Segment Information

3 Months Ended

Mar. 31, 2025

Segment Information

Segment Information

1. Segment Information

The Company has two reportable segments and two operating segments based on its geographic locations: the Americas and Europe. These two 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 segments or to glass manufacturing are reported within Retained corporate costs and other. These include licensing, equipment manufacturing, global engineering, certain equity investments and certain minor businesses in the Asia Pacific region. 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 is a non-GAAP financial measure that consists of consolidated earnings 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 and other adjustments, as well as certain retained corporate costs. The Company’s management, including the chief operating decision maker (defined as the Chief Executive Officer), uses segment operating profit, supplemented by net sales and selected cash flow information, to evaluate segment performance and 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. Segment operating profit is not a recognized term under accounting principles generally accepted in the United States (“U.S. GAAP”) and, therefore, does not purport to be an alternative to earnings (loss) before income taxes. Further, the Company’s measure of segment operating profit may not be comparable to similarly titled measures used by other companies.

Financial information for the three months ended March 31, 2025 and 2024 regarding the Company’s reportable segments is as follows, as well as a reconciliation of segment operating profit to earnings before income taxes:

	Three months ended March 31,
	2025						2024
		Americas		Europe		Total		Americas		Europe		Total
Reportable segment net sales	$	873	$	667	$	1,540	$	854	$	709	$	1,563
Other						27						30
Net Sales						1,567					$	1,593
Less:
Cost of goods sold		703		558				712		535
Selling, administrative, engineering and research and development expenses		43		46				51		46
Equity earnings		(19)		(4)				(19)		(6)
Other segment expenses (income)		5		(1)				8		1
Segment operating profit	$	141	$	68	$	209	$	102	$	133	$	235
Items excluded from segment operating profit:
Reconciliation of segment operating profit
Retained corporate costs and other						(30)						(40)
Restructuring, asset impairment and other charges						(82)
Legacy environmental charge						(4)
Gain on sale of miscellaneous assets						6
Interest expense, net						(81)						(78)
Earnings before income taxes					$	18					$	117

	Three months ended March 31,
					Reportable		Retained		Consoli-
					Segment		Corp Costs		dated
	Americas		Europe		Totals		and Other		Totals
Total assets (end of period):
2025	$	4,707	$	3,682	$	8,389	$	340	$	8,729
2024		5,258		3,729		8,987		422		9,409
Equity investments (end of period):
2025	$	456	$	193	$	649	$	34	$	683
2024		493		194		687		58		745
Equity earnings:
2025	$	19	$	4	$	23	$	—	$	23
2024		19		6		25		—		25
Capital expenditures:
2025	$	62	$	72	$	134	$	1	$	135
2024		123		88		211		2		213
Depreciation and amortization expense:
2025	$	73	$	37	$	110	$	5	$	115
2024		75		43		118		5		123

The Company’s tangible long-lived assets, including property, plant and equipment and operating lease right-of-use assets, by geographic region are as follows:

	As of March 31,
	U.S.		Non-U.S.		Total
2025	$	897	$	2,689	$	3,586
2024		879		2,879		3,758

The Company’s net sales by geographic region are as follows:

	Three months ended March 31,
	U.S.		Non-U.S.		Total
2025	$	441	$	1,126	$	1,567
2024		394		1,199		1,593

Operations outside the U.S. that accounted for 10% or more of consolidated net sales were in France (2025-14%, 2024-13%), Italy (2025-12%, 2024-13%), and Mexico (2025-13%, 2024-14%).