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20
PERFORMANCE BY BUSINESS SEGMENT
Disclosures relating to 3M’s business segments are provided in Item 1, Business Segments. Financial information
and other disclosures are provided in the Notes to the Consolidated Financial Statements. As discussed in Note 17
to the Consolidated Financial Statements, effective in the first quarter of 2009, 3M made certain business segment
realignments, including both product moves between business segments and reporting changes related to revised
U.S. performance measures. Segment information presented herein reflects the impact of these changes for all
periods presented. The reportable segments are Industrial and Transportation; Health Care; Consumer and Office;
Safety, Security and Protection Services; Display and Graphics; and Electro and Communications. Information
related to 3M’s business segments is presented in the tables that follow. Local-currency sales change amounts are
separated into organic local-currency sales (which include both organic volume impacts plus selling price impacts)
and acquisition impacts. The divestiture impact, translation impact and total sales change are also provided for each
segment.
As discussed in the preceding overview and results of operations section, the combination of restructuring actions,
gains and losses on the sale of businesses, and other special items significantly impacted 2009, 2008 and 2007
results. The following tables summarize these special items by business segment.
2009 Restructuring and Other Summary
(Millions)
Restructuring
actions
Gain on
sale of
real estate Total
Industrial and Transportation ..................... $ 88 $ — $ 88
Health Care ................................................ 20 — 20
Consumer and Office ................................. 13 — 13
Safety, Security and Protection Services... 17 (15) 2
Display and Graphics ................................. 22 — 22
Electro and Communications ..................... 11 — 11
Corporate and Unallocated ........................ 38 — 38
Total operating income penalty (benefit).... $ 209 $ (15) $ 194
2008 Restructuring and Other Summary
(Millions)
Restructuring
actions
Exit
activities
Loss
on sale of
businesses
Gain on
sale of
real estate Total
Industrial and Transportation ..................... $ 40 $ 26 $
—
$ — $ 66
Health Care ................................................ 51 9
—
— 60
Consumer and Office ................................. 18 —
—
— 18
Safety, Security and Protection Services... 12 3 23 — 38
Display and Graphics ................................. 24 18
—
— 42
Electro and Communications ..................... 7 —
—
— 7
Corporate and Unallocated ........................ 77 2
—
(41) 38
Total operating income penalty (benefit).... $ 229 $ 58 $ 23 $ (41) $ 269
2007 Gain on Sale, Restructuring and Other Summary
(Millions)
Gain on
sale of
businesses
Environmental
liabilities
Restructuring
and exit
activities
Gain on
sale of
real estate Total
Industrial and Transportation ..................... $ — $ — $ 9 $ — $ 9
Health Care:
Gain on sale of pharmaceuticals
business .............................................. (781) — — — (781)
Restructuring actions and other..............
—
— (10) — (10)
Consumer and Office .................................
—
— — — —
Safety, Security and Protection Services...
—
— 29 — 29
Display and Graphics ................................. (68) — 17 — (51)
Electro and Communications .....................
—
— 41 — 41
Corporate and Unallocated ........................
—
134 — (52) 82
Total operating income penalty (benefit).... $ (849) $ 134 $ 86 $ (52) $ (681)
Due to the significant changes in quarterly activity in both 2009 and 2008, including the impact of the economic
downturn in the fourth-quarter of 2008, the following discusses both fourth-quarter and total year results in both 2009
and 2008 for each business segment.