Comcast 2010 Annual Report Download - page 96

Table of Contents
Note 19: Financial Data by Business Segment
Our reportable segments consist of our Cable and Programming businesses. In evaluating the profitability of our segments, the
components of net income (loss) below operating income (loss) before depreciation and amortization are not separately evaluated
by our management. Assets are not allocated to segments for management reporting, although over 95% of our assets relate to the
Cable segment as of December 31, 2010. See Note 21 for information on changes to our reportable segments in 2011. Our
financial data by business segment is presented in the table below.
(in millions) Cable
Programming
Corporate and
Other
Eliminations
Total
2010
Revenue
$
35,762
$
1,674
$
883
$
(382
)
$
37,937
Operating income (loss) before depreciation and
amortization
14,561
469
(431
)
(3
)
14,596
Depreciation and amortization
6,253
236
126
1
6,616
Operating income (loss)
8,308
233
(557
)
(4
)
7,980
Capital expenditures
4,847
34
80
—
4,961
2009
Revenue
$
33,867
$
1,496
$
739
$
(346
)
$
35,756
Operating income (loss) before depreciation and
amortization
13,686
389
(359
)
(2
)
13,714
Depreciation and amortization
6,226
196
107
(29
)
6,500
Operating income (loss)
7,460
193
(466
)
27
7,214
Capital expenditures
5,037
34
46
—
5,117
2008
Revenue
$
32,622
$
1,426
$
632
$
(257
)
$
34,423
Operating income (loss) before depreciation and
amortization
13,163
362
(391
)
(2
)
13,132
Depreciation and amortization
6,137
199
96
(32
)
6,400
Operating income (loss)
7,026
163
(487
)
30
6,732
Capital expenditures
5,545
44
161
—
5,750
(a)
For the years ended December 31, 2010, 2009 and 2008, Cable segment revenue was derived from the following sources:
2010
2009
2008
Video
54.6
%
57.2
%
58.8
%
High-speed Internet
24.0
%
22.9
%
22.2
%
Phone
10.3
%
9.6
%
8.1
%
Advertising
5.1
%
4.3
%
5.2
%
Franchise and other regulatory fees
2.8
%
2.8
%
2.8
%
Other
3.2
%
3.2
%
2.9
%
Total
100.0
%
100.0
%
100.0
%
Subscription revenue received from customers who purchase bundled services at a discounted rate is allocated proportionally to each service based on the individual
service’s price on a stand-alone basis.
(b)
Our Cable segment includes our regional sports and news networks.
(c)
Our Programming segment consists primarily of our consolidated national cable programming networks, E!, Golf Channel, VERSUS, G4 and Style.
(d)
Corporate and Other activities include Comcast Interactive Media, Comcast Spectacor, a portion of operating results of our less than wholly owned technology
development ventures (see “(e)” below), corporate activities and all other businesses not presented in our Cable or Programming segments.
(e)
We consolidate our less than wholly owned technology development ventures that we control or of which we are considered the primary beneficiary. These ventures are
with Motorola. The ventures have been created to share the costs of development of new technologies for set
-
top boxes and other devices. The results of these entities
are included within Corporate and Other except for cost allocations, which are made to the Cable segment based on our percentage ownership in each entity.
(f)
Included in the Eliminations column are transactions that our segments enter into with one another. The most common types of transactions are the following:
4
our Programming segment generates revenue by selling cable network programming to our Cable segment, which represents a substantial majority of the revenue
elimination amount
4
our Cable segment receives incentives offered by our Programming segment when negotiating programming contracts that are recorded as a reduction to programming
expenses
4
our Cable segment generates revenue by selling advertising and by selling the use of satellite feeds to our Programming segment
4
our Cable segment generates revenue by providing network services to Comcast Interactive Media
(g)
Non-U.S. revenue was not significant in any period. No single customer accounted for a significant amount of our revenue in any period.
Comcast 2010 Annual Report on Form 10-K
84
(a)(b) (c) (d)(e) (f)
(g)
(h)
(g)(i)
(h)(i)
(i)
(i)
(g)(i)
(h)(i)
(i)
(i)