Segment Disclosures

12 Months Ended

Oct. 30, 2016

Segment Reporting [Abstract]

Segment Disclosures

Segment Disclosures

The Company’s strategic reorganization during fiscal 2016 and 2015 included the exit of non-core operations and significant changes in the management structure. The Company changed its operating and reportable segments during the fourth quarter of fiscal 2016 in connection with its new business strategies, aligning with the way the Company evaluates its business performance and manages its operations.  Our current reportable segments are (i) North American Staffing, (ii) International Staffing and (iii) Technology Outsourcing Services and Solutions. The non-reportable businesses are combined and disclosed with corporate services under the category Corporate and Other. Accordingly, all prior periods have been recast to reflect the current segment presentation. The change in reportable segments did not have any impact on previously reported consolidated financial results.

Segment operating income (loss) is comprised of segment net revenues less cost of services, selling, administrative and other operating costs, impairment charges and restructuring and severance costs. The Company allocates to the segments all operating costs except for costs not directly relating to our operating activities such as corporate-wide general and administrative costs and fees related to restatement, investigations and remediation. These costs are not allocated because doing so would not enhance the understanding of segment operating performance and they are not used by management to measure segment performance.

Financial data concerning the Company’s segment revenue and operating income (loss) as well as results from Corporate and Other are summarized in the following tables (in thousands):

	Year Ended October 30, 2016
	Total			North American Staffing		International Staffing		Technology Outsourcing Services and Solutions		Corporate and Other (1)			Eliminations (2)
Net revenue	$	1,334,747		$	1,047,888	$	131,496	$	106,585	$	114,772		$	(65,994	)
Cost of services	1,132,253			901,025		112,035		87,731		97,456			(65,994		)
Gross margin	202,494			146,863		19,461		18,854		17,316			—
Selling, administrative and other operating costs	203,930			122,576		16,402		13,029		51,923			—
Restructuring and severance costs	5,752			1,117		702		327		3,606			—
Gain on sale of building	(1,663		)	—		—		—		(1,663		)	—
Impairment charges	364			—		—		—		364			—
Operating income (loss)	(5,889		)	23,170		2,357		5,498		(36,914		)	—
Other income (expense), net	(6,506		)
Income tax provision	2,175
Net loss from continuing operations	(14,570		)
Loss from discontinued operations, net of income taxes	—
Net loss	$	(14,570	)

	Year Ended November 1, 2015
	Total			North American Staffing		International Staffing		Technology Outsourcing Services and Solutions		Corporate and Other (1)			Eliminations (2)
Net revenue	$	1,496,897		$	1,127,284	$	147,649	$	135,886	$	168,422		$	(82,344	)
Cost of services	1,268,363			974,859		127,699		108,309		139,840			(82,344		)
Gross margin	228,534			152,425		19,950		27,577		28,582			—
Selling, administrative and other operating costs	231,033			131,277		18,990		15,545		65,221			—
Restructuring and severance costs	3,635			705		357		—		2,573			—
Impairment charges	6,626			1,900		—		—		4,726			—
Operating income (loss)	(12,760		)	18,543		603		12,032		(43,938		)	—
Other income (expense), net	(2,380		)
Income tax provision	4,646
Net loss from continuing operations	(19,786		)
Loss from discontinued operations, net of income taxes	(4,834		)
Net loss	$	(24,620	)

	Year Ended November 2, 2014
	Total			North American Staffing		International Staffing		Technology Outsourcing Services and Solutions		Corporate and Other (1)			Eliminations (2)
Net revenue	$	1,710,028		$	1,284,314	$	158,266	$	146,547	$	208,820		$	(87,919	)
Cost of services	1,450,448			1,106,921		135,875		121,168		174,403			(87,919		)
Gross margin	259,580			177,393		22,391		25,379		34,417			—
Selling, administrative and other operating costs	249,026			140,698		21,281		16,056		70,991			—
Restructuring and severance costs	2,507			730		—				1,777			—
Restatement, investigations and remediation	3,261			—		—		—		3,261			—
Operating income (loss)	4,786			35,965		1,110		9,323		(41,612		)	—
Other income (expense), net	(2,947		)
Income tax provision	5,226
Net loss from continuing operations	(3,387		)
Loss from discontinued operations, net of income taxes	(15,601		)
Net loss	$	(18,988	)

(1) Revenues are primarily derived from managed service programs and information technology infrastructure services.

(2) The majority of intersegment sales results from North American Staffing providing resources to Technology Outsourcing Services and Solutions. 

Assets of the Company by reportable operating segment are summarized in the following table (in thousands):

	October 30, 2016		November 1, 2015
Assets:
North American Staffing	$	135,620	$	143,022
International Staffing	36,279		44,162
Technology Outsourcing Services and Solutions	34,038		31,626
Corporate & Other	92,948		85,073
Total segments	298,885		303,883
Held for sale	17,580		22,943
Total Assets	$	316,465	$	326,826

Sales to external customers and long-lived assets of the Company by geographic area are as follows (in thousands):

	Year Ended
	October 30, 2016		November 1, 2015		November 2, 2014
Net Revenue:
Domestic	$	1,148,254	$	1,273,971	$	1,489,334
International, principally Europe	186,493		222,926		220,694
Total Net Revenue	$	1,334,747	$	1,496,897	$	1,710,028

	October 30, 2016		November 1, 2015
Long-Lived Assets:
Domestic	$	27,113	$	21,335
International	3,020		2,760
Total Long-Lived Assets	$	30,133	$	24,095

Capital expenditures and depreciation and amortization by the Company’s operating segments are as follows (in thousands):

	Year Ended
	October 30, 2016		November 1, 2015		November 2, 2014
Capital Expenditures:
North American Staffing	$	480	$	422	$	287
International Staffing	893		324		308
Technology Outsourcing Services and Solutions	1,339		2,265		641
Corporate & Other	14,838		5,541		4,031
Total Capital Expenditures	$	17,550	$	8,552	$	5,267
Depreciation and Amortization:
North American Staffing	$	517	$	619	$	1,148
International Staffing	345		332		329
Technology Outsourcing Services and Solutions	1,728		1,172		1,761
Corporate & Other	3,379		4,688		6,085
Total Depreciation and Amortization	$	5,969	$	6,811	$	9,323