Segments

We are a global provider of high technology driveline, sealing and thermal-management products for virtually every major vehicle manufacturer in the on-highway and off-highway markets. Our driveline products – axles, driveshafts and transmissions – are delivered through our Light Vehicle, Commercial Vehicle and Off-Highway operating segments. Our fourth global operating segment – Power Technologies – is the center of excellence for the sealing and thermal technologies that span all customers in our on-highway and off-highway markets. These operating segments have global responsibility and accountability for business commercial activities and financial performance.

Dana evaluates the performance of its operating segments based on external sales and segment EBITDA. Segment EBITDA is a primary driver of cash flows from operations and a measure of our ability to maintain and continue to invest in our operations and provide shareholder returns. Our segments are charged for corporate and other shared administrative costs. Segment EBITDA may not be comparable to similarly titled measures reported by other companies.

Segment information —



	2016							2015
Three Months Ended September 30,	External Sales		Inter-Segment Sales			Segment EBITDA		External Sales		Inter-Segment Sales			Segment EBITDA
Light Vehicle	$	631	$	27		$	73	$	605	$	28		$	63
Commercial Vehicle	294		21			23		367		24			31
Off-Highway	199		7			28		246		8			35
Power Technologies	260		3			42		250		5			40
Eliminations and other			(58		)					(65		)
Total	$	1,384	$	—		$	166	$	1,468	$	—		$	169

Nine Months Ended September 30,
Light Vehicle	$	1,913	$	91		$	202	$	1,883	$	100		$	193
Commercial Vehicle	976		64			81		1,231		75			102
Off-Highway	692		24			97		809		29			115
Power Technologies	798		11			120		762		13			117
Eliminations and other			(190		)					(217		)
Total	$	4,379	$	—		$	500	$	4,685	$	—		$	527

Reconciliation of segment EBITDA to consolidated net income —



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Segment EBITDA	$	166		$	169		$	500		$	527
Corporate expense and other items, net	2			(2		)	(6		)	(4		)
Depreciation	(45		)	(39		)	(129		)	(117		)
Amortization of intangibles	(3		)	(4		)	(7		)	(14		)
Restructuring	(17		)	(1		)	(23		)	(13		)
Stock compensation expense	(4		)	(6		)	(11		)	(14		)
Strategic transaction expenses	(3		)	(1		)	(6		)	(3		)
Other items				(4		)	(3		)	(4		)
Impairment of long-lived assets				(36		)				(36		)
Distressed supplier costs							(1		)
Amounts attributable to previously divested/closed operations				(4		)	3			(4		)
Gain on derecognition of noncontrolling interest										5
Loss on extinguishment of debt							(17		)	(2		)
Interest expense	(27		)	(31		)	(84		)	(86		)
Interest income	3			4			8			11
Income before income taxes	72			45			224			246
Income tax expense (benefit)	13			(77		)	66			(10		)
Equity in earnings of affiliates	2			—			6			3
Net income	$	61		$	122		$	164		$	259