Quarterly report pursuant to Section 13 or 15(d)

IMPAIRMENT OF LONG-LIVED ASSETS

v2.4.0.6
IMPAIRMENT OF LONG-LIVED ASSETS
6 Months Ended
Jun. 30, 2012
IMPAIRMENT OF LONG-LIVED ASSETS

NOTE 4. IMPAIRMENT OF LONG-LIVED ASSETS

We account for property, plant and equipment in accordance with FASB ASC Topic 360-10, “Property, Plant and Equipment”. We periodically review our long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be fully recoverable.

During June 2012, based on changes in managements’ intended use of land in Covina, CA we reclassified the land from our broadcast segment to assets held for sale and evaluated for impairment as of that date. In accordance with the authoritative guidance for impairment of long-lived assets held for sale, we determined the carrying value of the land exceeded the estimated fair value less cost to sell. We estimated the fair value of the land based on our estimated future cash flows expected from the sale of the land to a willing party less our estimated closing costs. As a result of our analysis, we recorded an impairment charge of $5.6 million associated with the land.

The table below presents the fair value measurements used to value this asset.

 

            Fair Value Measurements Using         
            (Dollars in thousands)         

Description

   As of June 30, 2012      Quoted prices in
active markets
(Level 1)
   Significant Other
Observable
Inputs (Level 2)
   Significant
Unobservable

Inputs  (Level 3)
     Total Gains
(Losses)
 

Long-Lived Asset Held for Sale

   $ 2,900             $ 2,900       $ 5,608