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Segment Information
12 Months Ended
Dec. 25, 2021
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company’s reportable segments are Piping Systems, Industrial Metals, and Climate.  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, Great Lakes Copper, Heatlink Group, European Operations, Trading Group, Jungwoo-Mueller (the Company’s South Korean joint venture), and Mueller Middle East (our Bahraini joint venture).  The Domestic Piping Systems Group manufactures and distributes copper tube, fittings, and line sets.  These products are manufactured in the U.S., sold in the U.S., and exported to markets worldwide.  Outside the U.S., Great Lakes Copper manufactures copper tube and line sets in Canada and sells the products primarily in the U.S. and Canada. Heatlink Group produces a complete line of products for PEX plumbing and radiant systems in Canada and sells these products in Canada and the U.S. European Operations manufacture copper tube in the U.K. which is sold primarily in Europe.  The Trading Group manufactures pipe nipples and resells brass and plastic plumbing valves, malleable iron fittings, faucets, and plumbing specialty products in the U.S. and Mexico.  Jungwoo-Mueller manufactures copper-based joining products that are sold worldwide.  Mueller Middle East manufactures copper tube and serves markets in the Middle East and Northern Africa. The Piping Systems 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.

As disclosed in “Note 2 – Acquisitions & Dispositions,” during September 2021 the Company exchanged the outstanding common stock of Die-Mold for an equity interest in a limited liability company in the retail distribution business, resulting in
the deconsolidation of Die-Mold and the recognition of a $4.7 million gain. This gain is reported within Corporate and Eliminations. The results of Die-Mold, prior to deconsolidation, were included within the Piping Systems segment.

During 2020, the segment recognized fixed asset impairment charges for certain manufacturing equipment of $3.8 million.

During 2019, the segment recognized a gain of $1.2 million on the sale of real property.

Industrial Metals

Industrial Metals is composed of the following operating segments: Brass Rod, 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, transportation, construction, heating, ventilation, and air-conditioning, plumbing, refrigeration, and energy markets.

During 2021, the segment recognized a gain of $6.5 million on the sale of the Copper Bar business.

During 2019, the segment recognized a loss of $0.3 million on the sale of real property and an insurance recovery gain of $0.5 million related to the losses incurred due to the 2017 fire at the brass rod mill in Port Huron, Michigan.

Climate

Climate is composed of the following operating segments: Refrigeration Products, Westermeyer, Turbotec, Flex Duct, and Linesets, Inc.  These domestic businesses manufacture and fabricate valves, assemblies, high pressure components, coaxial heat exchangers, insulated HVAC flexible duct systems, line sets, brazed manifolds, headers, and distributor assemblies primarily for the heating, ventilation, air-conditioning, and refrigeration markets in the U.S.

As disclosed in “Note 2 – Acquisitions & Dispositions,” during July 2021 the Company sold the assets of FTP and all of the outstanding stock of STI, resulting in a gain of $46.6 million. This gain is reported within Corporate and Eliminations. The results of FTP and STI, prior to the sale, were included within the Climate segment.

During 2021 the segment recognized impairment charges on goodwill and long-lived assets of $2.8 million.

Performance of segments is generally evaluated by their operating income.  Summarized product line, geographic, and segment information is shown in the following tables.  Geographic sales data indicates the location from which products are shipped.  Unallocated expenses include general corporate expenses, plus certain charges or credits not included in segment activity.

During 2021, 2020, and 2019, no single customer exceeded 10 percent of worldwide sales.

The following tables represent a disaggregation of revenue from contracts with customers, along with the reportable segment for each category:
 For the Year Ended December 25, 2021
(In thousands)Piping SystemsIndustrial MetalsClimateTotal
Tube and fittings$2,055,639 $— $— $2,055,639 
Brass rod and forgings— 565,870 — 565,870 
OEM components, tube & assemblies32,557 48,572 137,564 218,693 
Valves and plumbing specialties511,834 — — 511,834 
Flex duct and other HVAC components— — 357,850 357,850 
Other— 88,921 — 88,921 
$2,600,030 $703,363 $495,414 $3,798,807 
Intersegment sales(29,462)
Net sales$3,769,345 

 For the Year Ended December 26, 2020
(In thousands)Piping SystemsIndustrial MetalsClimateTotal
Tube and fittings$1,232,724 $— $— $1,232,724 
Brass rod and forgings— 356,547 — 356,547 
OEM components, tube & assemblies56,176 42,127 138,551 236,854 
Valves and plumbing specialties294,102 — — 294,102 
Flex duct and other HVAC components— — 231,580 231,580 
Other— 73,485 — 73,485 
$1,583,002 $472,159 $370,131 $2,425,292 
Intersegment sales(27,249)
Net sales$2,398,043 
Disaggregation of revenue from contracts with customers (continued):

 For the Year Ended December 28, 2019
(In thousands)Piping SystemsIndustrial MetalsClimateTotal
Tube and fittings$1,271,558 $— $— $1,271,558 
Brass rod and forgings— 425,573 — 425,573 
OEM components, tube & assemblies29,103 48,104 133,651 210,858 
Valves and plumbing specialties241,795 — — 241,795 
Flex duct and other HVAC components— — 222,565 222,565 
Other— 80,695 — 80,695 
$1,542,456 $554,372 $356,216 $2,453,044 
Intersegment sales(22,428)
Net sales$2,430,616 

Summarized segment information is as follows:

 For the Year Ended December 25, 2021
(In thousands)Piping SystemsIndustrial MetalsClimateCorporate and EliminationsTotal
Net sales$2,600,030 $703,363 $495,414 $(29,462)$3,769,345 
Cost of goods sold1,996,610 605,715 367,343 (30,679)2,938,989 
Depreciation and amortization23,384 6,929 10,379 4,698 45,390 
Selling, general, and administrative expense93,749 11,698 29,327 49,278 184,052 
Gain on sale of businesses— (6,454)— (51,306)(57,760)
Impairment charges— — 2,829 — 2,829 
Operating income486,287 85,475 85,536 (1,453)655,845 
Interest expense    (7,709)
Redemption premium(5,674)
Environmental expense(5,053)
Other income, net    3,730 
Income before income taxes    $641,139 
Segment information (continued):

 For the Year Ended December 26, 2020
(In thousands)Piping SystemsIndustrial MetalsClimateCorporate and EliminationsTotal
Net sales$1,583,002 $472,159 $370,131 $(27,249)$2,398,043 
Cost of goods sold1,311,697 398,000 276,274 (19,810)1,966,161 
Depreciation and amortization23,071 7,528 10,249 3,995 44,843 
Selling, general, and administrative expense78,744 12,566 26,806 41,367 159,483 
Litigation settlement, net— — — (22,053)(22,053)
Impairment charges3,771 — — — 3,771 
Operating income165,719 54,065 56,802 (30,748)245,838 
Interest expense    (19,247)
Pension plan termination expense(17,835)
Environmental expense(4,454)
Other income, net    4,887 
Income before income taxes    $209,189 

 For the Year Ended December 28, 2019
(In thousands)Piping SystemsIndustrial MetalsClimateCorporate and EliminationsTotal
Net sales$1,542,456 $554,372 $356,216 $(22,428)$2,430,616 
Cost of goods sold1,313,980 473,010 273,850 (25,230)2,035,610 
Depreciation and amortization22,621 7,489 9,298 3,285 42,693 
Selling, general, and administrative expense75,170 12,359 30,385 44,444 162,358 
Gain on sale of assets, net(1,194)275 (44)— (963)
Insurance recovery— (485)— — (485)
Operating income131,879 61,724 42,727 (44,927)191,403 
Interest expense    (25,683)
Environmental expense(1,321)
Other income, net    1,684 
Income before income taxes    $166,083 
Summarized geographic information is as follows:

(In thousands)202120202019
Net sales:
United States$2,791,571 $1,765,810 $1,775,321 
United Kingdom330,908 207,754 230,791 
Canada469,652 293,776 285,720 
Asia83,217 58,256 64,363 
Mexico93,997 72,447 74,421 
$3,769,345 $2,398,043 $2,430,616 

Long-lived assets:202120202019
United States$272,903 $289,508 $286,727 
United Kingdom36,529 30,872 18,776 
Canada26,422 29,582 31,429 
Asia48,742 26,107 25,637 
Mexico966 503 559 
 $385,562 $376,572 $363,128 

(In thousands)202120202019
Expenditures for long-lived assets (including those resulting from business acquisitions):
   
Piping Systems$43,429 $39,209 $15,505 
Industrial Metals5,744 5,968 9,101 
Climate12,428 5,521 3,845 
General Corporate3,521 448 2,711 
 $65,122 $51,146 $31,162 

Segment assets:   
Piping Systems$1,160,272 $977,937 $796,262 
Industrial Metals173,290 152,683 161,904 
Climate250,107 258,668 249,853 
General Corporate145,267 139,280 162,921 
 $1,728,936 $1,528,568 $1,370,940