Redbox 2015 Annual Report Download - page 95

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Significant operating and investing cash flows of Redbox Canada were as follows:
Year Ended December 31,
Dollars in thousands 2015 2014 2013
Net loss on discontinued operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ (5,109) $ (17,291) $ (14,597)
Adjustments to reconcile net loss to net cash flows from operating activities:
Depreciation and amortization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,901 7,392 2,786
Content library. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,328 (787) (410)
Prepaid and other current assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,329 (293) (516)
Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2,663) 627 644
Accrued payables to retailers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (155) (175) 247
Other accrued liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (806) (122) 506
Net cash flows from operating activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,825 $ (10,649) $ (11,340)
Investing activities:
Purchase of property, plant and equipment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . (292) (5,494) (9,330)
Total cash flows used in investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ (292) $ (5,494) $ (9,330)
Discontinuation of Certain New Ventures
During 2013, we discontinued four new venture concepts; Rubi, Crisp Market, Orango, and Star Studio. As a result, for each
concept we estimated the fair value of assets held utilizing a cash flow approach. For each of the concepts and for certain
shared service assets used for the new ventures, we estimated the fair value of the assets was zero and recorded impairment
charges for each concept. Total asset impairment charges related to the concepts and relevant shared service assets were
recorded in 2013 as follows:
Dollars in thousands
Impairment
Expense
Rubi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 21,317
Orango . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,551
Crisp Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 289
Star Studio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,786
Corporate assets utilized for discontinued concepts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,789
Total impairment expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 32,732
We completed the wind-down process of all discontinued ventures in 2014. The results of the discontinued ventures and
associated impairment and restructuring charges, net of tax, are recorded within Loss from discontinued operations, net of tax
in our Consolidated Statements of Comprehensive Income (see Note 11: Restructuring). The continuing cash flows from these
operations after discontinuation are insignificant and are not segregated from cash flows from continuing operations in all
periods presented in our Consolidated Statements of Cash Flows.
87