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Long-Term Debt Schedule of Long-term Debt Instruments (Tables)
12 Months Ended
Dec. 31, 2014
Long-term Debt, Unclassified [Abstract]  
Schedule of Long-term Debt Instruments
at December 31, 2014 and 2013 consists of the following (in thousands):
 
 
2014
 
2013
(1)
Mortgage note payable, 5.56%, due June 5, 2015
$
30,508

 
$
31,235

(2)
Mortgage note payable, 5.39%, due November 1, 2015
4,960

 
5,274

(3)
Mortgage notes payable, 5.77%, due November 6, 2015
62,842

 
65,070

(4)
Mortgage notes payable, 5.84%, due March 6, 2016
35,515

 
36,724

(5)
Note payable, 2.50%, due April 21, 2016
1,850

 

(6)
Mortgage notes payable, 6.37%, due June 1, 2016
25,607

 
26,406

(7)
Mortgage notes payable, 6.10%, due October 1, 2016
23,000

 
23,719

(8)
Mortgage notes payable, 6.02%, due October 6, 2016
17,319

 
17,866

(9)
Mortgage note payable, 6.06%, due March 1, 2017
9,693

 
9,986

(10)
Mortgage note payable, 6.07%, due April 6, 2017
9,985

 
10,284

(11)
Mortgage notes payable, 5.73%-5.95%, due May 1, 2017
32,662

 
33,660

(12)
Mortgage notes payable, 4.00%, due July 6, 2017
97,248

 

(13)
Mortgage note payable, 5.29%, due July 8, 2017
3,604

 
3,746

(14)
Unsecured revolving variable rate credit facility, LIBOR + 1.40%, due July 23, 2017
62,000

 

(15)
Mortgage notes payable, 5.86% due August 1, 2017
23,681

 
24,387

(16)
Mortgage note payable, 6.19%, due February 1, 2018
13,849

 
14,486

(17)
Mortgage note payable, 7.37%, due July 15, 2018
6,205

 
7,498

(18)
Unsecured term loan payable, LIBOR + 1.60%, $240,000 fixed through interest rate swaps at 2.51% through January 5, 2016 and 2.38% from January 5, 2016 to July 5, 2017, due July 23, 2018
285,000

 
265,000

(19)
Senior unsecured notes payable, 7.75%, due July 15, 2020
250,000

 
250,000

(20)
Senior unsecured notes payable, 5.75%, due August 15, 2022
350,000

 
350,000

(21)
Senior unsecured notes payable, 5.25%, due July 15, 2023
275,000

 
275,000

(22)
Bonds payable, variable rate, due October 1, 2037
24,995

 
24,995

 
Total
$
1,645,523

 
$
1,475,336

 
(1) The Company’s mortgage note payable is secured by one entertainment retail center, which had a net book value of approximately $48.6 million at December 31, 2014. The note had an initial balance of $36.0 million and the monthly payments are based on a 30 year amortization schedule. The note requires monthly principal and interest payments of approximately $206 thousand with a final principal payment at maturity of approximately $30.1 million.

(2) On September 25, 2013, the Company assumed a mortgage note payable of $5.4 million in conjunction with the acquisition of a theatre property, which had a net book value of $10.9 million at December 31, 2014 . The note requires monthly principal and interest payments of approximately $50 thousand with a final principal payment at maturity of $4.7 million. Upon acquisition, the carrying value of the note approximated fair value.

(3) The Company’s mortgage notes payable are secured by six theatre properties, which had a net book value of approximately $74.5 million at December 31, 2014. The notes had initial balances totaling $79.0 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $498 thousand with a final principal payment at maturity totaling approximately $60.7 million.

(4) The Company’s mortgage notes payable are secured by two theatre properties, which had a net book value of approximately $31.4 million at December 31, 2014. The notes had initial balances totaling $44.0 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $279 thousand with a final principal payment at maturity totaling approximately $33.9 million.

(5) On April 21, 2014, the Company assumed a note payable in conjunction with the acquisition of 11 theatre properties. The carrying value of the note approximated fair value on the date of acquisition. The note requires quarterly interest payments of approximately $12 thousand with principal payment due at maturity.

(6) The Company’s mortgage notes payable are secured by two theatre properties, which had a net book value of approximately $31.1 million at December 31, 2014. The notes had initial balances totaling $31.0 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $207 thousand with a final principal payment at maturity totaling approximately $24.4 million.

(7) The Company’s mortgage notes payable are secured by four theatre properties, which had a net book value of approximately $26.2 million at December 31, 2014. The notes had initial balances totaling $27.8 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $180 thousand with a final principal payment at maturity totaling approximately $21.6 million.

(8) The Company’s mortgage notes payable are secured by three theatre properties, which had a net book value of approximately $18.8 million at December 31, 2014. The notes had initial balances totaling $20.9 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $135 thousand with a final principal payment at maturity totaling approximately $16.2 million.
(9) The Company’s mortgage note payable is secured by one theatre property, which had a net book value of approximately $9.2 million at December 31, 2014. The note had an initial balance of $11.6 million and the monthly payments are based on a 25 year amortization schedule. The note requires monthly principal and interest payments of approximately $75 thousand with a final principal payment at maturity of approximately $9.0 million.

(10) The Company’s mortgage note payable is secured by one theatre property, which had a net book value of approximately $8.6 million at December 31, 2014. The note had an initial balance of $11.9 million and the monthly payments are based on a 30 year amortization schedule. The note requires monthly principal and interest payments of approximately $77 thousand with a final principal payment at maturity of approximately $9.2 million.

(11) The Company’s mortgage notes payable are secured by four theatre properties, which had a net book value of approximately $29.9 million at December 31, 2014. The notes had initial balances totaling $38.9 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $247 thousand with a final principal payment at maturity totaling approximately $30.0 million. The weighted average interest rate on these notes is 5.85%.

(12) On April 21, 2014, the Company assumed a mortgage note payable of $90.3 million in conjunction with the acquisition of 11 theatre properties. The mortgage note was recorded at fair value upon acquisition which was estimated to be $99.6 million. The fair value of this mortgage note was determined by discounting the future cash flows of the mortgage note using an estimated current market rate of 4.00%. The mortgage note is secured by 11 theatre properties, which had a net book value of approximately $121.8 million at December 31, 2014. The monthly payments are based on a 10 year amortization schedule and the mortgage note requires monthly principal and interest payments of approximately $635 thousand with a final principal payment at maturity of approximately $85.1 million.

(13) On March 3, 2011, the Company assumed a mortgage note payable of $3.8 million in conjunction with the acquisition of a theatre property. The note was recorded at fair value upon acquisition which was estimated to be $4.1 million. The fair value of the note was determined by discounting the future cash flows of the note using an estimated current market rate of 5.29%. The note is secured by one theatre property, which had a net book value of approximately $8.3 million at December 31, 2014. The monthly payments are based on a 25 year amortization schedule and the note requires monthly principal and interest payments of approximately $28 thousand with a final principal payment at maturity of approximately $3.2 million.

(14) The Company's unsecured revolving credit facility (the facility) bears interest at LIBOR plus 1.40%, which was 1.56% on December 31, 2014. Interest is payable monthly. On March 26, 2014, the Company increased the size of this facility from $475.0 million to $535.0 million. The facility contains an accordion feature such that the maximum borrowing amount available under the facility can be increased to $600.0 million. As of December 31, 2014, the Company had $62.0 million outstanding under the facility and the total availability under the revolving credit facility was $473.0 million.

(15) The Company’s mortgage notes payable due August 1, 2017 are secured by two theatre properties, which had a net book value of approximately $26.2 million at December 31, 2014. The notes had initial balances totaling $28.0 million and the monthly payments are based on a 25 year amortization schedule. The notes require monthly principal and interest payments totaling approximately $178 thousand with a final principal payment at maturity totaling approximately $21.7 million.

(16) The Company’s mortgage note payable due February 1, 2018 is secured by one theatre property which had a net book value of approximately $19.6 million at December 31, 2014. The mortgage loan had an initial balance of $17.5 million and the monthly payments are based on a 20 year amortization schedule. The note requires monthly principal and interest payments of approximately $127 thousand with a final principal payment at maturity of approximately $11.6 million.

(17) The Company’s mortgage note payable due July 15, 2018 is secured by one theatre property, which had a net book value of approximately $17.5 million at December 31, 2014. The note had an initial balance of $18.9 million and the monthly payments are based on a 20 year amortization schedule. The notes require monthly principal and interest payments of approximately $151 thousand with a final principal payment at maturity of approximately $843 thousand.

(18) The Company's unsecured term loan payable bears interest at LIBOR plus 1.60%, which was 1.77% on December 31, 2014. Interest is payable monthly. On March 26, 2014, the Company increased the size of this facility from $265.0 million to $275.0 million. On September 19, 2014, the Company further increased the size of this facility to $285.0 million.
   
(19) On June 30, 2010, the Company issued $250.0 million in senior unsecured notes due on July 15, 2020. The notes bear interest at 7.75%. Interest is payable on July 15 and January 15 of each year beginning on January 15, 2011 until the stated maturity date of July 15, 2020. The notes were issued at 98.29% of their principal amount and are guaranteed by certain of the Company’s subsidiaries. The notes contain various covenants, including: (i) a limitation on incurrence of any debt that would cause the ratio of the Company’s debt to adjusted total assets to exceed 60%; (ii) a limitation on incurrence of any secured debt which would cause the ratio of the Company’s secured debt to adjusted total assets to exceed 40%; (iii) a limitation on incurrence of any debt which would cause the Company’s debt service coverage ratio to be less than 1.5 times; and (iv) the maintenance at all times of total unencumbered assets not less than 150% of the Company’s outstanding unsecured debt.

(20) On August 8, 2012, the Company issued $350.0 million in senior unsecured notes due on August 15, 2022. The notes bear interest at 5.75%. Interest is payable on February 15 and August 15 of each year beginning on February 15, 2013 until the stated maturity date of August 15, 2022. The notes were issued at 99.998% of their principal amount and are guaranteed by certain of the Company’s subsidiaries. The notes contain various covenants, including: (i) a limitation on incurrence of any debt that would cause the ratio of the Company’s debt to adjusted total assets to exceed 60%; (ii) a limitation on incurrence of any secured debt which would cause the ratio of the Company’s secured debt to adjusted total assets to exceed 40%; (iii) a limitation on incurrence of any debt which would cause the Company’s debt service coverage ratio to be less than 1.5 times; and (iv) the maintenance at all times of total unencumbered assets not less than 150% of the Company’s outstanding unsecured debt.

(21) On June 18, 2013, the Company issued $275.0 million in senior unsecured notes due on July 15, 2023. The notes bear interest at 5.25%. Interest is payable on January 15 and July 15 of each year beginning on January 15, 2014 until the stated maturity date of July 15, 2023. The notes were issued at 99.546% of their principal amount and are guaranteed by certain of the Company’s subsidiaries. The notes contain various covenants, including: (i) a limitation on incurrence of any debt that would cause the ratio of the Company’s debt to adjusted total assets to exceed 60%; (ii) a limitation on incurrence of any secured debt which would cause the ratio of the Company’s secured debt to adjusted total assets to exceed 40%; (iii) a limitation on incurrence of any debt which would cause the Company’s debt service coverage ratio to be less than 1.5 times and (iv) the maintenance at all times of the Company's total unencumbered assets such that they are not less than 150% of the Company’s outstanding unsecured debt.

(22) The Company’s bonds payable due October 1, 2037 are secured by three theatres, which had a net book value of approximately $23.1 million at December 31, 2014, and bear interest at a variable rate which resets on a weekly basis and was 0.03% at December 31, 2014. The bonds requires monthly interest only payments with principal due at maturity.

Schedule of Maturities of Long-term Debt

Principal payments due on long-term debt obligations subsequent to December 31, 2014 (without consideration of any extensions) are as follows (in thousands):
 
Amount
Year:

2015
$
110,081

2016
109,747

2017
227,319

2018
298,381

2019

Thereafter
899,995

Total
$
1,645,523

Interest Expense, Net
The following is a summary of interest expense, net for the years ended December 31, 2014, 2013 and 2012 (in thousands):
 
2014
 
2013
 
2012
Interest on loans
$
82,839

 
$
78,292

 
$
71,849

Amortization of deferred financing costs
4,248

 
4,041

 
4,218

Credit facility and letter of credit fees
1,735

 
1,510

 
1,515

Interest cost capitalized
(7,525
)
 
(2,763
)
 
(859
)
Interest income
(27
)
 
(53
)
 
(79
)
Less: interest income of discontinued operations

 
29

 
12

Interest expense, net
$
81,270

 
$
81,056

 
$
76,656