XML 38 R19.htm IDEA: XBRL DOCUMENT v2.3.0.15
Reportable Segments, Geographic Information And Major Customers
12 Months Ended
Oct. 01, 2011
Reportable Segments, Geographic Information And Major Customers 
Reportable Segments, Geographic Information And Major Customers

13.          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.  
 
                     In the first quarter of fiscal 2011, we completed our migration to a regional reporting structure, and as a result, modified our reportable segments.  See Note 1 – Description of Business and Significant Accounting Policies for further information.
 
                    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, other income (loss), 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 in fiscal 2011, 2010 and 2009 were as follows (in thousands):

The following enterprise-wide information is provided in accordance with the required segment disclosures.  Net sales to unaffiliated customers were based on the Company's location providing product or services (in thousands):

 

 

 

 

Long-lived assets as of October 1, 2011 and October 2, 2010 exclude other long-term assets and deferred income tax assets which totaled $30.5 million and $28.7 million, respectively.

 

Restructuring and asset impairment charges are not allocated to reportable segments, as management excludes such charges when assessing the performance of the reportable segments, but rather includes such charges within the "Corporate and other costs" section of the above table of operating income (loss). In fiscal 2011 and fiscal 2010 the Company did not incur any restructuring or asset impairment charges. In fiscal 2009, the Company incurred restructuring and asset impairment charges, as described in Note 10. The following table presents restructuring and asset impairment charges by segment for the years indicated (in thousands):

       

 

Fiscal Years Ended

 

October 1,

October 2,

October 3,

 

2011

2010

2009

Restructuring and asset impairment charges:

 

 

 

   AMER

    $                -

    $                -

    $       1,830

   EMEA

                      -

                      -

             5,748

   Corporate

                       -

                       -

                 993

 

    $                -

    $                -

    $       8,571

 

 

 

 

 

 

 

 

 

The percentages of net sales to customers representing 10 percent or more of total net sales for the indicated periods were as follows:

 

       

 

Fiscal Years Ended

 

October 1,

October 2,

October 3,

 

2011

2010

2009

 Juniper Networks, Inc. ("Juniper")

            17%

            16%

            20%

 

 

 

 

 

 

 

 

 

                For our significant customers, we generally manufacture products in more than one location.  For example, net sales to Juniper, our largest customer, occur in the AMER and APAC reportable segments.

 

                The percentages of accounts receivable from customers representing 10 percent or more of total accounts receivable for the indicated periods were as follows:

 

No other customers represented 10 percent or more of the Company's total net sales or total trade receivable balances as of October 1, 2011 and October 2, 2010.