Segment Information

12 Months Ended

Dec. 29, 2012

Segment Reporting [Abstract]

Segment Information

SEGMENT INFORMATION

The company operates in two reportable operating segments defined by management reporting structure and operating activities.

The Commercial Foodservice Equipment Group manufactures, sells, and distributes cooking equipment for the restaurant and institutional kitchen industry. This business segment has manufacturing facilities in California, Illinois, Michigan, New Hampshire, North Carolina, Tennessee, Texas, Vermont, Australia, China, Denmark, Italy, the Philippines and the United Kingdom. Principal product lines of this group include conveyor ovens, ranges, steamers, convection ovens, combi-ovens, broilers and steam cooking equipment, induction cooking systems, baking and proofing ovens, charbroilers, catering equipment, fryers, toasters, hot food servers, foodwarming equipment, griddles, coffee and beverage dispensing equipment and kitchen processing and ventilation equipment. These products are sold and marketed under the brand names: Anets, Beech, Blodgett, Blodgett Combi, Blodgett Range, Bloomfield, Britannia, CTX, Carter-Hoffmann, CookTek, Doyon, Frifri, Giga, Holman, Houno, IMC, Jade, Lang, Lincat, MagiKitch’n, Middleby Marshall, MPC, Nieco, Nu-Vu, PerfectFry, Pitco, Southbend, Star, Toastmaster, TurboChef and Wells.

The Food Processing Equipment Group manufactures preparation, cooking, packaging food handling and food safety equipment for the food processing industry. This business segment has manufacturing operations in Illinois, Iowa, North Carolina, Texas, Virginia, Wisconsin, Australia, France, Germany and Mexico. Principal product lines of this group include batch ovens, belt ovens, continuous processing ovens, frying systems, automated thermal processing systems, automated loading and unloading systems, meat presses, breading, battering, mixing, forming, grinding and slicing equipment, food suspension, reduction and emulsion systems, defrosting equipment, packaging and food safety equipment. These products are sold and marketed under the brand names: Alkar, Armor Inox, Auto-Bake, Baker Thermal Solutions, Danfotech, Drake, Maurer-Atmos, MP Equipment, RapidPak and Stewart Systems.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The chief operating decision maker evaluates individual segment performance based on operating income. Management believes that intersegment sales are made at established arms length transfer prices.

The following table summarizes the results of operations for the company’s business segments(1,2) (dollars in thousands): 

	Commercial Foodservice		Food Processing		Corporate and Other(3)			Total
2012
Net sales	$	786,391	$	251,783	$	—		$	1,038,174
Operating income	194,573		39,924		(46,413		)	188,084
Depreciation and amortization expense	17,920		7,366		1,617			26,903
Net capital expenditures	3,834		3,829		(11		)	7,652
Total assets	880,333		291,913		72,034			1,244,280
Long-lived assets	45,240		11,074		16,012			72,326
2011
Net sales	$	723,274	$	132,633	$	—		$	855,907
Operating income	181,963		19,997		(53,250		)	148,710
Depreciation and amortization expense	15,839		3,053		816			19,708
Net capital expenditures	6,896		447		497			7,840
Total assets	848,655		238,724		59,133			1,146,512
Long-lived assets	45,971		7,771		12,849			66,591
2010
Net sales	$	611,596	$	107,525	$	—		$	719,121
Operating income	148,443		20,580		(46,235		)	122,788
Depreciation and amortization expense	13,331		3,130		553			17,014
Net capital expenditures	2,810		136		213			3,159
Total assets	712,738		103,829		56,605			873,172
Long-lived assets	34,559		4,120		11,591			50,270

(1) Non-operating expenses are not allocated to the reportable segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

(2) Long lived assets as previously reported included goodwill and other intangibles assets, which have been removed from all years in the current year presentation. In addition, certain amounts of total assets reported in Corporate and Other in 2011 have been reclassified to Commercial Foodservice in the current year presentation.

(3) Includes corporate and other general company assets and operations.

Geographic Information

Long-lived assets, not including goodwill and other intangibles(1) (in thousands):

	2012		2011		2010
	(dollars in thousands)
United States and Canada	$	48,516	$	41,428	$	44,357
Asia	3,391		2,467		1,805
Europe and Middle East	19,198		18,780		3,159
Latin America	1,221		3,916		949
Total international	23,810		25,163		5,913
	$	72,326	$	66,591	$	50,270

(1) Long lived assets as previously reported included goodwill and other intangibles assets, which have been removed from all years in the current year presentation.

Net sales (in thousands):

	2012		2011		2010
	(dollars in thousands)
United States and Canada	$	711,241	$	613,081	$	575,527
Asia	91,021		61,078		42,786
Europe and Middle East	167,840		137,335		79,859
Latin America	68,072		44,413		20,949
Total international	326,933		242,826		143,594
	$	1,038,174	$	855,907	$	719,121