REPORTABLE SEGMENTS

3 Months Ended

Mar. 31, 2015

REPORTABLE SEGMENTS

REPORTABLE SEGMENTS

10.REPORTABLE SEGMENTS

The Company consists of two segments, ocean transportation and logistics, which are further described in Note 1.  Reportable segments are measured based on operating income, exclusive of interest expense and income taxes.  In arrangements where the customer purchases ocean transportation and logistics services, the revenues are allocated to each reportable segment based upon the contractual amounts for each type of service.

Segment results for the three-months periods ended March 31, 2015 and 2014 were as follows (in millions):

	Three-Months Ended
	March 31
	2015			2014
Revenue:
Ocean Transportation	$	305.5		$	294.6
Logistics	92.7			97.9
Total Revenue	$	398.2		$	392.5
Operating Income:
Ocean Transportation	$	43.9		$	9.4
Logistics	1.0			0.5
Total Operating Income	44.9			9.9
Interest expense, net	(4.3		)	(4.1		)
Income before Income Taxes	40.6			5.8
Income taxes	(15.6		)	(2.4		)
Net Income	$	25.0		$	3.4