0001335258--12-312021Q2FALSE00013352582021-01-012021-06-30xbrli:shares00013352582021-07-27iso4217:USD00013352582021-06-3000013352582020-12-3100013352582021-04-012021-06-3000013352582020-04-012020-06-3000013352582020-01-012020-06-30iso4217:USDxbrli:shares0001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-04-012020-06-300001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-01-012020-06-300001335258us-gaap:CommonStockMember2021-03-310001335258us-gaap:AdditionalPaidInCapitalMember2021-03-310001335258us-gaap:RetainedEarningsMember2021-03-310001335258us-gaap:TreasuryStockMember2021-03-310001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-03-310001335258us-gaap:NoncontrollingInterestMember2021-03-3100013352582021-03-310001335258lyv:RedeemableNoncontrollingInterestsMember2021-03-310001335258us-gaap:AdditionalPaidInCapitalMember2021-04-012021-06-300001335258us-gaap:CommonStockMember2021-04-012021-06-300001335258us-gaap:NoncontrollingInterestMember2021-04-012021-06-300001335258lyv:RedeemableNoncontrollingInterestsMember2021-04-012021-06-300001335258us-gaap:RetainedEarningsMember2021-04-012021-06-300001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-04-012021-06-300001335258us-gaap:CommonStockMember2021-06-300001335258us-gaap:AdditionalPaidInCapitalMember2021-06-300001335258us-gaap:RetainedEarningsMember2021-06-300001335258us-gaap:TreasuryStockMember2021-06-300001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-06-300001335258us-gaap:NoncontrollingInterestMember2021-06-300001335258lyv:RedeemableNoncontrollingInterestsMember2021-06-300001335258us-gaap:CommonStockMember2020-12-310001335258us-gaap:AdditionalPaidInCapitalMember2020-12-310001335258us-gaap:RetainedEarningsMember2020-12-310001335258us-gaap:TreasuryStockMember2020-12-310001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-12-310001335258us-gaap:NoncontrollingInterestMember2020-12-310001335258lyv:RedeemableNoncontrollingInterestsMember2020-12-310001335258us-gaap:AdditionalPaidInCapitalMember2021-01-012021-06-300001335258us-gaap:CommonStockMember2021-01-012021-06-300001335258us-gaap:NoncontrollingInterestMember2021-01-012021-06-300001335258lyv:RedeemableNoncontrollingInterestsMember2021-01-012021-06-300001335258us-gaap:RetainedEarningsMember2021-01-012021-06-300001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-01-012021-06-300001335258us-gaap:CommonStockMember2020-03-310001335258us-gaap:AdditionalPaidInCapitalMember2020-03-310001335258us-gaap:RetainedEarningsMember2020-03-310001335258us-gaap:TreasuryStockMember2020-03-310001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-03-310001335258us-gaap:NoncontrollingInterestMember2020-03-3100013352582020-03-310001335258lyv:RedeemableNoncontrollingInterestsMember2020-03-310001335258us-gaap:AdditionalPaidInCapitalMember2020-04-012020-06-300001335258us-gaap:CommonStockMember2020-04-012020-06-300001335258us-gaap:NoncontrollingInterestMember2020-04-012020-06-300001335258lyv:RedeemableNoncontrollingInterestsMember2020-04-012020-06-300001335258us-gaap:RetainedEarningsMember2020-04-012020-06-300001335258us-gaap:CommonStockMember2020-06-300001335258us-gaap:AdditionalPaidInCapitalMember2020-06-300001335258us-gaap:RetainedEarningsMember2020-06-300001335258us-gaap:TreasuryStockMember2020-06-300001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-300001335258us-gaap:NoncontrollingInterestMember2020-06-3000013352582020-06-300001335258lyv:RedeemableNoncontrollingInterestsMember2020-06-300001335258us-gaap:CommonStockMember2019-12-310001335258us-gaap:AdditionalPaidInCapitalMember2019-12-310001335258us-gaap:RetainedEarningsMember2019-12-310001335258us-gaap:TreasuryStockMember2019-12-310001335258us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-310001335258us-gaap:NoncontrollingInterestMember2019-12-3100013352582019-12-310001335258lyv:RedeemableNoncontrollingInterestsMember2019-12-310001335258us-gaap:RetainedEarningsMembersrt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2019-12-310001335258srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2019-12-310001335258us-gaap:AdditionalPaidInCapitalMember2020-01-012020-06-300001335258us-gaap:CommonStockMember2020-01-012020-06-300001335258us-gaap:NoncontrollingInterestMember2020-01-012020-06-300001335258lyv:RedeemableNoncontrollingInterestsMember2020-01-012020-06-300001335258us-gaap:RetainedEarningsMember2020-01-012020-06-300001335258srt:MinimumMemberlyv:VenuesMember2021-01-012021-06-300001335258srt:MaximumMemberlyv:VenuesMember2021-01-012021-06-300001335258srt:MinimumMember2021-01-012021-06-300001335258srt:MaximumMember2021-01-012021-06-300001335258lyv:ClientVendorRelationshipsMember2020-12-310001335258us-gaap:ContractualRightsMember2020-12-310001335258lyv:VenueManagementAndLeaseholdsMember2020-12-310001335258us-gaap:TrademarksAndTradeNamesMember2020-12-310001335258us-gaap:DevelopedTechnologyRightsMember2020-12-310001335258us-gaap:OtherIntangibleAssetsMember2020-12-310001335258lyv:ClientVendorRelationshipsMember2021-01-012021-06-300001335258us-gaap:ContractualRightsMember2021-01-012021-06-300001335258lyv:VenueManagementAndLeaseholdsMember2021-01-012021-06-300001335258us-gaap:TrademarksAndTradeNamesMember2021-01-012021-06-300001335258us-gaap:DevelopedTechnologyRightsMember2021-01-012021-06-300001335258us-gaap:OtherIntangibleAssetsMember2021-01-012021-06-300001335258lyv:ClientVendorRelationshipsMember2021-06-300001335258us-gaap:ContractualRightsMember2021-06-300001335258lyv:VenueManagementAndLeaseholdsMember2021-06-300001335258us-gaap:TrademarksAndTradeNamesMember2021-06-300001335258us-gaap:DevelopedTechnologyRightsMember2021-06-300001335258us-gaap:OtherIntangibleAssetsMember2021-06-300001335258us-gaap:NoncompeteAgreementsMember2021-01-012021-06-300001335258lyv:ConcertsMemberus-gaap:ContractualRightsMember2020-01-012020-06-3000013352582021-01-012021-03-310001335258lyv:ConcertsMember2020-12-310001335258lyv:TicketingMember2020-12-310001335258lyv:SponsorshipAndAdvertisingMember2020-12-310001335258lyv:ConcertsMember2021-01-012021-06-300001335258lyv:TicketingMember2021-01-012021-06-300001335258lyv:SponsorshipAndAdvertisingMember2021-01-012021-06-300001335258lyv:ConcertsMember2021-06-300001335258lyv:TicketingMember2021-06-300001335258lyv:SponsorshipAndAdvertisingMember2021-06-30xbrli:pure0001335258srt:MinimumMember2021-06-300001335258srt:MaximumMember2021-06-300001335258lyv:A375SeniorSecuredNotesDue2028Member2021-06-300001335258lyv:A375SeniorSecuredNotesDue2028Member2021-01-012021-06-300001335258lyv:SeniorSecuredCreditFacilityTermloanBMember2021-04-012021-06-300001335258lyv:SeniorSecuredCreditFacilityTermloanBMember2021-06-300001335258lyv:SeniorSecuredCreditFacilityTermloanBMember2020-12-310001335258lyv:A65SeniorSecuredNotesDue2027Member2021-06-300001335258lyv:A65SeniorSecuredNotesDue2027Member2020-12-310001335258lyv:A375SeniorSecuredNotesDue2028Member2020-12-310001335258lyv:A475SeniorNotesDue2027Member2021-06-300001335258lyv:A475SeniorNotesDue2027Member2020-12-310001335258lyv:A4.875SeniorNotesDue2024Member2021-06-300001335258lyv:A4.875SeniorNotesDue2024Member2020-12-310001335258lyv:A5.625SeniorNotesDue2026Member2021-06-300001335258lyv:A5.625SeniorNotesDue2026Member2020-12-310001335258lyv:A25ConvertibleSeniorNotesDue2023Member2021-06-300001335258lyv:A25ConvertibleSeniorNotesDue2023Member2020-12-310001335258lyv:A20ConvertibleSeniorNotesDue2025Member2021-06-300001335258lyv:A20ConvertibleSeniorNotesDue2025Member2020-12-310001335258lyv:OtherLongTermDebtMember2021-06-300001335258lyv:OtherLongTermDebtMember2020-12-310001335258lyv:A375SeniorSecuredNotesDue2028Memberus-gaap:DebtInstrumentRedemptionPeriodOneMember2021-01-012021-06-300001335258lyv:A375SeniorSecuredNotesDue2028Memberlyv:DebtInstrumentRedemptionEquityOfferingMember2021-01-012021-06-300001335258lyv:A375SeniorSecuredNotesDue2028Memberlyv:DebtInstrumentRedemptionDefinedChangesofControlMember2021-01-012021-06-300001335258us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2021-06-300001335258us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2020-12-310001335258lyv:A65SeniorSecuredNotesDue2027Memberus-gaap:FairValueInputsLevel2Member2021-06-300001335258lyv:A65SeniorSecuredNotesDue2027Memberus-gaap:FairValueInputsLevel2Member2020-12-310001335258lyv:A375SeniorSecuredNotesDue2028Memberus-gaap:FairValueInputsLevel2Member2021-06-300001335258lyv:A375SeniorSecuredNotesDue2028Memberus-gaap:FairValueInputsLevel2Member2020-12-310001335258lyv:A475SeniorNotesDue2027Memberus-gaap:FairValueInputsLevel2Member2021-06-300001335258lyv:A475SeniorNotesDue2027Memberus-gaap:FairValueInputsLevel2Member2020-12-310001335258lyv:A4.875SeniorNotesDue2024Memberus-gaap:FairValueInputsLevel2Member2021-06-300001335258lyv:A4.875SeniorNotesDue2024Memberus-gaap:FairValueInputsLevel2Member2020-12-310001335258us-gaap:FairValueInputsLevel2Memberlyv:A5.625SeniorNotesDue2026Member2021-06-300001335258us-gaap:FairValueInputsLevel2Memberlyv:A5.625SeniorNotesDue2026Member2020-12-310001335258us-gaap:FairValueInputsLevel2Memberlyv:A25ConvertibleSeniorNotesDue2023Member2021-06-300001335258us-gaap:FairValueInputsLevel2Memberlyv:A25ConvertibleSeniorNotesDue2023Member2020-12-310001335258lyv:A20ConvertibleSeniorNotesDue2025Memberus-gaap:FairValueInputsLevel2Member2021-06-300001335258lyv:A20ConvertibleSeniorNotesDue2025Memberus-gaap:FairValueInputsLevel2Member2020-12-310001335258us-gaap:FairValueMeasurementsNonrecurringMember2020-06-300001335258us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-06-300001335258us-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:FairValueInputsLevel2Member2020-06-300001335258us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-06-300001335258us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-12-310001335258us-gaap:AccumulatedTranslationAdjustmentMember2020-12-310001335258us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2021-01-012021-06-300001335258us-gaap:AccumulatedTranslationAdjustmentMember2021-01-012021-06-300001335258us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2021-06-300001335258us-gaap:AccumulatedTranslationAdjustmentMember2021-06-300001335258us-gaap:EmployeeStockOptionMember2021-04-012021-06-300001335258us-gaap:EmployeeStockOptionMember2020-04-012020-06-300001335258us-gaap:EmployeeStockOptionMember2021-01-012021-06-300001335258us-gaap:EmployeeStockOptionMember2020-01-012020-06-300001335258us-gaap:RestrictedStockMember2021-04-012021-06-300001335258us-gaap:RestrictedStockMember2020-04-012020-06-300001335258us-gaap:RestrictedStockMember2021-01-012021-06-300001335258us-gaap:RestrictedStockMember2020-01-012020-06-300001335258us-gaap:ConvertibleDebtSecuritiesMember2021-04-012021-06-300001335258us-gaap:ConvertibleDebtSecuritiesMember2020-04-012020-06-300001335258us-gaap:ConvertibleDebtSecuritiesMember2021-01-012021-06-300001335258us-gaap:ConvertibleDebtSecuritiesMember2020-01-012020-06-300001335258lyv:ConcertsMemberus-gaap:OperatingSegmentsMember2021-04-012021-06-300001335258lyv:ConcertsMemberus-gaap:OperatingSegmentsMember2020-04-012020-06-300001335258lyv:ConcertsMemberus-gaap:OperatingSegmentsMember2021-01-012021-06-300001335258lyv:ConcertsMemberus-gaap:OperatingSegmentsMember2020-01-012020-06-300001335258lyv:TicketingMemberus-gaap:OperatingSegmentsMember2021-04-012021-06-300001335258lyv:TicketingMemberus-gaap:OperatingSegmentsMember2020-04-012020-06-300001335258lyv:TicketingMemberus-gaap:OperatingSegmentsMember2021-01-012021-06-300001335258lyv:TicketingMemberus-gaap:OperatingSegmentsMember2020-01-012020-06-300001335258lyv:TicketingMemberus-gaap:PrepaidExpensesAndOtherCurrentAssetsMember2021-06-300001335258lyv:TicketingMemberus-gaap:PrepaidExpensesAndOtherCurrentAssetsMember2020-06-300001335258lyv:TicketingMemberus-gaap:OtherNoncurrentAssetsMember2021-06-300001335258lyv:TicketingMemberus-gaap:OtherNoncurrentAssetsMember2020-06-300001335258lyv:TicketingMember2021-04-012021-06-300001335258lyv:TicketingMember2020-04-012020-06-300001335258lyv:TicketingMember2020-01-012020-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:OperatingSegmentsMember2021-04-012021-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:OperatingSegmentsMember2020-04-012020-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:OperatingSegmentsMember2021-01-012021-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:OperatingSegmentsMember2020-01-012020-06-300001335258lyv:ConcertsMember2021-04-012021-06-300001335258lyv:ConcertsMember2020-04-012020-06-300001335258lyv:ConcertsMember2020-01-012020-06-300001335258lyv:SponsorshipAndAdvertisingMember2021-04-012021-06-300001335258lyv:SponsorshipAndAdvertisingMember2020-04-012020-06-300001335258lyv:SponsorshipAndAdvertisingMember2020-01-012020-06-300001335258us-gaap:CorporateAndOtherMember2021-04-012021-06-300001335258us-gaap:CorporateAndOtherMember2020-04-012020-06-300001335258us-gaap:CorporateAndOtherMember2021-01-012021-06-300001335258us-gaap:CorporateAndOtherMember2020-01-012020-06-300001335258us-gaap:SellingGeneralAndAdministrativeExpensesMember2021-04-012021-06-300001335258us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-04-012020-06-300001335258us-gaap:SellingGeneralAndAdministrativeExpensesMember2021-01-012021-06-300001335258us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-01-012020-06-300001335258lyv:CorporateExpenseMember2021-04-012021-06-300001335258lyv:CorporateExpenseMember2020-04-012020-06-300001335258lyv:CorporateExpenseMember2021-01-012021-06-300001335258lyv:CorporateExpenseMember2020-01-012020-06-300001335258us-gaap:OperatingSegmentsMemberus-gaap:AllOtherSegmentsMember2021-04-012021-06-300001335258us-gaap:CorporateMemberus-gaap:OperatingSegmentsMember2021-04-012021-06-300001335258us-gaap:IntersegmentEliminationMember2021-04-012021-06-300001335258lyv:ConcertsMemberus-gaap:IntersegmentEliminationMember2021-04-012021-06-300001335258us-gaap:IntersegmentEliminationMemberlyv:TicketingMember2021-04-012021-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:IntersegmentEliminationMember2021-04-012021-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:AllOtherSegmentsMember2021-04-012021-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:CorporateMember2021-04-012021-06-300001335258us-gaap:OperatingSegmentsMemberus-gaap:AllOtherSegmentsMember2020-04-012020-06-300001335258us-gaap:CorporateMemberus-gaap:OperatingSegmentsMember2020-04-012020-06-300001335258us-gaap:IntersegmentEliminationMember2020-04-012020-06-300001335258lyv:ConcertsMemberus-gaap:IntersegmentEliminationMember2020-04-012020-06-300001335258us-gaap:IntersegmentEliminationMemberlyv:TicketingMember2020-04-012020-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:IntersegmentEliminationMember2020-04-012020-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:AllOtherSegmentsMember2020-04-012020-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:CorporateMember2020-04-012020-06-300001335258us-gaap:OperatingSegmentsMemberus-gaap:AllOtherSegmentsMember2021-01-012021-06-300001335258us-gaap:CorporateMemberus-gaap:OperatingSegmentsMember2021-01-012021-06-300001335258us-gaap:IntersegmentEliminationMember2021-01-012021-06-300001335258lyv:ConcertsMemberus-gaap:IntersegmentEliminationMember2021-01-012021-06-300001335258us-gaap:IntersegmentEliminationMemberlyv:TicketingMember2021-01-012021-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:IntersegmentEliminationMember2021-01-012021-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:AllOtherSegmentsMember2021-01-012021-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:CorporateMember2021-01-012021-06-300001335258us-gaap:OperatingSegmentsMemberus-gaap:AllOtherSegmentsMember2020-01-012020-06-300001335258us-gaap:CorporateMemberus-gaap:OperatingSegmentsMember2020-01-012020-06-300001335258us-gaap:IntersegmentEliminationMember2020-01-012020-06-300001335258lyv:ConcertsMemberus-gaap:IntersegmentEliminationMember2020-01-012020-06-300001335258us-gaap:IntersegmentEliminationMemberlyv:TicketingMember2020-01-012020-06-300001335258lyv:SponsorshipAndAdvertisingMemberus-gaap:IntersegmentEliminationMember2020-01-012020-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:AllOtherSegmentsMember2020-01-012020-06-300001335258us-gaap:IntersegmentEliminationMemberus-gaap:CorporateMember2020-01-012020-06-30

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________ 
Form 10-Q
____________________________________ 
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2021
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                  to                
Commission File Number 001-32601
____________________________________ 
LIVE NATION ENTERTAINMENT, INC.
(Exact name of registrant as specified in its charter)
____________________________________
Delaware   20-3247759
(State of Incorporation)   (I.R.S. Employer Identification No.)

9348 Civic Center Drive
Beverly Hills, CA 90210
(Address of principal executive offices, including zip code)
(310) 867-7000
(Registrant’s telephone number, including area code)
______________________________________________________________ 
Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading Symbol(s) Name of each exchange on which registered
Common stock, $.01 Par Value Per Share LYV New York Stock Exchange
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     x  Yes    ¨  No
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).     Yes  x    No  ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer x Accelerated Filer   ¨
Non-accelerated Filer ¨ Smaller Reporting Company  
Emerging Growth Company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).      Yes    x  No
On July 27, 2021, there were 218,990,083 outstanding shares of the registrant’s common stock, $0.01 par value per share, including 2,996,862 shares of unvested restricted and deferred stock awards and excluding 408,024 shares held in treasury.




LIVE NATION ENTERTAINMENT, INC.
INDEX TO FORM 10-Q
    Page
PART I—FINANCIAL INFORMATION
2
2
3
4
6
9
PART II—OTHER INFORMATION



GLOSSARY OF KEY TERMS
AOCI Accumulated other comprehensive income (loss)
AOI Adjusted operating income (loss)
FASB Financial Accounting Standards Board
GAAP United States Generally Accepted Accounting Principles
Live Nation
Live Nation Entertainment, Inc. and subsidiaries
LNE
Live Nation Entertainment, Inc.
SEC United States Securities and Exchange Commission
Ticketmaster
Our ticketing business



PART I—FINANCIAL INFORMATION
Item 1. Financial Statements
LIVE NATION ENTERTAINMENT, INC.
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
June 30,
2021
December 31,
2020
(in thousands)
ASSETS
Current assets
    Cash and cash equivalents $ 4,042,619  $ 2,537,787 
    Accounts receivable, less allowance of $52,767 and $72,904, respectively
646,705  486,734 
    Prepaid expenses 678,375  577,130 
    Restricted cash 5,018  8,652 
    Other current assets 50,534  39,465 
Total current assets 5,423,251  3,649,768 
Property, plant and equipment, net 1,046,478  1,101,414 
Operating lease assets 1,385,184  1,424,223 
Intangible assets
    Definite-lived intangible assets, net 777,502  855,600 
    Indefinite-lived intangible assets 369,100  369,058 
Goodwill 2,122,704  2,129,203 
Long-term advances 657,907  668,756 
Other long-term assets 463,530  391,281 
Total assets $ 12,245,656  $ 10,589,303 
LIABILITIES AND EQUITY
Current liabilities
    Accounts payable, client accounts $ 1,304,805  $ 744,096 
    Accounts payable 90,360  86,356 
    Accrued expenses 916,161  894,149 
    Deferred revenue 2,648,540  1,839,323 
    Current portion of long-term debt, net 46,481  53,415 
    Current portion of operating lease liabilities 113,576  107,147 
    Other current liabilities 45,377  72,083 
Total current liabilities 5,165,300  3,796,569 
Long-term debt, net 5,295,207  4,855,096 
Long-term operating lease liabilities 1,429,303  1,445,674 
Long-term deferred income taxes 173,971  170,759 
Other long-term liabilities 510,711  182,508 
Commitments and contingent liabilities
Redeemable noncontrolling interests 250,767  272,449 
Stockholders' equity
    Common stock 2,164  2,145 
    Additional paid-in capital 2,433,462  2,386,790 
    Accumulated deficit (3,179,691) (2,676,833)
    Cost of shares held in treasury (6,865) (6,865)
    Accumulated other comprehensive loss (161,832) (177,009)
Total Live Nation stockholders' equity (912,762) (471,772)
Noncontrolling interests 333,159  338,020 
Total equity (579,603) (133,752)
Total liabilities and equity $ 12,245,656  $ 10,589,303 


See Notes to Consolidated Financial Statements
2

LIVE NATION ENTERTAINMENT, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
  Three Months Ended
June 30,
Six Months Ended
June 30,
  2021 2020 2021 2020
  (in thousands except share and per share data)
Revenue $ 575,946  $ 74,084  $ 866,555  $ 1,439,777 
Operating expenses:
Direct operating expenses 243,120  194,557  377,086  1,068,377 
Selling, general and administrative expenses 328,894  323,352  651,747  837,373 
Depreciation and amortization 103,647  122,767  212,523  244,847 
Loss (gain) on disposal of operating assets (28) 559  110  689 
Corporate expenses 27,598  20,916  55,546  49,228 
Operating loss (127,285) (588,067) (430,457) (760,737)
Interest expense 68,909  52,689  139,739  96,688 
Interest income (1,471) (2,429) (2,620) (6,902)
Equity in losses of nonconsolidated affiliates 2,998  6,613  2,417  4,041 
Loss (gain) from sale of investments in nonconsolidated affiliates 993  35  (52,947) 35 
Other expense (income), net 9,461  (5,208) 7,462  (580)
Loss before income taxes (208,175) (639,767) (524,508) (854,019)
Income tax expense (benefit) 2,285  (29,183) 8,674  (32,513)
Net loss (210,460) (610,584) (533,182) (821,506)
Net loss attributable to noncontrolling interests (14,795) (43,067) (30,324) (69,205)
Net loss attributable to common stockholders of Live Nation $ (195,665) $ (567,517) $ (502,858) $ (752,301)
Basic and diluted net loss per common share available to common stockholders of Live Nation
$ (0.90) $ (2.67) $ (2.34) $ (3.62)
Weighted average common shares outstanding:
Basic and diluted 215,702,508  211,693,923  215,120,467  211,371,109 
Reconciliation to net loss available to common stockholders of Live Nation:
Net loss attributable to common stockholders of Live Nation
$ (195,665) $ (567,517) $ (502,858) $ (752,301)
Accretion of redeemable noncontrolling interests 951  1,595  35  (12,945)
Basic and diluted net loss available to common stockholders of Live Nation
$ (194,714) $ (565,922) $ (502,823) $ (765,246)

See Notes to Consolidated Financial Statements
3

LIVE NATION ENTERTAINMENT, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(UNAUDITED)
  Three Months Ended
June 30,
Six Months Ended
June 30,
  2021 2020 2021 2020
  (in thousands)
Net loss $ (210,460) $ (610,584) $ (533,182) $ (821,506)
Other comprehensive income (loss), net of tax:
Unrealized gain (loss) on cash flow hedge (5,788) (5,765) 9,308  (36,596)
Realized loss on cash flow hedge 1,946  1,353  3,862  1,353 
Foreign currency translation adjustments 15,226  19,933  2,007  (62,849)
Comprehensive loss (199,076) (595,063) (518,005) (919,598)
Comprehensive loss attributable to noncontrolling interests
(14,795) (43,067) (30,324) (69,205)
Comprehensive loss attributable to common stockholders of Live Nation
$ (184,281) $ (551,996) $ (487,681) $ (850,393)

See Notes to Consolidated Financial Statements
4


LIVE NATION ENTERTAINMENT, INC.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
(UNAUDITED)

Live Nation Stockholders’ Equity
Common Shares Issued Common Stock Additional Paid-In Capital Accumulated Deficit Cost of Shares Held in Treasury Accumulated Other Comprehensive Loss Noncontrolling Interests Total Equity Redeemable Noncontrolling Interests
(in thousands, except share data) (in thousands)
Balances at March 31, 2021 216,027,546  $ 2,160  $ 2,431,387  $ (2,984,026) $ (6,865) $ (173,216) $ 336,446  $ (394,114) $ 264,384 
Non-cash and stock-based compensation —  —  12,830  —  —  —  —  12,830  — 
Common stock issued under stock plans, net of shares withheld for employee taxes 95,264  (121) —  —  —  —  (119) — 
Exercise of stock options, net of shares withheld for option cost and employee taxes 265,667  (15,860) —  —  —  —  (15,858) — 
Acquisitions —  —  —  —  —  —  —  —  598 
Divestitures —  —  —  —  —  —  —  —  — 
Purchases of noncontrolling interests —  —  4,275  —  —  —  (2,577) 1,698  (1,698)
Redeemable noncontrolling interests fair value adjustments —  —  951  —  —  —  —  951  (951)
Contributions received —  —  —  —  —  —  13,471  13,471  95 
Cash distributions —  —  —  —  —  —  (8,034) (8,034) (892)
Other —  —  —  —  —  —  (2,121) (2,121) — 
Comprehensive loss:
Net loss —  —  —  (195,665) —  —  (4,026) (199,691) (10,769)
Unrealized loss on cash flow hedge —  —  —  —  —  (5,788) —  (5,788) — 
Realized loss on cash flow hedge —  —  —  —  —  1,946  —  1,946  — 
Foreign currency translation adjustments —  —  —  —  —  15,226  —  15,226  — 
Balances at June 30, 2021 216,388,477  $ 2,164  $ 2,433,462  $ (3,179,691) $ (6,865) $ (161,832) $ 333,159  $ (579,603) $ 250,767 




See Notes to Consolidated Financial Statements
5


Live Nation Stockholders’ Equity
Common Shares Issued Common Stock Additional Paid-In Capital Accumulated Deficit Cost of Shares Held in Treasury Accumulated Other Comprehensive Loss Noncontrolling Interests Total Equity Redeemable Noncontrolling Interests
(in thousands, except share data) (in thousands)
Balances at December 31, 2020 214,466,988  $ 2,145  $ 2,386,790  $ (2,676,833) $ (6,865) $ (177,009) $ 338,020  $ (133,752) $ 272,449 
Non-cash and stock-based compensation —  —  52,847  —  —  —  —  52,847  — 
Common stock issued under stock plans, net of shares withheld for employee taxes 661,549  (20,070) —  —  —  —  (20,063) — 
Exercise of stock options, net of shares withheld for option cost and employee taxes 1,259,940  12  9,924  —  —  —  —  9,936  — 
Acquisitions —  —  —  —  —  —  —  —  598 
Divestitures —  —  —  —  —  —  —  —  — 
Purchases of noncontrolling interests —  —  3,775  —  —  —  (2,577) 1,198  (1,698)
Sales of noncontrolling interests —  —  161  —  —  —  8,868  9,029  — 
Redeemable noncontrolling interests fair value adjustments —  —  35  —  —  —  —  35  (35)
Contributions received —  —  —  —  —  —  15,193  15,193  95 
Cash distributions —  —  —  —  —  —  (12,511) (12,511) (2,031)
Other —  —  —  —  —  —  (2,121) (2,121) — 
Comprehensive loss:
Net loss —  —  —  (502,858) —  —  (11,713) (514,571) (18,611)
Unrealized gain on cash flow hedge —  —  —  —  —  9,308  —  9,308  — 
Realized loss on cash flow hedge —  —  —  —  —  3,862  —  3,862  — 
Foreign currency translation adjustments —  —  —  —  —  2,007  —  2,007  — 
Balances at June 30, 2021 216,388,477  $ 2,164  $ 2,433,462  $ (3,179,691) $ (6,865) $ (161,832) $ 333,159  $ (579,603) $ 250,767 

See Notes to Consolidated Financial Statements
6

Live Nation Stockholders’ Equity
Common Shares Issued Common Stock Additional Paid-In Capital Accumulated Deficit Cost of Shares Held in Treasury Accumulated Other Comprehensive Loss Noncontrolling Interests Total Equity Redeemable Noncontrolling Interests
(in thousands, except share data) (in thousands)
Balances at March 31, 2020 211,834,739  $ 2,118  $ 2,260,509  $ (1,137,082) $ (6,865) $ (259,326) $ 371,478  $ 1,230,832  $ 443,606 
Non-cash and stock-based compensation —  —  38,538  —  —  —  —  38,538  — 
Common stock issued under stock plans, net of shares withheld for employee taxes 79,079  (217) —  —  —  —  (216) — 
Exercise of stock options, net of shares withheld for option cost and employee taxes 609,329  (4,734) —  —  —  —  (4,728) — 
Fair value of convertible debt conversion feature, net of issuance cost —  —  17  —  —  —  —  17  — 
Acquisitions —  —  —  —  —  —  4,157  4,157  751 
Divestitures —  —  —  —  —  —  593  593  — 
Purchases of noncontrolling interests —  —  (454) —  —  —  —  (454) (89,779)
Redeemable noncontrolling interests fair value adjustments —  —  1,595  —  —  —  —  1,595  (1,595)
Contributions received —  —  —  —  —  —  1,391  1,391  — 
Cash distributions —  —  —  —  —  —  (7,915) (7,915) (3,287)
Other —  —  (185) —  —  —  (501) (686)
Comprehensive loss:
Net loss —  —  —  (567,517) —  —  (27,598) (595,115) (15,469)
Unrealized loss on cash flow hedge —  —  —  —  —  (5,765) —  (5,765) — 
Realized loss on cash flow hedge —  —  —  —  —  1,353  —  1,353  — 
Foreign currency translation adjustments —  —  —  —  —  19,933  —  19,933  — 
Balances at June 30, 2020 212,523,147  $ 2,125  $ 2,295,069  $ (1,704,599) $ (6,865) $ (243,805) $ 341,605  $ 683,530  $ 334,228 

See Notes to Consolidated Financial Statements
7

Live Nation Stockholders’ Equity
Common Shares Issued Common Stock Additional Paid-In Capital Accumulated Deficit Cost of Shares Held in Treasury Accumulated Other Comprehensive Income Noncontrolling Interests Total Equity Redeemable Noncontrolling Interests
(in thousands, except share data) (in thousands)
Balances at December 31, 2019 211,262,062  $ 2,113  $ 2,245,619  $ (949,334) $ (6,865) $ (145,713) $ 318,134  $ 1,463,954  $ 449,498 
Cumulative effect of change in accounting principle —  —  —  (2,964) —  —  —  (2,964) — 
Non-cash and stock-based compensation —  —  50,270  —  —  —  —  50,270  — 
Common stock issued under stock plans, net of shares withheld for employee taxes 341,249  (7,665) —  —  —  —  (7,662) — 
Exercise of stock options, net of shares withheld for option cost and employee taxes 919,836  1,719  —  —  —  —  1,728  — 
Fair value of convertible debt conversion feature, net of issuance cost —  —  33,347  —  —  —  —  33,347  — 
Acquisitions —  —  —  —  —  —  35,322  35,322  11,899 
Divestitures —  —  —  —  —  —  593  593  — 
Purchases of noncontrolling interests —  —  (6,939) —  —  —  (1,032) (7,971) (96,190)
Sales of noncontrolling interests —  —  (8,161) —  —  —  39,161  31,000  — 
Redeemable noncontrolling interests fair value adjustments —  —  (12,945) —  —  —  —  (12,945) 12,945 
Contributions received —  —  —  —  —  —  1,467  1,467  — 
Cash distributions —  —  —  —  —  —  (12,683) (12,683) (13,632)
Other —  —  (176) —  —  —  (445) (621)
Comprehensive loss:
Net loss —  —  —  (752,301) —  —  (38,912) (791,213) (30,293)
Unrealized loss on cash flow hedge —  —  —  —  —  (36,596) —  (36,596) — 
Realized loss on cash flow hedge —  —  —  —  —  1,353  —  1,353 
Foreign currency translation adjustments —  —  —  —  —  (62,849) —  (62,849) — 
Balances at June 30, 2020 212,523,147  $ 2,125  $ 2,295,069  $ (1,704,599) $ (6,865) $ (243,805) $ 341,605  $ 683,530  $ 334,228 

See Notes to Consolidated Financial Statements
8

LIVE NATION ENTERTAINMENT, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
  Six Months Ended
June 30,
  2021 2020
  (in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss $ (533,182) $ (821,506)
Reconciling items:
Depreciation 111,864  122,825 
Amortization 100,457  122,022 
Amortization of non-recoupable ticketing contract advances 28,728  32,126 
Deferred income tax expense (benefit) 6,149  (12,316)
Amortization of debt issuance costs and discounts 18,373  14,856 
Non-cash compensation expense 52,847  50,270 
Unrealized changes in fair value of contingent consideration (8,040) (24,789)
Provision for uncollectible accounts receivable (16,563) 25,764 
Loss (gain) on sale of investments in nonconsolidated affiliates (52,947) 35 
Other, net 13,700  (2,644)
Changes in operating assets and liabilities, net of effects of acquisitions and dispositions:
Decrease (increase) in accounts receivable (143,343) 363,079 
Increase in prepaid expenses and other assets (102,554) (50,493)
Increase (decrease) in accounts payable, accrued expenses and other liabilities 518,810  (807,552)
Increase in deferred revenue 1,175,690  597,963 
Net cash provided by (used in) operating activities 1,169,989  (390,360)
CASH FLOWS FROM INVESTING ACTIVITIES
Advances of notes receivable (12,830) (11,457)
Collections of notes receivable 10,618  12,782 
Investments made in nonconsolidated affiliates (33,729) (8,150)
Purchases of property, plant and equipment (58,066) (142,509)
Cash paid for acquisitions, net of cash acquired (7,627) (37,471)
Purchases of intangible assets (11,191) (5,594)
Proceeds from sale of investments in nonconsolidated affiliates 61,618  105 
Other, net 912  1,653 
Net cash used in investing activities (50,295) (190,641)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from long-term debt, net of debt issuance costs 511,068  1,602,097 
Payments on long-term debt (85,125) (11,087)
Contributions from noncontrolling interests 15,288  1,467 
Distributions to noncontrolling interests (14,542) (26,315)
Purchases and sales of noncontrolling interests, net (3,273) (88,191)
Proceeds from exercise of stock options 28,083  11,406 
Taxes paid for net share settlement of equity awards (38,209) (17,339)
Payments for deferred and contingent consideration (11,926) (9,940)
Other, net 105  — 
Net cash provided by financing activities 401,469  1,462,098 
Effect of exchange rate changes on cash, cash equivalents and restricted cash (19,965) (54,974)
Net increase in cash, cash equivalents, and restricted cash 1,501,198  826,123 
Cash, cash equivalents and restricted cash at beginning of period 2,546,439  2,474,242 
Cash, cash equivalents and restricted cash at end of period $ 4,047,637  $ 3,300,365 

See Notes to Consolidated Financial Statements
9

LIVE NATION ENTERTAINMENT, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)

NOTE 1—BASIS OF PRESENTATION AND OTHER INFORMATION
Preparation of Interim Financial Statements
The accompanying unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X issued by the SEC. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, they include all normal and recurring accruals and adjustments necessary to present fairly the results of the interim periods shown. The financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2020 Annual Report on Form 10-K filed with the SEC on March 1, 2021.
Seasonality
Our Concerts and Sponsorship & Advertising segments typically experience higher revenue and operating income in the second and third quarters as our outdoor venues and festivals are primarily used in or occur from May through October. In addition, the timing of when tickets are sold and the tours of top-grossing acts can impact comparability of quarterly results year over year, although annual results may not be impacted. Our Ticketing segment revenue is impacted by fluctuations in the availability of events for sale to the public, which vary depending upon scheduling by our clients.
Cash flows from our Concerts segment typically have a slightly different seasonality as payments are often made for artist performance fees and production costs for tours in advance of the date the related event tickets go on sale. These artist fees and production costs are expensed when the event occurs. Once tickets for an event go on sale, we generally begin to receive payments from ticket sales at our owned or operated venues and festivals in advance of when the event occurs. We record these ticket sales as revenue when the event occurs. Our seasonality also results in higher balances in cash and cash equivalents, accounts receivable, prepaid expenses, accrued expenses and deferred revenue at different times in the year.
Due to the unprecedented global stoppage of our concert and other events beginning in mid-March 2020 resulting from the global COVID-19 pandemic, we did not experience our typical seasonality trends in 2020 and do not expect 2021 will follow our typical seasonality trends.
Cash, Cash Equivalents and Restricted Cash
Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less. Our cash and cash equivalents include domestic and foreign bank accounts as well as interest-bearing accounts consisting primarily of bank deposits and money market accounts managed by third-party financial institutions. These balances are stated at cost, which approximates fair value.
Included in the June 30, 2021 and December 31, 2020 cash and cash equivalents balance is $1.1 billion and $673.5 million, respectively, of cash received that includes the face value of tickets sold on behalf of ticketing clients and their share of service charges (“client cash”), which amounts are to be remitted to these clients. We generally do not utilize client cash for our own financing or investing activities as the amounts are payable to our clients on a regular basis. These amounts are included in accounts payable, client accounts.
Restricted cash primarily consists of cash held in escrow accounts to fund capital improvements of certain leased or operated venues. The cash is held in these accounts pursuant to the related lease or operating agreement.
Nonconsolidated Affiliates
In general, nonconsolidated investments in which we own more than 20% of the common stock or otherwise exercise significant influence over an affiliate are accounted for under the equity method. We review the value of equity method investments and record impairment charges in the statements of operations for any decline in value that is determined to be other-than-temporary. If we obtain control of a nonconsolidated affiliate through the purchase of additional ownership interest or changes in the governing agreements, we remeasure our investment to fair value first and then apply the accounting guidance for business combinations. Any gain or loss resulting from the remeasurement to fair value is recorded as a component of other expense (income), net in the statements of operations. At June 30, 2021 and December 31, 2020, we had investments in nonconsolidated affiliates of $208.1 million and $170.5 million, respectively, included in other long-term assets on our consolidated balance sheets.
10

Income Taxes
Each reporting period, we evaluate the realizability of our deferred tax assets in each tax jurisdiction. As of June 30, 2021, we continued to maintain a full valuation allowance against our net deferred tax assets in certain jurisdictions due to cumulative pre-tax losses. As a result of the valuation allowances, no tax benefits have been recognized for losses incurred, if any, in those tax jurisdictions for the first six months of 2021 and 2020.
Accounting Pronouncements - Not Yet Adopted
In August 2020, the FASB issued guidance that simplifies the accounting for convertible instruments and its application of the derivatives scope exception for contracts in an entity’s own equity. The new guidance reduces the number of accounting models that require separating embedded conversion features from convertible instruments. As a result, only conversion features accounted for under the substantial premium model and those that require bifurcation will be accounted for separately. For contracts in an entity’s own equity, the new guidance eliminates some of the current requirements for equity classification. The guidance also addresses how convertible instruments are accounted for in the diluted earnings per share calculation and requires enhanced disclosures about the terms of convertible instruments and contracts in an entity’s own equity. The guidance is effective for annual periods beginning after December 15, 2021 and interim periods within that year. Early adoption is permitted for annual periods beginning after December 15, 2020 and interim periods within that year. The guidance should be applied using either a modified retrospective method or a full retrospective method. We will adopt this guidance on January 1, 2022, and are currently assessing which implementation method we will apply and the impact that adoption will have on our financial position and results of operations.

NOTE 2—IMPACT OF THE GLOBAL COVID-19 PANDEMIC
The unprecedented and rapid spread of COVID-19 and the related government restrictions and social distancing measures implemented throughout the world have significantly impacted our business. Beginning in March 2020, large public events were cancelled, governmental authorities began imposing restrictions on non-essential activities, and businesses suspended activities around the world. As the impact of the global COVID-19 pandemic became clearer, we ceased all Live Nation tours and closed our venues in mid-March 2020 to support global efforts at social distancing and mitigating the virus, and to comply with restrictions put in place by various governmental entities, which has had a materially negative impact on our revenue and financial position. We are beginning to see the positive impacts of successful vaccination rollouts in many of our key markets with social distancing restrictions easing and live events resuming late in the second quarter.
Operating Results
Our second quarter and six month results were materially impacted by these necessary actions when compared to periods prior to the global COVID-19 pandemic. Our overall revenue for the quarter increased by $501.9 million to $575.9 million and for the six months decreased by $573.2 million to $866.6 million as compared to the same period of the prior year. The revenue increase during the quarter was primarily in our Ticketing and Concerts segments as a result of more events going on sale and occurring globally, along with lower refunds, during the second quarter of 2021 as compared to the same period of the prior year. The decrease in revenue during the first six months of 2021 was primarily in our Concerts segment largely due to normal pre-pandemic operations from January through mid-March of 2020 compared to a full shut-down for the first quarter of 2021. The revenue recognized in our Concerts segment in 2020 included the results of the shows that occurred prior to the stoppage of events in mid-March. We had a limited number of shows in the first six months of 2021, largely in Australia, New Zealand and the United States.
The event-related deferred revenue for our Concerts segment, which is reported as part of deferred revenue on our consolidated balance sheets, includes the face value and Concerts’ share of service charges for all tickets sold by June 30, 2021 for shows expected to occur in the next 12 months. Any refunds committed to for shows cancelled or rescheduled during the first six months of 2021 have either been returned to fans or are reflected in accrued expenses on the consolidated balance sheets. In addition, we have recorded an estimate of $40 million in Concerts for refunds that may occur in the future for shows we believe may be cancelled or rescheduled based on the data available on refunds resulting from the global shutdown of our live events. This estimate only impacts our financial position as a reclassification from deferred revenue to accrued expenses. We expect that the majority of our shows postponed due to the pandemic will be rescheduled. Event-related deferred revenue for tickets sold for shows expected to occur after June 30, 2022 totaled $380.7 million and is reflected in other long-term liabilities on our consolidated balance sheets.
The revenue recognized in our Ticketing segment during the first six months of 2021 includes our share of ticket service charges for tickets sold during the period for third-party clients and for shows that occurred in the period for our Concerts segment where our promoters control the ticketing. Revenue has been reduced for any shows that were cancelled and for refunds requested on rescheduled shows up to the time of the filing of these consolidated financial statements, and funds have either been returned to the customer or are reflected in accrued expenses on the consolidated balance sheets. Our ticketing
11

clients determine if shows will be rescheduled or cancelled and what the refund policy will be for those shows. We have not recorded an estimate for refunds that may occur in the future since our clients, not Ticketmaster, determine when shows are cancelled or rescheduled and we have a limited amount of historical data of refunds resulting from a global shutdown of live events on which to reliably determine an estimate.
For events that are cancelled, our standard policy is to refund the fans within 30 days, subject to regulations in various markets and in some cases at the discretion of our venue or event organizer clients. Our ticket refund policies for rescheduled shows vary by ticketing client and country. In multiple international markets, including Germany, Italy and Belgium, governmental regulations which allow for the issuance of vouchers in place of cash refunds for rescheduled shows, and in some cases for cancelled shows, have been put in place in response to the global COVID-19 pandemic. The volume and pace of cash refunds has had and may continue to have a material negative effect on our liquidity and capital resources.
The length and severity of the reduction in live events due to the pandemic is uncertain and; accordingly, we currently expect the negative impact to continue in 2021. The exact timing and pace of the recovery is uncertain given the significant impact of the pandemic and the uncertainty on the timing of the rollout of vaccines on the United States and global economies. We are beginning to see the positive impacts of successful vaccination rollouts in many of our key markets with social distancing restrictions easing and live events resuming late in the second quarter. We believe the ongoing effects of the global COVID-19 pandemic on our operations have had, and will continue to have a material negative impact on our financial results and liquidity, and such negative impact may continue beyond the containment of such outbreak. We have never previously experienced a complete cessation of our live events or a large-scale reduction in the number of events selling tickets, and as a consequence, our ability to be predictive regarding the impact of these circumstances is uncertain and we are unable to estimate the impact on our business, financial condition or near or longer-term financial or operational results.

NOTE 3—LONG-LIVED ASSETS
We reviewed our long-lived assets for potential impairment indicators due to the suspension of our live events resulting from the global COVID-19 pandemic. Our venues are either owned or we have long-term operating rights under lease or management agreements typically with terms ranging from 5 to 25 years at inception. Many of our definite-lived intangible assets are based on revenue-generating contracts and client or vendor relationships associated with live events and have useful lives, established at the time of acquisition, typically ranging from 3 to 10 years. Our more significant investments in nonconsolidated affiliates are in the concert event promotion, venue operation or ticketing businesses, and these businesses are experiencing similar impacts to their operations, in line with what we are experiencing as a result of the pandemic. Based on our assessments, we have recorded impairment charges on certain of our definite-lived intangible assets, which are discussed below.
We are beginning to see the positive impacts of successful vaccination rollouts in many of our key markets with social distancing restrictions easing and live events resuming late in the second quarter. While we are optimistic, the length and severity of the impact to live events and our related sponsorship and ticketing businesses is still uncertain. Activity levels are beginning to increase in the second half of 2021 led by outdoor events and festivals in the United States and United Kingdom. We expect that most larger venues will reopen and tours will resume in the second half of 2021 and that the underlying business supporting all of our long-lived assets will begin generating operating income once again. However, we have never previously experienced a complete cessation of our live events or a large-scale reduction in the number of events selling tickets and, as a consequence, our ability to be predictive regarding the impact of these circumstances is uncertain. As a result, the underlying assumptions used in our impairment assessments could change, resulting in future impairment charges.
Property, Plant and Equipment, Net
Property, plant and equipment, net, consisted of the following:
June 30, December 31,
2021 2020
(in thousands)
    Land, buildings and improvements $ 1,261,289  $ 1,239,696 
    Computer equipment and capitalized software 912,608  887,637 
    Furniture and other equipment 421,932  424,363 
    Construction in progress 146,013  151,830 
2,741,842  2,703,526 
    Less: accumulated depreciation 1,695,364  1,602,112 
$ 1,046,478  $ 1,101,414 
12


Definite-lived Intangible Assets
The following table presents the changes in the gross carrying amount and accumulated amortization of definite-lived intangible assets for the six months ended June 30, 2021:
Client /
vendor
relationships
Revenue-
generating
contracts
Venue management and leaseholds Trademarks
and
naming
rights
Technology
Other (1)
Total
(in thousands)
Balance as of December 31, 2020:
Gross carrying amount
$ 496,074  $ 578,664  $ 147,956  $ 150,344  $ 72,283  $ 17,413  $ 1,462,734 
Accumulated amortization
(146,397) (277,710) (51,924) (73,604) (45,799) (11,700) (607,134)
Net 349,677  300,954  96,032  76,740  26,484  5,713  855,600 
Gross carrying amount:
Acquisitions—current year
2,086  —  —  —  10,296  2,650  15,032 
Acquisitions—prior year
5,557  —  —  —  —  —  5,557 
Foreign exchange 1,613  (1,817) (440) 399  173  (4) (76)
Other (2)
(29,276) (24,497) (631) (2,166) (24,477) (8,234) (89,281)
Net change (20,020) (26,314) (1,071) (1,767) (14,008) (5,588) (68,768)
Accumulated amortization:
Amortization
(39,051) (33,546) (7,433) (6,968) (10,988) (2,471) (100,457)
Foreign exchange 536  1,247  (7) (110) (193) —  1,473 
Other (2)
29,276  24,487  642  2,214  24,579  8,456  89,654 
Net change (9,239) (7,812) (6,798) (4,864) 13,398  5,985  (9,330)
Balance as of June 30, 2021:
Gross carrying amount
476,054  552,350  146,885  148,577  58,275  11,825  1,393,966 
Accumulated amortization
(155,636) (285,522) (58,722) (78,468) (32,401) (5,715) (616,464)
Net $ 320,418  $ 266,828  $ 88,163  $ 70,109  $ 25,874  $ 6,110  $ 777,502 
______________

(1) Other primarily includes intangible assets for non-compete agreements.     
(2) Other primarily includes netdowns of fully amortized or impaired assets.
The 2021 additions to definite-lived intangible assets from acquisitions have weighted-average lives as follows:
Weighted-
Average
Life (years)
Client/vendor relationships 4
Non-compete agreements 2
All categories 3
The current year acquisitions amount above for technology intangibles includes software licenses acquired in the normal course of business.
We test for possible impairment of definite-lived intangible assets whenever events or circumstances change, such as a significant reduction in operating cash flow or a change in the manner in which the asset is intended to be used, which may indicate that the carrying amount of the asset may not be recoverable. During the six months ended June 30, 2021 and 2020, we reviewed definite-lived intangible assets that management determined had an indicator that remaining future operating cash flows over the acquisition-date estimated useful life may not support their carrying value, as a result of the expected impacts from the global COVID-19 pandemic, and it was determined that those assets were impaired since the estimated undiscounted operating cash flows associated with those assets were less than their carrying value.
13

For the six months ended June 30, 2021, there were no significant impairment charges. For the six months ended June 30, 2020, we recorded impairment charges related to definite-lived intangible assets of $12.1 million as a component of depreciation and amortization primarily related to intangible assets for revenue-generating contracts in the Concerts segment. See Note 6—Fair Value Measurements for further discussion of the inputs used to determine the fair value.
Amortization of definite-lived intangible assets for the three months ended June 30, 2021 and 2020 was $48.6 million and $57.8 million, respectively, and for the six months ended June 30, 2021 and 2020 was $100.5 million and $122.0 million, respectively. As acquisitions and dispositions occur in the future and the valuations of intangible assets for recent acquisitions are completed, amortization will vary.
Goodwill
We review goodwill for impairment annually, as of October 1. As such, we completed our annual review in the fourth quarter of 2020 and, as reported in our December 31, 2020 Form 10-K, no impairments were recorded as the fair value of each reporting unit was determined to be in excess of its carrying value for all reporting units. There were no indicators of impairment during the interim periods of 2021.
The following table presents the changes in the carrying amount of goodwill in each of our reportable segments for the six months ended June 30, 2021:
Concerts Ticketing Sponsorship
& Advertising
Total
(in thousands)
Balance as of December 31, 2020:
Goodwill $ 1,318,273  $ 782,559  $ 463,734  $ 2,564,566 
Accumulated impairment losses (435,363) —  —  (435,363)
                 Net 882,910  782,559  463,734  2,129,203 
Acquisitions—current year 1,336  —  —  1,336 
Acquisitions—prior year (1,815) (3,740) 419  (5,136)
Foreign exchange 369  (2,433) (635) (2,699)
Balance as of June 30, 2021:
Goodwill 1,318,163  776,386  463,518  2,558,067 
Accumulated impairment losses (435,363) —  —  (435,363)
                 Net $ 882,800  $ 776,386  $ 463,518  $ 2,122,704 

We are in various stages of finalizing our acquisition accounting for recent acquisitions, which may include the use of external valuation consultants, and the completion of this accounting could result in a change to the associated purchase price allocations, including goodwill and our allocation between segments.
Investments in Nonconsolidated Affiliates
During the six months ended June 30, 2021, we sold certain investments in nonconsolidated affiliates for $61.6 million in cash plus $6.2 million in deferred purchase price consideration resulting in a gain on sale of investments in nonconsolidated affiliates of $52.9 million.
During the six months ended June 30, 2021, we entered into certain agreements whereby we received equity in the counterparty to those agreements primarily in exchange for providing sponsorship and marketing programs and support. We recognized $25.0 million of noncash additions to investments in nonconsolidated affiliates which are included in other long-term assets on our consolidated balance sheets associated with these agreements.

14

NOTE 4—LEASES
The significant components of operating lease expense are as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
(in thousands)
Operating lease cost $ 56,577  $ 58,427  $ 111,876  $ 120,555 
Variable and short-term lease cost 3,543  20,208  12,996  32,730 
Sublease income (1,236) (4,111) (3,518) (8,262)
Net lease cost $ 58,884  $ 74,524  $ 121,354  $ 145,023 

Many of our leases contain contingent rent obligations based on revenue, tickets sold or other variables, while others include periodic adjustments to rent obligations based on the prevailing inflationary index or market rental rates. Contingent rent obligations are not included in the initial measurement of the lease asset or liability and are recorded as rent expense in the period that the contingency is resolved.
Supplemental cash flow information for our operating leases is as follows:
Six Months Ended
June 30,
2021 2020
(in thousands)
Cash paid for amounts included in the measurement of lease liabilities $ 99,449  $ 105,067 
Lease assets obtained in exchange for lease obligations, net of terminations $ 41,005  $ 98,052 

Future maturities of our operating lease liabilities at June 30, 2021 are as follows:
(in thousands)
July 1 - December 31, 2021 $ 91,363 
2022 204,175 
2023 204,889 
2024 188,541 
2025 176,893 
Thereafter 1,503,232 
Total lease payments 2,369,093 
Less: Interest 826,214 
Present value of lease liabilities $ 1,542,879 

The weighted average remaining lease term and weighted average discount rate for our operating leases are as follows:
June 30, 2021 December 31, 2020
Weighted average remaining lease term (in years) 13.7 13.9
Weighted average discount rate 6.39  % 6.31  %

As of June 30, 2021, we have additional operating leases that have not yet commenced, with total lease payments of $175.4 million. These operating leases, which are not included on our consolidated balance sheets, have commencement dates ranging from July 2021 to June 2030, with lease terms ranging from 1 to 20 years.
In response to the impacts we are experiencing from the global COVID-19 pandemic, we have amended certain of our lease agreements and are continuing negotiations with certain of our landlords for deferral or abatement of fixed rent payments. These lease concessions are not expected to substantially increase our obligations under the respective lease agreements.
15

Therefore, we have elected to account for these lease concessions as though enforceable rights and obligations for those concessions existed in our lease agreements as clarified by the FASB rather than applying the lease modification guidance.

NOTE 5—LONG-TERM DEBT
In January 2021, we issued $500 million principal amount of 3.75% senior secured notes due 2028. A portion of the proceeds were used to pay fees of $7.7 million and repay $75.0 million aggregate principal amount of the Company’s senior secured term loan B facility, leaving approximately $417.3 million for general corporate purposes, including acquisitions and organic investment opportunities.
Long-term debt, which includes finance leases, consisted of the following:
June 30, 2021 December 31, 2020
(in thousands)
Senior Secured Credit Facility:
Term loan B $ 858,755  $ 938,125 
6.5% Senior Secured Notes due 2027 1,200,000  1,200,000 
3.75% Senior Secured Notes due 2028 500,000  — 
4.75% Senior Notes due 2027 950,000  950,000 
4.875% Senior Notes due 2024 575,000  575,000 
5.625% Senior Notes due 2026 300,000  300,000 
2.5% Convertible Senior Notes due 2023 550,000  550,000 
2.0% Convertible Senior Notes due 2025 400,000  400,000 
Other long-term debt 126,437  125,226 
Total principal amount 5,460,192  5,038,351 
Less unamortized discounts and debt issuance costs (118,504) (129,840)
Total long-term debt, net of unamortized discounts and debt issuance costs 5,341,688  4,908,511 
Less: current portion 46,481  53,415 
Total long-term debt, net $ 5,295,207  $ 4,855,096 
Future maturities of long-term debt at June 30, 2021 are as follows:
(in thousands)
July 1, 2021 - December 31, 2021 $ 35,087 
2022 577,686 
2023 44,631 
2024 989,074 
2025 38,593 
Thereafter 3,775,121 
Total $ 5,460,192 

All long-term debt without a stated maturity date is considered current and is reflected as maturing in the earliest period shown in the table above. See Note 6—Fair Value Measurements for discussion of the fair value measurement of our long-term debt.
16

3.75% Senior Secured Notes due 2028
In January 2021, we issued $500 million principal amount of 3.75% senior secured notes due 2028. Interest on the notes is payable semi-annually in cash in arrears on January 15 and July 15 of each year and began on July 15, 2021, and will mature on January 15, 2028. We may redeem some or all of the notes, at any time prior to January 15, 2024, at a price equal to 100% of the aggregate principal amount, plus any accrued and unpaid interest to the date of redemption, plus a ‘make-whole’ premium. We may redeem up to 35% of the aggregate principal amount of the notes from the proceeds of certain equity offerings prior to January 15, 2024, at a price equal to 103.75% of the aggregate principal amount, plus accrued and unpaid interest thereon to the date of redemption. In addition, on or after January 15, 2024 we may redeem some or all of the notes at any time at redemption prices specified in the notes indenture, plus any accrued and unpaid interest to the date of redemption.
We must make an offer to redeem the notes at 101% of their aggregate principal amount, plus accrued and unpaid interest to the repurchase date, if we experience certain defined changes of control. The notes are secured by a first priority lien on substantially all of the tangible and intangible personal property of LNE and LNE’s domestic subsidiaries that are guarantors, and by a pledge of substantially all of the shares of stock, partnership interests and limited liability company interests of our direct and indirect domestic subsidiaries.

NOTE 6—FAIR VALUE MEASUREMENTS
Recurring

The following table shows the fair value of our significant financial assets that are required to be measured at fair value on a recurring basis, which are classified on the consolidated balance sheets as cash and cash equivalents.

Estimated Fair Value
June 30, 2021
December 31, 2020
Level 1 Level 2 Total Level 1 Level 2 Total
(in thousands)
Assets:
    Cash equivalents $ 638,652  $ —  $ 638,652  $ 282,696  $ —  $ 282,696 

Our outstanding debt held by third-party financial institutions is carried at cost, adjusted for any discounts or debt issuance costs. Our debt is not publicly traded and the carrying amounts typically approximate fair value for debt that accrues interest at a variable rate, which are considered to be Level 2 inputs as defined in the FASB guidance.
The following table presents the estimated fair values of our senior secured notes, senior notes and convertible senior notes:
Estimated Fair Value at
June 30, 2021 December 31, 2020
Level 2
(in thousands)
6.5% Senior Secured Notes due 2027 $ 1,330,548  $ 1,340,688 
3.75% Senior Secured Notes due 2028 $ 502,050  $ — 
4.75% Senior Notes due 2027 $ 985,483  $ 970,872 
4.875% Senior Notes due 2024 $ 585,879  $ 581,480 
5.625% Senior Notes due 2026 $ 313,065  $ 307,785 
2.5% Convertible Senior Notes due 2023 $ 771,848  $ 720,764 
2.0% Convertible Senior Notes due 2025 $ 448,424  $ 425,172 

The estimated fair value of our third-party fixed-rate debt is based on quoted market prices in active markets for the same or similar debt, which are considered to be Level 2 inputs.
17

Non-recurring
The following table shows the fair value of our financial assets that have been adjusted to fair value on a non-recurring basis, which had a significant impact on our results of operations for the six months ended June 30, 2020.
Fair Value Measurements Using
Description Fair Value Measurement Level 1 Level 2 Level 3 Loss (Gain)
(in thousands)
2020
Definite-lived intangible assets, net $ 6,919  $ —  $ —  $ 6,919  $ 12,063 

For the six months ended June 30, 2021, there were no significant impairment charges. During the six months ended June 30, 2020, we recorded impairment charges related to definite-lived intangible assets of $12.1 million as a component of depreciation and amortization primarily related to intangible assets for revenue-generating contracts in the Concerts segment. It was determined that these assets were impaired since the most recent estimated undiscounted future cash flows associated with these assets were less than their carrying value, primarily as a result of the expected impacts from the global COVID-19 pandemic. These impairments were calculated using operating cash flows, which were discounted to approximate fair value. The key inputs in these calculations include future cash flow projections, including revenue profit margins, and, for the fair value computation, a discount rate. The key inputs used for these non-recurring fair value measurements are considered Level 3 inputs.

NOTE 7—COMMITMENTS AND CONTINGENT LIABILITIES
Litigation
Consumer Class Actions
The following putative class action lawsuits were filed against Live Nation and/or Ticketmaster in Canada: Thompson-Marcial v. Ticketmaster Canada Holdings ULC (Ontario Superior Court of Justice, filed September 2018); McPhee v. Live Nation Entertainment, Inc., et al. (Superior Court of Quebec, District of Montreal, filed September 2018); Crystal Watch v. Live Nation Entertainment, Inc., et al. (Court of Queen’s Bench for Saskatchewan, by amendments filed September 2018); and Gomel v. Live Nation Entertainment, Inc., et al. (Supreme Court of British Columbia, Vancouver Registry, filed October 2018). Similar putative class actions were filed in the United States during the same time period, but as of November 2020, each of the lawsuits filed in the United States has been dismissed with prejudice.
The Canadian lawsuits make similar factual allegations that Live Nation and/or Ticketmaster engage in conduct that is intended to encourage the resale of tickets on secondary ticket exchanges at elevated prices. Based on these allegations, each plaintiff asserts violations of different provincial and federal laws. Each plaintiff also seeks to represent a class of individuals who purchased tickets on a secondary ticket exchange, as defined in each plaintiff’s complaint. The Watch complaint also makes claims related to Ticketmaster’s fee display practices on the primary market. The complaints seek a variety of remedies, including unspecified compensatory damages, punitive damages, restitution, injunctive relief and attorneys’ fees and costs.
The McPhee matter is stayed pending the outcome of the Watch matter, and the Thompson-Marcial, Watch, and Gomel cases are in the class certification phase. In April 2021, the court in the Gomel lawsuit refused to certify all claims other than those pled under British Columbia’s Business Practices and Consumer Protection Act and claims for punitive damages, but the court did certify a class of British Columbia residents who purchased tickets to an event in Canada on any secondary market exchange from June 30, 2015 through April 15, 2021 that were initially purchased on Ticketmaster.ca. We filed a notice of appeal of the class certification ruling in May 2021, and the plaintiff filed a cross-appeal shortly thereafter.
Based on information presently known to management, we do not believe that a loss is probable of occurring at this time, and we believe that the potential liability, if any, will not have a material adverse effect on our financial position, cash flows or results of operations. Further, we do not currently believe that the claims asserted in these lawsuits have merit, and considerable uncertainty exists regarding any monetary damages that will be asserted against us. We continue to vigorously defend these actions.
CIE Arbitration
In July 2019, Ticketmaster New Ventures, S. de R.L. de C.V. (“TNV”), an indirect wholly-owned subsidiary of LNE, entered into agreements with Corporación Interamericana de Entretenimiento, S.A.B. de C.V. (“CIE”) and Grupo Televisa, S.A.B. (“TV”) to acquire an aggregate 51% interest in OCESA Entretenimiento, S.A. de C.V. (“OCESA”) and certain other related subsidiaries of CIE. We made our initial concentration notice filings with the regulatory authorities in Mexico in late
18

August 2019 and received approval for the transaction in mid-April 2020. CIE shareholders approved the acquisition in September 2019. In May 2020, we notified CIE that we were terminating our agreement with it as a result of CIE’s failure to comply with its contractual obligation to continue operating the target companies in the ordinary course of business and the occurrence of a material adverse effect (as that term is defined in the CIE purchase agreement). We simultaneously notified TV that we were terminating our agreement with it, which agreement may be terminated if the agreement with CIE is terminated for any reason. On May 25, 2020, TNV commenced binding arbitration proceedings, in New York, New York, before the International Court of Arbitration of the International Chamber of Commerce, seeking a declaratory judgment that it properly terminated the CIE purchase agreement and that any obligations thereunder are excused on the grounds set forth above, among others. On July 30, 2020, CIE filed its response to TNV’s claims, asserting, among other things, that CIE did not breach its obligation to continue operating the target companies in the ordinary course of business and that no material adverse effect (as that term is defined in the CIE purchase agreement) has occurred, and CIE joined LNE as a party to the arbitration proceedings as a joint obligor under the CIE purchase agreement. CIE is seeking specific performance to require us to proceed with closing under the CIE purchase agreement and damages in an unspecified amount arising from our alleged failure to timely close. The matter has been assigned to a panel of arbitrators and a hearing has been scheduled to commence in June 2022. We intend to vigorously defend these claims.

NOTE 8—EQUITY
Accumulated Other Comprehensive Loss
The following table presents changes in the components of AOCI, net of taxes, for the six months ended June 30, 2021:
Cash Flow Hedge  Foreign Currency Items Total
(in thousands)
Balance at December 31, 2020 $ (31,587) $ (145,422) $ (177,009)
Other comprehensive income before reclassifications
9,308  2,007  11,315 
Amount reclassified from AOCI 3,862  —  3,862 
Net other comprehensive income 13,170  2,007  15,177 
Balance at June 30, 2021 $ (18,417) $ (143,415) $ (161,832)

Earnings Per Share
Basic net loss per common share is computed by dividing the net loss available to common stockholders by the weighted average number of common shares outstanding during the period. The calculation of diluted net loss per common share includes the effects of the assumed exercise of any outstanding stock options, the assumed vesting of shares of restricted and deferred stock awards and the assumed conversion of our convertible senior notes, where dilutive. For the three and six months ended June 30, 2021 and 2020, there were no reconciling items to the weighted average common shares outstanding in the calculation of diluted net loss per common share.
The following table shows securities excluded from the calculation of diluted net loss per common share because such securities are anti-dilutive:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
Options to purchase shares of common stock 7,797,075  10,197,507  7,797,075  10,197,507 
Restricted stock and deferred stock—unvested 3,007,032  5,150,289  3,007,032  5,150,289 
Conversion shares related to the convertible senior notes 11,864,035  11,864,035  11,864,035  11,864,035 
Number of anti-dilutive potentially issuable shares excluded from diluted common shares outstanding 22,668,142  27,211,831  22,668,142  27,211,831 

19

NOTE 9—REVENUE RECOGNITION
The global COVID-19 pandemic has significantly impacted the recognition of revenue for our Concerts, Ticketing and Sponsorship & Advertising segments. Beginning in mid-March 2020, we ceased all of our tours and closed our venues to support global efforts at social distancing to mitigate the spread of the virus, and to comply with restrictions put in place by various governmental entities. We are beginning to see the positive impacts of successful vaccination rollouts in many of our key markets with social distancing restrictions easing and live events resuming late in the second quarter.
For our Concerts segment, the impact is partially a delay in the timing of revenue recognition as many events have been or are being rescheduled to dates later in 2021 or 2022. For events that have been cancelled as of June 30, 2021, the deferred revenue has been reclassified to accrued expenses on our consolidated balance sheets where not already refunded to the fan. In certain markets, we are offering fans an incentive to receive a voucher for a future ticket purchase to one of our events in lieu of receiving a refund for the cancelled event. Where a fan has elected to receive the incentive voucher, the cash from the original ticket purchase remains in deferred revenue. For certain of our rescheduled events, we are offering a limited refund window for fans to request a refund. Where a fan has elected to receive a refund for a rescheduled event and where we have estimated future refunds, the deferred revenue has been reclassified to accrued expenses if not already refunded. The estimate of future refunds was developed by applying the percentage of future shows we believe could be rescheduled to the deferred revenue balances as of June 30, 2021 for those impacted quarters, and then applying a venue-specific refund take rate. The venue-specific refund take rates were based on the refunds we have issued since we ceased all our tours and closed our venues in mid-March 2020 through the end of the first quarter of 2021.
For our Ticketing segment, the impact is similar to the Concerts segment if the tickets sold for an event are controlled by our concert promoters. For the Ticketing segment’s third-party clients, previously recognized service charges are reversed from revenue when the event is cancelled or a refund is issued for a rescheduled event, including refunds issued after the balance sheet date but prior to the filing of our consolidated financial statements. The revenue reversal is reflected as accrued expenses on our consolidated balance sheets where not already refunded to the fan. The timing of our third-party clients’ event cancellations and rescheduling of postponed events versus new events available for sale can result in refunds of service charges exceeding quarterly sales resulting in negative revenue for that period.
For our Sponsorship & Advertising segment, the impact is partially a delay in the timing of revenue recognition due to our concert events being rescheduled, our venues being closed along with the limited number of events that were available for sale on our websites. In response to the impacts we are experiencing from the global COVID-19 pandemic, we have amended or are continuing negotiations with certain of our sponsors to either provide additional benefits when our venues reopen and our concert events resume or extend the term of the agreement with no additional benefits to the sponsor.
Concerts
Concerts revenue, including intersegment revenue, for the three and six months ended June 30, 2021 and 2020 are as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
(in thousands)
Total Concerts Revenue $ 286,958  $ 141,823  $ 526,374  $ 1,135,216 
Percentage of consolidated revenue 49.8  % * 60.7  % 78.8  %

Our Concerts segment generates revenue from the promotion or production of live music events and festivals in our owned or operated venues and in rented third-party venues, artist management commissions and the sale of merchandise for music artists at events. As a promoter and venue operator, we earn revenue primarily from the sale of tickets, concessions, merchandise, parking, ticket rebates or service charges on tickets sold by Ticketmaster or third-party ticketing agreements, and rental of our owned or operated venues. As an artist manager, we earn commissions on the earnings of the artists and other clients we represent, primarily derived from clients’ earnings for concert tours. Over 95% of Concerts’ revenue, whether related to promotion, venue operations, artist management or artist event merchandising, is recognized on the day of the related event. The majority of consideration for our Concerts segment is collected in advance of, or on the day, of the event. Consideration received in advance of the event is recorded as deferred revenue or in other long-term liabilities if the event is more than twelve months from the balance sheet date. Any consideration not collected by the day of the event is typically received within three months after the event date.

20

Ticketing
Ticketing revenue, including intersegment revenue, for the three and six months ended June 30, 2021 and 2020 are as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
(in thousands)
Total Ticketing Revenue $ 244,001  $ (87,019) $ 272,323  $ 197,258 
Percentage of consolidated revenue 42.4  % * 31.4  % 13.7  %

Ticket fee revenue is generated from convenience and order processing fees, or service charges, charged at the time a ticket for an event is sold in either the primary or secondary markets. Our Ticketing segment is primarily an agency business that sells tickets for events on behalf of its clients, which include venues, concert promoters, professional sports franchises and leagues, college sports teams, theater producers and museums. Our Ticketing segment records revenue arising from convenience and order processing fees, regardless of whether these fees are related to tickets sold in the primary or secondary market, and regardless of whether these fees are associated with our concert events or third-party clients’ concert events. Our Ticketing segment does not record the face value of the tickets as revenue. Ticket fee revenue is recognized when the ticket is sold for third-party clients and secondary market sales, as we have no further obligation to our client’s customers following the sale of the ticket. For our concert events where our concert promoters control ticketing, ticket fee revenue is recognized when the event occurs because we also have the obligation to deliver the event to the fan. The delivery of the ticket to the fan is not considered a distinct performance obligation for our concert events because the fan cannot receive the benefits of the ticket unless we also fulfill our obligation to deliver the event. The majority of ticket fee revenue is collected within the month of the ticket sale. Revenue received from the sale of tickets in advance of our concert events is recorded as deferred revenue or in other long-term liabilities if the date of the event is more than twelve months from the balance sheet date. Reported revenue is net of any refunds made or committed to and the impact of any cancellations of events that occurred during the period up to the time of filing these consolidated financial statements.
Ticketing contract advances, which can be either recoupable or non-recoupable, represent amounts paid in advance to our clients pursuant to ticketing agreements and are reflected in prepaid expenses or in long-term advances if the amount is expected to be recouped or recognized over a period of more than twelve months. Recoupable ticketing contract advances are generally recoupable against future royalties earned by the client, based on the contract terms, over the life of the contract. Royalties are typically earned by the client when tickets are sold. Royalties paid to clients are recorded as a reduction to revenue when the tickets are sold and the corresponding service charge revenue is recognized. Non-recoupable ticketing contract advances, excluding those amounts paid to support clients’ advertising costs, are fixed additional incentives occasionally paid by us to certain clients to secure the contract and are typically amortized over the life of the contract on a straight-line basis as a reduction to revenue.
At June 30, 2021 and December 31, 2020, we had ticketing contract advances of $74.1 million and $63.5 million, respectively, recorded in prepaid expenses and $84.2 million and $87.0 million, respectively, recorded in long-term advances on the consolidated balance sheets. We amortized $18.1 million and $13.3 million for the three months ended June 30, 2021 and 2020, respectively, and $28.7 million and $32.1 million for the six months ended June 30, 2021 and 2020, respectively, related to non-recoupable ticketing contract advances.
Sponsorship & Advertising
Sponsorship & Advertising revenue, including intersegment revenue, for the three and six months ended June 30, 2021 and 2020 are as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
(in thousands)
Total Sponsorship & Advertising Revenue $ 44,561  $ 18,372  $ 67,208  $ 108,633 
Percentage of consolidated revenue 7.7  % 24.8  % 7.8  % 7.5  %

Our Sponsorship & Advertising segment generates revenue from sponsorship and marketing programs that provide its sponsors with strategic, international, national and local opportunities to reach customers through our venue, concert and ticketing assets, including advertising on our websites. These programs can also include custom events or programs for the
21

sponsors’ specific brands, which are typically experienced exclusively by the sponsors’ customers. Sponsorship agreements may contain multiple elements, which provide several distinct benefits to the sponsor over the term of the agreement, and can be for a single or multi-year term. We also earn revenue from exclusive access rights provided to sponsors in various categories such as ticket pre-sales, beverage pouring rights, venue naming rights, media campaigns, signage within our venues, and advertising on our websites. Revenue from sponsorship agreements is allocated to the multiple elements based on the relative stand-alone selling price of each separate element, which are determined using vendor-specific evidence, third-party evidence or our best estimate of the fair value. Revenue is recognized over the term of the agreement or operating season as the benefits are provided to the sponsor unless the revenue is associated with a specific event, in which case it is recognized when the event occurs. Revenue is collected in installment payments during the year, typically in advance of providing the benefit or the event. Revenue received in advance of the event or the sponsor receiving the benefit is recorded as deferred revenue or in other long-term liabilities if the date of the event is more than twelve months from the balance sheet date.
At June 30, 2021, we had contracted sponsorship agreements with terms greater than one year that had approximately $1.0 billion of revenue related to future benefits to be provided by us. We expect to recognize, based on current projections, approximately 22%, 34%, 16% and 28% of this revenue in the remainder of 2021, 2022, 2023 and thereafter, respectively.
Deferred Revenue
The majority of our deferred revenue is typically classified as current and is shown as a separate line item on the consolidated balance sheets. Deferred revenue that is not expected to be recognized within the next twelve months is classified as long-term and reflected in other long-term liabilities on the consolidated balance sheets. We had current deferred revenue of $1.8 billion and $1.4 billion at December 31, 2020 and 2019, respectively.
The table below summarizes the amount of the preceding December 31 current deferred revenue recognized during the three and six months ended June 30, 2021 and 2020:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
(in thousands)
Concerts $ 14,471  $ 11,329  $ 52,295  $ 269,359 
Ticketing 3,370  4,242  7,791  21,196 
Sponsorship & Advertising 9,050  3,094  14,633  16,584 
Other & Corporate —  562  —  2,038 
$ 26,891  $ 19,227  $ 74,719  $ 309,177 

As of June 30, 2021, approximately 45.7% of the current deferred revenue balance from December 31, 2020 is expected to be recognized in 2021 and thus such amounts remain in current deferred revenue. In addition, as of June 30, 2021, approximately 8.6% of the current deferred revenue balance from December 31, 2020 has been or is expected to be refunded to fans as the corresponding events have been cancelled or refunds were or are expected to be requested for rescheduled events, and thus such amounts have been reclassified to accrued expenses if not already refunded. Our long-term deferred revenue balance has increased as events have been rescheduled into the third and fourth quarters of 2022 in markets still experiencing impacts from the global COVID-19 pandemic. We had long-term deferred revenue of $442.1 million and $88.6 million at June 30, 2021 and December 31, 2020, respectively, which is reflected in other long-term liabilities on the consolidated balance sheets.

22

NOTE 10—STOCK-BASED COMPENSATION
The following is a summary of stock-based compensation expense recorded during the respective periods:
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
(in thousands)
Selling, general and administrative expenses $ 3,736  $ 30,249  $ 31,810  $ 35,212 
Corporate expenses 9,094  8,289  21,037  15,058 
Total $ 12,830  $ 38,538  $ 52,847  $ 50,270 
The decrease in stock-based compensation expense for the three months ended June 30, 2021 as compared to the same period of the prior year is primarily due to the issuance of restricted stock awards in the second quarter of 2020 in lieu of cash payments for certain compensation owed to employees, as part of our cash savings initiative in connection with the global COVID-19 pandemic.

NOTE 11—SEGMENT DATA
Our reportable segments are Concerts, Ticketing and Sponsorship & Advertising. Our Concerts segment involves the promotion of live music events globally in our owned or operated venues and in rented third-party venues, the production of music festivals, the operation and management of music venues, the creation or streaming of associated content and the provision of management and other services to artists. Our Ticketing segment involves the management of our global ticketing operations, including providing ticketing software and services to clients, and consumers with a marketplace, both online and mobile, for tickets and event information, and is responsible for our primary ticketing website, www.ticketmaster.com. Our Sponsorship & Advertising segment manages the development of strategic sponsorship programs in addition to the sale of international, national and local sponsorships and placement of advertising such as signage, promotional programs, rich media offerings, including advertising associated with live streaming and music-related content, and ads across our distribution network of venues, events and websites.
Revenue and expenses earned and charged between segments are eliminated in consolidation. Our capital expenditures below include accruals for amounts incurred but not yet paid for, but are not reduced by reimbursements received from outside parties such as landlords and noncontrolling interest partners or replacements funded by insurance proceeds.
We manage our working capital on a consolidated basis. Accordingly, segment assets are not reported to, or used by, our management to allocate resources to or assess performance of our segments, and therefore, total segment assets have not been presented.
The following table presents the results of operations for our reportable segments for the three and six months ended June 30, 2021 and 2020:
Concerts Ticketing Sponsorship
& Advertising
Other Corporate Eliminations Consolidated
(in thousands)
Three Months Ended June 30, 2021
Revenue $ 286,958  $ 244,001  $ 44,561  $ 815  $ —  $ (389) $ 575,946 
Direct operating expenses 172,176  59,301  12,032  —  —  (389) 243,120 
Selling, general and administrative expenses 202,697  105,987  19,696  514  —  —  328,894 
Depreciation and amortization 58,450  34,888  7,507  11  2,791  —  103,647 
Gain on disposal of operating assets (28) —  —  —  —  —  (28)
Corporate expenses —  —  —  —  27,598  —  27,598 
Operating income (loss) $ (146,337) $ 43,825  $ 5,326  $ 290  $ (30,389) $ —  $ (127,285)
Intersegment revenue $ (591) $ 980  $ —  $ —  $ —  $ (389) $ — 
23

Concerts Ticketing Sponsorship
& Advertising
Other Corporate Eliminations Consolidated
(in thousands)
Three Months Ended June 30, 2020
Revenue $ 141,823  $ (87,019) $ 18,372  $ 805  $ —  $ 103  $ 74,084 
Direct operating expenses 182,217  8,051  4,186  —  —  103  194,557 
Selling, general and administrative expenses 174,554  127,811  17,783  3,204  —  —  323,352 
Depreciation and amortization 64,342  44,313  7,620  4,385  2,107  —  122,767