Segment Information

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Segment Information

Segment Information

We determine our business segments based upon our management and internal reporting structure. Our reportable segments are strategic businesses that offer different products and services.

Our television segment includes 11 ABC affiliates, three NBC affiliates and two independent stations, which we operate as duopolies with our Kansas City NBC affiliate and our Detroit ABC affiliate. We also own five Azteca America affiliates. Our television stations reach approximately 14% of the nation’s households. Television stations earn revenue primarily from the sale of advertising time to local and national advertisers and retransmission fees received from cable operators and satellite carriers.

Our newspaper segment includes daily and community newspapers in 13 markets across the United States. Newspapers earn revenue primarily from the sale of advertising space to local and national advertisers and newspaper subscription fees.

Syndication and other primarily includes certain digital operations outside our television and newspaper markets and syndication of news features and comics and other features for the newspaper industry. Newsy, a digital video news service, and WeatherSphere, a provider of weather-related mobile apps, are also included in syndication and other.

We allocate a portion of certain corporate costs and expenses, including information technology, certain employee benefits, digital operation services and other shared services, to our business segments. The allocations are generally amounts agreed upon by management, which may differ from an arms-length amount. Corporate assets are primarily cash, cash equivalents, restricted cash, property and equipment primarily used for corporate purposes, and deferred income taxes. A portion of our digital operations, which are not allocated to our television and newspaper segments, is included in shared services and corporate.

Our chief operating decision maker evaluates the operating performance of our business segments and makes decisions about the allocation of resources to our business segments using a measure called segment profit. Segment profit excludes interest, defined benefit pension plan expense (other than current service cost), income taxes, depreciation and amortization, impairment charges, divested operating units, restructuring activities, investment results and certain other items that are included in net income (loss) determined in accordance with accounting principles generally accepted in the United States of America.

Information regarding our business segments is as follows:

	For the years ended December 31,
(in thousands)	2014			2013			2012
Segment operating revenues:
Television	$	486,322		$	422,763		$	493,896
Newspapers	370,316			384,514			399,091
Syndication and other	12,430			9,594			10,471
Total operating revenues	$	869,068		$	816,871		$	903,458
Segment profit (loss):
Television	$	134,885		$	99,790		$	159,917
Newspapers	20,783			27,965			27,595
Syndication and other	(1,871		)	102			(347		)
Shared services and corporate	(53,876		)	(52,563		)	(39,678		)
Defined benefit pension plan expense	(10,000		)	(8,837		)	(8,620		)
Acquisition and related integration costs	(13,974		)	—			(5,826		)
Restructuring costs	—			(4,893		)	(9,335		)
Depreciation and amortization of intangibles	(49,070		)	(47,762		)	(49,332		)
Gains (losses), net on disposal of property, plant and equipment	2,260			(166		)	(474		)
Interest expense	(8,494		)	(10,448		)	(12,246		)
Miscellaneous, net	(8,389		)	(11,760		)	(4,747		)
Income (loss) from operations before income taxes	$	12,254		$	(8,572	)	$	56,907
Depreciation:
Television	$	21,676		$	22,561		$	23,022
Newspapers	15,933			16,204			18,186
Syndication and other	495			78			55
Shared services and corporate	2,564			1,996			995
Total depreciation	$	40,668		$	40,839		$	42,258
Amortization of intangibles:
Television	$	7,092		$	6,378		$	6,413
Newspapers	390			545			661
Syndication and other	920			—			—
Total amortization of intangibles	$	8,402		$	6,923		$	7,074

The following table presents additions to property, plant and equipment by segment:

	For the years ended December 31,
(in thousands)	2014		2013		2012
Additions to property, plant and equipment:
Television	$	13,039	$	12,595	$	19,947
Newspapers	2,206		2,399		2,771
Syndication and other	1,335		—		780
Shared services and corporate	2,428		6,361		6,712
Total additions to property, plant and equipment	$	19,008	$	21,355	$	30,210

Total assets by segment for the years ended December 31 were as follows:

	As of December 31,
(in thousands)	2014		2013		2012
Assets:
Television	$	509,569	$	410,529	$	415,174
Newspapers	232,420		261,974		278,110
Syndication and other	44,178		2,017		3,837
Shared services and corporate	246,564		291,610		333,647
Total assets	$	1,032,731	$	966,130	$	1,030,768

No single customer provides more than 10% of our revenue.