SEGMENT DATA

9 Months Ended

12 Months Ended

Sep. 30, 2013

Dec. 31, 2012

SEGMENT DATA

NOTE 9 – SEGMENT DATA

The Company’s reportable segments, which it believes best reflect how the Company is currently managed, are CCME, Americas outdoor advertising and International outdoor advertising. Revenue and expenses earned and charged between segments are recorded at estimated fair value and eliminated in consolidation. The CCME segment provides media and entertainment services via broadcast and digital delivery and also includes the Company’s national syndication business. The Americas outdoor advertising segment consists of operations primarily in the United States and Canada. The International outdoor advertising segment primarily includes operations in Europe, Asia, Australia and Latin America. The Americas outdoor and International outdoor display inventory consists primarily of billboards, street furniture displays and transit displays. The Other category includes the Company’s media representation business as well as other general support services and initiatives which are ancillary to the Company’s other businesses. Corporate includes infrastructure and support, including information technology, human resources, legal, finance and administrative functions of each of the Company’s reportable segments, as well as overall executive, administrative and support functions. Share-based payments are recorded in corporate expenses.

The following table presents the Company’s reportable segment results for the three and nine months ended September 30, 2013 and 2012.

(In thousands)	CCME		Americas Outdoor Advertising		International Outdoor Advertising		Other		Corporate and other reconciling items			Eliminations			Consolidated
Three Months Ended September 30, 2013
Revenue	$	823,863	$	331,346	$	391,667	$	57,460	$	—		$	(16,814	)	$	1,587,522
Direct operating expenses		224,213		140,972		255,122		5,718		—			(2,153	)		623,872
Selling, general and administrative expenses		282,505		55,739		75,698		34,314		—			(14,661	)		433,595
Depreciation and amortization		64,745		48,530		49,090		9,925		5,040			—			177,330
Corporate expenses		—		—		—		—		92,204			—			92,204
Other operating income, net		—		—		—		—		6,186			—			6,186
Operating income (loss)	$	252,400	$	86,105	$	11,757	$	7,503	$	(91,058	)	$	—		$	266,707
Intersegment revenues	$	—	$	1,110	$	—	$	15,704	$	—		$	—		$	16,814
Capital expenditures	$	22,171	$	13,838	$	19,983	$	2,070	$	6,518		$	—		$	64,580
Share-based compensation expense	$	—	$	—	$	—	$	—	$	2,754		$	—		$	2,754
Three Months Ended September 30, 2012
Revenue	$	798,759	$	335,021	$	396,120	$	76,067	$	—		$	(18,636	)	$	1,587,331
Direct operating expenses		225,233		144,721		245,918		6,529		—			(5,180	)		617,221
Selling, general and administrative expenses		264,962		54,225		82,357		35,962		—			(13,456	)		424,050
Depreciation and amortization		67,956		50,177		49,740		10,663		3,814			—			182,350
Corporate expenses		—		—		—		—		73,921			—			73,921
Other operating income, net		—		—		—		—		42,118			—			42,118
Operating income (loss)	$	240,608	$	85,898	$	18,105	$	22,913	$	(35,617	)	$	—		$	331,907
Intersegment revenues	$	—	$	314	$	—	$	18,322	$	—		$	—		$	18,636
Capital expenditures	$	16,885	$	25,633	$	30,238	$	2,812	$	10,621		$	—		$	86,189
Share-based compensation expense	$	—	$	—	$	—	$	—	$	7,378		$	—		$	7,378
Nine Months Ended September 30, 2013
Revenue	$	2,286,040	$	952,832	$	1,187,262	$	167,778	$	—		$	(45,235	)	$	4,548,677
Direct operating expenses		646,111		419,676		762,167		18,535		—			(6,368	)		1,840,121
Selling, general and administrative expenses		786,517		165,232		238,786		105,556		—			(38,867	)		1,257,224
Depreciation and amortization		200,615		144,256		150,013		29,797		14,565			—			539,246
Corporate expenses		—		—		—		—		253,524			—			253,524
Other operating income, net		—		—		—		—		9,694			—			9,694
Operating income (loss)	$	652,797	$	223,668	$	36,296	$	13,890	$	(258,395	)	$	—		$	668,256
Intersegment revenues	$	—	$	1,253	$	—	$	43,982	$	—		$	—		$	45,235
Capital expenditures	$	58,335	$	43,489	$	68,683	$	6,765	$	19,988		$	—		$	197,260
Share-based compensation expense	$	—	$	—	$	—	$	—	$	14,093		$	—		$	14,093
Nine Months Ended September 30, 2012
Revenue	$	2,263,308	$	935,850	$	1,207,900	$	191,909	$	—		$	(48,419	)	$	4,550,548
Direct operating expenses		630,043		429,989		757,682		18,855		—			(9,652	)		1,826,917
Selling, general and administrative expenses		757,920		150,658		270,019		113,460		—			(38,767	)		1,253,290
Depreciation and amortization		202,935		141,702		149,485		34,871		10,562			—			539,555
Corporate expenses		—		—		—		—		218,621			—			218,621
Other operating income, net		—		—		—		—		47,159			—			47,159
Operating income (loss)	$	672,410	$	213,501	$	30,714	$	24,723	$	(182,024	)	$	—		$	759,324
Intersegment revenues	$	—	$	1,084	$	—	$	47,335	$	—		$	—		$	48,419
Capital expenditures	$	43,711	$	84,749	$	97,147	$	11,817	$	23,057		$	—		$	260,481
Share-based compensation expense	$	—	$	—	$	—	$	—	$	20,090		$	—		$	20,090

NOTE 13 – SEGMENT DATA

The Company’s reportable segments, which it believes best reflect how the Company is currently managed, are CCME, Americas outdoor and International outdoor. Revenue and expenses earned and charged between segments are recorded at estimated fair value and eliminated in consolidation. The CCME segment provides media and entertainment services via broadcast and digital delivery and also includes the Company’s national syndication business. The Americas outdoor advertising segment consists of operations primarily in the United States and Canada. The International outdoor advertising segment primarily includes operations in Europe, Asia, Australia and Latin America. The Americas outdoor and International outdoor display inventory consists primarily of billboards, street furniture displays and transit displays. The Other category includes the Company’s media representation business as well as other general support services and initiatives which are ancillary to the Company’s other businesses. Corporate includes infrastructure and support, including information technology, human resources, legal, finance and administrative functions of each of the Company’s reportable segments, as well as overall executive, administrative and support functions. Share-based payments are recorded by each segment in direct operating and selling, general and administrative expenses.

During the first quarter of 2012, the Company recast its segment reporting, as discussed in Note 1. The following table presents the Company’s reportable segment results for the years ended December 31, 2012, 2011 and 2010.

(In thousands)	CCME		Americas Outdoor   Advertising		International   Outdoor Advertising		Other		Corporate and other   reconciling   items		Eliminations		Consolidated
Year Ended December 31, 2012
Revenue	$	3,084,780	$	1,279,257	$	1,667,687	$	281,879	$	-	$	(66,719)	$	6,246,884
Direct operating expenses		873,165		586,666		1,024,596		25,088		-		(12,965)		2,496,550
Selling, general and administrative expenses		997,511		212,794		364,502		152,394		-		(53,754)		1,673,447
Depreciation and amortization		271,399		192,023		205,258		45,568		15,037		-		729,285
Impairment charges		-		-		-		-		37,651		-		37,651
Corporate expenses		-		-		-		-		288,028		-		288,028
Other operating income - net		-		-		-		-		48,127		-		48,127
Operating income (loss)	$	942,705	$	287,774	$	73,331	$	58,829	$	(292,589)	$	-	$	1,070,050
Intersegment revenues	$	-	$	1,175	$	80	$	65,464	$	-	$	-	$	66,719
Segment assets	$	8,201,798	$	3,835,235	$	2,256,309	$	815,435	$	1,183,936	$	-	$	16,292,713
Capital expenditures	$	65,821	$	117,647	$	150,129	$	17,438	$	39,245	$	-	$	390,280
Share-based compensation expense	$	6,985	$	5,875	$	4,529	$		$	11,151	$	-	$	28,540
Year Ended December 31, 2011
Revenue	$	2,986,828	$	1,252,725	$	1,751,149	$	234,542	$	-	$	(63,892)	$	6,161,352
Direct operating expenses		849,265		571,779		1,067,022		27,807		-		(11,837)		2,504,036
Selling, general and administrative expenses		980,960		201,124		339,748		147,481		-		(52,055)		1,617,258
Depreciation and amortization		268,245		211,056		219,908		49,827		14,270		-		763,306
Impairment charges		-		-		-		-		7,614				7,614
Corporate expenses		-		-		-		-		227,096		-		227,096
Other operating income - net		-		-		-		-		12,682		-		12,682
Operating income (loss)	$	888,358	$	268,766	$	124,471	$	9,427	$	(236,298)	$	-	$	1,054,724
Intersegment revenues	$	-	$	4,141	$	-	$	59,751	$	-	$	-	$	63,892
Segment assets	$	8,364,246	$	3,886,098	$	2,166,173	$	809,212	$	1,316,310	$	-	$	16,542,039
Capital expenditures	$	50,198	$	122,505	$	166,044	$	5,737	$	19,490	$	-	$	363,974
Share-based compensation expense	$	4,606	$	7,601	$	3,165	$		$	5,295	$	-	$	20,667
Year Ended December 31, 2010
Revenue	$	2,869,499	$	1,216,930	$	1,581,064	$	261,461	$	-	$	(63,269)	$	5,865,685
Direct operating expenses		808,867		560,378		999,594		27,953		-		(15,145)		2,381,647
(In thousands)	CCME		Americas Outdoor   Advertising		International Outdoor   Advertising		Other		Corporate and other   reconciling   items		Eliminations		Consolidated
Selling, general and administrative expenses		963,853		199,990		294,666		159,827		-		(48,124)		1,570,212
Depreciation and amortization		256,673		198,896		214,692		52,965		9,643		-		732,869
Impairment charges		-		-		-		-		15,364		-		15,364
Corporate expenses		-		-		-		-		284,042		-		284,042
Other operating expense - net		-		-		-		-		(16,710)		-		(16,710)
Operating income (loss)	$	840,106	$	257,666	$	72,112	$	20,716	$	(325,759)	$	-	$	864,841
Intersegment revenues	$	275	$	4,173	$	-	$	58,821	$	-	$	-	$	63,269
Segment assets	$	8,411,953	$	4,415,901	$	2,222,121	$	812,189	$	1,598,218	$	-	$	17,460,382
Capital expenditures	$	27,781	$	92,235	$	103,038	$	7,682	$	10,728	$	-	$	241,464
Share-based compensation expense	$	7,152	$	9,207	$	2,746	$	-	$	15,141	$	-	$	34,246

Revenue of $1.7 billion, $1.8 billion and $1.7 billion derived from the Company’s foreign operations are included in the data above for the years ended December 31, 2012, 2011 and 2010, respectively. Revenue of $4.5 billion, $4.3 billion and $4.2 billion derived from the Company’s U.S. operations are included in the data above for the years ended December 31, 2012, 2011 and 2010, respectively.

Identifiable long-lived assets of $805.2 million, $797.7 million and $802.4 million derived from the Company’s foreign operations are included in the data above for the years ended December 31, 2012, 2011 and 2010, respectively. Identifiable long-lived assets of $2.2 billion, $2.3 billion and $2.3 billion derived from the Company’s U.S. operations are included in the data above for the years ended December 31, 2012, 2011 and 2010, respectively.