Business Segment Information

3 Months Ended

Feb. 28, 2019

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Business Segment Information

The Company's two reporting segments are Specialty Solutions and Performance Materials. These two reporting segments were determined based on products and services provided as defined under ASC 280, Segment Reporting. Accounting policies of the segments are the same as the Company’s accounting policies. The Company’s reporting segments are strategic business units that offer different products and services. They are managed separately based on certain differences in their operations, technology, and marketing strategies.

Segment operating profit represents net sales less applicable costs, expenses and provisions for restructuring and severance costs, asset write-offs and acquisition and integration related expenses relating to operations. However, Management excludes restructuring and severance costs, asset write-offs, and acquisition and integration related costs when evaluating the results and allocating resources to the segments.

Segment operating profit excludes certain unallocated corporate headquarters expenses. Corporate headquarters expense includes the cost of providing and maintaining the corporate headquarters functions, including salaries, rent, travel and entertainment expenses, depreciation, utility costs, outside services, and amortization of deferred financing costs.

In the first quarter of 2019, segment operating profit for Performance Materials includes restructuring and severance charges of $0.7 million, accelerated depreciation of $0.6 million, and facility closure costs of $0.4 million. In the first quarter of 2018, segment operating profit for Specialty Solutions includes restructuring and severance charges of $0.7 million and acquisition and integration related expense of $0.4 million.

The following table summarizes operations by segment and a reconciliation of segment sales to consolidated sales and segment operating profit to income (loss) before income taxes:

	Three Months Ended February 28,
	2019			2018
	(Dollars in millions)
Net Sales:
Specialty Solutions	$	112.7		$	109.2
Performance Materials	56.2			69.5
Total Net Sales	$	168.9		$	178.7
Segment Operating Profit:
Specialty Solutions	$	9.3		$	13.6
Performance Materials	(2.8		)	2.1
Total segment operating profit	6.5			15.7
Interest expense	(5.0		)	(5.1		)
Corporate expenses	(6.9		)	(8.4		)
Income (Loss) Before Income Taxes	$	(5.4	)	$	2.2