7. SEGMENT INFORMATION:

The Company has four reportable segments: (i) radio broadcasting; (ii) Reach Media; (iii) digital; and (iv) cable television. These segments operate in the United States and are consistently aligned with the Company’s management of its businesses and its financial reporting structure.

The radio broadcasting segment consists of all broadcast results of operations. The Reach Media segment consists of the results of operations for the Tom Joyner Morning Show and related activities and operations of other syndicated shows. The digital segment includes the results of our online business, including the operations of Interactive One, as well as the digital components of our other reportable segments. The cable television segment consists of the Company’s cable TV operation, including TV One’s and CLEO TV’s results of operations. Corporate/Eliminations represents financial activity associated with our corporate staff and offices and intercompany activity among the four segments.

Operating loss or income represents total revenues less operating expenses, depreciation and amortization, and impairment of long-lived assets. Intercompany revenue earned and expenses charged between segments are recorded at estimated fair value and eliminated in consolidation.

The accounting policies described in the summary of significant accounting policies in Note 1 – Organization and Summary of Significant Accounting Policies are applied consistently across the segments.

Detailed segment data for the three months ended March 31, 2019 and 2018, is presented in the following tables:


	Three Months Ended
	March 31,
	2019		2018
	(Unaudited)
	(In thousands)
Net Revenue:
Radio Broadcasting	$	36,749	$	39,513
Reach Media		6,973		6,520
Digital		7,437		8,146
Cable Television		47,823		46,186
Corporate/Eliminations*		(533)		(744)
Consolidated	$	98,449	$	99,621

Operating Expenses (including stock-based compensation and excluding depreciation and amortization and impairment of long-lived assets):
Radio Broadcasting	$	26,887	$	27,241
Reach Media		6,352		6,501
Digital		7,545		10,445
Cable Television		25,976		26,666
Corporate/Eliminations		7,298		6,609
Consolidated	$	74,058	$	77,462

Depreciation and Amortization:
Radio Broadcasting	$	869	$	870
Reach Media		59		63
Digital		461		476
Cable Television		6,575		6,557
Corporate/Eliminations		310		322
Consolidated	$	8,274	$	8,288

Impairment of Long-Lived Assets:
Radio Broadcasting	$	—	$	6,556
Reach Media		—		—
Digital		—		—
Cable Television		—		—
Corporate/Eliminations		—		—
Consolidated	$	—	$	6,556

Operating income (loss):
Radio Broadcasting	$	8,993	$	4,846
Reach Media		562		(44)
Digital		(569)		(2,775)
Cable Television		15,272		12,963
Corporate/Eliminations		(8,141)		(7,675)
Consolidated	$	16,117	$	7,315

*Intercompany revenue included in net revenue above is as follows:


Radio Broadcasting		$	(533)		$	(744)

Capital expenditures by segment are as follows:


Radio Broadcasting	$	221	$	417
Reach Media		19		34
Digital		318		380
Cable Television		96		42
Corporate/Eliminations		53		41
Consolidated	$	707	$	914


	March 31, 2019		December 31, 2018
	(Unaudited)
	(In thousands)
Total Assets:
Radio Broadcasting	$	742,201	$	717,400
Reach Media		37,149		34,388
Digital		27,182		24,389
Cable Television		413,189		402,511
Corporate/Eliminations		51,868		58,721
Consolidated	$	1,271,589	$	1,237,409