Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.4.0.3
Segment Information
 3 Months Ended
Mar. 31, 2016
Segment Reporting [Abstract]  
Segment Information
Segment Information

Centene operates in two segments: Managed Care and Specialty Services.  

The Managed Care segment consists of Centene’s health plans including all of the functions needed to operate them. Subsequent to the closing of the Health Net acquisition, the Managed Care segment also includes the Health Net Western Region, with the exception of the pharmaceutical services subsidiaries and behavioral health subsidiaries. Health Net's Western Region operations include: commercial, Medicare, Medicaid and dual eligible health plans, primarily in Arizona, California, Oregon and Washington.

The Specialty Services segment consists of Centene’s specialty companies offering auxiliary healthcare services and products. Subsequent to the closing of the Health Net acquisition, the Specialty Services segment also includes the Government Contracts segment of Health Net as well as their pharmaceutical services and behavioral health subsidiaries, which Health Net previously included in their Western Region Operations segment. The Government Contracts business includes the Company's government-sponsored managed care contract with the DoD under the TRICARE program in the North Region, the MFLC contract with the DoD, and other health care related government contracts, including PC3/Choice with the VA.

Segment information for the three months ended March 31, 2016, follows ($ in millions):
 
Managed Care
 
Specialty
Services
 
Eliminations
 
Consolidated
Total
Total revenues from external customers
$
6,355

 
$
598

 
$
—

 
$
6,953

Total revenues from internal customers
34

 
1,448

 
(1,482
)
 
—

Total revenues
$
6,389

 
$
2,046

 
$
(1,482
)
 
$
6,953

Earnings (loss) from operations
$
(22
)
 
$
42

 
$
—

 
$
20


Segment information for the three months ended March 31, 2015, follows ($ in millions):
 
Managed Care
 
Specialty
Services
 
Eliminations
 
Consolidated
Total
Total revenues from external customers
$
4,612

 
$
519

 
$
—

 
$
5,131

Total revenues from internal customers
24

 
1,075

 
(1,099
)
 
—

Total revenues
$
4,636

 
$
1,594

 
$
(1,099
)
 
$
5,131

Earnings from operations
$
95

 
$
34

 
$
—

 
$
129



As discussed in Note 3. Health Net, the assignment of goodwill to the Company's segment has not been completed at this time. The Company will update segment asset disclosures once a preliminary allocation is available.