Segment Information

In January 2018, we revised our business reporting groups to reflect how we manage these groups and clients served in each market. The Commerce Services group was formed and includes our Global Ecommerce and Presort Services segments. We have classified the operating results of the Production Mail Business as discontinued operations and as such, segment operating results for prior years have been recast to conform to this presentation. The principal products and services of each of our reportable segments are as follows:

Commerce Services:

Global Ecommerce: Includes the worldwide revenue and related expenses from cross-border ecommerce transactions and domestic retail and ecommerce shipping solutions, including fulfillment and returns.

Presort Services: Includes revenue and related expenses from sortation services which allow clients to qualify large mail volumes for postal worksharing discounts.

Small & Medium Business Solutions:

North America Mailing: Includes the revenue and related expenses from mailing and office solutions, financing services and supplies for small and medium businesses to efficiently create physical and digital mail, evidence postage and help simplify and save on the sending, tracking and receiving of letters, parcels and flats in the U.S. and Canada.

International Mailing: Includes the revenue and related expenses from mailing and office solutions, financing services and supplies for small and medium businesses to efficiently create physical and digital mail, evidence postage and help simplify and save on the sending, tracking and receiving of letters, parcels and flats in areas outside the U.S. and Canada.

Software Solutions:

Includes the worldwide revenue and related expenses from the licensing of customer engagement, customer information, and location intelligence software and data solutions and related support services.

We determine segment earnings before interest and taxes (EBIT) by deducting from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges and other items, which are not allocated to a particular business segment. Management uses segment EBIT to measure profitability and performance at the segment level and believes that it provides a useful measure of operating performance and underlying trends of the businesses. Segment EBIT may not be indicative of our overall consolidated performance and therefore, should be read in conjunction with our consolidated results of operations. The following tables provide information about our reportable segments.

Revenue and EBIT by business segment is presented below:



	Revenue
	Three Months Ended June 30,				Six Months Ended June 30,
	2018		2017		2018		2017
Global Ecommerce	$	239,100	$	94,506	$	485,690	$	182,658
Presort Services	122,730		118,452		257,188		251,129
Commerce Services	361,830		212,958		742,878		433,787
North America Mailing	314,546		340,949		640,115		696,902
International Mailing	93,358		95,425		191,395		188,624
Small & Medium Business Solutions	407,904		436,374		831,510		885,526
Software Solutions	91,702		81,081		167,996		154,280
Total revenue	$	861,436	$	730,413	$	1,742,384	$	1,473,593



	EBIT
	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
Global Ecommerce	$	(5,993	)	$	(4,030	)	$	(13,704	)	$	(8,300	)
Presort Services	12,565			19,270			39,591			49,987
Commerce Services	6,572			15,240			25,887			41,687
North America Mailing	115,193			120,797			234,763			262,041
International Mailing	13,215			14,020			29,246			27,430
Small & Medium Business Solutions	128,408			134,817			264,009			289,471
Software Solutions	18,433			5,091			20,925			6,397
Total segment EBIT	153,413			155,148			310,821			337,555
Reconciling items:
Unallocated corporate expenses	(46,477		)	(52,549		)	(97,561		)	(110,151		)
Interest, net	(41,969		)	(40,443		)	(85,047		)	(79,093		)
Restructuring charges and asset impairments, net	(11,503		)	(25,990		)	(12,407		)	(27,639		)
Gain from the sale of technology	—			6,085			—			6,085
Transaction costs	—			—			(1,053		)	—
Income from continuing operations before income taxes	53,464			42,251			114,753			126,757
Provision for income taxes	6,458			790			22,721			27,872
Income from discontinued operations, net of tax	1,208			7,440			9,695			15,149
Net income	$	48,214		$	48,901		$	101,727		$	114,034