NOTE 9—ASSETS HELD-FOR-SALE AND ACTIVELY MARKETED LAND

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 certain long-lived assets. Accordingly, Dole has assets classified as either held-for-sale or actively marketed land.

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


	Fresh Fruit			Fresh Vegetables		Packaged Foods		Fresh-Cut Flowers— Discontinued Operation		Total Assets Held-for-Sale
	(In thousands)
Balance as of December 31, 2011	$	66,805		$	599	$	3,214	$	5,023	$	75,641
Additions		1,034			—		—		—		1,034
Sales		(52,839	)		—		—		—		(52,839	)
Reclassifications		(2,348	)		—		—		—		(2,348	)

Balance as of October 6, 2012	$	12,652		$	599	$	3,214	$	5,023	$	21,488

Assets held-for-sale included on Dole’s condensed consolidated balance sheet as of October 6, 2012 consisted of property, plant and equipment, net of accumulated depreciation.

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


	Fresh Fruit			Fresh Vegetables		Packaged Foods		Fresh-Cut Flowers— Discontinued Operation		Total Liabilities Held-for-Sale
	(In thousands)
Balance as of December 31, 2011	$	49,117		$	—	$	—	$	—	$	49,117
Sales		(49,117	)		—		—		—		(49,117	)

Balance as of October 6, 2012	$	—		$	—	$	—	$	—	$	—

Gains on asset sales by segment were as follows:


	Quarter Ended				Three Quarters Ended
	October 6, 2012		October 8, 2011		October 6, 2012		October 8, 2011
	(In thousands)
Fresh Fruit	$	5,759	$	3,326	$	11,916	$	3,337
Fresh Vegetables		—		—		—		—
Packaged Foods		—		—		—		—

Total from Continuing Operations		5,759		3,326		11,916		3,337
Fresh-Cut Flowers—Discontinued Operations		—		—		—		339

	$	5,759	$	3,326	$	11,916	$	3,676

Proceeds from asset sales by segment were as follows:


	Quarter Ended				Three Quarters Ended
	October 6, 2012		October 8, 2011		October 6, 2012		October 8, 2011
	(In thousands)
Fresh Fruit	$	11,272	$	10,350	$	35,669	$	11,679
Fresh Vegetables		—		—		—		—
Packaged Foods		—		—		—		—

Total from Continuing Operations		11,272		10,350		35,669		11,679
Fresh-Cut Flowers—Discontinued Operations		—		—		1,279		2,912

	$	11,272	$	10,350	$	36,948	$	14,591

Fresh Fruit

During the fourth quarter of 2011, Dole entered into an agreement to sell a German subsidiary which was part of the European ripening and distribution business within the fresh fruit segment. The sale was completed during the first quarter of 2012. Net consideration from the sale totaled approximately $49.6 million. Of this amount, $20.6 million of cash proceeds, net of cash disposed, was collected and the remaining $29 million (€22 million) was recorded as notes receivable, which mature on various dates through March 2022. Dole realized a gain of $27 million on the sale, of which $3.2 million was recorded during the first quarter of 2012, resulting in deferred income of $23.8 million (€18 million), which will be recognized as cash on the notes receivable are collected. During the second quarter of 2012, $0.8 million was collected and recorded as a gain on the sale. During the third quarter of 2012, Dole collected $5.7 million and recorded $1.3 million as a gain on the sale. In addition, Dole may receive an earn-out of up to €10 million based on future operating performance of the business.

Additionally, during the first quarter of 2012, Dole sold 230 acres of land in Hawaii. Dole received net cash proceeds of $1.8 million and recorded a gain of $1 million. At October 6, 2012, the asset held-for-sale balance in the fresh fruit reporting segment included approximately 2,050 acres of land in Hawaii. During the second quarter of 2012, Dole completed the sale of farm land in Honduras. Dole received cash proceeds of $1.2 million and recorded a gain of $1.2 million. During the third quarter Dole sold farm land in Costa Rica. Dole received cash proceeds of $5.6 million and recorded a gain of $4.5 million.

Packaged Foods

At October 6, 2012, the assets held-for-sale balance in the packaged foods reporting segment consisted of approximately 400 acres of peach orchards located in California.

Fresh-Cut Flowers—Discontinued Operation

At October 6, 2012, the assets held-for-sale balance in the fresh-cut flowers—discontinued operation consisted of a portion of the real estate of the former flowers division. Dole collected $1.3 million of long-term receivables during the second quarter ended June 16, 2012 related to the sale of the fresh-cut flowers—discontinued operation. Refer to Note 7—Long-Term Receivables for additional information.

Actively Marketed Land

Included in actively marketed land is land that does not meet Dole’s future strategic direction or internal economic return criteria. The land that has been identified is available for sale in its present condition and an active program is underway to sell the properties. Dole is actively marketing these properties at a price that is in excess of book value but the timing of sale is uncertain. At October 6, 2012, actively marketed land consisted of approximately 14,200 acres of Hawaii land in the fresh fruit segment, with a net book value of $74.8 million.