SEGMENT REPORTING (Tables)

12 Months Ended

Dec. 31, 2020

Schedule of Business Segment Revenue and EBT from Continuing Operations

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.


	Years ended December 31,
	2020		2019		2018
	(In thousands)
Revenue:
Fleet Management Solutions:
ChoiceLease	$	3,159,909	$	3,077,051	$	2,832,046
SelectCare	514,310		541,358		502,835

Commercial rental	834,232		1,009,086		960,606
Other	69,125		92,286		87,331
Fuel services revenue	569,074		816,362		847,655
ChoiceLease liability insurance revenue (1)	23,817		35,260		28,220


Fleet Management Solutions	5,170,467		5,571,403		5,258,693
Supply Chain Solutions	2,544,420		2,551,271		2,398,144
Dedicated Transportation Solutions	1,229,374		1,417,483		1,333,313
Eliminations (2)	(524,170)		(614,356)		(576,204)
Total revenue	$	8,420,091	$	8,925,801	$	8,413,946

Earnings (Loss) From Continuing Operations Before Income Taxes:
Fleet Management Solutions	$	(141,957)	$	(70,274)	$	340,038
Supply Chain Solutions	159,940		145,060		130,262
Dedicated Transportation Solutions	73,442		81,149		61,236
Eliminations	(42,801)		(50,732)		(63,593)
	48,624		105,203		467,943
Unallocated Central Support Services (3)	(77,438)		(49,114)		(49,081)
Non-operating pension costs (4)	(11,167)		(60,406)		(7,541)
Other items impacting comparability, net (5)	(90,379)		(37,954)		(21,852)
Earnings (loss) from continuing operations before income taxes	$	(130,360)	$	(42,271)	$	389,469

_______________

(1)In the first quarter of 2020, we announced our plan to exit the extension of our liability insurance coverage for ChoiceLease customers. The exit of this program is estimated to be completed in the first quarter of 2021. We have reclassed the revenues associated with this program from our ChoiceLease revenues for better comparability of our on-going operations as this is now consistent with management reporting.

(2)Represents the elimination of intercompany revenues in our FMS business segment.

(3)Includes a one-time, special recognition and retention bonus of approximately $28 million for our front-line non-incentive compensation plan eligible employees paid in the fourth quarter of 2020.

(4)Non-operating pension costs include the amortization of net actuarial loss and prior service cost, interest cost and expected return on plan assets

components of pension and postretirement benefit costs and curtailment and settlement charges if one has occurred. Refer to Note 18, "Employee Benefit Plans," for a discussion on these items.

(5)Refer to Note 20, “Other Items Impacting Comparability,” for a discussion of items excluded from our primary measure of segment performance.

Schedule of Segment Information by Segment

The following table sets forth depreciation expense, amortization expense and other non-cash charges, net, interest expense (income), capital expenditures paid and total assets for the years ended December 31, 2020, 2019 and 2018, as provided to the chief operating decision-maker for each of our reportable business segments:


	FMS		SCS		DTS		CSS		Eliminations		Total
	(In thousands)
2020

Depreciation expense (1)	$	1,981,426	$	38,652	$	2,955	$	4,380	$	—	$	2,027,413


Amortization expense and other non-cash charges, net	135,499		68,878		1,025		2,344		—		207,746
Interest expense (income) (2)	255,264		602		(3,176)		8,652		—		261,342
Capital expenditures paid	1,089,773		37,742		1,459		17,547		—		1,146,521
Total assets	11,274,450		1,313,312		295,738		328,329		(279,875)		12,931,954
2019

Depreciation expense (1)	$	1,825,816	$	42,428	$	3,795	$	6,890	$	—	$	1,878,929


Amortization expense and other non-cash charges, net	128,322		61,419		1,510		4,077		—		195,328
Interest expense (income) (2)	243,406		1,038		(3,224)		161		—		241,381
Capital expenditures paid	3,643,573		49,421		2,182		39,998		—		3,735,174
Total assets	12,991,716		1,236,589		327,384		305,631		(385,986)		14,475,334
2018

Depreciation expense (1)	$	1,346,484	$	34,631	$	4,773	$	2,682	$	—	$	1,388,570


Amortization expense and other non-cash charges, net	82,980		70,099		1,545		1,053		—		155,677
Interest expense (income) (2)	181,335		1,171		(2,262)		244		—		180,488
Capital expenditures paid	2,979,482		45,348		1,444		24,135		—		3,050,409
Total assets	11,854,454		1,123,864		324,906		404,999		(360,415)		13,347,808

_______________

(1)Depreciation expense totaling $27 million, $27 million and $25 million during 2020, 2019 and 2018, respectively, associated with CSS assets was allocated to business segments based upon estimated and planned asset utilization.

(2)Interest expense was primarily allocated to the FMS segment since such borrowings were used principally to fund the purchase of revenue earning equipment used in FMS; however, interest was also reflected in SCS and DTS based on targeted segment leverage ratios.

Schedule of Geographic Information

Geographic Information


	December 31,
	2020		2019
	(In thousands)
Long-lived assets:
United States	$	8,682,657	$	10,106,520
Foreign:
Canada	622,111		737,037
Europe	337,310		439,772
Mexico	61,995		62,134


	1,021,416		1,238,943
Total	$	9,704,073	$	11,345,463