Business Segment Information

15 Months Ended

Jan. 31, 2012

Business Segment Information [Abstract]

BUSINESS SEGMENT INFORMATION

NOTE 18 — BUSINESS SEGMENT INFORMATION

The Company operates in four business segments: Rigid Industrial Packaging & Services, Flexible Products & Services, Paper Packaging, and Land Management.

Operations in the Rigid Industrial Packaging & Services segment involve the production and sale of rigid industrial packaging products, such as steel, fiber and plastic drums, rigid intermediate bulk containers, closure systems for industrial packaging products, water bottles and remanufactured and reconditioned industrial containers, and services such as container life cycle management, recycling of industrial containers, blending, filling, logistics, warehousing and other packaging services. The Company’s rigid industrial packaging products are sold to customers in industries such as chemicals, paints and pigments, food and beverage, petroleum, industrial coatings, agricultural, pharmaceutical and mineral, among others.

Operations in the Flexible Products & Services segment involve the production and sale of flexible intermediate bulk containers and related services on a global basis and industrial and consumer multiwall bag products in the North America market. Our flexible intermediate bulk containers consist of a polypropylene-based woven fabric that is partly produced at our fully integrated production sites, as well as sourced from strategic regional suppliers. Our flexible products are sold to customers and in market segments similar to those of our Rigid Industrial Packaging & Services segment. Additionally, our flexible products significantly expand our presence in the agricultural and food industries, among others. Our industrial and consumer multiwall bag products are used to ship a wide range of industrial and consumer products, such as seed, fertilizers, chemicals, concrete, flour, sugar, feed, pet foods, popcorn, charcoal and salt, primarily for the agricultural, chemical, building products and food industries.

Operations in the Paper Packaging segment involve the production and sale of containerboard, corrugated sheets and other corrugated products to customers in North America. The Company’s corrugated container products are used to ship such diverse products as home appliances, small machinery, grocery products, building products, automotive components, books and furniture, as well as numerous other applications.

Operations in the Land Management segment involve the management and sale of timber and special use properties from approximately 269,200 acres of timber properties in the southeastern United States, which are actively managed, and 15,875 acres of timber properties in Canada, which are not actively managed. The Company’s Land Management team is focused on the active harvesting and regeneration of our United States timber properties to achieve sustainable long-term yields. While timber sales are subject to fluctuations, the Company seeks to maintain a consistent cutting schedule, within the limits of market and weather conditions. The Company also sells, from time to time, timberland and special use properties, which consist of surplus properties, higher and better use properties, and development properties.

The Company’s reportable segments are strategic business units that offer different products and services. The accounting policies of the reportable segments are substantially the same as those described in the “Basis of Presentation and Summary of Significant Accounting Policies” note in the 2011 Form 10-K.

The following segment information is presented for the periods indicated (Dollars in millions):

		September 30,		September 30,
	Three months ended
	January 31,
	2012		2011
Net sales
Rigid Industrial Packaging & Services	$	703.3	$	653.9
Flexible Products & Services		114.8		128.0
Paper Packaging		168.1		156.8
Land Management		6.5		5.1
Total net sales	$	992.7	$	943.8
Operating profit:
Rigid Industrial Packaging & Services	$	32.8	$	46.1
Flexible Products & Services		2.3		1.4
Paper Packaging		20.2		18.1
Land Management		3.0		3.1
Total operating profit	$	58.3	$	68.7
Restructuring charges:
Rigid Industrial Packaging & Services		7.3		2.2
Flexible Products & Services		1.6		0.1
Paper Packaging		—		0.7
Total restructuring charges		8.9		3.0
Acquisition-related costs:
Rigid Industrial Packaging & Services		1.7		1.5
Flexible Products & Services		0.5		7.0
Total acquisition-related costs		2.2		8.5
Operating profit before special items:
Rigid Industrial Packaging & Services		41.8		49.8
Flexible Products & Services		4.4		8.5
Paper Packaging		20.2		18.8
Land Management		3.0		3.1
Total operating profit before special items*		69.4		80.2
Depreciation, depletion and amortization expense:
Rigid Industrial Packaging & Services	$	25.9	$	20.4
Flexible Products & Services		3.9		4.2
Paper Packaging		7.9		7.7
Land Management		1.0		0.8
Total depreciation, depletion and amortization expense	$	38.7	$	33.1

* Total operating profit before special items represents operating profit before the impact of restructuring charges and acquisition-related costs.

The following table presents net sales to external customers by geographic area (Dollars in millions):

		September 30,		September 30,
	Three months ended January 31,
	2012		2011
Net sales:
North America	$	453.4	$	439.8
Europe, Middle East and Africa		378.3		345.2
Asia Pacific and Latin America		161.0		158.8
Total net sales	$	992.7	$	943.8

The following table presents total assets by segment and geographic area (Dollars in millions):

		September 30,		September 30,
	January 31, 2012		October 31, 2011
Assets:
Rigid Industrial Packaging & Services	$	2,645.2	$	2,738.2
Flexible Products & Services		364.4		383.5
Paper Packaging		427.0		420.4
Land Management		278.7		280.1
Total segments		3,715.3		3,822.2
Corporate and other		350.3		385.1
Total assets	$	4,065.6	$	4,207.3
Assets:
North America	$	1,490.8	$	1,779.5
Europe, Middle East and Africa		1,649.5		1,750.3
Asia Pacific and Latin America		925.3		677.5
Total assets	$	4,065.6	$	4,207.3