Segment Data

6 Months Ended

Jun. 30, 2015

Segment Data

NOTE 8 – SEGMENT DATA

The Company’s reportable segments, which it believes best reflect how the Company is currently managed, are iHM, Americas outdoor advertising and International outdoor advertising. Revenue and expenses earned and charged between segments are recorded at estimated fair value and eliminated in consolidation. The iHM segment provides media and entertainment services via broadcast and digital delivery and also includes the Company’s events and national syndication businesses. The Americas outdoor advertising segment consists of operations primarily in the United States, Canada and Latin America. The International outdoor advertising segment primarily includes operations in Europe, Asia and Australia. The Other category includes the Company’s media representation business as well as other general support services and initiatives that are ancillary to the Company’s other businesses. Corporate includes infrastructure and support, including information technology, human resources, legal, finance and administrative functions for each of the Company’s reportable segments, as well as overall executive, administrative and support functions. Share-based payments are recorded in corporate expense.

During the first quarter of 2015, the Company revised its segment reporting, as discussed in Note 1. The following table presents the Company’s reportable segment results for the three and six months ended June 30, 2015 and 2014:
(In thousands)	iHM		Americas Outdoor Advertising		International Outdoor Advertising		Other		Corporate and other reconciling items		Eliminations		Consolidated
Three Months Ended June 30, 2015
Revenue	$	840,701	$	341,286	$	381,533	$	40,040	$	-	$	(3,701)	$	1,599,859
Direct operating expenses		241,826		149,712		222,630		3,039		-		(1,942)		615,265
Selling, general and administrative expenses		266,523		57,346		75,176		26,877		-		(1,759)		424,163
Depreciation and amortization		59,571		51,113		40,956		7,611		9,143		-		168,394
Corporate expenses		-		-		-		-		80,592		-		80,592
Other operating income, net		-		-		-		-		100,754		-		100,754
Operating income	$	272,781	$	83,115	$	42,771	$	2,513	$	11,019	$	-	$	412,199
Intersegment revenues	$	-	$	1,062	$	-	$	2,639	$	-	$	-	$	3,701
Capital expenditures	$	15,414	$	15,664	$	31,752	$	2,097	$	3,495	$	-	$	68,422
Share-based compensation expense	$	-	$	-	$	-	$	-	$	2,403	$	-	$	2,403
Three Months Ended June 30, 2014
Revenue	$	806,337	$	344,346	$	436,859	$	47,227	$	-	$	(4,615)	$	1,630,154
Direct operating expenses		227,059		153,875		259,269		6,348		-		(1,681)		644,870
Selling, general and administrative expenses		250,681		58,448		81,823		30,910		-		(2,934)		418,928
Depreciation and amortization		59,230		49,848		47,889		8,655		8,440		-		174,062
Impairment charges		-		-		-		-		4,902		-		4,902
Corporate expenses		-		-		-		-		82,197		-		82,197
Other operating expense, net		-		-		-		-		(1,628)		-		(1,628)
Operating income (loss)	$	269,367	$	82,175	$	47,878	$	1,314	$	(97,167)	$	-	$	303,567
Intersegment revenues	$	-	$	1,094	$	-	$	3,521	$	-	$	-	$	4,615
Capital expenditures	$	10,392	$	21,683	$	31,776	$	1,079	$	9,083	$	-	$	74,013
Share-based compensation expense	$	-	$	-	$	-	$	-	$	2,782	$	-	$	2,782

(In thousands)	iHM		Americas Outdoor Advertising		International Outdoor Advertising		Other		Corporate and other reconciling items		Eliminations		Consolidated
Six Months Ended June 30, 2015
Revenue	$	1,538,502	$	637,149	$	700,713	$	75,502	$	-	$	(7,443)	$	2,944,423
Direct operating expenses		455,655		295,946		439,367		6,437		-		(3,621)		1,193,784
Selling, general and administrative expenses		527,872		112,983		146,669		56,649		-		(3,822)		840,351
Depreciation and amortization		120,313		101,453		83,397		15,277		18,407		-		338,847
Corporate expenses		-		-		-		-		157,880		-		157,880
Other operating expense, net		-		-		-		-		91,780		-		91,780
Operating income (loss)	$	434,662	$	126,767	$	31,280	$	(2,861)	$	(84,507)	$	-	$	505,341
Intersegment revenues	$	-	$	2,163	$	-	$	5,280	$	-	$	-	$	7,443
Capital expenditures	$	27,327	$	32,359	$	56,857	$	3,148	$	5,186	$	-	$	124,877
Share-based compensation expense	$	-	$	-	$	-	$	-	$	4,927	$	-	$	4,927
Six Months Ended June 30, 2014
Revenue	$	1,476,684	$	634,956	$	781,500	$	88,722	$	-	$	(9,160)	$	2,972,702
Direct operating expenses		439,005		297,239		497,418		12,736		-		(3,840)		1,242,558
Selling, general and administrative expenses		504,025		114,817		158,404		61,638		-		(5,320)		833,564
Depreciation and amortization		119,555		99,559		96,220		17,374		16,225		-		348,933
Impairment charges		-		-		-		-		4,902		-		4,902
Corporate expenses		-		-		-		-		154,902		-		154,902
Other operating income, net		-		-		-		-		(1,463)		-		(1,463)
Operating income (loss)	$	414,099	$	123,341	$	29,458	$	(3,026)	$	(177,492)	$	-	$	386,380
Intersegment revenues	$	-	$	2,070	$	-	$	7,090	$	-	$	-	$	9,160
Capital expenditures	$	20,684	$	38,127	$	52,638	$	2,886	$	27,086	$	-	$	141,421
Share-based compensation expense	$	-	$	-	$	-	$	-	$	5,818	$	-	$	5,818