Segment and Geographic Information

12 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

SEGMENT AND GEOGRAPHIC INFORMATION

SEGMENT AND GEOGRAPHIC INFORMATION

The Company's reportable segments are: Service Center Based Distribution and Fluid Power Businesses. These reportable segments contain the Company's various operating segments which have been aggregated based upon similar economic and operating characteristics. The Service Center Based Distribution segment provides customers with solutions to their maintenance, repair and original equipment manufacturing needs through the distribution of industrial products including bearings, power transmission components, fluid power components and systems, industrial rubber products, linear motion products, tools, safety products, and other industrial and maintenance supplies. The Fluid Power Businesses segment distributes fluid power components and operates shops that assemble fluid power systems and components, performs equipment repair, and offers technical advice to customers.

The accounting policies of the Company’s reportable segments are generally the same as those described in note 1. Intercompany sales, primarily from the Fluid Power Businesses segment to the Service Center Based Distribution segment of $21,485, $24,087, and $21,809, in fiscal 2016, 2015, and 2014, respectively, have been eliminated in the following table.

Segment Financial Information

	Service Center Based Distribution		Fluid Power Businesses		Total
Year Ended June 30, 2016
Net sales	$	2,087,041	$	432,387	$	2,519,428
Operating income for reportable segments	109,491		40,794		150,285
Assets used in the business	1,124,101		188,428		1,312,529
Depreciation and amortization of property	14,595		1,371		15,966
Capital expenditures	12,227		903		13,130
Year Ended June 30, 2015
Net sales	$	2,254,768	$	496,793	$	2,751,561
Operating income for reportable segments	140,421		48,535		188,956
Assets used in the business	1,228,131		204,425		1,432,556
Depreciation and amortization of property	15,196		1,382		16,578
Capital expenditures	13,531		1,402		14,933
Year Ended June 30, 2014
Net sales	$	1,973,359	$	486,519	$	2,459,878
Operating income for reportable segments	118,857		44,621		163,478
Assets used in the business	1,116,311		217,858		1,334,169
Depreciation and amortization of property	12,399		1,578		13,977
Capital expenditures	18,744		1,446		20,190

ERP related assets are included in assets used in the business and capital expenditures within the Service Center Based Distribution segment. Within the geographic disclosures, these assets are included in the United States. Expenses associated with the ERP are included in the Corporate and other 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 consolidated income before incometaxes
is as follows:

Year Ended June 30,	2016			2015			2014
Operating income for reportable segments	$	150,285		$	188,956		$	163,478
Adjustments for:
Intangible amortization — Service Center Based Distribution	19,595			19,561			7,336
Intangible amortization — Fluid Power Businesses	5,985			6,236			6,687
Goodwill Impairment — Service Center Based Distribution	64,794			—			—
Corporate and other income, net	(28,890		)	(21,460		)	(14,903		)
Total operating income	88,801			184,619			164,358
Interest expense, net	8,763			7,869			249
Other expense (income), net	1,060			879			(2,153		)
Income before income taxes	$	78,978		$	175,871		$	166,262

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

Product Category

Net sales by product category are as follows:

Year Ended June 30,	2016		2015		2014
Industrial	$	1,836,484	$	2,013,447	$	1,739,496
Fluid power	682,944		738,114		720,382
Net sales	$	2,519,428	$	2,751,561	$	2,459,878

The fluid power product category includes sales of hydraulic, pneumatic, lubrication and filtration components and systems, and repair services through the Company’s Fluid Power Businesses segment as well as the Service Center Based Distribution segment.

Geographic Information

Net sales are presented in geographic areas based on the location of the facility shipping the product. Long-lived assets are based on physical locations and are comprised of the net book value of property and intangible assets. Information by geographic area is as follows:

Year Ended June 30,	2016		2015		2014
Net Sales:
United States	$	2,117,485	$	2,238,263	$	2,031,142
Canada	257,797		358,580		291,117
Other Countries	144,146		154,718		137,619
Total	$	2,519,428	$	2,751,561	$	2,459,878

June 30,	2016		2015		2014
Long-Lived Assets:
United States	$	225,538	$	217,597	$	153,945
Canada	66,304		76,565		99,161
Other Countries	7,163		9,113		9,998
Total	$	299,005	$	303,275	$	263,104

Other countries consist of Mexico, Australia and New Zealand.