Assets Held-For-Sale

6 Months Ended

Jun. 18, 2011

Assets Held-For-Sale [Abstract]

ASSETS HELD-FOR-SALE

NOTE 13 — ASSETS HELD-FOR-SALE

Dole continuously reviews its assets in order to identify those assets that do not meet Dole’s future strategic direction or internal economic return criteria. As a result of this review, Dole has identified and is in the process of selling specific businesses and long-lived assets. Accordingly, Dole has reclassified these assets as held-for-sale.

Total assets held-for-sale by segment were as follows:

								Fresh-Cut
								Flowers —
				Fresh		Packaged		Discontinued			Total Assets
	Fresh Fruit			Vegetables		Foods		Operation			Held-For-Sale
	(In thousands)
Balance as of January 1, 2011	$	74,641		$	599	$	3,214	$	7,596		$	86,050
Additions		49,902			—		—		—			49,902
Sales		(8	)		—		—		(2,573	)		(2,581	)
Balance as of June 18, 2011	$	124,535		$	599	$	3,214	$	5,023		$	133,371

Total liabilities related to assets held-for-sale by segment were as follows:

							Fresh-Cut
							Flowers —
			Fresh		Packaged		Discontinued		Total Liabilities
	Fresh Fruit		Vegetables		Foods		Operation		Held-For-Sale
	(In thousands)
Balance as of January 1, 2011	$	—	$	—	$	—	$	—	$	—
Additions		22,098		—		—		—		22,098
Balance as of June 18, 2011	$	22,098	$	—	$	—	$	—	$	22,098

The major classes of assets and liabilities held-for-sale included in Dole’s condensed consolidated balance sheet at June 18, 2011 were as follows:

							Fresh-Cut
							Flowers —
			Fresh		Packaged		Discontinued		Total Assets
	Fresh Fruit		Vegetables		Foods		Operation		Held-For-Sale
	(In thousands)
Assets held-for-sale:
Receivables	$	32,245	$	—	$	—	$	—	$	32,245
Inventories		4,835		—		—		—		4,835
Prepaid expenses		3,072		—		—		—		3,072
Deferred income tax assets		2,506		—		—		—		2,506
Property, plant and equipment, net of accumulated depreciation		81,566		599		3,214		5,023		90,402
Intangible assets, net		59		—		—		—		59
Other assets, net		252		—		—		—		252
Total assets held-for-sale	$	124,535	$	599	$	3,214	$	5,023	$	133,371

							Fresh-Cut
							Flowers —
			Fresh		Packaged		Discontinued		Total Liabilities
	Fresh Fruit		Vegetables		Foods		Operation		Held-For-Sale
	(In thousands)
Liabilities related to assets held-for-sale:
Accounts payable and accrued liabilities	$	17,122	$	—	$	—	$	—	$	17,122
Current portion of long-term debt		865		—		—		—		865
Long-term debt		3,742		—		—		—		3,742
Other liabilities		369		—		—		—		369
Total liabilities related to assets held-for-sale	$	22,098	$	—	$	—	$	—	$	22,098

Due to challenges experienced in the global real estate markets, certain assets have been classified in assets held-for-sale for greater than one year. Dole expects market conditions to improve and as a result, continues to actively market these assets and classify them as assets held-for-sale.

Gains on asset sales by segment for the quarters ended June 18, 2011 and June 19, 2010 were as follows:

							Total from
			Fresh		Packaged		Continuing		Discontinued
	Fresh Fruit		Vegetables		Foods		Operations		Operations		Total
	(In thousands)
June 18, 2011	$	11	$	—	$	—	$	11	$	339	$	350
June 19, 2010	$	950	$	—	$	—	$	950	$	—	$	950

Gains on asset sales by segment for the half years ended June 18, 2011 and June 19, 2010 were as follows:

							Total from
			Fresh		Packaged		Continuing		Discontinued
	Fresh Fruit		Vegetables		Foods		Operations		Operations		Total
	(In thousands)
June 18, 2011	$	11	$	—	$	—	$	11	$	339	$	350
June 19, 2010	$	2,921	$	—	$	—	$	2,921	$	—	$	2,921

Proceeds from asset sales by segment for the quarters ended June 18, 2011 and June 19, 2010 were as follows:

							Total from
			Fresh		Packaged		Continuing		Discontinued
	Fresh Fruit		Vegetables		Foods		Operations		Operations		Total
	(In thousands)
June 18, 2011	$	1,329	$	—	$	—	$	1,329	$	2,912	$	4,241
June 19, 2010	$	8,097	$	—	$	—	$	8,097	$	—	$	8,097

Proceeds from asset sales by segment for the half years ended June 18, 2011 and June 19, 2010 were as follows:

							Total from
			Fresh		Packaged		Continuing		Discontinued
	Fresh Fruit		Vegetables		Foods		Operations		Operations		Total
	(In thousands)
June 18, 2011	$	1,329	$	—	$	—	$	1,329	$	2,912	$	4,241
June 19, 2010	$	17,583	$	—	$	—	$	17,583	$	—	$	17,583

Fresh Fruit

During the quarter ended June 18, 2011, Dole added $49.9 million and $22.1 million to the assets held-for-sale and liabilities related to assets held-for-sale balances, respectively. These balances relate to a subsidiary in Spain and certain assets of an Italian subsidiary, which are both part of the European ripening and distribution business and met the criteria to be classified as assets held-for-sale during the second quarter of 2011.

At June 18, 2011, the assets held-for-sale balance in the fresh fruit reporting segment also includes approximately 9,300 acres of land in Hawaii. During the second quarter of 2011, Dole sold a nominal amount of land in Hawaii.

Packaged Foods

At June 18, 2011, the assets held-for-sale balance in the packaged foods reporting segment consists primarily of approximately 400 acres of peach orchards located in California.

Flowers — Discontinued Operations

At June 18, 2011, the assets held-for-sale balance in the fresh-cut flowers — discontinued operation consists of a portion of the real estate of the former flowers divisions. During the second quarter of 2011, Dole sold a warehouse located in Miami, Florida to the buyer of the flowers business. In addition, during the second quarter of 2011 Dole sold a farm in Colombia. Related to these two transactions, Dole received cash proceeds of $2.9 million and recorded a gain of $0.3 million, which is included as a component of gain on disposal of discontinued operations, net of incomes taxes in the condensed consolidated statement of operations for the quarter and half year ended June 18, 2011.