Segments of Business

12 Months Ended

Dec. 31, 2013

Segment Reporting [Abstract]

Segments of Business

SEGMENTS OF BUSINESS

The Company's business activities are organized around and aggregated into its three principal business segments, U.S. Packaging, Global Packaging and Pressure Sensitive Materials, based on their similar economic characteristics, products, production process, types of customers, and distribution methods. Both internal and external reporting conforms to this organizational structure, with no significant differences in accounting policies applied. Minor intersegment sales are generally priced to reflect nominal markups. The Company evaluates the performance of its segments and allocates resources to them based primarily on operating profit, which is defined as profit before general corporate expense, interest expense, other non-operating (income) expense, income taxes, and noncontrolling interests.

Products produced within the U.S. and Global Packaging business segments service packaging applications for markets such as food, medical devices, personal care, agribusiness, chemicals, pet food, and consumer products. Products produced within the Pressure Sensitive Materials business segment include film, paper, and metalized plastic film printing stocks used for primary package labeling, promotional decoration, bar code inventory control labels, and laser printing for

administrative office and promotional applications. This segment also includes micro-thin film adhesives used in delicate electronic parts assembly and graphic films for decorative signage.

A summary of the Company’s business activities reported by its three business segments follows:

Business Segments (in millions)	2013			2012			2011
Sales including intersegment sales:
U.S. Packaging	$	3,013.1		$	3,062.6		$	3,129.2
Global Packaging	1,518.8			1,561.3			1,650.1
Pressure Sensitive Materials	554.3			556.6			575.8
Intersegment sales:
U.S. Packaging	(28.5		)	(22.5		)	(18.5		)
Global Packaging	(26.8		)	(17.8		)	(12.9		)
Pressure Sensitive Materials	(1.1		)	(1.0		)	(1.0		)
Total net sales	$	5,029.8		$	5,139.2		$	5,322.7
U.S. Packaging
Operating profit before facility consolidation and other costs (a)	$	382.9		$	408.8		$	341.3
Facility consolidation and other costs	(45.0		)	(42.1		)	(26.3		)
Operating profit	337.9			366.7			315.0
Global Packaging
Operating profit before facility consolidation and other costs (a)	106.8			86.5			121.2
Facility consolidation and other costs	(0.4		)	(26.6		)	(8.6		)
Operating profit	106.4			59.9			112.6
Pressure Sensitive Materials
Operating profit before facility consolidation and other costs (a)	30.0			37.1			36.1
Facility consolidation and other costs	—			—			(2.7		)
Operating profit	30.0			37.1			33.4
Corporate
General corporate expenses before facility consolidation and other costs	(93.7		)	(118.2		)	(92.8		)
Facility consolidation and other costs	—			—			(0.8		)
General corporate expenses	(93.7		)	(118.2		)	(93.6		)
Operating income	380.6			345.5			367.4
Interest expense	(68.2		)	(70.9		)	(76.8		)
Other non-operating income	7.9			4.0			1.6
Income before income taxes	$	320.3		$	278.6		$	292.2

(a) Fiscal 2012 operating profit before facility consolidation and other costs includes adjustments associated with the alignment of certain accounting practices. The benefit (detriment) for U.S. Packaging, Global Packaging, and Pressure Sensitive Materials for the twelve months ended December 31, 2012 was $13.8 million, $(16.4) million, and $0.5 million, respectively. These adjustments did not have a material impact on the Company's previously issued consolidated financial statements.

Business Segments (in millions)	2013		2012		2011
Total assets:
U.S. Packaging	$	2,016.8	$	2,100.7	$	2,186.6
Global Packaging	1,463.5		1,425.4		1,501.0
Pressure Sensitive Materials	319.8		325.5		302.1
Total identifiable assets (1)	3,800.1		3,851.6		3,989.7
Corporate assets (2)	310.1		334.1		330.7
Total	$	4,110.2	$	4,185.7	$	4,320.4
Depreciation and amortization:
U.S. Packaging	$	102.4	$	114.6	$	124.6
Global Packaging	63.6		67.3		75.5
Pressure Sensitive Materials	12.8		12.6		13.2
Corporate	11.5		9.8		7.0
Total	$	190.3	$	204.3	$	220.3
Additions to property and equipment:
U.S. Packaging	$	80.8	$	65.1	$	66.7
Global Packaging	42.3		47.2		36.2
Pressure Sensitive Materials	7.5		16.7		11.9
Corporate	9.2		7.4		20.4
Total	$	139.8	$	136.4	$	135.2

Operations by geographic area (in millions)	2013		2012		2011
Net sales: (3)
United States	$	3,444.6	$	3,460.5	$	3,517.2
Brazil	629.5		712.5		810.3
Other Americas	322.0		363.9		345.8
Europe	465.0		470.2		548.7
Asia-Pacific	168.7		132.1		100.7
Total	$	5,029.8	$	5,139.2	$	5,322.7
Long-lived assets: (4)
United States	$	906.2	$	938.3	$	986.7
Brazil	179.9		217.0		251.1
Other Americas	64.3		77.3		93.2
Europe	126.4		135.3		129.7
Asia-Pacific	74.3		54.1		39.8
Total	$	1,351.1	$	1,422.0	$	1,500.5

(1) Total assets by business segment include only those assets that are specifically identified with each segment’s operations.

(2) Corporate assets are principally cash and cash equivalents, prepaid expenses, prepaid income taxes, prepaid pension benefit costs, and corporate tangible and intangible property.

(3) Net sales are attributed to geographic areas based on location of the Company’s manufacturing or selling operation.

(4) Long-lived assets include net property and equipment, long-term receivables, deferred charges, and investment in affiliates.