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Segments
 9 Months Ended
Sep. 30, 2019
Segment Reporting [Abstract]  
SEGMENTS SEGMENTS
The segment reporting structure uses the Company’s management reporting structure as its foundation to reflect how the Company manages the businesses internally and is mainly organized by geographic regions, which provides a socio-political-economic understanding of our business. The management reporting structure is organized by four SBUs led by our President and Chief Executive Officer: US and Utilities, South America, MCAC, and Eurasia SBUs. Using the accounting guidance on segment reporting, the Company determined that its four operating segments are aligned with its four reportable segments corresponding to its SBUs.
Corporate and Other — Included in “Corporate and Other” are the results of the AES self-insurance company and certain equity affiliates, corporate overhead costs which are not directly associated with the operations of our four reportable segments, and 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 and equity securities; (b) unrealized foreign currency gains or losses; (c) gains, losses, benefits and costs associated with 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 that 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):
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
Total Revenue
2019
 
2018
 
2019
 
2018
US and Utilities SBU
$
1,130

 
$
1,230

 
$
3,125

 
$
3,252

South America SBU
828

 
923

 
2,438

 
2,664

MCAC SBU
470

 
462

 
1,398

 
1,276

Eurasia SBU
197

 
224

 
801

 
935

Corporate and Other
14

 
7

 
39

 
21

Eliminations
(14
)
 
(9
)
 
(43
)
 
(34
)
Total Revenue
$
2,625

 
$
2,837

 
$
7,758

 
$
8,114


Three Months Ended September 30,
 
Nine Months Ended September 30,
Total Adjusted PTC
2019
 
2018
 
2019
 
2018
Income from continuing operations before taxes and equity in earnings of affiliates
$
424

 
$
332

 
$
896

 
$
1,672

Add: Net equity in earnings of affiliates
4

 
6

 
3

 
31

Less: Income from continuing operations before taxes, attributable to noncontrolling interests
(124
)
 
(116
)
 
(304
)
 
(409
)
Pre-tax contribution
304

 
222

 
595

 
1,294

Unrealized derivative and equity securities losses
69

 
16

 
78

 
4

Unrealized foreign currency losses (gains)
31

 
(7
)
 
49

 
42

Disposition/acquisition losses (gains)
(17
)
 
17

 
(3
)
 
(822
)
Impairment expense
1

 
80

 
124

 
172

Loss (gain) on extinguishment of debt
38

 
(1
)
 
95

 
177

Restructuring costs
—

 
—

 
—

 
3

Total Adjusted PTC
$
426

 
$
327

 
$
938

 
$
870


 
Three Months Ended September 30,
 
Nine Months Ended September 30,
Total Adjusted PTC
2019
 
2018
 
2019
 
2018
US and Utilities SBU
$
187

 
$
167

 
$
427

 
$
363

South America SBU
139

 
128

 
360

 
381

MCAC SBU
185

 
81

 
298

 
215

Eurasia SBU
19

 
37

 
114

 
175

Corporate and Other
(95
)
 
(91
)
 
(251
)
 
(260
)
Eliminations
(9
)
 
5

 
(10
)
 
(4
)
Total Adjusted PTC
$
426

 
$
327

 
$
938

 
$
870


Total Assets
September 30, 2019
 
December 31, 2018
US and Utilities SBU
$
12,963

 
$
12,286

South America SBU
11,225

 
10,941

MCAC SBU
4,886

 
4,462

Eurasia SBU
3,984

 
4,538

Corporate and Other
365

 
294

Total Assets
$
33,423

 
$
32,521