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 June 30, 2019 and 2018, is presented in the following tables:


	Three Months Ended
	June 30,
	2019		2018
	(Unaudited)
	(In thousands)
Net Revenue:
Radio Broadcasting	$	49,312	$	46,452
Reach Media		18,770		16,380
Digital		7,673		6,559
Cable Television		46,430		46,828
Corporate/Eliminations*		(614)		(1,013)
Consolidated	$	121,571	$	115,206

Operating Expenses (including stock-based compensation and excluding depreciation and amortization and impairment of long-lived assets):
Radio Broadcasting	$	30,765	$	28,975
Reach Media		15,439		14,458
Digital		7,094		9,023
Cable Television		24,886		22,610
Corporate/Eliminations		5,457		7,079
Consolidated	$	83,641	$	82,145

Depreciation and Amortization:
Radio Broadcasting	$	851	$	848
Reach Media		59		63
Digital		460		477
Cable Television		1,901		6,556
Corporate/Eliminations		313		304
Consolidated	$	3,584	$	8,248

Impairment of Long-Lived Assets:
Radio Broadcasting	$	3,800	$	—
Reach Media		—		—
Digital		—		—
Cable Television		—		—
Corporate/Eliminations		—		—
Consolidated	$	3,800	$	—

Operating income (loss):
Radio Broadcasting	$	13,896	$	16,629
Reach Media		3,272		1,859
Digital		119		(2,941)
Cable Television		19,643		17,662
Corporate/Eliminations		(6,384)		(8,396)
Consolidated	$	30,546	$	24,813

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


Radio Broadcasting		$	(614)		$	(1,013)

Capital expenditures by segment are as follows:


Radio Broadcasting	$	642	$	152
Reach Media		47		12
Digital		400		380
Cable Television		62		57
Corporate/Eliminations		252		563
Consolidated	$	1,403	$	1,164


	Six Months Ended
	June 30,
	2019		2018
	(Unaudited)
	(In thousands)
Net Revenue:
Radio Broadcasting	$	86,061	$	85,965
Reach Media		25,743		22,899
Digital		15,110		14,705
Cable Television		94,253		93,014
Corporate/Eliminations*		(1,147)		(1,756)
Consolidated	$	220,020	$	214,827

Operating Expenses (including stock-based compensation and excluding depreciation and amortization and impairment of long-lived assets):
Radio Broadcasting	$	57,652	$	56,216
Reach Media		21,791		20,959
Digital		14,638		19,467
Cable Television		50,863		49,276
Corporate/Eliminations		12,755		13,689
Consolidated	$	157,699	$	159,607

Depreciation and Amortization:
Radio Broadcasting	$	1,719	$	1,718
Reach Media		118		126
Digital		921		953
Cable Television		8,477		13,113
Corporate/Eliminations		623		626
Consolidated	$	11,858	$	16,536

Impairment of Long-Lived Assets:
Radio Broadcasting	$	3,800	$	6,556
Reach Media		—		—
Digital		—		—
Cable Television		—		—
Corporate/Eliminations		—		—
Consolidated	$	3,800	$	6,556

Operating income (loss):
Radio Broadcasting	$	22,890	$	21,475
Reach Media		3,834		1,814
Digital		(449)		(5,715)
Cable Television		34,913		30,625
Corporate/Eliminations		(14,525)		(16,071)
Consolidated	$	46,663	$	32,128

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


Radio Broadcasting		$	(1,147)		$	(1,756)

Capital expenditures by segment are as follows:


Radio Broadcasting	$	863	$	569
Reach Media		66		46
Digital		718		760
Cable Television		158		99
Corporate/Eliminations		305		604
Consolidated	$	2,110	$	2,078


	June 30, 2019		December 31, 2018
	(Unaudited)
	(In thousands)
Total Assets:
Radio Broadcasting	$	736,859	$	717,400
Reach Media		34,877		34,388
Digital		27,012		24,389
Cable Television		409,403		402,511
Corporate/Eliminations		61,157		58,721
Consolidated	$	1,269,308	$	1,237,409