XML 47 R9.htm IDEA: XBRL DOCUMENT v2.4.0.6
Asset Impairment and Other Charges, Net
 12 Months Ended
Dec. 30, 2011
Asset Impairment and Other Charges, Net [Abstract]  
Restructuring, Impairment, and Other Activities Disclosure
Asset Impairment and Other Charges, Net
 
We recorded asset impairment and other charges, net totaling $16.3 million, $37.3 million and $8.0 million for the years 2011, 2010 and 2009, respectively, which were the result of exit activities and asset impairments.
 
The following represents the detail of asset impairment and exit activity and other charges (credits), net for the year ended December 30, 2011 by reportable segment (U.S. dollars in millions):
 
Long-lived
and other
asset
impairment
 
 
Exit activity
and other
charges (credits)
 
Total
Banana segment:
 
 
 
 
 
Guatemala 2010 flood damage insurance reimbursement
$
—

 
$
(4.2
)
 
$
(4.2
)
Decision to abandon an isolated area of our banana operation in the Philippines
—

 
1.2

 
1.2

Costa Rica exit of low banana-producing areas
0.8

 
—

 
0.8

United Kingdom under-utilized distribution centers
2.2

 
2.5

 
4.7

Ecuador carton box corrugator investment
0.6

 
—

 
0.6

Other fresh produce segment:
 

 
 

 
 

Central America melon program rationalization
7.9

(1) 
0.5

 
8.4

United Kingdom under-utilized fresh-cut facility
4.3

 
—

 
4.3

Other charges and legal costs related to the Kunia well site in Hawaii
—

 
1.1

 
1.1

Chile earthquake insurance reimbursement
—

 
(1.5
)
 
(1.5
)
Prepared segment:
 

 
 

 
 

Jordanian under-utilized production line
0.7

 
—

 
0.7

Other impairment charges
0.2

 
—

 
0.2

Total asset impairment and other charges (credits), net
$
16.7

 
$
(0.4
)
 
$
16.3


(1) Includes melon goodwill impairment of $3.3 million.

3. Asset Impairment and Other Charges, Net (continued)

The following represents the detail of asset impairment and exit activity charges (credits), net for the year ended December 31, 2010 by reportable segment (U.S. dollars in millions): 
 
Long-lived
and other
asset
impairment
 
 
Exit activity
and other
charges (credits)
 
Total
Banana segment:
 
 
 
 
 
Decision to abandon an isolated area of our banana operation in the Philippines
$
12.7

 
$
—

 
$
12.7

Guatemala banana plantation flood damage and insurance reimbursements
6.1

 
(2.4
)
 
3.7

Brazil insurance reimbursements for 2008 flood damage in our banana plantations
—

 
(0.4
)
 
(0.4
)
North America relocation of port facility
0.7

 
—

 
0.7

Other fresh produce segment:
 

 
 

 
 

Brazil melon operation exit activities
—

 
1.3

 
1.3

Chile earthquake
1.1

 
—

 
1.1

Prepared segment:
 

 


 
 

United Kingdom Del Monte® perpetual, royalty-free brand name license
1.4

 
—

 
1.4

South Africa exit activities
16.7

 
0.1

 
16.8

Total asset impairment and other charges (credits), net
$
38.7

 
$
(1.4
)
 
$
37.3


The following represents the detail of asset impairment and exit activity charges (credits), net for the year ended January 1, 2010 by reportable segment (U.S. dollars in millions):

 
 
Long-lived
and other
asset
impairment
 
 
Exit activity
and other
charges (credits)
 
Total
Banana segment:
 
 
 
 
 
Caribana acquisition non-compete agreement
$
2.8

 
$
—

 
$
2.8

United Kingdom reversal of contract termination costs related to the closure of an under-utilized distribution center
—

 
(0.8
)
 
(0.8
)
Brazil insurance reimbursements for 2008 flood damage in our banana plantations
—

 
(3.4
)
 
(3.4
)
Other fresh produce segment:
 

 
 

 
 

Brazil pineapple operation exit activities
10.5

 
0.4

 
10.9

Gain from the discontinuance of the retiree medical plan and reversal of contract termination costs related to pineapple operation exit activities in Hawaii
—

 
(4.7
)
 
(4.7
)
Decision to discontinue the commercial cargo service in Europe
—

 
1.2

 
1.2

Prepared segment:
 

 


 
 

United Kingdom Del Monte® perpetual, royalty-free brand name license
2.0

 
—

 
2.0

Total asset impairment and other charges (credits), net
$
15.3

 
$
(7.3
)
 
$
8.0



 
3. Asset Impairment and Other Charges, Net (continued)

The following represents the roll forward of exit activity and other reserves for the year ended December 30, 2011 (U.S. dollars in millions):
 
 
Exit activity and
other reserve
 balance at
December 31, 2010
 
Impact to Earnings
 
Cash Paid
 
Exit activity and
other reserve
balance at
December 30, 2011
  Termination benefits
$
1.3

 
$
0.3

 
$
(0.6
)
 
1.0

Contract termination and other
exit activity charges
1.5

 
3.9

 
(1.8
)
 
3.6

 
$
2.8

 
$
4.2

 
$
(2.4
)
 
$
4.6


Included in the exit activity reserve balance at December 30, 2011 is $3.6 million in contract termination costs related to under-utilized facilities in the United Kingdom in the banana and other fresh produce segments and $1.0 million in termination benefits primarily related to the previously announced decision to exit Hawaiian production operations in the other fresh produce segment. We do not expect additional charges related to the exit and other activities mentioned above that would significantly impact our results of operations and financial condition.
 
Exit activity and other reserves are recorded in the Consolidated Balance Sheets in accounts payable and accrued expenses, for the current portion and other noncurrent liabilities for the noncurrent portion.