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SEGMENT AND GEOGRAPHIC INFORMATION
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
SEGMENT AND GEOGRAPHIC INFORMATION SEGMENT AND GEOGRAPHIC INFORMATION

The Company has two operating segments that are organized primarily by product and generally have overlapping geographical presence, customer bases, distribution channels, and regulatory oversight. These operating segments are also the Company’s reportable segments in accordance with how the Company’s chief operating decision-maker regularly reviews financial results and uses this information to evaluate the Company’s performance and allocate resources.


The Company evaluates performance of the segments based on the net sales and adjusted operating income. Segment adjusted operating income is defined as operating income before income taxes and before certain corporate headquarters unallocated costs, restructuring and other costs, interest expense, interest income, other expense (income), net, amortization of intangible assets and depreciation resulting from the fair value step-up of property, plant, and equipment from acquisitions.



A description of the products and services provided within each of the Company’s two reportable segments is provided below.


Technologies & Equipment



This segment is responsible for the design, manufacture, and sales of the Company’s dental technology and equipment products and healthcare products. These products include dental implants, CAD/CAM systems, orthodontic clear aligners, imaging systems, treatment centers, instruments, as well as medical devices.


Consumables



This segment is responsible for the design, manufacture, and sales of the Company’s consumable products which include various preventive, restorative, endodontic, and dental laboratory products.



The Company’s segment information for the years ended December 31 was as follows:
Net Sales Year Ended December 31,
(in millions) 2021 2020 2019
Technologies & Equipment $ 2,504  $ 1,954  $ 2,271 
Consumables 1,727  1,385  1,751 
Total net sales $ 4,231  $ 3,339  $ 4,022 


Depreciation and Amortization Year Ended December 31,
(in millions) 2021 2020 2019
Technologies & Equipment $ 280  $ 261  $ 258 
Consumables 52  61  54 
All Other (a)
 15  12  11 
Total $ 347  $ 334  $ 323 
(a) Includes amounts recorded at Corporate headquarters.
Segment Adjusted Operating Income Year Ended December 31,
(in millions) 2021 2020 2019
Technologies & Equipment (a)
 $ 543  $ 382  $ 460 
Consumables (a)
 539  316  447 
Segment adjusted operating income $ 1,082  $ 698  $ 907 
Reconciling items (income) expense:      
All other (a) (b)
 229  269  277 
Goodwill impairment —  157  — 
Restructuring and other costs 17  77  81 
Interest expense, net 55  46  27 
Other expense (income), net 8  1  (12)
Amortization of intangible assets 222  192  189 
Depreciation resulting from the fair value step-up of property,
plant, and equipment from business combinations
 6  6  7 
Income (loss) before income taxes $ 545  $ (50) $ 338 
(a) $38 million of charges related to discontinuance of product lines, incurred in 2019, which were previously reported in adjusted operating income for the reportable segments, have been reclassified to the “All other” category to conform to current year presentation and our internal reporting to our Chief Operating Decision Maker package (“CODM”). These amounts are not material to the measure of segment results for the years presented.
(b) Includes the results of unassigned Corporate headquarters costs and inter-segment eliminations.

Capital Expenditures Year Ended December 31,
(in millions) 2021 2020 2019
Technologies & Equipment $ 100  $ 50  $ 73 
Consumables 37  26  34 
All Other (a)
 22  11  16 
Total $ 159  $ 87  $ 123 
(a) Includes capital expenditures of Corporate headquarters.

Assets Year Ended December 31,
(in millions) 2021 2020
Technologies & Equipment $ 6,902  $ 7,014 
Consumables 2,123  2,170 
All Other (a)
 214  166 
Total $ 9,239  $ 9,350 
(a) Includes the results of unassigned Corporate headquarters costs and inter-segment eliminations.
Geographic Information


The following tables set forth information about the Company’s significant operations by geographic areas, for the years ended December 31, 2021, 2020, and 2019. Net Sales reported below represent revenues from external customers in those respective countries based on the destination of shipments.
Year Ended December 31,
(in millions) 2021 2020 2019
Net sales
United States $ 1,484  $ 1,116  $ 1,377 
Germany 482  432  472 
Other Foreign 2,265  1,791  2,173 
Total net sales $ 4,231  $ 3,339  $ 4,022 

Property, plant and equipment, net, represents those long-lived assets held by the operating businesses located in the respective geographic areas.
Year Ended December 31,
(in millions) 2021 2020 2019
Property, plant, and equipment, net
United States $ 166  $ 145  $ 168 
Germany 309  337  327 
Sweden 107  110  99 
Other Foreign 191  199  208 
Total property, plant, and equipment, net $ 773  $ 791  $ 802 
Product and Customer Information

For information on the Company’s net sales by product category, including a description of the revenue streams comprising each of the reportable segments, see Note 2, Revenue.

Concentration Risk



For the year ended December 31, 2021, no customer accounted for 10% or more of consolidated net sales or consolidated accounts receivable balance. Customers that accounted for 10% or more of net sales and accounts receivable for the years ended December 31, 2020 and 2019 were as follows:
Year Ended December 31,
2020 2019
% of net sales % of accounts receivable % of net sales % of accounts receivable
Henry Schein, Inc. 14  % N/A 13  % 12  %
Patterson Companies, Inc. 10  % 18  % N/A 17  %


For the years ended December 31, 2021, 2020, and 2019, third party export sales from the U.S. were less than ten percent of consolidated net sales.