' | $22.39 | ' |
Common share options subject to vesting based on performance commitment | 152,644 | ' | ' | ' |
Weighted average fair value of options granted | $7.02 | ' | ' | ' |
Fair value of options outstanding | 1.6 | ' | ' | ' |
Share-based compensation costs, not yet recognized, period for recognition | '5 years 0 months 0 days | ' | ' | ' |
Restricted Share Units (RSUs) [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, nonvested, number | 657,960 | ' | ' | 264,140 |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 436,958 | ' | ' | ' |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, nonvested, weighted average grant date fair value | $27.10 | ' | ' | $26.14 |
Antidilutive shares issuable upon exercise of stock options | 276,275 | ' | ' | ' |
Share-based compensation costs, not yet recognized, period for recognition | '3 years 3 months 18 days | ' | ' | ' |
Share-based compensation costs, not yet recognized | 14.6 | ' | ' | ' |
Tax benefits realized | 0.4 | ' | ' | ' |
Restricted Stock Unit Contingent Right | 1 | ' | ' | ' |
Restricted Stock Unit Economic Equivalent | 1 | ' | ' | ' |
Common shares issued in connection with vested RSUs | 43,138 | ' | ' | ' |
Common shares issued from treasury in connection with vested RSUs | 15,322 | ' | ' | ' |
Common shares purchased in open market by trustee in connection with vested RSUs | 27,816 | ' | ' | ' |
Restricted Share Units (RSUs) [Member] | Non Employee [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | 0.1 | 0 | ' | ' |
Share-based compensation costs recorded | 'less than | ' | ' | ' |
Restricted Share Units (RSUs) [Member] | Employee [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | 0.9 | 0 | ' | ' |
Stock Appreciation Rights [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Share-based compensation costs recorded for the period | ' | 0.4 | ' | ' |
Options forfeited | ' | 0 | ' | ' |
Options cancelled | ' | 0 | ' | ' |
Cash paid in settlement | ' | $1 | ' | ' |
Number of rights settled in cash | ' | 50,000 | ' | ' |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 0 | 0 | ' | ' |
Average exercise price of cash settled rights | ' | $6.86 | ' | ' |
Share based compensation arrangement by share based payment award equity instruments other than options exercisable | 0 | ' | ' | 0 |
Maximum [Member] | Employee Stock Option [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Annual termination probability | 8.40% | 8.52% | ' | ' |
Maximum [Member] | Restricted Share Units (RSUs) [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Annual termination probability | 9.46% | ' | ' | ' |
Minimum [Member] | Employee Stock Option [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Annual termination probability | 0.00% | 8.52% | ' | ' |
Minimum [Member] | Restricted Share Units (RSUs) [Member] | ' | ' | ' | ' |
Capital Stock (Textuals) [Abstract] | ' | ' | ' | ' |
Annual termination probability | 0.00% | ' | ' | ' |
Segmented_Information_Details_
Segmented Information (Details 1) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Geographical Information | ' | ' |
Revenues | $48,197 | $49,666 |
United States [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 19,684 | 21,335 |
Canada [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 2,125 | 1,749 |
Greater China [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 10,509 | 11,027 |
Russia and the CIS [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 2,346 | 4,939 |
Asia (excluding Greater China) [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 4,286 | 3,991 |
Western Europe [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 4,996 | 3,390 |
Latin America [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | 2,256 | 1,420 |
Rest of world [Member] | ' | ' |
Geographical Information | ' | ' |
Revenues | $1,995 | $1,815 |
Segmented_Information_Details_1
Segmented Information (Details Textual) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Segments | ||
Segment Reporting (Textuals) [Abstract] | ' | ' |
Marketing and commission costs | $0.20 | $0.30 |
Disclosure on Geographic Areas, Description of Revenue from External Customers | 'No single country in the Rest of the World, Western Europe, Latin America and Asia (excluding Greater China) classifications comprise more than 10% of the total revenue. | ' |
Percentage of total revenues represented by largest customer | 16.20% | 13.10% |
Number of Reportable Segments | 7 | ' |
Imax Systems [Member] | ' | ' |
Segment Reporting (Textuals) [Abstract] | ' | ' |
Marketing and commission costs | 0.2 | 0.3 |
Joint Revenue Sharing Arrangements [Member] | ' | ' |
Segment Reporting (Textuals) [Abstract] | ' | ' |
Advertising, marketing and commission costs | 0.2 | 0.2 |
Production and Imax Dmr [Member] | ' | ' |
Segment Reporting (Textuals) [Abstract] | ' | ' |
Marketing costs | 1.1 | 0.9 |
Distribution [Member] | ' | ' |
Segment Reporting (Textuals) [Abstract] | ' | ' |
Marketing costs | $0.20 | $0.10 |
Employees_Pension_and_Postreti3
Employees Pension and Postretirement Benefits (Details 1) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
SERP Benefits [Member] | ' |
Schedule of expected benefit payments | ' |
2014 (nine months remaining): | $0 |
2015 | 0 |
2016 | 0 |
2017 | 19,228 |
2018 | 0 |
Thereafter | 0 |
Total expected future benefit payment | 19,228 |
Postretirement Benefits Executive [Member] | ' |
Schedule of expected benefit payments | ' |
2014 (nine months remaining): | 20 |
2015 | 22 |
2016 | 24 |
2017 | 29 |
2018 | 33 |
Thereafter | 269 |
Total expected future benefit payment | 397 |
Postretirement Benefits Canadian Employees [Member] | ' |
Schedule of expected benefit payments | ' |
2014 (nine months remaining): | 76 |
2015 | 89 |
2016 | 99 |
2017 | 110 |
2018 | 116 |
Thereafter | 1,856 |
Total expected future benefit payment | $2,346 |
Employees_Pension_and_Postreti4
Employees Pension and Postretirement Benefits (Details Textual) (USD $) | 3 Months Ended | 3 Months Ended | 0 Months Ended | 3 Months Ended | 3 Months Ended | |||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Feb. 21, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | |
SERP Benefits [Member] | SERP Benefits [Member] | SERP Benefits [Member] | Postretirement Benefits Executive [Member] | Postretirement Benefits Executive [Member] | Postretirement Benefits Executive [Member] | Postretirement Benefits Canadian Employees [Member] | Postretirement Benefits Canadian Employees [Member] | Postretirement Benefits Canadian Employees [Member] | Postretirement Benefits Canadian Employees [Member] | Canadian Plan [Member] | Canadian Plan [Member] | Us Internal Revenue Code [Member] | Us Internal Revenue Code [Member] | |||
Pension and Other Postretirement Benefit Expense (Textuals) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Postretirement benefits obligation | ' | ' | $18,350,000 | $18,284,000 | $20,366,000 | $400,000 | ' | $400,000 | ' | $2,300,000 | ' | $2,300,000 | ' | ' | ' | ' |
Maximum amount of Postretirement benefit expensed | ' | ' | ' | ' | ' | 100,000 | 100,000 | ' | ' | 100,000 | 100,000 | ' | ' | ' | ' | ' |
Maximum amount of Postretirement benefit expensed | ' | ' | ' | ' | ' | 'less than | 'less than | ' | ' | 'less than less than | 'less than less than | ' | ' | ' | ' | ' |
Companies contribution and expenses | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | 300,000 | 100,000 | 100,000 |
Expected interest costs in the remainder of the year | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pre-tax curtailment gain recognized | 0 | 2,185,000 | ' | ' | ' | ' | ' | ' | 2,185,000 | ' | ' | ' | ' | ' | ' | ' |
Reduction in postretirement liability | ' | ' | ' | ' | ' | ' | ' | ' | $2,600,000 | ' | ' | ' | ' | ' | ' | ' |
Employees Pension and Postretirement Benefits (Additional Textuals) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum percentage of base salary contributed to Pension Plan by Company | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial_Instruments_Details_
Financial Instruments (Details 1) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Summary of changes in the fair value | ' | ' |
Beginning balance, January 1 | $1,000 | $1,350 |
Transfers into/out of Level 3 | 0 | 0 |
Total gains or losses (realized/unrealized) Included in earnings | 0 | 0 |
Total gains or losses (realized/unrealized) Included in other comprehensive income | 0 | 0 |
Purchases, issuances, sales and settlements | 0 | 0 |
Ending balance, September 30 | 1,000 | 1,350 |
The amount of total gains or losses for the period included in earnings attributable change in to the unrealized gains or losses relating to assets still held at the reporting date | $0 | $0 |
Financial_Instruments_Details_1
Financial Instruments (Details 2) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Recorded investment in financing receivables by credit quality indicator | ' | ' |
Minimum Lease Payments | $13,946 | $14,423 |
Financed Sales Receivables | 91,100 | 93,729 |
Total | 105,046 | 108,152 |
In Good Standing [Member] | ' | ' |
Recorded investment in financing receivables by credit quality indicator | ' | ' |
Minimum Lease Payments | 11,867 | 12,318 |
Financed Sales Receivables | 89,113 | 89,017 |
Total | 100,980 | 101,335 |
Credit Watch Member [Member] | ' | ' |
Recorded investment in financing receivables by credit quality indicator | ' | ' |
Minimum Lease Payments | 410 | 420 |
Financed Sales Receivables | 571 | 3,895 |
Total | 981 | 4,315 |
Pre-Approved Transactions [Member] | ' | ' |
Recorded investment in financing receivables by credit quality indicator | ' | ' |
Minimum Lease Payments | 258 | 288 |
Financed Sales Receivables | 555 | 0 |
Total | 813 | 288 |
Transactions Suspended [Member] | ' | ' |
Recorded investment in financing receivables by credit quality indicator | ' | ' |
Minimum Lease Payments | 1,411 | 1,397 |
Financed Sales Receivables | 861 | 817 |
Total | $2,272 | $2,214 |
Financial_Instruments_Details_2
Financial Instruments (Details 3) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Investment In Financing Receivables On Nonaccrual Status | ' | ' |
Net investment in leases recorded investment | $1,411 | $1,684 |
Net investment in leases related allowance | -606 | -606 |
Net financed sales receivables recorded investment | 861 | 817 |
Net financed sales receivables related allowance | -488 | -236 |
Total recorded investment | 2,272 | 2,501 |
Total related allowance | ($1,094) | ($842) |
Financial_Instruments_Details_3
Financial Instruments (Details 4) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' | ' |
Accrued and Current | $2,727 | $2,946 | ' | ' |
30-89 Days | 2,076 | 1,429 | ' | ' |
90+ Days | 4,472 | 3,859 | ' | ' |
Billed Financing Receivables | 9,275 | 8,234 | ' | ' |
Related Unbilled Recorded Investment | 95,771 | 99,918 | ' | ' |
Total Recorded Investment | 105,046 | 108,152 | ' | ' |
Related Allowances | -1,294 | -1,042 | ' | ' |
Recorded Investment Net of Allowances | 103,752 | 107,110 | ' | ' |
Net Investment in Leases [Member] | ' | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' | ' |
Accrued and Current | 278 | 444 | ' | ' |
30-89 Days | 277 | 218 | ' | ' |
90+ Days | 929 | 841 | ' | ' |
Billed Financing Receivables | 1,484 | 1,503 | ' | ' |
Related Unbilled Recorded Investment | 12,462 | 12,920 | ' | ' |
Total Recorded Investment | 13,946 | 14,423 | ' | ' |
Related Allowances | -806 | -806 | -1,130 | -1,130 |
Recorded Investment Net of Allowances | 13,140 | 13,617 | ' | ' |
Net Financed Sales Receivables [Member] | ' | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' | ' |
Accrued and Current | 2,449 | 2,502 | ' | ' |
30-89 Days | 1,799 | 1,211 | ' | ' |
90+ Days | 3,543 | 3,018 | ' | ' |
Billed Financing Receivables | 7,791 | 6,731 | ' | ' |
Related Unbilled Recorded Investment | 83,309 | 86,998 | ' | ' |
Total Recorded Investment | 91,100 | 93,729 | ' | ' |
Related Allowances | -488 | -236 | -66 | -66 |
Recorded Investment Net of Allowances | 90,612 | 93,493 | ' | ' |
Financing Receivables Continue To Accrue Finance Income [Member] | ' | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' | ' |
Accrued and Current | 604 | 618 | ' | ' |
30-89 Days | 634 | 577 | ' | ' |
90+ Days | 1,720 | 2,261 | ' | ' |
Billed Financing Receivables | 2,958 | 3,456 | ' | ' |
Related Unbilled Recorded Investment | 19,862 | 24,147 | ' | ' |
Related Allowances | -200 | -200 | ' | ' |
Recorded Investment Net of Allowances | 22,620 | 27,403 | ' | ' |
Financing Receivables Continue To Accrue Finance Income [Member] | Net Investment in Leases [Member] | ' | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' | ' |
Accrued and Current | 180 | 168 | ' | ' |
30-89 Days | 161 | 108 | ' | ' |
90+ Days | 291 | 205 | ' | ' |
Billed Financing Receivables | 632 | 481 | ' | ' |
Related Unbilled Recorded Investment | 4,182 | 4,865 | ' | ' |
Related Allowances | -200 | -200 | ' | ' |
Recorded Investment Net of Allowances | 4,614 | 5,146 | ' | ' |
Financing Receivables Continue To Accrue Finance Income [Member] | Net Financed Sales Receivables [Member] | ' | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' | ' |
Accrued and Current | 424 | 450 | ' | ' |
30-89 Days | 473 | 469 | ' | ' |
90+ Days | 1,429 | 2,056 | ' | ' |
Billed Financing Receivables | 2,326 | 2,975 | ' | ' |
Related Unbilled Recorded Investment | 15,680 | 19,282 | ' | ' |
Related Allowances | 0 | 0 | ' | ' |
Recorded Investment Net of Allowances | $18,006 | $22,257 | ' | ' |
Financial_Instruments_Details_4
Financial Instruments (Details 5) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | $525 | $557 |
Unpaid Principal | 335 | 255 |
Related Allowance | -488 | -66 |
Average Recorded Investment | 528 | 553 |
Interest Income Recognized | 0 | 22 |
Net Financed Sales Receivables [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable with Related Allowance, Recorded Investment | 525 | 188 |
Impaired Financing Receivable With Related Allowance, Unpaid Principal | 335 | 224 |
Impaired Financing Receivable With Related Allowance, Average Recorded Investment | 528 | 181 |
Impaired Financing Receivable With Related Allowance, Interest Income Recognized | 0 | 0 |
Impaired Financing Receivable With No Related Allowance, Recorded Investment | 0 | 369 |
Impaired Financing Receivable With No Related Allowance, Unpaid Principal | 0 | 31 |
Impaired Financing Receivable With No Related Allowance, Average Recorded Investment | 0 | 372 |
Impaired Financing Receivable With No Related Allowance, Interest Income Recognized | 0 | 22 |
Related Allowance | ($488) | ($66) |
Financial_Instruments_Detail_6
Financial Instruments (Detail 6) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | Net Investment in Leases [Member] | Net Investment in Leases [Member] | Net Financed Sales Receivables [Member] | Net Financed Sales Receivables [Member] | ||
Allowance for credit losses: | ' | ' | ' | ' | ' | ' |
Beginning balance | $1,294 | $1,042 | $806 | $1,130 | $236 | $66 |
Charge-offs | ' | ' | 0 | 0 | 0 | 0 |
Provision | ' | ' | 0 | 0 | 252 | 0 |
Ending balance | 1,294 | 1,042 | 806 | 1,130 | 488 | 66 |
Ending balance: individually evaluated for impairment | ' | ' | 806 | 1,130 | 488 | 66 |
Financing receivables: | ' | ' | ' | ' | ' | ' |
Ending balance: individually evaluated for impairment | ' | ' | $13,946 | $14,101 | $91,100 | $83,299 |
Financial_Instruments_Details_5
Financial Instruments (Details 7) (Foreign Exchange Contract [Member], Designated as Hedging Instrument [Member], USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Foreign Exchange Contract [Member] | Designated as Hedging Instrument [Member] | ' | ' |
Derivatives Fair Value [Line Items] | ' | ' |
Derivative asset, Notional amount | $29,799 | $23,555 |
Financial_Instruments_Details_6
Financial Instruments (Details 8) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair value of foreign exchange contracts | ' | ' |
Derivative Asset, Fair Value | ($983) | ($421) |
Other Assets [Member] | Foreign Exchange Forward [Member] | Designated as Hedging Instrument [Member] | ' | ' |
Fair value of foreign exchange contracts | ' | ' |
Derivative Asset, Fair Value | 1 | 0 |
Accrued Liabilities [Member] | Foreign Exchange Forward [Member] | Designated as Hedging Instrument [Member] | ' | ' |
Fair value of foreign exchange contracts | ' | ' |
Derivative Liability, Fair Value | ($984) | ($421) |
Financial_Instruments_Details_7
Financial Instruments (Details 9) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Derivatives in Foreign Currency Hedging relationships | ' | ' |
Derivative Gain (Loss) Recognized in OCI (Effective Portion) | ($810) | ($302) |
Location of Derivative (Loss) Gain Reclassified from AOCI into Income (Effective Portion) | -248 | 130 |
Fair Value Hedging [Member] | ' | ' |
Derivatives in Foreign Currency Hedging relationships | ' | ' |
Derivative Gain (Loss) Recognized in OCI (Effective Portion) | -810 | -302 |
Foreign Exchange Forward [Member] | Fair Value Hedging [Member] | Selling General And Administrative Expenses [Member] | ' | ' |
Derivatives in Foreign Currency Hedging relationships | ' | ' |
Location of Derivative (Loss) Gain Reclassified from AOCI into Income (Effective Portion) | ($248) | $130 |
Financial_Instruments_Details_8
Financial Instruments (Details Textual) (USD $) | 3 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |
Financial Instruments (Textuals) [Abstract] | ' | ' | ' |
Financing receivables indications of theaters with potential collection concerns | '60-89 days | ' | ' |
Financing receivables indications of theaters to review and assess | 'Once a theater’s aging exceeds 90 days, the Company’s policy is to review and assess collectibility on the theater’s past due accounts | ' | ' |
Financing receivables indications of theaters with potential impairment | 'Over 90 days past due is used by the Company as an indicator of potential impairment as invoices up to 90 days outstanding could be considered reasonable due to the time required for dispute resolution or for the provision of further information or supporting documentation to the customer | ' | ' |
Financial Instruments Additional (Textuals) [Abstract] | ' | ' | ' |
Total carrying value of investments in new business ventures | $5,400,000 | ' | $5,800,000 |
Investment in preferred stock of other business venture | 1,000,000 | ' | 1,000,000 |
Cost of available for sale securities | 1,500,000 | ' | ' |
Cost Method Investments Original Cost | 2,500,000 | ' | 2,500,000 |
Warrants | 500,000 | ' | 500,000 |
Total gains or losses (realized/unrealized) Included in earnings | 0 | 0 | ' |
Variable Interest Entity, Not Primary Beneficiary [Member] | ' | ' | ' |
Financial Instruments Additional (Textuals) [Abstract] | ' | ' | ' |
Carrying value of equity investments | 1,400,000 | ' | 400,000 |
Carrying value of investments | 0 | ' | 0 |
Variable Interest Entity, Not Primary Beneficiary [Member] | Equity Accounted Investment [Member] | ' | ' | ' |
Financial Instruments Additional (Textuals) [Abstract] | ' | ' | ' |
Gross revenues of investment new business ventures | 900,000 | 3,400,000 | ' |
Cost of revenue of investment new business ventures | 900,000 | 5,500,000 | ' |
Net loss on equity-accounted investments | 800,000 | 2,200,000 | ' |
Equity method investment, difference between carrying amount and underlying equity | 400,000 | ' | ' |
Variable Interest Entity, Not Primary Beneficiary [Member] | New Equity Accounted Investment [Member] | ' | ' | ' |
Financial Instruments Additional (Textuals) [Abstract] | ' | ' | ' |
Carrying value of equity investments | ' | ' | $1,400,000 |
Discontinued_Operations_Detail1
Discontinued Operations (Details Textuals) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Discontinued Operations And Disposal Groups [Abstract] | ' | ' |
Reduction of rent expense related to discontinued operations | $0.80 | $0 |