Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2019

The VIEs in Brazil and Mexico comprise several not-for-profit foundations that have insignificant revenues and operating expenses. Selected Consolidated Statements of Operations information for VIEs that are included in continuing operations was as follows, net of the charges related to the above-described contractual arrangements:



	For the three months ended September 30,						For the nine months ended September 30,
	2019			2018			2019			2018
Selected Statements of Operations information:
Revenues, by segment:
Brazil	$	—		$	—		$	—		$	—
Mexico	—			4			—			89
Andean	120,746			119,884			325,668			325,423
Revenues	120,746			119,888			325,668			325,512

Depreciation and amortization	6,521			6,163			19,507			19,398

Operating income (loss), by segment:
Brazil	81			(16		)	46			(56		)
Mexico	(96		)	(121		)	(292		)	(349		)
Andean	23,576			12,954			40,875			7,714
Operating income	23,561			12,817			40,629			7,309

Net income	25,510			18,812			43,094			22,860
Net income attributable to Laureate Education, Inc.	25,510			18,812			43,094			22,860

The following table reconciles the Net income attributable to Laureate Education, Inc. as presented in the table above, to the amounts in our Consolidated Statements of Operations:



	For the three months ended September 30,						For the nine months ended September 30,
	2019			2018			2019		2018
Net income (loss) attributable to Laureate Education, Inc.:
Variable interest entities	$	25,510		$	18,812		$	43,094	$	22,860
Other operations	33,432			21,564			687,966		241,920
Corporate and eliminations	(154,168		)	(135,165		)	146,549		33,719
Net (loss) income attributable to Laureate Education, Inc.	$	(95,226	)	$	(94,789	)	$	877,609	$	298,499

The following table presents selected assets and liabilities of the consolidated VIEs. Except for Goodwill, the assets in the table below include the assets that can be used only to settle the obligations for the VIEs. The liabilities in the table are liabilities for which the creditors of the VIEs do not have recourse to the general credit of Laureate.

Selected Consolidated Balance Sheet amounts for these VIEs were as follows:



	September 30, 2019				December 31, 2018
	VIE		Consolidated		VIE		Consolidated
Balance Sheets data:
Cash and cash equivalents	$	163,413	$	323,930	$	158,387	$	387,780
Current assets held for sale	17,586		131,606		183,880		337,686
Other current assets	233,477		668,663		141,346		491,667
Total current assets	414,476		1,124,199		483,613		1,217,133

Goodwill	162,833		1,677,392		168,473		1,707,089
Tradenames	63,731		1,116,189		66,929		1,126,244
Other intangible assets, net	—		1,697		—		25,429
Operating lease right-of-use assets, net	69,934		871,746		—		—
Long-term assets held for sale	69,603		448,573		165,087		1,035,197
Other long-term assets	272,957		1,584,917		312,711		1,658,544
Total assets	1,053,534		6,824,713		1,196,813		6,769,636

Current liabilities held for sale	12,337		136,634		101,320		321,520
Other current liabilities	209,573		1,239,574		106,657		868,567
Long-term operating leases, less current portion	59,948		800,828		—		—
Long-term liabilities held for sale	30,833		158,501		42,265		358,863
Long-term debt and other long-term liabilities	31,610		1,646,352		24,502		3,155,344
Total liabilities	344,301		3,981,889		274,744		4,704,294

Total stockholders' equity	709,233		2,830,880		922,069		2,050,946
Total stockholders' equity attributable to Laureate Education, Inc.	709,233		2,843,440		921,747		2,061,079

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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