Segment Information and Geographic Data (Tables)

12 Months Ended

Dec. 31, 2016

Segment Information by Reportable Segments

The accounting policies of the segments are in accordance with Note 2 Summary of Significant Accounting Policies. The chief operating decision maker does not use total assets by segment to make decisions regarding resources, therefore the total asset disclosure by segment has not been included.

Financial information by segment is presented as follows (in millions):



	Year Ended December 31,
	2016			2015			2014⁽³⁾
Net sales:
Legacy Zebra	$	1,247		$	1,286		$	1,195
Enterprise	2,337			2,380			482
Total segment net sales	3,584			3,666			1,677
Corporate, eliminations⁽¹⁾	(10		)	(16		)	(6		)
Total	$	3,574		$	3,650		$	1,671
Operating income:
Legacy Zebra	$	240		$	258		$	238
Enterprise	286			236			65
Total segment operating income	526			494			303
Corporate, eliminations⁽²⁾	(446		)	(457		)	(214		)
Total	$	80		$	37		$	89


(1)	Amounts included in Corporate, eliminations consist of purchase accounting adjustments related to the Acquisition.


(2)	Amounts included in Corporate, eliminations consist of purchase accounting adjustments not reported in segments; amortization of intangible assets, acquisition/integration costs, impairment of goodwill and other intangibles, and exit and restructuring costs.

(3)

The businesses included in our Enterprise segment were acquired as part of the Acquisition. The Enterprise segment’s results, including the increases in net sales, gross profit, operating expenses, and operating income, for the year ended December 31, 2014 was primarily related to the Acquisition. Accordingly, the results for this segment for the year ended December 31, 2014 include only two months (November and December 2014).

Information Regarding Operations by Geographic Area

Geographic data for long-lived assets, defined as property, plant and equipment is as follows (in millions):



	Year Ended December 31,
	2016		2015		2014⁽¹⁾
Europe, Middle East, and Africa	$	13	$	10	$	10
Latin America	3		3		2
Asia-Pacific	9		10		5
Total International	25		23		17
North America	267		275		238
Total long-lived assets	$	292	$	298	$	255

Geographic data for sales is as follows (in millions):



	Year Ended December 31,
	2016		2015		2014⁽¹⁾
Europe, Middle East, and Africa	$	1,138	$	1,194	$	583
Latin America	214		219		135
Asia-Pacific	483		463		216
Total International	1,835		1,876		934
North America	1,739		1,774		737
Total Net sales	$	3,574	$	3,650	$	1,671

Net Sales by Country

Net sales by country that are greater than 10% of total net sales are as follows (in millions):



	Year Ended December 31,
	2016		2015		2014⁽¹⁾
United States	$	1,950	$	2,045	$	875
United Kingdom	1,065		1,102		558
Singapore	362		175		155
Other	197		328		83
Total	$	3,574	$	3,650	$	1,671

Net Sales by Major Product Category

Net sales by major product category are as follows (in millions):



	Year Ended December 31,
	2016		2015		2014⁽¹⁾
Hardware	$	2,778	$	2,863	$	1,234
Supplies	278		268		265
Services and Software	518		519		172
Total	$	3,574	$	3,650	$	1,671

Significant Customers as Percentage of Total Net Sales

Our net sales to significant customers as a percentage of the total Company’s net sales were as follows:



	Year Ended December 31,
	2016						2015						2014⁽¹⁾
	Legacy Zebra		Enterprise		Total		Legacy Zebra		Enterprise		Total		Legacy Zebra		Enterprise		Total
Customer A	5.9	%	14.2	%	20.1	%	5.5	%	13.9	%	19.4	%	11.5	%	6.4	%	17.9	%
Customer B	5.0	%	8.2	%	13.2	%	4.6	%	8.1	%	12.7	%	9.4	%	4.2	%	13.6	%
Customer C	5.3	%	7.1	%	12.4	%	5.2	%	6.4	%	11.6	%	8.7	%	2.9	%	11.6	%