Segment Information

White Mountains has determined that its reportable segments are HG Global/BAM, MediaAlpha and Other Operations. As a result of OneBeacon Transaction, the results of operations for OneBeacon, previously reported in its own segment has been classified as discontinued operations and is now presented, net of related income taxes, as such in the statement of operations and comprehensive income. Prior year amounts have been reclassified to conform to the current period’s presentation. See Note 16 — “Held for Sale and Discontinued Operations”.

Beginning in the second quarter of 2017, MediaAlpha’s results have been presented as a separate segment within White Mountains’s consolidated financial statements. Amounts for MediaAlpha for the three months ended March 31, 2017 have been reclassified to conform to the current period’s presentation.

White Mountains has made its segment determination based on consideration of the following criteria: (i) the nature of the business activities of each of the Company’s subsidiaries and affiliates; (ii) the manner in which the Company’s subsidiaries and affiliates are organized; (iii) the existence of primary managers responsible for specific subsidiaries and affiliates; and (iv) the organization of information provided to the chief operating decision makers and the Board of Directors.

Significant intercompany transactions among White Mountains’s segments have been eliminated herein. The following table presents the financial information for White Mountains’s segments:



Millions	HG Global/BAM			MediaAlpha			Other Operations			Total
Three Months Ended March 31, 2018
Earned insurance premiums	$	3.0		$	—		$	—		$	3.0
Net investment income	3.7			—			16.0			19.7
Net realized and unrealized investment losses	(7.9		)	—			(45.8		)	(53.7		)
Advertising and commission revenues ⁽¹⁾	—			70.1			.9			71.0
Other revenue	.2			1.6			.3			2.1
Total revenues	(1.0		)	71.7			(28.6		)	42.1
Insurance acquisition expenses	1.4			—			—			1.4
Other underwriting expenses	.1			—			—			.1
Cost of sales	—			57.4			.7			58.1
General and administrative expenses	11.8			14.1			22.0			47.9
Interest expense	—			.4			.2			.6
Total expenses	13.3			71.9			22.9			108.1
Pre-tax loss	$	(14.3	)	$	(.2	)	$	(51.5	)	$	(66.0	)


⁽¹⁾	Approximately 31% of MediaAlpha’s advertising revenue was associated with one customer for the three months ended March 31, 2018.



Millions	HG Global/BAM			MediaAlpha			Other Operations		Total
Three Months Ended March 31, 2017
Earned insurance premiums	$	2.0		$	—		$	1.0	$	3.0
Net investment income	2.6			—			10.2		12.8
Net realized and unrealized investment gains	1.3			—			35.0		36.3
Advertising and commission revenues ⁽¹⁾	—			32.5			1.3		33.8
Other revenue	.4			—			2.5		2.9
Total revenues	6.3			32.5			50.0		88.8
Losses and loss adjustment expenses	—			—			1.1		1.1
Insurance acquisition expenses	1.2			—			.1		1.3
Other underwriting expenses	.1			—			—		.1
Cost of sales	—			27.7			1.1		28.8
General and administrative expenses	10.6			5.6			44.5		60.7
Interest expense	—			.2			.2		.4
Total expenses	11.9			33.5			47.0		92.4
Pre-tax (loss) income	$	(5.6	)	$	(1.0	)	$	3.0	$	(3.6	)


⁽¹⁾	Approximately 27% of MediaAlpha’s advertising revenue was associated with one customer for the three months ended March 31, 2017.