Segment Information

3 Months Ended

Mar. 29, 2015

Segment Information

Segment Information

7.Segment Information

The Company operates in three geographic segments: Americas, EMEA, and Asia-Pacific. AERCO is included in the Americas segment results for the first quarter ended March 29, 2015.  Each of these segments is managed separately and has separate financial results that are reviewed by the Company’s chief operating decision-maker. All intercompany sales transactions have been eliminated. Sales by region are based upon location of the entity recording the sale. The accounting policies for each segment are the same as those described in the summary of significant accounting policies.

The following is a summary of the Company’s significant accounts and balances by segment, reconciled to the consolidated totals:

	First Quarter Ended
	March 29, 2015			March 30, 2014
	(in millions)
Net sales
Americas	$	237.4		$	219.1
EMEA	109.0			139.1
Asia-Pacific	9.8			7.0
Consolidated net sales	$	356.2		$	365.2
Operating income (loss)
Americas	$	24.2		$	22.6
EMEA	5.4			8.9
Asia-Pacific	1.5			0.9
Subtotal reportable segments	31.1			32.4
Corporate (*)	(8.3		)	(6.6		)
Consolidated operating income	22.8			25.8
Interest income	0.2			0.1
Interest expense	(5.9		)	(4.9		)
Other income (expense), net	0.2			(0.4		)
Income from continuing operations before income taxes	$	17.3		$	20.6
Capital expenditures
Americas	$	4.1		$	2.2
EMEA	1.2			2.5
Asia-Pacific	0.3			0.3
Consolidated capital expenditures	$	5.6		$	5.0
Depreciation and amortization
Americas	$	7.0		$	4.9
EMEA	5.4			6.6
Asia-Pacific	0.6			0.4
Consolidated depreciation and amortization	$	13.0		$	11.9
Identifiable assets (at end of period)
Americas	$	1,060.2		$	767.9
EMEA	714.8			875.9
Asia-Pacific	84.9			71.4
Consolidated identifiable assets	$	1,859.9		$	1,715.2
Property, plant and equipment, net (at end of period)
Americas	$	90.1		$	84.5
EMEA	86.6			117.7
Asia-Pacific	12.8			13.8
Consolidated property, plant and equipment, net	$	189.5		$	216.0

*   Corporate expenses are primarily for administrative compensation expense, internal controls costs, professional fees, including corporate-related legal and audit expenses, shareholder services and benefit administration costs.

The above operating segments are presented on a basis consistent with the presentation included in the Company’s December 31, 2014 consolidated financial statements included in its Annual Report on Form 10-K. The EMEA segment was significantly impacted by foreign currency translation in the first quarter of 2015 compared to the first quarter of 2014.

The U.S. property, plant and equipment of the Company’s Americas segment was $86.3 million and $80.0 million at March 29, 2015 and March 30, 2014, respectively.  The following includes U.S. net sales of the Company’s Americas segment:

	First Quarter Ended
	March 29, 2015		March 30, 2014
	(in millions)
U.S. net sales	$	221.4	$	201.6

The following includes intersegment sales for Americas, EMEA and Asia-Pacific:

	First Quarter Ended
	March 29, 2015		March 30, 2014
	(in millions)
Intersegment Sales
Americas	$	1.8	$	1.2
EMEA	2.7		3.6
Asia-Pacific	30.5		39.0
Intersegment sales	$	35.0	$	43.8