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Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
 
 
 
 
FORM 10-Q
 
 
 
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2019 or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                      to                         
Commission File No. 0-19424
EZCORPLOGOA80.JPG
EZCORP, INC.
(Exact name of registrant as specified in its charter)
Delaware
74-2540145
(State or other jurisdiction of incorporation or organization)
(I.R.S. Employer Identification No.)
 
 
 
 
 
 
2500 Bee Cave Road
Bldg One
Suite 200
Rollingwood
TX
78746
(Address of principal executive offices)
(Zip Code)
Registrant’s telephone number, including area code: (512) 314-3400
 
 
 
 
Securities registered pursuant to Section 12(b) of the Act
Title of each class
 
Trading Symbol(s)
 
Name of each exchange on which registered
 
 
 
 
 
 
Class A Non-voting Common Stock, par value $.01 per share
 
EZPW
 
NASDAQ Stock Market
(NASDAQ Global Select Market)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes      No  
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See definition of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer
Accelerated Filer
Non-accelerated Filer
Smaller Reporting Company
 
 
Emerging Growth Company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.    
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes      No  
APPLICABLE ONLY TO CORPORATE ISSUERS:
The only class of voting securities of the registrant issued and outstanding is the Class B Voting Common Stock, par value $.01 per share, all of which is owned by an affiliate of the registrant. There is no trading market for the Class B Voting Common Stock.
As of July 22, 2019, 52,475,070 shares of the registrant’s Class A Non-voting Common Stock ("Class A Common Stock"), par value $.01 per share, and 2,970,171 shares of the registrant’s Class B Voting Common Stock, par value $.01 per share, were outstanding.


Table of Contents

EZCORP, Inc.
INDEX TO FORM 10-Q
 
 
 
 
 
 
1
 
 
2
 
 
3
 
 
3
 
 
5
 
 
6
 
 
6
 
 
10
 
 
11
 
 
12
 
 
13
 
 
15
 
 
18
 
 
18
 
 
20
 
 
24
 
 
24
 
 
42
 
 
42
 
 
 
 
 
43
 
 
44
 
 
44
 
 
45


Table of Contents

PART I — FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
EZCORP, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share amounts)
 
June 30,
2019
 
June 30,
2018
 
September 30,
2018
 
 
 
 
 
 
 
(Unaudited)
 
 
Assets:
 
 
 
 
 
Current assets:
 
 
 
 
 
Cash and cash equivalents
$
138,922

 
$
284,493

 
$
285,311

Pawn loans
190,299

 
183,054

 
198,463

Pawn service charges receivable, net
29,847

 
26,439

 
30,959

Inventory, net
175,802

 
151,145

 
166,997

Notes receivable, net
16,166

 
37,906

 
34,199

Prepaid expenses and other current assets
37,365

 
43,708

 
33,456

Total current assets
588,401

 
726,745

 
749,385

Investments in unconsolidated affiliates
30,922

 
61,056

 
49,500

Property and equipment, net
66,214

 
71,587

 
73,649

Goodwill
300,700

 
294,335

 
299,248

Intangible assets, net
63,646

 
59,678

 
54,923

Notes receivable, net
10,912

 
13,432

 
3,226

Deferred tax asset, net
3,956

 
6,146

 
7,986

Other assets
4,472

 
3,575

 
3,863

Total assets
$
1,069,223

 
$
1,236,554

 
$
1,241,780

 
 
 
 
 
 
Liabilities and equity:
 
 
 
 
 
Current liabilities:
 
 
 
 
 
Current maturities of long-term debt, net
$
215

 
$
195,796

 
$
190,181

Accounts payable, accrued expenses and other current liabilities
59,981

 
61,595

 
57,958

Customer layaway deposits
12,750

 
11,938

 
11,824

Total current liabilities
72,946

 
269,329

 
259,963

Long-term debt, net
235,449

 
222,897

 
226,702

Deferred tax liability, net
7,522

 
4,285

 
8,817

Other long-term liabilities
5,990

 
7,458

 
6,890

Total liabilities
321,907

 
503,969

 
502,372

Commitments and contingencies (Note 8)


 


 


Stockholders’ equity:
 
 
 
 
 
Class A Non-voting Common Stock, par value $.01 per share; shares authorized: 100 million; issued and outstanding: 52,475,070 as of June 30, 2019; 51,494,246 as of June 30, 2018; and 51,614,746 as of September 30, 2018
524

 
515

 
516

Class B Voting Common Stock, convertible, par value $.01 per share; shares authorized: 3 million; issued and outstanding: 2,970,171
30

 
30

 
30

Additional paid-in capital
404,880

 
395,428

 
397,927

Retained earnings
389,808

 
388,014

 
386,622

Accumulated other comprehensive loss
(47,926
)
 
(47,712
)
 
(42,356
)
EZCORP, Inc. stockholders’ equity
747,316

 
736,275

 
742,739

Noncontrolling interest

 
(3,690
)
 
(3,331
)
Total equity
747,316

 
732,585

 
739,408

Total liabilities and equity
$
1,069,223

 
$
1,236,554

 
$
1,241,780

See accompanying notes to unaudited interim condensed consolidated financial statements.

1

Table of Contents

EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
 
Three Months Ended June 30,
 
Nine Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
 
 
 
 
 
 
 
 
 
(Unaudited)
 
(in thousands, except per share amounts)
Revenues:
 
 
 
 
 
 
 
Merchandise sales
$
103,902

 
$
104,737

 
$
346,186

 
$
333,270

Jewelry scrapping sales
18,212

 
20,428

 
37,873

 
44,166

Pawn service charges
78,980

 
72,544

 
244,298

 
222,597

Other revenues
1,371

 
1,903

 
4,533

 
6,147

Total revenues
202,465

 
199,612

 
632,890

 
606,180

Merchandise cost of goods sold
70,271

 
66,896

 
225,183

 
210,283

Jewelry scrapping cost of goods sold
15,765

 
17,625

 
32,648

 
37,536

Other cost of revenues
576

 
349

 
1,467

 
1,273

Net revenues
115,853

 
114,742

 
373,592

 
357,088

Operating expenses:
 
 
 
 
 
 
 
Operations
84,727

 
82,932

 
261,756

 
248,758

Administrative
15,053

 
13,268

 
46,795

 
39,688

Depreciation and amortization
7,254

 
6,124

 
21,114

 
18,298

Loss on sale or disposal of assets and other
24

 
314

 
3,643

 
453

Total operating expenses
107,058

 
102,638

 
333,308

 
307,197

Operating income
8,795

 
12,104

 
40,284

 
49,891

Interest expense
9,832

 
7,394

 
27,212

 
19,070

Interest income
(3,172
)
 
(4,358
)
 
(9,637
)
 
(12,896
)
Equity in net income of unconsolidated affiliates
(1,320
)
 
(1,151
)
 
(632
)
 
(3,477
)
Impairment of investment in unconsolidated affiliates

 

 
19,725

 

Other income
(4
)
 
(5,287
)
 
(121
)
 
(5,473
)
Income from continuing operations before income taxes
3,459

 
15,506

 
3,737

 
52,667

Income tax expense
98

 
1,502

 
1,377

 
14,710

Income from continuing operations, net of tax
3,361

 
14,004

 
2,360

 
37,957

(Loss) income from discontinued operations, net of tax
(203
)
 
91

 
(404
)
 
(631
)
Net income
3,158

 
14,095

 
1,956

 
37,326

Net loss attributable to noncontrolling interest

 
(359
)
 
(1,230
)
 
(1,348
)
Net income attributable to EZCORP, Inc.
$
3,158

 
$
14,454

 
$
3,186

 
$
38,674

 
 
 
 
 
 
 
 
Basic earnings per share attributable to EZCORP, Inc. — continuing operations
$
0.06

 
$
0.26

 
$
0.06

 
$
0.72

Diluted earnings per share attributable to EZCORP, Inc. — continuing operations
$
0.06

 
$
0.25

 
$
0.06

 
$
0.69

 
 
 
 
 
 
 
 
Weighted-average basic shares outstanding
55,445

 
54,464

 
55,306

 
54,453

Weighted-average diluted shares outstanding
55,487

 
57,954

 
55,327

 
57,080

See accompanying notes to unaudited interim condensed consolidated financial statements.

2

Table of Contents

EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
 
Three Months Ended June 30,
 
Nine Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
 
 
 
 
 
 
 
 
 
(Unaudited)
 
(in thousands)
Net income
$
3,158

 
$
14,095

 
$
1,956

 
$
37,326

Other comprehensive gain (loss):
 
 
 
 
 
 
 
Foreign currency translation gain (loss), net of income tax expense (benefit) for our investment in unconsolidated affiliate of $45 and ($470) for the three and nine months ended June 30, 2019 respectively, and ($135) and $76 for the three and nine months ended June 30, 2018, respectively.
2,024

 
(7,464
)
 
(5,570
)
 
(7,993
)
Comprehensive income
5,182

 
6,631

 
(3,614
)
 
29,333

Comprehensive loss attributable to noncontrolling interest


(358
)
 
(1,230
)

(1,241
)
Comprehensive income attributable to EZCORP, Inc.
$
5,182

 
$
6,989

 
$
(2,384
)
 
$
30,574

See accompanying notes to unaudited interim condensed consolidated financial statements.
EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
 
Common Stock
 
Additional
Paid-in
Capital
 
Retained
Earnings
 
Accumulated
Other
Comprehensive (Loss) Income
 
Noncontrolling Interest
 
Total Equity
 
Shares
 
Par Value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(Unaudited, except balances as of September 30, 2017)
 
(in thousands)
Balances as of September 30, 2017
54,398

 
$
544

 
$
348,532

 
$
347,885

 
$
(38,157
)
 
$
(2,449
)
 
$
656,355

Stock compensation

 

 
2,889

 

 

 

 
2,889

Release of restricted stock
66

 
1

 

 

 

 

 
1

Taxes paid related to net share settlement of equity awards

 

 
(311
)
 

 

 

 
(311
)
Foreign currency translation loss

 

 

 

 
(6,434
)
 
(40
)
 
(6,474
)
Net income (loss)

 

 

 
12,639

 

 
(615
)
 
12,024

Balances as of December 31, 2017
54,464

 
$
545

 
$
351,110

 
$
360,524

 
$
(44,591
)
 
$
(3,104
)
 
$
664,484

Stock compensation

 

 
2,588

 

 

 

 
2,588

Reclassification of stranded tax effects resulting from the Tax Cuts and Jobs Act

 

 

 
1,455

 
(1,455
)
 

 

Foreign currency translation gain

 

 

 

 
5,799

 
146

 
5,945

Net income (loss)

 

 

 
11,581

 

 
(374
)
 
11,207

Balances as of March 31, 2018
54,464

 
$
545

 
$
353,698

 
$
373,560

 
$
(40,247
)
 
$
(3,332
)
 
$
684,224

Stock compensation

 

 
2,673

 

 

 

 
2,673

Foreign currency translation (loss) gain

 

 

 

 
(7,465
)
 
1

 
(7,464
)
Equity portion of convertible notes

 

 
39,057

 

 

 

 
39,057

Net income (loss)

 

 

 
14,454

 

 
(359
)
 
14,095

Balances as of June 30, 2018
54,464

 
$
545

 
$
395,428

 
$
388,014

 
$
(47,712
)
 
$
(3,690
)
 
$
732,585


3

Table of Contents

 
Common Stock
 
Additional
Paid-in
Capital
 
Retained
Earnings
 
Accumulated
Other
Comprehensive Loss
 
Noncontrolling Interest
 
Total Equity
 
Shares
 
Par Value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(Unaudited, except balances as of September 30, 2018)
 
(in thousands)
Balances as of September 30, 2018
54,585

 
$
546

 
$
397,927

 
$
386,622

 
$
(42,356
)
 
$
(3,331
)
 
$
739,408

Stock compensation

 

 
2,247

 

 

 

 
2,247

Release of restricted stock
860

 
8

 

 

 

 

 
8

Taxes paid related to net share settlement of equity awards

 

 
(3,288
)
 

 

 

 
(3,288
)
Transfer of subsidiary shares to noncontrolling interest

 

 
3,195

 

 

 
(3,195
)
 

Foreign currency translation loss

 

 

 

 
(6,383
)
 

 
(6,383
)
Net loss

 

 

 
(3,366
)
 

 
(477
)
 
(3,843
)
Balances as of December 31, 2018
55,445

 
$
554

 
$
400,081

 
$
383,256

 
$
(48,739
)
 
$
(7,003
)
 
$
728,149

Stock compensation

 

 
2,424

 

 

 

 
2,424

Deconsolidation of subsidiary

 

 

 

 

 
7,756

 
7,756

Foreign currency translation loss

 

 

 

 
(1,211
)
 

 
(1,211
)
Net income (loss)

 

 

 
3,394

 

 
(753
)
 
2,641

Balances as of March 31, 2019
55,445

 
$
554

 
$
402,505

 
$
386,650

 
$
(49,950
)
 
$

 
$
739,759

Stock compensation

 

 
2,375

 

 

 

 
2,375

Foreign currency translation gain

 

 

 

 
2,024

 

 
2,024

Net income

 

 

 
3,158

 

 

 
3,158

Balances as of June 30, 2019
55,445

 
$
554

 
$
404,880

 
$
389,808

 
$
(47,926
)
 
$

 
$
747,316

See accompanying notes to unaudited interim condensed consolidated financial statements.

4

Table of Contents

EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
 
Nine Months Ended June 30,
 
2019
 
2018
 
 
 
 
 
(Unaudited)
 
(in thousands)
Operating activities:
 
 
 
Net income
$
1,956

 
$
37,326

Adjustments to reconcile net income to net cash flows from operating activities:
 
 
 
Depreciation and amortization
21,114

 
18,298

Amortization of debt discount and deferred financing costs
16,613

 
12,126

Accretion of notes receivable discount and deferred compensation fee
(3,788
)
 
(7,222
)
Deferred income taxes
5,003

 
3,135

Impairment of investment in unconsolidated affiliate
19,725

 

Other adjustments
1,875

 
1,948

Reserve on jewelry scrap receivable
3,646

 

Stock compensation expense
7,036

 
8,216

Income from investment in unconsolidated affiliates
(632
)
 
(3,477
)
Changes in operating assets and liabilities, net of business acquisitions:
 
 
 
Service charges and fees receivable
1,301

 
2,609

Inventory
1,377

 
988

Prepaid expenses, other current assets and other assets
(4,194
)
 
(3,356
)
Accounts payable, accrued expenses and other liabilities
(1,477
)
 
(4,624
)
Customer layaway deposits
949

 
935

Income taxes, net of excess tax benefit from stock compensation
(5,527
)
 
2,419

Net cash provided by operating activities
64,977

 
69,321

Investing activities:
 
 
 
Loans made
(542,512
)
 
(512,914
)
Loans repaid
328,079

 
318,636

Recovery of pawn loan principal through sale of forfeited collateral
211,979

 
202,078

Additions to property and equipment, net
(24,568
)
 
(33,917
)
Acquisitions, net of cash acquired
(8,116
)
 
(93,165
)
Investment in unconsolidated affiliate

 
(14,036
)
Principal collections on notes receivable
21,900

 
16,210

Net cash used in investing activities
(13,238
)
 
(117,108
)
Financing activities:
 
 
 
Taxes paid related to net share settlement of equity awards
(3,288
)
 
(311
)
Proceeds from borrowings, net of issuance costs
1,064

 
170,496

Payments on borrowings
(195,877
)
 
(28
)
Net cash (used in) provided by financing activities
(198,101
)
 
170,157

Effect of exchange rate changes on cash and cash equivalents and restricted cash
(294
)
 
(1,493
)
Net (decrease) increase in cash, cash equivalents and restricted cash
(146,656
)
 
120,877

Cash, cash equivalents and restricted cash at beginning of period
285,578

 
163,868

Cash, cash equivalents and restricted cash at end of period
$
138,922

 
$
284,745

 
 
 
 
Non-cash investing and financing activities:
 
 
 
Pawn loans forfeited and transferred to inventory
$
221,940

 
$
197,163


See accompanying notes to unaudited interim condensed consolidated financial statements.

5

Table of Contents

EZCORP, Inc.
Notes to Interim Condensed Consolidated Financial Statements (Unaudited)
June 30, 2019
NOTE 1: ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description of Business
When used in this report, the terms “we,” “us,” “our,” “EZCORP” and the “Company” mean EZCORP, Inc. and its consolidated subsidiaries, collectively.
We are a leading provider of pawn loans in the United States and Latin America. Pawn loans are non-recourse loans collateralized by tangible property. We also sell merchandise, primarily collateral forfeited from pawn lending operations and used merchandise purchased from customers, and operate a small number of financial services stores in Canada.
Basis of Presentation
The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles for complete financial statements. Our management has included all adjustments it considers necessary for a fair presentation which are of a normal, recurring nature. All intercompany accounts and transactions have been eliminated in consolidation.
The accompanying financial statements should be read in conjunction with the consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended September 30, 2018 and as corrected below. The balance sheet as of September 30, 2018 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by GAAP for complete financial statements.
Our business is subject to seasonal variations, and operating results for the three and nine months ended June 30, 2019 and 2018 (the "current quarter" and "current year-to-date period" and "prior-year quarter" and "prior-year nine-months," respectively) are not necessarily indicative of the results of operations for the full fiscal year.
There have been no changes in significant accounting policies as described in our Annual Report on Form 10-K for the year ended September 30, 2018, other than those described below.
Use of Estimates and Assumptions
The preparation of these financial statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. On an ongoing basis, we evaluate our estimates and judgments, including those related to revenue recognition, inventories, loan loss allowances, long-lived and intangible assets, share-based compensation, income taxes, contingencies and litigation. We base our estimates on historical experience, observable trends and various other assumptions that we believe are reasonable under the circumstances. We use this information to make judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ materially from these estimates under different assumptions or conditions.

6


Corrections to Prior Period Financial Statements
During the second quarter of fiscal 2019, we identified errors in our previously reported financial statements during the ordinary course of account reviews and subsequent investigation of related accounts. None of the identified errors was material to any previously reported period. These have now been corrected in all periods presented. The errors related primarily to the overstatement of historical balances of pawn service charges receivable resulting from errors in the configuration of information technology reports. These errors resulted in an overstatement of October 1, 2017 beginning retained earnings of $3.8 million. The impact of these corrections on the condensed consolidated financial statements is as follows (in thousands except per share amounts):
Condensed Consolidated Balance Sheets
 
June 30, 2018
 
As Previously Reported
 
Corrections
 
As Corrected
 
 
 
 
 
 
Cash and cash equivalents
$
285,031

 
$
(538
)
 
$
284,493

Pawn service charges receivable, net
33,388

 
(6,949
)
 
26,439

Prepaid expenses and other current assets
43,448

 
260

 
43,708

Goodwill
292,544

 
1,791

 
294,335

Deferred tax asset, net
616

 
1,245

 
1,861

Accounts payable, accrued expenses and other current liabilities
61,813

 
(218
)
 
61,595

Retained earnings
392,315

 
(4,301
)
 
388,014

Accumulated other comprehensive loss
(48,040
)
 
328

 
(47,712
)
Condensed Consolidated Statements of Operations
 
Three Months Ended June 30, 2018
 
As Previously Reported
 
Corrections
 
As Corrected
 
 
 
 
 
 
Pawn service charges
$
72,874

 
$
(330
)
 
$
72,544

Operations expense
83,032

 
(100
)
 
82,932

Income from continuing operations before income taxes
15,736

 
(230
)
 
15,506

Income tax expense
1,553

 
(51
)
 
1,502

Income from continuing operations, net of tax
14,183

 
(179
)
 
14,004

Basic earnings per share attributable to EZCORP, Inc. — continuing operations
$
0.27

 
$
(0.01
)
 
$
0.26

Diluted earnings per share attributable to EZCORP, Inc. — continuing operations
$
0.25

 
$

 
$
0.25

 
Nine Months Ended June 30, 2018
 
As Previously Reported
 
Corrections
 
As Corrected
 
 
 
 
 
 
Pawn service charges
$
223,601

 
$
(1,004
)
 
$
222,597

Operations expense
248,802

 
(44
)
 
248,758

Administrative expense
39,927

 
(239
)
 
39,688

Income from continuing operations before income taxes
53,388

 
(721
)
 
52,667

Income tax expense
14,911

 
(201
)
 
14,710

Income from continuing operations, net of tax
38,477

 
(520
)
 
37,957

Basic earnings per share attributable to EZCORP, Inc. — continuing operations
$
0.73

 
$
(0.01
)
 
$
0.72

Diluted earnings per share attributable to EZCORP, Inc. — continuing operations
$
0.70

 
$
(0.01
)
 
$
0.69


7


Condensed Consolidated Statements of Cash Flows
 
Nine Months Ended June 30, 2018
 
As Previously Reported
 
Corrections
 
As Corrected
 
 
 
 
 
 
Net income
$
37,846

 
$
(520
)
 
$
37,326

Service charges and fees receivable
1,601

 
1,008

 
2,609

Accounts payable, accrued expenses and other liabilities
(4,245
)
 
(379
)
 
(4,624
)
Income taxes, net of excess tax benefit from stock compensation
2,586

 
(167
)
 
2,419

Net cash provided by operating activities*
69,379

 
(58
)
 
69,321

Effect of exchange rate changes on cash and cash equivalents and restricted cash
(1,541
)
 
48

 
(1,493
)

*
As previously reported amount includes the impact of adoption of accounting policies described below.
Recently Adopted Accounting Policies
In August 2018, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2018-15, Intangibles — Goodwill and Other — Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract, which requires a customer in a cloud computing arrangement that is a service contract to follow the internal-use software guidance in Accounting Standards Codification ("ASC") 350-40 to determine which implementation costs to defer and recognize as an asset. This ASU generally aligns the guidance on recognizing implementation costs incurred in a cloud computing arrangement that is a service contract with that for implementation costs incurred to develop or obtain internal-use software, including hosting arrangements that include an internal-use software license. Our hosting arrangements that are service contracts include various third-party software applications. We adopted this ASU during the first quarter of fiscal 2019 on a prospective basis for all service contracts entered into after adoption, with no material impact upon adoption.
In November 2016, the FASB issued ASU 2016-18 Statement of Cash Flows (Topic 230): Restricted Cash. This ASU requires the inclusion of restricted cash with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. We adopted this ASU during the first quarter of fiscal 2019 with no impact on our financial position or results of operations. However, we have recast our statements of cash flows on a retrospective basis to include restricted cash when reconciling the beginning-of-period and end-of-period total amounts.
In August 2016, the FASB issued ASU 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. This ASU provides guidance on eight specific cash flow issues. We adopted this ASU during the first quarter of fiscal 2019 on a prospective basis with no impact on our financial position, results of operations or cash flows.
In May 2016, the FASB issued ASU 2016-01, Financial Instruments (Subtopic 825-10). The amendments in this ASU make targeted improvements to GAAP primarily as it pertains to equity investments (not including equity method of accounting), fair value disclosures, balance sheet presentation, and other items pertaining to financial instruments. We adopted this ASU during the first quarter of fiscal 2019 on a prospective basis, as applicable, with no impact on our financial position, results of operations or cash flows upon adoption.
In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606) to defer the effective date to December 15, 2017 for annual reporting periods beginning after that date, with early adoption permitted, but not before the original effective date of December 15, 2016. The core principle of this ASU, and the subsequently issued ASUs modifying or clarifying this ASU, is that an entity should recognize revenue 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. To achieve this core principle, the guidance provides that an entity should apply the following steps: (1) identify the contract(s) with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, the entity satisfies a performance obligation. The new standard allows for two methods of adoption: (a) full retrospective adoption, meaning the standard is applied to all periods presented, or (b) modified retrospective adoption, meaning the cumulative effect of applying the new standard is recognized as an adjustment to the opening retained earnings balance.

8


We adopted this ASU and related guidance as of October 1, 2018 using the modified retrospective method. We evaluated the impact of ASC 606 on our consolidated financial position, results of operations, cash flows and disclosure requirements noting no material impact to our consolidated financial statements or disclosures. See Note 9 for disaggregated information about our sources of revenue. Additionally, we have concluded that ASC 606 does not impact our revenue recognition for pawn service charges or consumer loan fees as we believe neither of those revenue streams are within the scope of ASC 606.
The following is a summary of our current revenue recognition policies.
Pawn Service Charges Revenue
We record pawn service charges using the effective interest method over the life of the loan for all pawn loans we believe to be collectible. We base our estimate of collectible loans on several inputs, including recent redemption rates, historical trends in redemption rates and the amount of loans due in the following months. Unexpected variations in any of these factors could change our estimate of collectible loans, affecting our earnings and financial condition. If a pawn loan is not repaid, we value the forfeited collateral (inventory) at the lower of cost (pawn loan principal) or net realizable value of the item.
Merchandise and Related Sales Revenue
This revenue stream involves the sale of merchandise to retail customers in our pawn stores. The performance obligation is the delivery of the merchandise to the customer. Revenue and the related cost of merchandise sold is recognized at the time of sale. Customers have a limited period of time to return merchandise for a refund or exchange, and actual returns for refunds are insignificant. Sales and value added tax collected on the sale of merchandise is excluded from the amount recognized as sales and instead recorded as a liability in “Accounts payable, accrued expenses and other current liabilities” in our condensed consolidated balance sheets until remitted to the appropriate governmental authorities.
Jewelry Scrapping Sales Revenue
This revenue stream involves the sales of scrap (precious metals and stones) to refiners. The performance obligation is the legal transfer of scrap to the refiner. Revenue, and the related cost of scrap sold, is recognized when scrap inventory is provided to the refiner, which is when the customer obtains control of the promised good. The receivables outstanding at the end of a given reporting period are not material. Payment of the receivable from the customer is generally received within a short period of time after the legal transfer of the scrap materials to the refiner.
Other Revenue
Layaway fees, product protection plan revenues, and jewelry VIP package revenues are not significant.
Recently Issued Accounting Pronouncements
In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This ASU, along with subsequently issued related ASUs, requires financial assets (or groups of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected, among other provisions. The provisions of this ASU are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A reporting entity should generally apply the amendment on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting periods in which the amendment is effective. We have not identified any impacts to our financial statements that we believe will be material as a result of the adoption of the ASU, although we continue to evaluate the impact of adoption. We believe we are following an appropriate timeline to allow for proper recognition, presentation and disclosure upon adoption of this ASU which is effective for fiscal 2021.
In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This ASU requires companies to generally recognize on the balance sheet operating and financing lease liabilities and corresponding right-of-use assets. The provisions of this ASU are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted based upon guidance issued within the ASU. We are in the process of evaluating the impact of adopting ASU 2016-02 on our consolidated financial position, results of operations and cash flows, and anticipate a material impact on our consolidated financial position. Additionally, we are evaluating the disclosure requirements under this ASU and are identifying and preparing to implement changes to our accounting policies, practices and controls to support adoption of the ASU and have completed upgrades to our third-party

9


software solution to support adoption. We will complete our implementation to allow for proper recognition, presentation and disclosure upon adoption of the ASU which is effective for fiscal 2020. We currently plan to adopt this ASU using the optional transition method provided under ASU 2018-11, Leases, (Topic 842): Targeted Improvement which was issued in July 2018, allowing for application of ASU 2016-02 at the adoption date.
Please refer to Note 1 of Notes to Consolidated Financial Statements included in "Part II, Item 8 — Financial Statements and Supplementary Data" of our Annual Report on Form 10-K for the year ended September 30, 2018 for discussion of our significant accounting policies and other accounting pronouncements issued but not yet adopted.
NOTE 2: ACQUISITIONS
Fiscal 2019 Acquisitions
In June 2019, we acquired assets related to seven pawn stores operating under the name "Metro Pawn" in Nevada, entering the Reno market and expanding our presence in the Las Vegas metropolitan area, for an aggregate purchase price of $7.0 million in cash, of which $3.6 million was recorded as goodwill. In December 2018, we acquired assets related to five pawn stores in Mexico, for an aggregate purchase price of $0.3 million in cash, of which $0.1 million was recorded as goodwill. We have concluded that these acquisitions were immaterial to our overall consolidated financial results and, therefore, have omitted certain information that would otherwise be required.
Fiscal 2018 Acquisition of Camira Administration Corp. and Subsidiaries (“GPMX”)
On October 6, 2017, we completed the acquisition of 100% of the outstanding stock of Camira Administration Corp. and subsidiaries (“GPMX”), a business that, at the time, owned and operated 112 stores located in Guatemala, El Salvador, Honduras and Peru for a total purchase price of $61.7 million. The GPMX acquisition significantly expanded our store base into Latin American countries outside of Mexico and provides us with a platform for further growth in the region. The accompanying condensed consolidated results of operations for the current year-to-date period include the results of operations for GPMX, while the comparable prior-year period includes the results of GPMX for the period October 6, 2017 to June 30, 2018, affecting comparability of fiscal 2019 and 2018 year-to-date amounts. We have performed a valuation analysis of identifiable assets acquired and liabilities assumed and allocated the total consideration based on the fair values of those identifiable assets and liabilities.
All Other Fiscal 2018 Acquisitions
On June 25, 2018, June 11, 2018 and December 4, 2017, we acquired pawn stores operating in Mexico under the names “Montepio San Patricio,” "Presta Dinero" and "Bazareño," respectively. These acquisitions significantly strengthened our competitive position in existing regions, gave us a presence in new regions and allowed us to achieve synergies in management and administration. The accompanying condensed consolidated results of operations for the current year-to-date period include the results of operations for these acquisitions, while the comparable prior-year periods only include the results of Bazareño for the period December 4, 2017 to June 30, 2018, affecting comparability of fiscal 2019 and 2018 amounts.
We have performed a valuation analysis of identifiable assets acquired and liabilities assumed and allocated the total consideration based on the fair values of those identifiable assets and liabilities for these acquisitions. During the first quarter of fiscal 2019, we finalized accounting for the Montepio San Patricio and Presta Dinero acquisitions, which were completed in fiscal 2018, and increased associated deferred tax assets by $1.8 million with an offsetting reduction in goodwill.

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NOTE 3: EARNINGS PER SHARE
Components of basic and diluted earnings per share and excluded antidilutive potential common shares are as follows:
 
Three Months Ended June 30,
 
Nine Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
 
 
 
 
 
 
 
 
 
(in thousands, except per share amounts)
Net income from continuing operations attributable to EZCORP (A)
$
3,361

 
$
14,363

 
$
3,590

 
$
39,305

(Loss) income from discontinued operations, net of tax (B)
(203
)
 
91

 
(404
)
 
(631
)
Net income attributable to EZCORP (C)
$
3,158

 
$
14,454

 
$
3,186

 
$
38,674

 
 
 
 
 
 
 
 
Weighted-average outstanding shares of common stock (D)
55,445

 
54,464

 
55,306

 
54,453

Dilutive effect of restricted stock and 2024 Convertible Notes*
42

 
3,490

 
21

 
2,627

Weighted-average common stock and common stock equivalents (E)
55,487


57,954


55,327


57,080

 
 
 
 
 
 
 
 
Basic earnings per share attributable to EZCORP:
 
 
 
 
 
 
 
Continuing operations (A / D)
$
0.06

 
$
0.26

 
$
0.06

 
$
0.72

Discontinued operations (B / D)

 

 

 
(0.01
)
Basic earnings per share (C / D)
$
0.06

 
$
0.26

 
$
0.06

 
$
0.71

 
 
 
 
 
 
 
 
Diluted earnings per share attributable to EZCORP:
 
 
 
 
 
 
 
Continuing operations (A / E)
$
0.06

 
$
0.25

 
$
0.06

 
$
0.69

Discontinued operations (B / E)

 

 

 
(0.01
)
Diluted earnings per share (C / E)
$
0.06

 
$
0.25

 
$
0.06

 
$
0.68

 
 
 
 
 
 
 
 
Potential common shares excluded from the calculation of diluted earnings per share above*:
 
 
 
 
 
 
 
Restricted stock**
2,891

 
3,569

 
2,804

 
3,375


*
See Note 6 for discussion of the terms and conditions of the potential impact of the 2019 Convertible Notes Warrants, 2024 Convertible Notes and 2025 Convertible Notes.
**
Includes antidilutive share-based awards as well as performance-based and market conditioned share-based awards that are contingently issuable, but for which the condition for issuance has not been met as of the end of the reporting period.

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NOTE 4: STRATEGIC INVESTMENTS
As of June 30, 2019, we owned 214,183,714 shares, or approximately 34.75%, of Cash Converters International Limited ("Cash Converters International"). The following tables present summary financial information for Cash Converters International’s most recently reported results after translation to U.S. dollars:
 
December 31,
 
2018
 
2017
 
 
 
 
 
(in thousands)
Current assets
$
172,836

 
$
203,664

Non-current assets
151,492

 
151,189

Total assets
$
324,328

 
$
354,853

 
 
 
 
Current liabilities
$
81,165

 
$
128,731

Non-current liabilities
22,109

 
14,559

Shareholders’ equity
221,054

 
211,563

Total liabilities and shareholders’ equity
$
324,328

 
$
354,853

 
Half-Year Ended December 31,
 
2018
 
2017
 
 
 
 
 
(in thousands)
Gross revenues
$
99,390

 
$
95,784

Gross profit
56,884

 
63,212

Net (loss) profit
(3,791
)
 
7,292


Through the first three quarters of fiscal 2019, the fair value of our investment in Cash Converters International, as estimated by reference to its quoted market price per share and the applicable foreign currency exchange rate, declined from its value at September 30, 2018 and ended each quarter below its carrying value. As of March 31, 2019 and December 31, 2018, we determined that our investment was impaired and that such impairment was "other-than-temporary." In reaching this conclusion, we considered all available evidence, including evidence in existence as of September 30, 2018 as discussed in Note 4 of Notes to Consolidated Financial Statements included in "Part II, Item 8 — Financial Statements and Supplementary Data" of our Annual Report on Form 10-K for the year ended September 30, 2018. Additionally, we noted the following developments subsequent to September 30, 2018: (i) continued decline in Cash Converters International's share price; and (ii) ongoing uncertainty around the remaining Queensland, Australia class action lawsuit. As a result, we recognized "other-than-temporary" impairments in Cash Converters International of $13.3 million ($10.3 million, net of taxes) and $6.5 million ($5.0 million, net of taxes) during the first and second quarters of fiscal 2019, respectively. As of June 30, 2019, we determined that our investment was impaired by $3.8 million and that such impairment was not "other-than-temporary." In reaching this conclusion, we considered all available evidence including primarily the time and extent to which our investment was impaired during the current quarter. Should the value of our investment continue to decline further, we may record additional impairments.
The above impairments increased the difference between the amount at which our investment was carried and the amount of underlying equity in net assets of Cash Converters International and was recorded in “Impairment of investment in unconsolidated affiliate” in our condensed consolidated statements of operations in the “Other International” segment. We will continue to monitor the fair value of our investment in Cash Converters International for "other-than-temporary" impairments in future reporting periods and may record additional impairment charges should the fair value of our investment in Cash Converters International further decline below its carrying value for an extended period of time. See Note 5 for the fair value and carrying value of our investment in Cash Converters International.

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NOTE 5: FAIR VALUE MEASUREMENTS
Our assets and liabilities discussed below are classified in one of the following three categories based on the inputs used to develop their fair values: Level 1 — Quoted market prices in active markets for identical assets or liabilities; Level 2 — Other observable market-based inputs or unobservable inputs that are corroborated by market data; and Level 3 — Unobservable inputs that are not corroborated by market data.
Recurring Fair Value Measurements
The tables below present our financial assets (liabilities) that were carried and measured at fair value on a recurring basis:
Financial Assets (Liabilities)
 
Balance Sheet Location
 
June 30, 2019
 
June 30, 2018
 
September 30, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
(in thousands)
2019 Convertible Notes Hedges — Level 2
 
Prepaid expenses and other current assets
 
$

 
$
7,491

 
$
2,552

2019 Convertible Notes Embedded Derivative — Level 2
 
Current maturities of long-term debt, net
 

 
(7,491
)
 
(2,552
)

We repaid our outstanding 2.125% Cash Convertible Senior Notes Due 2019 in June 2019 with expiration of the associated cash-settled call options (the “2019 Convertible Notes Hedges”) and the 2019 Convertible Notes derivative instrument (the “2019 Convertible Notes Embedded Derivative”).
There were no transfers in or out of Level 1, Level 2 or Level 3 for financial assets or liabilities measured at fair value on a recurring basis during the periods presented.
Financial Assets and Liabilities Not Measured at Fair Value
The tables below present our financial assets and liabilities that were not measured at fair value on a recurring basis:
 
 
Carrying Value
 
Estimated Fair Value
 
 
June 30, 2019
 
June 30, 2019
 
Fair Value Measurement Using
 
 
Level 1
 
Level 2
 
Level 3
 
 
 
 
 
 
 
 
 
 
 
 
 
(in thousands)
Financial assets:
 
 
 
 
 
 
 
 
 
 
Notes receivable from Grupo Finmart, net
 
$
18,744

 
$
19,517

 
$

 
$

 
$
19,517

Zero-coupon convertible promissory note due January 2021
 
7,226

 
7,226

 

 

 
7,226

2.89% promissory note receivable due April 2024
 
1,108

 
1,108

 

 

 
1,108

Investments in unconsolidated affiliates
 
30,922

 
27,158

 
24,464

 

 
2,694

 
 
 
 
 
 
 
 
 
 
 
Financial liabilities:
 
 
 
 
 
 
 
 
 
 
2024 Convertible Notes
 
$
109,909

 
$
161,719

 
$

 
$
161,719

 
$

2025 Convertible Notes
 
124,542

 
159,873

 

 
159,873

 

8.5% unsecured debt due 2024
 
1,148

 
1,148

 

 

 
1,148

CASHMAX secured borrowing facility
 
65

 
804

 

 

 
804



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Carrying Value
 
Estimated Fair Value
 
 
June 30, 2018
 
June 30, 2018
 
Fair Value Measurement Using
 
 
Level 1
 
Level 2
 
Level 3
 
 
 
 
 
 
 
 
 
 
 
 
 
(in thousands)
Financial assets:
 
 
 
 
 
 
 
 
 
 
Notes receivable from Grupo Finmart, net
 
$
51,338

 
$
57,116

 
$

 
$

 
$
57,116

Investments in unconsolidated affiliates
 
61,056

 
49,205

 
49,205

 

 

 
 
 
 
 
 
 
 
 
 
 
Financial liabilities:
 
 
 
 
 
 
 
 
 
 
2019 Convertible Notes
 
$
184,823

 
$
197,925

 
$

 
$
197,925

 
$

2024 Convertible Notes
 
104,562

 
195,974

 

 
195,974

 

2025 Convertible Notes
 
118,335

 
168,464

 

 
168,464

 

 
 
Carrying Value
 
Estimated Fair Value
 
 
September 30, 2018
 
September 30, 2018
 
Fair Value Measurement Using
 
 
Level 1
 
Level 2
 
Level 3
 
 
 
 
 
 
 
 
 
 
 
 
 
(in thousands)
Financial assets:
 
 
 
 
 
 
 
 
 
 
Notes receivable from Grupo Finmart, net
 
$
37,425

 
$
41,153

 
$

 
$

 
$
41,153

Investments in unconsolidated affiliates
 
49,500

 
49,500

 
49,500

 

 

 
 
 
 
 
 
 
 
 
 
 
Financial liabilities:
 
 
 
 
 
 
 
 
 
 
2019 Convertible Notes
 
$
187,433

 
$
189,150

 
$

 
$
189,150

 
$

2024 Convertible Notes
 
105,858

 
180,399

 

 
180,399

 

2025 Convertible Notes
 
119,736

 
161,253

 

 
161,253

 

8.5% unsecured debt due 2024
 
1,304

 
1,304

 

 

 
1,304


Based primarily on the short-term nature of cash and cash equivalents, pawn loans, pawn service charges receivable, current consumer loans, fees and interest receivable and other debt, we estimate that their carrying value approximates fair value. We consider our cash and cash equivalents to be measured using Level 1 inputs and our pawn loans, pawn service charges receivable, consumer loans, fees and interest receivable and other debt to be measured using Level 3 inputs. Significant increases or decreases in the underlying assumptions used to value pawn loans, pawn service charges receivable, consumer loans, fees and interest receivable and other debt could significantly increase or decrease these fair value estimates.
In March 2019, we deconsolidated a previously consolidated variable interest entity ("RDC") over which we no longer have the power to direct the activities that most significantly affect its economic performance. After the deconsolidation, we continue to hold the following interests in RDC:
A 5% equity interest and a call option to repurchase an additional 43% equity interest for $1 in September 2019 in the event that RDC has not received a qualified third party investment. These interests were recorded at a combined fair value of $2.8 million and included in "Investment in unconsolidated affiliates" in our condensed consolidated balance sheets.
A $9.1 million non-interest bearing convertible promissory note due January 2021, which is automatically convertible into a 10% equity interest when RDC has received a qualified third party investment. This note was recorded at its fair value of $6.8 million in "Notes receivable, net" in our condensed consolidated balance sheets and will accrete to par value through maturity unless converted.
In conjunction with the deconsolidation and recording of the above amounts, we recognized a loss of $0.3 million, included in "Other income" in our condensed consolidated statements of operations included in our "Other International" segment and in "Other adjustments" in our condensed consolidated statements of cash flows for the current year-to-date period. The retained equity interest, call option and convertible promissory note are valued using weighted discounted cash flow and market approaches using Level 3 inputs. Significant increases or decreases in the underlying assumptions used to value these interests could significantly increase or decrease the fair value estimate.

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In March 2019, we received $1.1 million in previously escrowed seller funds as a result of settling certain indemnification claims with the seller of GPMX. In April 2019, we loaned the $1.1 million back to the seller of GPMX in exchange for a promissory note. The note bears interest at the rate of 2.89% per annum and is secured by certain marketable securities owned by the seller and held in a U.S. brokerage account. All principal and accrued interest is due and payable in April 2024.
Subsequent to the sale of Prestaciones Finmart, S.A.P.I. de C.V., SOFOM, E.N.R. ("Grupo Finmart") to Alpha Holding, S.A. de C.V. (“AlphaCredit”) in September 2016, we determined that we retained a variable interest in Grupo Finmart including notes receivable. We determined that we are not the primary beneficiary of Grupo Finmart subsequent to its disposition as we lack a controlling financial interest in Grupo Finmart. We measured the fair value of the notes receivable as of June 30, 2019 under a discounted cash flow approach considering the estimated credit ratings for Grupo Finmart and AlphaCredit and as determined with external consultation, with discount rates of primarily 7%. Certain of the significant inputs used for the valuation were not observable in the market. Included in the fair value of the notes receivable is the estimated fair value of the deferred compensation fee negotiated in September 2017. Significant increases or decreases in the underlying assumptions used to value the notes receivable could significantly increase or decrease these fair value estimates.
The inputs used to measure the fair value of the investment in unconsolidated affiliate Cash Converters International were considered Level 1 inputs. These inputs are comprised of (a) the quoted stock price on the Australian Stock Exchange multiplied by (b) the number of shares we owned multiplied by (c) the applicable foreign currency exchange rate as of the end of our reporting period. We included no control premium for owning a large percentage of outstanding shares.
We measured the fair value of the 2024 and 2025 Convertible Notes using quoted price inputs. The notes are not actively traded, and thus the price inputs represent a Level 2 measurement. As the quoted price inputs are highly variable from day to day, the fair value estimates disclosed above could significantly increase or decrease.
NOTE 6: DEBT
The following tables present our debt instruments outstanding as well as future principal payments due, contractual maturities and interest expense:
 
June 30, 2019
 
June 30, 2018
 
September 30, 2018
 
Gross Amount
 
Debt Discount and Issuance Costs
 
Carrying Amount
 
Gross Amount
 
Debt Discount and Issuance Costs
 
Carrying Amount
 
Gross Amount
 
Debt Discount and Issuance Costs
 
Carrying Amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(in thousands)
2019 Convertible Notes
$

 
$

 
$

 
$
195,000

 
$
(10,177
)
 
$
184,823

 
$
195,000

 
$
(7,567
)
 
$
187,433

2019 Convertible Notes Embedded Derivative

 

 

 
7,491

 

 
7,491

 
2,552

 

 
2,552

2024 Convertible Notes
143,750

 
(33,841
)
 
109,909

 
143,750

 
(39,188
)
 
104,562

 
143,750

 
(37,892
)
 
105,858

2025 Convertible Notes
172,500

 
(47,958
)
 
124,542

 
172,500

 
(54,165
)
 
118,335

 
172,500

 
(52,764
)
 
119,736

8.5% unsecured debt due 2024*
1,148

 

 
1,148

 

 

 

 
1,304

 

 
1,304

Other debt

 

 

 
3,482

 

 
3,482

 

 

 

CASHMAX secured borrowing facility*
804

 
(739
)
 
65

 

 

 

 

 

 

Total
$
318,202

 
$
(82,538
)
 
$
235,664

 
$
522,223

 
$
(103,530
)
 
$
418,693

 
$
515,106

 
$
(98,223
)
 
$
416,883

Less current portion
215

 

 
215

 
205,973

 
(10,177
)
 
195,796

 
197,748

 
(7,567
)
 
190,181

Total long-term debt
$
317,987

 
$
(82,538
)
 
$
235,449