Note 25. Segments and Geographic Information

The Company operates within two regions, the Americas and EMEA. Each region represents a reportable segment comprised of aggregated regional operating segments, which portray similar economic characteristics. The Company aligns its business into two segments to effectively manage the business and support the customer care needs of every client and to respond to the demands of the Company’s global customers.

The reportable segments consist of (1) the Americas, which includes the United States, Canada, Latin America, Australia and the Asia Pacific Rim, and provides outsourced customer contact management solutions (with an emphasis on technical support and customer service) and technical staffing and (2) EMEA, which includes Europe, the Middle East and Africa, and provides outsourced customer contact management solutions (with an emphasis on technical support and customer service) and fulfillment services. The sites within Latin America, Australia and the Asia Pacific Rim are included in the Americas segment given the nature of the business and client profile, which is primarily made up of U.S.-based companies that are using the Company’s services in these locations to support their customer contact management needs.

Information about the Company’s reportable segments was as follows (in thousands):


	Americas			EMEA			Other ⁽¹⁾			Consolidated
Year Ended December 31, 2015:
Revenues	$	1,045,415		$	240,826		$	99		$	1,286,340
Percentage of revenues		81.3	%		18.7	%		0.0	%		100.0	%
Depreciation, net	$	37,842		$	4,559		$	1,351		$	43,752
Amortization of intangibles	$	13,648		$	522		$	—		$	14,170
Income (loss) from operations	$	135,443		$	15,336		$	(56,515	)	$	94,264
Other (expense), net								(4,281	)		(4,281	)
Income taxes								(21,386	)		(21,386	)

Net income										$	68,597

Total assets as of December 31, 2015	$	1,058,467		$	1,419,578		$	(1,530,273	)	$	947,772


Year Ended December 31, 2014:
Revenues	$	1,070,824		$	256,699		$	—		$	1,327,523
Percentage of revenues		80.7	%		19.3	%		0.0	%		100.0	%
Depreciation, net	$	40,557		$	4,806		$	—		$	45,363
Amortization of intangibles	$	14,396		$	—		$	—		$	14,396
Income (loss) from operations	$	113,549		$	16,208		$	(50,202	)	$	79,555
Other (expense), net								(2,396	)		(2,396	)
Income taxes								(19,368	)		(19,368	)

Net income										$	57,791

Total assets as of December 31, 2014	$	1,080,010		$	1,373,590		$	(1,509,100	)	$	944,500


Year Ended December 31, 2013:
Revenues	$	1,050,813		$	212,647		$	—		$	1,263,460
Percentage of revenues		83.2	%		16.8	%		0.0	%		100.0	%
Depreciation, net	$	37,818		$	4,266		$	—		$	42,084
Amortization of intangibles	$	14,863		$	—		$	—		$	14,863
Income (loss) from operations	$	94,006		$	6,052		$	(46,531	)	$	53,527
Other (expense), net								(2,202	)		(2,202	)
Income taxes								(14,065	)		(14,065	)

Net income										$	37,260

Total assets as of December 31, 2013	$	1,097,788		$	1,409,185		$	(1,556,712	)	$	950,261

⁽¹⁾

Other items (including corporate and other costs, impairment costs, other income and expense, and income taxes) are shown for purposes of reconciling to the Company’s consolidated totals as shown in the tables above for the years ended December 31, 2015, 2014 and 2013. Inter-segment revenues are not material to the Americas and EMEA segment results. The Company evaluates the performance of its geographic segments based on revenues and income (loss) from operations, and does not include segment assets or other income and expense items for management reporting purposes.

Total revenues by segment from AT&T Corporation (“AT&T”), a major provider of communication services for which the Company provides various customer support services over several distinct lines of AT&T businesses, were as follows (in thousands):


	Years Ended December 31,
	2015					2014					2013
	Amount		% of Revenues			Amount		% of Revenues			Amount		% of Revenues
Americas	$	217,449		20.8	%	$	212,607		19.9	%	$	162,888		15.5	%
EMEA		3,003		1.2	%		3,519		1.4	%		3,513		1.7	%

	$	220,452		17.1	%	$	216,126		16.3	%	$	166,401		13.2	%

The Company has multiple distinct contracts with AT&T spread across multiple lines of businesses, which expire at varying dates between 2016 and 2017. The Company has historically renewed most of these contracts. However, there is no assurance that these contracts will be renewed, or if renewed, will be on terms as favorable as the existing contracts. Each line of business is governed by separate business terms, conditions and metrics. Each line of business also has a separate decision maker such that a loss of one line of business would not necessarily impact the Company’s relationship with the client and decision makers on other lines of business. The loss of (or the failure to retain a significant amount of business with) any of the Company’s key clients, including AT&T, could have a material adverse effect on its performance. Many of the Company’s contracts contain penalty provisions for failure to meet minimum service levels and are cancelable by the client at any time or on short notice. Also, clients may unilaterally reduce their use of the Company’s services under the contracts without penalty.

Total revenues by segment from the Company’s next largest client, which was in the financial services vertical in each of the years, were as follows (in thousands):


	Years Ended December 31,
	2015					2014					2013
	Amount		% of Revenues			Amount		% of Revenues			Amount		% of Revenues
Americas	$	62,980		6.0	%	$	70,255		6.6	%	$	73,226		7.0	%
EMEA		—		0.0	%		—		0.0	%		—		0.0	%

	$	62,980		4.9	%	$	70,255		5.3	%	$	73,226		5.8	%

Other than AT&T, total revenues by segment of the Company’s clients that each individually represents 10% or greater of that segment’s revenues in each of the periods were as follows (in thousands):


	Years Ended December 31,
	2015					2014					2013
	Amount		% of Revenues			Amount		% of Revenues			Amount		% of Revenues
Americas	$	—		0.0	%	$	—		0.0	%	$	—		0.0	%
EMEA		68,720		28.5	%		79,811		31.1	%		55,123		25.9	%

	$	68,720		5.3	%	$	79,811		6.0	%	$	55,123		4.4	%

The Company’s top ten clients accounted for approximately 48.5%, 46.8% and 45.9% of its consolidated revenues during the years ended December 31, 2015, 2014 and 2013, respectively.

Information about the Company’s revenues by geographic location was as follows (in thousands):


	Years Ended December 31,
	2015		2014		2013
Revenues: ⁽¹⁾
United States	$	422,584	$	425,746	$	388,775
The Philippines		216,170		205,332		213,132
Canada		133,549		195,739		210,463
Costa Rica		114,483		97,295		101,888
El Salvador		63,462		52,609		46,301
China		36,270		32,167		25,478
Australia		23,960		33,126		36,725
Mexico		18,338		20,439		23,701
Colombia		7,381		3,073		—
Brazil		5,442		3,005		3,288
India		3,776		2,293		1,062

Total Americas		1,045,415		1,070,824		1,050,813

Germany		82,120		88,887		77,950
Sweden		56,600		68,057		49,953
United Kingdom		50,209		42,328		33,750
Romania		15,474		18,288		14,856
Hungary		9,164		8,723		8,525
Norway		8,382		10,265		6,768
Finland		4,643		4,295		4,936
Denmark		3,898		4,578		4,739
Netherlands		3,783		3,126		3,073
Egypt		3,552		4,633		4,810
Slovakia		3,001		3,519		3,287

Total EMEA		240,826		256,699		212,647

Total Other		99		—		—

	$	1,286,340	$	1,327,523	$	1,263,460

⁽¹⁾	Revenues are attributed to countries based on location of customer, except for revenues for Costa Rica, The Philippines, China and India which are primarily comprised of customers located in the U.S., but serviced by centers in those respective geographic locations.

Information about the Company’s long-lived assets by geographic location was as follows (in thousands):


	December 31,
	2015		2014
Long-Lived Assets: ⁽¹⁾
United States	$	93,941	$	108,030
The Philippines		10,844		14,656
Canada		10,278		16,257
Costa Rica		7,382		5,625
El Salvador		3,329		3,298
China		3,523		4,417
Australia		2,396		2,923
Mexico		1,307		1,575
Colombia		1,299		1,514
Brazil		1,047		844
India		301		223

Total Americas		135,647		159,362

Germany		1,973		2,310
Sweden		1,681		2,478
United Kingdom		3,652		3,871
Romania		678		682
Hungary		536		442
Norway		278		490
Finland		226		92
Denmark		81		95
Netherlands		7,243		9
Egypt		105		172
Slovakia		—		497

Total EMEA		16,453		11,138

Total Other		10,758		—

	$	162,858	$	170,500

⁽¹⁾	Long-lived assets include property and equipment, net, and intangibles, net.

Goodwill by segment was as follows (in thousands):


	December 31,
	2015		2014
Americas	$	186,049	$	193,831
EMEA		9,684		—

	$	195,733	$	193,831

Revenues for the Company’s products and services were as follows (in thousands):


	Years Ended December 31,
	2015		2014		2013
Outsourced customer contract management services	$	1,261,465	$	1,303,607	$	1,240,328
Fulfillment services		21,434		18,392		16,953
Enterprise support services		3,441		5,524		6,179

	$	1,286,340	$	1,327,523	$	1,263,460