Operating Segments

6 Months Ended

Sep. 30, 2011

Operating Segments [Abstract]

Operating Segments

NOTE 12. OPERATING SEGMENTS

The principal approach used by management to evaluate the Company's performance is by geographic region, although some components of the business are 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 pretax earnings of unconsolidated affiliates.

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

	Three Months Ended September 30,						Six Months Ended September 30,
(in thousands of dollars)	2011			2010			2011			2010
SALES AND OTHER OPERATING REVENUES
Flue-cured and burley leaf tobacco operations:
North America	$	67,729		$	56,751		$	126,358		$	119,918
Other regions (1)		535,149			559,939			893,799			961,758
Subtotal		602,878			616,690			1,020,157			1,081,676
Other tobacco operations (2)		38,148			47,498			100,334			121,428
Consolidated sales and other operating revenues.	$	641,026		$	664,188		$	1,120,491		$	1,203,104
OPERATING INCOME
Flue-cured and burley leaf tobacco operations:
North America	$	5,053		$	11,998		$	10,630		$	15,690
Other regions (1)		56,441			58,583			77,350			90,910
Subtotal		61,494			70,581			87,980			106,600
Other tobacco operations (2)		425			5,613			3,230			12,026
Segment operating income		61,919			76,194			91,210			118,626
Deduct: Equity in pretax (earnings) loss of unconsolidated affiliates (3)		(153	)		(2,014	)		3,336			(2,392	)
Restructuring costs (4)		(2,962	)		(2,020	)		(9,821	)		(2,969	)
Charge for (reversal of) European Commission fines
in Italy and Spain (4)		(49,091	)		7,445			(49,091	)		7,445
Add: Other income (4)		—			—			9,592			—
Consolidated operating income	$	9,713		$	79,605		$	45,226		$	120,710

(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) Item is included in segment operating income, but not included in consolidated operating income.

(4) Item is not included in segment operating income, but is included in consolidated operating income.