Operating Segments and Related Information The Company conducts its operations through the following three reportable segments: Recovery Audit Services  Americas represents recovery audit services (other than Healthcare Claims Recovery Audit services) provided in the United States of America (U.S.), Canada and Latin America. Recovery Audit Services  Europe/Asia-Pacific represents recovery audit services (other than Healthcare Claims Recovery Audit services) provided in Europe, Asia and the Pacific region. Adjacent Services represents data transformation, spend analytics, PRGX OPTIX  , supplier information management ("SIM") services and associated advisory services. Additionally, Corporate Support includes the unallocated portion of corporate selling, general and administrative expenses not specifically attributable to the three reportable segments. Discontinued Operations As of December 31, 2015, the Company discontinued its Healthcare Claims Recovery Audit ("HCRA") services business. PRGX entered into agreements with third parties to fulfill its Medicare recovery audit contractor ("RAC") program subcontract obligations to audit Medicare payments and provide support for claims appeals and assigned its remaining Medicaid contract to another party. The Company has entered into settlement agreements with two of the three Medicare RAC-related third-parties. The Company believes the likelihood of further claims related to the final Medicare RAC contract is remote. As a result, the associated liability and receivable balances that relate to the final contract have been reduced to zero in the third quarter of 2019. The HCRA services business is reported as Discontinued Operations in accordance with GAAP. The following table presents the discontinued operations of the HCRA services business in the Consolidated Statement of Operations, for the three and nine months ended September 30, 2019 and 2018 (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Revenue, net $  $  $  $ 157 Cost of sales (907 ) 319 (662 ) 831 Selling, general and administrative expense 7 6 20 9 Depreciation and amortization    1 Income (loss) from discontinued operations before income taxes $ 900 $ (325 ) $ 642 $ (684 ) Income tax expense     Net income (loss) from discontinued operations $ 900 $ (325 ) $ 642 $ (684 ) The following table presents the discontinued operations of the HCRA services business in the Consolidated Statements of Cash Flows, for the nine months ended September 30, 2019 and 2018 (in thousands): Nine Months Ended September 30, 2019 2018 Net cash used in operating activities $ (148 ) $ (684 ) Net cash (used in) provided by investing activities   Net cash (used in) provided by financing activities   Decrease in cash and cash equivalents $ (148 ) $ (684 ) The Company evaluates the performance of its reportable segments based upon revenue and measures of profit or loss referred to as EBITDA and Adjusted EBITDA. The Company defines Adjusted EBITDA as earnings from continuing operations before interest and taxes (EBIT), adjusted for depreciation and amortization (EBITDA), and then further adjusted for unusual and other significant items that management views as distorting the operating results of the various segments from period to period. Such adjustments include restructuring charges, stock-based compensation, bargain purchase gains, acquisition-related charges and benefits (acquisition transaction costs, acquisition obligations classified as compensation, and fair value adjustments to acquisition-related contingent consideration), tangible and intangible asset impairment charges, certain litigation costs and litigation settlements, certain severance charges and foreign currency transaction gains and losses on short-term intercompany balances viewed by management as individually or collectively significant. The Company does not have any inter-segment revenue. Segment information for the three and nine months ended September 30, 2019 and 2018 (in thousands) is as follows: Recovery Audit Services  Americas Recovery Audit Services  Europe/Asia- Pacific Adjacent Services Corporate Support Total Three Months Ended September 30, 2019 Revenue, net $ 29,987 $ 10,803 $ 1,500 $  $ 42,290 Net loss from continuing operations (1,542 ) Income tax expense 202 Interest expense, net 376 EBIT $ 6,596 $ 1,261 $ (1,027 ) $ (7,794 ) $ (964 ) Depreciation of property, equipment and software 2,191 176 281  2,648 Amortization of intangible assets 437 41 386  864 EBITDA $ 9,224 $ 1,478 $ (360 ) $ (7,794 ) $ 2,548 Other loss (income) 1 (1 ) 1 3 4 Foreign currency transaction losses (gains) on short-term intercompany balances 97 864 10 (66 ) 905 Transformation, severance, and other expenses 654 140 331 733 1,858 Acquisition-related adjustment income    (250 ) (250 ) Stock-based compensation    527 527 Adjusted EBITDA from continuing operations $ 9,976 $ 2,481 $ (18 ) $ (6,847 ) $ 5,592 Recovery Audit Services  Americas Recovery Audit Services  Europe/Asia- Pacific Adjacent Services Corporate Support Total Three Months Ended September 30, 2018 Revenue, net $ 28,806 $ 12,191 $ 2,323 $  $ 43,320 Net income from continuing operations 2,626 Income tax expense 597 Interest expense, net 416 EBIT $ 6,522 $ 2,585 $ (847 ) $ (4,621 ) $ 3,639 Depreciation of property, equipment and software 1,260 164 289  1,713 Amortization of intangible assets 445 37 390  872 EBITDA $ 8,227 $ 2,786 $ (168 ) $ (4,621 ) $ 6,224 Other loss (income) (3 ) 61  (59 ) (1 ) Foreign currency transaction (gains) losses on short-term intercompany balances (78 ) 177 10 (39 ) 70 Transformation, severance, and other expenses 179 (16 ) (2 ) 278 439 Acquisition-related adjustment income    (1,640 ) (1,640 ) Stock-based compensation    1,341 1,341 Adjusted EBITDA from continuing operations $ 8,325 $ 3,008 $ (160 ) $ (4,740 ) $ 6,433 Recovery Audit Services  Americas Recovery Audit Services  Europe/Asia- Pacific Adjacent Services Corporate Support Total Nine Months Ended September 30, 2019 Revenue, net $ 86,295 $ 32,398 $ 4,375 $  $ 123,068 Net loss from continuing operations (9,959 ) Income tax expense 681 Interest expense, net 1,441 EBIT $ 19,560 $ 3,451 $ (6,086 ) $ (24,762 ) $ (7,837 ) Depreciation of property, equipment and software 5,872 520 840  7,232 Amortization of intangible assets 1,313 126 1,159  2,598 EBITDA $ 26,745 $ 4,097 $ (4,087 ) $ (24,762 ) $ 1,993 Other loss (income) 2 8 1 (15 ) (4 ) Foreign currency transaction (gains) losses on short-term intercompany balances (82 ) 1,164 10 (58 ) 1,034 Transformation, severance, and other expenses 1,032 385 954 1,464 3,835 Acquisition-related adjustment income    (250 ) (250 ) Stock-based compensation    3,573 3,573 Adjusted EBITDA from continuing operations $ 27,697 $ 5,654 $ (3,122 ) $ (20,048 ) $ 10,181 Recovery Audit Services  Americas Recovery Audit Services  Europe/Asia- Pacific Adjacent Services Corporate Support Total Nine Months Ended September 30, 2018 Revenue, net $ 83,676 $ 33,663 $ 4,804 $  $ 122,143 Net loss from continuing operations (2,582 ) Income tax expense 1,573 Interest expense, net 1,300 EBIT $ 16,845 $ 5,802 $ (3,626 ) $ (18,730 ) $ 291 Depreciation of property, equipment and software 3,876 512 908  5,296 Amortization of intangible assets 1,218 136 1,170  2,524 EBITDA $ 21,939 $ 6,450 $ (1,548 ) $ (18,730 ) $ 8,111 Other loss (income) (3 ) 166  (147 ) 16 Foreign currency transaction losses (gains) on short-term intercompany balances 128 853 14 (265 ) 730 Transformation, severance, and other expenses 728 999 66 635 2,428 Acquisition-related adjustment income    (1,640 ) (1,640 ) Stock-based compensation    4,159 4,159 Adjusted EBITDA from continuing operations $ 22,792 $ 8,468 $ (1,468 ) $ (15,988 ) $ 13,804