Quarterly report pursuant to Section 13 or 15(d)

Impairment of Long-Lived Assets

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Impairment of Long-Lived Assets
3 Months Ended
Mar. 31, 2017
Impairment of Long-Lived Assets
9. Impairment of Long-Lived Assets

The Company reviews long-lived assets for impairment indicators on a quarterly basis or whenever events or changes in circumstances indicate the carrying amount of the assets may not be fully recoverable. See discussion of the Company’s long-lived asset impairment evaluation process in “Critical Accounting Policies” in its Annual Report on Form 10-K for the year ended December 31, 2016, filed February 23, 2017. As noted in the discussion, fair value is determined based on a multiple of cash flows, which was six and a half times for the evaluations performed during the three months ended March 31, 2017 and 2016. As of March 31, 2017, the estimated aggregate fair value of the long-lived assets impaired during the three months ended March 31, 2017 was approximately $1,128.

The long-lived asset impairment charges recorded during each of the periods presented are specific to theatres that were directly and individually impacted by increased competition, adverse changes in market demographics or adverse changes in the development or the conditions of the areas surrounding the theatre.

 

     Three Months Ended
March 31,
 
     2017      2016  

United States theatre properties

   $ 273      $ 136  

International theatre properties

     —          356  
  

 

 

    

 

 

 

Impairment of long-lived assets

   $ 273      $ 492