24. Segment Reporting

Operating segments are defined as components of an enterprise about which separate financial information is available that is regularly reviewed by the chief operating decision maker (“CODM”) in assessing performance and deciding how to allocate resources. Reportable segments consist of one or more operating segments with similar economic characteristics, products and services, production processes, type of customer, distribution system or regulatory environment.

The information provided for segment reporting is obtained from internal reports utilized by the Company’s CODM, and the presentation and allocation of assets and results of operations may not reflect the actual economic costs of the segments as standalone businesses. If a different basis of allocation were utilized, the relative contributions of the segments might differ, but the relative trends in the segments’ operating results would, in management’s view, likely not be impacted.

During the fourth quarter of 2019, the Company reorganized its operating businesses in the confectionery industry under BBX Sweet Holdings, including the centralization of various management and back office activities. In connection with these organizational changes, the Company’s CODM determined that he would manage the operations of the Company’s investments in the confectionery industry, including making decisions related to the allocation of resources to such investments, based on the consolidated activities and results of BBX Sweet Holdings, and the Company’s internal management reports were modified to present the consolidated performance of BBX Sweet Holdings to the Company’s CODM. As a result, the Company determined that it was appropriate to report the operations of BBX Sweet Holdings as a separate reportable segment together with the Company’s three other reportable segments as follows: Bluegreen, BBX Capital Real Estate, BBX Sweet Holdings and Renin. The Company’s segment information for the years ended December 31, 2018 and 2017 has been updated retrospectively to conform to the current presentation.

See Note 1 for a description of the Company’s reportable segments.

In the segment information for the years ended December 31, 2019, 2018 and 2017, amounts set forth in the column entitled “Other” include the Company’s investments in various operating businesses, including its pizza restaurant operations as a franchisee of MOD Pizza and a controlling financial interest in a restaurant acquired in connection with a loan receivable default. As described in Note 1, the Company exited its pizza restaurant operations as a franchisee of MOD Pizza in September 2019. The amounts set forth in the column entitled “Reconciling Items and Eliminations” include unallocated corporate general and administrative expenses, interest expense associated with Woodbridge’s junior subordinated debentures and BBX Capital’s $50.0 million revolving line of credit, and elimination entries.

The Company evaluates segment performance based on segment income before income taxes.

The table below sets forth the Company’s segment information as of and for the year ended December 31, 2019 (in thousands):



	Bluegreen		BBX Capital Real Estate	BBX Sweet Holdings		Renin		Other		Reconciling Items and Eliminations		Segment Total
Revenues:
Sales of VOIs	$	255,375	—		—		—		—		—		255,375
Fee-based sales commissions		207,832	—		—		—		—		—		207,832
Other fee-based services		125,244	—		—		—		—		—		125,244
Cost reimbursements		63,889	—		—		—		—		—		63,889
Trade sales		—	—		105,406		67,537		13,420		(26)		186,337
Sales of real estate inventory		—	5,049		—		—		—		—		5,049
Interest income		87,902	750		56		—		104		(2,486)		86,326
Net gains on sales of real estate assets		—	13,616		—		—		—		—		13,616
Other revenue		—	1,619		324		—		2,233		(973)		3,203
Total revenues		740,242	21,034		105,786		67,537		15,757		(3,485)		946,871
Costs and expenses:
Cost of VOIs sold		21,845	—		—		—		—		—		21,845
Cost of other fee-based services		86,940	—		—		—		—		—		86,940
Cost reimbursements		63,889	—		—		—		—		—		63,889
Cost of trade sales		—	—		67,703		54,243		5,800		(26)		127,720
Cost of real estate inventory sold		—	2,643		—		—		—		—		2,643
Interest expense		39,538	—		196		498		27		5,523		45,782
Recoveries from loan losses, net		—	(5,428)		—		—		—		—		(5,428)
Impairment losses		—	47		142		—		6,749		—		6,938
Selling, general and administrative expenses		468,856	9,144		43,203		11,066		12,282		41,135		585,686
Total costs and expenses		681,068	6,406		111,244		65,807		24,858		46,632		936,015
Equity in net earnings of unconsolidated real estate joint ventures		—	37,898		—		—		—		—		37,898
Other (expense) income		(910)	170		336		153		15		318		82
Foreign exchange loss		—	—		—		(75)		—		—		(75)
Income (loss) before income taxes	$	58,264	52,696		(5,122)		1,808		(9,086)		(49,799)		48,761
Total assets	$	1,360,018	145,891		167,284		32,320		10,768		74,690		1,790,971
Expenditures for property and equipment	$	24,475	4		9,441		517		1,129		22		35,588
Depreciation and amortization	$	14,114	93		5,565		1,202		770		421		22,165
Debt accretion and amortization	$	4,878	125		226		27		—		299		5,555
Cash and cash equivalents	$	190,009	13,776		6,314		—		668		145,837		356,604
Equity method investments	$	—	57,330		—		—				—		57,330
Goodwill	$	—	—		35,521		—		1,727		—		37,248
Receivable-backed notes payable	$	422,815	—		—		—		—		—		422,815
Notes payable and other borrowings	$	146,160	31,877		3,810		6,825		224		(165)		188,731
Junior subordinated debentures	$	72,081	—		—		—		—		65,173		137,254

The table below sets forth the Company’s segment information as of and for the year ended December 31, 2018 (in thousands):



	Bluegreen		BBX Capital Real Estate		BBX Sweet Holdings		Renin		Other		Reconciling Items and Eliminations		Segment Total
Revenues:
Sales of VOIs	$	254,225		—		—		—		—		—		254,225
Fee-based sales commissions		216,422		—		—		—		—		—		216,422
Other fee-based services		118,024		—		—		—		—		—		118,024
Cost reimbursements		62,534		—		—		—		—		—		62,534
Trade sales		—		—		101,187		68,417		9,903		(21)		179,486
Sales of real estate inventory		—		21,771		—		—		—		—		21,771
Interest income		85,914		2,277		61		—		87		(2,838)		85,501
Net gains on sales of real estate assets		—		4,563		—		—		—		—		4,563
Other revenue		—		2,541		10		—		1,869		(1,048)		3,372
Total revenues		737,119		31,152		101,258		68,417		11,859		(3,907)		945,898
Costs and expenses:
Cost of VOIs sold		23,813		—		—		—		—		—		23,813
Cost of other fee-based services		72,968		—		—		—		—		—		72,968
Cost reimbursements		62,534		—		—		—		—		—		62,534
Cost of trade sales		—		—		65,829		55,483		4,349		(21)		125,640
Cost of real estate inventory sold		—		14,116		—		—		—		—		14,116
Interest expense		34,709		—		308		638		7		6,413		42,075
Recoveries from loan losses, net		—		(8,653)		—		—		—		—		(8,653)
Impairment losses		—		571		4,147		—		—		—		4,718
Reimbursements of litigation costs and penalty		—		—		—		—		—		(600)		(600)
Selling, general and administrative expenses		415,403		9,210		46,130		9,903		11,680		45,486		537,812
Total costs and expenses		609,427		15,244		116,414		66,024		16,036		51,278		874,423
Equity in net earnings of unconsolidated real estate joint ventures		—		14,194		—		—		—		—		14,194
Other income (expense)		1,201		112		170		—		(1)		213		1,695
Foreign exchange gain		—		—		—		68		—		—		68
Income (loss) before income taxes	$	128,893		30,214		(14,986)		2,461		(4,178)		(54,972)		87,432
Total assets	$	1,346,467		165,109		83,618		32,354		20,187		57,285		1,705,020
Expenditures for property and equipment	$	32,539		318		6,254		796		5,428		215		45,550
Depreciation and amortization	$	12,392		374		5,897		1,159		671		501		20,994
Debt accretion and amortization	$	4,212		3		201		17		—		312		4,745
Cash and cash equivalents	$	219,408		16,103		5,328		—		7,681		117,785		366,305
Equity method investments	$	—		64,738		—		—				—		64,738
Goodwill	$	—		—		35,521		—		1,727		—		37,248
Receivable-backed notes payable	$	458,931		—		—		—		—		—		458,931
Notes payable and other borrowings	$	133,391		27,333		2,046		8,117		—		30,000		200,887
Junior subordinated debentures	$	71,323		—		—		—		—		65,102		136,425

The table below sets forth the Company’s segment information as of and for the year ended December 31, 2017 (in thousands):


	Bluegreen		BBX Capital Real Estate		BBX Sweet Holdings		Renin		Other		Reconciling Items and Eliminations		Segment Total
Revenues:
Sales of VOIs	$	242,017		—		—		—		—		—		242,017
Fee-based sales commissions		229,389		—		—		—		—		—		229,389
Other fee-based services		111,819		—		—		—		—		—		111,819
Cost reimbursements		52,639		—		—		—		—		—		52,639
Trade sales		—		—		72,899		68,935		251		—		142,085
Interest income		86,876		2,225		40		—		36		(5,469)		83,708
Net gains on sales of real estate assets		—		1,451		—		—		—		—		1,451
Other revenue		—		4,997		7		—		1,256		(599)		5,661
Total revenues		722,740		8,673		72,946		68,935		1,543		(6,068)		868,769
Costs and expenses:
Cost of VOIs sold		17,679		—		—		—		—		—		17,679
Cost of other fee-based services		64,560		—		—		—		—		—		64,560
Cost reimbursements		52,639		—		—		—		—		—		52,639
Cost of trade sales		—		—		51,975		54,941		419		—		107,335
Interest expense		29,977		—		335		509		—		4,384		35,205
Recoveries from loan losses, net		—		(7,546)		—		—		—		—		(7,546)
Impairment losses		—		1,696		5,786		—		—		—		7,482
Net gains on cancellation of junior subordinated debentures		—		—		—		—		—		(6,929)		(6,929)
Reimbursements of litigation costs and penalty		—		—		—		—				(13,169)		(13,169)
Selling, general and administrative expenses		421,199		11,127		31,703		11,112		4,065		52,855		532,061
Total costs and expenses		586,054		5,277		89,799		66,562		4,484		37,141		789,317
Equity in net earnings of unconsolidated real estate joint ventures		—		12,541		—		—		—		—		12,541
Other income		312		148		72		—		269		—		801
Foreign exchange loss		—		—		—		(193)		—		—		(193)
Income (loss) before income taxes	$	136,998		16,085		(16,781)		2,180		(2,672)		(43,209)		92,601
Total assets	$	1,231,481		166,548		92,587		36,189		11,940		66,936		1,605,681
Expenditures for property and equipment	$	14,115		308		2,246		2,786		2,518		72		22,045
Depreciation and amortization	$	9,632		581		4,080		1,000		112		644		16,049
Debt accretion and amortization	$	4,478		—		55		—		—		149		4,682
Cash and cash equivalents	$	197,337		8,636		10,160		863		7,099		138,431		362,526
Equity method investments	$	—		51,234		—		—				—		51,234
Goodwill	$	—		—		39,482		—		—		—		39,482
Receivable-backed notes payable	$	421,118		—		—		—		—		—		421,118
Notes payable and other borrowings	$	100,194		24,215		6,815		12,890		—		—		144,114
Junior subordinated debentures	$	70,384		—		—		—		—		65,030		135,414