Note 6 – Other Income and Expense

Other Operating Income – Net


	Three Months Ended						Six Months Ended
(In thousands)	August 28, 2015			August 29, 2014			August 28, 2015			August 29, 2014
Gain adjustment (gain) on sale of Strawberry Shortcake	$	41		$	—		$	(61,625	)	$	—
Gain on sale of AGI In-Store		—			(38,803	)		—			(38,803	)
Clinton Cards secured debt recovery		—			—			—			(3,390	)
State tax credits		(6,541	)		—			(6,541	)		—
Loss on asset disposal		57			15,710			66			15,733
Miscellaneous		(866	)		(735	)		(1,629	)		664

Other operating income – net	$	(7,309	)	$	(23,828	)	$	(69,729	)	$	(25,796	)

During the six months ended August 28, 2015, the Corporation recognized a net gain of $61.6 million from the sale of Strawberry Shortcake, which included a first quarter gain of $61.7 million and an adjustment to the gain in the second quarter of approximately $0.1 million. See Note 4 for further information.

During the quarter ended August 28, 2015, the Corporation recognized income of $6.5 million from tax credits received from the State of Ohio under certain incentive programs made available to the Corporation in connection with its decision to maintain its world headquarters in the state of Ohio.

During the quarter ended August 29, 2014, the Corporation recognized a gain on the sale of AGI In-Store of $38.8 million. See Note 4 for further information.

“Loss on asset disposal” during the three and six month periods ended August 29, 2014 included a non-cash loss of $15.5 million related to the sale of the Corporation’s current world headquarters location. See Note 4 for further information.

During the prior year first quarter, the Corporation recorded an impairment recovery of $3.4 million related to the senior secured debt of Clinton Cards that the Corporation acquired in May 2012 and subsequently impaired.

Other Non-Operating Income – Net


	Three Months Ended						Six Months Ended
(In thousands)	August 28, 2015			August 29, 2014			August 28, 2015			August 29, 2014
Foreign exchange loss (gain)	$	111		$	(63	)	$	(673	)	$	(523	)
Rental income		(129	)		(216	)		(281	)		(755	)
Miscellaneous		(36	)		7			(38	)		(101	)

Other non-operating income – net	$	(54	)	$	(272	)	$	(992	)	$	(1,379	)