Segment Reporting

6 Months Ended

Oct. 27, 2012

Segment Reporting

(6) Segment Reporting

The Company’s three operating segments are: B&N Retail, B&N College and NOOK.

B&N Retail

This segment includes 689 bookstores as of October 27, 2012, primarily under the Barnes & Noble Booksellers trade name. The 689 Barnes & Noble stores generally offer a dedicated NOOK^® area, a comprehensive trade book title base, a café, and departments dedicated to Juvenile, Toys & Games, DVDs, Music, Gift, Magazine and Bargain products. The stores also offer a calendar of ongoing events, including author appearances and children’s activities. The B&N Retail segment also includes the Company’s e-Commerce website, barnesandnoble.com, and its publishing operation, Sterling Publishing.

B&N College

This segment includes 674 stores as of October 27, 2012 that are primarily school-owned stores operated under contracts by B&N College and include sales of digital content within the higher education marketplace through NOOK Study^™. The 674 B&N College stores generally offer new, used, rental and digital textbooks, course-related materials, emblematic apparel and gifts, trade books, computer products, NOOK^® products and related accessories, school and dorm supplies, and convenience and café items.

NOOK

This segment includes the Company’s digital business, including the development and support of the Company’s NOOK^® product offerings. The digital business includes digital content such as eBooks, digital newsstand, apps and sales of NOOK^® devices and accessories to third party distribution partners, B&N Retail and B&N College.

Summarized financial information concerning the Company’s reportable segments is presented below:

Sales

	13 weeks ended						26 weeks ended
	October 27,			October 29,			October 27,			October 29,
	2012			2011			2012			2011
B&N Retail	$	996,028		$	1,025,802		$	2,115,415		$	2,123,054
B&N College		773,007			769,650			993,725			990,144
NOOK		160,347			151,847			352,322			343,259
Elimination (a)		(44,850	)		(55,338	)		(123,423	)		(146,092	)
Total	$	1,884,532		$	1,891,961		$	3,338,039		$	3,310,365

Sales by Product Line

	13 weeks ended						26 weeks ended
	October 27,			October 29,			October 27,			October 29,
	2012			2011			2012			2011
Media (b)		70	%		71	%		66	%		66	%
Digital (c)		11	%		11	%		14	%		15	%
Other (d)		19	%		18	%		20	%		19	%
Total		100	%		100	%		100	%		100	%

Depreciation and Amortization

	13 weeks ended				26 weeks ended
	October 27,		October 29,		October 27,		October 29,
	2012		2011		2012		2011
B&N Retail	$	38,982	$	40,558	$	79,922	$	80,044
B&N College		11,859		11,426		23,574		22,275
NOOK		6,772		5,771		12,152		11,108
Total	$	57,613	$	57,755	$	115,648	$	113,427

Operating Profit (Loss)

	13 weeks ended						26 weeks ended
	October 27,			October 29,			October 27,			October 29,
	2012			2011			2012			2011
B&N Retail	$	(10,595	)	$	(26,469	)	$	23,027		$	(26,259	)
B&N College		75,928			81,365			50,181			58,312
NOOK		(58,195	)		(56,619	)		(120,272	)		(113,008	)
Total	$	7,138		$	(1,723	)	$	(47,064	)	$	(80,955	)

Capital Expenditures

	13 weeks ended				26 weeks ended
	October 27,		October 29,		October 27,		October 29,
	2012		2011		2012		2011
B&N Retail	$	13,250	$	27,157	$	22,866	$	39,547
B&N College		13,989		12,464		23,522		21,397
NOOK		13,257		9,270		20,565		14,572
Total	$	40,496	$	48,891	$	66,953	$	75,516

Total Assets ^(e)

	October 27, 2012		October 29, 2011
B&N Retail	$	2,449,730	$	2,193,596
B&N College		1,334,895		1,398,592
NOOK		646,400		515,864
Total	$	4,431,025	$	4,108,052

(a) Represents the elimination of intercompany sales from NOOK to Barnes & Noble Retail and Barnes & Noble College on a sell through basis.

(b) Includes tangible books, music, movies, rentals and newsstand.

(c) Includes NOOK^®, related accessories, eContent and warranties.

(d) Includes toys & games, café products, college apparel, gifts and miscellaneous other.

(e) Excludes intercompany balances.

A reconciliation of operating profit from reportable segments to income (loss) from operations before taxes in the consolidated financial statements is as follows:

	13 weeks ended						26 weeks ended
	October 27,			October 29,			October 27,			October 29,
	2012			2011			2012			2011
Reportable segments operating profit	$	7,138		$	(1,723	)	$	(47,064	)	$	(80,955	)
Interest, net		8,122			8,460			17,064			17,901
Consolidated income (loss) before taxes	$	(984	)	$	(10,183	)	$	(64,128	)	$	(98,856	)