Note 10 - Segment Information

6 Months Ended

Jun. 30, 2012

Segment Reporting Disclosure [Text Block]

10.   Segment Information

The Company’s predominant business is the design, development and distribution of athletic footwear.  The Company has identified its footwear products business to be its only segment as substantially all of the Company’s revenues are from sales of footwear products.  The Company is organized into three geographic regions:  the United States, Europe, Middle East and Africa (“EMEA”) and Other International.  The Company’s Other International geographic region includes the Company’s operations in Asia.  The following tables summarize information by geographic region of the Company’s footwear segment (in thousands):

	Six Months Ended June 30,						Three Months Ended June 30,
	2012			2011			2012			2011
Revenues from unrelated entities (1):
United States	$	39,560		$	63,684		$	18,748		$	32,404
EMEA		44,864			42,724			13,805			19,239
Other International		29,646			31,330			12,199			13,654
Total revenues from unrelated entities	$	114,070		$	137,738		$	44,752		$	65,297
Inter-geographic revenues:
United States	$	3,557		$	2,564		$	950		$	1,316
EMEA		26			1,446			12			1,446
Other International		66			136			33			37
Total inter-geographic revenues	$	3,649		$	4,146		$	995		$	2,799
Total revenues:
United States	$	43,117		$	66,248		$	19,698		$	33,720
EMEA		44,890			44,170			13,817			20,685
Other International		29,712			31,466			12,232			13,691
Less inter-geographic revenues		(3,649	)		(4,146	)		(995	)		(2,799	)
Total revenues	$	114,070		$	137,738		$	44,752		$	65,297
Operating (loss)/profit:
United States	$	(12,532	)	$	(16,233	)	$	(5,942	)	$	(7,187	)
EMEA		(1,221	)		(8,857	)		(3,342	)		(6,634	)
Other International		2,238			5,322			82			1,188
Less corporate expenses (2)		(5,771	)		(7,668	)		(2,430	)		(3,687	)
Eliminations		862			129			314			44
Total operating loss	$	(16,424	)	$	(27,307	)	$	(11,318	)	$	(16,276	)

	June 30, 2012		December 31, 2011
Long-lived assets (3):
United States	$	15,675	$	16,719
EMEA		1,545		1,519
Other International		1,259		1,355
Total long-lived assets	$	18,479	$	19,593

(1) Revenue is attributable to geographic regions based on the location of the Company’s subsidiaries.

(2) Corporate expenses include expenses such as salaries and related expenses for executive management and support departments such as accounting and treasury, information technology and legal which benefit the entire Company and are not segment/region specific.  Corporate expenses for the six and three months ended June 30, 2012 decreased as a result of decreases in compensation, legal and data processing expenses.  The decrease in compensation expenses, which includes bonus/incentive related expenses and employee recruiting and relocation expenses, resulted from a reduction in salary related expenses, stock option compensation expenses and interest expense related to the Company’s deferred compensation plan which was terminated in October 2011.  The decrease in legal expenses was a result of decreases in expenses incurred to defend the Company’s trademarks.  The decrease in data processing expenses was a result of decreases in on-going maintenance expenses.

(3) Long-lived assets consist of property, plant and equipment, net.

 During the six and three months ended June 30, 2012 and 2011, there were no customers that accounted for more than 10% of revenues.  At June 30, 2012, approximately 12% of accounts receivable was from one customer.  At December 31, 2011, approximately 10% of accounts receivable was from one customer.