Reportable Segment Information

Management views the Corporation as being in two reportable segments based on industries: office furniture and hearth products, with the former being the principal segment.

The aggregated office furniture segment manufactures and markets a broad line of commercial and home office furniture which includes storage products, desks, credenzas, chairs, tables, bookcases, freestanding office partitions and panel systems, and other related products. The hearth products segment manufactures and markets a broad line of gas, electric, wood, and biomass burning fireplaces, inserts, stoves, facings, and accessories, principally for the home.

For purposes of segment reporting, intercompany sales between segments are not material, and operating profit is income before income taxes exclusive of certain unallocated general corporate expenses. These unallocated general corporate expenses include the net costs of the Corporation's corporate operations. Management views interest income and expense as corporate financing costs and not as a reportable segment cost. In addition, management applies an effective income tax rate to its consolidated income before income taxes so income taxes are not reported or viewed internally on a segment basis. Identifiable assets by segment are those assets applicable to the respective industry segments. Corporate assets consist principally of cash and cash equivalents, short-term investments, long-term investments, IT infrastructure, and corporate office real estate and related equipment.

No geographic information for revenues from external customers or for long-lived assets is disclosed since the Corporation's primary market and capital investments are concentrated in the United States.

Reportable segment data reconciled to the Corporation's condensed consolidated financial statements was as follows (in thousands):



	Three Months Ended						Nine Months Ended
	September 29, 2018			September 30, 2017			September 29, 2018			September 30, 2017
Net Sales:
Office furniture	$	471,687		$	465,312		$	1,276,480		$	1,231,737
Hearth products	139,433			134,143			383,323			359,870
Total	$	611,120		$	599,455		$	1,659,803		$	1,591,607

Income Before Income Taxes:
Office furniture	$	46,075		$	39,729		$	66,207		$	65,856
Hearth products	21,824			28,737			55,250			52,651
General corporate	(14,273		)	(10,747		)	(37,085		)	(31,205		)
Operating income	53,626			57,719			84,372			87,302
Interest expense, net	2,522			1,764			7,375			3,761
Total	$	51,104		$	55,955		$	76,997		$	83,541

Depreciation and Amortization Expense:
Office furniture	$	11,012		$	12,132		$	33,202		$	37,515
Hearth products	2,026			1,973			6,080			8,167
General corporate	5,569			3,955			16,605			8,842
Total	$	18,607		$	18,060		$	55,887		$	54,524

Capital Expenditures (including capitalized software):
Office furniture	$	10,324		$	27,102		$	35,321		$	64,467
Hearth products	2,150			5,606			6,317			12,818
General corporate	2,181			7,095			5,341			26,606
Total	$	14,655		$	39,803		$	46,979		$	103,891


							As of September 29, 2018			As of December 30, 2017
Identifiable Assets:
Office furniture							$	817,753		$	821,767
Hearth products							360,609			347,189
General corporate							217,384			222,594
Total							$	1,395,746		$	1,391,550