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Business Segments and Customer Information | 12 Months Ended
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Dec. 31, 2018
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] |
Business Segments and Customer Information | Business Segments and Customer Information Segment Information Beginning in 2017, we changed our structure and as a result our former IT, Energy and Management Consulting Group was combined with our Federal Services Group. Consequently, our segment financial information for 2016 has been restated to reflect such change. Management of our business operations is conducted under three reportable operating segments: Supply Chain Management Group – Our Supply Chain Management Group supplies vehicle parts primarily through a Managed Inventory Program ("MIP") and direct sales to the USPS and to other customers. Aviation Group – Our Aviation Group provides MRO services, parts supply and distribution, and supply chain solutions for commercial and general aviation jet aircraft engines and engine accessories. Federal Services Group – Our Federal Services Group provides engineering, industrial, logistics, foreign military sales, legacy equipment sustainment services, IT and technical and consulting services primarily to the DoD and other government agencies. These segments operate under separate management teams and financial information is produced for each segment. We evaluate segment performance based on consolidated revenues and operating income. Net sales of our business segments exclude intersegment sales as these activities are eliminated in consolidation. Our segment information is as follows (in thousands):
For the years ended December 31, |  |  |  |  |
| 2018 |  | 2017 |  | 2016
Revenues |  |  |  |  |
Supply Chain Management Group | $ | 214,809 |  |  | $ | 214,542 |  |  | $ | 205,475 |
Aviation Group | 145,423 |  |  | 134,809 |  |  | 133,466 |
Federal Services Group | 336,986 |  |  | 410,762 |  |  | 352,849 |
Total revenues | $ | 697,218 |  |  | $ | 760,113 |  |  | $ | 691,790 |
Operating income: |  |  |  |  |  |  |  |
Supply Chain Management Group | $ | 30,626 |  |  | $ | 33,754 |  |  | $ | 34,632 |
Aviation Group | 11,076 |  |  | 9,695 |  |  | 12,823 |
Federal Services Group | 15,797 |  |  | 13,419 |  |  | 7,796 |
Corporate expenses | (3,269 | ) |  | (2,543 | ) |  | (3,722 | )
Operating income | $ | 54,230 |  |  | $ | 54,325 |  |  | $ | 51,529 |
Depreciation and amortization expense: |  |  |  |  |  |  |  |
Supply Chain Management Group | $ | 7,299 |  |  | $ | 6,536 |  |  | $ | 6,445 |
Aviation Group | 5,123 |  |  | 4,835 |  |  | 5,461 |
Federal Services Group | 12,802 |  |  | 14,511 |  |  | 14,140 |
Total depreciation and amortization | $ | 25,224 |  |  | $ | 25,882 |  |  | $ | 26,046 |
Capital expenditures: |  |  |  |  |  |  |  |
Supply Chain Management Group | $ | 802 |  |  | $ | 1,376 |  |  | $ | 4,195 |
Aviation Group | 1,772 |  |  | 1,387 |  |  | 1,459 |
Federal Services Group | 209 |  |  | 177 |  |  | 94 |
Corporate | 334 |  |  | 373 |  |  | 1,624 |
Total capital expenditures | $ | 3,117 |  |  | $ | 3,313 |  |  | $ | 7,372 |
| December 31,
| 2018 |  | 2017
Total assets: |  |  |
Supply Chain Management Group | $ | 166,015 |  |  | $ | 176,860 |
Aviation Group | 316,197 |  |  | 282,738 |
Federal Services Group | 92,098 |  |  | 102,372 |
Corporate | 64,518 |  |  | 67,043 |
Total assets | $ | 638,828 |  |  | $ | 629,013 |
Revenues are net of inter-segment eliminations. Corporate expenses are primarily selling, general and administrative expenses not allocated to segments. In the third quarter of 2018, we completed the sale of a contract we had been awarded by the National Institutes of Health, which resulted in a $1.7 million gain recorded within our Federal Services Group. Included in our Corporate expenses for 2016 is a charge of approximately $3.3 million for the settlement of the Heritage Litigation offset by a gain of approximately $1.4 million resulting primarily from the Maritime Administration contract close-outs. Corporate assets are primarily cash, property and equipment and investments held in separate trust. Customer Information Our revenues are derived from contract services performed for DoD agencies or federal civilian agencies and from the delivery of products to our clients. The USPS, U.S. Army and Army Reserve, and U.S. Navy are our largest customers. Our customers also include various other government agencies and commercial entities. Our revenue by customer is as follows for the years ended December 31, (in thousands):
|  | Revenues by Customer Years ended December 31,
Customer |  | 2018 |  | % |  | 2017 |  | % |  | 2016 |  | %
USPS |  | $ | 175,339 |  |  | 25.1 |  | $ | 180,205 |  |  | 23.7 |  | $ | 181,215 |  |  | 26.2
U.S. Navy |  | 160,952 |  |  | 23.1 |  | 206,644 |  |  | 27.2 |  | 190,155 |  |  | 27.5
U.S. Army |  | 156,519 |  |  | 22.5 |  | 188,462 |  |  | 24.8 |  | 139,764 |  |  | 20.2
U.S. Air Force |  | 17,023 |  |  | 2.4 |  | 7,123 |  |  | 0.9 |  | 3,482 |  |  | 0.5
Total - DoD |  | 334,494 |  |  | 48.0 |  | 402,229 |  |  | 52.9 |  | 333,401 |  |  | 48.2
Commercial Aviation |  | 135,864 |  |  | 19.5 |  | 126,960 |  |  | 16.7 |  | 131,067 |  |  | 19.0
Other Commercial |  | 14,742 |  |  | 2.1 |  | 12,498 |  |  | 1.7 |  | 10,721 |  |  | 1.5
Total - Commercial |  | 150,606 |  |  | 21.6 |  | 139,458 |  |  | 18.4 |  | 141,788 |  |  | 20.5
Other Government |  | 36,779 |  |  | 5.3 |  | 38,221 |  |  | 5.0 |  | 35,386 |  |  | 5.1
Total |  | $ | 697,218 |  |  | 100.0 |  | $ | 760,113 |  |  | 100.0 |  | $ | 691,790 |  |  | 100.0
We do not measure revenue or profit by product or service lines, either for internal management or external financial reporting purposes, because it would be impractical to do so. Products offered and services performed are determined by contract requirements and the types of products and services provided for one contract bear no relation to similar products and services provided on another contract. Products and services provided vary when new contracts begin or current contracts expire. In many cases, more than one product or service is provided under a contract or contract task order. Accordingly, cost and revenue tracking is designed to best serve contract requirements and segregating costs and revenues by product or service lines in situations for which it is not required would be difficult and costly to both us and our customers. Geographical Information Revenue by geography is based on the billing address of the customer. Our revenue by geographic area is as follows (in thousands):
|  | Years ended December 31,
|  | 2018 |  | 2017 |  | 2016
United States |  | $ | 647,168 |  |  | $ | 708,474 |  |  | $ | 638,726 |
Other Countries (1) |  | 50,050 |  |  | 51,639 |  |  | 53,064 |
Total revenue |  | $ | 697,218 |  |  | $ | 760,113 |  |  | $ | 691,790 |
(1) No individual country, other than disclosed above, exceeded 10% of our total revenue for any period presented.

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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