13. Segments

The Company reports segment information based on the “management” approach. The management approach designates the internal reporting used by the CEO, who is also the Company’s Chief Operating Decision Maker (“CODM”), for making decisions about the allocation of resources and assessing performance as the source of the Company’s reportable operating segments.

The Company has three reportable segments: Americas, EURAF, and MEAP. The Americas operating segment includes the North American and South American continents. The EURAF operating segment includes the continents of Europe and Africa. The MEAP operating segment includes the Asia and Australian continents and the Middle East region.

The CODM evaluates the performance of its reportable segments based on net sales and operating income. Net sales for geographic segments are based on the geographic region that sells the products. Operating income for each segment includes net sales to third parties, cost of sales directly attributable to the segment, and operating expenses directly attributable to the segment. Manufacturing variances generated within each reportable segment are maintained in each segment’s operating income. Operating income for each segment excludes other income and expense and certain expenses managed outside the reportable operating segments. Costs excluded from segment operating income include various corporate expenses such as stock-based compensation expenses, income taxes, nonrecurring charges and other separately managed general and administrative costs. The Company does not include intercompany sales between segments for management reporting purposes.

The following table shows information by reportable segment for the three and six months ended June 30, 2018 and 2017 (in millions):

	Three Months Ended June 30, 2018		Three Months Ended June 30, 2017		Six Months Ended June 30, 2018		Six Months Ended June 30, 2017
Net Sales
Americas	$	227.3	$	160.4	$	390.2	$	280.9
EURAF		191.2		165.3		345.4		290.6
MEAP		76.8		68.9		145.8		128.9
Total	$	495.3	$	394.6	$	881.4	$	700.4
Segment Operating Income (Loss)
Americas	$	14.7	$	4.1	$	17.4	$	(14.4	)
EURAF		8.1		5.1		11.5		1.3
MEAP		10.7		10.9		18.6		19.6
Total	$	33.5	$	20.1	$	47.5	$	6.5
Depreciation
Americas	$	3.6	$	3.8	$	7.1	$	8.2
EURAF		3.8		3.6		7.6		7.5
MEAP		1.0		0.9		2.0		1.8
Corporate		0.7		1.0		1.5		2.4
Total	$	9.1	$	9.3	$	18.2	$	19.9
Capital Expenditures
Americas	$	2.6	$	4.5	$	4.9	$	7.5
EURAF		4.6		3.3		7.0		4.0
MEAP		0.5		0.2		1.7		0.2
Corporate		1.1		0.1		1.6		0.2
Total	$	8.8	$	8.1	$	15.2	$	11.9

A reconciliation of the Company’s segment operating income (loss) to the Condensed Consolidated Statement of Operations for the three and six months ended June 30, 2018 and 2017 was as follows (in millions):

	Three Months Ended June 30, 2018			Three Months Ended June 30, 2017			Six Months Ended June 30, 2018			Six Months Ended June 30, 2017
Segment operating income	$	33.5		$	20.1		$	47.5		$	6.5
Unallocated corporate expenses		(8.1	)		(8.1	)		(18.2	)		(16.1	)
Restructuring expense		(1.3	)		(0.1	)		(3.5	)		(0.3	)
Total operating income (loss)	$	24.1		$	11.9		$	25.8		$	(9.9	)

Net sales by geographic area for the three and six months ended June 30, 2018 and 2017 are as follows (in millions):

	Three Months Ended June 30, 2018		Three Months Ended June 30, 2017		Six Months Ended June 30, 2018		Six Months Ended June 30, 2017
United States	$	203.5	$	140.9	$	347.8	$	250.2
Other North America		12.7		8.6		20.5		15.1
Europe		188.7		156.9		339.0		277.2
Asia		27.3		33.8		47.6		58.1
Middle East		37.3		22.6		71.1		46.7
Central and South America		10.7		7.9		20.6		12.1
Africa		2.5		8.4		6.4		13.4
Caribbean		0.4		3.0		1.3		3.5
Australia		12.2		12.5		27.1		24.1
Total	$	495.3	$	394.6	$	881.4	$	700.4

Net sales by product for the three and six months ended June 30, 2018 and 2017 are as follows (in millions):

	Three Months Ended June 30, 2018		Three Months Ended June 30, 2017		Six Months Ended June 30, 2018		Six Months Ended June 30, 2017
Cranes	$	409.2	$	314.6	$	716.7	$	543.0
Aftermarket parts and other*		86.1		80.0		164.7		157.4
Total net sales	$	495.3	$	394.6	$	881.4	$	700.4

*Other revenue consists of revenue related to miscellaneous CraneCare services such as trainings and field service work.