Deferred Preneed Funeral and Cemetery Receipts Held in Trust and Care Trusts’ Corpus

Deferred Preneed Funeral and Cemetery Receipts Held in Trust

We consolidate the merchandise and service trusts associated with our preneed funeral and cemetery activities in accordance with the Consolidation Topic of the ASC. Although the guidance requires the consolidation of the merchandise and service trusts, it does not change the legal relationships among the trusts, us, or our customers. The customers are the legal beneficiaries of these merchandise and service trusts, and therefore their interests in these trusts represent a liability to us.

The components of Deferred preneed funeral and cemetery receipts held in trust in our unaudited condensed consolidated balance sheet at March 31, 2012 and December 31, 2011 are detailed below.



	March 31, 2012									December 31, 2011
	Preneed Funeral			Preneed Cemetery			Total			Preneed Funeral			Preneed Cemetery			Total
	(In thousands)									(In thousands)
Trust investments	$	1,317,105		$	1,245,781		$	2,562,886		$	1,271,446		$	1,156,023		$	2,427,469
Accrued trust operating payables and other	(1,936		)	(2,504		)	(4,440		)	(1,261		)	(1,852		)	(3,113		)
Deferred preneed funeral and cemetery receipts held in trust	$	1,315,169		$	1,243,277		$	2,558,446		$	1,270,185		$	1,154,171		$	2,424,356

Care Trusts’ Corpus

The Care trusts’ corpus reflected in our unaudited condensed consolidated balance sheet represents the cemetery perpetual care trusts, including the related accrued expenses.

The components of Care trusts’ corpus in our unaudited condensed consolidated balance sheet at March 31, 2012 and December 31, 2011 are detailed below.



	March 31, 2012			December 31, 2011
	(In thousands)
Cemetery perpetual care trust investments	$	1,050,081		$	1,016,506
Accrued trust operating payables and other	(2,025		)	(1,206		)
Care trusts’ corpus	$	1,048,056		$	1,015,300

Other Income, Net

The components of Other income, net in our unaudited condensed consolidated statement of operations for the three months ended March 31, 2012 and 2011 are detailed below. See Notes 4, 5, and 6 for further discussion of the amounts related to the funeral, cemetery, and cemetery perpetual care trusts.



	Three Months Ended March 31, 2012
	Funeral Trusts			Cemetery Trusts			Cemetery Perpetual Care Trusts			Other, Net		Total
				(In thousands)
Realized gains	$	26,011		$	39,272		$	2,162		$	—	$	67,445
Realized losses	(9,748		)	(13,770		)	(2,215		)	—		(25,733		)
Impairment charges	(344		)	(305		)	(1		)	—		(650		)
Interest, dividend, and other ordinary income	2,200			2,276			5,723			—		10,199
Trust expenses and income taxes	(2,569		)	(3,185		)	(385		)	—		(6,139		)
Net trust investment income	15,550			24,288			5,284			—		45,122
Reclassification to deferred preneed funeral and cemetery receipts held in trust and care trusts’ corpus	(15,550		)	(24,288		)	(5,284		)	—		(45,122		)
Other income, net	—						—			3,905		3,905
Total other income, net	$	—		$	—		$	—		$	3,905	$	3,905



	Three Months Ended March 31, 2011
	Funeral Trusts			Cemetery Trusts			Cemetery Perpetual Care Trusts			Other, Net		Total
				(In thousands)
Realized gains	$	12,877		$	16,847		$	21,241		$	—	$	50,965
Realized losses	(4,034		)	(5,621		)	(10,661		)	—		(20,316		)
Impairment charges	(3,146		)	(978		)	(297		)	—		(4,421		)
Interest, dividend, and other ordinary income	3,422			4,909			8,180			—		16,511
Trust expenses and income taxes	(1,383		)	(1,755		)	(1,596		)	—		(4,734		)
Net trust investment income	7,736			13,402			16,867			—		38,005
Reclassification to deferred preneed funeral and cemetery receipts held in trust and care trusts’ corpus	(7,736		)	(13,402		)	(16,867		)	—		(38,005		)
Other income, net	—			—			—			674		674
Total other income, net	$	—		$	—		$	—		$	674	$	674