Segment Information

9 Months Ended

Jun. 27, 2015

Segment Information

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. On June 29, 2015, the Company announced the realignment of two of its segments, Consumer Products and Interactive, into a new combined segment, Disney Consumer Products and Interactive Media. The Company expects to begin reporting the combined segment in fiscal 2016.

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						Nine Months Ended
	June 27, 2015			June 28, 2014			June 27, 2015			June 28, 2014
Media Networks
Cable Networks	$	220		$	230		$	685		$	710
Broadcasting	(8		)	(8		)	(55		)	(32		)
Equity in the income of investees included in   segment operating income	$	212		$	222		$	630		$	678

	Quarter Ended				Nine Months Ended
	June 27, 2015		June 28, 2014		June 27, 2015		June 28, 2014
Revenues (1):
Media Networks	$	5,768	$	5,511	$	17,438	$	15,935
Parks and Resorts	4,131		3,980		11,801		11,139
Studio Entertainment	2,040		1,807		5,583		5,500
Consumer Products	954		902		3,304		2,913
Interactive	208		266		827		937
	$	13,101	$	12,466	$	38,953	$	36,424
Segment operating income(1):
Media Networks	$	2,378	$	2,296	$	5,974	$	5,884
Parks and Resorts	922		848		2,293		1,976
Studio Entertainment	472		411		1,443		1,295
Consumer Products	348		273		1,336		977
Interactive	—		29		101		98
	$	4,120	$	3,857	$	11,147	$	10,230

⁽¹⁾ Studio Entertainment segment revenues and operating income include an allocation of Consumer Products revenues, which is meant to reflect royalties on sales of merchandise based on certain film properties. The increase to Studio Entertainment revenues and operating income and corresponding decrease to Consumer Products revenues and operating income totaled $109 million and $66 million for the quarters ended June 27, 2015 and June 28, 2014, respectively, and $387 million and $187 million for the nine months ended June 27, 2015 and June 28, 2014, respectively.

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

	Quarter Ended						Nine Months Ended
	June 27, 2015			June 28, 2014			June 27, 2015			June 28, 2014
Segment operating income	$	4,120		$	3,857		$	11,147		$	10,230
Corporate and unallocated shared expenses	(146		)	(137		)	(441		)	(408		)
Restructuring and impairment charges	—			—			—			(67		)
Other expense, net	—			—			—			(31		)
Interest income/(expense), net	(12		)	(50		)	(62		)	61
Income before income taxes	$	3,962		$	3,670		$	10,644		$	9,785