Segment Information



	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
Net sales: (1)
Automotive	$	2,736,201		$	2,142,922		$	5,300,460		$	4,121,368
Industrial (2)	1,602,665			1,474,209			3,150,609			2,903,168
Business products	483,199			483,047			957,290			981,283
Total net sales	$	4,822,065		$	4,100,178		$	9,408,359		$	8,005,819
Operating profit:
Automotive	$	243,611		$	207,332		$	428,317		$	359,089
Industrial (2)	125,191			111,833			237,382			215,842
Business products	21,422			30,091			43,023			61,210
Total operating profit	390,224			349,256			708,722			636,141
Interest expense, net	(25,525		)	(6,878		)	(48,832		)	(13,052		)
Intangible asset amortization	(21,806		)	(11,434		)	(43,209		)	(22,240		)
Corporate expense (3)	(42,622		)	(33,807		)	(87,091		)	(59,937		)
Income before income taxes	$	300,271		$	297,137		$	529,590		$	540,912

(1) The net effect of discounts, incentives, and freight billed to customers has been allocated to their respective segments for the current and prior periods. Previously, the net effect of such items were captured and presented separately in a line item entitled “Other.”

(2) Effective January 1, 2018, the electrical/electronic materials segment became a division of the industrial segment. These two reporting segments became a single reporting segment, the Industrial Parts Group. The change in segment reporting is presented retrospectively.

(3) Includes $9,105 and $22,114 for the three and six months ended June 30, 2018, respectively, in certain transaction and other costs related to the acquisition of Alliance Automotive Group ("AAG") and the pending transaction to spin-off the Company's Business Products Group, S.P. Richards, and combine it with Essendant, Inc. ("Essendant"). See the acquisitions and divestitures footnote for additional information.

Net sales is disaggregated by geographical region for each of the Company’s segments, as the Company deems this presentation best depicts how the nature, amount, timing and uncertainty of net sales and cash flows are affected by economic factors. Disaggregated geographical net sales by reportable segment are summarized as follows:



	Primary Geographical Markets:
	Three Months Ended June 30
	North America				Australasia				Europe				Total
	2018		2017		2018		2017		2018		2017		2018		2017
Reportable Segments:
Automotive	$	1,944,980	$	1,859,478	$	302,799	$	283,444	$	488,422	$	—	$	2,736,201	$	2,142,922
Industrial	1,602,665		1,474,209		—		—		—		—		1,602,665		1,474,209
Business products	483,199		483,047		—		—		—		—		483,199		483,047
Total net sales from contracts with customers	$	4,030,844	$	3,816,734	$	302,799	$	283,444	$	488,422	$	—	$	4,822,065	$	4,100,178



	Primary Geographical Markets:
	Six Months Ended June 30
	North America				Australasia				Europe				Total
	2018		2017		2018		2017		2018		2017		2018		2017
Reportable Segments:
Automotive	$	3,727,294	$	3,563,029	$	604,803	$	558,339	$	968,363	$	—	$	5,300,460	$	4,121,368
Industrial	3,150,609		2,903,168		—		—		—		—		3,150,609		2,903,168
Business products	957,290		981,283		—		—		—		—		957,290		981,283
Total net sales from contracts with customers	$	7,835,193	$	7,447,480	$	604,803	$	558,339	$	968,363	$	—	$	9,408,359	$	8,005,819