Industry Segment Information

6 Months Ended

Jun. 29, 2014

Segment Reporting [Abstract]

Industry Segment Information

Industry Segment Information

The Company discloses information about its operating segments based on the way that management organizes the segments within the Company for making operating decisions and assessing financial performance. The Company evaluates the performance of its operating segments based on revenue and operating income. Intersegment revenue and transfers are not significant. The Company’s management reviews the results of the Company’s operations by the Human Health and Environmental Health operating segments. The accounting policies of the operating segments are the same as those described in Note 1 to the audited consolidated financial statements in the 2013 Form 10-K. The principal products and services of the Company's two operating segments are:

• Human Health.    Develops diagnostics, tools and applications to help detect diseases earlier and more accurately and to accelerate the discovery and development of critical new therapies. The Human Health segment serves both the diagnostics and research markets.

• Environmental Health.    Provides products, services and solutions to facilitate the creation of safer food and consumer products, more secure surroundings and efficient energy resources. The Environmental Health segment serves the environmental, industrial and laboratory services markets.

The Company has included the expenses for its corporate headquarters, such as legal, tax, audit, human resources, information technology, and other management and compliance costs, as well as the activity related to the mark-to-market adjustment on postretirement benefit plans, as “Corporate” below. The Company has a process to allocate and recharge expenses to the reportable segments when these costs are administered or paid by the corporate headquarters based on the extent to which the segment benefited from the expenses. These amounts have been calculated in a consistent manner and are included in the Company’s calculations of segment results to internally plan and assess the performance of each segment for all purposes, including determining the compensation of the business leaders for each of the Company’s operating segments.

Revenue and operating income (loss) by operating segment, excluding discontinued operations, are shown in the table below:

	Three Months Ended						Six Months Ended
	June 29, 2014			June 30, 2013			June 29, 2014			June 30, 2013
	(In thousands)
Human Health
Product revenue	$	245,108		$	235,923		$	484,137		$	454,996
Service revenue	62,397			61,396			121,557			121,217
Total revenue	307,505			297,319			605,694			576,213
Operating income from continuing operations	52,614			30,628			96,704			56,441
Environmental Health
Product revenue	136,501			138,101			262,956			265,647
Service revenue	112,164			105,253			218,130			201,756
Total revenue	248,665			243,354			481,086			467,403
Operating income from continuing operations	30,872			19,298			52,371			40,026
Corporate
Operating loss from continuing operations(1)	(13,849		)	(9,710		)	(27,676		)	(19,557		)
Continuing Operations
Product revenue	381,609			374,024			747,093			720,643
Service revenue	174,561			166,649			339,687			322,973
Total revenue	556,170			540,673			1,086,780			1,043,616
Operating income from continuing operations	69,637			40,216			121,399			76,910
Interest and other expense, net (see Note 5)	8,964			12,865			20,253			24,905
Income from continuing operations before income taxes	$	60,673		$	27,351		$	101,146		$	52,005

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⁽¹⁾  Activity related to the mark-to-market adjustment on postretirement benefit plans has been included in the Corporate operating loss from continuing operations, and in the aggregate constituted a pre-tax gain of $0.1 million for both the six months ended June 29, 2014 and June 30, 2013. There were no expenses related to the mark-to-market adjustment on postretirement benefit plans for either the three months ended June 29, 2014 or June 30, 2013.