|
NOTE 15—SEGMENT INFORMATION
The overall concept that IAC employs in determining its operating segments is to present the financial information in a manner consistent with how the chief operating decision maker and executive management view the businesses, how the businesses are organized as to segment management, and the focus of the businesses with regards to the types of services or products offered or the target market. Operating segments are combined for reporting purposes if they meet certain aggregation criteria, which principally relate to the similarity of their economic characteristics or, in the case of Other, do not meet the quantitative thresholds that require presentation as separate operating segments.
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
|
|
2011 |
|
2010 |
|
2009 |
|
|
|
(In thousands)
|
|
|
Revenue: |
|
|
|
|
|
|
|
|
|
|
|
Search & Applications |
|
$ |
1,040,507 |
|
$ |
805,284 |
|
$ |
649,642 |
|
|
Match |
|
|
518,027 |
|
|
400,723 |
|
|
342,598 |
|
|
Local |
|
|
303,418 |
|
|
263,749 |
|
|
230,426 |
|
|
Media |
|
|
70,164 |
|
|
49,692 |
|
|
14,833 |
|
|
Other |
|
|
128,065 |
|
|
118,749 |
|
|
110,765 |
|
|
Inter-segment elimination |
|
|
(737 |
) |
|
(1,382 |
) |
|
(1,569 |
) |
| |
|
|
|
|
|
|
|
|
Total |
|
$ |
2,059,444 |
|
$ |
1,636,815 |
|
$ |
1,346,695 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
|
|
2011 |
|
2010 |
|
2009 |
|
|
|
(In thousands)
|
|
|
Operating Income (Loss): |
|
|
|
|
|
|
|
|
|
|
|
Search & Applications |
|
$ |
204,006 |
|
$ |
128,356 |
|
$ |
(967,657 |
) |
|
Match |
|
|
137,555 |
|
|
115,367 |
|
|
84,655 |
|
|
Local |
|
|
25,533 |
|
|
8,405 |
|
|
3,974 |
|
|
Media |
|
|
(16,275 |
) |
|
(23,385 |
) |
|
(16,061 |
) |
|
Other |
|
|
(3,896 |
) |
|
(31,600 |
) |
|
(9,165 |
) |
|
Corporate |
|
|
(149,161 |
) |
|
(147,348 |
) |
|
(133,733 |
) |
| |
|
|
|
|
|
|
|
|
Total |
|
$ |
197,762 |
|
$ |
49,795 |
|
$ |
(1,037,987 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
|
|
2011 |
|
2010 |
|
2009 |
|
|
|
(In thousands)
|
|
|
Operating Income Before Amortization(a): |
|
|
|
|
|
|
|
|
|
|
|
Search & Applications |
|
$ |
204,980 |
|
$ |
140,792 |
|
$ |
103,856 |
|
|
Match |
|
|
156,274 |
|
|
122,057 |
|
|
94,124 |
|
|
Local |
|
|
28,284 |
|
|
10,671 |
|
|
12,357 |
|
|
Media |
|
|
(15,845 |
) |
|
(21,849 |
) |
|
(15,518 |
) |
|
Other |
|
|
(2,499 |
) |
|
2,091 |
|
|
(7,493 |
) |
|
Corporate |
|
|
(62,787 |
) |
|
(64,183 |
) |
|
(65,465 |
) |
| |
|
|
|
|
|
|
|
|
Total |
|
$ |
308,407 |
|
$ |
189,579 |
|
$ |
121,861 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, |
|
|
|
2011 |
|
2010 |
|
|
|
(In thousands)
|
|
|
Segment Assets(b): |
|
|
|
|
|
|
|
|
Search & Applications |
|
$ |
246,459 |
|
$ |
260,288 |
|
|
Match |
|
|
190,338 |
|
|
196,177 |
|
|
Local |
|
|
46,581 |
|
|
42,473 |
|
|
Media |
|
|
25,429 |
|
|
23,252 |
|
|
Other |
|
|
15,910 |
|
|
13,191 |
|
|
Corporate |
|
|
1,148,517 |
|
|
1,559,161 |
|
| |
|
|
|
|
|
|
Total |
|
$ |
1,673,234 |
|
$ |
2,094,542 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
|
|
2011 |
|
2010 |
|
2009 |
|
|
|
(In thousands)
|
|
|
Depreciation: |
|
|
|
|
|
|
|
|
|
|
|
Search & Applications |
|
$ |
25,484 |
|
$ |
35,754 |
|
$ |
31,395 |
|
|
Match |
|
|
10,780 |
|
|
11,042 |
|
|
9,821 |
|
|
Local |
|
|
10,388 |
|
|
7,785 |
|
|
6,259 |
|
|
Media |
|
|
703 |
|
|
245 |
|
|
169 |
|
|
Other |
|
|
851 |
|
|
828 |
|
|
2,575 |
|
|
Corporate |
|
|
8,513 |
|
|
8,243 |
|
|
11,172 |
|
| |
|
|
|
|
|
|
|
|
Total |
|
$ |
56,719 |
|
$ |
63,897 |
|
$ |
61,391 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
|
|
2011 |
|
2010 |
|
2009 |
|
|
|
(In thousands)
|
|
|
Capital expenditures: |
|
|
|
|
|
|
|
|
|
|
|
Search & Applications |
|
$ |
8,698 |
|
$ |
17,169 |
|
$ |
16,913 |
|
|
Match |
|
|
17,447 |
|
|
10,087 |
|
|
7,814 |
|
|
Local |
|
|
9,299 |
|
|
10,513 |
|
|
7,482 |
|
|
Media |
|
|
905 |
|
|
474 |
|
|
273 |
|
|
Other |
|
|
970 |
|
|
951 |
|
|
1,221 |
|
|
Corporate |
|
|
2,635 |
|
|
635 |
|
|
235 |
|
| |
|
|
|
|
|
|
|
|
Total |
|
$ |
39,954 |
|
$ |
39,829 |
|
$ |
33,938 |
|
| |
|
|
|
|
|
|
|
- (a)
- The Company's primary metric is Operating Income Before Amortization, which is defined as operating income excluding, if applicable: (1) non-cash compensation expense, (2) amortization of non-cash marketing, (3) amortization and impairment of intangibles, (4) goodwill impairment and (5) one-time items. The Company believes this measure is useful to investors because it represents the operating results from IAC's segments, taking into account depreciation, which it believes is an ongoing cost of doing business, but excluding the effects of any other non-cash expenses. Operating Income Before Amortization has certain limitations in that it does not take into account the impact to IAC's statement of operations of certain expenses, including non-cash compensation, non-cash marketing, and acquisition related accounting. IAC endeavors to compensate for the limitations of the non-U.S. GAAP measure presented by providing the comparable U.S. GAAP measure with equal or greater prominence, financial statements prepared in accordance with U.S. GAAP, and descriptions of the reconciling items, including quantifying such items, to derive the non-U.S. GAAP measure.
- (b)
- Consistent with the Company's primary metric (described in (a) above), the Company excludes, if applicable, goodwill and intangible assets from the measure of segment assets presented above.
Revenue by geography is based on where the customer is located. Geographic information about revenue and long-lived assets is presented below:
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended December 31, |
|
|
|
2011 |
|
2010 |
|
2009 |
|
|
|
(In thousands)
|
|
|
Revenue |
|
|
|
|
|
|
|
|
|
|
|
United States |
|
$ |
1,583,322 |
|
$ |
1,359,655 |
|
$ |
1,138,820 |
|
|
All other countries |
|
|
476,122 |
|
|
277,160 |
|
|
207,875 |
|
| |
|
|
|
|
|
|
|
|
Total |
|
$ |
2,059,444 |
|
$ |
1,636,815 |
|
$ |
1,346,695 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, |
|
|
|
2011 |
|
2010 |
|
|
|
(In thousands)
|
|
|
Long-lived assets (excluding goodwill and intangible assets) |
|
|
|
|
|
|
|
|
United States |
|
$ |
246,550 |
|
$ |
267,060 |
|
|
All other countries |
|
|
13,038 |
|
|
868 |
|
| |
|
|
|
|
|
|
Total |
|
$ |
259,588 |
|
$ |
267,928 |
|
| |
|
|
|
|
|
The following tables reconcile Operating Income Before Amortization to operating income (loss) for the Company's reportable segments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, 2011 |
|
|
|
Operating
Income
Before
Amortization |
|
Non-Cash
Compensation
Expense |
|
Amortization
of Intangibles |
|
Operating
Income
(Loss) |
|
|
|
(In thousands)
|
|
|
Search & Applications |
|
$ |
204,980 |
|
$ |
202 |
|
$ |
(1,176 |
) |
$ |
204,006 |
|
|
Match |
|
|
156,274 |
|
|
(1,642 |
) |
|
(17,077 |
) |
|
137,555 |
|
|
Local |
|
|
28,284 |
|
|
— |
|
|
(2,751 |
) |
|
25,533 |
|
|
Media |
|
|
(15,845 |
) |
|
(427 |
) |
|
(3 |
) |
|
(16,275 |
) |
|
Other |
|
|
(2,499 |
) |
|
(347 |
) |
|
(1,050 |
) |
|
(3,896 |
) |
|
Corporate |
|
|
(62,787 |
) |
|
(86,374 |
) |
|
— |
|
|
(149,161 |
) |
| |
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
308,407 |
|
$ |
(88,588 |
) |
$ |
(22,057 |
) |
$ |
197,762 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, 2010 |
|
|
|
Operating
Income
Before
Amortization |
|
Non-Cash
Compensation
Expense |
|
Amortization
of Intangibles |
|
Goodwill
Impairment |
|
Operating
Income
(Loss) |
|
|
|
(In thousands)
|
|
|
Search & Applications |
|
$ |
140,792 |
|
$ |
(630 |
) |
$ |
(11,806 |
) |
$ |
— |
|
$ |
128,356 |
|
|
Match |
|
|
122,057 |
|
|
153 |
|
|
(6,843 |
) |
|
— |
|
|
115,367 |
|
|
Local |
|
|
10,671 |
|
|
— |
|
|
(2,266 |
) |
|
— |
|
|
8,405 |
|
|
Media |
|
|
(21,849 |
) |
|
(458 |
) |
|
(1,078 |
) |
|
— |
|
|
(23,385 |
) |
|
Other |
|
|
2,091 |
|
|
(180 |
) |
|
(5,479 |
) |
|
(28,032 |
) |
|
(31,600 |
) |
|
Corporate |
|
|
(64,183 |
) |
|
(83,165 |
) |
|
— |
|
|
— |
|
|
(147,348 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
189,579 |
|
$ |
(84,280 |
) |
$ |
(27,472 |
) |
$ |
(28,032 |
) |
$ |
49,795 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, 2009 |
|
|
|
Operating
Income
Before
Amortization |
|
Non-Cash
Compensation
Expense |
|
Amortization
of Intangibles |
|
Amortization
of Non-Cash
Marketing |
|
Goodwill
Impairment |
|
Operating
(Loss)
Income |
|
|
|
(In thousands)
|
|
|
Search & Applications |
|
$ |
103,856 |
|
$ |
(663 |
) |
$ |
(147,488 |
) |
$ |
(6,494 |
) |
$ |
(916,868 |
) |
$ |
(967,657 |
) |
|
Match |
|
|
94,124 |
|
|
(154 |
) |
|
(4,940 |
) |
|
(4,375 |
) |
|
— |
|
|
84,655 |
|
|
Local |
|
|
12,357 |
|
|
(150 |
) |
|
(3,234 |
) |
|
(4,999 |
) |
|
— |
|
|
3,974 |
|
|
Media |
|
|
(15,518 |
) |
|
(226 |
) |
|
(317 |
) |
|
— |
|
|
— |
|
|
(16,061 |
) |
|
Other |
|
|
(7,493 |
) |
|
(620 |
) |
|
(1,052 |
) |
|
— |
|
|
— |
|
|
(9,165 |
) |
|
Corporate |
|
|
(65,465 |
) |
|
(68,268 |
) |
|
— |
|
|
— |
|
|
— |
|
|
(133,733 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
121,861 |
|
$ |
(70,081 |
) |
$ |
(157,031 |
) |
$ |
(15,868 |
) |
$ |
(916,868 |
) |
$ |
(1,037,987 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
The following tables reconcile segment assets to total assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2011 |
|
|
|
Segment Assets |
|
Goodwill |
|
Indefinite-Lived
Intangible Assets |
|
Definite-Lived
Intangible Assets |
|
Total Assets |
|
|
|
(In thousands)
|
|
|
Search & Applications |
|
$ |
246,459 |
|
$ |
526,444 |
|
$ |
163,604 |
|
$ |
6 |
|
$ |
936,513 |
|
|
Match |
|
|
190,338 |
|
|
667,073 |
|
|
156,699 |
|
|
21,501 |
|
|
1,035,611 |
|
|
Local |
|
|
46,581 |
|
|
127,698 |
|
|
18,205 |
|
|
1,293 |
|
|
193,777 |
|
|
Media |
|
|
25,429 |
|
|
15,590 |
|
|
1,800 |
|
|
— |
|
|
42,819 |
|
|
Other |
|
|
15,910 |
|
|
21,719 |
|
|
11,180 |
|
|
3,819 |
|
|
52,628 |
|
|
Corporate(c) |
|
|
1,148,517 |
|
|
— |
|
|
— |
|
|
— |
|
|
1,148,517 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
1,673,234 |
|
$ |
1,358,524 |
|
$ |
351,488 |
|
$ |
26,619 |
|
$ |
3,409,865 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2010 |
|
|
|
Segment Assets |
|
Goodwill |
|
Indefinite-Lived
Intangible Assets |
|
Definite-Lived
Intangible Assets |
|
Total Assets |
|
|
|
(In thousands)
|
|
|
Search & Applications |
|
$ |
260,288 |
|
$ |
526,681 |
|
$ |
163,604 |
|
$ |
1,181 |
|
$ |
951,754 |
|
|
Match(d) |
|
|
196,177 |
|
|
297,974 |
|
|
42,118 |
|
|
979 |
|
|
537,248 |
|
|
Local |
|
|
42,473 |
|
|
127,367 |
|
|
17,719 |
|
|
4,005 |
|
|
191,564 |
|
|
Media |
|
|
23,252 |
|
|
15,759 |
|
|
2,400 |
|
|
20 |
|
|
41,431 |
|
|
Other |
|
|
13,191 |
|
|
21,712 |
|
|
11,180 |
|
|
1,838 |
|
|
47,921 |
|
|
Corporate(c) |
|
|
1,559,161 |
|
|
— |
|
|
— |
|
|
— |
|
|
1,559,161 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
2,094,542 |
|
$ |
989,493 |
|
$ |
237,021 |
|
$ |
8,023 |
|
$ |
3,329,079 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
- (c)
- Corporate assets consist primarily of cash and cash equivalents, marketable securities and IAC's headquarters building.
- (d)
- Included in the segment assets of Match at December 31, 2010 is its investment in Meetic, which was accounted for as an equity method investment. During the third quarter of 2011, Match obtained a controlling financial interest in Meetic. Accordingly, this purchase was accounted for under the acquisition method of accounting.
|