Segment Reporting

6 Months Ended

Jun. 30, 2019

The Company considers its restaurant concepts and international markets as operating segments, which reflects how the Company manages its business, reviews operating performance and allocates resources. Resources are allocated and performance is assessed by the Company’s Chief Executive Officer (“CEO”), whom the Company has determined to be its Chief Operating Decision Maker (“CODM”). The Company aggregates its operating segments into two reportable segments, U.S. and International. The U.S. segment includes all restaurants operating in the U.S. while restaurants operating outside the U.S. are included in the International segment. The following is a summary of reporting segments:



REPORTABLE SEGMENT (1)	CONCEPT	GEOGRAPHIC LOCATION
U.S.	Outback Steakhouse	United States of America
	Carrabba’s Italian Grill
	Bonefish Grill
	Fleming’s Prime Steakhouse & Wine Bar
International	Outback Steakhouse	Brazil, Hong Kong/China
International	Carrabba’s Italian Grill (Abbraccio)	Brazil

_________________


(1)	Includes franchise locations.

Segment accounting policies are the same as those described in Note 2 - Summary of Significant Accounting Policies in the Company’s Annual Report on Form 10-K for the year ended December 30, 2018. Revenues for all segments include only transactions with customers and exclude intersegment revenues. Excluded from Income from operations for U.S. and International are certain legal and corporate costs not directly related to the performance of the segments, most stock-based compensation expenses and certain bonus expenses.

The following table is a summary of Total revenue by segment, for the periods indicated:



	THIRTEEN WEEKS ENDED				TWENTY-SIX WEEKS ENDED
(dollars in thousands)	JUNE 30, 2019		JULY 1, 2018		JUNE 30, 2019		JULY 1, 2018
Total revenues
U.S.	$	914,219	$	922,355	$	1,928,726	$	1,921,062
International	107,711		109,459		221,335		227,217
Total revenues	$	1,021,930	$	1,031,814	$	2,150,061	$	2,148,279

The following table is a reconciliation of Segment income (loss) from operations to Income before provision (benefit) for income taxes, for the periods indicated:



	THIRTEEN WEEKS ENDED						TWENTY-SIX WEEKS ENDED
(dollars in thousands)	JUNE 30, 2019			JULY 1, 2018			JUNE 30, 2019			JULY 1, 2018
Segment income (loss) from operations
U.S.	$	78,814		$	76,913		$	191,849		$	186,047
International	6,909			(2,049		)	20,629			6,276
Total segment income from operations	85,723			74,864			212,478			192,323
Unallocated corporate operating expense	(42,263		)	(41,940		)	(86,524		)	(81,028		)
Total income from operations	43,460			32,924			125,954			111,295
Other income (expense), net	12			(6		)	(156		)	(5		)
Interest expense, net	(12,448		)	(11,319		)	(23,629		)	(21,629		)
Income before provision (benefit) for income taxes	$	31,024		$	21,599		$	102,169		$	89,661

The following table is a summary of Depreciation and amortization expense by segment for the periods indicated:



	THIRTEEN WEEKS ENDED				TWENTY-SIX WEEKS ENDED
(dollars in thousands)	JUNE 30, 2019		JULY 1, 2018		JUNE 30, 2019		JULY 1, 2018
Depreciation and amortization
U.S.	$	38,916	$	39,993	$	77,702	$	79,267
International	6,749		6,714		13,205		13,446
Corporate	4,123		4,075		8,363		8,189
Total depreciation and amortization	$	49,788	$	50,782	$	99,270	$	100,902

Geographic Areas — International assets are defined as assets residing in a country other than the U.S. The following table details long-lived assets, excluding operating lease right-of-use assets, goodwill, intangible assets and deferred tax assets, by major geographic area as of the periods indicated:



(dollars in thousands)	JUNE 30, 2019		DECEMBER 30, 2018
U.S.	$	1,035,172	$	1,107,679
International
Brazil	124,811		115,560
Other	15,280		13,663
Total assets	$	1,175,263	$	1,236,902