Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 28, 2019 | Mar. 12, 2020 | Jun. 29, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 28, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 1-5039 | ||
Entity Registrant Name | WEIS MARKETS INC | ||
Entity Incorporation, State or Country Code | PA | ||
Entity Tax Identification Number | 24-0755415 | ||
Entity Address, Address Line One | 1000 S. Second Street | ||
Entity Address, Address Line Two | P. O. Box 471 | ||
Entity Address, City or Town | Sunbury | ||
Entity Address, State or Province | PA | ||
Entity Address, Postal Zip Code | 17801-0471 | ||
City Area Code | 570 | ||
Local Phone Number | 286-4571 | ||
Title of 12(b) Security | Common stock, no par value | ||
Trading Symbol | WMK | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 368,000,000 | ||
Entity Common Stock, Shares Outstanding | 26,898,443 | ||
Documents Incorporated by Reference [Text Block] | DOCUMENTS INCORPORATED BY REFERENCE: Selected portions of the Weis Markets, Inc. definitive proxy statement dated March 12, 2020 are incorporated by reference in Part III of this Form 10-K. | ||
Amendment Flag | false | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2019 | ||
Entity Central Index Key | 0000105418 | ||
Current Fiscal Year End Date | --12-28 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Current: | ||
Cash and cash equivalents | $ 66,871 | $ 37,808 |
Marketable securities | 63,538 | 54,298 |
SERP investment | 18,935 | 14,686 |
Accounts receivable, net | 55,764 | 57,285 |
Inventories | 279,806 | 280,756 |
Prepaid expenses and other current assets | 23,378 | 24,289 |
Total current assets | 508,292 | 469,122 |
Property and equipment, net | 886,928 | 887,608 |
Operating lease right-to-use | 210,196 | 0 |
Goodwill | 52,330 | 52,330 |
Intangible and other assets, net | 17,816 | 22,951 |
Total assets | 1,675,562 | 1,432,011 |
Current: | ||
Accounts payable | 180,718 | 191,099 |
Accrued expenses | 39,528 | 45,354 |
Operating leases | 39,114 | 0 |
Accrued self-insurance | 15,719 | 15,516 |
Deferred revenue, net | 8,662 | 7,961 |
Income taxes payable | 8,197 | 7,283 |
Total current liabilities | 291,938 | 267,213 |
Postretirement benefit obligations | 22,143 | 18,110 |
Accrued self-insurance | 17,625 | 17,795 |
Operating leases | 179,654 | 0 |
Deferred income taxes | 97,041 | 90,793 |
Other | 8,416 | 15,201 |
Total liabilities | 616,817 | 409,112 |
Shareholders' Equity | ||
Common stock, no par value, 100,800,000 shares authorized, 33,047,807 shares issued, 26,898,443 shares outstanding | 9,949 | 9,949 |
Retained earnings | 1,198,173 | 1,163,545 |
Accumulated other comprehensive income (Net of deferred taxes of $593 in 2019 and $110 in 2018) | 1,480 | 262 |
Shareholders' equity before treasury stock | 1,209,602 | 1,173,756 |
Treasury stock at cost, 6,149,364 shares | (150,857) | (150,857) |
Total shareholders' equity | 1,058,745 | 1,022,899 |
Total liabilities and shareholders' equity | $ 1,675,562 | $ 1,432,011 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Consolidated Balance Sheets [Abstract] | ||
Common stock, par value | ||
Common stock, shares authorized | 100,800,000 | 100,800,000 |
Common stock, shares issued | 33,047,807 | 33,047,807 |
Common stock, shares outstanding | 26,898,443 | 26,898,443 |
Accumulated other comprehensive income, deferred taxes | $ 593 | $ 110 |
Treasury stock, shares | 6,149,364 | 6,149,364 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Consolidated Statements of Income [Abstract] | |||
Net sales | $ 3,543,299 | $ 3,509,270 | $ 3,466,807 |
Cost of sales, including advertising, warehousing and distribution expenses | 2,605,105 | 2,574,269 | 2,554,284 |
Gross profit on sales | 938,194 | 935,001 | 912,523 |
Operating, general and administrative expenses | 853,555 | 852,330 | 834,004 |
Income from operations | 84,639 | 82,671 | 78,519 |
Investment income (loss) and interest expense | 7,054 | (1,454) | 2,598 |
Other income (expense) | (3,049) | 919 | (2,094) |
Income before provision for income taxes | 88,644 | 82,136 | 79,023 |
Provision for income taxes | 20,661 | 19,398 | (19,391) |
Net income | $ 67,983 | $ 62,738 | $ 98,414 |
Weighted-average shares outstanding, basic and diluted | 26,898,443 | 26,898,443 | 26,898,443 |
Cash dividends per share | $ 1.24 | $ 1.21 | $ 1.20 |
Basic and diluted earnings per share | $ 2.53 | $ 2.33 | $ 3.66 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Consolidated Statements of Comprehensive Income [Abstract] | |||
Net income | $ 67,983 | $ 62,738 | $ 98,414 |
Available-for-sale marketable securities | |||
Unrealized holding gains (losses) arising during period (Net of deferred taxes of $498, $62 and $19, respectively) | 1,255 | (177) | (43) |
Accumulated change in effective tax rate | 1,042 | ||
Reclassification adjustment for (gains) losses included in net income (Net of deferred taxes of $14, $14 and $11, respectively) | (37) | 40 | 29 |
Other comprehensive income (loss), net of tax | 1,218 | (137) | 1,028 |
Comprehensive income, net of tax | $ 69,201 | $ 62,601 | $ 99,442 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Consolidated Statements of Comprehensive Income [Abstract] | |||
Unrealized holding gains (losses) arising during period, deferred taxes | $ 498 | $ 62 | $ 19 |
Reclassification adjustment for (gains) losses included in net income, deferred taxes | $ 14 | $ 14 | $ 11 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Total |
Balance, at Dec. 31, 2016 | $ 9,949 | $ 1,062,778 | $ 4,852 | $ (150,857) | $ 926,722 |
Balance, shares at Dec. 31, 2016 | 33,047,807 | 6,149,364 | |||
Net income | $ 0 | 98,414 | 0 | $ 0 | 98,414 |
Other comprehensive income (loss), net of reclassification adjustments and tax | 0 | 0 | (14) | 0 | (14) |
Dividends paid | 0 | (32,278) | 0 | 0 | (32,278) |
Balance, at Dec. 30, 2017 | $ 9,949 | 1,127,872 | 5,880 | $ (150,857) | 992,844 |
Balance, shares at Dec. 30, 2017 | 33,047,807 | 6,149,364 | |||
Cumulative effect of accounting principle adoption | $ 0 | (1,042) | 1,042 | $ 0 | 0 |
Net income | 0 | 62,738 | 0 | 0 | 62,738 |
Other comprehensive income (loss), net of reclassification adjustments and tax | 0 | 0 | (137) | 0 | (137) |
Dividends paid | 0 | (32,546) | 0 | 0 | (32,546) |
Balance, at Dec. 29, 2018 | $ 9,949 | 1,163,545 | 262 | $ (150,857) | 1,022,899 |
Balance, shares at Dec. 29, 2018 | 33,047,807 | 6,149,364 | |||
Cumulative effect of accounting principle adoption | $ 0 | 5,481 | (5,481) | $ 0 | 0 |
Net income | 0 | 67,983 | 0 | 0 | 67,983 |
Other comprehensive income (loss), net of reclassification adjustments and tax | 0 | 0 | 1,218 | 0 | 1,218 |
Dividends paid | 0 | (33,354) | 0 | 0 | (33,354) |
Balance, at Dec. 28, 2019 | $ 9,949 | $ 1,198,173 | $ 1,480 | $ (150,857) | $ 1,058,745 |
Balance, shares at Dec. 28, 2019 | 33,047,807 | 6,149,364 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Cash flows from operating activities: | |||
Net income | $ 67,983 | $ 62,738 | $ 98,414 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 93,706 | 93,567 | 85,415 |
(Gain) Loss on disposition of fixed assets | 782 | 1,274 | (700) |
Impairment of fixed assets | 0 | 1,532 | 0 |
(Gain) Loss on sale of marketable securities | (51) | 54 | 40 |
Unrealized (gain) loss in value of equity securities | (1,975) | 1,606 | 0 |
Deferred income taxes | 5,765 | 3,418 | (31,993) |
Unrealized (gain) loss in SERP | (135) | 1,883 | (1,114) |
Changes in operating assets and liabilities: | |||
Inventories | 950 | (1,247) | (2,726) |
Accounts receivable and prepaid expenses | 2,431 | (5,874) | 4,045 |
Accounts payable and other liabilities | (505) | (18,583) | 7,742 |
Income taxes | 913 | 9,330 | (422) |
Other | 1,822 | 565 | 446 |
Net cash provided by operating activities | 171,686 | 150,263 | 159,147 |
Cash flows from investing activities: | |||
Purchase of property and equipment | (101,456) | (95,696) | (95,857) |
Proceeds from the sale of property and equipment | 4,245 | 1,734 | 2,246 |
Purchase of marketable securities | (13,620) | (5,627) | (12,612) |
Proceeds from maturities of marketable securities | 5,985 | 6,550 | 8,442 |
Proceeds from the sale of marketable securities | 1,180 | 5,834 | 7,272 |
Purchase of intangible assets | (1,489) | (3,540) | (3,565) |
Change in SERP investment | (4,114) | (2,093) | (2,208) |
Net cash used in investing activities | (109,269) | (92,838) | (96,282) |
Cash flows from financing activities: | |||
Payments on long-term debt | 0 | (34,988) | (29,488) |
Dividends paid | (33,354) | (32,546) | (32,278) |
Net cash used in financing activities | (33,354) | (67,534) | (61,766) |
Net increase (decrease) in cash and cash equivalents | 29,063 | (10,109) | 1,099 |
Cash and cash equivalents at beginning of year | 37,808 | 47,917 | 46,818 |
Cash and cash equivalents at end of period | $ 66,871 | $ 37,808 | $ 47,917 |
Consolidated Statements Of Ca_2
Consolidated Statements Of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Consolidated Statements of Cash Flows [Abstract] | |||
Income taxes paid | $ 14,100 | $ 6,500 | $ 13,000 |
Interest paid | $ 65 | $ 383 | $ 973 |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 28, 2019 | |
Summary Of Significant Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | Note 1 Summary of Significant Accounting Policies The following is a summary of the significant accounting policies utilized in preparing the Company’s Consolidated Financial Statements: (a) Description of Business Weis Markets, Inc. is a Pennsylvania business corporation formed in 1924. The Company is engaged principally in the retail sale of food in Pennsylvania and surrounding states. The Company’s operations are reported as a single reportable segment. There was no material change in the nature of the Company's business during fiscal 2019 . (b) Definition of Fiscal Year The Company’s fiscal year ends on the last Saturday in December. Fiscal 2019 was comprised of 52 weeks, ending on December 28, 2019 . Fiscal 2018 was comprised of 52 weeks, ending on December 29, 2018 . Fiscal 2017 was comprised of 52 weeks, ending on December 30, 2017 . References to years in this Annual Report relate to fiscal years. (c) Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. (d) Use of Estimates Management of the Company has made a number of estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities to prepare these Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America. Actual results could differ from those estimates. (e) Cash and Cash Equivalents The Company maintains its cash balances in the form of core checking accounts and money market accounts. The Company maintains cash deposits with banks that at times exceed applicable insurance limits. The Company reduces its exposure to credit risk by maintaining such deposits with high quality financial institutions that management believes are creditworthy. The Company considers investments with an original maturity of three months or less to be cash equivalents. Investment amounts classified as cash equivalents as of December 28, 2019 and December 29, 2018 totaled $32.9 million and $5. 4 million , respectively. Consumer electronic payments accepted at the point of sale, including all credit card, debit card and electronic benefits transfer transactions that process in three days or less are classified as cash equivalents. Consumer electronic payment amounts classified as cash equivalents as of December 28, 2019 and December 29, 2018 totaled $23.1 million and $23.6 million, respectively. (f) Marketable Securities Marketable securities consist of municipal bonds and equity securities. The Company invests primarily in high-grade marketable debt securities. The Company classifies all of its marketable securities as available-for-sale. Available-for-sale securities are recorded at fair value as determined by quoted market price based on national markets. Unrealized holding gains and losses, net of the related tax effect, on municipal bonds are excluded from earnings and are reported as a separate component of shareholders’ equity until realized. Unrealized holding gains and losses on equity securities are recorded in investment income (loss) and interest expense. A decline in the fair value below cost that is deemed other than temporary results in a charge to earnings and the establishment of a new cost basis for the security. Dividend and interest income is recognized when earned. Realized gains and losses are included in earnings and are derived using the specific identification method for determining the cost of securities. Equity securities are measured at fair value and the unrealized holding gains and losses are recorded in investment income (loss) and interest expense. The Company recognized a $2.0 million gain in 2019 and a $1.6 million loss in 2018. (g) Accounts Receivable Accounts receivable are stated net of an allowance for uncollectible accounts of $2.8 million and $2.1 million as of December 28, 2019 and December 29, 2018 , respectively. The reserve balance relates to amounts due from pharmacy third party providers, retail customer returned checks, manufacturing customers, vendors and tenants. The Company maintains an allowance for the amount of receivables deemed to be uncollectible and calculates this amount based upon historical collection activity adjusted for current conditions. Note 1 Summary of Significant Accounting Policies (continued) (h) Inventories Inventories are valued at the lower of cost or net realizable value, using both the retail inventory and average cost methods. The retail inventory method is commonly used by retail companies to determine cost and calculate gross margin based on applying a cost-to-retail ratio to each similar merchandise category’s ending retail value. The Company’s center store and pharmacy inventories are valued using last in, first out (LIFO). The Company’s fresh inventories are valued using average cost. The Company evaluates inventory shortages throughout the year based on actual physical counts in its facilities. Allowances for inventory shortages are recorded based on the results of these counts and to provide for estimated shortages from the last physical count to the financial statement date. (i) Property and Equipment Property and equipment are recorded at cost. Depreciation is provided on the cost of buildings and improvements and equipment using the straight-line method. Leasehold improvements are amortized using the straight-line method over the terms of the leases or the useful lives of the assets, whichever is shorter. Maintenance and repairs are expensed and renewals and betterments are capitalized. When assets are retired or otherwise disposed of, the assets and accumulated depreciation are removed from the respective accounts and any profit or loss on the disposition is credited or charged to “Operating, general and administrative expenses.” (j) Leases The Company leases approximately 52% of its open store facilities under operating leases that expire at various dates through 2035, with the remaining store facilities being owned. These leases generally provide for fixed annual rentals; however, several provide for minimum annual rentals plus variable lease costs related to real estate taxes and insurance as well as contingent rentals based on a percentage of annual sales or increases periodically based on inflation. These variable lease costs are not included in the measurement of the operating lease right-to-use assets or lease liabilities and are charged to the related expense category included in “Operating, general and administrative expenses.” Most of the leases contain multiple renewal options, under which the Company may extend the lease terms from 5 to 20 years. Additionally, the Company has operating leases for certain transportation and other equipment. The Company leases or subleases space to tenants in owned, vacated and open store facilities. Rental income is recorded when earned as a component of “Operating, general and administrative expenses.” (k) Goodwill and Intangible Assets Goodwill is not amortized but tested for impairment on an annual basis and between annual tests when indicators of impairment are identified. Intangible assets with an indefinite useful life are not amortized until their useful life is determined to be no longer indefinite and are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. The Company’s intangible assets and related accumulated amortization at December 28, 2019 and December 29, 2018 consisted of the following: December 28, 2019 December 29, 2018 Accumulated Accumulated (dollars in thousands) Gross Amortization Net Gross Amortization Net Liquor licenses $ 14,905 $ - $ 14,905 $ 14,226 $ - $ 14,226 Asset acquisitions and other 5,083 2,888 2,195 11,870 4,975 6,895 Total $ 19,988 $ 2,888 $ 17,100 $ 26,096 $ 4,975 $ 21,121 Intangible assets with a definite useful life are generally amortized on a straight-line basis over periods up to 10 years for customer lists. Estimated amortization expense for the next five fiscal years is appro ximately $455 thousand in 2020, $444 thousand in 2021, $314 thousand in 2022, and $310 thousand in 2023 and 2024, respectively. As of December 28, 2019 , the Company’s intangible assets with indefinite lives consisted of goodwill and liquor licenses. Note 1 Summary of Significant Accounting Policies (continued) (l) Impairment of Long-Lived Assets The Company periodically evaluates the period of depreciation or amortization for long-lived assets to determine whether current circumstances warrant revised estimates of useful lives. The Company completes an impairment test annually. The Company also reviews its property and equipment for impairment whenever events or changes in circumstances indicate the carrying value of an asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount to the net undiscounted cash flows expected to be generated by the asset. An impairment loss would be recorded for the excess of net book value over the fair value of the asset impaired. The fair value is estimated based on current market values or expected discounted future cash flows. With respect to owned property and equipment associated with closed stores, the value of the property and equipment would be adjusted to reflect recoverable values if current economic conditions and estimated fair values of the property was less than the net book value. In accordance with Accounting Standards Codification No. 360, Property, Plant and Equipment , the Company recorded a pre-tax charge of $1.5 million in the fourth quarter of 2018 for the impairment of long-lived assets, including equipment and leasehold improvements. The charge was a result of management determining that the net book value of this property was less than the recoverable value. This charge was included as a component of "Operating, general and administrative expenses." Management determined that no assets met the impairment criteria as of December 28, 2019. The results of impairment tests are subject to management’s estimates and assumptions of projected cash flows and operating results. The Company believes that, based on current conditions, materially different reported results are not likely to result from long-lived asset impairments. However, a change in assumptions or market conditions could result in a change in estimated future cash flows and the likelihood of materially different reported results. (m) Self-Insurance The Company is self-insured for a majority of its workers’ compensation, general liability, vehicle accident and associate medical benefit claims. The self-insurance liability for most of the medical benefit claims is determined based on historical data and an estimate of claims incurred but not reported. The other self-insurance liabilities including workers’ compensation are determined actuarially, based on claims filed and an estimate of claims incurred but not yet reported. The Company is self-insured for certain healthcare claims and stop-loss coverage is maintained for occurrences exceeding a $500 thousand specific deductible with a $250 thousand aggregating deductible. The Company is liable for workers' compensation claims up to $2.0 million per claim . Property and casualty insurance coverage is maintained with outside carriers at deductible or retention levels ranging from $100 thousand to $1.0 million . Significant assumptions used in the development of the actuarial estimates include reliance on the Company’s historical claims data including average monthly claims and average lag time between incurrence and reporting of the claim . (n) Income Taxes The Company recognizes deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The Company reviews the tax positions taken or expected to be taken on tax returns to determine whether and to what extent a benefit can be recognized in the Consolidated Financial Statements. Refer to Note 10 to the Consolidated Financial Statements for the amount of unrecognized tax benefits and other disclosures related to uncertain tax positions. To the extent interest and penalties would be assessed by taxing authorities on any underpayment of income tax, such amounts are accrued and classified as a component of income tax expense. Note 1 Summary of Significant Accounting Policies (continued) (o) Earnings Per Share Earnings per share are based on the weighted-average number of common shares outstanding. (p) Revenue Recognition Revenue from the sale of products to the Company’s customers is recognized at the point of sale. Discounts provided to customers at the point of sale through the Weis Club Preferred Shopper loyalty program are recognized as a reduction in sales as products are sold. Periodically, the Company will run a point-based sales incentive program that rewards customers with future sales discounts. The Company makes reasonable and reliable estimates of the amount of future discounts based upon historical experience and its customer data tracking software. Sales are reduced rationally and systematically by these estimates over the life of the program. Discounts to customers at the point of sale provided by vendors, usually in the form of paper coupons, are not recognized as a reduction in sales provided the discounts are redeemable at any retailer that accepts those discounts. The Company records “Deferred revenue” for the sale of gift cards and revenue is recognized in “Net sales” at the time of customer redemption for products. Gift card breakage income is recognized in “Operating, general and administrative expenses” based upon historical redemption patterns and represents the balance of gift cards for which the Company believes the likelihood of redemption by the customer is remote. Sales tax is excluded from “Net sales.” The Company charges sales tax on all taxable customer purchases and remits these taxes monthly to the appropriate taxing jurisdiction. Merchandise return activity is immaterial to revenues due to products being returned quickly and the relatively low unit cost. (q) Cost of Sales, Including Advertising, Warehousing and Distribution Expenses “Cost of sales, including advertising, warehousing and distribution expenses” consists of direct product costs (net of discounts and allowances), advertising (net of vendor paid cooperative advertising credits), distribution center and transportation costs, as well as manufacturing facility operations. Advertising costs, net of vendor paid cooperative advertising credits, are expensed as incurred which are primarily funded by vendor cooperative advertising credits and occur in the same period as the product is sold. (r) Vendor Allowances Vendor allowances related to the Company's buying and merchandising activities are recorded as a reduction of cost of sales as they are earned, in accordance with the underlying agreement. Off-invoice and bill-back allowances are used to reduce direct product costs upon the receipt of goods. Promotional rebates and credits are accounted for as a reduction in the cost of inventory and recognized when the related inventory is sold. Volume incentive discounts are realized as a reduction of cost of sales at the time it is deemed probable and reasonably estimable that the incentive target will be reached. Long-term contract incentives, which require an exclusive vendor relationship, are allocated over the life of the contract. Promotional allowance funds for specific vendor-sponsored programs are recognized as a reduction of cost of sales as the program occurs and the funds are earned per the agreement. Cash discounts for prompt payment of invoices are realized in cost of sales as invoices are paid. Warehouse and back-haul allowances provided by suppliers for distributing their product through the Company’s distribution system are recorded in cost of sales offsetting costs incurred. Warehouse slotting allowances are recorded in cost of sales when new items are initially set up in the Company's distribution system, which is when the related expenses are incurred and performance under the agreement is complete. Swell allowances for damaged goods are realized in cost of sales as provided by the supplier, helping to offset product shrink losses also recorded in cost of sales. Vendor allowances recorded as credits in cost of sales totaled $130.4 million in 2019 , $ 132.0 million in 2018 and $131.1 million in 2017 . Vendor paid cooperative advertising credits totaled $24.8 million in 2019 , $ 19.4 million in 2018 and $19.2 million in 2017 . These credits were netted against advertising costs within “Cost of Sales, including Advertising, Warehousing and Distribution expenses.” The Company had accounts receivable due from vendors of $1.0 million and $1.6 million for earned advertising credits and $9.5 million and $12.8 million for earned promotional discounts as of December 28, 2019 and December 29, 2018 , respectively. The Company had $5.4 million and $7.4 million in unearned income included in accrued liabilities for unearned vendor programs under long-term contracts for display and shelf space allocation as of December 28, 2019 and December 29, 2018 , respectively. (s) Operating, General and Administrative Expenses Business operating costs including expenses generated from administration and purchasing functions, are recorded in “Operating, general and administrative expenses” in the Consolidated Statements of Income. Business operating costs include items such as wages, benefits, utilities, repairs and maintenance, rent, insurance, depreciation, leasehold amortization and costs for outside provided services. (t) Advertising Costs The Company expenses advertising costs as incurred. The Company recorded advertising expense, before vendor paid cooperative advertising credits, of $30.3 million in 2019 , $30 .5 million in 2018 and $31.0 million in 2017 in “Cost of Sales, including Advertising, Warehousing and Distribution Expenses.” Note 1 Summary of Significant Accounting Policies (continued) (u) Rental and Commission Income The Company leases or subleases space to tenants in owned, vacated and open store facilities. Rental income is recorded when earned as a component of “Operating, general and administrative expenses.” All leases are operating leases, as disclosed in Note 5. The Company provides a variety of services to its customers, including but not limited to lottery, money orders, third-party gift cards, and third-party bill pay services. Commission income earned from these services are recorded when earned as a component of “Operating, general and administrative expenses.” (v) Current Relevant Accounting Standards The Company adopted ASU 2016-02 Leases (Topic 842) effective December 30, 2018. The ASU requires lessees to recognize assets and liabilities for the rights and obligations created by their leases with lease terms geater than 12 months. During 2018, the ASU was amended to permit the election of transitional provisions, including the el i mination of the requirement to restate reporting periods prior to the date of adoption. The Company has adopted the standard using transitional provisions and has elected practical expedients to not reassess the original conclusions reached regarding lease identification, lease classification and initial direct costs. The adoption had a significant impact on the Company’s Consolidated Balance Sheets, resulting in $202 million and $211 million of the operating lease right-to-use assets and lease liabilities, respectively. There are no significant changes to the Consolidated Statements of Comprehensive Income or Consolidated Statements of Cash Flows. See Note 5 for additional disclosures on the adoption. |
Marketable Securities
Marketable Securities | 12 Months Ended |
Dec. 28, 2019 | |
Marketable Securities [Abstract] | |
Marketable Securities | Note 2 Marketable Securities The Company’s marketable securities are all classified as available-for-sale within “Current Assets” in the Company’s Consolidated Balance Sheets. FASB has established three levels of inputs that may be used to measure fair value: Level 1 Observable inputs such as quoted prices in active markets for identical assets or liabilities; Level 2 Observable inputs, other than Level 1 inputs in active markets, that are observable either directly or indirectly; and Level 3 Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. The Company’s marketable securities valued using Level 1 inputs include three public company equity securities, for which quoted market prices are available . The Company’s bond portfolio is valued using Level 2 inputs. The Company’s municipal bonds are valued using a combination of pricing for similar securities, recently executed transactions, cash flow models with yield curves and other pricing models utilizing observable inputs, which are considered Level 2 inputs. For Level 2 investment valuation, the Company utilizes standard pricing procedures of its investment advisory firm(s), which include various third-party pricing services. These procedures also require specific price monitoring practices as well as pricing review reports, valuation oversight and pricing challenge procedures to maintain the most accurate representation of investment fair market value. The Company accrues interest on its bond portfolio throughout the life of each bond held. Dividends from the equity securities are recognized as received. Both interest and dividends are recognized in “Investment income and interest expense” on the Company’s Consolidated Statements of Income. The Company recognized investment income of $7.1 million and loss of $1.2 million which included an unrealized gain in equity securities of $2.0 million and loss in equity securities of $1.6 million in the fiscal years ended December 28, 2019 and December 29, 2018, respectively. Marketable securities, as of December 28, 2019 and December 29, 2018 , consisted of: Gross Gross (dollars in thousands) Amortized Unrealized Unrealized Fair December 28, 2019 Cost Holding Gains Holding Losses Value Available-for-sale: Level 1 Equity securities $ 9,201 Level 2 Municipal bonds $ 52,264 $ 2,091 $ (18) 54,337 $ 52,264 $ 2,091 $ (18) $ 63,538 Gross Gross (dollars in thousands) Amortized Unrealized Unrealized Fair December 29, 2018 Cost Holding Gains Holding Losses Value Available-for-sale: Level 1 Equity securities $ 7,226 Level 2 Municipal bonds $ 46,699 $ 426 $ (53) 47,072 $ 46,699 $ 426 $ (53) $ 54,298 Maturities of marketable securities classified as available-for-sale at December 28, 2019 , were as follows: Amortized Fair (dollars in thousands) Cost Value Available-for-sale: Due within one year $ 4,666 $ 4,678 Due after one year through five years 28,773 29,535 Due after five years through ten years 18,825 20,124 $ 52,264 $ 54,337 Note 2 Marketable Securities (continued) SERP Investments The Company also maintains a non-qualified supplemental executive retirement plan for certain of its associates which allows them to defer income to future periods. Participants in the plans earn a return on their deferrals based on mutual fund investments. The Company chooses to invest in the underlying mutual fund investments to offset the liability associated with the non-qualified deferred compensation plans. Such investments are reported on the Company’s Consolidated Balance Sheets as “SERP investment,” are classified as trading securities and are measured at fair value using Level 1 inputs with gains and losses included in “Investment income and interest expense” on the Company’s Consolidated Statements of Income. The changes in the underlying liability to the associates are recorded in “Other income (expense) .” |
Inventories
Inventories | 12 Months Ended |
Dec. 28, 2019 | |
Inventories [Abstract] | |
Inventories | Note 3 Inventories Merchandise inventories, as of December 28, 2019 and December 29, 2018 , were valued as follows: (dollars in thousands) 2019 2018 LIFO $ 204,043 $ 211,911 Average cost 75,763 68,845 $ 279,806 $ 280,756 Management believes the use of the LIFO method for valuing certain inventories represents the most appropriate matching of costs and revenues in the Company’s circumstances. If all inventories were valued on the average cost method, which approximates current cost, total inventories would have been $70.7 million and $76.5 million higher than as reported on the above methods as of December 28, 2019 and December 29, 2018 , respectively. During 2019 and 2018, the Company had certain decrements in its LIFO pools, which had an insignificant impact on the cost of sales. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 28, 2019 | |
Property and Equipment [Abstract] | |
Property and Equipment | Note 4 Property and Equipment Property and equipment, as of December 28, 2019 and December 29, 2018 , consisted of: Useful Life (dollars in thousands) ( in years) 2019 2018 Land $ 137,977 $ 133,386 Buildings and improvements 10 - 60 736,812 713,128 Equipment 3 - 12 1,096,252 1,069,616 Leasehold improvements 5 - 20 217,664 224,231 Total, at cost 2,188,705 2,140,361 Less accumulated depreciation and amortization 1,301,777 1,252,753 $ 886,928 $ 887,608 |
Lease Commitments
Lease Commitments | 12 Months Ended |
Dec. 28, 2019 | |
Lease Commitments [Abstract] | |
Lease Commitments | Note 5 Lease Commitments The adoption of ASU 2016-02 Leases (Topic 842) had a significant impact on the Company’s Consolidated Balance Sheets, resulting in operating lease right-to-use assets of $202 million and lease liabilities of $211 million. The difference between the operating lease right-to-use assets and lease liabilities represents prepaid and accrued rents, unfavorable lease obligations, favorable lease assets and deferred tenant allowances associated with operating leases as of December 30, 2018 and reclassified against the operating lease right-to-use asset upon adoption. As of December 28 , 201 9 , the Company leased approximately 52% of its open store facilities under operating leases that expire at various dates through 203 5 , with the remaining store facilities being owned. These leases generally provide for fixed annual rentals; however, several provide for minimum annual rentals plus variable lease costs related to real estate taxes and insurance as well as contingent rentals based on a percentage of annual sales or increases periodically based on inflation. These variable lease costs are not included in the measurement of the operating lease right-to-use assets or lease liabilities and are charged to the related expense category included in “Operating, general and administrative expenses.” Most of the leases contain multiple renewal options, under which the Company may extend the lease terms from 5 to 20 years. Additionally, the Company has operating leases for certain transportation and other equipment. The Company leases or subleases space to tenants in owned, vacated and open store facilities. Rental income is recorded when earned as a component of “Operating, general and administrative expenses.” The following is a schedule of the lease costs included in “Operating, general and administrative expenses” for the fiscal year ended December 28, 2019. (dollars in thousands) 2019 Operating lease cost $ 46,063 Variable lease cost 10,998 Lease or sublease income (7,749) Net lease cost $ 49,312 T he following is a schedule by years of the future minimum rental payments required under operating leases and total minimum sublease and lease rental income to be received as of December 28, 2019. (dollars in thousands) Leases Subleases 2020 $ 47,184 (4,044) 2021 42,607 (3,480) 2022 35,845 (2,901) 2023 31,063 (2,308) 2024 26,256 (1,663) Thereafter 75,622 (6,336) Total Lease Payments $ 258,577 (20,732) Less: Interest 39,809 - Present value of lease liabilities 218,768 (20,732) The following is a schedule of weighted-average remaining lease terms and weighted-average discount rates as of December 28, 2019 and December 30, 2018. Lease Term and Discount Rate December 28, 2019 December 30, 2018 Weighted-average remaining lease term 4.44 4.69 Weighted-average discount rate 3.47% 3.84% Prior to the adoption of the ASU, leases generally provide for fixed annual rentals , minimum annual rentals , contingent rentals and sublease income . Rent expense and income on all leases for the fiscal years ended December 29, 2018 and December 30, 2017 consisted of : (dollars in thousands) 2018 2017 Minimum annual rentals $ 47,253 $ 46,804 Contingent rentals 419 432 Lease or sublease income (7,757) (7,612) $ 39,915 $ 39,624 |
Retirement Plans
Retirement Plans | 12 Months Ended |
Dec. 28, 2019 | |
Retirement Plans [Abstract] | |
Retirement Plans | Note 6 Retirement Plans The Company has a qualified retirement savings plan, the Weis Markets, Inc. Retirement Savings Plan, covering substantially all associates. The plan has a contributory component as well as a noncontributory profit-sharing component for certain associates. The noncontributory component covers eligible associates which included certain salaried associates, store management and administrative support personnel. The Company also has a non-qualified supplemental retirement plan covering highly compensated employees of the Company. The Company’s policy is to fund retirement plan costs as accrued, with the exception of the deferred compensation plan. Employer contributions to the qualified retirement plan are made at the sole discretion of the Company. Retirement plan costs: (dollars in thousands) 2019 2018 2017 Retirement savings plan 3,434 3,525 3,343 Deferred compensation plan 801 508 813 Supplemental executive retirement plan 498 390 531 $ 4,733 $ 4,423 $ 4,687 The Company maintains a non-qualified deferred compensation plan for the payment of specific amounts of annual retirement benefits to certain officers or their beneficiaries over an actuarially computed normal life expectancy. Currently, there are no active officers in the plan. The expected payments under the plan provisions were determined through actuarial calculations dependent on the age of the recipient, using an assumed discount rate. The plan is unfunded and accounted for on an accrual basis. The recorded liability at December 28, 2019 is $4.2 million which is based on expected payments to be made over the remaining lives of the beneficiaries. This amount is included in “Accrued expenses” and “Postretirement benefit obligations” in the Consolidated Balance Sheets. The expected payment amounts are approximately $1.0 million for 2020 and for the years thereafter dependent on the lives of the beneficiaries. The Company also maintains a non-qualified supplemental executive retirement plan for certain of its associates. This plan is designed to provide retirement benefits and salary deferral opportunities because of limitations imposed by the Internal Revenue Code and the Regulations implemented by the Internal Revenue Service. This plan is unfunded and accounted for on an accrual basis. Participants in this plan are excluded from participation in the profit sharing portion of the Weis Markets, Inc. Retirement Savings Plan once their yearly earnings exceed the IRS highly compensated threshold. The Board of Directors annually determines the amount of the allocation to the plans at its sole discretion. The allocation among the various plan participants is made in both flat dollar amounts and in relationship to their compensation. Plan participants are 100% vested in their accounts after three years of service with the Company. Benefits are distributed among participants upon termination or retirement . Substantial risk of benefit forfeiture does exist for participants in this plan. The present value of accumulated benefits amounted to $19.0 million and $14.7 million at December 28, 2019 and December 29, 2018 , respectively, and is included in “Postretirement benefit obligations” in the Consolidated Balance Sheets. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 28, 2019 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | Note 7 Revenue Recognition The adoption of ASU 2014-9 Revenue from Contracts with Customers (ASC 606) did not have a material impact on the Company’s Consolidated Financial Statements. The Chief Operating Officer, the Company’s chief operating decision maker, analyzed store operational revenues by geographical area but each area offers customers similar product, has similar distribution methods, and supported by centralized management processes. The Company’s operations are reported as a single reportable segment. The following table represents net sales by type of product for years ending December 28, 2019, December 29, 2018 and December 30, 2017. 52 Weeks Ended ( dollars in thousands ) December 28, 2019 December 29, 2018 December 30, 2017 Grocery $ 3,068,754 86.6 % $ 3,063,218 87.3 % $ 3,041,481 87.7 % Pharmacy 337,233 9.5 314,584 9.0 309,079 8.9 Fuel 127,828 3.6 125,993 3.6 109,467 3.2 Manufacturing 9,484 0.3 5,475 0.1 6,780 0.2 Total net sales $ 3,543,299 100.0 % $ 3,509,270 100.0 % $ 3,466,807 100.0 % |
Prior Year Reclassifications
Prior Year Reclassifications | 12 Months Ended |
Dec. 28, 2019 | |
Prior Year Reclassifications [Abstract] | |
Prior Year Reclassifications | Note 8 Prior Year Reclassifications As of December 28, 2019, the Company reclassified non-service components of the Supplemental Executive Retirement Plan (SERP) benefit obligation separately from the service cost component. These non-service components in the amounts of $3.0 million, $(0.9) million and $2.1 million as of December 28, 2019, December 29, 2018 and December 30, 2017, respectively, were reclassified to “Other income (expense)”. The Company recognizes service cost components in “Operating, general and administrative costs”. The table below summarizes the effect of the reclassifications of previously reported Consolidated Financial Statements for the fiscal years ended December 29, 2018 and December 30, 2017. December 29, 2018 December 30, 2017 Consolidated Statements of Income As Previously As Previously (dollars in thousands) Reported Reclassifications As Adjusted Reported Reclassifications As Adjusted Operating, general and administrative expenses $ 851,411 $ 919 $ 852,330 $ 836,098 $ (2,094) $ 834,004 Income from operations 83,590 (919) 82,671 76,425 2,094 78,519 Other income (expense) - 919 919 - (2,094) (2,094) |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 28, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income | Note 9 Accumulated Other Comprehensive Income All balances in accumulated other comprehensive income are related to available-for-sale marketable securities. The following table sets forth the balance of the Company’s accumulated other comprehensive income, net of tax. Unrealized Gains on Available-for-Sale (dollars in thousands) Marketable Securities Accumulated other comprehensive income balance as of December 30, 2017 $ 5,880 Amount reclassified to retained earnings for equity unrealized gain (adoption of ASU 2016-01) (5,481) Other comprehensive loss before reclassifications (177) Amounts reclassified from accumulated other comprehensive income 40 Net current period other comprehensive Income (5,618) Accumulated other comprehensive income balance as of December 29, 2018 $ 262 Other comprehensive income before reclassifications 1,255 Amounts reclassified from accumulated other comprehensive income (37) Net current period change in other comprehensive income 1,218 Accumulated other comprehensive income balance as of December 28, 2019 $ 1,480 The following table sets forth the effects on net income of the amounts reclassified out of accumulated other comprehensive income for the periods ended December 28, 2019 , December 29, 2018 and December 30, 2017 . Amounts Reclassified from Accumulated Other Comprehensive Income to the Consolidated Statements of Income (dollars in thousands) Location 2019 2018 2017 Unrealized gains (losses) on available-for-sale marketable securities Investment income and interest expense $ (51) $ (54) $ (40) Provision for income taxes 14 14 11 Total amount reclassified, net of tax $ (37) $ (40) $ (29) |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 28, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | Note 10 Income Taxes The provision (benefit) for income taxes consists of: (dollars in thousands) 2019 2018 2017 Current: Federal $ 11,779 $ 11,385 $ 10,630 State 3,117 4,594 1,972 Deferred: Federal 6,636 6,059 (34,659) State (871) (2,640) 2,666 $ 20,661 $ 19,398 $ (19,391) The reconciliation of income taxes computed at the federal statutory rate of 21% in 2019 and 2018, respectively, and 35% in 2017. Ending deferred tax liability has been computed at the federal statutory rate of 21% due to the Tax Reform. (dollars in thousands) 2019 2018 2017 Income taxes at federal statutory rate $ 18,615 $ 17,249 $ 27,658 State income taxes, net of federal income tax benefit 1,333 639 1,306 Nondeductible employee-related expenses 1,974 768 1,828 2017 tax reform - 657 (49,336) Other (1,261) 85 (847) Provision for income taxes (effective tax rate 23.3% , 23.6% and (24.5)% , respectively) $ 20,661 $ 19,398 $ (19,391) The effective income tax rate was 23.3% , 23.6% and negative 24.5% in 2019, 2018, and 2017, respectively. The effective income tax rate differs from the federal statutory rate of 21% primarily due to state taxes. On December 22, 2017, the U.S. Government enacted the Tax Cuts and Jobs Act (the “Tax Reform”). The Tax Reform significantly impacted the Company’s effective income tax rate by reducing the U.S. federal corporate tax rate from 35% to 21% effective January 1, 2018 and allowing immediate expensing of qualified assets placed into service after September 27, 2017. Other elements of the Tax Reform have minor impacts, however the above mentioned decreased deferred income tax by $49.3 million during 2017. Cash paid for federal income taxes was $11.3 million, $4.5 million $12.0 million and in 2019, 2018 and 2017 respectively. Cash paid for state income taxes was $2.8 million, $2.1 million and $1.0 million in 2019, 2018 and 2017 respectively. The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities at December 28, 2019 and December 29, 2018 , are: (dollars in thousands) 2019 2018 Deferred tax assets: Accounts receivable $ 749 $ 588 Compensated absences - 355 Employment incentives 1,405 842 Employee benefit plans 4,853 4,914 General liability insurance 2,778 2,702 Postretirement benefit obligations 5,767 5,272 Net operating loss carryforwards 6,582 8,030 Other 8,136 7,967 Total deferred tax assets 30,270 30,670 Deferred tax liabilities: Inventories (13,072) (9,828) Unrealized gains on marketable securities (2,851) (1,809) Nondeductible accruals and other (5,252) (5,274) Depreciation (106,136) (104,552) Total deferred tax liabilities (127,311) (121,463) Net deferred tax liability $ (97,041) $ (90,793) Note 10 Income Taxes (continued) The following table summarizes the activity related to the Company’s unrecognized tax benefits: (dollars in thousands) 2019 2018 Unrecognized tax benefits at beginning of year $ 6,405 $ 4,691 Increases based on tax positions related to the current year 1,769 1,714 Additions for tax positions of prior year - - Reductions for tax positions of prior years - - Settlements - - Expiration of the statute of limitations for assessment of taxes (1,562) - Unrecognized tax benefits at end of year $ 6,612 $ 6,405 The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate was $1.8 million in 2019, $1.7 million in 2018 and $1.6 million in 2017. The Company or one of its subsidiaries files tax returns in the United States and various state jurisdictions. The tax years subject to examination in the United State and in Pennsylvania, where the majority of the Company's revenues are generated, are 2016 to 2019 . The Company has net operating loss carryforwards of $8 3 . 4 million available for state income tax purposes. The net operating losses will begin to expire starting in 2027 . The Company expects to fully utilize these net operating loss carryforwards. |
Summary of Quarterly Results
Summary of Quarterly Results | 12 Months Ended |
Dec. 28, 2019 | |
Summary of Quarterly Results [Abstract] | |
Summary of Quarterly Results | Note 11 Summary of Quarterly Results (Unaudited) Quarterly financial data for 2019 and 2018 are as follows: (dollars in thousands, except per share amounts) Thirteen Weeks Ended March 30, 2019 June 29, 2019 September 28, 2019 December 28, 2019 Net sales $ 876,718 $ 887,967 $ 876,222 $ 902,392 Gross profit on sales 229,552 236,670 232,825 239,147 Net income 14,304 20,475 14,319 18,885 Basic and diluted earnings per share $ .53 $ .76 $ .53 $ .70 (dollars in thousands, except per share amounts) Thirteen Weeks Ended March 31, 2018 June 30, 2018 September 29, 2018 December 29, 2018 Net sales $ 876,106 $ 871,100 $ 869,076 $ 892,988 Gross profit on sales 234,907 240,295 232,340 227,459 Net income 16,191 19,095 14,207 13,245 Basic and diluted earnings per share $ .60 $ .71 $ .53 $ .49 |
Fair Value Information
Fair Value Information | 12 Months Ended |
Dec. 28, 2019 | |
Fair Value Information [Abstract] | |
Fair Value Information | Note 12 Fair Value Information The carrying amounts for cash, accounts receivable and accounts payable approximate fair value because of the short maturities of these instruments. The fair values of the Company’s marketable securities, as disclosed in Note 2, are based on quoted market prices and institutional pricing guidelines for those securities not classified as Level 1 securities. The Company’s SERP investments are classified as trading securities and are carried at fair value using Level 1 inputs. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 28, 2019 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | Note 13 Commitments and Contingencies The Company is involved in various legal actions arising out of the normal course of business. The Company also accrues for tax contingencies when it is probable that a liability to a taxing authority has been incurred and the amount of the contingency can be reasonably estimated, based on experience. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Company's consolidated financial position, results of operations or liquidity. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 28, 2019 | |
Long-Term Debt [Abstract] | |
Long-Term Debt | Note 14 Long-Term Debt On September 1, 2016 Weis Markets entered into a revolving credit agreement with Wells Fargo Bank, National Association (the “Credit Agreement”), which was amended on August 21, 2019 and matu res on September 1, 20 22 . The Credit Agreement provides for an unsecured revolving credit facility with an aggregate principal amount not to exceed $30.0 million with an additional discretionary amount available of $70.0 million. As of December 28, 2019, the availability under the revolving credit agreement was $18.8 million, net of $11.2 million letters of credit. The letters of credit are maintained primarily to support performance, payment, deposit or surety obligations of the Company. Interest expense related to long-term debt was $55 thousand and $288 thousand for 2019 and 2018 , respectively. |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 28, 2019 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | Schedule II - Valuation and Qualifying Accounts: SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS WEIS MARKETS, INC. (dollars in thousands) Col. A Col. B Col. C Col. D Col. E Additions Balance at Charged to Charged to Balance at Beginning Costs and Accounts Deductions End of Description of Period Expenses Describe Describe (1) Period Fiscal Year ended December 28, 2019: Deducted from asset accounts: Allowance for uncollectible accounts $ 2,090 $ 1,975 $ --- $ 1,308 $ 2,757 Fiscal Year ended December 29, 2018: Deducted from asset accounts: Allowance for uncollectible accounts $ 1,946 $ 1,144 $ --- $ 1,000 $ 2,090 Fiscal Year ended December 30, 2017: Deducted from asset accounts: Allowance for uncollectible accounts $ 1,455 $ 2,176 $ --- $ 1,685 $ 1,946 (1) Deductions are uncollectible accounts written off, net of recoveries. |
Summary Of Significant Accoun_2
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 28, 2019 | |
Summary Of Significant Accounting Policies [Abstract] | |
Description of Business [Policy Text Block] | (a) Description of Business Weis Markets, Inc. is a Pennsylvania business corporation formed in 1924. The Company is engaged principally in the retail sale of food in Pennsylvania and surrounding states. The Company’s operations are reported as a single reportable segment. There was no material change in the nature of the Company's business during fiscal 2019 . |
Definition of Fiscal Year [Policy Text Block] | (b) Definition of Fiscal Year The Company’s fiscal year ends on the last Saturday in December. Fiscal 2019 was comprised of 52 weeks, ending on December 28, 2019 . Fiscal 2018 was comprised of 52 weeks, ending on December 29, 2018 . Fiscal 2017 was comprised of 52 weeks, ending on December 30, 2017 . References to years in this Annual Report relate to fiscal years. |
Principles of Consolidation [Policy Text Block] | (c) Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates [Policy Text Block] | (d) Use of Estimates Management of the Company has made a number of estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities to prepare these Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America. Actual results could differ from those estimates. |
Cash and Cash Equivalents [Policy Text Block] | (e) Cash and Cash Equivalents The Company maintains its cash balances in the form of core checking accounts and money market accounts. The Company maintains cash deposits with banks that at times exceed applicable insurance limits. The Company reduces its exposure to credit risk by maintaining such deposits with high quality financial institutions that management believes are creditworthy. The Company considers investments with an original maturity of three months or less to be cash equivalents. Investment amounts classified as cash equivalents as of December 28, 2019 and December 29, 2018 totaled $32.9 million and $5. 4 million , respectively. Consumer electronic payments accepted at the point of sale, including all credit card, debit card and electronic benefits transfer transactions that process in three days or less are classified as cash equivalents. Consumer electronic payment amounts classified as cash equivalents as of December 28, 2019 and December 29, 2018 totaled $23.1 million and $23.6 million, respectively. |
Marketable Securities [Policy Text Block] | (f) Marketable Securities Marketable securities consist of municipal bonds and equity securities. The Company invests primarily in high-grade marketable debt securities. The Company classifies all of its marketable securities as available-for-sale. Available-for-sale securities are recorded at fair value as determined by quoted market price based on national markets. Unrealized holding gains and losses, net of the related tax effect, on municipal bonds are excluded from earnings and are reported as a separate component of shareholders’ equity until realized. Unrealized holding gains and losses on equity securities are recorded in investment income (loss) and interest expense. A decline in the fair value below cost that is deemed other than temporary results in a charge to earnings and the establishment of a new cost basis for the security. Dividend and interest income is recognized when earned. Realized gains and losses are included in earnings and are derived using the specific identification method for determining the cost of securities. Equity securities are measured at fair value and the unrealized holding gains and losses are recorded in investment income (loss) and interest expense. The Company recognized a $2.0 million gain in 2019 and a $1.6 million loss in 2018. |
Accounts Receivable [Policy Text Block] | (g) Accounts Receivable Accounts receivable are stated net of an allowance for uncollectible accounts of $2.8 million and $2.1 million as of December 28, 2019 and December 29, 2018 , respectively. The reserve balance relates to amounts due from pharmacy third party providers, retail customer returned checks, manufacturing customers, vendors and tenants. The Company maintains an allowance for the amount of receivables deemed to be uncollectible and calculates this amount based upon historical collection activity adjusted for current conditions. |
Inventories [Policy Text Block] | (h) Inventories Inventories are valued at the lower of cost or net realizable value, using both the retail inventory and average cost methods. The retail inventory method is commonly used by retail companies to determine cost and calculate gross margin based on applying a cost-to-retail ratio to each similar merchandise category’s ending retail value. The Company’s center store and pharmacy inventories are valued using last in, first out (LIFO). The Company’s fresh inventories are valued using average cost. The Company evaluates inventory shortages throughout the year based on actual physical counts in its facilities. Allowances for inventory shortages are recorded based on the results of these counts and to provide for estimated shortages from the last physical count to the financial statement date. |
Property and Equipment [Policy Text Block] | (i) Property and Equipment Property and equipment are recorded at cost. Depreciation is provided on the cost of buildings and improvements and equipment using the straight-line method. Leasehold improvements are amortized using the straight-line method over the terms of the leases or the useful lives of the assets, whichever is shorter. Maintenance and repairs are expensed and renewals and betterments are capitalized. When assets are retired or otherwise disposed of, the assets and accumulated depreciation are removed from the respective accounts and any profit or loss on the disposition is credited or charged to “Operating, general and administrative expenses.” |
Leases | (j) Leases The Company leases approximately 52% of its open store facilities under operating leases that expire at various dates through 2035, with the remaining store facilities being owned. These leases generally provide for fixed annual rentals; however, several provide for minimum annual rentals plus variable lease costs related to real estate taxes and insurance as well as contingent rentals based on a percentage of annual sales or increases periodically based on inflation. These variable lease costs are not included in the measurement of the operating lease right-to-use assets or lease liabilities and are charged to the related expense category included in “Operating, general and administrative expenses.” Most of the leases contain multiple renewal options, under which the Company may extend the lease terms from 5 to 20 years. Additionally, the Company has operating leases for certain transportation and other equipment. The Company leases or subleases space to tenants in owned, vacated and open store facilities. Rental income is recorded when earned as a component of “Operating, general and administrative expenses.” |
Goodwill and Intangible Assets [Policy Text Block] | (k) Goodwill and Intangible Assets Goodwill is not amortized but tested for impairment on an annual basis and between annual tests when indicators of impairment are identified. Intangible assets with an indefinite useful life are not amortized until their useful life is determined to be no longer indefinite and are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. The Company’s intangible assets and related accumulated amortization at December 28, 2019 and December 29, 2018 consisted of the following: December 28, 2019 December 29, 2018 Accumulated Accumulated (dollars in thousands) Gross Amortization Net Gross Amortization Net Liquor licenses $ 14,905 $ - $ 14,905 $ 14,226 $ - $ 14,226 Asset acquisitions and other 5,083 2,888 2,195 11,870 4,975 6,895 Total $ 19,988 $ 2,888 $ 17,100 $ 26,096 $ 4,975 $ 21,121 Intangible assets with a definite useful life are generally amortized on a straight-line basis over periods up to 10 years for customer lists. Estimated amortization expense for the next five fiscal years is appro ximately $455 thousand in 2020, $444 thousand in 2021, $314 thousand in 2022, and $310 thousand in 2023 and 2024, respectively. As of December 28, 2019 , the Company’s intangible assets with indefinite lives consisted of goodwill and liquor licenses. |
Impairment of Long-Lived Assets [Policy Text Block] | (l) Impairment of Long-Lived Assets The Company periodically evaluates the period of depreciation or amortization for long-lived assets to determine whether current circumstances warrant revised estimates of useful lives. The Company completes an impairment test annually. The Company also reviews its property and equipment for impairment whenever events or changes in circumstances indicate the carrying value of an asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount to the net undiscounted cash flows expected to be generated by the asset. An impairment loss would be recorded for the excess of net book value over the fair value of the asset impaired. The fair value is estimated based on current market values or expected discounted future cash flows. With respect to owned property and equipment associated with closed stores, the value of the property and equipment would be adjusted to reflect recoverable values if current economic conditions and estimated fair values of the property was less than the net book value. In accordance with Accounting Standards Codification No. 360, Property, Plant and Equipment , the Company recorded a pre-tax charge of $1.5 million in the fourth quarter of 2018 for the impairment of long-lived assets, including equipment and leasehold improvements. The charge was a result of management determining that the net book value of this property was less than the recoverable value. This charge was included as a component of "Operating, general and administrative expenses." Management determined that no assets met the impairment criteria as of December 28, 2019. The results of impairment tests are subject to management’s estimates and assumptions of projected cash flows and operating results. The Company believes that, based on current conditions, materially different reported results are not likely to result from long-lived asset impairments. However, a change in assumptions or market conditions could result in a change in estimated future cash flows and the likelihood of materially different reported results. |
Self-Insurance [Policy Text Block] | (m) Self-Insurance The Company is self-insured for a majority of its workers’ compensation, general liability, vehicle accident and associate medical benefit claims. The self-insurance liability for most of the medical benefit claims is determined based on historical data and an estimate of claims incurred but not reported. The other self-insurance liabilities including workers’ compensation are determined actuarially, based on claims filed and an estimate of claims incurred but not yet reported. The Company is self-insured for certain healthcare claims and stop-loss coverage is maintained for occurrences exceeding a $500 thousand specific deductible with a $250 thousand aggregating deductible. The Company is liable for workers' compensation claims up to $2.0 million per claim . Property and casualty insurance coverage is maintained with outside carriers at deductible or retention levels ranging from $100 thousand to $1.0 million . Significant assumptions used in the development of the actuarial estimates include reliance on the Company’s historical claims data including average monthly claims and average lag time between incurrence and reporting of the claim . |
Income Taxes [Policy Text Block] | (n) Income Taxes The Company recognizes deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The Company reviews the tax positions taken or expected to be taken on tax returns to determine whether and to what extent a benefit can be recognized in the Consolidated Financial Statements. Refer to Note 10 to the Consolidated Financial Statements for the amount of unrecognized tax benefits and other disclosures related to uncertain tax positions. To the extent interest and penalties would be assessed by taxing authorities on any underpayment of income tax, such amounts are accrued and classified as a component of income tax expense. |
Earnings Per Share [Policy Text Block] | (o) Earnings Per Share Earnings per share are based on the weighted-average number of common shares outstanding. |
Revenue Recognition [Policy Text Block] | (p) Revenue Recognition Revenue from the sale of products to the Company’s customers is recognized at the point of sale. Discounts provided to customers at the point of sale through the Weis Club Preferred Shopper loyalty program are recognized as a reduction in sales as products are sold. Periodically, the Company will run a point-based sales incentive program that rewards customers with future sales discounts. The Company makes reasonable and reliable estimates of the amount of future discounts based upon historical experience and its customer data tracking software. Sales are reduced rationally and systematically by these estimates over the life of the program. Discounts to customers at the point of sale provided by vendors, usually in the form of paper coupons, are not recognized as a reduction in sales provided the discounts are redeemable at any retailer that accepts those discounts. The Company records “Deferred revenue” for the sale of gift cards and revenue is recognized in “Net sales” at the time of customer redemption for products. Gift card breakage income is recognized in “Operating, general and administrative expenses” based upon historical redemption patterns and represents the balance of gift cards for which the Company believes the likelihood of redemption by the customer is remote. Sales tax is excluded from “Net sales.” The Company charges sales tax on all taxable customer purchases and remits these taxes monthly to the appropriate taxing jurisdiction. Merchandise return activity is immaterial to revenues due to products being returned quickly and the relatively low unit cost. |
Cost of Sales, Including Advertising, Warehousing and Distribution Expenses [Policy Text Block] | (q) Cost of Sales, Including Advertising, Warehousing and Distribution Expenses “Cost of sales, including advertising, warehousing and distribution expenses” consists of direct product costs (net of discounts and allowances), advertising (net of vendor paid cooperative advertising credits), distribution center and transportation costs, as well as manufacturing facility operations. Advertising costs, net of vendor paid cooperative advertising credits, are expensed as incurred which are primarily funded by vendor cooperative advertising credits and occur in the same period as the product is sold. |
Vendor Allowances [Policy Text Block] | (r) Vendor Allowances Vendor allowances related to the Company's buying and merchandising activities are recorded as a reduction of cost of sales as they are earned, in accordance with the underlying agreement. Off-invoice and bill-back allowances are used to reduce direct product costs upon the receipt of goods. Promotional rebates and credits are accounted for as a reduction in the cost of inventory and recognized when the related inventory is sold. Volume incentive discounts are realized as a reduction of cost of sales at the time it is deemed probable and reasonably estimable that the incentive target will be reached. Long-term contract incentives, which require an exclusive vendor relationship, are allocated over the life of the contract. Promotional allowance funds for specific vendor-sponsored programs are recognized as a reduction of cost of sales as the program occurs and the funds are earned per the agreement. Cash discounts for prompt payment of invoices are realized in cost of sales as invoices are paid. Warehouse and back-haul allowances provided by suppliers for distributing their product through the Company’s distribution system are recorded in cost of sales offsetting costs incurred. Warehouse slotting allowances are recorded in cost of sales when new items are initially set up in the Company's distribution system, which is when the related expenses are incurred and performance under the agreement is complete. Swell allowances for damaged goods are realized in cost of sales as provided by the supplier, helping to offset product shrink losses also recorded in cost of sales. Vendor allowances recorded as credits in cost of sales totaled $130.4 million in 2019 , $ 132.0 million in 2018 and $131.1 million in 2017 . Vendor paid cooperative advertising credits totaled $24.8 million in 2019 , $ 19.4 million in 2018 and $19.2 million in 2017 . These credits were netted against advertising costs within “Cost of Sales, including Advertising, Warehousing and Distribution expenses.” The Company had accounts receivable due from vendors of $1.0 million and $1.6 million for earned advertising credits and $9.5 million and $12.8 million for earned promotional discounts as of December 28, 2019 and December 29, 2018 , respectively. The Company had $5.4 million and $7.4 million in unearned income included in accrued liabilities for unearned vendor programs under long-term contracts for display and shelf space allocation as of December 28, 2019 and December 29, 2018 , respectively. |
Operating, General and Administrative Expenses [Policy Text Block] | (s) Operating, General and Administrative Expenses Business operating costs including expenses generated from administration and purchasing functions, are recorded in “Operating, general and administrative expenses” in the Consolidated Statements of Income. Business operating costs include items such as wages, benefits, utilities, repairs and maintenance, rent, insurance, depreciation, leasehold amortization and costs for outside provided services. |
Advertising Costs [Policy Text Block] | (t) Advertising Costs The Company expenses advertising costs as incurred. The Company recorded advertising expense, before vendor paid cooperative advertising credits, of $30.3 million in 2019 , $30 .5 million in 2018 and $31.0 million in 2017 in “Cost of Sales, including Advertising, Warehousing and Distribution Expenses.” |
Rental and Commission Income [Policy Text Block] | (u) Rental and Commission Income The Company leases or subleases space to tenants in owned, vacated and open store facilities. Rental income is recorded when earned as a component of “Operating, general and administrative expenses.” All leases are operating leases, as disclosed in Note 5. The Company provides a variety of services to its customers, including but not limited to lottery, money orders, third-party gift cards, and third-party bill pay services. Commission income earned from these services are recorded when earned as a component of “Operating, general and administrative expenses.” |
Current Relevant Accounting Standards | (v) Current Relevant Accounting Standards The Company adopted ASU 2016-02 Leases (Topic 842) effective December 30, 2018. The ASU requires lessees to recognize assets and liabilities for the rights and obligations created by their leases with lease terms geater than 12 months. During 2018, the ASU was amended to permit the election of transitional provisions, including the el i mination of the requirement to restate reporting periods prior to the date of adoption. The Company has adopted the standard using transitional provisions and has elected practical expedients to not reassess the original conclusions reached regarding lease identification, lease classification and initial direct costs. The adoption had a significant impact on the Company’s Consolidated Balance Sheets, resulting in $202 million and $211 million of the operating lease right-to-use assets and lease liabilities, respectively. There are no significant changes to the Consolidated Statements of Comprehensive Income or Consolidated Statements of Cash Flows. See Note 5 for additional disclosures on the adoption. |
Summary Of Significant Accoun_3
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Summary Of Significant Accounting Policies [Abstract] | |
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets | The Company’s intangible assets and related accumulated amortization at December 28, 2019 and December 29, 2018 consisted of the following: December 28, 2019 December 29, 2018 Accumulated Accumulated (dollars in thousands) Gross Amortization Net Gross Amortization Net Liquor licenses $ 14,905 $ - $ 14,905 $ 14,226 $ - $ 14,226 Asset acquisitions and other 5,083 2,888 2,195 11,870 4,975 6,895 Total $ 19,988 $ 2,888 $ 17,100 $ 26,096 $ 4,975 $ 21,121 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Marketable Securities [Abstract] | |
Schedule Of Marketable Securities | Marketable securities, as of December 28, 2019 and December 29, 2018 , consisted of: Gross Gross (dollars in thousands) Amortized Unrealized Unrealized Fair December 28, 2019 Cost Holding Gains Holding Losses Value Available-for-sale: Level 1 Equity securities $ 9,201 Level 2 Municipal bonds $ 52,264 $ 2,091 $ (18) 54,337 $ 52,264 $ 2,091 $ (18) $ 63,538 Gross Gross (dollars in thousands) Amortized Unrealized Unrealized Fair December 29, 2018 Cost Holding Gains Holding Losses Value Available-for-sale: Level 1 Equity securities $ 7,226 Level 2 Municipal bonds $ 46,699 $ 426 $ (53) 47,072 $ 46,699 $ 426 $ (53) $ 54,298 |
Schedule Of Maturities Of Marketable Securities | Maturities of marketable securities classified as available-for-sale at December 28, 2019 , were as follows: Amortized Fair (dollars in thousands) Cost Value Available-for-sale: Due within one year $ 4,666 $ 4,678 Due after one year through five years 28,773 29,535 Due after five years through ten years 18,825 20,124 $ 52,264 $ 54,337 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Inventories [Abstract] | |
Merchandise Inventories | Merchandise inventories, as of December 28, 2019 and December 29, 2018 , were valued as follows: (dollars in thousands) 2019 2018 LIFO $ 204,043 $ 211,911 Average cost 75,763 68,845 $ 279,806 $ 280,756 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Property and Equipment [Abstract] | |
Schedule Of Property, Plant And Equipment | Property and equipment, as of December 28, 2019 and December 29, 2018 , consisted of: Useful Life (dollars in thousands) ( in years) 2019 2018 Land $ 137,977 $ 133,386 Buildings and improvements 10 - 60 736,812 713,128 Equipment 3 - 12 1,096,252 1,069,616 Leasehold improvements 5 - 20 217,664 224,231 Total, at cost 2,188,705 2,140,361 Less accumulated depreciation and amortization 1,301,777 1,252,753 $ 886,928 $ 887,608 |
Lease Commitments (Tables)
Lease Commitments (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Lease Commitments [Abstract] | |
Schedule Of Lease Costs | (dollars in thousands) 2019 Operating lease cost $ 46,063 Variable lease cost 10,998 Lease or sublease income (7,749) Net lease cost $ 49,312 |
Schedule Of Future Minimum Rental Payments | (dollars in thousands) Leases Subleases 2020 $ 47,184 (4,044) 2021 42,607 (3,480) 2022 35,845 (2,901) 2023 31,063 (2,308) 2024 26,256 (1,663) Thereafter 75,622 (6,336) Total Lease Payments $ 258,577 (20,732) Less: Interest 39,809 - Present value of lease liabilities 218,768 (20,732) |
Schedule Of Operating Lease Information | Lease Term and Discount Rate December 28, 2019 December 30, 2018 Weighted-average remaining lease term 4.44 4.69 Weighted-average discount rate 3.47% 3.84% |
Schedule Of Rent Expense | (dollars in thousands) 2018 2017 Minimum annual rentals $ 47,253 $ 46,804 Contingent rentals 419 432 Lease or sublease income (7,757) (7,612) $ 39,915 $ 39,624 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Retirement Plans [Abstract] | |
Schedule of Costs of Retirement Plans | (dollars in thousands) 2019 2018 2017 Retirement savings plan 3,434 3,525 3,343 Deferred compensation plan 801 508 813 Supplemental executive retirement plan 498 390 531 $ 4,733 $ 4,423 $ 4,687 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Revenue Recognition [Abstract] | |
Schedule Of Sales By Type Of Product | 52 Weeks Ended ( dollars in thousands ) December 28, 2019 December 29, 2018 December 30, 2017 Grocery $ 3,068,754 86.6 % $ 3,063,218 87.3 % $ 3,041,481 87.7 % Pharmacy 337,233 9.5 314,584 9.0 309,079 8.9 Fuel 127,828 3.6 125,993 3.6 109,467 3.2 Manufacturing 9,484 0.3 5,475 0.1 6,780 0.2 Total net sales $ 3,543,299 100.0 % $ 3,509,270 100.0 % $ 3,466,807 100.0 % |
Prior Year Reclassifications (T
Prior Year Reclassifications (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Prior Year Reclassifications [Abstract] | |
Summary Of Effect Of Reclassifications | December 29, 2018 December 30, 2017 Consolidated Statements of Income As Previously As Previously (dollars in thousands) Reported Reclassifications As Adjusted Reported Reclassifications As Adjusted Operating, general and administrative expenses $ 851,411 $ 919 $ 852,330 $ 836,098 $ (2,094) $ 834,004 Income from operations 83,590 (919) 82,671 76,425 2,094 78,519 Other income (expense) - 919 919 - (2,094) (2,094) |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | |
Schedule of Accumulated Other Comprehensive Income | Unrealized Gains on Available-for-Sale (dollars in thousands) Marketable Securities Accumulated other comprehensive income balance as of December 30, 2017 $ 5,880 Amount reclassified to retained earnings for equity unrealized gain (adoption of ASU 2016-01) (5,481) Other comprehensive loss before reclassifications (177) Amounts reclassified from accumulated other comprehensive income 40 Net current period other comprehensive Income (5,618) Accumulated other comprehensive income balance as of December 29, 2018 $ 262 Other comprehensive income before reclassifications 1,255 Amounts reclassified from accumulated other comprehensive income (37) Net current period change in other comprehensive income 1,218 Accumulated other comprehensive income balance as of December 28, 2019 $ 1,480 |
Schedule Of Reclassifications out of Accumulated Other Comprehensive Income | Amounts Reclassified from Accumulated Other Comprehensive Income to the Consolidated Statements of Income (dollars in thousands) Location 2019 2018 2017 Unrealized gains (losses) on available-for-sale marketable securities Investment income and interest expense $ (51) $ (54) $ (40) Provision for income taxes 14 14 11 Total amount reclassified, net of tax $ (37) $ (40) $ (29) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Income Taxes [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | (dollars in thousands) 2019 2018 2017 Current: Federal $ 11,779 $ 11,385 $ 10,630 State 3,117 4,594 1,972 Deferred: Federal 6,636 6,059 (34,659) State (871) (2,640) 2,666 $ 20,661 $ 19,398 $ (19,391) |
Schedule of Effective Income Tax Rate Reconciliation | (dollars in thousands) 2019 2018 2017 Income taxes at federal statutory rate $ 18,615 $ 17,249 $ 27,658 State income taxes, net of federal income tax benefit 1,333 639 1,306 Nondeductible employee-related expenses 1,974 768 1,828 2017 tax reform - 657 (49,336) Other (1,261) 85 (847) Provision for income taxes (effective tax rate 23.3% , 23.6% and (24.5)% , respectively) $ 20,661 $ 19,398 $ (19,391) |
Schedule of Deferred Tax Assets and Liabilities | (dollars in thousands) 2019 2018 Deferred tax assets: Accounts receivable $ 749 $ 588 Compensated absences - 355 Employment incentives 1,405 842 Employee benefit plans 4,853 4,914 General liability insurance 2,778 2,702 Postretirement benefit obligations 5,767 5,272 Net operating loss carryforwards 6,582 8,030 Other 8,136 7,967 Total deferred tax assets 30,270 30,670 Deferred tax liabilities: Inventories (13,072) (9,828) Unrealized gains on marketable securities (2,851) (1,809) Nondeductible accruals and other (5,252) (5,274) Depreciation (106,136) (104,552) Total deferred tax liabilities (127,311) (121,463) Net deferred tax liability $ (97,041) $ (90,793) |
Schedule of Unrecognized Tax Benefits | (dollars in thousands) 2019 2018 Unrecognized tax benefits at beginning of year $ 6,405 $ 4,691 Increases based on tax positions related to the current year 1,769 1,714 Additions for tax positions of prior year - - Reductions for tax positions of prior years - - Settlements - - Expiration of the statute of limitations for assessment of taxes (1,562) - Unrecognized tax benefits at end of year $ 6,612 $ 6,405 |
Summary of Quarterly Results (T
Summary of Quarterly Results (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Summary of Quarterly Results [Abstract] | |
Quarterly Financial Information | (dollars in thousands, except per share amounts) Thirteen Weeks Ended March 30, 2019 June 29, 2019 September 28, 2019 December 28, 2019 Net sales $ 876,718 $ 887,967 $ 876,222 $ 902,392 Gross profit on sales 229,552 236,670 232,825 239,147 Net income 14,304 20,475 14,319 18,885 Basic and diluted earnings per share $ .53 $ .76 $ .53 $ .70 (dollars in thousands, except per share amounts) Thirteen Weeks Ended March 31, 2018 June 30, 2018 September 29, 2018 December 29, 2018 Net sales $ 876,106 $ 871,100 $ 869,076 $ 892,988 Gross profit on sales 234,907 240,295 232,340 227,459 Net income 16,191 19,095 14,207 13,245 Basic and diluted earnings per share $ .60 $ .71 $ .53 $ .49 |
Summary Of Significant Accoun_4
Summary Of Significant Accounting Policies (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019USD ($)segment | Dec. 29, 2018USD ($) | Dec. 30, 2017USD ($) | |
Significant Accounting Policies [Line Items] | |||
Number of reportable segments | segment | 1 | ||
Fiscal Period Duration | 364 days | 364 days | 364 days |
Unrealized gain (loss) on equity securities | $ 1,975 | $ (1,606) | $ 0 |
Accounts Receivable, Allowance for Credit Loss | $ 2,800 | 2,100 | |
Percentage of facilities under operating lease | 52.00% | ||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 455 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 444 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 314 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 310 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 310 | ||
Impairment of Long-Lived Assets Held-for-use | 0 | 1,532 | 0 |
Self Insurance, Annual Maximum of Health Claims Liability per Associate | 500 | ||
Self Insurance, Maximum of Workers Compensation Claims Liability per Associate per Claim | 2,000 | ||
Stop loss insurance aggregating deductible | 250 | ||
Cost of Goods Sold, Vendor Allowances | 130,400 | 132,000 | 131,100 |
Vendor Paid Cooperative Advertising Credits | 24,800 | 19,400 | 19,200 |
Accounts Receivable, Earned Advertising Credits | 1,000 | 1,600 | |
Accounts Receivable, Earned Promotional Discounts | 9,500 | 12,800 | |
Unearned Income for Vendor Programs | 5,400 | 7,400 | |
Advertising Expense | 30,300 | 30,500 | $ 31,000 |
Operating lease right-to-use | 210,196 | 0 | |
Operating lease liability | 218,768 | ||
Investments [Member] | |||
Significant Accounting Policies [Line Items] | |||
Cash Equivalents, at Carrying Value | 32,900 | 5,400 | |
Consumer Electronic Payments [Member] | |||
Significant Accounting Policies [Line Items] | |||
Cash Equivalents, at Carrying Value | $ 23,100 | 23,600 | |
Accounting Standards Update 2016-02 [Member] | |||
Significant Accounting Policies [Line Items] | |||
Operating lease right-to-use | 202,000 | ||
Operating lease liability | $ 211,000 | ||
Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Lease renewal term | 20 years | ||
Property and Casualty Insurance, Deductible | $ 1,000 | ||
Minimum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Lease renewal term | 5 years | ||
Property and Casualty Insurance, Deductible | $ 100 | ||
Customer Lists [Member] | Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 10 years |
Summary Of Significant Accoun_5
Summary Of Significant Accounting Policies (Schedule of Finite-Lived and Indefinite-Lived Intangible Assets) (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Accumulated Amortization | $ 2,888 | $ 4,975 |
Intangible Assets, Gross (Excluding Goodwill) | 19,988 | 26,096 |
Intangible Assets, Net (Excluding Goodwill) | 17,100 | 21,121 |
Liquor Licenses [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived Intangible Assets (Excluding Goodwill) | 14,905 | 14,226 |
Asset Acquisitions And Other [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 5,083 | 11,870 |
Finite-Lived Intangible Assets, Accumulated Amortization | 2,888 | 4,975 |
Finite-Lived Intangible Assets, Net | $ 2,195 | $ 6,895 |
Marketable Securities (Narrativ
Marketable Securities (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Marketable Securities [Abstract] | |||
Investment income (loss) | $ 7,100 | $ 1,200 | |
Unrealized gain (loss) on equity securities | $ 1,975 | $ (1,606) | $ 0 |
Marketable Securities (Schedule
Marketable Securities (Schedule Of Marketable Securities) (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 52,264 | $ 46,699 |
Gross Unrealized Holding Gains | 2,091 | 426 |
Gross Unrealized Holding Losses | (18) | (53) |
Fair Value | 54,337 | |
Fair value | 63,538 | 54,298 |
Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Equity securities, Fair Value | 9,201 | 7,226 |
Municipal Bonds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 52,264 | 46,699 |
Gross Unrealized Holding Gains | 2,091 | 426 |
Gross Unrealized Holding Losses | (18) | (53) |
Fair Value | $ 54,337 | $ 47,072 |
Marketable Securities (Schedu_2
Marketable Securities (Schedule Of Maturities of Marketable Securities) (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Marketable Securities [Abstract] | ||
Amortized Cost, Due within one year | $ 4,666 | |
Amortized Cost, Due after one year through five years | 28,773 | |
Amortized Cost, Due after five years through ten years | 18,825 | |
Amortized Cost | 52,264 | $ 46,699 |
Fair Value, Due within one year | 4,678 | |
Fair Value, Due after one year through five years | 29,535 | |
Fair Value, Due after five years through ten years | 20,124 | |
Fair Value | $ 54,337 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Inventories [Abstract] | ||
LIFO | $ 204,043 | $ 211,911 |
Average Cost | 75,763 | 68,845 |
Inventories | 279,806 | 280,756 |
Excess of Replacement or Current Costs over Stated LIFO Value | $ 70,700 | $ 76,500 |
Property and Equipment (Schedul
Property and Equipment (Schedule Of Property, Plant And Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | $ 2,188,705 | $ 2,140,361 |
Less accumulated depreciation and amortization | 1,301,777 | 1,252,753 |
Property and equipment, net | 886,928 | 887,608 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 137,977 | 133,386 |
Buildings and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 736,812 | 713,128 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 1,096,252 | 1,069,616 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | $ 217,664 | $ 224,231 |
Minimum [Member] | Buildings and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 10 years | |
Minimum [Member] | Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 3 years | |
Minimum [Member] | Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 5 years | |
Maximum [Member] | Buildings and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 60 years | |
Maximum [Member] | Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 12 years | |
Maximum [Member] | Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 20 years |
Lease Commitments (Narrative) (
Lease Commitments (Narrative) (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Operating Leased Assets [Line Items] | ||
Operating lease right-to-use | $ 210,196 | $ 0 |
Operating lease liability | $ 218,768 | |
Percentage of facilities under operating lease | 52.00% | |
Maximum [Member] | ||
Operating Leased Assets [Line Items] | ||
Lease renewal term | 20 years | |
Minimum [Member] | ||
Operating Leased Assets [Line Items] | ||
Lease renewal term | 5 years | |
Accounting Standards Update 2016-02 [Member] | ||
Operating Leased Assets [Line Items] | ||
Operating lease right-to-use | 202,000 | |
Operating lease liability | $ 211,000 |
Lease Commitments (Schedule Of
Lease Commitments (Schedule Of Lease Costs) (Details) $ in Thousands | 12 Months Ended |
Dec. 28, 2019USD ($) | |
Lease Commitments [Abstract] | |
Operating lease cost | $ 46,063 |
Variable lease cost | 10,998 |
Lease or sublease income | (7,749) |
Net lease cost | $ 49,312 |
Lease Commitments (Schedule O_2
Lease Commitments (Schedule Of Future Minimum Rental Payments) (Details) $ in Thousands | Dec. 28, 2019USD ($) |
Leases | |
2020 | $ 47,184 |
2021 | 42,607 |
2022 | 35,845 |
2023 | 31,063 |
2024 | 26,256 |
Thereafter | 75,622 |
Total Lease Payments | 258,577 |
Less: Interest | 39,809 |
Present value of lease liabilities | 218,768 |
Subleases [Abstract] | |
2020 | (4,044) |
2021 | (3,480) |
2022 | (2,901) |
2023 | (2,308) |
2024 | (1,663) |
Thereafter | (6,336) |
Total Lease Payments | (20,732) |
Present value of lease liabilities | $ (20,732) |
Lease Commitments (Schedule O_3
Lease Commitments (Schedule Of Operating Lease Information) (Details) | Dec. 28, 2019 | Dec. 29, 2018 |
Lease Commitments [Abstract] | ||
Weighted-average remaining lease term | 4 years 5 months 9 days | 4 years 8 months 9 days |
Weighted-average discount rate | 3.47% | 3.84% |
Lease Commitments (Schedule O_4
Lease Commitments (Schedule Of Rent Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 29, 2018 | Dec. 30, 2017 | |
Lease Commitments [Abstract] | ||
Minimum annual rentals | $ 47,253 | $ 46,804 |
Contingent rentals | 419 | 432 |
Lease or sublease income | (7,757) | (7,612) |
Rent expense | $ 39,915 | $ 39,624 |
Retirement Plans (Narrative) (D
Retirement Plans (Narrative) (Details) $ in Millions | 12 Months Ended | |
Dec. 28, 2019USD ($) | Dec. 29, 2018USD ($) | |
Retirement Plans [Abstract] | ||
Number of supplemental retirement plans | 1 | |
Defined Benefit Plan, Benefit Obligation | $ 4.2 | |
Retirement Plans, Accumulated Benefit Obligation | $ 19 | $ 14.7 |
Service period to be fully vested | 3 years | |
Estimated payments in next year | $ 1 |
Retirement Plans (Schedule Of C
Retirement Plans (Schedule Of Costs Of Retirement Plan) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension Cost (Reversal of Cost) | $ 4,733 | $ 4,423 | $ 4,687 |
Retirement savings plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension Cost (Reversal of Cost) | 3,434 | 3,525 | 3,343 |
Deferred compensation plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension Cost (Reversal of Cost) | 801 | 508 | 813 |
Supplemental executive retirement plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension Cost (Reversal of Cost) | $ 498 | $ 390 | $ 531 |
Revenue Recognition (Schedule O
Revenue Recognition (Schedule Of Sales By Type Of Product) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 28, 2019USD ($) | Sep. 28, 2019USD ($) | Jun. 29, 2019USD ($) | Mar. 30, 2019USD ($) | Dec. 29, 2018USD ($) | Sep. 29, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 28, 2019USD ($)segment | Dec. 29, 2018USD ($) | Dec. 30, 2017USD ($) | |
Disaggregation of Revenue [Line Items] | |||||||||||
Number of reportable segments | segment | 1 | ||||||||||
Total net sales | $ 902,392 | $ 876,222 | $ 887,967 | $ 876,718 | $ 892,988 | $ 869,076 | $ 871,100 | $ 876,106 | $ 3,543,299 | $ 3,509,270 | $ 3,466,807 |
Revenue Benchmark [Member] | Product Concentration Risk [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Concentration percent | 100.00% | 100.00% | 100.00% | ||||||||
Grocery [Member] | Revenue Benchmark [Member] | Product Concentration Risk [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Total net sales | $ 3,068,754 | $ 3,063,218 | $ 3,041,481 | ||||||||
Concentration percent | 86.60% | 87.30% | 87.70% | ||||||||
Pharmacy [Member] | Revenue Benchmark [Member] | Product Concentration Risk [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Total net sales | $ 337,233 | $ 314,584 | $ 309,079 | ||||||||
Concentration percent | 9.50% | 9.00% | 8.90% | ||||||||
Fuel [Member] | Revenue Benchmark [Member] | Product Concentration Risk [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Total net sales | $ 127,828 | $ 125,993 | $ 109,467 | ||||||||
Concentration percent | 3.60% | 3.60% | 3.20% | ||||||||
Manufacturing [Member] | Revenue Benchmark [Member] | Product Concentration Risk [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Total net sales | $ 9,484 | $ 5,475 | $ 6,780 | ||||||||
Concentration percent | 0.30% | 0.10% | 0.20% |
Prior Year Reclassifications (N
Prior Year Reclassifications (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Other income (expense) | $ 3,049 | $ (919) | $ 2,094 |
Reclassifications [Member] | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Other income (expense) | $ 3,000 | $ (919) | $ 2,094 |
Prior Year Reclassifications (S
Prior Year Reclassifications (Summary Of Effect Of Reclassifications) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Operating, general and administrative expenses | $ 853,555 | $ 852,330 | $ 834,004 |
Income from operations | 84,639 | 82,671 | 78,519 |
Other income (expense) | (3,049) | 919 | (2,094) |
As Previously Reported [Member] | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Operating, general and administrative expenses | 851,411 | 836,098 | |
Income from operations | 83,590 | 76,425 | |
Reclassifications [Member] | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Operating, general and administrative expenses | 919 | (2,094) | |
Income from operations | (919) | 2,094 | |
Other income (expense) | $ (3,000) | $ 919 | $ (2,094) |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Schedule Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Amount reclassified to retained earnings for equity unrealized gain (adoption of ASU 2016-01) | $ 0 | $ 0 | |
Unrealized Gains On Available-For-Sale Marketable Securities [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive income balance, beginning balance | $ 262 | 5,880 | |
Amount reclassified to retained earnings for equity unrealized gain (adoption of ASU 2016-01) | (5,481) | ||
Other comprehensive income (loss) before reclassifications | 1,255 | (177) | |
Amounts reclassified from accumulated other comprehensive income | (37) | 40 | |
Net current period change in other comprehensive income | 1,218 | (5,618) | |
Accumulated other comprehensive income balance, ending balance | $ 1,480 | $ 262 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Schedule Of Reclassifications out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 28, 2019 | Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Dec. 29, 2018 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Investment income and interest expense | $ 7,054 | $ (1,454) | $ 2,598 | ||||||||
Provision for income taxes | (20,661) | (19,398) | 19,391 | ||||||||
Net income | $ 18,885 | $ 14,319 | $ 20,475 | $ 14,304 | $ 13,245 | $ 14,207 | $ 19,095 | $ 16,191 | 67,983 | 62,738 | 98,414 |
Unrealized Gains On Available-For-Sale Marketable Securities [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Investment income and interest expense | (51) | (54) | (40) | ||||||||
Provision for income taxes | 14 | 14 | 11 | ||||||||
Net income | $ (37) | $ (40) | $ (29) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 28, 2019 | Dec. 31, 2018 | Dec. 29, 2018 | Dec. 30, 2017 | |
Income Taxes [Line Items] | ||||
Federal tax rate | 21.00% | 21.00% | 21.00% | 35.00% |
Effective tax rate | 23.30% | 23.60% | (24.50%) | |
2017 tax reform | $ 657 | $ (49,336) | ||
Unrecognized tax benefits that would impact effective tax rate | $ 1,800 | 1,700 | 1,600 | |
Earliest Tax Year [Member] | PENNSYLVANIA | ||||
Income Taxes [Line Items] | ||||
Open Tax Year | 2016 | |||
Latest Tax Year [Member] | PENNSYLVANIA | ||||
Income Taxes [Line Items] | ||||
Open Tax Year | 2019 | |||
Federal [Member] | ||||
Income Taxes [Line Items] | ||||
Income Taxes Paid | $ 11,300 | 4,500 | 12,000 | |
State [Member] | ||||
Income Taxes [Line Items] | ||||
Income Taxes Paid | 2,800 | $ 2,100 | $ 1,000 | |
Operating Loss Carryforwards | $ 83,400 | |||
Operating Loss Carryforwards, Expiration Date | Jan. 1, 2027 |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Income Taxes [Abstract] | |||
Current, Federal | $ 11,779 | $ 11,385 | $ 10,630 |
Current, State | 3,117 | 4,594 | 1,972 |
Deferred, Federal | 6,636 | 6,059 | (34,659) |
Deferred, State | (871) | (2,640) | 2,666 |
Provision for income taxes | $ 20,661 | $ 19,398 | $ (19,391) |
Income Taxes (Schedule of Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Income Taxes [Abstract] | |||
Income taxes at federal statutory rate | $ 18,615 | $ 17,249 | $ 27,658 |
State income taxes, net of federal income tax benefit | 1,333 | 639 | 1,306 |
Nondeductible employee-related expenses | 1,974 | 768 | 1,828 |
2017 tax reform | 657 | (49,336) | |
Other | (1,261) | 85 | (847) |
Provision for income taxes | $ 20,661 | $ 19,398 | $ (19,391) |
Effective tax rate | 23.30% | 23.60% | (24.50%) |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Income Taxes [Abstract] | ||
Accounts receivable | $ 749 | $ 588 |
Compensated absences | 0 | 355 |
Employment incentives | 1,405 | 842 |
Employee benefit plans | 4,853 | 4,914 |
General liability insurance | 2,778 | 2,702 |
Postretirement benefit obligations | 5,767 | 5,272 |
Net operating loss carryforwards | 6,582 | 8,030 |
Other | 8,136 | 7,967 |
Total deferred tax assets | 30,270 | 30,670 |
Inventories | (13,072) | (9,828) |
Unrealized gains on marketable securities | (2,851) | (1,809) |
Nondeductible accruals and other | (5,252) | (5,274) |
Depreciation | (106,136) | (104,552) |
Total deferred tax liabilities | (127,311) | (121,463) |
Net deferred tax liability | $ (97,041) | $ (90,793) |
Income Taxes (Schedule of Unrec
Income Taxes (Schedule of Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Income Taxes [Abstract] | ||
Unrecognized tax benefits at beginning of year | $ 6,405 | $ 4,691 |
Increases based on tax positions related to the current year | 1,769 | 1,714 |
Additions for tax positions of prior year | 0 | 0 |
Reductions for tax positions of prior years | 0 | 0 |
Settlements | 0 | 0 |
Expiration of the statute of limitations for assessment of taxes | (1,562) | 0 |
Unrecognized tax benefits at end of year | $ 6,612 | $ 6,405 |
Summary of Quarterly Results (D
Summary of Quarterly Results (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 28, 2019 | Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Dec. 29, 2018 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | |
Summary of Quarterly Results [Abstract] | |||||||||||
Net sales | $ 902,392 | $ 876,222 | $ 887,967 | $ 876,718 | $ 892,988 | $ 869,076 | $ 871,100 | $ 876,106 | $ 3,543,299 | $ 3,509,270 | $ 3,466,807 |
Gross profit on sales | 239,147 | 232,825 | 236,670 | 229,552 | 227,459 | 232,340 | 240,295 | 234,907 | 938,194 | 935,001 | 912,523 |
Net income | $ 18,885 | $ 14,319 | $ 20,475 | $ 14,304 | $ 13,245 | $ 14,207 | $ 19,095 | $ 16,191 | $ 67,983 | $ 62,738 | $ 98,414 |
Basic and diluted earnings per share | $ 0.70 | $ 0.53 | $ 0.76 | $ 0.53 | $ 0.49 | $ 0.53 | $ 0.71 | $ 0.60 | $ 2.53 | $ 2.33 | $ 3.66 |
Long-Term Debt (Details)
Long-Term Debt (Details) - USD ($) | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Line of Credit Facility [Line Items] | ||
Interest Expense, Debt | $ 55,000 | $ 288,000 |
Revolving Credit Facility [Member] | Wells Fargo Bank, N.A. [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of Credit Facility, Maximum Borrowing Capacity | 30,000,000 | |
Line of Credit Facility, Remaining Borrowing Capacity | 18,800,000 | |
Line of Credit [Member] | Wells Fargo Bank, N.A. [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, discretionary amount available | 70,000,000 | |
Letter of Credit [Member] | Wells Fargo Bank, N.A. [Member] | ||
Line of Credit Facility [Line Items] | ||
Amount of facility borrowed | $ 11,200,000 |
Valuation and Qualifying Acco_2
Valuation and Qualifying Accounts (Details) - Allowance For Uncollectible Accounts [Member] - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 28, 2019 | Dec. 29, 2018 | Dec. 30, 2017 | ||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at Beginning of Period | $ 2,090 | $ 1,946 | $ 1,455 | |
Charged to Costs and Expenses | 1,975 | 1,144 | 2,176 | |
Charged to Accounts | ||||
Deductions | [1] | 1,308 | 1,000 | 1,685 |
Balance at End of Period | $ 2,757 | $ 2,090 | $ 1,946 | |
[1] | Deductions are uncollectible accounts written off, net of recoveries. |