SEAWORLD ENTERTAINMENT, INC., 10-Q filed on 11/6/2015
Quarterly Report
Document and Entity Information
9 Months Ended
Sep. 30, 2015
Nov. 2, 2015
Document And Entity Information [Abstract]
 
 
Document Type
10-Q 
 
Amendment Flag
false 
 
Document Period End Date
Sep. 30, 2015 
 
Document Fiscal Year Focus
2015 
 
Document Fiscal Period Focus
Q3 
 
Trading Symbol
SEAS 
 
Entity Registrant Name
SeaWorld Entertainment, Inc. 
 
Entity Central Index Key
0001564902 
 
Current Fiscal Year End Date
--12-31 
 
Entity Filer Category
Large Accelerated Filer 
 
Entity Common Stock, Shares Outstanding
 
89,627,620 
Condensed Consolidated Balance Sheets (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Current assets:
 
 
Cash and cash equivalents
$ 119,651 
$ 43,906 
Accounts receivable, net
48,534 
37,002 
Inventories
32,267 
33,134 
Prepaid expenses and other current assets
18,078 
20,894 
Deferred tax assets, net
7,268 
7,268 
Total current assets
225,798 
142,204 
Property and equipment, at cost
2,706,758 
2,612,052 
Accumulated depreciation
(993,668)
(867,421)
Property and equipment, net
1,713,090 
1,744,631 
Goodwill
335,610 
335,610 
Trade names/trademarks, net
163,091 
164,188 
Other intangible assets, net
22,037 
24,525 
Other assets
15,772 
11,313 
Total assets
2,475,398 
2,422,471 
Current liabilities:
 
 
Accounts payable
79,182 
88,279 
Current maturities on long-term debt
16,850 
14,050 
Accrued salaries, wages and benefits
15,600 
19,068 
Deferred revenue
98,101 
79,367 
Dividends payable
18,396 
172 
Other accrued expenses
20,669 
20,149 
Total current liabilities
248,798 
221,085 
Long-term debt, net of debt issuance costs of $14,563 and $20,003 as of September 30, 2015 and December 31, 2014, respectively
1,581,309 
1,569,400 
Deferred tax liabilities, net
57,423 
31,760 
Other liabilities
47,163 
20,691 
Total liabilities
1,934,693 
1,842,936 
Commitments and contingencies (Note 10)
   
   
Stockholders' Equity:
 
 
Preferred stock, $0.01 par value-authorized, 100,000,000 shares, no shares issued or outstanding at September 30, 2015 and December 31, 2014
Common stock, $0.01 par value-authorized, 1,000,000,000 shares; 90,305,888 and 90,191,100 shares issued at September 30, 2015 and December 31, 2014, respectively
903 
902 
Additional paid-in capital
623,044 
655,471 
Accumulated other comprehensive loss
(15,843)
(483)
Retained earnings
57,472 
33,516 
Treasury stock, at cost; 4,941,938 and 4,105,970 shares at September 30, 2015 and December 31, 2014, respectively
(124,871)
(109,871)
Total stockholders' equity
540,705 
579,535 
Total liabilities and stockholders' equity
$ 2,475,398 
$ 2,422,471 
Condensed Consolidated Balance Sheets (Parenthetical) (USD $)
In Thousands, except Share data, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Statement of Financial Position [Abstract]
 
 
Debt issuance costs
$ 14,563 
$ 20,003 
Preferred stock, par value
$ 0.01 
$ 0.01 
Preferred stock, shares authorized
100,000,000 
100,000,000 
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value
$ 0.01 
$ 0.01 
Common stock, shares authorized
1,000,000,000 
1,000,000,000 
Common stock, shares issued
90,305,888 
90,191,100 
Treasury stock, shares
4,941,938 
4,105,970 
Condensed Consolidated Statements of Comprehensive Income (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Net revenues:
 
 
 
 
Admissions
$ 304,626 
$ 306,495 
$ 679,917 
$ 693,144 
Food, merchandise and other
192,313 
189,339 
423,230 
420,131 
Total revenues
496,939 
495,834 
1,103,147 
1,113,275 
Costs and expenses:
 
 
 
 
Cost of food, merchandise and other revenues
36,959 
38,219 
83,974 
88,630 
Operating expenses (exclusive of depreciation and amortization shown separately below)
196,931 
200,891 
541,944 
557,993 
Selling, general and administrative
47,684 
49,242 
172,082 
152,882 
Restructuring and other related costs
1,196 
267 
1,196 
Secondary offering costs
747 
Depreciation and amortization
44,505 
44,371 
138,469 
128,733 
Total costs and expenses
326,079 
333,919 
936,736 
930,181 
Operating income
170,860 
161,915 
166,411 
183,094 
Other expense (income), net
41 
(56)
511 
(84)
Interest expense
15,019 
20,857 
50,929 
61,087 
Loss on early extinguishment of debt and write-off of discounts and debt issuance costs
461 
20,348 
461 
Income before income taxes
155,800 
140,653 
94,623 
121,630 
Provision for income taxes
57,850 
53,477 
34,462 
46,265 
Net income
97,950 
87,176 
60,161 
75,365 
Other comprehensive income:
 
 
 
 
Unrealized (loss) gain on derivatives, net of tax
(10,740)
1,087 
(15,360)
Comprehensive income
$ 87,210 
$ 88,263 
$ 44,801 
$ 75,372 
Earnings per share:
 
 
 
 
Net income per share, basic
$ 1.14 
$ 1.01 
$ 0.70 
$ 0.86 
Net income per share, diluted
$ 1.14 
$ 1.00 
$ 0.70 
$ 0.86 
Weighted average common shares outstanding:
 
 
 
 
Basic
86,006 
86,715 
86,096 
87,329 
Diluted
86,100 
87,024 
86,207 
87,648 
Cash dividends declared per share:
 
 
 
 
Cash dividends declared per share
$ 0.21 
$ 0.21 
$ 0.84 
$ 0.62 
Condensed Consolidated Statements of Changes in Stockholders' Equity (USD $)
In Thousands, except Share data
Total
Common Stock [Member]
Additional Paid-In Capital [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive (Loss) Income [Member]
Treasury Stock, at Cost [Member]
Beginning Balance at Dec. 31, 2014
$ 579,535 
$ 902 
$ 655,471 
$ 33,516 
$ (483)
$ (109,871)
Beginning Balance, shares at Dec. 31, 2014
90,191,100 
90,191,100 
 
 
 
 
Equity-based compensation
4,800 
 
4,800 
 
 
 
Unrealized loss on derivatives, net of tax
(15,360)
 
 
 
(15,360)
 
Vesting of restricted shares
 
(1)
 
 
 
Vesting of restricted shares, shares
 
156,733 
 
 
 
 
Shares withheld for tax withholdings
(838)
 
(838)
 
 
 
Shares withheld for tax withholdings, shares
 
(41,945)
 
 
 
 
Cash dividends declared to stockholders, net of forfeitures
(72,593)
 
(36,388)
(36,205)
 
 
Repurchase of shares of treasury stock, at cost
(15,000)
 
 
 
 
(15,000)
Net income
60,161 
 
 
60,161 
 
 
Ending Balance at Sep. 30, 2015
$ 540,705 
$ 903 
$ 623,044 
$ 57,472 
$ (15,843)
$ (124,871)
Ending Balance, shares at Sep. 30, 2015
90,305,888 
90,305,888 
 
 
 
 
Condensed Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) (USD $)
In Thousands, except Share data, unless otherwise specified
9 Months Ended
Sep. 30, 2015
Unrealized loss on derivatives, tax benefit
$ 8,799 
Cash dividends declared per share
$ 0.84 
Repurchase of treasury stock, Shares
835,968 
Accumulated Other Comprehensive (Loss) Income [Member]
 
Unrealized loss on derivatives, tax benefit
$ 8,799 
Condensed Consolidated Statements of Cash Flows (USD $)
In Thousands, unless otherwise specified
9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Cash Flows From Operating Activities:
 
 
Net income
$ 60,161 
$ 75,365 
Adjustments to reconcile net income to net cash provided by operating activities:
 
 
Depreciation and amortization
138,469 
128,733 
Amortization of debt issuance costs and discounts
5,170 
7,068 
Loss on early extinguishment of debt and write-off of discounts and debt issuance costs
20,348 
461 
Loss on sale or disposal of assets
4,334 
1,694 
Loss on derivatives
288 
Deferred income tax provision
34,462 
45,356 
Equity-based compensation
4,800 
1,905 
Changes in assets and liabilities:
 
 
Accounts receivable
(15,097)
(3,091)
Inventories
556 
(557)
Prepaid expenses and other current assets
3,195 
1,890 
Accounts payable
(1,771)
(3,746)
Accrued salaries, wages and benefits
(3,468)
(11,595)
Deferred revenue
22,608 
9,191 
Other accrued expenses
6,510 
14,162 
Other assets and liabilities
(645)
3,103 
Net cash provided by operating activities
279,920 
269,939 
Cash Flows From Investing Activities:
 
 
Capital expenditures
(117,129)
(122,809)
Change in restricted cash
(379)
(373)
Acquisition of intangible assets
(1,900)
Net cash used in investing activities
(117,508)
(125,082)
Cash Flows From Financing Activities:
 
 
Proceeds from the issuance of debt
280,000 
Repayment of long-term debt
(271,938)
(42,025)
Proceeds from draw on revolving credit facility
45,000 
40,000 
Repayment of revolving credit facility
(45,000)
(40,000)
Dividends paid to stockholders
(54,370)
(53,639)
Debt issuance costs
(4,571)
Redemption premium payment
(14,300)
Purchase of treasury stock
(20,650)
(50,708)
Payment of tax withholdings on equity-based compensation through shares withheld
(838)
(134)
Net cash used in financing activities
(86,667)
(146,506)
Change in Cash and Cash Equivalents
75,745 
(1,649)
Cash and Cash Equivalents-Beginning of period
43,906 
116,841 
Cash and Cash Equivalents-End of period
119,651 
115,192 
Supplemental Disclosures of Noncash Investing and Financing Activities
 
 
Capital expenditures in accounts payable
18,404 
13,616 
Dividends declared, but unpaid
$ 18,396 
$ 18,647 
Description of the Business and Basis of Presentation
Description of the Business and Basis of Presentation

1. DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION

Description of the Business

SeaWorld Entertainment, Inc., through its wholly-owned subsidiary, SeaWorld Parks & Entertainment, Inc. (“SEA”) (collectively, the “Company”), owns and operates eleven theme parks within the United States. Prior to December 1, 2009, the Company did not have any operations. Prior to its initial public offering in April 2013, the Company was owned by ten limited partnerships (the “Partnerships” or the “selling stockholders”), ultimately owned by affiliates of The Blackstone Group L.P. (“Blackstone”) and certain co-investors.

The Company operates SeaWorld theme parks in Orlando, Florida; San Antonio, Texas; and San Diego, California, and Busch Gardens theme parks in Tampa, Florida, and Williamsburg, Virginia. The Company operates water park attractions in Orlando, Florida (Aquatica); San Diego, California (Aquatica); Tampa, Florida (Adventure Island); and Williamsburg, Virginia (Water Country USA). The Company also operates a reservations-only attraction offering interaction with marine animals (Discovery Cove) and a seasonal park in Langhorne, Pennsylvania (Sesame Place).

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC. The unaudited condensed consolidated balance sheet as of December 31, 2014 has been derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K.

In the opinion of management, such unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, but are not necessarily indicative of the results of operations for the year ending December 31, 2015 or any future period due to the seasonal nature of the Company’s operations. Based upon historical results, the Company typically generates its highest revenues in the second and third quarters of each year and incurs a net loss in the first and fourth quarters, in part because six of its theme parks are only open for a portion of the year.

The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, including SEA. All intercompany accounts have been eliminated in consolidation.

Use of Estimates

The preparation of financial statements and related disclosures in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates and assumptions include, but are not limited to, the accounting for self-insurance, deferred tax assets, deferred revenue, equity compensation and the valuation of goodwill and other indefinite-lived intangible assets. Actual results could differ from those estimates.

Segment Reporting

The Company maintains discrete financial information for each of its eleven theme parks, which is used by the Chief Operating Decision Maker (“CODM”), identified as the Chief Executive Officer, as a basis for allocating resources. Each theme park has been identified as an operating segment and meets the criteria for aggregation due to similar economic characteristics. In addition, all of the theme parks provide similar products and services and share similar processes for delivering services. The theme parks have a high degree of similarity in the workforces and target similar consumer groups. Accordingly, based on these economic and operational similarities and the way the CODM monitors and makes decisions affecting the operations, the Company has concluded that its operating segments may be aggregated and that it has one reportable segment.

 

Reclassifications

Certain prior year amounts have been reclassified to conform to the 2015 presentation, in particular debt issuance costs, which were previously included in other assets in the unaudited condensed consolidated balance sheets, have been reclassified to long-term debt as a result of the adoption of a new Accounting Standards Update (“ASU”). See Note 2—Recently Issued Accounting Pronouncements for further details. In addition, $1,196 of restructuring and other related costs, which were previously included in selling, general and administrative expenses during the three and nine month periods ended September 30, 2014, but were reclassified in the fourth quarter of 2014 to separately disclose such costs, are reflected in restructuring and other related costs in the accompanying unaudited condensed consolidated statement of comprehensive income to be consistent. These costs relate primarily to third party consulting costs associated with the development of the Company’s cost savings plan.

Recently Issued Accounting Pronouncements
Recently Issued Accounting Pronouncements

2. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

The Company reviews new accounting pronouncements as they are issued or proposed by the Financial Accounting Standards Board (“FASB”).

In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. This ASU simplifies the accounting for inventory by requiring inventory to be measured at the “lower of cost and net realizable value” and eliminates options that currently exist for measuring inventory at “market value”. The ASU defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measurement. The ASU is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. The Company does not expect a material impact to its consolidated financial statements upon adoption of this ASU.

In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest (Topic 835): Simplifying the Presentation of Debt Issuance Costs. This ASU simplifies the accounting for debt issuance costs by requiring such costs to be presented as a direct deduction from the related debt liability rather than as an asset. Debt disclosures include the face amount of the debt liability and the effective interest rate. This ASU requires retrospective adoption and is effective for annual periods beginning on or after December 15, 2015, with early adoption permitted. The Company elected to early adopt this ASU as of June 30, 2015. The ASU has been applied retrospectively as a change in accounting principle for all periods presented in the accompanying unaudited condensed consolidated balance sheets. As a result of adopting this ASU, the Company reclassified $20,003 of unamortized debt issuance costs at December 31, 2014, from other assets to long-term debt on the accompanying unaudited condensed consolidated balance sheet. The adoption of this ASU did not impact the Company’s consolidated results of operations, stockholders’ equity or cash flows. Furthermore, in August 2015, the FASB issued ASU 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated With Line-of-Credit Arrangements: Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting. This ASU expands on the guidance set forth in ASU 2015-03 and clarifies that an entity may elect to present debt issuance costs related to line-of-credit arrangements as an asset which is subsequently amortized over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the arrangement. The Company has elected to record debt issuance costs related to its senior secured revolving credit facility as a deduction to long-term debt on the accompanying unaudited condensed consolidated balance sheets and to amortize the debt issuance costs over the term of the arrangement. See Note 6—Long-Term Debt for further details.

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition. This ASU is based on the principle that revenue is recognized to depict 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. The ASU also 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 No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which defers the effective date to annual reporting periods beginning after December 15, 2017 using one of two retrospective application methods with earlier adoption permitted for annual periods beginning after December 15, 2016. The Company has not yet selected a transition method and is evaluating the accounting and disclosure requirements on its consolidated financial statements but does not currently anticipate a material impact upon adoption; however, the Company is in the process of evaluating the effect this ASU will have on the classification of revenue and related disclosures.

Earnings per Share
Earnings per Share

3. EARNINGS PER SHARE

Earnings per share is computed as follows:

 

    Three Months Ended
September 30,
    Nine Months Ended
September 30,
 
    2015     2014     2015     2014  
    Net
Income
    Shares     Per
Share
Amount
    Net
Income
    Shares     Per
Share
Amount
    Net
Income
    Shares     Per
Share
Amount
    Net
Income
    Shares     Per
Share
Amount
 

Basic earnings per share

  $ 97,950        86,006      $ 1.14      $ 87,176        86,715      $ 1.01      $ 60,161        86,096      $ 0.70      $ 75,365        87,329      $ 0.86   

Effect of dilutive incentive-based awards

      94            309            111            319     
   

 

 

       

 

 

       

 

 

       

 

 

   

Diluted earnings per share

  $ 97,950        86,100      $ 1.14      $ 87,176        87,024      $ 1.00      $ 60,161        86,207      $ 0.70      $ 75,365        87,648      $ 0.86   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

In accordance with the Earnings Per Share Topic of the ASC, basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding during the period (excluding treasury stock and unvested restricted stock). The shares of unvested restricted stock are eligible to receive dividends; however, dividend rights will be forfeited if the award does not vest. Accordingly, only vested shares of outstanding restricted stock are included in the calculation of basic earnings per share. The weighted average number of repurchased shares during the period, if any, which are held as treasury stock are excluded from common stock outstanding.

Diluted earnings per share is determined using the treasury stock method based on the dilutive effect of unvested restricted stock and certain shares of common stock that are issuable upon exercise of stock options. There were approximately 2,463,000 and 27,000 anti-dilutive shares of common stock excluded from the computation of diluted earnings per share during the three months ended September 30, 2015 and 2014, respectively. During the nine months ended September 30, 2015 and 2014, there were approximately 1,599,000 and 21,000 anti-dilutive shares of common stock excluded from the computation of diluted earnings per share, respectively.

The Company’s outstanding performance share awards are considered contingently issuable shares and are excluded from the calculation of diluted earnings per share as the performance criteria has not been met as of the end of the reporting period. See further discussion in Note 11–Equity-Based Compensation.

Income Taxes
Income Taxes

4. INCOME TAXES

Income tax expense or benefit is recognized based on the Company’s estimated annual effective tax rate which is based upon the tax rate expected for the full calendar year applied to the pre-tax income or loss of the interim period. The Company’s consolidated effective tax rate for the three and nine months ended September 30, 2015 was 37.1% and 36.4%, respectively, and differs from the statutory federal income tax rate primarily due to state income taxes and other permanent items. The Company’s consolidated effective tax rate for the three and nine months ended September 30, 2014 was 38.0%, and differs from the statutory federal income tax rate primarily due to state income taxes and other permanent items.

The Company has determined that there are no positions currently taken that would rise to a level requiring an amount to be recorded or disclosed as an uncertain tax position. If such positions do arise, it is the Company’s intent that any interest or penalty amount related to such positions will be recorded as a component of tax expense to the applicable period.

Other Accrued Expenses
Other Accrued Expenses

5. OTHER ACCRUED EXPENSES

Other accrued expenses at September 30, 2015 and December 31, 2014, consisted of the following:

 

     September 30,
2015
     December 31,
2014
 

Accrued property taxes

   $ 11,089       $ 2,039   

Accrued interest

     362         2,604   

Self-insurance reserve

     7,207         7,800   

Other

     2,011         7,706   
  

 

 

    

 

 

 

Total other accrued expenses

   $ 20,669       $ 20,149   
  

 

 

    

 

 

 

 

Long-Term Debt
Long-Term Debt

6. LONG-TERM DEBT

Long-term debt as of September 30, 2015 and December 31, 2014 consisted of the following:

 

     September 30,
2015
    December 31,
2014
 

Term B-2 Loans (effective interest rate of 3.26% at September 30, 2015 and December 31, 2014)

   $ 1,341,900      $ 1,352,438   

Term B-3 Loans (effective interest rate of 4.33% at September 30, 2015)

     278,600        —     

Revolving Credit Facility

     —          —     

Senior Notes (effective interest rate of 12.07% at December 31, 2014)

     —          260,000   
  

 

 

   

 

 

 

Total long-term debt

     1,620,500        1,612,438   

Less discounts

     (7,778     (8,985

Less debt issuance costs

     (14,563     (20,003

Less current maturities

     (16,850     (14,050
  

 

 

   

 

 

 

Total long-term debt, net

   $ 1,581,309      $ 1,569,400   
  

 

 

   

 

 

 

SEA is the borrower under the senior secured credit facilities, as amended pursuant to a credit agreement dated as of December 1, 2009 (the “Senior Secured Credit Facilities”). Also on December 1, 2009, SEA issued $400,000 aggregate principal amount of unsecured senior notes due December 1, 2016 (the “Senior Notes”).

On March 30, 2015, SEA entered into an incremental term loan amendment, Amendment No. 7 (the “Incremental Amendment”), to its existing Senior Secured Credit Facilities. On April 7, 2015, SEA borrowed $280,000 of additional term loans (the “Term B-3 Loans”) pursuant to the Incremental Amendment. The proceeds, along with cash on hand, were used to redeem all of the $260,000 outstanding principal of the Senior Notes at a redemption price of 105.5% plus accrued and unpaid interest and pay fees, costs and other expenses in connection with the Term B-3 Loans. The redemption premium of $14,300 along with a write-off of approximately $6,048 in related discounts and debt issuance costs is included in the loss on early extinguishment of debt and write-off of discounts and debt issuance costs on the accompanying unaudited condensed consolidated statements of comprehensive income for the nine months ended September 30, 2015.

In connection with the issuance of the Term B-3 Loans, SEA recorded a discount of $1,400 and debt issuance costs of $3,171 during the nine months ended September 30, 2015. Debt issuance costs and discounts are amortized to interest expense using the effective interest method over the term of the related debt and are included in long-term debt, net, in the accompanying unaudited condensed consolidated balance sheets. Unamortized debt issuance costs and discounts for the Term B-2 Loans, Term B-3 Loans and senior secured revolving credit facility (the “Revolving Credit Facility”) were $15,583, $4,110 and $2,648, respectively, at September 30, 2015. Unamortized debt issuance costs and discounts for the Term B-2 Loans, Senior Notes and Revolving Credit Facility were $18,205, $6,921 and $3,862, respectively at December 31, 2014. See Note 2–Recently Issued Accounting Pronouncements for more details on the Company’s adoption of ASU 2015-03 in the second quarter of 2015.

 

As of September 30, 2015, SEA was in compliance with all covenants in the provisions contained in the documents governing the Senior Secured Credit Facilities.

Senior Secured Credit Facilities

As of September 30, 2015, the Senior Secured Credit Facilities consisted of $1,341,900 in Term B-2 Loans and $278,600 in Term B-3 Loans, which will mature on May 14, 2020, along with a $192,500 Revolving Credit Facility, which was not drawn upon as of September 30, 2015. The Revolving Credit Facility will mature on the earlier of (a) April 24, 2018 and (b) the 91st day prior to the maturity date of any indebtedness incurred to refinance any of the term loans.

The Term B-2 Loans amortize in equal quarterly installments in an aggregate annual amount equal to 1.0% of the original principal amount of the Term B-2 Loans on May 14, 2013, with the balance due on the final maturity date, of May 14, 2020. The Term B-3 Loans amortize in equal quarterly installments in an aggregate annual amount equal to 1.0% of the original principal amount of the Term B-3 Loans on the date of effectiveness of the Incremental Amendment, with the balance due on the final maturity date of May 14, 2020. SEA may voluntarily repay amounts outstanding under the Senior Secured Credit Facilities at any time without premium or penalty, other than customary “breakage” costs with respect to LIBOR loans and other than a prepayment premium on voluntary prepayments of Term B-3 Loans in connection with certain repricing transactions on or prior to the date that is six months after the effectiveness of the Incremental Amendment.

SEA is required to prepay the outstanding Term B-2 and Term B-3 loans, subject to certain exceptions, with (i) 50% of SEA’s annual “excess cash flow” (with step-downs to 25% and 0%, as applicable, based upon achievement by SEA of a certain total net leverage ratio), subject to certain exceptions; (ii) 100% of the net cash proceeds of certain non-ordinary course asset sales or other dispositions subject to reinvestment rights and certain exceptions; and (iii) 100% of the net cash proceeds of any incurrence of debt by SEA or any of its restricted subsidiaries, other than debt permitted to be incurred or issued under the Senior Secured Credit Facilities.

Notwithstanding any of the foregoing, each lender of term loans has the right to reject its pro rata share of mandatory prepayments described above, in which case SEA may retain the amounts so rejected. The foregoing mandatory prepayments will be applied pro rata to installments of term loans in direct order of maturity. There were no mandatory prepayments during the three or nine months ended September 30, 2015 or 2014 since none of the events indicated above occurred. On September 30, 2014, the Company made a voluntary principal repayment of approximately $31,500 on the Term B-2 Loans with available cash on hand. Subsequent to September 30, 2015, the Company made a voluntary principal repayment of approximately $30,000 on the Term B-3 Loans with available cash on hand.

SEA may also increase and/or add one or more incremental term loan facilities to the Senior Secured Credit Facilities and/or increase commitments under the Revolving Credit Facility in an aggregate principal amount of up to $350,000. SEA may also incur additional incremental term loans provided that, among other things, on a pro forma basis after giving effect to the incurrence of such incremental term loans, the First Lien Secured Leverage Ratio, as defined in the Senior Secured Credit Facilities, is no greater than 3.50 to 1.00.

Term B-2 Loans

The Term B-2 Loans were initially borrowed in an aggregate principal amount of $1,405,000. Borrowings under the Senior Secured Credit Facilities bear interest, at SEA’s option, at a rate equal to a margin over either (a) a base rate determined by reference to the higher of (1) the rate of interest in effect for such day as publicly announced from time to time by Bank of America, N.A. as its “prime rate” and (2) the federal funds effective rate plus 1/2 of 1% or (b) a LIBOR rate determined by reference to the British Bankers Association (“BBA”) LIBOR rate, or the successor thereto if the BBA is no longer making a LIBOR rate available, for the interest period relevant to such borrowing. The applicable margin for the Term B-2 Loans is 1.25%, in the case of base rate loans, and 2.25%, in the case of LIBOR rate loans, subject to a base rate floor of 1.75% and a LIBOR floor of 0.75%. The applicable margin for the Term B-2 Loans (under either a base rate or LIBOR rate) is subject to one 25 basis point step-down upon achievement by SEA of a total net leverage ratio equal to or less than 3.25 to 1.00. At September 30, 2015, SEA selected the LIBOR rate (interest rate of 3.00% at September 30, 2015).

Term B-3 Loans

Borrowings of Term B-3 Loans bear interest at a fluctuating rate per annum equal to, at SEA’s option, (a) a base rate equal to the higher of (1) the federal funds rate plus 1/2 of 1% and (2) the rate of interest in effect for such day as publicly announced from time to time by Bank of America, N.A. as its “prime rate” or (b) a LIBOR rate determined by reference to the BBA LIBOR rate, or the successor thereto if the BBA is no longer making a LIBOR rate available, for the interest period relevant to such borrowing. The applicable margin for the Term B-3 Loans is 2.25%, in the case of base rate loans, and 3.25%, in the case of LIBOR rate loans, subject to a base rate floor of 1.75% and a LIBOR floor of 0.75%. At September 30, 2015, SEA selected the LIBOR rate (interest rate of 4.00% at September 30, 2015).

 

Revolving Credit Facility

Borrowings of loans under the Revolving Credit Facility bear interest at a fluctuating rate per annum equal to, at SEA’s option, (a) a base rate equal to the higher of (1) the federal funds rate plus 1/2 of 1%, and (2) the rate of interest in effect for such day as publicly announced from time to time by Bank of America, N.A. as its “prime rate” or (b) a LIBOR rate determined by reference to the BBA LIBOR rate, or the successor thereto if the BBA is no longer making a LIBOR rate available, for the interest period relevant to such borrowing. The applicable margin for borrowings under the Revolving Credit Facility is 1.75%, in the case of base rate loans, and 2.75%, in the case of LIBOR rate loans. The applicable margin (under either a base rate or LIBOR rate) is subject to one 25 basis point step-down upon achievement by SEA of certain corporate credit ratings. At September 30, 2015, SEA selected the LIBOR rate and achieved the corporate credit ratings for an applicable LIBOR margin of 2.50%.

In addition to paying interest on outstanding principal under the Senior Secured Credit Facilities, SEA is required to pay a commitment fee to the lenders under the Revolving Credit Facility in respect of the unutilized commitments thereunder at a rate of 0.50% per annum. SEA is also required to pay customary letter of credit fees.

As of September 30, 2015, SEA had approximately $18,000 of outstanding letters of credit, leaving approximately $174,500 available for borrowing.

Restrictive Covenants

The Senior Secured Credit Facilities contain a number of customary negative covenants. Such covenants, among other things, restrict, subject to certain exceptions, the ability of SEA and its restricted subsidiaries to incur additional indebtedness; make guarantees; create liens on assets; enter into sale and leaseback transactions; engage in mergers or consolidations; sell assets; make fundamental changes; pay dividends and distributions or repurchase SEA’s capital stock; make investments, loans and advances, including acquisitions; engage in certain transactions with affiliates; make changes in nature of the business; and make prepayments of junior debt. The Senior Secured Credit Facilities also contain covenants requiring SEA to maintain specified maximum annual capital expenditures, a maximum total net leverage ratio and a minimum interest coverage ratio. All of the net assets of SEA and its consolidated subsidiaries are restricted and there are no unconsolidated subsidiaries of SEA.

The Senior Secured Credit Facilities permit restricted payments in an aggregate amount per annum not to exceed the greater of (1) 6% of initial public offering net proceeds received by SEA or (2) (a) $90,000, so long as, on a Pro Forma Basis (as defined in the Senior Secured Credit Facilities) after giving effect to the payment of any such restricted payment, the Total Leverage Ratio, (as defined in the Senior Secured Credit Facilities), is no greater than 5.00 to 1.00 and greater than 4.50 to 1.00, (b) $120,000, so long as, on a Pro Forma Basis after giving effect to the payment of any such restricted payment, the Total Leverage Ratio is no greater than 4.50 to 1.00 and greater than 4.00 to 1.00, (c) the greater of (A) $120,000 and (B) 7.5% of Market Capitalization (as defined in the Senior Secured Credit Facilities), so long as, on a Pro Forma Basis after giving effect to the payment of any such restricted payment, the Total Leverage Ratio is no greater than 4.00 to 1.00 and greater than 3.50 to 1.00 and (d) an unlimited amount, so long as, on a Pro Forma Basis after giving effect to the payment of any such restricted payment, the Total Leverage Ratio is no greater than 3.50 to 1.00.

As of September 30, 2015, the Total Leverage Ratio as calculated under the Senior Secured Credit Facilities was 4.13 to 1.00, which results in the Company having a $120,000 capacity for restricted payments in 2015. During the nine months ended September 30, 2015, the Company has used approximately $87,700 of its available restricted payments capacity. As a result, under the Senior Secured Credit Facilities, the Company currently has the ability to declare dividends or make certain other restricted payments in an aggregate amount of up to approximately $32,300 for the remainder of calendar year 2015. The amount available for dividend declarations, share repurchases and certain other restricted payments under the covenant restrictions in the debt agreements adjusts at the beginning of each quarter as set forth above.

 

Long-term debt at September 30, 2015, is repayable as follows and does not include the impact of any future prepayments:

 

Years Ending December 31,

 

2015

   $ 4,213   

2016

     16,850   

2017

     16,850   

2018

     16,850   

2019

     16,850   

Thereafter

     1,548,887   
  

 

 

 

Total

   $ 1,620,500   
  

 

 

 

Interest Rate Swap Agreements

As of September 30, 2015, SEA has four traditional interest rate swap agreements (collectively, the “Interest Rate Swap Agreements”). Three of the interest rate swap agreements have a combined notional amount of $1,000,000; mature on September 30, 2016; require the Company to pay a fixed rate of interest between 1.049% and 1.051% per annum; pay swap counterparties a variable rate of interest based upon the greater of 0.75% or the three month BBA LIBOR; and have interest settlement dates occurring on the last day of March, June, September and December through maturity.

In April 2015, the Company executed the fourth traditional interest rate swap agreement to effectively fix the interest rate on $250,000 of the Term B-3 Loans. The interest rate swap became effective on June 30, 2015; has a notional amount of $250,000; is scheduled to mature on September 30, 2016; requires the Company to pay a fixed rate of interest of 0.901% per annum; pays swap counterparties a variable rate of interest based upon the greater of 0.75% or the three month BBA LIBOR; and has interest settlement dates occurring on the last day of September, December, March and June through maturity.

On June 10, 2015, the Company entered into five forward interest rate swap agreements (“the Forward Swaps”) to effectively fix the interest rate on the three month LIBOR-indexed interest payments associated with $1,000,000 of SEA’s outstanding long-term debt. The Forward Swaps have an effective date of September 30, 2016; have a total notional amount of $1,000,000; mature on May 14, 2020; require the Company to pay a weighted-average fixed rate of 2.45% per annum; pay swap counterparties a variable rate of interest based upon the greater of 0.75% or the three month BBA LIBOR; and have interest settlement dates occurring on the last day of September, December, March and June through maturity.

SEA designated the Interest Rate Swap Agreements and the Forward Swaps above as qualifying cash flow hedge accounting relationships as further discussed in Note 7–Derivative Instruments and Hedging Activities which follows.

Cash paid for interest relating to the Senior Secured Credit Facilities, the Senior Notes and the Interest Rate Swap Agreements was $49,681 and $49,133 for the nine month period ended September 30, 2015 and 2014, respectively.

Derivative Instruments and Hedging Activities
Derivative Instruments and Hedging Activities

7. DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

Risk Management Objective of Using Derivatives

The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s borrowings. The Company does not speculate using derivative instruments.

As of September 30, 2015 and December 31, 2014, the Company did not have any derivatives outstanding that were not designated in hedge accounting relationships.

Cash Flow Hedges of Interest Rate Risk

The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. During the three and nine months ended September 30, 2015 and 2014, such derivatives were used to hedge the variable cash flows associated with existing variable-rate debt. As of September 30, 2015, the Company had four outstanding interest rate swap agreements with a combined notional value of $1,250,000 and five forward interest rate swap agreements with a combined notional value of $1,000,000 that were designated as cash flow hedges of interest rate risk. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive loss and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. During the three and nine months ended September 30, 2015, a loss of $1 and $288, respectively, related to the ineffective portion was recognized in other expense (income), net on the accompanying unaudited condensed consolidated statements of comprehensive income. There was no ineffective portion during the three or nine months ended September 30, 2014. Amounts reported in accumulated other comprehensive loss related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. During the next 12 months, the Company estimates that an additional $3,337 will be reclassified as an increase to interest expense.

Tabular Disclosure of Fair Values of Derivative Instruments on the Balance Sheet

The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the unaudited condensed consolidated balance sheets as of September 30, 2015 and December 31, 2014:

 

     As of September 30, 2015      As of December 31, 2014  
     Liability Derivatives      Liability Derivatives  
   Balance Sheet
Location
     Fair Value      Balance Sheet
Location
     Fair Value  

Derivatives designated as hedging instruments:

           

Interest rate swaps

     Other liabilities       $ 2,844         Other liabilities       $ 628   

Forward interest rate swaps

     Other liabilities         22,167            —     
     

 

 

       

 

 

 

Total derivatives designated as hedging instruments

      $ 25,011          $ 628   
     

 

 

       

 

 

 

The unrealized loss on derivatives is recorded net of a tax benefit of $8,799 for the nine months ended September 30, 2015, and is included within the unaudited condensed consolidated statements of changes in stockholders’ equity and the unaudited condensed consolidated statements of comprehensive income.

Tabular Disclosure of the Effect of Derivative Instruments on the Statements of Comprehensive Income

The table below presents the pre-tax effect of the Company’s derivative financial instruments on the unaudited condensed consolidated statements of comprehensive income for the three and nine months ended September 30, 2015 and 2014:

 

     Three Months Ended
September 30
     Nine Months Ended
September 30
 
     2015     2014      2015     2014  

Derivatives in Cash Flow Hedging Relationships:

         

(Loss) gain related to effective portion of derivatives recognized in accumulated other comprehensive loss

   $ (17,490   $ 1,005       $ (26,471   $ (1,868

Gain related to effective portion of derivatives reclassified from accumulated other comprehensive loss to interest expense

   $ 843      $ 746       $ 2,312      $ 1,879   

Loss related to ineffective portion of derivatives recognized in other expense (income), net

   $ (1   $ —         $ (288   $ —     

 

Credit Risk-Related Contingent Features

The Company has agreements with each of its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations.

As of September 30, 2015, the termination value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $27,602. As of September 30, 2015, the Company has posted no collateral related to these agreements. If the Company had breached any of these provisions at September 30, 2015, it could have been required to settle its obligations under the agreements at their termination value of $27,602.

Changes in Accumulated Other Comprehensive Loss

The following table reflects the changes in accumulated other comprehensive loss for the nine months ended September 30, 2015, net of tax:

 

     (Losses)
Gains on
Cash Flow
Hedges
 

Accumulated other comprehensive loss:

  

Balance at December 31, 2014

   $ (483

Other comprehensive loss before reclassifications

     (16,830

Amounts reclassified from accumulated other comprehensive loss to interest expense

     1,470   
  

 

 

 

Unrealized loss on derivatives, net of tax

     (15,360
  

 

 

 

Balance at September 30, 2015

   $ (15,843
  

 

 

Fair Value Measurements
Fair Value Measurements

8. FAIR VALUE MEASUREMENTS

Fair value is a market-based measurement, not an entity-specific measurement. Therefore, a fair value measurement is required to be determined based on the assumptions that market participants would use in pricing the asset or liability. As a basis for considering market participant assumptions in fair value measurements, fair value accounting standards establish a fair value hierarchy that distinguishes between market participant assumptions based on market data obtained from sources independent of the reporting entity (observable inputs that are classified within Levels 1 and 2 of the hierarchy) and the reporting entity’s own assumptions about market participant assumptions (unobservable inputs classified within Level 3 of the hierarchy).

The Company has determined that the majority of the inputs used to value its derivative financial instruments using the income approach fall within Level 2 of the fair value hierarchy. The Company uses readily available market data to value its derivatives, such as interest rate curves and discount factors. ASC 820, Fair Value Measurement, also requires consideration of credit risk in the valuation. The Company uses a potential future exposure model to estimate this credit valuation adjustment (“CVA”). The inputs to the CVA are largely based on observable market data, with the exception of certain assumptions regarding credit worthiness which make the CVA a Level 3 input. Based on the magnitude of the CVA, it is not considered a significant input and the derivatives are classified as Level 2. Of the Company’s long-term obligations, the Term B-2 Loans and Term B-3 Loans are classified in Level 2 of the fair value hierarchy. The fair value of the term loans as of September 30, 2015 approximates their carrying value, excluding unamortized debt issuance costs and discounts, due to the variable nature of the underlying interest rates and the frequent intervals at which such interest rates are reset. The Senior Notes were classified in Level 3 of the fair value hierarchy as of December 31, 2014 and were valued using significant inputs that are not observable in the market including a discount rate of 11.37% and projected cash flows of the underlying Senior Notes as of December 31, 2014. The Senior Notes were redeemed in full on April 7, 2015 as discussed in Note 6–Long-Term Debt.

 

There were no transfers between Levels 1, 2 or 3 during the three or nine months ended September 30, 2015. The Company did not have any assets measured at fair value as of September 30, 2015. The following table presents the Company’s estimated fair value measurements and related classifications as of September 30, 2015:

 

     Quoted Prices in
Active Markets
for Identical
Assets and
Liabilities
(Level 1)
     Significant
Other
Observable
Inputs
(Level 2)
     Significant
Unobservable
Inputs
(Level 3)
     Balance at
September 30,
2015
 

Liabilities:

           

Derivative financial instruments (a)

   $ —         $ 25,011       $ —         $ 25,011   

Long-term obligations (b)

   $ —         $ 1,620,500       $ —         $ 1,620,500   

 

(a) Reflected at fair value in the unaudited condensed consolidated balance sheet as other liabilities of $25,011.
(b) Reflected at carrying value, net of unamortized debt issuance costs and discounts, in the unaudited condensed consolidated balance sheet as current maturities on long-term debt of $16,850 and long-term debt of $1,581,309 as of September 30, 2015.

There were no transfers between Levels 1, 2 or 3 during the year ended December 31, 2014. The Company did not have any assets measured at fair value as of December 31, 2014. The following table presents the Company’s estimated fair value measurements and related classifications as of December 31, 2014:

 

     Quoted Prices in
Active Markets
for Identical
Assets and
Liabilities
(Level 1)
     Significant
Other
Observable
Inputs
(Level 2)
     Significant
Unobservable
Inputs
(Level 3)
     Balance at
December 31,
2014
 

Liabilities:

           

Derivative financial instruments (a)

   $ —         $ 628       $ —         $ 628   

Long-term obligations (b)

   $ —         $ 1,352,438       $ 263,197       $ 1,615,635   

 

(a) Reflected at fair value in the unaudited condensed consolidated balance sheet as other liabilities of $628.
(b) Reflected at carrying value, net of unamortized debt issuance costs and discounts, in the unaudited condensed consolidated balance sheet as current maturities on long-term debt of $14,050 and long-term debt of $1,569,400 as of December 31, 2014.
Related-Party Transactions
Related-Party Transactions

9. RELATED-PARTY TRANSACTIONS

On January 5, March 3, June 10, and September 16, 2015, the Board declared a cash dividend of $0.21 per share to all common stockholders of record at the close of business on January 13, March 13, June 22, and September 29, 2015, respectively. In connection with these dividend declarations, certain affiliates of Blackstone were paid dividends in the amount of $4,095 on January 22, April 1, July 1, and October 6, 2015 (see Note 12—Stockholders’ Equity).

The Company repurchased shares of its common stock from the selling stockholders concurrently with the closing of the secondary offering in April 2014. See further discussion in Note 12—Stockholders’ Equity.

As of September 30, 2015, approximately $86,000 aggregate principal amount of Term B-2 Loans and $18,000 aggregate principal amount of Term B-3 Loans were owned by affiliates of Blackstone. As of December 31, 2014, approximately $65,000 aggregate principal amount of the Senior Notes and approximately $87,000 aggregate principal amount of Term B-2 Loans were owned by affiliates of Blackstone. The Company makes periodic interest payments on such debt in accordance with its terms. On April 7, 2015, the Senior Notes were redeemed as discussed in Note 6—Long-Term Debt.

Commitments and Contingencies
Commitments and Contingencies

10. COMMITMENTS AND CONTINGENCIES

Securities Class Action Lawsuit

On September 9, 2014, a purported stockholder class action lawsuit consisting of purchasers of the Company’s common stock during the periods between April 18, 2013 to August 13, 2014, captioned Baker v. SeaWorld Entertainment, Inc., et al., Case No. 14-CV-02129-MMA (KSC), was filed in the U.S. District Court for the Southern District of California against the Company, the Chairman of the Company’s Board of Directors, certain of its executive officers and Blackstone. On February 27, 2015, Court-appointed Lead Plaintiffs, Pensionskassen For Børne- Og Ungdomspædagoger and Arkansas Public Employees Retirement System, together with additional plaintiffs, Oklahoma City Employee Retirement System and Pembroke Pines Firefighters and Police Officers Pension Fund (collectively, “Plaintiffs”), filed an amended complaint against the Company, the Chairman of the Company’s Board of Directors, certain of its executive officers, Blackstone, and underwriters of the initial public offering and secondary public offerings. The amended complaint alleges, among other things, that the prospectus and registration statements filed contained materially false and misleading information in violation of the federal securities laws and seeks unspecified compensatory damages and other relief. Plaintiffs contend that defendants knew or were reckless in not knowing that Blackfish was impacting SeaWorld’s business at the time of each public statement. On May 29, 2015, the Company and the other defendants filed a motion to dismiss the amended complaint. The Plaintiffs filed an opposition to the motion to dismiss on July 31, 2015. The Company and the other defendants filed a reply in further support of their motion to dismiss on September 18, 2015. The Company believes that the class action lawsuit is without merit and intends to defend the lawsuit vigorously; however, there can be no assurance regarding the ultimate outcome of this lawsuit.

Shareholder Derivative Lawsuit

On December 8, 2014, a putative derivative lawsuit captioned Kistenmacher v. Atchison, et al., Civil Action No. 10437, was filed in the Court of Chancery of the State of Delaware against, among others, the Chairman of the Board of Directors, certain of the Company’s executive officers, directors and shareholders, and Blackstone. The Company is a “Nominal Defendant” in the lawsuit. On March 30, 2015, the plaintiff filed an amended complaint against the same set of defendants. The amended complaint alleges, among other things, that the defendants breached their fiduciary duties, aided and abetted breaches of fiduciary duties, violated Florida Blue Sky laws and were unjustly enriched by (i) including materially false and misleading information in the prospectus and registration statements; and (ii) causing the Company to repurchase certain shares of its common stock from certain shareholders at an alleged artificially inflated price. The Company does not maintain any direct exposure to loss in connection with this shareholder derivative lawsuit as the lawsuit does not assert any claims against the Company. The Company’s status as a “Nominal Defendant” in the action reflects the fact that the lawsuit is maintained by the named plaintiff on behalf of the Company and that the plaintiff seeks damages on the Company’s behalf. On May 21, 2015, the defendants filed a motion to stay the lawsuit pending resolution of the Company’s securities class action lawsuit. On September 21, 2015, the Court granted the motion and ordered that the derivative action to be stayed in favor of the securities class action captioned Baker v. SeaWorld Entertainment, Inc., et al., Case No. 14-CV-02129-MMA (KSC).

Consumer Class Action Lawsuits

On March 25, 2015, a purported class action was filed in the United States District Court for the Southern District of California against the Company, captioned Holly Hall v. SeaWorld Entertainment, Inc., Case No. 3:15-cv-00600-CAB-RBB (the “Hall Matter”). The complaint identifies three putative classes consisting of all consumers nationwide who at any time during the four-year period preceding the filing of the original complaint, purchased an admission ticket, a membership or a SeaWorld “experience” that includes an “orca experience” from the SeaWorld amusement park in San Diego, California, Orlando, Florida or San Antonio, Texas respectively. The complaint alleges causes of action under California Unfair Competition Law, California Consumers Legal Remedies Act, California False Advertising Law, California Deceit statute, Florida Unfair and Deceptive Trade Practices Act, Texas Deceptive Trade Practices Act, as well as claims for Unjust Enrichment. Plaintiffs’ claims are based on their allegations that the Company misrepresented the physical living conditions and care and treatment of its killer whales, resulting in confusion or misunderstanding among ticket purchasers, and omitted material facts regarding its killer whales with intent to deceive and mislead the plaintiff and purported class members. The complaint further alleges that the specific misrepresentations heard and relied upon by Holly Hall in purchasing her SeaWorld tickets concerned the circumstances surrounding the death of a SeaWorld trainer. The complaint seeks actual damages, equitable relief, attorney’s fees and costs. Plaintiffs claim that the amount in controversy exceeds $5,000, but the liability exposure is speculative until the size of the class is determined (if certification is granted at all).

 

In addition, four other purported class actions were filed against the Company and its affiliates. The first three actions were filed on April 9, 2015, April 16, 2015 and April 17, 2015, respectively, in the following federal courts: (i) the United States District Court for the Middle District of Florida, captioned Joyce Kuhl v. SeaWorld LLC et al., 6:15-cv-00574-ACC-GJK (the “Kuhl Matter”), (ii) the United States District Court for the Southern District of California, captioned Jessica Gaab, et. al. v. SeaWorld Entertainment, Inc., Case No. 15:cv-842-CAB-RBB (the “Gaab Matter”), and (iii) the United States District Court for the Western District of Texas, captioned Elaine Salazar Browne v. SeaWorld of Texas LLC et al., 5:15-cv-00301-XR (the “Browne Matter”). On May 1, 2015, the Kuhl Matter and Browne Matter were voluntarily dismissed without prejudice by the respective plaintiffs. On May 7, 2015, plaintiffs Kuhl and Browne re-filed their claims, along with a new plaintiff Valerie Simo, in the United States District Court for the Southern District of California in an action captioned Valerie Simo et al. v. SeaWorld Entertainment, Inc., Case No. 15:cv-1022-CAB-RBB (the “Simo Matter”). All four of these cases, in essence, reiterate the claims made and relief sought in the Hall Matter.

On August 7, 2015, the Gaab Matter and Simo Matter were consolidated with the Hall Matter, and the plaintiffs filed a First Consolidated Amended Complaint (“FAC”) on August 21, 2015. The FAC pursues the same seven causes of action as the original Hall complaint, and adds a request for punitive damages pursuant to California Consumers Legal Remedies Act. On October 5, 2015, the Company filed a motion to dismiss the FAC in its entirety. The motion will be fully briefed on November 23, 2015.

On April 13, 2015, a purported class action was filed in the Superior Court of the State of California for the City and County of San Francisco against SeaWorld Parks & Entertainment, Inc., captioned Marc Anderson, et. al., v. SeaWorld Parks & Entertainment, Inc., Case No. CGC-15-545292 (the “Anderson Matter”). The putative class consists of all consumers within California who, within the past four years, purchased tickets to SeaWorld San Diego. On May 11, 2015, the plaintiffs filed a First Amended Class Action Complaint (the “Amended Complaint”). The Amended Complaint alleges causes of action under the California False Advertising Law, California Unfair Competition Law and California Consumers Legal Remedies Act. Plaintiffs’ claims are based on their allegations that the Company misrepresented the physical living conditions and care and treatment of its killer whales, resulting in confusion or misunderstanding among ticket purchasers, and omitted material facts regarding its killer whales with intent to deceive and mislead the plaintiff and purported class members. The Amended Complaint seeks actual damages, equitable relief, attorneys’ fees and costs. Based on plaintiffs’ definition of the class, the amount in controversy exceeds $5,000, but the liability exposure is speculative until the size of the class is determined (if certification is granted at all). On May 14, 2015, the Company removed the case to the United States District Court for the Northern District of California, Case No. 15:cv-2172-SC. On May 19, 2015, the plaintiffs filed a motion to remand. On September 18, 2015, the Company filed a motion to dismiss the Amended Complaint in its entirety. The motion is fully briefed. On September 24, 2015, the Court denied plaintiffs’ motion to remand. On October 5, 2015, plaintiffs filed a motion for leave to file a motion for reconsideration of this order, and contemporaneously filed a petition for permission to appeal to the Ninth Circuit. On October 14, 2015, the district court granted plaintiffs’ motion for leave and set a deadline of October 29, 2015 for plaintiffs to file their motion for reconsideration, which plaintiffs filed on that date. The opposition to that motion is due on November 12, 2015. The petition for permission to appeal remains pending.

The Company believes that these consumer class action lawsuits are without merit and intends to defend these lawsuits vigorously; however, there can be no assurance regarding the ultimate outcome of these lawsuits.

Other Matters

The Company is a party to other various claims and legal proceedings arising in the normal course of business. From time to time, third-party groups may also bring lawsuits against the Company. Matters where an unfavorable outcome to the Company is probable and which can be reasonably estimated are accrued. Such accruals, which are not material for any period presented, are based on information known about the matters, the Company’s estimate of the outcomes of such matters, and the Company’s experience in contesting, litigating and settling similar matters. Matters that are considered reasonably possible to result in a material loss are not accrued for, but an estimate of the possible loss or range of loss is disclosed, if such amount or range can be determined. At this time, management does not expect any known claims or legal proceedings to have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows.

Equity-Based Compensation
Equity-Based Compensation

11. EQUITY-BASED COMPENSATION

In accordance with ASC 718, Compensation-Stock Compensation, the Company measures the cost of employee services rendered in exchange for share-based compensation based upon the grant date fair market value. The cost, net of estimated forfeitures, is recognized over the requisite service period, which is generally the vesting period unless service or performance conditions require otherwise. The Company has granted stock options, time-vesting restricted share awards and performance-vesting restricted share awards. The Company used the Black-Scholes Option Pricing Model to value its stock options and the closing stock price on the date of grant to value both its time-vesting and performance-vesting restricted share awards granted in 2015.

 

The Company has reserved 15,000,000 shares of common stock for issuance under the Company’s 2013 Omnibus Incentive Plan (the “Omnibus Incentive Plan”). The Omnibus Incentive Plan is administered by the Compensation Committee of the Board of Directors, and provides that the Company may grant equity incentive awards to eligible employees, directors, consultants or advisors in the form of stock options, stock appreciation rights, restricted stock, restricted stock units, and other stock-based and performance compensation awards. If an award under the Omnibus Incentive Plan terminates, lapses, or is settled without the payment of the full number of shares subject to the award, the undelivered shares may be granted again under the Omnibus Incentive Plan.

As of September 30, 2015, there were 10,707,185 shares of common stock available for future issuance under the Company’s Omnibus Incentive Plan. Total equity compensation expense was $1,549 and $4,800 for the three and nine months ended September 30, 2015, respectively, and $570 and $1,905 for the three and nine months ended September 30, 2014, respectively, and is included in selling, general and administrative expenses and in operating expenses in the accompanying unaudited condensed consolidated statements of comprehensive income. Total unrecognized equity compensation expense for all equity compensation awards probable of vesting as of September 30, 2015 was approximately $24,000 which is expected to be recognized over the respective service periods.

The activity related to the Company’s time-vesting and performance-vesting share awards during the nine months ended September 30, 2015 is as follows:

 

                Performance-Vesting Restricted shares  
    Time-Vesting Restricted
shares
    Bonus Performance
Restricted shares
    Long-Term Incentive
Performance Restricted
shares
    2.25x Performance
Restricted shares
    2.75x Performance
Restricted shares
 
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
 

Outstanding at December 31, 2014

    164,545      $ 11.68        —          —          —          —          1,451,453      $ 20.96        1,451,453      $ 12.61   

Granted

    941,994      $ 18.60        462,895      $ 18.99        79,279      $ 18.90        —          —          —          —     

Vested

    (156,733   $ 14.46        —          —          —          —          —          —          —          —     

Forfeited

    (60,985   $ 12.78        (28,955   $ 18.96        (11,673   $ 18.96        (80,632   $ 22.90        (80,632   $ 15.76   
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

   

Outstanding at September 30, 2015

    888,821      $ 18.49        433,940      $ 19.00        67,606      $ 18.89        1,370,821      $ 20.63        1,370,821      $ 11.81   
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

   

The activity related to the Company’s stock option awards during the nine months ended September 30, 2015 is as follows:

 

     Options      Weighted
Average
Exercise
Price
     Weighted
Average
Remaining
Contractual
Life (in
years)
     Aggregate
Intrinsic
Value
 

Outstanding at December 31, 2014

     —           —           

Granted

     2,409,282       $ 19.20         

Forfeited

     (88,144    $ 18.96         
  

 

 

          

Outstanding at September 30, 2015

     2,321,138       $ 19.21         9.56       $ 101   
  

 

 

          

Exercisable at September 30, 2015

     —           —           —           —     
  

 

 

          

 

Key weighted-average assumptions utilized in the Black-Scholes Option Pricing Model for stock options granted during the nine months ended September 30, 2015 were:

 

Grant date fair value

   $ 4.39   

Risk- free interest rate

     1.66

Expected volatility

     36.71

Expected dividend yield

     4.37

Expected life (in years)

     6.25   

The expected life was estimated using the simplified method, as the Company does not have sufficient historical exercise data due to the limited period of time its common stock has been publicly traded. In addition, due to the Company’s limited history as a public company, the volatility for the Company’s stock at the date of each grant was estimated using the average volatility calculated for a peer group, which is based upon daily price observations over the estimated term of options granted.

2015 Bonus Plan Grant

On March 3, 2015, the Board approved an annual bonus plan (the “2015 Bonus Plan”) for the fiscal year ending December 31, 2015 (the “Fiscal 2015”) under which certain employees are eligible to receive a bonus with respect to Fiscal 2015, payable 50% in cash and 50% in performance-vesting restricted shares (the “Bonus Performance Restricted shares”) based upon the Company’s achievement of pre-established performance goals with respect to Adjusted EBITDA. Once actual Adjusted EBITDA is finalized for Fiscal 2015, the Bonus Performance Restricted shares vest if the performance goal is met and forfeit immediately if the performance goal is not met or if the employee terminates prior to the last day of Fiscal 2015. Subsequent grants were made on July 1 and October 7, 2015 to newly hired bonus-eligible employees based on their hire date and/or to certain newly promoted employees.

In accordance with ASC 718, equity compensation expense is not recorded until the performance condition is probable of being achieved. Based on the Company’s progress toward the Adjusted EBITDA performance goal, the Bonus Performance Restricted shares are not considered probable of vesting as of September 30, 2015; therefore, no equity compensation expense has been recorded related to these shares. If the performance condition is considered probable of being achieved in a subsequent period, all equity compensation expense that would have been recorded over the requisite service period had the condition been considered probable from inception, will be recorded as a cumulative catch-up at such subsequent date. Total unrecognized equity compensation expense related to the Bonus Performance Restricted shares not considered probable of vesting was approximately $8,200 as of September 30, 2015.

2015 Long-Term Incentive Plan Grant

On March 3, 2015, the Board also approved a long-term incentive plan grant (the “2015 Long-Term Incentive Plan”) for Fiscal 2015 comprised of nonqualified stock options (“Long-Term Incentive Options”), time-vesting restricted shares (“Long-Term Incentive Time Restricted shares”) and performance-vesting restricted shares (“Long-Term Incentive Performance Restricted shares”) to certain of the Company’s management and executive officers. Subsequent grants were made on July 1 and October 7, 2015 to newly hired employees based on their hire date and/or to certain promoted management and executive officers.

Long-Term Incentive Options

The Long-Term Incentive Options vest ratably over four years from the date of grant (25% per year), subject to continued employment through the applicable vesting date and will expire 10 years from the date of grant or earlier if the employee’s service terminates. The options have an exercise price per share equal to the closing price of the Company’s common stock on the date of grant. Equity compensation expense will be recognized using the straight line method for each tranche over the four year vesting period.

Long-Term Incentive Time Restricted Shares

The Long-Term Incentive Time Restricted shares vest ratably over four years from the date of grant (25% per year), subject to continued employment through the applicable vesting date. Equity compensation expense will be recognized using the straight line method over the four year vesting period.

 

Long-Term Incentive Performance Restricted Shares

The Long-Term Incentive Performance Restricted shares vest following the end of a three-year performance period beginning on January 1, 2015 and ending on December 31, 2017 based upon the Company’s achievement of certain performance goals with respect to Adjusted EBITDA for each fiscal year performance period. The total number of shares eligible to vest is based on the level of achievement of the Adjusted EBITDA target for each fiscal year in the performance period which ranges from 0% (if below threshold performance), to 50% (for threshold performance), to 100% (for target performance), and up to 200% (at or above maximum performance). For actual performance between the specified threshold, target, and maximum levels, the resulting vesting percentage will be adjusted on a linear basis. Total shares earned (approximately 33% are eligible to be earned per year) based on the actual performance percentage for each performance year will vest on the date the Company’s Compensation Committee determines the actual performance percentage for fiscal year 2017 if the employee has not terminated prior to the last day of fiscal year 2017 and all unearned shares will forfeit immediately as of such date. The Adjusted EBITDA target for each fiscal year will be set in the first quarter of each respective year, at which time the grant date and the grant-date fair value for accounting purposes related to that performance year will be established based on the closing price of the Company’s stock on such date. Equity compensation expense will be recognized ratably for each fiscal year, if the performance condition is probable of being achieved, beginning on the date of grant and through the end of the final performance period on December 31, 2017.

During the nine months ended September 30, 2015, the Company awarded 202,850 Long-Term Incentive Performance Restricted shares, net of forfeitures, under the 2015 Long-Term Incentive Plan, which represents the total shares that could be earned under the maximum performance level of achievement for all three performance periods combined, with approximately one-third related to each respective performance period. The performance goal for the first performance period was established as of the award date on March 3, 2015, as such, for accounting purposes, 67,606 of these shares have a grant date in 2015 and a grant-date fair value per share determined using the closing price of the Company’s common stock on the date of grant. The performance targets for the second and third performance periods have not yet been set and will be determined by the Compensation Committee during the first quarter of each respective fiscal year, at which time, for accounting purposes, the grant date and respective grant-date fair value will be determined for those related shares. As the Long-Term Incentive Performance Restricted shares have both a service and a performance condition, the requisite service period over which equity compensation expense will be recognized once the performance condition is probable of achievement begins on the date of grant and extends through December 31, 2017. Based on the Company’s progress toward the Adjusted EBITDA performance goal for the first performance period, a percentage of the target performance level for the first performance period is considered probable; as such 20,281 Long-Term Incentive Performance Restricted shares related to the 2015 performance year are considered probable of vesting as of September 30, 2015. Total unrecognized equity compensation expense related to the first performance period expected to be recognized over the remaining vesting term if performance conditions continue to be probable of vesting at the current percentage of the target performance level was approximately $311 as of September 30, 2015. Unrecognized equity compensation expense related to the maximum performance level for the first performance period is an additional $890 as of September 30, 2015. Total unrecognized equity compensation expense related to the second and third performance periods has not been determined as the grant date and grant-date fair value for these awards have not yet occurred for accounting purposes, as such no expense has been recorded related to the second and third performance periods.

Other 2015 Grants

On September 8, 2015, the Company granted its new Chief Creative Officer 2,882 Bonus Performance Restricted shares, 126,689 time-vesting restricted shares and 254,452 nonqualified stock options. The time-vesting restricted shares and nonqualified stock options vest ratably over four years.

On September 1, 2015, in connection with the appointment of the Company’s new Chief Financial Officer, the Company granted 4,364 Bonus Performance Restricted shares, 116,076 time-vesting restricted shares and 134,048 nonqualified stock options to the Company’s Chief Financial Officer. Also on September 1, 2015, the Company granted 7,738 Long-Term Incentive Performance Restricted shares, 3,869 time-vesting restricted shares and 17,873 nonqualified stock options to the Company’s Chief Accounting Officer as compensation for his service as Interim Chief Financial Officer from June 1 through September 1, 2015. The time-vesting restricted shares and the nonqualified stock options vest ratably over four years.

On April 7, 2015, in connection with the appointment of the Company’s new President and Chief Executive Officer, the Company granted 27,623 Bonus Performance Restricted shares, 249,875 time-vesting restricted shares and 1,089,324 nonqualified stock options to the Company’s President and Chief Executive Officer. The time-vesting restricted shares and the nonqualified stock options vest ratably over four years.

On January 15, 2015, the Company granted 100,000 time-vesting restricted shares to its Interim Chief Executive Officer (the “Interim CEO”) in accordance with his appointment to such role. The shares had a grant date fair value per share of $16.50 and a vest date on the earlier of the start date of a new Chief Executive Officer or June 30, 2015. As a new Chief Executive Officer was appointed with a start date of April 7, 2015, these shares fully vested on such date accordingly.

 

Also during the nine months ended September 30, 2015, the Company granted 49,284 of time-vesting restricted shares to certain Board members. These shares vest ratably over a three-year term.

2.25x and 2.75x Performance Restricted Shares

The Company has outstanding under both its Omnibus Incentive Plan and its previous incentive plan (the “Pre-IPO Incentive Plan”) certain performance-vesting restricted shares consisting of 2.25x and 2.75x Performance Restricted shares. The 2.25x Performance Restricted shares will vest if the employee is employed by the Company when and if certain investment funds affiliated with Blackstone receive cash proceeds (not subject to any clawback, indemnity or similar contractual obligation) in respect of their Partnerships units equal to (x) a 20% annualized effective compounded return rate on such funds’ investment and (y) a 2.25x multiple on such funds’ investment. The 2.75x Performance Restricted shares will vest if the employee is employed by the Company when and if such funds receive cash proceeds (not subject to any clawback, indemnity or similar contractual obligation) in respect of their Partnerships units equal to (x) a 15% annualized effective compounded return rate on such funds’ investment and (y) a 2.75x multiple on such funds’ investment.

No equity compensation expense will be recorded related to the 2.25x and 2.75x Performance Restricted shares until their vesting is probable. Accordingly, no equity compensation expense has been recorded during the three and nine months ended September 30, 2015 or 2014 related to these 2.25x and 2.75x Performance Restricted shares. Total unrecognized equity compensation expense as of September 30, 2015, was approximately $28,000 and $16,000 for the 2.25x and 2.75x Performance Restricted shares, respectively.

Based on cash proceeds previously received by certain investment funds affiliated with Blackstone from the Company’s initial public offering and subsequent secondary offerings of stock, the Company’s repurchase of shares and the cumulative dividends paid by the Company through October 6, 2015, if such funds receive additional future cash proceeds of approximately $4,100 and other vesting conditions are satisfied, the 2.25x Performance Restricted shares will vest. Similarly, if such funds receive additional future cash proceeds of approximately $432,000 and other vesting conditions are satisfied, the 2.75x Performance Restricted shares will vest. As receipt of these future cash proceeds will be primarily related to liquidity events, such as secondary offerings of stock or additional dividends paid to such funds, the shares are not considered probable of vesting until such events are consummated. If the Company’s current dividend policy remains in effect, the 2.25x Performance Restricted shares will become probable of vesting in early 2016; therefore, the accumulated dividends and equity compensation expense related to those shares will be recorded at such time accordingly.

Stockholders' Equity
Stockholders' Equity

12. STOCKHOLDERS’ EQUITY

As of September 30, 2015, 90,305,888 shares of common stock were issued on the accompanying unaudited condensed consolidated balance sheet, which excludes 4,267,253 unvested shares of common stock held by certain participants in the Company’s equity compensation plans (see Note 11–Equity-Based Compensation) and includes 4,941,938 shares of treasury stock held by the Company.

Dividends

The Board has adopted a policy to pay, subject to legally available funds, a regular quarterly dividend. The payment of cash dividends is within the discretion of the Board and depends on many factors, including, but not limited to, the Company’s results of operations, financial condition, level of indebtedness, capital requirements, contractual restrictions, restrictions in its debt agreements and in any preferred stock, business prospects and other factors that the Board may deem relevant.

In the nine months ended September 30, 2015, the Board declared or paid quarterly cash dividends to all common stockholders of record as follows:

 

Record Date

   Payment Date      Cash Dividend
per Common
Share
 

January 13, 2015

     January 22, 2015       $ 0.21   

March 13, 2015

     April 1, 2015       $ 0.21   

June 22, 2015

     July 1, 2015       $ 0.21   

September 29, 2015

     October 6, 2015       $ 0.21   

 

As the Company had an accumulated deficit at the time the March 13 and June 22, 2015 dividends were declared, these dividends were accounted for as a return of capital and recorded as a reduction to additional paid-in capital on the accompanying unaudited condensed consolidated statement of changes in stockholders’ equity. Dividends declared to common stockholders were $72,593 in the nine months ended September 30, 2015. The Company expects that for tax purposes, a portion of these dividends will be treated as a return of capital to stockholders.

As of September 30, 2015, the Company had $18,396 of cash dividends recorded as dividends payable in the accompanying unaudited condensed consolidated balance sheet, of which approximately $17,900 was paid on October 6, 2015. The remainder of the dividends payable relates to unvested time restricted shares and unvested performance restricted shares with a performance condition considered probable of being achieved. These shares carry dividend rights and therefore the dividends will be paid as the shares vest in accordance with the underlying stock compensation grants. These dividend rights will be forfeited if the shares do not vest.

Dividends on the 2.25x and 2.75x Performance Restricted shares were approximately $2,820 for each tranche and will accumulate and be paid only if and to the extent these 2.25x and 2.75x Performance Restricted shares vest in accordance with their terms. Dividends on the Bonus Performance Restricted shares were approximately $261 and will accumulate and be paid only if these shares vest in accordance with their terms. Dividends on the Long-Term Incentive Performance Restricted shares related to the first performance period were approximately $43, of which approximately $12 was recorded related to the portion of the shares considered probable of vesting. The remainder will accumulate and be paid only if the respective shares vest in accordance with their terms. The Company does not record a dividend payable when the performance conditions on the related unvested shares are not considered probable of being achieved.

Share Repurchase Program

On August 12, 2014, the Board authorized the repurchase of up to $250,000 of the Company’s common stock (the “Share Repurchase Program”). Under the Share Repurchase Program, the Company is authorized to repurchase shares through open market purchases, privately-negotiated transactions or otherwise in accordance with applicable federal securities laws, including through Rule 10b5-1 trading plans and under Rule 10b-18 of the Exchange Act. The Share Repurchase Program has no time limit and may be suspended or discontinued completely at any time. The number of shares to be purchased and the timing of purchases will be based on the level of the Company’s cash balances, general business and market conditions, and other factors, including legal requirements, debt covenant restrictions and alternative investment opportunities.

Pursuant to the Share Repurchase Program, during the fourth quarter of 2014, the Company repurchased a total of 855,970 shares of common stock at an average price of $17.50 per share and a total cost of approximately $15,000. The Company paid $5,650 in January 2015 for settlement of shares repurchased in December 2014.

During the third quarter of 2015, the Company repurchased a total of 835,968 shares of common stock at an average price of $17.92 per share and a total cost of approximately $15,000, leaving $220,000 available for future repurchases under the Share Repurchase Program as of September 30, 2015.

Secondary Offerings

In April 2014, the selling stockholders completed an underwritten secondary offering of 17,250,000 shares of common stock. The selling stockholders received all of the net proceeds from the offering and no shares were sold by the Company. In the nine months ended September 30, 2014, the Company incurred fees and expenses of $747, in connection with the secondary offering, which is shown as secondary offering expense on the accompanying unaudited condensed consolidated statements of comprehensive income.

Concurrently with the closing of the secondary offering in April 2014, the Company repurchased 1,750,000 shares of its common stock directly from the selling stockholders in a private, non-underwritten transaction at a price per share equal to the price per share paid to the selling stockholders by the underwriters in the secondary offering.

All of the repurchased shares from the Share Repurchase Program and shares repurchased directly from the selling stockholders during previous secondary offerings were recorded as treasury stock at a total cost of $124,871 and $109,871 as of September 30, 2015 and December 31, 2014, respectively, and are reflected as a reduction to stockholders’ equity on the accompanying unaudited condensed consolidated balance sheets and unaudited condensed consolidated statement of changes in stockholders’ equity.

Restructuring Program
Restructuring Program

13. RESTRUCTURING PROGRAM

In December 2014, the Company implemented a restructuring program in an effort to centralize certain functions and reduce duplication to increase efficiencies (the “Restructuring Program”). The Restructuring Program involved the elimination of approximately 300 positions across the Company’s eleven theme parks and corporate headquarters. As a result, the Company has incurred total cumulative costs of $11,834 in pre-tax restructuring and other related costs associated with this Restructuring Program, of which $267 was incurred in the nine months ended September 30, 2015 and $1,196 was incurred in the three and nine months ended September 30, 2014 on the accompanying unaudited condensed consolidated statements of comprehensive income. The costs incurred in the three and nine months ended September 30, 2014 relate primarily to third party consulting costs associated with development of the Company’s cost savings plan and were previously included in selling, general and administrative expenses but were reclassified to restructuring and other related costs in the fourth quarter of 2014 to separately disclose such costs in the statement of comprehensive income. The Company will not incur any additional costs associated with the Restructuring Program as all continuing service obligations were completed as of June 30, 2015.

The Restructuring Program activity for the nine months ended September 30, 2015 was as follows:

 

     Severance and
Other
Employment
Expenses
 

Liability as of December 31, 2014

   $ 7,691   

Costs incurred

     267   

Payments made

     (7,958
  

 

 

 

Liability as of September 30, 2015

   $ —     
  

 

 

Description of the Business and Basis of Presentation (Policies)

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC. The unaudited condensed consolidated balance sheet as of December 31, 2014 has been derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K.

In the opinion of management, such unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, but are not necessarily indicative of the results of operations for the year ending December 31, 2015 or any future period due to the seasonal nature of the Company’s operations. Based upon historical results, the Company typically generates its highest revenues in the second and third quarters of each year and incurs a net loss in the first and fourth quarters, in part because six of its theme parks are only open for a portion of the year.

The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, including SEA. All intercompany accounts have been eliminated in consolidation.

Use of Estimates

The preparation of financial statements and related disclosures in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates and assumptions include, but are not limited to, the accounting for self-insurance, deferred tax assets, deferred revenue, equity compensation and the valuation of goodwill and other indefinite-lived intangible assets. Actual results could differ from those estimates.

Segment Reporting

The Company maintains discrete financial information for each of its eleven theme parks, which is used by the Chief Operating Decision Maker (“CODM”), identified as the Chief Executive Officer, as a basis for allocating resources. Each theme park has been identified as an operating segment and meets the criteria for aggregation due to similar economic characteristics. In addition, all of the theme parks provide similar products and services and share similar processes for delivering services. The theme parks have a high degree of similarity in the workforces and target similar consumer groups. Accordingly, based on these economic and operational similarities and the way the CODM monitors and makes decisions affecting the operations, the Company has concluded that its operating segments may be aggregated and that it has one reportable segment.

Reclassifications

Certain prior year amounts have been reclassified to conform to the 2015 presentation, in particular debt issuance costs, which were previously included in other assets in the unaudited condensed consolidated balance sheets, have been reclassified to long-term debt as a result of the adoption of a new Accounting Standards Update (“ASU”). See Note 2—Recently Issued Accounting Pronouncements for further details. In addition, $1,196 of restructuring and other related costs, which were previously included in selling, general and administrative expenses during the three and nine month periods ended September 30, 2014, but were reclassified in the fourth quarter of 2014 to separately disclose such costs, are reflected in restructuring and other related costs in the accompanying unaudited condensed consolidated statement of comprehensive income to be consistent. These costs relate primarily to third party consulting costs associated with the development of the Company’s cost savings plan.

The Company reviews new accounting pronouncements as they are issued or proposed by the Financial Accounting Standards Board (“FASB”).

In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. This ASU simplifies the accounting for inventory by requiring inventory to be measured at the “lower of cost and net realizable value” and eliminates options that currently exist for measuring inventory at “market value”. The ASU defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measurement. The ASU is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. The Company does not expect a material impact to its consolidated financial statements upon adoption of this ASU.

In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest (Topic 835): Simplifying the Presentation of Debt Issuance Costs. This ASU simplifies the accounting for debt issuance costs by requiring such costs to be presented as a direct deduction from the related debt liability rather than as an asset. Debt disclosures include the face amount of the debt liability and the effective interest rate. This ASU requires retrospective adoption and is effective for annual periods beginning on or after December 15, 2015, with early adoption permitted. The Company elected to early adopt this ASU as of June 30, 2015. The ASU has been applied retrospectively as a change in accounting principle for all periods presented in the accompanying unaudited condensed consolidated balance sheets. As a result of adopting this ASU, the Company reclassified $20,003 of unamortized debt issuance costs at December 31, 2014, from other assets to long-term debt on the accompanying unaudited condensed consolidated balance sheet. The adoption of this ASU did not impact the Company’s consolidated results of operations, stockholders’ equity or cash flows. Furthermore, in August 2015, the FASB issued ASU 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated With Line-of-Credit Arrangements: Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting. This ASU expands on the guidance set forth in ASU 2015-03 and clarifies that an entity may elect to present debt issuance costs related to line-of-credit arrangements as an asset which is subsequently amortized over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the arrangement. The Company has elected to record debt issuance costs related to its senior secured revolving credit facility as a deduction to long-term debt on the accompanying unaudited condensed consolidated balance sheets and to amortize the debt issuance costs over the term of the arrangement. See Note 6—Long-Term Debt for further details.

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition. This ASU is based on the principle that revenue is recognized to depict 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. The ASU also 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 No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which defers the effective date to annual reporting periods beginning after December 15, 2017 using one of two retrospective application methods with earlier adoption permitted for annual periods beginning after December 15, 2016. The Company has not yet selected a transition method and is evaluating the accounting and disclosure requirements on its consolidated financial statements but does not currently anticipate a material impact upon adoption; however, the Company is in the process of evaluating the effect this ASU will have on the classification of revenue and related disclosures.

In accordance with ASC 718, Compensation-Stock Compensation, the Company measures the cost of employee services rendered in exchange for share-based compensation based upon the grant date fair market value. The cost, net of estimated forfeitures, is recognized over the requisite service period, which is generally the vesting period unless service or performance conditions require otherwise. The Company has granted stock options, time-vesting restricted share awards and performance-vesting restricted share awards. The Company used the Black-Scholes Option Pricing Model to value its stock options and the closing stock price on the date of grant to value both its time-vesting and performance-vesting restricted share awards granted in 2015.

Earnings per Share (Tables)
Schedule of Earnings per Share

Earnings per share is computed as follows:

 

    Three Months Ended
September 30,
    Nine Months Ended
September 30,
 
    2015     2014     2015     2014  
    Net
Income
    Shares     Per
Share
Amount
    Net
Income
    Shares     Per
Share
Amount
    Net
Income
    Shares     Per
Share
Amount
    Net
Income
    Shares     Per
Share
Amount
 

Basic earnings per share

  $ 97,950        86,006      $ 1.14      $ 87,176        86,715      $ 1.01      $ 60,161        86,096      $ 0.70      $ 75,365        87,329      $ 0.86   

Effect of dilutive incentive-based awards

      94            309            111            319     
   

 

 

       

 

 

       

 

 

       

 

 

   

Diluted earnings per share

  $ 97,950        86,100      $ 1.14      $ 87,176        87,024      $ 1.00      $ 60,161        86,207      $ 0.70      $ 75,365        87,648      $ 0.86   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

Other Accrued Expenses (Tables)
Schedule of Other Accrued Expenses

Other accrued expenses at September 30, 2015 and December 31, 2014, consisted of the following:

 

     September 30,
2015
     December 31,
2014
 

Accrued property taxes

   $ 11,089       $ 2,039   

Accrued interest

     362         2,604   

Self-insurance reserve

     7,207         7,800   

Other

     2,011         7,706   
  

 

 

    

 

 

 

Total other accrued expenses

   $ 20,669       $ 20,149   
  

 

 

    

 

 

 

 

Long-Term Debt (Tables)

Long-term debt as of September 30, 2015 and December 31, 2014 consisted of the following:

 

     September 30,
2015
    December 31,
2014
 

Term B-2 Loans (effective interest rate of 3.26% at September 30, 2015 and December 31, 2014)

   $ 1,341,900      $ 1,352,438   

Term B-3 Loans (effective interest rate of 4.33% at September 30, 2015)

     278,600        —     

Revolving Credit Facility

     —          —     

Senior Notes (effective interest rate of 12.07% at December 31, 2014)

     —          260,000   
  

 

 

   

 

 

 

Total long-term debt

     1,620,500        1,612,438   

Less discounts

     (7,778     (8,985

Less debt issuance costs

     (14,563     (20,003

Less current maturities

     (16,850     (14,050
  

 

 

   

 

 

 

Total long-term debt, net

   $ 1,581,309      $ 1,569,400   
  

 

 

   

 

 

 

 

Long-term debt at September 30, 2015, is repayable as follows and does not include the impact of any future prepayments:

 

Years Ending December 31,

 

2015

   $ 4,213   

2016

     16,850   

2017

     16,850   

2018

     16,850   

2019

     16,850   

Thereafter

     1,548,887   
  

 

 

 

Total

   $ 1,620,500   
  

 

 

 
Derivative Instruments and Hedging Activities (Tables)

Tabular Disclosure of Fair Values of Derivative Instruments on the Balance Sheet

The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the unaudited condensed consolidated balance sheets as of September 30, 2015 and December 31, 2014:

 

     As of September 30, 2015      As of December 31, 2014  
     Liability Derivatives      Liability Derivatives  
   Balance Sheet
Location
     Fair Value      Balance Sheet
Location
     Fair Value  

Derivatives designated as hedging instruments:

           

Interest rate swaps

     Other liabilities       $ 2,844         Other liabilities       $ 628   

Forward interest rate swaps

     Other liabilities         22,167            —     
     

 

 

       

 

 

 

Total derivatives designated as hedging instruments

      $ 25,011          $ 628   
     

 

 

       

 

 

 

Tabular Disclosure of the Effect of Derivative Instruments on the Statements of Comprehensive Income

The table below presents the pre-tax effect of the Company’s derivative financial instruments on the unaudited condensed consolidated statements of comprehensive income for the three and nine months ended September 30, 2015 and 2014:

 

     Three Months Ended
September 30
     Nine Months Ended
September 30
 
     2015     2014      2015     2014  

Derivatives in Cash Flow Hedging Relationships:

         

(Loss) gain related to effective portion of derivatives recognized in accumulated other comprehensive loss

   $ (17,490   $ 1,005       $ (26,471   $ (1,868

Gain related to effective portion of derivatives reclassified from accumulated other comprehensive loss to interest expense

   $ 843      $ 746       $ 2,312      $ 1,879  

Loss related to ineffective portion of derivatives recognized in other expense (income), net

   $ (1   $ —         $ (288   $ —     

Changes in Accumulated Other Comprehensive Loss

The following table reflects the changes in accumulated other comprehensive loss for the nine months ended September 30, 2015, net of tax:

 

     (Losses)
Gains on
Cash Flow
Hedges
 

Accumulated other comprehensive loss:

  

Balance at December 31, 2014

   $ (483

Other comprehensive loss before reclassifications

     (16,830

Amounts reclassified from accumulated other comprehensive loss to interest expense

     1,470   
  

 

 

 

Unrealized loss on derivatives, net of tax

     (15,360
  

 

 

 

Balance at September 30, 2015

   $ (15,843
  

 

 

Fair Value Measurements (Tables)
Schedule of Assets and Liabilities Measured at Fair Value

The following table presents the Company’s estimated fair value measurements and related classifications as of September 30, 2015:

 

     Quoted Prices in
Active Markets
for Identical
Assets and
Liabilities
(Level 1)
     Significant
Other
Observable
Inputs
(Level 2)
     Significant
Unobservable
Inputs
(Level 3)
     Balance at
September 30,
2015
 

Liabilities:

           

Derivative financial instruments (a)

   $ —         $ 25,011       $ —         $ 25,011   

Long-term obligations (b)

   $ —         $ 1,620,500       $ —         $ 1,620,500   

 

(a) Reflected at fair value in the unaudited condensed consolidated balance sheet as other liabilities of $25,011.
(b) Reflected at carrying value, net of unamortized debt issuance costs and discounts, in the unaudited condensed consolidated balance sheet as current maturities on long-term debt of $16,850 and long-term debt of $1,581,309 as of September 30, 2015.

There were no transfers between Levels 1, 2 or 3 during the year ended December 31, 2014. The Company did not have any assets measured at fair value as of December 31, 2014. The following table presents the Company’s estimated fair value measurements and related classifications as of December 31, 2014:

 

     Quoted Prices in
Active Markets
for Identical
Assets and
Liabilities
(Level 1)
     Significant
Other
Observable
Inputs
(Level 2)
     Significant
Unobservable
Inputs
(Level 3)
     Balance at
December 31,
2014
 

Liabilities:

           

Derivative financial instruments (a)

   $ —         $ 628       $ —         $ 628   

Long-term obligations (b)

   $ —         $ 1,352,438       $ 263,197       $ 1,615,635   

 

(a) Reflected at fair value in the unaudited condensed consolidated balance sheet as other liabilities of $628.
(b) Reflected at carrying value, net of unamortized debt issuance costs and discounts, in the unaudited condensed consolidated balance sheet as current maturities on long-term debt of $14,050 and long-term debt of $1,569,400 as of December 31, 2014.
Equity-Based Compensation (Tables)

The activity related to the Company’s time-vesting and performance-vesting share awards during the nine months ended September 30, 2015 is as follows:

 

                Performance-Vesting Restricted shares  
    Time-Vesting Restricted
shares
    Bonus Performance
Restricted shares
    Long-Term Incentive
Performance Restricted
shares
    2.25x Performance
Restricted shares
    2.75x Performance
Restricted shares
 
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
    Shares     Weighted
Average
Grant Date
Fair Value
per Share
 

Outstanding at December 31, 2014

    164,545      $ 11.68        —          —          —          —          1,451,453      $ 20.96        1,451,453      $ 12.61   

Granted

    941,994      $ 18.60        462,895      $ 18.99        79,279      $ 18.90        —          —          —          —     

Vested

    (156,733   $ 14.46        —          —          —          —          —          —          —          —     

Forfeited

    (60,985   $ 12.78        (28,955   $ 18.96        (11,673   $ 18.96        (80,632   $ 22.90        (80,632   $ 15.76   
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

   

Outstanding at September 30, 2015

    888,821      $ 18.49        433,940      $ 19.00        67,606      $ 18.89        1,370,821      $ 20.63        1,370,821      $ 11.81   
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

   

The activity related to the Company’s stock option awards during the nine months ended September 30, 2015 is as follows:

 

     Options      Weighted
Average
Exercise
Price
     Weighted
Average
Remaining
Contractual
Life (in
years)
     Aggregate
Intrinsic
Value
 

Outstanding at December 31, 2014

     —           —           

Granted

     2,409,282       $ 19.20         

Forfeited

     (88,144    $ 18.96         
  

 

 

          

Outstanding at September 30, 2015

     2,321,138       $ 19.21         9.56       $ 101   
  

 

 

          

Exercisable at September 30, 2015

     —           —           —           —     
  

 

 

          

Key weighted-average assumptions utilized in the Black-Scholes Option Pricing Model for stock options granted during the nine months ended September 30, 2015 were:

 

Grant date fair value

   $ 4.39   

Risk- free interest rate

     1.66

Expected volatility

     36.71

Expected dividend yield

     4.37

Expected life (in years)

     6.25   
Stockholders' Equity (Tables)
Schedule of Quarterly Cash Dividends to Common Stockholders

In the nine months ended September 30, 2015, the Board declared or paid quarterly cash dividends to all common stockholders of record as follows:

 

Record Date

   Payment Date      Cash Dividend
per Common
Share
 

January 13, 2015

     January 22, 2015       $ 0.21   

March 13, 2015

     April 1, 2015       $ 0.21   

June 22, 2015

     July 1, 2015       $ 0.21   

September 29, 2015

     October 6, 2015       $ 0.21   
Restructuring Program (Tables)
Schedule of Restructuring Program Activity

The Restructuring Program activity for the nine months ended September 30, 2015 was as follows:

 

     Severance and
Other
Employment
Expenses
 

Liability as of December 31, 2014

   $ 7,691   

Costs incurred

     267   

Payments made

     (7,958
  

 

 

 

Liability as of September 30, 2015

   $ —     
  

 

 

Description of the Business and Basis of Presentation - Additional Information (Detail) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Partnership
Business
Sep. 30, 2014
Sep. 30, 2015
Segment
Business
Partnership
Sep. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
 
 
 
 
Number of limited partnerships which owned the Company
10 
 
10 
 
Number of theme parks owned and operated
11 
 
11 
 
Number of theme parks opened for a portion of the year
 
 
 
Number of reportable segment
 
 
 
Restructuring and other related costs
$ 0 
$ 1,196 
$ 267 
$ 1,196 
Recently Issued Accounting Pronouncements - Additional Information (Detail) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Accounting Policies [Abstract]
 
 
Debt issuance costs
$ 14,563 
$ 20,003 
Earnings per Share - Schedule of Earnings per Share (Detail) (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Earnings Per Share [Abstract]
 
 
 
 
Basic earnings per share, Net Income
$ 97,950 
$ 87,176 
$ 60,161 
$ 75,365 
Diluted earnings per share, Net Income
$ 97,950 
$ 87,176 
$ 60,161 
$ 75,365 
Basic earnings per share, Shares
86,006 
86,715 
86,096 
87,329 
Effect of dilutive incentive-based awards, Shares
94 
309 
111 
319 
Diluted earnings per share, Shares
86,100 
87,024 
86,207 
87,648 
Basic earnings per share, Per Share Amount
$ 1.14 
$ 1.01 
$ 0.70 
$ 0.86 
Diluted earnings per share, Per Share Amount
$ 1.14 
$ 1.00 
$ 0.70 
$ 0.86 
Earnings per Share - Additional Information (Detail)
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Earnings Per Share [Abstract]
 
 
 
 
Anti-dilutive shares of common stock excluded from the computation of diluted earnings per share
2,463,000 
27,000 
1,599,000 
21,000 
Income Taxes - Additional Information (Detail)
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Income Tax Disclosure [Abstract]
 
 
 
 
Effective tax rate
37.10% 
38.00% 
36.40% 
38.00% 
Other Accrued Expenses - Schedule of Other Accrued Expenses (Detail) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Payables and Accruals [Abstract]
 
 
Accrued property taxes
$ 11,089 
$ 2,039 
Accrued interest
362 
2,604 
Self-insurance reserve
7,207 
7,800 
Other
2,011 
7,706 
Total other accrued expenses
$ 20,669 
$ 20,149 
Long-Term Debt - Summary of Long-Term Debt (Detail) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Debt Instrument [Line Items]
 
 
Long-term debt
$ 1,620,500 
$ 1,612,438 
Long-term debt
1,620,500 
1,612,438 
Less discounts
(7,778)
(8,985)
Less debt issuance costs
(14,563)
(20,003)
Less current maturities
(16,850)
(14,050)
Total long-term debt, net
1,581,309 
1,569,400 
Revolving Credit Facility [Member]
 
 
Debt Instrument [Line Items]
 
 
Long-term debt
Long-term debt
Senior Notes [Member]
 
 
Debt Instrument [Line Items]
 
 
Long-term debt
260,000 
Long-term debt
260,000 
Term B-2 Loans [Member]
 
 
Debt Instrument [Line Items]
 
 
Long-term debt
1,341,900 
1,352,438 
Long-term debt
1,341,900 
1,352,438 
Term B-3 Loans [Member]
 
 
Debt Instrument [Line Items]
 
 
Long-term debt
278,600 
Long-term debt
$ 278,600 
$ 0 
Long-Term Debt - Summary of Long-Term Debt (Parenthetical) (Detail)
Sep. 30, 2015
Dec. 31, 2014
Senior Notes [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt instrument interest rate effective percentage
 
12.07% 
Term B-2 Loans [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt instrument interest rate effective percentage
3.26% 
3.26% 
Term B-3 Loans [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt instrument interest rate effective percentage
4.33% 
 
Long-Term Debt - Additional Information (Detail) (USD $)
9 Months Ended 9 Months Ended 9 Months Ended 0 Months Ended 9 Months Ended 0 Months Ended 9 Months Ended 0 Months Ended 3 Months Ended 9 Months Ended 1 Months Ended 9 Months Ended 0 Months Ended 3 Months Ended 9 Months Ended 9 Months Ended 0 Months Ended 9 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Dec. 31, 2014
Sep. 30, 2015
Interest Rate Swaps [Member]
Sep. 30, 2015
Interest Rate Swaps [Member]
Combined Interest Rate Cash Flow Hedges On Three Swaps [Member]
Swap
Sep. 30, 2015
Forward Interest Rate Swaps [Member]
Jun. 10, 2015
Forward Interest Rate Swaps [Member]
Swap
Sep. 30, 2015
Maximum [Member]
Interest Rate Swaps [Member]
Combined Interest Rate Cash Flow Hedges On Three Swaps [Member]
Sep. 30, 2015
Minimum [Member]
Interest Rate Swaps [Member]
Combined Interest Rate Cash Flow Hedges On Three Swaps [Member]
Sep. 30, 2015
Restrictive Covenants [Member]
Sep. 30, 2015
Scenario One [Member]
Restrictive Covenants [Member]
Sep. 30, 2015
Scenario Two [Member]
Restrictive Covenants [Member]
Sep. 30, 2015
Scenario Three [Member]
Restrictive Covenants [Member]
Apr. 7, 2015
Senior Notes [Member]
Sep. 30, 2015
Senior Notes [Member]
Dec. 31, 2014
Senior Notes [Member]
Dec. 1, 2009
Senior Notes [Member]
Apr. 7, 2015
Term B-3 Loans [Member]
Sep. 30, 2015
Term B-3 Loans [Member]
Sep. 30, 2014
Term B-3 Loans [Member]
Sep. 30, 2015
Term B-3 Loans [Member]
Sep. 30, 2014
Term B-3 Loans [Member]
Apr. 7, 2015
Term B-3 Loans [Member]
Dec. 31, 2014
Term B-3 Loans [Member]
Oct. 31, 2015
Term B-3 Loans [Member]
Subsequent Event [Member]
Sep. 30, 2015
Term B-3 Loans [Member]
Interest Rate Swaps [Member]
Apr. 30, 2015
Term B-3 Loans [Member]
Interest Rate Swaps [Member]
Apr. 7, 2015
Term B-3 Loans [Member]
Federal Funds Rate [Member]
Apr. 7, 2015
Term B-3 Loans [Member]
Base Rate Loan [Member]
Apr. 7, 2015
Term B-3 Loans [Member]
LIBOR Rate Loan [Member]
Sep. 30, 2015
Term B-2 Loans [Member]
Sep. 30, 2014
Term B-2 Loans [Member]
Sep. 30, 2015
Term B-2 Loans [Member]
Sep. 30, 2014
Term B-2 Loans [Member]
Dec. 31, 2014
Term B-2 Loans [Member]
May 14, 2013
Term B-2 Loans [Member]
Dec. 1, 2009
Term B-2 Loans [Member]
Sep. 30, 2015
Term B-2 Loans [Member]
Federal Funds Rate [Member]
Sep. 30, 2015
Term B-2 Loans [Member]
Base Rate Loan [Member]
Sep. 30, 2015
Term B-2 Loans [Member]
LIBOR Rate Loan [Member]
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
Restrictive Covenants [Member]
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
Scenario One [Member]
Maximum [Member]
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
Scenario One [Member]
Minimum [Member]
Sep. 30, 2015
Revolving Credit Facility [Member]
Dec. 31, 2014
Revolving Credit Facility [Member]
Sep. 30, 2015
Revolving Credit Facility [Member]
Federal Funds Rate [Member]
Sep. 30, 2015
Revolving Credit Facility [Member]
Base Rate Loan [Member]
Sep. 30, 2015
Revolving Credit Facility [Member]
LIBOR Rate Loan [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, balance
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 400,000,000 
 
 
 
 
 
$ 280,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 1,405,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt, maturity date
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Dec. 01, 2016 
 
 
 
 
 
May 14, 2020 
 
 
 
 
 
 
 
 
 
 
 
May 14, 2020 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Repayment of Senior Notes outstanding principal amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
260,000,000 
 
 
 
 
 
 
30,000,000 
 
 
 
 
 
 
 
 
31,500,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Redemption price for Senior Notes Percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
105.50% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt redemption premium
 
 
 
 
 
 
 
 
 
 
 
 
 
14,300,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Write-off discounts and debt issuance costs
 
 
 
 
 
 
 
 
 
 
 
 
 
6,048,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Discount initially recorded
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,400,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt issuance costs
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3,171,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized debt issuance costs and discounts
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
6,921,000 
 
 
4,110,000 
 
4,110,000 
 
 
 
 
 
 
 
 
 
15,583,000 
 
15,583,000 
 
18,205,000 
 
 
 
 
 
 
 
 
 
2,648,000 
3,862,000 
 
 
 
Senior secured revolving
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
192,500,000 
 
 
 
 
Long-term debt
1,620,500,000 
 
1,612,438,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
278,600,000 
 
278,600,000 
 
 
 
 
 
 
 
 
1,341,900,000 
 
1,341,900,000 
 
1,352,438,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate, description
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Borrowings of Term B-3 Loans bear interest at a fluctuating rate per annum equal to, at SEA’s option, (a) a base rate equal to the higher of (1) the federal funds rate plus 1/2 of 1% and (2) the rate of interest in effect for such day as publicly announced from time to time by Bank of America, N.A. as its “prime rate” or (b) a LIBOR rate determined by reference to the BBA LIBOR rate, or the successor thereto if the BBA is no longer making a LIBOR rate available, for the interest period relevant to such borrowing. 
 
 
 
 
 
 
 
 
 
 
 
The Term B-2 Loans were initially borrowed in an aggregate principal amount of $1,405,000. Borrowings under the Senior Secured Credit Facilities bear interest, at SEA’s option, at a rate equal to a margin over either (a) a base rate determined by reference to the higher of (1) the rate of interest in effect for such day as publicly announced from time to time by Bank of America, N.A. as its “prime rate” and (2) the federal funds effective rate plus 1/2 of 1% or (b) a LIBOR rate determined by reference to the British Bankers Association (“BBA”) LIBOR rate, or the successor thereto if the BBA is no longer making a LIBOR rate available, for the interest period relevant to such borrowing. 
 
 
 
 
 
 
 
 
 
 
 
Borrowings of loans under the Revolving Credit Facility bear interest at a fluctuating rate per annum equal to, at SEA’s option, (a) a base rate equal to the higher of (1) the federal funds rate plus 1/2 of 1%, and (2) the rate of interest in effect for such day as publicly announced from time to time by Bank of America, N.A. as its “prime rate” or (b) a LIBOR rate determined by reference to the BBA LIBOR rate, or the successor thereto if the BBA is no longer making a LIBOR rate available, for the interest period relevant to such borrowing. 
 
 
 
 
Applicable margin for Term Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.50% 
2.25% 
3.25% 
 
 
 
 
 
 
 
0.50% 
1.25% 
2.25% 
 
 
 
 
 
 
0.50% 
1.75% 
2.75% 
Floor rate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.75% 
0.75% 
 
 
 
 
 
 
 
 
1.75% 
0.75% 
 
 
 
 
 
 
 
 
 
Basis point step-down in applicable margin, description
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The applicable margin for the Term B-2 Loans (under either a base rate or LIBOR rate) is subject to one 25 basis point step-down upon achievement by SEA of a total net leverage ratio equal to or less than 3.25 to 1.00. 
 
 
 
 
 
 
 
 
 
 
 
The applicable margin for borrowings under the Revolving Credit Facility is 1.75%, in the case of base rate loans, and 2.75%, in the case of LIBOR rate loans. The applicable margin (under either a base rate or LIBOR rate) is subject to one 25 basis point step-down upon achievement by SEA of certain corporate credit ratings. 
 
 
 
 
Basis point step down on applicable margin upon achievement of certain leverage ratio
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.25% 
 
 
 
 
 
 
 
 
 
 
 
0.25% 
 
 
 
 
Debt instrument interest rate selected percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4.00% 
 
4.00% 
 
 
 
 
 
 
 
 
 
3.00% 
 
3.00% 
 
 
 
 
 
 
 
 
 
 
 
2.50% 
 
 
 
 
Maximum Total Leverage Ratio
 
 
 
 
 
 
 
 
 
 
5.00% 
4.50% 
4.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.25% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percent of original principal amount on effective date used to calculate aggregate annual amount which will amortize in equal quarterly installments
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.00% 
 
 
 
 
 
 
 
 
 
 
 
 
1.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of annual excess cash flow used to prepay outstanding loan
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
50.00% 
 
25.00% 
0.00% 
 
 
 
 
 
Percentage of net proceeds from sale of non-ordinary assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
100.00% 
 
 
 
 
 
 
 
 
Percentage of net proceeds incurrence of debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
100.00% 
 
 
 
 
 
 
 
 
Mandatory prepayments
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Permitted increased commitments under the Revolving Credit Facility in aggregate principal amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
350,000,000 
 
 
 
 
First lien secured net leverage ratio
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.50% 
 
 
 
 
 
 
 
 
Commitment fees on unused portion of facility
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.50% 
 
 
 
 
Outstanding letters of credit
18,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amount available for borrowing
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
174,500,000 
 
 
 
 
Restrictive covenants, description
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The Senior Secured Credit Facilities permit restricted payments in an aggregate amount per annum not to exceed the greater of (1) 6% of initial public offering net proceeds received by SEA or (2) (a) $90,000, so long as, on a Pro Forma Basis (as defined in the Senior Secured Credit Facilities) after giving effect to the payment of any such restricted payment, the Total Leverage Ratio, (as defined in the Senior Secured Credit Facilities), is no greater than 5.00 to 1.00 and greater than 4.50 to 1.00, (b) $120,000, so long as, on a Pro Forma Basis after giving effect to the payment of any such restricted payment, the Total Leverage Ratio is no greater than 4.50 to 1.00 and greater than 4.00 to 1.00, (c) the greater of (A) $120,000 and (B) 7.5% of Market Capitalization (as defined in the Senior Secured Credit Facilities), so long as, on a Pro Forma Basis after giving effect to the payment of any such restricted payment, the Total Leverage Ratio is no greater than 4.00 to 1.00 and greater than 3.50 to 1.00 and (d) an unlimited amount, so long as, on a Pro Forma Basis after giving effect to the payment of any such restricted payment, the Total Leverage Ratio is no greater than 3.50 to 1.00. 
 
 
 
 
 
 
 
 
Percentage of initial public offering net proceeds in restricted payments
6.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Restricted payment on Senior Secured Credit Facilities
 
 
 
 
 
 
 
 
 
 
90,000,000 
120,000,000 
120,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of Market Capitalization on restricted payment
7.50% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Minimum Total Leverage Ratio
 
 
 
 
 
 
 
 
 
 
4.50% 
4.00% 
3.50% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Leverage Ratio
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4.13% 
 
 
 
 
 
 
 
Restrictive covenants, restricted payments capacity available
 
 
 
 
 
 
 
 
 
120,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Restrictive covenants, restricted payments used
87,700,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Restrictive covenants, restricted payments capacity remaining
32,300,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of interest rate swaps held
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of interest rate derivatives held with combined notional amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Notional amount of interest rate swap
 
 
 
 
1,000,000,000 
 
1,000,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
250,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maturity of interest rate swap
 
 
 
Sep. 30, 2016 
 
May 14, 2020 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sep. 30, 2016 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed rate of interest on swaps
 
 
 
 
 
 
 
1.051% 
1.049% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.901% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Variable rate of interest
 
 
 
0.75% 
 
 
0.75% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.75% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted average fixed interest rate
 
 
 
 
 
 
2.45% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash paid for interest
$ 49,681,000 
$ 49,133,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Long-Term Debt - Summary of Long-Term Debt Repayable (Detail) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Maturities of Long-term Debt [Abstract]
 
 
2015
$ 4,213 
 
2016
16,850 
 
2017
16,850 
 
2018
16,850 
 
2019
16,850 
 
Thereafter
1,548,887 
 
Long-term debt
$ 1,620,500 
$ 1,612,438 
Derivative Instruments and Hedging Activities - Additional Information (Detail) (USD $)
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Jun. 10, 2015
Forward Interest Rate Swaps [Member]
Swap
Sep. 30, 2015
Combined Interest Rate Cash Flow Hedges, All Swaps [Member]
Interest Rate Swaps [Member]
Swap
Sep. 30, 2015
Combined Interest Rate Cash Flow Hedges, All Swaps [Member]
Forward Interest Rate Swaps [Member]
Swap
Sep. 30, 2015
Not Designated as Hedge Accounting Relationships [Member]
Dec. 31, 2014
Not Designated as Hedge Accounting Relationships [Member]
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
 
 
 
 
 
Derivatives outstanding
 
 
 
 
 
 
 
$ 0 
$ 0 
Notional amount of interest rate swap
 
 
 
 
1,000,000,000 
1,250,000,000 
1,000,000,000 
 
 
Number of interest rate swaps held
 
 
 
 
 
 
Loss related to ineffective portion of derivatives recognized in other expense (income), net
1,000 
288,000 
 
 
 
 
 
Reclassified as an increase to interest expense, expected during the next 12 months
3,337,000 
 
3,337,000 
 
 
 
 
 
 
Unrealized loss on derivatives, tax benefit
 
 
8,799,000 
 
 
 
 
 
 
Termination value of derivatives in a net liability position
27,602,000 
 
27,602,000 
 
 
 
 
 
 
Collateral posted relating to credit risk-related contingent features
$ 0 
 
$ 0 
 
 
 
 
 
 
Derivative Instruments and Hedging Activities - Fair Value of Company's Derivative Financial Instruments Classification on Unaudited Condensed Consolidated Balance Sheets (Detail) (Other Liabilities [Member], USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Derivatives, Fair Value [Line Items]
 
 
Liability Derivatives Fair Value
$ 25,011 
$ 628 
Interest Rate Swaps [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Liability Derivatives Fair Value
2,844 
628 
Forward Interest Rate Swaps [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Liability Derivatives Fair Value
$ 22,167 
 
Derivative Instruments and Hedging Activities - Schedule of Pre-tax Effect of Derivative Financial Instruments on Unaudited Condensed Consolidated Statements of Comprehensive Income (Detail) (USD $)
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Derivatives in Cash Flow Hedging Relationships:
 
 
 
 
(Loss) gain related to effective portion of derivatives recognized in accumulated other comprehensive loss
$ (17,490,000)
$ 1,005,000 
$ (26,471,000)
$ (1,868,000)
Gain related to effective portion of derivatives reclassified from accumulated other comprehensive loss to interest expense
843,000 
746,000 
2,312,000 
1,879,000 
Loss related to ineffective portion of derivatives recognized in other expense (income), net
$ (1,000)
$ 0 
$ (288,000)
$ 0 
Derivative Instruments and Hedging Activities - Schedule of Changes in Accumulated Other Comprehensive Loss (Detail) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Accumulated other comprehensive loss:
 
 
 
 
Balance at December 31, 2014
 
 
$ (483)
 
Unrealized loss on derivatives, net of tax
(10,740)
1,087 
(15,360)
Balance at September 30, 2015
(15,843)
 
(15,843)
 
(Losses) Gains on Cash Flow Hedges [Member]
 
 
 
 
Accumulated other comprehensive loss:
 
 
 
 
Balance at December 31, 2014
 
 
(483)
 
Other comprehensive loss before reclassifications
 
 
(16,830)
 
Amounts reclassified from accumulated other comprehensive loss to interest expense
 
 
1,470 
 
Unrealized loss on derivatives, net of tax
 
 
(15,360)
 
Balance at September 30, 2015
$ (15,843)
 
$ (15,843)
 
Fair Value Measurements - Additional Information (Detail) (USD $)
3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2015
Sep. 30, 2015
Dec. 31, 2014
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
 
 
 
Assets measured at fair value
$ 0 
$ 0 
$ 0 
Transfers between Levels
$ 0 
$ 0 
$ 0 
Significant Unobservable Inputs (Level 3) [Member] |
Senior Notes [Member]
 
 
 
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
 
 
 
Discount rate of Senior Notes
 
 
11.37% 
Senior Notes, redemption date
 
Apr. 07, 2015 
 
Fair Value Measurements - Schedule of Assets and Liabilities Measured at Fair Value (Detail) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Liabilities:
 
 
Derivative financial instruments
$ 25,011 
$ 628 
Long-term obligations
1,620,500 
1,615,635 
Significant Other Observable Inputs (Level 2) [Member]
 
 
Liabilities:
 
 
Derivative financial instruments
25,011 
628 
Long-term obligations
1,620,500 
1,352,438 
Significant Unobservable Inputs (Level 3) [Member]
 
 
Liabilities:
 
 
Long-term obligations
 
$ 263,197 
Fair Value Measurements - Schedule of Assets and Liabilities Measured at Fair Value (Parenthetical) (Detail) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Derivative financial instruments
$ 25,011 
$ 628 
Current maturities on long-term debt
16,850 
14,050 
Long-term debt
1,581,309 
1,569,400 
Other Liabilities [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Derivative financial instruments
$ 25,011 
$ 628 
Related-Party Transactions - Additional Information (Detail) (USD $)
0 Months Ended 3 Months Ended 9 Months Ended 0 Months Ended 0 Months Ended
Sep. 16, 2015
Jun. 10, 2015
Mar. 3, 2015
Jan. 5, 2015
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Dec. 1, 2009
Term B-2 Loans [Member]
Apr. 7, 2015
Term B-3 Loans [Member]
Dec. 1, 2009
Senior Notes [Member]
Jul. 1, 2015
Blackstone and Affiliates [Member]
Apr. 1, 2015
Blackstone and Affiliates [Member]
Jan. 22, 2015
Blackstone and Affiliates [Member]
Sep. 30, 2015
Blackstone and Affiliates [Member]
Term B-2 Loans [Member]
Dec. 31, 2014
Blackstone and Affiliates [Member]
Term B-2 Loans [Member]
Sep. 30, 2015
Blackstone and Affiliates [Member]
Term B-3 Loans [Member]
Dec. 31, 2014
Blackstone and Affiliates [Member]
Senior Notes [Member]
Oct. 6, 2015
Blackstone and Affiliates [Member]
Subsequent Event [Member]
Related Party Transaction [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash dividends declared per share
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.84 
$ 0.62 
 
 
 
 
 
 
 
 
 
 
 
Dividends paid to stockholders
 
 
 
 
 
 
$ 54,370,000 
$ 53,639,000 
 
 
 
$ 4,095,000 
$ 4,095,000 
$ 4,095,000 
 
 
 
 
$ 4,095,000 
Cash dividends record date
Sep. 29, 2015 
Jun. 22, 2015 
Mar. 13, 2015 
Jan. 13, 2015 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash dividends paid date
Oct. 06, 2015 
Jul. 01, 2015 
Apr. 01, 2015 
Jan. 22, 2015 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, balance
 
 
 
 
 
 
 
 
$ 1,405,000,000 
$ 280,000,000 
$ 400,000,000 
 
 
 
$ 86,000,000 
$ 87,000,000 
$ 18,000,000 
$ 65,000,000 
 
Commitments and Contingencies - Additional Information (Detail) (Minimum [Member], USD $)
0 Months Ended
Sep. 30, 2015
Minimum [Member]
 
Loss Contingencies [Line Items]
 
Amount in controversy, not recorded
$ 5,000,000 
Equity-Based Compensation - Additional Information (Detail) (USD $)
9 Months Ended 3 Months Ended 9 Months Ended 3 Months Ended 9 Months Ended 9 Months Ended 0 Months Ended 9 Months Ended 0 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Bonus Performance Restricted Shares [Member]
Sep. 30, 2015
Long-Term Incentive Options [Member]
Sep. 30, 2015
Long-Term Incentive Performance Restricted Shares [Member]
Sep. 30, 2015
Time-Vesting Restricted Shares [Member]
Sep. 30, 2015
2.25x Performance Restricted Shares [Member]
Sep. 30, 2014
2.25x Performance Restricted Shares [Member]
Sep. 30, 2015
2.25x Performance Restricted Shares [Member]
Sep. 30, 2015
2.75x Performance Restricted Shares [Member]
Sep. 30, 2014
2.75x Performance Restricted Shares [Member]
Sep. 30, 2015
Omnibus Incentive Plan [Member]
Sep. 30, 2014
Omnibus Incentive Plan [Member]
Sep. 30, 2015
Omnibus Incentive Plan [Member]
Sep. 30, 2014
Omnibus Incentive Plan [Member]
Sep. 30, 2015
2015 Bonus Plan [Member]
Sep. 30, 2015
2015 Bonus Plan [Member]
Bonus Performance Restricted Shares [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan [Member]
Long-Term Incentive Options [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan [Member]
Long-Term Incentive Time Restricted Shares [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan [Member]
Long-Term Incentive Performance Restricted Shares [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan [Member]
Long-Term Incentive Performance Restricted Shares [Member]
Target Performance [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan [Member]
Long-Term Incentive Performance Restricted Shares [Member]
Maximum Performance [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan [Member]
Long-Term Incentive Performance Restricted Shares [Member]
First Performance Period [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan Below Threshold Performance [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan Threshold Performance [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan Target Performance [Member]
Sep. 30, 2015
2015 Long-Term Incentive Plan At or Above Maximum Performance [Member]
Apr. 7, 2015
Other 2015 Grants [Member]
Bonus Performance Restricted Shares [Member]
Chief Executive Officer [Member]
Sep. 8, 2015
Other 2015 Grants [Member]
Bonus Performance Restricted Shares [Member]
Chief Creative Officer [Member]
Sep. 1, 2015
Other 2015 Grants [Member]
Bonus Performance Restricted Shares [Member]
Chief Financial Officer [Member]
Sep. 1, 2015
Other 2015 Grants [Member]
Long-Term Incentive Performance Restricted Shares [Member]
Chief Accounting Officer [Member]
Apr. 7, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Chief Executive Officer [Member]
Jan. 15, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Interim Chief Executive Officer [Member]
Sep. 30, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Interim Chief Executive Officer [Member]
Sep. 30, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Board Members [Member]
Sep. 8, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Chief Creative Officer [Member]
Sep. 1, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Chief Financial Officer [Member]
Sep. 1, 2015
Other 2015 Grants [Member]
Time-Vesting Restricted Shares [Member]
Chief Accounting Officer [Member]
Apr. 7, 2015
Other 2015 Grants [Member]
Nonqualified Stock Options [Member]
Chief Executive Officer [Member]
Sep. 8, 2015
Other 2015 Grants [Member]
Nonqualified Stock Options [Member]
Chief Creative Officer [Member]
Sep. 1, 2015
Other 2015 Grants [Member]
Nonqualified Stock Options [Member]
Chief Financial Officer [Member]
Sep. 1, 2015
Other 2015 Grants [Member]
Nonqualified Stock Options [Member]
Chief Accounting Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common stock reserved for future issuance
 
 
 
 
 
 
 
 
 
 
 
15,000,000 
 
15,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Shares available for future issuance
 
 
 
 
 
 
 
 
 
 
 
10,707,185 
 
10,707,185 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total equity compensation expense
$ 4,800,000 
$ 1,905,000 
 
 
 
 
 
 
 
 
 
$ 1,549,000 
$ 570,000 
$ 4,800,000 
$ 1,905,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unrecognized equity compensation cost
 
 
 
 
 
 
28,000,000 
 
28,000,000 
16,000,000 
 
24,000,000 
 
24,000,000 
 
 
8,200,000 
 
 
 
311,000 
890,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of bonus payable by cash
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
50.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of bonus payable by shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
50.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Recognized equity compensation expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Vesting period
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4 years 
4 years 
 
 
 
 
 
 
 
 
 
 
 
 
4 years 
 
 
3 years 
4 years 
 
4 years 
4 years 
4 years 
 
4 years 
Vesting percentage, per year
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
25.00% 
25.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Long-Term Incentive Options, expiration period
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
10 years 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Performance period, beginning date
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Jan. 01, 2015 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Performance period, ending date
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Dec. 31, 2017 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Performance period
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3 years 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Vesting percentage, per year
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.00% 
50.00% 
100.00% 
200.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Shares earned, percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
33.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Granted shares
 
 
462,895 
 
79,279 
941,994 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
67,606 
 
 
 
 
27,623 
2,882 
4,364 
7,738 
249,875 
100,000 
 
49,284 
126,689 
116,076 
3,869 
 
 
 
 
Awarded shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
202,850 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of shares probable of vesting related to the first performance period
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
20,281 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options, granted
 
 
 
2,409,282 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,089,324 
254,452 
134,048 
17,873 
Weighted average grant date fair value
 
 
$ 18.99 
 
$ 18.90 
$ 18.60 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 16.50 
 
 
 
 
 
 
 
 
 
Vesting period, description
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The earlier of the start date of a new Chief Executive Officer or June 30, 2015. 
 
 
 
 
 
 
 
 
Annualized effective compounded return rate
 
 
 
 
 
 
 
 
20.00% 
15.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Return on investment
 
 
 
 
 
 
2.25% 
 
2.25% 
2.75% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Additional future funds to receive
 
 
 
 
 
 
 
 
$ 4,100,000 
$ 432,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity-Based Compensation - Schedule of Employee Stock Performance Activity (Detail) (USD $)
9 Months Ended
Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Shares, Outstanding, Ending Balance
4,267,253 
Time-Vesting Restricted Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Shares, Outstanding, Beginning Balance
164,545 
Shares, Granted
941,994 
Shares, Vested
(156,733)
Shares, Forfeited
(60,985)
Shares, Outstanding, Ending Balance
888,821 
Weighted Average Grant Date Fair Value per Share, Outstanding, Beginning Balance
$ 11.68 
Weighted Average Grant Date Fair Value per Share, Granted
$ 18.60 
Weighted Average Grant Date Fair Value per Share, Vested
$ 14.46 
Weighted Average Grant Date Fair Value per Share, Forfeited
$ 12.78 
Weighted Average Grant Date Fair Value per Share, Outstanding, Ending Balance
$ 18.49 
Bonus Performance Restricted Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Shares, Granted
462,895 
Shares, Forfeited
(28,955)
Shares, Outstanding, Ending Balance
433,940 
Weighted Average Grant Date Fair Value per Share, Granted
$ 18.99 
Weighted Average Grant Date Fair Value per Share, Forfeited
$ 18.96 
Weighted Average Grant Date Fair Value per Share, Outstanding, Ending Balance
$ 19.00 
Long-Term Incentive Performance Restricted Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Shares, Granted
79,279 
Shares, Forfeited
(11,673)
Shares, Outstanding, Ending Balance
67,606 
Weighted Average Grant Date Fair Value per Share, Granted
$ 18.90 
Weighted Average Grant Date Fair Value per Share, Forfeited
$ 18.96 
Weighted Average Grant Date Fair Value per Share, Outstanding, Ending Balance
$ 18.89 
2.25x Performance Restricted Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Shares, Outstanding, Beginning Balance
1,451,453 
Shares, Forfeited
(80,632)
Shares, Outstanding, Ending Balance
1,370,821 
Weighted Average Grant Date Fair Value per Share, Outstanding, Beginning Balance
$ 20.96 
Weighted Average Grant Date Fair Value per Share, Forfeited
$ 22.90 
Weighted Average Grant Date Fair Value per Share, Outstanding, Ending Balance
$ 20.63 
2.75x Performance Restricted Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Shares, Outstanding, Beginning Balance
1,451,453 
Shares, Forfeited
(80,632)
Shares, Outstanding, Ending Balance
1,370,821 
Weighted Average Grant Date Fair Value per Share, Outstanding, Beginning Balance
$ 12.61 
Weighted Average Grant Date Fair Value per Share, Forfeited
$ 15.76 
Weighted Average Grant Date Fair Value per Share, Outstanding, Ending Balance
$ 11.81 
Equity-Based Compensation - Schedule of Key Weighted-average Assumptions Utilized in Black-Scholes Option Pricing Model for Stock Options Granted (Detail)
9 Months Ended
Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
 
Grant date fair value
$ 4.39 
Risk-free interest rate
1.66% 
Expected volatility
36.71% 
Expected dividend yield
4.37% 
Expected life (in years)
6 years 3 months 
Stockholders' Equity - Additional Information (Detail) (USD $)
1 Months Ended 3 Months Ended 9 Months Ended 0 Months Ended 9 Months Ended 9 Months Ended 9 Months Ended 1 Months Ended
Jan. 31, 2015
Sep. 30, 2015
Dec. 31, 2014
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Aug. 12, 2014
Oct. 6, 2015
Subsequent Event [Member]
Sep. 30, 2015
2.25x Performance Restricted Shares [Member]
Dec. 31, 2014
2.25x Performance Restricted Shares [Member]
Sep. 30, 2015
2.75x Performance Restricted Shares [Member]
Dec. 31, 2014
2.75x Performance Restricted Shares [Member]
Sep. 30, 2015
Bonus Performance Restricted Shares [Member]
Sep. 30, 2015
Long-Term Incentive Performance Restricted Shares [Member]
Apr. 30, 2014
Secondary Offering [Member]
Sep. 30, 2015
Secondary Offering [Member]
Dec. 31, 2014
Secondary Offering [Member]
Stockholders Equity [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common stock, shares issued
 
90,305,888 
90,191,100 
 
90,305,888 
 
 
 
 
 
 
 
 
 
 
 
Unvested shares of common stock
 
4,267,253 
 
 
4,267,253 
 
 
 
1,370,821 
1,451,453 
1,370,821 
1,451,453 
433,940 
67,606 
 
 
 
Treasury stock, shares
 
4,941,938 
4,105,970 
 
4,941,938 
 
 
 
 
 
 
 
 
 
 
 
 
Dividends declared to common stockholders
 
 
 
 
$ 72,593,000 
 
 
 
 
 
 
 
 
 
 
 
 
Dividends payable
 
18,396,000 
172,000 
 
18,396,000 
 
 
 
 
 
 
 
 
 
 
 
 
Dividends paid
 
 
 
 
 
 
 
17,900,000 
 
 
 
 
 
 
 
 
 
Dividends payable on unvested restricted performance shares not probable of vesting
 
 
 
 
 
 
 
 
2,820,000 
 
2,820,000 
 
261,000 
43,000 
 
 
 
Dividends on shares probable of vesting
 
 
 
 
 
 
 
 
 
 
 
 
 
12,000 
 
 
 
Share Repurchase Program, authorized amount
 
 
 
 
 
 
250,000,000 
 
 
 
 
 
 
 
 
 
 
Shares repurchased
 
835,968 
855,970 
 
835,968 
 
 
 
 
 
 
 
 
 
1,750,000 
 
 
Stock repurchased during period under Share Repurchase Program, average price per share
 
$ 17.92 
$ 17.50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Stock repurchased during period, total cost
 
15,000,000 
15,000,000 
 
15,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
Shares repurchased payment settlement during period
5,650,000 
 
 
 
20,650,000 
50,708,000 
 
 
 
 
 
 
 
 
 
 
 
Share Repurchase Program, remaining authorized repurchase amount
 
220,000,000 
 
 
220,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
Shares offered and sold by the selling stockholders
 
 
 
 
 
 
 
 
 
 
 
 
 
 
17,250,000 
 
 
Secondary offering costs
 
 
747,000 
 
 
 
 
 
 
 
 
 
 
 
Treasury stock at cost
 
$ 124,871,000 
$ 109,871,000 
 
$ 124,871,000 
 
 
 
 
 
 
 
 
 
 
$ 124,871,000 
$ 109,871,000 
Stockholders' Equity - Schedule of Quarterly Cash Dividends to Common Stockholders (Detail)
0 Months Ended 3 Months Ended 9 Months Ended
Sep. 16, 2015
Jun. 10, 2015
Mar. 3, 2015
Jan. 5, 2015
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Stockholders Equity [Line Items]
 
 
 
 
 
 
 
 
Cash dividends record date
Sep. 29, 2015 
Jun. 22, 2015 
Mar. 13, 2015 
Jan. 13, 2015 
 
 
 
 
Cash dividends paid date
Oct. 06, 2015 
Jul. 01, 2015 
Apr. 01, 2015 
Jan. 22, 2015 
 
 
 
 
Cash dividends declared per share
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.21 
$ 0.84 
$ 0.62 
Q4 2014 Declaration [Member]
 
 
 
 
 
 
 
 
Stockholders Equity [Line Items]
 
 
 
 
 
 
 
 
Cash dividends record date
 
 
 
 
 
 
Jan. 13, 2015 
 
Cash dividends paid date
 
 
 
 
 
 
Jan. 22, 2015 
 
Cash dividends declared per share
 
 
 
 
 
 
$ 0.21 
 
Q1 2015 Declaration [Member]
 
 
 
 
 
 
 
 
Stockholders Equity [Line Items]
 
 
 
 
 
 
 
 
Cash dividends record date
 
 
 
 
 
 
Mar. 13, 2015 
 
Cash dividends paid date
 
 
 
 
 
 
Apr. 01, 2015 
 
Cash dividends declared per share
 
 
 
 
 
 
$ 0.21 
 
Q2 2015 Declaration [Member]
 
 
 
 
 
 
 
 
Stockholders Equity [Line Items]
 
 
 
 
 
 
 
 
Cash dividends record date
 
 
 
 
 
 
Jun. 22, 2015 
 
Cash dividends paid date
 
 
 
 
 
 
Jul. 01, 2015 
 
Cash dividends declared per share
 
 
 
 
 
 
$ 0.21 
 
Q3 2015 Declaration [Member]
 
 
 
 
 
 
 
 
Stockholders Equity [Line Items]
 
 
 
 
 
 
 
 
Cash dividends record date
 
 
 
 
 
 
Sep. 29, 2015 
 
Cash dividends paid date
 
 
 
 
 
 
Oct. 06, 2015 
 
Cash dividends declared per share
 
 
 
 
 
 
$ 0.21 
 
Restructuring Program - Additional Information (Detail) (USD $)
0 Months Ended 1 Months Ended 3 Months Ended 9 Months Ended
Sep. 30, 2015
Dec. 31, 2014
Position
Sep. 30, 2015
Business
Sep. 30, 2014
Sep. 30, 2015
Business
Sep. 30, 2014
Restructuring and Related Activities [Abstract]
 
 
 
 
 
 
Restructuring costs, description
 
 
 
 
Involved the elimination of approximately 300 positions across the Company's eleven theme parks and corporate headquarters. 
 
Number of positions eliminated
 
300 
 
 
 
 
Number of theme parks
 
 
11 
 
11 
 
Restructuring and other related costs
 
 
$ 0 
$ 1,196,000 
$ 267,000 
$ 1,196,000 
Restructuring and other related costs incurred to date
 
 
11,834,000 
 
11,834,000 
 
Additional costs associated to Restructuring Plan
$ 0 
 
 
 
 
 
Restructuring Program - Schedule of Restructuring Program Activity (Detail) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Restructuring and Related Activities [Abstract]
 
 
 
 
Liability as of December 31, 2014
 
 
$ 7,691 
 
Costs incurred
1,196 
267 
1,196 
Payments made
 
 
$ (7,958)