Segment reporting

9 Months Ended

Oct. 01, 2016

Segment Reporting [Abstract]

Segment reporting

Segment reporting

The Company has three reporting segments: the Global Ceramic segment, the Flooring NA segment and the Flooring ROW segment. The Global Ceramic segment designs, manufactures, sources and markets a broad line of ceramic tile, porcelain tile, natural stone and other products, which it distributes primarily in North America, Europe and Russia through its network of regional distribution centers and Company-operated service centers using company-operated trucks, common carriers or rail transportation. The segment’s product lines are sold through Company-operated service centers, independent distributors, home center retailers, tile and flooring retailers and contractors. The Flooring NA segment designs, manufactures, sources and markets its floor covering product lines, including carpets, rugs, carpet pad, hardwood, laminate and vinyl products, including LVT, which it distributes through its network of regional distribution centers and satellite warehouses using company-operated trucks, common carrier or rail transportation. The segment’s product lines are sold through various selling channels, including independent floor covering retailers, home centers, mass merchandisers, department stores, shop at home, buying groups, commercial dealers and commercial end users. The Flooring ROW segment designs, manufactures, sources, licenses and markets laminate, hardwood flooring, roofing elements, insulation boards, medium-density fiberboard, chipboards, other wood products, sheet vinyl and LVT, which it distributes primarily in Europe and Russia through various selling channels, which include retailers, independent distributors and home centers.

The accounting policies for each operating segment are consistent with the Company’s policies for the consolidated financial statements. Amounts disclosed for each segment are prior to any elimination or consolidation entries. Corporate general and administrative expenses attributable to each segment are estimated and allocated accordingly. Segment performance is evaluated based on operating income. Previously reported segment results have been reclassified to conform to the current period presentation.

Segment information is as follows:

	Three Months Ended					Nine Months Ended
	October 1, 2016			October 3, 2015		October 1, 2016		October 3, 2015
Net sales:
Global Ceramic segment	$	822,040		791,538		2,425,560		2,301,168
Flooring NA segment	1,008,553			955,099		2,895,610		2,722,347
Flooring ROW segment	463,546			404,026		1,455,351		1,050,390
Intersegment sales	—			(7	)	—		(339	)
	$	2,294,139		2,150,656		6,776,521		6,073,566
Operating income (loss):
Global Ceramic segment	$	135,985		120,055		376,368		326,571
Flooring NA segment	170,507			125,910		364,804		145,861
Flooring ROW segment	81,757			55,471		262,356		153,164
Corporate and intersegment eliminations	(9,942		)	(12,702	)	(28,857	)	(37,272	)
	$	378,307		288,734		974,671		588,324

	October 1, 2016		December 31, 2015
Assets:
Global Ceramic segment	$	4,118,510	3,846,133
Flooring NA segment	3,354,286		3,164,525
Flooring ROW segment	2,851,227		2,805,246
Corporate and intersegment eliminations	96,570		118,496
	$	10,420,593	9,934,400