Note

-Seg

ent Reporting

The Company operates through strategic business units that are aggregated into

three

reportable segments: Consumer receivables, personal injury claims and social security disability advocacy. The

three

reportable segments consist of the following:

•

Consumer

eceivables -

This segment is engaged in the business of purchasing, managing for its own account and servicing distressed consumer receivables, including judgment receivables, charged off receivables and semi-performing receivables. Judgment receivables are accounts where outside attorneys have secured judgments directly against the consumer. Primary charged-off receivables are accounts that have been written-off by the originators and

may

have been previously serviced by collection agencies. Semi-performing receivables are accounts where the debtor is currently making partial or irregular monthly payments, but the accounts

may

have been written-off by the originators. Distressed consumer receivables are the unpaid debts of individuals to banks, finance companies and other credit providers. A large portion of our distressed consumer receivables are MasterCard ®, Visa ® and other credit card accounts which were charged-off by the issuers or providers for non-payment. We acquire these and other consumer receivable portfolios at substantial discounts to their face values. The discounts are based on the characteristics (issuer, account size, debtor location and age of debt) of the underlying accounts of each portfolio. Recently, the Company's efforts have been in the international areas (mainly South America), as we have curtailed our active purchasing of consumer receivables in the United States. The Company holds consumers receivable acquired for liquidation in both Colombia and Peru of approximately

$1.2

million. The business conducts its activities primarily under the name Palisades Collection, LLC.

•

Personal

njury

laims

- This segment is comprised of purchased interests in personal injury claims from claimants who are a party in personal injury litigation or claims. The Company advances to each claimant funds on a non-recourse basis at an agreed upon interest rate, in anticipation of a future settlement. The interest in each claim purchased consists of the right to receive, from such claimant, part of the proceeds or recoveries which such claimant receives by reason of a settlement, judgment or award with respect to such claimant’s claim. The Company historically funded personal injury claims in Simia and Sylvave. The Company formed a new wholly owned subsidiary, Arthur Funding, on

March 16, 2018

to continue in the personal injury claims funding business. Arthur Funding began funding advances on personal injury claims in

May 2019.

Arthur Funding, Simia and Sylvave conduct its businesses solely in the United States and obtains business from external brokers and internal sales professionals soliciting attorneys and law firms who represent claimants who have personal injury claims. Business is also obtained from its website and through attorneys. Simia and Sylvave are

not

funding any new advances, but continue to collect on outstanding personal injury claim advances in the ordinary course.

•

Social Security

enefit

dvocacy -

GAR Disability and Five Star are advocacy groups representing individuals throughout the United States in their claims for social security disability and supplemental security income benefits from the Social Security and Veterans Administration.

Certain non-allocated administrative costs, interest income and various other non-operating income and expenses are reflected in Corporate. Corporate assets include cash and cash equivalents, investments in equity securities and available-for-sale debt securities, a note receivable, property and equipment, goodwill, deferred taxes and other assets.

The following table shows results by reporting segment for the

three

months ended

December 31, 2019

and

2018:

(Dollars in millions)	Consumer Receivables		Social Security Disability Advocacy		Personal Injury Claims		Corporate ( 2 )			Total

Three Months Ended December 31,
2019:
Revenues	$	3.1	$	0.8	$	0.4	$	–		$	4.3
Other income		–		–		–		0.3			0.3
Segment profit (loss)		2.9		–		0.6		(2.1	)		1.4
Segment Assets (1)		7.2		1.0		4.8		79.5			92.5
2018:
Revenues	$	3.5	$	1.3	$	0.7	$	–		$	5.5
Other income		0.1		–		–		0.1			0.2
Segment profit (loss)		2.9		0.4		0.5		(2.1	)		1.7
Segment Assets (1)		12.0		1.4		10.1		62.6			86.1

The Company does

not

have any intersegment revenue transactions.

( 1 )	Includes other amounts in other line items on the condensed consolidated balance sheet.
( 2 )	Corporate is not part of the three reportable segments, as certain expenses and assets are not earmarked to any specific operating segment.