Quarterly report pursuant to Section 13 or 15(d)

Discontinued Operations

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Discontinued Operations
 9 Months Ended
Sep. 30, 2019
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations

11. Discontinued Operations

 

The Company’s discontinued operations consist of all our subsidiaries included in our Industrial Segment: (1) subsidiaries divested in 2011 and prior, (2) two previously closed locations, and (3) our Perma-Fix of South Georgia, Inc. (“PFSG”) facility is in closure status, which final closure is subject to regulatory approval of necessary plans and permits.

 

The Company’s discontinued operations had net losses of $156,000 and $131,000 for the three months ended September 30, 2019 and 2018, respectively (net of taxes of $0 for each period) and net losses of $424,000 and $495,000 for the nine months ended September 30, 2019 and 2018, respectively, (net of taxes of $0 for each period). The losses were primarily due to costs incurred in the administration and continued monitoring of our discontinued operations. Net loss for the nine months ended September 30, 2018 included an increase of approximately $50,000 in remediation reserve recorded in the second quarter of 2018 for our Perma-Fix of Dayton (“PFD”) subsidiary due to reassessment of the remediation reserve. The Company’s discontinued operations had no revenues for each of the periods noted above.

 

The following table presents the major class of assets of discontinued operations as of September 30, 2019 and December 31, 2018. No assets and liabilities were held for sale at each of the periods noted.

 

(Amounts in Thousands)   September 30, 2019     December 31, 2018  
Current assets                
Other assets   $ 99     $ 107  
Total current assets     99       107  
Long-term assets                
Property, plant and equipment, net (1)     81       81  
Other assets     57       118  
Total long-term assets     138       199  
Total assets   $ 237     $ 306  
Current liabilities                
Accounts payable   $ 19     $ 10  
Accrued expenses and other liabilities     286       296  
Environmental liabilities     418       50  
Total current liabilities     723       356  
Long-term liabilities                
Closure liabilities     132       126  
Environmental liabilities     459       837  
Total long-term liabilities     591       963  
Total liabilities   $ 1,314     $ 1,319  

 

(1) net of accumulated depreciation of $10,000 for each period presented.

 

The Company’s discontinued operations included a note receivable in the original amount of approximately $375,000 recorded in May 2016 resulting from the sale of property at our Perma-Fix of Michigan, Inc. subsidiary. This note requires 60 equal monthly installment payments by the buyer of approximately $7,250 (which includes interest). At September 30, 2019, the outstanding amount on this note receivable totaled approximately $138,000, of which approximately $81,000 is included in “Current assets related to discontinued operations” and approximately $57,000 is included in “Other assets related to discontinued operations” in the accompanying Consolidated Balance Sheets.