0000105418 2009-12-27 2010-12-25 0000105418 2011-03-27 2011-06-25 0000105418 2010-03-28 2010-06-26 0000105418 2010-06-26 0000105418 2009-12-26 0000105418 2009-12-27 2010-06-26 0000105418 2011-06-25 0000105418 2010-12-25 0000105418 2011-08-04 0000105418 2010-12-26 2011-06-25 iso4217:USD xbrli:shares iso4217:USD xbrli:shares false --12-31 Q2 2011 2011-06-25 10-Q 0000105418 26898443 Accelerated Filer WEIS MARKETS INC

(2) Current Relevant Accounting Standards In June 2011, the Financial Accounting Standards Board (FASB) issued new authoritative guidance on the presentation of comprehensive income. The new guidance requires an entity to present the components of net income and other comprehensive income either in one continuous statement, referred to as the statement of comprehensive income, or in two separate, but consecutive statements. The new guidance eliminates the current option to report other comprehensive income and its components in the statement of changes in shareholders' equity. While the new guidance changes the presentation of comprehensive income, there are no changes to the components that are recognized in net income or other comprehensive income under current accounting guidance. This new guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2011. Adoption of the new guidance will not have an impact on the Company's consolidated financial statements, as the guidance impacts presentation only. In May 2011, FASB issued new authoritative guidance to achieve a consistent definition of fair value and ensure that the fair value measurement and disclosure requirements are similar between U.S. GAAP and International Financial Reporting Standards. This new guidance amends current fair value measurement and disclosure guidance to include increased transparency around valuation inputs and investment categorization. This new guidance is effective for fiscal years and interim periods beginning after December 15, 2011. The Company does not expect the adoption of the new guidance to have an impact on the consolidated financial statements. In January 2010, FASB issued additional authoritative guidance on fair value measurements. The guidance requires previous fair value hierarchy disclosures to be further disaggregated by class of assets and liabilities. In addition, significant transfers between Levels 1 and 2 of the fair value hierarchy are required to be disclosed. The guidance was effective for interim and annual reporting periods beginning after December 15, 2009. Adoption of the new guidance did not have an impact on the Company's consolidated financial position, as this guidance relates only to additional disclosures. In addition, the guidance requires that in the reconciliation for fair value measurements using significant unobservable inputs, or Level 3, a reporting entity separately disclose information about purchases, sales, issuances and settlements on a gross basis rather than as one net number. The guidance was effective for fiscal years, and interim periods within those years, beginning after December 15, 2010. Adoption of the new guidance did not have an impact on the Company's consolidated financial position, as the Company has no Level 3 inputs. In December 2010, FASB issued additional authoritative guidance on goodwill impairment. The guidance modifies step 1 of the goodwill impairment test for entities with a zero or negative carrying value to require entities to assess, considering qualitative factors, whether it is more likely than not that a goodwill impairment exists. If an entity concludes that it is more likely than not that goodwill impairment exists, the entity must perform step 2 of the goodwill impairment test. The guidance allows an entity to use either the equity or the enterprise valuation premise to determine the carrying amount of a reporting unit. The guidance was effective for impairment tests performed during fiscal years, and interim periods within those years, beginning after December 15, 2010. Adoption of the new guidance did not have an impact on the Company's consolidated financial statements. In December 2010, FASB issued additional authoritative guidance on business combinations. The guidance provides clarification regarding pro forma revenue and earnings disclosure requirements for business combinations. The guidance specifies that if a public entity presents comparative financial statements, the entity should disclose only revenue and earnings of the combined entity as though the business combination(s) that occurred during the current year had occurred as of the beginning of the comparable prior annual reporting period. The guidance also expands the supplemental pro forma disclosures to include a description of the nature and amount of material, nonrecurring pro forma adjustments directly attributable to the business combination included in the reported pro forma revenue and earnings. The guidance was effective prospectively for business combinations for which the acquisition date was on or after the beginning of the first annual reporting period beginning on or after December 15, 2010. Adoption of the new guidance did not have an impact on the Company's consolidated financial statements.

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(3) Comprehensive Income The components of comprehensive income, net of related tax, for the periods ended June 25, 2011 and June 26, 2010 are as follows: <table cellspacing="0" cellpadding="0"> <tr><td bgcolor="#ffffff" valign="bottom" width="14" align="left">  </td> <td bgcolor="#ffffff" valign="bottom" width="278" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" width="14" align="right">  </td> <td bgcolor="#ffffff" valign="bottom" colspan="3" align="center">13 Weeks Ended</td> <td valign="top" width="14" align="left">  </td> <td valign="bottom" colspan="3" align="center">26 Weeks Ended</td> <td valign="top" width="14" align="left">  </td></tr> <tr><td bgcolor="#ffffff" valign="bottom" colspan="2" align="left">(dollars in thousands)</td> <td bgcolor="#ffffff" valign="bottom" align="right">  </td> <td bgcolor="#ffffff" valign="bottom" width="86" align="center">June 25, 2011</td> <td bgcolor="#ffffff" valign="bottom" width="14" align="left">  </td> <td bgcolor="#ffffff" valign="bottom" width="86" align="center">June 26, 2010</td> <td bgcolor="#ffffff" valign="bottom" align="left">  </td> <td bgcolor="#ffffff" valign="bottom" width="86" align="center">June 25, 2011</td> <td bgcolor="#ffffff" valign="bottom" width="14" align="left">  </td> <td bgcolor="#ffffff" valign="bottom" width="86" align="center">June 26, 2010</td> <td bgcolor="#ffffff" valign="bottom" align="left">  </td></tr> <tr><td bgcolor="#efefef" valign="bottom" colspan="2" align="left">Net income</td> <td bgcolor="#efefef" valign="bottom" align="right">  $</td> <td bgcolor="#efefef" valign="bottom" align="right">20,701</td> <td bgcolor="#efefef" valign="bottom" align="right">$</td> <td bgcolor="#efefef" valign="bottom" align="right">20,509</td> <td bgcolor="#efefef" valign="bottom" align="right">$</td> <td bgcolor="#efefef" valign="bottom" align="right">39,301</td> <td bgcolor="#efefef" valign="bottom" align="right">$</td> <td bgcolor="#efefef" valign="bottom" align="right">37,891</td> <td bgcolor="#efefef" valign="bottom" align="left">  </td></tr> <tr><td bgcolor="#ffffff" valign="bottom" colspan="2" align="left">Other comprehensive income by component, net of tax:</td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td> <td bgcolor="#ffffff" valign="bottom" align="left"> </td></tr> <tr><td bgcolor="#efefef" valign="bottom" align="left">  </td> <td bgcolor="#efefef" valign="bottom" align="left">Unrealized holding gains (losses) arising during period (Net of deferred taxes of $355 and $202 respectively for the 13 Weeks Ended and $482 and $341 respectively for the 26 Weeks Ended)</td> <td bgcolor="#efefef" valign="bottom" align="right">  </td> <td bgcolor="#efefef" valign="bottom" align="right">559</td> <td bgcolor="#efefef" valign="bottom" align="left">  </td> <td bgcolor="#efefef" valign="bottom" align="right">             (286</td> <td bgcolor="#efefef" valign="bottom" align="left">)</td> <td bgcolor="#efefef" valign="bottom" align="right">738</td> <td bgcolor="#efefef" valign="bottom" align="left">  </td> <td bgcolor="#efefef" valign="bottom" align="right">          (481</td> <td bgcolor="#efefef" valign="bottom" align="left">)</td></tr> <tr><td bgcolor="#efefef" valign="bottom" align="left"> </td> <td bgcolor="#efefef" valign="bottom" align="left">Reclassification adjustment for gains included in net income (Net of taxes of $165 and $0 respectively for the 13 Weeks Ended and $423 and $93 respectively for the 26 Weeks Ended)</td> <td bgcolor="#efefef" valign="bottom" align="left"> </td> <td bgcolor="#efefef" valign="bottom" align="right">          (232</td> <td bgcolor="#efefef" valign="bottom" align="left">)</td> <td bgcolor="#efefef" valign="bottom" align="right">         ---    </td> <td bgcolor="#efefef" valign="bottom" align="left"> </td> <td bgcolor="#efefef" valign="bottom" align="right">          (596 </td> <td bgcolor="#efefef" valign="bottom" align="left">)</td> <td bgcolor="#efefef" valign="bottom" align="right">          (130</td> <td bgcolor="#efefef" valign="bottom" align="left">)</td></tr> <tr><td bgcolor="#ffffff" valign="bottom" colspan="2" align="left">Comprehensive income, net of tax</td> <td bgcolor="#ffffff" valign="bottom" align="right">$</td> <td bgcolor="#ffffff" valign="bottom" align="right">      21,028</td> <td bgcolor="#ffffff" valign="bottom" align="right">$</td> <td bgcolor="#ffffff" valign="bottom" align="right">      20,223</td> <td bgcolor="#ffffff" valign="bottom" align="right">$</td> <td bgcolor="#ffffff" valign="bottom" align="right">      39,443</td> <td bgcolor="#ffffff" valign="bottom" align="right">$</td> <td bgcolor="#ffffff" valign="bottom" align="right">      37,280</td> <td bgcolor="#ffffff" valign="bottom" align="left">  </td></tr></table>

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(5) Contingencies The Company is a defendant in a lawsuit, filed in 2007, in the United States District Court, District of Maryland, alleging violation of the "Fair and Accurate Credit Transactions Act". The Company has agreed to a settlement with a cap of $2,000,000 and the settlement was approved by the Court on July 25, 2011. In connection with the settlement and consultation with its legal counsel, the Company has accrued $750,000 in operating, general and administrative expenses in the accompanying first quarter 2011 consolidated financial statements, as its best estimate of its known expenditures in connection with the settlement.

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(4) Reclassification The Company reclassified certain immaterial amounts in the Consolidated Statements of Income.

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(1) Significant Accounting Policies Basis of Presentation: The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments (consisting of normal recurring deferrals and accruals) considered necessary for a fair presentation have been included. The operating results for the periods presented are not necessarily indicative of the results to be expected for the full year. The Company has evaluated subsequent events for disclosure through the date of issuance of the accompanying unaudited consolidated interim financial statements and there were no material subsequent events which require additional disclosure. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company's latest Annual Report on Form 10-K.

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