Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 21, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 333-07708 | |
Entity Registrant Name | FRESH DEL MONTE PRODUCE INC | |
Entity Incorporation, State or Country Code | E9 | |
Entity Address, Address Line One | c/o H&C Corporate Services Limited | |
Entity Address, Address Line Two | P.O. Box 698, 4th Floor, Apollo House, 87 Mary Street | |
Entity Address, City or Town | George Town, | |
Entity Address, Postal Zip Code | KY1-1107 | |
Entity Address, Country | KY | |
City Area Code | 305 | |
Local Phone Number | 520-8400 | |
Title of 12(b) Security | Ordinary Shares, $0.01 Par Value Per Share | |
Trading Symbol | FDP | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (shares) | 47,847,101 | |
Entity Central Index Key | 0001047340 | |
Current Fiscal Year End Date | --12-30 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 27.9 | $ 16.1 |
Trade accounts receivable, net of allowance of $22.1 and $21.8, respectively | 346.6 | 342.9 |
Other accounts receivable, net of allowance of $3.4 and $3.8, respectively | 95.4 | 94.4 |
Inventories, net | 621.5 | 602.8 |
Assets held for sale | 61.3 | 16.2 |
Prepaid expenses and other current assets | 40.5 | 24 |
Total current assets | 1,193.2 | 1,096.4 |
Investments in and advances to unconsolidated companies | 17.9 | 8.7 |
Property, plant and equipment, net | 1,321.2 | 1,415.8 |
Operating lease right-of-use assets | 187.1 | 199 |
Goodwill | 422.2 | 423.7 |
Intangible assets, net | 136.9 | 142.8 |
Deferred income taxes | 47.5 | 53.8 |
Other noncurrent assets | 69.5 | 57.9 |
Total assets | 3,395.5 | 3,398.1 |
Current liabilities: | ||
Accounts payable and accrued expenses | 581.9 | 580.1 |
Current maturities of debt and finance leases | 1.3 | 1.3 |
Current maturities of operating leases | 38.4 | 37 |
Income taxes and other taxes payable | 13.1 | 10.8 |
Total current liabilities | 634.7 | 629.2 |
Long-term debt and finance leases | 493.7 | 527.7 |
Retirement benefits | 89.6 | 90 |
Deferred income taxes | 70.2 | 69.6 |
Operating leases, less current maturities | 121.5 | 136 |
Other noncurrent liabilities | 28.7 | 72.1 |
Total liabilities | 1,438.4 | 1,524.6 |
Commitments and Contingencies (See note 9) | ||
Redeemable noncontrolling interest | 48.4 | 49.5 |
Shareholders' equity: | ||
Preferred shares, $0.01 par value; 50,000,000 shares authorized; none issued or outstanding | 0 | 0 |
Ordinary shares, $0.01 par value; 200,000,000 shares authorized; 47,836,339 and 47,554,695 issued and outstanding, respectively | 0.5 | 0.5 |
Paid-in capital | 546.1 | 541 |
Retained earnings | 1,386.4 | 1,327.7 |
Accumulated other comprehensive loss | (45.2) | (66.9) |
Total Fresh Del Monte Produce Inc. shareholders' equity | 1,887.8 | 1,802.3 |
Noncontrolling interests | 20.9 | 21.7 |
Total shareholders' equity | 1,908.7 | 1,824 |
Total liabilities, redeemable noncontrolling interest and shareholders' equity | $ 3,395.5 | $ 3,398.1 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for Trade accounts receivable | $ 22.1 | $ 21.8 |
Allowance for Other Accounts Receivable | $ 3.4 | $ 3.8 |
Preferred shares, par value (usd per share) | $ 0.01 | $ 0.01 |
Preferred shares, authorized (shares) | 50,000,000 | 50,000,000 |
Preferred shares, issued (shares) | 0 | 0 |
Preferred shares, outstanding (shares) | 0 | 0 |
Ordinary shares, par value (usd per share) | $ 0.01 | $ 0.01 |
Ordinary shares, authorized (shares) | 200,000,000 | 200,000,000 |
Ordinary shares, issued (shares) | 47,836,339 | 47,554,695 |
Ordinary shares, outstanding (shares) | 47,836,339 | 47,554,695 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Income Statement [Abstract] | ||||
Net sales | $ 1,053.5 | $ 1,004.8 | $ 3,402.4 | $ 3,234.6 |
Cost of products sold | 965.5 | 955.9 | 3,143.9 | 2,970.6 |
Gross profit | 88 | 48.9 | 258.5 | 264 |
Selling, general and administrative expenses | 46.8 | 48 | 139.3 | 148.3 |
Gain (loss) on disposal of property, plant and equipment, net | 0 | 0.5 | (2.2) | 4.2 |
Asset impairment and other (credits) charges, net | (9.8) | 0.1 | (8.1) | (0.3) |
Operating income | 51 | 1.3 | 125.1 | 120.2 |
Interest expense | 6.2 | 4.8 | 17.3 | 15.4 |
Interest income | 0.2 | 0.2 | 0.2 | 0.5 |
Other expense, net | 9.1 | 1.8 | 15.7 | 5.6 |
Income before income taxes | 35.9 | (5.1) | 92.3 | 99.7 |
Income tax provision (benefit) | 3.3 | (6.6) | 13.9 | 9.1 |
Net income | 32.6 | 1.5 | 78.4 | 90.6 |
Less: Net (loss) income attributable to redeemable and noncontrolling interests | (0.7) | 0.2 | (1.9) | (0.6) |
Net income attributable to Fresh Del Monte Produce Inc. | $ 33.3 | $ 1.3 | $ 80.3 | $ 91.2 |
Net income per ordinary share attributable to Fresh Del Monte Produce Inc. - Basic (usd per share) | $ 0.70 | $ 0.03 | $ 1.68 | $ 1.92 |
Net income per ordinary share attributable to Fresh Del Monte Produce Inc. - Diluted (usd per share) | 0.69 | 0.03 | 1.68 | 1.91 |
Dividends declared per ordinary share (usd per share) | $ 0.15 | $ 0.15 | $ 0.45 | $ 0.35 |
Weighted average number of ordinary shares: | ||||
Basic (shares) | 47,835,057 | 47,535,873 | 47,775,312 | 47,494,168 |
Diluted (shares) | 47,984,075 | 47,743,758 | 47,909,161 | 47,661,055 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 32.6 | $ 1.5 | $ 78.4 | $ 90.6 |
Other comprehensive income (loss): | ||||
Net unrealized gain (loss) on derivatives, net of tax | 11.6 | (5.7) | 56 | 12.3 |
Net unrealized foreign currency translation loss | (14.1) | (4.9) | (35.5) | (9.2) |
Net change in retirement benefit adjustment, net of tax | 0.7 | (0.3) | 1.2 | (1.2) |
Comprehensive income (loss) | 30.8 | (9.4) | 100.1 | 92.5 |
Less: Comprehensive (loss) income attributable to redeemable and noncontrolling interests | (0.7) | 0.2 | (1.9) | (0.6) |
Comprehensive income (loss) attributable to Fresh Del Monte Produce Inc. | $ 31.5 | $ (9.6) | $ 102 | $ 93.1 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Oct. 01, 2021 | |
Operating activities: | ||
Net income | $ 78.4 | $ 90.6 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 70.2 | 72.5 |
Amortization of debt issuance costs | 0.5 | 0.4 |
Share-based compensation expense | 4.9 | 5.8 |
Asset impairments | 0.2 | 0.3 |
Change in uncertain tax positions | 0.4 | 1.7 |
Loss (gain) on disposal of property, plant and equipment | 2.2 | (4.2) |
Deferred income taxes | 0.8 | (6) |
Adjustment of Kunia Well Site accrual | (9.9) | 0 |
Other, net | 0.7 | (7.1) |
Changes in operating assets and liabilities | ||
Receivables | (24.1) | (13.7) |
Inventories | (32.5) | (36.7) |
Prepaid expenses and other current assets | (2.2) | 4.8 |
Accounts payable and accrued expenses | 16.7 | 42.8 |
Other assets and liabilities | (0.6) | 0.4 |
Net cash provided by operating activities | 105.7 | 151.6 |
Investing activities: | ||
Capital expenditures | (35.8) | (83.4) |
Proceeds from sales of property, plant and equipment | 7.6 | 12.5 |
Cash (paid) received from settlement of derivatives not designated as hedges | (0.2) | 4.6 |
Investments in unconsolidated companies | (9.3) | (1.9) |
Other investing activities | 0.1 | 1 |
Net cash used in investing activities | (37.6) | (67.2) |
Financing activities: | ||
Proceeds from debt | 657.6 | 476.6 |
Payments on debt | (690.6) | (541.5) |
Adjustment of noncontrolling interest | (0.9) | (5.2) |
Share-based awards settled in cash for taxes | (1.6) | (0.4) |
Dividends paid | (21.5) | (16.6) |
Other financing activities | 0 | 0.4 |
Net cash used in financing activities | (57) | (86.7) |
Effect of exchange rate changes on cash | 0.7 | 4.8 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 11.8 | 2.5 |
Cash and cash equivalents, beginning | 16.1 | 16.5 |
Cash and cash equivalents, ending | 27.9 | 19 |
Supplemental cash flow information: | ||
Cash paid for interest | 16.6 | 16.4 |
Cash paid for income taxes | 10.8 | 7.8 |
Non-cash financing and investing activities: | ||
Right-of-use assets obtained in exchange for new operating lease obligations | 22.6 | 51.4 |
Dividends on restricted stock units | $ 0 | $ 0.2 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY AND REDEEMABLE NONCONTROLLING INTEREST (Unaudited) - USD ($) $ in Millions | Total | Redeemable Noncontrolling Interest | Ordinary Shares | Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Fresh Del Monte Produce Inc. Shareholders' Equity | Noncontrolling Interests | Noncontrolling Interests Redeemable Noncontrolling Interest | Total Shareholders' Equity |
Balance, shares (shares) at Jan. 01, 2021 | 47,372,419 | |||||||||
Balance, value at Jan. 01, 2021 | $ 0.5 | $ 533.1 | $ 1,271.4 | $ (77) | $ 1,728 | $ 21.7 | $ 50.2 | $ 1,749.7 | ||
Settlement of restricted stock units (shares) | 136,067 | |||||||||
Share-based payment expense | 1.6 | 1.6 | 1.6 | |||||||
Dividend declared | 0.2 | 4.9 | 4.7 | 4.7 | ||||||
Comprehensive income (loss): | ||||||||||
Net income | 42.7 | 42.7 | (0.6) | (0.7) | 42.1 | |||||
Net unrealized gain (loss) on derivatives, net of tax | 25.6 | 25.6 | 25.6 | |||||||
Net unrealized foreign currency translation loss | (4.8) | (4.8) | (4.8) | |||||||
Change in retirement benefit adjustment, net of tax | (0.6) | (0.6) | (0.6) | |||||||
Comprehensive income (loss) | 62.9 | (0.6) | (0.7) | 62.3 | ||||||
Balance, shares (shares) at Apr. 02, 2021 | 47,508,486 | |||||||||
Balance, value at Apr. 02, 2021 | $ 0.5 | 534.9 | 1,309.2 | (56.8) | 1,787.8 | 21.1 | 49.5 | 1,808.9 | ||
Balance, shares (shares) at Jan. 01, 2021 | 47,372,419 | |||||||||
Balance, value at Jan. 01, 2021 | $ 0.5 | 533.1 | 1,271.4 | (77) | 1,728 | 21.7 | 50.2 | 1,749.7 | ||
Adjustment of noncontrolling interest | $ (5.2) | |||||||||
Comprehensive income (loss): | ||||||||||
Net income | 90.6 | |||||||||
Net unrealized gain (loss) on derivatives, net of tax | 12.3 | |||||||||
Net unrealized foreign currency translation loss | (9.2) | |||||||||
Change in retirement benefit adjustment, net of tax | (1.2) | |||||||||
Comprehensive income (loss) | 92.5 | |||||||||
Balance, shares (shares) at Oct. 01, 2021 | 47,544,395 | |||||||||
Balance, value at Oct. 01, 2021 | $ 0.5 | 539.2 | 1,345.8 | (75.1) | 1,810.4 | 21.5 | 49.4 | 1,831.9 | ||
Balance, shares (shares) at Apr. 02, 2021 | 47,508,486 | |||||||||
Balance, value at Apr. 02, 2021 | $ 0.5 | 534.9 | 1,309.2 | (56.8) | 1,787.8 | 21.1 | 49.5 | 1,808.9 | ||
Exercises of stock options (shares) | 2,000 | |||||||||
Exercises of stock options | 0 | 0 | 0 | |||||||
Settlement of restricted stock units (shares) | 14,226 | |||||||||
Share-based payment expense | 2.1 | 2.1 | 2.1 | |||||||
Distribution to noncontrolling interests | (0.4) | (0.4) | ||||||||
Dividend declared | 4.8 | 4.8 | 4.8 | |||||||
Comprehensive income (loss): | ||||||||||
Net income | 47.2 | 47.2 | 0.5 | 0 | 47.7 | |||||
Net unrealized gain (loss) on derivatives, net of tax | (7.6) | (7.6) | (7.6) | |||||||
Net unrealized foreign currency translation loss | 0.5 | 0.5 | 0.5 | |||||||
Change in retirement benefit adjustment, net of tax | (0.3) | (0.3) | (0.3) | |||||||
Comprehensive income (loss) | 39.8 | 0.5 | 0 | 40.3 | ||||||
Balance, shares (shares) at Jul. 02, 2021 | 47,524,712 | |||||||||
Balance, value at Jul. 02, 2021 | $ 0.5 | 537 | 1,351.6 | (64.2) | 1,824.9 | 21.2 | 49.5 | 1,846.1 | ||
Exercises of stock options (shares) | 2,000 | |||||||||
Exercises of stock options | 0.1 | 0.1 | 0.1 | |||||||
Issuance of restricted stock awards (shares) | 17,683 | |||||||||
Share-based payment expense | 2.1 | 2.1 | 2.1 | |||||||
Dividend declared | 7.1 | 7.1 | 7.1 | |||||||
Net Income (Loss), Including Portion Attributable to Nonredeemable Noncontrolling Interest | 0.3 | |||||||||
Comprehensive income (loss): | ||||||||||
Net income | 1.5 | 1.3 | 1.3 | (0.1) | 1.6 | |||||
Net unrealized gain (loss) on derivatives, net of tax | (5.7) | (5.7) | (5.7) | (5.7) | ||||||
Net unrealized foreign currency translation loss | (4.9) | (4.9) | (4.9) | (4.9) | ||||||
Change in retirement benefit adjustment, net of tax | (0.3) | (0.3) | (0.3) | (0.3) | ||||||
Comprehensive income (loss) | $ (9.4) | (9.6) | 0.3 | (0.1) | (9.3) | |||||
Balance, shares (shares) at Oct. 01, 2021 | 47,544,395 | |||||||||
Balance, value at Oct. 01, 2021 | $ 0.5 | 539.2 | 1,345.8 | (75.1) | 1,810.4 | 21.5 | 49.4 | 1,831.9 | ||
Balance, shares (shares) at Dec. 31, 2021 | 47,554,695 | 47,554,695 | ||||||||
Balance, value at Dec. 31, 2021 | $ 1,824 | $ 0.5 | 541 | 1,327.7 | (66.9) | 1,802.3 | 21.7 | 49.5 | 1,824 | |
Settlement of restricted stock units (shares) | 263,148 | |||||||||
Share-based payment expense | 1.7 | 1.7 | 1.7 | |||||||
Disposal of noncontrolling interest | 0.3 | 0.3 | ||||||||
Dividend declared | 0 | 7.2 | 7.2 | 7.2 | ||||||
Comprehensive income (loss): | ||||||||||
Net income | 25.8 | 25.8 | (0.3) | (0.8) | 25.5 | |||||
Net unrealized gain (loss) on derivatives, net of tax | 37.8 | 37.8 | 37.8 | |||||||
Net unrealized foreign currency translation loss | (7.4) | (7.4) | (7.4) | |||||||
Change in retirement benefit adjustment, net of tax | (0.1) | (0.1) | (0.1) | |||||||
Comprehensive income (loss) | 56.1 | (0.3) | (0.8) | 55.8 | ||||||
Balance, shares (shares) at Apr. 01, 2022 | 47,817,843 | |||||||||
Balance, value at Apr. 01, 2022 | $ 0.5 | 542.7 | 1,346.3 | (36.6) | 1,852.9 | 21.7 | 48.7 | 1,874.6 | ||
Balance, shares (shares) at Dec. 31, 2021 | 47,554,695 | 47,554,695 | ||||||||
Balance, value at Dec. 31, 2021 | $ 1,824 | $ 0.5 | 541 | 1,327.7 | (66.9) | 1,802.3 | 21.7 | 49.5 | 1,824 | |
Adjustment of noncontrolling interest | (0.9) | |||||||||
Comprehensive income (loss): | ||||||||||
Net income | 78.4 | |||||||||
Net unrealized gain (loss) on derivatives, net of tax | 56 | |||||||||
Net unrealized foreign currency translation loss | (35.5) | |||||||||
Change in retirement benefit adjustment, net of tax | 1.2 | |||||||||
Comprehensive income (loss) | $ 100.1 | |||||||||
Balance, shares (shares) at Sep. 30, 2022 | 47,836,339 | 47,836,339 | ||||||||
Balance, value at Sep. 30, 2022 | $ 1,908.7 | $ 0.5 | 546.1 | 1,386.4 | (45.2) | 1,887.8 | 20.9 | 48.4 | 1,908.7 | |
Balance, shares (shares) at Apr. 01, 2022 | 47,817,843 | |||||||||
Balance, value at Apr. 01, 2022 | $ 0.5 | 542.7 | 1,346.3 | (36.6) | 1,852.9 | 21.7 | 48.7 | 1,874.6 | ||
Exercises of stock options (shares) | 7,000 | |||||||||
Exercises of stock options | 0.2 | 0.2 | 0.2 | |||||||
Settlement of restricted stock units (shares) | 8,131 | |||||||||
Share-based payment expense | 1.1 | 1.1 | 1.1 | |||||||
Adjustment of noncontrolling interest | 0.3 | 0.3 | ||||||||
Dividend declared | 7.2 | 7.2 | 7.2 | |||||||
Comprehensive income (loss): | ||||||||||
Net income | 21.2 | 21.2 | (0.2) | 0.1 | 21 | |||||
Net unrealized gain (loss) on derivatives, net of tax | 6.6 | 6.6 | 6.6 | |||||||
Net unrealized foreign currency translation loss | (14) | (14) | (14) | |||||||
Change in retirement benefit adjustment, net of tax | 0.6 | 0.6 | 0.6 | |||||||
Comprehensive income (loss) | 14.4 | (0.2) | 0.1 | 14.2 | ||||||
Balance, shares (shares) at Jul. 01, 2022 | 47,832,974 | |||||||||
Balance, value at Jul. 01, 2022 | $ 0.5 | 544 | 1,360.3 | (43.4) | 1,861.4 | 21.8 | 48.8 | 1,883.2 | ||
Settlement of restricted stock units (shares) | 3,365 | |||||||||
Share-based payment expense | 2.1 | 2.1 | 2.1 | |||||||
Distribution to noncontrolling interests | $ 0 | (0.3) | (0.3) | |||||||
Adjustment of noncontrolling interest | (0.3) | |||||||||
Dividend declared | 7.2 | 7.2 | 7.2 | |||||||
Net Income (Loss), Including Portion Attributable to Nonredeemable Noncontrolling Interest | (0.3) | |||||||||
Comprehensive income (loss): | ||||||||||
Net income | 32.6 | 33.3 | 33.3 | (0.4) | 33 | |||||
Net unrealized gain (loss) on derivatives, net of tax | 11.6 | 11.6 | 11.6 | 11.6 | ||||||
Net unrealized foreign currency translation loss | (14.1) | (14.1) | (14.1) | (14.1) | ||||||
Change in retirement benefit adjustment, net of tax | 0.7 | 0.7 | 0.7 | 0.7 | ||||||
Comprehensive income (loss) | $ 30.8 | 31.5 | (0.3) | (0.4) | 31.2 | |||||
Balance, shares (shares) at Sep. 30, 2022 | 47,836,339 | 47,836,339 | ||||||||
Balance, value at Sep. 30, 2022 | $ 1,908.7 | $ 0.5 | $ 546.1 | $ 1,386.4 | $ (45.2) | $ 1,887.8 | $ 20.9 | $ 48.4 | $ 1,908.7 |
General
General | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
General | General Reference in this Report to “Fresh Del Monte”, “we”, “our” and “us” and the “Company” refer to Fresh Del Monte Produce Inc. and its subsidiaries, unless the context indicates otherwise. Nature of Business We were incorporated under the laws of the Cayman Islands in 1996. We are one of the world’s leading vertically integrated producers, marketers and distributors of high-quality fresh and fresh-cut fruit and vegetables, as well as a leading producer and marketer of prepared fruit and vegetables, juices, beverages and snacks in Europe, Africa and the Middle East. We market our products worldwide under the Del Monte ® brand, a symbol of product innovation, quality, freshness and reliability since 1892. Our major sales markets are organized as follows: North America, Europe, the Middle East (which includes North Africa) and Asia. Our global sourcing and logistics system allows us to provide regular delivery of consistently high-quality produce and value-added services to our customers. Our major producing operations are located in North, Central and South America, Asia and Africa. Our products are sourced from company-owned operations, through supply contracts with independent growers, and through joint venture arrangements. Our business is comprised of three reportable segments, two of which represent our primary businesses of fresh and value-added products and banana, and one that represents our other ancillary businesses. • Fresh and value-added products - includes pineapples, fresh-cut fruit, fresh-cut vegetables (which includes fresh-cut salads), melons, vegetables, non-tropical fruit (including grapes, apples, citrus, blueberries, strawberries, pears, peaches, plums, nectarines, cherries and kiwis), other fruit and vegetables, avocados, and prepared foods (including prepared fruit and vegetables, juices, other beverages, and meals and snacks). • Banana • Other products and services - includes our ancillary businesses consisting of sales of poultry and meat products, a plastic product business, and third-party freight services. Basis of Presentation The accompanying unaudited Consolidated Financial Statements for the quarter and nine months ended September 30, 2022 have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. They do not include all information and notes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments of a normal recurring nature considered necessary for fair presentation have been included. Operating results for the quarter and nine months ended September 30, 2022 are subject to significant seasonal variations and are not necessarily indicative of the results that may be expected for the year ending December 30, 2022. For further information, refer to the Consolidated Financial Statements and notes thereto included in our annual report on Form 10-K for the fiscal year ended December 31, 2021. We are required to evaluate events occurring after September 30, 2022 for recognition and disclosure in the unaudited Consolidated Financial Statements for the quarter and nine months ended September 30, 2022. Events are evaluated based on whether they represent information existing as of September 30, 2022, which require recognition in the unaudited Consolidated Financial Statements, or new events occurring after September 30, 2022 which do not require recognition but require disclosure if the event is significant to the unaudited Consolidated Financial Statements. We evaluated events occurring subsequent to September 30, 2022 through the date of issuance of these unaudited Consolidated Financial Statements. Certain reclassification of prior period balances have been made to conform to current presentation. Refer to Note 12. Business Segment Data for further information. |
Recently Issued Accounting Pron
Recently Issued Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting PronouncementsNew Accounting Pronouncements - Not Yet Adopted In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, |
Asset Impairment and Other Char
Asset Impairment and Other Charges (Credits), Net | 9 Months Ended |
Sep. 30, 2022 | |
Asset Impairment and Other Charges (Credits), Net [Abstract] | |
Asset Impairment and Other Charges (Credits), Net | Asset Impairment and Other (Credits) Charges, Net The following represents a summary of asset impairment and other (credits) charges, net recorded during the quarters and nine months ended September 30, 2022 and October 1, 2021 (U.S. dollars in millions): Quarter ended Nine months ended September 30, 2022 September 30, 2022 Long-lived and other Exit activity and other Total Long-lived and other Exit activity and other Total Banana segment: Exit costs related to European facility (1) $ — $ — $ — $ — $ 0.4 $ 0.4 Fresh and value-added products segment: Adjustment of Kunia Well Site environmental liability in Hawaii (2) — (9.9) (9.9) — (9.9) (9.9) Impairment of South America farm and other charges — 0.1 0.1 0.2 0.1 0.3 Other fresh and value-added products segment charges — — — — 0.1 0.1 Other: Former President/COO severance expense — — — — 1.0 1.0 Total asset impairment and other (credits) charges, net $ — $ (9.8) $ (9.8) $ 0.2 $ (8.3) $ (8.1) Quarter ended Nine months ended October 1, 2021 October 1, 2021 Long-lived and other Exit activity and other Total Long-lived and other Exit activity and other Total Banana segment: Insurance recovery related to hurricanes (3) $ — $ — $ — $ — $ (0.8) $ (0.8) Philippines asset impairment of low-yield area 0.3 — 0.3 0.3 — 0.3 Fresh and value-added products segment: Exit costs related to European facility (1) — (0.2) (0.2) — 0.3 0.3 Other fresh and value-added products segment charges — — — — (0.1) (0.1) Total asset impairment and other (credits) charges, net $ 0.3 $ (0.2) $ 0.1 $ 0.3 $ (0.6) $ (0.3) (1) $0.4 million and $0.3 million charge for the nine months ended September 30, 2022 and October 1, 2021, respectively, primarily related to severance expenses incurred in connection with the planned exits from two facilities in Europe. (2) $(9.9) million reduction in our environmental liability related to the Kunia Well Site clean-up. Refer to Note 9, “ Commitments and contingencies, ” for further information. (3) $(0.8) million insurance recovery for the nine months ended October 1, 2021 associated with damage to certain of our banana fixed assets in Guatemala caused by hurricanes Eta and Iota in the fourth quarter of 2020. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes In connection with the examination of the tax returns in two foreign jurisdictions, the taxing authorities have issued income tax deficiencies related to transfer pricing aggregating approximately $144.3 million (including interest and penalties) for tax years 2012 through 2016. We strongly disagree with the proposed adjustments and have filed a protest with each of the taxing authorities as we believe that the proposed adjustments are without technical merit. In one of the foreign jurisdictions, we are currently contesting tax assessments related to the 2012-2015 audit years and the 2016 audit year in both the administrative court and the judicial court. During 2019 and 2020, we filed actions contesting the tax assessment in the administrative office. Our initial challenge to each of these tax assessments was rejected, and we subsequently lost our appeals at the administrative court. We have subsequently filed actions to contest each of these tax assessments in the country’s judicial courts. In addition, we have filed a request for injunction to the judicial court to stay the tax authorities' collection efforts for these two tax assessments, pending final judicial decisions. The court granted our injunction with respect to the 2016 audit year, however denied our injunction with respect to the 2012-2015 audit years. We timely appealed the denial of the injunction, and on August 10, 2022 the appellate court overturned the denial and granted our injunction for the 2012-2015 audit years. Pursuant to local law, we registered real estate collateral with an approximate fair market value of $6.0 million in connection with the grant of the 2016 audit year injunction. This real estate collateral has a net book value of $3.8 million as of the quarter ended September 30, 2022. In addition, in connection with the grant of the 2012-2015 audit year injunction, we registered real estate collateral with an approximate fair market value of $24.0 million, and a net book value of $4.6 million as of the quarter ended September 30, 2022. The registration of this real estate collateral does not affect our operations in the country. In the other foreign jurisdiction, the administrative court denied our appeal, and on March 4, 2020 we filed an action in the judicial court to contest the administrative court's decision. The case is still pending. We will continue to vigorously contest the adjustments and to exhaust all administrative and judicial remedies necessary in both jurisdictions to resolve the matters, which could be a lengthy process. Income tax provision (benefit) was $3.3 million for the quarter ended September 30, 2022 compared with $(6.6) million for the quarter ended October 1, 2021, and was $13.9 million for the nine months ended September 30, 2022 compared with $9.1 million for the nine months ended October 1, 2021. The increase in the income tax provision in both the quarter and nine months ended September 30, 2022 was primarily due to increased earnings in certain higher tax jurisdictions, and the impact of a $1.5 million provision recognized in the quarter ended September 30, 2022 relating to a change in our assertion that certain foreign earnings are no longer deemed permanently reinvested. The income tax provision for the nine months ended October 1, 2021 included a $0.8 million benefit associated with the net operating loss carryback provision of the Coronavirus Aid, Relief and Economic Security (CARES) Act enacted in March 2020. |
Allowance for Credit Losses
Allowance for Credit Losses | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Allowance for Credit Losses | Allowance for Credit Losses We estimate expected credit losses on our trade receivables and financing receivables in accordance with Accounting Standards Codification (“ASC”) 326 - Financial Instruments - Credit Losses . Trade Receivables Trade receivables as of September 30, 2022 were $346.6 million, net of an allowance of $22.1 million. Our allowance for trade receivables consists of two components: a $9.5 million allowance for credit losses and a $12.6 million allowance for customer claims accounted for under the scope of ASC 606 - Revenue Recognition. As a result of our robust credit monitoring practices, the industry in which we operate, and the nature of our customer base, the credit losses associated with our trade receivables have historically been insignificant in comparison to our annual net sales. We measure the allowance for credit losses on trade receivables on a collective (pool) basis when similar risk characteristics exist. We generally pool our trade receivables based on the geographic region or country to which the receivables relate. Receivables that do not share similar risk characteristics are evaluated for collectability on an individual basis. 5. Allowance for Credit Losses (continued) Our historical credit loss experience provides the basis for our estimation of expected credit losses. We generally use a three-year average annual loss rate as a starting point for our estimation, and make adjustments to the historical loss rate to account for differences in current conditions impacting the collectability of our receivable pools. We generally monitor macroeconomic indicators to assess whether adjustments are necessary to reflect current conditions. The table below presents a rollforward of our trade receivable allowance for credit losses for the nine months ended September 30, 2022 and October 1, 2021 (U.S. dollars in millions): Nine months ended Trade receivables September 30, October 1, Allowance for credit losses: Balance, beginning of period $ 10.2 $ 15.1 Provision for uncollectible amounts 0.2 0.6 Deductions to allowance related to write-offs (0.3) — Foreign exchange effects (0.3) — Reclassifications (1) (0.3) (2.6) Balance, end of period $ 9.5 $ 13.1 (1) Reclassifications of $0.3 million and $2.6 million to the long-term allowance for credit losses, presented in other noncurrent assets on our Consolidated Balance Sheets, from short-term during the nine months ended September 30, 2022 and October 1, 2021, respectively. The amounts in the long-term allowance related to customer trade receivables as of September 30, 2022 and October 1, 2021 are not material to our Consolidated Financial Statements. Financing Receivables Financing receivables are included in other accounts receivable, net on our Consolidated Balance Sheets and are recognized at amortized cost less an allowance for estimated credit losses. Financing receivables include seasonal advances to growers and suppliers, which are usually short-term in nature, and other financing receivables. A significant portion of the fresh produce we sell is acquired through supply contracts with independent growers. In order to ensure the consistent high quality of our products and packaging, we make advances to independent growers and suppliers. These growers and suppliers typically sell all of their production to us and make payments on their advances as a deduction to the agreed upon selling price of the fruit or packaging material. The majority of the advances to growers and suppliers are for terms less than one year and typically span a growing season. In certain cases, there may be longer term advances with terms of up to five years. We measure the allowance for credit losses on advances to suppliers and growers on a collective (pool) basis when similar risk characteristics exist. We generally pool our advances based on the country to which they relate, and further disaggregate them based on their current or past-due status. We generally consider an advance to a grower to be past due when the advance is not fully paid within the respective growing season. The allowance for advances to growers and suppliers that do not share similar risk characteristics are determined on a case-by-case basis, depending on the expected production for the season and other contributing factors. The advances are typically collateralized by property liens and pledges of the respective season’s produce. Occasionally, we agree to a payment plan with these growers or take steps to recover the advance via established collateral. We may write-off uncollectible financing receivables after our collection efforts are exhausted. Historically, our credit losses associated with our advances to suppliers and growers have not been significant. Our historical credit loss experience provides the basis for our estimation of expected credit losses. We generally use a three-year average annual loss rate as a starting point for our estimation, and make adjustments to the historical loss rate to account for differences in current or expected future conditions. We generally monitor macroeconomic indicators as well as other factors, including unfavorable weather conditions and crop diseases, which may impact the collectability of the advances when assessing whether adjustments to the historical loss rate are necessary. 5. Allowance for Credit Losses (continued) The following table details the advances to growers and suppliers based on their credit risk profile (U.S. dollars in millions): September 30, 2022 December 31, 2021 Current Past-Due Current Past-Due Gross advances to growers and suppliers $ 45.2 $ 5.2 $ 40.6 $ 5.5 The allowance for advances to growers and suppliers for the nine months ended September 30, 2022 and October 1, 2021 were as follows (U.S. dollars in millions): Nine months ended September 30, October 1, Allowance for advances to growers and suppliers: Balance, beginning of period $ 1.8 $ 2.1 Provision for uncollectible amounts 1.3 (0.2) Deductions to allowance related to write-offs (0.1) (0.2) Balance, end of period $ 3.0 $ 1.7 |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Share-Based Compensation | Share-Based Compensation On June 2, 2022, our shareholders approved and ratified the 2022 Omnibus Share Incentive Plan (the “2022 Plan”). The 2022 Plan allows us to grant equity-based compensation awards including restricted stock units (“RSUs”), performance stock units (“PSUs”), stock options, and restricted stock awards. The 2022 Plan replaces and supersedes the 2014 Omnibus Share Incentive Plan (the “Prior Plan”). Under the 2022 Plan, the Board of Directors is authorized to award up to 2,800,000 ordinary shares plus approximately 230,000 ordinary shares which remained available under the Prior Plan at the time of adoption. Stock-based compensation expense related to RSUs and PSUs is included in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations and is comprised as follows (U.S. dollars in millions): Quarter ended Nine months ended September 30, October 1, September 30, October 1, RSUs/PSUs $ 2.1 $ 2.1 $ 4.9 $ 5.8 6. Share-Based Compensation (continued) Restricted Stock Units and Performance Stock Units The following table lists the RSUs and PSUs awarded under the 2022 Plan and the Prior Plan for the nine months ended September 30, 2022 and October 1, 2021: Date of Award Type of award Units awarded Price per share For the nine months ended September 30, 2022 July 6, 2022 PSU 101,672 $ 31.27 June 15, 2022 RSU 105,614 23.71 June 15, 2022 PSU 46,222 23.71 June 2, 2022 RSU 41,307 25.42 For the nine months ended October 1, 2021 October 1, 2021 RSU 3,041 $ 32.22 May 4, 2021 RSU 30,317 28.86 March 30, 2021 RSU 2,500 28.67 March 1, 2021 RSU 290,021 25.85 March 1, 2021 PSU 118,192 25.85 Under the 2022 Plan and Prior Plan, each RSU/PSU represents a contingent right to receive one of our ordinary shares. The PSUs are subject to meeting minimum performance criteria set by the Compensation Committee of our Board of Directors. The actual number of shares the recipient receives is determined based on the results achieved versus performance goals. Those performance goals are based on exceeding a measure of our earnings. Depending on the results achieved, the actual number of shares that an award recipient receives at the end of the period may range from 0% to 100% of the award units granted. Provided such criteria are met, the PSUs granted during the nine months ended September 30, 2022 will vest in three equal installments in 1) June and July 2023, 2) March 2024 and 3) March 2025. PSUs granted prior to 2022 will vest in three equal annual installments on each of the next three anniversary dates. All PSU vesting is contingent on the recipient's continued employment with us. Expense for RSUs is recognized on a straight line basis over the requisite service period for the entire award. RSUs granted in 2022 vest in three equal installments in June 2023, March 2024 and March 2025, with the exception of RSUs granted to our Board of Directors which vest after a one-year period. RSUs granted in 2021 vest annually in three equal installments over a three-year service period while RSUs granted prior to 2021 vested 20% on the grant date, with 20% vesting on each of the next four anniversaries. The fair market value for RSUs and PSUs is based on the closing price of our stock on the grant date. We recognize expenses related to RSUs and PSUs based on the fair market value, as determined on the grant date, ratably over the vesting period, provided the performance condition, if any, is probable. Forfeitures are recognized as they occur. RSUs and PSUs do not have the voting rights of ordinary shares, and the shares underlying the RSUs and PSUs are not considered issued and outstanding. However, shares underlying RSUs/PSUs are included in the calculation of diluted earnings per share to the extent the performance criteria are met, if any. RSUs and PSUs are eligible to earn Dividend Equivalent Units (“DEUs”) equal to the cash dividend paid to ordinary shareholders. DEUs are subject to the same performance and/or service conditions as the underlying RSUs and PSUs and are forfeitable. |
Inventories, net
Inventories, net | 9 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories, net Inventories consisted of the following (U.S. dollars in millions): September 30, December 31, Finished goods $ 194.1 $ 197.9 Raw materials and packaging supplies 224.3 203.2 Growing crops 203.1 201.7 Total inventories, net $ 621.5 $ 602.8 |
Debt and Finance Lease Obligati
Debt and Finance Lease Obligations | 9 Months Ended |
Sep. 30, 2022 | |
Long-Term Debt and Lease Obligation [Abstract] | |
Debt and Finance Lease Obligations | Debt and Finance Lease Obligations The following is a summary of long-term debt and finance lease obligations (U.S. dollars in millions): September 30, December 31, Senior unsecured revolving credit facility (see Credit Facility below) $ 486.1 $ 519.1 Finance lease obligations 8.9 9.9 Total debt and finance lease obligations 495.0 529.0 Less: Current maturities (1.3) (1.3) Long-term debt and finance lease obligations $ 493.7 $ 527.7 Credit Facility On October 1, 2019, we entered into a Second Amended and Restated Credit Agreement (as amended, the “Second A&R Credit Agreement”) with Bank of America, N.A. as administrative agent and BofA Securities, Inc. as sole lead arranger and sole bookrunner and certain other lenders. The Second A&R Credit Agreement provides for a five-year, $1.1 billion syndicated senior unsecured revolving credit facility (the “Revolving Credit Facility”) maturing on October 1, 2024. Effective September 13, 2022, we exercised our option as included in the Second A&R Credit Agreement to reduce the borrowing limit on the Revolving Credit Facility from $1.1 billion to $0.9 billion. Certain of our direct and indirect subsidiaries have guaranteed the obligations under the Second A&R Credit Agreement. Amounts borrowed under the Revolving Credit Facility accrue interest, at our election, at either (i) the Eurocurrency Rate (as defined in the Second A&R Credit Agreement) plus a margin that ranges from 1.0% to 1.5% or (ii) the Base Rate (as defined in the Second A&R Credit Agreement) plus a margin that ranges from 0% to 0.5%, in each case based on our Consolidated Leverage Ratio (as defined in the Second A&R Credit Agreement). The Second A&R Credit Agreement interest rate grid provides for five pricing levels for interest rate margins. The Second A&R Credit Agreement provides for an accordion feature that permits us, without the consent of the other lenders, to request that one or more lenders provide us with increases in revolving credit facility or term loans up to an aggregate of $300 million (“Incremental Increases”). The aggregate amount of Incremental Increases can be further increased to the extent that after giving effect to the proposed increase in revolving credit facility commitments or term loans our Consolidated Leverage Ratio, on a pro forma basis, would not exceed 2.50 to 1.00. Our ability to request such increases in the revolving credit facility or term loans is subject to our compliance with customary conditions set forth in the Second A&R Credit Agreement including compliance, on a pro forma basis, with the financial covenants and ratios set forth therein. Upon our request, each lender may decide, in its sole discretion, whether to increase all or a portion of its revolving credit facility commitment or provide term loans. 8. Debt and Finance Lease Obligations (continued) The Second A&R Credit Agreement requires us to comply with certain financial and other covenants. Specifically, it requires us to maintain a 1) Consolidated Leverage Ratio of not more than 3.50 to 1.00 at any time during any period of four consecutive fiscal quarters, subject to certain exceptions and 2) a minimum Consolidated Interest Coverage Ratio of not less than 2.25 to 1.00 as of the end of any fiscal quarter. Additionally, it requires us to comply with certain other covenants, including limitations on capital expenditures, stock repurchases, the amount of dividends that can be paid in the future, the amount and types of liens and indebtedness, material asset sales, and mergers. Under the Second A&R Credit Agreement, we are permitted to declare or pay cash dividends in any fiscal year up to an amount that does not exceed the greater of (i) an amount equal to the greater of (A) 50% of the Consolidated Net Income (as defined in the Second A&R Credit Agreement) for the immediately preceding fiscal year or (B) $25 million or (ii) the greatest amount which would not cause the Consolidated Leverage Ratio (determined on a pro forma basis) to exceed 3.25 to 1.00. It also provides an allowance for stock repurchases to be an amount not exceeding the greater of (i) $150 million in the aggregate or (ii) the amount that, after giving pro forma effect thereto and any related borrowings, will not cause the Consolidated Leverage Ratio to exceed 3.25 to 1.00. As of September 30, 2022, we were in compliance with all of the covenants contained in the Second A&R Credit Agreement. Debt issuance costs of $0.7 million and $1.3 million are included in other noncurrent assets on our Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021, respectively. We have a renewable 364-day, $25.0 million letter of credit facility with Rabobank Nederland. The following is a summary of the material terms of the Revolving Credit Facility and other working capital facilities at September 30, 2022 (U.S. dollars in millions): Term Maturity Interest rate Borrowing Available Bank of America credit facility 5 years October 1, 2024 4.00% $ 900.0 $ 413.9 Rabobank letter of credit facility 364 days June 14, 2023 Varies 25.0 15.4 Other working capital facilities Varies Varies Varies 19.4 10.1 $ 944.4 $ 439.4 The current margin for LIBOR advances is 1.375%. We intend to use funds borrowed under the Revolving Credit Facility from time to time for general corporate purposes, working capital, capital expenditures and other permitted investment opportunities. The Revolving Credit Facility permits borrowings under the revolving commitment with an interest rate determined based on our leverage ratio and spread over LIBOR. In addition, we pay a fee on unused commitments. As of September 30, 2022, we applied $27.9 million to letters of credit and bank guarantees issued from Rabobank Nederland, Bank of America, and other banks. During 2018, we entered into interest rate swaps in order to hedge the risk of the fluctuation on future interest payments related to our variable rate LIBOR-based borrowings from our Revolving Credit Facility. Refer to Note 13, “ Derivative Financial Instruments. ” As a result of reference rate reform, we are currently working with our counterparties to amend our Revolving Credit Facility and interest rate swaps to reference the Secured Overnight Financing Rate (SOFR) effective the first quarter of 2023. Refer to Note 2, " Recently Issued Accounting Pronouncements." |
Debt and Finance Lease Obligations | Debt and Finance Lease Obligations The following is a summary of long-term debt and finance lease obligations (U.S. dollars in millions): September 30, December 31, Senior unsecured revolving credit facility (see Credit Facility below) $ 486.1 $ 519.1 Finance lease obligations 8.9 9.9 Total debt and finance lease obligations 495.0 529.0 Less: Current maturities (1.3) (1.3) Long-term debt and finance lease obligations $ 493.7 $ 527.7 Credit Facility On October 1, 2019, we entered into a Second Amended and Restated Credit Agreement (as amended, the “Second A&R Credit Agreement”) with Bank of America, N.A. as administrative agent and BofA Securities, Inc. as sole lead arranger and sole bookrunner and certain other lenders. The Second A&R Credit Agreement provides for a five-year, $1.1 billion syndicated senior unsecured revolving credit facility (the “Revolving Credit Facility”) maturing on October 1, 2024. Effective September 13, 2022, we exercised our option as included in the Second A&R Credit Agreement to reduce the borrowing limit on the Revolving Credit Facility from $1.1 billion to $0.9 billion. Certain of our direct and indirect subsidiaries have guaranteed the obligations under the Second A&R Credit Agreement. Amounts borrowed under the Revolving Credit Facility accrue interest, at our election, at either (i) the Eurocurrency Rate (as defined in the Second A&R Credit Agreement) plus a margin that ranges from 1.0% to 1.5% or (ii) the Base Rate (as defined in the Second A&R Credit Agreement) plus a margin that ranges from 0% to 0.5%, in each case based on our Consolidated Leverage Ratio (as defined in the Second A&R Credit Agreement). The Second A&R Credit Agreement interest rate grid provides for five pricing levels for interest rate margins. The Second A&R Credit Agreement provides for an accordion feature that permits us, without the consent of the other lenders, to request that one or more lenders provide us with increases in revolving credit facility or term loans up to an aggregate of $300 million (“Incremental Increases”). The aggregate amount of Incremental Increases can be further increased to the extent that after giving effect to the proposed increase in revolving credit facility commitments or term loans our Consolidated Leverage Ratio, on a pro forma basis, would not exceed 2.50 to 1.00. Our ability to request such increases in the revolving credit facility or term loans is subject to our compliance with customary conditions set forth in the Second A&R Credit Agreement including compliance, on a pro forma basis, with the financial covenants and ratios set forth therein. Upon our request, each lender may decide, in its sole discretion, whether to increase all or a portion of its revolving credit facility commitment or provide term loans. 8. Debt and Finance Lease Obligations (continued) The Second A&R Credit Agreement requires us to comply with certain financial and other covenants. Specifically, it requires us to maintain a 1) Consolidated Leverage Ratio of not more than 3.50 to 1.00 at any time during any period of four consecutive fiscal quarters, subject to certain exceptions and 2) a minimum Consolidated Interest Coverage Ratio of not less than 2.25 to 1.00 as of the end of any fiscal quarter. Additionally, it requires us to comply with certain other covenants, including limitations on capital expenditures, stock repurchases, the amount of dividends that can be paid in the future, the amount and types of liens and indebtedness, material asset sales, and mergers. Under the Second A&R Credit Agreement, we are permitted to declare or pay cash dividends in any fiscal year up to an amount that does not exceed the greater of (i) an amount equal to the greater of (A) 50% of the Consolidated Net Income (as defined in the Second A&R Credit Agreement) for the immediately preceding fiscal year or (B) $25 million or (ii) the greatest amount which would not cause the Consolidated Leverage Ratio (determined on a pro forma basis) to exceed 3.25 to 1.00. It also provides an allowance for stock repurchases to be an amount not exceeding the greater of (i) $150 million in the aggregate or (ii) the amount that, after giving pro forma effect thereto and any related borrowings, will not cause the Consolidated Leverage Ratio to exceed 3.25 to 1.00. As of September 30, 2022, we were in compliance with all of the covenants contained in the Second A&R Credit Agreement. Debt issuance costs of $0.7 million and $1.3 million are included in other noncurrent assets on our Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021, respectively. We have a renewable 364-day, $25.0 million letter of credit facility with Rabobank Nederland. The following is a summary of the material terms of the Revolving Credit Facility and other working capital facilities at September 30, 2022 (U.S. dollars in millions): Term Maturity Interest rate Borrowing Available Bank of America credit facility 5 years October 1, 2024 4.00% $ 900.0 $ 413.9 Rabobank letter of credit facility 364 days June 14, 2023 Varies 25.0 15.4 Other working capital facilities Varies Varies Varies 19.4 10.1 $ 944.4 $ 439.4 The current margin for LIBOR advances is 1.375%. We intend to use funds borrowed under the Revolving Credit Facility from time to time for general corporate purposes, working capital, capital expenditures and other permitted investment opportunities. The Revolving Credit Facility permits borrowings under the revolving commitment with an interest rate determined based on our leverage ratio and spread over LIBOR. In addition, we pay a fee on unused commitments. As of September 30, 2022, we applied $27.9 million to letters of credit and bank guarantees issued from Rabobank Nederland, Bank of America, and other banks. During 2018, we entered into interest rate swaps in order to hedge the risk of the fluctuation on future interest payments related to our variable rate LIBOR-based borrowings from our Revolving Credit Facility. Refer to Note 13, “ Derivative Financial Instruments. ” As a result of reference rate reform, we are currently working with our counterparties to amend our Revolving Credit Facility and interest rate swaps to reference the Secured Overnight Financing Rate (SOFR) effective the first quarter of 2023. Refer to Note 2, " Recently Issued Accounting Pronouncements." |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Kunia Well Site In 1980, elevated levels of certain chemicals were detected in the soil and ground-water at a plantation leased by one of our U.S. subsidiaries in Honolulu, Hawaii (the “Kunia Well Site”). In 2005, our subsidiary signed a Consent Decree (“Consent Decree”) with the Environmental Protection Agency (“EPA”) for the performance of the clean-up work for the Kunia Well Site. Based on findings from remedial investigations, our subsidiary coordinated with the EPA to evaluate the clean-up work required in accordance with the Consent Decree. On July 25, 2022, an Explanation of Significant Differences (ESD) for the Kunia Well Site was filed by the EPA, which formally transitioned the remedy for the Kunia Well Site to a Monitored Natural Attenuation (MNA), thereby reducing our potential liability. In connection with the above decision, we recorded a $9.9 million reduction in our liability during the quarter ended September 30, 2022, presented in asset impairment and other (credits) charges, net in our Consolidated Statements of Operations, to reflect the decrease in estimated costs associated with the clean-up. The revised estimate associated with the clean-up costs, and on which our accrual is based, is $2.9 million. As of September 30, 2022, $2.5 million was included in other noncurrent liabilities, and $0.4 million was included in accounts payable and accrued expenses in the Consolidated Balance Sheets for the Kunia Well Site clean-up. We expect to expend approximately $0.2 million in the fourth quarter of 2022, $0.3 million in each of the years 2023 and 2024, and $0.1 million in each of the years 2025, 2026 and 2027. Additional Information In addition to the foregoing, we are involved from time to time in various claims and legal actions incident to our operations, both as plaintiff and defendant. In the opinion of management, after consulting with legal counsel, none of these other claims are currently expected to have a material adverse effect on the results of operations, financial position or our cash flows. We intend to vigorously defend ourselves in all of the above matters. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic and diluted net income per ordinary share is calculated as follows (U.S. dollars in millions, except share and per share data): Quarter ended Nine months ended September 30, October 1, September 30, October 1, Numerator: Net income attributable to Fresh Del Monte Produce Inc. $ 33.3 $ 1.3 $ 80.3 $ 91.2 Denominator: Weighted average number of ordinary shares - Basic 47,835,057 47,535,873 47,775,312 47,494,168 Effect of dilutive securities - share-based awards 149,018 207,885 133,849 166,887 Weighted average number of ordinary shares - Diluted 47,984,075 47,743,758 47,909,161 47,661,055 Antidilutive awards (1) 69,900 415 69,900 415 Net income per ordinary share attributable to Fresh Del Monte Produce Inc.: Basic $ 0.70 $ 0.03 $ 1.68 $ 1.92 Diluted $ 0.69 $ 0.03 $ 1.68 $ 1.91 (1) Certain unvested RSUs and PSUs are not included in the calculation of net income per ordinary share because the effect would have been antidilutive. |
Retirement and Other Employee B
Retirement and Other Employee Benefits | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Retirement and Other Employee Benefits | Retirement and Other Employee Benefits The following table sets forth the net periodic benefit costs of our defined benefit pension plans and post-retirement benefit plans (U.S. dollars in millions): Quarter ended Nine months ended September 30, October 1, September 30, October 1, Service cost $ 1.5 $ 1.5 $ 4.4 $ 4.5 Interest cost 1.3 1.3 4.0 4.0 Expected return on assets (0.6) (0.5) (2.0) (1.6) Amortization of net actuarial loss 0.2 0.1 0.5 0.4 Net periodic benefit costs $ 2.4 $ 2.4 $ 6.9 $ 7.3 We provide certain other retirement benefits to certain employees who are not U.S.-based and are not included above. Generally, benefits under these programs are based on an employee’s length of service and level of compensation. These programs are immaterial to our consolidated financial statements. The net periodic benefit costs related to other non-U.S. based plans is $1.4 million for the quarter ended September 30, 2022 and $0.9 million for the quarter ended October 1, 2021. The net periodic benefit costs related to other non-U.S. based plans is $3.1 million for the nine months ended September 30, 2022 and $2.7 million for the nine months ended October 1, 2021. |
Business Segment Data
Business Segment Data | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Business Segment Data | Business Segment Data Our business is comprised of three reportable segments, two of which represent our primary businesses of fresh and value-added products and banana, and one that represents our other ancillary businesses. • Fresh and value-added products - includes pineapples, fresh-cut fruit, fresh-cut vegetables (which includes fresh-cut salads), melons, vegetables, non-tropical fruit (including grapes, apples, citrus, blueberries, strawberries, pears, peaches, plums, nectarines, cherries and kiwis), other fruit and vegetables, avocados, and prepared foods (including prepared fruit and vegetables, juices, other beverages, and meals and snacks). • Banana • Other products and services - includes our ancillary businesses consisting of sales of poultry and meat products, a plastic product business, and third-party freight services. We evaluate performance based on several factors, of which net sales and gross profit by product are the primary financial measures (U.S. dollars in millions): Quarter ended September 30, 2022 October 1, 2021 Segments: Net Sales Gross Profit Net Sales Gross Profit Fresh and value-added products $ 599.8 $ 55.1 $ 601.2 $ 41.6 Banana 388.4 22.6 365.3 3.7 Other products and services 65.3 10.3 38.3 3.6 Totals $ 1,053.5 $ 88.0 $ 1,004.8 $ 48.9 Nine months ended September 30, 2022 October 1, 2021 Segments: Net Sales Gross Profit Net Sales Gross Profit Fresh and value-added products $ 2,004.9 $ 148.9 $ 1,906.0 $ 152.1 Banana 1,216.1 82.6 1,210.2 101.8 Other products and services 181.4 27.0 118.4 10.1 Totals $ 3,402.4 $ 258.5 $ 3,234.6 $ 264.0 Our segment data disclosures for the quarter and nine months ended October 1, 2021 have been adjusted to reflect a reclassification of cost of products sold between our three segments as a result of a refinement in our cost allocation methodology. For the quarter ended October 1, 2021, this reclassification resulted in an increase to our fresh and value-added products segment gross profit of $0.7 million, an increase to our banana segment gross profit of $1.3 million and a decrease to our other products and services segment gross profit of $2.0 million. For the nine months ended October 1, 2021, this reclassification resulted in an increase to our fresh and value-added products segment gross profit of $2.3 million, an increase to our banana segment gross profit of $3.6 million and a decrease to our other products and services segment gross profit of $5.9 million. 12. Business Segment Data (continued) Quarter ended Nine months ended Net sales by geographic region: September 30, October 1, September 30, October 1, North America $ 658.7 $ 622.0 $ 2,093.1 $ 1,951.2 Europe 169.9 150.7 570.8 531.2 Asia 105.8 111.9 353.4 380.2 Middle East 102.9 108.2 317.6 323.0 Other 16.2 12.0 67.5 49.0 Totals $ 1,053.5 $ 1,004.8 $ 3,402.4 $ 3,234.6 The following table indicates our net sales by product and the percentage of the total (U.S. dollars in millions): Quarter ended Nine months ended September 30, October 1, September 30, October 1, Fresh and value-added products: Fresh-cut fruit $ 140.5 14 % $ 131.8 13 % $ 407.9 11 % $ 380.0 11 % Fresh-cut vegetables 86.4 8 % 95.5 10 % 259.5 8 % 277.7 9 % Pineapples 147.2 14 % 128.5 13 % 445.0 13 % 400.3 12 % Avocados 63.8 6 % 78.3 8 % 261.4 8 % 248.0 8 % Non-tropical fruit 28.4 3 % 33.7 3 % 155.9 5 % 152.0 5 % Prepared foods 69.2 7 % 64.3 6 % 217.8 6 % 211.6 7 % Melons 5.0 — % 4.7 — % 74.5 2 % 49.6 1 % Tomatoes 4.4 — % 6.1 1 % 17.4 1 % 24.1 1 % Vegetables 32.2 3 % 34.8 4 % 97.7 3 % 98.4 3 % Other fruit and vegetables 22.7 2 % 23.5 2 % 67.8 2 % 64.3 2 % Total fresh and value-added products 599.8 57 % 601.2 60 % 2,004.9 59 % 1,906.0 59 % Banana 388.4 37 % 365.3 36 % 1,216.1 36 % 1,210.2 37 % Other products and services 65.3 6 % 38.3 4 % 181.4 5 % 118.4 4 % Totals $ 1,053.5 100 % $ 1,004.8 100 % $ 3,402.4 100 % $ 3,234.6 100 % |
Derivative Financial Instrument
Derivative Financial Instruments | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Our derivative financial instruments reduce our exposure to fluctuations in foreign exchange rates, variable interest rates and bunker fuel prices. We designate our derivative financial instruments as cash flow hedges. Counterparties expose us to credit loss in the event of non-performance on hedges. We monitor our exposure to counterparty non-performance risk both at inception of the hedge and at least quarterly thereafter. Fluctuations in the value of the derivative instruments are generally offset by changes in the cash flows of the underlying exposures being hedged. A cash flow hedge requires that the change in the fair value of a derivative instrument be recognized in other comprehensive income (loss), a component of shareholders’ equity, and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings and is presented in the same income statement line item as the earnings effect of the hedged item. 13. Derivative Financial Instruments (continued) Certain of our derivative instruments contain provisions that require the current credit relationship between us and our counterparty to be maintained throughout the term of the derivative instruments. If that credit relationship changes, certain provisions could be triggered, and the counterparty could request immediate collateralization of derivative instruments in a net liability position above a certain threshold. The aggregate fair value of all derivative instruments with a credit-risk-related contingent feature that are in a liability position on September 30, 2022 is $11.8 million. As of September 30, 2022, no triggering event has occurred and thus we are not required to post collateral. Derivative instruments are disclosed on a gross basis. There are various rights of setoff associated with our derivative instruments that are subject to an enforceable master netting arrangement or similar agreements. Although various rights of setoff and master netting arrangements or similar agreements may exist with the individual counterparties, individually, these financial rights are not material. Cash flows from derivative instruments that are designated as cash flow hedges are classified in the same category as the cash flows from the underlying hedged items. In the event that hedge accounting is discontinued, cash flows related to changes in fair value subsequent to the date of discontinuance are classified within investing activities. Foreign Currency Hedges We are exposed to fluctuations in currency exchange rates against the U.S. dollar on our results of operations and financial condition, and we mitigate that exposure by entering into foreign currency forward contracts. Certain of our subsidiaries periodically enter into foreign currency forward contracts in order to hedge portions of forecasted sales or cost of sales denominated in foreign currencies, which generally mature within one year. Our foreign currency hedges were entered into for the purpose of hedging portions of our 2022 and 2023 foreign currency exposure. The foreign currency forward contracts qualifying as cash flow hedges were designated as single-purpose cash flow hedges of forecasted cash flows. We had the following outstanding foreign currency forward contracts as of September 30, 2022 (in millions): Foreign currency contracts qualifying as cash flow hedges: Notional amount Euro EUR 55.0 British pound GBP 6.3 Japanese yen JPY 2,325.9 Chilean peso CLP 29,302.8 Kenyan shilling KES 702.0 Korean won KRW 5,478.0 Interest Rate Contracts We are exposed to fluctuations in variable interest rates on our results of operations and financial condition, and we mitigate a portion of that exposure by entering into interest rate swaps. We entered into interest rate swaps in order to hedge the risk of the fluctuation on future interest payments related to our variable rate LIBOR-based borrowings through 2028. Gains or losses on interest rate swaps are recorded in other comprehensive income (loss) and are subsequently reclassified into earnings as the interest expense on debt is recognized in earnings. At September 30, 2022, the notional value of interest rate contracts outstanding was $400.0 million, with $200.0 million maturing in 2024 and the remaining $200.0 million maturing in 2028. Refer to Note 8, “ Debt and Finance Lease Obligations. ” 13. Derivative Financial Instruments (continued) Bunker Fuel Hedges We are exposed to fluctuations in bunker fuel prices on our results of operations and financial condition, and we periodically enter into bunker fuel swap agreements which permit us to lock in bunker fuel prices and mitigate that exposure. During fiscal 2020, one of our subsidiaries entered into bunker fuel swap agreements in order to hedge portions of our fuel expenses incurred by our owned and chartered vessels throughout 2020 and 2021. We designated our bunker fuel swap agreements as cash flow hedges. As of September 30, 2022, there were no outstanding bunker fuel hedges. The following table reflects the fair values of derivative instruments, which are designated as level 2 in the fair value hierarchy, as of September 30, 2022 and December 31, 2021 (U.S. dollars in millions): Derivatives designated as hedging instruments (1) Foreign exchange contracts Interest rate swaps Total Balance Sheet location: September 30, December 31, September 30, December 31, September 30, December 31, Asset derivatives: Prepaid expenses and other current assets $ 15.3 $ 0.5 $ — $ — $ 15.3 $ 0.5 Other noncurrent assets — — 15.1 — 15.1 — Total asset derivatives $ 15.3 $ 0.5 $ 15.1 $ — $ 30.4 $ 0.5 Liability derivatives: Accounts payable and accrued expenses $ 8.9 $ 8.1 $ — $ — $ 8.9 $ 8.1 Other noncurrent liabilities 2.9 6.1 — 29.4 2.9 35.5 Total liability derivatives $ 11.8 $ 14.2 $ — $ 29.4 $ 11.8 $ 43.6 (1) See Note 14, “ Fair Value Measurements, ” for fair value disclosures. We expect that $10.6 million of the net fair value of our cash flow hedges recognized as a net gain in accumulated other comprehensive loss will be transferred to earnings during the next 12 months and a net gain of $6.7 million will be transferred to earnings over a period of approximately 6 years, along with the earnings effect of the related forecasted transactions. The following table reflects the effect of derivative instruments on the Consolidated Statements of Comprehensive Income for the quarters and nine months ended September 30, 2022 and October 1, 2021 (U.S. dollars in millions): Net amount of gain (loss) recognized in other Quarter ended Nine months ended Derivative instruments September 30, October 1, September 30, October 1, Foreign exchange contracts $ (2.6) $ (6.7) $ 17.2 $ (0.1) Bunker fuel swaps — (1.4) — (0.5) Interest rate swaps, net of tax 14.2 2.4 38.8 12.9 Total $ 11.6 $ (5.7) $ 56.0 $ 12.3 Refer to Note 15, “Accumulated Other Comprehensive Loss,” for the effect of derivative instruments on the Consolidated Statements of Operations related to amounts reclassified from accumulated other comprehensive loss for the quarters and nine months ended September 30, 2022 and October 1, 2021. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair Value of Derivative Instruments Our derivative assets or liabilities include foreign exchange and interest rate derivatives that are measured at fair value using observable market inputs such as forward rates, interest rates, our own credit risk as well as an evaluation of our counterparties' credit risks. We use an income approach to value our outstanding foreign currency and interest rate hedges, which consists of a discounted cash flow model that takes into account the present value of future cash flows under the terms of the contract using current market information as of the measurement date such as foreign currency spot rates, forward rates and interest rates. Additionally, we include an element of default risk based on observable inputs into the fair value calculation. Based on these inputs, the derivative assets or liabilities are classified within Level 2 of the valuation hierarchy. The following table provides a summary of the fair values of our derivative financial instruments measured on a recurring basis (U.S. dollars in millions): Fair value measurements Foreign currency forward contracts, net asset (liability) Interest rate contracts, net asset (liability) September 30, December 31, September 30, December 31, Quoted prices in active markets for identical assets (Level 1) $ — $ — $ — $ — Significant observable inputs (Level 2) 3.5 (13.7) 15.1 (29.4) Significant unobservable inputs (Level 3) — — — — In estimating our fair value disclosures for financial instruments, we use the following methods and assumptions: Cash and cash equivalents: The carrying amount reported in the Consolidated Balance Sheets for these items approximates fair value due to their liquid nature and are classified as Level 1. Trade accounts receivable and other accounts receivable, net: The carrying value reported in the Consolidated Balance Sheets for these items is net of allowances, which includes a degree of counterparty non-performance risk and are classified as Level 2. Accounts payable and other current liabilities: The carrying value reported in the Consolidated Balance Sheets for these items approximates their fair value, which is the likely amount for which the liability with short settlement periods would be transferred to a market participant with a similar credit standing as ours and are classified as Level 2. Long-term debt: The carrying value of our long-term debt reported in the Consolidated Balance Sheets approximates their fair value since they bear interest at variable rates which contain an element of default risk. The fair value of our long-term debt is estimated using Level 2 inputs based on quoted prices for those or similar instruments. Refer to Note 8, “ Debt and Finance Lease Obligations. ” Fair Value of Non-Financial Assets The fair value of the banana reporting unit's goodwill and the prepared food reporting unit's goodwill and remaining trade names and trademarks are highly sensitive to differences between estimated and actual cash flows and changes in the related discount rate used to evaluate the fair value of these assets. We disclosed the sensitivity related to the banana reporting unit's goodwill and the prepared food reporting unit's goodwill and remaining trade names and trademarks in our notes to the consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2021. In addition, certain definite-lived intangible assets related to our fresh and value-added products segment are sensitive to changes in estimated cash flows. To the extent that future developments result in estimated cash flows that are less than currently estimated levels, it could lead to impairment of these assets. 14. Fair Value Measurements (continued) During fiscal 2020, we performed a comprehensive review of our asset portfolio and identified non-strategic and underutilized property, plant, and equipment assets across various of our regions to dispose of while reducing costs and driving further efficiencies in our operations (the “Optimization Program”). Certain of these assets, as well as additional assets identified for sale during the current fiscal year, met the held for sale criteria as of September 30, 2022, and primarily relate to our fresh and value-added products segment. Included in the $61.3 million of assets held for sale as of September 30, 2022 were the following: $37.9 million is related to facilities and land in Middle East, $16.2 million consists of a facility and related assets in the United States, $4.0 million consists of facilities and farm land in South America, $2.2 million consists of a facility and related assets in Europe, and the remaining $1.0 million consists of farm land in Central America. These assets are recognized at the lower of cost or fair value less cost to sell. The fair value measurements for our held for sale assets are generally based on Level 3 inputs, which include information obtained from third-party appraisals. During the nine months ended September 30, 2022, we received proceeds of $6.9 million from the sale of assets previously held for sale and recorded a gain on disposal of property, plant and equipment, net of $1.8 million. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following table includes the changes in accumulated other comprehensive loss by component (U.S. dollars in millions): Changes in Accumulated Other Comprehensive Loss by Component (1) Cash Flow Hedges Foreign Currency Translation Adjustment Retirement Benefit Adjustment Total Nine months ended September 30, 2022 Balance at December 31, 2021 $ (40.9) $ (17.4) $ (8.6) $ (66.9) Other comprehensive income (loss) 66.4 (3) (35.5) (2) 0.2 31.1 Amounts reclassified from accumulated (10.4) — 1.0 (9.4) Net current period other comprehensive 56.0 (35.5) 1.2 21.7 Balance at September 30, 2022 $ 15.1 $ (52.9) $ (7.4) $ (45.2) Nine months ended October 1, 2021 Balance at January 1, 2021 $ (49.6) $ (3.3) $ (24.1) $ (77.0) Other comprehensive income (loss) 10.2 (3) (9.2) (2) (1.9) (0.9) Amounts reclassified from accumulated 2.1 (4) — 0.7 2.8 Net current period other comprehensive 12.3 (9.2) (1.2) 1.9 Balance at October 1, 2021 $ (37.3) $ (12.5) $ (25.3) $ (75.1) (1) All amounts are net of tax and noncontrolling interest. (2) Includes a loss of $11.0 million and $4.2 million for the nine months ended September 30, 2022 and nine months ended October 1, 2021, respectively, on intra-entity foreign currency transactions that are of a long-term-investment nature. (3) Includes a tax effect of $(5.7) million and $(1.9) million for the nine months ended September 30, 2022 and nine months ended October 1, 2021, respectively. (4) Includes amounts reclassified for both designated and dedesignated cash flow hedges. Refer to the following table for the amounts of each. 15. Accumulated Other Comprehensive Loss (continued) The following table includes details about amounts reclassified from accumulated other comprehensive loss by component (U.S. dollars in millions): Amount of (gain) loss reclassified from accumulated other comprehensive loss September 30, 2022 October 1, 2021 Details about accumulated other comprehensive loss components Quarter ended Nine months ended Quarter ended Nine months ended Affected line item in the statement where net income is presented Cash flow hedges: Designated as hedging instruments: Foreign currency cash flow hedges $ (10.4) $ (19.8) $ (1.5) $ (0.8) Net sales Foreign currency cash flow hedges (0.2) 3.9 (0.6) — Cost of products sold Interest rate swaps 0.7 5.5 2.8 8.5 Interest expense Bunker fuel swaps no longer designated as hedging instruments — — (1.4) (4.6) Cost of products sold Bunker fuel swaps no longer designated as hedging instruments — — — (1.0) Other expense, net Total $ (9.9) $ (10.4) $ (0.7) $ 2.1 Amortization of retirement benefits: Actuarial losses 0.2 0.6 0.2 0.7 Other expense, net Curtailment and settlement losses 0.4 0.4 — — Other expense, net Total $ 0.6 $ 1.0 $ 0.2 $ 0.7 |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | Shareholders’ Equity Our shareholders have authorized 50,000,000 preferred shares at $0.01 par value, of which none are issued or outstanding at September 30, 2022, and 200,000,000 ordinary shares at $0.01 par value, of which 47,836,339 are issued and outstanding at September 30, 2022. The below is a summary of the dividends paid per share during the nine months ended September 30, 2022 and October 1, 2021. These dividends were declared and paid within the same fiscal quarter. Nine months ended September 30, 2022 October 1, 2021 Dividend Payment Date Cash Dividend per Ordinary Share Dividend Payment Date Cash Dividend per Ordinary Share September 9, 2022 $ 0.15 September 10, 2021 $ 0.15 June 10, 2022 0.15 June 11, 2021 0.10 April 1, 2022 0.15 April 2, 2021 0.10 We paid $21.5 million in dividends during the nine months ended September 30, 2022 and $16.6 million in dividends during the nine months ended October 1, 2021. On November 1, 2022, our Board of Directors declared a quarterly cash dividend of fifteen cents ($0.15) per share, payable on December 9, 2022, to shareholders of record on November 16, 2022. |
Recently Issued Accounting Pr_2
Recently Issued Accounting Pronouncements (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Recently Issued Accounting Pronouncements | New Accounting Pronouncements - Not Yet Adopted In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, and a subsequent amendment to the guidance, ASU 2021-01 in January 2021. The ASU provides optional guidance to companies to ease the potential burden associated with reference rate reform. Specifically, the guidance provides optional expedients and exceptions to apply generally accepted accounting principles to contract modifications and hedging relationships, subject to certain criteria, that reference LIBOR or other reference rates that will be discontinued. This ASU may currently be adopted and may be applied prospectively to contract modifications made on or before December 31, 2022, however the FASB is currently working on a project to extend the date to December 31, 2024. We have LIBOR-based borrowings and interest rate swaps that reference LIBOR, and we are currently working with our counterparties to amend our agreements in order to transition to the Secured Overnight Financing Rate (SOFR) for all instruments effective the first quarter of 2023. We do not expect a significant impact to our financial results, financial position or cash flows from the transition from LIBOR, but we will continue to monitor the impact of this transition until it is completed. |
Asset Impairment and Other Ch_2
Asset Impairment and Other Charges (Credits), Net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Asset Impairment and Other Charges (Credits), Net [Abstract] | |
Summary of asset impairment and exit activity and other charges (credits) | The following represents a summary of asset impairment and other (credits) charges, net recorded during the quarters and nine months ended September 30, 2022 and October 1, 2021 (U.S. dollars in millions): Quarter ended Nine months ended September 30, 2022 September 30, 2022 Long-lived and other Exit activity and other Total Long-lived and other Exit activity and other Total Banana segment: Exit costs related to European facility (1) $ — $ — $ — $ — $ 0.4 $ 0.4 Fresh and value-added products segment: Adjustment of Kunia Well Site environmental liability in Hawaii (2) — (9.9) (9.9) — (9.9) (9.9) Impairment of South America farm and other charges — 0.1 0.1 0.2 0.1 0.3 Other fresh and value-added products segment charges — — — — 0.1 0.1 Other: Former President/COO severance expense — — — — 1.0 1.0 Total asset impairment and other (credits) charges, net $ — $ (9.8) $ (9.8) $ 0.2 $ (8.3) $ (8.1) Quarter ended Nine months ended October 1, 2021 October 1, 2021 Long-lived and other Exit activity and other Total Long-lived and other Exit activity and other Total Banana segment: Insurance recovery related to hurricanes (3) $ — $ — $ — $ — $ (0.8) $ (0.8) Philippines asset impairment of low-yield area 0.3 — 0.3 0.3 — 0.3 Fresh and value-added products segment: Exit costs related to European facility (1) — (0.2) (0.2) — 0.3 0.3 Other fresh and value-added products segment charges — — — — (0.1) (0.1) Total asset impairment and other (credits) charges, net $ 0.3 $ (0.2) $ 0.1 $ 0.3 $ (0.6) $ (0.3) (1) $0.4 million and $0.3 million charge for the nine months ended September 30, 2022 and October 1, 2021, respectively, primarily related to severance expenses incurred in connection with the planned exits from two facilities in Europe. (2) $(9.9) million reduction in our environmental liability related to the Kunia Well Site clean-up. Refer to Note 9, “ Commitments and contingencies, ” for further information. (3) $(0.8) million insurance recovery for the nine months ended October 1, 2021 associated with damage to certain of our banana fixed assets in Guatemala caused by hurricanes Eta and Iota in the fourth quarter of 2020. |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Rollforward of Trade Receivable Allowance for Credit Losses | The table below presents a rollforward of our trade receivable allowance for credit losses for the nine months ended September 30, 2022 and October 1, 2021 (U.S. dollars in millions): Nine months ended Trade receivables September 30, October 1, Allowance for credit losses: Balance, beginning of period $ 10.2 $ 15.1 Provision for uncollectible amounts 0.2 0.6 Deductions to allowance related to write-offs (0.3) — Foreign exchange effects (0.3) — Reclassifications (1) (0.3) (2.6) Balance, end of period $ 9.5 $ 13.1 (1) Reclassifications of $0.3 million and $2.6 million to the long-term allowance for credit losses, presented in other noncurrent assets on our Consolidated Balance Sheets, from short-term during the nine months ended September 30, 2022 and October 1, 2021, respectively. The amounts in the long-term allowance related to customer trade receivables as of September 30, 2022 and October 1, 2021 are not material to our Consolidated Financial Statements. |
Advances to Growers Along with the Related Allowance for Doubtful Accounts | The following table details the advances to growers and suppliers based on their credit risk profile (U.S. dollars in millions): September 30, 2022 December 31, 2021 Current Past-Due Current Past-Due Gross advances to growers and suppliers $ 45.2 $ 5.2 $ 40.6 $ 5.5 |
Rollforward of Allowance for Advances to Growers and Suppliers | The allowance for advances to growers and suppliers for the nine months ended September 30, 2022 and October 1, 2021 were as follows (U.S. dollars in millions): Nine months ended September 30, October 1, Allowance for advances to growers and suppliers: Balance, beginning of period $ 1.8 $ 2.1 Provision for uncollectible amounts 1.3 (0.2) Deductions to allowance related to write-offs (0.1) (0.2) Balance, end of period $ 3.0 $ 1.7 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-based compensation expense included in selling, general and administrative expenses | Stock-based compensation expense related to RSUs and PSUs is included in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations and is comprised as follows (U.S. dollars in millions): Quarter ended Nine months ended September 30, October 1, September 30, October 1, RSUs/PSUs $ 2.1 $ 2.1 $ 4.9 $ 5.8 |
RSU and PSUs awarded | The following table lists the RSUs and PSUs awarded under the 2022 Plan and the Prior Plan for the nine months ended September 30, 2022 and October 1, 2021: Date of Award Type of award Units awarded Price per share For the nine months ended September 30, 2022 July 6, 2022 PSU 101,672 $ 31.27 June 15, 2022 RSU 105,614 23.71 June 15, 2022 PSU 46,222 23.71 June 2, 2022 RSU 41,307 25.42 For the nine months ended October 1, 2021 October 1, 2021 RSU 3,041 $ 32.22 May 4, 2021 RSU 30,317 28.86 March 30, 2021 RSU 2,500 28.67 March 1, 2021 RSU 290,021 25.85 March 1, 2021 PSU 118,192 25.85 |
Inventories, net (Tables)
Inventories, net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | Inventories consisted of the following (U.S. dollars in millions): September 30, December 31, Finished goods $ 194.1 $ 197.9 Raw materials and packaging supplies 224.3 203.2 Growing crops 203.1 201.7 Total inventories, net $ 621.5 $ 602.8 |
Debt and Finance Lease Obliga_2
Debt and Finance Lease Obligations (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Long-Term Debt and Lease Obligation [Abstract] | |
Schedule of long-term debt and finance lease obligation | The following is a summary of long-term debt and finance lease obligations (U.S. dollars in millions): September 30, December 31, Senior unsecured revolving credit facility (see Credit Facility below) $ 486.1 $ 519.1 Finance lease obligations 8.9 9.9 Total debt and finance lease obligations 495.0 529.0 Less: Current maturities (1.3) (1.3) Long-term debt and finance lease obligations $ 493.7 $ 527.7 |
Material terms of the credit facility and other working capital facilities | The following is a summary of the material terms of the Revolving Credit Facility and other working capital facilities at September 30, 2022 (U.S. dollars in millions): Term Maturity Interest rate Borrowing Available Bank of America credit facility 5 years October 1, 2024 4.00% $ 900.0 $ 413.9 Rabobank letter of credit facility 364 days June 14, 2023 Varies 25.0 15.4 Other working capital facilities Varies Varies Varies 19.4 10.1 $ 944.4 $ 439.4 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share | Basic and diluted net income per ordinary share is calculated as follows (U.S. dollars in millions, except share and per share data): Quarter ended Nine months ended September 30, October 1, September 30, October 1, Numerator: Net income attributable to Fresh Del Monte Produce Inc. $ 33.3 $ 1.3 $ 80.3 $ 91.2 Denominator: Weighted average number of ordinary shares - Basic 47,835,057 47,535,873 47,775,312 47,494,168 Effect of dilutive securities - share-based awards 149,018 207,885 133,849 166,887 Weighted average number of ordinary shares - Diluted 47,984,075 47,743,758 47,909,161 47,661,055 Antidilutive awards (1) 69,900 415 69,900 415 Net income per ordinary share attributable to Fresh Del Monte Produce Inc.: Basic $ 0.70 $ 0.03 $ 1.68 $ 1.92 Diluted $ 0.69 $ 0.03 $ 1.68 $ 1.91 (1) Certain unvested RSUs and PSUs are not included in the calculation of net income per ordinary share because the effect would have been antidilutive. |
Retirement and Other Employee_2
Retirement and Other Employee Benefits (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Net periodic benefit costs of pension plans and post-retirement plans | The following table sets forth the net periodic benefit costs of our defined benefit pension plans and post-retirement benefit plans (U.S. dollars in millions): Quarter ended Nine months ended September 30, October 1, September 30, October 1, Service cost $ 1.5 $ 1.5 $ 4.4 $ 4.5 Interest cost 1.3 1.3 4.0 4.0 Expected return on assets (0.6) (0.5) (2.0) (1.6) Amortization of net actuarial loss 0.2 0.1 0.5 0.4 Net periodic benefit costs $ 2.4 $ 2.4 $ 6.9 $ 7.3 |
Business Segment Data (Tables)
Business Segment Data (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Disaggregation of Revenue | We evaluate performance based on several factors, of which net sales and gross profit by product are the primary financial measures (U.S. dollars in millions): Quarter ended September 30, 2022 October 1, 2021 Segments: Net Sales Gross Profit Net Sales Gross Profit Fresh and value-added products $ 599.8 $ 55.1 $ 601.2 $ 41.6 Banana 388.4 22.6 365.3 3.7 Other products and services 65.3 10.3 38.3 3.6 Totals $ 1,053.5 $ 88.0 $ 1,004.8 $ 48.9 Nine months ended September 30, 2022 October 1, 2021 Segments: Net Sales Gross Profit Net Sales Gross Profit Fresh and value-added products $ 2,004.9 $ 148.9 $ 1,906.0 $ 152.1 Banana 1,216.1 82.6 1,210.2 101.8 Other products and services 181.4 27.0 118.4 10.1 Totals $ 3,402.4 $ 258.5 $ 3,234.6 $ 264.0 |
Net sales by geographic region | Quarter ended Nine months ended Net sales by geographic region: September 30, October 1, September 30, October 1, North America $ 658.7 $ 622.0 $ 2,093.1 $ 1,951.2 Europe 169.9 150.7 570.8 531.2 Asia 105.8 111.9 353.4 380.2 Middle East 102.9 108.2 317.6 323.0 Other 16.2 12.0 67.5 49.0 Totals $ 1,053.5 $ 1,004.8 $ 3,402.4 $ 3,234.6 |
Net sales by product | The following table indicates our net sales by product and the percentage of the total (U.S. dollars in millions): Quarter ended Nine months ended September 30, October 1, September 30, October 1, Fresh and value-added products: Fresh-cut fruit $ 140.5 14 % $ 131.8 13 % $ 407.9 11 % $ 380.0 11 % Fresh-cut vegetables 86.4 8 % 95.5 10 % 259.5 8 % 277.7 9 % Pineapples 147.2 14 % 128.5 13 % 445.0 13 % 400.3 12 % Avocados 63.8 6 % 78.3 8 % 261.4 8 % 248.0 8 % Non-tropical fruit 28.4 3 % 33.7 3 % 155.9 5 % 152.0 5 % Prepared foods 69.2 7 % 64.3 6 % 217.8 6 % 211.6 7 % Melons 5.0 — % 4.7 — % 74.5 2 % 49.6 1 % Tomatoes 4.4 — % 6.1 1 % 17.4 1 % 24.1 1 % Vegetables 32.2 3 % 34.8 4 % 97.7 3 % 98.4 3 % Other fruit and vegetables 22.7 2 % 23.5 2 % 67.8 2 % 64.3 2 % Total fresh and value-added products 599.8 57 % 601.2 60 % 2,004.9 59 % 1,906.0 59 % Banana 388.4 37 % 365.3 36 % 1,216.1 36 % 1,210.2 37 % Other products and services 65.3 6 % 38.3 4 % 181.4 5 % 118.4 4 % Totals $ 1,053.5 100 % $ 1,004.8 100 % $ 3,402.4 100 % $ 3,234.6 100 % |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Outstanding forward contracts | We had the following outstanding foreign currency forward contracts as of September 30, 2022 (in millions): Foreign currency contracts qualifying as cash flow hedges: Notional amount Euro EUR 55.0 British pound GBP 6.3 Japanese yen JPY 2,325.9 Chilean peso CLP 29,302.8 Kenyan shilling KES 702.0 Korean won KRW 5,478.0 |
Fair values of derivative instruments | The following table reflects the fair values of derivative instruments, which are designated as level 2 in the fair value hierarchy, as of September 30, 2022 and December 31, 2021 (U.S. dollars in millions): Derivatives designated as hedging instruments (1) Foreign exchange contracts Interest rate swaps Total Balance Sheet location: September 30, December 31, September 30, December 31, September 30, December 31, Asset derivatives: Prepaid expenses and other current assets $ 15.3 $ 0.5 $ — $ — $ 15.3 $ 0.5 Other noncurrent assets — — 15.1 — 15.1 — Total asset derivatives $ 15.3 $ 0.5 $ 15.1 $ — $ 30.4 $ 0.5 Liability derivatives: Accounts payable and accrued expenses $ 8.9 $ 8.1 $ — $ — $ 8.9 $ 8.1 Other noncurrent liabilities 2.9 6.1 — 29.4 2.9 35.5 Total liability derivatives $ 11.8 $ 14.2 $ — $ 29.4 $ 11.8 $ 43.6 (1) See Note 14, “ Fair Value Measurements, ” for fair value disclosures. |
Effect of derivative instruments on Consolidated Statements of Comprehensive Income (Loss) | The following table reflects the effect of derivative instruments on the Consolidated Statements of Comprehensive Income for the quarters and nine months ended September 30, 2022 and October 1, 2021 (U.S. dollars in millions): Net amount of gain (loss) recognized in other Quarter ended Nine months ended Derivative instruments September 30, October 1, September 30, October 1, Foreign exchange contracts $ (2.6) $ (6.7) $ 17.2 $ (0.1) Bunker fuel swaps — (1.4) — (0.5) Interest rate swaps, net of tax 14.2 2.4 38.8 12.9 Total $ 11.6 $ (5.7) $ 56.0 $ 12.3 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of fair values of assets and liabilities measured on a recurring basis | The following table provides a summary of the fair values of our derivative financial instruments measured on a recurring basis (U.S. dollars in millions): Fair value measurements Foreign currency forward contracts, net asset (liability) Interest rate contracts, net asset (liability) September 30, December 31, September 30, December 31, Quoted prices in active markets for identical assets (Level 1) $ — $ — $ — $ — Significant observable inputs (Level 2) 3.5 (13.7) 15.1 (29.4) Significant unobservable inputs (Level 3) — — — — |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Schedule of accumulated other comprehensive income (loss) | The following table includes the changes in accumulated other comprehensive loss by component (U.S. dollars in millions): Changes in Accumulated Other Comprehensive Loss by Component (1) Cash Flow Hedges Foreign Currency Translation Adjustment Retirement Benefit Adjustment Total Nine months ended September 30, 2022 Balance at December 31, 2021 $ (40.9) $ (17.4) $ (8.6) $ (66.9) Other comprehensive income (loss) 66.4 (3) (35.5) (2) 0.2 31.1 Amounts reclassified from accumulated (10.4) — 1.0 (9.4) Net current period other comprehensive 56.0 (35.5) 1.2 21.7 Balance at September 30, 2022 $ 15.1 $ (52.9) $ (7.4) $ (45.2) Nine months ended October 1, 2021 Balance at January 1, 2021 $ (49.6) $ (3.3) $ (24.1) $ (77.0) Other comprehensive income (loss) 10.2 (3) (9.2) (2) (1.9) (0.9) Amounts reclassified from accumulated 2.1 (4) — 0.7 2.8 Net current period other comprehensive 12.3 (9.2) (1.2) 1.9 Balance at October 1, 2021 $ (37.3) $ (12.5) $ (25.3) $ (75.1) (1) All amounts are net of tax and noncontrolling interest. (2) Includes a loss of $11.0 million and $4.2 million for the nine months ended September 30, 2022 and nine months ended October 1, 2021, respectively, on intra-entity foreign currency transactions that are of a long-term-investment nature. (3) Includes a tax effect of $(5.7) million and $(1.9) million for the nine months ended September 30, 2022 and nine months ended October 1, 2021, respectively. (4) Includes amounts reclassified for both designated and dedesignated cash flow hedges. Refer to the following table for the amounts of each. |
Amounts reclassified from accumulated other comprehensive (loss) income | The following table includes details about amounts reclassified from accumulated other comprehensive loss by component (U.S. dollars in millions): Amount of (gain) loss reclassified from accumulated other comprehensive loss September 30, 2022 October 1, 2021 Details about accumulated other comprehensive loss components Quarter ended Nine months ended Quarter ended Nine months ended Affected line item in the statement where net income is presented Cash flow hedges: Designated as hedging instruments: Foreign currency cash flow hedges $ (10.4) $ (19.8) $ (1.5) $ (0.8) Net sales Foreign currency cash flow hedges (0.2) 3.9 (0.6) — Cost of products sold Interest rate swaps 0.7 5.5 2.8 8.5 Interest expense Bunker fuel swaps no longer designated as hedging instruments — — (1.4) (4.6) Cost of products sold Bunker fuel swaps no longer designated as hedging instruments — — — (1.0) Other expense, net Total $ (9.9) $ (10.4) $ (0.7) $ 2.1 Amortization of retirement benefits: Actuarial losses 0.2 0.6 0.2 0.7 Other expense, net Curtailment and settlement losses 0.4 0.4 — — Other expense, net Total $ 0.6 $ 1.0 $ 0.2 $ 0.7 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
Schedule of dividend activity | The below is a summary of the dividends paid per share during the nine months ended September 30, 2022 and October 1, 2021. These dividends were declared and paid within the same fiscal quarter. Nine months ended September 30, 2022 October 1, 2021 Dividend Payment Date Cash Dividend per Ordinary Share Dividend Payment Date Cash Dividend per Ordinary Share September 9, 2022 $ 0.15 September 10, 2021 $ 0.15 June 10, 2022 0.15 June 11, 2021 0.10 April 1, 2022 0.15 April 2, 2021 0.10 |
General (Details)
General (Details) | 9 Months Ended |
Sep. 30, 2022 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of Reportable Segments | 3 |
Asset Impairment and Other Ch_3
Asset Impairment and Other Charges (Credits), Net - Asset Impairment and Exit Activity Charges (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | $ 0 | $ 0.3 | $ 0.2 | $ 0.3 |
Exit activity and other (credits) charges | (9.8) | (0.2) | (8.3) | (0.6) |
Adjustment of Kunia Well Site environmental liability in Hawaii | (9.9) | 0 | ||
Total | (9.8) | 0.1 | (8.1) | (0.3) |
Other Restructuring | Fresh and value-added products | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0 | 0 | 0 |
Exit activity and other (credits) charges | 0 | 0 | 0.1 | (0.1) |
Total | 0 | 0 | 0.1 | (0.1) |
Employee Severance | Other | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0 | ||
Exit activity and other (credits) charges | 0 | 1 | ||
Total | 0 | 1 | ||
Central America | Insurance settlement | Banana | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0 | ||
Exit activity and other (credits) charges | 0 | (0.8) | ||
Total | 0 | (0.8) | ||
Europe | Exit costs | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Exit activity and other (credits) charges | 0.4 | 0.3 | ||
Europe | Exit costs | Banana | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0 | ||
Exit activity and other (credits) charges | 0 | 0.4 | ||
Total | 0 | 0.4 | ||
Europe | Exit costs | Fresh and value-added products | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0 | ||
Exit activity and other (credits) charges | (0.2) | 0.3 | ||
Total | (0.2) | 0.3 | ||
North America | Impairment Charges | Fresh and value-added products | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0 | ||
Adjustment of Kunia Well Site environmental liability in Hawaii | (9.9) | (9.9) | ||
South America | Impairment Charges | Fresh and value-added products | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0 | 0.2 | ||
Exit activity and other (credits) charges | 0.1 | 0.1 | ||
Total | $ 0.1 | $ 0.3 | ||
Philippines | Other Restructuring | Banana | ||||
Schedule of Asset Impairment and Other Charges (Credits) [Line Items] | ||||
Long-lived and other asset impairment | 0.3 | 0.3 | ||
Exit activity and other (credits) charges | 0 | 0 | ||
Total | $ 0.3 | $ 0.3 |
Income Taxes (Details)
Income Taxes (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 USD ($) | Oct. 01, 2021 USD ($) | Sep. 30, 2022 USD ($) jurisdiction | Oct. 01, 2021 USD ($) | |
Income Taxes [Line Items] | ||||
Provision for income taxes | $ 3.3 | $ (6.6) | $ 13.9 | $ 9.1 |
Provisions relating to change in assertion that certain foreign earnings are no longer deemed permanently reinvested | 1.5 | 1.5 | ||
Tax benefit associated with the net operating loss carryback provision of CARES Act | $ 0.8 | |||
Tax Year 2016 | ||||
Income Taxes [Line Items] | ||||
Real estate collateral, fair market value | 6 | 6 | ||
Real estate collateral, net book value | 3.8 | 3.8 | ||
Tax Year 2012 to 2015 | ||||
Income Taxes [Line Items] | ||||
Real estate collateral, fair market value | 24 | 24 | ||
Real estate collateral, net book value | $ 4.6 | $ 4.6 | ||
Foreign tax authority | ||||
Income Taxes [Line Items] | ||||
Number of jurisdictions under examination | jurisdiction | 2 | |||
Income tax examination, estimate of tax deficiencies | $ 144.3 |
Allowance for Credit Losses - N
Allowance for Credit Losses - Narrative (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Sep. 30, 2022 | Dec. 31, 2021 | Oct. 01, 2021 | Jan. 01, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Trade Receivable, after Allowance for Credit Loss, Current | $ 346.6 | $ 342.9 | ||
Trade Receivable, Allowance for Credit Loss, Current | 22.1 | 21.8 | ||
Trade Receivable, Allowance for Credit Loss | 9.5 | $ 10.2 | $ 13.1 | $ 15.1 |
Contract with Customer, Asset, Allowance for Credit Loss | $ 12.6 | |||
Average annual loss rate period (in years) | 3 years | |||
Minimum | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Advances to growers, term | 1 year | |||
Longer Term Advances to Growers | Maximum | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Advances to growers, term | 5 years |
Allowance for Credit Losses - R
Allowance for Credit Losses - Rollforward of Trade Receivable Allowance for Credit Losses (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Oct. 01, 2021 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | $ 10.2 | $ 15.1 |
Provision for uncollectible amounts | 0.2 | 0.6 |
Deductions to allowance related to write-offs | (0.3) | 0 |
Foreign exchange effects | (0.3) | 0 |
Reclassifications | (0.3) | (2.6) |
Balance, end of period | $ 9.5 | $ 13.1 |
Allowance for Credit Losses - A
Allowance for Credit Losses - Advances to Growers Along with the Related Allowance for Doubtful Accounts (Details) - Advances to Growers - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Current | ||
Gross advances to growers and suppliers | $ 45.2 | $ 40.6 |
Past-Due | ||
Gross advances to growers and suppliers | $ 5.2 | $ 5.5 |
Allowance for Credit Losses -_2
Allowance for Credit Losses - Allowance for Doubtful Accounts and Related Financing Receivables (Details) - Advances to Growers - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Oct. 01, 2021 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | $ 1.8 | $ 2.1 |
Provision for uncollectible amounts | 1.3 | (0.2) |
Deductions to allowance related to write-offs | (0.1) | (0.2) |
Balance, end of period | $ 3 | $ 1.7 |
Share-Based Compensation - Narr
Share-Based Compensation - Narrative (Details) | 9 Months Ended | ||||||||||
Jul. 06, 2022 shares | Jun. 15, 2022 shares | Jun. 02, 2022 shares | Oct. 01, 2021 shares | May 04, 2021 shares | Mar. 30, 2021 shares | Mar. 01, 2021 shares | Sep. 30, 2022 shares | Sep. 30, 2022 | Sep. 30, 2022 installment | Sep. 30, 2022 anniversaryDate | |
2022 Omnibus Share Incentive Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 2,800,000 | ||||||||||
Number of shares issued on contingent right to receive, per RSU or PSU | 1 | ||||||||||
2014 Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares remaining avaialable | 230,000 | ||||||||||
Restricted Stock Units (RSUs) | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Options, vest in equal installments | 3 | 4 | |||||||||
Restricted Stock Units (RSUs) | Minimum | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of units granted (as a percent) | 0% | ||||||||||
Restricted Stock Units (RSUs) | Maximum | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of units granted (as a percent) | 100% | ||||||||||
Restricted Stock Units (RSUs) | 2022 Omnibus Share Incentive Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares of restricted stock awarded (shares) | 105,614 | 41,307 | |||||||||
Restricted Stock Units (RSUs) | 2014 Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Options, percent that vest immediately | 20% | ||||||||||
Vesting rights percentage at each anniversaries | 20% | ||||||||||
Shares of restricted stock awarded (shares) | 3,041 | 30,317 | 2,500 | 290,021 | |||||||
Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Options, vest in equal installments | 3 | 3 | |||||||||
Performance Shares | 2022 Omnibus Share Incentive Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares of restricted stock awarded (shares) | 101,672 | 46,222 | |||||||||
Performance Shares | 2014 Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares of restricted stock awarded (shares) | 118,192 |
Stock-based compensation expens
Stock-based compensation expense included in selling, general and administrative expenses - Table (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
RSUs/PSUs | Selling, General and Administrative Expenses | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense | $ 2.1 | $ 2.1 | $ 4.9 | $ 5.8 |
Share-Based Compensation - RSU
Share-Based Compensation - RSU and PSUs awarded - Table (Details) - $ / shares | Jul. 06, 2022 | Jun. 15, 2022 | Jun. 02, 2022 | Oct. 01, 2021 | May 04, 2021 | Mar. 30, 2021 | Mar. 01, 2021 |
2014 Plan | Restricted Stock Units (RSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares of restricted stock awarded (shares) | 3,041 | 30,317 | 2,500 | 290,021 | |||
Price per share (usd per share) | $ 32.22 | $ 28.86 | $ 28.67 | $ 25.85 | |||
2014 Plan | Performance Shares | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares of restricted stock awarded (shares) | 118,192 | ||||||
Price per share (usd per share) | $ 25.85 | ||||||
2022 Omnibus Share Incentive Plan | Restricted Stock Units (RSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares of restricted stock awarded (shares) | 105,614 | 41,307 | |||||
Price per share (usd per share) | $ 23.71 | $ 25.42 | |||||
2022 Omnibus Share Incentive Plan | Performance Shares | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares of restricted stock awarded (shares) | 101,672 | 46,222 | |||||
Price per share (usd per share) | $ 31.27 | $ 23.71 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 194.1 | $ 197.9 |
Raw materials and packaging supplies | 224.3 | 203.2 |
Growing crops | 203.1 | 201.7 |
Total inventories, net | $ 621.5 | $ 602.8 |
Debt and Finance Lease Obliga_3
Debt and Finance Lease Obligations - Schedule of Debt and Finance Lease Obligations (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Long-Term Debt and Lease Obligation [Abstract] | ||
Senior unsecured revolving credit facility | $ 486.1 | $ 519.1 |
Finance lease obligations | 8.9 | 9.9 |
Total debt and finance lease obligations | 495 | 529 |
Less: Current maturities | (1.3) | (1.3) |
Long-term debt and finance lease obligations | $ 493.7 | $ 527.7 |
Debt and Finance Lease Obliga_4
Debt and Finance Lease Obligations - Schedule of material terms of the credit facility and other working capital facilities (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Oct. 01, 2019 | Sep. 30, 2022 | Sep. 13, 2022 | |
Debt Instrument [Line Items] | |||
Borrowing limit | $ 944.4 | ||
Available borrowings | 439.4 | ||
Other Working Capital Facilities | |||
Debt Instrument [Line Items] | |||
Borrowing limit | 19.4 | ||
Available borrowings | $ 10.1 | ||
Revolving Credit Facility | Unsecured Debt | |||
Debt Instrument [Line Items] | |||
Term | 5 years | 5 years | |
Debt Instrument, Maturity Date, Description | October 1, 2024 | ||
Interest rate | 4% | ||
Borrowing limit | $ 1,100 | $ 900 | |
Available borrowings | $ 413.9 | ||
Rabobank Nederland | |||
Debt Instrument [Line Items] | |||
Term | 364 days | ||
Debt Instrument, Maturity Date, Description | June 14, 2023 | ||
Borrowing limit | $ 25 | ||
Available borrowings | $ 15.4 |
Debt and Finance Lease Obliga_5
Debt and Finance Lease Obligations - Narrative (Details) - USD ($) $ in Millions | 9 Months Ended | ||||
Jun. 15, 2022 | Oct. 01, 2019 | Sep. 30, 2022 | Sep. 13, 2022 | Dec. 31, 2021 | |
Line of Credit Facility [Line Items] | |||||
Borrowing limit | $ 944.4 | ||||
Amount outstanding | 27.9 | ||||
Other Working Capital Facilities | |||||
Line of Credit Facility [Line Items] | |||||
Borrowing limit | $ 19.4 | ||||
Revolving Credit Facility | Unsecured Debt | |||||
Line of Credit Facility [Line Items] | |||||
Term | 5 years | 5 years | |||
Borrowing limit | $ 1,100 | $ 900 | |||
Line of Credit Facility, Increase (Decrease), Net | $ 300 | ||||
Debt Instrument, Covenant Description | 25 million | ||||
Line of Credit Facility, Capacity Available for Trade Purchases | $ 150 | ||||
Revolving Credit Facility | Unsecured Debt | London Interbank Offered Rate (LIBOR) | |||||
Line of Credit Facility [Line Items] | |||||
Basis spread on variable rate | 1.375% | ||||
Revolving Credit Facility | Unsecured Debt | Other non-current assets | |||||
Line of Credit Facility [Line Items] | |||||
Capitalized debt issuance costs | $ 0.7 | $ 1.3 | |||
Rabobank Nederland | |||||
Line of Credit Facility [Line Items] | |||||
Term | 364 days | ||||
Borrowing limit | $ 25 | ||||
Expiration period | 364 days | ||||
Amount outstanding | $ 25 | ||||
Minimum | Eurodollar [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 1% | ||||
Minimum | Base Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 0% | ||||
Minimum | Revolving Credit Facility | Unsecured Debt | |||||
Line of Credit Facility [Line Items] | |||||
Debt Instrument, Covenant Description | 2.25 | ||||
Maximum | |||||
Line of Credit Facility [Line Items] | |||||
Credit Agreement term in percentage | 50% | ||||
Maximum | Eurodollar [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 1.50% | ||||
Maximum | Base Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 0.50% | ||||
Maximum | Unsecured Debt | |||||
Line of Credit Facility [Line Items] | |||||
Debt Instrument, Covenant Description | 2.50 | ||||
Maximum | Revolving Credit Facility | |||||
Line of Credit Facility [Line Items] | |||||
Debt Instrument, Covenant Description | 3.50 | ||||
Maximum | Revolving Credit Facility | Unsecured Debt | |||||
Line of Credit Facility [Line Items] | |||||
Debt Instrument, Covenant Description | 3.25 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2022 USD ($) | Sep. 30, 2022 USD ($) | Oct. 01, 2021 USD ($) | Dec. 31, 1980 subsidiary | |
Commitments and Contingencies Disclosure [Line Items] | ||||
Adjustment of Kunia Well Site environmental liability in Hawaii | $ (9.9) | $ 0 | ||
North America | Impairment Charges | Fresh and value-added products | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Adjustment of Kunia Well Site environmental liability in Hawaii | $ (9.9) | (9.9) | ||
Kunia Well Site | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Number of plaintiffs | subsidiary | 1 | |||
Kunia Well Site cleanup operation, undiscounted estimated remediation costs associated with the cleanup | 2.9 | 2.9 | ||
Accrual for environmental loss contingencies, undiscounted, due within one year | 0.2 | 0.2 | ||
Accrual for environmental loss contingencies, undiscounted, due in second year | 0.3 | 0.3 | ||
Accrual for environmental loss contingencies, undiscounted, due in third year | 0.1 | 0.1 | ||
Accrual for environmental loss contingencies, undiscounted, due in fourth year | 0.1 | 0.1 | ||
Accrual for environmental loss contingencies, undiscounted, due in fifth year | 0.1 | 0.1 | ||
Kunia Well Site | Other noncurrent liabilities | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Kunia Well Site cleanup operation, accrual for the expected future clean-up costs | 2.5 | 2.5 | ||
Kunia Well Site | Accounts payable and accrued expenses | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Kunia Well Site cleanup operation, accrual for the expected future clean-up costs | $ 0.4 | $ 0.4 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Numerator: | ||||
Net income attributable to Fresh Del Monte Produce Inc. | $ 33.3 | $ 1.3 | $ 80.3 | $ 91.2 |
Denominator: | ||||
Weighted average number of ordinary shares - Basic (shares) | 47,835,057 | 47,535,873 | 47,775,312 | 47,494,168 |
Effect of dilutive securities - share-based employee options and awards (shares) | 149,018 | 207,885 | 133,849 | 166,887 |
Weighted average number of ordinary shares - Diluted (shares) | 47,984,075 | 47,743,758 | 47,909,161 | 47,661,055 |
Antidilutive awards (shares) | 69,900 | 415 | 69,900 | 415 |
Net income per ordinary share attributable to Fresh Del Monte Produce Inc.: | ||||
Basic (usd per share) | $ 0.70 | $ 0.03 | $ 1.68 | $ 1.92 |
Diluted (usd per share) | $ 0.69 | $ 0.03 | $ 1.68 | $ 1.91 |
Retirement and Other Employee_3
Retirement and Other Employee Benefits (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
United States | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 1.5 | $ 1.5 | $ 4.4 | $ 4.5 |
Interest cost | 1.3 | 1.3 | 4 | 4 |
Expected return on assets | (0.6) | (0.5) | (2) | (1.6) |
Amortization of net actuarial loss | 0.2 | 0.1 | 0.5 | 0.4 |
Net periodic benefit costs | 2.4 | 2.4 | 6.9 | 7.3 |
Foreign Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net periodic benefit costs | $ 1.4 | $ 0.9 | $ 3.1 | $ 2.7 |
Business Segment Data - Segment
Business Segment Data - Segment Reconciliations (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 1,053.5 | $ 1,004.8 | $ 3,402.4 | $ 3,234.6 |
Gross profit | 88 | 48.9 | 258.5 | 264 |
North America | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 658.7 | 622 | 2,093.1 | 1,951.2 |
Europe | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 169.9 | 150.7 | 570.8 | 531.2 |
Asia | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 105.8 | 111.9 | 353.4 | 380.2 |
Middle East | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 102.9 | 108.2 | 317.6 | 323 |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 16.2 | 12 | 67.5 | 49 |
Fresh and value-added products | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 599.8 | 601.2 | 2,004.9 | 1,906 |
Gross profit | 55.1 | 41.6 | 148.9 | 152.1 |
Fresh and value-added products | Prior Period Reclassification Adjustment | ||||
Segment Reporting Information [Line Items] | ||||
Gross profit | 0.7 | 2.3 | ||
Banana | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 388.4 | 365.3 | 1,216.1 | 1,210.2 |
Gross profit | 22.6 | 3.7 | 82.6 | 101.8 |
Banana | Prior Period Reclassification Adjustment | ||||
Segment Reporting Information [Line Items] | ||||
Gross profit | 1.3 | 3.6 | ||
Other products and services | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 65.3 | 38.3 | 181.4 | 118.4 |
Gross profit | $ 10.3 | 3.6 | $ 27 | 10.1 |
Other products and services | Prior Period Reclassification Adjustment | ||||
Segment Reporting Information [Line Items] | ||||
Gross profit | $ 2 | $ 5.9 |
Business Segment Data - Net Sal
Business Segment Data - Net Sales By Product (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 1,053.5 | $ 1,004.8 | $ 3,402.4 | $ 3,234.6 |
Fresh and value-added products | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 599.8 | 601.2 | 2,004.9 | 1,906 |
Fresh and value-added products | Fresh-cut fruit | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 140.5 | 131.8 | 407.9 | 380 |
Fresh and value-added products | Fresh-cut vegetables | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 86.4 | 95.5 | 259.5 | 277.7 |
Fresh and value-added products | Pineapples | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 147.2 | 128.5 | 445 | 400.3 |
Fresh and value-added products | Avocados | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 63.8 | 78.3 | 261.4 | 248 |
Fresh and value-added products | Non-tropical fruit | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 28.4 | 33.7 | 155.9 | 152 |
Fresh and value-added products | Prepared foods | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 69.2 | 64.3 | 217.8 | 211.6 |
Fresh and value-added products | Melons | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 5 | 4.7 | 74.5 | 49.6 |
Fresh and value-added products | Tomatoes | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 4.4 | 6.1 | 17.4 | 24.1 |
Fresh and value-added products | Vegetables | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 32.2 | 34.8 | 97.7 | 98.4 |
Fresh and value-added products | Other fruit and vegetables | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 22.7 | 23.5 | 67.8 | 64.3 |
Banana | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 388.4 | 365.3 | 1,216.1 | 1,210.2 |
Other products and services | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 65.3 | $ 38.3 | $ 181.4 | $ 118.4 |
Sales | Product Concentration Risk | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 100% | 100% | 100% | 100% |
Sales | Product Concentration Risk | Fresh and value-added products | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 57% | 60% | 59% | 59% |
Sales | Product Concentration Risk | Fresh and value-added products | Fresh-cut fruit | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 14% | 13% | 11% | 11% |
Sales | Product Concentration Risk | Fresh and value-added products | Fresh-cut vegetables | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 8% | 10% | 8% | 9% |
Sales | Product Concentration Risk | Fresh and value-added products | Pineapples | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 14% | 13% | 13% | 12% |
Sales | Product Concentration Risk | Fresh and value-added products | Avocados | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 6% | 8% | 8% | 8% |
Sales | Product Concentration Risk | Fresh and value-added products | Non-tropical fruit | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 3% | 3% | 5% | 5% |
Sales | Product Concentration Risk | Fresh and value-added products | Prepared foods | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 7% | 6% | 6% | 7% |
Sales | Product Concentration Risk | Fresh and value-added products | Melons | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 0% | 0% | 2% | 1% |
Sales | Product Concentration Risk | Fresh and value-added products | Tomatoes | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 0% | 1% | 1% | 1% |
Sales | Product Concentration Risk | Fresh and value-added products | Vegetables | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 3% | 4% | 3% | 3% |
Sales | Product Concentration Risk | Fresh and value-added products | Other fruit and vegetables | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 2% | 2% | 2% | 2% |
Sales | Product Concentration Risk | Banana | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 37% | 36% | 36% | 37% |
Sales | Product Concentration Risk | Other products and services | ||||
Segment Reporting Information [Line Items] | ||||
Concentration risk (as a percent) | 6% | 4% | 5% | 4% |
Derivative Financial Instrume_3
Derivative Financial Instruments - Outstanding Foreign Currency Forward Contracts that were Entered into to Hedge Forecasted Cash Flows (Details) € in Millions, ₩ in Millions, ¥ in Millions, £ in Millions, Ksh in Millions, $ in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2022 USD ($) | Oct. 01, 2021 USD ($) | Sep. 30, 2022 USD ($) | Oct. 01, 2021 USD ($) | Sep. 30, 2022 EUR (€) | Sep. 30, 2022 GBP (£) | Sep. 30, 2022 JPY (¥) | Sep. 30, 2022 CLP ($) | Sep. 30, 2022 KES (Ksh) | Sep. 30, 2022 KRW (₩) | |
Derivative [Line Items] | ||||||||||
Other expense, net | $ (9.1) | $ (1.8) | $ (15.7) | $ (5.6) | ||||||
Foreign exchange contracts | ||||||||||
Derivative [Line Items] | ||||||||||
Notional amount | € 55 | £ 6.3 | ¥ 2,325.9 | $ 29,302.8 | Ksh 702 | ₩ 5,478 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Derivative [Line Items] | ||||
Derivative, Net Liability Position, Aggregate Fair Value | $ 11.8 | $ 11.8 | ||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | 10.6 | |||
Cash Flow Hedge Gain (Loss) to be Reclassified during the next 6 years | (6.7) | (6.7) | ||
Other expense, net | (9.1) | $ (1.8) | $ (15.7) | $ (5.6) |
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimate of Time to Transfer | 6 years | |||
Net amount of gain (loss) recognized in other comprehensive income (loss) on derivatives | 11.6 | $ (5.7) | $ 56 | $ 12.3 |
Bunker Fuel Hedges | 0 | 0 | ||
Interest Rate Contracts | ||||
Derivative [Line Items] | ||||
Notional amount | 400 | 400 | ||
Interest Rate Contracts | 2024 | ||||
Derivative [Line Items] | ||||
Notional amount | 200 | 200 | ||
Interest Rate Contracts | 2028 | ||||
Derivative [Line Items] | ||||
Notional amount | $ 200 | $ 200 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Fair Values of Derivative Instruments (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Derivatives, Fair Value [Line Items] | ||
Foreign currency forward contracts, assets | $ 15.3 | $ 0.5 |
Interest rate swaps, asset | 15.1 | 0 |
Total | 30.4 | 0.5 |
Foreign currency forward contracts, Liability | 11.8 | 14.2 |
Interest rate swaps, liability | 0 | 29.4 |
Total | 11.8 | 43.6 |
Cash Flow Hedge Gain (Loss) to be Reclassified during the next 6 years | (6.7) | |
Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency forward contracts, assets | 15.3 | 0.5 |
Interest rate swaps, asset | 0 | 0 |
Total | 15.3 | 0.5 |
Other non-current assets | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency forward contracts, assets | 0 | 0 |
Interest rate swaps, asset | 15.1 | 0 |
Total | 15.1 | 0 |
Accounts payable and accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency forward contracts, Liability | 8.9 | 8.1 |
Interest rate swaps, liability | 0 | 0 |
Total | 8.9 | 8.1 |
Other noncurrent liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency forward contracts, Liability | 2.9 | 6.1 |
Interest rate swaps, liability | 0 | 29.4 |
Total | $ 2.9 | $ 35.5 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Effect on Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net amount of gain (loss) recognized in other comprehensive income (loss) on derivatives | $ 11.6 | $ (5.7) | $ 56 | $ 12.3 |
Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net amount of gain (loss) recognized in other comprehensive income (loss) on derivatives | (2.6) | (6.7) | 17.2 | (0.1) |
Bunker fuel swaps | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net amount of gain (loss) recognized in other comprehensive income (loss) on derivatives | 0 | (1.4) | 0 | (0.5) |
Interest rate swaps, net of tax | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net amount of gain (loss) recognized in other comprehensive income (loss) on derivatives | $ 14.2 | $ 2.4 | $ 38.8 | $ 12.9 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Summary of fair values of assets and liabilities measured on recurring basis (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Dec. 31, 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Proceeds from sales of property, plant and equipment | $ 7.6 | $ 12.5 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreign currency forward contracts, net asset (liability) | 0 | $ 0 | |
Interest rate contracts, net asset (liability) | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Observable Inputs (Level 2) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreign currency forward contracts, net asset (liability) | 3.5 | (13.7) | |
Interest rate contracts, net asset (liability) | 15.1 | (29.4) | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreign currency forward contracts, net asset (liability) | 0 | 0 | |
Interest rate contracts, net asset (liability) | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2022 USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Proceeds from sale of property held-for-sale | $ 6.9 |
Gain on disposal of property, plant and equipment, net | 1.8 |
Property, Plant and Equipment | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Assets held for sale related to discontinuance of different assets | 61.3 |
Property, Plant and Equipment | United States | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Assets held for sale related to discontinuance of different assets | 16.2 |
Property, Plant and Equipment | Middle East | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Assets held for sale related to discontinuance of different assets | 37.9 |
Property, Plant and Equipment | South America | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Assets held for sale related to discontinuance of different assets | 4 |
Property, Plant and Equipment | Europe | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Assets held for sale related to discontinuance of different assets | 2.2 |
Property, Plant and Equipment | Central America | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Assets held for sale related to discontinuance of different assets | $ 1 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Changes in OCI (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Oct. 01, 2021 | |
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance, value | $ 1,824 | |
Other comprehensive (loss) income, before reclassifications | 31.1 | $ (0.9) |
Amounts reclassified from accumulated other comprehensive (loss) income | (9.4) | 2.8 |
Net current period other comprehensive (loss) income | 21.7 | 1.9 |
Balance, value | 1,908.7 | |
Foreign currency transaction and translation gain (loss) | 11 | 4.2 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, Tax | (5.7) | (1.9) |
Cash Flow Hedges | ||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance, value | (40.9) | (49.6) |
Other comprehensive (loss) income, before reclassifications | 66.4 | 10.2 |
Amounts reclassified from accumulated other comprehensive (loss) income | (10.4) | 2.1 |
Net current period other comprehensive (loss) income | 56 | 12.3 |
Balance, value | 15.1 | (37.3) |
Foreign Currency Translation Adjustment | ||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance, value | (17.4) | (3.3) |
Other comprehensive (loss) income, before reclassifications | (35.5) | (9.2) |
Amounts reclassified from accumulated other comprehensive (loss) income | 0 | 0 |
Net current period other comprehensive (loss) income | (35.5) | (9.2) |
Balance, value | (52.9) | (12.5) |
Retirement Benefit Adjustment | ||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance, value | (8.6) | (24.1) |
Other comprehensive (loss) income, before reclassifications | 0.2 | (1.9) |
Amounts reclassified from accumulated other comprehensive (loss) income | 1 | 0.7 |
Net current period other comprehensive (loss) income | 1.2 | (1.2) |
Balance, value | (7.4) | (25.3) |
Total | ||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance, value | (66.9) | (77) |
Balance, value | $ (45.2) | $ (75.1) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Reclassification from OCI (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, Tax | $ (5.7) | $ (1.9) | ||
Net sales | $ 1,053.5 | $ 1,004.8 | 3,402.4 | 3,234.6 |
Cost of products sold | (965.5) | (955.9) | (3,143.9) | (2,970.6) |
Interest expense | (6.2) | (4.8) | (17.3) | (15.4) |
Total | 33.3 | 1.3 | 80.3 | 91.2 |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | Cash flow hedges: | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net sales | (10.4) | (1.5) | (19.8) | (0.8) |
Cost of products sold | (0.2) | (0.6) | 3.9 | 0 |
Interest expense | 0.7 | 2.8 | 5.5 | 8.5 |
Total | (9.9) | (0.7) | (10.4) | 2.1 |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | Cash flow hedges: | Not Designated as Hedging Instrument [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Cost of products sold | 0 | (1.4) | 0 | (4.6) |
Other expense, net | 0 | 0 | 0 | (1) |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | Amortization of retirement benefits: | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Total | 0.6 | 0.2 | 1 | 0.7 |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | Actuarial losses | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other expense, net | 0.2 | 0.2 | 0.6 | 0.7 |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | Curtailment and settlement losses | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other expense, net | $ 0.4 | $ 0 | $ 0.4 | $ 0 |
Shareholders' Equity - Narrativ
Shareholders' Equity - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||||||
Nov. 01, 2022 | Sep. 09, 2022 | Jun. 10, 2022 | Apr. 01, 2022 | Sep. 10, 2021 | Jun. 11, 2021 | Apr. 02, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | Dec. 31, 2021 | |
Class of Stock [Line Items] | ||||||||||||
Preferred shares, shares authorized (shares) | 50,000,000 | 50,000,000 | 50,000,000 | |||||||||
Preferred shares, par value (usd per share) | $ 0.01 | $ 0.01 | $ 0.01 | |||||||||
Preferred shares, issued (shares) | 0 | 0 | 0 | |||||||||
Preferred shares, outstanding (shares) | 0 | 0 | 0 | |||||||||
Ordinary shares, authorized (shares) | 200,000,000 | 200,000,000 | 200,000,000 | |||||||||
Ordinary shares, par value (usd per share) | $ 0.01 | $ 0.01 | $ 0.01 | |||||||||
Ordinary shares, issued (shares) | 47,836,339 | 47,836,339 | 47,554,695 | |||||||||
Ordinary shares, outstanding (shares) | 47,836,339 | 47,836,339 | 47,554,695 | |||||||||
Dividends declared per ordinary share (usd per share) | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.10 | $ 0.10 | $ 0.15 | $ 0.15 | $ 0.45 | $ 0.35 | ||
Payments of dividends, common stock | $ 21.5 | $ 16.6 | ||||||||||
Subsequent Event | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Dividends declared per ordinary share (usd per share) | $ 0.15 |
Shareholders' Equity - Dividend
Shareholders' Equity - Dividends (Details) - $ / shares | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 09, 2022 | Jun. 10, 2022 | Apr. 01, 2022 | Sep. 10, 2021 | Jun. 11, 2021 | Apr. 02, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2022 | Oct. 01, 2021 | |
Stockholders' Equity Note [Abstract] | ||||||||||
Cash Dividend Declared, per Ordinary Share (usd per share) | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.10 | $ 0.10 | $ 0.15 | $ 0.15 | $ 0.45 | $ 0.35 |