The Company operates under the following four operating segments: RE/MAX Franchising, Motto Franchising, Marketing Funds and booj. Due to quantitative insignificance, the booj operating segment does not meet the criteria of a reportable segment and is included in “Other”. Motto Franchising does not meet the quantitative significance test; however, management has chosen to report results for the segment as it believes it will be a key driver of future success for Holdings. Management evaluates the operating results of its segments based upon revenue and adjusted earnings before interest, the provision for income taxes, depreciation and amortization and other non-cash and non-recurring cash charges or other items (“Adjusted EBITDA”). The Company’s presentation of Adjusted EBITDA may not be comparable to similar measures used by other companies. Except for the adjustments identified below in arriving at Adjusted EBITDA, the accounting policies of the reportable segments are the same as those described in Note 2, Summary of Significant Accounting Policies.

The following table presents revenue from external customers by segment (in thousands):

*Amounts in the years ended December 31, 2018 and 2017 have been recast to show Motto separately.

The following table presents a reconciliation of Adjusted EBITDA by segment to income before provision for income taxes (in thousands):

*Amounts in the years ended December 31, 2018 and 2017 have been recast to show Motto separately.

(a)	Represents gain (loss) on the sale or disposition of assets as well as the gains (losses) on the sublease of a portion of our corporate headquarters office building.

(b)	Acquisition-related expense includes legal, accounting, advisory and consulting fees incurred in connection with the acquisition and integration of acquired companies.

(c)	Gain on reduction in tax receivable agreement liability is a result of the Tax Cuts and Jobs Act enacted in December 2017 and further clarified in 2018. See Note 12, Income Taxes for additional information.

(d)	Special Committee investigation and remediation expense relates to costs incurred in relation to the previously disclosed investigation by the special committee of independent directors of actions of certain members of our senior management and the implementation of the remediation plan.

(e)	Fair value adjustments to contingent consideration include amounts recognized for changes in the estimated fair value of the contingent consideration liability. See Note 11, Fair Value Measurements for additional information.

The following table presents total assets of the Company’s segments (in thousands):


	As of December 31,
	2019		2018*
RE/MAX Franchising	$	479,370	$	406,643
Marketing Funds		41,090		—
Motto Franchising		20,161		21,346
Other		1,731		384
Total assets	$	542,352	$	428,373

*Amounts as of December 31, 2018 have been recast to show Motto separately.

The following table presents long-lived assets, net of accumulated depreciation disaggregated by geographical area (in thousands):


	As of December 31,
	2019		2018
U.S.	$	5,406	$	4,342
Global		38		48
Total long-lived assets	$	5,444	$	4,390