Segment Information

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company’s operating business units offer sophisticated information processing and software services and products. Through March 31, 2013, the Company presented these businesses as two operating segments, Financial Services and Customer Communications.  Investments in the Company’s real estate subsidiaries and affiliates, equity securities, private equity investments and certain financial interests have been aggregated into an Investments and Other Segment. As described in Note 1, beginning in second quarter 2013, DST created a new reportable segment entitled Healthcare Services, by separating DST Healthcare (comprised of DST Health Solutions and Argus Health Systems) from the previously reported Financial Services Segment. The Company's operating business units are now reported as three operating segments (Financial Services, Healthcare Services and Customer Communications).  Prior periods have been revised to reflect the new reportable operating segments.

Information concerning total assets by reporting segment is as follows (in millions): 

	September 30, 2013			December 31, 2012
Financial Services	$	1,407.3		$	1,589.0
Healthcare Services	310.3			382.1
Customer Communications	434.8			385.5
Investments and Other	1,014.4			1,102.3
Elimination Adjustments	(63.5		)	(66.4		)
	$	3,103.3		$	3,392.5

The Company evaluates the performance of its Segments based on income before income taxes and interest expense.  Intersegment revenues are reflected at rates prescribed by the Company and may not be reflective of market rates.

Summarized financial information concerning the Company’s Segments is shown in the following tables (in millions):

	Three Months Ended September 30, 2013
	Financial Services		Healthcare Services		Customer Communications		Investments / Other		Elimination Adjustments			Consolidated Total
Operating revenues	$	237.1	$	80.7	$	158.8	$	3.6	$	—		$	480.2
Intersegment operating revenues	11.7		—		1.7		11.0		(24.4		)	—
Out-of-pocket reimbursements	8.8		1.5		163.1		0.1		(1.9		)	171.6
Total revenues	257.6		82.2		323.6		14.7		(26.3		)	651.8
Costs and expenses	187.0		66.0		297.2		4.6		(23.4		)	531.4
Depreciation and amortization	16.2		4.8		10.9		2.9		(0.7		)	34.1
Income (loss) from operations	54.4		11.4		15.5		7.2		(2.2		)	86.3
Other income, net	2.6		0.1		0.5		70.2		—			73.4
Equity in earnings of unconsolidated affiliates	2.5		0.1		0.2		1.0		—			3.8
Earnings (loss) before interest and income taxes	$	59.5	$	11.6	$	16.2	$	78.4	$	(2.2	)	$	163.5

	Three Months Ended September 30, 2012
	Financial Services		Healthcare Services		Customer Communications		Investments / Other			Elimination Adjustments			Consolidated Total
Operating revenues	$	231.4	$	71.2	$	157.7	$	3.7		$	—		$	464.0
Intersegment operating revenues	10.8		—		1.9		11.4			(24.1		)	—
Out-of-pocket reimbursements	11.7		1.2		156.9		0.1			(1.9		)	168.0
Total revenues	253.9		72.4		316.5		15.2			(26.0		)	632.0
Costs and expenses	189.9		62.7		294.7		20.6			(23.5		)	544.4
Depreciation and amortization	17.4		4.3		11.2		8.2			(0.6		)	40.5
Income (loss) from operations	46.6		5.4		10.6		(13.6		)	(1.9		)	47.1
Other income, net	7.3		0.1		—		65.0			—			72.4
Equity in earnings of unconsolidated affiliates	0.7		0.1		0.1		2.2			—			3.1
Earnings (loss) before interest and income taxes	$	54.6	$	5.6	$	10.7	$	53.6		$	(1.9	)	$	122.6

Earnings before interest and income taxes in the segment reporting information above less interest expense of $8.4 million and $10.6 million for the three months endedSeptember 30, 2013 and 2012 is equal to the Company’s income before income taxes on a consolidated basis for the corresponding periods.

	Nine Months Ended September 30, 2013
	Financial Services		Healthcare Services		Customer Communications		Investments / Other		Elimination Adjustments			Consolidated Total
Operating revenues	$	713.5	$	242.7	$	492.8	$	11.5	$	—		$	1,460.5
Intersegment operating revenues	32.8		—		5.7		31.8		(70.3		)	—
Out-of-pocket reimbursements	31.9		4.2		500.2		0.1		(5.6		)	530.8
Total revenues	778.2		246.9		998.7		43.4		(75.9		)	1,991.3
Costs and expenses	577.2		202.8		923.0		22.1		(67.8		)	1,657.3
Depreciation and amortization	47.5		14.2		32.7		8.0		(2.0		)	100.4
Income (loss) from operations	153.5		29.9		43.0		13.3		(6.1		)	233.6
Other income (loss), net	—		0.2		0.2		174.6		—			175.0
Equity in earnings of unconsolidated affiliates	14.1		0.3		0.3		4.2		—			18.9
Earnings (loss) before interest and income taxes	$	167.6	$	30.4	$	43.5	$	192.1	$	(6.1	)	$	427.5

	Nine Months Ended September 30, 2012
	Financial Services		Healthcare Services		Customer Communications		Investments / Other			Elimination Adjustments			Consolidated Total
Operating revenues	$	695.2	$	221.9	$	477.6	$	10.7		$	—		$	1,405.4
Intersegment operating revenues	32.4		—		6.1		33.9			(72.4		)	—
Out-of-pocket reimbursements	36.6		3.9		477.7		0.2			(5.8		)	512.6
Total revenues	764.2		225.8		961.4		44.8			(78.2		)	1,918.0
Costs and expenses	573.1		194.1		905.7		40.6			(70.4		)	1,643.1
Depreciation and amortization	56.7		13.2		33.3		15.5			(1.9		)	116.8
Income (loss) from operations	134.4		18.5		22.4		(11.3		)	(5.9		)	158.1
Other income, net	12.7		0.3		—		283.3			—			296.3
Equity in earnings of unconsolidated affiliates	6.0		0.2		0.3		3.3			—			9.8
Earnings (loss) before interest and income taxes	$	153.1	$	19.0	$	22.7	$	275.3		$	(5.9	)	$	464.2

Earnings before interest and income taxes in the segment reporting information above less interest expense of $27.3 million and $34.0 million for the nine months endedSeptember 30, 2013 and 2012 is equal to the Company’s income before income taxes on a consolidated basis for the corresponding periods.

	Year Ended December 31, 2012
	Financial Services		Healthcare Services		Customer Communications			Investments / Other			Elimination Adjustments			Consolidated Total
Operating revenues	$	935.0	$	300.6	$	642.0		$	14.8		$	—		$	1,892.4
Intersegment operating revenues	43.6		—		8.0			44.1			(95.7		)	—
Out-of-pocket reimbursements	49.7		5.1		636.7			0.3			(7.6		)	684.2
Total revenues	1,028.3		305.7		1,286.7			59.2			(103.3		)	2,576.6
Costs and expenses	777.0		255.9		1,214.9			47.9			(92.8		)	2,202.9
Depreciation and amortization (including goodwill and impairment)	74.3		17.7		107.4			19.6			(2.6		)	216.4
Income (loss) from operations	177.0		32.1		(35.6		)	(8.3		)	(7.9		)	157.3
Other income, net	8.1		0.3		0.1			365.0			—			373.5
Equity in earnings of unconsolidated affiliates	27.6		0.3		0.5			3.8			—			32.2
Earnings (loss) before interest and income taxes	$	212.7	$	32.7	$	(35.0	)	$	360.5		$	(7.9	)	$	563.0

	Year Ended December 31, 2011
	Financial Services		Healthcare Services			Customer Communications		Investments / Other			Elimination Adjustments			Consolidated Total
Operating revenues	$	858.8	$	270.8		$	602.1	$	12.3		$	—		$	1,744.0
Intersegment operating revenues	40.4		—			7.7		44.0			(92.1		)	—
Out-of-pocket reimbursements	36.8		5.3			607.0		1.6			(6.0		)	644.7
Total revenues	936.0		276.1			1,216.8		57.9			(98.1		)	2,388.7
Costs and expenses	657.2		240.5			1,148.9		38.0			(87.6		)	1,997.0
Depreciation and amortization	56.9		19.6			46.7		11.0			(2.6		)	131.6
Income (loss) from operations	221.9		16.0			21.2		8.9			(7.9		)	260.1
Other income (loss), net	8.0		(1.4		)	0.1		32.0			—			38.7
Equity in earnings (losses) of unconsolidated affiliates	22.0		—			0.6		(0.9		)	—			21.7
Earnings (loss) before interest and income taxes	$	251.9	$	14.6		$	21.9	$	40.0		$	(7.9	)	$	320.5

Earnings before interest and income taxes in the segment reporting information above less interest expense of $43.5 million and $46.5 million for the years ended December 31, 2012 and 2011 is equal to the Company’s income before income taxes on a consolidated basis for the corresponding periods.