Business Segments

6 Months Ended

Jun. 30, 2016

Business Segments [Abstract]

BUSINESS SEGMENTS

2. BUSINESS SEGMENTS

The Company is a leading manufacturer, fabricator, and distributor of products and services for rail, construction, energy, and utility markets. The Company is organized and evaluated by product group, which is the basis for identifying reportable segments. Each segment represents a revenue-producing component of the Company for which separate financial information is produced internally and is subject to evaluation by the Company’s chief operating decision maker in deciding how to allocate resources. Each segment is evaluated based upon its respective contribution to the Company’s consolidated results based upon segment profit.

The following table illustrates revenues and profits (losses) from operations of the Company by segment for the periods indicated:

		Three Months Ended				Six Months Ended
		June 30, 2016				June 30, 2016
		Net		Segment		Net		Segment
		Sales		Profit (loss)		Sales		Profit (loss)
Rail Products and Services	$	67,503	$	(25,168)	$	131,795	$	(24,427)
Construction Products		40,348		3,944		72,228		4,392
Tubular and Energy Services		28,143		(102,983)		58,281		(104,910)
Total	$	135,994	$	(124,207)	$	262,304	$	(124,945)

		Three Months Ended				Six Months Ended
		June 30, 2015				June 30, 2015
		Net		Segment		Net		Segment
		Sales		Profit		Sales		Profit
Rail Products and Services	$	86,882	$	6,413	$	164,558	$	12,485
Construction Products		49,516		5,158		83,806		6,386
Tubular and Energy Services		35,021		358		60,962		2,316
Total	$	171,419	$	11,929	$	309,326	$	21,187

Segment profits (losses) from operations, as shown above, include internal cost of capital charges for assets used in the segment at a rate of generally 1% per month. There has been no change in the measurement of segment profit from operations from December 31, 2015. The internal cost of capital charges are eliminated during the consolidation process.

The following table provides a reconciliation of reportable segment net profit from operations to the Company’s consolidated total:

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2016		2015		2016		2015
(Loss) income for reportable segments	$	(124,207)	$	11,929	$	(124,945)	$	21,187
Interest expense		(1,652)		(1,288)		(2,822)		(1,901)
Interest income		52		37		107		94
Other (expense) income		(107)		(95)		(822)		708
LIFO income		452		406		525		400
Equity in loss of nonconsolidated investments		(487)		(186)		(683)		(13)
Corporate expense, cost of capital elimination, and other unallocated charges		(3,476)		(2,980)		(4,934)		(5,985)
(Loss) income before income taxes	$	(129,425)	$	7,823	$	(133,574)	$	14,490

The following table illustrates assets of the Company by segment:

		June 30,		December 31,
		2016		2015
Rail Products and Services	$	199,217	$	241,222
Construction Products		90,382		86,335
Tubular and Energy Services		112,465		216,715
Unallocated corporate assets		67,952		22,388
Total	$	470,016	$	566,660