XML 97 R21.htm IDEA: XBRL DOCUMENT
v2.4.0.8

CUSTOMERS, GEOGRAPHIC AND SEGMENT INFORMATION | 12 Months Ended
--- | ---
Dec. 31, 2013
CUSTOMERS, GEOGRAPHIC AND SEGMENT INFORMATION [Abstract] |
CUSTOMERS, GEOGRAPHIC AND SEGMENT INFORMATION |
NOTE 14:- | CUSTOMERS, GEOGRAPHIC AND SEGMENT INFORMATION
The Group applies ASC 280, "Segment Reporting" ("ASC 280"). Segments are managed separately and can be described as follows: Commencing 2012, in accordance with the Company's organizational changes instituted at the beginning of 2012, the Company's business is managed and reported as three separate reportable segments, comprised of the Company's named Commercial, Defense and Services Divisions:
| · | Commercial Division provides VSAT networks, satellite communication products and associated professional services to service providers and operators worldwide, including consumer Ka-band initiatives worldwide.
| · | Defense Division provides satellite communication products and solutions to defense and homeland security organizations worldwide and also includes Wavestream, which provides its products mainly to defense and homeland security organizations.
| · | Service Division comprised of service businesses in Peru and Colombia, which offer rural telephony and Internet access solutions.
| a. | Information on the reportable segments:
| 1. | The measurement of the reportable operating segments is based on the same accounting principles applied in these financial statements.
| 2. | Financial data relating to reportable operating segments:
|  | Year ended December 31, 2013 |
|  | Commercial |  |  | Defense |  |  | Services |  |  | Total |
Revenues |  |  | 141,576 |  |  |  | 48,211 |  |  |  | 45,079 |  |  |  | 234,866 |
Cost of Revenues |  |  | 94,966 |  |  |  | 33,773 |  |  |  | 26,471 |  |  |  | 155,210 |
Gross profit |  |  | 46,610 |  |  |  | 14,438 |  |  |  | 18,608 |  |  |  | 79,656 |
R&D expenses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Expenses incurred |  |  | 18,403 |  |  |  | 11,088 |  |  |  | - |  |  |  | 29,491 |
Less - grants |  |  | 1,203 |  |  |  | 388 |  |  |  | - |  |  |  | 1,591 |
|  |  | 17,200 |  |  |  | 10,700 |  |  |  | - |  |  |  | 27,900 |
Selling and marketing |  |  | 22,759 |  |  |  | 8,139 |  |  |  | 1,316 |  |  |  | 32,214 |
General and administrative |  |  | 9,973 |  |  |  | 7,744 |  |  |  | 5,354 |  |  |  | 23,071 |
Restructuring costs |  |  | 406 |  |  |  | 158 |  |  |  | - |  |  |  | 564 |
Operating income (loss) |  |  | (3,728 | ) |  |  | (12,303 | ) |  |  | 11,938 |  |  |  | (4,093 | )
Financial expenses, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (6,239 | )
Other income |  |  |  |  |  |  |  |  |  |  |  |  |  |  | - |
Loss before taxes |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (10,332 | )
Tax benefit |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (755 | )
Net loss from continuing operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (9,577 | )
Net loss from discontinued operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (8,320 | )
Net loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (17,897 | )
Depreciation and amortization expenses |  |  | 4,996 |  |  |  | 8,469 |  |  |  | 4,094 |  |  |  | 17,559 |
|  | Year ended December 31, 2012 |
|  | Commercial |  |  | Defense |  |  | Services |  |  | Total |
Revenues |  |  | 158,882 |  |  |  | 55,371 |  |  |  | 57,313 |  |  |  | 271,566 |
Cost of Revenues |  |  | 97,310 |  |  |  | 40,998 |  |  |  | 35,329 |  |  |  | 173,637 |
Gross profit |  |  | 61,572 |  |  |  | 14,373 |  |  |  | 21,984 |  |  |  | 97,929 |
R&D expenses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Expenses incurred |  |  | 19,561 |  |  |  | 12,735 |  |  |  | - |  |  |  | 32,296 |
Less - grants |  |  | 2,261 |  |  |  | 794 |  |  |  | - |  |  |  | 3,055 |
|  |  | 17,300 |  |  |  | 11,941 |  |  |  | - |  |  |  | 29,241 |
Selling and marketing |  |  | 24,184 |  |  |  | 9,128 |  |  |  | 1,676 |  |  |  | 34,988 |
General and administrative |  |  | 11,221 |  |  |  | 4,940 |  |  |  | 7,457 |  |  |  | 23,618 |
Restructuring costs |  |  | 219 |  |  |  | 96 |  |  |  | - |  |  |  | 315 |
Impairment of goodwill and intangible assets |  |  | - |  |  |  | 31,879 |  |  |  | - |  |  |  | 31,879 |
Operating income (loss) |  |  | 8,648 |  |  |  | (43,611 | ) |  |  | 12,851 |  |  |  | (22,112 | )
Financial expenses, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (3,432 | )
Other income |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 2,729 |
Loss before taxes |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (22,815 | )
Tax benefit |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (1,893 | )
Net loss from continuing operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (20,922 | )
Net loss from discontinued operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (2,270 | )
Net loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (23,192 | )
Depreciation and amortization expenses |  |  | 4,960 |  |  |  | 9,723 |  |  |  | 3,989 |  |  |  | 18,672 |
|  | Year ended December 31, 2011 |
|  | Commercial |  |  | Defense |  |  | Services |  |  | Total |
Revenues |  |  | 117,185 |  |  |  | 79,252 |  |  |  | 48,894 |  |  |  | 245,331 |
Cost of Revenues |  |  | 61,363 |  |  |  | 51,401 |  |  |  | 29,634 |  |  |  | 142,398 |
Gross profit |  |  | 55,822 |  |  |  | 27,851 |  |  |  | 19,260 |  |  |  | 102,933 |
R&D expenses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Expenses incurred |  |  | 19,210 |  |  |  | 15,866 |  |  |  | - |  |  |  | 35,076 |
Less - grants |  |  | 2,775 |  |  |  | 600 |  |  |  | - |  |  |  | 3,375 |
|  |  | 16,435 |  |  |  | 15,266 |  |  |  | - |  |  |  | 31,701 |
Selling and marketing |  |  | 22,262 |  |  |  | 10,973 |  |  |  | 2,135 |  |  |  | 35,370 |
General and administrative |  |  | 11,705 |  |  |  | 6,348 |  |  |  | 6,685 |  |  |  | 24,738 |
Restructuring costs |  |  | 78 |  |  |  | 320 |  |  |  | - |  |  |  | 398 |
Impairment of goodwill and intangible assets |  |  | - |  |  |  | 17,846 |  |  |  | - |  |  |  | 17,846 |
Operating income (loss) |  |  | 5,342 |  |  |  | (22,902 | ) |  |  | 10,440 |  |  |  | (7,120 | )
Financial expenses, net |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (3,235 | )
Other income |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 8,074 |
Loss before taxes |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (2,281 | )
Tax benefit |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (430 | )
Net loss from continuing operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (1,851 | )
Net loss from discontinued operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (3,999 | )
Net loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (5,850 | )
Depreciation and amortization expenses |  |  | 4,755 |  |  |  | 10,115 |  |  |  | 4,654 |  |  |  | 19,524 |
| b. | Revenues by geographic areas:
Following is a summary of revenues by geographic areas. Revenues attributed to geographic areas, based on the location of the end customers and in accordance with ASC 280, are as follows:
|  | Year ended December 31, |
|  | 2013 |  |  | 2012 |  |  | 2011 |
South America and Central America |  | $ | 84,048 |  |  | $ | 115,190 |  |  | $ | 100,457 |
Asia and Asia Pacific |  |  | 91,616 |  |  |  | 84,482 |  |  |  | 51,554 |
North America |  |  | 26,155 |  |  |  | 39,087 |  |  |  | 62,456 |
Europe |  |  | 23,096 |  |  |  | 23,906 |  |  |  | 21,126 |
Africa |  |  | 9,951 |  |  |  | 8,901 |  |  |  | 9,738 |
|  | $ | 234,866 |  |  | $ | 271,566 |  |  | $ | 245,331 |
| c. | Net revenues from a major Commercial Division customer located in Australia accounted for 21% of total consolidated revenues for the year ended December 31, 2013.
Net revenues from two major customers located in Australia and in Latin America accounted for 17% and 13% of total consolidated revenues for the year ended December 31, 2012, respectively. Net revenues from a major customer located in North America accounted for 11% of total consolidated revenues for the year ended December 31, 2011.
| d. | The Group's long-lived assets are located as follows:
|  | December 31, |
|  | 2013 |  |  | 2012 |
Israel |  | $ | 68,527 |  |  | $ | 71,283 |
Latin America |  |  | 4,276 |  |  |  | 4,174 |
United States |  |  | 1,936 |  |  |  | 2,157 |
Europe |  |  | 9,453 |  |  |  | 9,059 |
Other |  |  | 1,177 |  |  |  | 518 |
|  | $ | 85,369 |  |  | $ | 87,191 |

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 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 2: 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 3: 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 4: 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 5: 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 6: 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 7: 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 8: 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 Reference 9: 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 10: 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 11: 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 12: 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 13: 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 14: 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 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration