Fluor 2013 Annual Report Download - page 48

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Additionally, we provide a solution to the transmission and distribution market in the United States
and South Africa. In the U.S. market, the scope of services is focused on the design and construction of
new transmission lines to connect new capacity from the renewable energy facilities to existing distribution
centers.
Other Matters
Backlog
Backlog in the engineering and construction industry is a measure of the total dollar value of work to
be performed on contracts awarded and in progress. The following table sets forth the consolidated
backlog of the company’s segments at December 31, 2013 and 2012:
December 31, December 31,
2013 2012
(in millions)
Oil & Gas ................................................ $20,003 $18,181
Industrial & Infrastructure(1) ................................... 10,493 17,163
Government(2) .............................................. 2,404 978
Global Services(1) ........................................... — —
Power .................................................... 2,007 1,877
Total ................................................... $34,907 $38,199
(1) Effective January 1, 2013, the company implemented certain organizational changes that impacted the
composition of its reportable segments. The company’s operations and maintenance activities,
previously included in the Global Services segment, have been integrated into the Industrial &
Infrastructure segment as part of the new industrial services business line. Consolidated backlog by
segment for 2012 has been recast to reflect these organizational changes. Currently, Global Services
does not have backlog to report.
(2) As of December 31, 2013, the company began including the unfunded portion of multi-year
government contract awards in its backlog to be more comparable to industry practice. As a result of
this change, total backlog includes $983 million of unfunded government contracts as of December 31,
2013.
The following table sets forth our consolidated backlog at December 31, 2013 and 2012 by region:
December 31, December 31,
2013 2012
(in millions)
United States .............................................. $12,664 $ 9,445
Asia Pacific (including Australia) ................................ 2,530 5,846
Europe, Africa and Middle East ................................. 11,363 9,553
The Americas (excluding the United States) ........................ 8,350 13,355
Total ................................................... $34,907 $38,199
For purposes of the preceding tables, backlog for the Industrial & Infrastructure segment includes our
operations and maintenance activities that have yet to be performed. U.S. government agencies operate
under annual fiscal appropriations by Congress and fund various federal contracts only on an incremental
basis. With respect to backlog in our Government segment as of December 31, 2013, if a contract covers
multiple years, we include the full contract award, whether funded or unfunded, excluding option periods.
For our contingency operations, we include only those amounts for which specific task orders have been
received. For projects related to proportionately consolidated joint ventures, we include only our
percentage ownership of each joint venture’s backlog.
8