Interim Financial Data By Segment

6 Months Ended

Dec. 31, 2012

Interim Financial Data By Segment [Abstract]

Interim Financial Data By Segment

Note 16. Interim Financial Data by Segment

Based upon similar economic characteristics and operational characteristics, the Company’s strategic business units have been aggregated into the following three reportable segments: Employer Services, PEO Services, and Dealer Services.  The primary components of the “Other” segment are the results of operations of ADP Indemnity (a wholly-owned captive insurance company that provides workers’ compensation and employer’s liability deductible reimbursement insurance protection for PEO Services worksite employees), non-recurring gains and losses, miscellaneous processing services, such as customer financing transactions, and certain expenses that have not been charged to the reportable segments, such as stock-based compensation expense.  Certain revenues and expenses are charged to the reportable segments at a standard rate for management reasons.  Other costs are recorded based on management responsibility.  The prior year reportable segments’ revenues and earnings from continuing operations before income taxes have been adjusted to reflect updated fiscal 2013 budgeted foreign exchange rates.  In addition, there is a reconciling item for the difference between actual interest income earned on invested funds held for clients and interest credited to Employer Services and PEO Services at a standard rate of 4.5%.  The reportable segments’ results also include an internal cost of capital charge related to the funding of acquisitions and other investments.  All of these adjustments/charges are reconciling items to the Company’s reportable segments’ revenues and/or earnings from continuing operations before income taxes and result in the elimination of these adjustments/charges in consolidation.

Segment Results:

	Revenues
	Three Months Ended						Six Months Ended
	December 31,						December 31,
	2012			2011			2012			2011
Employer Services	$	1,907.7		$	1,782.0		$	3,726.7		$	3,490.9
PEO Services	465.7			413.8			917.6			814.4
Dealer Services	449.8			406.9			889.6			809.5
Other	0.4			1.5			1.2			4.2
Reconciling items:
Foreign exchange	13.3			23.5			13.4			68.3
Client fund interest	(89.1		)	(57.0		)	(163.2		)	(105.7		)
	$	2,747.8		$	2,570.7		$	5,385.3		$	5,081.6

	Earnings from Continuing Operations before Income Taxes
	Three Months Ended						Six Months Ended
	December 31,						December 31,
	2012			2011			2012			2011
Employer Services	$	485.0		$	441.0		$	906.8		$	848.2
PEO Services	49.8			42.5			96.0			79.1
Dealer Services	86.2			70.7			162.2			134.1
Other	(33.6		)	50.6			(67.6		)	19.8
Reconciling items:
Foreign exchange	2.0			0.6			3.2			(0.1		)
Client fund interest	(89.1		)	(57.0		)	(163.2		)	(105.7		)
Cost of capital charge	28.5			27.8			57.0			56.5
	$	528.8		$	576.2		$	994.4		$	1,031.9

During the three months endedDecember 31, 2012 and 2011, Dealer Services earned 12.4% and 10.4%, respectively, and earned 11.9% and 11.2% for the six months endedDecember 31, 2012 and 2011, respectively, of its segment revenues from one client. The Company did not have any customers that individually accounted for more than 10% of the Company's consolidated revenue from continuing operations.