Segment Information

12 Months Ended

Sep. 26, 2015

Segment Reporting [Abstract]

Segment Information

15. Segment Information

The Partnership manages and evaluates its operations in four 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.

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 26,			September 27,			September 28,
	2015			2014			2013
Revenues:
Propane	$	1,176,980		$	1,606,840		$	1,357,102
Fuel oil and refined fuels		127,495			194,684			208,957
Natural gas and electricity		66,865			87,093			79,432
All other		45,639			49,640			58,115
Total revenues	$	1,416,979		$	1,938,257		$	1,703,606
Operating income (loss):
Propane	$	280,761		$	295,916		$	287,473
Fuel oil and refined fuels		7,621			2,473			(2,799	)
Natural gas and electricity		14,614			10,818			11,565
All other		(25,409	)		(25,644	)		(26,483	)
Corporate		(99,829	)		(93,437	)		(92,780	)
Total operating income		177,758			190,126			176,976
Reconciliation to net income:
Loss on debt extinguishment		15,072			11,589			2,144
Interest expense, net		77,634			83,261			95,427
Provision for income taxes		700			767			607
Net income	$	84,352		$	94,509		$	78,798
Depreciation and amortization:
Propane	$	110,728		$	106,491		$	104,533
Fuel oil and refined fuels		3,885			5,429			4,634
Natural gas and electricity		8			46			198
All other		288			699			638
Corporate		18,385			23,734			20,381
Total depreciation and amortization	$	133,294		$	136,399		$	130,384

	As of
	September 26,		September27,
	2015		2014
Assets:
Propane	$	2,209,343	$	2,365,320
Fuel oil and refined fuels		58,077		69,360
Natural gas and electricity		13,253		13,992
All other		2,888		3,342
Corporate		202,169		157,349
Total assets	$	2,485,730	$	2,609,363