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Business Segment Information | 12 Months Ended
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Dec. 31, 2019
Business Segment Information |
Business Segment Information | 3. Business Segment Information ​ Ball’s operations are organized and reviewed by management along its product lines and geographical areas and presented in the four reportable segments outlined below: ​ Beverage packaging, North and Central America: Consists of operations in the U.S., Canada and Mexico that manufacture and sell metal beverage containers throughout those countries. ​ Beverage packaging, South America: Consists of operations in Brazil, Argentina, Chile and Paraguay that manufacture and sell metal beverage containers throughout most of South America. ​ Beverage packaging, Europe: Consists of operations in numerous countries in Europe, including Russia, that manufacture and sell metal beverage containers throughout most of Europe. ​ Aerospace: Consists of operations that manufacture and sell aerospace and other related products and provide services used in the defense, civil space and commercial space industries. ​ As presented in the tables below, Other consists of non-reportable segments located in Africa, Middle East and Asia (beverage packaging, AMEA) and Asia Pacific (beverage packaging, Asia Pacific) that manufacture and sell metal beverage containers; a non-reportable segment that manufactures and sells aerosol containers, extruded aluminum aerosol containers and aluminum slugs (aerosol packaging); undistributed corporate expenses; intercompany eliminations and other business activities. ​ The accounting policies of the segments are the same as those in the consolidated financial statements, as discussed in Note 1. The company also has investments in operations in Guatemala, Panama, South Korea, the U.S. and Vietnam that are accounted for under the equity method of accounting and, accordingly, those results are not included in segment sales or earnings. ​ Beginning in January 2020, Ball has changed how the beverage packaging, AMEA, and beverage packaging, Asia Pacific, operating segments are being managed and reported for the purposes of cost reduction and operational efficiency. The plants in Cairo, Egypt, and Manisa, Turkey, will be consolidated with the existing reportable beverage packaging, Europe, operating segment. The company’s operations in India and Saudi Arabia will be managed with the remainder of the beverage packaging, Asia Pacific, operating segment resulting in a new non-reportable beverage packaging, other, operating segment. The 2019 results for the Aluminum Cups business were reported in undistributed corporate expenses. Beginning in January 2020, the Aluminum Cups business will be a non-reportable operating segment. These changes will be reflected in the segment financial reporting beginning the first quarter of 2020 including comparative historical periods. ​ Major Customers ​ Net sales to major customers, as a percentage of consolidated net sales, were as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | 2019 |  | 2018 |  | 2017 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
U.S. Government | ​ | 13 | % | 10 | % | 9 | %
Anheuser-Busch InBev and affiliates | ​ | 12 | % | 13 | % | 14 | %
Coca-Cola Bottlers' Sales & Services Company LLC and affiliates | ​ | 9 | % | 12 | % | 11 | %
​ Summary of Net Sales by Geographic Area (a) ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
($ in millions) |  | U.S. | ​ | Brazil |  | Other |  | Consolidated
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2019 | ​ | $ | 5,747 | ​ | $ | 1,351 | ​ | $ | 4,376 | ​ | $ | 11,474
2018 | ​ | ​ | 5,783 | ​ | ​ | 1,380 | ​ | ​ | 4,472 | ​ | ​ | 11,635
2017 | ​ | ​ | 5,496 | ​ | ​ | 1,427 | ​ | ​ | 4,060 | ​ | ​ | 10,983
(a) | Revenue is attributed based on origin of sale and includes intercompany eliminations.
​ Summary of Net Long-Lived Assets by Geographic Area (a) ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
($ in millions) |  | U.S. |  | Brazil | ​ | U.K. |  | Other |  | Consolidated
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
As of December 31, 2019 | ​ | $ | 2,024 | ​ | $ | 750 | ​ | $ | 626 | ​ | $ | 2,655 | ​ | $ | 6,055
As of December 31, 2018 | ​ | ​ | 1,708 | ​ | ​ | 865 | ​ | ​ | 701 | ​ | ​ | 2,677 | ​ | ​ | 5,951
(a) | Long-lived assets exclude goodwill and intangible assets.
​ Summary of Business by Segment ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | Years Ended December 31,
($ in millions) |  | ​ | 2019 |  | 2018 |  | 2017
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Net sales | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Beverage packaging, North and Central America | ​ | ​ | $ | 4,758 | ​ | $ | 4,626 | ​ | $ | 4,178
Beverage packaging, South America | ​ | ​ | ​ | 1,670 | ​ | ​ | 1,701 | ​ | ​ | 1,692
Beverage packaging, Europe | ​ | ​ | ​ | 2,651 | ​ | ​ | 2,619 | ​ | ​ | 2,360
Aerospace | ​ | ​ | ​ | 1,479 | ​ | ​ | 1,196 | ​ | ​ | 991
Reportable segment sales | ​ | ​ | ​ | 10,558 | ​ | ​ | 10,142 | ​ | ​ | 9,221
Other | ​ | ​ | ​ | 916 | ​ | ​ | 1,493 | ​ | ​ | 1,762
Net sales | ​ | ​ | $ | 11,474 | ​ | $ | 11,635 | ​ | $ | 10,983
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Comparable operating earnings | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Beverage packaging, North and Central America | ​ | ​ | $ | 555 | ​ | $ | 551 | ​ | $ | 533
Beverage packaging, South America | ​ | ​ | ​ | 288 | ​ | ​ | 313 | ​ | ​ | 333
Beverage packaging, Europe | ​ | ​ | ​ | 308 | ​ | ​ | 282 | ​ | ​ | 233
Aerospace | ​ | ​ | ​ | 140 | ​ | ​ | 113 | ​ | ​ | 98
Reportable segment comparable operating earnings | ​ | ​ | ​ | 1,291 | ​ | ​ | 1,259 | ​ | ​ | 1,197
Reconciling items | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Other (a) | ​ | ​ | ​ | 40 | ​ | ​ | 31 | ​ | ​ | 23
Business consolidation and other activities | ​ | ​ | ​ | (244) | ​ | ​ | (191) | ​ | ​ | (221)
Amortization of acquired Rexam intangibles | ​ | ​ | ​ | (155) | ​ | ​ | (164) | ​ | ​ | (162)
Catch-up depreciation and amortization for 2016 from finalization of Rexam valuation | ​ | ​ | ​ | — | ​ | ​ | — | ​ | ​ | (35)
Earnings before interest and taxes | ​ | ​ | ​ | 932 | ​ | ​ | 935 | ​ | ​ | 802
Interest expense | ​ | ​ | ​ | (317) | ​ | ​ | (301) | ​ | ​ | (285)
Debt refinancing and other costs | ​ | ​ | ​ | (7) | ​ | ​ | (1) | ​ | ​ | (3)
Total interest expense | ​ | ​ | ​ | (324) | ​ | ​ | (302) | ​ | ​ | (288)
Earnings before taxes | ​ | ​ | ​ | 608 | ​ | ​ | 633 | ​ | ​ | 514
(a) | Includes undistributed corporate expenses, net, of $54 million, $85 million and $128 million for the years ended December 2019, 2018 and 2017, respectively.
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Years Ended December 31,
($ in millions) |  | 2019 |  | 2018 |  | 2017
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Depreciation and amortization (a) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Beverage packaging, North and Central America | ​ | $ | 190 | ​ | $ | 184 | ​ | $ | 179
Beverage packaging, South America | ​ | ​ | 136 | ​ | ​ | 131 | ​ | ​ | 144
Beverage packaging, Europe | ​ | ​ | 231 | ​ | ​ | 238 | ​ | ​ | 254
Aerospace | ​ | ​ | 43 | ​ | ​ | 33 | ​ | ​ | 31
Reportable segment depreciation and amortization | ​ | ​ | 600 | ​ | ​ | 586 | ​ | ​ | 608
Other | ​ | ​ | 78 | ​ | ​ | 116 | ​ | ​ | 121
Depreciation and amortization | ​ | $ | 678 | ​ | $ | 702 | ​ | $ | 729
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Capital expenditures | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Beverage packaging, North and Central America | ​ | $ | 139 | ​ | $ | 322 | ​ | $ | 283
Beverage packaging, South America | ​ | ​ | 150 | ​ | ​ | 106 | ​ | ​ | 36
Beverage packaging, Europe | ​ | ​ | 144 | ​ | ​ | 194 | ​ | ​ | 81
Aerospace | ​ | ​ | 96 | ​ | ​ | 130 | ​ | ​ | 70
Reportable segment capital expenditures | ​ | ​ | 529 | ​ | ​ | 752 | ​ | ​ | 470
Other | ​ | ​ | 69 | ​ | ​ | 64 | ​ | ​ | 86
Capital expenditures | ​ | $ | 598 | ​ | $ | 816 | ​ | $ | 556
​
(a) | Includes amortization of acquired Rexam intangibles.
​ The company does not disclose total assets by segment as it is not provided to the chief operating decision maker.

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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