Segment Information

12 Months Ended

Dec. 31, 2012

Segment Information

Note 20—Segment Information

We periodically evaluate our application of accounting guidance for reportable segments and disclose information about reportable segments based on the way management organizes the enterprise for making operating decisions and assessing performance. As a result of the August 31, 2012 acquisition of Movianto, we now report Movianto as a separate International business segment. Prior to the acquisition, we had one reportable business segment, which now comprises the Domestic segment. Accordingly, the Domestic segment now includes all services in the United States relating to our role as a medical supply logistics company serving healthcare providers and manufacturers.

We evaluate the performance of our segments based on the operating earnings of our segments excluding acquisition-related, exit and realignment, and pension settlement charges.

The following tables present financial information by segment:

Year ended December 31,	2012			2011			2010
Net revenue:
Domestic	$	8,731,484		$	8,627,912		$	8,123,608
International		176,661			—			—
Consolidated net revenue	$	8,908,145		$	8,627,912		$	8,123,608
Operating earnings (loss):
Domestic	$	212,335		$	216,683		$	215,509
International		(5,418	)		—			—
Acquisition-related and exit and realignment charges		(10,164	)		(13,168	)		—
Pension settlement charge		—			—			(19,573	)
Consolidated operating earnings	$	196,753		$	203,515		$	195,936
Interest expense, net:
Domestic	$	13,091		$	13,682		$	14,323
International		306			—			—
Consolidated interest expense, net	$	13,397		$	13,682		$	14,323
Income tax expense (benefit):
Domestic	$	77,953		$	79,810		$	78,689
International		(1,636	)		—			—
Acquisition-related and exit and realignment charges		(1,964	)		(5,175	)		—
Pension settlement charge		—			—			(7,655	)
Consolidated income tax expense (benefit)	$	74,353		$	74,635		$	71,034
Depreciation and amortization:
Domestic	$	35,016		$	34,135		$	29,148
International		4,588			—			—
Consolidated depreciation and amortization	$	39,604		$	34,135		$	29,148
Capital expenditures:
Domestic	$	34,450		$	36,315		$	41,349
International		4,513			—			—
Consolidated capital expenditures	$	38,963		$	36,315		$	41,349
December 31,	2012			2011
Total assets:
Domestic	$	1,723,699		$	1,810,877
International		386,114			—
Segment assets		2,109,813			1,810,877
Cash and cash equivalents		97,888			135,938
Consolidated total assets	$	2,207,701		$	1,946,815

The following tables present information by geographic area. Net revenues were attributed to geographic areas based on the locations from which we ship products or provide services. International operations consist of Movianto’s operations in the United Kingdom, Germany, France, and other European countries.

Year ended December 31,	2012		2011		2010
Net revenue:
United States	$	8,731,484	$	8,627,912	$	8,123,608
United Kingdom		86,332		—		—
France		54,159		—		—
Germany		13,670		—		—
Other European countries		22,500		—		—
Total net revenue	$	8,908,145	$	8,627,912	$	8,123,608

December 31,	2012		2011		2010
Long-lived assets:
United States	$	162,333	$	159,939	$	153,637
Germany		54,826		—		—
United Kingdom		40,609		—		—
France		7,960		—		—
Other European countries		28,159		—		—
Total long-lived assets	$	293,887	$	159,939	$	153,637