Attached files
| file | filename |
|---|---|
| EX-10 - EX-10.1 - GOODYEAR TIRE & RUBBER CO /OH/ | d186446dex101.htm |
| EX-10 - EX-10.2 - GOODYEAR TIRE & RUBBER CO /OH/ | d186446dex102.htm |
| EX-99 - EX-99.1 - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q12016xex_991.htm |
| EX-31 - EX-31.1 - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q12016xex_311.htm |
| EX-32 - EX-32.1 - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q12016xex_321.htm |
| EX-31 - EX-31.2 - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q12016xex_312.htm |
| EX-99 - EX-99.2 - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q12016xex_992.htm |
| 10-Q - 10-Q - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q1201610q.htm |
| EX-12 - EX-12.1 - GOODYEAR TIRE & RUBBER CO /OH/ | gt-q12016xratioofearningse.htm |
EXHIBIT 99.3
THE GOODYEAR TIRE & RUBBER COMPANY AND SUBSIDIARIES
SEGMENT INFORMATION
The Americas segment operating income for prior periods has been restated to reflect the elimination of intercompany profit between the former North America and Latin America strategic business units ("SBUs"). Also, certain start-up costs related to the construction of our new manufacturing facility in San Luis Potosi, Mexico were reclassified from Other (Income) Expense to Americas operating income to align to the change in reported segments beginning in 2016. Finally, certain reclassifications affecting Interest Expense, Other (Income) Expense and segment assets were made due to the adoption of new accounting guidance regarding the presentation of debt issuance costs. Refer to Note 1.
Twelve Months Ended | |||||||||||
December 31, | |||||||||||
(In millions) | 2015 | 2014 | 2013 | ||||||||
Sales: | |||||||||||
Americas | $ | 9,370 | $ | 9,881 | $ | 10,747 | |||||
Europe, Middle East and Africa | 5,115 | 6,180 | 6,567 | ||||||||
Asia Pacific | 1,958 | 2,077 | 2,226 | ||||||||
Net Sales | $ | 16,443 | $ | 18,138 | $ | 19,540 | |||||
Segment Operating Income: | |||||||||||
Americas | $ | 1,266 | $ | 967 | $ | 971 | |||||
Europe, Middle East and Africa | 435 | 438 | 298 | ||||||||
Asia Pacific | 319 | 301 | 308 | ||||||||
Total Segment Operating Income | $ | 2,020 | $ | 1,706 | $ | 1,577 | |||||
Less: | |||||||||||
Rationalizations | 114 | 95 | 58 | ||||||||
Interest expense | 438 | 444 | 407 | ||||||||
Other (income) expense | (141 | ) | 286 | 82 | |||||||
Asset write-offs and accelerated depreciation | 8 | 7 | 23 | ||||||||
Corporate incentive compensation plans | 103 | 97 | 108 | ||||||||
Pension curtailments/settlements(1) | 137 | 33 | — | ||||||||
Intercompany profit elimination | 3 | (9 | ) | (7 | ) | ||||||
Loss on deconsolidation of Venezuelan subsidiary | 646 | — | — | ||||||||
Retained expenses of divested operations | 14 | 16 | 24 | ||||||||
Other(2) | 90 | 50 | 69 | ||||||||
Income before Income Taxes | $ | 608 | $ | 687 | $ | 813 | |||||
(1) | Substantially all of the pension settlement charges noted above related to our Americas SBU; however. such costs were not included in Americas segment operating income for purposes of management's assessment of SBU operating performance. |
(2) | Primarily represents unallocated corporate costs including certain costs for one-time strategic global initiatives. Also includes the elimination of $25 million, $24 million and $39 million for the years ended December 31, 2015, 2014 and 2013, respectively, of royalty income attributable to the strategic business units. |
EXHIBIT 99.3 (cont.)
THE GOODYEAR TIRE & RUBBER COMPANY AND SUBSIDIARIES
SEGMENT INFORMATION
December 31, | |||||||||||
(In millions) | 2015 | 2014 | 2013 | ||||||||
Assets | |||||||||||
Americas(1) | $ | 6,275 | $ | 7,019 | $ | 7,361 | |||||
Europe, Middle East and Africa | 4,377 | 4,954 | 5,527 | ||||||||
Asia Pacific | 2,559 | 2,594 | 2,613 | ||||||||
Total Segment Assets | 13,211 | 14,567 | 15,501 | ||||||||
Corporate(2) | 3,180 | 3,433 | 1,884 | ||||||||
$ | 16,391 | $ | 18,000 | $ | 17,385 | ||||||
(1) | Decrease in Americas segment assets at December 31, 2015 was due primarily to the deconsolidation of our Venezuelan subsidiary on December 31, 2015. |
(2) | Corporate includes substantially all of our U.S. net deferred tax assets. Corporate assets increased in 2014 by $2,080 million due primarily to the release of substantially all of the valuation allowance on our net U.S. deferred tax assets. |
Twelve Months Ended | |||||||||||
December 31, | |||||||||||
(In millions) | 2015 | 2014 | 2013 | ||||||||
Rationalizations: | |||||||||||
Americas | $ | 15 | $ | (3 | ) | $ | 16 | ||||
Europe, Middle East and Africa | 95 | 89 | 26 | ||||||||
Asia Pacific | 4 | 9 | 16 | ||||||||
Total Segment Rationalizations | $ | 114 | $ | 95 | $ | 58 | |||||
Net (Gains) Losses on Asset Sales | |||||||||||
Americas | $ | (2 | ) | $ | (8 | ) | $ | (5 | ) | ||
Europe, Middle East and Africa | 14 | 7 | (1 | ) | |||||||
Asia Pacific | (5 | ) | — | (2 | ) | ||||||
Total Segment Asset Sales | 7 | (1 | ) | (8 | ) | ||||||
Corporate(1) | (78 | ) | (2 | ) | — | ||||||
$ | (71 | ) | $ | (3 | ) | $ | (8 | ) | |||
(1) | Corporate gain on asset sales in 2015 included a $48 million gain on the dissolution of our global alliance with Sumitomo Rubber Industries, Ltd. ("SRI") and a $30 million gain on the sale of our investment in shares of SRI. |
EXHIBIT 99.3 (cont.)
THE GOODYEAR TIRE & RUBBER COMPANY AND SUBSIDIARIES
SEGMENT INFORMATION
Twelve Months Ended | |||||||||||
December 31, | |||||||||||
(In millions) | 2015 | 2014 | 2013 | ||||||||
Asset Write-offs and Accelerated Depreciation | |||||||||||
Europe, Middle East and Africa | $ | 8 | $ | 7 | $ | 23 | |||||
Total Segment Asset Write-offs and Accelerated Depreciation | $ | 8 | $ | 7 | $ | 23 | |||||
Capital Expenditures | |||||||||||
Americas(1) | $ | 618 | $ | 434 | $ | 505 | |||||
Europe, Middle East and Africa | 223 | 266 | 332 | ||||||||
Asia Pacific | 124 | 154 | 257 | ||||||||
Total Segment Capital Expenditures | 825 | 854 | 1,094 | ||||||||
Corporate | 18 | 69 | 74 | ||||||||
$ | 983 | $ | 923 | $ | 1,168 | ||||||
(1) Americas 2015 capital expenditures includes approximately $140 million related to the construction of our new manufacturing facility in San Luis Potosi, Mexico.
Depreciation and Amortization | |||||||||||
Americas | $ | 364 | $ | 376 | $ | 359 | |||||
Europe, Middle East and Africa | 186 | 220 | 228 | ||||||||
Asia Pacific | 114 | 105 | 93 | ||||||||
Total Segment Depreciation and Amortization | 664 | 701 | 680 | ||||||||
Corporate | 34 | 31 | 42 | ||||||||
$ | 698 | $ | 732 | $ | 722 | ||||||
Equity in (Income) | |||||||||||
Americas | $ | (3 | ) | $ | (5 | ) | $ | (8 | ) | ||
Europe, Middle East and Africa | (1 | ) | — | — | |||||||
Asia Pacific(1) | (12 | ) | (23 | ) | (23 | ) | |||||
Total Segment Equity in (Income) | $ | (16 | ) | $ | (28 | ) | $ | (31 | ) | ||
(1) | Substantially all of the Asia Pacific segment equity in income related to 25% interests in Nippon Goodyear Ltd. and Dunlop Goodyear Tires Ltd. which ceased to be recognized effective October 1, 2015 following the dissolution of the global alliance with SRI. |