CONAGRA FOODS INC /DE/ | 2013 | FY | 3


Marketing Costs — We promote our products with advertising, consumer incentives, and trade promotions. Such programs include, but are not limited to, discounts, coupons, rebates, and volume-based incentives. Advertising costs are expensed as incurred. Consumer incentives and trade promotion activities are recorded as a reduction of revenue or as a component of cost of goods sold based on amounts estimated as being due to customers and consumers at the end of the period, based principally on historical utilization and redemption rates. Advertising and promotion expenses totaled $474.0 million, $364.5 million, and $371.9 million in fiscal 2013, 2012, and 2011, respectively, and are included in selling, general and administrative expenses.