SEGMENT AND GEOGRAPHIC INFORMATION

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

SEGMENT AND GEOGRAPHIC INFORMATION

SEGMENT AND GEOGRAPHIC INFORMATION

In the first quarter of 2015, the Company began to disclose three global reportable segments as a result of changes in how the Company internally manages and reports the results of its businesses to its chief operating decision maker. On July 1, 2015, the Company completed the separation of its spine business, which was a reportable segment. See Note 3 - Discontinued Operations for additional information. Following the separation, the Company is disclosing two reportable segments. The two reportable segments and their activities are described below:

• The Specialty Surgical Solutions segment includes (i) the Neurosurgery business, which sells a full line of products for neurosurgery and neuro critical care such as tissue ablation equipment, dural repair products, cerebral spinal fluid management devices, intracranial monitoring equipment, and cranial stabilization equipment and (ii) the Instruments business, which sells more than 60,000 instrument patterns and surgical and lighting products to hospitals, surgery centers, and dental, podiatry, and veterinary offices.

• The Orthopedics and Tissue Technologies segment includes such offerings as skin and wound repair, bone and joint fixation implants in the upper and lower extremities, bone grafts and nerve and tendon repair.

The most notable change from the Company's financial statements for the year ended December 31, 2014 included in the Annual Report on Form 10-K is the integration of the former International reportable segment into the segments noted above as well as certain products from the Private Label segment into Orthopedics and Tissue Technologies. The Spine Private Label products were included in the separation of the spine business.

The Corporate and other category includes (i) various legal, finance, information systems, executive, and human resource functions, (ii) brand management, and (iii) share-based compensation costs. Prior to the realignment, costs related to procurement, manufacturing operations and logistics for the Company's entire organization were not allocated to operating segments. In connection with the realignment, a portion of these costs have now been incorporated into the disclosed operating segments.

The operating results of the various reportable segments as presented are not comparable to one another because (i) certain operating segments are more dependent than others on corporate functions for unallocated general and administrative and/or operational manufacturing functions, and (ii) the Company does not allocate certain manufacturing costs and general and administrative costs to the operating segment results. Net sales and profit by reportable segment for the years ended December 31, 2016, 2015 and 2014 are as follows:

	Years Ended December 31,
	2016			2015			2014
	(In thousands)
Segment Net Sales
Specialty Surgical Solutions	$	632,524		$	586,918		$	554,872
Orthopedics and Tissue Technologies	359,551			295,816			241,845
Total revenues	$	992,075		$	882,734		$	796,717
Segment Profit
Specialty Surgical Solutions	$	256,629		$	242,479		$	210,146
Orthopedics and Tissue Technologies	103,852			87,844			85,257
Segment profit	360,481			330,323			295,403
Amortization	(13,862)			(9,953)			(6,810)
Corporate and other	(231,279		)	(240,783		)	(220,736		)
Operating income	$	115,340		$	79,587		$	67,857

The Company does not allocate any assets to the reportable segments, and, therefore, no asset information is reported to the chief operating decision maker and disclosed in the financial information for each segment.

The Company attributes revenue to geographic areas based on the location of the customer. There are certain revenues managed by the various U.S. segments above that are generated from non-U.S. customers and therefore included in Europe and the Rest of World revenues below.

Total revenue, net and long-lived assets (tangible) by major geographic area are summarized below:

	United States*		Europe		Rest of the World		Consolidated
	(In thousands)
Total revenue, net:
2016	$	765,608	$	120,588	$	105,879	$	992,075
2015	680,824		103,057		98,853		882,734
2014	596,303		99,207		101,207		796,717
Total long-lived assets:
2016	$	213,898	$	18,970	$	1,235	$	234,103
2015	192,900		19,169		1,078		213,147

* Includes long-lived assets in Puerto Rico.