Segment Reporting

12 Months Ended

Dec. 29, 2012

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

We have two operating segments, Domestic and Global. Revenues are derived primarily from the sale of clinical, financial and administrative information systems and solutions. The cost of revenues includes the cost of third party consulting services, computer hardware, devices and sublicensed software purchased from manufacturers for delivery to clients. It also includes the cost of hardware maintenance and sublicensed software support subcontracted to the manufacturers. Operating expenses incurred by the geographic business segments consist of sales and client service expenses including salaries of sales and client service personnel, communications expenses and unreimbursed travel expenses. “Other” includes expenses that have not been allocated to the operating segments, such as software development, marketing, general and administrative, share-based compensation expense and depreciation. Performance of the segments is assessed at the operating earnings level and, therefore, the segment operations have been presented as such. Items such as interest, income taxes, capital expenditures and total assets are managed at the consolidated level and thus are not included in our operating segment disclosures.

Accounting policies for each of the reportable segments are the same as those used on a consolidated basis. The following table presents a summary of our operating segments and other expense for 2012, 2011 and 2010:

(In thousands)	Domestic		Global		Other			Total
2012
Revenues	$	2,341,304	$	324,132	$	—		$	2,665,436
Cost of revenues	548,813		59,384		—			608,197
Operating expenses	506,249		131,580		847,748			1,485,577
Total costs and expenses	1,055,062		190,964		847,748			2,093,774
Operating earnings (loss)	$	1,286,242	$	133,168	$	(847,748	)	$	571,662

(In thousands)	Domestic		Global		Other			Total
2011
Revenues	$	1,894,454	$	308,699	$	—		$	2,203,153
Cost of revenues	387,466		54,206		—			441,672
Operating expenses	439,465		126,997		735,221			1,301,683
Total costs and expenses	826,931		181,203		735,221			1,743,355
Operating earnings (loss)	$	1,067,523	$	127,496	$	(735,221	)	$	459,798

(In thousands)	Domestic		Global		Other			Total
2010
Revenues	$	1,562,563	$	287,659	$	—		$	1,850,222
Cost of revenues	272,385		47,971		—			320,356
Operating expenses	417,181		124,546		628,806			1,170,533
Total costs and expenses	689,566		172,517		628,806			1,490,889
Operating earnings (loss)	$	872,997	$	115,142	$	(628,806	)	$	359,333