XML 45 R26.htm IDEA: XBRL DOCUMENT

Description of Business and Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

The following table represents the components of Accounts receivable, net of allowance (in thousands):


	December 31,
	2020		2019
Accounts receivable	$	128,145	$	129,953
Unbilled accounts receivable	201,793		266,565
Total accounts receivable	329,938		396,518
Less: allowance for credit losses	(33,368)		(26,828)
Accounts receivable, net of allowance	$	296,570	$	369,690

Property, Plant and Equipment

The remaining useful lives of fixed assets and capitalized software are reviewed annually for reasonableness. Fixed assets and capitalized software are depreciated on a straight-line basis over the estimated useful lives of the assets, which are presented in the following table:


			Estimated Useful Lives
Buildings and building improvements			8 - 30 years
Leasehold improvements(1)			1 - 8 years
Computer and data processing equipment			3 years
Furniture and fixtures			7 years
Capitalized software			1.5 - 5 years
Other			3 - 7 years

(1) Leasehold improvements are depreciated at the shorter of their estimated useful lives or the lease term. See Note 8, Fixed Assets and Capitalized Software.

The following table sets forth the components of the Company's fixed assets and capitalized software (in thousands):


	December 31, 2020		December 31, 2019
Capitalized software	$	68,444	$	71,128
Assets under leaseback obligations(1)	54,676		54,676
Computer and data processing equipment	35,165		34,792
Land, buildings and building improvements	1,082		6,744
Furniture and fixtures	1,086		3,282
Leasehold improvements	859		6,502
Other	6,043		4,230
Fixed assets and capitalized software	167,355		181,354
Less: accumulated depreciation and amortization	78,311		79,842
Total fixed assets and capitalized software, net	$	89,044	$	101,512

(1)Consists of a failed sale-leaseback liability related to a building and land in Tucker, Georgia. See Note 11, Debt Obligations.

Depreciation and amortization expense associated with the Company's fixed assets and capitalized software was as follows (in thousands):


	Years Ended December 31,
	2020		2019		2018
Amortization of capitalized software	$	20,718	$	25,913	$	29,584
Depreciation of fixed assets(1)	10,192		14,007		16,537
Total depreciation and amortization expense	$	30,910	$	39,920	$	46,121

(1)Includes depreciation associated with assets held under leaseback obligations of $1.7 million for each of the years ended December 31, 2020, 2019, and 2018, respectively.

Schedule of Finite-Lived Intangible Assets

The Company’s intangible assets and their estimated useful lives are presented in the table below:


			Estimated Useful Lives
Client relationships			3.5 - 4 years
Trademarks and domain names			2.5 - 6 years
Patented technologies			3 - 3.5 years
Covenants not to compete			3 years

The following tables set forth the details of the Company's intangible assets for the years ended December 31, 2020 and 2019 (in thousands):


	Year Ended December 31, 2020
	Gross		Accumulated Amortization		Net		Weighted Average Remaining Amortization Period in Years
Client relationships	$	701,802	$	701,518	$	284	1.4
Trademarks and domain names	200,300		169,545		30,755		2.0
Patented technologies	19,600		19,600		—		—
Covenants not to compete	1,497		759		738		1.8
Total intangible assets	$	923,199	$	891,422	$	31,777	2.0


	Year Ended December 31, 2019
	Gross		Accumulated Amortization		Net		Weighted Average Remaining Amortization Period in Years
Client relationships	$	701,802	$	616,187	$	85,615	1.0
Trademarks and domain names	200,300		139,767		60,533		2.6
Patented technologies	19,600		19,600		—		—
Covenants not to compete	1,588		256		1,332		2.5
Total intangible assets	$	923,290	$	775,810	$	147,480	1.7

The following tables summarize the changes in the carrying amounts of the Company's intangible assets for the years ended December 31, 2020 and 2019 (in thousands):


	Year Ended December 31, 2020
	Client relationships		Trademarks and domain names		Patented technologies		Covenants not to compete		Total Intangible assets
Balance as of January 1	$	85,615	$	60,533	$	—	$	1,332	$	147,480
Additions	—		—		—		192		192
Amortization expense	(85,331)		(29,778)		—		(504)		(115,613)
Other	—		—		—		(282)		(282)
Balance as of December 31	$	284	$	30,755	$	—	$	738	$	31,777


	Year Ended December 31, 2019
	Client relationships		Trademarks and domain names		Patented technologies		Covenants not to compete		Total Intangible assets
Balance as of January 1	$	211,811	$	96,537	$	3,894	$	—	$	312,242
Additions(1)	—		—		—		1,588		1,588
Amortization expense	(126,196)		(36,004)		(3,894)		(256)		(166,350)
Balance as of December 31	$	85,615	$	60,533	$	—	$	1,332	$	147,480

(1) The Company acquired covenants not to compete during the year ended December 31, 2019.