Segment Information

12 Months Ended

Dec. 26, 2014

Segment Information [Abstract]

Segment Information

B. Segment Information

The Company has three reportable segments: Industrial (which aggregates six operating segments), Contractor and Lubrication. The Industrial segment markets equipment and pre-engineered packages for moving and applying paints, coatings, sealants, adhesives and other fluids. Markets served include automotive and vehicle assembly and components production, wood and metal products, process, rail, marine, aerospace, farm, construction, bus, recreational vehicles, oil and natural gas, and various other industries. The Contractor segment markets sprayers for architectural coatings for painting, corrosion control, texture, and line striping. The Lubrication segment markets products to move and dispense lubricants for fast oil change facilities, service garages, fleet service centers, automobile dealerships, the mining industry and industrial lubrication applications. All segments market parts and accessories for their products.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The cost of manufacturing for each segment is based on product cost, and expenses are based on actual costs incurred along with cost allocations of shared and centralized functions based on activities performed, sales or space utilization. Depreciation expense is charged to the manufacturing or operating cost center that utilizes the asset, and is then allocated to segments on the same basis as other expenses within that cost center.

Reportable segments are defined by product. Segments are responsible for development, manufacturing, marketing and sales of their products. This allows for focused marketing and efficient product development. The segments share common purchasing, certain manufacturing, distribution and administration functions.

Reportable Segments (in thousands)		2014		2013		2012
Net Sales
	Industrial	$	727,389	$	652,344	$	603,398
	Contractor		375,574		342,546		298,811
	Lubrication		118,167		109,134		110,247
Total		$	1,221,130	$	1,104,024	$	1,012,456
Operating Earnings
	Industrial	$	225,337	$	211,265	$	186,129
	Contractor		81,892		72,245		54,310
	Lubrication		26,403		22,512		22,535
	Unallocated corporate (expense)		(24,707)		(26,253)		(38,297)
Total		$	308,925	$	279,769	$	224,677
Assets
	Industrial	$	770,623	$	591,135
	Contractor		176,757		152,300
	Lubrication		83,148		82,503
	Unallocated corporate		514,250		501,290
Total		$	1,544,778	$	1,327,228

Unallocated corporate (expense) is not included in management's measurement of segment performance and includes such items as stock compensation, divestiture and certain acquisition transaction costs, bad debt expense, charitable contributions,certain portions of pension expense and in 2014, central warehouse startup expenses. Unallocated assets include cash, allowances and valuation reserves, deferred income taxes, certain capital items and other assets.

Geographic Information (in thousands)		2014		2013		2012
Net Sales (based on customer location)
	United States	$	577,359	$	498,478	$	440,757
	Other countries		643,771		605,546		571,699
Total		$	1,221,130	$	1,104,024	$	1,012,456
Long-lived Assets
	United States	$	131,131	$	120,262
	Other countries		30,099		31,455
Total		$	161,230	$	151,717

Sales to Major Customers

There were no customers that accounted for 10 percent or more of consolidated sales in 2014, 2013 or 2012.