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Business Segments, Geographic and Customer Information
 12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
Business Segments, Geographic and Customer Information
16.Business Segments, Geographic and Customer Information
In the first quarter of 2019, as part of a review of the Company’s organizational structure, the Company made certain strategic leadership changes which required a reassessment of reportable segments. Based on this evaluation, the Company changed how it makes operating decisions, assesses performance of the business, and allocates resources. As a result of the evaluation, the Company reduced the number of operating and reportable segments from four to three. Reportable segments include the former finishing segment renamed as the industrial segment, the former seating and components segments combined into one engineered components segment, and the former acoustics segment renamed as the fiber solutions segment.
Net sales from continuing operations relating to the Company’s reportable segments are as follows:
Year Ended
December 31, 2019December 31, 2018December 31, 2017
Industrial$201,517  $207,637  $200,284  
Engineered Components136,380  160,322  159,129  
Fiber Solutions—  —  22,683  
Net sales$337,897  $367,959  $382,096  
The Company uses “Adjusted EBITDA” as the primary measure of profit or loss for the purposes of assessing the operating performance of its segments. The Company defines EBITDA as net income (loss) from continuing operations before interest expense, provision (benefit) for income taxes, depreciation and amortization. The Company defines Adjusted EBITDA as EBITDA, excluding the impact of operational restructuring charges and non-cash or non-operational losses or gains, including goodwill and long-lived asset impairment charges, gains or losses on disposal of property, plant and equipment, divestitures and extinguishment of debt, integration and other restructuring charges, transaction-related expenses, other professional fees, purchase accounting adjustments, lease expense associated with vacated facilities and non-cash share based compensation expense.
Management believes that Adjusted EBITDA provides a clear picture of the Company’s operating results by eliminating expenses and income that are not reflective of the underlying business performance. Certain corporate-level administrative expenses such as payroll and benefits, incentive compensation, travel, marketing, accounting, auditing and legal fees and certain other expenses are kept within the corporate results and are not allocated to the business segments. Shared expenses across the Company that directly relate to the performance of our reportable segments are allocated to the segments. Adjusted EBITDA is used to facilitate a comparison of the Company’s operating performance on a consistent basis from period to period and to analyze the factors and trends affecting its segments. The Company’s internal plans, budgets and forecasts use Adjusted EBITDA as a key metric. In addition, this measure is used to evaluate its operating performance and segment operating performance and to determine the level of incentive compensation paid to its employees.
As the Company uses Adjusted EBITDA as its primary measure of segment performance, GAAP on segment reporting requires the Company to include this measure in its discussion of segment operating results. The Company must also reconcile Adjusted EBITDA to operating results presented on a GAAP basis.
Adjusted EBITDA information relating to the Company’s reportable segments is presented below followed by a reconciliation of total segment Adjusted EBITDA to consolidated loss before taxes:
Year Ended
December 31, 2019December 31, 2018December 31, 2017
Segment Adjusted EBITDA
Industrial$20,945  $28,979  $27,661  
Engineered Components15,098  19,747  16,348  
Fiber Solutions—  —  2,059  
$36,043  $48,726  $46,068  
Interest expense-net(769) (793) (1,232) 
Loss on debt extinguishment—  —  (182) 
Depreciation and amortization(21,615) (20,684) (21,229) 
Loss (gain) on disposal of property, plant and equipment - net(303) 1,318  320  
Loss on divestiture—  —  (8,730) 
Restructuring(3,791) (877) (2,484) 
Integration and other restructuring costs(1,259) (128) —  
Total segment income (loss) before income taxes8,306  27,562  12,531  
Corporate general and administrative expenses(11,225) (12,065) (13,453) 
Corporate interest expense-net(32,209) (32,484) (31,719) 
Corporate gain on debt extinguishment—  —  2,383  
Corporate depreciation(620) (453) (357) 
Corporate restructuring(163) —  9  
Corporate transaction-related expenses(1,005) —  —  
Corporate integration and other restructuring(131) 36  569  
Corporate loss on disposal of property, plant and equipment—  —  —  
Corporate share based compensation(2,368) (2,295) (979) 
Loss from continuing operations before income taxes$(39,415) $(19,699) $(31,016) 
Other financial information from continuing operations relating to the Company’s reportable segments is as follows at December 31, 2019 and 2018 and for the years ended December 31, 2019, 2018 and 2017:
Year Ended
December 31, 2019December 31, 2018December 31, 2017
Depreciation and amortization
Industrial$12,952  $12,196  $12,198  
Engineered Components8,663  8,488  8,435  
Fiber Solutions—  —  596  
Corporate620  453  357  
$22,235  $21,137  $21,586  

Year Ended
December 31, 2019December 31, 2018December 31, 2017
Capital expenditures
Industrial$6,650  $4,365  $5,247  
Engineered Components2,448  3,207  2,709  
Fiber Solutions—  —  534  
Corporate490  823  557  
$9,588  $8,395  $9,047  
December 31, 2019December 31, 2018
Assets
Industrial$235,726  $230,185  
Engineered Components82,197  90,175  
Assets Held for Sale—  165,411  
Total segments317,923  485,771  
Corporate and eliminations69,178  17,826  
Consolidated$387,101  $503,597  
Net sales and long-lived asset information by geographic area from continuing operations are as follows at December 31, 2019 and 2018 and for the years ended December 31, 2019, 2018 and 2017:
Year Ended
December 31, 2019December 31, 2018December 31, 2017
Net sales by region
United States$213,601  $222,607  $216,886  
Germany76,273  89,247  107,137  
Rest of Europe34,535  43,416  44,491  
Mexico9,085  8,762  8,365  
Other4,403  3,927  5,217  
$337,897  $367,959  $382,096  

December 31, 2019December 31, 2018
Long-lived assets
United States$91,144  $79,410  
Germany48,492  52,264  
Rest of Europe9,378  7,876  
Mexico3,435  1,830  
Other3,327  3,486  
$155,776  $144,866  
Net sales attributed to geographic locations are based on the country of origin of the final sale with the external customer, which in certain cases may be manufactured in other countries at facilities within the Company’s global network. Long-lived assets by geographic location consist of the net book values of property, plant and equipment, ROU lease assets and amortizable intangible assets.