SEGMENT REPORTING

4 Months Ended

Apr. 25, 2015

SEGMENT REPORTING

15. SEGMENT REPORTING

The company’s DSD Segment primarily produces fresh packaged bread, rolls, tortillas, and snack products and the Warehouse Segment produces fresh and frozen bread and rolls and snack products.

During the fourth quarter of fiscal 2014, we revised net sales. Historically, certain immaterial discounts had been recorded as an expense to selling, distribution and administrative costs. These discounts are now recorded as contra revenue. All prior period information has been revised to reflect this change.

The company evaluates each segment’s performance based on income or loss before interest and income taxes, excluding unallocated expenses and charges which the company’s management deems to be an overall corporate cost or a cost not reflective of the segment’s core operating businesses. Information regarding the operations in these reportable segments (including recasting 2014 for a reclassified bakery from the Warehouse Segment to the DSD Segment) is as follows (amounts in thousands):

	For the Sixteen Weeks Ended
	April 25, 2015			April 19, 2014
Sales:
DSD Segment	$	986,570		$	990,035
Warehouse Segment		224,734			230,297
Eliminations: Sales from Warehouse Segment to DSD Segment		(44,852	)		(39,502	)
Sales from DSD Segment to Warehouse Segment		(20,407	)		(26,913	)
	$	1,146,045		$	1,153,917
Depreciation and amortization:
DSD Segment	$	35,180		$	34,784
Warehouse Segment		4,780			4,656
Other(1)		(143	)		(148	)
	$	39,817		$	39,292
Income (loss) from operations:
DSD Segment	$	99,194		$	96,782
Warehouse Segment		16,298			14,109
Other(1)		(18,954	)		(12,690	)
	$	96,538		$	98,201
Interest expense	$	(8,359	)	$	(9,124	)
Interest income	$	6,777		$	5,952
Income before income taxes	$	94,956		$	95,029

(1) Represents the company’s corporate head office amounts.

Sales by product category in each reportable segment are as follows (amounts in thousands):

	For the Sixteen Weeks Ended April 25, 2015						For the Sixteen Weeks Ended April 19, 2014
	DSD Segment		Warehouse Segment		Total		DSD Segment		Warehouse Segment		Total
Branded Retail	$	610,867	$	39,649	$	650,516	$	604,678	$	40,358	$	645,036
Store Branded Retail		133,102		37,793		170,895		147,235		42,070		189,305
Non-retail and Other		222,194		102,440		324,634		211,209		108,367		319,576
Total	$	966,163	$	179,882	$	1,146,045	$	963,122	$	190,795	$	1,153,917