Quarterly report pursuant to Section 13 or 15(d)

SEGMENT DATA

v2.4.0.8
SEGMENT DATA
 6 Months Ended
Jun. 30, 2013
Segment Reporting [Abstract]  
SEGMENT DATA
NOTE 10—SEGMENT DATA
The Company’s reportable segments are Concerts, Ticketing, Artist Nation and Sponsorship & Advertising. The Concerts segment involves the promotion of live music events globally in the Company’s owned and/or operated venues and in rented third-party venues, the production of music festivals and the operation and management of music venues and is the aggregation of the Company’s North American Concerts and International Concerts operating segments. The Ticketing segment involves the management of the Company’s global ticketing operations including providing ticketing software and services to clients and online access for customers relating to ticket and event information and is responsible for the Company’s primary websites, www.livenation.com and www.ticketmaster.com. The Ticketing segment is the aggregation of the Company’s North American Ticketing and International Ticketing operating segments. The Artist Nation segment provides management services to artists and other services including merchandise and is the aggregation of the Company’s Artist Management and Artist Services operating segments. The Sponsorship & Advertising segment manages the development of strategic sponsorship programs in addition to the sale of international, national and local sponsorships and placement of advertising including signage, promotional programs and banner ads in the Company’s owned and/or operated venues and on its primary websites.
Revenue and expenses earned and charged between segments are eliminated in consolidation. Corporate expenses and all line items below operating income are managed on a total company basis.
The Company manages its working capital on a consolidated basis. Accordingly, segment assets are not reported to, or used by, the Company’s management to allocate resources to or assess performance of the segments, and therefore, total segment assets have not been presented.
The following table presents the results of operations for the Company’s reportable segments for the three and six months ending June 30, 2013 and 2012:
 
Concerts
 
Ticketing
 
Artist
Nation
 
Sponsorship
& Advertising
 
Other
 
Corporate
 
Eliminations
 
Consolidated
 
 
 
 
 
 
 
(in thousands)
 
 
 
 
 
 
Three Months Ended June 30, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Revenue
$
1,193,006

 
$
337,827

 
$
99,739

 
$
71,240

 
$
791

 
$
—

 
$
(23,090
)
 
$
1,679,513

Direct operating expenses
992,476

 
160,021

 
68,920

 
13,311

 
(2,206
)
 
—

 
(22,604
)
 
1,209,918

Selling, general and administrative expenses
159,517

 
101,919

 
22,476

 
10,959

 
848

 
—

 
—

 
295,719

Depreciation and amortization
35,068

 
36,685

 
10,136

 
596

 
11

 
678

 
(486
)
 
82,688

Loss (gain) on disposal of operating assets
(31,332
)
 
42

 
1,091

 
—

 
—

 
—

 
—

 
(30,199
)
Corporate expenses
—

 
—

 
—

 
—

 
—

 
21,812

 
—

 
21,812

Acquisition transaction expenses
313

 
—

 
17

 
—

 
—

 
1,439

 
—

 
1,769

Operating income (loss)
$
36,964

 
$
39,160

 
$
(2,901
)
 
$
46,374

 
$
2,138

 
$
(23,929
)
 
$
—

 
$
97,806

Intersegment revenue
$
21,254

 
$
714

 
$
1,122

 
$
—

 
$
—

 
$
—

 
$
(23,090
)
 
$
—

Three Months Ended June 30, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Revenue
$
1,076,024

 
$
328,939

 
$
109,241

 
$
61,278

 
$
422

 
$
—

 
$
(25,227
)
 
$
1,550,677

Direct operating expenses
896,083

 
154,367

 
73,371

 
9,337

 
(1,908
)
 
—

 
(24,381
)
 
1,106,869

Selling, general and administrative expenses
145,067

 
104,673

 
21,306

 
9,192

 
705

 
—

 
—

 
280,943

Depreciation and amortization
44,134

 
38,803

 
11,456

 
(18
)
 
11

 
719

 
(846
)
 
94,259

Loss (gain) on disposal of operating assets
1

 
(65
)
 
—

 
—

 
157

 
—

 
—

 
93

Corporate expenses
—

 
—

 
—

 
—

 
—

 
27,415

 
—

 
27,415

Acquisition transaction expenses
(2,219
)
 
(315
)
 
351

 
—

 
—

 
313

 
—

 
(1,870
)
Operating income (loss)
$
(7,042
)
 
$
31,476

 
$
2,757

 
$
42,767

 
$
1,457

 
$
(28,447
)
 
$
—

 
$
42,968

Intersegment revenue
$
20,989

 
$
2,382

 
$
1,856

 
$
—

 
$
—

 
$
—

 
$
(25,227
)
 
$
—

Six Months Ended June 30, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Revenue
$
1,706,541

 
$
662,962

 
$
150,010

 
$
111,387

 
$
1,584

 
$
—

 
$
(29,273
)
 
$
2,603,211

Direct operating expenses
1,382,728

 
315,083

 
100,332

 
20,175

 
(3,171
)
 
—

 
(28,295
)
 
1,786,852

Selling, general and administrative expenses
296,835

 
213,859

 
42,514

 
20,647

 
1,386

 
—

 
—

 
575,241

Depreciation and amortization
63,770

 
79,498

 
20,170

 
738

 
185

 
1,470

 
(978
)
 
164,853

Loss (gain) on disposal of operating assets
(34,462
)
 
(20
)
 
679

 
—

 
7

 
—

 
—

 
(33,796
)
Corporate expenses
—

 
—

 
—

 
—

 
—

 
42,467

 
—

 
42,467

Acquisition transaction expenses
547

 
24

 
145

 
—

 
—

 
2,261

 
—

 
2,977

Operating income (loss)
$
(2,877
)
 
$
54,518

 
$
(13,830
)
 
$
69,827

 
$
3,177

 
$
(46,198
)
 
$
—

 
$
64,617

Intersegment revenue
$
26,967

 
$
981

 
$
1,325

 
$
—

 
$
—

 
$
—

 
$
(29,273
)
 
$
—

Capital expenditures
$
11,891

 
$
42,993

 
$
282

 
$
300

 
$
—

 
$
(171
)
 
$
—

 
$
55,295

Six Months Ended June 30, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Revenue
$
1,524,723

 
$
655,483

 
$
170,646

 
$
97,406

 
$
1,198

 
$
—

 
$
(30,782
)
 
$
2,418,674

Direct operating expenses
1,239,436

 
306,242

 
114,009

 
16,058

 
(423
)
 
—

 
(29,739
)
 
1,645,583

Selling, general and administrative expenses
276,685

 
208,001

 
45,394

 
17,981

 
1,017

 
—

 
—

 
549,078

Depreciation and amortization
72,496

 
77,969

 
23,068

 
21

 
23

 
1,438

 
(1,043
)
 
173,972

Loss (gain) on disposal of operating assets
(469
)
 
(155
)
 
—

 
—

 
429

 
—

 
—

 
(195
)
Corporate expenses
—

 
—

 
—

 
—

 
—

 
50,632

 
—

 
50,632

Acquisition transaction expenses
(1,405
)
 
(335
)
 
401

 
—

 
—

 
778

 
—

 
(561
)
Operating income (loss)
$
(62,020
)
 
$
63,761

 
$
(12,226
)
 
$
63,346

 
$
152

 
$
(52,848
)
 
$
—

 
$
165

Intersegment revenue
$
25,038

 
$
2,696

 
$
3,048

 
$
—

 
$
—

 
$
—

 
$
(30,782
)
 
$
—

Capital expenditures
$
11,458

 
$
42,422

 
$
414

 
$
3,433

 
$
4

 
$
983

 
$
—

 
$
58,714