SEGMENT REPORTING

12 Months Ended

Dec. 31, 2022

SEGMENT REPORTING

16.SEGMENT REPORTING

As of December 31, 2022, CoreCivic operated 44 correctional and detention facilities, 40 of which the Company owned. In addition, CoreCivic owned and operated 23 residential reentry centers and owned 8 properties leased to government agencies. Management views CoreCivic's operating results in three operating segments, CoreCivic Safety, CoreCivic Community, and CoreCivic Properties. CoreCivic Safety includes the operating results of those correctional and detention facilities placed into service that were owned, or controlled via a long-term lease, and managed by CoreCivic, as well as those correctional and detention facilities owned by a third party and managed by CoreCivic. CoreCivic Safety also includes the operating results of TransCor America, LLC, a subsidiary of the Company that provides transportation services to governmental agencies. CoreCivic Community includes the operating results of those residential reentry centers placed into service that were owned, or controlled via a long-term lease, and managed by CoreCivic. CoreCivic Community also includes the operating results of the Company's electronic monitoring and case management services. CoreCivic Properties includes the operating results of those properties leased to government agencies. The operating performance of the three segments can be measured based on their net operating income. CoreCivic defines facility net operating income as a facility's revenues less operating expenses.

The revenue and net operating income for each of the three segments and a reconciliation to CoreCivic's income before income taxes is as follows for the three years ended December 31, 2022, 2021, and 2020 (in thousands):

	For the Years Ended December 31,
	2022			2021			2020
Revenue:
Safety	$	1,684,035		$	1,693,968		$	1,706,232
Community		103,263			99,435			105,990
Properties		57,873			68,934			93,098
Total segment revenue		1,845,171			1,862,337			1,905,320
Operating expenses:
Safety		1,313,567			1,236,938			1,288,938
Community		86,016			81,610			88,903
Properties		13,682			18,155			28,128
Total segment operating expenses		1,413,265			1,336,703			1,405,969
Facility net operating income:
Safety		370,468			457,030			417,294
Community		17,247			17,825			17,087
Properties		44,191			50,779			64,970
Total facility net operating income		431,906			525,634			499,351
Other revenue (expense):
Other revenue		158			279			165
Other operating expense		(527	)		(362	)		(407	)
General and administrative		(127,700	)		(135,770	)		(124,338	)
Depreciation and amortization		(127,906	)		(134,738	)		(150,861	)
Contingent consideration for acquisition    of businesses		—			—			(620	)
Shareholder litigation expense		(1,900	)		(54,295	)		—
Asset impairments		(4,392	)		(11,378	)		(60,628	)
Interest expense, net		(84,974	)		(85,542	)		(83,299	)
Expenses associated with debt repayments    and refinancing transactions		(8,077	)		(56,279	)		(7,141	)
Gain (loss) on sale of real estate assets, net		87,728			38,766			(13,023	)
Other income (expense)		986			(212	)		525
Income before income taxes	$	165,302		$	86,103		$	59,724

The following table summarizes capital expenditures including accrued amounts for the years ended December 31, 2022, 2021, and 2020 (in thousands):

	For the Years Ended December 31,
	2022		2021		2020
Capital expenditures:
Safety	$	70,399	$	56,978	$	42,577
Community		2,362		2,631		2,548
Properties		3,560		9,081		107,487
Corporate and other		7,123		12,804		6,877
Total capital expenditures	$	83,444	$	81,494	$	159,489

The total assets are as follows (in thousands):

	December 31,
	2022		2021
Assets:
Safety	$	2,433,126	$	2,532,319
Community		216,303		233,179
Properties		362,908		352,681
Corporate and other		232,432		380,759
Total assets	$	3,244,769	$	3,498,938