Segment Information

3 Months Ended

Mar. 31, 2013

Segment Information

Segment Information

(6) Segment Information

        Our reportable operating segments and Corporate are described as follows:

• •

  North American Business—storage and information management services throughout the United States and Canada, including the storage of paper documents, as well as other media such as microfilm and microfiche, master audio and videotapes, film, X-rays and blueprints, including healthcare information services, vital records services, service and courier operations, and the collection, handling and disposal of sensitive documents for corporate customers ("Hard Copy"); the storage and rotation of backup computer media as part of corporate disaster recovery plans, including service and courier operations ("Data Protection & Recovery"); information destruction services ("Destruction"); the scanning, imaging and document conversion services of active and inactive records ("DMS"); the storage, assembly, and detailed reporting of customer marketing literature and delivery to sales offices, trade shows and prospective customers' sites based on current and prospective customer orders; and technology escrow services that protect and manage source code.

  •

  International Business—storage and information management services throughout Europe, Latin America and Asia Pacific, including Hard Copy, Data Protection & Recovery, Destruction and DMS. Our European operations provide Hard Copy, Data Protection & Recovery and DMS throughout Europe, and Destruction services are primarily provided in the United Kingdom and Ireland. Our Latin America operations provide Hard Copy, Data Protection & Recovery, Destruction and DMS throughout Argentina, Brazil, Chile, Mexico and Peru. Our Asia Pacific operations provide Hard Copy, Data Protection & Recovery, Destruction and DMS throughout Australia, with Hard Copy and Data Protection & Recovery services also provided in certain cities in India, Singapore, Hong Kong-SAR and China.

  •

  Corporate—consists of costs related to executive and staff functions, including finance, human resources and information technology, which benefit the enterprise as a whole. These costs are primarily related to the general management of these functions on a corporate level and the design and development of programs, policies and procedures that are then implemented in the individual segments, with each segment bearing its own cost of implementation. Corporate also includes stock-based employee compensation expense associated with all Employee Stock-Based Awards.

        An analysis of our business segment information and reconciliation to the Consolidated Financial Statements is as follows:

	North American Business			International Business		Corporate			Total Consolidated
Three Months Ended March 31, 2012
Total Revenues	$	552,311		$	194,187	$	—		$	746,498
Depreciation and Amortization		44,514			25,407		8,087			78,008
Depreciation		41,396			20,701		8,052			70,149
Amortization		3,118			4,706		35			7,859
Adjusted OIBDA		226,349			43,559		(47,357	)		222,551
Total Assets(1)		4,228,281			1,666,245		192,096			6,086,622
Expenditures for Segment Assets		39,336			20,294		8,112			67,742
Capital Expenditures		27,933			19,871		8,112			55,916
Cash Paid for Acquisitions, Net of Cash Acquired		8,818			—		—			8,818
Additions to Customer Relationship and Acquisition Costs		2,585			423		—			3,008
Three Months Ended March 31, 2013
Total Revenues		542,478			204,553		—			747,031
Depreciation and Amortization		45,368			27,006		7,827			80,201
Depreciation		41,869			20,432		7,794			70,095
Amortization		3,499			6,574		33			10,106
Adjusted OIBDA		223,272			47,898		(43,694	)		227,476
Total Assets(1)		4,297,699			1,808,829		191,652			6,298,180
Expenditures for Segment Assets		49,781			33,028		17,171			99,980
Capital Expenditures		46,730			31,517		17,171			95,418
Cash Paid (Received) for Acquisitions, Net of Cash Acquired		(74	)		—		—			(74	)
Additions to Customer Relationship and Acquisition Costs		3,125			1,511		—			4,636

(1)

Excludes all intercompany receivables or payables and investment in subsidiary balances.

        The accounting policies of the reportable segments are the same as those described in Note 2. Adjusted OIBDA for each segment is defined as operating income before depreciation, amortization, intangible impairments, (gain) loss on disposal/write-down of property, plant and equipment, net and REIT Costs (defined below) directly attributable to the segment. Internally, we use Adjusted OIBDA as the basis for evaluating the performance of, and allocating resources to, our operating segments.

        A reconciliation of Adjusted OIBDA to income from continuing operations before provision (benefit) for income taxes on a consolidated basis is as follows:

	Three Months Ended March 31,
	2012			2013
Adjusted OIBDA	$	222,551		$	227,476
Less: Depreciation and Amortization		78,008			80,201
Loss (Gain) on Disposal/Write-down of Property, Plant and Equipment, Net		719			(539	)
REIT Costs(1)		2,011			24,972
Interest Expense, Net		58,784			63,182
Other (Income) Expense, Net		(3,304	)		2,739
Income from Continuing Operations before Provision (Benefit) for Income Taxes	$	86,333		$	56,921

(1)

Includes costs associated with our 2011 proxy contest, the work of the Strategic Review Special Committee of the board of directors and the proposed REIT conversion ("REIT Costs").