In July 2002, the Financial Accounting Standards Board issued Statement of Financial Accounting Standards No. 146, Accounting for Costs Associated with Exit or Disposal Activities (SFAS 146). SFAS 146 addresses financial accounting and reporting for costs associated with exit and disposal activities and nullifies Emerging Issues Task Force Issue  No. 94-3,  Liability Recognition for Certain Employee Termination Benefits and Other Costs to Exit an Activity (including Certain Costs Incurred in a Restructuring) . The provisions of SFAS 146 are effective for exit or disposal activities that are initiated after December 31, 2002. The adoption of SFAS 146 did not have a material impact on the Company’s consoli- dated financial statements. Risks and Uncertainties: In the domestic markets, the Company’s products are primarily sold through brokers to food retailers, food wholesalers, club stores, mass merchandisers, military commissaries, health and natural food stores, foodservice distributors, and chain operators including: hotels and restaurants, schools and other institutions, and other food manufacturers. The Company’s operations outside the United States is principally in Canada, Australia, and Brazil. The Company believes there is no concentration of risk with any single customer or supplier whose failure or nonperformance would materially affect the Company’s results. In addition, the Company insures its business and assets in each country against insurable risks, to the extent that it deems appropriate, based upon an analysis of the relative risks and costs. The Company believes that the risk of loss from noninsurable events would not have a mate- rial adverse effect on the Company’s operations as a whole. Reclassifications: Certain prior year amounts have been reclassified to conform to current year classifications. Effective May 1, 2002, the Company adopted Statement of Financial Accounting Standards No. 142,  Goodwill and Other Intangible Assets (SFAS 142). In accordance with SFAS 142, goodwill and indefinite-lived intangible assets are no longer amortized but are reviewed at least annually for impairment. Prior to the adoption of SFAS 142, amortization expense was recorded for goodwill and other intangible assets.  The following table sets forth a reconciliation of net income and earnings per share information adjusted for the non- amortization provisions of SFAS 142. Note B: Changes in Accounting Principle In fiscal 2003, the Company completed its initial and annual impairment tests for goodwill, under SFAS 142. These tests confirmed that the fair value of the Company’s reporting units exceeds their carrying values, and that no impairment loss needed to be recognized for goodwill during fiscal 2003. Year Ended April 30, (Dollars in thousands, except per share data) 2003 2002 2001 Net income, as reported $96,342  $30,851 $27,206 Goodwill and indefinite-lived intangible asset amortization, net of tax benefit — 2,177 2,347 Net income, as adjusted $96,342 $33,028 $29,553 Earnings per common share: Net income, as reported $ 2.04 $ 1.33 $ 1.13 Goodwill and indefinite-lived intangible asset amortization, net of tax benefit — 0.10 0.10 Net income, as adjusted $ 2.04 $ 1.43 $ 1.23 Net income, as reported – assuming dilution $ 2.02 $ 1.31 $ 1.12 Goodwill and indefinite-lived intangible asset  amortization, net of tax benefit – assuming dilution — 0.10 0.10 Net income, as adjusted – assuming dilution $ 2.02 $ 1.41 $ 1.22 27