COMMITMENTS AND CONTINGENCIES

12 Months Ended

May 30, 2014

Commitments And Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE 9– COMMITMENTS AND CONTINGENCIES

Rental expense was $1,200,883 in 2014 and $1,438,402 in 2013.

The Company has entered into various operating lease agreements to replace aging route vans and transport trucks.  The current annual obligation under this agreement is $480,301.  Future minimum lease commitments for operating leases at May 30, 2014 were as follows:

2015	480,301
2016	185,058
2017	70,075
2018	-
2019	-

The Company has a letter of credit in the amount of $1,850,000 outstanding at May 30, 2014 and $1,900,000 at May 31, 2013.  The letter of credit supports the Company’s commercial self-insurance program.  The Company pays an annual commitment fee of 0.75% to maintain the letters of credit.

The Company has entered into various other short term purchase commitments with suppliers for raw materials in the normal course of business.

The Company is subject to routine litigation and claims incidental to its business.  In the opinion of management, such routine litigation and claims should not have a material adverse effect upon the Company’s consolidated financial statements taken as a whole.