Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | 7-May-14 | |
Entity Registrant Name | 'LIN Television Corp. | ' |
Entity Central Index Key | '0000931058 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
LIN Television Corporation | ' | ' |
Entity Registrant Name | 'LIN Television Corporation | ' |
Entity Central Index Key | '0000931058 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 1,000 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Class A common stock | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 34,498,900 |
Class B common stock | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 20,901,726 |
Class C common stock | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 2 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ||
Cash and cash equivalents | $20,887 | $12,525 | ||
Accounts receivable, less allowance for doubtful accounts | 138,517 | 145,309 | ||
Deferred income tax assets | 8,229 | 6,898 | ||
Other current assets | 13,781 | 15,201 | ||
Total current assets | 181,414 | 179,933 | ||
Property and equipment, net | 223,186 | 221,078 | ||
Deferred financing costs | 15,647 | 16,448 | ||
Goodwill | 210,627 | 203,528 | ||
Broadcast licenses | 536,515 | 536,515 | ||
Other intangible assets, net | 53,655 | 47,049 | ||
Other assets | 16,191 | 12,299 | ||
Total assets | 1,237,235 | 1,216,850 | ||
Current liabilities: | ' | ' | ||
Current portion of long-term debt | 18,925 | 17,364 | ||
Accounts payable | 15,263 | 14,002 | ||
Income taxes payable | 1,686 | 1,420 | ||
Accrued expenses | 56,112 | 51,696 | ||
Program obligations | 7,030 | 7,027 | ||
Total current liabilities | 99,016 | 91,509 | ||
Long-term debt, excluding current portion | 931,531 | 927,328 | ||
Deferred income tax liabilities | 58,815 | 64,686 | ||
Program obligations | 3,945 | 4,146 | ||
Other liabilities | 29,452 | 27,209 | ||
Total liabilities | 1,122,759 | [1] | 1,114,878 | [1] |
Commitments and Contingencies | ' | ' | ||
Redeemable noncontrolling interest | 9,820 | 12,845 | ||
Stockholders' equity: | ' | ' | ||
Treasury shares, 4,947,659 shares of class A common shares as of March 31, 2014 and December 31, 2013, at cost | -21,984 | -21,984 | ||
Accumulated deficit | -1,004,665 | -1,006,322 | ||
Accumulated other comprehensive loss | -25,335 | -25,526 | ||
Total stockholders' deficit | 102,221 | 89,127 | ||
Noncontrolling interest | 2,435 | 0 | ||
Total equity | 104,656 | 89,127 | ||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity | 1,237,235 | 1,216,850 | ||
Class A common stock | ' | ' | ||
Stockholders' equity: | ' | ' | ||
Common stock | 635,810 | 624,564 | ||
Class B common stock | ' | ' | ||
Stockholders' equity: | ' | ' | ||
Common stock | 518,395 | 518,395 | ||
Class C common stock | ' | ' | ||
Stockholders' equity: | ' | ' | ||
Common stock | 0 | 0 | ||
LIN Television Corporation | ' | ' | ||
Current assets: | ' | ' | ||
Cash and cash equivalents | 19,908 | 12,525 | ||
Accounts receivable, less allowance for doubtful accounts | 138,515 | 145,409 | ||
Deferred income tax assets | 8,229 | 6,898 | ||
Other current assets | 13,781 | 15,201 | ||
Total current assets | 180,433 | 180,033 | ||
Property and equipment, net | 223,186 | 221,078 | ||
Deferred financing costs | 15,647 | 16,448 | ||
Goodwill | 210,627 | 203,528 | ||
Broadcast licenses | 536,515 | 536,515 | ||
Other intangible assets, net | 53,655 | 47,049 | ||
Other assets | 16,191 | 12,299 | ||
Total assets | 1,236,254 | 1,216,950 | ||
Current liabilities: | ' | ' | ||
Current portion of long-term debt | 18,925 | 17,364 | ||
Accounts payable | 15,263 | 14,002 | ||
Income taxes payable | 1,686 | 1,420 | ||
Accrued expenses | 56,112 | 51,696 | ||
Program obligations | 7,030 | 7,027 | ||
Total current liabilities | 99,016 | 91,509 | ||
Long-term debt, excluding current portion | 933,531 | 929,328 | ||
Deferred income tax liabilities | 58,815 | 64,686 | ||
Program obligations | 3,945 | 4,146 | ||
Other liabilities | 29,452 | 27,209 | ||
Total liabilities | 1,124,759 | [2] | 1,116,878 | [2] |
Commitments and Contingencies | ' | ' | ||
Redeemable noncontrolling interest | 9,820 | 12,845 | ||
Stockholders' equity: | ' | ' | ||
Common stock | 0 | 0 | ||
Investment in parent company’s shares, at cost | -21,984 | -21,984 | ||
Additional paid-in capital | 1,150,453 | 1,140,370 | ||
Accumulated deficit | -1,003,894 | -1,005,633 | ||
Accumulated other comprehensive loss | -25,335 | -25,526 | ||
Total stockholders' deficit | 99,240 | 87,227 | ||
Noncontrolling interest | 2,435 | 0 | ||
Total equity | 101,675 | 87,227 | ||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity | $1,236,254 | $1,216,950 | ||
[1] | Our consolidated assets as of March 31, 2014 and December 31, 2013 include total assets of: $55,024 and $56,056, respectively, of variable interest entities (“VIEsâ€) that can only be used to settle the obligations of the VIEs. These assets include broadcast licenses and other intangible assets of: $44,118 and $44,677 and program rights of: $2,254 and $2,186 as of March 31, 2014 and December 31, 2013, respectively. Our consolidated liabilities as of March 31, 2014 and December 31, 2013 include $4,014 and $4,126, respectively, of total liabilities of the VIEs for which the VIEs’ creditors have no recourse to the Company, including $2,698 and $2,727, respectively, of program obligations. See further description in Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies.†| |||
[2] | Our consolidated assets as of March 31, 2014 and December 31, 2013 include total assets of: $55,024 and $56,056, respectively, of variable interest entities (“VIEsâ€) that can only be used to settle the obligations of the VIEs. These assets include broadcast licenses and other intangible assets of: $44,118 and $44,677 and program rights of: $2,351 and $2,060 as of March 31, 2014 and December 31, 2013, respectively. Our consolidated liabilities as of March 31, 2014 and December 31, 2013 include $4,014 and $4,577, respectively, of total liabilities of the VIEs for which the VIEs’ creditors have no recourse to the Company, including $2,698 and $2,727, respectively, of program obligations. See further description in Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies.†|
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Accounts receivable, allowance for doubtful accounts | $3,615 | $3,188 |
Treasury stock, shares | 4,947,659 | 4,947,659 |
Total assets of VIEs | 55,024 | 56,056 |
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 |
Program rights | 2,254 | 2,186 |
Total liabilities of VIEs | 4,014 | 4,126 |
Program obligations | 2,698 | 2,727 |
Class A common stock | ' | ' |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, issued shares | 39,446,659 | 39,013,005 |
Common stock, outstanding shares | 34,499,000 | 34,065,346 |
Class B common stock | ' | ' |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, issued shares | 20,901,726 | 20,901,726 |
Common stock, outstanding shares | 20,901,726 | 20,901,726 |
Class C common stock | ' | ' |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, issued shares | 2 | 2 |
Common stock, outstanding shares | 2 | 2 |
LIN Television Corporation | ' | ' |
Accounts receivable, allowance for doubtful accounts | 3,615 | 3,188 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 1,000 | 1,000 |
Total assets of VIEs | 55,024 | 56,056 |
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 |
Program rights | 2,351 | 2,060 |
Total liabilities of VIEs | 4,014 | 4,577 |
Program obligations | $2,698 | $2,727 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net revenues | $166,241 | $140,992 |
Operating expenses: | ' | ' |
Direct operating | 69,434 | 54,568 |
Selling, general and administrative | 44,940 | 37,298 |
Amortization of program rights | 6,593 | 7,785 |
Corporate | 12,541 | 10,271 |
Depreciation | 10,686 | 11,638 |
Amortization of intangible assets | 5,571 | 5,429 |
Restructuring charge | 0 | 2,132 |
Loss from asset dispositions | 94 | 95 |
Operating income | 16,382 | 11,776 |
Other expense: | ' | ' |
Interest expense, net | 14,209 | 13,871 |
Share of loss in equity investments | 75 | 0 |
Other expense (income), net | 18 | -24 |
Total other expense, net | 14,302 | 13,847 |
Income (loss) before provision for (benefit from) income taxes | 2,080 | -2,071 |
Provision for (benefit from) income taxes | 1,021 | -1,051 |
Net income (loss) | 1,059 | -1,020 |
Net loss attributable to noncontrolling interests | -598 | -164 |
Net income (loss) attributable to reporting entity | 1,657 | -856 |
Basic net income (loss) per common share: | ' | ' |
Net income (loss) (in dollars per share) | $0.03 | ($0.02) |
Weighted-average number of common shares outstanding used in calculating basic income (loss) per common share (in shares) | 53,669 | 51,910 |
Diluted net income (loss) per common share: | ' | ' |
Net income (loss) (in dollars per share) | $0.03 | ($0.02) |
Weighted-average number of common shares outstanding used in calculating diluted income per common share (in shares) | 56,593 | 51,910 |
LIN Television Corporation | ' | ' |
Net revenues | 166,241 | 140,992 |
Operating expenses: | ' | ' |
Direct operating | 69,434 | 54,568 |
Selling, general and administrative | 44,940 | 37,298 |
Amortization of program rights | 6,593 | 7,785 |
Corporate | 12,189 | 10,271 |
Depreciation | 10,686 | 11,638 |
Amortization of intangible assets | 5,571 | 5,429 |
Restructuring charge | 0 | 2,132 |
Loss from asset dispositions | 94 | 95 |
Operating income | 16,734 | 11,776 |
Other expense: | ' | ' |
Interest expense, net | 14,229 | 13,871 |
Share of loss in equity investments | 75 | 0 |
Other expense (income), net | 18 | -24 |
Total other expense, net | 14,322 | 13,847 |
Income (loss) before provision for (benefit from) income taxes | 2,412 | -2,071 |
Provision for (benefit from) income taxes | 1,021 | -1,051 |
Net income (loss) | 1,391 | -1,020 |
Net loss attributable to noncontrolling interests | -598 | -164 |
Net income (loss) attributable to reporting entity | $1,989 | ($856) |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net income (loss) | $1,059 | ($1,020) |
Amortization of pension net losses, net of tax of $124 and $169 for the three months ended March, 31, 2014 and 2013, respectively, reclassified | 191 | 259 |
Comprehensive income (loss) | 1,250 | -761 |
Comprehensive loss attributable to noncontrolling interest | -598 | -164 |
Comprehensive income (loss) attributable to reporting entity | 1,848 | -597 |
LIN Television Corporation | ' | ' |
Net income (loss) | 1,391 | -1,020 |
Amortization of pension net losses, net of tax of $124 and $169 for the three months ended March, 31, 2014 and 2013, respectively, reclassified | 191 | 259 |
Comprehensive income (loss) | 1,582 | -761 |
Comprehensive loss attributable to noncontrolling interest | -598 | -164 |
Comprehensive income (loss) attributable to reporting entity | $2,180 | ($597) |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Amortization of pension net losses, tax | $124 | $169 |
LIN Television Corporation | ' | ' |
Amortization of pension net losses, tax | $124 | $169 |
Consolidated_Statement_of_Shar
Consolidated Statement of Shareholders’ Equity (USD $) | Total | Class A | Class B | Common Stock | Common Stock | Treasury Stock (at cost) | Additional Paid-In Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss | Noncontrolling Interest | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation |
In Thousands, except Share data, unless otherwise specified | USD ($) | Class A | Class B | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Common Stock | Investment in Parent Company’s Common Stock, at cost | Additional Paid-In Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss | Noncontrolling Interest | ||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||
Balance at Dec. 31, 2012 | ($91,564) | ' | ' | $313 | $235 | ($21,984) | $1,129,691 | ($1,164,435) | ($35,384) | ' | ($91,564) | ' | ($21,984) | $1,130,239 | ($1,164,435) | ($35,384) | ' |
Balance, shares at Dec. 31, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension liability adjustment, net of tax of $124 and $169 for three months ended March 31, 2014 and 2013, respectively | 259 | ' | ' | ' | ' | ' | ' | ' | 259 | ' | 259 | ' | ' | ' | ' | 259 | ' |
Share-based compensation | 2,421 | ' | ' | 2 | ' | ' | 2,419 | ' | ' | ' | 2,421 | ' | ' | 2,421 | ' | ' | ' |
Net income (loss) attributable to reporting entity | -856 | ' | ' | ' | ' | ' | ' | -856 | ' | ' | -856 | ' | ' | ' | -856 | ' | ' |
Balance at Mar. 31, 2013 | -89,740 | ' | ' | 315 | 235 | -21,984 | 1,132,110 | -1,165,291 | -35,125 | ' | -89,740 | ' | -21,984 | 1,132,660 | -1,165,291 | -35,125 | ' |
Balance, shares at Mar. 31, 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2013 | 89,127 | ' | ' | 624,564 | 518,395 | -21,984 | ' | -1,006,322 | -25,526 | ' | 87,227 | ' | -21,984 | 1,140,370 | -1,005,633 | -25,526 | ' |
Balance, shares at Dec. 31, 2013 | ' | 39,013,005 | 20,901,726 | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension liability adjustment, net of tax of $124 and $169 for three months ended March 31, 2014 and 2013, respectively | 191 | ' | ' | ' | ' | ' | ' | ' | 191 | ' | 191 | ' | ' | ' | ' | 191 | ' |
Issuance of class A common shares | 1,163 | ' | ' | 1,163 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax benefit from exercise of share options and vesting of restricted share awards | 7,784 | ' | ' | 7,784 | ' | ' | ' | ' | ' | ' | 7,784 | ' | ' | 7,784 | ' | ' | ' |
Share-based compensation | 2,299 | ' | ' | 2,299 | ' | ' | ' | ' | ' | ' | 2,299 | ' | ' | 2,299 | ' | ' | ' |
Dividends declared | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -250 | ' | ' | ' | -250 | ' | ' |
Net income (loss) attributable to reporting entity | 1,657 | ' | ' | ' | ' | ' | ' | 1,657 | ' | ' | 1,989 | ' | ' | ' | 1,989 | ' | ' |
Reclassification from redeemable noncontrolling interest | 2,435 | ' | ' | ' | ' | ' | ' | ' | ' | 2,435 | 2,435 | ' | ' | ' | ' | ' | 2,435 |
Balance at Mar. 31, 2014 | $104,656 | ' | ' | $635,810 | $518,395 | ($21,984) | ' | ($1,004,665) | ($25,335) | $2,435 | $101,675 | ' | ($21,984) | $1,150,453 | ($1,003,894) | ($25,335) | $2,435 |
Balance, shares at Mar. 31, 2014 | ' | 39,446,659 | 20,901,726 | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' |
Consolidated_Statement_of_Shar1
Consolidated Statement of Shareholders’ Equity (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Pension net gain (losses), tax | $124 | $169 |
LIN Television Corporation | ' | ' |
Pension net gain (losses), tax | $124 | $169 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
OPERATING ACTIVITIES: | ' | ' |
Net income (loss) | $1,059,000 | ($1,020,000) |
Adjustment to reconcile net income (loss) to net cash provided by operating activities: | ' | ' |
Depreciation | 10,686,000 | 11,638,000 |
Amortization of intangible assets | 5,571,000 | 5,429,000 |
Amortization of financing costs and note discounts | 907,000 | 896,000 |
Amortization of program rights | 6,593,000 | 7,785,000 |
Cash payments for programming | -6,866,000 | -7,707,000 |
Share of loss in equity investments | 75,000 | 0 |
Share-based compensation | 2,307,000 | 1,941,000 |
Deferred income taxes, net | 456,000 | -1,237,000 |
Loss from asset dispositions | 94,000 | 95,000 |
Other, net | 985,000 | 428,000 |
Changes in operating assets and liabilities, net of acquisitions: | ' | ' |
Accounts receivable | 16,315,000 | 11,020,000 |
Other assets | -3,174,000 | -710,000 |
Accounts payable | -2,931,000 | -9,524,000 |
Accrued interest expense | -416,000 | 4,020,000 |
Other liabilities and accrued expenses | 5,122,000 | -1,222,000 |
Net cash provided by operating activities | 36,783,000 | 21,832,000 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -5,609,000 | -6,798,000 |
Acquisition of broadcast towers | -7,257,000 | 0 |
Payments for business combinations, net of cash acquired | -22,346,000 | 0 |
Proceeds from the sale of assets | 45,000 | 13,000 |
Contributions to equity investments | -75,000 | 0 |
Capital contribution to joint venture with NBCUniversal | 0 | -100,000,000 |
Net cash used in investing activities | -35,242,000 | -106,785,000 |
FINANCING ACTIVITIES: | ' | ' |
Net proceeds on exercises of employee and director stock-based compensation | 1,163,000 | 501,000 |
Proceeds from borrowings on long-term debt | 40,000,000 | 85,000,000 |
Principal payments on long-term debt | -34,342,000 | -22,840,000 |
Payment of long-term debt issue costs | 0 | -515,000 |
Net cash provided by (used in) financing activities | 6,821,000 | 62,146,000 |
Net increase (decrease) in cash and cash equivalents | 8,362,000 | -22,807,000 |
Cash and cash equivalents at the beginning of the period | 12,525,000 | 46,307,000 |
Cash and cash equivalents at the end of the period | 20,887,000 | 23,500,000 |
LIN Television Corporation | ' | ' |
OPERATING ACTIVITIES: | ' | ' |
Net income (loss) | 1,391,000 | -1,020,000 |
Adjustment to reconcile net income (loss) to net cash provided by operating activities: | ' | ' |
Depreciation | 10,686,000 | 11,638,000 |
Amortization of intangible assets | 5,571,000 | 5,429,000 |
Amortization of financing costs and note discounts | 907,000 | 896,000 |
Amortization of program rights | 6,593,000 | 7,785,000 |
Cash payments for programming | -6,866,000 | -7,707,000 |
Share of loss in equity investments | 75,000 | 0 |
Share-based compensation | 2,307,000 | 1,941,000 |
Deferred income taxes, net | 456,000 | -1,237,000 |
Loss from asset dispositions | 94,000 | 95,000 |
Other, net | 985,000 | 428,000 |
Changes in operating assets and liabilities, net of acquisitions: | ' | ' |
Accounts receivable | 16,417,000 | 11,020,000 |
Other assets | -3,174,000 | -710,000 |
Accounts payable | -2,931,000 | -9,524,000 |
Accrued interest expense | -416,000 | 4,020,000 |
Other liabilities and accrued expenses | 5,122,000 | -1,222,000 |
Net cash provided by operating activities | 37,217,000 | 21,832,000 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -5,609,000 | -6,798,000 |
Acquisition of broadcast towers | -7,257,000 | 0 |
Payments for business combinations, net of cash acquired | -22,346,000 | 0 |
Proceeds from the sale of assets | 45,000 | 13,000 |
Contributions to equity investments | -75,000 | 0 |
Capital contribution to joint venture with NBCUniversal | 0 | -100,000,000 |
Net cash used in investing activities | -35,242,000 | -106,785,000 |
FINANCING ACTIVITIES: | ' | ' |
Net proceeds on exercises of employee and director stock-based compensation | 0 | 501,000 |
Proceeds from borrowings on long-term debt | 40,000,000 | 85,000,000 |
Payment of dividend | -250,000 | 0 |
Principal payments on long-term debt | -34,342,000 | -22,840,000 |
Payment of long-term debt issue costs | 0 | -515,000 |
Net cash provided by (used in) financing activities | 5,408,000 | 62,146,000 |
Net increase (decrease) in cash and cash equivalents | 7,383,000 | -22,807,000 |
Cash and cash equivalents at the beginning of the period | 12,525,000 | 46,307,000 |
Cash and cash equivalents at the end of the period | $19,908,000 | $23,500,000 |
Basis_of_Presentation_and_Summ
Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Basis of Presentation and Summary of Significant Accounting Policies | ' | |||||||
Basis of Presentation and Summary of Significant Accounting Policies | ||||||||
Principles of Consolidation | ||||||||
LIN Media LLC (“LIN LLC”), together with its subsidiaries, including LIN Television Corporation, a Delaware corporation (“LIN Television”), is a local multimedia company operating in the United States. LIN LLC and its subsidiaries are affiliates of HM Capital Partners I LP (“HMC”). In these notes, the terms “Company,” “we,” “us” or “our” mean LIN LLC and all subsidiaries included in our consolidated financial statements. | ||||||||
On July 30, 2013, LIN TV Corp., a Delaware corporation (“LIN TV”), completed its merger with and into LIN LLC, a Delaware limited liability company and wholly owned subsidiary of LIN TV, with LIN LLC as the surviving entity (the “LIN LLC Merger”) pursuant to the Agreement and Plan of Merger, dated February 12, 2013, by and between LIN TV and LIN LLC (the “2013 LIN LLC Merger Agreement”). LIN LLC filed a Current Report on Form 8-K on July 31, 2013 (the “Form 8-K”) for the purpose of establishing LIN LLC as the successor registrant to LIN TV pursuant to Rule 12g-3(a) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and to disclose certain related matters, including the consummation of the 2013 LIN LLC Merger. Pursuant to Rule 12g-3(a) under the Exchange Act and in accordance with the filing of the Form 8-K, the class A common shares representing limited liability interests in LIN LLC, as the successor registrant to LIN TV, were deemed registered under Section 12(b) of the Exchange Act. References to "LIN LLC," "we," "us," or the "Company" in this Quarterly Report on Form 10-Q that include any period at and before the effectiveness of the 2013 LIN LLC Merger shall be deemed to refer to LIN TV as the predecessor registrant to LIN LLC. For more information concerning the effects of the 2013 LIN LLC Merger and the succession of LIN LLC to LIN TV upon its effectiveness, please see the Form 8-K. | ||||||||
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated. | ||||||||
In the opinion of management, the accompanying unaudited interim financial statements contain all adjustments necessary to state fairly our financial position, results of operations and cash flows for the periods presented. The interim results of operations are not necessarily indicative of the results to be expected for the full year. | ||||||||
The accompanying consolidated financial statements include the accounts of our Company, our wholly-owned and majority-owned and controlled subsidiaries, and VIEs for which we are the primary beneficiary. We review all local marketing agreements (“LMAs”), shared services agreements (“SSAs”), joint sales agreements (“JSAs”) and related agreements to evaluate whether consolidation of entities that are party to such arrangements is required under U.S. GAAP. | ||||||||
We conduct our business through LIN Television and its subsidiaries. Prior to the 2013 LIN LLC Merger, LIN TV had no operations or assets other than its investments in its subsidiaries. Subsequent to the 2013 LIN LLC Merger and consistent with its classification as a partnership for federal income tax purposes, LIN LLC has separate operations relating to the administration of the partnership. The consolidated financial statements of LIN LLC represent its own operations and the consolidated operations of LIN Television, which remains a corporation after the 2013 LIN LLC Merger. | ||||||||
During the first quarter of 2014, as a result of the continued growth in our digital business, we reevaluated our organization and the nature of our business activities and began assessing and internally reporting financial information for our broadcast business and our digital business separately. As a result, we now have two reportable operating segments, “Broadcast” and “Digital” that are disclosed separately from our corporate activities. Our Broadcast segment includes 43 television stations and seven digital channels that are either owned, operated or serviced by us in 23 U.S. markets, all of which are engaged principally in the sale of television advertising and digital advertising primarily related to our television station companion websites. Our Digital segment includes the operating results of our digital companies: LIN Digital LLC ("LIN Digital"), LIN Mobile, LLC ("LIN Mobile"), Nami Media, Inc. ("Nami Media"), HYFN, Inc. ("HYFN"), Dedicated Media, Inc. ("Dedicated Media"), and Federated Media Publishing LLC ("Federated Media"). Corporate and unallocated expenses primarily include our costs to operate as a public company and to operate our corporate locations. Corporate is not a reportable segment. We have restated prior period disclosures to reflect this change in our reportable operating segments. See Note 5 - “Segment Reporting” for further discussion. | ||||||||
On March 21, 2014, we filed a Current Report on Form 8-K for the purpose of announcing that LIN LLC entered into an Agreement and Plan of Merger with Media General, Inc., a Virginia corporation (“Media General”), Mercury New Holdco, Inc., a Virginia corporation (“New Holdco”), Mercury Merger Sub 1, Inc., a Virginia corporation and a direct, wholly-owned subsidiary of New Holdco (“Merger Sub 1”), Mercury Merger Sub 2, LLC, a Delaware limited liability company and a direct, wholly owned subsidiary of New Holdco (“Merger Sub 2”) (the “Merger Agreement”) pursuant to which Merger Sub 1 will, upon the terms and subject to the conditions thereof, merge with and into Media General (the “Media General Merger”), with Media General surviving the Media General Merger as a wholly owned subsidiary of New Holdco, and immediately following the consummation of the Media General Merger, Merger Sub 2 will merge with and into LIN LLC (the “LIN Merger” and together with the Media General Merger, the “Merger”), with LIN LLC surviving the LIN Merger as a wholly owned subsidiary of New Holdco. | ||||||||
As a result of the Merger, the combined company will own and operate or service 74 stations across 46 markets, reaching approximately 26.5 million households or 23% of U.S. TV households (certain of these stations are expected to be swapped or otherwise divested in order to address regulatory considerations). The transaction is currently expected to close during the first quarter of 2015. For more information concerning the Merger, refer to the Current Report on Form 8-K filed with the SEC on March 21, 2014. | ||||||||
Joint Venture Sale Transaction and Merger | ||||||||
On February 12, 2013, we, along with our wholly-owned subsidiaries LIN Television and LIN Television of Texas, L.P., a Delaware limited partnership (“LIN Texas”) entered into an agreement whereby LIN Texas sold its 20.38% equity interest in Station Venture Holdings ("SVH"), a joint venture in which an affiliate of NBCUniversal ("NBC") held the remaining 79.62% equity interest (collectively, the “JV Sale Transaction”). Pursuant to the JV Sale Transaction, LIN Television made a $100 million capital contribution to SVH and in turn, was released from the guarantee of an $815.5 million note held by SVH ("GECC Guarantee") as well as any further obligations related to any shortfall funding agreements between LIN Television and SVH. | ||||||||
Concurrent with the closing of the JV Sale Transaction, LIN TV entered into the 2013 LIN LLC Merger Agreement. The 2013 LIN LLC Merger enabled the surviving entity to be classified as a partnership for federal income tax purposes and the change in classification was treated as a liquidation of LIN TV for federal income tax purposes, with the result that LIN TV realized a capital loss in its 100% equity interest in LIN Television. | ||||||||
For further discussion of the JV Sale Transaction and the 2013 LIN LLC Merger, refer to Item 1. "Business" and Note 1 - "Basis of Presentation and Summary of Significant Accounting Policies," Note 13 - "Commitments and Contingencies" to our consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2013 (the "10-K"). | ||||||||
Variable Interest Entities | ||||||||
In determining whether we are the primary beneficiary of a VIE for financial reporting purposes, we consider whether we have the power to direct the activities of the VIE that most significantly impact the economic performance of the VIE and whether we have the obligation to absorb losses or the right to receive returns that would be significant to the VIE. We consolidate VIEs when we are the primary beneficiary. | ||||||||
We have a JSA and an SSA with WBDT Television, LLC (“WBDT”) for WBDT-TV in the Dayton, OH market. We also have JSAs and SSAs with affiliates of Vaughan Acquisition LLC (“Vaughan”) for WTGS-TV in the Savannah, GA market, WYTV-TV in the Youngstown, OH market and KTKA-TV in the Topeka, KS market and SSAs with KASY-TV Licensee, LLC (“KASY”), KWBQ-TV, KRWB-TV and KASY-TV in the Albuquerque, Santa-Fe NM market. Under these agreements, we provide administrative services to these stations, have an obligation to reimburse certain of the stations' expenses, and we are compensated through a performance-based fee structure that provides us the benefit of certain returns from the operation of these stations. We determined that WBDT, Vaughan and KASY are VIEs and as a result of the JSAs and/or SSAs, we have variable interests in these entities. We are the primary beneficiary of these entities, and therefore, we consolidate these entities within our consolidated financial statements. | ||||||||
An order that the Federal Communications Commission (“FCC”) adopted in March 2014, however, may require changes in our relationship with these entities going forward. In that order, the FCC concluded that JSAs should be “attributable” for purposes of the media ownership rules if they permit a television licensee to sell more than 15% of the commercial inventory of a television station owned by a third party in the same market. Stations with JSAs that would put them in violation of the new rules will have two years from the date on which the rules become effective to amend or terminate those arrangements unless they are able to obtain a waiver of such rules. Accordingly, absent further developments or the grant of a waiver, we may be required to modify or terminate our existing JSAs to comply with FCC requirements. | ||||||||
The carrying amounts and classifications of the assets and liabilities of the variable interest entities described above, which have been included in our consolidating balance sheets as of March 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 303 | $ | 278 | ||||
Accounts receivable, net | 5,922 | 6,345 | ||||||
Other assets | 927 | 927 | ||||||
Total current assets | 7,152 | 7,550 | ||||||
Property and equipment, net | 2,330 | 2,469 | ||||||
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 | ||||||
Other assets | 1,424 | 1,360 | ||||||
Total assets | $ | 55,024 | $ | 56,056 | ||||
LIABILITIES | ||||||||
Current liabilities: | ||||||||
Current portion of long-term debt | $ | 1,162 | $ | 1,162 | ||||
Accounts payable | 57 | 63 | ||||||
Accrued expenses | 1,259 | 1,336 | ||||||
Program obligations | 1,241 | 1,303 | ||||||
Total current liabilities | 3,719 | 3,864 | ||||||
Long-term debt, excluding current portion | 2,715 | 3,005 | ||||||
Program obligations | 1,457 | 1,424 | ||||||
Other liabilities | 47,133 | 47,763 | ||||||
Total liabilities | $ | 55,024 | $ | 56,056 | ||||
The assets of our consolidated VIEs can only be used to settle the obligations of the VIEs and may not be sold, or otherwise disposed of, except for assets sold or replaced with others of like kind or value. Other liabilities of $47.1 million and $47.8 million as of March 31, 2014 and December 31, 2013, respectively, serve to reduce the carrying value of the entities, and are eliminated in our consolidated financial statements. This reflects the fact that as of March 31, 2014 and December 31, 2013, LIN Television has an option that it may exercise if the FCC attribution rules change. The option would allow LIN Television to acquire the assets or member’s interest of the VIE entities for a nominal exercise price, which is significantly less than the carrying value of their tangible and intangible net assets. In an order adopted in March 2014, the FCC concluded that JSAs should be “attributable” for purposes of the media ownership rules if they permit a television licensee to sell more than 15% of the commercial inventory of a television station owned by a third party in the same market. As a result of the changes announced by the FCC, these arrangements, including the options described above, will need to be modified or terminated unless a waiver can be obtained from the FCC. | ||||||||
Redeemable Noncontrolling Interest | ||||||||
The redeemable noncontrolling interest as of December 31, 2013 includes the interest of minority shareholders of HYFN, Dedicated Media and Nami Media. During the three months ended March 31, 2014, we have reclassified the interest of the minority shareholders of Nami Media to permanent equity, as the mandatory redemption feature of Nami Media's minority shareholders' interest lapsed in February 2014. Accordingly, the following table presents the activity of the redeemable noncontrolling interest included in our consolidated balance sheets related to HYFN and Dedicated Media, which represents third parties’ proportionate share of our consolidated net assets (in thousands): | ||||||||
Redeemable | ||||||||
Noncontrolling | ||||||||
Interest | ||||||||
Balance as of December 31, 2013 | $ | 12,845 | ||||||
Net loss | (598 | ) | ||||||
Share-based compensation | 8 | |||||||
Reclassification to noncontrolling interest (Nami Media) | (2,435 | ) | ||||||
Balance as of March 31, 2014 | $ | 9,820 | ||||||
Use of Estimates | ||||||||
The preparation of financial statements in conformity with U.S. GAAP requires our management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the notes thereto. Our actual results could differ from these estimates. Estimates are used for the allowance for doubtful accounts in receivables, valuation of goodwill and intangible assets, assumptions used to determine fair value of financial instruments, amortization and impairment of program rights and intangible assets, share-based compensation and other long-term incentive compensation arrangements, pension costs, barter transactions, income taxes, employee medical insurance claims, useful lives of property and equipment, contingencies, litigation and net assets of businesses acquired. | ||||||||
Net Earnings per Common Share | ||||||||
Basic earnings per share (“EPS”) is computed by dividing income attributable to common shareholders by the number of weighted-average outstanding common shares. Diluted EPS reflects the effect of the assumed exercise of share options and vesting of restricted shares only in the periods in which such effect would have been dilutive. | ||||||||
The following table sets forth the computation of the common shares outstanding used in determining basic and diluted EPS (in thousands): | ||||||||
Three Months Ended March 31, | ||||||||
Denominator for EPS calculation: | 2014 | 2013 | ||||||
Weighted-average common shares, basic | 53,669 | 51,910 | ||||||
Effect of dilutive securities: | ||||||||
Share options | 2,924 | — | ||||||
Weighted-average common shares, diluted | 56,593 | 51,910 | ||||||
We apply the treasury stock method to measure the dilutive effect of our outstanding share options and restricted share awards and include the respective common share equivalents in the denominator of our diluted EPS calculation. Securities representing 0.1 million and 0.8 million common shares for the three months ended March 31, 2014 and 2013, respectively, were excluded from the computation of diluted EPS for these periods because their effect would have been anti-dilutive. The net income per share amounts are the same for our class A, class B and class C common shares because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. | ||||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Basis of Presentation and Summary of Significant Accounting Policies | ' | |||||||
Basis of Presentation and Summary of Significant Accounting Policies | ||||||||
Principles of Consolidation | ||||||||
LIN Television Corporation, a Delaware corporation (“LIN Television”), together with its subsidiaries, is a local multimedia company operating in the United States. LIN Television and its subsidiaries are affiliates of HM Capital Partners I LP (“HMC”). In these notes, the terms “Company,” “we,” “us” or “our” mean LIN Television and all subsidiaries included in our consolidated financial statements. LIN Television is a wholly-owned subsidiary of LIN Media LLC (“LIN LLC”). | ||||||||
On July 30, 2013, LIN TV Corp., a Delaware corporation (“LIN TV”), completed its merger with and into LIN LLC, a Delaware limited liability company and wholly owned subsidiary of LIN TV, with LIN LLC as the surviving entity (the “LIN LLC Merger”) pursuant to the Agreement and Plan of Merger, dated February 12, 2013, by and between LIN TV and LIN LLC (the “2013 LIN LLC Merger Agreement”). LIN LLC filed a Current Report on Form 8-K on July 31, 2013 (the “Form 8-K”) for the purpose of establishing LIN LLC as the successor registrant to LIN TV pursuant to Rule 12g-3(a) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and to disclose certain related matters, including the consummation of the 2013 LIN LLC Merger. Pursuant to Rule 12g-3(a) under the Exchange Act and in accordance with the filing of the Form 8-K, the class A common shares representing limited liability interests in LIN LLC, as the successor registrant to LIN TV, were deemed registered under Section 12(b) of the Exchange Act. References to "LIN LLC," "we," "us," or the "Company" in this Quarterly Report on Form 10-Q that include any period at and before the effectiveness of the 2013 LIN LLC Merger shall be deemed to refer to LIN TV as the predecessor registrant to LIN LLC. For more information concerning the effects of the 2013 LIN LLC Merger and the succession of LIN LLC to LIN TV upon its effectiveness, please see the Form 8-K. | ||||||||
LIN LLC has no independent assets or operations and guarantees all of our debt. All of the consolidated wholly-owned subsidiaries of LIN Television fully and unconditionally guarantee our Senior Secured Credit Facility, 83/8% Senior Notes due 2018 (the “83/8% Senior Notes”) and 63/8% Senior Notes due 2021 (the “63/8% Senior Notes”) on a joint-and-several basis, subject to customary release provisions. | ||||||||
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated. | ||||||||
In the opinion of management, the accompanying unaudited interim financial statements contain all adjustments necessary to state fairly our financial position, results of operations and cash flows for the periods presented. The interim results of operations are not necessarily indicative of the results to be expected for the full year. | ||||||||
The accompanying consolidated financial statements include the accounts of our Company, our wholly-owned and majority-owned and controlled subsidiaries, and VIEs for which we are the primary beneficiary. We review all local marketing agreements (“LMAs”), shared services agreements (“SSAs”), joint sales agreements (“JSAs”) and related agreements, to evaluate whether consolidation of entities that are party to such arrangements is required under U.S. GAAP. | ||||||||
During the first quarter of 2014, as a result of the continued growth in our digital business, we reevaluated our organization and the nature of our business activities and began assessing and internally reporting financial information for our broadcast business and our digital business separately. As a result, we now have two reportable operating segments, “Broadcast” and “Digital” that are disclosed separately from our corporate activities. Our Broadcast segment includes 43 television stations and seven digital channels that are either owned, operated or serviced by us in 23 U.S. markets, all of which are engaged principally in the sale of television advertising and digital advertising primarily related to our television station companion websites. Our Digital segment includes the operating results of our digital companies: LIN Digital LLC ("LIN Digital"), LIN Mobile, LLC ("LIN Mobile"), Nami Media, Inc. ("Nami Media"), HYFN, Inc. ("HYFN"), Dedicated Media, Inc. ("Dedicated Media"), and Federated Media Publishing LLC ("Federated Media"). Corporate and unallocated expenses primarily include our costs to operate as a public company and to operate our corporate locations. Corporate is not a reportable segment. We have restated prior period disclosures to reflect this change in our reportable operating segments. See Note 5 - “Segment Reporting” for further discussion. | ||||||||
On March 21, 2014, we filed a Current Report on Form 8-K for the purpose of announcing that LIN LLC entered into an Agreement and Plan of Merger with Media General, Inc., a Virginia corporation (“Media General”), Mercury New Holdco, Inc., a Virginia corporation (“New Holdco”), Mercury Merger Sub 1, Inc., a Virginia corporation and a direct, wholly-owned subsidiary of New Holdco (“Merger Sub 1”), Mercury Merger Sub 2, LLC, a Delaware limited liability company and a direct, wholly owned subsidiary of New Holdco (“Merger Sub 2”) (the “Merger Agreement”) pursuant to which Merger Sub 1 will, upon the terms and subject to the conditions thereof, merge with and into Media General (the “Media General Merger”), with Media General surviving the Media General Merger as a wholly owned subsidiary of New Holdco, and immediately following the consummation of the Media General Merger, Merger Sub 2 will merge with and into LIN LLC (the “LIN Merger” and together with the Media General Merger, the “Merger”), with LIN LLC surviving the Merger as a wholly owned subsidiary of New Holdco. | ||||||||
As a result of the Merger, the combined company will own and operate or service 74 stations across 46 markets, reaching approximately 26.5 million households or 23% of U.S. TV households (certain of these stations are expected to be swapped or otherwise divested in order to address regulatory considerations). The transaction is currently expected to close during the first quarter of 2015. For more information concerning the Merger, refer to the Current Report on Form 8-K filed with the SEC on March 21, 2014. | ||||||||
Joint Venture Sale Transaction and Merger | ||||||||
On February 12, 2013, we, along with LIN TV and LIN Television of Texas, L.P., a Delaware limited partnership (“LIN Texas”) entered into an agreement whereby LIN Texas sold its 20.38% equity interest in Station Venture Holdings ("SVH"), a joint venture in which an affiliate of NBCUniversal ("NBC"), held the remaining 79.62% equity interest (collectively, the “JV Sale Transaction”). Pursuant to the JV Sale Transaction, LIN Television caused a $100 million capital contribution to be made to SVH and in turn, LIN TV was released from the guarantee of an $815.5 million note held by SVH ("GECC Guarantee") as well as any further obligations related to any shortfall funding agreements between us and SVH. | ||||||||
Concurrent with the closing of the JV Sale Transaction, LIN TV entered into the 2013 LIN LLC Merger Agreement. The 2013 LIN LLC Merger enabled the surviving entity to be classified as a partnership for federal income tax purposes and the change in classification was treated as a liquidation of LIN TV for federal income tax purposes, with the result that LIN TV realized a capital loss in its 100% equity interest in LIN Television. | ||||||||
For further discussion of the JV Sale Transaction and the 2013 LIN LLC Merger, refer to Item 1. "Business," Note 1 - "Basis of Presentation and Summary of Significant Accounting Policies" and Note 13 - "Commitments and Contingencies" to our consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2013 (the "10-K"). | ||||||||
Variable Interest Entities | ||||||||
In determining whether we are the primary beneficiary of a VIE for financial reporting purposes, we consider whether we have the power to direct the activities of the VIE that most significantly impact the economic performance of the VIE and whether we have the obligation to absorb losses or the right to receive returns that would be significant to the VIE. We consolidate VIEs when we are the primary beneficiary. | ||||||||
We have a JSA and an SSA with WBDT Television, LLC (“WBDT”) for WBDT-TV in the Dayton, OH market. We also have JSAs and SSAs with affiliates of Vaughan Acquisition LLC (“Vaughan”) for WTGS-TV in the Savannah, GA market, WYTV-TV in the Youngstown, OH market and KTKA-TV in the Topeka, KS market and SSAs with KASY-TV Licensee, LLC (“KASY”), KWBQ-TV, KRWB-TV and KASY-TV in the Albuquerque, Santa-Fe NM market. Under these agreements, we provide administrative services to these stations, have an obligation to reimburse certain of the stations' expenses, and we are compensated through a performance-based fee structure that provides us the benefit of certain returns from the operation of these stations. We determined that WBDT, Vaughan and KASY are VIEs and as a result of the JSAs and/or SSAs, we have variable interests in these entities. We are the primary beneficiary of these entities, and therefore, we consolidate these entities within our consolidated financial statements. | ||||||||
An order that the Federal Communications Commission (“FCC”) adopted in March 2014, however, may require changes in our relationship with these entities going forward. In that order, the FCC concluded that JSAs should be “attributable” for purposes of the media ownership rules if they permit a television licensee to sell more than 15% of the commercial inventory of a television station owned by a third party in the same market. Stations with JSAs that would put them in violation of the new rules will have two years from the date on which the rules become effective to amend or terminate those arrangements unless they are able to obtain a waiver of such rules. Accordingly, absent further developments or the grant of a waiver, we may be required to modify or terminate our existing JSAs to comply with FCC requirements. | ||||||||
The carrying amounts and classifications of the assets and liabilities of the variable interest entities described above, which have been included in our consolidating balance sheets as of March 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||
March 31, 2014 | December 31, | |||||||
2013 | ||||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 303 | $ | 278 | ||||
Accounts receivable, net | 5,922 | 6,345 | ||||||
Other assets | 927 | 927 | ||||||
Total current assets | 7,152 | 7,550 | ||||||
Property and equipment, net | 2,330 | 2,469 | ||||||
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 | ||||||
Other assets | 1,424 | 1,360 | ||||||
Total assets | $ | 55,024 | $ | 56,056 | ||||
LIABILITIES | ||||||||
Current liabilities: | ||||||||
Current portion of long-term debt | $ | 1,162 | $ | 1,162 | ||||
Accounts payable | 57 | 63 | ||||||
Accrued expenses | 1,259 | 1,336 | ||||||
Program obligations | 1,241 | 1,303 | ||||||
Total current liabilities | 3,719 | 3,864 | ||||||
Long-term debt, excluding current portion | 2,715 | 3,005 | ||||||
Program obligations | 1,457 | 1,424 | ||||||
Other liabilities | 47,133 | 47,763 | ||||||
Total liabilities | $ | 55,024 | $ | 56,056 | ||||
The assets of our consolidated VIEs can only be used to settle the obligations of the VIEs and may not be sold, or otherwise disposed of, except for assets sold or replaced with others of like kind or value. Other liabilities of $47.1 million and $47.8 million as of March 31, 2014 and December 31, 2013, respectively, serve to reduce the carrying value of the entities, and are eliminated in our consolidated financial statements. This reflects the fact that as of March 31, 2014 and December 31, 2013, we have an option that we may exercise if the FCC attribution rules change. The option would allow us to acquire the assets or member’s interest of the VIE entities for a nominal exercise price, which is significantly less than the carrying value of their tangible and intangible net assets. In an order adopted in March 2014, the FCC concluded that JSAs should be "attributable" for purposes of the media ownership rules if they permit a television licensee to sell more than 15% of the commercial inventory of a television station owned by a third party in the same market. As a result of the changes announced by the FCC, these arrangements, including the options described above, will need to be modified or terminated unless a waiver can be obtained from the FCC. | ||||||||
Redeemable Noncontrolling Interest | ||||||||
The redeemable noncontrolling interest as of December 31, 2013 includes the interest of minority shareholders of HYFN, Dedicated Media and Nami Media. During the three months ended March 31, 2014, we have reclassified the interest of the minority shareholders of Nami Media to permanent equity, as the mandatory redemption feature of Nami Media's minority shareholders' interest lapsed in February 2014. Accordingly, the following table presents the activity of the redeemable noncontrolling interest included in our consolidated balance sheets related to HYFN and Dedicated Media, which represents third parties’ proportionate share of our consolidated net assets (in thousands): | ||||||||
Redeemable | ||||||||
Noncontrolling | ||||||||
Interest | ||||||||
Balance as of December 31, 2013 | $ | 12,845 | ||||||
Net loss | (598 | ) | ||||||
Share-based compensation | 8 | |||||||
Reclassification to noncontrolling interest (Nami Media) | (2,435 | ) | ||||||
Balance as of March 31, 2014 | $ | 9,820 | ||||||
Use of Estimates | ||||||||
The preparation of financial statements in conformity with U.S. GAAP requires our management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the notes thereto. Our actual results could differ from these estimates. Estimates are used for the allowance for doubtful accounts in receivables, valuation of goodwill and intangible assets, assumptions used to determine fair value of financial instruments, amortization and impairment of program rights and intangible assets, share-based compensation and other long-term incentive compensation arrangements, pension costs, barter transactions, income taxes, employee medical insurance claims, useful lives of property and equipment, contingencies, litigation and net assets of businesses acquired. |
Acquisitions
Acquisitions | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Acquisitions | ' | |||||||
Acquisitions | ||||||||
Federated Media Publishing, Inc. | ||||||||
On February 3, 2014, LIN Digital Media LLC, a wholly owned subsidiary of LIN Television, acquired 100% of the capital stock of Federated Media Publishing, Inc., which we subsequently converted into a Delaware limited liability company ("Federated Media"). Federated Media is a digital content and conversational marketing company that leverages the relationships and content from its publishing network to deliver contextually relevant advertising and conversational and engagement tools that reach agencies’ and brands’ targeted audiences across digital and social media platforms. The purchase price totaled $22.3 million, net of cash, subject to post-closing adjustments, and was funded from cash on hand and amounts drawn on our revolving credit facility. | ||||||||
The following table summarizes the provisional allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed by us in the acquisition (in thousands): | ||||||||
Current assets | $ | 9,811 | ||||||
Property and equipment | 72 | |||||||
Non-current assets | 196 | |||||||
Other intangible assets | 11,497 | |||||||
Goodwill | 7,099 | |||||||
Current liabilities | (6,368 | ) | ||||||
Total | $ | 22,307 | ||||||
The amount allocated to definite-lived intangible assets represents the estimated fair values of publisher relationships of $4.2 million, customer relationships of $1.2 million, completed technology of $3.9 million, and trademarks of $2.2 million. These intangible assets will be amortized over the estimated remaining useful lives of approximately 8 years for publisher relationships, 4 years for customer relationships, 3 years for completed technology and 7 years for trademarks. | ||||||||
Goodwill of $7.1 million is the excess of the aggregate purchase price over the fair value of the identifiable net assets acquired, and primarily represents the benefits of the incremental revenue we expect to generate from the acquisition of Federated Media. All of the goodwill recognized in connection with the acquisition of Federated Media is deductible for tax purposes. | ||||||||
Pro Forma Information | ||||||||
The following table sets forth unaudited pro forma results of operations for the three months ended March 31, 2014 and 2013 assuming that the above acquisition of Federated Media, along with transactions necessary to finance the acquisition, occurred on January 1, 2013 (in thousands): | ||||||||
Three Months Ended | Three Months Ended | |||||||
March 31, 2014 | March 31, 2013 | |||||||
Net revenue | $ | 167,608 | $ | 149,069 | ||||
Net income (loss) | $ | 439 | $ | (5,089 | ) | |||
Basic income (loss) per common share attributable to LIN Media LLC | $ | 0.01 | $ | (0.10 | ) | |||
Diluted income (loss) per common share attributable to LIN Media LLC | $ | 0.01 | $ | (0.10 | ) | |||
This pro forma financial information is based on historical results of operations, adjusted for the allocation of the purchase price and other acquisition accounting adjustments, and is not necessarily indicative of what our results would have been had we operated the business since January 1, 2013. The pro forma adjustments for the three months ended March 31, 2014 and 2013 reflect depreciation expense, amortization of intangibles related to the fair value adjustments of the assets acquired, additional interest expense related to the financing of the transaction and the related tax effects of the adjustments. | ||||||||
In connection with the acquisition of Federated Media, we and Federated Media incurred a combined total of $0.8 million of transaction related costs primarily related to legal and other professional services. These costs were not included in the 2014 pro forma amounts. The 2013 pro forma net loss was adjusted to include these costs, as they are directly attributable to the acquisition of Federated Media. | ||||||||
Net revenues and operating loss of Federated Media included in our consolidated statements of operations for the three months ended March 31, 2014 were $4 million and $(0.5) million, respectively. | ||||||||
Dedicated Media, Inc. | ||||||||
On April 9, 2013, LIN Television acquired a 60% interest (calculated on a fully diluted basis) in Dedicated Media, a multi-channel advertisement buying and optimization company. Under the terms of our agreement with Dedicated Media, we agreed to purchase the remaining outstanding shares of Dedicated Media by no later than February 15, 2015 if Dedicated Media achieves both (i) a target earnings before interest, taxes, depreciation and amortization (“EBITDA”) and (ii) a target gross profit in 2014, as outlined in the purchase agreement. The purchase price of these shares is based on multiples of Dedicated Media’s 2014 EBITDA and gross profit. Our maximum potential obligation under the purchase agreement is $26 million. If Dedicated Media does not meet the target EBITDA or target gross profit in 2014, we have the option to purchase the remaining outstanding shares using the same purchase price multiple. | ||||||||
HYFN, Inc. | ||||||||
On April 4, 2013, LIN Television acquired a 50.1% interest (calculated on a fully diluted basis) in HYFN, a full service digital advertising agency specializing in the planning, development, deployment and support for websites, mobile sites, interactive banners, games and various applications for multiple devices. Under the terms of our agreement with HYFN, we agreed to purchase the remaining outstanding shares of HYFN by no later than February 15, 2016 if HYFN achieves both (i) a target EBITDA and (ii) target net revenues in 2015, as outlined in the transaction agreements. The purchase price of these shares is based on multiples of HYFN’s 2015 net revenue and EBITDA. Our maximum potential obligation under the terms of our agreement is approximately $62.4 million. If HYFN does not meet the target EBITDA or target net revenues in 2015, we have the option to purchase the remaining outstanding shares using the same purchase price multiple. | ||||||||
Our obligations to purchase the noncontrolling interest holders’ shares of both Dedicated Media and HYFN are outside of our control, because they are based on the achievement of certain financial targets described above. Therefore, the noncontrolling interest related to Dedicated Media and HYFN as of March 31, 2014 has been reported as redeemable noncontrolling interest and classified as temporary equity on our consolidated balance sheets. As of the acquisition dates, the fair values of the noncontrolling interests were $3.8 million and $7.2 million for Dedicated Media and HYFN, respectively, and were measured based on the purchase prices for our 60% and 50.1% ownership interest in Dedicated Media and HYFN, respectively, and the net assets acquired as of the acquisition dates. As of March 31, 2014, we believe that achievement of the financial targets is not yet probable and therefore, have not reflected these obligations in our consolidated financial statements. | ||||||||
If we do not purchase the remaining outstanding shares of Dedicated Media or HYFN by the dates set forth in the respective purchase agreements, the noncontrolling interest holders have the right to purchase our interest. The purchase price of these shares is based on the same purchase price multiple described above and is exercisable only if the applicable financial targets are not met and we do not elect to purchase the remaining interest. The fair value of this option is zero and no amounts related to these options are included in our consolidated financial statements as of March 31, 2014. | ||||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Acquisitions | ' | |||||||
Acquisitions | ||||||||
Federated Media Publishing, Inc. | ||||||||
On February 3, 2014, LIN Digital Media LLC, a wholly owned subsidiary of LIN Television, acquired 100% of the capital stock of Federated Media Publishing, Inc., which we subsequently converted into a Delaware limited liability company ("Federated Media"). Federated Media is a digital content and conversational marketing company that leverages the relationships and content from its publishing network to deliver contextually relevant advertising and conversational and engagement tools that reach agencies’ and brands’ targeted audiences across digital and social media platforms. The purchase price totaled $22.3 million, net of cash, subject to post-closing adjustments, and was funded from cash on hand and amounts drawn on our revolving credit facility. | ||||||||
The following table summarizes the provisional allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed by us in the acquisition (in thousands): | ||||||||
Current assets | $ | 9,811 | ||||||
Property and equipment | 72 | |||||||
Non-current assets | 196 | |||||||
Other intangible assets | 11,497 | |||||||
Goodwill | 7,099 | |||||||
Current liabilities | (6,368 | ) | ||||||
Total | $ | 22,307 | ||||||
The amount allocated to definite-lived intangible assets represents the estimated fair values of publisher relationships of $4.2 million, customer relationships of $1.2 million, completed technology of $3.9 million, and trademarks of $2.2 million. These intangible assets will be amortized over the estimated remaining useful lives of approximately 8 years for publisher relationships, 4 years for customer relationships, 3 years for completed technology and 7 years for trademarks. | ||||||||
Goodwill of $7.1 million is the excess of the aggregate purchase price over the fair value of the identifiable net assets acquired, and primarily represents the benefits of the incremental revenue we expect to generate from the acquisition of Federated Media. All of the goodwill recognized in connection with the acquisition of Federated Media is deductible for tax purposes. | ||||||||
Pro Forma Information | ||||||||
The following table sets forth unaudited pro forma results of operations for the three months ended March 31, 2014 and 2013 assuming that the above acquisition of Federated Media, along with transactions necessary to finance the acquisition, occurred on January 1, 2013 (in thousands): | ||||||||
Three Months Ended | Three Months Ended | |||||||
March 31, 2014 | March 31, 2013 | |||||||
Net revenue | $ | 167,608 | $ | 149,069 | ||||
Net income (loss) | $ | 771 | $ | (5,089 | ) | |||
This pro forma financial information is based on historical results of operations, adjusted for the allocation of the purchase price and other acquisition accounting adjustments, and is not necessarily indicative of what our results would have been had we operated the business since January 1, 2013. The pro forma adjustments for the three months ended March 31, 2014 and 2013 reflect depreciation expense, amortization of intangibles related to the fair value adjustments of the assets acquired, additional interest expense related to the financing of the transaction and the related tax effects of the adjustments. | ||||||||
In connection with the acquisition of Federated Media, we and Federated Media incurred a combined total of $0.8 million of transaction related costs primarily related to legal and other professional services. These costs were not included in the 2014 pro forma amounts. The 2013 pro forma net loss was adjusted to include these costs, as they are directly attributable to the acquisition of Federated Media. | ||||||||
Net revenues and operating loss of Federated Media included in our consolidated statements of operations for the three months ended March 31, 2014 were $4 million and $(0.5) million, respectively. | ||||||||
Dedicated Media, Inc. | ||||||||
On April 9, 2013, we acquired a 60% interest (calculated on a fully diluted basis) in Dedicated Media, a multi-channel advertisement buying and optimization company. Under the terms of our agreement with Dedicated Media, we agreed to purchase the remaining outstanding shares of Dedicated Media by no later than February 15, 2015 if Dedicated Media achieves both (i) a target earnings before interest, taxes, depreciation and amortization (“EBITDA”) and (ii) a target gross profit in 2014, as outlined in the purchase agreement. The purchase price of these shares is based on multiples of Dedicated Media’s 2014 EBITDA and gross profit. Our maximum potential obligation under the purchase agreement is $26 million. If Dedicated Media does not meet the target EBITDA or target gross profit in 2014, we have the option to purchase the remaining outstanding shares using the same purchase price multiple. | ||||||||
HYFN, Inc. | ||||||||
On April 4, 2013, we acquired a 50.1% interest (calculated on a fully diluted basis) in HYFN, a full service digital advertising agency specializing in the planning, development, deployment and support for websites, mobile sites, interactive banners, games and various applications for multiple devices. Under the terms of our agreement with HYFN, we agreed to purchase the remaining outstanding shares of HYFN by no later than February 15, 2016 if HYFN achieves both (i) a target EBITDA and (ii) target net revenues in 2015, as outlined in the transaction agreements. The purchase price of these shares is based on multiples of HYFN’s 2015 net revenue and EBITDA. Our maximum potential obligation under the terms of our agreement is approximately $62.4 million. If HYFN does not meet the target EBITDA or target net revenues in 2015, we have the option to purchase the remaining outstanding shares using the same purchase price multiple. | ||||||||
Our obligations to purchase the noncontrolling interest holders’ shares of both Dedicated Media and HYFN are outside of our control, because they are based on the achievement of certain financial targets described above. Therefore, the noncontrolling interest related to Dedicated Media and HYFN as of March 31, 2014 has been reported as redeemable noncontrolling interest and classified as temporary equity on our consolidated balance sheets. As of the acquisition dates, the fair values of the noncontrolling interests were $3.8 million and $7.2 million for Dedicated Media and HYFN, respectively, and were measured based on the purchase prices for our 60% and 50.1% ownership interest in Dedicated Media and HYFN, respectively, and the net assets acquired as of the acquisition dates. As of March 31, 2014, we believe that achievement of the financial targets is not yet probable and therefore, have not reflected these obligations in our consolidated financial statements. | ||||||||
If we do not purchase the remaining outstanding shares of Dedicated Media or HYFN by the dates set forth in the respective purchase agreements, the noncontrolling interest holders have the right to purchase our interest. The purchase price of these shares is based on the same purchase price multiple described above and is exercisable only if the applicable financial targets are not met and we do not elect to purchase the remaining interest. The fair value of this option is zero and no amounts related to these options are included in our consolidated financial statements as of March 31, 2014. |
Intangible_Assets
Intangible Assets | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Intangible Assets | ' | |||||||||||||||
Intangible Assets | ||||||||||||||||
Goodwill totaled $210.6 million and $203.5 million at March 31, 2014 and December 31, 2013, respectively. The change in the carrying amount of goodwill during the three months ended March 31, 2014 was as follows (in thousands): | ||||||||||||||||
Goodwill | ||||||||||||||||
Broadcast: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 185,237 | ||||||||||||||
Acquisitions | — | |||||||||||||||
Balance as of March 31, 2014 | $ | 185,237 | ||||||||||||||
Digital: | ||||||||||||||||
Balance as of December 31, 2013 | 18,291 | |||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 25,390 | ||||||||||||||
Total: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 203,528 | ||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 210,627 | ||||||||||||||
The following table summarizes the carrying amounts of intangible assets (in thousands): | ||||||||||||||||
March 31, 2014 | December 31, 2013 | |||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Broadcast licenses | $ | 536,515 | $ | — | $ | 536,515 | $ | — | ||||||||
Intangible assets subject to amortization (1) | 98,143 | (44,488 | ) | 85,966 | (38,917 | ) | ||||||||||
Total | $ | 634,658 | $ | (44,488 | ) | $ | 622,481 | $ | (38,917 | ) | ||||||
-1 | Intangible assets subject to amortization are amortized on a straight line basis and primarily include network affiliations, acquired customer and publisher relationships, completed technology, brand names, non-compete agreements, internal-use software, favorable operating leases, and retransmission consent agreements. | |||||||||||||||
LIN Television Corporation | ' | |||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Intangible Assets | ' | |||||||||||||||
Intangible Assets | ||||||||||||||||
Goodwill totaled $210.6 million and $203.5 million at March 31, 2014 and December 31, 2013, respectively. The change in the carrying amount of goodwill during the three months ended March 31, 2014 was as follows (in thousands): | ||||||||||||||||
Goodwill | ||||||||||||||||
Broadcast: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 185,237 | ||||||||||||||
Acquisitions | — | |||||||||||||||
Balance as of March 31, 2014 | $ | 185,237 | ||||||||||||||
Digital: | ||||||||||||||||
Balance as of December 31, 2013 | 18,291 | |||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 25,390 | ||||||||||||||
Total: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 203,528 | ||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 210,627 | ||||||||||||||
The following table summarizes the carrying amounts of intangible assets (in thousands): | ||||||||||||||||
March 31, 2014 | December 31, 2013 | |||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Broadcast licenses | $ | 536,515 | $ | — | $ | 536,515 | $ | — | ||||||||
Intangible assets subject to amortization (1) | 98,143 | (44,488 | ) | 85,966 | (38,917 | ) | ||||||||||
Total | $ | 634,658 | $ | (44,488 | ) | $ | 622,481 | $ | (38,917 | ) | ||||||
(1) | Intangible assets subject to amortization are amortized on a straight line basis and primarily include network affiliations, acquired customer and publisher relationships, completed technology, brand names, non-compete agreements, internal-use software, favorable operating leases, and retransmission consent agreements. |
Debt
Debt | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Debt | ' | |||||||
Debt | ||||||||
LIN LLC guarantees all of LIN Television’s debt. All of the consolidated 100% owned subsidiaries of LIN Television fully and unconditionally guarantee LIN Television’s senior secured credit facility, the 83/8% Senior Notes due 2018 (the “83/8% Senior Notes”), and the 63/8% Senior Notes due 2021 (the “63/8% Senior Notes”) on a joint-and-several basis. | ||||||||
Debt consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Senior Secured Credit Facility: | ||||||||
Revolving credit loans | $ | 15,000 | $ | 5,000 | ||||
$115,625 and $118,750 Term loans, net of discount of $322 and $345 as March 31, 2014 and December 31, 2013, respectively | 115,303 | 118,405 | ||||||
$313,400 and $314,200 Incremental term loans, net of discount of $1,599 and $1,684 as of March 31, 2014 and December 31, 2013, respectively | 311,801 | 312,516 | ||||||
83/8% Senior Notes due 2018 | 200,000 | 200,000 | ||||||
63/8% Senior Notes due 2021 | 290,000 | 290,000 | ||||||
Capital lease obligations | 14,477 | 14,604 | ||||||
Other debt | 3,875 | 4,167 | ||||||
Total debt | 950,456 | 944,692 | ||||||
Less current portion | 18,925 | 17,364 | ||||||
Total long-term debt | $ | 931,531 | $ | 927,328 | ||||
During the three months ended March 31, 2014, we paid $3.9 million of principal on the term loans and incremental term loans related to mandatory quarterly payments under our senior secured credit facility. | ||||||||
In January and February 2014, we drew $40 million on our revolving credit facility to fund the acquisition of Federated Media as well as normal operating activities. We subsequently made payments against these borrowings in the amount of $30 million, resulting in an outstanding balance on our revolving credit facility of $15 million as of March 31, 2014. | ||||||||
In February 2013, pursuant to our existing credit agreement, we issued $60 million of new debt in the form of a tranche B-2 incremental term facility (the “Incremental Facility”). The Incremental Facility is a five-year term loan facility and is subject to the terms of LIN Television’s existing credit agreement, dated as of October 26, 2011, as amended on December 24, 2012, by and among LIN Television, JP Morgan Chase Bank as Administrative Agent and the banks and other financial institutions party thereto (the “Credit Agreement”). The proceeds of the Incremental Facility, as well as cash on hand and cash from revolving borrowings under the Credit Agreement, were used to fund the $100 million capital contribution made to SVH pursuant to the JV Sale Transaction. | ||||||||
The fair values of our long-term debt are estimated based on quoted market prices for the same or similar issues (Level 2 inputs of the three-level fair value hierarchy). The carrying amounts and fair values of our long-term debt were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Carrying amount | $ | 935,979 | $ | 930,088 | ||||
Fair value | 966,967 | 954,255 | ||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Debt | ' | |||||||
Debt | ||||||||
Debt consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Senior Secured Credit Facility: | ||||||||
Revolving credit loans | $ | 15,000 | $ | 5,000 | ||||
$115,625 and $118,750 Term loans, net of discount of $322 and $345 as March 31, 2014 and December 31, 2013, respectively | 115,303 | 118,405 | ||||||
$313,400 and $314,200 Incremental term loans, net of discount of $1,599 and $1,684 as of March 31, 2014 and December 31, 2013, respectively | 311,801 | 312,516 | ||||||
83/8% Senior Notes due 2018 | 200,000 | 200,000 | ||||||
63/8% Senior Notes due 2021 | 290,000 | 290,000 | ||||||
Capital lease obligations | 14,477 | 14,604 | ||||||
Other debt | 5,875 | 6,167 | ||||||
Total debt | 952,456 | 946,692 | ||||||
Less current portion | 18,925 | 17,364 | ||||||
Total long-term debt | $ | 933,531 | $ | 929,328 | ||||
During the three months ended March 31, 2014, we paid $3.9 million of principal on the term loans and incremental term loans related to mandatory quarterly payments under our senior secured credit facility. | ||||||||
In January and February 2014, we drew $40 million on our revolving credit facility to fund the acquisition of Federated Media as well as normal operating activities. We subsequently made payments against these borrowings in the amount of $30 million, resulting in an outstanding balance on our revolving credit facility of $15 million as of March 31, 2014. | ||||||||
In February 2013, pursuant to our existing credit agreement, we issued $60 million of new debt in the form of a tranche B-2 incremental term facility (the “Incremental Facility”). The Incremental Facility is a five-year term loan facility and is subject to the terms of our existing credit agreement, dated as of October 26, 2011, as amended on December 24, 2012, by and among LIN Television, JP Morgan Chase Bank as Administrative Agent and the banks and other financial institutions party thereto (the “Credit Agreement”). The proceeds of the Incremental Facility, as well as cash on hand and cash from revolving borrowings under the Credit Agreement, were used to fund the $100 million capital contribution made to SVH pursuant to the JV Sale Transaction. | ||||||||
The fair values of our long-term debt are estimated based on quoted market prices for the same or similar issues (Level 2 inputs of the three-level fair value hierarchy). The carrying amounts and fair values of our long-term debt were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Carrying amount | $ | 937,979 | $ | 932,088 | ||||
Fair value | 968,967 | 956,255 | ||||||
Segment_Reporting
Segment Reporting | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Segment Reporting | ' | |||||||
Segment Reporting | ||||||||
During the first quarter of 2014, as a result of the continued growth in our digital business, we began assessing and internally reporting financial information for our broadcast business and our digital business separately. As a result, we now have two reportable operating segments, “Broadcast” and “Digital” that are disclosed separately from our corporate activities. Our Broadcast segment includes 43 television stations and seven digital channels that are either owned, operated or serviced by us in 23 U.S. markets, all of which are engaged principally in the sale of television advertising and digital advertising primarily related to our television station companion websites, and our Digital segment includes the operating results of our digital companies; LIN Digital, LIN Mobile, Nami Media, HYFN, Dedicated Media, and Federated Media. Unallocated corporate expenses primarily include our costs to operate as a public company and to operate our corporate locations. | ||||||||
We use earnings before interest, taxes, depreciation and amortization, excluding non-recurring charges, restructuring charges, share-based compensation, loss or gain on sales of assets, and cash paid for programming (“Adjusted EBITDA”) as the primary financial measure reported to the chief executive officer (the chief operating decision maker) for use in assessing our operating segments’ operating performance. We believe that this measure is useful to investors because it eliminates a significant level of non-cash depreciation and amortization expense and other non-recurring charges and as a result, allows investors to better understand our operating segments’ performance. All adjustments to Adjusted EBITDA presented below to arrive at consolidated pre-tax income (loss) except for depreciation and amortization and cash paid for programming relate primarily to corporate activities. Cash paid for programming pertains only to our Broadcast segment. As a result, we have disclosed depreciation and amortization by segment, as this is the only adjustment to operating income that the chief executive officer reviews on a segment basis. We have presented prior period information to reflect our current reportable segments. | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Net revenues: | ||||||||
Broadcast | $ | 141,715 | $ | 131,951 | ||||
Digital | 24,526 | 9,041 | ||||||
Total net revenues | $ | 166,241 | $ | 140,992 | ||||
The following table is a reconciliation of Adjusted EBITDA to consolidated pre-tax income (loss): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Segment Adjusted EBITDA: | ||||||||
Broadcast | $ | 47,470 | $ | 40,595 | ||||
Digital | (893 | ) | 164 | |||||
Total segment Adjusted EBITDA | 46,577 | 40,759 | ||||||
Unallocated corporate Adjusted EBITDA | (7,251 | ) | (4,619 | ) | ||||
Less: | ||||||||
Depreciation | 10,686 | 11,638 | ||||||
Amortization of intangible assets | 5,571 | 5,429 | ||||||
Amortization of program rights | 6,593 | 7,785 | ||||||
Share-based compensation | 2,307 | 1,941 | ||||||
Non-recurring and acquisition-related charges (1) | 4,559 | 3,051 | ||||||
Restructuring charge | — | 2,132 | ||||||
Loss on sale of assets | 94 | 95 | ||||||
Add: | ||||||||
Cash payments for programming | 6,866 | 7,707 | ||||||
Operating income | 16,382 | 11,776 | ||||||
Other expense: | ||||||||
Interest expense, net | 14,209 | 13,871 | ||||||
Share of loss in equity investments | 75 | — | ||||||
Other expense (income), net | 18 | (24 | ) | |||||
Total other expense, net | 14,302 | 13,847 | ||||||
Consolidated pre-tax income (loss) | $ | 2,080 | $ | (2,071 | ) | |||
_______________________________ | ||||||||
(1) Non-recurring charges for the three months ended March 31, 2014 and 2013 primarily consist of expenses related to the Merger and the 2013 LIN LLC Merger, respectively. | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Operating income (loss): | ||||||||
Broadcast | $ | 33,474 | $ | 24,158 | ||||
Digital | (2,678 | ) | (498 | ) | ||||
Unallocated corporate | (14,414 | ) | (11,884 | ) | ||||
Total operating income | $ | 16,382 | $ | 11,776 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Depreciation and amortization: | ||||||||
Broadcast | $ | 14,136 | $ | 16,264 | ||||
Digital | 1,775 | 641 | ||||||
Unallocated corporate | 346 | 162 | ||||||
Total depreciation and amortization | $ | 16,257 | $ | 17,067 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Capital expenditures: | ||||||||
Broadcast | $ | 3,937 | $ | 5,729 | ||||
Digital | 1,139 | 799 | ||||||
Unallocated corporate | 533 | 270 | ||||||
Total capital expenditures | $ | 5,609 | $ | 6,798 | ||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Assets: | ||||||||
Broadcast | $ | 1,092,169 | $ | 1,100,343 | ||||
Digital | 86,594 | 69,690 | ||||||
Unallocated corporate | 58,472 | 46,817 | ||||||
Total assets | $ | 1,237,235 | $ | 1,216,850 | ||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Segment Reporting | ' | |||||||
Segment Reporting | ||||||||
During the first quarter of 2014, as a result of the continued growth in our digital business, we began assessing and internally reporting financial information for our broadcast business and our digital business separately. As a result, we now have two reportable operating segments, “Broadcast” and “Digital” that are disclosed separately from our corporate activities. Our Broadcast segment includes 43 television stations and seven digital channels that are either owned, operated or serviced by us in 23 U.S. markets, all of which are engaged principally in the sale of television advertising and digital advertising primarily related to our television station companion websites, and our Digital segment includes the operating results of our digital companies; LIN Digital, LIN Mobile, Nami Media, HYFN, Dedicated Media, and Federated Media. Unallocated corporate expenses primarily include our costs to operate as a public company and to operate our corporate locations. | ||||||||
We use earnings before interest, taxes, depreciation and amortization, excluding non-recurring charges, restructuring charges, share-based compensation, loss or gain on sales of assets, and cash paid for programming (“Adjusted EBITDA”) as the primary financial measure reported to the chief executive officer (the chief operating decision maker) for use in assessing our operating segments’ operating performance. We believe that this measure is useful to investors because it eliminates a significant level of non-cash depreciation and amortization expense and other non-recurring charges and as a result, allows investors to better understand our operating segments’ performance. All adjustments to Adjusted EBITDA presented below to arrive at consolidated pre-tax income (loss) except for depreciation and amortization and cash paid for programming relate primarily to corporate activities. Cash paid for programming pertains only to our Broadcast segment. As a result, we have disclosed depreciation and amortization by segment, as this is the only adjustment to operating income that the chief executive officer reviews on a segment basis. We have presented prior period information to reflect our current reportable segments. | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Net revenues: | ||||||||
Broadcast | $ | 141,715 | $ | 131,951 | ||||
Digital | 24,526 | 9,041 | ||||||
Total net revenues | $ | 166,241 | $ | 140,992 | ||||
The following table is a reconciliation of Adjusted EBITDA to consolidated pre-tax income (loss): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Segment Adjusted EBITDA: | ||||||||
Broadcast | $ | 47,470 | $ | 40,595 | ||||
Digital | (893 | ) | 164 | |||||
Total segment Adjusted EBITDA | 46,577 | 40,759 | ||||||
Unallocated corporate Adjusted EBITDA | (6,899 | ) | (4,619 | ) | ||||
Less: | ||||||||
Depreciation | 10,686 | 11,638 | ||||||
Amortization of intangible assets | 5,571 | 5,429 | ||||||
Amortization of program rights | 6,593 | 7,785 | ||||||
Share-based compensation | 2,307 | 1,941 | ||||||
Non-recurring and acquisition-related charges (1) | 4,559 | 3,051 | ||||||
Restructuring charge | — | 2,132 | ||||||
Loss on sale of assets | 94 | 95 | ||||||
Add: | ||||||||
Cash payments for programming | 6,866 | 7,707 | ||||||
Operating income | 16,734 | 11,776 | ||||||
Other expense: | ||||||||
Interest expense, net | 14,229 | 13,871 | ||||||
Share of loss in equity investments | 75 | — | ||||||
Other expense (income), net | 18 | (24 | ) | |||||
Total other expense, net | 14,322 | 13,847 | ||||||
Consolidated pre-tax income (loss) | $ | 2,412 | $ | (2,071 | ) | |||
______________________________ | ||||||||
(1) Non-recurring charges for the three months ended March 31, 2014 and 2013 primarily consist of expenses related to the Merger and the 2013 LIN LLC Merger, respectively. | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Operating income (loss): | ||||||||
Broadcast | $ | 33,474 | $ | 24,158 | ||||
Digital | (2,678 | ) | (498 | ) | ||||
Unallocated corporate | (14,062 | ) | (11,884 | ) | ||||
Total operating income | $ | 16,734 | $ | 11,776 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Depreciation and amortization: | ||||||||
Broadcast | $ | 14,136 | $ | 16,264 | ||||
Digital | 1,775 | 641 | ||||||
Unallocated corporate | 346 | 162 | ||||||
Total depreciation and amortization | $ | 16,257 | $ | 17,067 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Capital expenditures: | ||||||||
Broadcast | $ | 3,937 | $ | 5,729 | ||||
Digital | 1,139 | 799 | ||||||
Unallocated corporate | 533 | 270 | ||||||
Total capital expenditures | $ | 5,609 | $ | 6,798 | ||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Assets: | ||||||||
Broadcast | $ | 1,092,169 | $ | 1,100,343 | ||||
Digital | 86,594 | 69,690 | ||||||
Unallocated corporate | 57,491 | 46,917 | ||||||
Total assets | $ | 1,236,254 | $ | 1,216,950 | ||||
Retirement_Plans
Retirement Plans | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Retirement Plans | ' | |||||||
Retirement Plans | ||||||||
The following table shows the components of the net periodic pension cost and the contributions to our 401(k) Plan and the retirement plans (in thousands): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
Net periodic pension cost (benefit): | ||||||||
Interest cost | $ | 1,498 | $ | 1,314 | ||||
Expected return on plan assets | (1,758 | ) | (1,670 | ) | ||||
Amortization of net loss | 315 | 428 | ||||||
Net periodic cost | $ | 55 | $ | 72 | ||||
Contributions: | ||||||||
401(k) Plan | $ | 1,142 | $ | 1,332 | ||||
Defined contribution retirement plans | 39 | 49 | ||||||
Defined benefit retirement plans | 1,347 | 1,297 | ||||||
Total contributions | $ | 2,528 | $ | 2,678 | ||||
See Note 10 — “Retirement Plans” in Item 15 of our 10-K for a full description of our retirement plans. | ||||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Retirement Plans | ' | |||||||
Retirement Plans | ||||||||
The following table shows the components of the net periodic pension cost and the contributions to our 401(k) Plan and the retirement plans (in thousands): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
Net periodic pension cost (benefit): | ||||||||
Interest cost | $ | 1,498 | $ | 1,314 | ||||
Expected return on plan assets | (1,758 | ) | (1,670 | ) | ||||
Amortization of net loss | 315 | 428 | ||||||
Net periodic cost | $ | 55 | $ | 72 | ||||
Contributions: | ||||||||
401(k) Plan | $ | 1,142 | $ | 1,332 | ||||
Defined contribution retirement plans | 39 | 49 | ||||||
Defined benefit retirement plans | 1,347 | 1,297 | ||||||
Total contributions | $ | 2,528 | $ | 2,678 | ||||
See Note 10 — “Retirement Plans” in Item 15 of our 10-K for a full description of our retirement plans. |
Restructuring
Restructuring | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Restructuring | ' | |||||||||||||||
Restructuring | ||||||||||||||||
As of December 31, 2013, we had a restructuring accrual of $0.4 million related to severance and related costs as a result of the integration of the television stations acquired during 2012 as well as severance and related costs at some of our digital companies. During the three months ended March 31, 2014, we made cash payments of $0.2 million related to these restructuring actions. We expect to make cash payments of approximately $0.2 million during the remainder of the year with respect to such transactions. | ||||||||||||||||
The activity for these restructuring actions is as follows (in thousands): | ||||||||||||||||
Broadcast | Digital | Corporate | Total Severance and | |||||||||||||
Related | ||||||||||||||||
Balance as of December 31, 2013 | $ | 105 | $ | 315 | $ | 3 | $ | 423 | ||||||||
Charges | — | — | — | — | ||||||||||||
Payments | 89 | 111 | 3 | 203 | ||||||||||||
Balance as of March 31, 2014 | $ | 16 | $ | 204 | $ | — | $ | 220 | ||||||||
LIN Television Corporation | ' | |||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Restructuring | ' | |||||||||||||||
Restructuring | ||||||||||||||||
As of December 31, 2013, we had a restructuring accrual of $0.4 million related to severance and related costs as a result of the integration of the television stations acquired during 2012 as well as severance and related costs at some of our digital companies. During the three months ended March 31, 2014, we made cash payments of $0.2 million related to these restructuring actions. We expect to make cash payments of approximately $0.2 million during the remainder of the year with respect to such transactions. | ||||||||||||||||
The activity for these restructuring actions is as follows (in thousands): | ||||||||||||||||
Broadcast | Digital | Corporate | Total Severance and | |||||||||||||
Related | ||||||||||||||||
Balance as of December 31, 2013 | $ | 105 | $ | 315 | $ | 3 | $ | 423 | ||||||||
Charges | — | — | — | — | ||||||||||||
Payments | 89 | 111 | 3 | 203 | ||||||||||||
Balance as of March 31, 2014 | $ | 16 | $ | 204 | $ | — | $ | 220 | ||||||||
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2014 | |
Entity Information [Line Items] | ' |
Income Taxes | ' |
Income Taxes | |
We recorded a provision for income taxes of $1 million for the three months ended March 31, 2014 compared to a benefit from income taxes of $1.1 million for the three months ended March 31, 2013. The provision for income taxes for the three months ended March 31, 2014 was primarily a result of our $2.1 million pre-tax income from continuing operations. Our effective income tax rate was 49.1% and 50.7% for the three months ended March 31, 2014 and March 31, 2013, respectively. The decrease in the effective income tax rate was primarily a result of an increase in the proportionate share of losses from zero-rate entities that are excluded from the effective tax rate computation. We expect our effective income tax rate to range between 39% and 41% during the remainder of 2014. | |
During the first quarter of 2013, approximately $162.8 million of short term deferred tax liabilities were reclassified to income taxes payable upon the consummation of the JV Sale Transaction. As a result of the close of the 2013 LIN LLC Merger on July 30, 2013, $131.5 million of this tax liability was extinguished, resulting in a remaining tax liability of approximately $31.3 million associated with the JV Sale Transaction. We made state and federal tax payments to settle this liability during the fourth quarter of 2013. For further discussion regarding the income tax effects of the JV Sale Transaction and the 2013 LIN LLC Merger, see Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies” and Note 13 — “Commitments and Contingencies.” to our consolidated financial statements in our 10-K. | |
LIN Television Corporation | ' |
Entity Information [Line Items] | ' |
Income Taxes | ' |
Income Taxes | |
We recorded a provision for income taxes of $1 million for the three months ended March 31, 2014 compared to a benefit from income taxes of $1.1 million for the three months ended March 31, 2013. The provision for income taxes for the three months ended March 31, 2014 was primarily a result of our $2.4 million pre-tax income from continuing operations. Our effective income tax rate was 42.3% and 50.7% for the three months ended March 31, 2014 and March 31, 2013, respectively. The decrease in the effective income tax rate was primarily a result of an increase in the proportionate share of losses from zero-rate entities that are excluded from the effective tax rate computation. We expect our effective income tax rate to range between 39% and 41% during the remainder of 2014. | |
During the first quarter of 2013, approximately $162.8 million of short term deferred tax liabilities were reclassified to income taxes payable upon the consummation of the JV Sale Transaction. As a result of the close of the 2013 LIN LLC Merger on July 30, 2013, $131.5 million of this tax liability was extinguished, resulting in a remaining tax liability of approximately $31.3 million associated with the JV Sale Transaction. We made state and federal tax payments to settle this liability during the fourth quarter of 2013. For further discussion regarding the income tax effects of the JV Sale Transaction and the 2013 LIN LLC Merger, see Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies” and Note 13 — “Commitments and Contingencies.” to our consolidated financial statements in our 10-K. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2014 | |
Entity Information [Line Items] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
Contingencies | |
GECC Guarantee and the 2013 LIN LLC Merger | |
As further described in Note 1 - "Basis of Presentation and Summary of Significant Accounting Policies," pursuant to the JV Sale Transaction, LIN Television made a $100 million capital contribution to SVH and in turn, was released from the GECC Guarantee as well as any further obligations related to any shortfall funding agreements between LIN Television and SVH. | |
In February 2013, we entered into a $60 million Incremental Facility and utilized $40 million of cash on hand and borrowings under our revolving credit facility to fund the $100 million payment. | |
As a result of the JV Sale Transaction, after utilizing all of our available Federal net operating loss (“NOL”) carryforwards, we had an approximate $162.8 million income tax payable remaining, $131.5 million of which was extinguished as a result of the 2013 LIN LLC Merger. We made state and federal tax payments to settle the remaining liability of $31.3 million during the fourth quarter of 2013. | |
For further discussion of the GECC Guarantee and the 2013 LIN LLC Merger, refer to Note 13 - "Commitments and Contingencies" to our consolidated financial statements in our 10-K. | |
The Merger | |
During the next 12 months and through the completion of the Merger, we expect to incur approximately $4.5 - $5.5 million of legal and professional fees associated with the transaction and related financing. Contingent upon the consummation of the Merger and dependent upon the price of Media General's Class A common stock on the date of consummation, we will incur an advisory fee of approximately $21.5 million payable to J.P. Morgan Securities LLC, which we expect will be funded from the proceeds of Media General’s transaction financing. We have not yet accrued for this advisory fee as of March 31, 2014, as we do not believe the obligation is probable. | |
Litigation | |
We are involved in various claims and lawsuits that are generally incidental to our business. We are vigorously contesting all of these matters. The outcome of any current or future litigation cannot be accurately predicted. We record accruals for such contingencies to the extent that we conclude it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. No estimate of the possible loss or range of loss can be made at this time because the inherently unpredictable nature of legal proceedings may be exacerbated by various factors, including: (i) the damages sought in the proceedings are unsubstantiated or indeterminate; (ii) discovery is not complete; (iii) the proceeding is in its early stages; (iv) the matters present legal uncertainties; (v) there are significant facts in dispute; or (vi) there is a wide range of potential outcomes. Although the outcome of these and other legal proceedings cannot be predicted, we believe that their ultimate resolution will not have a material adverse effect on us. | |
Following the announcement on March 21, 2014 of the execution of the Merger Agreement, three complaints were filed in the Delaware Court of Chancery challenging the proposed acquisition of LIN LLC: Sciabacucchi v. Lin Media LLC, et al. (C.A. No. 9530CB), International Union of Operating Engineers Local 132 Pension Fund v. Lin Media LLC, et al. (C.A. No.9538CB), and Pryor v. Lin Media LLC, et al. (C.A. No. 9577CB). The litigations are putative class actions filed on | |
behalf of the public stockholders of LIN LLC and name as defendants LIN LLC, its directors, Media General, New Holdco, Merger Sub 1 and Merger Sub 2 and HM Capital Partners LLC and several of its alleged affiliates (Hicks, Muse, Tate & Furst Equity Fund III, L.P.; HM3 Coinvestors, L.P.; Hicks, Muse, Tate & Furst Equity Fund IV, L.P.; Hicks, Muse, Tate & Furst Private Equity Fund IV, L.P.; HM4EQ Coinvestors, L.P.; Hicks, Muse & Co. Partners, L.P.; Muse Family Enterprises, Ltd.; and JRM Interim Investors, L.P. (together with HM Capital Partners LLC and individual director defendant John R. Muse, which we collectively refer to as “HMC”)). | |
On April 18, 2014, the plantiff in Engineers Local 132 Pension Fund voluntarily dismissed that action without prejudice and, on April 21, 2014, the Court approved the dismissal. | |
The operative complaints generally allege that the individual defendants breached their fiduciary duties in connection with their consideration and approval of the Merger, that the entity defendants aided and abetted those breaches and that individual director defendant Royal W. Carson III and HMC breached their fiduciary duties as controlling shareholders of LIN LLC by causing LIN LLC to enter into the Merger, which plaintiffs allege will provide disparate consideration to HMC. The complaints seek, among other things, declaratory and injunctive relief enjoining the Merger. On April 25, 2014, the plaintiff in the Sciabacucchi action filed an amended complaint, and the plaintiffs in the Sciabacucchi and Pryor actions each filed a motion for an expedited hearing on the plaintiff’s (yet-to-be filed) motion for a permanent injunction to enjoin the Merger, requesting, among other things, that the Court set a permanent injunction hearing for September 2014. On April 30, 2014, the plaintiffs in the Sciabacucchi and Pryor actions filed a stipulation to consolidate the two actions, which was approved by the Court on May 1, 2014. | |
The outcome of the two active lawsuits is uncertain and cannot be predicted with any certainty. An adverse judgment for monetary damages could have a material adverse effect on our operations and liquidity. An adverse judgment granting permanent injunctive relief could indefinitely enjoin completion of the Merger. | |
LIN Television Corporation | ' |
Entity Information [Line Items] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
Contingencies | |
GECC Guarantee and the 2013 LIN LLC Merger | |
As further described in Note 1 - "Basis of Presentation and Summary of Significant Accounting Policies," pursuant to the JV Sale Transaction, LIN Television made a $100 million capital contribution to SVH and in turn, was released from the GECC Guarantee as well as any further obligations related to any shortfall funding agreements between LIN Television and SVH. | |
In February 2013, we entered into a $60 million Incremental Facility and utilized $40 million of cash on hand and borrowings under our revolving credit facility to fund the $100 million payment. | |
As a result of the JV Sale Transaction, after utilizing all of our available Federal net operating loss (“NOL”) carryforwards, we had an approximate $162.8 million income tax payable remaining, $131.5 million of which was extinguished as a result of the 2013 LIN LLC Merger. We made state and federal tax payments to settle the remaining liability of $31.3 million during the fourth quarter of 2013. | |
For further discussion of the GECC Guarantee and the 2013 LIN LLC Merger, refer to Note 13 - "Commitments and Contingencies" to our consolidated financial statements in our 10-K. | |
The Merger | |
During the next 12 months and through the completion of the Merger, we expect to incur approximately $4.5 - $5.5 million of legal and professional fees associated with the transaction and related financing. Contingent upon the consummation of the Merger and dependent upon the price of Media General's Class A common stock on the date of consummation, we will incur an advisory fee of approximately $21.5 million payable to J.P. Morgan Securities LLC, which we expect will be funded from the proceeds of Media General’s transaction financing. We have not yet accrued for this advisory fee as of March 31, 2014, as we do not believe the obligation is probable. | |
Litigation | |
We are involved in various claims and lawsuits that are generally incidental to our business. We are vigorously contesting all of these matters. The outcome of any current or future litigation cannot be accurately predicted. We record accruals for such contingencies to the extent that we conclude it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. No estimate of the possible loss or range of loss can be made at this time because the inherently unpredictable nature of legal proceedings may be exacerbated by various factors, including: (i) the damages sought in the proceedings are unsubstantiated or indeterminate; (ii) discovery is not complete; (iii) the proceeding is in its early stages; (iv) the matters present legal uncertainties; (v) there are significant facts in dispute; or (vi) there is a wide range of potential outcomes. Although the outcome of these and other legal proceedings cannot be predicted, we believe that their ultimate resolution will not have a material adverse effect on us. | |
Following the announcement on March 21, 2014 of the execution of the Merger Agreement, three complaints were filed in the Delaware Court of Chancery challenging the proposed acquisition of LIN LLC: Sciabacucchi v. Lin Media LLC, et al. (C.A. No. 9530CB), International Union of Operating Engineers Local 132 Pension Fund v. Lin Media LLC, et al. (C.A. No.9538CB), and Pryor v. Lin Media LLC, et al. (C.A. No. 9577CB). The litigations are putative class actions filed on | |
behalf of the public stockholders of LIN LLC and name as defendants LIN LLC, its directors, Media General, New Holdco, Merger Sub 1 and Merger Sub 2 and HM Capital Partners LLC and several of its alleged affiliates (Hicks, Muse, Tate & Furst Equity Fund III, L.P.; HM3 Coinvestors, L.P.; Hicks, Muse, Tate & Furst Equity Fund IV, L.P.; Hicks, Muse, Tate & Furst Private Equity Fund IV, L.P.; HM4EQ Coinvestors, L.P.; Hicks, Muse & Co. Partners, L.P.; Muse Family Enterprises, Ltd.; and JRM Interim Investors, L.P. (together with HM Capital Partners LLC and individual director defendant John R. Muse, which we collectively refer to as “HMC”)). | |
On April 18, 2014, the plantiff in Engineers Local 132 Pension Fund voluntarily dismissed that action without prejudice and, on April 21, 2014, the Court approved the dismissal. | |
The operative complaints generally allege that the individual defendants breached their fiduciary duties in connection with their consideration and approval of the Merger, that the entity defendants aided and abetted those breaches and that individual director defendant Royal W. Carson III and HMC breached their fiduciary duties as controlling shareholders of LIN LLC by causing LIN LLC to enter into the Merger, which plaintiffs allege will provide disparate consideration to HMC. The complaints seek, among other things, declaratory and injunctive relief enjoining the Merger. On April 25, 2014, the plaintiff in the Sciabacucchi action filed an amended complaint, and the plaintiffs in the Sciabacucchi and Pryor actions each filed a motion for an expedited hearing on the plaintiff’s (yet-to-be filed) motion for a permanent injunction to enjoin the Merger, requesting, among other things, that the Court set a permanent injunction hearing for September 2014. On April 30, 2014, the plaintiffs in the Sciabacucchi and Pryor actions filed a stipulation to consolidate the two actions, which was approved by the Court on May 1, 2014. | |
The outcome of the two active lawsuits is uncertain and cannot be predicted with any certainty. An adverse judgment for monetary damages could have a material adverse effect on our operations and liquidity. An adverse judgment granting permanent injunctive relief could indefinitely enjoin completion of the Merger. |
Condensed_Consolidating_Financ
Condensed Consolidating Financial Statements | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||
Condensed Consolidating Financial Statements | ' | |||||||||||||||||||||||
Condensed Consolidating Financial Statements | ' | |||||||||||||||||||||||
Condensed Consolidating Financial Statements | ||||||||||||||||||||||||
LIN Television, a 100% owned subsidiary of LIN LLC, is the primary obligor of our senior secured credit facility, our 83/8% Senior Notes and our 63/8% Senior Notes, which are further described in Note 4 — “Debt”. LIN LLC fully and unconditionally guarantees all of LIN Television’s debt on a joint-and-several basis. Additionally, all of the consolidated 100% owned subsidiaries of LIN Television fully and unconditionally guarantee LIN Television’s senior secured credit facility, our 83/8% Senior Notes and our 63/8% Senior Notes on a joint-and-several basis, subject to customary release provisions. There are certain contractual restrictions on LIN Television’s ability to obtain funds in the form of dividends or loans from the non-guarantor subsidiaries. | ||||||||||||||||||||||||
The following condensed consolidating financial statements present the consolidated balance sheets, consolidated statements of operations, consolidated statements of comprehensive income and consolidated statements of cash flows of LIN LLC, LIN Television, as the issuer, the guarantor subsidiaries, and the non-guarantor subsidiaries of LIN Television and the elimination entries necessary to consolidate or combine the issuer with the guarantor and non-guarantor subsidiaries. These statements are presented in accordance with the disclosure requirements under SEC Regulation S-X Rule 3-10. | ||||||||||||||||||||||||
Condensed Consolidating Balance Sheet | ||||||||||||||||||||||||
As of March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current assets: | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 979 | $ | 18,119 | $ | 688 | $ | 1,101 | $ | — | $ | 20,887 | ||||||||||||
Accounts receivable, net | — | 77,731 | 41,988 | 18,798 | — | 138,517 | ||||||||||||||||||
Deferred income tax assets | — | 7,098 | 1,073 | 58 | — | 8,229 | ||||||||||||||||||
Other current assets | — | 10,869 | 1,225 | 1,687 | — | 13,781 | ||||||||||||||||||
Total current assets | 979 | 113,817 | 44,974 | 21,644 | — | 181,414 | ||||||||||||||||||
Property and equipment, net | — | 183,831 | 34,770 | 4,585 | — | 223,186 | ||||||||||||||||||
Deferred financing costs | — | 15,562 | — | 85 | — | 15,647 | ||||||||||||||||||
Goodwill | — | 169,492 | 25,617 | 15,518 | — | 210,627 | ||||||||||||||||||
Broadcast licenses | — | — | 493,814 | 42,701 | — | 536,515 | ||||||||||||||||||
Other intangible assets, net | — | 27,728 | 12,759 | 13,168 | — | 53,655 | ||||||||||||||||||
Advances to consolidated subsidiaries | 2,002 | 11,525 | 967,068 | — | (980,595 | ) | — | |||||||||||||||||
Investment in consolidated subsidiaries | 99,240 | 1,547,069 | — | — | (1,646,309 | ) | — | |||||||||||||||||
Other assets | — | 56,197 | 2,875 | 1,562 | (44,443 | ) | 16,191 | |||||||||||||||||
Total assets | $ | 102,221 | $ | 2,125,221 | $ | 1,581,877 | $ | 99,263 | $ | (2,671,347 | ) | $ | 1,237,235 | |||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||||||
Current portion of long-term debt | $ | — | $ | 17,680 | $ | — | $ | 1,245 | $ | — | $ | 18,925 | ||||||||||||
Accounts payable | — | 4,687 | 6,770 | 3,806 | — | 15,263 | ||||||||||||||||||
Income taxes payable | — | 757 | 929 | — | — | 1,686 | ||||||||||||||||||
Accrued expenses | — | 44,980 | 8,128 | 3,004 | — | 56,112 | ||||||||||||||||||
Program obligations | — | 4,805 | 984 | 1,241 | — | 7,030 | ||||||||||||||||||
Total current liabilities | — | 72,909 | 16,811 | 9,296 | — | 99,016 | ||||||||||||||||||
Long-term debt, excluding current portion | — | 928,737 | — | 2,794 | — | 931,531 | ||||||||||||||||||
Deferred income tax liabilities | — | 23,758 | 34,501 | 556 | — | 58,815 | ||||||||||||||||||
Program obligations | — | 2,309 | 179 | 1,457 | — | 3,945 | ||||||||||||||||||
Intercompany liabilities | — | 969,070 | — | 11,525 | (980,595 | ) | — | |||||||||||||||||
Other liabilities | — | 29,198 | 168 | 44,529 | (44,443 | ) | 29,452 | |||||||||||||||||
Total liabilities | — | 2,025,981 | 51,659 | 70,157 | (1,025,038 | ) | 1,122,759 | |||||||||||||||||
Redeemable noncontrolling interest | — | — | — | 9,820 | — | 9,820 | ||||||||||||||||||
Total shareholders’ equity (deficit) | 102,221 | 99,240 | 1,530,218 | 16,851 | (1,646,309 | ) | 102,221 | |||||||||||||||||
Noncontrolling interest | — | — | — | 2,435 | — | 2,435 | ||||||||||||||||||
Total equity (deficit) | 102,221 | 99,240 | 1,530,218 | 19,286 | (1,646,309 | ) | 104,656 | |||||||||||||||||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity (deficit) | $ | 102,221 | $ | 2,125,221 | $ | 1,581,877 | $ | 99,263 | $ | (2,671,347 | ) | $ | 1,237,235 | |||||||||||
Condensed Consolidating Balance Sheet | ||||||||||||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current assets: | ||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 10,313 | $ | 3 | $ | 2,209 | $ | — | $ | 12,525 | ||||||||||||
Accounts receivable, net | — | 88,905 | 39,416 | 16,988 | — | 145,309 | ||||||||||||||||||
Deferred income tax assets | — | 5,818 | 1,080 | — | — | 6,898 | ||||||||||||||||||
Other current assets | — | 12,264 | 1,049 | 1,888 | — | 15,201 | ||||||||||||||||||
Total current assets | — | 117,300 | 41,548 | 21,085 | — | 179,933 | ||||||||||||||||||
Property and equipment, net | — | 180,480 | 35,752 | 4,846 | — | 221,078 | ||||||||||||||||||
Deferred financing costs | — | 16,357 | — | 91 | — | 16,448 | ||||||||||||||||||
Goodwill | — | 169,492 | 18,518 | 15,518 | — | 203,528 | ||||||||||||||||||
Broadcast licenses | — | — | 493,814 | 42,701 | — | 536,515 | ||||||||||||||||||
Other intangible assets, net | — | 31,303 | 1,840 | 13,906 | — | 47,049 | ||||||||||||||||||
Advances to consolidated subsidiaries | 1,900 | 7,764 | 968,728 | — | (978,392 | ) | — | |||||||||||||||||
Investment in consolidated subsidiaries | 87,227 | 1,534,600 | — | — | (1,621,827 | ) | — | |||||||||||||||||
Other assets | — | 52,778 | 2,688 | 1,276 | (44,443 | ) | 12,299 | |||||||||||||||||
Total assets | $ | 89,127 | $ | 2,110,074 | $ | 1,562,888 | $ | 99,423 | $ | (2,644,662 | ) | $ | 1,216,850 | |||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||||||
Current portion of long-term debt | $ | — | $ | 16,112 | $ | — | $ | 1,252 | $ | — | $ | 17,364 | ||||||||||||
Accounts payable | — | 4,185 | 5,339 | 4,478 | — | 14,002 | ||||||||||||||||||
Income taxes payable | — | 749 | 671 | — | — | 1,420 | ||||||||||||||||||
Accrued expenses | — | 42,570 | 6,254 | 2,872 | — | 51,696 | ||||||||||||||||||
Program obligations | — | 4,711 | 1,013 | 1,303 | — | 7,027 | ||||||||||||||||||
Total current liabilities | — | 68,327 | 13,277 | 9,905 | — | 91,509 | ||||||||||||||||||
Long-term debt, excluding current portion | — | 924,223 | — | 3,105 | — | 927,328 | ||||||||||||||||||
Deferred income tax liabilities | — | 30,013 | 33,824 | 849 | — | 64,686 | ||||||||||||||||||
Program obligations | — | 2,505 | 217 | 1,424 | — | 4,146 | ||||||||||||||||||
Intercompany liabilities | — | 970,628 | — | 7,764 | (978,392 | ) | — | |||||||||||||||||
Other liabilities | — | 27,151 | 58 | 44,443 | (44,443 | ) | 27,209 | |||||||||||||||||
Total liabilities | — | 2,022,847 | 47,376 | 67,490 | (1,022,835 | ) | 1,114,878 | |||||||||||||||||
Redeemable noncontrolling interest | — | — | — | 12,845 | — | 12,845 | ||||||||||||||||||
Total shareholders’ equity (deficit) | 89,127 | 87,227 | 1,515,512 | 19,088 | (1,621,827 | ) | 89,127 | |||||||||||||||||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity (deficit) | $ | 89,127 | $ | 2,110,074 | $ | 1,562,888 | $ | 99,423 | $ | (2,644,662 | ) | $ | 1,216,850 | |||||||||||
Condensed Consolidating Statement of Operations | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net revenues | $ | — | $ | 102,502 | $ | 50,854 | $ | 17,325 | $ | (4,440 | ) | $ | 166,241 | |||||||||||
Operating expenses: | ||||||||||||||||||||||||
Direct operating | — | 38,723 | 22,168 | 11,367 | (2,824 | ) | 69,434 | |||||||||||||||||
Selling, general and administrative | — | 27,983 | 12,172 | 4,913 | (128 | ) | 44,940 | |||||||||||||||||
Amortization of program rights | — | 4,699 | 1,449 | 445 | — | 6,593 | ||||||||||||||||||
Corporate | 352 | 12,156 | 33 | — | — | 12,541 | ||||||||||||||||||
Depreciation | — | 8,720 | 1,653 | 313 | — | 10,686 | ||||||||||||||||||
Amortization of intangible assets | — | 3,574 | 688 | 1,309 | — | 5,571 | ||||||||||||||||||
Restructuring charge | — | — | — | — | — | — | ||||||||||||||||||
(Gain) loss from asset dispositions | — | (42 | ) | 136 | — | — | 94 | |||||||||||||||||
Operating (loss) income | (352 | ) | 6,689 | 12,555 | (1,022 | ) | (1,488 | ) | 16,382 | |||||||||||||||
Other (income) expense: | ||||||||||||||||||||||||
Interest expense, net | — | 14,169 | — | 40 | — | 14,209 | ||||||||||||||||||
Share of loss in equity investments | — | 75 | — | — | — | 75 | ||||||||||||||||||
Intercompany fees and expenses | (270 | ) | 7,730 | (7,826 | ) | 116 | 250 | — | ||||||||||||||||
Other, net | — | 14 | 4 | — | — | 18 | ||||||||||||||||||
Total other (income) expense, net | (270 | ) | 21,988 | (7,822 | ) | 156 | 250 | 14,302 | ||||||||||||||||
(Loss) income before (benefit from) provision for income taxes | (82 | ) | (15,299 | ) | 20,377 | (1,178 | ) | (1,738 | ) | 2,080 | ||||||||||||||
(Benefit from) provision for income taxes | — | (6,779 | ) | 8,151 | (351 | ) | — | 1,021 | ||||||||||||||||
Net (loss) income | (82 | ) | (8,520 | ) | 12,226 | (827 | ) | (1,738 | ) | 1,059 | ||||||||||||||
Equity in income (loss) from operations of consolidated subsidiaries | 1,739 | 10,509 | — | — | (12,248 | ) | — | |||||||||||||||||
Net income (loss) | 1,657 | 1,989 | 12,226 | (827 | ) | (13,986 | ) | 1,059 | ||||||||||||||||
Net loss attributable to noncontrolling interests | — | — | — | (598 | ) | — | (598 | ) | ||||||||||||||||
Net income (loss) attributable to LIN Media LLC | $ | 1,657 | $ | 1,989 | $ | 12,226 | $ | (229 | ) | $ | (13,986 | ) | $ | 1,657 | ||||||||||
Condensed Consolidating Statement of Comprehensive Income | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net income (loss) | $ | 1,657 | $ | 1,989 | $ | 12,226 | $ | (827 | ) | $ | (13,986 | ) | $ | 1,059 | ||||||||||
Amortization of pension net losses, net of tax of $124 | 191 | 191 | — | — | (191 | ) | 191 | |||||||||||||||||
Comprehensive income (loss) | 1,848 | 2,180 | 12,226 | (827 | ) | (14,177 | ) | 1,250 | ||||||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | — | (598 | ) | — | (598 | ) | ||||||||||||||||
Comprehensive income (loss) attributable to LIN Media LLC | $ | 1,848 | $ | 2,180 | $ | 12,226 | $ | (229 | ) | $ | (14,177 | ) | $ | 1,848 | ||||||||||
Condensed Consolidating Statement of Operations | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net revenues | $ | — | $ | 97,648 | $ | 38,984 | $ | 6,431 | $ | (2,071 | ) | $ | 140,992 | |||||||||||
Operating expenses: | ||||||||||||||||||||||||
Direct operating | — | 35,350 | 17,237 | 3,038 | (1,057 | ) | 54,568 | |||||||||||||||||
Selling, general and administrative | — | 26,032 | 9,789 | 1,571 | (94 | ) | 37,298 | |||||||||||||||||
Amortization of program rights | — | 5,482 | 1,490 | 813 | — | 7,785 | ||||||||||||||||||
Corporate | — | 10,271 | — | — | — | 10,271 | ||||||||||||||||||
Depreciation | — | 9,515 | 1,829 | 294 | — | 11,638 | ||||||||||||||||||
Amortization of intangible assets | — | 4,461 | 233 | 735 | — | 5,429 | ||||||||||||||||||
Restructuring charge | — | 2,132 | — | — | — | 2,132 | ||||||||||||||||||
Loss (gain) from asset dispositions | — | 107 | (12 | ) | — | — | 95 | |||||||||||||||||
Operating income (loss) | — | 4,298 | 8,418 | (20 | ) | (920 | ) | 11,776 | ||||||||||||||||
Other expense (income): | ||||||||||||||||||||||||
Interest expense, net | — | 13,814 | — | 108 | (51 | ) | 13,871 | |||||||||||||||||
Intercompany fees and expenses | — | 8,375 | (8,375 | ) | — | — | — | |||||||||||||||||
Other, net | — | (24 | ) | — | — | — | (24 | ) | ||||||||||||||||
Total other expense (income), net | — | 22,165 | (8,375 | ) | 108 | (51 | ) | 13,847 | ||||||||||||||||
(Loss) income before (benefit from) provision for income taxes | — | (17,867 | ) | 16,793 | (128 | ) | (869 | ) | (2,071 | ) | ||||||||||||||
(Benefit from) provision for income taxes | — | (7,463 | ) | 6,717 | (305 | ) | — | (1,051 | ) | |||||||||||||||
Net (loss) income | — | (10,404 | ) | 10,076 | 177 | (869 | ) | (1,020 | ) | |||||||||||||||
Equity in (loss) income from operations of consolidated subsidiaries | (856 | ) | 9,548 | — | — | (8,692 | ) | — | ||||||||||||||||
Net (loss) income | (856 | ) | (856 | ) | 10,076 | 177 | (9,561 | ) | (1,020 | ) | ||||||||||||||
Net loss attributable to noncontrolling interests | — | — | — | (164 | ) | — | (164 | ) | ||||||||||||||||
Net (loss) income attributable to LIN Media LLC | $ | (856 | ) | $ | (856 | ) | $ | 10,076 | $ | 341 | $ | (9,561 | ) | $ | (856 | ) | ||||||||
Condensed Consolidating Statement of Comprehensive Loss | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net (loss) income | $ | (856 | ) | $ | (856 | ) | $ | 10,076 | $ | 177 | $ | (9,561 | ) | $ | (1,020 | ) | ||||||||
Amortization of pension net losses, net of tax of $169 | 259 | 259 | — | — | (259 | ) | 259 | |||||||||||||||||
Comprehensive (loss) income | (597 | ) | (597 | ) | 10,076 | 177 | (9,820 | ) | (761 | ) | ||||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | — | (164 | ) | — | (164 | ) | ||||||||||||||||
Comprehensive (loss) income attributable to LIN Media LLC | $ | (597 | ) | $ | (597 | ) | $ | 10,076 | $ | 341 | $ | (9,820 | ) | $ | (597 | ) | ||||||||
Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
OPERATING ACTIVITIES: | ||||||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (184 | ) | $ | 29,623 | $ | 9,102 | $ | (1,508 | ) | $ | (250 | ) | $ | 36,783 | |||||||||
INVESTING ACTIVITIES: | ||||||||||||||||||||||||
Capital expenditures | — | (4,394 | ) | (593 | ) | (622 | ) | — | (5,609 | ) | ||||||||||||||
Acquisition of broadcast towers | — | (7,257 | ) | — | — | — | (7,257 | ) | ||||||||||||||||
Payments for business combinations, net of cash acquired | — | (22,346 | ) | — | — | — | (22,346 | ) | ||||||||||||||||
Proceeds from the sale of assets | — | 45 | — | — | — | 45 | ||||||||||||||||||
Contributions to equity investments | — | (75 | ) | — | — | — | (75 | ) | ||||||||||||||||
Receipt of dividend | — | 19,503 | — | — | (19,503 | ) | — | |||||||||||||||||
Advances on intercompany borrowings | — | (1,340 | ) | — | — | 1,340 | — | |||||||||||||||||
Payments from intercompany borrowings | — | — | 11,679 | — | (11,679 | ) | — | |||||||||||||||||
Net cash (used in) provided by investing activities | — | (15,864 | ) | 11,086 | (622 | ) | (29,842 | ) | (35,242 | ) | ||||||||||||||
FINANCING ACTIVITIES: | ||||||||||||||||||||||||
Net proceeds on exercises of employee and director share-based compensation | 1,163 | — | — | — | — | 1,163 | ||||||||||||||||||
Proceeds from borrowings on long-term debt | — | 40,000 | — | — | — | 40,000 | ||||||||||||||||||
Principal payments on long-term debt | — | (34,024 | ) | — | (318 | ) | — | (34,342 | ) | |||||||||||||||
Payment of dividend | — | (250 | ) | (19,503 | ) | — | 19,753 | — | ||||||||||||||||
Proceeds from intercompany borrowings | — | — | — | 1,340 | (1,340 | ) | — | |||||||||||||||||
Payments on intercompany borrowings | — | (11,679 | ) | — | — | 11,679 | — | |||||||||||||||||
Net cash provided by (used in)financing activities | 1,163 | (5,953 | ) | (19,503 | ) | 1,022 | 30,092 | 6,821 | ||||||||||||||||
Net increase (decrease) in cash and cash equivalents | 979 | 7,806 | 685 | (1,108 | ) | — | 8,362 | |||||||||||||||||
Cash and cash equivalents at the beginning of the period | — | 10,313 | 3 | 2,209 | — | 12,525 | ||||||||||||||||||
Cash and cash equivalents at the end of the period | $ | 979 | $ | 18,119 | $ | 688 | $ | 1,101 | $ | — | $ | 20,887 | ||||||||||||
Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
OPERATING ACTIVITIES: | ||||||||||||||||||||||||
Net cash provided by (used in) operating activities | $ | — | $ | 22,735 | $ | 18,889 | $ | (289 | ) | $ | (19,503 | ) | $ | 21,832 | ||||||||||
INVESTING ACTIVITIES: | ||||||||||||||||||||||||
Capital expenditures | — | (5,634 | ) | (543 | ) | (621 | ) | — | (6,798 | ) | ||||||||||||||
Proceeds from the sale of assets | — | — | 13 | — | — | 13 | ||||||||||||||||||
Capital contributions to joint venture with NBCUniversal | — | — | (100,000 | ) | — | — | (100,000 | ) | ||||||||||||||||
Advances on intercompany borrowings | — | (1,200 | ) | — | — | 1,200 | — | |||||||||||||||||
Payments from intercompany borrowings | — | 9,919 | 111,127 | — | (121,046 | ) | — | |||||||||||||||||
Net cash provided by (used in) investing activities | — | 3,085 | 10,597 | (621 | ) | (119,846 | ) | (106,785 | ) | |||||||||||||||
FINANCING ACTIVITIES: | ||||||||||||||||||||||||
Net proceeds on exercises of employee and director share-based compensation | — | 501 | — | — | — | 501 | ||||||||||||||||||
Proceeds from borrowings on long-term debt | — | 85,000 | — | — | — | 85,000 | ||||||||||||||||||
Principal payments on long-term debt | — | (22,465 | ) | — | (375 | ) | — | (22,840 | ) | |||||||||||||||
Payment of long-term debt issue costs | — | (521 | ) | — | 6 | — | (515 | ) | ||||||||||||||||
Payment of dividend | — | — | (19,503 | ) | — | 19,503 | — | |||||||||||||||||
Proceeds from intercompany borrowings | — | — | — | 1,200 | (1,200 | ) | — | |||||||||||||||||
Payments on intercompany borrowings | — | (111,127 | ) | (9,919 | ) | — | 121,046 | — | ||||||||||||||||
Net cash (used in) provided by financing activities | — | (48,612 | ) | (29,422 | ) | 831 | 139,349 | 62,146 | ||||||||||||||||
Net (decrease) increase in cash and cash equivalents | — | (22,792 | ) | 64 | (79 | ) | — | (22,807 | ) | |||||||||||||||
Cash and cash equivalents at the beginning of the period | — | 44,625 | 573 | 1,109 | — | 46,307 | ||||||||||||||||||
Cash and cash equivalents at the end of the period | $ | — | $ | 21,833 | $ | 637 | $ | 1,030 | $ | — | $ | 23,500 | ||||||||||||
Basis_of_Presentation_and_Summ1
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
Entity Information [Line Items] | ' |
Principles of Consolidation | ' |
Principles of Consolidation | |
LIN Media LLC (“LIN LLC”), together with its subsidiaries, including LIN Television Corporation, a Delaware corporation (“LIN Television”), is a local multimedia company operating in the United States. LIN LLC and its subsidiaries are affiliates of HM Capital Partners I LP (“HMC”). In these notes, the terms “Company,” “we,” “us” or “our” mean LIN LLC and all subsidiaries included in our consolidated financial statements. | |
On July 30, 2013, LIN TV Corp., a Delaware corporation (“LIN TV”), completed its merger with and into LIN LLC, a Delaware limited liability company and wholly owned subsidiary of LIN TV, with LIN LLC as the surviving entity (the “LIN LLC Merger”) pursuant to the Agreement and Plan of Merger, dated February 12, 2013, by and between LIN TV and LIN LLC (the “2013 LIN LLC Merger Agreement”). LIN LLC filed a Current Report on Form 8-K on July 31, 2013 (the “Form 8-K”) for the purpose of establishing LIN LLC as the successor registrant to LIN TV pursuant to Rule 12g-3(a) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and to disclose certain related matters, including the consummation of the 2013 LIN LLC Merger. Pursuant to Rule 12g-3(a) under the Exchange Act and in accordance with the filing of the Form 8-K, the class A common shares representing limited liability interests in LIN LLC, as the successor registrant to LIN TV, were deemed registered under Section 12(b) of the Exchange Act. References to "LIN LLC," "we," "us," or the "Company" in this Quarterly Report on Form 10-Q that include any period at and before the effectiveness of the 2013 LIN LLC Merger shall be deemed to refer to LIN TV as the predecessor registrant to LIN LLC. For more information concerning the effects of the 2013 LIN LLC Merger and the succession of LIN LLC to LIN TV upon its effectiveness, please see the Form 8-K. | |
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated. | |
In the opinion of management, the accompanying unaudited interim financial statements contain all adjustments necessary to state fairly our financial position, results of operations and cash flows for the periods presented. The interim results of operations are not necessarily indicative of the results to be expected for the full year. | |
The accompanying consolidated financial statements include the accounts of our Company, our wholly-owned and majority-owned and controlled subsidiaries, and VIEs for which we are the primary beneficiary. We review all local marketing agreements (“LMAs”), shared services agreements (“SSAs”), joint sales agreements (“JSAs”) and related agreements to evaluate whether consolidation of entities that are party to such arrangements is required under U.S. GAAP. | |
We conduct our business through LIN Television and its subsidiaries. Prior to the 2013 LIN LLC Merger, LIN TV had no operations or assets other than its investments in its subsidiaries. Subsequent to the 2013 LIN LLC Merger and consistent with its classification as a partnership for federal income tax purposes, LIN LLC has separate operations relating to the administration of the partnership. The consolidated financial statements of LIN LLC represent its own operations and the consolidated operations of LIN Television, which remains a corporation after the 2013 LIN LLC Merger. | |
During the first quarter of 2014, as a result of the continued growth in our digital business, we reevaluated our organization and the nature of our business activities and began assessing and internally reporting financial information for our broadcast business and our digital business separately. As a result, we now have two reportable operating segments, “Broadcast” and “Digital” that are disclosed separately from our corporate activities. Our Broadcast segment includes 43 television stations and seven digital channels that are either owned, operated or serviced by us in 23 U.S. markets, all of which are engaged principally in the sale of television advertising and digital advertising primarily related to our television station companion websites. Our Digital segment includes the operating results of our digital companies: LIN Digital LLC ("LIN Digital"), LIN Mobile, LLC ("LIN Mobile"), Nami Media, Inc. ("Nami Media"), HYFN, Inc. ("HYFN"), Dedicated Media, Inc. ("Dedicated Media"), and Federated Media Publishing LLC ("Federated Media"). Corporate and unallocated expenses primarily include our costs to operate as a public company and to operate our corporate locations. Corporate is not a reportable segment. We have restated prior period disclosures to reflect this change in our reportable operating segments. See Note 5 - “Segment Reporting” for further discussion. | |
On March 21, 2014, we filed a Current Report on Form 8-K for the purpose of announcing that LIN LLC entered into an Agreement and Plan of Merger with Media General, Inc., a Virginia corporation (“Media General”), Mercury New Holdco, Inc., a Virginia corporation (“New Holdco”), Mercury Merger Sub 1, Inc., a Virginia corporation and a direct, wholly-owned subsidiary of New Holdco (“Merger Sub 1”), Mercury Merger Sub 2, LLC, a Delaware limited liability company and a direct, wholly owned subsidiary of New Holdco (“Merger Sub 2”) (the “Merger Agreement”) pursuant to which Merger Sub 1 will, upon the terms and subject to the conditions thereof, merge with and into Media General (the “Media General Merger”), with Media General surviving the Media General Merger as a wholly owned subsidiary of New Holdco, and immediately following the consummation of the Media General Merger, Merger Sub 2 will merge with and into LIN LLC (the “LIN Merger” and together with the Media General Merger, the “Merger”), with LIN LLC surviving the LIN Merger as a wholly owned subsidiary of New Holdco. | |
As a result of the Merger, the combined company will own and operate or service 74 stations across 46 markets, reaching approximately 26.5 million households or 23% of U.S. TV households (certain of these stations are expected to be swapped or otherwise divested in order to address regulatory considerations). The transaction is currently expected to close during the first quarter of 2015. For more information concerning the Merger, refer to the Current Report on Form 8-K filed with the SEC on March 21, 2014. | |
Joint Venture Sale Transaction and Merger | ' |
Joint Venture Sale Transaction and Merger | |
On February 12, 2013, we, along with our wholly-owned subsidiaries LIN Television and LIN Television of Texas, L.P., a Delaware limited partnership (“LIN Texas”) entered into an agreement whereby LIN Texas sold its 20.38% equity interest in Station Venture Holdings ("SVH"), a joint venture in which an affiliate of NBCUniversal ("NBC") held the remaining 79.62% equity interest (collectively, the “JV Sale Transaction”). Pursuant to the JV Sale Transaction, LIN Television made a $100 million capital contribution to SVH and in turn, was released from the guarantee of an $815.5 million note held by SVH ("GECC Guarantee") as well as any further obligations related to any shortfall funding agreements between LIN Television and SVH. | |
Concurrent with the closing of the JV Sale Transaction, LIN TV entered into the 2013 LIN LLC Merger Agreement. The 2013 LIN LLC Merger enabled the surviving entity to be classified as a partnership for federal income tax purposes and the change in classification was treated as a liquidation of LIN TV for federal income tax purposes, with the result that LIN TV realized a capital loss in its 100% equity interest in LIN Television. | |
For further discussion of the JV Sale Transaction and the 2013 LIN LLC Merger, refer to Item 1. "Business" and Note 1 - "Basis of Presentation and Summary of Significant Accounting Policies," Note 13 - "Commitments and Contingencies" to our consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2013 (the "10-K"). | |
Variable Interest Entities | ' |
Variable Interest Entities | |
In determining whether we are the primary beneficiary of a VIE for financial reporting purposes, we consider whether we have the power to direct the activities of the VIE that most significantly impact the economic performance of the VIE and whether we have the obligation to absorb losses or the right to receive returns that would be significant to the VIE. We consolidate VIEs when we are the primary beneficiary. | |
We have a JSA and an SSA with WBDT Television, LLC (“WBDT”) for WBDT-TV in the Dayton, OH market. We also have JSAs and SSAs with affiliates of Vaughan Acquisition LLC (“Vaughan”) for WTGS-TV in the Savannah, GA market, WYTV-TV in the Youngstown, OH market and KTKA-TV in the Topeka, KS market and SSAs with KASY-TV Licensee, LLC (“KASY”), KWBQ-TV, KRWB-TV and KASY-TV in the Albuquerque, Santa-Fe NM market. Under these agreements, we provide administrative services to these stations, have an obligation to reimburse certain of the stations' expenses, and we are compensated through a performance-based fee structure that provides us the benefit of certain returns from the operation of these stations. We determined that WBDT, Vaughan and KASY are VIEs and as a result of the JSAs and/or SSAs, we have variable interests in these entities. We are the primary beneficiary of these entities, and therefore, we consolidate these entities within our consolidated financial statements. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires our management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the notes thereto. Our actual results could differ from these estimates. Estimates are used for the allowance for doubtful accounts in receivables, valuation of goodwill and intangible assets, assumptions used to determine fair value of financial instruments, amortization and impairment of program rights and intangible assets, share-based compensation and other long-term incentive compensation arrangements, pension costs, barter transactions, income taxes, employee medical insurance claims, useful lives of property and equipment, contingencies, litigation and net assets of businesses acquired. | |
Net Earnings per Common Share | ' |
Net Earnings per Common Share | |
Basic earnings per share (“EPS”) is computed by dividing income attributable to common shareholders by the number of weighted-average outstanding common shares. Diluted EPS reflects the effect of the assumed exercise of share options and vesting of restricted shares only in the periods in which such effect would have been dilutive. | |
LIN Television Corporation | ' |
Entity Information [Line Items] | ' |
Principles of Consolidation | ' |
Principles of Consolidation | |
LIN Television Corporation, a Delaware corporation (“LIN Television”), together with its subsidiaries, is a local multimedia company operating in the United States. LIN Television and its subsidiaries are affiliates of HM Capital Partners I LP (“HMC”). In these notes, the terms “Company,” “we,” “us” or “our” mean LIN Television and all subsidiaries included in our consolidated financial statements. LIN Television is a wholly-owned subsidiary of LIN Media LLC (“LIN LLC”). | |
On July 30, 2013, LIN TV Corp., a Delaware corporation (“LIN TV”), completed its merger with and into LIN LLC, a Delaware limited liability company and wholly owned subsidiary of LIN TV, with LIN LLC as the surviving entity (the “LIN LLC Merger”) pursuant to the Agreement and Plan of Merger, dated February 12, 2013, by and between LIN TV and LIN LLC (the “2013 LIN LLC Merger Agreement”). LIN LLC filed a Current Report on Form 8-K on July 31, 2013 (the “Form 8-K”) for the purpose of establishing LIN LLC as the successor registrant to LIN TV pursuant to Rule 12g-3(a) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and to disclose certain related matters, including the consummation of the 2013 LIN LLC Merger. Pursuant to Rule 12g-3(a) under the Exchange Act and in accordance with the filing of the Form 8-K, the class A common shares representing limited liability interests in LIN LLC, as the successor registrant to LIN TV, were deemed registered under Section 12(b) of the Exchange Act. References to "LIN LLC," "we," "us," or the "Company" in this Quarterly Report on Form 10-Q that include any period at and before the effectiveness of the 2013 LIN LLC Merger shall be deemed to refer to LIN TV as the predecessor registrant to LIN LLC. For more information concerning the effects of the 2013 LIN LLC Merger and the succession of LIN LLC to LIN TV upon its effectiveness, please see the Form 8-K. | |
LIN LLC has no independent assets or operations and guarantees all of our debt. All of the consolidated wholly-owned subsidiaries of LIN Television fully and unconditionally guarantee our Senior Secured Credit Facility, 83/8% Senior Notes due 2018 (the “83/8% Senior Notes”) and 63/8% Senior Notes due 2021 (the “63/8% Senior Notes”) on a joint-and-several basis, subject to customary release provisions. | |
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated. | |
In the opinion of management, the accompanying unaudited interim financial statements contain all adjustments necessary to state fairly our financial position, results of operations and cash flows for the periods presented. The interim results of operations are not necessarily indicative of the results to be expected for the full year. | |
The accompanying consolidated financial statements include the accounts of our Company, our wholly-owned and majority-owned and controlled subsidiaries, and VIEs for which we are the primary beneficiary. We review all local marketing agreements (“LMAs”), shared services agreements (“SSAs”), joint sales agreements (“JSAs”) and related agreements, to evaluate whether consolidation of entities that are party to such arrangements is required under U.S. GAAP. | |
During the first quarter of 2014, as a result of the continued growth in our digital business, we reevaluated our organization and the nature of our business activities and began assessing and internally reporting financial information for our broadcast business and our digital business separately. As a result, we now have two reportable operating segments, “Broadcast” and “Digital” that are disclosed separately from our corporate activities. Our Broadcast segment includes 43 television stations and seven digital channels that are either owned, operated or serviced by us in 23 U.S. markets, all of which are engaged principally in the sale of television advertising and digital advertising primarily related to our television station companion websites. Our Digital segment includes the operating results of our digital companies: LIN Digital LLC ("LIN Digital"), LIN Mobile, LLC ("LIN Mobile"), Nami Media, Inc. ("Nami Media"), HYFN, Inc. ("HYFN"), Dedicated Media, Inc. ("Dedicated Media"), and Federated Media Publishing LLC ("Federated Media"). Corporate and unallocated expenses primarily include our costs to operate as a public company and to operate our corporate locations. Corporate is not a reportable segment. We have restated prior period disclosures to reflect this change in our reportable operating segments. See Note 5 - “Segment Reporting” for further discussion. | |
On March 21, 2014, we filed a Current Report on Form 8-K for the purpose of announcing that LIN LLC entered into an Agreement and Plan of Merger with Media General, Inc., a Virginia corporation (“Media General”), Mercury New Holdco, Inc., a Virginia corporation (“New Holdco”), Mercury Merger Sub 1, Inc., a Virginia corporation and a direct, wholly-owned subsidiary of New Holdco (“Merger Sub 1”), Mercury Merger Sub 2, LLC, a Delaware limited liability company and a direct, wholly owned subsidiary of New Holdco (“Merger Sub 2”) (the “Merger Agreement”) pursuant to which Merger Sub 1 will, upon the terms and subject to the conditions thereof, merge with and into Media General (the “Media General Merger”), with Media General surviving the Media General Merger as a wholly owned subsidiary of New Holdco, and immediately following the consummation of the Media General Merger, Merger Sub 2 will merge with and into LIN LLC (the “LIN Merger” and together with the Media General Merger, the “Merger”), with LIN LLC surviving the Merger as a wholly owned subsidiary of New Holdco. | |
As a result of the Merger, the combined company will own and operate or service 74 stations across 46 markets, reaching approximately 26.5 million households or 23% of U.S. TV households (certain of these stations are expected to be swapped or otherwise divested in order to address regulatory considerations). The transaction is currently expected to close during the first quarter of 2015. For more information concerning the Merger, refer to the Current Report on Form 8-K filed with the SEC on March 21, 2014. | |
Joint Venture Sale Transaction and Merger | ' |
Joint Venture Sale Transaction and Merger | |
On February 12, 2013, we, along with LIN TV and LIN Television of Texas, L.P., a Delaware limited partnership (“LIN Texas”) entered into an agreement whereby LIN Texas sold its 20.38% equity interest in Station Venture Holdings ("SVH"), a joint venture in which an affiliate of NBCUniversal ("NBC"), held the remaining 79.62% equity interest (collectively, the “JV Sale Transaction”). Pursuant to the JV Sale Transaction, LIN Television caused a $100 million capital contribution to be made to SVH and in turn, LIN TV was released from the guarantee of an $815.5 million note held by SVH ("GECC Guarantee") as well as any further obligations related to any shortfall funding agreements between us and SVH. | |
Concurrent with the closing of the JV Sale Transaction, LIN TV entered into the 2013 LIN LLC Merger Agreement. The 2013 LIN LLC Merger enabled the surviving entity to be classified as a partnership for federal income tax purposes and the change in classification was treated as a liquidation of LIN TV for federal income tax purposes, with the result that LIN TV realized a capital loss in its 100% equity interest in LIN Television. | |
For further discussion of the JV Sale Transaction and the 2013 LIN LLC Merger, refer to Item 1. "Business," Note 1 - "Basis of Presentation and Summary of Significant Accounting Policies" and Note 13 - "Commitments and Contingencies" to our consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2013 (the "10-K"). | |
Variable Interest Entities | ' |
Variable Interest Entities | |
In determining whether we are the primary beneficiary of a VIE for financial reporting purposes, we consider whether we have the power to direct the activities of the VIE that most significantly impact the economic performance of the VIE and whether we have the obligation to absorb losses or the right to receive returns that would be significant to the VIE. We consolidate VIEs when we are the primary beneficiary. | |
We have a JSA and an SSA with WBDT Television, LLC (“WBDT”) for WBDT-TV in the Dayton, OH market. We also have JSAs and SSAs with affiliates of Vaughan Acquisition LLC (“Vaughan”) for WTGS-TV in the Savannah, GA market, WYTV-TV in the Youngstown, OH market and KTKA-TV in the Topeka, KS market and SSAs with KASY-TV Licensee, LLC (“KASY”), KWBQ-TV, KRWB-TV and KASY-TV in the Albuquerque, Santa-Fe NM market. Under these agreements, we provide administrative services to these stations, have an obligation to reimburse certain of the stations' expenses, and we are compensated through a performance-based fee structure that provides us the benefit of certain returns from the operation of these stations. We determined that WBDT, Vaughan and KASY are VIEs and as a result of the JSAs and/or SSAs, we have variable interests in these entities. We are the primary beneficiary of these entities, and therefore, we consolidate these entities within our consolidated financial statements. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires our management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the notes thereto. Our actual results could differ from these estimates. Estimates are used for the allowance for doubtful accounts in receivables, valuation of goodwill and intangible assets, assumptions used to determine fair value of financial instruments, amortization and impairment of program rights and intangible assets, share-based compensation and other long-term incentive compensation arrangements, pension costs, barter transactions, income taxes, employee medical insurance claims, useful lives of property and equipment, contingencies, litigation and net assets of businesses acquired. |
Basis_of_Presentation_and_Summ2
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Schedule of assets and liabilities of WBDT, Vaughan and KASY included in the consolidating balance sheets | ' | |||||||
The carrying amounts and classifications of the assets and liabilities of the variable interest entities described above, which have been included in our consolidating balance sheets as of March 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 303 | $ | 278 | ||||
Accounts receivable, net | 5,922 | 6,345 | ||||||
Other assets | 927 | 927 | ||||||
Total current assets | 7,152 | 7,550 | ||||||
Property and equipment, net | 2,330 | 2,469 | ||||||
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 | ||||||
Other assets | 1,424 | 1,360 | ||||||
Total assets | $ | 55,024 | $ | 56,056 | ||||
LIABILITIES | ||||||||
Current liabilities: | ||||||||
Current portion of long-term debt | $ | 1,162 | $ | 1,162 | ||||
Accounts payable | 57 | 63 | ||||||
Accrued expenses | 1,259 | 1,336 | ||||||
Program obligations | 1,241 | 1,303 | ||||||
Total current liabilities | 3,719 | 3,864 | ||||||
Long-term debt, excluding current portion | 2,715 | 3,005 | ||||||
Program obligations | 1,457 | 1,424 | ||||||
Other liabilities | 47,133 | 47,763 | ||||||
Total liabilities | $ | 55,024 | $ | 56,056 | ||||
Schedule of the redeemable noncontrolling interest included in consolidated balance sheets related to Nami Media, HYFN Inc, and Dedicated Media, Inc. | ' | |||||||
Accordingly, the following table presents the activity of the redeemable noncontrolling interest included in our consolidated balance sheets related to HYFN and Dedicated Media, which represents third parties’ proportionate share of our consolidated net assets (in thousands): | ||||||||
Redeemable | ||||||||
Noncontrolling | ||||||||
Interest | ||||||||
Balance as of December 31, 2013 | $ | 12,845 | ||||||
Net loss | (598 | ) | ||||||
Share-based compensation | 8 | |||||||
Reclassification to noncontrolling interest (Nami Media) | (2,435 | ) | ||||||
Balance as of March 31, 2014 | $ | 9,820 | ||||||
Schedule of computation of the common shares outstanding used in determining basic and diluted EPS | ' | |||||||
The following table sets forth the computation of the common shares outstanding used in determining basic and diluted EPS (in thousands): | ||||||||
Three Months Ended March 31, | ||||||||
Denominator for EPS calculation: | 2014 | 2013 | ||||||
Weighted-average common shares, basic | 53,669 | 51,910 | ||||||
Effect of dilutive securities: | ||||||||
Share options | 2,924 | — | ||||||
Weighted-average common shares, diluted | 56,593 | 51,910 | ||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Schedule of assets and liabilities of WBDT, Vaughan and KASY included in the consolidating balance sheets | ' | |||||||
The carrying amounts and classifications of the assets and liabilities of the variable interest entities described above, which have been included in our consolidating balance sheets as of March 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||
March 31, 2014 | December 31, | |||||||
2013 | ||||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 303 | $ | 278 | ||||
Accounts receivable, net | 5,922 | 6,345 | ||||||
Other assets | 927 | 927 | ||||||
Total current assets | 7,152 | 7,550 | ||||||
Property and equipment, net | 2,330 | 2,469 | ||||||
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 | ||||||
Other assets | 1,424 | 1,360 | ||||||
Total assets | $ | 55,024 | $ | 56,056 | ||||
LIABILITIES | ||||||||
Current liabilities: | ||||||||
Current portion of long-term debt | $ | 1,162 | $ | 1,162 | ||||
Accounts payable | 57 | 63 | ||||||
Accrued expenses | 1,259 | 1,336 | ||||||
Program obligations | 1,241 | 1,303 | ||||||
Total current liabilities | 3,719 | 3,864 | ||||||
Long-term debt, excluding current portion | 2,715 | 3,005 | ||||||
Program obligations | 1,457 | 1,424 | ||||||
Other liabilities | 47,133 | 47,763 | ||||||
Total liabilities | $ | 55,024 | $ | 56,056 | ||||
Schedule of the redeemable noncontrolling interest included in consolidated balance sheets related to Nami Media, HYFN Inc, and Dedicated Media, Inc. | ' | |||||||
Accordingly, the following table presents the activity of the redeemable noncontrolling interest included in our consolidated balance sheets related to HYFN and Dedicated Media, which represents third parties’ proportionate share of our consolidated net assets (in thousands): | ||||||||
Redeemable | ||||||||
Noncontrolling | ||||||||
Interest | ||||||||
Balance as of December 31, 2013 | $ | 12,845 | ||||||
Net loss | (598 | ) | ||||||
Share-based compensation | 8 | |||||||
Reclassification to noncontrolling interest (Nami Media) | (2,435 | ) | ||||||
Balance as of March 31, 2014 | $ | 9,820 | ||||||
Acquisitions_Tables
Acquisitions (Tables) (LIN Television Corporation, Federated Media) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
LIN Television Corporation | Federated Media | ' | |||||||
Acquisitions | ' | |||||||
Summary of the provisional allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed | ' | |||||||
The following table summarizes the provisional allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed by us in the acquisition (in thousands): | ||||||||
Current assets | $ | 9,811 | ||||||
Property and equipment | 72 | |||||||
Non-current assets | 196 | |||||||
Other intangible assets | 11,497 | |||||||
Goodwill | 7,099 | |||||||
Current liabilities | (6,368 | ) | ||||||
Total | $ | 22,307 | ||||||
The following table summarizes the provisional allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed by us in the acquisition (in thousands): | ||||||||
Current assets | $ | 9,811 | ||||||
Property and equipment | 72 | |||||||
Non-current assets | 196 | |||||||
Other intangible assets | 11,497 | |||||||
Goodwill | 7,099 | |||||||
Current liabilities | (6,368 | ) | ||||||
Total | $ | 22,307 | ||||||
Schedule of unaudited pro forma results of operations | ' | |||||||
The following table sets forth unaudited pro forma results of operations for the three months ended March 31, 2014 and 2013 assuming that the above acquisition of Federated Media, along with transactions necessary to finance the acquisition, occurred on January 1, 2013 (in thousands): | ||||||||
Three Months Ended | Three Months Ended | |||||||
March 31, 2014 | March 31, 2013 | |||||||
Net revenue | $ | 167,608 | $ | 149,069 | ||||
Net income (loss) | $ | 439 | $ | (5,089 | ) | |||
Basic income (loss) per common share attributable to LIN Media LLC | $ | 0.01 | $ | (0.10 | ) | |||
Diluted income (loss) per common share attributable to LIN Media LLC | $ | 0.01 | $ | (0.10 | ) | |||
The following table sets forth unaudited pro forma results of operations for the three months ended March 31, 2014 and 2013 assuming that the above acquisition of Federated Media, along with transactions necessary to finance the acquisition, occurred on January 1, 2013 (in thousands): | ||||||||
Three Months Ended | Three Months Ended | |||||||
March 31, 2014 | March 31, 2013 | |||||||
Net revenue | $ | 167,608 | $ | 149,069 | ||||
Net income (loss) | $ | 771 | $ | (5,089 | ) | |||
Intangible_Assets_Tables
Intangible Assets (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Schedule of goodwill | ' | |||||||||||||||
The change in the carrying amount of goodwill during the three months ended March 31, 2014 was as follows (in thousands): | ||||||||||||||||
Goodwill | ||||||||||||||||
Broadcast: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 185,237 | ||||||||||||||
Acquisitions | — | |||||||||||||||
Balance as of March 31, 2014 | $ | 185,237 | ||||||||||||||
Digital: | ||||||||||||||||
Balance as of December 31, 2013 | 18,291 | |||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 25,390 | ||||||||||||||
Total: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 203,528 | ||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 210,627 | ||||||||||||||
Summary of the carrying amount of each major class of intangible assets | ' | |||||||||||||||
The following table summarizes the carrying amounts of intangible assets (in thousands): | ||||||||||||||||
March 31, 2014 | December 31, 2013 | |||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Broadcast licenses | $ | 536,515 | $ | — | $ | 536,515 | $ | — | ||||||||
Intangible assets subject to amortization (1) | 98,143 | (44,488 | ) | 85,966 | (38,917 | ) | ||||||||||
Total | $ | 634,658 | $ | (44,488 | ) | $ | 622,481 | $ | (38,917 | ) | ||||||
-1 | Intangible assets subject to amortization are amortized on a straight line basis and primarily include network affiliations, acquired customer and publisher relationships, completed technology, brand names, non-compete agreements, internal-use software, favorable operating leases, and retransmission consent agreements. | |||||||||||||||
LIN Television Corporation | ' | |||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Schedule of goodwill | ' | |||||||||||||||
The change in the carrying amount of goodwill during the three months ended March 31, 2014 was as follows (in thousands): | ||||||||||||||||
Goodwill | ||||||||||||||||
Broadcast: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 185,237 | ||||||||||||||
Acquisitions | — | |||||||||||||||
Balance as of March 31, 2014 | $ | 185,237 | ||||||||||||||
Digital: | ||||||||||||||||
Balance as of December 31, 2013 | 18,291 | |||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 25,390 | ||||||||||||||
Total: | ||||||||||||||||
Balance as of December 31, 2013 | $ | 203,528 | ||||||||||||||
Acquisitions | 7,099 | |||||||||||||||
Balance as of March 31, 2014 | $ | 210,627 | ||||||||||||||
Summary of the carrying amount of each major class of intangible assets | ' | |||||||||||||||
The following table summarizes the carrying amounts of intangible assets (in thousands): | ||||||||||||||||
March 31, 2014 | December 31, 2013 | |||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Broadcast licenses | $ | 536,515 | $ | — | $ | 536,515 | $ | — | ||||||||
Intangible assets subject to amortization (1) | 98,143 | (44,488 | ) | 85,966 | (38,917 | ) | ||||||||||
Total | $ | 634,658 | $ | (44,488 | ) | $ | 622,481 | $ | (38,917 | ) | ||||||
(1) | Intangible assets subject to amortization are amortized on a straight line basis and primarily include network affiliations, acquired customer and publisher relationships, completed technology, brand names, non-compete agreements, internal-use software, favorable operating leases, and retransmission consent agreements. |
Debt_Tables
Debt (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Schedule of debt | ' | |||||||
Debt consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Senior Secured Credit Facility: | ||||||||
Revolving credit loans | $ | 15,000 | $ | 5,000 | ||||
$115,625 and $118,750 Term loans, net of discount of $322 and $345 as March 31, 2014 and December 31, 2013, respectively | 115,303 | 118,405 | ||||||
$313,400 and $314,200 Incremental term loans, net of discount of $1,599 and $1,684 as of March 31, 2014 and December 31, 2013, respectively | 311,801 | 312,516 | ||||||
83/8% Senior Notes due 2018 | 200,000 | 200,000 | ||||||
63/8% Senior Notes due 2021 | 290,000 | 290,000 | ||||||
Capital lease obligations | 14,477 | 14,604 | ||||||
Other debt | 3,875 | 4,167 | ||||||
Total debt | 950,456 | 944,692 | ||||||
Less current portion | 18,925 | 17,364 | ||||||
Total long-term debt | $ | 931,531 | $ | 927,328 | ||||
Schedule of carrying amounts and fair values of long-term debt | ' | |||||||
The carrying amounts and fair values of our long-term debt were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Carrying amount | $ | 935,979 | $ | 930,088 | ||||
Fair value | 966,967 | 954,255 | ||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Schedule of debt | ' | |||||||
Debt consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Senior Secured Credit Facility: | ||||||||
Revolving credit loans | $ | 15,000 | $ | 5,000 | ||||
$115,625 and $118,750 Term loans, net of discount of $322 and $345 as March 31, 2014 and December 31, 2013, respectively | 115,303 | 118,405 | ||||||
$313,400 and $314,200 Incremental term loans, net of discount of $1,599 and $1,684 as of March 31, 2014 and December 31, 2013, respectively | 311,801 | 312,516 | ||||||
83/8% Senior Notes due 2018 | 200,000 | 200,000 | ||||||
63/8% Senior Notes due 2021 | 290,000 | 290,000 | ||||||
Capital lease obligations | 14,477 | 14,604 | ||||||
Other debt | 5,875 | 6,167 | ||||||
Total debt | 952,456 | 946,692 | ||||||
Less current portion | 18,925 | 17,364 | ||||||
Total long-term debt | $ | 933,531 | $ | 929,328 | ||||
Schedule of carrying amounts and fair values of long-term debt | ' | |||||||
The carrying amounts and fair values of our long-term debt were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Carrying amount | $ | 937,979 | $ | 932,088 | ||||
Fair value | 968,967 | 956,255 | ||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Schedule of segment reporting information | ' | |||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Operating income (loss): | ||||||||
Broadcast | $ | 33,474 | $ | 24,158 | ||||
Digital | (2,678 | ) | (498 | ) | ||||
Unallocated corporate | (14,414 | ) | (11,884 | ) | ||||
Total operating income | $ | 16,382 | $ | 11,776 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Depreciation and amortization: | ||||||||
Broadcast | $ | 14,136 | $ | 16,264 | ||||
Digital | 1,775 | 641 | ||||||
Unallocated corporate | 346 | 162 | ||||||
Total depreciation and amortization | $ | 16,257 | $ | 17,067 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Capital expenditures: | ||||||||
Broadcast | $ | 3,937 | $ | 5,729 | ||||
Digital | 1,139 | 799 | ||||||
Unallocated corporate | 533 | 270 | ||||||
Total capital expenditures | $ | 5,609 | $ | 6,798 | ||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Assets: | ||||||||
Broadcast | $ | 1,092,169 | $ | 1,100,343 | ||||
Digital | 86,594 | 69,690 | ||||||
Unallocated corporate | 58,472 | 46,817 | ||||||
Total assets | $ | 1,237,235 | $ | 1,216,850 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Net revenues: | ||||||||
Broadcast | $ | 141,715 | $ | 131,951 | ||||
Digital | 24,526 | 9,041 | ||||||
Total net revenues | $ | 166,241 | $ | 140,992 | ||||
Reconciliation of Adjusted EBITDA to consolidated pre-tax income (loss) | ' | |||||||
The following table is a reconciliation of Adjusted EBITDA to consolidated pre-tax income (loss): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Segment Adjusted EBITDA: | ||||||||
Broadcast | $ | 47,470 | $ | 40,595 | ||||
Digital | (893 | ) | 164 | |||||
Total segment Adjusted EBITDA | 46,577 | 40,759 | ||||||
Unallocated corporate Adjusted EBITDA | (7,251 | ) | (4,619 | ) | ||||
Less: | ||||||||
Depreciation | 10,686 | 11,638 | ||||||
Amortization of intangible assets | 5,571 | 5,429 | ||||||
Amortization of program rights | 6,593 | 7,785 | ||||||
Share-based compensation | 2,307 | 1,941 | ||||||
Non-recurring and acquisition-related charges (1) | 4,559 | 3,051 | ||||||
Restructuring charge | — | 2,132 | ||||||
Loss on sale of assets | 94 | 95 | ||||||
Add: | ||||||||
Cash payments for programming | 6,866 | 7,707 | ||||||
Operating income | 16,382 | 11,776 | ||||||
Other expense: | ||||||||
Interest expense, net | 14,209 | 13,871 | ||||||
Share of loss in equity investments | 75 | — | ||||||
Other expense (income), net | 18 | (24 | ) | |||||
Total other expense, net | 14,302 | 13,847 | ||||||
Consolidated pre-tax income (loss) | $ | 2,080 | $ | (2,071 | ) | |||
_______________________________ | ||||||||
(1) Non-recurring charges for the three months ended March 31, 2014 and 2013 primarily consist of expenses related to the Merger and the 2013 LIN LLC Merger, respectively. | ||||||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Schedule of segment reporting information | ' | |||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Net revenues: | ||||||||
Broadcast | $ | 141,715 | $ | 131,951 | ||||
Digital | 24,526 | 9,041 | ||||||
Total net revenues | $ | 166,241 | $ | 140,992 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Operating income (loss): | ||||||||
Broadcast | $ | 33,474 | $ | 24,158 | ||||
Digital | (2,678 | ) | (498 | ) | ||||
Unallocated corporate | (14,062 | ) | (11,884 | ) | ||||
Total operating income | $ | 16,734 | $ | 11,776 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Depreciation and amortization: | ||||||||
Broadcast | $ | 14,136 | $ | 16,264 | ||||
Digital | 1,775 | 641 | ||||||
Unallocated corporate | 346 | 162 | ||||||
Total depreciation and amortization | $ | 16,257 | $ | 17,067 | ||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Capital expenditures: | ||||||||
Broadcast | $ | 3,937 | $ | 5,729 | ||||
Digital | 1,139 | 799 | ||||||
Unallocated corporate | 533 | 270 | ||||||
Total capital expenditures | $ | 5,609 | $ | 6,798 | ||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Assets: | ||||||||
Broadcast | $ | 1,092,169 | $ | 1,100,343 | ||||
Digital | 86,594 | 69,690 | ||||||
Unallocated corporate | 57,491 | 46,917 | ||||||
Total assets | $ | 1,236,254 | $ | 1,216,950 | ||||
Reconciliation of Adjusted EBITDA to consolidated pre-tax income (loss) | ' | |||||||
The following table is a reconciliation of Adjusted EBITDA to consolidated pre-tax income (loss): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Segment Adjusted EBITDA: | ||||||||
Broadcast | $ | 47,470 | $ | 40,595 | ||||
Digital | (893 | ) | 164 | |||||
Total segment Adjusted EBITDA | 46,577 | 40,759 | ||||||
Unallocated corporate Adjusted EBITDA | (6,899 | ) | (4,619 | ) | ||||
Less: | ||||||||
Depreciation | 10,686 | 11,638 | ||||||
Amortization of intangible assets | 5,571 | 5,429 | ||||||
Amortization of program rights | 6,593 | 7,785 | ||||||
Share-based compensation | 2,307 | 1,941 | ||||||
Non-recurring and acquisition-related charges (1) | 4,559 | 3,051 | ||||||
Restructuring charge | — | 2,132 | ||||||
Loss on sale of assets | 94 | 95 | ||||||
Add: | ||||||||
Cash payments for programming | 6,866 | 7,707 | ||||||
Operating income | 16,734 | 11,776 | ||||||
Other expense: | ||||||||
Interest expense, net | 14,229 | 13,871 | ||||||
Share of loss in equity investments | 75 | — | ||||||
Other expense (income), net | 18 | (24 | ) | |||||
Total other expense, net | 14,322 | 13,847 | ||||||
Consolidated pre-tax income (loss) | $ | 2,412 | $ | (2,071 | ) | |||
______________________________ | ||||||||
(1) Non-recurring charges for the three months ended March 31, 2014 and 2013 primarily consist of expenses related to the Merger and the 2013 LIN LLC Merger, respectively. |
Retirement_Plans_Tables
Retirement Plans (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Entity Information [Line Items] | ' | |||||||
Schedule of the components of net periodic pension cost and the contributions to 401(k) Plan and the retirement plans | ' | |||||||
The following table shows the components of the net periodic pension cost and the contributions to our 401(k) Plan and the retirement plans (in thousands): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
Net periodic pension cost (benefit): | ||||||||
Interest cost | $ | 1,498 | $ | 1,314 | ||||
Expected return on plan assets | (1,758 | ) | (1,670 | ) | ||||
Amortization of net loss | 315 | 428 | ||||||
Net periodic cost | $ | 55 | $ | 72 | ||||
Contributions: | ||||||||
401(k) Plan | $ | 1,142 | $ | 1,332 | ||||
Defined contribution retirement plans | 39 | 49 | ||||||
Defined benefit retirement plans | 1,347 | 1,297 | ||||||
Total contributions | $ | 2,528 | $ | 2,678 | ||||
LIN Television Corporation | ' | |||||||
Entity Information [Line Items] | ' | |||||||
Schedule of the components of net periodic pension cost and the contributions to 401(k) Plan and the retirement plans | ' | |||||||
The following table shows the components of the net periodic pension cost and the contributions to our 401(k) Plan and the retirement plans (in thousands): | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
Net periodic pension cost (benefit): | ||||||||
Interest cost | $ | 1,498 | $ | 1,314 | ||||
Expected return on plan assets | (1,758 | ) | (1,670 | ) | ||||
Amortization of net loss | 315 | 428 | ||||||
Net periodic cost | $ | 55 | $ | 72 | ||||
Contributions: | ||||||||
401(k) Plan | $ | 1,142 | $ | 1,332 | ||||
Defined contribution retirement plans | 39 | 49 | ||||||
Defined benefit retirement plans | 1,347 | 1,297 | ||||||
Total contributions | $ | 2,528 | $ | 2,678 | ||||
Restructuring_Tables
Restructuring (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Schedule of activities for restructuring actions | ' | |||||||||||||||
The activity for these restructuring actions is as follows (in thousands): | ||||||||||||||||
Broadcast | Digital | Corporate | Total Severance and | |||||||||||||
Related | ||||||||||||||||
Balance as of December 31, 2013 | $ | 105 | $ | 315 | $ | 3 | $ | 423 | ||||||||
Charges | — | — | — | — | ||||||||||||
Payments | 89 | 111 | 3 | 203 | ||||||||||||
Balance as of March 31, 2014 | $ | 16 | $ | 204 | $ | — | $ | 220 | ||||||||
LIN Television Corporation | ' | |||||||||||||||
Entity Information [Line Items] | ' | |||||||||||||||
Schedule of activities for restructuring actions | ' | |||||||||||||||
The activity for these restructuring actions is as follows (in thousands): | ||||||||||||||||
Broadcast | Digital | Corporate | Total Severance and | |||||||||||||
Related | ||||||||||||||||
Balance as of December 31, 2013 | $ | 105 | $ | 315 | $ | 3 | $ | 423 | ||||||||
Charges | — | — | — | — | ||||||||||||
Payments | 89 | 111 | 3 | 203 | ||||||||||||
Balance as of March 31, 2014 | $ | 16 | $ | 204 | $ | — | $ | 220 | ||||||||
Condensed_Consolidating_Financ1
Condensed Consolidating Financial Statements (Tables) | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||
Condensed Consolidating Financial Statements | ' | |||||||||||||||||||||||
Schedule of Condensed Consolidating Balance Sheet | ' | |||||||||||||||||||||||
Condensed Consolidating Balance Sheet | ||||||||||||||||||||||||
As of March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current assets: | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 979 | $ | 18,119 | $ | 688 | $ | 1,101 | $ | — | $ | 20,887 | ||||||||||||
Accounts receivable, net | — | 77,731 | 41,988 | 18,798 | — | 138,517 | ||||||||||||||||||
Deferred income tax assets | — | 7,098 | 1,073 | 58 | — | 8,229 | ||||||||||||||||||
Other current assets | — | 10,869 | 1,225 | 1,687 | — | 13,781 | ||||||||||||||||||
Total current assets | 979 | 113,817 | 44,974 | 21,644 | — | 181,414 | ||||||||||||||||||
Property and equipment, net | — | 183,831 | 34,770 | 4,585 | — | 223,186 | ||||||||||||||||||
Deferred financing costs | — | 15,562 | — | 85 | — | 15,647 | ||||||||||||||||||
Goodwill | — | 169,492 | 25,617 | 15,518 | — | 210,627 | ||||||||||||||||||
Broadcast licenses | — | — | 493,814 | 42,701 | — | 536,515 | ||||||||||||||||||
Other intangible assets, net | — | 27,728 | 12,759 | 13,168 | — | 53,655 | ||||||||||||||||||
Advances to consolidated subsidiaries | 2,002 | 11,525 | 967,068 | — | (980,595 | ) | — | |||||||||||||||||
Investment in consolidated subsidiaries | 99,240 | 1,547,069 | — | — | (1,646,309 | ) | — | |||||||||||||||||
Other assets | — | 56,197 | 2,875 | 1,562 | (44,443 | ) | 16,191 | |||||||||||||||||
Total assets | $ | 102,221 | $ | 2,125,221 | $ | 1,581,877 | $ | 99,263 | $ | (2,671,347 | ) | $ | 1,237,235 | |||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||||||
Current portion of long-term debt | $ | — | $ | 17,680 | $ | — | $ | 1,245 | $ | — | $ | 18,925 | ||||||||||||
Accounts payable | — | 4,687 | 6,770 | 3,806 | — | 15,263 | ||||||||||||||||||
Income taxes payable | — | 757 | 929 | — | — | 1,686 | ||||||||||||||||||
Accrued expenses | — | 44,980 | 8,128 | 3,004 | — | 56,112 | ||||||||||||||||||
Program obligations | — | 4,805 | 984 | 1,241 | — | 7,030 | ||||||||||||||||||
Total current liabilities | — | 72,909 | 16,811 | 9,296 | — | 99,016 | ||||||||||||||||||
Long-term debt, excluding current portion | — | 928,737 | — | 2,794 | — | 931,531 | ||||||||||||||||||
Deferred income tax liabilities | — | 23,758 | 34,501 | 556 | — | 58,815 | ||||||||||||||||||
Program obligations | — | 2,309 | 179 | 1,457 | — | 3,945 | ||||||||||||||||||
Intercompany liabilities | — | 969,070 | — | 11,525 | (980,595 | ) | — | |||||||||||||||||
Other liabilities | — | 29,198 | 168 | 44,529 | (44,443 | ) | 29,452 | |||||||||||||||||
Total liabilities | — | 2,025,981 | 51,659 | 70,157 | (1,025,038 | ) | 1,122,759 | |||||||||||||||||
Redeemable noncontrolling interest | — | — | — | 9,820 | — | 9,820 | ||||||||||||||||||
Total shareholders’ equity (deficit) | 102,221 | 99,240 | 1,530,218 | 16,851 | (1,646,309 | ) | 102,221 | |||||||||||||||||
Noncontrolling interest | — | — | — | 2,435 | — | 2,435 | ||||||||||||||||||
Total equity (deficit) | 102,221 | 99,240 | 1,530,218 | 19,286 | (1,646,309 | ) | 104,656 | |||||||||||||||||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity (deficit) | $ | 102,221 | $ | 2,125,221 | $ | 1,581,877 | $ | 99,263 | $ | (2,671,347 | ) | $ | 1,237,235 | |||||||||||
Condensed Consolidating Balance Sheet | ||||||||||||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current assets: | ||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 10,313 | $ | 3 | $ | 2,209 | $ | — | $ | 12,525 | ||||||||||||
Accounts receivable, net | — | 88,905 | 39,416 | 16,988 | — | 145,309 | ||||||||||||||||||
Deferred income tax assets | — | 5,818 | 1,080 | — | — | 6,898 | ||||||||||||||||||
Other current assets | — | 12,264 | 1,049 | 1,888 | — | 15,201 | ||||||||||||||||||
Total current assets | — | 117,300 | 41,548 | 21,085 | — | 179,933 | ||||||||||||||||||
Property and equipment, net | — | 180,480 | 35,752 | 4,846 | — | 221,078 | ||||||||||||||||||
Deferred financing costs | — | 16,357 | — | 91 | — | 16,448 | ||||||||||||||||||
Goodwill | — | 169,492 | 18,518 | 15,518 | — | 203,528 | ||||||||||||||||||
Broadcast licenses | — | — | 493,814 | 42,701 | — | 536,515 | ||||||||||||||||||
Other intangible assets, net | — | 31,303 | 1,840 | 13,906 | — | 47,049 | ||||||||||||||||||
Advances to consolidated subsidiaries | 1,900 | 7,764 | 968,728 | — | (978,392 | ) | — | |||||||||||||||||
Investment in consolidated subsidiaries | 87,227 | 1,534,600 | — | — | (1,621,827 | ) | — | |||||||||||||||||
Other assets | — | 52,778 | 2,688 | 1,276 | (44,443 | ) | 12,299 | |||||||||||||||||
Total assets | $ | 89,127 | $ | 2,110,074 | $ | 1,562,888 | $ | 99,423 | $ | (2,644,662 | ) | $ | 1,216,850 | |||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||||||
Current portion of long-term debt | $ | — | $ | 16,112 | $ | — | $ | 1,252 | $ | — | $ | 17,364 | ||||||||||||
Accounts payable | — | 4,185 | 5,339 | 4,478 | — | 14,002 | ||||||||||||||||||
Income taxes payable | — | 749 | 671 | — | — | 1,420 | ||||||||||||||||||
Accrued expenses | — | 42,570 | 6,254 | 2,872 | — | 51,696 | ||||||||||||||||||
Program obligations | — | 4,711 | 1,013 | 1,303 | — | 7,027 | ||||||||||||||||||
Total current liabilities | — | 68,327 | 13,277 | 9,905 | — | 91,509 | ||||||||||||||||||
Long-term debt, excluding current portion | — | 924,223 | — | 3,105 | — | 927,328 | ||||||||||||||||||
Deferred income tax liabilities | — | 30,013 | 33,824 | 849 | — | 64,686 | ||||||||||||||||||
Program obligations | — | 2,505 | 217 | 1,424 | — | 4,146 | ||||||||||||||||||
Intercompany liabilities | — | 970,628 | — | 7,764 | (978,392 | ) | — | |||||||||||||||||
Other liabilities | — | 27,151 | 58 | 44,443 | (44,443 | ) | 27,209 | |||||||||||||||||
Total liabilities | — | 2,022,847 | 47,376 | 67,490 | (1,022,835 | ) | 1,114,878 | |||||||||||||||||
Redeemable noncontrolling interest | — | — | — | 12,845 | — | 12,845 | ||||||||||||||||||
Total shareholders’ equity (deficit) | 89,127 | 87,227 | 1,515,512 | 19,088 | (1,621,827 | ) | 89,127 | |||||||||||||||||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity (deficit) | $ | 89,127 | $ | 2,110,074 | $ | 1,562,888 | $ | 99,423 | $ | (2,644,662 | ) | $ | 1,216,850 | |||||||||||
Schedule of Condensed Consolidating Statement of Operations | ' | |||||||||||||||||||||||
Condensed Consolidating Statement of Operations | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net revenues | $ | — | $ | 102,502 | $ | 50,854 | $ | 17,325 | $ | (4,440 | ) | $ | 166,241 | |||||||||||
Operating expenses: | ||||||||||||||||||||||||
Direct operating | — | 38,723 | 22,168 | 11,367 | (2,824 | ) | 69,434 | |||||||||||||||||
Selling, general and administrative | — | 27,983 | 12,172 | 4,913 | (128 | ) | 44,940 | |||||||||||||||||
Amortization of program rights | — | 4,699 | 1,449 | 445 | — | 6,593 | ||||||||||||||||||
Corporate | 352 | 12,156 | 33 | — | — | 12,541 | ||||||||||||||||||
Depreciation | — | 8,720 | 1,653 | 313 | — | 10,686 | ||||||||||||||||||
Amortization of intangible assets | — | 3,574 | 688 | 1,309 | — | 5,571 | ||||||||||||||||||
Restructuring charge | — | — | — | — | — | — | ||||||||||||||||||
(Gain) loss from asset dispositions | — | (42 | ) | 136 | — | — | 94 | |||||||||||||||||
Operating (loss) income | (352 | ) | 6,689 | 12,555 | (1,022 | ) | (1,488 | ) | 16,382 | |||||||||||||||
Other (income) expense: | ||||||||||||||||||||||||
Interest expense, net | — | 14,169 | — | 40 | — | 14,209 | ||||||||||||||||||
Share of loss in equity investments | — | 75 | — | — | — | 75 | ||||||||||||||||||
Intercompany fees and expenses | (270 | ) | 7,730 | (7,826 | ) | 116 | 250 | — | ||||||||||||||||
Other, net | — | 14 | 4 | — | — | 18 | ||||||||||||||||||
Total other (income) expense, net | (270 | ) | 21,988 | (7,822 | ) | 156 | 250 | 14,302 | ||||||||||||||||
(Loss) income before (benefit from) provision for income taxes | (82 | ) | (15,299 | ) | 20,377 | (1,178 | ) | (1,738 | ) | 2,080 | ||||||||||||||
(Benefit from) provision for income taxes | — | (6,779 | ) | 8,151 | (351 | ) | — | 1,021 | ||||||||||||||||
Net (loss) income | (82 | ) | (8,520 | ) | 12,226 | (827 | ) | (1,738 | ) | 1,059 | ||||||||||||||
Equity in income (loss) from operations of consolidated subsidiaries | 1,739 | 10,509 | — | — | (12,248 | ) | — | |||||||||||||||||
Net income (loss) | 1,657 | 1,989 | 12,226 | (827 | ) | (13,986 | ) | 1,059 | ||||||||||||||||
Net loss attributable to noncontrolling interests | — | — | — | (598 | ) | — | (598 | ) | ||||||||||||||||
Net income (loss) attributable to LIN Media LLC | $ | 1,657 | $ | 1,989 | $ | 12,226 | $ | (229 | ) | $ | (13,986 | ) | $ | 1,657 | ||||||||||
Condensed Consolidating Statement of Operations | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net revenues | $ | — | $ | 97,648 | $ | 38,984 | $ | 6,431 | $ | (2,071 | ) | $ | 140,992 | |||||||||||
Operating expenses: | ||||||||||||||||||||||||
Direct operating | — | 35,350 | 17,237 | 3,038 | (1,057 | ) | 54,568 | |||||||||||||||||
Selling, general and administrative | — | 26,032 | 9,789 | 1,571 | (94 | ) | 37,298 | |||||||||||||||||
Amortization of program rights | — | 5,482 | 1,490 | 813 | — | 7,785 | ||||||||||||||||||
Corporate | — | 10,271 | — | — | — | 10,271 | ||||||||||||||||||
Depreciation | — | 9,515 | 1,829 | 294 | — | 11,638 | ||||||||||||||||||
Amortization of intangible assets | — | 4,461 | 233 | 735 | — | 5,429 | ||||||||||||||||||
Restructuring charge | — | 2,132 | — | — | — | 2,132 | ||||||||||||||||||
Loss (gain) from asset dispositions | — | 107 | (12 | ) | — | — | 95 | |||||||||||||||||
Operating income (loss) | — | 4,298 | 8,418 | (20 | ) | (920 | ) | 11,776 | ||||||||||||||||
Other expense (income): | ||||||||||||||||||||||||
Interest expense, net | — | 13,814 | — | 108 | (51 | ) | 13,871 | |||||||||||||||||
Intercompany fees and expenses | — | 8,375 | (8,375 | ) | — | — | — | |||||||||||||||||
Other, net | — | (24 | ) | — | — | — | (24 | ) | ||||||||||||||||
Total other expense (income), net | — | 22,165 | (8,375 | ) | 108 | (51 | ) | 13,847 | ||||||||||||||||
(Loss) income before (benefit from) provision for income taxes | — | (17,867 | ) | 16,793 | (128 | ) | (869 | ) | (2,071 | ) | ||||||||||||||
(Benefit from) provision for income taxes | — | (7,463 | ) | 6,717 | (305 | ) | — | (1,051 | ) | |||||||||||||||
Net (loss) income | — | (10,404 | ) | 10,076 | 177 | (869 | ) | (1,020 | ) | |||||||||||||||
Equity in (loss) income from operations of consolidated subsidiaries | (856 | ) | 9,548 | — | — | (8,692 | ) | — | ||||||||||||||||
Net (loss) income | (856 | ) | (856 | ) | 10,076 | 177 | (9,561 | ) | (1,020 | ) | ||||||||||||||
Net loss attributable to noncontrolling interests | — | — | — | (164 | ) | — | (164 | ) | ||||||||||||||||
Net (loss) income attributable to LIN Media LLC | $ | (856 | ) | $ | (856 | ) | $ | 10,076 | $ | 341 | $ | (9,561 | ) | $ | (856 | ) | ||||||||
Schedule of Condensed Consolidating Statement of Comprehensive (Loss) Income | ' | |||||||||||||||||||||||
Condensed Consolidating Statement of Comprehensive Loss | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net (loss) income | $ | (856 | ) | $ | (856 | ) | $ | 10,076 | $ | 177 | $ | (9,561 | ) | $ | (1,020 | ) | ||||||||
Amortization of pension net losses, net of tax of $169 | 259 | 259 | — | — | (259 | ) | 259 | |||||||||||||||||
Comprehensive (loss) income | (597 | ) | (597 | ) | 10,076 | 177 | (9,820 | ) | (761 | ) | ||||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | — | (164 | ) | — | (164 | ) | ||||||||||||||||
Comprehensive (loss) income attributable to LIN Media LLC | $ | (597 | ) | $ | (597 | ) | $ | 10,076 | $ | 341 | $ | (9,820 | ) | $ | (597 | ) | ||||||||
Condensed Consolidating Statement of Comprehensive Income | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Net income (loss) | $ | 1,657 | $ | 1,989 | $ | 12,226 | $ | (827 | ) | $ | (13,986 | ) | $ | 1,059 | ||||||||||
Amortization of pension net losses, net of tax of $124 | 191 | 191 | — | — | (191 | ) | 191 | |||||||||||||||||
Comprehensive income (loss) | 1,848 | 2,180 | 12,226 | (827 | ) | (14,177 | ) | 1,250 | ||||||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | — | (598 | ) | — | (598 | ) | ||||||||||||||||
Comprehensive income (loss) attributable to LIN Media LLC | $ | 1,848 | $ | 2,180 | $ | 12,226 | $ | (229 | ) | $ | (14,177 | ) | $ | 1,848 | ||||||||||
Schedule of Condensed Consolidating Statement of Cash Flows | ' | |||||||||||||||||||||||
Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
OPERATING ACTIVITIES: | ||||||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (184 | ) | $ | 29,623 | $ | 9,102 | $ | (1,508 | ) | $ | (250 | ) | $ | 36,783 | |||||||||
INVESTING ACTIVITIES: | ||||||||||||||||||||||||
Capital expenditures | — | (4,394 | ) | (593 | ) | (622 | ) | — | (5,609 | ) | ||||||||||||||
Acquisition of broadcast towers | — | (7,257 | ) | — | — | — | (7,257 | ) | ||||||||||||||||
Payments for business combinations, net of cash acquired | — | (22,346 | ) | — | — | — | (22,346 | ) | ||||||||||||||||
Proceeds from the sale of assets | — | 45 | — | — | — | 45 | ||||||||||||||||||
Contributions to equity investments | — | (75 | ) | — | — | — | (75 | ) | ||||||||||||||||
Receipt of dividend | — | 19,503 | — | — | (19,503 | ) | — | |||||||||||||||||
Advances on intercompany borrowings | — | (1,340 | ) | — | — | 1,340 | — | |||||||||||||||||
Payments from intercompany borrowings | — | — | 11,679 | — | (11,679 | ) | — | |||||||||||||||||
Net cash (used in) provided by investing activities | — | (15,864 | ) | 11,086 | (622 | ) | (29,842 | ) | (35,242 | ) | ||||||||||||||
FINANCING ACTIVITIES: | ||||||||||||||||||||||||
Net proceeds on exercises of employee and director share-based compensation | 1,163 | — | — | — | — | 1,163 | ||||||||||||||||||
Proceeds from borrowings on long-term debt | — | 40,000 | — | — | — | 40,000 | ||||||||||||||||||
Principal payments on long-term debt | — | (34,024 | ) | — | (318 | ) | — | (34,342 | ) | |||||||||||||||
Payment of dividend | — | (250 | ) | (19,503 | ) | — | 19,753 | — | ||||||||||||||||
Proceeds from intercompany borrowings | — | — | — | 1,340 | (1,340 | ) | — | |||||||||||||||||
Payments on intercompany borrowings | — | (11,679 | ) | — | — | 11,679 | — | |||||||||||||||||
Net cash provided by (used in)financing activities | 1,163 | (5,953 | ) | (19,503 | ) | 1,022 | 30,092 | 6,821 | ||||||||||||||||
Net increase (decrease) in cash and cash equivalents | 979 | 7,806 | 685 | (1,108 | ) | — | 8,362 | |||||||||||||||||
Cash and cash equivalents at the beginning of the period | — | 10,313 | 3 | 2,209 | — | 12,525 | ||||||||||||||||||
Cash and cash equivalents at the end of the period | $ | 979 | $ | 18,119 | $ | 688 | $ | 1,101 | $ | — | $ | 20,887 | ||||||||||||
Condensed Consolidating Statement of Cash Flows | ||||||||||||||||||||||||
For the Three Months Ended March 31, 2013 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
LIN Media LLC | LIN Television | Guarantor | Non-Guarantor | Consolidating/ | LIN Media LLC | |||||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | Eliminating | Consolidated | ||||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
OPERATING ACTIVITIES: | ||||||||||||||||||||||||
Net cash provided by (used in) operating activities | $ | — | $ | 22,735 | $ | 18,889 | $ | (289 | ) | $ | (19,503 | ) | $ | 21,832 | ||||||||||
INVESTING ACTIVITIES: | ||||||||||||||||||||||||
Capital expenditures | — | (5,634 | ) | (543 | ) | (621 | ) | — | (6,798 | ) | ||||||||||||||
Proceeds from the sale of assets | — | — | 13 | — | — | 13 | ||||||||||||||||||
Capital contributions to joint venture with NBCUniversal | — | — | (100,000 | ) | — | — | (100,000 | ) | ||||||||||||||||
Advances on intercompany borrowings | — | (1,200 | ) | — | — | 1,200 | — | |||||||||||||||||
Payments from intercompany borrowings | — | 9,919 | 111,127 | — | (121,046 | ) | — | |||||||||||||||||
Net cash provided by (used in) investing activities | — | 3,085 | 10,597 | (621 | ) | (119,846 | ) | (106,785 | ) | |||||||||||||||
FINANCING ACTIVITIES: | ||||||||||||||||||||||||
Net proceeds on exercises of employee and director share-based compensation | — | 501 | — | — | — | 501 | ||||||||||||||||||
Proceeds from borrowings on long-term debt | — | 85,000 | — | — | — | 85,000 | ||||||||||||||||||
Principal payments on long-term debt | — | (22,465 | ) | — | (375 | ) | — | (22,840 | ) | |||||||||||||||
Payment of long-term debt issue costs | — | (521 | ) | — | 6 | — | (515 | ) | ||||||||||||||||
Payment of dividend | — | — | (19,503 | ) | — | 19,503 | — | |||||||||||||||||
Proceeds from intercompany borrowings | — | — | — | 1,200 | (1,200 | ) | — | |||||||||||||||||
Payments on intercompany borrowings | — | (111,127 | ) | (9,919 | ) | — | 121,046 | — | ||||||||||||||||
Net cash (used in) provided by financing activities | — | (48,612 | ) | (29,422 | ) | 831 | 139,349 | 62,146 | ||||||||||||||||
Net (decrease) increase in cash and cash equivalents | — | (22,792 | ) | 64 | (79 | ) | — | (22,807 | ) | |||||||||||||||
Cash and cash equivalents at the beginning of the period | — | 44,625 | 573 | 1,109 | — | 46,307 | ||||||||||||||||||
Cash and cash equivalents at the end of the period | $ | — | $ | 21,833 | $ | 637 | $ | 1,030 | $ | — | $ | 23,500 | ||||||||||||
Basis_of_Presentation_and_Summ3
Basis of Presentation and Summary of Significant Accounting Policies (Details) (USD $) | 3 Months Ended | 1 Months Ended | 0 Months Ended | 3 Months Ended | ||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Feb. 28, 2013 | Feb. 12, 2013 | Feb. 12, 2013 | Feb. 12, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |
segment | LIN Television Corporation | LIN Television Corporation | SVH | SVH | SVH | SVH | UNITED STATES | UNITED STATES | Broadcast | Broadcast | ||
station | segment | LIN Television Corporation | Transaction agreement | Transaction agreement | GECC Note | LIN Television Corporation | channel | LIN Television Corporation | ||||
market | household | LIN Television of Texas | LIN Television Corporation | market | station | |||||||
household | market | station | market | |||||||||
station | channel | |||||||||||
Principles of Consolidation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of reportable segments | 2 | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of stations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 43 | 43 |
Number of digital channels operated | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7 | 7 |
Number of markets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23 | 23 |
Expected number of stations | 74 | ' | 74 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected number of markets | 46 | ' | 46 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of households | 26,500,000 | ' | 26,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of households | ' | ' | ' | ' | ' | ' | ' | ' | 23.00% | 23.00% | ' | ' |
Ownership percentage held by SVH | ' | ' | ' | ' | ' | 20.38% | ' | ' | ' | ' | ' | ' |
Equity interest held by NBCUniversal (as a percent) | ' | ' | ' | ' | ' | 79.62% | ' | ' | ' | ' | ' | ' |
Capital contribution to joint venture with NBCUniversal | $0 | ($100,000,000) | $0 | ($100,000,000) | ($100,000,000) | ' | ($100,000,000) | ' | ' | ' | ' | ' |
Debt financing provided by GECC | ' | ' | ' | ' | ' | ' | ' | $815,500,000 | ' | ' | ' | ' |
Ownership interest (as a percent) | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basis_of_Presentation_and_Summ4
Basis of Presentation and Summary of Significant Accounting Policies (Details 2) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||||
Current assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | $20,887 | $12,525 | $23,500 | $46,307 | ||
Accounts receivable, net | 138,517 | 145,309 | ' | ' | ||
Other assets | 13,781 | 15,201 | ' | ' | ||
Total current assets | 181,414 | 179,933 | ' | ' | ||
Property and equipment, net | 223,186 | 221,078 | ' | ' | ||
Broadcast licenses and other intangible assets, net | 536,515 | 536,515 | ' | ' | ||
Other assets | 16,191 | 12,299 | ' | ' | ||
Total assets | 1,237,235 | 1,216,850 | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ||
Current portion of long-term debt | 18,925 | 17,364 | ' | ' | ||
Accounts payable | 15,263 | 14,002 | ' | ' | ||
Accrued expenses | 56,112 | 51,696 | ' | ' | ||
Program obligations | 7,030 | 7,027 | ' | ' | ||
Total current liabilities | 99,016 | 91,509 | ' | ' | ||
Long-term debt, excluding current portion | 931,531 | 927,328 | ' | ' | ||
Program obligations | 3,945 | 4,146 | ' | ' | ||
Other liabilities | 29,452 | 27,209 | ' | ' | ||
Total liabilities | 1,122,759 | [1] | 1,114,878 | [1] | ' | ' |
WBDT, Vaughan and KASY | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | 303 | 278 | ' | ' | ||
Accounts receivable, net | 5,922 | 6,345 | ' | ' | ||
Other assets | 927 | 927 | ' | ' | ||
Total current assets | 7,152 | 7,550 | ' | ' | ||
Property and equipment, net | 2,330 | 2,469 | ' | ' | ||
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 | ' | ' | ||
Other assets | 1,424 | 1,360 | ' | ' | ||
Total assets | 55,024 | 56,056 | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ||
Current portion of long-term debt | 1,162 | 1,162 | ' | ' | ||
Accounts payable | 57 | 63 | ' | ' | ||
Accrued expenses | 1,259 | 1,336 | ' | ' | ||
Program obligations | 1,241 | 1,303 | ' | ' | ||
Total current liabilities | 3,719 | 3,864 | ' | ' | ||
Long-term debt, excluding current portion | 2,715 | 3,005 | ' | ' | ||
Program obligations | 1,457 | 1,424 | ' | ' | ||
Other liabilities | 47,133 | 47,763 | ' | ' | ||
Total liabilities | 55,024 | 56,056 | ' | ' | ||
LIN Television Corporation | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | 19,908 | 12,525 | 23,500 | 46,307 | ||
Accounts receivable, net | 138,515 | 145,409 | ' | ' | ||
Other assets | 13,781 | 15,201 | ' | ' | ||
Total current assets | 180,433 | 180,033 | ' | ' | ||
Property and equipment, net | 223,186 | 221,078 | ' | ' | ||
Broadcast licenses and other intangible assets, net | 536,515 | 536,515 | ' | ' | ||
Other assets | 16,191 | 12,299 | ' | ' | ||
Total assets | 1,236,254 | 1,216,950 | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ||
Current portion of long-term debt | 18,925 | 17,364 | ' | ' | ||
Accounts payable | 15,263 | 14,002 | ' | ' | ||
Accrued expenses | 56,112 | 51,696 | ' | ' | ||
Program obligations | 7,030 | 7,027 | ' | ' | ||
Total current liabilities | 99,016 | 91,509 | ' | ' | ||
Long-term debt, excluding current portion | 933,531 | 929,328 | ' | ' | ||
Program obligations | 3,945 | 4,146 | ' | ' | ||
Other liabilities | 29,452 | 27,209 | ' | ' | ||
Total liabilities | 1,124,759 | [2] | 1,116,878 | [2] | ' | ' |
LIN Television Corporation | WBDT, Vaughan and KASY | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | 303 | 278 | ' | ' | ||
Accounts receivable, net | 5,922 | 6,345 | ' | ' | ||
Other assets | 927 | 927 | ' | ' | ||
Total current assets | 7,152 | 7,550 | ' | ' | ||
Property and equipment, net | 2,330 | 2,469 | ' | ' | ||
Broadcast licenses and other intangible assets, net | 44,118 | 44,677 | ' | ' | ||
Other assets | 1,424 | 1,360 | ' | ' | ||
Total assets | 55,024 | 56,056 | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ||
Current portion of long-term debt | 1,162 | 1,162 | ' | ' | ||
Accounts payable | 57 | 63 | ' | ' | ||
Accrued expenses | 1,259 | 1,336 | ' | ' | ||
Program obligations | 1,241 | 1,303 | ' | ' | ||
Total current liabilities | 3,719 | 3,864 | ' | ' | ||
Long-term debt, excluding current portion | 2,715 | 3,005 | ' | ' | ||
Program obligations | 1,457 | 1,424 | ' | ' | ||
Other liabilities | 47,133 | 47,763 | ' | ' | ||
Total liabilities | $55,024 | $56,056 | ' | ' | ||
[1] | Our consolidated assets as of March 31, 2014 and December 31, 2013 include total assets of: $55,024 and $56,056, respectively, of variable interest entities (“VIEsâ€) that can only be used to settle the obligations of the VIEs. These assets include broadcast licenses and other intangible assets of: $44,118 and $44,677 and program rights of: $2,254 and $2,186 as of March 31, 2014 and December 31, 2013, respectively. Our consolidated liabilities as of March 31, 2014 and December 31, 2013 include $4,014 and $4,126, respectively, of total liabilities of the VIEs for which the VIEs’ creditors have no recourse to the Company, including $2,698 and $2,727, respectively, of program obligations. See further description in Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies.†| |||||
[2] | Our consolidated assets as of March 31, 2014 and December 31, 2013 include total assets of: $55,024 and $56,056, respectively, of variable interest entities (“VIEsâ€) that can only be used to settle the obligations of the VIEs. These assets include broadcast licenses and other intangible assets of: $44,118 and $44,677 and program rights of: $2,351 and $2,060 as of March 31, 2014 and December 31, 2013, respectively. Our consolidated liabilities as of March 31, 2014 and December 31, 2013 include $4,014 and $4,577, respectively, of total liabilities of the VIEs for which the VIEs’ creditors have no recourse to the Company, including $2,698 and $2,727, respectively, of program obligations. See further description in Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies.†|
Basis_of_Presentation_and_Summ5
Basis of Presentation and Summary of Significant Accounting Policies (Details 3) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 |
Redeemable Noncontrolling Interest | ' |
Balance as of the beginning of the period | $12,845 |
Reclassification to noncontrolling interest (Nami Media) | -2,435 |
Balance as of the end of the period | 9,820 |
Nami, Dedicated Media and HYFN | ' |
Redeemable Noncontrolling Interest | ' |
Balance as of the beginning of the period | 12,845 |
Net loss | -598 |
Share-based compensation | 8 |
Reclassification to noncontrolling interest (Nami Media) | -2,435 |
Balance as of the end of the period | 9,820 |
LIN Television Corporation | ' |
Redeemable Noncontrolling Interest | ' |
Balance as of the beginning of the period | 12,845 |
Reclassification to noncontrolling interest (Nami Media) | -2,435 |
Balance as of the end of the period | 9,820 |
LIN Television Corporation | Nami, Dedicated Media and HYFN | ' |
Redeemable Noncontrolling Interest | ' |
Balance as of the beginning of the period | 12,845 |
Net loss | -598 |
Share-based compensation | 8 |
Reclassification to noncontrolling interest (Nami Media) | -2,435 |
Balance as of the end of the period | $9,820 |
Basis_of_Presentation_and_Summ6
Basis of Presentation and Summary of Significant Accounting Policies (Details 4) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Denominator for EPS calculation: | ' | ' |
Weighted-average common shares, basic | 53,669 | 51,910 |
Effect of dilutive securities: | ' | ' |
Stock options (in shares) | 2,924 | 0 |
Weighted-average common shares, diluted (in shares) | 56,593 | 51,910 |
Basis_of_Presentation_and_Summ7
Basis of Presentation and Summary of Significant Accounting Policies (Details 5) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' |
Antidilutive securities (in shares) | 0.1 | 0.8 |
Acquisitions_Details
Acquisitions (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Feb. 03, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Feb. 03, 2014 | Feb. 03, 2014 | Feb. 03, 2014 | Feb. 03, 2014 | Mar. 31, 2014 | Apr. 09, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Apr. 04, 2013 | Mar. 31, 2014 |
Federated Media | Federated Media | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | |||
Federated Media | Federated Media | Federated Media | Federated Media | Federated Media | Federated Media | Federated Media | Dedicated Media | Dedicated Media | Dedicated Media | HYFN | HYFN | HYFN | |||||||
Publisher relationships | Customer relationships | Completed technology | Trademarks | Maximum | Maximum | ||||||||||||||
Acquisitions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership interest (as a percent) | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | 60.00% | ' | ' | 50.10% | ' |
Purchase price | ' | ' | ' | ' | ' | ' | $22,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provisional allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' | ' | ' | 9,811,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property and equipment | ' | ' | ' | ' | ' | ' | 72,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-current assets | ' | ' | ' | ' | ' | ' | 196,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other intangible assets | ' | ' | ' | ' | ' | ' | 11,497,000 | ' | ' | 4,200,000 | 1,200,000 | 3,900,000 | 2,200,000 | ' | ' | ' | ' | ' | ' |
Goodwill | 210,627,000 | 203,528,000 | ' | ' | 210,627,000 | 203,528,000 | 7,099,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current liabilities | ' | ' | ' | ' | ' | ' | -6,368,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | 22,307,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated remaining useful lives | ' | ' | ' | ' | ' | ' | ' | ' | ' | '8 years | '4 years | '3 years | '7 years | ' | ' | ' | ' | ' | ' |
Pro Forma Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net revenue | ' | ' | 167,608,000 | 149,069,000 | ' | ' | ' | 167,608,000 | 149,069,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) | ' | ' | 439,000 | -5,089,000 | ' | ' | ' | 771,000 | -5,089,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic income (loss) per common share attributable to reporting entity (in dollars per share) | ' | ' | $0.01 | ($0.10) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Diluted income (loss) per common share attributable to reporting entity (in dollars per share) | ' | ' | $0.01 | ($0.10) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business combination, transaction-related costs | ' | ' | ' | ' | ' | ' | 800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net revenues | ' | ' | ' | ' | ' | ' | ' | 4,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | -500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contractual obligation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26,000,000 | ' | ' | 62,400,000 |
Fair value of the non-controlling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,800,000 | ' | ' | 7,200,000 | ' |
Fair value of option to purchase the remaining outstanding shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | ' | ' | $0 | ' | ' |
Intangible_Assets_Details
Intangible Assets (Details) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 |
Change in the carrying amount of goodwill | ' |
Goodwill at period start | $203,528 |
Acquisitions | 7,099 |
Goodwill at period end | 210,627 |
Broadcast | ' |
Change in the carrying amount of goodwill | ' |
Goodwill at period start | 185,237 |
Acquisitions | 0 |
Goodwill at period end | 185,237 |
Digital | ' |
Change in the carrying amount of goodwill | ' |
Goodwill at period start | 18,291 |
Acquisitions | 7,099 |
Goodwill at period end | 25,390 |
LIN Television Corporation | ' |
Change in the carrying amount of goodwill | ' |
Goodwill at period start | 203,528 |
Acquisitions | 7,099 |
Goodwill at period end | 210,627 |
LIN Television Corporation | Broadcast | ' |
Change in the carrying amount of goodwill | ' |
Goodwill at period start | 185,237 |
Acquisitions | 0 |
Goodwill at period end | 185,237 |
LIN Television Corporation | Digital | ' |
Change in the carrying amount of goodwill | ' |
Goodwill at period start | 18,291 |
Acquisitions | 7,099 |
Goodwill at period end | $25,390 |
Intangible_Assets_Details_2
Intangible Assets (Details 2) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Summary of the carrying amounts of intangible assets | ' | ' | ||
Broadcast licenses | $536,515 | $536,515 | ||
Intangible assets subject to amortization | 98,143 | [1] | 85,966 | [1] |
Total intangible assets - gross carrying amount | 634,658 | 622,481 | ||
Accumulated amortization | -44,488 | [1] | -38,917 | [1] |
LIN Television Corporation | ' | ' | ||
Summary of the carrying amounts of intangible assets | ' | ' | ||
Broadcast licenses | 536,515 | 536,515 | ||
Intangible assets subject to amortization | 98,143 | 85,966 | ||
Total intangible assets - gross carrying amount | 634,658 | 622,481 | ||
Accumulated amortization | ($44,488) | [1] | ($38,917) | [1] |
[1] | Intangible assets subject to amortization are amortized on a straight line basis and primarily include network affiliations, acquired customer and publisher relationships, completed technology, brand names, non-compete agreements, internal-use software, favorable operating leases, and retransmission consent agreements. |
Debt_Details
Debt (Details) (USD $) | 3 Months Ended | 3 Months Ended | 1 Months Ended | 1 Months Ended | 2 Months Ended | 1 Months Ended | 3 Months Ended | ||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Feb. 28, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Feb. 28, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Feb. 28, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | |
Level 2 | Level 2 | 8.375% Senior Notes | 8.375% Senior Notes | 6.375% Senior Notes | 6.375% Senior Notes | Capital lease obligations | Capital lease obligations | Other debt | Other debt | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | ||||
Revolving credit loans | Revolving credit loans | Term loans, net of discount | Term loans, net of discount | Incremental term loans, net of discount | Incremental term loans, net of discount | SVH | Level 2 | Level 2 | 8.375% Senior Notes | 8.375% Senior Notes | 6.375% Senior Notes | 6.375% Senior Notes | Capital lease obligations | Capital lease obligations | Other debt | Other debt | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | Senior Secured Credit Facility | |||||||||||||||||
Revolving credit loans | Revolving credit loans | Revolving credit loans | Term loans, net of discount | Term loans, net of discount | Incremental term loans, net of discount | Incremental term loans, net of discount | Incremental term loans, net of discount | ||||||||||||||||||||||||||||||||||
Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of ownership in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.38% | 8.38% | 6.38% | 6.38% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Face amount of debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $115,625,000 | $118,750,000 | ' | $313,400,000 | $314,200,000 |
Unamortized discount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 322,000 | 345,000 | ' | 1,599,000 | 1,684,000 |
Total debt | 950,456,000 | ' | 944,692,000 | ' | ' | 200,000,000 | 200,000,000 | 290,000,000 | 290,000,000 | 14,477,000 | 14,604,000 | 3,875,000 | 4,167,000 | 15,000,000 | 5,000,000 | 115,303,000 | 118,405,000 | 311,801,000 | 312,516,000 | 952,456,000 | ' | 946,692,000 | ' | ' | ' | 200,000,000 | 200,000,000 | 290,000,000 | 290,000,000 | 14,477,000 | 14,604,000 | 5,875,000 | 6,167,000 | 15,000,000 | ' | 5,000,000 | 115,303,000 | 118,405,000 | ' | 311,801,000 | 312,516,000 |
Less current portion | 18,925,000 | ' | 17,364,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18,925,000 | ' | 17,364,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total long-term debt | 931,531,000 | ' | 927,328,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 933,531,000 | ' | 929,328,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayment of debt | 34,342,000 | 22,840,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34,342,000 | 22,840,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,900,000 | ' |
Proceeds from revolving credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,000,000 | ' | ' | ' | ' | ' | ' |
Repayments of revolving credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 | ' | ' | ' | ' | ' | ' | ' |
Additional borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60,000,000 | ' | ' |
Term of debt instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' |
Amount transferred pursuant to the JV Sale Transaction | 0 | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 100,000,000 | ' | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying amounts and fair values of long-term debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying Amount | ' | ' | ' | 935,979,000 | 930,088,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 937,979,000 | 932,088,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value | ' | ' | ' | $966,967,000 | $954,255,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $968,967,000 | $956,255,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment_Reporting_Details
Segment Reporting (Details) (USD $) | 3 Months Ended | ||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | ||
segment | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Number of reportable segments | 2 | ' | ' | ||
Net revenues | $166,241 | $140,992 | ' | ||
Adjusted EBITDA | 39,326 | 36,140 | ' | ||
Depreciation | 10,686 | 11,638 | ' | ||
Amortization of intangible assets | 5,571 | 5,429 | ' | ||
Amortization of program rights | 6,593 | 7,785 | ' | ||
Share-based compensation | 2,307 | 1,941 | ' | ||
Non-recurring and acquisition-related charges | 4,559 | [1] | 3,051 | [1] | ' |
Restructuring charge | 0 | 2,132 | ' | ||
Loss on sale of assets | 94 | 95 | ' | ||
Cash payments for programming | 6,866 | 7,707 | ' | ||
Operating income | 16,382 | 11,776 | ' | ||
Interest expense, net | 14,209 | 13,871 | ' | ||
Share of loss in equity investments | 75 | 0 | ' | ||
Other expense (income), net | 18 | -24 | ' | ||
Total other expense, net | 14,302 | 13,847 | ' | ||
Income (loss) before provision for (benefit from) income taxes | 2,080 | -2,071 | ' | ||
Depreciation and amortization | 16,257 | 17,067 | ' | ||
Capital expenditures | 5,609 | 6,798 | ' | ||
Assets | 1,237,235 | ' | 1,216,850 | ||
Broadcast | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Number of stations | 43 | ' | ' | ||
Number of digital channels operated | 7 | ' | ' | ||
Number of markets | 23 | ' | ' | ||
Net revenues | 141,715 | 131,951 | ' | ||
Digital | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Net revenues | 24,526 | 9,041 | ' | ||
Operating Segments | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | 46,577 | 40,759 | ' | ||
Operating Segments | Broadcast | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | 47,470 | 40,595 | ' | ||
Restructuring charge | 0 | ' | ' | ||
Operating income | 33,474 | 24,158 | ' | ||
Depreciation and amortization | 14,136 | 16,264 | ' | ||
Capital expenditures | 3,937 | 5,729 | ' | ||
Assets | 1,092,169 | ' | 1,100,343 | ||
Operating Segments | Digital | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | -893 | 164 | ' | ||
Restructuring charge | 0 | ' | ' | ||
Operating income | -2,678 | -498 | ' | ||
Depreciation and amortization | 1,775 | 641 | ' | ||
Capital expenditures | 1,139 | 799 | ' | ||
Assets | 86,594 | ' | 69,690 | ||
Corporate | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | -7,251 | -4,619 | ' | ||
Restructuring charge | 0 | ' | ' | ||
Operating income | -14,414 | -11,884 | ' | ||
Depreciation and amortization | 346 | 162 | ' | ||
Capital expenditures | 533 | 270 | ' | ||
Assets | 58,472 | ' | 46,817 | ||
LIN Television Corporation | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Number of reportable segments | 2 | ' | ' | ||
Net revenues | 166,241 | 140,992 | ' | ||
Adjusted EBITDA | 39,678 | 36,140 | ' | ||
Depreciation | 10,686 | 11,638 | ' | ||
Amortization of intangible assets | 5,571 | 5,429 | ' | ||
Amortization of program rights | 6,593 | 7,785 | ' | ||
Share-based compensation | 2,307 | 1,941 | ' | ||
Non-recurring and acquisition-related charges | 4,559 | [1] | 3,051 | [1] | ' |
Restructuring charge | 0 | 2,132 | ' | ||
Loss on sale of assets | 94 | 95 | ' | ||
Cash payments for programming | 6,866 | 7,707 | ' | ||
Operating income | 16,734 | 11,776 | ' | ||
Interest expense, net | 14,229 | 13,871 | ' | ||
Share of loss in equity investments | 75 | 0 | ' | ||
Other expense (income), net | 18 | -24 | ' | ||
Total other expense, net | 14,322 | 13,847 | ' | ||
Income (loss) before provision for (benefit from) income taxes | 2,412 | -2,071 | ' | ||
Depreciation and amortization | 16,257 | 17,067 | ' | ||
Capital expenditures | 5,609 | 6,798 | ' | ||
Assets | 1,236,254 | ' | 1,216,950 | ||
LIN Television Corporation | Broadcast | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Number of stations | 43 | ' | ' | ||
Number of digital channels operated | 7 | ' | ' | ||
Number of markets | 23 | ' | ' | ||
Net revenues | 141,715 | 131,951 | ' | ||
LIN Television Corporation | Digital | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Net revenues | 24,526 | 9,041 | ' | ||
LIN Television Corporation | Operating Segments | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | 46,577 | 40,759 | ' | ||
LIN Television Corporation | Operating Segments | Broadcast | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | 47,470 | 40,595 | ' | ||
Restructuring charge | 0 | ' | ' | ||
Operating income | 33,474 | 24,158 | ' | ||
Depreciation and amortization | 14,136 | 16,264 | ' | ||
Capital expenditures | 3,937 | 5,729 | ' | ||
Assets | 1,092,169 | ' | 1,100,343 | ||
LIN Television Corporation | Operating Segments | Digital | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | -893 | 164 | ' | ||
Restructuring charge | 0 | ' | ' | ||
Operating income | -2,678 | -498 | ' | ||
Depreciation and amortization | 1,775 | 641 | ' | ||
Capital expenditures | 1,139 | 799 | ' | ||
Assets | 86,594 | ' | 69,690 | ||
LIN Television Corporation | Corporate | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Adjusted EBITDA | -6,899 | -4,619 | ' | ||
Restructuring charge | 0 | ' | ' | ||
Operating income | -14,062 | -11,884 | ' | ||
Depreciation and amortization | 346 | 162 | ' | ||
Capital expenditures | 533 | 270 | ' | ||
Assets | $57,491 | ' | $46,917 | ||
[1] | Non-recurring charges for the three months ended March 31, 2014 and 2013 primarily consist of expenses related to the Merger and the 2013 LIN LLC Merger, respectively. |
Retirement_Plans_Details
Retirement Plans (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ' | ' |
Interest cost | $1,498 | $1,314 |
Expected return on plan assets | -1,758 | -1,670 |
Amortization of net loss | 315 | 428 |
Net periodic cost: | 55 | 72 |
Contributions: | ' | ' |
401(k) Plan | 1,142 | 1,332 |
Defined contribution retirement plans | 39 | 49 |
Defined benefit retirement plans | 1,347 | 1,297 |
Total contributions | 2,528 | 2,678 |
LIN Television Corporation | ' | ' |
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ' | ' |
Interest cost | 1,498 | 1,314 |
Expected return on plan assets | -1,758 | -1,670 |
Amortization of net loss | 315 | 428 |
Net periodic cost: | 55 | 72 |
Contributions: | ' | ' |
401(k) Plan | 1,142 | 1,332 |
Defined contribution retirement plans | 39 | 49 |
Defined benefit retirement plans | 1,347 | 1,297 |
Total contributions | $2,528 | $2,678 |
Restructuring_Details
Restructuring (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Restructuring | ' | ' |
Expected cash payments during the remainder of 2014 | $200,000 | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 423,000 | ' |
Charges | 0 | 2,132,000 |
Payments | 203,000 | ' |
Balance at the end of the period | 220,000 | ' |
Severance and Related | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 423,000 | ' |
Payments | 203,000 | ' |
Operating Segments | Broadcast | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 105,000 | ' |
Charges | 0 | ' |
Payments | 89,000 | ' |
Balance at the end of the period | 16,000 | ' |
Operating Segments | Digital | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 315,000 | ' |
Charges | 0 | ' |
Payments | 111,000 | ' |
Balance at the end of the period | 204,000 | ' |
Corporate | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 3,000 | ' |
Charges | 0 | ' |
Payments | 3,000 | ' |
Balance at the end of the period | 0 | ' |
LIN Television Corporation | ' | ' |
Restructuring | ' | ' |
Expected cash payments during the remainder of 2014 | 200,000 | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 423,000 | ' |
Charges | 0 | 2,132,000 |
Payments | 203,000 | ' |
Balance at the end of the period | 220,000 | ' |
LIN Television Corporation | Severance and Related | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 423,000 | ' |
Payments | 203,000 | ' |
LIN Television Corporation | Operating Segments | Broadcast | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 105,000 | ' |
Charges | 0 | ' |
Payments | 89,000 | ' |
Balance at the end of the period | 16,000 | ' |
LIN Television Corporation | Operating Segments | Digital | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 315,000 | ' |
Charges | 0 | ' |
Payments | 111,000 | ' |
Balance at the end of the period | 204,000 | ' |
LIN Television Corporation | Corporate | ' | ' |
Restructuring | ' | ' |
Balance at the beginning of the period | 3,000 | ' |
Charges | 0 | ' |
Payments | 3,000 | ' |
Balance at the end of the period | $0 | ' |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Jul. 30, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Jul. 30, 2013 | Mar. 31, 2014 | |
Minimum | Maximum | Transaction agreement | Merger | Merger | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | |||
Minimum | Maximum | Transaction agreement | Merger | Merger | ||||||||||
Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision for (benefit from) income taxes | $1,021,000 | ($1,051,000) | ' | ' | ' | ' | ' | $1,021,000 | ($1,051,000) | ' | ' | ' | ' | ' |
Pre-tax income | 2,080,000 | -2,071,000 | ' | ' | ' | ' | ' | 2,412,000 | -2,071,000 | ' | ' | ' | ' | ' |
Effective income tax rate (as a percent) | 49.10% | 50.70% | ' | ' | ' | ' | ' | 42.30% | 50.70% | ' | ' | ' | ' | ' |
Effective income tax rate remainder of 2013 (as a percent) | ' | ' | 39.00% | 41.00% | ' | ' | ' | ' | ' | 39.00% | 41.00% | ' | ' | ' |
Amount of short term deferred liabilities reclassified to income taxes payable upon the consummation of the JV Sale Transaction | ' | ' | ' | ' | 162,800,000 | ' | ' | ' | ' | ' | ' | 162,800,000 | ' | ' |
Amount of income tax benefit associated with tax liability expected to be extinguished | ' | ' | ' | ' | ' | 131,500,000 | ' | ' | ' | ' | ' | ' | 131,500,000 | ' |
Short-term deferred Federal and State tax liability associated with sale transaction | ' | ' | ' | ' | ' | ' | $31,300,000 | ' | ' | ' | ' | ' | ' | $31,300,000 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 3 Months Ended | 3 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | |||||||||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Apr. 30, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Apr. 30, 2014 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 12, 2013 | Mar. 31, 2014 | Jul. 30, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |
Subsequent Event | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | Joint venture | Sale Transaction | Sale Transaction | Sale Transaction | Sale Transaction | Sale Transaction | Sale Transaction | Merger | Merger | Merger | Merger | Merger | Merger | ||||
claim | Subsequent Event | Incremental term loans, net of discount | LIN Television Corporation | Joint venture | Joint venture | Joint venture | Joint venture | Joint venture | Joint venture | Minimum | Maximum | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | ||||||||
lawsuit | lawsuit | Senior Secured Credit Facility | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | Minimum | Maximum | ||||||||||||
claim | Senior Secured Credit Facility | Incremental term loans, net of discount | ||||||||||||||||||||
Senior Secured Credit Facility | ||||||||||||||||||||||
Commitment and Contingencies | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital contribution in exchange of equity interest sold | $0 | $100,000,000 | ' | ' | $0 | $100,000,000 | ' | ' | ' | $100,000,000 | $100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional borrowings | ' | ' | ' | ' | ' | ' | ' | ' | 60,000,000 | ' | ' | ' | ' | ' | ' | 60,000,000 | ' | ' | ' | ' | ' | ' |
Amount of cash on hand and borrowings under the revolving credit facility utilized to fund the payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,000,000 | ' | ' | ' | ' | ' | ' | ' |
Accrued liability to secure the release of the guarantee and the related income tax consequences | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Short-term deferred Federal and State tax liability associated with sale transaction | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 162,800,000 | ' | ' | ' | ' | 31,300,000 | ' | ' | 31,300,000 | ' | ' |
Current tax liability associated with transaction extinguished | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 131,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current deferred tax liability associated with transaction | ' | ' | 31,300,000 | ' | ' | ' | 31,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected professional fees in the next twelve months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,500,000 | 5,500,000 | ' | 4,500,000 | 5,500,000 |
Advisory fee expected in the next twelve months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $22,000,000 | ' | ' | $22,000,000 | ' | ' |
Number of claims consolidated | ' | ' | ' | 2 | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of pending lawsuits | ' | ' | ' | 2 | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed_Consolidating_Financ2
Condensed Consolidating Financial Statements (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | LIN Media LLC | LIN Media LLC | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | LIN Television Corporation | Guarantor Subsidiaries | Guarantor Subsidiaries | Guarantor Subsidiaries | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating/Eliminating Adjustments | Consolidating/Eliminating Adjustments | Consolidating/Eliminating Adjustments | Consolidating/Eliminating Adjustments | ||||||
8.375% Senior Notes | 6.375% Senior Notes | |||||||||||||||||||||||||
Condensed consolidating financial statements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Percentage of ownership in subsidiaries | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.38% | 6.38% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | $20,887 | $12,525 | $23,500 | $46,307 | $979 | ' | $18,119 | $10,313 | $21,833 | $44,625 | ' | ' | $688 | $3 | $637 | $573 | $1,101 | $2,209 | $1,030 | $1,109 | ' | ' | $0 | $0 | ||
Accounts receivable, net | 138,517 | 145,309 | ' | ' | ' | ' | 77,731 | 88,905 | ' | ' | ' | ' | 41,988 | 39,416 | ' | ' | 18,798 | 16,988 | ' | ' | ' | ' | ' | ' | ||
Deferred income tax assets | 8,229 | 6,898 | ' | ' | ' | ' | 7,098 | 5,818 | ' | ' | ' | ' | 1,073 | 1,080 | ' | ' | 58 | ' | ' | ' | ' | ' | ' | ' | ||
Other current assets | 13,781 | 15,201 | ' | ' | ' | ' | 10,869 | 12,264 | ' | ' | ' | ' | 1,225 | 1,049 | ' | ' | 1,687 | 1,888 | ' | ' | ' | ' | ' | ' | ||
Total current assets | 181,414 | 179,933 | ' | ' | 979 | ' | 113,817 | 117,300 | ' | ' | ' | ' | 44,974 | 41,548 | ' | ' | 21,644 | 21,085 | ' | ' | ' | 0 | ' | ' | ||
Property and equipment, net | 223,186 | 221,078 | ' | ' | ' | ' | 183,831 | 180,480 | ' | ' | ' | ' | 34,770 | 35,752 | ' | ' | 4,585 | 4,846 | ' | ' | ' | ' | ' | ' | ||
Deferred financing costs | 15,647 | 16,448 | ' | ' | ' | ' | 15,562 | 16,357 | ' | ' | ' | ' | ' | ' | ' | ' | 85 | 91 | ' | ' | ' | ' | ' | ' | ||
Goodwill | 210,627 | 203,528 | ' | ' | ' | ' | 169,492 | 169,492 | ' | ' | ' | ' | 25,617 | 18,518 | ' | ' | 15,518 | 15,518 | ' | ' | ' | ' | ' | ' | ||
Broadcast licenses | 536,515 | 536,515 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 493,814 | 493,814 | ' | ' | 42,701 | 42,701 | ' | ' | ' | ' | ' | ' | ||
Other intangible assets, net | 53,655 | 47,049 | ' | ' | ' | ' | 27,728 | 31,303 | ' | ' | ' | ' | 12,759 | 1,840 | ' | ' | 13,168 | 13,906 | ' | ' | ' | ' | ' | ' | ||
Advances to consolidated subsidiaries | ' | ' | ' | ' | 2,002 | 1,900 | 11,525 | 7,764 | ' | ' | ' | ' | 967,068 | 968,728 | ' | ' | ' | ' | ' | ' | -980,595 | -978,392 | ' | ' | ||
Investment in consolidated subsidiaries | ' | ' | ' | ' | 99,240 | 87,227 | 1,547,069 | 1,534,600 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,646,309 | -1,621,827 | ' | ' | ||
Other assets | 16,191 | 12,299 | ' | ' | ' | ' | 56,197 | 52,778 | ' | ' | ' | ' | 2,875 | 2,688 | ' | ' | 1,562 | 1,276 | ' | ' | -44,443 | -44,443 | ' | ' | ||
Total assets | 1,237,235 | 1,216,850 | ' | ' | 102,221 | 89,127 | 2,125,221 | 2,110,074 | ' | ' | ' | ' | 1,581,877 | 1,562,888 | ' | ' | 99,263 | 99,423 | ' | ' | -2,671,347 | -2,644,662 | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Current portion of long-term debt | 18,925 | 17,364 | ' | ' | ' | ' | 17,680 | 16,112 | ' | ' | ' | ' | ' | ' | ' | ' | 1,245 | 1,252 | ' | ' | ' | ' | ' | ' | ||
Accounts payable | 15,263 | 14,002 | ' | ' | ' | ' | 4,687 | 4,185 | ' | ' | ' | ' | 6,770 | 5,339 | ' | ' | 3,806 | 4,478 | ' | ' | ' | ' | ' | ' | ||
Income taxes payable | 1,686 | 1,420 | ' | ' | ' | ' | 757 | 749 | ' | ' | ' | ' | 929 | 671 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Accrued expenses | 56,112 | 51,696 | ' | ' | ' | ' | 44,980 | 42,570 | ' | ' | ' | ' | 8,128 | 6,254 | ' | ' | 3,004 | 2,872 | ' | ' | ' | ' | ' | ' | ||
Program obligations | 7,030 | 7,027 | ' | ' | ' | ' | 4,805 | 4,711 | ' | ' | ' | ' | 984 | 1,013 | ' | ' | 1,241 | 1,303 | ' | ' | ' | ' | ' | ' | ||
Total current liabilities | 99,016 | 91,509 | ' | ' | ' | ' | 72,909 | 68,327 | ' | ' | ' | ' | 16,811 | 13,277 | ' | ' | 9,296 | 9,905 | ' | ' | ' | 0 | ' | ' | ||
Long-term debt, excluding current portion | 931,531 | 927,328 | ' | ' | ' | ' | 928,737 | 924,223 | ' | ' | ' | ' | ' | ' | ' | ' | 2,794 | 3,105 | ' | ' | ' | ' | ' | ' | ||
Deferred income tax liabilities | 58,815 | 64,686 | ' | ' | ' | ' | 23,758 | 30,013 | ' | ' | ' | ' | 34,501 | 33,824 | ' | ' | 556 | 849 | ' | ' | ' | ' | ' | ' | ||
Program obligations | 3,945 | 4,146 | ' | ' | ' | ' | 2,309 | 2,505 | ' | ' | ' | ' | 179 | 217 | ' | ' | 1,457 | 1,424 | ' | ' | ' | ' | ' | ' | ||
Intercompany liabilities | ' | 0 | ' | ' | ' | ' | 969,070 | 970,628 | ' | ' | ' | ' | ' | ' | ' | ' | 11,525 | 7,764 | ' | ' | -980,595 | -978,392 | ' | ' | ||
Other liabilities | 29,452 | 27,209 | ' | ' | ' | ' | 29,198 | 27,151 | ' | ' | ' | ' | 168 | 58 | ' | ' | 44,529 | 44,443 | ' | ' | -44,443 | -44,443 | ' | ' | ||
Total liabilities | 1,122,759 | [1] | 1,114,878 | [1] | ' | ' | 0 | 0 | 2,025,981 | 2,022,847 | ' | ' | ' | ' | 51,659 | 47,376 | ' | ' | 70,157 | 67,490 | ' | ' | -1,025,038 | -1,022,835 | ' | ' |
Redeemable noncontrolling interest | 9,820 | 12,845 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,820 | 12,845 | ' | ' | ' | ' | ' | ' | ||
Total stockholders' deficit | 102,221 | 89,127 | ' | ' | 102,221 | 89,127 | 99,240 | 87,227 | ' | ' | ' | ' | 1,530,218 | 1,515,512 | ' | ' | 16,851 | 19,088 | ' | ' | -1,646,309 | -1,621,827 | ' | ' | ||
Noncontrolling interest | 2,435 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,435 | ' | ' | ' | ' | ' | ' | ' | ||
Total equity | 104,656 | 89,127 | -89,740 | -91,564 | 102,221 | ' | 99,240 | ' | ' | ' | ' | ' | 1,530,218 | ' | ' | ' | 19,286 | ' | ' | ' | -1,646,309 | ' | ' | ' | ||
Total liabilities, redeemable noncontrolling interest and shareholders’ equity | $1,237,235 | $1,216,850 | ' | ' | $102,221 | $89,127 | $2,125,221 | $2,110,074 | ' | ' | ' | ' | $1,581,877 | $1,562,888 | ' | ' | $99,263 | $99,423 | ' | ' | ($2,671,347) | ($2,644,662) | ' | ' | ||
[1] | Our consolidated assets as of March 31, 2014 and December 31, 2013 include total assets of: $55,024 and $56,056, respectively, of variable interest entities (“VIEsâ€) that can only be used to settle the obligations of the VIEs. These assets include broadcast licenses and other intangible assets of: $44,118 and $44,677 and program rights of: $2,254 and $2,186 as of March 31, 2014 and December 31, 2013, respectively. Our consolidated liabilities as of March 31, 2014 and December 31, 2013 include $4,014 and $4,126, respectively, of total liabilities of the VIEs for which the VIEs’ creditors have no recourse to the Company, including $2,698 and $2,727, respectively, of program obligations. See further description in Note 1 — “Basis of Presentation and Summary of Significant Accounting Policies.†|
Condensed_Consolidating_Financ3
Condensed Consolidating Financial Statements (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Condensed consolidating financial statements | ' | ' |
Net revenues | $166,241 | $140,992 |
Operating expenses: | ' | ' |
Direct operating | 69,434 | 54,568 |
Selling, general and administrative | 44,940 | 37,298 |
Amortization of program rights | 6,593 | 7,785 |
Corporate | 12,541 | 10,271 |
Depreciation | 10,686 | 11,638 |
Amortization of intangible assets | 5,571 | 5,429 |
Restructuring charge | 0 | 2,132 |
Loss from asset dispositions | 94 | 95 |
Operating income | 16,382 | 11,776 |
Other expense (income): | ' | ' |
Interest expense, net | 14,209 | 13,871 |
Share of loss in equity investments | 75 | 0 |
Intercompany fees and expenses | 0 | ' |
Other, net | 18 | -24 |
Total other expense, net | 14,302 | 13,847 |
Income (loss) before provision for (benefit from) income taxes | 2,080 | -2,071 |
Provision for (benefit from) income taxes | 1,021 | -1,051 |
Net income (loss) | 1,059 | -1,020 |
Net income (loss) | 1,059 | -1,020 |
Net loss attributable to noncontrolling interests | -598 | -164 |
Net income (loss) attributable to reporting entity | 1,657 | -856 |
LIN Media LLC | ' | ' |
Operating expenses: | ' | ' |
Corporate | 352 | ' |
Operating income | -352 | ' |
Other expense (income): | ' | ' |
Intercompany fees and expenses | -270 | ' |
Total other expense, net | -270 | ' |
Income (loss) before provision for (benefit from) income taxes | -82 | ' |
Net income (loss) | -82 | ' |
Equity in income (loss) income from operations of consolidated subsidiaries | 1,739 | -856 |
Net income (loss) | 1,657 | -856 |
Net income (loss) attributable to reporting entity | 1,657 | -856 |
LIN Television Corporation | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net revenues | 102,502 | 97,648 |
Operating expenses: | ' | ' |
Direct operating | 38,723 | 35,350 |
Selling, general and administrative | 27,983 | 26,032 |
Amortization of program rights | 4,699 | 5,482 |
Corporate | 12,156 | 10,271 |
Depreciation | 8,720 | 9,515 |
Amortization of intangible assets | 3,574 | 4,461 |
Restructuring charge | 0 | 2,132 |
Loss from asset dispositions | -42 | 107 |
Operating income | 6,689 | 4,298 |
Other expense (income): | ' | ' |
Interest expense, net | 14,169 | 13,814 |
Share of loss in equity investments | 75 | ' |
Intercompany fees and expenses | 7,730 | 8,375 |
Other, net | 14 | -24 |
Total other expense, net | 21,988 | 22,165 |
Income (loss) before provision for (benefit from) income taxes | -15,299 | -17,867 |
Provision for (benefit from) income taxes | -6,779 | -7,463 |
Net income (loss) | -8,520 | -10,404 |
Equity in income (loss) income from operations of consolidated subsidiaries | 10,509 | 9,548 |
Net income (loss) | 1,989 | -856 |
Net income (loss) attributable to reporting entity | 1,989 | -856 |
Guarantor Subsidiaries | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net revenues | 50,854 | 38,984 |
Operating expenses: | ' | ' |
Direct operating | 22,168 | 17,237 |
Selling, general and administrative | 12,172 | 9,789 |
Amortization of program rights | 1,449 | 1,490 |
Corporate | 33 | ' |
Depreciation | 1,653 | 1,829 |
Amortization of intangible assets | 688 | 233 |
Loss from asset dispositions | 136 | -12 |
Operating income | 12,555 | 8,418 |
Other expense (income): | ' | ' |
Intercompany fees and expenses | -7,826 | -8,375 |
Other, net | 4 | ' |
Total other expense, net | -7,822 | -8,375 |
Income (loss) before provision for (benefit from) income taxes | 20,377 | 16,793 |
Provision for (benefit from) income taxes | 8,151 | 6,717 |
Net income (loss) | 12,226 | 10,076 |
Net income (loss) | 12,226 | 10,076 |
Net income (loss) attributable to reporting entity | 12,226 | 10,076 |
Non-Guarantor Subsidiaries | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net revenues | 17,325 | 6,431 |
Operating expenses: | ' | ' |
Direct operating | 11,367 | 3,038 |
Selling, general and administrative | 4,913 | 1,571 |
Amortization of program rights | 445 | 813 |
Depreciation | 313 | 294 |
Amortization of intangible assets | 1,309 | 735 |
Operating income | -1,022 | -20 |
Other expense (income): | ' | ' |
Interest expense, net | 40 | 108 |
Intercompany fees and expenses | 116 | ' |
Total other expense, net | 156 | 108 |
Income (loss) before provision for (benefit from) income taxes | -1,178 | -128 |
Provision for (benefit from) income taxes | -351 | -305 |
Net income (loss) | -827 | 177 |
Net income (loss) | -827 | 177 |
Net loss attributable to noncontrolling interests | -598 | -164 |
Net income (loss) attributable to reporting entity | -229 | 341 |
Consolidating/Eliminating Adjustments | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net revenues | -4,440 | -2,071 |
Operating expenses: | ' | ' |
Direct operating | -2,824 | -1,057 |
Selling, general and administrative | -128 | -94 |
Operating income | -1,488 | -920 |
Other expense (income): | ' | ' |
Interest expense, net | ' | -51 |
Intercompany fees and expenses | 250 | ' |
Total other expense, net | 250 | -51 |
Income (loss) before provision for (benefit from) income taxes | -1,738 | -869 |
Net income (loss) | -1,738 | -869 |
Equity in income (loss) income from operations of consolidated subsidiaries | -12,248 | -8,692 |
Net income (loss) | -13,986 | -9,561 |
Net income (loss) attributable to reporting entity | ($13,986) | ($9,561) |
Condensed_Consolidating_Financ4
Condensed Consolidating Financial Statements (Details 3) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Condensed consolidating financial statements | ' | ' |
Net income (loss) | $1,059 | ($1,020) |
Amortization of pension net losses, net of tax of $124 and $169 for the three months ended March, 31, 2014 and 2013, respectively, reclassified | 191 | 259 |
Comprehensive income (loss) | 1,250 | -761 |
Comprehensive loss attributable to noncontrolling interest | -598 | -164 |
Comprehensive income (loss) attributable to reporting entity | 1,848 | -597 |
Amortization of pension net losses, tax | 124 | 169 |
LIN Media LLC | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net income (loss) | 1,657 | -856 |
Amortization of pension net losses, net of tax of $124 and $169 for the three months ended March, 31, 2014 and 2013, respectively, reclassified | 191 | 259 |
Comprehensive income (loss) | 1,848 | -597 |
Comprehensive income (loss) attributable to reporting entity | 1,848 | -597 |
LIN Television Corporation | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net income (loss) | 1,989 | -856 |
Amortization of pension net losses, net of tax of $124 and $169 for the three months ended March, 31, 2014 and 2013, respectively, reclassified | 191 | 259 |
Comprehensive income (loss) | 2,180 | -597 |
Comprehensive income (loss) attributable to reporting entity | 2,180 | -597 |
Guarantor Subsidiaries | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net income (loss) | 12,226 | 10,076 |
Comprehensive income (loss) | 12,226 | 10,076 |
Comprehensive income (loss) attributable to reporting entity | 12,226 | 10,076 |
Non-Guarantor Subsidiaries | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net income (loss) | -827 | 177 |
Comprehensive income (loss) | -827 | 177 |
Comprehensive loss attributable to noncontrolling interest | -598 | -164 |
Comprehensive income (loss) attributable to reporting entity | -229 | 341 |
Consolidating/Eliminating Adjustments | ' | ' |
Condensed consolidating financial statements | ' | ' |
Net income (loss) | -13,986 | -9,561 |
Amortization of pension net losses, net of tax of $124 and $169 for the three months ended March, 31, 2014 and 2013, respectively, reclassified | -191 | -259 |
Comprehensive income (loss) | -14,177 | -9,820 |
Comprehensive income (loss) attributable to reporting entity | ($14,177) | ($9,820) |
Condensed_Consolidating_Financ5
Condensed Consolidating Financial Statements (Details 4) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
OPERATING ACTIVITIES: | ' | ' |
Net cash provided by operating activities | $36,783,000 | $21,832,000 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -5,609,000 | -6,798,000 |
Acquisition of broadcast towers | -7,257,000 | 0 |
Payments for business combinations, net of cash acquired | -22,346,000 | 0 |
Proceeds from the sale of assets | 45,000 | 13,000 |
Contributions to equity investments | -75,000 | 0 |
Receipt of dividend | 0 | ' |
Business Combination, Capital Contribution In Exchange Of Ownership Interest Sold | 0 | -100,000,000 |
Net cash used in investing activities | -35,242,000 | -106,785,000 |
FINANCING ACTIVITIES: | ' | ' |
Net proceeds on exercises of employee and director stock-based compensation | 1,163,000 | 501,000 |
Proceeds from borrowings on long-term debt | 40,000,000 | 85,000,000 |
Principal payments on long-term debt | -34,342,000 | -22,840,000 |
Payment of long-term debt issue costs | 0 | -515,000 |
Payment of dividend | 0 | 0 |
Proceeds from intercompany borrowings | 0 | ' |
Payments on intercompany borrowings | 0 | ' |
Net cash provided by (used in) financing activities | 6,821,000 | 62,146,000 |
Net increase (decrease) in cash and cash equivalents | 8,362,000 | -22,807,000 |
Cash and cash equivalents at the beginning of the period | 12,525,000 | 46,307,000 |
Cash and cash equivalents at the end of the period | 20,887,000 | 23,500,000 |
LIN Media LLC | ' | ' |
OPERATING ACTIVITIES: | ' | ' |
Net cash provided by operating activities | -184,000 | ' |
FINANCING ACTIVITIES: | ' | ' |
Net proceeds on exercises of employee and director stock-based compensation | 1,163,000 | ' |
Net cash provided by (used in) financing activities | 1,163,000 | ' |
Net increase (decrease) in cash and cash equivalents | 979,000 | ' |
Cash and cash equivalents at the end of the period | 979,000 | ' |
LIN Television Corporation | ' | ' |
OPERATING ACTIVITIES: | ' | ' |
Net cash provided by operating activities | 29,623,000 | 22,735,000 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -4,394,000 | -5,634,000 |
Acquisition of broadcast towers | -7,257,000 | ' |
Payments for business combinations, net of cash acquired | -22,346,000 | ' |
Proceeds from the sale of assets | 45,000 | ' |
Contributions to equity investments | -75,000 | ' |
Receipt of dividend | 19,503,000 | ' |
Advances on intercompany borrowings | -1,340,000 | -1,200,000 |
Payments from intercompany borrowings | ' | 9,919,000 |
Net cash used in investing activities | -15,864,000 | 3,085,000 |
FINANCING ACTIVITIES: | ' | ' |
Net proceeds on exercises of employee and director stock-based compensation | ' | 501,000 |
Proceeds from borrowings on long-term debt | 40,000,000 | 85,000,000 |
Principal payments on long-term debt | -34,024,000 | -22,465,000 |
Payment of long-term debt issue costs | ' | -521,000 |
Payment of dividend | -250,000 | ' |
Payments on intercompany borrowings | -11,679,000 | -111,127,000 |
Net cash provided by (used in) financing activities | -5,953,000 | -48,612,000 |
Net increase (decrease) in cash and cash equivalents | 7,806,000 | -22,792,000 |
Cash and cash equivalents at the beginning of the period | 10,313,000 | 44,625,000 |
Cash and cash equivalents at the end of the period | 18,119,000 | 21,833,000 |
Guarantor Subsidiaries | ' | ' |
OPERATING ACTIVITIES: | ' | ' |
Net cash provided by operating activities | 9,102,000 | 18,889,000 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -593,000 | -543,000 |
Proceeds from the sale of assets | ' | 13,000 |
Business Combination, Capital Contribution In Exchange Of Ownership Interest Sold | ' | -100,000,000 |
Payments from intercompany borrowings | 11,679,000 | 111,127,000 |
Net cash used in investing activities | 11,086,000 | 10,597,000 |
FINANCING ACTIVITIES: | ' | ' |
Payment of dividend | -19,503,000 | -19,503,000 |
Payments on intercompany borrowings | ' | -9,919,000 |
Net cash provided by (used in) financing activities | -19,503,000 | -29,422,000 |
Net increase (decrease) in cash and cash equivalents | 685,000 | 64,000 |
Cash and cash equivalents at the beginning of the period | 3,000 | 573,000 |
Cash and cash equivalents at the end of the period | 688,000 | 637,000 |
Non-Guarantor Subsidiaries | ' | ' |
OPERATING ACTIVITIES: | ' | ' |
Net cash provided by operating activities | -1,508,000 | -289,000 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -622,000 | -621,000 |
Net cash used in investing activities | -622,000 | -621,000 |
FINANCING ACTIVITIES: | ' | ' |
Principal payments on long-term debt | -318,000 | -375,000 |
Payment of long-term debt issue costs | ' | 6,000 |
Proceeds from intercompany borrowings | 1,340,000 | 1,200,000 |
Net cash provided by (used in) financing activities | 1,022,000 | 831,000 |
Net increase (decrease) in cash and cash equivalents | -1,108,000 | -79,000 |
Cash and cash equivalents at the beginning of the period | 2,209,000 | 1,109,000 |
Cash and cash equivalents at the end of the period | 1,101,000 | 1,030,000 |
Consolidating/Eliminating Adjustments | ' | ' |
OPERATING ACTIVITIES: | ' | ' |
Net cash provided by operating activities | -250,000 | -19,503,000 |
INVESTING ACTIVITIES: | ' | ' |
Receipt of dividend | -19,503,000 | ' |
Advances on intercompany borrowings | 1,340,000 | 1,200,000 |
Payments from intercompany borrowings | -11,679,000 | -121,046,000 |
Net cash used in investing activities | -29,842,000 | -119,846,000 |
FINANCING ACTIVITIES: | ' | ' |
Payment of dividend | 19,753,000 | 19,503,000 |
Proceeds from intercompany borrowings | -1,340,000 | -1,200,000 |
Payments on intercompany borrowings | 11,679,000 | 121,046,000 |
Net cash provided by (used in) financing activities | 30,092,000 | 139,349,000 |
Net increase (decrease) in cash and cash equivalents | ' | 0 |
Cash and cash equivalents at the beginning of the period | ' | 0 |
Cash and cash equivalents at the end of the period | ' | $0 |