21. Business Segment Data

Operating segments are based on the Company’s business components about which separate financial information is available and are evaluated regularly by the Company’s chief operating decision-maker in deciding how to allocate resources and in assessing performance of the business.

The Company evaluates segment performance and allocates resources based upon operating income. The Company’s operations are managed in two reportable business segments: Digital product sales and Digital product lease and maintenance. Both design and produce large-scale, multi-color, real-time digital products. Both operating segments are conducted on a global basis, primarily through operations in the United States. The Company also has operations in Canada. The Digital product sales segment sells equipment and the Digital product lease and maintenance segment leases and maintains equipment. Corporate general and administrative items relate to costs that are not directly identifiable with a segment. There are no intersegment sales.

Foreign revenues represent less than 10% of the Company’s revenues for 2019 and 2018. The foreign operation does not manufacture its own equipment; the domestic operation provides the equipment that the foreign operation leases or sells. The foreign operation operates similarly to the domestic operation and has similar profit margins. Foreign assets are immaterial.

Information about the Company’s operations in its two business segments for the years ended December 31, 2019 and 2018 and as of December 31, 2019 and 2018 were as follows:

In thousands	2019		2018
Revenues:
Digital product sales	$	14,710	$	11,958
Digital product lease & maintenance		2,325		2,441
Total revenues	$	17,035	$	14,399
Operating income (loss):
Digital product sales	$	183	$	(1,744)
Digital product lease & maintenance		1,752		1,062
Corporate general and administrative expenses		(2,386)		(3,364)
Total operating loss		(451)		(4,046)
Interest expense, net		(504)		(940)
(Loss) gain on foreign currency remeasurement		(130)		225
Loss on extinguishment of debt		(193)		-
Gain on sale/leaseback transaction		-		11
Pension (expense) benefit		(83)		103
Loss before income taxes		(1 361)		(4,647)
Income tax expense		(41)		(47)
Net loss	$	(1 402)	$	(4,694)
Assets:
Digital product sales	$	8,204	$	7,689
Digital product lease & maintenance		3,515		3,054
Total identifiable assets		11,719		10,743
General corporate		535		723
Total assets	$	12,254	$	11,466
Depreciation and amortization:
Digital product sales	$	234	$	234
Digital product lease & maintenance		427		706
General corporate		7		12
Total depreciation and amortization	$	668	$	952
Capital expenditures:
Digital product sales	$	376	$	140
Digital product lease & maintenance		44		-
General corporate		1		-
Total capital expenditures	$	421	$	140