Deferred Revenue and Other Advances

6 Months Ended

Jun. 30, 2011

Deferred Revenue Disclosure [Abstract]

The following is a summary of deferred revenue and other advances included in the consolidated balance sheets as of June 30, 2011 and December 31, 2010 and the related amounts earned and either recorded as revenue in the consolidated statements of income or recorded as an offset to other costs (as described below) for the three- and six-month periods ended June 30, 2011 and 2010 (in thousands):



					Amounts Earned
					Three Months Ended				Six Months Ended
	June 30,		December 31,		June 30,				June 30,
	2011		2010		2011		2010		2011	2010
Home Box Office Inc. Advance⁽¹⁾	$	15,000	$	—	$	30,000	$	—	30,000	13,333
Licensing Advances	8,143		12,967		6,012		11,023		6,024	20,051
Deferred Revenue	4,615		3,795		3,340		6,258		3,678	7,965
Strategic Alliance/Development Advances⁽²⁾	4,167		1,667		6,549		1,962		13,100	4,955
Other Advances	1,039		2,364		5,233		4,734		6,193	9,055
Total deferred revenue and other advances	$	32,964	$	20,793

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⁽¹⁾

The Company remains a participant of an exclusive multi-picture domestic pay television license agreement originally entered into between Old DreamWorks Studios and Home Box Office, Inc. ("HBO"), pursuant to which the Company receives advances against license fees payable for future film product. The agreement is currently set to expire in 2014. The advance recorded as of June 30, 2011 relates to the Company's remaining 2010 film that is expected to be made available to HBO during 2011.

⁽²⁾

Of the total amounts earned against the “Strategic Alliance/Development Advances,” $3.1 million and $0.4 million, respectively, for the three months ended June 30, 2011 and 2010, and $7.7 million and $1.9 million, respectively, for the six months ended June 30, 2011 and 2010, were capitalized as an offset to property, plant and equipment. Additionally, during the three months ended June 30, 2011, of the total amounts earned against the “Strategic Alliance/Development Advances,” $1.8 million was recorded as a reduction to other assets.

- Definition

The entire disclosure for deferred revenues at the end of the reporting period, and description and amounts of significant changes that occurred during the reporting period. Deferred revenue is a liability as of the balance sheet date related to a revenue producing activity for which revenue has not yet been recognized. Generally, an entity records deferred revenue when it receives consideration from a customer before achieving certain criteria that must be met for revenue to be recognized in conformity with GAAP.

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