SEGMENT INFORMATION

Operating segments are defined as components of an enterprise that engage in business activities from which they

may

earn revenues and incur expenses, whos

e operating results are regularly reviewed by the enterprise’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. Financial information at the operating segment level is reviewed jointly by the Chief Executive Officer (“CEO”) and senior management. Senior management consists of executives who directly report to the CEO, comprising the Chief Financial Officer

, Chief Operating Officer, Global Head of Sales and Client Solutions, General Counsel, and Chief Human Resources Officer. Senior management, along with the CEO, constitute FactSet’s chief operating decision making group (“CODMG”) and is responsible for making decisions about resources allocated among the operating segments based on actual results.

FactSet

’s operating segments are aligned with how the Company, including its CODMG, manages the business and the demographic markets in which FactSet serves. The Company’s internal financial reporting structure is based on

three

segments; the U.S., Europe and Asia Pacific. FactSet believes this alignment helps it better manage the business and view the markets the Company serves, which are centered on providing integrated global financial and economic information. Sales, consulting, data collection, product development and software engineering are the primary functional groups within the U.S., Europe and Asia Pacific segments that provide global financial and economic information to investment managers, investment banks and other financial services professionals. The U.S. segment services investment professionals including financial institutions throughout the Americas

. The European and Asia Pacific segments service investment professionals located throughout Europe and the Asia Pacific region, respectively. The accounting policies of the segments are the same as those described in the Note

Summary of Significant Accounting Policies

The European segment

maintains office locations in Bulgaria, Dubai, England

, France, Germany, Italy, Latvia, the Netherlands, Spain, and Switzerland. The Asia Pacific segment has office locations in Australia, Hong Kong, India, Japan, and Singapore. Segment revenues reflect direct sales to clients based in their respective geographic locations. There are

intersegment or intercompany sales of FactSet services. Each segment records compensation expense, including stock-based compensation, amortization of intangible assets, depreciation of furniture and fixtures, amortization of leasehold improvements, communication costs, professional fees, rent expense, travel, marketing, office and other direct expenses.

Expenditures associated with the Company

’s data centers,

third

party data costs and corporate headquarters charges are recorded by the U.S. segment and are

not

allocated to the other segments. The content collection centers located in India and the Philippines benefit all of the Company’s operating segments and thus the expenses incurred at these locations are allocated to each segment based on a percentage of revenues. Of the total

$707.6

million of goodwill reported by the Company at

August 31, 2017,

54%

was recorded in the U.S. segment,

45%

in the European segment and the remaining

in the Asia Pacific segment.

The following reflects the results of operations of the segments consistent with the Company

’s management system. These results are used, in part, by management, both in evaluating the performance of, and in allocating resources to, each of the segments

(in thousands) Year Ended August 31, 201 7	U.S.		Europe		Asia Pacific		Total
Revenues from clients	$	784,146	$	330,332	$	106,701	$	1,221,179
Segment operating profit		137,104		153,676		61,355		352,135
Total assets		703,941		609,368		100,006		1,413,315
Depreciation and amortization		35,244		9,837		3,213		48,294
Stock-based compensation		30,247		3,320		616		34,183
Capital expenditures		29,561		2,385		4,916		36,862

Year Ended August 31, 201 6	U.S.		Europe		Asia Pacific		Total
Revenues from clients	$	755,492	$	277,682	$	93,918	$	1,127,092
Segment operating profit		165,251		131,410		53,015		349,676
Total assets		654,796		279,864		84,501		1,019,161
Depreciation and amortization		31,529		4,220		2,303		38,052
Stock-based compensation		25,776		3,459		558		29,793
Capital expenditures		38,631		4,092		5,017		47,740

Year Ended August 31, 201 5	U.S.		Europe		Asia Pacific		Total
Revenues from clients	$	678,774	$	251,522	$	76,472	$	1,006,768
Segment operating profit		172,980		116,310		42,628		331,918
Total assets		427,990		239,689		68,992		736,671
Depreciation and amortization		23,645		5,135		2,569		31,349
Stock-based compensation		23,006		2,991		374		26,371
Capital expenditures		22,459		460		2,763		25,682

OGRAPHIC INFORMATION

- The following table sets forth information for those countries that are

10%

or more of revenues:

	Years e nded August 31,
(in thousands)	201 7		201 6		201 5
Revenues (1)
United States	$	784,146	$	755,492	$	678,774
United Kingdom		163,732		154,902		144,769
All other European countries		166,600		122,780		106,753
Asia Pacific		106,701		93,918		76,472
Total revenues	$	1,221,179	$	1,127,092	$	1,006,768

(

)

Revenues are attributed to countries based on the location of the client.

The following table sets forth long-

lived assets by geographic area:

	At August 31,
(in thousands)	201 7		201 6		201 5
Long-lived Assets ( 1 )
United States	$	79,299	$	70,646	$	49,923
United Kingdom		6,012		5,772		3,655
All other European countries		6,306		1,018		1,322
Asia Pacific		8,837		7,186		4,364
Total long-lived assets	$	100,454	$	84,622	$	59,264

(

)

Long-lived assets consist of property, equipment and leasehold improvements, net of accumulated depreciation and amortization and exclude goodwill, intangible assets, deferred taxes and other assets.