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Segment Information
6 Months Ended
Sep. 30, 2011
Segment Information [Abstract] 
Segment Information

Note 11 — Segment Information

The Company’s reporting segments, comprised of the government systems, commercial networks and satellite services segments, are primarily distinguished by the type of customer and the related contractual requirements. The Company’s government systems segment develops and produces network-centric, IP-based secure government communications systems, products and solutions. The more regulated government environment is subject to unique contractual requirements and possesses economic characteristics which differ from the commercial networks and satellite services segments. The Company’s commercial networks segment develops and produces a variety of advanced end-to-end satellite communication systems and ground networking equipment and products. The Company’s satellite services segment complements both the government systems and commercial networks segments by providing wholesale and retail satellite-based broadband internet services in the United States via the Company’s satellite and capacity agreements, as well as managed network services for the satellite communication systems of the Company’s consumer, enterprise and mobile broadband customers. The Company’s satellite services segment includes the Company’s WildBlue business and the Company’s ViaSat-1 satellite-related activities. The Company’s segments are determined consistent with the way management currently organizes and evaluates financial information internally for making operating decisions and assessing performance.

As discussed further in Note 1, included in the government systems segment operating profit for the six months ended October 1, 2010 is an $8.5 million forward loss recorded on a government satellite communications program. Segment revenues and operating profits (losses) for the three and six months ended September 30, 2011 and October 1, 2010 were as follows:

 

                                 
    Three Months Ended     Six Months Ended  
    September 30, 2011     October 1, 2010     September 30, 2011     October 1, 2010  
    (In thousands)  

Revenues

                               

Government Systems

                               

Product

  $ 86,621     $ 86,530     $ 161,220     $ 168,362  

Service

    16,789       8,407       28,359       15,420  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

    103,410       94,937       189,579       183,782  

Commercial Networks

                               

Product

    59,063       39,431       106,359       82,049  

Service

    5,136       4,881       9,909       7,882  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

    64,199       44,312       116,268       89,931  

Satellite Services

                               

Product

    927       1,625       1,578       2,177  

Service

    54,488       57,015       110,700       114,003  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

    55,415       58,640       112,278       116,180  

Elimination of intersegment revenues

    —         —         —         —    
   

 

 

   

 

 

   

 

 

   

 

 

 

Total revenues

  $ 223,024     $ 197,889     $ 418,125     $ 389,893  
   

 

 

   

 

 

   

 

 

   

 

 

 
         

Operating profits (losses)

                               

Government Systems

  $ 14,333     $ 12,808     $ 21,713     $ 14,466  

Commercial Networks

    (2,871     (2,347     (6,111     (3,517

Satellite Services

    (1,739     7,706       194       19,167  

Elimination of intersegment operating profits

    —         —         —         —    
   

 

 

   

 

 

   

 

 

   

 

 

 

Segment operating profit before corporate and amortization of acquired intangible assets

    9,723       18,167       15,796       30,116  

Corporate

    —         —         —         44  

Amortization of acquired intangible assets

    (4,767     (5,094     (9,539     (9,704
   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

  $ 4,956     $ 13,073     $ 6,257     $ 20,456  
   

 

 

   

 

 

   

 

 

   

 

 

 

Assets identifiable to segments include: accounts receivable, unbilled accounts receivable, inventory, acquired intangible assets and goodwill. Segment assets as of September 30, 2011 and April 1, 2011 were as follows:

 

                 
    As of
September 30, 2011
    As of
April 1, 2011
 
    (In thousands)  

Segment assets

               

Government Systems

  $ 231,920     $ 228,194  

Commercial Networks

    152,389       133,158  

Satellite Services

    91,858       93,857  
   

 

 

   

 

 

 

Total segment assets

    476,167       455,209  

Corporate assets

    1,049,400       950,539  
   

 

 

   

 

 

 

Total assets

  $ 1,525,567     $ 1,405,748  
   

 

 

   

 

 

 

 

Other acquired intangible assets, net and goodwill included in segment assets as of September 30, 2011 and April 1, 2011 were as follows:

 

                                 
    Other Acquired Intangible
Assets, Net
    Goodwill  
    September 30, 2011     April 1, 2011     September 30, 2011     April 1, 2011  
    (In thousands)  

Government Systems

  $ 9,580     $ 11,157     $ 29,777     $ 30,023  

Commercial Networks

    3,634       5,391       43,759       43,700  

Satellite Services

    58,865       65,341       9,809       9,809  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 72,079     $ 81,889     $ 83,345     $ 83,532  
   

 

 

   

 

 

   

 

 

   

 

 

 

Amortization of acquired intangible assets by segment for the three and six months ended September 30, 2011 and October 1, 2010 was as follows:

 

                                 
    Three Months Ended     Six Months Ended  
    September 30, 2011     October 1, 2010     September 30, 2011     October 1, 2010  
    (In thousands)  

Government Systems

  $ 645     $ 823     $ 1,296     $ 1,092  

Commercial Networks

    884       1,033       1,767       2,136  

Satellite Services

    3,238       3,238       6,476       6,476  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total amortization of acquired intangible assets

  $ 4,767     $ 5,094     $ 9,539     $ 9,704  
   

 

 

   

 

 

   

 

 

   

 

 

 

Revenue information by geographic area for the three and six months ended September 30, 2011 and October 1, 2010 was as follows:

 

                                 
    Three Months Ended     Six Months Ended  
    September 30, 2011     October 1, 2010     September 30, 2011     October 1, 2010  
    (In thousands)  

United States

  $ 175,760     $ 166,935     $ 329,961     $ 328,100  

Europe, Middle East and Africa

    30,336       21,587       57,240       42,201  

Asia, Pacific

    4,819       6,012       11,997       12,845  

North America other than United States

    5,489       1,777       9,713       3,099  

Central and Latin America

    6,620       1,578       9,214       3,648  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total revenues

  $ 223,024     $ 197,889     $ 418,125     $ 389,893  
   

 

 

   

 

 

   

 

 

   

 

 

 

The Company distinguishes revenues from external customers by geographic area based on customer location.

The net book value of long-lived assets located outside the United States was $8.2 million and $7.9 million at September 30, 2011 and April 1, 2011, respectively.