Segment Information

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Segment Information

SEGMENT INFORMATION

The Company operates in two reportable segments. The CAM segment consists of the Company's aircraft leasing operations and its segment earnings includes an allocation of interest expense. The ACMI Services segment consists of the Company's airline operations, including the CMI agreement with DHL as well as ACMI and charter service agreements that the Company has with other customers. Due to the similarities among the Company's airline operations, the airline operations are aggregated into a single reportable segment, ACMI Services. The Company's other activities, which include contracts with the USPS, the sale of aircraft parts and maintenance services, facility and ground equipment maintenance services and management services for workers' compensation do not constitute reportable segments and are combined in “All other” with inter-segment profit eliminations. Inter-segment revenues are valued at arms-length, market rates. Cash, cash equivalents and deferred tax assets are reflected in Assets - All other below. The Company's segment information from continuing operations is presented below (in thousands):

	Three Months Ending						Six Months Ending
	June 30,						June 30,
	2015			2014			2015			2014
Total revenues:
CAM	$	45,632		$	40,590		$	88,486		$	81,225
ACMI Services	103,892			111,304			209,360			219,900
All other	32,179			36,493			67,785			63,301
Eliminate inter-segment revenues	(33,350		)	(38,769		)	(70,253		)	(71,215		)
Total	$	148,353		$	149,618		$	295,378		$	293,211
Customer revenues:
CAM	$	24,660		$	17,839		$	44,541		$	36,253
ACMI Services	103,892			111,304			209,360			219,900
All other	19,801			20,475			41,477			37,058
Total	$	148,353		$	149,618		$	295,378		$	293,211
Depreciation and amortization expense:
CAM	$	22,356		$	20,328		$	43,266		$	38,673
ACMI Services	9,027			7,191			17,118			14,026
All other	17			(377		)	9			(578		)
Total	$	31,400		$	27,142		$	60,393		$	52,121
Segment earnings (loss):
CAM	$	14,441		$	10,667		$	28,879		$	25,107
ACMI Services	1,126			309			(1,445		)	(6,737		)
All other	1,840			4,108			4,916			7,125
Net unallocated interest expense	(428		)	(424		)	(885		)	(803		)
Net gain on derivative instruments	264			31			251			330
Pre-tax earnings from continuing operations	$	17,243		$	14,691		$	31,716		$	25,022

The Company's assets are presented below by segment (in thousands):

	June 30,		December 31,
	2015		2014
Assets:
CAM	$	785,686	$	801,195
ACMI Services	140,372		135,109
All other	$	99,105	$	95,325
Total	$	1,025,163	$	1,031,629

Interest expense allocated to CAM was $2.4 million and $5.0 million for the three and six month periods ending June 30, 2015, respectively, compared to $3.0 million and $6.3 million for the corresponding periods of 2014, respectively.