N OTE 10  Operating Segment Information : The Company classifies its businesses into three operating segments based on the types of products and services provided. The Uniforms and Related Products segment consists of sales to customers of uniforms and related items. The Remote Staffing Solutions segment consists of sales of staffing solutions. The Promotional Products segment consists of sales to customers of promotional products and other branded merchandise. The Company evaluates the performance of each operating segment based on several factors of which the primary financial measures are net sales and income before taxes on income. Amounts for corporate expenses are included in the totals for the Uniforms and Related Products segment. To better reflect the way in which management now reviews the Companys operating results, in the third quarter of 2019, the Company changed the composition of total assets for each reportable segment to exclude intercompany balances. This change has been made to all periods presented within this Quarterly Report on Form 10 -Q. The following tables set forth financial information related to the Companys operating segments (in thousands): Uniforms and Related Products Remote Staffing Solutions Promotional Products Intersegment Eliminations Total As of and For the Three Months Ended June 30, 2020: Net sales $ 75,842 $ 9,351 $ 75,456 $ (1,290 ) $ 159,359 Cost of goods sold 47,937 4,239 51,725 (480 ) 103,421 Gross margin 27,905 5,112 23,731 (810 ) 55,938 Selling and administrative expenses 20,014 3,517 13,577 (810 ) 36,298 Other periodic pension cost 333 - - - 333 Interest expense 338 - 95 - 433 Income before taxes on income $ 7,220 $ 1,595 $ 10,059 $ - $ 18,874 Depreciation and amortization $ 1,551 $ 197 $ 342 $ - $ 2,090 Capital expenditures $ 2,600 $ 180 $ 40 $ - $ 2,820 Total assets $ 252,503 $ 21,030 $ 84,637 $ - $ 358,170 Uniforms and Related Products Remote Staffing Solutions Promotional Products Intersegment Eliminations Total As of and For the Three Months Ended June 30, 2019: Net sales $ 60,745 $ 8,993 $ 23,744 $ (1,212 ) $ 92,270 Cost of goods sold 38,937 3,824 17,600 (434 ) 59,927 Gross margin 21,808 5,169 6,144 (778 ) 32,343 Selling and administrative expenses 18,779 3,448 5,436 (778 ) 26,885 Other periodic pension cost 547 - - - 547 Interest expense 963 - 296 - 1,259 Income before taxes on income $ 1,519 $ 1,721 $ 412 $ - $ 3,652 Depreciation and amortization $ 1,582 $ 249 $ 320 $ - $ 2,151 Capital expenditures $ 2,997 $ 196 $ 63 $ - $ 3,256 Total assets (1) $ 255,746 $ 23,614 $ 67,652 $ - $ 347,012 ( 1 ) Intercompany balances that were previously included in total assets for each reportable segment have been excluded. Uniforms and Related Products Remote Staffing Solutions Promotional Products Intersegment Eliminations Total As of and For the Six Months Ended June 30, 2020 Net sales $ 135,944 $ 18,551 $ 101,634 $ (2,525 ) $ 253,604 Cost of goods sold 86,609 8,227 70,324 (945 ) 164,215 Gross margin 49,335 10,324 31,310 (1,580 ) 89,389 Selling and administrative expenses 38,239 6,913 20,215 (1,580 ) 63,787 Other periodic pension cost 618 - - - 618 Interest expense 1,210 - 283 - 1,493 Income before taxes on income $ 9,268 $ 3,411 $ 10,812 $ - $ 23,491 Depreciation and amortization $ 2,861 $ 414 $ 684 $ - $ 3,959 Capital expenditures $ 4,452 $ 346 $ 95 $ - $ 4,893 Total assets $ 252,503 $ 21,030 $ 84,637 $ - $ 358,170 Uniforms and Related Products Remote Staffing Solutions Promotional Products Intersegment Eliminations Total As of and For the Six Months Ended June 30, 2019 Net sales $ 119,424 $ 17,592 $ 44,103 $ (2,297 ) $ 178,822 Cost of goods sold 77,298 7,384 32,333 (804 ) 116,211 Gross margin 42,126 10,208 11,770 (1,493 ) 62,611 Selling and administrative expenses 36,956 6,567 10,718 (1,493 ) 52,748 Other periodic pension cost 806 - - - 806 Interest expense 1,841 - 588 - 2,429 Income before taxes on income $ 2,523 $ 3,641 $ 464 $ - $ 6,628 Depreciation and amortization $ 3,070 $ 505 $ 636 $ - $ 4,211 Capital expenditures $ 4,155 $ 605 $ 219 $ - $ 4,979 Total assets(1) $ 255,746 $ 23,614 $ 67,652 $ - $ 347,012 ( 1 ) Intercompany balances that were previously included in total assets for each reportable segment have been excluded.