10.

Segments

We report our operations through the following segments: (1) Americas; (2) Europe, Middle East and Africa (EMEA); (3) Asia Pacific; (4) Global Investment Management and (5) Development Services.

The Americas segment is our largest segment of operations and provides a comprehensive range of services throughout the U.S. and in the largest regions of Canada and key markets in Latin America. The primary services offered consist of the following: property sales, property leasing, mortgage services, appraisal and valuation, property management and occupier outsourcing services.

Our EMEA and Asia Pacific segments generally provide services similar to the Americas business segment. The EMEA segment has operations primarily in Europe, while the Asia Pacific segment has operations in Asia, Australia and New Zealand.

Our Global Investment Management business provides investment management services to clients seeking to generate returns and diversification through direct and indirect investments in real estate in North America, Europe and Asia Pacific.

Our Development Services business consists of real estate development and investment activities primarily in the U.S.

Summarized financial information by segment is as follows (dollars in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2017		2016 (1)		2017		2016 (1)
Revenue
Americas	$	1,856,887	$	1,780,389	$	3,549,533	$	3,368,264
EMEA		954,734		953,918		1,798,922		1,794,265
Asia Pacific		420,628		359,602		761,773		670,961
Global Investment Management		92,763		95,737		182,329		186,117
Development Services		17,203		17,891		30,862		34,664
Total revenue	$	3,342,215	$	3,207,537	$	6,323,419	$	6,054,271
Adjusted EBITDA
Americas	$	230,409	$	227,411	$	450,809	$	414,625
EMEA		68,577		59,854		102,441		87,665
Asia Pacific		43,200		28,235		63,481		41,103
Global Investment Management		23,910		26,426		49,769		49,341
Development Services		46,453		18,525		49,257		50,400
Total Adjusted EBITDA	$	412,549	$	360,451	$	715,757	$	643,134

(1)	In 2017, we changed the presentation of the operating results of one of our emerging businesses among our regional services reporting segments. Prior year amounts have been reclassified to conform with the current-year presentation. This change had no impact on our consolidated results.

Adjusted EBITDA is the measure reported to the chief operating decision maker for purposes of making decisions about allocating resources to each segment and assessing performance of each segment. EBITDA represents earnings before net interest expense, income taxes, depreciation and amortization. Amounts shown for adjusted EBITDA further remove (from EBITDA) the impact of certain cash and non-cash charges related to acquisitions, cost-elimination expenses and certain carried interest incentive compensation reversal to align with the timing of associated revenue.

Adjusted EBITDA is calculated as follows (dollars in thousands):

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2017			2016 (1)			2017			2016 (1)
Net income attributable to CBRE Group, Inc.	$	197,165		$	121,668		$	326,762		$	203,835
Add:
Depreciation and amortization		100,386			90,268			194,423			177,262
Interest expense		35,430			36,987			69,440			71,777
Provision for income taxes		68,362			64,039			119,635			114,164
Less:
Interest income		1,427			3,066			3,838			4,525
EBITDA		399,916			309,896			706,422			562,513
Adjustments:
Integration and other costs related to acquisitions		15,408			27,751			27,351			44,924
Cost-elimination expenses (2)		-			27,176			-			39,579
Carried interest incentive compensation reversal to align with the timing of associated revenue		(2,775	)		(4,372	)		(18,016	)		(3,882	)
Adjusted EBITDA	$	412,549		$	360,451		$	715,757		$	643,134

(1)	In 2017, we changed the presentation of the operating results of one of our emerging businesses among our regional services reporting segments. Prior year amounts have been reclassified to conform with the current-year presentation. This change had no impact on our consolidated results.

(2)

Represents cost-elimination expenses relating to a program initiated in the fourth quarter of 2015 and completed in the third quarter of 2016 (our cost-elimination project) to reduce the company’s global cost structure after several years of significant revenue and related cost growth. Cost-elimination expenses incurred during the three and six months ended June 30, 2016 consisted of $25.1 million and $36.9 million, respectively, of severance costs related to headcount reductions in connection with the program and $2.1 million and $2.7 million, respectively, of third-party contract termination costs.