Segment Information

12 Months Ended

Dec. 31, 2013

Segment Information

Segment Information

We classify our operations into the following business segments based primarily on types of products offered and markets served:

• Valves & Controls — The Valves & Controls segment designs, manufactures, markets and services valves, fittings, automation and controls and actuators for the energy and industrial verticals and operates as a stand-alone Global Business Unit ("GBU").

• Process Technologies — The Process Technologies segment designs, manufactures, markets and services innovative water system products and solutions to meet filtration, separation and fluid process management challenges in food and beverage, water, wastewater, swimming pools and aquaculture applications. The Filtration & Process and Aquatic Systems GBUs comprise this segment.

• Flow Technologies — The Flow Technologies segment designs, manufactures and markets products and services designed for the transfer and flow of clean water, wastewater and a variety of industrial applications. The Flow Technologies segment operates as a stand-alone GBU.

• Technical Solutions — The Technical Solutions segment designs, manufactures, markets and services products that guard and protect some of the world’s most sensitive electronics and electronic equipment, as well as heat management solutions designed to provide thermal protection to temperature sensitive fluid applications. The Technical Solutions segment operates as a stand-alone GBU.

• Other — Other is primarily composed of unallocated corporate expenses, our captive insurance subsidiary, intermediate finance companies, merger-related costs and divested operations.

The accounting policies of our reporting segments are the same as those described in the summary of significant accounting policies. We evaluate performance based on the sales and operating income of the segments and use a variety of ratios to measure performance. These results are not necessarily indicative of the results of operations that would have occurred had each segment been an independent, stand-alone entity during the periods presented.

Financial information by reportable segment is included in the following summary:

	2013			2012			2011			2013			2012			2011
In millions	Net sales									Operating income (loss)
Valves & Controls	$	2,469.2		$	548.6		$	—		$	161.4		$	(76.8	)	$	—
Process Technologies	1,765.9			1,521.1			1,345.9			243.2			132.5			(40.2		)
Flow Technologies	1,618.5			1,136.7			1,042.7			149.7			35.5			97.9
Technical Solutions	1,663.4			1,236.4			1,086.8			285.0			165.0			185.8
Other	(37.3		)	(26.7		)	(18.7		)	(65.3		)	(299.3		)	(143.3		)
Consolidated	$	7,479.7		$	4,416.1		$	3,456.7		$	774.0		$	(43.1	)	$	100.2
	Identifiable assets (1)									Depreciation
Valves & Controls	$	4,204.0		$	4,369.6		$	—		$	64.0		$	15.1		$	—
Process Technologies	2,707.7			2,670.2			2,476.2			29.2			29.2			27.1
Flow Technologies	2,050.4			2,112.4			1,316.0			22.1			16.6			15.5
Technical Solutions	2,093.4			2,154.2			651.7			23.6			18.9			17.7
Other	687.8			576.3			142.4			10.0			8.0			5.9
Consolidated	$	11,743.3		$	11,882.7		$	4,586.3		$	148.9		$	87.8		$	66.2
	Amortization									Capital expenditures
Valves & Controls	$	69.3		$	21.7		$	—		$	67.2		$	21.9		$	—
Process Technologies	26.0			24.4			21.8			45.2			31.2			30.6
Flow Technologies	16.7			13.6			17.8			26.2			18.7			18.8
Technical Solutions	25.2			16.2			2.3			16.2			13.5			15.6
Other	—			0.1			—			15.2			9.2			8.3
Consolidated	$	137.2		$	76.0		$	41.9		$	170.0		$	94.5		$	73.3

(1) All cash and cash equivalents are included in “Other.”

The following tables present certain geographic information:

	2013		2012		2011		2013		2012		2011
In millions	Net sales						Long-lived assets
U.S.	$	3,431.3	$	2,624.3	$	2,336.8	$	365.4	$	372.8	$	195.6
Europe	1,912.0		912.6		701.9		462.4		394.2		140.3
Australia	761.2		213.2		52.3		145.7		170.5		0.5
Asia and other	1,375.2		666.0		365.7		196.5		250.7		51.1
Consolidated	$	7,479.7	$	4,416.1	$	3,456.7	$	1,170.0	$	1,188.2	$	387.5

Net sales are based on the location in which the sale originated. Long-lived assets represent property, plant and equipment, net of related depreciation.

We offer a broad array of products and systems to multiple markets and customers for which we do not have the information systems to track revenues by primary product category. However, our net sales by segment are representative of our sales by major product category. We sell our products through various distribution channels including wholesale and retail distributors, original equipment manufacturers and home centers. No customer accounted for more than 10% of net sales in 2013, 2012, or 2011.