BUSINESS SEGMENTS AND FOREIGN OPERATIONS (Tables)

12 Months Ended

Jun. 30, 2015

Net sales by product group is summarized as follows (in thousands):

	2015	2014	2013
Industrial	$ 42,078	$ 41,188	$ 48,110
Land based transmissions	76,450	67,055	68,535
Marine and propulsion systems	141,137	149,432	162,823
Other	6,125	6,234	5,814
Total	$265,790	$263,909	$285,282

Information about the Company's segments is summarized as follows (in thousands):

	Manufacturing	Distribution	Total
2015

Net sales	$240,085	$100,708	$340,793
Intra-segment sales	19,901	6,961	26,862
Inter-segment sales	44,864	3,277	48,141
Interest income	171	33	204
Interest expense	946	-	946
Income taxes	7,312	1,459	8,771
Depreciation and amortization	8,106	482	8,588
Net earnings attributable to Twin Disc	14,409	5,013	19,422
Assets	254,749	53,759	308,508
Expenditures for segment assets	7,335	1,271	8,606

2014

Net sales	$227,590	$121,389	$348,979
Intra-segment sales	18,416	9,926	28,342
Inter-segment sales	53,960	2,768	56,728
Interest income	311	22	333
Interest expense	2,565	45	2,610
Income taxes	6,233	1,432	7,665
Depreciation and amortization	8,566	549	9,115
Net earnings attributable to Twin Disc	7,029	6,285	13,314
Assets	254,652	57,233	311,885
Expenditures for segment assets	6,429	315	6,744

2013

Net sales	$245,592	$130,360	$375,952
Intra-segment sales	16,140	15,127	31,267
Inter-segment sales	55,746	3,657	59,403
Interest income	479	19	498
Interest expense	3,248	62	3,310
Income taxes	5,112	1,630	6,742
Depreciation and amortization	8,817	497	9,314
Net earnings attributable to Twin Disc	10,141	5,840	15,981
Assets	258,617	56,965	315,582
Expenditures for segment assets	5,705	349	6,054

The following is a reconciliation of reportable segment net sales, net earnings and assets to the Company’s consolidated totals (in thousands):

	2015	2014	2013
Net sales:
Total net sales from reportable segments	$340,793	$348,979	$375,952
Elimination of inter-company sales	(75,003)	(85,070)	(90,670)
Total consolidated net sales	$265,790	$263,909	$285,282

Net earnings attributable to Twin Disc:
Total net earnings from
reportable segments	$ 19,422	$ 13,314	$ 15,981
Other corporate expenses	(8,249)	(9,670)	(12,099)
Total consolidated net earnings
attributable to Twin Disc	$ 11,173	$ 3,644	$ 3,882

Assets
Total assets for reportable segments	$308,508	$311,885
Corporate assets and eliminations	(58,646)	(44,900)
Total consolidated assets	$249,862	$266,985

Other significant items (in thousands):

	Segment		Consolidated
	Totals	Adjustments	Totals
2015
Interest income	$ 204	$ (80)	$ 124
Interest expense	946	(340)	606
Income taxes	8,771	(4,256)	4,515
Depreciation and amortization	8,588	1,573	10,161
Expenditures for segment assets	8,606	443	9,049

2014
Interest income	$ 333	$ (212)	$ 121
Interest expense	2,610	(1,674)	936
Income taxes	7,665	(3,439)	4,226
Depreciation and amortization	9,115	1,542	10,657
Expenditures for segment assets	6,744	501	7,245

2013
Interest income	$ 498	$ (396)	$ 102
Interest expense	3,310	(1,875)	1,435
Income taxes	6,742	(1,756)	4,986
Depreciation and amortization	9,314	1,524	10,838
Expenditures for segment assets	6,054	528	6,582

Geographic information about the Company is summarized as follows (in thousands):

	2015	2014	2013
Net sales
United States	$131,198	$108,380	$127,844
China	19,712	33,830	29,119
Italy	14,457	17,396	19,140
Singapore	13,856	12,703	14,214
Canada	13,661	9,277	10,846
Other countries	72,906	82,323	84,119

Total	$265,790	$263,909	$285,282

Net sales by geographic region are based on product shipment destination.

	2015	2014
Long-lived assets
United States	$ 40,822	$ 46,821
Switzerland	7,686	8,196
Belgium	6,709	7,450
Italy	2,376	3,531
Other countries	2,586	2,074

Total	$ 60,179	$ 68,072