Segment Information

3 Months Ended

Jul. 04, 2014

Segment Reporting [Abstract]

Segment Information

Note 11 — Segment Information

The Company’s reporting segments, comprised of the satellite services, commercial networks and government systems segments, are primarily distinguished by the type of customer and the related contractual requirements. The Company’s satellite services segment provides retail and wholesale satellite-based broadband services for its consumer, enterprise and mobile broadband customers primarily in the United States. The Company’s commercial networks segment develops and produces a variety of advanced end-to-end satellite and other wireless communication systems and ground networking equipment and products, some of which are ultimately used by the Company’s satellite services segment. The Company’s government systems segment develops and produces network-centric, Internet Protocol (IP)-based fixed and mobile secure government communications systems, network management systems, products, services and solutions. The more regulated government environment is subject to unique contractual requirements and possesses economic characteristics which differ from the satellite services and commercial networks segments. The Company’s segments are determined consistent with the way management currently organizes and evaluates financial information internally for making operating decisions and assessing performance.

Segment revenues and operating (losses) profits for the three months ended July 4, 2014 and June 28, 2013 were as follows:

	Three Months Ended
	July 4, 2014			June 28, 2013
	(In thousands)
Revenues:
Satellite Services
Product	$	30		$	16
Service		109,685			85,831
Total		109,715			85,847
Commercial Networks
Product		88,592			91,824
Service		3,636			5,575
Total		92,228			97,399
Government Systems
Product		79,507			90,321
Service		38,021			47,535
Total		117,528			137,856
Elimination of intersegment revenues		—			—
Total revenues	$	319,471		$	321,102
Operating (losses) profits:
Satellite Services	$	(1,949	)	$	(12,978	)
Commercial Networks		(5,990	)		3,336
Government Systems		10,799			16,567
Elimination of intersegment operating profits		—			—
Segment operating profit before corporate and amortization of acquired intangible assets		2,860			6,925
Corporate		—			—
Amortization of acquired intangible assets		(4,029	)		(3,501	)
(Loss) income from operations	$	(1,169	)	$	3,424

Assets identifiable to segments include: accounts receivable, unbilled accounts receivable, inventory, acquired intangible assets and goodwill. The Company’s property and equipment, including its satellites, gateways and other networking equipment, are assigned to corporate assets as they are available for use by the various segments throughout their estimated useful lives. Segment assets as of July 4, 2014 and April 4, 2014 were as follows:

	As of July 4, 2014		As of April 4, 2014
	(In thousands)
Segment assets:
Satellite Services	$	77,543	$	73,382
Commercial Networks		245,171		229,455
Government Systems		258,356		206,848
Total segment assets		581,070		509,685
Corporate assets		1,475,210		1,450,430
Total assets	$	2,056,280	$	1,960,115

Other acquired intangible assets, net and goodwill included in segment assets as of July 4, 2014 and April 4, 2014 were as follows:

	Other Acquired Intangible Assets, Net				Goodwill
	As of July 4, 2014		As of April 4, 2014		As of July 4, 2014		As of April 4, 2014
	(In thousands)
Satellite Services	$	26,166	$	28,931	$	9,809	$	9,809
Commercial Networks		2,552		2,583		44,143		44,148
Government Systems		27,388		3,883		63,978		29,670
Total	$	56,106	$	35,397	$	117,930	$	83,627

Amortization of acquired intangible assets by segment for the three months ended July 4, 2014 and June 28, 2013 was as follows:

	Three Months Ended
	July 4, 2014		June 28, 2013
	(In thousands)
Satellite Services	$	2,765	$	2,765
Commercial Networks		343		143
Government Systems		921		593
Total amortization of acquired intangible assets	$	4,029	$	3,501