The Company’s business segments are PE Films, Flexible Packaging Films and Aluminum Extrusions. Information by business segment is reported below. There are no accounting transactions between segments and no allocations to segments. Net sales (sales less freight) and operating profit from ongoing operations are the measures of sales and operating profit used by the chief operating decision maker for purposes of assessing performance.

The following table presents net sales and operating profit by segment for the three-month periods ended March 31, 2018 and 2017:



	Three Months Ended March 31,
(In thousands)	2018			2017
Net Sales
PE Films	$	93,249		$	86,411
Flexible Packaging Films	28,437			26,710
Aluminum Extrusions	128,235			99,599
Total net sales	249,921			212,720
Add back freight	8,790			8,306
Sales as shown in the Consolidated Statements of Income	$	258,711		$	221,026
Operating Profit (Loss)
PE Films:
Ongoing operations	$	14,034		$	9,031
Plant shutdowns, asset impairments, restructurings and other	(1,052		)	(2,068		)
Flexible Packaging Films:
Ongoing operations	1,715			(1,998		)
Plant shutdowns, asset impairments, restructurings and other	—			—
Aluminum Extrusions:
Ongoing operations	10,199			9,829
Plant shutdowns, asset impairments, restructurings and other	(53		)	(4,341		)
Total	24,843			10,453
Interest income	56			74
Interest expense	1,644			1,180
Gain (loss) on investment in kaléo accounted for under fair value method	8,200			3,300
Stock option-based compensation costs	86			3
Corporate expenses, net	7,918			6,523
Income before income taxes	23,451			6,121
Income taxes	5,287			2,418
Net income	$	18,164		$	3,703

The following table presents identifiable assets by segment at March 31, 2018 and December 31, 2017:



(In thousands)	March 31, 2018		December 31, 2017
PE Films	$	293,662	$	289,514
Flexible Packaging Films	47,810		49,915
Aluminum Extrusions	272,609		268,127
Subtotal	614,081		607,556
General corporate	105,394		111,696
Cash and cash equivalents	36,135		36,491
Total	$	755,610	$	755,743

The following tables disaggregate the Company’s revenue by geographic area and product group for the three months ended March 31, 2018 and 2017:



Net Sales by Geographic Area (b)
	Three Months Ended March 31,
(In thousands)	2018		2017^(c)
United States	$	159,562	$	129,901
Exports from the United States to:
Asia	23,592		18,722
Canada	13,298		13,092
Europe	1,822		2,358
Latin America	3,052		3,730
Operations outside the United States:
Brazil	23,151		21,360
The Netherlands	11,928		12,760
Hungary	8,818		5,191
China	2,274		3,405
India	2,424		2,201
Total (a)	$	249,921	$	212,720



Net Sales by Product Group
	Three Months Ended March 31,
(In thousands)	2018		2017^(c)
PE Films:
Personal care materials	$	61,644	$	61,299
Surface protection films	29,815		23,441
LED lighting products & other films	1,790		1,672
Subtotal	93,249		86,412
Flexible Packaging Films	28,437		26,710
Aluminum Extrusions:
Nonresidential building & construction	65,280		52,210
Consumer durables	15,189		12,097
Distribution	10,971		6,334
Automotive	9,673		10,174
Residential building & construction	9,601		7,272
Machinery & equipment	9,094		7,205
Electrical	8,427		4,306
Subtotal	128,235		99,598
Total	$	249,921	$	212,720

See a reconciliation of net sales to sales as shown in the Condensed Consolidated Statements of Income on the previous page.


(a)	The difference between total consolidated sales as reported in the consolidated statements of income and segment, geographic and product group net sales reported in this note is freight of $8.8 million and $8.3 million in the three months ended March 31, 2018 and 2017, respectively.

(b)

Export sales relate almost entirely to PE Films. Operations outside the U.S. in The Netherlands, Hungary, China and India also relate to PE Films. Operations in Brazil are primarily related to Flexible Packaging Films, but also include PE Films operations. Sales from locations in The Netherlands and Hungary are primarily to customers located in Europe. Sales from locations in China (Guangzhou and Shanghai) are primarily to customers located in China, but also include other customers in Asia.


(c)	As disclosed in Note 1, prior period amounts have not been adjusted under the modified retrospective method.