Segment Information

6 Months Ended

Jul. 03, 2011

Segment Information

Segment Information

7. Segment Information

The Company operates in three geographic segments: North America, Europe, and China. Each of these segments is managed separately and has separate financial results that are reviewed by the Company’s chief operating decision-maker. All intercompany sales transactions have been eliminated. Sales by region are based upon location of the entity recording the sale. The accounting policies for each segment are the same as those described in the summary of significant accounting policies.

The following is a summary of the Company’s significant accounts and balances by segment, reconciled to the consolidated totals:

	Three Months Ended						Six Months Ended
	July 3, 2011			July 4, 2010			July 3, 2011			July 4, 2010
	(in millions)
Net Sales
North America	$	212.0		$	206.3		$	414.1		$	404.8
Europe	157.8			112.1			281.8			228.6
China	5.9			5.6			9.7			9.9
Consolidated net sales	$	375.7		$	324.0		$	705.6		$	643.3
Operating income (loss)
North America	$	26.3		$	29.0		$	53.0		$	56.6
Europe	6.9			11.6			16.6			22.2
China	0.9			0.8			1.7			(0.3		)
Subtotal reportable segments	34.1			41.4			71.3			78.5
Corporate (*)	(7.5		)	(8.1		)	(21.8		)	(19.2		)
Consolidated operating income	26.6			33.3			49.5			59.3
Interest income	0.2			0.3			0.5			0.5
Interest expense	(6.7		)	(5.4		)	(12.6		)	(10.6		)
Other	(0.6		)	0.6			(0.7		)	0.8
Income from continuing operations before income taxes	$	19.5		$	28.8		$	36.7		$	50.0
Capital Expenditures
North America	$	1.9		$	2.1		$	5.3		$	5.3
Europe	3.2			2.9			6.3			6.4
China	0.3			0.2			0.4			0.3
Consolidated capital expenditures	$	5.4		$	5.2		$	12.0		$	12.0
Depreciation and Amortization
North America	$	5.2		$	4.5		$	9.6		$	8.8
Europe	8.4			5.9			14.8			12.7
China	0.5			0.5			1.0			1.0
Consolidated depreciation and amortization	$	14.1		$	10.9		$	25.4		$	22.5
Identifiable Assets (at end of period)
North America							$	844.9		$	851.6
Europe							948.8			639.9
China							85.1			92.6
Discontinued operations							1.6			11.9
Consolidated identifiable assets							$	1,880.4		$	1,596.0
Long-Lived Assets (at end of period)
North America							$	83.8		$	80.2
Europe							153.1			97.6
China							15.3			15.7
Consolidated long-lived assets							$	252.2		$	193.5

* Corporate expenses are primarily for compensation expense, internal controls costs, professional fees, including legal and audit expenses, shareholder services and benefit administration costs. These costs are not allocated to the geographic segments as they are viewed as corporate functions that support all activities.

The above operating segments are presented on a basis consistent with the presentation included in the Company’s December 31, 2010 consolidated financial statements included in its Annual Report on Form 10-K.

The following includes U.S. net sales and U.S. long-lived assets of the Company’s North American segment:

	Three Months Ended				Six Months Ended
	July 3, 2011		July 4, 2010		July 3, 2011		July 4, 2010
	(in millions)
U.S. net sales	$	192.5	$	187.5	$	375.4	$	368.6
U.S. long-lived assets (at end of period)					78.6		75.2

The following includes intersegment sales for North America, Europe and China:

	Three Months Ended				Six Months Ended
	July 3, 2011		July 4, 2010		July 3, 2011		July 4, 2010
	(in millions)
Intersegment Sales
North America	$	0.8	$	0.9	$	1.7	$	1.9
Europe	2.3		1.8		4.2		3.9
China	37.2		35.2		67.9		59.7
Intersegment sales	$	40.3	$	37.9	$	73.8	$	65.5

The North American segment and the China segment include $3.8 million and $6.2 million, respectively, in assets held for sale at July 3, 2011. The North American segment, China segment and Europe segment include $4.9 million and $5.9 million and $0.5 million, respectively, in assets held for sale at July 4, 2010.