XML 35 R23.htm IDEA: XBRL DOCUMENT v3.5.0.2
Other Income (Expense)
 9 Months Ended
Sep. 30, 2016
Other Income and Expenses [Abstract]  
Other Income (Expense)
Other Income (Expense)
Other income (expense) consists of the following:
 
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
 
 
2016
 
2015
 
2016
 
2015
Investment income, net
 
 
 
 
 
 
 
 
Net investment income from available-for-sale securities
 
 
 
 
 
 
 
 
Interest and dividend income
 
$
1,528

 
$
1,120

 
$
1,969

 
$
5,509

Accretion income
 
960

 
639

 
2,002

 
2,184

Realized gains on the sale of investments
 
40

 
5,276

 
40

 
5,276

Total net investment income from available-for-sale securities
 
2,528

 
7,035

 
4,011

 
12,969

Interest income from investments in special purpose entities
 
2,051

 
2,050

 
6,151

 
6,150

Interest accrued on notes receivable and other interest
 
110

 
40

 
216

 
657

Total investment income, net
 
4,689

 
9,125

 
10,378

 
19,776

Interest expense
 
 
 
 
 
 
 
 
Interest expense and amortization of discount and issuance costs for Senior Notes issued by special purpose entity
 
(2,259
)
 
(2,189
)
 
(6,640
)
 
(6,566
)
Interest expense
 
(816
)
 
(686
)
 
(2,615
)
 
(1,831
)
Total interest expense
 
(3,075
)
 
(2,875
)
 
(9,255
)
 
(8,397
)
Claim settlement
 
—

 
—

 
12,548

 
—

Other, net
 
 
 
 
 
 
 
 
Fees and expenses for the SEC investigation
 
—

 
(438
)
 
—

 
(7,869
)
Accretion income from retained interest investments
 
249

 
237

 
733

 
674

Hunting lease income
 
138

 
135

 
415

 
425

Other income, net
 
48

 
201

 
339

 
468

Other, net
 
435

 
135

 
1,487

 
(6,302
)
 
 
 
 
 
 
 
 
 
Total other income
 
$
2,049

 
$
6,385


$
15,158


$
5,077

Investment income, net
Interest and dividend income includes interest income accrued or received on the Company’s corporate debt securities and dividend income received from the Company’s preferred stock and other investments. Accretion income includes the amortization of the premium or discount related to the Company’s available-for-sale securities, which is amortized based on an effective interest rate method over the term of the available-for-sale securities. Realized gains on the sale of investments include the gain recognized on the sale of an available-for-sale security prior to maturity.
    Interest income from investments in SPEs primarily includes interest accrued or received on the Timber Note, which is used to pay the interest expense for the Senior Notes issued by NFTF.
Interest expense
Interest expense includes interest expense related to the Company’s CDD debt and the construction loan and Refinanced Loan in the Pier Park North joint venture. Borrowing costs, including the discount and issuance costs for the Senior Notes issued by the special purpose entity, are amortized based on the effective interest method at an effective rate of 4.9%.
Claim settlement

Claim settlement during the nine months ended September 30, 2016 includes $12.5 million for a settlement related to the Deepwater Horizon oil spill. See Note 7, Claim Settlement Receivable for further discussion.
Other, net
During the three and nine months ended September 30, 2015, the Company expensed a total of $0.4 million and $7.9 million, respectively, related to the SEC investigation, which was resolved in October 2015. This amount was included in Other, net in the condensed consolidated statements of income.
The Company records the accretion of investment income from its retained interest investment over the life of the retained interest using the effective yield method with rates ranging from 3.7% to 11.3%. Hunting lease income is recognized as income over the term of the lease.