U. S. Premium Beef (USPB) 10-Q 9 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 29, 2014	Apr. 26, 2014
Document and Entity Information:	'	'
Entity Registrant Name	'U. S. Premium Beef, LLC	'
Document Type	'10-Q	'
Document Period End Date	29-Mar-14	'
Amendment Flag	'false	'
Entity Central Index Key	'0001289237	'
Current Fiscal Year End Date	'--12-27	'
Entity Common Stock, Shares Outstanding	'	755,385
Entity Filer Category	'Non-accelerated Filer	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Well-known Seasoned Issuer	'No	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

Consolidated_Balance_Sheets_th

Consolidated Balance Sheets (thousands of dollars, except unit information) (USD $)	Mar. 29, 2014	Dec. 28, 2013
Current assets:	'	'
Cash and cash equivalents	$94,781	$59,812
Due from affiliates	91	1,488
Other receivables	0	3
Restricted cash	0	36,943
Other current assets	226	385
Total current assets	95,098	98,631
Property, plant, and equipment, at cost	219	250
Less accumulated depreciation	213	244
Net property, plant, and equipment	6	6
Investment in National Beef Packing Company, LLC	151,676	155,928
Other assets	255	323
Total assets	247,035	254,888
Current liabilities:	'	'
Accounts payable - trade	122	25
Due to affiliates	38	8
Accrued compensation and benefits	3,323	3,898
Other accrued expenses and liabilities	119	105
Patronage notices payable	90	90
Distributions payable	33	223
Total current liabilities	3,725	4,349
Long-term liabilities:	'	'
Other liabilities	6,249	6,327
Total long-term liabilities	6,249	6,327
Total liabilities	9,974	10,676
Commitments and contingencies	'	'
Capital shares and equities:	'	'
Members' capital, 735,385 Class A units and 755,385 Class B units authorized, issued and outstanding	237,061	244,212
Total capital shares and equities	237,061	244,212
Total liabilities and capital shares and equities	$247,035	$254,888

Balance_Sheets_Parentheticals

Balance Sheets Parentheticals	Mar. 29, 2014	Dec. 28, 2013
Class A Units:	'	'
Members capital units authorized	735,385	735,385
Members capital units issued	735,385	735,385
Members capital units outstanding	735,385	735,385
Class B Units:	'	'
Members capital units authorized	755,385	755,385
Members capital units issued	755,385	755,385
Members capital units outstanding	755,385	755,385

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (thousands of dollars, except unit and per unit data) (USD $)	3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013
Revenues:	'	'
Net sales	$0	$0
Costs and expenses:	'	'
Cost of sales	0	0
Selling, general, and administrative expenses	984	1,374
Depreciation and amortization	0	2
Total costs and expenses	984	1,376
Operating loss	-984	-1,376
Other income (expense):	'	'
Interest income	12	10
Interest expense	-13	-19
Equity in (loss) income of National Beef Packing Company, LLC	-4,252	-3,062
Other, net	174	262
Loss before taxes	-5,064	-4,185
Income tax expense	0	0
Net loss	($5,064)	($4,185)
Basic	'	'
Class A units	($0.69)	($0.57)
Class B units	($6.03)	($4.98)
Diluted	'	'
Class A units	-0.69	-0.57
Class B units	-6.03	-4.98
Basic	'	'
Class A units	735,385	735,385
Class B units	755,385	755,385
Diluted	'	'
Class A units	735,385	735,385
Class B units	755,385	755,385

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (thousands of dollars) (USD $)	3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013
Cash flows from operating activities:	'	'
Net loss	($5,064)	($4,185)
Adjustments to reconcile net (loss) income to net cash provided by operating activities:	'	'
Depreciation and amortization	0	2
Equity in (loss) income of National Beef Packing Company, LLC	4,252	3,062
Changes in assets and liabilities:	'	'
Due from affiliates	579	99
Other receivables	3	47
Other assets	227	1,319
Accounts payable	97	100
Due to affiliates	30	-430
Accrued compensation and benefits	-653	-3,073
Other accrued expenses and liabilities	14	-83
Net cash used in operating activities	-515	-3,142
Cash flows from investing activities:	'	'
Release of escrowed funds related to the 2011 transaction with Leucadia	36,943	0
Net cash provided by investing activities	36,943	0
Cash flows from financing activities:	'	'
Change in overdraft balances	-190	0
Prior year excess distribution	818	2
Member distributions	-2,087	0
Net cash (used in) provided by financing activities	-1,459	2
Effect of exchange rate changes on cash	0	0
Net increase (decrease) in cash	34,969	-3,140
Cash and cash equivalents at beginning of period	59,812	62,683
Cash and cash equivalents at end of the period	$94,781	$59,543

Interim_Financial_Statements

Interim Financial Statements	3 Months Ended
	Mar. 29, 2014
Interim Financial Statements	'
Interim Financial Statements	'
	(1) Interim Financial Statements
	Basis of Presentation
	The accompanying unaudited Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP), for interim financial information; therefore, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included using management’s best estimates and judgments where appropriate.  These estimates and judgments affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements.  The estimates and judgments will also affect the reported amounts for certain revenues and expenses during the reporting period.  Actual results could differ materially from these estimates and judgments.  For further information, refer to the audited Consolidated Financial Statements and Notes to Consolidated Financial Statements, which are included in the Company’s Annual Report on Form 10-K on file with the Securities and Exchange Commission (SEC), for the fiscal year ended December 28, 2013.  The results of operations for the interim periods presented are not necessarily indicative of the results for a full fiscal year.
	As a result of the transaction with Leucadia National Corporation (Leucadia) on December 30, 2011 in which Leucadia purchased 56.2415% of the membership interests in National Beef Packing Company, LLC (NBP) from the Company, the Company’s financial statements are no longer consolidated with NBP.  USPB’s remaining 15.0729% investment in NBP is accounted for using the equity method of accounting as the Company has the ability to exercise significant influence, but does not have financial or operational control.

Members_Capital

Members' Capital	3 Months Ended
	Mar. 29, 2014
Members Capital	'
Members' Capital	'
	(2) Members’ Capital
	The following table represents a reconciliation of Members’ Capital for the thirteen week period ended March 29, 2014 (thousands of dollars).
		Balance at December 28, 2013	$	244,212
		Allocation of net loss for the thirteen week period ended March 29, 2014		-5,064
		Member distributions		-2,087
		Balance at march 29, 2014	$	237,061

Loss_Attributable_to_USPB_Per_

Loss Attributable to USPB Per Unit	3 Months Ended
	Mar. 29, 2014
Loss Attributable to USPB Per Unit	'
Loss Attributable to USPB Per Unit	'
	(3) Loss Attributable to USPB Per Unit
	Under the LLC structure, earnings of the Company are to be distributed to unitholders based on their proportionate share of underlying equity, and, as a result, income attributable to USPB per unit (EPU) has been presented in the accompanying Statements of Operations and in the table that follows.
	Basic EPU excludes dilution and is computed by first allocating a portion of net income (loss) attributable to USPB to Class A units and the remainder is allocated to Class B units.  For the thirteen week periods ended March 29, 2014 and March 30, 2013, net loss was allocated 10% to the Class A’s and 90% to the Class B’s.  The net loss allocated to the Class A and Class B units is then divided by the weighted-average number of Class A and Class B units outstanding for the period to determine the basic EPU for each respective class of unit.
	Diluted EPU reflects the potential dilution that could occur if potential Class A unit purchase rights were exercised or contractual appreciation rights were converted into units.   Upon termination of the former CEO’s, Steven Hunt, employment agreement and until eighteen months after the termination of the employment agreement, at the election of Mr. Hunt, or upon mutual agreement of the Board of the Company and Mr. Hunt, Mr. Hunt may purchase up to 20,000 Class A units, or upon agreement of Mr. Hunt and the Board of the Company, Mr. Hunt may convert the contractual unit appreciation rights to up to 20,000 Class A units.  The diluted EPU reflects the circumstances of termination of Mr. Hunt’s employment agreement, and the election of Mr. Hunt or agreement by the Board of the Company and Mr. Hunt for him to purchase or convert contractual rights to the maximum 20,000 Class A units at $55 per unit for the periods as provided in his employment agreement. The diluted loss per Class A unit calculations for the 13 week period ended March 29, 2014 and March 30, 2013 in the following table excludes the effect of the 20,000 Class A unit purchase rights noted above as the effect of including them would have been anti-dilutive to the loss per Class A unit calculations.  On April 2, 2014, Mr. Hunt gave notice of his election to receive the appreciation right payment for the 20,000 Class A phantoms provided for in his employment agreement.  On April 10, 2014, Mr. Hunt was paid approximately $2.2 million for the Class A phantom appreciation right payment.
	Loss Per Unit Calculation
				13 weeks ended		13 weeks ended
	(thousands of dollars, except unit and per unit data)			March 29, 2014		March 30, 2013
	Basic loss per unit
	Loss attributable to USPB available to
		unitholders (numerator)
			Class A	$	-506	$	-419
			Class B	$	-4,558	$	-3,766
	Weighted average outstanding units (denominator)
		Class A		735,385		735,385
		Class B		755,385		755,385
	Per unit amount
		Class A		$	-0.69	$	-0.57
		Class B		$	-6.03	$	-4.98
	Diluted loss per unit:
	Loss attributable to USPB available to
		unitholders (numerator)
			Class A	$	-506	$	-419
			Class B	$	-4,558	$	-3,766
	Weighted average outstanding Class A units			735,385		735,385
	Effect of dilutive securities - Class A unit options			-		-
		Units (denominator)		735,385		735,385
	Weighted average outstanding Class B units			755,385		755,385
	Effect of dilutive securities - Class B unit options			-		-
		Units (denominator)		755,385		755,385
	Per unit amount
		Class A		$	-0.69	$	-0.57
		Class B		$	-6.03	$	-4.98

Investment_in_National_Beef_Pa

Investment in National Beef Packing Company, LLC	3 Months Ended
	Mar. 29, 2014
Investment in National Beef Packing Company, LLC {1}	'
Investment in National Beef Packing Company, LLC	'
	(4) Investment in National Beef Packing Company, LLC
	As of December 31, 2011, USPB’s investment in NBP is accounted for using the equity method of accounting as the Company has the ability to exercise significant influence, but does not have financial or operational control.  Below is a summary of the results of operations for NBP for the thirteen week periods ended March 29, 2014 and March 30, 2013 (thousands of dollars):
						13 weeks ended		13 weeks ended
						March 29, 2014		March 30, 2013
	Net sales					$	1,885,754	$	1,788,813
	Costs and expenses:
			Cost of sales			1,874,963		1,770,844
			Selling, general, and administrative expenses			14,018		14,128
			Depreciation and amortization			20,760		21,733
				Total costs and expenses		1,909,741		1,806,705
					Operating loss	-23,987		-17,892
	Other income (expense):
			Interest income			3		5
			Interest expense			-3,254		-3,250
			Other, net			-774		623
				Loss before taxes		-28,012		-20,514
	Income tax expense					-197		-54
				Net loss		-28,209		-20,568
	Less: net loss attributable to Kansas City Steak Company, LLC					-		254
		Net loss attributable to NBP				$	-28,209	$	-20,314
		NBP's net loss attributable to USPB				$	-4,252	$	-3,062

Restricted_Cash

Restricted Cash	3 Months Ended
	Mar. 29, 2014
Restricted Cash	'
Restricted Cash	'
	(5) Restricted Cash
	When the transaction with Leucadia closed on December 30, 2011, approximately $36.9 million of the Company’s proceeds were deposited in an escrow account to satisfy potential indemnification claims from Leucadia.  No indemnification claims were received and, as a result, USPB received 40%, or approximately $14.8 million, in January 2013, and the remaining 60% in January 2014.  As of March 29, 2014, the $36.9 million is included in Cash and cash equivalents on the balance sheet.

ReconciliationOfMembersCapital

ReconciliationOfMembersCapitalTableTextBlock (Tables)	3 Months Ended
	Mar. 29, 2014
ReconciliationOfMembersCapitalTableTextBlock	'
ReconciliationOfMembersCapitalTableTextBlock	'
		Balance at December 28, 2013	$	244,212
		Allocation of net loss for the thirteen week period ended March 29, 2014		-5,064
		Member distributions		-2,087
		Balance at march 29, 2014	$	237,061

Loss_Per_Unit_Calculation_Tabl

Loss Per Unit Calculation (Tables)	3 Months Ended
	Mar. 29, 2014
Loss Per Unit Calculation Table Text Block:	'
Schedule Of Loss Per Unit Calculation	'
	Loss Per Unit Calculation
				13 weeks ended		13 weeks ended
	(thousands of dollars, except unit and per unit data)			March 29, 2014		March 30, 2013
	Basic loss per unit
	Loss attributable to USPB available to
		unitholders (numerator)
			Class A	$	-506	$	-419
			Class B	$	-4,558	$	-3,766
	Weighted average outstanding units (denominator)
		Class A		735,385		735,385
		Class B		755,385		755,385
	Per unit amount
		Class A		$	-0.69	$	-0.57
		Class B		$	-6.03	$	-4.98
	Diluted loss per unit:
	Loss attributable to USPB available to
		unitholders (numerator)
			Class A	$	-506	$	-419
			Class B	$	-4,558	$	-3,766
	Weighted average outstanding Class A units			735,385		735,385
	Effect of dilutive securities - Class A unit options			-		-
		Units (denominator)		735,385		735,385
	Weighted average outstanding Class B units			755,385		755,385
	Effect of dilutive securities - Class B unit options			-		-
		Units (denominator)		755,385		755,385
	Per unit amount
		Class A		$	-0.69	$	-0.57
		Class B		$	-6.03	$	-4.98

Investment_in_National_Beef_Pa1

Investment in National Beef Packing Company, LLC (Tables)	3 Months Ended
	Mar. 29, 2014
Investments In And Advances To Affiliates Schedule Of Investments Tables	'
Schedule of summary of the results of operations for NBP	'
	Below is a summary of the results of operations for NBP for the thirteen week periods ended March 29, 2014 and March 30, 2013 (thousands of dollars):
						13 weeks ended		13 weeks ended
						March 29, 2014		March 30, 2013
	Net sales					$	1,885,754	$	1,788,813
	Costs and expenses:
			Cost of sales			1,874,963		1,770,844
			Selling, general, and administrative expenses			14,018		14,128
			Depreciation and amortization			20,760		21,733
				Total costs and expenses		1,909,741		1,806,705
					Operating loss	-23,987		-17,892
	Other income (expense):
			Interest income			3		5
			Interest expense			-3,254		-3,250
			Other, net			-774		623
				Loss before taxes		-28,012		-20,514
	Income tax expense					-197		-54
				Net loss		-28,209		-20,568
	Less: net loss attributable to Kansas City Steak Company, LLC					-		254
		Net loss attributable to NBP				$	-28,209	$	-20,314
		NBP's net loss attributable to USPB				$	-4,252	$	-3,062

Basis_of_Presentation_Details

Basis of Presentation (Details)	Dec. 30, 2011
Basis of Presentation Details:	'
Leucadia to purchase of the membership interests in NBP	56.24%
Remaining membership interests in National Beef Packing Company, LLC (NBP)	15.07%

Members_Capital_thousands_of_d

Members' Capital (thousands of dollars) (Details) (Members' Capital, USD $)	Members' Capital
	USD ($)
Balance at Dec. 28, 2013	$244,212
Allocation of net loss for the thirteen week period ended March 29, 2014	-5,064
Member distributions	-2,087
Balance at Mar. 29, 2014	$237,061

Loss_Attributable_to_USPB_Per_1

Loss Attributable to USPB Per Unit (Detail Textuals) (USD $)	3 Months Ended
	Mar. 29, 2014
Loss Attributable to USPB Per Unit Details:	'
Percentage of loss allocated to Class A unit holders	10.00%
Percentage of loss allocated to Class B unit holders	90.00%
Decprition of condition of maximum units authorized to issue conversion of rights to units	'upon termination of the former ceo’s steven hunt employment agreement and until eighteen months after the termination of the employment agreement at the election of mr. hunt or upon mutual agreement of the board of the company and mr. hunt mr. hunt may purchase up to 20000 class a units or upon agreement of mr. hunt and the board of the company mr. hunt may convert the contractual unit appreciation rights to up to 20000 class a units.
Number of shares CEO may purchase on termination of eighteen months after termination to Class A unit holders	20,000
Number of shares converted into unit appreciation rights to Class A unitholders	20,000
Maximum number of shares purchase or converted into contractual rights to Class A unitholders	20,000
Per unit price to purchase or convert contractual rights to Class A unitholders (in dollars per unit)	$55

Restricted_Cash_In_Millions_De

Restricted Cash (In Millions) (Detail Textuals) (USD $)	1 Months Ended	3 Months Ended
	Jan. 31, 2014	Mar. 29, 2014	Dec. 30, 2011
Restricted Cash Details	'	'	'
Amount of proceeds deposited in escrow account related to transaction with Leucadia	'	'	$36.90
Percentage of escrow funds for indemnification claims for first year	40.00%	'	'
Proceeds from escrow deposits	$14.80	'	'
Percentage of escrow funds for indemnification claims for second year	'	60.00%	'
Description of restricted cash	'	'No indemnification claims were received and, as a result, USPB received 40%	'