Segment Information

12 Months Ended

Dec. 31, 2015

Segment Reporting [Abstract]

Segment Information

SEGMENT INFORMATION

The Company operates in two reportable segments. The CAM segment consists of the Company's aircraft leasing operations and its segment earnings includes an allocation of interest expense. The ACMI Services segment consists of the Company's airline operations, including the CMI agreement with DHL as well as ACMI and charter service agreements that the Company has with other customers. Due to the similarities among the Company's airline operations, the airline operations are aggregated into a single reportable segment, ACMI Services. The Company's other activities, which include contracts with the USPS, the sale of aircraft parts and maintenance services, facility and ground equipment maintenance services and management services for workers' compensation while managed separately, are not large enough to constitute reportable segments and are combined in “All other” with inter-segment profit eliminations. Inter-segment revenues are valued at arms-length, market rates. Cash, cash equivalents and deferred tax assets are reflected in Assets - All other below.

The Company's segment information from continuing operations is presented below (in thousands):

	Year Ended December 31
	2015			2014			2013
Total revenues:
CAM	$	177,789		$	166,303		$	160,342
ACMI Services	433,109			439,919			444,504
All other	161,995			142,294			117,292
Eliminate inter-segment revenues	(153,629		)	(158,924		)	(142,115		)
Total	$	619,264		$	589,592		$	580,023
Customer revenues:
CAM	$	93,395		$	77,668		$	71,604
ACMI Services	431,989			439,919			444,504
All other	93,880			72,005			63,915
Total	$	619,264		$	589,592		$	580,023
Depreciation and amortization expense:
CAM	$	87,765		$	78,866		$	64,096
ACMI Services	37,526			29,929			27,546
All other	152			(541		)	107
Total	$	125,443		$	108,254		$	91,749
Other Charges
ACMI Services - pension settlement	—			6,700			—
ACMI Services - goodwill impairment	—			—			52,585
Total	$	—		$	6,700		$	52,585
Segment earnings (loss):
CAM	$	57,457		$	53,159		$	66,208
ACMI Services	(2,654		)	(12,081		)	(78,186		)
All other	8,561			11,363			12,200
Net unallocated interest expense	(1,721		)	(1,761		)	(1,212		)
Net gain on derivative instruments	920			1,096			631
Pre-tax earnings from continuing operations	$	62,563		$	51,776		$	(359	)

The Company's assets are presented below by segment (in thousands):

	December 31,		December 31,		December 31,
	2015		2014		2013
Assets:
CAM	$	805,318	$	799,164	$	806,943
ACMI Services	154,852		133,861		140,354
Discontinued operations	—		—		294
All other	82,093		78,834		71,591
Total	$	1,042,263	$	1,011,859	$	1,019,182

Interest expense allocated to CAM was $9.4 million, $11.8 million and $12.4 million for the years ending December 31, 2015, 2014 and 2013, respectively.

During 2015, the Company had capital expenditures of $40.0 million and $114.8 million for the ACMI Services and CAM segments, respectively. The ACMI Services segment reflects a goodwill impairment charge of $52.6 million recorded in 2013.

Entity-Wide Disclosures

The Company had revenues of approximately $206.5 million, $205.0 million and $235.1 million for 2015, 2014 and 2013, respectively, derived from aircraft leases in foreign countries or routes with flights departing from or arriving in foreign countries. All revenues from the CMI agreement with DHL are attributed to U.S. operations. As of December 31, 2015 and 2014, the Company had 17 and 11 aircraft, respectively, outside of the United States.

CAM's revenues include $12.6 million, $11.5 million and $9.9 million for 2015, 2014 and 2013, respectively, for engine and other maintenance related payments from customers. The Company's external customers revenues from other activities for the years ended December 31, 2015, 2014 and 2013 are presented below (in thousands):

	December 31,
	2015		2014		2013
Mail and package handling services	$	47,307	$	34,025	$	30,117
Aircraft maintenance and part sales	33,687		26,393		23,175
Facility and ground equipment maintenance	11,490		11,119		10,030
Other	1,396		468		593
Total customer revenues	$	93,880	$	72,005	$	63,915