Segment Information

12 Months Ended

Dec. 31, 2019

SEGMENT INFORMATION

We have two reportable segments – Truckload Transportation Services (“TTS”) and Werner Logistics.

The TTS segment consists of two operating units, Dedicated and One-Way Truckload. These units are aggregated because they have similar economic characteristics and meet the other aggregation criteria described in the accounting guidance for segment reporting. Dedicated provides truckload services dedicated to a specific customer, generally for a retail distribution center or manufacturing facility, utilizing either dry van or specialized trailers. One-Way Truckload is comprised of the following operating fleets: (i) the medium-to-long-haul van (“Van”) fleet transports a variety of consumer nondurable products and other commodities in truckload quantities over irregular routes using dry van trailers, including Mexico cross-border routes; (ii) the expedited (“Expedited”) fleet provides time-sensitive truckload services utilizing driver teams; (iii) the regional short-haul (“Regional”) fleet provides comparable truckload van service within geographic regions across the United States; and (iv) the Temperature Controlled fleet provides truckload services for temperature sensitive products over irregular routes utilizing temperature-controlled trailers. Revenues for the TTS segment include a small amount of non-trucking revenues which consist primarily of the intra-Mexico portion of cross-border shipments delivered to or from Mexico where we utilize a third-party capacity provider.

The Werner Logistics segment generates the majority of our non-trucking revenues through four operating units that provide non-trucking services to our customers. These four Werner Logistics operating units are as follows: (i) Truckload Logistics, which uses contracted carriers to complete shipments for brokerage customers and freight management customers for which we offer a full range of single-source logistics management services and solutions; (ii) the intermodal (“Intermodal”) unit offers rail transportation through alliances with rail and drayage providers as an alternative to truck transportation; (iii) Werner Global Logistics international (“WGL”) provides complete management of global shipments from origin to destination using a combination of air, ocean, truck and rail transportation modes; and (iv) Werner Final Mile (“Final Mile”) offers home and business deliveries of large or heavy items using third-party agents with two associates operating a liftgate straight truck.

We generate other revenues from our driver training schools, transportation-related activities such as third-party equipment maintenance and equipment leasing, and other business activities. None of these operations meets the quantitative reporting thresholds. As a result, these operations are grouped in “Other” in the tables below. “Corporate” includes revenues and expenses that are incidental to our activities and are not attributable to any of our operating segments, including gains and losses on sales of assets not attributable to our operating segments. We do not prepare separate balance sheets by segment and, as a result, assets are not separately identifiable by segment. Inter-segment eliminations in the table below represent transactions between reporting segments that are eliminated in consolidation.

The following table summarizes our segment information (in thousands):



	Years Ended December 31,
	2019			2018			2017
Revenues
Truckload Transportation Services	$	1,909,776		$	1,881,323		$	1,635,244
Werner Logistics	489,729			518,078			417,639
Other	61,850			56,903			62,745
Corporate	2,589			2,759			1,938
Subtotal	2,463,944			2,459,063			2,117,566
Inter-segment eliminations	(243		)	(1,149		)	(829		)
Total	$	2,463,701		$	2,457,914		$	2,116,737

Operating Income
Truckload Transportation Services	$	202,660		$	202,581		$	138,059
Werner Logistics	16,288			20,378			8,683
Other	5,535			(453		)	35
Corporate	989			1,709			(2,957		)
Total	$	225,472		$	224,215		$	143,820

Information about the geographic areas in which we conduct business is summarized below (in thousands) as of and for the years ended December 31, 2019, 2018 and 2017. Operating revenues for foreign countries include revenues for (i) shipments with an origin or destination in that country and (ii) other services provided in that country. If both the origin and destination are in a foreign country, the revenues are attributed to the country of origin.



	2019		2018		2017
Revenues
United States	$	2,191,560	$	2,145,098	$	1,837,525
Foreign countries
Mexico	197,470		233,116		210,228
Other	74,671		79,700		68,984
Total foreign countries	272,141		312,816		279,212
Total	$	2,463,701	$	2,457,914	$	2,116,737

Long-lived Assets
United States	$	1,487,591	$	1,452,532	$	1,321,206
Foreign countries
Mexico	38,428		34,741		25,309
Other	257		289		348
Total foreign countries	38,685		35,030		25,657
Total	$	1,526,276	$	1,487,562	$	1,346,863

We generate substantially all of our revenues within the United States or from North American shipments with origins or destinations in the United States. No customer generated more than 9% of our total revenues for 2019, 2018 and 2017.