Henry Schein 2014 Annual Report Download - page 106

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HENRY SCHEIN, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
(in thousands, except per share data)
92
Note 15 – Segment and Geographic Data – (Continued)
The following table presents information about our operations by geographic area as of and for the three years
ended December 27, 2014. 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.
2014 2013 2012
Net Sales
Long-Lived
Assets Net Sales
Long-Lived
Assets Net Sales
Long-Lived
Assets
United States ............................ $ 6,247,056 $ 1,771,719 $ 5,813,512 $ 1,272,683 $ 5,496,969 $ 1,313,866
Other ........................................ 4,124,334 1,067,636 3,747,135 1,055,343 3,442,998 1,022,820
Consolidated total ............... $ 10,371,390 $ 2,839,355 $ 9,560,647 $ 2,328,026 $ 8,939,967 $ 2,336,686
Note 16 – Employee Benefit Plans
Stock-based Compensation
Our accompanying consolidated statements of income reflect pre-tax share-based compensation expense of
$45.9 million ($31.9 million after-tax), $35.5 million ($24.6 million after-tax) and $37.3 million ($25.7 million
after-tax) for the years ended December 27, 2014, December 28, 2013 and December 29, 2012.
Our accompanying consolidated statements of cash flows present our stock-based compensation expense as an
adjustment to reconcile net income to net cash provided by operating activities for all periods presented. In the
accompanying consolidated statements of cash flows, we presented $5.9 million, $8.1 million and $17.8 million of
benefits associated with tax deductions in excess of recognized compensation as a cash inflow from financing
activities for the years ended December 27, 2014, December 28, 2013 and December 29, 2012.
Stock-based compensation represents the cost related to stock-based awards granted to employees and non-
employee directors. We measure stock-based compensation at the grant date, based on the estimated fair value of
the award, and recognize the cost (net of estimated forfeitures) as compensation expense on a straight-line basis
over the requisite service period. Our stock-based compensation expense is reflected in selling, general and
administrative expenses in our consolidated statements of income.
Stock-based awards are provided to certain employees and non-employee directors under the terms of our 2013
Stock Incentive Plan, as amended, and our 1996 Non-Employee Director Stock Incentive Plan, as amended
(together, the “Plans”). The Plans are administered by the Compensation Committee of the Board of Directors.
Prior to March 2009, awards under the Plans principally included a combination of at-the-money stock options and
restricted stock/units. Since March 2009, equity-based awards have been granted solely in the form of restricted
stock/units, with the exception of providing stock options to employees pursuant to certain pre-existing contractual
obligations. As of December 27, 2014, there were 31,229 shares authorized and 5,923 shares available to be
granted under the 2013 Stock Incentive Plan and 800 shares authorized and 84 shares available to be granted under
the 1996 Non-Employee Director Stock Incentive Plan.