Segment Information

6 Months Ended

Jun. 30, 2011

Segment Information

Note 5— Segment Information

The Company reports financial information based on the organization structure used by management for making operating and investment decisions and for assessing performance. The Company’s reportable business segments consist of (1) United States; (2) Canada and (3) Europe. The activities of the Company’s Asian operating segment are closely linked to those of the U.S. operating segment; accordingly, management reviews the financial results of both segments on a consolidated basis, and the results of the Asian operating segment have been aggregated with the results of the United States operating segment to form one reportable segment called the “United States operating segment”. Each reportable segment derives its revenue from the sales of cutting devices, measuring instruments and safety products for school, office, home, hardware and industrial use.

The chief operating decision maker evaluates the performance of each operating segment based on segment revenues and operating income. Segment amounts below are presented after converting to U.S. dollars and consolidating eliminations.

Financial data by segment:

(in thousands)

	Three months ended June 30,						Six months ended  June 30,
Sales to external customers:	2011			2010			2011			2010
United States	$	18,527		$	14,995		$	29,086		$	24,626
Canada		3,324			2,881			5,178			4,449
Europe		2,178			2,709			4,166			4,631
Consolidated	$	24,029		$	20,585		$	38,430		$	33,706
Operating income (loss):
United States	$	1,862		$	1,502		$	1,983		$	1,880
Canada		599			455			749			517
Europe		(1	)		(10	)		(89	)		(150	)
Consolidated	$	2,460		$	1,946		$	2,643		$	2,247
Interest expense, net		74			38			121			58
Other expense (income), net		3			24			(22	)		39
Consolidated income before taxes	$	2,383		$	1,884		$	2,544		$	2,150

Assets by segment:
(in thousands)
	June 30,		December 31,
	2011		2010
United States	$	47,073	$	37,685
Canada		7,137		6,205
Europe		6,854		5,691
Consolidated	$	61,064	$	49,581