Live Nation Entertainment Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

LONG-LIVED ASSETS (Tables)

LONG-LIVED ASSETS (Tables)

12 Months Ended

Dec. 31, 2011

Gross Carrying Amount and Accumulated Amortization of Definite-Lived Intangible Assets

The following table presents the changes in the gross carrying amount and accumulated amortization of definite-lived intangible assets for the years ended December 31, 2011 and 2010:

	Revenue- generating contracts			Client / vendor relationships			Non-compete agreements			Venue management and leaseholds			Technology			Trademarks and naming rights			Other			Total
	(in thousands)
Balance as of December 31, 2009:
Gross carrying amount	$	285,145		$	19,275		$	132,912		$	112,044		$	-		$	21,925		$	7,537		$	578,838
Accumulated amortization		(52,576	)		(3,930	)		(45,568	)		(23,354	)		-			(8,525	)		(2,244	)		(136,197	)
Net		232,569			15,345			87,344			88,690			-			13,400			5,293			442,641

Gross carrying amount
Acquisitions		217,827			351,060			43,861			4,872			96,096			6,493			8			720,217
Divestitures		-			-			-			-			-			(360	)		-			(360	)
Foreign currency and other (1)		(20,384	)		(4,991	)		(1,033	)		(1,691	)		(994	)		(4,060	)		(1,116	)		(34,269	)
		197,443			346,069			42,828			3,181			95,102			2,073			(1,108	)		685,588

Accumulated amortization:
Amortization Expense		(76,607	)		(30,451	)		(24,258	)		(8,224	)		(11,796	)		(4,649	)		(5,964	)		(161,949	)
Foreign currency and other (1)		16,608			4,067			993			700			(1	)		3,652			4,969			30,988
		(59,999	)		(26,384	)		(23,265	)		(7,524	)		(11,797	)		(997	)		(995	)		(130,961	)

Balance as of December 31, 2010:
Gross carrying amount		482,588			365,344			175,740			115,225			95,102			23,998			6,429			1,264,426
Accumulated amortization		(112,575	)		(30,314	)		(68,833	)		(30,878	)		(11,797	)		(9,522	)		(3,239	)		(267,158	)
Net		370,013			335,030			106,907			84,347			83,305			14,476			3,190			997,268

Gross carrying amount
Acquisitions		51,477			(5,538	)		(3,768	)		3,828			8,814			2,578			13			57,404
Divestitures		-			(4,299	)		(100	)		-			-			-			-			(4,399	)
Foreign currency and other (1)		8,361			(24,932	)		(107	)		(2,281	)		(579	)		(2,059	)		(16	)		(21,613	)
		59,838			(34,769	)		(3,975	)		1,547			8,235			519			(3	)		31,392

Accumulated amortization:
Amortization Expense		(64,497	)		(45,178	)		(25,558	)		(10,379	)		(20,127	)		(8,525	)		(953	)		(175,217	)
Divestitures		-			361			61			-			-			-			-			422
Foreign currency and other (1)		6,183			8,583			866			2,240			112			1,845			18			19,847
		(58,314	)		(36,234	)		(24,631	)		(8,139	)		(20,015	)		(6,680	)		(935	)		(154,948	)

Balance as of December 31, 2011:
Gross carrying amount		542,426			330,575			171,765			116,772			103,337			24,517			6,426			1,295,818
Accumulated amortization		(170,889	)		(66,548	)		(93,464	)		(39,017	)		(31,812	)		(16,202	)		(4,174	)		(422,106	)
Net	$	371,537		$	264,027		$	78,301		$	77,755		$	71,525		$	8,315		$	2,252		$	873,712

(1)	Other includes reclassifications between categories of definite-lived intangible assets resulting from the finalization of valuations and netdowns of fully amortized or impaired assets.

Weighted Average Lives of Additions to Definite-Lived Intangible Assets

The 2011 and 2010 additions to definite-lived intangible assets have weighted average lives as follows:

	Weighted Average Life (years)
	2011	2010

Revenue-generating contracts	10	9
Client/vendor relationships	8	9
Non-compete agreements	3	4
Venue management and leaseholds	6	13
Technology	6	8
Trademarks and naming rights	5	7

All categories	9	9

Estimate of Amortization Expense for Each of the Five Succeeding Fiscal Years for Definite-Lived Intangible Assets

The following table presents the Company's estimate of amortization expense for each of the five succeeding fiscal years for definite-lived intangible assets that exist at December 31, 2011:

	(in thousands)
2012	$	138,183
2013	$	139,587
2014	$	121,549
2015	$	116,734
2016	$	101,970

Changes in Goodwill by Segment

The following table presents the changes in the carrying amount of goodwill in each of the Company's reportable segments for the years ended December 31, 2011 and 2010:

	Concerts			Ticketing			Artist Nation			eCommerce		Sponsorship			Other			Total

Balance as of December 31, 2009:
Goodwill	$	388,631		$	-		$	-		$	-	$	85,943		$	13,037		$	487,611
Accumulated impairment
losses		(269,902	)		-			-			-		-			(13,037	)		(282,939	)
Net		118,729			-			-			-		85,943			-			204,672

Acquisitions - current year		-			559,479			267,742			214,927		-			-			1,042,148
Acquisitions - prior year		173			-			250			-		125			-			548
Dispositions		(5,011	)		-			-			-		-			-			(5,011	)
Foreign currency		(8,306	)		(1,623	)		-			-		(6,012	)		-			(15,941	)
Balance as of December 31, 2010:
Goodwill		375,487			557,856			267,992			214,927		80,056			13,037			1,509,355
Accumulated impairment
losses		(269,902	)		-			-			-		-			(13,037	)		(282,939	)
Net		105,585			557,856			267,992			214,927		80,056			-			1,226,416

Acquisitions - current year		15,040			17,955			1,836			9,635		-			-			44,466
Acquisitions - prior year		2			2,956			(7,523	)		-		-			-			(4,565	)
Dispositions		-			-			(147	)		-		-			-			(147	)
Foreign currency		(3,341	)		(1,636	)		-			-		(3,549	)		-			(8,526	)
Balance as of December 31, 2011:
Goodwill		387,188			577,131			262,158			224,562		76,507			13,037			1,540,583
Accumulated impairment
losses		(269,902	)		-			-			-		-			(13,037	)		(282,939	)
Net	$	117,286		$	577,131		$	262,158		$	224,562	$	76,507		$	-		$	1,257,644

Asset and Liability Values at the Time of Disposal and the Resulting Gain or Loss Recorded

The table below summarizes the asset and liability values at the time of disposal and the resulting gain or loss recorded.

Divested Asset	Segment	Gain (Loss) on Sale			Current Assets			Noncurrent Assets		Current Liabilities		Noncurrent Liabilities
		(in thousands)
2011 Divestiture
Selma amphitheater	Concerts	$	798		$	-		$	3,206	$	-	$	-
Artist management company	Artist Nation	$	(1,264	)	$	3		$	4,153	$	119	$	-
2010 Divestiture
Paciolan	Ticketing	$	(5,218	)	$	8,357		$	33,492	$	7,595	$	6,364
Cirkus	Concerts	$	3,094		$	(1,258	)	$	15,502	$	3,847	$	-
Latin/salsa event	Concerts	$	(67	)	$	408		$	8	$	348	$	-
2009 Divestiture
Boston venues	Concerts	$	60		$	127		$	22,422	$	1,232	$	-
MLK	Concerts	$	1,564		$	-		$	7,419	$	-	$	-

- Definition

Tabular disclosure of amortizable intangibles assets, in total and by major class, including the gross carrying amount and accumulated amortization. A major class is composed of intangible assets that can be grouped together because they are similar, either by their nature or by their use in the operations of a company.

+ References + Details

- Definition

Tabular disclosure of goodwill by reportable segment and in total. Disclosure details may include, but are not limited to, the carrying amount of goodwill, goodwill acquired during the year, goodwill impairment losses recognized, goodwill written-off due to the sale of a business unit, goodwill not yet allocated, and any other changes to goodwill.

+ References + Details