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Fair Value Measurements (Tables)
 3 Months Ended
Aug. 28, 2011
Fair Value Disclosures [Abstract]  
Fair Values Of Financial Instruments Measured At Fair Value On Recurring Basis
The following table summarizes the fair values of financial instruments measured at fair value on a recurring basis as reflected in our unaudited consolidated balance sheet as of August 28, 2011 and May 29, 2011:
 
Items Measured at Fair Value at August 28, 2011
(in millions)
 
 
Fair value
of assets
(liabilities)
 
Quoted prices
in active
market for
identical assets
(liabilities)
(Level 1)
 
Significant
other
observable
inputs
(Level 2)
 
Significant
unobservable
inputs
(Level 3)
Fixed-income securities:
 
 
 
 
 
 
 
 
 
Corporate bonds
(1
)
 
$
16.4


 
$
—


 
$
16.4


 
$
—


U.S. Treasury securities
(2
)
 
8.4


 
8.4


 
—


 
—


Mortgage-backed securities
(1
)
 
4.9


 
—


 
4.9


 
—


Derivatives:
 
 


 


 
 
 
 
Commodities futures, swaps & options
(3
)
 
(1.7
)
 
—


 
(0.3
)
 
(1.4
)
Equity forwards
(4
)
 
(3.4
)
 
—


 
(3.4
)
 
—


Interest rate locks & swaps
(5
)
 
(62.2
)
 
—


 
(62.2
)
 
—


Foreign currency forwards
(6
)
 
0.2


 
—


 
0.2


 
—


Total
 
 
$
(37.4
)
 
$
8.4


 
$
(44.4
)
 
$
(1.4
)
 


Items Measured at Fair Value at May 29, 2011
(in millions)
 
 
Fair value
of assets
(liabilities)
 
Quoted prices
in active
market for
identical assets
(liabilities)
(Level 1)
 
Significant
other
observable
inputs
(Level 2)
 
Significant
unobservable
inputs
(Level 3)
Fixed-income securities:
 
 
 
 
 
 
 
 
 
Corporate bonds
(1
)
 
$
16.6


 
$
—


 
$
16.6


 
$
—


U.S. Treasury securities
(2
)
 
10.6


 
10.6


 
—


 
—


Mortgage-backed securities
(1
)
 
4.9


 
—


 
4.9


 
—


Derivatives:
 
 


 


 


 


Commodities futures, swaps & options
(3
)
 
0.7


 
—


 
0.7


 
—


Equity forwards
(4
)
 
0.9


 
—


 
0.9


 
—


Interest rate locks & swaps
(5
)
 
(19.6
)
 
—


 
(19.6
)
 
—


Foreign currency forwards
(6
)
 
0.6


 
—


 
0.6


 
—


Total
 
 
$
14.7


 
$
10.6


 
$
4.1


 
$
—




(1)
The fair value of these securities is based on closing market prices of the investments when applicable, or, alternatively, valuations utilizing market data and other observable inputs, inclusive of the risk of nonperformance.
(2)
The fair value of our U.S. Treasury securities is based on closing market prices.
(3)
The fair value of our commodities futures, swaps and options classified as Level 2 is based on closing market prices of the contracts, inclusive of the risk of nonperformance. The fair value of our commodities futures, swaps and options classified as Level 3 is based on internal models that consider the various contract provisions, in addition to the closing market prices of the related commodities.
(4)
The fair value of our equity forwards is based on closing market values of Darden stock, inclusive of the risk of nonperformance.
(5)
The fair value of our interest rate lock and swap agreements is based on current and expected market interest rates, inclusive of the risk of nonperformance.
(6)
The fair value of our foreign currency forward contracts is based on closing forward exchange market prices, inclusive of the risk of nonperformance
Fair Values Of Non-Financial Assets Measured At Fair Value On Non-Recurring Basis
The following table summarizes the fair values of non-financial assets measured at fair value on a non-recurring basis as of May 29, 2011:
 
Items Measured at Fair Value
(in millions)
 
 
Fair value
of assets
 
Quoted prices in
active market for
identical assets
(liabilities)
(Level 1)
 
Significant
other
observable
inputs
(Level 2)
 
Significant
unobservable
inputs
(Level 3)
Long-lived assets held for disposal
(1
)
 
$
4.4


 
$
—


 
$
—


 
$
4.4


Long-lived assets held and used
(2
)
 
0.7


 
—


 
—


 
0.7


Total
 
 
$
5.1


 
$
—


 
$
—


 
$
5.1


 
(1)
In accordance with the provisions of ASC Topic 360, Property, Plant and Equipment, during fiscal 2011, long-lived assets held for disposal with a carrying amount of $7.0 million were written down to their fair value of $4.4 million, based on a review of comparable assets, resulting in an impairment charge of $2.6 million, of which $1.9 million was included in earnings from continuing operations and $0.7 million was included in losses from discontinued operations.
(2)
In accordance with the provisions of ASC Topic 360, Property, Plant and Equipment, during fiscal 2011, long-lived assets held and used with a carrying amount of $2.8 million were written down to their fair value of $0.7 million, based on a review of comparable assets, resulting in an impairment charge of $2.1 million, which was included in earnings from continuing operations