Business Segments

6 Months Ended

Jun. 30, 2013

Business Segments

Business Segments

10. 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 table presents segment financial information and a reconciliation of the primary segment performance measure to income (loss) from continuing operations before income taxes and discontinued operations (in thousands).  Park level expenses exclude all non-cash operating expenses, principally depreciation and amortization and all non-operating expenses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Theme park revenues	$	363,701		$	374,912		$	451,222		$	441,270
Theme park cash expenses	(195,910		)	(206,299		)	(309,468		)	(309,264		)
Aggregate park EBITDA	167,791			168,613			141,754			132,006
Equity in income of investee — EBITDA	—			3,319			—			5,232
Corporate expenses	(10,321		)	(12,352		)	(21,508		)	(22,906		)
Stock-based compensation	(7,322		)	(15,124		)	(14,419		)	(32,133		)
Other (expense) income, net	(426		)	(244		)	(184		)	537
Equity in loss of investee — depreciation and other expense	—			(3,569		)	—			(5,802		)
Depreciation and amortization	(31,163		)	(35,915		)	(66,309		)	(77,410		)
Loss on disposal of fixed assets	(1,564		)	(812		)	(2,634		)	(2,455		)
Reorganization items, net	—			(495		)	180			(1,049		)
Restructure recovery	—			47			—			47
Interest expense	(18,708		)	(11,535		)	(37,430		)	(23,129		)
Interest income	128			83			453			314
Income (loss) from continuing operations before income taxes	$	98,415		$	92,016		$	(97	)	$	(26,748	)

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 loss from continuing operations by domestic and foreign categories as of and for the first six months of 2013 and 2012 (in thousands):

	Domestic			Foreign	Total
2013
Long-lived assets	$	2,152,746		108,834	2,261,580
Revenue	402,663			48,559	451,222
(Loss) income from continuing operations before income taxes and discontinued operations	(7,371		)	7,274	(97	)
2012
Long-lived assets	$	2,190,725		107,814	2,298,539
Revenue	397,486			43,784	441,270
(Loss) income from continuing operations before income taxes and discontinued operations	(31,634		)	4,886	(26,748	)

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