Segment Information

9 Months Ended

Apr. 30, 2012

Segment Information [Abstract]

Segment Information

NOTE E — Segment Information

The Company evaluates short-term segment performance based on segment profit or loss and customer sales. Segment profit or loss does not include certain administrative costs, such as the cost of finance, information technology and human resources, which are managed as global functions. Restructuring charges, impairment charges, stock options, interest, investment and other income and income taxes are also excluded when evaluating performance.

The Company is organized and managed on a geographic basis by region. Each of these regions, Americas, EMEA and Asia-Pacific, has a President that reports directly to the Company’s chief operating decision maker, its Chief Executive Officer. Each region has its own distinct operations, is managed by its own management team, maintains its own financial reports and is evaluated based on regional segment profit. The Company has determined that these regions comprise its operating and reportable segments based on the information used by the Chief Executive Officer to allocate resources and assess performance.

Intersegment sales and transfers are recorded at cost plus a standard percentage markup. Intercompany profit is eliminated in consolidation. It is impracticable to disclose enterprise-wide revenue from external customers on the basis of product or service because the Company is organized and managed on a geographic basis by region, each of which has its own distinct operations and is managed locally by its own management team.

Following is a summary of segment information for the three and nine months ended April 30, 2012 and 2011:

	Americas		EMEA		Asia-Pacific			Total Region		Corporate and Eliminations			Totals
Three months ended April 30, 2012:
Revenues from external customers	$	150,629	$	97,938	$	83,062		$	331,629	$	—		$	331,629
Intersegment revenues		9,995		747		7,672			18,414		(18,414	)		—
Segment profit		38,887		25,571		6,598			71,056		(388	)		70,668
Three months ended April 30, 2011:
Revenues from external customers	$	149,217	$	105,894	$	82,785		$	337,896	$	—		$	337,896
Intersegment revenues		9,938		696		5,960			16,594		(16,594	)		—
Segment profit		38,292		28,938		9,976			77,206		(3,561	)		73,645
Nine months ended April 30, 2012:
Revenues from external customers	$	442,896	$	290,887	$	267,938		$	1,001,721	$	—		$	1,001,721
Intersegment revenues		30,211		2,779		22,435			55,425		(55,425	)		—
Segment profit		117,914		78,432		27,635	(1)		223,981		(6,009	)		217,972
Nine months ended April 30, 2011:
Revenues from external customers	$	431,216	$	301,985	$	263,292		$	996,493	$	—		$	996,493
Intersegment revenues		30,729		2,209		18,306			51,244		(51,244	)		—
Segment profit		108,666		82,165		38,330			229,161		(12,087	)		217,074

(1) The Company recognized a goodwill impairment charge of $115,688 during the quarter ended January 31, 2012, related to the former North/South Asia reporting unit within the Asia-Pacific reporting segment, which is excluded from segment profit as presented in the table above. Refer to Note B, “Goodwill and Intangible Assets” for further discussion.

Following is a reconciliation of segment profit to net income (loss) for the three months and nine months ended April 30, 2012 and 2011:

	Three months ended April 30,						Nine months ended April 30,
	2012			2011			2012			2011
Total profit from reportable segments	$	71,056		$	77,206		$	223,981		$	229,161
Corporate and eliminations		(388	)		(3,561	)		(6,009	)		(12,087	)
Unallocated amounts:
Administrative costs		(26,275	)		(31,563	)		(85,999	)		(90,534	)
Restructuring charges		(3,440	)		(1,211	)		(3,440	)		(6,986	)
Impairment charge		—			—			(115,688	)		—
Investment and other income		1,110			1,428			1,720			2,892
Interest expense		(4,735	)		(5,103	)		(14,715	)		(16,640	)
Income (loss) before income taxes		37,328			37,196			(150	)		105,806
Income taxes		(9,676	)		(8,607	)		(29,420	)		(26,737	)
Net income (loss)	$	27,652		$	28,589		$	(29,570	)	$	79,069