Segment, Geographic and Customer Information

12 Months Ended

Dec. 31, 2015

Segment Reporting [Abstract]

Segment, Geographic and Customer Information

SEGMENT, GEOGRAPHIC AND CUSTOMER INFORMATION

We operate as a single reportable segment in manufacturing, marketing, selling and distributing a wide variety of branded and private label dairy case products. Beginning in the first quarter of 2013, we combined the results of our ongoing dairy operations (previously referred to as our Fresh Dairy Direct business) and the corporate items previously categorized as “Corporate and Other” into a single reportable segment, as all of our corporate activities now directly support this business. This change reflects the manner in which our Chief Executive Officer, who is our chief operating decision maker, determines strategy and investment plans for our business given the changes to our operating structure as a result of the WhiteWave spin-off and the Morningstar sale.

We operate 67 manufacturing facilities geographically located largely based on local and regional customer needs and other market factors. We manufacture, market and distribute a wide variety of branded and private label dairy case products, including milk, ice cream, cultured dairy products, creamers, ice cream mix and other dairy products to retailers, distributors, foodservice outlets, educational institutions and governmental entities across the United States. Our products are primarily delivered through what we believe to be one of the most extensive refrigerated direct-to-store delivery systems in the United States.

Approximate net revenue from external customers for each group of similar products for fiscal 2015, 2014, and 2013 consisted of the following:

	Year Ended December 31,
	2015		2014		2013
	(in millions)
Fluid milk	$	5,728	$	6,984	$	6,604
Ice cream(1)	965		986		1,024
Fresh cream(2)	358		373		298
Extended shelf life and other dairy products(3)	250		283		243
Cultured	319		370		364
Other beverages(4)	343		379		382
Other(5)	159		128		101
Total	$	8,122	$	9,503	$	9,016

(1) Includes ice cream, ice cream mix and ice cream novelties

(2) Includes half-and-half and whipping creams.

(3) Includes creamers and other extended shelf life fluids.

(4) Includes fruit juice, fruit flavored drinks, iced tea and water.

(5) Includes items for resale such as butter, cheese, eggs and milkshakes.

In December 2012, we entered into an agreement to sell Morningstar, and we completed the sale of these operations on January 3, 2013. The operating results of Morningstar, previously reported within the Morningstar segment, have been reclassified as discontinued operations for all periods presented herein. Additionally, as a result of the completion of the WhiteWave spin-off on May 23, 2013, we have reclassified WhiteWave’s operating results as discontinued operations for all periods presented herein. All intersegment sales between WhiteWave, Morningstar and us, previously recorded as intersegment sales and eliminated in consolidation, prior to the Morningstar divestiture and WhiteWave spin-off, are now reflected as third-party sales that, along with their related costs, are no longer eliminated in consolidation. See Notes 2 and 3, respectively, for further information regarding the WhiteWave spin-off, Morningstar divestiture and our discontinued operations.

Our Chief Executive Officer evaluates the performance of our business based on sales and operating income or loss before gains and losses on the sale of businesses, facility closing and reorganization costs, litigation settlements, impairments of long-lived assets and other non-recurring gains and losses.

All results herein have been recast to present results on a comparable basis. These changes had no impact on consolidated net sales and operating income. The amounts in the following tables include our operating results and are obtained from reports used by our executive management team and do not include any allocated income taxes or management fees. There are no significant non-cash items reported in segment profit or loss other than depreciation and amortization.

	Year Ended December 31,
	2015			2014			2013
	(in thousands)
Operating income:
Dean Foods	$	223,115		$	26,777		$	202,720
Facility closing and reorganization costs	(19,844		)	(4,460		)	(27,008		)
Litigation settlements	—			2,521			1,019
Impairment other long-lived assets	(109,910		)	(20,820		)	(43,441		)
Other operating income (loss)	—			4,535			(2,494		)
Total	93,361			8,553			130,796
Other (income) expense:
Interest expense	66,813			61,019			200,558
Loss on early retirement of debt	43,609			1,437			63,387
Gain on disposition of WhiteWave common stock	—			—			(415,783		)
Other income, net	(3,751		)	(1,620		)	(400		)
Consolidated income (loss) from continuing operations before income taxes	$	(13,310	)	$	(52,283	)	$	283,034

Geographic Information — Net sales related to our foreign operations comprised less than 1% of our consolidated net sales during the years ended December 31, 2015, 2014 and 2013. None of our long-lived assets are associated with our foreign operations.

Significant Customers — Our largest customer accounted for approximately 16% of our consolidated net sales in 2015, 16% in 2014, and 19% in 2013.