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Business Segments
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Business Segments 13. BUSINESS SEGMENTS
The Company's business segments are Aluminum Extrusions, PE Films and Flexible Packaging Films. Aluminum Extrusions, also referred to as Bonnell Aluminum, produces high-quality, soft and medium strength alloyed aluminum extrusions, custom fabricated and finished, for the building and construction, automotive and transportation, consumer durables goods, machinery and equipment, electrical and renewable energy, and distribution markets. PE Films produces surface protection films, polyethylene overwrap films and films for other markets. Flexible Packaging Films produces polyester based films for use in packaging applications that have specialized properties, such as heat resistance, strength, barrier protection and the ability to accept high-quality print graphics.
The Company’s reportable segments are based on its method of internal reporting, which is generally segregated by differences in products. Accounting standards for presentation of segments require an approach based on the way the Company organizes the segments for making operating decisions and how the chief operating decision maker (“CODM”) assesses performance. EBITDA from ongoing operations is the key profitability measure used by the CODM (Tredegar’s President and Chief Executive Officer) for purposes of assessing financial performance. The Company uses sales less freight (“net sales”) from continuing operations as its measure of revenues from external customers at the segment level. This measure is separately included in the financial information regularly provided to the CODM. Earnings before interest and taxes ("EBIT") from ongoing operations is a non-GAAP financial measure included in the reconciliation of segment financial information to consolidated results for the Company below.
Information by business segment and geographic area for the last three years is provided in the segment tables below. There were no accounting transactions between segments and no allocations to segments.
Net Sales
(In thousands)202220212020
Aluminum Extrusions$637,872 $539,325 $455,711 
PE Films97,571 118,920 139,288 
Flexible Packaging Films168,139 139,978 134,605 
Total net sales903,582 798,223 729,604 
Add back freight34,982 28,232 25,686 
Sales as shown in consolidated statements of income$938,564 $826,455 $755,290 
Refer to Notes to Financial Tables that follow these tables.
EBITDA from Ongoing Operations
(In thousands)202220212020
Aluminum Extrusions:
Ongoing operations:
EBITDA$66,800 $55,948 $55,137 
Depreciation & amortization(17,414)(16,272)(17,403)
EBIT49,386 39,676 37,734 
Plant shutdowns, asset impairments, restructurings and other (a)(310)3,237 (3,506)
Goodwill impairment charge— — (13,696)
PE Films:
Ongoing operations:
EBITDA11,949 27,694 45,107 
Depreciation & amortization(6,280)(6,263)(6,762)
EBIT5,669 21,431 38,345 
Plant shutdowns, asset impairments, restructurings and other (a)(646)(371)(1,974)
Flexible Packaging Films:
Ongoing operations:
EBITDA27,452 31,684 30,645 
Depreciation & amortization(2,444)(1,988)(1,761)
EBIT25,008 29,696 28,884 
Plant shutdowns, asset impairments, restructurings and other (a)(91)8,439 (18)
Total79,016 102,108 85,769 
Interest income57 73 44 
Interest expense4,990 3,386 2,587 
Gain (loss) on investment in kaléo (a)1,406 12,780 (60,900)
Loss on sale of Bright View (a)— — (2,299)
Stock option-based compensation expense1,424 2,495 2,161 
Corporate expenses, net (a)41,295 41,859 42,912 
Income (loss) from continuing operations before income taxes32,770 67,221 (25,046)
Income tax expense (benefit) (a)4,389 9,284 (8,213)
Income (loss) from continuing operations28,381 57,937 (16,833)
Income (loss) from discontinued operations, net of tax (a)74 (111)(58,611)
Net income (loss)$28,455 $57,826 $(75,444)
Refer to Notes to Financial Tables that follow these tables.
Identifiable Assets
(In thousands)20222021
Aluminum Extrusions$293,308 $280,521 
PE Films102,431 113,613 
Flexible Packaging Films103,448 75,269 
Subtotal499,187 469,403 
General corporate23,674 23,482 
Cash and cash equivalents (b)19,232 30,521 
Discontinued operations— 178 
Total$542,093 $523,584 
 Depreciation and AmortizationCapital Expenditures
(In thousands)202220212020202220212020
Aluminum Extrusions$17,414 $15,326 $17,403 $23,664 $18,914 $10,260 
PE Films6,280 6,263 6,762 3,289 2,997 6,024 
Flexible Packaging Films2,444 1,988 1,761 8,151 5,603 4,959 
Subtotal26,138 23,577 25,926 35,104 27,514 21,243 
General corporate (d)264 207 520 1,771 (153)200 
Discontinued operations— — 5,511 — — 1,912 
Total$26,402 $23,784 $31,957 $36,875 $27,361 $23,355 
Net Sales by Geographic Area (c)
(In thousands)202220212020
United States$717,049 $614,987 $530,243 
Exports from the United States to:
Asia41,995 59,242 80,217 
Canada15,264 17,776 18,024 
Europe3,885 4,489 5,440 
Latin America6,867 4,937 2,169 
Operations outside the United States:
Brazil117,896 96,792 93,511 
Asia626 — — 
Total$903,582 $798,223 $729,604 
 Identifiable Assets
by Geographic Area (c)		Property, Plant & Equipment,
Net by Geographic Area (c)
(In thousands)2022202120222021
United States$413,512 $398,749 $146,437 $135,310 
Operations outside the United States:
Brazil72,725 54,299 25,385 18,615 
China12,950 16,355 11,903 14,889 
General corporate23,674 23,482 2,686 1,567 
Cash and cash equivalents (b)19,232 30,521 n/an/a
Discontinued operations— 178 — — 
Total$542,093 $523,584 $186,411 $170,381 
Refer to Notes to Financial Tables that follow these tables.
The Company’s facilities in Pottsville, PA (“PV”) and Guangzhou, China (“GZ”) have a tolling arrangement whereby certain surface protection films are manufactured in GZ for a fee with raw materials supplied from PV that are then shipped by GZ directly to customers principally in the Asian market but paid by customers directly to PV. Amounts associated with this intercompany tolling arrangement are reported in the table above as export sales from the U.S. to Asia, and include net sales of $20.1 million in 2022, $32.7 million in 2021 and $35.1 million in 2020.
Net Sales by Product Group
(In thousands)202220212020
Aluminum Extrusions:
Nonresidential building & construction$338,981 $269,252 $253,126 
Consumer durables62,541 53,578 44,167 
Automotive51,286 43,256 35,895 
Machinery & equipment63,326 42,721 30,649 
Distribution29,732 45,639 28,339 
Residential building & construction64,268 52,236 40,049 
Electrical27,738 32,643 23,486 
Subtotal637,872 539,325 455,711 
PE Films:
Surface protection films68,140 88,436 109,097 
Packaging29,431 30,484 22,700 
LED-based products— — 7,491 
Subtotal97,571 118,920 139,288 
Flexible Packaging Films168,139 139,978 134,605 
Total$903,582 $798,223 $729,604 
(a)See Notes 5, 9, 12 and 15 for more information on losses associated with plant shutdowns, asset impairments and restructurings, unusual items, gains or losses from sale of assets, gains or losses on an investment accounted for under the fair value method and other items.
(b)Cash and cash equivalents includes funds held in locations outside the U.S. of $10.3 million and $16.4 million at December 31, 2022 and 2021, respectively.
(c)Export sales relate mostly to PE Films. Operations in Brazil relate to Flexible Packaging Films.
(d)Corporate depreciation and amortization are included in Corporate expenses, net, on the EBITDA from ongoing operations table above.