Segment and Geographic Information

12 Months Ended

Dec. 31, 2011

Segment and Geographic Information [Abstract]

Segment and Geographic Information

NOTE 19:  Segment and Geographic Information

The Company has two reportable segments: the Modular Vision Systems Division (MVSD) and the Surface Inspection Systems Division (SISD). MVSD develops, manufactures, and markets modular vision systems that are used to control the manufacture of discrete items by locating, identifying, inspecting, and measuring them during the manufacturing process. SISD develops, manufactures, and markets surface inspection vision systems that are used to inspect surfaces of materials processed in a continuous fashion, such as metals, papers, nonwoven, plastics, and glass, to ensure there are no flaws or defects on the surfaces. Segments are determined based upon the way that management organizes its business for making operating decisions and assessing performance. The Company evaluates segment performance based upon income or loss from operations, excluding stock-based compensation expense.

The following table summarizes information about the Company’s segments (in thousands):

	MVSD		SISD		Reconciling Items			Consolidated
Year Ended December 31, 2011
Product revenue	$	264,956	$	32,354				$	297,310
Service revenue		8,717		15,887					24,604
Depreciation and amortization		8,445		908	$	403			9,756
Goodwill and intangibles		94,322		6,617		-			100,939
Operating income		94,201		10,301		(19,147	)		85,355
Year Ended December 31, 2010
Product revenue	$	234,052	$	29,411				$	263,463
Service revenue		13,362		13,866					27,228
Depreciation and amortization		8,683		757	$	369			9,809
Goodwill and intangibles		98,252		7,082		-			105,334
Operating income		88,342		5,064		(17,693	)		75,713
Year Ended December 31, 2009
Product revenue	$	133,741	$	24,638				$	158,379
Service revenue		5,542		11,806					17,348
Depreciation and amortization		9,843		361	$	376			10,580
Goodwill and intangibles		103,281		7,660		-			110,941
Operating income (loss)		4,226		2,801		(19,695	)		(12,668	)

Reconciling items consist of stock-based compensation expense and unallocated corporate expenses, which primarily include corporate headquarters costs, professional fees, and patent infringement litigation. Additional asset information by segment is not produced internally for use by the chief operating decision maker, and therefore, is not presented. Additional asset information is not provided because cash and investments are commingled and the segments share assets and resources in a number of locations around the world.

No customer accounted for greater than 10% of revenue in 2011, 2010, or 2009.

The following table summarizes information about geographic areas (in thousands):

	United States		Europe		Japan		Other		Consolidated
Year Ended December 31, 2011
Product revenue	$	98,833	$	100,984	$	45,295	$	52,198	$	297,310
Service revenue		10,965		6,343		4,147		3,149		24,604
Long-lived assets		121,178		10,811		2,773		948		135,710
Year Ended December 31, 2010
Product revenue	$	83,128	$	83,432	$	55,269	$	41,634	$	263,463
Service revenue		12,702		7,611		3,986		2,929		27,228
Long-lived assets		122,765		10,387		2,457		880		136,489
Year Ended December 31, 2009
Product revenue	$	53,803	$	54,559	$	30,674	$	19,343	$	158,379
Service revenue		6,657		5,261		3,513		1,917		17,348
Long-lived assets		127,317		19,617		2,037		268		149,239

Revenue is presented geographically based upon the customer’s country of domicile.