Note 10 Business Segment, Geographic and Customer Information

9 Months Ended

Jun. 28, 2014

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Business Segment, Geographic and Customer Information

ASC Topic 280, Segment Reporting, establishes standards for reporting information about operating segments, products and services, geographic areas of operations and major customers. Operating segments are defined as components of an enterprise for which separate financial information is available and evaluated regularly by the chief operating decision maker or decision making group in deciding how to allocate resources and in assessing performance.

The Company's operations are managed as two businesses: Integrated Manufacturing Solutions (IMS) and Components, Products and Services (CPS). The Company's CPS business consists of multiple operating segments which do not meet the quantitative threshold for being presented as reportable segments. Therefore, financial information for these operating segments is presented in a single category entitled "CPS" and the Company has only one reportable segment - IMS.

Effective in the fourth quarter of 2013, the Company's Optical and RF modules group was moved from IMS to CPS. Accordingly, the prior period results presented below reflect this change in segment reporting to conform to the current period segment reporting structure.

The following table presents revenue and a non-GAAP measure of segment gross profit used by management to allocate resources and assess performance of operating segments:

	Three Months Ended						Nine Months Ended
	June 28, 2014			June 29, 2013			June 28, 2014			June 29, 2013
	(In thousands)
Gross sales:
IMS	$	1,275,159		$	1,201,170		$	3,571,478		$	3,560,789
CPS	390,986			336,699			1,126,460			986,300
Intersegment revenue	(61,418		)	(48,655		)	(169,001		)	(135,288		)
Net sales	$	1,604,727		$	1,489,214		$	4,528,937		$	4,411,801
Gross profit:
IMS	$	85,688		$	76,092		$	246,309		$	212,405
CPS	43,171			39,630			116,152			106,521
Total	128,859			115,722			362,461			318,926
Unallocated items (1)	(1,946		)	(1,471		)	(5,796		)	(7,443		)
Total	$	126,913		$	114,251		$	356,665		$	311,483

(1) Represents amounts associated with items that management excludes from its measure of gross profit shown above. These items include stock-based compensation expense, amortization of intangible assets, charges or credits resulting from distressed customers and similar items that either occur infrequently or are of a non-operational nature.

Net sales by geographic segment, determined based on the country in which a product is manufactured, was as follows:

	Three Months Ended				Nine Months Ended
	June 28, 2014		June 29, 2013		June 28, 2014		June 29, 2013
	(In thousands)
Net sales
United States	$	246,900	$	275,893	$	795,497	$	796,458
Mexico	467,324		372,060		1,164,952		1,059,473
China	405,606		364,703		1,145,156		1,130,916
Other international	484,897		476,558		1,423,332		1,424,954
Total	$	1,604,727	$	1,489,214	$	4,528,937	$	4,411,801

Percentage of net sales represented by ten largest customers	51.2	%	51.4	%	49.8	%	50.1	%
Number of customers representing 10% or more of net sales	—		1		1		1