Cash America 2015 Annual Report Download - page 98

arrangement. ASU 2015-03 and ASU 2015-15 apply to all business entities and are effective for public business
entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2015.
Early adoption is permitted. The Company does not expect that the adoption of ASU 2015-03 and ASU 2015-15
will have a material effect on its consolidated financial statements.
In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the
Consolidation Analysis (“ASU 2015-02”), which provides guidance for reporting entities that are required to
evaluate whether they should consolidate certain legal entities. In accordance with ASU 2015-02, all legal entities
are subject to reevaluation under the revised consolidation model. ASU 2015-02 is effective for public business
entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2015.
Early adoption is permitted. The Company does not expect that the adoption of ASU 2015-02 will have a material
effect on its consolidated financial statements.
In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) Section
A—Summary and Amendments That Create Revenue from Contracts with Customers (Topic 606) and Other Assets
and Deferred Costs—Contracts with Customers (Subtopic 340-40) (“ASU 2014-09”), which supersedes the revenue
recognition requirements in ASC 605, Revenue Recognition. ASU 2014-09 requires entities to recognize revenue in
a way that depicts the transfer of goods or services to customers in an amount that reflects the consideration to
which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 requires additional
disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer
contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to
obtain or fulfill a contract. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers
(Topic 606) (“ASU 2015-14”), which defers the effective date of ASU 2014-09 by one year. For public business
entities, ASU 2014-09 will now be effective for fiscal years, and interim periods within those years, beginning after
December 15, 2017. Early adoption is permitted at, but not before, the original effective date, which is for fiscal
years, and interim periods within those years, beginning after December 15, 2016. Entities are permitted to apply
ASU 2014-09 either retrospectively or through an alternative transition model. The Company is still assessing the
potential impact of ASU 2014-09 on its consolidated financial statements.
2. Discontinued Operations
OnNovember13,2014,theCompanycompletedtheEnovaSpin-off by distributing net assets of $79.6
million through a distribution of Enova common shares to the Company’s shareholders. The Enova Spin-off was
part of the Company’s strategy to focus on its core pawn operations business, and consequently, the net assets,
operating results, and cash flows of the Company’s previously-held Enova business are presented separately as
discontinued operations for the years ended December 31, 2014 and 2013.
Upon completion of the Enova Spin-off, the Company retained approximately 20 percent of the shares of
Enova common stock. See Note 9 for additional information related to the Company’s investment in Enova.
Enova is now a stand-alone public company that separately reports its financial results. Due to differences
between the basis of presentation for discontinued operations and the basis of presentation as a stand-alone
company, the financial results of Enova included within discontinued operations for the Company may not be
indicative of actual financial results of Enova as a stand-alone company.
CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
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