Discontinued Operations

12 Months Ended

Jun. 30, 2013

Discontinued Operations

Discontinued Operations

Note 16. Discontinued Operations

On September 6, 2011, the Company completed the sale of certain assets of its wine fulfillment services business operated by its Winetasting Network subsidiary. The sales price consisted of $12.0 million of cash proceeds at closing, resulting in a gain on sale of $8.7 million ($4.5 million, net of tax). During the fourth quarter of fiscal 2013, the Company made the strategic decision to divest the e-commerce and procurement businesses of The Winetasting Network in order to focus on growth opportunities in its Gourmet Foods and Gift Baskets business segment. The Company anticipates completing the sale of the Winetasting Network business in fiscal 2014, at an anticipated loss of $2.3 million ($1.5 million, net of tax). Consequently, the Company has classified the results of its wine fulfillment services business as a discontinued operation for fiscal 2012 and 2011, and the e-commerce and procurement business of Winetasting Network as a discontinued operation for all periods presented.

Results for discontinued operations are as follows:

	Years Ended
	June 30, 2013			July 1, 2012			July 3, 2011
	(in thousands, except per share data)
Net revenues from discontinued operations	$	5,154		$	10,743		$	28,399
Loss from discontinued operations, net of tax	$	(1,889	)	$	(217	)	$	(468	)
Income (loss) on sale of discontinued operations, net of tax	$	(1,512	)	$	4,542		—
Income (loss) from discontinued operations	$	(3,401	)	$	4,325		$	(468	)