SEGMENT AND RELATED INFORMATION

12 Months Ended

Dec. 31, 2016

SEGMENT AND RELATED INFORMATION [Abstract]

SEGMENT AND RELATED INFORMATION

12. SEGMENT AND RELATED INFORMATION

Since the December 2015 sale of the NATG business, the Company has operated and is internally managed in two reportable business segments— Industrial Products Group (“IPG”) and EMEA Technology Products Group (“EMEA”). Smaller business operations and corporate functions are aggregated and reported as the additional segment - Corporate and Other “Corporate”.

On September 2, 2016 the Company sold certain assets of its Misco Germany operations which had been reported as part of its EMEA segment.  As this disposition was not a strategic shift with a major impact as defined under ASU 2014-08 , prior and current year results of the German operations are presented within continuing operations in the Consolidated Financial Statements.  For the year ended December 31, 2016, net sales of Misco Germany included in continuing operations were $33.9 million and the net loss, including approximately $3.7 million of intercompany charges, was $6.4 million. The Company recorded charges related to this transaction of approximately $1.7 million.

At December 31, 2016, the Company sold all of its issued and outstanding membership interests of its rebate processing business which had been reported as part of its Corporate segment.  As this disposition was not a strategic shift with a major impact as defined under ASU 2014-08, prior and current year results of the rebate processing business are presented within continuing operations in the consolidated financial statements.  For the year ended December 31, 2016, net sales of the rebate processing business included in continuing operations were $3.7 million and the net loss was $2.3 million. The Company recorded a gain of approximately $3.9 million on this sale.

The Company’s chief operating decision-maker is the Company’s Chief Executive Officer (“CEO”).  The CEO, in his role as Chief Operating Decision Maker (“CODM”), evaluates segment performance based on operating income (loss) from continuing operations. The CODM reviews assets and makes significant capital expenditure decisions for the Company on a consolidated basis only.  The accounting policies of the segments are the same as those of the Company.  Corporate costs not identified with the disclosed segments are grouped as “Corporate and other expenses.”

Financial information relating to the Company’s continuing operations by reportable segment was as follows (in millions):

	Year Ended December 31,
	2016			2015			2014
Net Sales:
IPG	$	715.6		$	698.6		$	556.0
EMEA		960.9			1,052.9			1,189.9
NATG		-			97.8			352.4
Corporate and other		3.6			5.4			5.9
Consolidated	$	1,680.1		$	1,854.7		$	2,104.2
Depreciation and Amortization Expense:
IPG	$	3.6		$	3.8		$	2.1
EMEA		3.4			3.9			4.0
NATG		-			0.6			4.1
Corporate and other		0.9			1.0			1.3
Consolidated	$	7.9		$	9.3		$	11.5
Operating Income (Loss):
IPG	$	34.3		$	43.7		$	41.0
EMEA		(12.5	)		(10.8	)		(21.2	)
NATG		(2.8	)		(38.2	)		(17.9	)
Corporate and other expenses		(14.9	)		(18.8	)		(15.6	)
Consolidated	$	4.1		$	(24.1	)	$	(13.7	)
Total Assets
IPG	$	201.5		$	175.3		$	135.5
EMEA		274.6			238.3			313.3
NATG		6.9			26.6			187.6
Corporate and other		83.1			269.9			260.5
Consolidated	$	566.1		$	710.1		$	896.9

Financial information relating to the Company’s operations by geographic area was as follows (in millions):

	Year Ended December 31,
	2016		2015		2014
Net Sales:
United States	$	692.3	$	676.8	$	723.2
France		417.2		382.6		383.2
United Kingdom		241.8		335.7		471.9
Other Europe		301.9		334.5		334.8
Other North America		26.9		125.1		191.1
Consolidated	$	1,680.1	$	1,854.7	$	2,104.2
Long-lived Assets:
United States	$	15.4	$	18.1	$	17.1
United Kingdom		10.4		15.6		17.5
France		1.0		1.1		0.8
Other Europe and Asia		2.7		3.5		5.5
Other North America		-		-		0.3
Consolidated	$	29.5	$	38.3	$	41.2

Net sales are attributed to countries based on location of selling subsidiary.