Segment and Geographic Information (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2012

Dec. 31, 2011

Reconciliation of Revenue and Operating Earnings (Loss) from Segments to Consolidated

Information on segments and a reconciliation of consolidated totals are as follows (dollars in thousands):



	Three months ended September 30,				Nine months ended September 30,
	2012		2011		2012		2011
	Successor		Predecessor		Successor		Predecessor
Revenue:
AHS	$	329,651	$	371,100	$	986,157	$	1,067,604
LifeCell	106,222		97,441		320,364		286,785
Total revenue	$	435,873	$	468,541	$	1,306,521	$	1,354,389



	Three months ended September 30,						Nine months ended September 30,
	2012			2011			2012			2011
	Successor			Predecessor			Successor			Predecessor
Operating earnings:
AHS ⁽¹⁾	$	114,833		$	146,235		$	277,191		$	372,280
LifeCell ⁽¹⁾	28,864			27,511			75,503			80,424
Non-allocated costs:
General headquarter expense	(5,519		)	(15,748		)	(19,545		)	(42,469		)
Equity-based compensation	(197		)	(7,859		)	(1,186		)	(23,738		)
Merger-related and other expenses ⁽²⁾	(21,685		)	(5,996		)	(63,750		)	(7,202		)
Acquired intangible asset amortization ⁽³⁾	(49,733		)	(8,856		)	(172,260		)	(26,567		)
Total non-allocated costs	(77,134		)	(38,459		)	(256,741		)	(99,976		)
Total operating earnings	$	66,563		$	135,287		$	95,953		$	352,728

________________________________

(1)

The three months ended September 30, 2012 includes the allocation of depreciation expense and cost of sales associated with the purchase accounting adjustments related to the step up in value of rental medical equipment (“RME”) and inventory of $24.6 million and $2.8 million, respectively, to our AHS and LifeCell operating segments. The nine months ended September 30, 2012 includes the allocation of depreciation expense and cost of sales associated with the purchase accounting adjustments related to the step up in value of RME and inventory of $87.0 million and $19.7 million, respectively, to our AHS and LifeCell operating segments. In addition, our AHS operating segment includes $12.4 million and $9.7 million impairment charges recorded during the first and third quarters of 2012, respectively, associated with certain production equipment at our AHS manufacturing plant and inventory associated with our V.A.C. Via product.


(2)	The three and nine months ended September 30, 2012 includes expenses related to the Merger for seller transaction costs, management fees and restructuring-related expenses as well as business optimization expenses. In addition, the three and nine months ended September 30, 2012 and 2011 includes expenses related to our global business transformation efforts.


(3)	The three and nine months ended September 30, 2011 includes amortization of acquired intangible assets related to our purchase of LifeCell in May 2008. The three and nine months ended September 30, 2012 includes amortization of acquired intangible assets related to our Merger in November 2011.

Information on segments and a reconciliation of consolidated totals are as follows (dollars in thousands):



	Period from November 4 through December 31, 2011			Period from January 1 through November 3, 2011			Year Ended December 31,
	Period from November 4 through December 31, 2011			Period from January 1 through November 3, 2011			2010			2009
	Successor			Predecessor			Predecessor			Predecessor
Revenue:
AHS	$	231,149		$	1,181,961		$	1,402,035		$	1,402,417
LifeCell	73,615			321,451			341,405			285,898
Total revenue	$	304,764		$	1,503,412		$	1,743,440		$	1,688,315

Operating earnings (loss):
AHS	$	67,506		$	412,092		$	417,646		$	400,031
LifeCell	13,029			89,178			93,948			80,251
Non-allocated costs:
General headquarter expense	(3,948		)	(46,837		)	(49,312		)	(43,153		)
Equity-based compensation ⁽¹⁾	(306		)	(81,354		)	(32,781		)	(32,506		)
Merger-related expenses ⁽²⁾	(148,713		)	(46,619		)	—			—
LifeCell acquisition-related expenses ⁽³⁾	—			(29,519		)	(38,293		)	(42,791		)
Total non-allocated costs	(152,967		)	(204,329		)	(120,386		)	(118,450		)
Total operating earnings (loss)	$	(72,432	)	$	296,941		$	391,208		$	361,832

_____________________________


(1)	Includes $55.0 million related to the acceleration of equity-based compensation expense due to immediate vesting upon the Merger.


(2)	Represents expenses related to the Merger including buyer and seller transaction costs, management fees, restructuring-related expenses and amortization of acquired intangible assets.


(3)	Includes amortization of acquired intangible assets and costs to retain key employees related to our purchase of LifeCell in May 2008.

Schedule of Depreciation and Other Amortization Schedule of Depreciation and Other Amortization by Segment



	Period from November 4 through December 31, 2011		Period from January 1 through November 3, 2011		Year Ended December 31,
	Period from November 4 through December 31, 2011		Period from January 1 through November 3, 2011		2010		2009
	Successor		Predecessor		Predecessor		Predecessor
Depreciation and other amortization:
AHS	$	44,238	$	55,568	$	72,474	$	62,668
LifeCell	8,670		44,667		57,370		60,248
Other	3,843		17,451		26,621		32,944
	$	56,751	$	117,686	$	156,465	$	155,860

Information on Segment Assets

Information on segment assets are as follows (dollars in thousands):



	December 31,
	2011		2010		2009
	Successor		Predecessor		Predecessor
Total assets:
AHS	$	4,977,917	$	764,619	$	779,464
LifeCell	2,328,671		1,704,337		1,712,376
Other	614,791		607,043		546,725
	$	7,921,379	$	3,075,999	$	3,038,565

Gross Capital Expenditures

The following table contains information on gross capital expenditures (dollars in thousands):



	Period from November 4 through December 31, 2011		Period from January 1 through November 3, 2011		Year Ended December 31,
	Period from November 4 through December 31, 2011		Period from January 1 through November 3, 2011		2010		2009
	Successor		Predecessor		Predecessor		Predecessor
Gross capital expenditures:
AHS	$	10,080	$	5,842	$	10,212	$	17,140
LifeCell	7,047		10,832		10,099		9,113
Other	18,881		81,882		65,572		77,036
	$	36,008	$	98,556	$	85,883	$	103,289

Schedule of Information on the Geographical Location of Select Financial Information

Information on the geographical location of select financial information is as follows (dollars in thousands):



	Period from November 4 through December 31, 2011
	Period from November 4 through December 31, 2011
	Successor
Geographic location of revenue:
Domestic	$	—
United States	235,886
Other foreign	68,878
Total revenue	$	304,764



	Period from January 1 through November 3, 2011		Year Ended December 31,
	Period from January 1 through November 3, 2011		2010		2009
	Predecessor		Predecessor		Predecessor
Geographic location of revenue:
Domestic	$	1,155,832	$	1,352,323	$	1,302,095
Foreign	347,580		391,117		386,220
Total revenue	$	1,503,412	$	1,743,440	$	1,688,315



	December 31, 2011
	Successor
Geographic location of long-lived assets ⁽¹⁾:
Domestic	$	—
United States	360,365
Other foreign	184,982
Total long-lived assets	$	545,347

_____________________________


(1)	Long-lived assets exclude intangible assets.



	December 31,
	2010		2009
	Predecessor		Predecessor
Geographic location of long-lived assets ⁽¹⁾:
Domestic	$	184,131	$	198,211
Foreign	86,932		97,844
Total long-lived assets	$	271,063	$	296,055

_____________________________


(1)	Long-lived assets exclude intangible assets.

- Definition

Tabular disclosure of information concerning material long-lived assets (excluding financial instruments, customer relationships with financial institutions, mortgage and other servicing rights, deferred policy acquisition costs, and deferred taxes assets) located in identified geographic areas and/or the amount of revenue from external customers attributed to that country from which revenue is material. An entity may also provide subtotals of geographic information about groups of countries.

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