Business Segments and Geographic Information

3 Months Ended

Dec. 29, 2012

Business Segments and Geographic Information

(12) Business Segments and Geographic Information

The Company has four reportable segments: Breast Health, Diagnostics, GYN Surgical and Skeletal Health. Certain reportable segments represent an aggregation of operating units within each segment. The Company measures and evaluates its reportable segments based on segment revenues and operating income (loss) adjusted to exclude the effect of non-cash charges, such as intangible asset amortization expense, contingent consideration charges, restructuring and divestiture charges and other one-time or unusual items and related tax effects.

Identifiable assets for the four principal operating segments consist of inventories, intangible assets including goodwill, and property and equipment. The Company fully allocates depreciation expense to its four reportable segments. The Company has presented all other identifiable assets as corporate assets. There were no intersegment revenues during the three months ended December 29, 2012 and December 24, 2011. Segment information is as follows:

	Three Months Ended
	December 29, 2012		December 24, 2011
Total revenues:
Diagnostics	$	305,916	$	154,064
Breast Health		220,808		215,352
GYN Surgical		80,909		78,545
Skeletal Health		23,729		24,750
	$	631,362	$	472,711
Operating income (loss):
Diagnostics	$	14,295	$	20,138
Breast Health		44,946		47,417
GYN Surgical		622		(5,013	)
Skeletal Health		3,366		4,217
	$	63,229	$	66,759
Depreciation and amortization:
Diagnostics	$	91,542	$	39,989
Breast Health		9,930		10,604
GYN Surgical		26,479		26,088
Skeletal Health		204		442
	$	128,155	$	77,123
Capital expenditures:
Diagnostics	$	13,853	$	7,038
Breast Health		3,580		1,569
GYN Surgical		2,745		2,749
Skeletal Health		179		457
Corporate		2,090		2,863
	$	22,447	$	14,676

	December 29, 2012		September 29, 2012
Identifiable assets:
Diagnostics	$	6,061,568	$	6,170,553
Breast Health		952,292		956,134
GYN Surgical		1,923,953		1,944,386
Skeletal Health		33,513		32,778
Corporate		1,497,229		1,373,257
	$	10,468,555	$	10,477,108

The Company had no customers with balances greater than 10% of accounts receivable as of December 29, 2012 or September 29, 2012, or any customer that represented greater than 10% of product revenues during the three months ended December 29, 2012 and December 24, 2011.

Products sold by the Company internationally are manufactured at both domestic and international locations. Transfers between the Company and its subsidiaries are generally recorded at amounts similar to the prices paid by unaffiliated foreign dealers. All intercompany profit is eliminated in consolidation.

The Company operates in the major geographic areas as noted in the below chart. Revenue data is based upon customer location, and internationally totaled $175.4 million and $117.5 million during the three months ended December 29, 2012 and December 24, 2011, respectively. Other than the United States, no single country accounted for more than 10% of consolidated revenues. The Company’s sales in Europe are predominantly derived from Germany, the United Kingdom and the Netherlands. The Company’s sales in Asia-Pacific are predominantly derived from China, Australia and Japan. The “All others” designation includes Canada, Latin America and the Middle East.

Revenues by geography as a percentage of total revenues are as follows:

	Three Months Ended
	December 29, 2012			December 24, 2011
United States		72	%		75	%
Europe		14	%		12	%
Asia		9	%		7	%
All others		5	%		6	%
		100	%		100	%