Segment and Geographic Information

12 Months Ended

Dec. 31, 2012

Segment Reporting [Abstract]

Segment and Geographic Information

Segment and Geographic Information

We are one of the largest marketers of fresh and broad-line supply solutions to the convenience retail industry in North America. We offer a full range of products, marketing programs and technology solutions to over 29,000 customer locations in the U.S. and Canada. Our customers include traditional convenience stores, grocery stores, drug stores, liquor stores and other specialty and small format stores that carry convenience products. Our product offering includes cigarettes, other tobacco products, candy, snacks, fast food, groceries, fresh products, dairy, bread, beverages, general merchandise and health and beauty care products.

As of December 31, 2012, we operated a network of 28 distribution centers in the U.S. and Canada (excluding two distribution facilities we operate as a third party logistics provider) which support our wholesale distribution business. Twenty-four of our distribution centers are located in the U.S., including three consolidating warehouses, and four are located in Canada.

Our distribution centers (operating divisions) which produce almost all of our revenues have similar historical economic characteristics and have been aggregated into one reporting segment. Couche-Tard, our largest customer, accounted for approximately 13.7% of our total net sales for 2012. Accounting policies for measuring segment assets and earnings before income taxes are substantially consistent with those described in Note 2 - Summary of Significant Accounting Policies.

Information about our business operations based on the two geographic areas is as follows (in millions):

	Year Ended December 31,
	2012			2011			2010
Net sales:
United States	$	7,716.3		$	6,865.5		$	6,086.3
Canada	1,148.6			1,220.5			1,158.0
Corporate (1)	27.5			28.9			22.5
Total	$	8,892.4		$	8,114.9		$	7,266.8
Income (loss) before income taxes:
United States	$	48.6		$	50.4		$	35.6
Canada	2.3			(1.4		)	(4.7		)
Corporate (1)	4.5			(5.8		)	(3.7		)
Total	$	55.4		$	43.2		$	27.2
Interest expense:
United States	$	27.4		$	23.5		$	24.3
Canada	0.7			0.9			0.9
Corporate (1)	(25.9		)	(22.0		)	(22.6		)
Total	$	2.2		$	2.4		$	2.6
Depreciation and amortization:
United States	$	17.7		$	15.4		$	13.9
Canada	2.9			3.0			2.7
Corporate (1)	4.7			4.0			3.1
Total	$	25.3		$	22.4		$	19.7

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(1) Corporate consists of net expenses and other income that is not allocated to the U.S. and Canada, intercompany eliminations for interest and allocations of overhead, service fee revenue for our consolidating warehouses, LIFO income or expense and reclassifying adjustments.

Identifiable assets by geographic area are as follows (in millions):

	December 31,		December 31,
	2012		2011
Identifiable assets:
United States	$	821.7	$	768.6
Canada	97.5		101.6
Total	$	919.2	$	870.2

The net sales mix for our primary product category is as follows (in millions):

	Year Ended December 31,
	2012		2011		2010
Product Category	Net Sales		Net Sales		Net Sales
Cigarettes	$	6,139.4	$	5,710.6	$	5,119.7
Food	1,178.6		995.7		840.9
Candy	489.5		459.8		426.0
Other tobacco products	687.8		607.9		503.6
Health, beauty & general	269.2		237.5		220.6
Beverages	125.6		100.9		152.0
Equipment/other	2.3		2.5		4.0
Total food/non-food products	$	2,753.0	$	2,404.3	$	2,147.1
Total net sales	$	8,892.4	$	8,114.9	$	7,266.8