Segment and Geographical Information

6 Months Ended

Jul. 01, 2012

Segment Reporting [Abstract]

Segment and Geographical Information [Text Block]

SEGMENT INFORMATION

In December 2011, the Company announced a reorganization to align its business and cost structure to a regional focus in order to support the needs of its customers and improve the speed of decision-making processes. As a result, in the first quarter of fiscal 2012, the Company changed its segment reporting from its UPP Segment and R&C Segment to three regional segments: (i) the Americas Segment, (ii) the EMEA Segment, and (iii) the APAC Segment. The Americas Segment includes both North and South America. The EMEA Segment includes European countries, as well as the Middle East and Africa. The APAC segment includes all Asia-Pacific countries. The Company's President and Chief Executive Officer, as the CODM, has organized the Company, manages resource allocations and measures performance of the Company's activities among these three regional segments.

The CODM assesses the performance of the three regional segments using information about their revenue and gross margin after certain adjustments to reflect the substance of the revenue transactions for certain utility and power plant projects, and adding back certain non-cash expenses such as amortization of other intangible assets, stock-based compensation expense, loss on change in European government incentives, restructuring charges, accelerated depreciation associated with the Company's manufacturing step reduction program, and interest expense. In addition, the CODM assesses the performance of the segments after adding back the results of discontinued operations to revenue and gross margin. The CODM does not review asset information by segment. The following tables present revenue by segment, cost of revenue by segment and gross margin by segment, revenue by geography and revenue by significant customer. Revenue is based on the destination of the shipments. Historical results have been recast under the new segmentation.

	Three Months Ended				Six Months Ended
(In thousands):	July 1, 2012		July 3, 2011		July 1, 2012		July 3, 2011
Revenue
Americas	$	392,282	$	370,334	$	673,775	$	574,244
EMEA	155,417		182,135		311,527		382,636
APAC	48,198		39,786		104,726		86,793
Total Revenue	595,897		592,255		1,090,028		1,043,673
Cost of revenue
Americas	326,511		340,211		568,630		513,093
EMEA	154,455		198,394		311,300		355,103
APAC	41,431		34,356		91,350		67,661
Total cost of revenue	522,397		572,961		971,280		935,857
Gross margin	$	73,500	$	19,294	$	118,748	$	107,816

	Three Months Ended					Six Months Ended
	July 1, 2012			July 3, 2011		July 1, 2012			July 3, 2011
Revenue by region (in thousands):
Americas (as reviewed by CODM)	$	447,106		$	370,334	$	814,802		$	574,244
Utility and power plant projects	(54,824		)	—		(141,027		)	—
Americas	$	392,282		$	370,334	$	673,775		$	574,244
EMEA (as reviewed by CODM)	$	155,417		$	182,135	$	311,334		$	382,636
Change in European government incentives	—			—		193			—
EMEA	$	155,417		$	182,135	$	311,527		$	382,636
APAC	$	48,198		$	39,786	$	104,726		$	86,793
Cost of revenue by region (in thousands):
Americas (as reviewed by CODM)	$	361,923		$	319,897	$	668,803		$	491,486
Utility and power plant projects	(39,898		)	—		(110,343		)	—
Amortization of intangible assets	42			46		83			320
Stock-based compensation expense	2,025			2,458		3,154			3,062
Acquisition and integration costs	7			—		11			—
Change in European government incentives	(263		)	17,379		4,029			17,379
Charges on manufacturing step reduction program	2,470			—		2,470			—
Non-cash interest expense	205			431		423			846
Americas	$	326,511		$	340,211	$	568,630		$	513,093
EMEA (as reviewed by CODM)	$	150,594		$	166,626	$	302,017		$	321,611
Amortization of intangible assets	782			21		1,590			42
Stock-based compensation expense	1,398			2,346		2,363			3,538
Change in European government incentives	(109		)	29,125		3,364			29,125
Charges on manufacturing step reduction program	1,648			—		1,648			—
Acquisition and integration costs	5			—		5			—
Non-cash interest expense	137			276		313			787
EMEA	$	154,455		$	198,394	$	311,300		$	355,103
APAC (as reviewed by CODM)	$	40,163		$	31,879	$	88,472		$	64,951
Stock-based compensation expense	492			469		757			594
Change in European government incentives	196			1,959		1,476			1,959
Charges on manufacturing step reduction program	534			—		534			—
Acquisition and integration costs	2			—		2			—
Non-cash interest expense	44			49		109			157
APAC	$	41,431		$	34,356	$	91,350		$	67,661

Gross margin by region:
Americas (as reviewed by CODM)	19	%	14	%	18	%	14	%
EMEA (as reviewed by CODM)	3	%	9	%	3	%	16	%
APAC (as reviewed by CODM)	17	%	20	%	16	%	25	%
Americas	17	%	8	%	16	%	11	%
EMEA	1	%	(9	)%	—	%	7	%
APAC	14	%	14	%	13	%	22	%

		Three Months Ended				Six Months Ended
(As a percentage of total revenue)		July 1, 2012		July 3, 2011		July 1, 2012		July 3, 2011
Significant Customers:	Business Segment
NRG Solar, Inc.	Americas	25	%	*		24	%	*
Customer B	Americas	17	%	*		*		*
Customer C	Americas	*		18	%	*		11	%

* denotes less than 10% during the period