Geographic Information

3 Months Ended

Mar. 31, 2013

Segments, Geographical Areas [Abstract]

Geographic Information

Segment Information

The Company's business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. j2 Global's reportable business segments are: (i) Business Cloud Services; and (ii) Digital Media. Segment accounting policies are the same as described in Note 1 - Basis of Presentation.

Information on reportable segments and reconciliation to consolidated income from operations is presented below (in thousands):

	Three Months Ended March 31,
	2013			2012
Revenues by segment:
Business Cloud Services	$	90,739		$	86,652
Digital Media	22,907			—
Elimination of inter-segment revenues	(29		)	—
Total revenues	113,617			86,652
Direct costs by segment(1):
Business Cloud Services	46,081			42,525
Digital Media	26,903			—
Direct costs by segment(1):	72,984			42,525
Business Cloud Services operating income	44,657			44,127
Digital Media operating loss	(3,996		)	—
Segment operating income	40,661			44,127
Global operating costs(2)	7,674			6,517
Income from operations	$	32,987		$	37,610
(1) Direct costs for each segment include cost of revenues and other operating expenses that are directly attributable to the segment such as employee compensation expense, local sales and marketing expenses, engineering and operations, depreciation and amortization and other administrative expenses.
(2) Global operating costs include general and administrative and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment.

	March 31, 2013			December 31, 2012
Assets:
Business Cloud Services	$	803,064		$	788,828
Digital Media	287,900			204,244
Total assets from reportable segments	1,090,964			993,072
Corporate	2,862			2,098
Elimination of inter-segment note receivable	(54,000		)	—
Total assets	$	1,039,826		$	995,170
	Three Months Ended March 31,
	2013			2012
Capital expenditures:
Business Cloud Services	$	976		$	1,076
Digital Media	783			—
Total from reportable segments	1,759			1,076
Corporate	174			83
Total capital expenditures	$	1,933		$	1,159
Depreciation and amortization:
Business Cloud Services	$	5,456		$	4,801
Digital Media	3,152			—
Total from reportable segments	8,608			4,801
Corporate	154			125
Total depreciation and amortization	$	8,762		$	4,926

j2 Global maintains operations in the U.S., Canada, Ireland, Japan and other countries. Geographic information about the U.S. and all other countries for the reporting periods is presented below. Such information attributes revenues based on jurisdictions where revenues are reported (in thousands).

	Three Months Ended March 31,
	2013		2012
Revenues:
United States	$	76,378	$	54,121
Canada	18,557		20,201
Ireland	10,098		9,026
All other countries	8,584		3,304
	$	113,617	$	86,652

	March 31, 2013		December 31, 2012
Long-lived assets:
United States	$	141,561	$	105,549
All other countries	46,147		46,554
Total	$	187,708	$	152,103