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Business Segments
 12 Months Ended
Dec. 31, 2023
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”) 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)202320222021
Aluminum Extrusions$474,803 $637,872 $539,325 
PE Films76,763 97,571 118,920 
Flexible Packaging Films126,326 168,139 139,978 
Total net sales677,892 903,582 798,223 
Add back freight26,933 34,982 28,232 
Sales as shown in consolidated statements of income (loss)$704,825 $938,564 $826,455 
Refer to Notes to Financial Tables that follow these tables.
EBITDA from Ongoing Operations
(In thousands)202320222021
Aluminum Extrusions:
Ongoing operations:
EBITDA$37,976 $66,800 $55,948 
Depreciation & amortization(17,927)(17,414)(16,272)
EBIT20,049 49,386 39,676 
Plant shutdowns, asset impairments, restructurings and other (a)(3,557)(310)3,237 
PE Films:
Ongoing operations:
EBITDA11,217 11,949 27,694 
Depreciation & amortization(6,522)(6,280)(6,263)
EBIT4,695 5,669 21,431 
Plant shutdowns, asset impairments, restructurings and other (a)(4,972)(646)(371)
Goodwill impairment(34,891)— — 
Flexible Packaging Films:
Ongoing operations:
EBITDA4,383 27,452 31,684 
Depreciation & amortization(2,865)(2,444)(1,988)
EBIT1,518 25,008 29,696 
Plant shutdowns, asset impairments, restructurings and other (a)(113)(91)8,439 
Total(17,271)79,016 102,108 
Interest income522 57 73 
Interest expense11,607 4,990 3,386 
Gain on investment in kaléo (a)262 1,406 12,780 
Stock option-based compensation expense231 1,424 2,495 
Pension settlement loss92,291 — — 
Corporate expenses, net (a)39,414 41,221 41,970 
Income (loss) before income taxes(160,030)32,844 67,110 
Income tax expense (benefit) (a)(54,125)4,389 9,284 
Net income (loss)$(105,905)$28,455 $57,826 
Refer to Notes to Financial Tables that follow these tables.
Identifiable Assets
(In thousands)20232022
Aluminum Extrusions$255,756 $293,308 
PE Films56,536 102,431 
Flexible Packaging Films84,062 103,448 
Subtotal396,354 499,187 
General corporate36,652 23,674 
Cash, cash equivalents and restricted cash (b)13,455 19,232 
Total$446,461 $542,093 
 Depreciation and AmortizationCapital Expenditures
(In thousands)202320222021202320222021
Aluminum Extrusions$17,927 $17,414 $15,326 $20,339 $23,664 $18,914 
PE Films6,522 6,280 6,263 1,772 3,289 2,997 
Flexible Packaging Films2,865 2,444 1,988 4,323 8,151 5,603 
Subtotal27,314 26,138 23,577 26,434 35,104 27,514 
General corporate (d)369 264 207 12 1,771 (153)
Total$27,683 $26,402 $23,784 $26,446 $36,875 $27,361 
Net Sales by Geographic Area (c)
(In thousands)202320222021
United States$537,818 $717,049 $614,987 
Exports from the United States to:
Asia26,239 41,995 59,242 
Canada15,597 15,264 17,776 
Europe1,905 3,885 4,489 
Latin America6,704 6,867 4,937 
Operations outside the United States:
Brazil89,077 117,896 96,792 
Asia552 626 — 
Total$677,892 $903,582 $798,223 
 Identifiable Assets
by Geographic Area (c)		Property, Plant & Equipment,
Net by Geographic Area (c)
(In thousands)2023202220232022
United States$320,604 $413,512 $143,729 $146,437 
Operations outside the United States:
Brazil65,495 72,725 28,121 25,385 
China10,255 12,950 9,361 11,903 
General corporate36,652 23,674 2,244 2,686 
Cash, cash equivalents and restricted cash (b)13,455 19,232 n/an/a
Total$446,461 $542,093 $183,455 $186,411 
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 $15.9 million in 2023, $20.1 million in 2022 and $32.7 million in 2021.
Net Sales by Product Group
(In thousands)202320222021
Aluminum Extrusions:
Nonresidential building & construction$264,780 $338,981 $269,252 
Consumer durables38,897 62,541 53,578 
Automotive48,046 51,286 43,256 
Machinery & equipment43,759 63,326 42,721 
Distribution14,331 29,732 45,639 
Residential building & construction38,388 64,268 52,236 
Electrical26,602 27,738 32,643 
Subtotal474,803 637,872 539,325 
PE Films:
Surface protection films47,463 68,140 88,436 
Packaging29,300 29,431 30,484 
Subtotal76,763 97,571 118,920 
Flexible Packaging Films126,326 168,139 139,978 
Total$677,892 $903,582 $798,223 
(a)See Notes 1, 5, 9 and 12 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, cash equivalents and restricted cash includes funds held in locations outside the U.S. of $9.8 million and $10.3 million at December 31, 2023 and 2022, 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.