Segment Reporting and Geographic Locations

In the year ended December 31, 2018, we completed a strategic reorganization of our operations into two business segments, Electrical Systems and Global Seating. As a result of the strategic reorganization, we restated prior period segment information to conform to the current period segment presentation.

Operating segments are defined as components of an enterprise that are evaluated regularly by the Company’s CODM, which is our President and Chief Executive Officer. Each of these segments consists of a number of manufacturing facilities. Certain of our facilities manufacture and sell products through both of our segments. Each manufacturing facility that sells products through both segments is reflected in the financial results of the segment that has the greatest amount of sales from that manufacturing facility. Our segments are more specifically described below.

The Electrical Systems Segment manufactures and sells the following products:


•	Electrical wire harnesses, control panels, electro-mechanical and cable assemblies primarily for the construction, agricultural, industrial, automotive, truck, mining, rail and military industries in North America, Europe and Asia-Pacific;


•	Trim systems and components ("Trim") primarily for the North America MD/HD Truck market;


•	Mirrors, wipers and controls primarily for the truck, bus, agriculture, construction, rail and military markets in North America and Europe;


•	Cab structures for the North American MD/HD Truck market; and


•	Aftermarket components in North America.

The Global Seating Segment manufactures and sells the following products:


•	Seats and seating systems ("Seats") primarily to the MD/HD Truck, construction, agriculture and mining markets in North America, Asia-Pacific and Europe;


•	Office seating in Europe and Asia-Pacific; and


•	Aftermarket seats and components in North America, Europe and Asia-Pacific.

Corporate expenses consist of overhead and shared costs that are not directly attributable to the operations of a segment. For purposes of business segment performance measurement, some of these costs are for the benefit of the operations and are allocated based on a combination of methodologies. The costs that are not allocated to a segment are considered stewardship costs and remain at corporate in our segment reporting.

The following table presents segment revenues, gross profit, selling, general and administrative expenses, amortization expense, operating income, capital expenditures, depreciation expense and other items for the year ended December 31, 2019. The table does not include assets as the CODM does not review assets by segment.



	For the year ended December 31, 2019
	Electrical Systems		Global Seating		Corporate/ Other			Total
Revenues
External revenues	$	522,484	$	378,754	$	—		$	901,238
Intersegment revenues	8,417		2,794		(11,211		)	—
Total revenues	$	530,901	$	381,548	$	(11,211	)	$	901,238
Gross profit	$	60,008	$	45,201	$	(72	)	$	105,137
Selling, general & administrative expenses	15,815		20,429		26,305			62,549
Amortization expense	1,415		537		—			1,952
Operating income	$	42,778	$	24,235	$	(26,377	)	$	40,636

Capital Expenditures, Depreciation Expense and Other:
Capital expenditures	$	17,728	$	3,721	$	2,668		$	24,117
Depreciation expense	$	6,699	$	4,379	$	2,484		$	13,562
Other items ¹	$	2,159	$	489	$	1,210		$	3,858

¹Other items include costs associated with restructuring activities, including employee severance and retention costs, lease cancellation costs, building repairs, costs to transfer equipment, and costs of $0.9 million associated with the acquisition of the assets of FSE.

The following table presents segment revenues, gross profit, selling, general and administrative expenses, amortization expense, operating income, capital expenditures and depreciation expense for the year ended December 31, 2018. The table does not include assets as the CODM does not review assets by segment.



	For the year ended December 31, 2018 (as restated)
	Electrical Systems ¹		Global Seating		Corporate/ Other ¹			Total
Revenues
External revenues	$	503,717	$	394,020	$	—		$	897,737
Intersegment revenues	9,037		3,481		(12,518		)	—
Total revenues	$	512,754	$	397,501	$	(12,518	)	$	897,737
Gross profit	$	71,104	$	54,231	$	(415	)	$	124,920
Selling, general & administrative expenses	15,390		22,433		22,856			60,679
Amortization expense	747		553		—			1,300
Operating income	$	54,967	$	31,245	$	(23,271	)	$	62,941

Capital Expenditures and Depreciation Expense:
Capital expenditures	$	9,825	$	3,579	$	2,140		$	15,544
Depreciation expense	$	6,919	$	4,604	$	2,448		$	13,971

¹ The Company has adjusted certain prior period amounts for the restatement and immaterial correction of error. See Note 2 for details.

The following table presents segment revenues, gross profit, selling, general and administrative expenses, amortization expense, operating income, capital expenditures, depreciation expense and other items as of and for the year ended December 31, 2017. The table does not include assets as the CODM does not review assets by segment.



	For the year ended December 31, 2017
	Electrical Systems ¹		Global Seating		Corporate/ Other ¹			Total
Revenues
External revenues	$	427,476	$	327,755	$	—		$	755,231
Intersegment revenues	6,922		1,761		(8,683		)	—
Total revenues	$	434,398	$	329,516	$	(8,683	)	$	755,231
Gross profit	$	51,017	$	40,722	$	(868	)	$	90,871
Selling, general & administrative expenses	15,757		21,585		22,205			59,547
Amortization expense	746		574		—			1,320
Operating income	$	34,514	$	18,563	$	(23,073	)	$	30,004

Capital expenditures, depreciation expense and other:
Capital expenditures	$	6,744	$	4,870	$	1,953		$	13,567
Depreciation expense	$	7,381	$	3,910	$	2,584		$	13,875
Other items ²	$	1,835	$	88	$	2,377		$	4,300

¹ The Company has adjusted certain prior period amounts for the immaterial corrections of error. See Note 2 for details.

²Other items include costs associated with restructuring activities, including employee severance and retention costs, lease cancellation costs, building repairs, costs to transfer equipment, and litigation settlement costs associated with a consulting contract.

The following table presents revenues and long-lived assets for the geographic areas in which we operate:



	Years Ended December 31,
	2019				2018				2017
	Revenues		Long-lived Assets ²		Revenues		Long-lived Assets ¹		Revenues		Long-lived Assets
United States	$	691,224	$	70,870	$	670,075	$	49,874	$	560,412	$	49,060
United Kingdom	48,070		12,233		51,451		3,204		44,013		3,849
All other countries	161,944		26,335		176,211		11,023		150,806		10,574
	$	901,238	$	109,438	$	897,737	$	64,101	$	755,231	$	63,483

¹ The Company has adjusted certain prior period amounts for the immaterial corrections of error. See Note 2 for details.

² Long-lived assets for 2019 include right-of-use assets attributable to the implementation of ASC 842 discussed in Note 6 totaling $15.1 million for the United States, $9.3 million for the United Kingdom and $11.3 million for all other countries.

Revenues are attributed to geographic locations based on the geography from which the legal entity operates. The following is the composition, by product category, of our revenues:



	Years Ended December 31,
	2019				2018				2017
	Revenues		%		Revenues		%		Revenues		%
Seats	$	356,877	40	%	$	369,337	41	%	$	314,717	42	%
Electrical wire harnesses, panels and assemblies	198,420		22		196,411		22		189,154		25
Trim	202,898		22		195,427		22		150,228		20
Cab structures and sleeper boxes	87,864		10		76,380		8		56,417		7
Mirrors, wipers and controls	55,179		6		60,182		7		44,715		6
	$	901,238	100		$	897,737	100		$	755,231	100

Sales to A.B. Volvo, Daimler and PACCAR, which are included in both reporting segments, have been in excess of 10 percent of total Company revenues in each of the years ended December 31, 2019, 2018 and 2017. No other customers exceed 10% of the Company’s revenues in any period presented. The following table presents revenue from the above mentioned customers as a percentage of total revenue for the years ended December 31:



	2019		2018		2017
A.B. Volvo	22	%	19	%	17	%
Daimler	17	%	16	%	16	%
PACCAR	11	%	11	%	10	%