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Segment Information
12 Months Ended
Dec. 31, 2015
Segment Reporting [Abstract]  
Segment Information

17. Segment Information

Schlumberger’s segments are as follows:

Reservoir Characterization Group  Consists of the principal Technologies involved in finding and defining hydrocarbon resources. These include WesternGeco, Wireline, Testing Services, Software Integrated Solutions and Integrated Services Management.

Drilling Group  Consists of the principal Technologies involved in the drilling and positioning of oil and gas wells.  These include Bits & Drilling Tools, M-I SWACO, Drilling & Measurements, Land Rigs and Integrated Drilling Services.

Production Group  Consists of the principal Technologies involved in the lifetime production of oil and gas reservoirs. These include Well Services, Completions, Artificial Lift, Well Intervention, Water Services, Integrated Production Services and Schlumberger Production Management.

Financial information for the years ended December 31, 2015, 2014 and 2013, by segment, is as follows:

 

 

 

 

 

 

(Stated in millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

 

 

 

 

 

 

 

 

 

Income

 

 

 

 

 

 

and

 

 

Capital

 

 

Revenue

 

 

before taxes

 

 

Assets

 

 

Amortization

 

 

Expenditures

 

Reservoir Characterization......................

$

9,501

 

 

$

2,450

 

 

$

8,266

 

 

$

1,279

 

 

$

649

 

Drilling..................................

 

13,563

 

 

 

2,538

 

 

 

8,535

 

 

 

1,177

 

 

 

672

 

Production................................

 

12,548

 

 

 

1,585

 

 

 

9,937

 

 

 

1,216

 

 

 

825

 

Eliminations & other.........................

 

(137

)

 

 

(63

)

 

 

2,067

 

 

 

213

 

 

 

264

 

Pretax operating income.....................

 

 

 

 

 

6,510

 

 

 

 

 

 

 

 

 

 

 

 

 

Goodwill and intangible assets...................

 

 

 

 

 

 

 

 

 

20,174

 

 

 

 

 

 

 

 

 

All other assets.............................

 

 

 

 

 

 

 

 

 

2,262

 

 

 

 

 

 

 

 

 

Corporate & other (1).........................

 

 

 

 

 

(768

)

 

 

16,764

 

 

 

193

 

 

 

 

 

Interest income (2)...........................

 

 

 

 

 

30

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense (3)..........................

 

 

 

 

 

(316

)

 

 

 

 

 

 

 

 

 

 

 

 

Charges & credits (4).........................

 

 

 

 

 

(2,575

)

 

 

 

 

 

 

 

 

 

 

 

 

 

$

35,475

 

 

$

2,881

 

 

$

68,005

 

 

$

4,078

 

 

$

2,410

 

 

 

 

 

 

 

 

(Stated in millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

 

 

 

 

 

 

 

 

 

Income

 

 

 

 

 

 

and

 

 

Capital

 

 

Revenue

 

 

before taxes

 

 

Assets

 

 

Amortization

 

 

Expenditures

 

Reservoir Characterization......................

$

12,905

 

 

$

3,708

 

 

$

9,191

 

 

$

1,459

 

 

$

1,207

 

Drilling..................................

 

18,128

 

 

 

3,805

 

 

 

11,155

 

 

 

1,173

 

 

 

1,328

 

Production................................

 

17,763

 

 

 

3,193

 

 

 

11,481

 

 

 

1,066

 

 

 

1,192

 

Eliminations & other..........................

 

(216

)

 

 

(130

)

 

 

1,572

 

 

 

198

 

 

 

249

 

Pretax operating income.....................

 

 

 

 

 

10,576

 

 

 

 

 

 

 

 

 

 

 

 

 

Goodwill and intangible assets...................

 

 

 

 

 

 

 

 

 

20,141

 

 

 

 

 

 

 

 

 

All other assets.............................

 

 

 

 

 

 

 

 

 

2,186

 

 

 

 

 

 

 

 

 

Corporate & other (1).........................

 

 

 

 

 

(848

)

 

 

11,178

 

 

 

198

 

 

 

 

 

Interest income (2)...........................

 

 

 

 

 

31

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense (3)..........................

 

 

 

 

 

(347

)

 

 

 

 

 

 

 

 

 

 

 

 

Charges & credits (4).........................

 

 

 

 

 

(1,773

)

 

 

 

 

 

 

 

 

 

 

 

 

 

$

48,580

 

 

$

7,639

 

 

$

66,904

 

 

$

4,094

 

 

$

3,976

 

 

 

 

 

 

 

(Stated in millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2013

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

 

 

 

 

 

 

 

 

 

Income

 

 

 

 

 

 

and

 

 

Capital

 

 

Revenue

 

 

before taxes

 

 

Assets

 

 

Amortization

 

 

Expenditures

 

Reservoir Characterization......................

$

13,050

 

 

$

3,711

 

 

$

9,316

 

 

$

1,402

 

 

$

1,361

 

Drilling..................................

 

16,792

 

 

 

3,238

 

 

 

10,440

 

 

 

1,076

 

 

 

1,289

 

Production................................

 

15,646

 

 

 

2,624

 

 

 

10,929

 

 

 

1,001

 

 

 

1,126

 

Eliminations & other.........................

 

(222

)

 

 

(229

)

 

 

2,332

 

 

 

192

 

 

 

167

 

Pretax operating income.....................

 

 

 

 

 

9,344

 

 

 

 

 

 

 

 

 

 

 

 

 

Goodwill and intangible assets...................

 

 

 

 

 

 

 

 

 

19,415

 

 

 

 

 

 

 

 

 

All other assets.............................

 

 

 

 

 

 

 

 

 

2,618

 

 

 

 

 

 

 

 

 

Corporate & other (1).........................

 

 

 

 

 

(726

)

 

 

12,050

 

 

 

208

 

 

 

 

 

Interest income (2)...........................

 

 

 

 

 

22

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense (3)..........................

 

 

 

 

 

(369

)

 

 

 

 

 

 

 

 

 

 

 

 

Charges & credits (4).........................

 

 

 

 

 

420

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

45,266

 

 

$

8,691

 

 

$

67,100

 

 

$

3,879

 

 

$

3,943

 

 

(1) Comprised principally of certain corporate expenses not allocated to the segments, stock-based compensation costs, amortization expense associated with certain intangible assets, certain centrally managed initiatives and other nonoperating items. Corporate assets consist of cash, short-term investments, fixed income investments, held to maturity and investments in affiliates.

(2)  Interest income excludes amounts which are included in the segments’ income (2015: $22 million; 2014: $20 million; 2013: $11 million).

(3) Interest expense excludes amounts which are included in the segments’ income (2015: $30 million; 2014: $22 million; 2013: $22 million).

(4)  See Note 3Charges and Credits.

Segment assets consist of receivables, inventories, fixed assets, multiclient seismic data and SPM investments.

Depreciation and amortization includes depreciation of property, plant and equipment and amortization of intangible assets, multiclient seismic data costs and SPM investments.

Revenue by geographic area for the years ended December 31, 2015, 2014 and 2013 is as follows:

 

(Stated in millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2015

 

 

2014

 

 

2013

 

North America.........................................

$

9,811

 

 

$

16,151

 

 

$

13,897

 

Latin America..........................................

 

6,014

 

 

 

7,699

 

 

 

7,754

 

Europe/CIS/Africa.......................................

 

9,284

 

 

 

12,515

 

 

 

12,411

 

Middle East & Asia......................................

 

9,898

 

 

 

11,875

 

 

 

10,767

 

Eliminations & other.....................................

 

468

 

 

 

340

 

 

 

437

 

 

$

35,475

 

 

$

48,580

 

 

$

45,266

 

 

Revenue is based on the location where services are provided.

During each of the three years ended December 31, 2015, 2014 and 2013, no single customer exceeded 10% of consolidated revenue.

Schlumberger did not have revenue from third-party customers in its country of domicile during the last three years. Revenue in the United States in 2015, 2014 and 2013 was $8.5 billion, $14.0 billion and $12.0 billion, respectively.

Fixed Assets less accumulated depreciation by geographic area are as follows:

 

(Stated in millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2015

 

 

2014

 

 

2013

 

North America.........................................

$

4,392

 

 

$

4,885

 

 

$

4,858

 

Latin America..........................................

 

1,728

 

 

 

1,969

 

 

 

1,889

 

Europe/CIS/Africa.......................................

 

2,978

 

 

 

3,640

 

 

 

3,452

 

Middle East & Asia......................................

 

3,078

 

 

 

3,446

 

 

 

2,991

 

Unallocated (1).........................................

 

1,239

 

 

 

1,456

 

 

 

1,906

 

 

$

13,415

 

 

$

15,396

 

 

$

15,096

 

 

(1) Represents seismic vessels, including the related on-board equipment, which frequently transition between geographic areas.