Operating Segments | Reportable Segments Effective January 1, 2018, we changed our organizational structure and, as a result, now are reporting two segments. The segments formerly known as Broadcast Solutions and Enterprise Solutions now are presented as the Enterprise Solutions segment, and the segments formerly known as Industrial Solutions and Network Solutions now are presented as the Industrial Solutions segment. The reorganization allows us to further accelerate progress in key strategic areas, and the segment consolidation properly aligns our external reporting with the way the businesses are now managed. We have recast the prior period segment information to conform to the change in the composition of these reportable segments. This change had no impact to our reporting units for purposes of goodwill impairment testing. The key measures of segment profit or loss reviewed by our chief operating decision maker are Segment Revenues and Segment EBITDA. Segment Revenues represent non-affiliate revenues and include revenues that would have otherwise been recorded by acquired businesses as independent entities but were not recognized in our Consolidated Statements of Operations and Comprehensive Income due to the effects of purchase accounting and the associated write-down of acquired deferred revenue to fair value. Segment EBITDA excludes certain items, including depreciation expense; amortization of intangibles; asset impairment; severance, restructuring, and acquisition integration costs; purchase accounting effects related to acquisitions, such as the adjustment of acquired inventory and deferred revenue to fair value; and other costs. We allocate corporate expenses to the segments for purposes of measuring Segment EBITDA. Corporate expenses are allocated on the basis of each segment’s relative EBITDA prior to the allocation. Our measure of segment assets does not include cash, goodwill, intangible assets, deferred tax assets, or corporate assets. All goodwill is allocated to reporting units of our segments for purposes of impairment testing. Enterprise Solutions Industrial Solutions Total Segments (In thousands) As of and for the three months ended September 30, 2018 Segment revenues $ 392,080 $ 266,923 $ 659,003 Affiliate revenues 1,776 15 1,791 Segment EBITDA 72,210 53,750 125,960 Depreciation expense 7,092 4,579 11,671 Amortization of intangibles 12,322 13,211 25,533 Amortization of software development intangible assets 620 — 620 Severance, restructuring, and acquisition integration costs 9,528 2,160 11,688 Purchase accounting effects of acquisitions 821 — 821 Deferred revenue adjustments 3,229 — 3,229 Segment assets 766,505 448,626 1,215,131 As of and for the three months ended October 1, 2017 Segment revenues $ 360,842 $ 260,903 $ 621,745 Affiliate revenues 971 2 973 Segment EBITDA 62,109 55,747 117,856 Depreciation expense 6,828 4,855 11,683 Amortization of intangibles 13,920 13,242 27,162 Severance, restructuring, and acquisition integration costs 9,309 7,370 16,679 Purchase accounting effects of acquisitions 2,922 — 2,922 Segment assets 658,175 400,538 1,058,713 As of and for the nine months ended September 30, 2018 Segment revenues $ 1,142,765 $ 795,102 $ 1,937,867 Affiliate revenues 4,318 61 4,379 Segment EBITDA 199,943 153,401 353,344 Depreciation expense 21,465 14,097 35,562 Amortization of intangibles 35,301 39,689 74,990 Amortization of software development intangible assets 1,344 — 1,344 Severance, restructuring, and acquisition integration costs 46,949 10,061 57,010 Purchase accounting effects of acquisitions 2,359 — 2,359 Deferred revenue adjustments 7,889 — 7,889 Segment assets 766,505 448,626 1,215,131 As of and for the nine months ended October 1, 2017 Segment revenues $ 1,023,924 $ 759,835 $ 1,783,759 Affiliate revenues 4,084 51 4,135 Segment EBITDA 168,073 153,675 321,748 Depreciation expense 20,129 14,465 34,594 Amortization of intangibles 38,241 39,703 77,944 Severance, restructuring, and acquisition integration costs 23,701 9,138 32,839 Purchase accounting effects of acquisitions 4,089 — 4,089 Segment assets 658,175 400,538 1,058,713 The following table is a reconciliation of the total of the reportable segments’ Revenues and EBITDA to consolidated revenues and consolidated income before taxes, respectively. Three Months Ended Nine Months Ended September 30, 2018 October 1, 2017 September 30, 2018 October 1, 2017 (In thousands) Total Segment Revenues $ 659,003 $ 621,745 $ 1,937,867 $ 1,783,759 Deferred revenue adjustments (1) (3,229 ) — (7,889 ) — Consolidated Revenues $ 655,774 $ 621,745 $ 1,929,978 $ 1,783,759 Total Segment EBITDA $ 125,960 $ 117,856 $ 353,344 $ 321,748 Gain from patent litigation 62,141 — 62,141 — Costs related to patent litigation (2,634 ) — (2,634 ) — Amortization of intangibles (25,533 ) (27,162 ) (74,990 ) (77,944 ) Severance, restructuring, and acquisition integration costs (2) (11,688 ) (16,679 ) (57,010 ) (32,839 ) Depreciation expense (11,671 ) (11,683 ) (35,562 ) (34,594 ) Deferred revenue adjustments (1) (3,229 ) — (7,889 ) — Purchase accounting effects related to acquisitions (3) (821 ) (2,922 ) (2,359 ) (4,089 ) Amortization of software development intangible assets (620 ) — (1,344 ) — Loss on sale of assets — — (94 ) — Income from equity method investment — 2,551 — 5,835 Eliminations (627 ) (845 ) (1,616 ) (2,628 ) Consolidated operating income 131,278 61,116 231,987 175,489 Interest expense, net (14,472 ) (19,385 ) (46,538 ) (66,424 ) Non-operating pension benefit (cost) 1,356 (325 ) 824 (880 ) Loss on debt extinguishment — (51,594 ) (22,990 ) (52,441 ) Consolidated income (loss) before taxes $ 118,162 $ (10,188 ) $ 163,283 $ 55,744 (1) For the three and nine months ended September 30, 2018 , our segment results include revenues that would have been recorded by acquired businesses had they remained as independent entities. Our consolidated results do not include these revenues due to the purchase accounting effect of recording deferred revenue at fair value. (2) See Note 9, Severance, Restructuring, and Acquisition Integration Activities, for details . (3) For the three and nine months ended September 30, 2018 , we recognized cost of sales for the adjustment of acquired inventory to fair value related to the SAM and NT2 acquisitions. |