At my first real programming job we (developers) went out to lunch together every day. We went out to restaurants, not fast food. Lunch often took 1.5 hours and sometimes 2 hours. Our boss came with us. We were a small company, so there were only four of five of us, usually.

Sometimes we talked about work, and sometimes not. When we did, we often discussed higher level stuff rather than quotidian matters. We had our boss there, so anything we decided at lunch was ready to go ahead with.

Back at the office we almost never had to have meetings, because we didn't need them. This alone is pure gold.

Outside of work some of us were actively friends, and others not. But this really didn't change lunch. Nobody was forced to go to lunch, and there was no unwritten rule that non-lunchers were outsiders. It's that lunch was pleasurable, relaxing, with good food, and we naturally talked about what we had in common.

Since that time it's never quite reached that level, but I've come close occasionally. If you've never experienced it I imagine that it might be hard to grasp how nice it can be.

I think some of what I've said above is inline with what Joel is talking about, but it's a slightly different take. Make of it what you will.