BUSINESS SEGMENTS

3 Months Ended

Jan. 27, 2013

Segment Reporting [Abstract]

BUSINESS SEGMENTS [Text Block]

NOTE 13 — BUSINESS SEGMENTS

Operating segments are defined as components of an enterprise that engage in business activities and by which discrete financial information is available that is evaluated on a regular basis by the chief operating decision maker to make decisions about how to allocate resources to the segment and assess the performance of the segment. We have three operating segments: (i) metal coil coating; (ii) metal components; and (iii) engineered building systems. All operating segments operate primarily in the nonresidential construction market. Sales and earnings are influenced by general economic conditions, the level of nonresidential construction activity, metal roof repair and retrofit demand and the availability and terms of financing available for construction. Products of our operating segments use similar basic raw materials. The metal coil coating segment consists of cleaning, treating, painting and slitting continuous steel coils before the steel is fabricated for use by construction and industrial users. The metal components segment products include metal roof and wall panels, doors, metal partitions, metal trim, insulated panels and other related accessories. Metl-Span is included in the metal components segment. See Note 2 – Acquisition. The engineered building systems segment includes the manufacturing of main frames, Long Bay ^® Systems and value-added engineering and drafting, which are typically not part of metal components or metal coil coating products or services. The operating segments follow the same accounting policies used for our consolidated financial statements.

We evaluate a segment’s performance based primarily upon operating income before corporate expenses. Intersegment sales are recorded based on standard material costs plus a standard markup to cover labor and overhead and consist of: (i) hot-rolled, light gauge painted and slit material and other services provided by the metal coil coating segment to both the engineered building systems and metal components segments; (ii) building components provided by the metal components segment to the engineered building systems segment; and (iii) structural framing provided by the engineered building systems segment to the metal components segment.

Corporate assets consist primarily of cash but also include deferred financing costs, deferred taxes and property, plant and equipment associated with our headquarters in Houston, Texas. These items (and income and expenses related to these items) are not allocated to the business segments. Corporate unallocated expenses include executive, legal, finance, tax, treasury, human resources, information technology, purchasing, marketing and corporate travel expenses. Additional unallocated expenses include interest income, interest expense and other (expense) income.

The following table represents sales, operating income and total assets attributable to these operating segments for the periods indicated (in thousands):

	Fiscal Three Months Ended
	January 27, 2013			January 29, 2012
Total sales:
Metal coil coating	$	49,271		$	49,083
Metal components		153,904			105,752
Engineered building systems		147,566			140,298
Intersegment sales		(53,157	)		(51,530	)
Total sales	$	297,584		$	243,603
External sales:
Metal coil coating	$	19,221		$	20,238
Metal components		136,528			87,296
Engineered building systems		141,835			136,069
Total sales	$	297,584		$	243,603
Operating income (loss):
Metal coil coating	$	5,542		$	5,302
Metal components		6,072			5,541
Engineered building systems		4,041			7,596
Corporate		(15,257	)		(14,154	)
Total operating income (loss)	$	398		$	4,285
Unallocated other expense		(5,850	)		(3,270	)
Income (loss) before income taxes	$	(5,452	)	$	1,015

	January 27, 2013		October 28, 2012
Total assets:
Metal coil coating	$	66,133	$	60,169
Metal components		372,552		381,028
Engineered building systems		202,068		214,227
Corporate		65,970		96,060
Total assets	$	706,723	$	751,484