Segment Information (Notes)

3 Months Ended

May 04, 2012

Segment Reporting [Abstract]

Segment Information

NOTE 14 — SEGMENT INFORMATION

The business segments disclosed in the accompanying Condensed Consolidated Financial Statements are based on information reviewed by Dell's management to evaluate the business segment results. Dell's measure of segment operating income for management reporting purposes excludes severance and facility closure expenses and acquisition-related charges, broad based long-term incentives, and amortization of intangible assets.

Dell's four global business segments are Large Enterprise, Public, Small and Medium Business (“SMB”), and Consumer. Large Enterprise includes sales of IT infrastructure and service solutions to large global and national corporate customers. Public includes sales to educational institutions, governments, health care organizations, and law enforcement agencies, among others. SMB includes sales of complete IT solutions to small and medium-sized businesses. Consumer includes sales to individual consumers and retailers around the world.

In the first quarter of Fiscal 2013, Dell made certain segment realignments in order to conform to the way Dell now internally manages segment performance.  These realignments affected all of Dell's operating segments, but primarily consisted of the transfer of small office business customers from its SMB operating segment to its Consumer segment.  Dell has recast prior period amounts to provide visibility and comparability.  None of these changes impact Dell's previously reported consolidated net revenue, gross margin, operating income, net income, or earnings per share.

The following table presents net revenue by Dell's reportable global segments as well as a reconciliation of consolidated segment operating income to Dell's consolidated operating income:

	Three Months Ended
	May 4, 2012			April 29, 2011
	(in millions)
Net revenue:
Large Enterprise	$	4,436		$	4,587
Public	3,466			3,621
Small and Medium Business	3,477			3,355
Consumer	3,043			3,454
Total	$	14,422		$	15,017
Consolidated operating income:
Large Enterprise	$	402		$	516
Public	271			352
Small and Medium Business	389			435
Consumer	32			170
Segment operating income	1,094			1,473
Broad based long-term incentives(a)	(84		)	(97		)
Amortization of intangible assets	(110		)	(92		)
Severance and facility actions and acquisition-related costs (a)(b)	(76		)	(72		)
Total	$	824		$	1,212

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^(a)  Broad based long-term incentives includes stock-based compensation and other long-term incentive awards, but excludes any costs related to acquisitions.

^(b)  Acquisition-related costs consist primarily of retention payments, integration costs, and consulting fees.