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Reportable Operating Segments and Geographic Operations
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Reportable Operating Segments and Geographic Operations
REPORTABLE OPERATING SEGMENTS AND GEOGRAPHIC OPERATIONS
REPORTABLE OPERATING SEGMENTS
We consider a combination of factors when evaluating the composition of our reportable operating segments, including the results regularly provided to our Chief Executive Officer, who is our chief operating decision maker (CODM), economic characteristics, products and services offered, classes of customers, product distribution channels, geographic considerations (primarily United States versus outside the United States), and regulatory environment considerations.
The following is a brief description of the primary business activities of our four reportable operating segments:
•U.S. Consumer Services (USCS), which issues a wide range of proprietary consumer cards and provides services to U.S. consumers, including travel and lifestyle services as well as banking and non-card financing products. USCS also manages our dining platform that provides digital tools for restaurants and reservation bookings for diners.
•Commercial Services (CS), which issues a wide range of proprietary corporate and small business cards and provides services to U.S. businesses, including payment and expense management, banking and non-card financing products. CS also issues proprietary corporate cards and provides services to select global corporate clients.
•International Card Services (ICS), which issues a wide range of proprietary consumer, small business and corporate cards outside the United States. ICS also provides services to our international customers, including travel and lifestyle services, and manages certain international joint ventures and our loyalty coalition business.
•Global Merchant and Network Services (GMNS), which operates a global payments network that processes and settles card transactions, acquires merchants and provides multi-channel marketing programs and capabilities, services and data analytics, leveraging our global integrated network. GMNS manages our partnership relationships with third-party card issuers, merchant acquirers and a prepaid reloadable and gift card program manager, licensing the American Express brand and extending the reach of the global network.
Corporate functions and certain other businesses and operations are included in Corporate & Other.
Pretax income is used by our CODM to assess the relative performance of our operating segments and their contribution to enterprise profitability. Decisions on resource allocation by operating segment are made at the enterprise level as a function of strategic priority, operational requirements and expected return on investment of growth opportunities. The following tables present certain selected financial information for our reportable operating segments and Corporate & Other as of or for the years ended December 31, 2024, 2023 and 2022.
TABLE 24.1: SELECTED FINANCIAL INFORMATION BY SEGMENT
(Millions)
USCSCSICSGMNS
Corporate & Other (a)
Consolidated
2024
Total non-interest revenues$20,137 $13,219 $10,369 $6,729 $(48)$50,406 
Revenue from contracts with customers (b)
14,481 11,559 6,766 6,051 (32)38,825 
Interest income14,430 4,374 2,331 52 2,608 23,795 
Interest expense3,140 1,734 1,239 (703)2,842 8,252 
Net interest income11,290 2,640 1,092 755 (234)15,543 
Total revenues net of interest expense31,427 15,859 11,461 7,484 (282)65,949 
Provisions for credit losses
3,029 1,389 726 42 (1)5,185 
Total revenues net of interest expense after provisions for credit losses
28,398 14,470 10,735 7,442 (281)60,764 
Expenses
Card Member rewards, business development and Card Member services (c)
14,329 6,504 5,243 1,148 43 27,267 
Marketing
3,051 1,319 1,235 411 24 6,040 
Salaries and employee benefits and other operating expenses
4,641 3,142 3,226 1,485 2,068 14,562 
Total expenses
22,021 10,965 9,704 3,044 2,135 47,869 
Pretax income (loss)$6,377 $3,505 $1,031 $4,398 $(2,416)$12,895 
Total assets
$114,228 $58,969 $42,879 $17,712 $37,673 $271,461 
(Millions)
USCSCSICSGMNS
Corporate & Other (a)
Consolidated
2023
Total non-interest revenues$18,464 $12,931 $9,472 $6,620 $(106)$47,381 
Revenue from contracts with customers (b)
13,715 11,379 6,155 6,006 (37)37,218 
Interest income12,336 3,328 2,076 57 2,186 19,983 
Interest expense2,684 1,483 1,118 (719)2,283 6,849 
Net interest income9,652 1,845 958 776 (97)13,134 
Total revenues net of interest expense28,116 14,776 10,430 7,396 (203)60,515 
Provisions for credit losses
2,855 1,313 727 27 1 4,923 
Total revenues net of interest expense after provisions for credit losses
25,261 13,463 9,703 7,369 (204)55,592 
Expenses
Card Member rewards, business development and Card Member services (c)
12,808 6,332 4,588 1,218 46 24,992 
Marketing
2,585 1,090 1,081 437 20 5,213 
Salaries and employee benefits and other operating expenses
4,435 3,180 3,061 2,058 2,140 14,874 
Total expenses
19,828 10,602 8,730 3,713 2,206 45,079 
Pretax income (loss)$5,433 $2,861 $973 $3,656 $(2,410)$10,513 
Total assets
$107,158 $55,361 $42,234 $23,714 $32,641 $261,108 
(Millions)USCSCSICSGMNS
Corporate & Other (a)
Consolidated
2022
Total non-interest revenues$16,440 $12,196 $8,262 $6,123 $(54)$42,967 
Revenue from contracts with customers (b)
12,478 10,844 5,301 5,603 (7)34,219 
Interest income8,457 2,070 1,453 23 655 12,658 
Interest expense983 697 654 (329)758 2,763 
Net interest income7,474 1,373 799 352 (103)9,895 
Total revenues net of interest expense23,914 13,569 9,061 6,475 (157)52,862 
Provisions for credit losses
1,021 565 584 7 5 2,182 
Total revenues net of interest expense after provisions for credit losses
22,893 13,004 8,477 6,468 (162)50,680 
Expenses
Card Member rewards, business development and Card Member services (c)
10,791 6,116 3,816 1,192 (11)21,904 
Marketing
2,744 1,122 1,146 419 27 5,458 
Salaries and employee benefits and other operating expenses
3,958 2,886 2,937 1,903 2,049 13,733 
Total expenses
17,493 10,124 7,899 3,514 2,065 41,095 
Pretax income (loss)$5,400 $2,880 $578 $2,954 $(2,227)$9,585 
Total assets
$94,444 $51,411 $36,891 $20,005 $25,603 $228,354 
(a)Corporate & Other includes adjustments and eliminations for intersegment activity.
(b)Includes discount revenue, certain service fees and other revenue and processed revenues from customers.
(c)Card Member rewards, business development and Card Member services expenses are generally correlated to volumes or are variable based on usage.
Total Revenues Net of Interest Expense
We allocate discount revenue and certain other revenues among segments using a transfer pricing methodology. Within the USCS, CS and ICS segments, discount revenue generally reflects the issuer component of the overall discount revenue generated by each segment’s Card Members; within the GMNS segment, discount revenue generally reflects the network and acquirer component of the overall discount revenue being allocated.
Net card fees, processed revenue and certain other revenues are directly attributable to the segment in which they are reported.
Interest and fees on loans and certain investment income is directly attributable to the segment in which it is reported. Interest expense represents an allocated funding cost based on a combination of segment funding requirements and internal funding rates.
Provisions for Credit Losses
The provisions for credit losses are directly attributable to the segment in which they are reported.
Expenses
Card Member rewards, Business development and Card Member services expenses, as well as Marketing expenses, are generally included in each segment based on the actual expenses incurred. Global brand advertising, a component of Marketing expense, is primarily allocated to the segments based on the relative levels of revenue.
Salaries and employee benefits and other operating expenses reflect both costs incurred directly within each segment, as well as allocated expenses. The allocated expenses include service costs, which primarily reflect salaries and benefits associated with our technology and customer servicing groups, and overhead expenses. Service costs are allocated based on activities directly attributable to the segment, and overhead expenses are allocated based on the relative levels of revenue and Card Member loans and receivables.
GEOGRAPHIC OPERATIONS
The following table presents our total revenues net of interest expense and pretax income (loss) from continuing operations in different geographic regions based, in part, upon internal allocations, which necessarily involve management’s judgment.
TABLE 24.2: SUMMARY OF TOTAL REVENUE AND PRETAX INCOME BY REGION
(Millions)United States
EMEA(a)
APAC(a)
LACC(a)
Other Unallocated(b)
Consolidated
2024
Total revenues net of interest expense$51,471 $6,216 $4,698 $3,845 $(281)$65,949 
Pretax income (loss) from continuing operations12,919 935 656 803 (2,418)12,895 
2023
Total revenues net of interest expense$47,140 $5,633 $4,372 $3,571 $(201)$60,515 
Pretax income (loss) from continuing operations10,717 854 592 760 (2,410)10,513 
2022
Total revenues net of interest expense$41,396 $4,871 $3,835 $2,917 $(157)$52,862 
Pretax income (loss) from continuing operations10,383 550 376 500 (2,224)9,585 
(a)EMEA represents Europe, the Middle East and Africa; APAC represents Asia Pacific, Australia and New Zealand; and LACC represents Latin America, Canada and the Caribbean.
(b)Other Unallocated includes net costs which are not directly allocated to specific geographic regions, including costs related to the net negative interest spread on excess liquidity funding and executive office operations expenses.