Financial Reporting By Business Segments

6 Months Ended

Jun. 30, 2020

Financial Reporting By Business Segments

Financial Reporting By Business Segments

16. FINANCIAL REPORTING BY BUSINESS SEGMENTS:

The Company’s operations are organized into three principal business segments:

● Hospitality, which includes Gaylord Opryland, Gaylord Palms, Gaylord Texan, Gaylord National, the Inn at Opryland, the AC Hotel, and the Company’s investment in the Gaylord Rockies joint venture;

● Entertainment, which includes the Grand Ole Opry, the Ryman Auditorium, WSM-AM, Ole Red, the Company’s equity investment in Circle, and the Company’s Nashville-based attractions; and

● Corporate and Other, which includes the Company’s corporate expenses.

The following information is derived directly from the segments’ internal financial reports used for corporate management purposes (amounts in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2020		2019		2020		2019
Revenues:
Hospitality	$	10,305	$	357,129	$	295,976	$	694,639
Entertainment		4,376		50,590		31,735		83,855
Corporate and Other		—		—		—		—
Total	$	14,681	$	407,719	$	327,711	$	778,494
Depreciation and amortization:
Hospitality	$	49,588	$	50,331	$	99,357	$	100,464
Entertainment		3,402		2,830		6,507		5,309
Corporate and Other		1,021		392		1,492		789
Total	$	54,011	$	53,553	$	107,356	$	106,562
Operating income:
Hospitality	$	(100,128)	$	79,093	$	(76,311)	$	139,447
Entertainment		(12,483)		14,701		(17,575)		19,846
Corporate and Other		(8,279)		(8,502)		(16,886)		(17,903)
Preopening costs (1)		(700)		24		(1,501)		(2,110)
Gain on sale of assets (2)		—		—		1,261		—
Credit loss on held-to-maturity securities (3)		(19,145)		—		(24,973)		—
Total operating income (loss)		(140,735)		85,316		(135,985)		139,280
Interest expense		(30,042)		(33,492)		(59,400)		(65,579)
Interest income		1,854		2,970		4,225		5,878
Loss from unconsolidated joint ventures		(1,820)		(167)		(3,715)		(167)
Other gains and (losses), net		(16,755)		(111)		(16,560)		(252)
Income (loss) before income taxes	$	(187,498)	$	54,516	$	(211,435)	$	79,160

(1) Preopening costs for the three months ended June 30, 2020 include $0.1 million and $0.6 million for the Hospitality and Entertainment segments, respectively. Preopening costs for the six months ended June 30, 2020 include $0.2 million and $1.3 million for the Hospitality and Entertainment segments, respectively. Preopening costs for the six months ended June 30, 2019 include $0.6 million and $1.5 million for the Hospitality and Entertainment segments, respectively.

(2) Gain on sale of assets for the six months ended June 30, 2020 relates to the Hospitality segment.

(3) Credit loss on held-to-maturity securities for the three months and six months ended June 30, 2020 relates to the Hospitality segment.

	June 30,		December 31,
	2020		2019
Identifiable assets:
Hospitality	$	3,321,477	$	3,494,084
Entertainment		192,721		181,036
Corporate and Other		130,747		413,348
Total identifiable assets	$	3,644,945	$	4,088,468