Segment Information

12 Months Ended

Dec. 31, 2018

Note 23. Segment Information

We measure the profit and performance of our operations on the basis of segment operating income which excludes restructuring charges and recoveries and impairment charges and recoveries. Intersegment sales are eliminated in consolidation and intersegment transfers are not significant. Corporate activities include expenses not allocated to operations. Depreciation and amortization and share-based compensation expense are the only significant non-cash items for the reportable segments.

Our reportable segments, with reconciliations to consolidated totals, are as follows:


	Year Ended December 31,
(in thousands)	2018			2017			2016
Revenue:
GES:
U.S.	$	847,241		$	872,154		$	826,408
International		281,145			282,712			248,503
Intersegment eliminations		(17,489	)		(21,769	)		(20,172	)
Total GES		1,110,897			1,133,097			1,054,739
Pursuit		185,287			173,868			153,364
Corporate eliminations ⁽¹⁾		—			—			(3,133	)
Total revenue	$	1,296,184		$	1,306,965		$	1,204,970
Segment operating income:
GES:
U.S.	$	25,779		$	35,219		$	41,358
International		13,823			15,512			9,737
Total GES		39,602			50,731			51,095
Pursuit		48,915			47,867			35,759
Segment operating income		88,517			98,598			86,854
Corporate eliminations ⁽¹⁾		67			67			(743	)
Corporate activities		(10,993	)		(12,396	)		(9,592	)
Operating income		77,591			86,269			76,519
Interest income		354			319			1,165
Interest expense		(9,640	)		(8,304	)		(5,898	)
Other expense ⁽²⁾		(1,744	)		(2,028	)		(1,656	)
Restructuring recoveries (charges):
GES U.S.		(408	)		354			(2,893	)
GES International		(1,049	)		(1,061	)		(1,559	)
Pursuit		(140	)		(86	)		(171	)
Corporate		10			(211	)		(560	)
Impairment recoveries (charges):
Pursuit		35			29,098			(218	)
Income from continuing operations before income taxes	$	65,009		$	104,350		$	64,729

⁽¹⁾

Corporate eliminations during 2018 and 2017 represent the elimination of depreciation expense recorded by Pursuit associated with previously eliminated intercompany profit realized by GES for renovations to Pursuit’s Banff Gondola. Corporate eliminations recorded during 2016 represent the elimination of intercompany revenue and profit realized by GES for work completed on renovations to Pursuit’s Banff Gondola.

⁽²⁾

We adopted ASU 2017-07 on January 1, 2018, which requires retrospective adoption. As a result, we recorded the nonservice cost component of net periodic benefit cost within other expense for the year ended December 31, 2018, and we reclassified $2.0 million from operating expenses to other expense for 2017 and $1.7 million for 2016 to conform with current period presentation. Refer to Note 1 – Overview and Summary of Significant Accounting Policies for additional details on the impact of this adoption on our Consolidated Statements of Operations.

	December 31,
(in thousands)	2018		2017		2016
Assets:
GES:
U.S.	$	377,801	$	380,909	$	380,951
International		140,481		135,917		109,705
Pursuit		357,630		350,256		301,941
Corporate and other		46,629		52,817		77,219
	$	922,541	$	919,899	$	869,816
Depreciation and amortization:
GES:
U.S.	$	29,711	$	29,088	$	21,473
International		8,215		8,176		8,092
Pursuit		18,690		17,653		12,967
Corporate and other		226		197		211
	$	56,842	$	55,114	$	42,743
Capital expenditures:
GES:
U.S.	$	18,453	$	17,337	$	14,291
International		7,875		8,084		5,033
Pursuit		56,865		30,786		31,861
Corporate and other⁽¹⁾		152		414		(1,370	)
	$	83,345	$	56,621	$	49,815

⁽¹⁾	The 2016 amount includes an intercompany elimination for work completed by GES on renovations to Pursuit’s Banff Gondola.

Geographic Areas

Our foreign operations are primarily in Canada, the United Kingdom, the Netherlands, Germany, and to a lesser extent, in certain other countries. GES revenue is designated as domestic or foreign based on the originating location of the product or service. Long-lived assets are attributed to domestic or foreign based principally on the physical location of the assets. Long-lived assets consist of “Property and equipment, net” and “Other investments and assets.” The table below presents the financial information by major geographic area:

	December 31,
(in thousands)	2018		2017		2016
Revenue:
United States	$	894,442	$	913,210	$	855,304
EMEA		218,247		209,824		205,028
Canada		183,495		183,931		144,638
Total revenue	$	1,296,184	$	1,306,965	$	1,204,970
Long-lived assets:
United States	$	182,140	$	180,345	$	182,611
EMEA		48,553		43,630		37,083
Canada		146,064		129,108		104,461
Total long-lived assets	$	376,757	$	353,083	$	324,155