Summarized financial information for the Company's Discontinued Operations is as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | (in millions) | | 2026 | | 2025 | | 2026 | | 2025 | | Revenue | | $ | 133 | | | $ | 151 | | | $ | 269 | | | $ | 285 | | | Operating Costs and Expenses | | | | | | | | | | Cost of services (excluding depreciation and amortization) | | 123 | | | 128 | | | 249 | | | 240 | | | Selling, general and administrative (excluding depreciation and amortization) | | 12 | | | 10 | | | 25 | | | 20 | | | | | | | | | | | | Depreciation and amortization | | 6 | | | 6 | | | 12 | | | 14 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Other (income) expenses, net | | 37 | | | 1 | | | 37 | | | (1) | | | Total Operating Costs and Expenses | | 178 | | | 145 | | | 323 | | | 273 | | | Income (Loss) Before Income Taxes | | (45) | | | 6 | | | (54) | | | 12 | | | Income tax expense (benefit) | | 2 | | | 4 | | | 4 | | | 5 | | | Net Income (Loss) from Discontinued Operations | | $ | (47) | | | $ | 2 | | | $ | (58) | | | $ | 7 | |
The following is a summary of the major categories of assets and liabilities that have been reclassified as held for sale in connection with the pending Public Transit and Tolling divestitures described above: | | | | | | | | | | | | | | | | (in millions) | | June 30, 2026 | | December 31, 2025 | | Accounts Receivable, net | | $ | 137 | | | $ | 159 | | | Other current assets | | 95 | | | 87 | | | Contract assets | | 55 | | | 70 | | | Land, building and equipment, net | | 17 | | | 14 | | | Operating lease right-of-use assets | | 20 | | | 23 | | | Deferred contract costs, net | | 49 | | | 54 | | | Other long-term assets | | 42 | | | 45 | | | Write-down to fair value | | (29) | | | — | | | Assets of discontinued operations held for sale | | $ | 386 | | | $ | 452 | | | | | | | | Accounts payable | | $ | 29 | | | $ | 34 | | | Accrued compensation and benefits costs | | 36 | | | 37 | | | Contract liabilities | | 34 | | | 30 | | | Other current liabilities | | 67 | | | 70 | | | | | | | | Operating lease liabilities | | 15 | | | 18 | | | Other long-term liabilities | | 25 | | | 28 | | | Liabilities of discontinued operations held for sale | | $ | 206 | | | $ | 217 | |
The following is a summary of selected financial information of the discontinued operations: | | | | | | | | | | | | | | | | | Six Months Ended June 30, | | (in millions) | | 2026 | | 2025 | | Non-cash expenses | | | | | | Depreciation of buildings and equipment | | $ | 2 | | | $ | 2 | | | Amortization of product software | | 6 | | | 6 | | | | | | | | Amortization of deferred customer contract costs | | 4 | | | 6 | | | Write-down of assets to estimated fair value less costs to sell | | 31 | | | — | | | | | | | | Capital and other expenditures | | | | | | Cost of additions to land, buildings and equipment | | 3 | | | 2 | | | Cost of additions to product software | | 4 | | | 1 | | | | | | | | Costs to obtain and fulfill a contract | | — | | | 6 | |
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