Segment Information

3 Months Ended

Apr. 02, 2016

Segment Information [Abstract]

Segment Information

Note 2 –Segment Information

During the first quarter of 2016, the Company made changes to its management reporting structure as a result of a change in the way the Chief Executive Officer, who serves as the Chief Operating Decision Maker, manages and evaluates the business, makes key operating decisions, and allocates resources.  Previously, the Company had two reportable segments: Plumbing & Refrigeration and OEM.  During the quarter, the Company realigned its operating segments into three reportable segments: Piping Systems, Industrial Metals, and Climate.  Management has recast certain prior period amounts to conform the current period presentation. Each of the reportable segments is composed of certain operating segments that are aggregated primarily by the nature of products offered as follows:

Piping Systems

Piping Systems is composed of the following operating segments: Domestic Piping Systems Group, Canadian Operations, European Operations, Trading Group, and Mueller-Xingrong, the Company's Chinese joint venture.  The Domestic Piping Systems Group manufactures copper tube and fittings, plastic fittings, and line sets.  These products are manufactured in the U.S.   Outside the U.S., the Canadian Operations manufacture copper tube and line sets in Canada and sell the products primarily in the U.S. and Canada, andthe European Operations manufacture copper tube, which is sold primarily in Europe.  The Trading Group manufactures pipe nipples and imports and resells brass and plastic plumbing valves, malleable iron fittings, faucets, and plumbing specialty products in the U.S. and Mexico.  Mueller-Xingrong manufactures engineered copper tube primarily for air-conditioning applications in China.  The Piping System segment's products are sold primarily to plumbing, refrigeration, and air-conditioning wholesalers, hardware wholesalers and co-ops, building product retailers, and air-conditioning OEMs.

Industrial Metals

Industrial Metals is composed of the following operating segments: Brass Rod & Copper Bar Products, Impacts & Micro Gauge, and Brass Value-Added Products.  These businesses manufacture brass rod, impact extrusions, and forgings, as well as a wide variety of end products including plumbing brass, automotive components, valves, fittings, and gas assemblies.  These products are manufactured in the U.S. and sold primarily to OEMs in the U.S, many of which are in the industrial, construction, heating, ventilation, and air-conditioning, plumbing, and refrigeration markets.

Climate

Climate is composed of the following operating segments: Refrigeration Products, Fabricated Tube Products, Westermeyer, and Turbotec.  These domestic businesses manufacture and fabricate valves and assemblies primarily for the heating, ventilation, air-conditioning, and refrigeration markets in the U.S.

Summarized segment information is as follows:

	For the Quarter Ended April 2, 2016
(In thousands)	Piping Systems		Industrial Metals		Climate		Corporate and Eliminations			Total
Net sales	$	368,890	$	134,521	$	30,706	$	(1,308	)	$	532,809
Cost of goods sold		313,792		109,229		23,705		(84	)		446,642
Depreciation and amortization		5,649		2,135		599		537			8,920
Selling, general, and administrative expense		18,290		3,245		2,523		11,722			35,780
Operating income		31,159		19,912		3,879		(13,483	)		41,467
Interest expense											(1,848	)
Other income, net											245
Income before taxes										$	39,864

	For the Quarter Ended March 28, 2015
(In thousands)	Piping Systems		Industrial Metals		Climate		Corporate and Eliminations			Total
Net sales	$	361,482	$	151,036	$	25,811	$	(1,087	)	$	537,242
Cost of goods sold		312,690		127,724		21,267		(847	)		460,834
Depreciation and amortization		5,187		1,655		425		586			7,853
Selling, general, and administrative expense		17,346		2,698		1,854		10,933			32,831
Operating income		26,259		18,959		2,265		(11,759	)		35,724
Interest expense											(2,076	)
Other income, net											105
Income before taxes										$	33,753

(In thousands)	April 2, 2016		December 26, 2015
Segment assets:
Piping Systems	$	815,400	$	811,343
Industrial Metals		193,662		174,897
Climate		41,172		39,876
General Corporate		310,786		312,685
	$	1,361,020	$	1,338,801