BASIS OF PRESENTATION (Tables)

9 Months Ended

Sep. 30, 2018

Schedule of disaggregation of revenue from contracts with customers


	Three Months Ended September 30, 2018
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	68,822	$	63,926	$	50,079	$	182,827
Software (1)		31,578		25,718		15,541		72,837
Desktops		25,828		30,075		13,112		69,015
Servers/Storage		26,386		21,424		13,115		60,925
Net/Com products		27,380		16,601		12,745		56,726
Other hardware/services		64,878		107,733		43,563		216,174
Total net sales	$	244,872	$	265,477	$	148,155	$	658,504

(1) Certain software sales are reported on a net basis for the three months ended September 30, 2018 as a result of the adoption of ASC 606, but in the prior year would have been reported on a gross basis under the previous revenue recognition guidance – see the information below under the caption “Adoption of Recently Issued Accounting Standards”.


	Three Months Ended September 30, 2017
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	77,374	$	50,835	$	39,369	$	167,578
Software		66,094		67,623		39,579		173,296
Desktops		29,849		25,873		16,869		72,591
Servers/Storage		29,142		19,090		14,110		62,342
Net/Com products		24,085		14,645		11,855		50,585
Other hardware/services		64,025		89,956		48,857		202,838
Total net sales	$	290,569	$	268,022	$	170,639	$	729,230

The following table represents a disaggregation of revenue from arrangements with customers for the nine months ended September 30, 2018 and 2017, along with the reportable segment for each category.


	Nine Months Ended September 30, 2018
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	222,550	$	195,909	$	109,238	$	527,697
Software (1)		104,377		91,522		33,447		229,346
Desktops		82,518		91,307		41,948		215,773
Servers/Storage		85,190		70,262		46,753		202,205
Net/Com products		83,546		49,093		36,618		169,257
Other hardware/services		200,011		325,693		119,987		645,691
Total net sales	$	778,192	$	823,786	$	387,991	$	1,989,969

(1) Certain software sales are reported on a net basis for the nine months ended September 30, 2018 as a result of the adoption of ASC 606, but in the prior year would have been reported on a gross basis under the previous revenue recognition guidance – see the information below under the caption “Adoption of Recently Issued Accounting Standards”.


	Nine Months Ended September 30, 2017
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	226,152	$	150,799	$	99,999	$	476,950
Software		195,972		203,320		76,384		475,676
Desktops		85,994		76,015		78,045		240,054
Servers/Storage		85,949		59,864		40,290		186,103
Net/Com products		71,831		51,115		45,565		168,511
Other hardware/services		194,724		281,904		125,694		602,322
Total net sales	$	860,622	$	823,017	$	465,977	$	2,149,616

Schedule of information on contract liability

The following table provides information about contract liability from arrangements with customers as of September 30, 2018 and January 1, 2018:


	September 30, 2018		January 1, 2018
Contract liability, which are included in "Accrued expenses and other liabilities"	$	2,629	$	2,914

Significant changes in the contract liability balances during the three and nine months ended September 30, 2018 are as follows (in thousands):


	Three Months Ended
	September 30,
Balances at July 1,2018	$	8,433
Cash received in advance and not recognized as revenue		1,024
Amounts recognized as revenue as performance obligations satisfied		(6,828)
Balances at September 30, 2018	$	2,629

	Nine Months Ended
	September 30,
Balances at January 1, 2018	$	2,914
Cash received in advance and not recognized as revenue		9,520
Amounts recognized as revenue as performance obligations satisfied		(9,805)
Balances at September 30, 2018	$	2,629

ASU 2014-09

Schedule of the effect of the adoption of ASU 2014-09

The following table presents the effect of the adoption of ASC 606 on our condensed consolidated balance sheet as of January 1, 2018:


				Adjustments
		Balance at		Due to ASU		Balance at
		December 31, 2017		2014-09		January 1, 2018
Balance Sheet
Assets
Accounts receivable, net	$	449,682	$	14,568	$	464,250
Inventories		106,753		(10,869)		95,884
Prepaid expenses and other current assets		5,737		(132)		5,605
Long-term accounts receivable		—		1,890		1,890
Other assets		5,638		(3,914)		1,724

Liabilities
Accounts payable		194,257		(62)		194,195
Accrued expenses and other liabilities		31,096		(312)		30,784
Accrued payroll		22,662		291		22,953
Deferred income taxes		15,696		429		16,125


Stockholders' Equity
Retained earnings	$	383,673	$	1,197	$	384,870

The following tables present the effect of the adoption of ASC 606 on our condensed consolidated income statement and balance sheet and for the three and nine months ended September 30, 2018 and as of September 30, 2018, respectively:


		Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
						Balances without						Balances without
		As				Adoption of		As				Adoption of
		Reported		Adjustments		ASC 606		Reported		Adjustments		ASC 606
Income statement
Revenues
Net sales	$	658,504	$	107,826	$	766,330	$	1,989,969	$	296,583	$	2,286,552

Costs and expenses
Cost of sales		558,060		107,575		665,635		1,685,685		295,540		1,981,225

Income from operations		18,950		224		19,174		59,369		808		60,177
Income before taxes		19,064		224		19,288		59,781		808		60,589
Net income		13,766		162		13,928		43,292		584		43,876


		September 30, 2018
						Balances without
		As				Adoption of
		Reported		Adjustments		ASC 606
Balance Sheet
Assets
Accounts receivable, net	$	400,831	$	(4,463)	$	396,368
Inventories		105,283		6,059		111,342
Prepaid expenses and other current assets		6,068		129		6,197
Other assets		1,442		3,914		5,356

Liabilities
Accrued expenses and other liabilities	$	23,475	$	4,670	$	28,145
Accrued payroll		20,359		(103)		20,256
Deferred income taxes		16,125		(205)		15,920

Stockholders' Equity
Retained earnings	$	428,162	$	(613)	$	427,549