Reportable Segments, Geographic Information And Major Customers

12 Months Ended

Sep. 28, 2013

Segment Reporting [Abstract]

Reportable Segments, Geographic Information And Major Customers

Reportable Segments, Geographic Information and Major Customers

Reportable segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or group, in assessing performance and allocating resources.

The Company uses an internal management reporting system, which provides important financial data to evaluate performance and allocate the Company’s resources on a regional basis. Net sales for segments are attributed to the region in which the product is manufactured or service is performed. The services provided, manufacturing processes used, class of customers serviced and order fulfillment processes used are similar and generally interchangeable across the segments. A segment’s performance is evaluated based upon its operating income (loss). A segment’s operating income (loss) includes its net sales less cost of sales and selling and administrative expenses, but excludes corporate and other costs, interest expense, interest income, other miscellaneous income (expense), and income taxes. Corporate and other costs primarily represent corporate selling and administrative expenses, and restructuring and impairment costs, if any. These costs are not allocated to the segments, as management excludes such costs when assessing the performance of the segments. Inter-segment transactions are generally recorded at amounts that approximate arm’s length transactions. The accounting policies for the regions are the same as for the Company taken as a whole.

Information about the Company’s three reportable segments for fiscal 2013, 2012 and 2011 were as follows (in thousands):

	2013			2012			2011
Net sales:
AMER	$	1,062,758		$	1,255,851		$	1,304,885
APAC	1,146,299			1,110,365			1,063,079
EMEA	122,566			95,360			92,269
Elimination of inter-segment sales	(103,592		)	(154,844		)	(229,001		)
	$	2,228,031		$	2,306,732		$	2,231,232
Depreciation:
AMER	$	13,474		$	14,486		$	15,045
APAC	23,560			23,428			20,723
EMEA	4,644			3,438			2,947
Corporate	5,732			6,566			7,919
	$	47,410		$	47,918		$	46,634
Operating income (loss):
AMER	$	70,863		$	91,087		$	68,725
APAC	116,350			101,903			118,063
EMEA	(3,096		)	(2,325		)	(2,955		)
Corporate and other costs	(87,494		)	(86,506		)	(82,654		)
	$	96,623		$	104,159		$	101,179
Capital expenditures:
AMER	$	60,507		$	11,532		$	12,578
APAC	12,345			39,321			44,890
EMEA	30,836			9,863			10,233
Corporate	4,434			2,981			3,118
	$	108,122		$	63,697		$	70,819
	September 28, 2013			September 29, 2012
Total assets:
AMER	$	423,048		$	403,911
APAC	828,672			771,781
EMEA	111,977			88,420
Corporate	83,987			147,355
	$	1,447,684		$	1,411,467

The following enterprise-wide information is provided in accordance with the required segment disclosures for fiscal 2013, 2012 and 2011. Net sales to unaffiliated customers were based on the Company’s location providing product or services (in thousands):

	2013			2012			2011
Net sales:
United States	$	1,004,153		$	1,156,347		$	1,192,389
Malaysia	877,748			872,733			836,808
China	268,551			237,632			226,271
United Kingdom	81,657			60,313			75,771
Mexico	58,605			99,504			112,496
Romania	38,117			33,835			16,498
Germany	2,792			1,212			—
Elimination of inter-segment sales	(103,592		)	(154,844		)	(229,001		)
	$	2,228,031		$	2,306,732		$	2,231,232
	September 28, 2013			September 29, 2012
Long-lived assets:
United States	$	110,548		$	61,269
Malaysia	83,732			95,907
China	35,230			36,737
United Kingdom	14,645			9,256
Mexico	5,610			7,368
Romania	37,188			13,586
Germany	616			623
Other Foreign	5,463			5,540
Corporate	32,029			34,905
	$	325,061		$	265,191

Due to the Company being a contract manufacturer that produces unique products and services related to each contract, it is impracticable to provide revenue by product/service information.

Long-lived assets as of September 28, 2013 and September 29, 2012 exclude other long-term assets and deferred income tax assets which totaled $43.6 million and $46.5 million, respectively.

The percentages of net sales to customers representing 10 percent or more of total net sales for fiscal 2013, 2012 and 2011 were as follows:

	2013	2012	2011
Juniper Networks, Inc. (“Juniper”)	13%	16%	17%

For our significant customers, we generally manufacture products in more than one location. For example, net sales to Juniper, our largest customer in all periods presented, occurred in the AMER and APAC reportable segments. Production for Juniper concluded at the end of our third fiscal quarter of 2013. However, sales of certain inventory continued into our fourth fiscal quarter of 2013. We do not expect to incur any material adjustments related to this inventory. We expect no further shipments to Juniper in fiscal 2014.

No customer represented 10 percent or more of total accounts receivable as of September 28, 2013 or September 29, 2012.