Note 14. Segment Information
You disclose that you have operations in two reportable segments,
Wireless and Wireline. We note on page 8 that you organize your Wireline service
and product offerings by the primary customers targeted. In addition we note
the remarks in your earnings calls of the impact on operating results of the FIOS
platform. To help us understand how you applied the guidance in FASB ASC 280 in
identifying your operating segments, please provide us with the following
information:
● Provide your organization chart which identifies the positions, roles, or
functions that report directly to your chief operating decision maker (“CODM”)
and senior management team;
● Tell us the title and describe the role of your CODM and each of the
individuals who report to the CODM;
● Identify for us each of the operating segments you have determined in
accordance with FASB ASC 280;
● Identify and describe the role of each of your segment managers;
● Tell us how often the CODM meets with his/her direct reports, the
financial information the CODM reviews to prepare for those meetings, the
financial information discussed in those meetings, and who attends those
meetings;
● Describe the information regularly provided to the CODM and tell us how
frequently it is prepared;
● Describe the information regularly provided to the Board of Directors and
tell us how frequently it is prepared;
● Describe the information about Wireline’s product and service offerings
that are provided to the CODM, tell us whether there are managers accountable
for the product and service offerings, and if so, tell us who they are
accountable to;
● Explain how budgets are prepared, who approves the budget at each step of
the process, the level of detail discussed at each step, and the level at which
the CODM makes changes to the budget;
● Describe the level of detail communicated to the CODM when actual results
differ from budgets and who is involved in meetings with the CODM to discuss
budget-to-actual variances; and,
● Describe
the basis for determining the compensation of the individuals that report to
the CODM.
