Operating Segments

3 Months Ended

Mar. 31, 2012

Operating Segments [Abstract]

Operating Segments

Note 2.  Operating Segments

Our five operating segments, Time Charter Contracts - U.S. Flag, Time Charter Contracts - International Flag,Contracts of Affreightment ("COA"), Rail-Ferry Service and Other, are identified primarily by the characteristics of the contracts and terms under which our vessels are operated.  We report in the Other category the results of several of our subsidiaries that provide ship charter brokerage, ship management services and agency services.  Also included in the Other category are corporate related items, results of insignificant operations, and income and expense items not allocated to the other reportable segments. We manage each reportable segment separately, as each requires different resources depending on the nature of the contract or terms under which the vessels within the segment operate.

We allocate interest expense to the segments in proportion to the book values of the vessels owned within each segment.  We do not allocate to our segments administrative and general expenses, gain on Dry Bulk transaction, gain on sale of other assets, derivative income or income taxes, gain on sale of investment, other income from vessel financing, investment income, foreign exchange gain, and equity in net (loss) income of unconsolidated entities.  Intersegment revenues are based on market prices and include revenues earned by our subsidiaries that provide specialized services to our operating companies.

The following table presents information about segment profit and loss for the three months ended March 31, 2012 and 2011:

(Amounts in Thousands)	Time Charter Contracts- U.S. Flag			Time Charter Contracts- International Flag			COA			Rail-Ferry Service			Other			Total
2012
Revenues from External Customers	$	39,019		$	13,303		$	3,394		$	9,201		$	287		$	65,204
Intersegment Revenues (Eliminated)		-			-			-			-			(5,061	)		(5,061	)
Intersegment Expenses (Eliminated)		-			-			-			-			5,061			5,061
Voyage Expenses (Income)		31,093			7,144			4,286			8,368			(65	)		50,826
Add back:
Operating Lease Expense		464			-			898			-			-			1,362
Direct Finance Lease Amortization		738			780			-			-			-			1,518
Gross Voyage Profit (Loss) *		9,128			6,939			6			833			352			17,258
Gross Voyage Profit Percentage		23	%		52	%		-			9	%		123	%		26	%
Less:
Operating Lease Expense		464			-			898			-			-			1,362
Direct Finance Lease Amortization		738			780			-			-			-			1,518
Vessel Depreciation		2,565			3,092			-			698			2			6,357
Gross Profit (Loss) *		5,361			3,067			(892	)		135			350			8,021
Interest Expense		759			1,615			-			221			132			2,727
Segment Profit (Loss)		4,602			1,452			(892	)		(86	)		218			5,294
2011
Revenues from External Customers	$	39,016		$	11,210		$	4,231		$	9,054		$	823		$	64,334
Intersegment Revenues (Eliminated)		-			-			-			-			(3,777	)		(3,777	)
Intersegment Expenses (Eliminated)		-			-			-			-			3,777			3,777
Voyage Expenses		29,998			6,886			4,310			7,631			165			48,990
Add Back:
Operating Lease Expense		1,059			1,551			898			-			-			3,508
Direct Finance Lease Amortization		643			688			-			-			-			1,331
Gross Voyage Profit (Loss) *		10,720			6,563			819			1,423			658			20,183
Gross Voyage Profit Percentage		27	%		59	%		19	%		16	%		80	%		31	%
Less:
Operating Lease Expense		1,059			1,551			898			-			-			3,508
Direct Finance Lease Amortization		643			688			-			-			-			1,331
Vessel Depreciation		2,509			1,990			-			872			3			5,374
Gross  Profit (Loss) *		6,509			2,334			(79	)		551			655			9,970
Interest Expense		675			1,301			-			193			121			2,290
Segment Profit (Loss)		5,834			1,033			(79	)		358			534			7,680

*Information used by Chief Decision Makers.

The following table is a reconciliation of the totals reported for the operating segments to the applicable line items in the consolidated financial statements:

(Amounts in Thousands)	Three Months Ended March 31,
	2012			2011
Total Profit for Reportable Segments	$	5,294		$	7,680
Unallocated Amounts:
Administrative and General Expenses		(5,508	)		(5,829	)
Gain on Sale of Other Assets		3,799			-
Derivative Income		149			121
Gain on Sale of Investment		42			-
Other Income from Vessel Financing		622			688
Investment Income		128			200
Foreign Exchange Gain		3,648			1,489
Gain on Dry Bulk Transaction		-			18,714
Income Before Provision  for  Income  Taxes and
Equity in Net (Loss) Income of Unconsolidated Entities	$	8,174		$	23,063