Segment Data

In accordance with the Segment Reporting Topic of the FASB ASC, the Company reports three business segments – Nurse and Allied Staffing, Physician Staffing, and Other Human Capital Management Services. The Company manages and segments its business based on the services it offers to its customers as described below:

•

Nurse and Allied Staffing - Nurse and Allied Staffing provides traditional staffing, recruiting, and value-added workforce solutions including: temporary and permanent placement of travel and local branch-based nurse and allied professionals, MSP services, education healthcare services, and outsourcing services. Its clients include: public and private acute care and non-acute care hospitals, government facilities, public schools and charter schools, outpatient clinics, ambulatory care facilities, physician practice groups, retailers, and many other healthcare providers throughout the U.S. The results of the Mediscan acquisition have been aggregated with the Company's Nurse and Allied Staffing business segment. See Note 3 - Acquisitions.

•

Physician Staffing - Physician Staffing provides physicians in many specialties, certified registered nurse anesthetists (CRNAs), nurse practitioners (NPs), and physician assistants (PAs) as independent contractors on temporary assignments throughout the U.S. at various healthcare facilities, such as acute and non-acute care facilities, medical group practices, government facilities, and managed care organizations.


•	Other Human Capital Management Services - Subsequent to the sale of CCE on August 31, 2015, Other Human Capital Management Services includes retained and contingent search services for physicians, healthcare executives and other healthcare professionals within the U.S.

The Company’s management evaluates performance of each segment primarily based on revenue and contribution income. The Company defines contribution income as income or loss from operations before depreciation, amortization, loss on sale of business, acquisition and integration costs, acquisition-related contingent consideration, restructuring costs, impairment charges and corporate expenses not specifically identified to a reporting segment. Contribution income is a financial measure used by management when assessing segment performance and is provided in accordance with the Segment Reporting Topic of the FASB ASC. The Company’s management does not evaluate, manage or measure performance of segments using asset information; accordingly, total asset information by segment is not prepared or disclosed. The information in the following table is derived from the segments’ internal financial information as used for corporate management purposes. Certain corporate expenses are not allocated to and/or among the operating segments.

Information on operating segments and a reconciliation to income (loss) from operations for the periods indicated are as follows:



	Year Ended December 31,
	2016			2015		2014
	(amounts in thousands)
Revenue from services:
Nurse and Allied Staffing (a)	$	721,486		$	621,258	$	459,195
Physician Staffing	98,283			115,336		121,145
Other Human Capital Management Services	13,768			30,827		37,485
	$	833,537		$	767,421	$	617,825
Contribution income (loss):
Nurse and Allied Staffing (a)	$	71,992		$	55,718	$	36,486
Physician Staffing	8,265			10,213		6,540
Other Human Capital Management Services	(535		)	1,863		514
	79,722			67,794		43,540

Unallocated corporate overhead (a)	38,400			32,703		27,770
Depreciation	4,168			3,856		3,866
Amortization	5,014			4,210		3,575
Loss on sale of business (b)	—			2,184		—
Acquisition and integration costs	78			902		7,957
Acquisition-related contingent consideration	814			—		—
Restructuring costs	753			1,274		840
Impairment charges (c)	24,311			2,100		10,000
Income (loss) from operations	$	6,184		$	20,565	$	(10,468	)

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(a)

The Company has been centralizing administrative functions to gain efficiencies and, as a result, certain prior periods have been restated for comparability purposes. For the year ended December 31, 2015, $1.2 million of expenses were reclassified from Nurse and Allied Staffing to unallocated corporate overhead to conform to the current period presentation. It was not practicable to reclassify these amounts for the year ended December 31, 2014.


(b)	On August 31, 2015, the Company completed the sale of CCE, and recognized a pre-tax loss of $2.2 million related to the divestiture of the business. See Note 4 - Disposal and Discontinued Operations.


(c)	During the years ended December 31, 2016, 2015, and 2014, the Company recorded impairment charges of $24.3 million, $2.1 million, and $10.0 million, respectively. See Note 5 - Goodwill, Trade Names, and Other Intangible Assets.