SEGMENTS (Tables)

3 Months Ended

Aug. 25, 2019

SEGMENTS

Schedule of segment information

	Thirteen Weeks Ended
	August 25,		August 26,
(in millions)	2019		2018
Net sales
Global	$	517.6	$	466.8
Foodservice		305.4		297.8
Retail		129.3		116.2
Other		36.7		34.1
Total net sales		989.0		914.9
Product contribution margin (a)
Global		102.7		94.5
Foodservice		102.5		102.0
Retail		28.9		22.7
Other (b)		9.7		5.0
Total product contribution margin		243.8		224.2
Other selling, general and administrative expenses (a)		73.8		71.6
Income from operations		170.0		152.6
Interest expense, net		28.2		26.8
Income tax expense		36.7		34.3
Equity method investment earnings		10.6		19.9
Net income		115.7		111.4
Less: Income attributable to noncontrolling interests (c)		—		3.6
Net income attributable to Lamb Weston Holdings, Inc.	$	115.7	$	107.8

(a) Product contribution margin is defined as net sales, less cost of sales and advertising and promotion expenses. Other selling, general and administrative expenses include all selling, general and administrative expenses other than advertising and promotion expenses.

(b) The Other segment primarily includes our vegetable and dairy businesses and unrealized mark-to-market adjustments associated with commodity hedging contracts.

(c) On November 2, 2018, we entered into an agreement to acquire the remaining 50.01% interest in Lamb Weston BSW. Our Consolidated Statement of Earnings includes 100% of Lamb Weston BSW’s earnings beginning November 2, 2018.