Segment Reporting

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Segment Reporting

SEGMENT REPORTING

Effective in the fourth quarter of 2014, the Company realigned its existing three operating segments, which are also its reportable segments: Infrastructure Solutions; Corrosion Protection; and Energy Services. The Company’s operating segments correspond to its management organizational structure. Each operating segment has a president who reports to the Company’s chief executive officer, who is also the chief operating decision manager (“CODM”). The operating results and financial information reported by each of the segments are evaluated separately, regularly reviewed and used by the CODM to evaluate segment performance, allocate resources and determine management incentive compensation.

The following disaggregated financial results have been prepared using a management approach that is consistent with the basis and manner with which management internally disaggregates financial information for the purpose of making internal operating decisions. Financial results for discontinued operations have been removed for all periods presented, and prior year periods have been recast to conform to the current year presentation. The Company evaluates performance based on stand-alone operating income (loss).

Financial information by segment was as follows (in thousands):

	Quarters Ended   September 30,					Nine Months Ended September 30,
	2015		2014			2015		2014
Revenues:
Infrastructure Solutions	$	149,606	$	152,628		$	421,170	$	422,212
Corrosion Protection	121,392		120,157			329,157		331,088
Energy Services	85,597		77,353			252,530		225,940
Total revenues	$	356,595	$	350,138		$	1,002,857	$	979,240
Gross profit:
Infrastructure Solutions (1)	$	38,428	$	34,559		$	106,074	$	96,064
Corrosion Protection (2)	27,595		17,842			70,311		67,017
Energy Services	11,098		11,538			31,979		33,839
Total gross profit	$	77,121	$	63,939		$	208,364	$	196,920
Operating income (loss):
Infrastructure Solutions (3)	$	16,255	$	(3,729	)	$	35,701	$	10,605
Corrosion Protection (4)	6,886		(14,082		)	8,323		(5,114		)
Energy Services	1,797		3,877			4,562		10,328
Total operating income (loss)	$	24,938	$	(13,934	)	$	48,586	$	15,819

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⁽¹⁾  Includes charges related to the 2014 Restructuring of $1.7 million and $3.6 million in the quarters ended September 30, 2015 and 2014, respectively; and $2.6 million and $3.6 million in the nine months ended September 30, 2015 and 2014, respectively (see Note 3).

⁽²⁾  Includes charges of $11.3 million in the quarter and nine months ended September 30, 2014 related to the 2014 Restructuring (see Note 3).

⁽³⁾  Includes charges related to the 2014 Restructuring of $1.4 million and $17.7 million in the quarters ended September 30, 2015 and 2014, respectively; and $7.9 million and $17.7 million in the nine months ended September 30, 2015 and 2014, respectively (see Note 3).

⁽⁴⁾  Includes charges of $22.2 million in the quarter and nine months ended September 30, 2014 related to the 2014 Restructuring (see Note 3).

The following table summarizes revenues, gross profit and operating income by geographic region (in thousands):

	Quarters Ended   September 30,					Nine Months Ended September 30,
	2015		2014			2015		2014
Revenues (1):
United States	$	267,001	$	242,795		$	742,976	$	681,043
Canada	45,340		55,742			131,391		139,817
Europe	14,905		20,096			42,668		63,887
Other foreign	29,349		31,505			85,822		94,493
Total revenues	$	356,595	$	350,138		$	1,002,857	$	979,240
Gross profit:
United States	$	56,243	$	40,507		$	148,736	$	132,790
Canada	9,998		13,893			30,677		32,889
Europe	4,025		3,544			12,085		12,846
Other foreign	6,855		5,995			16,866		18,395
Total gross profit	$	77,121	$	63,939		$	208,364	$	196,920
Operating income (loss):
United States	$	11,464	$	(12,955	)	$	19,188	$	604
Canada	6,258		10,359			19,700		21,911
Europe	570		(687		)	2,511		692
Other foreign	6,646		(10,651		)	7,187		(7,388		)
Total operating income (loss)	$	24,938	$	(13,934	)	$	48,586	$	15,819

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⁽¹⁾  Revenues are attributed to the country of origin for the Company’s legal entities. For a significant majority of its legal entities, the country of origin relates to the country or geographic area that it services.