<SEC-DOCUMENT>0001157523-16-006437.txt : 20160804
<SEC-HEADER>0001157523-16-006437.hdr.sgml : 20160804
<ACCEPTANCE-DATETIME>20160804073516
ACCESSION NUMBER:		0001157523-16-006437
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20160804
ITEM INFORMATION:		Results of Operations and Financial Condition
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20160804
DATE AS OF CHANGE:		20160804

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			INGLES MARKETS INC
		CENTRAL INDEX KEY:			0000050493
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-GROCERY STORES [5411]
		IRS NUMBER:				560846267
		STATE OF INCORPORATION:			NC
		FISCAL YEAR END:			0928

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-14706
		FILM NUMBER:		161805783

	BUSINESS ADDRESS:	
		STREET 1:		PO BOX 6676
		CITY:			ASHEVILLE
		STATE:			NC
		ZIP:			28816
		BUSINESS PHONE:		828-669-2941

	MAIL ADDRESS:	
		STREET 1:		P O BOX 6676
		CITY:			ASHEVILLE
		STATE:			NC
		ZIP:			28816
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a51395420.htm
<DESCRIPTION>INGLES MARKETS, INCORPORATED 8-K
<TEXT>
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    <p style="text-align: center">
      <br>
      <font style="font-family: Times New Roman; font-size: 12pt"><b>UNITED
      STATES</b></font><b><font style="font-family: Times New Roman; font-size: 12pt"><br style="font-size: 12pt; font-family: Times New Roman"></font><font style="font-family: Times New Roman; font-size: 12pt">SECURITIES
      AND EXCHANGE COMMISSION</font></b><br><font style="font-family: Times New Roman; font-size: 12pt"><b>Washington,
      D.C. 20549</b></font><br><br><font style="font-family: Times New Roman; font-size: 14pt"><b>FORM
      8-K</b></font><br><br><font style="font-family: Times New Roman; font-size: 12pt"><b>CURRENT
      REPORT</b></font><br><font style="font-family: Times New Roman; font-size: 12pt"><b>Pursuant
      to Section 13 OR 15(d) of The Securities Exchange Act of 1934</b></font><br><br><br>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
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        <td valign="top" style="width: 40%; padding-bottom: 2.0px; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Date of Report (Date of earliest event reported)
          </p>
        </td>
        <td valign="top" style="border-bottom-color: black; border-bottom-width: 1.0pt; width: 60%; border-bottom-style: solid; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <font style="font-family: Times New Roman; font-size: 10pt">August
            4, 2016</font>
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">

    </p>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="top" style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            INGLES MARKETS, INCORPORATED
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Exact name of registrant as specified in its charter)
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">

    </p>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="bottom" style="border-bottom-color: black; border-bottom-width: 1.0pt; width: 33%; border-bottom-style: solid; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            North Carolina
          </p>
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; width: 34%; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            0-14706
          </p>
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; width: 33%; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            56-0846267
          </p>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="width: 33%; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (State or other jurisdiction
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            of incorporation)
          </p>
        </td>
        <td valign="bottom" style="width: 34%; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Commission
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            File Number)
          </p>
        </td>
        <td valign="bottom" style="width: 33%; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (IRS Employer
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            Identification No.)
          </p>
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="bottom" style="border-bottom-color: black; border-bottom-width: 1.0pt; width: 33%; border-bottom-style: solid; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            P.O. Box 6676, Asheville, NC
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; width: 34%; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; width: 33%; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            28816
          </p>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="width: 33%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <font style="font-family: Times New Roman; font-size: 10pt">(Address
            of principal executive offices)</font>
          </p>
        </td>
        <td style="width: 34%">
          &#160;
        </td>
        <td valign="bottom" style="width: 33%; text-align: center; padding-left: 0.0px">
          <font style="font-family: Times New Roman; font-size: 10pt">(Zip
          Code)</font>
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="top" style="width: 45%; padding-bottom: 2.0px; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Registrant&#8217;s telephone number, including area code
          </p>
        </td>
        <td valign="top" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; width: 55%; border-bottom-style: solid; white-space: nowrap; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (828) 669-2941
          </p>
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="top" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            N/A
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Former name or former address, if changed since last report.)
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">

    </p>
    <p>
      <font style="font-family: Times New Roman; font-size: 10pt">Check the
      appropriate box below if the Form 8-K filing is intended to
      simultaneously satisfy the filing obligation of the registrant under any
      of the following provisions:</font>
    </p>
    <p>
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font>
      <font style="font-family: Times New Roman; font-size: 10pt">Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)</font>
    </p>
    <p>
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font>
      <font style="font-family: Times New Roman; font-size: 10pt">Soliciting
      material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)</font>
    </p>
    <p>
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font>
      <font style="font-family: Times New Roman; font-size: 10pt">Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
      240.14d-2(b))</font>
    </p>
    <p>
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font>
      <font style="font-family: Times New Roman; font-size: 10pt">Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
      240.13e-4(c))</font>
    </p>
    <div style="text-indent: 0pt; margin-right: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p>
      <b>Item 2.02&#160;&#160;Results of Operations and Financial Condition.</b>
    </p>
    <p style="text-align: justify">
      On August 4, 2016, Ingles Markets, Incorporated (&quot;IMKTA&quot;) issued a press
      release announcing financial information for its third quarter ended
      June 25, 2016.&#160;&#160;The press release is attached as Exhibit&#160;99.1 to this
      Form&#160;8-K.
    </p>
    <p>

    </p>
    <p>
      <b>Item 9.01&#160;&#160;Financial Statements and Exhibits.</b>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="top" style="width: 3%; text-align: left; padding-left: 0.0px">
          (d)
        </td>
        <td valign="top" style="width: 3%; text-align: left; padding-left: 0.0px">
          &#160;
        </td>
        <td valign="top" style="width: 15%; text-align: left; padding-left: 0.0px">
          Exhibits.
        </td>
        <td style="width: 4%">
          &#160;
        </td>
        <td style="width: 75%">

        </td>
      </tr>
      <tr>
        <td colspan="5">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 3%; text-align: left; padding-left: 0.0px">

        </td>
        <td valign="top" style="width: 3%; text-align: left; padding-left: 0.0px">

        </td>
        <td valign="top" style="width: 15%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u>Exhibit Number</u>
          </p>
        </td>
        <td valign="top" style="width: 4%; text-align: left; padding-left: 0.0px">

        </td>
        <td valign="top" style="width: 75%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u>Description of Exhibit</u>
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 3%; text-align: left; padding-left: 0.0px">

        </td>
        <td valign="top" style="width: 3%; text-align: left; padding-left: 0.0px">

        </td>
        <td valign="top" style="padding-right: 0.0px; width: 15%; white-space: nowrap; text-align: left; padding-left: 0.0px">
          99.1
        </td>
        <td valign="top" style="width: 4%; text-align: left; padding-left: 0.0px">

        </td>
        <td valign="top" style="width: 75%; text-align: left; padding-left: 0.0px">
          Press release issued August 4, 2016
        </td>
      </tr>
    </table>
    </div>
    <p style="white-space: nowrap">

    </p>
    <div style="text-indent: 0pt; margin-right: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p style="text-align: center">
      <u><font style="font-family: Times New Roman; font-size: 10pt"><b>SIGNATURES</b></font></u>
    </p>
    <p>
      <font style="font-family: Times New Roman; font-size: 10pt">Pursuant to
      the requirements of the Securities Exchange Act of 1934, the registrant
      has duly caused this report to be signed on its behalf by the
      undersigned hereunto duly authorized.</font>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td style="width: 5%">

        </td>
        <td style="width: 40%">

        </td>
        <td valign="top" style="width: 3%; padding-bottom: 2.0px; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td valign="top" style="border-bottom-color: black; border-bottom-width: 1.0pt; width: 52%; border-bottom-style: solid; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            INGLES MARKETS, INCORPORATED
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 5%">

        </td>
        <td style="width: 40%">

        </td>
        <td valign="top" style="width: 3%; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td valign="top" style="width: 52%; text-align: center; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Registrant)
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 5%">

        </td>
        <td style="width: 40%">

        </td>
        <td style="width: 3%">

        </td>
        <td style="width: 52%">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 5%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Date:
          </p>
        </td>
        <td valign="top" style="width: 40%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            August 4, 2016
          </p>
        </td>
        <td style="width: 3%">

        </td>
        <td style="width: 52%">

        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 5%; padding-bottom: 2.0px; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td valign="top" style="width: 40%; padding-bottom: 2.0px; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td valign="top" style="width: 3%; padding-bottom: 2.0px; text-align: left; padding-left: 0.0px">
          By:
        </td>
        <td valign="top" style="border-bottom-color: black; border-bottom-width: 1.0pt; width: 52%; border-bottom-style: solid; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            /s/ Ronald B. Freeman
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 5%">

        </td>
        <td style="width: 40%">

        </td>
        <td style="width: 3%">

        </td>
        <td valign="top" style="width: 52%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Ronald B. Freeman
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 5%">

        </td>
        <td style="width: 40%">

        </td>
        <td style="width: 3%">

        </td>
        <td valign="top" style="width: 52%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Chief Financial Officer
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>

    </p>
    <div style="text-indent: 0pt; margin-right: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p style="text-align: center">
      <u>EXHIBIT&#160;INDEX</u><br><br>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 10pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td valign="top" style="width: 20%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u>Exhibit</u>
          </p>
        </td>
        <td valign="top" style="width: 80%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u>Description</u>
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 20%">

        </td>
        <td valign="top" style="width: 80%; text-align: left; padding-left: 0.0px">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-right: 0.0px; width: 20%; white-space: nowrap; text-align: left; padding-left: 0.0px">
          99.1
        </td>
        <td valign="top" style="width: 80%; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Press Release dated August 4, 2016
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: left">

    </p>
  </body>
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<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>a51395420ex99_1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<html>
  <head>
    <title></title>
<!--Copyright 2016 Business Wire, a Berkshire Hathaway company.-->
<!--All rights reserved www.businesswire.com-->
  </head>
  <body style="font-size: 8pt; font-family: Times New Roman">
    <p style="text-align: right">
      <b>Exhibit 99.1</b>
    </p>
    <p style="text-align: center">
      <font style="font-family: Times New Roman; font-size: 12pt"><b>Ingles
      Markets, Incorporated Reports Results for Third Quarter and Nine Months
      of Fiscal 2016</b></font>
    </p>
    <p>
      ASHEVILLE, N.C.--(BUSINESS WIRE)--August 4, 2016--Ingles Markets,
      Incorporated (NASDAQ:&#160;IMKTA) today reported higher sales for the three
      months ended June 25, 2016, compared with the three months ended June
      27, 2015. Net sales increased despite significantly lower retail
      gasoline prices compared with the third quarter of last year and despite
      extra Easter sales in the third quarter of last fiscal year. Easter
      occurred in the second quarter of the current fiscal year. Net income
      totaled $12.7 million for the quarter ended June 25, 2016, compared with
      $13.8 million for the third quarter of fiscal year 2015.
    </p>
    <p>
      For the nine months ended June 25, 2016, net income totaled $40.0
      million compared with $43.1 million for the nine months ended June 27,
      2015.
    </p>
    <p>
      During fiscal year 2016, the Company incurred expenses related to
      preparing certain properties for redevelopment into new stores in future
      periods, including costs to tear down and write-off these properties.
      These expenses adversely affected net income comparisons between the
      current year three- and nine-month periods and those of the prior year.
    </p>
    <p>
      Robert P. Ingle II, Chairman of the Board, stated, &#8220;We are pleased with
      this quarter&#8217;s sales growth and our store base capital investments that
      will benefit future periods.&#8221;
    </p>
    <p>
      <u><b>Third Quarter Results</b></u>
    </p>
    <p>
      Net sales increased by $11.2 million, or 1.2%, to $957.2 million for the
      three months ended June 25, 2016, from $946.0 million for the three
      months ended June 27, 2015. Lower gasoline sales due to a decline in the
      average sales price per gallon were offset by higher sales in other
      products. Excluding gasoline sales and the effect of extra Easter sales
      in last year&#8217;s quarter, retail grocery comparable store sales increased
      2.6% over the comparative fiscal third quarter.
    </p>
    <p>
      Gross profit for the June 2016 quarter increased 4.8% to $232.9 million,
      compared with $222.2&#160;million for the third quarter of last fiscal year.
      Gross profit, as a percentage of sales, was 24.3% for the June 2016
      quarter compared with 23.5% for the June 2015 quarter. Excluding
      gasoline sales, retail grocery gross margin increased 39 basis points
      comparing the June 2016 and June 2015 fiscal quarters.
    </p>
    <p>
      Operating and administrative expenses for the June 2016 quarter totaled
      $199.4 million, compared with $190.7 million for the June 2015 quarter.
      Most of the increase was due to higher personnel and other costs
      incurred to increase sales. Losses from asset disposals totaled $1.6
      million during the current third quarter, compared with $0.3 million
      during last year&#8217;s third quarter.
    </p>
    <div style="margin-right: 0pt; text-indent: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      Interest expense totaled $11.2 million for the three-month period ended
      June 25, 2016, and $10.6 million for the three-month period ended June
      27, 2015. Total debt at the end of June 2016 was $898.2 million compared
      with $918.2 million at the end of June 2015.
    </p>
    <p>
      Net income totaled $12.7 million for the three-month period ended June
      25, 2016, compared with $13.8 million for the three-month period ended
      June 27, 2015. Net income, as a percentage of sales, was 1.3% for the
      June 2016 quarter and 1.5% for the June 2015 quarter. Basic and diluted
      earnings per share for Class A Common Stock were $0.64 and $0.63,
      respectively, for the quarter ended June 25, 2016, compared with $0.70
      and $0.68, respectively, for the quarter ended June 27, 2015. Basic and
      diluted earnings per share for Class B Common Stock were each $0.59 for
      the quarter ended June 25, 2016, and $0.63 for the quarter ended June
      27, 2015.
    </p>
    <p>
      <u><b>Nine Month Results</b></u>
    </p>
    <p>
      Nine month fiscal 2016 and 2015 sales each totaled $2.83 billion. Retail
      grocery comparable store sales, excluding the effect of gasoline
      increased 2.1%. Lower retail gasoline and fluid dairy prices were offset
      by increased sales of other products.
    </p>
    <p>
      Gross profit for the nine months ended June 25, 2016, increased 3.3% and
      totaled $687.2 million compared with $665.2 million for the first nine
      months of last fiscal year. Gross profit, as a percentage of sales, was
      24.3% for the June 2016 nine-month period compared with 23.5% for the
      June 2015 nine-month period. Retail grocery segment gross profit as a
      percentage of sales, excluding gasoline sales, increased 18 basis points
      comparing the first nine months of fiscal 2016 with the same fiscal 2015
      period.
    </p>
    <p>
      Operating and administrative expenses totaled $589.7 million for the
      nine months ended June 25, 2016, and $563.3 million for the nine months
      ended June 27, 2015. Losses from asset disposals totaled $0.9 million
      during the current nine-month period, compared with a gain of $0.3
      million during last year&#8217;s nine-month period. Interest expense increased
      $0.2 million to $34.4 million for the nine-month period ended June 25,
      2016, compared with $34.2 million for the nine-month period ended June
      27, 2015.
    </p>
    <p>
      Net income totaled $40.0 million for the nine-month period ended June
      25, 2016, compared with $43.1 million for the nine-month period ended
      June 27, 2015. Net income, as a percentage of sales, was 1.4% for the
      nine months ended June 25, 2016, compared with 1.5% for the nine months
      ended June 27, 2015. Basic and diluted earnings per share for Class A
      Common Stock were&#160;$2.03&#160;and $1.98, respectively, for the nine months
      ended June 25, 2016, compared with $2.19 and $2.13, respectively, for
      the nine months ended June 27, 2015. Basic and diluted earnings per
      share for Class B Common Stock were each $1.85 for the nine months ended
      June 25, 2016, compared with $1.99 of basic and diluted earnings per
      share for the nine months ended June 27, 2015.
    </p>
    <p>
      Capital expenditures for the June&#160;2016 nine-month period totaled $107.8
      million, compared with $73.5 million for the June 2015 nine-month
      period. The increased capital expenditures this year are focused on
      store buildings opened this year (and scheduled to open early next year)
      as well as ongoing improvements to the existing store base. Capital
      expenditures for the entire fiscal year are expected to be approximately
      $120 million to $145 million.
    </p>
    <p>
      The Company currently has $143.1 million available under its
      $175.0&#160;million line of credit. The Company believes its financial
      resources, including the line of credit and other internal and
      anticipated external sources of funds, will be sufficient to meet
      planned capital expenditures, debt service and working capital
      requirements for the foreseeable future.
    </p>
    <div style="text-indent: 0pt; margin-right: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <i>The comments in this press release contain certain forward-looking
      statements. Ingles undertakes no obligation to publicly release any
      revisions to any forward-looking statements contained herein to reflect
      events or circumstances occurring after the date hereof or to reflect
      the occurrence of unanticipated events, except as required by law.</i> <i>Ingles&#8217;
      actual results may differ materially from those projected in
      forward-looking statements made by, or on behalf of, Ingles. Factors
      that may affect results include changes in business and economic
      conditions generally in Ingles&#8217; operating area, pricing pressures,
      increased competitive efforts by others in Ingles&#8217; marketing areas and
      the availability of financing for capital improvements. A more detailed
      discussion of these factors may be found in reports filed by the Company
      with the Securities and Exchange Commission including its 2015 Form 10-K
      and 2016 Forms 10-Q.</i>
    </p>
    <p>
      Ingles Markets, Incorporated is a leading supermarket chain with
      operations in six southeastern states. Headquartered in Asheville, North
      Carolina, the Company operates 201 supermarkets. In conjunction with
      its&#160;supermarket operations, the Company operates neighborhood shopping
      centers, most of which contain an Ingles supermarket. The Company also
      owns a fluid dairy facility that supplies Company supermarkets
      and&#160;unaffiliated customers. The Company's Class A Common Stock is traded
      on The NASDAQ Stock Market's&#160;Global Select Market under the symbol
      IMKTA. For more information, visit Ingles' website at <u>www.ingles-markets.com</u>.
    </p>
    <div style="text-indent: 0pt; margin-right: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 8pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td>

        </td>
        <td colspan="19">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="middle" style="text-align: center; padding-left: 0.0px" colspan="20">
          <b>INGLES MARKETS, INCORPORATED</b>
        </td>
      </tr>
      <tr>
        <td valign="middle" style="text-align: center; padding-left: 0.0px" colspan="20">
          (Amounts in thousands except per share data)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td colspan="19">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="middle" style="text-align: center; padding-left: 0.0px" colspan="20">
          <b>Unaudited Financial Highlights</b>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: center; padding-left: 0.0px" colspan="20">
          <b>Condensed Consolidated Statements of Income (Unaudited)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="8">
          <b>Three Months Ended</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="7">
          <b>Nine Months Ended</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="padding-right: 0.0px; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="3">
          <b>June 25,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="padding-right: 0.0px; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="3">
          <b>June 27,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="padding-right: 0.0px; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="3">
          <b>June 25,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="padding-right: 0.0px; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="2">
          <b>June 27,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="3">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="3">
          <b>2015</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="3">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="2">
          <b>2015</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Net sales
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          957,178
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          945,974
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          2,832,604
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          2,825,806
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Gross profit
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          232,854
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          222,164
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          687,211
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          665,248
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Operating and administrative expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          199,434
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          190,730
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          589,654
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          563,287
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          (Loss) gain from sale or disposal of assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          (1,555
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: left; padding-left: 0.0px">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          (319
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: left; padding-left: 0.0px">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          (934
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: left; padding-left: 0.0px">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          320
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Income from operations
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          31,865
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          31,115
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          96,623
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          102,281
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Other income, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          512
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          523
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,652
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,649
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Interest expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          11,191
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          10,583
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          34,393
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          34,184
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Income taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          8,518
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          7,278
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          23,876
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          26,629
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Net income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          12,668
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          13,777
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          40,006
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          43,117
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Basic earnings per common share &#8211; Class A
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.64
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.70
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          2.03
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          2.19
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Diluted earnings per common share &#8211; Class A
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.63
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.68
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1.98
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          2.13
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Basic earnings per common share &#8211; Class B
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.59
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.63
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1.85
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1.99
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Diluted earnings per common share &#8211; Class B
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.59
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          0.63
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1.85
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1.99
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Additional selected information:
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Depreciation and amortization expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          26,952
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          25,847
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          79,344
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          76,746
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          Rent expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          3,581
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          3,371
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          10,458
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          10,314
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="text-indent: 0pt; margin-right: 0pt; width: 100%; margin-bottom: 10pt; margin-left: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="height: 1.5pt; color: black">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="width: 100%; font-size: 8pt; margin-bottom: 10.0px; font-family: Times New Roman">
      <tr>
        <td>

        </td>
        <td colspan="7">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="middle" style="text-align: center; padding-left: 0.0px" colspan="8">
          <p>
            <b>Condensed Consolidated Balance Sheets (Unaudited)</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="padding-right: 0.0px; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="2">
          <b>June 25,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="middle" style="padding-right: 0.0px; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="2">
          <b>September 26,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="2">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: center; padding-left: 0.0px" colspan="2">
          <b>2015</b>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          ASSETS
        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Cash and cash equivalents
        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          5,435
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          7,505
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Receivables-net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          72,509
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          66,283
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Inventories
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          341,846
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          338,644
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Other current assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          10,088
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          11,313
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Property and equipment-net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,240,948
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,211,458
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; text-align: left; padding-left: 10.0px">
          Other assets
        </td>
        <td>

        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: right; padding-left: 0.0px">
          18,860
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: right; padding-left: 0.0px">
          19,625
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; text-align: left; padding-left: 0.0px">
          TOTAL ASSETS
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,689,686
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,654,828
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 0.0px">
          LIABILITIES AND STOCKHOLDERS' EQUITY
        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Current maturities of long-term debt
        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          10,684
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          11,368
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Accounts payable, accrued expenses and current portion of other
          long-term liabilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          224,535
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          240,592
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Deferred income taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          71,965
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          64,643
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 10.0px">
          Long-term debt
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          887,556
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          874,686
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; text-align: left; padding-left: 10.0px">
          Other long-term liabilities
        </td>
        <td>

        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: right; padding-left: 0.0px">
          35,705
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: right; padding-left: 0.0px">
          34,561
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="text-align: left; padding-left: 25.0px">
          Total Liabilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,230,445
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-right: 0.0px; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,225,850
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; text-align: left; padding-left: 10.0px">
          Stockholders' equity
        </td>
        <td>

        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: right; padding-left: 0.0px">
          459,241
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-color: black; border-bottom-width: 1.0pt; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 1.0pt; border-bottom-style: solid; white-space: nowrap; text-align: right; padding-left: 0.0px">
          428,978
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; text-align: left; padding-left: 0.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
          </p>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,689,686
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-color: black; padding-right: 0.0px; border-bottom-width: 2.25pt; border-bottom-style: double; white-space: nowrap; text-align: right; padding-left: 0.0px">
          1,654,828
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">

    </p>
    <p>
      CONTACT:<br>Ingles Markets, Incorporated<br>Ron Freeman, 828-669-2941
      (Ext. 223)<br>Chief Financial Officer
    </p>
  </body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
