Variable Interest Entities and Joint Ventures

3 Months Ended

Mar. 31, 2016

Variable Interest Entities [Abstract]

Variable Interest Entities and Joint Ventures

The Company consolidates variable interest entities (“VIEs”) and certain joint ventures ("JVs") because it has the power to direct the activities that significantly affect the VIEs' and JVs' economic performance, including having operational control over each VIE and JV and operating the VIEs under the XPO brand. The VIEs and JVs provide logistics services for their customers. Investors in these entities only have recourse to the assets owned by the entity and not to the Company’s general credit. The Company does not have implicit support arrangements with any VIE. Assets and liabilities of consolidated VIEs and JVs is outlined in the table below.



(Dollars in millions)	March 31, 2016		December 31, 2015
Assets
Cash and cash equivalents	$	14.6	$	14.3
Accounts receivable, net of allowance	60.4		54.7
Other current assets	4.8		3.8
Property and equipment, net of accumulated depreciation	3.7		4.8
Other long-term assets	5.3		3.0
Total	$	88.8	$	80.6

Liabilities
Accounts payable	$	45.4	$	44.9
Accrued expenses, other	10.8		8.1
Other current liabilities	9.4		8.9
Other long-term liabilities	10.4		5.2
Total	$	76.0	$	67.1

Total revenue from the Company’s consolidated VIEs and JVs was $74.1 million in the three-month period ended March 31, 2016. Related expenses for the Company’s consolidated VIEs and JVs consisted of operating expenses of $72.0 million in the three-month period ended March 31, 2016, and tax expense of $0.5 million in the three-month period ended March 31, 2016. The Company did not have any VIEs or JVs prior to its June 2015 acquisition of ND.