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Note 15 Business Segment, Geographic and Customer Information
 12 Months Ended
Oct. 03, 2020
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:

1)Integrated Manufacturing Solutions (IMS). IMS is a reportable segment consisting of printed circuit board assembly and test, high-level assembly and test, and direct order fulfillment.

2)Components, Products and Services (CPS). Components include interconnect systems (printed circuit board fabrication, backplane, cable assemblies and plastic injection molding) and mechanical systems (enclosures and precision machining). Products include memory from our Viking Technology division; enterprise solutions from our Viking Enterprise Solutions division; RF, optical and microelectronics; defense and aerospace products from SCI Technology; and cloud-based manufacturing execution software from the Company's 42Q division. Services include design, engineering, global services (logistics and repair).

The Company evaluated its operating segments to determine whether they can be aggregated into reportable segments. Factors considered in this evaluation were similarity of economic characteristics, products, production processes, type or classes of customers, distribution methods and regulatory environments. The Company determined that it has only one reportable segment - IMS, which generated approximately 80% of the Company's total revenue in 2020. The Company's CPS business consists of multiple operating segments which, based on this evaluation, do not meet the quantitative threshold for being presented individually as reportable segments. Therefore, financial information for these operating segments is aggregated and presented in a single category entitled “Components, Products and Services".

The accounting policies for each segment are the same as those disclosed by the Company for its consolidated financial statements. Intersegment sales consist primarily of sales of components from CPS to IMS.

The Company's chief operating decision making group is the Chief Executive Officer and Chief Financial Officer and they allocate resources and assess performance of operating segments based on a measure of revenue and gross profit that excludes items not directly related to the Company's ongoing business operations. These items are typically either non-recurring or non-cash in nature.
Segment information is as follows:
Year Ended
October 3, 2020September 28, 2019September 29, 2018
(In thousands)
Gross sales:
IMS$5,733,180 $6,907,129 $5,847,958 
CPS1,365,712 1,555,117 1,458,754 
Intersegment revenue(138,522)(228,387)(196,582)
   Net Sales$6,960,370 $8,233,859 $7,110,130 
Gross Profit:
IMS$381,638 $444,168 $352,361 
 CPS
156,844 156,221 (1)117,835 
          Total538,482 600,389 470,196 
     Unallocated items (2)(12,775)(8,451)(6,413)
      Total$525,707 $591,938 $463,783 
Depreciation and amortization:
IMS$81,169 $81,997 $76,071 
CPS26,718 25,632 30,048 
Total107,887 107,629 106,119 
Unallocated corporate items (3)6,331 9,320 12,701 
Total$114,218 $116,949 $118,820 
Capital expenditures (receipt basis):
IMS$23,933 $79,943 $87,421 
CPS23,915 28,629 28,696 
Total47,848 108,572 116,117 
Unallocated corporate items (3)3,227 3,836 2,480 
Total$51,075 $112,408 $118,597 

(1)    During the fourth quarter of 2018, the Company recorded a $12.5 million pre-tax adjustment to correct errors that occurred from 2016 through the third quarter of 2018 with respect to the accounting for certain long-term contracts in one of the Company’s CPS divisions. These errors are immaterial to all prior periods. The impact of this out-of-period adjustment on the full year fiscal 2018 was $11 million which is also immaterial to 2018.

(2)    For purposes of evaluating segment performance, management excludes certain items from its measures of gross profit. These items consist of stock-based compensation expense, amortization of intangible assets, charges or credits resulting from distressed customers, litigation settlements and acquisition-related items.

(3)    Primarily related to selling, general and administration functions.

Segment assets, consisting of accounts receivable, inventories and fixed assets, are substantially proportional to segment sales.
Net sales by geographic segment, determined based on the country in which a product is manufactured were as follows:
Year Ended
October 3,
2020		September 28,
2019		September 29,
2018
(In thousands)
Net sales:
Americas (1)$3,450,527 $4,194,652 $3,600,967 
EMEA995,838 1,051,192 841,961 
APAC2,514,005 2,988,015 2,667,202 
Total$6,960,370 $8,233,859 $7,110,130 
(1)    Mexico represents approximately 60% of the Americas revenue and the U.S. represents approximately 35%.
Percentage of net sales represented by ten largest customers55.5 %54.2 %53.0 %
Number of customers representing 10% or more of net sales1 1 1 

As of
October 3,
2020		September 28,
2019
(In thousands)
Property, plant and equipment, net:
Americas$327,991 $369,985 
EMEA63,089 72,040 
APAC168,162 188,622 
  Total
$559,242 $630,647