Segment Information

We are organized into six geographic operating segments based on management responsibilities. The operating segments have been aggregated (based on economic similarities, the nature of their products, end-user markets and methods of distribution) into three reportable segments: Americas, International and Corporate.

The Americas segment is comprised of our operations in North America and Latin America geographies. The International segment is comprised of our operations in all geographies outside of the Americas. Certain global expenses are allocated to each segment in a manner consistent with where the benefits from the expenses are derived.

The Company's sales are allocated to each country based primarily on the destination of the end-customer.

Adjusted operating income (loss) and adjusted operating margin are the measures used by the chief operating decision maker to evaluate segment performance and allocate resources. Adjusted operating income (loss) is defined as operating income from continuing operations excluding restructuring charges, currency exchange gains (losses), other operating expense and strategic transaction costs. Adjusted operating margin is defined as adjusted operating income (loss) divided by segment sales to external customers. Adjusted operating income (loss) and adjusted operating margin are not recognized terms under U.S. GAAP, and therefore, do not purport to be alternatives to operating income or operating margin from continuing operations as a measure of operating performance. Further, the Company's measure of adjusted operating income (loss) and adjusted operating margin may not be comparable to similarly titled measures of other companies. Adjusted operating income (loss) on a consolidated basis is presented in the following table to reconcile the segment operating performance measure to operating income as presented on the Consolidated Statement of Income.

The accounting principles applied at the operating segment level in determining operating income (loss) are generally the same as those applied at the consolidated financial statement level. Sales and transfers between operating segments are accounted for at market-based transaction prices and are eliminated in consolidation.

Reportable segment information is presented in the following table:



(In thousands)	Americas			International			Corporate			Reconciling Items⁽¹⁾			Consolidated Totals
2018
Sales to external customers	$	854,287		$	503,817		$	—		$	—		$	1,358,104
Intercompany sales	136,534			336,361			—			(472,895		)	—
Operating income													173,479
Restructuring and other charges (Note 2)													13,247
Currency exchange losses, net													2,330
Other operating expense (Note 19)													45,327
Strategic transaction costs (Note 13)													421
Adjusted operating income (loss)	206,839			59,866			(31,901		)	—			234,804
Adjusted operating margin %	24.2		%	11.9		%
Noncash items:
Depreciation and amortization	24,143			13,303			406			—			37,852
Pension (income) expense	(1,201		)	7,102			—			—			5,901
Total Assets	1,077,938			522,042			10,842			(2,810		)	1,608,012
Capital expenditures	25,001			8,959			—			—			33,960
2017
Sales to external customers	$	736,847		$	459,962		$	—		$	—		$	1,196,809
Intercompany sales	124,886			304,376			—			(429,262		)	—
Operating income													39,577
Restructuring and other charges (Note 2)													17,632
Currency exchange losses, net													5,127
Other operating expense (Note 19)													126,432
Strategic transaction costs (Note 13)													4,225
Adjusted operating income (loss)	175,589			50,391			(32,987		)	—			192,993
Adjusted operating margin %	23.8		%	11.0		%
Noncash items:
Depreciation and amortization	23,207			14,265			405			—			37,877
Pension (income) expense	246			6,896			—			—			7,142
Total Assets	1,110,698			563,480			12,099			(1,451		)	1,684,826
Capital expenditures	16,910			6,815			—			—			23,725
2016
Sales to external customers	$	678,433		$	471,097		$	—		$	—		$	1,149,530
Intercompany sales	113,273			275,640			—			(388,913		)	—
Operating income													160,702
Restructuring and other charges (Note 2)													5,694
Currency exchange losses, net													766
Other operating expense (Note 19)													—
Strategic transaction costs (Note 13)													2,531
Adjusted operating income (loss)	154,298			51,490			(36,095		)	—			169,693
Adjusted operating margin %	22.7		%	10.9		%
Noncash items:
Depreciation and amortization	21,046			13,821			406			—			35,273
Pension (income) expense	(544		)	6,876			—			—			6,332
Total Assets	836,243			505,278			10,903			1,496			1,353,920
Capital expenditures	16,306			9,217			—			—			25,523

⁽¹⁾Reconciling items consist primarily of intercompany eliminations and items not directly attributable to operating segments.

Geographic information on sales to external customers, based on country of origin:



(In thousands)	2018		2017		2016
United States	$	734,033	$	622,276	$	580,724
Other	624,071		574,533		568,806
Total	$	1,358,104	$	1,196,809	$	1,149,530

Geographic information on long-lived assets, based on country of origin:



(In thousands)	2018		2017		2016
United States	$	92,511	$	91,730	$	84,674
Other	65,429		65,284		64,004
Total	$	157,940	$	157,014	$	148,678

Total sales by product group was as follows:



2018	Consolidated			Americas			International
(In thousands)	Dollars		Percent	Dollars		Percent	Dollars		Percent
Breathing Apparatus	$	324,672	24%	$	205,100	24%	$	119,572	24%
Fixed Gas & Flame Detection	262,432		19%	135,922		16%	126,510		25%
Firefighter Helmets & Protective Apparel	169,679		13%	136,794		16%	32,885		6%
Portable Gas Detection	163,716		12%	109,401		13%	54,315		11%
Industrial Head Protection	146,388		11%	114,465		13%	31,923		6%
Fall Protection	109,472		8%	61,289		7%	48,183		10%
Other	181,745		13%	91,316		11%	90,429		18%
Total	$	1,358,104	100%	$	854,287	100%	$	503,817	100%

2017	Consolidated			Americas			International
(In thousands)	Dollars		Percent	Dollars		Percent	Dollars		Percent
Breathing Apparatus	$	292,448	24%	$	191,457	26%	$	100,991	22%
Fixed Gas & Flame Detection	248,047		21%	123,414		17%	124,633		27%
Firefighter Helmets & Protective Apparel	103,441		9%	69,767		9%	33,674		7%
Portable Gas Detection	149,063		12%	98,580		13%	50,483		11%
Industrial Head Protection	133,180		11%	105,514		14%	27,666		6%
Fall Protection	98,929		8%	54,468		7%	44,461		10%
Other	171,701		15%	93,647		14%	78,054		17%
Total	$	1,196,809	100%	$	736,847	100%	$	459,962	100%

2016	Consolidated			Americas			International
(In thousands)	Dollars		Percent	Dollars		Percent	Dollars		Percent
Breathing Apparatus	$	303,364	26%	$	199,252	29%	$	104,112	22%
Fixed Gas & Flame Detection	239,601		21%	125,697		19%	113,904		24%
Firefighter Helmets & Protective Apparel	52,577		5%	21,880		3%	30,697		6%
Portable Gas Detection	142,784		12%	91,200		13%	51,584		11%
Industrial Head Protection	118,197		10%	94,750		14%	23,447		5%
Fall Protection	97,021		8%	44,571		7%	52,450		11%
Other	195,986		18%	101,083		15%	94,903		21%
Total	$	1,149,530	100%	$	678,433	100%	$	471,097	100%