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Segment Information
 9 Months Ended
Sep. 30, 2016
Segment Information [Abstract]  
Segment Information
14.  Segment Information

As of September 30, 2016, the Company has five reportable segments: Retirement Centers; Assisted Living; CCRCs – Rental; Brookdale Ancillary Services; and Management Services. Operating segments are defined as components of an enterprise that engage in business activities from which it may earn revenues and incur expenses; for which separate financial information is available; and whose operating results are regularly reviewed by the chief operating decision maker to assess the performance of the individual segment and make decisions about resources to be allocated to the segment.

Retirement Centers.  The Company's Retirement Centers segment includes owned or leased communities that are primarily designed for middle to upper income seniors generally age 75 and older who desire an upscale residential environment providing the highest quality of service. The majority of the Company's retirement center communities consist of both independent living and assisted living units in a single community, which allows residents to "age-in-place" by providing them with a continuum of senior independent and assisted living services.

Assisted Living.  The Company's Assisted Living segment includes owned or leased communities that offer housing and 24-hour assistance with activities of daily life to mid-acuity frail and elderly residents. Assisted living communities include both freestanding, multi-story communities and freestanding single story communities. The Company also operates memory care communities, which are freestanding assisted living communities specially designed for residents with Alzheimer's disease and other dementias.

CCRCs - Rental.  The Company's CCRCs - Rental segment includes large owned or leased communities that offer a variety of living arrangements and services to accommodate all levels of physical ability and health. Most of the Company's CCRCs have independent living, assisted living and skilled nursing available on one campus or within the immediate market, and some also include memory care/Alzheimer's units.

Brookdale Ancillary Services. The Company's Brookdale Ancillary Services segment includes the outpatient therapy, home health and hospice services provided to residents of many of the Company's communities, to other senior living communities that the Company does not own or operate and to seniors living outside of the Company's communities. The Brookdale Ancillary Services segment does not include the therapy services provided in the Company's consolidated skilled nursing units, which are included in the Company's CCRCs - Rental segment.

Management Services.  The Company's Management Services segment includes communities operated by the Company pursuant to management agreements. In some of the cases, the controlling financial interest in the community is held by third parties and, in other cases, the community is owned in a venture structure in which the Company has an ownership interest. Under the management agreements for these communities, the Company receives management fees as well as reimbursed expenses, which represent the reimbursement of expenses it incurs on behalf of the owners.

The accounting policies of the Company's reportable segments are the same as those described in the summary of significant accounting policies in Note 2.

The following table sets forth certain segment financial and operating data (dollars in thousands):

 
 
Three Months Ended September 30,
  
Nine Months Ended September 30,
 
 
 
2016
  
2015
  
2016
  
2015
 
Revenue
            
Retirement Centers(1)
 
$
170,706
  
$
164,415
  
$
510,122
  
$
492,310
 
Assisted Living(1)
  
607,345
   
608,393
   
1,837,632
   
1,837,575
 
CCRCs - Rental(1)
  
147,517
   
149,572
   
448,002
   
457,124
 
Brookdale Ancillary Services(1)
  
117,263
   
117,702
   
362,791
   
349,283
 
Management Services(2)
  
203,295
   
198,759
   
609,565
   
588,614
 
 
 
$
1,246,126
  
$
1,238,841
  
$
3,768,112
  
$
3,724,906
 
Segment Operating Income(3)
                
Retirement Centers
 
$
73,112
  
$
70,334
  
$
222,315
  
$
212,902
 
Assisted Living
  
217,878
   
211,213
   
672,773
   
658,078
 
CCRCs - Rental
  
32,996
   
41,395
   
102,059
   
115,826
 
Brookdale Ancillary Services
  
14,624
   
17,420
   
48,174
   
57,886
 
Management Services
  
15,532
   
14,694
   
50,498
   
44,630
 
 
  
354,142
   
355,056
   
1,095,819
   
1,089,322
 
General and administrative (including non-cash stock-based compensation expense)
  
63,425
   
99,534
   
246,741
   
278,609
 
Transaction costs
  
659
   
—
   
1,950
   
7,163
 
Facility lease expense
  
92,519
   
91,144
   
281,890
   
276,953
 
Depreciation and amortization
  
130,783
   
160,715
   
391,314
   
606,787
 
Asset impairment
  
19,111
   
—
   
26,638
   
—
 
Loss on facility lease termination
  
—
   
—
   
—
   
76,143
 
Income (loss) from operations
 
$
47,645
  
$
3,663
  
$
147,286
  
$
(156,333
)

 
 
As of
 
 
 
September 30,
2016
  
December 31,
2015
 
Total assets
      
Retirement Centers
 
$
1,527,373
  
$
1,556,169
 
Assisted Living
  
6,032,315
   
6,354,415
 
CCRCs - Rental
  
1,001,930
   
1,037,384
 
Brookdale Ancillary Services
  
279,003
   
292,540
 
Corporate and Management Services
  
791,662
   
808,056
 
Total assets
 
$
9,632,283
  
$
10,048,564
 

(1)
All revenue is earned from external third parties in the United States.
(2)
Management services segment revenue includes reimbursements for which the Company is the primary obligor of costs incurred on behalf of managed communities.
(3)
Segment operating income is defined as segment revenues less segment facility operating expenses (excluding depreciation and amortization).