Business Segments

6 Months Ended

Jun. 30, 2011

Business Segments

Business Segments

9. Business Segments

We manage our operations on an individual park location basis.  Discrete financial information is maintained for each park and provided to our corporate management for review and as a basis for decision making.  The primary performance measures used to allocate resources are park earnings before interest, tax expense, depreciation and amortization (Park EBITDA) and Park Free Cash Flow (Park EBITDA less park capital expenditures).  All of our parks provide similar products and services through a similar process to the same class of customer through a consistent method.  We also believe that the parks share common economic characteristics.  As such, we have only one reportable segment — theme parks.

The following tables present segment financial information and a reconciliation of the primary segment performance measure to income (loss) from continuing operations before income taxes for the three-month and six-month periods ended June 30, 2010 and 2011 (in thousands).  Park level expenses exclude all non-cash operating expenses, principally depreciation and amortization and all non-operating expenses.

	Successor						Predecessor
	Three-Month Period Ended June 30, 2011			Two-Month Period Ended June 30, 2010			One-Month Period Ended April 30, 2010
Theme park revenues	$	338,673		$	250,436		$	70,814
Theme park cash expenses	(198,175		)	(149,568		)	(52,891		)
Aggregate park EBITDA	140,498			100,868			17,923
Equity in income of investees — EBITDA	1,852			887			1,457
Corporate expenses	(10,296		)	(7,991		)	(3,054		)
Stock-based compensation	(13,361		)	—			(120		)
Other (expense) income, net	(503		)	(1,193		)	163
Equity in loss of investees	(2,943		)	(1,195		)	(680		)
Depreciation and amortization	(41,494		)	(30,100		)	(8,927		)
Loss on disposal of fixed assets	(1,938		)	(124		)	(1,353		)
Reorganization items, net	(334		)	(977		)	839,934
Restructure recovery (costs)	1,254			(16,472		)	—
Interest expense	(16,507		)	(14,149		)	(13,743		)
Interest income	245			74			44
Income from continuing operations before income taxes	$	56,473		$	29,628		$	831,644

	Successor						Predecessor
	Six-Month Period Ended June 30, 2011			Two-Month Period Ended June 30, 2010			Four-Month Period Ended April 30, 2010
Theme park revenues	$	400,008		$	250,436		$	128,077
Theme park cash expenses	(300,511		)	(149,568		)	(159,444		)
Aggregate park EBITDA	99,497			100,868			(31,367		)
Equity in income of investees — EBITDA	3,854			887			3,701
Corporate expenses	(20,174		)	(7,991		)	(15,214		)
Stock-based compensation	(27,664		)	—			(718		)
Other (expense) income, net	(147		)	(1,193		)	802
Equity in loss of investees	(6,101		)	(1,195		)	(3,107		)
Depreciation and amortization	(85,529		)	(30,100		)	(45,675		)
Loss on disposal of fixed assets	(3,915		)	(124		)	(1,923		)
Reorganization items, net	(834		)	(977		)	819,473
Restructure costs	(25,348		)	(16,472		)	—
Interest expense	(33,278		)	(14,149		)	(74,375		)
Interest income	496			74			241
(Loss) income from continuing operations before income taxes	$	(99,143	)	$	29,628		$	651,838

All of our parks are located in the United States except one park is located in Mexico City, Mexico and one is located in Montreal, Canada.  The following information reflects our long-lived assets, revenues and income (loss) from continuing operations by domestic and foreign categories as of and for the first six months of 2011 and 2010:

	(in thousands)
	Domestic			Foreign	Total
2011
Long-lived assets	$	2,259,303		122,462	2,381,765
Revenue	353,046			46,962	400,008
(Loss) income from continuing operations before income taxes and discontinued operations	(104,513		)	5,370	(99,143	)
2010
Long-lived assets	$	2,344,045		122,067	2,466,112
Revenue	337,577			40,936	378,513
Income from continuing operations before income taxes and discontinued operations	672,648			8,818	681,466

Long-lived assets include property and equipment and intangible assets.