Segment Information

In January 2018, we revised our business reporting groups to reflect how we manage these groups and clients served in each market. The Commerce Services group was formed and includes our Global Ecommerce and Presort Services segments. The principal products and services of each of our reportable segments are as follows:

Commerce Services:

Global Ecommerce: Includes the worldwide revenue and related expenses from cross-border ecommerce transactions and domestic retail and ecommerce shipping solutions, including fulfillment and returns.

Presort Services: Includes revenue and related expenses from sortation services which allow clients to qualify large mail volumes for postal worksharing discounts.

Small & Medium Business Solutions:

North America Mailing: Includes the revenue and related expenses from mailing and office solutions, financing services and supplies for small and medium businesses to efficiently create physical and digital mail, evidence postage and help simplify and save on the sending, tracking and receiving of letters, parcels and flats in the U.S. and Canada.

International Mailing: Includes the revenue and related expenses from mailing and office solutions, financing services and supplies for small and medium businesses to efficiently create physical and digital mail, evidence postage and help simplify and save on the sending, tracking and receiving of letters, parcels and flats in areas outside the U.S. and Canada.

Software Solutions:

Includes the worldwide revenue and related expenses from the licensing of customer engagement, customer information, and location intelligence software and data solutions and related support services.

Production Mail:

Includes the worldwide revenue and related expenses from the sale of production mail inserting and sortation equipment, high-speed production print systems, supplies and related support services to large enterprise clients to process inbound and outbound mail.

We determine segment earnings before interest and taxes (EBIT) by deducting from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges and other items, which are not allocated to a particular business segment. Management uses segment EBIT to measure profitability and performance at the segment level and believes that it provides a useful measure of operating performance and underlying trends of the businesses. Segment EBIT may not be indicative of our overall consolidated performance and therefore, should be read in conjunction with our consolidated results of operations. The following tables provide information about our reportable segments.

Revenue and EBIT by business segment is presented below:



	Revenue
	Three Months Ended March 31,
	2018		2017
Global Ecommerce	$	246,590	$	88,152
Presort Services	134,458		132,677
Commerce Services	381,048		220,829
North America Mailing	325,430		355,578
International Mailing	97,897		93,058
Small & Medium Business Solutions	423,327		448,636
Software Solutions	81,616		78,220
Production Mail	97,191		88,955
Total revenue	$	983,182	$	836,640



	EBIT
	Three Months Ended March 31,
	2018			2017
Global Ecommerce	$	(7,711	)	$	(4,270	)
Presort Services	27,026			30,717
Commerce Services	19,315			26,447
North America Mailing	119,471			141,008
International Mailing	15,892			13,269
Small & Medium Business Solutions	135,363			154,277
Software Solutions	4,849			2,749
Production Mail	9,619			8,964
Total segment EBIT	169,146			192,437
Reconciling items:
Interest, net	(43,078		)	(38,650		)
Unallocated corporate expenses	(49,361		)	(55,156		)
Restructuring charges, net	(1,021		)	(2,082		)
Transaction costs	(2,594		)	—
Income before income taxes	73,092			96,549
Provision for income taxes	19,579			31,416
Net income	$	53,513		$	65,133