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Segment Reporting | 12 Months Ended
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Dec. 31, 2012
Segment Reporting | 19. Segment Reporting We manage our business in five reportable operating segments: Corporate Finance/Restructuring, Forensic and Litigation Consulting, Economic Consulting, Technology and Strategic Communications. Our Corporate Finance/Restructuring segment focuses on strategic, operational, financial and capital needs of businesses around the world and provides consulting and advisory services on a wide range of areas, such as restructuring (including bankruptcy), interim management, financings, M&A, post-acquisition integration, valuations, tax issues and performance improvement. Our Forensic and Litigation Consulting segment provides law firms, companies, government clients and other interested parties with dispute advisory, investigations, forensic accounting, business intelligence assessments, data analytics, risk mitigation services, as well as interim management and performance improvement services for our health solutions practice clients. Our Economic Consulting segment provides law firms, companies, government entities and other interested parties with analysis of complex economic issues for use in legal, regulatory, and international arbitration proceedings, strategic decision making and public policy debates in the U.S. and around the world. Our Technology segment provides e-discovery and information management consulting, software and services to its clients. It provides products, services and consulting to companies, law firms, courts and government agencies worldwide. Its comprehensive suite of software and services help clients locate, review and produce ESI, including e-mail, computer files, voicemail, instant messaging, and financial and transactional data. Our Strategic Communications segment provides advice and consulting services relating to financial and corporate communications and investor relations, reputation management and brand communications, public affairs, business consulting and digital design and marketing. We evaluate the performance of our operating segments based on Adjusted Segment EBITDA. We define Adjusted Segment EBITDA as a segment’s share of consolidated operating income before depreciation, amortization of intangible assets, special charges and goodwill impairment charge. Although Adjusted Segment EBITDA is not a measure of financial condition or performance determined in accordance with GAAP, we use Adjusted Segment EBITDA to evaluate and compare the operating performance of our segments. The table below presents revenues and Adjusted Segment EBITDA for our reportable segments for the three years ended December 31, 2012:
|  | Year Ended December 31, |
|  | 2012 |  |  | 2011 |  |  | 2010 |
Revenues |  |  |  |  |  |  |  |  |  |  |  |
Corporate Finance/Restructuring |  | $ | 394,719 |  |  | $ | 364,409 |  |  | $ | 396,216 |
Forensic and Litigation Consulting |  |  | 407,586 |  |  |  | 428,730 |  |  |  | 379,780 |
Economic Consulting |  |  | 391,622 |  |  |  | 353,981 |  |  |  | 255,660 |
Technology |  |  | 195,194 |  |  |  | 218,738 |  |  |  | 176,607 |
Strategic Communications |  |  | 187,750 |  |  |  | 200,910 |  |  |  | 193,198 |
Total revenues |  | $ | 1,576,871 |  |  | $ | 1,566,768 |  |  | $ | 1,401,461 |
Adjusted Segment EBITDA |  |  |  |  |  |  |  |  |  |  |  |
Corporate Finance/Restructuring |  | $ | 101,137 |  |  | $ | 84,933 |  |  | $ | 108,152 |
Forensic and Litigation Consulting |  |  | 60,572 |  |  |  | 81,885 |  |  |  | 76,402 |
Economic Consulting |  |  | 77,461 |  |  |  | 67,028 |  |  |  | 49,481 |
Technology |  |  | 57,203 |  |  |  | 77,011 |  |  |  | 64,358 |
Strategic Communications |  |  | 25,019 |  |  |  | 26,801 |  |  |  | 28,971 |
Total Adjusted Segment EBITDA |  | $ | 321,392 |  |  | $ | 337,658 |  |  | $ | 327,364 |
The table below reconciles Total Adjusted Segment EBITDA to income before income tax provision. Unallocated corporate expenses include primarily indirect costs related to centrally managed administrative functions which have not been allocated to the segments. These administrative costs include costs related to executive management, legal, corporate office support costs, information technology, accounting, marketing, human resources, and company-wide business development functions.
|  | Year Ended December 31, |
|  | 2012 |  |  | 2011 |  |  | 2010 |
Total Adjusted Segment EBITDA(a) |  | $ | 321,392 |  |  | $ | 337,658 |  |  | $ | 327,364 |
Segment depreciation expense |  |  | (25,058 | ) |  |  | (23,620 | ) |  |  | (26,102 | )
Amortization of intangible assets |  |  | (22,407 | ) |  |  | (22,371 | ) |  |  | (23,910 | )
Special charges |  |  | (29,557 | ) |  |  | (15,212 | ) |  |  | (51,131 | )
Goodwill impairment charge |  |  | (110,387 | ) |  |  | — |  |  |  | — |
Unallocated corporate expenses, excluding special charges |  |  | (74,947 | ) |  |  | (71,008 | ) |  |  | (67,829 | )
Interest income and other |  |  | 5,659 |  |  |  | 6,304 |  |  |  | 4,423 |
Interest expense |  |  | (56,731 | ) |  |  | (58,624 | ) |  |  | (50,263 | )
Loss on early extinguishment of debt |  |  | (4,850 | ) |  |  | — |  |  |  | (5,161 | )
Income before income tax provision |  | $ | 3,114 |  |  | $ | 153,127 |  |  | $ | 107,391 |
(a) | Total Adjusted Segment EBITDA is the total of Adjusted Segment EBITDA for all segments.
The table below presents assets by segment. Segment assets primarily include accounts and notes receivable, fixed assets purchased specifically for the segment, goodwill and other intangible assets:
|  | December 31, |
|  | 2012 |  |  | 2011 |
Corporate Finance/Restructuring |  | $ | 653,998 |  |  | $ | 595,307 |
Forensic and Litigation Consulting |  |  | 397,879 |  |  |  | 403,676 |
Economic Consulting |  |  | 477,430 |  |  |  | 437,677 |
Technology |  |  | 203,117 |  |  |  | 213,817 |
Strategic Communications |  |  | 342,198 |  |  |  | 471,008 |
Total segment assets |  |  | 2,074,622 |  |  |  | 2,121,485 |
Unallocated corporate assets |  |  | 200,830 |  |  |  | 289,599 |
Total assets |  | $ | 2,275,452 |  |  | $ | 2,411,084 |
The table below details information on our revenues for the three years ended December 31, 2012. Revenues have been attributed to location based on the location of the legal entity generating the revenue:
|  | Year Ended December 31, |
|  | 2012 |  |  | 2011 |  |  | 2010 |
United States |  | $ | 1,171,805 |  |  | $ | 1,187,661 |  |  | $ | 1,104,836 |
All foreign countries |  |  | 405,066 |  |  |  | 379,107 |  |  |  | 296,625 |
Total revenue |  | $ | 1,576,871 |  |  | $ | 1,566,768 |  |  | $ | 1,401,461 |
We do not have a single customer that represents ten percent or more of our consolidated revenues. The table below details information on our long-lived assets and net assets at December 31, 2012 and 2011 attributed to geographic location based on the location of the legal entity holding the assets:
|  | December 31, 2012 |  |  | December 31, 2011 |
|  | United States |  |  | All foreign countries |  |  | United States |  |  | All foreign countries |
Property and equipment, net of accumulated depreciation |  | $ | 53,889 |  |  | $ | 14,303 |  |  | $ | 58,474 |  |  | $ | 15,974 |
Net assets |  | $ | 534,680 |  |  | $ | 533,552 |  |  | $ | 547,965 |  |  | $ | 558,237 |

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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 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 + Details
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