Segment Reporting

3 Months Ended

Mar. 31, 2019

Segment Reporting.

We report segment information based on the various industries in which our businesses operate and how we manage those businesses in accordance with our investment strategies, which may include: identifying and acquiring undervalued assets and businesses, often through the purchase of distressed securities; increasing value through management, financial or other operational changes; and managing complex legal, regulatory or financial issues, which may include bankruptcy or insolvency, environmental, zoning, permitting and licensing issues. Therefore, although many of our businesses are operated under separate local management, certain of our businesses are grouped together when they operate within a similar industry, comprising similarities in products, customers, production processes and regulatory environments, and when such businesses, when considered together, may be managed in accordance with one or more investment strategies specific to those businesses. Among other measures, we assess and measure segment operating results based on net income from continuing operations attributable to Icahn Enterprises and Icahn Enterprises Holdings. Certain terms of financings for certain of our businesses impose restrictions on the business' ability to transfer funds to us, including restrictions on dividends, distributions, loans and other transactions.

Condensed Statements of Operations

Icahn Enterprises' condensed statements of operations by reporting segment are presented below. Icahn Enterprises Holdings' condensed statements of operations are substantially the same, with immaterial differences relating to our Holding Company's interest expense.



	Three Months Ended March 31, 2019
	Investment			Energy			Automotive			Food Packaging			Metals			Real Estate		Home Fashion			Mining			Railcar		Holding Company			Consolidated
	(in millions)
Revenues:
Net sales	$	—		$	1,486		$	550		$	95		$	93		$	2	$	39		$	35		$	—	$	—		$	2,300
Other revenues from operations	—			—			143			—			—			19		—			—			—		—			162
Net loss from investment activities	(609		)	—			—			—			—			—		—			—			—		(65		)	(674		)
Interest and dividend income	42			—			—			—			—			—		—			1			—		21			64
Other (loss) income, net	(1		)	1			4			(3		)	—			2		—			—			—		—			3
	(568		)	1,487			697			92			93			23		39			36			—		(44		)	1,855
Expenses:
Cost of goods sold	—			1,303			375			75			92			2		33			20			—		—			1,900
Other expenses from operations	—			—			119			—			—			12		—			—			—		—			131
Selling, general and administrative	2			37			252			15			4			5		10			7			—		4			336
Restructuring, net	—			—			—			7			—			—		—			—			—		—			7
Interest expense	18			26			5			4			—			—		—			2			—		84			139
	20			1,366			751			101			96			19		43			29			—		88			2,513
(Loss) income from continuing operations before income tax (expense) benefit	(588		)	121			(54		)	(9		)	(3		)	4		(4		)	7			—		(132		)	(658		)
Income tax (expense) benefit	—			(31		)	12			4			—			—		—			(1		)	—		10			(6		)
Net (loss) income from continuing operations	(588		)	90			(42		)	(5		)	(3		)	4		(4		)	6			—		(122		)	(664		)
Less: net (loss) income from continuing operations attributable to non-controlling interests	(293		)	24			—			(2		)	—			—		—			1			—		—			(270		)
Net (loss) income from continuing operations attributable to Icahn Enterprises	$	(295	)	$	66		$	(42	)	$	(3	)	$	(3	)	$	4	$	(4	)	$	5		$	—	$	(122	)	$	(394	)

Supplemental information:
Capital expenditures	$	—		$	29		$	13		$	7		$	5		$	6	$	1		$	4		$	—	$	—		$	65
Depreciation and amortization	$	—		$	83		$	24		$	6		$	4		$	4	$	2		$	—		$	—	$	—		$	123



	Three Months Ended March 31, 2018
	Investment		Energy			Automotive			Food Packaging			Metals		Real Estate		Home Fashion			Mining			Railcar		Holding Company			Consolidated
	(in millions)
Revenues:
Net sales	$	—	$	1,537		$	549		$	97		$	118	$	1	$	42		$	20		$	—	$	—		$	2,364
Other revenues from operations	—		—			137			—			—		21		—			—			—		—			158
Net gain from investment activities	410		—			—			—			—		—		—			—			—		22			432
Interest and dividend income	18		—			—			—			—		5		—			—			—		3			26
Other income (loss), net	—		2			—			(6		)	1		—		—			—			5		1			3
	428		1,539			686			91			119		27		42			20			5		26			2,983
Expenses:
Cost of goods sold	—		1,385			361			77			110		1		36			17			—		—			1,987
Other expenses from operations	—		—			113			—			—		12		—			—			—		—			125
Selling, general and administrative	1		32			258			15			5		6		9			6			—		6			338
Restructuring, net	—		—			—			—			—		—		2			—			—		—			2
Interest expense	26		27			3			4			—		1		—			2			—		84			147
	27		1,444			735			96			115		20		47			25			—		90			2,599
Income (loss) from continuing operations before income tax (expense) benefit	401		95			(49		)	(5		)	4		7		(5		)	(5		)	5		(64		)	384
Income tax (expense) benefit	—		(14		)	15			2			—		—		—			(1		)	—		(19		)	(17		)
Net income (loss) from continuing operations	401		81			(34		)	(3		)	4		7		(5		)	(6		)	5		(83		)	367
Less: net income (loss) from continuing operations attributable to non-controlling interests	240		31			—			—			—		—		—			(2		)	—		—			269
Net income (loss) from continuing operations attributable to Icahn Enterprises	$	161	$	50		$	(34	)	$	(3	)	$	4	$	7	$	(5	)	$	(4	)	$	5	$	(83	)	$	98

Supplemental information:
Capital expenditures	$	—	$	20		$	19		$	5		$	1	$	3	$	1		$	13		$	—	$	—		$	62
Depreciation and amortization	$	—	$	83		$	24		$	7		$	5	$	5	$	2		$	2		$	—	$	—		$	128

Disaggregation of Revenue

In addition to the condensed statements of operations by reporting segment above, we provide additional disaggregated revenue information for and Energy and Automotive segments below.

Energy

Disaggregated revenue for our Energy segment net sales is presented below:



	Three Months Ended March 31,
	2019		2018
	(in millions)
Petroleum products	$	1,394	$	1,457
Nitrogen fertilizer products	92		80
	$	1,486	$	1,537

Automotive

Disaggregated revenue for our Automotive segment net sales and other revenues from operations is presented below:



	Three Months Ended March 31,
	2019		2018
	(in millions)
Automotive services	$	327	$	316
Aftermarket parts sales	366		370
	$	693	$	686

Condensed Balance Sheets

Icahn Enterprises' condensed balance sheets by reporting segment are presented below. Icahn Enterprises Holdings' condensed balance sheets are substantially the same, with immaterial differences relating to our Holding Company's other assets, debt and equity attributable to Icahn Enterprises Holdings.



	March 31, 2019
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Mining		Holding Company			Consolidated
	(in millions)
ASSETS
Cash and cash equivalents	$	7	$	467	$	65	$	33	$	11	$	41	$	1	$	—	$	2,139		$	2,764
Cash held at consolidated affiliated partnerships and restricted cash	2,286		—		—		1		1		2		2		—		7			2,299
Investments	7,130		83		86		—		—		15		—		—		789			8,103
Accounts receivable, net	—		193		168		76		49		3		28		—		—			517
Inventories, net	—		403		1,233		103		40		—		73		—		—			1,852
Property, plant and equipment, net	—		3,004		951		168		115		376		68		—		—			4,682
Goodwill and intangible assets, net	—		273		391		32		2		21		—		—		—			719
Assets held for sale	—		33		—		—		1		—		—		330		—			364
Other assets	1,268		232		769		139		22		34		11		—		49			2,524
Total assets	$	10,691	$	4,688	$	3,663	$	552	$	241	$	492	$	183	$	330	$	2,984		$	23,824
LIABILITIES AND EQUITY
Accounts payable, accrued expenses and other liabilities	$	730	$	1,171	$	1,426	$	212	$	66	$	46	$	42	$	—	$	504		$	4,197
Securities sold, not yet purchased, at fair value	447		—		—		—		—		—		—		—		—			447
Liabilities held for sale	—		—		—		—		—		—		—		136		—			136
Debt	—		1,196		405		271		1		2		12		—		5,505			7,392
Total liabilities	1,177		2,367		1,831		483		67		48		54		136		6,009			12,172

Equity attributable to Icahn Enterprises	4,772		1,290		1,832		52		174		444		129		171		(3,025		)	5,839
Equity attributable to non-controlling interests	4,742		1,031		—		17		—		—		—		23		—			5,813
Total equity	9,514		2,321		1,832		69		174		444		129		194		(3,025		)	11,652
Total liabilities and equity	$	10,691	$	4,688	$	3,663	$	552	$	241	$	492	$	183	$	330	$	2,984		$	23,824



	December 31, 2018
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Mining		Holding Company			Consolidated
	(in millions)
ASSETS
Cash and cash equivalents	$	5	$	668	$	43	$	46	$	20	$	39	$	1	$	—	$	1,834		$	2,656
Cash held at consolidated affiliated partnerships and restricted cash	2,648		—		—		1		1		26		2		—		4			2,682
Investments	6,867		84		59		—		—		15		—		—		1,312			8,337
Accounts receivable, net	—		169		149		74		48		3		31		—		—			474
Inventories, net	—		380		1,203		93		39		—		64		—		—			1,779
Property, plant and equipment, net	—		3,027		941		169		115		367		69		—		—			4,688
Goodwill and intangible assets, net	—		278		412		32		2		24		—		—		—			748
Assets held for sale	—		33		—		—		1		—		—		299		—			333
Other assets	1,230		192		217		96		7		34		5		—		11			1,792
Total assets	$	10,750	$	4,831	$	3,024	$	511	$	233	$	508	$	172	$	299	$	3,161		$	23,489
LIABILITIES AND EQUITY
Accounts payable, accrued expenses and other liabilities	$	181	$	1,043	$	905	$	164	$	56	$	41	$	35	$	—	$	178		$	2,603
Securities sold, not yet purchased, at fair value	468		—		—		—		—		—		—		—		—			468
Liabilities held for sale	—		—		—		—		—		—		—		112		—			112
Debt	—		1,170		372		273		—		2		4		—		5,505			7,326
Total liabilities	649		2,213		1,277		437		56		43		39		112		5,683			10,509

Equity attributable to Icahn Enterprises	5,066		1,274		1,747		55		177		465		133		165		(2,522		)	6,560
Equity attributable to non-controlling interests	5,035		1,344		—		19		—		—		—		22		—			6,420
Total equity	10,101		2,618		1,747		74		177		465		133		187		(2,522		)	12,980
Total liabilities and equity	$	10,750	$	4,831	$	3,024	$	511	$	233	$	508	$	172	$	299	$	3,161		$	23,489