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SEC Filings

10-K
CINEMARK HOLDINGS, INC. filed this Form 10-K on 02/23/2018
Entire Document
 

CINEMARK HOLDINGS, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

In thousands, except share and per share data

 

Financial Information About Geographic Area

Below is a breakdown of select financial information by geographic area:

 

 

 

Year Ended December 31,

 

 

 

2015

 

 

2016

 

 

2017

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

U.S.

 

$

2,137,733

 

 

$

2,230,693

 

 

$

2,236,237

 

Brazil

 

 

291,959

 

 

 

304,407

 

 

 

341,485

 

Other international countries

 

 

436,776

 

 

 

397,166

 

 

 

427,951

 

Eliminations

 

 

(13,859

)

 

 

(13,501

)

 

 

(14,126

)

Total

 

$

2,852,609

 

 

$

2,918,765

 

 

$

2,991,547

 

 

 

 

December 31, 2016

 

 

December 31, 2017

 

Theatre Properties and Equipment-net

 

 

 

 

 

 

 

 

U.S.

 

$

1,306,643

 

 

$

1,439,168

 

Brazil

 

 

197,896

 

 

 

179,669

 

Other international countries

 

 

199,997

 

 

 

209,217

 

Total

 

$

1,704,536

 

 

$

1,828,054

 

 

19.

RELATED PARTY TRANSACTIONS

The Company manages theatres for Laredo Theatres, Ltd. (“Laredo”). The Company is the sole general partner and owns 75% of the limited partnership interests of Laredo. Lone Star Theatres, Inc. owns the remaining 25% of the limited partnership interests in Laredo and is 100% owned by Mr. David Roberts, Lee Roy Mitchell’s son-in-law. Lee Roy Mitchell is the Company’s Chairman of the Board and directly and indirectly owns approximately 8% of the Company’s common stock. Under the agreement, management fees are paid by Laredo to the Company at a rate of 5% of annual theatre revenues up to $50,000 and 3% of annual theatre revenues in excess of $50,000. The Company recorded $567, $506 and $586 of management fee revenues during the years ended December 31, 2015, 2016 and 2017, respectively. All such amounts are included in the Company’s consolidated financial statements with the intercompany amounts eliminated in consolidation.

The Company has an Aircraft Time Sharing Agreement with Copper Beech Capital, LLC to use, on occasion, a private aircraft owned by Copper Beech Capital, LLC. Copper Beech Capital, LLC is owned by Mr. Mitchell and his wife, Tandy Mitchell. The private aircraft is used by Mr. Mitchell and other executives who accompany Mr. Mitchell to business meetings for the Company. The Company reimburses Copper Beech Capital, LLC the actual costs of fuel usage and the expenses of the pilots, landing fees, storage fees and similar expenses incurred during the trip.  For the years ended December 31, 2015, 2016 and 2017, the aggregate amounts paid to Copper Beech Capital, LLC for the use of the aircraft was approximately $410, $110 and $131, respectively.

The Company held an event for its employees and their families at Pinstack in December of 2016.  Pinstack is majority-owned by Mr. Mitchell and his wife, Tandy Mitchell.  In connection with the event, the Company paid Pinstack approximately $70.  

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