Segment Information

6 Months Ended

Jun. 30, 2011

Segment Information

Segment Information

7. Segment Information

The Company has four reportable segments based on its four geographic locations:  (1) Europe; (2) North America; (3) South America; (4) Asia Pacific.  These four segments are aligned with the Company’s internal approach to managing, reporting, and evaluating performance of its global glass operations.  Certain assets and activities not directly related to one of the regions or to glass manufacturing are reported with Retained corporate costs and other.  These include licensing, equipment manufacturing, global engineering, and non-glass equity investments.  Retained corporate costs and other also includes certain headquarters administrative and facilities costs and certain incentive compensation and other benefit plan costs that are global in nature and are not allocable to the reportable segments.

The Company’s measure of profit for its reportable segments is Segment Operating Profit, which consists of consolidated earnings from continuing operations before interest income, interest expense, and provision for income taxes and excludes amounts related to certain items that management considers not representative of ongoing operations as well as certain retained corporate costs.  The Company’s management uses Segment Operating Profit, in combination with net sales and selected cash flow information, to evaluate performance and to allocate resources.  Segment Operating Profit for reportable segments includes an allocation of some corporate expenses based on both a percentage of sales and direct billings based on the costs of specific services provided.

Financial information for the three-month periods ended June 30, 2011 and 2010 regarding the Company’s reportable segments is as follows:

	2011		2010
Net sales:
Europe	$	887	$	716
North America	506		516
South America	302		207
Asia Pacific	246		223
Reportable segment totals	1,941		1,662
Other	18		8
Net sales	$	1,959	$	1,670

	2011			2010
Segment Operating Profit:
Europe	$	107		$	104
North America	56			87
South America	53			49
Asia Pacific	9			31
Reportable segment totals	225			271
Items excluded from Segment Operating Profit:
Retained corporate costs and other	(14		)	(13		)
Restructuring	(4		)	(8		)
Interest income	3			4
Interest expense	(100		)	(60		)
Earnings from continuing operations before income taxes	$	110		$	194

Financial information for the six-month periods ended June 30, 2011 and 2010 regarding the Company’s reportable segments is as follows:

	2011		2010
Net sales:
Europe	$	1,585	$	1,384
North America	969		960
South America	571		382
Asia Pacific	508		473
Reportable segment totals	3,633		3,199
Other	45		17
Net sales	$	3,678	$	3,216

	2011			2010
Segment Operating Profit:
Europe	$	178		$	160
North America	115			150
South America	98			86
Asia Pacific	33			68
Reportable segment totals	424			464
Items excluded from Segment Operating Profit:
Retained corporate costs and other	(27		)	(31		)
Restructuring	(12		)	(8		)
Interest income	6			8
Interest expense	(176		)	(116		)
Earnings from continuing operations before income taxes	$	215		$	317

Financial information regarding the Company’s total assets is as follows:

	June 30,		December 31,		June 30,
	2011		2010		2010
Total assets:
Europe	$	3,954	$	3,618	$	3,402
North America	1,993		1,961		2,005
South America	1,802		1,680		789
Asia Pacific	2,109		2,047		1,610
Reportable segment totals	9,858		9,306		7,806
Other	286		448		552
Consolidated totals	$	10,144	$	9,754	$	8,358