Segment Information

3 Months Ended

Dec. 29, 2012

Segment Information

2. Segment Information

The operating segments reported below are the segments of the Company for which separate financial information is available and for which segment results are evaluated regularly by the Chief Executive Officer in deciding how to allocate resources and in assessing performance. The Company reports the performance of its operating segments including equity in the income of investees. Equity in the income of investees included in segment operating results is as follows:

	Quarter Ended
	December 29, 2012			December 31, 2011
Media Networks
Cable Networks	$	177		$	150
Broadcasting	(13		)	(6		)
Equity in the income of investees included in segment operating income	$	164		$	144

During the quarter, the Company recorded a $55 million charge for our share of expense related to an equity redemption at Hulu LLC (Hulu Equity Redemption). This charge is recorded in equity in the income of investees in the Condensed Consolidated Statements of Income but has been excluded from segment operating income. See Note 3 for further discussion of the transaction.

	Quarter Ended
	December 29, 2012		December 31, 2011
Revenues (1):
Media Networks	$	5,101	$	4,779
Parks and Resorts	3,391		3,155
Studio Entertainment	1,545		1,618
Consumer Products	1,013		948
Interactive	291		279
	$	11,341	$	10,779
Segment operating income (loss)(1):
Media Networks	$	1,214	$	1,193
Parks and Resorts	577		553
Studio Entertainment	234		413
Consumer Products	346		313
Interactive	9		(28		)
	$	2,380	$	2,444

⁽¹⁾ Studio Entertainment segment revenues and operating income include an allocation of Consumer Products and Interactive revenues which is meant to reflect royalties on sales of merchandise based on certain film properties. The increases/(decreases) related to these allocations on segment revenues and operating income as reported in the above table are as follows:

	Quarter Ended
	December 29, 2012			December 31, 2011
Studio Entertainment	$	55		$	76
Consumer Products	(55		)	(76		)
Interactive	—			—
	$	—		$	—

A reconciliation of segment operating income to income before income taxes is as follows:

	Quarter Ended
	December 29, 2012			December 31, 2011
Segment operating income	$	2,380		$	2,444
Corporate and unallocated shared expenses	(123		)	(107		)
Restructuring and impairment charges	—			(6		)
Other income/(expense), net	(102		)	—
Net interest expense	(72		)	(90		)
Hulu Equity Redemption charge	(55		)	—
Income before income taxes	$	2,028		$	2,241