SEGMENTS AND GEOGRAPHIC INFORMATION

The segment reporting structure uses the Company's organizational structure as its foundation to reflect how the Company manages the businesses internally and is organized by geographic regions which provides a socio-political-economic understanding of our business. During the third quarter of 2017, the Europe and Asia SBUs were merged in order to leverage scale and are now reported as part of the Eurasia SBU. The management reporting structure is organized by five SBUs led by our President and Chief Executive Officer: US, Andes, Brazil, MCAC and Eurasia SBUs. The Company determined that it has five operating and five reportable segments corresponding to its SBUs. All prior period results have been retrospectively revised to reflect the new segment reporting structure. In February 2018, we announced a reorganization as a part of our ongoing strategy to simplify our portfolio, optimize our cost structure, and reduce our carbon intensity. The Company is currently evaluating the impact this reorganization will have on our segment reporting structure.

Corporate and Other — Corporate overhead costs which are not directly associated with the operations of our five reportable segments are included in "Corporate and Other." Also included are certain intercompany charges such as self-insurance premiums which are fully eliminated in consolidation.

The Company uses Adjusted PTC as its primary segment performance measure. Adjusted PTC, a non-GAAP measure, is defined by the Company as pre-tax income from continuing operations attributable to The AES Corporation excluding gains or losses of the consolidated entity due to (a) unrealized gains or losses related to derivative transactions; (b) unrealized foreign currency gains or losses; (c) gains, losses and associated benefits and costs due to dispositions and acquisitions of business interests, including early plant closures; (d) losses due to impairments; (e) gains, losses and costs due to the early retirement of debt; and (f) costs directly associated with a major restructuring program, including, but not limited to, workforce reduction efforts, relocations, and office consolidation. Adjusted PTC also includes net equity in earnings of affiliates on an after-tax basis adjusted for the same gains or losses excluded from consolidated entities. The Company has concluded Adjusted PTC better reflects the underlying business performance of the Company and is the most relevant measure considered in the Company's internal evaluation of the financial performance of its segments. Additionally, given its large number of businesses and complexity, the Company concluded that Adjusted PTC is a more transparent measure that better assists investors in determining which businesses have the greatest impact on the Company's results.

Revenue and Adjusted PTC are presented before inter-segment eliminations, which includes the effect of intercompany transactions with other segments except for interest, charges for certain management fees, and the write-off of intercompany balances, as applicable. All intra-segment activity has been eliminated within the segment. Inter-segment activity has been eliminated within the total consolidated results.

The following tables present financial information by segment for the periods indicated (in millions):



	Total Revenue
Year Ended December 31,	2017			2016			2015
US SBU	$	3,229		$	3,429		$	3,593
Andes SBU	2,710			2,506			2,489
Brazil SBU	542			450			962
MCAC SBU	2,448			2,172			2,353
Eurasia SBU	1,590			1,670			1,875
Corporate and Other	35			77			31
Eliminations	(24		)	(23		)	(43		)
Total Revenue	$	10,530		$	10,281		$	11,260



Reconciliation from Income from Continuing Operations before Taxes and Equity in Earnings of Affiliates:	Total Adjusted PTC
Year Ended December 31,	2017			2016			2015
Income from continuing operations before taxes and equity in earnings of affiliates	$	771		$	187		$	989
Add: Net equity earnings in affiliates	71			36			105
Less: Income from continuing operations before taxes, attributable to noncontrolling interests	(521		)	(354		)	(513		)
Pre-tax contribution	321			(131		)	581
Unrealized derivative gains	(3		)	(9		)	(166		)
Unrealized foreign currency (gains) losses	(59		)	22			95
Disposition/acquisition (gains) losses	123			6			(42		)
Impairment losses	542			933			504
Loss on extinguishment of debt	62			29			179
Restructuring costs⁽¹⁾	31			—			—
Total Adjusted PTC	$	1,017		$	850		$	1,151

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⁽¹⁾	One-time restructuring charges consisting of severance costs related to workforce reductions.



	Total Adjusted PTC
Year Ended December 31,	2017			2016			2015
US SBU	$	361		$	347		$	360
Andes SBU	386			390			482
Brazil SBU	60			38			92
MCAC SBU	340			267			327
Eurasia SBU	290			283			331
Corporate and Other	(420		)	(475		)	(441		)
Total Adjusted PTC	$	1,017		$	850		$	1,151



	Total Assets						Depreciation and Amortization						Capital Expenditures
Year Ended December 31,	2017		2016		2015		2017		2016		2015		2017		2016		2015
US SBU	$	9,852	$	9,333	$	9,800	$	437	$	471	$	443	$	858	$	809	$	861
Andes SBU	8,840		8,971		8,594		250		218		175		443		538		949
Brazil SBU	2,034		1,516		1,179		51		33		39		34		31		47
MCAC SBU	5,532		5,162		4,820		172		165		155		482		480		201
Eurasia SBU	4,557		5,777		6,200		127		149		166		211		279		131
Assets of discontinued operations and held-for-sale businesses	2,034		4,936		5,411		123		128		146		315		303		252
Corporate and Other	263		429		541		9		12		20		13		18		17
Total	$	33,112	$	36,124	$	36,545	$	1,169	$	1,176	$	1,144	$	2,356	$	2,458	$	2,458



	Interest Income						Interest Expense
Year Ended December 31,	2017		2016		2015		2017		2016		2015
US SBU	$	—	$	—	$	—	$	258	$	236	$	262
Andes SBU	50		57		77		205		178		154
Brazil SBU	45		38		31		92		69		58
MCAC SBU	18		11		30		168		163		179
Eurasia SBU	130		139		116		167		179		158
Corporate and Other	1		—		2		280		309		334
Total	$	244	$	245	$	256	$	1,170	$	1,134	$	1,145



	Investments in and Advances to Affiliates							Net Equity in Earnings of Affiliates
Year Ended December 31,	2017		2016			2015		2017			2016			2015
US SBU	$	527	$	23		$	1	$	41		$	9		$	—
Andes SBU	358		363			345		28			15			83
MCAC SBU	3		(1		)	—		(4		)	(2		)	—
Eurasia SBU	307		236			248		9			13			18
Corporate and Other	2		—			16		(3		)	1			4
Total	$	1,197	$	621		$	610	$	71		$	36		$	105

The following table presents information, by country, about the Company's consolidated operations for each of the three years ended December 31, 2017, 2016, and 2015, and as of December 31, 2017 and 2016 (in millions). Revenue is recorded in the country in which it is earned and assets are recorded in the country in which they are located.



	Total Revenue						Property, Plant & Equipment, net
Year Ended December 31,	2017		2016		2015		2017		2016
United States	$	3,240	$	3,489	$	3,597	$	7,403	$	7,397
Non-U.S.:
Chile	1,944		1,707		1,523		5,066		4,995
Dominican Republic	826		614		632		935		914
El Salvador	686		601		736		340		327
Brazil	541		450		962		1,286		789
Philippines	449		401		406		—		866
Argentina	435		359		399		223		195
Bulgaria	367		334		382		1,290		1,174
Mexico	352		342		383		687		699
Panama	338		312		297		1,615		1,233
Colombia	332		437		557		332		451
United Kingdom	328		337		396		108		151
Vietnam ⁽¹⁾	278		340		233		2		1
Puerto Rico	247		301		302		565		583
Jordan	95		136		248		431		452
Kazakhstan	67		103		155		—		178
Other Non-U.S.	5		18		52		13		10
Total Non-U.S.	7,290		6,792		7,663		12,893		13,018
Total	$	10,530	$	10,281	$	11,260	$	20,296	$	20,415

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⁽¹⁾	The Mong Duong II power project is accounted for as a service concession arrangement. Costs of construction of the plant have been deferred in Service concession assets on the Consolidated Balance Sheets.