DELL TECHNOLOGIES INC.

Segment Information

(in millions, except percentages; unaudited; continued)

Three Months Ended

May 3, 2019

May 4, 2018

Reconciliation to consolidated net revenue:

Reportable segment net revenue

$

21,394

$

20,966

Other businesses (a)

596

579

Unallocated transactions (b)

—

(2)

Impact of purchase accounting (c)

(82)

(187)

Total consolidated net revenue

$

21,908

$

21,356

Reconciliation to consolidated operating income (loss):

Reportable segment operating income

$

2,250

$

2,085

Other businesses (a)

(53)

(50)

Unallocated transactions (b)

(1)

(9)

Impact of purchase accounting (c)

(101)

(222)

Amortization of intangibles

(1,217)

(1,522)

Transaction-related expenses (d)

(42)

(166)

Stock-based compensation expense (e)

(263)

(199)

Other corporate expenses (f)

(23)

(70)

Total consolidated operating income (loss)

$

550

$

________________

(a)

Pivotal, SecureWorks, RSA Security, Virtustream, and Boomi constitute "Other businesses" and do not meet the requirements for a reportable segment, either individually or collectively.  The results of Other businesses are not material to the Company's overall results.

(b)

Unallocated transactions include long-term incentives, certain short-term incentive compensation expenses, and other corporate items that are not allocated to Dell Technologies' reportable segments.

(c)

Impact of purchase accounting includes non-cash purchase accounting adjustments that are primarily related to the EMC merger transaction.

(d)

Transaction-related expenses includes acquisition, integration, and divestiture related costs, as well as the costs incurred in the Class V transaction.

(e)

Stock-based compensation expense consists of equity awards granted based on the estimated fair value of those awards at grant date.

(f)

Other corporate expenses includes severance and facility action costs.