Segment Information

6 Months Ended

Jul. 01, 2012

Segment Information [Abstract]

SEGMENT INFORMATION

NOTE 4 – SEGMENT INFORMATION

Based on the quantitative thresholds specified by accounting standards, the Company has determined that it has two reportable segments: (1) the Modular Carpet segment, which includes its Interface, InterfaceFLOR, Heuga and FLOR modular carpet businesses, and (2) the Bentley Prince Street segment, which includes its Bentley Prince Street broadloom, modular carpet and area rug businesses. In 2007, the Company sold its former Fabrics Group business segment (see Note 9 for further information). Accordingly, the Company has included the operations of the former Fabrics Group segment in discontinued operations, where applicable.

The accounting policies of the operating segments are the same as those described in the Summary of Significant Accounting Policies contained in the Company’s Annual Report on Form 10-K for the fiscal year ended January 1, 2012, as filed with the Commission. Segment amounts disclosed are prior to any elimination entries made in consolidation, except in the case of net sales, where intercompany sales have been eliminated. The chief operating decision-maker evaluates performance of the segments based on operating income. Costs excluded from this profit measure primarily consist of allocated corporate expenses, interest/other expense and income taxes. Corporate expenses are primarily comprised of corporate overhead expenses. Thus, operating income includes only the costs that are directly attributable to the operations of the individual segment. Assets not identifiable to any individual segment are corporate assets, which are primarily comprised of cash and cash equivalents, short-term investments, intangible assets and intercompany amounts, which are eliminated in consolidation.

Segment Disclosures

Summary information by segment follows:

	Modular Carpet		Bentley Prince Street			Total
	(In thousands)
Three Months Ended July 1, 2012
Net Sales	$	229,546	$	25,061		$	254,607
Depreciation and Amortization		6,010		562			6,572
Operating Income (Loss)		24,034		(1,232	)		22,802
Three Months Ended July 3, 2011
Net Sales	$	240,566	$	27,074		$	267,640
Depreciation and Amortization		6,700		565			7,265
Operating Income		26,937		96			27,033

	Modular Carpet		Bentley Prince  Street			Total
	(In thousands)
Six Months Ended July 1, 2012
Net Sales	$	439,562	$	47,805		$	487,367
Depreciation and Amortization		12,371		1,099			13,470
Operating Income (Loss)		25,086		(1,796	)		23,290
Six Months Ended July 3, 2011
Net Sales	$	459,846	$	53,196		$	513,042
Depreciation and Amortization		14,803		1,123			15,926
Operating Income (Loss)		52,271		(61	)		52,210

A reconciliation of the Company’s total segment operating income, depreciation and amortization, and assets to the corresponding consolidated amounts follows:

	Three Months Ended						Six Months Ended
	July 1, 2012			July 3, 2011			July 1, 2012			July 3, 2011
	(In thousands)						(In thousands)
DEPRECIATION AND AMORTIZATION
Total segment depreciation and amortization	$	6,572		$	7,265		$	13,470		$	15,926
Corporate depreciation and amortization		698			1,385			1,344			5,306
Reported depreciation and amortization	$	7,270		$	8,650		$	14,814		$	21,232
OPERATING INCOME
Total segment operating income	$	22,802		$	27,033		$	23,290		$	52,210
Corporate income, expenses and other reconciling amounts		(769	)		(896	)		(738	)		(4,545	)
Reported operating income	$	22,033		$	26,137		$	22,552		$	47,665

	July 1, 2012		January 1, 2012
	(In thousands)
ASSETS
Total segment assets	$	644,061	$	658,190
Corporate assets and eliminations		107,509		114,082
Reported total assets	$	751,570	$	772,272