Reportable Segments

3 Months Ended

Jun. 18, 2011

Reportable Segments

Reportable Segments

21.  Reportable Segments

Reportable segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance.  Our chief operating decision maker is our President and Chief Executive Officer.

We have four reportable segments: Fresh, Pathmark, Gourmet and Other.  The Other segment includes our Food Basics and Wine, Beer & Spirits businesses.

The accounting policies for these segments are the same as those described in the summary of significant accounting policies included in our Fiscal 2010 Annual Report.  Assets and capital expenditures are not allocated to segments for internal reporting presentations.

Interim information on segments is as follows (in thousands):

	Sales by Category
	For the 16 Weeks Ended
	June 18, 2011		June 19, 2010
Grocery (1)	$	1,537,285	$	1,758,844
Meat (2)		428,711		491,482
Produce (3)		264,650		314,604
Total	$	2,230,646	$	2,564,930

  (1)     The grocery category includes grocery, frozen foods, dairy, general merchandise/health and beauty aids, wine, beer & spirits, and pharmacy.

(2)   The meat category includes meat, deli, bakery and seafood.

(3)   The produce category includes produce and floral.

	For the 16 Weeks Ended
	June 18, 2011			June 19, 2010
Sales
Fresh	$	1,127,572		$	1,278,569
Pathmark		931,063			1,111,401
Gourmet		82,793			82,872
Other		89,218			92,088
Total sales	$	2,230,646		$	2,564,930
Segment (loss) income
Fresh	$	(19,390	)	$	13,472
Pathmark		(54,280	)		(24,808	)
Gourmet		6,451			6,511
Other		(277	)		737
Total segment loss		(67,496	)		(4,088	)
Corporate (4)		(16,476	)		(47,242	)
Reconciling items (5)		(137,976	)		(11,272	)
Loss from operations		(221,948	)		(62,602	)
Nonoperating income		83			8,277
Interest expense, net		(48,454	)		(61,142	)
Reorganization items, net		77,878			-
Loss from continuing operations before income taxes	$	(192,441	)	$	(115,467	)

	For the 16 Weeks Ended
	June 18, 2011		June 19, 2010
Segment depreciation and amortization – continuing operations
Fresh	$	20,418	$	23,392
Pathmark		22,200		26,771
Gourmet		2,170		2,751
Other		1,655		1,663
Total segment depreciation and amortization – continuing operations		46,443		54,577
Corporate		13,001		15,802
Total depreciation and amortization – continuing operations		59,444		70,379
Discontinued operations		-		-
Total company depreciation and amortization	$	59,444	$	70,379

  (4)   Represents a $21.4 million decrease in corporate costs attributable to store-related activities, primarily benefits and occupancy costs which are not allocated to segments and a $9.4 million decline in corporate and administrative costs.

(5) Reconciling items, which are not included in segment income, consist of the following:

	For the 16 Weeks Ended
	June 18, 2011			June 19, 2010
Goodwill, trademark and long-lived asset impairment	$	(55,418	)	$	(5,398	)
Net restructuring and other		(6,311	)		(3,932	)
Real estate related activity		(53,725	)		(1,947	)
Stock-based compensation (expense) income		(491	)		861
Pension withdrawal costs		(13,923	)		-
LIFO adjustment		(1,122	)		(856	)
C&S contract effect		(6,986	)		-
Total reconciling items	$	(137,976	)	$	(11,272	)