XML 63 R24.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Information by Segment and Geographic Area | 12 Months Ended
--- | ---
Dec. 31, 2012
Segment Reporting [Abstract] |
Information by Segment and Georgraphic Area | Information by Segment and Geographic Area The Company reports information about its operating segments using the "management approach," which is based on the way management organizes and reports the segments within the enterprise for making operating decisions and assessing performance. The Company's reportable segments are identified based upon differences in products, services and markets served. The Company has four reportable segments. These segments and the types of products and services offered include the following: Harsco Metals & Minerals Segment These businesses provide on-site, outsourced services to steel mills and other metal producers such as aluminum and copper. Services include slag processing; semi-finished inventory management; material handling; scrap management; in-plant transportation; and a variety of other services. Other major products and services include minerals and recycling technologies; environmental solutions for metals and mining customers' waste streams; and granules for asphalt roofing shingles as well as abrasives for industrial surface preparation derived from coal slag. Major customers include steel mills and asphalt roofing manufacturers. Harsco Infrastructure Segment Major services include project engineering and equipment installation, as well as the sale and rental of scaffolding, shoring and concrete forming systems for industrial maintenance and capital improvement projects, civil infrastructure projects, non-residential construction, and international multi-dwelling residential construction projects. Services are provided to industrial and petrochemical plants; the infrastructure construction, repair and maintenance markets; commercial and industrial construction contractors; and public utilities. Harsco Rail Segment This segment manufactures railway track maintenance equipment and provides track maintenance services. The major customers include private and government-owned railroads and urban mass transit systems worldwide. Harsco Industrial Segment Major products include industrial grating; air-cooled heat exchangers; and boilers and water heaters. Major customers include industrial plants and the non-residential, commercial and public construction and retrofit markets; and the natural gas exploration and processing industry. Other Information The measurement basis of segment profit or loss is operating income (loss). There are no significant inter-segment sales. Corporate assets include principally cash, prepaid taxes, fair value of derivative instruments and U.S. deferred income taxes. Countries with revenues from unaffiliated customers and net property, plant and equipment of ten percent or more of the consolidated totals (in at least one period presented) are as follows: Information by Geographic Area (a)
|  | Revenues from Unaffiliated Customers |  | Property, Plant and Equipment, Net
|  | Twelve Months Ended |  | Balances at
|  | December 31 |  | December 31
(In thousands) |  | 2012 |  | 2011 |  | 2010 |  | 2012 |  | 2011 |  | 2010
United States |  | $ | 1,108,051 |  |  | $ | 1,087,454 |  |  | $ | 1,010,290 |  |  | $ | 242,890 |  |  | $ | 276,966 |  |  | $ | 291,470 |
United Kingdom |  | 331,894 |  |  | 398,222 |  |  | 420,458 |  |  | 115,775 |  |  | 114,521 |  |  | 141,014 |
All Other |  | 1,606,073 |  |  | 1,817,064 |  |  | 1,607,930 |  |  | 907,560 |  |  | 882,997 |  |  | 934,489 |
Totals including Corporate |  | $ | 3,046,018 |  |  | $ | 3,302,740 |  |  | $ | 3,038,678 |  |  | $ | 1,266,225 |  |  | $ | 1,274,484 |  |  | $ | 1,366,973 |
(a) | Revenues are attributed to individual countries based on the location of the facility generating the revenue.
In 2012, 2011 and 2010, sales to one customer, ArcelorMittal, principally in the Harsco Metals & Minerals Segment, were $283.3 million, $361.9 million and $359.0 million, respectively. For 2011 and 2010, these amounts represented more than 10% of the Company's consolidated revenues. These revenues were provided under multiple long-term contracts at several mill sites. In addition, the Harsco Metals & Minerals Segment is dependent largely on the global steel industry, and in 2012, 2011 and 2010 there were two customers, including ArcelorMittal, that each provided in excess of 10% of this Segment's revenues under multiple long-term contracts at several mill sites. The loss of any one of these contracts would not have a material adverse impact upon the Company's financial position or cash flows; however, it could have a material effect on quarterly or annual results of operations. Additionally, consolidation in the global steel industry has increased the Company's exposure to these customers. Should additional consolidations occur involving some of the steel industry's larger companies which are customers of the Company, it would result in an increase in concentration of credit risk for the Company. In the fourth quarter of 2012, the Company recorded a non-cash goodwill impairment charge of $265.0 million related to the Harsco Infrastructure Segment. See Note 6, Goodwill and Other Intangibles, for additional disclosure regarding the goodwill impairment charge. In the fourth quarter of 2011, the Company implemented the 2011/2012 Restructuring Program to further optimize rental assets and sales inventories in the Harsco Infrastructure Segment; reduce the number of administrative locations in the Harsco Infrastructure Segment and Harsco Metals & Minerals Segment; and reduce the global workforce in the Harsco Infrastructure and Harsco Metals & Minerals Segments. The Harsco Infrastructure Segment and Harsco Metals & Minerals Segment recorded pre-tax charges of $88.6 million and $5.5 million respectively, for the 2011/2012 Restructuring Program in 2012. The Harsco Infrastructure Segment and Harsco Metals & Minerals Segment recorded pre-tax charges of $87.6 million and $12.8 million respectively, for the 2011/2012 Restructuring Program in 2011. In the fourth quarter of 2010, the Harsco Infrastructure Segment implemented the Fourth Quarter 2010 Harsco Infrastructure Program as a countermeasure to global economic and financial conditions that adversely affected the Company's end markets. This Segment recorded net pre-tax charges of $84.4 million related to this restructuring initiative. See Note 18, Restructuring Programs, for additional disclosure regarding these restructuring programs. Operating Information by Segment:
|  | Twelve Months Ended
|  | December 31
(In thousands) |  | 2012 |  | 2011 |  | 2010
Revenues |  |  |  |  |  |
Harsco Metals & Minerals |  | $ | 1,404,103 |  |  | $ | 1,588,302 |  |  | $ | 1,461,531 |
Harsco Infrastructure |  | 937,293 |  |  | 1,108,293 |  |  | 1,031,807 |
Harsco Rail |  | 352,036 |  |  | 300,029 |  |  | 313,262 |
Harsco Industrial |  | 352,586 |  |  | 306,116 |  |  | 231,898 |
Corporate |  | — |  |  | — |  |  | 180 |
Total Revenues |  | $ | 3,046,018 |  |  | $ | 3,302,740 |  |  | $ | 3,038,678 |
Operating Income (Loss) |  |  |  |  |  |
Harsco Metals & Minerals |  | $ | 85,523 |  |  | $ | 109,593 |  |  | $ | 117,915 |
Harsco Infrastructure |  | (368,657 | ) |  | (125,555 | ) |  | (145,346 | )
Harsco Rail |  | 56,079 |  |  | 58,746 |  |  | 66,124 |
Harsco Industrial |  | 60,160 |  |  | 50,656 |  |  | 42,871 |
Corporate |  | (7,895 | ) |  | (5,791 | ) |  | (3,133 | )
Total Operating Income (Loss) |  | $ | (174,790 | ) |  | $ | 87,649 |  |  | $ | 78,431 |
Total Assets |  |  |  |  |  |
Harsco Metals & Minerals |  | $ | 1,561,973 |  |  | $ | 1,537,538 |  |  | $ | 1,541,117 |
Harsco Infrastructure |  | 1,018,979 |  |  | 1,371,143 |  |  | 1,534,379 |
Harsco Rail |  | 188,348 |  |  | 213,410 |  |  | 208,338 |
Harsco Industrial |  | 81,035 |  |  | 80,784 |  |  | 58,918 |
Corporate |  | 125,634 |  |  | 136,002 |  |  | 126,468 |
Total Assets |  | $ | 2,975,969 |  |  | $ | 3,338,877 |  |  | $ | 3,469,220 |
Depreciation and Amortization |  |  |  |  |  |  |  |  |
Harsco Metals & Minerals |  | $ | 163,137 |  |  | $ | 183,784 |  |  | $ | 180,306 |
Harsco Infrastructure |  | 89,814 |  |  | 107,621 |  |  | 114,861 |
Harsco Rail |  | 10,116 |  |  | 10,133 |  |  | 11,110 |
Harsco Industrial |  | 3,098 |  |  | 2,805 |  |  | 2,832 |
Corporate |  | 5,952 |  |  | 6,098 |  |  | 6,130 |
Total Depreciation and Amortization |  | $ | 272,117 |  |  | $ | 310,441 |  |  | $ | 315,239 |
Capital Expenditures |  |  |  |  |  |  |  |  |
Harsco Metals & Minerals |  | $ | 189,358 |  |  | $ | 212,009 |  |  | $ | 123,153 |
Harsco Infrastructure |  | 63,137 |  |  | 88,456 |  |  | 54,858 |
Harsco Rail |  | 4,133 |  |  | 4,497 |  |  | 9,498 |
Harsco Industrial |  | 3,669 |  |  | 4,938 |  |  | 1,722 |
Corporate |  | 4,726 |  |  | 3,201 |  |  | 3,117 |
Total Capital Expenditures |  | $ | 265,023 |  |  | $ | 313,101 |  |  | $ | 192,348 |
Reconciliation of Segment Operating Income (Loss) to Consolidated Income From Continuing Operations Before Income Taxes and Equity Income:
|  | Twelve Months Ended
|  | December 31
(In thousands) |  | 2012 |  | 2011 |  | 2010
Segment operating income (loss) |  | $ | (166,895 | ) |  | $ | 93,440 |  |  | $ | 81,564 |
General Corporate expense |  | (7,895 | ) |  | (5,791 | ) |  | (3,133 | )
Operating income (loss) from continuing operations |  | (174,790 | ) |  | 87,649 |  |  | 78,431 |
Interest income |  | 3,676 |  |  | 2,751 |  |  | 2,668 |
Interest expense |  | (47,381 | ) |  | (48,735 | ) |  | (60,623 | )
Income (loss) from continuing operations before income taxes and equity income |  | $ | (218,495 | ) |  | $ | 41,665 |  |  | $ | 20,476 |
Information about Products and Services:
|  | Revenues from Unaffiliated Customers
|  | Twelve Months Ended
|  | December 31
(In thousands) |  | 2012 |  | 2011 |  | 2010
Product Group |  |  |  |  |  |
Outsourced, on-site services to steel mills and other metals producers and resource recovery technologies for the re-use of industrial waste stream by-products |  | $ | 1,333,248 |  |  | $ | 1,518,902 |  |  | $ | 1,393,794 |
Engineered scaffolding, concrete forming and shoring, and other access-related services, rentals and sales |  | 937,293 |  |  | 1,108,293 |  |  | 1,031,807 |
Railway track maintenance services and equipment |  | 352,036 |  |  | 300,029 |  |  | 313,262 |
Air-cooled heat exchangers |  | 175,896 |  |  | 142,960 |  |  | 112,170 |
Industrial grating products |  | 136,157 |  |  | 113,388 |  |  | 76,975 |
Industrial abrasives and roofing granules |  | 70,855 |  |  | 69,399 |  |  | 67,737 |
Heat transfer products |  | 40,533 |  |  | 49,769 |  |  | 42,753 |
General Corporate |  | — |  |  | — |  |  | 180 |
Consolidated Revenues |  | $ | 3,046,018 |  |  | $ | 3,302,740 |  |  | $ | 3,038,678 |

X
- 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://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=6534315&loc=d3e8864-108599 Reference 2: 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=6534315&loc=d3e8906-108599 Reference 3: 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=6534315&loc=d3e8933-108599 Reference 4: 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=6534315&loc=d3e8984-108599 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=6534315&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 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 7: 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=6534315&loc=d3e9054-108599 Reference 8: 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=6534315&loc=d3e8595-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 10: 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=6534315&loc=d3e8981-108599 Reference 11: 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=6534315&loc=d3e8971-108599 Reference 12: 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=6534315&loc=d3e8844-108599 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=6534315&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 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 15: 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=6534315&loc=d3e9038-108599 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration