Annual report pursuant to Section 13 and 15(d)

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

v3.20.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]  
Schedule of realized/unrealized (gain) loss on investments and other income (loss), net
Realized and Unrealized (Gain) Loss on Investments and Other Income (Loss), NetThese items are comprised of the following:
Year Ended December 31,
2020 2019 2018
Realized (gain) loss on settlement of non-hedge derivatives, net
—  —  (227)
Unrealized loss (gain) on non-hedge derivative instruments
—  —  96 
Realized and unrealized loss (gain) on investments
$ —  $ —  $ (131)

Gain on sale of traditional golf properties, net (A)
$ 16,447  $ 19,338  $ 8,704 
Collateral management fee income, net
259  440  575 
Equity in earnings, net of impairment from equity method investments (B)
(24,020) 1,381  1,471 
Other loss
(297) (283) (7,870)
Other income (loss), net
$ (7,611) $ 20,876  $ 2,880 
(A)Gain on sale of traditional golf properties, net - During the year ended December 31, 2020, the Company sold one Traditional Golf property, resulting in net proceeds of $33.6 million. This property had a carrying value of $17.0 million and resulted in a gain of $16.6 million. During the year ended December 31, 2019, the Company sold eleven Traditional Golf properties, resulting in net proceeds of $74.3 million. These Traditional Golf properties had a carrying value of $54.7 million and resulted in a gain on sale of $19.4 million. During the year ended December 31, 2018, the Company sold thirteen Traditional Golf properties, resulting in net proceeds of $76.7 million. These Traditional Golf properties had a carrying value of $66.0 million and resulted in a gain on sale of $10.7 million. Net proceeds are inclusive of transactions costs.
(B)Equity in earnings, net of impairment from equity method investments - During the year ended December 31, 2020, the Company recorded an other-than-temporary impairment charge of $24.7 million on the Company's equity method investment.
Schedule of property and equipment
Depreciation is calculated using the straight-line method based on the lesser of the following estimated useful lives or the lease term:
Buildings and improvements
10-40 years
Finance leases - equipment
2-6 years
Furniture, fixtures, and equipment
2-7 years
The following table summarizes the Company's property and equipment:
  December 31, 2020 December 31, 2019
  Gross Carrying Amount Accumulated Depreciation Net Carrying Value Gross Carrying Amount Accumulated Depreciation Net Carrying Value
Land $ 6,770  $ —  $ 6,770  $ 6,770  $ —  $ 6,770 
Buildings and improvements 142,635  (40,198) 102,437  147,146  (36,349) 110,797 
Furniture, fixtures and equipment 51,622  (24,422) 27,200  52,327  (19,484) 32,843 
Finance leases - equipment 34,339  (15,296) 19,043  36,166  (16,047) 20,119 
Construction in progress 13,975  —  13,975  9,112  —  9,112 
Total Property and Equipment $ 249,341  $ (79,916) $ 169,425  $ 251,521  $ (71,880) $ 179,641 
Below is a summary of the Traditional Golf properties sold during 2020    , 2019 and 2018 (in millions).
During the three months ended Number of Golf Properties Sold Sale Price Net Proceeds (A) Transaction Costs Carrying Value Gain (Loss) (B) Management Agreements Executed Subsequent to Sale
September 30, 2018 3.5  3.2  —  3.3  (0.1) — 
December 31, 2018 (C) 12  86.2  73.5  1.2  62.7  10.8 
March 31, 2019 (D) 28.7  25.5  0.5  20.3  5.2 
June 30, 2019 (E) 19.7  17.9  0.8  18.3  (0.4)
September 30, 2019 12.5  12.3  0.2  5.2  7.0 
December 31, 2019 19.1  18.6  0.4  10.9  7.7 
December 31, 2020 34.5  33.6  0.9  17.0  16.6 
(A)Net proceeds are inclusive of transaction costs.
(B)The gain (loss) on sale is recorded in pre-tax other income (loss), net on the Consolidated Statements of Operations.
(C)The difference between the sales price and the net proceeds was primarily due to prepaid membership dues that we are obligated to remit to the buyer. The Company received proceeds of $75.7 million as of December 31, 2018 and recorded $2.2 million of net payables related to the sales, which was settled in the first quarter of 2019.
(D)The Company received sales proceeds of $17.7 million during the three months ended March 31, 2019, consisting of $18.2 million for the golf properties sold during the three months ended March 31, 2019, and $2.2 million for golf properties that were sold during December 2018, less $2.7 million that was remitted to buyers for golf properties that were sold during December 2018. The Company previously received a $9.4 million cash deposit in 2018 related to a golf property that was sold in 2019. The difference between the sales
price and the net proceeds was primarily due to prepaid membership dues that we are obligated to remit to the buyer, including $2.1 million payable to the buyer of a golf property sold during the three months ended March 31, 2019.
(E)The Company received sale proceeds of $14.9 million during the three months ended June 30, 2019, consisting of $18.4 million for the golf properties sold during the three months ended June 30, 2019, less $3.5 million that was remitted to buyers for golf properties that were sold in 2018 and the first quarter of 2019.
Schedule of intangible assets Amortization of all intangible assets is calculated using the straight-line method based on the following estimated useful lives:
Trade name 30 years
Management contracts
2 - 26 years
Internally-developed software
3 - 5 years
Membership base 7 years
Liquor licenses Nonamortizable
The following table summarizes the Company's intangible assets:
December 31, 2020 December 31, 2019
Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value
Trade name
$ 700  $ (163) $ 537  $ 700  $ (140) $ 560 
Management contracts
31,043  (18,427) 12,616  32,331  (17,342) 14,989 
Internally-developed software
314  (79) 235  252  (27) 225 
Membership base
5,944  (5,236) 708  5,236  (4,488) 748 
Nonamortizable liquor licenses
1,028  —  1,028  1,043  —  1,043 
Total intangibles
$ 39,029  $ (23,905) $ 15,124  $ 39,562  $ (21,997) $ 17,565 
Schedule of restricted cash from continuing operations Restricted cash consisted of:
December 31,
2020 2019
CDO trustee accounts $ 114  $ 114 
Restricted cash for construction-in-progress 1,182  1,536 
Restricted cash - Traditional Golf 1,566  1,656 
Restricted cash - Entertainment Golf 185  235 
Restricted cash, current and noncurrent $ 3,047  $ 3,541 
Schedule of other current assets
The following table summarizes the Company's other current assets:
December 31,
2020 2019
Managed property receivables 3,236  5,426 
Prepaid expenses 3,158  3,608 
Deposits 767  1,374 
Inventory 1,950  2,762 
Miscellaneous current assets, net 5,299  4,351 
Other current assets $ 14,410  $ 17,521 
Schedule of other assets
The following table summarizes the Company's other assets:
December 31,
2020 2019
Prepaid expenses $ 2,154  $ 317 
Deposits 2,504  2,123 
Miscellaneous assets, net 2,107  2,283 
Other assets $ 6,765  $ 4,723 
Schedule of other current liabilities The following table summarizes the Company's other current liabilities:
December 31,
2020 2019
Operating lease liabilities 19,894  16,922 
Accrued rent 4,318  2,769 
Dividends payable —  930 
Miscellaneous current liabilities 4,005  3,347 
Other current liabilities $ 28,217  $ 23,968 
Schedule of other liabilities
The following table summarizes the Company's other liabilities:
December 31,
2020 2019
Service obligation intangible $ —  $ 1,776 
Miscellaneous liabilities 3,447  1,502 
Other liabilities $ 3,447  $ 3,278 
Schedule of amortization of discount and premium and other amortization
Amortization of Discount and Premium and Other Amortization As reflected in the Consolidated Statements of Cash Flows, these items are comprised of the following:
Year Ended December 31,
2020 2019 2018
Accretion of net discount on securities, loans and other investments $ (413) $ (267) $ (151)
Amortization of net discount on debt obligations and deferred financing costs (10) (8) 1,310 
Amortization of discount and premium $ (423) $ (275) $ 1,159 
Amortization of leasehold intangibles $ —  $ —  $ 4,093 
Accretion of membership deposit liability 8,160  7,225  6,872 
Other amortization $ 8,160  $ 7,225  $ 10,965