BUSINESS SEGMENTS

6 Months Ended

Jun. 30, 2017

BUSINESS SEGMENTS

BUSINESS SEGMENTS

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

Corporate expenses are incurred to obtain and coordinate financing, tax, information technology, legal and other related services, certain of which were rebilled to subsidiaries. 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.

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 product will be incorporated. Anixter also has largely specialized its 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, the Company reclassifies 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 and six months ended June 30, 2017 and July 1, 2016 are as follows:

(In millions)
Second Quarter of 2017	NSS		EES		UPS		Corporate			Total
Net Sales	$	1,029.4	$	561.5	$	410.5	$	—		$	2,001.4
Operating income	64.9		29.6		21.3		(33.1		)	82.7

Second Quarter of 2016	NSS		EES		UPS		Corporate			Total
Net Sales	$	1,044.7	$	555.1	$	355.9	$	—		$	1,955.7
Operating income	64.9		23.9		12.0		(44.1		)	56.7

Six Months of 2017	NSS		EES		UPS		Corporate			Total
Net Sales	$	2,014.3	$	1,088.9	$	794.0	$	—		$	3,897.2
Operating income	126.7		57.5		37.5		(70.0		)	151.7

Six Months of 2016	NSS		EES		UPS		Corporate			Total
Net Sales	$	1,993.8	$	1,061.1	$	717.0	$	—		$	3,771.9
Operating income	123.7		46.4		26.3		(79.4		)	117.0

Goodwill Assigned to Segments

The following table presents the changes in goodwill allocated to the Company's reporting units during the six months ended June 30, 2017:

(In millions)	NSS		EES		UPS		Total
Balance as of December 30, 2016	$	405.0	$	181.0	$	178.6	$	764.6
Foreign currency translation	2.1		0.3		4.4		6.8
Balance as of June 30, 2017	$	407.1	$	181.3	$	183.0	$	771.4