Amtrak 2014 Annual Report Download - page 27

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National Railroad Passenger Corporation and Subsidiaries (Amtrak)
Notes to Consolidated Financial Statements (continued)
1509-1694994 19
3. Basis of Presentation and Summary of Significant Accounting Policies (continued)
“Commuter” revenue includes the revenues earned under contractual arrangements to operate
various commuter rail services for a cost-based fee. These revenues are recognized when the
related services are provided.
“Other” revenue, for FY2014 and FY2013, includes (i) revenue from reimbursable engineering
and capital improvement activities (these revenues are generally recognized when the associated
costs are incurred); (ii) other transportation revenue from use of Amtrak-owned tracks and other
services (these revenues are generally recognized when the related services are provided);
(iii) commercial development revenue from retail, parking, advertising, real property
leases/easements/sales, and right-of-way fees (these revenues are generally recognized as the
services are provided); (iv) amortization of state funds used to acquire depreciable assets (such
payments are deferred when received and amortized over the estimated composite life of the
related assets purchased with the funds, and the unamortized amounts are included in “Deferred
state capital payments” in the Consolidated Balance Sheets); and (v) freight access fee revenue
from the use of Amtrak-owned tracks by freight railroad companies and other gains.
The components of other revenue are as follows (in millions):
Year Ended September 30,
2014 2013
Reimbursable $ 277.9
$ 188.2
Other transportation 145.0 141.6
Commercial development 77.9 84.3
Amortization of state capital payments 47.5 37.5
Freight access fees and other 60.1 60.3
Total other revenue $ 608.4
$ 511.9
Advertising Expenses
The Company records advertising expenses as incurred and reports these amounts in
“Advertising and sales” in the Consolidated Statements of Operations. Advertising expenses
were $36.8 million and $35.5 million for FY2014 and FY2013, respectively.