Business Segment Information and Geographic Data

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Business Segment Information and Geographic Data

Business Segment Information and Geographic Data

Beginning in the fourth quarter of 2015, in conjunction with our accelerated wind-down of the Company's Legacy Businesses, the Company changed the manner in which it evaluates the operations of the Company and makes decisions around the allocation of resources. The Company operated in three reportable segments as of December 31, 2015: "Storage Media and Accessories" (also referred to as our "Legacy Businesses"); "IronKey"; and "Nexsan". We sold our IronKey business in February 2016 and have substantially completed the wind-down of the Legacy Businesses as of March 31, 2016. Both former segments 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. Nexsan is our only remaining reportable segment as of December 31, 2016. See Note 18 - Subsequent Events on the sale of Nexsan on January 23, 2016.

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. The corporate and unallocated operating loss includes costs which are not allocated to the business segments in management's evaluation of segment performance such as litigation settlement expense, corporate expense and other expenses.

Net revenue and operating income (loss) by segment were as follows:

	Years Ended December 31,
	2016		2015
	(In millions)
Net Revenue
Nexsan	$	44.1	$	62.8

	Years Ended December 31,
	2016			2015
	(In millions)
Operating Income (Loss)
Nexsan	$	(17.5	)	$	(25.4	)
Corporate and unallocated	(9.9		)	(21.2		)
Goodwill impairment	—			(28.1		)
Other intangibles impairment	—			(29.7		)
Restructuring and other	(7.6		)	(36.5		)
Total operating loss	(35.0		)	(140.9		)
Interest income	0.2			0.4
Interest expense	—			(2.7		)
Other income (expense), net	(4.9		)	0.4
Loss from continuing operations before income taxes	$	(39.7	)	$	(142.8	)

Restructuring and other for the year ended December 31, 2016 includes pension settlement costs of $2.9 million, consulting and other employee costs of $6.2 million and a $2.2 million property tax credit. Restructuring and other for the year ended December 31, 2015 includes a non-cash fixed asset impairment charge of $24.6 million. See Note 7 - Restructuring and Other Expenses for more information.

The following table presents net revenue by geographical region based on the country in which the revenue originated:

	Years Ended December 31,
	2016		2015
	(In millions)
Net Revenue
United States	$	34.0	$	44.0
United Kingdom	10.1		18.8
Total	$	44.1	$	62.8

Net revenue from the United Kingdom was 22.9 percent and 29.9 percent of total net revenue for the years ended December 31, 2016 and 2015 respectively.

The following table presents long-lived assets by geographical region:

	As of December 31,
	2016		2015
	(In millions)
Long-Lived Assets
United States	$	2.0	$	3.0
International	0.8		1.2
Total	$	2.8	$	4.2