Segment Information (Tables)

6 Months Ended

Jun. 30, 2011

Segment Information

Schedule of operating revenues by products and services

	Three months ended June 30,				Six months ended June 30,
	2011		2010		2011		2010
	(Dollars in millions)
Strategic services	$	1,737		507		2,276		1,009
Legacy services		2,265		1,083		3,256		2,203
Data integration		151		43		182		83
Other		253		139		388		277
Total operating revenues	$	4,406		1,772		6,102		3,572

Schedule of segment information

		Three months ended June 30,				Six months ended June 30,
		2011		2010		2011		2010
		(Dollars in millions)
Total segment revenues		$	4,153		1,633		5,714		3,295
Total segment expenses			1,828		594		2,409		1,190
Total segment income		$	2,325		1,039		3,305		2,105
Total margin percentage			56%		64%		58%		64%
Regional markets:
	Revenues	$	2,256		1,165		3,374		2,352
	Expenses		973		432		1,404		875
	Income	$	1,283		733		1,970		1,477
	Margin percentage		57%		63%		58%		63%
Business markets:
	Revenues	$	922		67		986		134
	Expenses		551		31		580		59
	Income	$	371		36		406		75
	Margin percentage		40%		54%		41%		56%
Wholesale markets:
	Revenues	$	975		401		1,354		809
	Expenses		304		131		425		256
	Income	$	671		270		929		553
	Margin percentage		69%		67%		69%		68%

Schedule of reconciliation from segment income to consolidated net income

	Three months ended June 30,						Six months ended June 30,
	2011			2010			2011			2010
	(Dollars in millions)
Total segment income	$	2,325			1,039			3,305			2,105
Other operating revenues		253			139			388			277
Depreciation and amortization		(1,198	)		(358	)		(1,567	)		(711	)
Other unassigned operating expenses		(921	)		(297	)		(1,203	)		(603	)
Other (expense) income, net		(294	)		(136	)		(419	)		(268	)
Income tax expense		(63	)		(149	)		(191	)		(309	)
Net income	$	102			238			313			491