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NEW ACCOUNTING PRONOUNCEMENTS (Tables)
 9 Months Ended
Sep. 30, 2018
Accounting Changes and Error Corrections [Abstract]  
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]

The Company recorded a net reduction to opening retained earnings of $10.0 million, net of tax, as of January 1, 2018 due to the cumulative impact of adopting ASC 606, summarized as follows (in thousands): 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31,

 

Adjustments Due to

 

January 1,

 

 

 

2017

 

ASU 2014-09

 

2018

 

Balance Sheet

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

Prepaids and other current assets

 

$

63,668

 

$

10,797

 

$

74,465

 

Deferred tax assets

 

 

12,012

 

 

4,006

 

 

16,018

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

Deferred revenue

 

$

21,628

 

 

24,785

 

 

46,413

 

 

 

 

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

 

 

Retained earnings

 

$

721,664

 

$

(9,982)

 

$

711,682

 

 

The ASC 606 adjustments pertain to the timing of revenue recognition associated with upfront training fees on certain contracts. Revenues and associated costs for reporting periods beginning after January 1, 2018 are recognized and presented in compliance with the provisions of ASC 606. Consistent with the modified retrospective method of adoption, the Company has not adjusted prior period amounts which continue to be reported in accordance with the Company’s historic revenue accounting policy and principles.

In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company’s consolidated income statement and balance sheet was as follows (in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended  September 30, 2018

 

 

    

 

    

Balances

    

 

 

 

 

 

 

Without

 

 

 

 

 

 

 

Adoption of

 

Effect of Change

 

 

 

As reported

 

ASC 606

 

Higher/(Lower)

 

Statements of Comprehensive Income

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

364,936

 

$

375,053

 

$

(10,117)

 

Cost of services

 

 

286,925

 

 

292,980

 

 

(6,055)

 

Provision for income taxes

 

 

1,893

 

 

3,030

 

 

(1,137)

 

Net income

 

$

6,744

 

$

9,668

 

$

(2,924)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended  September 30, 2018

 

 

    

 

    

Balances

    

 

 

 

 

 

 

Without

 

 

 

 

 

 

 

Adoption of

 

Effect of Change

 

 

 

As reported

 

ASC 606

 

Higher/(Lower)

 

Statements of Comprehensive Income

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

1,090,038

 

$

1,085,251

 

$

4,787

 

Cost of services

 

 

844,555

 

 

843,623

 

 

932

 

Provision for income taxes

 

 

4,648

 

 

3,569

 

 

1,079

 

Net income

 

$

18,973

 

$

16,198

 

$

2,775

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of September 30, 2018

 

 

    

 

    

Balances

    

 

 

 

 

 

 

Without

 

 

 

 

 

 

 

Adoption of

 

Effect of Change

 

 

 

As reported

 

ASC 606

 

Higher/(Lower)

 

Balance Sheet

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

Prepaids and other current assets

 

$

86,054

 

$

76,190

 

$

9,864

 

Deferred tax assets

 

 

22,335

 

 

19,432

 

 

2,903

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

Deferred revenue

 

$

33,555

 

$

13,555

 

$

20,000

 

 

 

 

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

 

 

Retained earnings

 

$

705,218

 

$

716,433

 

$

(11,215)