Segment reporting

3 Months Ended

Mar. 28, 2020

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, quartz, porcelain slab countertops and other products, which it distributes primarily in North America, Europe, South America 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 resilient (includes sheet vinyl and 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, distributors, home centers, mass merchandisers, department stores, shop at home, buying groups, commercial contractors and commercial end users. The Flooring ROW segment designs, manufactures, sources, licenses and markets laminate, hardwood flooring, roofing elements, insulation boards, medium-density fiberboard (“MDF”), chipboards, other wood products, sheet vinyl and LVT, which it distributes primarily in Europe, Australia, New Zealand 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.

Segment information is as follows:



	Three Months Ended
	March 28, 2020			March 30, 2019
Net sales:
Global Ceramic segment	$	848,450		898,352
Flooring NA segment	848,330			921,980
Flooring ROW segment	588,983			622,158
Intersegment sales	—			—
Total	$	2,285,763		2,442,490

Operating income (loss):
Global Ceramic segment	$	49,089		84,335
Flooring NA segment	33,682			649
Flooring ROW segment	77,227			90,431
Corporate and intersegment eliminations	(8,515		)	(10,085	)
Total	$	151,483		165,330



	At March 28, 2020		At December 31, 2019
Assets:
Global Ceramic segment	$	5,237,631	5,419,896
Flooring NA segment	3,841,815		3,823,654
Flooring ROW segment	3,810,348		3,925,246
Corporate and intersegment eliminations	367,148		217,884
Total	$	13,256,942	13,386,680