COMMITMENTS AND CONTINGENT LIABILITIES |
6 Months Ended |
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Jun. 30, 2018 | |
| Commitments and Contingencies Disclosure [Abstract] | |
| COMMITMENTS AND CONTINGENT LIABILITIES |
COMMITMENTS AND CONTINGENT LIABILITIES
During 2018, the Company has entered into new, or it has exercised options to extend existing, long-term operating leases for office space and venues. These new or extended non-cancelable lease agreements have added future minimum rental commitments of approximately $7.2 million for the remainder of 2018, $14.8 million for 2019, $13.9 million for 2020, $16.6 million for 2021, $16.9 million for 2022 and $179.2 million thereafter. The Company has leases that contain contingent payment requirements for which payments vary depending on revenue, tickets sold or other variables.
During 2018, the Company has entered into new, or it has renewed existing, long-term non-cancelable contracts with various artists and ticketing clients. These new or renewed non-cancelable contracts have added future minimum commitments of approximately $87.4 million for the remainder of 2018, $250.7 million for 2019, $122.8 million for 2020, $153.1 million for 2021, $151.9 million for 2022 and $68.7 million thereafter.
Litigation
Securities Class Action Litigation
In April 2018, a class action lawsuit, captioned Kathryn A. Poser v. Live Nation Entertainment, Inc., et al., was filed against the Company in the United States District Court for the Central District of California. The complaint asserts claims against the Company and certain individual officers for alleged violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and Rule 10b-5 of the Exchange Act. The plaintiff seeks to represent a proposed class of all persons who acquired the Company’s common stock during the alleged class period of February 23, 2017 through March 30, 2018. The complaint seeks damages allegedly caused by statements and/or omissions pertaining to the Company’s compliance with the terms of its antitrust consent decree with the United States Department of Justice related to its acquisition of Ticketmaster in 2010, as well as its internal controls regarding compliance with the consent decree. The plaintiff claims the alleged misstatements and/or omissions were materially misleading and operated to artificially inflate the price paid for the Company’s common stock during the alleged class period, and seeks unspecified compensatory damages, attorneys’ fees and costs. Based on information presently known, the Company does not believe that a loss is probable of occurring at this time, and believes that the potential liability, if any, will not have a material adverse effect on its financial condition, cash flows or results of operations. Considerable uncertainty exists regarding the validity of the claims and damages asserted against the Company. As a result, the Company is currently unable to estimate the possible loss or range of loss for this matter. The Company intends to vigorously defend this action.
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