Reportable Segments

6 Months Ended

Sep. 10, 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 Discount 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
	12 Weeks Ended				28 Weeks Ended
	Sept. 10, 2011		Sept. 11, 2010		Sept. 10, 2011		Sept. 11, 2010
Grocery (1)	$	1,129,790	$	1,310,388	$	2,667,075	$	3,069,232
Meat (2)		315,746		375,868		744,457		867,350
Produce (3)		193,158		232,023		457,808		546,627
Total	$	1,638,694	$	1,918,279	$	3,869,340	$	4,483,209

⁽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.

	12 Weeks Ended						28 Weeks Ended
	Sept. 10, 2011			Sept. 11, 2010			Sept. 10, 2011			Sept. 11, 2010
Sales
Fresh	$	815,520		$	976,952		$	1,943,092		$	2,255,521
Pathmark		698,733			816,304			1,629,795			1,927,705
Gourmet		55,714			55,122			138,508			137,994
Other		68,727			69,901			157,945			161,989
Total sales	$	1,638,694		$	1,918,279		$	3,869,340		$	4,483,209
Segment (loss) income
Fresh	$	434		$	10,255		$	(18,956	)	$	23,727
Pathmark		(32,385	)		(27,771	)		(86,665	)		(52,579	)
Gourmet		1,415			2,371			7,866			8,882
Other		1,036			254			759			991
Total segment loss		(29,500	)		(14,891	)		(96,996	)		(18,979	)
Corporate(4)		(24,501	)		(28,955	)		(40,977	)		(76,197	)
Reconciling items (5)		(21,595	)		(54,280	)		(158,449	)		(64,696	)
Loss from operations		(75,596	)		(98,126	)		(296,422	)		(159,872	)
Nonoperating income		8			2,177			91			10,454
Interest expense, net		(37,829	)		(46,126	)		(86,283	)		(107,268	)
Reorganization items, net		17,148			-			95,026			-
Loss from continuing operations before income taxes	$	(96,269	)	$	(142,075	)	$	(287,588	)	$	(256,686	)

	12 Weeks Ended				28 Weeks Ended
	Sept. 10, 2011		Sept. 11, 2010		Sept. 10, 2011		Sept. 11, 2010
Segment depreciation and amortization – continuing operations
Fresh	$	13,900	$	17,329	$	34,318	$	40,721
Pathmark		15,564		19,761		37,764		46,532
Gourmet		1,554		1,951		3,724		4,702
Other		1,179		1,241		2,834		2,904
Total segment depreciation and amortization – continuing operations		32,197		40,282		78,640		94,859
Corporate		9,949		11,236		22,948		27,038
Total depreciation and amortization – continuing operations		42,146		51,518		101,588		121,897
Discontinued operations		-		-		-		-
Total company depreciation and amortization	$	42,146	$	51,518	$	101,588	$	121,897

⁽⁴⁾    Represents a $4.1 million and $25.4 million decrease in corporate costs attributable to store-related activities, primarily benefits and occupancy costs which are not allocated to segments, for the 12 and 28 weeks ended September 10, 2011, respectively, and a $0.4 million and $9.8 million decline in corporate and administrative costs for the respective periods ended.

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

	12 Weeks Ended						28 Weeks Ended
	Sept. 10, 2011			Sept. 11, 2010			Sept. 10, 2011			Sept. 11, 2010
Goodwill, trademark and long-lived asset impairment	$	(24,124	)	$	(30,250	)	$	(79,542	)	$	(35,648	)
Net restructuring and other		688			(9,297	)		(2,801	)		(13,229	)
Net real estate related activity		7,119			2,179			(49,428	)		232
Stock-based compensation (expense) income		(1,018	)		(760	)		(1,509	)		101
Pension withdrawal costs		-			-			(13,923	)		-
Self-insurance adjustment		(699	)		(16,152	)		(699	)		(16,152	)
Losses relating to Hurricane Irene		(1,000	)		-			(1,000	)		-
Inventory-related		(363	)		-			(363	)		-
C&S contract effect		(2,198	)		-			(9,184	)		-
Total reconciling items	$	(21,595	)	$	(54,280	)	$	(158,449	)	$	(64,696	)