LensCrafters 2008 Annual Report Download - page 93

Download and view the complete annual report

Please find page 93 of the 2008 LensCrafters annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 120

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120

Previously the Board of Directors authorized US Holdings to repurchase through the open market up to
21,500,000 ADRs of Luxottica Group S.p.A., representing at that time approximately 4.7 percent of the
authorized and issued share capital. As of December 31, 2004, both repurchase programs expired and US
Holdings purchased 6,434,786 ADRs (1,911,700 in 2002 and 4,523,786 in 2003) at an aggregate purchase
price of Euro 70.0 million (US$ 73.8 million translated at the exchange rate at the time of the transactions).
In connection with the repurchase, an amount of Euro 70.0 million is classified as treasury shares in the
Company’s consolidated financial statements. The market value of these shares based on the share price as
listed on the Milan Stock Exchange at December 31, 2008, is approximately Euro 81.5 million (US$ 113.8
million).
13. SEGMENTS AND RELATED INFORMATION
In accordance with SFAS No. 131,
Disclosures About Segments of an Enterprise and Related Information
,
the Company operates in two industry segments: (1) manufacturing and wholesale distribution and (2)
retail distribution. Through its manufacturing and wholesale distribution operations, the Company is
engaged in the design, manufacture, wholesale distribution and marketing of house brand and designer
lines of mid- to premium-priced prescription frames and sunglasses. The Company operates in the retail
segment through its Retail Division, consisting of LensCrafters, Sunglass Hut International, OPSM Group
Limited and Cole National Corporation. For 2007, Oakley was viewed as a stand alone segment since it
was not yet integrated into the wholesale and retail segments
The following tables summarize the segment and geographic information deemed essential by the
Company’s management for the purpose of evaluating the Company’s performance and for making
decisions about future allocations of resources.
The “Inter-segment transactions and corporate adjustments” column includes the elimination of inter-
segment activities which consist primarily of sales of product from the manufacturing and wholesale
segment to the retail segment and corporate related expenses not allocated to reportable segments.
Identifiable assets are those tangible and intangible assets used in operations in each segment. Corporate
identifiable assets are principally cash, goodwill and trade names.
NOTES TO CONSOLIDATED
FINANCIAL STATEMENTS |91 <