Operating Segments and Related Information

6 Months Ended

Jun. 30, 2014

Segment Reporting [Abstract]

Operating Segments and Related Information

Operating Segments and Related Information

Operating Segments

In February 2014, the Company announced a realignment of its business which resulted in the elimination of its division structure and the formation of six reportable operating segments effective as of January 1, 2014. Those operating segments are as follows:

Surveillance

The Surveillance segment develops and manufactures enhanced imaging and recognition solutions for a wide variety of military, law enforcement, public safety, and other government customers around the world for the protection of borders, troops, and public welfare. Offerings include airborne, land, maritime, and man-portable multi-spectrum imaging systems, radars, lasers, imaging components, integrated multi-sensor system platforms, and services related to these systems.

Instruments

The Instruments segment develops and manufactures devices that image, measure, and assess thermal energy, gases, and other environmental elements for industrial, commercial, and scientific applications. Products include thermal imaging cameras, gas detection cameras, firefighting cameras, process automation cameras, and environmental test and measurement devices.

OEM and Emerging Markets

The OEM and Emerging Markets segment develops and manufactures thermal imaging camera cores and components that are utilized by third parties to create thermal and other types of imaging systems. The segment also develops and manufactures intelligent traffic systems and hand-held and weapon-mounted thermal imaging systems for use by consumers and law enforcement.

Maritime

The Maritime segment develops and manufactures electronics and imaging instruments for the recreational and commercial maritime market. The segment provides a full suite of networked electronic systems including multi-function helm displays, navigational instruments, autopilots, radars, sonar systems, thermal and visible imaging systems, and communications equipment for boats of all sizes.

Security

The Security segment develops and manufactures cameras and video recording systems for use in commercial, critical infrastructure, and home security applications. Products include thermal and visible-spectrum cameras, digital and networked video recorders, and related software and accessories that enable the efficient and effective safeguarding of assets at all hours of the day and through adverse weather conditions.

Detection

The Detection segment develops and manufactures sensor instruments and integrated platform solutions for the detection, identification, and suppression of chemical, biological, radiological, nuclear, and explosives threats for military force protection, homeland security, and commercial applications.

Note 17.        Operating Segments and Related Information - (Continued)

Operating Segments - (Continued)

Operating segment information is as follows (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2014			2013			2014			2013
				(as reclassified)						(as reclassified)
Revenue – External Customers:
Surveillance	$	105,777		$	147,859		$	222,978		$	265,847
Instruments	83,968			80,262			168,023			158,812
OEM and Emerging Markets	58,988			48,633			112,790			98,919
Maritime	55,230			54,679			107,805			105,140
Security	44,735			34,451			74,045			63,922
Detection	20,682			23,445			35,282			45,272
	$	369,380		$	389,329		$	720,923		$	737,912
Revenue – Intersegments:
Surveillance	$	1,568		$	1,347		$	3,983		$	3,177
Instruments	173			702			474			2,223
OEM and Emerging Markets	5,390			6,824			10,556			12,839
Maritime	836			—			1,504			—
Security	2,735			—			4,390			—
Detection	39			59			59			1,724
Elimination	(10,741		)	(8,932		)	(20,966		)	(19,963		)
	$	—		$	—		$	—		$	—
Earnings (loss) from operations:
Surveillance	$	18,935		$	34,076		$	39,296		$	67,975
Instruments	21,037			22,920			41,486			42,944
OEM and Emerging Markets	17,613			12,217			29,324			26,639
Maritime	9,714			9,374			18,544			17,481
Security	5,886			3,247			7,572			7,636
Detection	3,152			3,899			1,353			6,445
Other	(16,973		)	(15,461		)	(35,761		)	(29,718		)
	$	59,364		$	70,272		$	101,814		$	139,402

	June 30, 2014		December 31, 2013
			(as reclassified)
Segment assets (accounts receivable, net and inventories):
Surveillance	$	263,414	$	282,037
Instruments	110,958		117,336
OEM and Emerging Markets	85,959		88,317
Maritime	71,272		68,915
Security	54,378		45,053
Detection	34,197		29,634
	$	620,178	$	631,292

Note 17.        Operating Segments and Related Information - (Continued)

Operating Segments - (Continued)

Revenue and Long-Lived Assets by Geographic Area

Information related to revenue by significant geographical location, determined by the end customer, is as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2014		2013		2014		2013
United States	$	191,108	$	214,003	$	352,846	$	385,017
Europe	85,771		87,571		180,845		178,726
Other international	92,501		87,755		187,232		174,169
	$	369,380	$	389,329	$	720,923	$	737,912

Long-lived assets by significant geographic locations are as follows (in thousands):

	June 30, 2014		December 31, 2013
United States	$	619,375	$	600,261
Europe	344,581		359,444
Other international	56,710		56,040
	$	1,020,666	$	1,015,745

Major Customers

Revenue derived from major customers is as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2014		2013		2014		2013
US Government	$	78,582	$	114,844	$	150,219	$	192,604