SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2020

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

The Corporation manages and evaluates its operations based on end markets to strengthen its ability to service customers and recognize certain organizational efficiencies. Based on this approach, the Corporation has three reportable segments: Commercial/Industrial, Defense, and Power.

The Corporation’s measure of segment profit or loss is operating income. Interest expense and income taxes are not reported on an operating segment basis as they are not considered in the segments’ performance evaluation by the Corporation’s chief operating decision-maker, its Chief Executive Officer.

Net sales and operating income by reportable segment were as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(In thousands)	2020		2019		2020		2019
Net sales
Commercial/Industrial	$	213,814	$	293,149	$	478,314	$	563,309
Defense	170,025		158,629		336,176		292,538
Power	166,684		188,419		337,688		363,454
Less: Intersegment revenues	(476)		(1,201)		(900)		(1,991)
Total consolidated	$	550,047	$	638,996	$	1,151,278	$	1,217,310
Operating income (expense)
Commercial/Industrial	$	14,366	$	51,376	$	49,353	$	86,581
Defense	27,872		32,607		56,576		53,339
Power	21,259		31,983		41,881		57,364
Corporate and eliminations (1)	(8,148)		(10,281)		(20,015)		(19,554)
Total consolidated	$	55,349	$	105,685	$	127,795	$	177,730

⁽¹⁾ Corporate and eliminations includes service costs related to pension and other postretirement benefits, certain environmental costs related to remediation at legacy sites, foreign currency transactional gains and losses, and certain other expenses.

Adjustments to reconcile operating income to earnings before income taxes are as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(In thousands)	2020		2019		2020		2019
Total operating income	$	55,349	$	105,685	$	127,795	$	177,730
Interest expense	8,515		7,960		16,004		15,232
Other income (expense), net	(4,105)		5,871		1,427		11,349
Earnings before income taxes	$	42,729	$	103,596	$	113,218	$	173,847

(In thousands)	June 30, 2020		December 31, 2019
Identifiable assets
Commercial/Industrial	$	1,385,177	$	1,363,592
Defense	1,198,054		1,209,706
Power	885,353		885,727
Corporate and Other	174,087		305,236
Total consolidated	$	3,642,671	$	3,764,261