SEGMENT REPORTING

9 Months Ended

Sep. 30, 2019

SEGMENT REPORTING

10. SEGMENT REPORTING

As of September 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 nine months ended September 30, 2019 and 2018 (in thousands):

	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2019			2018			2019			2018
Revenue:
Safety	$	457,817		$	422,313		$	1,332,545		$	1,240,019
Community		30,848			25,133			92,120			74,651
Properties		19,828			15,281			58,083			38,897
Total segment revenue		508,493			462,727			1,482,748			1,353,567
Operating expenses:
Safety		338,116			310,698			971,706			905,670
Community		24,168			18,911			70,750			57,035
Properties		6,230			4,020			17,377			10,306
Total segment operating expenses		368,514			333,629			1,059,833			973,011
Facility net operating income:
Safety		119,701			111,615			360,839			334,349
Community		6,680			6,222			21,370			17,616
Properties		13,598			11,261			40,706			28,591
Total facility net operating income		139,979			129,098			422,915			380,556
Other revenue (expense):
Other revenue		29			1			132			6
Other operating expense		(221	)		(130	)		(413	)		(438	)
General and administrative		(32,038	)		(25,085	)		(94,847	)		(77,594	)
Depreciation and amortization		(36,654	)		(39,465	)		(107,768	)		(116,114	)
Asset impairments		—			—			(4,706	)		(1,580	)
Operating income	$	71,095		$	64,419		$	215,313		$	184,836

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

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2019		2018		2019		2018
Capital expenditures:
Safety	$	19,088	$	13,166	$	58,015	$	38,018
Community		657		1,202		3,381		9,621
Properties		20,235		282,968		80,329		336,670
Corporate and other		4,878		1,561		13,049		10,013
Total capital expenditures	$	44,858	$	298,897	$	154,774	$	394,322

The total assets are as follows (in thousands):

	September 30, 2019		December 31, 2018
Assets:
Safety	$	2,601,757	$	2,621,880
Community		275,799		281,198
Properties		684,719		606,770
Corporate and other		186,570		145,812
Total Assets	$	3,748,845	$	3,655,660