Segment Information

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Segment Information

Segment Information

We are organized into six geographic operating segments based on management responsibilities. The operating segments have been aggregated (based on economic similarities, the nature of their products, end-user markets and methods of distribution) into three reportable segments: Americas, International, and Corporate.

The Americas and International segments were established on January 1, 2016. The Americas segment is comprised of our operations in North America and Latin America geographies. The International segment is comprised of our operations of all geographies outside of the Americas. Certain global expenses are now allocated to each segment in a manner consistent with where the benefits from the expenses are derived. The 2015 segment results have been recast to conform with current period presentation.

The Company's sales are allocated to each country based primarily on the destination of the end-customer.

Adjusted operating income (loss) and adjusted operating margin are the measures used by the chief operating decision maker to evaluate segment performance and allocate resources. Adjusted operating income (loss) is defined as operating income from continuing operations excluding restructuring charges and currency exchange gains (losses). Adjusted operating margin is defined as adjusted operating income (loss) divided by segment sales to external customers. Adjusted operating income (loss) and adjusted operating margin are not recognized terms under GAAP and therefore do not purport to be alternatives to operating income or operating margin from continuing operations as a measure of operating performance. Further, the Company's measure of adjusted operating income and adjusted operating margin may not be comparable to similarly titled measures of other companies. Adjusted operating income on a consolidated basis is presented in the following table to reconcile the segment operating performance measure to operating income as presented on the condensed consolidated statement of income.

Reportable segment information is presented in the following table:

(In thousands)	Americas			International			Corporate			Reconciling Items1			Consolidated Totals
Three Months Ended June 30, 2016
Sales to external customers	$	177,623		$	118,375		$	—		$	—		$	295,998
Intercompany sales	30,037			69,648			—			(99,685		)	—
Adjusted operating income (loss)	44,671			12,741			(8,417		)				48,995
Adjusted operating margin %	25.1		%	10.8		%
Restructuring and other charges													(1,338		)
Currency exchange gains, net													242
Operating income													$	47,899
Total Assets	$	893,997		$	516,064		$	4,675		$	1,513		$	1,416,249
Six Months Ended June 30, 2016
Sales to external customers	$	344,965		$	230,301		$	—		$	—		$	575,266
Intercompany sales	57,869			130,337			—			(188,206		)	—
Adjusted operating income (loss)	76,016			21,148			(17,022		)				80,142
Adjusted operating margin %	22.0		%	9.2		%
Restructuring and other charges													(1,808		)
Currency exchange (losses), net													(1,708		)
Operating income													$	76,626
Total Assets	$	893,997		$	516,064		$	4,675		$	1,513		$	1,416,249

(In thousands)	Americas			International			Corporate			Reconciling Items1			Consolidated Totals
Three Months Ended June 30, 2015
Sales to external customers	$	179,565		$	107,446		$	—		$	—		$	287,011
Intercompany sales	35,242			61,064			—			(96,306		)	—
Adjusted operating income (loss)	37,454			10,892			(8,429		)				39,917
Adjusted operating margin %	20.9		%	10.1		%
Restructuring and other charges													(227		)
Currency exchange (losses), net													(1,557		)
Operating income													$	38,133
Total Assets	$	908,868		$	363,012		$	3,571		$	9,919		$	1,285,370
Six Months Ended June 30, 2015
Sales to external customers	$	338,067		$	205,652		$	—		$	—		$	543,719
Intercompany sales	71,418			112,174			—			(183,592		)	—
Adjusted operating income (loss)	61,363			18,461			(15,366		)				64,458
Adjusted operating margin %	18.2		%	9.0		%
Restructuring and other charges													(958		)
Currency exchange gains, net													991
Operating income													$	64,491
Total Assets	$	908,868		$	363,012		$	3,571		$	9,919		$	1,285,370

₁Reconciling items consist primarily of intercompany eliminations and items not directly attributable to operating segments

The percentage of total sales by product group were as follows:

Three Months Ended June 30,	2016	2015
Total net sales	100%	100%
Breathing Apparatus	27%	23%
Fixed Gas & Flame Detection	18%	22%
Portable Gas Detection	14%	13%
Industrial Head Protection	11%	12%
Fall Protection	8%	4%
Fire & Rescue Helmets	5%	5%
Other	17%	21%

Six Months Ended June 30,	2016	2015
Total net sales	100%	100%
Breathing Apparatus	28%	23%
Fixed Gas & Flame Detection	19%	22%
Portable Gas Detection	13%	14%
Industrial Head Protection	10%	12%
Fall Protection	8%	4%
Fire & Rescue Helmets	5%	5%
Other	17%	20%