Segment Information

6 Months Ended

Jun. 30, 2020

We conduct our financing operations directly and indirectly through our subsidiaries and affiliates. We offer substantially similar products and services throughout many different regions, subject to local legal restrictions and market conditions. As of January 1, 2020, we updated our reportable segments in our consolidated financial statements to align with our new management reporting structure and reflect the manner in which our Chief Operating Decision Maker manages our business, including resource allocation and performance assessment. These segments are: the United States and Canada, Europe, and All Other. Our All Other segment includes China, India, Mexico, Brazil, Argentina, and our joint venture in South Africa. Items excluded in assessing segment performance because they are managed at the corporate level, including market valuation adjustments to derivatives and exchange-rate fluctuations on foreign currency-denominated transactions, are reflected in Unallocated Other.

NOTE 11. SEGMENT INFORMATION (Continued)

Key financial information for our business segments for the periods ended or at June 30 was as follows (in millions):



	United States and Canada		Europe		All Other			Total Segments		Unallocated Other (a)			Total
Second Quarter 2019 (b)
Total revenue	$	2,716	$	307	$	165		$	3,188	$	—		$	3,188
Income before income taxes	589		113		37			739		92			831
Other disclosures:
Depreciation on vehicles subject to operating leases	885		9		—			894		—			894
Interest expense	939		86		91			1,116		(2		)	1,114
Provision for credit losses	48		7		8			63		—			63

Second Quarter 2020
Total revenue	$	2,448	$	244	$	101		$	2,793	$	—		$	2,793
Income before income taxes	445		65		17			527		16			543
Other disclosures:
Depreciation on vehicles subject to operating leases	990		—		—			990		—			990
Interest expense	726		82		55			863		(24		)	839
Provision for credit losses	76		14		3			93		—			93

First Half 2019 (b)
Total revenue	$	5,427	$	610	$	345		$	6,382	$	—		$	6,382
Income before income taxes	1,211		227		95			1,533		99			1,632
Other disclosures:
Depreciation on vehicles subject to operating leases	1,797		21		—			1,818		—			1,818
Interest expense	1,870		166		193			2,229		6			2,235
Provision for credit losses	88		12		(4		)	96		—			96
Net finance receivables and net investment in operating leases	118,990		27,224		5,708			151,922		(8,443		)	143,479
Total assets	127,482		30,094		6,442			164,018		—			164,018

First Half 2020
Total revenue	$	5,079	$	525	$	221		$	5,825	$	—		$	5,825
Income before income taxes	467		82		24			573		—			573
Other disclosures:
Depreciation on vehicles subject to operating leases	2,029		13		—			2,042		—			2,042
Interest expense	1,571		172		120			1,863		(40		)	1,823
Provision for credit losses	596		67		16			679		—			679
Net finance receivables and net investment in operating leases (c)	111,775		23,659		3,949			139,383		(9,080		)	130,303
Total assets	124,375		26,091		4,810			155,276		—			155,276

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(a)	Finance receivables, net and Net investment in operating lease includes unearned interest supplements and residual support, allowance for credit losses, and other (primarily accumulated supplemental depreciation).


(b)	Comparative information has been updated to reflect the reportable segments as of January 1, 2020.

(c)

Excludes held-for-sale finance receivables.