OPERATING SEGMENTS

9 Months Ended

Aug. 02, 2015

Segment Reporting [Abstract]

OPERATING SEGMENTS

OPERATING SEGMENTS

Operating segments are defined as components of an enterprise that engage in business activities and by which discrete financial information is available that is evaluated on a regular basis by the chief operating decision maker to make decisions about how to allocate resources to the segment and assess the performance of the segment. We have three operating segments: metal coil coating; metal components; and engineered building systems. All operating segments operate primarily in the nonresidential construction market. Sales and earnings are influenced by general economic conditions, the level of nonresidential construction activity, metal roof repair and retrofit demand and the availability and terms of financing available for construction. Products of our operating segments use similar basic raw materials. The metal coil coating segment consists of cleaning, treating, painting and slitting continuous steel coils before the steel is fabricated for use by construction and industrial users. The metal components segment products include metal roof and wall panels, doors, metal partitions, metal trim, insulated panels and other related accessories. Metl-Span is included in the metal components segment. The engineered building systems segment includes the manufacturing of main frames, Long Bay® Systems and value-added engineering and drafting, which are typically not part of metal components or metal coil coating products or services. The operating segments follow the same accounting policies used for our consolidated financial statements. We include the results of the CENTRIA Acquisition in the metal components segment.

We evaluate a segment’s performance based primarily upon operating income before corporate expenses. Intersegment sales are recorded based on standard material costs plus a standard markup to cover labor and overhead and consist of (i) hot-rolled, light gauge painted and slit material and other services provided bythe metal coil coating segment to both the metal components and engineered building systems segments; (ii) building components provided by the metal components segment to the engineered building systems segment; and (iii) structural framing provided by the engineered building systems segment to the metal components segment.

Corporate assets consist primarily of cash but also include deferred financing costs, deferred taxes and property, plant and equipment associated with our headquarters in Houston, Texas. These items (and income and expenses related to these items) are not allocated to the operating segments. Corporate unallocated expenses include share-based compensation expenses, and executive, legal, finance, tax, treasury, human resources, information technology, purchasing, marketing and corporate travel expenses. Additional unallocated expenses include interest income, interest expense, strategic development and acquisition related costs and other (expense) income.

The following table represents sales, operating income and total assets attributable to these operating segments for the periods indicated (in thousands):

	Fiscal Three Months Ended						Fiscal Nine Months Ended
	August 2, 2015			August 3, 2014			August 2, 2015			August 3, 2014
Total sales:
Metal coil coating	$	62,383		$	68,324		$	167,991		$	176,898
Metal components	251,191			184,321			645,098			497,599
Engineered building systems	176,519			174,186			469,564			475,834
Intersegment sales	(69,304		)	(65,205		)	(178,791		)	(172,239		)
Total sales	$	420,789		$	361,626		$	1,103,862		$	978,092
External sales:
Metal coil coating	$	26,608		$	31,132		$	73,816		$	81,230
Metal components	221,958			162,180			574,667			437,259
Engineered building systems	172,223			168,314			455,379			459,603
Total sales	$	420,789		$	361,626		$	1,103,862		$	978,092
Operating income (loss):
Metal coil coating	$	5,497		$	6,665		$	11,872		$	17,053
Metal components	17,025			10,437			32,302			19,107
Engineered building systems	14,363			11,454			25,937			13,129
Corporate	(17,507		)	(16,354		)	(49,779		)	(45,768		)
Total operating income	$	19,378		$	12,202		$	20,332		$	3,521
Unallocated other expense	(8,638		)	(3,276		)	(21,977		)	(9,321		)
Income (loss) before income taxes	$	10,740		$	8,926		$	(1,645	)	$	(5,800	)

	August 2, 2015		November 2, 2014
Total assets:
Metal coil coating	$	87,432	$	84,519
Metal components	408,021		365,874
Engineered building systems	217,388		209,281
Corporate	332,354		99,009
Total assets	$	1,045,195	$	758,683