Quarterly report pursuant to Section 13 or 15(d)

Segment Data

v3.2.0.727
Segment Data
 6 Months Ended
Jul. 04, 2015
Segment Reporting [Abstract]  
Segment Data
Note 10 – Segment Data

Brunswick is a manufacturer and marketer of leading consumer brands and has three operating and reportable segments: Marine Engine, Boat and Fitness.  The Company’s segments are defined by management’s reporting structure and operating activities.

As discussed in Note 2 – Discontinued Operations, during the third quarter of 2014, the Company began reporting its retail bowling and bowling products businesses as discontinued operations. These businesses were previously reported in the former Bowling & Billiards segment. Additionally, the results of the billiards business are being reported in the Company's Fitness segment for all periods presented.
 
The Company evaluates performance based on business segment operating earnings.  Operating earnings of segments do not include the expenses of corporate administration, non-service related pension costs, earnings from unconsolidated equity affiliates, other expenses and income of a non-operating nature, interest expense and income or provisions for income taxes.

As a result of freezing benefit accruals in its defined benefit pension plans, the Company allocates only service-related costs to the operating segment results and reports all other components of pension expense, such as Interest cost, Expected return on plan assets and Amortization of net actuarial losses in Pension - non-service costs.

Corporate/Other results include items such as corporate staff and administrative costs.  Corporate/Other total assets consist of mainly cash, cash equivalents and investments in marketable securities, restricted cash, income tax balances and investments in unconsolidated affiliates.  Marine eliminations adjust for sales between the Marine Engine and Boat segments, primarily for the sale of engines and parts and accessories to various boat brands, which are consummated at established arm’s length transfer prices as the intersegment pricing for these engines and parts and accessories are based upon and consistent with selling prices to the Company's third party customers.

Operating Segments

The following table sets forth net sales and operating earnings (loss) of each of the Company's operating segments, which are also the Company's reportable segments, for the three months ended July 4, 2015 and June 28, 2014:
 
Net Sales
 
Operating Earnings (Loss)
 
Three Months Ended
 
Three Months Ended
(in millions)
July 4,
2015
 
June 28,
2014
 
July 4,
2015
 
June 28,
2014
Marine Engine
$
689.2

 
$
652.4

 
$
131.8

 
$
122.5

Boat
349.3

 
324.1

 
20.9

 
19.9

Marine eliminations
(70.3
)
 
(68.6
)
 
—

 
—

Total Marine
968.2

 
907.9

 
152.7

 
142.4

Fitness
173.8

 
165.2

 
23.2

 
19.0

Pension - non-service costs
—

 
—

 
(3.1
)
 
(3.7
)
Corporate/Other
—

 
—

 
(18.6
)
 
(19.4
)
Total
$
1,142.0

 
$
1,073.1

 
$
154.2

 
$
138.3


The following table sets forth net sales and operating earnings (loss) of each of the Company's operating segments, which are also the Company's reportable segments, for the six months ended July 4, 2015 and June 28, 2014:
 
Net Sales
 
Operating Earnings (Loss)
 
Six Months Ended
 
Six Months Ended
(in millions)
July 4,
2015
 
June 28,
2014
 
July 4,
2015
 
June 28,
2014
Marine Engine
$
1,251.4

 
$
1,157.5

 
$
206.0

 
$
184.2

Boat
667.3

 
606.9

 
28.6

 
28.3

Marine eliminations
(150.4
)
 
(141.7
)
 
—

 
—

Total Marine
1,768.3

 
1,622.7

 
234.6

 
212.5

Fitness
359.4

 
345.3

 
49.0

 
48.7

Pension - non-service costs
—

 
—

 
(6.1
)
 
(7.4
)
Corporate/Other
—

 
—

 
(34.6
)
 
(33.6
)
Total
$
2,127.7

 
$
1,968.0

 
$
242.9

 
$
220.2


The following table sets forth total assets of each of the Company's reportable segments:
 
Total Assets
(in millions)
July 4,
2015
 
December 31,
2014
 
June 28,
2014
Marine Engine
$
998.9

 
$
908.3

 
$
991.2

Boat
387.2

 
376.5

 
363.0

     Total Marine
1,386.1

 
1,284.8

 
1,354.2

Fitness
561.1

 
578.4

 
553.0

Corporate/Other
1,153.1

 
1,224.7

 
884.8

Total
$
3,100.3

 
$
3,087.9

 
$
2,792.0