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Segment Information
 9 Months Ended
Sep. 30, 2015
Segment Reporting [Abstract]  
Segment Information
Segment Information
We manage our business through two reporting segments, Consumer Storage and Accessories (CSA) and Tiered Storage and Security Solutions (TSS). Our reporting segments are generally aligned with our key consumer and commercial channels. On September 27, 2015, the Company adopted a restructuring plan that will significantly change the business and operations of our segments. See Note 7 - Restructuring and Other Expense for further information.
We have two major product categories under our CSA segment: Consumer Storage Media and Audio and Accessories. Consumer Storage Media products include primarily optical products such as DVDs, CDs and Blu-rayTM disc recordable media as well as flash media. Audio and Accessories includes primarily headphones, audio electronics and accessories. Consumer storage media and audio products and accessories are sold under the ImationTM, MemorexTM, TREKTM and TDK Life on Record brands. We have two major product categories under our TSS segment: Commercial Storage Media and Storage and Security Solutions. Commercial Storage Media products consist mainly of magnetic data storage tape media and RDX® media. Storage and Security Solutions includes storage hardware products, services and software for backup and archiving as well as primary storage; encrypted and biometric flash drives and hard disk drives; secure portable desktop solutions; and software solutions, including products which contain various security features such as password authentication, encryption and remote manageability. Imation’s storage and security solutions portfolio includes NexsanTM hybrid storage solutions and IronKeyTM mobile security solutions that address the needs of professionals for storage and archiving, secure data transport and mobile workspaces.
We evaluate segment performance based on revenue and operating income (loss). The operating income (loss) reported in our segments excludes corporate and other unallocated amounts. Although such amounts are excluded from the business segment results, they are included in reported consolidated results. Corporate and unallocated amounts may include depreciation and amortization, litigation settlement expense, goodwill impairment, intangible impairments, corporate expense, inventory write-offs related to our restructuring programs and restructuring and other expenses which are not allocated to the segments.
The operating results of our former XtremeMac and Memorex consumer electronics businesses are presented in our Condensed Consolidated Statements of Operations as discontinued operations and are not included in segment results for all periods presented. See Note 4 - Discontinued Operations for further information on these divestitures.
Net revenue and operating income (loss) from continuing operations by segment were as follows:
 
 
Three Months Ended
 
Nine Months Ended
 
 
September 30,
 
September 30,
(In millions)
 
2015
 
2014
 
2015
 
2014
Net revenue
 
 
 
 
 
 
 
 
Consumer Storage and Accessories:
 
 
 
 
 
 
 
 
Consumer Storage Media
 
$
59.0

 
$
79.4

 
$
191.6

 
$
253.4

Audio and Accessories
 
8.8

 
12.6

 
27.7

 
33.7

Total Consumer Storage and Accessories
 
67.8

 
92.0

 
219.3

 
287.1

Tiered Storage and Security Solutions:
 
 
 
 
 
 
 
 
Commercial Storage Media
 
36.6

 
54.3

 
129.8

 
159.7

Storage and Security Solutions
 
24.8

 
28.7

 
86.1

 
85.7

Total Tiered Storage and Security Solutions
 
61.4

 
83.0

 
215.9

 
245.4

Total net revenue
 
$
129.2

 
$
175.0

 
$
435.2

 
$
532.5


 
 
Three Months Ended
 
Nine Months Ended
 
 
September 30,
 
September 30,
(In millions)
 
2015
 
2014
 
2015
 
2014
Operating income (loss) from continuing operations
 
 
 
 
 
 
 
 
Consumer Storage and Accessories
 
$
(15.8
)
 
$
5.4

 
$
(11.2
)
 
$
12.7

Tiered Storage and Security Solutions
 
(10.1
)
 
(8.1
)
 
(22.8
)
 
(25.4
)
Total segment operating loss
 
(25.9
)
 
(2.7
)
 
(34.0
)
 
(12.7
)
Corporate and unallocated
 
(122.8
)
 
(53.1
)
 
(143.6
)
 
(79.3
)
Total operating loss
 
(148.7
)
 
(55.8
)
 
(177.6
)
 
(92.0
)
Interest income
 
(0.1
)
 
(0.1
)
 
(0.3
)
 
(0.3
)
Interest expense
 
0.6

 
0.7

 
1.8

 
1.9

Other, net expense
 
(0.5
)
 
1.6

 
1.1

 
2.6

Loss from continuing operations before income taxes
 
$
(148.7
)
 
$
(58.0
)
 
$
(180.2
)
 
$
(96.2
)