Property And Equipment

6 Months Ended

Dec. 31, 2013

Property, Plant and Equipment [Abstract]

Property And Equipment

PROPERTY AND EQUIPMENT

Property and equipment consisted of the following amounts (in thousands):

Asset Class	December 31, 2013			June 30, 2013			December 31, 2012
Leasehold improvements	$	574,231		570,286			$	564,578
Technology and other equipment	322,349			324,403			314,663
Furniture and equipment	164,148			163,595			161,013
Software	105,720			98,537			86,284
Library books	45,001			44,248			43,319
Buildings and improvements	25,708			25,566			25,358
Construction in progress	24,182			19,600			20,258
Land	5,496			5,496			5,496
Total	1,266,835			1,251,731			1,220,969
Less accumulated depreciation and amortization	(789,613		)	(726,106		)	(658,785		)
Property and equipment, net	$	477,222		$	525,625		$	562,184

Depreciation and amortization expense related to property and equipment was $37.1 million and $37.6 million, respectively, for the three months ended December 31, 2013 and 2012 and $74.2 million and $80.2 million, respectively, for the six months ended December 31, 2013 and 2012. Depreciation and amortization expense for the six months ended December 31, 2012 included $4.6 million in accelerated amortization resulting from the write off of a software asset that no longer had a useful life.

During the three months ended December 31, 2013, the Company recorded an impairment of long-lived assets of $3.8 million in the consolidated statement of operations as estimated future cash flows at two of the Company's Brown Mackie Colleges locations were insufficient to support the carrying values of its property and equipment. In connection with the impairment, the leasehold improvement assets at the affected locations were measured at fair value using the discounted cash flow method (income approach) on a non-recurring basis using Level Three inputs as defined in Note 10, "Fair Value of Financial Instruments."

During the three months ended December 31, 2012, the Company completed five sale-leaseback transactions with unrelated third parties for net proceeds of $65.1 million. Concurrent with these sales, the Company entered into agreements to lease the properties back from the purchasers over initial lease terms ranging from three to 15 years. The Company classified these leases as operating and considers them normal leasebacks with no other continuing involvement.