Segment Reporting

9 Months Ended

Jun. 30, 2013

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

Segment information is prepared on the same basis that our ceo, who is our chief operating decision maker, manages the segments, evaluates financial results, and makes key operating decisions. Effective at the beginning of fiscal 2013, we decentralized certain leadership functions in the areas of retail marketing and category management, global store development and partner resources, to support and align with the respective operating segment presidents. In conjunction with these moves, certain general and administrative and depreciation and amortization expenses associated with these functions, which were previously reported as unallocated corporate expenses within "Other," are now reported within the respective reportable operating segments to align with the regions which they support.

Concurrent with the change in reportable operating segments and realignment of certain operating expenses noted above, we revised our prior period financial information to reflect comparable financial information for the new segment structure and reporting changes. Historical financial information presented herein reflects these changes. There was no impact on consolidated net revenues, total operating expenses, operating income, or net earnings as a result of these changes.

Beginning in the second quarter of fiscal 2013, we removed unallocated corporate expenses from Other. Other is now referred to as All Other Segments and includes Teavana, Seattle's Best Coffee, Evolution Fresh and Tazo retail, as well as our Digital Ventures business. Unallocated corporate operating expenses, which pertain primarily to corporate administrative functions that support the operating segments but are not specifically attributable to or managed by any segment, are now presented as a reconciling item between total segment operating results and consolidated financial results. While our consolidated results are not impacted, our historical segment financial information has been revised to be consistent with the current period presentation.

The table below presents financial information for our reportable operating segments and All Other Segments (in millions):

Quarter Ended

	Americas		EMEA		China / Asia Pacific		Channel Development		All Other Segments			Segment Total
June 30, 2013
Total net revenues	$	2,776.5	$	287.2	$	233.7	$	336.4	$	107.9		$	3,741.7
Depreciation and amortization expenses	105.2		13.7		8.6		0.2		3.6			131.3
Income from equity investees	—		—		40.3		23.1		—			63.4
Operating income/(loss)	619.3		9.3		84.7		96.3		(9.4		)	800.2
July 1, 2012
Total net revenues	$	2,471.2	$	282.0	$	181.8	$	316.4	$	52.2		$	3,303.6
Depreciation and amortization expenses	97.2		14.4		5.8		0.3		0.7			118.4
Income from equity investees	—		—		30.1		21.2		0.4			51.7
Operating income/(loss)	498.7		1.6		61.3		84.2		(9.1		)	636.7

Three Quarters Ended

	Americas		EMEA		China / Asia Pacific		Channel Development		All Other Segments			Segment Total
June 30, 2013
Total net revenues	$	8,221.2	$	866.6	$	661.4	$	1,059.8	$	288.2		$	11,097.2
Depreciation and amortization expenses	316.2		41.6		24.4		0.9		7.9			391.0
Income from equity investees	2.4		—		105.3		62.7		—			170.4
Operating income/(loss)	1,759.2		36.9		225.3		287.1		(18.0		)	2,290.5
July 1, 2012
Total net revenues	$	7,424.4	$	857.5	$	523.3	$	973.7	$	156.5		$	9,935.4
Depreciation and amortization expenses	291.5		42.9		16.4		1.0		1.7			353.5
Income from equity investees	2.1		0.3		90.7		55.4		0.3			148.8
Operating income/(loss)	1,497.0		13.3		187.0		241.4		(18.5		)	1,920.2

The following table reconciles total segment operating income in the tables above to consolidated earnings before income taxes (in millions):

	Quarter Ended						Three Quarters Ended
	Jun 30, 2013			Jul 1, 2012			Jun 30, 2013			Jul 1, 2012
Total segment operating income	$	800.2		$	636.7		$	2,290.5		$	1,920.2
Unallocated corporate operating expenses	(185.0		)	(145.1		)	(500.6		)	(442.3		)
Consolidated operating income	615.2			491.6			1,789.9			1,477.9
Interest income and other, net	3.5			9.7			51.4			68.2
Interest expense	(6.3		)	(8.9		)	(19.0		)	(26.2		)
Earnings before income taxes	$	612.4		$	492.4		$	1,822.3		$	1,519.9