PRODUCTS AND SERVICES AND GEOGRAPHIC INFORMATION

12 Months Ended

Dec. 31, 2012

PRODUCTS AND SERVICES AND GEOGRAPHIC INFORMATION

NOTE 15—PRODUCTS AND SERVICES AND GEOGRAPHIC INFORMATION

FASB ASC Topic 280 requires segment information to be reported based on information utilized by executive management to internally assess performance and make operating decisions. We have determined that we have three operating segments based on the organizational structure of our company and information reviewed. These operating segments are International Waste Management Services (“International”), Domestic Regulated Waste Management Services (“United States”) and Domestic Regulated Recall and Returns Management Services. We have aggregated Domestic Regulated Waste Management Services and Domestic Regulated Recall and Returns Management Services into one reportable segment, United States, based on our consideration of the following aggregation criteria:

• they have similar economic characteristics;

• the same services are provided;

• the same types of customers are serviced;

• the same types of waste collection, transportation and treatment methods are utilized;

• their regulatory environments are similar, but vary based upon country specific regulations; and

• they employ the same sales and marketing techniques and activities.

Our two reportable segments are United States (which includes Puerto Rico) and International. Summary information for our reportable segments is as follows:

In thousands
	2012		2011		2010
Revenues:
United States	$	1,370,806	$	1,212,111	$	1,083,565
Europe		301,615		252,620		199,304
Other international countries		240,728		211,317		156,519
Total International		542,343		463,937		355,823
Total	$	1,913,149	$	1,676,048	$	1,439,388
Income before income taxes:
United States	$	359,748	$	316,156	$	277,486
International		57,449		56,168		54,367
Total	$	417,197	$	372,324	$	331,853
Total assets:
United States	$	2,427,297	$	2,208,152	$	1,919,424
International		1,119,441		968,938		719,599
Total	$	3,546,738	$	3,177,090	$	2,639,023
Property, Plant and Equipment, net:
United States	$	207,387	$	197,118	$	188,936
Europe		64,690		52,604		38,833
Other international countries		63,793		44,190		40,202
Total International		128,483		96,794		79,035
Total	$	335,870	$	293,912	$	267,971

Revenues are attributed to countries based on the location of customers. Intercompany revenues recorded by the United States for work performed in Canada are eliminated prior to reporting United States revenues. The same accounting principles and critical accounting policies are used in the preparation of the financial statements for both reporting segments.

Detailed information for our United States reporting segment is as follows:

In thousands
	2012		2011		2010
Regulated waste management services	$	1,254,486	$	1,094,928	$	957,398
Regulated recall and returns management services		116,320		117,183		126,167
Total revenues		1,370,806		1,212,111		1,083,565
Net interest expense		41,084		40,048		31,079
Income before income taxes		359,748		316,156		277,486
Income tax expense		138,807		119,982		105,065
Net income attributable to Stericycle, Inc.	$	220,941	$	196,174	$	172,421
Depreciation and amortization	$	45,234	$	40,689	$	35,769
Capital expenditures		38,528		36,270		33,737

Detailed information for our International reporting segment is as follows:

In thousands
	2012		2011		2010
Regulated waste management services revenue	$	542,343	$	463,937	$	355,823
Net interest expense		10,186		8,584		5,736
Income before income taxes		57,449		56,168		54,367
Income tax expense		8,449		14,999		16,331
Net income		49,000		41,169		38,036
Less: net income attributable to noncontrolling interests		1,945		2,592		2,578
Net income attributable to Stericycle, Inc.	$	47,055	$	38,577	$	35,458
Depreciation and amortization	$	31,049	$	25,357	$	18,116
Capital expenditures		26,708		17,031		14,583