SEGMENTS

The Company reports financial performance based on the following three reportable segments: the Aerostructures Group, the Aerospace Systems Group and the Aftermarket Services Group. The Company's CODM utilizes Adjusted EBITDA as a primary measure of profitability to evaluate performance of its segments and allocate resources.

The Aerostructures segment consists of the Company's operations that manufacture products primarily for the aerospace OEM market. The Aerostructures segment's revenues are derived from the design, manufacture, assembly and integration of metallic and composite aerostructures and structural components, including aircraft wings, fuselage sections, tail assemblies, engine nacelles, flight control surfaces as well as helicopter cabins. Further, the segment's operations also design and manufacture composite assemblies for floor panels and environmental control system ducts. These products are sold to various aerospace OEMs on a global basis. Effective April 1, 2015, the results for Triumph Group Mexico are included in the Aerostructures segment, as doing so better represents the type of work Triumph Group Mexico is performing. Previously, Triumph Group Mexico's results were included in Corporate.

The Aerospace Systems segment consists of the Company's operations that also manufacture products primarily for the aerospace OEM market. The segment's operations design and engineer mechanical and electromechanical controls, such as hydraulic systems, main engine gearbox assemblies, engine control systems, accumulators, mechanical control cables and non-structural cockpit components. These products are sold to various aerospace OEMs on a global basis.

The Aftermarket Services segment consists of the Company's operations that provide maintenance, repair and overhaul services to both commercial and military markets on components and accessories manufactured by third parties. Maintenance, repair and overhaul revenues are derived from services on auxiliary power units, airframe and engine accessories, including constant-speed drives, cabin compressors, starters and generators, and pneumatic drive units. In addition, the segment's operations repair and overhaul thrust reversers, nacelle components and flight control surfaces. The segment's operations also perform repair and overhaul services and supply spare parts for various types of cockpit instruments and gauges for a broad range of commercial airlines on a worldwide basis.

Segment Adjusted EBITDA is total segment revenue reduced by operating expenses (less depreciation and amortization) identifiable with that segment. Corporate includes general corporate administrative costs and any other costs not identifiable with one of the Company's segments, including restructuring of $10,347 for the fiscal year ended March 31, 2016.

Effective April 2016, the Company announced that it is realigning into four business units to better meet the evolving needs of its customers. The new structure better supports our go-to-market strategies and will allow us to more effectively satisfy the needs of our customers while continuing to deliver on our commitments, accelerate organic growth and drive predictable profitability.

The Company does not accumulate net sales information by product or service or groups of similar products and services, and therefore the Company does not disclose net sales by product or service because to do so would be impracticable.

Selected financial information for each reportable segment and the reconciliation of Adjusted EBITDA to operating income before interest is as follows:



	Year Ended March 31,
	2016			2015			2014
Net sales:
Aerostructures	$	2,427,809		$	2,510,371		$	2,622,917
Aerospace systems	1,166,795			1,089,117			871,750
Aftermarket services	311,394			304,013			287,343
Elimination of inter-segment sales	(19,926		)	(14,779		)	(18,756		)
	$	3,886,072		$	3,888,722		$	3,763,254
(Loss) income before income taxes:
Operating (loss) income:
Aerostructures	$	(1,274,777	)	$	120,985		$	248,637
Aerospace systems	216,520			184,042			149,721
Aftermarket services	24,977			47,931			42,265
Corporate	(57,826		)	81,715			(40,619		)
	(1,091,106		)	434,673			400,004
Interest expense and other	68,041			85,379			87,771
	$	(1,159,147	)	$	349,294		$	312,233
Depreciation and amortization:
Aerostructures	$	114,986		$	102,296		$	116,514
Aerospace systems	50,118			45,200			37,453
Aftermarket services	11,009			8,559			7,529
Corporate	1,642			2,268			2,781
	$	177,755		$	158,323		$	164,277

Impairment charge of intangible assets:
Aerostructures	$	873,961		$	—		$	—
Aerospace systems	400			—			—
	$	874,361		$	—		$	—

Amortization of acquired contract liabilities, net:
Aerostructures	$	90,778		$	38,719		$	25,207
Aerospace systems	41,585			37,014			17,422
	$	132,363		$	75,733		$	42,629
Adjusted EBITDA:
Aerostructures	$	(364,538	)	$	184,562		$	339,944
Aerospace systems	216,959			192,228			169,752
Aftermarket services	37,886			56,490			49,794
Corporate	(57,428		)	(50,710		)	(36,672		)
	$	(167,121	)	$	382,570		$	522,818



	Year Ended March 31,
	2016		2015		2014
Capital expenditures:
Aerostructures	$	45,478	$	72,681	$	168,715
Aerospace systems	30,883		30,531		21,935
Aftermarket services	2,700		5,645		13,940
Corporate	986		1,147		1,824
	$	80,047	$	110,004	$	206,414



	March 31,
	2016		2015
Total Assets:
Aerostructures	$	3,023,892	$	4,097,397
Aerospace systems	1,437,977		1,460,142
Aftermarket services	350,674		375,752
Corporate	22,550		23,034
	$	4,835,093	$	5,956,325

During fiscal years ended March 31, 2016, 2015 and 2014, the Company had foreign sales of $797,976, $753,075 and $621,625, respectively. The Company reports as foreign sales those sales with delivery points outside of the United States. As of March 31, 2016 and 2015, the Company had foreign long-lived assets of $346,924 and $366,846, respectively.