Segment Information

12 Months Ended

Sep. 29, 2012

Segment Information [Abstract]

Segment Information

15. Segment Information

The Partnership manages and evaluates its operations in five operating segments, three of which are reportable segments: Propane, Fuel Oil and Refined Fuels and Natural Gas and Electricity. The chief operating decision maker evaluates performance of the operating segments using a number of performance measures, including gross margins and income before interest expense and provision for income taxes (operating profit). Costs excluded from these profit measures are captured in Corporate and include corporate overhead expenses not allocated to the operating segments. Unallocated corporate overhead expenses include all costs of back office support functions that are reported as general and administrative expenses within the consolidated statements of operations. In addition, certain costs associated with field operations support that are reported in operating expenses within the consolidated statements of operations, including purchasing, training and safety, are not allocated to the individual operating segments. Thus, operating profit for each operating segment includes only the costs that are directly attributable to the operations of the individual segment. The accounting policies of the operating segments are otherwise the same as those described in the summary of significant accounting policies in Note 2.

The propane segment is primarily engaged in the retail distribution of propane to residential, commercial, industrial and agricultural customers and, to a lesser extent, wholesale distribution to large industrial end users. In the residential and commercial markets, propane is used primarily for space heating, water heating, cooking and clothes drying. Industrial customers use propane generally as a motor fuel burned in internal combustion engines that power over-the-road vehicles, forklifts and stationary engines, to fire furnaces and as a cutting gas. In the agricultural markets, propane is primarily used for tobacco curing, crop drying, poultry brooding and weed control.

The fuel oil and refined fuels segment is primarily engaged in the retail distribution of fuel oil, diesel, kerosene and gasoline to residential and commercial customers for use primarily as a source of heat in homes and buildings.

The natural gas and electricity segment is engaged in the marketing of natural gas and electricity to residential and commercial customers in the deregulated energy markets of New York and Pennsylvania. Under this operating segment, the Partnership owns the relationship with the end consumer and has agreements with the local distribution companies to deliver the natural gas or electricity from the Partnership’s suppliers to the customer.

Activities in the “all other” category include the Partnership’s service business, which is primarily engaged in the sale, installation and servicing of a wide variety of home comfort equipment, particularly in the areas of heating and ventilation, and activities from the Partnership’s HomeTown Hearth & Grill and Suburban Franchising subsidiaries.

The following table presents certain data by reportable segment and provides a reconciliation of total operating segment information to the corresponding consolidated amounts for the periods presented:

	Year Ended
	September 29,			September 24,			September 25,
	2012			2011			2010
Revenues:
Propane	$	843,648		$	929,492		$	885,459
Fuel oil and refined fuels		114,288			139,572			135,059
Natural gas and electricity		67,419			84,721			77,587
All other		38,103			36,767			38,589
Total revenues	$	1,063,458		$	1,190,552		$	1,136,694
Operating income:
Propane	$	143,789		$	203,567		$	230,717
Fuel oil and refined fuels		887			11,140			11,589
Natural gas and electricity		6,991			11,667			11,629
All other		(17,233	)		(13,750	)		(17,995	)
Corporate		(91,533	)		(69,396	)		(82,572	)
Total operating income		42,901			143,228			153,368
Reconciliation to net income:
Loss on debt extinguishment		2,249			—			9,473
Interest expense, net		38,633			27,378			27,397
Provision for income taxes		137			884			1,182
Net income	$	1,882		$	114,966		$	115,316
Depreciation and amortization:
Propane	$	33,585		$	19,525		$	17,505
Fuel oil and refined fuels		3,655			4,139			3,277
Natural gas and electricity		464			897			970
All other		339			111			261
Corporate		7,747			10,956			8,821
Total depreciation and amortization	$	45,790		$	35,628		$	30,834

	As of
	September 29, 2012		September 24, 2011
Assets:
Propane	$	2,529,021	$	706,008
Fuel oil and refined fuels		101,108		44,973
Natural gas and electricity		14,777		18,675
All other		7,232		3,719
Corporate		232,310		183,084
Total assets	$	2,884,448	$	956,459