Segment Information

9 Months Ended

Sep. 30, 2014

Segment Reporting Information [Line Items]

Schedule of Segment Reporting Information, by Segment [Table Text Block]

The following table presents information about the Company’s segments for the three and nine months ended September 30, 2014 and 2013:

(in millions)	Corporate			Public			Other			Headquarters			Total
Three Months Ended September 30, 2014:
Net sales	$	1,622.7		$	1,468.8		$	174.6		$	—		$	3,266.1
Income (loss) from operations	103.2			101.3			8.5			(28.3		)	184.7
Depreciation and amortization expense	(24.1		)	(10.9		)	(2.2		)	(14.6		)	(51.8		)
Three Months Ended September 30, 2013:
Net sales	$	1,465.8		$	1,244.6		$	153.9		$	—		$	2,864.3
Income (loss) from operations	63.2			71.1			3.7			(45.1		)	92.9
Depreciation and amortization expense	(24.3		)	(11.0		)	(2.1		)	(14.6		)	(52.0		)

(in millions)	Corporate			Public			Other			Headquarters			Total
Nine Months Ended September 30, 2014:
Net Sales	$	4,784.5		$	3,710.3		$	529.6		$	—		$	9,024.4
Income (loss) from operations	323.9			244.1			22.7			(82.0		)	508.7
Depreciation and amortization expense	(72.3		)	(32.8		)	(6.5		)	(44.3		)	(155.9		)
Nine Months Ended September 30, 2013:
Net sales	$	4,407.1		$	3,174.0		$	474.2		$	—		$	8,055.3
Income (loss) from operations	260.5			185.8			18.6			(98.3		)	366.6
Depreciation and amortization expense	(73.1		)	(33.1		)	(6.6		)	(43.5		)	(156.3		)

Segment Information

Segment Information

Segment information is presented in accordance with a “management approach,” which designates the internal reporting used by the chief operating decision-maker for making decisions and assessing performance as the source of the Company's reportable segments. The Company's segments are organized in a manner consistent with which separate financial information is available and evaluated regularly by the chief operating decision-maker in deciding how to allocate resources and in assessing performance.

The Company has two reportable segments: Corporate, which is comprised primarily of private sector business customers, and Public, which is comprised of government agencies and education and healthcare institutions. The Company also has two other operating segments, CDW Advanced Services and Canada, which do not meet the reportable segment quantitative thresholds and, accordingly, are combined together as “Other.”

The Company has centralized logistics and headquarters functions that provide services to the segments. The logistics function includes purchasing, distribution and fulfillment services to support both the Corporate and Public segments. As a result, costs and intercompany charges associated with the logistics function are fully allocated to both of these segments based on a percent of sales. The centralized headquarters function provides services in areas such as accounting, information technology, marketing, legal and coworker services. Headquarters' function costs that are not allocated to the segments are included under the heading of “Headquarters” in the tables below. Depreciation expense is included in Headquarters as it is not allocated among segments or used in measuring segment performance.

The Company allocates resources to and evaluates performance of its segments based on net sales, income (loss) from operations and Adjusted EBITDA, a non-GAAP measure as defined in the Company's credit agreements. However, the Company has concluded that income (loss) from operations is the more useful measure in terms of discussion of operating results, as it is a GAAP measure.

Segment information for total assets and capital expenditures is not presented as such information is not used in measuring segment performance or allocating resources between segments.

Selected Segment Financial Information

The following table presents information about the Company’s segments for the three and nine months ended September 30, 2014 and 2013:

(in millions)	Corporate			Public			Other			Headquarters			Total
Three Months Ended September 30, 2014:
Net sales	$	1,622.7		$	1,468.8		$	174.6		$	—		$	3,266.1
Income (loss) from operations	103.2			101.3			8.5			(28.3		)	184.7
Depreciation and amortization expense	(24.1		)	(10.9		)	(2.2		)	(14.6		)	(51.8		)
Three Months Ended September 30, 2013:
Net sales	$	1,465.8		$	1,244.6		$	153.9		$	—		$	2,864.3
Income (loss) from operations	63.2			71.1			3.7			(45.1		)	92.9
Depreciation and amortization expense	(24.3		)	(11.0		)	(2.1		)	(14.6		)	(52.0		)

(in millions)	Corporate			Public			Other			Headquarters			Total
Nine Months Ended September 30, 2014:
Net Sales	$	4,784.5		$	3,710.3		$	529.6		$	—		$	9,024.4
Income (loss) from operations	323.9			244.1			22.7			(82.0		)	508.7
Depreciation and amortization expense	(72.3		)	(32.8		)	(6.5		)	(44.3		)	(155.9		)
Nine Months Ended September 30, 2013:
Net sales	$	4,407.1		$	3,174.0		$	474.2		$	—		$	8,055.3
Income (loss) from operations	260.5			185.8			18.6			(98.3		)	366.6
Depreciation and amortization expense	(73.1		)	(33.1		)	(6.6		)	(43.5		)	(156.3		)