XML 47 R23.htm IDEA: XBRL DOCUMENT v3.20.2
Business Segments
 12 Months Ended
Oct. 02, 2020
Segment Reporting [Abstract]  
Business Segments BUSINESS SEGMENTS:The Company reports its operating results in three reportable segments: FSS United States, FSS International and Uniform. Corporate includes general expenses not specifically allocated to an individual segment and share-based compensation expense (see Note 12). In the Company's food and support services segments, approximately 73% of the global revenue is related to food services and 27% is related to facilities services. During fiscal 2020, each reportable segment recorded severance charges related to COVID-19 adding up to approximately $145.8 million (see Note 3). During fiscal 2020, the Company reversed $29.8 million of previously recognized share-based compensation expense based on lower than estimated target attainment on plan metrics on each of the fiscal 2018, fiscal 2019 and fiscal 2020 PSU grants (see Note 12). During fiscal 2020 and fiscal 2019, the Company received proceeds of approximately $15.3 million and $16.2 million, respectively, relating to the recovery of the Company’s investment (possessory interest) at one of the National Park Service sites within the FSS United States segment. The Company recorded a gain related to the recovery of its investment, which is included in “Cost of services provided” on the Consolidated Statements of (Loss) Income. During the second quarter of fiscal 2020, the Company recognized a $198.6 million impairment charge related to one reporting unit in its FSS International segment (see Note 4). During fiscal 2019, the Company incurred expenses of $74.9 million related to special recognition awards, retirement contributions and employee training costs, which were paid with the proceeds of tax savings from U.S. tax reform. The breakdown of these expenses by segment are as follows: FSS United States: $58.7 million; FSS International: $0.4 million; Uniform: $14.4 million; and Corporate: $1.4 million. Financial information by segment follows (in millions):
Revenue (1)(2)
Fiscal Year Ended
October 2, 2020September 27, 2019September 28, 2018
FSS United States$7,366.7 $9,898.6 $10,137.8 
FSS International2,945.8 3,742.9 3,655.8 
Uniform2,517.1 2,585.8 1,996.0 
$12,829.6 $16,227.3 $15,789.6 
Operating Income (Loss) (1)(2)
Fiscal Year Ended
October 2, 2020September 27, 2019September 28, 2018
FSS United States$5.3 $716.8 $682.7 
FSS International(344.2)142.7 142.2 
Uniform171.5 191.3 181.4 
(167.4)1,050.8 1,006.3 
Corporate(97.5)(159.6)(187.9)
Operating (Loss) Income(264.9)891.2 818.4 
Interest and Other Financing Costs, net(382.8)(335.0)(346.6)
(Loss) Income Before Income Taxes$(647.7)$556.2 $471.8 
Depreciation and Amortization(2)
Fiscal Year Ended
October 2, 2020September 27, 2019September 28, 2018
FSS United States$379.2 $381.6 $405.0 
FSS International76.2 69.4 64.8 
Uniform137.2 138.7 123.4 
Corporate2.6 2.9 3.0 
$595.2 $592.6 $596.2 
Capital Expenditures and Other(1)(2)
Fiscal Year Ended
October 2, 2020September 27, 2019
September 28, 2018*
FSS United States$310.0 $375.9 $494.3 
FSS International48.9 69.4 84.1 
Uniform58.8 61.0 332.5 
Corporate2.1 0.1 1.2 
$419.8 $506.4 $912.1 
* Includes amounts acquired in business combinations.
Identifiable Assets(1)(2)
October 2, 2020**September 27, 2019
FSS United States$8,171.6 $8,368.1 
FSS International1,963.2 2,039.2 
Uniform3,159.9 3,118.7 
Corporate***2,418.0 210.3 
$15,712.7 $13,736.3 
** Includes capitalization of Operating Lease Right-of-use Assets.
*** Fiscal 2020 includes cash on hand from borrowings.
The following geographic data include revenue generated by subsidiaries within that geographic area and net property & equipment based on physical location (in millions):
Revenue(1)(2)
Fiscal Year Ended
October 2, 2020September 27, 2019September 28, 2018
United States$9,560.9 $12,070.0 $11,795.6 
Foreign3,268.7 4,157.3 3,994.0 
$12,829.6 $16,227.3 $15,789.6 
Property and Equipment, net(1)
October 2, 2020September 27, 2019
United States$1,759.2 $1,854.7 
Foreign291.7 327.1 
$2,050.9 $2,181.8 
(1)Revenue, operating income (loss), capital expenditures and other and identifiable assets for all segments in fiscal 2020 were negatively impacted by COVID-19.
(2)The adoption of the new ASU related to revenue recognition in fiscal 2019 impacted each of the financial information categories presented. All financial information categories in fiscal 2019 for the FSS United States segment were also impacted by the sale of HCT in the first quarter of fiscal 2019 (see Note 2).