Redbox 2011 Annual Report Download - page 43

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Operating loss increased $8.7 million, or 257.9%, primarily due to the following:
$4.6 million increase in general and administrative expenses primarily as a result of a $2.1 million
increase in spending related to new self-service concepts and the additional allocated expenses from
our shared service functions to support overall business growth;
$2.5 million increase in depreciation and amortization expenses due to a $3.2 million charge during the
first quarter of 2010 related to the disposal of our first generation coffee kiosk, offset by fewer
capitalized kiosks in 2010; and a
$1.0 million increase in research and development expenses associated with the design of new
self-service concepts.
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