XML 37 R23.htm IDEA: XBRL DOCUMENT
v3.10.0.1

Segment Information | 12 Months Ended
--- | ---
Dec. 31, 2018
Segment Information |
Segment Information | NOTE 13 – Segment Information The Company is principally engaged in the production and sale of starches and sweeteners for a wide range of industries, and is managed geographically on a regional basis. The Company’s operations are classified into four reportable business segments: North America, South America, Asia Pacific, and Europe, Middle East, and Africa (“EMEA”). Its North America segment includes businesses in the U.S., Canada, and Mexico. The Company’s South America segment includes businesses in Brazil, Colombia, Ecuador, and the Southern Cone of South America, which includes Argentina, Chile, Peru, and Uruguay. Its Asia Pacific segment includes businesses in South Korea, Thailand, Malaysia, China, Japan, Indonesia, the Philippines, Singapore, India, Australia, and New Zealand. The Company’s EMEA segment includes businesses in the United Kingdom, Germany, South Africa, Pakistan, and Kenya. The Company does not aggregate its operating segments when determining its reportable segments. Net sales by product are not presented because to do so would be impracticable.
(in millions) |  | 2018 |  | 2017 |  | 2016
Net sales to unaffiliated customers: |  |  |  |  |  |  |  |  |
North America: |  |  |  |  |  |  |  |  |
Net sales before shipping and handling costs |  | $ | 3,857 |  | $ | 3,843 |  | $ | 3,734
Less: shipping and handling costs |  |  | 346 |  |  | 314 |  |  | 287
Net sales |  | $ | 3,511 |  | $ | 3,529 |  | $ | 3,447
South America: |  |  |  |  |  |  |  |  |
Net sales before shipping and handling costs |  | $ | 988 |  | $ | 1,052 |  | $ | 1,054
Less: shipping and handling costs |  |  | 45 |  |  | 45 |  |  | 44
Net sales |  | $ | 943 |  | $ | 1,007 |  | $ | 1,010
Asia Pacific: |  |  |  |  |  |  |  |  |
Net sales before shipping and handling costs |  | $ | 837 |  | $ | 772 |  | $ | 738
Less: shipping and handling costs |  |  | 34 |  |  | 32 |  |  | 29
Net sales |  | $ | 803 |  | $ | 740 |  | $ | 709
EMEA: |  |  |  |  |  |  |  |  |
Net sales before shipping and handling costs |  | $ | 607 |  | $ | 577 |  | $ | 556
Less: shipping and handling costs |  |  | 23 |  |  | 21 |  |  | 18
Net sales |  | $ | 584 |  | $ | 556 |  | $ | 538
(in millions) |  |  |  |  |  |  |  |  |
Operating income: |  |  | 2018 |  |  | 2017 |  | 2016
North America |  | $ | 545 |  | $ | 654 |  | $ | 606
South America |  |  | 99 |  |  | 81 |  |  | 90
Asia Pacific |  |  | 104 |  |  | 115 |  |  | 113
EMEA |  |  | 116 |  |  | 114 |  |  | 107
Corporate |  |  | (97) |  |  | (86) |  |  | (88)
Subtotal |  |  | 767 |  |  | 878 |  |  | 828
Restructuring/impairment charges (a) |  |  | (64) |  |  | (38) |  |  | (19)
Acquisition/integration costs |  |  | — |  |  | (4) |  |  | (3)
Charge for fair value markup of acquired inventory |  |  | — |  |  | (9) |  |  | —
Insurance settlement |  |  | — |  |  | 9 |  |  | —
Total operating income |  |  | 703 |  |  | 836 |  |  | 806
Financing costs, net |  |  | 86 |  |  | 73 |  |  | 66
Other, non-operating income |  |  | (4) |  |  | (6) |  |  | (2)
Income before income taxes |  | $ | 621 |  | $ | 769 |  | $ | 742
| (a) |  | For 2018, includes $49 million of restructuring expenses as part of the Cost Smart cost of sales program in relation to the cessation of wet-milling at the Stockton, California plant, $11 million of restructuring costs related to Cost Smart SG&A program, $3 million of costs related to the North America finance transformation program, and $1 million of costs related to the leaf extraction process in Brazil. For 2017, includes $17 million of employee-related severance and other costs associated with the restructuring in Argentina, $13 million of restructuring of related to the leaf extraction process in Brazil, $6 million of employee-related severance and other costs associated with the Finance Transformation initiative, and $2 million of other restructuring charges including employee-related severance costs in North America and a refinement of estimates for prior year restructuring activities. For 2016, includes $11 million of employee-related severance and other costs associated with the execution of IT outsourcing contracts, $6 million of employee-related severance costs associated with the optimization initiative in North America and South America, and $2 million of costs attributable to the Port Colborne plant sale.
For 2018, includes $49 million of restructuring expenses as part of the Cost Smart cost of sales program in relation to the cessation of wet-milling at the Stockton, California plant, $11 million of restructuring costs related to Cost Smart SG&A program, $3 million of costs related to the North America finance transformation program, and $1 million of costs related to the leaf extraction process in Brazil. For 2017, includes $17 million of employee-related severance and other costs associated with the restructuring in Argentina, $13 million of restructuring of related to the leaf extraction process in Brazil, $6 million of employee-related severance and other costs associated with the Finance Transformation initiative, and $2 million of other restructuring charges including employee-related severance costs in North America and a refinement of estimates for prior year restructuring activities. For 2016, includes $11 million of employee-related severance and other costs associated with the execution of IT outsourcing contracts, $6 million of employee-related severance costs associated with the optimization initiative in North America and South America, and $2 million of costs attributable to the Port Colborne plant sale.vFor 2018, includes $49 million of restructuring expenses as part of the Cost Smart cost of sales program in relation to the cessation of wet-milling at the Stockton, California plant, $11 million of restructuring costs related to Cost Smart SG&A program, $3 million of costs related to the North America finance transformation program, and $1 million of costs related to the leaf extraction process in Brazil. For 2017, includes $17 million of employee-related severance and other costs associated with the restructuring in Argentina, $13 million of restructuring of related to the leaf extraction process in Brazil, $6 million of employee-related severance and other costs associated with the Finance Transformation initiative, and $2 million of other restructuring charges including employee-related severance costs in North America and a refinement of estimates for prior year restructuring activities. For 2016, includes $11 million of employee-related severance and other costs associated with the execution of IT outsourcing contracts, $6 million of employee-related severance costs associated with the optimization initiative in North America and South America, and $2 million of costs attributable to the Port Colborne plant sale.For 2018, includes $49 million of restructuring expenses as part of the Cost Smart cost of sales program in relation to the cessation of wet-milling at the Stockton, California plant, $11 million of restructuring costs related to Cost Smart SG&A program, $3 million of costs related to the North America finance transformation program, and $1 million of costs related to the leaf extraction process in Brazil. For 2017, includes $17 million of employee-related severance and other costs associated with the restructuring in Argentina, $13 million of restructuring of related to the leaf extraction process in Brazil, $6 million of employee-related severance and other costs associated with the Finance Transformation initiative, and $2 million of other restructuring charges including employee-related severance costs in North America and a refinement of estimates for prior year restructuring activities. For 2016, includes $11 million of employee-related severance and other costs associated with the execution of IT outsourcing contracts, $6 million of employee-related severance costs associated with the optimization initiative in North America and South America, and $2 million of costs attributable to the Port Colborne plant sale. |  |  |  |  |  |  |
|  | As of December 31, |
(in millions) |  | 2018 |  | 2017 |
Total assets: |  |  |  |  |  |  |
North America (a) |  | $ | 3,737 |  | $ | 3,967 |
South America |  |  | 711 |  |  | 812 |
Asia Pacific |  |  | 792 |  |  | 774 |
EMEA |  |  | 488 |  |  | 527 |
Total |  | $ | 5,728 |  | $ | 6,080 |
| (a) |  | For purposes of presentation, North America includes Corporate assets.
(in millions) |  | 2018 |  | 2017 |  | 2016
Depreciation and amortization: |  |  |  |  |  |  |  |  |
North America (a) |  | $ | 180 |  | $ | 140 |  | $ | 130
South America |  |  | 24 |  |  | 27 |  |  | 26
Asia Pacific |  |  | 27 |  |  | 25 |  |  | 23
EMEA |  |  | 16 |  |  | 17 |  |  | 17
Total |  | $ | 247 |  | $ | 209 |  | $ | 196
Mechanical stores expense (b): |  |  |  |  |  |  |  |  |
North America (a) |  | $ | 38 |  | $ | 37 |  | $ | 37
South America |  |  | 11 |  |  | 12 |  |  | 12
Asia Pacific |  |  | 5 |  |  | 5 |  |  | 5
EMEA |  |  | 3 |  |  | 3 |  |  | 3
Total |  | $ | 57 |  | $ | 57 |  | $ | 57
Capital expenditures and mechanical stores purchases: |  |  |  |  |  |  |  |  |
North America (a) |  | $ | 232 |  | $ | 180 |  | $ | 167
South America |  |  | 61 |  |  | 50 |  |  | 56
Asia Pacific |  |  | 39 |  |  | 51 |  |  | 41
EMEA |  |  | 18 |  |  | 33 |  |  | 20
Total |  | $ | 350 |  | $ | 314 |  | $ | 284
| (a) |  | For purposes of presentation, North America includes Corporate activities of depreciation, amortization, capital expenditures, and mechanical stores purchase, respectively.
| (b) |  | Represents spare parts used in the production process. Such spare parts are recorded in PP&E as part of machinery and equipment until they are utilized in the manufacturing process and expensed as a period cost.
The following table presents net sales to unaffiliated customers by country of origin for the last three years:
|  | Net Sales |
(in millions) |  | 2018 |  | 2017 |  | 2016 |
U.S. |  | $ | 2,133 |  | $ | 2,191 |  | $ | 2,117 |
Mexico |  |  | 997 |  |  | 952 |  |  | 955 |
Brazil |  |  | 462 |  |  | 519 |  |  | 522 |
Canada |  |  | 381 |  |  | 385 |  |  | 375 |
Korea |  |  | 286 |  |  | 275 |  |  | 266 |
Others |  |  | 1,582 |  |  | 1,510 |  |  | 1,469 |
Total |  | $ | 5,841 |  | $ | 5,832 |  | $ | 5,704 |
The following table presents long-lived assets (excluding intangible assets and deferred income taxes) by country at December 31:
|  | Long-lived Assets
(in millions) |  | 2018 |  | 2017
U.S. |  | $ | 1,004 |  | $ | 977
Mexico |  |  | 318 |  |  | 306
Brazil |  |  | 207 |  |  | 235
Canada |  |  | 165 |  |  | 179
Thailand |  |  | 137 |  |  | 137
Germany |  |  | 129 |  |  | 133
Korea |  |  | 110 |  |  | 109
Others |  |  | 259 |  |  | 284
Total |  | $ | 2,329 |  | $ | 2,360

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration