Segment and Geographic Information

6 Months Ended

Dec. 31, 2013

Segment Reporting [Abstract]

SEGMENT AND GEOGRAPHIC INFORMATION

SEGMENT AND GEOGRAPHIC INFORMATION

The accounting policies of the Company’s reportable segments are generally the same as those used to prepare the condensed consolidated financial statements. Sales primarily from the Fluid Power Businesses segment to the Service Center Based Distribution segment of $5,681 and $4,803, in the three months ended December 31, 2013 and 2012, respectively, and $11,110 and $8,732 in the six months ended December 31, 2013 and 2012, respectively, have been eliminated in the Segment Financial Information tables below.

Three Months Ended	Service Center Based Distribution		Fluid Power Businesses		Total
December 31, 2013
Net sales	$	465,955	$	115,994	$	581,949
Operating income for reportable segments	25,569		10,364		35,933
Depreciation and amortization of property	2,988		373		3,361
Capital expenditures	2,340		215		2,555
December 31, 2012
Net sales	$	480,476	$	109,041	$	589,517
Operating income for reportable segments	28,367		8,615		36,982
Depreciation and amortization of property	2,565		449		3,014
Capital expenditures	2,880		71		2,951

Six Months Ended	Service Center Based Distribution		Fluid Power Businesses		Total
December 31, 2013
Net sales	$	958,027	$	229,227	$	1,187,254
Operating income for reportable segments	53,941		19,821		73,762
Assets used in business	864,996		209,163		1,074,159
Depreciation and amortization of property	5,987		805		6,792
Capital expenditures	3,734		392		4,126
December 31, 2012
Net sales	$	978,302	$	221,734	$	1,200,036
Operating income for reportable segments	62,088		19,151		81,239
Assets used in business	834,839		202,787		1,037,626
Depreciation and amortization of property	5,129		907		6,036
Capital expenditures	6,594		249		6,843

Enterprise Resource Planning system (ERP) related assets are included in assets used in business and capital expenditures within the Service Center Based Distribution segment. Expenses associated with the ERP are included in Corporate and other expense (income) net, line in the reconciliation of operating income for reportable segments to the consolidated income before income taxes table below.

A reconciliation of operating income for reportable segments to the condensed consolidated income before income taxes is as follows:

	Three Months Ended						Six Months Ended
	December 31,						December 31,
	2013			2012			2013			2012
Operating income for reportable segments	$	35,933		$	36,982		$	73,762		$	81,239
Adjustment for:
Intangible amortization—Service Center Based Distribution	1,887			1,304			3,382			2,527
Intangible amortization—Fluid Power Businesses	1,194			1,847			2,948			3,680
Corporate and other expense (income), net	(6,985		)	(6,738		)	(11,944		)	(9,855		)
Total operating income	39,837			40,569			79,376			84,887
Interest (income) expense, net	(152		)	15			(91		)	40
Other (income) expense, net	(270		)	(427		)	(1,361		)	(886		)
Income before income taxes	$	40,259		$	40,981		$	80,828		$	85,733

The change in corporate and other expense (income), net is due to changes in the amounts and levels of expenses being allocated to the segments. The expenses being allocated include corporate charges for working capital, logistics support and other items.

Net sales are presented in geographic areas based on the location of the facility shipping the product and are as follows:

	Three Months Ended				Six Months Ended
	December 31,				December 31,
	2013		2012		2013		2012
Geographic Areas:
United States	$	479,488	$	478,318	$	980,539	$	977,854
Canada	67,770		74,140		137,517		148,351
Other countries	34,691		37,059		69,198		73,831
Total	$	581,949	$	589,517	$	1,187,254	$	1,200,036

Other countries consisted of Mexico, Australia and New Zealand.