Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Feb. 17, 2022 | Jul. 17, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Jan. 1, 2022 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | FLO | ||
Title of 12(b) Security | Common Stock | ||
Security Exchange Name | NYSE | ||
Entity Registrant Name | FLOWERS FOODS, INC | ||
Entity Central Index Key | 0001128928 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Interactive Data Current | Yes | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity File Number | 1-16247 | ||
Entity Tax Identification Number | 58-2582379 | ||
Entity Address, Address Line One | 1919 Flowers Circle | ||
Entity Address, City or Town | Thomasville | ||
Entity Address, State or Province | GA | ||
Entity Address, Postal Zip Code | 31757 | ||
City Area Code | 229 | ||
Local Phone Number | 226-9110 | ||
Entity Incorporation, State or Country Code | 2Q | ||
Current Fiscal Year End Date | --01-01 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Shell Company | false | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Common Stock, Shares Outstanding | 211,536,622 | ||
Entity Public Float | $ 4,982,859,803 | ||
Auditor Name | PricewaterhouseCoopers LLP | ||
Auditor Location | Atlanta, Georgia | ||
Auditor Firm ID | 238 | ||
Documents Incorporated by Reference | Portions of the registrant’s Proxy Statement for the 2022 Annual Meeting of Shareholders to be held May 26, 2022, which is expected to be filed with the Securities and Exchange Commission on or about April 12, 2022, have been incorporated by reference into Part III, Items 10, 11, 12, 13 and 14 of this Annual Report on Form 10-K. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 185,871 | $ 307,476 |
Accounts and notes receivable, net of allowances of $15,398 and $15,162, respectively | 305,196 | 300,001 |
Inventories: | ||
Raw materials | 54,458 | 48,977 |
Packaging materials | 24,580 | 20,744 |
Finished goods | 55,942 | 55,508 |
Inventories, net | 134,980 | 125,229 |
Spare parts and supplies | 68,479 | 68,108 |
Other | 51,592 | 37,389 |
Total current assets | 746,118 | 838,203 |
Property, plant and equipment: | ||
Land | 112,729 | 93,037 |
Buildings | 550,947 | 484,805 |
Machinery and equipment | 1,256,821 | 1,226,403 |
Furniture, fixtures and transportation equipment | 184,528 | 170,150 |
Construction in progress | 87,367 | 59,137 |
Property, plant and equipment, gross | 2,192,392 | 2,033,532 |
Less: accumulated depreciation | (1,393,664) | (1,334,139) |
Property, plant and equipment, net | 798,728 | 699,393 |
Financing lease right-of-use assets | 3,476 | 5,419 |
Operating lease right-of-use assets | 289,013 | 328,712 |
Notes receivable from independent distributor partners | 154,310 | 176,412 |
Assets held for sale | 11,369 | 5,641 |
Other assets | 9,623 | 9,081 |
Goodwill | 545,244 | 545,244 |
Other intangible assets, net | 695,432 | 714,918 |
Total assets | 3,253,313 | 3,323,023 |
Current liabilities: | ||
Current maturities of financing leases | 1,584 | 1,769 |
Current maturities of operating leases | 46,390 | 50,139 |
Accounts payable | 268,500 | 225,918 |
Other accrued liabilities | 203,443 | 226,279 |
Total current liabilities | 519,917 | 504,105 |
Long-term debt and right-of-use lease liabilities: | ||
Noncurrent long-term debt | 890,609 | 960,103 |
Noncurrent financing lease obligations | 1,910 | 3,590 |
Noncurrent operating lease obligations | 250,638 | 290,264 |
Total long-term debt and right-of-use lease liabilities | 1,143,157 | 1,253,957 |
Other liabilities: | ||
Post-retirement/post-employment obligations | 7,249 | 10,049 |
Deferred taxes | 133,757 | 128,259 |
Other long-term liabilities | 37,959 | 53,659 |
Total other long-term liabilities | 178,965 | 191,967 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common stock — $.01 stated par value and $.001 current par value; 500,000,000 authorized shares; 228,729,585 issued shares | 199 | 199 |
Treasury stock — 17,334,804 and 17,126,261 shares, respectively | (232,304) | (225,405) |
Capital in excess of par value | 678,414 | 659,682 |
Retained earnings | 962,378 | 932,094 |
Accumulated other comprehensive income | 2,587 | 6,424 |
Total stockholders’ equity | 1,411,274 | 1,372,994 |
Total liabilities and stockholders’ equity | 3,253,313 | 3,323,023 |
Series A Preferred Stock | ||
Stockholders’ equity: | ||
Preferred Stock, value | ||
Series B Preferred Stock | ||
Stockholders’ equity: | ||
Preferred Stock, value |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Accounts and notes receivable, allowances | $ 15,398 | $ 15,162 |
Preferred stock, shares authorized | 1,000,000 | |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, current par value | $ 0.001 | $ 0.001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 |
Common stock, shares issued | 228,729,585 | 228,729,585 |
Treasury stock, shares | 17,334,804 | 17,126,261 |
Series A Preferred Stock | ||
Preferred stock, par value | $ 100 | $ 100 |
Preferred stock, shares authorized | 200,000 | 200,000 |
Preferred stock, shares issued | 0 | 0 |
Series B Preferred Stock | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 800,000 | 800,000 |
Preferred stock, shares issued | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Income Statement [Abstract] | |||
Sales | $ 4,330,767 | $ 4,387,991 | $ 4,123,974 |
Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately below) | 2,175,247 | 2,196,142 | 2,155,709 |
Selling, distribution and administrative expenses | 1,719,797 | 1,693,387 | 1,575,122 |
Depreciation and amortization | 136,559 | 141,384 | 144,228 |
Restructuring and related impairment charges | 35,483 | 23,524 | |
Loss (recovery) on inferior ingredients | 944 | 107 | (37) |
Multi-employer pension plan withdrawal costs | 3,300 | ||
Income from operations | 294,920 | 321,488 | 225,428 |
Interest expense | 31,534 | 38,790 | 38,847 |
Interest income | (23,533) | (26,696) | (27,750) |
Loss on extinguishment of debt | 16,149 | ||
Pension plan settlement and curtailment loss | 403 | 108,757 | |
Other components of net periodic pension and postretirement benefits (credit) expense | (405) | (74) | 2,248 |
Income before income taxes | 270,772 | 200,711 | 212,083 |
Income tax expense | 64,585 | 48,393 | 47,545 |
Net income | $ 206,187 | $ 152,318 | $ 164,538 |
Basic: | |||
Net income per common share | $ 0.97 | $ 0.72 | $ 0.78 |
Weighted average shares outstanding | 211,840 | 211,782 | 211,606 |
Diluted: | |||
Net income per common share | $ 0.97 | $ 0.72 | $ 0.78 |
Weighted average shares outstanding | 213,033 | 212,345 | 211,974 |
Cash dividends paid per common share | $ 0.8300 | $ 0.7900 | $ 0.7500 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net income | $ 206,187 | $ 152,318 | $ 164,538 |
Pension and postretirement plans: | |||
Settlement and curtailment loss | 302 | 81,277 | |
Net actuarial gain (loss) for the period | 788 | 18,588 | (8,000) |
Current year prior service credit | 1,661 | ||
Amortization of prior service cost included in net income | 41 | 83 | 259 |
Amortization of actuarial loss included in net income | 400 | 1,082 | 5,099 |
Pension and postretirement plans, net of tax | 3,192 | 101,030 | (2,642) |
Derivative instruments: | |||
(Loss) gain on effective portion of derivatives | (5,348) | 9,298 | 8,457 |
(Gain) loss reclassified to net income | (1,681) | 2,116 | (2,664) |
Derivative instruments, net of tax | (7,029) | 11,414 | 5,793 |
Other comprehensive (loss) income, net of tax | (3,837) | 112,444 | 3,151 |
Comprehensive income | $ 202,350 | $ 264,762 | $ 167,689 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Common Stock | Capital in Excess of Par Value | Retained Earnings | Retained EarningsCumulative Effect, Period of Adoption, Adjustment | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Treasury StockCumulative Effect, Period of Adoption, Adjustment |
Balances at Dec. 29, 2018 | $ 1,258,267 | $ (2,915) | $ 199 | $ 653,477 | $ 945,410 | $ (2,915) | $ (109,171) | $ (231,648) | |
Balances (in shares) at Dec. 29, 2018 | 228,729,585 | ||||||||
Balances, treasury shares at Dec. 29, 2018 | (17,834,378) | ||||||||
Net income | 164,538 | 164,538 | |||||||
Derivative instruments, net of tax (Note 10) | 5,793 | 5,793 | |||||||
Pension and postretirement plans, net of tax (Note 20) | (2,642) | (2,642) | |||||||
Stock repurchases | (7,054) | $ (7,054) | |||||||
Stock repurchases (in shares) | (336,088) | ||||||||
Issuance of deferred stock awards | (911) | $ 911 | |||||||
Issuance of deferred stock awards (in shares) | 69,377 | ||||||||
Amortization of share-based compensation awards | 7,430 | 7,430 | |||||||
Performance-contingent and time-based restricted stock awards issued (Note 19) | (11,498) | $ 11,498 | |||||||
Performance-contingent and time-based restricted stock awards issued (in shares) | 885,123 | ||||||||
Issuance of deferred compensation | (6) | $ 6 | |||||||
Issuance of deferred compensation (in shares) | 452 | ||||||||
Dividends paid on vested performance-contingent restricted stock and deferred share awards and share-based payments awards | (1,361) | (1,361) | |||||||
Dividends paid | (158,626) | (158,626) | |||||||
Balances at Dec. 28, 2019 | 1,263,430 | $ 199 | 648,492 | 947,046 | (106,020) | $ (226,287) | |||
Accounting Standards Update [Extensible Enumeration] | us-gaap:AccountingStandardsUpdate201602Member | us-gaap:AccountingStandardsUpdate201602Member | |||||||
Balances (in shares) at Dec. 28, 2019 | 228,729,585 | ||||||||
Balances, treasury shares at Dec. 28, 2019 | (17,215,514) | ||||||||
Net income | 152,318 | 152,318 | |||||||
Derivative instruments, net of tax (Note 10) | 11,414 | 11,414 | |||||||
Pension and postretirement plans, net of tax (Note 20) | 101,030 | 101,030 | |||||||
Stock repurchases | (783) | $ (783) | |||||||
Stock repurchases (in shares) | (37,433) | ||||||||
Issuance of deferred stock awards | (651) | $ 651 | |||||||
Issuance of deferred stock awards (in shares) | 49,539 | ||||||||
Amortization of share-based compensation awards | 12,855 | 12,855 | |||||||
Performance-contingent and time-based restricted stock awards issued (Note 19) | (975) | $ 975 | |||||||
Performance-contingent and time-based restricted stock awards issued (in shares) | 74,204 | ||||||||
Issuance of deferred compensation | (39) | $ 39 | |||||||
Issuance of deferred compensation (in shares) | 2,943 | ||||||||
Dividends paid on vested performance-contingent restricted stock and deferred share awards and share-based payments awards | (109) | (109) | |||||||
Dividends paid | (167,161) | (167,161) | |||||||
Balances at Jan. 02, 2021 | $ 1,372,994 | $ 199 | 659,682 | 932,094 | 6,424 | $ (225,405) | |||
Balances (in shares) at Jan. 02, 2021 | 228,729,585 | ||||||||
Balances, treasury shares at Jan. 02, 2021 | (17,126,261) | (17,126,261) | |||||||
Net income | $ 206,187 | 206,187 | |||||||
Derivative instruments, net of tax (Note 10) | (7,029) | (7,029) | |||||||
Pension and postretirement plans, net of tax (Note 20) | 3,192 | 3,192 | |||||||
Stock repurchases | $ (9,510) | $ (9,510) | |||||||
Stock repurchases (in shares) | (406,840) | (406,840) | |||||||
Issuance of deferred stock awards | (636) | $ 636 | |||||||
Issuance of deferred stock awards (in shares) | 48,231 | ||||||||
Amortization of share-based compensation awards | $ 21,343 | 21,343 | |||||||
Performance-contingent and time-based restricted stock awards issued (Note 19) | (1,798) | $ 1,798 | |||||||
Performance-contingent and time-based restricted stock awards issued (in shares) | 136,652 | ||||||||
Issuance of deferred compensation | (177) | $ 177 | |||||||
Issuance of deferred compensation (in shares) | 13,414 | ||||||||
Dividends paid on vested performance-contingent restricted stock and deferred share awards and share-based payments awards | (234) | (234) | |||||||
Dividends paid | (175,669) | (175,669) | |||||||
Balances at Jan. 01, 2022 | $ 1,411,274 | $ 199 | $ 678,414 | $ 962,378 | $ 2,587 | $ (232,304) | |||
Balances (in shares) at Jan. 01, 2022 | 228,729,585 | ||||||||
Balances, treasury shares at Jan. 01, 2022 | (17,334,804) | (17,334,804) |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Statement Of Stockholders Equity [Abstract] | |||
Cash dividends paid per common share | $ 0.8300 | $ 0.7900 | $ 0.7500 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Cash flows provided by (disbursed for) operating activities: | |||
Net income | $ 206,187 | $ 152,318 | $ 164,538 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Restructuring and related impairment charges | 23,627 | 21,062 | |
Depreciation and amortization | 136,559 | 141,384 | 144,228 |
Stock-based compensation | 21,343 | 12,855 | 7,430 |
(Gain) loss reclassified from accumulated other comprehensive income to net income | (2,115) | 2,675 | (3,707) |
Deferred income taxes | 6,777 | (31,154) | 18,609 |
Provision for inventory obsolescence | 16 | 3,601 | 337 |
Allowances for accounts receivable | 6,071 | 11,344 | 11,034 |
Pension and postretirement plans expense | 1,306 | 109,823 | 3,234 |
Other | 2,473 | (924) | 1,579 |
Qualified pension plan contributions | (7,600) | (2,500) | |
Changes in operating assets and liabilities, net of acquisitions and disposals: | |||
Accounts receivable, net | (10,600) | (25,021) | (7,809) |
Inventories, net | (9,767) | (1,771) | (4,774) |
Hedging activities, net | (4,967) | 15,829 | 10,289 |
Accounts payable | 38,076 | (5,772) | (14,155) |
Other assets and accrued liabilities | (46,749) | 53,250 | 17,557 |
Net cash provided by operating activities | 344,610 | 454,464 | 366,952 |
Cash flows provided by (disbursed for) investing activities: | |||
Purchases of property, plant and equipment | (135,964) | (97,929) | (103,685) |
Repurchase of independent distributor territories | (4,585) | (3,114) | (2,705) |
Cash paid at issuance of notes receivable | (12,135) | (10,660) | (22,644) |
Principal payments from notes receivable | 31,996 | 32,153 | 29,173 |
Acquisition of trademark | (10,200) | ||
Proceeds from sales of property, plant and equipment | 2,995 | 5,368 | 2,649 |
Purchase of leased warehouses | (64,689) | ||
Other investing activities | 1,144 | 190 | 119 |
Net cash disbursed for investing activities | (191,438) | (73,992) | (97,093) |
Cash flows provided by (disbursed for) financing activities: | |||
Dividends paid, including dividends on share-based payment awards | (175,903) | (167,270) | (159,987) |
Contingent consideration | (4,700) | ||
Payments for debt issuance costs | (6,022) | (206) | (110) |
Stock repurchases | (9,510) | (783) | (7,054) |
Change in bank overdrafts | 261 | 3,134 | 3,217 |
Proceeds from debt borrowings | 497,570 | 484,900 | 609,250 |
Debt obligation payments | (579,428) | (392,400) | (723,500) |
Payments on financing leases | (1,745) | (6,715) | (5,937) |
Net cash disbursed for financing activities | (274,777) | (84,040) | (284,121) |
Net (decrease) increase in cash and cash equivalents | (121,605) | 296,432 | (14,262) |
Cash and cash equivalents at beginning of period | 307,476 | 11,044 | 25,306 |
Cash and cash equivalents at end of period | 185,871 | 307,476 | 11,044 |
Schedule of non-cash investing and financing activities: | |||
Right-of-use assets obtained in exchange for new financing lease liabilities | 37 | 79 | 9,854 |
Right-of-use assets obtained in exchange for new operating lease liabilities | 55,869 | 16,022 | 44,585 |
Distributor routes sold with deferred gains, net | 241 | 207 | 241 |
Purchase of property, plant and equipment included in accounts payable | 9,124 | 4,662 | 5,983 |
Cash paid during the period for: | |||
Interest | 52,620 | 35,920 | 36,430 |
Income taxes paid, net of refunds of $305, $917 and $460, respectively | 69,401 | 68,758 | 39,121 |
Executive Deferred Compensation Plan | |||
Schedule of non-cash investing and financing activities: | |||
Issuance of executive deferred compensation plan common stock | 177 | 39 | 6 |
Distributor Notes Receivable | |||
Schedule of non-cash investing and financing activities: | |||
Issuance of notes receivable on new distribution territories, net | $ 21,008 | $ 25,029 | $ 50,532 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Statement Of Cash Flows [Abstract] | |||
Income tax refunds | $ 305 | $ 917 | $ 460 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Note 1. Basis of Presentation General. The accompanying Consolidated Financial Statements of Flowers Foods, Inc. (the “company”, “Flowers Foods”, “Flowers”, “us”, “we”, or “our”) have been prepared by the company’s management in accordance with generally accepted accounting principles in the United States of America (“GAAP”). Reporting Segment . The company has one operating segment based on the nature of products the company sells, intertwined production and distribution model, the internal management structure and information that is regularly reviewed by the chief executive officer (“CEO”), who is the chief operating decision maker, for the purpose of assessing performance and allocating resources. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies Basis of Consolidation . The Consolidated Financial Statements include the accounts of the company and its wholly-owned subsidiaries. Intercompany transactions and balances are eliminated in consolidation. Use of Estimates . The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Fiscal Year End . The company operates on a 52-53 week fiscal year ending the Saturday nearest December 31. Fiscal 2021 consisted of 52 weeks, Fiscal 2020 consisted of 53 weeks, and Fiscal 2019 consisted of 52 weeks. Revenue Recognition . Revenue is recognized when obligations under the terms of a contract with our customers are satisfied. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. The company records both direct and estimated reductions to gross revenue for customer programs and incentive offerings at the time the incentive is offered or at the time of revenue recognition for the underlying transaction that results in progress by the customer towards earning the incentive. These allowances include price promotion discounts, coupons, customer rebates, cooperative advertising, and product returns. Consideration payable to a customer is recognized at the time control transfers and is a reduction to revenue. The recognition of costs for promotion programs involves the use of judgment related to performance and redemption estimates. Estimates are made based on historical experience and other factors. Price promotion discount expense is recorded as a reduction to gross sales when the discounted product is sold to the customer. Shipping and handling costs associated with outbound freight after control over a product has transferred to a customer are accounted for as a fulfillment cost and are included in our selling, distribution, and administrative expenses line item on the Consolidated Statements of Income. The company’s production facilities deliver products to independent distributor partners (“IDP” or “IDPs”), who sell and deliver those products to outlets of retail accounts that are within the IDPs’ defined geographic territory. The IDPs sell products using either scan-based trading (“SBT”) technology, authorized charge tickets, or cash sales. SBT technology allows the retailer to take ownership of our products when the consumer purchases the products rather than at the time they are delivered to the retailer. Control of the inventory does not transfer upon delivery to the retailer because the company controls the risks and rights until the product is scanned at the reseller’s register. Each of the company’s products is considered distinct because the resellers expect each item to be a performance obligation. The company’s performance obligations are satisfied at the point in time when the end consumer purchases the product because each product is considered a separate performance obligation. Consequently, revenue is recognized at a point in time for each scanned item. The company has concluded that we are the principal. In Fiscal 2021, 2020, and 2019, the company recorded $2.2 billion, $2.3 billion, and $1.9 billion, respectively, in sales through SBT. SBT is utilized primarily in certain national and regional retail accounts (“SBT Outlet”). Generally, revenue is not recognized by the company upon delivery of our products by the company to the IDP or upon delivery of our products by the IDP to an SBT Outlet, but when our products are purchased by the end consumer. Product inventory in the SBT Outlet is reflected as inventory on the Consolidated Balance Sheets. The IDP performs a physical inventory of products at each SBT Outlet weekly and reports the results to the company. The inventory data submitted by the IDP for each SBT Outlet is compared with the product delivery data. Product delivered to a SBT Outlet that is not recorded as inventory in the product delivery data has been purchased by the consumer/customer of the SBT Outlet and is recorded as sales revenue by the company. Non-SBT sales are classified as either authorized charge sales or cash sales. The company provides marketing support to the IDP for authorized charge sales but does not provide marketing support to the IDP for cash sales. Marketing support includes providing a dedicated account representative, resolving complaints, and accepting responsibility for product quality which collectively define how to manage the relationship. Revenue is recognized at a point in time for non-SBT sales. The company retains inventory risk, establishes negotiated special pricing, and fulfills the contractual obligations for authorized charge sales. The company is the principal, the IDP is the agent, and the reseller is the customer. Revenue is recognized for authorized charge sales when the product is delivered to the customer because the company has satisfied its performance obligations. Cash sales occur when the IDP is the end customer. The IDP maintains accounts receivable, inventory and fulfillment risk for cash sales. The IDP also controls pricing for the resale of cash sale products. The company is the principal and the IDP is the customer, and an agent relationship does not exist. The discount paid to the IDP for cash sales is recorded as a reduction to revenue. Revenue is recognized for cash sales when the company’s products are delivered to the IDP because the company has satisfied its performance obligations. Certain sales are under contracts and include a formal ordering system. Orders are placed primarily using purchase orders (“PO”) or electronic data interchange information. Each PO, together with the applicable master supply agreement, is determined to be a separate contract. Product is delivered via contract carriers engaged by either the company or the customer with shipping terms provided in the PO. Each unit sold, for all product categories, is a separate performance obligation. Each unit is considered distinct because the customer can benefit from each unit by selling each one separately to the end consumer. Additionally, each unit is separately identifiable in the PO. Products are delivered either freight-on-board (“FOB”) shipping or destination. The company’s right to payment is at the time our products are obtained from our warehouse for FOB shipping deliveries. The right to payment for FOB destination deliveries occurs after the products are delivered to the customer. Revenue is recognized at a point in time when control transfers. The company pays commissions to brokers who obtain contracts with customers. Commissions are paid on the total value of the contract, which is determined at contract inception and is based on expected future activity. Broker commissions will not extend beyond a one-year term because each product is considered a separate order in the PO. The company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the company otherwise would have recognized is one year or less. These costs are included in our selling, distribution, and administrative expenses line item on the Consolidated Statements of Income. The company disaggregates revenue by sales channel. Our sales channels are branded retail, store branded retail, and non-retail and other. The non-retail and other channel includes foodservice, restaurants, institutional, vending, thrift stores, and contract manufacturing. The company does not disaggregate revenue by geographic region, customer type, or contract type. All revenues are recognized at a point in time. Sales by sales channel category are as follows for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Branded retail $ 2,875,418 $ 2,914,072 $ 2,478,669 Store branded retail 534,794 607,741 647,056 Non-retail and other 920,555 866,178 998,249 Total $ 4,330,767 $ 4,387,991 $ 4,123,974 Cash and Cash Equivalents . The company considers deposits in banks, certificates of deposits, and short-term investments with original maturities of three months or less, and highly liquid investments that are readily convertible to known amounts of cash to be cash and cash equivalents. Accounts and Notes Receivable . Accounts and notes receivable consist of trade receivables, current portions of distributor notes receivable, and miscellaneous receivables. The company recognizes an allowance for credit losses related to its accounts and notes receivable to present the net amount expected to be collected as of the balance sheet date. The company estimates this allowance based on historical data such as days sales outstanding trends, previous write-offs of balances, and weekly reviews of aged trial balances, among others. Accounts and notes receivable balances are written off when deemed uncollectible and are recognized as a deduction from the allowance for credit losses. Expected recoveries, not to exceed the amount previously written off, are considered in determining the reserve balance at the balance sheet date. Activity in the allowance for doubtful accounts is as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Ending Balance Fiscal 2021 $ 15,162 $ 6,071 $ 5,835 $ 15,398 Fiscal 2020 $ 9,473 $ 11,344 $ 5,655 $ 15,162 Fiscal 2019 $ 5,751 $ 11,034 $ 7,312 $ 9,473 Activity in the allowance for trade accounts receivable credit losses for Fiscal 2021 and 2020 was as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Recoveries and other Ending Balance Fiscal 2021 $ 4,901 $ 596 $ (1,018 ) $ (1,927 ) $ 2,552 Fiscal 2020 $ 2,089 $ 2,875 $ (2,319 ) $ 2,256 $ 4,901 The amounts charged to expense for bad debts in the table above, along with other non-trade accounts receivable amounts, are reported as adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. The write-offs represent the amounts that are used to reduce the gross accounts and notes receivable at the time the balance due from the customer is written-off. Walmart/Sam’s Club is our only customer with a balance greater than 10% of outstanding trade receivables. Their percentage of trade receivables was 19.8% and 18.8%, on a consolidated basis, as of January 1, 2022 and January 2, 2021, respectively. No other customer accounted for greater than 10% of the company’s outstanding receivables. Concentration of Credit Risk . The company performs periodic credit evaluations and grants credit to customers, who are primarily in the grocery and foodservice markets, and generally does not require collateral. Our top 10 customers in Fiscal 2021, 2020, and 2019 accounted for 53.7%, 53.6% and 51.0% of sales, respectively Percent of Sales Fiscal 2021 21.2 % Fiscal 2020 21.2 % Fiscal 2019 21.1 % Walmart/Sam’s Club is the only customer to account for greater than 10% of the company’s sales. Inventories . Inventories at January 1, 2022 and January 2, 2021 are valued at net realizable value. Costs for raw materials and packaging are recorded at moving average cost. Finished goods inventories are valued at average costs. The company will write down inventory to net realizable value for estimated unmarketable inventory equal to the difference between the cost of the inventory and the estimated net realizable value for situations when the inventory is impaired by damage, deterioration, or obsolescence. Activity in the inventory reserve allowance is as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Ending Balance Fiscal 2021 $ 1,920 $ 16 $ 1,652 $ 284 Fiscal 2020 $ 161 $ 3,601 $ 1,842 $ 1,920 Fiscal 2019 $ 143 $ 337 $ 319 $ 161 The amounts charged to expense for inventory loss in the table above are reported as adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. The write-offs and other column represents the amounts that are used to reduce gross inventories. Shipping Costs . Shipping costs are included in the selling, distribution and administrative line item of the Consolidated Statements of Income. For Fiscal 2021, 2020, and 2019, shipping costs were $1,063.6 million, $1,075.8 million, and $1,010.5 million, respectively, including the costs paid to IDPs. Spare Parts and Supplies . The company maintains inventories of spare parts and supplies, which are used for repairs and maintenance of its machinery and equipment. These spare parts and supplies allow the company to react quickly in the event of a mechanical breakdown. These parts are valued using the moving average method and are expensed as the part is used. Periodic physical inventories of the parts are performed, and the value of the parts is adjusted for any obsolescence or difference from the physical inventory count. Assets Held for Sale . Assets to be sold are classified as held for sale in the period all the required criteria are met. The company generally has three types of assets classified as held for sale. These include distribution rights, plants and depots/warehouses, and other equipment. See Note 8, , for these amounts by classification. Though under no obligation to do so, the company repurchases distribution rights from and sells distribution rights to IDPs from time to time. At the time the company purchases distribution rights from an IDP, the fair value purchase price of the distribution right is recorded as “Assets Held for Sale”. Upon the sale of the distribution rights to a new IDP, the new distributor franchisee/owner may choose how he/she desires to finance the purchase of the business. If the new distributor chooses to use optional financing via a company-related entity, a note receivable of up to ten years is recorded for the financed amount with a corresponding credit to assets held for sale to relieve the carrying amount of the territory. Any difference between the selling price of the business and the distribution rights’ carrying value, if any, is recorded as a gain or a loss in selling, distribution and administrative expenses because the company considers the IDP activity a cost of distribution. This gain is recognized over the term of the outstanding notes receivable as payments are received from the IDP. In instances where a distribution right is sold for less than its carrying value, a loss is recorded at the date of sale and any impairment of a distribution right held for sale is recorded at such time when the impairment occurs. The deferred gains were $19.7 million and $23.9 million at January 1, 2022 and January 2, 2021, respectively, and are recorded in other short and long-term liabilities on the Consolidated Balance Sheets. The company recorded net gains of $1.6 million during Fiscal 2021, $5.1 million during Fiscal 2020 and $4.1 million during Fiscal 2019 related to the sale of distribution rights as a component of selling, distribution and administrative expenses. The gains recorded during Fiscal 2021 included a loss of $4.7 million of repurchase obligations of distribution rights related to a legal settlement. See Note 22, Commitments and Contingencies Property, Plant and Equipment and Depreciation . Property, plant and equipment is recognized at cost. Depreciation expense is computed using the straight-line method over the estimated useful lives of the depreciable assets. The table below presents the range of estimated useful lives by property, plant and equipment class. Useful life term (years) Asset Class Low High Buildings 10 40 Machinery and equipment 3 25 Furniture, fixtures and transportation equipment 3 15 Property recorded as leasehold improvements is amortized over the shorter of the lease term or the estimated useful life of the leased property. Depreciation expense, excluding amortization of right-of-use financing leases, for Fiscal 2021, 2020, and 2019 was as follows (amounts in thousands): Depreciation expense Fiscal 2021 $ 103,949 Fiscal 2020 $ 103,490 Fiscal 2019 $ 107,891 The company had no capitalized interest during Fiscal 2021, 2020, and 2019. The cost of maintenance and repairs is charged to expense as incurred. Upon disposal or retirement, the cost and accumulated depreciation of assets are eliminated from the respective accounts. Any gain or loss is reflected in the company’s Consolidated Statements of Income and is included in adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. Leases. At the beginning of our Fiscal 2019, the company adopted the new standard using the modified retrospective transition method, which required companies to recognize lease liabilities and a right of use asset for virtually all leases on the balance sheet. The impact at adoption was an increase to assets of $387.3 million and an increase to liabilities of $391.9 million at the beginning of our Fiscal 2019. The company’s leases consist of the following types of assets: bakeries, corporate office space, warehouses, bakery equipment, transportation equipment, and IT equipment (debt is discussed separately in Note 14, Debt and Other Commitments Real estate and equipment contracts occasionally contain multiple lease and non-lease components. Generally, non-lease components represent maintenance and utility related charges, and are primarily minor to the overall value of applicable contracts. These contracts also contain fixed payments with stated rent escalation clauses or fixed payments based on an index such as CPI. Additionally, some contracts contain tenant improvement allowances, rent holidays, lease premiums, and contingent rent provisions (which are treated as variable lease payments). Building and/or office space leases generally require the company to pay for common area maintenance (CAM), insurance, and taxes that are not included in the base rental payments, with the majority of these leases treated as net leases, and the remainder treated as gross or modified gross leases. The lease term for real estate leases primarily ranges from one to 22 years, with a few leases that are month to month, and accounted for as short-term leases. See discussion on short-term leases below. The term of bakery equipment leases primarily ranges from less than a year up to seven years. Transportation equipment generally has terms of less than one year up to seven years. IT equipment is typically leased from less than a year up to five years. Certain equipment (i.e., equipment subject to management contracts) and IT equipment leases have terms shorter than a year and are accounted for as short-term leases. See discussion on short-term leases below. These contracts may contain renewal options for periods of one month up to 10 years at fixed percentages of market pricing, with some that are reasonably certain of exercise. For those contracts that contain leases, the company recognizes renewal options as part of right-of-use assets and lease liabilities. All other renewal and termination options are not reasonably certain of exercise or occurrence as of January 1, 2022. These contracts may also contain right of first offer purchase options, along with expansion options that are not reasonably certain of exercise. Additionally, these contracts do not contain residual value guarantees, and there are no other restrictions or covenants in the contracts. For these real estate contracts, the company’s exclusive use of specified real estate for a specific term and for consideration resulted in the company treating these contracts as leases under the new standard. For those contracts that contain leases of buildings and land, the company has elected to not separate land components from leases of specified property, plant, and equipment, as it was determined to have no effect on lease classification for any lease component, and the amounts recognized for the land lease components would have been immaterial. These contracts may also contain end-term purchase options, whereby, the company may purchase the assets for stated pricing at the lesser of fair market value or a percentage of original asset cost. Yet, these purchase options were determined to not be reasonably certain of exercise or occurrence as of January 1, 2022. Additionally, these contracts do not contain residual value guarantees, and there are no other restrictions or covenants in the contracts. The company’s ability to make those decisions that most effect the economic benefits derived from the use of the equipment, accompanied by receiving substantially all outputs and utility from the use of the equipment resulted in the company accounting for these contracts as leases. These leases are classified as operating leases under the new standard because real estate leases do not transfer ownership at the end of the lease term, assets are not of such a specialized nature that real estate would not have alternative uses to lessors at the end of the lease term, lease terms do not represent a major part of the total useful life of real estate, and the present value of lease payments do not represent substantially all the fair value of leased assets at commencement. Short-term leases The company has also entered into short-term leases of certain real estate assets, along with IT equipment, and various equipment used for short-term bakery needs through equipment placement or service contracts that require purchase of consumables. These leases extend for periods of one to 12 months. Lease term and amounts of payments are generally fixed. There are no purchase options present, however, there generally are renewals that could extend lease terms for additional periods. Generally, renewal options, as they cannot be unilaterally exercised, are not reasonably certain of exercise, do not contain residual value guarantees, and there are no other restrictions or covenants in the leases. Therefore, the company recognizes lease payments from these short-term leases and variable payments on the Consolidated Statements of Income in the period in which obligation for those payments have been incurred. Modifications and reassessments During Fiscal 2021 and 2020, the company elected certain renewal options that were not previously certain of exercise. Election of these renewal options resulted in reassessment of lease terms for the applicable leases. The company included the renewal periods in measurement of lease terms for the applicable leases. Given that rental payments in the renewal periods were fixed, the company also remeasured the lease payments, and reallocated remaining contract consideration to the lease components within the applicable real estate leases. Although the triggering events did not result in changes to lease classification (i.e., all remained operating leases), they did affect the measurement of lease liabilities, right-of-use assets (“ROU assets”), and amounts recognized as lease expense for the applicable real estate leases. Other significant judgments and assumptions For all classes of assets, the company primarily used our incremental borrowing rates (“IBR”) to perform lease classification tests and measure lease liabilities because discount rates implicit in the company’s leases were not readily determinable. Embedded leases The company maintains a transportation agreement with an entity that transports a portion of the company’s fresh bakery products from the company’s production facilities to outlying distribution centers. The company concluded that this agreement contained embedded leases for the trucks and trailers used to satisfy the service provider’s obligations to the company through December 31, 2020. On December 31, 2020, a re-measurement event occurred, and a conclusion was reached that these no longer met the requirements of an embedded lease due to a change in the contractual terms to allow for the substitution of assets, among other changes to the terms. As a result, on January 2, 2021, there were no ROU assets or liabilities associated with the transportation agreement. The gain on the termination of these embedded leases was $4.1 million. During Fiscal 2020 and Fiscal 2019, the company entered into embedded leases for IT equipment that, as of January 1, 2022, were $3.0 million of financing ROU assets and financing ROU liabilities. As of January 2, 2021, the embedded leases were $4.6 million of financing ROU assets and financing ROU liabilities. The company did not enter into any embedded leases during Fiscal 2021. See Note 13, Leases Segment . The company has one operating segment based on the nature of products the company sells, intertwined production and distribution model, the internal management structure and information that is regularly reviewed by the CEO, who is the chief operating decision maker, for the purpose of assessing performance and allocating resources. Impairment of Long-Lived Held and Used Assets . The company determines whether there has been an impairment of long-lived held and used assets when indicators of potential impairment are present. We consider historical performance and future estimated results in our evaluation of impairment. If facts and circumstances indicate that the cost of any long-lived held and used assets may be impaired, an evaluation of recoverability would be performed. If an estimate of the asset’s fair value is required in order to determine if an impairment should be recorded, the estimated future gross, undiscounted cash flows associated with the asset would be compared to the asset’s carrying amount and if lower than the carrying value, a write-down to market value is required. There were no restructuring and related impairment charges during Fiscal 2021. Total impairments (inclusive of property, plant and equipment, notes receivable, spare parts, and ROU assets) for Fiscal 2020 and 2019 , and the line item to which each item is recorded in our Consolidated Statements of Income, are presented below (amounts in thousands): Restructuring and related impairment charges line item Fiscal 2020 Fiscal 2019 Plant closings $ 5,747 $ 5,133 Line and distribution depot closings 629 356 Spare parts 734 174 Lease impairment charges 9,397 — Impairment of assets $ 16,507 $ 5,663 Fiscal 2020 During Fiscal 2020, the company sold three closed bakeries included in assets held for sale and certain idle equipment at other bakeries included in property, plant, and equipment, resulting in the recognition of $5.7 million of impairment charges. Additionally, the company recognized property, plant, and equipment impairment charges of $0.6 million for line and distribution depot closures and an office building it decided to sell, and $0.7 million for spare parts related to equipment it no longer intended to use. Additionally, in order to optimize our distribution network, we vacated certain distribution depots during Fiscal 2020, some of which are owned and others that were leased. Fiscal 2019 The company recognized impairment charges during the first quarter of Fiscal 2019 related to manufacturing line closures of $0.4 million. During the second quarter of Fiscal 2019, an impairment charge of $1.3 million was recognized for the Winston-Salem, North Carolina closed plant recorded in assets held for sale. The company also recognized an impairment charge of $3.9 million during the third quarter of Fiscal 2019 for the Opelika, Alabama plant closure costs. The company sold the closed plant in Winston-Salem, North Carolina during the third quarter of Fiscal 2019, at which time an additional $0.2 million of spare parts write-offs were recognized. The company received $1.9 million and recognized a gain of $0.8 million at the time of sale. The impairment charges and the gain recognized are recorded in the restructuring and related impairment charges line item on our Consolidated Statements of Income. See Note 5, Restructuring Activities Impairment of Other Intangible Assets . The company accounts for other intangible assets at fair value. These intangible assets can be either finite or indefinite-lived depending on the facts and circumstances at acquisition. Finite-lived intangible assets are reviewed for impairment when facts and circumstances indicate that the cost of any finite-lived intangible asset may be impaired. This recoverability test is based on an undiscounted cash flows expected to result from the company’s use and eventual disposition of the asset. If these cash flows are sufficient to recover the carrying value over the useful life there is no impairment. Amortization of finite-lived intangible assets occurs over their estimated useful lives. The amortization periods, at origination, range from two years to forty years for these assets. The attribution methods we primarily use are the sum-of-the-year digits for customer relationships and straight-line for other intangible assets. These finite-lived intangible assets generally include trademarks, customer relationships, non-compete agreements, distributor relationships, and supply agreements. Identifiable intangible assets that are determined to have an indefinite useful economic life are not amortized. Indefinite-lived intangible assets are tested for impairment, at least annually, using a one-step fair value-based approach or when certain indicators of potential impairment are present. We have elected not to perform the qualitative approach. We also reassess the indefinite-lived classification to determine if it is appropriate to reclassify these assets as finite-lived assets that will require amortization. We consider historical performance and future estimated results in our evaluation of impairment. If facts and circumstances indicate that the cost of any indefinite-lived intangible assets may be impaired, an evaluation of the fair value of the asset is compared to its carrying amount. If the carrying amount exceeds the fair value, an impairment charge is recorded for the difference. We use the multi-period excess earnings and relief from royalty methods to value these indefinite-lived intangible assets. Fair value is estimated using the future gross, discounted cash flows associated with the asset using the following five material assumptions: (a) discount rate; (b) long-term sales growth rates; (c) forecasted operating margins (not applicable to the relief from royalty method) , (d) assumed royalty rate ; and ( e ) market multiples. The method used for impairment testing purposes is consistent with the valuation method employed at acquisition of the intangible asset. These indefinite-lived intangible assets are trademarks acquired in a purchase business combination. In order to optimize sales and production of our organic products, the company decided to cease using the Alpine Valley During Fiscal 2019, the company recorded impairment charges of $15.4 million for trademarks impacted by a brand rationalization study which resulted in changing our focus in certain markets from regional brands to national brands to maximize our marketing and advertising campaigns. See Note 5, Restructuring Activities The company evaluates useful lives for finite-lived intangible assets to determine if facts or circumstances arise that may impact the estimates of useful lives assigned and the remaining amortization duration. Indefinite-lived intangible assets that are determined to have a finite useful life are tested for impairment as an indefinite-lived intangible asset prior to commencing amortization. We determined that an indefinite-lived asset should be reclassified to finite-lived with an attribution period covering our estimate of the assets’ useful life. These intangible assets were assigned a useful life ranging from 5 years to 40 years. Future adverse changes in market conditions or poor operating results of underlying intangible assets could result in losses or an inability to recover the carrying value of the intangible assets that may not be reflected in the assets’ current carrying values, thereby possibly requiring an impairment charge in the future. See Note 9, Goodwill and Other Intangible Assets Goodwill . The company accounts for goodwill in a purchase business combination as the excess of the cost over the fair value of net assets acquired. The company tests goodwill for impairment on |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Changes And Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Note 3. Recent Accounting Pronouncements Pronouncements adopted during Fiscal 2021 In December 2019, the FASB issued guidance which removes certain exceptions for investments, intraperiod allocations and interim calculations, and adds guidance to reduce complexity in accounting for income taxes. The company adopted the new standard as of January 3, 2021, the beginning of our Fiscal 2021. Accounting for franchise taxes required adoption on a retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. All other applicable provisions were adopted on a prospective basis. The adoption of this guidance did not have a material impact on our consolidated financial statements and disclosures. In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848).” This ASU contains practical expedients for reference rate reform related activities that impact debt, leases, derivatives, and other contracts, and the optional expedients can be applied to contract modifications made until December 31, 2022 and elected during this period when rate reform activities occur. During the first quarter of Fiscal 2021, we adopted relevant hedge accounting expedients related to probability and the ongoing assessments of effectiveness for future LIBOR-indexed cash flows to assume that the index upon which future hedged transactions will be based matches the index on the corresponding derivatives, which would then result in the use of a replacement rate for this analysis. We anticipate applying these expedients to hedges impacted by rate reform in the future. Application of these expedients will preserve the presentation of derivatives consistent with past presentation, and as a result, we expect the adoption of this portion of the ASU, when such rate reform activities occur, will not have a material impact to our consolidated financial statements. We will continue to evaluate the impact of the guidance and may apply other elections, as applicable, if additional contract modifications or reform activities occur. Accounting pronouncements not yet adopted We have reviewed other recently issued accounting pronouncements and concluded that either they are not applicable to our business or no material effect is expected upon future adoption. |
Product Recall and Loss (Recove
Product Recall and Loss (Recovery) on Inferior Ingredients | 12 Months Ended |
Jan. 01, 2022 | |
Product Recall And Recovery Loss On Inferior Ingredients [Abstract] | |
Product Recall and Loss (Recovery) on Inferior Ingredients | Note 4 . Product Recall and Loss (Recovery) on Inferior Ingredients Product Recall On July 9, 2019, the company issued a voluntary product recall for certain hamburger and hot dog buns and other bakery products due to the potential presence of small pieces of hard plastic that may have been introduced during production. The products recalled were distributed to retail customers under a variety of brand names in 18 states. The costs for the product recall were $0.8 million for Fiscal 2019. Costs associated with the product recall were reclassified from material, supplies, labor and other production costs and selling, distribution and administrative expenses to the ‘loss (recovery) on inferior ingredients’ line item in our Consolidated Statements of Income. Loss (Recovery) on Inferior Ingredients During Fiscal 2021, the company issued a voluntary recall on certain Tastykake Tastykake During Fiscal 2020, the company received ingredient shipments containing gluten which were used to produce our gluten-free products. The company issued a voluntary product recall due to the potential presence of gluten in certain products. The products recalled were distributed to retail customers in 14 states. The recall was initiated after finished product testing revealed the possible presence of gluten. The cause was gluten present in ingredients from a supplier that should not have contained gluten. We incurred costs of $1.3 million related to the recall of gluten-free products and an adjustment to previously recorded inferior yeast costs discussed below. In June 2018, the company received from a supplier several shipments of inferior yeast, which reduced product quality and disrupted production and distribution of foodservice and retail bread and buns at several of the company’s bakeries during the second quarter. While the supplier confirmed that the inferior yeast used in the baking process was safe for consumption, customers and consumers reported instances of unsatisfactory product attributes, primarily involving smell and taste. In addition, the company incurred costs associated with inferior whey during the third quarter of Fiscal 2018. A voluntary recall was issued on July 18, 2018 due to the potential of tainted whey. Costs associated with inferior whey were reclassified from material, supplies, labor and other production costs to the ‘Loss (recovery) on inferior ingredients’ line item in our Consolidated Statements of Income. During the fourth quarter of Fiscal 2020, the company received a $1.2 million reimbursement from the supplier for the direct costs associated with the inferior yeast. We also received a reimbursement of $3.9 million for indirect losses associated with the inferior yeast, and this amount is included in the selling, distribution, and administrative expenses line item of the Consolidated Statements of Income. During Fiscal 2019, the company received an additional $1.8 million for the reimbursement of costs associated with receiving inferior ingredients. Unless otherwise noted, the costs and reimbursements related to these inferior ingredients are included in the ‘Loss (recovery) on inferior ingredients’ line item in our Consolidated Statements of Income. The table below presents the total costs and recoveries during Fiscal 2021, 2020 and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Expense recognized $ 1,894 $ 1,257 $ 1,785 Recoveries recognized (950 ) (1,150 ) (1,822 ) Total loss (recovery) on inferior ingredients $ 944 $ 107 $ (37 ) |
Restructuring Activities
Restructuring Activities | 12 Months Ended |
Jan. 01, 2022 | |
Restructuring And Related Activities [Abstract] | |
Restructuring Activities | Note 5 . Restructuring Activities In Fiscal 2016, we announced the launch of Project Centennial, a comprehensive business and operational review. We identified opportunities to enhance revenue growth, streamline operations, improve efficiencies, and make investments that strengthen our competitive position and improve margins over the long term. We began Project Centennial with an evaluation of our brands, product mix, and organizational structure. Most importantly, Project Centennial marked a significant shift in mindset from a sales and operations focused enterprise to a brand focused, consumer focused packaged foods company. Strategic priorities developed as part of Project Centennial were designed to improve margins and profitably grow revenue over time. These priorities included: reducing costs to fuel growth, developing leading capabilities, reinvigorating core business, and capitalizing on product adjacencies. The company operated under an organizational structure established with two business units (“BUs”), Fresh Bakery and Snacking/Specialty since May of 2017, and realigned key leadership roles. This structure also provided for centralized marketing, sales, supply chain, shared-services/administrative, and corporate strategy functions, each with more clearly defined roles and responsibilities. On July 17, 2020, the company implemented additional organizational structure changes designed to increase focus on brand growth, product innovation, and improving underperforming bakeries. Elimination of the BUs and adoption of a brand focused organizational structure was Basis of Presentation, Unless otherwise noted, restructuring related costs are recorded in the restructuring and related impairments line item on our Consolidated Statements of Income. The table below presents the components of costs associated with Project Centennial in Fiscal 2020 and 2019 (amounts in thousands): Fiscal 2020 Fiscal 2019 Restructuring and related impairment charges: Reorganization costs $ — $ 253 Lease termination charges 4,077 — Impairment charges, net of gain on sale 23,627 20,229 Employee termination benefits 7,779 3,042 Restructuring and related impairment charges (1) 35,483 23,524 Project Centennial implementation costs (2) 15,548 784 Total Project Centennial restructuring and implementation costs $ 51,031 $ 24,308 (1) Presented on our Consolidated Statements of Income. (2) Represents non-restructuring costs and are recorded in the selling, distribution, and administrative expenses line item of our Consolidated Statements of Income. The table below details the restructuring impairments (inclusive of property, plant and equipment, ingredient and packaging, and spare parts and intangible assets) that were recognized during Fiscal 2020 and 2019 (amounts in thousands): Fiscal 2020 Fiscal 2019 Plant closure costs $ 5,747 $ 5,133 Line and distribution depot closure costs 629 356 Spare parts 734 174 Brand rationalization study impairments 7,120 15,399 Lease impairment charges 9,397 — Gain on sale — (833 ) Total restructuring impairment of assets $ 23,627 $ 20,229 Fiscal 2020 In order to optimize sales and production of our organic products, the company decided to cease using the Alpine Valley During Fiscal 2020, the company sold three closed bakeries that were included in assets held for sale and certain idle equipment at other bakeries that were included in property, plant, and equipment, resulting in the recognition of $5.7 million of impairment charges. Additionally, the company recognized property, plant, and equipment impairment charges of $0.6 million for manufacturing line and distribution depot closures and an office building it has decided to sell, and $0.7 million for spare parts related to equipment the company no longer intends to use. In order to optimize our distribution network, we vacated certain distribution depots during Fiscal 2020, some of which are owned and others that were leased. This resulted in the recognition of lease impairment charges totaling $9.4 million and lease termination charges of $4.1 million. During Fiscal 2020, the company incurred $2.6 million of employee termination benefits charges related to a voluntary employee separation incentive plan (the “VSIP”). Additionally, the company announced an involuntary reduction-in-force plan (the “RIF”) and recognized charges of $5.3 million during Fiscal 2020. These charges consisted primarily of employee severance and benefits-related costs. All remaining payments related to the plans were paid in early Fiscal 2021. Fiscal 2019 We began relocating certain employees during the third quarter of Fiscal 2017 as we transition to the enhanced organizational structure. Reorganization costs of $0.3 million for Fiscal 2019 for relocating employees were incurred. Additionally, a brand rationalization study which identified certain regional brand products that transitioned to national brands resulted in an additional impairment charge of $15.4 million on certain finite-lived intangible assets. The company recognized an impairment charge of $3.9 million and severance costs of $1.5 million during the third quarter of Fiscal 2019 for the Opelika, Alabama plant closure costs. The company recognized impairment charges during the first quarter of Fiscal 2019 related to manufacturing line closures of $0.4 million. During the second quarter of Fiscal 2019, an impairment charge of $1.3 million was recognized for a closed plant recorded in assets held for sale. The table below presents the components of, and changes in, our restructuring accruals (amounts in thousands): VSIP RIF Employee termination benefits (1) Reorganization costs (2) Distribution Network Optimization Total Liability balance at December 29, 2018 $ 174 $ — $ 227 $ — $ — $ 401 Charges — — 3,042 253 — 3,295 Cash payments — — (1,819 ) (253 ) — (2,072 ) Liability balance (3) at December 28, 2019 $ 174 $ — $ 1,450 $ — $ — $ 1,624 Charges 2,639 5,289 (149 ) — 4,077 11,856 Cash payments (1,777 ) (4,817 ) (1,301 ) — (4,077 ) (11,972 ) Liability balance (3) at January 2, 2021 $ 1,036 $ 472 $ — $ — $ — $ 1,508 Charges — — — — — — Cash payments (1,036 ) (472 ) — — — (1,508 ) Liability balance (3) at January 1, 2022 $ — $ — $ — $ — $ — $ — (1) Employee termination benefits not related to the VSIP. (2) Reorganization costs include employee relocation expenses. (3) Recorded in the other accrued current liabilities line item of our Consolidated Balance Sheets. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Jan. 01, 2022 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 6. Accumulated Other Comprehensive Income (Loss) The company’s total comprehensive loss presently consists of net income, adjustments for our derivative financial instruments accounted for as cash flow hedges, and various pension and other postretirement benefit related items. During Fiscal 2021, 2020, and 2019, reclassifications out of AOCI were as follows (amounts in thousands): Amount Reclassified from AOCI Affected Line Item in the Statement Details about AOCI Components (Note 2) Fiscal 2021 Fiscal 2020 Fiscal 2019 Where Net Income is Presented Derivative instruments: Interest rate contracts $ 126 $ (145 ) $ (142 ) Interest expense Commodity contracts 2,115 (2,675 ) 3,707 Cost of sales, Note 3, below Total before tax $ 2,241 $ (2,820 ) $ 3,565 Total before tax Tax (expense) benefit (560 ) 704 (901 ) Tax expense Total net of tax $ 1,681 $ (2,116 ) $ 2,664 Net of tax Pension and postretirement plans: Prior-service credits $ (55 ) $ (111 ) $ (346 ) Note 1, below Settlement loss (403 ) (108,757 ) — Note 1, below Actuarial losses (532 ) (1,447 ) (6,822 ) Note 1, below Total before tax $ (990 ) $ (110,315 ) $ (7,168 ) Total before tax Tax benefit 247 27,873 1,810 Tax benefit Total net of tax $ (743 ) $ (82,442 ) $ (5,358 ) Net of tax benefit Total reclassifications from AOCI $ 938 $ (84,558 ) $ (2,694 ) Net of tax benefit Note 1: These items are included in the computation of net periodic pension cost. See Note 20, Postretirement Plans , for additional information. Note 2: Amounts in parentheses indicate debits to determine net income. Note 3: Amounts are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. During Fiscal 2021, 2020, and 2019, amounts recognized in AOCI, exclusive of reclassifications, were as follows (amounts in thousands): Amount of Gain (Loss) Recognized in AOCI AOCI component Fiscal 2021 Fiscal 2020 Fiscal 2019 Derivative instruments: Interest rate contracts $ 3,902 — — Commodity contracts (11,030 ) $ 12,395 $ 11,313 Total before tax $ (7,128 ) $ 12,395 $ 11,313 Tax benefit (expense) 1,780 (3,097 ) (2,856 ) Total net of tax $ (5,348 ) $ 9,298 $ 8,457 Pension and postretirement plans: Current year actuarial loss (gain) $ 1,050 $ 24,872 $ (10,702 ) Current year prior service credit 2,214 — — Total before tax $ 3,264 $ 24,872 $ (10,702 ) Tax (expense) benefit (815 ) (6,284 ) 2,702 Total net of tax $ 2,449 $ 18,588 $ (8,000 ) Total recognized in AOCI $ (2,899 ) $ 27,886 $ 457 During Fiscal 2021, changes to AOCI, net of income tax, by component were as follows (amounts in thousands): Cash Flow Hedge Items Defined Benefit Pension Plan Items Total AOCI at January 2, 2021 $ 13,072 $ (6,648 ) $ 6,424 Other comprehensive gain before reclassifications (5,348 ) 2,449 (2,899 ) Reclassified to earnings from AOCI (1,681 ) 743 (938 ) AOCI at January 1, 2022 $ 6,043 $ (3,456 ) $ 2,587 During Fiscal 2020, changes to AOCI, net of income tax, by component were as follows (amounts in thousands): Cash Flow Hedge Items Defined Benefit Pension Plan Items Total AOCI at December 28, 2019 $ 1,658 $ (107,678 ) $ (106,020 ) Other comprehensive loss (gain) before reclassifications 9,298 18,588 27,886 Reclassified to earnings from AOCI 2,116 82,442 84,558 AOCI at January 2, 2021 $ 13,072 $ (6,648 ) $ 6,424 Amounts reclassified out of AOCI to net income that relate to commodity contracts are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. The following table presents the net of tax amount of the loss reclassified from AOCI for our commodity contracts (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Gross gain (loss) reclassified from AOCI into income $ 2,115 $ (2,675 ) $ 3,707 Tax (expense) benefit (529 ) 668 (936 ) Net of tax $ 1,586 $ (2,007 ) $ 2,771 |
Notes Receivable
Notes Receivable | 12 Months Ended |
Jan. 01, 2022 | |
Receivables [Abstract] | |
Notes Receivable from IDPs | Note 7 . Notes Receivable from IDPs The company provides direct financing to certain IDPs for the purchase of the IDPs’ distribution rights and records the notes receivable on the Consolidated Balance Sheets. The distribution rights are financed for up to ten years. During Fiscal 2021, 2020, and 2019 the following amounts were recorded as interest income, the majority of which relates to these notes receivable (amounts in thousands): Interest income Fiscal 2021 $ 23,533 Fiscal 2020 $ 26,696 Fiscal 2019 $ 27,750 The notes receivable are collateralized by the IDPs’ distribution rights. Additional details are included in Note 16, Fair Value of Financial Instruments |
Assets Held for Sale
Assets Held for Sale | 12 Months Ended |
Jan. 01, 2022 | |
Property Plant And Equipment Assets Held For Sale Disclosure [Abstract] | |
Assets Held for Sale | Note 8 . Assets Held for Sale The company repurchases distribution rights from IDPs in circumstances when the company decides to exit a territory or, in some cases, when the IDP elects to terminate its relationship with the company. In most distributor agreements, if the company decides to exit a territory or stop using the independent distribution model in a territory, the company is contractually required to purchase the distribution rights from the IDP. In the event an IDP terminates its relationship with the company, the company, although not legally obligated, may repurchase and operate those distribution rights as a company-owned territory. The IDPs may also sell their distribution rights to another person or entity. Distribution rights purchased from IDPs and operated as company-owned territories are recorded on the Consolidated Balance Sheets in the line item “Assets Held for Sale” while the company actively seeks another IDP to purchase the distribution rights for the territory. Distribution rights held for sale and operated by the company are sold to IDPs at fair market value pursuant to the terms of a distributor agreement. There are multiple versions of the distributor agreement in place at any given time and the terms of such distributor agreements vary. During Fiscal 2021, the company sold an office building and certain distribution depots included in assets held for sale at January 2, 2021. The company received net proceeds of $2.2 million and recognized a gain of $0.9 million at the time of sale. Also during Fiscal 2021, the company acquired and classified $1.6 million and $4.3 million of equipment and property, respectively, as held for sale. During the first quarter of Fiscal 2020, two closed bakeries were reclassified as held for sale. During the second quarter of Fiscal 2020, the company entered into a contract to sell these two closed bakeries and an additional bakery The company sold a closed plant in Winston-Salem, North Carolina, which was reclassified to assets held for sale in Fiscal 2017, during the third quarter of Fiscal 2019. The company received $1.9 million and recognized a gain of $0.8 million at the time of sale. The gain on sale is recognized in the restructuring and related impairment charges line item on the Consolidated Statements of Income. Additional assets recorded in assets held for sale are for property, plant and equipment. The carrying values of assets held for sale are not amortized and are evaluated for impairment as required. The table below presents the assets held for sale as of January 1, 2022 and January 2, 2021, respectively (amounts in thousands): January 1, 2022 January 2, 2021 Distribution rights $ 5,147 $ 3,707 Property, plant and equipment 6,222 1,934 Total assets held for sale $ 11,369 $ 5,641 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Jan. 01, 2022 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Note 9 . Goodwill and Other Intangible Assets The table below summarizes our goodwill and other intangible assets at January 1, 2022 and January 2, 2021, respectively, each of which is explained in additional detail below (amounts in thousands): January 1, 2022 January 2, 2021 Goodwill $ 545,244 $ 545,244 Amortizable intangible assets, net of amortization 568,332 587,818 Indefinite-lived intangible assets 127,100 127,100 Total goodwill and other intangible assets $ 1,240,676 $ 1,260,162 Goodwill was not impaired in Fiscal 2021, 2020, or 2019. As of January 1, 2022 and January 2, 2021, the company had the following amounts related to amortizable intangible assets (amounts in thousands): January 1, 2022 January 2, 2021 Asset Cost Accumulated Amortization Net Value Cost Accumulated Amortization Net Value Trademarks $ 477,115 $ 78,124 $ 398,991 $ 466,915 $ 64,426 $ 402,489 Customer relationships 318,021 151,496 166,525 318,021 135,068 182,953 Non-compete agreements 5,154 5,074 80 5,154 5,034 120 Distributor relationships 4,123 3,398 725 4,123 3,123 1,000 Distributor routes held and used 2,548 537 2,011 1,377 121 1,256 Total $ 806,961 $ 238,629 $ 568,332 $ 795,590 $ 207,772 $ 587,818 The company acquired trademarks for $10.2 million during the second quarter of Fiscal 2021. These trademarks are being amortized over their estimated useful life. As of January 1, 2022 and January 2, 2021, there was $127.1 million of indefinite-lived intangible trademark assets separately identified from goodwill. These trademarks are classified as indefinite-lived because there is no foreseeable limit to the period over which the asset is expected to contribute to our cash flows. They are well established brands with a long history and well-defined markets. In addition, we are continuing to use these brands both in their original markets and throughout our expansion territories. We believe these factors support an indefinite-life assignment with an annual impairment analysis to determine if the trademarks are realizing their expected economic benefits. Fiscal 2020 restructuring and related impairment charges In order to optimize sales and production of our organic products, the company decided to cease using the Alpine Valley Fiscal 2019 restructuring and related impairment charges During Fiscal 2019, the company recognized intangible asset impairments of $15.4 million that are recorded in the restructuring and related impairment charges line item of our Consolidated Statements of Income. The impairments are a result of a brand rationalization study that impacted certain trademarks’ future use. The study concluded that certain products of our regional brands were to be discontinued or converted to one of our national brands. As a result of these actions, a triggering event occurred, and we examined several trademarks for potential impairment. One of the trademarks was an indefinite-lived trademark asset and was tested by comparing the fair value of the brand to its carrying value. Based on this analysis the indefinite-lived trademark was not impaired, however, the company has evaluated the classification of this asset and determined that it should be recognized as finite-lived as of December 28, 2019 with an estimated useful life of 33 years that began amortizing at the beginning of Fiscal 2020. Three finite-lived trademark assets were tested using an undiscounted cash flow test. As a result of this test, the projected cash flows for two of the finite-lived brands did not exceed the carrying value. One of the finite-lived brands was not considered impaired using the undiscounted cash flow test. The second step of the test determined the fair value of the asset and the difference between the fair value and the carrying value was recorded as an impairment for the two finite-lived trademark assets that failed step one. The impairment charge also consisted of one brand that has limited future benefits to the company and was fully impaired. All of these impairments were attributed to regional brands. Amortization expense Amortization expense for Fiscal 2021, 2020, and 2019 was as follows (amounts in thousands): Amortization expense Fiscal 2021 $ 30,857 Fiscal 2020 $ 30,704 Fiscal 2019 $ 29,323 Estimated amortization of intangibles for Fiscal 2022 and the next four years thereafter is as follows (amounts in thousands): Fiscal year Amortization of Intangibles 2022 $ 31,535 2023 $ 30,654 2024 $ 29,959 2025 $ 29,247 2026 $ 27,173 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Jan. 01, 2022 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Note 1 0 . Derivative Financial Instruments The company measures the fair value of its derivative portfolio by using the price that would be received to sell an asset or paid to transfer a liability in the principal market for that asset or liability. These measurements are classified into a hierarchy by the inputs used to perform the fair value calculation as follows: Level 1: Fair value based on unadjusted quoted prices for identical assets or liabilities at the measurement date Level 2: Modeled fair value with model inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly Level 3: Modeled fair value with unobservable model inputs that are used to estimate the fair value of the asset or liability Commodity Price Risk The company enters into commodity derivatives, designated as cash-flow hedges of existing or future exposure to changes in commodity prices. The company’s primary raw materials are flour, sweeteners, yeast, and shortening, along with pulp, paper, and petroleum-based packaging products. Natural gas, which is used as oven fuel, is also an important commodity used for production. As of January 1, 2022, the company’s commodity hedge portfolio contained derivatives which are recorded in the following accounts with fair values measured as indicated (amounts in thousands): Level 1 Level 2 Level 3 Total Assets: Other current assets $ 3,955 $ — $ — $ 3,955 Other long-term assets — — — — Total $ 3,955 $ — $ — $ 3,955 Liabilities: Other current liabilities $ (220 ) $ — $ — $ (220 ) Other long-term liabilities — — — — Total $ (220 ) $ — $ — $ (220 ) Net Fair Value $ 3,735 $ — $ — $ 3,735 As of January 2, 2021, the company’s commodity hedge portfolio contained derivatives which are recorded in the following accounts with fair values measured as indicated (amounts in thousands): Level 1 Level 2 Level 3 Total Assets: Other current assets $ 16,684 $ — $ — $ 16,684 Other long-term assets 731 — — 731 Total $ 17,415 $ — $ — $ 17,415 Liabilities: Other current liabilities $ (5 ) $ — $ — $ (5 ) Other long-term liabilities (83 ) — — (83 ) Total (88 ) — — (88 ) Net Fair Value $ 17,327 $ — $ — $ 17,327 The positions held in the portfolio are used to hedge economic exposure to changes in various raw materials and production input prices and effectively fixes the price, or limits increases in prices, during Fiscal 2022. These instruments are designated as cash-flow hedges. See Note 2, Summary of Significant Accounting Policies Interest Rate Risk During the first quarter of Fiscal 2021, the company entered into treasury locks to fix the interest rate for the 2031 notes issued on March 9, 2021. The derivative positions were closed when the debt was priced on March 2, 2021 with a cash settlement net receipt of $3.9 million that offset changes in the benchmark treasury rate between execution of the treasury rate locks and the debt pricing date. These rate locks were designated as a cash flow hedge and the deferred amount reported in AOCI is being reclassified to interest expense as interest payments are made on the notes through the maturity date. The company previously entered into treasury rate locks at the time we executed the 2026 notes. These rate locks were designated as a cash flow hedge and the fair value at termination was deferred in AOCI. The deferred amount reported in AOCI is being reclassified to interest expense as interest payments are made on the related notes through the maturity date . Derivative Assets and Liabilities The company had the following derivative instruments recorded on the Consolidated Balance Sheets, all of which are utilized for the risk management purposes detailed above (amounts in thousands): Derivative Assets January 1, 2022 January 2, 2021 Derivatives Designated as Hedging Instruments Balance Sheet Location Fair Value Balance Sheet Location Fair Value Commodity contracts Other current assets $ 3,955 Other current assets $ 16,684 Commodity contracts Other long-term assets — Other long-term assets 731 Total $ 3,955 $ 17,415 Derivative Liabilities January 1, 2022 January 2, 2021 Derivatives Designated as Hedging Instruments Balance Sheet Location Fair Value Balance Sheet Location Fair Value Commodity contracts Other current liabilities $ 220 Other current liabilities $ 5 Commodity contracts Other long-term liabilities — Other long-term liabilities 83 Total $ 220 $ 88 Derivative AOCI transactions The company had the following derivative instruments for deferred gains and (losses) on closed contracts and the effective portion for changes in fair value recorded in AOCI (no amounts were excluded from the effectiveness test), all of which are utilized for the risk management purposes detailed above (amounts in thousands and net of tax): Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) (Net of tax) Derivatives in Cash Flow Hedging Relationships Fiscal 2021 Fiscal 2020 Fiscal 2019 Interest rate contracts $ 2,926 $ — $ — Commodity contracts $ (8,274 ) $ 9,298 $ 8,457 Total $ (5,348 ) $ 9,298 $ 8,457 Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion)(Net of tax) Location Reclassified from AOCI into Income Derivatives in Cash Flow Hedging Relationships Fiscal 2021 Fiscal 2020 Fiscal 2019 (Effective Portion) Interest rate contracts $ 95 $ (109 ) $ (107 ) Interest income (expense) Commodity contracts 1,586 (2,007 ) 2,771 Production costs (1) Total $ 1,681 $ (2,116 ) $ 2,664 1. Included in Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately). The balance (credit or (debit) balance) in AOCI related to commodity price risk and interest rate risk derivative transactions that are closed or will expire over the next three years are as follows (amounts in thousands and net of tax) at January 1, 2022: Commodity Price Risk Derivatives Interest Rate Risk Derivatives Totals Closed contracts $ 179 $ 3,063 $ 3,242 Expiring in 2022 2,801 — 2,801 Total $ 2,980 $ 3,063 $ 6,043 See Note 2, Summary of Significant Accounting Policies Derivative transactions notional amounts As of January 1, 2022, the company had entered into the following financial contracts to hedge commodity risks (amounts in thousands): Derivatives in Cash Flow Hedging Relationships Notional amount Wheat contracts $ 32,731 Soybean oil contracts 7,088 Natural gas contracts 3,663 Corn contracts 342 Total $ 43,824 The company’s derivative instruments contained no credit-risk-related contingent features at January 1, 2022. As of January 1, 2022 and January 2, 2021, the company had $2.0 million and $1.2 million, respectively, recorded in other current assets representing collateral to counterparties for hedged positions. As of January 1, 2022 and January 2, 2021, the company had $3.4 million and $14.0 million, respectively, recorded in other accrued liabilities representing collateral from counterparties for hedged positions. |
Other Current and Non-Current A
Other Current and Non-Current Assets | 12 Months Ended |
Jan. 01, 2022 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Other Current and Non-Current Assets | Note 1 1 . Other Current and Non-Current Assets Other current assets consist of (amounts in thousands): January 1, 2022 January 2, 2021 Prepaid assets $ 12,576 $ 8,140 Service contracts 19,884 7,911 Fair value of derivative instruments 3,955 16,684 Collateral to counterparties for derivative positions 2,039 1,229 Income taxes receivable 13,001 2,211 Other 137 1,214 Total $ 51,592 $ 37,389 Other non-current assets consist of (amounts in thousands): January 1, 2022 January 2, 2021 Unamortized financing fees $ 1,574 $ 836 Investments 3,145 3,242 Fair value of derivative instruments — 731 Deposits 2,202 2,092 Unamortized cloud computing arrangement costs 1,215 2,059 Noncurrent pension asset 1,281 — Other 206 121 Total $ 9,623 $ 9,081 |
Other Accrued Liabilities and O
Other Accrued Liabilities and Other Long-Term Liabilities | 12 Months Ended |
Jan. 01, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Other Accrued Liabilities and Other Long-Term Liabilities | Note 1 2 . Other Accrued Liabilities and Other Long-Term Liabilities Other accrued liabilities consist of (amounts in thousands): January 1, 2022 January 2, 2021 Employee compensation $ 25,505 $ 28,826 VSIP and RIF liabilities — 1,508 Employee vacation 15,782 16,216 Employee bonus 33,413 57,394 Fair value of derivative instruments 220 5 Self-insurance reserves 29,828 29,367 Bank overdraft 17,161 16,900 Accrued interest 7,202 8,241 Accrued taxes 23,911 22,773 Accrued legal costs 1,746 1,644 Accrued advertising 4,294 3,610 Accrued legal settlements 16,500 11,869 Accrued short term deferred income 4,040 4,760 Accrued utilities 6,741 6,070 Acquisition consideration adjustment 3,400 — Collateral from counterparties for derivative positions 3,377 13,997 Multi-employer pension plan withdrawal liability 2,100 — Repurchase obligations of distribution rights 4,743 — Other 3,480 3,099 Total $ 203,443 $ 226,279 In connection with an acquisition completed in Fiscal 2012, the company agreed to make the selling shareholders whole for certain taxes incurred by the stakeholders on the sale. There was recently a tax determination that the selling shareholders owed additional taxes. Unless there is a successful appeal which overturns the determination, the company estimates that it will owe the shareholders approximately $3.4 million and the company has recorded this cost in the selling, distribution and administrative expenses line item of the Consolidated Statements of Income. The repurchase of distribution rights is part of a legal settlement which requires a phased repurchase of approximately 75 distribution rights. See Note 22, Commitments and Contingencies, Other long-term liabilities consist of (amounts in thousands): January 1, 2022 January 2, 2021 Deferred income $ 15,676 $ 19,153 Deferred compensation 20,188 16,674 Fair value of derivative instruments — 83 Other deferred credits 720 1,502 Deferred payroll taxes under the CARES Act — 14,992 Other 1,375 1,255 Total $ 37,959 $ 53,659 |
Leases
Leases | 12 Months Ended |
Jan. 01, 2022 | |
Leases [Abstract] | |
Leases | Note 1 3 . Leases Qualitative disclosures about our leases, including the significant policy elections, can be found in Note 2, Summary of Significant Accounting Policies Lease costs incurred by lease type, and/or type of payment for Fiscal 2021, 2020 and 2019 were as follows (in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Lease cost: Amortization of right-of-use assets $ 1,751 $ 7,190 $ 7,014 Interest on lease liabilities 154 846 994 Operating lease cost 68,927 69,926 69,525 Short-term lease cost 3,075 3,058 2,630 Variable lease cost 27,120 24,815 26,359 Total lease cost $ 101,027 $ 105,835 $ 106,522 Other supplemental quantitative disclosures as of, and for, Fiscal 2021 and Fiscal 2020 were as follows (in thousands): Fiscal 2021 Fiscal 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from financing leases $ 154 $ 846 Operating cash flows from operating leases $ 68,802 $ 74,226 Financing cash flows from financing leases $ 1,745 $ 6,715 Right-of-use assets obtained in exchange for new financing lease liabilities $ 37 $ 79 Right-of-use assets obtained in exchange for new operating lease liabilities $ 55,869 $ 16,022 Weighted-average remaining lease term (years): Financing leases 2.1 3.1 Operating leases 8.3 9.4 Weighted-average IBR (percentage): Financing leases 3.5 3.5 Operating leases 3.8 4.1 Estimated undiscounted future lease payments under non-cancelable operating leases and financing leases, along with a reconciliation of the undiscounted cash flows to operating and financing lease liabilities, respectively, as of January 1, 2022 (in thousands) were as follows: Operating lease liabilities Financing lease liabilities 2022 $ 56,925 $ 1,691 2023 53,900 1,828 2024 45,269 101 2025 42,386 — 2026 28,591 — Thereafter 127,734 — Total minimum lease payments 354,805 3,620 Less: amount of lease payments representing interest (57,777 ) (126 ) Present value of future minimum lease payments 297,028 3,494 Less: current obligations under leases (46,390 ) (1,584 ) Long-term lease obligations $ 250,638 $ 1,910 The following table details lease modifications and renewals and lease impairments (amounts in thousands): Fiscal 2021 Fiscal 2020 Lease modifications and renewals $ 46,790 $ 13,818 Lease impairments — $ 11,400 Lease terminations $ 41,610 $ 14,817 During Fiscal 2021, the company purchased twenty-seven warehouses that were included in the company’s operating leased assets for $64.7 million. Two of the purchased properties were fully impaired in Fiscal 2020, resulting in the recognition of a $2.6 million gain upon completion of the purchase of these assets and this amount is included in the selling, distribution, and administrative expenses line items of the Consolidated Statements of Income. The carrying values for the remaining twenty-five leases, totaling $35.4 million, are included in the ‘Lease terminations’ line above. |
Debt and Other Commitments
Debt and Other Commitments | 12 Months Ended |
Jan. 01, 2022 | |
Debt Disclosure [Abstract] | |
Debt and Other Commitments | Note 1 4 . Debt and Other Commitments Long-term debt, including capital lease obligations, consisted of the following at January 1, 2022 and January 2, 2021: Interest Rate at January 1, 2022 Final Maturity January 1, 2022 January 2, 2021 (Amounts in thousands) Unsecured credit facility 1.02% 2026 $ — $ 50,000 2031 notes 2.40% 2031 493,333 — 2026 notes 3.50% 2026 397,276 396,705 2022 notes 4.38% 2022 — 399,398 Accounts receivable securitization facility 1.00% 2023 — 114,000 890,609 960,103 Current maturities of long-term debt — — Long-term debt $ 890,609 $ 960,103 Bank overdrafts occur when checks have been issued but have not been presented to the bank for payment. Certain of our banks allow us to delay funding of issued checks until the checks are presented for payment. The delay in funding results in a temporary source of financing from the bank. The activity related to bank overdrafts is shown as a financing activity in our Consolidated Statements of Cash Flows. Bank overdrafts are included in other current liabilities on our Consolidated Balance Sheets. As of January 1, 2022 and January 2, 2021, the bank overdraft balance was $17.2 million and $16.9 million, respectively. The company also had standby letters of credit (“LOCs”) outstanding of $8.4 million at January 1, 2022 and January 2, 2021, which reduce the availability of funds under the credit facility. The outstanding LOCs are for the benefit of certain insurance companies and lessors. None of the LOCs are recorded as a liability on the Consolidated Balance Sheets. 2031 Notes, 2026 Notes, Accounts Receivable Securitization Facility, 2022 Notes, and Credit Facility 2031 Notes. On March 9, 2021, the company issued $500.0 million of senior notes. The company will pay semiannual interest on the 2031 notes on each March 15 and September 15 and the 2031 notes will mature on March 15, 2031. The notes bear interest at 2.400% per annum. On any date prior to December 15, 2030, the company may redeem some or all of the notes at a price equal to the greater of (1) 100% of the principal amount of the notes redeemed and (2) a “make-whole” amount plus, in each case, accrued and unpaid interest. The make-whole amount is equal to the sum of the present values of the remaining scheduled payments of principal and interest on the 2031 notes to be redeemed that would be due if such notes matured December 15, 2030 (exclusive of interest accrued to, but not including, the date of redemption), discounted to the date of redemption on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at a rate equal to the sum of the applicable treasury rate (as defined in the indenture governing the notes), plus 20 basis points, plus, in each case, accrued and unpaid interest. At any time on or after December 15, 2030, the company may redeem some or all of the 2031 notes at a price equal to 100% of the principal amount of the notes redeemed plus accrued and unpaid interest. If the company experiences a “change of control triggering event” (which involves a change of control of the company and the related rating of the notes below investment grade), it is required to offer to purchase the notes at a purchase price equal to 101% of the principal amount, plus accrued and unpaid interest thereon unless the company has exercised its option to redeem the notes in whole. The 2031 notes are also subject to customary restrictive covenants for investment grade debt, including certain limitations on liens and sale and leaseback transactions. The face value of the 2031 notes is $500.0 million. There was a debt discount representing the difference between the net proceeds, after expenses, received upon issuance of debt and the amount repayable at its maturity. The company also accrued issuance costs (including underwriting fees and other fees) on the 2031 notes. Debt issuance costs and the debt discount are being amortized to interest expense over the term of the 2031 notes. As of January 1, 2022, the company was in compliance with all restrictive covenants under the indenture governing the 2031 notes. The table below presents the debt discount, underwriting fees and other fees for issuing the 2031 notes (amounts in thousands): Total fees for 2031 notes Amount at Issuance Debt discount $ 2,430 Underwriting, legal, and other fees 4,829 Total fees $ 7,259 2026 Notes . On September 28, 2016, the company issued $400.0 million of senior notes (the “2026 notes”). The company will pay semiannual interest on the 2026 notes on each April 1 and October 1, beginning on April 1, 2017, and the 2026 notes will mature on October 1, 2026. The notes bear interest at 3.500% per annum. The 2026 notes are subject to interest rate adjustments if either Moody’s or S&P downgrades (or downgrades and subsequently upgrades) the credit rating assigned to the 2026 notes. On any date prior to July 1, 2026, the company may redeem some or all of the notes at a price equal to the greater of (1) 100% of the principal amount of the notes redeemed and (2) a “make-whole” amount plus, in each case, accrued and unpaid interest. The make-whole amount is equal to the sum of the present values of the remaining scheduled payments of principal and interest on the 2026 notes to be redeemed that would be due if such notes matured July 1, 2026 (exclusive of interest accrued to, but not including, the date of redemption), discounted to the date of redemption on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the treasury rate (as defined in the indenture governing the notes) , plus 30 basis points, plus in each case accrued and unpaid interest. At any time on or after July 1, 2026, the company may redeem some or all of the 2026 notes at a price equal to 100% of the principal amount of the notes redeemed plus accrued and unpaid interest. If the company experiences a “change of control triggering event” (which involves a change of control of the company and related rating of the notes below investment grade), it is required to offer to purchase the notes at a purchase price equal to 101% of the principal amount, plus accrued and unpaid interest thereon unless the company exercised its option to redeem the notes in whole. The 2026 notes are also subject to customary restrictive covenants, including certain limitations on liens and sale and leaseback transactions. The face value of the 2026 notes is $400.0 million. There was a debt discount representing the difference between the net proceeds, after expenses, received upon issuance of debt and the amount repayable at its maturity. The company also paid issuance costs (including underwriting fees and legal fees) on the 2026 notes. Debt issuance costs and the debt discount are being amortized to interest expense over the term of the 2026 notes. As of January 1, 2022, the company was in compliance with all restrictive covenants under the indenture governing the 2026 notes. The table below presents the debt discount, underwriting fees and the legal and other fees for issuing the 2026 notes (amounts in thousands): Total fees for 2026 notes Amount at Issuance Debt discount $ 2,108 Underwriting, legal, and other fees 3,634 Total fees $ 5,742 Accounts Receivable Securitization Facility . On July 17, 2013, the company entered into an accounts receivable securitization facility (the “AR facility”). The company has amended the AR facility nine times since execution, most recently on September 23, 2021 . These amendments include provisions which (i) increased the revolving commitments under the AR facility to $200.0 million from $150.0 million, (ii) added a leverage pricing grid, (iii) added an additional bank to the lending group, (iv) made certain other conforming changes, (v) removed a bank from the lending group, and (vi) most recently, extended the term by one additional year to September 27, 2023. The amendment that added the additional bank was accounted for as an extinguishment of the debt. The remaining amendments were accounted for as modifications. Under the AR facility, a wholly-owned, bankruptcy-remote subsidiary purchases, on an ongoing basis, substantially all trade receivables. As borrowings are made under the AR facility, the subsidiary pledges the receivables as collateral. In the event of liquidation of the subsidiary, its creditors would be entitled to satisfy their claims from the subsidiary’s pledged receivables prior to distributions of collections to the company. We include the subsidiary in our Consolidated Financial Statements. The AR facility contains certain customary representations and warranties, affirmative and negative covenants, and events of default. Restrictive covenants require adherence to company credit and collections policies, depository account control agreements, and certain other customary restrictions including limitations to consolidations, mergers, and liens. As of January 1, 2022 and January 2, 2021, respectively, the company was in compliance with all restrictive covenants under the AR facility. Amounts available for withdrawal under the AR facility are determined as the lesser of the total commitments and a formula derived amount based on qualifying trade receivables. Optional principal repayments may be made at any time without premium or penalty. Interest is due two days after our reporting periods end in arrears on the outstanding borrowings and is computed as the cost of funds rate plus an applicable margin of 85 basis points. An unused fee of 35 basis points is applicable on the unused commitment at each reporting period. Financing costs paid at inception of the AR facility and at the time amendments are executed are being amortized over the life of the AR facility. The company incurred $0.2 million in financing costs during the third quarter of Fiscal 2021 for the ninth amendment. The balance of unamortized financing costs was $0.3 million on January 1, 2022 and $0.3 million on January 2, 2021 and are recorded in other assets on the Consolidated Balance Sheets. The table below presents the borrowings and repayments under the AR facility during Fiscal 2021: Amount (thousands) Balance as of January 2, 2021 $ 114,000 Borrowings — Payments (114,000 ) Balance as of January 1, 2022 $ — The table below presents the net amount available for working capital and general corporate purposes under the AR facility as of January 1, 2022: Amount (thousands) Gross amount available $ 194,500 Outstanding — Available for withdrawal $ 194,500 Amounts available for withdrawal under the AR facility are determined as the lesser of the total commitments and a formula derived amount based on qualifying trade receivables. The table below presents the highest and lowest outstanding balance under the AR facility during Fiscal 2021: Amount (thousands) High balance $ 114,000 Low balance $ — 2022 Notes. On April 3, 2012, the company issued $400.0 million of senior notes (the “2022 notes”). Prior to the early redemption discussed below, the company paid semiannual interest on the notes on each April 1 and October 1, beginning on October 1, 2012, and the notes would have matured on April 1, 2022. The notes beared interest at 4.375% per annum. On any date prior to January 1, 2022, the company could have redeemed some or all of the notes at a price equal to the greater of (1) 100% of the principal amount of the notes redeemed and (2) a “make-whole” amount plus, in each case, accrued and unpaid interest. The make-whole amount is equal to the sum of the present values of the remaining scheduled payments of principal thereof (not including any interest accrued thereon to, but not including, the date of redemption), discounted to the date of redemption on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the treasury rate (as defined in the indenture governing the notes), plus 35 basis points, plus in each case, unpaid interest accrued thereon to, but not including, the date of redemption. At any time on or after January 1, 2022, the company could have redeemed some or all of the notes at a price equal to 100% of the principal amount of the notes redeemed plus accrued and unpaid interest. If the company experienced a “change of control triggering event” (which involves a change of control of the company and related rating of the notes below investment grade), it was required to offer to purchase the notes at a purchase price equal to 101% of the principal amount, plus accrued and unpaid interest thereon unless the company exercised its option to redeem the notes in whole. The notes were also subject to customary restrictive covenants, including certain limitations on liens and sale and leaseback transactions. On April 8, 2021, the company completed the early redemption of the 2022 notes with proceeds received from the issuance of the 2031 notes on March 9, 2021. We recognized a loss on extinguishment of debt of $16.1 million comprised of a make-whole cash payment of $15.4 million and the write-off of unamortized debt discount and debt issuance costs of $0.7 million. The face value of the 2022 notes was $400.0 million and the debt discount on the 2022 notes at issuance was $1.0 million. The company paid issuance costs (including underwriting fees and legal fees) on the 2022 notes of $3.9 million. The issuance costs and the debt discount were amortized to interest expense over the term of the 2022 notes. Credit Facility . The company is party to an amended and restated credit agreement, dated as of October 24, 2003, with the lenders party thereto and Deutsche Bank AG New York Branch, as administrative agent, the swingline lender and issuing lender (as amended, restated, modified or supplemented from time to time, the “amended and restated credit agreement”). The company has amended the amended and restated credit agreement seven times since execution, most recently on July 30, 2021 (the “seventh amendment”). Under the amended and restated credit agreement, our credit facility is a five-year , $ 500.0 million senior unsecured revolving loan facility with the following terms and conditions: (i) a maturity date of July 30, 2026 ; (ii) an applicable margin for revolving loans maintained as (1) base rate loans and swingline loans with a range of 0.00 % to 0.525 % and (2) Eurodollar loans with a range of 0.815 % to 1.525 %, in each case, based on the more favorable (to the company) of (x) the leverage ratio of the company and its subsidiaries and (y) the company’s debt rating; (iii) an applicable facility fee with a range of 0.06 % to 0.225 %, due quarterly on all commitments under the amended and restated credit agreement, based on the more favorable (to the company) of (x) the leverage ratio of the company and its subsidiaries and (y) the company’s debt rating; and (iv) a maximum leverage ratio covenant to permit the company, at its option, in connection with certain acquisitions and investments and subject to the terms and conditions provided in the amended and restated credit agreement, to increase the maximum ratio permitted thereunder on one or more occasions to 4.00 to 1.00 for a period of four consecutive fiscal quarters, including and/or immediately following the fiscal quarter in which such acquisitions or investments were completed (the “covenant holiday”), provided that each additional covenant holiday will not be available to the company until it has achieved and maintained a leverage ratio of at least 3.75 to 1.00 and has been complied with for at least two fiscal quarters. Additionally, the seventh amendment to the amended and restated credit agreement appointed Deutsche Bank Trust Company Americas as successor administrative agent to Deutsche Bank AG New York Branch and added provisions to address LIBOR transition. In addition, the credit facility contains a provision that permits the company to request up to $200.0 million in additional revolving commitments, for a total of up to $700.0 million, subject to the satisfaction of certain conditions. Proceeds from the credit facility may be used for working capital and general corporate purposes, including capital expenditures, acquisition financing, refinancing of indebtedness, dividends and share repurchases. The credit facility includes certain customary restrictions, which, among other things, require maintenance of financial covenants and limit encumbrance of assets and creation of indebtedness. Restrictive financial covenants include such ratios as a minimum interest coverage ratio and a maximum leverage ratio. The company believes that, given its current cash position, its cash flow from operating activities and its available credit capacity, it can comply with the current terms of the amended credit facility and can meet its presently foreseeable financial requirements. As of January 1, 2022 and January 2, 2021, respectively, the company was in compliance with all restrictive covenants under the credit facility. Financing costs paid at inception of the credit facility and at the time amendments are executed are being amortized over the life of the credit facility. The company incurred $1.1 million in financing costs during the third quarter of Fiscal 2021 for the seventh amendment. Amounts outstanding under the credit facility vary daily. Changes in the gross borrowings and repayments can be caused by cash flow activity from operations, capital expenditures, acquisitions, dividends, share repurchases, and tax payments, as well as derivative transactions which are part of the company’s overall risk management strategy as discussed in Note 10, Derivative Financial Instruments Amount (thousands) Balance as of January 2, 2021 $ 50,000 Borrowings 10,000 Payments (60,000 ) Balance as of January 1, 2022 $ — The table below presents the net amount available under the credit facility as of January 1, 2022: Amount (thousands) Gross amount available $ 500,000 Outstanding — Letters of credit (8,400 ) Available for withdrawal $ 491,600 The table below presents the highest and lowest outstanding balance under the credit facility during Fiscal 2021: Amount (thousands) High balance $ 50,000 Low balance $ — Aggregate debt maturities . Aggregate maturities of debt outstanding as of January 1, 2022, are as follows (excluding unamortized debt discount and issuance costs) (amounts in thousands): 2022 $ — 2023 — 2024 — 2025 — 2026 400,000 Thereafter 500,000 Total $ 900,000 Debt issuance costs and debt discount. The table below reconciles the debt issuance costs and debt discounts to the net carrying value of each of our debt obligations (excluding line-of-credit arrangements) at January 1, 2022 (amounts in thousands): Face Value Debt issuance costs and debt discount Net carrying value 2031 notes $ 500,000 $ 6,667 $ 493,333 2026 notes 400,000 2,724 397,276 Total $ 900,000 $ 9,391 $ 890,609 The table below reconciles the debt issuance costs and debt discounts to the net carrying value of each of our debt obligations (excluding line-of-credit arrangements) at January 2, 2021 (amounts in thousands): Face Value Debt issuance costs and debt discount Net carrying value 2026 notes $ 400,000 $ 3,295 $ 396,705 2022 notes 400,000 602 399,398 Total $ 800,000 $ 3,897 $ 796,103 Deferred Compensation The Executive Deferred Compensation Plan (“EDCP”) consists of unsecured general obligations of the company to pay the deferred compensation of, and our contributions to, participants in the EDCP. The obligations will rank equally with our other unsecured and unsubordinated indebtedness payable from the company’s general assets. The company’s directors and certain key members of management are eligible to participate in the EDCP. Directors may elect to defer all or any portion of their annual retainer fee and meeting fees. Deferral elections by directors must be made prior to the beginning of each year and are thereafter irrevocable. Eligible employees may elect to defer up to 75% of their base salaries, and up to 100% of any cash bonuses and other compensation through December 31, 2015. Effective January 1, 2016, employees may elect to defer up to 75% of their base salaries, any cash bonuses, and other compensation. Deferral elections by eligible executives must be made prior to the beginning of each year and are thereafter irrevocable during that year. The portion of the participant’s compensation that is deferred depends on the participant’s election in effect with respect to his or her elective contributions under the EDCP. The amounts outstanding at January 1, 2022 and January 2, 2021 were as follows (amounts in thousands): January 1, 2022 January 2, 2021 Deferral elections outstanding $ 21,319 $ 18,308 Current portion of deferral elections (1,131 ) (1,634 ) Long-term portion of deferral elections $ 20,188 $ 16,674 Guarantees and Indemnification Obligations The company has provided various representations, warranties, and other standard indemnifications in various agreements with customers, suppliers, and other parties as well as in agreements to sell business assets or lease facilities. In general, these provisions indemnify the counterparty for matters such as breaches of representations and warranties, certain environmental conditions and tax matters, and, in the context of sales of business assets, any liabilities arising prior to the closing of the transactions. Non-performance under a contract could trigger an obligation of the company. The ultimate effect on future financial results is not subject to reasonable estimation because considerable uncertainty exists as to the final outcome of any potential claims. No material guarantees or indemnifications have been entered into by the company through January 1, 2022. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Jan. 01, 2022 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Variable Interest Entities | Note 1 5 . Variable Interest Entities Distribution rights agreement VIE analysis The incorporated IDPs qualify as VIEs. The IDPs who are formed as sole proprietorships are excluded from the following VIE accounting analysis and discussion. Incorporated IDPs acquire distribution rights and enter into a contract with the company to sell the company’s products in the IDPs’ defined geographic territory. The incorporated IDPs have the option to finance the acquisition of their distribution rights with the company. They can also pay cash or obtain external financing at the time they acquire the distribution rights. The combination of the company’s loans to the incorporated IDPs and the ongoing distributor arrangements with the incorporated IDPs provide a level of funding to the equity owners of the various incorporated IDPs that would not otherwise be available. As of January 1, 2022 and January 2, 2021, there was $159.5 million and $171.1 million, respectively, in gross distribution rights notes receivable outstanding from incorporated IDPs. The company is not considered to be the primary beneficiary of the VIEs because the company does not (i) have the ability to direct the significant activities of the VIEs that would affect their ability to operate their respective businesses and (ii) provide any implicit or explicit guarantees or other financial support to the VIEs, other than the financing described above, for specific return or performance benchmarks. The activities controlled by the incorporated IDPs that are deemed to most significantly impact the ultimate success of the incorporated IDP entities relate to those decisions inherent in operating the distribution business in the territory, including acquiring trucks and trailers, managing fuel costs, employee matters and other strategic decisions. In addition, we do not provide, nor do we intend to provide, financial or other support to the IDP. The IDPs are responsible for the operations of their respective territories. The company’s maximum contractual exposure to loss for the incorporated IDP relates to the distributor rights note receivable for the portion of the territory the incorporated IDPs financed at the time they acquired the distribution rights. The incorporated IDPs remit payment on their distributor rights note receivable each week during the settlement process of their weekly activity. The company will operate a territory on behalf of an incorporated IDP in situations where the IDP has abandoned its distribution rights. Any remaining balance outstanding on the distribution rights notes receivable is relieved once the distribution rights have been sold on the IDPs behalf. The company’s collateral from the territory distribution rights mitigates the potential losses. |
Fair Value of Financial Instru
Fair Value of Financial Instruments | 12 Months Ended |
Jan. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Note 1 6 . Fair Value of Financial Instruments The carrying value of cash and cash equivalents, accounts receivable, and short-term debt approximates fair value because of the short-term maturity of the instruments. Notes receivable are entered into in connection with the purchase of distribution rights by IDPs. These notes receivable are recorded in the Consolidated Balance Sheets at carrying value, which represents the closest approximation of fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. As a result, the appropriate interest rate that should be used to estimate the fair value of the distribution rights notes is the prevailing market rate at which similar loans would be made to IDPs with similar credit ratings and for the same maturities. However, the company financed approximately 3,700 and 4,000 IDPs’ distribution rights as of January 1, 2022 and January 2, 2021, respectively, all with varied financial histories and credit risks. Considering the diversity of credit risks among the IDPs, the company has no method to accurately determine a market interest rate to apply to the notes. The distribution rights are generally financed for up to ten years and the distribution rights notes are collateralized by the IDPs’ distribution rights. The company maintains a wholly-owned subsidiary to assist in financing the distribution rights purchase activities if requested by new IDPs, using the distribution rights and certain associated assets as collateral. These notes receivable earn interest at a fixed rate. At January 1, 2022 and January 2, 2021, respectively, the carrying value of the distribution rights notes receivable was as follows (amounts in thousands): January 1, 2022 January 2, 2021 Distribution rights notes receivable $ 183,403 $ 204,839 Current portion recorded in accounts and notes receivable, net (29,093 ) (28,427 ) Long-term portion of distribution rights notes receivable $ 154,310 $ 176,412 During Fiscal 2021, the company recorded a reserve of $1.9 million for the distributor notes receivable related to a legal settlement. See Note 22, Commitments and contingencies, The fair value of the company’s variable rate debt at January 1, 2022 approximates the recorded value. The fair value of the company’s notes, as discussed in Note 14, Debt and Other Commitments Carrying Value Fair Value Level 2031 notes $ 493,333 $ 494,200 2 2026 notes $ 397,276 $ 429,216 2 For fair value disclosure information about our derivative assets and liabilities see Note 10, Derivative Financial Instruments Postretirement Plans. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Jan. 01, 2022 | |
Equity [Abstract] | |
Stockholders' Equity | Note 1 7 . Stockholders’ Equity Flowers Foods’ articles of incorporation provide that its authorized capital consist of 500,000,000 shares of common stock having a par value of $0.01 per share and 1,000,000 shares of preferred stock. The preferred stock of which (a) 200,000 shares have been designated by the Board of Directors as Series A Junior Participating Preferred Stock, having a par value per share of $100 and (b) 800,000 shares of preferred stock, having a par value per share of $0.01, have not been designated by the Board of Directors. No shares of preferred stock have been issued by Flowers Foods. Common Stock The holders of Flowers Foods common stock are entitled to one vote for each share held of record on all matters submitted to a vote of shareholders. Subject to preferential rights of any issued and outstanding preferred stock, including the Series A Preferred Stock, holders of common stock are entitled to receive ratably such dividends, if any, as may be declared by the Board of Directors of the company out of funds legally available. In the event of a liquidation, dissolution, or winding-up of the company, holders of common stock are entitled to share ratably in all assets of the company, if any, remaining after payment of liabilities and the liquidation preferences of any issued and outstanding preferred stock, including the Series A Preferred Stock. Holders of common stock have no preemptive rights, no cumulative voting rights, and no rights to convert their shares of common stock into any other securities of the company or any other person. Preferred Stock The Board of Directors has the authority to issue up to 1,000,000 shares of preferred stock in one or more series and to fix the designations, relative powers, preferences, rights, qualifications, limitations, and restrictions of all shares of each such series, including without limitation, dividend rates, conversion rights, voting rights, redemption and sinking fund provisions, liquidation preferences, and the number of shares constituting each such series, without any further vote or action by the holders of our common stock. Although the Board of Directors does not presently intend to do so, it could issue shares of preferred stock, with rights that could adversely affect the voting power and other rights of holders of our common stock without obtaining the approval of our shareholders. In addition, the issuance of preferred shares could delay or prevent a change in control of the company without further action by our shareholders. Stock Repurchase Plan Our Board of Directors has approved a plan (on December 19, 2002) that currently authorizes share repurchases of up to 74.6 million shares of the company’s common stock. As of January 1, 2022, 5.8 million shares remained available for repurchase under the existing authorization. Under the plan, the company may repurchase its common stock in open market or privately negotiated transactions or under an accelerated repurchase program at such times and at such prices as determined to be in the company’s best interest. The table below presents the shares repurchased under the Stock Repurchase Plan during our Fiscal 2021 (amounts in thousands except shares purchased): Fiscal 2021 Quarter Total Number of Shares Purchased Total Cost of Shares Purchased For the quarter ended April 24, 2021 46,618 $ 1,058 For the quarter ended July 17, 2021 — $ — For the quarter ended October 9, 2021 360,222 $ 8,452 For the quarter ended January 1, 2022 — $ — Total 406,840 $ 9,510 As of January 1, 2022, 68.8 million shares at a cost of $652.9 million have been purchased since the inception of this plan. Dividends During Fiscal 2021, 2020, and 2019, the company paid the following dividends, excluding dividends on vested stock-based compensation awards discussed in Note 18, Stock-Based Compensation Dividends paid Dividends paid per share Fiscal 2021 $ 175,669 $ 0.8300 Fiscal 2020 $ 167,161 $ 0.7900 Fiscal 2019 $ 158,626 $ 0.7500 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Jan. 01, 2022 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | Note 1 8 . Stock-Based Compensation On March 5, 2014, our Board of Directors approved and adopted the 2014 Omnibus Equity and Incentive Compensation Plan (“Omnibus Plan”). The Omnibus Plan was approved by our shareholders on May 21, 2014. The Omnibus Plan authorizes the compensation committee of the Board of Directors to provide equity-based compensation in the form of stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance units, dividend equivalents and other awards for the purpose of providing our officers, key employees, and non-employee directors’ incentives and rewards for performance. The Omnibus Plan replaced the Flowers Foods’ 2001 Equity and Performance Incentive Plan, as amended and restated as of April 1, 2009 (“EPIP”), the Stock Appreciation Rights Plan, and the Annual Executive Bonus Plan. All outstanding equity awards that were made under the EPIP will continue to be governed by the EPIP; however, all equity awards granted after May 21, 2014 are governed by the Omnibus Plan. No additional awards will be issued under the EPIP. Awards granted under the Omnibus Plan are limited to the authorized amount of 8,000,000 shares. The following is a summary of stock options, restricted stock, and deferred stock outstanding under the plans described above. Information relating to the company’s stock appreciation rights, which were issued under a separate stock appreciation right plan, is also described below. Performance-Contingent Restricted Stock Awards Performance-Contingent Total Shareholder Return Shares (“TSR Shares”) Since 2012, certain key employees have been granted performance-contingent restricted stock under the EPIP and the Omnibus Plan in the form of TSR Shares. Awards granted prior to Fiscal 2019 vested approximately two years from the date of grant (after the filing of the company’s Annual Report on Form 10-K) while the awards granted during Fiscal 2019, 2020 and 2021 vest approximately three years from the date of grant. These shares become non-forfeitable if, and to the extent that, on that date the vesting conditions are satisfied. The total shareholder return (“TSR”) is the percent change in the company’s stock price over the measurement period plus the dividends paid to shareholders. The performance payout is calculated at the end of each of the last four quarters (averaged) in the measurement period. Once the TSR is determined for the company (“Company TSR”), it is compared to the TSR of our food company peers (“Peer Group TSR”). The Company TSR compared to the Peer Group TSR will determine the payout as set forth below (the “TSR Modifier”): Percentile Payout as % of Target 90th 200 % 70th 150 % 50th 100 % 30th 50 % Below 30th 0 % For performance between the levels described above, the degree of vesting is interpolated on a linear basis. The table below presents the payout percentage for each of the TSR awards: Award Fiscal year Payout (%) 2017 award Fiscal 2019 153.0 The TSR shares vest immediately if the grantee dies or becomes disabled. However, if the grantee retires at age 65 (or age 55 with at least 10 years of service with the company) or later, on the normal vesting date the grantee will receive a pro-rated number of shares based upon the retirement date and measured at the actual performance for the entire performance period. In addition, if the company undergoes a change in control, the TSR shares will immediately vest at the target level, provided that if 12 months of the performance period have been completed, vesting will be determined based on Company TSR as of the date of the change in control without application of four-quarter averaging. During the vesting period, the grantee has none of the rights of a shareholder. Dividends declared during the vesting period will accrue and will be paid at vesting on the shares that ultimately vest. The fair value estimate was determined using a Monte Carlo On May 23, 2019, the company’s CEO received an award of TSR Shares that brings his total grant equal to the CEO’s target award (“promotion award”). This grant is measured under the same guidelines as the December 30, 2018 grant of TSR Shares described above. The company’s former CEO forfeited 112,840 TSR shares at his retirement on May 23, 2019. The following performance-contingent TSR Shares have been granted under the Omnibus Plan and have service period remaining (amounts in thousands, except price data): Grant Date Shares Granted Vesting Date Fair Value per Share 12/30/2018 440 3/1/2022 $ 21.58 5/23/2019 11 3/1/2022 $ 27.23 7/14/2019 5 3/1/2022 $ 23.32 10/6/2019 2 3/1/2022 $ 22.52 12/29/2019 331 2/28/2023 $ 25.00 4/19/2020 8 2/28/2023 $ 23.14 07/12/2020 2 2/28/2023 $ 21.97 10/4/2020 5 2/28/2023 $ 24.63 01/03/2021 365 3/1/2024 $ 26.75 10/10/2021 18 3/1/2024 $ 24.47 As of January 1, 2022, there was $10.0 million of total unrecognized compensation cost related to nonvested TSR Shares granted under the Omnibus Plan. That cost is expected to be recognized over a weighted-average period of 1.81 years. Performance-Contingent Return on Invested Capital Shares (“ROIC Shares”) Since 2012, certain key employees have been granted performance-contingent restricted stock under the EPIP and the Omnibus Plan in the form of ROIC Shares. Awards granted prior to Fiscal 2019 vested approximately two years from the date of grant (after the filing of the company’s Annual Report on Form 10-K) while the awards granted during Fiscal 2019, 2020 and 2021 vest approximately three years from the date of grant. These shares become non-forfeitable if, and to the extent that, on that date the vesting conditions are satisfied. Return on Invested Capital is calculated by dividing our profit, as defined, by the invested capital (“ROIC”). Generally, the performance condition requires the company’s average ROIC to exceed its average weighted cost of capital (“WACC”) by between 1.75 to 4.75 percentage points (the “ROI Target”) over the three fiscal year performance period. If the lowest ROI Target is not met, the awards are forfeited. The shares can be earned based on a range from 0% to 125% of target as defined below (the “ROIC Modifier”): • 0% payout if ROIC exceeds WACC by less than 1.75 percentage points; • ROIC above WACC by 1.75 percentage points pays 50% of ROI Target; or • ROIC above WACC by 3.75 percentage points pays 100% of ROI Target; or • ROIC above WACC by 4.75 percentage points pays 125% of ROI Target. For performance between the levels described above, the degree of vesting is interpolated on a linear basis. The table below presents the payout percentage for each of the ROIC awards: Award Fiscal year Payout (%) 2017 award Fiscal 2019 75 The ROIC Shares vest immediately if the grantee dies or becomes disabled. However, if the grantee retires at age 65 (or age 55 with at least 10 years of service with the company) or later, on the normal vesting date the grantee will receive a pro-rated number of shares based upon the retirement date and actual performance for the entire performance period. In addition, if the company undergoes a change in control, the ROIC Shares will immediately vest at the target level. During the vesting period, the grantee has none of the rights of a shareholder. Dividends declared during the vesting period will accrue and will be paid at vesting on the shares that ultimately vest. The fair value of this type of award is equal to the stock price on the grant date. Since these awards have a performance condition feature the expense associated with these awards may change depending on the expected ROI Target attained at each reporting period. The 2019 award is being expensed at our current estimated payout percentage of 125% of the ROI target, and the 2020 and 2021 awards are being expensed at 100% of the ROI target. On May 23, 2019, the company’s CEO received a promotion award of ROIC Shares. This grant is measured under the same guidelines as the December 30, 2018 grant of ROIC Shares described above. The company’s former CEO forfeited 112,840 ROIC shares at his retirement on May 23, 2019. The following performance-contingent ROIC Shares have been granted under the Omnibus Plan and have service period remaining (amounts in thousands, except price data): Grant Date Shares Granted Vesting Date Fair Value per Share 12/30/2018 440 3/1/2022 $ 18.29 5/23/2019 11 3/1/2022 $ 23.08 7/14/2019 5 3/1/2022 $ 23.32 10/6/2019 2 3/1/2022 $ 22.52 12/29/2019 331 2/28/2023 $ 21.74 4/19/2020 8 2/28/2023 $ 23.14 07/12/2020 2 2/28/2023 $ 21.97 10/4/2020 5 2/28/2023 $ 24.63 01/03/2021 365 3/1/2024 $ 22.63 10/10/2021 18 3/1/2024 $ 24.47 As of January 1, 2022, there was $8.7 million of total unrecognized compensation cost related to nonvested ROIC Shares granted under the Omnibus Plan. This cost is expected to be recognized over a weighted-average period of 1.79 years. Performance-Contingent Restricted Stock Summary The table below presents the TSR Modifier share adjustment, ROIC Modifier share adjustment, accumulated dividends on vested shares, and the tax windfall/shortfall at vesting of the performance-contingent restricted stock awards (amounts in thousands except for share data): Award granted Fiscal year vested TSR Modifier increase shares ROIC Modifier (decrease) shares Dividends at vesting (thousands) Tax benefit Fair value at vesting 2017 2019 205,686 (97,131 ) $ 1,219 $ 936 $ 18,570 A summary of the status of all of the company’s nonvested shares for performance-contingent restricted stock (including the TSR Shares and the ROIC Shares) for Fiscal 2021, 2020, and 2019 is set forth below (amounts in thousands, except price data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Number of Shares Weighted Average Value Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Balance at beginning of year 1,264 $ 21.85 662 $ 20.16 779 $ 21.64 Initial grant 766 $ 24.66 693 $ 23.37 917 $ 20.10 Vested — $ — — $ — (885 ) $ 22.21 Grant reduction for not achieving the ROIC modifier — $ — — $ — (97 ) $ 19.97 Grant increase (reduction) for not achieving the TSR modifier — $ — — $ — 206 $ 23.31 Forfeitures (58 ) $ 23.27 (91 ) $ 21.26 (258 ) $ 20.18 Balance at end of year 1,972 $ 22.89 1,264 $ 21.85 662 $ 20.16 As of January 1, 2022, there was $18.7 million of total unrecognized compensation cost related to nonvested restricted stock granted under the Omnibus Plan. This cost is expected to be recognized over a weighted-average period of 1.80 years. Time-Based Restricted Stock Units Certain key employees have been granted time-based restricted stock units (“TBRSU Shares”). These awards vest on the fifth of January three-year On May 23, 2019, the company’s CEO was granted TBRSU Shares of approximately $1.0 million pursuant to the Omnibus Plan. This award will vest 100% on the fourth anniversary of the date of grant provided the CEO remains employed by the company during this period. Vesting will also occur in the event of the CEO’s death or disability, but not his retirement if prior to the fourth anniversary of the grant date. Dividends will accrue on the award and will be paid to the CEO on the vesting date for all shares that vest. There were 43,330 shares issued for this award at a fair value of $23.08 per share. The following TBRSU Shares have been granted under the Omnibus Plan and have service periods remaining (amounts in thousands, except price data): Grant Date Shares Granted Vesting Date Fair Value per Share 12/30/2018 244 Equally over 3 years $ 18.29 5/23/2019 43 5/23/2023 $ 23.08 12/29/2019 220 Equally over 3 years $ 21.74 1/03/2021 256 Equally over 3 years $ 22.63 10/10/2021 6 Equally over 3 years $ 24.79 The TBRSU Shares activity for Fiscal 2021, 2020 and Fiscal 2019 is set forth below (amounts in thousands, except price data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Nonvested shares at beginning of year 387 $ 20.64 270 $ 19.06 — $ — Granted 262 $ 22.68 220 $ 21.74 288 $ 19.01 Vested (137 ) $ 19.98 (74 ) $ 18.29 Forfeitures (20 ) $ 21.56 (29 ) $ 20.14 (18 ) $ 18.29 Nonvested shares at end of year 492 $ 21.87 387 $ 20.64 270 $ 19.06 Deferred Stock Non-employee directors may convert their annual board retainers into deferred stock equal in value to 100% of the cash payments directors would otherwise receive and the vesting period is a one-year Non-employee directors also receive annual grants of deferred stock. This deferred stock vests over one year from the grant date. During Fiscal 2020, non-employee directors were granted an aggregate of 51,840 shares, of which 17,100 shares were deferred, for their annual grant pursuant to the Omnibus Plan that vested during Fiscal 2021. During the second quarter of Fiscal 2021, non-employee directors received 66,550 shares for their annual grant pursuant to the Omnibus Plan. Additionally, during Fiscal 2021, non-employee directors received 13,491 shares of previously deferred award grants. The deferred stock will be distributed to the grantee at a time designated by the grantee at the date of grant. Compensation expense is recorded on deferred stock over the vesting period. The deferred and restricted stock activity for Fiscal 2021, 2020, and 2019 is set forth below (amounts in thousands, except price data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Nonvested shares at beginning of year 52 $ 23.21 49 $ 22.31 66 $ 19.93 Granted 69 $ 23.96 54 $ 23.15 49 $ 22.31 Vested (54 ) $ 23.19 (51 ) $ 22.28 (66 ) $ 19.93 Nonvested shares at end of year 67 $ 24.00 52 $ 23.21 49 $ 22.31 Vested and deferred shares at end of year (1) 206 198 197 (1) The vested and deferred shares at the end of the year include 89,949 shares granted and deferred under the EPIP for Fiscal 2021, 2020 and 2019. As of January 1, 2022, there was $0.6 million of total unrecognized compensation cost related to deferred and restricted stock awards. This cost is expected to be recognized over a weighted-average period of 0.40 years. The intrinsic value of deferred stock awards that vested during Fiscal 2021 was $1.5 million. There was an immaterial tax windfall on the exercise of deferred share awards during fiscal 2021. Share-Based Payments Compensation Expense Summary The following table summarizes the company’s stock-based compensation expense, all of which was recognized in selling, distribution, and administrative expense, for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Performance-contingent restricted stock awards $ 15,061 $ 8,656 $ 4,767 TBRSU shares 4,747 3,039 1,520 Deferred stock awards 1,535 1,160 1,143 Total stock-based compensation expense $ 21,343 $ 12,855 $ 7,430 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Jan. 01, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 19 . Earnings Per Share The following is a reconciliation of net income and weighted average shares for calculating basic and diluted earnings per common share for Fiscal 2021, 2020, and 2019 (amounts in thousands, except per share data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Net income $ 206,187 $ 152,318 $ 164,538 Basic Earnings Per Common Share: Basic weighted average shares outstanding per common share 211,840 211,782 211,606 Basic earnings per common share $ 0.97 $ 0.72 $ 0.78 Diluted Earnings Per Common Share: Basic weighted average shares outstanding per common share 211,840 211,782 211,606 Add: Shares of common stock assumed issued upon exercise of stock options, vesting of performance-contingent restricted stock and deferred stock 1,193 563 368 Diluted weighted average shares outstanding per common share 213,033 212,345 211,974 Diluted earnings per common share $ 0.97 $ 0.72 $ 0.78 There were no anti-dilutive shares during Fiscal 2021 and 6,234 anti-dilutive shares during Fiscal 2020. There were 11,030 anti-dilutive shares for Fiscal 2019. |
Postretirement Plans
Postretirement Plans | 12 Months Ended |
Jan. 01, 2022 | |
Compensation And Retirement Disclosure [Abstract] | |
Postretirement Plans | Note 2 0 . Postretirement Plans The following summarizes the company’s balance sheet related pension and other postretirement benefit plan accounts at January 1, 2022 and January 2, 2021 (amounts in thousands): January 1, 2022 January 2, 2021 Noncurrent benefit asset $ 1,281 $ — Current benefit liability $ 804 $ 874 Noncurrent benefit liability $ 7,249 $ 10,049 AOCI, net of tax $ (3,456 ) $ (6,648 ) The company made a contribution of $2.5 million and $7.6 million to the Flowers Foods, Inc. Retirement Plan No. 2 (“Plan No. 2”) during the third quarter of Fiscal 2019 and Fiscal 2020, respectively. There were no contributions to the Flowers Foods, Inc. Plan No. 1 (“Plan No. 1”) during Fiscal 2019 or Fiscal 2020, and there were no contributions made by the company to any plan during Fiscal 2021. Pension Plans The company maintains a trusted, noncontributory defined benefit pension plan that covers a small number of certain union employees. The benefits in this plan are based on years of service and the employee’s career earnings. This qualified plan is funded at amounts deductible for income tax purposes but not less than the minimum funding required by the Employee Retirement Income Security Act of 1974 (“ERISA”) and the Pension Protection Act of 2006 (“PPA”). Benefits under the company’s largest pension plan were fully terminated and transferred to an insurance company in the form of a nonparticipating group annuity contract during the first quarter of Fiscal 2020. No cash contributions were required to support the transaction, but the company recorded non-cash settlement and curtailment charges of $108.8 million in Fiscal 2020. The company recognizes settlement accounting charges, which accelerates recognition of a plan’s unrecognized net gain or loss, when the ongoing lump sum payments from the plan exceed the sum of the plan’s service cost and interest cost. During the fourth quarter of Fiscal 2021, the company determined it was probable a settlement would occur and paid lump sums that exceeded that threshold and, as a result, the company recorded a settlement charge of $0.4 million in the fourth quarter of Fiscal 2021. The company uses a calendar year end for the measurement date since the plans are based on a calendar year and because it approximates the company’s fiscal year end. As of December 31, 2021 and December 31, 2020, the assets of the qualified plans included certificates of deposit, marketable equity securities, mutual funds, corporate and government debt securities, other diversifying strategies and annuity contracts. The company expects pension cost of approximately $0.7 million for Fiscal 2022. The net periodic pension cost (income) for the company’s pension plans includes the following components for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Service cost $ 971 $ 854 $ 703 Interest cost 758 2,108 11,930 Expected return on plan assets (1,867 ) (3,933 ) (17,147 ) Settlement loss 403 104,473 — Curtailment loss — 4,284 — Amortization: Prior service cost 57 115 387 Actuarial loss 742 1,747 7,098 Net periodic pension cost (income) 1,064 109,648 2,971 Other changes in plan assets and benefit obligations recognized in OCI: Current year actuarial (gain) loss (1,288 ) (25,515 ) 11,277 Settlement loss (403 ) (104,473 ) — Curtailment loss — (4,284 ) — Amortization of prior service cost (57 ) (115 ) (387 ) Amortization of actuarial loss (742 ) (1,747 ) (7,098 ) Total recognized in OCI (2,490 ) (136,134 ) 3,792 Total recognized in net periodic (benefit) cost and OCI $ (1,426 ) $ (26,486 ) $ 6,763 Actual return on plan assets for Fiscal 2021, 2020, and 2019 was $1.9 million, $15.8 million, and $51.8 million, respectively. The funded status and the amounts recognized in the Consolidated Balance Sheets for the company’s pension plans are as follows (amounts in thousands): January 1, 2022 January 2, 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 37,650 $ 396,906 Service cost 971 854 Interest cost 758 2,108 Actuarial gain (1,228 ) (13,657 ) Benefits paid (1,662 ) (7,762 ) Settlements (1,699 ) (340,799 ) Benefit obligation at end of year $ 34,790 $ 37,650 Change in plan assets: Fair value of plan assets at beginning of year $ 34,750 $ 360,675 Actual return on plan assets 1,929 15,790 Employer contribution 271 7,871 Benefits paid (1,662 ) (7,762 ) Transfer payments — (1,025 ) Settlements (1,699 ) (340,799 ) Fair value of plan assets at end of year $ 33,589 $ 34,750 Funded status, end of year: Fair value of plan assets $ 33,589 $ 34,750 Benefit obligations (34,790 ) (37,650 ) Unfunded status and amount recognized at end of year $ (1,201 ) $ (2,900 ) Amounts recognized in the balance sheet: Noncurrent asset $ 1,281 $ — Current liability (258 ) (259 ) Noncurrent liability (2,224 ) (2,641 ) Amount recognized at end of year $ (1,201 ) $ (2,900 ) Amounts recognized in AOCI: Net actuarial loss before taxes $ 7,913 $ 10,347 Prior service cost before taxes 198 255 Amount recognized at end of year $ 8,111 $ 10,602 Accumulated benefit obligation at end of year $ 32,950 $ 36,104 The actuarial gain/(loss) on defined benefit obligations of the employer due to experience, including any assumption changes, different from assumed, and the reasons for such (gain)/loss, can be found in the table below for Fiscal 2021, 2020 and 2019 (amounts in thousands). Amount of (Gain)/Loss on Defined Benefit Obligation Reasons for (Gain)/Loss Fiscal 2021 (1) $ (1,228 ) Gain from increase in general level of interest rates used to measure defined benefit plan obligations (approximately 30 basis points); Loss from change in mortality assumption scale from MP-2020 to MP-2021. Fiscal 2020 (1) $ 3,718 Loss from decrease in general level of interest rates used to measure defined benefit plan obligations (approximately 60 basis points); Gain from change in mortality assumption scale from MP-2019 to MP-2020. Fiscal 2019 $ 45,979 Loss from decrease in general level of interest rates used to measure defined benefit plan obligations (approximately 90 basis points); Gain from change in mortality assumption to use PRI-2012 Mortality Tables and projection scale MP-2019, from the RP-2018 Mortality tables and projection scale MP-2018. (1) Includes only losses from plans remaining on or after December 31, 2020. Assumptions used in accounting for the company’s pension plans at each of the respective fiscal years ending are as follows: Fiscal 2021 Fiscal 2020 Fiscal 2019 Weighted average assumptions used to determine benefit obligations: Measurement date 12/31/2021 12/31/2020 12/31/2019 Discount rate 3.06 % 2.78 % 2.54 % Rate of compensation increase 3.00 % 3.00 % 3.00 % Weighted average assumptions used to determine net periodic benefit cost/(income): Measurement date 1/1/2021 1/1/2020 1/1/2019 Discount rate 2.78 % 2.54 % 3.41 % Expected return on plan assets 5.70 % 4.97 % 5.34 % Rate of compensation increase 3.00 % 3.00 % 3.00 % In developing the expected long-term rate of return on plan assets at each measurement date, the company considers the plan assets’ historical actual returns, targeted asset allocations, and the anticipated future economic environment and long-term performance of individual asset classes, based on the company’s investment strategy. While appropriate consideration is given to recent and historical investment performance, the assumption represents management’s best estimate of the long-term prospective return. Further, pension costs do not include an explicit expense assumption, and therefore the return on assets rate reflects the long-term expected return, net of expenses. Based on these factors the expected long-term rate of return assumption for Plan No. 2 was set at 5.9% for Fiscal 2022. The average annual return on the plan assets over the last 15 years (while the assets were collectively managed) was approximately 6.3% (net of expenses). Plan Assets The investment committee, which consists of certain members of management, establishes investment guidelines and strategies and regularly monitors the performance of the plans’ assets. The investment committee is responsible for executing these strategies and investing the pension assets in accordance with ERISA and fiduciary standards. The investment objective of the pension plans is to preserve the plans’ capital and maximize investment earnings within acceptable levels of risk and volatility. The investment committee meets on a regular basis with its investment advisors to review the performance of the plans’ assets. Based upon performance and other measures and recommendations from its investment advisors, the investment committee rebalances the plans’ assets to the targeted allocation when considered appropriate. The fair values of all of the company pension plan assets at December 31, 2021 and December 31, 2020, by asset class are as follows (amounts in thousands): Fair value of Pension Plan Assets as of December 31, 2021 Asset Class Quoted active markets for identical assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level Total Short term investments and cash $ 453 $ — $ — $ 453 Common stocks: International common stocks 4,708 — — 4,708 U.S. common stocks 8,177 — — 8,177 Fixed income securities: U.S. government bonds 13,514 — — 13,514 U.S. government agency bonds — — — — U.S. corporate bonds 6,737 — — 6,737 Pending transactions(*) — — — — Accrued (expenses) income(*) — — — — Total $ 33,589 $ — $ — $ 33,589 Fair value of Pension Plan Assets as of December 31, 2020 Asset Class Quoted prices in active markets for identical assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Short term investments and cash $ 546 $ — $ — $ 546 Common stocks: International common stocks 5,223 — — 5,223 U.S. common stocks 8,587 — — 8,587 Fixed income securities: U.S. government bonds 14,577 — — 14,577 U.S. government agency bonds — — — — U.S. corporate bonds 5,877 — — 5,877 International corporate bonds — — — — Pending transactions(*) — — — — Other assets and (liabilities)(*) — — — (35 ) Accrued (expenses) income(*) — — — (25 ) Total $ 34,810 $ — $ — $ 34,750 ( * ) This class includes accrued interest, dividends, and amounts receivable from asset sales and amounts payable for asset purchases. The company’s investment policy includes various guidelines and procedures designed to ensure the plan’s assets are invested in a manner necessary to meet expected future benefits earned by participants. The investment guidelines consider a broad range of economic conditions. The plan asset allocation as of the measurement dates December 31, 2021 and December 31, 2020, and target asset allocations for Fiscal 2022 are as follows for Plan No. 2: Target Allocation Percentage of Plan Assets at the Measurement Date (As percent) Asset Category 2022 2021 2020 Equity securities 0-80% 38.0 40.0 Fixed income securities 20-100% 60.0 59.0 Short term investments and cash 0-10% 2.0 1.0 Total 100.0 100.0 The objectives of the target allocations are to maintain investment portfolios that diversify risk through prudent asset allocation parameters, achieve asset returns that meet or exceed the plans’ actuarial assumptions, and achieve asset returns that are competitive with like institutions employing similar investment strategies. Cash Flows Company contributions to qualified and nonqualified plans are as follows (amounts in thousands): Year Required Discretionary Total 2021 $ 271 $ — $ 271 2020 $ 271 $ 7,600 $ 7,871 2019 $ 1,040 $ 1,731 $ 2,771 All contributions are made in cash. The required contributions made during Fiscal 2021 include $0.3 million in nonqualified pension benefits paid from corporate assets. There were no contributions made to the qualified plans during Fiscal 2021. During Fiscal 2022, the company expects to pay $0.3 million in nonqualified pension benefits from corporate assets. There are no expected contributions to Plan No. 2 that are required under ERISA and the PPA during Fiscal 2022; however, the company expects to make a $1.0 million discretionary contribution to Plan No. 2 in Fiscal 2022. These amounts represent estimates that are based on assumptions that are subject to change. Benefit Payments The following are benefits paid under the plans (including settlements) during Fiscal 2021, 2020, and 2019 and expected to be paid from Fiscal 2022 through Fiscal 2031. Estimated future payments include qualified pension benefits that will be paid from the plans’ assets and nonqualified pension benefits that will be paid from corporate assets (amounts in thousands): Year Pension Benefits 2019 $ 29,484 * 2020 $ 348,561 ^ 2021 $ 3,361 + Estimated Future Payments: 2022 $ 4,534 2023 $ 3,027 2024 $ 2,814 2025 $ 2,404 2026 $ 2,150 2027 – 2031 $ 9,423 * Includes $7.0 million and $0.7 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums. ^ Includes $104.5 million and $0.4 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums. + Includes $1.7 million from Plan No. 2 paid as lump sums. Postretirement Benefit Plans The company sponsors postretirement benefit plans that provide health care and life insurance benefits to retirees who meet certain eligibility requirements. Generally, this includes employees with at least 10 years of service who have reached age 60 and participate in a Flowers retirement plan. Retiree medical coverage is provided for a period of three to five years, depending on the participant’s age and service at retirement. Participant premiums are determined using COBRA premium levels. Retiree life insurance benefits are offered to a closed group of retirees. The company also sponsors a medical, dental, and life insurance benefits plan to a limited and closed group of participants. The company delivers retiree medical and dental benefits for Medicare eligible retirees through a health-care reimbursement account. The company no longer sponsors a medical plan for Medicare eligible retirees and does not file for a Medicare Part D subsidy. The net periodic benefit (income) cost for the company’s postretirement benefit plans includes the following components for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Service cost $ 337 $ 285 $ 283 Interest cost 119 194 297 Amortization: Prior service credit (3 ) (4 ) (41 ) Actuarial gain (211 ) (300 ) (276 ) Total net periodic benefit cost (income) 242 175 263 Other changes in plan assets and benefit obligations recognized in OCI: Current year actuarial loss (gain) 238 643 (575 ) Current year prior service credit (2,214 ) — — Amortization of actuarial gain 211 300 276 Amortization of prior service credit 3 4 41 Total recognized in OCI (1,762 ) 947 (258 ) Total recognized in net periodic benefit cost and OCI $ (1,520 ) $ 1,122 $ 5 The unfunded status and the amounts recognized in the Consolidated Balance Sheets for the company’s postretirement benefit plans are as follows (amounts in thousands): January 1, 2022 January 2, 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 8,023 $ 7,477 Service cost 337 285 Interest cost 119 194 Participant contributions 453 573 Actuarial loss 238 642 Plan amendments (2,214 ) — Benefits paid (1,384 ) (1,148 ) Benefit obligation at end of year $ 5,572 $ 8,023 Change in plan assets: Fair value of plan assets at beginning of year $ — $ — Employer contributions 931 575 Participant contributions 453 573 Benefits paid (1,384 ) (1,148 ) Fair value of plan assets at end of year $ — $ — Funded status, end of year: Fair value of plan assets $ — $ — Benefit obligations (5,572 ) (8,023 ) Unfunded status and amount recognized at end of year $ (5,572 ) $ (8,023 ) Amounts recognized in the balance sheet: Current liability $ (547 ) $ (615 ) Noncurrent liability (5,025 ) (7,408 ) Amount recognized at end of year $ (5,572 ) $ (8,023 ) Amounts recognized in AOCI: Net actuarial gain before taxes $ (1,286 ) $ (1,735 ) Prior service credit before taxes (2,216 ) (5 ) Amounts recognized in AOCI $ (3,502 ) $ (1,740 ) Assumptions used in accounting for the company’s postretirement benefit plans at each of the respective fiscal years ending are as follows: Fiscal 2021 Fiscal 2020 Fiscal 2019 Weighted average assumptions used to determine benefit obligations: Measurement date 12/31/2021 12/31/2020 12/31/2019 Discount rate 2.60 % 2.11 % 3.01 % Health care cost trend rate used to determine benefit obligations: Initial rate 6.25 % 6.50 % 6.50 % Ultimate rate 5.00 % 5.00 % 5.00 % Year trend reaches the ultimate rate 2027 2027 2026 Weighted average assumptions used to determine net periodic cost: Measurement date 1/1/21 1/1/20 1/1/19 Discount rate 2.11 % 3.01 % 4.07 % Health care cost trend rate used to determine net periodic cost: Initial rate 6.50 % 6.50 % 6.50 % Ultimate rate 5.00 % 5.00 % 5.00 % Year trend reaches the ultimate rate 2027 2026 2025 Cash Flows Company contributions to postretirement plans are as follows (amounts in thousands): Year Employer Net Contribution 2019 $ 722 2020 $ 575 2021 $ 931 2022 (Expected) $ 548 The table above reflects only the company’s share of the benefit cost. Since the company no longer receives reimbursement for Medicare Part D subsidies, the entire $0.5 million expected funding for postretirement benefit plans during 2022 will be required to pay for benefits. Contributions by participants to postretirement benefits were $0.5 million, $0.6 million, and $0.7 million for Fiscal 2021, 2020, and 2019, respectively. Benefit Payments The following are benefits paid by the company during Fiscal 2021, 2020, and 2019 and expected to be paid from Fiscal 2022 through Fiscal 2031. All benefits are expected to be paid from the company’s assets (amounts in thousands): Postretirement benefits Year Employer gross contribution 2019 $ 722 2020 $ 575 2021 $ 931 Estimated Future Payments: 2022 $ 548 2023 $ 507 2024 $ 465 2025 $ 486 2026 $ 505 2027 – 2031 $ 2,355 Multiemployer Plans The company contributes to various multiemployer pension plans. Benefits provided under the multiemployer pension plans are generally based on years of service and employee age. Expense under these plans was $1.0 million for Fiscal 2021, $1.2 million for Fiscal 2020, and $1.1 million for Fiscal 2019. The company contributes to several multiemployer defined benefit pension plans under the terms of collective-bargaining agreements that cover various union-represented employees. The risks of participating in these multiemployer plans are different from single-employer plans. Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers. If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers. If we choose to stop participating in some of these multiemployer plans, we may be required to pay those plans an amount based on the underfunded status of the plan, referred to as a withdrawal liability. None of the contributions to the pension funds was in excess of 5% or more of the total contributions for plan years 2021, 2020, and 2019. There are no contractually required minimum contributions to the plans as of January 1, 2022. On September 22, 2021, the union participants of the Retail, Wholesale and Department Store Union Fund (the “Fund”) at our Birmingham, Alabama plant voted to withdraw from the Fund in the most recent collective bargaining agreement. The withdrawal was effective, and the union participants were eligible to participate in the 401(k) plan, on December 1, 2021. During the third quarter of Fiscal 2021, the company recorded a liability of $2.1 million related to the withdrawal from the Fund. The withdrawal liability was computed as the net present value of 20 years of monthly payments derived from the company’s share of unfunded vested benefits. While this is our best estimate of the ultimate cost of the withdrawal from this Fund, additional withdrawal liability may be incurred based on the final Fund assessment or in the event of a mass withdrawal, as defined by statute, occurring anytime within the next three years following our complete withdrawal. Additionally, the company recorded a liability of $1.2 million related to transition payments, including related tax payments, for the benefit of union participants as part of the collective bargaining agreement. The withdrawal liability charge and the transition payments are recorded in the multi-employer pension plan withdrawal costs line item on ou r Consolidated Statements of Income. The transition payments were paid during the fourth quarter of Fiscal 2021. The remaining liability associated with the withdrawal is recorded in other accrued current liabilities on the Consolidated Balance Sheets. The company’s participation in these multiemployer plans for Fiscal 2021 is outlined in the table below. The EIN/Pension Plan Number column provides the Employer Identification Number (“EIN”) and the three-digit plan number, if applicable. Unless otherwise noted, the most recent PPA zone status available in 2021 and 2020 is for the plan’s year-end at December 31, 2021 and December 31, 2020, respectively. The zone status is based on information that the company received from the plan and is certified by the plan’s actuary. Among other factors, plans in the red zone are generally less than 65 percent funded, plans in the yellow zone are less than 80 percent funded, and plans in the green zone are at least 80 percent funded. The FIP/RP Status Pending/Implemented column indicates plans for which a financial improvement plan (“FIP”) or a rehabilitation plan (“RP”) is either pending or has been implemented. The last column lists the expiration date(s) of the collective-bargaining agreements to which the plans are subject. Finally, there have been no significant changes that affect the comparability of contributions. In December 2014, the Consolidated and Further Continuing Appropriations Act of 2015 (the “2015 Appropriations Act”) was signed into law and materially amended the PPA funding rules. In general, the PPA funding rules were made more flexible in order to make more manageable the steps necessary for multi-employer plans to become or remain economically viable in the future. While in previous years we have been informed that several of the multi-employer pension plans to which our subsidiaries contribute have been labeled with a “critical” or “endangered” status as defined by the PPA, the changes made by the 2015 Appropriations Act will materially impact, on a going forward basis, these prior funding status assessments. In any event, it is unclear at this time what impact, if any, the 2015 Appropriations Act will have on our future obligations to the multi-employer pension plans in which we participate. Pension Protection Act Contributions (Amounts in Zone Status thousands) Expiration Date of Pension FIP/RP Status 2021 2020 2019 Surcharge Collective Bargaining Pension Fund EIN Plan No. 2021 2020 Pending/Implemented ($) ($) ($) Imposed Agreement IAM National Pension Fund 51-6031295 002 Red Red Yes 136 153 111 Yes 4/29/2022 Retail, Wholesale and Department Store International Union and Industry Pension Fund 63-0708442 001 Red Red Yes 211 157 160 No * Western Conference of Teamsters Pension Trust ^ 91-6145047 001 Green Green No 266 349 244 No 2/4/2022 * The union employees withdrew from the fund effective December 1, 2021. ^ The collective bargaining agreement is currently under negotiation. 401(k) Retirement Savings Plans The Flowers Foods 401(k) Retirement Savings Plan covers substantially all of the company’s employees who have completed certain service requirements. During Fiscal 2021, 2020, and 2019, the total cost and employer contributions were as follows (amounts in thousands): Contributions by fiscal year Defined contribution plans expense Fiscal 2021 $ 28,081 Fiscal 2020 $ 27,995 Fiscal 2019 $ 27,336 |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 01, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 2 1 . Income Taxes The company’s provision for income tax expense (benefit) consists of the following for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Current Taxes: Federal $ 46,018 $ 64,113 $ 23,397 State 11,790 15,434 5,539 57,808 79,547 28,936 Deferred Taxes: Federal 6,946 (26,112 ) 17,335 State (169 ) (5,042 ) 1,274 6,777 (31,154 ) 18,609 Income tax expense $ 64,585 $ 48,393 $ 47,545 Fiscal 2020 deferred income taxes included the impact of the termination of Plan No.1. See Footnote 20, Postretirement Plans Income tax expense (benefit) differs from the amount computed by applying the applicable U.S. federal income tax rate of 21% because of the effect of the following items for Fiscal 2021, 2020 and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Tax at U.S. federal income tax rate $ 56,862 $ 42,149 $ 44,538 State income taxes, net of federal income tax benefit 9,181 8,209 5,384 Net share-based payments (windfalls) (104 ) (80 ) (828 ) Other (1,354 ) (1,885 ) (1,549 ) Income tax expense $ 64,585 $ 48,393 $ 47,545 In Fiscal 2021, 2020 and 2019, the most significant difference in the effective rate and the statutory rate was state income taxes. Deferred tax assets (liabilities) are comprised of the following (amounts in thousands): January 1, 2022 January 2, 2021 Self-insurance $ 5,502 $ 4,806 Compensation and employee benefits 8,816 7,698 Deferred income 4,948 5,988 Loss and credit carryforwards 12,990 13,026 Equity-based compensation 6,797 3,977 Legal accrual 6,514 2,867 Deferred payroll tax under CARES act 4,100 7,525 Pension and postretirement benefits 1,722 2,390 Financing and operating lease right-of-use liabilities 77,422 88,816 Other 6,642 7,028 Valuation allowance (1,030 ) (1,030 ) Deferred tax assets 134,423 143,091 Depreciation (71,041 ) (69,056 ) Intangibles (114,882 ) (109,824 ) Financing and operating lease right-of-use assets (75,233 ) (85,720 ) Hedging (2,015 ) (4,357 ) Other (5,009 ) (2,393 ) Deferred tax liabilities (268,180 ) (271,350 ) Net deferred tax liability $ (133,757 ) $ (128,259 ) The company has a deferred tax asset of $2.8 million related to a federal net operating loss carryforward which we expect to fully utilize before expiration. Additionally, the company and various subsidiaries have a net deferred tax asset of $4.8 million related to state net operating loss carryforwards, and $5.4 million for credit carryforwards with expiration dates through Fiscal 2041. The utilization of a portion of these state carryforwards could be limited in the future; therefore, a valuation allowance has been recorded. Should the company determine at a later date that certain of these losses which have been reserved for may be utilized, a benefit may be recognized in the Consolidated Statements of Income. Likewise, should the company determine at a later date that certain of these net operating losses for which a deferred tax asset has been recorded may not be utilized, a charge to the Consolidated Statements of Income may be necessary. See Note 2, Summary of Significant Accounting Policies There are no unrecognized gross tax benefits as of January 1, 2022. These amounts would be presented exclusive of interest accrued and recorded in other long-term liabilities on the Consolidated Balance Sheets. The company accrues interest expense and penalties related to income tax liabilities as a component of income before taxes. No accrual of penalties is reflected on the company’s balance sheet as the company believes the accrual of penalties is not necessary based upon the merits of its income tax positions. The company had no accrued interest balance at January 1, 2022 and January 2, 2021. The company defines the federal jurisdiction as well as various state jurisdictions as “major” jurisdictions. The company is no longer subject to federal examinations for years prior to 2018, and with limited exceptions, for years prior to 2017 in state jurisdictions. The following is a reconciliation of the total amounts of unrecognized tax benefits for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Unrecognized tax benefit at beginning of fiscal year $ — $ 306 $ 750 Lapses of statutes of limitations — (306 ) (444 ) Unrecognized tax benefit at end of fiscal year $ — $ — $ 306 At this time, we do not anticipate significant changes to the amount of gross unrecognized tax benefits over the next twelve months. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 01, 2022 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 2 2 . Commitments and Contingencies Self-insurance reserves and other commitments and contingencies The company has recorded current liabilities of $29.8 million and $29.4 million related to self-insurance reserves at January 1, 2022 and January 2, 2021, respectively. The reserves include an estimate of expected settlements on pending claims, defense costs and a provision for claims incurred but not reported. These estimates are based on the company’s assessment of potential liability using an analysis of available information with respect to pending claims, historical experience and current cost trends. In the event the company ceases to utilize the independent distributor model or exits a geographic market, the company is contractually required in some situations to purchase the distribution rights from the independent distributor. The company expects to continue operating under this model and has concluded that the possibility of a loss is remote. The company’s facilities are subject to various federal, state and local laws and regulations regarding the discharge of material into the environment and the protection of the environment in other ways. The company is not a party to any material proceedings arising under these regulations. The company believes that compliance with existing environmental laws and regulations will not materially affect the consolidated financial condition, results of operations, cash flows or the competitive position of the company. The company believes it is currently in substantial compliance with all material environmental regulations affecting the company and its properties. Litigation The company and its subsidiaries from time to time are parties to, or targets of, lawsuits, claims, investigations and proceedings, including personal injury, commercial, contract, environmental, antitrust, product liability, health and safety and employment matters, which are being handled and defended in the ordinary course of business. While the company is unable to predict the outcome of these matters, it believes, based upon currently available facts, that it is remote that the ultimate resolution of any such pending matters will have a material adverse effect on its overall financial condition, results of operations or cash flows in the future. However, adverse developments could negatively impact earnings in a particular future fiscal period. At this time, the company is defending twenty-four complaints filed by IDPs alleging that they were misclassified as independent contractors. Eight of these lawsuits seek class and/or collective action treatment. The remaining sixteen cases either allege individual claims or do not seek class or collective action treatment or, in cases in which class treatment was sought, the court denied class certification. The respective courts have ruled on plaintiffs’ motions for class certification in four of the pending cases, each of which is discussed below. Unless otherwise noted, a class was conditionally certified under the FLSA in each of the cases described below, although the company has the ability to petition the court to decertify that class at a later date Case Name Case No. Venue Date Filed Status Noll v. Flowers Foods, Inc., Lepage Bakeries Park Street, LLC, and CK Sales Co., LLC 1:15-cv-00493 U.S. District Court District of Maine 12/3/2015 On October 21, 2021, Flowers Foods, Inc., Lepage Bakeries Park Street, LLC and CK Sales Co., LLC reached an agreement to settle this and two other lawsuits pending in the U.S. District Court for the District of Maine – Bowen et al. v. Flowers Foods, Inc. et al. (No. 1:20-cv-00411); and Aucoin et al. v. Flowers Foods, Inc. et al (No. 1:20-cv-00410). The settlement provides for a payment of $16.5 million, comprised of up to $9 million in settlement funds and $7.5 million in attorneys’ fees. The settlement also requires a phased repurchase of approximately 75 distribution territories in Maine, which, once completed, the company will service its Maine market using company sales employees. The company estimates this cost to be $6.6 million (of which $4.7 million is included in other accrued liabilities and the remainder as a contra account to notes receivable). These amounts were recorded in the selling, distribution, and administrative expenses line item of the Consolidated Statements of Income. The terms of the settlement require court approval. The company remains committed to our IDP program. Richard et al. v. Flowers Foods, Inc., Flowers Baking Co. of Lafayette, LLC, Flowers Baking Co. of Baton Rouge, LLC, Flowers Baking Co. of Tyler, LLC and Flowers Baking Co. of New Orleans, LLC 6:15-cv-02557 U.S. District Court Western District of Louisiana 10/21/2015 On April 9, 2021, the court decertified the FLSA collective action and denied plaintiffs' motion to certify under Federal Rule of Civil Procedure 23 a state law class of distributors who operated in the state of Louisiana. Coronado v. Flowers Foods, Inc. and Flowers Baking Co. of El Paso, LLC 1:16-cv-00350 U.S. District Court District of New Mexico 4/27/2016 On August 2, 2021, the court denied defendants' motion to decertify the FLSA collective action. Martins v. Flowers Foods, Inc., Flowers Baking Co. of Bradenton, LLC and Flowers Baking Co. of Villa Rica, LLC 8:16-cv-03145 U.S. District Court Middle District of Florida 11/8/2016 The company and/or its respective subsidiaries contests the allegations and are vigorously defending all of these lawsuits. Given the stage of the complaints and the claims and issues presented, except for lawsuits disclosed herein that have reached a settlement or agreement in principle, the company cannot reasonably estimate at this time the possible loss or range of loss that may arise from the unresolved lawsuits. During the last three f iscal years, the company has settled, and the appropriate court has approved, the following collective and/or class action lawsuits filed by distributors alleging that such distributors were misclassified as independent contractors. In each of these settlements, in addition to the monetary terms noted below, the settlements also included certain non-economic terms intended to strengthen and enhance the independent contractor model: Case Name Case No. Venue Date Filed Comments Caddick et al. v. Tasty Baking Co. 2:19-cv-02106 U.S. District Court Eastern District of Pennsylvania 5/15/2019 On October 27, 2021, the Court dismissed this lawsuit and approved an agreement to settle this and a companion case (Bertino v. Tasty Baking Co., No. 2:20-cv-05823) for a payment of $3.15 million, inclusive of attorneys’ fees and cost, service awards and consideration for class members who are active distributors to enter into an amendment to their distributor agreements. This settlement charge was recorded as a selling, distribution and administrative expense in our Consolidated Statements of Income during the third quarter of Fiscal 2020. The settlement was paid in early November 2021. Rosinbaum et al. v. Flowers Foods, Inc. and Franklin Baking Co., LLC 7:16-cv-00233 U.S. District Court Eastern District of North Carolina 12/1/2015 On December 29, 2020, the Court dismissed this lawsuit and approved an agreement to settle this matter for $8.3 million, inclusive of attorneys’ fees and costs, service awards, and incentives for class members who are active distributors to enter into an amendment to their distributor agreements. This settlement charge was recorded as a selling, distribution and administrative expense in our Consolidated Statements of Income during the fourth quarter of fiscal 2019 and was paid during the first quarter of Fiscal 2021. Carr et al. v. Flowers Foods, Inc. and Flowers Baking Co. of Oxford, Inc. 2:15-cv-06391 U.S. District Court Eastern District of Pennsylvania 12/1/2015 On September 29, 2020, the Court dismissed this lawsuit and approved an agreement to settle this matter and the Boulange matter (see below) for a payment of $13.25 million, inclusive of attorneys’ fees and costs, service awards, and incentives for class members who are active distributors to enter into an amendment to their distributor agreements. This settlement charge was recorded as a selling, distribution and administrative expense in our Consolidated Statements of Income during the fourth quarter of fiscal 2019 and was paid during the fourth quarter of Fiscal 2020. Boulange v. Flowers Foods, Inc. and Flowers Baking Co. of Oxford, Inc. 2:16-cv-02581 U.S. District Court Eastern District of Pennsylvania 3/25/2016 This matter was consolidated with the Carr litigation described immediately above. Neff et al. v. Flowers Foods, Inc., Lepage Bakeries Park Street, LLC, and CK Sales Co., LLC 5:15-cv-00254 U.S. District Court District of Vermont 12/2/2015 On November 13, 2020, the court dismissed this lawsuit following a October 22, 2020 order approving an agreement to settle this matter for a payment of $7.6 million, inclusive of attorneys’ fees and costs, service awards, and incentives for class members who are active distributors to enter into an amendment to their distributor agreements. This settlement charge was recorded as a selling, distribution and administrative expense in our Consolidated Statements of Income during the fourth quarter of Fiscal 2019 and paid during the fourth quarter of Fiscal 2020. Green et al. v. Flowers Foods, Inc. et al. 1:19-cv-01021 U.S. District Court Western District of Tennessee 2/1/2019 * * See Note 14, Debt and Other Commitments |
Unaudited Quarterly Financial I
Unaudited Quarterly Financial Information | 12 Months Ended |
Jan. 01, 2022 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited Quarterly Financial Information | Note 2 3 . Unaudited Quarterly Financial Information Results of operations for each of the four quarters in the respective fiscal years are as follows. For Fiscal 2021, each quarter represents a period of twelve weeks, except the first quarter, which includes sixteen weeks. For Fiscal 2020, first quarter consisted of sixteen weeks, second and third quarters twelve weeks, and fourth quarter thirteen weeks. (amounts in thousands, except per share data): First Second Quarter Third Quarter Fourth Quarter Sales 2021 $ 1,302,168 $ 1,017,309 $ 1,027,800 $ 983,490 2020 $ 1,349,444 $ 1,025,861 $ 989,650 $ 1,023,036 Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately)* 2021 $ 643,576 $ 504,062 $ 515,078 $ 512,531 2020 $ 670,873 $ 506,033 $ 497,659 $ 521,577 Net income (loss) 2021 $ 71,655 $ 56,358 $ 38,852 $ 39,322 2020 $ (5,772 ) $ 57,919 $ 44,347 $ 55,824 Basic net income (loss) per share 2021 $ 0.34 $ 0.27 $ 0.18 $ 0.19 2020 $ (0.03 ) $ 0.27 $ 0.21 $ 0.26 Diluted net income (loss) per share 2021 $ 0.34 $ 0.26 $ 0.18 $ 0.18 2020 $ (0.03 ) $ 0.27 $ 0.21 $ 0.26 * The company does not report gross margin. This line item presents our material, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately) under an alternative presentation. The table below presents financial results that impact comparability, by quarter, for Fiscal 2021 (amounts in thousands): Items presented separately on the Consolidated Statements of Income First Quarter Second Quarter Third Quarter Fourth Quarter Fiscal 2021 Footnote Loss (recovery) on inferior ingredients $ 122 $ — $ (950 ) $ 1,772 $ 944 Note 4 Multi-employer pension plan withdrawal costs $ — $ — $ 3,300 $ — $ 3,300 Note 20 Pension plan settlement loss $ — $ — $ — $ 403 $ 403 Note 20 The table below presents financial results that impact comparability, by quarter, for Fiscal 2020 (amounts in thousands): Items presented separately on the Consolidated Statements of Income First Quarter Second Quarter Third Quarter Fourth Quarter Fiscal 2020 Footnote Loss on inferior ingredients $ — $ — $ — $ 107 $ 107 Note 4 Restructuring and related impairment charges $ — $ 10,535 $ 20,100 $ 4,848 $ 35,483 Note 5 Pension plan settlement and curtailment loss (gain) $ 116,207 $ — $ (7,153 ) $ (297 ) $ 108,757 Note 20 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jan. 01, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 2 4 . Subsequent Events The company has evaluated subsequent events since January 1, 2022, the date of these financial statements. We believe there were no material events or transactions discovered during this evaluation that requires recognition or disclosure in the financial statements other than the items discussed below. Dividend. On February 18, 2022, the Board of Directors declared a dividend of $0.21 per share on the company’s common stock to be paid on March 18, 2022 to shareholders of record on March 4, 2022. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Basis of Consolidation | Basis of Consolidation . The Consolidated Financial Statements include the accounts of the company and its wholly-owned subsidiaries. Intercompany transactions and balances are eliminated in consolidation. |
Use of Estimates | Use of Estimates . The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Fiscal Year End | Fiscal Year End . The company operates on a 52-53 week fiscal year ending the Saturday nearest December 31. Fiscal 2021 consisted of 52 weeks, Fiscal 2020 consisted of 53 weeks, and Fiscal 2019 consisted of 52 weeks. |
Revenue Recognition | Revenue Recognition . Revenue is recognized when obligations under the terms of a contract with our customers are satisfied. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. The company records both direct and estimated reductions to gross revenue for customer programs and incentive offerings at the time the incentive is offered or at the time of revenue recognition for the underlying transaction that results in progress by the customer towards earning the incentive. These allowances include price promotion discounts, coupons, customer rebates, cooperative advertising, and product returns. Consideration payable to a customer is recognized at the time control transfers and is a reduction to revenue. The recognition of costs for promotion programs involves the use of judgment related to performance and redemption estimates. Estimates are made based on historical experience and other factors. Price promotion discount expense is recorded as a reduction to gross sales when the discounted product is sold to the customer. Shipping and handling costs associated with outbound freight after control over a product has transferred to a customer are accounted for as a fulfillment cost and are included in our selling, distribution, and administrative expenses line item on the Consolidated Statements of Income. The company’s production facilities deliver products to independent distributor partners (“IDP” or “IDPs”), who sell and deliver those products to outlets of retail accounts that are within the IDPs’ defined geographic territory. The IDPs sell products using either scan-based trading (“SBT”) technology, authorized charge tickets, or cash sales. SBT technology allows the retailer to take ownership of our products when the consumer purchases the products rather than at the time they are delivered to the retailer. Control of the inventory does not transfer upon delivery to the retailer because the company controls the risks and rights until the product is scanned at the reseller’s register. Each of the company’s products is considered distinct because the resellers expect each item to be a performance obligation. The company’s performance obligations are satisfied at the point in time when the end consumer purchases the product because each product is considered a separate performance obligation. Consequently, revenue is recognized at a point in time for each scanned item. The company has concluded that we are the principal. In Fiscal 2021, 2020, and 2019, the company recorded $2.2 billion, $2.3 billion, and $1.9 billion, respectively, in sales through SBT. SBT is utilized primarily in certain national and regional retail accounts (“SBT Outlet”). Generally, revenue is not recognized by the company upon delivery of our products by the company to the IDP or upon delivery of our products by the IDP to an SBT Outlet, but when our products are purchased by the end consumer. Product inventory in the SBT Outlet is reflected as inventory on the Consolidated Balance Sheets. The IDP performs a physical inventory of products at each SBT Outlet weekly and reports the results to the company. The inventory data submitted by the IDP for each SBT Outlet is compared with the product delivery data. Product delivered to a SBT Outlet that is not recorded as inventory in the product delivery data has been purchased by the consumer/customer of the SBT Outlet and is recorded as sales revenue by the company. Non-SBT sales are classified as either authorized charge sales or cash sales. The company provides marketing support to the IDP for authorized charge sales but does not provide marketing support to the IDP for cash sales. Marketing support includes providing a dedicated account representative, resolving complaints, and accepting responsibility for product quality which collectively define how to manage the relationship. Revenue is recognized at a point in time for non-SBT sales. The company retains inventory risk, establishes negotiated special pricing, and fulfills the contractual obligations for authorized charge sales. The company is the principal, the IDP is the agent, and the reseller is the customer. Revenue is recognized for authorized charge sales when the product is delivered to the customer because the company has satisfied its performance obligations. Cash sales occur when the IDP is the end customer. The IDP maintains accounts receivable, inventory and fulfillment risk for cash sales. The IDP also controls pricing for the resale of cash sale products. The company is the principal and the IDP is the customer, and an agent relationship does not exist. The discount paid to the IDP for cash sales is recorded as a reduction to revenue. Revenue is recognized for cash sales when the company’s products are delivered to the IDP because the company has satisfied its performance obligations. Certain sales are under contracts and include a formal ordering system. Orders are placed primarily using purchase orders (“PO”) or electronic data interchange information. Each PO, together with the applicable master supply agreement, is determined to be a separate contract. Product is delivered via contract carriers engaged by either the company or the customer with shipping terms provided in the PO. Each unit sold, for all product categories, is a separate performance obligation. Each unit is considered distinct because the customer can benefit from each unit by selling each one separately to the end consumer. Additionally, each unit is separately identifiable in the PO. Products are delivered either freight-on-board (“FOB”) shipping or destination. The company’s right to payment is at the time our products are obtained from our warehouse for FOB shipping deliveries. The right to payment for FOB destination deliveries occurs after the products are delivered to the customer. Revenue is recognized at a point in time when control transfers. The company pays commissions to brokers who obtain contracts with customers. Commissions are paid on the total value of the contract, which is determined at contract inception and is based on expected future activity. Broker commissions will not extend beyond a one-year term because each product is considered a separate order in the PO. The company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the company otherwise would have recognized is one year or less. These costs are included in our selling, distribution, and administrative expenses line item on the Consolidated Statements of Income. The company disaggregates revenue by sales channel. Our sales channels are branded retail, store branded retail, and non-retail and other. The non-retail and other channel includes foodservice, restaurants, institutional, vending, thrift stores, and contract manufacturing. The company does not disaggregate revenue by geographic region, customer type, or contract type. All revenues are recognized at a point in time. Sales by sales channel category are as follows for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Branded retail $ 2,875,418 $ 2,914,072 $ 2,478,669 Store branded retail 534,794 607,741 647,056 Non-retail and other 920,555 866,178 998,249 Total $ 4,330,767 $ 4,387,991 $ 4,123,974 |
Cash and Cash Equivalents | Cash and Cash Equivalents . The company considers deposits in banks, certificates of deposits, and short-term investments with original maturities of three months or less, and highly liquid investments that are readily convertible to known amounts of cash to be cash and cash equivalents. |
Accounts and Notes Receivable | Accounts and Notes Receivable . Accounts and notes receivable consist of trade receivables, current portions of distributor notes receivable, and miscellaneous receivables. The company recognizes an allowance for credit losses related to its accounts and notes receivable to present the net amount expected to be collected as of the balance sheet date. The company estimates this allowance based on historical data such as days sales outstanding trends, previous write-offs of balances, and weekly reviews of aged trial balances, among others. Accounts and notes receivable balances are written off when deemed uncollectible and are recognized as a deduction from the allowance for credit losses. Expected recoveries, not to exceed the amount previously written off, are considered in determining the reserve balance at the balance sheet date. Activity in the allowance for doubtful accounts is as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Ending Balance Fiscal 2021 $ 15,162 $ 6,071 $ 5,835 $ 15,398 Fiscal 2020 $ 9,473 $ 11,344 $ 5,655 $ 15,162 Fiscal 2019 $ 5,751 $ 11,034 $ 7,312 $ 9,473 Activity in the allowance for trade accounts receivable credit losses for Fiscal 2021 and 2020 was as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Recoveries and other Ending Balance Fiscal 2021 $ 4,901 $ 596 $ (1,018 ) $ (1,927 ) $ 2,552 Fiscal 2020 $ 2,089 $ 2,875 $ (2,319 ) $ 2,256 $ 4,901 The amounts charged to expense for bad debts in the table above, along with other non-trade accounts receivable amounts, are reported as adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. The write-offs represent the amounts that are used to reduce the gross accounts and notes receivable at the time the balance due from the customer is written-off. Walmart/Sam’s Club is our only customer with a balance greater than 10% of outstanding trade receivables. Their percentage of trade receivables was 19.8% and 18.8%, on a consolidated basis, as of January 1, 2022 and January 2, 2021, respectively. No other customer accounted for greater than 10% of the company’s outstanding receivables. |
Concentration of Credit Risk | Concentration of Credit Risk . The company performs periodic credit evaluations and grants credit to customers, who are primarily in the grocery and foodservice markets, and generally does not require collateral. Our top 10 customers in Fiscal 2021, 2020, and 2019 accounted for 53.7%, 53.6% and 51.0% of sales, respectively Percent of Sales Fiscal 2021 21.2 % Fiscal 2020 21.2 % Fiscal 2019 21.1 % Walmart/Sam’s Club is the only customer to account for greater than 10% of the company’s sales. |
Inventories | Inventories . Inventories at January 1, 2022 and January 2, 2021 are valued at net realizable value. Costs for raw materials and packaging are recorded at moving average cost. Finished goods inventories are valued at average costs. The company will write down inventory to net realizable value for estimated unmarketable inventory equal to the difference between the cost of the inventory and the estimated net realizable value for situations when the inventory is impaired by damage, deterioration, or obsolescence. Activity in the inventory reserve allowance is as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Ending Balance Fiscal 2021 $ 1,920 $ 16 $ 1,652 $ 284 Fiscal 2020 $ 161 $ 3,601 $ 1,842 $ 1,920 Fiscal 2019 $ 143 $ 337 $ 319 $ 161 The amounts charged to expense for inventory loss in the table above are reported as adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. The write-offs and other column represents the amounts that are used to reduce gross inventories. |
Shipping Costs | Shipping Costs . Shipping costs are included in the selling, distribution and administrative line item of the Consolidated Statements of Income. For Fiscal 2021, 2020, and 2019, shipping costs were $1,063.6 million, $1,075.8 million, and $1,010.5 million, respectively, including the costs paid to IDPs. |
Spare Parts and Supplies | Spare Parts and Supplies . The company maintains inventories of spare parts and supplies, which are used for repairs and maintenance of its machinery and equipment. These spare parts and supplies allow the company to react quickly in the event of a mechanical breakdown. These parts are valued using the moving average method and are expensed as the part is used. Periodic physical inventories of the parts are performed, and the value of the parts is adjusted for any obsolescence or difference from the physical inventory count. |
Assets Held for Sale | Assets Held for Sale . Assets to be sold are classified as held for sale in the period all the required criteria are met. The company generally has three types of assets classified as held for sale. These include distribution rights, plants and depots/warehouses, and other equipment. See Note 8, , for these amounts by classification. Though under no obligation to do so, the company repurchases distribution rights from and sells distribution rights to IDPs from time to time. At the time the company purchases distribution rights from an IDP, the fair value purchase price of the distribution right is recorded as “Assets Held for Sale”. Upon the sale of the distribution rights to a new IDP, the new distributor franchisee/owner may choose how he/she desires to finance the purchase of the business. If the new distributor chooses to use optional financing via a company-related entity, a note receivable of up to ten years is recorded for the financed amount with a corresponding credit to assets held for sale to relieve the carrying amount of the territory. Any difference between the selling price of the business and the distribution rights’ carrying value, if any, is recorded as a gain or a loss in selling, distribution and administrative expenses because the company considers the IDP activity a cost of distribution. This gain is recognized over the term of the outstanding notes receivable as payments are received from the IDP. In instances where a distribution right is sold for less than its carrying value, a loss is recorded at the date of sale and any impairment of a distribution right held for sale is recorded at such time when the impairment occurs. The deferred gains were $19.7 million and $23.9 million at January 1, 2022 and January 2, 2021, respectively, and are recorded in other short and long-term liabilities on the Consolidated Balance Sheets. The company recorded net gains of $1.6 million during Fiscal 2021, $5.1 million during Fiscal 2020 and $4.1 million during Fiscal 2019 related to the sale of distribution rights as a component of selling, distribution and administrative expenses. The gains recorded during Fiscal 2021 included a loss of $4.7 million of repurchase obligations of distribution rights related to a legal settlement. See Note 22, Commitments and Contingencies |
Property, Plant and Equipment and Depreciation | Property, Plant and Equipment and Depreciation . Property, plant and equipment is recognized at cost. Depreciation expense is computed using the straight-line method over the estimated useful lives of the depreciable assets. The table below presents the range of estimated useful lives by property, plant and equipment class. Useful life term (years) Asset Class Low High Buildings 10 40 Machinery and equipment 3 25 Furniture, fixtures and transportation equipment 3 15 Property recorded as leasehold improvements is amortized over the shorter of the lease term or the estimated useful life of the leased property. Depreciation expense, excluding amortization of right-of-use financing leases, for Fiscal 2021, 2020, and 2019 was as follows (amounts in thousands): Depreciation expense Fiscal 2021 $ 103,949 Fiscal 2020 $ 103,490 Fiscal 2019 $ 107,891 The company had no capitalized interest during Fiscal 2021, 2020, and 2019. The cost of maintenance and repairs is charged to expense as incurred. Upon disposal or retirement, the cost and accumulated depreciation of assets are eliminated from the respective accounts. Any gain or loss is reflected in the company’s Consolidated Statements of Income and is included in adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. |
Leases | Leases. At the beginning of our Fiscal 2019, the company adopted the new standard using the modified retrospective transition method, which required companies to recognize lease liabilities and a right of use asset for virtually all leases on the balance sheet. The impact at adoption was an increase to assets of $387.3 million and an increase to liabilities of $391.9 million at the beginning of our Fiscal 2019. The company’s leases consist of the following types of assets: bakeries, corporate office space, warehouses, bakery equipment, transportation equipment, and IT equipment (debt is discussed separately in Note 14, Debt and Other Commitments Real estate and equipment contracts occasionally contain multiple lease and non-lease components. Generally, non-lease components represent maintenance and utility related charges, and are primarily minor to the overall value of applicable contracts. These contracts also contain fixed payments with stated rent escalation clauses or fixed payments based on an index such as CPI. Additionally, some contracts contain tenant improvement allowances, rent holidays, lease premiums, and contingent rent provisions (which are treated as variable lease payments). Building and/or office space leases generally require the company to pay for common area maintenance (CAM), insurance, and taxes that are not included in the base rental payments, with the majority of these leases treated as net leases, and the remainder treated as gross or modified gross leases. The lease term for real estate leases primarily ranges from one to 22 years, with a few leases that are month to month, and accounted for as short-term leases. See discussion on short-term leases below. The term of bakery equipment leases primarily ranges from less than a year up to seven years. Transportation equipment generally has terms of less than one year up to seven years. IT equipment is typically leased from less than a year up to five years. Certain equipment (i.e., equipment subject to management contracts) and IT equipment leases have terms shorter than a year and are accounted for as short-term leases. See discussion on short-term leases below. These contracts may contain renewal options for periods of one month up to 10 years at fixed percentages of market pricing, with some that are reasonably certain of exercise. For those contracts that contain leases, the company recognizes renewal options as part of right-of-use assets and lease liabilities. All other renewal and termination options are not reasonably certain of exercise or occurrence as of January 1, 2022. These contracts may also contain right of first offer purchase options, along with expansion options that are not reasonably certain of exercise. Additionally, these contracts do not contain residual value guarantees, and there are no other restrictions or covenants in the contracts. For these real estate contracts, the company’s exclusive use of specified real estate for a specific term and for consideration resulted in the company treating these contracts as leases under the new standard. For those contracts that contain leases of buildings and land, the company has elected to not separate land components from leases of specified property, plant, and equipment, as it was determined to have no effect on lease classification for any lease component, and the amounts recognized for the land lease components would have been immaterial. These contracts may also contain end-term purchase options, whereby, the company may purchase the assets for stated pricing at the lesser of fair market value or a percentage of original asset cost. Yet, these purchase options were determined to not be reasonably certain of exercise or occurrence as of January 1, 2022. Additionally, these contracts do not contain residual value guarantees, and there are no other restrictions or covenants in the contracts. The company’s ability to make those decisions that most effect the economic benefits derived from the use of the equipment, accompanied by receiving substantially all outputs and utility from the use of the equipment resulted in the company accounting for these contracts as leases. These leases are classified as operating leases under the new standard because real estate leases do not transfer ownership at the end of the lease term, assets are not of such a specialized nature that real estate would not have alternative uses to lessors at the end of the lease term, lease terms do not represent a major part of the total useful life of real estate, and the present value of lease payments do not represent substantially all the fair value of leased assets at commencement. Short-term leases The company has also entered into short-term leases of certain real estate assets, along with IT equipment, and various equipment used for short-term bakery needs through equipment placement or service contracts that require purchase of consumables. These leases extend for periods of one to 12 months. Lease term and amounts of payments are generally fixed. There are no purchase options present, however, there generally are renewals that could extend lease terms for additional periods. Generally, renewal options, as they cannot be unilaterally exercised, are not reasonably certain of exercise, do not contain residual value guarantees, and there are no other restrictions or covenants in the leases. Therefore, the company recognizes lease payments from these short-term leases and variable payments on the Consolidated Statements of Income in the period in which obligation for those payments have been incurred. Modifications and reassessments During Fiscal 2021 and 2020, the company elected certain renewal options that were not previously certain of exercise. Election of these renewal options resulted in reassessment of lease terms for the applicable leases. The company included the renewal periods in measurement of lease terms for the applicable leases. Given that rental payments in the renewal periods were fixed, the company also remeasured the lease payments, and reallocated remaining contract consideration to the lease components within the applicable real estate leases. Although the triggering events did not result in changes to lease classification (i.e., all remained operating leases), they did affect the measurement of lease liabilities, right-of-use assets (“ROU assets”), and amounts recognized as lease expense for the applicable real estate leases. Other significant judgments and assumptions For all classes of assets, the company primarily used our incremental borrowing rates (“IBR”) to perform lease classification tests and measure lease liabilities because discount rates implicit in the company’s leases were not readily determinable. Embedded leases The company maintains a transportation agreement with an entity that transports a portion of the company’s fresh bakery products from the company’s production facilities to outlying distribution centers. The company concluded that this agreement contained embedded leases for the trucks and trailers used to satisfy the service provider’s obligations to the company through December 31, 2020. On December 31, 2020, a re-measurement event occurred, and a conclusion was reached that these no longer met the requirements of an embedded lease due to a change in the contractual terms to allow for the substitution of assets, among other changes to the terms. As a result, on January 2, 2021, there were no ROU assets or liabilities associated with the transportation agreement. The gain on the termination of these embedded leases was $4.1 million. During Fiscal 2020 and Fiscal 2019, the company entered into embedded leases for IT equipment that, as of January 1, 2022, were $3.0 million of financing ROU assets and financing ROU liabilities. As of January 2, 2021, the embedded leases were $4.6 million of financing ROU assets and financing ROU liabilities. The company did not enter into any embedded leases during Fiscal 2021. See Note 13, Leases |
Segments | Segment . The company has one operating segment based on the nature of products the company sells, intertwined production and distribution model, the internal management structure and information that is regularly reviewed by the CEO, who is the chief operating decision maker, for the purpose of assessing performance and allocating resources. |
Impairment of Long-Lived Held and Used Assets | Impairment of Long-Lived Held and Used Assets . The company determines whether there has been an impairment of long-lived held and used assets when indicators of potential impairment are present. We consider historical performance and future estimated results in our evaluation of impairment. If facts and circumstances indicate that the cost of any long-lived held and used assets may be impaired, an evaluation of recoverability would be performed. If an estimate of the asset’s fair value is required in order to determine if an impairment should be recorded, the estimated future gross, undiscounted cash flows associated with the asset would be compared to the asset’s carrying amount and if lower than the carrying value, a write-down to market value is required. There were no restructuring and related impairment charges during Fiscal 2021. Total impairments (inclusive of property, plant and equipment, notes receivable, spare parts, and ROU assets) for Fiscal 2020 and 2019 , and the line item to which each item is recorded in our Consolidated Statements of Income, are presented below (amounts in thousands): Restructuring and related impairment charges line item Fiscal 2020 Fiscal 2019 Plant closings $ 5,747 $ 5,133 Line and distribution depot closings 629 356 Spare parts 734 174 Lease impairment charges 9,397 — Impairment of assets $ 16,507 $ 5,663 Fiscal 2020 During Fiscal 2020, the company sold three closed bakeries included in assets held for sale and certain idle equipment at other bakeries included in property, plant, and equipment, resulting in the recognition of $5.7 million of impairment charges. Additionally, the company recognized property, plant, and equipment impairment charges of $0.6 million for line and distribution depot closures and an office building it decided to sell, and $0.7 million for spare parts related to equipment it no longer intended to use. Additionally, in order to optimize our distribution network, we vacated certain distribution depots during Fiscal 2020, some of which are owned and others that were leased. Fiscal 2019 The company recognized impairment charges during the first quarter of Fiscal 2019 related to manufacturing line closures of $0.4 million. During the second quarter of Fiscal 2019, an impairment charge of $1.3 million was recognized for the Winston-Salem, North Carolina closed plant recorded in assets held for sale. The company also recognized an impairment charge of $3.9 million during the third quarter of Fiscal 2019 for the Opelika, Alabama plant closure costs. The company sold the closed plant in Winston-Salem, North Carolina during the third quarter of Fiscal 2019, at which time an additional $0.2 million of spare parts write-offs were recognized. The company received $1.9 million and recognized a gain of $0.8 million at the time of sale. The impairment charges and the gain recognized are recorded in the restructuring and related impairment charges line item on our Consolidated Statements of Income. See Note 5, Restructuring Activities |
Impairment of Other Intangible Assets | Impairment of Other Intangible Assets . The company accounts for other intangible assets at fair value. These intangible assets can be either finite or indefinite-lived depending on the facts and circumstances at acquisition. Finite-lived intangible assets are reviewed for impairment when facts and circumstances indicate that the cost of any finite-lived intangible asset may be impaired. This recoverability test is based on an undiscounted cash flows expected to result from the company’s use and eventual disposition of the asset. If these cash flows are sufficient to recover the carrying value over the useful life there is no impairment. Amortization of finite-lived intangible assets occurs over their estimated useful lives. The amortization periods, at origination, range from two years to forty years for these assets. The attribution methods we primarily use are the sum-of-the-year digits for customer relationships and straight-line for other intangible assets. These finite-lived intangible assets generally include trademarks, customer relationships, non-compete agreements, distributor relationships, and supply agreements. Identifiable intangible assets that are determined to have an indefinite useful economic life are not amortized. Indefinite-lived intangible assets are tested for impairment, at least annually, using a one-step fair value-based approach or when certain indicators of potential impairment are present. We have elected not to perform the qualitative approach. We also reassess the indefinite-lived classification to determine if it is appropriate to reclassify these assets as finite-lived assets that will require amortization. We consider historical performance and future estimated results in our evaluation of impairment. If facts and circumstances indicate that the cost of any indefinite-lived intangible assets may be impaired, an evaluation of the fair value of the asset is compared to its carrying amount. If the carrying amount exceeds the fair value, an impairment charge is recorded for the difference. We use the multi-period excess earnings and relief from royalty methods to value these indefinite-lived intangible assets. Fair value is estimated using the future gross, discounted cash flows associated with the asset using the following five material assumptions: (a) discount rate; (b) long-term sales growth rates; (c) forecasted operating margins (not applicable to the relief from royalty method) , (d) assumed royalty rate ; and ( e ) market multiples. The method used for impairment testing purposes is consistent with the valuation method employed at acquisition of the intangible asset. These indefinite-lived intangible assets are trademarks acquired in a purchase business combination. In order to optimize sales and production of our organic products, the company decided to cease using the Alpine Valley During Fiscal 2019, the company recorded impairment charges of $15.4 million for trademarks impacted by a brand rationalization study which resulted in changing our focus in certain markets from regional brands to national brands to maximize our marketing and advertising campaigns. See Note 5, Restructuring Activities The company evaluates useful lives for finite-lived intangible assets to determine if facts or circumstances arise that may impact the estimates of useful lives assigned and the remaining amortization duration. Indefinite-lived intangible assets that are determined to have a finite useful life are tested for impairment as an indefinite-lived intangible asset prior to commencing amortization. We determined that an indefinite-lived asset should be reclassified to finite-lived with an attribution period covering our estimate of the assets’ useful life. These intangible assets were assigned a useful life ranging from 5 years to 40 years. Future adverse changes in market conditions or poor operating results of underlying intangible assets could result in losses or an inability to recover the carrying value of the intangible assets that may not be reflected in the assets’ current carrying values, thereby possibly requiring an impairment charge in the future. See Note 9, Goodwill and Other Intangible Assets |
Goodwill | Goodwill . The company accounts for goodwill in a purchase business combination as the excess of the cost over the fair value of net assets acquired. The company tests goodwill for impairment on an annual basis (or an interim basis if a triggering event occurs that indicates the fair value of our single reporting unit may be below its carrying value) using a one-step method. We have elected not to perform the qualitative approach. The company conducts this review during the fourth quarter of each Fiscal year absent any triggering events. We use the following four material assumptions in our fair value analysis: (a) weighted average cost of capital; (b) long-term sales growth rates; (c) forecasted operating margins; and (d) market multiples. No impairment resulted from the annual review performed in Fiscal 2021, 2020, or 2019. See Note 9, , for additional disclosure. |
Derivative Financial Instruments | Derivative Financial Instruments . The disclosure requirements for derivatives and hedging provide investors with an enhanced understanding of: (a) how and why an entity uses derivative instruments and related hedged items, (b) how the entity accounts for derivative instruments and related hedged items, and (c) how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash flows. Further, qualitative disclosures are required that explain the company’s objectives and strategies for using derivative instruments and related hedged items, as well as quantitative disclosures about the fair value of and gains and losses on derivative instruments and related hedged items, and disclosures about credit-risk-related contingent features in derivative instruments and related hedged items. The company’s objectives in using commodity derivatives are to add stability to materials, supplies, labor, and other production costs and to manage its exposure to certain commodity price movements. To accomplish this objective, the company uses commodity futures as part of its commodity risk management strategy. The company’s commodity risk management programs include hedging price risk for wheat, soybean oil, corn, and natural gas primarily using futures contracts. Commodity futures designated as cash flow hedges involve fixing the price on a fixed volume of a commodity on a specified date. The commodity futures are given up to third parties near maturity to price the physical goods (e.g. flour, sweetener, corn, etc.) required as part of the company’s production. As required, the company records all derivatives on the Consolidated Balance Sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedged item with the earnings effect of the hedged forecasted transactions in a cash flow hedge. The company may enter into derivative contracts that are intended to economically hedge certain of its risks, even though hedge accounting does not apply, or the company elects not to apply hedge accounting. For derivatives designated and that qualify as cash flow hedges of commodity price risk, the gain or loss on the derivative is recorded in accumulated other comprehensive income (loss) (“AOCI”) and subsequently reclassified in the period during which the hedged transaction affects earnings within the same income statement line item as the earnings effect of the hedged transaction. All our commodity derivatives at January 1 , 202 2 qualified for hedge accounting. See Note 1 0 , Derivative Financial Instruments , for additional disclosure. The company routinely transfers amounts from AOCI to earnings as transactions for which cash flow hedges were held occur and impact earnings. Amounts reclassified out of AOCI to net income that relate to commodity contracts are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. Significant situations which do not routinely occur that could cause transfers from AOCI to earnings are the cancellation of a forecasted transaction for which a derivative was held as a hedge or a significant and material reduction in volume used of a hedged ingredient such that the company is over hedged and must discontinue hedge accounting. During Fiscal 2021, 2020, and 2019 there were no discontinued hedge positions. The impact to earnings is included in our materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately) line item. Changes in the fair value of the asset or liability are recorded as either a current or long-term asset or liability depending on the underlying fair value. Amounts reclassified to earnings for the commodity cash flow hedges are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. See Note 10, Derivative Financial Instruments |
Treasury Stock | Treasury Stock . The company records acquisitions of its common stock for treasury at cost. Differences between the proceeds for reissuances of treasury stock and average cost are credited or charged to capital in excess of par value to the extent of prior credits and thereafter to retained earnings. See Note 17, , for additional disclosure. |
Advertising and Marketing Costs | Advertising and Marketing Costs . Advertising and marketing costs are expensed the first time the advertising takes place. Advertising and marketing costs were $77.7 million, $60.4 million, and $48.2 million for Fiscal years 2021, 2020, and 2019, respectively. Advertising and marketing costs are recorded in the selling, distribution and administrative expense line item in our Consolidated Statements of Income. |
Stock-Based Compensation | Stock-Based Compensation . Stock-based compensation expense for all share-based payment awards granted is determined based on the grant date fair value. The company recognizes compensation costs only for those shares expected to vest on a straight-line basis over the requisite service period of the award, which is generally the vesting term of the share-based payment award. The shares issued for exercises and at vesting of the awards are issued from treasury stock. Forfeitures are recognized as they occur. Shares issued at vesting are recorded as reissuances of treasury stock. See Note 18, , for additional disclosure. Stock-based compensation expense is primarily included in selling, distribution and administrative expense in the Consolidated Statements of Income. |
Cloud Computing Arrangements | Cloud computing arrangements (“CCA”) If a CCA includes a software license, the arrangement is within the scope of the internal-use software guidance. If the CCA does not include a software license (i.e. is hosted), the arrangement is a service contract and the fees for the CCA are recorded as an operating expense. Capitalized implementation costs are amortized over the term of the associated hosted CCA service on a straight-line basis. Amortization begins at the time any component of the hosted CCA service is ready for use. Capitalized implementation costs are presented on the Consolidated Balance Sheets as an other asset. Amortization charges are presented in the selling, distribution, and administrative expenses line on the Consolidated Statements of Income. |
Software Development Costs | Software Development Costs . The company expenses internal and external software development costs incurred in the preliminary project stage, and, thereafter, capitalizes costs incurred in developing or obtaining internally used software. Certain costs, such as maintenance and training, are expensed as incurred. Capitalized costs are amortized over a period of three to eight years and are subject to impairment evaluation. An impairment could be triggered if the company determines that the underlying software under review will no longer be used. The net balance of capitalized software development costs included in plant, property and equipment was $21.1 million and $21.9 million at January 1, 2022 and January 2, 2021, respectively. Amortization expense of capitalized software development costs, which is included in depreciation and amortization expense in the Consolidated Statements of Income, was $9.9 million, $9.3 million, and $10.2 million in Fiscal 2021, 2020, and 2019, respectively. |
Income Taxes | Income Taxes . The company accounts for income taxes using the asset and liability method and recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined based on the temporary differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income as a discrete item in the period that includes the enactment date. The company records a valuation allowance to reduce its deferred tax assets to the amount that is more likely than not to be realized. The company has considered carryback, future taxable income, and prudent and feasible tax planning strategies in assessing the need for the valuation allowance. In the event the company was to determine that it would be more likely than not able to realize its deferred tax assets in the future in excess of its net recorded amount, an adjustment to the valuation allowance would increase income in the period such a determination was made. Likewise, should the company determine that it would not more likely than not be able to realize all or part of its net deferred tax asset s in the future, an adjustment to the valuation allowance would decrease income in the period such determination was made. The company recognizes a tax benefit from an uncertain tax position when it is more likely than not that the position will be sustained upon examination, including resolution of any related appeals or litigation process. Interest related to unrecognized tax benefits is recorded within the interest expense line in the accompanying Consolidated Statements of Income. See Note 21, Income Taxes The deductions column in the table below presents the amounts reduced in the deferred tax asset valuation allowance that were recorded to, and included as part of, deferred tax expense. The additions column represents amounts that increased the allowance. Activity in the deferred tax asset valuation allowance is as follows (amounts in thousands): Beginning Balance Deductions Additions Ending Balance Fiscal 2021 $ 1,030 $ — $ — $ 1,030 Fiscal 2020 $ 703 $ — $ 327 $ 1,030 Fiscal 2019 $ 364 $ — $ 339 $ 703 |
Self-Insurance Reserves | Self-Insurance Reserves . The company is self-insured for various levels of general liability, auto liability, workers’ compensation, and employee medical and dental coverage. Insurance reserves are calculated based on a combination of an undiscounted basis based on actual claim data and estimates of incurred but not reported claims developed utilizing historical claim trends. Projected settlements of incurred but not reported claims are estimated based on pending claims, historical trends and industry trends related to expected losses and actual reported losses, and key assumptions, including loss development factors and expected loss rates. |
Loss Contingencies | Loss Contingencies . Loss contingencies are recorded at the time it is probable an asset is impaired, or a liability has been incurred and the amount can be reasonably estimated. For litigation claims the company considers the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the loss. Losses are recorded in selling, distribution, and administrative expense in our Consolidated Statements of Income. |
Net Income Per Common Share | Net Income Per Common Share . Basic net income per share is computed by dividing net income by the weighted average common shares outstanding for the period. Diluted net income per share is computed by dividing net income by the weighted average common and common equivalent shares outstanding for the period. Common stock equivalents consist of the incremental shares associated with the company’s stock compensation plans, as determined under the treasury stock method. The performance contingent restricted stock awards do not contain a non-forfeitable right to dividend equivalents and are included in the computation for diluted net income per share. Fully vested shares which have a deferral period extending beyond the vesting date are included in the computation for basic net income per share. See Note 19, , for additional disclosure. |
Variable Interest Entities | Variable Interest Entities . The incorporated IDPs are not voting interest entities since the company has no direct interest in each entity; however, they qualify as variable interest entities (“VIEs”). The IDPs who are formed as sole proprietorships are excluded from the VIE accounting analysis because sole proprietorships are not within scope for determination of VIE status. The company typically finances the incorporated IDP and enters into a contract with the incorporated IDP to supply product at a discount for distribution in the IDP’s territory. The combination of the company’s loans to the incorporated IDP and the ongoing supply arrangements with the incorporated IDP provides a level of protection to the equity owners of the various distributorships that would not otherwise be available. However, the company is not considered to be the primary beneficiary of the VIEs. See Note 15, , for additional disclosure of these VIEs. The company also maintains a transportation agreement with an entity that transports a significant portion of the company’s fresh bakery products from the company’s production facilities to outlying distribution centers. The company represents a significant portion of the entity’s revenue. The company reconsidered its relationship with the entity because the entity was sold, and the company has concluded the entity no longer qualifies as a VIE beginning in the second quarter of Fiscal 2019. Previously, t Variable Interest Entities |
Postretirement Plans | Postretirement Plans . The company records pension costs and benefit obligations related to its defined benefit plans based on actuarial valuations. These valuations reflect key assumptions determined by management, including the discount rate, expected long-term rate of return on plan assets and mortality. Material changes in pension costs and in benefit obligations may occur in the future due to experience that is different than assumed and changes in these assumptions . See Note 20, , for additional disclosure. |
Pension Plan Assets | Pension Plan Assets . The finance committee of the Board of Directors delegated its fiduciary and other responsibilities with respect to the Company’s retirement plans’ investment strategies to the investment committee. The investment committee, which consists of certain members of management, establishes investment guidelines and strategies and regularly monitors the performance of the plans’ assets. The investment committee is responsible for executing these strategies and investing the pension assets in accordance with ERISA and fiduciary standards. The investment objective of the pension plans is to preserve the plans’ capital and maximize investment earnings within acceptable levels of risk and volatility. The investment committee meets on a regular basis with its investment advisors to review the performance of the plans’ assets. Based upon performance and other measures and recommendations from its investment advisors, the investment committee rebalances the plans’ assets to the targeted allocation when considered appropriate. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments . On March 9, 2021 and September 28, 2016, the company issued $500.0 million of senior notes (the “2031 notes”) and $400.0 million of senior notes (the “2026 notes”), respectively. On April 3, 2012, the company issued $400.0 million of senior notes (the “2022 notes”) which the company later redeemed on April 8, 2021. These notes are recorded in our financial statements at carrying value, net of debt discount and issuance costs. The debt discount and issuance costs are being amortized over the ten-year . |
Research and Development Costs | Research and Development Costs . The company recorded research and development costs of $5.6 million, $4.0 million, and $4.3 million for Fiscal 2021, 2020, and 2019, respectively. These costs are recorded as selling, distribution and administrative expenses in our Consolidated Statements of Income. |
Other Comprehensive Income | Other Comprehensive Income (Loss)(“OCI”) . The company reports comprehensive income in two separate but consecutive financial statements. See Note 6, , for additional required disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Sales by Sales Channel Category | Sales by sales channel category are as follows for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Branded retail $ 2,875,418 $ 2,914,072 $ 2,478,669 Store branded retail 534,794 607,741 647,056 Non-retail and other 920,555 866,178 998,249 Total $ 4,330,767 $ 4,387,991 $ 4,123,974 |
Allowance for Doubtful Accounts Activity | Activity in the allowance for doubtful accounts is as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Ending Balance Fiscal 2021 $ 15,162 $ 6,071 $ 5,835 $ 15,398 Fiscal 2020 $ 9,473 $ 11,344 $ 5,655 $ 15,162 Fiscal 2019 $ 5,751 $ 11,034 $ 7,312 $ 9,473 |
Allowance for Trade Accounts Receivable Credit Losses Activity | Activity in the allowance for trade accounts receivable credit losses for Fiscal 2021 and 2020 was as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Recoveries and other Ending Balance Fiscal 2021 $ 4,901 $ 596 $ (1,018 ) $ (1,927 ) $ 2,552 Fiscal 2020 $ 2,089 $ 2,875 $ (2,319 ) $ 2,256 $ 4,901 |
Weighted Percentage of Sales from Largest Customers | Our largest customer’s, Walmart/Sam’s Club, weighted percent of sales for Fiscal 2021, 2020, and 2019 was as follows: Percent of Sales Fiscal 2021 21.2 % Fiscal 2020 21.2 % Fiscal 2019 21.1 % |
Estimated Useful Lives by Property Plant and Equipment Class | The table below presents the range of estimated useful lives by property, plant and equipment class. Useful life term (years) Asset Class Low High Buildings 10 40 Machinery and equipment 3 25 Furniture, fixtures and transportation equipment 3 15 |
Schedule of Depreciation Expense | Depreciation expense, excluding amortization of right-of-use financing leases, for Fiscal 2021, 2020, and 2019 was as follows (amounts in thousands): Depreciation expense Fiscal 2021 $ 103,949 Fiscal 2020 $ 103,490 Fiscal 2019 $ 107,891 |
Schedule of Total Impairments (Inclusive of Property, Plant and Equipment, Notes Receivable, Spare Parts, and ROU Assets) and Line Item Recorded in Our Consolidated Statements of Income | Total impairments (inclusive of property, plant and equipment, notes receivable, spare parts, and ROU assets) for Fiscal 2020 and 2019 , and the line item to which each item is recorded in our Consolidated Statements of Income, are presented below (amounts in thousands): Restructuring and related impairment charges line item Fiscal 2020 Fiscal 2019 Plant closings $ 5,747 $ 5,133 Line and distribution depot closings 629 356 Spare parts 734 174 Lease impairment charges 9,397 — Impairment of assets $ 16,507 $ 5,663 |
Inventory Valuation Reserve | |
Summary of Valuation Allowance | Activity in the inventory reserve allowance is as follows (amounts in thousands): Beginning Balance Charged to Expense Write-Offs and Other Ending Balance Fiscal 2021 $ 1,920 $ 16 $ 1,652 $ 284 Fiscal 2020 $ 161 $ 3,601 $ 1,842 $ 1,920 Fiscal 2019 $ 143 $ 337 $ 319 $ 161 |
Valuation Allowance of Deferred Tax Assets | |
Summary of Valuation Allowance | The deductions column in the table below presents the amounts reduced in the deferred tax asset valuation allowance that were recorded to, and included as part of, deferred tax expense. The additions column represents amounts that increased the allowance. Activity in the deferred tax asset valuation allowance is as follows (amounts in thousands): Beginning Balance Deductions Additions Ending Balance Fiscal 2021 $ 1,030 $ — $ — $ 1,030 Fiscal 2020 $ 703 $ — $ 327 $ 1,030 Fiscal 2019 $ 364 $ — $ 339 $ 703 |
Product Recall and Loss (Reco_2
Product Recall and Loss (Recovery) on Inferior Ingredients (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Summary of Total Costs and Recoveries | The table below presents the total costs and recoveries during Fiscal 2021, 2020 and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Expense recognized $ 1,894 $ 1,257 $ 1,785 Recoveries recognized (950 ) (1,150 ) (1,822 ) Total loss (recovery) on inferior ingredients $ 944 $ 107 $ (37 ) |
Restructuring Activities (Table
Restructuring Activities (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Restructuring And Related Activities [Abstract] | |
Components of Costs Associated with Project Centennial | The table below presents the components of costs associated with Project Centennial in Fiscal 2020 and 2019 (amounts in thousands): Fiscal 2020 Fiscal 2019 Restructuring and related impairment charges: Reorganization costs $ — $ 253 Lease termination charges 4,077 — Impairment charges, net of gain on sale 23,627 20,229 Employee termination benefits 7,779 3,042 Restructuring and related impairment charges (1) 35,483 23,524 Project Centennial implementation costs (2) 15,548 784 Total Project Centennial restructuring and implementation costs $ 51,031 $ 24,308 (1) Presented on our Consolidated Statements of Income. (2) Represents non-restructuring costs and are recorded in the selling, distribution, and administrative expenses line item of our Consolidated Statements of Income. |
Schedule of Restructuring Impairment Charges Recognized By Type of Cost | The table below details the restructuring impairments (inclusive of property, plant and equipment, ingredient and packaging, and spare parts and intangible assets) that were recognized during Fiscal 2020 and 2019 (amounts in thousands): Fiscal 2020 Fiscal 2019 Plant closure costs $ 5,747 $ 5,133 Line and distribution depot closure costs 629 356 Spare parts 734 174 Brand rationalization study impairments 7,120 15,399 Lease impairment charges 9,397 — Gain on sale — (833 ) Total restructuring impairment of assets $ 23,627 $ 20,229 |
Components of, and Changes in Restructuring Accruals | The table below presents the components of, and changes in, our restructuring accruals (amounts in thousands): VSIP RIF Employee termination benefits (1) Reorganization costs (2) Distribution Network Optimization Total Liability balance at December 29, 2018 $ 174 $ — $ 227 $ — $ — $ 401 Charges — — 3,042 253 — 3,295 Cash payments — — (1,819 ) (253 ) — (2,072 ) Liability balance (3) at December 28, 2019 $ 174 $ — $ 1,450 $ — $ — $ 1,624 Charges 2,639 5,289 (149 ) — 4,077 11,856 Cash payments (1,777 ) (4,817 ) (1,301 ) — (4,077 ) (11,972 ) Liability balance (3) at January 2, 2021 $ 1,036 $ 472 $ — $ — $ — $ 1,508 Charges — — — — — — Cash payments (1,036 ) (472 ) — — — (1,508 ) Liability balance (3) at January 1, 2022 $ — $ — $ — $ — $ — $ — (1) Employee termination benefits not related to the VSIP. (2) Reorganization costs include employee relocation expenses. (3) Recorded in the other accrued current liabilities line item of our Consolidated Balance Sheets. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Summary of Reclassifications Out of AOCI | During Fiscal 2021, 2020, and 2019, reclassifications out of AOCI were as follows (amounts in thousands): Amount Reclassified from AOCI Affected Line Item in the Statement Details about AOCI Components (Note 2) Fiscal 2021 Fiscal 2020 Fiscal 2019 Where Net Income is Presented Derivative instruments: Interest rate contracts $ 126 $ (145 ) $ (142 ) Interest expense Commodity contracts 2,115 (2,675 ) 3,707 Cost of sales, Note 3, below Total before tax $ 2,241 $ (2,820 ) $ 3,565 Total before tax Tax (expense) benefit (560 ) 704 (901 ) Tax expense Total net of tax $ 1,681 $ (2,116 ) $ 2,664 Net of tax Pension and postretirement plans: Prior-service credits $ (55 ) $ (111 ) $ (346 ) Note 1, below Settlement loss (403 ) (108,757 ) — Note 1, below Actuarial losses (532 ) (1,447 ) (6,822 ) Note 1, below Total before tax $ (990 ) $ (110,315 ) $ (7,168 ) Total before tax Tax benefit 247 27,873 1,810 Tax benefit Total net of tax $ (743 ) $ (82,442 ) $ (5,358 ) Net of tax benefit Total reclassifications from AOCI $ 938 $ (84,558 ) $ (2,694 ) Net of tax benefit Note 1: These items are included in the computation of net periodic pension cost. See Note 20, Postretirement Plans , for additional information. Note 2: Amounts in parentheses indicate debits to determine net income. Note 3: Amounts are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. |
Summary of AOCI Exclusive of Reclassification | During Fiscal 2021, 2020, and 2019, amounts recognized in AOCI, exclusive of reclassifications, were as follows (amounts in thousands): Amount of Gain (Loss) Recognized in AOCI AOCI component Fiscal 2021 Fiscal 2020 Fiscal 2019 Derivative instruments: Interest rate contracts $ 3,902 — — Commodity contracts (11,030 ) $ 12,395 $ 11,313 Total before tax $ (7,128 ) $ 12,395 $ 11,313 Tax benefit (expense) 1,780 (3,097 ) (2,856 ) Total net of tax $ (5,348 ) $ 9,298 $ 8,457 Pension and postretirement plans: Current year actuarial loss (gain) $ 1,050 $ 24,872 $ (10,702 ) Current year prior service credit 2,214 — — Total before tax $ 3,264 $ 24,872 $ (10,702 ) Tax (expense) benefit (815 ) (6,284 ) 2,702 Total net of tax $ 2,449 $ 18,588 $ (8,000 ) Total recognized in AOCI $ (2,899 ) $ 27,886 $ 457 During Fiscal 2021, changes to AOCI, net of income tax, by component were as follows (amounts in thousands): Cash Flow Hedge Items Defined Benefit Pension Plan Items Total AOCI at January 2, 2021 $ 13,072 $ (6,648 ) $ 6,424 Other comprehensive gain before reclassifications (5,348 ) 2,449 (2,899 ) Reclassified to earnings from AOCI (1,681 ) 743 (938 ) AOCI at January 1, 2022 $ 6,043 $ (3,456 ) $ 2,587 During Fiscal 2020, changes to AOCI, net of income tax, by component were as follows (amounts in thousands): Cash Flow Hedge Items Defined Benefit Pension Plan Items Total AOCI at December 28, 2019 $ 1,658 $ (107,678 ) $ (106,020 ) Other comprehensive loss (gain) before reclassifications 9,298 18,588 27,886 Reclassified to earnings from AOCI 2,116 82,442 84,558 AOCI at January 2, 2021 $ 13,072 $ (6,648 ) $ 6,424 |
Loss Reclassified From AOCI for Commodity Contracts | The following table presents the net of tax amount of the loss reclassified from AOCI for our commodity contracts (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Gross gain (loss) reclassified from AOCI into income $ 2,115 $ (2,675 ) $ 3,707 Tax (expense) benefit (529 ) 668 (936 ) Net of tax $ 1,586 $ (2,007 ) $ 2,771 |
Notes Receivable from IDPs (Tab
Notes Receivable from IDPs (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Receivables [Abstract] | |
Interest Income Related to Notes Receivable | During Fiscal 2021, 2020, and 2019 the following amounts were recorded as interest income, the majority of which relates to these notes receivable (amounts in thousands): Interest income Fiscal 2021 $ 23,533 Fiscal 2020 $ 26,696 Fiscal 2019 $ 27,750 |
Assets Held for Sale (Tables)
Assets Held for Sale (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Property Plant And Equipment Assets Held For Sale Disclosure [Abstract] | |
Assets Held for Sale | The table below presents the assets held for sale as of January 1, 2022 and January 2, 2021, respectively (amounts in thousands): January 1, 2022 January 2, 2021 Distribution rights $ 5,147 $ 3,707 Property, plant and equipment 6,222 1,934 Total assets held for sale $ 11,369 $ 5,641 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill and Other Intangible Assets | The table below summarizes our goodwill and other intangible assets at January 1, 2022 and January 2, 2021, respectively, each of which is explained in additional detail below (amounts in thousands): January 1, 2022 January 2, 2021 Goodwill $ 545,244 $ 545,244 Amortizable intangible assets, net of amortization 568,332 587,818 Indefinite-lived intangible assets 127,100 127,100 Total goodwill and other intangible assets $ 1,240,676 $ 1,260,162 |
Amortizable Intangible Assets | As of January 1, 2022 and January 2, 2021, the company had the following amounts related to amortizable intangible assets (amounts in thousands): January 1, 2022 January 2, 2021 Asset Cost Accumulated Amortization Net Value Cost Accumulated Amortization Net Value Trademarks $ 477,115 $ 78,124 $ 398,991 $ 466,915 $ 64,426 $ 402,489 Customer relationships 318,021 151,496 166,525 318,021 135,068 182,953 Non-compete agreements 5,154 5,074 80 5,154 5,034 120 Distributor relationships 4,123 3,398 725 4,123 3,123 1,000 Distributor routes held and used 2,548 537 2,011 1,377 121 1,256 Total $ 806,961 $ 238,629 $ 568,332 $ 795,590 $ 207,772 $ 587,818 |
Amortization Expense | Amortization expense Amortization expense for Fiscal 2021, 2020, and 2019 was as follows (amounts in thousands): Amortization expense Fiscal 2021 $ 30,857 Fiscal 2020 $ 30,704 Fiscal 2019 $ 29,323 |
Estimated Amortization of Intangibles | Estimated amortization of intangibles for Fiscal 2022 and the next four years thereafter is as follows (amounts in thousands): Fiscal year Amortization of Intangibles 2022 $ 31,535 2023 $ 30,654 2024 $ 29,959 2025 $ 29,247 2026 $ 27,173 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Net Fair Value of Commodity Price Risk | As of January 1, 2022, the company’s commodity hedge portfolio contained derivatives which are recorded in the following accounts with fair values measured as indicated (amounts in thousands): Level 1 Level 2 Level 3 Total Assets: Other current assets $ 3,955 $ — $ — $ 3,955 Other long-term assets — — — — Total $ 3,955 $ — $ — $ 3,955 Liabilities: Other current liabilities $ (220 ) $ — $ — $ (220 ) Other long-term liabilities — — — — Total $ (220 ) $ — $ — $ (220 ) Net Fair Value $ 3,735 $ — $ — $ 3,735 As of January 2, 2021, the company’s commodity hedge portfolio contained derivatives which are recorded in the following accounts with fair values measured as indicated (amounts in thousands): Level 1 Level 2 Level 3 Total Assets: Other current assets $ 16,684 $ — $ — $ 16,684 Other long-term assets 731 — — 731 Total $ 17,415 $ — $ — $ 17,415 Liabilities: Other current liabilities $ (5 ) $ — $ — $ (5 ) Other long-term liabilities (83 ) — — (83 ) Total (88 ) — — (88 ) Net Fair Value $ 17,327 $ — $ — $ 17,327 |
Derivative Instruments Recorded on Consolidated Balance Sheet | The company had the following derivative instruments recorded on the Consolidated Balance Sheets, all of which are utilized for the risk management purposes detailed above (amounts in thousands): Derivative Assets January 1, 2022 January 2, 2021 Derivatives Designated as Hedging Instruments Balance Sheet Location Fair Value Balance Sheet Location Fair Value Commodity contracts Other current assets $ 3,955 Other current assets $ 16,684 Commodity contracts Other long-term assets — Other long-term assets 731 Total $ 3,955 $ 17,415 Derivative Liabilities January 1, 2022 January 2, 2021 Derivatives Designated as Hedging Instruments Balance Sheet Location Fair Value Balance Sheet Location Fair Value Commodity contracts Other current liabilities $ 220 Other current liabilities $ 5 Commodity contracts Other long-term liabilities — Other long-term liabilities 83 Total $ 220 $ 88 |
Effect of Derivative Instruments for Deferred Gains And (Losses) on Closed Contracts and Effective Portion in Fair Value on AOCI, Utilized for Risk Management Purposes (Detail) | The company had the following derivative instruments for deferred gains and (losses) on closed contracts and the effective portion for changes in fair value recorded in AOCI (no amounts were excluded from the effectiveness test), all of which are utilized for the risk management purposes detailed above (amounts in thousands and net of tax): Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) (Net of tax) Derivatives in Cash Flow Hedging Relationships Fiscal 2021 Fiscal 2020 Fiscal 2019 Interest rate contracts $ 2,926 $ — $ — Commodity contracts $ (8,274 ) $ 9,298 $ 8,457 Total $ (5,348 ) $ 9,298 $ 8,457 Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion)(Net of tax) Location Reclassified from AOCI into Income Derivatives in Cash Flow Hedging Relationships Fiscal 2021 Fiscal 2020 Fiscal 2019 (Effective Portion) Interest rate contracts $ 95 $ (109 ) $ (107 ) Interest income (expense) Commodity contracts 1,586 (2,007 ) 2,771 Production costs (1) Total $ 1,681 $ (2,116 ) $ 2,664 1. Included in Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately). |
Accumulated Other Comprehensive Loss (Income) Related to Derivative Transactions | The balance (credit or (debit) balance) in AOCI related to commodity price risk and interest rate risk derivative transactions that are closed or will expire over the next three years are as follows (amounts in thousands and net of tax) at January 1, 2022: Commodity Price Risk Derivatives Interest Rate Risk Derivatives Totals Closed contracts $ 179 $ 3,063 $ 3,242 Expiring in 2022 2,801 — 2,801 Total $ 2,980 $ 3,063 $ 6,043 |
Financial Contracts Hedging Commodity Risks | As of January 1, 2022, the company had entered into the following financial contracts to hedge commodity risks (amounts in thousands): Derivatives in Cash Flow Hedging Relationships Notional amount Wheat contracts $ 32,731 Soybean oil contracts 7,088 Natural gas contracts 3,663 Corn contracts 342 Total $ 43,824 |
Other Current and Non-Current_2
Other Current and Non-Current Assets (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Components of Other Current Assets | Other current assets consist of (amounts in thousands): January 1, 2022 January 2, 2021 Prepaid assets $ 12,576 $ 8,140 Service contracts 19,884 7,911 Fair value of derivative instruments 3,955 16,684 Collateral to counterparties for derivative positions 2,039 1,229 Income taxes receivable 13,001 2,211 Other 137 1,214 Total $ 51,592 $ 37,389 |
Components of Other Non-Current Assets | Other non-current assets consist of (amounts in thousands): January 1, 2022 January 2, 2021 Unamortized financing fees $ 1,574 $ 836 Investments 3,145 3,242 Fair value of derivative instruments — 731 Deposits 2,202 2,092 Unamortized cloud computing arrangement costs 1,215 2,059 Noncurrent pension asset 1,281 — Other 206 121 Total $ 9,623 $ 9,081 |
Other Accrued Liabilities and_2
Other Accrued Liabilities and Other Long-Term Liabilities (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Components of Other Accrued Liabilities | Other accrued liabilities consist of (amounts in thousands): January 1, 2022 January 2, 2021 Employee compensation $ 25,505 $ 28,826 VSIP and RIF liabilities — 1,508 Employee vacation 15,782 16,216 Employee bonus 33,413 57,394 Fair value of derivative instruments 220 5 Self-insurance reserves 29,828 29,367 Bank overdraft 17,161 16,900 Accrued interest 7,202 8,241 Accrued taxes 23,911 22,773 Accrued legal costs 1,746 1,644 Accrued advertising 4,294 3,610 Accrued legal settlements 16,500 11,869 Accrued short term deferred income 4,040 4,760 Accrued utilities 6,741 6,070 Acquisition consideration adjustment 3,400 — Collateral from counterparties for derivative positions 3,377 13,997 Multi-employer pension plan withdrawal liability 2,100 — Repurchase obligations of distribution rights 4,743 — Other 3,480 3,099 Total $ 203,443 $ 226,279 |
Components of Other Long Term Liabilities | Other long-term liabilities consist of (amounts in thousands): January 1, 2022 January 2, 2021 Deferred income $ 15,676 $ 19,153 Deferred compensation 20,188 16,674 Fair value of derivative instruments — 83 Other deferred credits 720 1,502 Deferred payroll taxes under the CARES Act — 14,992 Other 1,375 1,255 Total $ 37,959 $ 53,659 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Leases [Abstract] | |
Lease Costs Incurred By Lease Type, and/or Type Of Payment | Lease costs incurred by lease type, and/or type of payment for Fiscal 2021, 2020 and 2019 were as follows (in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Lease cost: Amortization of right-of-use assets $ 1,751 $ 7,190 $ 7,014 Interest on lease liabilities 154 846 994 Operating lease cost 68,927 69,926 69,525 Short-term lease cost 3,075 3,058 2,630 Variable lease cost 27,120 24,815 26,359 Total lease cost $ 101,027 $ 105,835 $ 106,522 |
Other Supplemental Quantitative Disclosures | Other supplemental quantitative disclosures as of, and for, Fiscal 2021 and Fiscal 2020 were as follows (in thousands): Fiscal 2021 Fiscal 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from financing leases $ 154 $ 846 Operating cash flows from operating leases $ 68,802 $ 74,226 Financing cash flows from financing leases $ 1,745 $ 6,715 Right-of-use assets obtained in exchange for new financing lease liabilities $ 37 $ 79 Right-of-use assets obtained in exchange for new operating lease liabilities $ 55,869 $ 16,022 Weighted-average remaining lease term (years): Financing leases 2.1 3.1 Operating leases 8.3 9.4 Weighted-average IBR (percentage): Financing leases 3.5 3.5 Operating leases 3.8 4.1 |
Estimated Undiscounted Future Lease Payments Under Non-Cancelable Operating Leases and Financing Leases with Reconciliation of Undiscounted Cash Flows | Estimated undiscounted future lease payments under non-cancelable operating leases and financing leases, along with a reconciliation of the undiscounted cash flows to operating and financing lease liabilities, respectively, as of January 1, 2022 (in thousands) were as follows: Operating lease liabilities Financing lease liabilities 2022 $ 56,925 $ 1,691 2023 53,900 1,828 2024 45,269 101 2025 42,386 — 2026 28,591 — Thereafter 127,734 — Total minimum lease payments 354,805 3,620 Less: amount of lease payments representing interest (57,777 ) (126 ) Present value of future minimum lease payments 297,028 3,494 Less: current obligations under leases (46,390 ) (1,584 ) Long-term lease obligations $ 250,638 $ 1,910 |
Lease Modifications and Renewals and Lease Impairments | The following table details lease modifications and renewals and lease impairments (amounts in thousands): Fiscal 2021 Fiscal 2020 Lease modifications and renewals $ 46,790 $ 13,818 Lease impairments — $ 11,400 Lease terminations $ 41,610 $ 14,817 |
Debt and Other Commitments (Tab
Debt and Other Commitments (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Long-Term Debt and Capital Leases | Long-term debt, including capital lease obligations, consisted of the following at January 1, 2022 and January 2, 2021: Interest Rate at January 1, 2022 Final Maturity January 1, 2022 January 2, 2021 (Amounts in thousands) Unsecured credit facility 1.02% 2026 $ — $ 50,000 2031 notes 2.40% 2031 493,333 — 2026 notes 3.50% 2026 397,276 396,705 2022 notes 4.38% 2022 — 399,398 Accounts receivable securitization facility 1.00% 2023 — 114,000 890,609 960,103 Current maturities of long-term debt — — Long-term debt $ 890,609 $ 960,103 |
Aggregate Maturities of Debt Outstanding | Aggregate maturities of debt outstanding as of January 1, 2022, are as follows (excluding unamortized debt discount and issuance costs) (amounts in thousands): 2022 $ — 2023 — 2024 — 2025 — 2026 400,000 Thereafter 500,000 Total $ 900,000 |
Reconciliation of Debt Issuance Costs and Debt Discounts to the Net Carrying Value for Each Debt Obligation (Excluding Line of Credit Arrangements) | The table below reconciles the debt issuance costs and debt discounts to the net carrying value of each of our debt obligations (excluding line-of-credit arrangements) at January 1, 2022 (amounts in thousands): Face Value Debt issuance costs and debt discount Net carrying value 2031 notes $ 500,000 $ 6,667 $ 493,333 2026 notes 400,000 2,724 397,276 Total $ 900,000 $ 9,391 $ 890,609 The table below reconciles the debt issuance costs and debt discounts to the net carrying value of each of our debt obligations (excluding line-of-credit arrangements) at January 2, 2021 (amounts in thousands): Face Value Debt issuance costs and debt discount Net carrying value 2026 notes $ 400,000 $ 3,295 $ 396,705 2022 notes 400,000 602 399,398 Total $ 800,000 $ 3,897 $ 796,103 |
Schedule of Deferred Compensation Amount Outstanding | The amounts outstanding at January 1, 2022 and January 2, 2021 were as follows (amounts in thousands): January 1, 2022 January 2, 2021 Deferral elections outstanding $ 21,319 $ 18,308 Current portion of deferral elections (1,131 ) (1,634 ) Long-term portion of deferral elections $ 20,188 $ 16,674 |
Accounts Receivable Securitization Facility | |
Schedule of Borrowings and Repayments Under Credit Facility | The table below presents the borrowings and repayments under the AR facility during Fiscal 2021: Amount (thousands) Balance as of January 2, 2021 $ 114,000 Borrowings — Payments (114,000 ) Balance as of January 1, 2022 $ — |
Schedule of Net Amount Available Under Credit Facility | The table below presents the net amount available for working capital and general corporate purposes under the AR facility as of January 1, 2022: Amount (thousands) Gross amount available $ 194,500 Outstanding — Available for withdrawal $ 194,500 |
Schedule of Highest and Lowest Outstanding Balance Under Credit Facility | The table below presents the highest and lowest outstanding balance under the AR facility during Fiscal 2021: Amount (thousands) High balance $ 114,000 Low balance $ — |
Unsecured Credit Facility | |
Schedule of Borrowings and Repayments Under Credit Facility | The table below presents the borrowings and repayments under the credit facility during Fiscal 2021: Amount (thousands) Balance as of January 2, 2021 $ 50,000 Borrowings 10,000 Payments (60,000 ) Balance as of January 1, 2022 $ — |
Schedule of Net Amount Available Under Credit Facility | The table below presents the net amount available under the credit facility as of January 1, 2022: Amount (thousands) Gross amount available $ 500,000 Outstanding — Letters of credit (8,400 ) Available for withdrawal $ 491,600 |
Schedule of Highest and Lowest Outstanding Balance Under Credit Facility | The table below presents the highest and lowest outstanding balance under the credit facility during Fiscal 2021: Amount (thousands) High balance $ 50,000 Low balance $ — |
2031 Notes | |
Schedule of debt discount, underwriting fees and the legal and other fees | The table below presents the debt discount, underwriting fees and other fees for issuing the 2031 notes (amounts in thousands): Total fees for 2031 notes Amount at Issuance Debt discount $ 2,430 Underwriting, legal, and other fees 4,829 Total fees $ 7,259 |
2026 Notes | |
Schedule of debt discount, underwriting fees and the legal and other fees | The table below presents the debt discount, underwriting fees and the legal and other fees for issuing the 2026 notes (amounts in thousands): Total fees for 2026 notes Amount at Issuance Debt discount $ 2,108 Underwriting, legal, and other fees 3,634 Total fees $ 5,742 |
Fair Value of Financial Inst_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Carrying Value of Distribution Rights Notes Receivable | At January 1, 2022 and January 2, 2021, respectively, the carrying value of the distribution rights notes receivable was as follows (amounts in thousands): January 1, 2022 January 2, 2021 Distribution rights notes receivable $ 183,403 $ 204,839 Current portion recorded in accounts and notes receivable, net (29,093 ) (28,427 ) Long-term portion of distribution rights notes receivable $ 154,310 $ 176,412 |
Schedule of Fair Value of Notes | The fair value of the notes are presented in the table below (amounts in thousands, except level classification): Carrying Value Fair Value Level 2031 notes $ 493,333 $ 494,200 2 2026 notes $ 397,276 $ 429,216 2 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Equity [Abstract] | |
Shares Repurchased Under Stock Repurchase Plan | The table below presents the shares repurchased under the Stock Repurchase Plan during our Fiscal 2021 (amounts in thousands except shares purchased): Fiscal 2021 Quarter Total Number of Shares Purchased Total Cost of Shares Purchased For the quarter ended April 24, 2021 46,618 $ 1,058 For the quarter ended July 17, 2021 — $ — For the quarter ended October 9, 2021 360,222 $ 8,452 For the quarter ended January 1, 2022 — $ — Total 406,840 $ 9,510 |
Summary of Dividends Excluding Dividends on Vested Stock-Based Compensation Awards | During Fiscal 2021, 2020, and 2019, the company paid the following dividends, excluding dividends on vested stock-based compensation awards discussed in Note 18, Stock-Based Compensation Dividends paid Dividends paid per share Fiscal 2021 $ 175,669 $ 0.8300 Fiscal 2020 $ 167,161 $ 0.7900 Fiscal 2019 $ 158,626 $ 0.7500 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Payout Determined from Total Shareholder Return Shares | The Company TSR compared to the Peer Group TSR will determine the payout as set forth below (the “TSR Modifier”): Percentile Payout as % of Target 90th 200 % 70th 150 % 50th 100 % 30th 50 % Below 30th 0 % |
Performance-Contingent Restricted Stock Awards | The table below presents the TSR Modifier share adjustment, ROIC Modifier share adjustment, accumulated dividends on vested shares, and the tax windfall/shortfall at vesting of the performance-contingent restricted stock awards (amounts in thousands except for share data): Award granted Fiscal year vested TSR Modifier increase shares ROIC Modifier (decrease) shares Dividends at vesting (thousands) Tax benefit Fair value at vesting 2017 2019 205,686 (97,131 ) $ 1,219 $ 936 $ 18,570 |
Performance-Contingent Restricted Stock Activity | A summary of the status of all of the company’s nonvested shares for performance-contingent restricted stock (including the TSR Shares and the ROIC Shares) for Fiscal 2021, 2020, and 2019 is set forth below (amounts in thousands, except price data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Number of Shares Weighted Average Value Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Balance at beginning of year 1,264 $ 21.85 662 $ 20.16 779 $ 21.64 Initial grant 766 $ 24.66 693 $ 23.37 917 $ 20.10 Vested — $ — — $ — (885 ) $ 22.21 Grant reduction for not achieving the ROIC modifier — $ — — $ — (97 ) $ 19.97 Grant increase (reduction) for not achieving the TSR modifier — $ — — $ — 206 $ 23.31 Forfeitures (58 ) $ 23.27 (91 ) $ 21.26 (258 ) $ 20.18 Balance at end of year 1,972 $ 22.89 1,264 $ 21.85 662 $ 20.16 |
Time-Based Restricted Stock Units Awards | The following TBRSU Shares have been granted under the Omnibus Plan and have service periods remaining (amounts in thousands, except price data): Grant Date Shares Granted Vesting Date Fair Value per Share 12/30/2018 244 Equally over 3 years $ 18.29 5/23/2019 43 5/23/2023 $ 23.08 12/29/2019 220 Equally over 3 years $ 21.74 1/03/2021 256 Equally over 3 years $ 22.63 10/10/2021 6 Equally over 3 years $ 24.79 |
Time-Based Restricted Stock Units Activity | The TBRSU Shares activity for Fiscal 2021, 2020 and Fiscal 2019 is set forth below (amounts in thousands, except price data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Nonvested shares at beginning of year 387 $ 20.64 270 $ 19.06 — $ — Granted 262 $ 22.68 220 $ 21.74 288 $ 19.01 Vested (137 ) $ 19.98 (74 ) $ 18.29 Forfeitures (20 ) $ 21.56 (29 ) $ 20.14 (18 ) $ 18.29 Nonvested shares at end of year 492 $ 21.87 387 $ 20.64 270 $ 19.06 |
Deferred and Restricted Stock Activity | The deferred and restricted stock activity for Fiscal 2021, 2020, and 2019 is set forth below (amounts in thousands, except price data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Number of Shares Weighted Average Fair Value Nonvested shares at beginning of year 52 $ 23.21 49 $ 22.31 66 $ 19.93 Granted 69 $ 23.96 54 $ 23.15 49 $ 22.31 Vested (54 ) $ 23.19 (51 ) $ 22.28 (66 ) $ 19.93 Nonvested shares at end of year 67 $ 24.00 52 $ 23.21 49 $ 22.31 Vested and deferred shares at end of year (1) 206 198 197 (1) The vested and deferred shares at the end of the year include 89,949 shares granted and deferred under the EPIP for Fiscal 2021, 2020 and 2019. |
Summary of Company's Stock Based Compensation Expense | The following table summarizes the company’s stock-based compensation expense, all of which was recognized in selling, distribution, and administrative expense, for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Performance-contingent restricted stock awards $ 15,061 $ 8,656 $ 4,767 TBRSU shares 4,747 3,039 1,520 Deferred stock awards 1,535 1,160 1,143 Total stock-based compensation expense $ 21,343 $ 12,855 $ 7,430 |
Performance-Contingent Total Shareholder Return Shares | |
Performance Contingent TSR Shares, ROIC Shares and Restricted Stock Awards | The following performance-contingent TSR Shares have been granted under the Omnibus Plan and have service period remaining (amounts in thousands, except price data): Grant Date Shares Granted Vesting Date Fair Value per Share 12/30/2018 440 3/1/2022 $ 21.58 5/23/2019 11 3/1/2022 $ 27.23 7/14/2019 5 3/1/2022 $ 23.32 10/6/2019 2 3/1/2022 $ 22.52 12/29/2019 331 2/28/2023 $ 25.00 4/19/2020 8 2/28/2023 $ 23.14 07/12/2020 2 2/28/2023 $ 21.97 10/4/2020 5 2/28/2023 $ 24.63 01/03/2021 365 3/1/2024 $ 26.75 10/10/2021 18 3/1/2024 $ 24.47 |
Return On Invested Capital | |
Performance Contingent TSR Shares, ROIC Shares and Restricted Stock Awards | The following performance-contingent ROIC Shares have been granted under the Omnibus Plan and have service period remaining (amounts in thousands, except price data): Grant Date Shares Granted Vesting Date Fair Value per Share 12/30/2018 440 3/1/2022 $ 18.29 5/23/2019 11 3/1/2022 $ 23.08 7/14/2019 5 3/1/2022 $ 23.32 10/6/2019 2 3/1/2022 $ 22.52 12/29/2019 331 2/28/2023 $ 21.74 4/19/2020 8 2/28/2023 $ 23.14 07/12/2020 2 2/28/2023 $ 21.97 10/4/2020 5 2/28/2023 $ 24.63 01/03/2021 365 3/1/2024 $ 22.63 10/10/2021 18 3/1/2024 $ 24.47 |
Total Shareholders Return | |
Payout Percentage of Total Shareholder Return Shares | The table below presents the payout percentage for each of the TSR awards: Award Fiscal year Payout (%) 2017 award Fiscal 2019 153.0 |
Performance Contingent Return On Invested Capital Shares | |
Payout Percentage of Total Shareholder Return Shares | The table below presents the payout percentage for each of the ROIC awards: Award Fiscal year Payout (%) 2017 award Fiscal 2019 75 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Common Share | The following is a reconciliation of net income and weighted average shares for calculating basic and diluted earnings per common share for Fiscal 2021, 2020, and 2019 (amounts in thousands, except per share data): Fiscal 2021 Fiscal 2020 Fiscal 2019 Net income $ 206,187 $ 152,318 $ 164,538 Basic Earnings Per Common Share: Basic weighted average shares outstanding per common share 211,840 211,782 211,606 Basic earnings per common share $ 0.97 $ 0.72 $ 0.78 Diluted Earnings Per Common Share: Basic weighted average shares outstanding per common share 211,840 211,782 211,606 Add: Shares of common stock assumed issued upon exercise of stock options, vesting of performance-contingent restricted stock and deferred stock 1,193 563 368 Diluted weighted average shares outstanding per common share 213,033 212,345 211,974 Diluted earnings per common share $ 0.97 $ 0.72 $ 0.78 |
Postretirement Plans (Tables)
Postretirement Plans (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Summary of Company's Balance Sheet Related Pension and Other Postretirement Benefit Plan | The following summarizes the company’s balance sheet related pension and other postretirement benefit plan accounts at January 1, 2022 and January 2, 2021 (amounts in thousands): January 1, 2022 January 2, 2021 Noncurrent benefit asset $ 1,281 $ — Current benefit liability $ 804 $ 874 Noncurrent benefit liability $ 7,249 $ 10,049 AOCI, net of tax $ (3,456 ) $ (6,648 ) |
Fair Value of Plan Assets by Asset Class | The fair values of all of the company pension plan assets at December 31, 2021 and December 31, 2020, by asset class are as follows (amounts in thousands): Fair value of Pension Plan Assets as of December 31, 2021 Asset Class Quoted active markets for identical assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level Total Short term investments and cash $ 453 $ — $ — $ 453 Common stocks: International common stocks 4,708 — — 4,708 U.S. common stocks 8,177 — — 8,177 Fixed income securities: U.S. government bonds 13,514 — — 13,514 U.S. government agency bonds — — — — U.S. corporate bonds 6,737 — — 6,737 Pending transactions(*) — — — — Accrued (expenses) income(*) — — — — Total $ 33,589 $ — $ — $ 33,589 Fair value of Pension Plan Assets as of December 31, 2020 Asset Class Quoted prices in active markets for identical assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Short term investments and cash $ 546 $ — $ — $ 546 Common stocks: International common stocks 5,223 — — 5,223 U.S. common stocks 8,587 — — 8,587 Fixed income securities: U.S. government bonds 14,577 — — 14,577 U.S. government agency bonds — — — — U.S. corporate bonds 5,877 — — 5,877 International corporate bonds — — — — Pending transactions(*) — — — — Other assets and (liabilities)(*) — — — (35 ) Accrued (expenses) income(*) — — — (25 ) Total $ 34,810 $ — $ — $ 34,750 ( * ) This class includes accrued interest, dividends, and amounts receivable from asset sales and amounts payable for asset purchases. |
Plan Asset and Target Allocation | The plan asset allocation as of the measurement dates December 31, 2021 and December 31, 2020, and target asset allocations for Fiscal 2022 are as follows for Plan No. 2: Target Allocation Percentage of Plan Assets at the Measurement Date (As percent) Asset Category 2022 2021 2020 Equity securities 0-80% 38.0 40.0 Fixed income securities 20-100% 60.0 59.0 Short term investments and cash 0-10% 2.0 1.0 Total 100.0 100.0 |
Multi Employer Plans | Pension Protection Act Contributions (Amounts in Zone Status thousands) Expiration Date of Pension FIP/RP Status 2021 2020 2019 Surcharge Collective Bargaining Pension Fund EIN Plan No. 2021 2020 Pending/Implemented ($) ($) ($) Imposed Agreement IAM National Pension Fund 51-6031295 002 Red Red Yes 136 153 111 Yes 4/29/2022 Retail, Wholesale and Department Store International Union and Industry Pension Fund 63-0708442 001 Red Red Yes 211 157 160 No * Western Conference of Teamsters Pension Trust ^ 91-6145047 001 Green Green No 266 349 244 No 2/4/2022 * The union employees withdrew from the fund effective December 1, 2021. The collective bargaining agreement is currently under negotiation. |
Summary of Total Cost and Employer Contributions | During Fiscal 2021, 2020, and 2019, the total cost and employer contributions were as follows (amounts in thousands): Contributions by fiscal year Defined contribution plans expense Fiscal 2021 $ 28,081 Fiscal 2020 $ 27,995 Fiscal 2019 $ 27,336 |
Pension plans | |
Components of Net Periodic Benefit / (Income) Cost | The net periodic pension cost (income) for the company’s pension plans includes the following components for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Service cost $ 971 $ 854 $ 703 Interest cost 758 2,108 11,930 Expected return on plan assets (1,867 ) (3,933 ) (17,147 ) Settlement loss 403 104,473 — Curtailment loss — 4,284 — Amortization: Prior service cost 57 115 387 Actuarial loss 742 1,747 7,098 Net periodic pension cost (income) 1,064 109,648 2,971 Other changes in plan assets and benefit obligations recognized in OCI: Current year actuarial (gain) loss (1,288 ) (25,515 ) 11,277 Settlement loss (403 ) (104,473 ) — Curtailment loss — (4,284 ) — Amortization of prior service cost (57 ) (115 ) (387 ) Amortization of actuarial loss (742 ) (1,747 ) (7,098 ) Total recognized in OCI (2,490 ) (136,134 ) 3,792 Total recognized in net periodic (benefit) cost and OCI $ (1,426 ) $ (26,486 ) $ 6,763 |
Funded Status and Amounts Recognized in Consolidated Balance Sheets | The funded status and the amounts recognized in the Consolidated Balance Sheets for the company’s pension plans are as follows (amounts in thousands): January 1, 2022 January 2, 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 37,650 $ 396,906 Service cost 971 854 Interest cost 758 2,108 Actuarial gain (1,228 ) (13,657 ) Benefits paid (1,662 ) (7,762 ) Settlements (1,699 ) (340,799 ) Benefit obligation at end of year $ 34,790 $ 37,650 Change in plan assets: Fair value of plan assets at beginning of year $ 34,750 $ 360,675 Actual return on plan assets 1,929 15,790 Employer contribution 271 7,871 Benefits paid (1,662 ) (7,762 ) Transfer payments — (1,025 ) Settlements (1,699 ) (340,799 ) Fair value of plan assets at end of year $ 33,589 $ 34,750 Funded status, end of year: Fair value of plan assets $ 33,589 $ 34,750 Benefit obligations (34,790 ) (37,650 ) Unfunded status and amount recognized at end of year $ (1,201 ) $ (2,900 ) Amounts recognized in the balance sheet: Noncurrent asset $ 1,281 $ — Current liability (258 ) (259 ) Noncurrent liability (2,224 ) (2,641 ) Amount recognized at end of year $ (1,201 ) $ (2,900 ) Amounts recognized in AOCI: Net actuarial loss before taxes $ 7,913 $ 10,347 Prior service cost before taxes 198 255 Amount recognized at end of year $ 8,111 $ 10,602 Accumulated benefit obligation at end of year $ 32,950 $ 36,104 |
Schedule of Actuarial Gain/(Loss) on Defined Benefit Obligations | The actuarial gain/(loss) on defined benefit obligations of the employer due to experience, including any assumption changes, different from assumed, and the reasons for such (gain)/loss, can be found in the table below for Fiscal 2021, 2020 and 2019 (amounts in thousands). Amount of (Gain)/Loss on Defined Benefit Obligation Reasons for (Gain)/Loss Fiscal 2021 (1) $ (1,228 ) Gain from increase in general level of interest rates used to measure defined benefit plan obligations (approximately 30 basis points); Loss from change in mortality assumption scale from MP-2020 to MP-2021. Fiscal 2020 (1) $ 3,718 Loss from decrease in general level of interest rates used to measure defined benefit plan obligations (approximately 60 basis points); Gain from change in mortality assumption scale from MP-2019 to MP-2020. Fiscal 2019 $ 45,979 Loss from decrease in general level of interest rates used to measure defined benefit plan obligations (approximately 90 basis points); Gain from change in mortality assumption to use PRI-2012 Mortality Tables and projection scale MP-2019, from the RP-2018 Mortality tables and projection scale MP-2018. (1) Includes only losses from plans remaining on or after December 31, 2020. |
Weighted Average Assumptions Used | Assumptions used in accounting for the company’s pension plans at each of the respective fiscal years ending are as follows: Fiscal 2021 Fiscal 2020 Fiscal 2019 Weighted average assumptions used to determine benefit obligations: Measurement date 12/31/2021 12/31/2020 12/31/2019 Discount rate 3.06 % 2.78 % 2.54 % Rate of compensation increase 3.00 % 3.00 % 3.00 % Weighted average assumptions used to determine net periodic benefit cost/(income): Measurement date 1/1/2021 1/1/2020 1/1/2019 Discount rate 2.78 % 2.54 % 3.41 % Expected return on plan assets 5.70 % 4.97 % 5.34 % Rate of compensation increase 3.00 % 3.00 % 3.00 % |
Company Contributions | Company contributions to qualified and nonqualified plans are as follows (amounts in thousands): Year Required Discretionary Total 2021 $ 271 $ — $ 271 2020 $ 271 $ 7,600 $ 7,871 2019 $ 1,040 $ 1,731 $ 2,771 |
Benefits Expected to be Paid from Plans Assets | The following are benefits paid under the plans (including settlements) during Fiscal 2021, 2020, and 2019 and expected to be paid from Fiscal 2022 through Fiscal 2031. Estimated future payments include qualified pension benefits that will be paid from the plans’ assets and nonqualified pension benefits that will be paid from corporate assets (amounts in thousands): Year Pension Benefits 2019 $ 29,484 * 2020 $ 348,561 ^ 2021 $ 3,361 + Estimated Future Payments: 2022 $ 4,534 2023 $ 3,027 2024 $ 2,814 2025 $ 2,404 2026 $ 2,150 2027 – 2031 $ 9,423 * Includes $7.0 million and $0.7 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums. ^ Includes $104.5 million and $0.4 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums. + Includes $1.7 million from Plan No. 2 paid as lump sums. |
Postretirement Benefit Plans | |
Components of Net Periodic Benefit / (Income) Cost | The net periodic benefit (income) cost for the company’s postretirement benefit plans includes the following components for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Service cost $ 337 $ 285 $ 283 Interest cost 119 194 297 Amortization: Prior service credit (3 ) (4 ) (41 ) Actuarial gain (211 ) (300 ) (276 ) Total net periodic benefit cost (income) 242 175 263 Other changes in plan assets and benefit obligations recognized in OCI: Current year actuarial loss (gain) 238 643 (575 ) Current year prior service credit (2,214 ) — — Amortization of actuarial gain 211 300 276 Amortization of prior service credit 3 4 41 Total recognized in OCI (1,762 ) 947 (258 ) Total recognized in net periodic benefit cost and OCI $ (1,520 ) $ 1,122 $ 5 |
Weighted Average Assumptions Used | Assumptions used in accounting for the company’s postretirement benefit plans at each of the respective fiscal years ending are as follows: Fiscal 2021 Fiscal 2020 Fiscal 2019 Weighted average assumptions used to determine benefit obligations: Measurement date 12/31/2021 12/31/2020 12/31/2019 Discount rate 2.60 % 2.11 % 3.01 % Health care cost trend rate used to determine benefit obligations: Initial rate 6.25 % 6.50 % 6.50 % Ultimate rate 5.00 % 5.00 % 5.00 % Year trend reaches the ultimate rate 2027 2027 2026 Weighted average assumptions used to determine net periodic cost: Measurement date 1/1/21 1/1/20 1/1/19 Discount rate 2.11 % 3.01 % 4.07 % Health care cost trend rate used to determine net periodic cost: Initial rate 6.50 % 6.50 % 6.50 % Ultimate rate 5.00 % 5.00 % 5.00 % Year trend reaches the ultimate rate 2027 2026 2025 |
Company Contributions | Company contributions to postretirement plans are as follows (amounts in thousands): Year Employer Net Contribution 2019 $ 722 2020 $ 575 2021 $ 931 2022 (Expected) $ 548 |
Benefits Expected to be Paid from Plans Assets | The following are benefits paid by the company during Fiscal 2021, 2020, and 2019 and expected to be paid from Fiscal 2022 through Fiscal 2031. All benefits are expected to be paid from the company’s assets (amounts in thousands): Postretirement benefits Year Employer gross contribution 2019 $ 722 2020 $ 575 2021 $ 931 Estimated Future Payments: 2022 $ 548 2023 $ 507 2024 $ 465 2025 $ 486 2026 $ 505 2027 – 2031 $ 2,355 |
Changes in Projected Benefit Obligations | The unfunded status and the amounts recognized in the Consolidated Balance Sheets for the company’s postretirement benefit plans are as follows (amounts in thousands): January 1, 2022 January 2, 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 8,023 $ 7,477 Service cost 337 285 Interest cost 119 194 Participant contributions 453 573 Actuarial loss 238 642 Plan amendments (2,214 ) — Benefits paid (1,384 ) (1,148 ) Benefit obligation at end of year $ 5,572 $ 8,023 Change in plan assets: Fair value of plan assets at beginning of year $ — $ — Employer contributions 931 575 Participant contributions 453 573 Benefits paid (1,384 ) (1,148 ) Fair value of plan assets at end of year $ — $ — Funded status, end of year: Fair value of plan assets $ — $ — Benefit obligations (5,572 ) (8,023 ) Unfunded status and amount recognized at end of year $ (5,572 ) $ (8,023 ) Amounts recognized in the balance sheet: Current liability $ (547 ) $ (615 ) Noncurrent liability (5,025 ) (7,408 ) Amount recognized at end of year $ (5,572 ) $ (8,023 ) Amounts recognized in AOCI: Net actuarial gain before taxes $ (1,286 ) $ (1,735 ) Prior service credit before taxes (2,216 ) (5 ) Amounts recognized in AOCI $ (3,502 ) $ (1,740 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Income Tax Disclosure [Abstract] | |
Components of Income Tax Expense (Benefit) | The company’s provision for income tax expense (benefit) consists of the following for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Current Taxes: Federal $ 46,018 $ 64,113 $ 23,397 State 11,790 15,434 5,539 57,808 79,547 28,936 Deferred Taxes: Federal 6,946 (26,112 ) 17,335 State (169 ) (5,042 ) 1,274 6,777 (31,154 ) 18,609 Income tax expense $ 64,585 $ 48,393 $ 47,545 |
Reconciliation of Effective Tax Amount | Income tax expense (benefit) differs from the amount computed by applying the applicable U.S. federal income tax rate of 21% because of the effect of the following items for Fiscal 2021, 2020 and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Tax at U.S. federal income tax rate $ 56,862 $ 42,149 $ 44,538 State income taxes, net of federal income tax benefit 9,181 8,209 5,384 Net share-based payments (windfalls) (104 ) (80 ) (828 ) Other (1,354 ) (1,885 ) (1,549 ) Income tax expense $ 64,585 $ 48,393 $ 47,545 |
Components of Deferred Tax Assets and (Liabilities) | Deferred tax assets (liabilities) are comprised of the following (amounts in thousands): January 1, 2022 January 2, 2021 Self-insurance $ 5,502 $ 4,806 Compensation and employee benefits 8,816 7,698 Deferred income 4,948 5,988 Loss and credit carryforwards 12,990 13,026 Equity-based compensation 6,797 3,977 Legal accrual 6,514 2,867 Deferred payroll tax under CARES act 4,100 7,525 Pension and postretirement benefits 1,722 2,390 Financing and operating lease right-of-use liabilities 77,422 88,816 Other 6,642 7,028 Valuation allowance (1,030 ) (1,030 ) Deferred tax assets 134,423 143,091 Depreciation (71,041 ) (69,056 ) Intangibles (114,882 ) (109,824 ) Financing and operating lease right-of-use assets (75,233 ) (85,720 ) Hedging (2,015 ) (4,357 ) Other (5,009 ) (2,393 ) Deferred tax liabilities (268,180 ) (271,350 ) Net deferred tax liability $ (133,757 ) $ (128,259 ) |
Reconciliation of Total Amounts of Unrecognized Tax Benefits | The following is a reconciliation of the total amounts of unrecognized tax benefits for Fiscal 2021, 2020, and 2019 (amounts in thousands): Fiscal 2021 Fiscal 2020 Fiscal 2019 Unrecognized tax benefit at beginning of fiscal year $ — $ 306 $ 750 Lapses of statutes of limitations — (306 ) (444 ) Unrecognized tax benefit at end of fiscal year $ — $ — $ 306 |
Unaudited Quarterly Financial_2
Unaudited Quarterly Financial Information (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Quarterly Financial Information Disclosure [Abstract] | |
Results of Operations for Each Quarter | Results of operations for each of the four quarters in the respective fiscal years are as follows. For Fiscal 2021, each quarter represents a period of twelve weeks, except the first quarter, which includes sixteen weeks. For Fiscal 2020, first quarter consisted of sixteen weeks, second and third quarters twelve weeks, and fourth quarter thirteen weeks. (amounts in thousands, except per share data): First Second Quarter Third Quarter Fourth Quarter Sales 2021 $ 1,302,168 $ 1,017,309 $ 1,027,800 $ 983,490 2020 $ 1,349,444 $ 1,025,861 $ 989,650 $ 1,023,036 Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately)* 2021 $ 643,576 $ 504,062 $ 515,078 $ 512,531 2020 $ 670,873 $ 506,033 $ 497,659 $ 521,577 Net income (loss) 2021 $ 71,655 $ 56,358 $ 38,852 $ 39,322 2020 $ (5,772 ) $ 57,919 $ 44,347 $ 55,824 Basic net income (loss) per share 2021 $ 0.34 $ 0.27 $ 0.18 $ 0.19 2020 $ (0.03 ) $ 0.27 $ 0.21 $ 0.26 Diluted net income (loss) per share 2021 $ 0.34 $ 0.26 $ 0.18 $ 0.18 2020 $ (0.03 ) $ 0.27 $ 0.21 $ 0.26 * The company does not report gross margin. This line item presents our material, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately) under an alternative presentation. The table below presents financial results that impact comparability, by quarter, for Fiscal 2021 (amounts in thousands): Items presented separately on the Consolidated Statements of Income First Quarter Second Quarter Third Quarter Fourth Quarter Fiscal 2021 Footnote Loss (recovery) on inferior ingredients $ 122 $ — $ (950 ) $ 1,772 $ 944 Note 4 Multi-employer pension plan withdrawal costs $ — $ — $ 3,300 $ — $ 3,300 Note 20 Pension plan settlement loss $ — $ — $ — $ 403 $ 403 Note 20 The table below presents financial results that impact comparability, by quarter, for Fiscal 2020 (amounts in thousands): Items presented separately on the Consolidated Statements of Income First Quarter Second Quarter Third Quarter Fourth Quarter Fiscal 2020 Footnote Loss on inferior ingredients $ — $ — $ — $ 107 $ 107 Note 4 Restructuring and related impairment charges $ — $ 10,535 $ 20,100 $ 4,848 $ 35,483 Note 5 Pension plan settlement and curtailment loss (gain) $ 116,207 $ — $ (7,153 ) $ (297 ) $ 108,757 Note 20 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Segment reporting, description | The company has one operating segment based on the nature of products the company sells, intertwined production and distribution model, the internal management structure and information that is regularly reviewed by the chief executive officer (“CEO”), who is the chief operating decision maker, for the purpose of assessing performance and allocating resources. |
Summary Of Significant Accoun_4
Summary Of Significant Accounting Policies - Additional Information (Detail) | Mar. 09, 2021USD ($) | Sep. 28, 2016USD ($) | Apr. 03, 2012USD ($) | Jan. 01, 2022USD ($) | Oct. 09, 2021USD ($) | Jul. 17, 2021USD ($) | Jan. 02, 2021USD ($) | Oct. 03, 2020USD ($) | Jul. 11, 2020USD ($)Bakery | Jul. 11, 2020USD ($) | Oct. 05, 2019USD ($) | Jul. 13, 2019USD ($) | Apr. 24, 2021USD ($) | Apr. 18, 2020USD ($)Bakery | Apr. 20, 2019USD ($) | Jan. 01, 2022USD ($)Segment | Jan. 02, 2021USD ($)Bakery | Dec. 28, 2019USD ($) | Dec. 29, 2018USD ($) |
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Sales | $ 983,490,000 | $ 1,027,800,000 | $ 1,017,309,000 | $ 1,023,036,000 | $ 989,650,000 | $ 1,025,861,000 | $ 1,302,168,000 | $ 1,349,444,000 | $ 4,330,767,000 | $ 4,387,991,000 | $ 4,123,974,000 | ||||||||
Deferred gain on sale of assets held for sale | 19,700,000 | 23,900,000 | 19,700,000 | 23,900,000 | |||||||||||||||
Net gain on sale of distribution rights | 1,600,000 | 5,100,000 | 4,100,000 | ||||||||||||||||
Loss of repurchase obligations of distribution rights related to a legal settlement | 4,700,000 | ||||||||||||||||||
Capitalized interest | 0 | 0 | $ 0 | 0 | 0 | ||||||||||||||
Increase to assets | $ 387,300,000 | ||||||||||||||||||
Increase to liabilities | $ 391,900,000 | ||||||||||||||||||
Lessee, operating lease, existence of residual value guarantees | false | ||||||||||||||||||
Lessee, operating lease, residual value guarantees, description | Additionally, these contracts do not contain residual value guarantees, and there are no other restrictions or covenants in the contracts. | ||||||||||||||||||
Financing ROU assets | 3,476,000 | 5,419,000 | $ 3,476,000 | 5,419,000 | |||||||||||||||
Financing right-of-use lease liabilities | 3,494,000 | 3,494,000 | |||||||||||||||||
Gain on termination of embedded leases | $ (41,610,000) | (14,817,000) | |||||||||||||||||
Number of operating segments | Segment | 1 | ||||||||||||||||||
Restructuring and related impairment charges | $ 0 | $ 23,627,000 | 20,229,000 | ||||||||||||||||
Number of closed bakeries reclassified as held for sale | Bakery | 3 | 2 | 3 | ||||||||||||||||
Impairment charges assets held for sale | 1,300,000 | $ 4,200,000 | $ 23,627,000 | $ 21,062,000 | |||||||||||||||
Proceeds from sale of assets held for sale | 2,200,000 | ||||||||||||||||||
Gain at time of sale | (1,400,000) | 900,000 | |||||||||||||||||
Finite-lived intangible asset amortization periods | 33 years | ||||||||||||||||||
Goodwill impairment loss | 0 | 0 | $ 0 | ||||||||||||||||
Advertising and marketing costs | 77,700,000 | 60,400,000 | 48,200,000 | ||||||||||||||||
Capitalized software development costs | 21,100,000 | 21,900,000 | 21,100,000 | 21,900,000 | |||||||||||||||
Amortization expense of capitalized software development costs | 9,900,000 | 9,300,000 | 10,200,000 | ||||||||||||||||
Debt instrument face amount | 900,000,000 | 800,000,000 | 900,000,000 | 800,000,000 | |||||||||||||||
Research and development costs | 5,600,000 | 4,000,000 | 4,300,000 | ||||||||||||||||
Consulting costs related to transformation strategy | 31,300,000 | ||||||||||||||||||
Consulting costs related to ERP road mapping | $ 4,400,000 | ||||||||||||||||||
2031 Notes | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Debt instrument face amount | $ 500,000,000 | 500,000,000 | 500,000,000 | ||||||||||||||||
Debt instrument discount and issuance cost amortization period | 10 years | ||||||||||||||||||
2026 Notes | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Debt instrument face amount | $ 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | ||||||||||||||
Debt instrument discount and issuance cost amortization period | 10 years | ||||||||||||||||||
4.375% Senior Notes Due 2022 | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Debt instrument face amount | $ 400,000,000 | 400,000,000 | 400,000,000 | $ 400,000,000 | 400,000,000 | ||||||||||||||
Debt instrument discount and issuance cost amortization period | 10 years | ||||||||||||||||||
Trademarks | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Restructuring impairment charges of indefinite intangible assets | 15,400,000 | ||||||||||||||||||
Impairment of Trademark | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charge | 1,300,000 | 4,600,000 | |||||||||||||||||
Bakeries | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charges assets held for sale | 5,700,000 | 5,700,000 | |||||||||||||||||
Line Closures and Office Building | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charges assets held for sale | 600,000 | ||||||||||||||||||
Spare Parts | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charges assets held for sale | $ 700,000 | 700,000 | |||||||||||||||||
Manufacturing Lines | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charges assets held for sale | $ 400,000 | ||||||||||||||||||
Closed Plant | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Proceeds from sale of assets held for sale | $ 1,900,000 | ||||||||||||||||||
Gain at time of sale | 800,000 | ||||||||||||||||||
Closed Plant | Winston-Salem, North Carolina | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charges assets held for sale | $ 1,300,000 | ||||||||||||||||||
Additional impairment charge of spare parts write-offs | 200,000 | ||||||||||||||||||
Closed Plant | Opelika, Alabama | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Impairment charges assets held for sale | $ 3,900,000 | $ 1,300,000 | |||||||||||||||||
Bakery Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | less than a year up to seven years | ||||||||||||||||||
Transportation Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | less than one year up to seven years | ||||||||||||||||||
IT Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | less than a year up to five years | ||||||||||||||||||
Certain Equipment and IT Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | shorter than a year | ||||||||||||||||||
Buildings and Land | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease, existence of residual value guarantees | false | ||||||||||||||||||
Lessee, operating lease, residual value guarantees, description | Additionally, these contracts do not contain residual value guarantees, and there are no other restrictions or covenants in the contracts. | ||||||||||||||||||
Short Term Leases | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease, existence of residual value guarantees | false | ||||||||||||||||||
Lessee, operating lease, residual value guarantees, description | do not contain residual value guarantees, and there are no other restrictions or covenants in the leases. | ||||||||||||||||||
Lessee, operating lease, purchase options | false | ||||||||||||||||||
Lessee, operating lease, option to extend, description | There are no purchase options present, however, there generally are renewals that could extend lease terms for additional periods. | ||||||||||||||||||
Embedded Financing Truck And Trailer Leases | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Financing ROU assets | 0 | 0 | |||||||||||||||||
Financing right-of-use lease liabilities | 0 | 0 | |||||||||||||||||
Gain on termination of embedded leases | 4,100,000 | ||||||||||||||||||
Embedded Financing I T Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Financing ROU assets | 3,000,000 | 4,600,000 | $ 3,000,000 | 4,600,000 | |||||||||||||||
Financing right-of-use lease liabilities | $ 3,000,000 | $ 4,600,000 | $ 3,000,000 | 4,600,000 | |||||||||||||||
Minimum | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 1 year | 1 year | |||||||||||||||||
Lessee, operating lease renewal term | 1 month | 1 month | |||||||||||||||||
Finite-lived intangible asset amortization periods | 2 years | ||||||||||||||||||
Minimum | Trademarks | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Finite-lived intangible asset amortization periods | 5 years | ||||||||||||||||||
Minimum | Short Term Leases | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 1 month | 1 month | |||||||||||||||||
Minimum | Capitalized Software Development Costs | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Estimated useful life, years | 3 years | ||||||||||||||||||
Maximum | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 22 years | 22 years | |||||||||||||||||
Lessee, operating lease renewal term | 10 years | 10 years | |||||||||||||||||
Finite-lived intangible asset amortization periods | 40 years | ||||||||||||||||||
Maximum | Trademarks | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Finite-lived intangible asset amortization periods | 40 years | ||||||||||||||||||
Maximum | Bakery Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 7 years | 7 years | |||||||||||||||||
Maximum | Transportation Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 7 years | 7 years | |||||||||||||||||
Maximum | IT Equipment | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 5 years | 5 years | |||||||||||||||||
Maximum | Short Term Leases | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Lessee, operating lease term | 12 months | 12 months | |||||||||||||||||
Maximum | Capitalized Software Development Costs | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Estimated useful life, years | 8 years | ||||||||||||||||||
Direct Financing To Distributor | Maximum | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Notes receivable maturity period | 10 years | ||||||||||||||||||
Shipping costs | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Shipping costs | $ 1,063,600,000 | $ 1,075,800,000 | $ 1,010,500,000 | ||||||||||||||||
Customer Concentration Risk | Outstanding Trade Receivables | Wal-Mart/Sam's Club | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Concentration risk percentage | 19.80% | 18.80% | |||||||||||||||||
Customer Concentration Risk | Total year to date sales | Top 10 Customers | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Concentration risk percentage | 53.70% | 53.60% | 51.00% | ||||||||||||||||
Customer Concentration Risk | Total year to date sales | Wal-Mart/Sam's Club | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Concentration risk percentage | 21.20% | 21.20% | 21.10% | ||||||||||||||||
Scan-Based Trading | |||||||||||||||||||
Significant Accounting Policies [Line Items] | |||||||||||||||||||
Sales | $ 2,200,000,000 | $ 2,300,000,000 | $ 1,900,000,000 |
Sales by Sales Channel Category
Sales by Sales Channel Category (Detail) - USD ($) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||||||
Jan. 01, 2022 | Oct. 09, 2021 | Jul. 17, 2021 | Jan. 02, 2021 | Oct. 03, 2020 | Jul. 11, 2020 | Apr. 24, 2021 | Apr. 18, 2020 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Segment Reporting Information [Line Items] | |||||||||||
Sales | $ 983,490 | $ 1,027,800 | $ 1,017,309 | $ 1,023,036 | $ 989,650 | $ 1,025,861 | $ 1,302,168 | $ 1,349,444 | $ 4,330,767 | $ 4,387,991 | $ 4,123,974 |
Branded Retail | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales | 2,875,418 | 2,914,072 | 2,478,669 | ||||||||
Store Branded Retail | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales | 534,794 | 607,741 | 647,056 | ||||||||
Non-Retail and Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales | $ 920,555 | $ 866,178 | $ 998,249 |
Allowance for Doubtful Accounts
Allowance for Doubtful Accounts Activity (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Charged to Expense | $ 6,071 | $ 11,344 | $ 11,034 |
Allowance for Doubtful Accounts, Current | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Beginning Balance | 15,162 | 9,473 | 5,751 |
Charged to Expense | 6,071 | 11,344 | 11,034 |
Write-Offs and Other | 5,835 | 5,655 | 7,312 |
Ending Balance | $ 15,398 | $ 15,162 | $ 9,473 |
Allowance for Trade Accounts Re
Allowance for Trade Accounts Receivable Credit Losses Activity (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balances at January 2, 2021 | $ 4,901 | $ 2,089 |
Amounts charged to expense | 596 | 2,875 |
Write-offs | (1,018) | (2,319) |
Recoveries and other | (1,927) | 2,256 |
Balances at January 1, 2022 | $ 2,552 | $ 4,901 |
Weighted Percentage of Sales fr
Weighted Percentage of Sales from Largest Customers (Detail) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Customer Concentration Risk | Total year to date sales | Wal-Mart/Sam's Club | |||
Entity Wide Revenue Major Customer [Line Items] | |||
Concentration risk percentage | 21.20% | 21.20% | 21.10% |
Activity in Inventory Reserve A
Activity in Inventory Reserve Allowance (Detail) - Inventory Valuation Reserve - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Inventory [Line Items] | |||
Beginning Balance | $ 1,920 | $ 161 | $ 143 |
Charged to Expense | 16 | 3,601 | 337 |
Write-Offs and Other | 1,652 | 1,842 | 319 |
Ending Balance | $ 284 | $ 1,920 | $ 161 |
Estimated Useful Lives by Prope
Estimated Useful Lives by Property Plant and Equipment Class (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Buildings | Minimum | |
Property Plant And Equipment [Line Items] | |
Useful life term (years) | 10 years |
Buildings | Maximum | |
Property Plant And Equipment [Line Items] | |
Useful life term (years) | 40 years |
Machinery and Equipment | Minimum | |
Property Plant And Equipment [Line Items] | |
Useful life term (years) | 3 years |
Machinery and Equipment | Maximum | |
Property Plant And Equipment [Line Items] | |
Useful life term (years) | 25 years |
Furniture, Fixtures and Transportation Equipment | Minimum | |
Property Plant And Equipment [Line Items] | |
Useful life term (years) | 3 years |
Furniture, Fixtures and Transportation Equipment | Maximum | |
Property Plant And Equipment [Line Items] | |
Useful life term (years) | 15 years |
Schedule of Depreciation Expens
Schedule of Depreciation Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Depreciation [Abstract] | |||
Depreciation expense | $ 103,949 | $ 103,490 | $ 107,891 |
Schedule of Total Impairments (
Schedule of Total Impairments (Inclusive of Property, Plant and Equipment, Notes Receivable, Spare Parts, and ROU Assets) and Line Item Recorded in Our Consolidated Statements of Income (Detail) - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Restructuring and related impairment charges line item | |||
Restructuring and related impairment charges | $ 0 | $ 23,627,000 | $ 20,229,000 |
Property, Plant and Equipment | |||
Restructuring and related impairment charges line item | |||
Restructuring and related impairment charges | 16,507,000 | 5,663,000 | |
Property, Plant and Equipment | Spare Parts | |||
Restructuring and related impairment charges line item | |||
Restructuring and related impairment charges | 734,000 | 174,000 | |
Property, Plant and Equipment | Plant Closings | |||
Restructuring and related impairment charges line item | |||
Restructuring and related impairment charges | 5,747,000 | 5,133,000 | |
Property, Plant and Equipment | Line and Distribution Depot Closings | |||
Restructuring and related impairment charges line item | |||
Restructuring and related impairment charges | 629,000 | $ 356,000 | |
Property, Plant and Equipment | Lease Impairment Charges | |||
Restructuring and related impairment charges line item | |||
Restructuring and related impairment charges | $ 9,397,000 |
Activity in Deferred Tax Valuat
Activity in Deferred Tax Valuation Allowance (Detail) - Valuation Allowance of Deferred Tax Assets - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Valuation Allowance [Line Items] | |||
Beginning Balance | $ 1,030 | $ 703 | $ 364 |
Deductions | 0 | 0 | 0 |
Charged to Expense | 0 | 327 | 339 |
Ending Balance | $ 1,030 | $ 1,030 | $ 703 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements - Additional Information (Detail) | Jan. 01, 2022 |
Accounting Standards Update 2019-12 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Change in accounting principle accounting standards update adopted | true |
Change in accounting principle accounting standards update adoption date | Jan. 3, 2021 |
Change in accounting principle accounting standards update immaterial effect | true |
Accounting Standards Update 2020-04 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Change in accounting principle accounting standards update adopted | true |
Change in accounting principle accounting standards update adoption date | Jan. 3, 2021 |
Change in accounting principle accounting standards update immaterial effect | true |
Product Recall and Loss (Reco_3
Product Recall and Loss (Recovery) on Inferior Ingredients - Additional Information (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Jan. 02, 2021USD ($)State | Jan. 01, 2022USD ($)State | Jan. 02, 2021USD ($)State | Dec. 28, 2019USD ($) | Oct. 06, 2018State | |
Product Recall And Recovery Loss On Inferior Ingredients [Line Items] | |||||
Products recalled distributed to retail customers, number of states | State | 14 | 8 | 14 | 18 | |
Product recall costs | $ 800 | ||||
Incurred costs related to recall of gluten-free products and adjustment to previously recorded inferior yeast costs | $ 1,800 | $ 1,300 | |||
Additional cost incurred to recall of gluten-free products | 100 | ||||
Cash recovered from suppliers on disruption | $ 1,200 | $ 950 | $ 1,150 | $ 1,822 | |
Selling, General and Administrative Expenses | |||||
Product Recall And Recovery Loss On Inferior Ingredients [Line Items] | |||||
Cash recovered from suppliers on disruption | $ 3,900 |
Summary of Total Costs and Reco
Summary of Total Costs and Recoveries (Detail) - USD ($) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||
Jan. 01, 2022 | Oct. 09, 2021 | Jan. 02, 2021 | Apr. 24, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Product Recall And Recovery Loss On Inferior Ingredients [Abstract] | |||||||
Expense recognized | $ 1,894 | $ 1,257 | $ 1,785 | ||||
Recoveries recognized | $ (1,200) | (950) | (1,150) | (1,822) | |||
Total loss (recovery) on inferior ingredients | $ 1,772 | $ (950) | $ 107 | $ 122 | $ 944 | $ 107 | $ (37) |
Restructuring Activities - Addi
Restructuring Activities - Additional Information (Detail) | Jul. 02, 2018Segment | May 03, 2017BusinessUnit | Jan. 02, 2021USD ($) | Jul. 11, 2020USD ($)Bakery | Dec. 28, 2019USD ($) | Oct. 05, 2019USD ($) | Jul. 13, 2019USD ($) | Apr. 18, 2020Bakery | Apr. 20, 2019USD ($) | Jan. 01, 2022USD ($)Segment | Jan. 02, 2021USD ($)Bakery | Dec. 28, 2019USD ($) | ||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Number of operating segments | Segment | 1 | |||||||||||||
Project centennial costs | $ 0 | $ 15,548,000 | [1] | $ 784,000 | [1] | |||||||||
Impairment charges assets held for sale | $ 1,300,000 | $ 4,200,000 | $ 23,627,000 | 21,062,000 | ||||||||||
Number of closed bakeries reclassified as held for sale | Bakery | 3 | 2 | 3 | |||||||||||
Restructuring and related impairment charges | $ 0 | $ 23,627,000 | 20,229,000 | |||||||||||
RIF | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Employee severance charges recognized | 5,300,000 | |||||||||||||
Bakeries | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Impairment charges assets held for sale | $ 5,700,000 | 5,700,000 | ||||||||||||
Spare Parts | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Impairment charges assets held for sale | 700,000 | 700,000 | ||||||||||||
Closed Plant | Opelika, Alabama | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Impairment charges assets held for sale | $ 3,900,000 | $ 1,300,000 | ||||||||||||
Employee severance charges recognized | $ 1,500,000 | |||||||||||||
Manufacturing Lines | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Impairment charges assets held for sale | $ 400,000 | |||||||||||||
Impairment of Trademark | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Impairment charge | 1,300,000 | 4,600,000 | ||||||||||||
Lease Impairment Charges | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Restructuring and related impairment charges | 9,397,000 | |||||||||||||
Lease Termination Charges | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Restructuring and related impairment charges | 4,077,000 | |||||||||||||
Reorganization Costs | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Restructuring and related impairment charges | $ 253,000 | |||||||||||||
Develop Leading Capabilities | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Number of operating segments | Segment | 1 | |||||||||||||
Line and Distribution Depot Closings | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Impairment charges assets held for sale | $ 600,000 | |||||||||||||
Employee Severance | Voluntary Employee Separation Incentive Plan | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Employee termination benefits | $ 2,600,000 | |||||||||||||
Launch of Project Centennial | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Ingredient and packaging impairments | $ 1,200,000 | |||||||||||||
Additional impairment charge on certain finite-lived intangible assets | $ 15,400,000 | |||||||||||||
Launch of Project Centennial | Develop Leading Capabilities | ||||||||||||||
Restructuring Cost And Reserve [Line Items] | ||||||||||||||
Number of new organizational structure business units established | BusinessUnit | 2 | |||||||||||||
[1] | Represents non-restructuring costs and are recorded in the selling, distribution, and administrative expenses line item of our Consolidated Statements of Income. |
Components of Costs Associated
Components of Costs Associated with Project Centennial (Detail) - USD ($) | 12 Months Ended | |||||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||||
Restructuring and related impairment charges: | ||||||
Restructuring and related impairment charges | $ 0 | $ 23,627,000 | $ 20,229,000 | |||
Employee termination benefits | 7,779,000 | 3,042,000 | ||||
Restructuring and related impairment charges | [1] | 35,483,000 | 23,524,000 | |||
Project Centennial implementation costs | $ 0 | 15,548,000 | [2] | 784,000 | [2] | |
Total Project Centennial restructuring and implementation costs | 51,031,000 | 24,308,000 | ||||
Reorganization Costs | ||||||
Restructuring and related impairment charges: | ||||||
Restructuring and related impairment charges | 253,000 | |||||
Lease Termination Charges | ||||||
Restructuring and related impairment charges: | ||||||
Restructuring and related impairment charges | 4,077,000 | |||||
Impairment Charges, Net of Gain on Sale | ||||||
Restructuring and related impairment charges: | ||||||
Restructuring and related impairment charges | $ 23,627,000 | $ 20,229,000 | ||||
[1] | Presented on our Consolidated Statements of Income. | |||||
[2] | Represents non-restructuring costs and are recorded in the selling, distribution, and administrative expenses line item of our Consolidated Statements of Income. |
Schedule of Restructuring Impai
Schedule of Restructuring Impairment Charges Recognized By Type of Cost (Detail) - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | $ 0 | $ 23,627,000 | $ 20,229,000 |
Lease Impairment Charges | |||
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | 9,397,000 | ||
Gain on Sale | |||
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | (833,000) | ||
Spare Parts | Impairment of Assets | |||
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | 734,000 | 174,000 | |
Plant Closure Costs | Impairment of Assets | |||
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | 5,747,000 | 5,133,000 | |
Line and Distribution Depot Closure Costs | Impairment of Assets | |||
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | 629,000 | 356,000 | |
Brand Rationalization Study Impairments | Impairment of Assets | |||
Restructuring Cost And Reserve [Line Items] | |||
Total restructuring impairment of assets | $ 7,120,000 | $ 15,399,000 |
Components of, and Changes in R
Components of, and Changes in Restructuring Accruals (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||||
Restructuring Cost And Reserve [Line Items] | ||||||
Liability balance, beginning balance | $ 1,508 | [1] | $ 1,624 | [1] | $ 401 | |
Charges | 11,856 | 3,295 | ||||
Cash payments | (1,508) | (11,972) | (2,072) | |||
Liability balance, ending balance | [1] | 1,508 | 1,624 | |||
Reorganization Costs | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Charges | [2] | 253 | ||||
Cash payments | [2] | (253) | ||||
Employee Termination Benefits | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Liability balance, beginning balance | [3] | 1,450 | [1] | 227 | ||
Charges | [3] | (149) | 3,042 | |||
Cash payments | [3] | (1,301) | (1,819) | |||
Liability balance, ending balance | [1],[3] | 1,450 | ||||
Distribution Network Optimization | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Charges | 4,077 | |||||
Cash payments | (4,077) | |||||
VSIP | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Liability balance, beginning balance | 1,036 | [1] | 174 | [1] | 174 | |
Charges | 2,639 | |||||
Cash payments | (1,036) | (1,777) | ||||
Liability balance, ending balance | [1] | 1,036 | $ 174 | |||
RIF | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Liability balance, beginning balance | [1] | 472 | ||||
Charges | 5,289 | |||||
Cash payments | $ (472) | (4,817) | ||||
Liability balance, ending balance | [1] | $ 472 | ||||
[1] | Recorded in the other accrued current liabilities line item of our Consolidated Balance Sheets | |||||
[2] | Reorganization costs include employee relocation expenses. | |||||
[3] | Employee termination benefits not related to the VSIP. |
Summary of Reclassifications Ou
Summary of Reclassifications Out of AOCI (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Gains and losses on derivative instruments net of tax | $ 1,681 | $ (2,116) | $ 2,664 | |
Reclassification From AOCI, Current Period Net Of Tax | [1] | 938 | (84,558) | (2,694) |
Derivative Instruments | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Gains and losses on cash flow hedges before tax | [1] | 2,241 | (2,820) | 3,565 |
Reclassification from AOCI, Derivative instruments tax (expense) benefit | [1] | (560) | 704 | (901) |
Reclassification from AOCI, Gains and losses on derivative instruments net of tax | [1] | 1,681 | (2,116) | 2,664 |
Reclassification From AOCI, Current Period Net Of Tax | 1,681 | (2,116) | ||
Pension and postretirement plans, prior service credits | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Current Period, before Tax | [1],[2] | (55) | (111) | (346) |
Pension and postretirement plans, Settlement losses | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Current Period, before Tax | [1],[2] | (403) | (108,757) | |
Pension and postretirement plans, actuarial losses | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Current Period, before Tax | [1],[2] | (532) | (1,447) | (6,822) |
Accumulated Defined Benefit Plans Adjustment | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Current Period, before Tax | [1] | (990) | (110,315) | (7,168) |
Reclassification from AOCI, Current Period, Tax benefit | [1] | 247 | 27,873 | 1,810 |
Reclassification From AOCI, Current Period Net Of Tax | [1] | (743) | (82,442) | (5,358) |
Interest Rate Contracts | Derivative Instruments | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Gains and losses on cash flow hedges before tax | [1] | 126 | (145) | (142) |
Commodity Contract | Derivative Instruments | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification from AOCI, Gains and losses on cash flow hedges before tax | [1],[3] | 2,115 | (2,675) | 3,707 |
Reclassification from AOCI, Derivative instruments tax (expense) benefit | (529) | 668 | (936) | |
Reclassification from AOCI, Gains and losses on derivative instruments net of tax | $ 1,586 | $ (2,007) | $ 2,771 | |
[1] | Amounts in parentheses indicate debits to determine net income. | |||
[2] | These items are included in the computation of net periodic pension cost. See Note 20, Postretirement Plans , for additional information. | |||
[3] | Amounts are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. |
Summary of AOCI Exclusive of Re
Summary of AOCI Exclusive of Reclassification (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments net of tax | $ (5,348) | $ 9,298 | $ 8,457 |
Amount of Gain (Loss) Recognized in AOCI, Current year, net of tax | (2,899) | 27,886 | 457 |
Derivative Instruments | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments before tax | (7,128) | 12,395 | 11,313 |
Amount of Gain (Loss) Recognized in AOCI, Current year, tax benefit (expense) | 1,780 | (3,097) | (2,856) |
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments net of tax | (5,348) | 9,298 | 8,457 |
Amount of Gain (Loss) Recognized in AOCI, Current year, net of tax | (5,348) | 9,298 | |
Current Year Actuarial Loss (gain) | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Current year, before tax | 1,050 | 24,872 | (10,702) |
Pension and postretirement plans, prior service credits | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Current year, before tax | 2,214 | ||
Accumulated Defined Benefit Plans Adjustment | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Current year, before tax | 3,264 | 24,872 | (10,702) |
Amount of Gain (Loss) Recognized in AOCI, Current year, tax (expense) benefit | (815) | (6,284) | 2,702 |
Amount of Gain (Loss) Recognized in AOCI, Current year, net of tax | 2,449 | 18,588 | (8,000) |
Interest Rate Contracts | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments net of tax | 2,926 | ||
Interest Rate Contracts | Derivative Instruments | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments before tax | 3,902 | ||
Commodity Contract | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments net of tax | (8,274) | 9,298 | 8,457 |
Commodity Contract | Derivative Instruments | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Amount of Gain (Loss) Recognized in AOCI, Derivative instruments before tax | $ (11,030) | $ 12,395 | $ 11,313 |
Changes to AOCI, Net of Income
Changes to AOCI, Net of Income Tax, By Component (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balances | $ 1,372,994 | $ 1,263,430 | $ 1,258,267 | |
Other comprehensive loss (gain) before reclassifications | (2,899) | 27,886 | 457 | |
Reclassified to earnings from AOCI | [1] | (938) | 84,558 | 2,694 |
Balances | 1,411,274 | 1,372,994 | 1,263,430 | |
Cash Flow Hedge Items | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balances | 13,072 | 1,658 | ||
Other comprehensive loss (gain) before reclassifications | (5,348) | 9,298 | ||
Reclassified to earnings from AOCI | (1,681) | 2,116 | ||
Balances | 6,043 | 13,072 | 1,658 | |
Defined Benefit Pension Plan Items | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balances | (6,648) | (107,678) | ||
Other comprehensive loss (gain) before reclassifications | 2,449 | 18,588 | (8,000) | |
Reclassified to earnings from AOCI | [1] | 743 | 82,442 | 5,358 |
Balances | (3,456) | (6,648) | (107,678) | |
Accumulated Other Comprehensive Income (Loss) | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balances | 6,424 | (106,020) | (109,171) | |
Other comprehensive loss (gain) before reclassifications | (2,899) | 27,886 | ||
Reclassified to earnings from AOCI | (938) | 84,558 | ||
Balances | $ 2,587 | $ 6,424 | $ (106,020) | |
[1] | Amounts in parentheses indicate debits to determine net income. |
Loss Reclassified From AOCI for
Loss Reclassified From AOCI for Commodity Contracts (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Reclassification from AOCI, Gains and losses on derivative instruments net of tax | $ 1,681 | $ (2,116) | $ 2,664 | |
Derivative Instruments | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Reclassification from AOCI, Gains and losses on cash flow hedges before tax | [1] | 2,241 | (2,820) | 3,565 |
Tax (expense) benefit | [1] | (560) | 704 | (901) |
Reclassification from AOCI, Gains and losses on derivative instruments net of tax | [1] | 1,681 | (2,116) | 2,664 |
Commodity Contract | Derivative Instruments | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Reclassification from AOCI, Gains and losses on cash flow hedges before tax | [1],[2] | 2,115 | (2,675) | 3,707 |
Tax (expense) benefit | (529) | 668 | (936) | |
Reclassification from AOCI, Gains and losses on derivative instruments net of tax | $ 1,586 | $ (2,007) | $ 2,771 | |
[1] | Amounts in parentheses indicate debits to determine net income. | |||
[2] | Amounts are presented as an adjustment to reconcile net income to net cash provided by operating activities on the Consolidated Statements of Cash Flows. |
Notes Receivable from IDPs - Ad
Notes Receivable from IDPs - Additional Information (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Maximum | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Financing period of distribution rights, years | 10 years |
Interest Income Related to Note
Interest Income Related to Notes Receivable (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Receivables [Abstract] | |||
Interest income | $ 23,533 | $ 26,696 | $ 27,750 |
Assets Held for Sale - Addition
Assets Held for Sale - Additional Information (Detail) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||
Jan. 02, 2021USD ($) | Jul. 11, 2020USD ($)Bakery | Oct. 05, 2019USD ($) | Apr. 18, 2020Bakery | Jan. 01, 2022USD ($) | Jan. 02, 2021USD ($)Bakery | Dec. 28, 2019USD ($) | |
Long Lived Assets Held For Sale [Line Items] | |||||||
Proceeds from sale of assets held for sale | $ 2,200 | ||||||
Gain at time of sale | $ (1,400) | 900 | |||||
Payments to acquire equipment held-for-sale | 1,600 | ||||||
Payments to acquire property held-for-sale | $ 4,300 | ||||||
Number of closed bakeries reclassified as held for sale | Bakery | 3 | 2 | 3 | ||||
Impairment charges assets held for sale | $ 1,300 | $ 4,200 | $ 23,627 | $ 21,062 | |||
Closed Plant | |||||||
Long Lived Assets Held For Sale [Line Items] | |||||||
Proceeds from sale of assets held for sale | $ 1,900 | ||||||
Gain at time of sale | 800 | ||||||
Tulsa, Oklahoma Plant | Closed Plant | |||||||
Long Lived Assets Held For Sale [Line Items] | |||||||
Proceeds from sale of assets held for sale | 1,900 | ||||||
Gain at time of sale | $ 800 |
Assets Held for Sale (Detail)
Assets Held for Sale (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Long Lived Assets Held For Sale [Line Items] | ||
Total assets held for sale | $ 11,369 | $ 5,641 |
Property, Plant and Equipment | ||
Long Lived Assets Held For Sale [Line Items] | ||
Total assets held for sale | 6,222 | 1,934 |
Distribution Rights | ||
Long Lived Assets Held For Sale [Line Items] | ||
Total assets held for sale | $ 5,147 | $ 3,707 |
Summary of Goodwill and Other I
Summary of Goodwill and Other Intangible Assets (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 545,244 | $ 545,244 |
Amortizable intangible assets, net of amortization | 568,332 | 587,818 |
Indefinite-lived intangible assets | 127,100 | 127,100 |
Total goodwill and other intangible assets | $ 1,240,676 | $ 1,260,162 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | ||||
Jul. 17, 2021USD ($) | Jan. 02, 2021USD ($) | Jul. 11, 2020USD ($) | Jan. 01, 2022USD ($) | Jan. 02, 2021USD ($) | Dec. 28, 2019USD ($)BusinessUnitTradeMarkAsset | |
Goodwill And Intangible Assets Disclosure [Line Items] | ||||||
Goodwill impaired | $ 0 | $ 0 | $ 0 | |||
Additional indefinite lived intangible assets separately identified from goodwill | $ 127,100,000 | $ 127,100,000 | 127,100,000 | |||
Impairment charges assets held for sale | 1,300,000 | $ 4,200,000 | $ 23,627,000 | 21,062,000 | ||
Recognized intangible asset impairments | $ 15,400,000 | |||||
Number of brands impaired | BusinessUnit | 1 | |||||
Finite-lived intangible asset, estimated useful life | 33 years | |||||
Impairment of Trademark | ||||||
Goodwill And Intangible Assets Disclosure [Line Items] | ||||||
Impairment charge | $ 1,300,000 | $ 4,600,000 | ||||
Indefinite-Lived Trademark Asset | ||||||
Goodwill And Intangible Assets Disclosure [Line Items] | ||||||
Number of indefinite-lived trademark assets compared by fair value of the brand and its carrying value | TradeMarkAsset | 1 | |||||
Finite-Lived Trademark Assets | ||||||
Goodwill And Intangible Assets Disclosure [Line Items] | ||||||
Number of finite-lived trademark assets tested using an undiscounted cash flow test | TradeMarkAsset | 3 | |||||
Trademarks | ||||||
Goodwill And Intangible Assets Disclosure [Line Items] | ||||||
Finite lived intangible assets acquired | $ 10,200,000 |
Amortizable Intangible Assets (
Amortizable Intangible Assets (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Cost | $ 806,961 | $ 795,590 |
Accumulated Amortization | 238,629 | 207,772 |
Net Value | 568,332 | 587,818 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 477,115 | 466,915 |
Accumulated Amortization | 78,124 | 64,426 |
Net Value | 398,991 | 402,489 |
Customer Relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 318,021 | 318,021 |
Accumulated Amortization | 151,496 | 135,068 |
Net Value | 166,525 | 182,953 |
Non-Compete Agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 5,154 | 5,154 |
Accumulated Amortization | 5,074 | 5,034 |
Net Value | 80 | 120 |
Distribution Rights | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 4,123 | 4,123 |
Accumulated Amortization | 3,398 | 3,123 |
Net Value | 725 | 1,000 |
Distributor Routes Held and Used | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 2,548 | 1,377 |
Accumulated Amortization | 537 | 121 |
Net Value | $ 2,011 | $ 1,256 |
Amortization Expense (Detail)
Amortization Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Amortization expense | $ 30,857 | $ 30,704 | $ 29,323 |
Estimated Net Amortization of I
Estimated Net Amortization of Intangibles (Detail) $ in Thousands | Jan. 01, 2022USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2022 | $ 31,535 |
2023 | 30,654 |
2024 | 29,959 |
2025 | 29,247 |
2026 | $ 27,173 |
Net Fair Value of Commodity Pri
Net Fair Value of Commodity Price Risk (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Assets | $ 3,955 | $ 17,415 |
Liabilities | (220) | (88) |
Net Fair Value | 3,735 | 17,327 |
Level 1 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Assets | 3,955 | 17,415 |
Liabilities | (220) | (88) |
Net Fair Value | 3,735 | 17,327 |
Other Current Assets | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Assets | 3,955 | 16,684 |
Other Current Assets | Level 1 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Assets | 3,955 | 16,684 |
Other LongTerm Assets | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Assets | 731 | |
Other LongTerm Assets | Level 1 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Assets | 731 | |
Other Current Liabilities | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Liabilities | (220) | (5) |
Other Current Liabilities | Level 1 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Liabilities | $ (220) | (5) |
Other LongTerm Liabilities | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Liabilities | (83) | |
Other LongTerm Liabilities | Level 1 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Liabilities | $ (83) |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 02, 2021 | Jan. 01, 2022 | Jan. 02, 2021 |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |||
Derivative cash settlement net receipt of offset changes in benchmark treasury rate | $ 3,900 | ||
Derivative instrument, asset | $ 2,039 | $ 1,229 | |
Derivative instrument, liability | $ 3,400 | $ 14,000 |
Derivative Instruments Recorded
Derivative Instruments Recorded on Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Assets | $ 3,955 | $ 17,415 |
Derivative Liabilities | 220 | 88 |
Commodity Contract | Other Current Assets | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Assets | 3,955 | 16,684 |
Commodity Contract | Other LongTerm Assets | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Assets | 731 | |
Commodity Contract | Other Current Liabilities | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Liabilities | $ 220 | 5 |
Commodity Contract | Other LongTerm Liabilities | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Liabilities | $ 83 |
Effect of Derivative Instrument
Effect of Derivative Instruments for Deferred Gains And (Losses) on Closed Contracts and Effective Portion in Fair Value on AOCI, Utilized for Risk Management Purposes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||||||||||||||||
Jan. 01, 2022 | [1] | Oct. 09, 2021 | [1] | Jul. 17, 2021 | [1] | Jan. 02, 2021 | [1] | Oct. 03, 2020 | [1] | Jul. 11, 2020 | [1] | Apr. 24, 2021 | [1] | Apr. 18, 2020 | [1] | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||||||||||||
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) (Net of tax) | $ (5,348) | $ 9,298 | $ 8,457 | |||||||||||||||||
Production costs | $ 512,531 | $ 515,078 | $ 504,062 | $ 521,577 | $ 497,659 | $ 506,033 | $ 643,576 | $ 670,873 | 2,175,247 | 2,196,142 | 2,155,709 | |||||||||
Income before income taxes | 270,772 | 200,711 | 212,083 | |||||||||||||||||
Reclassification out of Accumulated Other Comprehensive Income | ||||||||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||||||||||||
Income before income taxes | 1,681 | (2,116) | 2,664 | |||||||||||||||||
Interest Rate Contracts | ||||||||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||||||||||||
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) (Net of tax) | 2,926 | |||||||||||||||||||
Interest Rate Contracts | Reclassification out of Accumulated Other Comprehensive Income | ||||||||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||||||||||||
Interest income (expense) | 95 | (109) | (107) | |||||||||||||||||
Commodity Contract | ||||||||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||||||||||||
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) (Net of tax) | (8,274) | 9,298 | 8,457 | |||||||||||||||||
Commodity Contract | Reclassification out of Accumulated Other Comprehensive Income | Product | ||||||||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||||||||||||
Production costs | [2] | $ 1,586 | $ (2,007) | $ 2,771 | ||||||||||||||||
[1] | The company does not report gross margin. This line item presents our material, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately) under an alternative presentation. | |||||||||||||||||||
[2] | Included in Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately). |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Income) Related to Derivative Transactions (Detail) $ in Thousands | 12 Months Ended |
Jan. 01, 2022USD ($) | |
Closed Contracts | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | $ 3,242 |
Closed Contracts | Commodity price risk derivatives | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | 179 |
Closed Contracts | Interest rate risk derivatives | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | 3,063 |
Expiring in 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | 2,801 |
Expiring in 2022 | Commodity price risk derivatives | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | 2,801 |
Closed or Expiring Over Next Four Years | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | 6,043 |
Closed or Expiring Over Next Four Years | Commodity price risk derivatives | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | 2,980 |
Closed or Expiring Over Next Four Years | Interest rate risk derivatives | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated amount of derivatives to be reclassified in income from AOCI | $ 3,063 |
Financial Contracts Hedging Com
Financial Contracts Hedging Commodity Risk (Detail) - Cash Flow Hedging $ in Thousands | Jan. 01, 2022USD ($) |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | $ 43,824 |
Wheat Contracts | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | 32,731 |
Soybean Oil Contracts | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | 7,088 |
Natural Gas Contracts | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | 3,663 |
Corn Contracts | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | $ 342 |
Components of Other Current Ass
Components of Other Current Assets (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ||
Prepaid assets | $ 12,576 | $ 8,140 |
Service contracts | 19,884 | 7,911 |
Fair value of derivative instruments | 3,955 | 16,684 |
Collateral to counterparties for derivative positions | 2,039 | 1,229 |
Income taxes receivable | 13,001 | 2,211 |
Other | 137 | 1,214 |
Total | $ 51,592 | $ 37,389 |
Components of Other Non-Current
Components of Other Non-Current Assets (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ||
Unamortized financing fees | $ 1,574 | $ 836 |
Investments | 3,145 | 3,242 |
Fair value of derivative instruments | 731 | |
Deposits | 2,202 | 2,092 |
Unamortized cloud computing arrangement costs | 1,215 | 2,059 |
Noncurrent pension asset | 1,281 | |
Other | 206 | 121 |
Total | $ 9,623 | $ 9,081 |
Components of Other Accrued Lia
Components of Other Accrued Liabilities (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Oct. 09, 2021 | Jan. 02, 2021 |
Other Liabilities Disclosure [Abstract] | |||
Employee compensation | $ 25,505 | $ 28,826 | |
VSIP and RIF liabilities | 1,508 | ||
Employee vacation | 15,782 | 16,216 | |
Employee bonus | 33,413 | 57,394 | |
Fair value of derivative instruments | 220 | 5 | |
Self-insurance reserves | 29,828 | 29,367 | |
Bank overdraft | 17,161 | 16,900 | |
Accrued interest | 7,202 | 8,241 | |
Accrued taxes | 23,911 | 22,773 | |
Accrued legal costs | 1,746 | 1,644 | |
Accrued advertising | 4,294 | 3,610 | |
Accrued legal settlements | 16,500 | 11,869 | |
Accrued short term deferred income | 4,040 | 4,760 | |
Accrued utilities | 6,741 | 6,070 | |
Acquisition consideration adjustment | 3,400 | ||
Collateral from counterparties for derivative positions | 3,377 | 13,997 | |
Multi-employer pension plan withdrawal liability | 2,100 | $ 2,100 | |
Repurchase obligations of distribution rights | 4,743 | ||
Other | 3,480 | 3,099 | |
Total | $ 203,443 | $ 226,279 |
Other Accrued Liabilities and_3
Other Accrued Liabilities and Other Long-term Liabilities - Additional Information (Detail) $ in Millions | Jan. 01, 2022USD ($)DistributionTerritory |
Other Liabilities Disclosure [Abstract] | |
Business combination, estimated cost owed to shareholders | $ | $ 3.4 |
Number of distribution territories repurchased | DistributionTerritory | 75 |
Components of Other Long-term L
Components of Other Long-term Liabilities (Details) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Other Liabilities Disclosure [Line Items] | ||
Deferred income | $ 15,676 | $ 19,153 |
Deferred compensation | 20,188 | 16,674 |
Fair value of derivative instruments | 83 | |
Other deferred credits | 720 | 1,502 |
Other | 1,375 | 1,255 |
Total | $ 37,959 | 53,659 |
CARES Act | ||
Other Liabilities Disclosure [Line Items] | ||
Deferred payroll taxes under the CARES Act | $ 14,992 |
Leases - Lease Costs Incurred B
Leases - Lease Costs Incurred By Lease Type, and/or Type Of Payment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Lease cost: | |||
Amortization of right-of-use assets | $ 1,751 | $ 7,190 | $ 7,014 |
Interest on lease liabilities | 154 | 846 | 994 |
Operating lease cost | 68,927 | 69,926 | 69,525 |
Short-term lease cost | 3,075 | 3,058 | 2,630 |
Variable lease cost | 27,120 | 24,815 | 26,359 |
Total lease cost | $ 101,027 | $ 105,835 | $ 106,522 |
Leases - Other Supplemental Qua
Leases - Other Supplemental Quantitative Disclosures (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash flows from financing leases | $ 154 | $ 846 | |
Operating cash flows from operating leases | 68,802 | 74,226 | |
Financing cash flows from financing leases | 1,745 | 6,715 | $ 5,937 |
Right-of-use assets obtained in exchange for new financing lease liabilities | 37 | 79 | 9,854 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 55,869 | $ 16,022 | $ 44,585 |
Financing leases, weighted-average remaining lease term | 2 years 1 month 6 days | 3 years 1 month 6 days | |
Operating leases, weighted-average remaining lease term | 8 years 3 months 18 days | 9 years 4 months 24 days | |
Financing leases, weighted-average incremental borrowing rate | 3.50% | 3.50% | |
Operating leases, weighted-average incremental borrowing rate | 3.80% | 4.10% |
Leases - Estimated Undiscounted
Leases - Estimated Undiscounted Future Lease Payments Under Non-Cancelable Operating Leases and Financing Leases with Reconciliation of Undiscounted Cash Flows (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Operating lease liabilities | ||
2022 | $ 56,925 | |
2023 | 53,900 | |
2024 | 45,269 | |
2025 | 42,386 | |
2026 | 28,591 | |
Thereafter | 127,734 | |
Total minimum lease payments | 354,805 | |
Less: amount of lease payments representing interest | (57,777) | |
Present value of future minimum lease payments | 297,028 | |
Less: current obligations under leases | (46,390) | $ (50,139) |
Long-term lease obligations | 250,638 | 290,264 |
Financing lease liabilities | ||
2022 | 1,691 | |
2023 | 1,828 | |
2024 | 101 | |
Total minimum lease payments | 3,620 | |
Less: amount of lease payments representing interest | (126) | |
Present value of future minimum lease payments | 3,494 | |
Less: current obligations under leases | (1,584) | (1,769) |
Long-term lease obligations | $ 1,910 | $ 3,590 |
Lease Modifications and Renewal
Lease Modifications and Renewals and Lease Impairments (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Leases [Abstract] | ||
Lease modifications and renewals | $ 46,790 | $ 13,818 |
Lease impairments | 11,400 | |
Lease terminations | $ 41,610 | $ 14,817 |
Leases - Additional Information
Leases - Additional Information (Detail) $ in Millions | 12 Months Ended | |
Jan. 01, 2022USD ($)Warehouse | Jan. 02, 2021USD ($)Warehouse | |
Leases [Abstract] | ||
Number of leased warehouses purchased | Warehouse | 27 | |
Purchase of leased warehouses | $ | $ 64.7 | |
Number of purchased properties impaired | Warehouse | 2 | |
Number of remaining lease | Warehouse | 25 | |
Gain on purchase of lease | $ | $ 2.6 | |
Carrying values for remaining lease | $ | $ 35.4 |
Long Term Debt and Capital Leas
Long Term Debt and Capital Leases (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Debt Instrument [Line Items] | ||
Accounts receivable securitization facility | $ 114,000 | |
Total debt | $ 890,609 | 960,103 |
Long-term debt | $ 890,609 | 960,103 |
Unsecured Credit Facility | ||
Debt Instrument [Line Items] | ||
Interest Rate | 1.02% | |
Final Maturity | 2026 | |
Unsecured credit facility | 50,000 | |
2031 Notes | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.40% | |
Final Maturity | 2031 | |
Senior notes | $ 493,333 | |
2026 Notes | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.50% | |
Final Maturity | 2026 | |
Senior notes | $ 397,276 | 396,705 |
2022 Notes | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.38% | |
Final Maturity | 2022 | |
Senior notes | $ 399,398 | |
Accounts Receivable Securitization Facility | ||
Debt Instrument [Line Items] | ||
Interest Rate | 1.00% | |
Final Maturity | 2023 |
Long Term Debt and Capital Le_2
Long Term Debt and Capital Leases (Parenthetical) (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
2031 Notes | |
Debt Instrument [Line Items] | |
Senior notes due year | 2031 |
2026 Notes | |
Debt Instrument [Line Items] | |
Senior notes due year | 2026 |
2022 Notes | |
Debt Instrument [Line Items] | |
Senior notes due year | 2022 |
Debt and Other Commitments - Ad
Debt and Other Commitments - Additional Information (Detail) - USD ($) | Jul. 30, 2021 | Apr. 08, 2021 | Mar. 09, 2021 | Sep. 28, 2016 | Jan. 01, 2016 | Apr. 03, 2012 | Oct. 09, 2021 | Oct. 09, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 31, 2015 | Sep. 23, 2021 | Jul. 17, 2013 |
Debt Instrument [Line Items] | ||||||||||||||
Bank overdraft | $ 17,161,000 | $ 16,900,000 | ||||||||||||
Debt instrument face amount | 900,000,000 | 800,000,000 | ||||||||||||
Payments for debt issuance costs | 6,022,000 | 206,000 | $ 110,000 | |||||||||||
Loss on extinguishment of debt | 16,149,000 | |||||||||||||
Cash payment of debt | 579,428,000 | 392,400,000 | $ 723,500,000 | |||||||||||
Deferred Salaries | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Percentage of amount deferred, maximum | 75.00% | 75.00% | ||||||||||||
Deferred Bonus | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Percentage of amount deferred, maximum | 100.00% | |||||||||||||
2031 Notes | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt instrument face amount | $ 500,000,000 | $ 500,000,000 | ||||||||||||
Notes due year | Mar. 15, 2031 | |||||||||||||
Debt instrument interest rate | 2.40% | |||||||||||||
Price to redeem notes as a percentage of principal | 100.00% | |||||||||||||
Variable interest rate | 0.20% | |||||||||||||
Change of control triggering event price to redeem notes as a percentage of principal | 101.00% | |||||||||||||
Balance of unamortized financing costs | $ 7,259,000 | |||||||||||||
Debt discount | 2,430,000 | |||||||||||||
2026 Notes | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt instrument face amount | $ 400,000,000 | $ 400,000,000 | 400,000,000 | |||||||||||
Notes due year | Oct. 1, 2026 | |||||||||||||
Debt instrument interest rate | 3.50% | |||||||||||||
Price to redeem notes as a percentage of principal | 100.00% | |||||||||||||
Variable interest rate | 0.30% | |||||||||||||
Change of control triggering event price to redeem notes as a percentage of principal | 101.00% | |||||||||||||
Balance of unamortized financing costs | $ 5,742,000 | |||||||||||||
Debt discount | 2,108,000 | |||||||||||||
2022 Notes | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt instrument face amount | $ 400,000,000 | $ 400,000,000 | 400,000,000 | |||||||||||
Notes due year | Apr. 1, 2022 | |||||||||||||
Debt instrument interest rate | 4.375% | |||||||||||||
Price to redeem notes as a percentage of principal | 100.00% | |||||||||||||
Variable interest rate | 0.35% | |||||||||||||
Change of control triggering event price to redeem notes as a percentage of principal | 101.00% | |||||||||||||
Loss on extinguishment of debt | $ 16,100,000 | |||||||||||||
Cash payment of debt | 15,400,000 | |||||||||||||
Write-off of unamortized debt discount and debt issuance costs | $ 700,000 | |||||||||||||
Debt discount | $ 1,000,000 | |||||||||||||
Payments of financing costs | 3,900,000 | |||||||||||||
Standby Letters Of Credit | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of credit facility outstanding daily balance during period | 8,400,000 | 8,400,000 | ||||||||||||
Accounts Receivable Securitization Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of credit facility outstanding daily balance during period | 114,000,000 | |||||||||||||
Line of credit facility, maximum borrowing capacity | $ 194,500,000 | $ 200,000,000 | $ 150,000,000 | |||||||||||
Line of credit extended term | 1 year | |||||||||||||
Line of credit facility, expiration date | Sep. 27, 2023 | |||||||||||||
Debt instrument covenant compliance | As of January 1, 2022 and January 2, 2021, respectively, the company was in compliance with all restrictive covenants under the AR facility. | |||||||||||||
Basis spread on variable rate | 0.85% | |||||||||||||
Unused borrowing fee | 0.35% | |||||||||||||
Balance of unamortized financing costs | $ 300,000 | 300,000 | ||||||||||||
Payments for debt issuance costs | $ 200,000 | |||||||||||||
Accounts Receivable Securitization Facility | Maximum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of credit facility outstanding daily balance during period | 114,000,000 | |||||||||||||
Unsecured Credit Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of credit facility outstanding daily balance during period | $ 50,000,000 | |||||||||||||
Line of credit facility, maximum borrowing capacity | 500,000,000 | |||||||||||||
Line of credit facility, expiration date | Jul. 30, 2026 | |||||||||||||
Payments for debt issuance costs | $ 1,100,000 | |||||||||||||
Line of credit facility, expiration period | 5 years | |||||||||||||
Line of credit facility, amount available | $ 500,000,000 | |||||||||||||
Line of credit facility, additional borrowing capacity | $ 200,000,000 | |||||||||||||
Covenant, maximum leverage ratio | 4 | |||||||||||||
Minimum leverage ratio on covenant holiday | 3.75 | |||||||||||||
Unsecured Credit Facility | Unsecured Credit Facility Total Potential Commitment | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of credit facility, maximum borrowing capacity | $ 700,000,000 | |||||||||||||
Unsecured Credit Facility | Maximum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of credit facility outstanding daily balance during period | $ 50,000,000 | |||||||||||||
Unsecured Credit Facility | Base Rate Loans | Minimum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis spread on variable rate | 0.00% | |||||||||||||
Unsecured Credit Facility | Base Rate Loans | Maximum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis spread on variable rate | 0.525% | |||||||||||||
Unsecured Credit Facility | Eurodollar Loans | Minimum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis spread on variable rate | 0.815% | |||||||||||||
Unsecured Credit Facility | Eurodollar Loans | Maximum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis spread on variable rate | 1.525% | |||||||||||||
Unsecured Credit Facility | Federal Funds Rate | Minimum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis spread on variable rate | 0.06% | |||||||||||||
Unsecured Credit Facility | Federal Funds Rate | Maximum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis spread on variable rate | 0.225% |
Debt Discount, Underwriting Fee
Debt Discount, Underwriting Fees and Legal and Other fees (Detail) $ in Thousands | Jan. 01, 2022USD ($) |
2031 Notes | |
Debt Instrument [Line Items] | |
Debt discount | $ 2,430 |
Underwriting, legal, and other fees | 4,829 |
Total fees | 7,259 |
2026 Notes | |
Debt Instrument [Line Items] | |
Debt discount | 2,108 |
Underwriting, legal, and other fees | 3,634 |
Total fees | $ 5,742 |
Schedule of Borrowings and Repa
Schedule of Borrowings and Repayments Under Facility (Detail) $ in Thousands | 12 Months Ended |
Jan. 01, 2022USD ($) | |
Accounts Receivable Securitization Facility | |
Debt Instrument [Line Items] | |
Balance as of January 2, 2021 | $ 114,000 |
Payments | (114,000) |
Unsecured Credit Facility | |
Debt Instrument [Line Items] | |
Balance as of January 2, 2021 | 50,000 |
Borrowings | 10,000 |
Payments | $ (60,000) |
Schedule of Net Amount Availabl
Schedule of Net Amount Available Under Facility (Detail) - USD ($) | Jan. 01, 2022 | Sep. 23, 2021 | Jan. 02, 2021 | Jul. 17, 2013 |
Accounts Receivable Securitization Facility | ||||
Debt Instrument [Line Items] | ||||
Gross amount available | $ 194,500,000 | $ 200,000,000 | $ 150,000,000 | |
Outstanding | $ (114,000,000) | |||
Available for withdrawal | 194,500,000 | |||
Unsecured Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Gross amount available | 500,000,000 | |||
Outstanding | $ (50,000,000) | |||
Letters of credit | (8,400,000) | |||
Available for withdrawal | $ 491,600,000 |
Schedule of Highest and Lowest
Schedule of Highest and Lowest Outstanding Balance Under Facility (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Accounts Receivable Securitization Facility | ||
Debt Instrument [Line Items] | ||
Unsecured credit facility | $ 114,000 | |
Accounts Receivable Securitization Facility | Maximum | ||
Debt Instrument [Line Items] | ||
Unsecured credit facility | $ 114,000 | |
Unsecured Credit Facility | ||
Debt Instrument [Line Items] | ||
Unsecured credit facility | $ 50,000 | |
Unsecured Credit Facility | Maximum | ||
Debt Instrument [Line Items] | ||
Unsecured credit facility | $ 50,000 |
Aggregate Maturities of Debt Ou
Aggregate Maturities of Debt Outstanding (Including Capital Leases) (Detail) $ in Thousands | Jan. 01, 2022USD ($) |
Debt Disclosure [Abstract] | |
2026 | $ 400,000 |
Thereafter | 500,000 |
Total | $ 900,000 |
Reconciliation of Debt Issuance
Reconciliation of Debt Issuance Costs and Debt Discounts to the Net Carrying Value for Each Debt Obligation (Excluding Line of Credit Arrangements) (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Mar. 09, 2021 | Jan. 02, 2021 | Sep. 28, 2016 | Apr. 03, 2012 |
Debt Instrument [Line Items] | |||||
Face Value | $ 900,000 | $ 800,000 | |||
Debt issuance costs and debt discount | 9,391 | 3,897 | |||
Net carrying value | 890,609 | 796,103 | |||
2031 Notes | |||||
Debt Instrument [Line Items] | |||||
Face Value | 500,000 | $ 500,000 | |||
Debt issuance costs and debt discount | 6,667 | ||||
Net carrying value | 493,333 | ||||
2026 Notes | |||||
Debt Instrument [Line Items] | |||||
Face Value | 400,000 | 400,000 | $ 400,000 | ||
Debt issuance costs and debt discount | 2,724 | 3,295 | |||
Net carrying value | 397,276 | 396,705 | |||
2022 Notes | |||||
Debt Instrument [Line Items] | |||||
Face Value | $ 400,000 | 400,000 | $ 400,000 | ||
Debt issuance costs and debt discount | 602 | ||||
Net carrying value | $ 399,398 |
Schedule of Deferred Compensati
Schedule of Deferred Compensation Amount Outstanding (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Debt Disclosure [Abstract] | ||
Deferral elections outstanding | $ 21,319 | $ 18,308 |
Current portion of deferral elections | (1,131) | (1,634) |
Long-term portion of deferral elections | $ 20,188 | $ 16,674 |
Variable Interest Entities - Ad
Variable Interest Entities - Additional Information (Detail) - USD ($) $ in Millions | Jan. 01, 2022 | Jan. 02, 2021 |
VIE | ||
Variable Interest Entity [Line Items] | ||
Gross distribution rights notes receivable | $ 159.5 | $ 171.1 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments - Additional Information (Detail) $ in Millions | 12 Months Ended | |
Jan. 01, 2022USD ($)Distributor | Jan. 02, 2021Distributor | |
Fair Value Disclosures [Line Items] | ||
Number of independent distributors | Distributor | 3,700 | 4,000 |
Reserve for distributor notes receivable | $ | $ 1.9 | |
Maximum | ||
Fair Value Disclosures [Line Items] | ||
Financing period of distribution rights, years | 10 years |
Carrying Value of Distribution
Carrying Value of Distribution Rights Notes Receivable (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Abstract] | ||
Distribution rights notes receivable | $ 183,403 | $ 204,839 |
Current portion recorded in accounts and notes receivable, net | (29,093) | (28,427) |
Long-term portion of distribution rights notes receivable | $ 154,310 | $ 176,412 |
Schedule of Fair Value of Notes
Schedule of Fair Value of Notes (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
2031 Notes | ||
Fair Value Disclosures [Line Items] | ||
Carrying Value | $ 493,333 | |
2031 Notes | Level 2 Inputs | ||
Fair Value Disclosures [Line Items] | ||
Fair Value | 494,200 | |
2026 Notes | ||
Fair Value Disclosures [Line Items] | ||
Carrying Value | 397,276 | $ 396,705 |
2026 Notes | Level 2 Inputs | ||
Fair Value Disclosures [Line Items] | ||
Fair Value | $ 429,216 |
Schedule of Fair Value of Not_2
Schedule of Fair Value of Notes (Parenthetical) (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
2026 Notes | |
Fair Value Disclosures [Line Items] | |
Senior notes due year | 2026 |
2031 Notes | |
Fair Value Disclosures [Line Items] | |
Senior notes due year | 2031 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | 228 Months Ended | |||
Oct. 09, 2021 | Apr. 24, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Jan. 01, 2022 | Dec. 19, 2002 | |
Class Of Stock [Line Items] | |||||||
Common stock, shares authorized | 500,000,000 | 500,000,000 | 500,000,000 | ||||
Common stock, par value | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Preferred stock, shares authorized | 1,000,000 | 1,000,000 | |||||
Common stock, voting rights | one vote for each share | ||||||
Stock repurchase plan, shares authorized | 74,600,000 | ||||||
Current shares available for repurchase | 5,800,000 | 5,800,000 | |||||
Purchase of shares under accelerated share repurchase | 360,222 | 46,618 | 406,840 | 68,800,000 | |||
Agreement to repurchase an aggregate of common stock | $ 8,452 | $ 1,058 | $ 9,510 | $ 783 | $ 7,054 | $ 652,900 | |
Series A Preferred Stock | |||||||
Class Of Stock [Line Items] | |||||||
Preferred stock, shares authorized | 200,000 | 200,000 | 200,000 | ||||
Preferred stock, par value | $ 100 | $ 100 | $ 100 | ||||
Preferred stock, shares issued | 0 | 0 | 0 | ||||
Series B Preferred Stock | |||||||
Class Of Stock [Line Items] | |||||||
Preferred stock, shares authorized | 800,000 | 800,000 | 800,000 | ||||
Preferred stock, par value | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Preferred stock, shares issued | 0 | 0 | 0 |
Shares Repurchased Under Stock
Shares Repurchased Under Stock Repurchase Plan (Detail) - USD ($) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | 228 Months Ended | ||
Oct. 09, 2021 | Apr. 24, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Jan. 01, 2022 | |
Equity [Abstract] | ||||||
Total Number of Shares Purchased | 360,222 | 46,618 | 406,840 | 68,800,000 | ||
Total Cost of Shares Purchased | $ 8,452 | $ 1,058 | $ 9,510 | $ 783 | $ 7,054 | $ 652,900 |
Summary of Dividends Excluding
Summary of Dividends Excluding Dividends on Vested Stock-Based Compensation Awards (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Equity [Abstract] | |||
Dividends paid | $ 175,669 | $ 167,161 | $ 158,626 |
Dividends paid per share | $ 0.8300 | $ 0.7900 | $ 0.7500 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - Omnibus Plan | May 21, 2014shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Additional awards that will be issued under the EPIP | 0 |
Awards granted, authorized amount | 8,000,000 |
Stock-Based Compensation (Perfo
Stock-Based Compensation (Performance-Contingent Total Shareholder Return Shares) - Additional Information (Detail) - USD ($) $ in Millions | May 23, 2019 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 |
2019 Award | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of shares expected payout | 137.00% | ||||
Performance Contingent Total Shareholders Return Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 3 years | 3 years | 3 years | 2 years | |
Shares, Forfeited | 112,840 | ||||
Total Shareholders Return | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based payment award, fair value assumptions, method used | Inputs into the model included the following for the company and comparator companies: (i) TSR from the beginning of the performance cycle through the measurement date; (ii) volatility; (iii) risk-free interest rates; and (iv) the correlation of the comparator companies’ TSR. The inputs are based on historical capital market data. | ||||
Total Shareholders Return | Omnibus Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized compensation cost related to nonvested restricted stock granted by the EPIP | $ 10 | ||||
Expected weighted-average period to recognize compensation cost (years) | 1 year 9 months 21 days |
Performance Contingent Total Sh
Performance Contingent Total Shareholder Return Shares (Detail) - Total Shareholders Return | 12 Months Ended |
Jan. 01, 2022 | |
90th Percentile | |
Schedule Of Share Based Compensation Arrangements By Share Based Payment Award Equity Instruments Other Than Options Restricted Stock Units [Line Items] | |
Payout as % of Target | 200.00% |
Percentile | 90.00% |
70th Percentile | |
Schedule Of Share Based Compensation Arrangements By Share Based Payment Award Equity Instruments Other Than Options Restricted Stock Units [Line Items] | |
Payout as % of Target | 150.00% |
Percentile | 70.00% |
50th Percentile | |
Schedule Of Share Based Compensation Arrangements By Share Based Payment Award Equity Instruments Other Than Options Restricted Stock Units [Line Items] | |
Payout as % of Target | 100.00% |
Percentile | 50.00% |
30th Percentile | |
Schedule Of Share Based Compensation Arrangements By Share Based Payment Award Equity Instruments Other Than Options Restricted Stock Units [Line Items] | |
Payout as % of Target | 50.00% |
Percentile | 30.00% |
Below 30th Percentile | |
Schedule Of Share Based Compensation Arrangements By Share Based Payment Award Equity Instruments Other Than Options Restricted Stock Units [Line Items] | |
Payout as % of Target | 0.00% |
Percentile | 30.00% |
Payout Percentage of Total Shar
Payout Percentage of Total Shareholder Return Shares (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Total Shareholders Return | 2017 Award | Fiscal 2019 | |
Schedule Of Share Based Compensation Arrangements By Share Based Payment Award Equity Instruments Other Than Options Restricted Stock Units [Line Items] | |
Payout percentage | 153.00% |
Performance Contingent TSR Shar
Performance Contingent TSR Shares (Detail) - Total Shareholders Return - Omnibus Plan - $ / shares shares in Thousands | Oct. 06, 2019 | Jul. 14, 2019 | May 23, 2019 | Oct. 03, 2020 | Jul. 11, 2020 | Apr. 18, 2020 | Oct. 09, 2021 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Shares Granted | 2 | 5 | 11 | 5 | 2 | 8 | 18 | 365 | 331 | 440 |
Vesting Date | Mar. 1, 2022 | Mar. 1, 2022 | Mar. 1, 2022 | Feb. 28, 2023 | Feb. 28, 2023 | Feb. 28, 2023 | Mar. 1, 2024 | Mar. 1, 2024 | Feb. 28, 2023 | Mar. 1, 2022 |
Fair Value per Share | $ 22.52 | $ 23.32 | $ 27.23 | $ 24.63 | $ 21.97 | $ 23.14 | $ 24.47 | $ 26.75 | $ 25 | $ 21.58 |
Stock-Based Compensation (Per_2
Stock-Based Compensation (Performance-Contingent Return on Invested Capital Shares) - Additional Information (Detail) - USD ($) $ in Millions | May 23, 2019 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 |
Return On Invested Capital | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 1.75% | ||||
Return On Invested Capital | Range One | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 1.75% | ||||
Return On Invested Capital | Range Two | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 3.75% | ||||
Return On Invested Capital | Range Three | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 4.75% | ||||
Minimum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Return on investment target over the three fiscal years immediately preceding the vesting date | 1.75% | ||||
Percentage of shares that can be earned | 0.00% | ||||
Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Return on investment target over the three fiscal years immediately preceding the vesting date | 4.75% | ||||
Percentage of shares that can be earned | 125.00% | ||||
Maximum | 2019 Award | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of shares being expensed current estimated payout | 125.00% | ||||
Maximum | 2020 & 2021 Award | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of shares being expensed | 100.00% | ||||
Weighted Average Cost of Capital | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 0.00% | ||||
Weighted Average Cost of Capital | Range One | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 50.00% | ||||
Weighted Average Cost of Capital | Range Two | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 100.00% | ||||
Weighted Average Cost of Capital | Range Three | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of payout, ROIC above WACC | 125.00% | ||||
Performance Contingent Return On Invested Capital Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 3 years | 3 years | 3 years | 2 years | |
Unrecognized compensation cost related to nonvested restricted stock granted by the omnibus plan | $ 8.7 | ||||
Expected weighted-average period to recognize compensation cost (years) | 1 year 9 months 14 days | ||||
Performance Contingent Total Shareholders Return Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares, Forfeited | 112,840 |
Payout Percentage of ROIC Award
Payout Percentage of ROIC Awards (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Performance Contingent Return On Invested Capital Shares | 2017 Award | Fiscal 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Payout percentage | 75.00% |
Performance Contingent ROIC Sha
Performance Contingent ROIC Shares (Detail) - Return On Invested Capital - 2019 Award - Omnibus Plan - $ / shares shares in Thousands | Oct. 06, 2019 | Jul. 14, 2019 | May 23, 2019 | Oct. 03, 2020 | Jul. 11, 2020 | Apr. 18, 2020 | Oct. 09, 2021 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Shares Granted | 2 | 5 | 11 | 5 | 2 | 8 | 18 | 365 | 331 | 440 |
Vesting Date | Mar. 1, 2022 | Mar. 1, 2022 | Mar. 1, 2022 | Feb. 28, 2023 | Feb. 28, 2023 | Feb. 28, 2023 | Mar. 1, 2024 | Mar. 1, 2024 | Feb. 28, 2023 | Mar. 1, 2022 |
Fair Value per Share | $ 22.52 | $ 23.32 | $ 23.08 | $ 24.63 | $ 21.97 | $ 23.14 | $ 24.47 | $ 22.63 | $ 21.74 | $ 18.29 |
Performance-Contingent Restrict
Performance-Contingent Restricted Stock Awards (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Dividends at vesting | $ 234 | $ 109 | $ 1,361 |
Fiscal Year Vested 2019 | 2017 Award Granted | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Dividends at vesting | 1,219 | ||
Income tax benefit/(expense) related to share-based payments | 936 | ||
Fair value at vesting | $ 18,570 | ||
Total Shareholders Return | Fiscal Year Vested 2019 | 2017 Award Granted | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares increase/(decrease) | 205,686 | ||
Return On Invested Capital | Fiscal Year Vested 2019 | 2017 Award Granted | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares increase/(decrease) | (97,131) |
Performance-Contingent Restri_2
Performance-Contingent Restricted Stock Activity (Detail) - Performance Contingent Restricted Stock - $ / shares shares in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Number of Shares | |||
Number of Shares, Balance at beginning of period | 1,264 | 662 | 779 |
Number of Shares, Initial grant | 766 | 693 | 917 |
Number of Shares, Vested | (885) | ||
Number of Shares, Forfeitures | (58) | (91) | (258) |
Number of shares, Balance at end of period | 1,972 | 1,264 | 662 |
Weighted Average Fair Value | |||
Weighted Average Fair Value, Balance at beginning of period | $ 21.85 | $ 20.16 | $ 21.64 |
Weighted Average Fair Value, Initial grant | 24.66 | 23.37 | 20.10 |
Weighted Average Fair Value, Vested | 22.21 | ||
Weighted Average Fair Value, Forfeitures | 23.27 | 21.26 | 20.18 |
Weighted Average Fair Value, Balance at end of period | $ 22.89 | $ 21.85 | $ 20.16 |
Performance Contingent Total Shareholders Return Shares | |||
Number of Shares | |||
Number of Shares, Grant reduction for not achieving the modifier | (206) | ||
Number of Shares, Grant increase (reduction) for not achieving the modifier | 206 | ||
Weighted Average Fair Value | |||
Weighted Average Fair Value, Grant reduction for not achieving the modifier | $ 23.31 | ||
Performance Contingent Return On Invested Capital Shares | |||
Number of Shares | |||
Number of Shares, Grant reduction for not achieving the modifier | (97) | ||
Number of Shares, Grant increase (reduction) for not achieving the modifier | 97 | ||
Weighted Average Fair Value | |||
Weighted Average Fair Value, Grant reduction for not achieving the modifier | $ 19.97 |
Stock-Based Compensation (Per_3
Stock-Based Compensation (Performance-Contingent Restricted Stock) - Additional Information (Detail) - Performance Contingent Restricted Stock $ in Millions | 12 Months Ended |
Jan. 01, 2022USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized compensation cost related to nonvested restricted stock granted by the omnibus plan | $ 18.7 |
Expected weighted-average period to recognize compensation cost (years) | 1 year 9 months 18 days |
Stock-Based Compensation (Time-
Stock-Based Compensation (Time-Based Restricted Stock Units) - Additional Information (Detail) - Time-Based Restricted Stock Units - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | May 23, 2019 | Oct. 09, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Restricted shares issued | 262 | 220 | 288 | |||
Omnibus Plan | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting date | --01-05 | |||||
Vesting period | 3 years | 3 years | 3 years | 3 years | 3 years | |
Restricted shares issued | 43 | 6 | 256 | 220 | 244 | |
Fair Value per Share | $ 23.08 | $ 24.79 | $ 22.63 | $ 21.74 | $ 18.29 | |
Omnibus Plan | Chief Executive Officer | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Restricted stock granted | $ 1 | |||||
Vesting term | This award will vest 100% on the fourth anniversary of the date of grant provided the CEO remains employed by the company during this period. Vesting will also occur in the event of the CEO’s death or disability, but not his retirement if prior to the fourth anniversary of the grant date. | |||||
Restricted shares issued | 43,330 | |||||
Fair Value per Share | $ 23.08 |
Time-Based Restricted Stock Uni
Time-Based Restricted Stock Units (Detail) - Time-Based Restricted Stock Units - $ / shares shares in Thousands | May 23, 2019 | Oct. 09, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares Granted | 262 | 220 | 288 | |||
Omnibus Plan | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares Granted | 43 | 6 | 256 | 220 | 244 | |
Vesting Date | May 23, 2023 | |||||
Vesting period | 3 years | 3 years | 3 years | 3 years | 3 years | |
Fair Value per Share | $ 23.08 | $ 24.79 | $ 22.63 | $ 21.74 | $ 18.29 |
Time-Based Restricted Stock U_2
Time-Based Restricted Stock Units Activity (Detail) - Time-Based Restricted Stock Units - $ / shares shares in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Shares, Balance at beginning of period | 387 | 270 | |
Shares Granted | 262 | 220 | 288 |
Number of Shares, Vested | (137) | (74) | |
Shares Forfeitures | (20) | (29) | (18) |
Number of shares, Balance at end of period | 492 | 387 | 270 |
Weighted Average Fair Value, Balance at beginning of period | $ 20.64 | $ 19.06 | |
Weighted Average Fair Value, Granted | 22.68 | 21.74 | $ 19.01 |
Weighted Average Fair Value, Vested | 19.98 | 18.29 | |
Weighted Average Fair Value, Forfeitures | 21.56 | 20.14 | 18.29 |
Weighted Average Fair Value, Balance at end of period | $ 21.87 | $ 20.64 | $ 19.06 |
Stock-Based Compensation (Defer
Stock-Based Compensation (Deferred Stock) - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Jul. 17, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | |
Deferred Stock | Non Employee Directors | Annual Grants | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Aggregate shares elected to receive | 66,550 | 13,491 | 51,840 |
Issuance of deferred stock awards (in shares) | 17,100 | ||
Deferred Stock | Non Employee Directors | Annual Grants | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 1 year | ||
Deferred Stock Activity | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation cost related to nonvested restricted stock granted by the EPIP | $ 0.6 | ||
Expected weighted-average period to recognize compensation cost (years) | 4 months 24 days | ||
Total fair value of shares vested | $ 1.5 | ||
Retainer Conversion | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Retainers conversion into deferred shares | 100.00% | ||
Vesting period | 1 year | ||
Director Retainer Deferrals | Deferred Stock | Non Employee Directors | Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Aggregate shares elected to receive | 2,209 |
Deferred and Restricted Stock A
Deferred and Restricted Stock Activity (Detail) - Deferred and restricted stock - $ / shares shares in Thousands | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Number of Shares | ||||
Number of Shares, Balance at beginning of period | 52 | 49 | 66 | |
Number of Shares, Granted | 69 | 54 | 49 | |
Number of Shares, Vested | (54) | (51) | (66) | |
Number of shares, Balance at end of period | 67 | 52 | 49 | |
Number of shares, Vested and deferred at end of period | [1] | 206 | 198 | 197 |
Weighted Average Fair Value | ||||
Weighted Average Fair Value, Balance at beginning of period | $ 23.21 | $ 22.31 | $ 19.93 | |
Weighted Average Fair Value, Granted | 23.96 | 23.15 | 22.31 | |
Weighted Average Fair Value, Vested | 23.19 | 22.28 | 19.93 | |
Weighted Average Fair Value, Balance at end of period | $ 24 | $ 23.21 | $ 22.31 | |
[1] | The vested and deferred shares at the end of the year include 89,949 shares granted and deferred under the EPIP for Fiscal 2021, 2020 and 2019. |
Deferred and Restricted Stock_2
Deferred and Restricted Stock Activity (Parenthetical) (Detail) - Deferred Stock - EPIP - shares | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares granted | 89,949 | 89,949 | 89,949 |
Shares deferred | 89,949 | 89,949 | 89,949 |
Summary of Company's Stock-Base
Summary of Company's Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | $ 21,343 | $ 12,855 | $ 7,430 |
Performance Contingent Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 15,061 | 8,656 | 4,767 |
Time-Based Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 4,747 | 3,039 | 1,520 |
Deferred Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | $ 1,535 | $ 1,160 | $ 1,143 |
Basic and Diluted Earnings per
Basic and Diluted Earnings per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||||||
Jan. 01, 2022 | Oct. 09, 2021 | Jul. 17, 2021 | Jan. 02, 2021 | Oct. 03, 2020 | Jul. 11, 2020 | Apr. 24, 2021 | Apr. 18, 2020 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Earnings Per Share [Abstract] | |||||||||||
Net income | $ 39,322 | $ 38,852 | $ 56,358 | $ 55,824 | $ 44,347 | $ 57,919 | $ 71,655 | $ (5,772) | $ 206,187 | $ 152,318 | $ 164,538 |
Basic Earnings Per Common Share: | |||||||||||
Basic weighted average shares outstanding per common share | 211,840 | 211,782 | 211,606 | ||||||||
Basic earnings per common share | $ 0.19 | $ 0.18 | $ 0.27 | $ 0.26 | $ 0.21 | $ 0.27 | $ 0.34 | $ (0.03) | $ 0.97 | $ 0.72 | $ 0.78 |
Diluted Earnings Per Common Share: | |||||||||||
Basic weighted average shares outstanding per common share | 211,840 | 211,782 | 211,606 | ||||||||
Add: Shares of common stock assumed issued upon exercise of stock options, vesting of performance-contingent restricted stock and deferred stock | 1,193 | 563 | 368 | ||||||||
Diluted weighted average shares outstanding per common share | 213,033 | 212,345 | 211,974 | ||||||||
Diluted earnings per common share | $ 0.18 | $ 0.18 | $ 0.26 | $ 0.26 | $ 0.21 | $ 0.27 | $ 0.34 | $ (0.03) | $ 0.97 | $ 0.72 | $ 0.78 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Earnings Per Share [Abstract] | |||
Antidilutive Shares excluded from Computation of Earnings Per Share | 0 | 6,234 | 11,030 |
Summary of Company's Balance Sh
Summary of Company's Balance Sheet Related Pension and Other Postretirement Benefit Plan (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Pension And Other Postretirement Benefit Expense [Abstract] | ||
Noncurrent benefit asset | $ 1,281 | |
Current benefit liability | 804 | $ 874 |
Noncurrent benefit liability | 7,249 | 10,049 |
AOCI, net of tax | $ (3,456) | $ (6,648) |
Postretirement Plans - Addition
Postretirement Plans - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | |||||
Jan. 01, 2022 | Oct. 09, 2021 | Oct. 03, 2020 | Oct. 05, 2019 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Voluntarily contributions made by an employer | $ 0 | ||||||
Cash contributions | $ 0 | ||||||
Non-cash settlement and curtailment charge | 108,800,000 | ||||||
Settlement loss | $ 400,000 | ||||||
Expected pension cost for fiscal 2022 | 700,000 | $ 700,000 | |||||
Postretirement Benefits, minimum years of service for eligibility | 10 years | ||||||
Postretirement Benefits, minimum age for eligibility | 60 years | ||||||
Expected company contribution | 548,000 | $ 548,000 | |||||
Expense under plans | $ 1,306,000 | $ 109,823,000 | $ 3,234,000 | ||||
Contribution of pension fund in excess of total contribution | 5.00% | 5.00% | 5.00% | ||||
Multiemployer plans, minimum contribution | $ 0 | ||||||
Multi-employer pension plan withdrawal liability | 2,100,000 | $ 2,100,000 | $ 2,100,000 | ||||
Multiemployer plan withdrawal liability of net present value monthly payments period | 20 years | ||||||
Multiemployer plans transition payments payable | $ 1,200,000 | ||||||
Multiemployer plan withdrawal liability estimate payment period | 3 years | ||||||
Minimum | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Retiree medical coverage provided | 3 years | ||||||
Maximum | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Retiree medical coverage provided | 5 years | ||||||
Pension plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Settlement loss | $ (403,000) | $ (104,473,000) | |||||
Actual return on plan assets | $ 1,929,000 | $ 15,790,000 | $ 51,800,000 | ||||
Expected long-term rate of return and average annual return on plan assets | 5.70% | 4.97% | 5.34% | ||||
Contribution of company to company pension plans | $ 271,000 | $ 7,871,000 | $ 2,771,000 | ||||
Last Fifteen Years | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Expected long-term rate of return and average annual return on plan assets | 6.30% | ||||||
Non Qualified Pension Plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Expected company contribution | 300,000 | $ 300,000 | |||||
Qualified Pension Plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Contribution of company to company pension plans | 0 | ||||||
Postretirement Benefit Plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Contribution of company to company pension plans | 931,000 | 575,000 | |||||
Expected company contribution | 500,000 | 500,000 | |||||
Contributions by participants | 453,000 | 573,000 | 700,000 | ||||
Multiemployer Plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Expense under plans | $ 1,000,000 | 1,200,000 | 1,100,000 | ||||
Red Zone | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Percentage of funded under multi employer plans | Less than 65 percent | ||||||
Yellow Zone | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Percentage of funded under multi employer plans | Between 65 and less than 80 percent | ||||||
Green Zone | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Percentage of funded under multi employer plans | At least 80 percent | ||||||
Plan No. 2 | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Voluntarily contributions made by an employer | $ 7,600,000 | $ 2,500,000 | |||||
Expected long-term rate of return and average annual return on plan assets | 5.90% | ||||||
Plan No. 1 | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Voluntarily contributions made by an employer | 0 | 0 | |||||
Required | Pension plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Contribution of company to company pension plans | $ 271,000 | 271,000 | 1,040,000 | ||||
Required | Non Qualified Pension Plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Contribution of company to company pension plans | 300,000 | ||||||
Required | Plan No. 2 | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Expected company contribution | 0 | 0 | |||||
Discretionary | Pension plans | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Contribution of company to company pension plans | $ 7,600,000 | $ 1,731,000 | |||||
Discretionary | Plan No. 2 | |||||||
Pension and Other Postretirement Benefits Disclosure [Line Items] | |||||||
Expected company contribution | $ 1,000,000 | $ 1,000,000 |
Components of Net Periodic Bene
Components of Net Periodic Benefit (Income) Cost (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Settlement loss | $ (400) | |||
Total recognized in net periodic (benefit) cost and OCI | $ (1,426) | $ (26,486) | $ 6,763 | |
Pension plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 971 | 854 | 703 | |
Interest cost | 758 | 2,108 | 11,930 | |
Expected return on plan assets | (1,867) | (3,933) | (17,147) | |
Settlement loss | 403 | 104,473 | ||
Curtailment loss | 4,284 | |||
Amortization of prior service cost (credit) | 57 | 115 | 387 | |
Amortization of net (gain) loss | 742 | 1,747 | 7,098 | |
Net periodic pension cost (income) | 1,064 | 109,648 | 2,971 | |
Current year actuarial (gain) loss | (1,288) | (25,515) | 11,277 | |
Settlement loss | (403) | (104,473) | ||
Curtailment loss | (4,284) | |||
Amortization of prior service (cost) credit | (57) | (115) | (387) | |
Amortization of actuarial gain (loss) | (742) | (1,747) | (7,098) | |
Total recognized in OCI | (2,490) | (136,134) | 3,792 | |
Postretirement Benefit Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 337 | 285 | 283 | |
Interest cost | 119 | 194 | 297 | |
Amortization of prior service cost (credit) | (3) | (4) | (41) | |
Amortization of net (gain) loss | (211) | (300) | (276) | |
Net periodic pension cost (income) | 242 | 175 | 263 | |
Current year actuarial (gain) loss | 238 | 643 | (575) | |
Current year prior service credit | (2,214) | |||
Amortization of prior service (cost) credit | 3 | 4 | 41 | |
Amortization of actuarial gain (loss) | 211 | 300 | 276 | |
Total recognized in OCI | (1,762) | 947 | (258) | |
Total recognized in net periodic (benefit) cost and OCI | $ (1,520) | $ 1,122 | $ 5 |
Funded Status and Amounts Recog
Funded Status and Amounts Recognized in Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |||
Change in benefit obligation: | |||||
Actuarial loss (gain) | $ 1,228 | [1] | $ (3,718) | [1] | $ (45,979) |
Change in plan assets: | |||||
Noncurrent asset | 1,281 | ||||
Current liability | (804) | (874) | |||
Noncurrent liability | (7,249) | (10,049) | |||
Pension plans | |||||
Change in benefit obligation: | |||||
Benefit obligation at beginning of year | 37,650 | 396,906 | |||
Service cost | 971 | 854 | 703 | ||
Interest cost | 758 | 2,108 | 11,930 | ||
Actuarial loss (gain) | (1,228) | (13,657) | |||
Benefits paid | (1,662) | (7,762) | |||
Settlements | (1,699) | (340,799) | |||
Benefit obligation at end of year | 34,790 | 37,650 | 396,906 | ||
Change in plan assets: | |||||
Fair value of plan assets at beginning of year | 34,750 | 360,675 | |||
Actual return on plan assets | 1,929 | 15,790 | 51,800 | ||
Employer contribution | 271 | 7,871 | 2,771 | ||
Benefits paid | (1,662) | (7,762) | |||
Transfer payments | (1,025) | ||||
Settlements | (1,699) | (340,799) | |||
Fair value of plan assets at end of year | 33,589 | 34,750 | 360,675 | ||
Fair value of plan assets at end of year | 33,589 | 34,750 | 360,675 | ||
Benefit obligation at end of year | 34,790 | 37,650 | 396,906 | ||
Unfunded status and amount recognized at end of year | (1,201) | (2,900) | |||
Noncurrent asset | 1,281 | ||||
Current liability | (258) | (259) | |||
Noncurrent liability | (2,224) | (2,641) | |||
Amount recognized at end of year | (1,201) | (2,900) | |||
Net actuarial (gain) loss before taxes | 7,913 | 10,347 | |||
Prior service cost before taxes | 198 | 255 | |||
Amounts recognized in accumulated other comprehensive income (loss) | 8,111 | 10,602 | |||
Accumulated benefit obligation at end of year | 32,950 | 36,104 | |||
Postretirement Benefit Plans | |||||
Change in benefit obligation: | |||||
Benefit obligation at beginning of year | 8,023 | 7,477 | |||
Service cost | 337 | 285 | 283 | ||
Interest cost | 119 | 194 | 297 | ||
Participant contributions | 453 | 573 | 700 | ||
Actuarial loss (gain) | 238 | 642 | |||
Plan amendments | (2,214) | ||||
Benefits paid | (1,384) | (1,148) | |||
Benefit obligation at end of year | 5,572 | 8,023 | 7,477 | ||
Change in plan assets: | |||||
Employer contribution | 931 | 575 | |||
Benefits paid | (1,384) | (1,148) | |||
Participant contributions | 453 | 573 | 700 | ||
Benefit obligation at end of year | 5,572 | 8,023 | $ 7,477 | ||
Unfunded status and amount recognized at end of year | (5,572) | (8,023) | |||
Current liability | (547) | (615) | |||
Noncurrent liability | (5,025) | (7,408) | |||
Amount recognized at end of year | (5,572) | (8,023) | |||
Net actuarial (gain) loss before taxes | (1,286) | (1,735) | |||
Prior service cost before taxes | (2,216) | (5) | |||
Amounts recognized in accumulated other comprehensive income (loss) | $ (3,502) | $ (1,740) | |||
[1] | Includes only losses from plans remaining on or after December 31, 2020 |
Schedule of Actuarial Gain_(los
Schedule of Actuarial Gain/(loss) on Defined Benefit Obligations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |||
Compensation And Retirement Disclosure [Abstract] | |||||
Amount of (Gain)/Loss on Defined Benefit Obligation | $ (1,228) | [1] | $ 3,718 | [1] | $ 45,979 |
[1] | Includes only losses from plans remaining on or after December 31, 2020 |
Schedule of Actuarial Gain_(l_2
Schedule of Actuarial Gain/(loss) on Defined Benefit Obligations (Parenthetical) (Detail) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |||
defined benefit plan obligations, interest rate basis points | 30.00% | 60.00% | 90.00% |
Weighted Average Assumptions Us
Weighted Average Assumptions Used for Pension Plans (Detail) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Pension plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average assumptions used to determine Measurement date | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Weighted average assumptions used to determine benefit obligations, Discount rate | 3.06% | 2.78% | 2.54% |
Weighted average assumptions used to determine benefit obligations, Rate of compensation increase | 3.00% | 3.00% | 3.00% |
Weighted average assumptions used to determine Measurement date | Jan. 1, 2021 | Jan. 1, 2020 | Jan. 1, 2019 |
Weighted average assumptions used to determine net periodic benefit cost/(income), Discount rate | 2.78% | 2.54% | 3.41% |
Weighted average assumptions used to determine net periodic benefit cost/(income), Expected return on plan assets | 5.70% | 4.97% | 5.34% |
Weighted average assumptions used to determine net periodic benefit cost/(income), Rate of compensation increase | 3.00% | 3.00% | 3.00% |
Postretirement Benefit Plans | Benefit Obligations | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average assumptions used to determine Measurement date | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Weighted average assumptions used to determine benefit obligations, Discount rate | 2.60% | 2.11% | 3.01% |
Health care cost trend rate, Initial rate | 6.25% | 6.50% | 6.50% |
Health care cost trend rate, Ultimate rate | 5.00% | 5.00% | 5.00% |
Health care cost trend rate, Year trend reaches the ultimate rate | 2027 | 2027 | 2026 |
Postretirement Benefit Plans | Net Periodic Benefit Cost | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average assumptions used to determine Measurement date | Jan. 1, 2021 | Jan. 1, 2020 | Jan. 1, 2019 |
Weighted average assumptions used to determine net periodic benefit cost/(income), Discount rate | 2.11% | 3.01% | 4.07% |
Health care cost trend rate, Initial rate | 6.50% | 6.50% | 6.50% |
Health care cost trend rate, Ultimate rate | 5.00% | 5.00% | 5.00% |
Health care cost trend rate, Year trend reaches the ultimate rate | 2027 | 2026 | 2025 |
Plans Fair Value of Plan Assets
Plans Fair Value of Plan Assets by Asset Class (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Dec. 31, 2021 | Jan. 02, 2021 | Dec. 31, 2020 | Dec. 28, 2019 | |
Pension plans | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | $ 33,589 | $ 33,589 | $ 34,750 | $ 34,750 | $ 360,675 | |
Short Term Investments And Cash | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 453 | 546 | ||||
Common Stocks | International Common Stocks | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 4,708 | 5,223 | ||||
Common Stocks | U.S. Common Stocks | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 8,177 | 8,587 | ||||
Fixed Income Securities | US Treasury Securities | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 13,514 | 14,577 | ||||
Fixed Income Securities | Domestic Corporate Debt Securities | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 6,737 | 5,877 | ||||
Accrued (Expenses) Income | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | [1] | (25) | ||||
Other Assets And Liabilities | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets and (liabilities) | [1] | (35) | ||||
Level 1 | Pension plans | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 33,589 | 34,810 | ||||
Level 1 | Short Term Investments And Cash | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 453 | 546 | ||||
Level 1 | Common Stocks | International Common Stocks | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 4,708 | 5,223 | ||||
Level 1 | Common Stocks | U.S. Common Stocks | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 8,177 | 8,587 | ||||
Level 1 | Fixed Income Securities | US Treasury Securities | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | 13,514 | 14,577 | ||||
Level 1 | Fixed Income Securities | Domestic Corporate Debt Securities | ||||||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||||||
Fair value of plan assets | $ 6,737 | $ 5,877 | ||||
[1] | This class includes accrued interest, dividends, and amounts receivable from asset sales and amounts payable for asset purchases. |
Plan Asset and Target Asset All
Plan Asset and Target Asset Allocations (Detail) - Plan No. 2 | Jan. 01, 2022 | Jan. 02, 2021 |
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Percentage of Plan Assets at the Measurement Date | 100.00% | 100.00% |
Equity Securities | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Percentage of Plan Assets at the Measurement Date | 38.00% | 40.00% |
Equity Securities | Minimum | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Target Allocation 2021 | 0.00% | |
Equity Securities | Maximum | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Target Allocation 2021 | 80.00% | |
Fixed Income Securities | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Percentage of Plan Assets at the Measurement Date | 60.00% | 59.00% |
Fixed Income Securities | Minimum | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Target Allocation 2021 | 20.00% | |
Fixed Income Securities | Maximum | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Target Allocation 2021 | 100.00% | |
Short Term Investments And Cash | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Percentage of Plan Assets at the Measurement Date | 2.00% | 1.00% |
Short Term Investments And Cash | Minimum | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Target Allocation 2021 | 0.00% | |
Short Term Investments And Cash | Maximum | ||
Schedule Of Defined Benefit Plan Asset Allocation Targets [Line Items] | ||
Target Allocation 2021 | 10.00% |
Company Contributions (Detail)
Company Contributions (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Defined Contribution and Defined Benefit Plans [Line Items] | |||
Expected company contribution | $ 548 | ||
Pension plans | |||
Defined Contribution and Defined Benefit Plans [Line Items] | |||
Contribution of company to company pension plans | 271 | $ 7,871 | $ 2,771 |
401K (DC Plan) | |||
Defined Contribution and Defined Benefit Plans [Line Items] | |||
Contribution of company to company pension plans | 931 | 575 | 722 |
Required | Pension plans | |||
Defined Contribution and Defined Benefit Plans [Line Items] | |||
Contribution of company to company pension plans | $ 271 | 271 | 1,040 |
Discretionary | Pension plans | |||
Defined Contribution and Defined Benefit Plans [Line Items] | |||
Contribution of company to company pension plans | $ 7,600 | $ 1,731 |
Benefits Expected to be Paid fr
Benefits Expected to be Paid from Plans Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Pension plans | ||||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ||||
Benefits paid | $ 1,662 | $ 7,762 | ||
2022 | 4,534 | |||
2023 | 3,027 | |||
2024 | 2,814 | |||
2025 | 2,404 | |||
2026 | 2,150 | |||
2027 – 2031 | 9,423 | |||
Pension plans | Includes Plan No 1 and No 2 Single Lump Sum | ||||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ||||
Benefits paid | [1] | $ 29,484 | ||
Pension plans | Includes Plan No 1 and No 2 Single Lump Sum | ||||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ||||
Benefits paid | [2] | 348,561 | ||
Pension plans | Includes Plan No 1 and No 2 Single Lump Sum | ||||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ||||
Benefits paid | [3] | 3,361 | ||
Postretirement Benefit Plans | ||||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ||||
Benefits paid | 1,384 | 1,148 | ||
Postretirement Benefit Plans | Employer Gross Contribution | ||||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ||||
Benefits paid | 931 | $ 575 | $ 722 | |
2022 | 548 | |||
2023 | 507 | |||
2024 | 465 | |||
2025 | 486 | |||
2026 | 505 | |||
2027 – 2031 | $ 2,355 | |||
[1] | Includes $7.0 million and $0.7 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums. | |||
[2] | Includes $104.5 million and $0.4 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums. | |||
[3] | Includes $1.7 million from Plan No. 2 paid as lump sums. |
Benefits Expected to be Paid _2
Benefits Expected to be Paid from Plans Assets (Parenthetical) (Detail) - Includes Plan No 1 and No 2 Single Lump Sum - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Lump Sums Plan No. 1 | |||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | |||
Distributions from existing plan assets | $ 7 | ||
Lump Sums Plan No. 1 | |||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | |||
Distributions from existing plan assets | $ 104.5 | ||
Lump Sums Plan No. 2 | |||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | |||
Distributions from existing plan assets | $ 0.7 | ||
Lump Sums Plan No. 2 | |||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | |||
Distributions from existing plan assets | $ 0.4 | ||
Lump Sums Plan No. 2 | |||
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | |||
Distributions from existing plan assets | $ 1.7 |
Employer Contributions (Detail)
Employer Contributions (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | ||
Defined Benefit Plan Disclosure [Line Items] | ||||
EIN | 58-2582379 | |||
IAM National Pension Fund | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
EIN | 51-6031295 | |||
Pension Plan No. | 002 | |||
Pension Protection Act | Red | Red | ||
FIP/RP Status Pending/ Implemented | Implemented | |||
Contributions | $ 136 | $ 153 | $ 111 | |
Surcharge Imposed | Yes | |||
Expiration Date of Collective Bargaining Agreement | Apr. 29, 2022 | |||
Retail Wholesale And Department Store International Union And Industry Pension Fund | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
EIN | 63-0708442 | |||
Pension Plan No. | 001 | |||
Pension Protection Act | Red | Red | ||
FIP/RP Status Pending/ Implemented | Implemented | |||
Contributions | $ 211 | $ 157 | 160 | |
Surcharge Imposed | No | |||
Western Conference Of Teamsters Pension Trust | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
EIN | [1] | 91-6145047 | ||
Pension Plan No. | [1] | 001 | ||
Pension Protection Act | [1] | Green | Green | |
FIP/RP Status Pending/ Implemented | [1] | No | ||
Contributions | [1] | $ 266 | $ 349 | $ 244 |
Surcharge Imposed | [1] | No | ||
Expiration Date of Collective Bargaining Agreement | [1] | Feb. 4, 2022 | ||
[1] | The collective bargaining agreement is currently under negotiation. |
Summary of Total Cost and Emplo
Summary of Total Cost and Employer Contributions (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 | |
401(k) Retirement Savings Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total cost and employer contributions | $ 28,081 | $ 27,995 | $ 27,336 |
Components of Income Tax Expens
Components of Income Tax Expense (Benefit) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Income Tax Disclosure [Abstract] | |||
Current Taxes: Federal | $ 46,018 | $ 64,113 | $ 23,397 |
Current Taxes: State | 11,790 | 15,434 | 5,539 |
Current Taxes: Total | 57,808 | 79,547 | 28,936 |
Deferred Taxes: Federal | 6,946 | (26,112) | 17,335 |
Deferred Taxes: State | (169) | (5,042) | 1,274 |
Deferred Income Taxes, Total | 6,777 | (31,154) | 18,609 |
Income tax expense | $ 64,585 | $ 48,393 | $ 47,545 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 29, 2018 | |
Income Taxes [Line Items] | ||||
Corporate income tax rate | 21.00% | 21.00% | 21.00% | |
Gross amount of unrecognized tax benefits | $ 0 | $ 306,000 | $ 750,000 | |
Unrecognized tax benefit, accrued interest | 0 | $ 0 | ||
Domestic Tax Authority | ||||
Income Taxes [Line Items] | ||||
Federal net operating loss carryforwards | 2,800,000 | |||
State and Local Jurisdiction | ||||
Income Taxes [Line Items] | ||||
State net operating loss carryforwards | 4,800,000 | |||
Credit carryforwards | $ 5,400,000 | |||
Operating loss carryforwards expiration date | Dec. 31, 2041 |
Reconciliation of Effective Tax
Reconciliation of Effective Tax Amount (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Income Tax Disclosure [Abstract] | |||
Tax at U.S. federal income tax rate | $ 56,862 | $ 42,149 | $ 44,538 |
State income taxes, net of federal income tax benefit | 9,181 | 8,209 | 5,384 |
Net share-based payments (windfalls) | (104) | (80) | (828) |
Other | (1,354) | (1,885) | (1,549) |
Income tax expense | $ 64,585 | $ 48,393 | $ 47,545 |
Components of Deferred Tax Asse
Components of Deferred Tax Assets and (Liabilities) (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Income Tax Disclosure [Abstract] | ||
Self-insurance | $ 5,502 | $ 4,806 |
Compensation and employee benefits | 8,816 | 7,698 |
Deferred income | 4,948 | 5,988 |
Loss and credit carryforwards | 12,990 | 13,026 |
Equity-based compensation | 6,797 | 3,977 |
Legal accrual | 6,514 | 2,867 |
Deferred payroll tax under CARES act | 4,100 | 7,525 |
Pension and postretirement benefits | 1,722 | 2,390 |
Financing and operating lease right-of-use liabilities | 77,422 | 88,816 |
Other | 6,642 | 7,028 |
Valuation allowance | (1,030) | (1,030) |
Deferred tax assets | 134,423 | 143,091 |
Depreciation | (71,041) | (69,056) |
Intangibles | (114,882) | (109,824) |
Financing and operating lease right-of-use assets | (75,233) | (85,720) |
Hedging | (2,015) | (4,357) |
Other | (5,009) | (2,393) |
Deferred tax liabilities | (268,180) | (271,350) |
Net deferred tax liability | $ (133,757) | $ (128,259) |
Reconciliation of Total Amounts
Reconciliation of Total Amounts of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 02, 2021 | Dec. 28, 2019 | |
Income Tax Disclosure [Abstract] | ||
Unrecognized tax benefit at beginning of fiscal year | $ 306 | $ 750 |
Lapses of statutes of limitations | $ (306) | (444) |
Unrecognized tax benefit at end of fiscal year | $ 306 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Oct. 27, 2021USD ($) | Oct. 21, 2021USD ($)DistributionTerritory | Dec. 29, 2020USD ($) | Nov. 13, 2020USD ($) | Sep. 29, 2020USD ($) | Sep. 07, 2018USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Jan. 01, 2022USD ($)DistributionTerritoryLawsuits | Jan. 02, 2021USD ($) | Jul. 13, 2019USD ($) |
Loss Contingencies [Line Items] | |||||||||||
Self-insurance reserves, current liabilities | $ 29,828 | $ 29,367 | |||||||||
Alleged complaints | Lawsuits | 24 | ||||||||||
Legal settlement | $ 9,000 | ||||||||||
Number of distribution territories repurchased | DistributionTerritory | 75 | ||||||||||
Legal settlement, amount paid | $ 3,500 | $ 4,200 | |||||||||
Remainder of legal settlement funds | $ 1,300 | ||||||||||
Settlement Funds | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Legal settlement | 5,400 | ||||||||||
Attorneys Fees | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Legal settlement | $ 3,600 | ||||||||||
Class and / or Collective action treatment | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Alleged complaints | Lawsuits | 8 | ||||||||||
Individual claims or do not seek class or collective action treatment or, in cases class treatment was sought | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Alleged complaints | Lawsuits | 16 | ||||||||||
Plaintiffs' motions for class certification | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Alleged complaints | Lawsuits | 4 | ||||||||||
Noll Maine | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Dec. 3, 2015 | ||||||||||
Legal settlement | $ 16,500 | ||||||||||
Number of distribution territories repurchased | DistributionTerritory | 75 | ||||||||||
Loss contingency, estimated cost | $ 6,600 | ||||||||||
Noll Maine | Other Accrued Liabilities | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Loss contingency, estimated cost | 4,700 | ||||||||||
Noll Maine | Settlement Funds | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Legal settlement | 9,000 | ||||||||||
Noll Maine | Attorneys Fees | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Legal settlement | $ 7,500 | ||||||||||
Noll Maine | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Oct. 21, 2015 | ||||||||||
Coronado Mexico | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Apr. 27, 2016 | ||||||||||
Martins Florida | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Nov. 8, 2016 | ||||||||||
Caddick - Pennsylvania | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | May 15, 2019 | ||||||||||
Legal settlement | $ 3,150 | ||||||||||
Rosinbaum - NorthCarolina | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Dec. 1, 2015 | ||||||||||
Legal settlement | $ 8,300 | ||||||||||
Carr - Pennsylvania | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Dec. 1, 2015 | ||||||||||
Legal settlement | $ 13,250 | ||||||||||
Boulange Pennsylvania | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Mar. 25, 2016 | ||||||||||
Neff - Vermont | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Dec. 2, 2015 | ||||||||||
Legal settlement | $ 7,600 | ||||||||||
Green Tennessee | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Lawsuit filing date | Feb. 1, 2019 |
Quarterly Financial Information
Quarterly Financial Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||||||||||||||
Jan. 01, 2022 | Oct. 09, 2021 | Jul. 17, 2021 | Jan. 02, 2021 | Oct. 03, 2020 | Jul. 11, 2020 | Apr. 24, 2021 | Apr. 18, 2020 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||
Sales | $ 983,490 | $ 1,027,800 | $ 1,017,309 | $ 1,023,036 | $ 989,650 | $ 1,025,861 | $ 1,302,168 | $ 1,349,444 | $ 4,330,767 | $ 4,387,991 | $ 4,123,974 | ||||||||
Materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately below) | 512,531 | [1] | 515,078 | [1] | 504,062 | [1] | 521,577 | [1] | 497,659 | [1] | 506,033 | [1] | 643,576 | [1] | 670,873 | [1] | 2,175,247 | 2,196,142 | 2,155,709 |
Net income (loss) | $ 39,322 | $ 38,852 | $ 56,358 | $ 55,824 | $ 44,347 | $ 57,919 | $ 71,655 | $ (5,772) | $ 206,187 | $ 152,318 | $ 164,538 | ||||||||
Basic net income (loss) per share | $ 0.19 | $ 0.18 | $ 0.27 | $ 0.26 | $ 0.21 | $ 0.27 | $ 0.34 | $ (0.03) | $ 0.97 | $ 0.72 | $ 0.78 | ||||||||
Diluted net income (loss) per share | $ 0.18 | $ 0.18 | $ 0.26 | $ 0.26 | $ 0.21 | $ 0.27 | $ 0.34 | $ (0.03) | $ 0.97 | $ 0.72 | $ 0.78 | ||||||||
[1] | The company does not report gross margin. This line item presents our material, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately) under an alternative presentation. |
Financial Results that Impact C
Financial Results that Impact Comparability by Quarter (Detail) - USD ($) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||||||
Jan. 01, 2022 | Oct. 09, 2021 | Jan. 02, 2021 | Oct. 03, 2020 | Jul. 11, 2020 | Apr. 24, 2021 | Apr. 18, 2020 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||
Loss (recovery) on inferior ingredients | $ 1,772 | $ (950) | $ 107 | $ 122 | $ 944 | $ 107 | $ (37) | |||
Multi-employer pension plan withdrawal costs | $ 3,300 | 3,300 | ||||||||
Restructuring and related impairment charges | 4,848 | $ 20,100 | $ 10,535 | 35,483 | $ 23,524 | |||||
Pension plan settlement and curtailment loss (gain) | $ 403 | $ (297) | $ (7,153) | $ 116,207 | $ 403 | $ 108,757 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Dividend Declared | Feb. 18, 2022$ / shares |
Subsequent Event [Line Items] | |
Dividend declaration date | Feb. 18, 2022 |
Dividend per share on common stock | $ 0.21 |
Dividend to be paid date | Mar. 18, 2022 |
Dividend record date | Mar. 4, 2022 |