Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | Apr. 30, 2021 | |
Entity Registrant Name | DOVER MOTORSPORTS INC | |
Entity Central Index Key | 0001017673 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2021 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Title of 12(b) Security | Common Stock, $.10 Par Value | |
Trading Symbol | DVD | |
Security Exchange Name | NYSE | |
Common Stock [Member] | Common Stock | ||
Entity Common Stock, Shares Outstanding | 17,935,616 | |
Common Stock [Member] | Common Class A [Member] | ||
Entity Common Stock, Shares Outstanding | 18,509,975 |
CONSOLIDATED STATEMENTS OF EARN
CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Expenses: | ||
Operating and marketing | $ 1,596,000 | $ 988,000 |
General and administrative | 2,255,000 | 1,987,000 |
Depreciation | 763,000 | 768,000 |
Costs to remove long-lived assets | 341,000 | |
Total expenses | 4,614,000 | 4,084,000 |
Operating loss | (4,457,000) | (3,880,000) |
Interest (expense) income, net | (15,000) | 3,000 |
Benefit (provision) for contingent obligation | 34,000 | (369,000) |
Other income (expense), net | 125,000 | (138,000) |
Loss before income taxes | (4,313,000) | (4,384,000) |
Income tax benefit | 1,111,000 | 1,244,000 |
Net loss | (3,202,000) | (3,140,000) |
Change in pension net actuarial loss and prior service cost, net of income taxes | 11,000 | 29,000 |
Comprehensive loss | $ (3,191,000) | $ (3,111,000) |
Net loss per common share: | ||
Basic (in dollars per share) | $ (0.09) | $ (0.09) |
Diluted (in dollars per share) | $ (0.09) | $ (0.09) |
Event-related | ||
Revenues: | ||
Revenues | $ 157,000 | $ 204,000 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash | $ 10,862,000 | $ 12,568,000 |
Accounts receivable | 2,003,000 | 601,000 |
Inventories | 18,000 | 18,000 |
Prepaid expenses and other | 1,709,000 | 1,557,000 |
Income taxes receivable | 24,000 | 24,000 |
Assets held for sale | 5,844,000 | 5,844,000 |
Total current assets | 20,460,000 | 20,612,000 |
Property and equipment, net | 66,148,000 | 63,075,000 |
Right of use asset | 207,000 | 112,000 |
Deferred income taxes | 2,425,000 | 2,425,000 |
Other assets | 1,360,000 | 1,322,000 |
Total assets | 90,600,000 | 87,546,000 |
Current liabilities: | ||
Accounts payable | 1,623,000 | 570,000 |
Accrued liabilities | 3,504,000 | 3,463,000 |
Contract liabilities | 7,725,000 | 1,395,000 |
Non-refundable deposit | 500,000 | 500,000 |
Total current liabilities | 13,352,000 | 5,928,000 |
Liability for pension benefits | 746,000 | 871,000 |
Lease liability | 105,000 | 33,000 |
Provision for contingent obligation | 3,184,000 | 3,218,000 |
Deferred income taxes | 7,370,000 | 8,469,000 |
Total liabilities | 24,757,000 | 18,519,000 |
Commitments and contingencies (see Notes to the Consolidated Financial Statements) | ||
Stockholders' equity: | ||
Preferred stock, $0.10 par value; 1,000,000 shares authorized; shares issued and outstanding: none | ||
Additional paid-in capital | 101,207,000 | 101,207,000 |
Accumulated deficit | (35,234,000) | (32,032,000) |
Accumulated other comprehensive loss | (3,774,000) | (3,785,000) |
Total stockholders' equity | 65,843,000 | 69,027,000 |
Total liabilities and stockholders' equity | 90,600,000 | 87,546,000 |
Common Stock [Member] | Common Stock | ||
Stockholders' equity: | ||
Common stock | 1,793,000 | 1,786,000 |
Common Stock [Member] | Common Class A [Member] | ||
Stockholders' equity: | ||
Common stock | 1,851,000 | 1,851,000 |
Total stockholders' equity | $ 1,851,000 | $ 1,851,000 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Preferred stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common Stock [Member] | Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 75,000,000 | 75,000,000 |
Common stock, shares issued | 17,935,616 | 17,862,407 |
Common stock, shares outstanding | 17,935,616 | 17,862,407 |
Common Stock [Member] | Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 55,000,000 | 55,000,000 |
Common stock, shares issued | 18,509,975 | 18,509,975 |
Common stock, shares outstanding | 18,509,975 | 18,509,975 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Operating activities: | ||
Net loss | $ (3,202,000) | $ (3,140,000) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation | 763,000 | 768,000 |
Amortization of credit facility fees | 15,000 | 14,000 |
Stock-based compensation | 124,000 | 92,000 |
Deferred income taxes | (1,111,000) | (1,244,000) |
Provision for contingent obligation | (34,000) | 369,000 |
(Gains) losses on equity investments | (19,000) | 176,000 |
Changes in assets and liabilities: | ||
Accounts receivable | (1,402,000) | (132,000) |
Prepaid expenses and other | (155,000) | (86,000) |
Accounts payable | (245,000) | (15,000) |
Accrued liabilities | 17,000 | (1,030,000) |
Contract liabilities | 6,330,000 | 1,933,000 |
Liability for pension benefits | (101,000) | (37,000) |
Net cash provided by (used in) operating activities | 980,000 | (2,332,000) |
Investing activities: | ||
Capital expenditures | (2,538,000) | (115,000) |
Purchases of equity investments | (4,000) | (196,000) |
Proceeds from sale of equity investments | 11,000 | 192,000 |
Net cash used in investing activities | (2,531,000) | (119,000) |
Financing activities: | ||
Borrowings from revolving line of credit | 0 | 180,000 |
Repayments on revolving line of credit | 0 | (180,000) |
Repurchase of common stock | (117,000) | (94,000) |
Credit facility fees | (38,000) | |
Net cash used in financing activities | (155,000) | (94,000) |
Net decrease in cash | (1,706,000) | (2,545,000) |
Cash, beginning of period | 12,568,000 | 7,577,000 |
Cash, end of period | 10,862,000 | 5,032,000 |
Supplemental information: | ||
Interest received | (3,000) | $ (17,000) |
Change in accounts payable for capital expenditures | $ 1,298,000 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2021 | |
Basis of Presentation | |
Basis of Presentation | NOTE 1 – Basis of Presentation References in this document to “we,” “us” and “our” mean Dover Motorsports, Inc. and/or its wholly owned subsidiaries, as appropriate. The accompanying consolidated financial statements have been prepared in compliance with Rule 10-01 of Regulation S-X and U.S. generally accepted accounting principles, and accordingly do not include all of the information and disclosures required for audited financial statements. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our latest Annual Report on Form 10-K filed on March 4, 2021. In the opinion of management, these consolidated financial statements include all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the results of operations, financial position and cash flows for the interim periods presented. Operating results for the three months ended March 31, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31, 2021 due to the seasonal nature of our business. |
Business Operations
Business Operations | 3 Months Ended |
Mar. 31, 2021 | |
Business Operations | |
Business Operations | NOTE 2 – Business Operations Dover Motorsports, Inc. is a public holding company that is a marketer and promoter of motorsports entertainment in the United States. Through our subsidiaries, we own and operate Dover International Speedway ® in Dover, Delaware and Nashville Superspeedway ® near Nashville, Tennessee. We are scheduled to promote the following six events during 2021, all of which would be under the auspices of the premier sanctioning body in motorsports - the National Association for Stock Car Auto Racing (“NASCAR”): · 2 NASCAR Cup Series events (May and June ); · 2 NASCAR Xfinity Series events (May and June ); · 1 NASCAR Gander RV & Outdoors Truck Series event ( June ); and · 1 NASCAR ARCA Menards Series East event ( May ). We have not promoted a major motorsports event at our Nashville Superspeedway since 2011. On June 3, 2020, we announced that we would be moving one of our NASCAR Cup Series events historically held at Dover International Speedway to Nashville Superspeedway beginning in 2021. We entered into a four-year sanction agreement to promote a NASCAR Cup Series event in Nashville for the 2021 to 2024 racing seasons. We also entered into a one-year sanction agreement to promote a NASCAR Cup Series event at Dover International Speedway for the 2021 season. The 2020 global outbreak of COVID-19 was declared a pandemic by the World Health Organization on March 11, 2020 and has resulted in travel restrictions, business closures, government-imposed stay-at-home orders and the implementation of “social distancing,” limitations on the size of gatherings, cancellations of events and certain other measures to prevent the further spread of the virus. The continued spread of COVID-19 has also led to unprecedented global economic disruption and volatility in financial markets, a rise in unemployment levels, decreases in consumer confidence levels and spending, and an overall worsening of U.S. economic conditions. It remains uncertain how long the pandemic and the resulting economic challenges and restrictions on day-to-day life will last. New or renewed restrictions may be implemented in response to the virus spread rate in the United States and evolving conditions, including overall uncertainty about the timing of widespread availability of vaccines. For those reasons, we are unable to predict the long-term impact of the pandemic on our business at this time. The extent to which COVID-19 impacts our results will depend on future developments, but the continued spread of COVID-19 and associated economic impacts could have a material adverse effect on our future financial condition, liquidity, results of operations and cash flows. We hosted the Firefly Music Festival (“Firefly”) on our property in Dover, Delaware for eight consecutive years prior to its cancellation in 2020 due to the COVID-19 pandemic. Goldenvoice, a subsidiary of Anschutz Entertainment Group, Inc. (“AEG”) and the event’s promoter, recently announced plans to hold Firefly at our property in September 2021. The three day festival has grown from 40 musical acts in July 2012 to approximately 120 musical acts in June 2019. AEG Presents is one of the world’s largest presenters of live music and entertainment events. Our amended agreement grants them two 5-year options to extend our facility rental agreement through 2032 in exchange for a rental commitment to secure our property. In addition to the facility rental fee, we also receive a percentage of the concession sales we manage at the events. On August 17, 2017, we entered into an agreement with an entity owned by Panattoni Development Company (the “buyer”) relative to the sale of approximately 147 acres of land at our Nashville facility at a purchase price of $35,000 per acre. On March 2, 2018, we closed on the sale of the property with proceeds, less closing costs, of $4,945,000. Net proceeds after taxes were approximately $4,150,000 resulting in a gain of $2,512,000. On September 1, 2017, we also awarded to the buyer a three year option for approximately 88 additional acres at a purchase price of $55,000 per acre. That option agreement has been amended twice since: first, on February 9, 2018, to extend its term and to add additional acreage; and second, on June 25, 2019, in connection with the buyer’s exercise of its option on two parcels, we adjusted the acreage and further extended the term of the option on a third parcel. The buyer paid to us $500,000 for the extension of this option until March 1, 2022, and this non-refundable payment would be credited to the purchase price at the closing of that option parcel. On July 26, 2019, the buyer closed on the sale of the first two parcels, comprising approximately 133 acres, which yielded to us proceeds, less closing costs, of $6,397,000. Net proceeds after taxes were approximately $5,314,000 resulting in a gain of $4,186,000. On July 29, 2020, the buyer closed on the sale of the third parcel of approximately 97 acres at our Nashville property. Proceeds from the sale, less closing costs, were $6,460,000. Net proceeds after taxes were approximately $5,290,000 resulting in a gain of $4,843,000. The buyer’s deposit previously paid to us was credited to the purchase price. On November 5, 2020, we entered into an agreement to sell an additional 350 acres of land at our Nashville facility for $14,355,000. The buyer paid us $500,000, which is non-refundable except in the event of a default by us that is not cured within the applicable cure period, and which would be credited to the purchase price at the closing of the sale of that parcel. The transaction is expected to be consummated on or before May 31, 2021. At March 31, 2021 and December 31, 2020, the carrying value of the land is classified as assets held for sale in our consolidated balance sheet. Assuming this option is exercised, the remaining Nashville Superspeedway property will consist of approximately 650 acres. None of the acreage sold or under agreement extends to the land on which our superspeedway is sited. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | NOTE 3 – Summary of Significant Accounting Policies Property and equipment— Property and equipment is stated at cost. Depreciation is provided using the straight-line method over the asset’s estimated useful life. Accumulated depreciation was $71,089,000 and $70,374,000 as of March 31, 2021 and December 31, 2020, respectively. Revenue recognition— We classify our revenues as admissions, event-related, broadcasting and other. “Admissions” revenue includes ticket sales for our events. “Event-related” revenue includes amounts received from sponsorship fees; luxury suite rentals; hospitality tent rentals and catering; concessions and vendor commissions for the right to sell concessions and souvenirs at our events; sales of programs; track rentals; broadcasting rights other than domestic television broadcasting revenue, and other event-related revenues. Additionally, event related revenue includes amounts received for the use of our property and a portion of the concession sales we manage from the Firefly Music Festival. “Broadcasting” revenue includes rights fees obtained for domestic television broadcasts of events held at our speedways. All of our revenues are based on contracts with customers and, with the exception of certain track rentals, relate to two NASCAR event weekends and the Firefly Music Festival. Our contracts are typically for specific events or a racing season. We have several multi-year sponsorship contracts for our racing events and our contract with the promoter of the Firefly Music Festival is multi-year. Cash received in advance from customers pertaining to specific events is deferred and recorded as a contract liability in our consolidated balance sheets until the event is held. As of March 31, 2021, all of the contract liabilities on our consolidated balance sheet relates to 2021 events with the exception of $150,000 that relates to 2022 events. As of December 31, 2020, contract liabilities in our consolidated balance sheets related to 2021 events. Concession and souvenir revenues are recorded at the time of sale. Revenues and related expenses from barter transactions in which we provide sponsorship packages in exchange for goods or services are recorded at fair value. There was no revenue recorded from barter transactions for the three months ended March 31, 2021 or 2020. The following table summarizes the liability activity related to contracts with customers for the three months ended March 31, 2021 and 2020 (in thousands): 2021 2020 Balance, beginning of period $ 1,395 $ 976 Reductions from beginning balance (76) — Additional liabilities recorded during the period 6,442 1,974 Reduction of additional liabilities recorded during the period, not from beginning balance (36) (41) Balance, end of period $ 7,725 $ 2,909 We have contracted future revenues representing unsatisfied performance obligations. These contracts contain initial terms typically ranging from one to three years, with some for longer periods, excluding renewal options. We have excluded unsatisfied performance obligations for future NASCAR broadcasting revenue with contract terms through 2024. We anticipate recognizing unsatisfied performance obligations for the calendar year ending 2022 and beyond of approximately $5,478,000 at March 31, 2021. Under the terms of our sanction agreements with NASCAR, we receive a portion of the broadcast revenue NASCAR negotiates with various television networks. NASCAR typically remits payment to us for the broadcast revenue within 30 days of the event being held. NASCAR retains 10% of the gross broadcast rights fees allocated to each NASCAR-sanctioned event as a component of its sanction fee. The remaining 90% is recorded as revenue. The event promoter is required to pay 25% of the gross broadcast rights fees to the event as part of the awards to the competitors, which we record as operating expenses. Expense recognition— The cost of advertising is expensed as incurred. Advertising expenses were $434,000 and $52,000 for the three months ended March 31, 2021 and 2020, respectively. Certain direct expenses pertaining to specific events, including prize and point fund monies and sanction fees paid to NASCAR, and other expenses associated with our racing events are deferred until the event is held, at which point they are expensed. Net loss per common share— Nonvested share-based payment awards that include rights to dividends or dividend equivalents, whether paid or unpaid, are considered participating securities, and the two-class method of computing basic and diluted net loss per common share (“EPS”) is applied for all periods presented. The following table sets forth the computation of EPS (in thousands, except per share amounts): Three Months Ended March 31, 2021 2020 Net loss per common share – basic and diluted: Net loss $ (3,202) $ (3,140) Allocation to nonvested restricted stock awards — — Net loss available to common stockholders $ (3,202) $ (3,140) Weighted-average shares outstanding – basic and diluted 35,913 35,834 Net loss per common share – basic and diluted $ (0.09) $ (0.09) There were no options outstanding and we paid no dividends during the three months ended March 31, 2021 or 2020. On April 28, 2021, we declared a semi-annual cash dividend on both classes of common stock of $.04 per share. The dividend will be payable on June 10, 2021 to shareholders of record at the close of business on May 10, 2021. Accounting for stock-based compensation— We recorded total stock-based compensation expense for our restricted stock awards of $124,000 and $92,000 as general and administrative expenses for the three months ended March 31, 2021 and 2020, respectively. We recorded income tax benefits of $37,000 and $8,000 for the three months ended March 31, 2021 and 2020, respectively, related to vesting of our restricted stock awards. Recent accounting pronouncements — In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-14, Compensation—Retirement Benefits—Defined Benefit Plans—General . This new standard makes changes to the disclosure requirements for sponsors of defined benefit pension and/or other postretirement benefit plans to improve effectiveness of notes to the financial statements. ASU 2018-14 is effective for fiscal years ending after December 15, 2020, and requires retrospective adoption. The adoption of this ASU did not have a material impact on our financial statement disclosures. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement . This new standard makes changes to the disclosure requirements for fair value measurements to improve effectiveness of notes to the financial statements. ASU 2018-14 is effective for fiscal years beginning after December 15, 2019, and generally requires retrospective adoption. The adoption of this ASU did not have a material impact on our financial statement disclosures. |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2021 | |
Long-Term Debt | |
Long-Term Debt | NOTE 4 – Long-Term Debt At March 31, 2021, Dover Motorsports, Inc. and its wholly owned subsidiaries Dover International Speedway, Inc. and Nashville Speedway, USA, Inc., as co-borrowers had a $25,000,000 credit agreement with a bank group. On February 25, 2021, we modified the credit agreement: (1) to extend the maturity date to September 1, 2024; (2) to reduce the total available borrowings under the facility from $30,000,000 to $25,000,000; and (3) to replace the fixed charge coverage ratio with an interest coverage ratio. Interest is based upon LIBOR plus a margin that varies between 125 and 175 basis points depending on the leverage ratio. At March 31, 2021, there were no borrowings outstanding under the credit facility. The credit facility contains certain covenants including maximum funded debt to earnings before interest, taxes, depreciation and amortization (“leverage ratio”) and a minimum interest coverage ratio. Material adverse changes in our results of operations could impact our ability to maintain financial ratios necessary to satisfy these requirements. In addition, the credit agreement includes a material adverse change clause. The credit facility also provides that if we default under any other loan agreement that would be a default under this facility. At March 31, 2021, we were in compliance with the terms of the credit facility. The credit facility provides for seasonal funding needs, capital improvements, letter of credit requirements and other general corporate purposes. After consideration of stand-by letters of credit outstanding, the remaining maximum borrowings available pursuant to the credit facility were $12,494,000 at March 31, 2021. |
Pension Plans
Pension Plans | 3 Months Ended |
Mar. 31, 2021 | |
Pension Plans | |
Pension Plans | NOTE 5 – Pension Plans We maintain a non-contributory tax qualified defined benefit pension plan that has been frozen since July 2011. All of our full time employees were eligible to participate in the qualified plan. Benefits provided by our qualified pension plan were based on years of service and employees' remuneration over their employment period. Compensation earned by employees up to July 31, 2011 is used for purposes of calculating benefits under our pension plan with no future benefit accruals after this date. We also maintain a non-qualified, non-contributory defined benefit pension plan, the excess plan, for certain employees that has been frozen since July 2011. This excess plan provided benefits that would otherwise be provided under the qualified pension plan but for maximum benefit and compensation limits applicable under federal tax law. The cost associated with the excess plan is determined using similar actuarial methods and assumptions as those used for our qualified defined benefit pension plan. The assets for the excess plan aggregate $1,334,000 and $1,322,000 as of March 31, 2021 and December 31, 2020, respectively, and are recorded in other assets in our consolidated balance sheets (see NOTE 7 – Fair Value Measurements). The components of net periodic pension benefit for our defined benefit pension plans are as follows: Three Months Ended March 31, 2021 2020 Interest cost $ 83,000 $ 108,000 Expected return on plan assets (208,000) (185,000) Recognized net actuarial loss 42,000 41,000 $ (83,000) $ (36,000) The net periodic pension benefit is included in other income (expense), net in our consolidated statements of operations and comprehensive loss. We have no minimum required pension contributions for 2021. We also maintain a non-elective, non-qualified supplemental executive retirement plan (“SERP”) which provides deferred compensation to certain highly compensated employees that approximates the value of benefits lost by the freezing of the pension plan which are not offset by our enhanced matching contributions in our 401(k) plan. The SERP is a discretionary defined contribution plan and contributions made to the SERP in any given year are not guaranteed and will be at the sole discretion of our Compensation and Stock Incentive Committee. In the three months ended March 31, 2021 and 2020, we recorded expenses of $25,000 and $30,000, respectively, related to the SERP. During the three months ended March 31, 2021 and 2020, we contributed $88,000 and $120,000 to the plan, respectively. The liability for SERP pension benefits was $25,000 and $88,000 as of March 31, 2021 and December 31, 2020, respectively, and is included in accrued liabilities in our consolidated balance sheets. We maintain a defined contribution 401(k) plan that permits participation by substantially all employees. Our matching contributions to the 401(k) plan were $35,000 and $36,000 in the three months ended March 31, 2021 and 2020, respectively. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2021 | |
Stockholders' Equity | |
Stockholders' Equity | NOTE 6 – Stockholders’ Equity Changes in the components of stockholders’ equity for the first quarter of 2021 are as follows (in thousands): Accumulated Class A Additional Other Common Common Paid-in Accumulated Comprehensive Stock Stock Capital Deficit Loss Balance at December 31, 2020 $ 1,786 $ 1,851 $ 101,207 $ (32,032) $ (3,785) Net loss — — — (3,202) — Issuance of restricted stock awards, net of forfeitures 12 — (12) — — Stock-based compensation — — 124 — — Repurchase and retirement of common stock (5) — (112) — — Change in net actuarial loss and prior service cost, net of income tax expense of $12 — — — — 11 Balance at March 31, 2021 $ 1,793 $ 1,851 $ 101,207 $ (35,234) $ (3,774) Changes in the components of stockholders’ equity for the first quarter of 2020 are as follows (in thousands): Accumulated Class A Additional Other Common Common Paid-in Accumulated Comprehensive Stock Stock Capital Deficit Loss Balance at December 31, 2019 $ 1,782 $ 1,851 $ 100,994 $ (36,968) $ (3,691) Net loss — — — (3,140) — Issuance of restricted stock awards, net of forfeitures 13 — (13) — — Stock-based compensation — — 92 — — Repurchase and retirement of common stock (5) — (89) — — Change in net actuarial loss and prior service cost, net of income tax expense of $11 — — — — 29 Balance at March 31, 2020 $ 1,790 $ 1,851 $ 100,984 $ (40,108) $ (3,662) As of March 31, 2021 and December 31, 2020, accumulated other comprehensive loss, net of income taxes, consists of the following: March 31, 2021 December 31, 2020 Net actuarial loss and prior service cost not yet recognized in net periodic benefit cost, net of income tax benefit of $2,509,000 and $2,521,000, respectively $ (3,774,000) $ (3,785,000) As of March 31, 2020 and December 31, 2019, accumulated other comprehensive loss, net of income taxes, consists of the following: March 31, 2020 December 31, 2019 Net actuarial loss and prior service cost not yet recognized in net periodic benefit cost, net of income tax benefit of $2,474,000 and $2,485,000, respectively $ (3,662,000) $ (3,691,000) On July 28, 2004, our Board of Directors authorized the repurchase of up to 2,000,000 shares of our outstanding common stock. The purchases may be made in the open market or in privately negotiated transactions as conditions warrant. The repurchase authorization has no expiration date, does not obligate us to acquire any specific number of shares and may be suspended at any time. We made no purchases during the first three months of 2021 or 2020. At March 31, 2021, we had remaining repurchase authority of 384,809 shares. We have a stock incentive plan, adopted in 2014, which provides for the grant of up to 2,000,000 shares of common stock to our officers and key employees through stock options and/or awards valued in whole or in part by reference to our common stock, such as nonvested restricted stock awards. Under the plan, nonvested restricted stock vests an aggregate of twenty percent each year beginning on the second anniversary date of the grant. The aggregate market value of the nonvested restricted stock at the date of issuance is being amortized on a straight-line basis over the six-year period. We granted 141,000 and 158,000 stock awards under this plan during the three months ended March 31, 2021 and 2020. As of March 31, 2021, there were 1,051,000 shares available for granting options or stock awards. During the three months ended March 31, 2021 and 2020, we purchased and retired 51,791 and 50,572 shares of our outstanding common stock at an average purchase price of $2.27 and $1.86 per share, respectively. These purchases were made from employees in connection with the vesting of restricted stock awards under our Stock Incentive Plan and were not pursuant to the aforementioned repurchase authorization. Since the vesting of a restricted stock award is a taxable event to our employees for which income tax withholding is required, the plan allows employees to surrender to us some of the shares that would otherwise have transferred to the employee in satisfaction of their tax liability. The surrender of these shares is treated by us as a purchase of the shares. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Measurements | |
Fair Value Measurements | NOTE 7 – Fair Value Measurements Our financial instruments are classified and disclosed in one of the following three categories: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). The following table summarizes the valuation of our financial instrument pricing levels as of March 31, 2021 and December 31, 2020: Total Level 1 Level 2 Level 3 March 31, 2021 Equity investments $ 1,334,000 $ 1,334,000 $ — $ — December 31, 2020 Equity investments $ 1,322,000 $ 1,322,000 $ — $ — Our equity investments consist of mutual funds. These investments are included in other assets in our consolidated balance sheets. Gains and losses on our equity investments for the three months ended March 31, 2021 and 2020, respectively, are as follows: 2021 2020 Net gains (losses) recognized during the period on equity investments $ 19,000 $ (176,000) Less: net gains recognized during the period on equity investments sold during the period — 25,000 Unrealized gains (losses) recognized during the period on equity investments still held at period end $ 19,000 $ (201,000) The carrying amounts of other financial instruments reported in our consolidated balance sheets for current assets and current liabilities approximate their fair values because of the short maturity of these instruments. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions | |
Related Party Transactions | NOTE 8 – Related Party Transactions Effective March 28, 2019, Dover Downs Gaming & Entertainment, Inc. (“Gaming”), a company previously related through common ownership, became part of Twin River Worldwide Holdings, Inc. as a result of a merger and therefore was no longer related through common ownership. Prior to the spin-off of Gaming from our company in 2002, both companies shared certain real property in Dover, Delaware. At the time of the spin-off, some of this real property was transferred to Gaming to ensure that the real property holdings of each company was aligned with its past uses and future business needs. During its harness racing season, Gaming has historically used the 5/8-mile harness racing track that is located on our property and is on the inside of our one-mile motorsports superspeedway. In order to continue this historic use, we granted a perpetual easement to the harness track to Gaming at the time of the spin-off. This perpetual easement allows Gaming to have exclusive use of the harness track during the period beginning November 1 of each year and ending April 30 of the following year, together with set up and tear down rights for the two weeks before and after such period. The easement requires that Gaming maintain the harness track but does not require the payment of any rent. Various easements and agreements relative to access, utilities and parking have also been entered into between us and Gaming relative to our respective Dover, Delaware facilities. We pay rent to Gaming for the lease of our principal executive office space. Henry B. Tippie, Chairman of our Board of Directors, controls in excess of fifty percent of our voting power. Mr. Tippie's voting control emanates from his direct and indirect holdings of common stock and Class A common stock and from his status as a trustee of the RMT Trust, our largest stockholder. This means that Mr. Tippie has the ability to determine the outcome of the election of directors and to determine the outcome of many significant corporate transactions, many of which only require the approval of a majority of our voting power. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | NOTE 9 – Commitments and Contingencies In September 1999, the Sports Authority of the County of Wilson (Tennessee) issued $25,900,000 in Variable Rate Tax Exempt Infrastructure Revenue Bonds, Series 1999, to acquire, construct and develop certain public infrastructure improvements which benefit Nashville Superspeedway, of which $12,300,000 was outstanding at March 31, 2021. Annual principal payments on these bonds range from $1,100,000 in September 2021 to $1,600,000 in 2029 and are payable solely from sales taxes and incremental property taxes generated from the facility. These bonds are direct obligations of the Sports Authority and therefore have historically not been required to be recorded on our consolidated balance sheet. If the sales taxes and incremental property taxes (“applicable taxes”) are insufficient for the payment of principal and interest on the bonds, we would become responsible for the difference. In the event we were unable to make the payments, they would be made pursuant to a $12,506,000 irrevocable direct-pay letter of credit issued by our bank group. We are exposed to fluctuations in interest rates for these bonds. As of March 31, 2021 and December 31, 2020, $1,118,000 and $217,000, respectively, was available in the sales and incremental property tax fund maintained by the Sports Authority to pay the remaining principal and interest due under the bonds. During 2020, we paid $945,000 into the sales and incremental property tax fund and $1,365,000 was deducted from the fund for debt service. If we fail to maintain the letter of credit that secures the bonds or we allow an uncured event of default to exist under our reimbursement agreement relative to the letter of credit, the bonds would be immediately redeemable. Prior to our recent decision to reopen Nashville Superspeedway in 2021,we had not promoted motorsports events at that facility since 2011. In 2011, we recorded a $2,250,000 provision for contingent obligation reflecting the present value of the estimated portion of the revenue bonds debt service that may not be covered by the projected sales and incremental property taxes from the facility. Due to changing interest rates, the provision for contingent obligation decreased by $34,000 in three months ended March 31, 2021 and increased by $369,000 in the three months ended March 31, 2020, and is $3,184,000 at March 31, 2021. See NOTE 1 – Business Operations. We are also a party to ordinary routine litigation incidental to our business. Management does not believe that the resolution of any of these matters is likely to have a material adverse effect on our results of operations, financial position or cash flows. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Significant Accounting Policies | |
Property and equipment | Property and equipment— Property and equipment is stated at cost. Depreciation is provided using the straight-line method over the asset’s estimated useful life. Accumulated depreciation was $71,089,000 and $70,374,000 as of March 31, 2021 and December 31, 2020, respectively. |
Revenue recognition | Revenue recognition— We classify our revenues as admissions, event-related, broadcasting and other. “Admissions” revenue includes ticket sales for our events. “Event-related” revenue includes amounts received from sponsorship fees; luxury suite rentals; hospitality tent rentals and catering; concessions and vendor commissions for the right to sell concessions and souvenirs at our events; sales of programs; track rentals; broadcasting rights other than domestic television broadcasting revenue, and other event-related revenues. Additionally, event related revenue includes amounts received for the use of our property and a portion of the concession sales we manage from the Firefly Music Festival. “Broadcasting” revenue includes rights fees obtained for domestic television broadcasts of events held at our speedways. All of our revenues are based on contracts with customers and, with the exception of certain track rentals, relate to two NASCAR event weekends and the Firefly Music Festival. Our contracts are typically for specific events or a racing season. We have several multi-year sponsorship contracts for our racing events and our contract with the promoter of the Firefly Music Festival is multi-year. Cash received in advance from customers pertaining to specific events is deferred and recorded as a contract liability in our consolidated balance sheets until the event is held. As of March 31, 2021, all of the contract liabilities on our consolidated balance sheet relates to 2021 events with the exception of $150,000 that relates to 2022 events. As of December 31, 2020, contract liabilities in our consolidated balance sheets related to 2021 events. Concession and souvenir revenues are recorded at the time of sale. Revenues and related expenses from barter transactions in which we provide sponsorship packages in exchange for goods or services are recorded at fair value. There was no revenue recorded from barter transactions for the three months ended March 31, 2021 or 2020. The following table summarizes the liability activity related to contracts with customers for the three months ended March 31, 2021 and 2020 (in thousands): 2021 2020 Balance, beginning of period $ 1,395 $ 976 Reductions from beginning balance (76) — Additional liabilities recorded during the period 6,442 1,974 Reduction of additional liabilities recorded during the period, not from beginning balance (36) (41) Balance, end of period $ 7,725 $ 2,909 We have contracted future revenues representing unsatisfied performance obligations. These contracts contain initial terms typically ranging from one to three years, with some for longer periods, excluding renewal options. We have excluded unsatisfied performance obligations for future NASCAR broadcasting revenue with contract terms through 2024. We anticipate recognizing unsatisfied performance obligations for the calendar year ending 2022 and beyond of approximately $5,478,000 at March 31, 2021. Under the terms of our sanction agreements with NASCAR, we receive a portion of the broadcast revenue NASCAR negotiates with various television networks. NASCAR typically remits payment to us for the broadcast revenue within 30 days of the event being held. NASCAR retains 10% of the gross broadcast rights fees allocated to each NASCAR-sanctioned event as a component of its sanction fee. The remaining 90% is recorded as revenue. The event promoter is required to pay 25% of the gross broadcast rights fees to the event as part of the awards to the competitors, which we record as operating expenses. |
Expense recognition | Expense recognition— The cost of advertising is expensed as incurred. Advertising expenses were $434,000 and $52,000 for the three months ended March 31, 2021 and 2020, respectively. Certain direct expenses pertaining to specific events, including prize and point fund monies and sanction fees paid to NASCAR, and other expenses associated with our racing events are deferred until the event is held, at which point they are expensed. |
Net loss per common share | Net loss per common share— Nonvested share-based payment awards that include rights to dividends or dividend equivalents, whether paid or unpaid, are considered participating securities, and the two-class method of computing basic and diluted net loss per common share (“EPS”) is applied for all periods presented. The following table sets forth the computation of EPS (in thousands, except per share amounts): Three Months Ended March 31, 2021 2020 Net loss per common share – basic and diluted: Net loss $ (3,202) $ (3,140) Allocation to nonvested restricted stock awards — — Net loss available to common stockholders $ (3,202) $ (3,140) Weighted-average shares outstanding – basic and diluted 35,913 35,834 Net loss per common share – basic and diluted $ (0.09) $ (0.09) There were no options outstanding and we paid no dividends during the three months ended March 31, 2021 or 2020. On April 28, 2021, we declared a semi-annual cash dividend on both classes of common stock of $.04 per share. The dividend will be payable on June 10, 2021 to shareholders of record at the close of business on May 10, 2021. |
Accounting for stock-based compensation | Accounting for stock-based compensation— We recorded total stock-based compensation expense for our restricted stock awards of $124,000 and $92,000 as general and administrative expenses for the three months ended March 31, 2021 and 2020, respectively. We recorded income tax benefits of $37,000 and $8,000 for the three months ended March 31, 2021 and 2020, respectively, related to vesting of our restricted stock awards. |
Recent accounting pronouncements | Recent accounting pronouncements — In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-14, Compensation—Retirement Benefits—Defined Benefit Plans—General . This new standard makes changes to the disclosure requirements for sponsors of defined benefit pension and/or other postretirement benefit plans to improve effectiveness of notes to the financial statements. ASU 2018-14 is effective for fiscal years ending after December 15, 2020, and requires retrospective adoption. The adoption of this ASU did not have a material impact on our financial statement disclosures. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement . This new standard makes changes to the disclosure requirements for fair value measurements to improve effectiveness of notes to the financial statements. ASU 2018-14 is effective for fiscal years beginning after December 15, 2019, and generally requires retrospective adoption. The adoption of this ASU did not have a material impact on our financial statement disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Significant Accounting Policies | |
Summarized liability activity related to contracts with customers | The following table summarizes the liability activity related to contracts with customers for the three months ended March 31, 2021 and 2020 (in thousands): 2021 2020 Balance, beginning of period $ 1,395 $ 976 Reductions from beginning balance (76) — Additional liabilities recorded during the period 6,442 1,974 Reduction of additional liabilities recorded during the period, not from beginning balance (36) (41) Balance, end of period $ 7,725 $ 2,909 |
Schedule of the computation of EPS | The following table sets forth the computation of EPS (in thousands, except per share amounts): Three Months Ended March 31, 2021 2020 Net loss per common share – basic and diluted: Net loss $ (3,202) $ (3,140) Allocation to nonvested restricted stock awards — — Net loss available to common stockholders $ (3,202) $ (3,140) Weighted-average shares outstanding – basic and diluted 35,913 35,834 Net loss per common share – basic and diluted $ (0.09) $ (0.09) |
Pension Plans (Tables)
Pension Plans (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Pension Plans | |
Schedule of components of net periodic pension benefit for defined benefit pension plans | The components of net periodic pension benefit for our defined benefit pension plans are as follows: Three Months Ended March 31, 2021 2020 Interest cost $ 83,000 $ 108,000 Expected return on plan assets (208,000) (185,000) Recognized net actuarial loss 42,000 41,000 $ (83,000) $ (36,000) |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Stockholders' Equity | |
Schedule of the changes in the components of stockholders' equity | Changes in the components of stockholders’ equity for the first quarter of 2021 are as follows (in thousands): Accumulated Class A Additional Other Common Common Paid-in Accumulated Comprehensive Stock Stock Capital Deficit Loss Balance at December 31, 2020 $ 1,786 $ 1,851 $ 101,207 $ (32,032) $ (3,785) Net loss — — — (3,202) — Issuance of restricted stock awards, net of forfeitures 12 — (12) — — Stock-based compensation — — 124 — — Repurchase and retirement of common stock (5) — (112) — — Change in net actuarial loss and prior service cost, net of income tax expense of $12 — — — — 11 Balance at March 31, 2021 $ 1,793 $ 1,851 $ 101,207 $ (35,234) $ (3,774) Changes in the components of stockholders’ equity for the first quarter of 2020 are as follows (in thousands): Accumulated Class A Additional Other Common Common Paid-in Accumulated Comprehensive Stock Stock Capital Deficit Loss Balance at December 31, 2019 $ 1,782 $ 1,851 $ 100,994 $ (36,968) $ (3,691) Net loss — — — (3,140) — Issuance of restricted stock awards, net of forfeitures 13 — (13) — — Stock-based compensation — — 92 — — Repurchase and retirement of common stock (5) — (89) — — Change in net actuarial loss and prior service cost, net of income tax expense of $11 — — — — 29 Balance at March 31, 2020 $ 1,790 $ 1,851 $ 100,984 $ (40,108) $ (3,662) |
Schedule of accumulated other comprehensive loss, net of income taxes | As of March 31, 2021 and December 31, 2020, accumulated other comprehensive loss, net of income taxes, consists of the following: March 31, 2021 December 31, 2020 Net actuarial loss and prior service cost not yet recognized in net periodic benefit cost, net of income tax benefit of $2,509,000 and $2,521,000, respectively $ (3,774,000) $ (3,785,000) As of March 31, 2020 and December 31, 2019, accumulated other comprehensive loss, net of income taxes, consists of the following: March 31, 2020 December 31, 2019 Net actuarial loss and prior service cost not yet recognized in net periodic benefit cost, net of income tax benefit of $2,474,000 and $2,485,000, respectively $ (3,662,000) $ (3,691,000) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Measurements | |
Summary of the valuation of financial instrument pricing levels | Total Level 1 Level 2 Level 3 March 31, 2021 Equity investments $ 1,334,000 $ 1,334,000 $ — $ — December 31, 2020 Equity investments $ 1,322,000 $ 1,322,000 $ — $ — |
Schedule of gains and losses on equity investments | 2021 2020 Net gains (losses) recognized during the period on equity investments $ 19,000 $ (176,000) Less: net gains recognized during the period on equity investments sold during the period — 25,000 Unrealized gains (losses) recognized during the period on equity investments still held at period end $ 19,000 $ (201,000) |
Business Operations - Dover Int
Business Operations - Dover International Speedway (Details) | 3 Months Ended |
Mar. 31, 2021item | |
Business Operations | |
Number of events promoted | 6 |
NASCAR Cup Series events | |
Business Operations | |
Number of events promoted | 2 |
NASCAR Nationwide Series Events [Member] | |
Business Operations | |
Number of events promoted | 2 |
NASCAR Gander RV & Outdoors Truck Series event | |
Business Operations | |
Number of events promoted | 1 |
Nascar ARCA Menards Series East event | |
Business Operations | |
Number of events promoted | 1 |
Business Operations - Assets he
Business Operations - Assets held for sale (Details) - Nashville Superspeedway | Nov. 05, 2020USD ($)a | Jul. 29, 2020USD ($)a | Jul. 26, 2019USD ($)a | Mar. 02, 2018USD ($) | Sep. 01, 2017USD ($)a | Mar. 31, 2021a | Jun. 25, 2019USD ($) | Aug. 17, 2017USD ($)a |
Assets held for sale | ||||||||
Business Operations | ||||||||
Acres | a | 350 | 650 | ||||||
Non-refundable deposit | $ 500,000 | |||||||
Proceeds, less closing costs | $ 14,355,000 | |||||||
Land [Member] | ||||||||
Business Operations | ||||||||
Acres | a | 97 | 133 | 88 | 147 | ||||
Purchase price (per acre) | $ 35,000 | |||||||
Option purchase price (per acre) | $ 55,000 | |||||||
Non-refundable deposit | $ 500,000 | |||||||
Period of option to execute the agreement | 3 years | |||||||
Proceeds, less closing costs | $ 6,460,000 | $ 6,397,000 | $ 4,945,000 | |||||
Net proceeds after taxes | 5,290,000 | 5,314,000 | 4,150,000 | |||||
Gain (loss) on sale of land | $ 4,843,000 | $ 4,186,000 | $ 2,512,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Property and equipment (Details) - USD ($) | Mar. 31, 2021 | Dec. 31, 2020 |
Summary of Significant Accounting Policies | ||
Accumulated depreciation | $ 71,089,000 | $ 70,374,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Revenue recognition (Details) | 3 Months Ended | |
Mar. 31, 2021USD ($)item | Mar. 31, 2020USD ($) | |
Contract with customer liability rollforward | ||
Balance, beginning of period | $ 1,395,000 | $ 976,000 |
Reductions from beginning balance | (76,000) | |
Additional liabilities recorded during the period | 6,442,000 | 1,974,000 |
Reduction of additional liabilities recorded during the period, not from beginning balance | (36,000) | (41,000) |
Balance, end of period | 7,725,000 | $ 2,909,000 |
Unsatisfied performance obligations amount | $ 5,478,000 | |
Remittance period (in days) | 30 days | |
Gross broadcast rights fees retained by NASCAR (in percent) | 10.00% | |
Gross broadcast rights fees recorded as revenue (in percent) | 90.00% | |
Gross broadcast rights fees payable to the event (in percent) | 25.00% | |
Minimum [Member] | ||
Contract with customer liability rollforward | ||
Contract term (in years) | 1 year | |
Maximum [Member] | ||
Contract with customer liability rollforward | ||
Contract term (in years) | 3 years | |
NASCAR | ||
Revenue recognition | ||
Events excluded from revenue based on contract with customers (number) | item | 2 | |
Events 2022 [Member] | ||
Revenue recognition | ||
Contract liabilities | $ 150,000 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Expense recognition (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Summary of Significant Accounting Policies | ||
Advertising expenses | $ 434,000 | $ 52,000 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Net earnings per common share (Details) - USD ($) $ / shares in Units, $ in Thousands | Oct. 28, 2020 | Mar. 31, 2021 | Mar. 31, 2020 |
Net loss | $ (3,202) | $ (3,140) | |
Net earnings available to common stockholders | $ (3,202) | $ (3,140) | |
Weighted-average shares outstanding - basic and diluted | 35,913,000 | 35,834,000 | |
Net earnings per common share - basic and diluted | $ (0.09) | $ (0.09) | |
Options outstanding (in shares) | 0 | 0 | |
Dividends paid | $ 0 | $ 0 | |
Annual cash dividend on both classes of common stock | |||
Annual cash dividend declared | $ 0.04 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Accounting for stock-based compensation (Details) - Restricted Stock [Member] - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Accounting for stock-based compensation | ||
Stock-based compensation expense | $ 124,000 | $ 92,000 |
Income tax benefits related to vesting of restricted stock awards | $ 37,000 | $ 8,000 |
Long-Term Debt (Details)
Long-Term Debt (Details) | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Minimum [Member] | |
Long-Term Debt | |
Maximum borrowing capacity | $ 25,000,000 |
Maximum [Member] | |
Long-Term Debt | |
Maximum borrowing capacity | 30,000,000 |
Line of Credit [Member] | |
Long-Term Debt | |
Maximum borrowing capacity | 25,000,000 |
Amount outstanding under the credit facility | 0 |
Remaining maximum borrowing capacity | $ 12,494,000 |
Line of Credit [Member] | Minimum [Member] | LIBOR | |
Long-Term Debt | |
Basis points (in percent) | 1.25% |
Line of Credit [Member] | Maximum [Member] | LIBOR | |
Long-Term Debt | |
Basis points (in percent) | 1.75% |
Pension Plans (Details)
Pension Plans (Details) - USD ($) | Mar. 31, 2021 | Dec. 31, 2020 |
Pension Plans, Defined Benefit [Member] | ||
Pension plans | ||
Fair values of pension assets | $ 1,334,000 | $ 1,322,000 |
Pension Plans - Defined benefit
Pension Plans - Defined benefit plan (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Components of net periodic pension benefit | ||
Interest cost | $ 83,000 | $ 108,000 |
Expected return on plan assets | (208,000) | (185,000) |
Recognized net actuarial loss | 42,000 | 41,000 |
Total net periodic pension benefit | (83,000) | $ (36,000) |
Minimum required pension contributions for 2021 | $ 0 |
Pension Plans - SERP (Details)
Pension Plans - SERP (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
SERP | |||
Defined contribution plan | |||
Expenses recorded | $ 25,000 | $ 30,000 | |
Employer contributions | 88,000 | 120,000 | |
Liability for pension benefits | 25,000 | $ 88,000 | |
Defined Contribution 401 K Plan [Member] | |||
Defined contribution plan | |||
Employer contributions | $ 35,000 | $ 36,000 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Changes in the components of stockholders' equity | ||||
Balance at the beginning of the period | $ 69,027,000 | |||
Net earnings | (3,202,000) | $ (3,140,000) | ||
Change in net actuarial loss and prior service cost, net of income tax expense | 11,000 | 29,000 | ||
Balance at the end of the period | 65,843,000 | $ 69,027,000 | ||
Income tax expense on change in net actuarial loss and prior service cost | 12,000 | 11,000 | ||
Accumulated other comprehensive loss, net of income taxes | ||||
Net actuarial loss and prior service cost not yet recognized in net periodic benefit cost, net of income tax benefit | 3,774,000 | 3,662,000 | 3,785,000 | $ 3,691,000 |
Income tax benefit on net actuarial loss and prior service cost not yet recognized in net periodic benefit cost | 2,509,000 | 2,474,000 | 2,521,000 | 2,485,000 |
Common Stock [Member] | Common Stock [Member] | ||||
Changes in the components of stockholders' equity | ||||
Balance at the beginning of the period | 1,786,000 | 1,782,000 | 1,782,000 | |
Issuance of restricted stock awards, net of forfeitures | 12,000 | 13,000 | ||
Repurchase and retirement of common stock | (5,000) | (5,000) | ||
Balance at the end of the period | 1,793,000 | 1,790,000 | 1,786,000 | 1,782,000 |
Common Stock [Member] | Common Class A [Member] | ||||
Changes in the components of stockholders' equity | ||||
Balance at the beginning of the period | 1,851,000 | 1,851,000 | 1,851,000 | |
Balance at the end of the period | 1,851,000 | 1,851,000 | 1,851,000 | 1,851,000 |
Additional Paid-in Capital [Member] | ||||
Changes in the components of stockholders' equity | ||||
Balance at the beginning of the period | 101,207,000 | 100,994,000 | 100,994,000 | |
Issuance of restricted stock awards, net of forfeitures | (12,000) | (13,000) | ||
Stock-based compensation | 124,000 | 92,000 | ||
Repurchase and retirement of common stock | (112,000) | (89,000) | ||
Balance at the end of the period | 101,207,000 | 100,984,000 | 101,207,000 | 100,994,000 |
Retained Earnings [Member] | ||||
Changes in the components of stockholders' equity | ||||
Balance at the beginning of the period | (32,032,000) | (36,968,000) | (36,968,000) | |
Net earnings | (3,202,000) | (3,140,000) | ||
Balance at the end of the period | (35,234,000) | (40,108,000) | (32,032,000) | (36,968,000) |
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Changes in the components of stockholders' equity | ||||
Balance at the beginning of the period | (3,785,000) | (3,691,000) | (3,691,000) | |
Change in net actuarial loss and prior service cost, net of income tax expense | (11,000) | 29,000 | ||
Balance at the end of the period | $ (3,774,000) | $ (3,662,000) | $ (3,785,000) | $ (3,691,000) |
Stockholders' Equity - Stock in
Stockholders' Equity - Stock incentive plan (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2014 | Jul. 28, 2004 | |
Stockholders Equity | ||||
Maximum number of shares authorized for grant | 2,000,000 | |||
Options granted (in shares) | 141,000 | 158,000 | ||
Number of shares available for granting options or stock awards | 1,051,000 | |||
Share Repurchase Authorization 2004 [Member] | ||||
Stockholders Equity | ||||
Number of shares of common stock authorized to be repurchased | 2,000,000 | |||
Number of shares purchased | 0 | |||
Remaining number of shares authorized to be repurchased | 384,809 | |||
Restricted Stock [Member] | ||||
Stockholders Equity | ||||
Number of shares purchased and retired | 51,791 | 50,572 | ||
Average purchase price of shares purchased and retired (in dollars per share) | $ 2.27 | $ 1.86 | ||
Vesting rights percentage each year beginning on the second anniversary date of the grant | 20.00% | |||
Service period over which the aggregate market value of stock is being amortized | 6 years | |||
Additional disclosure | ||||
Stock-based compensation expense | $ 124,000 | $ 92,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Gains and losses on equity instruments | |||
Net gains (losses) recognized during the period on equity investments | $ 19,000 | $ (176,000) | |
Less: net gains recognized during the period on equity investments sold during the period | 25,000 | ||
Unrealized gains (losses) recognized during the period on equity investments still held at period end | 19,000 | $ (201,000) | |
Estimate of Fair Value, Fair Value Disclosure [Member] | |||
Fair Value Measurements | |||
Investments | 1,334,000 | $ 1,322,000 | |
Fair Value, Inputs, Level 1 [Member] | |||
Fair Value Measurements | |||
Investments | $ 1,334,000 | $ 1,322,000 |
Related Party Transactions (Det
Related Party Transactions (Details) | 3 Months Ended |
Mar. 31, 2021mi | |
Affiliated Entity [Member] | |
Related Party Transactions | |
Harness racing track length (in miles) | 0.625 |
Motorsports superspeedway length (in miles) | 1 |
Period for set up and tear down rights | 14 days |
Board of Directors Chairman [Member] | |
Related Party Transactions | |
Voting rights (in percent) | 50.00% |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) | Dec. 31, 2011 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | Sep. 30, 1999 |
Contingent obligation | |||||
Provision for contingent obligation | $ 2,250,000 | $ (34,000) | $ 369,000 | ||
Provision for contingent obligation | 3,184,000 | $ 3,218,000 | |||
Increase (decrease) in the provision for contingent obligation due to changing interest rates | 34,000 | $ 369,000 | |||
Nontaxable Municipal Bonds [Member] | Indirect Guarantee of Indebtedness [Member] | |||||
Commitments and Contingencies | |||||
Debt issued | $ 25,900,000 | ||||
Outstanding amount | 12,300,000 | ||||
Balance available in the sales and incremental property tax fund | 1,118,000 | 217,000 | |||
Amount paid into the sales and incremental property tax fund | 945,000 | ||||
Debt service fee | $ 1,365,000 | ||||
Nontaxable Municipal Bonds [Member] | Irrevocable direct-pay letter of credit | |||||
Commitments and Contingencies | |||||
Irrevocable direct-pay letter of credit issued | 12,506,000 | ||||
Nontaxable Municipal Bonds [Member] | Minimum [Member] | Indirect Guarantee of Indebtedness [Member] | |||||
Commitments and Contingencies | |||||
Annual payment range | 1,100,000 | ||||
Nontaxable Municipal Bonds [Member] | Maximum [Member] | Indirect Guarantee of Indebtedness [Member] | |||||
Commitments and Contingencies | |||||
Annual payment range | $ 1,600,000 |