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Segment Information
 12 Months Ended
Dec. 31, 2013
Segment Reporting [Abstract]  
Segment Information
17. SEGMENT INFORMATION:

The operating segments reported below are based on the nature of the products sold by the Company and are the segments of the Company for which separate financial information is available and for which operating results are regularly evaluated by executive management to make decisions about resources to be allocated to the segment and assess its performance. Management evaluates segment performance based on operating income.

The Company’s Water Transmission segment manufactures and markets large diameter, high-pressure steel pipe used primarily for water transmission. The Company’s Water Transmission products are manufactured at one of eight manufacturing facilities located in Portland, Oregon; Denver, Colorado; Adelanto, California; Parkersburg, West Virginia; Saginaw, Texas; and Monterrey, Mexico. Facilities in St. Louis, Missouri and Salt Lake City, Utah were added in 2013 upon the acquisition of Permalok on December 30, 2013. During the second half of 2012, we permanently closed our facility located in Pleasant Grove, Utah, and have transferred its property and equipment to other manufacturing locations. Products are sold primarily to public water agencies either directly or through an installation contractor.

 

The Company’s Tubular Products segment manufactures and markets smaller diameter, ERW steel pipe for use in a wide range of applications, including energy, construction, agricultural, and industrial systems. Tubular Products manufacturing facilities are located in Atchison, Kansas; Houston, Texas; and Bossier City, Louisiana. Tubular Products are marketed through a network of direct sales force personnel and sales agents throughout the United States, Canada and Mexico.

Based on the location of the customer, the Company sold principally all products in the United States, Canada and Mexico. One customer accounted for 12% of total net sales in 2013. One customer accounted for 12% of total net sales in 2012. No one customer represented more than 10% of total net sales in 2011. As of December 31, 2013, all material long-lived assets are located in the United States.

 

     Year Ended December 31,  
     2013     2012     2011  
     (in thousands)  

Net sales:

       

Water transmission

    $ 226,427      $ 269,203      $ 271,885   

Tubular products

      249,129        255,300        239,783   
  

 

 

    

 

 

    

 

 

  

Total

    $ 475,556      $ 524,503      $ 511,668   
  

 

 

    

 

 

    

 

 

  

Gross profit:

       

Water transmission

    $ 46,953      $ 45,051      $ 43,182   

Tubular products

      5,506        11,147        15,956   
  

 

 

    

 

 

    

 

 

  

Total

    $ 52,459      $ 56,198      $ 59,138   
  

 

 

    

 

 

    

 

 

  

Operating income (loss):

       

Water transmission

    $ 40,343      $ 36,278      $ 34,113   

Tubular products

      (24,843 )      8,335        12,660   
  

 

 

    

 

 

    

 

 

  
     15,500        44,613        46,773   

Corporate

      (14,751 )      (17,053 )      (13,950 ) 
  

 

 

    

 

 

    

 

 

  

Total

    $ 749      $ 27,560      $ 32,823   
  

 

 

    

 

 

    

 

 

  

Depreciation and amortization expense:

       

Water transmission

    $ 7,082      $ 10,474      $ 8,729   

Tubular products

      5,963        5,541        5,723   
  

 

 

    

 

 

    

 

 

  
     13,045        16,015        14,452   

Corporate

      254        252        69   
  

 

 

    

 

 

    

 

 

  

Total

    $ 13,299      $ 16,267      $ 14,521   
  

 

 

    

 

 

    

 

 

  

Capital expenditures:

       

Water transmission

    $ 13,204      $ 6,830      $ 4,765   

Tubular products

      14,354        9,813        11,386   
  

 

 

    

 

 

    

 

 

  
     27,558        16,643        16,151   

Corporate

      889        146        182   
  

 

 

    

 

 

    

 

 

  

Total

    $ 28,447      $ 16,789      $ 16,333   
  

 

 

    

 

 

    

 

 

  

Net sales by geographic region:

       

United States

    $ 441,779      $ 473,403      $ 455,625   

Other

      33,777        51,100        56,043   
  

 

 

    

 

 

    

 

 

  

Total

    $ 475,556      $ 524,503      $ 511,668   
  

 

 

    

 

 

    

 

 

  

 

     December 31,  
     2013      2012  
     (in thousands)  

Goodwill:

      

Water transmission

    $ 5,282       $ —     

Tubular products

      20,478         20,478   
  

 

 

     

 

 

  

Total

    $ 25,760       $ 20,478   
  

 

 

     

 

 

  

Total assets:

      

Water transmission

    $ 218,849       $ 221,987   

Tubular products

      184,088         174,591   
  

 

 

     

 

 

  
     402,937         396,578   

Corporate

      30,522         25,844   
  

 

 

     

 

 

  

Total

    $ 433,459       $ 422,422   
  

 

 

     

 

 

  

All property and equipment is located in the United States as of December 31, 2013 and 2012, except for a total of $2.2 million and $2.4 million, respectively, which is located in Mexico.