Discontinued Operations

9 Months Ended

Sep. 30, 2012

Discontinued Operations [Abstract]

DISCONTINUED OPERATIONS

NOTE 6 – DISCONTINUED OPERATIONS

Theatres are generally considered for closure due to an expiring lease, underperformance, or the opportunity to better deploy invested capital. During the three months ended September 30, 2012 and 2011, the Company closed one theatre in each period and for the nine months ended September 30, 2012 and 2011, the Company closed eight and five theatres, respectively. With respect to the closures during the three months ended September 30, 2012 and 2011, the Company classified one theatre in each period as discontinued operations and for the nine months ended September 30, 2012 and 2011, the Company classified five theatres in each period as discontinued operations. The Company reported the results of these operations, including gains and losses on disposal, as discontinued operations. The operations and cash flows of these theatres have been eliminated from the Company’s operations, and the Company will not have any continuing involvement in their operations.

All activity during the three and nine months ended September 30, 2012 included in the accompanying consolidated statements of operations has been reclassified to separately reflect the results of operations from theatres closed in 2012 and considered discontinued operations through the respective date of the theatre closings. Assets and liabilities associated with the discontinued operations have not been segregated from assets and liabilities from continuing operations as they are not material.

The following table sets forth the summary of activity for discontinued operations for the three and nine months ended September 30, 2012 and 2011:

	Three Months Ended September 30,
	2012			2011
Revenue from discontinued operations	$	112		$	743
Operating loss before income taxes	$	(158	)	$	(32	)
Income tax benefit from discontinued operations		59			14
Gain (loss) on disposal, before income taxes		57			(3	)
Income tax (expense) benefit on disposal		(21	)		1
Loss from discontinued operations	$	(63	)	$	(20	)
	Nine Months Ended September 30,
	2012			2011
Revenue from discontinued operations	$	519		$	2,257
Operating loss before income taxes	$	(389	)	$	(487	)
Income tax benefit from discontinued operations		146			178
Gain on disposal, before income taxes		181			230
Income tax expense on disposal		(68	)		(84	)
Loss from discontinued operations	$	(130	)	$	(163	)