Business Segment Information

6 Months Ended

Jun. 30, 2013

Segment Reporting [Abstract]

Business Segment Information

Note 11.             Business Segment Information

Reportable business segment information for the three and six months ended June 30 is as follows:

	Metal Containers		Closures		Plastic Containers		Corporate			Total
	(Dollars in thousands)
Three Months Ended June 30, 2013
Net sales	$	531,172	$	181,445	$	167,412	$	—		$	880,029
Depreciation and amortization(1)	21,519		8,225		11,106		34			40,884
Rationalization charges	333		245		355		—			933
Segment income from operations	45,735		21,682		11,468		(3,980		)	74,905
Three Months Ended June 30, 2012
Net sales	$	479,687	$	183,088	$	158,836	$	—		$	821,611
Depreciation and amortization(1)	21,346		7,938		10,414		289			39,987
Rationalization charges	—		—		158		—			158
Segment income from operations(2)(3)	40,134		22,918		9,061		(3,474		)	68,639
Six Months Ended June 30, 2013
Net sales	$	994,932	$	342,587	$	338,251	$	—		$	1,675,770
Depreciation and amortization(1)	43,527		16,552		23,260		67			83,406
Rationalization charges	1,383		245		656		—			2,284
Segment income from operations(2)(3)(4)	85,297		32,313		21,874		(6,455		)	133,029
Six Months Ended June 30, 2012
Net sales	$	924,572	$	346,052	$	319,344	$	—		$	1,589,968
Depreciation and amortization(1)	43,005		16,211		20,935		707			80,858
Rationalization charges	—		2,141		1,620		—			3,761
Segment income from operations(2)(3)	82,151		40,939		17,980		(6,668		)	134,402

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⁽¹⁾  Depreciation and amortization excludes amortization of debt issuance costs of $1.1 million and $1.2 million for the three months ended June 30, 2013 and 2012, respectively, and amortization of debt issuance costs of $2.2 million and amortization of debt discount and issuance costs of $2.5 million for the six months ended June 30, 2013 and 2012, respectively.

⁽²⁾  Income from operations of the metal containers segment includes plant start-up costs of $1.9 million for the three months ended June 30, 2012 and $0.8 million and $2.9 million for the six months ended June 30, 2013 and 2012, respectively.

⁽³⁾  Income from operations for Corporate includes costs attributable to announced acquisitions of $0.2 million for the six months ended June 30, 2013 and $0.7 million for each of the three and six months ended June 30, 2012.

⁽⁴⁾  Income from operations of the closures segment for the six months ended June 30, 2013 includes a charge of $3.0 million for the remeasurement of net assets in Venezuela due to the recently devalued official Bolivar exchange rate.

Total segment income from operations is reconciled to income before income taxes as follows:

	Three Months Ended				Six Months Ended
	June 30,		June 30,		June 30,		June 30,
	2013		2012		2013		2012
	(Dollars in thousands)
Total segment income from operations	$	74,905	$	68,639	$	133,029	$	134,402
Interest and other debt expense	15,445		54,732		32,862		70,322
Income before income taxes	$	59,460	$	13,907	$	100,167	$	64,080

Sales and income from operations of our metal container business and part of our closures business are dependent, in part, upon the fruit and vegetable harvests in the United States and, to a lesser extent, in a variety of national growing regions in Europe.  The size and quality of these harvests varies from year to year, depending in large part upon the weather conditions in applicable regions.  Because of the seasonality of the harvests, we have historically experienced higher unit sales volume in the third quarter of our fiscal year and generated a disproportionate amount of our annual income from operations during that quarter.