Avnet 2014 Annual Report Download - page 7

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Customers rely on TS' supplier relationships and experienced sales, marketing, technical and financial experts to help them identify and
capitalize on business opportunities in high-
growth technologies, vertical markets and geographies to close deals quickly and profitably.
Suppliers rely on TS' technology expertise and global scale and scope to broaden their customer base and grow sales in markets around the
world. TS' ecosystem of highly-
trained and knowledgeable VARs serve as extensions of suppliers' sales forces to deliver complex IT solutions.
Through its dedicated practices, Avnet's SolutionsPath®
provides partners with the education, tools, resources and skills needed around core data
center technologies: big data and analytics, cloud, converged infrastructure, mobility, storage and security and networking. Additionally, Avnet
provides select partners with the specialization required to successfully sell these solutions into high-
growth vertical markets including energy,
finance, government, healthcare and retail.
Avnet Services
Avnet Services is a global business unit within TS. Its industry experts provide a robust portfolio of businesses, IT lifecycle, education,
cloud and managed solutions. These experts sell and deliver complex IT solutions to a variety of channel partners, including VARs, ISVs, SIs
and OEMs. These solutions may include any combination of services, software, and hardware. The Avnet Services team specializes in, but is not
limited to, infrastructure and application management, business commerce and analytics, cloud enablement, big data, aftermarket and IT
lifecycle services, and multilingual vendor accredited training. To continue to meet customer expectations in an evolving IT ecosystem, the
Avnet Services team is focused on delivering solutions that expand customers' product delivery capabilities, extend their reach and resources,
and enhance project success and return on investment for deployments through the entire IT lifecycle.
TS continues to seek out investments 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/Pac. 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 2014 , the Company completed three acquisitions with aggregate annualized sales of approximately $492.0 million
. 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 2014 , 2013 and 2012 .
5
Percentage of Sales for Fiscal Year
Region
2014
2013
2012
Americas
40
%
42
%
45
%
EMEA
30
29
29
Asia/Pac
30
29
26
100
%
100
%
100
%