SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2012

SEGMENT INFORMATION

SEGMENT INFORMATION

17. SEGMENT INFORMATION

        We have three reportable segments through which we manage our operating activities: (i) chlorovinyls; (ii) building products; and (iii) aromatics. These three segments reflect the organization used by our management for internal reporting. The chlorovinyls segment consists of a highly integrated chain of electrovinyl products, which includes chlorine, caustic soda, VCM and vinyl resins, and our compound products consisting of compound additives and vinyl compounds. Our vinyl-based building and home improvement products, including window and door profiles and mouldings products and outdoor building products currently consisting of siding, pipe and pipe fittings and deck, fence and rail products are marketed under the Royal Building Products and Exterior Portfolio brand names, and are managed within the building products segment. The aromatics segment is also integrated and includes the product cumene and the co-products phenol and acetone.

        Earnings of our segments exclude interest income and expense, unallocated corporate expenses and general plant services, and provision for income taxes. Transactions between operating segments are valued at market based prices. The revenues generated by these transfers are provided in the following table.

        The accounting policies applicable to the reportable segments are the same as those described in Note 1 of the Notes to Consolidated Financial Statements in our 2011 Annual Report.

(In thousands)	Chlorovinyls			Aromatics		Building Products			Eliminations, Unallocated and Other			Total
Three months ended March 31, 2012:
Net sales	$	329,512		$	343,177	$	187,240		$	—		$	859,929
Intersegment revenues		67,648			—		177			(67,825	)		—
(Gain) on sale of assets, restructuring expense and other, net		(17,386	)		—		(248	)		5,185			(12,449	)
Operating income (loss)		51,917			37,557		(6,426	)		(14,793	)		68,255
Depreciation and amortization		11,108			383		9,995			1,117			22,603
Three months ended March 31, 2011:
Net sales	$	326,319		$	304,113	$	157,504		$	—		$	787,936
Intersegment revenues		64,261			—		3			(64,264	)		—
(Gain) on sale of assets, restructuring expense and other, net		635			—		(53	)		—			582
Operating income (loss)		37,740			19,782		(12,066	)		(8,815	)		36,641
Depreciation and amortization		14,599			360		9,359			1,131			25,449

Sales by Product Line

        The table below summarizes sales by product. Our electrovinyls products are primarily comprised of chlorine/caustic soda, VCM and vinyl resins. Our compound products are comprised of vinyl compounds, and compound additives. Our outdoor building products are comprised of siding, pipe and pipe fittings, deck, fence, and rail.

	Three Months Ended March 31,
(In thousands)	2012		2011
Chlorovinyls
Electrovinyl products	$	207,557	$	218,769
Compound products		121,955		107,550
Total		329,512		326,319
Aromatics
Cumene products		251,758		180,746
Phenol/acetone products		91,419		123,367
Total		343,177		304,113
Building Products
Window & door profiles and moulding products		66,797		65,173
Outdoor building products		120,443		92,331
Total		187,240		157,504
Total net sales	$	859,929	$	787,936