Industry Segment and Geographic Data

12 Months Ended

Dec. 31, 2014

Industry Segment and Geographic Data [Abstract]

Industry Segment and Geographic Data

17. Industry Segment and Geographic Data

We have two major reportable operating segments, each of which focuses on a specific line of replacement parts.  Our Engine Management Segment manufactures and remanufactures ignition and emission parts, ignition wires, battery cables, fuel system parts and sensors for vehicle systems.  Our Temperature Control Segment manufactures and remanufactures air conditioning compressors, air conditioning and heating parts, engine cooling system parts, power window accessories and windshield washer system parts.

The accounting policies of each segment are the same as those described in the summary of significant accounting policies (see Note 1).  The following tables contain financial information for each reportable segment (in thousands):

	Year Ended December 31,
	2014			2013			2012
Net sales:
Engine Management	$	709,263		$	711,245		$	665,105
Temperature Control		259,065			262,537			268,804
Other		12,064			9,922			15,007
Total net sales	$	980,392		$	983,704		$	948,916
Intersegment sales:
Engine Management	$	23,633		$	25,720		$	18,234
Temperature Control		6,966			6,329			4,804
Other		(30,599	)		(32,049	)		(23,038	)
Total intersegment sales	$	—		$	—		$	—
Depreciation and amortization:
Engine Management	$	12,425		$	13,235		$	13,093
Temperature Control		4,171			3,763			2,924
Other		699			597			449
Total depreciation and amortization	$	17,295		$	17,595		$	16,466
Operating income (loss):
Engine Management	$	103,861		$	96,335		$	69,578
Temperature Control		6,445			9,147			15,019
Other		(24,968	)		(18,619	)		(13,166	)
Total operating income	$	85,338		$	86,863		$	71,431
Investment in equity affiliates:
Engine Management	$	6,368		$	6,308		$	—
Temperature Control		13,636			—			—
Other		—			—			—
Total investment in equity affiliates	$	20,004		$	6,308		$	—
Capital expenditures:
Engine Management	$	11,182		$	8,628		$	8,941
Temperature Control		2,650			2,682			2,005
Other		72			100			865
Total capital expenditures	$	13,904		$	11,410		$	11,811

Total assets:
Engine Management	$	409,275	$	384,712	$	362,824
Temperature Control		173,070		150,280		132,644
Other		91,206		80,531		81,126
Total assets	$	673,551	$	615,523	$	576,594

Other consists of items pertaining to our corporate headquarters function, as well as our Canadian business unit that does not meet the criteria of a reportable operating segment.

Reconciliation of segment operating income to net earnings (in thousands):

	Year Ended December 31,
	2014			2013			2012
Operating income	$	85,338		$	86,863		$	71,431
Other non-operating income (expense)		(1,969	)		1			(696	)
Interest expense		1,616			1,902			2,788
Earnings from continuing operations before taxes		81,753			84,962			67,947
Income tax expense		28,854			31,919			24,978
Earnings from continuing operations		52,899			53,043			42,969
Discontinued operations, net of tax		(9,870	)		(1,593	)		(1,616	)
Net earnings	$	43,029		$	51,450		$	41,353

	Year Ended December 31,
	2014		2013		2012
Revenues:	(In thousands)
United States	$	871,665	$	884,380	$	865,861
Canada		53,412		51,853		50,215
Europe		13,299		10,657		8,093
Other foreign		42,016		36,814		24,747
Total revenues	$	980,392	$	983,704	$	948,916
	December 31,
	2014		2013		2012
Long-lived assets:	(In thousands)
United States	$	158,350	$	135,834	$	137,240
Canada		1,546		1,526		1,658
Europe		11,725		11,310		4,161
Other foreign		20,957		10,497		3,897
Total long-lived assets	$	192,578	$	159,167	$	146,956

Revenues are attributed to countries based upon the location of the customer.  Long-lived assets are attributed to countries based upon the location of the assets.

Our five largest individual customers, including members of a marketing group, accounted for approximately 68% of our consolidated net sales in 2014, 66% of our consolidated net sales in 2013 and 64% of our consolidated net sales in 2012.  During 2014, O’Reilly Automotive, Inc., NAPA Auto Parts, Advance Auto Parts, Inc., and AutoZone, Inc. accounted for 19%, 19%, 16% and 10% of our consolidated net sales, respectively.  Net sales from each of the customers were reported in both our Engine Management and Temperature Control Segments.