SEGMENT REPORTING

6 Months Ended

Jun. 30, 2019

SEGMENT REPORTING

10. SEGMENT REPORTING

As of June 30, 2019, CoreCivic operated 51 correctional and detention facilities, 44 of which the Company owned.  In addition, CoreCivic owned and operated 27 residential reentry centers and owned 27 properties that it leased to third parties.  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 third parties.  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 operating income is as follows for the three and six months ended June 30, 2019 and 2018 (in thousands):

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2019			2018			2019			2018
Revenue:
Safety	$	440,410		$	413,208		$	874,728		$	817,706
Community		30,706			24,718			61,272			49,518
Properties		19,143			12,001			38,255			23,616
Total segment revenue		490,259			449,927			974,255			890,840
Operating expenses:
Safety		316,995			298,469			633,590			594,972
Community		23,086			18,757			46,582			38,124
Properties		5,495			3,172			11,147			6,286
Total segment operating expenses		345,576			320,398			691,319			639,382
Facility net operating income:
Safety		123,415			114,739			241,138			222,734
Community		7,620			5,961			14,690			11,394
Properties		13,648			8,829			27,108			17,330
Total facility net operating income		144,683			129,529			282,936			251,458
Other revenue (expense):
Other revenue		35			2			103			5
Other operating expense		(103	)		(141	)		(192	)		(308	)
General and administrative		(33,364	)		(27,538	)		(62,809	)		(52,509	)
Depreciation and amortization		(35,591	)		(38,560	)		(71,114	)		(76,649	)
Asset impairments		(4,706	)		(1,580	)		(4,706	)		(1,580	)
Operating income	$	70,954		$	61,712		$	144,218		$	120,417

The following table summarizes capital expenditures including accrued amounts for the three and six months ended June 30, 2019 and 2018 (in thousands):

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2019		2018		2019		2018
Capital expenditures:
Safety	$	19,825	$	13,382	$	38,927	$	24,852
Community		1,261		1,272		2,724		8,419
Properties		43,338		12,708		60,094		53,702
Corporate and other		4,699		1,811		8,171		8,452
Total capital expenditures	$	69,123	$	29,173	$	109,916	$	95,425

The total assets are as follows (in thousands):

	June 30, 2019		December 31, 2018
Assets:
Safety	$	2,627,372	$	2,621,880
Community		274,592		281,198
Properties		665,925		606,770
Corporate and other		171,002		145,812
Total Assets	$	3,738,891	$	3,655,660