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Segment Reporting
 12 Months Ended
Dec. 31, 2011
Segment Reporting  
Segment Reporting

Note 10. Segment Reporting

We have three operating segments, of which two are reportable operating segments. The two reportable operating segments are: (i) short term and long term residential care communities that offer dining for residents and (ii) properties where medical related activities occur but where residential overnight stays or dining services are not provided, or MOBs. Properties in the short term and long term residential care communities segment include leased and managed independent living communities, assisted living communities, skilled nursing facilities and rehabilitation hospitals. We earn rental income revenues from the tenants of our leased communities and we earn fees and services revenues from the residents of our Managed Communities. Our Managed Communities commenced operations in June 2011. Properties in the MOB segment include those leased to medical providers or medical related businesses, clinics and biotech laboratory tenants. The "All Other Operations" category in the following table includes amounts related to corporate business activities and the operating results of certain properties that offer fitness, wellness and spa services to members.

 
   For the Year Ended December 31, 2011  
 
   Short and
Long Term
Residential
Care Communities 		  MOBs   All Other
Operations 		  Consolidated  

Revenues:

                          

Rental income

   $ 242,652   $ 161,809   $ 17,705   $ 422,166  

Residents fees and services

     27,851     —     —     27,851  
                   

Total revenues

     270,503     161,809     17,705     450,017  

Expenses:

                          

Depreciation expense

     71,020     38,453     3,792     113,265  

Property operating expenses

     21,639     47,328     —     68,967  

General and administrative

     —     —     26,041     26,041  

Acquisition related costs

     —     —     12,239     12,239  

Impairment of assets

     1,028     962     —     1,990  
                   

Total expenses

     93,687     86,743     42,072     222,502  
                   

Operating income (loss)

    
176,816		    
75,066		    
(24,367
)		  
227,515		  

Interest and other income

     —     —     1,451     1,451  

Interest expense

     (43,862 )   (996 )   (53,404 )   (98,262 )

Loss on early extinguishment of debt

     —     —     (427 )   (427 )

Gain on sale of properties

     21,236     79     —     21,315  

Equity in earnings of an investee

     —     —     139     139  
                   

Income (loss) before income tax expense

    
154,190		    
74,149		    
(76,608
)		  
151,731		  

Income tax expense

     —     —     (312 )   (312 )
                   

Net income (loss)

  
$
154,190		  
$
74,149		  
$
(76,920
)
$
151,419		  
                   

Total assets

  
$
2,461,532		  
$
1,487,364		  
$
434,152		  
$
4,383,048		  
                   


 

 
   For the Year Ended December 31, 2010  
 
   Short and
Long Term
Residential
Care Facilities 		  MOBs   All Other   Consolidated  

Rental income

   $ 237,578   $ 85,152   $ 17,383   $ 340,113  

Expenses:

                          

Depreciation expense

     66,172     20,445     3,792     90,409  

Property operating expenses

     —     20,169     —     20,169  

General and administrative

     —     —     21,677     21,677  

Acquisition related costs

     —     —     3,610     3,610  

Impairment of assets

     1,095     4,870     —     5,965  
                   

Total expenses

     67,267     45,484     29,079     141,830  
                   

Operating income (loss)

    
170,311		    
39,668		    
(11,696
)		  
198,283		  

Interest and other income

     —     —     844     844  

Interest expense

     (41,076 )   (862 )   (38,079 )   (80,017 )

Loss on early extinguishment of debt

     —     —     (2,433 )   (2,433 )

Gain on sale of properties

     109     —     —     109  

Equity in losses of an investee

     —     —     (1 )   (1 )
                   

Income (loss) before income tax expense

    
129,344		    
38,806		    
(51,365
)		  
116,785		  

Income tax expense

     —     —     (300 )   (300 )
                   

Net income (loss)

  
$
129,344		  
$
38,806		  
$
(51,665
)
$
116,485		  
                   

Total assets

  
$
1,905,938		  
$
1,167,994		  
$
318,724		  
$
3,392,656		  
                   


 

 
   For the Year Ended December 31, 2009  
 
   Short and
Long Term
Residential
Care Facilities 		  MOBs   All Other   Consolidated  

Rental income

   $ 226,247   $ 53,862   $ 17,290   $ 297,399  

Expenses:

                          

Depreciation expense

     61,122     13,669     3,792     78,583  

Property operating expenses

     —     14,901     —     14,901  

General and administrative

     —     —     19,825     19,825  

Acquisition related costs

     —     —     3,327     3,327  

Impairment of assets

     3,784     11,746     —     15,530  
                   

Total expenses

     64,906     40,316     26,944     132,166  
                   

Operating income (loss)

    
161,341		    
13,546		    
(9,654
)		  
165,233		  

Interest and other income

     —     —     935     935  

Interest expense

     (21,297 )   (743 )   (34,364 )   (56,404 )

Gain on sale of properties

     397     —     —     397  

Equity in losses of an investee

     —     —     (134 )   (134 )
                   

Income (loss) before income tax expense

    
140,441		    
12,803		    
(43,217
)		  
110,027		  

Income tax expense

     —     —     (312 )   (312 )
                   

Net income (loss)

  
$
140,441		  
$
12,803		  
$
(43,529
)
$
109,715		  
                   

Total assets

   $ 1,972,435   $ 738,093   $ 277,398   $ 2,987,926