v2.4.0.8
Segment Data
 12 Months Ended
Dec. 28, 2013
Segment Reporting [Abstract]  
Segment Data

Note 15 – Segment and Geographic Data

 

We conduct our business through two reportable segments: health care distribution and technology and value-added services. These segments offer different products and services to the same customer base. The health care distribution reportable segment aggregates our global dental, animal health and medical operating segments. This segment consists of consumable products, small equipment, laboratory products, large equipment, equipment repair services, branded and generic pharmaceuticals, vaccines, surgical products, diagnostic tests, infection-control products and vitamins.

 

Our global dental group serves office-based dental practitioners, dental laboratories, schools and other institutions. Our global animal health group serves animal health practices and clinics. Our global medical group serves office-based medical practitioners, ambulatory surgery centers, other alternate-care settings and other institutions. Our global dental, animal health and medical groups serve practitioners in 25 countries worldwide.

 

Our global technology and value-added services group provides software, technology and other value-added services to health care practitioners. Our technology group offerings include practice management software systems for dental and medical practitioners and animal health clinics. Our value-added practice solutions include financial services on a non-recourse basis, e-services and continuing education services for practitioners.

 

Beginning with the first quarter of 2012, we have reported net sales and prior-year sales comparisons for each of our global dental, animal health and medical and global technology and value-added services business groups.

 

This sales reporting is consistent with our global business groups as realigned in 2012.  These groups have been formed to provide distinct organizational focus for reaching and serving each practitioner segment with the benefits of a global perspective, as well as global product and service offerings and best practices. 

 

We will continue to report financial results for our health care distribution and technology and value-added services reportable segments. The health care distribution segment comprises three global operating segments (dental, animal health and medical) and the technology and value-added services segment remains unchanged.

 

In connection with this change in business groups, goodwill was reallocated to the new reporting units. We reviewed the newly allocated goodwill and determined that there was no impairment.

 

The following tables present information about our reportable and operating segments:

     Years Ended
     December 28, December 29, December 31,
     2013 2012 2011
Net Sales:         
 Health care distribution (1):         
  Dental  $4,997,972 $4,774,482 $4,764,898
  Animal health   2,599,461  2,321,151  2,010,270
  Medical   1,643,167  1,560,921  1,504,454
   Total health care distribution   9,240,600  8,656,554  8,279,622
 Technology and value-added services (2)  320,047  283,413  250,620
  Total  $9,560,647 $8,939,967 $8,530,242
             
             
(1) Consists of consumable products, small equipment, laboratory products, large equipment, equipment repair services, branded and
  generic pharmaceuticals, vaccines, surgical products, diagnostic tests, infection-control products and vitamins.
             
(2) Consists of practice management software and other value-added products, which are distributed primarily to health care providers,
  and financial and other services, including e-services and continuing education services for practitioners.

    Years ended
    December 28, December 29, December 31,
    2013 2012 2011
Operating Income:         
 Health care distribution  $590,664 $541,667 $512,094
 Technology and value-added services   86,390  77,294  70,055
  Total  $677,054 $618,961 $582,149
            
Income before taxes and equity in earnings of affiliates         
 Health care distribution  $581,759 $529,236 $501,266
 Technology and value-added services   82,935  74,952  68,041
  Total  $664,694 $604,188 $569,307
            
Depreciation and Amortization:         
 Health care distribution  $113,670 $113,688 $106,485
 Technology and value-added services   14,365  11,634  9,411
  Total  $128,035 $125,322 $115,896
            
Income Tax Expense:         
 Health care distribution  $165,869 $165,346 $157,391
 Technology and value-added services   25,022  22,512  22,821
  Total  $190,891 $187,858 $180,212
            
Interest Income:         
 Health care distribution  $12,816 $13,293 $15,531
 Technology and value-added services   37  101  62
  Total  $12,853 $13,394 $15,593
            
Interest Expense:         
 Health care distribution  $27,375 $30,790 $30,350
 Technology and value-added services   163  112  27
  Total  $27,538 $30,902 $30,377
            
Purchases of Fixed Assets:         
 Health care distribution  $57,364 $47,057 $42,751
 Technology and value-added services   2,851  4,180  2,425
  Total  $60,215 $51,237 $45,176
            
    As of
    December 28, December 29, December 31,
    2013 2012 2011
Total Assets:         
 Health care distribution  $5,277,354 $5,001,188 $4,542,331
 Technology and value-added services   347,282  332,809  197,813
  Total  $5,624,636 $5,333,997 $4,740,144

The following table presents information about our operations by geographic area as of and for the three years ended December 28, 2013. Net sales by geographic area are based on the respective locations of our subsidiaries. No country, except for the United States, generated net sales greater than 10% of consolidated net sales. There were no material amounts of sales or transfers among geographic areas and there were no material amounts of export sales.

   2013 2012 2011
   Net Sales Long-Lived Assets Net Sales Long-Lived Assets Net Sales Long-Lived Assets
United States  $5,813,512 $1,272,683 $5,496,969 $1,313,866 $5,212,861 $1,279,913
Other   3,747,135  1,055,343  3,442,998  1,022,820  3,317,381  888,895
 Consolidated total  $9,560,647 $2,328,026 $8,939,967 $2,336,686 $8,530,242 $2,168,808