10-Q

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 10-Q

 [X]     Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended June 28, 2014

or

 [   ]     Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Commission File Number 001-35672

BERRY PLASTICS GROUP, INC.

(Exact name of registrant as specified in its charter)

Delaware	20-5234618
(State or other jurisdiction   of incorporation or organization)	(IRS employer   identification number)
101 Oakley Street   Evansville, Indiana	47710
(Address of principal executive offices)	(Zip code)

Registrant’s telephone number, including area code:  (812) 424-2904  

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Name of Each Exchange on Which Registered
Common Stock, $0.01 par value per share	New York Stock Exchange

Indicate by check mark whether the registrant:  (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or such shorter period that the registrant was required to file such reports), and (2) have been subject to such filing requirements for the past 90 days.  Yes [X ]  No [  ]  

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   Yes [ X]  No [  ]  

Indicate by check mark whether the registrant is a large accelerated filer, accelerated filer, or non-accelerated filer.  See definition of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act. (Check one):          

      Large accelerated filer [     ]           Accelerated filer [    ]              Non-accelerated filer [  X  ] Small reporting company [    ] 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Securities Exchange Act of 1934).  Yes[    ]   No[ X ]  

As of August 1, 2014, there were approximately 117.5 million shares of the registrant’s common stock outstanding. 

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CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

This Form 10-Q includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933  and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to our financial condition, results of operations and business and our expectations or beliefs concerning future events.  The forward-looking statements include, in particular, statements about our plans, strategies and prospects under the heading "Management’s Discussion and Analysis of Financial Condition and Results of Operations".  You can identify forward-looking statements because they contain words such as “believes,” “expects,” “may,” “will,” “should,” “would,” “could,” “seeks,” “approximately,” “intends,” “plans,” “estimates,”  “outlook,” or “anticipates” or similar expressions that relate to our strategy, plans or intentions.  All statements we make relating to our estimated and projected earnings, margins, costs, expenditures, cash flows, growth rates and financial results or to our expectations regarding future industry trends are forward-looking statements.  In addition, we, through our senior management, from time to time make forward-looking public statements concerning our expected future operations and performance and other developments.  These forward-looking statements are subject to risks and uncertainties that may change at any time, and, therefore, our actual results may differ materially from those that we expected.  We derive many of our forward-looking statements from our operating budgets and forecasts, which are based upon many detailed assumptions.  While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the impact of known factors, and it is impossible for us to anticipate all factors that could affect our actual results.  All forward-looking statements are based upon information available to us on the date of this Form 10-Q. 

All forward-looking information and subsequent written and oral forward-looking statements attributable to us, or to persons acting on our behalf, are expressly qualified in their entirety by the cautionary statements.  Some of the factors that we believe could affect our results include: 

·   risks associated with our substantial indebtedness and debt service;

·   changes in prices and availability of resin and other raw materials and our ability to pass on changes in raw material prices on a timely basis;

·   performance of our business and future operating results;

·   risks related to our acquisition strategy and integration of acquired businesses;

·   reliance on unpatented know-how and trade secrets;

·   increases in the cost of compliance with laws and regulations, including environmental, safety, and production and product laws and regulations;

·   risks related to disruptions in the overall economy and the financial markets that may adversely impact our business;

·   catastrophic loss of one of our key manufacturing facilities, natural disasters, and other unplanned business interruptions;

·   risks of competition, including foreign competition, in our existing and future markets;

·   general business and economic conditions, particularly an economic downturn;

·   risks that our restructuring program may entail greater implementation costs or result in lower cost savings than anticipated;

·   the ability of our insurance to cover fully our potential exposures; and

·   the other factors discussed in our most recent Form 10-K in the section titled “Risk Factors.”

We caution readers that the foregoing list of important factors may not contain all of the material factors that are important to you.  In addition, in light of these risks and uncertainties, the matters referred to in the forward-looking statements contained in this Form 10-Q may not in fact occur.  Accordingly, investors should not place undue reliance on those statements.  We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law. 

Readers should carefully review the factors discussed in our most recent Form 10-K in the section titled “Risk Factors” and other risk factors identified from time to time in our periodic filings with the Securities and Exchange Commission.  We undertake no obligation to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes.

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Berry Plastics Group, Inc.

Form 10-Q Index

For Quarterly Period Ended June 28, 2014  

Part I. Financial Information			Page No.
	Item 1.	Financial Statements:
		Consolidated Balance Sheets	4
		Consolidated Statements of Operations and Comprehensive Income	5
		Consolidated Statements of Changes in Stockholders’ Equity (Deficit)	6
		Consolidated Statements of Cash Flows	7
		Notes to Consolidated Financial Statements	8
	Item 2.	Management’s Discussion and Analysis of
		Financial Condition and Results of Operations	22
	Item 3.	Quantitative and Qualitative Disclosures about Market Risk	29
	Item 4.	Controls and Procedures	30
Part II. Other Information
	Item 1.	Legal Proceedings	30
	Item 1A.	Risk Factors	30
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	30
	Item 3.	Defaults Upon Senior Securities	31
	Item 4.	Mine Safety Disclosures	31
	Item 5.	Other Information	31
	Item 6.	Exhibits	31
	Signature		32

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Part I.  Financial Information

Item 1.     Financial Statements

Berry Plastics Group, Inc.

Consolidated Balance Sheets

 (in millions of dollars, except per share data)

	June 28, 2014			September 28, 2013
Assets	(Unaudited)
Current assets:
Cash and cash equivalents	$	45		$	142
Accounts receivable (less allowance of $4 at June 28, 2014 and $3 at September 28, 2013)		523			449
Inventories:
Finished goods		382			335
Raw materials and supplies		283			240
		665			575
Deferred income taxes		242			139
Prepaid expenses and other current assets		33			32
Total current assets		1,508			1,337
Property, plant, and equipment, net		1,406			1,266
Goodwill, intangible assets and deferred costs, net		2,494			2,520
Other assets		11			12
Total assets	$	5,419		$	5,135
Liabilities and stockholders’ equity (deficit)
Current liabilities:
Accounts payable	$	442		$	337
Accrued expenses and other current liabilities		356			276
Current portion of long-term debt		56			71
Total current liabilities		854			684
Long-term debt, less current portion		3,899			3,875
Deferred income taxes		462			385
Other long-term liabilities		322			387
Total liabilities		5,537			5,331
Commitments and contingencies
Non-controlling interest		12			—
Stockholders’ equity (deficit):
Common stock; ($0.01 par value;  400,000,000 shares authorized; 117,578,327 shares issued and 117,507,843 shares outstanding as of June 28, 2014; 115,895,927 issued and 115,825,443 outstanding as of September 28, 2013)		1			1
Additional paid-in capital		360			322
Non-controlling interest		3			3
Accumulated deficit		(471	)		(504	)
Accumulated other comprehensive loss		(23	)		(18	)
Total stockholders’ equity (deficit)		(130	)		(196	)
Total liabilities and stockholders’ equity (deficit)	$	5,419		$	5,135

See notes to consolidated financial statements.

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Berry Plastics Group, Inc.

Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

(in millions of dollars, except per share data)

	Quarterly Period Ended						Three Quarterly Periods Ended
	June 28, 2014			June 29, 2013			June 28, 2014			June 29, 2013
Net sales	$	1,298		$	1,221		$	3,648		$	3,443
Costs and expenses:
Cost of goods sold		1,089			998			3,076			2,829
Selling, general and administrative		85			78			244			230
Amortization of intangibles		26			27			77			81
Restructuring and impairment charges		15			1			28			7
Operating income		83			117			223			296
Debt extinguishment		33			—			35			64
Other income, net		(2	)		(2	)		(3	)		(6	)
Interest expense, net		56			57			168			188
Income (loss) before income taxes		(4	)		62			23			50
Income tax expense (benefit)		(19	)		22			(10	)		19
Consolidated net income		15			40			33			31
Net income attributable to noncontrolling interests		—			—			—			—
Net income attributable to the Company	$	15		$	40		$	33		$	31

Comprehensive income $ 12 $ 45 $ 28 $ 34

Net income per share:
Basic	$	0.13	$	0.35	$	0.28	$	0.27
Diluted		0.12		0.33		0.27		0.26
Outstanding weighted-average shares: (in thousands)
Basic		117,304		114,132		116,609		112,839
Diluted		121,477		120,551		120,812		118,708

See notes to consolidated financial statements.

5

Berry Plastics Group, Inc.

Consolidated Statement of Changes in Stockholders’ Equity (Deficit)

For the Three Quarterly Periods Ended June 28, 2014 and June 29, 2013

(Unaudited)

(in millions of dollars)

	Common Stock		AdditionalPaid-in Capital			Notes Receivable-Common Stock			Non-controlling Interest		Accumulated Other Comprehensive Loss			Accumulated Deficit			Total
Balance at September 29, 2012	$	1	$	131		$	(2	)	$	3	$	(47	)	$	(561	)	$	(475	)
Proceeds from issuance of common stock		—		21			—			—		—			—			21
Stock compensation expense		—		6			—			—		—			—			6
Repayment of note receivable		—		—			2			—		—			—			2
Termination of redeemable shares redemption requirement		—		23			—			—		—			—			23
Proceeds from initial public offering		—		438			—			—		—			—			438
Initial obligation under tax receivable agreement		—		(300	)		—			—		—			—			(300	)
Derivative amortization		—		—			—			—		3			—			3
Interest rate hedge, net of tax		—		—			—			—		9			—			9
Net loss		—		—			—			—		—			31			31
Currency translation		—		—			—			—		(9	)		—			(9	)
Balance at June 29, 2013	$	1	$	319		$	—		$	3	$	(44	)	$	(530	)	$	(251	)
Balance at September 28, 2013	$	1	$	322		$	—		$	3	$	(18	)	$	(504	)	$	(196	)
Proceeds from issuance of common stock		—		13			—			—		—			—			13
Obligation under tax receivable agreement		—		13			—			—		—			—			13
Stock compensation expense		—		12			—			—		—			—			12
Net income		—		—			—			—		—			33			33
Interest rate hedge, net of tax		—		—			—			—		(5	)		—			(5	)
Currency translation		—		—			—			—		—			—			—
Balance at June 28, 2014	$	1	$	360		$	—		$	3	$	(23	)	$	(471	)	$	(130	)

See notes to consolidated financial statements.

6

Berry Plastics Group, Inc.

Consolidated Statements of Cash Flows

(Unaudited)

(in millions of dollars)

	Three Quarterly Periods Ended
	June 28, 2014			June 29, 2013
Cash Flows from Operating Activities:
Consolidated net income	$	33		$	31
Adjustments to reconcile net cash provided by operating activities:
Depreciation		184			177
Amortization of intangibles		77			81
Non-cash interest expense		5			11
Deferred income tax		(15	)		18
Debt extinguishment		35			64
Settlement of interest rate hedge		—			16
Stock compensation expense		12			6
Impairment of long-lived assets		6			—
Other non-cash items		—			(6	)
Changes in operating assets and liabilities:
Accounts receivable, net		(21	)		(13	)
Inventories		(35	)		(41	)
Prepaid expenses and other assets		2			13
Accounts payable and other liabilities		87			(60	)
Net cash from operating activities		370			297
Cash Flows from Investing Activities:
Additions to property, plant and equipment		(172	)		(179	)
Proceeds from sale of assets		5			5
Acquisition of businesses, net of cash acquired		(225	)		(24	)
Net cash from investing activities		(392	)		(198	)
Cash Flows from Financing Activities:
Proceeds from long-term borrowings		1,664			1,391
Repayments on long-term borrowings		(1,675	)		(1,968	)
Proceeds from issuance of common stock		13			21
Repayment of notes receivable		—			2
Payment of tax receivable agreement		(32	)		(5	)
Debt financing costs		(44	)		(39	)
Proceeds from initial public offering		—			438
Net cash from financing activities		(74	)		(160	)
Effect of exchange rate changes on cash		(1	)		(1	)
Net change in cash		(97	)		(62	)
Cash and cash equivalents at beginning of period		142			87
Cash and cash equivalents at end of period	$	45		$	25

See notes to consolidated financial statements.

7

Berry Plastics Group, Inc.

Notes to Consolidated Financial Statements

(Unaudited)

(tables in millions of dollars, except per share data)

1.  Background

Berry Plastics Group, Inc. (“Berry” or the “Company”) is a leading provider of value-added plastic consumer packaging and engineered materials with a track record of delivering high-quality customized solutions to our customers.  Representative examples of our products include drink cups, thin-wall containers, bottles, specialty closures, prescription vials, specialty films, adhesives and corrosion protection materials.  We sell our solutions predominantly into consumer-oriented end-markets, such as food and beverage, healthcare and personal care.   

2.  Basis of Presentation

Berry, through its wholly-owned subsidiaries, operates in four primary segments:  Rigid Open Top, Rigid Closed Top, Engineered Materials, and Flexible Packaging.  The Company’s customers are located principally throughout the United States, without significant concentration in any one region or with any one customer.  The accompanying unaudited Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) pursuant to the rules and regulations of the Securities and Exchange Commission for interim reporting.  Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements.  In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included.  Operating results for the periods presented are not necessarily indicative of the results that may be expected for the full fiscal year.  For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s most recent Form 10-K filed with the Securities and Exchange Commission.  All intercompany transactions have been eliminated.  The Company issued financial statements by filing with the Securities and Exchange Commission and has evaluated subsequent events up to the time of the filing.

In October 2012, the Company completed an initial public offering.  The proceeds, net of transaction fees, of $438 million and cash from operations were used to repurchase $455 million of 11% Senior Subordinated Notes.  In connection with the initial public offering, the Company entered into an income tax receivable agreement that provides for the payment to pre-initial public offering stockholders, option holders and holders of our stock appreciation rights, 85% of the amount of cash savings, if any, in U.S. federal, foreign, state and local income tax that are actually realized (or are deemed to be realized in the case of a change of control) as a result of the utilization of net operating losses of the Company and its subsidiaries attributable to periods prior to the initial public offering.  For further information regarding fiscal 2013 transactions, refer to the consolidated financial statements and footnotes thereto included in the Company’s most recent Form 10-K filed with the Securities and Exchange Commission.

Secondary Public Offerings

In February 2014, we completed a secondary public offering in which certain funds affiliated with Apollo Global Management, LLC (“Apollo”) sold 9.0 million shares of common stock at $22.77 per share.  The selling stockholders received proceeds from the offering of $205 million.  The Company received no proceeds and incurred fees of approximately $1 million related to this offering.

In June 2014, we completed a secondary public offering in which certain funds affiliated with Apollo sold 10.0 million shares of common stock at $23.70 per share.  The selling stockholders received proceeds from the offering of $237 million.  The Company received no proceeds related to this offering.  Following this offering, Apollo’s ownership was approximately 13%.

Other Related Party Transactions

In connection with the term loan refinancing entered into in January 2014 (see Note 6), the Company paid a $1 million underwriting fee to Apollo Global Securities, LLC, an affiliate of Apollo that served as a manager of the offering.

In connection with the initial public offering, the Company entered into an income tax receivable agreement ("TRA") that provides for the payment to pre-initial public offering stockholders, option holders and holders of our stock appreciation rights, 85% of the amount of cash savings, if any, in U.S. federal, foreign, state and local income tax that are actually realized (or are deemed to be realized in the case of a change of control) as a result of the utilization of our and our subsidiaries’ net operating losses attributable to periods prior to the initial public offering.  The Company made $32 million of payments related to the TRA in the first fiscal quarter of 2014, of which Apollo received $28 million.

8

3.  Acquisitions

Graphic Flexible Packaging LLC’s Flexible Plastics and Films

In September 2013, the Company acquired Graphic Flexible Packaging LLC’s flexible plastics and films business (“Graphic”) for a purchase price of $61 million, net of cash acquired.  Graphic is a producer of wraps, films, pouches, and bags for the food, medical, industrial, personal care, and pet food markets.  The Graphic business is operated in the Company’s Flexible Packaging segment.  To finance the purchase, the Company used existing liquidity.  The Graphic acquisition has been accounted for under the purchase method of accounting, and accordingly, the purchase price has been allocated to the identifiable assets and liabilities based on estimated fair values at the acquisition date.  The acquired assets and assumed liabilities consisted of working capital of $9 million, property and equipment of $17 million, intangible assets of $25 million, goodwill of $14 million and other long-term liabilities of $4 million.  The Company expects goodwill to be deductible for tax purposes.

Qingdao P&B Co., Ltd

In January 2014, the Company acquired the controlling interest (75%) of Qingdao P&B Co., Ltd (“P&B”) for a purchase price of $35 million, net of cash acquired.  P&B utilizes thermoform, injection, and automated assembly manufacturing processes to produce products for multiple markets across China as well as globally, most predominately serving the food and personal care markets.  P&B is operated in the Flexible Packaging segment.  To finance the purchase, the Company used existing liquidity.  The P&B acquisition has been accounted for under the purchase method of accounting, and accordingly, the purchase price has been allocated to the identifiable assets and liabilities based on estimated fair values at the acquisition date.  The Company has not finalized the purchase price allocation to the fair values of fixed assets, intangibles and deferred income taxes.  As part of the P&B acquisition, the Non-controlling interest holder has a put option, and the Company has a call option on the remaining 25% interest in P&B that becomes effective three years from the date of purchase.  Upon execution of the put or call option, the purchase price for the remaining equity interest will be determined based on the fair value at the date of execution.  The minority interest of P&B is recorded in temporary equity and will be carried at fair value with adjustments in the fair value being recorded in Additional paid-in capital.  The Company recorded $12 million in Non-controlling interest on the Consolidated Balance Sheets as the initial fair value of the non-controlling shareholder interest.

Rexam Healthcare Containers and Closures

In June 2014, the Company acquired Rexam’s Healthcare Containers and Closures business (“C&C”) for a purchase price of $130 million, net of cash acquired.  The C&C business produces bottles, closures and specialty products for pharmaceutical and over-the-counter applications.  Facilities located in the United States of the newly acquired business are operated in the Rigid Closed Top segment, and locations outside the United States are operated in the Flexible Packaging segment.  To finance the purchase, the Company used existing liquidity.  The C&C acquisition has been accounted for under the purchase method of accounting, and accordingly, the purchase price has been allocated to the identifiable assets and liabilities based on estimated fair values at the acquisition date.  The Company has not finalized the purchase price allocation to the fair values of fixed assets, intangibles, deferred income taxes and is reviewing the working capital acquired.  The Company expects goodwill to be deductible for tax purposes.

4.  Restructuring and Impairment Charges

In November 2013, the Company initiated a cost reduction plan designed to deliver meaningful cost savings and improved equipment utilization. This plan resulted in several plant rationalizations.  As a result of these plant rationalizations the Company has incurred one-time costs associated with facility consolidation, including severance and termination benefits, other costs associated with exiting facilities and non-cash asset impairment charges.

9

	Quarterly Period Ended				Three Quarterly Periods Ended
	June 28, 2014		June 29, 2013		June 28, 2014		June 29, 2013
Rigid Open Top
Severance and termination benefits	$	—	$	—	$	2	$	1
Facility exit costs and other		8		—		8		—
Asset impairment		3		—		3		—
Total	$	11	$	—	$	13	$	1
Rigid Closed Top
Severance and termination benefits	$	—	$	—	$	—	$	2
Facility exit costs and other		—		—		1		1
Asset impairment		—		—		—		—
Total	$	—	$	—	$	1	$	3
Engineered Materials
Severance and termination benefits	$	—	$	—	$	2	$	1
Facility exit costs and other		1		1		1		1
Asset impairment		1		—		3		—
Total	$	2	$	1	$	6	$	2
Flexible Packaging
Severance and termination benefits	$	2	$	—	$	5	$	—
Facility exit costs and other		—		—		3		1
Asset impairment		—		—		—		—
Total	$	2	$	—	$	8	$	1
Consolidated
Severance and termination benefits	$	2	$	—	$	9	$	4
Facility exit costs and other		9		1		13		3
Asset impairment		4		—		6		—
Total	$	15	$	1	$	28	$	7

The table below sets forth the activity with respect to the restructuring accrual at September 28, 2013 and June 28, 2014:

	Severance and termination benefits			Facilities exit costs and other			Non-cash			Total
Balance at September 29, 2012	$	4		$	3		$	—		$	7
Charges		5			3			6			14
Non-cash asset impairment		—			—			(6	)		(6	)
Cash payments		(7	)		(4	)		—			(11	)
Balance at September 28, 2013		2			2			—			4
Charges		9			13			6			28
Non-cash asset impairment		—			—			(6	)		(6	)
Cash payments		(5	)		(6	)		—			(11	)
Balance at June 28, 2014	$	6		$	9		$	—		$	15

5.  Accrued Expenses, Other Current Liabilities and Other Long-Term Liabilities

The following table sets forth the totals included in Accrued expenses and other current liabilities on the Consolidated Balance Sheets.

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	June 28, 2014		September 28, 2013
Employee compensation, payroll and other taxes	$	89	$	86
Interest		57		45
Rebates		51		55
Tax receivable agreement obligation		71		32
Other		88		58
	$	356	$	276

The following table sets forth the totals included in Other long-term liabilities on the Consolidated Balance Sheets.

	June 28, 2014		September 28, 2013
Lease retirement obligation	$	28	$	22
Sale-lease back deferred gain		30		32
Pension liability		38		43
Tax receivable agreement obligation		206		277
Other		20		13
	$	322	$	387

6.  Long-Term Debt

Long-term debt consists of the following:

	Maturity Date	June 28, 2014			September 28, 2013
Term loan	January 2021	$	1,125		$	1,125
Term loan	February 2020		1,386			1,397
Revolving line of credit	June 2016		39			—
5½% Second Priority Senior Secured Notes	May 2022		500			—
9¾% Second Priority Senior Secured Notes	January 2021		800			800
Retired debt			—			518
Debt discount, net			(20	)		(8	)
Capital leases and other	Various		125			114
			3,955			3,946
Less current portion of long-term debt			(56	)		(71	)
		$	3,899		$	3,875

The Company’s senior secured credit facilities consist of $2.5 billion of term loans and a $650 million asset based revolving line of credit.  The availability under the revolving line of credit is the lesser of $650 million or based on a defined borrowing base which is calculated based on available accounts receivable and inventory.  The revolving line of credit allows up to $130 million of letters of credit to be issued instead of borrowings under the revolving line of credit.  At June 28, 2014, the Company had a $39 million outstanding balance on the revolving credit facility, $37 million outstanding letters of credit and no borrowing base reserve providing unused borrowing capacity of $574 million under the revolving line of credit. The Company was in compliance with all covenants as of June 28, 2014.

Term Loan Refinancing

In January 2014, the Company entered into an incremental assumption agreement to increase the commitments under the  existing term loan credit agreement by $1,125 million.  The Company borrowed loans in an aggregate principal amount equal to the full amount of the commitments on such date. The incremental term loan bears interest at LIBOR plus 2.75% per annum with a LIBOR floor of 1.00%, mature in January 2021 and is subject to customary amortization. The proceeds from the incremental term loan, in addition to existing liquidity, were used to satisfy the outstanding term loan facility that was to mature in April 2015.  The Company recognized a $2 million loss on extinguishment of debt and recorded $9 million of debt discount related to this debt refinancing.

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5½% Second Priority Senior Secured Notes

In May 2014, the Company issued $500 million of 5½% second priority senior secured notes due May 2022.  Interest on the 5½% second priority senior secured notes is due semi-annually on May 15 and November 15.  Proceeds from the issuance, in addition to existing liquidity, were used to satisfy and discharge all of the outstanding 9½% second priority senior secured notes.  The Company recognized a $33 million loss on extinguishment of debt and recorded $5 million of debt discount related to this refinancing.

Senior Unsecured Term Loan

In June 2014, the Company used existing liquidity to satisfy Berry Plastics Group’s outstanding senior unsecured term loan.  The net cash impact of the of the discharge was $18 million as BP Parallel LLC, a non-guarantor subsidiary of the Company, had purchased assignments of approximately 98% of the total outstanding senior unsecured term loan in prior years.

7.  Financial Instruments and Fair Value Measurements

As part of the overall risk management, the Company uses derivative instruments to reduce exposure to changes in interest rates attributed to the Company’s floating-rate borrowings.  For those derivative instruments that are designated and qualify as hedging instruments, the Company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge, or a hedge of a net investment in a foreign operation.  To the extent hedging relationships are found to be effective, as determined by FASB guidance, changes in fair value of the derivatives are offset by changes in the fair value of the related hedged item are recorded to Accumulated other comprehensive loss.  Management believes hedge effectiveness is evaluated properly in preparation of the financial statements.

Cash Flow Hedging Strategy

For derivative instruments that are designated and qualify as cash flow hedges, the effective portion of the gain or loss on the derivative instrument is reported as a component of Accumulated other comprehensive loss and reclassified into earnings in the same line item associated with the forecasted transaction and in the same period or periods during which the hedged transaction affects earnings.

In November 2010, the Company entered into two separate interest rate swap transactions to manage cash flow variability associated with $1 billion of the outstanding variable rate term loan debt (the “2010 Swaps”).  The first agreement had a notional amount of $500 million and became effective in November 2010.  The agreement swapped three month variable LIBOR contracts for a fixed three year rate of 0.8925% and expired in November 2013.  The second agreement had a notional amount of $500 million and became effective in December 2010.  The agreement swapped three month variable LIBOR contracts for a fixed three year rate of 1.0235% and expired in November 2013.  In August 2011, the Company began utilizing 1-month LIBOR contracts for the underlying senior secured credit facility.  The Company’s change in interest rate selection caused the Company to lose hedge accounting on both of the interest rate swaps.  The Company recorded subsequent changes in fair value in the Consolidated Statement of Operations and amortized the unrealized losses to Interest expense through November 2013.

In February 2013, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt (the "2013 Swap"). The agreement swapped the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.355%, with an effective date in May 2016 and expiration in May 2019.  In June 2013, the Company elected to settle this derivative instrument and received $16 million as a result of this settlement.  The offset is included in Accumulated other comprehensive loss and will be amortized to Interest expense from May 2016 through May 2019, the original term of the swap agreement.

In March 2014, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt (the "2014 Swap"). The agreement swaps the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.59%, with an effective date in February 2016 and expiration in February 2019.  The Company records changes in fair value in Accumulated other comprehensive income.

Derivatives instruments	Balance Sheet Location	June 28, 2014		September 28, 2013
Interest rate swap — 2014 Swap	Other long-term liabilities	$	7	$	—
Interest rate swap — 2010 Swaps	Other long-term liabilities	$	—	$	1

12

The effect of the derivative instruments on the Consolidated Statement of Operations is as follows:

		Quarterly Period Ended					Three Quarterly Periods Ended
Derivatives not designated as hedging instruments under FASB guidance	Statement of Operations Location	June 28, 2014		June 29, 2013			June 28, 2014			June 29, 2013
Interest rate swap — 2010 Swaps	Other income	$	—	$	(1	)	$	(1	)	$	(4	)
	Interest expense	$	—	$	1		$	1		$	3

Non-recurring Fair Value Measurements

The Company has certain assets that are measured at fair value on a non-recurring basis when impairment indicators are present.  The assets are adjusted to fair value only when the carrying values exceed the fair values.  The categorization of the framework used to price the assets is considered a Level 3, due to the subjective nature of the unobservable inputs used to determine the fair value.  These assets include primarily our definite lived and indefinite lived intangible assets, including Goodwill and our property plant and equipment.  The Company annually conducts a qualitative screen analysis for each of our reporting units to determine if it is more likely than not that a goodwill impairment exists and also performs a qualitative screen analysis to determine if any of our indefinite lived intangible assets may be impaired.  If the conclusion is that it is more likely than not that an impairment may exist, the Company will perform a step one impairment evaluation of goodwill or other indefinite lived intangibles.  Our annual analysis is performed as of the first date of the fourth quarter.  We completed this assessment in the fourth quarter of 2013 and have not recorded any impairment charges.  We utilize a methodology, which leverages a six year discounted cash flow analysis with a terminal year in combination with a comparable company market approach to determine the fair value of our reporting units.

Included in the following table are the major categories of assets measured at fair value on a non-recurring basis as of June 28, 2014 and September 28, 2013, along with the impairment loss recognized on the fair value measurement during the period:

	As of June 28, 2014
	Level 1		Level 2		Level 3
	Quoted Prices in Active Markets for Identical Assets or Liabilities		Significant Other Observable Inputs		Significant Unobservable Inputs		Total		Three Quarterly Periods Ended June 28, 2014 Impairment Loss
Indefinite-lived trademarks	$	—	$	—	$	207	$	207	$	—
Goodwill		—		—		1,652		1,652		—
Definite lived intangible assets		—		—		615		615		—
Property, plant, and equipment		—		—		1,406		1,406		6
Total	$	—	$	—	$	3,880	$	3,880	$	6

	As of September 28, 2013
	Level 1		Level 2		Level 3
	Quoted Prices in Active Markets for Identical Assets or Liabilities		Significant Other Observable Inputs		Significant Unobservable Inputs		Total		Fiscal 2013  Impairment Loss
Indefinite-lived trademarks	$	—	$	—	$	207	$	207	$	—
Goodwill		—		—		1,634		1,634		—
Definite lived intangible assets		—		—		649		649		5
Property, plant, and equipment		—		—		1,266		1,266		—
Total	$	—	$	—	$	3,756	$	3,756	$	5

Valuation of Property, Plant and Equipment and Definite Lived Intangible Assets

The Company periodically realigns its manufacturing operations which results in facilities being closed and equipment transferred to other facilities or equipment being scrapped.  The Company utilizes appraised values to corroborate the fair value of the facilities and has utilized a scrap value based on prior facility shut downs to estimate the fair value of the equipment, which has approximated the actual value that was received.  When impairment indicators exist, the Company will also perform an undiscounted cash flow analysis to determine the recoverability of the Company’s property, plant and equipment and definite lived intangibles.

13

The Company’s financial instruments consist primarily of cash and cash equivalents, long-term debt and capital lease obligations.  The fair value of our long-term indebtedness exceeded book value by $117 million as of June 28, 2014.  The Company’s long-term debt fair values were determined using Level 2 inputs as other significant observable inputs were not available.    

8.  Income Taxes

The effective tax rate was negative 42% and 38% for the three quarterly periods ended June 28, 2014 and June 29, 2013, respectively.  As a result of the completion of the review of the Company’s pre-filing agreement with the Internal Revenue Service, the Company recognized cumulative research and development tax credits in the amount of $18 million during the quarterly period ended June 28, 2014.  A reconciliation of income tax benefit, computed at the federal statutory rate, to income tax benefit, as provided for in the financial statements, is as follows:

	Quarterly Period Ended						Three Quarterly Periods Ended
	June 28, 2014			June 29, 2013			June 28, 2014			June 29, 2013
Income tax expense (benefit) computed at statutory rate	$	(2	)	$	22		$	8		$	18
State income tax benefit, net of federal taxes		—			1			—			1
Uncertain tax position		—			—			(1	)		—
Change in valuation allowance		1			—			1			1
Research and development credits		(18	)		—			(18	)		—
Other		—			(1	)		—			(1	)
Income tax expense (benefit)	$	(19	)	$	22		$	(10	)	$	19

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9.  Operating Segments

Berry’s operations are organized into four reportable segments: Rigid Open Top, Rigid Closed Top, Engineered Materials, and Flexible Packaging.  The Company has manufacturing and distribution centers in the United States, Canada, Mexico, Belgium, France, Australia, Germany, Brazil, Malaysia, India, China, and the Netherlands.  The North American operation represents 95% of the Company’s net sales, 93% of total long-lived assets, and 95% of the total assets.  Selected information by reportable segment is presented in the following table: 

	Quarterly Period Ended				Three Quarterly Periods Ended
	June 28, 2014		June29, 2013		June 28, 2014		June 29, 2013
Net sales:
Rigid Open Top	$	303	$	312	$	820	$	828
Rigid Closed Top		381		370		1,073		1,036
Rigid Packaging	$	684	$	682	$	1,893	$	1,864
Engineered Materials		371		351		1,081		1,030
Flexible Packaging		243		188		674		549
Total net sales	$	1,298	$	1,221	$	3,648	$	3,443
Operating income:
Rigid Open Top	$	1	$	35	$	20	$	95
Rigid Closed Top		38		43		101		97
Rigid Packaging	$	39	$	78	$	121	$	192
Engineered Materials		33		31		90		88
Flexible Packaging		11		8		12		16
Total operating income	$	83	$	117	$	223	$	296
Depreciation and amortization:
Rigid Open Top	$	23	$	23	$	70	$	68
Rigid Closed Top		33		33		93		98
Rigid Packaging	$	56	$	56	$	163	$	166
Engineered Materials		19		18		56		53
Flexible Packaging		16		12		42		39
Total depreciation and amortization	$	91	$	86	$	261	$	258

	June 28, 2014		September 28, 2013
Total assets:
Rigid Open Top	$	1,853	$	1,805
Rigid Closed Top		1,982		1,964
Rigid Packaging	$	3,835	$	3,769
Engineered Materials		781		817
Flexible Packaging		803		549
Total assets	$	5,419	$	5,135
Goodwill:
Rigid Open Top	$	681	$	681
Rigid Closed Top		828		831
Rigid Packaging	$	1,509	$	1,512
Engineered Materials		73		73
Flexible Packaging		70		49
Total goodwill	$	1,652	$	1,634

15

10.  Guarantor and Non-Guarantor Financial Information  

Berry Plastics Corporation (“Issuer”) has notes outstanding which are fully, jointly, severally, and unconditionally guaranteed by substantially all of Berry’s domestic subsidiaries.  Separate narrative information or financial statements of the guarantor subsidiaries have not been included because they are 100% owned by the parent company and the guarantor subsidiaries unconditionally guarantee such debt on a joint and several basis.  A guarantee of a guarantor of the securities will terminate upon the following customary circumstances:  the sale of the capital stock of such guarantor if such sale complies with the indenture, the designation of such guarantor as an unrestricted subsidiary, the defeasance or discharge of the indenture, as a result of the holders of certain other indebtedness foreclosing on a pledge of the shares of a guarantor subsidiary or if such guarantor no longer guarantees certain other indebtedness of the issuer.  The guarantees are also limited as necessary to prevent them from constituting a fraudulent conveyance under applicable law and guarantees guaranteeing subordinated debt are subordinated to certain other of the Company’s debts.  Presented below is condensed consolidating financial information for the parent, issuer, guarantor subsidiaries and non-guarantor subsidiaries.  Our issuer and guarantor financial information includes all of our domestic operating subsidiaries, our non-guarantor subsidiaries include our foreign subsidiaries and BP Parallel, LLC.  BP Parallel, LLC is the entity that we established to buyback debt securities of Berry Plastics Group, Inc. and Berry Plastics Corporation.  Berry Plastics Group, Inc. uses the equity method to account for its ownership in Berry Plastics Corporation in the Condensed Consolidating Supplemental Financial Statements.  Berry Plastics Corporation uses the equity method to account for its ownership in the guarantor and non-guarantor subsidiaries.  All consolidating entries are included in the eliminations column along with the elimination of intercompany balances.

In June 2014, the Company used existing liquidity to satisfy Berry Plastics Group’s outstanding senior unsecured term loan.  BP Parallel LLC had purchased assignments of approximately 98% of the total outstanding senior unsecured term loan in prior years.

Condensed Supplemental Consolidated Balance Sheet

	June 28, 2014
	Parent			Issuer		Guarantor Subsidiaries		Non— Guarantor Subsidiaries		Eliminations			Total
Current assets		242			100		961		205		—			1,508
Intercompany receivable		—			3,405		—		114		(3,519	)		—
Property, plant, and equipment, net		—			98		1,166		142		—			1,406
Other assets		64			1,367		2,258		113		(1,297	)		2,505
Total assets	$	306		$	4,970	$	4,385	$	574	$	(4,816	)	$	5,419
Current liabilities		71			214		475		94		—			854
Intercompany payable		(315)			—		3,836		—		(3,521	)		—
Other long-term liabilities		668			3,966		45		4		—			4,683
Non-controlling interest		12			—		—		12		(12	)		12
Stockholders’ equity (deficit)		(130	)		790		29		464		(1,283	)		(130	)
Total liabilities and stockholders’ equity (deficit)	$	306		$	4,970	$	4,385	$	574	$	(4,816	)	$	5,419

	September 28, 2013
	Parent			Issuer		Guarantor Subsidiaries			Non— Guarantor Subsidiaries		Eliminations			Total
Current assets		139			186		864			158		(10	)		1,337
Intercompany receivable		348			3,448		—			40		(3,836	)		—
Property, plant and equipment, net		—			115		1,079			72		—			1,266
Other assets		768			1,054		2,277			737		(2,304	)		2,532
Total assets	$	1,255		$	4,803	$	4,220		$	1,007	$	(6,150	)	$	5,135
Current liabilities		41			197		374			83		(11	)		684
Intercompany payable		—			—		3,837			—		(3,837	)		—
Other long-term liabilities		1,410			3,919		44			6		(732	)		4,647
Stockholders’ equity (deficit)		(196	)		687		(35	)		918		(1,570	)		(196	)
Total liabilities and stockholders’ equity (deficit)	$	1,255		$	4,803	$	4,220		$	1,007	$	(6,150	)	$	5,135

16

Condensed Supplemental Consolidated Statements of Operations

	Quarterly Period Ended June 28, 2014
	Parent			Issuer			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Total
Net sales	$	—		$	165		$	1,019		$	114		$	—		$	1,298
Cost of goods sold		—			145			854			90			—			1,089
Selling, general and administrative		—			13			62			10			—			85
Amortization of intangibles		—			3			21			2			—			26
Restructuring and impairment charges		—			—			15			—			—			15
Operating income (loss)		—			4			67			12			—			83
Debt extinguishment		—			33			—			—			—			33
Other income, net		—			—			(2	)		—			—			(2	)
Interest expense, net		10			7			43			(35	)		31			56
Equity in net income of subsidiaries		(6	)		(73	)		—			—			79			—
Income (loss) before income taxes		(4	)		37			26			47			(110	)		(4	)
Income tax expense (benefit)		(19	)		(7	)		—			1			6			(19	)
Consolidated net income (loss)	$	15		$	44		$	26		$	46		$	(116	)	$	15
Net income attributable to noncontrolling interests		—			—			—			—			—			—
Net income (loss) attributable to the Company	$	15		$	44		$	26		$	46		$	(116	)	$	15
Comprehensive  income (loss)	$	15		$	39		$	26		$	48		$	(116	)	$	12

	Quarterly Period Ended June 29, 2013
	Parent			Issuer			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Total
Net sales	$	—		$	146		$	978	$	97		$	—		$	1,221
Cost of goods sold		—			118			793		87			—			998
Selling, general and administrative expenses		—			12			58		8			—			78
Amortization of intangibles		—			3			22		2			—			27
Restructuring and impairment charges		—			1			—		—			—			1
Operating income (loss)		—			12			105		—			—			117
Debt extinguishment		—			—			—		—			—			—
Other income, net		—			(4	)		2		—			—			(2	)
Interest expense, net		12			1			49		(29	)		24			57
Equity in net income of subsidiaries		(74	)		(82	)		—		—			156			—
Income (loss) before income taxes		62			97			54		29			(180	)		62
Income tax expense (benefit)		22			32			—		1			(33	)		22
Consolidated net income (loss)	$	40		$	65		$	54	$	28		$	(147	)	$	40
Comprehensive  income (loss)	$	40		$	77		$	54	$	21		$	(147	)	$	45

17

	Three Quarterly Periods Ended June 28, 2014
	Parent			Issuer			Guarantor Subsidiaries			Non— Guarantor Subsidiaries			Eliminations			Total
Net sales	$	—		$	466		$	2,884		$	298		$	—		$	3,648
Cost of goods sold		—			417			2,424			235			—			3,076
Selling, general and administrative expenses		—			47			172			25			—			244
Amortization of intangibles		—			7			64			6			—			77
Restructuring and impairment charges		—			—			28			—			—			28
Operating income (loss)		—			(5	)		196			32			—			223
Debt extinguishment		—			35			—			—			—			35
Other income, net		—			(1	)		(2	)		—			—			(3	)
Interest expense, net		34			20			133			(102	)		83			168
Equity in net income of subsidiaries		(57	)		(196	)		—			—			253			—
Income (loss) before income taxes		23			137			65			134			(336	)		23
Income tax expense (benefit)		(10	)		29			—			3			(32	)		(10	)
Consolidated net income (loss)	$	33		$	108		$	65		$	131		$	(304	)	$	33
Net income attributable to noncontrolling interests		—			—			—			—			—			—
Net income (loss) attributable to the Company	$	33		$	108		$	65		$	131		$	(304	)	$	33
Comprehensive  income (loss)	$	33		$	105		$	65		$	129		$	(304	)	$	28

Consolidating Statement of Cash Flows
Cash Flows from Operating Activities	$	—		$	29		$	316		$	25		$	—		$	370
Cash Flows from Investing Activities
Additions to  property, plant, and equipment		—			(10	)		(155	)		(7	)		—			(172	)
Proceeds from sale of assets		—			—			5			—			—			5
(Contributions) distributions to/from subsidiaries		727			(6)			—			—			(721)			—
Proceeds from sale of investments		—			—			—			721			(721)			—
Intercompany advances (repayments)		—			(93	)		—			—			93			—
Acquisition of businesses, net of cash acquired		—			—			(135	)		(90	)		—			(225	)
Net cash from investing activities		727			(109	)		(285	)		624			(1,349)			(392	)
Cash Flows from Financing Activities
Proceeds from long-term borrowings		—			1,664			—			—			—			1,664
Proceeds from issuance of common stock		13			—			—			—			—			13
Payment of tax receivable agreement		(32	)		—			—			—			—			(32	)
Debt financing costs		—			(44	)		—			—			—			(44	)
(Contributions) distribution to/from subsidiaries		—			—			—			(721	)		721			—
Repayments on long-term borrowings		(740	)		(1,656	)		—			—			721			(1,675	)
Changes in intercompany balances		32			—			(30	)		91			(93	)		—
Net cash from financing activities		(727	)		(36	)		(30	)		(630	)		1,349			(74	)
Effect of exchange rate changes on cash		—			—			—			(1	)		—			(1	)
Net change in cash		—			(116	)		1			18			—			(97	)
Cash and cash equivalents at beginning of period		—			116			—			26			—			142
Cash and cash equivalents at end of period	$	—		$	—		$	1		$	44		$	—		$	45

18

	Three Quarterly Periods Ended June 29, 2013
	Parent			Issuer			Guarantor Subsidiaries			Non— Guarantor Subsidiaries			Eliminations			Total
Net sales	$	—		$	416		$	2,746		$	281		$	—		$	3,443
Cost of goods sold		—			373			2,230			226			—			2,829
Selling, general and administrative expenses		—			29			176			25			—			230
Amortization of intangibles		—			9			67			5			—			81
Restructuring and impairment charges		—			1			6			—			—			7
Operating income (loss)		—			4			267			25			—			296
Debt extinguishment		—			64			—			—			—			64
Other income, net		—			(8	)		2			—			—			(6	)
Interest expense, net		34			18			153			(89	)		72			188
Equity in net income of subsidiaries		(84	)		(225	)		—			—			309			—
Income (loss) before income taxes		50			155			112			114			(381	)		50
Income tax expense (benefit)		19			56			(1	)		2			(57	)		19
Consolidated net income (loss)	$	31		$	99		$	113		$	112		$	(324	)	$	31
Comprehensive  income (loss)	$	31		$	111		$	113		$	103		$	(324	)	$	34

Consolidating Statement of Cash Flows
Cash Flows from Operating Activities	$	—		$	15		$	276		$	6		$	—		$	297
Cash Flows from Investing Activities
Additions to  property, plant, and equipment		—			(12	)		(154	)		(13	)		—			(179	)
Proceeds from sale of assets		—			—			5			—			—			5
Investment in Parent		—			—			—			(21	)		21			—
(Contributions) distributions to/from subsidiaries		(456	)		435			—			—			21			—
Intercompany advances (repayments)		—			101			—			—			(101	)		—
Acquisition of businesses, net of cash acquired		—			—			(24	)		—			—			(24	)
Net cash from investing activities		(456	)		524			(173	)		(34	)		(59	)		(198	)
Cash Flows from Financing Activities
Proceeds from long-term borrowings		—			1,391			—			—			—			1,391
Proceeds from issuance of common stock		21			—			—			—			—			21
Proceeds from initial public offering		438			—			—			—			—			438
Repayment of notes receivable		2			2			—			—			(2	)		2
Payment of tax receivable agreement		(5	)		(5	)		—			—			5			(5	)
Debt financing costs		—			(39	)		—			—			—			(39	)
Repayments on long-term borrowings		—			(1,947	)		—			—			(21	)		(1,968	)
Changes in intercompany balances		—			—			(103	)		5			98			—
Contribution from Issuer		—			—			—			21			(21	)		—
Net cash from financing activities		456			(598	)		(103	)		26			59			(160	)
Effect of exchange rate changes on cash		—			—			—			(1	)		—			(1	)
Net change in cash		—			(59	)		—			(3	)		—			(62	)
Cash and cash equivalents at beginning of period		—			66			—			21			—			87
Cash and cash equivalents at end of period	$	—		$	7		$	—		$	18		$	—		$	25

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11.  Contingencies and Commitments

The Company is party to various legal proceedings involving routine claims which are incidental to the business.  Although the legal and financial liability with respect to such proceedings cannot be estimated with certainty, the Company believes that any ultimate liability would not be material to the business, financial condition, results of operations or cash flows of the Company.

12.  Basic and Diluted Net Income per Share

Basic net income per share is calculated by dividing the net income attributable to common stockholders by the weighted-average number of common shares outstanding during the period, without consideration for common stock equivalents.  Diluted net income per share is computed by dividing the net income attributable to common stockholders by the weighted-average number of common share equivalents outstanding for the period determined using the treasury-stock method and the if-converted method.  For purposes of this calculation, stock options are considered to be common stock equivalents and are only included in the calculation of diluted net income per share when their effect is dilutive.  The Company’s redeemable common stock is included in the weighted-average number of common shares outstanding for calculating basic and diluted net income per share. 

The following tables and discussion provide a reconciliation of the numerator and denominator of the basic and diluted net income per share computations.  The calculation below provides net income on both basic and diluted basis for the quarterly period ended June 28, 2014 and June 29, 2013.

	Quarterly Period Ended				Three Quarterly Periods Ended
	June 28, 2014		June 29, 2013		June 28, 2014		June 29, 2013
Net income	$	15	$	40	$	33	$	31
Weighted average shares of common stock outstanding--basic (in thousands)		117,304		114,132		116,609		112,839
Other common stock equivalents  (in thousands)		4,173		6,419		4,203		5,869
Weighted average shares of common stock outstanding--diluted  (in thousands)		121,477		120,551		120,812		118,708
Basic net income per share available to common shareholders	$	0.13	$	0.35	$	0.28	$	0.27
Diluted net income per share available to common shareholders	$	0.12	$	0.33	$	0.27	$	0.26

13.  Comprehensive Income

Comprehensive income is comprised of net income and other comprehensive income (loss).  Other comprehensive losses include net unrealized gains or losses resulting from currency translations of foreign subsidiaries, changes in the value of our derivative instruments and adjustments to the pension liability.  

The balances related to each component of other comprehensive income (loss) during the three months ended June 28, 2014 were as follows: 

	Currency Translation			Defined Benefit Pension and Retiree Health Benefit Plans			Interest Rate Hedges			Accumulated Other Comprehensive Loss
Balance as of March 29, 2014	$	(24	)	$	(8	)	$	12		$	(20	)
Other comprehensive income (loss)		4			-			(10	)		(6	)
Tax benefit		-			-			3			3
Balance as of June 28, 2014	$	(20	)	$	(8	)	$	5		$	(23	)

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The accumulated balances related to each component of other comprehensive income (loss) during the nine months ended June 28, 2014 were as follows: 

	Currency Translation			Defined Benefit Pension and Retiree Health Benefit Plans			Interest Rate Hedges			Accumulated Other Comprehensive Loss
Balance as of September 28, 2013	$	(20	)	$	(8	)	$	10		$	(18	)
Other comprehensive loss		-			-			(7	)		(7	)
Tax benefit		-			-			2			2
Balance as of June 28, 2014	$	(20	)	$	(8	)	$	5		$	(23	)

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Part II.  Other Information

Item 2.     Management’s Discussion and Analysis of Financial Condition and Results of Operations

Unless the context requires otherwise, references in this Management's Discussion and Analysis of Financial Condition and Results of Operations to the “Company” refer to Berry Plastics Group, Inc, and references to “we,” “our” or “us” refer to Berry Plastics Group, Inc. together with its consolidated subsidiaries, after giving effect to the transactions described in the next paragraph.  You should read the following discussion in conjunction with the consolidated financial statements of the Company and its subsidiaries and the accompanying notes thereto, which information is included elsewhere herein.  This discussion contains forward-looking statements and involves numerous risks and uncertainties, including, but not limited to, those described in our most recent Form 10-K in the section titled “Risk Factors” and other risk factors identified from time to time in our periodic filings with the SEC.  Our actual results may differ materially from those contained in any forward-looking statements.  You should read the explanation of the qualifications and limitations on these forward-looking statements referenced within this report.

Acquisitions

We have a long history of acquiring and integrating companies.  We maintain an opportunistic acquisition strategy, which is focused on improving our long-term financial performance, enhancing our market positions and expanding our product lines or, in some cases, providing us with a new or complementary product line.  In our acquisitions, we seek to obtain businesses for attractive post-synergy multiples, creating value for our stockholders from synergy realization, leveraging the acquired products across our customer base, creating new platforms for future growth, and assuming best practices from the businesses we acquire. 

The Company has included the expected benefits of acquisition integrations within our unrealized synergies, which are in turn recognized in earnings after an acquisition has been fully integrated.  While the expected benefits on earnings is estimated at the commencement of each transaction, once the execution of the plan and integration occur, we are generally unable to accurately estimate or track what the ultimate effects have been due to system integrations and movements of activities to multiple facilities.  As historical business combinations have not allowed us to accurately separate realized synergies compared to what was initially identified, we measure the synergy realization based on the overall segment profitability post integration.  In connection with our acquisitions, we have in the past and may in the future incur charges related to reductions and rationalizations. 

We also include the expected impact of our restructuring plans within our unrealized synergies, which are in turn recognized in earnings after the restructuring plans are completed.  While the expected benefits on earnings is estimated at the commencement of each plan, due to the nature of the matters we are generally unable to accurately estimate or track what the ultimate effects have been due to movements of activities to multiple facilities. 

Graphic Flexible Packaging LLC’s Flexible Plastics and Films

In September 2013, the Company acquired Graphic Flexible Packaging LLC’s flexible plastics and films business (“Graphic”) for a purchase price of $61 million, net of cash acquired.  Graphic is a producer of wraps, films, pouches, and bags for the food, medical, industrial, personal care, and pet food markets.  The Graphic business is operated in the Flexible Packaging segment.  To finance the purchase, the Company used existing liquidity.

Qingdao P&B Co., Ltd

In January 2014, the Company acquired the controlling interest (75%) of Qingdao P&B Co., Ltd (“P&B”) for a purchase price of $35 million, net of cash acquired.  P&B utilizes thermoform, injection, and automated assembly manufacturing processes to produce products for multiple markets across China as well as globally, most predominately serving the food and personal care markets.  P&B is operated in the Flexible Packaging segment.  To finance the purchase, the Company used existing liquidity.

Rexam Healthcare Containers and Closures

In June 2014, the Company acquired Rexam’s Healthcare Containers and Closures business (“C&C”) for a purchase price of $130 million, net of cash acquired.  The C&C business produces bottles, closures and specialty products for pharmaceutical and over-the-counter applications.  Facilities located in the United States of the newly acquired business are operated in the Rigid Closed Top segment, and locations outside the United States are operated in the Flexible Packaging segment.  To finance the purchase, the Company used existing liquidity.

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Recent Developments

2014 Cost Reduction Plan

In November 2013, the Company initiated a cost reduction plan designed to deliver meaningful cost savings and improved equipment utilization. This plan resulted in several plant rationalizations.  As a result of these plant rationalizations the Company has incurred one-time costs associated with facility consolidation, including severance and termination benefits, other costs associated with exiting facilities and non-cash asset impairment charges.

Term Loan Refinancing

In January 2014, the Company entered into an incremental assumption agreement to increase the commitments under the Company’s existing term loan credit agreement by $1,125 million.  The Company borrowed loans in an aggregate principal amount equal to the full amount of the commitments on such date. The incremental term loan bears interest at LIBOR plus 2.75% per annum with a LIBOR floor of 1.00%, mature in January 2021 and are subject to customary amortization. The proceeds from the incremental term loan, in addition to existing liquidity, were used to satisfy the outstanding term loan facility with that was to mature in April 2015.

5½% Second Priority Senior Secured Notes

In May 2014, the Company issued $500 million of 5½% second priority senior secured notes due 2022.  Interest on the 5½% second priority senior secured notes is due semi-annually on May 15 and November 15.  Proceeds from the issuance, in addition to existing liquidity, were used to satisfy and discharge all of the outstanding 9½% second priority senior secured notes.

Senior Unsecured Term Loan

In June 2014, the Company used existing liquidity to satisfy Berry Plastics Group’s outstanding senior unsecured term loan.  The net cash impact of the of the discharge was $18 million as BP Parallel LLC, a non-guarantor subsidiary of the Company, had purchased assignments of approximately 98% of the total outstanding senior unsecured term loan in prior years.

Secondary Public Offerings

In February 2014, we completed a secondary public offering in which certain funds affiliated with Apollo Global Management, LLC (“Apollo”) sold 9.0 million shares of common stock at $22.77 per share.  The selling stockholders received proceeds from the offering of $205 million.  The Company received no proceeds and incurred fees of approximately $1 million related to this offering.

In June 2014, we completed a secondary public offering in which certain funds affiliated with Apollo sold 10.0 million shares of common stock at $23.70 per share.  The selling stockholders received proceeds from the offering of $237 million.  The Company received no proceeds related to this offering.  Following this offering, Apollo’s ownership was approximately 13%.

Interest Rate Swap

In March 2014, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt. The agreement swapped the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.59%, with an effective date in February 2016 and expiration in February 2019.

Executive Summary

Business.  We operate in the following four segments: Rigid Open Top, Rigid Closed Top (together our Rigid Packaging business), Engineered Materials, and Flexible Packaging.  The Rigid Packaging business sells primarily containers, foodservice items, closures, overcaps, bottles, prescription containers, and tubes.  Our Engineered Materials segment primarily sells pipeline corrosion protection solutions, tapes and adhesives, PE-based film products and can liners.  The Flexible Packaging segment primarily sells high barrier, multilayer film products as well as finished flexible packages such as printed bags and pouches. 

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Raw Material Trends.Our primary raw material is plastic resin.  Polypropylene and polyethylene account for approximately 90% of our plastic resin purchases based on the pounds purchased.  Plastic resins are subject to price fluctuations, including those arising from supply shortages and changes in the prices of natural gas, crude oil and other petrochemical intermediates from which resins are produced.  The average industry prices, as published in Chem Data, per pound were as follows by fiscal year:

	Polyethylene Butene Film						Polypropylene
	2014		2013		2012		2014		2013		2012
1st quarter	$	.82	$	.69	$	.68	$	.89	$	.76	$	.79
2nd quarter		.85		.74		.76		.95		.96		.88
3rd quarter		.86		.77		.72		.91		.84		.85
4th quarter		—		.79		.68		—		.89		.71

Due to differences in the timing of passing through resin cost changes to our customers on escalator/de-escalator programs, segments are negatively impacted in the short term when plastic resin costs increase and are positively impacted when plastic resin costs decrease.  This timing lag in passing through raw material cost changes could affect our results as plastic resin costs fluctuate. 

Outlook.  The Company is impacted by general economic and industrial growth, plastic resin availability and affordability, and general industrial production.  Our business has both geographic and end market diversity, which reduces the effect of any one of these factors on our overall performance.  Our results are affected by our ability to pass through raw material cost changes to our customers, improve manufacturing productivity and adapt to volume changes of our customers.  We seek to improve our overall profitability by implementing cost reduction programs associated with our manufacturing, selling and general and administrative expenses.

As we look ahead to the remainder of fiscal 2014, based on trends we are seeing, we are reconfirming our guidance of $270 million of Adjusted Free Cash Flow for fiscal 2014.  This estimate assumes flat pricing on plastic resin costs, no change in short term interest rates and benefits and costs from the restructuring program initiatives.

Results of Operations

Comparison of the Quarterly Period Ended June 28, 2014 (the “Quarter”) and the Quarterly Period Ended June 29, 2013 (the “Prior Quarter”)

Net Sales.  Net sales increased from $1,221 million in the Prior Quarter to $1,298 million in the Quarter.  This increase is primarily attributed to net sales from businesses acquired in the last twelve months of 4% and selling price increases of 2% due to higher resin prices shown above.  The following discussion in this section provides a comparison of net sales by business segment.

	Quarterly Period Ended
	June 28, 2014		June 29, 2013		$ Change			% Change
Net sales:
Rigid Open Top	$	303	$	312	$	(9	)		(3	%)
Rigid Closed Top		381		370		11			3	%
Rigid Packaging	$	684	$	682	$	2			0	%
Engineered Materials		371		351		20			6	%
Flexible Packaging		243		188		55			29	%
Total net sales	$	1,298	$	1,221	$	77			6	%

Net sales in the Rigid Open Top segment decreased from $312 million in the Prior Quarter to $303 million in the Quarter as a result of a volume decline of 6% partially offset by net selling price increases of 3%.  The volume decline was primarily attributed to market softness in our thin-wall container product offerings.  Net sales in the Rigid Closed Top segment increased from $370 million in the Prior Quarter to $381 million in the Quarter as a result of the C&C acquisition volume of 4% and base volume growth of 1% partially offset by net selling price decrease of 1% and product realignment of 1%.  The Engineered Materials segment net sales increased from $351 million in the Prior Quarter to $371 million in the Quarter as a result of net selling price increases of 4% and base volume growth of 3% partially offset by exited business of 2%.  The Flexible Packaging segment net sales increased from $188 million in the Prior Quarter to $243 million in the Quarter as a result of Graphic, P&B and C&C acquisition volume of 23%, base volume growth of 1%, product realignment of 2% and net selling price increases of 3%.

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Operating Income.  Operating income decreased from $117 million (10% of net sales) in the Prior Quarter to $83 million (6% of net sales) in the Quarter.  This decrease is primarily attributed to $33 million increase in business integration expense, $5 million of raw material and freight cost inflation in excess of net selling prices, $6 million from base volume change described above and a $2 million increase in selling, general and administrative expenses partially offset by $10 million improvement in operating performance in manufacturing and a $2 million benefit from businesses acquired in the last twelve months.  The following discussion in this section provides a comparison of operating income by business segment.

	Quarterly Period Ended
	June 28, 2014		June 29, 2013		$ Change			% Change
Operating income:
Rigid Open Top	$	1	$	35	$	(34	)		(97	%)
Rigid Closed Top		38		43		(5	)		(12	%)
Rigid Packaging	$	39	$	78	$	(39	)		(50	%)
Engineered Materials		33		31		2			6	%
Flexible Packaging		11		8		3			38	%
Total operating income	$	83	$	117	$	(34	)		(29	%)

Operating income for the Rigid Open Top segment decreased from $35 million (11% of net sales) in the Prior Quarter to $1 million (0% of net sales) in the Quarter.  This decrease is primarily attributed to $6 million from base volume declines, $2 million decline in operating performance in manufacturing, $23 million increase in business integration expense and $3 million decline in the relationship of net selling price to raw material and freight costs.  Operating income for the Rigid Closed Top segment decreased from $43 million (12% of net sales) in the Prior Quarter to $38 million (10% of net sales) in the Quarter.  This decrease is primarily attributed to a $5 million increase in business integration expenses, $1 million increase in selling, general and administrative expenses, $1 million attributed to negative product mix and $1 million of raw material cost inflation in excess of net selling prices partially offset by a $2 million improvement in operating performance in manufacturing and a $1 million decline in depreciation and amortization expense.  Operating income for the Engineered Materials segment improved from $31 million (9% of net sales) in the Prior Quarter to $33 million (9% of net sales) in the Quarter.  This increase is primarily attributed to a $7 million improvement in operating performance in manufacturing and $1 million from base volume growth partially offset by $3 million of raw material cost inflation in excess of net selling prices, $1 million increase in business integration expenses, $1 million increase in depreciation and amortization expense and a $1 million increase in selling, general and administrative expenses.  Operating income for the Flexible Packaging segment increased from $8 million (4% of net sales) in the Prior Quarter to $11 million (5% of net sales) in the Quarter.  This increase is primarily attributed to a $3 million improvement in operating performance in manufacturing, $2 million gain in the relationship of net selling price to raw material costs and a $2 million benefit from businesses acquired in the last 12 months partially offset by a $4 million increase in business integration expense.

Other Income. Other income was $2 million in the Quarter due to gains realized on asset disposals.  Other income of $2 million in the Prior Quarter was due to the change in the fair value of derivative instruments that expired in November 2013.

Interest Expense.  Interest expense decreased from $57 million in the Prior Quarter to $56 million in the Quarter primarily as the result of the various debt extinguishments and refinancing completed in the last twelve months.

Income Tax Expense (Benefit).  For the Quarter, we recorded an income tax benefit of $19 million compared to income tax expense of $22 million in the Prior Quarter.  The effective tax rate for the Quarter is impacted by the relative impact of discrete items, including certain international entities for which a full valuation allowance is recognized and $18 million of federal and state research and development tax credits recognized in the Quarter (see Note 8).

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Comparison of the Three Quarterly Periods Ended June 28, 2014 (the “YTD”) and the Three Quarterly Periods Ended June 29, 2013 (the “Prior YTD”)

Net Sales.  Net sales increased from $3,443 million in the Prior YTD to $3,648 million in the YTD.  This increase is primarily attributed to net sales from acquired businesses in the last twelve months of 3% and selling price increases of 4% due to higher resin prices shown above partially offset by 1% decline from exited business.  The following discussion in this section provides a comparison of net sales by business segment.

	Three Quarterly Periods Ended
	June 28, 2014		June 29, 2013		$ Change			% Change
Net sales:
Rigid Open Top	$	820	$	828	$	(8	)		(1	%)
Rigid Closed Top		1,073		1,036		37			4	%
Rigid Packaging	$	1,893	$	1,864	$	29			2	%
Engineered Materials		1,081		1,030		51			5	%
Flexible Packaging		674		549		125			23	%
Total net sales	$	3,648	$	3,443	$	205			6	%

Net sales in the Rigid Open Top segment decreased from $828 million in the Prior YTD to $820 million in the YTD due to base volume declines of 5% and product realignment of 1% partially offset by net selling price increases of 5%.  The volume decline was primarily attributed to softness in thermoformed drink cups and thin-wall container product offerings.  Net sales in the Rigid Closed Top segment increased from $1,036 million in the Prior YTD to $1,073 million in the YTD as a result of net selling price increases of 2%, base volume increase of 1% and C&C acquisition volume of 1% partially offset by product realignment of 1%.  The Engineered Materials segment net sales increased from $1,030 million in the Prior YTD to $1,081 million in the YTD as a result of net selling price increases of 4% and base volume growth of 2% partially offset by exited business of 1%.  The Flexible Packaging segment net sales increased from $549 million in the Prior YTD to $674 million in the YTD as a result of businesses acquired in the last twelve months of 18%, product realignment of 1% and net selling price increases of 4% partially offset by a 1% volume decline attributed to soft customer demand.

Operating Income.  Operating income decreased from $296 million (9% of net sales) in the Prior YTD to $223 million (6% of net sales) in the YTD.  This decrease is primarily attributed to $58 million increase in business integration expense, $27 million of raw material and freight cost inflation in excess of net selling price increases and $13 million from base volume declines described above partially offset by a $4 million decrease in depreciation and amortization expense, $6 million benefit from businesses acquired in the last twelve months, $3 million decline in selling, general and administrative expenses and a $12 million improvement in manufacturing efficiencies.  The following discussion in this section provides a comparison of operating income by business segment

	Three Quarterly Periods Ended
	June 28, 2014		June 29, 2013		$ Change			% Change
Operating income:
Rigid Open Top	$	20	$	95	$	(75	)		(79	%)
Rigid Closed Top		101		97		4			4	%
Rigid Packaging	$	121	$	192	$	(71	)		(37	%)
Engineered Materials		90		88		2			2	%
Flexible Packaging		12		16		(4	)		(25	%)
Total operating income	$	223	$	296	$	(73	)		(25	%)

Operating income for the Rigid Open Top segment decreased from $95 million (11% of net sales) in the Prior YTD to $20 million (2% of net sales) in the YTD.  This decrease is primarily attributed to $12 million from base volume declines, $8 million decline in operating performance in manufacturing, $40 million increase in business integration expense, $1 million increase in selling, general and administrative expenses and a $14 million decline in the relationship of net selling price to raw material and freight costs.  Operating income for the Rigid Closed Top segment increased from $97 million (9% of net sales) in the Prior YTD to $101 million (9% of net sales) in the YTD.  This increase is primarily attributed to a $4 million improvement in operating performance in manufacturing  and a $5 million decline in depreciation and amortization expense partially offset by a $3 million decline in the relationship of net selling price to raw material costs, $1 million attributed to negative product mix and a $1 million increase in business integration expenses.  Operating income for the Engineered Materials segment increased from $88 million (9% of net sales) in the Prior YTD to $90 million (8% of net sales) in the YTD.  This increase is primarily attributed to a $16 million improvement in manufacturing operating performance and a $4 million decline in selling, general and administrative expenses partially offset by $14 million of raw material cost inflation in excess of net selling prices, $2 million increase in business integration expenses and a $2 million increase in depreciation and amortization expense.  Operating income for the Flexible Packaging segment decreased from $16 million (3% of net sales) in the Prior YTD to $12 million (2% of net sales) in the YTD.  This decline is primarily attributed to a $15 million increase in business integration expense partially offset by $6 million benefit from businesses acquired in the last twelve months, $1 million decline in depreciation and amortization expense and $4 million gain in the relationship of net selling price to raw material costs.

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Debt Extinguishment. Debt extinguishment decreased from $64 million in the Prior YTD to $35 million in the YTD.  The change is primarily related to the various debt extinguishment costs that resulted from our incremental term loan capital restructuring in fiscal 2013 compared to various debt extiguishment costs related to the discharge of the outstanding 9½% second priority senior secured notes in the YTD.

Other Income.  Other income decreased from $6 million in the Prior YTD to $3 million in the YTD primarily due to the change in the fair value of derivative instruments in the Prior YTD partially offset by gains recognized on asset disposals in the YTD.

 Interest Expense.  Interest expense decreased from $188 million in the Prior YTD to $168 million in the YTD primarily as the result of the interest savings that resulted from our incremental term loan capital restructure.

Income Tax Expense (Benefit).  For the YTD, we recorded an income tax benefit of $10 million compared to $19 million of income tax expense in the Prior YTD.  The effective tax rate for the YTD is impacted by the relative impact of discrete items, including certain international entities for which a full valuation allowance is recognized and $18 million of federal and state research and development tax credits recognized in the YTD (see Note 8).

Liquidity and Capital Resources

Senior Secured Credit Facility

We have senior secured credit facilities consisting of $2.5 billion of term loans and a $650 million asset based revolving line of credit (“Credit Facility”).  $1.1 billion of the term loans mature in January 2021, the remaining $1.4 billion of term loan matures in February 2020 and the revolving line of credit matures in June 2016, subject to certain conditions.  The availability under the revolving line of credit is the lesser of $650 million or based on a defined borrowing base which is calculated based on available accounts receivable and inventory.  The revolving line of credit allows up to $130 million of letters of credit to be issued instead of borrowings under the revolving line of credit.  At June 28, 2014, the Company had a $39 million outstanding balance on the revolving credit facility, $37 million outstanding letters of credit and no borrowing base reserve providing unused borrowing capacity of $574 million under the revolving line of credit.  The Company was in compliance with all covenants as of June 28, 2014.

Our fixed charge coverage ratio, as defined in the revolving credit facility, is calculated based on a numerator consisting of adjusted EBITDA less pro forma adjustments, income taxes paid in cash and capital expenditures, and a denominator consisting of scheduled principal payments in respect of indebtedness for borrowed money, interest expense and certain distributions.  We are obligated to sustain a minimum fixed charge coverage ratio of 1.0 to 1.0 under the revolving credit facility at any time when the aggregate unused capacity under the revolving credit facility is less than 10% of the lesser of the revolving credit facility commitments and the borrowing base (and for 10 business days following the date upon which availability exceeds such threshold) or during the continuation of an event of default.  At June 28, 2014, the Company had unused borrowing capacity of $574 million under the revolving credit facility and thus was not subject to the minimum fixed charge coverage ratio covenant.  Our fixed charge ratio was 2.2 to 1.0 at June 28, 2014.

Despite not having financial maintenance covenants, our debt agreements contain certain negative covenants.  The failure to comply with these negative covenants could restrict our ability to incur additional indebtedness, effect acquisitions, enter into certain significant business combinations, make distributions or redeem indebtedness.  The term loan facility contains a negative covenant first lien secured leverage ratio covenant of 4.0 to 1.0 on a pro forma basis for a proposed transaction, such as an acquisition or incurrence of additional first lien debt.  Our first lien secured leverage ratio was 3.2 to 1.0 at June 28, 2014.

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A key financial metric utilized in the calculation of the first lien leverage ratio is Adjusted EBITDA as defined in the Company’s senior secured credit facilities.  The following table reconciles (i) our Adjusted EBITDA to net income and (ii) our Adjusted Free Cash Flow to cash flow from operating activities, in each case, for the four quarters and quarterly period ended June 28, 2014:

	June 28, 2014
	Four Quarters Ended			Quarterly Period Ended
Adjusted EBITDA	$	835		$	223
Net interest expense		(224	)		(56	)
Depreciation and amortization		(344	)		(91	)
Income tax benefit		1			19
Business optimization and other expense		(73	)		(21	)
Restructuring and impairment		(35	)		(15	)
Extinguishment of debt		(35	)		(33	)
Pro forma acquisitions		(28	)		(6	)
Unrealized cost savings		(38	)		(5	)
Net income	$	59		$	15

Cash flow from operating activities	$	537		$	120
Net additions to property, plant, and equipment		(214	)		(54	)
Payments of tax receivable agreement		(32	)		—
Adjusted free cash flow	$	291		$	66
Cash flow from investing activities		(439	)		(183	)
Cash flow from financing activities		(78	)		(17	)

Adjusted EBITDA and Adjusted Free Cash Flow, as presented in this document, are supplemental financial measures that are not required by, or presented in accordance with, generally accepted accounting principles in the United States (“GAAP”). Adjusted EBITDA and Adjusted Free Cash Flow are not GAAP financial measures and should not be considered as an alternative to operating or net income or cash flows from operating activities, in each case determined in accordance with GAAP.  We define “Adjusted EBITDA” as net income before depreciation and amortization, income tax expense (benefit), interest expense (net) and certain restructuring and business optimization charges and as adjusted for unrealized cost reductions and acquired businesses, including unrealized synergies, which are more particularly defined in our credit documents and the indentures governing our notes. Adjusted EBITDA is used by our lenders for debt covenant compliance purposes and by our management as one of several measures to evaluate management performance. While the determination of appropriate adjustments in the calculation of Adjusted EBITDA is subject to interpretation under the terms of the Credit Facility, management believes the adjustments described above are in accordance with the covenants in the Credit Facility. Adjusted EBITDA eliminates certain charges that we believe do not reflect operations and underlying operational performance. Although we use Adjusted EBITDA as a financial measure to assess the performance of our business, the use of Adjusted EBITDA has important limitations, including that (1) Adjusted EBITDA does not represent funds available for dividends, reinvestment or other discretionary uses, or account for one-time expenses and charges; (2) Adjusted EBITDA does not reflect cash outlays for capital expenditures or contractual commitments; (3) Adjusted EBITDA does not reflect changes in, or cash requirements for, working capital; (4) Adjusted EBITDA does not reflect the interest expense or the cash requirements necessary to service interest or principal payments on indebtedness; (5) Adjusted EBITDA does not reflect income tax expense or the cash necessary to pay income taxes; (6) Adjusted EBITDA excludes depreciation and amortization and, although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and Adjusted EBITDA does not reflect cash requirements for such replacements; and (7) Adjusted EBITDA does not reflect the impact of earnings or charges resulting from matters we consider not to be indicative of our ongoing operations.

We define “Adjusted Free Cash Flow” as cash flow from operating activities less additions to property, plant and equipment and payments of the tax receivable agreement. We use Adjusted Free Cash Flow as a measure of liquidity because it assists us in assessing our company’s ability to fund its growth through its generation of cash. We believe Adjusted Free Cash Flow is useful to an investor in evaluating our liquidity because Adjusted Free Cash Flow and similar measures are widely used by investors, securities analysts and other interested parties in our industry to measure a company’s liquidity without regard to revenue and expense recognition, which can vary depending upon accounting methods. Although we use Adjusted Free Cash Flow as a liquidity measure to assess our ability to generate cash, the use of Adjusted Free Cash Flow has important limitations, including that: (1) Adjusted Free Cash Flow does not reflect the cash requirements necessary to service principal payments on our indebtedness; and (2) Adjusted Free Cash Flow removes the impact of accrual basis accounting on asset accounts and non-debt liability accounts.  Our projected Adjusted Free Cash flow for fiscal 2014 assumes $532 million of cash flow from operations, $230 million of net additions to property, plant, and equipment and $32 million of payment under our tax receivable agreement.

28

These non-GAAP financial measures may be calculated differently by other companies, including other companies in our industry, limiting their usefulness as comparative measures. Because of these limitations, you should consider Operating EBITDA, Adjusted EBITDA and Adjusted Free Cash Flow alongside other performance measures and liquidity measures, including operating income, various cash flow metrics, net income and our other GAAP results.

Tax Receivable Agreement

In connection with the initial public offering, the Company entered into an income tax receivable agreement ("TRA") that provides for the payment to pre-initial public offering stockholders, option holders and holders of our stock appreciation rights, 85% of the amount of cash savings, if any, in U.S. federal, foreign, state and local income tax that are actually realized (or are deemed to be realized in the case of a change of control) as a result of the utilization of our and our subsidiaries’ net operating losses attributable to periods prior to the initial public offering. The actual utilization of net operating losses as well as the timing of any payments under the TRA will vary depending upon a number of factors, including the amount, character and timing of our and our subsidiaries’ taxable income in the future.

The Company expects to pay $71 million during the next twelve months related to the TRA.  The Company made $32 million of payments related to the TRA in the YTD and $5 million of payments in fiscal 2013.

Cash Flows

Net cash provided by operating activities increased from $297 million in the Prior YTD to $370 million in the YTD.  The change is primarily attributed to improved working capital.

Net cash used in investing activities increased from $198 million in the Prior YTD to $392 million in the YTD primarily as a result of an increase in acquisition activity related to C&C, Graphic and P&B.  Our capital expenditures are forecasted at $230 million for fiscal 2014 and will be funded from cash flows from operating activities and existing liquidity.

Net cash used in financing activities was $160 million in the Prior YTD compared to $74 million in the YTD.  The change is primarily attributed to a decline in long-term repayments, net of proceeds from the initial public offering partially offset by the $32 million of TRA payments.

Based on our current level of operations, we believe that cash flow from operations and available cash, together with available borrowings under our senior secured credit facilities, will be adequate to meet our short-term liquidity needs over the next twelve months.  We base such belief on historical experience and the funds available under the revolving credit facility.  However, we cannot predict our future results of operations and our ability to meet our obligations involves numerous risks and uncertainties, including, but not limited to, those described in the “Risk Factors” section of our most recent Form 10-K filed with the SEC.  In particular, increases in the cost of resin which we are unable to pass through to our customers on a timely basis or significant acquisitions could severely impact our liquidity.

Item 3.     Quantitative and Qualitative Disclosures about Market Risk

Interest Rate Sensitivity

We are exposed to market risk from changes in interest rates primarily through our senior secured credit facilities.  Our senior secured credit facilities are comprised of (i) $2.5 billion term loans and (ii) a $650 million revolving credit facility.  At June 28, 2014, the Company had a $39 million outstanding balance on the revolving credit facility.  Borrowings under our senior secured credit facilities bear interest, at our option, at either an alternate base rate or an adjusted LIBOR rate for a one-, two-, three- or six month interest period, or a nine- or twelve-month period, if available to all relevant lenders, in each case, plus an applicable margin.  The alternate base rate is the greater of (i) in the case of our term loans, Credit Suisse’s prime rate or, in the case of our revolving credit facility, Bank of America's prime rate and (ii) one-half of 1.0% over the weighted average of rates on overnight Federal Funds as published by the Federal Reserve Bank of New York.  At June 28, 2014, the LIBOR rate of 0.24% applicable to the term loan was below the LIBOR floor of 1.00%.  A 0.25% change in LIBOR would not have a material impact on our interest expense.

In February 2013, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt (the "2013 Swap"). The agreement swapped the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.355%, with an effective date in May 2016 and expiration in May 2019.  In June 2013, the Company elected to settle this derivative instrument and received $16 million as a result of this settlement.  The offset is included in Accumulated other comprehensive loss and will be amortized to Interest expense from May 2016 through May 2019, the original term of the swap agreement.

29

In March 2014, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt (the "2014 Swap"). The agreement swaps the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.59%, with an effective date in February 2016 and expiration in February 2019.  The Company will record changes in fair value in Accumulated other comprehensive income.

Resin Cost Sensitivity

We are exposed to market risk from changes in plastic resin prices that could impact our results of operations and financial condition.  Our plastic resin purchasing strategy is to deal with only high-quality, dependable suppliers.  We believe that we have maintained strong relationships with these key suppliers and expect that such relationships will continue into the foreseeable future.  The resin market is a global market and, based on our experience, we believe that adequate quantities of plastic resins will be available at market prices, but we can give you no assurances as to such availability or the prices thereof.  If the price of resin increased or decreased by 5% it would result in a material change to our cost of goods sold.

Item 4.     Controls and Procedures

(a)   Evaluation of disclosure controls and procedures.

Under applicable SEC regulations, management of a reporting company, with the participation of the principal executive officer and principal financial officer, must periodically evaluate the company’s “disclosure controls and procedures,” which are defined generally as controls and other procedures of a reporting company designed to ensure that information required to be disclosed by the reporting company in its periodic reports filed with the commission (such as this Form 10-Q) is recorded, processed, summarized, and reported on a timely basis.

The Company's management, with the participation of the Chief Executive Officer and the Chief Financial Officer, carried out an evaluation of the effectiveness of the design and operation of the disclosure controls and procedures as of June 28, 2014.  Based on this evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, as of June 28, 2014, the design and operation of our disclosure controls and procedures were effective at the reasonable assurance level.

(b)   Changes in internal controls.

There were no changes in our internal control over financial reporting that occurred during the quarter ended June 28, 2014 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.  Current year acquisitions have been excluded from the scope of our evaluation of disclosure controls and procedures.  We are currently in the process of implementing our internal control structure over these acquired operations and expect this effort will be completed for fiscal 2015.

Part II.  Other Information

Item 1.                        Legal Proceedings

There have been no material changes in legal proceedings from the items disclosed in our Form 10-K filed with the Securities and Exchange Commission.

Item 1A.                        Risk Factors

You should carefully consider the risks described in our most recent Form 10-K filed with the SEC, including those under the heading “Risk Factors” and other information contained in this Quarterly Report before investing in our securities. Realization of any of these risks could have a material adverse effect on our business, financial condition, cash flows and results of operations.  There were no material changes in the Company’s risk factors since described in our most recent Form 10-K filed with the SEC.

Item 2.                        Unregistered Sales of Equity Securities and Use of Proceeds

Not Applicable

30

Item 3.                        Defaults Upon Senior Securities

Not Applicable

Item 4.                        Mine Safety Disclosures

Not Applicable

Item 5.                        Other Information

Not Applicable

Item 6.                        Exhibits

4.1	Indenture, dated as of May 12, 2014, among Berry Plastics Corporation, certain guarantors party thereto, and U.S. Bank National Association,
	as Trustee, relating to the 5.500% Second Priority Senior Secured Notes due 2022. (Incorporated by reference to Exhibit 4.2 to the Company's
	Current Report on Form 8-K filed on May 13, 2014).
31.1	Rule 13a-14(a)/15d-14(a) Certification of the Chief Executive Officer
31.2	Rule 13a-14(a)/15d-14(a) Certification of the Chief Financial Officer
32.1	Section 1350 Certification of the Chief Executive Officer
32.2	Section 1350 Certification of the Chief Financial Officer
101.	Interactive Data Files

31

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	Berry Plastics Group, Inc.
August 1, 2014	By:	/s/Mark W. Miles
		Mark W. Miles
		Chief Financial Officer

32

EX-31.1

EXHIBIT 31.1

CHIEF EXECUTIVE OFFICER CERTIFICATION

I, Jonathan D. Rich, Chairman and Chief Executive Officer of Berry Plastics Group, Inc., certify that:

1.           I have reviewed this quarterly report on Form 10-Q of Berry Plastics Group, Inc. (the “Registrant”);

2.           Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this report;

4.The Registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Registrant and have:

 (a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this annual report is being prepared;

 (b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 (c)Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 (d)Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter (the Registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and

5.The Registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):

 (a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize and report financial information; and

 (b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting.

	/s/Jonathan D. Rich
August 1, 2014	Jonathan D. Rich
	Chairman and Chief Executive Officer

EX-31.2

EXHIBIT 31.2

CHIEF FINANCIAL OFFICER CERTIFICATION

I, Mark W. Miles, Chief Financial Officer of Berry Plastics Group, Inc., certify that:

1.          I have reviewed this quarterly report on Form 10-Q of Berry Plastics Group, Inc. (the “Registrant”);

2.          Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this report;

4.The Registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Registrant and have:

 (a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this annual report is being prepared;

 (b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 (c) Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 (d) Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter (the Registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and

5.The Registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):

 (a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize and report financial information; and

 (b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting.

	/s/Mark W. Miles
August 1, 2014	Mark W. Miles
	Chief Financial officer

EX-32.1

                                                                                                                                          EXHIBIT 32.1

CERTIFICATION OF THE CHIEF EXECUTIVE OFFICER PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of Berry Plastics Group, Inc. (the “Registrant”) on Form 10-Q for the quarter ended June 28, 2014, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Jonathan D. Rich, Chairman and Chief Executive Officer of the Registrant, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

/s/ Jonathan D. Rich

Jonathan D. Rich

Chairman and Chief Executive Officer

Date: August 1, 2014

EX-32.2

EXHIBIT 32.2

CERTIFICATION OF THE CHIEF FINANCIAL OFFICER PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of Berry Plastics Group, Inc. (the “Registrant”) on Form 10-Q for the quarter ended June 28, 2014, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Mark W. Miles, the Chief Financial Officer and Treasurer of the Registrant, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

/s/ Mark W. Miles

Mark W. Miles

Chief Financial Officer

Date: August 1, 2014

XML

Financial Instruments And Fair Value Measurements (Schedule Of Derivatives Not Designated As Hedging, By Statement Of Operations Location) (Details) (Not Designated as Hedging Instrument [Member], USD $) In Millions, unless otherwise specified	3 Months Ended	9 Months Ended
	Jun. 29, 2013	Jun. 28, 2014	Jun. 29, 2013
Other Income [Member]
Derivative Instruments, Gain (Loss) [Line Items]
2010 Swaps	$ (1)	$ (1)	$ (4)
Interest Expense [Member]
Derivative Instruments, Gain (Loss) [Line Items]
2010 Swaps	$ 1	$ 1	$ 3

XML

Basic and Diluted Net Income per Share (Schedule Of Net Income (Loss) Per Share) (Details) (USD $) In Millions, except Share data in Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Jun. 28, 2014	Jun. 28, 2013	Jun. 28, 2014	Jun. 29, 2013
Basic and Diluted Net Income per Share [Abstract]
Net Income	$ 15	$ 40	$ 33	$ 31
Weighted average shares of common stock outstanding--basic	117,304	114,132	116,609	112,839
Other common stock equivalents	4,477	6,419	4,203	5,869
Weighted average shares of common stock outstanding--diluted	121,477	120,551	120,812	118,708
Basic net income per share available to common shareholders	$ 0.13	$ 0.35	$ 0.28	$ 0.27
Diluted net income per share available to common shareholders	$ 0.12	$ 0.33	$ 0.27	$ 0.26

XML

Guarantor And Non-Guarantor Financial Information (Condensed Supplemental Consolidated Statements Of Operations) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Jun. 28, 2014	Jun. 28, 2013	Jun. 28, 2014	Jun. 29, 2013
Condensed Consolidating Financial Information [Line Items]
Net sales	$ 1,298	$ 1,221	$ 3,648	$ 3,443
Cost of goods sold	1,089	998	3,076	2,829
Selling, general and administrative expenses	85	78	244	230
Amortization of intangibles	26	27	77	81
Restructuring and impairment charges, net	15	1	28	7
Operating income	83	117	223	296
Debt extinguishment	33		35	64
Other income, net	(2)	(2)	(3)	(6)
Interest expense, net	56	57	168	188
Income (loss) before income taxes	(4)	62	23	50
Income tax expense (benefit)	(19)	22	(10)	19
Consolidated net income	15	40	33	31
Net income attributable to noncontrolling interests
Net income (loss) attributable to the Company	15	40	33	31
Comprehensive income	12	45	28	34
Parent Company [Member]
Condensed Consolidating Financial Information [Line Items]
Interest expense, net	10	12	34	34
Equity in net income of subsidiaries	(6)	(74)	(57)	(84)
Income (loss) before income taxes	(4)	62	23	50
Income tax expense (benefit)	(19)	22	(10)	19
Consolidated net income	15
Net income (loss) attributable to the Company	15	40	33	31
Comprehensive income	15	40	33	31
Issuer [Member]
Condensed Consolidating Financial Information [Line Items]
Net sales	165	146	466	416
Cost of goods sold	145	118	417	373
Selling, general and administrative expenses	13	12	47	29
Amortization of intangibles	3	3	7	9
Restructuring and impairment charges, net		1		1
Operating income	4	12	(5)	4
Debt extinguishment	33		35	64
Other income, net	(2)	(4)	(1)	(8)
Interest expense, net	7	1	20	18
Equity in net income of subsidiaries	(73)	(82)	(196)	(225)
Income (loss) before income taxes	39	97	137	155
Income tax expense (benefit)	(7)	32	29	56
Consolidated net income	46
Net income (loss) attributable to the Company	46	65	108	99
Comprehensive income	39	77	105	111
Guarantor Subsidiaries [Member]
Condensed Consolidating Financial Information [Line Items]
Net sales	1,019	978	2,884	2,746
Cost of goods sold	854	793	2,424	2,230
Selling, general and administrative expenses	62	58	172	176
Amortization of intangibles	21	22	64	67
Restructuring and impairment charges, net	15		28	6
Operating income	67	105	196	267
Other income, net		2	(2)	2
Interest expense, net	43	49	133	153
Income (loss) before income taxes	24	54	65	112
Income tax expense (benefit)				(1)
Consolidated net income	24
Net income (loss) attributable to the Company	24	54	65	113
Comprehensive income	26	54	65	113
Non-Guarantor Subsidiaries [Member]
Condensed Consolidating Financial Information [Line Items]
Net sales	114	97	298	281
Cost of goods sold	90	87	235	226
Selling, general and administrative expenses	10	8	25	25
Amortization of intangibles	2	2	6	5
Operating income	12		32	25
Interest expense, net	(35)	(29)	(102)	(89)
Income (loss) before income taxes	47	29	134	114
Income tax expense (benefit)	1	1	3	2
Consolidated net income	46
Net income (loss) attributable to the Company	46	28	131	112
Comprehensive income	48	21	129	103
Eliminations [Member]
Condensed Consolidating Financial Information [Line Items]
Interest expense, net	31	24	83	72
Equity in net income of subsidiaries	79	156	253	309
Income (loss) before income taxes	(110)	(180)	(336)	(381)
Income tax expense (benefit)	6	(33)	(32)	(57)
Consolidated net income	(116)
Net income (loss) attributable to the Company	(116)	(147)	(304)	(324)
Comprehensive income	$ (116)	$ (147)	$ (304)	$ (324)

XML

Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities (Summary Of Accrued Expenses And Other Current Liabilities) (Details) (USD $) In Millions, unless otherwise specified	Jun. 28, 2014	Sep. 28, 2013
Extinguishment of Debt [Line Items]
Total accrued liabilities, current	$ 356	$ 276
Accrued expense and other current liabilities [Member]
Extinguishment of Debt [Line Items]
Employee compensation, payroll and other taxes	89	86
Interest	57	45
Rebates	51	55
Tax receivable agreement obligation	71	32
Other	88	58
Total accrued liabilities, current	$ 356	$ 276

XML

Operating Segments (Tables)

9 Months Ended

Jun. 28, 2014

Operating Segments [Abstract]

Summary Of Selected Information By Reportable Segment

						Three Quarterly
		Quarterly Period Ended				Periods Ended
		June 28,		June29,		June 28,	June 29,
		2014		2013		2014		2013
Net sales:
Rigid Open Top	$	303	$	312	$	820	$	828
Rigid Closed Top		381		370		1,073		1,036
Rigid Packaging	$	684	$	682	$	1,893	$	1,864
Engineered Materials		371		351		1,081		1,030
Flexible Packaging		243		188		674		549
Total net sales	$	1,298	$	1,221	$	3,648	$	3,443
Operating income:
Rigid Open Top	$	1	$	35	$	20	$	95
Rigid Closed Top		38		43		101		97
Rigid Packaging	$	39	$	78	$	121	$	192
Engineered Materials		33		31		90		88
Flexible Packaging		11		8		12		16
Total operating income	$	83	$	117	$	223	$	296
Depreciation and amortization:
Rigid Open Top	$	23	$	23	$	70	$	68
Rigid Closed Top		33		33		93		98
Rigid Packaging	$	56	$	56	$	163	$	166
Engineered Materials		19		18		56		53
Flexible Packaging		16		12		42		39
Total depreciation and amortization	$	91	$	86	$	261	$	258

Summary Of Assets And Goodwill By Segment

		June 28,		September 28,
		2014		2013
Total assets:
Rigid Open Top	$	1,853	$	1,805
Rigid Closed Top		1,982		1,964
Rigid Packaging	$	3,835	$	3,769
Engineered Materials		781		817
Flexible Packaging		803		549
Total assets	$	5,419	$	5,135
Goodwill:
Rigid Open Top	$	681	$	681
Rigid Closed Top		828		831
Rigid Packaging	$	1,509	$	1,512
Engineered Materials		73		73
Flexible Packaging		70		49
Total goodwill	$	1,652	$	1,634

XML

Operating Segments (Narrative) (Details)	9 Months Ended
	Jun. 28, 2014 segment
Concentration Risk [Line Items]
Number of reporting segments	4
Net Sales, Geographic Area [Member] | North America [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	95.00%
Long-Lived Assets, Geographic Area [Member] | North America [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	93.00%
Assets, Total [Member] | North America [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	95.00%

XML

Financial Instruments And Fair Value Measurements (Narrative) (Details) (USD $)	0 Months Ended	1 Months Ended				3 Months Ended		9 Months Ended		9 Months Ended
	Jun. 02, 2013	Mar. 31, 2014	Jun. 28, 2014	Feb. 28, 2014	Nov. 30, 2010 2010 Swaps [Member] item	Jun. 28, 2014 2010 Swaps Part One [Member]	Nov. 30, 2010 2010 Swaps Part One [Member]	Jun. 28, 2014 2010 Swaps Part Two [Member]	Nov. 30, 2010 2010 Swaps Part Two [Member]	Jun. 28, 2014 2013 Swaps [Member]	Feb. 28, 2013 2013 Swaps [Member]
Line of Credit Facility [Line Items]
Number of interest rate swaps					2
Variable rate term loan, amount outstanding					$ 1,000,000,000						$ 1,000,000,000
Notional amount of swap agreement							500,000,000		500,000,000
Derivative variable interest rate										1.00%
Term of fixed interest rate						3 years		3 years		3 years
Derivative instrument fixed interest rate						0.8925%		1.0235%		2.355%
Long-term Debt		1,000,000
Debt instrument, interest rate, stated percentage		2.59%		13.00%
Fixed rate percentage		3.00%
Derivative settlement amount	16,000,000
Fair value of long-term indebtedness exceeded book value			$ 117,000,000

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Guarantor And Non-Guarantor Financial Information (Condensed Supplemental Consolidated Statement Of Cash Flows) (Details) (USD $) In Millions, unless otherwise specified	9 Months Ended
	Jun. 28, 2014	Jun. 29, 2013
Condensed Consolidating Financial Information [Line Items]
Cash Flow from Operating Activities	$ 370	$ 297
Additions to property, plant and equipment	(172)	(179)
Proceeds from sale of assets	5	5
Acquisition of businesses, net of cash acquired	(225)	(24)
Net cash flow from investing activities	(392)	(198)
Proceeds from long-term debt	1,664	1,391
Proceeds from issuance of common stock	13	21
Proceeds from initial public offering		438
Repayment of notes receivable		2
Payment of tax receivable agreement	(32)	(5)
Debt financing costs	(44)	(39)
Repayments on long-term debt	(1,675)	(1,968)
Net cash provided from financing activities	(74)	(160)
Effect of exchange rate changes on cash	(1)	(1)
Net change in cash	(97)	(62)
Cash and cash equivalents at beginning of period	142	87
Cash and cash equivalents at end of period	45	25
Parent Company [Member]
Condensed Consolidating Financial Information [Line Items]
(Contributions) distributions to/from subsidiaries	727	(456)
Net cash flow from investing activities	727	(456)
Proceeds from issuance of common stock	13	21
Proceeds from initial public offering		438
Repayment of notes receivable		2
Payment of tax receivable agreement	(32)	(5)
Repayments on long-term debt	(740)
Changes in intercompany balances	32
Net cash provided from financing activities	(727)	456
Issuer [Member]
Condensed Consolidating Financial Information [Line Items]
Cash Flow from Operating Activities	29	15
Additions to property, plant and equipment	(10)	(12)
(Contributions) distributions to/from subsidiaries	(6)	435
Intercompany advances (repayments)	(93)	101
Net cash flow from investing activities	(109)	524
Proceeds from long-term debt	1,664	1,391
Repayment of notes receivable		2
Payment of tax receivable agreement		(5)
Debt financing costs	(44)	(39)
Repayments on long-term debt	(1,656)	(1,947)
Net cash provided from financing activities	(36)	(598)
Net change in cash	(116)	(59)
Cash and cash equivalents at beginning of period	116	66
Cash and cash equivalents at end of period		7
Guarantor Subsidiaries [Member]
Condensed Consolidating Financial Information [Line Items]
Cash Flow from Operating Activities	316	276
Additions to property, plant and equipment	(155)	(154)
Proceeds from sale of assets	5	5
Acquisition of businesses, net of cash acquired	(135)	(24)
Net cash flow from investing activities	(285)	(173)
Changes in intercompany balances	(30)	(103)
Net cash provided from financing activities	(30)	(103)
Net change in cash	1
Cash and cash equivalents at end of period	1
Non-Guarantor Subsidiaries [Member]
Condensed Consolidating Financial Information [Line Items]
Cash Flow from Operating Activities	25	6
Additions to property, plant and equipment	(7)	(13)
Investment in Parent		(21)
Acquisition of businesses, net of cash acquired	(90)
Net cash flow from investing activities	624	(34)
Changes in intercompany balances	91	5
Contribution from Issuer		21
Net cash provided from financing activities	(630)	26
Net change in cash		(3)
Cash and cash equivalents at beginning of period		21
Cash and cash equivalents at end of period		18
Eliminations [Member]
Condensed Consolidating Financial Information [Line Items]
Investment in Parent		21
(Contributions) distributions to/from subsidiaries	(721)	21
Intercompany advances (repayments)	93	(101)
Net cash flow from investing activities	(1,349)	(59)
Repayment of notes receivable		(2)
Payment of tax receivable agreement		5
Repayments on long-term debt	721	(21)
Changes in intercompany balances	(93)	98
Contribution from Issuer		(21)
Net cash provided from financing activities	$ 1,349	$ 59

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Acquisitions

9 Months Ended

Jun. 28, 2014

Acquisitions [Abstract]

Acquisitions

3. Acquisitions

Graphic Flexible Packaging LLC's Flexible Plastics and Films

In September 2013, the Company acquired Graphic Flexible Packaging LLC's flexible plastics and films business ("Graphic") for a purchase price of $61 million, net of cash acquired. Graphic is a producer of wraps, films, pouches, and bags for the food, medical, industrial, personal care, and pet food markets. The Graphic business is operated in the Company's Flexible Packaging segment. To finance the purchase, the Company used existing liquidity. The Graphic acquisition has been accounted for under the purchase method of accounting, and accordingly, the purchase price has been allocated to the identifiable assets and liabilities based on estimated fair values at the acquisition date. The acquired assets and assumed liabilities consisted of working capital of $9 million, property and equipment of $17 million, intangible assets of $25 million, goodwill of $14 million and other long-term liabilities of $4 million. The Company expects goodwill to be deductible for tax purposes.

Qingdao P&B Co., Ltd

In January 2014, the Company acquired the controlling interest (75%) of Qingdao P&B Co., Ltd ("P&B") for a purchase price of $35 million, net of cash acquired. P&B utilizes thermoform, injection, and automated assembly manufacturing processes to produce products for multiple markets across China as well as globally, most predominately serving the food and personal care markets. P&B is operated in the Flexible Packaging segment. To finance the purchase, the Company used existing liquidity. The P&B acquisition has been accounted for under the purchase method of accounting, and accordingly, the purchase price has been allocated to the identifiable assets and liabilities based on estimated fair values at the acquisition date. The Company has not finalized the purchase price allocation to the fair values of fixed assets, intangibles and deferred income taxes. As part of the P&B acquisition, the Non-controlling interest holder has a put option, and the Company has a call option on the remaining 25% interest in P&B that becomes effective three years from the date of purchase. Upon execution of the put or call option, the purchase price for the remaining equity interest will be determined based on the fair value at the date of execution. The minority interest of P&B is recorded in temporary equity and will be carried at fair value with adjustments in the fair value being recorded in Additional paid-in capital. The Company recorded $12 million in Non-controlling interest on the Consolidated Balance Sheets as the initial fair value of the non-controlling shareholder interest.

Rexam Healthcare Containers and Closures

In June 2014, the Company acquired Rexam's Healthcare Containers and Closures business ("C&C") for a purchase price of $130 million, net of cash acquired. The C&C business produces bottles, closures and specialty products for pharmaceutical and over-the-counter applications. Facilities located in the United Statesof the newly acquired business are operated in the Rigid Closed Top Division, and foreign locations are operated in the Flexible Packaging Segment. To finance the purchase, the Company used existing liquidity. The C&C acquisition has been accounted for under the purchase method of accounting, and accordingly, the purchase price has been allocated to the identifiable assets and liabilities based on estimated fair values at the acquisition date. The Company has not finalized the purchase price allocation to the fair values of fixed assets, intangibles, deferred income taxes and is reviewing the working capital acquired. The Company expects goodwill to be deductable for tax purposes.

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Operating Segments (Summary Of Selected Information By Reportable Segment) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Jun. 28, 2014	Jun. 28, 2013	Jun. 28, 2014	Jun. 29, 2013
Segment Reporting Information [Line Items]
Net sales	$ 1,298	$ 1,221	$ 3,648	$ 3,443
Operating income	83	117	223	296
Depreciation and amortization	91	86	261	258
Rigid Open Top [Member]
Segment Reporting Information [Line Items]
Net sales	303	312	820	828
Operating income	1	35	20	95
Depreciation and amortization	23	23	70	68
Rigid Closed Top [Member]
Segment Reporting Information [Line Items]
Net sales	381	370	1,073	1,036
Operating income	38	43	101	97
Depreciation and amortization	33	33	93	98
Rigid Packaging [Member]
Segment Reporting Information [Line Items]
Net sales	684	682	1,893	1,864
Operating income	39	78	121	192
Depreciation and amortization	56	56	163	166
Engineered Materials [Member]
Segment Reporting Information [Line Items]
Net sales	371	351	1,081	1,030
Operating income	33	31	90	88
Depreciation and amortization	19	18	56	53
Flexible Packaging [Member]
Segment Reporting Information [Line Items]
Net sales	243	188	674	549
Operating income	11	8	12	16
Depreciation and amortization	$ 16	$ 12	$ 42	$ 39

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Basis Of Presentation (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	1 Months Ended	3 Months Ended	9 Months Ended		3 Months Ended	1 Months Ended			1 Months Ended
	Feb. 28, 2014	Dec. 28, 2013	Jun. 28, 2014 segment	Mar. 31, 2014	Dec. 28, 2013 Apollo [Member]	Feb. 28, 2014 Apollo Global Securities [Member]	Jun. 30, 2014 11% Senior Subordinated Notes [Member]	Oct. 31, 2012 11% Senior Subordinated Notes [Member]	Oct. 31, 2012 Initial Public Offering [Member]	Jun. 30, 2014 Secondary Public Offering [Member]
Basis Of Presentation [Line Items]
Number of reporting segments			4
Stock sold						9.0				10.0
Stock sold, price per share						$ 22.77				$ 23.70
Transaction fee						$ 1
Proceeds from sale of stock	205								438	237
Amount of debt extinguished									455
Debt instrument, interest rate, stated percentage	13.00%			2.59%			11.00%	11.00%	85.00%
Payment related to tax receivables agreement		32			28
Underwriting fees	$ 1

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Comprehensive Income - (Tables)

9 Months Ended

Jun. 28, 2014

Comprehensive Income [Abstract]

Comprehensive Income

Defined Benefit Pension
		Currency			and Retiree Health			Interest Rate				Accumulated Other
		Translation			Benefit Plans			Hedges				Comprehensive Loss
Balance as of March 29, 2014	$	(24	)	$	(8	)	$	12			$	(20	)
Other comprehensive income (loss)		4			-			(10	)			(6	)
Tax benefit		-			-			3				3
Balance as of June 28, 2014	$	(20	)	$	(8	)	$	5		$	$	(23	)

The accumulated balances related to each component of other comprehensive income (loss) during the nine months ended June 28, 2014 were as follows:

					Defined Benefit Pension
		Currency			and Retiree Health			Interest Rate			Accumulated Other
		Translation			Benefit Plans			Hedges			Comprehensive Loss
Balance as of September 28, 2013	$	(20	)	$	(8	)	$	10		$	(18	)
Other comprehensive loss		-			-			(7	)		(7	)
Tax benefit		-			-			2			2
Balance as of June 28, 2014	$	(20	)	$	(8	)	$	5		$	(23	)

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Operating Segments (Summary Of Assets And Goodwill By Segment) (Details) (USD $) In Millions, unless otherwise specified	Jun. 28, 2014	Sep. 28, 2013
Segment Reporting Information [Line Items]
Total assets	$ 5,419	$ 5,135
Goodwill	1,652	1,634
Rigid Open Top [Member]
Segment Reporting Information [Line Items]
Total assets	1,853	1,805
Goodwill	681	681
Rigid Closed Top [Member]
Segment Reporting Information [Line Items]
Total assets	1,982	1,964
Goodwill	828	831
Rigid Packaging [Member]
Segment Reporting Information [Line Items]
Total assets	3,835	3,769
Goodwill	1,509	1,512
Engineered Materials [Member]
Segment Reporting Information [Line Items]
Total assets	781	817
Goodwill	73	73
Flexible Packaging [Member]
Segment Reporting Information [Line Items]
Total assets	803	549
Goodwill	$ 70	$ 49

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Acquisitions (Details) (USD $) In Millions, unless otherwise specified	1 Months Ended		9 Months Ended		12 Months Ended		1 Months Ended
	Jun. 30, 2014	Jan. 31, 2014	Jun. 28, 2014	Jun. 29, 2013	Sep. 28, 2013	Sep. 30, 2013	Sep. 30, 2013 Property, Plant and Equipment [Member]	Sep. 30, 2013 Indefinite-lived Intangible Assets [Member]	Sep. 30, 2013 Finite-Lived Intangible Assets [Member]	Sep. 30, 2013 Goodwill [Member]
Business Acquisition [Line Items]
Noncontrolling Interest, Ownership Percentage by Parent		75.00%
Aggregate purchase price		$ 35
Equity Method Investment, Ownership Percentage		25.00%
Stockholders' Equity Attributable to Noncontrolling Interest			12
Purchase price, net of cash acquired					61
Payments to Acquire Businesses, Net of Cash Acquired	130	12	225	24			9	17	25	14
Other Long-term Debt						$ 4

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Restructuring And Impairment Charges (Components Of Restructuring Charges) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended		12 Months Ended
	Jun. 28, 2014	Jun. 29, 2013	Jun. 28, 2014	Jun. 29, 2013	Sep. 28, 2013
Restructuring Cost and Reserve [Line Items]
Severance and termination benefits	$ 2		$ 9	$ 4
Facility exit costs and other	9	1	13	3
Asset impairment	4		6		5
Total	15	1	28	7
Rigid Open Top [Member]
Restructuring Cost and Reserve [Line Items]
Severance and termination benefits			2	1
Facility exit costs and other	8		8
Asset impairment	3		3
Total	11		13	1
Rigid Closed Top [Member]
Restructuring Cost and Reserve [Line Items]
Severance and termination benefits				2
Facility exit costs and other			1	1
Total			1	3
Engineered Materials [Member]
Restructuring Cost and Reserve [Line Items]
Severance and termination benefits			2	1
Facility exit costs and other	1	1	1	1
Asset impairment	1		3
Total	2	1	6	2
Flexible Packaging [Member]
Restructuring Cost and Reserve [Line Items]
Severance and termination benefits	2		5
Facility exit costs and other			3	1
Total	$ 2		$ 8	$ 1

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Basis Of Presentation

9 Months Ended

Jun. 28, 2014

Basis Of Presentation [Abstract]

Basis Of Presentation

2. Basis of Presentation

Berry, through its wholly-owned subsidiaries, operates in four primary segments: Rigid Open Top, Rigid Closed Top, Engineered Materials, and Flexible Packaging. The Company's customers are located principally throughout the United States, without significant concentration in any one region or with any one customer. The accompanying unaudited Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States ("GAAP") pursuant to the rules and regulations of the Securities and Exchange Commission for interim reporting. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the periods presented are not necessarily indicative of the results that may be expected for the full fiscal year. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company's most recent Form 10-K filed with the Securities and Exchange Commission. All intercompany transactions have been eliminated. The Company issued financial statements by filing with the Securities and Exchange Commission and has evaluated subsequent events up to the time of the filing.

In October 2012, the Company completed an initial public offering. The proceeds, net of transaction fees, of $438 million and cash from operations were used to repurchase $455 million of 11% Senior Subordinated Notes. In connection with the initial public offering, the Company entered into an income tax receivable agreement that provides for the payment to pre-initial public offering stockholders, option holders and holders of our stock appreciation rights, 85% of the amount of cash savings, if any, in U.S. federal, foreign, state and local income tax that are actually realized (or are deemed to be realized in the case of a change of control) as a result of the utilization of net operating losses of the Company and its subsidiaries attributable to periods prior to the initial public offering. For further information regarding fiscal 2013 transactions, refer to the consolidated financial statements and footnotes thereto included in the Company's most recent Form 10-K filed with the Securities and Exchange Commission.

Secondary Public Offerings

In February 2014, we completed a secondary public offering in which certain funds affiliated with Apollo Global Management, LLC ("Apollo") sold 9.0 million shares of common stock at $22.77 per share. The selling stockholders received proceeds from the offering of $205 million. The Company received no proceeds and incurred fees of approximately $1 million related to this offering.

In June 2014, we completed a secondary public offering in which certain funds affiliated with Apollo sold 10.0 million shares of common stock at $23.70 per share. The selling stockholders received proceeds from the offering of $237 million. The Company received no proceeds related to this offering. Following this offering, Apollo's ownership was approximately 13%.

Other Related Party Transactions

In connection with the term loan refinancing entered into in January 2014 (see Note 6), the Company paid a $1 million underwriting fee to Apollo Global Securities, LLC, an affiliate of Apollo that served as a manager of the offering.

In connection with the initial public offering, the Company entered into an income tax receivable agreement ("TRA") that provides for the payment to pre-initial public offering stockholders, option holders and holders of our stock appreciation rights, 85% of the amount of cash savings, if any, in U.S. federal, foreign, state and local income tax that are actually

realized (or are deemed to be realized in the case of a change of control) as a result of the utilization of our and our subsidiaries' net operating losses attributable to periods prior to the initial public offering. The Company made $32 million of payments related to the TRA in the first fiscal quarter of 2014, of which Apollo received $28 million.

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Restructuring And Impairment Charges (Schedule Of Restructuring Accrual Costs) (Details) (USD $) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended
	Jun. 28, 2014	Sep. 28, 2013	Dec. 29, 2012
Restructuring Cost and Reserve [Line Items]
Beginning balance	$ 4		$ 7
Charges	28	14
Non-cash asset impairment	(6)	(6)
Cash payments	(11)	(11)
Ending balance	15	4	7
Severance And Termination Benefits [Member]
Restructuring Cost and Reserve [Line Items]
Beginning balance	2		4
Charges	9	5
Cash payments	(5)	(7)
Ending balance	6	2	4
Facilities Exit Costs And Other [Member]
Restructuring Cost and Reserve [Line Items]
Beginning balance	2		3
Charges	13	3
Cash payments	(6)	(4)
Ending balance	9	2	3
Non-Cash [Member]
Restructuring Cost and Reserve [Line Items]
Charges	6	6
Non-cash asset impairment	$ (6)	$ (6)

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Financial Instruments And Fair Value Measurements (Valuation Of Property, Plant and Equipment And Definite Lived Intangible Assets) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended	9 Months Ended	12 Months Ended
	Jun. 28, 2014	Jun. 28, 2014	Sep. 28, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Indefinite-lived trademarks	$ 207	$ 207	$ 207
Goodwill	1,652	1,652	1,634
Definite lived intangible assets	615	615	649
Property, plant, and equipment	1,406	1,406	1,266
Total	3,880	3,880	3,756
Definite lived intangible assets, Impairment Loss			5
Property, plant, and equipment, Impairment loss		6
Impairment Loss, Total	4	6	5
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Indefinite-lived trademarks
Goodwill
Definite lived intangible assets
Property, plant, and equipment
Total
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Indefinite-lived trademarks
Goodwill
Definite lived intangible assets
Property, plant, and equipment
Total
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Indefinite-lived trademarks			207
Goodwill			1,634
Definite lived intangible assets			649
Property, plant, and equipment			1,266
Total			3,756
Indefinite-lived trademark, Impairment Loss	207
Goodwill, Impairment Loss	1,652
Definite lived intangible assets, Impairment Loss	615
Property, plant, and equipment, Impairment loss	1,406
Impairment Loss, Total	$ 3,880

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Consolidated Balance Sheets (USD $) In Millions, unless otherwise specified	Jun. 28, 2014	Sep. 28, 2013
Current assets:
Cash and cash equivalents	$ 45	$ 142
Accounts receivable (less allowance of $4 at June 28, 2014 and $3 at September 28, 2013)	523	449
Inventories:
Finished goods	382	335
Raw materials and supplies	283	240
Inventory, total	665	575
Deferred income taxes	242	139
Prepaid expenses and other current assets	33	32
Total current assets	1,508	1,337
Property, plant, and equipment, net	1,406	1,266
Goodwill, intangible assets and deferred costs, net	2,494	2,520
Other assets	11	12
Total assets	5,419	5,135
Current liabilities:
Accounts payable	442	337
Accrued expenses and other current liabilities	356	276
Current portion of long-term debt	56	71
Total current liabilities	854	684
Long-term debt, less current portion	3,899	3,875
Deferred income taxes	462	385
Other long-term liabilities	322	387
Total liabilities	5,537	5,331
Commitments and contingencies
Non-controlling interest	12
Stockholders' equity (deficit):
Common stock; ($0.01 par value; 400,000,000 shares authorized; 117,578,327 shares issued and 117,507,843 shares outstanding as of June 28, 2014; 115,895,927 issued and 115,825,443 outstanding as of September 28, 2013)	1	1
Additional paid-in capital	360	322
Non-controlling interest, redeemable amount	3	3
Accumulated deficit	(471)	(504)
Accumulated other comprehensive loss	(23)	(18)
Total stockholders' equity (deficit)	(130)	(196)
Total liabilities and stockholders' equity (deficit)	$ 5,419	$ 5,135

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Guarantor And Non-Guarantor Financial Information (Condensed Supplemental Consolidated Balance Sheet) (Details) (USD $) In Millions, unless otherwise specified	Jun. 28, 2014	Sep. 28, 2013
Condensed Consolidating Financial Information [Line Items]
Current assets	$ 1,508	$ 1,337
Property, plant, and equipment, net	1,406	1,266
Other assets	2,505	2,532
Total assets	5,419	5,135
Current liabilities	854	684
Other long-term liabilities	4,683	4,647
Non-controlling interest	12
Stockholders' equity (deficit)	(130)	(196)
Total liabilities and stockholders' equity (deficit)	5,419	5,135
Parent Company [Member]
Condensed Consolidating Financial Information [Line Items]
Current assets	242	139
Intercompany receivable		348
Other assets	64	768
Total assets	306	1,255
Current liabilities	71	41
Intercompany payable	(315)
Other long-term liabilities	668	1,410
Non-controlling interest	12
Stockholders' equity (deficit)	(130)	(196)
Total liabilities and stockholders' equity (deficit)	306	1,255
Issuer [Member]
Condensed Consolidating Financial Information [Line Items]
Current assets	100	186
Intercompany receivable	3,405	3,448
Property, plant, and equipment, net	98	115
Other assets	1,367	1,054
Total assets	4,970	4,803
Current liabilities	214	197
Other long-term liabilities	3,966	3,919
Stockholders' equity (deficit)	790	687
Total liabilities and stockholders' equity (deficit)	4,970	4,803
Guarantor Subsidiaries [Member]
Condensed Consolidating Financial Information [Line Items]
Current assets	961	864
Property, plant, and equipment, net	1,166	1,079
Other assets	2,258	2,277
Total assets	4,385	4,220
Current liabilities	475	374
Intercompany payable	3,836	3,837
Other long-term liabilities	45	44
Stockholders' equity (deficit)	29	(35)
Total liabilities and stockholders' equity (deficit)	4,385	4,220
Non-Guarantor Subsidiaries [Member]
Condensed Consolidating Financial Information [Line Items]
Current assets	205	158
Intercompany receivable	114	40
Property, plant, and equipment, net	142	72
Other assets	113	737
Total assets	574	1,007
Current liabilities	94	83
Other long-term liabilities	4	6
Non-controlling interest	12
Stockholders' equity (deficit)	464	918
Total liabilities and stockholders' equity (deficit)	574	1,007
Eliminations [Member]
Condensed Consolidating Financial Information [Line Items]
Current assets		(10)
Intercompany receivable	(3,519)	(3,836)
Other assets	(1,297)	(2,304)
Total assets	(4,816)	(6,150)
Current liabilities		(11)
Intercompany payable	(3,521)	(3,837)
Other long-term liabilities		(732)
Non-controlling interest	(12)
Stockholders' equity (deficit)	(1,283)	(1,570)
Total liabilities and stockholders' equity (deficit)	$ (4,816)	$ (6,150)

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Consolidated Statements Of Cash Flows (USD $) In Millions, unless otherwise specified	9 Months Ended
	Jun. 28, 2014	Jun. 29, 2013
Cash Flows from Operating Activities:
Net income	$ 33	$ 31
Adjustments to reconcile net cash provided by operating activities:
Depreciation	184	177
Amortization of intangibles	77	81
Non-cash interest expense	5	11
Deferred income tax	(15)	18
Debt extinguishment	35	64
Settlement of interest rate hedge		16
Stock compensation expense	12	6
Impairment of long-lived assets	6
Other non-cash items		(6)
Changes in operating assets and liabilities:
Accounts receivable, net	(21)	(13)
Inventories	(35)	(41)
Prepaid expenses and other assets	2	13
Accounts payable and other liabilities	87	(60)
Net cash from operating activities	370	297
Cash Flows from Investing Activities:
Additions to property, plant and equipment	(172)	(179)
Proceeds from sale of assets	5	5
Acquisition of businesses, net of cash acquired	(225)	(24)
Net cash from investing activities	(392)	(198)
Cash Flows from Financing Activities:
Proceeds from long-term borrowings	1,664	1,391
Repayments on long-term borrowings	(1,675)	(1,968)
Proceeds from issuance of common stock	13	21
Repayment of notes receivable		2
Payment of tax receivable agreement	(32)	(5)
Debt financing costs	(44)	(39)
Proceeds from initial public offering		438
Net cash from financing activities	(74)	(160)
Effect of exchange rate changes on cash	(1)	(1)
Net change in cash	(97)	(62)
Cash and cash equivalents at beginning of period	142	87
Cash and cash equivalents at end of period	$ 45	$ 25

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Long-Term Debt (Narrative) (Details) (USD $)					1 Months Ended						1 Months Ended				1 Months Ended
	Jun. 28, 2014	Mar. 31, 2014	Feb. 28, 2014	Sep. 28, 2013	Jan. 31, 2014 Term Loans [Member]	Jun. 28, 2014 Term Loans [Member]	Jun. 28, 2014 Revolving Line Of Credit [Member]	Jun. 28, 2014 Revolving Line Of Credit [Member] Letter of Credit [Member]	Jun. 30, 2014 11% Senior Subordinated Notes [Member]	Oct. 31, 2012 11% Senior Subordinated Notes [Member]	Jun. 30, 2014 Senior Unsecured Term Loan [Member]	Jun. 30, 2014 5 1/2% Second Priority Senior Secured Note [Member]	May 31, 2014 5 1/2% Second Priority Senior Secured Note [Member]	Jun. 30, 2014 10 1/4% Senior Subordinated Notes [Member]	Jan. 31, 2014 Incremental Term Loan [Member]	Jan. 31, 2014 Incremental Term Loan [Member] Libor [Member]
Debt Instrument [Line Items]
Debt instrument, face amount						$ 2,500,000,000		$ 130,000,000
Credit facility, maximum borrowing capacity							650,000,000
Letters of credit outstanding	37,000,000
Credit facility, remaining borrowing capacity	574,000,000
Amount of debt extinguished					2,000,000
Debt discount, net	20,000,000			8,000,000											9,000,000
Debt instrument, interest rate, stated percentage		2.59%	13.00%						11.00%	11.00%				10.25%
Increase in additional borrowings															1,125,000,000
Debt instrument, percent added to reference rate																2.75%
NotesIssued1												500,000,000
Loss on distinguishment													33,000,000
Debt discount related to this refinancing													5,000,000
Net cash impact of the of the discharge											$ 18,000,000
Purchased assignments percentage											98.00%

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Long-Term Debt (Tables)

9 Months Ended

Jun. 28, 2014

Long-Term Debt [Abstract]

Summary Of Long-Term Debt

			June 28,			September 28,
	Maturity Date		2014			2013
Term loan	January 2021	$	1,125		$	1,125
Term loan	February 2020		1,386			1,397
Revolving line of credit	June 2016		39			—
5½% Second Priority Senior Secured Notes	May 2022		500			—
9¾% Second Priority Senior Secured Notes	January 2021		800			800
Retired debt			—			518
Debt discount, net			(20	)		(8	)
Capital leases and other	Various		125			114
			3,955			3,946
Less current portion of long-term debt			(56	)		(71	)
		$	3,899		$	3,875

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Long-Term Debt (Summary Of Long-Term Debt) (Details) (USD $) In Millions, unless otherwise specified					3 Months Ended		3 Months Ended		3 Months Ended			3 Months Ended
	Jun. 28, 2014	Mar. 31, 2014	Feb. 28, 2014	Sep. 28, 2013	Jun. 28, 2014 Term Loan Due January 2021 [Member]	Sep. 28, 2013 Term Loan Due January 2021 [Member]	Jun. 28, 2014 Term Loan Due February 2020 [Member]	Sep. 28, 2013 Term Loan Due February 2020 [Member]	Jun. 28, 2014 Revolving Line Of Credit [Member]	Sep. 28, 2013 Revolving Line Of Credit [Member]	Jun. 28, 2014 5 1/2% Second Priority Senior Secured Note [Member]	Jun. 28, 2014 9 1/2% Second Priority Senior Secured Notes [Member]	Jun. 28, 2014 9 3/4% Second Priority Senior Secured Notes [Member]	Jun. 30, 2014 9 3/4% Second Priority Senior Secured Notes [Member]	Sep. 28, 2013 9 3/4% Second Priority Senior Secured Notes [Member]	Sep. 28, 2013 Senior Unsecured Term Loan [Member]
Debt Instrument [Line Items]
Long-term debt		$ 1			$ 1,125	$ 1,125	$ 1,386	$ 1,397	$ 39		$ 500		$ 800		$ 800	$ 518
Debt discount, net	(20)			(8)
Capital leases and other	125			114
Debt and Capital Lease Obligations, Total	3,955			3,946
Less current portion of long-term debt	(56)			(71)
Long-term debt, less current portion	$ 3,899			$ 3,875
Debt instrument, interest rate, stated percentage		2.59%	13.00%											9.75%
Maturity date					Jan. 01, 2021		Feb. 01, 2020		Jun. 01, 2016			May 01, 2022	Jan. 01, 2021

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Income Taxes (Tables)

9 Months Ended

Jun. 28, 2014

Income Taxes [Abstract]

Reconciliation Of Income Tax Expense (Benefit)

								Three Quarterly Periods
		Quarterly Period Ended						Ended
		June 28,			June 29,			June 28,			June 29,
		2014			2013			2014			2013
Income tax expense (benefit) computed at statutory
rate	$	(2	)	$	22		$	8		$	18
State income tax benefit, net of federal taxes		—			1			—			1
Uncertain tax position		—			—			(1	)		—
Change in valuation allowance		1			—			1			1
Research and development credits		(18	)		—			(18	)		—
Other		—			(1	)		—			(1	)
Income tax expense (benefit)	$	(19	)	$	22		$	(10	)	$	19

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Background

9 Months Ended

Jun. 28, 2014

Background [Abstract]

Background

1. Background

Berry Plastics Group, Inc. ("Berry" or the "Company") is a leading provider of value-added plastic consumer packaging and engineered materials with a track record of delivering high-quality customized solutions to our customers. Representative examples of our products include drink cups, thin-wall containers, bottles, specialty closures, prescription vials, specialty films, adhesives and corrosion protection materials. We sell our solutions predominantly into consumer-oriented end-markets, such as food and beverage, healthcare and personal care.

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Consolidated Balance Sheets (Parenthetical) (USD $) In Millions, except Share data, unless otherwise specified	Jun. 28, 2014	Sep. 28, 2013
Consolidated Balance Sheets [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 4	$ 3
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	400,000,000	400,000,000
Common stock, shares issued	117,578,327	115,895,927
Common stock, shares outstanding	117,507,843	115,825,443

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Contingencies And Commitments

9 Months Ended

Jun. 28, 2014

Contingencies And Commitments [Abstract]

Contingencies And Commitments

11. Contingencies and Commitments

The Company is party to various legal proceedings involving routine claims which are incidental to the business. Although the legal and financial liability with respect to such proceedings cannot be estimated with certainty, the Company believes that any ultimate liability would not be material to the business, financial condition, results of operations or cash flows of the Company.

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Document And Entity Information In Millions, unless otherwise specified	9 Months Ended
	Jun. 28, 2014	Aug. 01, 2014
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 28, 2014
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2014
Entity Registrant Name	BERRY PLASTICS GROUP INC
Entity Central Index Key	0001378992
Trading Symbol	bery
Current Fiscal Year End Date	--09-28
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		117.5

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Basic and Diluted Net Income per Share

9 Months Ended

Jun. 28, 2014

Basic and Diluted Net Income per Share [Abstract]

Basic and Diluted Net Income per Share

12. Basic and Diluted Net Income per Share

Basic net income per share is calculated by dividing the net income attributable to common stockholders by the weighted-average number of common shares outstanding during the period, without consideration for common stock equivalents. Diluted net income per share is computed by dividing the net income attributable to common stockholders by the weighted-average number of common share equivalents outstanding for the period determined using the treasury-stock method and the if-converted method. For purposes of this calculation, stock options are considered to be common stock equivalents and are only included in the calculation of diluted net income per share when their effect is dilutive. The Company's redeemable common stock is included in the weighted-average number of common shares outstanding for calculating basic and diluted net income per share.

The following tables and discussion provide a reconciliation of the numerator and denominator of the basic and diluted net income per share computations. The calculation below provides net income on both basic and diluted basis for the quarterly period ended June 28, 2014 and June 29, 2013.

						Three Quarterly Periods
		Quarterly Period Ended				Ended
		June 28,		June 29,		June 28,		June 29,
		2014		2013		2014		2013
Net income	$	15	$	40	$	33	$	31
Weighted average shares of common stock outstanding--
basic (in thousands)		117,304		114,132		116,609		112,839
Other common stock equivalents (in thousands)		4,477		6,419		4,203		5,869
Weighted average shares of common stock outstanding--
diluted (in thousands)		121,477		120,551		120,812		118,708
Basic net income per share available to common shareholders	$	0.13	$	0.35	$	0.28	$	0.27
Diluted net income per share available to common shareholders	$	0.12	$	0.33	$	0.27	$	0.26

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Consolidated Statements of Operations and Comprehensive Income (USD $) In Millions, except Share data in Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Jun. 28, 2014	Jun. 28, 2013	Jun. 28, 2014	Jun. 29, 2013
Consolidated Statements of Operations and Comprehensive Income [Abstract]
Net sales	$ 1,298	$ 1,221	$ 3,648	$ 3,443
Costs and expenses:
Cost of goods sold	1,089	998	3,076	2,829
Selling, general and administrative	85	78	244	230
Amortization of intangibles	26	27	77	81
Restructuring and impairment charges	15	1	28	7
Operating income	83	117	223	296
Debt extinguishment	33		35	64
Other income, net	(2)	(2)	(3)	(6)
Interest expense, net	56	57	168	188
Income (loss) before income taxes	(4)	62	23	50
Income tax expense (benefit)	(19)	22	(10)	19
Consolidated net income	15	40	33	31
Net income attributable to noncontrolling interests
Net income attributable to the Company	15	40	33	31
Comprehensive income	$ 12	$ 45	$ 28	$ 34
Net income (loss) per share:
Basic	$ 0.13	$ 0.35	$ 0.28	$ 0.27
Diluted	$ 0.12	$ 0.33	$ 0.27	$ 0.26
Outstanding weighted-average shares: (in thousands)
Basic	117,304	114,132	116,609	112,839
Diluted	121,477	120,551	120,812	118,708

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Long-Term Debt

9 Months Ended

Jun. 28, 2014

Long-Term Debt [Abstract]

Long-Term Debt

6. Long-Term Debt

Long-term debt consists of the following:

			June 28,			September 28,
	Maturity Date		2014			2013
Term loan	January 2021	$	1,125		$	1,125
Term loan	February 2020		1,386			1,397
Revolving line of credit	June 2016		39			—
5½% Second Priority Senior Secured Notes	May 2022		500			—
9¾% Second Priority Senior Secured Notes	January 2021		800			800
Retired debt			—			518
Debt discount, net			(20	)		(8	)
Capital leases and other	Various		125			114
			3,955			3,946
Less current portion of long-term debt			(56	)		(71	)
		$	3,899		$	3,875

The Company's senior secured credit facilities consist of $2.5 billion of term loans and a $650 million asset based revolving line of credit. The availability under the revolving line of credit is the lesser of $650 million or based on a defined borrowing base which is calculated based on available accounts receivable and inventory. The revolving line of credit allows up to $130 million of letters of credit to be issued instead of borrowings under the revolving line of credit. At June 28, 2014, the Company had a $39 million outstanding balance on the revolving credit facility, $37 million outstanding letters of credit and no borrowing base reserve providing unused borrowing capacity of $574 million under the revolving line of credit. The Company was in compliance with all covenants as of June 28, 2014.

Term Loan Refinancing

In January 2014, the Company entered into an incremental assumption agreement to increase the commitments under the existing term loan credit agreement by $1,125 million. The Company borrowed loans in an aggregate principal amount equal to the full amount of the commitments on such date. The incremental term loan bears interest at LIBOR plus 2.75% per annum with a LIBOR floor of 1.00%, mature in January 2021 and is subject to customary amortization. The proceeds from the incremental term loan, in addition to existing liquidity, were used to satisfy the Corporation's outstanding term loan facility that was to mature in April 2015. The Company recognized a $2 million loss on extinguishment of debt and recorded $9 million of debt discount related to this debt refinancing.

5½% Second Priority Senior Secured Notes

In May 2014, Company issued $500 million of 5½% second priority senior secured notes due May 2022. Interest on the 5½% second priority senior secured notes is due semi-annually on May 15 and November 15. Proceeds from the issuance, in addition to existing liquidity, were used to satisfy and discharge all of the outstanding 9½% second priority senior secured notes. The Company recognized a $33 million loss on extinguishment of debt and recorded $5 million of debt discount related to this refinancing.

Senior Unsecured Term Loan

In June 2014, the Company used existing liquidity to satisfy Berry Plastics Group's outstanding senior unsecured term loan. The net cash impact of the of the discharge was $18 million as BP Parallel LLC, a non-guarantor subsidiary of the Company, had purchased assignments of approximately 98% of the total outstanding senior unsecured term loan in prior years.

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Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities

9 Months Ended

Jun. 28, 2014

Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities [Abstract]

Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities

5. Accrued Expenses, Other Current Liabilities and Other Long-Term Liabilities

The following table sets forth the totals included in Accrued expenses and other current liabilities on the Consolidated Balance Sheets.

		June 28,		September 28,
		2014		2013
Employee compensation, payroll and other taxes	$	89	$	86
Interest		57		45
Rebates		51		55
Tax receivable agreement obligation		71		32
Other		88		58
	$	356	$	276

The following table sets forth the totals included in Other long-term liabilities on the Consolidated Balance Sheets.

		June 28,		September 28,
		2014		2013
Lease retirement obligation	$	28	$	22
Sale-lease back deferred gain		30		32
Pension liability		38		43
Tax receivable agreement obligation		206		277
Other		20		13
	$	322	$	387

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Financial Instruments And Fair Value Measurements (Tables)

9 Months Ended

Jun. 28, 2014

Financial Instruments And Fair Value Measurements [Abstract]

Schedule Of Derivatives Not Designated As Hedging, By Balance Sheet Location

			June 28,		September 28,
Derivatives instruments	Balance Sheet Location		2014		2013
Interest rate swap — 2014 Swap	Other long-term liabilities	$	7	$	—
Interest rate swap — 2010 Swaps	Other long-term liabilities	$	—	$	1

Schedule Of Derivatives Not Designated As Hedging, By Statement Of Operations Location

			Quarterly Period Ended					Three Quarterly Periods
								Ended
Derivatives not designated as hedging	Statement of		June 28,		June 29,			June 28,			June 29,
instruments under FASB guidance	Operations Location		2014		2013			2014			2013
Interest rate swap — 2010 Swaps	Other income	$	—	$	(1	)	$	(1	)	$	(4	)
	Interest expense	$	—	$	1		$	1		$	3

Summary Of major categories Of Assets Measured at Fair Value on a Non-recurring Basis

As of June 28, 2014
		Level 1		Level 2		Level 3
		Quoted Prices in		Significant						Three Quarterly
		Active Markets for		Other		Significant				Periods Ended
		Identical Assets or		Observable		Unobservable				June 28, 2014
		Liabilities		Inputs		Inputs		Total		Impairment Loss
Indefinite-lived trademarks	$	—	$	—	$	207	$	207	$	—
Goodwill		—		—		1,652		1,652		—
Definite lived intangible assets		—		—		615		615		—
Property, plant, and equipment		—		—		1,406		1,406		6
Total	$	—	$	—	$	3,880	$	3,880	$	6

				As of September 28, 2013
		Level 1		Level 2		Level 3
		Quoted Prices in		Significant
		Active Markets for		Other		Significant
		Identical Assets or		Observable		Unobservable				Fiscal 2013
		Liabilities		Inputs		Inputs		Total		Impairment Loss
Indefinite-lived trademarks	$	—	$	—	$	207	$	207	$	—
Goodwill		—		—		1,634		1,634		—
Definite lived intangible assets		—		—		649		649		5
Property, plant, and equipment		—		—		1,266		1,266		—
Total	$	—	$	—	$	3,756	$	3,756	$	5

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Comprehensive Income

9 Months Ended

Jun. 28, 2014

Comprehensive Income [Abstract]

Comprehensive Income (Loss)

13. Comprehensive Income

Comprehensive income is comprised of net income and other comprehensive income (loss). Other comprehensive losses include net unrealized gains or losses resulting from currency translations of foreign subsidiaries, changes in the value of our derivative instruments and adjustments to the pension liability.

The balances related to each component of other comprehensive income (loss) during the three months ended June 28, 2014 were as follows:

					Defined Benefit Pension
		Currency			and Retiree Health			Interest Rate			Accumulated Other
		Translation			Benefit Plans			Hedges			Comprehensive Loss
Balance as of March 29, 2014	$	(24	)	$	(8	)	$	12		$	(20	)
Other comprehensive income (loss)		4			-			(10	)		(6	)
Tax benefits		-			-			3			3
Balance as of June 28, 2014	$	(20	)	$	(8	)	$	5		$	(23	)

The accumulated balances related to each component of other comprehensive income (loss) during the nine months ended June 28, 2014 were as follows:

					Defined Benefit Pension
		Currency			and Retiree Health			Interest Rate			Accumulated Other
		Translation			Benefit Plans			Hedges			Comprehensive Loss
Balance as of September 28, 2013	$	(20	)	$	(8	)	$	10		$	(18	)
Other comprehensive loss		-			-			(7	)		(7	)
Tax benefits		-			-			2			2
Balance as of June 28, 2014	$	(20	)	$	(8	)	$	5		$	(23	)

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Operating Segments

9 Months Ended

Jun. 28, 2014

Operating Segments [Abstract]

Operating Segments

9. Operating Segments

Berry's operations are organized into four reportable segments: Rigid Open Top, Rigid Closed Top, Engineered Materials, and Flexible Packaging. The Company has manufacturing and distribution centers in the United States, Canada, Mexico, Belgium, France, Australia, Germany, Brazil, Malaysia, India, China, and the Netherlands. The North American operation represents 95% of the Company's net sales, 93% of total long-lived assets, and 95% of the total assets. Selected information by reportable segment is presented in the following table:

						Three Quarterly
		Quarterly Period Ended				Periods Ended
		June 28,		June29,		June 28,	June 29,
		2014		2013		2014		2013
Net sales:
Rigid Open Top	$	303	$	312	$	820	$	828
Rigid Closed Top		381		370		1,073		1,036
Rigid Packaging	$	684	$	682	$	1,893	$	1,864
Engineered Materials		371		351		1,081		1,030
Flexible Packaging		243		188		674		549
Total net sales	$	1,298	$	1,221	$	3,648	$	3,443
Operating income:
Rigid Open Top	$	1	$	35	$	20	$	95
Rigid Closed Top		38		43		101		97
Rigid Packaging	$	39	$	78	$	121	$	192
Engineered Materials		33		31		90		88
Flexible Packaging		11		8		12		16
Total operating income	$	83	$	117	$	223	$	296
Depreciation and amortization:
Rigid Open Top	$	23	$	23	$	70	$	68
Rigid Closed Top		33		33		93		98
Rigid Packaging	$	56	$	56	$	163	$	166
Engineered Materials		19		18		56		53
Flexible Packaging		16		12		42		39
Total depreciation and amortization	$	91	$	86	$	261	$	258

		June 28,		September 28,
		2014		2013
Total assets:
Rigid Open Top	$	1,853	$	1,805
Rigid Closed Top		1,982		1,964
Rigid Packaging	$	3,835	$	3,769
Engineered Materials		781		817
Flexible Packaging		803		549
Total assets	$	5,419	$	5,135
Goodwill:
Rigid Open Top	$	681	$	681
Rigid Closed Top		828		831
Rigid Packaging	$	1,509	$	1,512
Engineered Materials		73		73
Flexible Packaging		70		49
Total goodwill	$	1,652	$	1,634

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Financial Instruments And Fair Value Measurements

9 Months Ended

Jun. 28, 2014

Financial Instruments And Fair Value Measurements [Abstract]

Financial Instruments And Fair Value Measurements

7. Financial Instruments and Fair Value Measurements

As part of the overall risk management, the Company uses derivative instruments to reduce exposure to changes in interest rates attributed to the Company's floating-rate borrowings. For those derivative instruments that are designated and qualify as hedging instruments, the Company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge, or a hedge of a net investment in a foreign operation. To the extent hedging relationships are found to be effective, as determined by FASB guidance, changes in fair value of the derivatives are offset by changes in the fair value of the related hedged item are recorded to Accumulated other comprehensive loss. Management believes hedge effectiveness is evaluated properly in preparation of the financial statements.

Cash Flow Hedging Strategy

For derivative instruments that are designated and qualify as cash flow hedges, the effective portion of the gain or loss on the derivative instrument is reported as a component of Accumulated other comprehensive loss and reclassified into earnings in the same line item associated with the forecasted transaction and in the same period or periods during which the hedged transaction affects earnings.

In November 2010, the Company entered into two separate interest rate swap transactions to manage cash flow variability associated with $1 billion of the outstanding variable rate term loan debt (the "2010 Swaps"). The first agreement had a notional amount of $500 million and became effective in November 2010. The agreement swapped three month variable LIBOR contracts for a fixed three year rate of 0.8925% and expired in November 2013. The second agreement had a notional amount of $500 million and became effective in December 2010. The agreement swapped three month variable LIBOR contracts for a fixed three year rate of 1.0235% and expired in November 2013. In August 2011, the Company began utilizing 1-month LIBOR contracts for the underlying senior secured credit facility. The Company's change in interest rate selection caused the Company to lose hedge accounting on both of the interest rate swaps. The Company recorded subsequent changes in fair value in the Consolidated Statement of Operations and amortized the unrealized losses to Interest expense through November 2013.

In February 2013, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt (the "2013 Swap"). The agreement swapped the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.355%, with an effective date in May 2016 and expiration in May 2019. In June 2013, the Company elected to settle this derivative instrument and received $16 million as a result of this settlement. The offset is included in Accumulated other comprehensive loss and will be amortized to Interest expense from May 2016 through May 2019, the original term of the swap agreement.

In March 2014, the Company entered into an interest rate swap transaction to manage cash flow variability associated with $1 billion of outstanding variable rate term loan debt (the "2014 Swap"). The agreement swaps the greater of a three-month variable LIBOR contract or 1.00% for a fixed three-year rate of 2.59%, with an effective date in February 2016 and expiration in February 2019. The Company records changes in fair value in Accumulated other comprehensive income.

			June 28,		September 28,
Derivatives instruments	Balance Sheet Location		2014		2013
Interest rate swap — 2014 Swap	Other long-term liabilities	$	7	$	—
Interest rate swap — 2010 Swaps	Other long-term liabilities	$	—	$	1

The effect of the derivative instruments on the Consolidated Statement of Operations is as follows:

			Quarterly Period Ended					Three Quarterly Periods
								Ended
Derivatives not designated as hedging	Statement of		June 28,		June 29,			June 28,			June 29,
instruments under FASB guidance	Operations Location		2014		2013			2014			2013
Interest rate swap — 2010 Swaps	Other income	$	—	$	(1	)	$	(1	)	$	(4	)
	Interest expense	$	—	$	1		$	1		$	3

Non-recurring Fair Value Measurements

The Company has certain assets that are measured at fair value on a non-recurring basis when impairment indicators are present. The assets are adjusted to fair value only when the carrying values exceed the fair values. The categorization of the framework used to price the assets is considered a Level 3, due to the subjective nature of the unobservable inputs used to determine the fair value. These assets include primarily our definite lived and indefinite lived intangible assets, including Goodwill and our property plant and equipment. The Company annually conducts a qualitative screen analysis for each of our reporting units to determine if it is more likely than not that a goodwill impairment exists and also performs a qualitative screen analysis to determine if any of our indefinite lived intangible assets may be impaired. If the conclusion is that it is more likely than not that an impairment may exist, the Company will perform a step one impairment evaluation of goodwill or other indefinite lived intangibles. Our annual analysis is performed as of the first date of the fourth quarter. We completed this assessment in the fourth quarter of 2013 and have not recorded any impairment charges. We utilize a methodology, which leverages a six year discounted cash flow analysis with a terminal year in combination with a comparable company market approach to determine the fair value of our reporting units.

Included in the following table are the major categories of assets measured at fair value on a non-recurring basis as of June 28, 2014 and September 28, 2013, along with the impairment loss recognized on the fair value measurement during the period:

				As of June 28, 2014
		Level 1		Level 2		Level 3
		Quoted Prices in		Significant						Three Quarterly
		Active Markets for		Other		Significant				Periods Ended
		Identical Assets or		Observable		Unobservable				June 28, 2014
		Liabilities		Inputs		Inputs		Total		Impairment Loss
Indefinite-lived trademarks	$	—	$	—	$	207	$	207	$	—
Goodwill		—		—		1,652		1,652		—
Definite lived intangible assets		—		—		615		615		—
Property, plant, and equipment		—		—		1,406		1,406		6
Total	$	—	$	—	$	3,880	$	3,880	$	6

				As of September 28, 2013
		Level 1		Level 2		Level 3
		Quoted Prices in		Significant
		Active Markets for		Other		Significant
		Identical Assets or		Observable		Unobservable				Fiscal 2013
		Liabilities		Inputs		Inputs		Total		Impairment Loss
Indefinite-lived trademarks	$	—	$	—	$	207	$	207	$	—
Goodwill		—		—		1,634		1,634		—
Definite lived intangible assets		—		—		649		649		5
Property, plant, and equipment		—		—		1,266		1,266		—
Total	$	—	$	—	$	3,756	$	3,756	$	5

Valuation of Property, Plant and Equipment and Definite Lived Intangible Assets

The Company periodically realigns its manufacturing operations which results in facilities being closed and equipment transferred to other facilities or equipment being scrapped. The Company utilizes appraised values to corroborate the fair value of the facilities and has utilized a scrap value based on prior facility shut downs to estimate the fair value of the

equipment, which has approximated the actual value that was received. When impairment indicators exist, the Company will also perform an undiscounted cash flow analysis to determine the recoverability of the Company's property, plant and equipment and definite lived intangibles.

The Company's financial instruments consist primarily of cash and cash equivalents, long-term debt and capital lease obligations. The fair value of our long-term indebtedness exceeded book value by $117 million as of June 28, 2014. The Company's long-term debt fair values were determined using Level 2 inputs as other significant observable inputs were not available.

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Income Taxes

9 Months Ended

Jun. 28, 2014

Income Taxes [Abstract]

Income Taxes

8. Income Taxes

The effective tax rate was negative 42% and 38% for the three quarterly periods ended June 28, 2014 and June 29, 2013, respectively. As a result of the completion of the review of the Company's pre-filing agreement with the Internal Revenue Service, the Company recognized cumulative research and development tax credits in the amount of $18 million during the quarterly period ended June 28, 2014. A reconciliation of income tax benefit, computed at the federal statutory rate, to income tax benefit, as provided for in the financial statements, is as follows:

								Three Quarterly Periods
		Quarterly Period Ended						Ended
		June 28,			June 29,			June 28,			June 29,
		2014			2013			2014			2013
Income tax expense (benefit) computed at statutory
rate	$	(2	)	$	22		$	8		$	18
State income tax benefit, net of federal taxes		—			1			—			1
Uncertain tax position		—			—			(1	)		—
Change in valuation allowance		1			—			1			1
Research and development credits		(18	)		—			(18	)		—
Other		—			(1	)		—			(1	)
Income tax expense (benefit)	$	(19	)	$	22		$	(10	)	$	19

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Guarantor And Non-Guarantor Financial Information

9 Months Ended

Jun. 28, 2014

Guarantor And Non-Guarantor Financial Information [Abstract]

Guarantor And Non-Guarantor Financial Information

10. Guarantor and Non-Guarantor Financial Information

Berry Plastics Corporation ("Issuer") has notes outstanding which are fully, jointly, severally, and unconditionally guaranteed by substantially all of Berry's domestic subsidiaries. Separate narrative information or financial statements of the guarantor subsidiaries have not been included because they are 100% owned by the parent company and the guarantor subsidiaries unconditionally guarantee such debt on a joint and several basis. A guarantee of a guarantor of the securities will terminate upon the following customary circumstances: the sale of the capital stock of such guarantor if such sale complies with the indenture, the designation of such guarantor as an unrestricted subsidiary, the defeasance or discharge of the indenture, as a result of the holders of certain other indebtedness foreclosing on a pledge of the shares of a guarantor subsidiary or if such guarantor no longer guarantees certain other indebtedness of the issuer. The guarantees are also limited as necessary to prevent them from constituting a fraudulent conveyance under applicable law and guarantees guaranteeing subordinated debt are subordinated to certain other of the Company's debts. Presented below is condensed consolidating financial information for the parent, issuer, guarantor subsidiaries and non-guarantor subsidiaries. Our issuer and guarantor financial information includes all of our domestic operating subsidiaries, our non-guarantor subsidiaries include our foreign subsidiaries and BP Parallel, LLC. BP Parallel, LLC is the entity that we established to buyback debt securities of Berry Plastics Group, Inc. and Berry Plastics Corporation. Berry Plastics Group, Inc. uses the equity method to account for its ownership in Berry Plastics Corporation in the Condensed Consolidating Supplemental Financial Statements. Berry Plastics Corporation uses the equity method to account for its ownership in the guarantor and non-guarantor subsidiaries. All consolidating entries are included in the eliminations column along with the elimination of intercompany balances.

In June 2014, the Company used existing liquidity to satisfy Berry Plastics Group's outstanding senior unsecured term loan. BP Parallel LLC had purchased assignments of approximately 98% of the total outstanding senior unsecured term loan in prior years.

Condensed Supplemental Consolidated Balance Sheet

	June 28, 2014
									Non—
							Guarantor		Guarantor
		Parent			Issuer		Subsidiaries		Subsidiaries		Eliminations			Total
Current assets		242			100		961		205		—			1,508
Intercompany receivable		—			3,405		—		114		(3,519	)		—
Property, plant, and equipment, net		—			98		1,166		142		—			1,406
Other assets		64			1,367		2,258		113		(1,297	)		2,505
Total assets	$	306		$	4,970	$	4,385	$	574	$	(4,816	)	$	5,419
Current liabilities		71			214		475		94		—			854
Intercompany payable		(315	)		—		3,836		—		(3,521	)		—
Other long-term liabilities		668			3,966		45		4		—			4,683
Non-controlling interest		12			—		—		12		(12	)		12
Stockholders' equity (deficit)		(130	)		790		29		464		(1,283	)		(130	)
Total liabilities and stockholders' equity (deficit)	$	306		$	4,970	$	4,385	$	574	$	(4,816	)	$	5,419

	September 28, 2013
										Non—
							Guarantor			Guarantor
		Parent			Issuer		Subsidiaries			Subsidiaries		Eliminations			Total
Current assets		139			186		864			158		(10	)		1,337
Intercompany receivable		348			3,448		—			40		(3,836	)		—
Property, plant and equipment, net		—			115		1,079			72		—			1,266
Other assets		768			1,054		2,277			737		(2,304	)		2,532
Total assets	$	1,255		$	4,803	$	4,220		$	1,007	$	(6,150	)	$	5,135
Current liabilities		41			197		374			83		(11	)		684
Intercompany payable		—			—		3,837			—		(3,837	)		—
Other long-term liabilities		1,410			3,919		44			6		(732	)		4,647
Stockholders' equity (deficit)		(196	)		687		(35	)		918		(1,570	)		(196	)
Total liabilities and stockholders' equity (deficit)	$	1,255		$	4,803	$	4,220		$	1,007	$	(6,150	)	$	5,135

Condensed Supplemental Consolidated Statements of Operations

	Quarterly Period Ended June 28, 2014
										Non-
								Guarantor		Guarantor
		Parent			Issuer			Subsidiaries		Subsidiaries			Eliminations			Total
Net sales	$	—		$	165		$	1,019	$	114		$	—		$	1,298
Cost of goods sold		—			145			854		90			—			1,089
Selling, general and administrative		—			13			62		10			—			85
Amortization of intangibles		—			3			21		2			—			26
Restructuring and impairment charges		—			—			15		—			—			15
Operating income (loss)		—			4			67		12			—			83
Debt extinguishment		—			33			—		—			—			33
Other income, net		—			(2	)		—		—			—			(2	)
Interest expense, net		10			7			43		(35	)		31			56
Equity in net income of subsidiaries		(6	)		(73	)		—		—			79			—
Income (loss) before income taxes		(4	)		39			24		47			(110	)		(4	)
Income tax expense (benefit)		(19	)		(7	)		—		1			6			(19	)
Consolidated net income (loss)	$	15		$	46		$	24	$	46		$	(116	)	$	15
Net income attributable to noncontrolling interests		—			—			—		—			—			—
Net income (loss) attributable to the Company	$	15		$	46		$	24	$	46		$	(116	)	$	15
Comprehensive income (loss)	$	15		$	39		$	26	$	48		$	(116	)	$	12

	Quarterly Period Ended June 29, 2013
										Non-
								Guarantor		Guarantor
		Parent			Issuer			Subsidiaries		Subsidiaries			Eliminations			Total
Net sales	$	—		$	146		$	978	$	97		$	—		$	1,221
Cost of goods sold		—			118			793		87			—			998
Selling, general and administrative expenses		—			12			58		8			—			78
Amortization of intangibles		—			3			22		2			—			27
Restructuring and impairment charges		—			1			—		—			—			1
Operating income (loss)		—			12			105		—			—			117
Debt extinguishment		—			—			—		—			—			—
Other income, net		—			(4	)		2		—			—			(2	)
Interest expense, net		12			1			49		(29	)		24			57
Equity in net income of subsidiaries		(74	)		(82	)		—		—			156			—
Income (loss) before income taxes		62			97			54		29			(180	)		62
Income tax expense (benefit)		22			32			—		1			(33	)		22
Consolidated net income (loss)	$	40		$	65		$	54	$	28		$	(147	)	$	40
Comprehensive income (loss)	$	40		$	77		$	54	$	21		$	(147	)	$	45

	Three Quarterly Periods Ended June 28, 2014
											Non—
								Guarantor			Guarantor
		Parent			Issuer			Subsidiaries			Subsidiaries			Eliminations			Total
Net sales	$	—		$	466		$	2,884		$	298		$	—		$	3,648
Cost of goods sold		—			417			2,424			235			—			3,076
Selling, general and administrative expenses		—			47			172			25			—			244
Amortization of intangibles		—			7			64			6			—			77
Restructuring and impairment charges		—			—			28			—			—			28
Operating income (loss)		—			(5	)		196			32			—			223
Debt extinguishment		—			35			—			—			—			35
Other income, net		—			(1	)		(2	)		—			—			(3	)
Interest expense, net		34			20			133			(102	)		83			168
Equity in net income of subsidiaries		(57	)		(196	)		—			—			253			—
Income (loss) before income taxes		23			137			65			134			(336	)		23
Income tax expense (benefit)		(10	)		29			—			3			(32	)		(10	)
Consolidated net income (loss)	$	33		$	108		$	65		$	131		$	(304	)	$	33
Net income attributable to noncontrolling interests		—			—			—			—			—			—
Net income (loss) attributable to the Company	$	33		$	108		$	65		$	131		$	(304	)	$	33
Comprehensive income (loss)	$	33		$	105		$	65		$	129		$	(304	)	$	28
Consolidating Statement of Cash Flows
Cash Flows from Operating Activities	$	—		$	29		$	316		$	25		$	—		$	370
Cash Flows from Investing Activities
Additions to property, plant, and equipment		—			(10	)		(155	)		(7	)		—			(172	)
Proceeds from sale of assets		—			—			5			—			—			5
(Contributions) distributions to/from subsidiaries		727			(6	)		—			—			(721	)		—
Proceeds from sale of investments		—			—			—			721			(721	)		—
Intercompany advances (repayments)		—			(93	)		—			—			93			—
Acquisition of businesses, net of cash acquired		—			—			(135	)		(90	)		—			(225	)
Net cash from investing activities		727			(109	)		(285	)		624			(1,349	)		(392	)
Cash Flows from Financing Activities
Proceeds from long-term borrowings		—			1,664			—			—			—			1,664
Proceeds from issuance of common stock		13			—			—			—			—			13
Payment of tax receivable agreement		(32	)		—			—			—			—			(32	)
Debt financing costs		—			(44	)		—			—			—			(44	)
(Contributions) distributions to/from subsidiaries		—			—			—			(721	)		721			—
Repayments on long-term borrowings		(740	)		(1,656	)		—			—			721			(1,675	)
Changes in intercompany balances		32			—			(30	)		91			(93	)		—
Net cash from financing activities		(727	)		(36	)		(30	)		(630	)		1,349			(74	)
Effect of exchange rate changes on cash		—			—			—			)		—				(1	)
Net change in cash		—			(116	)		1					—				(97	)
Cash and cash equivalents at beginning of period		—			116			—					—				142
Cash and cash equivalents at end of period	$	—		$	—		$	1		$		$	—			$	45

	Three Quarterly Periods Ended June 29, 2013
											Non—
								Guarantor			Guarantor
		Parent			Issuer			Subsidiaries			Subsidiaries			Eliminations			Total
Net sales	$	—		$	416		$	2,746		$	281		$	—		$	3,443
Cost of goods sold		—			373			2,230			226			—			2,829
Selling, general and administrative expenses		—			29			176			25			—			230
Amortization of intangibles		—			9			67			5			—			81
Restructuring and impairment charges		—			1			6			—			—			7
Operating income (loss)		—			4			267			25			—			296
Debt extinguishment		—			64			—			—			—			64
Other income, net		—			(8	)		2			—			—			(6	)
Interest expense, net		34			18			153			(89	)		72			188
Equity in net income of subsidiaries		(84	)		(225	)		—			—			309			—
Income (loss) before income taxes		50			155			112			114			(381	)		50
Income tax expense (benefit)		19			56			(1	)		2			(57	)		19
Consolidated net income (loss)	$	31		$	99		$	113		$	112		$	(324	)	$	31
Comprehensive income (loss)	$	31		$	111		$	113		$	103		$	(324	)	$	34
Consolidating Statement of Cash Flows
Cash Flows from Operating Activities	$	—		$	15		$	276		$	6		$	—		$	297
Cash Flows from Investing Activities
Additions to property, plant, and equipment		—			(12	)		(154	)		(13	)		—			(179	)
Proceeds from sale of assets		—			—			5			—			—			5
Investment in Parent		—			—			—			(21	)		21			—
(Contributions) distributions to/from subsidiaries		(456	)		435			—			—			21			—
Intercompany advances (repayments)		—			101			—			—			(101	)		—
Acquisition of businesses, net of cash acquired		—			—			(24	)		—			—			(24	)
Net cash from investing activities		(456	)		524			(173	)		(34	)		(59	)		(198	)
Cash Flows from Financing Activities
Proceeds from long-term borrowings		—			1,391			—			—			—			1,391
Proceeds from issuance of common stock		21			—			—			—			—			21
Proceeds from initial public offering		438			—			—			—			—			438
Repayment of notes receivable		2			2			—			—			(2	)		2
Payment of tax receivable agreement		(5	)		(5	)		—			—			5			(5	)
Debt financing costs		—			(39	)		—			—			—			(39	)
Repayments on long-term borrowings		—			(1,947	)		—			—			(21	)		(1,968	)
Changes in intercompany balances		—			—			(103	)		5			98			—
Contribution from Issuer		—			—			—			21			(21	)		—
Net cash from financing activities		456			(598	)		(103	)		26			59			(160	)
Effect of exchange rate changes on cash		—			—			—			(1	)		—			(1	)
Net change in cash		—			(59	)		—			(3	)		—			(62	)
Cash and cash equivalents at beginning of period		—			66			—			21			—			87
Cash and cash equivalents at end of period	$	—		$	7		$	—		$	18		$	—		$	25

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Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities (Summary Of Other Long-Term Liabilities) (Details) (USD $) In Millions, unless otherwise specified	Jun. 28, 2014	Sep. 28, 2013
Extinguishment of Debt [Line Items]
Other long-term liabilities	$ 322	$ 387
Other long term liabilities [Member]
Extinguishment of Debt [Line Items]
Lease retirement obligation	28	22
Sale-lease back deferred gain	30	32
Pension liability	38	43
Tax receivable agreement obligation	206	277
Other	20	13
Other long-term liabilities	$ 322	$ 387

XML

Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities (Tables)

9 Months Ended

Jun. 28, 2014

Accrued Expenses, Other Current Liabilities And Other Long-Term Liabilities [Abstract]

Summary Of Accrued Expenses And Other Current Liabilities

		June 28,		September 28,
		2014		2013
Employee compensation, payroll and other taxes	$	89	$	86
Interest		57		45
Rebates		51		55
Tax receivable agreement obligation		71		32
Other		88		58
	$	356	$	276

Summary Of Other Long-Term Liabilities

		June 28,		September 28,
		2014		2013
Lease retirement obligation	$	28	$	22
Sale-lease back deferred gain		30		32
Pension liability		38		43
Tax receivable agreement obligation		206		277
Other		20		13
	$	322	$	387

XML

Guarantor And Non-Guarantor Financial Information (Tables)

9 Months Ended

Jun. 28, 2014

Guarantor And Non-Guarantor Financial Information [Abstract]

Condensed Supplemental Consolidated Financial Information

Condensed Supplemental Consolidated Balance Sheet

	June 28, 2014
									Non—
							Guarantor		Guarantor
		Parent			Issuer		Subsidiaries		Subsidiaries		Eliminations			Total
Current assets		242			100		961		205		—			1,508
Intercompany receivable		—			3,405		—		114		(3,519	)		—
Property, plant, and equipment, net		—			98		1,166		142		—			1,406
Other assets		64			1,367		2,258		113		(1,297	)		2,505
Total assets	$	306		$	4,970	$	4,385	$	574	$	(4,816	)	$	5,419
Current liabilities		71			214		475		94		—			854
Intercompany payable		(315	)		—		3,836		—		(3,521	)		—
Other long-term liabilities		668			3,966		45		4		—			4,683
Non-controlling interest		12			—		—		12		(12	)		12
Stockholders' equity (deficit)		(130	)		790		29		464		(1,283	)		(130	)
Total liabilities and stockholders' equity (deficit)	$	306		$	4,970	$	4,385	$	574	$	(4,816	)	$	5,419

	September 28, 2013
										Non—
							Guarantor			Guarantor
		Parent			Issuer		Subsidiaries			Subsidiaries		Eliminations			Total
Current assets		139			186		864			158		(10	)		1,337
Intercompany receivable		348			3,448		—			40		(3,836	)		—
Property, plant and equipment, net		—			115		1,079			72		—			1,266
Other assets		768			1,054		2,277			737		(2,304	)		2,532
Total assets	$	1,255		$	4,803	$	4,220		$	1,007	$	(6,150	)	$	5,135
Current liabilities		41			197		374			83		(11	)		684
Intercompany payable		—			—		3,837			—		(3,837	)		—
Other long-term liabilities		1,410			3,919		44			6		(732	)		4,647
Stockholders' equity (deficit)		(196	)		687		(35	)		918		(1,570	)		(196	)
Total liabilities and stockholders' equity (deficit)	$	1,255		$	4,803	$	4,220		$	1,007	$	(6,150	)	$	5,135

Condensed Supplemental Consolidated Statements of Operations

	Quarterly Period Ended June 28, 2014
										Non-
								Guarantor		Guarantor
		Parent			Issuer			Subsidiaries		Subsidiaries			Eliminations			Total
Net sales	$	—		$	165		$	1,019	$	114		$	—		$	1,298
Cost of goods sold		—			145			854		90			—			1,089
Selling, general and administrative		—			13			62		10			—			85
Amortization of intangibles		—			3			21		2			—			26
Restructuring and impairment charges		—			—			15		—			—			15
Operating income (loss)		—			4			67		12			—			83
Debt extinguishment		—			33			—		—			—			33
Other income, net		—			(2	)		—		—			—			(2	)
Interest expense, net		10			7			43		(35	)		31			56
Equity in net income of subsidiaries		(6	)		(73	)		—		—			79			—
Income (loss) before income taxes		(4	)		39			24		47			(110	)		(4	)
Income tax expense (benefit)		(19	)		(7	)		—		1			6			(19	)
Consolidated net income (loss)	$	15		$	46		$	24	$	46		$	(116	)	$	15
Net income attributable to noncontrolling interests		—			—			—		—			—			—
Net income (loss) attributable to the Company	$	15		$	46		$	24	$	46		$	(116	)	$	15
Comprehensive income (loss)	$	15		$	39		$	26	$	48		$	(116	)	$	12

	Quarterly Period Ended June 29, 2013
										Non-
								Guarantor		Guarantor
		Parent			Issuer			Subsidiaries		Subsidiaries			Eliminations			Total
Net sales	$	—		$	146		$	978	$	97		$	—		$	1,221
Cost of goods sold		—			118			793		87			—			998
Selling, general and administrative expenses		—			12			58		8			—			78
Amortization of intangibles		—			3			22		2			—			27
Restructuring and impairment charges		—			1			—		—			—			1
Operating income (loss)		—			12			105		—			—			117
Debt extinguishment		—			—			—		—			—			—
Other income, net		—			(4	)		2		—			—			(2	)
Interest expense, net		12			1			49		(29	)		24			57
Equity in net income of subsidiaries		(74	)		(82	)		—		—			156			—
Income (loss) before income taxes		62			97			54		29			(180	)		62
Income tax expense (benefit)		22			32			—		1			(33	)		22
Consolidated net income (loss)	$	40		$	65		$	54	$	28		$	(147	)	$	40
Comprehensive income (loss)	$	40		$	77		$	54	$	21		$	(147	)	$	45

	Three Quarterly Periods Ended June 28, 2014
											Non—
								Guarantor			Guarantor
		Parent			Issuer			Subsidiaries			Subsidiaries			Eliminations			Total
Net sales	$	—		$	466		$	2,884		$	298		$	—		$	3,648
Cost of goods sold		—			417			2,424			235			—			3,076
Selling, general and administrative expenses		—			47			172			25			—			244
Amortization of intangibles		—			7			64			6			—			77
Restructuring and impairment charges		—			—			28			—			—			28
Operating income (loss)		—			(5	)		196			32			—			223
Debt extinguishment		—			35			—			—			—			35
Other income, net		—			(1	)		(2	)		—			—			(3	)
Interest expense, net		34			20			133			(102	)		83			168
Equity in net income of subsidiaries		(57	)		(196	)		—			—			253			—
Income (loss) before income taxes		23			137			65			134			(336	)		23
Income tax expense (benefit)		(10	)		29			—			3			(32	)		(10	)
Consolidated net income (loss)	$	33		$	108		$	65		$	131		$	(304	)	$	33
Net income attributable to noncontrolling interests		—			—			—			—			—			—
Net income (loss) attributable to the Company	$	33		$	108		$	65		$	131		$	(304	)	$	33
Comprehensive income (loss)	$	33		$	105		$	65		$	129		$	(304	)	$	28
Consolidating Statement of Cash Flows
Cash Flows from Operating Activities	$	—		$	29		$	316		$	25		$	—		$	370
Cash Flows from Investing Activities
Additions to property, plant, and equipment		—			(10	)		(155	)		(7	)		—			(172	)
Proceeds from sale of assets		—			—			5			—			—			5
(Contributions) distributions to/from subsidiaries		727			(6	)		—			—			(721	)		—
Proceeds from sale of investments		—			—			—			721			(721	)		—
Intercompany advances (repayments)		—			(93	)		—			—			93			—
Acquisition of businesses, net of cash acquired		—			—			(135	)		(90	)		—			(225	)
Net cash from investing activities		727			(109	)		(285	)		624			(1,349	)		(392	)
Cash Flows from Financing Activities
Proceeds from long-term borrowings		—			1,664			—			—			—			1,664
Proceeds from issuance of common stock		13			—			—			—			—			13
Payment of tax receivable agreement		(32	)		—			—			—			—			(32	)
Debt financing costs		—			(44	)		—			—			—			(44	)
(Contributions) distributions to/from subsidiaries		—			—			—			(721	)		721			—
Repayments on long-term borrowings		(740	)		(1,656	)		—			—			721			(1,675	)
Changes in intercompany balances		32			—			(30	)		91			(93	)		—
Net cash from financing activities		(727	)		(36	)		(30	)		(630	)		1,349			(74	)
Effect of exchange rate changes on cash		—			—			—			)		—				(1	)
Net change in cash		—			(116	)		1					—				(97	)
Cash and cash equivalents at beginning of period		—			116			—					—				142
Cash and cash equivalents at end of period	$	—		$	—		$	1		$		$	—			$	45

	Three Quarterly Periods Ended June 29, 2013
											Non—
								Guarantor			Guarantor
		Parent			Issuer			Subsidiaries			Subsidiaries			Eliminations			Total
Net sales	$	—		$	416		$	2,746		$	281		$	—		$	3,443
Cost of goods sold		—			373			2,230			226			—			2,829
Selling, general and administrative expenses		—			29			176			25			—			230
Amortization of intangibles		—			9			67			5			—			81
Restructuring and impairment charges		—			1			6			—			—			7
Operating income (loss)		—			4			267			25			—			296
Debt extinguishment		—			64			—			—			—			64
Other income, net		—			(8	)		2			—			—			(6	)
Interest expense, net		34			18			153			(89	)		72			188
Equity in net income of subsidiaries		(84	)		(225	)		—			—			309			—
Income (loss) before income taxes		50			155			112			114			(381	)		50
Income tax expense (benefit)		19			56			(1	)		2			(57	)		19
Consolidated net income (loss)	$	31		$	99		$	113		$	112		$	(324	)	$	31
Comprehensive income (loss)	$	31		$	111		$	113		$	103		$	(324	)	$	34
Consolidating Statement of Cash Flows
Cash Flows from Operating Activities	$	—		$	15		$	276		$	6		$	—		$	297
Cash Flows from Investing Activities
Additions to property, plant, and equipment		—			(12	)		(154	)		(13	)		—			(179	)
Proceeds from sale of assets		—			—			5			—			—			5
Investment in Parent		—			—			—			(21	)		21			—
(Contributions) distributions to/from subsidiaries		(456	)		435			—			—			21			—
Intercompany advances (repayments)		—			101			—			—			(101	)		—
Acquisition of businesses, net of cash acquired		—			—			(24	)		—			—			(24	)
Net cash from investing activities		(456	)		524			(173	)		(34	)		(59	)		(198	)
Cash Flows from Financing Activities
Proceeds from long-term borrowings		—			1,391			—			—			—			1,391
Proceeds from issuance of common stock		21			—			—			—			—			21
Proceeds from initial public offering		438			—			—			—			—			438
Repayment of notes receivable		2			2			—			—			(2	)		2
Payment of tax receivable agreement		(5	)		(5	)		—			—			5			(5	)
Debt financing costs		—			(39	)		—			—			—			(39	)
Repayments on long-term borrowings		—			(1,947	)		—			—			(21	)		(1,968	)
Changes in intercompany balances		—			—			(103	)		5			98			—
Contribution from Issuer		—			—			—			21			(21	)		—
Net cash from financing activities		456			(598	)		(103	)		26			59			(160	)
Effect of exchange rate changes on cash		—			—			—			(1	)		—			(1	)
Net change in cash		—			(59	)		—			(3	)		—			(62	)
Cash and cash equivalents at beginning of period		—			66			—			21			—			87
Cash and cash equivalents at end of period	$	—		$	7		$	—		$	18		$	—		$	25

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Comprehensive Income (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended		3 Months Ended					3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended
	Jun. 28, 2014	Jun. 28, 2013	Jun. 28, 2014	Jun. 29, 2013	Jun. 28, 2014 Foreign Currency Translation [Member]	Sep. 28, 2013 Foreign Currency Translation [Member]	Jun. 28, 2014 Defined Benefit Pension and Retiree Health Benefit Plans [Member]	Mar. 29, 2014 Defined Benefit Pension and Retiree Health Benefit Plans [Member]	Sep. 28, 2013 Defined Benefit Pension and Retiree Health Benefit Plans [Member]	Jun. 28, 2014 Interest Rate Hedge [Member]	Jun. 28, 2014 Interest Rate Hedge [Member]	Jun. 28, 2014 Accumulated Other Comprehensive Loss [Member]	Jun. 28, 2014 Accumulated Other Comprehensive Loss [Member]
Accumulated Other Comprehensive Income (Loss), Net of Tax, Beginning Balance			$ (18)		$ (24)	$ (20)	$ (8)	$ (8)	$ (8)	$ 12	$ 10	$ (20)	$ (18)
OtherComprehensiveIncomeLossNetOfTax					4					(10)	(7)	(6)	(7)
Tax expense (benefit)	19	(22)	10	(19)						3	2	3	2
Accumulated Other Comprehensive Income (Loss), Net of Tax, Ending Balance	$ (23)		$ (23)		$ (20)	$ (20)	$ (8)	$ (8)	$ (8)	$ 5	$ 5	$ (23)	$ (23)

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Income Taxes (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Jun. 28, 2014	Jun. 28, 2013	Jun. 28, 2014	Jun. 29, 2013
Income Taxes [Abstract]
Effective tax rate from continuing operations			42.00%	38.00%
Cumulative research and development tax credits	$ 18.0		$ 18.0
Income tax expense (benefit) computed at statutory rate	(2)	22	8	18
State income tax benefit, net of federal taxes		1		1
Uncertain tax position			(1)
Change in valuation allowance	1		1	1
Other		(1)		(1)
Income tax expense (benefit)	$ (19)	$ 22	$ (10)	$ 19

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Consolidated Statement Of Changes In Stockholders' Equity (Deficit) (USD $) In Millions	Common Stock [Member]	Additional Paid-in Capital [Member]	Notes Receivable - Common Stock [Member]	Non-Controlling Interest [Member]	Accumulated Other Comprehensive Loss [Member]	Accumulated Deficit [Member]	Total
Balance at Sep. 28, 2012	$ 1	$ 131	$ (2)	$ 3	$ (47)	$ (561)	$ (475)
Proceeds from issuance of common stock		21					21
Stock compensation expense		6					6
Repayment of note receivable			2				2
Termination of redeemable shares redemption requirement		23					23
Proceeds from initial public offering		438					438
Initial obligation under tax receivable agreement		(300)					(300)
Derivative amortization					3		3
Interest rate hedge, net of tax					9		9
Net Income						31	31
Currency translation					(9)		(9)
Balance at Jun. 29, 2013	1	319		3	(44)	(530)	(251)
Balance at Sep. 28, 2013	1	322		3	(18)	(504)	(196)
Proceeds from issuance of common stock		13					13
Stock compensation expense		12					12
Initial obligation under tax receivable agreement		13					13
Interest rate hedge, net of tax					(5)		(5)
Net Income						33	33
Balance at Jun. 28, 2014	$ 1	$ 360		$ 3	$ (23)	$ (471)	$ (130)

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Restructuring And Impairment Charges

9 Months Ended

Jun. 28, 2014

Restructuring And Impairment Charges [Abstract]

Restructuring And Impairment Charges

4. Restructuring and Impairment Charges

In November 2013, the Company initiated a cost reduction plan designed to deliver meaningful cost savings and improved equipment utilization. This plan will result in several plant rationalizations. These costs will consist of one-time costs associated with facility consolidation, including severance and termination benefits, other costs associated with exiting facilities and non-cash asset impairment charges.

						Three Quarterly Periods
		Quarterly Period Ended					Ended
		June 28,		June 29,		June 28,		June 29,
		2014		2013		2014		2013
Rigid Open Top
Severance and termination benefits	$	—	$	—	$	2	$	1
Facility exit costs and other		8		—		8		—
Asset impairment		3		—		3		—
Total	$	11	$	—	$	13	$	1
Rigid Closed Top
Severance and termination benefits	$	—	$	—	$	—	$	2
Facility exit costs and other		—		—		1		1
Asset impairment		—		—		—		—
Total	$	—	$	—	$	1	$	3
Engineered Materials
Severance and termination benefits	$	—	$	—	$	2	$	1
Facility exit costs and other		1		1		1		1
Asset impairment		1		—		3		—
Total	$	2	$	1	$	6	$	2
Flexible Packaging
Severance and termination benefits	$	2	$	—	$	5	$	—
Facility exit costs and other		—		—		3		1
Asset impairment		—		—		—		—
Total	$	2	$	—	$	8	$	1
Consolidated
Severance and termination benefits	$	2	$	—	$	9	$	4
Facility exit costs and other		9		1		13		3
Asset impairment		4		—		6		—
Total	$	15	$	1	$	28	$	7

The table below sets forth the activity with respect to the restructuring accrual at September 28, 2013 and June 28, 2014:

		Severance and			Facilities
		termination			exit costs
		benefits			and other			Non-cash			Total
Balance at September 29, 2012	$	4		$	3		$	—		$	7
Charges		5			3			6			14
Non-cash asset impairment		—			—			(6	)		(6	)
Cash payments		(7	)		(4	)		—			(11	)
Balance at September 28, 2013		2			2			—			4
Charges		9			13			6			28
Non-cash asset impairment		—			—			(6	)		(6	)
Cash payments		(5	)		(6	)		—			(11	)
Balance at June 28, 2014	$	6		$	9		$	—		$	15

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Basic and Diluted Net Income per Share (Tables)

9 Months Ended

Jun. 28, 2014

Basic and Diluted Net Income per Share [Abstract]

Schedule Of Net Income (Loss) Per Share

						Three Quarterly Periods
		Quarterly Period Ended				Ended
		June 28,		June 29,		June 28,		June 29,
		2014		2013		2014		2013
Net income	$	15	$	40	$	33	$	31
Weighted average shares of common stock outstanding--
basic (in thousands)		117,304		114,132		116,609		112,839
Other common stock equivalents (in thousands)		4,477		6,419		4,203		5,869
Weighted average shares of common stock outstanding--
diluted (in thousands)		121,477		120,551		120,812		118,708
Basic net income per share available to common shareholders	$	0.13	$	0.35	$	0.28	$	0.27
Diluted net income per share available to common shareholders	$	0.12	$	0.33	$	0.27	$	0.26

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Financial Instruments And Fair Value Measurements (Schedule Of Derivatives Not Designated As Hedging, By Balance Sheet Location) (Details) (Interest Rate Swap [Member], Other Noncurrent Liabilities [Member], USD $) In Millions, unless otherwise specified	Jun. 28, 2014 2014 Swap [Member]	Sep. 28, 2013 2010 Swaps [Member]
Derivatives, Fair Value [Line Items]
Interest rate swaps	$ 7	$ 1

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Restructuring And Impairment Charges (Tables)

9 Months Ended

Jun. 28, 2014

Restructuring And Impairment Charges [Abstract]

Components Of Restructuring Charges By Segment

						Three Quarterly Periods
		Quarterly Period Ended					Ended
		June 28,		June 29,		June 28,		June 29,
		2014		2013		2014		2013
Rigid Open Top
Severance and termination benefits	$	—	$	—	$	2	$	1
Facility exit costs and other		8		—		8		—
Asset impairment		3		—		3		—
Total	$	11	$	—	$	13	$	1
Rigid Closed Top
Severance and termination benefits	$	—	$	—	$	—	$	2
Facility exit costs and other		—		—		1		1
Asset impairment		—		—		—		—
Total	$	—	$	—	$	1	$	3
Engineered Materials
Severance and termination benefits	$	—	$	—	$	2	$	1
Facility exit costs and other		1		1		1		1
Asset impairment		1		—		3		—
Total	$	2	$	1	$	6	$	2
Flexible Packaging
Severance and termination benefits	$	2	$	—	$	5	$	—
Facility exit costs and other		—		—		3		1
Asset impairment		—		—		—		—
Total	$	2	$	—	$	8	$	1
Consolidated
Severance and termination benefits	$	2	$	—	$	9	$	4
Facility exit costs and other		9		1		13		3
Asset impairment		4		—		6		—
Total	$	15	$	1	$	28	$	7

Summary Of Activity In Restructuring Accrual

		Severance and			Facilities
		termination			exit costs
		benefits			and other			Non-cash			Total
Balance at September 29, 2012	$	4		$	3		$	—		$	7
Charges		5			3			6			14
Non-cash asset impairment		—			—			(6	)		(6	)
Cash payments		(7	)		(4	)		—			(11	)
Balance at September 28, 2013		2			2			—			4
Charges		9			13			6			28
Non-cash asset impairment		—			—			(6	)		(6	)
Cash payments		(5	)		(6	)		—			(11	)
Balance at June 28, 2014	$	6		$	9		$	—		$	15