Operating Segments

6 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Operating Segments

OPERATING SEGMENTS

The principal approach used by management to evaluate the Company’s performance is by geographic region, although the dark air-cured and oriental tobacco businesses are each evaluated on the basis of their worldwide operations. The Company evaluates the performance of its segments based on operating income after allocated overhead expenses (excluding significant non-recurring charges or credits), plus equity in the pretax earnings of unconsolidated affiliates.

Operating results for the Company’s reportable segments for each period presented in the consolidated statements of income were as follows:

	Three Months Ended September 30,						Six Months Ended September 30,
(in thousands of dollars)	2016			2015			2016			2015
SALES AND OTHER OPERATING REVENUES
Flue-Cured and Burley Leaf Tobacco Operations:
North America	$	80,789		$	49,421		$	153,471		$	97,993
Other Regions (1)	318,576			371,032			496,592			548,433
Subtotal	399,365			420,453			650,063			646,426
Other Tobacco Operations (2)	57,577			35,929			102,354			85,375
Consolidated sales and other operating revenues	$	456,942		$	456,382		$	752,417		$	731,801
OPERATING INCOME
Flue-Cured and Burley Leaf Tobacco Operations:
North America	$	13,531		$	3,783		$	20,379		$	7,199
Other Regions (1)	32,342			34,202			15,325			26,355
Subtotal	45,873			37,985			35,704			33,554
Other Tobacco Operations (2)	2,397			145			4,434			1,053
Segment operating income	48,270			38,130			40,138			34,607
Deduct: Equity in pretax earnings of unconsolidated affiliates (3)	(1,260		)	(846		)	(1,130		)	(230		)
Restructuring and impairment costs (4)	(3,682		)	—			(3,682		)	(2,389		)
Consolidated operating income	$	43,328		$	37,284		$	35,326		$	31,988

⁽¹⁾  Includes South America, Africa, Europe, and Asia regions, as well as inter-region eliminations.

⁽²⁾  Includes Dark Air-Cured, Special Services, and Oriental, as well as inter-company eliminations. Sales and other operating revenues for this reportable segment include limited amounts for Oriental because its financial results consist principally of equity in the pretax earnings of an unconsolidated affiliate.

⁽³⁾  Equity in pretax earnings of unconsolidated affiliates is included in segment operating income (Other Tobacco Operations segment), but is reported below consolidated operating income and excluded from that total in the consolidated statements of income and comprehensive income.

⁽⁴⁾  Restructuring and impairment costs are excluded from segment operating income, but are included in consolidated operating income in the consolidated statements of income and comprehensive income.