| Reportable Operating Segments |
Reportable Operating Segments
We identify our operating segments based on management responsibility. The China Division includes mainland China and the India Division includes India, Bangladesh, Mauritius, Nepal and Sri Lanka. YRI includes the remainder of our international operations. We consider our KFC-U.S., Pizza Hut-U.S. and Taco Bell-U.S. operating segments to be similar and therefore have aggregated them into a single reportable operating segment.
The following tables summarize Revenues and Operating Profit for each of our reportable operating segments:
| | | | | | | | | | | | | | | | | | Quarter ended | | Year to date | Revenues | 9/8/2012 | | 9/3/2011 | | 9/8/2012 | | 9/3/2011 | China | $ | 1,988 |
| | $ | 1,600 |
| | $ | 4,762 |
| | $ | 3,686 |
| YRI | 769 |
| | 779 |
| | 2,247 |
| | 2,167 |
| U.S. | 787 |
| | 873 |
| | 2,405 |
| | 2,609 |
| India | 25 |
| | 22 |
| | 66 |
| | 53 |
| | $ | 3,569 |
| | $ | 3,274 |
| | $ | 9,480 |
| | $ | 8,515 |
|
| | | | | | | | | | | | | | | | | | Quarter ended | | Year to date | Operating Profit | 9/8/2012 | | 9/3/2011 | | 9/8/2012 | | 9/3/2011 | China(a) | $ | 374 |
| | $ | 301 |
| | $ | 812 |
| | $ | 698 |
| YRI | 173 |
| | 163 |
| | 491 |
| | 467 |
| United States | 162 |
| | 143 |
| | 486 |
| | 398 |
| India | — |
| | — |
| | (1 | ) | | (1 | ) | Unallocated Occupancy and other(b) | 3 |
| | 2 |
| | 12 |
| | 8 |
| Unallocated and corporate expenses | (41 | ) | | (43 | ) | | (124 | ) | | (122 | ) | Unallocated Other income (expense)(c) | (2 | ) | | 4 |
| | 72 |
| | 11 |
| Unallocated impairment expense(d) | — |
| | (16 | ) | | — |
| | (82 | ) | Unallocated Refranchising gain (loss)(e) | 2 |
| | (66 | ) | | 41 |
| | (69 | ) | Operating Profit | $ | 671 |
| | $ | 488 |
| | $ | 1,789 |
| | $ | 1,308 |
| Interest expense, net | (32 | ) | | (32 | ) | | (107 | ) | | (110 | ) | Income Before Income Taxes | $ | 639 |
| | $ | 456 |
| | $ | 1,682 |
| | $ | 1,198 |
|
| | (a) | Includes equity income from investments in unconsolidated affiliates of $16 million and $13 million for the quarters ended September 8, 2012 and September 3, 2011, respectively, and $38 million and $40 million for the years to date ended September 8, 2012 and September 3, 2011, respectively. |
| | (b) | Amounts represent depreciation reduction recognized as a result of our decisions to refranchise Company operated Pizza Hut dine-in restaurants in the UK (see Note 4) and Company operated KFC restaurants in the U.S. |
| | (c) | Includes $74 million non-cash gain on acquisition of additional interest in Little Sheep for the year to date ended September 8, 2012. See Note 4. |
| | (d) | Amounts represent impairment charges resulting from our decision to divest the LJS and A&W businesses in 2011. See Note 4. |
| | (e) | Includes U.S. refranchising gains of $53 million partially offset by an impairment charge of $20 million related to our Pizza Hut UK dine-in business for the year to date ended September 8, 2012. Includes refranchising losses of $76 million related to our Pizza Hut UK dine-in business for the quarter and year to date ended September 3, 2011. See Note 4. |
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