Segment and Geographic Information

9 Months Ended

Jan. 27, 2012

Segment Reporting [Abstract]

Segment and Geographic Information

Note 21 – Segment and Geographic Information

Segment information

On November 16, 2011, the Company entered into a definitive agreement under which Bain Capital wouldacquire Physio-Control and related entities. As of January 27, 2012, the results of operations, assets, and liabilities of the Physio-Control business, which were previously presented as a component of the Cardiac and Vascular Group operating segment, are being classified as discontinued operations for all periods presented. On January 30, 2012, the Company completed its sale of Physio-Control. See Note 3 for further information regarding discontinued operations.

The Company's Cardiac and Vascular Group consists of twobusinesses: Cardiac Rhythm Disease Management(CRDM) and CardioVascular. The primary products sold by this operating segment include those for cardiac rhythm disorders and cardiovascular disease. The Company's Restorative Therapies Group consists of fourbusinesses:Spinal, Neuromodulation, Diabetes, and Surgical Technologies. The primary products sold by this operating segment include those for spinal conditions and musculoskeletal trauma, neurological disorders, urological and digestive disorders, diabetes, and ear, nose, and throat conditions.

The Company's management evaluates performance and allocates resources based on profit and loss from operations before income taxes and interest expense, net, not including special charges, restructuring charges, certain litigation charges, net, acquisition-related items, and certain tax adjustments. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies in Note 1 to the consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended April 29, 2011.

Net sales of the Company's reportable segments include end-customer revenues from the sale of products they each develop and manufacture or distribute. Net sales and earnings before income taxes by reportable segment are as follows:

	Three months ended				Nine months ended
	January 27,		January 28,		January 27,		January 28,
(in millions)	2012		2011		2012		2011
Cardiac and Vascular Group	$	2,029	$	1,995	$	6,230	$	5,925
Restorative Therapies Group		1,889		1,862		5,657		5,416
Total Net Sales	$	3,918	$	3,857	$	11,887	$	11,341

	Three months ended				Nine months ended
	January 27,		January 28,		January 27,		January 28,
(in millions)	2012		2011		2012		2011
Cardiac and Vascular Group	$	657	$	669	$	2,008	$	2,081
Restorative Therapies Group		518		500		1,489		1,488
Total Reportable Segments' Earnings Before Income Taxes		1,175		1,169		3,497		3,569
Certain litigation charges, net		-		(13)		-		(292)
Acquisition-related items		(15)		39		1		-
Interest expense, net		(33)		(70)		(103)		(210)
Corporate		(74)		(128)		(281)		(301)
Earnings From Continuing Operations Before Income Taxes	$	1,053	$	997	$	3,114	$	2,766

The following table presents the Company's net assets by reportable segment. Total net assets of continuing operations exclude net assets held for sale of $161 million and $170 million, respectively,as of January 27, 2012 and April 29, 2011.

	January 27,		April 29,
(in millions)	2012		2011
Cardiac and Vascular Group	$	7,073	$	6,681
Restorative Therapies Group		11,334		10,550
Total Net Assets of Reportable Segments		18,407		17,231
Short-term borrowings		(1,972)		(1,723)
Long-term debt		(8,248)		(8,112)
Corporate		8,821		8,402
Total Net Assets of Continuing Operations	$	17,008	$	15,798

Geographic information
Net sales to external customers by geography are as follows:
	Three months ended				Nine months ended
	January 27,		January 28,		January 27,		January 28,
(in millions)	2012		2011		2012		2011
United States	$	2,145	$	2,203	$	6,530	$	6,610
Europe and Canada		1,046		994		3,135		2,822
Asia Pacific		574		524		1,760		1,517
Other Foreign		153		136		462		392
Total Net Sales	$	3,918	$	3,857	$	11,887	$	11,341