Reportable Segments

12 Months Ended

Sep. 28, 2014

Reportable Segments

Reportable Segments

19.         Reportable Segments

              Our reportable segments for fiscal 2014 were as follows:

              Engineering and Consulting Services.    ECS provides front-end science, consulting engineering and project management services in the areas of water management, water infrastructure, solid waste management, mining, geotechnical sciences, arctic engineering, industrial processes and oil sands, transportation, and information technology.

              Technical Support Services.    TSS provides management consulting and engineering services and strategic direction in the areas of environmental assessments/hazardous waste management, climate change, international development, energy, oil and gas, technical government consulting, and building and facilities.

              Remediation and Construction Management.    RCM provides full-service support, including construction and construction management, to all of our client sectors, including the U.S. federal government in the United States and internationally, and commercial clients worldwide, in the areas of environmental remediation, infrastructure development, solid waste management, energy, and oil and gas.

              Management evaluates the performance of these reportable segments based upon their respective segment operating income before the effect of amortization expense related to acquisitions and other unallocated corporate expenses. We account for inter-segment sales and transfers as if the sales and transfers were to third parties; that is, by applying a negotiated fee onto the costs of the services performed. All significant intercompany balances and transactions are eliminated in consolidation.

              The following tables set forth summarized financial information concerning our reportable segments:

Reportable Segments

	Fiscal Year Ended
	September 28, 2014			September 29, 2013			September 30, 2012
	(in thousands)
Revenue
ECS	$	963,024		$	1,035,983		$	1,155,256
TSS		912,749			932,375			1,020,779
RCM		703,253			725,689			621,957
Elimination of inter-segment revenue		(95,212	)		(80,292	)		(86,917	)
Total revenue	$	2,483,814		$	2,613,755		$	2,711,075
Operating Income
ECS	$	76,015		$	44,598		$	96,220
TSS		91,859			71,842			71,767
RCM		(34,310	)		(6,706	)		22,374
Corporate (1)		20,269			(89,516	)		(23,994	)
Total operating income	$	153,833		$	20,218		$	166,367
Depreciation
ECS	$	7,704		$	10,494		$	10,126
TSS		2,303			2,839			3,227
RCM		13,342			13,160			10,233
Corporate		3,103			3,055			3,065
Total depreciation	$	26,452		$	29,548		$	26,651

(1) Includes goodwill impairment charge, amortization of intangibles, other costs and other income not allocable to segments. The goodwill impairment charge of $56.6 million for fiscal 2013 was recorded at Corporate. The intangible asset amortization expense for fiscal 2014, 2013 and 2012 was $27.3 million, $32.4 million and $29.6 million, respectively. Corporate results also included income for fair value adjustments to contingent consideration liabilities of $58.7 million, $9.6 million and $19.2 million for 2014, 2013 and 2012, respectively.

	September 28, 2014			September 29, 2013
	(in thousands)
Total Assets
ECS	$	920,890		$	912,996
TSS		741,011			673,864
RCM		408,238			435,053
Corporate (1)		(293,735	)		(222,821	)
Total assets	$	1,776,404		$	1,799,092

(1) Corporate assets consist of intercompany eliminations and assets not allocated to segments including goodwill, intangible assets, deferred income taxes and certain other assets.

Geographic Information

	Fiscal Year Ended
	September 28, 2014				September 29, 2013				September 30, 2012
	Revenue		Long-Lived Assets (2)		Revenue		Long-Lived Assets (2)		Revenue		Long-Lived Assets (2)
					(in thousands)
United States	$	1,840,129	$	95,425	$	1,915,780	$	110,313	$	2,046,700	$	100,958
Foreign countries (1)		643,685		68,187		697,975		90,435		664,375		70,010

(1)	Includes revenue generated from our foreign operations, primarily in Canada, and revenue generated from non-U.S. clients. Long-lived assets consist primarily of amounts from our Canadian operations.
(2)	Excludes goodwill and intangible assets.

Major Clients

              Other than the U.S. federal government, we had no single client that accounted for more than 10% of our revenue. All of our segments generated revenue from all client sectors.

              The following table presents our revenue by client sector:

	Fiscal Year Ended
	September 28, 2014		September 29, 2013		September 30, 2012
	(in thousands)
Client Sector
International (1)	$	643,685	$	697,975	$	664,375
U.S commercial		719,006		693,677		718,457
U.S. federal government (2)		766,514		829,790		1,008,424
U.S. state and local government		354,609		392,313		319,819
Total	$	2,483,814	$	2,613,755	$	2,711,075

(1)	Includes revenue generated from foreign operations, primarily in Canada, and revenue generated from non-U.S. clients.
(2)	Includes revenue generated under U.S. federal government contracts performed outside the United States.