Note 17 - Operating Segments

3 Months Ended

Mar. 04, 2017

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note

17

: Operating Segments

We are required to report segment information in the same way that we internally organize our business for assessing performance and making decisions regarding allocation of resources. For segment evaluation by the chief operating decision maker, segment operating income is identified as gross profit less SG&A expenses. Segment operating income excludes special charges, net. Corporate expenses are fully allocated to each operating segment. Corporate assets are not allocated to the operating segments. Inter-segment revenues are recorded at cost plus a markup for administrative costs. Operating results of each segment are regularly reviewed by our chief operating decision maker to make decisions about resources to be allocated to the segments and assess their performance.

The table below provides certain information regarding net revenue and segment operating income for each of our operating segments:

	Three Months Ended
	March 4, 2017							February 27, 2016
			Inter-		Segment					Inter-		Segment
	Trade		Segment		Operating			Trade		Segment		Operating
	Revenue		Revenue		Income (Loss)			Revenue		Revenue		Income
Americas Adhesives	$	193,162	$	3,860	$	21,033		$	183,319	$	3,630	$	26,259
EIMEA		124,039		3,522		1,797			124,291		5,271		6,163
Asia Pacific		62,645		1,269		1,879			53,860		951		3,753
Construction Products		57,046		162		(683	)		60,074		104		785
Engineering Adhesives		66,431		-		2,055			52,782		-		878
Total	$	503,323			$	26,081		$	474,326			$	37,838

Reconciliation of segment operating income to income before income taxes and income from equity method investments:

	Three Months Ended
	March 4,			February 27,
	2017			2016
Segment operating income	$	26,081		$	37,838
Special charges, net		-			(413	)
Other income (expense), net		621			(5,082	)
Interest expense		(8,380	)		(6,308	)
Income before income taxes and income from equity method investments	$	18,322		$	26,035