Revenue and Related Contract Costs and Contract Liabilities (Tables)

3 Months Ended

Mar. 31, 2018

Summary of Changes in Contract Liabilities

Changes to contract liabilities are as follows:

(in thousands)
Balance at January 1, 2018	$	31,981
Cash additions		38,241
Revenue recognized		(18,526	)
Foreign exchange translation adjustment		195
Balance at March 31, 2018	$	51,891

Disaggregate Revenue of GES and Pursuit by Major Product Line Timing of Revenue Recognition and Markets Served

The following tables disaggregate revenue of GES and Pursuit by major product line, timing of revenue recognition, and markets served:

GES

	Three Months Ended March 31, 2018
(in thousands)	GES U.S.		GES International		Intersegment Eliminations			Total
Services:
Core services	$	163,367	$	46,213	$	—		$	209,580
Audio-visual		17,084		3,168		—			20,252
Event technology		8,035		3,274		—			11,309
Intersegment eliminations		—		—		(3,348	)		(3,348	)
Total services		188,486		52,655		(3,348	)		237,793
Products:
Core products		15,382		14,531		—			29,913
Total revenue	$	203,868	$	67,186	$	(3,348	)	$	267,706

Timing of revenue recognition:
Services transferred over time	$	188,486	$	52,654	$	—		$	241,140
Products transferred over time		10,592		4,107		—			14,699
Products transferred at a point in time		4,790		10,425		—			15,215
Intersegment eliminations		—		—		(3,348	)		(3,348	)
Total revenue	$	203,868	$	67,186	$	(3,348	)	$	267,706

Markets:
Exhibitions	$	130,494	$	55,330	$	—		$	185,824
Conferences		37,816		6,661		—			44,477
Corporate events		29,444		4,860		—			34,304
Consumer events		6,114		335		—			6,449
Intersegment eliminations		—		—		(3,348	)		(3,348	)
Total revenue	$	203,868	$	67,186	$	(3,348	)	$	267,706

Pursuit

	Three Months Ended
(in thousands)	March 31, 2018
Services:
Accommodations	$	1,705
Admissions		3,579
Transportation		2,369
Travel planning		308
Intersegment eliminations		(206	)
Total services revenue		7,755
Products:
Food and beverage		1,219
Retail operations		748
Total products revenue		1,967
Total revenue	$	9,722

Timing of revenue recognition:
Services transferred over time	$	7,755
Products transferred at a point in time		1,967
Total revenue	$	9,722

Markets:
Banff Jasper Collection	$	7,089
Alaska Collection		213
Glacier Park Collection		626
FlyOver		1,794
Total revenue	$	9,722

Accounting Standards Update 2014-09

Balance Sheet Reclassifications made to Separately Present Contract Costs and Contract Liabilities in Connection with Adoption of Topic 606

In connection with the adoption of Topic 606, we made the following reclassifications to separately present contract costs and contract liabilities on the Condensed Consolidated Balance Sheet as of December 31, 2017:

	December 31, 2017
(in thousands)	As Previously Reported		Reclassifications			As Adjusted
Cash and cash equivalents	$	53,723		—		$	53,723
Accounts receivable, net		104,811		—			104,811
Inventories ⁽¹⁾		30,372		(12,822	)		17,550
Current contract costs ⁽¹⁾		—		13,436			13,436
Other current assets ⁽¹⁾		21,030		(1,289	)		19,741
Property and equipment, net		305,571		—			305,571
Other investments and assets ⁽¹⁾		47,512		675			48,187
Deferred income taxes		23,548		—			23,548
Goodwill		270,551		—			270,551
Other intangible assets, net		62,781		—			62,781
Total assets	$	919,899		—		$	919,899
Accounts payable	$	77,380		—		$	77,380
Customer deposits ⁽²⁾		33,415		(33,415	)		—
Contract liabilities ⁽²⁾		—		31,981			31,981
Accrued compensation		30,614		—			30,614
Other current liabilities ⁽²⁾		38,720		1,434			40,154
Debt and capital lease obligations, current and long-term		209,192		—			209,192
Pension and postretirement benefits		28,135		—			28,135
Other deferred items and liabilities		52,858		—			52,858
Total liabilities		470,314		—			470,314
Redeemable noncontrolling interest		6,648		—			6,648
Total stockholders' equity ⁽³⁾		442,937		—			442,937
Total liabilities and stockholders' equity	$	919,899		—		$	919,899

⁽¹⁾

Contract costs primarily consist of deferred core services costs (including labor and vendor purchases) required to service future exhibitions, conferences and other events, and commission expenses incurred to obtain contracts. All such costs were previously included in “Inventories” and in other certain assets. As a result of the changes noted above, deferred core services costs related to exhibitions and events that are scheduled to occur longer than one year in the future are currently included in “Other investments and assets”. The impact of this change reduced total current assets at December 31, 2017 by $0.7 million. The amount of deferred core services costs included in “Other investments and assets” at March 31, 2018 was $4.6 million.

⁽²⁾

In connection with the adoption of Topic 606, we elected to more prominently present contract liabilities on the Consolidated Balance Sheets. Consequently, customer deposits of $33.4 million as of December 31, 2017, have been reclassified to “Contract liabilities” and to other certain current liabilities to conform to the current period presentation.

⁽³⁾	The cumulative effect of initially applying Topic 606 as an adjustment to the opening balance of retained earnings was determined to be immaterial and therefore no adjustment was made.