Reportable Operating Segments

3 Months Ended

Mar. 19, 2016

Segment Reporting [Abstract]

Reportable Operating Segments

Reportable Operating Segments

We identify our operating segments based on management responsibility. As described in Note 1, effective January 1, 2016 our India business was segmented by brand and integrated into the global KFC, Pizza Hut and Taco Bell Divisions. Segment information for previous periods has been restated to reflect this reporting change. The following tables summarize Revenues and Operating Profit for each of our reportable operating segments:

	Quarter ended
Revenues	2016		2015
China	$	1,303	$	1,256
KFC Division	625		662
Pizza Hut Division	265		272
Taco Bell Division	426		432
	$	2,619	$	2,622

	Quarter ended
Operating Profit	2016			2015
China(a)	$	256		$	190
KFC Division	160			166
Pizza Hut Division	87			81
Taco Bell Division	119			114
Unallocated and Corporate General and administrative expenses(b)	(57		)	(46		)
Unallocated Other income (expense)	(8		)	(9		)
Unallocated Refranchising gain (loss)(c)	7			10
Operating Profit	$	564		$	506
Interest expense, net	(37		)	(34		)
Income Before Income Taxes	$	527		$	472

(a) Includes equity income from investments in unconsolidated affiliates of $16 million and $9 million for the quarters ended March 19, 2016 and March 21, 2015, respectively.

(b) Primarily Corporate G&A expenses for the quarters ended March 19, 2016 and March 21, 2015. Amounts also include costs associated with the KFC U.S. Acceleration Agreement of $9 million and $2 million for the quarters ended March 19, 2016 and March 21, 2015, respectively, and $9 million related to the planned spin-off of the China business for the quarter ended March 19, 2016. See Note 4.

(c) See the Refranchising (Gain) Loss section of Note 4.