Segment reporting

6 Months Ended

Jul. 02, 2016

Segment Reporting [Abstract]

Segment reporting

Segment reporting

The Company has three reporting segments: the Global Ceramic segment, the Flooring NA segment and the Flooring ROW segment. The Global Ceramic segment designs, manufactures, sources and markets a broad line of ceramic tile, porcelain tile, natural stone and other products, which it distributes primarily in North America, Europe and Russia through its network of regional distribution centers and Company-operated service centers using company-operated trucks, common carriers or rail transportation. The segment’s product lines are sold through Company-operated service centers, independent distributors, home center retailers, tile and flooring retailers and contractors. The Flooring NA segment designs, manufactures, sources and markets its floor covering product lines, including carpets, rugs, carpet pad, hardwood, laminate and vinyl products, including LVT, which it distributes through its network of regional distribution centers and satellite warehouses using company-operated trucks, common carrier or rail transportation. The segment’s product lines are sold through various selling channels, including independent floor covering retailers, home centers, mass merchandisers, department stores, shop at home, buying groups, commercial dealers and commercial end users. The Flooring ROW segment designs, manufactures, sources, licenses and markets laminate, hardwood flooring, roofing elements, insulation boards, medium-density fiberboard, chipboards, other wood products, sheet vinyl and LVT, which it distributes primarily in Europe and Russia through various selling channels, which include 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. Previously reported segment results have been reclassified to conform to the current period presentation.

Segment information is as follows:

	Three Months Ended					Six Months Ended
	July 2, 2016			July 4, 2015		July 2, 2016		July 4, 2015
Net sales:
Global Ceramic segment	$	829,794		789,802		1,603,520		1,509,630
Flooring NA segment	980,693			920,337		1,887,057		1,767,248
Flooring ROW segment	499,849			331,622		991,805		646,364
Intersegment sales	—			(28	)	—		(332	)
	$	2,310,336		2,041,733		4,482,382		3,922,910
Operating income (loss):
Global Ceramic segment	$	140,606		121,189		240,383		206,516
Flooring NA segment	118,946			95,143		194,297		19,951
Flooring ROW segment	101,062			53,052		180,599		97,693
Corporate and intersegment eliminations	(9,922		)	(13,568	)	(18,915	)	(24,570	)
	$	350,692		255,816		596,364		299,590

	July 2, 2016		December 31, 2015
Assets:
Global Ceramic segment	$	4,054,351	3,846,133
Flooring NA segment	3,316,048		3,164,525
Flooring ROW segment	2,835,497		2,805,246
Corporate and intersegment eliminations	106,935		118,496
	$	10,312,831	9,934,400