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Property and Equipment (Tables)
3 Months Ended
Mar. 31, 2019
Property and Equipment.  
Schedule of property and equipment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciable

 

As of

 

 

Life

 

March 31,

 

December 31,

 

    

(In Years)

    

2019

    

2018

 

 

 

 

 

 

(In thousands)

Equipment leased to customers

 

 2

-

5

 

$

1,940,528

 

$

2,016,965

EchoStar XV

 

 

15

 

 

 

277,658

 

 

277,658

EchoStar XVIII

 

 

15

 

 

 

411,255

 

 

411,255

D1

 

 

N/A

 

 

 

55,000

 

 

55,000

T1 (1)

 

 

14

 

 

 

66,071

 

 

100,000

Satellites acquired under finance lease agreements (2)

 

10

-

15

 

 

223,423

 

 

499,819

Furniture, fixtures, equipment and other

 

 2

-

10

 

 

1,910,150

 

 

1,923,585

Buildings and improvements

 

 4

-

40

 

 

285,321

 

 

290,650

Land

 

 

 —

 

 

 

13,186

 

 

13,186

Construction in progress

 

 

 —

 

 

 

126,186

 

 

100,560

Total property and equipment

 

 

 

 

 

 

5,308,778

 

 

5,688,678

Accumulated depreciation

 

 

 

 

 

 

(3,445,611)

 

 

(3,760,498)

Property and equipment, net

 

 

 

 

 

$

1,863,167

 

$

1,928,180

 

 

 

 

 

 

 

 

 

 

 

(1)

See Note 5 for further information on the transaction with TSI. 

(2)

The Ciel II satellite was previously classified as a finance lease, however, as a result of an amendment, which was effective during the first quarter 2019, Ciel II is now accounted for as an operating lease.

 

Schedule of depreciation and amortization expense

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended 

 

 

 

March 31,

 

 

    

2019

    

2018

 

 

 

(In thousands)

 

Equipment leased to customers

 

$

109,154

 

$

110,521

 

Satellites

 

 

20,479

 

 

25,086

 

Buildings, furniture, fixtures, equipment and other

 

 

23,506

 

 

57,365

 

Total depreciation and amortization

 

$

153,139

 

$

192,972

 

 

 

 

 

 

 

 

 

 

Schedule of pay-TV satellite fleet

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Estimated

 

 

 

 

 

 

 Useful Life

 

 

 

 

Degree

 

(Years)/Lease

 

 

Launch

 

Orbital

 

Termination 

Satellites

    

Date

    

Location

    

Date

Owned:

 

 

 

 

 

 

EchoStar XV

 

July 2010

 

61.5

 

15

EchoStar XVIII

 

June 2016

 

61.5

 

15

 

 

 

 

 

 

 

Leased from EchoStar (1):

 

 

 

 

 

 

EchoStar IX

 

August 2003

 

121

 

Month to month

EchoStar X (2)

 

February 2006

 

110

 

February 2021

EchoStar XI (2)

 

July 2008

 

110

 

September 2021

EchoStar XIV (2)

 

March 2010

 

119

 

February 2023

EchoStar XVI (3)

 

November 2012

 

61.5

 

January 2023

Nimiq 5

 

September 2009

 

72.7

 

September 2019

QuetzSat-1

 

September 2011

 

77

 

November 2021

 

 

 

 

 

 

 

Leased from Other Third Party:

 

 

 

 

 

 

Anik F3

 

April 2007

 

118.7

 

April 2022

Ciel II (4)

 

December 2008

 

129

 

January 2020

 

 

 

 

 

 

 

(1)

See Note 13 for further information on our Related Party Transactions with EchoStar.

(2)

We generally have the option to renew each lease on a year-to-year basis through the end of the useful life of the respective satellite.    

(3)

We have the option to renew this lease for an additional five-year period. 

(4)

During the fourth quarter 2018, we amended this lease.