Segment Information

6 Months Ended

Jul. 02, 2011

Segment Reporting Measurment Disclosure [Abstract]

Segment Information Text Block

14. Segment Information

The Company is organized into two operating segments: the envelopes, forms and labels segment and the commercial printing segment. The envelopes, forms and labels segment specializes in the design, manufacturing and printing of: (i) direct mail and customized envelopes developed for the advertising, billing and remittance needs of a variety of customers, including financial services companies; (ii) custom labels and specialty forms sold through an extensive network of resale distributors for industries including food and beverage, manufacturing and pharmacy chains; and (iii) stock envelopes, labels and business forms generally sold to independent distributors, office-products suppliers and office-products retail chains. The commercial printing segment provides print, design and content management offerings, including: (i) high-end color printing of a wide range of premium products for multinational, national and regional customers; (ii) general commercial printing products for regional and local customers; (iii) scientific, technical and medical journals, special interest and trade periodicals for non-profit organizations, educational institutions and specialty publishers; and (iv) specialty packaging and high quality promotional materials for multinational, national and regional consumer products companies.

Operating income (loss) of each segment includes substantially all costs and expenses directly related to the segment’s operations. Corporate expenses include corporate general and administrative expenses including stock-based compensation.

Corporate identifiable assets primarily consist of cash and cash equivalents, miscellaneous receivables, deferred financing fees, deferred tax assets and other assets.

The following tables present certain segment information (in thousands):

		Three Months Ended								Six Months Ended
		July 2, 2011				July 3, 2010				July 2, 2011			July 3, 2010
Net sales:
Envelopes, forms and labels	$	297,006			$	240,724				$	576,880		$	485,905
Commercial printing		198,193				204,540					421,384			413,293
Total	$	495,199			$	445,264				$	998,264		$	899,198
Operating income (loss):
Envelopes, forms and labels	$	26,786			$	23,608				$	49,588		$	45,022
Commercial printing		14,211				3,780					25,082			3,587
Corporate		(11,606		)		(8,002			)		(23,129	)		(17,032	)
Total	$	29,391			$	19,386				$	51,541		$	31,577
Restructuring and impairment charges:
Envelopes, forms and labels	$	2,897			$	4,308				$	4,162		$	7,894
Commercial printing		2,524				6,765					4,991			12,308
Corporate		44				403					139			901
Total	$	5,465			$	11,476				$	9,292		$	21,103
Net sales by product line:
Envelopes	$	188,213			$	126,900				$	357,242		$	257,654
Commercial printing		138,414				138,046					301,199			283,519
Journals and periodicals		59,646				66,313					119,779			129,410
Labels and business forms		108,926				114,005					220,044			228,615
Total	$	495,199			$	445,264				$	998,264		$	899,198
Intercompany sales:
Envelopes, forms and labels to commercial printing	$	1,000			$	1,063				$	2,251		$	2,345
Commercial printing to envelopes, forms and labels		1,801				1,111					2,956			1,895
Total	$	2,801			$	2,174				$	5,207		$	4,240
		July 2, 2011						January 1, 2011
Identifiable assets:
Envelopes, forms and labels	$		745,493				$	665,079
Commercial printing			599,562					627,982
Corporate			65,736					104,669
Total	$		1,410,791				$	1,397,730