Segment Information

9 Months Ended

Sep. 30, 2019

The Company evaluates performance and allocates resources based on segment income, which is not a defined term under GAAP. The Company defines segment income as income from operations adjusted to exclude intangibles amortization charges, provisions for asbestos and restructuring and other, and the impact of fair value adjustments to inventory acquired in an acquisition.

Segment income should not be considered in isolation or as a substitute for net income prepared in accordance with GAAP and may not be comparable to calculations of similarly titled measures by other companies.

The tables below present information about the Company's operating segments.



	External Sales				External Sales
	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Americas Beverage	$	835	$	872	$	2,513	$	2,478
European Beverage	416		418		1,165		1,194
European Food	581		623		1,487		1,565
Asia Pacific	319		321		959		990
Transit Packaging	564		585		1,725		1,205
Total reportable segments	2,715		2,819		7,849		7,432
Non-reportable segments	369		355		1,025		985
Total	$	3,084	$	3,174	$	8,874	$	8,417

The primary sources of revenue included in non-reportable segments are the Company's food can and closures business in North America, aerosol can businesses in North America and Europe, its promotional packaging business in Europe and its tooling and equipment operations in the U.S. and U.K.



	Intersegment Sales				Intersegment Sales
	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Americas Beverage	$	4	$	14	$	10	$	48
European Beverage	—		—		2		1
European Food	20		15		60		58
Transit Packaging	2		2		6		3
Total reportable segments	26		31		78		110
Non-reportable segments	33		43		99		115
Total	$	59	$	74	$	177	$	225

Intersegment sales primarily include sales of ends and components used to manufacture cans, such as printed and coated metal, as well as parts and equipment used in the manufacturing process.



	Segment Income				Segment Income
	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Americas Beverage	$	134	$	125	$	386	$	336
European Beverage	64		66		163		180
European Food	79		90		189		231
Asia Pacific	47		46		143		137
Transit Packaging	74		81		227		175
Total reportable segments	$	398	$	408	$	1,108	$	1,059

A reconciliation of segment income of reportable segments to income before income taxes is as follows:



	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2019			2018			2019			2018
Segment income of reportable segments	$	398		$	408		$	1,108		$	1,059
Segment income of non-reportable segments	34			40			103			102
Corporate and unallocated items	(37		)	(33		)	(115		)	(112		)
Restructuring and other	—			1			41			(28		)
Amortization of intangibles	(42		)	(51		)	(136		)	(103		)
Accelerated depreciation	(1		)	—			(4		)	—
Fair value adjustment to inventory	—			—			—			(40		)
Other pension and postretirement	(1		)	13			(12		)	47
Loss from early extinguishments of debt	—			—			(6		)	—
Interest expense	(95		)	(105		)	(290		)	(282		)
Interest income	5			6			12			17
Foreign exchange	(4		)	14			(6		)	(14		)
Income before income taxes	$	257		$	293		$	695		$	646

For the three and nine months ended September 30, 2019, intercompany profits of $1 and $5 were eliminated within segment income of non-reportable segments. For the three and nine months ended September 30, 2018, intercompany profits of $3 and $7 were eliminated within segment income of non-reportable segments.

Corporate and unallocated items includes corporate and division administrative costs, technology costs and fair value adjustments for the sale of inventory acquired in an acquisition.