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Foreign Operations, Geographic Area and Product Segment Information
 12 Months Ended
Dec. 31, 2011
Foreign Operations, Geographic Area and Product Segment Information  
Foreign Operations, Geographic Area and Product Segment Information

11.   Foreign Operations, Geographic Area and Product Segment Information

        Net sales which are attributed to the geographic location in which the customer facility is located and long-lived tangible assets related to operations in the United States and other foreign countries as of and for the years ended December 31, 2011, 2010 and 2009 are as follows (in thousands):

 
   Net Sales to Unaffiliated Customers   Long-Lived Tangible Assets  
 
   2011   2010   2009   2011   2010   2009  

United States

   $ 100,310   $ 92,414   $ 60,553   $ 67,788   $ 41,072   $ 43,577  

Other

     325     232     177     —     —     —  
                           

Total Americas

     100,635     92,646     60,730     67,788     41,072     43,577  

EMEA(1)

    
57,617		    
92,112		    
49,938		    
203		    
274		    
315		  

Asia Pacific(1)

     820,883     746,134     171,594     20,417     974     815  
                           

Total Other Foreign Countries

     878,500     838,246     221,532     20,620     1,248     1,130  
                           

 

   $ 979,135   $ 930,892   $ 282,262   $ 88,408   $ 42,320   $ 44,707  
                           
(1)
For the year ended December 31, 2011, net sales to customers in China were 66.4% of total net sales. For the year ended December 31, 2010, net sales to customers in Korea, China and Taiwan were 32.3%, 28.7% and 10.9% of total net sales, respectively. For the year ended December 31, 2009, net sales to customers in Korea and China were 35.1% and 11.0% of total net sales, respectively. No other country in EMEA and Asia Pacific accounted for more than 10% of our net sales for the years presented.

        We manage the business, review operating results and assess performance, as well as allocate resources, based upon two separate reporting segments that reflect the market focus of each business. The Light Emitting Diode ("LED") & Solar segment consists of metal organic chemical vapor deposition ("MOCVD") systems, molecular beam epitaxy ("MBE") systems, thermal deposition sources and other types of deposition systems. These systems are primarily sold to customers in the high-brightness light emitting diode ("HB LED") and solar industries, as well as to scientific research customers. This segment has product development and marketing sites in Somerset, New Jersey and St. Paul, Minnesota. During 2011 we discontinued our CIGS solar systems business, located in Tewksbury, Massachusetts and Clifton Park, New York. The Data Storage segment consists of the ion beam etch, ion beam deposition, diamond-like carbon, physical vapor deposition, and dicing and slicing products sold primarily to customers in the data storage industry. This segment has product development and marketing sites in Plainview, New York, Ft. Collins, Colorado and Camarillo, California.

        We evaluate the performance of our reportable segments based on income (loss) from operations before interest, income taxes, amortization and certain items ("segment profit (loss)"), which is the primary indicator used to plan and forecast future periods. The presentation of this financial measure facilitates meaningful comparison with prior periods, as management believes segment profit (loss) reports baseline performance and thus provides useful information. Certain items include restructuring expenses, asset impairment charges, inventory write-offs, equity-based compensation expense and other non-recurring items. The accounting policies of the reportable segments are the same as those described in the summary of critical accounting policies.

        The following tables present certain data pertaining to our reportable product segments and a reconciliation of segment profit (loss) to income (loss) from continuing operations, before income taxes for the years ended December 31, 2011, 2010 and 2009, and goodwill and total assets as of December 31, 2011 and 2010 (in thousands):

 
   LED & Solar   Data Storage   Unallocated
Corporate 		  Total  

Year ended December 31, 2011

                          

Net sales

   $ 827,797   $ 151,338   $ —   $ 979,135  
                   

Segment profit (loss)

   $ 267,059   $ 38,358   $ (8,987 ) $ 296,430  

Interest expense, net

     —     —     824     824  

Amortization expense

     3,227     1,424     83     4,734  

Equity-based compensation expense

     3,473     1,458     7,876     12,807  

Restructuring expense

     204     12     1,072     1,288  

Asset impairment charge

     584     —     —     584  

Inventory write-offs

     758     —     —     758  

Loss on extinguishment of debt

     —     —     3,349     3,349  
                   

Income (loss) from continuing operations, before income taxes

   $ 258,813   $ 35,464   $ (22,191 ) $ 272,086  
                   

Year ended December 31, 2010

                          

Net sales

   $ 795,565   $ 135,327   $ —   $ 930,892  
                   

Segment profit (loss)

   $ 300,311   $ 33,910   $ (18,675 ) $ 315,546  

Interest expense, net

     —     —     6,572     6,572  

Amortization expense

     1,948     1,522     233     3,703  

Equity-based compensation expense

     1,764     1,140     5,865     8,769  

Restructuring credit

     —     (179 )   —     (179 )
                   

Income (loss) from continuing operations, before income taxes

   $ 296,599   $ 31,427   $ (31,345 ) $ 296,681  
                   

Year ended December 31, 2009

                          

Net sales

   $ 205,003   $ 77,259   $ —   $ 282,262  
                   

Segment profit (loss)

   $ 38,836   $ (3,208 ) $ (10,598 ) $ 25,030  

Interest expense, net

     —     —     6,850     6,850  

Amortization expense

     1,946     1,599     432     3,977  

Equity-based compensation expense

     924     1,020     5,169     7,113  

Restructuring expense

     838     3,006     635     4,479  

Asset impairment charge

     —     304     —     304  

Inventory write-offs

     —     1,526     —     1,526  
                   

Income (loss) from continuing operations, before income taxes

   $ 35,128   $ (10,663 ) $ (23,684 ) $ 781  
                   

 

 
   LED & Solar   Data Storage   Unallocated
Corporate 		  Total  

As of December 31, 2011

                          

Goodwill

   $ 55,828   $ —   $ —   $ 55,828  

Total assets

   $ 319,457   $ 57,203   $ 559,403   $ 936,063  

As of December 31, 2010

                          

Goodwill

   $ 52,003   $ —   $ —   $ 52,003  

Total assets

   $ 323,096   $ 61,691   $ 763,247   $ 1,148,034  

        Corporate total assets are comprised principally of cash and cash equivalents, short-term investments and restricted cash as of December 31, 2011 and 2010.

        Other Segment Data (in thousands):

 
   Year ended December 31,  
 
   2011   2010   2009  

Depreciation and amortization expense:

                    

LED & Solar

   $ 8,320   $ 5,506   $ 5,753  

Data Storage

     3,245     3,581     4,448  

Unallocated Corporate

     1,327     1,702     2,026  
               

Total depreciation and amortization expense

   $ 12,892   $ 10,789   $ 12,227  
               

Expenditures for long-lived assets:

                    

LED & Solar

   $ 56,141   $ 8,086   $ 6,656  

Data Storage

     2,703     572     192  

Unallocated Corporate

     1,520     2,066     612  
               

Total expenditures for long-lived assets

   $ 60,364   $ 10,724   $ 7,460