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Segments
 9 Months Ended
Dec. 31, 2015
Segment Reporting [Abstract]  
Segment Information
Note 14.
Segments
Sprint operates two reportable segments: Wireless and Wireline.
•
Wireless primarily includes retail, wholesale, and affiliate revenue from a wide array of wireless voice and data transmission services and equipment revenue from the sale of wireless devices (handsets and tablets) and accessories in the U.S., Puerto Rico and the U.S. Virgin Islands.
•
Wireline primarily includes revenue from domestic and international wireline voice and data communication services provided to other communications companies and targeted business subscribers, in addition to our Wireless segment.
We define segment earnings as wireless or wireline operating (loss) income before other segment expenses such as depreciation, amortization, severance, exit costs, goodwill impairments, asset impairments, and other items, if any, solely and directly attributable to the segment representing items of a non-recurring or unusual nature. Expense and income items excluded from segment earnings are managed at the corporate level. Transactions between segments are generally accounted for based on market rates, which we believe approximate fair value. The Company generally re-establishes these rates at the beginning of each fiscal year. Over the past several years, there has been an industry-wide trend of lower rates due to increased competition from other wireline and wireless communications companies as well as cable and Internet service providers.
Segment financial information is as follows:  
Statement of Operations Information
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations
 
Consolidated
 
(in millions)
Three Months Ended December 31, 2015
 
 
 
 
 
 
 
Net operating revenues
$
7,670

 
$
434

 
$
3

 
$
8,107

Inter-segment revenues(1)
—

 
147

 
(147
)
 
—

Total segment operating expenses
(5,804
)
 
(548
)
 
143

 
(6,209
)
Segment earnings
$
1,866

 
$
33

 
$
(1
)
 
1,898

Less:
 
 
 
 
 
 
 
Depreciation
 
 
 
 
 
 
(1,549
)
Amortization
 
 
 
 
 
 
(316
)
Other, net(2)
 
 
 
 
 
 
(230
)
Operating loss
 
 
 
 
 
 
(197
)
Interest expense
 
 
 
 
 
 
(546
)
Other income, net
 
 
 
 
 
 
4

Loss before income taxes
 
 
 
 
 
 
$
(739
)
 
 
 
 
 
 
 
 
Statement of Operations Information
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations
 
Consolidated
 
(in millions)
Three Months Ended December 31, 2014
 
 
 
 
 
 
 
Net operating revenues
$
8,433

 
$
536

 
$
4

 
$
8,973

Inter-segment revenues(1)
—

 
156

 
(156
)
 
—

Total segment operating expenses
(7,399
)
 
(681
)
 
151

 
(7,929
)
Segment earnings
$
1,034

 
$
11

 
$
(1
)
 
1,044

Less:
 
 
 
 
 
 
 
Depreciation
 
 
 
 
 
 
(940
)
Amortization
 
 
 
 
 
 
(380
)
Impairments(3)
 
 
 
 
 
 
(2,133
)
Other, net(2)
 
 
 
 
 
 
(131
)
Operating loss
 
 
 
 
 
 
(2,540
)
Interest expense
 
 
 
 
 
 
(506
)
Other income, net
 
 
 
 
 
 
10

Loss before income taxes
 
 
 
 
 
 
$
(3,036
)
 
 
 
 
 
 
 
 
Statement of Operations Information
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations
 
Consolidated
 
(in millions)
Nine Months Ended December 31, 2015
 
 
 
 
 
 
 
Net operating revenues
$
22,726

 
$
1,372

 
$
11

 
$
24,109

Inter-segment revenues(1)
—

 
448

 
(448
)
 
—

Total segment operating expenses
(16,807
)
 
(1,749
)
 
435

 
(18,121
)
Segment earnings
$
5,919

 
$
71

 
$
(2
)
 
5,988

Less:
 
 
 
 
 
 
 
Depreciation
 
 
 
 
 
 
(4,202
)
Amortization
 
 
 
 
 
 
(994
)
Other, net(2)
 
 
 
 
 
 
(490
)
Operating income
 
 
 
 
 
 
302

Interest expense
 
 
 
 
 
 
(1,630
)
Other income, net
 
 
 
 
 
 
13

Loss before income taxes
 
 
 
 
 
 
$
(1,315
)
 
 
 
 
 
 
 
 
Statement of Operations Information
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations
 
Consolidated
 
(in millions)
Nine Months Ended December 31, 2014
 
 
 
 
 
 
 
Net operating revenues
$
24,555

 
$
1,684

 
$
11

 
$
26,250

Inter-segment revenues(1)
—

 
462

 
(462
)
 
—

Total segment operating expenses
(20,358
)
 
(2,073
)
 
438

 
(21,993
)
Segment earnings
$
4,197

 
$
73

 
$
(13
)
 
4,257

Less:
 
 
 
 
 
 
 
Depreciation
 
 
 
 
 
 
(2,706
)
Amortization
 
 
 
 
 
 
(1,189
)
Impairments(3)
 
 
 
 
 
 
(2,133
)
Other, net(2)
 
 
 
 
 
 
(442
)
Operating loss
 
 
 
 
 
 
(2,213
)
Interest expense
 
 
 
 
 
 
(1,528
)
Other income, net
 
 
 
 
 
 
19

Loss before income taxes
 
 
 
 
 
 
$
(3,722
)
 
 
 
 
 
 
 
 
Other Information
Wireless
 
Wireline
 
Corporate and
Other
 
Consolidated
 
(in millions)
Capital expenditures for the nine months ended December 31, 2015
$
5,236

 
$
205

 
$
241

 
$
5,682

Capital expenditures for the nine months ended December 31, 2014
$
3,485

 
$
205

 
$
267

 
$
3,957

 _________________
(1)
Inter-segment revenues consist primarily of wireline services provided to the Wireless segment for resale to, or use by, wireless subscribers.
(2)
Other, net for the three and nine-month periods ended December 31, 2015 consists of $209 million and $247 million, respectively, of severance and exit costs and $21 million and $178 million, respectively, of accruals for ongoing legal matters. In addition, the nine-month period ended December 31, 2015 includes an $85 million loss on disposal of property, plant and equipment related to cell site construction costs that are no longer recoverable as a result of changes in the Company's network plans and a $20 million release of liability reserves associated with the May 2013 U.S. Cellular asset acquisition. Other, net for the three and nine-month periods ended December 31, 2014 consists of $22 million and $333 million, respectively, of severance and exit costs. In addition, both the three and nine-month periods ended December 31, 2014 included $91 million for legal reserves related to various pending legal suits and proceedings and $59 million for a partial pension settlement, partially offset by a $41 million release of liability reserves associated with the May 2013 U.S. Cellular asset acquisition.
(3)
Impairments for the three and nine-month periods ended December 31, 2014 consist of a $1.9 billion Sprint trade name impairment related to the Wireless segment and a $233 million impairment related to Wireline long-lived assets.

Operating Revenues by Service and Products
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations(1)
 
Consolidated
 
(in millions)
Three Months Ended December 31, 2015
 
 
 
 
 
 
 
Wireless services
$
6,058

 
$
—

 
$
—

 
$
6,058

Wireless equipment
1,424

 
—

 
—

 
1,424

Voice
—

 
201

 
(82
)
 
119

Data
—

 
42

 
(17
)
 
25

Internet
—

 
317

 
(48
)
 
269

Other
188

 
21

 
3

 
212

Total net operating revenues
$
7,670

 
$
581

 
$
(144
)
 
$
8,107

 
 
 
 
 
 
 
 
Operating Revenues by Service and Products
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations(1)
 
Consolidated
 
(in millions)
Three Months Ended December 31, 2014
 
 
 
 
 
 
 
Wireless services
$
6,523

 
$
—

 
$
—

 
$
6,523

Wireless equipment
1,701

 
—

 
—

 
1,701

Voice
—

 
289

 
(94
)
 
195

Data
—

 
52

 
(22
)
 
30

Internet
—

 
333

 
(42
)
 
291

Other
209

 
18

 
6

 
233

Total net operating revenues
$
8,433

 
$
692

 
$
(152
)
 
$
8,973

 
 
 
 
 
 
 
 
Operating Revenues by Service and Products
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations(1)
 
Consolidated
 
(in millions)
Nine Months Ended December 31, 2015
 
 
 
 
 
 
 
Wireless services
$
18,631

 
$
—

 
$
—

 
$
18,631

Wireless equipment
3,509

 
—

 
—

 
3,509

Voice
—

 
646

 
(249
)
 
397

Data
—

 
134

 
(55
)
 
79

Internet
—

 
968

 
(140
)
 
828

Other
586

 
72

 
7

 
665

Total net operating revenues
$
22,726

 
$
1,820

 
$
(437
)
 
$
24,109

 
 
 
 
 
 
 
 
Operating Revenues by Service and Products
Wireless
 
Wireline
 
Corporate,
Other and
Eliminations(1)
 
Consolidated
 
(in millions)
Nine Months Ended December 31, 2014
 
 
 
 
 
 
 
Wireless services
$
20,124

 
$
—

 
$
—

 
$
20,124

Wireless equipment
3,846

 
—

 
—

 
3,846

Voice
—

 
910

 
(271
)
 
639

Data
—

 
161

 
(68
)
 
93

Internet
—

 
1,018

 
(121
)
 
897

Other
585

 
57

 
9

 
651

Total net operating revenues
$
24,555

 
$
2,146

 
$
(451
)
 
$
26,250

 
 
 
 
 
 
 
 
_______________
(1)
Revenues eliminated in consolidation consist primarily of wireline services provided to the Wireless segment for resale to or use by wireless subscribers.