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Segment Information | 12 Months Ended
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Dec. 31, 2016
Segment Reporting [Abstract] |
Segment Information | Segment Information We report our business in three reportable segments: Packaging, Paper, and Corporate and Other. These segments represent distinct businesses that are managed separately because of differing products and services. Each of these businesses require distinct operating and marketing strategies. Packaging. We manufacture and sell a wide variety of corrugated packaging products, including conventional shipping containers used to protect and transport manufactured goods, multi-color boxes and displays with strong visual appeal that help to merchandise the packaged product in retail locations. In addition, we are a large producer of packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products. Paper. We manufacture and sell a range of white papers, including communication papers, and pressure sensitive papers, and market pulp. Our white papers can be manufactured as either commodity papers or specialty papers with specialized or custom features, such as colors, coatings, high brightness, or recycled content. We ship to customers both directly from our mills and through distribution centers. In 2016, our sales to Office Depot, our largest Paper segment customer, represented 42% of our Paper segment sales revenue. Sales for market pulp decreased in 2016 as we ceased softwood market pulp operations at our Wallula, Washington mill with the permanent shutdown of the No.1 machine. Corporate and Other. Our Corporate and Other segment includes corporate support staff services and related assets and liabilities, and foreign exchange gains and losses. This segment also includes transportation assets, such as rail cars and trucks, which we use to transport our products from some of our manufacturing sites and assets related to LTP. See Note 16, Transactions With Related Parties, for more information related to LTP. Sales in this segment relate primarily to LTP and our rail and truck business. We provide transportation services not only to our own facilities but also, on a limited basis, to third parties when geographic proximity and logistics are favorable. Rail cars and trucks are generally leased. Each segments' profits and losses are measured on operating profits before interest expense and interest income. For many of these allocated expenses, the related assets and liabilities remain in the Corporate and Other segment. Segment sales to external customers by product line were as follows (dollars in millions):
| Year Ended December 31
2016 |  | 2015 |  | 2014
Packaging sales | $ | 4,584.8 |  |  | $ | 4,477.3 |  |  | $ | 4,540.3 |
Paper sales |  |  |  |  |
White papers | 1,065.8 |  |  | 1,089.6 |  |  | 1,138.5 |
Market pulp | 28.1 |  |  | 53.5 |  |  | 62.9 |
| 1,093.9 |  |  | 1,143.1 |  |  | 1,201.4 |
Corporate and Other | 100.3 |  |  | 121.3 |  |  | 110.9 |
| $ | 5,779.0 |  |  | $ | 5,741.7 |  |  | $ | 5,852.6 |
Sales to foreign unaffiliated customers during the years ended December 31, 2016, 2015, and 2014 were $289.5 million, $177.2 million, and $378.8 million, respectively. At December 31, 2016 and 2015, we did not have significant long-lived assets held by foreign operations. At December 31, 2014, the net carrying value of long-lived assets held by foreign operations, all of which were in our Packaging segment, was $12.4 million. The sales to foreign unaffiliated customers and the net carrying value of long-lived assets held by foreign operations decreased in 2015 as we completed the sale of our Hexacomb corrugated manufacturing operations in Europe and Mexico on April 1, 2015. An analysis of operations by reportable segment is as follows (dollars in millions):
|  | Sales, net |  | Operating Income (Loss) |  | Depreciation, Amortization, and Depletion |  | Capital Expenditures (j) |  | Assets
Year Ended December 31, 2016 |  | Trade |  | Inter- segment |  | Total |  |  |  |
Packaging |  | $ | 4,577.4 |  |  | $ | 7.4 |  |  | $ | 4,584.8 |  |  | $ | 711.1 |  | (a) | $ | 293.3 |  |  | $ | 239.9 |  |  | $ | 4,530.5 |
Paper |  | 1,093.9 |  |  | — |  |  | 1,093.9 |  |  | 138.1 |  | (b) | 59.6 |  |  | 31.6 |  |  | 946.2 |
Corporate and Other |  | 107.7 |  |  | 139.2 |  |  | 246.9 |  |  | (68.9 | ) | (c) | 5.1 |  |  | 2.8 |  |  | 300.3 |
Intersegment eliminations |  | — |  |  | (146.6 | ) |  | (146.6 | ) |  | — |  |  | — |  |  | — |  |  | — |
|  | $ | 5,779.0 |  |  | $ | — |  |  | $ | 5,779.0 |  |  | 780.3 |  |  | $ | 358.0 |  |  | $ | 274.3 |  |  | $ | 5,777.0 |
Interest expense, net |  |  |  |  |  |  |  | (91.8 | ) |  |  |  |  |  |
Income before taxes |  |  |  |  |  |  |  | $ | 688.5 |  |  |  |  |  |  |
|  | Sales, net |  | Operating Income (Loss) |  | Depreciation, Amortization, and Depletion |  | Capital Expenditures (j) |  | Assets
Year Ended December 31, 2015 |  | Trade |  | Inter- segment |  | Total |  |  |  |
Packaging |  | $ | 4,474.1 |  |  | $ | 3.2 |  |  | $ | 4,477.3 |  |  | $ | 714.9 |  | (d) | $ | 297.3 |  |  | $ | 250.3 |  |  | $ | 4,027.9 |
Paper |  | 1,143.1 |  |  | — |  |  | 1,143.1 |  |  | 112.5 |  | (e) | 54.9 |  |  | 58.5 |  |  | 976.5 |
Corporate and Other |  | 124.5 |  |  | 133.8 |  |  | 258.3 |  |  | (77.4 | ) | (f) | 4.3 |  |  | 5.7 |  |  | 267.9 |
Intersegment eliminations |  | — |  |  | (137.0 | ) |  | (137.0 | ) |  | — |  |  | — |  |  | — |  |  | — |
|  | $ | 5,741.7 |  |  | $ | — |  |  | $ | 5,741.7 |  |  | 750.0 |  |  | $ | 356.5 |  |  | $ | 314.5 |  |  | $ | 5,272.3 |
Interest expense, net |  |  |  |  |  |  |  | (85.5 | ) |  |  |  |  |  |
Income before taxes |  |  |  |  |  |  |  | $ | 664.5 |  |  |  |  |  |  |
|  | Sales, net |  | Operating Income (Loss) |  | Depreciation, Amortization, and Depletion |  | Capital Expenditures (j) |  | Assets
Year Ended December 31, 2014 |  | Trade |  | Inter- segment |  | Total |  |  |  |
Packaging |  | $ | 4,534.5 |  |  | $ | 5.8 |  |  | $ | 4,540.3 |  |  | $ | 663.2 |  | (g) | $ | 323.0 |  |  | $ | 362.1 |  |  | $ | 4,105.3 |
Paper |  | 1,201.4 |  |  | — |  |  | 1,201.4 |  |  | 135.4 |  |  | 50.6 |  |  | 51.7 |  |  | 968.6 |
Corporate and Other |  | 116.7 |  |  | 144.9 |  |  | 261.6 |  |  | (95.9 | ) | (h) | 7.4 |  |  | 6.4 |  |  | 184.8 |
Intersegment eliminations |  | — |  |  | (150.7 | ) |  | (150.7 | ) |  | — |  |  | — |  |  | — |  |  | — |
|  | $ | 5,852.6 |  |  | $ | — |  |  | $ | 5,852.6 |  |  | 702.7 |  |  | $ | 381.0 |  |  | $ | 420.2 |  |  | $ | 5,258.7 |
Interest expense, net |  |  |  |  |  |  |  | (88.4 | ) | (i) |  |  |  |  |
Income before taxes |  |  |  |  |  |  |  | $ | 614.3 |  |  |  |  |  |  |
____________
(a) | Includes $9.3 million of closure costs related to corrugated product facilities.
Includes $4.2 million of acquisition-related costs for the TimBar Corporation and Columbus Container, Inc. acquisitions. Includes $0.9 million of costs related to our withdrawal from a multiemployer pension plan for one of our corrugated products facilities.
(b) | Includes $2.7 million of costs related to ceased softwood market pulp operations at our Wallula, Washington mill and the permanent shut down of the No.1 machine.
Includes $1.7 million of closure costs related to a paper products facility.
(c) | Includes $0.3 million of acquisition-related costs for the TimBar Corporation acquisition.
(d) | Includes net charges of $2.0 million primarily related to restructuring activities at our mill in DeRidder, Louisiana and $4.1 million of Boise acquisition integration-related and other costs.
(e) | In September 2015, we sold the remaining land, buildings, and equipment at our paper mill site in St. Helens, Oregon where we ceased paper production in December 2012. We recorded a $6.7 million gain on the sale.
(f) | Includes $9.3 million of Boise acquisition integration-related and other costs. These costs primarily relate to professional fees, severance, retention, relocation, travel, and other integration-related costs.
(g) | Includes $65.8 million of costs related primarily to the conversion of the No. 3 newsprint machine at our DeRidder, Louisiana mill to produce lightweight linerboard and corrugating medium, and our exit from the newsprint business in September 2014. Includes $4.9 million of Boise acquisition integration-related and other costs.
(h) | Includes $13.5 million of Boise acquisition integration-related and other costs and $17.6 million of costs for the settlement of the Kleen Products LLC v Packaging Corp. of America et al class action lawsuit. See Note 18, Commitments, Guarantees, Indemnifications, and Legal Proceedings, for more information.
(i) | Includes $1.5 million of expense related to the write-off of deferred financing costs in connection with the debt refinancing discussed in Note 9, Debt.
(j) | Includes "Additions to property, plant, and equipment" and excludes cash used for "Acquisitions of businesses, net of cash acquired" as reported on our Consolidated Statements of Cash Flows.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 + Details
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