(RTTNews) - Processed and packaged foods company Sara Lee Corp. (SLE: News ) Wednesday reported a narrower loss for the fourth quarter, helped by lower expenses and impairment charges, despite a fall in sales. For the full year, the company reported a profit, compared to a loss last year, although sales dropped. Further, Sara Lee issued guidance for fiscal 2010.

Sara Lee reported fourth-quarter net loss of $14 million or $0.02 per share, compared to a net loss of $672 million or $0.95 per share last year. Loss from continuing operations was $14 million or $0.02 per share, narrower than $657 million or $0.93 per share in the prior year quarter.

In the latest period, the company incurred non-cash, pre-tax impairment charges of $207 million associated with goodwill balances and other long-lived assets at the Spanish bakery business, as well as $61 million of other charges for significant items.

On average, 12 analysts polled by Thomson Reuters expected the company to report earnings of $0.24 per share. Analysts' estimates typically exclude special items.

Net sales for the quarter declined to $3.164 billion from $3.507 billion in the year ago quarter. Adjusted net sales decreased to $3.139 billion from $3.181 billion in the previous year period. Adjusted net sales exclude acquisitions/divestitures and present fiscal 2008 net sales at fiscal 2009 foreign currency exchange rates, the company noted. Analysts estimated revenues of $3.27 billion.
Sara Lee has operations organized under six business segments: North American Retail Meats, North American Retail Bakery, Foodservice, International Beverage, International Bakery, and Household and Body Care. Its major brands include Ambi Pur, Ball Park, Douwe Egberts, Hillshire Farm, Jimmy Dean, Kiwi, Sanex, Senseo and Sara Lee.

For the fourth quarter, North American Retail reported net sales of $695 million, up from $683 million in the previous year, primarily driven by favorable sales mix at retail and pricing actions, which were slightly offset by lower non-retail commodity meat sales. North American Fresh Bakery had net sales of $560 million, higher than $554 million in the previous year, driven by higher selling prices and unit volume growth.

At North American Foodservice, net sales slipped to $454 million from $537 million. The company attributed the decline primarily to the divestiture of the DSD foodservice coffee and the sauces and dressings businesses earlier in the year, as well as lower unit volumes in the weak foodservice market.

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