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Segment Reporting (Notes)
 9 Months Ended
Sep. 30, 2021
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
16. SEGMENT REPORTING

Our business is organized into Driveline and Metal Forming segments, with each representing a reportable segment under ASC 280 Segment Reporting. In the first quarter of 2021, we completed a reorganization of our segments, which included moving certain locations that were previously reported under our Driveline segment to our Metal Forming segment in order to better align our product and process technologies. The amounts in the tables below for the three and nine months ended September 30, 2020 have been retrospectively recast to reflect this reorganization.

The results of each segment are regularly reviewed by the chief operating decision maker to assess the performance of the segment and make decisions regarding the allocation of resources to the segments.

Our product offerings by segment are as follows:

•Driveline products consist primarily of front and rear axles, driveshafts, differential assemblies, clutch modules, balance shaft systems, disconnecting driveline technology, and electric and hybrid driveline products and systems for light trucks, sport utility vehicles (SUVs), crossover vehicles, passenger cars and commercial vehicles; and
•Metal Forming products consist primarily of axle and transmission shafts, ring and pinion gears, differential gears and assemblies, connecting rods and variable valve timing products for Original Equipment Manufacturers and Tier 1 automotive suppliers.

We use Segment Adjusted EBITDA as the measure of earnings to assess the performance of each segment and determine the resources to be allocated to the segments. We define EBITDA to be earnings before interest expense, income taxes, depreciation and amortization. Segment Adjusted EBITDA is defined as EBITDA for our reportable segments excluding the impact of restructuring and acquisition-related costs, debt refinancing and redemption costs, loss on the sale of a business, impairment charges, pension settlements, unrealized gains or losses on equity securities, and non-recurring items.

The following tables represent information by reportable segment for the three months ended September 30, 2021 and 2020 (in millions):
Three Months Ended September 30, 2021
DrivelineMetal FormingTotal
Sales$870.4 $422.7 $1,293.1 
Less: intersegment sales0.8 79.2 80.0 
Net external sales$869.6 $343.5 $1,213.1 
Segment Adjusted EBITDA$128.4 $54.8 $183.2 
Three Months Ended September 30, 2020
DrivelineMetal FormingTotal
Sales$1,025.0 $497.4 $1,522.4 
Less: intersegment sales0.4 107.9 108.3 
Net external sales$1,024.6 $389.5 $1,414.1 
Segment Adjusted EBITDA$199.5 $97.6 $297.1 
The following tables represent information by reportable segment for the nine months ended September 30, 2021 and 2020 (in millions):
Nine Months Ended September 30, 2021
DrivelineMetal FormingTotal
Sales$2,831.9 $1,352.1 $4,184.0 
Less: intersegment sales2.4 260.1 262.5 
Net external sales$2,829.5 $1,092.0 $3,921.5 
Segment Adjusted EBITDA$450.2 $218.5 $668.7 
Nine Months Ended September 30, 2020
DrivelineMetal FormingTotal
Sales$2,346.7 $1,147.7 $3,494.4 
Less: intersegment sales0.5 221.0 221.5 
Net external sales$2,346.2 $926.7 $3,272.9 
Segment Adjusted EBITDA$309.0 $149.3 $458.3 

The following table represents a reconciliation of Total Segment Adjusted EBITDA to consolidated income (loss) before income taxes for the three and nine months ended September 30, 2021 and 2020 (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2021202020212020
Total segment adjusted EBITDA$183.2 $297.1 $668.7 $458.3 
Interest expense(49.7)(53.9)(150.7)(160.0)
Depreciation and amortization(135.6)(125.0)(421.2)(393.7)
Restructuring and acquisition-related costs(7.4)(9.7)(40.8)(38.6)
Loss on sale of business— — (2.7)(1.0)
Unrealized gain on equity securities19.4 — 19.4 — 
Debt refinancing and redemption costs(31.6)(5.2)(34.0)(6.7)
Impairment charges— — — (510.0)
Non-recurring items:
Malvern Fire charges, net of recoveries5.7 (8.6)11.1 (8.6)
Income (loss) before income taxes$(16.0)$94.7 $49.8 $(660.3)