Business Segment Information

12 Months Ended

Jun. 30, 2017

Segment Reporting [Abstract]

Business Segment Information

Business Segment Information

(Dollars in thousands)	2017		2016		2015
Net Sales:
Diversified Industrial:
North America	$	5,366,809	$	4,955,211	$	5,715,742
International	4,377,776		4,145,272		4,741,376
Aerospace Systems	2,284,727		2,260,270		2,254,626
	$	12,029,312	$	11,360,753	$	12,711,744
Segment Operating Income:
Diversified Industrial:
North America	$	873,552	$	789,667	$	955,501
International	579,207		448,457		583,937
Aerospace Systems	337,496		337,531		298,994
Total segment operating income	1,790,255		1,575,655		1,838,432
Corporate administration	172,632		173,203		215,396
Income before interest expense and other	1,617,623		1,402,452		1,623,036
Interest expense	162,436		136,517		118,406
Other expense	126,546		151,207		72,390
Income before income taxes	$	1,328,641	$	1,114,728	$	1,432,240
Assets:
Diversified Industrial	$	13,366,981	$	8,728,671	$	8,734,942
Aerospace Systems (a)	1,412,707		1,430,577		1,375,845
Corporate (b)	710,216		1,874,894		2,143,492
	$	15,489,904	$	12,034,142	$	12,254,279
Property Additions:
Diversified Industrial	$	148,765	$	134,618	$	190,580
Aerospace Systems	16,929		10,857		18,427
Corporate	38,054		3,932		6,520
	$	203,748	$	149,407	$	215,527
Depreciation:
Diversified Industrial	$	176,823	$	163,014	$	174,102
Aerospace Systems	17,484		18,469		19,509
Corporate	8,561		8,825		9,165
	$	202,868	$	190,308	$	202,776

(Dollars in thousands)	2017		2016		2015
By Geographic Area (c)
Net Sales:
North America	$	7,585,689	$	7,144,481	$	7,891,571
International	4,443,623		4,216,272		4,820,173
	$	12,029,312	$	11,360,753	$	12,711,744
Long-Lived Assets:
North America	$	1,145,127	$	817,872	$	856,947
International	792,165		750,228		807,075
	$	1,937,292	$	1,568,100	$	1,664,022

The accounting policies of the business segments are the same as those described in the Significant Accounting Policies footnote except that the business segment results are prepared on a basis that is consistent with the manner in which the Company’s management disaggregates financial information for internal review and decision-making.

(a) Includes an investment in a joint venture in which ownership is 50 percent or less and in which the Company does not have operating control (2017 - $240,182; 2016 - $241,728; 2015 - $251,365).

(b) Amounts in 2016 and 2015 have been adjusted to reflect the retrospective adoption of Accounting Standards Update 2015-03 in the first quarter of 2017. Corporate assets are principally cash and cash equivalents, marketable securities and other investments, domestic deferred income taxes, deferred compensation plan assets, headquarters facilities and the major portion of the Company’s domestic data processing equipment.

(c) Net sales are attributed to countries based on the location of the selling unit. North America includes the United States, Canada and Mexico. No country other than the United States represents greater than 10 percent of consolidated sales. Long-lived assets are comprised of plant and equipment based on physical location.