Segment Information

3 Months Ended

Mar. 31, 2015

Segment Information

Segment Information

1.Segment Information

The Company has four reportable segments based on its geographic locations:  Europe, North America, South America and Asia Pacific.  These four segments are aligned with the Company’s internal approach to managing, reporting, and evaluating performance of its global glass operations.  Certain assets and activities not directly related to one of the regions or to glass manufacturing are reported with Retained corporate costs and other.  These include licensing, equipment manufacturing, global engineering, and certain equity investments.  Retained corporate costs and other also includes certain headquarters administrative and facilities costs and certain incentive compensation and other benefit plan costs that are global in nature and are not allocable to the reportable segments.

The Company’s measure of profit for its reportable segments is segment operating profit, which consists of consolidated earnings from continuing operations before interest income, interest expense, and provision for income taxes and excludes amounts related to certain items that management considers not representative of ongoing operations as well as certain retained corporate costs.  The Company’s management uses segment operating profit, in combination with net sales and selected cash flow information, to evaluate performance and to allocate resources.  Segment operating profit for reportable segments includes an allocation of some corporate expenses based on both a percentage of sales and direct billings based on the costs of specific services provided.

Financial information for the three-months ended March 31, 2015 and 2014 regarding the Company’s reportable segments is as follows:

	2015		2014
Net sales:
Europe	$	567	$	706
North America	470		485
South America	205		239
Asia Pacific	163		203
Reportable segment totals	1,405		1,633
Other	16		6
Net sales	$	1,421	$	1,639

	2015			2014
Segment operating profit:
Europe	$	49		$	87
North America	71			65
South America	30			41
Asia Pacific	18			25
Reportable segment totals	168			218
Items excluded from segment operating profit:
Retained corporate costs and other	(21		)	(30		)
Interest expense, net	(47		)	(54		)
Earnings from continuing operations before income taxes	$	100		$	134

Financial information regarding the Company’s total assets is as follows:

	March 31,		December 31,		March 31,
	2015		2014		2014
Total assets:
Europe	$	2,935	$	3,223	$	3,585
North America	2,033		1,971		2,055
South America	1,097		1,300		1,453
Asia Pacific	942		1,018		1,142
Reportable segment totals	7,007		7,512		8,235
Other	319		346		253
Consolidated totals	$	7,326	$	7,858	$	8,488