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Operating Segments | 12 Months Ended
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May 28, 2016
Segment Reporting [Abstract] |
Segment Reporting Disclosure | Operating Segments The company's reportable segments consist of North American Furniture Solutions, ELA ("EMEA, Latin America, and Asia Pacific") Furniture Solutions, Specialty, and Consumer. The North American Furniture Solutions reportable segment includes the operations associated with the design, manufacture, and sale of furniture products for work-related settings, including office, education, and healthcare environments, throughout the United States and Canada. ELA Furniture Solutions includes the operations associated with the design, manufacture, and sale of furniture products, primarily for work-related settings, in the EMEA, Latin America, and Asia-Pacific geographic regions. Specialty includes the operations associated with the design, manufacture, and sale of high-craft furniture products and textiles including Geiger wood products, Maharam textiles, and Herman Miller Collection products. The Consumer segment includes the operations associated with the sale of modern design furnishings and accessories to third party retail distributors, as well as direct to consumer sales through eCommerce and DWR studios. The company also reports a “Corporate” category consisting primarily of unallocated corporate expenses including restructuring, impairment, acquisition-related costs, and other unallocated corporate costs. The performance of the operating segments is evaluated by the company's management using various financial measures. The following is a summary of certain key financial measures for the respective fiscal years indicated:
(In millions) |  | 2016 |  | 2015 |  | 2014
Net Sales: |  |  |  |  |  |
North American Furniture Solutions |  | $ | 1,331.8 |  |  | $ | 1,241.9 |  |  | $ | 1,216.3 |
ELA Furniture Solutions |  | 412.6 |  |  | 409.9 |  |  | 392.2 |
Specialty |  | 231.8 |  |  | 219.9 |  |  | 205.8 |
Consumer |  | 288.7 |  |  | 270.5 |  |  | 67.7 |
Corporate |  | — |  |  | — |  |  | — |
Total |  | $ | 2,264.9 |  |  | $ | 2,142.2 |  |  | $ | 1,882.0 |
Depreciation and Amortization: |  |  |  |  |  |
North American Furniture Solutions |  | $ | 27.9 |  |  | $ | 26.5 |  |  | $ | 26.8 |
ELA Furniture Solutions |  | 8.5 |  |  | 8.2 |  |  | 7.6 |
Specialty |  | 7.4 |  |  | 7.4 |  |  | 6.8 |
Consumer |  | 8.6 |  |  | 7.3 |  |  | 1.2 |
Corporate |  | 0.6 |  |  | 0.4 |  |  | — |
Total |  | $ | 53.0 |  |  | $ | 49.8 |  |  | $ | 42.4 |
Operating Earnings (Losses): |  |  |  |  |  |
North American Furniture Solutions |  | $ | 152.0 |  |  | $ | 125.2 |  |  | $ | (27.0 | )
ELA Furniture Solutions |  | 35.3 |  |  | 25.9 |  |  | 23.1 |
Specialty |  | 16.4 |  |  | 13.5 |  |  | (5.3 | )
Consumer |  | 8.1 |  |  | 14.7 |  |  | 9.9 |
Corporate |  | (0.3 | ) |  | (15.9 | ) |  | (26.4 | )
Total |  | $ | 211.5 |  |  | $ | 163.4 |  |  | $ | (25.7 | )
Capital Expenditures: |  |  |  |  |  |
North American Furniture Solutions |  | $ | 56.8 |  |  | $ | 31.7 |  |  | $ | 28.9 |
ELA Furniture Solutions |  | 15.0 |  |  | 20.3 |  |  | 6.4 |
Specialty |  | 3.1 |  |  | 3.7 |  |  | 5.5 |
Consumer |  | 10.2 |  |  | 7.9 |  |  | — |
Corporate |  | — |  |  | — |  |  | — |
Total |  | $ | 85.1 |  |  | $ | 63.6 |  |  | $ | 40.8 |
Total Assets: |  |  |  |  |  |
North American Furniture Solutions |  | $ | 531.7 |  |  | $ | 504.5 |  |  | $ | 461.5 |
ELA Furniture Solutions |  | 218.4 |  |  | 235.4 |  |  | 244.8 |
Specialty |  | 147.3 |  |  | 151.6 |  |  | 157.7 |
Consumer |  | 245.3 |  |  | 231.8 |  |  | 18.8 |
Corporate |  | 92.5 |  |  | 69.4 |  |  | 112.6 |
Total |  | $ | 1,235.2 |  |  | $ | 1,192.7 |  |  | $ | 995.4 |
Goodwill: |  |  |  |  |  |
North American Furniture Solutions |  | $ | 135.8 |  |  | $ | 135.8 |  |  | $ | 135.8 |
ELA Furniture Solutions |  | 40.9 |  |  | 41.9 |  |  | 42.6 |
Specialty |  | 49.8 |  |  | 49.8 |  |  | 49.8 |
Consumer |  | 78.8 |  |  | 75.6 |  |  | — |
Corporate |  | — |  |  | — |  |  | — |
Total |  | $ | 305.3 |  |  | $ | 303.1 |  |  | $ | 228.2 |
The accounting policies of the reportable operating segments are the same as those of the company. Additionally, the company employs a methodology for allocating corporate costs and assets with the underlying objective of this methodology being to allocate corporate costs according to the relative usage of the underlying resources and to allocate corporate assets according to the relative expected benefit. The majority of the allocations for corporate expenses are based on relative net sales. However, certain corporate costs, generally considered the result of isolated business decisions, are not subject to allocation and are evaluated separately from the rest of the regular ongoing business operations. For example, restructuring and impairment expenses that are reflected in operating earnings are allocated to the “Corporate” category. In addition, cash and cash equivalents and marketable securities are allocated to the “Corporate” category as the company views these as corporate assets. The restructuring and asset impairment charges of $12.7 million and $26.5 million in fiscal 2015 and fiscal 2014, respectively, are discussed in Note 17 of the Consolidated Financial Statements and were allocated to the “Corporate” category. The company's product offerings consist primarily of office furniture systems, seating, freestanding furniture, storage and casegoods. These product offerings are marketed, distributed, and managed primarily as a group of similar products on an overall portfolio basis. The following is a summary of net sales estimated by product category for the respective fiscal years indicated.
(In millions) |  | 2016 |  | 2015 |  | 2014
Net Sales: |  |  |  |  |  |
Systems |  | $ | 656.8 |  |  | $ | 563.4 |  |  | $ | 571.6 |
Seating |  | 855.5 |  |  | 805.5 |  |  | 658.2 |
Freestanding and storage |  | 456.9 |  |  | 484.1 |  |  | 386.4 |
Other (1) |  | 295.7 |  |  | 289.2 |  |  | 265.8 |
Total |  | $ | 2,264.9 |  |  | $ | 2,142.2 |  |  | $ | 1,882.0 |
(1) “Other” primarily consists of textiles or uncategorized product sales and service sales. Sales by geographic area are based on the location of the customer. Long-lived assets consist of long-term assets of the company, excluding financial instruments, deferred tax assets, and long-term intangibles. The following is a summary of geographic information for the respective fiscal years indicated. Individual foreign country information is not provided as none of the individual foreign countries in which the company operates are considered material for separate disclosure based on quantitative and qualitative considerations.
(In millions) |  | 2016 |  | 2015 |  | 2014
Net Sales: |  |  |  |  |  |
United States |  | $ | 1,757.0 |  |  | $ | 1,640.6 |  |  | $ | 1,406.3 |
International |  | 507.9 |  |  | 501.6 |  |  | 475.7 |
Total |  | $ | 2,264.9 |  |  | $ | 2,142.2 |  |  | $ | 1,882.0 |
(In millions) |  | 2016 |  | 2015 |  | 2014
Long-lived assets: |  |  |  |  |  |
United States |  | $ | 254.8 |  |  | $ | 224.2 |  |  | $ | 177.0 |
International |  | 48.1 |  |  | 53.8 |  |  | 35.4 |
Total |  | $ | 302.9 |  |  | $ | 278.0 |  |  | $ | 212.4 |
The company estimates that no single dealer accounted for more than 5 percent of the company's net sales in the fiscal year ended May 28, 2016. The company estimates that the largest single end-user customer, the U.S. federal government, accounted for $88 million, $97 million, and $102 million of the company's net sales in fiscal 2016, 2015, and 2014, respectively. This represents approximately 4 percent, 5 percent and 5 percent of the company's net sales in fiscal 2016, 2015, and 2014, respectively. Approximately 15.6 percent of the company's employees are covered by collective bargaining agreements, most of whom are employees of its Nemschoff, Herman Miller Ningbo, and Herman Miller Dongguan subsidiaries.

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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8981-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9038-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8595-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9031-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8538-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8864-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8906-108599 + Details
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