Rockwell Automation, Inc. is a global leader in industrial automation and digital transformation. We connect the imaginations of people with the potential of technology to expand what is humanly possible, making the world more productive and more sustainable. We determine our operating segments based on the information used by our chief operating decision maker, our Chief Executive Officer, to allocate resources and assess performance. Based upon this information, we organize our hardware and software products, solutions and services into two operating segments: Architecture & Software and Control Products & Solutions.

The Architecture & Software operating segment contains a comprehensive portfolio of automation and information platforms, including hardware and software. This integrated portfolio is capable of controlling our customers’ industrial processes and manufacturing, as well as providing connections to enterprise business systems.

Our automation platform is multi-discipline and scalable with the ability to handle applications in discrete, batch/hybrid and continuous process, drives control, motion control, machine safety and process safety. Our products include programmable automation controllers, design, visualization and simulation software, human machine interface products, networking products, industrial computers, sensing devices, machine safety devices, motion control products, and independent cart technology products.

Our information platform includes manufacturing execution system software and analytics software that enables customers to improve operational productivity and meet regulatory requirements. This platform enables enterprise visibility, reduction of unplanned downtime, and optimization of processes.

The Control Products & Solutions operating segment combines a comprehensive portfolio of intelligent motor control and industrial control products, value-added solutions and a complete portfolio of professionally delivered lifecycle services. This comprehensive portfolio includes:



	2019			2018			2017
Sales:
Architecture & Software	$	3,021.9		$	3,050.2		$	2,858.6
Control Products & Solutions	3,672.9			3,615.8			3,452.7
Total	$	6,694.8		$	6,666.0		$	6,311.3
Segment operating earnings:
Architecture & Software	$	874.8		$	897.9		$	780.0
Control Products & Solutions	598.8			543.9			448.1
Total	1,473.6			1,441.8			1,228.1
Purchase accounting depreciation and amortization	(16.6		)	(17.4		)	(21.4		)
General corporate - net	(108.8		)	(100.0		)	(95.9		)
Non-operating pension and postretirement benefit credit (cost)	8.4			(23.8		)	(77.6		)
Gain on sale of business	—			—			60.8
Costs related to unsolicited Emerson proposals	—			(11.2		)	—
(Loss) gain on investments	(402.2		)	123.7			—
Valuation adjustments related to the registration of PTC Shares	33.7			(33.7		)	—
Interest (expense) income - net	(87.1		)	(48.6		)	(56.6		)
Income before income taxes	$	901.0		$	1,330.8		$	1,037.4

Effective October 1, 2018, we realigned our reportable segments for a transfer of business activities between our segments. We also reclassified interest income from General corporate - net to Interest (expense) income - net and retrospectively applied the requirements of the new pension standard, reclassifying the non-operating pension and postretirement benefit cost out of segment operating earnings. As a result, the prior period presentation of reportable segments has been restated to conform to the current segment reporting structure. These changes did not impact the Consolidated Statement of Operations.

Among other considerations, we evaluate performance and allocate resources based upon segment operating earnings before income taxes, costs related to the unsolicited Emerson proposals in the first quarter of fiscal 2018, interest (expense) income - net, costs related to corporate offices, non-operating pension and postretirement benefit credit (cost), certain corporate initiatives, gains and losses on investments, valuation adjustments related to the registration of PTC Shares, gains and losses from the disposition of businesses, and purchase accounting depreciation and amortization. Depending on the product, intersegment sales within a single legal entity are either at cost or cost plus a mark-up, which does not necessarily represent a market price. Sales between legal entities are at an appropriate transfer price. We allocate costs related to shared segment operating activities to the segments using a methodology consistent with the expected benefit.

The following tables summarize the identifiable assets at September 30, 2019, 2018 and 2017 and the provision for depreciation and amortization and the amount of capital expenditures for property for the years then ended for each of the reportable segments and Corporate (in millions):



	2019		2018		2017
Identifiable assets:
Architecture & Software	$	1,410.5	$	1,788.9	$	2,482.8
Control Products & Solutions	2,114.8		2,094.9		2,078.2
Corporate	2,587.7		2,378.2		2,600.7
Total	$	6,113.0	$	6,262.0	$	7,161.7
Depreciation and amortization:
Architecture & Software	$	63.8	$	72.5	$	69.3
Control Products & Solutions	69.6		72.4		75.0
Corporate	2.2		2.3		3.2
Total	135.6		147.2		147.5
Purchase accounting depreciation and amortization	16.6		17.4		21.4
Total	$	152.2	$	164.6	$	168.9
Capital expenditures for property:
Architecture & Software	$	57.7	$	29.4	$	30.0
Control Products & Solutions	68.9		38.5		42.1
Corporate	6.2		57.6		69.6
Total	$	132.8	$	125.5	$	141.7

Identifiable assets at Corporate consist principally of cash, net deferred income tax assets, prepaid pension and property. Property shared by the segments and used in operating activities is also reported in Corporate identifiable assets and Corporate capital expenditures. Corporate identifiable assets include shared net property balances of $244.7 million, $234.4 million and $259.3 million at September 30, 2019, 2018 and 2017, respectively, for which depreciation expense has been allocated to segment operating earnings based on the expected benefit to be realized by each segment. Corporate capital expenditures include $6.2 million, $57.6 million and $69.6 million in 2019, 2018 and 2017, respectively, that will be shared by our operating segments.



	Sales						Property
	2019		2018		2017		2019		2018		2017
North America	$	4,014.3	$	3,964.1	$	3,801.8	$	443.8	$	450.2	$	452.2
Europe, Middle East and Africa	1,249.8		1,286.8		1,193.7		60.5		53.3		52.5
Asia Pacific	908.6		933.3		866.4		41.9		42.9		40.0
Latin America	522.1		481.8		449.4		25.7		30.4		39.2
Total	$	6,694.8	$	6,666.0	$	6,311.3	$	571.9	$	576.8	$	583.9

In most countries, we sell primarily through independent distributors in conjunction with our direct sales force. In other countries, we sell through a combination of our direct sales force and to a lesser extent, through independent distributors. We sell large systems and service offerings principally through our direct sales force, though opportunities are sometimes identified through distributors. Sales to our largest distributor in 2019, 2018 and 2017, which are attributable to both segments, were approximately 10 percent of our total sales.