ADT 2010 Annual Report Download - page 236

TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
19. Consolidated Segment and Geographic Data
Segment information is consistent with how management reviews the businesses, makes investing
and resource allocation decisions and assesses operating performance. The Company operates and
reports financial and operating information in the following five segments:
•ADT Worldwide designs, sells, installs, services and monitors electronic security systems for
residential, commercial, industrial and governmental customers. In addition, ADT Worldwide
manufactures certain products related to retailer anti-theft systems.
•Flow Control designs, manufactures, sells and services valves, pipes, fittings, valve automation
and heat tracing products for general process, energy and mining markets as well as the water
and wastewater markets.
•Fire Protection Services designs, sells, installs and services fire detection and fire suppression
systems for commercial, industrial and governmental customers.
•Electrical and Metal Products designs, manufactures and sells galvanized steel tubing, armored
wire and cable and other metal products for non-residential construction, electrical, fire and
safety and mechanical customers.
•Safety Products designs, manufactures and sells fire suppression, electronic security and life safety
products, including fire sprinklers, breathing apparatus, intrusion, security, access control and
video management systems. In addition, Safety Products manufactures products installed and
serviced by ADT Worldwide and Fire Protection Services.
Tyco also provides general corporate services to its segments and these costs are reported as
Corporate and Other.
The Company, from time to time, may realign businesses and management responsibility within its
operating segments based on considerations such as opportunity for market or operating synergies and/
or to more fully leverage existing capabilities and enhance development for future products and
services. During the first quarter of fiscal 2010, the manufacturing operations which support the ADT
retail business, historically included in the Safety Products segment, were transferred to the ADT
Worldwide segment. In addition, certain smaller businesses were transferred between segments; from
the Company’s Safety Products segment to the Company’s Fire Protection Services segment in Asia
Pacific; from the Company’s Fire Protection Services segment to the Company’s ADT Worldwide
segment in EMEA and Latin America. Further, certain overhead costs were transferred from
Corporate and Other to the Company’s ADT Worldwide segment. During the third quarter of fiscal
2010 the Company reclassified certain businesses which have satisfied the criteria to be presented as
discontinued operations to income from discontinued operations in the Consolidated Statement of
Operations and assets and liabilities held for sale within the Consolidated Balance Sheets. See Note 2.
As a result of the realignment of these business activities and discontinued operations, the segment and
148 2010 Financials