Segment Information

6 Months Ended

Jun. 30, 2020

Since the Take-Private Transaction, management has made changes to transform our business. As a result, during the fourth quarter of 2019, we changed the composition of our reportable segments, the classification of revenue by solution set and our measure of segment profit (from operating income to adjusted EBITDA) in the information that we provide to our CODMs to better align with how they assess performance and allocate resources. Latin America Worldwide Network, which was previously included in the Americas reportable segment, is currently included in the International segment. Accordingly, prior period results have been recast to conform to the current presentation of segments, revenue by solution set, and the measure of segment profit. These changes do not impact our consolidated results.

Our segment disclosure is intended to provide the users of our consolidated financial statements with a view of the business that is consistent with management of the Company.

We manage our business and report our financial results through the following two segments:

•North America offers Finance & Risk and Sales & Marketing data, analytics and business insights in the United States and Canada; and

•International offers Finance & Risk and Sales & Marketing data, analytics and business insights directly in the U.K., Greater China, India and indirectly through our Worldwide Network Alliances.

We define adjusted EBITDA as net income (loss) attributable to Dun & Bradstreet Holdings, Inc. (Successor)/The Dun & Bradstreet Corporation (Predecessor) excluding the following items: (i) depreciation and amortization; (ii) interest expense and income; (iii) income tax benefit or provision; (iv) other expenses or income; (v) equity in net income of affiliates; (vi) net income attributable to non-controlling interests; (vii) dividends allocated to preferred stockholders; (viii) revenue and expense adjustments to include results for the period from January 8 to February 7, 2019, for the Predecessor related to the International lag adjustment; (ix) other incremental or reduced expenses from the application of purchase accounting (e.g. commission asset amortization); (x) equity-based compensation; (xi) restructuring charges; (xii) merger and acquisition-related operating costs; (xiii) transition costs primarily consisting of non-recurring incentive expenses associated with our synergy program; (xiv) legal reserve and costs associated with significant legal and regulatory matters; and (xv) asset impairment. Our client solution sets are Finance & Risk and Sales & Marketing. Inter-segment sales are immaterial, and no single client accounted for 10% or more of our total revenue.


	Three-Month Period						Six-Month Period

	Successor										Predecessor
	Three Months Ended June 30, 2020		Three Months Ended June 30, 2019		Six Months Ended June 30, 2020		Period from January 1 to June 30, 2019		Period from January 1 to February 7, 2019
Revenue:
North America	$	354.3	$	360.9	$	695.8	$	542.1	$	148.2
International	68.4		76.0		139.6		91.0		56.4
Corporate and other (1)	(2.1)		(38.0)		(19.5)		(60.1)		(25.9)
Consolidated Total	$	420.6	$	398.9	$	815.9	$	573.0	$	178.7

(1)Revenue for Corporate and Other represents deferred revenue purchase accounting adjustments recorded in accordance with GAAP related to the Take-Private Transaction included in each of the Successor periods and recent acquisitions for the three and six months ended June 30, 2020 (Successor), and the International lag adjustment (see Note 1) included in the period from January 1 to February 7, 2019 (Predecessor).


	Three-Month Period						Six-Month Period

	Successor										Predecessor
	Three Months Ended June 30, 2020		Three Months Ended June 30, 2019		Six Months Ended June 30, 2020		Period from January 1 to June 30, 2019		Period from January 1 to February 7, 2019
Adjusted EBITDA
North America	$	170.1	$	175.1	$	313.9	$	246.6	$	55.3
International	20.2		27.5		43.4		30.3		20.3
Corporate and other (1)	(14.2)		(54.1)		(47.8)		(87.8)		(9.3)
Consolidated total	$	176.1	$	148.5	$	309.5	$	189.1	$	66.3
Depreciation and amortization	(132.6)		(136.8)		(266.9)		(217.3)		(11.1)
Interest expense - net	(77.8)		(85.4)		(160.5)		(133.4)		(5.2)
Dividends allocated to preferred stockholders	(32.1)		(32.0)		(64.1)		(49.9)		—
Benefit for income taxes - net	27.5		23.1		101.8		60.1		27.5
Other income (expense) - net	(122.7)		8.1		(32.7)		12.3		(86.0)
Equity in net income of affiliates	0.6		2.8		1.2		2.9		0.5
Net income (loss) attributable to non-controlling interest	(1.2)		(1.5)		(1.6)		(1.9)		(0.8)
Lag adjustment	—		—		—		—		(2.7)
Other incremental or reduced expenses from the application of purchase accounting	4.9		6.4		9.9		10.5		—
Equity-based compensation	(25.1)		(3.7)		(28.9)		(4.2)		(11.7)
Restructuring charges	(6.8)		(17.4)		(11.3)		(35.9)		(0.1)
Merger and acquisition-related operating costs	(2.0)		(1.2)		(4.4)		(148.6)		(52.0)
Transition costs	(15.7)		(2.5)		(17.3)		(3.5)		(0.3)
Legal reserve associated with significant legal and regulatory matters	—		(0.1)		—		0.2		—
Asset impairment	(0.2)		(2.3)		(0.3)		(2.3)		—
Net income (loss) attributable to Dun & Bradstreet Holdings, Inc. (Successor) / The Dun & Bradstreet Corporation (Predecessor)	$	(207.1)	$	(94.0)	$	(165.6)	$	(321.9)	$	(75.6)

(1)Corporate and Other includes deferred revenue purchase accounting adjustments recorded in accordance with GAAP related to the Take-Private Transaction and recent acquisitions of ($2.1) million and ($19.5) million for the Successor three and six months ended June 30, 2020, respectively, $(38.0) million and $(60.1) million for the three months ended June 30, 2019 (Successor) and the period from January 1, 2019 to June 30, 2019 (Successor), respectively, and the International lag adjustment of $(2.7) million for the period from January 1 to February 7, 2019 (Predecessor).


	Three-Month Period						Six-Month Period

	Successor										Predecessor
	Three Months Ended June 30, 2020		Three Months Ended June 30, 2019		Six Months Ended June 30, 2020		Period from January 1 to June 30, 2019		Period from January 1 to February 7, 2019
Depreciation and amortization:
North America	$	11.1	$	10.0	$	21.7	$	15.1	$	5.8
International	1.9		1.8		3.7		2.4		1.5
Total segments	13.0		11.8		25.4		17.5		7.3
Corporate and other (1)	119.6		125.0		241.5		199.8		3.8
Consolidated total	$	132.6	$	136.8	$	266.9	$	217.3	$	11.1
Capital expenditures:
North America	$	0.8	$	5.2	$	1.3	$	6.1	$	0.2
International	1.6		0.4		1.8		0.4		0.1
Total segments	2.4		5.6		3.1		6.5		0.3
Corporate and Other	0.1		0.2		0.2		0.4		(0.1)
Consolidated total	$	2.5	$	5.8	$	3.3	$	6.9	$	0.2
Additions to computer software and other intangibles:
North America	$	23.4	$	14.1	$	39.8	$	17.8	$	4.3
International	1.6		2.0		2.3		2.2		0.8
Total segments	25.0		16.1		42.1		20.0		5.1
Corporate and Other	3.5		0.6		3.9		0.8		—
Consolidated total	$	28.5	$	16.7	$	46.0	$	20.8	$	5.1

(1) Depreciation and amortization for Corporate and Other includes incremental amortization resulting from the Take-Private Transaction and recent acquisitions.

Supplemental Geographic and Customer Solution Set Information:


	June 30, 2020		December 31, 2019
Assets:
North America (2)	$	8,391.9	$	8,480.1
International (3)	593.2		632.7
Consolidated total	$	8,985.1	$	9,112.8

Goodwill:
North America	$	2,745.3	$	2,734.6
International	102.7		105.5
Consolidated total (4)	$	2,848.0	$	2,840.1
Other intangibles:
North America	$	4,747.0	$	4,953.0
International	275.3		298.4
Consolidated total (5)	$	5,022.3	$	5,251.4
Other long-lived assets:
North America	$	523.4	$	500.9
International	86.8		89.9
Consolidated total (6)	$	610.2	$	590.8
Total long-lived assets	$	8,480.5	$	8,682.3

(2) Total assets in North America at June 30, 2020 decreased by $88.2 million compared to December 31, 2019 primarily driven by a decrease in other intangible assets due to normal amortization, partially offset by an increase in prepaid tax.

(3) Total assets in International at June 30, 2020 decreased by $39.5 million compared to December 31, 2019 primarily driven by the negative impact of foreign currency translation.

(4) Goodwill increased by $7.9 million at June 30, 2020 compared to December 31, 2019 due to the acquisitions of Orb Intelligence and coAction.com during the first quarter of 2020, partially offset by the negative impact of foreign currency translation.

(5) Other Intangibles decreased by $229.1 million at June 30, 2020 compared to December 31, 2019 primarily driven by normal amortization, and the negative impact of foreign currency translation, partially offset with the acquisition of Orb Intelligence and coAction.com during the first quarter of 2020.

(6) Other long-lived assets increased by $19.4 million at June 30, 2020 compared to December 31, 2019 primarily due to commission

assets recognized, partially offset with amortization of commission assets.


	Three-Month Period						Six-Month Period

	Successor										Predecessor
Customer Solution Set Revenue	Three Months Ended June 30, 2020		Three Months Ended June 30, 2019		Six Months Ended June 30, 2020		Period from January 1 to June 30, 2019		Period from January 1 to February 7, 2019

North America (1):
Finance & Risk	$	193.6	$	200.8	$	386.6	$	302.7	$	80.4
Sales & Marketing	160.7		160.1		309.2		239.4		67.8
Total North America	$	354.3	$	360.9	$	695.8	$	542.1	$	148.2
International:
Finance & Risk	$	55.9	$	63.9	$	113.4	$	75.7	$	43.4
Sales & Marketing	12.5		12.1		26.2		15.3		13.0
Total International	$	68.4	$	76.0	$	139.6	$	91.0	$	56.4
Corporate and Other:
Finance & Risk	$	(0.3)	$	(23.1)	$	(10.2)	$	(36.5)	$	(19.2)
Sales & Marketing	(1.8)		(14.9)		(9.3)		(23.6)		(6.7)
Total corporate and Other	$	(2.1)	$	(38.0)	$	(19.5)	$	(60.1)	$	(25.9)
Total Revenue:
Finance & Risk	$	249.2	$	241.6	$	489.8	$	341.9	$	104.6
Sales & Marketing	171.4		157.3		326.1		231.1		74.1
Total Revenue	$	420.6	$	398.9	$	815.9	$	573.0	$	178.7

(1) Substantially all of the North America revenue is attributable to the United States

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8924-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8981-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 21
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9031-108599

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9038-108599

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9054-108599

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8657-108599

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 21
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-URI http://asc.fasb.org/topic&trid=2134510

+ Details