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Segment Information | 6 Months Ended
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Jun. 30, 2017
Segment Reporting [Abstract] |
Segment Information | Segment Information We have three reportable segments. These segments consist of our Health Plans segment, which constitutes the vast majority of our operations; our Molina Medicaid Solutions segment; and our Other segment. Our reportable segments are consistent with how we currently manage the business and view the markets we serve. Gross margin is the appropriate earnings measure for our reportable segments, based on how our chief operating decision maker currently reviews results, assesses performance, and allocates resources. Gross margin for our Health Plans segment is referred to as “Medical margin,” and for our Molina Medicaid Solutions and Other segments, as “Service margin.” Medical margin represents the amount earned by the Health Plans segment after medical costs are deducted from premium revenue. The medical care ratio represents medical care costs as a percentage of premium revenue, and is one of the key metrics used to assess the performance of the Health Plans segment. Therefore, the underlying medical margin is the most important measure of earnings reviewed by the chief operating decision maker. The service margin is equal to service revenue minus cost of service revenue.
|  | Health Plans |  | Molina Medicaid Solutions |  | Other |  | Consolidated
|  | (In millions)
Three Months Ended June 30, 2017 |  |  |  |  |  |  |  |
Total revenue (1) |  | $ | 4,868 |  |  | $ | 47 |  |  | $ | 84 |  |  | $ | 4,999 |
Gross margin |  | 249 |  |  | 4 |  |  | 1 |  |  | 254 |
Impairment losses |  | — |  |  | — |  |  | (72 | ) |  | (72 | )
Restructuring and separation costs |  | — |  |  | — |  |  | (43 | ) |  | (43 | )
Six Months Ended June 30, 2017 |  |  |  |  |  |  |  |
Total revenue (1) |  | 9,639 |  |  | 93 |  |  | 171 |  |  | 9,903 |
Gross margin |  | 786 |  |  | 8 |  |  | 6 |  |  | 800 |
Impairment losses |  | — |  |  | — |  |  | (72 | ) |  | (72 | )
Restructuring and separation costs |  | — |  |  | — |  |  | (43 | ) |  | (43 | )
Three Months Ended June 30, 2016 |  |  |  |  |  |  |  |
Total revenue (1) |  | 4,223 |  |  | 46 |  |  | 90 |  |  | 4,359 |
Gross margin |  | 435 |  |  | 5 |  |  | 14 |  |  | 454 |
Impairment losses |  | — |  |  | — |  |  | — |  |  | — |
Restructuring and separation costs |  | — |  |  | — |  |  | — |  |  | — |
Six Months Ended June 30, 2016 |  |  |  |  |  |  |  |
Total revenue (1) |  | 8,424 |  |  | 98 |  |  | 180 |  |  | 8,702 |
Gross margin |  | 842 |  |  | 11 |  |  | 21 |  |  | 874 |
Impairment losses |  | — |  |  | — |  |  | — |  |  | — |
Restructuring and separation costs |  | — |  |  | — |  |  | — |  |  | — |
Total Assets |  |  |  |  |  |  |  |
June 30, 2017 |  | 6,732 |  |  | 240 |  |  | 1,611 |  |  | 8,583 |
December 31, 2016 |  | 5,897 |  |  | 267 |  |  | 1,285 |  |  | 7,449 |
Goodwill, and Intangible Assets, Net |  |  |  |  |  |  |  |
June 30, 2017 |  | 498 |  |  | 72 |  |  | 101 |  |  | 671 |
December 31, 2016 |  | 513 |  |  | 72 |  |  | 175 |  |  | 760 |
______________________
(1) | Total revenue consists primarily of premium revenue, premium tax revenue and health insurer fee revenue for the Health Plans segment, and service revenue for the Molina Medicaid Solutions and Other segments. Inter-segment revenue is insignificant for all periods presented.
The following table reconciles gross margin by segment to consolidated income before income tax expense:
| Three Months Ended June 30, |  | Six Months Ended June 30,
| 2017 |  | 2016 |  | 2017 |  | 2016
| (In millions)
Gross margin: |  |  |  |  |  |  |
Health Plans | $ | 249 |  |  | $ | 435 |  |  | $ | 786 |  |  | $ | 842 |
Molina Medicaid Solutions | 4 |  |  | 5 |  |  | 8 |  |  | 11 |
Other | 1 |  |  | 14 |  |  | 6 |  |  | 21 |
Total gross margin | 254 |  |  | 454 |  |  | 800 |  |  | 874 |
Add: other operating revenues (1) | 130 |  |  | 195 |  |  | 255 |  |  | 403 |
Less: other operating expenses (2) | (671 | ) |  | (544 | ) |  | (1,260 | ) |  | (1,083 | )
Operating (loss) income | (287 | ) |  | 105 |  |  | (205 | ) |  | 194 |
Other expenses (income), net | 27 |  |  | 25 |  |  | (22 | ) |  | 50 |
(Loss) income before income taxes | $ | (314 | ) |  | $ | 80 |  |  | $ | (183 | ) |  | $ | 144 |
______________________
(1) | Other operating revenues include premium tax revenue, health insurer fee revenue, investment income and other revenue.
(2) | Other operating expenses include general and administrative expenses, premium tax expenses, health insurer fee expenses, depreciation and amortization, impairment losses, and restructuring and separation costs.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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