This document provides quarterly and annual revenue, cost, operating income, and other financial data for the SAAS segment of a company from 2006 to 2007. It shows that revenue grew each year but operating income declined from 2006 to 2007 due to non-recurring inventory write-offs, bad debt charges, and impairment costs associated with discontinued operations. Adjusted for these one-time items, operating income was relatively stable while adjusted losses from discontinued operations increased.

1. The following table provides the SAAS segment excluding the infusion business unit which was reclassified as discontinued operations for all prior periods
(in millions)
Q1 2006 Q2 2006 Q3 2006 Q4 2006 2006 Q1 2007 Q2 2007 Q3 2007 Q4 2007 2007
SAAS Segment
Revenue $843.6 $867.8 $842.1 $874.1 $3,427.6 $900.0 $906.4 $882.6 $931.6 $3,620.6
Cost of revenue 784.7 810.1 791.7 820.8 3,207.3 848.0 855.0 839.8 891.9 3,434.7
Gross profit 58.9 57.7 50.4 53.3 220.3 52.0 51.4 42.8 39.7 185.9
SGA 34.3 35.5 36.0 33.1 138.9 36.7 37.9 46.9 40.9 162.4
Operating Income 24.6 22.2 14.4 20.2 81.4 15.3 13.5 (4.1) (1.2) 23.5
Non-recurring charges:
Non-recurring inventory charges in specialty distribution, the majority
- - - - - - - - 9.1 9.1
pertained to a write-off of flu-related inventory due to the mild flu season
Non-recurring items, majority of which relates to bad debt charge
- - - - - - - 18.5 3.0 21.5
in specialty distribution line of business
$24.6 $22.2 $14.4 $20.2 $81.4 $15.3 $13.5 $14.4 $10.9 $54.1
Adjusted operating income
Discontinued operations
Net (loss) income from discontinued operations, net of tax $0.5 $0.1 ($1.6) $0.0 ($1.0) $0.8 ($2.1) ($3.8) ($27.6) ($32.7)
Non-recurring impairment and restructuring costs, net of tax - - - - - - - - 23.9 23.9
Adjusted (loss) income from discontinued operations, net of tax $0.5 $0.1 ($1.6) $0.0 ($1.0) $0.8 ($2.1) ($3.8) ($3.7) ($8.8)