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Segment Information
12 Months Ended
Apr. 03, 2015
Segment Reporting [Abstract]  
Segment Information

Note 15 — Segment Information

The Company’s reporting segments, comprised of the satellite services, commercial networks and government systems segments, are primarily distinguished by the type of customer and the related contractual requirements. The Company’s satellite services segment provides retail and wholesale satellite-based broadband services for its consumer, enterprise and mobile broadband customers primarily in the United States. The Company’s commercial networks segment develops and produces a variety of advanced end-to-end satellite and other wireless communication systems and ground networking equipment and products, some of which are ultimately used by the Company’s satellite services segment. The Company’s government systems segment develops and produces network-centric, IP-based fixed and mobile secure government communications systems, network management systems, products, services and solutions and provides global mobile broadband service and product offerings. The more regulated government environment is subject to unique contractual requirements and possesses economic characteristics which differ from the satellite services and commercial networks segments. 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.

 

Segment revenues and operating profits (losses) for the fiscal years ended April 3, 2015, April 4, 2014 and March 29, 2013 were as follows:

 

     Fiscal Years Ended  
     April 3,
2015
     April 4,
2014
     March 29,
2013
 
     (In thousands)  

Revenues:

        

Satellite Services

        

Product(1)

   $ 33,576       $ 42       $ 4,715   

Service

     466,284         390,666         272,272   
  

 

 

    

 

 

    

 

 

 

Total

     499,860         390,708         276,987   

Commercial Networks

        

Product

     331,052         378,577         295,469   

Service

     16,078         16,944         19,471   
  

 

 

    

 

 

    

 

 

 

Total

     347,130         395,521         314,940   

Government Systems

        

Product

     363,446         407,119         364,233   

Service

     172,099         158,114         163,530   
  

 

 

    

 

 

    

 

 

 

Total

     535,545         565,233         527,763   

Elimination of intersegment revenues

     —          —          —    
  

 

 

    

 

 

    

 

 

 

Total revenues

   $ 1,382,535       $ 1,351,462       $ 1,119,690   
  

 

 

    

 

 

    

 

 

 

Operating profits (losses):

        

Satellite Services(2)

   $ 62,379       $ (45,991    $ (79,172

Commercial Networks

     (33,616      (12,134      (11,079

Government Systems

     72,347         76,038         85,473   

Elimination of intersegment operating profits

     —          —          —    
  

 

 

    

 

 

    

 

 

 

Segment operating profit (loss) before corporate and amortization of acquired intangible assets

     101,110         17,913         (4,778

Corporate

     —          —          —    

Amortization of acquired intangible assets

     (17,966      (14,614      (15,584
  

 

 

    

 

 

    

 

 

 

Income (loss) from operations

   $ 83,144       $ 3,299       $ (20,362
  

 

 

    

 

 

    

 

 

 

 

(1) Product revenues in the satellite services segment for the fiscal year ended April 3, 2015, include $33.0 million relating to amounts realized under the Settlement Agreement. See Note 12.
(2) Operating profits for the satellite services segment for the fiscal year ended April 3, 2015 include $51.8 million relating to amounts realized under the Settlement Agreement. See Note 12.

 

Assets identifiable to segments include: accounts receivable, unbilled accounts receivable, inventory, acquired intangible assets and goodwill. The Company’s property and equipment, including its satellites, gateways and other networking equipment, are assigned to corporate assets as they are available for use by the various segments throughout their estimated useful lives. Segment assets as of April 3, 2015, April 4, 2014 and March 29, 2013 were as follows:

 

     As of
April 3,
2015
     As of
April 4,
2014
     As of
March 29,
2013
 
     (In thousands)  

Segment assets:

        

Satellite Services

   $ 63,790       $ 73,382       $ 89,945   

Commercial Networks

     217,268         229,455         175,230   

Government Systems

     273,313         206,848         238,057   
  

 

 

    

 

 

    

 

 

 

Total segment assets

     554,371         509,685         503,232   

Corporate assets

     1,604,007         1,450,430         1,290,840   
  

 

 

    

 

 

    

 

 

 

Total assets

   $ 2,158,378       $ 1,960,115       $ 1,794,072   
  

 

 

    

 

 

    

 

 

 

Other acquired intangible assets, net and goodwill included in segment assets as of April 3, 2015 and April 4, 2014 were as follows:

 

     Other Acquired Intangible
Assets, Net
     Goodwill  
       As of  
  April 3,  
  2015  
       As of  
  April 4,  
  2014  
     As of
April 3,
2015
     As of
April 4,
2014
 
     (In thousands)  

Satellite Services

   $ 17,873       $ 28,931       $ 9,809       $ 9,809   

Commercial Networks

     1,443         2,583         43,994         44,148   

Government Systems

     23,024         3,883         63,438         29,670   
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 42,340       $ 35,397       $ 117,241       $ 83,627   
  

 

 

    

 

 

    

 

 

    

 

 

 

Amortization of acquired intangible assets by segment for the fiscal years ended April 3, 2015, April 4, 2014 and March 29, 2013 was as follows:

 

     Fiscal Years Ended  
     April 3,
2015
     April 4,
2014
     March 29,
2013
 
     (In thousands)  

Satellite Services

   $ 11,058       $ 11,058       $ 12,401   

Commercial Networks

     1,452         1,337         666   

Government Systems

     5,456         2,219         2,517   
  

 

 

    

 

 

    

 

 

 

Total amortization of acquired intangible assets

   $ 17,966       $ 14,614       $ 15,584   
  

 

 

    

 

 

    

 

 

 

 

Revenue information by geographic area for the fiscal years ended April 3, 2015, April 4, 2014 and March 29, 2013 was as follows:

 

     Fiscal Years Ended  
     April 3,
2015
     April 4,
2014
     March 29,
2013
 
     (In thousands)  

United States

   $ 1,149,700       $ 1,044,737       $ 840,899   

Europe, Middle East and Africa

     89,982         127,696         171,853   

Asia, Pacific

     81,397         147,063         56,195   

North America other than United States

     51,661         25,811         39,158   

Central and Latin America

     9,795         6,155         11,585   
  

 

 

    

 

 

    

 

 

 

Total revenues

   $ 1,382,535       $ 1,351,462       $ 1,119,690   
  

 

 

    

 

 

    

 

 

 

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 $14.3 million at April 3, 2015, $18.5 million at April 4, 2014 and $18.5 million at March 29, 2013.