Quarterly report pursuant to Section 13 or 15(d)

Discontinued Operations

v2.4.0.8
Discontinued Operations
 9 Months Ended
Sep. 30, 2014
Discontinued Operations [Abstract]  
Discontinued Operations

NOTE 2.  DISCONTINUED OPERATIONS

 

As discussed above, during our third fiscal quarter ended September 30, 2014, the Company and Gregory, its wholly-owned subsidiary, completed the GMP Sale pursuant to the terms of the Purchase Agreement.  The Company received $84,135 in cash for the GMP Sale and paid $2,995 in transaction fees for net proceeds of $81,140.  The Company recognized a pre-tax gain on such sale of $39,491 and tax expense of $19,933.  Summarized results of discontinued operations are as follows: 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

September 30, 2014

 

September 30, 2013

 

September 30, 2014

 

September 30, 2013

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$
2,075 

 

 
8,595 

 

 
20,684 

 

 
28,671 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from operations of GMP

 

 
1,696 

 

 
2,223 

 

 
4,138 

 

 
7,480 

Gain on sale of GMP

 

 
39,491 

 

 

 -

 

 
39,491 

 

 

 -

Income tax (expense) benefit

 

 
(20,365)

 

 
117 

 

 
(21,272)

 

 
(2,408)

Income from discontinued operations, net of tax

 

$
20,822 

 

$
2,340 

 

$
22,357 

 

$
5,072 

 

 

 

 

 

 

 

 

 

 

 

 

 

In connection with the GMP Sale, all interest related to outstanding debt that was required to be repaid pursuant to the terms of the Company’s amended and restated loan agreement with Zions First National Bank is allocated to discontinued operations in our condensed consolidated financial statements.  Total interest expense allocated to discontinued operations for the three months ended September 30, 2014 and 2013 was $35 and $302, respectively, and for the nine months ended September 30, 2014 and 2013 was $636 and $697, respectively.