Domestic and Foreign Operations

12 Months Ended

Dec. 31, 2020

Segment Reporting [Abstract]

Domestic and Foreign Operations

20. Segment Information

Segment information is presented in accordance with a “management approach,” which designates the internal reporting used by the Company's Chief Operating Decision Maker (“CODM”) for making decisions and assessing performance as the source of the Company’s reportable segments. The Company’s segments are organized in a manner consistent with which discrete financial information is available and evaluated regularly by the CODM in deciding how to allocate resources and assess performance.

An operating segment is defined as a component of an enterprise that engages in business activities from which it may earn revenue and incur expenses, and about which separate financial information is regularly evaluated by the CODM. The CODM is the Company’s chief executive officer.

Each of the operating segments are directly responsible for revenue and expenses related to their operations including direct segment administrative costs. Finance, information technology, human resources and legal are shared functions that are not allocated back to the two operating segments. The CODM assesses the performance of each operating segment using information about its revenue and gross profit as its primary measure of performance, but does not evaluate segments using discrete asset information. There are no inter-segment transactions and the Company does not allocate other income, interest expense, depreciation and amortization or income taxes to the operating segments. The accounting policies for segment reporting are the same as for the Company as a whole.

In July 2020, the Company changed its internal reporting segment information reported to the CODM. Certain hospitality locations previously reported under Aviation are now included in Commercial. All prior year amounts have been reclassified to conform to the Company’s current reporting structure.

• Commercial encompasses the Company's services in healthcare facilities, municipalities, including meter revenue collection and enforcement services, government facilities, hotels, commercial real estate, residential communities, retail, colleges and universities, as well as ancillary services such as shuttle and ground transportation services, valet services, taxi and livery dispatch services and event planning, including shuttle and transportation services.

• Aviation encompasses the Company's services in aviation (i.e., airports, airline and certain hospitality clients with baggage and parking services) as well as ancillary services, which includes shuttle and ground transportation services, valet services, baggage handling, baggage repair and replacement, remote air check-in services, wheelchair assist services and other services.

• "Other" consists of ancillary revenue that is not specifically identifiable to Commercial or Aviation and certain unallocated items, such as and including prior year insurance reserve adjustments and other corporate items.

Revenues and gross profit by operating segment for the years ended December 31, 2020, 2019 and 2018 were as follows:

	Year Ended December 31,
(millions)	2020			Gross Margin Percentage			2019		Gross Margin Percentage			2018 (1)		Gross Margin Percentage
Services revenue
Commercial
Lease type contracts	$	180.2					$	377.3				$	386.2
Management type contracts		212.1						264.6					249.4
Total Commercial		392.3						641.9					635.6
Aviation
Lease type contracts		8.6						30.7					27.0
Management type contracts		140.5						251.8					101.2
Total Aviation		149.1						282.5					128.2
Other
Lease type contracts		0.6						0.9					0.7
Management type contracts		7.0						9.6					10.9
Total Other		7.6						10.5					11.6
Reimbursed management type contract revenue		537.9						728.8					693.0
Total services revenue	$	1,086.9					$	1,663.7				$	1,468.4
Gross profit
Commercial
Lease type contracts		(10.4	)		(5.8	)%		29.5		7.8	%		25.8		6.7	%
Management type contracts		80.1			37.8	%		104.1		39.3	%		98.3		39.4	%
Lease impairment		(97.1	)	N/M				—	N/M				—	N/M
Total Commercial		(27.4	)					133.6					124.1
Aviation
Lease type contracts		0.7			8.1	%		8.2		26.7	%		7.3		27.0	%
Management type contracts		39.9			28.4	%		66.2		26.3	%		31.9		31.5	%
Total Aviation		40.6						74.4					39.2
Other
Lease type contracts		4.1		N/M				4.3	N/M				3.2	N/M
Management type contracts		13.1		N/M				15.8	N/M				17.5	N/M
Total Other		17.2						20.1					20.7
Total gross profit	$	30.4					$	228.1				$	184.0

(1) The consolidated results of operations for the year ended December 31, 2018 includes Bags operating results for the period of November 30, 2018 through December 31, 2018.

N/M - Not Meaningful