Note 14. Segment and Geographic Area Information

12 Months Ended

Jun. 30, 2012

Segment and Geographic Area Information [Abstract]

Segment Reporting Disclosure

Segment and Geographic Area Information

Management organizes the Company into segments based upon differences in products and services offered in each segment. The segments and their principal products and services are as follows. The EMS segment provides engineering and manufacturing services which utilize common production and support capabilities to a variety of industries globally. The EMS segment focuses on electronic assemblies that have high durability requirements and are sold on a contract basis and produced to customers' specifications. The EMS segment currently sells primarily to customers in the medical, automotive, industrial, and public safety industries. The Furniture segment provides furniture for the office and hospitality industries, sold under the Company's family of brand names. Each segment's product line offerings consist of similar products and services sold within various industries.

Included in the EMS segment were sales to one major customer. Sales to Bayer AG affiliates totaled, in millions, $5.0, $135.7, and $169.6 in fiscal years 2012, 2011, and 2010, respectively, representing 0%, 11%, and 15% of consolidated net sales, respectively, for such periods.

The accounting policies of the segments are the same as those described in Note 1 - Summary of Significant Accounting Policies of Notes to Consolidated Financial Statements with additional explanation of segment allocations as follows. Corporate assets and operating costs are allocated to the segments based on the extent to which each segment uses a centralized function, where practicable. However, certain common costs have been allocated among segments less precisely than would be required for standalone financial information prepared in accordance with accounting principles generally accepted in the United States of America. Unallocated corporate assets include cash and cash equivalents, investments, and other assets not allocated to segments. Unallocated corporate income consists of income not allocated to segments for purposes of evaluating segment performance and includes income from corporate investments and other non-operational items. Sales between the Furniture segment and EMS segment are not material.

The Company evaluates segment performance based upon several financial measures, including economic profit, which incorporates a segment's cost of capital when evaluating financial performance, operating income, and net income. Operating income and net income are reported for each segment as they are the measures most consistent with the measurement principles used in the Company's consolidated financial statements.

The Company aggregates multiple operating segments into each reportable segment. The aggregated operating segments have similar economic characteristics and meet the other aggregation criteria required by U.S. GAAP.

	At or For the Year Ended June 30, 2012
	Electronic Manufacturing Services		Furniture		Unallocated Corporate and Eliminations			Consolidated
(Amounts in Thousands)
Net Sales	$	616,751	$	525,310	$	—		$	1,142,061
Depreciation and Amortization	17,590		13,383		—			30,973
Operating Income (Loss)	8,904		11,874		(2,389		)	18,389
Interest Income	—		—		430			430
Interest Expense	6		2		27			35
Provision (Benefit) for Income Taxes	2,042		4,837		(811		)	6,068
Net Income (Loss) (1)	6,572		6,957		(1,895		)	11,634
Total Assets	332,115		183,415		79,986			595,516
Goodwill	2,480		—		—			2,480
Capital Expenditures	13,485		13,458		—			26,943

	At or For the Year Ended June 30, 2011
	Electronic Manufacturing Services			Furniture		Unallocated Corporate and Eliminations			Consolidated
(Amounts in Thousands)
Net Sales	$	721,419		$	481,178	$	—		$	1,202,597
Depreciation and Amortization	17,153			14,054		—			31,207
Operating Income (Loss)	5,487			1,077		(4,148		)	2,416
Interest Income	—			—		820			820
Interest Expense	22			—		99			121
Provision (Benefit) for Income Taxes	(452		)	256		(289		)	(485		)
Net Income (2)	4,067			472		383			4,922
Total Assets	377,067			191,275		57,970			626,312
Goodwill	2,644			—		—			2,644
Capital Expenditures	24,863			6,508		—			31,371

	At or For the Year Ended June 30, 2010
	Electronic Manufacturing Services			Furniture			Unallocated Corporate and Eliminations			Consolidated
(Amounts in Thousands)
Net Sales	$	709,133		$	413,611		$	64		$	1,122,808
Depreciation and Amortization	20,570			14,190			—			34,760
Operating Income (Loss)	15,291			(9,374		)	(3,226		)	2,691
Interest Income	—			—			1,188			1,188
Interest Expense	77			—			65			142
Provision (Benefit) for Income Taxes	(361		)	(4,104		)	(370		)	(4,835		)
Net Income (Loss) (3)	15,731			(5,751		)	823			10,803
Total Assets	384,491			182,396			69,864			636,751
Goodwill	2,443			—			—			2,443
Capital Expenditures	22,455			12,336			—			34,791

(1) Includes after-tax restructuring charges of $2.1 million in fiscal year 2012. The EMS segment and Unallocated Corporate and Eliminations recorded, respectively, $1.7 million expense and $0.4 million expense. See Note 17 - Restructuring Expense of Notes to the Consolidated Financial Statements for further discussion.

(2) Includes after-tax restructuring charges of $0.6 million in fiscal year 2011. The EMS segment and Unallocated Corporate and Eliminations recorded, respectively, $0.5 million expense and $0.1 million expense. See Note 17 - Restructuring Expense of Notes to the Consolidated Financial Statements for further discussion.

(3) Includes after-tax restructuring charges of $1.2 million in fiscal year 2010. The EMS segment, the Furniture segment, and Unallocated Corporate and Eliminations recorded, respectively, $1.2 million expense, $0.1 million income, and $0.1 million expense. See Note 17 - Restructuring Expense of Notes to Consolidated Financial Statements for further discussion. The EMS segment also recorded $2.0 million of after-tax income resulting from settlement proceeds related to an antitrust lawsuit of which the Company was a class member and a $7.7 million million after-tax gain from the sale of the facility and land in Poland.

Geographic Area:

The following geographic area data includes net sales based on the location where title transfers and long-lived assets based on physical location. Long-lived assets include property and equipment and other long-term assets such as software.

	At or For the Year Ended June 30
(Amounts in Thousands)	2012		2011		2010
Net Sales:
United States	$	870,080	$	817,252	$	699,620
Poland (4)	3,412		132,518		3,877
United Kingdom (4)	15,603		26,723		113,576
Other Foreign	252,966		226,104		305,735
Total net sales	$	1,142,061	$	1,202,597	$	1,122,808
Long-Lived Assets:
United States	$	129,258	$	134,639	$	134,115
Poland	44,427		47,765		40,905
Other Foreign	18,899		21,630		19,563
Total long-lived assets	$	192,584	$	204,034	$	194,583

(4) The decrease in net sales to Poland in fiscal year 2012 compared to fiscal year 2011 was attributable to the expiration of a contract with one medical customer (Bayer AG). The increase in Poland net sales and the decline in United Kingdom net sales in fiscal year 2011 compared to fiscal year 2010 was due to the transfer of production between these locations which resulted in a change in the shipping destination to Poland.