Plantronics 1998 Annual Report Download - page 21

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Notes TO CONSOLIDATED
FINANCIAL STATEMENTS
NOTE. 9INDUSTRY SEGM ENT AND FOREIGN OPERATIONS DATA:
BUSINESS SEGMENT
The Company operates in one industry segment and is engaged in developing, manufacturing, marketing and servicing
telecommunications equipment. No one customer accounted for 10% or more of total revenue from consolidated
sales for fiscal year 1996, 1997 or 1998.
GEOGRAPHIC SEGMENTS
In geographical reporting, revenues are attributed to the geographical location of the sales and service organizations,
and costs directly and indirectly incurred in generating revenues are similarly assigned.
FISCAL YEAR ENDED MARCH ,
(IN THOUSANDS)1996 19 9 7 1998
NET REVENUES FROM UNAFFILIATED CUSTOMERS:
United States $133,957 $135,664 $163,684
International 49,002 59,643 72,428
$182,959 $195,307 $236,112
OPERATING INCOME:
United States $ 35,365 $ 37,036 $ 44,916
International 12,144 13,303 17,457
$ 47,509 $ 50,339 $ 62,373
IDENTIFIABLE ASSETS:
United States $ 91,400 $ 97,138 $121,627
International 17,261 30,103 43,848
$108,661 $127,241 $165,475
Intercompany transfers $ 18,057 $ 49,575 $ 69,261
The geographical reporting classification reflects the international restructuring completed in fiscal 1997. The estab-
lishment of Plantronics B.V. changed the ownership of inventory and the methodology of intercompany transfers.
In fiscal 1996 intercompany transfers were from the US to Europe. Starting in the last quarter of fiscal 1996 intercompany
transfers are from Plantronics B.V. to the US and Japan. Intercompany transfers are at arms length prices sufficient
to recover a reasonable profit.
P.13
PLANTRONICS
ANNUAL REPORT . 199 8