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Segment Information (Tables)

3 Months Ended

Mar. 31, 2017

Reconciliation of Revenue from Segments to Consolidated

The following table presents revenue by segment:



	Three Months Ended
(dollars in millions)	March 31, 2017		March 31, 2016⁽¹⁾
Core Network Services Revenue:
North America	$	1,594	$	1,601
EMEA	175		190
Latin America	177		155
Total Core Network Services Revenue	1,946		1,946

Wholesale Voice Services Revenue:
North America	98		99
EMEA	2		4
Latin America	2		2
Total Wholesale Voice Services Revenue	102		105

Total Revenue	$	2,048	$	2,051

Reconciliation of Operating Profit (Loss) from Segments to Consolidated

The following table presents Adjusted EBITDA by segment and reconciles Adjusted EBITDA to net income:



	Three Months Ended
(dollars in millions)	March 31, 2017			March 31, 2016
Adjusted EBITDA:
North America	$	809		$	812
EMEA	56			54
Latin America	80			74
Unallocated Corporate Expenses	(240		)	(230		)
Adjusted EBITDA	705			710
Income Tax Expense	(70		)	(90		)
Total Other Expense	(172		)	(144		)
Depreciation and Amortization	(320		)	(301		)
Non-Cash Stock Compensation Attributable to Stock Awards	(48		)	(47		)
Net Income	$	95		$	128

Schedule of Segment Reporting Information, by Segment

The following table presents capital expenditures by segment and reconciles capital expenditures by segment to total capital expenditures:



	Three Months Ended
(dollars in millions)	March 31, 2017		March 31, 2016
Capital Expenditures:
North America	$	254	$	195
EMEA	31		39
Latin America	35		23
Unallocated Corporate Capital Expenditures	48		40
Total Capital Expenditures	$	368	$	297

Reconciliation of Assets from Segment to Consolidated

The following table presents total assets by segment:



(dollars in millions)	March 31, 2017		December 31, 2016
Assets:
North America	$	20,942	$	20,818
EMEA	1,662		1,639
Latin America	2,340		2,304
Other	127		127
Total Assets	$	25,071	$	24,888

Reconciliation of Goodwill from Segment to Consolidated

The changes in the carrying amount of goodwill by segment during the three months ended March 31, 2017 were as follows (in millions):



	North America		EMEA		Latin America		Total
Balance at December 31, 2016	$	7,024	$	109	$	596	$	7,729
Effect of foreign currency rate change	—		2		—		2
Balance at March 31, 2017	$	7,024	$	111	$	596	$	7,731

There were no events or changes in circumstances during the first three months of 2017 that indicated the carrying value of goodwill may not be recoverable.