Segment Reporting

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

SEGMENT REPORTING

SEGMENT REPORTING

As disclosed in Note 16 to the Company's consolidated financial statements for the year ended December 31, 2015, the Company has determined there are five reportable segments:  U.S. Operations, Swiss Operations, Western European Operations, Chinese Operations and Other.

The Company evaluates segment performance based on Segment Profit (gross profit less research and development and selling, general and administrative expenses, before amortization, interest expense, restructuring charges, other charges (income), net and taxes).

The following tables show the operations of the Company’s operating segments:

	Net Sales to		Net Sales to									As of June 30,
For the three months ended	External		Other			Total Net			Segment			2016
June 30, 2016	Customers		Segments			Sales			Profit			Goodwill
U.S. Operations	$	216,968	$	22,102		$	239,070		$	41,112		$	319,715
Swiss Operations	30,720		126,983			157,703			34,997			22,105
Western European Operations	154,264		38,945			193,209			24,303			87,452
Chinese Operations	92,886		58,655			151,541			45,934			672
Other (a)	113,448		1,700			115,148			13,249			14,334
Eliminations and Corporate (b)	—		(248,385		)	(248,385		)	(30,518		)	—
Total	$	608,286	$	—		$	608,286		$	129,077		$	444,278

	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2016	Customers		Segments			Sales			Profit
U.S. Operations	$	404,903	$	41,733		$	446,636		$	70,267
Swiss Operations	57,685		247,294			304,979			70,819
Western European Operations	291,915		77,492			369,407			44,493
Chinese Operations	177,833		104,581			282,414			82,560
Other (a)	215,624		3,054			218,678			24,343
Eliminations and Corporate (b)	—		(474,154		)	(474,154		)	(61,392		)
Total	$	1,147,960	$	—		$	1,147,960		$	231,090

(a) Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries.

(b) Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments.

	Net Sales to		Net Sales to									As of June 30,
For the three months ended	External		Other			Total Net			Segment			2015
June 30, 2015	Customers		Segments			Sales			Profit			Goodwill
U.S. Operations	$	204,263	$	22,840		$	227,103		$	37,101		$	308,863
Swiss Operations	33,153		116,753			149,906			33,359			23,198
Western European Operations	148,803		38,357			187,160			22,777			96,552
Chinese Operations	91,013		54,711			145,724			41,386			746
Other (a)	104,825		1,588			106,413			10,066			13,123
Eliminations and Corporate (b)	—		(234,249		)	(234,249		)	(26,379		)	—
Total	$	582,057	$	—		$	582,057		$	118,310		$	442,482

	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2015	Customers		Segments			Sales			Profit
U.S. Operations	$	383,086	$	41,132		$	424,218		$	61,417
Swiss Operations	64,004		233,093			297,097			69,534
Western European Operations	289,721		79,307			369,028			42,783
Chinese Operations	177,461		103,180			280,641			74,613
Other (a)	203,486		2,945			206,431			19,188
Eliminations and Corporate (b)	—		(459,657		)	(459,657		)	(51,919		)
Total	$	1,117,758	$	—		$	1,117,758		$	215,616

(a) Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries.

(b) Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments.

A reconciliation of earnings before taxes to segment profit for the three and six month periods ended June 30 follows:

	Three Months Ended					Six Months Ended
	2016		2015			2016		2015
Earnings before taxes	$	103,172	$	102,047		$	189,585	$	185,010
Amortization	8,655		7,634			17,079		15,162
Interest expense	6,872		6,942			13,452		13,667
Restructuring charges	2,205		1,720			3,085		2,627
Other charges (income), net	8,173		(33		)	7,889		(850		)
Segment profit	$	129,077	$	118,310		$	231,090	$	215,616

During the three months ended June 30, 2016, restructuring charges of $2.2 million were recognized, of which $0.8 million, $0.2 million, and $1.2 million, related to the Company’s U.S., Swiss, and Western European Operations, respectively. Restructuring charges of $1.7 million were recognized during the three months ended June 30, 2015, of which $0.1 million, $0.4 million, $0.7 million, $0.2 million, and $0.3 million related to the Company’s U.S., Swiss, Western European, Chinese Operations, and Other Operations respectively. Restructuring charges of $3.1 million were recognized during the six months ended June 30, 2016, of which $1.1 million, $0.6 million, $1.2 million, $0.1 million, and $0.1 million related to the Company’s U.S., Swiss, Western European, Chinese, and Other Operations, respectively. Restructuring charges of $2.6 million were recognized during the six months ended June 30, 2015, of which $0.1 million, $1.1 million, $0.5 million, $0.3 million and $0.6 million related to the Company’s U.S., Swiss, Western European, Chinese and Other Operations, respectively.