Business Segment Information

9 Months Ended

Sep. 30, 2012

Business Segment Information [Abstract]

BUSINESS SEGMENT INFORMATION

3. BUSINESS SEGMENT INFORMATION

The Company’s Transportation and Federal business segments reflect how executive management makes resource decisions and assesses its performance. Each segment operates under a separate management group and produces discrete financial information which is reviewed by management. The accounting policies of the business segments are the same as those described in the summary of significant accounting policies in the Company’s Form 10-K.

The Transportation segment provides services for Surface Transportation, Aviation, and Rail & Transit markets, and the Federal segment provides services for Defense, Environmental, Architecture, Geospatial Information Technology, Homeland Security, Municipal & Civil, Oil & Gas, Telecom & Utilities and Water markets. Among the services the Company provides to clients in these markets are program management, design-build (for which the Company provides only the design portion of services), construction management, consulting, planning, surveying, mapping, geographic information systems, architectural and interior design, construction inspection, constructability reviews, site assessment and restoration, strategic regulatory analysis and regulatory compliance. RBF’s results are bifurcated between the Company’s Transportation and Federal segments. Effective January 1, 2012, certain services that were previously managed by our Transportation segment have been transferred to the Federal segment.

Reclassifications have been made to the prior-year business segment results to reflect the current year presentation.

The Company evaluates the performance of its segments primarily based on operating income. The majority of SG&A overhead expenses are allocated between the Transportation and Federal segments based on that segment’s percentage of total direct labor. A portion of Corporate income and expense is not allocated to the segments.

The following tables reflect disclosures for the Company’s business segments:

	For the three months						For the nine months
	ended September 30,						ended September 30,
(In millions)	2012			2011			2012			2011
Revenues
Transportation	$	78.3		$	76.2		$	242.7		$	219.4
Federal		66.9			54.9			209.5			162.8
Total revenues	$	145.2		$	131.1		$	452.2		$	382.2
Gross Profit
Transportation	$	13.5		$	14.0		$	41.4		$	38.4
Federal		9.8			13.5			32.1			38.0
Corporate		(0.5	)		(0.4	)		(1.4	)		(0.7	)
Total gross profit		22.8			27.1			72.1			75.7
Less: SG&A
Transportation		(11.9	)		(11.1	)		(36.7	)		(35.1	)
Federal		(9.5	)		(6.6	)		(29.4	)		(21.9	)
Total SG&A		(21.4	)		(17.7	)		(66.1	)		(57.0	)
Operating income
Transportation		1.6			2.9			4.7			3.3
Federal		0.3			6.9			2.7			16.1
Corporate		(0.5	)		(0.4	)		(1.4	)		(0.7	)
Total operating income	$	1.4		$	9.4		$	6.0		$	18.7

	As of
	September 30,		December 31,
(In millions)	2012		2011
Segment assets:
Transportation	$	187.3	$	182.1
Federal		116.2		133.6
Corporate		78.9		64.2
Total	$	382.4	$	379.9

The Transportation segment had income from its unconsolidated subsidiaries of $0.4 million for both the three months ended September 30, 2012 and 2011 and $1.8 million and $0.7 million for the nine months ended September 30, 2012 and 2011, respectively. The Federal segment’s income/(loss) from unconsolidated subsidiaries was immaterial for both the three and nine months ended September 30, 2012 and 2011.

The Company has determined that interest expense, interest income, intersegment revenues and equity investments in unconsolidated subsidiaries, by segment, are immaterial for disclosure in these unaudited condensed consolidated financial statements.