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Segment and Geographic Data
12 Months Ended
Jan. 04, 2020
Segment and Geographic Data  
Segment and Geographic Data

Note 13. Segment and Geographic Data

We operate in, and report financial information for, the following five business segments: Textron Aviation, Bell, Textron Systems, Industrial and Finance.  The accounting policies of the segments are the same as those described in Note 1.

Textron Aviation products include Citation jets, King Air and Caravan turboprop aircraft, piston engine aircraft, military trainer and defense aircraft, and aftermarket part sales and services sold to a diverse base of corporate and individual buyers.

Bell products include military and commercial helicopters, tiltrotor aircraft and related spare parts and services.  Bell supplies military helicopters and, in association with The Boeing Company, military tiltrotor aircraft, and aftermarket services to the U.S. and non-U.S. governments.  Bell also supplies commercial helicopters and aftermarket services to corporate, offshore petroleum exploration and development, utility, charter, police, fire, rescue and emergency medical helicopter operators, and foreign governments.

Textron Systems products include unmanned aircraft and surface systems, marine craft, armored vehicles and specialty vehicles, advanced flight training devices and other defense and aviation mission support products and services primarily for U.S. and non-U.S. governments.

Industrial products and markets include the following:

Kautex products consist of blow-molded plastic fuel systems, including conventional plastic fuel tanks and pressurized fuel tanks for hybrid applications, clear-vision systems  and plastic tanks for  selective catalytic reduction systems that are marketed primarily to automobile OEMs; and
Specialized Vehicles products include golf cars, off-road utility vehicles, recreational side-by-side and all-terrain vehicles, snowmobiles, light transportation vehicles, aviation ground support equipment, professional turf-maintenance equipment and turf-care vehicles that are marketed primarily to golf courses and resorts, government agencies and municipalities, consumers, outdoor enthusiasts, and commercial and industrial users.

On July 2, 2018, we sold our Tools and Test Equipment businesses that were previously included in the Industrial segment as discussed in Note 2.

The Finance segment provides financing primarily to purchasers of new and pre-owned Textron Aviation aircraft and Bell helicopters.

Segment profit is an important measure used for evaluating performance and for decision-making purposes.  Segment profit for the manufacturing segments excludes interest expense, certain corporate expenses, gains/losses on major business dispositions and special charges.  The measurement for the Finance segment includes interest income and expense along with intercompany interest income and expense.

Our revenues by segment, along with a reconciliation of segment profit to income from continuing operations  before income taxes, are as follows:

Revenues

Segment Profit

(In millions)

2019

2018

2017

2019

2018

2017

Textron Aviation

  $

5,187

  $

4,971

  $

4,686

  $

449

  $

445

  $

303

Bell

 

3,254

 

3,180

 

3,317

 

435

 

425

 

415

Textron Systems

 

1,325

 

1,464

 

1,840

 

141

 

156

 

139

Industrial

 

3,798

 

4,291

 

4,286

 

217

 

218

 

290

Finance

 

66

 

66

 

69

 

28

 

23

 

22

Total

  $

13,630

  $

13,972

  $

14,198

  $

1,270

  $

1,267

  $

1,169

Corporate expenses and other, net

 

(110)

 

(119)

 

(132)

Interest expense, net for Manufacturing group

 

(146)

 

(135)

 

(145)

Special charges

(72)

(73)

(130)

Gain on business disposition

444

Income from continuing operations before income taxes

  $

942

  $

1,384

  $

762

Other information by segment is provided below:

Assets

Capital Expenditures

Depreciation and Amortization

January 4,

December 29,

(In millions)

2020

2018

2019

2018

2017

2019

2018

2017

Textron Aviation

  $

4,692

  $

4,290

  $

122

  $

132

  $

128

  $

137

  $

145

  $

139

Bell

 

2,783

 

2,652

 

81

 

65

 

73

 

107

 

108

 

117

Textron Systems

 

2,352

 

2,254

 

38

 

39

 

60

 

48

 

54

 

65

Industrial

 

2,781

 

2,815

 

97

 

132

 

158

 

108

 

112

 

105

Finance

 

964

 

1,017

 

 

 

 

6

 

8

 

12

Corporate

 

1,446

 

1,236

 

1

 

1

 

4

 

10

 

10

 

9

Total

  $

15,018

  $

14,264

  $

339

  $

369

  $

423

  $

416

  $

437

  $

447

Geographic Data

Presented below is selected financial information of our continuing operations by geographic area:

Property, Plant

Revenues*

and Equipment, net**

January 4,

December 29,

(In millions)

2019

2018

2017

2020

2018

United States

  $

8,963

  $

8,667

  $

8,786

  $

2,054

  $

2,115

Europe

 

1,986

 

2,187

 

1,962

 

244

 

267

Asia and Australia

 

1,070

 

1,253

 

1,206

 

97

 

88

Other international

1,611

1,865

2,244

132

145

Total

  $

13,630

  $

13,972

  $

14,198

  $

2,527

  $

2,615

*   Revenues are attributed to countries based on the location of the customer.

** Property, plant and equipment, net is based on the location of the asset.