v3.8.0.1
Segments (Tables)
 9 Months Ended
Sep. 30, 2017
Segment Reporting [Abstract]  
Information on Segments and Reconciliation to Earnings Before Income Taxes from Continuing Operations
Corporate-related assets that benefit multiple segments are reported as other assets in the table below.
(In Thousands)
September 30,
2017
 
December 31,
2016
Assets:
 
 
 
Progressive Leasing
$
969,220

 
$
919,487

Aaron's Business1
1,248,847

 
1,199,213

DAMI
104,267

 
102,958

Other
272,670

 
394,078

Total Assets
$
2,595,004

 
$
2,615,736

1 Includes inventory (principally raw materials and work-in-process) that has been classified within lease merchandise in the condensed consolidated balance sheets of $18.7 million and $14.3 million as of September 30, 2017 and December 31, 2016, respectively.
The Company determines earnings (loss) before income taxes for all reportable segments in accordance with U.S. GAAP. Interest expense is allocated to the Progressive Leasing and DAMI segments based on a percentage of the outstanding balances of its intercompany borrowings and of the debt incurred when it was acquired.
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
(In Thousands)
2017
 
2016
 
2017
 
2016
Revenues:
 
 
 
 
 
 
 
Progressive Leasing
$
398,282

 
$
308,397

 
$
1,137,896

 
$
913,636

Aaron's Business
431,665

 
454,105

 
1,335,516

 
1,482,581

DAMI
8,936

 
6,480

 
25,669

 
16,545

Total Revenues from External Customers
$
838,883

 
$
768,982

 
$
2,499,081

 
$
2,412,762

 
 
 
 
 
 
 
 
Earnings (Loss) Before Income Taxes:
 
 
 
 
 
 
 
Progressive Leasing
$
27,734

 
$
24,655

 
$
101,732

 
$
75,652

Aaron's Business1
15,484

 
23,151

 
85,564

 
118,168

DAMI
(3,997
)
 
(2,524
)
 
(8,457
)
 
(7,686
)
Total Earnings Before Income Taxes
$
39,221

 
$
45,282

 
$
178,839

 
$
186,134


1 Earnings before income taxes for the Aaron's Business during the nine months ended September 30, 2017 includes restructuring charges of $14.4 million related to store contractual lease obligations, severance costs and impairment charges in connection with the Company's strategic decision to close Company-operated stores, of which $0.8 million was incurred during the three months ended September 30, 2017.
Earnings before income taxes for the Aaron's Business during the nine months ended September 30, 2016 were impacted by: (1) a gain of $11.1 million on the January 29, 2016 sale of the Company's corporate office building; (2) a loss of $5.6 million related to exiting the HomeSmart business and the write-down of the HomeSmart disposal group to its fair value less cost to sell upon its classification as held for sale; and (3) charges of $3.7 million primarily related to the retirement of the Company's former Chief Financial Officer.