SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2020

We manage our business based on three geographical segments: Americas (North and South America), EMEA (Europe, Middle East and Africa) and APAC (Asia Pacific). Our segments provide a broad portfolio of essential healthcare products, including acute and chronic dialysis therapies; sterile IV solutions; infusion systems and devices; parenteral nutrition therapies; inhaled anesthetics; generic injectable pharmaceuticals; and surgical hemostat and sealant products.

We use operating income on a segment basis to make resource allocation decisions and assess the ongoing performance of our business segments. Intersegment sales are eliminated in consolidation.

Certain items are maintained at Corporate and are not allocated to a segment. They primarily include the majority of foreign currency hedging activities, corporate headquarters costs, certain R&D costs, certain GBU support costs, stock compensation expense, certain employee benefit plan costs, and certain gains, losses, and other charges (such as business optimization, acquisition and integration costs, intangible asset amortization and asset impairments). Our chief operating decision maker does not receive any asset information by operating segment and, accordingly, we do not report asset information by operating segment.

Financial information for our segments is as follows.


	Three months ended March 31,
			As Restated
(in millions)	2020		2019
Net sales:
Americas	$	1,499	$	1,409
EMEA	754		707
APAC	549		522
Total net sales	$	2,802	$	2,638
Operating income:
Americas	$	544	$	538
EMEA	161		144
APAC	128		120
Total segment operating income	$	833	$	802

The following is a reconciliation of segment operating income to income before income taxes per the condensed consolidated statements of income.


	Three months ended March 31,
			As Restated
(in millions)	2020		2019
Total segment operating income	$	833	$	802
Corporate and other	(424)		(419)
Total operating income	409		383
Net interest expense	21		18
Other (income) expense, net	10		(21)
Income before income taxes	$	378	$	386

Refer to Note 10 for additional information on Net Sales by GBU.