Business Segments

12 Months Ended

Jan. 01, 2012

Business Segments [Abstract]

Business Segments

Note 13.    Business Segments

The Company has four reportable segments: Instrumentation; Digital Imaging; Aerospace and Defense Electronics; and Engineered Systems. The Company manages, evaluates and aggregates its operating segments for segment reporting purposes primarily on the basis of product and service type, production process, distribution methods, type of customer, management organization, sales growth potential and long-term profitability. The Instrumentation segment provides measurement, monitoring and control instruments for marine, environmental, scientific and industrial applications. This segment also provides power and communications connectivity devices for distributed instrumentation systems and sensor networks deployed in mission critical, harsh environments. The Digital Imaging segment includes digital image capture products, primarily consisting of high performance sensors, cameras and software for use in industrial, scientific, medical and professional applications products, specialty semiconductors and micro electro mechanical systems, and infrared detectors, cameras and optomechanical assemblies. This segment also includes our sponsored and centralized research laboratories benefiting government programs and businesses, as well as major development efforts for innovative digital imaging products for government and space applications. The Aerospace and Defense Electronics segment provides sophisticated electronic components and subsystems and communications products, including defense electronics, data acquisition and communications equipment for air transport and business aircraft, harsh environment interconnects, and components and subsystems for wireless and satellite communications, as well as general aviation batteries. The Engineered Systems segment provides innovative systems engineering and integration, advanced technology development, and manufacturing solutions to space, military, environmental, energy, chemical, biological, nuclear systems and missile defense requirements. This segment also designs and manufactures hydrogen gas generators, thermoelectric and electrochemical energy solutions and small turbine engines.

In 2010, we realigned and changed the reporting structure of some of our reportable business units. Our former Electronics and Communications segment is now reporting as three segments: Instrumentation; Digital Imaging; and Aerospace and Defense Electronics. The businesses that comprised the Energy and Power Systems segment are now reported as part of the Aerospace and Defense Electronics and the Engineered Systems segments. No changes to our reporting structure were made in 2011. All years presented below reflect the current segment structure.

Segment operating profit includes other income and expense directly related to the segment, but excludes amounts attributable to noncontrolling interests, interest income and expense, gains and losses on the disposition of assets, sublease rental income and non-revenue licensing and royalty income, domestic and foreign income taxes and corporate office expenses.

Identifiable assets are those assets used in the operations of the segments. Corporate assets primarily consist of cash and cash equivalents, deferred taxes, net pension assets/liabilities and other assets.

Information on the Company’s business segments was as follows (in millions):

	2011		2010		2009
Sales
Instrumentation	$	616.6	$	573.2	$	538.4
Digital Imaging		349.9		122.5		127.3
Aerospace and Defense Electronics		670.8		614.7		579.2
Engineered Systems		304.6		333.8		407.2
Total sales	$	1,941.9	$	1,644.2	$	1,652.1

		000000			000000			000000
	2011			2010			2009
Income before taxes
Instrumentation	$	122.8		$	113.9		$	95.5
Digital Imaging		16.1			5.2			11.8
Aerospace and Defense Electronics		93.9			57.8			60.1
Engineered Systems		28.1			30.4			31.3
Segment operating profit and other segment income		260.9			207.3			198.7
Corporate expense		(33.7	)		(28.8	)		(27.3	)
Interest and debt expense, net		(16.2	)		(6.5	)		(4.8	)
Other income (expense), net		0.6			1.6			(0.2	)
Income before taxes	$	211.6		$	173.6		$	166.4

		000000		000000		000000
	2011		2010		2009
Depreciation and amortization
Instrumentation	$	16.3	$	16.6	$	16.0
Digital Imaging		26.9		9.3		9.6
Aerospace and Defense Electronics		16.9		16.0		14.0
Engineered Systems		4.0		3.1		2.7
Corporate		0.1		0.2		0.2
Total depreciation and amortization	$	64.2	$	45.2	$	42.5

		000000		000000		000000
	2011		2010		2009
Capital expenditures
Instrumentation	$	8.9	$	6.4	$	16.1
Digital Imaging		13.8		11.3		5.7
Aerospace and Defense Electronics		13.1		9.7		8.4
Engineered Systems		5.9		3.6		3.3
Total capital expenditures	$	41.7	$	31.0	$	33.5

	2011			2010			2009
Identifiable assets
Instrumentation		$	545.0		$	575.0		$	541.5
Digital Imaging			638.8			192.0			179.8
Aerospace and Defense Electronics			479.3			460.7			415.2
Engineered Systems			115.1			106.9			92.8
Corporate			47.9			148.1			102.1
Discontinued operations			—			75.1			90.1
Total identifiable assets		$	1,826.1		$	1,557.8		$	1,421.5

Information on the Company’s sales by country of origin and long-lived assets by major geographic area was as follows (in millions):

	2011		2010		2009
Sales
United States	$	1,623.0	$	1,551.2	$	1,561.6
Canada		165.0		—		0.2
All other countries		153.9		93.0		90.3
Total sales	$	1,941.9	$	1,644.2	$	1,652.1

		00000000		00000000		00000000
	2011		2010		2009
Long-lived assets
United States	$	802.7	$	779.5	$	739.8
Canada		282.9		—		—
All other countries		137.7		130.3		95.5
Total long-lived assets	$	1,223.3	$	909.8	$	835.3

The all other countries category primarily consists of the operations in the United Kingdom. Long-lived assets consist of property, plant and equipment, goodwill, acquired intangible assets and other long-term assets including deferred compensation assets but excluding any deferred tax assets.

Product Lines

The Instrumentation segment includes two product lines: Environmental Instrumentation; and Marine Instrumentation. The Digital Imaging segment contains one product line as does the Aerospace and Defense Electronics segment. This Engineered Systems segment includes three product lines: Engineered Products and Services; Turbine Engines; and Energy Systems.

The tables below provide a summary of the sales by product line for the Instrumentation segment and the Engineered Systems segment (in millions):

	2011		2010		2009
Instrumentation
Environmental Instrumentation	$	243.8	$	219.8	$	203.3
Marine Instrumentation		372.8		353.4		335.1
Total	$	616.6	$	573.2	$	538.4

	2011		2010		2009
Engineered Systems
Engineered Products and Services	$	246.2	$	279.9	$	346.9
Turbine Engines		23.8		17.0		28.5
Energy Systems		34.6		36.9		31.8
Total	$	304.6	$	333.8	$	407.2

Sales to the U.S. Government included sales to the Department of Defense of $560.6 million in 2011, $555.0 million in 2010, and $590.5 million in 2009. Total sales to international customers were $689.9 million in 2011, $470.8 million in 2010, and $427.7 million in 2009. Of these amounts, sales by operations in the United States to customers in other countries were $424.8 million in 2011, $397.7 million in 2010, and $394.6 million in 2009. There were no sales to individual countries outside of the United States in excess of 10 percent of the Company’s sales. Sales between business segments, which were not material, generally were priced at prevailing market prices.