Segment reporting

Segment information is presented in accordance with ASC 280, Segment Reporting, which establishes standards for reporting information about operating segments. It also establishes standards for related disclosures about products and geographic areas. Operating segments are defined as components of an enterprise that engage in business activities that earn revenues, incur expenses and prepare separate financial information that is evaluated regularly by the Company’s chief operating decision maker (“CODM”) in order to allocate resources and assess performance. The Company's Chief Executive Officer is its CODM. The Corporate and Other segment includes expenses related to certain executive salaries, interest costs related to the Company's credit agreements, acquisition-related costs, and other corporate costs that are not directly attributable to the Company's operating segments. The Company's segments follow the same accounting policies as the Company.

Net sales from the major products sold to external customers include drainage pipe and precast products and concrete and steel water transmission pipe.

The Company’s three geographic areas consist of the United States, Canada, and Mexico for which it reports net sales, fixed assets and total assets. For purposes of evaluating segment profit, the CODM reviews EBITDA as a basis for making the decisions to allocate resources and assess performance.

The following tables set forth the disaggregation of revenue earned from contracts with customers based on the Company's reportable segments as well as other financial information attributable to the Company's reportable segments for the three months ended March 31, 2020 and 2019 (in thousands):



	For the three months ended March 31,
	2020			2019
Net sales:
Drainage Pipe & Products	$	170,234		$	163,734
Water Pipe & Products	160,642			128,124
Corporate and Other	—			—
Total	$	330,876		$	291,858

Depreciation and amortization:
Drainage Pipe & Products	$	8,245		$	9,202
Water Pipe & Products	13,879			14,875
Corporate and Other	377			315
Total	$	22,501		$	24,392

Segment EBITDA and reconciliation to income (loss) before income taxes:
Drainage Pipe & Products	$	26,052		$	25,066
Water Pipe & Products	22,873			8,741
Corporate and Other	(19,667		)	(17,086		)
Less: Interest expense	(20,745		)	(24,665		)
Depreciation and amortization	(22,501		)	(24,392		)
Income (loss) before income taxes	$	(13,988	)	$	(32,336	)

Capital expenditures:
Drainage Pipe & Products	$	3,030		$	7,929
Water Pipe & Products	1,181			2,277
Corporate and Other	139			1,768
Total	$	4,350		$	11,974

	March 31,			December 31,
	2020			2019
Total assets:
Drainage Pipe & Products	$	825,998		$	819,373
Water Pipe & Products	880,077			862,542
Corporate and Other	206,545			58,143
Total	$	1,912,620		$	1,740,058

The Company has an investment in an equity method investee included in the Drainage Pipe & Products segment for which earnings from equity method investee were $2.8 million and $1.6 million for the three months ended March 31, 2020 and March 31, 2019, respectively, and with the following balances (in thousands):



	March 31,		December 31,
	2020		2019
Investment in equity method investee	$	51,232	$	50,034

Disaggregated revenue by geographic location is provided in the tables below. The Company has operations in the United States, Canada and Mexico. The economic characteristics of the Company's customers do not significantly vary across geographic locations or product lines. The Company has both revenues and long-lived assets in each country; and those assets and revenues are recorded within geographic location as follows (in thousands):



Property, plant, and equipment, net:	March 31,		December 31,
	2020		2019
United States	$	415,142	$	422,486
Canada	39,883		43,754
Mexico	9,140		9,335
	$	464,165	$	475,575



Net sales:	For the three months ended March 31,
	2020		2019
United States	$	315,380	$	276,737
Canada	13,486		13,100
Mexico	2,010		2,021
	$	330,876	$	291,858