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REVENUES FROM CONTRACTS WITH CUSTOMERS
12 Months Ended
Dec. 31, 2018
Revenue From Contract With Customer [Abstract]  
REVENUES FROM CONTRACTS WITH CUSTOMERS

NOTE 2 – REVENUES FROM CONTRACTS WITH CUSTOMERS

The Company provides regulated and compliance services, which include the collection and processing of regulated and specialized waste for disposal, the collection of personal and confidential information for secure destruction, Expert Solutions, and communication services.  The associated activities for each of these are a series of distinct services that are substantially the same and have the same pattern of transfer over time; therefore, the respective services are treated as a single performance obligation.

Our customers typically enter into a contract for the provision of services on a regular and scheduled basis, e.g. weekly, monthly or on an as needed basis over the contract term.  Under the contract terms, the Company receives fees based on a monthly, quarterly or annual rate or fees based on contractual rates depending upon measures including the volume, weight and type of waste, number and size of bins collected, weight and type of shredded paper, type of recall service and number of call minutes.

Amounts are invoiced based on the terms of the underlying contract either on a regular basis, e.g. monthly or quarterly, or as services are performed and are generally due within a short period of time after invoicing based upon normal terms and conditions for our business type and the geography of the services performed.

Disaggregation of Revenues

The following table presents our revenues disaggregated by service and primary geographical regions, for the year ended December 31, 2018, and includes a reconciliation of disaggregated revenue to revenue reported by our reportable segments, Domestic and Canada Regulated Waste and Compliance Services (“RCS”) and International RCS:

In millions

 

 

Year ended December 31, 2018

 

Reportable Segment

Domestic and Canada RCS

 

 

International RCS

 

 

All Other

 

 

 

 

 

Revenues by Service:

United States

 

Canada

 

 

Europe

 

Others

 

 

United States

 

 

Total

 

Medical Waste and Compliance Solutions

$

1,142.4

 

$

39.6

 

 

$

250.8

 

$

185.7

 

 

$

-

 

 

$

1,618.5

 

Secure Information Destruction Services

 

712.6

 

 

65.7

 

 

 

120.7

 

 

12.0

 

 

 

-

 

 

 

911.0

 

Hazardous Waste Solutions

 

314.1

 

 

-

 

 

 

-

 

 

-

 

 

 

-

 

 

 

314.1

 

Manufacturing and Industrial Services

 

247.8

 

 

22.6

 

 

 

16.9

 

 

41.9

 

 

 

-

 

 

 

329.2

 

Communication Services

 

-

 

 

17.3

 

 

 

18.4

 

 

-

 

 

 

148.4

 

 

 

184.1

 

Expert Solutions

 

-

 

 

12.0

 

 

 

8.7

 

 

-

 

 

 

108.3

 

 

 

129.0

 

Total

$

2,416.9

 

$

157.2

 

 

$

415.5

 

$

239.6

 

 

$

256.7

 

 

$

3,485.9

 

Contract Liabilities

The contract liability at December 31, 2018 and 2017 was $15.0 million and $17.9 million, respectively. The balance in contract liability as of December 31, 2017 was recognized as revenue during the year ended December 31, 2018.

Contract Acquisition Costs

We had $8.5 million and $23.3 million of contract acquisition costs, included in Other current assets and Other assets, respectively, on the Consolidated Balance Sheets as of December 31, 2018.  During the year ended December 31, 2018, we amortized $6.9 million of sales incentives to SG&A. Contract acquisition costs are amortized to SG&A over a weighted average life of 6.3 years.