America Online 2009 Annual Report Download - page 105

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Table of Contents
NOTE 14—SEGMENT INFORMATION
An operating segment is defined as a component of an enterprise that engages in business activities from which it may earn revenues and incur
expenses, and that has discrete financial information that is regularly reviewed by the chief operating decision-maker in deciding how to allocate resources
and in assessing performance.
The Company's chief operating decision-maker, its chief executive officer, evaluates performance and makes operating decisions about allocating
resources based on financial data presented on a consolidated basis. There are no managers who are held accountable by AOL's chief operating decision-
maker, or anyone else, for an operating measure of profit and loss for any operating unit below the consolidated unit level. Accordingly, management has
determined that the Company has one segment.
NOTE 15—SELECTED QUARTERLY FINANCIAL DATA (Unaudited)
Quarter Ended
March 31, June 30, September 30, December 31,
(in millions, except per share amounts)
2009
Revenues
Advertising $ 443.0 $ 419.2 $ 414.5 $ 471.6
Subscription 393.5 355.7 332.2 307.4
Other 30.7 28.9 30.0 30.7
Total revenues 867.2 803.8 776.7 809.7
Costs of revenues 485.1 464.3 453.2 495.9
Operating income (loss) (a) 141.6 158.7 127.4 30.3
Net income (loss) 82.5 90.7 73.9 1.4
Less: Net loss attributable to noncontrolling interests 0.2 — 0.1 —
Net income (loss) attributable to AOL Inc. $ 82.7 $ 90.7 $ 74.0 $ 1.4
Basic net income (loss) per common share $ 0.78 $ 0.86 $ 0.70 $ 0.01
Diluted net income (loss) per common share $ 0.78 $ 0.86 $ 0.70 $ 0.01
2008
Revenues
Advertising $ 551.9 $ 530.3 $ 501.7 $ 512.5
Subscription 538.8 491.0 470.1 429.4
Other 37.6 35.4 34.8 32.3
Total revenues 1,128.3 1,056.7 1,006.6 974.2
Costs of revenues 623.5 601.6 546.5 506.8
Operating income (loss)(b) 280.1 225.0 258.9 (1,931.7)
Net income (loss) 159.6 126.6 147.4 (1,960.2)
Less: Net loss attributable to noncontrolling interests 0.1 0.3 0.1 0.3
Net income (loss) attributable to AOL Inc. $ 159.7 $ 126.9 $ 147.5 $ (1,959.9)
Basic net income (loss) per common share $ 1.51 $ 1.20 $ 1.39 $ (18.52)
Diluted net income (loss) per common share $ 1.51 $ 1.20 $ 1.39 $ (18.52)
(a) Operating income (loss) includes impacts for restructuring charges related primarily to voluntary and involuntary employee terminations and facility
closures of $58.3 million, $14.4 million, $10.2 million and $107.4 million for the quarters ended March 31, 2009, June 30, 2009, September 30, 2009
and December 31, 2009, respectively.
(b) The quarter ended December 31, 2008 includes a $2,207.0 million non-cash impairment charge to reduce the carrying value of goodwill and a $13.2
million non-cash impairment charge associated with certain real estate in Columbus, Ohio.
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