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SEGMENT INFORMATION
 12 Months Ended
Dec. 31, 2015
Segment Reporting [Abstract]  
SEGMENT INFORMATION
SEGMENT INFORMATION

The Company has two reportable segments: the United States and Canada. The United States operating segment reflects the results of the Company’s U.S. business. The Canada operating segment reflects the results for Acklands – Grainger, the Company’s Canadian business. Other businesses include Zoro, the single channel online business in the United States, and operations in Europe, Asia and Latin America. These businesses individually do not meet the criteria of a reportable segment. Operating segments generate revenue almost exclusively through the distribution of maintenance, repair and operating supplies, as service revenues account for approximately 1% of total revenues for each operating segment.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Intersegment transfer prices are established at external selling prices, less costs not incurred due to a related party sale. The segment results include certain centrally incurred costs for shared services that are charged to the segments based upon the relative level of service used by each operating segment.

Following is a summary of segment results (in thousands of dollars):
 
2015
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
7,963,416


$
890,530


$
1,405,750

 
$
10,259,696

Intersegment net sales
(282,305
)

(105
)

(3,902
)
 
(286,312
)
Net sales to external customers
7,681,111

 
890,425

 
1,401,848

 
9,973,384

 
 
 
 
 
 
 
 
Segment operating earnings
1,371,626


27,368


48,051

 
1,447,045

 








 
 
Segment assets
2,191,045


317,504


507,116

 
3,015,665

Depreciation and amortization
150,654


17,334


19,999

 
187,987

Additions to long-lived assets
$
302,316


$
20,464


$
21,135

 
$
343,915


 
2014
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
7,926,075


$
1,075,754


$
1,182,186


$
10,184,015

Intersegment net sales
(211,399
)

(304
)

(7,359
)

(219,062
)
Net sales to external customers
7,714,676


1,075,450


1,174,827


9,964,953

 











Segment operating earnings
1,444,288


87,583


(37,806
)

1,494,065

 











Segment assets
2,181,521


394,342


345,987


2,921,850

Depreciation and amortization
136,081


15,305


20,444


171,830

Additions to long-lived assets
$
243,251


$
106,918


$
31,137


$
381,306


 
2013
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
7,413,712


$
1,114,285


$
1,040,473


$
9,568,470

Intersegment net sales
(128,660
)

(300
)

(1,752
)

(130,712
)
Net sales to external customers
7,285,052


1,113,985


1,038,721


9,437,758

 











Segment operating earnings
1,304,175


128,768


7,599


1,440,542

 











Segment assets
2,045,564


392,147


359,007


2,796,718

Depreciation and amortization
116,392


14,309


19,754


150,455

Additions to long-lived assets
$
177,046


$
63,821


$
23,951


$
264,818


Following are reconciliations of the segment information with the consolidated totals per the financial statements (in thousands of dollars):

 
2015
 
2014
 
2013
Operating earnings:
 
 
 
 
 
Total operating earnings for reportable segments
$
1,447,045


$
1,494,065


$
1,440,542

Unallocated expenses
(146,725
)

(146,948
)

(143,688
)
Total consolidated operating earnings
$
1,300,320


$
1,347,117


$
1,296,854

Assets:








Assets for reportable segments
$
3,015,665


$
2,921,850


$
2,796,718

Other current and noncurrent assets
2,624,966


2,113,900


2,118,298

Unallocated assets
217,124


247,299


351,312

Total consolidated assets
$
5,857,755


$
5,283,049


$
5,266,328


 
2015
 
Segment
Totals
 
Unallocated
 
Consolidated Total
Other significant items:
 
 
 
 
 
Depreciation and amortization
$
187,987


$
18,854


$
206,841

Additions to long-lived assets
$
343,915


$
16,912


$
360,827

 
 
 
 
 
 
 
 
 
Revenues
 
Long-Lived Assets
Geographic information:
 
 
 
 
 
United States
 
 
$
7,866,300


$
1,231,083

Canada
 
 
897,431


215,202

Other foreign countries
 
 
1,209,653


153,508

 
 
 
$
9,973,384


$
1,599,793


 
2014
 
Segment
Totals
 
Unallocated
 
Consolidated Total
Other significant items:
 
 
 
 
 
Depreciation and amortization
$
171,830


$
18,341


$
190,171

Additions to long-lived assets
$
381,306


$
22,498


$
403,804

 
 
 
 
 
 
 
 
 
Revenues
 
Long-Lived Assets
Geographic information:
 
 
 
 
 
United States
 
 
$
7,780,382


$
1,109,175

Canada
 
 
1,074,660


253,466

Other foreign countries
 
 
1,109,911


110,083

 
 
 
$
9,964,953


$
1,472,724


 
2013
 
Segment
Totals
 
Unallocated
 
Consolidated Total
Other significant items:
 
 
 
 
 
Depreciation and amortization
$
150,455


$
14,447


$
164,902

Additions to long-lived assets
$
264,818


$
12,782


$
277,600

 
 
 
 
 
 
 
 
 
Revenues
 
Long-Lived Assets
Geographic information:
 
 
 
 
 
United States
 
 
$
7,290,746


$
1,004,806

Canada
 
 
1,126,559


176,491

Other foreign countries
 
 
1,020,453


134,535

 
 
 
$
9,437,758


$
1,315,832



Revenues are attributed to countries based on the ship-to location of the customer.

Unallocated expenses and unallocated assets primarily relate to the Company headquarters' support services, which are not part of any business segment, as well as intercompany eliminations. Unallocated expenses include payroll and benefits, depreciation and other costs associated with headquarters-related support services. Unallocated assets include non-operating cash and cash equivalents, certain prepaid expenses and property, buildings and equipment-net.

Assets for reportable segments include net accounts receivable and first-in, first-out inventory, which are reported to the Company's Chief Operating Decision Maker. Long-lived assets consist of property, buildings, equipment and capitalized software.

Depreciation and amortization presented above includes depreciation of long-lived assets and amortization of capitalized software.