Segment Information (Tables)

3 Months Ended

Mar. 31, 2015

Segment Reporting [Abstract]

Schedule of segment results

The results of our business and consumer segments are summarized below:

	Three Months Ended March 31,
	2015			2014 (1)
	(Dollars in millions)
Total segment revenues	$	4,194		4,284
Total segment expenses	2,073			2,096
Total segment income	$	2,121		2,188
Total margin percentage	51		%	51	%
Business:
Revenues	2,697			2,775
Expenses	1,484			1,503
Income	$	1,213		1,272
Margin percentage	45		%	46	%
Consumer:
Revenues	$	1,497		1,509
Expenses	589			593
Income	$	908		916
Margin percentage	61		%	61	%

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⁽¹⁾  Reflects the recasting of segment results discussed in the next section entitled "Recent Changes in Segment Reporting."

Schedule of operating revenues by products and services

Our operating revenues for our products and services consisted of the following categories:

	Three Months Ended March 31,
	2015		2014
	(Dollars in millions)
Strategic services	$	2,320	2,271
Legacy services	1,735		1,839
Data integration	139		174
Other	257		254
Total operating revenues	$	4,451	4,538

Reconciliation of operating profit (loss) from segments to consolidated net income

The following table reconciles segment income to net income:

	Three Months Ended March 31,
	2015			2014
	(Dollars in millions)
Total segment income	$	2,121		2,188
Other operating revenues	257			254
Depreciation and amortization	(1,040		)	(1,107	)
Other unassigned operating expenses	(689		)	(682	)
Other expense, net	(326		)	(322	)
Income tax expense	(131		)	(128	)
Net income	$	192		203