GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Tables)

9 Months Ended

Sep. 30, 2014

Guarantor and Nonguarantor Financial Statements [Abstract]

Schedule of condensed balance sheet

Balance sheet at September 30, 2014:

	IAC		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Total Eliminations			IAC Consolidated
	(In thousands)
Cash and cash equivalents	$	675,152	$	—	$	256,560	$	—		$	931,712
Marketable securities	116,941		—		2,108		—			119,049
Accounts receivable, net	9		144,114		90,912		—			235,035
Other current assets	17,143		84,236		71,365		(3,261		)	169,483
Intercompany receivables	—		1,576,294		918,724		(2,495,018		)	—
Property and equipment, net	5,837		218,408		76,710		—			300,955
Goodwill	—		1,216,948		582,492		—			1,799,440
Intangible assets, net	—		298,314		212,941		—			511,255
Investment in subsidiaries	4,984,246		982,324		—		(5,966,570		)	—
Other non-current assets	47,606		21,260		101,776		839			171,481
Total assets	$	5,846,934	$	4,541,898	$	2,313,588	$	(8,464,010	)	$	4,238,410
Accounts payable, trade	$	5,353	$	32,631	$	36,924	$	—		$	74,908
Other current liabilities	58,796		289,719		230,270		—			578,785
Long-term debt	1,000,000		80,000		—		—			1,080,000
Income taxes payable	3,720		5,463		25,518		—			34,701
Intercompany liabilities	2,495,018		—		—		(2,495,018		)	—
Other long-term liabilities	309,019		98,823		53,861		(2,422		)	459,281
Redeemable noncontrolling interests	—		—		33,910		—			33,910
IAC shareholders' equity	1,975,028		4,035,262		1,931,308		(5,966,570		)	1,975,028
Noncontrolling interests	—		—		1,797		—			1,797
Total liabilities and shareholders' equity	$	5,846,934	$	4,541,898	$	2,313,588	$	(8,464,010	)	$	4,238,410

Balance sheet at December 31, 2013:

	IAC		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Total Eliminations			IAC Consolidated
	(In thousands)
Cash and cash equivalents	$	782,022	$	—	$	318,422	$	—		$	1,100,444
Marketable securities	1,007		—		4,997		—			6,004
Accounts receivable, net	38		135,651		71,719		—			207,408
Other current assets	45,111		76,572		40,661		(814		)	161,530
Intercompany receivables	—		569,030		847,423		(1,416,453		)	—
Property and equipment, net	5,316		221,386		67,262		—			293,964
Goodwill	—		1,180,159		495,164		—			1,675,323
Intangible assets, net	—		302,082		143,254		—			445,336
Investment in subsidiaries	3,833,751		782,840		—		(4,616,591		)	—
Other non-current assets	83,207		15,521		252,576		(6,629		)	344,675
Total assets	$	4,750,452	$	3,283,241	$	2,241,478	$	(6,040,487	)	$	4,234,684
Accounts payable, trade	$	4,310	$	51,525	$	21,818	$	—		$	77,653
Other current liabilities	41,623		280,549		187,072		—			509,244
Long-term debt	1,000,000		80,000		—		—			1,080,000
Income taxes payable	383,926		6,768		25,690		—			416,384
Intercompany liabilities	1,416,453		—		—		(1,416,453		)	—
Other long-term liabilities	217,404		96,239		72,941		(7,443		)	379,141
Redeemable noncontrolling interests	—		—		42,861		—			42,861
IAC shareholders' equity	1,686,736		2,768,160		1,848,431		(4,616,591		)	1,686,736
Noncontrolling interests	—		—		42,665		—			42,665
Total liabilities and shareholders' equity	$	4,750,452	$	3,283,241	$	2,241,478	$	(6,040,487	)	$	4,234,684

Schedule of condensed income statement

Statement of operations for the three months ended September 30, 2014:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Total Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	557,604		$	227,629		$	(3,002	)	$	782,231
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	387			121,230			105,263			(688		)	226,192
Selling and marketing expense	723			218,976			59,197			(2,273		)	276,623
General and administrative expense	28,046			50,317			29,820			10			108,193
Product development expense	1,935			27,294			10,508			(51		)	39,686
Depreciation	402			8,887			4,844			—			14,133
Amortization of intangibles	—			10,259			6,192			—			16,451
Total operating costs and expenses	31,493			436,963			215,824			(3,002		)	681,278
Operating (loss) income	(31,493		)	120,641			11,805			—			100,953
Equity in earnings (losses) of unconsolidated affiliates	91,137			13,248			95			(105,092		)	(612		)
Interest expense	(12,948		)	(1,050		)	(11		)	—			(14,009		)
Other (expense) income , net	(8,311		)	8,771			3,653			—			4,113
Earnings from continuing operations before income taxes	38,385			141,610			15,542			(105,092		)	90,445
Income tax benefit (provision)	112,697			(44,658		)	(8,223		)	—			59,816
Earnings from continuing operations	151,082			96,952			7,319			(105,092		)	150,261
Earnings from discontinued operations, net of tax	175,730			—			5			(5		)	175,730
Net earnings	326,812			96,952			7,324			(105,097		)	325,991
Net loss attributable to noncontrolling interests	—			—			821			—			821
Net earnings attributable to IAC shareholders	$	326,812		$	96,952		$	8,145		$	(105,097	)	$	326,812
Comprehensive income (loss) attributable to IAC shareholders	$	289,950		$	93,955		$	(28,940	)	$	(65,015	)	$	289,950

Statement of operations for the three months ended September 30, 2013:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Total Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	545,940		$	212,022		$	(1,090	)	$	756,872
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	578			138,715			110,192			(629		)	248,856
Selling and marketing expense	743			197,064			50,822			(347		)	248,282
General and administrative expense	23,334			39,824			12,933			(114		)	75,977
Product development expense	1,321			25,361			8,550			—			35,232
Depreciation	340			8,343			4,806			—			13,489
Amortization of intangibles	—			9,191			3,841			—			13,032
Total operating costs and expenses	26,316			418,498			191,144			(1,090		)	634,868
Operating (loss) income	(26,316		)	127,442			20,878			—			122,004
Equity in earnings (losses) of unconsolidated affiliates	95,701			17,684			(56		)	(116,582		)	(3,253		)
Interest expense	(6,520		)	(1,061		)	(42		)	—			(7,623		)
Other income (expense), net	20,882			(9,768		)	5,605			—			16,719
Earnings from continuing operations before income taxes	83,747			134,297			26,385			(116,582		)	127,847
Income tax benefit (provision)	9,279			(41,542		)	(3,863		)	—			(36,126		)
Earnings from continuing operations	93,026			92,755			22,522			(116,582		)	91,721
Earnings from discontinued operations, net of tax	3,914			—			3			(3		)	3,914
Net earnings	96,940			92,755			22,525			(116,585		)	95,635
Net loss attributable to noncontrolling interests	—			—			1,305			—			1,305
Net earnings attributable to IAC shareholders	$	96,940		$	92,755		$	23,830		$	(116,585	)	$	96,940
Comprehensive income attributable to IAC shareholders	$	122,502		$	93,189		$	36,262		$	(129,451	)	$	122,502

Statement of operations for the nine months ended September 30, 2014:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Total Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	1,660,092		$	628,033		$	(9,332	)	$	2,278,793
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	742			374,326			273,753			(2,335		)	646,486
Selling and marketing expense	1,534			675,025			177,972			(6,410		)	848,121
General and administrative expense	77,101			146,448			89,143			36			312,728
Product development expense	5,111			81,509			31,062			(623		)	117,059
Depreciation	1,043			27,671			15,494			—			44,208
Amortization of intangibles	—			28,919			12,917			—			41,836
Total operating costs and expenses	85,531			1,333,898			600,341			(9,332		)	2,010,438
Operating (loss) income	(85,531		)	326,194			27,692			—			268,355
Equity in earnings (losses) of unconsolidated affiliates	150,531			16,595			132			(176,655		)	(9,397		)
Interest expense	(38,918		)	(3,144		)	(57		)	—			(42,119		)
Other income (expense), net	11,077			(9,935		)	(59,952		)	—			(58,810		)
Earnings (loss) from continuing operations before income taxes	37,159			329,710			(32,185		)	(176,655		)	158,029
Income tax benefit (provision)	133,494			(114,388		)	(10,564		)	—			8,542
Earnings (loss) from continuing operations	170,653			215,322			(42,749		)	(176,655		)	166,571
Earnings (loss) from discontinued operations, net of tax	174,048			—			(35		)	35			174,048
Net earnings (loss)	344,701			215,322			(42,784		)	(176,620		)	340,619
Net loss attributable to noncontrolling interests	—			—			4,082			—			4,082
Net earnings (loss) attributable to IAC shareholders	$	344,701		$	215,322		$	(38,702	)	$	(176,620	)	$	344,701
Comprehensive income (loss) attributable to IAC shareholders	$	310,979		$	212,045		$	(74,704	)	$	(137,341	)	$	310,979

Statement of operations for the nine months ended September 30, 2013:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Total Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	1,659,383		$	642,435		$	(3,286	)	$	2,298,532
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	1,804			457,756			320,375			(2,408		)	777,527
Selling and marketing expense	1,884			584,005			153,216			(756		)	738,349
General and administrative expense	69,161			129,673			76,504			(122		)	275,216
Product development expense	3,087			74,148			27,166			—			104,401
Depreciation	1,051			29,878			13,612			—			44,541
Amortization of intangibles	—			30,640			14,607			—			45,247
Total operating costs and expenses	76,987			1,306,100			605,480			(3,286		)	1,985,281
Operating (loss) income	(76,987		)	353,283			36,955			—			313,251
Equity in earnings (losses) of unconsolidated affiliates	286,178			27,807			(279		)	(318,128		)	(4,422		)
Interest expense	(19,592		)	(3,204		)	(148		)	—			(22,944		)
Other (expense) income, net	(31,457		)	(37,286		)	87,116			—			18,373
Earnings from continuing operations before income taxes	158,142			340,600			123,644			(318,128		)	304,258
Income tax benefit (provision)	48,823			(116,053		)	(34,058		)	—			(101,288		)
Earnings from continuing operations	206,965			224,547			89,586			(318,128		)	202,970
Earnings from discontinued operations, net of tax	1,902			—			14			(14		)	1,902
Net earnings	208,867			224,547			89,600			(318,142		)	204,872
Net loss attributable to noncontrolling interests	—			—			3,995			—			3,995
Net earnings attributable to IAC shareholders	$	208,867		$	224,547		$	93,595		$	(318,142	)	$	208,867
Comprehensive income attributable to IAC shareholders	$	234,411		$	224,843		$	84,437		$	(309,280	)	$	234,411

Schedule of condensed cash flow statement

Statement of cash flows for the nine months ended September 30, 2014:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Total Eliminations		IAC Consolidated
	(In thousands)
Net cash (used in) provided by operating activities attributable to continuing operations	$	(50,458	)	$	349,842		$	(4,723	)	$	—	$	294,661
Cash flows from investing activities attributable to continuing operations:
Acquisitions, net of cash acquired	—			(191,509		)	(52,973		)	—		(244,482		)
Capital expenditures	(2,375		)	(25,526		)	(11,132		)	—		(39,033		)
Proceeds from maturities and sales of marketable debt securities	998			—			—			—		998
Purchases of marketable debt securities	(110,886		)	—			—			—		(110,886		)
Proceeds from sales of long-term investments	—			—			11,107			—		11,107
Purchases of long-term investments	(3,000		)	(7,043		)	(7,660		)	—		(17,703		)
Other, net	—			10			807			—		817
Net cash used in investing activities attributable to continuing operations	(115,263		)	(224,068		)	(59,851		)	—		(399,182		)
Cash flows from financing activities attributable to continuing operations:
Dividends	(68,505		)	—			—			—		(68,505		)
Issuance of common stock, net of withholding taxes	(4,823		)	—			—			—		(4,823		)
Excess tax benefits from stock-based awards	31,041			—			10,279			—		41,320
Purchase of noncontrolling interests	—			(30,000		)	(328		)	—		(30,328		)
Funds returned from escrow for Meetic tender offer	—			—			12,354			—		12,354
Acquisition-related contingent consideration payment	—			—			(7,373		)	—		(7,373		)
Intercompany	101,656			(94,492		)	(7,164		)	—		—
Other, net	(382		)	(1,310		)	295			—		(1,397		)
Net cash provided by (used in) financing activities attributable to continuing operations	58,987			(125,802		)	8,063			—		(58,752		)
Total cash used in continuing operations	(106,734		)	(28		)	(56,511		)	—		(163,273		)
Total cash used in discontinued operations	(136		)	—			(35		)	—		(171		)
Effect of exchange rate changes on cash and cash equivalents	—			28			(5,316		)	—		(5,288		)
Net decrease in cash and cash equivalents	(106,870		)	—			(61,862		)	—		(168,732		)
Cash and cash equivalents at beginning of period	782,022			—			318,422			—		1,100,444
Cash and cash equivalents at end of period	$	675,152		$	—		$	256,560		$	—	$	931,712

Statement of cash flows for the nine months ended September 30, 2013:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Total Eliminations		IAC Consolidated
	(In thousands)
Net cash (used in) provided by operating activities attributable to continuing operations	$	(55,102	)	$	401,921		$	(22,489	)	$	—	$	324,330
Cash flows from investing activities attributable to continuing operations:
Acquisitions, net of cash acquired	—			(6,584		)	(32,873		)	—		(39,457		)
Capital expenditures	(742		)	(52,742		)	(10,630		)	—		(64,114		)
Proceeds from maturities and sales of marketable debt securities	12,502			—			—			—		12,502
Proceeds from sales of long-term investments	41,976			—			310			—		42,286
Purchases of long-term investments	(17,362		)	—			(9,243		)	—		(26,605		)
Other, net	—			(1,717		)	10,621			—		8,904
Net cash provided by (used in) investing activities attributable to continuing operations	36,374			(61,043		)	(41,815		)	—		(66,484		)
Cash flows from financing activities attributable to continuing operations:
Principal payment on long-term debt	(15,844		)	—			—			—		(15,844		)
Purchase of treasury stock	(168,376		)	—			—			—		(168,376		)
Dividends	(58,882		)	—			—			—		(58,882		)
Issuance of common stock, net of withholding taxes	6,456			—			—			—		6,456
Excess tax benefits from stock-based awards	26,430			—			—			—		26,430
Purchase of noncontrolling interests	—			—			(55,561		)	—		(55,561		)
Intercompany	178,663			(339,665		)	161,002			—		—
Other, net	(951		)	(1,225		)	(1,210		)	—		(3,386		)
Net cash (used in) provided by financing activities attributable to continuing operations	(32,504		)	(340,890		)	104,231			—		(269,163		)
Total cash (used in) provided by continuing operations	(51,232		)	(12		)	39,927			—		(11,317		)
Total cash provided by discontinued operations	2,254			—			3			—		2,257
Effect of exchange rate changes on cash and cash equivalents	—			12			723			—		735
Net (decrease) increase in cash and cash equivalents	(48,978		)	—			40,653			—		(8,325		)
Cash and cash equivalents at beginning of period	501,075			—			248,902			—		749,977
Cash and cash equivalents at end of period	$	452,097		$	—		$	289,555		$	—	$	741,652