Condensed Consolidating Financial Information (Tables)

3 Months Ended

Mar. 31, 2014

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Schedule of Condensed Balance Sheet

CONDENSED CONSOLIDATING BALANCE SHEETS

				March 31, 2014
						Subsidiary					Consolidated
	Parent/			Subsidiary		Non-		Consolidating			Vector Group
	Issuer			Guarantors		Guarantors		Adjustments			Ltd.
ASSETS:
Current assets:
Cash and cash equivalents	$	292,285		$	19,299	$	69,892	$	—		$	381,476
Investment securities available for sale	121,872			58,964		—		—			180,836
Accounts receivable - trade, net	—			10,782		2,399		—			13,181
Intercompany receivables	331			191		—		(522		)	—
Inventories	—			110,030		—		—			110,030
Deferred income taxes	22,801			5,623		—		—			28,424
Income taxes receivable, net	27,504			—		—		(5,344		)	22,160
Restricted assets	—			2,103		1,414		—			3,517
Other current assets	25,905			12,743		13,924		(25,318		)	27,254
Total current assets	490,698			219,735		87,629		(31,184		)	766,878
Property, plant and equipment, net	3,389			57,193		20,508		—			81,090
Investment in consolidated real estate businesses, net	—			—		21,087		—			21,087
Long-term investments accounted for at cost	21,040			—		747		—			21,787
Long-term investments accounted for under the equity method	12,834			—		—		—			12,834
Investments in non-consolidated real estate businesses	—			—		129,879		—			129,879
Investments in consolidated subsidiaries	433,400			—		—		(433,400		)	—
Restricted assets	1,595			9,416		—		—			11,011
Deferred income taxes	46,856			8,383		3,776		—			59,015
Goodwill and other intangible assets, net	—			107,511		161,063		—			268,574
Prepaid pension costs	—			26,872		—		—			26,872
Other assets	44,677			10,290		5,251		—			60,218
Total assets	$	1,054,489		$	439,400	$	429,940	$	(464,584	)	$	1,459,245
LIABILITIES AND STOCKHOLDERS' DEFICIENCY:
Current liabilities:
Current portion of notes payable and long-term debt	$	105,411		$	52,447	$	251	$	(25,318	)	$	132,791
Current portion of fair value of derivatives embedded within convertible debt	12,107			—		—		—			12,107
Current portion of employee benefits	—			939		—		—			939
Accounts payable	1,210			4,083		4,222		—			9,515
Intercompany payables	—			—		522		(522		)	—
Accrued promotional expenses	—			18,566		—		—			18,566
Income taxes payable, net	—			8,489		—		(5,344		)	3,145
Accrued excise and payroll taxes payable, net	—			23,528		—		—			23,528
Litigation accruals and current payments due under the Master Settlement Agreement	—			54,716		—		—			54,716
Deferred income taxes	36,311			14,143		—		—			50,454
Accrued interest	13,099			—		—		—			13,099
Other current liabilities	2,645			8,388		14,522		—			25,555
Total current liabilities	170,783			185,299		19,517		(31,184		)	344,415
Notes payable, long-term debt and other obligations, less current portion	677,399			9,473		3,954		—			690,826
Fair value of derivatives embedded within convertible debt	181,868			—		—		—			181,868
Non-current employee benefits	31,828			16,404		—		—			48,232
Deferred income taxes	78,241			38,356		35,389		—			151,986
Other liabilities, primarily litigation accruals and payments due under the Master Settlement Agreement	1,321			51,761		1,411		—			54,493
Total liabilities	1,141,440			301,293		60,271		(31,184		)	1,471,820
Commitments and contingencies
Stockholders' (deficiency) equity attributed to Vector Group Ltd.	(86,951		)	138,107		295,293		(433,400		)	(86,951		)
Non-controlling interest	—			—		74,376		—			74,376
Total Stockholders' (deficiency) equity	(86,951		)	138,107		369,669		(433,400		)	(12,575		)
Total liabilities and stockholders' deficiency	$	1,054,489		$	439,400	$	429,940	$	(464,584	)	$	1,459,245

CONDENSED CONSOLIDATING BALANCE SHEETS

				December 31, 2013
						Subsidiary					Consolidated
	Parent/			Subsidiary		Non-		Consolidating			Vector Group
	Issuer			Guarantors		Guarantors		Adjustments			Ltd.
ASSETS:
Current assets:
Cash and cash equivalents	$	151,342		$	11,812	$	71,312	$	—		$	234,466
Investment securities available for sale	114,886			57,648		—		—			172,534
Accounts receivable - trade, net	—			10,154		2,005		—			12,159
Intercompany receivables	509			—		—		(509		)	—
Inventories	—			93,496		—		—			93,496
Deferred income taxes	45,578			4,901		—		—			50,479
Income taxes receivable, net	—			10,447		—		(10,447		)	—
Restricted assets	—			1,060		725		—			1,785
Other current assets	513			12,579		10,300		—			23,392
Total current assets	312,828			202,097		84,342		(10,956		)	588,311
Property, plant and equipment, net	3,641			55,093		20,524		—			79,258
Investment in consolidated real estate businesses, net	—			—		20,911		—			20,911
Long-term investments accounted for at cost	20,041			—		747		—			20,788
Long-term investments accounted for under the equity method	8,595			—		—		—			8,595
Investments in non-consolidated real estate businesses	—			—		128,202		—			128,202
Investments in consolidated subsidiaries	410,442			—		—		(410,442		)	—
Restricted assets	1,895			10,086		—		—			11,981
Deferred income taxes	35,000			12,766		3,708		—			51,474
Goodwill and other intangible assets, net	—			107,511		163,600		—			271,111
Prepaid pension costs	—			26,080		—		—			26,080
Other assets	38,374			10,126		5,053		—			53,553
Total assets	$	830,816		$	423,759	$	427,087	$	(421,398	)	$	1,260,264
LIABILITIES AND STOCKHOLDERS' DEFICIENCY:
Current liabilities:
Current portion of notes payable and long-term debt	$	112,275		$	39,013	$	289	$	—		$	151,577
Current portion of fair value of derivatives embedded within convertible debt	19,128			—		—		—			19,128
Current portion of employee benefits	—			939		—		—			939
Accounts payable	1,509			4,136		21,154		—			26,799
Intercompany payables	—			39		470		(509		)	—
Accrued promotional expenses	—			18,655		—		—			18,655
Income taxes payable, net	16,870			—		—		(10,447		)	6,423
Accrued excise and payroll taxes payable, net	—			11,621		—		—			11,621
Litigation accruals and current payments due under the Master Settlement Agreement	—			84,658		—		—			84,658
Deferred income taxes	32,309			13,425		—		—			45,734
Accrued interest	21,968			—		—		—			21,968
Other current liabilities	6,103			10,495		1,010		—			17,608
Total current liabilities	210,162			182,981		22,923		(10,956		)	405,110
Notes payable, long-term debt and other obligations, less current portion	524,182			12,573		4,011		—			540,766
Fair value of derivatives embedded within convertible debt	92,934			—		—		—			92,934
Non-current employee benefits	31,462			16,455		—		—			47,917
Deferred income taxes	65,759			37,602		34,289		—			137,650
Other liabilities, primarily litigation accruals and payments due under the Master Settlement Agreement	1,353			54,924		1,219		—			57,496
Total liabilities	925,852			304,535		62,442		(10,956		)	1,281,873
Commitments and contingencies
Stockholders' (deficiency) equity attributed to Vector Group Ltd.	(95,036		)	119,224		291,218		(410,442		)	(95,036		)
Non-controlling interest	—			—		73,427		—			73,427
Total Stockholders' (deficiency) equity	(95,036		)	119,224		364,645		(410,442		)	(21,609		)
Total liabilities and stockholders' deficiency	$	830,816		$	423,759	$	427,087	$	(421,398	)	$	1,260,264

Schedule of Condensed Income Statement

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

				Three Months Ended March 31, 2014
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Revenues	$	—		$	239,192		$	108,044		$	—		$	347,236
Expenses:
Cost of sales	—			171,713			67,324			—			239,037
Operating, selling, administrative and general expenses	6,283			23,185			36,009			—			65,477
Management fee expense	—			2,467			—			(2,467		)	—
Operating (loss) income	(6,283		)	41,827			4,711			2,467			42,722
Other income (expenses):
Interest expense	(34,782		)	(955		)	(34		)	318			(35,453		)
Change in fair value of derivatives embedded within convertible debt	(1,650		)	—			—			—			(1,650		)
Acceleration of interest expense related to debt conversion	(3,679		)	—			—			—			(3,679		)
Equity income from non-consolidated real estate businesses	—			—			1,552			—			1,552
Equity income on long-term investments	906			—			—			—			906
Loss on investment securities available for sale	(53		)	—			—			—			(53		)
Equity income in consolidated subsidiaries	28,667			—			—			(28,667		)	—
Management fee income	2,467			—			—			(2,467		)	—
Other income, net	698			260			1,486			(318		)	2,126
(Loss) income before provision for income taxes	(13,709		)	41,132			7,715			(28,667		)	6,471
Income tax benefit (expense)	17,238			(16,639		)	(3,541		)	—			(2,942		)
Net income	3,529			24,493			4,174			(28,667		)	3,529
Net income attributed to non-controlling interest	—			—			(949		)	—			(949		)
Net income attributed to Vector Group Ltd.	3,529			24,493			3,225			(28,667		)	2,580
Comprehensive income attributed to non-controlling interest	—			—			(949		)	—			(949		)
Comprehensive income attributed to Vector Group	$	7,888		$	25,195		$	3,225		$	(28,420	)	$	7,888

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

				Three Months Ended March 31, 2013
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Revenues	$	—		$	240,402		$	5,767		$	—		$	246,169
Expenses:
Cost of sales	—			172,956			4,221			—			177,177
Operating, selling, administrative and general expenses	5,876			18,494			1,526			—			25,896
Management fee expense	—			2,377			—			(2,377		)	—
Operating (loss) income	(5,876		)	46,575			20			2,377			43,096
Other income (expenses):
Interest expense	(32,960		)	(412		)	(4		)	—			(33,376		)
Change in fair value of derivatives embedded within convertible debt	3,049			—			—			—			3,049
Loss on extinguishment of debt	(21,458		)	—			—			—			(21,458		)
Equity income from non-consolidated real estate businesses	—			—			481			—			481
Equity loss on long-term investments	(23		)	—			—			—			(23		)
Gain on investment securities available for sale	—			5,406			—			—			5,406
Equity income in consolidated subsidiaries	31,288			—			—			(31,288		)	—
Management fee income	2,377			—			—			(2,377		)	—
Other, net	702			55			52			—			809
(Loss) income before provision for income taxes	(22,901		)	51,624			549			(31,288		)	(2,016		)
Income tax benefit (expense)	21,220			(20,657		)	(228		)	—			335
Net (loss) income	(1,681		)	30,967			321			(31,288		)	(1,681		)
Comprehensive income	$	4,233		$	34,445		$	321		$	(34,766	)	$	4,233

Schedule of Condensed Cash Flow Statement

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

				Three Months Ended March 31, 2014
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Net cash (used in) provided by operating activities	$	(36,859	)	$	1,776		$	1,880		$	(5,881	)	$	(39,084	)
Cash flows from investing activities:
Sale of investment securities	35,009			—			—			—			35,009
Purchase of investment securities	(36,763		)	—			—			—			(36,763		)
Purchase of long-term investments	(1,000		)	—			—			—			(1,000		)
Investments in non-consolidated real estate businesses	—			—			(4,068		)	—			(4,068		)
Distributions from non-consolidated real estate businesses	—			—			2,575			—			2,575
Increase in cash surrender value of life insurance policies	—			(47		)	—			—			(47		)
Decrease (increase) in restricted assets	300			(1		)	(689		)	—			(390		)
Issuance of notes receivable	(35,000		)	—			—			35,000			—
Investments in subsidiaries	(7,081		)	—			—			7,081			—
Capital expenditures	—			(4,551		)	(1,873		)	—			(6,424		)
Repayments of notes receivable	10,933			—			—			(10,000		)	933
Net cash used in investing activities	(33,602		)	(4,599		)	(4,055		)	32,081			(10,175		)
Cash flows from financing activities:
Proceeds from debt issuance	258,750			36,758			—			(35,000		)	260,508
Deferred financing costs	(8,210		)	—			—			—			(8,210		)
Repayments of debt	—			(12,120		)	(95		)	10,000			(2,215		)
Borrowings under revolver	—			196,842			—			—			196,842
Repayments on revolver	—			(211,520		)	—			—			(211,520		)
Capital contributions received	—			350			6,731			(7,081		)	—
Intercompany dividends paid	—			—			(5,881		)	5,881			—
Dividends and distributions on common stock	(40,865		)	—			—			—			(40,865		)
Proceeds from exercise of Vector options	1,385			—			—			—			1,385
Tax benefit of options exercised	344			—			—			—			344
Net cash provided by financing activities	211,404			10,310			755			(26,200		)	196,269
Net increase (decrease) in cash and cash equivalents	140,943			7,487			(1,420		)	—			147,010
Cash and cash equivalents, beginning of period	151,342			11,812			71,312			—			234,466
Cash and cash equivalents, end of period	$	292,285		$	19,299		$	69,892		$	—		$	381,476

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

				Three Months Ended March 31, 2013
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Net cash (used in) provided by operating activities	$	(36,170	)	$	40,891		$	900		$	(15,538	)	$	(9,917	)
Cash flows from investing activities:
Sale of investment securities	—			6,582			—			—			6,582
Purchase of investment securities	—			(5,000		)	—			—			(5,000		)
Investments in non-consolidated real estate businesses	—			—			(1,354		)	—			(1,354		)
Investments in consolidated real estate businesses	—			—			(7,617		)	—			(7,617		)
Increase in cash surrender value of life insurance policies	(21		)	(47		)	—			—			(68		)
Decrease (increase) in restricted assets	8			(1		)	—			—			7
Investments in subsidiaries	(15,777		)	—			—			15,777			—
Capital expenditures	(1,315		)	(1,937		)	(305		)	—			(3,557		)
Net cash used in investing activities	(17,105		)	(403		)	(9,276		)	15,777			(11,007		)
Cash flows from financing activities:
Proceeds from debt issuance	450,000			—			—			—			450,000
Deferred financing costs	(11,447		)	—			—			—			(11,447		)
Repayments of debt	(415,000		)	(1,870		)	(34		)	—			(416,904		)
Borrowings under revolver	—			214,762			—			—			214,762
Repayments on revolver	—			(233,691		)	—			—			(233,691		)
Capital contributions received	—			5,800			9,977			(15,777		)	—
Intercompany dividends paid	—			(14,000		)	(1,538		)	15,538			—
Dividends and distributions on common stock	(35,749		)	—			—			—			(35,749		)
Net cash (used in) provided by financing activities	(12,196		)	(28,999		)	8,405			(239		)	(33,029		)
Net (decrease) increase in cash and cash equivalents	(65,471		)	11,489			29			—			(53,953		)
Cash and cash equivalents, beginning of period	401,344			3,776			735			—			405,855
Cash and cash equivalents, end of period	$	335,873		$	15,265		$	764		$	—		$	351,902