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SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2016
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 Inc. (Acklands-Grainger), the Company’s Canadian business. Other businesses include Zoro, the single channel business in the United States, and business units in Europe, Asia and Latin America. Other businesses do not meet the definition of a reportable segment. Operating segments generate revenue almost exclusively through the distribution of maintenance, repair and operating supplies, as service revenues account for less than 1% of total revenues for each operating segment. Following is a summary of segment results (in thousands of dollars):

 
Three Months Ended June 30, 2016
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
1,978,542

 
$
194,418

 
$
474,166

 
$
2,647,126

Intersegment net sales
(82,442
)
 
(50
)
 
(966
)
 
(83,458
)
Net sales to external customers
$
1,896,100

 
$
194,368

 
$
473,200

 
$
2,563,668

Segment operating earnings
$
348,938

 
$
(27,741
)
 
$
29,724

 
$
350,921

  
 
Three Months Ended June 30, 2015
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
2,030,633

 
$
239,466

 
$
318,898

 
$
2,588,997

Intersegment net sales
(65,394
)
 
(17
)
 
(1,021
)
 
(66,432
)
Net sales to external customers
$
1,965,239

 
$
239,449

 
$
317,877

 
$
2,522,565

Segment operating earnings
$
369,533

 
$
9,499

 
$
15,158

 
$
394,190


 
Six Months Ended June 30, 2016
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
3,944,809

 
$
373,189

 
$
919,500

 
$
5,237,498

Intersegment net sales
(164,941
)
 
(86
)
 
(2,265
)
 
(167,292
)
Net sales to external customers
$
3,779,868

 
$
373,103

 
$
917,235

 
$
5,070,206

Segment operating earnings
$
680,795

 
$
(40,088
)
 
$
51,508

 
$
692,215

 
 
Six Months Ended June 30, 2015
 
United States
 
Canada
 
Other Businesses
 
Total
Total net sales
$
4,002,088

 
$
473,996

 
$
616,697

 
$
5,092,781

Intersegment net sales
(128,585
)
 
(53
)
 
(1,917
)
 
(130,555
)
Net sales to external customers
$
3,873,503

 
$
473,943

 
$
614,780

 
$
4,962,226

Segment operating earnings
$
735,622

 
$
18,886

 
$
24,684

 
$
779,192


 
United States
 
Canada
 
Other Businesses
 
Total
Segment assets:
 
 
 
 
 
 
 
June 30, 2016
$
2,280,207

 
$
315,742

 
$
525,142

 
$
3,121,091

December 31, 2015
$
2,191,045

 
$
317,504

 
$
507,116

 
$
3,015,665



Following are reconciliations of segment information with the consolidated totals per the financial statements (in thousands of dollars):
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2016
 
2015
 
2016
 
2015
Operating earnings:
 
 
 
Total operating earnings for operating segments
$
350,921

 
$
394,190

 
$
692,215

 
$
779,192

Unallocated expenses and eliminations
(45,332
)
 
(37,473
)
 
(69,534
)
 
(71,227
)
Total consolidated operating earnings
$
305,589

 
$
356,717

 
$
622,681

 
$
707,965


 
 
June 30, 2016
 
December 31, 2015
Assets:
 
Total assets for operating segments
$
3,121,091

 
$
3,015,665

Other current and non-current assets
2,690,398

 
2,624,966

Unallocated assets
153,315

 
217,124

Total consolidated assets
$
5,964,804

 
$
5,857,755



Assets for operating segments include net accounts receivable and first-in, first-out inventory which are reported to the Company's Chief Operating Decision Maker. Other current and non-current assets include all other asset balances for the operating segments.

Unallocated expenses and unallocated assets primarily relate to the Company headquarter's 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. Unallocated expenses of $45 million increased 22% in the three months ended June 30, 2016 versus $37 million in the prior year quarter. The increase was driven primarily by a $9 million write-down of a corporate aircraft that the Company plans to sell in connection with the outsourcing of the aviation department.

Intersegment net sales for the U.S. segment increased by $17 million and $36 million for the three and six months ended June 30, 2016, respectively, compared to the prior year, driven by increased sales from the U.S. business to Zoro. The U.S. business' supply chain network is Zoro's primary source of inventory.