Segment Information

12 Months Ended

Dec. 31, 2011

Segment Information [Abstract]

Segment Information

NOTE O – SEGMENT INFORMATION

Office Depot operates in three segments: North American Retail Division, North American Business Solutions Division, and International Division. Each of these segments is managed separately primarily because it serves a different customer group. The accounting policies for each segment are the same as those described in the summary of significant accounting policies (see Note A). Our measure of Division operating profit is based on the measure of performance reported internally to manage the business and for resource allocation. This measure allocates to the respective Divisions those general and administrative expenses considered directly or closely related to their operations. Remaining G&A expenses and Charges that are managed at the corporate level are not allocated to the Divisions for measurement of Division operating profit. See Note B for discussion of Charges. Other companies may charge more or less of these items to their segments and our results may not be comparable to similarly titled measures used by other entities.

The following is a summary of our significant accounts and balances by segment, reconciled to our consolidated totals.

(Dollars in thousands)		North American Retail Division		North American Business Solutions Division		International Division		Eliminations and Other*		Consolidated Total
Sales	2011	$	4,870,166	$	3,261,953	$	3,357,414	$	—	$	11,489,533
	2010	$	4,962,838	$	3,290,430	$	3,379,826	$	—	$	11,633,094
	2009	$	5,113,553	$	3,483,724	$	3,547,190	$	—	$	12,144,467
Division operating profit (loss)	2011	$	134,794	$	145,096	$	92,895	$	—	$	372,785
	2010	$	127,504	$	96,474	$	110,781	$	—	$	334,759
	2009	$	105,542	$	98,163	$	119,604	$	—	$	323,309
Capital expenditures	2011	$	62,699	$	22,690	$	26,356	$	18,572	$	130,317
	2010	$	67,172	$	38,588	$	27,637	$	36,055	$	169,452
	2009	$	40,600	$	21,145	$	20,281	$	48,821	$	130,847
Depreciation and amortization	2011	$	89,839	$	14,518	$	22,102	$	84,951	$	211,410
	2010	$	86,657	$	15,005	$	24,712	$	81,945	$	208,319
	2009	$	90,973	$	15,471	$	29,032	$	88,639	$	224,115
Charges for losses on receivables and inventories	2011	$	31,274	$	6,578	$	18,348	$	—	$	56,200
	2010	$	37,681	$	8,463	$	11,680	$	—	$	57,824
	2009	$	41,740	$	16,932	$	21,506	$	—	$	80,178
Net earnings from equity method investments	2011	$	—	$	—	$	31,426	$	—	$	31,426
	2010	$	—	$	—	$	30,635	$	—	$	30,635
	2009	$	—	$	—	$	30,579	$	—	$	30,579
Assets	2011	$	1,434,844	$	586,404	$	1,373,108	$	856,628	$	4,250,984
	2010	$	1,604,274	$	663,049	$	1,425,855	$	876,259	$	4,569,437

* Amounts included in "Eliminations and Other" consist of assets (including all cash and equivalents) and depreciation related to corporate activities.

A reconciliation of the measure of Division operating profit to consolidated earnings from continuing operations before income taxes follows.

(Dollars in thousands)	2011			2010			2009
Division operating profit	$	372,785		$	334,759		$	323,309
Add/(subtract):
Charges and impairments, including Charges in 2009 (see Note B)		(14,919	)		(63,934	)		(253,383	)
Unallocated general, administrative and corporate expenses		(324,112	)		(308,116	)		(334,931	)
Interest expense		(33,223	)		(58,498	)		(65,628	)
Interest income		1,231			4,663			2,396
Miscellaneous income, net		30,857			34,451			17,085
Income (loss) before income taxes	$	32,619		$	(56,675	)	$	(311,152	)

As of December 31, 2011, we sold to customers throughout North America, Europe, Asia and Latin America. We operate through wholly-owned and majority-owned entities and participate in other ventures and alliances. There is no single country outside of the United States in which we generate 10% or more of our total revenues. Geographic financial information relating to our business is as follows (in thousands).

	Sales						Property and Equipment
	2011		2010		2009		2011		2010
United States	$	8,108,402	$	8,189,642	$	8,476,404	$	901,572	$	980,426
International		3,381,131		3,443,452		3,668,063		165,468		176,587
Total	$	11,489,533	$	11,633,094	$	12,144,467	$	1,067,040	$	1,157,013

We classify our products into three categories: (1) supplies, (2) technology, and (3) furniture and other. The supplies category includes products such as paper, binders, writing instruments, school supplies, and ink and toner. The technology category includes products such as desktop and laptop computers, monitors, printers, cables, software, digital cameras, telephones, and wireless communications products. The furniture and other category includes products such as desks, chairs, luggage, sales in our copy and print centers, and other miscellaneous items.

Total company sales by product group were as follows:

	2011			2010			2009
Supplies		65.1	%		65.2	%		66.4	%
Technology		21.9	%		22.4	%		22.2	%
Furniture and other		13.0	%		12.4	%		11.4	%
		100.0	%		100.0	%		100.0	%