Segment Data

12 Months Ended

Jun. 30, 2011

NOTE 20 — SEGMENT DATA

We operate in two reportable operating segments consisting of Industrial and Infrastructure. We do not allocate certain corporate expenses related to executive retirement plans, the Company’s Board of Directors and strategic initiatives, as well as certain other costs and report them in Corporate. Segment determination is based upon internal organizational structure, the manner in which we organize segments for making operating decisions and assessing performance, the availability of separate financial results and materiality considerations.

Sales to a single customer did not aggregate 3.5 percent or more of total sales in 2011, 2010 or 2009. Export sales from U.S. operations to unaffiliated customers were $90.6 million, $84.1 million, and $116.6 million in 2011, 2010 and 2009, respectively.

INDUSTRIAL The Industrial segment serves customers that operate in industrial end markets such as aerospace, defense, transportation and general engineering. The customers in these end markets manufacture engines, airframes, automobiles, trucks, ships and various industrial goods. The technology needs and level of customization vary by customer and industry served. We deliver value to our Industrial segment customers through our application expertise and diverse product offering.

INFRASTRUCTURE The Infrastructure segment serves customers that operate in the earthworks and energy end markets. These customers support primary industries such as oil and gas, power generation, underground mining, surface and hard rock mining, highway construction and road maintenance. Generally, our Infrastructure segment customers are served through a customer intimacy model that allows us to offer full system solutions by gaining an in-depth understanding of our customers’ engineering needs. Our product offering promotes value by bringing enhanced performance and productivity to our customers’ processes and systems.

We restated the segment financial information for the years ended June 30, 2010 and 2009, respectively, to reflect the change in reportable operating segments.

Segment data is summarized as follows:


(in thousands)	2011			2010			2009

External sales:
Industrial	$	1,528,672		$	1,166,793		$	1,277,981
Infrastructure		874,821			717,274			721,878

Total external sales	$	2,403,493		$	1,884,067		$	1,999,859


Operating income (loss):
Industrial	$	209,663		$	31,210		$	(115,083	)
Infrastructure		121,733			79,899			19,768
Corporate		(9,723	)		(17,881	)		(4,503	)

Total operating income	$	321,673		$	93,228		$	(99,818	)


Interest expense	$	22,760		$	25,203		$	27,244
Other expense (income), net		2,780			(8,577	)		(14,566	)

Income (loss) from continuing operations before income taxes	$	296,133		$	76,602		$	(112,496	)


Depreciation and amortization
Industrial	$	68,000		$	70,383		$	71,718
Infrastructure		25,471			26,046			24,663

Total depreciation and amortization	$	93,471		$	96,429		$	96,381


Equity income:
Industrial	$	229		$	107		$	(1	)
Infrastructure		-			-			-

Total equity income	$	229		$	107		$	(1	)


Total assets:
Industrial	$	1,531,409		$	1,310,635		$	1,386,324
Infrastructure		785,718			682,169			672,287

Corporate		437,342			275,019			288,363

Total assets	$	2,754,469		$	2,267,823		$	2,346,974


Capital expenditures:
Industrial	$	48,518		$	31,609		$	78,841
Infrastructure		26,411			11,017			26,001

Corporate		8,513			14,053			-

Total capital expenditures	$	83,442		$	56,679		$	104,842


Investments in affiliated companies:
Industrial	$	829		$	748		$	635
Infrastructure		-			1,503			1,503

Total investments in affiliated companies	$	829		$	2,251		$	2,138

Geographic information for sales, based on country of origin, and assets is as follows:


(in thousands)	2011		2010		2009

External sales:
United States	$	1,041,427	$	839,168	$	907,967
Germany		398,532		313,929		360,560
Asia		441,397		311,616		266,676
United Kingdom		63,466		52,145		59,749
Canada		59,743		44,538		47,348
Other		398,928		322,671		357,559

Total external sales	$	2,403,493	$	1,884,067	$	1,999,859


Total assets:
United States	$	1,165,705	$	1,091,510	$	1,153,109
Germany		472,665		333,917		371,394
Asia		440,535		330,282		302,355
United Kingdom		67,549		35,964		41,233
Canada		40,421		29,025		28,055
Other		567,594		447,125		450,828

Total assets:	$	2,754,469	$	2,267,823	$	2,346,974