v2.3.0.11
Segment Reporting
 6 Months Ended
Jun. 30, 2011
Segment Reporting [Abstract]  
Segment Reporting
Segment Reporting


The Company’s reporting segments are based on the Company’s method of internal reporting which classifies its operations into two reporting segments: (i) office properties, and (ii) media and entertainment Properties. The Company evaluates performance based upon property net operating income from continuing operations (“NOI”) of the combined properties in each segment. NOI is not a measure of operating results or cash flows from operating activities as measured by GAAP, is not indicative of cash available to fund cash needs and should not be considered an alternative to cash flows as a measure of liquidity. All companies may not calculate NOI in the same manner. The Company considers NOI to be an appropriate supplemental financial measure to net income because it helps both investors and management to understand the core operations of the Company’s properties. The Company defines NOI as operating revenues (including rental revenues, other property-related revenue, tenant recoveries and other operating revenues), less property-level operating expenses (which includes external management fees and property-level general and administrative expenses). NOI excludes corporate general and administrative expenses, depreciation and amortization, impairments, gain/loss on sale of real estate, interest expense, acquisition-related expenses and other non-operating items.
Summary information for the reportable segments for the six months ended June 30, 2011 is as follows:
 
 
Office Properties
 
Media and  Entertainment
Properties
 
Total
Revenue
$
49,668


 
$
18,543


18,543


$
68,211


Operating expenses
19,807


 
10,950


 
30,757


Net operating income
$
29,861


 
$
7,593


 
$
37,454


Summary information for the reportable segments for the six months ended June 30, 2010 is as follows:
 
 
Office Properties
 
Media and  Entertainment
Properties
 
Total
Revenue
$
7,210


 
$
14,858


 
$
22,068


Operating expenses
2,837


 
9,249


 
12,086


Net operating income
$
4,373


 
$
5,609


 
$
9,982


The following is reconciliation from NOI to reported net income, the most direct comparable financial measure calculated and presented in accordance with GAAP:
 
 
June 30, 2011
 
June 30, 2010
Net operating income
$
37,454


 
$
9,982


General and administrative
(6,208
)
 
—


Depreciation and amortization
(21,987
)
 
(5,668
)
Interest income
31


 
6


Unrealized gain on interest rate contract
—


 
347


Interest expense
(9,172
)
 
(4,413
)
Acquisition-related expenses
—


 
(2,433
)
Other expense
(235
)
 
—


Net loss
$
(117
)
 
$
(2,179
)
There were no intersegment sales or transfers during either of the six-month periods ended June 30, 2011 and 2010.