BUSINESS SEGMENTS AND GEOGRAPHIC INFORMATION

Operating and Reporting Segments

The Company conducts its business through four reportable business segments: the U.S. Corrections & Detention segment; the GEO Care segment; the International Services segment; and the Facility Construction & Design segment. The Company's segment revenues from external customers and a measure of segment profit are as follows (in thousands):



	Three Months Ended					Six Months Ended
	June 30, 2018		June 30, 2017			June 30, 2018		June 30, 2017
Revenues:
U.S. Corrections & Detention	$	368,989	$	360,838		$	727,670	$	708,769
GEO Care	149,928		139,364			290,006		243,130
International Services	64,592		42,928			130,750		84,620
Facility Construction & Design [1]	—		33,940			—		91,165
Total revenues	$	583,509	$	577,070		$	1,148,426	$	1,127,684
Operating income (loss) from segments:
U.S. Corrections & Detention	$	77,318	$	69,801		$	146,506	$	144,697
GEO Care	35,139		36,533			66,831		65,359
International Services	1,942		2,117			7,344		5,003
Facility Construction & Design [1]	—		(1,692		)	—		(1,342		)
Operating income from segments	$	114,399	$	106,759		$	220,681	$	213,717

[1] Facility Construction & Design activity related to the Company's Ravenhall correctional facility project which was completed during the fourth quarter of 2017.

Pre-Tax Income Reconciliation of Segments

The following is a reconciliation of the Company’s total operating income from its reportable segments to the Company’s income before income taxes and equity in earnings of affiliates (in thousands):



	Three Months Ended						Six Months Ended
	June 30, 2018			June 30, 2017			June 30, 2018			June 30, 2017
Total operating income from segments	$	114,399		$	106,759		$	220,681		$	213,717
Unallocated amounts:
General and Administrative Expenses	(47,448		)	(52,206		)	(89,280		)	(94,792		)
Net Interest Expense	(28,252		)	(23,637		)	(55,022		)	(46,660		)
Income before income taxes and equity in earnings of affiliates	$	38,699		$	30,916		$	76,379		$	72,265

Equity in Earnings of Affiliates

Equity in earnings of affiliates includes the Company’s 50% owned joint ventures in SACS, located in South Africa, and GEOAmey, located in the United Kingdom. The Company's investments in these entities are accounted for under the equity method of accounting. The Company’s investments in these entities are presented as a component of Other Non-Current Assets in the accompanying consolidated balance sheets.

The Company has recorded $2.1 million and $3.7 million in earnings, net of tax, for SACS operations during the three and six months ended June 30, 2018, and $1.2 million and $2.3 million in earnings, net of tax, for SACS operations during the three months and six months ended June 30, 2017, respectively, which are included in equity in earnings of affiliates, net of income tax provision in the accompanying consolidated statements of operations. As of June 30, 2018 and December 31, 2017, the Company’s investment in SACS was $16.0 million and $18.1 million, respectively, and represents its share of cumulative reported earnings.

The Company has recorded $0.2 million and $0.6 million in earnings, net of tax, for GEO Amey's operations during the three and six months ended June 30, 2018, and $0.3 million and $0.6 million for the three and six months ended June 30, 2017, respectively, which are included in equity in earnings of affiliates, net of income tax provision in the accompanying consolidated statements of operations. As of June 30, 2018 and December 31, 2017, the Company’s investment in GEOAmey was $3.3 million and $2.7 million, respectively, and represents its share of cumulative reported earnings.