SEGMENTS AND RELATED INFORMATION

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

SEGMENTS AND RELATED INFORMATION

13. SEGMENTS AND RELATED INFORMATION

a. Segment Reporting

The Company manages its business in three segments: Commercial Trailer Products, Diversified Products and Retail. The Commercial Trailer Products segment produces and sells new trailers to the Retail segment and to customers who purchase trailers directly from the Company or through independent dealers. The Diversified Products segment focuses on the Company’s commitment to expand its customer base, diversify its product offerings and revenues and extend its market leadership by leveraging its proprietary DuraPlate^® panel technology, drawing on its core manufacturing expertise and making available products that are complementary to truck and tank trailers and transportation equipment. The Retail segment includes the sale of new and used trailers, as well as the sale of after-market parts and service, through its retail branch network. In the fourth quarter of 2014, the Company’s wood flooring production business that manufactures laminated hard wood oak products primarily for the van trailer business was reclassified from the Diversified Products segment to the Company’s Commercial Trailer Products segment due to a change in how that business is managed internally as managment intends to drive improvements in the synergies between these two businesses. Financial performances for each of the Company’s reporting segments have been restated to reflect these changes.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies except that the Company evaluates segment performance based on income from operations. The Company has not allocated certain corporate related administrative costs, interest and income taxes included in the corporate and eliminations segment to the Company’s other reportable segment. The Company accounts for intersegment sales and transfers at cost plus a specified mark-up. The Company manages its assets and capital spending on a consolidated basis, not by operating segment, as the assets and capital spending of the Diversified Products segment are intermixed with those of the Commercial Trailer Products segment. Therefore, our chief operating decision maker does not review any asset or capital spending information by operating segment and, accordingly, we do not report asset or capital spending information by operating segment. Reportable segment information is as follows (in thousands):

	Commercial		Diversified				Corporate and
	Trailer Products		Products		Retail		Eliminations		Consolidated
2014
Net sales
External customers	$	1,221,040	$	453,160	$	189,115	$	-	$	1,863,315
Intersegment sales		73,124		13,078		965		(87,167)	$	-
Total net sales	$	1,294,164	$	466,238	$	190,080	$	(87,167)	$	1,863,315
Depreciation and amortization		11,332		23,806		2,061		1,630		38,829
Income (Loss) from operations		81,141		54,879		3,785		(17,419)		122,386
Reconciling items to net income
Interest expense										22,165
Other, net										1,759
Income tax expense										37,532
Net income									$	60,930
2013
Net sales
External customers	$	1,010,736	$	444,804	$	180,146	$	-	$	1,635,686
Intersegment sales		71,718		13,871		1,340		(86,929)	$	-
Total net sales	$	1,082,454	$	458,675	$	181,486	$	(86,929)	$	1,635,686
Depreciation and amortization		11,127		23,320		2,029		1,860		38,336
Income (Loss) from operations		57,543		59,126		2,885		(16,363)		103,191
Reconciling items to net income
Interest expense										26,308
Other, net										(740)
Income tax expense										31,094
Net income									$	46,529
2012
Net sales
External customers	$	995,164	$	309,680	$	157,010	$	-	$	1,461,854
Intersegment sales		69,427		11,577		635		(81,639)	$	-
Total net sales	$	1,064,591	$	321,257	$	157,645	$	(81,639)	$	1,461,854
Depreciation and amortization		11,658		10,385		710		2,812		25,565
Income (Loss) from operations		52,242		44,573		2,922		(29,253)		70,484
Reconciling items to net income
Interest expense										21,724
Other, net										97
Income tax benefit										(56,968)
Net income									$	105,631

b. Customer Concentration

The Company is subject to a concentration of risk as the five largest customers together accounted for approximately 20%, 17% and 23% of the Company’s aggregate net sales in 2014, 2013 and 2012, respectively. In addition, for each of the last three years there were no customers whose revenue individually represented 10% or more of our aggregate net sales. International sales, primarily to Canadian customers, accounted for less than 10% in each of the last three years.

c. Product Information

The Company offers products primarily in four general categories: (1) new trailers, (2) used trailers, (3) components, parts and service and (4) equipment and other. The following table sets forth the major product categories and their percentage of consolidated net sales (dollars in thousands):

	Commercial		Diversified
Year ended December 31,	Trailer Products		Products		Retail		Consolidated
2014	$		$		$		$		%
New trailers		1,177,402		227,382		89,041		1,493,825		80.2
Used trailers		23,576		4,593		16,946		45,115		2.4
Components, parts and service		3,077		87,942		79,570		170,589		9.2
Equipment and other		16,985		133,243		3,558		153,786		8.2
Total net external sales		1,221,040		453,160		189,115		1,863,315		100.0

	Commercial		Diversified
	Trailer Products		Products		Retail		Consolidated
2013	$		$		$		$		%
New trailers		959,116		204,812		82,995		1,246,923		76.2
Used trailers		33,443		3,158		12,814		49,415		3.0
Components, parts and service		7,387		92,869		80,070		180,326		11.0
Equipment and other		10,790		143,965		4,267		159,022		9.8
Total net external sales		1,010,736		444,804		180,146		1,635,686		100.0

	Commercial		Diversified
	Trailer Products		Products		Retail		Consolidated
2012	$		$		$		$		%
New trailers		959,094		131,236		73,524		1,163,854		79.6
Used trailers		23,534		1,887		14,762		40,183		2.7
Components, parts and service		2,323		64,145		65,279		131,747		9.0
Equipment and other		10,213		112,412		3,445		126,070		8.7
Total net external sales		995,164		309,680		157,010		1,461,854		100.0