Operating Segments

9 Months Ended

Dec. 31, 2012

Segment Reporting [Abstract]

Operating Segments

NOTE 11. OPERATING SEGMENTS

The principal approach used by management to evaluate the Company’s performance is by geographic region, although the dark air-cured and oriental tobacco businesses are each evaluated on the basis of their worldwide operations. The Company evaluates the performance of its segments based on operating income after allocated overhead expenses (excluding significant non-recurring charges or credits), plus equity in the pretax earnings of unconsolidated affiliates.

Operating results for the Company’s reportable segments for each period presented in the consolidated statements of income were as follows:

	Three Months Ended December 31,						Nine Months Ended December 31,
(in thousands of dollars)	2012			2011			2012			2011
SALES AND OTHER OPERATING REVENUES
Flue-cured and burley leaf tobacco operations:
North America	$	85,521		$	109,743		$	205,377		$	236,101
Other regions (1)	551,903			529,476			1,461,417			1,423,275
Subtotal	637,424			639,219			1,666,794			1,659,376
Other tobacco operations (2)	42,605			33,201			149,813			133,535
Consolidated sales and other operating revenues	$	680,029		$	672,420		$	1,816,607		$	1,792,911
OPERATING INCOME
Flue-cured and burley leaf tobacco operations:
North America	$	5,235		$	13,234		$	9,764		$	23,864
Other regions (1)	59,292			69,382			168,068			146,732
Subtotal	64,527			82,616			177,832			170,596
Other tobacco operations (2)	(1,255		)	814			8,090			4,044
Segment operating income	63,272			83,430			185,922			174,640
Deduct: Equity in pretax (earnings) loss of unconsolidated affiliates (3)	1,241			(1,072		)	192			2,264
Restructuring costs (4)	—			(399		)	(3,687		)	(10,220		)
Charge for European Commission fine in Italy (4)	—			—			—			(49,091		)
Add: Other income (4)	—			11,111			—			20,703
Consolidated operating income	$	64,513		$	93,070		$	182,427		$	138,296

(1) Includes South America, Africa, Europe, and Asia regions, as well as inter-region eliminations.

(2) Includes Dark Air-Cured, Special Services, and Oriental, as well as inter-company eliminations. Sales and other operating revenues for this reportable segment include limited amounts for Oriental because its financial results consist principally of equity in the pretax earnings of an unconsolidated affiliate.

(3) Item is included in segment operating income, but is not included in consolidated operating income.

(4) Item is not included in segment operating income, but is included in consolidated operating income.