BUSINESS SEGMENTS

The reportable segments are determined by management based upon factors such as products and services, production processes, technologies, market dynamics, and for which segment financial information is available for our chief operating decision maker.

For a description of our business segments see Note 1 of our Notes to Consolidated Financial Statements. We evaluate performance based on the operating earnings of the respective business segments, which includes certain allocations of corporate selling, general and administrative expenses. The segment results may not represent the actual results that would be expected if they were independent, stand-alone businesses. Intersegment eliminations, including profit on intersegment sales, mark-to-market gains/losses on derivatives, debt expenses, Streamsong Resort® results of operations and the results of the China and India distribution business are included within Corporate, Eliminations and Other.

Segment information for the years 2018, 2017 and 2016 is as follows:



(in millions)	Phosphates			Potash			Mosaic Fertilizantes			Corporate, Eliminations and Other (a)			Total
Year Ended December 31, 2018
Net sales to external customers	$	3,106.3		$	2,154.8		$	3,747.1		$	579.1		$	9,587.3
Intersegment net sales	780.0			19.1			—			(799.1		)	—
Net sales	3,886.3			2,173.9			3,747.1			(220.0		)	9,587.3
Gross margin	581.5			597.2			382.9			(63.2		)	1,498.4
Canadian resource taxes	—			159.4			—			—			159.4
Gross margin (excluding Canadian resource taxes)	581.5			756.6			382.9			(63.2		)	1,657.8
Operating earnings	414.8			454.1			227.0			(167.6		)	928.3
Capital expenditures	393.9			410.5			148.2			1.9			954.5
Depreciation, depletion and amortization expense	403.7			301.5			158.5			20.2			883.9
Equity in net earnings (loss) of nonconsolidated companies	(4.6		)	—			—			0.1			(4.5		)
Year Ended December 31, 2017													—
Net sales to external customers	$	2,826.6		$	1,836.5		$	2,220.1		$	526.2		$	7,409.4
Intersegment net sales	762.6			16.1			—			(778.7		)	—
Net sales	3,589.2			1,852.6			2,220.1			(252.5		)	7,409.4
Gross margin	332.2			391.6			128.6			(9.6		)	842.8
Canadian resource taxes	—			70.1			—			—			70.1
Gross margin (excluding Canadian resource taxes)	332.2			461.7			128.6			(9.6		)	912.9
Operating earnings	191.6			281.3			63.1			(70.3		)	465.7
Capital expenditures	401.0			371.6			32.7			14.8			820.1
Depreciation, depletion and amortization expense	338.0			287.2			16.9			23.4			665.5
Equity in net earnings (loss) of nonconsolidated companies	16.0			—			—			0.7			16.7
Year Ended December 31, 2016
Net sales to external customers	$	2,928.4		$	1,673.0		$	2,113.9		$	447.5		$	7,162.8
Intersegment net sales	782.5			12.7			—			(795.2		)	—
Net sales	3,710.9			1,685.7			2,113.9			(347.7		)	7,162.8
Gross margin	349.8			256.6			125.0			78.6			810.0
Canadian resource taxes	—			101.1			—			—			101.1
Gross margin (excluding Canadian resource taxes)	349.8			357.7			125.0			78.6			911.1
Operating earnings	47.8			138.8			64.8			67.6			319.0
Capital expenditures	380.0			416.7			23.7			22.7			843.1
Depreciation, depletion and amortization expense	362.4			308.7			15.1			25.0			711.2
Equity in net earnings (loss) of nonconsolidated companies	0.2			(15.5		)	(0.1		)	—			(15.4		)
Total assets as of December 31, 2018	$	7,877.3		$	7,763.1		$	3,952.4		$	526.4		$	20,119.2
Total assets as of December 31, 2017	7,700.6			8,301.7			1,376.7			1,254.4			18,633.4
Total assets as of December 31, 2016	7,679.7			7,777.9			1,249.7			133.4			16,840.7

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(a)	The "Corporate, Eliminations and Other" category includes the results of our ancillary distribution operations in India and China. For the years ended December 31, 2018, 2017 and 2016, distribution operations in India and China had revenues of $533.9 million, $493.2 million, and $419.6 million, respectively and gross margins of $42.8 million, $46.9 million, and $21.2 million, respectively.

Financial information relating to our operations by geographic area is as follows:



	Years Ended December 31,
(in millions)	2018		2017		2016
Net sales^(a):
Brazil	$	3,727.7	$	2,199.0	$	2,127.0
Canpotex^(b)	820.2		700.6		604.5
Canada	639.0		508.9		498.2
India	304.4		305.2		296.7
China	231.7		206.4		171.2
Australia	136.0		147.0		121.0
Mexico	133.9		131.8		125.0
Colombia	101.5		86.9		104.9
Paraguay	100.7		113.8		106.6
Japan	92.2		71.7		82.7
Peru	82.6		56.9		68.3
Argentina	70.5		53.1		67.1
Honduras	28.7		20.6		25.6
Thailand	28.1		20.9		21.2
Other	118.4		105.6		65.1
Total international countries	6,615.6		4,728.4		4,485.1
United States	2,971.7		2,681.0		2,677.7
Consolidated	$	9,587.3	$	7,409.4	$	7,162.8

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(a)	Revenues are attributed to countries based on location of customer.


(b)	Canpotex is the export association of the Saskatchewan potash producers. Canpotex sells approximately 24% of its sales volumes to Brazil, 18% to China, 10% to India, 10% to Indonesia and 38% to the rest of the world.



	December 31,
(in millions)	2018		2017
Long-lived assets:
Canada	$	4,764.8	$	5,457.1
Brazil	1,886.0		326.0
Other	123.2		103.7
Total international countries	6,774.0		5,886.8
United States	7,056.9		6,181.9
Consolidated	$	13,830.9	$	12,068.7

Excluded from the table above as of December 31, 2018 and 2017, are goodwill of $1,707.5 million and $1,693.6 million and deferred income taxes of $343.8 million and $254.6 million, respectively.

Net sales by product type for the years 2018, 2017 and 2016 are as follows:



	Years Ended December 31,
(in millions)	2018		2017		2016
Sales by product type:
Phosphate Crop Nutrients	$	2,956.8	$	2,266.7	$	2,369.2
Potash Crop Nutrients	2,755.9		2,180.6		1,889.1
Crop Nutrient Blends	1,418.9		1,384.2		1,403.1
Specialty Products^(a)	1,844.8		1,319.8		1,266.5
Phosphate Rock	53.0		—		—
Other^(b)	557.9		258.1		234.9
	$	9,587.3	$	7,409.4	$	7,162.8

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(a)	Includes sales of MicroEssentials^®, K-Mag, Aspire and animal feed ingredients.


(b)	Includes sales of industrial potash.