Segment Information

9 Months Ended

Sep. 30, 2011

Segment Information [Abstract]

Segment Information

17.  Segment Information

        The Company has two reportable segments organized according to its services and products: Preservation Services and Medical Devices.  The Preservation Services segment includes external services revenues from the preservation of cardiac and vascular tissues.  The Medical Devices segment includes external revenues from product sales of BioGlue^® Surgical Adhesive ("BioGlue"), BioFoam^® Surgical Matrix ("BioFoam"), PerClot, HemoStase, and revascularization technology, as well as sales of other medical devices.  There are no intersegment revenues.      

        The primary measure of segment performance, as viewed by the Company's management, is segment gross margin, or net external revenues less cost of preservation services and products.  The Company does not segregate assets by segment; therefore, asset information is excluded from the segment disclosures below.  The following table summarizes revenues, cost of services and products, and gross margins for the Company's operating segments (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2011		2010		2011		2010
Revenues:
Preservation services	$	14,656	$	15,111	$	45,018	$	45,699
Medical devices		14,923		13,175		43,932		41,276
Other a		75		157		279		448
Total revenues		29,654		28,443		89,229		87,423
Cost of preservation services and products:
Preservation services		8,349		8,911		25,709		27,322
Medical devices		2,393		4,310		7,051		9,318
Total cost of preservation services and products		10,742		13,221		32,760		36,640
Gross margin:
Preservation services		6,307		6,200		19,309		18,377
Medical devices		12,530		8,865		36,881		31,958
Other a		75		157		279		448
Total gross margin	$	18,912	$	15,222	$	56,469	$	50,783

The following table summarizes net revenues by product (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2011		2010		2011		2010
Preservation services:
Cardiac tissue	$	6,764	$	7,189	$	19,989	$	20,953
Vascular tissue		7,892		7,922		25,029		24,746
Total preservation services		14,656		15,111		45,018		45,699
Products:
BioGlue and BioFoam		12,190		11,046		36,936		35,219
PerClot		620		--		1,911		--
HemoStase		--		2,129		1,795		6,127
Revascularization technology		2,113		--		3,290		--
Other medical devices		--		--		--		(70)
Total products		14,923		13,175		43,932		41,276
Other a		75		157		279		448
Total revenues	$	29,654	$	28,443	$	89,229	$	87,423

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^a          For the three and nine months ended September 30, 2011 and 2010, the "Other" designation includes grant revenue.