Operating Segment and Geographic Information

12 Months Ended

Dec. 29, 2012

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Note 13 — Operating Segment and Geographic Information

The following table presents certain operating segment information.

In Thousands	2012			2011			2010
Sporting Goods
Net revenue	$	112,599		$	96,971		$	85,815
Operating income		13,758			10,802			9,171
Interest expense		273			686			1,655
Provision for taxes		5,324			4,365			2,993
Net income		8,189			5,817			4,601
Identifiable assets		77,902			69,324			68,047
Non-marketable equity investments (equity method)		—			—			—
Depreciation & amortization		3,398			2,623			2,461
Capital expenditures		2,065			1,595			517
Information Security and Print Finishing
Net revenue		34,990			37,279			34,841
Operating income (loss)		(14,628	)		71			926
Interest expense		515			445			203
Provision for taxes		543			551			913
Net loss		(15,683	)		(921	)		(187	)
Identifiable assets		25,578			40,396			37,713
Non-marketable equity investments (equity method)		323			318			321
Depreciation & amortization		924			974			1,114
Capital expenditures		358			780			1,261
All Other
Net revenue		—			—			—
Operating loss		(1,715	)		(6,702	)		(1,908	)
Interest expense		(186	)		(438	)		(695	)
Benefit for taxes		(1,475	)		(2,482	)		(889	)
Net income (loss)		2,564			(455	)		1,645
Identifiable assets		22,260			20,395			21,793
Non-marketable equity investments (equity method)		17,164			14,079			11,303
Depreciation & amortization		—			5,175			755
Capital expenditures		—			—			—
Total
Net revenue		147,589			134,250			120,656
Operating income (loss)		(2,585	)		4,171			8,189
Interest expense		602			693			1,163
Provision for taxes		4,392			2,434			3,017
Net income (loss)		(4,930	)		4,441			6,059
Identifiable assets		125,740			130,115			127,553
Non-marketable equity investments (equity method)		17,487			14,397			11,624
Depreciation & amortization		4,322			8,772			4,330
Capital expenditures		2,423			2,375			1,778

Each operating segment is individually managed and has separate financial results that are reviewed by the Company’s management. Each segment contains closely related products that are unique to the particular segment. There were no changes to the composition of segments in 2012. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies.

The Sporting Goods segment consists of home entertainment products such as table tennis tables and accessories; basketball goals; pool tables and accessories; outdoor playsets; soccer and hockey tables; archery equipment and accessories; and fitness, arcade and darting products. Customers include retailers, dealers and wholesalers located throughout the United States and Europe.

The Information Security and Print Finishing segment consists of products such as high-security data shredders, disintegrators and deguassers, and office machinery used in the office and graphic arts environment. Office environment products include folding machines; and paper trimmers and cutters. Customers include end-users, as well as, retailers, wholesalers, catalogs, specialty dealers and business partners.

All other segments consist of general and administrative expenses not specifically related to the operating business segments and includes investment income from equity investments.

Interest expense is allocated to operating segments based on working capital usage and the provision for taxes is allocated based on a combined federal and state statutory rate of 39.4% adjusted for actual taxes on foreign income. Permanent tax adjustments and timing differences are included in the all other segment.

Identifiable assets are principally those assets used in each segment. The assets in the all other segment are principally cash and cash equivalents; deferred tax assets; and investments.

The Company has one customer in 2012 in the Sporting Goods segment who accounted for 18% of consolidated total revenues and one customer in 2011 and 2010 who accounted for 16% and 15% of consolidated total revenues, respectively. No other customers accounted for 10% or more of consolidated revenues. Within the Sporting Goods segment, this customer accounted for 23%, 22% and 21% of total revenues in 2012, 2011 and 2010, respectively.

As of December 29, 2012, approximately 16 employees of the Company's labor force were covered by a collective bargaining agreement that expires April 30, 2013.

Raw materials for Escalade’s various product lines consist of wood, tempered glass, particle board, standard grades of steel and steel tubing, engineering plastics, fiberglass and packaging materials. Escalade relies upon domestic, Mexico, and Asian suppliers for these materials and upon various Asian manufacturers for certain of its game room product needs and other items.

Revenues by geographic region/country were as follows:

In Thousands	2012		2011		2010
North America	$	127,013	$	112,907	$	100,921
Europe		13,220		12,240		11,486
Other		7,356		9,103		8,249
	$	147,589	$	134,250	$	120,656

Revenues are attributed to country based on location of customer and are for continuing operations.

Identified assets by geographic region/country were as follows:

In Thousands	2012		2011		2010
North America	$	110,977	$	105,717	$	103,277
Europe		14,763		24,398		24,276
	$	125,740	$	130,115	$	127,553