Segment Information

3 Months Ended

Mar. 31, 2012

Segment Reporting [Abstract]

Segment Information

Segment Information

We conduct our business activities in seven reporting segments within two business groups, Small & Medium Business Solutions and Enterprise Business Solutions. The principal products and services of each of our reporting segments are as follows:

Small & Medium Business Solutions:

North America Mailing: Includes the U.S. and Canadian revenue and related expenses from the sale, rental and financing of our mail finishing, mail creation, shipping equipment and software; supplies; support and other professional services; and payment solutions.

International Mailing: Includes the revenue and related expenses from the sale, rental and financing of our mail finishing, mail creation, shipping equipment and software; supplies; support and other professional services; and payment solutions outside North America.

Enterprise Business Solutions:

Production Mail: Includes the worldwide revenue and related expenses from the sale, support and other professional services of our high-speed, production mail systems, sorting and production print equipment and related software.

Software: Includes the worldwide revenue and related expenses from the sale and support services of non-equipment-based mailing, customer relationship and communication and location intelligence software.

Management Services: Includes worldwide revenue and related expenses from facilities management services; secure mail services; reprographic, document management services; and litigation support and eDiscovery services.

Mail Services: Includes worldwide revenue and related expenses from presort mail services and cross-border mail services.

Marketing Services: Includes revenue and related expenses from direct marketing services for targeted customers.

Segment earnings before interest and taxes (EBIT), a non-GAAP measure, is determined by deducting from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general corporate expenses not allocated to a particular business segment, restructuring charges, asset impairments and goodwill charges which are recognized on a consolidated basis. Management uses segment EBIT to measure profitability and performance at the segment level. Segment EBIT may not be indicative of our overall consolidated performance and therefore, should be read in conjunction with our consolidated results of operations.

Revenue and EBIT by business segment for the three months endedMarch 31, 2012 and 2011 is as follows:

	Three Months Ended March 31,
	2012		2011
Revenue:
North America Mailing	$	461,305	$	509,039
International Mailing	168,014		170,533
Small & Medium Business Solutions	629,319		679,572
Production Mail	115,016		131,606
Software	100,327		95,985
Management Services	230,630		241,624
Mail Services	150,156		144,283
Marketing Services	30,208		29,999
Enterprise Business Solutions	626,337		643,497
Total revenue	$	1,255,656	$	1,323,069

	Three Months Ended March 31,
	2012			2011
EBIT:
North America Mailing	$	178,171		$	179,661
International Mailing	19,997			23,193
Small & Medium Business Solutions	198,168			202,854
Production Mail	2,779			7,174
Software	10,692			5,512
Management Services	13,315			21,029
Mail Services	31,905			10,265
Marketing Services	4,817			4,160
Enterprise Business Solutions	63,508			48,140
Total EBIT	261,676			250,994
Reconciling items:
Interest, net (1)	(48,773		)	(50,595		)
Corporate and other expenses	(54,212		)	(40,201		)
Restructuring charges and asset impairments	—			(26,024		)
Income from continuing operations before income taxes	$	158,691		$	134,174

(1) Includes financing interest expense, other interest expense and interest income.