Segment reporting

6 Months Ended

Jun. 29, 2013

Segment Reporting [Abstract]

Segment reporting

Segment reporting

In connection with the Marazzi acquisition, the Company revised the names of its segments and, beginning in the second quarter of 2013, now refers to the Mohawk Segment as the Carpet segment, the Dal-Tile segment as the Ceramic segment and the Unilin segment as the Laminate and Wood segment. Only the names of the segments are affected by the change and therefore no prior period financial information changed.

The Company has three reporting segments: the Carpet segment, the Ceramic segment and the Laminate and Wood segment. The Carpet segment designs, manufactures, sources, distributes and markets its floor covering product lines, which principally include carpets, modular carpet tiles, rugs, mats and carpet pads, primarily in North America through its network of regional distribution centers and satellite warehouses using Company-operated trucks, common carriers or rail transportation. This segment’s product lines are sold through various selling channels, which include independent floor covering retailers, home centers, mass merchandisers, department stores, commercial dealers and commercial end users. The Ceramic segment designs, manufactures, sources, distributes and markets a broad line of ceramic tile, porcelain tile, natural stone and other products, primarily in North America, Europe and Russia. This segment’s product lines are sold to various selling channels including independent distributors, home center retailers, tile and flooring retailers and contractors. The Laminate and Wood segment designs, manufactures, sources, licenses, distributes and markets laminate and hardwood flooring, roofing systems, insulation panels and other wood products, primarily in Europe and North America. This segment's product lines are sold through various selling channels including retailers, independent distributors and home centers.

The accounting policies for each operating segment are consistent with the Company’s policies for the consolidated financial statements. Amounts disclosed for each segment are prior to any elimination or consolidation entries. Corporate general and administrative expenses attributable to each segment are estimated and allocated accordingly. Segment performance is evaluated based on operating income.

Segment information is as follows:

	Three Months Ended					Six Months Ended
	June 29, 2013			June 30, 2012		June 29, 2013		June 30, 2012
Net sales:
Carpet segment	$	770,868		734,493		1,466,202		1,434,373
Ceramic segment	760,168			404,288		1,172,049		797,213
Laminate and Wood segment	470,980			354,374		875,455		691,798
Intersegment sales	(25,717		)	(23,362	)	(50,592	)	(44,556	)
	$	1,976,299		1,469,793		3,463,114		2,878,828
Operating income (loss):
Carpet segment	$	54,862		37,136		80,100		62,418
Ceramic segment	46,304			36,432		76,280		62,460
Laminate and Wood segment	41,362			40,575		80,055		67,721
Corporate and intersegment eliminations	(9,330		)	(6,425	)	(16,395	)	(12,905	)
	$	133,198		107,718		220,040		179,694

	June 29, 2013		December 31, 2012
Assets:
Carpet segment	$	1,803,212	1,721,214
Ceramic segment	3,832,888		1,731,258
Laminate and Wood segment	2,691,553		2,672,389
Corporate and intersegment eliminations	181,311		178,823
	$	8,508,964	6,303,684