Organization, Basis of Presentation, and Summary of Significant Accounting Policies (Tables)

12 Months Ended

May 29, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Components of AOCL, Net of Tax

The components of AOCL, net of tax, are as follows (in thousands):

	AOCL
Balance as of May 30, 2021	$	(1,358)
Amounts reclassified from OCI	772
Other comprehensive (loss) income, net	772
Balance as of May 29, 2022	$	(586)

Summary of Allowance for Sales Returns and Doubtful Accounts

The changes in the Company’s allowance for sales returns and credit losses are summarized in the following table (in thousands):

	Balance at beginning of period		Provision (benefit) for expected credit losses		Write offs, net of recoveries		Balance at end of period
Year Ended May 31, 2020	$	644	$	(460)	$	2	$	186
Year Ended May 30, 2021	$	186	$	187	$	(288)	$	85
Year Ended May 29, 2022	$	85	$	(14)	$	(6)	$	65

Disaggregation of Revenue

The Company disaggregates its revenue by segment based on how it markets its products and services and reviews results of operations. The following tables disaggregate segment revenue by major product lines and services (in thousands):

	Year Ended
Lifecore:	May 29, 2022		May 30, 2021		May 31, 2020
Contract development and manufacturing organization	$	86,313	$	75,297	$	64,781
Fermentation	23,007		22,790		21,052
Total	$	109,320	$	98,087	$	85,833

	Year Ended
Curation Foods:	May 29, 2022		May 30, 2021		May 31, 2020
Avocado products	$	65,269	$	63,575	$	62,194
Olive oil and wine vinegars	9,287		7,589		7,783
Technology	1,910		2,295		4,256
Total	$	76,466	$	73,459	$	74,233

Schedule of Cash and Cash Equivalents

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Consolidated Balance Sheets that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows (in thousands):

	May 29, 2022		May 30, 2021		May 31, 2020
Cash and cash equivalents	$	1,643	$	1,159	$	360
Restricted cash	—		—		193
Cash and cash equivalents, discontinued operations	—		136		—
Cash, cash equivalents and restricted cash	$	1,643	$	1,295	$	553

Schedule of Restricted Cash

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Consolidated Balance Sheets that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows (in thousands):

	May 29, 2022		May 30, 2021		May 31, 2020
Cash and cash equivalents	$	1,643	$	1,159	$	360
Restricted cash	—		—		193
Cash and cash equivalents, discontinued operations	—		136		—
Cash, cash equivalents and restricted cash	$	1,643	$	1,295	$	553

Schedule of Inventories

As of May 29, 2022 and May 30, 2021, inventories consisted of the following (in thousands):

	Year Ended
	May 29, 2022		May 30, 2021
Finished goods	$	33,029	$	40,204
Raw materials	24,221		16,644
Work in progress	9,595		6,228
Total inventories	$	66,845	$	63,076

Schedule of Diluted Net (Loss) Income Per Share

The following table sets forth the computation of basic and diluted net loss per share:

	Year Ended
	As restated
(in thousands, except per share amounts)	May 29, 2022		May 30, 2021		May 31, 2020
Numerator:
Net loss	$	(114,679)	$	(32,665)	$	(38,191)
Denominator:
Weighted average shares for basic net loss per share	29,466		29,294		29,162
Effect of dilutive securities:
Stock options and restricted stock units	—		—		—
Weighted average shares for diluted net loss per share	29,466		29,294		29,162
Basic and diluted net loss per share	$	(3.90)	$	(1.12)	$	(1.31)

Schedule of Effect of Significant Unobservable Inputs for Investment

In determining the fair value of the Company's investment in Windset, the Company utilizes the following significant unobservable inputs in the discounted cash flow models:

	May 30, 2021 Range (Weighted Average)
Revenue growth rates	7% (6.9%)
Expense growth rates	0% to 8% (5.5%)
Discount rates	10%

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following table summarizes the fair value of the Company’s assets and liabilities that are measured at fair value on a recurring and non-recurring basis (in thousands):

	Fair Value at May 29, 2022						Fair Value at May 30, 2021
Assets:	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Assets held for sale - nonrecurring	$	—	$	—	$	1,027	$	—	$	—	$	—
Current assets, discontinued operations
Assets held for sale - nonrecurring	—		—		—		—		—		515
Other assets, discontinued operations
Investment in non-public company	—		—		—		—		—		45,100
Property & equipment, as restated	—		3,500		—		—		—		—
Customer relationships, as restated	—		—		1,400		—		—		—
Tradenames, as restated	—		—		4,000		—		—		—
Total assets	$	—	$	3,500	$	6,427	$	—	$	—	$	45,615
Liabilities:
Interest rate swap contracts	$	—	$	—	$	—	$	—	$	1,736	$	—
Total liabilities	$	—	$	—	$	—	$	—	$	1,736	$	—

Schedule of Fair Value Reconciliation of Level 3

The following table reflects the fair value roll forward reconciliation of Level 3 assets and liabilities measured at fair value for the twelve months ended May 29, 2022 (in thousands):

	Windset Investment
Balance as of May 30, 2021	$	45,100
Sale of Investment in non-public company	(45,100)
Balance as of May 29, 2022	$	—

Schedule of Error Corrections and Prior Period Adjustments

The effects of these errors on our previously reported consolidated balance sheet as presented in the Original Report are as follows:

	As reported				As restated
(in thousands)	May 29, 2022		Adjustment		May 29, 2022
ASSETS
Property and equipment, net	$	130,435	$	(11,904)	$	118,531
Trademarks/tradenames, net	$	8,400	$	300	$	8,700
Customer relationships, net	$	7,150	$	(5,750)	$	1,400
Total Assets	$	295,160	$	(17,354)	$	277,806
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deferred taxes, net	$	232	$	(106)	$	126
Total Liabilities	$	187,215	$	(106)	$	187,109
Retained earnings (accumulated deficit)	$	(58,851)	$	(17,248)	$	(76,099)
Total Stockholders’ Equity	$	107,945	$	(17,248)	$	90,697
Total Liabilities and Stockholders’ Equity	$	295,160	$	(17,354)	$	277,806

The effects of this error on our previously reported consolidated statement of operations and statement of comprehensive (loss) income for the year ended May 29, 2022 as reported in the Original Report are as follows:

	Year Ended
	As reported				As restated
(in thousands, except per share amounts)	May 29, 2022		Adjustment		May 29, 2022
Product sales	$	185,786	$	—	$	185,786
Cost of product sales	135,416		—		135,416
Gross profit	50,370		—		50,370
Operating costs and expenses:
Research and development	7,841		—		7,841
Selling, general and administrative	46,127		—		46,127
Impairment of goodwill and long-lived and indefinite-lived assets	28,735		17,354		46,089
Restructuring costs	8,961		—		8,961
Total operating costs and expenses	91,664		17,354		109,018
Operating loss	(41,294)		(17,354)		(58,648)
Interest income	81		—		81
Interest expense, net	(17,357)		—		(17,357)
Transition services income	5,814		—		5,814
Other income (expense), net	641		—		641
Net loss from continuing operations before taxes	(52,115)		(17,354)		(69,469)
Income tax benefit	5,839		106		5,945
Net loss from continuing operations	(46,276)		(17,248)		(63,524)
Discontinued operations:
Loss from discontinued operations	(51,276)		—		(51,276)
Income tax benefit	121		—		121
Loss from discontinued operations, net of tax	(51,155)		—		(51,155)
Net loss	$	(97,431)	$	(17,248)	$	(114,679)
Basic net loss per share:
Loss from continuing operations	$	(1.57)	$	(0.59)	$	(2.16)
Loss from discontinued operations	(1.74)		—		(1.74)
Total basic net loss per share	$	(3.31)	$	(0.59)	$	(3.90)
Diluted net loss per share:
Loss from continuing operations	$	(1.57)	$	(0.59)	$	(2.16)
Loss from discontinued operations	(1.74)		—		(1.74)
Total diluted net loss per share	$	(3.31)	$	(0.59)	$	(3.90)
Total comprehensive loss	$	(96,659)	$	(17,248)	$	(113,907)

The effects of this error on our previously reported consolidated statement of changes in stockholders’ equity for the year ended May 29, 2022 as reported in the Original Report are as follows:

	As reported		As reported		Adjustment		As restated		As restated
	Retained Earnings (Accumulated Deficit)		Total Stockholders’ Equity				Retained Earnings (Accumulated Deficit)		Total Stockholders’ Equity
(In thousands)
Balance at May 30, 2021	$	38,580	$	202,784	$	—	$	38,580	$	202,784
Issuance of stock under stock plans, net of shares withheld	—		1		—		—		1
Taxes paid by Company for employee stock plans	—		(789)		—		—		(789)
Stock-based compensation	—		2,608		—		—		2,608
Net loss	(97,431)		(97,431)		(17,248)		(114,679)		(114,679)
Other comprehensive income, net of tax	—		772		—		—		772
Balance at May 29, 2022	$	(58,851)	$	107,945	$	(17,248)	$	(76,099)	$	90,697

The effects of this error on our previously reported consolidated statement of cash flows for the year ended May 29, 2022 as reported in the Original Report are as follows:

	As reported				As restated
(in thousands)	May 29, 2022		Adjustment		May 29, 2022
Cash flows from operating activities:
Net loss	$	(97,431)	$	(17,248)	$	(114,679)
Adjustments to reconcile net loss to net cash used in operating activities:
Impairment of goodwill and long-lived and indefinite-lived assets	$	60,792	$	17,354	$	78,146
Deferred taxes	$	(6,884)	$	(106)	$	(6,990)
Net cash used in operating activities	$	(24,399)	$	—	$	(24,399)

The effects of this error on our previously reported basic and diluted earnings per share for the year ended May 29, 2022 as presented in Note 1 - Organization, Basis of Presentation, and Summary of Significant Accounting Policies - Per Share information of the audited financial statements reported in the Original Report are as follows:

	Year Ended
	As reported				As restated
(in thousands, except per share amounts)	May 29, 2022		Adjustment		May 29, 2022
Numerator:
Net loss	$	(97,431)	$	(17,248)	$	(114,679)
Denominator:
Weighted average shares for basic and diluted net loss per share	29,466		—		29,466
Basic and diluted net loss per share	$	(3.31)	$	(0.59)	$	(3.90)

The effects of this error on our previously reported property and equipment as of May 29, 2022 as presented in Note 3 - Property and Equipment of the audited financial statements reported in the Original Report, to record the impairment of property and equipment related to Yucatan as an adjustment to the historical cost, are as follows:

	As reported				As restated
(in thousands)	May 29, 2022		Adjustment		May 29, 2022
Land	$	3,710	$	—	$	3,710
Buildings	60,271		(1,912)		58,359
Leasehold improvements	6,793		(1,650)		5,143
Computers, capitalized software, machinery, equipment and autos	88,936		(13,962)		74,974
Furniture and fixtures	2,290		(191)		2,099
Construction in process	22,935		(149)		22,786
Gross property and equipment	$	184,935	$	(17,864)	$	167,071
Less accumulated depreciation and amortization	(54,500)		5,960		(48,540)
Property and equipment, net	$	130,435	$	(11,904)	$	118,531

The effects of this error on our previously reported intangible assets for the year ended May 29, 2022 as presented in Note 4 - Goodwill and Intangible Assets of the audited financial statements reported in the Original Report are as follows:

	Gross Carrying Amount						Accumulated Amortization
	As reported				As restated		As reported				As restated
	May 29, 2022		Adjustment		May 29, 2022		May 29, 2022		Adjustment		May 29, 2022
Customer relationships
Yucatan Foods (Curation Foods)	$	11,000	$	(9,600)	$	1,400	$	3,850	$	(3,850)	$	—
Total customer relationships	$	14,700	$	(9,600)	$	5,100	$	7,550	$	(3,850)	$	3,700
Trademarks/tradenames
Yucatan Foods (Curation Foods)	$	3,700	$	300	$	4,000	$	—	$	—	$	—
Total trademarks/tradenames	$	8,400	$	300	$	8,700	$	—	$	—	$	—
Total intangible assets	$	23,100	$	(9,300)	$	13,800	$	7,550	$	(3,850)	$	3,700

The amortization expense for each year presented are as follows (in thousands):
	As reported		Adjustment		As restated
Fiscal year 2023	$	1,100	$	(885)	$	215
Fiscal year 2024	1,100		(885)		215
Fiscal year 2025	1,100		(885)		215
Fiscal year 2026	1,100		(885)		215
Fiscal year 2027	1,100		(885)		215
Total	$	5,500	$	(4,425)	$	1,075

The effects of this error on our previously reported income taxes for the year ended May 29, 2022 as presented in Note 7 - Income Taxes of the audited financial statements reported in the Original Report are as follows:

	Year Ended
	As reported				As restated
(in thousands)	May 29, 2022		Adjustment		May 29, 2022
Deferred:
Federal	(5,562)		(108)		(5,670)
State	(656)		2		(654)
Total	(6,218)		(106)		(6,324)
Income tax benefit	$	(5,839)	$	(106)	$	(5,945)

(in thousands)	Year Ended
	As reported						As restated
	May 29, 2022			Adjustment			May 29, 2022
Tax at U.S. statutory rate	$	(10,904)		$	(3,644)		$	(14,548)
State income taxes, net of federal benefit	(1,639)			(556)			(2,195)
Tax reform/CARES Act	—			—			—
Change in valuation allowance	6,040			4,094			10,134
Tax credit carryforwards	(436)			—			(436)
Other compensation-related activity	234			—			234
Impairment of goodwill	2,347			—			2,347
Foreign rate differential	(496)			—			(496)
Other	(985)			—			(985)
Income tax benefit	$	(5,839)		$	(106)		$	(5,945)
Effective Tax Rate	11.20		%	(2.64)		%	8.56		%

(in thousands)	Year Ended
	As reported				As restated
	May 29, 2022		Adjustment		May 29, 2022
Deferred tax assets:
Accruals and reserves	$	867	$	—	$	867
Net operating loss carryforwards	28,558		—		28,558
Stock-based compensation	880		—		880
Research and AMT credit carryforwards	5,611		—		5,611
Lease liability	2,874		—		2,874
Limitations on business interest expense	4,245		—		4,245
Goodwill and other indefinite life intangibles	1,426		1,319		2,745
Other	750				750
Gross deferred tax assets	45,211		1,319		46,530
Valuation allowance	(31,848)		(4,094)		(35,942)
Net deferred tax assets	13,363		(2,775)		10,588
Deferred tax liabilities:
Depreciation and amortization	(11,495)		2,881		(8,614)
Right of use asset	(2,100)		—		(2,100)
Deferred tax liabilities	(13,595)		2,881		(10,714)
Net deferred tax liabilities	$	(232)	$	106	$	(126)

The effects of this error on our previously reported operations by business segment for the year ended May 29, 2022 as presented in Note 10 - Business Segment Reporting of the audited financial statements reported in the Original Report are as follows:

(In Thousands)	Lifecore		Curation Foods		Other		Total
Net income (loss) from continuing operations, as reported	$	16,675	$	(30,429)	$	(32,522)	$	(46,276)
Adjustment	—		(17,354)		106		(17,248)
Net income (loss) from continuing operations, as restated	$	16,675	$	(47,783)	$	(32,416)	$	(63,524)
Income tax (benefit) expense, as reported	$	5,266	$	(13,831)	$	2,726	$	(5,839)
Adjustment	—		—		(106)		(106)
Income tax (benefit) expense, as restated	$	5,266	$	(13,831)	$	2,620	$	(5,945)
Identifiable assets, as reported	$	213,969	$	76,948	$	4,243	$	295,160
Adjustment	—		(17,354)		—		(17,354)
Identifiable assets, as restated	$	213,969	$	59,594	$	4,243	$	277,806

(in million)	Year Ended
	As reported				As restated
Property and equipment, net	May 29, 2022		Adjustment		May 29, 2022
United States	$	115.0	$	—	$	115.0
Mexico	$	15.4	$	(11.9)	$	3.5
Total property and equipment, net	$	130.4	$	(11.9)	$	118.5

The effects of this error on our previously reported quarterly consolidated financial information as of May 29, 2022 as presented in Note 11 - Quarterly Consolidated Financial Information (unaudited) of the audited financial statements reported in the Original Report are as follows:

	As reported		As reported				As restated		As restated
Fiscal Year 2022	4th Quarter		Annual		Adjustment		4th Quarter		Annual
Net (loss) income from continuing operations	(34,436)		(46,276)		(17,248)		(51,684)		(63,524)
Net (loss) income per basic and diluted share from continuing operations	$	(1.16)	$	(1.57)	$	(0.59)	$	(1.75)	$	(2.16)

The effects of this error on our previously reported February 27, 2022 and May 30, 2021 consolidated balance sheets as presented in the Company’s fiscal year 2022 third quarter Form 10-Q are as follows:

	As reported				As restated
(in thousands)	February 27, 2022		Adjustment		February 27, 2022
LIABILITIES AND STOCKHOLDERS’ EQUITY
Other accrued liabilities	$	13,735	$	348	$	14,083
Total Current Liabilities	90,065		348		90,413
Total Liabilities	181,510		348		181,858
Retained earnings (accumulated deficit)	(22,188)		(348)		(22,536)
Total Stockholders’ Equity	144,072		(348)		143,724
Total Liabilities and Stockholders’ Equity	$	325,582	$	—	$	325,582

	As reported				As restated
(in thousands)	May 30, 2021		Adjustment		May 30, 2021
ASSETS
Property and equipment, net	$	112,770	$	7,516	$	120,286
Operating lease right-of-use assets	7,480		9,618		17,098
Other assets, discontinued operations	171,274		(17,134)		154,140
Total Assets	502,924		—		502,924
LIABILITIES
Current portion of lease liabilities	1,465		135		1,600
Current liabilities, discontinued operations	42,779		(135)		42,644
Total Current Liabilities	101,888		—		101,888
Long-term lease liabilities	9,581		10,778		20,359
Non-current liabilities, discontinued operations	14,759		(10,778)		3,981
Total Liabilities	$	300,140	$	—	$	300,140

The effects of this error on our previously reported fiscal year 2022 interim consolidated statements of comprehensive (loss) income for the three-month period ended February 27, 2022 are as follows:

	As reported				As restated
(in thousands, except per share amounts)	February 27, 2022		Adjustment		February 27, 2022
Product sales	$	53,074	$	—	$	53,074
Cost of product sales	39,179		675		39,854
Gross profit	13,895		(675)		13,220
Operating costs and expenses:
Research and development	2,056		—		2,056
Selling, general and administrative	9,725		6,625		16,350
Restructuring cost	5,865		(595)		5,270
Total operating costs and expenses	17,646		6,030		23,676
Operating loss	(3,751)		(6,705)		(10,456)
Interest income	20		—		20
Interest expense	(4,105)		—		(4,105)
Transition services income	—		5,473		5,473
Other income (expense), net	454		—		454
Net loss from continuing operations before taxes	(7,382)		(1,232)		(8,614)
Income tax benefit	276		37		313
Net loss from continuing operations	(7,106)		(1,195)		(8,301)
Loss from discontinued operations, net of tax	(5,744)		959		(4,785)
Net loss	$	(12,850)	$	(236)	$	(13,086)
Basic and diluted net loss per share:
Loss from continuing operations	$	(0.24)	$	(0.04)	$	(0.28)
Loss from discontinued operations	(0.19)		0.03		(0.16)
Total basic and diluted net loss per share	$	(0.43)	$	(0.01)	$	(0.44)
Other comprehensive income (loss), net of tax:
Net unrealized gain (losses) on interest rate swaps (net of tax effect)	$	104	$	—	$	104
Other comprehensive income (loss), net of tax	104		—		104
Total comprehensive loss	$	(12,746)	$	(236)	$	(12,982)

The effects of this error on our previously reported fiscal year 2022 interim consolidated statements of comprehensive (loss) income for the nine-month period ended February 27, 2022 are as follows:

	As reported				As restated
(in thousands, except per share amounts)	February 27, 2022		Adjustment		February 27, 2022
Product sales	$	138,158	$	—	$	138,158
Cost of product sales	99,113		787		99,900
Gross profit	39,045		(787)		38,258
Operating costs and expenses:
Research and development	5,785		—		5,785
Selling, general and administrative	27,207		6,906		34,113
Restructuring costs	8,406		(876)		7,530
Total operating costs and expenses	41,398		6,030		47,428
Operating loss	(2,353)		(6,817)		(9,170)
Interest income	66		—		66
Interest expense	(13,877)		—		(13,877)
Transition services income	—		5,473		5,473
Other income (expense), net	642		—		642
Net loss from continuing operations before taxes	(15,522)		(1,344)		(16,866)
Income tax benefit	5,012		14		5,026
Net loss from continuing operations	(10,510)		(1,330)		(11,840)
Loss from discontinued operations, net of tax	(50,258)		982		(49,276)
Net loss	$	(60,768)	$	(348)	$	(61,116)
Basic and diluted net loss per share:
Loss from continuing operations	$	(0.36)	$	(0.05)	$	(0.41)
Loss from discontinued operations	(1.71)		0.03		(1.68)
Total basic and diluted net loss per share	$	(2.07)	$	(0.02)	$	(2.09)
Other comprehensive income (loss), net of tax:
Net unrealized gain (losses) on interest rate swaps (net of tax effect)	$	646	$	—	$	646
Other comprehensive income (loss), net of tax	646		—		646
Total comprehensive loss	$	(60,122)	$	(348)	$	(60,470)

The effects of this error on our previously reported fiscal year 2022 consolidated statements of changes in stockholders' equity for the nine-month period ended February 27, 2022 are as follows:

	As reported		As reported		Adjustment		As restated		As restated
	Retained Earnings (Accumulated Deficit)		Total Stockholders’ Equity				Retained Earnings (Accumulated Deficit)		Total Stockholders’ Equity
(In thousands)
Balance at May 30, 2021	$	38,580	$	202,784	$	—	$	38,580	$	202,784
Net loss	(9,477)		(9,477)		(32)		(9,509)		(9,509)
Balance at August 29, 2021	29,103		193,865		(32)		29,071		193,833
Net loss	(38,441)		(38,441)		(80)		(38,521)		(38,521)
Balance at November 28, 2021	(9,338)		156,202		(112)		(9,450)		156,090
Net loss	(12,850)		(12,850)		(236)		(13,086)		(13,086)
Balance at February 27, 2022	$	(22,188)	$	144,072	$	(348)	$	(22,536)	$	143,724

The effects of this error on our previously reported fiscal year 2022 consolidated statements of cash flows for the nine-month period ended February 27, 2022 are as follows:

	As reported				As restated
(in thousands)	February 27, 2022		Adjustment		February 27, 2022
Cash flows from operating activities:
Net loss	$	(60,768)	$	(348)	$	(61,116)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Impairment of goodwill	32,057		—		32,057
Depreciation, amortization of intangibles, debt costs and right-of-use assets	14,488		—		14,488
Loss on disposal of property and equipment related to restructuring, net	5,185		—		5,185
Deferred taxes	(5,471)		—		(5,471)
Loss on sale of Eat Smart	4,354		(4,119)		235
Stock-based compensation expense	1,928		—		1,928
Net loss on disposal of property and equipment held and used	25		—		25
Provision (benefit) for expected credit losses	(14)		—		(14)
Other, net	(551)		—		(551)
Changes in current assets and current liabilities:
Accounts receivable, net	(7,525)		—		(7,525)
Inventories	(11,910)		—		(11,910)
Prepaid expenses and other current assets	(1,448)		—		(1,448)
Accounts payable	13,055		452		13,507
Accrued compensation	(3,849)		1,822		(2,027)
Other accrued liabilities	(4,195)		4,125		(70)
Deferred revenue	204		458		662
Net cash (used in) provided by operating activities	(24,435)		2,390		(22,045)
Cash flows from investing activities:
Proceeds from sale of Eat Smart	73,500		—		73,500
Sale of Investment in non-public company	45,100		—		45,100
Purchases of property and equipment	(18,539)		—		(18,539)
Proceeds from sales of property and equipment	1,096		—		1,096
Eat Smart sale net working capital adjustment and cash sale expenses	—		(2,390)		(2,390)
Net cash provided by investing activities	101,157		(2,390)		98,767
Net cash used in financing activities	(76,163)		—		(76,163)
Net increase in cash, cash equivalents and restricted cash	559		—		559
Cash, cash equivalents and restricted cash, beginning of period	1,295		—		1,295
Cash, cash equivalents and restricted cash, end of period	$	1,854	$	—	$	1,854

The effects of this error on our previously reported fiscal year 2022 diluted earnings per share for the three- and nine-month periods ended February 27, 2022 as presented in the Company’s fiscal year 2022 third quarter Form 10-Q Note 4 - Diluted Earnings per share are as follows:

	Three Months Ended						Nine Months Ended
	As reported				As restated		As reported				As restated
(in thousands, except per share amounts)	February 27, 2022		Adjustment		February 27, 2022		February 27, 2022		Adjustment		February 27, 2022
Numerator:
Net loss	$	(12,850)	$	(236)	$	(13,086)	$	(60,768)	$	(348)	$	(61,116)
Denominator:
Weighted average shares for diluted net loss per share	29,482		29,482		29,482		29,459		29,459		29,459
Diluted net loss per share	$	(0.43)	$	(0.01)	$	(0.44)	$	(2.07)	$	(0.02)	$	(2.09)

The effects of this error on our previously reported fiscal year 2022 operations by business segment for the three- and nine-month periods ended February 27, 2022 as presented in the Company’s fiscal year 2022 third quarter Form 10-Q Note 7 - Business Segment Reporting are as follows:

(In Thousands)	Lifecore		Curation Foods		Other		Total
Three Months Ended February 27, 2022
Gross profit, as reported	$	12,905	$	990	$	—	$	13,895
Adjustment	—		(675)		—		(675)
Gross profit, as restated	12,905		315		—		13,220
Net income (loss) from continuing operations, as reported	5,054		(5,848)		(6,312)		(7,106)
Adjustment	—		(1,195)		—		(1,195)
Net income (loss) from continuing operations, as restated	5,054		(7,043)		(6,312)		(8,301)
Loss from discontinued operations, as reported	—		(2,703)		(3,041)		(5,744)
Adjustment	—		959		—		959
Loss from discontinued operations, as restated	—		(1,744)		(3,041)		(4,785)
Nine Months Ended February 27, 2022
Gross profit, as reported	$	30,384	$	8,661	$	—	$	39,045
Adjustment	—		(787)		—		(787)
Gross profit, as restated	30,384		7,874		—		38,258
Net income (loss) from continuing operations, as reported	11,317		5,513		(27,340)		(10,510)
Adjustment	—		(1,330)		—		(1,330)
Net income (loss) from continuing operations, as restated	11,317		4,183		(27,340)		(11,840)
Loss from discontinued operations, as reported	—		(47,217)		(3,041)		(50,258)
Adjustment	—		982		—		982
Loss from discontinued operations, as restated	—		(46,235)		(3,041)		(49,276)

The effects of this error on our previously reported fiscal year 2022 restructuring costs for the three- and nine-month periods ended February 27, 2022 as presented in the Company’s fiscal year 2022 third quarter Form 10-Q Note 8 - Restructuring Costs are as follows:

(In thousands)
Three Months Ended February 27, 2022	Lifecore		Curation Foods		Other		Total
Total restructuring costs, as reported	$	271	$	5,344	$	250	$	5,865
Adjustment	(271)		(124)		(200)		(595)
Total restructuring costs, as restated	$	—	$	5,220	$	50	$	5,270

(In thousands)
Nine Months Ended February 27, 2022	Lifecore		Curation Foods		Other		Total
Total restructuring costs, as reported	$	271	$	5,810	$	2,325	$	8,406
Adjustment	(271)		(124)		(481)		(876)
Total restructuring costs, as restated	$	—	$	5,686	$	1,844	$	7,530

The effects of this error on our previously reported May 30, 2021 carrying amounts of the major classes of assets and liabilities of the Eat Smart business included in assets and liabilities of discontinued operations as presented in the Company’s fiscal year 2022 third quarter Form 10-Q Note 9 - Discontinued Operations are as follows:

	As reported				As restated
(in thousands)	May 30, 2021		Adjustment		May 30, 2021
ASSETS
Property and equipment, net	$	66,789	$	(7,516)	$	59,273
Operating lease right-of-use assets	13,347		(9,618)		3,729
Other assets, discontinued operations	171,274		(17,134)		154,140
LIABILITIES
Current portion of lease liabilities	2,424		(135)		2,289
Current liabilities, discontinued operations	42,779		(135)		42,644
Long-term lease liabilities	14,030		(10,778)		3,252
Non-current liabilities, discontinued operations	14,759		(10,778)		3,981

The effects of this error on our previously reported fiscal year 2022 components of loss from discontinued operations for the three-month period ended February 27, 2022 as presented in the Company’s fiscal year 2022 third quarter Form 10-Q Note 9 - Discontinued Operations are as follows:

	As reported				As restated
(in thousands)	February 27, 2022		Adjustment		February 27, 2022
Operating costs and expenses:
Loss on sale of Eat Smart	$	4,354	$	(4,119)	$	235
Restructuring cost	86		3,123		3,209
Total operating costs and expenses	5,601		(996)		4,605
Operating loss	(5,762)		996		(4,766)
Income tax benefit	222		(37)		185
Loss from discontinued operations, net of tax	$	(5,744)	$	959	$	(4,785)

The effects of this error on our previously reported fiscal year 2022 components of loss from discontinued operations for the nine-month period ended February 27, 2022 as presented in the Company’s fiscal year 2022 third quarter Form 10-Q Note 9 - Discontinued Operations are as follows:

	As reported				As restated
(in thousands)	February 27, 2022		Adjustment		February 27, 2022
Operating costs and expenses:
Loss on sale of Eat Smart	$	4,354	$	(4,119)	$	235
Restructuring cost	1,519		3,123		4,642
Total operating costs and expenses	53,198		(996)		52,202
Operating loss	(47,998)		996		(47,002)
Income tax benefit	422		(14)		408
Loss from discontinued operations, net of tax	$	(50,258)	$	982	$	(49,276)

Fair Value Measurement Inputs and Valuation Techniques

In determining the fair value of the Company’s trademarks/tradenames and customer relationships intangible assets for Yucatan, the Company utilizes the following significant unobservable inputs in the discounted cash flow models:

	May 29, 2022 Range (Average)
Total Enterprise Value
Revenue growth rates	2.5% - 7.3% (3.4%)
Gross profit rates	6.0% - 15.5% (14.5%)
Discount rate	8.7%
Customer Relationship Value
Attrition rate	10%
Discount rate	19%
Tradenames Value
Royalty rate	1%
Discount rate	19%