18.

Industry Segment Information

The Company has determined that it has

five

reportable segments organized around the types of product sold:

•	Food Service Equipment – an aggregation of eight operating segments that manufacture and sell commercial food service equipment;

•	Engraving – provides mold texturizing, slush molding tools, project management and design services, roll engraving, hygiene product tooling, low observation vents for stealth aircraft, and process machinery for a number of industries;

•	Engineering Technologies – provides net and near net formed single-source customized solutions in the manufacture of engineered components for the aviation, aerospace, defense, energy, industrial, medical, marine, oil and gas, and manned and unmanned space markets.

•	Electronics – manufacturing and selling of electronic components for applications throughout the end-user market spectrum; and

•	Hydraulics – manufacturing and selling of single and double-acting telescopic and piston rod hydraulic cylinders.

Net sales include only transactions with unaffiliated customers and include

significant intersegment or export sales. Operating income by segment and geographic area excludes general corporate and interest expenses. Assets of the Corporate segment consist primarily of cash, office equipment, and other non-current assets.

Given the nature of our corporate expenses, management has concluded that it would

not

be appropriate to allocate the expenses associated with corporate activities to our operating segments. These corporate expenses include the costs for the corporate headquarters, salaries and wages for the personnel in corporate, professional fees related to corporate matters and compliance efforts, stock-based compensation and post-retirement benefits related to our corporate executives, officers and directors, and other compliance related costs. The Company has a process to allocate and recharge certain direct costs to the operating segments when such direct costs are administered and paid at corporate. Such direct expenses that are recharged on an intercompany basis each month include such costs as insurance, workers’ compensation programs, audit fees and pension expense. The accounting policies applied by the reportable segments are the same as those described in the Summary of Accounting Policies footnote to the consolidated financial statements. There are

differences in accounting policies which would be necessary for an understanding of the reported segment information.

Industry Segments
(in thousands)	Net Sales						Depreciation and Amortization
	2017		2016		2015		2017		2016		2015
Food Service Equipment	$	380,970	$	381,867	$	408,706	$	5,206	$	5,030	$	5,176
Engraving		105,943		124,120		110,781		3,100		3,403		3,497
Engineering Technologies		90,506		82,235		97,018		5,976		5,363		4,278
Electronics		136,689		118,319		114,196		4,960		3,200		2,759
Hydraulics		41,150		45,045		41,441		730		651		665
Corporate and Other		-		-		-		343		306		309
Total	$	755,258	$	751,586	$	772,142	$	20,315	$	17,953	$	16,684

	Income (Loss) From Operations									Capital Expenditures (2)
	2017			2016			2015			2017		2016		2015
Food Service Equipment	$	33,436		$	40,142		$	37,456		$	5,088	$	4,560	$	4,791
Engraving		25,584			29,579			24,250			7,807		4,031		5,856
Engineering Technologies		9,662			8,258			13,097			6,510		6,562		8,025
Electronics		27,663			21,104			20,884			4,000		2,796		2,298
Hydraulics		6,712			7,947			7,013			1,058		988		784
Restructuring charge		(5,825	)		(4,232	)		(3,443	)		-		-		-
Acquisition-related costs		(7,843	)		-			-			-		-		-
Gain on sale of real estate		652			-			-			-		-		-
Other operating income (expense), net (1)		-			(7,458	)		438			-		-		-
Corporate		(25,015	)		(24,996	)		(21,051	)		418		96		268
Total	$	65,026		$	70,344		$	78,644		$	24,881	$	19,033	$	22,022
Interest expense		(4,043	)		(2,871	)		(3,161	)
Other, net		949			1,052			634
Income from continuing operations before income taxes	$	61,932		$	68,525		$	76,117

(

)

Other operating expense in

2016

consists primarily of a

$7.3

million charge to adjust the Roll, Plate, and Machinery business in the Engraving segment to its net realizable value. Amounts in

2015

are gains on insurance proceeds related to an event at an Engineering Technologies facility.

(

)

Includes capital expenditures in accounts payable of

$0.5

million,

$2.1

million, and

$0.9

million at

June 30, 2017,

2016,

and

2015

respectively.

	Restructuring Expense
	2017		2016		2015
Food Service Equipment	$	1,186	$	2,979	$	2,578
Engraving		6		92		220
Engineering Technologies		3,880		160		75
Electronics		498		841		570
Hydraulics		-		-		-
Corporate and Other		255		160		-
Total expense	$	5,825	$	4,232	$	3,443

	Goodwill				Identifiable Assets
	2017		2016		2017			2016 (4)
Food Service Equipment	$	63,464	$	56,804	$	243,414	$	206,875
Engraving		20,000		19,935		115,664		117,026
Engineering Technologies		44,120		44,321		150,805		147,866
Electronics		112,047		33,235		292,776		114,001
Hydraulics		3,059		3,059		21,405		19,084
Corporate & Other (3)		-		-		43,612		85,605
Total	$	242,690	$	157,354	$	867,676	$	690,457

(

)

The decrease of Corporate identifiable assets in the periods presented reflects the use of foreign corporate cash in

2017

to acquire Standex Electronics Japan. See discussion related to the purchase in Note

of the consolidated financial statements.

(

)

The identified assets as of

June 30, 2016

for certain segments have been revised from amounts previously reported due to certain immaterial allocation differences.

Net sales (5)	2017		2016		2015
United States	$	523,266	$	548,058	$	561,923
Asia Pacific		86,480		70,269		64,840
EMEA (6)		124,990		107,765		117,816
Other Americas		20,522		25,494		27,563
Total	$	755,258	$	751,586	$	772,142

(

)

Net sales were identified based on geographic location where our products and services were initiated.

(

)

EMEA consists primarily of Europe, Middle East and S. Africa.

Long-lived assets	2017		2016		2015
United States	$	84,365	$	76,545	$	76,274
Asia Pacific		30,268		7,035		7,047
EMEA (6)		15,816		17,287		18,604
Other Americas		2,711		5,819		6,611
Total	$	133,160	$	106,686	$	108,536

(

)

EMEA consists primarily of Europe, Middle East and S. Africa.