Segment Information

3 Months Ended

Nov. 26, 2011

Segment Information [Abstract]

Segment Information

NOTE 8 – SEGMENT INFORMATION

Our sales are primarily comprised of training and consulting sales and related products. Based on the consistent nature of our services and products and the types of customers for these services, we function as a single operating segment. However, to improve comparability with previous periods, operating information for our U.S./Canada, international, and corporate services operations is presented below. Our U.S./Canada operations are responsible for the sale and delivery of our training and consulting services in the United States and Canada. Our international sales group includes the financial results of our directly owned foreign offices and royalty revenues from licensees. Our corporate services information includes leasing income and certain corporate operating expenses.

The Company's chief operating decision maker is the CEO, and the primary measurement tool used in business unit performance analysis is earnings before interest, taxes, depreciation, and amortization (EBITDA), which is a non-GAAP measure and may not be calculated as similarly titled amounts calculated by other companies. For segment reporting purposes, our consolidated EBITDA can be calculated as our income or loss from operations excluding depreciation and amortization charges.

In the normal course of business, we may make structural and cost allocation revisions to our segment information to reflect new reporting responsibilities within the organization. There were no significant organizational or structural changes during the quarter ended November 26, 2011. We account for our segment information on the same basis as the accompanying condensed consolidated financial statements.

ENTERPRISE INFORMATION

(in thousands)

		Sales to
Quarter Ended		External
November 26, 2011		Customers		Gross Profit		EBITDA			Depreciation		Amortization
U.S./Canada	$	27,446	$	17,145	$	2,434		$	419	$	627
International		11,399		9,106		5,119			90		4
Total		38,845		26,251		7,553			509		631
Corporate and eliminations		695		291		(2,384	)		325		-
Consolidated	$	39,540	$	26,542	$	5,169		$	834	$	631
Quarter Ended
November 27, 2010
U.S./Canada	$	28,170	$	16,391	$	3,071		$	457	$	926
International		10,661		8,510		4,340			72		3
Total		38,831		24,901		7,411			529		929
Corporate and eliminations		585		175		(2,124	)		381		-
Consolidated	$	39,416	$	25,076	$	5,287		$	910	$	929

A reconciliation of our U.S./Canada and international EBITDA to consolidated income from continuing operations before taxes is provided below (in thousands):

		Quarter Ended
		November 26,		November 27,
		2011			2010
U.S./Canada and international
EBITDA	$	7,553		$	7,411
Corporate expenses		(2,384	)		(2,124	)
Consolidated EBITDA		5,169			5,287
Depreciation		(834	)		(910	)
Amortization		(631	)		(929	)
Income from operations		3,704			3,448
Interest income		3			4
Interest expense		(633	)		(711	)
Income before taxes	$	3,074		$	2,741