Segment information

12 Months Ended

Jun. 28, 2014

Segment Reporting [Abstract]

Segment information

Segment information

Electronics Marketing and Technology Solutions are the Company's reportable segments ("operating groups").

EM markets and sells semiconductors and interconnect, passive and electromechanical devices and embedded products. EM markets and sells its products and services to a diverse customer base serving many end-markets including automotive, communications, computer hardware and peripheral, industrial and manufacturing, medical equipment, and defense and aerospace. EM also offers an array of value-added services that help customers evaluate, design-in and procure electronic components throughout the lifecycle of their technology products and systems. By working with EM, customers and suppliers can accelerate their time to market and realize cost efficiencies in both the design and manufacturing process.

As a leading global IT solutions distributor, TS focuses on the value-added distribution of enterprise computing servers and systems, software, storage, services and complex solutions from the world’s foremost technology manufacturers. TS partners with its customers and suppliers to create and deliver effective data center and IT lifecycle solutions that solve the business challenges of end-user customers locally and around the world. TS serves a number of customer segments, from VARs, system integrators and independent software vendors to the worldwide OEM market for computing technology and non-PC OEMs requiring embedded systems and solutions including engineering, product prototyping, integration and other value-added services. TS also provides the latest hard disk drives, microprocessor, motherboard and DRAM module technologies to manufacturers of general-purpose computers and system builders.

At the beginning of fiscal 2014, the Company began excluding amortization expense associated with acquired intangible assets from the operating income of the EM and TS operating groups in order to measure such operating results consistent with how many technology companies measure operating performance and given that such amortization expense is non-cash in nature. As a result of this change, prior period segment information has been recast to conform to the new measure of profitability used during fiscal 2014. The change in the measure of operating group profitability did not impact the determination of the Company’s operating groups or the previously reported consolidated financial results.

At the beginning of fiscal 2014, a portion of the Company's reverse logistics operations, which was previously included in the EM operating group, was combined within the TS operating group. The Company also combined its regional computing components operations within EM and TS into a single global organization within TS. As a result of these changes, sales, operating income and assets previously reported in the EM operating group in fiscal 2013 have been included within the TS operating group in fiscal 2014. The Company does not view the amount of sales, operating income, or assets of such transferred operations to be a material change to the composition of its operating groups for financial reporting purposes. Sales related to such transferred operations reported in the EM operating group in fiscal 2013 were $443.3 million. The transfer of such operations between operating groups did not impact the determination of the Company’s operating groups or the previously reported consolidated financial results.

	Years Ended
	June 28, 2014			June 29, 2013			June 30, 2012
	(Millions)
Sales:
Electronics Marketing	$	16,544.4		$	15,094.4		$	14,933.1
Technology Solutions	10,955.3			10,364.5			10,774.4
	$	27,499.7		$	25,458.9		$	25,707.5
Operating income (loss):
Electronics Marketing	$	747.9		$	635.7		$	759.6
Technology Solutions	317.8			299.1			338.9
Corporate	(134.4		)	(126.9		)	(112.9		)
	931.3			807.9			985.6
Restructuring, integration and other expenses (Note 17)	(94.6		)	(149.5		)	(73.6		)
Amortization of acquired intangible assets and other	(46.8		)	(32.4		)	(27.8		)
	$	789.9		$	626.0		$	884.2
Assets:
Electronics Marketing	$	6,840.2		$	6,316.3		$	6,024.3
Technology Solutions	4,140.2			3,838.4			3,738.5
Corporate	275.1			320.0			405.1
	$	11,255.5		$	10,474.7		$	10,167.9
Capital expenditures:
Electronics Marketing	$	38.0		$	24.1		$	58.5
Technology Solutions	43.8			26.6			41.3
Corporate	41.4			46.7			28.8
	$	123.2		$	97.4		$	128.6
Depreciation & amortization expense:
Electronics Marketing	$	48.8		$	51.8		$	38.9
Technology Solutions	59.0			47.3			39.2
Corporate	29.4			21.6			23.2
	$	137.2		$	120.7		$	101.3
Sales, by geographic area:
Americas(1)	$	10,929.5		$	10,716.6		$	11,499.3
EMEA(2)	8,246.1			7,277.9			7,408.9
Asia/Pacific(3)	8,324.1			7,464.4			6,799.3
	$	27,499.7		$	25,458.9		$	25,707.5
Property, plant and equipment, net, by geographic area:
Americas(4)	$	306.2		$	283.0		$	278.5
EMEA(5)	199.4			177.9			150.8
Asia/Pacific	29.4			31.7			31.9
	$	535.0		$	492.6		$	461.2

______________________

(1) Includes sales in the United States of $9.68 billion, $9.43 billion and $10.00 billion for fiscal 2014, 2013 and 2012, respectively.

(2) Includes sales in Germany and the United Kingdom of $3.31 billion and $1.36 billion, respectively, for fiscal 2014. Includes sales in Germany and the United Kingdom of $2.78 billion and $1.22 billion, respectively, for fiscal 2013. Includes sales in Germany and the United Kingdom of $2.60 billion and $1.40 billion, respectively, for fiscal 2012.

(3) Includes sales of $2.63 billion, $2.93 billion and $1.19 billion in Taiwan, China (including Hong Kong) and Singapore, respectively, for fiscal 2014. Includes sales of $2.28 billion, $2.44 billion and $1.16 billion in Taiwan, China (including Hong Kong) and Singapore, respectively, for fiscal 2013. Includes sales of $1.90 billion, $2.30 billion and $1.20 billion in Taiwan, China (including Hong Kong) and Singapore, respectively, for fiscal 2012.

(4) Includes property, plant and equipment, net, of $298.1 million, $273.4 million and $266.7 million in the United States for fiscal 2014, 2013 and 2012, respectively.

(5) Includes property, plant and equipment, net, of $95.5 million, $61.0 million, and $12.6 million in Germany, Belgium and the United Kingdom, respectively, for fiscal 2014. Fiscal 2013 includes property, plant and equipment, net, of $92.7 million in Germany, $45.1 million in Belgium and $13.1 million in the United Kingdom. Fiscal 2012 includes property, plant and equipment, net, of $90.6 million in Germany, $26.4 million in Belgium and $17.3 million in the United Kingdom.

Listed in the table below are the Company's major product categories and the related sales for each of the past three fiscal years:

	Years Ended
	June 28, 2014		June 29, 2013		June 30, 2012
	(Millions)
Semiconductors	$	13,160.9	$	13,720.8	$	13,461.6
Computer products	10,571.6		9,346.0		9,984.4
Connectors	794.7		687.6		667.5
Passives, electromechanical and other	2,972.5		1,704.5		1,594.0
	$	27,499.7	$	25,458.9	$	25,707.5