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H. J. Heinz Company and Subsidiaries Notes to Consolidated Financial Statements — (Continued) During the third quarter of Fiscal 2010, the Company acquired Arthur’s Fresh Company, a chilled smoothies business in Canada for approximately $11 million in cash as well as an insignificant amount of contingent consideration which is scheduled to be paid in Fiscal 2013. The Company also made payments during Fiscal 2010 related to acquisitions completed in prior fiscal years, none of which were significant. During the second quarter of Fiscal 2009, the Company acquired Bénédicta, a sauce business in France for approximately $116 million. During the third quarter of Fiscal 2009, the Company acquired Golden Circle Limited, a fruit and juice business in Australia for approximately $211 million, including the assumption of $68 million of debt that was immediately refinanced by the Company. Additionally, the Company acquired La Bonne Cuisine, a chilled dip business in New Zealand for approximately $28 million in the third quarter of Fiscal 2009. During the fourth quarter of Fiscal 2009, the Company acquired Papillon, a South African producer of chilled products for approximately $6 million. The Company also made payments during Fiscal 2009 related to acquisitions completed in prior fiscal years, none of which were significant. All of the Fiscal 2010 and 2009 acquisitions have been accounted for as business combinations and accordingly, the purchase price has been allocated to assets and liabilities based upon their estimated fair values as of the acquisition date. Operating results of the above-mentioned businesses acquired have been included in the consolidated statements of income from the respective acquisition dates forward. Pro forma results of the Company, assuming all of the acquisitions had occurred at the beginning of each period presented, would not be materially different from the results reported. There are no significant contingent payments, options or commitments associated with any of the acquisitions, except as disclosed above. During Fiscal 2011, the Company acquired the remaining 21% interest in Heinz UFE Ltd., a Chinese subsidiary of the Company that manufactures infant feeding products, for $6.3 million. The purchase has been accounted for primarily as a reduction in additional capital and noncontrolling interest on the consolidated statements of equity. Prior to the transaction, the Company was the owner of 79% of the business. During Fiscal 2010, the Company acquired the remaining 49% interest in Cairo Food Industries, S.A.E, an Egyptian subsidiary of the Company that manufactures ketchup, condiments and sauces, for $62.1 million. The purchase has been accounted for primarily as a reduction in additional capital and noncontrolling interest on the consolidated statements of equity. Prior to the transaction, the Company was the owner of 51% of the business. 53
H. J. Heinz Company and Subsidiaries Notes to Consolidated Financial Statements — (Continued) 5. Goodwill and Other Intangible Assets Changes in the carrying amount of goodwill for the fiscal year ended April 27, 2011, by reportable segment, are as follows: North American Consumer Products Europe Asia/ Pacific U.S. Foodservice Rest of World (Thousands of Dollars) Balance at April 29, 2009 . . $1,074,841 $1,090,998 $248,222 $260,523 $ 13,204 $2,687,788 Acquisitions . . . . . . . . . . . . 6,378 — — — — 6,378 Purchase accounting adjustments. . . . . . . . . . . — (895) (3,030) — — (3,925) Disposals . . . . . . . . . . . . . . — (483) — (2,849) — (3,332) Translation adjustments . . 21,672 17,124 44,233 — 980 84,009 Balance at April 28, 2010 . . 1,102,891 1,106,744 289,425 257,674 14,184 2,770,918 Acquisitions . . . . . . . . . . . . — — 77,345 — 300,227 377,572 Purchase accounting adjustments. . . . . . . . . . . — (278) (10,688) — — (10,966) Translation adjustments . . 8,846 114,774 35,998 — 1,299 160,917 Balance at April 27, 2011 . . $1,111,737 $1,221,240 $392,080 $257,674 $315,710 $3,298,441 During the fourth quarter of Fiscal 2011, the Company completed its annual review of goodwill and indefinite-lived intangible assets. No impairments were identified during the Company’s annual assessment of goodwill and indefinite-lived intangible assets. During the fourth quarter of Fiscal 2011, the Company finalized the purchase price allocation for the Foodstar acquisition resulting primarily in immaterial adjustments between goodwill, accrued liabilities and income taxes. Also, during the fourth quarter of Fiscal 2011, the Company acquired Coniexpress and a preliminary purchase price allocation was recorded. The Company expects to finalize the purchase price allocation related to the Coniexpress acquisition upon completion of third party valuation procedures. All of the purchase accounting adjustments reflected in the above table relate to acquisitions completed prior to April 30, 2009, the first day of Fiscal 2010. Total goodwill accumulated impairment losses for the Company were $84.7 million consisting of $54.5 million for Europe, $2.7 million for Asia/Pacific and $27.4 million for Rest of World as of April 29, 2009, April 28, 2010 and April 27, 2011. During Fiscal 2010, the Company divested its Kabobs and Appetizers And, Inc. frozen hors d’oeuvres businesses within the U.S. Foodservice segment, and completed the sale of its private label frozen desserts business in the U.K. These sale transactions resulted in disposals of goodwill, trademarks and other intangible assets. See Note 3 for additional information. Total 54
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Financial Highlights* EPS (1) CAGR
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Emerging Markets % of Company Sales
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technology. The PlantBottle packagi
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Page 10 and 11: The Company also owns or leases off
Page 12 and 13: Name Age (as of August 30, 2011) Po
Page 14 and 15: Disruption of our supply chain coul
Page 16 and 17: The Company could incur more debt,
Page 18 and 19: obligation to publicly update or re
Page 20 and 21: Item 6. Selected Financial Data. Th
Page 22 and 23: In order to continue to drive susta
Page 24 and 25: Selling, general and administrative
Page 26 and 27: The volume reflects ongoing weaknes
Page 28 and 29: educed S&D, partially offset by inc
Page 30 and 31: $85 million for the fiscal year end
Page 32 and 33: At April 27, 2011, the Company had
Page 34 and 35: As of April 27, 2011, the Company w
Page 36 and 37: interest rate contracts and cross-c
Page 38 and 39: In December 2010, the FASB issued a
Page 40 and 41: Most of these assumptions vary sign
Page 42 and 43: Sensitivity of Assumptions If we as
Page 44 and 45: Item 8. Financial Statements and Su
Page 46 and 47: Report of Independent Registered Pu
Page 48 and 49: H. J. Heinz Company and Subsidiarie
Page 54 and 55: Inventories: Inventories are stated
Page 92 and 93: (e) H. J. Heinz Company and Subsidi
Page 96 and 97: Item 9. Changes in and Disagreement
Page 98 and 99: (1) The Executive Deferred Compensa
Page 100 and 101: (c) Indenture among H. J. Heinz Com
Page 102 and 103: (xxvii) Form of Fiscal Year 2009 Re
Page 104 and 105: SIGNATURES Pursuant to the requirem
Page 106 and 107: Exhibit 31(b) I, Arthur B. Winklebl
Page 108 and 109: Exhibit 32(b) Certification by the
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PERFORMANCE GRAPH The following gra
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H. J. Heinz Company and Subsidiarie
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CORPORATE DATA Heinz: H. J. Heinz C
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H.J. Heinz Company P.O. Box 57 Pitt
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