Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 04, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity Registrant Name | VECTOR GROUP LTD | |
Entity Incorporation, State or Country Code | DE | |
Entity File Number | 1-5759 | |
Entity Tax Identification Number | 65-0949535 | |
Entity Address, Address Line One | 4400 Biscayne Boulevard | |
Entity Address, City or Town | Miami | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33137 | |
City Area Code | 305 | |
Local Phone Number | 579-8000 | |
Title of 12(b) Security | Common stock, par value $0.10 per share | |
Trading Symbol | VGR | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 154,795,902 | |
Entity Central Index Key | 0000059440 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 323,885 | $ 193,411 |
Investment securities at fair value | 122,394 | 146,687 |
Accounts receivable - trade, net | 29,728 | 16,067 |
Inventories | 93,419 | 94,615 |
Income taxes receivable, net | 4,279 | 10,948 |
Other current assets | 7,938 | 10,075 |
Total current assets | 581,643 | 471,803 |
Property, plant and equipment, net | 36,030 | 36,883 |
Investments in real estate, net | 0 | 9,098 |
Long-term investments (includes $29,090 and $32,089 at fair value) | 45,522 | 53,073 |
Investments in real estate ventures | 108,864 | 105,062 |
Operating lease right-of-use assets | 9,272 | 10,972 |
Intangible assets | 107,511 | 107,511 |
Other assets | 105,762 | 76,685 |
Total assets | 994,604 | 871,087 |
Current liabilities: | ||
Current portion of notes payable and long-term debt | 51 | 79 |
Current payments due under the Master Settlement Agreement | 136,245 | 11,886 |
Current operating lease liability | 3,795 | 3,838 |
Other current liabilities | 144,659 | 149,487 |
Total current liabilities | 284,750 | 165,290 |
Notes payable, long-term debt and other obligations, less current portion | 1,400,701 | 1,398,591 |
Non-current employee benefits | 69,357 | 68,970 |
Deferred income taxes, net | 33,518 | 34,768 |
Non-current operating lease liability | 6,981 | 8,853 |
Payments due under the Master Settlement Agreement | 11,116 | 13,224 |
Other liabilities | 19,093 | 22,944 |
Total liabilities | 1,825,516 | 1,712,640 |
Commitments and contingencies (Note 9) | ||
Stockholders' deficiency: | ||
Preferred stock, par value $1 per share, 10,000,000 shares authorized | 0 | 0 |
Common stock, par value $0.1 per share, 250,000,000 shares authorized, 154,896,129 and 153,959,427 shares issued and outstanding | 15,490 | 15,396 |
Additional paid-in capital | 3,066 | 11,172 |
Accumulated deficit | (834,297) | (852,398) |
Accumulated other comprehensive loss | (15,171) | (15,723) |
Total Vector Group Ltd. stockholders' deficiency | (830,912) | (841,553) |
Total liabilities and stockholders' deficiency | $ 994,604 | $ 871,087 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Long-term investments, fair value | $ 29,090 | $ 32,089 |
Stockholders' deficiency: | ||
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, par value (in dollars per share) | $ 0.1 | $ 0.1 |
Common stock, shares authorized (in shares) | 250,000,000 | 250,000,000 |
Common stock, shares issued (in shares) | 154,896,129 | 153,959,427 |
Common stock, shares outstanding (in shares) | 154,896,129 | 153,959,427 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | ||
Revenues: | |||||
Total revenues | $ 387,202 | $ 337,554 | $ 699,244 | $ 608,542 | |
Cost of sales: | |||||
Total cost of sales | 271,238 | 213,891 | 484,053 | 378,798 | |
Operating, selling, administrative and general expenses | 25,196 | 29,770 | 49,225 | 59,871 | |
Litigation settlement and judgment expense | 57 | 0 | 129 | 5 | |
Operating income | 90,711 | 93,893 | 165,837 | 169,868 | |
Other income (expenses): | |||||
Interest expense | (30,724) | (28,072) | (55,822) | (56,793) | |
Loss on extinguishment of debt | 0 | 0 | 0 | (21,362) | |
Equity in (losses) earnings from investments | (2,311) | 941 | (4,553) | 1,518 | |
Equity in (losses) earnings from real estate ventures | (460) | 16,610 | (2,337) | 18,199 | |
Other, net | (3,094) | 8,613 | (4,239) | 11,319 | |
Income before provision for income taxes | 54,122 | 91,985 | 98,886 | 122,749 | |
Income tax expense | 14,969 | 27,004 | 27,191 | 36,218 | |
Income from continuing operations | 39,153 | 64,981 | 71,695 | 86,531 | |
Income from discontinued operations, net of income taxes | 0 | 28,324 | 0 | 38,731 | |
Net income | $ 39,153 | $ 93,305 | $ 71,695 | $ 125,262 | |
Per basic common share: | |||||
Net income from continuing operations applicable to common shares (in dollars per share) | $ 0.25 | $ 0.41 | $ 0.46 | $ 0.55 | |
Net income from discontinued operations applicable to common shares (in dollars per share) | 0 | 0.19 | 0 | 0.25 | |
Net income applicable to common shares (in dollars per share) | 0.25 | 0.60 | 0.46 | 0.80 | |
Per diluted common share: | |||||
Net income from continuing operations applicable to common shares (in dollars per share) | 0.25 | 0.41 | 0.45 | 0.55 | |
Net income from discontinued operations applicable to common shares (in dollars per share) | 0 | 0.19 | 0 | 0.25 | |
Net income applicable to common shares (in dollars per share) | $ 0.25 | $ 0.60 | $ 0.45 | $ 0.80 | |
Tobacco | |||||
Revenues: | |||||
Tobacco | [1] | $ 374,312 | $ 329,496 | $ 683,360 | $ 597,959 |
Cost of sales: | |||||
Total cost of sales | [1] | 265,189 | 206,145 | 476,726 | 370,176 |
Real estate | |||||
Revenues: | |||||
Real estate | 12,890 | 8,058 | 15,884 | 10,583 | |
Cost of sales: | |||||
Total cost of sales | $ 6,049 | $ 7,746 | $ 7,327 | $ 8,622 | |
[1]Revenues and cost of sales include federal excise taxes of $137,884, $118,735, $253,963, and $216,449 for the three and six months ended June 30, 2022 and 2021, respectively. |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Tax portion of revenues and cost of goods sold | $ 137,884 | $ 118,735 | $ 253,963 | $ 216,449 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 39,153 | $ 93,305 | $ 71,695 | $ 125,262 |
Net unrealized losses on investment securities available for sale: | ||||
Change in net unrealized losses | (671) | (122) | (1,893) | (304) |
Net unrealized losses (gains) reclassified into net income | 665 | 34 | 1,830 | (7) |
Net unrealized losses on investment securities available for sale | (6) | (88) | (63) | (311) |
Net change in pension-related amounts: | ||||
Amortization of loss | 404 | 481 | 808 | 963 |
Net change in pension-related amounts | 404 | 481 | 808 | 963 |
Other comprehensive income | 398 | 393 | 745 | 652 |
Income tax effect on: | ||||
Change in net unrealized losses on investment securities | 172 | 33 | 488 | 82 |
Net unrealized losses (gains) reclassified into net income on investment securities | (171) | (9) | (472) | 2 |
Pension-related amounts | (104) | (130) | (209) | (260) |
Income tax provision on other comprehensive income | (103) | (106) | (193) | (176) |
Other comprehensive income, net of tax | 295 | 287 | 552 | 476 |
Comprehensive income | $ 39,448 | $ 93,592 | $ 72,247 | $ 125,738 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Stockholders' Deficiency - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance (in shares) | 153,959,427 | |||
Beginning Balance | $ (840,652) | $ (656,499) | $ (841,553) | $ (659,687) |
Net income | 39,153 | 93,305 | 71,695 | 125,262 |
Total other comprehensive income | 295 | 287 | 552 | 476 |
Distributions and dividends on common stock | (31,759) | (31,610) | (63,526) | (63,228) |
Restricted stock grants | 0 | 0 | 0 | |
Withholding of shares as payment of payroll tax liabilities in connection with restricted stock vesting | (519) | (608) | (1,557) | (608) |
Stock-based compensation | 2,570 | 3,080 | 4,717 | 5,740 |
Reallocation of distribution of Douglas Elliman | $ 0 | 0 | ||
Other | $ (1,240) | |||
Ending Balance (in shares) | 154,896,129 | 154,896,129 | ||
Ending Balance | $ (830,912) | $ (592,045) | $ (830,912) | $ (592,045) |
Common Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance (in shares) | 154,938,177 | 154,194,629 | 153,959,427 | 153,324,629 |
Beginning Balance | $ 15,494 | $ 15,419 | $ 15,396 | $ 15,332 |
Restricted stock grant (in shares) | 3,500 | 1,070,000 | 873,500 | |
Restricted stock grants | $ 1 | $ 107 | $ 88 | |
Withholding of shares as payment of payroll tax liabilities in connection with restricted stock vesting (in shares) | (42,048) | (42,029) | (133,298) | (42,029) |
Withholding of shares as payment of payroll tax liabilities in connection with restricted stock vesting | $ (4) | $ (4) | $ (13) | $ (4) |
Ending Balance (in shares) | 154,896,129 | 154,156,100 | 154,896,129 | 154,156,100 |
Ending Balance | $ 15,490 | $ 15,416 | $ 15,490 | $ 15,416 |
Additional Paid-In | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | 12,183 | 2,573 | 11,172 | 0 |
Restricted stock grants | (1) | (107) | (88) | |
Withholding of shares as payment of payroll tax liabilities in connection with restricted stock vesting | (515) | (604) | (1,544) | (604) |
Stock-based compensation | 2,570 | 3,080 | 4,717 | 5,740 |
Reallocation of distribution of Douglas Elliman | (11,172) | (11,172) | ||
Ending Balance | 3,066 | 5,048 | 3,066 | 5,048 |
Accumulated Deficit | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | (852,863) | (653,606) | (852,398) | (653,945) |
Net income | 39,153 | 93,305 | 71,695 | 125,262 |
Distributions and dividends on common stock | (31,759) | (31,610) | (63,526) | (63,228) |
Reallocation of distribution of Douglas Elliman | 11,172 | 11,172 | ||
Other | (1,240) | |||
Ending Balance | (834,297) | (591,911) | (834,297) | (591,911) |
Accumulated Other Comprehensive Loss | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | (15,466) | (20,885) | (15,723) | (21,074) |
Total other comprehensive income | 295 | 287 | 552 | 476 |
Ending Balance | (15,171) | (20,598) | (15,171) | (20,598) |
Non-controlling Interest | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | 0 | 0 | ||
Ending Balance | $ 0 | $ 0 | $ 0 | $ 0 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Stockholders' Deficiency (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Distributions and dividends on common stock (in dollars per share) | $ 0.20 | $ 0.20 | $ 0.40 | $ 0.40 |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Cash Flows [Abstract] | ||
Net cash provided by operating activities | $ 211,211 | $ 221,300 |
Cash flows from investing activities: | ||
Sale of investment securities | 21,011 | 23,477 |
Maturities of investment securities | 36,357 | 36,461 |
Purchase of investment securities | (39,000) | (74,805) |
Proceeds from sale or liquidation of long-term investments | 1,101 | 8,009 |
Purchase of long-term investments | (1,000) | (6,963) |
Investments in real estate ventures | (10,456) | (9,902) |
Distributions from investments in real estate ventures | 3,641 | 11,163 |
Increase in cash surrender value of life insurance policies | (1,282) | (1,348) |
Increase in restricted assets | 0 | (5) |
Issuance of notes receivable | (10) | 0 |
Capital expenditures | (2,911) | (3,055) |
Paydowns of investment securities | 114 | 302 |
Net cash provided by (used in) investing activities | 7,565 | (16,666) |
Cash flows from financing activities: | ||
Proceeds from issuance of debt | 0 | 875,000 |
Deferred financing costs | 0 | (20,109) |
Repayments of debt | (17) | (856,316) |
Borrowings under revolving credit facility | 67,373 | 7,699 |
Repayments on revolving credit facility | (67,375) | (7,699) |
Dividends on common stock | (63,327) | (63,738) |
Other | (938) | (51) |
Net cash used in financing activities | (64,284) | (65,214) |
Net increase in cash, cash equivalents and restricted cash | 154,492 | 139,420 |
Cash, cash equivalents and restricted cash, beginning of period | 194,849 | 365,677 |
Cash, cash equivalents and restricted cash, end of period | $ 349,341 | $ 505,097 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (a) Basis of Presentation : The condensed consolidated financial statements of Vector Group Ltd. (the “Company” or “Vector”) include the accounts of Liggett Group LLC (“Liggett”), Vector Tobacco LLC (“Vector Tobacco”), Liggett Vector Brands LLC (“Liggett Vector Brands”), New Valley LLC (“New Valley”) and other less significant subsidiaries. New Valley includes the accounts of other less significant subsidiaries. All significant intercompany balances and transactions have been eliminated. Liggett and Vector Tobacco are engaged in the manufacture and sale of cigarettes in the United States. Liggett Vector Brands coordinates Liggett and Vector Tobacco’s sales and marketing efforts. Certain references to “Liggett” refer to the Company’s tobacco operations, including the business of Liggett and Vector Tobacco, unless otherwise specified. New Valley is engaged in the real estate business. The unaudited, interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and, in management’s opinion, contain all adjustments, consisting only of normal recurring items, necessary for a fair statement of the results for the periods presented. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the Securities and Exchange Commission (“SEC”). The consolidated results of operations for interim periods should not be regarded as necessarily indicative of the results that may be expected for the entire year. (b) Distributions and Dividends on Common Stock : The Company records distributions on its common stock as dividends in its condensed consolidated statements of stockholders’ deficiency to the extent of retained earnings and net income for the respective fiscal year. Any amounts exceeding retained earnings and net income are recorded as a reduction to additional paid-in capital to the extent paid-in-capital is available and then to accumulated deficit. (c) Earnings Per Share (“EPS”) : Net income for purposes of determining basic and diluted EPS for discontinued operations and net income available to common stockholders was as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net income from continuing operations $ 39,153 $ 64,981 $ 71,695 $ 86,531 Net income from discontinued operations — 28,324 — 38,731 Net income 39,153 93,305 71,695 125,262 Income from continuing operations attributable to participating securities (1,249) (2,699) (2,226) (3,411) Net income applicable to common shares $ 37,904 $ 90,606 $ 69,469 $ 121,851 Net income for purposes of determining basic and diluted EPS for continuing operations applicable to common shares was as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net income from continuing operations $ 39,153 $ 64,981 $ 71,695 $ 86,531 Income from continuing operations attributable to participating securities (1,249) (1,829) (2,226) (2,261) Net income available to common stockholders $ 37,904 $ 63,152 $ 69,469 $ 84,270 Basic and diluted EPS for continuing and discontinued operations were calculated using the following common shares: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Weighted-average shares for basic EPS 152,700,134 152,285,182 152,643,830 152,267,410 Plus incremental shares related to stock options and non-vested restricted stock 263,362 282,313 210,230 206,381 Weighted-average shares for diluted EPS 152,963,496 152,567,495 152,854,060 152,473,791 It may not be possible to recalculate EPS attributable to common stockholders by adjusting EPS from continuing operations by EPS from discontinued operations as each amount is calculated independently. The following non-vested restricted stock was outstanding during the three and six months ended June 30, 2022 and 2021, but was not included in the computation of diluted EPS because the impact of the per share expense associated with the restricted stock was greater than the average market price of the common shares during the respective periods. Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Weighted-average shares of non-vested restricted stock — — — — Weighted-average expense per share $ — $ — $ — $ — (d) Other, net : Other, net consisted of: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Interest and dividend income $ 935 $ 457 $ 1,385 $ 991 Net (losses) gains recognized on investment securities (4,130) 8,401 (7,169) 10,816 Net periodic benefit cost other than the service costs (237) (243) (473) (487) Other income (expense) 338 (2) 2,018 (1) Other, net $ (3,094) $ 8,613 $ (4,239) $ 11,319 (e) Other Assets : Other assets consisted of: June 30, December 31, 2021 Restricted assets $ 25,569 $ 1,551 Prepaid pension costs 45,148 44,585 Other assets 35,045 30,549 Total other assets $ 105,762 $ 76,685 (f) Other Current Liabilities : Other current liabilities consisted of: June 30, December 31, 2021 Accounts payable $ 7,590 $ 9,443 Accrued promotional expenses 60,342 55,647 Accrued excise and payroll taxes payable, net 22,701 22,919 Accrued interest 30,676 30,676 Accrued salaries and benefits 5,979 13,982 Allowance for sales returns 6,496 6,669 Other current liabilities 10,875 10,151 Total other current liabilities $ 144,659 $ 149,487 (g) Reconciliation of Cash, Cash Equivalents and Restricted Cash : The components of “Cash, cash equivalents and restricted cash” in the condensed consolidated statements of cash flows were as follows: June 30, December 31, Cash and cash equivalents $ 323,885 $ 193,411 Restricted cash and cash equivalents included in other assets 25,456 1,438 Total cash, cash equivalents, and restricted cash shown in the condensed consolidated statements of cash flows $ 349,341 $ 194,849 (h) Related Party Transactions : Agreements with Douglas Elliman. The Company received $1,050 and $2,100 under the Transition Services Agreement and $686 and $1,177 under the Aircraft Lease Agreement during the three and six months ended June 30, 2022. The Company has agreed to indemnify Douglas Elliman for certain tax matters under the Tax Disaffiliation Agreement. The Company has recorded a payable of $553 in its condensed consolidated balance sheet as of June 30, 2022 as well as Other expense of $553 in its condensed consolidated statement of operations for each of the three and six months ended June 30, 2022 related to the tax indemnification. Real estate venture investments. Douglas Elliman has been engaged by the developers as the sole broker or the co-broker for several of the real estate development projects that New Valley owns an interest in through its real estate venture investments. Douglas Elliman had gross commissions of approximately $201, $4,228, $1,101, and $6,585 from these projects for the three and six months ended June 30, 2022 and 2021, respectively. (i) New Accounting Pronouncements : ASUs to be adopted in future periods: In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . The ASU requires that an acquirer recognize and measure contract assets and contract liabilities in a business combination in accordance with Topic 606. The ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the impact of the new guidance on its condensed consolidated financial statements. SEC Proposed Rules On March 21, 2022, the SEC proposed rule changes that would require registrants to provide certain climate-related information in their registration statements and annual reports. The proposed rules would require information about a registrant's climate-related risks that are reasonably likely to have a material impact on its business, results of operations, or financial condition. The required information about climate-related risks would also include disclosure of a registrant's greenhouse gas emissions, which have become a commonly used metric to assess a registrant's exposure to such risks. In addition, under the proposed rules, certain climate-related financial metrics would be required in a registrant's audited financial statements. The Company is currently evaluating the impact of the proposed rule changes. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | REVENUE RECOGNITION Disaggregation of Revenue The Company disaggregates revenues by segment. Tobacco . Tobacco segment revenues are not disaggregated because all revenues are generated from the discount segment of the U.S. cigarette industry. Real Estate. Real Estate segment revenues are disaggregated in the table below. Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Real Estate Segment Revenues Sales on facilities located on investments in real estate $ 290 $ 1,308 $ 3,259 $ 2,933 Revenues from investments in real estate 12,600 6,750 12,625 7,650 Total real estate revenues $ 12,890 $ 8,058 $ 15,884 $ 10,583 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Leases | LEASES The Company has operating and finance leases for corporate and sales offices, and certain vehicles and equipment. The components of lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating lease cost $ 1,110 $ 1,150 $ 2,235 $ 2,316 Short-term lease cost 101 92 204 183 Variable lease cost 140 53 196 105 Finance lease cost: Amortization 6 14 20 30 Interest on lease liabilities 1 2 3 5 Total lease cost $ 1,358 $ 1,311 $ 2,658 $ 2,639 Supplemental cash flow information related to leases was as follows: Six Months Ended June 30, 2022 2021 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 2,455 $ 2,487 Operating cash flows from finance leases 3 5 Financing cash flows from finance leases 23 28 Right-of-use assets obtained in exchange for lease obligations: Operating leases 31 107 Finance leases — — As of June 30, 2022, the Company had $120 in undiscounted lease payments relating to operating leases for equipment that have not yet commenced. The operating leases will commence in the second half of 2022 with lease terms ranging between 2 and 3 years. |
Leases | LEASES The Company has operating and finance leases for corporate and sales offices, and certain vehicles and equipment. The components of lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating lease cost $ 1,110 $ 1,150 $ 2,235 $ 2,316 Short-term lease cost 101 92 204 183 Variable lease cost 140 53 196 105 Finance lease cost: Amortization 6 14 20 30 Interest on lease liabilities 1 2 3 5 Total lease cost $ 1,358 $ 1,311 $ 2,658 $ 2,639 Supplemental cash flow information related to leases was as follows: Six Months Ended June 30, 2022 2021 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 2,455 $ 2,487 Operating cash flows from finance leases 3 5 Financing cash flows from finance leases 23 28 Right-of-use assets obtained in exchange for lease obligations: Operating leases 31 107 Finance leases — — As of June 30, 2022, the Company had $120 in undiscounted lease payments relating to operating leases for equipment that have not yet commenced. The operating leases will commence in the second half of 2022 with lease terms ranging between 2 and 3 years. |
Discontinued Operations
Discontinued Operations | 6 Months Ended |
Jun. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | DISCONTINUED OPERATIONS On December 29, 2021, the Company completed the distribution to its stockholders (including Vector common stock underlying outstanding stock options awards and restricted stock awards) of the common stock of Douglas Elliman Inc. (the “Distribution”). There were no assets or liabilities of discontinued operations of Douglas Elliman as of June 30, 2022 or December 31, 2021. The financial results of Douglas Elliman through the completion of the Distribution are presented as income from discontinued operations, net of income taxes on the Company’s condensed consolidated statements of operations. The following table presents financial results of Douglas Elliman for the periods prior to the completion of the Distribution: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 (Dollars in thousands) Revenues: Real estate $ — $ 391,975 $ — $ 664,751 Expenses: Cost of sales — 286,519 — 485,154 Operating, selling, administrative and general expenses — 62,273 — 122,186 Operating income — 43,183 — 57,411 Other income (expenses): Interest expense — (43) — (73) Equity in earnings from real estate ventures — 75 — 75 Other, net — (3,035) — (2,987) Pretax income from discontinued operations — 40,180 — 54,426 Income tax expense — 11,856 — 15,695 Income from discontinued operations $ — $ 28,324 $ — $ 38,731 The following table presents the information regarding certain components of cash flows from discontinued operations: Six Months Ended June 30, 2022 2021 (Dollars in thousands) Depreciation and amortization $ — $ 4,220 Non-cash lease expense — 9,094 Capital expenditures — (1,263) |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | INVENTORIES Inventories consisted of: June 30, December 31, Leaf tobacco $ 38,416 $ 38,825 Other raw materials 10,172 7,560 Work-in-process 774 2,639 Finished goods 62,984 64,218 Inventories at current cost 112,346 113,242 LIFO adjustments (18,927) (18,627) $ 93,419 $ 94,615 All of the Company’s inventories at June 30, 2022 and December 31, 2021 are reported under the LIFO method. The $18,927 LIFO adjustment as of June 30, 2022 reduced the current cost of inventories by $12,428 for Leaf tobacco, $829 for Other raw materials, $18 for Work-in-process and $5,652 for Finished goods. The $18,627 LIFO adjustment as of December 31, 2021 reduced the current cost of inventories by $12,128 for Leaf tobacco, $829 for Other raw materials, $18 for Work-in-process and $5,652 for Finished goods. The amount of capitalized Master Settlement Agreement (“MSA”) cost in “Finished goods” inventory was $21,419 and $20,450 at June 30, 2022 and December 31, 2021, respectively. Federal excise tax capitalized in inventory was $25,236 and $25,160 at June 30, 2022 and December 31, 2021, respectively. At June 30, 2022, Liggett had tobacco purchase commitments of approximately $20,033. Liggett has a single-source supply agreement for reduced ignition propensity cigarette paper through December 2025. |
Investment Securities
Investment Securities | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | INVESTMENT SECURITIES Investment securities consisted of the following: June 30, December 31, 2021 Debt securities available for sale $ 85,371 $ 103,906 Equity securities at fair value: Marketable equity securities 14,967 19,560 Mutual funds invested in debt securities 22,056 23,221 Long-term investment securities at fair value (1) 29,090 32,089 Total equity securities at fair value 66,113 74,870 Total investment securities at fair value 151,484 178,776 Less: Long-term investment securities at fair value (1) 29,090 32,089 Current investment securities at fair value $ 122,394 $ 146,687 Long-term investment securities at fair value (1) $ 29,090 $ 32,089 Equity-method investments 16,432 20,984 Total long-term investments $ 45,522 $ 53,073 Equity securities at cost (2) $ 6,200 $ 5,200 (1) These assets are measured at net asset value (“NAV”) as a practical expedient under ASC 820. (2) These assets are without readily determinable fair values that do not qualify for the NAV practical expedient and are included in Other assets on the condensed consolidated balance sheets. Net (losses) gains recognized on investment securities were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net (losses) gains recognized on equity securities $ (3,465) $ 8,435 $ (5,339) $ 10,809 Net gains recognized on debt securities available for sale 6 10 6 65 Impairment expense (671) (44) (1,836) (58) Net (losses) gains recognized on investment securities $ (4,130) $ 8,401 $ (7,169) $ 10,816 (a) Debt Securities Available for Sale: The components of debt securities available for sale at June 30, 2022 were as follows: Cost Gross Gross Fair Marketable debt securities $ 85,367 $ 4 $ — $ 85,371 The table below summarizes the maturity dates of debt securities available for sale at June 30, 2022. Investment Type: Fair Value Under 1 Year 1 Year up to 5 Years More than 5 Years U.S. Government securities $ 3,072 $ 2,296 $ 776 $ — Corporate securities 50,827 27,011 23,816 — U.S. mortgage-backed securities 25,728 8,557 17,171 — Commercial paper 4,529 4,529 — — Foreign fixed-income securities 1,215 1,215 — — Total debt securities available for sale by maturity dates $ 85,371 $ 43,608 $ 41,763 $ — The components of debt securities available for sale at December 31, 2021 were as follows: Cost Gross Gross Fair Marketable debt securities $ 103,838 $ 68 $ — $ 103,906 There were no available-for-sale debt securities with continuous unrealized losses for less than 12 months and 12 months or greater at June 30, 2022 and December 31, 2021, respectively. Gross realized gains and losses on debt securities available for sale were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Gross realized gains on sales $ 6 $ 11 $ 7 $ 67 Gross realized losses on sales (1) (1) (1) (2) Net gains recognized on debt securities available for sale $ 5 $ 10 $ 6 $ 65 Impairment expense $ (671) $ (44) $ (1,836) $ (58) Although management generally does not have the intent to sell any specific securities at the end of the period, in the ordinary course of managing the Company’s investment securities portfolio, management may sell securities prior to their maturities for a variety of reasons, including diversification, credit quality, yield and liquidity requirements. (b) Equity Securities at Fair Value: The following is a summary of unrealized and realized net losses and gains recognized in net income on equity securities at fair value during the three and six months ended June 30, 2022 and 2021, respectively: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net (losses) gains recognized on equity securities $ (3,465) $ 8,435 $ (5,339) $ 10,809 Less: Net gains recognized on equity securities sold 13 4,054 306 4,223 Net unrealized (losses) gains recognized on equity securities still held at the reporting date $ (3,478) $ 4,381 $ (5,645) $ 6,586 The Company’s investments in mutual funds that invest in debt securities are classified as Level 1 under the fair value hierarchy disclosed in Note 11. Their fair values are based on quoted prices for identical assets in active markets or inputs that are based upon quoted prices for similar instruments in active markets. The Company has unfunded commitments of $514 related to long-term investment securities at fair value as of June 30, 2022. The Company received cash distributions of $1,349 and $8,009 related to its long-term investment securities at fair value for the six months ended June 30, 2022 and 2021, respectively. Of the total $1,349 distributions, the Company classified $248 as operating cash inflows and $1,101 as investing cash inflows for the six months ended June 30, 2022, and the total $8,009 distributions were classified as investing cash inflows for the six months ended June 30, 2021. (c) Equity-Method Investments: Equity-method investments consisted of the following: June 30, December 31, 2021 Mutual fund and hedge funds $ 16,432 $ 20,984 At June 30, 2022, the Company’s ownership percentages in the mutual fund and hedge funds accounted for under the equity method ranged from 6.13% to 37.70%. The Company’s ownership percentage in these investments meets the threshold for equity-method accounting. Equity in (losses) earnings from investments were: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Mutual fund and hedge funds $ (2,311) $ 941 $ (4,553) $ 1,518 (d) Equity Securities Without Readily Determinable Fair Values That Do Not Qualify for the NAV Practical Expedient |
New Valley LLC
New Valley LLC | 6 Months Ended |
Jun. 30, 2022 | |
Real Estate [Abstract] | |
New Valley LLC | NEW VALLEY LLC Investments in real estate ventures: The components of “Investments in real estate ventures” were as follows: Range of Ownership (1) June 30, 2022 December 31, 2021 Condominium and Mixed Use Development: New York City Standard Metropolitan Statistical Area (“SMSA”) 4.2% - 37.0% $ 20,147 $ 22,654 All other U.S. areas 12.5% - 89.1% 60,059 57,485 80,206 80,139 Apartment Buildings: All other U.S. areas 50.0% 10,576 11,900 10,576 11,900 Hotels: New York City SMSA 0.4% - 12.3% 1,098 1,635 International 49.0% 1,217 1,522 2,315 3,157 Commercial: New York City SMSA 49.0% 7,912 — All other U.S. areas 1.6% 7,488 7,290 15,400 7,290 Other: 15.0% - 49.0% 367 2,576 Investments in real estate ventures $ 108,864 $ 105,062 _____________________________ (1) The Range of Ownership reflects New Valley’s estimated current ownership percentage. New Valley’s actual ownership percentage as well as the percentage of earnings and cash distributions may ultimately differ as a result of a number of factors including potential dilution, financing or admission of additional partners. Contributions: The components of New Valley’s contributions to its investments in real estate ventures were as follows: Six Months Ended June 30, 2022 2021 Condominium and Mixed Use Development: New York City SMSA $ 498 $ 396 All other U.S. areas 1,682 6,661 2,180 7,057 Hotels: New York City SMSA 206 1,246 206 1,246 Commercial: New York City SMSA 8,070 — 8,070 — Other: — 1,599 Total contributions $ 10,456 $ 9,902 For ventures where New Valley previously held an investment, New Valley contributed its proportionate share of additional capital along with contributions by the other investment partners during the six months ended June 30, 2022 and 2021. New Valley’s direct investment percentage for these ventures did not significantly change. Distributions: The components of distributions received by New Valley from its investments in real estate ventures were as follows: Six Months Ended June 30, 2022 2021 Condominium and Mixed Use Development: New York City SMSA $ 1,032 $ 3,338 All other U.S. areas — 13,594 1,032 16,932 Apartment Buildings: All other U.S. areas 400 17,567 400 17,567 Commercial: All other U.S. areas 476 219 476 219 Other 4,459 — Total distributions $ 6,367 $ 34,718 Of the distributions received by New Valley from its investment in real estate ventures, $2,726 and $23,555 were from distributions of earnings for the six months ended June 30, 2022 and 2021, respectively, and $3,641 and $11,163 were a return of capital for the six months ended June 30, 2022 and 2021, respectively. Distributions from earnings are included in cash from operations in the condensed consolidated statements of cash flows, while distributions from return of capital are included in cash flows from investing activities in the condensed consolidated statements of cash flows. Equity in Earnings (losses) from Real Estate Ventures: New Valley recognized equity in (losses) earnings from real estate ventures as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Condominium and Mixed Use Development: New York City SMSA $ (955) $ (967) $ (2,171) $ (2,472) All other U.S. areas (479) 7,315 (961) 7,274 (1,434) 6,348 (3,132) 4,802 Apartment Buildings: All other U.S. areas (615) 12,959 (924) 17,567 (615) 12,959 (924) 17,567 Hotels: New York City SMSA (248) (386) (742) (848) International (42) (23) (305) (529) (290) (409) (1,047) (1,377) Commercial: New York City SMSA (158) (2,713) (158) (2,591) All other U.S. areas 302 180 674 273 144 (2,533) 516 (2,318) Other: 1,735 245 2,250 (475) Equity in (losses) earnings from real estate ventures $ (460) $ 16,610 $ (2,337) $ 18,199 Investment in Real Estate Ventures Entered Into During the six months ended June 30, 2022: In June 2022, New Valley invested $410 for an approximate 75.0% interest in Nash Square Upstream JV LLC. The joint venture plans to develop a mixed use development. The venture is a VIE; however, New Valley is not the primary beneficiary. New Valley accounts for this investment under the equity method of accounting. New Valley's maximum exposure to loss as a result of its investment in Nash Square Upstream JV LLC was $410 at June 30, 2022. In June 2022, New Valley invested $1,000 for an approximate 25.0% interest in BH NV Aventura LLC. The joint venture plans to develop a mixed use development. The venture is a VIE; however, New Valley is not the primary beneficiary. New Valley accounts for this investment under the equity method of accounting. New Valley's maximum exposure to loss as a result of its investment in BH NV Aventura LLC was $1,000 at June 30, 2022. VIE Consideration: The Company has determined that New Valley is the primary beneficiary of one real estate venture because it controls the activities that most significantly impact the economic performance of the real estate venture. Consequently, New Valley consolidates this variable interest entity (“VIE”). The carrying amount of the consolidated assets of the VIE was $0 at both June 30, 2022 and December 31, 2021. Those assets are owned by the VIE, not the Company. The consolidated VIE had no recourse liabilities as of June 30, 2022 and December 31, 2021. A VIE’s assets can only be used to settle the obligations of that VIE. The VIE is not a guarantor of the Company’s senior notes and other debts payable. For the remaining investments in real estate ventures, New Valley determined that the entities were VIEs but New Valley was not the primary beneficiary. Therefore, New Valley’s investment in such real estate ventures has been accounted for under the equity method of accounting. Maximum Exposure to Loss: New Valley’s maximum exposure to loss from its investments in real estate ventures consisted of the net carrying value of the venture adjusted for any future capital commitments and/or guarantee arrangements. The maximum exposure to loss was as follows: June 30, 2022 Condominium and Mixed Use Development: New York City SMSA $ 20,147 All other U.S. areas 60,059 80,206 Apartment Buildings: All other U.S. areas 10,576 10,576 Hotels: New York City SMSA 1,098 International 1,217 2,315 Commercial: New York City SMSA 7,912 All other U.S. areas 7,488 15,400 Other 367 Total maximum exposure to loss $ 108,864 New Valley capitalized $1,028 and $2,051 of interest costs into the carrying value of its ventures whose projects were currently under development for the three and six months ended June 30, 2022, respectively. New Valley capitalized $592 and $1,022 of interest costs into the carrying value of its ventures whose projects were currently under development for the three and six months ended June 30, 2021, respectively. Investments in Real Estate, net: The components of “Investments in real estate, net” were as follows: June 30, December 31, Escena, net $ — $ 9,098 Investments in real estate, net $ — $ 9,098 New Valley recorded operating income of $77 and $90 for the three months ended June 30, 2022 and 2021, respectively, from Escena. New Valley recorded operating income of $1,316 and $280 for the six months ended June 30, 2022 and 2021, respectively, from Escena. Escena is a master planned community, golf course, and club house in Palm Springs, California. In April 2022, New Valley sold Escena and received approximately $15,300 in net cash proceeds. The Company recognized the revenue in accordance with the scope of ASC Topic 606 since New Valley has no continuing investment or involvement. The sale was presented as revenue and the cost of the investment as cost of sales on the condensed consolidated statements of operations. |
Notes Payable, Long-Term Debt a
Notes Payable, Long-Term Debt and Other Obligations | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Notes Payable, Long-Term Debt and Other Obligations | NOTES PAYABLE, LONG-TERM DEBT AND OTHER OBLIGATIONS Notes payable, long-term debt and other obligations consisted of: June 30, December 31, Vector: 5.75% Senior Secured Notes due 2029 $ 875,000 $ 875,000 10.5% Senior Notes due 2026, net of unamortized discount of $2,434 and $2,647 552,566 552,353 Liggett: Revolving credit facility 23 24 Equipment loans 51 64 Other — 32 Notes payable, long-term debt and other obligations 1,427,640 1,427,473 Less: Debt issuance costs (26,888) (28,803) Total notes payable, long-term debt and other obligations 1,400,752 1,398,670 Less: Current maturities (51) (79) Amount due after one year $ 1,400,701 $ 1,398,591 5.75% Senior Secured Notes due 2029 — Vector : As of June 30, 2022, the Company was in compliance with all debt covenants related to its 5.75% Senior Secured Notes due 2029. 6.125% Senior Secured Notes due 2025 — Vector : On February 1, 2021, the 6.125% Senior Secured Notes due 2025 were redeemed in full and the Company recorded a loss on the extinguishment of debt of $21,362 for the six months ended June 30, 2021, including $13,013 of premium and $8,349 of other costs and non-cash interest expense related to the recognition of previously unamortized deferred finance costs. 10.5% Senior Notes due 2026 — Vector : As of June 30, 2022, the Company was in compliance with all debt covenants related to its 10.5% Senior Notes due 2026. Revolving Credit Agreement — Liggett : As of June 30, 2022, there was $23 outstanding balance due under the Credit Agreement. Availability, as determined under the Credit Agreement, was approximately $79,500 based on eligible collateral at June 30, 2022. As of June 30, 2022, Liggett, Maple, and Vector Tobacco were in compliance with all debt covenants under the Credit Agreement. Non-Cash Interest Expense — Vector : Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Amortization of debt discount, net $ 108 $ 97 $ 213 $ 191 Amortization of debt issuance costs 1,018 942 2,016 1,835 Loss on extinguishment of 6.125% Senior Secured Notes — — — 8,349 $ 1,126 $ 1,039 $ 2,229 $ 10,375 Fair Value of Notes Payable and Long-Term Debt : June 30, 2022 December 31, 2021 Carrying Fair Carrying Fair Value Value Value Value Senior Notes $ 1,427,566 $ 1,248,116 $ 1,427,353 $ 1,426,176 Liggett and other 74 75 120 124 Notes payable and long-term debt $ 1,427,640 $ 1,248,191 $ 1,427,473 $ 1,426,300 |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | CONTINGENCIES Tobacco-Related Litigation : Overview. Since 1954, Liggett and other United States cigarette manufacturers have been named as defendants in numerous direct, third-party and purported class actions predicated on the theory that cigarette manufacturers should be liable for damages alleged to have been caused by cigarette smoking or by exposure to secondary smoke from cigarettes. The cases have generally fallen into the following categories: (i) smoking and health cases alleging personal injury brought on behalf of individual plaintiffs (“Individual Actions”); (ii) lawsuits by individuals requesting the benefit of the Engle ruling (“ Engle progeny cases”); (iii) smoking and health cases primarily alleging personal injury or seeking court-supervised programs for ongoing medical monitoring, as well as cases alleging that use of the terms “lights” and/or “ultra lights” constitutes a deceptive and unfair trade practice, common law fraud or violation of federal law, purporting to be brought on behalf of a class of individual plaintiffs (“Class Actions”); and (iv) health care cost recovery actions brought by various foreign and domestic governmental plaintiffs and non-governmental plaintiffs seeking reimbursement for health care expenditures allegedly caused by cigarette smoking and/or disgorgement of profits (“Health Care Cost Recovery Actions”). The future financial impact of the risks and expenses of litigation are not quantifiable. For the six months ended June 30, 2022 and 2021, Liggett incurred tobacco product liability legal expenses and costs totaling $3,323 and $3,067 respectively. Legal defense costs are expensed as incurred. Litigation is subject to uncertainty and it is possible that there could be adverse developments in pending cases. With the commencement of new cases, the defense costs and the risks relating to the unpredictability of litigation increase. Management reviews on a quarterly basis with counsel all pending litigation and evaluates the probability of a loss being incurred and whether an estimate can be made of the possible loss or range of loss that could result from an unfavorable outcome. An unfavorable outcome or settlement of pending tobacco-related litigation could encourage the commencement of additional litigation. Damages awarded in tobacco-related litigation can be significant. Bonds. Although Liggett has been able to obtain required bonds or relief from bonding requirements in order to prevent plaintiffs from seeking to collect judgments while adverse verdicts are on appeal, there remains a risk that such relief may not be obtainable in all cases. This risk has been reduced given that a majority of states now limit the dollar amount of bonds or require no bond at all. As of June 30, 2022, other than the bond regarding the Mississippi litigation (described below), there are no other litigation bonds posted. In June 2009, Florida amended its existing bond cap statute by adding a $200,000 bond cap that applies to all Florida tobacco litigation in the aggregate and establishes individual bond caps in amounts that vary depending on the number of judgments in effect at a given time. The maximum amount of any such bond for an appeal in the Florida state courts will be no greater than $5,000. In several cases, plaintiffs challenged the constitutionality of the bond cap statute, but to date the courts have upheld the constitutionality of the statute. It is possible that the Company’s consolidated financial position, results of operations, and cash flows could be materially adversely affected by an unfavorable outcome of such challenges. Accounting Policy . The Company and its subsidiaries record provisions in their consolidated financial statements for pending litigation when they determine that an unfavorable outcome is probable and the amount of loss can be reasonably estimated. At the present time, while it is reasonably possible that an unfavorable outcome in a case may occur, except as discussed in this Note 9: (i) management has concluded that it is not probable that a loss has been incurred in any of the pending tobacco-related cases; or (ii) management is unable to reasonably estimate the possible loss or range of loss that could result from an unfavorable outcome of any of the pending tobacco-related cases and, therefore, management has not provided any amounts in the condensed consolidated financial statements for unfavorable outcomes, if any. Although Liggett has generally been successful in managing the litigation filed against it, litigation is subject to uncertainty and significant challenges remain, including with respect to the remaining Engle progeny cases. There can be no assurances that Liggett’s past litigation experience will be representative of future results. Judgments have been entered against Liggett in the past, in Individual Actions and Engle progeny cases, and several of those judgments were affirmed on appeal and satisfied by Liggett. It is possible that the consolidated financial position, results of operations and cash flows of the Company could be materially adversely affected by an unfavorable outcome or settlement of any of the remaining smoking-related litigation. Liggett believes, and has been so advised by counsel, that it has valid defenses to the litigation pending against it, as well as valid bases for appeal of adverse verdicts. All such cases are and will continue to be vigorously defended. Liggett has entered into settlement discussions in individual cases or groups of cases where Liggett has determined it was in its best interest to do so, and it may continue to do so in the future. As cases proceed through the appellate process, the Company will consider accruals on a case-by-case basis if an unfavorable outcome becomes probable and the amount can be reasonably estimated. Individual Actions As of June 30, 2022, there were 61 Individual Actions pending against Liggett, where one or more individual plaintiffs allege injury resulting from cigarette smoking, addiction to cigarette smoking or exposure to secondary smoke and seek compensatory and, in some cases, punitive damages. These cases do not include the remaining Engle progeny cases. The following table lists the number of Individual Actions by state: State Number Florida 28 Illinois 16 Nevada 5 New Mexico 4 Hawaii 4 Louisiana 2 Massachusetts 1 South Carolina 1 The plaintiffs’ allegations of liability in cases in which individuals seek recovery for injuries allegedly caused by cigarette smoking are based on various theories of recovery, including negligence, gross negligence, breach of special duty, strict liability, fraud, concealment, misrepresentation, design defect, failure to warn, breach of express and implied warranties, conspiracy, aiding and abetting, concert of action, unjust enrichment, common law public nuisance, property damage, invasion of privacy, mental anguish, emotional distress, disability, shock, indemnity, violations of deceptive trade practice laws, the federal Racketeer Influenced and Corrupt Organizations Act (“RICO”), state RICO statutes and antitrust statutes. In many of these cases, in addition to compensatory damages, plaintiffs also seek other forms of relief including treble/multiple damages, medical monitoring, disgorgement of profits and punitive damages. Although alleged damages often are not determinable from a complaint, and the law governing the pleading and calculation of damages varies from state to state and jurisdiction to jurisdiction, compensatory and punitive damages have been specifically pleaded in a number of cases, sometimes in amounts ranging into the hundreds of millions and even billions of dollars. Defenses raised in Individual Actions include lack of proximate cause, assumption of the risk, comparative fault and/or contributory negligence, lack of design defect, statute of limitations, statute of repose, equitable defenses such as “unclean hands” and lack of benefit, failure to state a claim and federal preemption. Engle Progeny Cases In May 1994, the Engle case was filed as a class action against Liggett and others in Miami-Dade County, Florida. The class consisted of all Florida residents who, by November 21, 1996, “have suffered, presently suffer or have died from diseases and medical conditions caused by their addiction to cigarette smoking.” A trial was held and the jury returned a verdict adverse to the defendants (approximately $145,000,000 in punitive damages, including $790,000 against Liggett). Following an appeal to the Third District Court of Appeal, the Florida Supreme Court in July 2006 decertified the class on a prospective basis and affirmed the appellate court’s reversal of the punitive damages award. Former class members had until January 2008 to file individual lawsuits. As a result, Liggett and the Company, and other cigarette manufacturers, were sued in thousands of Engle progeny cases in both federal and state courts in Florida. Cautionary Statement About Engle Progeny Cases . Since 2009, judgments have been entered against Liggett and other cigarette manufacturers in Engle progeny cases. A number of the judgments were affirmed on appeal and satisfied by the defendants. Many were overturned on appeal. As of June 30, 2022, 25 Engle progeny cases, where Liggett was a defendant at trial, resulted in verdicts. There have been 16 verdicts returned in favor of the plaintiffs and nine in favor of Liggett. In five of the cases, punitive damages were awarded against Liggett. Several of the adverse verdicts were overturned on appeal and new trials were ordered. In certain cases, the judgments were entered jointly and severally with other defendants and Liggett faces the risk that one or more co-defendants decline or otherwise fail to participate in the bonding required for an appeal or to pay their proportionate or jury-allocated share of a judgment. As a result, under certain circumstances, Liggett may have to pay more than its proportionate share of any bonding or judgment related amounts. Except as discussed in this Note 9, management is unable to estimate the possible loss or range of loss from the remaining Engle progeny cases as there are currently multiple defendants in each case, except as discussed herein and, in most cases, discovery has not occurred or is limited. As a result, the Company lacks information about whether plaintiffs are in fact Engle class members, the relevant smoking history, the nature of the alleged injury and the availability of various defenses, among other things. Further, plaintiffs typically do not specify the amount of their demand for damages. Engle Progeny Settlements. In October 2013, the Company and Liggett entered into a settlement with approximately 4,900 Engle progeny plaintiffs and their counsel. Pursuant to the terms of the settlement, Liggett agreed to pay a total of approximately $110,000, with $61,600 paid in an initial lump sum and the balance to be paid in installments over 14 years starting in February 2015. The Company’s future payments will be approximately $3,600 per annum through 2028, including an annual cost of living increase that began in 2021. In exchange, the claims of these plaintiffs were dismissed with prejudice against the Company and Liggett. Liggett subsequently entered into two separate settlement agreements with a total of 152 Engle progeny plaintiffs where Liggett paid a total of $23,150. On an individual basis, Liggett settled an additional 208 Engle progeny cases for approximately $8,200 in the aggregate. One of those settlements occurred in the second quarter of 2022. Notwithstanding the comprehensive nature of the Engle progeny settlements, 24 plaintiffs’ claims remain pending in state court. Therefore, the Company and Liggett may still be subject to periodic adverse judgments which could have a material adverse effect on the Company’s consolidated financial position, results of operations and cash flows. Judgments Paid in Engle Progeny Cases . As of June 30, 2022, Liggett paid in the aggregate $40,111, including interest and attorneys’ fees, to satisfy the judgments in the following Engle progeny cases: Lukacs , Campbell , Douglas , Clay, Tullo, Ward, Rizzuto, Lambert, Buchanan, and Santoro . Liggett Only Cases There are currently three cases where Liggett is the sole defendant: Cowart and Baluja are Individual Actions and Forbing , is an Engle progeny case. It is possible that cases where Liggett is the only defendant could increase as a result of the remaining Engle progeny cases and newly filed Individual Actions. Upcoming Trials As of June 30, 2022, there were five Individual Actions ( Camacho, Grace, Martinez, Mendez, and Speed ) scheduled for trial through June 30, 2023, where Liggett is a named defendant. Trial dates are subject to change and additional cases could be set for trial during this time. Maryland Cases Liggett was a defendant in 16 multi-defendant personal injury cases in Maryland alleging claims arising from asbestos and tobacco exposure (“synergy cases”). In June 2017, after the Court of Appeals (Maryland’s highest court) ruled that joinder of tobacco and asbestos cases may be possible in certain circumstances and then remanded the case, the trial court dismissed all synergy cases against the tobacco company defendants, including Liggett, without prejudice. At some point, Plaintiffs may seek appellate review or file new cases against the tobacco companies. Class Actions As of June 30, 2022, two actions were pending for which either a class had been certified or plaintiffs were seeking class certification where Liggett is a named defendant. Other cigarette manufacturers are also named in these two cases. In November 1997, in Young v. American Tobacco Co., a purported class action was brought on behalf of plaintiff and all similarly situated residents in Louisiana who, though not themselves cigarette smokers, allege they were exposed to and suffered injury from secondhand smoke from cigarettes. The plaintiffs seek an unspecified amount of compensatory and punitive damages. The case has been stayed since March 2016 pending completion of the smoking cessation program ordered by the court in Scott v. The American Tobacco Co. In February 1998, in Parsons v. AC & S Inc., a purported class action was brought on behalf of plaintiff and all West Virginia residents who allegedly have claims arising from their exposure to cigarette smoke and asbestos fibers and seeks compensatory and punitive damages. The case has been stayed since December 2000 as a result of bankruptcy petitions filed by three co-defendants. Plaintiffs’ allegations of liability in class action cases are based on various theories of recovery, including negligence, gross negligence, strict liability, fraud, misrepresentation, design defect, failure to warn, nuisance, breach of express and implied warranties, breach of special duty, conspiracy, concert of action, violation of deceptive trade practice laws and consumer protection statutes and claims under the federal and state anti-racketeering statutes. Plaintiffs in the class actions seek various forms of relief, including compensatory and punitive damages, treble/multiple damages and other statutory damages and penalties, creation of medical monitoring and smoking cessation funds, disgorgement of profits, and injunctive and equitable relief. Defenses raised in these cases include, among others, lack of proximate cause, individual issues predominate, assumption of the risk, comparative fault and/or contributory negligence, statute of limitations and federal preemption. Health Care Cost Recovery Actions As of June 30, 2022, one Health Care Cost Recovery Action was pending against Liggett where the plaintiff seeks to recover damages from Liggett and other cigarette manufacturers based on various theories of recovery as a result of alleged sales of tobacco products to minors. The case is dormant. The claims asserted in health care cost recovery actions vary, but can include the equitable claim of indemnity, common law claims of negligence, strict liability, breach of express and implied warranty, breach of special duty, fraud, negligent misrepresentation, conspiracy, public nuisance, claims under state and federal statutes governing consumer fraud, antitrust, deceptive trade practices and false advertising, and claims under RICO. Although no specific damage amounts are typically pleaded, it is possible that requested damages might be in the billions of dollars. In these cases, plaintiffs have asserted equitable claims that the tobacco industry was “unjustly enriched” by their payment of health care costs allegedly attributable to smoking and seek reimbursement of those costs. Relief sought by some, but not all, plaintiffs include punitive damages, multiple damages and other statutory damages and penalties, injunctions prohibiting alleged marketing and sales to minors, disclosure of research, disgorgement of profits, funding of anti-smoking programs, additional disclosure of nicotine yields, and payment of attorney and expert witness fees. Department of Justice Lawsuit In September 1999, the United States government commenced litigation against Liggett and other cigarette manufacturers in the United States District Court for the District of Columbia. The action sought to recover, among other things, an unspecified amount of health care costs paid and to be paid by the federal government for smoking-related illnesses allegedly caused by the fraudulent and tortious conduct of defendants. In August 2006, the trial court entered a Final Judgment against each of the cigarette manufacturing defendants, except Liggett. The judgment was affirmed on appeal. As a result, the cigarette manufacturing defendants, other than Liggett, are now subject to the trial court’s Final Judgment which ordered, among other things, the issuance of “corrective statements” in various media regarding the adverse health effects of smoking, the addictiveness of smoking and nicotine, the lack of any significant health benefit from smoking “low tar” or “lights” cigarettes, defendants’ manipulation of cigarette design to ensure optimum nicotine delivery and the adverse health effects of exposure to environmental tobacco smoke. MSA and Other State Settlement Agreements In March 1996, March 1997 and March 1998, Liggett entered into settlements of smoking-related litigation with 45 states and territories. The settlements released Liggett from all smoking-related claims made by those states and territories, including claims for health care cost reimbursement and claims concerning sales of cigarettes to minors. In November 1998, Philip Morris, R.J. Reynolds and two other companies (the “Original Participating Manufacturers” or “OPMs”) and Liggett and Vector Tobacco (together with any other tobacco product manufacturer that becomes a signatory, the “Subsequent Participating Manufacturers” or “SPMs”) (the OPMs and SPMs are hereinafter referred to jointly as “PMs”) entered into the Master Settlement Agreement (the “MSA”) with 46 states, the District of Columbia, Puerto Rico, Guam, the United States Virgin Islands, American Samoa and the Northern Mariana Islands (collectively, the “Settling States”) to settle the asserted and unasserted health care cost recovery and certain other claims of the Settling States. The MSA received final judicial approval in each Settling State. As a result of the MSA, the Settling States released Liggett and Vector Tobacco from: • all claims of the Settling States and their respective political subdivisions and other recipients of state health care funds, relating to: (i) past conduct arising out of the use, sale, distribution, manufacture, development, advertising and marketing of tobacco products; (ii) the health effects of, the exposure to, or research, statements or warnings about, tobacco products; and • all monetary claims of the Settling States and their respective subdivisions and other recipients of state health care funds relating to future conduct arising out of the use of, or exposure to, tobacco products that have been manufactured in the ordinary course of business. The MSA restricts tobacco product advertising and marketing within the Settling States and otherwise restricts the activities of PMs. Among other things, the MSA prohibits the targeting of youth in the advertising, promotion or marketing of tobacco products; bans the use of cartoon characters in all tobacco advertising and promotion; limits each PM to one tobacco brand name sponsorship during any 12-month period; bans all outdoor advertising, with certain limited exceptions; prohibits payments for tobacco product placement in various media; bans gift offers based on the purchase of tobacco products without sufficient proof that the intended recipient is an adult; prohibits PMs from licensing third parties to advertise tobacco brand names in any manner prohibited under the MSA; and prohibits PMs from using as a tobacco product brand name any nationally recognized non-tobacco brand or trade name or the names of sports teams, entertainment groups or individual celebrities. The MSA also requires PMs to affirm corporate principles to comply with the MSA and to reduce underage use of tobacco products and imposes restrictions on lobbying activities conducted on behalf of PMs. In addition, the MSA provides for the appointment of an independent auditor to calculate and determine the amounts of payments owed pursuant to the MSA. Under the payment provisions of the MSA, PMs are required to make annual payments of $9,000,000 (subject to applicable adjustments, offsets and reductions including a “Non-Participating Manufacturers Adjustment” or “NPM Adjustment”). These annual payments are allocated based on unit volume of domestic cigarette shipments. The payment obligations under the MSA are the several, and not joint, obligations of each PM and are not the responsibility of any parent or affiliate of a PM. Liggett has no payment obligations under the MSA except to the extent its market share exceeds a market share exemption of approximately 1.65% of total cigarettes sold in the United States. Vector Tobacco has no payment obligations under the MSA except to the extent its market share exceeds a market share exemption of approximately 0.28% of total cigarettes sold in the United States. Liggett and Vector Tobacco’s domestic shipments accounted for approximately 4.1% of the total cigarettes sold in the United States in 2021. If Liggett’s or Vector Tobacco’s market share exceeds their respective market share exemption in a given year, then on April 15 of the following year, Liggett and/or Vector Tobacco, as the case may be, must pay on each excess unit an amount equal (on a per-unit basis) to that due from the OPMs for that year. On December 30, 2021, Liggett and Vector Tobacco pre-paid $169,500 of their approximate $179,000 2021 MSA obligation, the balance of which was paid in April 2022, subject to applicable disputes or adjustments. Certain MSA Disputes NPM Adjustment. Liggett and Vector Tobacco contend that they are entitled to an NPM Adjustment for each year from 2003 - 2021. The NPM Adjustment is a potential adjustment to annual MSA payments, available when PMs suffer a market share loss to NPMs for a particular year and an economic consulting firm selected pursuant to the MSA determines (or the parties agree) that the MSA was a “significant factor contributing to” that loss. A Settling State that has “diligently enforced” its qualifying escrow statute in the year in question may be able to avoid its allocable share of the NPM Adjustment. For 2003 - 2021, Liggett and Vector Tobacco, as applicable, disputed that they owed the Settling States the NPM Adjustments as calculated by the independent auditor. As permitted by the MSA, Liggett and Vector Tobacco either paid subject to dispute, withheld payment, or paid into a disputed payment account, the amounts associated with these NPM Adjustments. In June 2010, after the PMs prevailed in 48 of 49 motions to compel arbitration, the parties commenced the arbitration for the 2003 NPM Adjustment. That arbitration concluded in September 2013. It was followed by various challenges filed in state courts by states that did not prevail in the arbitration. Those challenges resulted in reductions, but not elimination of, the amounts awarded. Since then, the PMs have settled the NPM Adjustment dispute with 39 states representing approximately 80% of the MSA allocable share. The 2004 NPM Adjustment arbitration commenced in 2016, with the arbitration panel issuing interim decisions on most individual states in September 2021, finding two of them liable for the NPM Adjustment; the final individual state hearing was concluded in March 2022, however a decision has not yet been issued. The two states determined by the arbitration panel to be non-diligent have filed motions in applicable state courts and with the arbitration panels challenging these determinations and several issues remain to be resolved by the arbitration panels that will affect the final amount of the 2004 NPM Adjustment. The parties have selected an arbitration panel to address the NPM Adjustments for 2005-2007, and are engaged in discovery, with individual state hearings likely to start in the third quarter of 2022. As a result of the settlements described above, Liggett and Vector Tobacco reduced cost of sales for the six months ended June 30, 2022 and 2021 by $7,280 and $3,935 respectively. Liggett and Vector Tobacco may be entitled to further adjustments. As of June 30, 2022, Liggett and Vector Tobacco had accrued approximately $11,100 related to the disputed amounts withheld from the non-settling states for 2004 - 2010, which may be subject to payment, with interest, if Liggett and Vector Tobacco lose the disputes for those years. As of June 30, 2022, there remains approximately $48,500 in the disputed payments account relating to Liggett and Vector Tobacco’s 2011 - 2021 NPM Adjustment disputes with the non-settling states. If Liggett and Vector Tobacco lose the disputes for all or any of those years, pursuant to the MSA, no interest would be due on the amounts paid into the disputed payment account. Other State Settlements. The MSA replaced Liggett’s prior settlements with all states and territories except for Florida, Mississippi, Texas and Minnesota. Each of these four states, prior to the effective date of the MSA, negotiated and executed settlement agreements with each of the other major tobacco companies, separate from those settlements reached previously with Liggett. Except as described below, Liggett’s agreements with these states remain in full force and effect. These states’ settlement agreements with Liggett contained most favored nation provisions which could reduce Liggett’s payment obligations based on subsequent settlements or resolutions by those states with certain other tobacco companies. Beginning in 1999, Liggett determined that, based on settlements or resolutions with United States Tobacco Company, Liggett’s payment obligations to those four states were eliminated. With respect to all non-economic obligations under the previous settlements, Liggett believes it is entitled to the most favorable provisions as between the MSA and each state’s respective settlement with the other major tobacco companies. Therefore, Liggett’s non-economic obligations to all states and territories are now defined by the MSA. In 2003, as a result of a dispute with Minnesota regarding its settlement agreement, Liggett agreed to pay $100 a year in any year cigarettes manufactured by Liggett are sold in that state. Further, the Attorneys General for Florida, Mississippi and Texas advised Liggett that they believed Liggett had failed to make payments under the respective settlement agreements with those states. In 2010, Liggett settled with Florida and agreed to pay $1,200 and to make further annual payments of $250 for a period of 21 years, starting in March 2011, with the payments from March 2022 forward being subject to an inflation adjustment. Mississippi Litigation . In January 2016, the Attorney General for Mississippi filed a motion in Chancery Court in Jackson County, Mississippi to enforce the March 1996 settlement agreement among Liggett, Mississippi and other states (the “1996 Agreement”) alleging that Liggett owes Mississippi at least $27,000 in compensatory damages and interest. In April 2017, the Chancery Court ruled, over Liggett’s objections, that the 1996 Agreement should be enforced as Mississippi claims and referred the matter first to arbitration and then to a Special Master for further proceedings to determine the amount of damages, if any, to be awarded. In April 2021, following confirmation of the final arbitration award, the parties stipulated that the unpaid principal (exclusive of interest) purportedly due from Liggett to Mississippi pursuant to the 1996 Agreement was approximately $16,700, subject to Liggett’s right to litigate and/or appeal the enforceability of the 1996 Agreement (and all issues other than the calculation of the principal amount allegedly due). In September 2019, the Special Master held a hearing regarding Mississippi’s claim for pre- and post-judgment interest. In August 2021, the Special Master issued a final report with proposed findings and recommendations that pre-judgment interest, in the amount of approximately $18,800, is due from Liggett from April 2005 - August 3, 2021. In April 2022, the Mississippi Chancery Court affirmed the Special Master’s findings and a final judgment was entered by the court on June 1, 2022. Additional interest amounts will accrue if the judgment is not overturned on appeal. Liggett continues to assert that the April 2017 Chancery Court order is in error because the most favored nations provision in the 1996 Agreement eliminated all of Liggett’s payment obligations to Mississippi. Liggett appealed the final judgment and posted a bond of $24,000. Liggett may be required to make additional payments to Mississippi and/or Texas which could have a material adverse effect on the Company’s consolidated financial position, results of operations and cash flows. Cautionary Statement Management is not able to reasonably predict the outcome of the litigation pending or threatened against Liggett or the Company. Litigation is subject to many uncertainties. Liggett has been found liable in multiple Engle progeny cases and Individual Actions, several of which were affirmed on appeal and satisfied by Liggett. It is possible that other cases could be decided unfavorably against Liggett and that Liggett will be unsuccessful on appeal. Liggett may attempt to settle particular cases if it believes it is in its best interest to do so. Management cannot predict the cash requirements related to any future defense costs, settlements or judgments, including cash required to bond any appeals, and there is a risk that Liggett may not be able to meet those requirements. An unfavorable outcome of a pending smoking-related case could encourage the commencement of additional litigation. Except as discussed in this Note 9, management is unable to estimate the loss or range of loss that could result from an unfavorable outcome of the cases pending against Liggett or the costs of defending such cases and as a result has not provided any amounts in its condensed consolidated financial statements for unfavorable outcomes. The tobacco industry is subject to a wide range of laws and regulations regarding the marketing, sale, taxation and use of tobacco products imposed by local, state and federal governments. There have been a number of restrictive regulatory actions, adverse legislative and political decisions and other unfavorable developments concerning cigarette smoking and the tobacco industry. These developments may negatively affect the perception of potential triers of fact with respect to the tobacco industry, possibly to the detriment of certain pending litigation, and may prompt the commencement of additional litigation or legislation. It is possible that the Company’s consolidated financial position, results of operations and cash flows could be materially adversely affected by an unfavorable outcome in any of the smoking-related litigation. The activity in the Company’s accruals for the MSA and tobacco litigation for the six months ended June 30, 2022 was as follows: Current Liabilities Non-Current Liabilities Payments due under Master Settlement Agreement Litigation Accruals Total Payments due under Master Settlement Agreement Litigation Ac |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The Company’s effective income tax rate is based on expected income, statutory rates, valuation allowances against deferred tax assets, and any tax planning opportunities available to the Company. For interim financial reporting, the Company estimates the annual effective income tax rate based on full year projections and applies the annual effective income tax rate against year-to-date pretax income to record income tax expense, adjusted for discrete items, if any. The Company refines annual estimates as new information becomes available. The Company’s tax rate does not bear a relationship to statutory tax rates due to permanent differences, which are primarily related to nondeductible compensation and state taxes. The Company’s income tax expense consisted of the following: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Income before provision for income taxes $ 54,122 $ 91,985 $ 98,886 $ 122,749 Income tax expense using estimated annual effective income tax rate 14,883 26,952 27,191 36,218 Changes in effective tax rates 86 52 — — Income tax expense $ 14,969 $ 27,004 $ 27,191 $ 36,218 |
Investments and Fair Value Meas
Investments and Fair Value Measurements | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Investments and Fair Value Measurements | INVESTMENTS AND FAIR VALUE MEASUREMENTS The Company’s financial assets and liabilities subject to fair value measurements were as follows: Fair Value Measurements as of June 30, 2022 Total Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Money market funds (1) $ 210,258 $ 210,258 $ — $ — Commercial paper (1) 49,143 — 49,143 — Certificates of deposit (2) 110 — 110 — Money market funds securing legal bonds (2) 24,000 24,000 — — Investment securities at fair value Equity securities at fair value Marketable equity securities 14,967 14,967 — — Mutual funds invested in debt securities 22,056 22,056 — — Total equity securities at fair value 37,023 37,023 — — Debt securities available for sale U.S. government securities 3,072 — 3,072 — Corporate securities 50,827 — 50,827 — U.S. government and federal agency 25,728 — 25,728 — Commercial paper 4,529 — 4,529 — Foreign fixed-income securities 1,215 — 1,215 — Total debt securities available for sale 85,371 — 85,371 — Total investment securities at fair value 122,394 37,023 85,371 — Long-term investments Long-term investment securities at fair value (3) 29,090 — — — Total $ 434,995 $ 271,281 $ 134,624 $ — Liabilities: Fair value of contingent liability $ 182 $ — $ — $ 182 Total $ 182 $ — $ — $ 182 (1) Amounts included in Cash and cash equivalents on the condensed consolidated balance sheets. (2) Amounts included in current restricted assets and non-current restricted assets on the condensed consolidated balance sheets. (3) In accordance with Subtopic 820-10, investments that are measured at fair value using the NAV practical expedient are not classified in the fair value hierarchy. Fair Value Measurements as of December 31, 2021 Total Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Money market funds (1) $ 130,583 $ 130,583 $ — $ — Commercial paper (1) 24,426 24,426 — Certificates of deposit (2) 110 110 — Investment securities at fair value Equity securities at fair value Marketable equity securities 19,560 19,560 — — Mutual funds invested in debt securities 23,221 23,221 — — Total equity securities at fair value 42,781 42,781 — — Debt securities available for sale U.S. government securities 6,481 — 6,481 — Corporate securities 47,531 — 47,531 — U.S. government and federal agency 19,572 — 19,572 — Commercial paper 29,103 — 29,103 — Foreign fixed-income securities 1,219 — 1,219 — Total debt securities available for sale 103,906 — 103,906 — Total investment securities at fair value 146,687 42,781 103,906 — Long-term investments Long-term investment securities at fair value (3) 32,089 — — — Total $ 333,895 $ 173,364 $ 128,442 $ — Liabilities: Fair value of contingent liability $ 2,646 $ — $ — $ 2,646 Total $ 2,646 $ — $ — $ 2,646 (1) Amounts included in Cash and cash equivalents on the condensed consolidated balance sheets. (2) Amounts included in current restricted assets and non-current restricted assets on the condensed consolidated balance sheets. (3) In accordance with Subtopic 820-10, investments that are measured at fair value using the NAV practical expedient are not classified in the fair value hierarchy. The fair value of the Level 2 certificates of deposit is based on the discounted value of contractual cash flows. The discount rate is the rate offered by the financial institution. The fair value of investment securities at fair value included in Level 1 is based on quoted market prices from various stock exchanges. The Level 2 investment securities at fair value are based on quoted market prices of securities that are thinly traded, quoted prices for identical or similar assets in markets that are not active or inputs other than quoted prices such as interest rates and yield curves. The long-term investments are based on NAV per share provided by the partnerships based on the indicated market value of the underlying assets or investment portfolio. In accordance with Subtopic 820-10, these investments are not classified under the fair value hierarchy disclosed above because they are measured at fair value using the NAV practical expedient. The only Level 3 asset or liability is the guarantee of a contingent liability related to Douglas Elliman. The Company calculates the fair value of the liability using a Monte Carlo simulation model. The unobservable inputs related to the valuation are the estimated fair value of the underlying asset, the risk-free rate for the remaining term of the liability and the leverage-adjusted equity volatility of peer firms. These values were $389,119, 1.72%, 32.22% at June 30, 2022 and $776,351, 0.39%, 26.13% at December 31, 2021. In addition to assets and liabilities that are recorded at fair value on a recurring basis, the Company is required to record assets and liabilities at fair value on a nonrecurring basis. Generally, assets and liabilities are recorded at fair value on a nonrecurring basis as a result of impairment charges. The Company had no nonrecurring nonfinancial assets subject to fair value measurements as of June 30, 2022 and December 31, 2021, respectively, except for investments in real estate ventures that were impaired as of December 31, 2021. The Company’s investments in real estate ventures subject to nonrecurring fair value measurements are as follows: Fair Value Measurement Using: Year Ended December 31, Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Impairment Charge Total Assets: Investments in real estate ventures $ 2,713 $ — $ — $ — $ — |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION The Company’s business segments for the three and six months ended June 30, 2022 and 2021 were Tobacco and Real Estate. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Financial information for the Company’s operations before taxes for the three and six months ended June 30, 2022 and 2021 were as follows: Real Corporate Tobacco Estate and Other Total Three months ended June 30, 2022 Revenues $ 374,312 $ 12,890 $ — $ 387,202 Operating income (loss) 88,332 (1) 6,867 (4,488) 90,711 Equity in losses from real estate ventures — (460) — (460) Depreciation and amortization 1,475 6 312 1,793 Three months ended June 30, 2021 Revenues $ 329,496 $ 8,058 $ — $ 337,554 Operating income (loss) 103,179 (821) (8,465) 93,893 Equity in earnings from real estate ventures — 16,610 — 16,610 Depreciation and amortization 1,697 61 234 1,992 Six months ended June 30, 2022 Revenues $ 683,360 $ 15,884 $ — $ 699,244 Operating income (loss) 165,971 (2) 7,842 (7,976) 165,837 Equity in losses from real estate ventures — (2,337) — (2,337) Depreciation and amortization 2,952 66 625 3,643 Capital expenditures 2,872 1 38 2,911 Six months ended June 30, 2021 Revenues $ 597,959 $ 10,583 $ — $ 608,542 Operating income (loss) 184,778 (3) 211 (15,121) 169,868 Equity in earnings from real estate ventures — 18,199 — 18,199 Depreciation and amortization 3,457 126 465 4,048 Capital expenditures 1,375 — 417 1,792 (1) Operating income includes $57 of litigation settlement and judgment expense. (2) Operating income includes $2,123 received from a litigation settlement associated with the MSA (which reduced cost of sales) and $129 of litigation settlement and judgment expense. (3) Operating income includes $2,722 received from a litigation settlement associated with the MSA (which reduced cost of sales) and $5 of litigation settlement and judgment expense. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation : The condensed consolidated financial statements of Vector Group Ltd. (the “Company” or “Vector”) include the accounts of Liggett Group LLC (“Liggett”), Vector Tobacco LLC (“Vector Tobacco”), Liggett Vector Brands LLC (“Liggett Vector Brands”), New Valley LLC (“New Valley”) and other less significant subsidiaries. New Valley includes the accounts of other less significant subsidiaries. All significant intercompany balances and transactions have been eliminated. Liggett and Vector Tobacco are engaged in the manufacture and sale of cigarettes in the United States. Liggett Vector Brands coordinates Liggett and Vector Tobacco’s sales and marketing efforts. Certain references to “Liggett” refer to the Company’s tobacco operations, including the business of Liggett and Vector Tobacco, unless otherwise specified. New Valley is engaged in the real estate business. |
Basis of Accounting | The unaudited, interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and, in management’s opinion, contain all adjustments, consisting only of normal recurring items, necessary for a fair statement of the results for the periods presented. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the Securities and Exchange Commission (“SEC”). The consolidated results of operations for interim periods should not be regarded as necessarily indicative of the results that may be expected for the entire year. |
Distributions and Dividends on Common Stock | Distributions and Dividends on Common Stock : |
New Accounting Pronouncements | New Accounting Pronouncements : ASUs to be adopted in future periods: In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . The ASU requires that an acquirer recognize and measure contract assets and contract liabilities in a business combination in accordance with Topic 606. The ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the impact of the new guidance on its condensed consolidated financial statements. SEC Proposed Rules On March 21, 2022, the SEC proposed rule changes that would require registrants to provide certain climate-related information in their registration statements and annual reports. The proposed rules would require information about a registrant's climate-related risks that are reasonably likely to have a material impact on its business, results of operations, or financial condition. The required information about climate-related risks would also include disclosure of a registrant's greenhouse gas emissions, which have become a commonly used metric to assess a registrant's exposure to such risks. In addition, under the proposed rules, certain climate-related financial metrics would be required in a registrant's audited financial statements. The Company is currently evaluating the impact of the proposed rule changes. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Net Income for Purposes of Determining Basic and Diluted EPS for Discontinued Operations and Net Income Available to Common Stockholders | Net income for purposes of determining basic and diluted EPS for discontinued operations and net income available to common stockholders was as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net income from continuing operations $ 39,153 $ 64,981 $ 71,695 $ 86,531 Net income from discontinued operations — 28,324 — 38,731 Net income 39,153 93,305 71,695 125,262 Income from continuing operations attributable to participating securities (1,249) (2,699) (2,226) (3,411) Net income applicable to common shares $ 37,904 $ 90,606 $ 69,469 $ 121,851 Net income for purposes of determining basic and diluted EPS for continuing operations applicable to common shares was as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net income from continuing operations $ 39,153 $ 64,981 $ 71,695 $ 86,531 Income from continuing operations attributable to participating securities (1,249) (1,829) (2,226) (2,261) Net income available to common stockholders $ 37,904 $ 63,152 $ 69,469 $ 84,270 |
Basic and Diluted EPS Continuing and Discontinued Operations Calculation Shares | Basic and diluted EPS for continuing and discontinued operations were calculated using the following common shares: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Weighted-average shares for basic EPS 152,700,134 152,285,182 152,643,830 152,267,410 Plus incremental shares related to stock options and non-vested restricted stock 263,362 282,313 210,230 206,381 Weighted-average shares for diluted EPS 152,963,496 152,567,495 152,854,060 152,473,791 |
Outstanding Shares Not Included in the Computation of Diluted EPS | The following non-vested restricted stock was outstanding during the three and six months ended June 30, 2022 and 2021, but was not included in the computation of diluted EPS because the impact of the per share expense associated with the restricted stock was greater than the average market price of the common shares during the respective periods. Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Weighted-average shares of non-vested restricted stock — — — — Weighted-average expense per share $ — $ — $ — $ — |
Schedule of Other, Net | Other, net consisted of: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Interest and dividend income $ 935 $ 457 $ 1,385 $ 991 Net (losses) gains recognized on investment securities (4,130) 8,401 (7,169) 10,816 Net periodic benefit cost other than the service costs (237) (243) (473) (487) Other income (expense) 338 (2) 2,018 (1) Other, net $ (3,094) $ 8,613 $ (4,239) $ 11,319 |
Schedule of Other Assets | Other assets consisted of: June 30, December 31, 2021 Restricted assets $ 25,569 $ 1,551 Prepaid pension costs 45,148 44,585 Other assets 35,045 30,549 Total other assets $ 105,762 $ 76,685 |
Schedule of Other Current Liabilities | Other current liabilities consisted of: June 30, December 31, 2021 Accounts payable $ 7,590 $ 9,443 Accrued promotional expenses 60,342 55,647 Accrued excise and payroll taxes payable, net 22,701 22,919 Accrued interest 30,676 30,676 Accrued salaries and benefits 5,979 13,982 Allowance for sales returns 6,496 6,669 Other current liabilities 10,875 10,151 Total other current liabilities $ 144,659 $ 149,487 |
Schedule of Cash and Cash Equivalents | The components of “Cash, cash equivalents and restricted cash” in the condensed consolidated statements of cash flows were as follows: June 30, December 31, Cash and cash equivalents $ 323,885 $ 193,411 Restricted cash and cash equivalents included in other assets 25,456 1,438 Total cash, cash equivalents, and restricted cash shown in the condensed consolidated statements of cash flows $ 349,341 $ 194,849 |
Schedule of Restricted Cash | The components of “Cash, cash equivalents and restricted cash” in the condensed consolidated statements of cash flows were as follows: June 30, December 31, Cash and cash equivalents $ 323,885 $ 193,411 Restricted cash and cash equivalents included in other assets 25,456 1,438 Total cash, cash equivalents, and restricted cash shown in the condensed consolidated statements of cash flows $ 349,341 $ 194,849 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Real Estate Segment Revenues Disaggregated | Real Estate. Real Estate segment revenues are disaggregated in the table below. Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Real Estate Segment Revenues Sales on facilities located on investments in real estate $ 290 $ 1,308 $ 3,259 $ 2,933 Revenues from investments in real estate 12,600 6,750 12,625 7,650 Total real estate revenues $ 12,890 $ 8,058 $ 15,884 $ 10,583 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Schedule of Lease Expense and Supplemental Cash Flow Information | The components of lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating lease cost $ 1,110 $ 1,150 $ 2,235 $ 2,316 Short-term lease cost 101 92 204 183 Variable lease cost 140 53 196 105 Finance lease cost: Amortization 6 14 20 30 Interest on lease liabilities 1 2 3 5 Total lease cost $ 1,358 $ 1,311 $ 2,658 $ 2,639 Supplemental cash flow information related to leases was as follows: Six Months Ended June 30, 2022 2021 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 2,455 $ 2,487 Operating cash flows from finance leases 3 5 Financing cash flows from finance leases 23 28 Right-of-use assets obtained in exchange for lease obligations: Operating leases 31 107 Finance leases — — |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of Discontinued Operations | The financial results of Douglas Elliman through the completion of the Distribution are presented as income from discontinued operations, net of income taxes on the Company’s condensed consolidated statements of operations. The following table presents financial results of Douglas Elliman for the periods prior to the completion of the Distribution: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 (Dollars in thousands) Revenues: Real estate $ — $ 391,975 $ — $ 664,751 Expenses: Cost of sales — 286,519 — 485,154 Operating, selling, administrative and general expenses — 62,273 — 122,186 Operating income — 43,183 — 57,411 Other income (expenses): Interest expense — (43) — (73) Equity in earnings from real estate ventures — 75 — 75 Other, net — (3,035) — (2,987) Pretax income from discontinued operations — 40,180 — 54,426 Income tax expense — 11,856 — 15,695 Income from discontinued operations $ — $ 28,324 $ — $ 38,731 The following table presents the information regarding certain components of cash flows from discontinued operations: Six Months Ended June 30, 2022 2021 (Dollars in thousands) Depreciation and amortization $ — $ 4,220 Non-cash lease expense — 9,094 Capital expenditures — (1,263) |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of: June 30, December 31, Leaf tobacco $ 38,416 $ 38,825 Other raw materials 10,172 7,560 Work-in-process 774 2,639 Finished goods 62,984 64,218 Inventories at current cost 112,346 113,242 LIFO adjustments (18,927) (18,627) $ 93,419 $ 94,615 |
Investment Securities (Tables)
Investment Securities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investment Securities | Investment securities consisted of the following: June 30, December 31, 2021 Debt securities available for sale $ 85,371 $ 103,906 Equity securities at fair value: Marketable equity securities 14,967 19,560 Mutual funds invested in debt securities 22,056 23,221 Long-term investment securities at fair value (1) 29,090 32,089 Total equity securities at fair value 66,113 74,870 Total investment securities at fair value 151,484 178,776 Less: Long-term investment securities at fair value (1) 29,090 32,089 Current investment securities at fair value $ 122,394 $ 146,687 Long-term investment securities at fair value (1) $ 29,090 $ 32,089 Equity-method investments 16,432 20,984 Total long-term investments $ 45,522 $ 53,073 Equity securities at cost (2) $ 6,200 $ 5,200 (1) These assets are measured at net asset value (“NAV”) as a practical expedient under ASC 820. (2) These assets are without readily determinable fair values that do not qualify for the NAV practical expedient and are included in Other assets on the condensed consolidated balance sheets. The components of debt securities available for sale at June 30, 2022 were as follows: Cost Gross Gross Fair Marketable debt securities $ 85,367 $ 4 $ — $ 85,371 The components of debt securities available for sale at December 31, 2021 were as follows: Cost Gross Gross Fair Marketable debt securities $ 103,838 $ 68 $ — $ 103,906 |
Schedule of Net (Losses) Gains Recognized | Net (losses) gains recognized on investment securities were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net (losses) gains recognized on equity securities $ (3,465) $ 8,435 $ (5,339) $ 10,809 Net gains recognized on debt securities available for sale 6 10 6 65 Impairment expense (671) (44) (1,836) (58) Net (losses) gains recognized on investment securities $ (4,130) $ 8,401 $ (7,169) $ 10,816 Gross realized gains and losses on debt securities available for sale were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Gross realized gains on sales $ 6 $ 11 $ 7 $ 67 Gross realized losses on sales (1) (1) (1) (2) Net gains recognized on debt securities available for sale $ 5 $ 10 $ 6 $ 65 Impairment expense $ (671) $ (44) $ (1,836) $ (58) |
Schedule of Maturity Dates of Debt Securities | The table below summarizes the maturity dates of debt securities available for sale at June 30, 2022. Investment Type: Fair Value Under 1 Year 1 Year up to 5 Years More than 5 Years U.S. Government securities $ 3,072 $ 2,296 $ 776 $ — Corporate securities 50,827 27,011 23,816 — U.S. mortgage-backed securities 25,728 8,557 17,171 — Commercial paper 4,529 4,529 — — Foreign fixed-income securities 1,215 1,215 — — Total debt securities available for sale by maturity dates $ 85,371 $ 43,608 $ 41,763 $ — |
Summary of Unrealized and Realized Net (Losses) and Gains Recognized | The following is a summary of unrealized and realized net losses and gains recognized in net income on equity securities at fair value during the three and six months ended June 30, 2022 and 2021, respectively: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Net (losses) gains recognized on equity securities $ (3,465) $ 8,435 $ (5,339) $ 10,809 Less: Net gains recognized on equity securities sold 13 4,054 306 4,223 Net unrealized (losses) gains recognized on equity securities still held at the reporting date $ (3,478) $ 4,381 $ (5,645) $ 6,586 |
Schedule of Equity Method Investments | Equity-method investments consisted of the following: June 30, December 31, 2021 Mutual fund and hedge funds $ 16,432 $ 20,984 Equity in (losses) earnings from investments were: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Mutual fund and hedge funds $ (2,311) $ 941 $ (4,553) $ 1,518 |
New Valley LLC (Tables)
New Valley LLC (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Real Estate [Abstract] | |
Schedule of Investments in Real Estate Ventures | The components of “Investments in real estate ventures” were as follows: Range of Ownership (1) June 30, 2022 December 31, 2021 Condominium and Mixed Use Development: New York City Standard Metropolitan Statistical Area (“SMSA”) 4.2% - 37.0% $ 20,147 $ 22,654 All other U.S. areas 12.5% - 89.1% 60,059 57,485 80,206 80,139 Apartment Buildings: All other U.S. areas 50.0% 10,576 11,900 10,576 11,900 Hotels: New York City SMSA 0.4% - 12.3% 1,098 1,635 International 49.0% 1,217 1,522 2,315 3,157 Commercial: New York City SMSA 49.0% 7,912 — All other U.S. areas 1.6% 7,488 7,290 15,400 7,290 Other: 15.0% - 49.0% 367 2,576 Investments in real estate ventures $ 108,864 $ 105,062 _____________________________ (1) The Range of Ownership reflects New Valley’s estimated current ownership percentage. New Valley’s actual ownership percentage as well as the percentage of earnings and cash distributions may ultimately differ as a result of a number of factors including potential dilution, financing or admission of additional partners. The components of New Valley’s contributions to its investments in real estate ventures were as follows: Six Months Ended June 30, 2022 2021 Condominium and Mixed Use Development: New York City SMSA $ 498 $ 396 All other U.S. areas 1,682 6,661 2,180 7,057 Hotels: New York City SMSA 206 1,246 206 1,246 Commercial: New York City SMSA 8,070 — 8,070 — Other: — 1,599 Total contributions $ 10,456 $ 9,902 Distributions: The components of distributions received by New Valley from its investments in real estate ventures were as follows: Six Months Ended June 30, 2022 2021 Condominium and Mixed Use Development: New York City SMSA $ 1,032 $ 3,338 All other U.S. areas — 13,594 1,032 16,932 Apartment Buildings: All other U.S. areas 400 17,567 400 17,567 Commercial: All other U.S. areas 476 219 476 219 Other 4,459 — Total distributions $ 6,367 $ 34,718 New Valley recognized equity in (losses) earnings from real estate ventures as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Condominium and Mixed Use Development: New York City SMSA $ (955) $ (967) $ (2,171) $ (2,472) All other U.S. areas (479) 7,315 (961) 7,274 (1,434) 6,348 (3,132) 4,802 Apartment Buildings: All other U.S. areas (615) 12,959 (924) 17,567 (615) 12,959 (924) 17,567 Hotels: New York City SMSA (248) (386) (742) (848) International (42) (23) (305) (529) (290) (409) (1,047) (1,377) Commercial: New York City SMSA (158) (2,713) (158) (2,591) All other U.S. areas 302 180 674 273 144 (2,533) 516 (2,318) Other: 1,735 245 2,250 (475) Equity in (losses) earnings from real estate ventures $ (460) $ 16,610 $ (2,337) $ 18,199 New Valley’s maximum exposure to loss from its investments in real estate ventures consisted of the net carrying value of the venture adjusted for any future capital commitments and/or guarantee arrangements. The maximum exposure to loss was as follows: June 30, 2022 Condominium and Mixed Use Development: New York City SMSA $ 20,147 All other U.S. areas 60,059 80,206 Apartment Buildings: All other U.S. areas 10,576 10,576 Hotels: New York City SMSA 1,098 International 1,217 2,315 Commercial: New York City SMSA 7,912 All other U.S. areas 7,488 15,400 Other 367 Total maximum exposure to loss $ 108,864 |
Schedule of Investments in Real Estate, net | Investments in Real Estate, net: The components of “Investments in real estate, net” were as follows: June 30, December 31, Escena, net $ — $ 9,098 Investments in real estate, net $ — $ 9,098 |
Notes Payable, Long-Term Debt_2
Notes Payable, Long-Term Debt and Other Obligations (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Notes Payable, Long-term Debt and Other Obligations | Notes payable, long-term debt and other obligations consisted of: June 30, December 31, Vector: 5.75% Senior Secured Notes due 2029 $ 875,000 $ 875,000 10.5% Senior Notes due 2026, net of unamortized discount of $2,434 and $2,647 552,566 552,353 Liggett: Revolving credit facility 23 24 Equipment loans 51 64 Other — 32 Notes payable, long-term debt and other obligations 1,427,640 1,427,473 Less: Debt issuance costs (26,888) (28,803) Total notes payable, long-term debt and other obligations 1,400,752 1,398,670 Less: Current maturities (51) (79) Amount due after one year $ 1,400,701 $ 1,398,591 |
Schedule of Non-cash Interest Expense | Non-Cash Interest Expense — Vector : Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Amortization of debt discount, net $ 108 $ 97 $ 213 $ 191 Amortization of debt issuance costs 1,018 942 2,016 1,835 Loss on extinguishment of 6.125% Senior Secured Notes — — — 8,349 $ 1,126 $ 1,039 $ 2,229 $ 10,375 |
Schedule of Fair Value of Notes Payable and Long-term Debt | Fair Value of Notes Payable and Long-Term Debt : June 30, 2022 December 31, 2021 Carrying Fair Carrying Fair Value Value Value Value Senior Notes $ 1,427,566 $ 1,248,116 $ 1,427,353 $ 1,426,176 Liggett and other 74 75 120 124 Notes payable and long-term debt $ 1,427,640 $ 1,248,191 $ 1,427,473 $ 1,426,300 |
Contingencies (Tables)
Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Litigation Activity | The following table lists the number of Individual Actions by state: State Number Florida 28 Illinois 16 Nevada 5 New Mexico 4 Hawaii 4 Louisiana 2 Massachusetts 1 South Carolina 1 The activity in the Company’s accruals for the MSA and tobacco litigation for the six months ended June 30, 2022 was as follows: Current Liabilities Non-Current Liabilities Payments due under Master Settlement Agreement Litigation Accruals Total Payments due under Master Settlement Agreement Litigation Accruals Total Balance as of January 1, 2022 $ 11,886 $ 3,918 $ 15,804 $ 13,224 $ 17,680 $ 30,904 Expenses 133,149 129 133,278 — — — NPM Settlement adjustment (15) — (15) (2,108) — (2,108) Change in MSA obligations capitalized as inventory 969 — 969 — — — Payments (9,744) (4,137) (13,881) — — — Reclassification to/(from) non-current liabilities — 3,566 3,566 — (3,566) (3,566) Interest on withholding — 259 259 — 1,171 1,171 Balance as of June 30, 2022 $ 136,245 $ 3,735 $ 139,980 $ 11,116 $ 15,285 $ 26,401 The activity in the Company’s accruals for the MSA and tobacco litigation for the six months ended June 30, 2021 was as follows: Current Liabilities Non-Current Liabilities Payments due under Master Settlement Agreement Litigation Accruals Total Payments due under Master Settlement Agreement Litigation Accruals Total Balance as of January 1, 2021 $ 38,767 $ 3,967 $ 42,734 $ 17,933 $ 19,268 $ 37,201 Expenses 80,922 5 80,927 — — — Change in MSA obligations capitalized as inventory 296 — 296 — — — Payments (35,206) (4,065) (39,271) — — — Reclassification to/(from) non-current liabilities 4,709 3,351 8,060 (4,709) (3,351) (8,060) Interest on withholding — 288 288 — 851 851 Balance as of June 30, 2021 $ 89,488 $ 3,546 $ 93,034 $ 13,224 $ 16,768 $ 29,992 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expense | The Company’s income tax expense consisted of the following: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Income before provision for income taxes $ 54,122 $ 91,985 $ 98,886 $ 122,749 Income tax expense using estimated annual effective income tax rate 14,883 26,952 27,191 36,218 Changes in effective tax rates 86 52 — — Income tax expense $ 14,969 $ 27,004 $ 27,191 $ 36,218 |
Investments and Fair Value Me_2
Investments and Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Company's Recurring Financial Assets and Liabilities Subject to Fair Value Measurements | The Company’s financial assets and liabilities subject to fair value measurements were as follows: Fair Value Measurements as of June 30, 2022 Total Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Money market funds (1) $ 210,258 $ 210,258 $ — $ — Commercial paper (1) 49,143 — 49,143 — Certificates of deposit (2) 110 — 110 — Money market funds securing legal bonds (2) 24,000 24,000 — — Investment securities at fair value Equity securities at fair value Marketable equity securities 14,967 14,967 — — Mutual funds invested in debt securities 22,056 22,056 — — Total equity securities at fair value 37,023 37,023 — — Debt securities available for sale U.S. government securities 3,072 — 3,072 — Corporate securities 50,827 — 50,827 — U.S. government and federal agency 25,728 — 25,728 — Commercial paper 4,529 — 4,529 — Foreign fixed-income securities 1,215 — 1,215 — Total debt securities available for sale 85,371 — 85,371 — Total investment securities at fair value 122,394 37,023 85,371 — Long-term investments Long-term investment securities at fair value (3) 29,090 — — — Total $ 434,995 $ 271,281 $ 134,624 $ — Liabilities: Fair value of contingent liability $ 182 $ — $ — $ 182 Total $ 182 $ — $ — $ 182 (1) Amounts included in Cash and cash equivalents on the condensed consolidated balance sheets. (2) Amounts included in current restricted assets and non-current restricted assets on the condensed consolidated balance sheets. (3) In accordance with Subtopic 820-10, investments that are measured at fair value using the NAV practical expedient are not classified in the fair value hierarchy. Fair Value Measurements as of December 31, 2021 Total Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Money market funds (1) $ 130,583 $ 130,583 $ — $ — Commercial paper (1) 24,426 24,426 — Certificates of deposit (2) 110 110 — Investment securities at fair value Equity securities at fair value Marketable equity securities 19,560 19,560 — — Mutual funds invested in debt securities 23,221 23,221 — — Total equity securities at fair value 42,781 42,781 — — Debt securities available for sale U.S. government securities 6,481 — 6,481 — Corporate securities 47,531 — 47,531 — U.S. government and federal agency 19,572 — 19,572 — Commercial paper 29,103 — 29,103 — Foreign fixed-income securities 1,219 — 1,219 — Total debt securities available for sale 103,906 — 103,906 — Total investment securities at fair value 146,687 42,781 103,906 — Long-term investments Long-term investment securities at fair value (3) 32,089 — — — Total $ 333,895 $ 173,364 $ 128,442 $ — Liabilities: Fair value of contingent liability $ 2,646 $ — $ — $ 2,646 Total $ 2,646 $ — $ — $ 2,646 (1) Amounts included in Cash and cash equivalents on the condensed consolidated balance sheets. (2) Amounts included in current restricted assets and non-current restricted assets on the condensed consolidated balance sheets. |
Nonrecurring Fair Value Measurements | The Company’s investments in real estate ventures subject to nonrecurring fair value measurements are as follows: Fair Value Measurement Using: Year Ended December 31, Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Impairment Charge Total Assets: Investments in real estate ventures $ 2,713 $ — $ — $ — $ — |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Financial Information for the Company's Operations Before Taxes | Financial information for the Company’s operations before taxes for the three and six months ended June 30, 2022 and 2021 were as follows: Real Corporate Tobacco Estate and Other Total Three months ended June 30, 2022 Revenues $ 374,312 $ 12,890 $ — $ 387,202 Operating income (loss) 88,332 (1) 6,867 (4,488) 90,711 Equity in losses from real estate ventures — (460) — (460) Depreciation and amortization 1,475 6 312 1,793 Three months ended June 30, 2021 Revenues $ 329,496 $ 8,058 $ — $ 337,554 Operating income (loss) 103,179 (821) (8,465) 93,893 Equity in earnings from real estate ventures — 16,610 — 16,610 Depreciation and amortization 1,697 61 234 1,992 Six months ended June 30, 2022 Revenues $ 683,360 $ 15,884 $ — $ 699,244 Operating income (loss) 165,971 (2) 7,842 (7,976) 165,837 Equity in losses from real estate ventures — (2,337) — (2,337) Depreciation and amortization 2,952 66 625 3,643 Capital expenditures 2,872 1 38 2,911 Six months ended June 30, 2021 Revenues $ 597,959 $ 10,583 $ — $ 608,542 Operating income (loss) 184,778 (3) 211 (15,121) 169,868 Equity in earnings from real estate ventures — 18,199 — 18,199 Depreciation and amortization 3,457 126 465 4,048 Capital expenditures 1,375 — 417 1,792 (1) Operating income includes $57 of litigation settlement and judgment expense. (2) Operating income includes $2,123 received from a litigation settlement associated with the MSA (which reduced cost of sales) and $129 of litigation settlement and judgment expense. (3) Operating income includes $2,722 received from a litigation settlement associated with the MSA (which reduced cost of sales) and $5 of litigation settlement and judgment expense. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Net Income for Purposes of Determining Basic and Diluted EPS (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Accounting Policies [Abstract] | ||||
Net income from continuing operations | $ 39,153 | $ 64,981 | $ 71,695 | $ 86,531 |
Income from discontinued operations | 0 | 28,324 | 0 | 38,731 |
Net income | 39,153 | 93,305 | 71,695 | 125,262 |
Income from continuing operations attributable to participating securities, basic | (1,249) | (2,699) | (2,226) | (3,411) |
Income from continuing operations attributable to participating securities, diluted | (1,249) | (2,699) | (2,226) | (3,411) |
Net income applicable to common shares, basic | 37,904 | 90,606 | 69,469 | 121,851 |
Net income applicable to common shares, diluted | 37,904 | 90,606 | 69,469 | 121,851 |
Income from continuing operations attributable to participating securities, basic | (1,249) | (1,829) | (2,226) | (2,261) |
Income from continuing operations attributable to participating securities, diluted | (1,249) | (1,829) | (2,226) | (2,261) |
Net income available to common stockholders, basic | 37,904 | 63,152 | 69,469 | 84,270 |
Net income available to common stockholders, diluted | $ 37,904 | $ 63,152 | $ 69,469 | $ 84,270 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Basic and Diluted Earnings Per Share (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Accounting Policies [Abstract] | ||||
Weighted-average shares for basic EPS (in shares) | 152,700,134 | 152,285,182 | 152,643,830 | 152,267,410 |
Plus incremental shares related to stock options and non-vested restricted stock (in shares) | 263,362 | 282,313 | 210,230 | 206,381 |
Weighted-average shares for diluted EPS (in shares) | 152,963,496 | 152,567,495 | 152,854,060 | 152,473,791 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Antidilutive Securities Excluded from Earnings Per Share (Details) - Non-vested restricted stock - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Weighted-average shares of non-vested restricted stock (in shares) | 0 | 0 | 0 | 0 |
Weighted-average expense per share (in dollars per share) | $ 0 | $ 0 | $ 0 | $ 0 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Other, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Accounting Policies [Abstract] | ||||
Interest and dividend income | $ 935 | $ 457 | $ 1,385 | $ 991 |
Net (losses) gains recognized on investment securities | (4,130) | 8,401 | (7,169) | 10,816 |
Net periodic benefit cost other than the service costs | (237) | (243) | (473) | (487) |
Other income (expense) | 338 | (2) | 2,018 | (1) |
Other, net | $ (3,094) | $ 8,613 | $ (4,239) | $ 11,319 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Other Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Accounting Policies [Abstract] | ||
Restricted assets | $ 25,569 | $ 1,551 |
Prepaid pension costs | 45,148 | 44,585 |
Other assets | 35,045 | 30,549 |
Total other assets | $ 105,762 | $ 76,685 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Accounting Policies [Abstract] | ||
Accounts payable | $ 7,590 | $ 9,443 |
Accrued promotional expenses | 60,342 | 55,647 |
Accrued excise and payroll taxes payable, net | 22,701 | 22,919 |
Accrued interest | 30,676 | 30,676 |
Accrued salaries and benefits | 5,979 | 13,982 |
Allowance for sales returns | 6,496 | 6,669 |
Other current liabilities | 10,875 | 10,151 |
Total other current liabilities | $ 144,659 | $ 149,487 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Accounting Policies [Abstract] | ||||
Cash and cash equivalents | $ 323,885 | $ 193,411 | ||
Restricted cash and cash equivalents included in other assets | 25,456 | 1,438 | ||
Total cash, cash equivalents, and restricted cash shown in the condensed consolidated statements of cash flows | $ 349,341 | $ 194,849 | $ 505,097 | $ 365,677 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Related Party Transactions (Details) - Douglas Elliman Realty, LLC - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Tax Disaffiliation Agreement | ||||
Related Party Transaction [Line Items] | ||||
Payable | $ 553 | $ 553 | ||
Other expense | 553 | 553 | ||
VIE | ||||
Related Party Transaction [Line Items] | ||||
Proceeds from commissions received | 201 | $ 4,228 | 1,101 | $ 6,585 |
Transition Services Agreement | ||||
Related Party Transaction [Line Items] | ||||
Related party transaction, amounts of transaction | 1,050 | 2,100 | ||
Aviation Agreements | ||||
Related Party Transaction [Line Items] | ||||
Related party transaction, amounts of transaction | $ 686 | $ 1,177 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue (Details) - Real estate - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Total real estate revenues | $ 12,890 | $ 8,058 | $ 15,884 | $ 10,583 |
Sales on facilities located on investments in real estate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total real estate revenues | 290 | 1,308 | 3,259 | 2,933 |
Revenues from investments in real estate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total real estate revenues | $ 12,600 | $ 6,750 | $ 12,625 | $ 7,650 |
Leases - Lease Expense and Cash
Leases - Lease Expense and Cash Outflows from Operating and Finance Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | ||||
Operating lease cost | $ 1,110 | $ 1,150 | $ 2,235 | $ 2,316 |
Short-term lease cost | 101 | 92 | 204 | 183 |
Variable lease cost | 140 | 53 | 196 | 105 |
Finance lease cost: | ||||
Amortization | 6 | 14 | 20 | 30 |
Interest on lease liabilities | 1 | 2 | 3 | 5 |
Total lease cost | $ 1,358 | $ 1,311 | 2,658 | 2,639 |
Cash paid for amounts included in measurement of lease liabilities: | ||||
Operating cash flows from operating leases | 2,455 | 2,487 | ||
Operating cash flows from finance leases | 3 | 5 | ||
Financing cash flows from finance leases | 23 | 28 | ||
Right-of-use assets obtained in exchange for lease obligations: | ||||
Operating leases | 31 | 107 | ||
Finance leases | $ 0 | $ 0 |
Leases - Narrative (Details)
Leases - Narrative (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
Lessee, Lease, Description [Line Items] | |
Lease not yet commenced | $ 120 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Lease terms not yet commenced | 2 years |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Lease terms not yet commenced | 3 years |
Discontinued Operations - Incom
Discontinued Operations - Income (Loss) from Discontinued Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Other income (expenses): | ||||
Income from discontinued operations | $ 0 | $ 28,324 | $ 0 | $ 38,731 |
Distribution | Douglas Elliman | ||||
Revenues: | ||||
Real estate | 0 | 391,975 | 0 | 664,751 |
Expenses: | ||||
Cost of sales | 0 | 286,519 | 0 | 485,154 |
Operating, selling, administrative and general expenses | 0 | 62,273 | 0 | 122,186 |
Operating income | 0 | 43,183 | 0 | 57,411 |
Other income (expenses): | ||||
Interest expense | 0 | (43) | 0 | (73) |
Equity in earnings from real estate ventures | 0 | 75 | 0 | 75 |
Other, net | 0 | (3,035) | 0 | (2,987) |
Pretax income from discontinued operations | 0 | 40,180 | 0 | 54,426 |
Income tax expense | 0 | 11,856 | 0 | 15,695 |
Income from discontinued operations | $ 0 | $ 28,324 | $ 0 | $ 38,731 |
Discontinued Operations - Cash
Discontinued Operations - Cash Flow from Discontinued Operations (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | ||
Depreciation and amortization | $ 0 | $ 4,220 |
Non-cash lease expense | 0 | 9,094 |
Capital expenditures | $ 0 | $ (1,263) |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Leaf tobacco | $ 38,416 | $ 38,825 |
Other raw materials | 10,172 | 7,560 |
Work-in-process | 774 | 2,639 |
Finished goods | 62,984 | 64,218 |
Inventories at current cost | 112,346 | 113,242 |
LIFO adjustments | (18,927) | (18,627) |
Inventory, net | $ 93,419 | $ 94,615 |
Inventories - Narrative (Detail
Inventories - Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Inventory [Line Items] | ||
LIFO adjustments | $ 18,927 | $ 18,627 |
Capitalized MSA cost in finished goods inventory | 21,419 | 20,450 |
Liggett | Inventories | ||
Inventory [Line Items] | ||
Purchase commitments | 20,033 | |
Inventories | ||
Inventory [Line Items] | ||
Federal excise tax in inventory | 25,236 | 25,160 |
Leaf tobacco | ||
Inventory [Line Items] | ||
LIFO adjustments | 12,428 | 12,128 |
Other raw materials | ||
Inventory [Line Items] | ||
LIFO adjustments | 829 | 829 |
Work-in-process | ||
Inventory [Line Items] | ||
LIFO adjustments | 18 | 18 |
Finished goods | ||
Inventory [Line Items] | ||
LIFO adjustments | $ 5,652 | $ 5,652 |
Investment Securities - Schedul
Investment Securities - Schedule of Investment Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt and Equity Securities, FV-NI [Line Items] | ||
Debt securities available for sale | $ 85,371 | $ 103,906 |
Long-term investment securities at fair value | 29,090 | 32,089 |
Total equity securities at fair value | 66,113 | 74,870 |
Total investment securities at fair value | 151,484 | 178,776 |
Current investment securities at fair value | 122,394 | 146,687 |
Equity-method investments | 16,432 | 20,984 |
Total long-term investments | 45,522 | 53,073 |
Equity securities at cost | 6,200 | 5,200 |
Marketable equity securities | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity securities at fair value: | 14,967 | 19,560 |
Mutual funds invested in debt securities | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity securities at fair value: | $ 22,056 | $ 23,221 |
Investment Securities - Sched_2
Investment Securities - Schedule of Net (Losses) Gains Recognized (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Net (losses) gains recognized on equity securities | $ (3,465) | $ 8,435 | $ (5,339) | $ 10,809 |
Net gains recognized on debt securities available for sale | 6 | 10 | 6 | 65 |
Impairment expense | (671) | (44) | (1,836) | (58) |
Net (losses) gains recognized on investment securities | $ (4,130) | $ 8,401 | $ (7,169) | $ 10,816 |
Investment Securities - Compone
Investment Securities - Components of Debt Securities Available for Sale (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | $ 85,371 | $ 103,906 |
Marketable debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Cost | 85,367 | 103,838 |
Gross Unrealized Gains | 4 | 68 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 85,371 | $ 103,906 |
Investment Securities - Maturit
Investment Securities - Maturity Dates of Marketable Debt Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | $ 85,371 | $ 103,906 |
Under 1 Year | 43,608 | |
1 Year up to 5 Years | 41,763 | |
More than 5 Years | 0 | |
U.S. Government securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 3,072 | |
Under 1 Year | 2,296 | |
1 Year up to 5 Years | 776 | |
More than 5 Years | 0 | |
Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 50,827 | |
Under 1 Year | 27,011 | |
1 Year up to 5 Years | 23,816 | |
More than 5 Years | 0 | |
U.S. mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 25,728 | |
Under 1 Year | 8,557 | |
1 Year up to 5 Years | 17,171 | |
More than 5 Years | 0 | |
Commercial paper | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 4,529 | |
Under 1 Year | 4,529 | |
1 Year up to 5 Years | 0 | |
More than 5 Years | 0 | |
Foreign fixed-income securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 1,215 | |
Under 1 Year | 1,215 | |
1 Year up to 5 Years | 0 | |
More than 5 Years | $ 0 |
Investment Securities - Gross R
Investment Securities - Gross Realized Gains and Losses on Debt Securities Available for Sale (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Gross realized gains on sales | $ 6 | $ 11 | $ 7 | $ 67 |
Gross realized losses on sales | (1) | (1) | (1) | (2) |
Net gains recognized on debt securities available for sale | 5 | 10 | 6 | 65 |
Impairment expense | $ (671) | $ (44) | $ (1,836) | $ (58) |
Investment Securities - Summary
Investment Securities - Summary of Unrealized and Realized Net (Losses) and Gains Recognized (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Net (losses) gains recognized on equity securities | $ (3,465) | $ 8,435 | $ (5,339) | $ 10,809 |
Less: Net gains recognized on equity securities sold | 13 | 4,054 | 306 | 4,223 |
Net unrealized (losses) gains recognized on equity securities still held at the reporting date | $ (3,478) | $ 4,381 | $ (5,645) | $ 6,586 |
Investment Securities - Narrati
Investment Securities - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||||
Unfunded commitments | $ 514,000 | ||||
Cash distributions received | 1,349,000 | $ 8,009,000 | |||
Return of capital | 3,641,000 | 11,163,000 | |||
Equity securities without readily determinable fair value | $ 6,200,000 | 6,200,000 | $ 5,200,000 | ||
Impairment and other adjustments | $ 0 | $ 0 | 0 | 0 | |
Proceeds from sale or liquidation of long-term investments | 1,101,000 | $ 8,009,000 | |||
Proceeds From Long-Term Investments, Operating | $ 248,000 | ||||
Minimum | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity-method ownership percentage | 6.13% | 6.13% | |||
Maximum | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity-method ownership percentage | 37.70% | 37.70% |
Investment Securities - Equity-
Investment Securities - Equity-Method Investments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Schedule of Equity Method Investments [Line Items] | ||
Equity-method investments | $ 16,432 | $ 20,984 |
Mutual fund and hedge funds | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-method investments | $ 16,432 | $ 20,984 |
Investment Securities - Equity
Investment Securities - Equity in (Losses) Earnings of Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Schedule of Equity Method Investments [Line Items] | ||||
Equity in (losses) earnings from investments | $ (2,311) | $ 941 | $ (4,553) | $ 1,518 |
Mutual fund and hedge funds | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity in (losses) earnings from investments | $ (2,311) | $ 941 | $ (4,553) | $ 1,518 |
New Valley LLC - Investment in
New Valley LLC - Investment in Real Estate Ventures (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 USD ($) venture | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) venture | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | $ 108,864,000 | $ 108,864,000 | $ 105,062,000 | ||
Contributions to real estate ventures | 10,456,000 | $ 9,902,000 | |||
Return of capital | 3,641,000 | 11,163,000 | |||
Equity in (losses) earnings from real estate ventures | (460,000) | $ 16,610,000 | (2,337,000) | 18,199,000 | |
Identifiable assets | 994,604,000 | 994,604,000 | 871,087,000 | ||
Recourse liabilities | $ 1,825,516,000 | $ 1,825,516,000 | 1,712,640,000 | ||
Minimum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 6.13% | 6.13% | |||
Maximum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 37.70% | 37.70% | |||
VIE | New Valley | New Valley LLC | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | $ 108,864,000 | $ 108,864,000 | 105,062,000 | ||
Contributions to real estate ventures | 10,456,000 | 9,902,000 | |||
Distributions from real estate ventures | 6,367,000 | 34,718,000 | |||
Distributions of earnings | 2,726,000 | 23,555,000 | |||
Return of capital | 3,641,000 | 11,163,000 | |||
Equity in (losses) earnings from real estate ventures | (460,000) | 16,610,000 | (2,337,000) | 18,199,000 | |
Total maximum exposure to loss | $ 108,864,000 | $ 108,864,000 | |||
Number of real estate ventures | venture | 1 | 1 | |||
Identifiable assets | $ 0 | $ 0 | 0 | ||
Interest costs capitalized | 1,028,000 | 592,000 | 2,051,000 | 1,022,000 | |
VIE | New Valley | New Valley LLC | Recourse | |||||
Schedule of Investments [Line Items] | |||||
Recourse liabilities | 0 | 0 | 0 | ||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | 80,206,000 | 80,206,000 | 80,139,000 | ||
Contributions to real estate ventures | 2,180,000 | 7,057,000 | |||
Distributions from real estate ventures | 1,032,000 | 16,932,000 | |||
Equity in (losses) earnings from real estate ventures | (1,434,000) | 6,348,000 | (3,132,000) | 4,802,000 | |
Total maximum exposure to loss | 80,206,000 | 80,206,000 | |||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | New York City SMSA | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | 20,147,000 | 20,147,000 | 22,654,000 | ||
Contributions to real estate ventures | 498,000 | 396,000 | |||
Distributions from real estate ventures | 1,032,000 | 3,338,000 | |||
Equity in (losses) earnings from real estate ventures | (955,000) | (967,000) | (2,171,000) | (2,472,000) | |
Total maximum exposure to loss | $ 20,147,000 | $ 20,147,000 | |||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | New York City SMSA | Minimum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 4.20% | 4.20% | |||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | New York City SMSA | Maximum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 37% | 37% | |||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | All other U.S. areas | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | $ 60,059,000 | $ 60,059,000 | 57,485,000 | ||
Contributions to real estate ventures | 1,682,000 | 6,661,000 | |||
Distributions from real estate ventures | 0 | 13,594,000 | |||
Equity in (losses) earnings from real estate ventures | (479,000) | 7,315,000 | (961,000) | 7,274,000 | |
Total maximum exposure to loss | $ 60,059,000 | $ 60,059,000 | |||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | All other U.S. areas | Minimum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 12.50% | 12.50% | |||
VIE | New Valley | New Valley LLC | Condominium and Mixed Use Development: | All other U.S. areas | Maximum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 89.10% | 89.10% | |||
VIE | New Valley | New Valley LLC | Apartment Buildings: | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | $ 10,576,000 | $ 10,576,000 | 11,900,000 | ||
Distributions from real estate ventures | 400,000 | 17,567,000 | |||
Equity in (losses) earnings from real estate ventures | (615,000) | 12,959,000 | (924,000) | 17,567,000 | |
Total maximum exposure to loss | $ 10,576,000 | $ 10,576,000 | |||
VIE | New Valley | New Valley LLC | Apartment Buildings: | All other U.S. areas | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 50% | 50% | |||
Investments in real estate ventures | $ 10,576,000 | $ 10,576,000 | 11,900,000 | ||
Distributions from real estate ventures | 400,000 | 17,567,000 | |||
Equity in (losses) earnings from real estate ventures | (615,000) | 12,959,000 | (924,000) | 17,567,000 | |
Total maximum exposure to loss | 10,576,000 | 10,576,000 | |||
VIE | New Valley | New Valley LLC | Hotels: | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | 2,315,000 | 2,315,000 | 3,157,000 | ||
Contributions to real estate ventures | 206,000 | 1,246,000 | |||
Equity in (losses) earnings from real estate ventures | (290,000) | (409,000) | (1,047,000) | (1,377,000) | |
Total maximum exposure to loss | 2,315,000 | 2,315,000 | |||
VIE | New Valley | New Valley LLC | Hotels: | New York City SMSA | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | 1,098,000 | 1,098,000 | 1,635,000 | ||
Contributions to real estate ventures | 206,000 | 1,246,000 | |||
Equity in (losses) earnings from real estate ventures | (248,000) | (386,000) | (742,000) | (848,000) | |
Total maximum exposure to loss | $ 1,098,000 | $ 1,098,000 | |||
VIE | New Valley | New Valley LLC | Hotels: | New York City SMSA | Minimum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 0.40% | 0.40% | |||
VIE | New Valley | New Valley LLC | Hotels: | New York City SMSA | Maximum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 12.30% | 12.30% | |||
VIE | New Valley | New Valley LLC | Hotels: | International | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 49% | 49% | |||
Investments in real estate ventures | $ 1,217,000 | $ 1,217,000 | 1,522,000 | ||
Equity in (losses) earnings from real estate ventures | (42,000) | (23,000) | (305,000) | (529,000) | |
Total maximum exposure to loss | 1,217,000 | 1,217,000 | |||
VIE | New Valley | New Valley LLC | Commercial: | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | 15,400,000 | 15,400,000 | 7,290,000 | ||
Contributions to real estate ventures | 8,070,000 | 0 | |||
Distributions from real estate ventures | 476,000 | 219,000 | |||
Equity in (losses) earnings from real estate ventures | 144,000 | (2,533,000) | 516,000 | (2,318,000) | |
Total maximum exposure to loss | $ 15,400,000 | $ 15,400,000 | |||
VIE | New Valley | New Valley LLC | Commercial: | New York City SMSA | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 49% | 49% | |||
Investments in real estate ventures | $ 7,912,000 | $ 7,912,000 | 0 | ||
Contributions to real estate ventures | 8,070,000 | 0 | |||
Equity in (losses) earnings from real estate ventures | (158,000) | (2,713,000) | (158,000) | (2,591,000) | |
Total maximum exposure to loss | $ 7,912,000 | $ 7,912,000 | |||
VIE | New Valley | New Valley LLC | Commercial: | All other U.S. areas | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 1.60% | 1.60% | |||
Investments in real estate ventures | $ 7,488,000 | $ 7,488,000 | 7,290,000 | ||
Distributions from real estate ventures | 476,000 | 219,000 | |||
Equity in (losses) earnings from real estate ventures | 302,000 | 180,000 | 674,000 | 273,000 | |
Total maximum exposure to loss | 7,488,000 | 7,488,000 | |||
VIE | New Valley | New Valley LLC | Other: | |||||
Schedule of Investments [Line Items] | |||||
Investments in real estate ventures | 367,000 | 367,000 | $ 2,576,000 | ||
Contributions to real estate ventures | 0 | 1,599,000 | |||
Distributions from real estate ventures | 4,459,000 | 0 | |||
Equity in (losses) earnings from real estate ventures | 1,735,000 | $ 245,000 | 2,250,000 | $ (475,000) | |
Total maximum exposure to loss | $ 367,000 | $ 367,000 | |||
VIE | New Valley | New Valley LLC | Other: | Minimum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 15% | 15% | |||
VIE | New Valley | New Valley LLC | Other: | Maximum | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 49% | 49% | |||
Variable Interest Entity, Not Primary Beneficiary | New Valley | Equity Method Investee | Nash Square Upstream JV LLC | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 75% | 75% | |||
Investments in real estate ventures | $ 410,000 | $ 410,000 | |||
Total maximum exposure to loss | $ 410,000 | $ 410,000 | |||
Variable Interest Entity, Not Primary Beneficiary | New Valley | Equity Method Investee | BH NV Aventura LLC | |||||
Schedule of Investments [Line Items] | |||||
Range of ownership | 25% | 25% | |||
Investments in real estate ventures | $ 1,000,000 | $ 1,000,000 | |||
Total maximum exposure to loss | $ 1,000,000 | $ 1,000,000 |
New Valley LLC - Investments in
New Valley LLC - Investments in Real Estate, net (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Schedule of Investments [Line Items] | ||||||
Investments in real estate, net | $ 0 | $ 0 | $ 9,098 | |||
New Valley | New Valley LLC | Escena, net | ||||||
Schedule of Investments [Line Items] | ||||||
Sold project | $ 15,300 | |||||
New Valley | VIE | New Valley LLC | ||||||
Schedule of Investments [Line Items] | ||||||
Investments in real estate, net | 0 | 0 | 9,098 | |||
New Valley | VIE | New Valley LLC | Escena, net | ||||||
Schedule of Investments [Line Items] | ||||||
Investments in real estate, net | 0 | 0 | $ 9,098 | |||
Operating income (losses) | $ 77 | $ 90 | $ 1,316 | $ 280 |
Notes Payable, Long-Term Debt_3
Notes Payable, Long-Term Debt and Other Obligations - Components of Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Notes payable, long-term debt and other obligations | $ 1,427,640 | $ 1,427,473 |
Less: Debt issuance costs | (26,888) | (28,803) |
Total notes payable, long-term debt and other obligations | 1,400,752 | 1,398,670 |
Less: Current maturities | (51) | (79) |
Amount due after one year | $ 1,400,701 | 1,398,591 |
Senior Notes | 5.75% Senior Secured Notes due 2029 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.75% | |
Notes payable, long-term debt and other obligations | $ 875,000 | 875,000 |
Senior Notes | 10.5% Senior Notes due 2026 | ||
Debt Instrument [Line Items] | ||
Interest rate | 10.50% | |
Variable Interest Senior Convertible Debt | 10.5% Senior Notes due 2026 | ||
Debt Instrument [Line Items] | ||
Interest rate | 10.50% | |
Unamortized discount | $ 2,434 | 2,647 |
Notes payable, long-term debt and other obligations | 552,566 | 552,353 |
Revolving credit facility | Liggett | Revolving credit facility | ||
Debt Instrument [Line Items] | ||
Notes payable, long-term debt and other obligations | 23 | 24 |
Equipment loans | Liggett | ||
Debt Instrument [Line Items] | ||
Notes payable, long-term debt and other obligations | 51 | 64 |
Other | ||
Debt Instrument [Line Items] | ||
Notes payable, long-term debt and other obligations | $ 0 | $ 32 |
Notes Payable, Long-Term Debt_4
Notes Payable, Long-Term Debt and Other Obligations - Senior Notes, Revolving Credit Facility, and Other (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Feb. 01, 2021 | |
Debt Instrument [Line Items] | |||||
Loss on extinguishment of debt | $ 0 | $ 0 | $ 0 | $ 21,362 | |
Senior Notes | 5.75% Senior Secured Notes | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.75% | 5.75% | |||
Senior Notes | 6.125% Senior Secured Notes | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 6.125% | 6.125% | 6.125% | ||
Loss on extinguishment of debt | 21,362 | ||||
Write off of premium | 13,013 | ||||
Other costs and non-cash interest expense | $ 0 | $ 0 | $ 0 | $ 8,349 | |
Senior Notes | 10.5% Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 10.50% | 10.50% | |||
Revolving credit facility | Liggett | |||||
Debt Instrument [Line Items] | |||||
Amount outstanding | $ 23 | $ 23 | |||
Current borrowing capacity | $ 79,500 | $ 79,500 |
Notes Payable, Long-Term Debt_5
Notes Payable, Long-Term Debt and Other Obligations - Schedule of Non-cash Interest Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Feb. 01, 2021 | |
Debt Instrument [Line Items] | |||||
Amortization of debt discount, net | $ 108 | $ 97 | $ 213 | $ 191 | |
Amortization of debt issuance costs | 1,018 | 942 | 2,016 | 1,835 | |
Non-cash interest expense | $ 1,126 | 1,039 | $ 2,229 | 10,375 | |
6.125% Senior Secured Notes due 2025 | Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 6.125% | 6.125% | 6.125% | ||
Loss on extinguishment of 6.125% Senior Secured Notes | $ 0 | $ 0 | $ 0 | $ 8,349 |
Notes Payable, Long-Term Debt_6
Notes Payable, Long-Term Debt and Other Obligations - Fair Value of Notes Payable and Long Term Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable and long-term debt | $ 1,427,640 | $ 1,427,473 |
Carrying Value | Senior Notes | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable and long-term debt | 1,427,566 | 1,427,353 |
Carrying Value | Liggett and other | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable and long-term debt | 74 | 120 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable and long-term debt | 1,248,191 | 1,426,300 |
Fair Value | Senior Notes | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable and long-term debt | 1,248,116 | 1,426,176 |
Fair Value | Liggett and other | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable and long-term debt | $ 75 | $ 124 |
Contingencies - Overview and Bo
Contingencies - Overview and Bonds (Details) - Liggett - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2009 | |
Loss Contingencies [Line Items] | |||
Tobacco product liability legal expenses and costs | $ 3,323 | $ 3,067 | |
Engle Progeny Cases | Florida | |||
Loss Contingencies [Line Items] | |||
Maximum bond required for judgments on appeal | $ 200,000 | ||
Maximum bond for appeal | $ 5,000 |
Contingencies - Individual Acti
Contingencies - Individual Actions (Details) - Individual Actions Cases - Liggett | Jun. 30, 2022 case |
Loss Contingencies [Line Items] | |
Cases pending | 61 |
Florida | |
Loss Contingencies [Line Items] | |
Cases pending | 28 |
Illinois | |
Loss Contingencies [Line Items] | |
Cases pending | 16 |
Nevada | |
Loss Contingencies [Line Items] | |
Cases pending | 5 |
New Mexico | |
Loss Contingencies [Line Items] | |
Cases pending | 4 |
Hawaii | |
Loss Contingencies [Line Items] | |
Cases pending | 4 |
Louisiana | |
Loss Contingencies [Line Items] | |
Cases pending | 2 |
Massachusetts | |
Loss Contingencies [Line Items] | |
Cases pending | 1 |
South Carolina | |
Loss Contingencies [Line Items] | |
Cases pending | 1 |
Contingencies - Cautionary Stat
Contingencies - Cautionary Statement About Engle Progeny Cases (Details) - Engle Progeny Cases $ in Thousands | 1 Months Ended | ||
Nov. 21, 1996 USD ($) | Oct. 31, 2013 USD ($) | Jun. 30, 2022 case | |
Loss Contingencies [Line Items] | |||
Amount of litigation settlement awarded to other party | $ | $ 145,000,000 | ||
Liggett | |||
Loss Contingencies [Line Items] | |||
Amount of litigation settlement awarded to other party | $ | $ 790,000 | $ 110,000 | |
Cases with verdicts | 25 | ||
Cases with verdicts in favor of plaintiffs | 16 | ||
Cases with verdicts in favor of defendants | 9 | ||
Cases with verdicts in favor of plaintiffs and punitive damages awarded | 5 |
Contingencies - Engle Progeny C
Contingencies - Engle Progeny Cases and Settlements (Details) $ in Thousands | 1 Months Ended | 6 Months Ended | ||
Nov. 21, 1996 USD ($) | Feb. 28, 2015 | Oct. 31, 2013 USD ($) case | Jun. 30, 2022 USD ($) plaintiff case agreement | |
Engle Progeny Cases | ||||
Loss Contingencies [Line Items] | ||||
Amount of litigation settlement awarded to other party | $ 145,000,000 | |||
Engle Progeny Cases | Liggett | ||||
Loss Contingencies [Line Items] | ||||
Cases settled | case | 4,900 | 208 | ||
Amount of litigation settlement awarded to other party | $ 790,000 | $ 110,000 | ||
Litigation settlement amount paid in lump sum | 61,600 | |||
Litigation settlement, installment term | 14 years | |||
Litigation settlement amount of estimated future payments per annum | $ 3,600 | |||
Payments for legal settlements | $ 8,200 | |||
Engle Progeny Cases | Liggett and Vector Tobacco | ||||
Loss Contingencies [Line Items] | ||||
Cases pending | case | 24 | |||
Engle Progeny separate settlement cases | Liggett | ||||
Loss Contingencies [Line Items] | ||||
Cases settled | agreement | 2 | |||
Amount of litigation settlement awarded to other party | $ 23,150 | |||
Plaintiffs | plaintiff | 152 |
Contingencies - Judgments Paid
Contingencies - Judgments Paid in Engle Progeny Cases, Maryland Cases and Liggett Only Cases (Details) - Liggett $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 USD ($) case | Jun. 30, 2017 case | |
Lukacs, Campbell, Douglas, Clay, Tullo, Ward, Rizzuto, Lambert, Buchanan, and Santoro | ||
Loss Contingencies [Line Items] | ||
Payments for legal settlements | $ | $ 40,111 | |
Engle Progeny Cases, Cowart, Tumin, Forbing, and Jones | ||
Loss Contingencies [Line Items] | ||
Cases pending | 3 | |
Engle Progeny Cases, Baron, Camacho, Clark, Cupp, Feld, Geist, Lane, Nicholson, Mendez and Tully | ||
Loss Contingencies [Line Items] | ||
Cases pending | 5 | |
Multi-defendant personal injury cases | ||
Loss Contingencies [Line Items] | ||
Cases pending | 61 | |
Multi-defendant personal injury cases | Maryland | ||
Loss Contingencies [Line Items] | ||
Cases pending | 16 |
Contingencies - Class Actions a
Contingencies - Class Actions and Health Care Cost Recovery Actions (Details) | Jun. 30, 2022 case | Dec. 31, 2000 defendant |
Parsons v. AC & S Inc. | ||
Loss Contingencies [Line Items] | ||
Number of defendants in bankruptcy | defendant | 3 | |
Liggett and Other cigarette manufacturers | Class Actions | ||
Loss Contingencies [Line Items] | ||
Cases pending | 2 | |
Liggett | Crow Creek Sioux Tribe v. American Tobacco Company | ||
Loss Contingencies [Line Items] | ||
Cases pending | 1 |
Contingencies - MSA and Other S
Contingencies - MSA and Other State Settlement Agreements (Details) | 1 Months Ended | 12 Months Ended | 25 Months Ended | ||
Dec. 30, 2021 USD ($) | Nov. 30, 1998 state | Dec. 31, 2021 USD ($) | Mar. 31, 1998 USD ($) sponsorship state | Jun. 30, 2022 USD ($) | |
MSA | |||||
Loss Contingencies [Line Items] | |||||
Number of states with settled litigation | state | 46 | ||||
Number of brand name sponsorships allowed | sponsorship | 1 | ||||
Brand name sponsorship period | 12 months | ||||
Annual payment requirement | $ 9,000,000,000 | ||||
Liggett | |||||
Loss Contingencies [Line Items] | |||||
Number of states with settled litigation | state | 45 | ||||
Liggett | MSA | |||||
Loss Contingencies [Line Items] | |||||
Estimated litigation liability | $ 0 | ||||
Percentage of cigarettes sales exceeds market share exemption | 1.65% | ||||
Vector Tobacco | MSA | |||||
Loss Contingencies [Line Items] | |||||
Estimated litigation liability | $ 0 | ||||
Percentage of cigarettes sales exceeds market share exemption | 0.28% | ||||
Liggett and Vector Tobacco | |||||
Loss Contingencies [Line Items] | |||||
Percentage of total domestic shipments | 4.10% | ||||
Liggett and Vector Tobacco | MSA | |||||
Loss Contingencies [Line Items] | |||||
Estimated litigation liability | $ 179,000,000 | ||||
Payments for legal settlements | $ 169,500,000 |
Contingencies - Certain MSA Dis
Contingencies - Certain MSA Disputes (Details) $ in Thousands | 1 Months Ended | 6 Months Ended | |
Jun. 30, 2010 state | Jun. 30, 2022 USD ($) state | Jun. 30, 2021 USD ($) | |
2003 NPM Adjustment | |||
Loss Contingencies [Line Items] | |||
Number of states agreed to single arbitration | state | 48 | ||
Aggregate number of settling states | state | 49 | ||
Number of settling states with diligence not contested | state | 39 | ||
Combined allocable share, percentage | 80% | ||
Health Care Cost Recovery Actions, NPM Adjustment | Cost of Sales | |||
Loss Contingencies [Line Items] | |||
Settlement adjustment credit | $ | $ 7,280 | $ 3,935 | |
2004-2010 NPM Adjustment | Liggett and Vector Tobacco | |||
Loss Contingencies [Line Items] | |||
Amounts accrued | $ | 11,100 | ||
2011-2015 NPM Adjustment | Liggett | |||
Loss Contingencies [Line Items] | |||
Amounts accrued | $ | $ 48,500 |
Contingencies - Other State Set
Contingencies - Other State Settlements (Details) - MSA | 1 Months Ended | 12 Months Ended | 25 Months Ended | ||||
Aug. 31, 2021 USD ($) | Apr. 30, 2021 USD ($) | Jan. 31, 2016 USD ($) | Dec. 31, 2010 USD ($) | Dec. 31, 2003 USD ($) | Mar. 31, 1998 USD ($) state | Jun. 30, 2022 USD ($) | |
Loss Contingencies [Line Items] | |||||||
Annual payment requirement | $ 9,000,000,000 | ||||||
Liggett | |||||||
Loss Contingencies [Line Items] | |||||||
Number of states not included in settlement agreement | state | 4 | ||||||
Liggett | Minnesota | |||||||
Loss Contingencies [Line Items] | |||||||
Annual payment requirement | $ 100,000 | ||||||
Liggett | Florida | |||||||
Loss Contingencies [Line Items] | |||||||
Annual payment requirement | $ 250,000 | ||||||
Amount of litigation settlement awarded to other party | $ 1,200,000 | ||||||
Years annual payments required | 21 years | ||||||
Liggett | Mississippi | |||||||
Loss Contingencies [Line Items] | |||||||
Damages sought | $ 16,700,000 | $ 27,000,000 | |||||
Damages awarded | $ 18,800,000 | ||||||
Liggett | Mississippi | Bonds | |||||||
Loss Contingencies [Line Items] | |||||||
Bond posted against final judgement | $ 24,000,000 |
Contingencies - Schedule of Lit
Contingencies - Schedule of Litigation Activity (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Current Liabilities | ||
Current liabilities, beginning balance | $ 15,804 | $ 42,734 |
Expenses | 133,278 | 80,927 |
NPM Settlement adjustment | (15) | |
Change in MSA obligations capitalized as inventory | 969 | 296 |
Payments | (13,881) | (39,271) |
Reclassification to/(from) non-current liabilities | 3,566 | 8,060 |
Interest on withholding | 259 | 288 |
Current liabilities, ending balance | 139,980 | 93,034 |
Non-Current Liabilities | ||
Noncurrent liabilities, beginning balance | 30,904 | 37,201 |
Expenses | 0 | 0 |
NPM Settlement adjustment | (2,108) | |
Change in MSA obligations capitalized as inventory | 0 | 0 |
Payments | 0 | 0 |
Reclassification to/(from) non-current liabilities | (3,566) | (8,060) |
Interest on withholding | 1,171 | 851 |
Noncurrent liabilities, ending balance | 26,401 | 29,992 |
Payments due under Master Settlement Agreement | ||
Current Liabilities | ||
Current liabilities, beginning balance | 11,886 | 38,767 |
Expenses | 133,149 | 80,922 |
NPM Settlement adjustment | (15) | |
Change in MSA obligations capitalized as inventory | 969 | 296 |
Payments | (9,744) | (35,206) |
Reclassification to/(from) non-current liabilities | 0 | 4,709 |
Interest on withholding | 0 | 0 |
Current liabilities, ending balance | 136,245 | 89,488 |
Non-Current Liabilities | ||
Noncurrent liabilities, beginning balance | 13,224 | 17,933 |
Expenses | 0 | 0 |
NPM Settlement adjustment | (2,108) | |
Change in MSA obligations capitalized as inventory | 0 | 0 |
Payments | 0 | 0 |
Reclassification to/(from) non-current liabilities | 0 | (4,709) |
Interest on withholding | 0 | 0 |
Noncurrent liabilities, ending balance | 11,116 | 13,224 |
Litigation Accruals | ||
Current Liabilities | ||
Current liabilities, beginning balance | 3,918 | 3,967 |
Expenses | 129 | 5 |
NPM Settlement adjustment | 0 | |
Change in MSA obligations capitalized as inventory | 0 | 0 |
Payments | (4,137) | (4,065) |
Reclassification to/(from) non-current liabilities | 3,566 | 3,351 |
Interest on withholding | 259 | 288 |
Current liabilities, ending balance | 3,735 | 3,546 |
Non-Current Liabilities | ||
Noncurrent liabilities, beginning balance | 17,680 | 19,268 |
Expenses | 0 | 0 |
NPM Settlement adjustment | 0 | |
Change in MSA obligations capitalized as inventory | 0 | 0 |
Payments | 0 | 0 |
Reclassification to/(from) non-current liabilities | (3,566) | (3,351) |
Interest on withholding | 1,171 | 851 |
Noncurrent liabilities, ending balance | $ 15,285 | $ 16,768 |
Contingencies - Other Matters (
Contingencies - Other Matters (Details) | 6 Months Ended |
Jun. 30, 2022 indemnity_demand | |
Altria Client Services | |
Loss Contingencies [Line Items] | |
Indemnification demands | 3 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Income before provision for income taxes | $ 54,122 | $ 91,985 | $ 98,886 | $ 122,749 |
Income tax expense using estimated annual effective income tax rate | 14,883 | 26,952 | 27,191 | 36,218 |
Changes in effective tax rates | 86 | 52 | 0 | 0 |
Income tax expense | $ 14,969 | $ 27,004 | $ 27,191 | $ 36,218 |
Investments and Fair Value Me_3
Investments and Fair Value Measurements - Fair Value Measurements (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Debt securities available for sale | $ 85,371 | $ 103,906 |
Total investment securities at fair value | 122,394 | 146,687 |
Long-term investment securities at fair value | 29,090 | 32,089 |
Marketable equity securities | ||
Assets: | ||
Total equity securities at fair value | 14,967 | 19,560 |
Mutual funds invested in debt securities | ||
Assets: | ||
Total equity securities at fair value | 22,056 | 23,221 |
U.S. government securities | ||
Assets: | ||
Debt securities available for sale | 3,072 | |
Corporate securities | ||
Assets: | ||
Debt securities available for sale | 50,827 | |
U.S. government and federal agency | ||
Assets: | ||
Debt securities available for sale | 25,728 | |
Foreign fixed-income securities | ||
Assets: | ||
Debt securities available for sale | 1,215 | |
Recurring | ||
Assets: | ||
Total investment securities at fair value | 122,394 | 146,687 |
Long-term investment securities at fair value | 29,090 | 32,089 |
Total | 434,995 | 333,895 |
Liabilities: | ||
Fair value of contingent liability | 182 | 2,646 |
Total | 182 | 2,646 |
Recurring | Marketable equity securities | ||
Assets: | ||
Total equity securities at fair value | 14,967 | 19,560 |
Recurring | Mutual funds invested in debt securities | ||
Assets: | ||
Total equity securities at fair value | 22,056 | 23,221 |
Recurring | Total equity securities at fair value | ||
Assets: | ||
Total equity securities at fair value | 37,023 | 42,781 |
Recurring | U.S. government securities | ||
Assets: | ||
Debt securities available for sale | 3,072 | 6,481 |
Recurring | Corporate securities | ||
Assets: | ||
Debt securities available for sale | 50,827 | 47,531 |
Recurring | U.S. government and federal agency | ||
Assets: | ||
Debt securities available for sale | 25,728 | 19,572 |
Recurring | Commercial paper | ||
Assets: | ||
Debt securities available for sale | 4,529 | 29,103 |
Recurring | Foreign fixed-income securities | ||
Assets: | ||
Debt securities available for sale | 1,215 | 1,219 |
Recurring | Total debt securities available for sale | ||
Assets: | ||
Debt securities available for sale | 85,371 | 103,906 |
Recurring | Money market funds | ||
Assets: | ||
Cash and cash equivalents | 210,258 | 130,583 |
Recurring | Commercial paper | ||
Assets: | ||
Cash and cash equivalents | 49,143 | 24,426 |
Recurring | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 110 | 110 |
Recurring | Bonds | ||
Assets: | ||
Cash and cash equivalents | 24,000 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Total investment securities at fair value | 37,023 | 42,781 |
Long-term investment securities at fair value | 0 | 0 |
Total | 271,281 | 173,364 |
Liabilities: | ||
Fair value of contingent liability | 0 | 0 |
Total | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Marketable equity securities | ||
Assets: | ||
Total equity securities at fair value | 14,967 | 19,560 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mutual funds invested in debt securities | ||
Assets: | ||
Total equity securities at fair value | 22,056 | 23,221 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Total equity securities at fair value | ||
Assets: | ||
Total equity securities at fair value | 37,023 | 42,781 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government securities | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate securities | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government and federal agency | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial paper | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign fixed-income securities | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Total debt securities available for sale | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Money market funds | ||
Assets: | ||
Cash and cash equivalents | 210,258 | 130,583 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial paper | ||
Assets: | ||
Cash and cash equivalents | 0 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 0 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Bonds | ||
Assets: | ||
Cash and cash equivalents | 24,000 | |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Total investment securities at fair value | 85,371 | 103,906 |
Long-term investment securities at fair value | 0 | 0 |
Total | 134,624 | 128,442 |
Liabilities: | ||
Fair value of contingent liability | 0 | 0 |
Total | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Marketable equity securities | ||
Assets: | ||
Total equity securities at fair value | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Mutual funds invested in debt securities | ||
Assets: | ||
Total equity securities at fair value | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Total equity securities at fair value | ||
Assets: | ||
Total equity securities at fair value | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | U.S. government securities | ||
Assets: | ||
Debt securities available for sale | 3,072 | 6,481 |
Recurring | Significant Other Observable Inputs (Level 2) | Corporate securities | ||
Assets: | ||
Debt securities available for sale | 50,827 | 47,531 |
Recurring | Significant Other Observable Inputs (Level 2) | U.S. government and federal agency | ||
Assets: | ||
Debt securities available for sale | 25,728 | 19,572 |
Recurring | Significant Other Observable Inputs (Level 2) | Commercial paper | ||
Assets: | ||
Debt securities available for sale | 4,529 | 29,103 |
Recurring | Significant Other Observable Inputs (Level 2) | Foreign fixed-income securities | ||
Assets: | ||
Debt securities available for sale | 1,215 | 1,219 |
Recurring | Significant Other Observable Inputs (Level 2) | Total debt securities available for sale | ||
Assets: | ||
Debt securities available for sale | 85,371 | 103,906 |
Recurring | Significant Other Observable Inputs (Level 2) | Money market funds | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Commercial paper | ||
Assets: | ||
Cash and cash equivalents | 49,143 | 24,426 |
Recurring | Significant Other Observable Inputs (Level 2) | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 110 | 110 |
Recurring | Significant Other Observable Inputs (Level 2) | Bonds | ||
Assets: | ||
Cash and cash equivalents | 0 | |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Total investment securities at fair value | 0 | 0 |
Long-term investment securities at fair value | 0 | 0 |
Total | 0 | 0 |
Liabilities: | ||
Fair value of contingent liability | 182 | 2,646 |
Total | 182 | 2,646 |
Recurring | Significant Unobservable Inputs (Level 3) | Marketable equity securities | ||
Assets: | ||
Total equity securities at fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Mutual funds invested in debt securities | ||
Assets: | ||
Total equity securities at fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Total equity securities at fair value | ||
Assets: | ||
Total equity securities at fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | U.S. government securities | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate securities | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | U.S. government and federal agency | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Commercial paper | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Foreign fixed-income securities | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Total debt securities available for sale | ||
Assets: | ||
Debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Money market funds | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Commercial paper | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 0 | $ 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Bonds | ||
Assets: | ||
Cash and cash equivalents | $ 0 |
Investments and Fair Value Me_4
Investments and Fair Value Measurements - Narrative (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 USD ($) | Jun. 30, 2022 USD ($) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Long-term investments, fair value | $ 32,089 | $ 29,090 |
Impairment of long-term investments | 2,713 | |
Significant Unobservable Inputs (Level 3) | Recurring | Monte Carlo simulation model | Estimated fair value | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Long-term investments, fair value | $ 776,351 | $ 389,119 |
Significant Unobservable Inputs (Level 3) | Recurring | Monte Carlo simulation model | Risk-free rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Fair value of contingent liability, measurement input | 0.0039 | 0.0172 |
Significant Unobservable Inputs (Level 3) | Recurring | Monte Carlo simulation model | Leverage-adjusted equity volatility of peer firms | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Fair value of contingent liability, measurement input | 0.2613 | 0.3222 |
Investments and Fair Value Me_5
Investments and Fair Value Measurements - Nonrecurring Measurements (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Jun. 30, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in real estate ventures impairment charge | $ 2,713 | |
Investments in real estate ventures, fair value | 105,062 | $ 108,864 |
Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in real estate ventures, fair value | 0 | |
Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in real estate ventures, fair value | 0 | |
Nonrecurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in real estate ventures, fair value | 0 | |
Nonrecurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in real estate ventures, fair value | $ 0 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 387,202 | $ 337,554 | $ 699,244 | $ 608,542 |
Operating income (loss) | 90,711 | 93,893 | 165,837 | 169,868 |
Equity in (losses) earnings from real estate ventures | (460) | 16,610 | (2,337) | 18,199 |
Depreciation and amortization | 1,793 | 1,992 | 3,643 | 4,048 |
Capital expenditures | 2,911 | 1,792 | ||
Litigation settlement and judgment expense | 57 | 0 | 129 | 5 |
Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Operating income (loss) | (4,488) | (8,465) | (7,976) | (15,121) |
Equity in (losses) earnings from real estate ventures | 0 | 0 | 0 | 0 |
Depreciation and amortization | 312 | 234 | 625 | 465 |
Capital expenditures | 38 | 417 | ||
Tobacco | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 374,312 | 329,496 | 683,360 | 597,959 |
Operating income (loss) | 88,332 | 103,179 | 165,971 | 184,778 |
Equity in (losses) earnings from real estate ventures | 0 | 0 | 0 | 0 |
Depreciation and amortization | 1,475 | 1,697 | 2,952 | 3,457 |
Capital expenditures | 2,872 | 1,375 | ||
Litigation settlement and judgment expense | 57 | 129 | 5 | |
Tobacco | Operating Segments | MSA settlement | ||||
Segment Reporting Information [Line Items] | ||||
Litigation settlement | 2,123 | 2,722 | ||
Real estate | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 12,890 | 8,058 | 15,884 | 10,583 |
Operating income (loss) | 6,867 | (821) | 7,842 | 211 |
Equity in (losses) earnings from real estate ventures | (460) | 16,610 | (2,337) | 18,199 |
Depreciation and amortization | $ 6 | $ 61 | 66 | 126 |
Capital expenditures | $ 1 | $ 0 |