SEGMENT REPORTING

12 Months Ended

Dec. 31, 2014

SEGMENT REPORTING

16. SEGMENT REPORTING

As of December 31, 2014, CCA owned and managed 49 correctional and detention facilities, and managed 12 correctional and detention facilities it did not own. In addition, CCA owned three facilities that it leased to third-party operators. Management views CCA’s operating results in one operating segment. However, the Company has chosen to report financial performance segregated for (1) owned and managed correctional and detention facilities and (2) managed-only correctional and detention facilities as the Company believes this information is useful to users of the financial statements. Owned and managed facilities include the operating results of those facilities placed into service that were owned or controlled via a long-term lease and managed by CCA. Managed-only facilities include the operating results of those facilities owned by a third party and managed by CCA. The operating performance of the owned and managed and the managed-only correctional and detention facilities can be measured based on their net operating income. CCA defines facility net operating income as a facility’s operating income or loss from operations before interest, taxes, asset impairments, depreciation, and amortization.

The revenue and net operating income for the owned and managed and the managed-only facilities and a reconciliation to CCA’s operating income is as follows for the three years ended December 31, 2014, 2013, and 2012 (in thousands):

	For the Years Ended December 31,
	2014			2013			2012
Revenue:
Owned and managed	$	1,379,986		$	1,386,355		$	1,418,783
Managed-only		232,685			301,454			299,599
Total management revenue		1,612,671			1,687,809			1,718,382
Operating expenses:
Owned and managed		928,857			941,638			935,680
Managed-only		207,355			261,903			263,678
Total operating expenses		1,136,212			1,203,541			1,199,358
Facility net operating income
Owned and managed		451,129			444,717			483,103
Managed-only		25,330			39,551			35,921
Total facility net operating income		476,459			484,268			519,024
Other revenue (expense):
Rental and other revenue		34,196			6,488			5,275
Other operating expense		(19,923	)		(16,810	)		(17,693	)
General and administrative expense		(106,429	)		(103,590	)		(88,935	)
Depreciation and amortization		(113,925	)		(112,692	)		(113,063	)
Asset impairments		(30,082	)		(6,513	)		—
Operating income	$	240,296		$	251,151		$	304,608

The following table summarizes capital expenditures for the years ended December 31, 2014, 2013, and 2012 (in thousands):

	For the Years Ended December 31,
	2014		2013		2012
Capital expenditures:
Owned and managed	$	246,333	$	96,975	$	55,222
Managed-only		3,171		3,719		3,507
Corporate and other		13,056		10,852		17,685
Discontinued operations		—		72		532
Total capital expenditures	$	262,560	$	111,618	$	76,946

The total assets are as follows (in thousands):

	December 31,
	2014		2013
Assets:
Owned and managed	$	2,745,905	$	2,715,719
Managed-only		68,146		81,551
Corporate and other		313,140		210,140
Discontinued operations		—		15
Total assets	$	3,127,191	$	3,007,425