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Table of Contents
and cost effectively attain solution-selling expertise they can use to develop and deploy an array of data center solutions for high-
growth market
segments. Avnet SolutionsPath
®
includes practices dedicated to vertical markets such as healthcare, government, energy, banking and retail, as
well as technology practices focused on virtualization, storage, networking, security, unified communications, mobility and cloud computing.
TS also provides a robust portfolio of software, IT lifecycle and educational service offerings that expand customers' solution delivery
capabilities, extend their reach and resources, and enhance project success and return on investment for deployments throughout the IT lifecycle.
The TS team sells and delivers complex IT solutions to a variety of channel partners, including VARs, ISVs, SIs and OEMs. Areas of expertise
include infrastructure and application management, business commerce and analytics, cloud enablement, aftermarket and IT lifecycle services,
and multilingual vendor accredited training. To continue to meet customer expectations in an evolving IT ecosystem, TS is also focused on
delivering single and multi-vendor converged systems.
TS continues to invest in geographic, technology and vertical markets with high growth potential via strategic, value-
creating acquisitions
and organic local market development. These investments ensure that TS has the critical scale and local market expertise in place when and
where its customers and suppliers want to do business so that they can capture opportunities quickly and with less risk and cost.
Foreign Operations
As noted in the operating group discussions, Avnet has significant operations in all three major economic regions of the world: the
Americas, EMEA and Asia/Pacific. The percentage of Avnet’s consolidated sales by region is presented in the following table:
Avnet’s foreign operations are subject to a variety of risks. These risks are discussed further under Risk Factors
in Item 1A and under
Quantitative and Qualitative Disclosures About Market Risk
in Item 7A of this Report. Additionally, the specific translation impacts of foreign
currency fluctuations, most notably the Euro, on the Company’s consolidated financial statements are further discussed in Management’
s
Discussion and Analysis of Financial Condition and Results of Operations
in Item 7 of this Report.
Acquisitions
Avnet has historically pursued a strategic acquisition program to further its strategic objectives and support key business initiatives. This
program was a significant factor in Avnet becoming one of the largest value-
added distributors of electronic components, enterprise computer
and storage products, IT services and embedded subsystems. Avnet expects to continue to pursue strategic acquisitions to expand its market
presence, increase its scale and scope, and increase its product or service offerings.
During fiscal 2013 , the Company completed 12 acquisitions with aggregate annualized revenue of approximately $1.18 billion
. See
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations in Part II of this Form 10-
K for additional
information on acquisitions completed during fiscal 2013 , 2012 and 2011 .
Major Products
One of Avnet’s competitive strengths is the breadth and quality of the suppliers whose products it distributes. IBM
products accounted for
approximately 12% , 11% and 12% of the Company’s consolidated sales during fiscal 2013 , 2012 and 2011 ,
5
Percentage of Sales for Fiscal Year
Region 2013
2012
2011
Americas 42%
45%
43%
EMEA 29
29
32
Asia/Pac 29
26
25
100%
100%
100%