Segment Reporting

9 Months Ended

Sep. 30, 2013

Segment Reporting

(6) Segment Reporting

Our reportable operating segments consist of acute care hospital services and behavioral health care services. The “Other” segment column below includes centralized services including information services, purchasing, reimbursement, accounting, taxation, legal, advertising, design and construction and patient accounting as well as the operating results for our other operating entities including outpatient surgery and radiation centers. The chief operating decision making group for our acute care hospital services and behavioral health care services is comprised of the Chief Executive Officer, the President and the Presidents of each operating segment. The Presidents of each operating segment also manage the profitability of each respective segment’s various facilities. The operating segments are managed separately because each operating segment represents a business unit that offers different types of healthcare services or operates in different healthcare environments. The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies included in our Annual Report on Form 10-K for the year ended December 31, 2012. The corporate overhead allocations, as reflected below, are utilized for internal reporting purposes and are comprised of each period’s projected corporate-level operating expenses (excluding interest expense). The overhead expenses are captured and allocated directly to each segment, to the extent possible, with the non-directly allocated overhead expenses allocated based upon each segment’s respective percentage of total facility-based operating expenses.

	Three months ended September 30, 2013
	Acute Care			Behavioral
	Hospital			Health						Total
	Services			Services			Other			Consolidated
	(Amounts in thousands)
Gross inpatient revenues	$	3,296,484		$	1,567,436		$	0		$	4,863,920
Gross outpatient revenues	$	1,712,290		$	179,783		$	10,207		$	1,902,280
Total net revenues	$	899,533		$	907,935		$	8,901		$	1,816,369
Income/(loss) before allocation of corporate overhead and income taxes	$	68,266		$	211,456		($	87,150	)	$	192,572
Allocation of corporate overhead	($	46,112	)	($	22,265	)	$	68,377		$	0
Income/(loss) after allocation of corporate overhead and before income taxes	$	22,154		$	189,191		($	18,773	)	$	192,572
Total assets as of 9/30/13	$	3,123,780		$	4,926,271		$	301,692		$	8,351,743

	Nine months ended September 30, 2013
	Acute Care Hospital Services			Behavioral Health Services			Other			Total Consolidated
	(Amounts in thousands)
Gross inpatient revenues	$	10,124,908		$	4,741,967		$	0		$	14,866,875
Gross outpatient revenues	$	5,072,065		$	559,288		$	31,680		$	5,663,033
Total net revenues	$	2,702,913		$	2,746,949		$	33,114		$	5,482,976
Income/(loss) before allocation of corporate overhead and income taxes	$	267,285		$	672,787		($	277,698	)	$	662,374
Allocation of corporate overhead	($	138,333	)	($	67,093	)	$	205,426		$	0
Income/(loss) after allocation of corporate overhead and before income taxes	$	128,952		$	605,694		($	72,272	)	$	662,374
Total assets as of 9/30/13	$	3,123,780		$	4,926,271		$	301,692		$	8,351,743

	Three months ended September 30, 2012
	Acute Care Hospital Services			Behavioral Health Services			Other			Total Consolidated
	(Amounts in thousands)
Gross inpatient revenues	$	3,013,482		$	1,410,170		$	0		$	4,423,652
Gross outpatient revenues	$	1,517,261		$	151,788		$	14,475		$	1,683,524
Total net revenues	$	828,399		$	841,669		$	10,285		$	1,680,353
Income/(loss) before allocation of corporate overhead and income taxes	$	51,591		$	199,275		($	127,361	)	$	123,505
Allocation of corporate overhead	($	39,360	)	($	20,727	)	$	60,087		$	0
Income/(loss) after allocation of corporate overhead and before income taxes	$	12,231		$	178,548		($	67,274	)	$	123,505
Total assets as of 9/30/12	$	2,925,327		$	4,448,775		$	406,964		$	7,781,066

	Nine months ended September 30, 2012
	Acute Care Hospital Services			Behavioral Health Services			Other			Total Consolidated
	(Amounts in thousands)
Gross inpatient revenues	$	9,326,344		$	4,242,528		$	0		$	13,568,872
Gross outpatient revenues	$	4,606,680		$	474,623		$	39,468		$	5,120,771
Total net revenues	$	2,598,527		$	2,572,256		$	25,690		$	5,196,473
Income/(loss) before allocation of corporate overhead and income taxes	$	245,718		$	623,524		($	338,975	)	$	530,267
Allocation of corporate overhead	($	118,082	)	($	62,665	)	$	180,747		$	0
Income/(loss) after allocation of corporate overhead and before income taxes	$	127,636		$	560,859		($	158,228	)	$	530,267
Total assets as of 9/30/12	$	2,925,327		$	4,448,775		$	406,964		$	7,781,066