Business Segment Information

6 Months Ended

Jun. 30, 2014

Business Segment Information

Business Segment Information

3. Business Segment Information

Ball’s operations are organized and reviewed by management along its product lines and geographical areas and presented in the four reportable segments discussed below.

Metal beverage packaging, Americas and Asia:  Consists of the metal beverage packaging, Americas, operations in the U.S., Canada and Brazil, and the metal beverage packaging, Asia, operations in the People’s Republic of China (PRC). The Americas and Asia segments have been aggregated based on similar economic and qualitative characteristics. The operations in this reporting segment manufacture and sell metal beverage containers.

Metal beverage packaging, Europe:  Consists of operations in several countries in Europe, which manufacture and sell metal beverage containers.

Metal food and household products packaging:  Consists of operations in the U.S., Europe, Canada, Mexico and Argentina, which manufacture and sell steel food, aerosol, paint, general line and decorative specialty containers, as well as extruded aluminum beverage and aerosol containers and aluminum slugs.

Aerospace and technologies:  Consists of the manufacture and sale of aerospace and other related products and the providing of services used in the defense, civil space and commercial space industries.

The accounting policies of the segments are the same as those in the unaudited condensed consolidated financial statements. A discussion of the company’s critical and significant accounting policies can be found in Ball’s annual report. The company also has investments in companies in the U.S. and Vietnam, which are accounted for under the equity method of accounting and, accordingly, those results are not included in segment sales or earnings.

Summary of Business by Segment

	Three Months Ended June 30,						Six Months Ended June 30,
($ in millions)	2014			2013			2014			2013
Net sales
Metal beverage packaging, Americas & Asia	$	1,130.1		$	1,086.3		$	2,127.7		$	2,081.5
Metal beverage packaging, Europe	558.4			508.7			1,008.6			911.6
Metal food & household products packaging	367.7			382.6			708.8			749.8
Aerospace & technologies	241.1			226.1			461.8			457.5
Corporate and intercompany eliminations	(5.4		)	(1.3		)	(8.2		)	(7.0		)
Net sales	2,291.9			2,202.4			4,298.7			4,193.4
Net earnings
Metal beverage packaging, Americas & Asia	$	142.0		$	125.7		$	266.9		$	229.7
Business consolidation and other activities	(3.0		)	(11.0		)	1.8			(12.5		)
Total metal beverage packaging Americas & Asia	139.0			114.7			268.7			217.2
Metal beverage packaging, Europe	73.7			51.8			129.2			82.7
Business consolidation and other activities	(1.1		)	(1.2		)	(2.3		)	(2.9		)
Total metal beverage packaging, Europe	72.6			50.6			126.9			79.8
Metal food & household products packaging	39.8			47.5			76.1			82.2
Business consolidation and other activities	(4.0		)	(9.7		)	(7.1		)	(28.5		)
Total metal food & household products packaging	35.8			37.8			69.0			53.7
Aerospace & technologies	24.8			19.1			48.9			37.0
Business consolidation and other activities	—			(0.2		)	—			(0.2		)
Total aerospace & technologies	24.8			18.9			48.9			36.8
Segment earnings before interest and taxes	272.2			222.0			513.5			387.5
Undistributed and corporate expenses and intercompany eliminations, net	(15.8		)	(18.0		)	(39.2		)	(39.8		)
Business consolidation and other activities	(0.5		)	(0.5		)	(1.0		)	(1.2		)
Total undistributed and corporate expenses and intercompany eliminations, net	(16.3		)	(18.5		)	(40.2		)	(41.0		)
Earnings before interest and taxes	255.9			203.5			473.3			346.5
Interest expense	(40.6		)	(47.7		)	(80.8		)	(92.5		)
Debt refinancing costs	—			(26.7		)	(33.1		)	(26.7		)
Total interest expense	(40.6		)	(74.4		)	(113.9		)	(119.2		)
Tax provision	(60.2		)	(30.8		)	(99.8		)	(48.9		)
Equity in results of affiliates, net of tax	1.2			0.8			1.6			—
Net earnings from continuing operations	156.3			99.1			261.2			178.4
Discontinued operations, net of tax	—			—			—			0.1
Net earnings	156.3			99.1			261.2			178.5
Less net earnings attributable to noncontrolling interests	(3.2		)	(4.0		)	(14.6		)	(11.4		)
Net earnings attibutable to Ball Corporation	$	153.1		$	95.1		$	246.6		$	167.1

	June 30,			December 31,
($ in millions)	2014			2013
Total Assets
Metal beverage packaging, Americas & Asia	$	3,319.2		$	3,425.2
Metal beverage packaging, Europe	2,551.6			2,380.1
Metal food & household products packaging (a)	1,634.1			1,556.3
Aerospace & technologies	376.1			346.1
Segment assets (a)	7,881.0			7,707.7
Corporate assets, net of eliminations (a)	(109.6		)	112.7
Total assets (a)	$	7,771.4		$	7,820.4

(a) 2013 amounts have been revised; further details are included in the “Revision of Prior Period Financial Statements Related to Deferred Taxes” section of Note 1.