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Segments
 9 Months Ended
Sep. 30, 2014
Segment Reporting [Abstract]  
Segments

13. Segments

The Company aligns its operating segments in order to conform to management’s internal reporting structure, which is reflective of service offerings by industry. Management aggregates such operating segments into two reporting segments: what consumers buy (“Buy”), consisting principally of market research information and analytical services; and what consumers watch (“Watch”), consisting principally of television, radio, online and mobile audience and advertising measurement and corresponding analytics. The Company’s condensed consolidated statements of operations reflect the Expositions reporting segment as a discontinued operation.

Corporate consists principally of unallocated items such as certain facilities and infrastructure costs as well as intersegment eliminations. Certain corporate costs, other than those described above, including those related to selling, finance, legal, human resources, and information technology systems, are considered operating costs and are allocated to the Company’s segments based on either the actual amount of costs incurred or on a basis consistent with the operations of the underlying segment. Information with respect to the operations of each of Nielsen’s business segments is set forth below based on the nature of the services offered and geographic areas of operations.

Business Segment Information

 

(IN MILLIONS)

 

Buy

 

 

Watch

 

 

Corporate

 

 

Total

 

Three Months Ended September 30, 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

878

 

 

$

694

 

 

—

 

 

$

1,572

 

Depreciation and amortization

 

$

55

 

 

$

83

 

 

$

1

 

 

$

139

 

Restructuring charges

 

$

4

 

 

$

1

 

 

$

1

 

 

$

6

 

Stock-based compensation expense

 

$

3

 

 

$

2

 

 

$

7

 

 

$

12

 

Other items(1)

 

$

—

 

 

$

5

 

 

$

4

 

 

$

9

 

Operating income/(loss)

 

$

109

 

 

$

226

 

 

$

(24

)

 

$

311

 

Business segment income/(loss)(2)

 

$

171

 

 

$

317

 

 

$

(11

)

 

$

477

 

Total assets as of September 30, 2014

 

$

6,882

 

 

$

8,208

 

 

$

271

 

 

$

15,361

 

 

(IN MILLIONS)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended September 30, 2013

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

848

 

 

$

539

 

 

$

—

 

 

$

1,387

 

Depreciation and amortization

 

$

49

 

 

$

66

 

 

$

2

 

 

$

117

 

Restructuring charges

 

$

10

 

 

$

7

 

 

$

3

 

 

$

20

 

Stock-based compensation expense

 

$

3

 

 

$

3

 

 

$

5

 

 

$

11

 

Other items(1)

 

$

—

 

 

—

 

 

$

7

 

 

$

7

 

Operating income/(loss)

 

$

107

 

 

$

163

 

 

$

(27

)

 

$

243

 

Business segment income/(loss)(2)

 

$

169

 

 

$

239

 

 

$

(10

)

 

$

398

 

Total assets as of December 31, 2013

 

$

6,768

 

 

$

8,326

 

 

$

436

 

 

$

15,530

 

    

 

(IN MILLIONS)

 

Buy

 

 

Watch

 

 

Corporate

 

 

Total

 

Nine Months Ended September 30, 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

2,615

 

 

$

2,040

 

 

—

 

 

$

4,655

 

Depreciation and amortization

 

$

166

 

 

$

256

 

 

$

3

 

 

$

425

 

Restructuring charges

 

$

26

 

 

$

11

 

 

$

6

 

 

$

43

 

Stock-based compensation expense

 

$

12

 

 

$

8

 

 

$

16

 

 

$

36

 

Other items (1)

 

$

—

 

 

$

8

 

 

$

20

 

 

$

28

 

Operating income/(loss)

 

$

252

 

 

$

602

 

 

$

(73

)

 

$

781

 

Business segment income/(loss) (2)

 

$

456

 

 

$

885

 

 

$

(28

)

 

$

1,313

 

 

(IN MILLIONS)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30, 2013

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

2,503

 

 

$

1,589

 

 

$

—

 

 

$

4,092

 

Depreciation and amortization

 

$

149

 

 

$

209

 

 

$

6

 

 

$

364

 

Restructuring charges

 

$

27

 

 

$

19

 

 

$

17

 

 

$

63

 

Stock-based compensation expense

 

$

10

 

 

$

7

 

 

$

15

 

 

$

32

 

Other items (1)

 

$

5

 

 

$

—

 

 

$

22

 

 

$

27

 

Operating income/(loss)

 

$

268

 

 

$

441

 

 

$

(86

)

 

$

623

 

Business segment income/(loss) (2)

 

$

459

 

 

$

676

 

 

$

(26

)

 

$

1,109

 

 

(1)

Other items primarily consist of transaction-related costs for the three months ended September 30, 2014 and 2013. Other items primarily consist of transaction-related costs for the nine months ended September 30, 2014. Other items for the nine months ended September 30, 2013, primarily consist of transaction-related costs of approximately $23 million and a $4 million write down of uninsured deposits in Cyprus.

(2)

The Company’s chief operating decision making group uses business segment income/(loss) to measure performance from period to period both at the consolidated level as well as within its operating segments.