DFS Annual Report

Notes to the Consolidated and Combined Financial Statements (in millions, except per share data, unless otherwise indicated)-(Continued) Condensed Consolidating Statements of Operations Year Ended December 31, 2015 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated Services net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ — $530.2 $106.6 $ (8.2) $ 628.6 Products net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 381.8 44.5 (5.4) 420.9 Total net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 912.0 151.1 (13.6) 1,049.5 Services cost of sales (exclusive of depreciation and amortization) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 230.7 68.4 (7.2) 291.9 Services cost of sales with RR Donnelley affiliates (exclusive of depreciation and amortization) . . . . . . . . . — 38.1 2.3 — 40.4 Products cost of sales (exclusive of depreciation and amortization) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 208.8 28.5 (6.4) 230.9 Products cost of sales with RR Donnelley affiliates (exclusive of depreciation and amortization) . . . . . . . . . — 68.2 0.1 — 68.3 Total cost of sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 545.8 99.3 (13.6) 631.5 Selling, general and administrative expenses (exclusive of depreciation and amortization) . . . . . . . . . . . . . . . . . . . . . . . . — 168.1 31.1 — 199.2 Restructuring, impairment and other charges-net . . . . . . . . . . . . — 3.5 0.9 — 4.4 Depreciation and amortization . . . . . . . . . . . . . . . . . . . . . . . . . . . — 37.3 4.4 — 41.7 Income from operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 157.3 15.4 0.0 172.7 Interest expense-net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 1.1 — — 1.1 Investment and other income-net . . . . . . . . . . . . . . . . . . . . . . . . — — (0.1) — (0.1) Earnings before income taxes and equity in net income of subsidiaries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 156.2 15.5 0.0 171.7 Income tax expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 63.8 3.6 — 67.4 Earnings before equity in net income of subsidiaries . . . . . . . — 92.4 11.9 0.0 104.3 Equity in net income of subsidiaries . . . . . . . . . . . . . . . . . . . . . . 104.3 11.9 — (116.2) — Net earnings (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $104.3 $104.3 $ 11.9 $(116.2) $ 104.3 Comprehensive income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . $124.3 $124.3 $ 4.4 $(128.7) $ 124.3 F-38