Annual report pursuant to Section 13 and 15(d)

Discontinued Operations

Discontinued Operations
12 Months Ended
Dec. 31, 2020
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations

Note 4—Discontinued Operations


On October 28, 2019, four creditors of Legacy Education Alliance International Ltd. (“Legacy UK”), one of our UK subsidiaries, obtained an order from the High Court of Justice, Business and Property Courts of England and Wales (the “English Court”) with respect to the business and affairs of Legacy UK. Pursuant to the Administration Order of November 15, 2019, from the English Court, the two individuals appointed as administrators engaged a third-party to market Legacy UK’s business and assets for sale to one or more third parties. On November 26, 2019, Legacy UK’s assets and deferred revenues sold for £300 thousand (British pounds) to Mayflower Alliance LTD. We will not receive any proceeds from the sale of Legacy UK. Further details, including the resolution of claims and liabilities, and other information regarding the administration may not be forthcoming for several months. The impact of this transaction is reflected as a discontinued operation in the condensed consolidated financial statements.


The major classes of assets and liabilities of Legacy UK were as follows:


    December 31,     December 31,  
(in thousands)   2020     2019  
Major classes of liabilities            
Accounts payable   $  2,608     $  3,408  
Accrued course expenses     593       472  
Other accrued expenses     539       619  
Total major classes of liabilities - discontinued operations   $ 3,740     $ 4,499  


The financial results of the discontinued operations are as follows:


    Years Ended December 31,  
(in thousands)   2020     2019  
Revenue   $     $ 14,315  
Total operating costs and expenses           15,647  
Loss from discontinued operations           (1,332 )
Interest income (expense)           (359 )
Other expense, net           8,300  
Net loss from discontinued operations   $     $ 6,609