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Segment Reporting (Notes)
 9 Months Ended
Jan. 30, 2021
Segment Reporting
Note 6. Segment Reporting
We have three reportable segments: Retail, Wholesale and DSS. Additionally, unallocated shared-service costs, which include various corporate level expenses and other governance functions, continue to be presented as “Corporate Services”.
We identify our segments in accordance with the way our business is managed (focusing on the financial information distributed) and the manner in which our chief operating decision maker allocates resources and assesses financial performance. The following summarizes the three segments. For additional information about each segment's operations, see Part I - Item 1. Business in our Annual Report on Form 10-K for the fiscal year ended May 2, 2020.
Retail
The Retail Segment operates 1,441 college, university, and K-12 school bookstores, comprised of 765 physical bookstores and 676 virtual bookstores. Our bookstores typically operate under agreements with the college, university, or K-12 schools to be the official bookstore and the exclusive seller of course materials and supplies, including physical and digital products. The majority of the physical campus bookstores have school-branded e-commerce sites which we operate and which offer students access to affordable course materials and affinity products, including emblematic apparel and gifts. The Retail Segment also offers inclusive access programs, in which course materials are offered at a reduced price through a fee charged by the institution or included in tuition, and delivered to students on or before the first day of class. Additionally, the Retail Segment offers a suite of digital content and services to colleges and universities, including a variety of open educational resource-based courseware.
Wholesale
The Wholesale Segment is comprised of our wholesale textbook business and is one of the largest textbook wholesalers in the country. The Wholesale Segment centrally sources, sells, and distributes new and used textbooks to approximately 3,300 physical bookstores (including our Retail Segment's 765 physical bookstores) and sources and distributes new and used textbooks to our 676 virtual bookstores. Additionally, the Wholesale Segment sells hardware and a software suite of applications that provides inventory management and point-of-sale solutions to approximately 400 college bookstores.
DSS
The Digital Student Solutions (“DSS”) Segment includes direct-to-student products and services to assist students to study more effectively and improve academic performance. The DSS Segment is comprised of the operations of Student Brands, LLC, a leading direct-to-student subscription-based writing services business, and bartleby®, a direct-to-student subscription-based offering providing textbook solutions, expert questions and answers, writing and tutoring.
Corporate Services represents unallocated shared-service costs which include corporate level expenses and other governance functions, including executive functions, such as accounting, legal, treasury, information technology, and human resources.
Intercompany Eliminations
The eliminations are primarily related to the following intercompany activities:
•The sales eliminations represent the elimination of Wholesale sales and fulfillment service fees to Retail and the elimination of Retail commissions earned from Wholesale, and
•These cost of sales eliminations represent (i) the recognition of intercompany profit for Retail inventory that was purchased from Wholesale in a prior period that was subsequently sold to external customers during the current period and the elimination of Wholesale service fees charged for fulfillment of inventory for virtual store sales, net of (ii) the elimination of intercompany profit for Wholesale inventory purchases by Retail that remain in ending inventory at the end of the current period.
Our international operations are not material and the majority of the revenue and total assets are within the United States.
Summarized financial information for our reportable segments is reported below:
13 weeks ended39 weeks ended
January 30,
2021		January 25,
2020		January 30,
2021		January 25,
2020
Sales:
Retail$387,669 $457,988 $1,122,959 $1,474,413 
Wholesale39,465 66,996 156,146 179,515 
DSS7,206 6,435 19,025 17,024 
Elimination (22,727)(29,127)(87,018)(76,775)
Total Sales$411,613 $502,292 $1,211,112 $1,594,177 
Gross Profit
Retail$53,523 $99,790 $165,170 $322,869 
Wholesale10,658 14,235 38,129 41,688 
DSS5,882 5,283 15,290 13,838 
Elimination549 (773)(1,830)(1,253)
Total Gross Profit$70,612 $118,535 $216,759 $377,142 
Depreciation and Amortization
Retail$9,806 $11,699 $30,361 $35,372 
Wholesale1,614 1,483 4,231 4,531 
DSS1,863 1,904 5,883 6,543 
Corporate Services24 31 88 96 
Total Depreciation and Amortization$13,307 $15,117 $40,563 $46,542 
Operating (Loss) Income
Retail$(59,996)$(3,747)$(107,740)$11,478 
Wholesale4,708 8,440 21,625 23,493 
DSS(2,567)(1,608)(6,218)(6,420)
Corporate Services(7,451)(5,412)(22,847)(17,832)
Elimination 604 (644)(1,704)(1,071)
Total Operating (Loss) Income$(64,702)$(2,971)$(116,884)$9,648 
13 weeks ended39 weeks ended
January 30,
2021		January 25,
2020		January 30,
2021		January 25,
2020
The following is a reconciliation of segment Operating (Loss) Income to consolidated (Loss) Income Before Income Taxes:
Total Operating (Loss) Income$(64,702)$(2,971)$(116,884)$9,648 
Interest Expense, net2,311 1,904 5,876 5,882 
(Loss) Income Before Income Taxes$(67,013)$(4,875)$(122,760)$3,766