Condensed Consolidating Financial Information (Tables)

12 Months Ended

Dec. 31, 2018

Condensed Financial Information Disclosure [Abstract]

Condensed Consolidating Balance Sheets

CONDENSED CONSOLIDATING BALANCE SHEETS

				December 31, 2018
						Subsidiary					Consolidated
	Parent/			Subsidiary		Non-		Consolidating			Vector Group
	Issuer			Guarantors		Guarantors		Adjustments			Ltd.
ASSETS:
Current assets:
Cash and cash equivalents	$	474,880		$	23,308	$	86,393	$	—		$	584,581
Investment securities at fair value	131,569			—		—		—			131,569
Accounts receivable - trade, net	—			15,440		18,806		—			34,246
Intercompany receivables	38,391			—		—		(38,391		)	—
Inventories	—			90,997		—		—			90,997
Income taxes receivable, net	—			—		1,268		(1,268		)	—
Restricted assets	—			1,124		3,353		—			4,477
Other current assets	1,500			6,475		18,376		—			26,351
Total current assets	646,340			137,344		128,196		(39,659		)	872,221
Property, plant and equipment, net	506			38,562		47,668		—			86,736
Investments in real estate, net	—			—		26,220		—			26,220
Long-term investments (of which $54,628 were carried at fair value)	66,259			—		—		—			66,259
Investments in real estate ventures	—			—		141,105		—			141,105
Investments in consolidated subsidiaries	431,288			252,113		—		(683,401		)	—
Restricted assets	1,495			901		3,910		—			6,306
Goodwill and other intangible assets, net	—			107,511		159,100		—			266,611
Prepaid pension costs	—			23,869		—		—			23,869
Other assets	13,121			13,384		33,672		—			60,177
Total assets	$	1,159,009		$	573,684	$	539,871	$	(723,060	)	$	1,549,504
LIABILITIES AND STOCKHOLDERS' DEFICIENCY:
Current liabilities:
Current portion of notes payable and long-term debt	$	226,343		$	29,480	$	311	$	—		$	256,134
Current portion of fair value of derivatives embedded within convertible debt	6,635			—		—		—			6,635
Current portion of employee benefits	—			875		—		—			875
Intercompany payables	—			479		37,912		(38,391		)	—
Income taxes payable, net	5,257			1,263		—		(1,268		)	5,252
Litigation accruals and current payments due under the Master Settlement Agreement	—			36,871		—		—			36,871
Other current liabilities	55,915			72,094		51,144		—			179,153
Total current liabilities	294,150			141,062		89,367		(39,659		)	484,920
Notes payable, long-term debt and other obligations, less current portion	1,354,219			2,349		30,129		—			1,386,697
Fair value of derivatives embedded within convertible debt	24,789			—		—		—			24,789
Non-current employee benefits	45,615			15,673		—		—			61,288
Deferred income taxes, net	(13,084		)	17,732		32,763		—			37,411
Other liabilities, primarily litigation accruals and payments due under the Master Settlement Agreement	1,379			38,179		62,207		—			101,765
Total liabilities	1,707,068			214,995		214,466		(39,659		)	2,096,870
Commitments and contingencies
Stockholders' (deficiency) equity attributed to Vector Group Ltd.	(548,059		)	358,689		324,712		(683,401		)	(548,059		)
Non-controlling interest	—			—		693		—			693
Total stockholders' (deficiency) equity	(548,059		)	358,689		325,405		(683,401		)	(547,366		)
Total liabilities and stockholders' deficiency	$	1,159,009		$	573,684	$	539,871	$	(723,060	)	$	1,549,504

CONDENSED CONSOLIDATING BALANCE SHEETS

				December 31, 2017
						Subsidiary					Consolidated
	Parent/			Subsidiary		Non-		Consolidating			Vector Group
	Issuer			Guarantors		Guarantors		Adjustments			Ltd.
ASSETS:
Current assets:
Cash and cash equivalents	$	194,719		$	17,141	$	89,493	$	—		$	301,353
Investment securities at fair value	121,282			29,207		—		—			150,489
Accounts receivable - trade, net	—			15,736		13,745		—			29,481
Intercompany receivables	29,541			—		—		(29,541		)	—
Inventories	—			89,790		—		—			89,790
Income taxes receivable, net	22,661			—		—		(11,444		)	11,217
Restricted assets	—			3,052		7,206		—			10,258
Other current assets	20,549			3,429		17,151		(20,008		)	21,121
Total current assets	388,752			158,355		127,595		(60,993		)	613,709
Property, plant and equipment, net	696			42,493		42,327		—			85,516
Investments in real estate, net	—			—		23,952		—			23,952
Long-term investments (of which $0 were carried at fair value)	81,291			—		—		—			81,291
Investments in real estate ventures	—			—		188,131		—			188,131
Investments in consolidated subsidiaries	469,436			—		—		(469,436		)	—
Restricted assets	1,501			1,987		—		—			3,488
Goodwill and other intangible assets,net	—			107,511		160,197		—			267,708
Prepaid pension costs	—			27,697		—		—			27,697
Other assets	7,843			12,355		16,588		—			36,786
Total assets	$	949,519		$	350,398	$	558,790	$	(530,429	)	$	1,328,278
LIABILITIES AND STOCKHOLDERS' DEFICIENCY:
Current liabilities:
Current portion of notes payable and long-term debt	$	—		$	53,540	$	288	$	(20,008	)	$	33,820
Current portion of employee benefits	—			952		—		—			952
Intercompany payables	—			449		29,092		(29,541		)	—
Income taxes payable, net	—			11,542		2		(11,444		)	100
Litigation accruals and current payments due under the Master Settlement Agreement	—			12,644		—		—			12,644
Other current liabilities	49,088			62,353		45,682		—			157,123
Total current liabilities	49,088			141,480		75,064		(60,993		)	204,639
Notes payable, long-term debt and other obligations, less current portion	1,190,333			3,448		463		—			1,194,244
Fair value of derivatives embedded within convertible debt	76,413			—		—		—			76,413
Non-current employee benefits	45,442			16,800		—		—			62,242
Deferred income taxes, net	695			26,459		31,647		—			58,801
Other liabilities, primarily litigation accruals and payments due under the Master Settlement Agreement	1,467			41,315		20,917		—			63,699
Total liabilities	1,363,438			229,502		128,091		(60,993		)	1,660,038
Commitments and contingencies
Stockholders' (deficiency) equity attributed to Vector Group Ltd.	(413,919		)	120,896		348,540		(469,436		)	(413,919		)
Non-controlling interest	—			—		82,159		—			82,159
Total stockholders' (deficiency) equity	(413,919		)	120,896		430,699		(469,436		)	(331,760		)
Total liabilities and stockholders' deficiency	$	949,519		$	350,398	$	558,790	$	(530,429	)	$	1,328,278

Condensed Consolidating Statements of Operations

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

				Year Ended December 31, 2018
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Revenues	$	—		$	1,111,572		$	759,168		$	(478	)	$	1,870,262
Expenses:
Cost of sales	—			787,251			505,233			—			1,292,484
Operating, selling, administrative and general expenses	35,332			66,781			253,878			(478		)	355,513
Litigation settlement and judgment expense (income)	—			685			(2,469		)	—			(1,784		)
Management fee expense	—			11,509			—			(11,509		)	—
Operating (loss) income	(35,332		)	245,346			2,526			11,509			224,049
Other income (expenses):
Interest expense	(200,916		)	(2,797		)	(67		)	—			(203,780		)
Change in fair value of derivatives embedded within convertible debt	44,989			—			—			—			44,989
Loss on extinguishment of debt	(4,066		)	—			—			—			(4,066		)
Equity in earnings from real estate ventures	—			—			14,446			—			14,446
Equity in earnings from investments	3,158			—			—			—			3,158
Net losses recognized on investment securities	(4,965		)	(4,605		)	—			—			(9,570		)
Equity in earnings in consolidated subsidiaries	195,582			3,669			—			(199,251		)	—
Management fee income	11,509			—			—			(11,509		)	—
Other, net	5,000			3,608			1,725			—			10,333
Income before provision for income taxes	14,959			245,221			18,630			(199,251		)	79,559
Income tax benefit (expense)	43,146			(60,749		)	(3,949		)	—			(21,552		)
Net income	58,105			184,472			14,681			(199,251		)	58,007
Net loss attributed to non-controlling interest	—			—			98			—			98
Net income attributed to Vector Group Ltd.	$	58,105		$	184,472		$	14,779		$	(199,251	)	$	58,105
Comprehensive loss attributed to non-controlling interest	$	—		$	—		$	98		$	—		$	98
Comprehensive income attributed to Vector Group Ltd.	$	56,730		$	181,041		$	14,779		$	(195,820	)	$	56,730

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

				Year Ended December 31, 2017
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Revenues	$	—		$	1,080,590		$	727,364		$	(478	)	$	1,807,476
Expenses:
Cost of sales	—			750,768			477,278			—			1,228,046
Operating, selling, administrative and general expenses	34,790			74,107			228,772			(478		)	337,191
Litigation settlement and judgment expense	—			6,591			—			—			6,591
Management fee expense	—			11,069			—			(11,069		)	—
Operating (loss) income	(34,790		)	238,055			21,314			11,069			235,648
Other income (expenses):
Interest expense	(169,910		)	(3,740		)	(35		)	—			(173,685		)
Change in fair value of derivatives embedded within convertible debt	35,919			—			—			—			35,919
Loss on extinguishment of debt	(34,110		)	—			—			—			(34,110		)
Equity in earnings from real estate ventures	—			—			21,395			—			21,395
Equity in losses from investments	(729		)	(36		)	—			—			(765		)
Net losses recognized on investment securities	(625		)	—			(35		)	—			(660		)
Equity in earnings in consolidated subsidiaries	200,480			15,077			—			(215,557		)	—
Management fee income	11,069			—			—			(11,069		)	—
Other, net	1,930			2,137			1,359			—			5,426
Income before provision for income taxes	9,234			251,493			43,998			(215,557		)	89,168
Income tax benefit (expense)	75,338			(73,546		)	(210		)	—			1,582
Net income	84,572			177,947			43,788			(215,557		)	90,750
Net income attributed to non-controlling interest	—			—			(6,178		)	—			(6,178		)
Net income attributed to Vector Group Ltd.	$	84,572		$	177,947		$	37,610		$	(215,557	)	$	84,572
Comprehensive income attributed to non-controlling interest	$	—		$	—		$	(6,178	)	$	—		$	(6,178	)
Comprehensive income attributed to Vector Group Ltd.	$	83,246		$	161,577		$	37,610		$	(199,187	)	$	83,246

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

	Year Ended December 31, 2016
	Parent/ Issuer			Subsidiary Guarantors			Subsidiary Non- Guarantors			Consolidating Adjustments			Consolidated Vector Group Ltd.
Revenues	$	—		$	1,011,322		$	680,105		$	(478	)	$	1,690,949
Expenses:
Cost of sales	—			672,515			424,829			—			1,097,344
Operating, selling, administrative and general expenses	33,964			73,129			232,444			(478		)	339,059
Litigation settlement and judgment expense	—			20,000			—			—			20,000
Restructuring charges	—			41			—			—			41
Management fee expense	—			10,649			—			(10,649		)	—
Operating (loss) income	(33,964		)	234,988			22,832			10,649			234,505
Other income (expenses):
Interest expense	(139,524		)	(3,438		)	(20		)	—			(142,982		)
Changes in fair value of derivatives embedded within convertible debt	31,710			—			—			—			31,710
Equity in earnings from real estate ventures	—			—			5,200			—			5,200
Net losses recognized on investment securities	(855		)	(2,632		)	—			—			(3,487		)
Equity in losses from investments	(2,664		)	(90		)	—			—			(2,754		)
Equity in earnings in consolidated subsidiaries	161,471			14,872			—			(176,343		)	—
Management fee income	10,649			—			—			(10,649		)	—
Other, net	1,124			2,174			939			—			4,237
Income before provision for income taxes	27,947			245,874			28,951			(176,343		)	126,429
Income tax benefit (expense)	43,180			(83,008		)	(9,335		)	—			(49,163		)
Net income	71,127			162,866			19,616			(176,343		)	77,266
Net income attributed to non-controlling interest	—			—			(6,139		)	—			(6,139		)
Net income attributed to Vector Group Ltd.	$	71,127		$	162,866		$	13,477		$	(176,343	)	$	71,127
Comprehensive income attributed to non-controlling interest	$	—		$	—		$	(6,139	)	$	—		$	(6,139	)
Comprehensive income attributed to Vector Group Ltd.	$	68,195		$	146,841		$	13,477		$	(160,318	)	$	68,195

Condensed Consolidating Statements of Cash Flows

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

				Year Ended December 31, 2018
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Net cash provided by operating activities	$	188,568		$	204,638		$	36,719		$	(248,091	)	$	181,834
Cash flows from investing activities:
Sale of investment securities	14,673			3,955			—			—			18,628
Maturities of investment securities	24,719			—			—			—			24,719
Purchase of investment securities	(34,445		)	—			—			—			(34,445		)
Proceeds from sale or liquidation of long-term investments	19,487			—			—			—			19,487
Purchase of long-term investments	(415		)	—			—			—			(415		)
Investments in real estate ventures	—			—			(9,728		)	—			(9,728		)
Distributions from real estate ventures	—			—			54,233			—			54,233
Increase in cash surrender value of life insurance policies	(280		)	(484		)	—			—			(764		)
Decrease in restricted assets	6			520			—			—			526
Issuance of notes receivable	—			—			(450		)	—			(450		)
Investments in subsidiaries	(17,224		)	—			(10,000		)	27,224			—
Proceeds from sale of fixed assets	—			9			—			—			9
Cash acquired in purchase of subsidiaries	—			—			654			—			654
Purchase of subsidiaries	—			(10,000		)	(404		)	—			(10,404		)
Repayment of notes receivable	20,000			—			67			(20,000		)	67
Capital expenditures	(22		)	(4,599		)	(13,061		)	—			(17,682		)
Investments in real estate, net	—			—			(2,583		)	—			(2,583		)
Pay downs of investment securities	1,611			—			—			—			1,611
Net cash provided by (used in) investing activities	28,110			(10,599		)	18,728			7,224			43,463
Cash flows from financing activities:
Proceeds from issuance of debt	325,000			—			—			—			325,000
Deferred financing costs	(9,400		)	—			—			—			(9,400		)
Repayments of debt	(26,750		)	(21,631		)	(308		)	20,000			(28,689		)
Borrowings under revolver	—			307,023			—			—			307,023
Repayments on revolver	—			(310,551		)	—			—			(310,551		)
Capital contributions received	—			10,800			16,424			(27,224		)	—
Intercompany dividends paid	—			(176,006		)	(72,085		)	248,091			—
Dividends and distributions on common stock	(225,367		)	—			—			—			(225,367		)
Distributions to non-controlling interest	—			—			(2,521		)	—			(2,521		)
Net cash provided by (used in) financing activities	63,483			(190,365		)	(58,490		)	240,867			55,495
Net increase (decrease) in cash, cash equivalents and restricted cash	280,161			3,674			(3,043		)	—			280,792
Cash, cash equivalents and restricted cash, beginning of period	194,719			20,175			96,043			—			310,937
Cash, cash equivalents and restricted cash, end of period	$	474,880		$	23,849		$	93,000		$	—		$	591,729

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

				Year Ended December 31, 2017
							Subsidiary						Consolidated
	Parent/			Subsidiary			Non-			Consolidating			Vector Group
	Issuer			Guarantors			Guarantors			Adjustments			Ltd.
Net cash provided by operating activities	$	177,259		$	171,122		$	59,202		$	(275,997	)	$	131,586
Cash flows from investing activities:
Sale of investment securities	28,761			—			—			—			28,761
Maturities of investment securities	101,097			—			—			—			101,097
Purchase of investment securities	(132,654		)	—			—			—			(132,654		)
Proceeds from sale or liquidation of long-term investments	500			—			466			—			966
Purchase of long-term investments	(31,650		)	—			(860		)	—			(32,510		)
Investments in real estate ventures	—			—			(38,807		)	—			(38,807		)
Distributions from real estate ventures	—			—			61,718			—			61,718
Increase in cash surrender value of life insurance policies	(318		)	(484		)	—			—			(802		)
Decrease in restricted assets	227			1,783			240			—			2,250
Issuance of notes receivable	(20,000		)	—			(1,633		)	20,000			(1,633		)
Investments in subsidiaries	(38,458		)	—			—			38,458			—
Proceeds from sale of fixed assets	—			76			—			—			76
Purchase of subsidiaries	—			—			(6,569		)	—			(6,569		)
Capital expenditures	(35		)	(3,705		)	(16,129		)	—			(19,869		)
Investments in real estate, net	—			—			(619		)	—			(619		)
Pay downs of investment securities	2,633			—			—			—			2,633
Net cash used in investing activities	(89,897		)	(2,330		)	(2,193		)	58,458			(35,962		)
Cash flows from financing activities:
Proceeds from issuance of debt	850,000			20,000			21			(20,000		)	850,021
Deferred financing costs	(19,200		)	—			—			—			(19,200		)
Repayments of debt	(835,000		)	(1,882		)	(323		)	—			(837,205		)
Borrowings under revolver	—			157,630			—			—			157,630
Repayments on revolver	—			(163,474		)	—			—			(163,474		)
Capital contributions received	—			2,400			36,058			(38,458		)	—
Intercompany dividends paid	—			(182,975		)	(93,022		)	275,997			—
Dividends and distributions on common stock	(211,488		)	—			—			—			(211,488		)
Distributions to non-controlling interest	—			—			(2,779		)	—			(2,779		)
Proceeds from the issuance of Vector stock	43,230			—			—			—			43,230
Net cash used in financing activities	(172,458		)	(168,301		)	(60,045		)	217,539			(183,265		)
Net (decrease) increase in cash, cash equivalents and restricted cash	(85,096		)	491			(3,036		)	—			(87,641		)
Cash, cash equivalents and restricted cash, beginning of period	279,815			19,684			99,079			—			398,578
Cash, cash equivalents and restricted cash, end of period	$	194,719		$	20,175		$	96,043		$	—		$	310,937

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

	Year Ended December 31, 2016
	Parent/ Issuer			Subsidiary Guarantors			Subsidiary Non- Guarantors			Consolidating Adjustments			Consolidated Vector Group Ltd.
Net cash provided by operating activities	$	135,820		$	139,824		$	60,640		$	(238,648	)	$	97,636
Cash flows from investing activities:
Sale of investment securities	105,815			10,255			—			—			116,070
Maturities of investment securities	10,822			—			—			—			10,822
Purchase of investment securities	(117,211		)				—			—			(117,211		)
Proceeds from sale or liquidation of long-term investments	4,552			—						—			4,552
Purchase of long-term investments				—			(50		)	—			(50		)
Investments in real estate ventures	—			—			(44,107		)	—			(44,107		)
Distributions from real estate ventures	—			—			33,204			—			33,204
Increase in cash surrender value of life insurance policies	—			(484		)	—			—			(484		)
(Increase) decrease in restricted assets	(15		)	1,177			(752		)	—			410
Proceeds from sale of fixed assets	—			32			13			—			45
Purchase of subsidiaries	—			—			(250		)	—			(250		)
Repayment of notes receivable	—			—			4,410			—			4,410
Investments in subsidiaries	(19,219		)	—			—			19,219			—
Capital expenditures	(86		)	(6,445		)	(20,160		)	—			(26,691		)
Investments in real estate, net	—			—			(245		)	—			(245		)
Pay downs of investment securities	9,212			—			—			—			9,212
Net cash used in (provided by) investing activities	(6,130		)	4,535			(27,937		)	19,219			(10,313		)
Cash flows from financing activities:
Proceeds from issuance of debt	243,225						395			—			243,620
Repayments of debt	—			(5,226		)	(139		)	—			(5,365		)
Deferred financing costs	(6,600		)				—			—			(6,600		)
Borrowings under revolver	—			144,294			—			—			144,294
Repayments on revolver	—			(110,614		)	—			—			(110,614		)
Capital contributions received	—			2,800			16,419			(19,219		)	—
Intercompany dividends paid	—			(181,709		)	(56,939		)	238,648			—
Dividends and distributions on common stock	(198,947		)	—			—			—			(198,947		)
Distributions to non-controlling interest	—			—			(11,545		)	—			(11,545		)
Contributions from non-controlling interest	—			—			248			—			248
Proceeds from exercise of Vector options	398			—						—			398
Tax benefit of options exercised	579						—						579
Net cash provided by (used in) financing activities	38,655			(150,455		)	(51,561		)	219,429			56,068
Net increase (decrease) in cash and cash equivalents	168,345			(6,096		)	(18,858		)	—			143,391
Cash, cash equivalents and restricted cash, beginning of period	111,470			25,780			117,937			—			255,187
Cash, cash equivalents and restricted cash, end of period	$	279,815		$	19,684		$	99,079		$	—		$	398,578