SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2013

SEGMENT INFORMATION

SEGMENT INFORMATION

NOTE 10 – SEGMENT INFORMATION

The Company operates in the packaging components industry, which includes the development, manufacture and sale of consumer product dispensing systems.  The Company is organized into three reporting segments.  Operations that sell dispensing systems primarily to the personal care, fragrance/cosmetic and home care markets form the Beauty + Home segment.  Operations that sell dispensing systems primarily to the prescription drug and consumer health care markets form the Pharma segment.  Operations that sell dispensing systems primarily to the food and beverage markets form the Food + Beverage segment.

The accounting policies of the segments are the same as those described in Note 1, Summary of Significant Accounting Policies in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012. Segment income is defined as earnings before net interest expense, certain corporate expenses, restructuring initiatives and related depreciation and income taxes.

Financial information regarding the Company’s reportable segments is shown below:

Three months ended March 31,	2013			2012
Total Revenue:
Beauty + Home	$	367,183		$	380,836
Pharma	168,893			140,201
Food + Beverage	85,333			75,822
Total Revenue	$	621,409		$	596,859
Less: Intersegment Sales:
Beauty + Home	$	3,711		$	3,685
Pharma	24			158
Food + Beverage	41			518
Total Intersegment Sales	$	3,776		$	4,361
Net Sales:
Beauty + Home	$	363,472		$	377,151
Pharma	168,869			140,043
Food + Beverage	85,292			75,304
Net Sales	$	617,633		$	592,498
Segment Income (1):
Beauty + Home	$	24,415		$	32,972
Pharma	45,980			39,372
Food + Beverage	8,550			6,788
Restructuring Initiatives and Related Depreciation	(4,526		)	–
Corporate & Other	(10,785		)	(8,641		)
Income before interest and taxes	$	63,634		$	70,491
Interest expense, net	(4,232		)	(4,214		)
Income before income taxes	$	59,402		$	66,277

(1) The Company evaluates performance of its business units and allocates resources based upon segment income.  Segment income is defined as earnings before net interest expense, certain corporate expenses, restructuring initiatives and income taxes. Restructuring Initiatives and Related Depreciation includes the following income/(expense) items for the three months ended March 31, 2013 as follows:

Three months ended March 31,	2013		2012
European Operations Optimization (“EOO”) Plan
Depreciation	$	459	$	--
Employee Severance and Other Costs	4,067		--
Total Restructuring Initiatives and Related Depreciation Expense	$	4,526	$	--
Restructuring Initiatives and Related Depreciation Expense by Segment
Beauty + Home	$	4,526	$	--
Total Restructuring Initiatives and Related Depreciation Expense	$	4,526	$	--