Segment Reporting

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

SEGMENT REPORTING

SEGMENT REPORTING

Our primary measurement of segment financial performance, defined as “Earnings Before Tax” (EBT) from continuing operations, includes an allocation of Central Support Services (CSS) and excludes non-operating pension costs, professional fees and other items discussed in Note 12, "Other Items Impacting Comparability." CSS represents those costs incurred to support all business segments, including human resources, finance, corporate services, public affairs, information technology, health and safety, legal, marketing and corporate communications. The objective of the EBT measurement is to provide clarity on the profitability of each segment and, ultimately, to hold leadership of each segment accountable for their allocated share of CSS costs. Certain costs are not attributable to any segment and remain unallocated in CSS, including costs for investor relations, public affairs and certain executive compensation.

Our Fleet Management Solutions (FMS) segment leases revenue earning equipment and provides fuel, maintenance and other ancillary services to the Dedicated Transportation Solutions (DTS) and Supply Chain Solutions (SCS) segments. Inter-segment revenue and EBT are accounted for at rates similar to those executed with third parties. EBT related to inter-segment equipment and services billed to customers (equipment contribution) are included in both FMS and the segment which served the customer and then eliminated (presented as “Eliminations”).

The following tables set forth financial information for each of our segments and provide a reconciliation between segment EBT and earnings from continuing operations before income taxes for the three months ended March 31, 2016 and 2015. Segment results are not necessarily indicative of the results of operations that would have occurred had each segment been an independent, stand-alone entity during the periods presented.

	FMS		DTS	SCS	Eliminations		Total
	(In thousands)
For the three months ended March 31, 2016
Revenue from external customers	$	996,115	244,842	388,715	—		1,629,672
Inter-segment revenue	101,813		—	—	(101,813	)	—
Total revenue	$	1,097,928	244,842	388,715	(101,813	)	1,629,672
Segment EBT	$	82,921	14,268	19,796	(11,744	)	105,241
Unallocated CSS							(9,665		)
Non-operating pension costs							(6,868		)
Earnings from continuing operations before income taxes							$	88,708
Segment capital expenditures paid (1)	$	560,285	517	7,323	—		568,125
Unallocated CSS							6,906
Capital expenditures paid							$	575,031
For the three months ended March 31, 2015
Revenue from external customers	$	983,440	212,659	371,054	—		1,567,153
Inter-segment revenue	103,710		—	—	(103,710	)	—
Total revenue	$	1,087,150	212,659	371,054	(103,710	)	1,567,153
Segment EBT	$	89,718	8,970	15,689	(11,534	)	102,843
Unallocated CSS							(11,942		)
Non-operating pension costs							(4,883		)
Professional fees (2)							(1,841		)
Earnings from continuing operations before income taxes							$	84,177
Segment capital expenditures paid	$	538,743	709	5,987	—		545,439
Unallocated CSS							7,803
Capital expenditures paid							$	553,242

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(1) Excludes revenue earning equipment acquired under capital leases.

(2) See Note 12, "Other Items Impacting Comparability," for additional information.