Business Segment and Geographic Information

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Business Segment and Geographic Information

Business Segment and Geographic Information

We operate under two divisions, which form the basis for the two operating segments we report: the Completion and Production segment and the Drilling and Evaluation segment. For more information about the product service lines included in each segment, see Part I, Item 1, "Business.” Corporate and other includes expenses related to support functions and corporate executives and is primarily composed of cash and equivalents, deferred tax assets and investment securities. Also included are certain gains, losses and costs not attributable to a particular business segment. Intersegment revenue and revenue between geographic areas are immaterial. Our equity in earnings and losses of unconsolidated affiliates that are accounted for using the equity method of accounting are included within cost of services on our statements of operations, which is part of operating income of the applicable segment.

The following tables present financial information on our business segments.

Operations by business segment
	Year Ended December 31
Millions of dollars	2016			2015			2014
Revenue:
Completion and Production	$	8,882		$	13,682		$	20,253
Drilling and Evaluation	7,005			9,951			12,617
Total revenue	$	15,887		$	23,633		$	32,870
Operating income (loss):
Completion and Production	$	107		$	1,069		$	3,670
Drilling and Evaluation	794			1,519			1,740
Total operations	901			2,588			5,410
Corporate and other (a)	(4,322		)	(576		)	(184		)
Impairments and other charges (b)	(3,357		)	(2,177		)	(129		)
Total operating income (loss)	$	(6,778	)	$	(165	)	$	5,097
Interest expense, net of interest income (c)	$	(639	)	$	(447	)	$	(383	)
Other, net	(208		)	(324		)	(2		)
Income (loss) from continuing operations before income taxes	$	(7,625	)	$	(936	)	$	4,712
Capital expenditures:
Completion and Production	$	500		$	1,526		$	1,953
Drilling and Evaluation	297			650			1,297
Corporate and other	1			8			33
Total	$	798		$	2,184		$	3,283
Depreciation, depletion and amortization:
Completion and Production	$	900		$	1,160		$	1,162
Drilling and Evaluation	569			638			934
Corporate and other	34			37			30
Total	$	1,503		$	1,835		$	2,126

(a) Includes Baker Hughes related costs for the periods presented, including a $3.5 billion termination fee and an aggregate $464 million of charges for the reversal of assets held for sale accounting during the year ended December 31, 2016.

(b) Impairments and other charges are as follows:

-For the year ended December 31, 2016, includes $2.1 billion attributable to Completion and Production, $1.2 billion attributable to Drilling and Evaluation and $10 million attributable to Corporate and other.

-For the year ended December 31, 2015, includes $1.1 billion attributable to Completion and Production, $1.0 billion attributable to Drilling and Evaluation and $88 million attributable to Corporate and other.

-For the year ended December 31, 2014, includes $60 million attributable to Completion and Production and $69 million attributable to Drilling and Evaluation.

(c) For the year ended December 31, 2016, includes $41 million of debt redemption fees and associated expenses related to the $2.5 billion of debt mandatorily redeemed and additional interest resulting from the senior notes issued in late 2015.

	December 31
Millions of dollars	2016		2015
Total assets:
Completion and Production	$	10,349	$	13,628
Drilling and Evaluation	8,473		10,531
Shared assets	3,371		1,785
Corporate and other	4,807		10,998
Total	$	27,000	$	36,942

Not all assets are associated with specific segments. Those assets specific to segments include receivables, inventories, certain identified property, plant and equipment (including field service equipment), equity in and advances to related companies, and goodwill. The remaining assets, such as cash and equivalents, are considered to be shared among the segments.

The following tables present information by geographic area. In 2016, 2015 and 2014, based on the location of services provided and products sold, 41%, 44% and 51% of our consolidated revenue was from the United States. As of December 31, 2016 and December 31, 2015, 50% and 48% of our property, plant and equipment was located in the United States. No other country accounted for more than 10% of our revenue or property, plant and equipment during the periods presented.

Operations by geographic region
	Year Ended December 31
Millions of dollars	2016		2015		2014
Revenue:
North America	$	6,770	$	10,856	$	17,698
Latin America	1,860		3,149		3,875
Europe/Africa/CIS	2,993		4,175		5,490
Middle East/Asia	4,264		5,453		5,807
Total	$	15,887	$	23,633	$	32,870

	December 31
Millions of dollars	2016		2015
Net property, plant and equipment:
North America	$	4,431	$	6,091
Latin America	1,068		1,463
Europe/Africa/CIS	1,253		1,620
Middle East/Asia	1,780		2,943
Total	$	8,532	$	12,117