Note 7—Segment Reporting

Our broad portfolio of products includes bottled water, coffee, brewed tea, water dispensers, coffee and tea brewers, speciality coffee, liquid coffee or tea concentrate, single cup coffee, cold brewed coffee, iced blend coffee or tea beverages, blended teas, hot tea, sparkling tea, coffee or tea extract solutions, filtration equipment, hot chocolate, soups, malt drinks, creamers/whiteners, cereals, beverage concentrates and mineral water.

Our business operates through three reporting segments: Route Based Services; Coffee, Tea and Extract Solutions; and All Other. Our corporate oversight function is not treated as a segment; it includes certain general and administrative costs that are not allocated to any of the reporting segments.

For the Three Months Ended March 31, 2018

(in millions of U.S. dollars)

Route
Based
Services

Coffee, Tea
and Extract
Solutions

All
Other

Corporate

Eliminations

Total

Revenue, net¹

371.1

146.1

44.7

—

(1.1

)

560.8

Depreciation and amortization

39.8

5.7

1.8

0.1

—

47.4

Operating income (loss)

12.4

4.1

1.4

(11.8

)

—

6.1

Additions to property, plant & equipment

27.1

2.1

0.6

—

29.8

As of March 31, 2018

Total segment assets²

2,392.8

459.9

237.9

121.2

—

3,211.8

^1.

Intersegment revenue between the Coffee, Tea and Extract Solutions and the Route Based Services reporting segments was $1.1 million for the three months ended March 31, 2018. In addition, All Other includes $4.2 million of related party concentrate sales to discontinued operations for the three months ended March 31, 2018.

^2.	Excludes intersegment receivables, investments and notes receivable.


	For the Three Months Ended April 1, 2017
(in millions of U.S. dollars)	Route Based Services		Coffee, Tea and Extract Solutions		All Other		Corporate			Eliminations		Total
Revenue, net¹	$	352.3	$	143.3	$	41.3	$	—		$	—	$	536.9
Depreciation and amortization		36.0		5.5		2.1		—			—		43.6
Operating income (loss)		9.4		5.6		0.4		(10.2	)		—		5.2
Additions to property, plant & equipment		23.1		5.0		0.1		—			—		28.2
As of December 30, 2017
Total segment assets²		2,343.4		455.7		207.8		—			—		3,006.9

^1.	All Other includes $10.3 million of related party concentrate sales to discontinued operations for the three months ended April 1, 2017.

^2.	Excludes intersegment receivables, investments and notes receivable.


(in millions of U.S. dollars)	December 30, 2017
Segment assets¹	$	3,006.9
Assets of discontinued operations¹		1,086.2

Total assets	$	4,093.1

^1.	Excludes intersegment receivables, investments and notes receivable.

Credit risk arises from the potential default of a customer in meeting its financial obligations to us. Concentrations of credit exposure may arise with a group of customers that have similar economic characteristics or that are located in the same geographic region. The ability of such customers to meet obligations would be similarly affected by changing economic, political or other conditions. We are not currently aware of any facts that would create a material credit risk.

Revenues by channel by reporting segment were as follows:

For the Three Months Ended March 31, 2018

(in millions of U.S. dollars)

Route
Based
Services

Coffee, Tea
and Extract
Solutions

All
Other

Eliminations

Total

Revenue, net

Home and office bottled water delivery

228.9

—

228.9

Coffee and tea services

46.3

117.2

0.7

(1.0

)

163.2

Retail

54.7

—

15.4

—

70.1

Other

41.2

28.9

28.6

(0.1

)

98.6

Total

371.1

146.1

44.7

(1.1

)

560.8


	For the Three Months Ended April 1, 2017
(in millions of U.S. dollars)	Route Based Services		Coffee, Tea and Extract Solutions		All Other		Eliminations		Total
Revenue, net
Home and office bottled water delivery	$	218.0	$	—	$	—	$	—	$	218.0
Coffee and tea services		45.9		119.7		0.6		—		166.2
Retail		51.8		—		11.7		—		63.5
Other		36.6		23.6		29.0		—		89.2

Total	$	352.3	$	143.3	$	41.3	$	—	$	536.9