Segments: (Tables)

6 Months Ended

Jun. 30, 2013

Segments:

Revenue and Pre-tax Income by Segment

	Global Services
	Global			Global
	Technology			Business						Systems and			Global			Total
(Dollars in millions)	Services			Services			Software			Technology			Financing			Segments
For the three months ended June 30, 2013:
External revenue	$	9,536		$	4,606		$	6,423		$	3,758		$	487		$	24,809
Internal revenue	292			188			738			135			575			1,928
Total revenue	$	9,828		$	4,795		$	7,161		$	3,893		$	1,061		$	26,737
Pre-tax income	$	1,514		$	623		$	2,443		$	(141	)	$	550		$	4,989
Revenue year-to-year change	(4.5		)%	(1.1		)%	3.1		%	(11.9		)%	2.9		%	(2.9		)%
Pre-tax income year-to-year change	(13.8		)%	(22.4		)%	(2.0		)%	nm			4.2		%	(14.2		)%
Pre-tax income margin	15.4		%	13.0		%	34.1		%	(3.6		)%	51.8		%	18.7		%

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For the three months ended June 30, 2012:
External revenue	$	9,995		$	4,667		$	6,171		$	4,259		$	517		$	25,608
Internal revenue	291			180			776			159			515			1,921
Total revenue	$	10,286		$	4,847		$	6,946		$	4,418		$	1,032		$	27,529
Pre-tax income	$	1,757		$	803		$	2,493		$	234		$	528		$	5,814
Pre-tax income margin	17.1		%	16.6		%	35.9		%	5.3		%	51.1		%	21.1		%

	Global Services
	Global			Global
	Technology			Business						Systems and			Global			Total
(Dollars in millions)	Services			Services			Software			Technology			Financing			Segments
For the six months ended June 30, 2013:
External revenue	$	19,140		$	9,091		$	11,995		$	6,864		$	985		$	48,075
Internal revenue	540			368			1,569			255			1,116			3,847
Total revenue	$	19,680		$	9,459		$	13,563		$	7,118		$	2,101		$	51,922
Pre-tax income	$	3,099		$	1,326		$	4,457		$	(546	)	$	1,088		$	9,425
Revenue year-to-year change	(4.5		)%	(2.2		)%	1.3		%	(14.4		)%	4.7		%	(3.8		)%
Pre-tax income year-to-year change	(4.3		)%	(5.6		)%	0.4		%	nm			4.6		%	(8.0		)%
Pre-tax income margin	15.7		%	14.0		%	32.9		%	(7.7		)%	51.8		%	18.2		%

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For the six months ended June 30, 2012:
External revenue	$	20,031		$	9,304		$	11,770		$	8,008		$	1,006		$	50,120
Internal revenue	584			363			1,615			309			1,000			3,872
Total revenue	$	20,615		$	9,667		$	13,386		$	8,317		$	2,006		$	53,991
Pre-tax income	$	3,237		$	1,404		$	4,438		$	130		$	1,040		$	10,248
Pre-tax income margin	15.7		%	14.5		%	33.2		%	1.6		%	51.8		%	19.0		%

Revenue and pre-tax income reconciliations to IBM as Reported

(Dollars in millions)
For the three months ended June 30:	2013			2012
Revenue:
Total reportable segments	$	26,737		$	27,529
Eliminations of internal transactions	(1,928		)	(1,921		)
Other revenue adjustments	115			175
Total IBM Consolidated	$	24,924		$	25,783
Pre-tax income:
Total reportable segments	$	4,989		$	5,814
Amortization of acquired intangible assets	(178		)	(173		)
Acquisition-related charges	(4		)	(7		)
Non-operating retirement-related (costs)/income	(262		)	(94		)
Eliminations of internal transactions	(379		)	(343		)
Unallocated corporate amounts	(22		)	(36		)
Total IBM Consolidated	$	4,144		$	5,161

(Dollars in millions)
For the six months ended June 30:	2013			2012
Revenue:
Total reportable segments	$	51,922		$	53,991
Eliminations of internal transactions	(3,847		)	(3,872		)
Other revenue adjustments	257			336
Total IBM Consolidated	$	48,332		$	50,456
Pre-tax income:
Total reportable segments	$	9,425		$	10,248
Amortization of acquired intangible assets	(361		)	(339		)
Acquisition-related charges	(15		)	(14		)
Non-operating retirement-related (costs)/income	(546		)	(197		)
Eliminations of internal transactions	(718		)	(627		)
Unallocated corporate amounts	(35		)	(74		)
Total IBM Consolidated	$	7,750		$	8,997