$ 1,066     $   724  47  %

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Cable Networks

Operating income at Cable Networks increased $227 million to $771 million for the quarter due to growth at ESPN and the Disney Channels and higher equity income. The increase at ESPN reflected higher advertising and affiliate revenue, partially offset by higher programming costs. Advertising revenue growth was primarily due to higher rates and sold inventory while higher affiliate revenue was due to contractual rate increases. Higher programming and production costs were driven by the addition of college football Bowl Championship Series games, including a shift of the Rose Bowl from the ABC Television Network, and contractual increases for NFL programming. Higher operating income at the Disney Channels was due to increased affiliate and advertising revenue. Affiliate revenue growth reflected contractual rate increases domestically and subscriber growth internationally. Higher advertising revenue was driven by improved rates internationally. Increased equity income reflected higher affiliate and advertising revenue and lower programming and restructuring costs at A&E/Lifetime.

Broadcasting

Operating income at Broadcasting increased $115 million to $295 million driven by higher advertising revenue at the owned television stations, lower sports programming costs at the ABC Television Network due to the shift of the Rose Bowl to ESPN, lower news and daytime production costs and higher net affiliate fees. Advertising revenues at the ABC Television Network decreased slightly as the impact of lower ratings and the shift of the Rose Bowl to ESPN were largely offset by higher advertising rates.

Parks and Resorts

Parks and Resorts revenues for the quarter increased 8% to $2.9 billion and segment operating income increased 25% to $468 million. Results for the quarter reflected increases at our domestic and international parks and resorts, partially offset by a decrease at Disney Cruise Line.

Higher operating income at our domestic parks and resorts was driven by increased guest spending, attendance, and hotel occupancy partially offset by increased costs. The guest spending increase was primarily due to higher average ticket prices and increased food and beverage and merchandise spending. Increased costs reflected labor cost inflation and higher pension and healthcare costs.

Results at our international parks and resorts reflected increased guest spending, hotel occupancy and attendance. Increased guest spending was driven by higher food and beverage spending and average daily hotel room rates.

The decrease at Disney Cruise Line was driven by increased operating costs in connection with the January launch of the Disney Dream and the impact of scheduled dry-dock maintenance.

Studio Entertainment

Studio Entertainment revenues for the quarter were essentially flat at $1.9 billion and segment operating income increased 54% to $375 million. Higher operating income was primarily due to an increase in worldwide home entertainment and lower film cost write-downs.

The increase in worldwide home entertainment was primarily due to lower distribution and marketing expenses resulting from cost reduction initiatives and higher unit sales in international markets. The increase in unit sales reflected the strong performance of Toy Story 3 in the current quarter compared to Up in the prior-year quarter which had been released in fewer international markets.

Consumer Products

Consumer Products revenues for the quarter increased 24% to $922 million and segment operating income increased 28% to $312 million.