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As Of Filer Filing For·On·As Docs:Size 7/29/21 Pilgrims Pride Corp. 10-Q 6/27/21 96:45M |
Document/Exhibit Description Pages Size 1: 10-Q Quarterly Report HTML 1.46M 2: EX-10.1 Material Contract HTML 371K 3: EX-31.1 Certification -- §302 - SOA'02 HTML 31K 4: EX-31.2 Certification -- §302 - SOA'02 HTML 31K 5: EX-32.1 Certification -- §906 - SOA'02 HTML 27K 6: EX-32.2 Certification -- §906 - SOA'02 HTML 27K 13: R1 Cover Page HTML 79K 14: R2 Condensed Consolidated Balance Sheets HTML 156K 15: R3 Condensed Consolidated Statements of Income HTML 117K 16: R4 Condensed Consolidated Statements of Comprehensive HTML 101K Income (Loss) 17: R5 Condensed Consolidated Statements of Stockholders' HTML 90K Equity 18: R6 Condensed Consolidated Statements of Cash Flows HTML 119K 19: R7 General HTML 52K 20: R8 Revenue Recognition HTML 116K 21: R9 Derivative Financial Instruments HTML 112K 22: R10 Trade Accounts and Other Receivables HTML 45K 23: R11 Inventories HTML 35K 24: R12 Investments in Securities HTML 37K 25: R13 Goodwill and Intangible Assets HTML 67K 26: R14 Property, Plant and Equipment HTML 43K 27: R15 Current Liabilities HTML 52K 28: R16 Income Taxes HTML 33K 29: R17 Debt HTML 70K 30: R18 Stockholders' Equity HTML 89K 31: R19 Pension and Other Postretirement Benefits HTML 272K 32: R20 Stock-Based Compensation HTML 31K 33: R21 Fair Value Measurements HTML 70K 34: R22 Related Party Transactions HTML 107K 35: R23 Reportable Segments HTML 93K 36: R24 Commitments and Contingencies HTML 61K 37: R25 General (Policies) HTML 48K 38: R26 General (Tables) HTML 42K 39: R27 Revenue Recognition (Tables) HTML 109K 40: R28 Derivative Financial Instruments (Tables) HTML 107K 41: R29 Trade Accounts and Other Receivables (Tables) HTML 45K 42: R30 Inventories (Tables) HTML 36K 43: R31 Investments in Securities (Tables) HTML 34K 44: R32 Goodwill and Intangible Assets (Tables) HTML 68K 45: R33 Property, Plant and Equipment (Tables) HTML 39K 46: R34 Current Liabilities (Tables) HTML 52K 47: R35 Debt (Tables) HTML 49K 48: R36 Stockholders' Equity (Tables) HTML 85K 49: R37 Pension and Other Postretirement Benefits (Tables) HTML 270K 50: R38 Fair Value Measurements (Tables) HTML 63K 51: R39 Related Party Transactions (Tables) HTML 105K 52: R40 Reportable Segments (Tables) HTML 88K 53: R41 GENERAL - Additional Information (Details) HTML 56K 54: R42 GENERAL - Cash, Cash Equivalents and Restricted HTML 35K Cash (Details) 55: R43 REVENUE RECOGNITION - Disaggregated Revenue HTML 85K (Details) 56: R44 REVENUE RECOGNITION - Contract Balances (Details) HTML 33K 57: R45 Derivative Financial Instruments (Schedule of HTML 52K Outstanding Derivative Instruments and Cash Collateral) (Details) 58: R46 Derivative Financial Instruments (Schedule of HTML 35K Derivative Gain (Loss) and Location of Income Expense) (Details) 59: R47 Derivative Financial Instruments (Schedule of Cash HTML 38K Flow Hedges Included in AOCI (Details) 60: R48 Derivative Financial Instruments (Line item in the HTML 57K Condensed Consolidated Statements of Income) (Details) 61: R49 Derivative Financial Instruments (Narrative) HTML 31K (Details) 62: R50 Trade Accounts and Other Receivables (Details) HTML 51K 63: R51 Inventories (Details) HTML 39K 64: R52 Investments in Securities (Details) HTML 36K 65: R53 GOODWILL AND INTANGIBLE ASSETS - Schedule of HTML 39K Goodwill (Details) 66: R54 GOODWILL AND INTANGIBLE ASSETS - Schedule of HTML 65K Intangible Assets (Details) 67: R55 GOODWILL AND INTANGIBLE ASSETS - Estimated Useful HTML 36K Lives of Finite-Lived Intangible Assets (Details) 68: R56 Property, Plant and Equipment (Schedule of HTML 50K Property, Plant and Equipment) (Details) 69: R57 Property, Plant and Equipment (Narrative) HTML 43K (Details) 70: R58 Current Liabilities (Details) HTML 73K 71: R59 Income Taxes (Details) HTML 45K 72: R60 DEBT - Schedule of Long-term Debt and Other HTML 88K Borrowing Arrangements (Details) 73: R61 DEBT - Narrative (Details) HTML 163K 74: R62 Stockholders' Equity (Schedule of Changes in HTML 77K Accumulated Other Comprehensive Loss) (Details) 75: R63 Stockholders' Equity (Schedule of Reclassification HTML 74K from Accumulated Other Comprehensive Loss) (Details) 76: R64 Stockholders' Equity (Narrative) (Details) HTML 33K 77: R65 Pension and Other Postretirement Benefits HTML 76K (Narrative) (Details) 78: R66 Pension and Other Postretirement Benefits HTML 102K (Schedule of Defined Benefit Plan Obligations and Assets) (Details) 79: R67 Pension and Other Postretirement Benefits HTML 54K (Schedule of Net Defined Benefit Pension and Other Postretirement Costs) (Details) 80: R68 Pension and Other Postretirement Benefits HTML 45K (Schedule of Economic Assumptions and Impact of Change in Discount Rate on Benefit Obligation) (Details) 81: R69 Pension and Other Postretirement Benefits HTML 46K (Schedule of Plan Asset Allocations) (Details) 82: R70 Pension and Other Postretirement Benefits HTML 112K (Schedule of Fair Value Assumptions of Plan Assets) (Details) 83: R71 Pension and Other Postretirement Benefits HTML 45K (Schedule of Benefit Payments) (Details) 84: R72 Pension and Other Postretirement Benefits HTML 51K (Schedule of Unrecognized Benefit Amounts) (Details) 85: R73 Stock-Based Compensation (Narrative) (Details) HTML 48K 86: R74 Fair Value Measurements (Schedule of Assets and HTML 52K Liabilities Measured on a Recurring Basis) (Details) 87: R75 Fair Value Measurements (Schedule of Fair Value HTML 60K and Carrying Amount of Debt Obligations) (Details) 88: R76 Related Party Transactions (Schedule of Related HTML 83K Party Transactions) (Details) 89: R77 REPORTABLE SEGMENTS - Narrative (Details) HTML 27K 90: R78 REPORTABLE SEGMENTS - Schedule of Segment HTML 79K Reporting Information, by Segment (Details) 91: R79 REPORTABLE SEGMENTS - Schedule of Segment HTML 47K Reporting, Goodwill and Assets (Details) 92: R80 Commitments and Contingencies (Details) HTML 62K 94: XML IDEA XML File -- Filing Summary XML 179K 12: XML XBRL Instance -- ppc-20210627_htm XML 4.36M 93: EXCEL IDEA Workbook of Financial Reports XLSX 143K 8: EX-101.CAL XBRL Calculations -- ppc-20210627_cal XML 254K 9: EX-101.DEF XBRL Definitions -- ppc-20210627_def XML 877K 10: EX-101.LAB XBRL Labels -- ppc-20210627_lab XML 2.05M 11: EX-101.PRE XBRL Presentations -- ppc-20210627_pre XML 1.27M 7: EX-101.SCH XBRL Schema -- ppc-20210627 XSD 214K 95: JSON XBRL Instance as JSON Data -- MetaLinks 513± 734K 96: ZIP XBRL Zipped Folder -- 0000802481-21-000077-xbrl Zip 844K
ppc-20210627 |
FORM | i 10-Q |
i ☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
i ☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
i Delaware | i 75-1285071 | ||||||||||
(State
or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | ||||||||||
i 1770 Promontory Circle | i 80634-9038 | ||||||||||
i Greeley | i CO | ||||||||||
(Address of principal executive offices) | (Zip code) |
Title of each class | Trading Symbol | Name of Exchange on which Registered | ||||||||||||
i Common Stock, Par Value $0.01 | i PPC | i The Nasdaq Stock Market LLC |
i Large Accelerated Filer | ý | Accelerated Filer | ☐ | ||||||||||||||
Non-accelerated Filer | ☐ | Smaller reporting company | i ☐ | ||||||||||||||
Emerging growth company | i ☐ |
Item 1. | ||||||||
Item 2. | ||||||||
Item 3. | ||||||||
Item 4. | ||||||||
Item 1. | ||||||||
Item 1A. | ||||||||
Item 2. | ||||||||
Item 6. | ||||||||
PILGRIM’S PRIDE CORPORATION | ||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||||
(Unaudited) | ||||||||||||||
June 27, 2021 | December 27, 2020 | |||||||||||||
(In thousands) | ||||||||||||||
Cash and cash equivalents | $ | i 391,805 | $ | i 547,624 | ||||||||||
Restricted cash and cash equivalents | i 98,212 | i 782 | ||||||||||||
Trade accounts and other receivables, less allowance for doubtful accounts | i 866,476 | i 741,992 | ||||||||||||
Accounts receivable from related parties | i 868 | i 1,084 | ||||||||||||
Inventories | i 1,530,014 | i 1,358,793 | ||||||||||||
Income taxes receivable | i 51,351 | i 69,397 | ||||||||||||
Prepaid expenses and other current assets | i 190,574 | i 183,039 | ||||||||||||
Total current assets | i 3,129,300 | i 2,902,711 | ||||||||||||
Deferred tax assets | i 5,494 | i 5,471 | ||||||||||||
Other long-lived assets | i 26,837 | i 24,780 | ||||||||||||
Operating lease assets, net | i 295,391 | i 288,886 | ||||||||||||
Identified intangible assets, net | i 589,536 | i 589,913 | ||||||||||||
Goodwill | i 1,024,900 | i 1,005,245 | ||||||||||||
Property, plant and equipment, net | i 2,677,387 | i 2,657,491 | ||||||||||||
Total assets | $ | i 7,748,845 | $ | i 7,474,497 | ||||||||||
Accounts payable | $ | i 1,092,164 | $ | i 1,028,710 | ||||||||||
Accounts payable to related parties | i 8,595 | i 9,650 | ||||||||||||
Revenue contract liabilities | i 36,275 | i 65,918 | ||||||||||||
Accrued expenses and other current liabilities | i 1,051,546 | i 807,847 | ||||||||||||
Income taxes payable | i 30,681 | i — | ||||||||||||
Current maturities of long-term debt | i 25,453 | i 25,455 | ||||||||||||
Total current liabilities | i 2,244,714 | i 1,937,580 | ||||||||||||
Noncurrent operating lease liability, less current maturities | i 221,345 | i 217,432 | ||||||||||||
Long-term debt, less current maturities | i 2,270,298 | i 2,255,546 | ||||||||||||
Deferred tax liabilities | i 318,159 | i 339,831 | ||||||||||||
Other long-term liabilities | i 99,817 | i 148,761 | ||||||||||||
Total liabilities | i 5,154,333 | i 4,899,150 | ||||||||||||
Common stock | i 2,614 | i 2,612 | ||||||||||||
Treasury stock | ( i 345,134) | ( i 345,134) | ||||||||||||
Additional paid-in capital | i 1,959,558 | i 1,954,334 | ||||||||||||
Retained earnings | i 906,090 | i 972,569 | ||||||||||||
Accumulated other comprehensive income (loss) | i 59,354 | ( i 20,620) | ||||||||||||
Total Pilgrim’s Pride Corporation stockholders’ equity | i 2,582,482 | i 2,563,761 | ||||||||||||
Noncontrolling interest | i 12,030 | i 11,586 | ||||||||||||
Total stockholders’ equity | i 2,594,512 | i 2,575,347 | ||||||||||||
Total liabilities and stockholders’ equity | $ | i 7,748,845 | $ | i 7,474,497 |
PILGRIM’S PRIDE CORPORATION | ||||||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | |||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Net sales | $ | i 3,637,698 | $ | i 2,824,023 | $ | i 6,911,123 | $ | i 5,898,951 | ||||||||||||||||||
Cost of sales | i 3,257,457 | i 2,704,164 | i 6,269,639 | i 5,601,993 | ||||||||||||||||||||||
Gross profit | i 380,241 | i 119,859 | i 641,484 | i 296,958 | ||||||||||||||||||||||
Selling, general and administrative expense | i 503,372 | i 92,570 | i 606,151 | i 185,283 | ||||||||||||||||||||||
Operating income (loss) | ( i 123,131) | i 27,289 | i 35,333 | i 111,675 | ||||||||||||||||||||||
Interest expense, net of capitalized interest | i 50,651 | i 32,323 | i 80,985 | i 65,011 | ||||||||||||||||||||||
Interest income | ( i 842) | ( i 1,158) | ( i 3,208) | ( i 2,848) | ||||||||||||||||||||||
Foreign currency transaction loss (gain) | i 4,145 | i 5,525 | i 6,659 | ( i 12,860) | ||||||||||||||||||||||
Miscellaneous, net | ( i 770) | ( i 45) | ( i 8,614) | ( i 34,233) | ||||||||||||||||||||||
Income (loss) before income taxes | ( i 176,315) | ( i 9,356) | ( i 40,489) | i 96,605 | ||||||||||||||||||||||
Income tax expense (benefit) | ( i 9,812) | ( i 2,956) | i 25,546 | i 35,556 | ||||||||||||||||||||||
Net income (loss) | ( i 166,503) | ( i 6,400) | ( i 66,035) | i 61,049 | ||||||||||||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | i 184 | ( i 364) | i 444 | ( i 183) | ||||||||||||||||||||||
Net income (loss) attributable to Pilgrim’s Pride Corporation | $ | ( i 166,687) | $ | ( i 6,036) | $ | ( i 66,479) | $ | i 61,232 | ||||||||||||||||||
Weighted
average shares of Pilgrim’s Pride Corporation common stock outstanding: | ||||||||||||||||||||||||||
Basic | i 243,675 | i 246,687 | i 243,627 | i 248,017 | ||||||||||||||||||||||
Effect of dilutive common stock equivalents | i — | i — | i — | i 291 | ||||||||||||||||||||||
Diluted | i 243,675 | i 246,687 | i 243,627 | i 248,308 | ||||||||||||||||||||||
Net
income (loss) attributable to Pilgrim’s Pride Corporation per share of common stock outstanding: | ||||||||||||||||||||||||||
Basic | $ | ( i 0.68) | $ | ( i 0.02) | $ | ( i 0.27) | $ | i 0.25 | ||||||||||||||||||
Diluted | $ | ( i 0.68) | $ | ( i 0.02) | $ | ( i 0.27) | $ | i 0.25 |
PILGRIM’S PRIDE CORPORATION | |||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Net income (loss) | $ | ( i 166,503) | $ | ( i 6,400) | $ | ( i 66,035) | $ | i 61,049 | |||||||||||||||
Other comprehensive income (loss): | |||||||||||||||||||||||
Foreign currency translation adjustment: | |||||||||||||||||||||||
Gains (losses) arising during the period | i 15,847 | ( i 18,782) | i 49,138 | ( i 115,547) | |||||||||||||||||||
Derivative financial instruments designated as cash flow hedges: | |||||||||||||||||||||||
Gains (losses) arising during the period | i 741 | ( i 2,147) | i 2,209 | i 1,901 | |||||||||||||||||||
Income tax effect | i 25 | i — | i 32 | i — | |||||||||||||||||||
Reclassification to net earnings for losses (gains) realized | ( i 1,080) | ( i 162) | ( i 1,248) | i 580 | |||||||||||||||||||
Income tax effect | ( i 40) | i — | ( i 72) | i — | |||||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||
Gains arising during the period | i — | i 2 | i — | i 14 | |||||||||||||||||||
Income tax effect | i — | ( i 1) | i — | ( i 4) | |||||||||||||||||||
Reclassification to net earnings for gains realized | i — | ( i 12) | i — | ( i 12) | |||||||||||||||||||
Income tax effect | i — | i 3 | i — | i 3 | |||||||||||||||||||
Defined benefit plans: | |||||||||||||||||||||||
Gains (losses) arising during the period | i 9,876 | ( i 34,151) | i 39,103 | ( i 44,961) | |||||||||||||||||||
Income tax effect | ( i 3,588) | i 6,459 | ( i 9,918) | i 9,164 | |||||||||||||||||||
Reclassification to net earnings of losses realized | i 384 | i 375 | i 955 | i 751 | |||||||||||||||||||
Income tax effect | ( i 90) | ( i 94) | ( i 225) | ( i 187) | |||||||||||||||||||
Total other comprehensive income (loss), net of tax | i 22,075 | ( i 48,510) | i 79,974 | ( i 148,298) | |||||||||||||||||||
Comprehensive income (loss) | ( i 144,428) | ( i 54,910) | i 13,939 | ( i 87,249) | |||||||||||||||||||
Less: Comprehensive income (loss) attributable to noncontrolling interests | i 184 | ( i 364) | i 444 | ( i 183) | |||||||||||||||||||
Comprehensive income (loss) attributable to Pilgrim’s Pride Corporation | $ | ( i 144,612) | $ | ( i 54,546) | $ | i 13,495 | $ | ( i 87,066) |
PILGRIM’S PRIDE CORPORATION | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Six Months Ended June 27, 2021 | Common Stock | Treasury Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interest | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 27, 2020 | i 261,185 | $ | i 2,612 | ( i 17,673) | $ | ( i 345,134) | $ | i 1,954,334 | $ | i 972,569 | $ | ( i 20,620) | $ | i 11,586 | $ | i 2,575,347 | ||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | ( i 66,479) | — | i 444 | ( i 66,035) | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | — | — | i 79,974 | — | i 79,974 | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation plans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued under compensation plans | i 162 | i 2 | — | — | ( i 2) | — | — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Requisite service period recognition | — | — | — | — | i 5,226 | — | — | — | i 5,226 | |||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 27, 2021 | i 261,347 | $ | i 2,614 | ( i 17,673) | $ | ( i 345,134) | $ | i 1,959,558 | $ | i 906,090 | $ | i 59,354 | $ | i 12,030 | $ | i 2,594,512 | ||||||||||||||||||||||||||||||||||||||||
Three Months Ended June 27, 2021 | Common Stock | Treasury Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income | Noncontrolling Interest | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at March 28, 2021 | i 261,338 | $ | i 2,613 | ( i 17,673) | $ | ( i 345,134) | $ | i 1,956,375 | $ | i 1,072,777 | $ | i 37,279 | $ | i 11,846 | $ | i 2,735,756 | ||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | ( i 166,687) | — | i 184 | ( i 166,503) | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | — | — | i 22,075 | — | i 22,075 | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation plans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued under compensation plans | i 9 | i 1 | — | — | ( i 1) | — | — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Requisite service period recognition | — | — | — | — | i 3,184 | — | — | — | i 3,184 | |||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 27, 2021 | i 261,347 | $ | i 2,614 | ( i 17,673) | $ | ( i 345,134) | $ | i 1,959,558 | $ | i 906,090 | $ | i 59,354 | $ | i 12,030 | $ | i 2,594,512 | ||||||||||||||||||||||||||||||||||||||||
Six Months Ended June 28, 2020 | Common Stock | Treasury Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interest | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 29, 2019 | i 261,119 | $ | i 2,611 | ( i 11,547) | $ | ( i 234,892) | $ | i 1,955,261 | $ | i 877,812 | $ | ( i 75,129) | $ | i 10,397 | $ | i 2,536,060 | ||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | i 61,232 | — | ( i 183) | i 61,049 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | — | — | — | ( i 148,298) | — | ( i 148,298) | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation plans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued under compensation plans | i 66 | i 1 | — | — | ( i 1) | — | — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Requisite service period recognition | — | — | — | — | i 3,467 | — | — | — | i 3,467 | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock purchased under share repurchase program | — | — | ( i 4,121) | ( i 77,879) | — | — | — | — | ( i 77,879) | |||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 28, 2020 | i 261,185 | $ | i 2,612 | ( i 15,668) | $ | ( i 312,771) | $ | i 1,958,727 | $ | i 939,044 | $ | ( i 223,427) | $ | i 10,214 | $ | i 2,374,399 | ||||||||||||||||||||||||||||||||||||||||
Three Months Ended June 28, 2020 | Common Stock | Treasury Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interest | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at March 29, 2020 | i 261,185 | $ | i 2,612 | ( i 13,013) | $ | ( i 262,798) | $ | i 1,955,936 | $ | i 945,080 | $ | ( i 174,917) | $ | i 10,578 | $ | i 2,476,491 | ||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | ( i 6,036) | — | ( i 364) | ( i 6,400) | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | — | — | — | ( i 48,510) | — | ( i 48,510) | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation plans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued under compensation plans | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Requisite service period recognition | — | — | — | — | i 2,791 | — | — | — | i 2,791 | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock purchased under share repurchase program | — | — | ( i 2,655) | ( i 49,973) | — | — | — | — | ( i 49,973) | |||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 28, 2020 | i 261,185 | $ | i 2,612 | ( i 15,668) | $ | ( i 312,771) | $ | i 1,958,727 | $ | i 939,044 | $ | ( i 223,427) | $ | i 10,214 | $ | i 2,374,399 |
PILGRIM’S PRIDE CORPORATION | ||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||
(Unaudited) | ||||||||||||||
Six Months Ended | ||||||||||||||
June 27, 2021 | June 28, 2020 | |||||||||||||
(In thousands) | ||||||||||||||
Cash flows from operating activities: | ||||||||||||||
Net income (loss) | $ | ( i 66,035) | $ | i 61,049 | ||||||||||
Adjustments to reconcile net income to cash provided by operating activities: | ||||||||||||||
Depreciation and amortization | i 182,260 | i 164,376 | ||||||||||||
Deferred income tax expense (benefit) | ( i 32,809) | i 25,255 | ||||||||||||
Loss on early extinguishment of debt recognized as a component of interest expense | i 24,254 | i — | ||||||||||||
Stock-based compensation | i 5,168 | i 3,467 | ||||||||||||
Gain on property disposals | ( i 5,057) | ( i 1,587) | ||||||||||||
Loan cost amortization | i 2,279 | i 2,422 | ||||||||||||
Accretion of discount related to Senior Notes | i 675 | i 491 | ||||||||||||
Amortization of premium related to Senior Notes | ( i 167) | ( i 334) | ||||||||||||
Loss (gain) on equity-method investments | ( i 8) | i 304 | ||||||||||||
Negative adjustment to previously recognized gain on bargain purchase | i — | i 1,740 | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||
Trade accounts and other receivables | ( i 117,610) | i 29,920 | ||||||||||||
Inventories | ( i 173,947) | i 16,350 | ||||||||||||
Prepaid expenses and other current assets | ( i 6,027) | ( i 22,072) | ||||||||||||
Accounts payable, accrued expenses and other current liabilities | i 266,487 | ( i 122,191) | ||||||||||||
Income taxes | i 46,638 | ( i 27,350) | ||||||||||||
Long-term pension and other postretirement obligations | ( i 9,507) | ( i 1,908) | ||||||||||||
Other operating assets and liabilities | ( i 1,642) | i 10,794 | ||||||||||||
Cash provided by operating activities | i 114,952 | i 140,726 | ||||||||||||
Cash flows from investing activities: | ||||||||||||||
Acquisitions of property, plant and equipment | ( i 183,744) | ( i 148,175) | ||||||||||||
Proceeds from property disposals | i 21,385 | i 9,894 | ||||||||||||
Purchase of acquired business, net of cash acquired | i — | ( i 4,216) | ||||||||||||
Cash used in investing activities | ( i 162,359) | ( i 142,497) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||
Proceeds from revolving line of credit and long-term borrowings | i 1,540,133 | i 356,547 | ||||||||||||
Payments on revolving line of credit, long-term borrowings and finance lease obligations | ( i 1,522,416) | ( i 20,105) | ||||||||||||
Payment on early extinguishment of debt | ( i 21,258) | i — | ||||||||||||
Payment of capitalized loan costs | ( i 8,650) | i — | ||||||||||||
Payment of equity distribution under Tax Sharing Agreement between JBS USA Food Company Holdings and Pilgrim’s Pride Corporation | ( i 650) | i — | ||||||||||||
Purchase of common stock under share repurchase program | i — | ( i 77,879) | ||||||||||||
Cash provided by (used in) financing activities | ( i 12,841) | i 258,563 | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | i 1,859 | ( i 2,896) | ||||||||||||
Increase (decrease) in cash, cash equivalents and restricted cash | ( i 58,389) | i 253,896 | ||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | i 548,406 | i 280,577 | ||||||||||||
Cash, cash equivalents and restricted cash, end of period | $ | i 490,017 | $ | i 534,473 |
June 27, 2021 | December 27, 2020 | |||||||||||||
(In thousands) | ||||||||||||||
Cash and cash equivalents | $ | i 391,805 | $ | i 547,624 | ||||||||||
Restricted cash | i 98,212 | i 782 | ||||||||||||
Total cash, cash equivalents and restricted cash shown in the Condensed Consolidated Statements of Cash Flows | $ | i 490,017 | $ | i 548,406 |
Three Months Ended June 27, 2021 | |||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||
Fresh | Prepared | Export | Other | Total | |||||||||||||||||||||||||
U.S. chicken | $ | i 1,807,640 | $ | i 207,309 | $ | i 115,844 | $ | i 117,676 | $ | i 2,248,469 | |||||||||||||||||||
U.K. and Europe chicken | i 218,002 | i 245,397 | i 76,167 | i 22,126 | i 561,692 | ||||||||||||||||||||||||
Mexico chicken | i 402,295 | i 29,738 | i — | i 21,350 | i 453,383 | ||||||||||||||||||||||||
Total chicken | i 2,427,937 | i 482,444 | i 192,011 | i 161,152 | i 3,263,544 | ||||||||||||||||||||||||
U.K. and Europe pork | i 61,966 | i 280,372 | i 18,646 | i 13,170 | i 374,154 | ||||||||||||||||||||||||
Total net sales | $ | i 2,489,903 | $ | i 762,816 | $ | i 210,657 | $ | i 174,322 | $ | i 3,637,698 |
Three Months Ended June 28, 2020 | |||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||
Fresh | Prepared | Export | Other | Total | |||||||||||||||||||||||||
U.S. chicken | $ | i 1,452,519 | $ | i 156,268 | $ | i 97,470 | $ | i 92,432 | i 1,798,689 | ||||||||||||||||||||
U.K. and Europe chicken | i 224,554 | i 137,573 | i 42,761 | i 16,083 | i 420,971 | ||||||||||||||||||||||||
Mexico chicken | i 236,690 | i 18,514 | i — | i 12,929 | i 268,133 | ||||||||||||||||||||||||
Total chicken | i 1,913,763 | i 312,355 | i 140,231 | i 121,444 | i 2,487,793 | ||||||||||||||||||||||||
U.K. and Europe pork | i 168,315 | i 138,907 | i 16,093 | i 12,915 | i 336,230 | ||||||||||||||||||||||||
Total net sales | $ | i 2,082,078 | $ | i 451,262 | $ | i 156,324 | $ | i 134,359 | $ | i 2,824,023 |
Six Months Ended June 27, 2021 | |||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||
Fresh | Prepared | Export | Other | Total | |||||||||||||||||||||||||
U.S. chicken | $ | i 3,405,063 | $ | i 401,581 | $ | i 229,815 | $ | i 211,570 | $ | i 4,248,029 | |||||||||||||||||||
U.K. and Europe chicken | i 428,448 | i 461,709 | i 139,717 | i 33,728 | i 1,063,602 | ||||||||||||||||||||||||
Mexico chicken | i 775,016 | i 57,143 | i — | i 40,356 | i 872,515 | ||||||||||||||||||||||||
Total chicken | i 4,608,527 | i 920,433 | i 369,532 | i 285,654 | i 6,184,146 | ||||||||||||||||||||||||
U.K. and Europe pork | i 238,407 | i 440,180 | i 34,477 | i 13,913 | i 726,977 | ||||||||||||||||||||||||
Total net sales | $ | i 4,846,934 | $ | i 1,360,613 | $ | i 404,009 | $ | i 299,567 | $ | i 6,911,123 |
Six Months Ended June 28, 2020 | |||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||
Fresh | Prepared | Export | Other | Total | |||||||||||||||||||||||||
U.S. chicken | $ | i 2,994,159 | $ | i 372,355 | $ | i 156,323 | $ | i 202,731 | $ | i 3,725,568 | |||||||||||||||||||
U.K. and Europe chicken | i 456,507 | i 331,978 | i 101,873 | i 31,786 | i 922,144 | ||||||||||||||||||||||||
Mexico chicken | i 529,602 | i 43,485 | i — | i 20,832 | i 593,919 | ||||||||||||||||||||||||
Total chicken | i 3,980,268 | i 747,818 | i 258,196 | i 255,349 | i 5,241,631 | ||||||||||||||||||||||||
U.K. and Europe pork | i 332,997 | i 256,537 | i 34,144 | i 33,642 | i 657,320 | ||||||||||||||||||||||||
Total net sales | $ | i 4,313,265 | $ | i 1,004,355 | $ | i 292,340 | $ | i 288,991 | $ | i 5,898,951 |
June 27, 2021 | |||||
(In thousands) | |||||
Balance, beginning of period | $ | i 65,918 | |||
Revenue recognized | ( i 54,875) | ||||
Cash received, excluding amounts recognized as revenue during the period | i 25,232 | ||||
Balance, end of period | $ | i 36,275 |
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Fair values: | |||||||||||
Commodity derivative assets | $ | i 28,838 | $ | i 24,059 | |||||||
Commodity derivative liabilities | ( i 86,806) | ( i 6,531) | |||||||||
Foreign currency derivative assets | i 2,957 | i 2,204 | |||||||||
Foreign currency derivative liabilities | ( i 135) | ( i 428) | |||||||||
Interest rate swap derivative liabilities | ( i 478) | ( i 640) | |||||||||
Sales contract derivative assets | i 5,133 | i — | |||||||||
Cash
collateral posted with brokers(a) | i 98,210 | i 782 | |||||||||
Derivatives
coverage(b): | |||||||||||
Corn | i 28.6 | % | i 16.0 | % | |||||||
Soybean meal | i 31.8 | % | i 24.0 | % | |||||||
Period through which stated percent of needs are covered: | |||||||||||
Corn | May 2022 | December 2021 | |||||||||
Soybean meal | July 2022 | December 2021 | |||||||||
Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
Gains (Losses) by Type of Contract | June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | Affected Line Item in the Condensed Consolidated Statements of Income | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
Foreign currency derivatives gain (loss) | $ | ( i 8,822) | $ | ( i 5,475) | $ | ( i 3,482) | $ | i 27,556 | Foreign currency transaction loss (gain) | |||||||||||||||||||||||
Commodity derivative gain (loss) | i 1,420 | ( i 5,154) | i 18,798 | ( i 10,425) | Cost of sales | |||||||||||||||||||||||||||
Sales contract derivative gain | i 23,237 | i — | i 5,133 | i — | Net sales | |||||||||||||||||||||||||||
Total | $ | i 15,835 | $ | ( i 10,629) | $ | i 20,449 | $ | i 17,131 |
Gain (Loss) Recognized in Other Comprehensive Income on Derivative | |||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Foreign currency derivatives | $ | i 824 | $ | ( i 1,423) | $ | i 2,309 | $ | i 2,700 | |||||||||||||||
Interest rate swap derivatives | ( i 98) | ( i 929) | ( i 127) | ( i 929) | |||||||||||||||||||
Total | $ | i 726 | $ | ( i 2,352) | $ | i 2,182 | $ | i 1,771 |
Three Months Ended | ||||||||||||||||||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | |||||||||||||||||||||||||||||||||||||
Net sales | Cost of sales | Interest expense, net of capitalized interest | Net sales | Cost of sales | Interest expense, net of capitalized interest | |||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||
Total amounts of income and expense line items presented in the Condensed Consolidated Statements of Income in which the effects of cash flow hedges are recorded | $ | i 3,637,698 | $ | i 3,257,457 | $ | i 50,651 | $ | i 2,824,023 | $ | i 2,704,164 | $ | i 32,323 | ||||||||||||||||||||||||||
Gain (loss) on cash flow hedging relationships: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | — | — | ( i 158) | — | — | i 2 | ||||||||||||||||||||||||||||||||
Foreign currency contracts | i 1,582 | ( i 344) | — | ( i 199) | i 359 | — |
Six Months Ended | ||||||||||||||||||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | |||||||||||||||||||||||||||||||||||||
Net sales | Cost of sales | Interest expense, net of capitalized interest | Net sales | Cost of sales | Interest expense, net of capitalized interest | |||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||
Total amounts of income and expense line items presented in the Condensed Consolidated Statements of Income in which the effects of cash flow hedges are recorded | $ | i 6,911,123 | $ | i 6,269,639 | $ | i 80,985 | $ | i 5,898,951 | $ | i 5,601,993 | $ | i 65,011 | ||||||||||||||||||||||||||
Gain (loss) on cash flow hedging relationships: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | — | — | ( i 290) | — | — | i 2 | ||||||||||||||||||||||||||||||||
Foreign currency contracts | i 2,408 | ( i 870) | — | ( i 450) | ( i 132) | — |
June 27, 2021 | December 27, 2020 | |||||||||||||
(In thousands) | ||||||||||||||
Trade accounts receivable | $ | i 800,959 | $ | i 691,499 | ||||||||||
Notes receivable | i 29,441 | i 25,712 | ||||||||||||
Other receivables | i 43,817 | i 31,954 | ||||||||||||
Receivables, gross | i 874,217 | i 749,165 | ||||||||||||
Allowance for doubtful accounts | ( i 7,741) | ( i 7,173) | ||||||||||||
Receivables, net | $ | i 866,476 | $ | i 741,992 | ||||||||||
Accounts
receivable from related parties(a) | $ | i 868 | $ | i 1,084 | ||||||||||
June 27, 2021 | ||||||||
(In thousands) | ||||||||
Balance, beginning of period | $ | ( i 7,173) | ||||||
Provision charged to operating results | ( i 517) | |||||||
Account write-offs and recoveries | ( i 2) | |||||||
Effect of exchange rate | ( i 49) | |||||||
Balance, end of period | $ | ( i 7,741) |
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Raw materials and work-in-process | $ | i 1,044,299 | $ | i 868,369 | |||||||
Finished products | i 354,015 | i 356,052 | |||||||||
Operating supplies | i 62,640 | i 66,495 | |||||||||
Maintenance materials and parts | i 69,060 | i 67,877 | |||||||||
Total inventories | $ | i 1,530,014 | $ | i 1,358,793 |
June 27, 2021 | December 27, 2020 | |||||||||||||||||||||||||
Cost | Fair Value | Cost | Fair Value | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||
Cash equivalents: | ||||||||||||||||||||||||||
Fixed income securities | $ | i 34,123 | $ | i 34,123 | $ | i 178,677 | $ | i 178,677 | ||||||||||||||||||
December 27, 2020 | Currency Translation | June 27, 2021 | ||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
U.S. | $ | i 41,936 | $ | i — | $ | i 41,936 | ||||||||||||||||||||||||||
U.K. and Europe | i 835,505 | i 19,655 | i 855,160 | |||||||||||||||||||||||||||||
Mexico | i 127,804 | i — | i 127,804 | |||||||||||||||||||||||||||||
Total | $ | i 1,005,245 | $ | i 19,655 | $ | i 1,024,900 | ||||||||||||||||||||||||||
December 27, 2020 | Amortization | Currency Translation | June 27, 2021 | |||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||||||
Cost: | ||||||||||||||||||||||||||||||||||||||||||||
Trade names | $ | i 78,343 | $ | — | $ | i — | $ | i 78,343 | ||||||||||||||||||||||||||||||||||||
Customer relationships | i 297,062 | — | i 3,209 | i 300,271 | ||||||||||||||||||||||||||||||||||||||||
Non-compete agreements | i 320 | — | i — | i 320 | ||||||||||||||||||||||||||||||||||||||||
Trade names not subject to amortization | i 405,240 | — | i 9,262 | i 414,502 | ||||||||||||||||||||||||||||||||||||||||
Accumulated amortization: | ||||||||||||||||||||||||||||||||||||||||||||
Trade names | ( i 47,486) | ( i 984) | i — | ( i 48,470) | ||||||||||||||||||||||||||||||||||||||||
Customer relationships | ( i 143,246) | ( i 10,677) | ( i 1,187) | ( i 155,110) | ||||||||||||||||||||||||||||||||||||||||
Non-compete agreements | ( i 320) | i — | i — | ( i 320) | ||||||||||||||||||||||||||||||||||||||||
Identified intangible assets, net | $ | i 589,913 | $ | ( i 11,661) | $ | i 11,284 | $ | i 589,536 | ||||||||||||||||||||||||||||||||||||
Customer relationships | i 3- i 16
years | ||||
Trade names | i 20 years | ||||
Non-compete agreements | i 3 years | ||||
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Land | $ | i 251,602 | $ | i 255,171 | |||||||
Buildings | i 1,972,410 | i 1,983,823 | |||||||||
Machinery and equipment | i 3,305,901 | i 3,230,199 | |||||||||
Autos and trucks | i 73,227 | i 73,647 | |||||||||
Finance leases | i 2,182 | i 2,182 | |||||||||
Construction-in-progress | i 254,811 | i 199,161 | |||||||||
PP&E, gross | i 5,860,133 | i 5,744,183 | |||||||||
Accumulated depreciation | ( i 3,182,746) | ( i 3,086,692) | |||||||||
PP&E, net | $ | i 2,677,387 | $ | i 2,657,491 |
June 27, 2021 | December 27, 2020 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Accounts payable: | |||||||||||||||||
Trade accounts | $ | i 1,010,576 | $ | i 904,674 | |||||||||||||
Book overdrafts | i 64,056 | i 106,435 | |||||||||||||||
Other payables | i 17,532 | i 17,601 | |||||||||||||||
Total accounts payable | i 1,092,164 | i 1,028,710 | |||||||||||||||
Accounts
payable to related parties(a) | i 8,595 | i 9,650 | |||||||||||||||
Revenue
contract liabilities(b) | i 36,275 | i 65,918 | |||||||||||||||
Accrued expenses and other current liabilities: | |||||||||||||||||
Legal settlements | i 391,000 | i 75,000 | |||||||||||||||
Compensation and benefits | i 171,905 | i 189,767 | |||||||||||||||
Derivative liabilities | i 87,419 | i 7,599 | |||||||||||||||
Taxes | i 74,901 | i 67,812 | |||||||||||||||
Current maturities of operating lease liabilities | i 73,643 | i 71,592 | |||||||||||||||
Insurance and self-insured claims | i 66,120 | i 61,212 | |||||||||||||||
Accrued sales rebates | i 25,561 | i 44,708 | |||||||||||||||
Interest and debt-related fees | i 22,736 | i 29,559 | |||||||||||||||
U.S. Department of Justice agreement | i — | i 110,524 | |||||||||||||||
Other accrued expenses | i 138,261 | i 150,074 | |||||||||||||||
Total accrued expenses and other current liabilities | i 1,051,546 | i 807,847 | |||||||||||||||
Total accounts payable, accrued expenses and other current liabilities | $ | i 2,188,580 | $ | i 1,912,125 |
Maturity | June 27, 2021 | December 27, 2020 | |||||||||||||||
(In thousands) | |||||||||||||||||
Senior notes payable, net of discount at i 4.25% | 2031 | $ | i 990,190 | $ | i — | ||||||||||||
Senior
notes payable, net of discount at i 5.875% | 2027 | i 845,508 | i 845,149 | ||||||||||||||
Senior
notes payable, net of premium and discount at i 5.75% | 2025 | i — | i 1,001,693 | ||||||||||||||
U.S. Credit Facility (defined below): | |||||||||||||||||
Term note payable at i 1.34% | 2023 | i 437,500 | i 450,000 | ||||||||||||||
Revolving
note payable at i 3.50% | 2023 | i 40,500 | i — | ||||||||||||||
Moy
Park Bank of Ireland Revolving Facility with notes payable at LIBOR or EURIBOR plus i 1.25% to i 2.00% | 2023 | i — | i — | ||||||||||||||
Mexico
Credit Facility (defined below) with notes payable at TIIE plus i 1.50% | 2023 | i — | i — | ||||||||||||||
Secured
loans with payables at weighted average of i 3.34% | 2022 | i 23 | i 38 | ||||||||||||||
Finance lease obligations | Various | i 1,456 | i 1,664 | ||||||||||||||
Long-term debt | i 2,315,177 | i 2,298,544 | |||||||||||||||
Less: Current maturities of long-term debt | ( i 25,453) | ( i 25,455) | |||||||||||||||
Long-term debt, less current maturities | i 2,289,724 | i 2,273,089 | |||||||||||||||
Less: Capitalized financing costs | ( i 19,426) | ( i 17,543) | |||||||||||||||
Long-term debt, less current maturities, net of capitalized financing costs | $ | i 2,270,298 | $ | i 2,255,546 |
Six Months Ended June 27, 2021(a) | |||||||||||||||||||||||||||||
Gains Related to Foreign Currency Translation | Losses on Derivative Financial Instruments Classified as Cash Flow Hedges | Losses Related to Pension and Other Postretirement Benefits | Gains (losses) on Available-for-Sale Securities | Total | |||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||
Balance, beginning of period | $ | i 82,782 | $ | ( i 1,191) | $ | ( i 102,211) | $ | i — | $ | ( i 20,620) | |||||||||||||||||||
Other comprehensive income before reclassifications | i 49,138 | i 2,214 | i 29,185 | i — | i 80,537 | ||||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income to net income | i — | ( i 1,320) | i 730 | i — | ( i 590) | ||||||||||||||||||||||||
Currency translation | i — | i 27 | i — | i — | i 27 | ||||||||||||||||||||||||
Net current period other comprehensive income | i 49,138 | i 921 | i 29,915 | i — | i 79,974 | ||||||||||||||||||||||||
Balance, end of period | $ | i 131,920 | $ | ( i 270) | $ | ( i 72,296) | $ | i — | $ | i 59,354 |
Six Months Ended June 28, 2020(a) | |||||||||||||||||||||||||||||
Losses Related to Foreign Currency Translation | Gains on Derivative Financial Instruments Classified as Cash Flow Hedges | Losses Related to Pension and Other Postretirement Benefits | Gains on Available-for-Sale Securities | Total | |||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||
Balance, beginning of period | $ | ( i 1,108) | $ | ( i 2,406) | $ | ( i 71,615) | $ | i — | $ | ( i 75,129) | |||||||||||||||||||
Other comprehensive income (loss) before reclassifications | ( i 115,547) | i 2,003 | ( i 35,797) | i 10 | ( i 149,331) | ||||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive loss to net income | i — | i 580 | i 564 | ( i 9) | i 1,135 | ||||||||||||||||||||||||
Currency translation | i — | ( i 102) | i — | i — | ( i 102) | ||||||||||||||||||||||||
Net current period other comprehensive income (loss) | ( i 115,547) | i 2,481 | ( i 35,233) | i 1 | ( i 148,298) | ||||||||||||||||||||||||
Balance, end of period | $ | ( i 116,655) | $ | i 75 | $ | ( i 106,848) | $ | i 1 | $ | ( i 223,427) |
Amount
Reclassified from Accumulated Other Comprehensive Income(a) | ||||||||||||||||||||
Details about Accumulated Other Comprehensive Income Components | Six Months Ended June 27, 2021 | Six Months Ended June 28, 2020 | Affected Line Item in the Condensed Consolidated Statements of Income | |||||||||||||||||
(In thousands) | ||||||||||||||||||||
Realized gain (loss) on settlement of foreign currency derivatives classified as cash flow hedges | $ | i 1,282 | $ | ( i 582) | Net sales | |||||||||||||||
Realized gain on settlement of foreign currency derivatives classified as cash flow hedges | i 255 | i — | Cost of sales | |||||||||||||||||
Realized loss on settlement of interest rate swap derivatives classified as cash flow hedges | ( i 289) | i 2 | Interest expense, net of capitalized interest | |||||||||||||||||
Realized gain on sale of securities | i — | i 12 | Interest income | |||||||||||||||||
Amortization of pension and other postretirement plan actuarial losses(b) | ( i 955) | ( i 751) | Miscellaneous, net | |||||||||||||||||
Total before tax | i 293 | ( i 1,319) | ||||||||||||||||||
Tax expense | i 297 | i 184 | ||||||||||||||||||
Total reclassification for the period | $ | i 590 | $ | ( i 1,135) |
Six Months Ended | |||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Change in projected benefit obligation | |||||||||||||||||||||||
Projected benefit obligation, beginning of period | $ | i 404,194 | $ | i 1,593 | $ | i 369,066 | $ | i 1,527 | |||||||||||||||
Interest cost | i 2,437 | i 8 | i 4,050 | i 18 | |||||||||||||||||||
Actuarial loss (gain) | ( i 28,552) | ( i 35) | i 28,806 | i 64 | |||||||||||||||||||
Benefits paid | ( i 5,978) | ( i 70) | ( i 9,965) | ( i 80) | |||||||||||||||||||
Curtailments and settlements | ( i 2,689) | i — | i — | i — | |||||||||||||||||||
Prior service cost | i — | i — | i 11 | i — | |||||||||||||||||||
Currency translation loss (gain) | i 10,196 | i — | ( i 11,001) | i — | |||||||||||||||||||
Projected benefit obligation, end of period | $ | i 379,608 | $ | i 1,496 | $ | i 380,967 | $ | i 1,529 |
Six Months Ended | |||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Change in plan assets | |||||||||||||||||||||||
Fair value of plan assets, beginning of period | $ | i 305,983 | $ | i — | $ | i 294,589 | $ | i — | |||||||||||||||
Actual return on plan assets | i 14,564 | i — | ( i 9,948) | i — | |||||||||||||||||||
Contributions by employer | i 6,832 | i 70 | i 5,173 | i 80 | |||||||||||||||||||
Benefits paid | ( i 5,978) | ( i 70) | ( i 9,965) | ( i 80) | |||||||||||||||||||
Curtailments and settlements | ( i 2,689) | i — | i — | i — | |||||||||||||||||||
Expenses paid from assets | ( i 169) | i — | ( i 526) | i — | |||||||||||||||||||
Currency translation gain (loss) | i 8,764 | i — | ( i 9,849) | i — | |||||||||||||||||||
Fair value of plan assets, end of period | $ | i 327,307 | $ | i — | $ | i 269,474 | $ | i — |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Funded status | |||||||||||||||||||||||
Unfunded benefit obligation, end of period | $ | ( i 52,301) | $ | ( i 1,496) | $ | ( i 98,211) | $ | ( i 1,593) |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Amounts recognized in the Condensed Consolidated Balance Sheets at end of period | |||||||||||||||||||||||
Current liability | $ | ( i 819) | $ | ( i 167) | $ | ( i 7,510) | $ | ( i 169) | |||||||||||||||
Long-term liability | ( i 51,482) | ( i 1,329) | ( i 90,701) | ( i 1,424) | |||||||||||||||||||
Recognized liability | $ | ( i 52,301) | $ | ( i 1,496) | $ | ( i 98,211) | $ | ( i 1,593) |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Amounts recognized in accumulated other comprehensive loss at end of period | |||||||||||||||||||||||
Net actuarial loss | $ | i 55,846 | $ | i 138 | $ | i 95,522 | $ | i 174 |
Three Months Ended June 27, 2021 | Three Months Ended June 28, 2020 | Six Months Ended June 27, 2021 | Six Months Ended June 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | |||||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest cost | $ | i 987 | $ | i 3 | $ | i 2,011 | $ | i 9 | $ | i 2,437 | $ | i 8 | $ | i 4,050 | $ | i 18 | ||||||||||||||||||||||||||||||||||
Estimated return on plan assets | ( i 1,815) | i — | ( i 3,215) | i — | ( i 4,456) | i — | ( i 6,498) | i — | ||||||||||||||||||||||||||||||||||||||||||
Settlement loss | i 837 | i — | i — | i — | i 837 | i — | i — | i — | ||||||||||||||||||||||||||||||||||||||||||
Expenses paid from assets | i 91 | i — | i 93 | i — | i 169 | i — | i 537 | i — | ||||||||||||||||||||||||||||||||||||||||||
Amortization of net loss | i 381 | i — | i 375 | i — | i 946 | i 1 | i 751 | i — | ||||||||||||||||||||||||||||||||||||||||||
Amortization of past service cost | i 3 | i — | i — | i — | i 8 | i — | i — | i — | ||||||||||||||||||||||||||||||||||||||||||
Net
costs(a) | $ | i 484 | $ | i 3 | $ | ( i 736) | $ | i 9 | $ | ( i 59) | $ | i 9 | $ | ( i 1,160) | $ | i 18 |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
Assumptions used to measure benefit obligation at end of period | |||||||||||||||||||||||
Discount rate | i 2.31 | % | i 2.20 | % | i 1.83 | % | i 1.80 | % |
Six Months Ended | |||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
Assumptions used to measure net pension and other postretirement cost | |||||||||||||||||||||||
Discount rate | i 1.86 | % | i 1.80 | % | i 2.57 | % | i 2.77 | % | |||||||||||||||
Expected return on plan assets | i 3.53 | % | NA | i 4.67 | % | NA |
Increase in Discount Rate of 0.25% | Decrease in Discount Rate of 0.25% | ||||||||||
(In thousands) | |||||||||||
Impact on projected benefit obligation for pension benefits | $ | ( i 10,162) | $ | i 10,698 |
June 27, 2021 | December 27, 2020 | ||||||||||
Cash and cash equivalents | i 2 | % | i 1 | % | |||||||
Pooled
separate accounts for the Union Plan(a): | |||||||||||
Equity securities | i 2 | % | i 2 | % | |||||||
Fixed income securities | i 2 | % | i 2 | % | |||||||
Pooled
separate accounts and common collective trust funds for the GK Pension Plan(a): | |||||||||||
Equity securities | i 20 | % | i 20 | % | |||||||
Fixed income securities | i 12 | % | i 13 | % | |||||||
Real estate | i 1 | % | i 1 | % | |||||||
Pooled
separate accounts for the U.K. Plans(a): | |||||||||||
Equity securities | i 36 | % | i 35 | % | |||||||
Fixed income securities | i 19 | % | i 20 | % | |||||||
Real estate | i 6 | % | i 6 | % | |||||||
Total assets | i 100 | % | i 100 | % |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||
Level 1(a) | Level 2(b) | Level 3(c) | Total | Level 1(a) | Level 2(b) | Level
3(c) | Total | ||||||||||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | i 6,170 | $ | i — | $ | i — | $ | i 6,170 | $ | i 1,487 | $ | i — | $ | i — | $ | i 1,487 | |||||||||||||||||||||||||||||||
PSAs for the Union Plan: | |||||||||||||||||||||||||||||||||||||||||||||||
Large U.S. equity funds(d) | i — | i 2,776 | i — | i 2,776 | i — | i 3,100 | i — | i 3,100 | |||||||||||||||||||||||||||||||||||||||
Small/Mid
U.S. equity funds(e) | i — | i 1,116 | i — | i 1,116 | i — | i 392 | i — | i 392 | |||||||||||||||||||||||||||||||||||||||
International
equity funds(f) | i — | i 2,175 | i — | i 2,175 | i — | i 1,874 | i — | i 1,874 | |||||||||||||||||||||||||||||||||||||||
Fixed
income funds(g) | i — | i 5,042 | i — | i 5,042 | i — | i 5,365 | i — | i 5,365 | |||||||||||||||||||||||||||||||||||||||
PSAs and CCTs for the GK Pension Plan: | |||||||||||||||||||||||||||||||||||||||||||||||
Large U.S. equity funds(d) | i — | i 32,409 | i — | i 32,409 | i — | i 29,602 | i — | i 29,602 | |||||||||||||||||||||||||||||||||||||||
Small/Mid
U.S. equity funds(e) | i — | i 16,636 | i — | i 16,636 | i — | i 17,569 | i — | i 17,569 | |||||||||||||||||||||||||||||||||||||||
International
equity funds(f) | i — | i 16,600 | i — | i 16,600 | i — | i 16,320 | i — | i 16,320 | |||||||||||||||||||||||||||||||||||||||
Fixed
income funds(g) | i — | i 39,229 | i — | i 39,229 | i — | i 38,944 | i — | i 38,944 | |||||||||||||||||||||||||||||||||||||||
Real
estate(h) | i — | i 4,852 | i — | i 4,852 | i — | i 5,677 | i — | i 5,677 | |||||||||||||||||||||||||||||||||||||||
PSAs for the U.K. Plans: | |||||||||||||||||||||||||||||||||||||||||||||||
Large U.S. equity funds(d) | i — | i 46,814 | i — | i 46,814 | i — | i 39,002 | i — | i 39,002 | |||||||||||||||||||||||||||||||||||||||
International
equity funds(f) | i — | i 73,672 | i — | i 73,672 | i — | i 69,251 | i — | i 69,251 | |||||||||||||||||||||||||||||||||||||||
Fixed
income funds(g) | i — | i 61,276 | i — | i 61,276 | i — | i 60,212 | i — | i 60,212 | |||||||||||||||||||||||||||||||||||||||
Real
estate(h) | i — | i 18,540 | i — | i 18,540 | i — | i 17,188 | i — | i 17,188 | |||||||||||||||||||||||||||||||||||||||
Total assets | $ | i 6,170 | $ | i 321,137 | $ | i — | $ | i 327,307 | $ | i 1,487 | $ | i 304,496 | $ | i — | $ | i 305,983 |
Pension Benefits | Other Benefits | ||||||||||
(In thousands) | |||||||||||
2021 | $ | i 17,363 | $ | i 99 | |||||||
2022 | i 16,792 | i 163 | |||||||||
2023 | i 16,348 | i 156 | |||||||||
2024 | i 15,962 | i 149 | |||||||||
2025 | i 15,607 | i 140 | |||||||||
2026-2030 | i 71,821 | i 555 | |||||||||
Total | $ | i 153,893 | $ | i 1,262 |
Six Months Ended | |||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Net actuarial loss, beginning of period | $ | i 95,522 | $ | i 174 | $ | i 58,239 | $ | i 91 | |||||||||||||||
Amortization | ( i 954) | ( i 1) | ( i 751) | i — | |||||||||||||||||||
Curtailment and settlement adjustments | ( i 837) | i — | i — | i — | |||||||||||||||||||
Actuarial loss (gain) | ( i 28,552) | ( i 35) | i 28,806 | i 64 | |||||||||||||||||||
Asset loss (gain) | ( i 10,109) | i — | i 16,438 | i — | |||||||||||||||||||
Currency translation loss (gain) | i 776 | i — | ( i 202) | i — | |||||||||||||||||||
Net actuarial loss, end of period | $ | i 55,846 | $ | i 138 | $ | i 102,530 | $ | i 155 |
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities; | |||||||
Level 2 | Quoted prices in active markets for similar assets and liabilities and inputs that are observable for the asset or liability; or | |||||||
Level 3 | Unobservable inputs, such as discounted cash flow models or valuations. |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Total | Level 1 | Level 2 | Total | ||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||
Commodity derivative assets | $ | i 28,838 | — | $ | i 28,838 | $ | i 24,059 | — | $ | i 24,059 | |||||||||||||||||||||||||
Foreign currency derivative assets | i 2,957 | — | i 2,957 | i 2,204 | — | i 2,204 | |||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||
Commodity derivative liabilities | ( i 86,806) | — | ( i 86,806) | ( i 6,531) | — | ( i 6,531) | |||||||||||||||||||||||||||||
Foreign currency derivative liabilities | ( i 135) | — | ( i 135) | ( i 428) | — | ( i 428) | |||||||||||||||||||||||||||||
Interest rate swap derivative liabilities | i — | ( i 478) | ( i 478) | i — | ( i 640) | ( i 640) | |||||||||||||||||||||||||||||
Sales contract derivative liabilities | i — | i 5,133 | i 5,133 | — | — | — |
June 27, 2021 | December 27, 2020 | ||||||||||||||||||||||
Carrying Amount | Fair Value | Carrying Amount | Fair Value | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Fixed-rate senior notes payable at i 5.75%, at Level 2 inputs | $ | i — | $ | i — | $ | ( i 1,001,693) | $ | ( i 1,024,510) | |||||||||||||||
Fixed-rate
senior notes payable at i 5.875%, at Level 2 inputs | ( i 845,508) | ( i 907,732) | ( i 845,149) | ( i 911,957) | |||||||||||||||||||
Fixed-rate
senior notes payable at i 4.25%, at Level 2 inputs | ( i 990,190) | ( i 1,036,250) | i — | i — | |||||||||||||||||||
Secured loans, at Level 3 inputs | ( i 23) | ( i 23) | ( i 38) | ( i 38) |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Sales to related parties | |||||||||||||||||||||||
JBS USA Food Company(a) | $ | i 4,017 | $ | i 3,094 | $ | i 7,082 | $ | i 6,547 | |||||||||||||||
JBS Australia Pty. Ltd. | i 939 | i 495 | i 1,822 | i 1,281 | |||||||||||||||||||
Combo, Mercado de Congelados | i 326 | i 414 | i 777 | i 487 | |||||||||||||||||||
JBS Chile Ltda. | ( i 1) | ( i 44) | i 87 | ( i 44) | |||||||||||||||||||
Total sales to related parties | $ | i 5,281 | $ | i 3,959 | $ | i 9,768 | $ | i 8,271 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Cost of goods purchased from related parties | |||||||||||||||||||||||
JBS
USA Food Company(a) | $ | i 49,547 | $ | i 35,913 | $ | i 105,796 | $ | i 72,810 | |||||||||||||||
Penasul UK LTD | i 2,838 | i — | i 5,156 | i — | |||||||||||||||||||
Seara Meats B.V. | i 643 | i 1,080 | i 2,344 | i 3,723 | |||||||||||||||||||
Planterra Food Company | i 150 | i — | i 150 | i — | |||||||||||||||||||
JBS Global (U.K.) Ltd. | i 126 | i 219 | i 495 | i 445 | |||||||||||||||||||
JBS Food Trading (Shanghai) Limited | i 42 | i — | i 42 | i — | |||||||||||||||||||
JBS Toledo NV | i — | i 93 | i — | i 156 | |||||||||||||||||||
JBS Asia Co Limited | i — | i — | i 5 | i — | |||||||||||||||||||
Total cost of goods purchased from related parties | $ | i 53,346 | $ | i 37,305 | $ | i 113,988 | $ | i 77,134 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Expenditures paid by related parties | |||||||||||||||||||||||
JBS
USA Food Company(b) | $ | i 16,987 | $ | i 13,892 | $ | i 40,732 | $ | i 21,973 | |||||||||||||||
Seara Food Europe Holdings | i 2 | i 2 | i 12 | i 2 | |||||||||||||||||||
Total expenditures paid by related parties | $ | i 16,989 | $ | i 13,894 | $ | i 40,744 | $ | i 21,975 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Expenditures paid on behalf of related parties | |||||||||||||||||||||||
JBS
USA Food Company(b) | $ | i 11,072 | $ | i 4,206 | $ | i 27,446 | $ | i 6,626 | |||||||||||||||
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Accounts receivable from related parties | |||||||||||
JBS USA Food Company(a) | $ | i 803 | $ | i 714 | |||||||
Combo, Mercado de Congelados | i 35 | i — | |||||||||
JBS Australia Pty. Ltd. | i 29 | i 370 | |||||||||
Seara International Ltd. | i 1 | i — | |||||||||
Total accounts receivable from related parties | $ | i 868 | $ | i 1,084 |
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Accounts payable to related parties | |||||||||||
JBS
USA Food Company(a) | $ | i 6,844 | $ | i 8,562 | |||||||
Penasul UK LTD | i 1,144 | i — | |||||||||
Seara Meats B.V. | i 429 | i 1,075 | |||||||||
JBS Global (U.K.) Ltd. | i 125 | i 5 | |||||||||
JBS Food Trading (Shanghai) Limited | i 42 | i — | |||||||||
JBS Chile Ltda. | i 11 | i 8 | |||||||||
Total accounts payable to related parties | $ | i 8,595 | $ | i 9,650 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Net sales | |||||||||||||||||||||||
U.S. | $ | i 2,248,470 | $ | i 1,798,689 | $ | i 4,248,029 | $ | i 3,725,569 | |||||||||||||||
U.K. and Europe | i 935,845 | i 757,201 | i 1,790,579 | i 1,579,463 | |||||||||||||||||||
Mexico | i 453,383 | i 268,133 | i 872,515 | i 593,919 | |||||||||||||||||||
Total | $ | i 3,637,698 | $ | i 2,824,023 | $ | i 6,911,123 | $ | i 5,898,951 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
June 27, 2021 | June 28, 2020 | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Reportable segment profit (loss) | |||||||||||||||||||||||
U.S. | $ | ( i 224,171) | $ | i 39,448 | $ | ( i 156,046) | $ | i 124,500 | |||||||||||||||
U.K. and Europe | i 21,831 | i 23,185 | i 32,326 | i 46,375 | |||||||||||||||||||
Mexico | i 79,195 | ( i 35,544) | i 159,025 | ( i 59,424) | |||||||||||||||||||
Eliminations | i 14 | i 200 | i 28 | i 224 | |||||||||||||||||||
Total operating income (loss) | ( i 123,131) | i 27,289 | i 35,333 | i 111,675 | |||||||||||||||||||
Interest expense, net of capitalized interest | i 50,651 | i 32,323 | i 80,985 | i 65,011 | |||||||||||||||||||
Interest income | ( i 842) | ( i 1,158) | ( i 3,208) | ( i 2,848) | |||||||||||||||||||
Foreign currency transaction loss (gain) | i 4,145 | i 5,525 | i 6,659 | ( i 12,860) | |||||||||||||||||||
Miscellaneous, net | ( i 770) | ( i 45) | ( i 8,614) | ( i 34,233) | |||||||||||||||||||
Income (loss) before income taxes | ( i 176,315) | ( i 9,356) | ( i 40,489) | i 96,605 | |||||||||||||||||||
Income tax expense (benefit) | ( i 9,812) | ( i 2,956) | i 25,546 | i 35,556 | |||||||||||||||||||
Net income (loss) | $ | ( i 166,503) | $ | ( i 6,400) | $ | ( i 66,035) | $ | i 61,049 |
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Total assets | |||||||||||
U.S. | $ | i 5,502,300 | $ | i 5,189,021 | |||||||
U.K. and Europe | i 3,108,881 | i 3,034,219 | |||||||||
Mexico | i 1,099,050 | i 1,212,428 | |||||||||
Eliminations | ( i 1,961,386) | ( i 1,961,171) | |||||||||
Total assets | $ | i 7,748,845 | $ | i 7,474,497 |
June 27, 2021 | December 27, 2020 | ||||||||||
(In thousands) | |||||||||||
Long-lived assets(a) | |||||||||||
U.S. | $ | i i 1,843,412 / | $ | i 1,815,460 | |||||||
U.K. and Europe | i i 852,059 / | i 842,049 | |||||||||
Mexico | i 281,063 | i 292,651 | |||||||||
Eliminations | ( i 3,756) | ( i 3,783) | |||||||||
Total long-lived assets | $ | i 2,972,778 | $ | i 2,946,377 |
Sources of net sales | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 2,248,470 | $ | 449,781 | 25.0 | % | |||||||||||||||||
U.K. and Europe | 935,845 | 178,644 | 23.6 | % | |||||||||||||||||||
Mexico | 453,383 | 185,250 | 69.1 | % | |||||||||||||||||||
Total net sales | $ | 3,637,698 | $ | 813,675 | 28.8 | % |
Components of gross profit | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | Percent of Net Sales | ||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||||
Amount | Percent | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||||||||||||||
Net sales | $ | 3,637,698 | $ | 813,675 | 28.8 | % | 100.0 | % | 100.0 | % | |||||||||||||||||||||||||
Cost of sales | 3,257,457 | 553,293 | 20.5 | % | 89.5 | % | 95.8 | % | |||||||||||||||||||||||||||
Gross profit | $ | 380,241 | $ | 260,382 | 217.2 | % | 10.5 | % | 4.2 | % |
Sources of gross profit | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 240,348 | $ | 152,327 | 173.1 | % | |||||||||||||||||
U.K. and Europe | 50,045 | (6,603) | (11.7) | % | |||||||||||||||||||
Mexico | 89,834 | 114,844 | 459.2 | % | |||||||||||||||||||
Elimination | 14 | (186) | (93.0) | % | |||||||||||||||||||
Total gross profit | $ | 380,241 | $ | 260,382 | 217.2 | % |
Sources of cost of sales | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 2,008,122 | $ | 297,454 | 17.4 | % | |||||||||||||||||
U.K. and Europe | 885,800 | 185,247 | 26.4 | % | |||||||||||||||||||
Mexico | 363,549 | 70,406 | 24.0 | % | |||||||||||||||||||
Elimination | (14) | 186 | 93.0 | % | |||||||||||||||||||
Total cost of sales | $ | 3,257,457 | $ | 553,293 | 20.5 | % | |||||||||||||||||
Components of operating income | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | Percent of Net Sales | ||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||||
Amount | Percent | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||||||||||||||
Gross profit | $ | 380,241 | $ | 260,382 | 217.2 | % | 10.5 | % | 4.2 | % | |||||||||||||||||||||||||
SG&A expense | 503,372 | 410,802 | 443.8 | % | 13.8 | % | 3.3 | % | |||||||||||||||||||||||||||
Operating income | $ | (123,131) | $ | (150,420) | (551.2) | % | (3.4) | % | 1.0 | % |
Sources of operating income | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | (224,171) | $ | (263,619) | (668.3) | % | |||||||||||||||||
U.K. and Europe | 21,831 | (1,354) | (5.8) | % | |||||||||||||||||||
Mexico | 79,195 | 114,739 | 322.8 | % | |||||||||||||||||||
Eliminations | 14 | (186) | (93.0) | % | |||||||||||||||||||
Total operating income | $ | (123,131) | $ | (150,420) | (551.2) | % | |||||||||||||||||
Sources of SG&A expense | Three Months Ended June 27, 2021 | Change from Three Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 464,519 | $ | 415,946 | 856.3 | % | |||||||||||||||||
U.K. and Europe | 28,214 | (5,249) | (15.7) | % | |||||||||||||||||||
Mexico | 10,639 | 105 | 1.0 | % | |||||||||||||||||||
Total SG&A expense | $ | 503,372 | $ | 410,802 | 443.8 | % | |||||||||||||||||
Sources of net sales | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 4,248,029 | $ | 522,460 | 14.0 | % | |||||||||||||||||
U.K. and Europe | 1,790,579 | 211,116 | 13.4 | % | |||||||||||||||||||
Mexico | 872,515 | 278,596 | 46.9 | % | |||||||||||||||||||
Total net sales | $ | 6,911,123 | $ | 1,012,172 | 17.2 | % |
Components of gross profit | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | Percent of Net Sales | ||||||||||||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||
Amount | Percent | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||||||||||||||
Net sales | $ | 6,911,123 | $ | 1,012,172 | 17.2 | % | 100.0 | % | 100.0 | % | |||||||||||||||||||||||||
Cost of sales | 6,269,639 | 667,646 | 11.9 | % | 90.7 | % | 95.0 | % | |||||||||||||||||||||||||||
Gross profit | $ | 641,484 | $ | 344,526 | 116.0 | % | 9.3 | % | 5.0 | % |
Sources of gross profit | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 373,207 | $ | 147,083 | 65.0 | % | |||||||||||||||||
U.K. and Europe | 87,853 | (20,923) | (19.2) | % | |||||||||||||||||||
Mexico | 180,396 | 218,562 | 572.7 | % | |||||||||||||||||||
Elimination | 28 | (196) | (87.5) | % | |||||||||||||||||||
Total gross profit | $ | 641,484 | $ | 344,526 | 116.0 | % |
Sources of cost of sales | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 3,874,822 | $ | 375,377 | 10.7 | % | |||||||||||||||||
U.K. and Europe | 1,702,726 | 232,039 | 15.8 | % | |||||||||||||||||||
Mexico | 692,119 | 60,034 | 9.5 | % | |||||||||||||||||||
Elimination | (28) | 196 | 87.5 | % | |||||||||||||||||||
Total cost of sales | $ | 6,269,639 | $ | 667,646 | 11.9 | % | |||||||||||||||||
Components of operating income | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | Percent of Net Sales | ||||||||||||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||
Amount | Percent | June 27, 2021 | June 28, 2020 | ||||||||||||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||||||||||||||
Gross profit | $ | 641,484 | $ | 344,526 | 116.0 | % | 9.3 | % | 5.0 | % | |||||||||||||||||||||||||
SG&A expense | 606,151 | 420,868 | 227.1 | % | 8.8 | % | 3.1 | % | |||||||||||||||||||||||||||
Operating income | $ | 35,333 | $ | (76,342) | (68.4) | % | 0.5 | % | 1.9 | % |
Sources of operating income | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | (156,046) | $ | (280,546) | (225.3) | % | |||||||||||||||||
U.K. and Europe | 32,326 | (14,049) | (30.3) | % | |||||||||||||||||||
Mexico | 159,025 | 218,449 | 367.6 | % | |||||||||||||||||||
Eliminations | 28 | (196) | (87.5) | % | |||||||||||||||||||
Total operating income | $ | 35,333 | $ | (76,342) | (68.4) | % | |||||||||||||||||
Sources of SG&A expense | Six Months Ended June 27, 2021 | Change from Six Months Ended June 28, 2020 | |||||||||||||||||||||
Amount | Percent | ||||||||||||||||||||||
(In thousands, except percent data) | |||||||||||||||||||||||
U.S. | $ | 529,253 | $ | 427,629 | 420.8 | % | |||||||||||||||||
U.K. and Europe | 55,527 | (6,874) | (11.0) | % | |||||||||||||||||||
Mexico | 21,371 | 113 | 0.5 | % | |||||||||||||||||||
Total SG&A expense | $ | 606,151 | $ | 420,868 | 227.1 | % | |||||||||||||||||
Sources of Liquidity | Facility Amount | Amount Outstanding | Amount Available | |||||||||||||||||
(In millions) | ||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | — | $ | 391.8 | ||||||||||||||
Borrowing arrangements: | ||||||||||||||||||||
U.S. Credit Facility(a) | 750.0 | 40.5 | 671.0 | |||||||||||||||||
Mexico
Credit Facility(b) | 75.7 | — | 75.7 | |||||||||||||||||
U.K. and Europe Credit Facilities(c) | 138.8 | — | 138.8 |
Cash Flows from Operating Activities | Six Months Ended | |||||||||||||
June 27, 2021 | June 28, 2020 | |||||||||||||
(In millions) | ||||||||||||||
Net income (loss) | $ | (66.0) | $ | 61.0 | ||||||||||
Net noncash expenses | 176.6 | 196.1 | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||
Trade accounts and other receivables | (117.6) | 29.9 | ||||||||||||
Inventories | (173.9) | 16.4 | ||||||||||||
Prepaid expenses and other current assets | (6.0) | (22.1) | ||||||||||||
Accounts payable, accrued expenses and other current liabilities | 266.5 | (122.2) | ||||||||||||
Income taxes | 46.6 | (27.4) | ||||||||||||
Long-term pension and other postretirement obligations | (9.5) | (1.9) | ||||||||||||
Other operating assets and liabilities | (1.7) | 10.8 | ||||||||||||
Cash provided by operating activities | $ | 115.0 | $ | 140.6 |
Cash Flows from Investing Activities | Six Months Ended | |||||||||||||
June 27, 2021 | June 28, 2020 | |||||||||||||
(In millions) | ||||||||||||||
Acquisitions of property, plant and equipment | $ | (183.8) | $ | (148.2) | ||||||||||
Proceeds from property disposals | 21.4 | 9.9 | ||||||||||||
Business acquisition | — | (4.2) | ||||||||||||
Cash used in investing activities | $ | (162.4) | $ | (142.5) |
Cash Flows from Financing Activities | Six Months Ended | |||||||||||||
June 27, 2021 | June 28, 2020 | |||||||||||||
(In millions) | ||||||||||||||
Proceeds from revolving line of credit and long-term borrowings | $ | 1,540.3 | $ | 356.5 | ||||||||||
Payments on revolving line of credit, long-term borrowings and finance lease obligations | (1,522.4) | (20.1) | ||||||||||||
Payment on early extinguishment of debt | (21.3) | — | ||||||||||||
Payment of capitalized loan costs | (8.7) | — | ||||||||||||
Distribution from Tax Sharing Agreement with JBS USA Food Company Holdings | (0.7) | — | ||||||||||||
Purchase of common stock under share repurchase program | — | (77.9) | ||||||||||||
Cash provided by (used in) financing activities | $ | (12.8) | $ | 258.5 |
Six Months Ended | |||||
June 27, 2021 | |||||
(In thousands) | |||||
Net loss | $ | (66,035) | |||
Add: | |||||
Interest expense, net | 77,777 | ||||
Income tax expense | 25,546 | ||||
Depreciation and amortization | 182,260 | ||||
EBITDA | 219,548 | ||||
Add: | |||||
Foreign currency transaction loss (gain) | 6,659 | ||||
Transaction costs related to business acquisitions | 2,545 | ||||
DOJ agreement and litigation settlements | 398,285 | ||||
Minus: | |||||
Deconsolidation of subsidiary | 1,131 | ||||
Net income attributable to noncontrolling interest | 444 | ||||
Adjusted EBITDA | $ | 625,462 |
Three Months Ended June 27, 2021 | |||||||||||
Amount | Impact of 10% Increase in Feed Ingredient Prices | ||||||||||
(In thousands) | |||||||||||
Feed purchases(a) | $ | 1,067,773 | $ | 106,777 | |||||||
Feed inventory(b) | 200,320 | 20,032 |
June 27, 2021 | |||||||||||
Amount | Impact of 10% Increase in Commodity Prices | ||||||||||
(In thousands) | |||||||||||
Net commodity derivative assets(a) | $ | 40,242 | $ | 4,024 |
Three Months Ended June 27, 2021 | |||||||||||
Impact of 10% Deterioration in Exchange Rate | Impact of 10% Appreciation in Exchange Rate | ||||||||||
(In thousands, except for exchange rate data) | |||||||||||
Foreign currency remeasurement gain (loss) | $ | (2,870) | $ | 3,508 | |||||||
Exchange rate of Mexican peso to the U.S. dollar: | |||||||||||
As reported | 19.82 | 19.82 | |||||||||
Hypothetical 10% change | 21.81 | 17.84 |
Issuer Purchases of Equity Securities | ||||||||||||||||||||||||||
Period | Total Number of Shares Purchased | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Approximate Dollar Value of the Shares That May Yet Be Purchased Under the Plans or Programs (a) | ||||||||||||||||||||||
March 29, 2021 through April 25, 2021 | — | $ | — | 6,105,444 | $ | 89,060,082 | ||||||||||||||||||||
April 26, 2021 through May 30, 2021 | — | — | 6,105,444 | 89,060,082 | ||||||||||||||||||||||
May 31, 2021 through June 27, 2021 | — | — | 6,105,444 | 89,060,082 | ||||||||||||||||||||||
Total | — | $ | — | 6,105,444 | $ | 89,060,082 |
3.1 | ||||||||
3.2 | ||||||||
4.1 | ||||||||
10.1 | ||||||||
31.1 | ||||||||
31.2 | ||||||||
32.1 | ||||||||
32.2 | ||||||||
101.INS | Inline XBRL Instance Document | |||||||
101.SCH | Inline XBRL Taxonomy Extension Schema | |||||||
101.CAL | Inline XBRL Taxonomy Extension Calculation | |||||||
101.DEF | Inline XBRL Taxonomy Extension Definition | |||||||
101.LAB | Inline XBRL Taxonomy Extension Label | |||||||
101.PRE | Inline XBRL Taxonomy Extension Presentation | |||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
* | Filed herewith. | |||||||
** | Furnished herewith. | |||||||
† | Represents a management contract or compensation plan arrangement. | |||||||
PILGRIM’S PRIDE CORPORATION | |||||||||||
Date: July 28, 2021 | /s/ Matthew Galvanoni | ||||||||||
Matthew Galvanoni | |||||||||||
Chief Financial Officer and Chief Accounting Officer | |||||||||||
(Principal Financial Officer, Chief Accounting Officer and Duly Authorized Officer) |
This ‘10-Q’ Filing | Date | Other Filings | ||
---|---|---|---|---|
10/15/26 | ||||
7/1/26 | ||||
12/31/25 | ||||
7/1/25 | ||||
12/31/24 | ||||
7/1/24 | ||||
12/31/23 | ||||
12/14/23 | ||||
7/20/23 | ||||
7/1/23 | ||||
6/2/23 | ||||
4/12/23 | ||||
4/1/23 | ||||
3/22/23 | ||||
2/1/23 | ||||
12/31/22 | ||||
12/1/22 | ||||
11/21/22 | ||||
10/27/22 | ||||
9/15/22 | ||||
7/1/22 | ||||
6/10/22 | ||||
5/13/22 | ||||
2/1/22 | ||||
12/31/21 | ||||
12/26/21 | 10-K, 10-K/A | |||
10/15/21 | ||||
9/1/21 | ||||
8/31/21 | ||||
7/31/21 | ||||
Filed as of: | 7/29/21 | 8-K | ||
Filed on: | 7/28/21 | 8-K | ||
7/20/21 | ||||
7/19/21 | ||||
7/16/21 | ||||
7/9/21 | ||||
For Period end: | 6/27/21 | |||
6/22/21 | ||||
6/17/21 | 8-K | |||
6/16/21 | ||||
6/14/21 | ||||
6/7/21 | ||||
5/31/21 | ||||
5/30/21 | ||||
5/26/21 | ||||
5/17/21 | ||||
5/4/21 | ||||
5/3/21 | 8-K | |||
4/26/21 | ||||
4/25/21 | ||||
4/19/21 | ||||
4/14/21 | ||||
4/8/21 | 8-K | |||
4/6/21 | 4 | |||
3/29/21 | 3, DEF 14A | |||
3/28/21 | 10-Q | |||
3/17/21 | ||||
3/15/21 | 3 | |||
2/25/21 | ||||
2/24/21 | ||||
2/23/21 | ||||
2/22/21 | ||||
2/16/21 | 10-K/A | |||
2/11/21 | 10-K, 8-K | |||
2/10/21 | 4, 8-K | |||
2/1/21 | ||||
1/11/21 | 8-K | |||
1/1/21 | ||||
12/31/20 | ||||
12/28/20 | ||||
12/27/20 | 10-K, 10-K/A | |||
12/15/20 | ||||
11/2/20 | ||||
10/14/20 | 8-K | |||
10/13/20 | ||||
10/6/20 | ||||
9/27/20 | 10-Q | |||
9/22/20 | 8-K | |||
9/16/20 | ||||
9/4/20 | ||||
9/1/20 | ||||
8/6/20 | ||||
7/31/20 | ||||
7/27/20 | ||||
7/6/20 | ||||
6/28/20 | 10-Q | |||
6/15/20 | 8-K | |||
6/8/20 | 8-K | |||
6/4/20 | ||||
6/3/20 | 8-K | |||
4/28/20 | ||||
3/30/20 | ||||
3/29/20 | 10-Q | |||
3/27/20 | 4, 5, DEF 14A | |||
3/12/20 | ||||
3/2/20 | ||||
2/12/20 | ||||
1/6/20 | ||||
12/30/19 | ||||
12/29/19 | 10-K, 5 | |||
12/20/19 | ||||
11/22/19 | ||||
11/12/19 | ||||
10/16/19 | ||||
8/30/19 | ||||
7/1/19 | ||||
12/14/18 | ||||
11/19/18 | ||||
10/31/18 | 10-Q, 8-K | |||
8/2/18 | 10-Q, 8-K | |||
7/20/18 | 8-K | |||
6/2/18 | ||||
4/25/18 | ||||
4/11/18 | ||||
3/30/18 | ||||
3/15/18 | ||||
3/14/18 | ||||
3/7/18 | ||||
12/8/17 | ||||
11/17/17 | ||||
9/29/17 | ||||
9/9/17 | ||||
8/1/17 | ||||
7/12/17 | ||||
6/12/17 | ||||
5/11/17 | 8-K | |||
4/17/17 | ||||
4/4/17 | ||||
3/9/17 | 4 | |||
2/21/17 | ||||
2/9/17 | 10-K, 8-K | |||
1/27/17 | ||||
10/13/16 | ||||
10/10/16 | ||||
10/6/16 | ||||
9/2/16 | ||||
9/15/15 | ||||
3/11/15 | 8-K | |||
2/21/14 | 10-K, 8-K | |||
1/1/09 | ||||
List all Filings |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 3/22/23 Pilgrim’s Pride Corp. S-3ASR 3/22/23 8:1.2M Donnelley … Solutions/FA 2/09/23 Pilgrim’s Pride Corp. 10-K 12/25/22 136:21M 12/23/22 Pilgrim’s Pride Corp. S-4 16:2.4M Donnelley … Solutions/FA 2/18/22 Pilgrim’s Pride Corp. 10-K 12/26/21 131:23M 10/28/21 Pilgrim’s Pride Corp. 10-Q 9/26/21 100:17M |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 4/09/21 Pilgrim’s Pride Corp. 8-K:1,2,7,9 4/08/21 14:44M 11/08/17 Pilgrim’s Pride Corp. 10-Q 9/24/17 105:14M 12/27/12 Pilgrim’s Pride Corp. 8-A12B 4:375K DG3/FA |