Segment Reporting

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Segment Reporting

Note 10.Segment Reporting

The Company is organized based on the products and services it offers. The Company’s reportable segments, which are also its operating segments, are comprised of commercial aircraft and business jet. Each segment regularly reports its results of operations and makes requests for capital expenditures and acquisition funding to the Company’s chief operational decision-making group (“CODM”). This group is comprised of the Executive Chairman of the Board of Directors, the President and Chief Executive Officer and the Vice President and Chief Financial Officer. Each operating segment has separate management teams and infrastructures dedicated to providing a full range of products and services to their commercial, business jet, military, maintenance, repair and overhaul providers, aircraft leasing and aircraft manufacturing customers. The Company has not included product line information due to the similarity of commercial aircraft segment product offerings.

The following table presents revenues and operating earnings by reportable segment:

	Three months ended				Nine months ended
	September 30,				September 30,
	2015		2014		2015		2014
Revenues:
Commercial aircraft	$	507.8	$	513.9	$	1,573.2	$	1,578.4
Business jet		172.0		139.8		497.2		382.7
	$	679.8	$	653.7	$	2,070.4	$	1,961.1
Operating earnings(1)
Commercial aircraft	$	66.9	$	80.4	$	265.0	$	271.8
Business jet		8.3		(6.9)		63.2		30.1
		75.2		73.5		328.2		301.9
Corporate allocations related to discontinued operations		-		(9.4)		-		(16.1)
Operating earnings		75.2		64.1		328.2		285.8
Interest expense, net		24.0		34.2		72.4		96.5
Earnings from continuing operations
before income taxes	$	51.2	$	29.9	$	255.8	$	189.3

(1) Operating earnings includes an allocation of corporate IT costs, employee benefits and general and administrative costs based on the proportion of each segment’s systems users, number of employees and sales, respectively.

The following table presents capital expenditures(1) by reportable segment:

	Three months ended				Nine months ended
	September 30,				September 30,
	2015		2014		2015		2014
Commercial aircraft	$	11.4	$	20.6	$	47.9	$	68.2
Business jet		3.9		3.6		15.4		17.7
Discontinued operations		-		36.1		-		97.1
	$	15.3	$	60.3	$	63.3	$	183.0

(1) Corporate capital expenditures have been allocated to the above segments in a manner consistent with our corporate expense allocations.

The following table presents goodwill by reportable segment:

	September 30,		December 31,
	2015		2014
Commercial aircraft	$	374.6	$	379.8
Business jet		446.0		460.6
	$	820.6	$	840.4

The following table presents total assets(1) by reportable segment:

	September 30,		December 31,
	2015		2014
Commercial aircraft	$	2,129.0	$	2,112.4
Business jet		1,086.5		1,079.7
	$	3,215.5	$	3,192.1

(1) Corporate assets (including cash and cash equivalents) of $367.6 and $566.8at September 30, 2015 and December 31, 2014, respectively, have been allocated to the above segments in a manner consistent with our corporate expense allocations.