Segment Reporting

12 Months Ended

Dec. 31, 2011

Segment Reporting [Abstract]

SEGMENT REPORTING

SEGMENT REPORTING

Each of our reportable segments generates revenues from the sale of medical devices. As of December 31, 2011, we had four reportable segments based on geographic regions: the United States; EMEA, consisting of Europe, the Middle East and Africa; Japan; and Inter-Continental, consisting of our Asia Pacific and the Americas operating segments, which include the emerging markets of Brazil, China and India. The reportable segments represent an aggregate of all operating divisions within each segment. We measure and evaluate our reportable segments based on segment net sales and operating income. We exclude from segment operating income certain corporate and manufacturing-related expenses, as our corporate and manufacturing functions do not meet the definition of a segment, as defined by ASC Topic 280, Segment Reporting. In addition, certain transactions or adjustments that our Chief Operating Decision Maker considers to be non-recurring and/or non-operational, such as amounts related to goodwill and other intangible asset impairment charges; acquisition-, divestiture-, restructuring- and litigation-related charges and credits; as well as amortization expense, are excluded from segment operating income. Although we exclude these amounts from segment operating income, they are included in reported consolidated operating income (loss) and are included in the reconciliation below.

We manage our international operating segments on a constant currency basis. Sales generated from reportable segments and divested businesses, as well as operating results of reportable segments and expenses from manufacturing operations, are based on internally-derived standard currency exchange rates, which may differ from year to year, and do not include intersegment profits. We have restated the segment information for 2010 and 2009 net sales and operating results based on standard currency exchange rates used for 2011 in order to remove the impact of currency fluctuations. Because of the interdependence of the reportable segments, the operating profit as presented may not be representative of the geographic distribution that would occur if the segments were not interdependent. A reconciliation of the totals reported for the reportable segments to the applicable line items in our accompanying consolidated statements of operations is as follows:

	Year Ended December 31,
(in millions)	2011		2010			2009
Net sales			(restated)			(restated)
United States	$	4,010	$	4,215		$	4,550
EMEA	1,781		1,798			1,814
Japan	842		863			944
Inter-Continental	726		665			659
Net sales allocated to reportable segments	7,359		7,541			7,967
Sales generated from business divestitures	140		346			364
Impact of foreign currency fluctuations	123		(81		)	(143		)
	$	7,622	$	7,806		$	8,188

	Year Ended December 31,
(in millions)	2011		2010		2009
Depreciation expense			(restated)		(restated)
United States	$	85	$	96	$	119
EMEA	10		19		20
Japan	9		10		10
Inter-Continental	7		7		8
Depreciation expense allocated to reportable segments	111		132		157
Manufacturing operations	125		123		125
Corporate expenses and currency exchange	60		48		41
	$	296	$	303	$	323

	Year Ended December 31,
(in millions)	2011			2010			2009
Income (loss) before income taxes	(restated)			(restated)			(restated)
United States	$	627		$	733		$	1,042
EMEA	735			759			810
Japan	367			400			555
Inter-Continental	265			245			290
Operating income allocated to reportable segments	1,994			2,137			2,697
Manufacturing operations	(264		)	(305		)	(464		)
Corporate expenses and currency exchange	(270		)	(271		)	(431		)
Goodwill and intangible asset impairment charges and acquisition-, divestiture-, litigation-, and restructuring-related net charges	(135		)	(1,704		)	(2,185		)
Amortization expense	(421		)	(513		)	(511		)
Operating income (loss)	904			(656		)	(894		)
Other expense, net	(262		)	(407		)	(414		)
	$	642		$	(1,063	)	$	(1,308	)

	As of December 31,
(in millions)	2011		2010
Total assets
United States	$	1,851	$	1,936
EMEA	1,003		936
Japan	243		256
Inter-Continental	463		429
Total assets allocated to reportable segments	3,560		3,557
Assets held for sale			576
Goodwill	9,761		10,186
Other intangible assets	6,473		6,343
All other corporate and manufacturing operations assets	1,496		1,466
	$	21,290	$	22,128

Enterprise-Wide Information (based on actual currency exchange rates)

	Year Ended December 31,
(in millions)	2011		2010		2009
Net sales			(restated)		(restated)
Interventional Cardiology	$	2,495	$	2,602	$	2,859
Cardiac Rhythm Management	2,087		2,180		2,413
Endoscopy	1,187		1,079		1,006
Peripheral Interventions	731		669		661
Urology/Women’s Health	498		481		456
Neuromodulation	336		304		285
Electrophysiology	147		147		149
	7,481		7,462		7,829
Sales generated from divested businesses	141		344		359
	$	7,622	$	7,806	$	8,188
United States	$	4,010	$	4,215	$	4,550
Japan	951		886		908
Other foreign countries	2,520		2,361		2,371
	7,481		7,462		7,829
Sales generated from divested businesses	141		344		359
	$	7,622	$	7,806	$	8,188

	As of December 31,
(in millions)	2011		2010		2009
Long-lived assets
United States	$	1,141	$	1,188	$	1,206
Ireland	231		219		249
Other foreign countries	298		290		267
Property, plant and equipment, net	1,670		1,697		1,722
Goodwill	9,761		10,186		11,936
Other intangible assets	6,473		6,343		6,667
	$	17,904	$	18,226	$	20,325