Operating Segments

9 Months Ended

Jun. 30, 2011

Operating Segments [Abstract]

Operating Segments

(14) Operating Segments

     Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision making group, in deciding how to allocate resources and in assessing performance.

     The Company manages its operations according to its three business units, as follows: (1) the Medical Device unit, which is comprised of surface modification coating technologies to improve access, deliverability, and predictable deployment of medical devices, as well as drug delivery coating technologies to provide site-specific drug delivery from the surface of a medical device. End markets include coronary, peripheral, and neuro-vascular, and urology, among others; (2) the Pharmaceuticals unit, which incorporates a broad range of drug delivery technologies for injectable therapeutics, including microparticles, nanoparticles, and implants addressing a range of clinical applications including ophthalmology, oncology, dermatology and neurology, among others. Based in Birmingham, Alabama, the Pharmaceuticals business includes the Company’s Current Good Manufacturing Practice (cGMP) manufacturing facility; and (3) the In Vitro Diagnostics unit, which consists of component products and technologies for diagnostic test kits and biomedical research applications. Products include microarray slide technologies, protein stabilization reagents, substrates, and antigens.

     The table below presents revenue and operating income (loss) from the business units, for the three- and nine-month periods in fiscal 2011 and 2010, as follows (in thousands):

	Three Months Ended				Nine Months Ended
	June 30,				June 30,
	2011		2010		2011		2010
Revenue
Medical Device	$	9,557	$	11,684	$	29,342	$	33,385
Pharmaceuticals		4,970		3,711		11,804		12,645
In Vitro Diagnostics		3,440		3,213		9,483		8,319
Total revenue	$	17,967	$	18,608	$	50,629	$	54,349

	Three Months Ended						Nine Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Operating Income (Loss)
Medical Device	$	4,516		$	5,814		$	14,885		$	15,776
Pharmaceuticals		(799	)		(2,841	)		(12,116	)		(8,163	)
In Vitro Diagnostics		1,426			1,212			3,323			2,572
Corporate		(1,697	)		(1,965	)		(6,224	)		(6,149	)
Total	$	3,446		$	2,220		$	(132	)	$	4,036

	Three Months Ended				Nine Months Ended
	June 30,				June 30,
	2011		2010		2011		2010
Depreciation and Amortization
Medical Device	$	397	$	536	$	1,230	$	1,633
Pharmaceuticals		1,026		1,201		3,041		3,237
In Vitro Diagnostics		200		208		598		626
Corporate		179		153		528		454
Total	$	1,802	$	2,098	$	5,397	$	5,950

     Segment results above for the three-month period ended June 30, 2010 include an asset impairment charge of $375 in Corporate and adjustment of $184 to a prior fiscal 2010 asset impairment charge in the Pharmaceuticals segment.

     Segment results above for the nine-month period ended June 30, 2011 include goodwill impairment charges of $5,650 in the Pharmaceuticals segment and restructuring charges of $1,236 in Corporate.

     Segment results for the nine-month period ended June 30, 2010 include an asset impairment charge of $1,890 in the Pharmaceuticals segment and an asset impairment charge of $375 and restructuring charges of $1,306 in Corporate.

     Corporate includes expenses for administrative corporate functions, such as executive, corporate accounting, legal, human resources and Board related, that have not been fully allocated to segments. Corporate also includes special charges, such as restructuring costs, which are not specific to a segment.

     Asset information by segment is not presented in the table above because the Company does not provide our chief operating decision maker assets by segment, as the data is not readily available.