Form 10-K

Amortization of intangibles

4,507

9,405

12,345

13,939

15,929

15,864

Impairment of intangibles and goodwill

103,499

11,013

Total operating expenses

164,654

94,250

70,989

Operating loss

(121,135)

(51,716)

(57,861)

Interest income

156

131

Interest expense

(53)

(193)

(195)

Gain on contingencies

6,095

Other expense

(14)

(16)

(55)

Loss before income taxes

(114,951)

(51,831)

(57,980)

Income tax expense

(2,631)

(6,303)

Net loss

(117,582)

(58,134)

(57,980)

Net loss attributable to noncontrolling interests

(7,902)

(7,132)

(2,918)

Net loss attributable to Pendrell

$ (109,680)

$ (51,002)

$ (55,062)

Basic and diluted loss per share attributable to Pendrell

$ (0.41)

$ (0.19)

$ (0.21)

Weighted average shares outstanding used to compute basic and diluted loss per share

^[1]

265,707,324

264,407,498

262,119,403

[1]	Stock options, stock appreciation rights, restricted stock awards and units totaling 27,847,870, 28,113,540 and 34,408,579 for the years ended December 31, 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted loss per share as their inclusion was anti-dilutive.

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Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands	Total	Class A common stock	Class B common stock	Common stock	Common stock Class A common stock	Common stock Class B common stock	Additional paid-in capital	Accumulated deficit	Shareholder's equity	Noncontrolling interests
Beginning Balance at Dec. 31, 2012	$ 375,860			$ 2,655			$ 1,929,526	$ (1,563,999)	$ 368,182	$ 7,678
Beginning Balance (in shares) at Dec. 31, 2012					211,682,074	53,660,000
Vesting of Class A common stock issued for Ovidian Acquisition	1,743						1,743		1,743
Issuance of Class A common stock from exercise of stock options	$ 186			2			184		186
Issuance of Class A common stock from exercise of stock options (in shares)	165,312				165,312
Class A common stock withheld at vesting to cover statutory tax obligations	$ (2,660)			(6)			(1,722)	(932)	(2,660)
Class A common stock withheld at vesting to cover statutory tax obligations (in shares)					(567,728)
Stock-based compensation and issuance of restricted stock, net of forfeitures	12,099			12			12,087		12,099
Stock-based compensation and issuance of restricted stock, net of forfeitures (in shares)					1,171,566
Noncontrolling interest in Provitro	7,545									7,545
Net loss	(57,980)							(55,062)	(55,062)	(2,918)
Ending Balance at Dec. 31, 2013	336,793			2,663			1,941,818	(1,619,993)	324,488	12,305
Ending Balance (in shares) at Dec. 31, 2013					212,451,224	53,660,000
Vesting of Class A common stock issued for Ovidian Acquisition	2,229						2,229		2,229
Issuance of Class A common stock from exercise of stock options	$ 429			5			424		429
Issuance of Class A common stock from exercise of stock options (in shares)	992,499				514,938
Class A common stock withheld at vesting to cover statutory tax obligations	$ (775)			(2)			(633)	(140)	(775)
Class A common stock withheld at vesting to cover statutory tax obligations (in shares)					(161,823)
Stock-based compensation and issuance of restricted stock, net of forfeitures	9,045			3			9,042		9,045
Stock-based compensation and issuance of restricted stock, net of forfeitures (in shares)					172,150
Net loss	(58,134)							(51,002)	(51,002)	(7,132)
Ending Balance at Dec. 31, 2014	289,587			2,669			1,952,880	(1,671,135)	284,414	5,173
Ending Balance (in shares) at Dec. 31, 2014		212,976,489	53,660,000		212,976,489	53,660,000
Issuance of Class A common stock from exercise of stock options	$ 219			4			215		219
Issuance of Class A common stock from exercise of stock options (in shares)	1,045,000				358,350
Class A common stock withheld at vesting to cover statutory tax obligations	$ (140)			(1)			(131)	(8)	(140)
Class A common stock withheld at vesting to cover statutory tax obligations (in shares)					(38,813)
Stock-based compensation and issuance of restricted stock, net of forfeitures	4,705			12			4,693		4,705
Stock-based compensation and issuance of restricted stock, net of forfeitures (in shares)					1,156,689
Repurchase of restricted stock	(2)			(2)					(2)
Repurchase of restricted stock (in shares)					(250,000)
Shares received through divesture of Ovidian	(46)			(1)			(45)		(46)
Shares received through divesture of Ovidian (in shares)					(92,500)
Purchase of noncontrolling interest in Provitro Biosciences LLC	(400)						764		764	(1,164)
Net loss	(117,582)							(109,680)	(109,680)	(7,902)
Ending Balance at Dec. 31, 2015	$ 176,341			$ 2,681			$ 1,958,376	$ (1,780,823)	$ 180,234	$ (3,893)
Ending Balance (in shares) at Dec. 31, 2015		214,110,215	53,660,000		214,110,215	53,660,000

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Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Operating activities:
Net loss including noncontrolling interest	$ (117,582)	$ (58,134)	$ (57,980)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation	4,507	9,405	12,345
Amortization of prepaid compensation from Ovidian acquisition		1,380	2,763
Amortization of intangible assets	13,939	15,929	15,864
Impairment of intangible assets and goodwill	103,499	11,013	0
Depreciation	351	523	472
Non-cash cost of patents monetized	138	794	252
Loss associated with the abandonment and/or disposition of patents	958	2,765	46
Loss on the disposition of property	1,015
Other	3	222	198
Other changes in certain assets and liabilities, net of acquisitions:
Accounts receivable	44	271	8,128
Other receivables	(12)	(31)	818
Prepaid expenses and other current/non-current assets	(1,096)	969	(239)
Accounts payable	(141)	115	(409)
Accrued expenses and other current/non-current liabilities	(5,670)	1,470	2,591
Net cash used in operating activities	(47)	(13,309)	(15,151)
Investing activities:
Purchases of property and intangible assets	(2,077)	(119)	(2,356)
Proceeds associated with disposition of property	109
Acquisition of controlling interest in Provitro, net of cash acquired			(9,204)
Net cash used in investing activities	(1,968)	(119)	(11,560)
Financing activities:
Proceeds from exercise of stock options	219	429	185
Payment of statutory taxes for stock awards	(140)	(775)	(2,660)
Payment of accrued obligations for purchased intangible assets	(4,000)	(2,000)
Purchase of noncontrolling interest in Provitro Biosciences LLC	(400)
Net cash used in financing activities	(4,321)	(2,346)	(2,475)
Net decrease in cash and cash equivalents	(6,336)	(15,774)	(29,186)
Cash and cash equivalents-beginning of period	168,793	184,567	213,753
Cash and cash equivalents-end of period	162,457	168,793	184,567
Supplemental disclosures:
Income taxes paid	4,125	$ 6,272
Income taxes received			751
Supplemental disclosure of non-cash investing and financing activities:
Accrued obligations for purchases of property and intangible assets			$ 5,573
Note receivable for disposition of property	$ 1,900

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Organization and Business	12 Months Ended
Organization and Business	Dec. 31, 2015
Accounting Policies [Abstract]
Organization and Business	1. Organization and Business *Overview—*These consolidated financial statements include the accounts of Pendrell Corporation (“Pendrell”) and its consolidated subsidiaries (collectively referred to as the “Company”). Since 2011, the Company’s strategy, through its consolidated subsidiaries, has been to invest in, acquire and develop businesses with unique technologies that are often protected by intellectual property (“IP”) rights, and that present the opportunity to address large, global markets. The Company’s subsidiaries focus on licensing the IP rights they hold to third parties and pursuing relevant product opportunities. The Company regularly evaluates its existing investments to determine whether retention or disposition is appropriate, and investigates new investment and business acquisition opportunities. Since 2011, the Company has also advised its clients on various IP strategies and transactions. However, on December 31, 2015, the Company sold its consulting business, Ovidian Group LLC, for 92,500 shares of its Class A common stock and nominal cash consideration. The Company was formed in 2000 to operate a next generation global mobile satellite communications system. The Company began its exit from the satellite business in 2011 with the sale of its interests in DBSD North America, Inc. and its subsidiaries (collectively referred to as “DBSD”) to DISH Network Corporation (“DISH Network”). During 2012, the Company completed its exit with (i) the sale of its medium earth orbit (“MEO”) satellite assets (“MEO Assets”) that had been in storage for nominal consideration, (ii) the transfer of its in-orbit MEO satellite (“F2”) to a new operator who assumed responsibility for all F2 operating costs effective April 1, 2012 and (iii) the deconsolidation of its MEO-related international subsidiaries (“International Subsidiaries”).

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Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2015

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2. Summary of Significant Accounting Policies

Principles of Consolidation and Basis of Presentation—The consolidated financial statements of the Company include the assets and liabilities of its wholly-owned subsidiaries and subsidiaries it controls or in which it has a controlling financial interest. Noncontrolling interests on the consolidated balance sheets include third-party investments in entities that the Company consolidates, but does not wholly own. Noncontrolling interests are classified as part of equity and the Company allocates net income (loss), other comprehensive income (loss) and other equity transactions to its noncontrolling interests in accordance with their applicable ownership percentages. All intercompany transactions and balances have been eliminated in consolidation. All information in these financial statements is in U.S. dollars. These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”).

In February 2015, the Company acquired the minority partner’s interest in Provitro Biosciences LLC (“Provitro”) for nominal consideration resulting in 100% ownership of Provitro. The Company continues to have a minority partner in its ContentGuard Holdings, Inc. (“ContentGuard”) subsidiary.

Segment Information—The Company operates in and reports on one segment (IP management). Operating segments are based upon the Company’s internal organization structure, the manner in which its operations are managed, and the criteria used by its Chief Operating Decision Maker. Substantially all of the Company’s revenue is generated by operations located within the United States, and the Company does not have any long-lived assets located in foreign countries.

Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates.

On an ongoing basis, the Company evaluates its estimates, including among others, those related to the fair value of acquired intangible assets and goodwill, the useful lives and potential impairment of intangible assets and property and equipment, the value of stock awards for the purpose of determining stock-based compensation expense, accrued liabilities (including bonus accruals), valuation allowances related to the ability to realize deferred tax assets, allowances for doubtful receivables and certain tax liabilities. Estimates are based on historical experience and other factors, including the current economic environment as deemed appropriate under the circumstances. Estimates and assumptions are adjusted when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. Any changes in estimates used to prepare these financial statements will be reflected in the financial statements in future periods.

Cash and Cash Equivalents—Cash and cash equivalents are defined as short-term, highly liquid investments with original maturities from the date of purchase of 90 days or less. Cash and cash equivalents are comprised of the following (in thousands):


	December 31,
	2015		2014
Cash	$	26,951	$	18,403
Money market funds		135,506		150,390

	$	162,457	$	168,793

The fair value of money market funds at December 31, 2015 and 2014 was classified as Level 1 in the hierarchy established by the Financial Accounting Standards Board (“FASB”) as amounts were based on quoted prices available in active markets for identical investments as of the reporting date.

Accounts Receivable—Accounts receivable consists of amounts billed to customers under licensing arrangements, patent sales arrangements or consulting services. For the periods ended December 31, 2015 and December 31, 2014, the Company did not incur any losses on its accounts receivable. Based upon historical collections experience and specific client information, the Company has determined that an allowance for doubtful accounts was not required at either December 31, 2015 or December 31, 2014. Carrying amounts of such receivables approximate their fair value due to their short-term nature.

Prepaid Expenses and Other Current Assets—As of December 31, 2015 and 2014 prepaid expenses and other current assets consisted primarily of insurance prepayments and prepayments related to rent and security deposits associated with certain of the Company’s leased facilities.

Property in Service—Property in service consists primarily of computer equipment, software, furniture and fixtures and leasehold improvements. Property in service is recorded at cost, net of accumulated depreciation, and is depreciated using the straight-line method. Computer equipment and furniture and fixtures are depreciated over their estimated useful lives ranging from three to five years. Software is depreciated over the shorter of its contractual license period or three years. Leasehold improvements are amortized over the shorter of their estimated useful lives or the term of the respective lease. Significant additions and improvements to property in service are capitalized. Repair and maintenance costs are expensed as incurred.

Business Combinations—The Company accounts for business combinations using the acquisition method and, accordingly, the identifiable assets acquired and liabilities assumed are recorded at their acquisition date fair values. This valuation requires management to make significant estimates and assumptions, especially with respect to intangible assets. Valuation methodologies may include the cost, market or income approach. Critical estimates in valuing intangible assets include but are not limited to estimates about: future expected cash flows from customers, proprietary technology, the acquired company’s brand awareness and market position and discount rates. The estimates are based upon assumptions the Company believes to be reasonable, but which are inherently uncertain and unpredictable. Goodwill is calculated as the excess of the purchase price over the fair value of net assets, including the amount assigned to identifiable intangible assets. Subsequent changes to assets, liabilities, valuation allowance or uncertain tax positions that relate to the acquired company and existed at the acquisition date that occur both within the measurement period and as a result of new information about facts and circumstances that existed at the acquisition date are recognized as an adjustment to goodwill. Acquisition-related costs, including advisory, legal, accounting, valuation and other costs, are expensed in the periods in which the costs are incurred. The results of operations of acquired businesses are included in the consolidated financial statements from the acquisition date.

Intangible Assets and Goodwill—The Company amortizes finite-lived intangible assets, including patents, acquired in purchase transactions over their expected useful lives. The Company assigns goodwill and indefinite-lived intangible assets to its reporting units based on the expected benefit from the synergies arising from each business combination.

The Company evaluates finite-lived intangible assets when events or circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. These events or circumstances could include: a significant change in the business climate, legal factors, operating performance indicators, or changes in technology or customer requirements. Recoverability of an asset or asset group is measured by a comparison of the carrying amount to the future undiscounted net cash flows expected to be generated by the asset or asset group over its life. This comparison requires management to make judgments regarding estimated future cash flows. The Company’s ability to realize the estimated future cash flows may be affected by factors such as changes in operating performance, changes in business strategy, invalidation of patents, unfavorable judgments in legal proceedings and changes in economic conditions. If the Company’s estimates of the undiscounted cash flows do not equal or exceed the carrying value of the asset or asset group, an impairment charge equal to the amount by which the recorded value of the asset or asset group exceeds its fair value is recognized.

The Company evaluates goodwill for impairment on an annual basis during the fourth quarter, or more frequently if circumstances indicate that the carrying value of a Company reporting unit may exceed its fair value. When evaluating goodwill and indefinite-lived intangible assets for impairment, the Company first performs a qualitative assessment to determine if fair value of the reporting unit is more likely than not greater than the carrying amount. If this assessment indicates that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company further evaluates the estimated fair value of the reporting unit through the use of discounted cash flow models, which requires management to make significant judgments as to the estimated future cash flows utilized. The Company’s ability to realize the future cash flows utilized in its fair value calculations may be affected by factors such as changes in its operating performance, changes in its business strategy, invalidation of its patents, unfavorable judgments in legal proceedings and changes in economic conditions. The results of the models are compared to the carrying amount of the reporting unit. If such comparison indicates that the fair value of the reporting unit is lower than the carrying amount, impairment would exist and the impairment charge would be measured by comparing the implied fair value of the reporting unit’s goodwill to its carrying value.

During 2015, the Company determined that a portion of its intellectual property assets and goodwill were impaired and recognized an impairment charge of $103.5 million for the year ended December 31, 2015. During 2014, the Company recognized an impairment charge of $11.0 million related to intangibles and goodwill of its Provitro asset group. See Note 6, Intangible Assets and Goodwill for further details. The Company recorded no such impairments during 2013.

Fair Value of Financial Instruments—The Company determines the fair value of its financial instruments based on the fair value hierarchy established by the FASB. The three levels of inputs used to measure fair value are as follows:

Level 1—Quoted prices in active markets for identical assets and liabilities.

Level 2—Quoted prices in active markets for similar assets and liabilities or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

Level 3—Unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets and liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

As of December 31, 2015 and 2014, the Company’s financial instruments included its cash and cash equivalents, accounts receivable, other receivables, accounts payable and certain other assets and liabilities. The Company has determined that the carrying value of its financial instruments, based on the hierarchy established by the FASB, approximates the fair value of the financial instruments as they are equivalent to cash or due to their short-term nature.

Foreign Currency Translation and Foreign Currency Transactions and Accumulated Other Comprehensive Income (Loss)—The reporting currency for the Company’s operations is U.S. dollars. The Company translates the activities of its subsidiaries with functional currencies other than the U.S. dollar at the average exchange rate prevailing during the period. Gains and losses on foreign currency transactions are recognized as a component of other income (expense) in the consolidated statements of operations in the period in which they occur. Assets and liabilities denominated in foreign currencies are translated at the exchange rates prevailing at the balance sheet date. Translation adjustments resulting from these processes are recognized as a component of accumulated other comprehensive income (loss).

For the years ended, December 31, 2015, 2014 and 2013, there were no gains or losses on intercompany foreign currency translations.

The Company recognizes applicable cumulative translation adjustments as a component of other operating income (loss) in the period in which a subsidiary is substantially liquidated or deconsolidated. For the year ended December 31, 2015, 2014 and 2013, there were no reclassifications of cumulative translation gains or losses resulting from the deconsolidation or liquidation of subsidiaries.

Revenue Recognition—The Company derives its operating revenue from IP monetization activities, including patent licensing and patent sales, and from IP consulting services. Although the Company’s revenue may occur in different forms, it regards its IP monetization activities as integrated and not separate revenue streams. For example, a third party relationship could involve consulting and licensing activities, or the acquisition of a patent portfolio can lead to licensing, consulting and patent sales revenue.

The Company’s patent licensing agreements often provide for the payment of contractually determined upfront license fees representing all or a majority of the revenue that will be generated from such agreements for nonexclusive, nontransferable, limited duration licenses. These agreements typically grant (i) a nonexclusive license to make, sell, distribute, and use certain specified products that read on the Company’s patents, (ii) a covenant not to enforce patent rights against the licensee based on such activities, and (iii) the release of the licensee from certain claims. Generally, the agreements provide no further obligation for the Company upon receipt of the minimum upfront license fee. As such, the earnings process is complete and revenue is recognized upon the execution of the agreement, when collectability is reasonably assured, or upon receipt of the minimum upfront license fee, and when all other revenue recognition criteria have been met.

Certain of the Company’s patent licensing agreements provide for future royalties or future payment obligations triggered upon satisfaction of conditions. Future royalties and future payments are recognized in revenue upon satisfaction of any related conditions, provided that all revenue recognition criteria, as described below, have been met.

The Company sells patents from its portfolios from time to time. These sales are part of the Company’s ongoing operations. Consequently, the related proceeds are recorded as revenue.

The timing and amount of revenue recognized from IP monetization activities depend on the specific terms of each agreement and the nature of the deliverables and obligations. Fees earned from IP consulting services are generally recognized as the services are performed. For agreements that are deemed to contain multiple elements, consideration is allocated to each element of an agreement that has stand-alone value using the relative fair value method. The Company recognizes revenue when (i) persuasive evidence of an arrangement exists, (ii) all material obligations have been substantially performed pursuant to agreement terms, services have been rendered to the customer or delivery has occurred, (iii) amounts are fixed or determinable, and (iv) collectability is reasonably assured. As a result of the contractual terms of our patent monetization agreements and the unpredictable nature, form and frequency of monetizing transactions, our revenue may fluctuate substantially from period to period.

Research and Development—The Company incurs costs associated with research and development activities and expenses the costs in the period incurred. Research and development expenses during the period were not material for separate disclosure and are included in general and administrative expenses.

Stock-Based Compensation—The Company records stock-based compensation on stock options, stock appreciation rights, restricted stock awards, restricted stock units and other stock awards issued to employees, directors, consultants and/or advisors based on the estimated fair value on the date of grant and recognizes compensation cost over the requisite service period for awards expected to vest. The fair value of stock options and stock appreciation rights is estimated on the date of grant using the Black-Scholes option pricing model (“Black-Scholes Model”) based on the single option award approach. The fair value of restricted stock awards and restricted stock units is determined based on the number of shares granted and either the quoted market price of the Company’s Class A common stock on the date of grant for time-based and performance-based awards, or the fair value on the date of grant using the Monte Carlo Simulation model (“Monte Carlo Simulation”) for market-based awards. The fair value of stock options, restricted stock awards and restricted stock units with service conditions are amortized to expense on a straight-line basis over the requisite service periods of the awards, which is generally the vesting period. The fair value of stock options, stock appreciation rights, restricted stock awards and restricted stock units with performance conditions deemed probable of being achieved and cliff vesting is amortized to expense over the requisite service period using the straight-line method of expense recognition. The fair value of restricted stock awards and restricted stock units with performance and market conditions are amortized to expense over the requisite service period using the straight-line method of expense recognition. The fair value of stock-based payment awards as determined by the Black-Scholes Model and the Monte Carlo Simulation are affected by the Company’s stock price as well as other assumptions. These assumptions include, but are not limited to, the expected stock price volatility over the term of the awards and actual and projected employee stock option exercise behaviors. Forfeitures are estimated at the date of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates.

The Company accounts for the modification of the terms or conditions of a stock-based payment award as an exchange of the original award for a new award. Compensation expense for modified stock-based payment awards is equal to the fair value of the original award plus the incremental cost conveyed as a result of the modification expensed over the remaining life of the award.

Income Taxes—The Company accounts for income taxes using the asset and liability method under which deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that includes the enactment date. A valuation allowance against deferred tax assets (“DTAs”) is recorded when it is more likely than not that the assets will not be realized.

The Company records an unrecognized tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained upon examination by the tax authorities. The Company’s policy is to recognize interest and/or penalties related to unrecognized tax benefits as income tax expense.

Contingencies—Outcomes of legal proceedings and claims brought by and against the Company are subject to significant uncertainty. The Company accrues an estimated loss from a loss contingency, such as a legal claim, by a charge to income if it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated. The Company discloses a contingency if there is at least a reasonable possibility that a loss has been incurred. In determining whether a contingent loss should be accrued or disclosed, the Company evaluates, among other factors, the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss. Changes in these factors could materially impact the Company’s financial position, results of operations or cash flows. For contingencies that might result in a gain, the Company does not record the gain until realized.

Loss Per Share—Basic loss per share is calculated based on the weighted average number of Class A common stock and Class B common stock (the “Common Shares”) outstanding during the period. Diluted loss per share is calculated by dividing the loss allocable to common shareholders by the weighted average Common Shares outstanding plus dilutive potential Common Shares. Prior to the satisfaction of vesting conditions, unvested restricted stock awards are considered contingently issuable and are excluded from weighted average Common Shares outstanding used for computation of basic loss per share.

Potential dilutive Common Shares consist of the incremental Class A common stock issuable upon the exercise of outstanding stock options (both vested and non-vested), stock appreciation rights, and unvested restricted stock awards and units, calculated using the treasury stock method. The calculation of dilutive loss per share for the years ended December 31, 2015, 2014 and 2013 excludes all potential dilutive Common Shares as their inclusion would have been antidilutive.

The following table sets forth the computation of basic and diluted loss per share (in thousands, except share and per share data):


	Year ended December 31,
	2015			2014			2013
Net loss attributable to Pendrell	$	(109,680	)	$	(51,002	)	$	(55,062	)

Weighted average common shares outstanding		267,136,845			266,336,617			265,684,341
Less: weighted average unvested restricted stock awards		(1,429,521	)		(1,929,119	)		(3,564,938	)

Shares used for computation of basic and diluted loss per share(1)		265,707,324			264,407,498			262,119,403

Basic and diluted loss per share attributable to Pendrell	$	(0.41	)	$	(0.19	)	$	(0.21	)

(1)	Stock options, stock appreciation rights, restricted stock awards and units totaling 27,847,870, 28,113,540 and 34,408,579 for the years ended December 31, 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted loss per share as their inclusion was anti-dilutive.

New Accounting Pronouncements—In May 2014, the “FASB” issued Accounting Standard Update (“ASU”) No. 2014-09, Revenue (Topic 606): Revenue from Contracts with Customers, which supersedes existing revenue recognition guidance under GAAP. The core principle of ASU 2014-09 is to recognize as revenue the amount that an entity expects to be entitled for goods or services at the time the goods or services are transferred to customers. ASU 2014-09 defines a five step process to achieve this core principle that will likely require more judgment and estimates within the revenue recognition process than are required under existing GAAP. In August 2015, the FASB issued ASU No. 2015-14, which deferred the effective date of the amendments in ASU No. 2014-09 to the annual reporting period beginning after December 15, 2017, with early adoption permitted beginning January 1, 2017. The Company is currently assessing the impact, if any, of implementing ASU 2014-09.

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Provitro	12 Months Ended
Provitro	Dec. 31, 2015
Business Combinations [Abstract]
Provitro	3. Provitro In February 2013, the Company acquired a 68.75% interest in Provitro, the developer of the Provitro™ proprietary micro-propagation technology that is designed to facilitate the production on a commercial scale of certain plants, particularly timber bamboo. In February 2015, the Company acquired the minority partner’s interest in Provitro for nominal consideration resulting in 100% ownership of Provitro. The assets and liabilities of Provitro were measured at fair value as of the acquisition date. The assets, liabilities and activities of Provitro since the date of acquisition in February 2013 have been included in the Company’s consolidated financial statements. From acquisition through the year ended December 31, 2014, the Company attempted to develop a strategy to commercialize the Provitro™ technology, but did not generate revenue from the technology. In January 2015, the Company suspended further development of the Provitro™ technology due to the Company’s inability to identify near-term opportunities for commercialization. The Company began seeking a buyer for Provitro’s assets and took an $11.0 million impairment charge during the fourth quarter of its year ended December 31, 2014. The impairment charge was equal to the sum of its unamortized investment in the Provitro™ technology and the goodwill associated with its acquisition of Provitro. In September 2015, the Company sold Provitro’s facility and related tangible assets for $2.0 million, resulting in a $0.7 million loss which is included in general and administrative expenses for the year ended December 31, 2015. The purchase price will be paid in installments of which $0.1 million was paid immediately, $1.3 million will be paid within twelve months and is included in other current receivables and the remaining $0.6 million is due in March 2017 and is included in other non-current assets. Additionally, in December 2015, the Company sold its rights to Provitro’s micro-propagation technology, resulting in a nominal amount of revenue.

Goodwill and Intangible Assets Disclosure [Abstract]

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 5
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+ Details

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Other Receivables	12 Months Ended
Other Receivables	Dec. 31, 2015
Receivables [Abstract]
Other Receivables	4. Other Receivables As of December 31, 2015, other receivables consisted primarily of a $1.3 million note receivable related to the sale of Provitro’s assets in September 2015. As of December 31, 2014, other receivables consisted primarily of a receivable due from Jay & Jayendra (Pty) Ltd, a South African corporation or its designated affiliate (collectively, the “J&J Group”) for reimbursement of operating expenses related to the Company’s MEO Assets of $2.7 million and a corresponding full reserve against the receivable as a result of the J&J Group’s failure to fulfill its obligation to reimburse the Company. In November 2015, the Company entered into a settlement agreement with the J&J Group whereby it received approximately $1.6 million, net of collection costs, in full and final settlement of all claims against the J&J Group which was recorded as a gain on contingencies in the statements of operations for the year ended December 31, 2015. Other receivables also include amounts for state income taxes, interest and other miscellaneous items.

XML 26 R11.htm IDEA: XBRL DOCUMENT

Other Assets	12 Months Ended
Other Assets	Dec. 31, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets	5. Other Assets As of December 31, 2015, other assets consisted primarily of a $1.5 million receivable for royalty revenue due in 2018 and 2019; and a $0.6 million receivable, due in March 2017, related to the sale of Provitro’s assets in September 2015. Additionally, other assets as of December 31, 2015 and 2014 included long-term security deposits associated with the Company’s leased facilities.

XML 27 R12.htm IDEA: XBRL DOCUMENT

Intangible Assets and Goodwill

12 Months Ended

Dec. 31, 2015

Intangible Assets and Goodwill

6. Intangible Assets and Goodwill

2015 Impairment of Intangibles and Goodwill

In November 2015, as a result of the non-infringement verdicts in the Google Litigation and Apple Litigation, the Company revised its projected cash flows for its intangible assets, triggering an impairment analysis of its intangible assets and goodwill. The Company records an impairment charge on its intangible assets if it determines that their carrying value may not be recoverable. The carrying value is not recoverable if it exceeds the undiscounted cash flows resulting from the use of the asset and its eventual disposition. When the Company determines that the carrying value of its intangible assets may not be recoverable, the Company measures the potential impairment based on a projected discounted cash flow method using a discount rate determined by its management to be commensurate with the risk inherent in its current business model. An impairment loss is recognized only if the carrying amount of the intangible assets exceeds its estimated fair value. An impairment charge is recorded to reduce the pre-impairment carrying amount of the intangible assets to their estimated fair value.

Determining the fair value is highly judgmental in nature and requires the use of significant estimates and assumptions considered to be Level 3 fair value inputs, including anticipated future revenue opportunities, operating margins, and discount rates, among others. The estimated fair value of the intangible assets was determined based on the income approach, as it was deemed to be most indicative of the Company’s fair value in an orderly transaction between market participants. Under the income approach the Company determined fair value based on estimated future cash flows resulting from licensing its intangible assets. The estimated cash flows were discounted by an estimated weighted-average cost of capital which reflects the overall level of inherent risk of the Company and the rate of return an outside investor would expect to earn. Upon completion of the analysis, the Company concluded that the estimated fair value of its intangible assets was less than their carrying amount and recorded an impairment charge of $82.3 million, which is included in “Impairment of intangibles and goodwill” in the accompanying Consolidated Statements of Operations.

The Company then evaluated the carrying value of its goodwill by estimating the fair value of the reporting unit through the use of discounted cash flow models, which required management to make significant judgments as to the estimated future cash flows resulting from licensing its intangible assets. Upon completion of the analysis, the Company concluded that the estimated fair value of its reporting unit was less than its carrying amount and recorded an additional $21.2 million impairment charge related to goodwill in the fourth quarter of 2015.

2014 Impairment of Intangibles and Goodwill

In January 2015, the Company suspended further development of the Provitro™ technology as it had been unable to identify near-term opportunities to commercialize the technology. The Company determined that this suspension provided additional evidence about conditions that existed prior to December 31, 2014, triggering an impairment analysis of the intangibles associated with its Provitro asset group. In its impairment analysis, the Company compared the carrying amount of the Provitro™ technology to the future undiscounted net cash flows expected to be generated by the Provitro™ technology. The Company concluded that the anticipated undiscounted cash flows from the Provitro™ technology did not exceed the carrying value of the Provitro™ technology and, the Company recorded a $10.5 million non-cash impairment charge in its results of operations for the year ended December 31, 2014. Additionally, as of December 31, 2014, the company determined that the goodwill related to its acquisition of Provitro was impaired and recorded a $0.5 million non-cash impairment charge for the year ended December 31, 2014.

For the year ended December 31, 2013, the Company recorded no such impairment charges for intangible assets or goodwill.

Intangible Assets

The following table presents details of the Company’s intangible assets and related amortization (in thousands):


	December 31, 2015			December 31, 2014
Cost:
Patents	$	67,096		$	139,902
Customer relationships		1,804			6,615
Trade names		—			4,812
Trade secrets		—			1,940

Total cost		68,900			153,269

Accumulated amortization:
Patents		(52,719	)		(40,321	)
Customer relationships		(1,804	)		(2,680	)
Trade names		—			—
Trade secrets		—			(566	)

Total accumulated amortization		(54,523	)		(43,567	)

Intangible assets, net	$	14,377		$	109,702

The Company recorded the non-cash intangible impairment charge of $82.3 million from the gross carrying value of its patents and the full value of its other intangibles.

At December 31, 2015, the Company determined that the expected period of benefit of its patents is approximately three years.

The Company has used, and may continue to use, different structures and forms of consideration for its acquisitions of intangible assets. Acquisitions may be consummated through the use of cash, equity, seller financing, third party debt, earn-out obligations, revenue sharing, profit sharing, or some combination of these types of consideration. Consequently, the acquisition values reflected in the Company’s investing activities may represent lower amounts than would be reflected, for example, in a situation where cash alone was utilized to complete the acquisition.

During the first quarter of the year ended December 31, 2015, the Company further enhanced its existing memory and storage technologies patent portfolio for an additional $2.0 million. No patents were purchased during the year ended December 31, 2014. During 2013, the Company expanded its patent holdings through the acquisition of additional patents covering memory and storage technologies for electronic devices.

During the years ended December 31, 2015, 2014 and 2013, the Company sold certain patents in several transactions and has included the gross proceeds in revenue. Cost associated with the patents sold, including any remaining net book value, are included in cost of revenues. Certain of the patents sold, as well as certain of those licensed, were subject to an obligation to pay a substantial portion of the net proceeds to a third party. These costs are also included in cost of revenues. In future periods, these third party payments as a percentage of revenues may vary significantly based on the structure utilized for any given acquisition.

During the year ended December 31, 2015 and 2014, the Company recognized $1.0 million and $2.8 million of losses, respectively, on the abandonment of certain patents that were not part of existing licensing programs or for which the Company determined that it would no longer allocate resources to their maintenance and enforcement. For the year ended December 31, 2013, patents with a combined book value of less than $0.1 million were abandoned. Costs associated with the abandonment of patents, including any remaining net book value, are included in patent administration and related costs.

The Company recorded amortization expense related to purchased intangible assets of $13.9 million, $15.9 million and $15.9 million for the years ended December 31, 2015, 2014, and 2013, respectively, which is included in amortization of intangibles in the consolidated statements of operations.

The estimated future amortization expense of purchased intangible assets as of December 31, 2015 is as follows (in thousands):


Year ending December 31,	Amount
2016	$	9,531
2017		2,423
2018		2,423

Total	$	14,377

Goodwill

Goodwill represented the excess of purchase price over the fair value of net assets acquired in the Company’s acquisitions of Ovidian on June 17, 2011, ContentGuard on October 31, 2011 and Provitro on February 21, 2013. As a result of the impairments recorded in 2015 and 2014, the Company does not have a goodwill balance at December 31, 2015.

The changes in the carrying amount of goodwill for the years ended December 31, 2015 and 2014 are as follows (in thousands):


	December 31, 2015			December 31, 2014
Beginning balance	$	21,209		$	21,725
Impairment of goodwill		(21,209	)		(516	)

Ending balance	$	—		$	21,209

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

Other Liabilities Disclosure [Abstract]

XML 28 R13.htm IDEA: XBRL DOCUMENT

Accrued expenses

12 Months Ended

Dec. 31, 2015

Payables and Accruals [Abstract]

Accrued expenses

7. Accrued expenses

The following table summarizes accrued expenses (in thousands):


	December 31, 2015		December 31, 2014
Accrued payroll and related expenses	$	1,742	$	2,570
Accrued legal, professional and other expenses		2,550		3,254

	$	4,292	$	5,824

XML 29 R14.htm IDEA: XBRL DOCUMENT

Other liabilities

12 Months Ended

Dec. 31, 2015

Other liabilities

8. Other liabilities

The following table summarizes other current liabilities (in thousands):


	December 31, 2015		December 31, 2014
Installment payment obligation	$	—	$	4,000
Restricted stock awards		—		2,254
Other		119		637

	$	119	$	6,891

XML 30 R15.htm IDEA: XBRL DOCUMENT

Commitments and Contingencies

12 Months Ended

Dec. 31, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

9. Commitments and Contingencies

Lease and Commitments—The Company has operating lease agreements for its main office in Kirkland, Washington, and offices in Texas and Finland. Total rental expense included in general and administrative expenses in the Company’s consolidated statements of operations for the years ended December 31, 2015, 2014 and 2013 was as follows (in thousands):


	Year ended December 31,
	2015		2014		2013
Rent expense	$	793	$	662	$	875

As of December 31, 2015, future minimum payments under the Company’s lease agreements were as follows (in thousands):


	Operating leases
2016	$	406
2017		415
2018		425
2019		205

Total minimum payments	$	1,451

Litigation—In the opinion of management, except for those matters described below and elsewhere in this report, to the extent so described, litigation, contingent liabilities and claims against the Company in the normal course of business are not expected to involve any judgments or settlements that would be material to the Company’s financial condition, results of operations or cash flows.

ContentGuard Enforcement Actions—On December 18, 2013, ContentGuard filed a patent infringement lawsuit against Amazon.com, Inc., Apple Inc., Huawei Device USA, Inc. and Motorola Mobility LLC in the Eastern District of Texas (“EDTX”), in which ContentGuard alleged that these entities infringed and continue to infringe nine of its patents by making, using, selling or offering for sale certain mobile communication and computing devices (the “Apple Litigation”). On January 17, 2014, ContentGuard filed an amended complaint in the Apple Litigation adding certain affiliates of the original defendants, along with HTC Corporation, HTC America Inc., Samsung Electronics Co., Ltd., Samsung Electronics America, Inc. and Samsung Telecommunications America, LLC (collectively, “Samsung”). On January 31, 2014, Google Inc. (“Google”) filed a declaratory judgment suit in the Northern District of California alleging that Google does not infringe the nine patents asserted in the Apple Litigation. On February 5, 2014, ContentGuard filed a patent infringement action in the EDTX against Google, in which ContentGuard alleged that Google has infringed and continues to infringe the same nine patents (the “Google Litigation”). From and after April 2014, the presiding judge in the EDTX has administered the cases in parallel.

Amazon Settlement. In August 2015, ContentGuard settled its claims against Amazon by granting to Amazon a license to use the ContentGuard patents. In connection with the settlement, ContentGuard released Amazon from the Apple Litigation. The settlement and license with Amazon is not impacted by the adverse jury findings in the Apple Litigation and Google Litigation that are described below.

DirecTV Settlement. In August 2014, DirecTV intervened in the Apple Litigation and thereby became an additional defendant, against whom ContentGuard asserted additional infringement claims. In January 2016, ContentGuard settled its claims against DirecTV by granting to DirecTV a license to use the ContentGuard patents. In connection with the settlement, ContentGuard released DirecTV from the Apple Litigation. The settlement and license with DirecTV is not impacted by the adverse jury findings in the Apple Litigation and Google Litigation that are described below.

Google and Samsung Verdict. On September 23, 2015, a jury in the Google Litigation found that the patents asserted against Google and Samsung in the Apple Litigation and Google Litigation are valid, but that Samsung products and Google products accused in the litigation do not infringe the patents. The judge entered judgment consistent with the verdict on October 13, 2015. The non-infringement decision, if not reversed or overturned in post-trial practice or on appeal, applies to all defendants in the Google Litigation and Apple Litigation that manufacture, sell or distribute Android devices that run Google Play services. If the verdict and judgment are not overturned, the Company will be liable for approximately $0.5 million of court costs and expenses incurred by Google and Samsung in the defense of the Google Litigation.

Apple Verdict. On November 20, 2015, a jury in the Apple Litigation found that the patents asserted against Apple in the Apple Litigation are valid, but that Apple products accused in the litigation do not infringe the patents. The judge entered judgment consistent with the verdict in December 2015. If the verdict and judgment are not overturned, the Company will be liable for approximately $0.5 million of court costs and expenses incurred by Apple in the defense of the Apple Litigation.

Post-Trial Activities. ContentGuard is challenging the juries’ findings in the Google Litigation and Apple Litigation through motions for judgment as a matter of law (the “JMOL Motions”). The JMOL Motions will be reviewed and resolved by the presiding judge from the Google Litigation and Apple Litigation. If the JMOL Motions are unsuccessful, the Company intends to appeal the jury verdicts to the federal circuit court. The Company cannot predict the outcome of any post-trial activities in the Google Litigation or Apple Litigation.

IPR and CBM Petitions filed by Apple and Google—In December 2014, Apple filed with the USPTO twenty-nine inter partes review (“IPR”) petitions and three covered business method (“CBM”) petitions, through which Apple challenged the validity of all nine patents asserted in the Apple Litigation. Also in December 2014, Google filed three CBM petitions, challenging the validity of three of the nine asserted patents. Between March and July 2015, all of Apple’s IPR and CBM petitions were terminated or withdrawn. All but one of Google’s petitions were also terminated or withdrawn, leaving just one Google CBM petition, relating to patent number 7,774,280, that proceeded to trial before the USPTO’s Patent Trial and Appeal Board (“PTAB”). The trial took place on February 24, 2016, and the Company is waiting for the PTAB to issue its findings.

ZTE IPRs—In early 2012, ContentGuard and its subsidiaries filed lawsuits in United States and German courts, alleging that ZTE Corporation, ZTE (USA) Inc. and ZTE Deutschland GmbH (collectively “ZTE”) infringed and continue to infringe ContentGuard patents by making, using, selling or offering for sale certain mobile communication and computing devices. ZTE subsequently filed IPR petitions with the USPTO, challenging the validity of six U.S. patents asserted by ContentGuard against ZTE. The PTAB terminated proceedings with respect to two patents, both of which emerged with valid patent claims. ZTE’s claims against the other four patents went to trial. Following trial, the PTAB rejected ZTE’s remaining challenges, and confirmed the validity of all claims in the four patents. ZTE’s time for appeal expired with no appeals filed. Apple then challenged the same four patents in new IPRs, as described in the paragraph above, which the PTAB rejected. As a result, the favorable decisions of the PTAB, as against ZTE’s and Apple’s petitions, are final.

ZTE Enforcement Actions—In response to the claims filed against ZTE in Germany, in which ContentGuard Europe GmbH alleged infringement of three European patents, ZTE filed a nullity action against two of the patents and an opposition proceeding against the third patent. ZTE prevailed in the opposition proceeding, resulting in the revocation of one European patent, which ContentGuard has appealed. The infringement and nullity proceedings in Germany, along with all U.S. court actions, were “put to rest” or stayed as the result of a standstill agreement signed by ContentGuard and ZTE in December 2013. The standstill agreement has been extended through the end of the post-trial motion phase of the Google Litigation.

J&J Collection—In November 2012, the Company obtained an arbitration judgment in the U.K. against the J&J Group for approximately $4.0 million. J&J Group submitted multiple appeals to the U.K. courts, the last of which was rejected in July 2013. In December 2014, the Company obtained an enforcement judgment against J&J Group from a South African court, and commenced collection efforts. In November 2015, the Company entered into a settlement agreement with the J&J Group whereby it received approximately $1.6 million, net of collection costs, in full and final settlement of all claims against the J&J Group. As a result, the Company recorded a gain of $1.6 million for the year ended December 31, 2015, which is included in gain on contingencies in the consolidated statements of operations.

XML 31 R16.htm IDEA: XBRL DOCUMENT

Shareholders' Equity

12 Months Ended

Dec. 31, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Shareholders' Equity

10. Shareholders’ Equity

Common Stock—The Company’s Articles of Incorporation authorizes two classes of common stock, Class A and Class B. The rights of the holders of shares of Class A common stock and Class B common stock are identical, except with respect to voting and conversion. Holders of shares of Class A common stock are entitled to one vote per share. Holders of shares of Class B common stock are entitled to ten votes per share. The Class B common stock is convertible at any time at the option of its holder into shares of Class A common stock. Each share of Class B common stock is convertible into one share of Class A common stock. Additionally, subject to certain exceptions, shares of Class B common stock will automatically convert into shares of Class A common stock if the shares of Class B common stock are sold or transferred. Class A common stock is not convertible. Eagle River Satellite Holdings, LLC, the Company’s controlling shareholder, together with its affiliates Eagle River Investments, LLC, Eagle River, Inc. and Eagle River Partners, LLC held an economic interest of approximately 33.2% and a voting interest of approximately 65.0% in the Company as of December 31, 2015.

Stock Incentive Plan—On November 14, 2012, the Company’s shareholders approved the Pendrell Corporation 2012 Equity Incentive Plan (the “2012 Plan”). Effective upon the approval of the 2012 Plan, the Company’s 2000 Stock Incentive Plan, as amended and restated (the “2000 Plan”) was terminated. No additional awards will be granted under the 2000 Plan.

The purpose of the 2012 Plan is to assist the Company in securing and retaining the services of skilled employees, directors, consultants and/or advisors of the Company and to provide incentives for such individuals to exert maximum efforts toward the Company’s success. The 2012 Plan allows for the grant of stock options, stock appreciation rights, performance stock awards, performance cash awards, restricted stock awards, restricted stock unit awards and other stock awards (collectively, “Awards”) to employees, directors, consultants and/or advisors who provide services to the Company or its subsidiaries.

Under the 2012 Plan, the aggregate number of shares of Class A common stock that may be issued pursuant to Awards from and after the effective date of the 2012 Plan will not exceed, in the aggregate, the sum of 37,952,546 shares, plus any shares subject to outstanding stock awards granted under the 2000 Plan that (i) expire or terminate for any reason prior to exercise or settlement; (ii) are forfeited, cancelled or otherwise returned due to the failure to meet a condition required to vest such shares; or (iii) are reacquired, withheld or not issued to satisfy a tax withholding obligation in connection with an award. As of December 31, 2015, 20,551,286 shares were reserved and remain available for grant under the 2012 Plan.

Stock-Based Compensation—The Company records stock-based compensation based on the estimated fair value on the date of grant and recognizes compensation cost over the requisite service period for awards expected to vest. The Company estimates its forfeiture rate for Awards based on the Company’s historical rate of forfeitures due to terminations and expectations for forfeitures in the future. The Company’s estimated forfeiture rate was 5% for the years ended December 31, 2015, 2014 and 2013.

Stock-based compensation expense included in the Company’s consolidated statements of operations for the years ended December 31, 2015, 2014 and 2013 was as follows (in thousands):


	Year ended December 31,
	2015		2014		2013
Stock options(1)	$	2,236	$	7,268	$	5,723
Restricted stock awards(1)(2)		2,271		2,137		6,622

Total stock-based compensation expense	$	4,507	$	9,405	$	12,345

(1)

On November 19, 2014, Benjamin G. Wolff resigned from his positions as President and Chief Executive Officer of the Company. The Company entered into a separation agreement in accordance with the terms of Mr. Wolff’s Amended and Restated Employment Letter Agreement (the “Agreement”). The Agreement provided for the vesting of all options, shares of restricted stock (“RSAs”) and restricted stock units (“RSUs”) in which Mr. Wolff would have vested had he remained actively employed by the Company through the second anniversary of his resignation, excluding any unvested performance-based RSAs or performance-based RSUs. The Agreement also provided for an extension of the exercise period for Mr. Wolff’s vested stock options until December 15, 2015. The extension of the exercise period is considered a modification and resulted in additional stock-based compensation expense of $0.7 million, as determined using a Black-Scholes model, which was recognized on the modification date as the options were vested pursuant to the Agreement. The accelerated vesting of the options, RSUs and RSAs resulted in $2.1 million of additional stock-based compensation expense in the year ended December 31, 2014.

(2)

Stock-based compensation expense for the year ended December 31, 2015, 2014 and 2013, includes $0.2 million, $0.8 million and $0.8 million of expense, respectively, related to 250,000 Class A common stock restricted stock awards that are required to be treated as a liability. The Company settled the related liability with a $2.5 million payment in April 2015 and no further expense will be incurred.

At December 31, 2015, the balance of stock-based compensation cost to be expensed in future years related to unvested stock-based awards, as adjusted for expected forfeitures, is as follows (in thousands):


2016(1)	$	3,226
2017(1)		2,742
2018(1)		1,871
2019 and thereafter		—

	$	7,839

(1)

Future expense does not include expense related to 1.5 million performance-based stock options and 3.0 million performance-based restricted stock awards granted in 2015, as these awards vest upon the achievement of certain performance milestones for which the related performance targets have yet to be established. The fair value of these awards will not be known until the date the performance targets are established at which point expensing will commence.

The weighted average period over which the unearned stock-based compensation expense is expected to be recognized is approximately 2.5 years.

Stock Options and Stock Appreciation Rights—The Company has granted stock options and stock appreciation rights to employees, directors, consultants and advisors in connection with their service to the Company. Stock options to purchase the Company’s Class A common stock are granted at the fair market value of the stock on the date of grant. The Company has both service-based stock options and performance-based stock options. The majority of service-based stock options granted to employees become exercisable over a four year period, while stock options granted to non-employee directors generally vest over one year. Performance-based stock options become exercisable, and stock appreciation rights will be triggered, if the Company achieves specified performance goals during the performance period and the grantee remains employed during the subsequent vesting period. Stock options generally expire 10 years after the date of grant or up to three months after termination of employment, whichever occurs earlier.

The weighted average fair value of stock options and stock appreciation rights granted during the years ended December 31, 2015, 2014 and 2013 was estimated using the Black-Scholes Model with the following assumptions:


	Year ended December 31,
	2015			2014			2013
Weighted average expected volatility		48	%		55	%		55	%
Weighted average risk-free interest rate		1.9	%		1.9	%		1.2	%
Expected dividend yield		0	%		0	%		0	%
Weighted average expected term in years		6.0			6.2			5.8
Weighted average estimated fair value per option granted	$	0.47		$	0.79		$	0.88

The assumptions used to calculate the fair value are evaluated and revised, as necessary, to reflect market conditions and the Company’s experience.

The Company’s expected stock price volatility rate is based on a peer group, which the Company believes is a reasonable representation of the Company’s business direction and expected future volatility as an IP investment, advisory and asset management business.

The risk-free interest rate is based upon U.S. Treasury bond interest rates appropriate for the term of the Company’s employee stock options and stock appreciation rights. The expected dividend yield is based on the Company’s history and expectation of dividend payments. The expected term has been estimated using the simplified method which permit entities, under certain circumstances, to continue to use the simplified method in developing estimates of the expected term of “plain-vanilla” share options and stock appreciation rights.

The Company granted the following stock options and stock appreciation rights to certain employees in connection with their continued or new employment with the Company during the years ended December 31, 2015, 2014 and 2013 (dollars in thousands):


	Year ended December 31,
	2015		2014		2013
Service-based(1)		4,238,300		4,374,000		1,248,000
Performance-based(2)		2,000,000		—		250,000
Stock options issued as Board of Director compensation		240,000		300,000		300,000

Total granted		6,478,300		4,674,000		1,798,000

Fair value of grants	$	3,021	$	3,702	$	1,585

(1)

Of the 4.2 million service-based stock options granted during the year ended December 31, 2015, 2.0 million were granted to its new Chief Executive Officer (“CEO”) with a grant date fair value of $1.3 million and vest at a rate of 25% per year over four years. The remaining 2.2 million of service-based stock options were granted to various employees with a grant date fair value of $1.4 million and vest 50% after one year, 75% after two years and 100% after three years.

(2)

The 2.0 million performance-based stock options were all granted to the CEO and vest at a maximum rate of 25% per year over four years, but only if and to the extent the Company meets its performance objectives for the preceding calendar year under the Company’s then-applicable incentive plan. Of the 2.0 million options granted, 1.5 million vest upon the achievement of certain performance milestones for which the related performance targets have yet to be established. Accordingly, no compensation expense related to those shares has been recorded. The remaining 0.5 million options have a grant date fair value of $0.3 million.

The Company’s stock option and stock appreciation rights activity for the years ended December 31, 2015, 2014 and 2013 is summarized as follows:


	Number of options/SARs			Weighted average exercise price		Weighted average remaining life (in years)
Outstanding at December 31, 2012		28,485,375		$	2.19
Granted		1,798,000			1.73
Exercised		(165,312	)		1.13
Forfeited		(1,621,600	)		2.20

Outstanding at December 31, 2013		28,496,463			2.17
Granted		4,674,000			1.49
Exercised		(992,499	)		1.18
Forfeited		(6,623,938	)		2.65

Outstanding at December 31, 2014		25,554,026			1.96
Granted		6,478,300			1.31
Exercised		(1,045,000	)		1.18
Forfeited(1)		(13,670,094	)		2.14

Outstanding at December 31, 2015(2)		17,317,232		$	1.62		6.58

Exercisable at December 31, 2015(2)		9,041,889		$	1.85		4.62

Vested and expected to vest at December 31, 2015(2)		16,665,962		$	1.62		6.59

(1)

In connection with the departure of the Company’s former CEO, Mr. Benjamin G. Wolff, in November 2014, the exercise period for Mr. Wolff’s 8,927,500 vested stock options was extended until December 15, 2015. Mr. Wolff forfeited 8,277,500 of the vested options during the year ended December 31, 2015.

(2)

Aggregate intrinsic value represents total pretax intrinsic value (i.e., the difference between the Company’s closing stock price on the last trading day of 2015 and the exercise price, times the number of shares) that would have been received by the option holders had all option holders exercised their stock options and stock appreciation rights on the last business day of the fiscal year. As of December 31, 2015, the Company’s closing stock price was lower than the exercise price, therefore, the aggregate intrinsic values of stock options outstanding, exercisable, and vested and expected to vest were zero.

The intrinsic value of stock options exercised during the year ended December 31, 2015 was $0.3 million. The total fair value of options which vested during the years ended December 31, 2015, 2014 and 2013 was approximately $2.5 million, $7.3 million and $5.8 million, respectively.

The following table summarizes significant ranges of outstanding and exercisable stock options and stock appreciation rights as of December 31, 2015:


	Outstanding stock options and stock appreciation rights						Exercisable stock options and stock appreciation rights
Range of exercise prices	Number of options/SARs		Weighted average exercise price		Weighted average remaining life (in years)		Number of options/SARs		Weighted average exercise price
$0.71—$1.23		4,535,619	$	1.17		5.11		3,604,677	$	1.19
$1.24—$1.33		2,338,400		1.30		8.96		601,250		1.27
$1.34—$1.41		4,000,000		1.34		9.46		—		—
$1.42—$2.12		3,339,250		1.69		6.25		1,860,500		1.73
$2.13—$5.90		3,103,963		2.81		3.57		2,975,462		2.84

		17,317,232	$	1.62		6.58		9,041,889	$	1.85

Restricted Stock Awards—The Company has granted restricted stock awards to employees and consultants in connection with their service to the Company. The Company’s stock grants can be categorized as either service-based awards, performance-based awards, and/or market-based awards.

The Company granted the following shares of Class A common stock underlying restricted stock awards to certain employees in connection with their continued or new employment with the Company and to members of its board of directors during the years ended December 31, 2015, 2014 and 2013 (dollars in thousands):


	Year ended December 31,
	2015		2014		2013
Service-based(1)		3,748,700		250,000		211,250
Performance-based(2)		3,500,000		—		—
Market-based(3)(4)(5)		2,000,000		150,000		300,000
Shares issued as Board of Director compensation		396,060		279,349		348,698

Total granted		9,644,760		679,349		859,948

Fair value of grants	$	7,627	$	869	$	1,198

(1)

Of the 3.7 million service-based restricted stock awards granted during the year ended December 31, 2015, 3.5 million were granted to the CEO and vest at a rate of 25% per year over four years. The remaining 0.2 million of service-based restricted stock awards were granted to various employees and vest 50% after one year, 75% after two years and 100% after three years.

(2)

During the year ended December 31, 2015, the 3.5 million performance-based restricted stock awards were all granted to the CEO and vest at a maximum rate of 25% per year over four years, but only if and to the extent the Company meets its performance objectives for the preceding calendar year under the Company’s then-applicable incentive plan. Of the awards granted, 3.0 million vest upon the achievement of certain performance milestones for which the related performance targets have yet to be established. Accordingly, no compensation expense related to those shares has been recorded.

(3)

The market-based restricted stock awards granted during the year ended December 31, 2015 were all granted to the CEO and fully vest when both of the following have occurred: (i) the average closing price of the Company’s Class A common stock, measured over any period of 60 consecutive calendar days, has reached or exceeded $3.00 per share (the “Price Trigger”) and (ii) the date is January 1, 2017 or later. If the Price Trigger is not achieved by December 31, 2019, then none of the market-based restricted stock awards will vest.

(4)

The market-based RSUs granted during the year ended December 31, 2014 fully vest when both of the following have occurred: (i) the average closing price of the Company’s Class A common stock, measured over any period of 60 consecutive calendar days, has reached or exceeded $3.00 per share (the “Price Trigger”), and (ii) the first anniversary of the grant date has occurred. If the Price Trigger is not achieved by the third anniversary of the grant date, then none of the market-based RSUs will vest.

(5)	The market-based RSUs granted during the year ended December 31, 2013 consisted of two awards of 150,000 units each, which would have vested only after designated time periods had elapsed and designated stock prices had been met. These awards were forfeited during the year ended December 31, 2014.

The Company’s restricted stock award activity for the years ended December 31, 2015, 2014 and 2013 is summarized as follows:


	Number of restricted stock awards			Weighted average grant date fair value
Unvested—December 31, 2012		9,808,375		$	1.84
Granted		859,948			1.39
Vested		(4,298,239	)		1.53
Forfeited		(457,968	)		1.76

Unvested—December 31, 2013		5,912,116			1.62
Granted		679,349			1.28
Vested		(1,844,012	)		1.87
Forfeited		(2,187,939	)		1.23

Unvested—December 31, 2014		2,559,514			1.67
Granted		9,644,760			0.79
Vested		(848,459	)		2.21
Forfeited		(825,177	)		1.40

Unvested—December 31, 2015		10,530,638		$	0.84

During the year ended December 31, 2015, 848,459 stock awards vested as a result of the Company’s employees achieving service targets. Certain holders of the vested RSAs and RSUs exercised their right to have their awards net-share settled to cover statutory employee taxes related to the vesting of the RSAs and RSUs. The settlement of these awards resulted in the Company repurchasing and/or cancelling 111,458 shares for $140,000. Of this amount, $8,000 was charged to retained earnings.

During the year ended December 31, 2014, 1,042,188 stock awards vested due to the accelerated vesting of Mr. Wolff’s RSAs and RSUs and 801,824 vested as a result of the Company’s employees achieving service targets. Certain holders of the vested RSAs and RSUs exercised their right to have their awards net-share settled to cover statutory employee taxes related to the vesting of the RSAs and RSUs. The settlement of these awards resulted in the Company repurchasing and/or cancelling 504,435 shares for $0.8 million. Of this amount, $0.2 million was charged to retained earnings.

During the year ended December 31, 2013, 2,780,164 market-based RSAs and RSUs vested as a result of the Company’s achievement of the market condition of an average closing stock price of $2.00 for 60 consecutive calendar days and 1,518,075 service-based RSAs and RSUs vested as a result of the achievement of service targets. The net-share settlement of certain of these awards resulted in the Company repurchasing and/or cancelling 1,107,901 shares for $2.7 million. Of this amount, $1.0 million was charged to retained earnings.

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Gain on Contingencies	12 Months Ended
Gain on Contingencies	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Gain on Contingencies	11. Gain on Contingencies During 2012, as part of the Company’s exit from the satellite business, the Company sold its MEO Assets that had been in storage for nominal consideration. Under the sales agreement, the Company is entitled to a substantial portion of any proceeds that the buyer generates from the resale of the MEO Assets. In January 2015, the buyer resold the MEO Assets and as a result, the Company is entitled to receive up to $6.0 million, contingent upon the buyer’s receipt of payment. On January 14, 2015, the buyer received the first of three scheduled payments for the MEO Assets, resulting in the Company’s receipt of approximately $1.7 million. On July 13, 2015, the buyer received the second payment for the MEO Assets, which resulted in the Company’s receipt of an additional $2.2 million. The $3.9 million of funds received have been recorded in gain on contingencies in the statements of operations for the year ended December 31, 2015. On February 23, 2016, the buyer received the final scheduled payment for the MEO Assets, which will result in the Company’s recognition of an additional $2.0 million gain on contingency in the first quarter of 2016. Due to the uncertainty of collection at December 31, 2015, the Company did not recognized the gain generated by the buyer’s receipt of the third scheduled payment for the MEO Assets in 2015. In March 2012, the Company asserted claims in arbitration in London against the J&J Group to recover approximately $2.7 million in costs that J&J was required to reimburse the Company pursuant to a MEO satellite asset purchase agreement that was signed in April 2011. During 2011, the Company recorded a receivable of $2.7 million to reflect the J&J Group’s reimbursement obligation and established a corresponding reserve in the full amount of the receivable pending resolution of the dispute. In November 2012, the Company obtained an arbitration judgment award for approximately $4.0 million, which includes the requested reimbursement plus costs and fees of approximately $1.3 million. J&J Group submitted multiple appeals to the UK courts, and in December 2014, the Company obtained an enforcement judgment against J&J Group, and has commenced collection efforts. In November 2015, the Company entered into a settlement agreement with the J&J Group whereby it received approximately $1.6 million, net of collection costs, in full and final settlement of all claims against the J&J Group which is included in gain on contingencies in the statements of operations for the year ended December 31, 2015. Additionally, the Company recorded a gain of $0.5 million during the fourth quarter of 2015 as a result of the release of a tax indemnification liability associated with the acquisition of the Ovidian Group LLC in June 2011.

The entire disclosure for loss and gain contingencies. Describes any existing condition, situation, or set of circumstances involving uncertainty as of the balance sheet date (or prior to issuance of the financial statements) as to a probable or reasonably possible loss incurred by an entity that will ultimately be resolved when one or more future events occur or fail to occur, and typically discloses the amount of loss recorded or a range of possible loss, or an assertion that no reasonable estimate can be made.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14472-108349

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 460
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6851643&loc=d3e12021-110248

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14326-108349

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14394-108349

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14557-108349

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 460
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6851643&loc=d3e12053-110248

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14435-108349

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14453-108349

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14615-108349

+ Details

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Income Taxes

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Income Taxes

12. Income Taxes

The Company’s income tax expense for the years ended December 31, 2015, 2014 and 2013 consists of the following (in thousands):


	Year ended December 31,
	2015			2014		2013
United States—deferred	$	(1,497	)	$	33	$	—
Foreign—current		4,128			6,270		—

	$	2,631		$	6,303	$	—

For the years ended December 31, 2015 and 2014, the Company recorded a tax provision of $4.1 million and $6.3 million, respectively, related to foreign taxes withheld on revenue generated from license agreements executed with third party licensees domiciled in a foreign jurisdiction. Additionally, during the year ended December 31, 2015, as a result of the impairment of certain indefinite-lived intangibles, the deferred tax liability associated with these intangibles was decreased, resulting in a federal tax benefit of $1.5 million. In general, foreign taxes withheld may be claimed as a deduction on future U.S. corporate income tax returns, or as a credit against future U.S. federal income tax liabilities, subject to certain limitations. However, due to uncertainty regarding the Company’s ability to utilize the deduction or credit resulting from the foreign withholding, at December 31, 2015 and 2014, the Company established a full valuation allowance against the related deferred tax asset.

A reconciliation of the federal statutory income tax rate of 34% to the Company’s effective income tax rate is as follows:


	Year ended December 31,
	2015			2014			2013
Statutory tax rate		34.00	%		34.00	%		34.00	%
Change in valuation allowance		(22.59	)		(95.75	)		(9.33	)
Release of uncertain tax position		—			62.77			—
Foreign withholding taxes		(2.37	)		(7.98	)		—
Deferred tax adjustments		—			—			(43.17	)
§338(h)(10) asset sale treatment upon DBSD sale to DISH		—			—			21.22
Goodwill impairment		(6.07	)		—			—
Stock-based compensation		(3.23	)		—			—
Other		(2.03	)		(5.20	)		(2.72	)

Effective tax rate		(2.29	)%		(12.16	)%		—

The significant components of the Company’s net deferred tax assets and liabilities are as follows (in thousands):


	December 31, 2015			December 31, 2014
Deferred tax assets:
Net operating losses	$	956,181		$	938,235
Basis difference in Liquidating Trust		16,894			29,381
Accrued expenses and other		10,380			14,824

Total deferred tax assets		983,455			982,440
Valuation allowance		(981,096	)		(955,133	)

Net deferred tax assets	$	2,359		$	27,307

Deferred tax liabilities:
Intangibles	$	(2,359	)	$	(28,828	)

Total deferred tax liabilities	$	(2,359	)	$	(28,828	)

Net deferred tax liabilities	$	—		$	(1,521	)

As of December 31, 2015, the Company had federal tax net operating loss carryforwards in the United States (“NOLs”) of approximately $2.6 billion. A significant portion of the NOL was triggered when the Company disposed of its satellite business and transferred the International Subsidiaries to the Liquidating Trust. The Company believes the NOL can be carried forward to offset certain future taxable income that may be generated during the NOL carryforward period. The NOL carryforward period begins to expire in 2025 with a significant portion expiring in 2032. The use of the NOL will be significantly limited if the Company undergoes a Tax Ownership Change under Section 382 of the Internal Revenue Code (“Tax Ownership Change”). Broadly, the Company will have a Tax Ownership Change if, over a three year testing period, the portion of all stock of the Company, by value, owned by one or more 5% shareholder increases by more than 50 percentage points. For purposes of this test, shareholders that own less than 5% of the stock of the Company are aggregated into one or more separate “public groups”, each of which is treated as a 5% shareholder. In general, shares traded within a public group are not included in the Tax Ownership Change test. As discussed below, the Board of Directors adopted a Tax Benefits Preservation Plan designed to preserve shareholder value and the value of certain tax assets primarily associated with NOLs under Section 382. As of December 31, 2015, the Company also had tax loss carryforwards in the state of California of approximately $1.3 billion, a portion of which will expire in 2016. A significant portion of the California loss carryforward was generated when the Company disposed of its satellite business and will expire in 2032. The impacts of a Tax Ownership Change, discussed above, would apply to the California tax losses as well.

For all years presented, the Company has considered all available evidence, including the history of tax losses and the uncertainty around future taxable income. Based on the weight of the evidence available at December 31, 2015, a valuation allowance has been recorded to reduce the value of the Company’s DTA, including the DTA associated with the NOL, to an amount that is more likely than not to be realized.

As of December 31, 2014, the Company had unrecognized tax benefits of $5.1 million. In October 2015, the Company filed a refund claim for approximately $10.5 million of taxes previously withheld from payments made to the Company by certain licensees and remitted to the Korean government. The Company filed the refund claim as a result of recent court decisions in Korea. Due to the uncertain nature of the refund claim, the uncertain tax position has not been recorded as an income tax benefit.

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):


	December 31,
	2015		2014			2013
Beginning of period	$	5,132	$	37,665		$	19,452
Additions for tax positions taken during the current period		10,462		—			—
Additions for tax positions taken during prior periods		—		—			32,533
Reductions for tax positions taken during prior periods		—		(32,533	)		(14,320	)

End of period	$	15,594	$	5,132		$	37,665

All of the unrecognized tax benefits at December 31, 2015, if fully recognized, would affect the Company’s effective tax rate. The Company estimates that a reduction in its unrecognized tax benefits of approximately $15.6 million may occur within the next twelve months upon resolution of determinations by taxing authorities.

The Company and its subsidiaries file U.S. federal income tax returns and tax returns in various state and foreign jurisdictions. The Company is also open to examination for the years ended 2005 and forward with respect to NOLs generated and carried forward from those years. The Company is open to examination by foreign jurisdictions for tax years 2012 forward.

Certain Taxes Payable Irrespective of NOLs—Under the Internal Revenue Code and related Treasury Regulations, the Company may “carry forward” its NOLs in certain circumstances to offset current and future income and thus reduce its federal income tax liability, subject to certain restrictions. To the extent that the NOLs do not otherwise become limited, the Company believes that it will be able to carry forward a significant amount of NOLs. However, these NOLs will not impact all taxes to which the Company may be subject. For instance, state or foreign income taxes and/or revenue based taxes may be payable if the Company’s income or revenue is attributed to jurisdictions that impose such taxes; the Company’s NOLs do not entirely offset its income for alternative minimum tax; and the NOLs will not offset federal personal holding company tax liability that Pendrell or one or more of its corporate subsidiaries may incur. This is not an exhaustive list, but merely illustrative of the types of taxes to which the Company’s NOLs are not applicable.

Personal Holding Company Determination—The Internal Revenue Code imposes an additional tax on the undistributed income of a Personal Holding Company (“PHC”). In general, a corporation will be classified as a PHC if 50% or more of its outstanding shares, measured by value, are owned directly or indirectly by five or fewer individual shareholders at any time during the second half of the year (“Concentrated Ownership”) and at least 60% of its adjusted ordinary gross income is Personal Holding Company Income (“PHCI”). Broadly, PHCI includes items such as dividends, interest, rents and royalties, among others. For a corporate subsidiary, Concentrated Ownership is determined by reference to ownership of the parent corporation(s), and the subsidiary’s income is subject to additional tests to determine whether its income renders the subsidiary a PHC. If a corporation is a PHC, generates positive net PHCI and does not distribute to its shareholders a proportionate dividend in the full amount of the net PHCI, then the undistributed net PHCI is taxed (at 20% under current law).

Due to the significant number of shares held by the Company’s largest shareholders and the type of income that the Company generates, the Company must continually assess share ownership of Pendrell and its consolidated subsidiary ContentGuard to determine whether or not there is Concentrated Ownership of either corporation. For 2015, the Company determined that Pendrell, the parent company, met the Concentrated Ownership test, but that ContentGuard has not yet met the Concentrated Ownership test due to the interest held by its minority shareholder. If either Pendrell or ContentGuard is determined to be a PHC in the future, generates net PHCI, and does not distribute to its shareholders a proportionate dividend in the full amount of the net PHCI, then the undistributed net PHCI will be taxed.

Tax Benefits Preservation Plan—Effective January 29, 2010, the Board of Directors adopted the Tax Benefits Preservation Plan to help the Company preserve its ability to utilize fully its NOLs and to help preserve potential future NOLs. As discussed above, if the Company experiences a “Tax Ownership Change,” as defined in Section 382 of the Internal Revenue Code, the Company’s ability to use the NOLs could be significantly limited.

The Tax Benefits Plan is intended to act as a deterrent to any person or group acquiring, without the approval of the Company’s Board of Directors, beneficial ownership of 4.9% or more of the Company’s securities, defined to include: (i) shares of its Class A common stock and Class B common stock, (ii) shares of its preferred stock, (iii) warrants, rights, or options to purchase its securities, and (iv) any interest that would be treated as “stock” of the Company for purposes of Section 382 or pursuant to Treasury Regulation § 1.382-2T(f)(18).

Holders of 4.9% or more of the Company’s securities outstanding as of the close of business on January 29, 2010 will not trigger the Tax Benefits Plan so long as they do not (i) acquire additional securities constituting one-half of one percent (0.5%) or more of the Company’s securities outstanding as of the date of the Tax Benefits Plan (as adjusted to reflect any stock splits, subdivisions and the like), or (ii) fall under 4.9% ownership of the Company’s securities and then re-acquire securities that increase their ownership to 4.9% or more of the Company’s securities. The Board of Directors may exempt certain persons whose acquisition of securities is determined by the Board of Directors not to jeopardize the Company’s tax benefits or to otherwise be in the best interest of the Company and its shareholders. The Board of Directors may also exempt certain transactions.

XML 34 R19.htm IDEA: XBRL DOCUMENT

Employee Benefits

12 Months Ended

Dec. 31, 2015

Postemployment Benefits [Abstract]

Employee Benefits

13. Employee Benefits

The Company provides its eligible employees with medical and dental benefits, insurance arrangements to cover death in service, long-term disability and personal accident, as well as a defined contribution retirement plan. Expense related to contributions by the Company under the defined contribution retirement plan included in general and administrative expenses in the Company’s consolidated statements of operations for the years ended December 31, 2015, 2014 and 2013 was as follows (in thousands):


	Year ended December 31,
	2015		2014		2013
Defined contribution expenses	$	201	$	264	$	291

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Related Parties	12 Months Ended
Related Parties	Dec. 31, 2015
Related Party Transactions [Abstract]
Related Parties	14. Related Parties The Company considers its related parties to be its principal shareholder and its affiliates. *Eagle River Satellite Holdings, LLC (“ERSH”), Eagle River Investments, Eagle River, Inc. and Eagle River Partners, LLC (“ERP”)—*ERSH is the Company’s controlling shareholder. ERSH, together with its affiliates Eagle River Investments, LLC, Eagle River, Inc. and ERP (collectively, “Eagle River”) holds an economic interest of approximately 33.2% of the Company’s outstanding common stock and a voting interest of approximately 65.0% in the Company as of December 31, 2015.

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

Quarterly Financial Information Disclosure [Abstract]

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Quarterly Financial Data

12 Months Ended

Dec. 31, 2015

Quarterly Financial Data

15. Quarterly Financial Data (Unaudited)

The following table contains selected unaudited statement of operations information for each quarter of the years ended December 31, 2015 and 2014. The quarterly financial data reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period.

Unaudited quarterly results were as follows (in thousands, except per share data):


	Three months ended
	March 31,					June 30,						September 30,						December 31,
	2015			2014		2015			2014			2015			2014			2015			2014
Revenue	$	25,245		$	38,135	$	2,147		$	2,935		$	15,465		$	618		$	662		$	846
Impairment of intangibles and goodwill		—			—		—			—			—			—			(103,499	)		(11,013	)
Operating income (loss)		1,076			7,134		(8,021	)		(13,563	)		(2,129	)		(14,096	)		(112,061	)		(31,191	)
Net income (loss)		(1,315	)		815		(7,990	)		(13,588	)		127			(14,117	)		(108,404	)		(31,244	)
Net income (loss) attributable to Pendrell		(559	)		1,730		(7,558	)		(12,595	)		1			(13,262	)		(101,564	)		(26,875	)
Basic and diluted income (loss) per share attributable to Pendrell(1)	$	—		$	0.01	$	(0.03	)	$	(0.05	)	$	—		$	(0.05	)	$	(0.38	)	$	(0.10	)

(1)	Per share amounts for the three months ended March 31, 2015 and September 30, 2015 were less than $0.01.

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Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2015

Accounting Policies [Abstract]

Principles of Consolidation and Basis of Presentation

Principles of Consolidation and Basis of Presentation— The consolidated financial statements of the Company include the assets and liabilities of its wholly-owned subsidiaries and subsidiaries it controls or in which it has a controlling financial interest. Noncontrolling interests on the consolidated balance sheets include third-party investments in entities that the Company consolidates, but does not wholly own. Noncontrolling interests are classified as part of equity and the Company allocates net income (loss), other comprehensive income (loss) and other equity transactions to its noncontrolling interests in accordance with their applicable ownership percentages. All intercompany transactions and balances have been eliminated in consolidation. All information in these financial statements is in U.S. dollars. These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”).

Segment Information

Segment Information—The Company operates in and reports on one segment (IP management). Operating segments are based upon the Company’s internal organization structure, the manner in which its operations are managed, and the criteria used by its Chief Operating Decision Maker. Substantially all of the Company’s revenue is generated by operations located within the United States, and the Company does not have any long-lived assets located in foreign countries.

Use of Estimates

Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates.

Cash and Cash Equivalents


	December 31,
	2015		2014
Cash	$	26,951	$	18,403
Money market funds		135,506		150,390

	$	162,457	$	168,793

Accounts Receivable

Prepaid Expenses and Other Current Assets

Prepaid Expenses and Other Current Assets—As of December 31, 2015 and 2014 prepaid expenses and other current assets consisted primarily of insurance prepayments and prepayments related to rent and security deposits associated with certain of the Company’s leased facilities.

Property in Service

Property in Service—Property in service consists primarily of computer equipment, software, furniture and fixtures and leasehold improvements. Property in service is recorded at cost, net of accumulated depreciation, and is depreciated using the straight-line method. Computer equipment and furniture and fixtures are depreciated over their estimated useful lives ranging from three to five years. Software is depreciated over the shorter of its contractual license period or three years. Leasehold improvements are amortized over the shorter of their estimated useful lives or the term of the respective lease. Significant additions and improvements to property in service are capitalized. Repair and maintenance costs are expensed as incurred.

Business Combinations

Business Combinations—The Company accounts for business combinations using the acquisition method and, accordingly, the identifiable assets acquired and liabilities assumed are recorded at their acquisition date fair values. This valuation requires management to make significant estimates and assumptions, especially with respect to intangible assets. Valuation methodologies may include the cost, market or income approach. Critical estimates in valuing intangible assets include but are not limited to estimates about: future expected cash flows from customers, proprietary technology, the acquired company’s brand awareness and market position and discount rates. The estimates are based upon assumptions the Company believes to be reasonable, but which are inherently uncertain and unpredictable. Goodwill is calculated as the excess of the purchase price over the fair value of net assets, including the amount assigned to identifiable intangible assets. Subsequent changes to assets, liabilities, valuation allowance or uncertain tax positions that relate to the acquired company and existed at the acquisition date that occur both within the measurement period and as a result of new information about facts and circumstances that existed at the acquisition date are recognized as an adjustment to goodwill. Acquisition-related costs, including advisory, legal, accounting, valuation and other costs, are expensed in the periods in which the costs are incurred. The results of operations of acquired businesses are included in the consolidated financial statements from the acquisition date.

Intangible Assets and Goodwill

Intangible Assets and Goodwill— The Company amortizes finite-lived intangible assets, including patents, acquired in purchase transactions over their expected useful lives. The Company assigns goodwill and indefinite-lived intangible assets to its reporting units based on the expected benefit from the synergies arising from each business combination.

Fair Value of Financial Instruments

Fair Value of Financial Instruments—The Company determines the fair value of its financial instruments based on the fair value hierarchy established by the FASB. The three levels of inputs used to measure fair value are as follows:

Level 1—Quoted prices in active markets for identical assets and liabilities.

Foreign Currency Translation and Foreign Currency Transactions and Accumulated Other Comprehensive Income (Loss)

Foreign Currency Translation and Foreign Currency Transactions and Accumulated Other Comprehensive Income (Loss)—The reporting currency for the Company’s operations is U.S. dollars. The Company translates the activities of its subsidiaries with functional currencies other than the U.S. dollar at the average exchange rate prevailing during the period. Gains and losses on foreign currency transactions are recognized as a component of other income (expense) in the consolidated statements of operations in the period in which they occur. Assets and liabilities denominated in foreign currencies are translated at the exchange rates prevailing at the balance sheet date. Translation adjustments resulting from these processes are recognized as a component of accumulated other comprehensive income (loss).

For the years ended, December 31, 2015, 2014 and 2013, there were no gains or losses on intercompany foreign currency translations.

Revenue Recognition

Revenue Recognition— The Company derives its operating revenue from IP monetization activities, including patent licensing and patent sales, and from IP consulting services. Although the Company’s revenue may occur in different forms, it regards its IP monetization activities as integrated and not separate revenue streams. For example, a third party relationship could involve consulting and licensing activities, or the acquisition of a patent portfolio can lead to licensing, consulting and patent sales revenue.

The Company sells patents from its portfolios from time to time. These sales are part of the Company’s ongoing operations. Consequently, the related proceeds are recorded as revenue.

Research and Development

Research and Development—The Company incurs costs associated with research and development activities and expenses the costs in the period incurred. Research and development expenses during the period were not material for separate disclosure and are included in general and administrative expenses.

Stock-Based Compensation

Stock-Based Compensation—The Company records stock-based compensation on stock options, stock appreciation rights, restricted stock awards, restricted stock units and other stock awards issued to employees, directors, consultants and/or advisors based on the estimated fair value on the date of grant and recognizes compensation cost over the requisite service period for awards expected to vest. The fair value of stock options and stock appreciation rights is estimated on the date of grant using the Black-Scholes option pricing model (“Black-Scholes Model”) based on the single option award approach. The fair value of restricted stock awards and restricted stock units is determined based on the number of shares granted and either the quoted market price of the Company’s Class A common stock on the date of grant for time-based and performance-based awards, or the fair value on the date of grant using the Monte Carlo Simulation model (“Monte Carlo Simulation”) for market-based awards. The fair value of stock options, restricted stock awards and restricted stock units with service conditions are amortized to expense on a straight-line basis over the requisite service periods of the awards, which is generally the vesting period. The fair value of stock options, stock appreciation rights, restricted stock awards and restricted stock units with performance conditions deemed probable of being achieved and cliff vesting is amortized to expense over the requisite service period using the straight-line method of expense recognition. The fair value of restricted stock awards and restricted stock units with performance and market conditions are amortized to expense over the requisite service period using the straight-line method of expense recognition. The fair value of stock-based payment awards as determined by the Black-Scholes Model and the Monte Carlo Simulation are affected by the Company’s stock price as well as other assumptions. These assumptions include, but are not limited to, the expected stock price volatility over the term of the awards and actual and projected employee stock option exercise behaviors. Forfeitures are estimated at the date of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates.

Income Taxes

Income Taxes—The Company accounts for income taxes using the asset and liability method under which deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that includes the enactment date. A valuation allowance against deferred tax assets (“DTAs”) is recorded when it is more likely than not that the assets will not be realized.

Contingencies

Loss Per Share

The following table sets forth the computation of basic and diluted loss per share (in thousands, except share and per share data):


	Year ended December 31,
	2015			2014			2013
Net loss attributable to Pendrell	$	(109,680	)	$	(51,002	)	$	(55,062	)

Weighted average common shares outstanding		267,136,845			266,336,617			265,684,341
Less: weighted average unvested restricted stock awards		(1,429,521	)		(1,929,119	)		(3,564,938	)

Shares used for computation of basic and diluted loss per share (1)		265,707,324			264,407,498			262,119,403

Basic and diluted loss per share attributable to Pendrell	$	(0.41	)	$	(0.19	)	$	(0.21	)

(1)	Stock options, stock appreciation rights, restricted stock awards and units totaling 27,847,870, 28,113,540 and 34,408,579 for the years ended December 31, 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted loss per share as their inclusion was anti-dilutive.

New Accounting Pronouncements

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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2015

Accounting Policies [Abstract]

Summary of Cash and Cash Equivalents

Cash and cash equivalents are comprised of the following (in thousands):


	December 31,
	2015		2014
Cash	$	26,951	$	18,403
Money market funds		135,506		150,390

	$	162,457	$	168,793

Computation of Basic and Diluted Loss Per Share

The following table sets forth the computation of basic and diluted loss per share (in thousands, except share and per share data):


	Year ended December 31,
	2015			2014			2013
Net loss attributable to Pendrell	$	(109,680	)	$	(51,002	)	$	(55,062	)

Weighted average common shares outstanding		267,136,845			266,336,617			265,684,341
Less: weighted average unvested restricted stock awards		(1,429,521	)		(1,929,119	)		(3,564,938	)

Shares used for computation of basic and diluted loss per share (1)		265,707,324			264,407,498			262,119,403

Basic and diluted loss per share attributable to Pendrell	$	(0.41	)	$	(0.19	)	$	(0.21	)

(1)	Stock options, stock appreciation rights, restricted stock awards and units totaling 27,847,870, 28,113,540 and 34,408,579 for the years ended December 31, 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted loss per share as their inclusion was anti-dilutive.

XML 39 R24.htm IDEA: XBRL DOCUMENT

Intangible Assets and Goodwill (Tables)

12 Months Ended

Dec. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Related Amortization

The following table presents details of the Company’s intangible assets and related amortization (in thousands):


	December 31, 2015			December 31, 2014
Cost:
Patents	$	67,096		$	139,902
Customer relationships		1,804			6,615
Trade names		—			4,812
Trade secrets		—			1,940

Total cost		68,900			153,269

Accumulated amortization:
Patents		(52,719	)		(40,321	)
Customer relationships		(1,804	)		(2,680	)
Trade names		—			—
Trade secrets		—			(566	)

Total accumulated amortization		(54,523	)		(43,567	)

Intangible assets, net	$	14,377		$	109,702

Estimated Future Amortization Expense of Purchased Intangible Assets

The estimated future amortization expense of purchased intangible assets as of December 31, 2015 is as follows (in thousands):


Year ending December 31,	Amount
2016	$	9,531
2017		2,423
2018		2,423

Total	$	14,377

Changes in Carrying Amount of Goodwill

The changes in the carrying amount of goodwill for the years ended December 31, 2015 and 2014 are as follows (in thousands):


	December 31, 2015			December 31, 2014
Beginning balance	$	21,209		$	21,725
Impairment of goodwill		(21,209	)		(516	)

Ending balance	$	—		$	21,209

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Accrued expenses (Tables)

12 Months Ended

Dec. 31, 2015

Payables and Accruals [Abstract]

Summary of Accrued Expenses

The following table summarizes accrued expenses (in thousands):


	December 31, 2015		December 31, 2014
Accrued payroll and related expenses	$	1,742	$	2,570
Accrued legal, professional and other expenses		2,550		3,254

	$	4,292	$	5,824

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Other liabilities (Tables)

12 Months Ended

Dec. 31, 2015

Other Liabilities Disclosure [Abstract]

Summary of Other Current Liabilities

The following table summarizes other current liabilities (in thousands):


	December 31, 2015		December 31, 2014
Installment payment obligation	$	—	$	4,000
Restricted stock awards		—		2,254
Other		119		637

	$	119	$	6,891

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Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2015

Commitments and Contingencies Disclosure [Abstract]

Rental Expense

Total rental expense included in general and administrative expenses in the Company’s consolidated statements of operations for the years ended December 31, 2015, 2014 and 2013 was as follows (in thousands):


	Year ended December 31,
	2015		2014		2013
Rent expense	$	793	$	662	$	875

Future Minimum Payment Under Lease Agreements

As of December 31, 2015, future minimum payments under the Company’s lease agreements were as follows (in thousands):


	Operating leases
2016	$	406
2017		415
2018		425
2019		205

Total minimum payments	$	1,451

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Shareholders' Equity (Tables)

12 Months Ended

Dec. 31, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation Expense Included in Consolidated Statements of Operations

Stock-based compensation expense included in the Company’s consolidated statements of operations for the years ended December 31, 2015, 2014 and 2013 was as follows (in thousands):


	Year ended December 31,
	2015		2014		2013
Stock options(1)	$	2,236	$	7,268	$	5,723
Restricted stock awards(1)(2)		2,271		2,137		6,622

Total stock-based compensation expense	$	4,507	$	9,405	$	12,345

(1)

(2)

Stock-Based Compensation Cost to be Expensed in Future Years Related to Unvested Stock-Based Awards, as Adjusted for Expected Forfeitures


2016 (1)	$	3,226
2017 (1)		2,742
2018 (1)		1,871
2019 and thereafter		—

	$	7,839

(1)

Estimated Weighted Average Fair Value of Stock Options and Stock Appreciation Rights Granted Using Black-Scholes Model


	Year ended December 31,
	2015			2014			2013
Weighted average expected volatility		48	%		55	%		55	%
Weighted average risk-free interest rate		1.9	%		1.9	%		1.2	%
Expected dividend yield		0	%		0	%		0	%
Weighted average expected term in years		6.0			6.2			5.8
Weighted average estimated fair value per option granted	$	0.47		$	0.79		$	0.88

Stock Options Granted and Stock Appreciation Rights


	Year ended December 31,
	2015		2014		2013
Service-based (1)		4,238,300		4,374,000		1,248,000
Performance-based (2)		2,000,000		—		250,000
Stock options issued as Board of Director compensation		240,000		300,000		300,000

Total granted		6,478,300		4,674,000		1,798,000

Fair value of grants	$	3,021	$	3,702	$	1,585

(1)

(2)

Stock Option and Stock Appreciation Rights Activity

The Company’s stock option and stock appreciation rights activity for the years ended December 31, 2015, 2014 and 2013 is summarized as follows:


	Number of options/SARs			Weighted average exercise price		Weighted average remaining life (in years)
Outstanding at December 31, 2012		28,485,375		$	2.19
Granted		1,798,000			1.73
Exercised		(165,312	)		1.13
Forfeited		(1,621,600	)		2.20

Outstanding at December 31, 2013		28,496,463			2.17
Granted		4,674,000			1.49
Exercised		(992,499	)		1.18
Forfeited		(6,623,938	)		2.65

Outstanding at December 31, 2014		25,554,026			1.96
Granted		6,478,300			1.31
Exercised		(1,045,000	)		1.18
Forfeited (1)		(13,670,094	)		2.14

Outstanding at December 31, 2015 (2)		17,317,232		$	1.62		6.58

Exercisable at December 31, 2015 (2)		9,041,889		$	1.85		4.62

Vested and expected to vest at December 31, 2015 (2)		16,665,962		$	1.62		6.59

(1)

(2)

Summary of Significant Ranges of Outstanding and Exercisable Stock Options and Stock Appreciation Rights

The following table summarizes significant ranges of outstanding and exercisable stock options and stock appreciation rights as of December 31, 2015:


	Outstanding stock options and stock appreciation rights						Exercisable stock options and stock appreciation rights
Range of exercise prices	Number of options/SARs		Weighted average exercise price		Weighted average remaining life (in years)		Number of options/SARs		Weighted average exercise price
$0.71—$1.23		4,535,619	$	1.17		5.11		3,604,677	$	1.19
$1.24—$1.33		2,338,400		1.30		8.96		601,250		1.27
$1.34—$1.41		4,000,000		1.34		9.46		—		—
$1.42—$2.12		3,339,250		1.69		6.25		1,860,500		1.73
$2.13—$5.90		3,103,963		2.81		3.57		2,975,462		2.84

		17,317,232	$	1.62		6.58		9,041,889	$	1.85

Restricted Stock Granted


	Year ended December 31,
	2015		2014		2013
Service-based(1)		3,748,700		250,000		211,250
Performance-based(2)		3,500,000		—		—
Market-based(3)(4)(5)		2,000,000		150,000		300,000
Shares issued as Board of Director compensation		396,060		279,349		348,698

Total granted		9,644,760		679,349		859,948

Fair value of grants	$	7,627	$	869	$	1,198

(1)

(2)

(3)

(4)

(5)	The market-based RSUs granted during the year ended December 31, 2013 consisted of two awards of 150,000 units each, which would have vested only after designated time periods had elapsed and designated stock prices had been met. These awards were forfeited during the year ended December 31, 2014.

Restricted Stock Award Activity

The Company’s restricted stock award activity for the years ended December 31, 2015, 2014 and 2013 is summarized as follows:


	Number of restricted stock awards			Weighted average grant date fair value
Unvested—December 31, 2012		9,808,375		$	1.84
Granted		859,948			1.39
Vested		(4,298,239	)		1.53
Forfeited		(457,968	)		1.76

Unvested—December 31, 2013		5,912,116			1.62
Granted		679,349			1.28
Vested		(1,844,012	)		1.87
Forfeited		(2,187,939	)		1.23

Unvested—December 31, 2014		2,559,514			1.67
Granted		9,644,760			0.79
Vested		(848,459	)		2.21
Forfeited		(825,177	)		1.40

Unvested—December 31, 2015		10,530,638		$	0.84

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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Income Tax Expense

The Company’s income tax expense for the years ended December 31, 2015, 2014 and 2013 consists of the following (in thousands):


	Year ended December 31,
	2015			2014		2013
United States—deferred	$	(1,497	)	$	33	$	—
Foreign—current		4,128			6,270		—

	$	2,631		$	6,303	$	—

Reconciliation of Federal Statutory Income Tax Rate of 34% to Effective Income Tax Rate

A reconciliation of the federal statutory income tax rate of 34% to the Company’s effective income tax rate is as follows:


	Year ended December 31,
	2015			2014			2013
Statutory tax rate		34.00	%		34.00	%		34.00	%
Change in valuation allowance		(22.59	)		(95.75	)		(9.33	)
Release of uncertain tax position		—			62.77			—
Foreign withholding taxes		(2.37	)		(7.98	)		—
Deferred tax adjustments		—			—			(43.17	)
§338(h)(10) asset sale treatment upon DBSD sale to DISH		—			—			21.22
Goodwill impairment		(6.07	)		—			—
Stock-based compensation		(3.23	)		—			—
Other		(2.03	)		(5.20	)		(2.72	)

Effective tax rate		(2.29	)%		(12.16	)%		—

Significant Components of Net Deferred Tax Assets and Liabilities

The significant components of the Company’s net deferred tax assets and liabilities are as follows (in thousands):


	December 31, 2015			December 31, 2014
Deferred tax assets:
Net operating losses	$	956,181		$	938,235
Basis difference in Liquidating Trust		16,894			29,381
Accrued expenses and other		10,380			14,824

Total deferred tax assets		983,455			982,440
Valuation allowance		(981,096	)		(955,133	)

Net deferred tax assets	$	2,359		$	27,307

Deferred tax liabilities:
Intangibles	$	(2,359	)	$	(28,828	)

Total deferred tax liabilities	$	(2,359	)	$	(28,828	)

Net deferred tax liabilities	$	—		$	(1,521	)

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):


	December 31,
	2015		2014			2013
Beginning of period	$	5,132	$	37,665		$	19,452
Additions for tax positions taken during the current period		10,462		—			—
Additions for tax positions taken during prior periods		—		—			32,533
Reductions for tax positions taken during prior periods		—		(32,533	)		(14,320	)

End of period	$	15,594	$	5,132		$	37,665

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Employee Benefits (Tables)

12 Months Ended

Dec. 31, 2015

Postemployment Benefits [Abstract]

Expense related to contributions by the Company under the defined contribution retirement plan included in general and administrative expenses in the Company’s consolidated statements of operations for the years ended December 31, 2015, 2014 and 2013 was as follows (in thousands):


	Year ended December 31,
	2015		2014		2013
Defined contribution expenses	$	201	$	264	$	291

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Quarterly Financial Data (Tables)

12 Months Ended

Dec. 31, 2015

Quarterly Financial Information Disclosure [Abstract]

Unaudited Quarterly Results

Unaudited quarterly results were as follows (in thousands, except per share data):


	Three months ended
	March 31,					June 30,						September 30,						December 31,
	2015			2014		2015			2014			2015			2014			2015			2014
Revenue	$	25,245		$	38,135	$	2,147		$	2,935		$	15,465		$	618		$	662		$	846
Impairment of intangibles and goodwill		—			—		—			—			—			—			(103,499	)		(11,013	)
Operating income (loss)		1,076			7,134		(8,021	)		(13,563	)		(2,129	)		(14,096	)		(112,061	)		(31,191	)
Net income (loss)		(1,315	)		815		(7,990	)		(13,588	)		127			(14,117	)		(108,404	)		(31,244	)
Net income (loss) attributable to Pendrell		(559	)		1,730		(7,558	)		(12,595	)		1			(13,262	)		(101,564	)		(26,875	)
Basic and diluted income (loss) per share attributable to Pendrell(1)	$	—		$	0.01	$	(0.03	)	$	(0.05	)	$	—		$	(0.05	)	$	(0.38	)	$	(0.10	)

(1)	Per share amounts for the three months ended March 31, 2015 and September 30, 2015 were less than $0.01.

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Organization and Business - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2015 shares
Class A common stock \| Ovidian
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Shares received through divesture of Ovidian (in shares)	92,500

XML 48 R33.htm IDEA: XBRL DOCUMENT

Summary of Significant Accounting Policies - Additional Information (Detail)	3 Months Ended		12 Months Ended
	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2015 USD ($) Segment	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)	Feb. 28, 2015
Significant Accounting Policies [Line Items]
Number of operating and reporting segments \| Segment			1
Losses on accounts receivable			$ 0	$ 0
Allowance for doubtful accounts	$ 0	$ 0	0	0
Impairment of intangibles and goodwill	$ 103,499,000	11,013,000	103,499,000	11,013,000	$ 0
Gains (losses) on intercompany foreign currency transactions			0	0	0
Reclassifications of cumulative translation gains or losses included in net income			$ 0	$ 0	$ 0
Provitro Biosciences LLC
Significant Accounting Policies [Line Items]
Ownership percentage						100.00%
Impairment of intangibles and goodwill		$ 11,000,000
Furniture and Fixtures \| Minimum
Significant Accounting Policies [Line Items]
Property in Service, estimated useful life			3 years
Furniture and Fixtures \| Maximum
Significant Accounting Policies [Line Items]
Property in Service, estimated useful life			5 years
Computer Equipment \| Minimum
Significant Accounting Policies [Line Items]
Property in Service, estimated useful life			3 years
Computer Equipment \| Maximum
Significant Accounting Policies [Line Items]
Property in Service, estimated useful life			5 years
Software
Significant Accounting Policies [Line Items]
Property in Service, estimated useful life			3 years
Property in service, estimated useful lives, description			Software is depreciated over the shorter of its contractual license period or three years.
Leasehold Improvements
Significant Accounting Policies [Line Items]
Property in service, estimated useful lives, description			Leasehold improvements are amortized over the shorter of their estimated useful lives or the term of the respective lease.

XML 49 R34.htm IDEA: XBRL DOCUMENT

Summary of Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	$ 162,457	$ 168,793	$ 184,567	$ 213,753
Cash
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	26,951	18,403
Money Market Funds
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	$ 135,506	$ 150,390

XML 50 R35.htm IDEA: XBRL DOCUMENT

Computation of Basic and Diluted Loss Per Share (Detail) - USD ($)
$ / shares in Units, $ in Thousands

3 Months Ended

12 Months Ended

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2014

Sep. 30, 2014

Jun. 30, 2014

Mar. 31, 2014

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Earnings Per Share [Abstract]

Net loss attributable to Pendrell

$ (101,564)

$ 1

$ (7,558)

$ (559)

$ (26,875)

$ (13,262)

$ (12,595)

$ 1,730

$ (109,680)

$ (51,002)

$ (55,062)

Weighted average common shares outstanding

267,136,845

266,336,617

265,684,341

Less: weighted average unvested restricted stock awards

(1,429,521)

(1,929,119)

(3,564,938)

Shares used for computation of basic and diluted loss per share

^[1]

265,707,324

264,407,498

262,119,403

Basic and diluted loss per share attributable to Pendrell

$ (0.38)

^[2]

$ (0.03)

^[2]

$ (0.10)

^[2]

$ (0.05)

^[2]

$ (0.05)

^[2]

$ 0.01

^[2]

$ (0.41)

$ (0.19)

$ (0.21)

[1]	Stock options, stock appreciation rights, restricted stock awards and units totaling 27,847,870, 28,113,540 and 34,408,579 for the years ended December 31, 2015, 2014 and 2013, respectively, were excluded from the calculation of diluted loss per share as their inclusion was anti-dilutive.
[2]	Per share amounts for the three months ended March 31, 2015 and September 30, 2015 were less than $0.01.

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

XML 51 R36.htm IDEA: XBRL DOCUMENT

Computation of Basic and Diluted Loss Per Share (Parenthetical) (Detail) - shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Earnings Per Share [Abstract]
Securities excluded from calculation of diluted loss per share	27,847,870	28,113,540	34,408,579

XML 52 R37.htm IDEA: XBRL DOCUMENT

Provitro - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Feb. 28, 2015	Feb. 28, 2013
Business Acquisition [Line Items]
Impairment charges	$ 103,499	$ 11,013	$ 103,499	$ 11,013	$ 0
Provitro Biosciences LLC
Business Acquisition [Line Items]
Percentage of business acquisition interest							68.75%
Ownership percentage						100.00%
Impairment charges		$ 11,000

XML 53 R38.htm IDEA: XBRL DOCUMENT

Provitro - Additional Information1 (Detail) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Proceeds associated with the disposition of property		$ 109
Provitro Biosciences LLC
Property, Plant and Equipment [Line Items]
Proceeds associated with the disposition of property		$ 100
Provitro Biosciences LLC \| Disposal Group, Disposed of by Sale, Not Discontinued Operations
Property, Plant and Equipment [Line Items]
Considerations paid and payable under the sale of assets	$ 2,000
Period over which balance payable under sale of assets		12 months
Installment period for the sale of assets		2017-03
Provitro Biosciences LLC \| Disposal Group, Disposed of by Sale, Not Discontinued Operations \| General and Administrative Expenses
Property, Plant and Equipment [Line Items]
Loss related to tangible assets	$ 700
Provitro Biosciences LLC \| Disposal Group, Disposed of by Sale, Not Discontinued Operations \| Other Current Receivables
Property, Plant and Equipment [Line Items]
Considerations paid and payable under the sale of assets		$ 1,300
Provitro Biosciences LLC \| Disposal Group, Disposed of by Sale, Not Discontinued Operations \| Other Noncurrent Assets
Property, Plant and Equipment [Line Items]
Considerations paid and payable under the sale of assets		$ 600

XML 54 R39.htm IDEA: XBRL DOCUMENT

Other Receivables - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Nov. 30, 2015	Dec. 31, 2015	Dec. 31, 2014
Accounts, Notes, Loans and Financing Receivable [Line Items]
Notes receivable related to sale of Provitro's assets		$ 1,300
Gain on contingencies		$ 6,095
Jay & Jayendra (Pty) Ltd
Accounts, Notes, Loans and Financing Receivable [Line Items]
Reimbursement of satellite system expenses from J&J Group			$ 2,700
Gain on contingencies	$ 1,600

XML 55 R40.htm IDEA: XBRL DOCUMENT

Other Assets - Additional Information (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other assets	$ 2,140	$ 54
Receivable for royalty revenue due in 2018 and 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other assets	1,500
Receivable related to sale of Provitro's assets due in March 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other assets	$ 600

XML 56 R41.htm IDEA: XBRL DOCUMENT

Intangible Assets and Goodwill - Additional Information (Detail) $ in Thousands	3 Months Ended			12 Months Ended
	Dec. 31, 2015 USD ($)	Mar. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($) Patent	Dec. 31, 2013 USD ($)
Impairment of Intangible Assets [Line Items]
Impairment of goodwill	$ 21,200			$ 21,209	$ 516
Non-cash impairment charge					10,500
Impairment charges for intangible assets or goodwill	103,499		$ 11,013	103,499	$ 11,013	$ 0
Non-cash impairment charge on infinite and finite lived intangible assets				82,300
Cost incurred to enhance the existing patent		$ 2,000
Number of patents purchased \| Patent					0
Losses on abandonment of certain patents				(958)	$ (2,765)	(46)
Abandoned assets combined book value						100
Amortization of intangible assets				13,939	15,929	15,864
Goodwill	$ 0		$ 21,209	$ 0	$ 21,209	$ 21,725
Ovidian
Impairment of Intangible Assets [Line Items]
Acquisitions date				Jun. 17, 2011
ContentGuard
Impairment of Intangible Assets [Line Items]
Acquisitions date				Oct. 31, 2011
Patents
Impairment of Intangible Assets [Line Items]
Finite lived intangible asset, useful lives				3 years

XML 57 R42.htm IDEA: XBRL DOCUMENT

Intangible Assets and Related Amortization (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items]
Intangible assets, gross	$ 68,900	$ 153,269
Intangible assets, accumulated amortization	(54,523)	(43,567)
Intangible assets, net	14,377	109,702
Trade names
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items]
Indefinite lived intangible assets, gross		4,812
Patents
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items]
Intangible assets, gross	67,096	139,902
Intangible assets, accumulated amortization	(52,719)	(40,321)
Customer relationships
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items]
Intangible assets, gross	1,804	6,615
Intangible assets, accumulated amortization	$ (1,804)	(2,680)
Trade secrets
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items]
Intangible assets, gross		1,940
Intangible assets, accumulated amortization		$ (566)

XML 58 R43.htm IDEA: XBRL DOCUMENT

Estimated Future Amortization Expense of Purchased Intangible Assets (Detail) $ in Thousands	Dec. 31, 2015 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2016	$ 9,531
2017	2,423
2018	2,423
Total	$ 14,377

XML 59 R44.htm IDEA: XBRL DOCUMENT

Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2015	Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
Beginning balance		$ 21,209	$ 21,725
Impairment of goodwill	$ (21,200)	(21,209)	(516)
Ending balance	$ 0	$ 0	$ 21,209

XML 60 R45.htm IDEA: XBRL DOCUMENT

Summary of Accrued Expenses (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Payables and Accruals [Abstract]
Accrued payroll and related expenses	$ 1,742	$ 2,570
Accrued legal, professional and other expenses	2,550	3,254
Accrued expenses	$ 4,292	$ 5,824

XML 61 R46.htm IDEA: XBRL DOCUMENT

Other liabilities - Summary of Other Current Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Other Liabilities Disclosure [Abstract]
Installment payment obligation		$ 4,000
Restricted stock awards		2,254
Other	$ 119	637
Other liabilities	$ 119	$ 6,891

XML 62 R47.htm IDEA: XBRL DOCUMENT

Rent Expense (Detail) - USD ($) $ in Thousands	12 Months Ended
Rent Expense (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Commitments and Contingencies Disclosure [Abstract]
Rent expense	$ 793	$ 662	$ 875

XML 63 R48.htm IDEA: XBRL DOCUMENT

Future Minimum Payment under Lease Agreements (Detail) $ in Thousands	Dec. 31, 2015 USD ($)
Commitments and Contingencies Disclosure [Abstract]
2016	$ 406
2017	415
2018	425
2019	205
Total minimum payments	$ 1,451

XML 64 R49.htm IDEA: XBRL DOCUMENT

Commitments and Contingencies - Additional Information (Detail) $ in Thousands			1 Months Ended			5 Months Ended	12 Months Ended
	Jan. 31, 2014 Patent	Dec. 18, 2013 Patent	Nov. 30, 2015 USD ($)	Dec. 31, 2014 Patent	Nov. 30, 2012 USD ($)	Jul. 31, 2015 Patent	Dec. 31, 2015 USD ($) Patent
Gain And Loss Contingencies [Line Items]
Gain on contingencies \| $							$ 6,095
Apple Inc
Gain And Loss Contingencies [Line Items]
Number of inter partes review petitions							4
Google And Samsung Verdict \| Android Defendants \| Unfavorable Regulatory Action
Gain And Loss Contingencies [Line Items]
Additional contingent litigation expenses associated with trial \| $							$ 500
ZTE Enforcement Actions
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed							3
Number of patents against nullity action filed							2
Number of revocation of patent							1
Number of patents with opposition							1
Apple Litigation
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed		9
Additional contingent litigation expenses associated with trial \| $							$ 500
IPR and CBM Petitions by Apple
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed				9
Number of inter partes review petitions				29
Number of challenging validity				3
IPR and CBM Petitions by Google
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed				3
Number of challenging validity				3		1
Number of patents terminated or withdrawn						1
IPR and CBM Petitions by Google \| Maximum
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed				9
ZTE IPRs
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed							6
Number of patents terminated or withdrawn							2
Number of patents remaining							4
J&J Arbitration
Gain And Loss Contingencies [Line Items]
Amount obtained from arbitration judgment \| $					$ 4,000
Gain on contingencies \| $			$ 1,600		$ 1,600		$ 1,600
Google Litigation
Gain And Loss Contingencies [Line Items]
Number of alleged patents infringed	9

XML 65 R50.htm IDEA: XBRL DOCUMENT

Shareholders' Equity - Additional Information (Detail) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2015 USD ($) VotesperShare Class shares	Dec. 31, 2014 USD ($) shares	Dec. 31, 2013 USD ($) $ / shares shares	Nov. 14, 2012 shares
Class of Stock [Line Items]
Number of classes of common stock \| Class	2
Estimated forfeiture rate	5.00%	5.00%	5.00%
Unearned stock-based compensation expense, weighted average period recognition	2 years 6 months
Aggregate intrinsic value of stock options exercised \| $	$ 300
Stock options vested, total fair value \| $	2,500	$ 7,300	$ 5,800
Repurchasing and/or cancelling value related to the vesting of the restricted stock awards \| $	$ 140	775	2,660
Equity Incentive Plan Twenty Twelve
Class of Stock [Line Items]
Maximum number of shares to be issued				37,952,546
Shares reserved and available for grant	20,551,286
Accumulated deficit
Class of Stock [Line Items]
Repurchasing and/or cancelling value related to the vesting of the restricted stock awards \| $	$ 8	$ 140	$ 932
Service- based
Class of Stock [Line Items]
Repurchasing and/or cancelling value related to the vesting of the restricted stock awards \| $	140
Service- based \| Accumulated deficit
Class of Stock [Line Items]
Repurchasing and/or cancelling value related to the vesting of the restricted stock awards \| $	$ 8
Directors Consultants And Employee Stock Option
Class of Stock [Line Items]
Stock options expiration period	10 years
Directors Consultants And Employee Stock Option \| Termination Of Employment \| Maximum
Class of Stock [Line Items]
Stock options expiration period	3 months
Directors Consultants And Employee Stock Option \| Stock options issued as Board of Director compensation
Class of Stock [Line Items]
Stock options exercisable period	1 year
Directors Consultants And Employee Stock Option \| Service- based
Class of Stock [Line Items]
Stock options exercisable period	4 years
Restricted Stock And Units Equity And Liability Awards
Class of Stock [Line Items]
Stock-awards vested	848,459	1,844,012	4,298,239
Restricted Stock And Units Equity And Liability Awards \| Service- based
Class of Stock [Line Items]
Stock-awards vested	848,459	801,824
Restricted Stock And Units Equity And Liability Awards \| Market-based
Class of Stock [Line Items]
Stock-awards vested			2,780,164
Restricted Stock And Units Equity And Liability Awards \| Market-based \| Mr Wolff's Amended and Restated Employment Letter Agreement
Class of Stock [Line Items]
Stock-awards vested due to accelerated vesting		1,042,188
Restricted stock awards
Class of Stock [Line Items]
Repurchasing and/or cancelling shares related to the vesting of the restricted stock awards		504,435	1,107,901
Restricted stock awards \| Service- based
Class of Stock [Line Items]
Stock-awards vested			1,518,075
Repurchasing and/or cancelling shares related to the vesting of the restricted stock awards	111,458
Restricted stock awards \| Market-based
Class of Stock [Line Items]
Stock award, average closing price \| $ / shares			$ 2.00
Stock award, period consecutive trading days			60 days
Principal Owner
Class of Stock [Line Items]
Eagle River's economic interest percentage	33.20%
Eagle River's voting interest percentage	65.00%
Class A common stock
Class of Stock [Line Items]
Number of vote entitled per share \| VotesperShare	1
Class B common stock
Class of Stock [Line Items]
Number of vote entitled per share \| VotesperShare	10
Common Stock, Conversion Basis	1

XML 66 R51.htm IDEA: XBRL DOCUMENT

Stock-Based Compensation Expense Included in Condensed Consolidated Statements of Operations (Detail) - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

$ 4,507

$ 9,405

$ 12,345

Restricted stock awards

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

^[1],[2]

2,271

2,137

6,622

Stock options

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

^[1]

$ 2,236

$ 7,268

$ 5,723

[1]

On November 19, 2014, Benjamin G. Wolff resigned from his positions as President and Chief Executive Officer of the Company. The Company entered into a separation agreement in accordance with the terms of Mr. Wolff's Amended and Restated Employment Letter Agreement (the "Agreement"). The Agreement provided for the vesting of all options, shares of restricted stock ("RSAs") and restricted stock units ("RSUs") in which Mr. Wolff would have vested had he remained actively employed by the Company through the second anniversary of his resignation, excluding any unvested performance-based RSAs or performance-based RSUs. The Agreement also provided for an extension of the exercise period for Mr. Wolff's vested stock options until December 15, 2015. The extension of the exercise period is considered a modification and resulted in additional stock-based compensation expense of $0.7 million, as determined using a Black-Scholes model, which was recognized on the modification date as the options were vested pursuant to the Agreement. The accelerated vesting of the options, RSUs and RSAs resulted in $2.1 million of additional stock-based compensation expense in the year ended December 31, 2014.

[2]

XML 67 R52.htm IDEA: XBRL DOCUMENT

Stock-Based Compensation Expense Included in Condensed Consolidated Statements of Operations (Parenthetical) (Detail) - USD ($)
$ in Thousands

1 Months Ended

12 Months Ended

Nov. 17, 2014

Apr. 30, 2015

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Mr Wolff's Amended and Restated Employment Letter Agreement

$ 4,507

$ 9,405

$ 12,345

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

Additional stock based compensation expense, accelerated vesting of options

$ 2,100

Stock-based compensation option exercise period

Dec. 15, 2015

Restricted stock awards liability

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

Restricted stock awards accounted for liability awards

$ 200

$ 800

800

250,000

Payment to settle related liability

$ 2,500

Stock options

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

Stock options | Mr Wolff's Amended and Restated Employment Letter Agreement

^[1]

$ 2,236

$ 7,268

$ 5,723

Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]

Additional stock based compensation

$ 700

[1]

On November 19, 2014, Benjamin G. Wolff resigned from his positions as President and Chief Executive Officer of the Company. The Company entered into a separation agreement in accordance with the terms of Mr. Wolff's Amended and Restated Employment Letter Agreement (the "Agreement"). The Agreement provided for the vesting of all options, shares of restricted stock ("RSAs") and restricted stock units ("RSUs") in which Mr. Wolff would have vested had he remained actively employed by the Company through the second anniversary of his resignation, excluding any unvested performance-based RSAs or performance-based RSUs. The Agreement also provided for an extension of the exercise period for Mr. Wolff's vested stock options until December 15, 2015. The extension of the exercise period is considered a modification and resulted in additional stock-based compensation expense of $0.7 million, as determined using a Black-Scholes model, which was recognized on the modification date as the options were vested pursuant to the Agreement. The accelerated vesting of the options, RSUs and RSAs resulted in $2.1 million of additional stock-based compensation expense in the year ended December 31, 2014.

XML 68 R53.htm IDEA: XBRL DOCUMENT

Stock-Based Compensation Cost to be Expensed in Future Years Related to Unvested Stock-Based Awards, as Adjusted for Expected Forfeitures (Detail)
$ in Thousands

Dec. 31, 2015

USD ($)

Equity [Abstract]

2016

$ 3,226

^[1]

2017

2,742

^[1]

2018

1,871

^[1]

2019 and thereafter

Stock-based compensation cost to be expensed in future years related to unvested stock-based awards

$ 7,839

[1]

XML 69 R54.htm IDEA: XBRL DOCUMENT

Stock-Based Compensation Cost to be Expensed in Future Years Related to Unvested Stock-Based Awards, as Adjusted for Expected Forfeitures (Parenthetical) (Detail) - Performance- based shares in Millions	12 Months Ended
	Dec. 31, 2015 shares
Performance Based Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options, Vest upon achievement of performance milestones	1.5
Performance-based
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock awards, Vest upon achievement of performance milestones	3.0

XML 70 R55.htm IDEA: XBRL DOCUMENT

Estimated Weighted Average Fair Value of Stock Options and Stock Appreciation Rights Granted Using Black-Scholes Model (Detail) - Stock Options and Stock Appreciation Rights - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average expected volatility	48.00%	55.00%	55.00%
Weighted average risk-free interest rate	1.90%	1.90%	1.20%
Expected dividend yield	0.00%	0.00%	0.00%
Weighted average expected term in years	6 years	6 years 2 months 12 days	5 years 9 months 18 days
Weighted average estimated fair value per option granted	$ 0.47	$ 0.79	$ 0.88

XML 71 R56.htm IDEA: XBRL DOCUMENT

Stock Options Granted and Stock Appreciation Rights (Detail) - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Stock Options and Stock Appreciation Rights

6,478,300

4,674,000

1,798,000

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Stock options and appreciation rights, Fair value of grants

6,478,300

4,674,000

1,798,000

$ 3,021

$ 3,702

$ 1,585

Stock Options and Stock Appreciation Rights | Stock options issued as Board of Director compensation

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Stock Options and Stock Appreciation Rights | Performance- based

240,000

300,000

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Stock Options and Stock Appreciation Rights | Service- based

^[1]

2,000,000

250,000

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Outstanding at beginning of period

^[2]

4,238,300

4,374,000

1,248,000

[1]

The 2.0 million performance-based stock options were all granted to the CEO and vest at a maximum rate of 25% per year over four years, but only if and to the extent the Company meets its performance objectives for the preceding calendar year under the Company's then-applicable incentive plan. Of the 2.0 million options granted, 1.5 million vest upon the achievement of certain performance milestones for which the related performance targets have yet to be established. Accordingly, no compensation expense related to those shares has been recorded. The remaining 0.5 million options have a grant date fair value of $0.3 million.

[2]

Of the 4.2 million service-based stock options granted during the year ended December 31, 2015, 2.0 million were granted to its new Chief Executive Officer ("CEO") with a grant date fair value of $1.3 million and vest at a rate of 25% per year over four years. The remaining 2.2 million of service-based stock options were granted to various employees with a grant date fair value of $1.4 million and vest 50% after one year, 75% after two years and 100% after three years.

XML 72 R57.htm IDEA: XBRL DOCUMENT

Stock Options Granted and Stock Appreciation Rights (Parenthetical) (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted	6,478,300	4,674,000	1,798,000
Compensation expense related to stock options vest upon achievement of performance milestone	$ 7,839,000
Performance Based Stock Option \| Performance- based
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options, Vest upon achievement of performance milestones	1,500,000
Performance Based Stock Option \| Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted	2,000,000
Restricted stock awards vesting period	4 years
Performance Based Stock Option \| Chief Executive Officer \| One Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Performance Based Stock Option \| Chief Executive Officer \| Second Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Performance Based Stock Option \| Chief Executive Officer \| Third Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Performance Based Stock Option \| Chief Executive Officer \| Fourth Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Performance Based Stock Option \| Chief Executive Officer \| Performance- based
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options grant date fair value	$ 300,000
Stock options, Vest upon achievement of performance milestones	1,500,000
Compensation expense related to stock options vest upon achievement of performance milestone	$ 0
Number of non-vested stock options remaining	500,000
Service Based Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted	4,200,000
Service Based Stock Options \| Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted	2,000,000
Stock options grant date fair value	$ 1,300,000
Restricted stock awards vesting period	4 years
Service Based Stock Options \| Chief Executive Officer \| One Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Service Based Stock Options \| Chief Executive Officer \| Second Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Service Based Stock Options \| Chief Executive Officer \| Third Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Service Based Stock Options \| Chief Executive Officer \| Fourth Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	25.00%
Service Based Stock Options \| Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted	2,200,000
Stock options grant date fair value	$ 1,400,000
Service Based Stock Options \| Employees \| Vest After One Year
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	50.00%
Service Based Stock Options \| Employees \| Vest After Two Years
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	75.00%
Service Based Stock Options \| Employees \| Vest After Three Years
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting percentage	100.00%

XML 73 R58.htm IDEA: XBRL DOCUMENT

Stock Option and Stock Appreciation Rights Activity (Detail) - $ / shares

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Number of Options

25,554,026

28,496,463

28,485,375

Granted

6,478,300

4,674,000

1,798,000

Exercised

(1,045,000)

(992,499)

(165,312)

Forfeited

(13,670,094)

^[1]

(6,623,938)

(1,621,600)

Outstanding at end of period

17,317,232

^[2]

25,554,026

28,496,463

Exercisable at end of period

^[2]

9,041,889

Outstanding at beginning of period

^[2]

16,665,962

Weighted average exercise price

$ 1.96

$ 2.17

$ 2.19

Granted

1.31

1.49

1.73

Exercised

1.18

1.13

Forfeited

2.14

^[1]

2.65

2.20

Outstanding at end of period

1.62

^[2]

$ 1.96

$ 2.17

Exercisable at end of period

^[2]

1.85

Weighted average remaining life (in years)

^[2]

$ 1.62

Outstanding at end of period

^[2]

6 years 6 months 29 days

Exercisable at end of period

^[2]

4 years 7 months 13 days

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

^[2]

6 years 7 months 2 days

[1]

In connection with the departure of the Company's former CEO, Mr. Benjamin G. Wolff, in November 2014, the exercise period for Mr. Wolff's 8,927,500 vested stock options was extended until December 15, 2015. Mr. Wolff forfeited 8,277,500 of the vested options during the year ended December 31, 2015.

[2]

Aggregate intrinsic value represents total pretax intrinsic value (i.e., the difference between the Company's closing stock price on the last trading day of 2015 and the exercise price, times the number of shares) that would have been received by the option holders had all option holders exercised their stock options and stock appreciation rights on the last business day of the fiscal year. As of December 31, 2015, the Company's closing stock price was lower than the exercise price, therefore, the aggregate intrinsic values of stock options outstanding, exercisable, and vested and expected to vest were zero.

XML 74 R59.htm IDEA: XBRL DOCUMENT

Stock Option and Stock Appreciation Rights Activity (Parenthetical) (Detail) - USD ($)

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Stock Options and Stock Appreciation Rights

^[1]

16,665,962

Forfeited during period

13,670,094

^[2]

6,623,938

1,621,600

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Aggregate intrinsic values of stock options outstanding

$ 0

Aggregate intrinsic values of stock options exercisable

Aggregate intrinsic values of stock vested and expected to vest

$ 0

Stock Options and Stock Appreciation Rights | Chief Executive Officer

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

8,927,500

Forfeited during period

8,277,500

[1]

[2]

XML 75 R60.htm IDEA: XBRL DOCUMENT

Summary of Significant Ranges of Outstanding and Exercisable Stock Options and Stock Appreciation Rights (Detail) - $ / shares

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Outstanding stock options and stock appreciation rights, Number of options/SARs

17,317,232

^[1]

25,554,026

28,496,463

28,485,375

Outstanding stock options and stock appreciation rights, Weighted average exercise price

$ 1.62

^[1]

$ 1.96

$ 2.17

$ 2.19

Outstanding stock options and stock appreciation rights, Weighted average remaining life (in years)

^[1]

6 years 6 months 29 days

Exercisable stock options and stock appreciation rights, Number of options/SARs

^[1]

9,041,889

Exercisable stock options and stock appreciation rights, Weighted average exercise price

^[1]

$ 1.85

$0.71-$1.23

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

0.71

Outstanding stock options and stock appreciation rights, Number of options/SARs

$ 1.23

4,535,619

Outstanding stock options and stock appreciation rights, Weighted average exercise price

$ 1.17

Outstanding stock options and stock appreciation rights, Weighted average remaining life (in years)

5 years 1 month 10 days

Exercisable stock options and stock appreciation rights, Number of options/SARs

3,604,677

Exercisable stock options and stock appreciation rights, Weighted average exercise price

$ 1.19

$1.24-$1.33

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

1.24

Outstanding stock options and stock appreciation rights, Number of options/SARs

$ 1.33

2,338,400

Outstanding stock options and stock appreciation rights, Weighted average exercise price

$ 1.30

Outstanding stock options and stock appreciation rights, Weighted average remaining life (in years)

8 years 11 months 16 days

Exercisable stock options and stock appreciation rights, Number of options/SARs

601,250

Exercisable stock options and stock appreciation rights, Weighted average exercise price

$ 1.27

$1.34-$1.41

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

1.34

Outstanding stock options and stock appreciation rights, Number of options/SARs

$ 1.41

4,000,000

Outstanding stock options and stock appreciation rights, Weighted average exercise price

$ 1.34

Outstanding stock options and stock appreciation rights, Weighted average remaining life (in years)

9 years 5 months 16 days

$1.42-$2.12

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

$ 1.42

Outstanding stock options and stock appreciation rights, Number of options/SARs

$ 2.12

3,339,250

Outstanding stock options and stock appreciation rights, Weighted average exercise price

$ 1.69

Outstanding stock options and stock appreciation rights, Weighted average remaining life (in years)

6 years 3 months

Exercisable stock options and stock appreciation rights, Number of options/SARs

1,860,500

Exercisable stock options and stock appreciation rights, Weighted average exercise price

$ 1.73

$2.13-$5.90

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

2.13

Outstanding stock options and stock appreciation rights, Number of options/SARs

$ 5.90

3,103,963

Outstanding stock options and stock appreciation rights, Weighted average exercise price

$ 2.81

Outstanding stock options and stock appreciation rights, Weighted average remaining life (in years)

3 years 6 months 26 days

Exercisable stock options and stock appreciation rights, Number of options/SARs

2,975,462

Exercisable stock options and stock appreciation rights, Weighted average exercise price

$ 2.84

[1]

XML 76 R61.htm IDEA: XBRL DOCUMENT

Restricted Stock Granted (Detail) - Class A common stock - Restricted stock awards - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Restricted stock awards granted, Fair value of grants

9,644,760

679,349

859,948

$ 7,627

$ 869

$ 1,198

Service- based

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

^[1]

3,748,700

250,000

211,250

Performance- based

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

^[2]

3,500,000

Market-based

Stock options issued as Board of Director compensation

^[3],[4],[5]

2,000,000

150,000

300,000

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Quarterly Financial Information Disclosure [Abstract]

396,060

279,349

348,698

[1]	Of the 3.7 million service-based restricted stock awards granted during the year ended December 31, 2015, 3.5 million were granted to the CEO and vest at a rate of 25% per year over four years. The remaining 0.2 million of service-based restricted stock awards were granted to various employees and vest 50% after one year, 75% after two years and 100% after three years.
[2]	(2) During the year ended December 31, 2015, the 3.5 million performance-based restricted stock awards were all granted to the CEO and vest at a maximum rate of 25% per year over four years, but only if and to the extent the Company meets its performance objectives for the preceding calendar year under the Company's then-applicable incentive plan. Of the awards granted, 3.0 million vest upon the achievement of certain performance milestones for which the related performance targets have yet to be established. Accordingly, no compensation expense related to those shares has been recorded.
[3]	The market-based RSUs granted during the year ended December 31, 2013 consisted of two awards of 150,000 units each, which would have vested only after designated time periods had elapsed and designated stock prices had been met. These awards were forfeited during the year ended December 31, 2014.
[4]	The market-based RSUs granted during the year ended December 31, 2014 fully vest when both of the following have occurred: (i) the average closing price of the Company's Class A common stock, measured over any period of 60 consecutive calendar days, has reached or exceeded $3.00 per share (the "Price Trigger"), and (ii) the first anniversary of the grant date has occurred. If the Price Trigger is not achieved by the third anniversary of the grant date, then none of the market-based RSUs will vest.
[5]	The market-based restricted stock awards granted during the year ended December 31, 2015 were all granted to the CEO and fully vest when both of the following have occurred: (i) the average closing price of the Company's Class A common stock, measured over any period of 60 consecutive calendar days, has reached or exceeded $3.00 per share (the "Price Trigger") and (ii) the date is January 1, 2017 or later. If the Price Trigger is not achieved by December 31, 2019, then none of the market-based restricted stock awards will vest.

XML 77 R62.htm IDEA: XBRL DOCUMENT

Restricted Stock Granted (Parenthetical) (Detail) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Service Based Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award designated stock prices	3,700,000
Service Based Restricted Stock Awards \| Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award designated stock prices	3,500,000
Restricted stock awards vesting period	4 years
Service Based Restricted Stock Awards \| Chief Executive Officer \| One Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	25.00%
Service Based Restricted Stock Awards \| Chief Executive Officer \| Second Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	25.00%
Service Based Restricted Stock Awards \| Chief Executive Officer \| Third Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	25.00%
Service Based Restricted Stock Awards \| Chief Executive Officer \| Fourth Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	25.00%
Service Based Restricted Stock Awards \| Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award designated stock prices	200,000
Service Based Restricted Stock Awards \| Employees \| One Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	50.00%
Service Based Restricted Stock Awards \| Employees \| Second Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	75.00%
Service Based Restricted Stock Awards \| Employees \| Third Year from the Date of Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	100.00%
Performance-based \| Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock awards, Vest upon achievement of performance milestones	3,500,000
Restricted stock award designated stock prices	3,000,000
Restricted stock awards vesting period	4 years
Performance-based \| Chief Executive Officer \| One Year from the Date of Grant \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award vesting percentage	25.00%
Market Based Restricted Stock Awards \| Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock award, period consecutive trading days	60 days	60 days
Average closing price	$ 3.00	$ 3.00
Restricted stock awards vesting rights	The market-based restricted stock awards granted during the year ended December 31, 2015 were all granted to the CEO and fully vest when both of the following have occurred: (i) the average closing price of the Company’s Class A common stock, measured over any period of 60 consecutive calendar days, has reached or exceeded $3.00 per share (the “Price Trigger”) and (ii) the date is January 1, 2017 or later. If the Price Trigger is not achieved by December 31, 2019, then none of the market-based restricted stock awards will vest.
Restricted stock awards \| 2013 market award condition three awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award designated stock prices			150,000
Restricted stock awards \| 2013 market award condition four awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock award designated stock prices			150,000

XML 78 R63.htm IDEA: XBRL DOCUMENT

Restricted Stock Award Activity (Detail) - Restricted Stock And Units Equity And Liability Awards - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Number of restricted stock awards
Unvested Beginning Balance	2,559,514	5,912,116	9,808,375
Granted	9,644,760	679,349	859,948
Vested	(848,459)	(1,844,012)	(4,298,239)
Forfeited	(825,177)	(2,187,939)	(457,968)
Unvested Ending Balance	10,530,638	2,559,514	5,912,116
Weighted average fair Value
Unvested Beginning Balance	$ 1.67	$ 1.62	$ 1.84
Granted	0.79	1.28	1.39
Vested	2.21	1.87	1.53
Forfeited	1.40	1.23	1.76
Unvested Ending Balance	$ 0.84	$ 1.67	$ 1.62

XML 79 R64.htm IDEA: XBRL DOCUMENT

Gain on Contingency - Additional Information (Detail)					1 Months Ended		3 Months Ended	12 Months Ended
Gain on Contingency - Additional Information (Detail)	Feb. 23, 2016 USD ($)	Jul. 13, 2015 USD ($)	Jan. 14, 2015 USD ($)	Mar. 31, 2012 USD ($)	Nov. 30, 2015 USD ($)	Nov. 30, 2012 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2015 USD ($) Payment	Jan. 31, 2015 USD ($)	Dec. 31, 2011 USD ($)
Gain Contingencies [Line Items]
Contingent Proceeds from the Sale of Non Productive Assets									$ 6,000,000
Number of contingent scheduled payments \| Payment								3
Gain on contingencies								$ 6,095,000
J&J Arbitration
Gain Contingencies [Line Items]
Gain on contingencies					$ 1,600,000	$ 1,600,000		1,600,000
Reimbursement of satellite system expenses other from J&J Group										$ 2,700,000
Claims in arbitration, damages awarded						4,000,000
Claims in arbitration, costs and fees						$ 1,300,000
Claims in arbitration, damages sought amount				$ 2,700,000
Ovidian
Gain Contingencies [Line Items]
Gain on release of a tax indemnification liability							$ 500,000
First scheduled payments
Gain Contingencies [Line Items]
Gain on contingencies			$ 1,700,000
Second scheduled payments
Gain Contingencies [Line Items]
Gain on contingencies		$ 2,200,000
First and second scheduled payments
Gain Contingencies [Line Items]
Gain on contingencies								$ 3,900,000
Final Scheduled Payments \| Subsequent Event
Gain Contingencies [Line Items]
Gain on contingencies	$ 2,000,000

XML 80 R65.htm IDEA: XBRL DOCUMENT

Income Tax Expense (Detail) - USD ($) $ in Thousands	12 Months Ended
Income Tax Expense (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
United States-deferred	$ (1,497)	$ 33
Foreign-current	4,128	6,270
Income tax benefit	$ 2,631	$ 6,303

XML 81 R66.htm IDEA: XBRL DOCUMENT

Income Taxes - Additional Information (Detail) $ in Thousands	12 Months Ended
	Dec. 31, 2015 USD ($) Shareholder	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)	Oct. 31, 2015 USD ($)	Dec. 31, 2012 USD ($)
Income Tax Contingency [Line Items]
Foreign income tax provision	$ 4,128	$ 6,270
Federal tax benefit (expense)	$ 1,497	$ (33)
Statutory tax rate	34.00%	34.00%	34.00%
Net operating loss carry forwards	$ 2,600,000
Net operating loss carry forwards, year expiration begins	2025
Net operating loss carry forwards, year expiration	2032
Income tax description	Broadly, the Company will have a Tax Ownership Change if, over a three year testing period, the portion of all stock of the Company, by value, owned by one or more 5% shareholder increases by more than 50 percentage points. For purposes of this test, shareholders that own less than 5% of the stock of the Company are aggregated into one or more separate "public groups", each of which is treated as a 5% shareholder.
Tax ownership change testing period, year	3 years
Tax ownership change, shareholder ownership percentage	5.00%
Unrecognized tax benefit	$ 15,594	$ 5,132	$ 37,665		$ 19,452
Estimated reduction of unrecognized tax benefits	$ 15,600
Personal holding company determination, number of shareholders limit \| Shareholder	5
Ownership percentage of individual shareholders in a personal holding company	50.00%
Percentage of adjusted ordinary gross income pertaining to individual shareholders	60.00%
Personal holding company tax rate on net personal holding company income	20.00%
Tax Benefits Preservation Plan	Holders of 4.9% or more of the Company’s securities outstanding as of the close of business on January 29, 2010 will not trigger the Tax Benefits Preservation Plan so long as they do not (i) acquire additional securities constituting one-half of one percent (0.5%) or more of the Company’s securities outstanding as of the date of the Tax Benefits Preservation Plan (as adjusted to reflect any stock splits, subdivisions and the like), or (ii) fall under 4.9% ownership of the Company’s securities and then re-acquire securities that increase their ownership to 4.9% or more of the Company’s securities. The Board of Directors may exempt certain persons whose acquisition of securities is determined by the Board of Directors not to jeopardize the Company’s tax benefits or to otherwise be in the best interest of the Company and its shareholders. The Board of Directors may also exempt certain transactions.
Additional percentage of beneficial interest acquired to trigger tax benefit preservation plan	0.50%
California Franchise Tax Board
Income Tax Contingency [Line Items]
Net operating loss carry forwards	$ 1,300,000
Net operating loss carry forwards, year expiration	2016
Minimum
Income Tax Contingency [Line Items]
Tax ownership change, number of shareholders \| Shareholder	1
Tax ownership change, shareholder ownership percentage increase	50.00%
Tax Benefits Preservation Plan trigger, ownership percentage	4.90%
Income Tax Refund Claim [Member]
Income Tax Contingency [Line Items]
Unrecognized tax benefit				$ 10,500

XML 82 R67.htm IDEA: XBRL DOCUMENT

Reconciliation of Federal Statutory Income Tax Rate of 34% to Effective Income Tax Rate (Detail)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Statutory tax rate	34.00%	34.00%	34.00%
Change in valuation allowance	(22.59%)	(95.75%)	(9.33%)
Release of uncertain tax position		62.77%
Foreign withholding taxes	(2.37%)	(7.98%)
Deferred tax adjustments			(43.17%)
§338(h)(10) asset sale treatment upon DBSD sale to DISH			21.22%
Goodwill impairment	(6.07%)
Stock-based compensation	(3.23%)
Other	(2.03%)	(5.20%)	(2.72%)
Effective tax rate	(2.29%)	(12.16%)

XML 83 R68.htm IDEA: XBRL DOCUMENT

Significant Components of Net Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Net operating losses	$ 956,181	$ 938,235
Basis difference in Liquidating Trust	16,894	29,381
Accrued expenses and other	10,380	14,824
Total deferred tax assets	983,455	982,440
Valuation allowance	(981,096)	(955,133)
Net deferred tax assets	2,359	27,307
Intangibles	(2,359)	(28,828)
Total deferred tax liabilities	$ (2,359)	(28,828)
Net deferred tax liabilities		$ (1,521)

XML 84 R69.htm IDEA: XBRL DOCUMENT

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Total liability, Beginning of period	$ 5,132	$ 37,665	$ 19,452
Additions for tax positions taken during the current period	10,462
Additions for tax positions taken during prior periods			32,533
Reductions for tax positions taken during prior periods		(32,533)	(14,320)
Total liability, End of period	$ 15,594	$ 5,132	$ 37,665

XML 85 R70.htm IDEA: XBRL DOCUMENT

Expense Related to Contributions under Defined Contribution Retirement Included in General and Administrative Expense (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Postemployment Benefits [Abstract]
Defined contribution expenses	$ 201	$ 264	$ 291

XML 86 R71.htm IDEA: XBRL DOCUMENT

Related Parties - Additional Information (Detail) - Principal Owner	Dec. 31, 2015
Related Party Transaction [Line Items]
Eagle River's economic interest percentage	33.20%
Eagle River's voting interest percentage	65.00%

XML 87 R72.htm IDEA: XBRL DOCUMENT

Unaudited Quarterly Results (Detail) - USD ($)
$ / shares in Units, $ in Thousands

3 Months Ended

12 Months Ended

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2014

Sep. 30, 2014

Jun. 30, 2014

Mar. 31, 2014

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Revenue

$ 662

$ 15,465

$ 2,147

$ 25,245

$ 846

$ 618

$ 2,935

$ 38,135

$ 43,519

$ 42,534

$ 13,128

Impairment of intangibles and goodwill

(103,499)

(11,013)

(103,499)

(11,013)

Operating income (loss)

(112,061)

(2,129)

(8,021)

1,076

(31,191)

(14,096)

(13,563)

7,134

(121,135)

(51,716)

(57,861)

Net income (loss)

(108,404)

127

(7,990)

(1,315)

(31,244)

(14,117)

(13,588)

815

(117,582)

(58,134)

(57,980)

Net income (loss) attributable to Pendrell

$ (101,564)

$ 1

$ (7,558)

$ (559)

$ (26,875)

$ (13,262)

$ (12,595)

$ 1,730

$ (109,680)

$ (51,002)

$ (55,062)

Basic and diluted loss per share attributable to Pendrell

$ (0.38)

^[1]

$ (0.03)

^[1]

$ (0.10)

^[1]

$ (0.05)

^[1]

$ (0.05)

^[1]

$ 0.01

^[1]

$ (0.41)

$ (0.19)

$ (0.21)

[1]	Per share amounts for the three months ended March 31, 2015 and September 30, 2015 were less than $0.01.

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.