| Segment Information |
Note 20. Segment Information
The Company’s reportable segments consist of U.S. Nonwovens, Europe Nonwovens, Asia Nonwovens, Latin America
Nonwovens and Oriented Polymers. This reflects how the overall business is managed by the Company’s senior management and reviewed by the Board of Directors. The Nonwovens businesses sell to the same end-use markets, such as hygiene, medical,
wipes and industrial markets. Sales to P&G accounted for more than 10% of the Company’s sales in each of the periods presented. Sales to this customer are reported primarily in the Nonwovens segments and the loss of these sales would have a
material adverse effect on those segments.
The segment information presented in the table below excludes the results of
Difco. As discussed in further detail in Note 5 “Discontinued Operations”, Difco is accounted for as discontinued operations in accordance with the guidance of ASC 205.
As a result of the recently announced internal redesign and restructuring of global operations initiative, as more fully described in
Note 23 “Subsequent Events”, the Company is currently evaluating whether its reportable segments will need to be modified. The Company anticipates that it will conclude its analysis regarding its future reportable segments prior to the
filing of its second quarter 2012 Quarterly Report on Form10-Q.
Financial data by
segment is as follows (in thousands):
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Successor |
|
|
|
|
Predecessor |
|
| |
|
Three Months
Ended March 31,
2012 |
|
|
Two Months
Ended April 2,
2011 |
|
|
|
|
One Month
Ended January 28,
2011 |
|
|
Net sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Nonwovens
|
|
$ |
91,225 |
|
|
$ |
59,477 |
|
|
|
|
$ |
26,132 |
|
|
Europe Nonwovens
|
|
|
75,667 |
|
|
|
59,388 |
|
|
|
|
|
24,305 |
|
|
Asia Nonwovens
|
|
|
36,423 |
|
|
|
20,446 |
|
|
|
|
|
9,403 |
|
|
Latin America Nonwovens
|
|
|
74,668 |
|
|
|
48,461 |
|
|
|
|
|
19,961 |
|
|
Oriented Polymers
|
|
|
17,188 |
|
|
|
11,265 |
|
|
|
|
|
4,805 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
295,171 |
|
|
$ |
199,037 |
|
|
|
|
$ |
84,606 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Nonwovens
|
|
$ |
6,514 |
|
|
$ |
1,533 |
|
|
|
|
$ |
2,515 |
|
|
Europe Nonwovens
|
|
|
3,647 |
|
|
|
(578 |
) |
|
|
|
|
1,812 |
|
|
Asia Nonwovens
|
|
|
4,011 |
|
|
|
2,607 |
|
|
|
|
|
1,718 |
|
|
Latin America Nonwovens
|
|
|
12,775 |
|
|
|
1,145 |
|
|
|
|
|
2,080 |
|
|
Oriented Polymers
|
|
|
1,677 |
|
|
|
203 |
|
|
|
|
|
553 |
|
|
Unallocated Corporate
|
|
|
(9,368 |
) |
|
|
(6,856 |
) |
|
|
|
|
(3,603 |
) |
|
Eliminations
|
|
|
161 |
|
|
|
(63 |
) |
|
|
|
|
— |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
19,417 |
|
|
|
(2,009 |
) |
|
|
|
|
5,075 |
|
|
Special charges, net
|
|
|
(2,419 |
) |
|
|
(24,948 |
) |
|
|
|
|
(20,824 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
16,998 |
|
|
$ |
(26,957 |
) |
|
|
|
$ |
(15,749 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Successor |
|
|
|
|
Predecessor |
|
| |
|
Three Months
Ended March 31,
2012 |
|
|
Two Months
Ended April 2,
2011 |
|
|
|
|
One Month
Ended January 28,
2011 |
|
|
Depreciation and amortization expense included in operating income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Nonwovens
|
|
$ |
4,746 |
|
|
$ |
3,066 |
|
|
|
|
$ |
1,152 |
|
|
Europe Nonwovens
|
|
|
2,695 |
|
|
|
1,847 |
|
|
|
|
|
368 |
|
|
Asia Nonwovens
|
|
|
3,317 |
|
|
|
1,312 |
|
|
|
|
|
589 |
|
|
Latin America Nonwovens
|
|
|
3,591 |
|
|
|
2,666 |
|
|
|
|
|
1,259 |
|
|
Oriented Polymers
|
|
|
381 |
|
|
|
245 |
|
|
|
|
|
36 |
|
|
Unallocated Corporate
|
|
|
437 |
|
|
|
274 |
|
|
|
|
|
68 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization expense included in operating income
|
|
|
15,167 |
|
|
|
9,410 |
|
|
|
|
|
3,472 |
|
|
Amortization of loan acquisition costs
|
|
|
685 |
|
|
|
475 |
|
|
|
|
|
51 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
15,852 |
|
|
$ |
9,885 |
|
|
|
|
$ |
3,523 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital spending
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Nonwovens
|
|
$ |
623 |
|
|
$ |
2,810 |
|
|
|
|
$ |
5,652 |
|
|
Europe Nonwovens
|
|
|
2,243 |
|
|
|
646 |
|
|
|
|
|
41 |
|
|
Asia Nonwovens
|
|
|
9,709 |
|
|
|
5,561 |
|
|
|
|
|
2,507 |
|
|
Latin America Nonwovens
|
|
|
17 |
|
|
|
1,266 |
|
|
|
|
|
151 |
|
|
Oriented Polymers
|
|
|
86 |
|
|
|
177 |
|
|
|
|
|
38 |
|
|
Corporate
|
|
|
634 |
|
|
|
7 |
|
|
|
|
|
16 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
13,312 |
|
|
$ |
10,467 |
|
|
|
|
$ |
8,405 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| |
|
March 31, 2012 |
|
|
December 31, 2011 |
|
|
Division assets
|
|
|
|
|
|
|
|
|
|
U.S. Nonwovens
|
|
$ |
247,996 |
|
|
$ |
271,810 |
|
|
Europe Nonwovens
|
|
|
226,011 |
|
|
|
218,151 |
|
|
Asia Nonwovens
|
|
|
219,516 |
|
|
|
228,448 |
|
|
Latin America Nonwovens
|
|
|
286,591 |
|
|
|
292,614 |
|
|
Oriented Polymers
|
|
|
28,558 |
|
|
|
25,474 |
|
|
Corporate
|
|
|
50,571 |
|
|
|
23,623 |
|
|
Eliminations
|
|
|
458 |
|
|
|
458 |
|
| |
|
|
|
|
|
|
|
|
| |
|
$ |
1,059,701 |
|
|
$ |
1,060,578 |
|
| |
|
|
|
|
|
|
|
|
Geographic Data:
Geographic data for the Company’s operations, based on the geographic region that the sale is made from, are presented in the following table (in thousands):
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Successor |
|
|
|
|
Predecessor |
|
| |
|
Three Months
Ended March 31,
2012 |
|
|
Two Months
Ended April 2,
2011 |
|
|
|
|
One Month
Ended January 28,
2011 |
|
|
Net sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
$ |
92,593 |
|
|
$ |
60,632 |
|
|
|
|
$ |
26,409 |
|
|
Canada
|
|
|
15,821 |
|
|
|
10,110 |
|
|
|
|
|
4,529 |
|
|
Europe
|
|
|
75,667 |
|
|
|
59,388 |
|
|
|
|
|
24,305 |
|
|
Asia
|
|
|
36,423 |
|
|
|
20,446 |
|
|
|
|
|
9,402 |
|
|
Latin America
|
|
|
74,667 |
|
|
|
48,461 |
|
|
|
|
|
19,961 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
295,171 |
|
|
$ |
199,037 |
|
|
|
|
$ |
84,606 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
$ |
(2,138 |
) |
|
$ |
(5,227 |
) |
|
|
|
$ |
(961 |
) |
|
Canada
|
|
|
1,135 |
|
|
|
61 |
|
|
|
|
|
422 |
|
|
Europe
|
|
|
3,647 |
|
|
|
(578 |
) |
|
|
|
|
1,812 |
|
|
Asia
|
|
|
4,008 |
|
|
|
2,600 |
|
|
|
|
|
1,728 |
|
|
Latin America
|
|
|
12,765 |
|
|
|
1,135 |
|
|
|
|
|
2,074 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
19,417 |
|
|
|
(2,009 |
) |
|
|
|
|
5,075 |
|
|
Special charges, net
|
|
|
(2,419 |
) |
|
|
(24,948 |
) |
|
|
|
|
(20,824 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
16,998 |
|
|
$ |
(26,957 |
) |
|
|
|
$ |
(15,749 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization expense included in operating income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
$ |
5,212 |
|
|
$ |
3,369 |
|
|
|
|
$ |
1,229 |
|
|
Canada
|
|
|
352 |
|
|
|
217 |
|
|
|
|
|
36 |
|
|
Europe
|
|
|
2,695 |
|
|
|
1,847 |
|
|
|
|
|
367 |
|
|
Asia
|
|
|
3,317 |
|
|
|
1,312 |
|
|
|
|
|
581 |
|
|
Latin America
|
|
|
3,591 |
|
|
|
2,665 |
|
|
|
|
|
1,259 |
|
|
Eliminations
|
|
|
— |
|
|
|
— |
|
|
|
|
|
— |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization expense included in operating income
|
|
|
15,167 |
|
|
|
9,410 |
|
|
|
|
|
3,472 |
|
|
Amortization of loan acquisition costs
|
|
|
685 |
|
|
|
475 |
|
|
|
|
|
51 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
$ |
15,852 |
|
|
$ |
9,885 |
|
|
|
|
$ |
3,523 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| |
|
March 31,
2012 |
|
|
December 31,
2011 |
|
|
Property, plant and equipment, net
|
|
|
|
|
|
|
|
|
|
United States
|
|
$ |
116,514 |
|
|
$ |
114,288 |
|
|
Canada
|
|
|
6,144 |
|
|
|
6,303 |
|
|
Europe
|
|
|
93,259 |
|
|
|
91,092 |
|
|
Asia
|
|
|
119,140 |
|
|
|
122,792 |
|
|
Latin America
|
|
|
155,150 |
|
|
|
158,877 |
|
| |
|
|
|
|
|
|
|
|
| |
|
$ |
490,207 |
|
|
$ |
493,352 |
|
| |
|
|
|
|
|
|
|
|
|