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Business Segment Information
9 Months Ended
Sep. 30, 2018
Segment Reporting [Abstract]  
Business Segment Information
Business Segment Information

Reportable business segment information for the three and nine months ended September 30 was as follows:

 
Metal
Containers
 
Closures
 
Plastic
Containers
 
Corporate
 
Total
 
(Dollars in thousands)
Three Months Ended September 30, 2018
 
 
 
 
 
 
 
 
 
Net sales
$
797,768

 
$
360,816

 
$
148,415

 
$

 
$
1,306,999

Depreciation and amortization(1)
19,823

 
18,378

 
9,171

 
43

 
47,415

Rationalization charges
72

 
111

 
105

 

 
288

Segment income
86,928

 
47,349

 
8,446

 
(4,268
)
 
138,455

 
 
 
 
 
 
 
 
 
 
Three Months Ended September 30, 2017
 

 
 

 
 

 
 

 
 

Net sales
$
772,382

 
$
357,343

 
$
137,205

 
$

 
$
1,266,930

Depreciation and amortization(1)
19,250

 
17,457

 
8,636

 
22

 
45,365

Rationalization charges
326

 
134

 
101

 

 
561

Segment income(2)
92,222

 
45,322

 
6,444

 
(5,422
)
 
138,566

 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2018
 
 
 
 
 
 
 
 
 
Net sales
$
1,808,585

 
$
1,109,924

 
$
459,874

 
$

 
$
3,378,383

Depreciation and amortization(1)
60,500

 
55,786

 
26,975

 
107

 
143,368

Rationalization charges
812

 
150

 
521

 

 
1,483

Segment income
172,268

 
143,277

 
32,687

 
(13,478
)
 
334,754

 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2017
 

 
 

 
 

 
 

 
 

Net sales
$
1,768,333

 
$
904,112

 
$
421,705

 
$

 
$
3,094,150

Depreciation and amortization(1)
57,172

 
43,638

 
25,644

 
68

 
126,522

Rationalization charges
3,288

 
535

 
662

 

 
4,485

Segment income(2)
185,525

 
102,947

 
19,944

 
(37,856
)
 
270,560


_____________

(1) 
Depreciation and amortization excludes amortization of debt issuance costs of $0.9 million and $1.0 million for the three months ended September 30, 2018 and 2017, respectively, and $2.9 million and $3.2 million for the nine months ended September 30, 2018 and 2017, respectively.
(2) 
Segment income for Metal Containers includes a $3.0 million charge for the nine months ended September 30, 2017 related to the resolution of a past non-commercial legal dispute. Segment income for Corporate includes costs attributed to announced acquisitions of $0.8 million and $23.8 million for the three and nine months ended September 30, 2017, respectively.




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

 
Three Months Ended
 
Nine Months Ended
 
Sept. 30, 2018
 
Sept. 30, 2017
 
Sept. 30, 2018
 
Sept. 30, 2017
 
(Dollars in thousands)
Total segment income
$
138,455

 
$
138,566

 
$
334,754

 
$
270,560

Interest and other debt expense
28,199

 
30,583

 
91,095

 
87,259

Income before income taxes
$
110,256

 
$
107,983

 
$
243,659

 
$
183,301


Sales and segment income of our metal container business and part of our closures business are dependent, in part, upon fruit and vegetable harvests.  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 segment income during that quarter.