Business Segments

9 Months Ended

Sep. 24, 2011

Business Segments

Business Segments

7. Business Segments

        The Company aggregates its operating segments into four reportable segments. Aggregation is based on similarity of operating segments as to economic characteristics, products, production processes, types or classes of customer and the methods of distribution. Net corporate expense is net of certain service-related expenses that are allocated to business units generally on the basis of employee headcounts and sales dollars.

        Reportable segments are as follows:

        ENGINEERED INFRASTRUCTURE PRODUCTS:    This segment consists of the manufacture of engineered metal structures and components for the global lighting and traffic, wireless communication, roadway safety and access systems applications;

        UTILITY SUPPORT STRUCTURES:    This segment consists of the manufacture of engineered steel and concrete structures for the global utility industry;

        COATINGS:    This segment consists of galvanizing, anodizing and powder coating services on a global basis; and

        IRRIGATION:    This segment consists of the manufacture of agricultural irrigation equipment and related parts and services for the global agricultural industry.

        In addition to these four reportable segments, the Company has other businesses and activities that individually are not more than 10% of consolidated sales. These include the manufacture of forged steel grinding media for the mining industry, tubular products for industrial customers, the electrolytic manganese dioxide for disposable batteries and the distribution of industrial fasteners and are reported in the "Other" category.

        In the fourth quarter of 2010, the Company reorganized its segment reporting structure to reflect the management structure as a result of the acquisition of Delta plc. The main business units of Delta are organized as follows in the reportable segment structure:

• •

  Engineered Infrastructure Products segment includes Delta's lighting, communication, access systems and roadway safety products;

  •

  Coatings segment includes Delta's galvanizing operations in the U.S., Australia and Asia;

  •

  Delta's forged steel grinding media and electrolytic manganese dioxide operations are included an "Other", and;

  •

  Delta's management administration expenses are included in "Net corporate expense".

        Fiscal 2010 figures have been reclassified to conform to the fiscal 2011 segment presentation.

        The accounting policies of the reportable segments are the same as those described in Note 1. The Company evaluates the performance of its business segments based upon operating income and invested capital. The Company does not allocate interest expense, non-operating income and deductions, or income taxes to its business segments.

				Thirteen Weeks Ended						Thirty-nine Weeks Ended
				September 24, 2011			September 25, 2010			September 24, 2011			September 25, 2010
Sales:
	Engineered Infrastructure Products segment:
		Lighting & Traffic		$	157,273		$	139,387		$	420,122		$	344,873
		Communication Structures			28,612			26,803			77,332			73,946
		Access Systems			36,358			31,411			100,136			49,140
			Engineered Infrastructure Products segment		222,243			197,601			597,590			467,959
	Utility Support Structures segment
		Steel			140,926			106,943			374,045			307,850
		Concrete			18,889			15,298			47,977			42,457
			Utility Support Structures segment		159,815			122,241			422,022			350,307
	Coatings segment				80,806			75,665			238,417			158,036
	Irrigation segment				150,618			88,255			485,367			309,053
	Other				88,870			61,328			246,977			131,613
		Total			702,352			545,090			1,990,373			1,416,968
Intersegment Sales:
	Engineered Infrastructure Products segment				6,611			2,936			18,035			4,712
	Utility Support Structures segment				4,480			1,465			6,739			2,100
	Coatings segment				11,852			9,204			34,283			21,721
	Irrigation segment				—			1			8			7
	Other				7,217			3,653			22,558			11,636
		Total			30,160			17,259			81,623			40,176
Net Sales:
	Engineered Infrastructure Products segment				215,632			194,665			579,555			463,247
	Utility Support Structures segment				155,335			120,776			415,283			348,207
	Coatings segment				68,954			66,161			204,134			136,315
	Irrigation segment				150,618			88,254			485,359			309,046
	Other				81,653			57,975			224,419			119,977
		Total		$	672,192		$	527,831		$	1,908,750		$	1,376,792
Operating Income:
	Engineered Infrastructure Products segment			$	17,189		$	17,169		$	30,907		$	31,862
	Utility Support Structures segment				14,731			9,740			41,214			36,988
	Coatings segment				14,238			13,577			39,600			27,993
	Irrigation segment				23,765			10,590			80,623			42,584
	Other				12,607			7,124			32,901			20,096
	Net corporate expense				(10,497	)		(11,057	)		(39,292	)		(43,429	)
		Total		$	72,033		$	47,143		$	185,953		$	116,094