Financial Review 2004 Consolidated Statements  of Earnings (In thousands  except per share data)  May 30  2004  May 25  2003  May 26  2002 Sales $5 003 355  $4 654 971  $ 4 366 911 Costs and expenses:  Cost of sales:  Food and beverage  1 526 875  1 449 162  1 384 481 Restaurant labor  1 601 258  1 485 046  1 373 416 Restaurant expenses  767 584  703 554 628 701 Total cost of sales  excluding restaurant depreciation and amortization of $195 486  $177 127  and $155 837  respectively  $3 895 717 $ 3 637 762 $3 386 598  Selling  general  and administrative  472 109  431 722 417 158  Depreciation and amortization  210 004  191 218  165 829  Interest  net  43 659  42 597 36 585  Asset impairment and restructuring charges (credits)  net  41 868  3 924  (2 568) Total costs and expenses  $4 663 357  $ 4 307 223  $4 003 602  Earnings before income taxes  339 998  347 748 363 309  Income taxes  108 536 115 488 125 521  Net earnings $ 231 462  $ 232 260 $ 237 788  Net earnings per share:  Basic $ 1.42  $ 1.36  $ 1.36  Diluted  $ 1.36  $ 1.31 $ 1.30  Average number of common shares outstanding:  Basic 163 500  170 300 174 700  Diluted  169 700  177 400 183 500  Fiscal YearEnded See accompanying notes to consolidated financial statements. 34  Darden Restaurants