18. Segments

The Company manages its international market and its U.S. market as separate reportable operating segments, with the international segment consisting of operations in Brazil, Mexico, Argentina, Chile, Colombia, Peru, Ecuador, Honduras, El Salvador, Nicaragua, Costa Rica, Panama and Guatemala. Each segment’s revenue is derived from admissions and concession sales and other ancillary revenues, primarily screen advertising. The measure of segment profit and loss the Company uses to evaluate performance and allocate its resources is Adjusted EBITDA, as defined in the reconciliation table below. The Company does not report asset information by segment because that information is not used to evaluate the performance of or allocate resources between segments.

Below is a breakdown of selected financial information by reportable operating segment:


	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
Revenues
U.S.	$	529,426		$	416,165		$	1,412,898		$	1,271,155
International		231,771			220,633			627,843			598,880
Eliminations		(3,631	)		(3,225	)		(9,780	)		(8,038	)

Total revenues	$	757,566		$	633,573		$	2,030,961		$	1,861,997

Adjusted EBITDA
U.S.	$	132,803		$	94,538		$	341,579		$	302,222
International		57,370			53,832			142,874			143,428

Total Adjusted EBITDA	$	190,173		$	148,370		$	484,453		$	445,650

Capital expenditures
U.S.	$	35,746		$	27,357		$	71,533		$	74,160
International		33,354			25,583			87,955			72,367

Total capital expenditures	$	69,100		$	52,940		$	159,488		$	146,527

The following table sets forth a reconciliation of net income to Adjusted EBITDA:


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Net income	$	80,745		$	47,967		$	134,644		$	142,982
Add (deduct):
Income taxes		43,386			29,453			62,726			88,229
Interest expense ⁽¹⁾		29,478			30,861			96,542			94,369
Loss on early retirement of debt		—			—			72,302			—
Other income ⁽²⁾		(12,795	)		(9,455	)		(17,958	)		(14,940	)
Depreciation and amortization ⁽³⁾		42,399			36,897			120,165			110,054
Impairment of long-lived assets		131			976			2,076			1,472
(Gain) loss on sale of assets and other		611			6,699			(2,532	)		8,004
Deferred lease expenses		1,935			997			4,038			3,327
Amortization of long-term prepaid rents		725			678			2,104			1,988
Share based awards compensation expense		3,558			3,297			10,346			10,165

Adjusted EBITDA	$	190,173		$	148,370		$	484,453		$	445,650

⁽¹⁾	Includes amortization of debt issue costs.

⁽²⁾	Includes interest income, foreign currency exchange gain (loss) and equity in income of affiliates and excludes distributions from NCM. Distributions from NCM are reported entirely within the U.S. operating segment.

⁽³⁾	Includes amortization of favorable/unfavorable leases.

Financial Information About Geographic Areas

Below is a breakdown of selected financial information by geographic area:


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
Revenues	2013			2012			2013			2012
U.S.	$	529,426		$	416,165		$	1,412,898		$	1,271,155
Brazil		87,028			82,457			251,831			244,487
Other international countries		144,743			138,176			376,012			354,393
Eliminations		(3,631	)		(3,225	)		(9,780	)		(8,038	)

Total	$	757,566		$	633,573		$	2,030,961		$	1,861,997


Theatre Properties and Equipment-net	September 30, 2013		December 31, 2012
U.S.	$	1,043,261	$	940,922
Brazil		186,998		190,990
Other international countries		186,764		173,046

Total	$	1,417,023	$	1,304,958