Segment Information

6 Months Ended

Jun. 30, 2017

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

As a result of the Lake Region Medical acquisition and Spin-off, during 2016 the Company reorganized its operations including its internal management and financial reporting structure. As a result of this reorganization, the Company reevaluated and revised its reportable business segments during the fourth quarter of 2016 and began to disclose two reportable segments: (1) Medical and (2) Non-Medical. Prior period amounts have been reclassified to conform to the new segment reporting presentation. The two reportable segments, along with their related product lines, are described below:

Medical - includes the (i) Cardio & Vascular product line, which includes introducers, steerable sheaths, guidewires, catheters, and stimulation therapy components, subassemblies and finished devices that deliver therapies for various markets such as coronary and neurovascular disease, peripheral vascular disease, interventional radiology, vascular access, atrial fibrillation, and interventional cardiology, plus products for medical imaging and pharmaceutical delivery; (ii) Cardiac & Neuromodulation product line, which includes batteries, capacitors, filtered and unfiltered feed-throughs, engineered components, implantable stimulation leads, and enclosures used in implantable medical devices; and (iii) Advanced Surgical, Orthopedics & Portable Medical product line, which includes components, sub-assemblies, finished devices, implants, instruments and delivery systems for a range of surgical technologies to the advanced surgical market, including laparoscopy, orthopedics and general surgery, biopsy and drug delivery, joint preservation and reconstruction, arthroscopy, and engineered tubing solutions. Products also include life-saving and life-enhancing applications comprising of automated external defibrillators, portable oxygen concentrators, ventilators, and powered surgical tools.

Non-Medical - includes primary (lithium) cells, and primary and secondary battery packs for applications in the energy, military and environmental markets.

During the first quarter of 2017, the Company revised the method used to present sales by product line in order to align the legacy Greatbatch and Lake Region Medical methodologies.  The Company believes the revised presentation will provide improved reporting and better transparency into the operational results of its business and markets.  Prior period amounts have been reclassified to conform to the new product line sales reporting presentation.

(15.)SEGMENT INFORMATION (Continued)

The tables below present information about our reportable segments (in thousands):

	Three Months Ended				Six Months Ended
	June 30, 2017		July 1, 2016		June 30, 2017		July 1, 2016
Segment sales by product line:
Medical
Cardio & Vascular	$	132,231	$	122,253	$	257,339	$	235,924
Cardiac & Neuromodulation	106,185		106,919		209,998		215,452
Advanced Surgical, Orthopedics & Portable Medical	108,560		109,391		213,706		207,753
Total Medical	346,976		338,563		681,043		659,129
Non-Medical	15,743		9,819		27,089		21,491
Total sales	$	362,719	$	348,382	$	708,132	$	680,620

There were no sales between segments during the six months ended June 30, 2017 and July 1, 2016.

	Three Months Ended						Six Months Ended
	June 30, 2017			July 1, 2016			June 30, 2017			July 1, 2016
Segment income from operations:
Medical	$	55,233		$	41,869		$	105,593		$	73,710
Non-Medical	4,940			3,062			6,502			2,051
Total segment income from operations	60,173			44,931			112,095			75,761
Unallocated operating expenses	(20,434		)	(15,662		)	(45,811		)	(35,358		)
Operating income	39,739			29,269			66,284			40,403
Unallocated expenses, net	(35,623		)	(28,582		)	(66,363		)	(52,478		)
Income (loss) before provision for income taxes	$	4,116		$	687		$	(79	)	$	(12,075	)