XML 46 R18.htm IDEA: XBRL DOCUMENT
v2.4.0.6

SEGMENT INFORMATION: | 3 Months Ended
--- | ---
Sep. 30, 2012
SEGMENT INFORMATION: |
SEGMENT INFORMATION: | 12. SEGMENT INFORMATION: As of September 30, 2012, the Company owned, franchised, or held ownership interests in approximately 10,000 worldwide locations. The Company’s locations consisted of 9,311 North American salons (located in the United States, Canada and Puerto Rico), 392 international salons (located primarily in the United Kingdom), and approximately 242 locations in which the Company maintains an ownership interest. The Company operates its North American salon operations through five primary concepts: Regis Salons, MasterCuts, SmartStyle, Supercuts and Promenade salons. The concepts offer similar products and services, concentrate on the mass market consumer marketplace and have consistent distribution channels. All of the company-owned and franchise salons within the North American salon concepts are located in high traffic, retail shopping locations that attract mass market consumers, and the individual salons display similar long-term economic characteristics. The salons share interdependencies and a common support base. The Company operates its international salon operations, primarily in the United Kingdom, through three primary concepts: Regis, Supercuts, and Sassoon salons. Consistent with the North American concepts, the international concepts offer similar products and services, concentrate on the mass market consumer marketplace and have consistent distribution channels. All of the international salon concepts are company-owned and are located in malls, leading department stores, and high-street locations. Individual salons display similar long-term economic characteristics. The salons share interdependencies and a common support base. Based on the way the Company manages its business, it has reported its North American salons and international salons as two separate reportable segments. Financial information for the Company’s reporting segments is shown in the following tables:
|  | For the Three Months Ended September 30, 2012(1)(2) |
|  | Salons |  | Unallocated |  |  |
|  | North America |  | International |  | Corporate |  | Consolidated |
|  | (Dollars in thousands) |
Revenues: |  |  |  |  |  |  |  |  |
Service |  | $ | 369,680 |  | $ | 23,736 |  | $ | — |  | $ | 393,416 |
Product |  | 94,542 |  | 7,742 |  | — |  | 102,284 |
Royalties and fees |  | 9,660 |  | — |  | — |  | 9,660 |
|  | 473,882 |  | 31,478 |  | — |  | 505,360 |
Operating expenses: |  |  |  |  |  |  |  |  |
Cost of service |  | 220,231 |  | 12,297 |  | — |  | 232,528 |
Cost of product |  | 49,076 |  | 4,056 |  | — |  | 53,132 |
Site operating expenses |  | 49,596 |  | 2,751 |  | — |  | 52,347 |
General and administrative |  | 31,691 |  | 2,518 |  | 21,663 |  | 55,872 |
Rent |  | 72,722 |  | 8,402 |  | 375 |  | 81,499 |
Depreciation and amortization |  | 16,588 |  | 1,032 |  | 3,089 |  | 20,709 |
Total operating expenses |  | 439,904 |  | 31,056 |  | 25,127 |  | 496,087 |
Operating income (loss) |  | 33,978 |  | 422 |  | (25,127 | ) | 9,273 |
Other income (expense): |  |  |  |  |  |  |  |  |
Interest expense |  | — |  | — |  | (6,829 | ) | (6,829 | )
Interest income and other, net (as restated) |  | — |  | — |  | 34,612 |  | 34,612 |
Income (loss) from continuing operations before income taxes and equity in income of affiliated companies (as restated) |  | $ | 33,978 |  | $ | 422 |  | $ | 2,656 |  | $ | 37,056 |
(1) As of September 30, 2012, the Hair Restoration Centers reportable segment was accounted for as a discontinued operation. All comparable periods will reflect Hair Restoration Centers as a discontinued operation. See further discussion at Note 3 in these Notes to the Condensed Consolidated Financial Statements. (2) See Note 1 to the Condensed Consolidated Financial Statements for discussion of reclassifications of general and administrative, rent and depreciation and amortization between the Company’s Corporate and North America reportable segments.
|  | For the Three Months Ended September 30, 2011(1)(2) |
|  | Salons |  | Unallocated |  |  |
|  | North America |  | International |  | Corporate |  | Consolidated |
|  | (Dollars in thousands) |
Revenues: |  |  |  |  |  |  |  |  |
Service |  | $ | 390,164 |  | $ | 24,853 |  | $ | — |  | $ | 415,017 |
Product |  | 98,137 |  | 8,636 |  | — |  | 106,773 |
Royalties and fees |  | 9,556 |  | — |  | — |  | 9,556 |
|  | 497,857 |  | 33,489 |  |  |  | 531,346 |
Operating expenses: |  |  |  |  |  |  |  |  |
Cost of service |  | 222,975 |  | 12,690 |  | — |  | 235,665 |
Cost of product |  | 48,444 |  | 4,579 |  | — |  | 53,023 |
Site operating expenses |  | 51,852 |  | 2,959 |  | — |  | 54,811 |
General and administrative |  | 32,645 |  | 2,641 |  | 30,584 |  | 65,870 |
Rent |  | 73,380 |  | 8,764 |  | 32 |  | 82,176 |
Depreciation and amortization |  | 18,541 |  | 1,306 |  | 10,950 |  | 30,797 |
Total operating expenses |  | 447,837 |  | 32,939 |  | 41,566 |  | 522,342 |
Operating income (loss) |  | 50,020 |  | 550 |  | (41,566 | ) | 9,004 |
Other income (expense): |  |  |  |  |  |  |  |  |
Interest expense |  | — |  | — |  | (7,360 | ) | (7,360 | )
Interest income and other, net |  | — |  | — |  | 1,317 |  | 1,317 |
Income (loss) from continuing operations before income taxes and equity in income of affiliated companies |  | $ | 50,020 |  | $ | 550 |  | $ | (47,609 | ) | $ | 2,961 |
(1) As of September 30, 2012, the Hair Restoration Centers reportable segment was accounted for as a discontinued operation. All comparable periods will reflect Hair Restoration Centers as a discontinued operation. See further discussion at Note 3 in these Notes to the Condensed Consolidated Financial Statements (2) See Note 1 to the Condensed Consolidated Financial Statements for discussion of reclassifications of general and administrative, rent and depreciation and amortization between the Company’s Corporate and North America reportable segments.

X
- Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration