8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported)  April 29, 2012

HAEMONETICS CORPORATION

(Exact name of registrant as specified in its charter)

Massachusetts	1-14041	04-2882273
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

400 Wood Road	02184
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code  781-848-7100

(Former name or former address, if changed since last report.)

	Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
o	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02               RESULTS OF OPERATIONS AND FINANCIAL CONDITION

On April 29, 2012, Haemonetics Corporation (the “Company”) issued a press release announcing financial results for the fourth quarter and full year ended March 31, 2012.  A copy of the release is furnished with this report as exhibit 99.1.

The information in this current report on Form 8-K and the exhibit attached hereto shall not be deemed “filed” for the purposes of Section 18 of the Securities and Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing.

Item 9.01               FINANCIAL STATEMENTS AND EXHIBITS

(c)Exhibits

99.1: Press Release of Haemonetics Corporation dated April 29, 2012 announcing financial results for the fourth quarter and full year ended March 31, 2012.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	HAEMONETICS CORPORATION
	(Registrant)
Date: April 30, 2012	By:	/s/ Christopher Lindop
		Christopher Lindop, Vice President
		and Chief Financial Officer

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EXHIBIT INDEX

99.1         Press Release issued by Haemonetics Corporation on April 29, 2012.

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EX-99.1

		Exhibit 99.1
		News Release
FOR RELEASE:		CONTACT:
Date	April 29, 2012	Gerry Gould, VP-Investor Relations
Time	12:00 pm Eastern	Tel. (781) 356-9402
		gerry.gould@haemonetics.com
		Alt. (781) 356-9613

Haemonetics Reports 10% Revenue Growth for Fourth Quarter of Fiscal 2012 and $0.80 Adjusted EPS; Also Establishes Fiscal 2013 Guidance

Braintree, MA, April 29, 2012 - Haemonetics Corporation (NYSE: HAE) today reported fourth quarter 2012 GAAP net revenue of $186.7 million, up 10%, net income of $17.8 million, down 15%, and diluted earnings per share of $0.69, down 14%. Excluding restructuring, transformation and transaction costs, adjusted fourth quarter net income was $20.6 million, down 6%, and adjusted earnings per share were $0.80, down 5%. Excluding currency impacts, net revenue was up 8% in the quarter.¹ 

For fiscal year 2012, Haemonetics reported GAAP net revenue of $727.8 million, up 8%, net income of $66.9 million, down 16%, and diluted earnings per share of $2.59, down 17%. Excluding restructuring, transformation and transaction costs and contingent consideration income, adjusted net income was $78.4 million, down 6%, and adjusted earnings per share were $3.04, down 7%. Excluding currency impacts, year to date fiscal 2012 net revenue was up 6%.¹ 

Brian Concannon, Haemonetics' President and CEO, commented: “The fourth quarter performance completes a fiscal year in which we realized revenue growth every quarter. Plasma disposables growth continued to be strong and our blood management solutions gained traction as the year progressed. This was evident in both Blood Center and Hospital disposables. Growth in Hospital disposables was fueled by demand for the Cell Saver^® Elite^®, our newest cell salvage device, and continued demand for TEG^® disposables as hospital customers continue to seek ways to reduce costs and improve clinical outcomes under the mounting pressures of healthcare reform.”

STRATEGIC AND PRODUCT GROWTH HIGHLIGHTS

Haemonetics continues to make progress expanding its business, reporting the following fourth quarter fiscal 2012 highlights:

• 13% revenue growth in plasma disposables, as collection volume remains robust.

• 9% revenue growth in Blood Center disposables, as platelet growth drives revenues.

• 27% revenue growth in diagnostic disposables products, with Blood Management Solutions driving growth at leading US hospitals.

• 17% growth in equipment sales, giving confidence that disposables revenue growth will continue.

• IMPACT^® accounts increased by 21 in the quarter to 258 as more customers embrace the value of blood management.

• OrthoPAT^® device recall, build and replacement substantially completed.

• HS Core Bowl reintroduced via limited market release, completion expected in Q1 of fiscal 2013.

• Extended another multi-year comprehensive equipment and disposables supply agreement with a commercial plasma customer.

• 75% of current commercial plasma business now under contract through Q3 of fiscal 2017 and over 98% through Q3 of fiscal 2015.

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Mr. Concannon added: “As we close out fiscal 2012, we are in a very good position to succeed in all of our businesses. The Plasma contract extensions enable us and our customers to confidently plan for and accommodate the growth in demand that is expected in the plasma collection market. Growth in red cell and platelet disposables validates the value inherent in our Blood Management Solutions for our Blood Center customers. And the combination of new OrthoPAT devices, strong demand for TEG devices, our new Cell Saver Elite and an expanding IMPACT customer base bodes well for growth in our Hospital business.”

Revenue was $186.7 million in the quarter, up 10% and $727.8 million in the full fiscal year, up 8%. A revenue breakdown follows:

Plasma

Plasma disposables revenue was $61.9 million for the quarter, up 13%, and $258.1 million for fiscal 2012, up 14%. In the quarter, momentum continued as expected in Haemonetics' North America plasma business and was unusually strong in Japan due to the Japanese Red Cross (“JRC”) increasing inventories of our disposables in anticipation of a system conversion. The company expects its plasma business to have a mid-single digit percentage growth in fiscal 2013 consistent with end market growth rates for plasma derived biopharmaceuticals, despite the first quarter correction of the JRC inventory.

Blood Center

Platelet disposables revenue was $44.1 million for the quarter, up 13%, and $167.9 million in fiscal 2012, up 7%. Platelet revenue continues to benefit from strong sales in emerging markets and the impact of the JRC system conversion.

Red cell disposables revenue was $12.4 million for the quarter, down 1%, in comparison with a strong prior year quarter and $48.0 million in fiscal 2012, up 3%. Though the clinical demand for blood remains flat, red cell revenue grew in fiscal 2012 due to increased collections on the Company's devices as the Company leveraged its IMPACT selling approach to advance Blood Management Solutions.

Hospital

Surgical disposables revenue was $17.3 million for the quarter, up 2%, and $66.6 million in fiscal 2012, flat with the prior year. Notably this was the third consecutive increase after eight consecutive quarters of decline, as the product launch of the Cell Saver Elite device accelerated as expected. Strong Cell Saver Elite equipment sales in the quarter should provide strong near-term disposables growth. Disposables revenue from our OrthoPAT orthopedic perioperative autotransfusion system was $8.4 million in the quarter, down 8%, and $31.2 million in fiscal 2012, down 12%, as the impact of the voluntary recall of pre-2002 devices upon disposables usage began to diminish.

Diagnostics revenue was $6.1 million for the quarter, up 27%, and $23.1 million in the fiscal year, up 19%, as the company's IMPACT initiative continues to drive growth in disposables utilized in the TEG^® Thrombelastograph^® Hemostasis Analyzer business. TEG equipment sales were especially strong toward the end of the third quarter, a known key indicator for near-term future disposables revenue growth. TEGdisposables sales increased 127% in the quarter in China.

Software Solutions revenue was $19.3 million for the quarter, up 9% over a strong prior year quarter, and $70.6 million in fiscal 2012, up 6%. The enhanced offering of software products for Blood Center and Hospital customers continued to drive revenue growth in North America, where a major customer implemented Blood Track, and several installations were completed in the UK.

Equipment and other revenue was $17.2 million in the quarter, up 17%, and $62.4 million in the full fiscal year, up 8%. Equipment revenue is influenced by the timing of tenders and capital budgets. Sales of Cell Saver Elite devices in North America were particularly strong in the quarter.

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Haemonetics reported fourth quarter fiscal 2012 revenue growth of 9% in North America, 24% in Japan, 11% in Asia and 2% in Europe. For fiscal 2012, North America revenue was up 11%, Japan revenue was up 13%, Asia revenue was up 9% and Europe revenue was down 2%.

In the quarter, Haemonetics reported adjusted gross margin of 50.8%, down 70 basis points, and adjusted operating margin of 14.5%, down 350 basis points. The Company's adjusted operating expenses were $67.7 million, up 19%. Gross and operating margins were significantly impacted by product recall and quality-related issues that normalized by the end of the quarter. The negative impact on operating results due to our product quality initiatives was approximately 150 basis points of gross margin and $3.5 million of operating earnings, which equates to $0.10 per share in the quarter; and 160 basis points of gross margin and $14.5 million of operating earnings, which equates to $0.41 per share in fiscal 2012.

Balance Sheet and Cash Flow

Cash on hand was $229 million, an increase of $24 million during the quarter. The Company reported continued strong cash flows, though at somewhat reduced levels from the prior year due to the impact of the product recall and other quality-related issues. The cash balance on hand is net of a $50 million share buyback completed in the second quarter of fiscal 2012.

Guidance

Fiscal 2013 organic revenue growth is expected to be approximately 4-6%, with Plasma expected to grow 4-6%, Blood Center 0-2%, Hospital products 12-15% and Software Solutions 5-7%. Full year adjusted gross margin is expected to be in a range of 52-53%, adjusted operating income between $117-$119 million, adjusted earnings per share between $3.30-$3.40, up 9%-12% over fiscal 2012, and free cash flow approximating $85 million, all on an organic basis exclusive of planned acquisitions. Excluding the expected one-time costs associated with two business acquisitions, which are the subject of separate press releases issued today, Haemonetics anticipates the impact to adjusted earnings per share to be at least neutral in fiscal 2013, and accretive in fiscal 2014 and beyond.

More information on the impact of the cost of quality on our adjusted operating results, both for the fourth quarter and the full year, can be found on our web site at http://www.haemonetics.com.¹  

CONFERENCE CALL

In consideration of the need to discuss the implications of the two acquisition announcements in addition to these quarterly and full year results, Haemonetics will host its webcast two hours earlier than previously communicated, on Monday, April 30, 2012 at 8:00 am Eastern time. Interested parties can participate at:

http://phoenix.corporate-ir.net/phoenix.zhtml?p=irol-eventDetails&c=72118&eventID=4702718.

Haemonetics (NYSE: HAE) is a global healthcare company dedicated to providing innovative blood management solutions for our customers. Together, our devices and consumables, information technology platforms, and consulting services deliver a suite of business solutions to help our customers improve clinical outcomes and reduce the cost of healthcare for blood collectors, hospitals, and patients around the world. Our technologies address important medical markets: blood and plasma component collection, the surgical suite, and hospital transfusion services. To learn more about Haemonetics, visit our web site at http://www.haemonetics.com.

This release contains forward-looking statements that involve risks and uncertainties, including technological advances in the medical field and standards for transfusion medicine and our ability to successfully implement products that incorporate such advances and standards, product demand, product quality, market acceptance, regulatory uncertainties, the effect of economic and political conditions, the impact of competitive products and pricing, blood product reimbursement policies and practices, foreign currency exchange rates, changes in customers' ordering patterns, the effect of industry consolidation as seen in the plasma market, the effect of communicable diseases and the effect of uncertainties in markets outside the U.S. (including Europe and Asia) in

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which we operate and other risks detailed in the Company's filings with the Securities and Exchange Commission. The foregoing list should not be construed as exhaustive.

These forward-looking statements are based on estimates and assumptions made by management of the Company and are believed to be reasonable, though inherently uncertain and difficult to predict. Actual results and experience could differ materially from the forward-looking statements. Information set forth in this press release is current as of today and the Company undertakes no duty or obligation to update this information.

¹A reconciliation of GAAP to adjusted financial results is included at the end of the financial sections of this press release as well as on the web athttp://www.haemonetics.com. GAAP results include the following items which are excluded from adjusted results: $6.1 million of pre-tax restructuring, transformation and transaction costs in the fourth quarter of fiscal 2012; $1.7 million in pre-tax restructuring and transformation costs in the fourth quarter of fiscal 2011; $19.3 million of pre-tax restructuring, transformation and transaction costs and $1.6 million of contingent consideration income in fiscal 2012; and $8.3 million in pre-tax restructuring and integration costs and $1.9 million of contingent consideration in fiscal 2011. Fiscal 2012 pre-tax restructuring and transformation costs excluded from adjusted financial results include $4.5 million of transaction costs and $3.1 million of expenses for customer claims arising from the HS Core Bowl quality issue. Fiscal 2013 guidance excludes: $20-25 million of planned costs associated with the completion and integration of the two transactions announced today. Those costs include transaction costs necessary to finalize the transaction, and costs necessary to integrate the acquisitions including a dedicated integration team. Onetime adjustments to increase the cost of inventory acquired in the two transactions, such that only a distributor's profit is earned on the first turn of the acquired inventory, will also be excluded from adjusted financial results.

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Haemonetics Corporation Financial Summary
(Unaudited data in thousands, except per share data)
Consolidated Statements of Income for the Fourth Quarter of FY12 and FY11
		3/31/2012			4/2/2011			% Inc/(Dec)
		As Reported			As Reported			vs Prior Year
Net revenues		$	186,670		$	170,033		9.8	%
Gross profit		94,612			87,501			8.1	%
	R&D	8,611			8,786			(2.0	)%
	S,G&A	65,041			49,820			30.6	%
Operating expenses		73,652			58,606			25.7	%
Operating income		20,960			28,895			(27.5	)%
Other income (expense), net		369			(323		)	(214.2	)%
Income before taxes		21,329			28,572			(25.3	)%
Tax expense		3,524			7,584			(53.5	)%
Net income		$	17,805		$	20,988		(15.2	)%
Net income per common share assuming dilution		$	0.69		$	0.81		(14.2	)%
Weighted average number of shares:
	Basic	25,229			25,509
	Diluted	25,678			25,970
Profit Margins:								Inc/(Dec) vs prior year profit margin %
Gross profit		50.7		%	51.5		%	(0.8	)%
R&D		4.6		%	5.2		%	(0.6	)%
S,G&A		34.8		%	29.3		%	5.5	%
Operating income		11.2		%	17.0		%	(5.8	)%
Income before taxes		11.4		%	16.8		%	(5.4	)%
Net income		9.5		%	12.3		%	(2.8	)%

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Haemonetics Corporation Financial Summary
(Unaudited data in thousands, except per share data)
Consolidated Statements of Income for FY12 and FY11
		3/31/2012			4/2/2011			% Inc/(Dec)
		As Reported			As Reported			vs Prior Year
Net revenues		$	727,844		$	676,694		7.6	%
Gross profit		369,240			355,209			4.0	%
	R&D	36,801			32,656			12.7	%
	S,G&A	245,261			213,899			14.7	%
	Contingent consideration income	(1,580		)	(1,894		)	(16.6	)%
Operating expenses		280,482			244,661			14.6	%
Operating income		88,758			110,548			(19.7	)%
Other income (expense), net		740			(467		)	(258.5	)%
Income before taxes		89,498			110,081			(18.7	)%
Tax expense		22,612			30,101			(24.9	)%
Net income		$	66,886		$	79,980		(16.4	)%
Net income per common share assuming dilution		$	2.59		$	3.12		(16.9	)%
Weighted average number of shares:
	Basic	25,364			25,077
	Diluted	25,795			25,596
Profit Margins:								Inc/(Dec) vs prior year profit margin %
Gross profit		50.7		%	52.5		%	(1.8	)%
R&D		5.1		%	4.8		%	0.3	%
S,G&A		33.7		%	31.6		%	2.1	%
Operating income		12.2		%	16.3		%	(4.1	)%
Income before taxes		12.3		%	16.3		%	(4.0	)%
Net income		9.2		%	11.8		%	(2.6	)%

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Revenue Analysis for the Fourth Quarter and FY12 and FY11
(Unaudited data in thousands)
		Three Months Ended
		3/31/2012		4/2/2011		% Inc/(Dec)
		As Reported		As Reported		vs Prior Year
Revenues by geography
	United States	$	87,485	$	80,277	9.0	%
	International	99,185		89,756		10.5	%
Net revenues		$	186,670	$	170,033	9.8	%
Disposable revenues
	Plasma disposables	$	61,855	$	54,965	12.5	%
	Blood center disposables
	Platelet	44,058		39,130		12.6	%
	Red cell	12,358		12,545		(1.5	)%
		56,416		51,675		9.2	%
	Hospital disposables
	Surgical	17,338		17,024		1.8	%
	OrthoPAT	8,382		9,145		(8.3	)%
	Diagnostics	6,132		4,839		26.7	%
		31,852		31,008		2.7	%
	Subtotal	150,123		137,648		9.1	%
Software solutions		19,349		17,722		9.2	%
Equipment & other		17,198		14,663		17.3	%
Net revenues		$	186,670	$	170,033	9.8	%
		Year Ended
		3/31/2012		4/2/2011		% Inc/(Dec)
		As Reported		As Reported		vs Prior Year
Revenues by geography
	United States	$	352,160	$	317,355	11.0	%
	International	375,684		359,339		4.5	%
Net revenues		$	727,844	$	676,694	7.6	%
Disposable revenues
	Plasma disposables	$	258,061	$	227,209	13.6	%
	Blood center disposables
	Platelet	167,946		156,251		7.5	%
	Red cell	48,034		46,828		2.6	%
		215,980		203,079		6.4	%
	Hospital disposables
	Surgical	66,619		66,503		0.2	%
	OrthoPAT	31,186		35,631		(12.5	)%
	Diagnostics	23,087		19,414		18.9	%
		120,892		121,548		(0.5	)%
	Subtotal	594,933		551,836		7.8	%
Software solutions		70,557		66,876		5.5	%
Equipment & other		62,354		57,982		7.5	%
Net revenues		$	727,844	$	676,694	7.6	%

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Consolidated Balance Sheets
			As of
			3/31/2012		4/2/2011
Assets
Cash and cash equivalents			$	228,861	$	196,707
Accounts receivable, net			135,464		127,166
Inventories, net			117,163		84,387
Other current assets			45,138		40,571
		Total current assets	526,626		448,831
Net PP&E			161,657		155,528
Other assets			222,349		228,905
	Total assets		$	910,632	$	833,264
			As of
			3/31/2012		4/2/2011
Liabilities & Stockholders' Equity
Short term debt & current maturities			$	894	$	913
Other current liabilities			129,850		107,758
		Total current liabilities	130,744		108,671
Long-term debt			2,877		3,966
Other long-term liabilities			41,936		34,491
Stockholders' equity			735,075		686,136
	Total liabilities & stockholders' equity		$	910,632	$	833,264

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Free Cash Flow Reconciliation
	Three Months Ended
	3/31/2012			4/2/2011
GAAP cash flow from operations	$	33,975		$	32,139
Capital expenditures	(16,239		)	(11,683		)
Proceeds from sale of property, plant and equipment	485			1,134
Net investment in property, plant and equipment	(15,754		)	(10,549		)
Free cash flow after restructuring and transformation costs	18,221			21,590
Restructuring and transformation costs	3,088			3,222
	3,088			3,222
Free cash flow before restructuring and transformation costs	$	21,309		$	24,812
	Year Ended
	3/31/2012			4/2/2011
GAAP cash flow from operations	$	115,318		$	123,455
Capital expenditures	(53,198		)	(46,669		)
Proceeds from sale of property, plant and equipment	1,002			1,468
Net investment in property, plant and equipment	(52,196		)	(45,201		)
Free cash flow after restructuring and transformation costs	63,122			78,254
Restructuring and transformation costs	12,336			12,567
Global Med employment contracts	—			2,122
	12,336			14,689
Free cash flow before restructuring and transformation costs	$	75,458		$	92,943

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Cost of Quality
(in thousands, except per share data)
The cost of quality are included in both GAAP and Non-GAAP results. This table is intended to provide further details.
	Q4 FY12			Full Year
Revenue	$	(2,013	)	$	(9,012	)
Standard Margin	$	(2,177	)	$	(9,489	)
Gross Profit	$	(2,766	)	$	(11,735	)
Operating Expenses	$	704		$	2,760
Operating Income	$	(3,470	)	$	(14,495	)
Earnings Per Share	$	(0.10	)	$	(0.41	)

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Haemonetics Corporation Financial Summary

Reconciliation of Non-GAAP Measures

Haemonetics has presented supplemental non-GAAP financial measures as part of this earnings release. A reconciliation is provided below that reconciles each non-GAAP financial measure with the most comparable GAAP measure. The presentation of non-GAAP financial measures should not be considered in isolation from, or as a substitute for, the most directly comparable GAAP measures. There are material limitations to the usefulness of non-GAAP measures on a standalone basis, including the lack of comparability to the GAAP financial results of other companies.

These measures are used by management to monitor the financial performance of the business, inform business decision making, and forecast future results. Performance targets for management are established based upon these non-GAAP measures. In the reconciliations below, we have removed restructuring and transformation costs from our GAAP expenses. Our restructuring and transformation costs are principally related to transaction costs, HS Core customer related expenses, restructuring of certain departments and the disposal of a product line. We believe this information is useful for investors because it allows for an evaluation of the Company with a focus on the performance of our core operations.

Non-GAAP Gross Profit

The use of these non-GAAP measures allows management to monitor the level of total gross profits without the costs of our business transformation. We establish our budgets, forecasts, and performance targets on this basis.

Non-GAAP S,G&A and Non-GAAP Operating Expenses

The use of this non-GAAP measure allows management to monitor the ongoing level of spend that is necessary to support the business in a period when we are not transforming our business or completing an acquisition of in-process research and development. We establish our budgets, forecasts, and performance targets excluding these costs.

Non-GAAP Operating Income and Non-GAAP Income before Income Taxes

The use of these non-GAAP measures allows management to monitor the level of operating and total pre-tax profits without the costs of our business transformation. We establish our budgets, forecasts, and performance targets on this basis.

Non-GAAP Net Income and Earnings per Share

The use of these non-GAAP measures allows management to monitor the level of net income and earnings per share excluding both the costs of our business transformation, as well as any related tax effects. We establish our budgets, forecasts, and performance targets on this basis.

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Reconciliation of Non-GAAP Measures for the Fourth Quarter of FY12 and FY11
	Three Months Ended
	3/31/2012			4/2/2011
Non-GAAP gross profit
GAAP gross profit	$	94,612		$	87,501
Restructuring and transformation costs	167			—
Non-GAAP gross profit	$	94,779		$	87,501
Non-GAAP R&D
GAAP R&D	$	8,611		$	8,786
Restructuring and transformation costs	(962		)	—
Non-GAAP R&D	$	7,649		$	8,786
Non-GAAP S,G&A
GAAP S,G&A	$	65,041		$	49,820
Restructuring and transformation costs	(4,998		)	(1,705		)
Non-GAAP S,G&A	$	60,043		$	48,115
Non-GAAP operating expenses
GAAP operating expenses	$	73,652		$	58,606
Restructuring and transformation costs	(5,960		)	(1,705		)
Contingent consideration income	—			—
Non-GAAP operating expenses	$	67,692		$	56,901
Non-GAAP operating income
GAAP operating income	$	20,960		$	28,895
Restructuring and transformation costs	6,127			1,705
Contingent consideration income	—			—
Non-GAAP operating income	27,087			$	30,600
Non-GAAP income before taxes
GAAP income before taxes	$	21,329		$	28,572
Restructuring and transformation costs	6,127			1,705
Contingent consideration income	—			—
Non-GAAP income before taxes	$	27,456		$	30,277
Non-GAAP net income
GAAP net income	$	17,805		$	20,988
Restructuring and transformation costs	6,127			1,705
Contingent consideration income	—			—
Tax benefit associated with non-GAAP items	(3,282		)	(681		)
Non-GAAP net income	$	20,650		$	22,012
Non-GAAP net income per common share assuming dilution
GAAP net income per common share assuming dilution	$	0.69		$	0.81
Non-GAAP items after tax per common share assuming dilution	$	0.11		$	0.04
Non-GAAP net income per common share assuming dilution	$	0.80		$	0.85

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Presented below are additional Constant Currency performance measures. We measure different components of our business at constant currency. We believe this information is useful for investors because it allows for an evaluation of the Company without the effect of changes in foreign exchange rates. These results convert our local foreign currency operating results to the US Dollar at constant exchange rates of 0.833 Euro to 1.00 US Dollar and 110 Yen to 1.00 US Dollar. They also exclude the results of our foreign currency hedging program described in Note 7 to our consolidated financial statements in our Form 10-K.
	Three Months Ended
	3/31/2012			4/2/2011
Non-GAAP revenues
GAAP revenue	$	186,670		$	170,033
Foreign currency effects	(14,614		)	(11,449		)
Non-GAAP revenue - constant currency	$	172,056		$	158,584
Non-GAAP net income
Non-GAAP net income, adjusted for restructuring and transformation costs	$	20,650		$	22,012
Foreign currency effects	(4,815		)	(4,135		)
Income tax associated with foreign currency effects
Non-GAAP net income - constant currency	$	15,835		$	17,877
Non-GAAP net income per common share assuming dilution
Non-GAAP net income per common share assuming dilution, adjusted for restructuring and transformation costs	$	0.80		$	0.85
Foreign currency effects after tax per common share assuming dilution	$	(0.18	)	$	(0.16	)
Non-GAAP net income per common share assuming dilution - constant currency	$	0.62		$	0.69

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Reconciliation of Non-GAAP Measures for FY12 and FY11
	Year Ended
	3/31/2012			4/2/2011
Non-GAAP gross profit
GAAP gross profit	$	369,240		$	355,209
Restructuring and transformation costs	1,510			—
Non-GAAP gross profit	$	370,750		$	355,209
Non-GAAP R&D
GAAP R&D	$	36,801		$	32,656
Restructuring and transformation costs	(2,864		)	—
Non-GAAP R&D	$	33,937		$	32,656
Non-GAAP S,G&A
GAAP S,G&A	$	245,261		$	213,899
Restructuring and transformation costs	(14,947		)	(8,303		)
Non-GAAP S,G&A	$	230,314		$	205,596
Non-GAAP operating expenses
GAAP operating expenses	$	280,482		$	244,661
Restructuring and transformation costs	(17,811		)	(8,303		)
Contingent consideration income	1,580			1,894
Non-GAAP operating expenses	$	264,251		$	238,252
Non-GAAP operating income
GAAP operating income	$	88,758		$	110,548
Restructuring and transformation costs	19,321			8,303
Contingent consideration income	(1,580		)	(1,894		)
Non-GAAP operating income	$	106,499		$	116,957
Non-GAAP income before taxes
GAAP income before taxes	$	89,498		$	110,081
Restructuring and transformation costs	19,321			8,303
Contingent consideration income	(1,580		)	(1,894		)
Non-GAAP income before taxes	$	107,239		$	116,490
Non-GAAP net income
GAAP net income	$	66,886		$	79,980
Restructuring and transformation costs	19,321			8,303
Contingent consideration income	(1,580		)	(1,894		)
Tax benefit associated with non-GAAP items	(6,227		)	(2,622		)
Non-GAAP net income	$	78,400		$	83,767
Non-GAAP net income per common share assuming dilution
GAAP net income per common share assuming dilution	$	2.59		$	3.12
Non-GAAP items after tax per common share assuming dilution	$	0.45		$	0.15
Non-GAAP net income per common share assuming dilution	$	3.04		$	3.27

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Presented below are additional Constant Currency performance measures. We measure different components of our business at constant currency. We believe this information is useful for investors because it allows for an evaluation of the Company without the effect of changes in foreign exchange rates. These results convert our local foreign currency operating results to the US Dollar at constant exchange rates of 0.833 Euro to 1.00 US Dollar and 110 Yen to 1.00 US Dollar. They also exclude the results of our foreign currency hedging program described in Note 7 to our consolidated financial statements in our Form 10-K.
	Year Ended
	3/31/2012			4/2/2011
Non-GAAP revenues
GAAP revenue	$	727,844		$	676,694
Foreign currency effects	(54,720		)	(41,237		)
Non-GAAP revenue - constant currency	$	673,124		$	635,457
Non-GAAP net income
Non-GAAP net income, adjusted for restructuring, transformation costs and contingent consideration income	$	78,400		$	83,767
Foreign currency effects	(14,479		)	(13,207		)
Income tax associated with foreign currency effects	—			2
Non-GAAP net income - constant currency	$	63,921		$	70,562
Non-GAAP net income per common share assuming dilution
Non-GAAP net income per common share assuming dilution, adjusted for restructuring, transformation costs and contingent consideration income	$	3.04		$	3.27
Foreign currency effects after tax per common share assuming dilution	$	(0.56	)	$	(0.51	)
Non-GAAP net income per common share assuming dilution - constant currency	$	2.48		$	2.76

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Restructuring and Transformation Costs
(in thousands)
GAAP results include the following items which are excluded from adjusted results.
	Three Months Ended
	3/31/2012			4/2/2011
Restructuring and Transformation	$	2,774		$	1,705
HS Core Claims	(1,097		)	—
Transaction Costs	4,450			—
Contingent Consideration	—			—
Total	$	6,127		$	1,705
	Twelve Months Ended
	3/31/2012			4/2/2011
Restructuring and Transformation	$	11,759		$	8,303
HS Core Claims	3,112			—
Transaction Costs	4,450			—
Contingent Consideration	(1,580		)	(1,894		)
Total	$	17,741		$	6,409

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