BUSINESS SEGMENTS

3 Months Ended

Apr. 01, 2016

BUSINESS SEGMENTS

BUSINESS SEGMENTS

We are a leading distributor of enterprise cabling and security solutions, electrical and electronic wire and cable products and utility power solutions. We have identified Network & Security Solutions ("NSS"), Electrical and Electronic Solutions ("EES") and Utility Power Solutions ("UPS") as reportable segments.

We incur corporate expenses to obtain and coordinate financing, tax, information technology, legal and other related services, certain of which were rebilled to subsidiaries. These corporate expenses were historically allocated to our business segments based primarily on projected sales and estimated use of time. A portion of these corporate expenses were reported in corporate as they historically had been allocated to the Fasteners segment but were not considered directly related to the discontinued operations. Beginning in the first quarter of 2016, we no longer allocate these corporate expenses to our business segments. We also have various corporate assets which are reported in corporate. Segment assets may not include jointly used assets, but segment results include depreciation expense or other allocations related to those assets as such allocation is made for internal reporting. Interest expense and other non-operating items are not allocated to the segments or reviewed on a segment basis, except as previously discussed in Note 2. "Discontinued Operations."

The categorization of net sales by end market is determined using a variety of data points including the technical characteristic of the product, the "sold to" customer information, the "ship to" customer information and the end customer product or application into which our product will be incorporated. We also have largely specialized our sales organization by segment. As data systems for capturing and tracking this data evolve and improve, the categorization of products by end market can vary over time. When this occurs, we reclassify net sales by end market for prior periods. Such reclassifications typically do not materially change the sizing of, or the underlying trends of results within, each end market.

Segment Financial Information

Segment information for the three months ended April 1, 2016 and April 3, 2015 are as follows:

(In millions)
First Quarter of 2016	NSS		EES		UPS		Corporate			Total
Net Sales	$	949.1	$	506.0	$	361.1	$	—		$	1,816.2
Operating income	58.8		22.5		14.3		(35.3		)	60.3

First Quarter of 2015 (As revised)	NSS		EES		UPS		Corporate			Total
Net Sales	$	928.0	$	440.8	$	16.3	$	—		$	1,385.1
Operating income	55.7		35.8		2.0		(34.2		)	59.3

Net sales and operating income in our UPS segment for the first quarter of 2015 were previously reported in our EES segment.

Goodwill Assigned to Segments

The following table presents the changes in goodwill allocated to our reporting units during the three months ended April 1, 2016:

(In millions)	NSS		EES			UPS		Total
Balance as of January 1, 2016	$	393.3	$	211.9		$	151.3	$	756.5
Acquisition related (a)	—		(3.1		)	0.7		(2.4		)
Foreign currency translation	3.1		0.7			7.0		10.8
Balance as of April 1, 2016	$	396.4	$	209.5		$	159.0	$	764.9

(a) In the first quarter of 2016, we recorded an immaterial decrease in goodwill primarily related to a preliminary valuation of Power Solutions value of fixed assets.