Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended |
Aug. 24, 2014 | |
Document and Entity Information [Abstract] | ' |
Entity Registrant Name | 'CONAGRA FOODS INC /DE/ |
Entity Central Index Key | '0000023217 |
Current Fiscal Year End Date | '--05-31 |
Entity Filer Category | 'Large Accelerated Filer |
Document Type | '10-Q |
Document Period End Date | 24-Aug-14 |
Document Fiscal Year Focus | '2015 |
Document Fiscal Period Focus | 'Q1 |
Trading Symbol | 'CAG |
Amendment Flag | 'false |
Entity Common Stock, Shares Outstanding | 424,827,540 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Earnings (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Income Statement [Abstract] | ' | ' |
Net sales | $3,701 | $3,715.80 |
Costs and expenses: | ' | ' |
Cost of goods sold | 2,997.20 | 2,923.70 |
Selling, general and administrative expenses | 492 | 538.1 |
Interest expense, net | 83.7 | 95.8 |
Income from continuing operations before income taxes and equity method investment earnings | 128.1 | 158.2 |
Income tax expense | 42.5 | 28.9 |
Equity method investment earnings | 25.6 | 4.1 |
Income from continuing operations | 111.2 | 133.4 |
Income from discontinued operations, net of tax | 373.3 | 13.8 |
Net income | 484.5 | 147.2 |
Less: Net income attributable to noncontrolling interests | 2.2 | 2.9 |
Net income attributable to ConAgra Foods, Inc. | $482.30 | $144.30 |
Earnings per share — basic | ' | ' |
Income from continuing operations attributable to ConAgra Foods, Inc. common stockholders | $0.26 | $0.31 |
Income from discontinued operations attributable to ConAgra Foods, Inc. common stockholders | $0.88 | $0.03 |
Net income attributable to ConAgra Foods, Inc. common stockholders | $1.14 | $0.34 |
Earnings per share — diluted | ' | ' |
Income from continuing operations attributable to ConAgra Foods, Inc. common stockholders | $0.25 | $0.30 |
Income from discontinued operations attributable to ConAgra Foods, Inc. common stockholders | $0.87 | $0.04 |
Net income attributable to ConAgra Foods, Inc. common stockholders | $1.12 | $0.34 |
Cash dividends declared per common share | $0.25 | $0.25 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' |
Net income | $484.50 | $147.20 |
Derivative adjustments, net of tax: | ' | ' |
Unrealized derivative adjustments | 0 | 45.5 |
Reclassification for derivative adjustments included in net income | -0.3 | 0.1 |
Unrealized gains on available-for-sale securities, net of tax | 0.1 | 0.1 |
Unrealized currency translation losses | -17.7 | -31 |
Pension and post-employment benefit obligations, net of tax: | ' | ' |
Unrealized pension and post-employment benefit obligations | 2.8 | -0.7 |
Reclassification for pension and post-employment benefit obligations included in net income | -0.1 | 0.5 |
Comprehensive income | 469.3 | 161.7 |
Less: Comprehensive loss attributable to noncontrolling interests | -0.8 | -9.1 |
Comprehensive income attributable to ConAgra Foods, Inc. | $470.10 | $170.80 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Current assets | ' | ' |
Cash and cash equivalents | $133.70 | $141.30 |
Receivables, less allowance for doubtful accounts of $4.5 and $4.0 | 1,080.40 | 1,058.40 |
Inventories | 2,210.30 | 2,077 |
Prepaid expenses and other current assets | 267 | 322.4 |
Current assets held for sale | 0 | 631.7 |
Total current assets | 3,691.40 | 4,230.80 |
Property, plant and equipment | 7,243.10 | 7,108.80 |
Less accumulated depreciation | -3,575.50 | -3,472.80 |
Property, plant and equipment, net | 3,667.60 | 3,636 |
Goodwill | 7,838 | 7,828.50 |
Brands, trademarks and other intangibles, net | 3,175.60 | 3,204.90 |
Other assets | 989.6 | 267.3 |
Noncurrent assets held for sale | 10.9 | 198.9 |
Total assets | 19,373.10 | 19,366.40 |
Current liabilities | ' | ' |
Notes payable | 565.2 | 141.8 |
Current installments of long-term debt | 9.2 | 84.1 |
Accounts payable | 1,441.80 | 1,349.30 |
Accrued payroll | 174.1 | 154.3 |
Other accrued liabilities | 709.8 | 748.1 |
Current liabilities held for sale | 0 | 164.8 |
Total current liabilities | 2,900.10 | 2,642.40 |
Senior long-term debt, excluding current installments | 7,720.90 | 8,571.50 |
Subordinated debt | 195.9 | 195.9 |
Other noncurrent liabilities | 2,807.90 | 2,599.40 |
Noncurrent liabilities held for sale | 0 | 2 |
Total liabilities | 13,624.80 | 14,011.20 |
Commitments and contingencies (Note 13) | ' | ' |
Common stock of $5 par value, authorized 1,200,000,000 shares; issued 567,907,172 | 2,839.70 | 2,839.70 |
Additional paid-in capital | 1,010.30 | 1,036.90 |
Retained earnings | 5,386.60 | 5,010.60 |
Accumulated other comprehensive loss | -146.5 | -134.3 |
Less treasury stock, at cost, 143,079,632 and 145,992,121 common shares | -3,428.80 | -3,494.40 |
Total ConAgra Foods, Inc. common stockholders' equity | 5,661.30 | 5,258.50 |
Noncontrolling interests | 87 | 96.7 |
Total stockholders' equity | 5,748.30 | 5,355.20 |
Total liabilities and stockholders' equity | $19,373.10 | $19,366.40 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Allowance for doubtful accounts | $4.50 | $4 |
Common stock, par value | $5 | $5 |
Common stock, authorized | 1,200,000,000 | 1,200,000,000 |
Common stock, issued | 567,907,172 | 567,907,172 |
Treasury stock, common shares | 143,079,632 | 145,992,121 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $484.50 | $147.20 |
Income from discontinued operations | 373.3 | 13.8 |
Income from continuing operations | 111.2 | 133.4 |
Adjustments to reconcile income from continuing operations to net cash flows from operating activities: | ' | ' |
Depreciation and amortization | 148.1 | 139.8 |
Asset impairment charges | 2.8 | 2.1 |
Loss on sale of fixed assets | -2.6 | -1 |
Earnings of affiliates less than (in excess of) distributions | -24.4 | 1.8 |
Share-based payments expense | 15.5 | 17 |
Contributions to pension plans | -3 | -4.5 |
Pension expense | -3.6 | -2.2 |
Other items | 22 | -8.2 |
Change in operating assets and liabilities excluding effects of business acquisitions and dispositions: | ' | ' |
Accounts receivable | -12.9 | 30.4 |
Inventory | -128.6 | -172.6 |
Deferred income taxes and income taxes payable, net | -23.3 | 14.2 |
Prepaid expenses and other current assets | 23.3 | -0.6 |
Accounts payable | 105.3 | 63.9 |
Accrued payroll | 26.3 | -117.2 |
Other accrued liabilities | -35.1 | 47.5 |
Net cash flows from operating activities b continuing operations | 226.2 | 145.8 |
Net cash flows from operating activities b discontinued operations | 7.4 | 20.3 |
Net cash flows from operating activities | 233.6 | 166.1 |
Cash flows from investing activities: | ' | ' |
Additions to property, plant and equipment | -111.7 | -174 |
Sale of property, plant and equipment | 1.8 | 3.7 |
Purchase of business, net of cash acquired | -75.4 | 0 |
Return of investment in equity method investee | 402.9 | 0 |
Net cash flows from investing activities b continuing operations | 217.6 | -170.3 |
Net cash flows from investing activities b discontinued operations | 114 | -7.3 |
Net cash flows from investing activities | 331.6 | -177.6 |
Cash flows from financing activities: | ' | ' |
Net short-term borrowings | 407.3 | 97.2 |
Issuance of long-term debt | 550 | 0 |
Repayment of long-term debt | -1,486.70 | -2.3 |
Repurchase of ConAgra Foods, Inc. common shares | 0 | -30.9 |
Cash dividends paid | -105.5 | -104.8 |
Exercise of stock options and issuance of other stock awards | 27.1 | 62.9 |
Other items | -5.9 | 0.5 |
Net cash flows from financing activities: | -613.7 | 22.6 |
Effect of exchange rate changes on cash and cash equivalents | -0.9 | -0.8 |
Net change in cash and cash equivalents | -49.4 | 10.3 |
Discontinued operations cash activity included above: | ' | ' |
Add: Cash balance included in assets held for sale at beginning of period | 41.8 | 33 |
Less: Cash balance included in assets held for sale at end of period | 0 | 12.8 |
Cash and cash equivalents at beginning of period | 141.3 | 150.9 |
Cash and cash equivalents at end of period | $133.70 | $181.40 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended | |||||||||
Aug. 24, 2014 | ||||||||||
Accounting Policies [Abstract] | ' | |||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||
The unaudited financial information reflects all adjustments, which are, in the opinion of management, necessary for a fair presentation of the results of operations, financial position, and cash flows for the periods presented. The adjustments are of a normal recurring nature, except as otherwise noted. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the ConAgra Foods, Inc. (the "Company," "we," "us," or "our") Annual Report on Form 10-K for the fiscal year ended May 25, 2014. | ||||||||||
The results of operations for any quarter or a partial fiscal year period are not necessarily indicative of the results to be expected for other periods or the full fiscal year. | ||||||||||
Basis of Consolidation — The condensed consolidated financial statements include the accounts of ConAgra Foods, Inc. and all majority-owned subsidiaries. In addition, the accounts of all variable interest entities for which we have been determined to be the primary beneficiary are included in our condensed consolidated financial statements from the date such determination is made. All significant intercompany investments, accounts, and transactions have been eliminated. | ||||||||||
Comprehensive Income — Comprehensive income includes net income, currency translation adjustments, certain derivative-related activity, changes in the value of available-for-sale investments, and changes in prior service cost and net actuarial gains (losses) from pension (for amounts not in excess of the 10% corridor) and post-retirement health care plans. We generally deem our foreign investments to be essentially permanent in nature and we do not provide for taxes on currency translation adjustments arising from converting the investment denominated in a foreign currency to U.S. dollars. When we determine that a foreign investment, as well as undistributed earnings, are no longer permanent in nature, estimated taxes are provided for the related deferred tax liability (asset), if any, resulting from currency translation adjustments. | ||||||||||
The following details the income tax expense (benefit) on components of other comprehensive income (loss): | ||||||||||
Thirteen Weeks Ended | ||||||||||
August 24, | August 25, | |||||||||
2014 | 2013 | |||||||||
Net derivative adjustment | $ | (0.2 | ) | $ | 26.9 | |||||
Unrealized gains on available-for-sale securities | — | 0.1 | ||||||||
Pension and postretirement healthcare liabilities | 0.9 | — | ||||||||
$ | 0.7 | $ | 27 | |||||||
The following table summarizes the reclassifications from accumulated other comprehensive loss into income : | ||||||||||
Thirteen Weeks Ended | Affected Line Item in the Condensed Consolidated Statement of Earnings | |||||||||
24-Aug-14 | 25-Aug-13 | |||||||||
Net derivative adjustment: | ||||||||||
Fair value hedges | $ | — | $ | 0.1 | Interest expense, net | |||||
Cash flow hedges | (0.5 | ) | — | Interest expense, net | ||||||
(0.5 | ) | 0.1 | Total before tax | |||||||
0.2 | — | Income tax expense | ||||||||
$ | (0.3 | ) | $ | 0.1 | Net of tax | |||||
Amortization of pension and postretirement healthcare liabilities: | ||||||||||
Net prior service cost | $ | (1.1 | ) | $ | (0.8 | ) | Selling, general and administrative expenses | |||
Net actuarial losses | 0.9 | 1.6 | Selling, general and administrative expenses | |||||||
(0.2 | ) | 0.8 | Total before tax | |||||||
0.1 | (0.3 | ) | Income tax expense (benefit) | |||||||
$ | (0.1 | ) | $ | 0.5 | Net of tax | |||||
Reclassifications — Certain prior year amounts have been reclassified to conform with current year presentation. | ||||||||||
Use of Estimates — Preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions. These estimates and assumptions affect reported amounts of assets, liabilities, revenues, and expenses as reflected in the condensed consolidated financial statements. Actual results could differ from these estimates. | ||||||||||
Accounting Changes — In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which states that entities should present the unrecognized tax benefit as a reduction of the deferred tax asset for a net operating loss ("NOL") or similar tax loss or tax credit carryforward rather than as a liability when the uncertain tax position would reduce the NOL or other carryforward under the tax law. No new disclosures are necessary. We adopted this ASU as of the beginning of fiscal 2015. This did not result in a material change to our financial statements. | ||||||||||
In April 2014, the FASB issued ASU 2014-08, Reporting Discontinued Operations and Disclosures of Components of an Entity, which updates the definition of discontinued operations under U.S. Generally Accepted Accounting Principles (U.S. GAAP). Going forward, only those disposals of components of an entity that represent a strategic shift that has (or will have) a major effect on an entity's operations and financial results will be reported as discontinued operations in the financial statements. Previously, a component of an entity that is a reportable segment, an operating segment, a reporting unit, a subsidiary, or an asset group was eligible for discontinued operations presentation. Additionally, the condition that the entity will not have any significant continuing involvement in the operations of the component after the disposal transaction has been removed. The effective date for the revised standard is for applicable transactions that occur within annual periods beginning on or after December 15, 2014. Early adoption is permitted, but only for disposals (or classifications as held for sale) that have not been reported in financial statements previously issued or available for issuance. We adopted this standard in the first quarter of fiscal 2015. This has resulted in the presentation of historical results of our milling business, prior to the creation of the Ardent Mills joint venture, as discontinued operations. | ||||||||||
Recently Issued Accounting Standards —In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP. The new standard is effective for the Company in our fiscal year 2018. Early adoption is not permitted. We are evaluating the effect that ASU 2014-09 will have on our consolidated financial statements and related disclosures. The standard permits the use of either the retrospective or cumulative effect transition method. |
ACQUISITIONS
ACQUISITIONS | 3 Months Ended |
Aug. 24, 2014 | |
Business Combinations [Abstract] | ' |
ACQUISITIONS | ' |
ACQUISITIONS | |
In July 2014, we acquired TaiMei Potato Industry Limited, a potato processor in China, for $92.5 million, consisting of $75.4 million net of cash acquired plus assumed liabilities. The purchase included property and equipment associated with making frozen potato products. Approximately $15.9 million of the purchase price has been classified as goodwill pending determination of the final purchase price allocation. The amount allocated to goodwill is not deductible for income tax purposes. Based on the purchase agreement, we expect to make adjustments to the preliminary allocation of the purchase price paid over the next several quarters. We do not anticipate assigning significant value to other intangible assets. This business is included in the Commercial Foods segment. | |
In September 2013, we acquired frozen dessert production assets from Harlan Bakeries for $39.9 million in cash. The purchase included machinery, operating systems, warehousing/storage, and other assets associated with making frozen fruit pies, cream pies, pastry shells, and loaf cakes. This business is included in the Consumer Foods segment. | |
Under the acquisition method of accounting, the assets acquired and liabilities assumed in these acquisitions were recorded at their respective estimated fair values at the date of acquisition. |
DISCONTINUED_OPERATIONS_OTHER_
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS | 3 Months Ended | ||||||||
Aug. 24, 2014 | |||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||
DISCONTINUED OPERATIONS AND OTHER ASSETS HELD FOR SALE | ' | ||||||||
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS | |||||||||
Formation of Ardent Mills | |||||||||
On May 29, 2014, the Company, Cargill, Incorporated, and CHS, Inc. completed the formation of Ardent Mills. In connection with the closing, we contributed all of the assets of ConAgra Mills, including $49.0 million of cash, to Ardent Mills, we received a 44% ownership interest in Ardent Mills, and Ardent Mills distributed $402.9 million to us in cash as a return of capital, subject to working capital adjustments. The contribution of the assets of ConAgra Mills in exchange for a non-controlling interest in the newly formed joint venture is required to be accounted for at fair value, and accordingly, we recognized a gain of $624.8 million ($381.2 million after-tax) in the first quarter of fiscal 2015 in income from discontinued operations, to reflect the excess of the fair value of our interest over its carrying value at the time of the transfer. As part of the formation of Ardent Mills flour milling joint venture, in the fourth quarter of fiscal 2014, pursuant to an agreement with the U.S. Department of Justice, we sold three flour milling facilities to Miller Milling Company LLC for total cash consideration of $163.0 million. In the first quarter of fiscal 2015, we used the net cash proceeds from the Ardent Mills transaction to repay debt. The operating results of our milling business, including the disposition of three mills aforementioned, are included as discontinued operations within our Condensed Consolidated Statement of Earnings. The related assets and liabilities have been reclassified as assets and liabilities held for sale within our Condensed Consolidated Balance Sheet for the period presented prior to divestiture. We expect to make adjustments to these amounts for final working capital adjustments in the second quarter of fiscal 2015. | |||||||||
We recognized the 44% ownership interest in Ardent Mills at fair value, as of the date of the formation of the joint venture. We now recognize our proportionate share of the earnings of Ardent Mills under the equity method of accounting within results of continuing operations. Due to differences in fiscal reporting periods, we recognized the equity method earnings on a lag of approximately one month; and as a result, we recognized only two months of earnings from Ardent Mills in the first quarter of fiscal 2015. At August 24, 2014, the carrying value of our equity method investment in Ardent Mills was $721.5 million, which is included in Other Assets. | |||||||||
We entered into transition services agreements in connection with this contribution and recognized $3.8 million of income during the first quarter of fiscal 2015, classified within selling, general and administrative expenses. | |||||||||
Medallion Foods | |||||||||
In the fourth quarter of fiscal 2014, we completed the sale of a small snack business, Medallion Foods, for $32.0 million in cash. The business results were previously reflected in the Private Brands segment. We reflected the results of these operations as discontinued operations for all periods presented. | |||||||||
Lightlife® Operations | |||||||||
In the second quarter of fiscal 2014, we completed the sale of the assets of the Lightlife® business for $54.7 million in cash. This business produced and sold vegetarian-based burgers, hot dogs, and other meatless frozen and refrigerated items. The results of this business were previously reflected in the Consumer Foods segment. We reflected the results of these operations as discontinued operations for all periods presented. | |||||||||
The summary comparative financial results of discontinued operations were as follows: | |||||||||
Thirteen Weeks Ended | |||||||||
24-Aug-14 | 25-Aug-13 | ||||||||
Net sales | $ | 16.2 | $ | 490.8 | |||||
Net gain on sale of business | 626.5 | — | |||||||
Income (loss) from operations of discontinued operations before income taxes and equity method investment earnings | (13.0 | ) | 19.4 | ||||||
Income before income taxes | 613.5 | 19.4 | |||||||
Income tax expense | 240.2 | 5.7 | |||||||
Equity method investment earnings | — | 0.1 | |||||||
Income from discontinued operations, net of tax | $ | 373.3 | $ | 13.8 | |||||
Other Assets Held for Sale | |||||||||
During the third quarter of fiscal 2014, we began actively marketing for sale an onion processing facility previously acquired from an onion products supplier. The processing facility assets have been reclassified as assets held for sale within our Condensed Consolidated Balance Sheets for all periods presented. These assets are held within our Commercial Foods segment. | |||||||||
The assets and liabilities classified as held for sale reflected in our Condensed Consolidated Balance Sheets were as follows: | |||||||||
August 24, 2014 | May 25, 2014 | ||||||||
Cash and cash equivalents | $ | — | $ | 41.8 | |||||
Receivables, less allowance for doubtful accounts of $0 and $1.2 | — | 172.4 | |||||||
Receivable on sale of flour milling assets | — | 162.4 | |||||||
Inventories | — | 215.6 | |||||||
Prepaid expenses and other current assets | — | 39.5 | |||||||
Current assets held for sale | $ | — | $ | 631.7 | |||||
Property, plant and equipment, net | $ | 10.9 | $ | 186.8 | |||||
Goodwill | — | 8 | |||||||
Brands, trademarks and other intangibles, net | — | 0.9 | |||||||
Other assets | — | 3.2 | |||||||
Noncurrent assets held for sale | $ | 10.9 | $ | 198.9 | |||||
Current installments of long-term debt | $ | — | $ | 0.1 | |||||
Accounts payable | — | 143.1 | |||||||
Accrued payroll | — | 2.3 | |||||||
Other accrued liabilities | — | 19.3 | |||||||
Current liabilities held for sale | $ | — | $ | 164.8 | |||||
Senior long-term debt, excluding current installments | $ | — | $ | 0.1 | |||||
Other noncurrent liabilities | — | 1.9 | |||||||
Noncurrent liabilities held for sale | $ | — | $ | 2 | |||||
RESTRUCTURING_ACTIVITIES
RESTRUCTURING ACTIVITIES | 3 Months Ended | |||||||||||||||||||
Aug. 24, 2014 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
RESTRUCTURING ACTIVITIES | ' | |||||||||||||||||||
RESTRUCTURING ACTIVITIES | ||||||||||||||||||||
Supply Chain and Administrative Efficiency Plan | ||||||||||||||||||||
We continue to execute a plan for the integration of Ralcorp Holdings, Inc. ("Ralcorp"), the optimization of the entire Company's supply chain network and improvement of selling, general and administrative effectiveness and efficiencies, which we refer to as the Supply Chain and Administrative Efficiency Plan (the "SCAE Plan"). As a part of this SCAE Plan, we expect to take actions to, among other things, continue the ongoing integration and restructuring of the operations of Ralcorp, optimize manufacturing assets, optimize the Company's dry distribution and mixing centers, improve operational effectiveness, and reduce overall costs in the Company's administrative areas. | ||||||||||||||||||||
Although we remain unable to make good faith estimates relating to the entire SCAE Plan, we are reporting on actions initiated through the end of the first quarter of fiscal 2015, including the estimated amounts or range of amounts for each major type of costs expected to be incurred, and the charges that have resulted or will result in cash outflows. As of the date of this report, our Board of Directors has approved the incurrence of up to $325.0 million of expenses in connection with the SCAE Plan. We have incurred or expect to incur approximately $219.2 million of charges ($165.9 million of cash charges and $53.3 million of non-cash charges) for actions identified to date under the SCAE plan. In the first quarter of fiscal 2015 and 2014, we recognized charges of $21.1 million and $7.3 million, respectively, in relation to the SCAE Plan. We expect the SCAE Plan will be implemented over a multi-year period. | ||||||||||||||||||||
We anticipate that we will recognize the following pre-tax expenses in association with the SCAE Plan (amounts include charges recognized in fiscal 2013, 2014, and the first quarter of fiscal 2015): | ||||||||||||||||||||
Consumer Foods | Commercial Foods | Private Brands | Corporate | Total | ||||||||||||||||
Multi-employer pension costs | $ | — | $ | — | $ | — | $ | 11.4 | $ | 11.4 | ||||||||||
Other cost of goods sold | 3.3 | — | 3.9 | — | 7.2 | |||||||||||||||
Total cost of goods sold | 3.3 | — | 3.9 | 11.4 | 18.6 | |||||||||||||||
Severance and related costs | 14.4 | 9.1 | 9.6 | 44.9 | 78 | |||||||||||||||
Fixed asset impairment / Loss on disposal | 0.3 | — | 5.8 | — | 6.1 | |||||||||||||||
Accelerated depreciation | 24.4 | — | 16.8 | 3.1 | 44.3 | |||||||||||||||
Other selling, general and administrative expenses | 8.9 | — | 22.7 | 40.6 | 72.2 | |||||||||||||||
Total selling, general and administrative expenses | 48 | 9.1 | 54.9 | 88.6 | 200.6 | |||||||||||||||
Consolidated total | $ | 51.3 | $ | 9.1 | $ | 58.8 | $ | 100 | $ | 219.2 | ||||||||||
During the first quarter of fiscal 2015, we recognized the following pre-tax expenses for the SCAE Plan: | ||||||||||||||||||||
Consumer Foods | Commercial Foods | Private Brands | Corporate | Total | ||||||||||||||||
Multi-employer pension costs | $ | — | $ | — | $ | — | $ | 0.2 | $ | 0.2 | ||||||||||
Other cost of goods sold | — | — | 0.6 | — | 0.6 | |||||||||||||||
Total cost of goods sold | — | — | 0.6 | 0.2 | 0.8 | |||||||||||||||
Severance and related costs | 1.4 | 4.3 | 0.7 | 0.1 | 6.5 | |||||||||||||||
Asset impairment | — | — | 1.9 | — | 1.9 | |||||||||||||||
Accelerated depreciation | 7.5 | — | 0.5 | 0.7 | 8.7 | |||||||||||||||
Other selling, general and administrative expenses | 0.3 | — | 2.3 | 0.6 | 3.2 | |||||||||||||||
Total selling, general and administrative expenses | 9.2 | 4.3 | 5.4 | 1.4 | 20.3 | |||||||||||||||
Consolidated total | $ | 9.2 | $ | 4.3 | $ | 6 | $ | 1.6 | $ | 21.1 | ||||||||||
Included in the above results are $9.9 million of charges that have resulted or will result in cash outflows and $11.2 million in non-cash charges. | ||||||||||||||||||||
We recognized the following cumulative (plan inception to August 24, 2014) pre-tax expenses related to the SCAE Plan in our Condensed Consolidated Statement of Earnings: | ||||||||||||||||||||
Consumer Foods | Commercial Foods | Private Brands | Corporate | Total | ||||||||||||||||
Multi-employer pension costs | $ | — | $ | — | $ | — | $ | 11.4 | $ | 11.4 | ||||||||||
Other cost of goods sold | 0.8 | — | 1.2 | — | 2 | |||||||||||||||
Total cost of goods sold | 0.8 | — | 1.2 | 11.4 | 13.4 | |||||||||||||||
Severance and related costs | 14.1 | 9.1 | 9.6 | 42.7 | 75.5 | |||||||||||||||
Asset impairment | 0.3 | — | 5.8 | — | 6.1 | |||||||||||||||
Accelerated depreciation | 9.9 | — | 15.6 | 1.3 | 26.8 | |||||||||||||||
Other selling, general and administrative expenses | 0.3 | — | 7.3 | 3.8 | 11.4 | |||||||||||||||
Total selling, general and administrative expenses | 24.6 | 9.1 | 38.3 | 47.8 | 119.8 | |||||||||||||||
Consolidated total | $ | 25.4 | $ | 9.1 | $ | 39.5 | $ | 59.2 | $ | 133.2 | ||||||||||
Included in the above results are $99.0 million of charges that have resulted or will result in cash outflows and $34.2 million in non-cash charges. | ||||||||||||||||||||
Liabilities recorded for the SCAE Plan and changes therein for the first quarter of fiscal 2015 were as follows: | ||||||||||||||||||||
Balance at May 25, | Costs Incurred | Costs Paid | Changes in Estimates | Balance at August 24, | ||||||||||||||||
2014 | and Charged | or Otherwise Settled | 2014 | |||||||||||||||||
to Expense | ||||||||||||||||||||
Severance | $ | 46.9 | $ | 7 | $ | (23.1 | ) | $ | (0.5 | ) | $ | 30.3 | ||||||||
Multi-employer pension and other costs | 11.2 | — | — | 0.2 | 11.4 | |||||||||||||||
Other costs | 6 | 4.3 | (5.0 | ) | (1.1 | ) | 4.2 | |||||||||||||
Total | $ | 64.1 | $ | 11.3 | $ | (28.1 | ) | $ | (1.4 | ) | $ | 45.9 | ||||||||
Acquisition-related Restructuring Costs | ||||||||||||||||||||
During fiscal 2012, we started incurring costs in connection with actions taken to attain synergies when integrating businesses acquired prior to the third quarter of fiscal 2013. These costs, collectively referred to as "acquisition-related restructuring costs", include severance and other costs associated with consolidating facilities and administrative functions. In connection with the acquisition-related restructuring costs, we incurred pre-tax cash and non-cash charges of $23.6 million ($21.1 million in the Consumer Foods segment and $2.5 million in Corporate expenses) cumulatively since inception. In the first quarter of fiscal 2015 and 2014, we incurred $0.2 million and $0.9 million, respectively, in the Consumer Foods segment. The acquisition-related restructuring costs are substantially complete. | ||||||||||||||||||||
Ralcorp Pre-acquisition Restructuring Plans | ||||||||||||||||||||
At the time of its acquisition, Ralcorp had certain initiatives underway designed to optimize its manufacturing and distribution networks. We refer to these actions and the related costs as "Ralcorp Pre-acquisition Restructuring Plans". These plans consisted of projects that involved, among other things, the exit of certain manufacturing facilities. In connection with the Ralcorp Pre-acquisition Restructuring Plans, we have incurred $3.7 million ($3.5 million in the Private Brands segment and $0.2 million in Corporate expenses) that have resulted or will result in cash outflows of $1.9 million and non-cash charges of $1.8 million. In the first quarter of fiscal 2014, we recognized charges of $1.3 million. At the end of fiscal 2014, the Ralcorp Pre-acquisition Restructuring Plans were substantially complete. |
LONGTERM_DEBT
LONG-TERM DEBT | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
LONG-TERM DEBT | ' | |||||||
LONG-TERM DEBT | ||||||||
During the first quarter of fiscal 2015, we repurchased $225.0 million aggregate principal amount of senior notes due 2023, $200.0 million aggregate principal amount of senior notes due 2043, $25.0 million aggregate principal amount of senior notes due 2019, $25.0 million aggregate principal amount of senior notes due 2018, and $25.0 million aggregate principal amount of senior notes due 2017, in each case prior to maturity in a tender offer, resulting in a net loss of $16.3 million as a cost of early retirement of debt, including a $9.5 million tender premium. | ||||||||
During the first quarter of fiscal 2015, we repaid the remaining borrowings of our unsecured term loan facility (the "Term Loan Facility") of $900.0 million (with an interest rate at LIBOR plus 1.75% per annum), prior to maturity, resulting in a loss of $8.3 million as a cost of early retirement of debt. The Term Loan Facility was terminated after repayment. | ||||||||
During the first quarter of fiscal 2015, we issued $550.0 million aggregate principal amount of floating rate notes due July 21, 2016. The notes bear interest at a rate equal to three-month LIBOR plus 0.37% per annum. | ||||||||
Net interest expense consists of: | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Long-term debt | $ | 85.6 | $ | 99.7 | ||||
Short-term debt | 0.5 | 0.3 | ||||||
Interest income | (0.5 | ) | (0.5 | ) | ||||
Interest capitalized | (1.9 | ) | (3.7 | ) | ||||
$ | 83.7 | $ | 95.8 | |||||
During the third quarter of fiscal 2014, we entered into interest rate swap contracts to hedge the fair value of certain of our senior long-term debt instruments maturing in fiscal 2019 and 2020, effectively converting interest on this debt from fixed rate to floating rate (see Note 8). These swaps, which are designated as fair value hedges, reduced our interest expense by $2.6 million in the first quarter of fiscal 2015. | ||||||||
We entered into interest rate swaps during fiscal 2010 that effectively changed our interest rate on the senior long-term debt instrument that matured in fiscal 2014 from fixed to variable. During the second quarter of fiscal 2011, we terminated these interest rate swap contracts and received proceeds of $28.2 million. The cumulative adjustment to the fair value of the debt instrument that was hedged (the effective portion of the hedge) and was amortized as a reduction of interest expense over the remaining life of the debt instrument (through fiscal 2014). Net interest expense for the first quarter of fiscal 2014 was reduced by $2.3 million. |
VARIABLE_INTEREST_ENTITIES
VARIABLE INTEREST ENTITIES | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Variable Interest Entity, Measure of Activity [Abstract] | ' | |||||||
VARIABLE INTEREST ENTITIES | ' | |||||||
VARIABLE INTEREST ENTITIES | ||||||||
Variable Interest Entities Consolidated | ||||||||
We own a 49.99% interest in Lamb Weston BSW, LLC ("Lamb Weston BSW"), a potato processing venture with Ochoa Ag Unlimited Foods, Inc. ("Ochoa"). We provide all sales and marketing services to Lamb Weston BSW. Under certain circumstances, we could be required to compensate Ochoa for lost profits resulting from significant production shortfalls ("production shortfalls"). Commencing on June 1, 2018, or on an earlier date under certain circumstances, we have a contractual right to purchase the remaining equity interest in Lamb Weston BSW from Ochoa (the "call option"). We are currently subject to a contractual obligation to purchase all of Ochoa's equity investment in Lamb Weston BSW at the option of Ochoa (the "put option"). The purchase prices under the call option and the put option (the "options") are based on the book value of Ochoa's equity interest at the date of exercise, as modified by an agreed-upon rate of return for the holding period of the investment balance. The agreed-upon rate of return varies depending on the circumstances under which any of the options are exercised. As of August 24, 2014, the price at which Ochoa had the right to put its equity interest to us was $39.8 million. This amount is presented within other noncurrent liabilities in our Condensed Consolidated Balance Sheets. We have determined that Lamb Weston BSW is a variable interest entity and that we are the primary beneficiary of the entity. Accordingly, we consolidate the financial statements of Lamb Weston BSW. | ||||||||
We hold a promissory note from Lamb Weston BSW, the balance of which was $36.1 million at August 24, 2014. The promissory note is due in December 2015. The promissory note is currently accruing interest at a rate of LIBOR plus 200 basis points with a floor of 3.25%. In addition, as of August 24, 2014, we provided lines of credit of up to $15.0 million to Lamb Weston BSW. Borrowings under the lines of credit bear interest at a rate of LIBOR plus 200 basis points with a floor of 3.25%. The amounts owed by Lamb Weston BSW to the Company are not reflected in our Condensed Consolidated Balance Sheets, as they are eliminated in consolidation. | ||||||||
Our variable interests in Lamb Weston BSW include an equity investment in the venture, the options, the promissory note, certain fees paid to us by Lamb Weston BSW for sales and marketing services, the contingent obligation related to production shortfalls, and the lines of credit advanced to Lamb Weston BSW. Our maximum exposure to loss as a result of our involvement with this venture is equal to our equity investment in the venture, the balance of the promissory note extended to the venture, the amount, if any, advanced under the lines of credit, and the amount, if any, by which the put option exercise price exceeds the fair value of the noncontrolling interest in Lamb Weston BSW upon its exercise. Also, in the event of a production shortfall, we could be required to compensate Ochoa for lost profits. It is not possible to determine the maximum exposure to losses from the potential exercise of the put option or from potential production shortfalls. However, we do not expect to incur material losses resulting from these potential exposures. | ||||||||
Due to the consolidation of this variable interest entity, we reflected in our Condensed Consolidated Balance Sheets: | ||||||||
August 24, | May 25, | |||||||
2014 | 2014 | |||||||
Cash and cash equivalents | $ | 13.9 | $ | 17.7 | ||||
Receivables, less allowance for doubtful accounts | 21.3 | 19.1 | ||||||
Inventories | 1.5 | 1.4 | ||||||
Prepaid expenses and other current assets | 0.1 | 0.3 | ||||||
Property, plant and equipment, net | 51 | 51.8 | ||||||
Goodwill | 18.8 | 18.8 | ||||||
Brands, trademarks and other intangibles, net | 6.5 | 6.7 | ||||||
Total assets | $ | 113.1 | $ | 115.8 | ||||
Accounts payable | $ | 13.8 | $ | 11.7 | ||||
Accrued payroll | 0.8 | 0.5 | ||||||
Other accrued liabilities | 0.7 | 0.6 | ||||||
Other noncurrent liabilities (noncontrolling interest) | 28.9 | 33.3 | ||||||
Total liabilities | $ | 44.2 | $ | 46.1 | ||||
The liabilities recognized as a result of consolidating the Lamb Weston BSW entity do not represent additional claims on our general assets. The creditors of Lamb Weston BSW have claims only on the assets of Lamb Weston BSW. The assets recognized as a result of consolidating Lamb Weston BSW are the property of the venture and are not available to us for any other purpose, other than as a secured lender under the promissory note and lines of credit. | ||||||||
Variable Interest Entities Not Consolidated | ||||||||
We also have variable interests in certain other entities that we have determined to be variable interest entities, but for which we are not the primary beneficiary. We do not consolidate the financial statements of these entities. | ||||||||
We hold a 50% interest in Lamb Weston RDO, a potato processing venture. We provide all sales and marketing services to Lamb Weston RDO. We receive a fee for these services based on a percentage of the net sales of the venture. We reflect the value of our ownership interest in this venture in other assets in our Condensed Consolidated Balance Sheets, based upon the equity method of accounting. The balance of our investment was $12.2 million and $12.6 million at August 24, 2014 and May 25, 2014, respectively, representing our maximum exposure to loss as a result of our involvement with this venture. The capital structure of Lamb Weston RDO includes owners' equity of $24.4 million and term borrowings from banks of $42.8 million as of August 24, 2014. We have determined that we do not have the power to direct the activities that most significantly impact the economic performance of this venture. | ||||||||
We lease certain office buildings from entities that we have determined to be variable interest entities. The lease agreements with these entities include fixed-price purchase options for the assets being leased, representing our only variable interest in these lessor entities. These leases are accounted for as operating leases, and accordingly, there are no material assets or liabilities associated with these entities included in our Condensed Consolidated Balance Sheets. We have no material exposure to loss from our variable interests in these entities. We have determined that we do not have the power to direct the activities that most significantly impact the economic performance of these entities. In making this determination, we have considered, among other items, the terms of the lease agreements, the expected remaining useful lives of the assets leased, and the capital structure of the lessor entities. |
GOODWILL_AND_OTHER_IDENTIFIABL
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS | 3 Months Ended | |||||||||||||||
Aug. 24, 2014 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS | ' | |||||||||||||||
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS | ||||||||||||||||
The change in the carrying amount of goodwill for the first quarter of fiscal 2015 was as follows: | ||||||||||||||||
Consumer | Commercial | Private Brands | Total | |||||||||||||
Foods | Foods | |||||||||||||||
Balance as of May 25, 2014 | $ | 3,748.50 | $ | 865.4 | $ | 3,214.60 | $ | 7,828.50 | ||||||||
Acquisitions | — | 15.9 | — | 15.9 | ||||||||||||
Currency translation and purchase accounting adjustments | (4.8 | ) | — | (1.6 | ) | (6.4 | ) | |||||||||
Balance as of August 24, 2014 | $ | 3,743.70 | $ | 881.3 | $ | 3,213.00 | $ | 7,838.00 | ||||||||
Other identifiable intangible assets were as follows: | ||||||||||||||||
August 24, 2014 | May 25, 2014 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Non-amortizing intangible assets | $ | 1,057.90 | $ | — | $ | 1,059.50 | $ | — | ||||||||
Amortizing intangible assets | 2,375.10 | 257.4 | 2,376.10 | 230.7 | ||||||||||||
$ | 3,433.00 | $ | 257.4 | $ | 3,435.60 | $ | 230.7 | |||||||||
Non-amortizing intangible assets are comprised of brands and trademarks. | ||||||||||||||||
Amortizing intangible assets, carrying a weighted average life of approximately 23 years, are principally composed of customer relationships, licensing arrangements, and intellectual property. Based on amortizing assets recognized in our Condensed Consolidated Balance Sheet as of August 24, 2014, amortization expense is estimated to average $108.2 million for each of the next five years. |
DERIVATIVE_FINANCIAL_INSTRUMEN
DERIVATIVE FINANCIAL INSTRUMENTS | 3 Months Ended | |||||||||||
Aug. 24, 2014 | ||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||
DERIVATIVE FINANCIAL INSTRUMENTS | ' | |||||||||||
DERIVATIVE FINANCIAL INSTRUMENTS | ||||||||||||
Our operations are exposed to market risks from adverse changes in commodity prices affecting the cost of raw materials and energy, foreign currency exchange rates, and interest rates. In the normal course of business, these risks are managed through a variety of strategies, including the use of derivatives. | ||||||||||||
Commodity and commodity index futures and option contracts are used from time to time to economically hedge commodity input prices on items such as natural gas, vegetable oils, proteins, packaging materials, dairy, grains, and electricity. Generally, we economically hedge a portion of our anticipated consumption of commodity inputs for periods of up to 36 months. We may enter into longer-term economic hedges on particular commodities, if deemed appropriate. As of August 24, 2014, we had economically hedged certain portions of our anticipated consumption of commodity inputs using derivative instruments with expiration dates through March 2016. | ||||||||||||
In order to reduce exposures related to changes in foreign currency exchange rates, we enter into forward exchange, option, or swap contracts from time to time for transactions denominated in a currency other than the applicable functional currency. This includes, but is not limited to, hedging against foreign currency risk in purchasing inventory and capital equipment, sales of finished goods, and future settlement of foreign-denominated assets and liabilities. As of August 24, 2014, we had economically hedged certain portions of our foreign currency risk in anticipated transactions using derivative instruments with expiration dates through May 2017. | ||||||||||||
From time to time, we may use derivative instruments, including interest rate swaps, to reduce risk related to changes in interest rates. This includes, but is not limited to, hedging against increasing interest rates prior to the issuance of long-term debt and hedging the fair value of our senior long-term debt. | ||||||||||||
Derivatives Designated as Cash Flow Hedges | ||||||||||||
During fiscal 2013, we entered into interest rate swap contracts to hedge a portion of the interest rate risk related to our issuance of long-term debt to partially finance the acquisition of Ralcorp. We settled these contracts during the third quarter of fiscal 2013 resulting in a deferred gain of $4.2 million on senior notes maturing in 2043 and a deferred loss of $2.0 million on senior notes maturing in 2023, both recognized in accumulated other comprehensive loss. These amounts are being amortized as a component of net interest expense over the lives of the related debt instruments. The unamortized amounts of the deferred gain and deferred loss at August 24, 2014 were $3.0 million and $1.4 million, respectively. | ||||||||||||
Derivatives Designated as Fair Value Hedges | ||||||||||||
During the third quarter of fiscal 2014, we entered into interest rate swap contracts to hedge the fair value of certain of our senior long-term debt instruments maturing in fiscal 2019 and 2020, effectively converting interest on this debt from fixed rate to floating rate. We designated these interest rate swap contracts as fair value hedges of the debt instruments. | ||||||||||||
Changes in fair value of such derivative instruments are immediately recognized in earnings along with changes in the fair value of the items being hedged (based solely on the change in the benchmark interest rate). In the first quarter of fiscal 2015, we recognized a loss of $2.2 million representing the fair value of the interest rate swap contracts and a gain of $2.5 million representing the change in fair value of the related senior long-term debt. The net gain of $0.3 million is classified within selling, general and administrative expenses. | ||||||||||||
The entire change in fair value of the derivative instruments was included in our assessment of hedge effectiveness. | ||||||||||||
Economic Hedges of Forecasted Cash Flows | ||||||||||||
Many of our derivatives do not qualify for, and we do not currently designate certain commodity or foreign currency derivatives to achieve, hedge accounting treatment. We reflect realized and unrealized gains and losses from derivatives used to economically hedge anticipated commodity consumption and to mitigate foreign currency cash flow risk in earnings immediately within general corporate expense (within cost of goods sold). The gains and losses are reclassified to segment operating results in the period in which the underlying item being economically hedged is recognized in cost of goods sold. | ||||||||||||
Economic Hedges of Fair Values — Foreign Currency Exchange Rate Risk | ||||||||||||
We may use options and cross currency swaps to economically hedge the fair value of certain monetary assets and liabilities (including intercompany balances) denominated in a currency other than the functional currency. These derivatives are marked-to-market with gains and losses immediately recognized in selling, general and administrative expenses. These substantially offset the foreign currency transaction gains or losses recognized as values of the monetary assets or liabilities being economically hedged change. | ||||||||||||
All derivative instruments are recognized on the balance sheets at fair value (refer to Note 16 for additional information related to fair value measurements). The fair value of derivative assets is recognized within prepaid expenses and other current assets, while the fair value of derivative liabilities is recognized within other accrued liabilities. In accordance with generally accepted accounting principles, we offset certain derivative asset and liability balances, as well as certain amounts representing rights to reclaim cash collateral and obligations to return cash collateral, where master netting agreements provide for legal right of setoff. At August 24, 2014, $18.0 million, representing a right to reclaim cash collateral, was included in prepaid expenses and other current assets, and at May 25, 2014, $6.2 million, representing an obligation to return cash collateral, was included in other accrued liabilities in our Condensed Consolidated Balance Sheets. | ||||||||||||
Derivative assets and liabilities and amounts representing a right to reclaim cash collateral or obligation to return cash collateral were reflected in our Condensed Consolidated Balance Sheets as follows: | ||||||||||||
August 24, | May 25, | |||||||||||
2014 | 2014 | |||||||||||
Prepaid expenses and other current assets | $ | 31.2 | $ | 38.8 | ||||||||
Other accrued liabilities | 13.1 | 10.4 | ||||||||||
The following table presents our derivative assets and liabilities, at August 24, 2014, on a gross basis, prior to the setoff of $0.4 million to total derivative assets and $17.6 million to total derivative liabilities where legal right of setoff existed: | ||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | |||||||||
Location | Location | |||||||||||
Interest rate swap contracts | Prepaid expenses and other current assets | $ | 6.9 | Other accrued liabilities | $ | — | ||||||
Total derivatives designated as hedging instruments | $ | 6.9 | $ | — | ||||||||
Commodity contracts | Prepaid expenses and other current assets | $ | 12.1 | Other accrued liabilities | $ | 30.7 | ||||||
Foreign exchange contracts | Prepaid expenses and other current assets | 10.9 | Other accrued liabilities | — | ||||||||
Other | Prepaid expenses and other current assets | 0.9 | Other accrued liabilities | — | ||||||||
Total derivatives not designated as hedging instruments | $ | 23.9 | $ | 30.7 | ||||||||
Total derivatives | $ | 30.8 | $ | 30.7 | ||||||||
The following table presents our derivative assets and liabilities at May 25, 2014, on a gross basis, prior to the setoff of $13.0 million to total derivative assets and $6.8 million to total derivative liabilities where legal right of setoff existed: | ||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | |||||||||
Location | Location | |||||||||||
Interest rate swap contracts | Prepaid expenses and other current assets | $ | 9.1 | Other accrued liabilities | $ | — | ||||||
Total derivatives designated as hedging instruments | $ | 9.1 | $ | — | ||||||||
Commodity contracts | Prepaid expenses and other current assets | $ | 28.6 | Other accrued liabilities | $ | 13.9 | ||||||
Foreign exchange contracts | Prepaid expenses and other current assets | 13.4 | Other accrued liabilities | 3.3 | ||||||||
Other | Prepaid expenses and other current assets | 0.7 | Other accrued liabilities | — | ||||||||
Total derivatives not designated as hedging instruments | $ | 42.7 | $ | 17.2 | ||||||||
Total derivatives | $ | 51.8 | $ | 17.2 | ||||||||
The location and amount of gains (losses) from derivatives not designated as hedging instruments in our Condensed Consolidated Statements of Earnings were as follows: | ||||||||||||
Derivatives Not Designated as Hedging Instruments | Location in Condensed Consolidated Statement of Earnings of | Amount of Gain (Loss) | ||||||||||
Gain (Loss) Recognized on Derivatives | Recognized on Derivatives | |||||||||||
in Condensed Consolidated | ||||||||||||
Statement of Earnings for | ||||||||||||
the Thirteen Weeks Ended | ||||||||||||
August 24, 2014 | August 25, 2013 | |||||||||||
Commodity contracts | Cost of goods sold | (38.6 | ) | (15.5 | ) | |||||||
Foreign exchange contracts | Cost of goods sold | 0.3 | (1.2 | ) | ||||||||
Foreign exchange contracts | Selling, general and administrative expense | 0.3 | 0.6 | |||||||||
Interest rate contracts | Selling, general and administrative expense | (1.4 | ) | — | ||||||||
Total loss from derivative instruments not designated as hedging instruments | $ | (39.4 | ) | $ | (16.1 | ) | ||||||
As of August 24, 2014, our open commodity contracts had a notional value (defined as notional quantity times market value per notional quantity unit) of $1.1 billion for both purchase and sales contracts. As of May 25, 2014, our open commodity contracts had a notional value of $1.4 billion for both purchase and sales contracts. The notional amount of our foreign currency forward and cross currency swap contracts as of August 24, 2014 and May 25, 2014 was $113.5 million and $170.1 million, respectively. | ||||||||||||
We enter into certain commodity, interest rate, and foreign exchange derivatives with a diversified group of counterparties. We continually monitor our positions and the credit ratings of the counterparties involved and limit the amount of credit exposure to any one party. These transactions may expose us to potential losses due to the risk of nonperformance by these counterparties. We have not incurred a material loss due to nonperformance in any period presented and do not expect to incur any such material loss. We also enter into futures and options transactions through various regulated exchanges. | ||||||||||||
At August 24, 2014, the maximum amount of loss due to the credit risk of the counterparties, had the counterparties failed to perform according to the terms of the contracts, was $18.7 million. |
SHAREBASED_PAYMENTS
SHARE-BASED PAYMENTS | 3 Months Ended | |
Aug. 24, 2014 | ||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |
SHARE-BASED PAYMENTS | ' | |
SHARE-BASED PAYMENTS | ||
For the first quarter of fiscal 2015 and 2014, we recognized total stock-based compensation expense (including stock options, restricted stock units, cash-settled restricted stock units, and performance shares) of continuing and discontinued operations of $17.1 million and $17.4 million, respectively. Included in the total stock-based compensation expense for the first quarter of fiscal 2015 was $0.4 million related to restricted stock units and cash-settled restricted stock units granted to employees of Ardent Mills prior to formation of the joint venture. Also included in the total stock-based compensation expense for the first quarter of fiscal 2015 and 2014 was $0.3 million and $0.2 million, respectively, related to stock options granted by a subsidiary in the subsidiary's shares to the subsidiary's employees. For the first quarter of fiscal 2015, we granted 0.7 million restricted stock units at a weighted average grant date price of $30.94, 0.9 million cash-settled restricted stock units at a weighted average grant date price of $30.89, 3.8 million stock options at a weighted average exercise price of $30.89, and 0.4 million performance shares at a weighted average grant date price of $30.89. | ||
Performance shares are granted to selected executives and other key employees with vesting contingent upon meeting various Company-wide performance goals. The performance goals for the performance period ending in fiscal 2015 are based upon our operating cash flow return on operations, a measure of operating cash flow as a percentage of invested capital, and revenue growth, each measured over a defined performance period. The performance goals for the performance periods ending in fiscal 2016 and 2017 are based upon our earnings before interest, taxes, depreciation, and amortization ("EBITDA") return on capital, and revenue growth, each measured over the defined performance period. The awards actually earned will range from zero to two hundred twenty percent of the targeted number of performance shares for each of the performance periods. A payout equal to 25% of approved target incentive is required to be paid out if we achieve a threshold level of cash flow return on operations for the performance period ending in fiscal 2015, and a threshold level of EBITDA return on capital for the performance periods ending in fiscal 2016 and 2017. Awards, if earned, will be paid in shares of our common stock. Subject to limited exceptions set forth in the performance share plan, any shares earned will be distributed at the end of the performance period. The value of the performance shares is adjusted based upon the market price of our common stock at the end of each reporting period and amortized as compensation expense over the vesting period. | ||
The weighted average Black-Scholes assumptions for stock options granted during the first quarter of fiscal 2015 were as follows: | ||
Expected volatility (%) | 17.44 | |
Dividend yield (%) | 3.12 | |
Risk-free interest rate (%) | 1.62 | |
Expected life of stock option (years) | 4.92 | |
The weighted average value of stock options granted during the first quarter of fiscal 2015 was $3.28 per option based upon a Black-Scholes methodology. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Earnings Per Share [Abstract] | ' | |||||||
EARNINGS PER SHARE | ' | |||||||
EARNINGS PER SHARE | ||||||||
Basic earnings per share is calculated on the basis of weighted average outstanding common shares. Diluted earnings per share is computed on the basis of basic weighted average outstanding common shares adjusted for the dilutive effect of stock options, restricted stock unit awards, and other dilutive securities. | ||||||||
The following table reconciles the income and average share amounts used to compute both basic and diluted earnings per share: | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Net income available to ConAgra Foods, Inc. common stockholders: | ||||||||
Income from continuing operations attributable to ConAgra Foods, Inc. common stockholders | $ | 109 | $ | 130.5 | ||||
Income from discontinued operations, net of tax, attributable to ConAgra Foods, Inc. common stockholders | 373.3 | 13.8 | ||||||
Net income attributable to ConAgra Foods, Inc. common stockholders | $ | 482.3 | $ | 144.3 | ||||
Less: Increase in redemption value of noncontrolling interests in excess of earnings allocated | 0.4 | 0.4 | ||||||
Net income available to ConAgra Foods, Inc. common stockholders | $ | 481.9 | $ | 143.9 | ||||
Weighted average shares outstanding: | ||||||||
Basic weighted average shares outstanding | 423.9 | 421.1 | ||||||
Add: Dilutive effect of stock options, restricted stock unit awards, and other dilutive securities | 5.4 | 7.1 | ||||||
Diluted weighted average shares outstanding | 429.3 | 428.2 | ||||||
For the first quarter of fiscal 2015 and 2014, there were 4.8 million and 1.7 million stock options outstanding, respectively, that were excluded from the computation of shares contingently issuable upon the exercise of stock options because exercise prices exceeded the average market value of our common stock during the period. |
INVENTORIES
INVENTORIES | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
INVENTORIES | ' | |||||||
INVENTORIES | ||||||||
The major classes of inventories were as follows: | ||||||||
August 24, | May 25, | |||||||
2014 | 2014 | |||||||
Raw materials and packaging | $ | 469.1 | $ | 498.6 | ||||
Work in process | 136.7 | 118.6 | ||||||
Finished goods | 1,477.20 | 1,335.30 | ||||||
Supplies and other | 127.3 | 124.5 | ||||||
Total | $ | 2,210.30 | $ | 2,077.00 | ||||
INCOME_TAXES
INCOME TAXES | 3 Months Ended |
Aug. 24, 2014 | |
Income Tax Disclosure [Abstract] | ' |
INCOME TAXES | ' |
INCOME TAXES | |
Our income tax expense from continuing operations for the first quarter of fiscal 2015 and 2014 was $42.5 million and $28.9 million, respectively. The effective tax rate (calculated as the ratio of income tax expense to pre-tax income from continuing operations, inclusive of equity method investment earnings) from continuing operations was approximately 28% and 18% for the first quarter of fiscal 2015 and 2014, respectively. The effective tax rate for the first quarter of fiscal 2015 reflects the resolution of uncertain tax positions. The low effective tax rate for the first quarter of fiscal 2014 was primarily due to a change in estimate related to the tax methods used for certain international sales, a change in deferred state tax rates relating to the integration of Ralcorp activity for tax purposes, and the settlement of a tax issue in Mexico that was previously reserved. | |
The amount of gross unrecognized tax benefits for uncertain tax positions, including positions impacting only the timing of tax benefits, was $75.1 million as of August 24, 2014 and $84.9 million as of May 25, 2014. Included in the balance was $8.2 million as of both August 24, 2014 and May 25, 2014, for tax positions for which the ultimate deductibility is highly certain but for which there is uncertainty about the timing of such deductibility. Because of the impact of deferred tax accounting, the disallowance of the shorter deductibility period would not affect the annual effective tax rate but would accelerate the payment of cash to the taxing authority to an earlier period. Any associated interest and penalties imposed would affect the tax rate. The gross unrecognized tax benefits excluded related liabilities for gross interest and penalties of $26.9 million and $29.6 million as of August 24, 2014 and May 25, 2014, respectively. | |
The net amount of unrecognized tax benefits at August 24, 2014 and May 25, 2014 that, if recognized, would impact the Company's effective tax rate was $44.1 million and $50.8 million, respectively. Recognition of these tax benefits would have a favorable impact on the Company's effective tax rate. | |
We estimate that it is reasonably possible that the amount of gross unrecognized tax benefits will decrease by up to $19.7 million over the next twelve months due to various federal, state, and foreign audit settlements and the expiration of statutes of limitations. |
CONTINGENCIES
CONTINGENCIES | 3 Months Ended |
Aug. 24, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
CONTINGENCIES | ' |
CONTINGENCIES | |
In fiscal 1991, we acquired Beatrice Company ("Beatrice"). As a result of the acquisition of Beatrice and the significant pre-acquisition contingencies of the Beatrice businesses and its former subsidiaries, our condensed consolidated post-acquisition financial statements reflect liabilities associated with the estimated resolution of these contingencies. These include various litigation and environmental proceedings related to businesses divested by Beatrice prior to its acquisition by us. The litigation includes suits against a number of lead paint and pigment manufacturers, including ConAgra Grocery Products Company, a wholly owned subsidiary of the Company ("ConAgra Grocery Products"), and the Company as alleged successors to W. P. Fuller Co., a lead paint and pigment manufacturer owned and operated by Beatrice until 1967. Although decisions favorable to us have been rendered in Rhode Island, New Jersey, Wisconsin, and Ohio, we remain a defendant in active suits in Illinois and California. The Illinois suit seeks class-wide relief for reimbursement of costs associated with the testing of lead levels in blood. In California, a number of cities and counties have joined in a consolidated action seeking abatement of the alleged public nuisance. On September 23, 2013, a trial of the California case concluded in the Superior Court of California for the County of Santa Clara, and on January 27, 2014, the court entered Judgment (the "Judgment") against ConAgra Grocery Products and two other defendants, which orders the creation of a California abatement fund in the amount of $1.15 billion. Liability is joint and several. The Company believes ConAgra Grocery Products did not inherit any liabilities of W. P. Fuller Co. The Company will continue to vigorously defend itself in this case and has appealed the Judgment to The Court of Appeal of the State of California Sixth Appellate District. The Company expects the appeal process will last several years. The absence of any linkage between ConAgra Grocery Products and W. P. Fuller Co. is a critical issue that the Company will continue to advance throughout the appeals process. It is not possible to estimate exposure in this case or the remaining case in Illinois (which is based on different legal theories). If ultimately necessary, the Company will look to its insurance policies for coverage; its carriers are on notice. However, the Company cannot absolutely assure that the final resolution of this matter will not have a material adverse effect on its financial condition, results of operations, or liquidity. | |
The environmental proceedings associated with Beatrice include litigation and administrative proceedings involving Beatrice's status as a potentially responsible party at 37 Superfund, proposed Superfund, or state-equivalent sites. These sites involve locations previously owned or operated by predecessors of Beatrice that used or produced petroleum, pesticides, fertilizers, dyes, inks, solvents, PCBs, acids, lead, sulfur, tannery wastes, and/or other contaminants. Beatrice has paid or is in the process of paying its liability share at 33 of these sites. Reserves for these matters have been established based on our best estimate of the undiscounted remediation liabilities, which estimates include evaluation of investigatory studies, extent of required clean-up, the known volumetric contribution of Beatrice and other potentially responsible parties, and its experience in remediating sites. The reserves for Beatrice-related environmental matters totaled $61.2 million as of August 24, 2014, a majority of which relates to the Superfund and state-equivalent sites referenced above. We expect expenditures for Beatrice-related environmental matters to continue for up to 18 years. | |
In certain limited situations, we will guarantee an obligation of an unconsolidated entity. At the time in which we initially provide such a guarantee, we assess the risk of financial exposure to us under these agreements. We consider the credit-worthiness of the guaranteed party, the value of any collateral pledged against the related obligation, and any other factors that may mitigate our risk. We actively monitor market and entity-specific conditions that may result in a change of our assessment of the risk of loss under these agreements. | |
We guarantee certain leases resulting from the 2002 divestiture of our fresh beef and pork operations. The remaining terms of these arrangements do not exceed two years and the maximum amount of future payments we have guaranteed was $4.7 million as of August 24, 2014. | |
We are a party to various potato supply agreements. Under the terms of certain such potato supply agreements, we have guaranteed repayment of short-term bank loans of the potato suppliers, under certain conditions. At August 24, 2014, the amount of supplier loans we have effectively guaranteed was $56.7 million. We have not established a liability for these guarantees, as we have determined that the likelihood of our required performance under the guarantees is remote. | |
We were a party to a supply agreement with an onion processing company where we had guaranteed, under certain conditions, repayment of a secured loan (the "Secured Loan") of this onion products supplier to the supplier's lender. The amount of our guarantee was $25.0 million. During the fourth quarter of fiscal 2012, we received notice from the lender that the supplier had defaulted on the Secured Loan and we exercised our option to purchase the Secured Loan from the lender for $40.8 million, thereby assuming first-priority secured rights to the underlying collateral for the amount of the Secured Loan, and cancelling our guarantee. The supplier filed for bankruptcy during the fourth quarter of fiscal 2012 and during the second quarter of fiscal 2013, we acquired ownership and all rights to the underlying collateral, consisting of agricultural land and an onion processing facility. During the third quarter of fiscal 2013, we recognized an impairment charge of $10.2 million in our Commercial Foods segment to reduce the carrying amount of these assets to their estimated fair value based upon updated appraisals. During the second quarter of fiscal 2014, we recognized an additional impairment charge of $8.9 million in our Commercial Foods segment to reduce the carrying amount of the processing facility to its estimated fair value based upon expected sales proceeds. In the fourth quarter of fiscal 2014, we sold the land and recognized a gain of $5.1 million in our Commercial Foods segment. Based on our estimate of the value of the processing facility, we expect to recover the remaining carrying value through our sale of this asset. | |
Federal income tax credits were generated related to our sweet potato production facility in Delhi, Louisiana. Third parties invested in certain of these income tax credits. We have guaranteed these third parties the face value of these income tax credits over their statutory lives, through fiscal 2017, in the event that the income tax credits are recaptured or reduced. The face value of the income tax credits was $26.7 million as of August 24, 2014. We believe the likelihood of the recapture or reduction of the income tax credits is remote, and therefore we have not established a liability in connection with this guarantee. | |
We are a party to a number of lawsuits and claims arising out of our ongoing business operations. Among these, there are lawsuits, claims, and matters related to the February 2007 recall of our peanut butter products. Among the matters outstanding during fiscal 2014 related to the peanut butter recall is an ongoing investigation by the U.S. Attorney's office in Georgia and the Consumer Protection Branch of the Department of Justice. In fiscal 2011, we received formal requests from the U.S. Attorney's office in Georgia seeking a variety of records and information related to the operations of our peanut butter manufacturing facility in Sylvester, Georgia. These requests relate to the June 2007 execution of a search warrant at our facility following the February 2007 recall. During fiscal 2013 and 2012, we recognized charges of $7.5 million and $17.5 million, respectively, in connection with this matter. We have been and continue to be engaged in ongoing discussions with the U.S. Attorney's office and the Department of Justice in regard to the investigation. We are pursuing a negotiated resolution, which we believe will likely involve a misdemeanor criminal disposition under the Food, Drug & Cosmetics Act. During the fourth quarter of fiscal 2014, we reduced our accrual by $6.7 million and during the first quarter of fiscal 2015, we further reduced our accrual by $5.8 million, based on ongoing discussions with the U.S. Attorney's office and the Department of Justice. After taking into account liabilities recorded for these matters, we believe the ultimate resolution of this matter should not have a material adverse effect on our financial conditions, results of operations, or liquidity. | |
In addition to the investigation noted above, we were previously engaged in litigation against an insurance carrier to recover our settlement expenditures and defense costs associated with the peanut butter recall. During fiscal 2009, we recognized a charge of $24.8 million in connection with the insurance coverage dispute. During the fourth quarter of fiscal 2013, we reached a settlement on the insurance dispute, pursuant to which we were paid $25.0 million, in addition to retaining the defense costs previously reimbursed to us. We recognized the $25.0 million in income as a reduction to selling, general and administrative ("SG&A") expenses during fiscal 2013. In the fourth quarter of fiscal 2014, we received an additional reimbursement of settlement and defense costs of $3.5 million related to this matter, which was recognized in income as a reduction to SG&A expenses. | |
In June 2009, an accidental explosion occurred at our manufacturing facility in Garner, North Carolina. This facility was the primary production facility for our Slim Jim® branded meat snacks. In June 2009, the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives announced its determination that the explosion was the result of an accidental natural gas release, and not a deliberate act. During the fourth quarter of fiscal 2011, we settled our property and business interruption claims related to the Garner accident with our insurance providers. During the fourth quarter of fiscal 2011, Jacobs Engineering Group Inc., our engineer and project manager at the site, filed a declaratory judgment action against us seeking indemnity for personal injury claims brought against it as a result of the accident. In the first quarter of fiscal 2012, our motion for summary judgment was granted and the suit was dismissed without prejudice on the basis that the suit was filed prematurely. In the third quarter of fiscal 2014, Jacobs Engineering Group Inc. refiled its action for indemnity. We will continue to defend this action vigorously. Any exposure in this case is expected to be limited to the applicable insurance deductible. | |
In April 2010, an accidental explosion occurred at our flour milling facility in Chester, Illinois. Two employees of a subcontractor and one employee of the primary contractor, Westside Salvage ("Westside"), on the site at the time of the accident suffered injuries. Suit was initiated against Westside and the Company for personal injury claims. During the first quarter of fiscal 2013, a jury in Federal Court sitting in East St. Louis, Illinois, returned a verdict against the Company and Westside and in favor of the three employees. The verdict was in the amount of $77.5 million in compensatory damages apportioned between the Company and Westside and $100.0 million in punitive damages against the Company. Post-trial motions were filed by the Company and the trial court reduced the punitive award by approximately $7 million. We filed an appeal with the Seventh Federal Circuit Court of Appeals on the verdict and the damages in the third quarter of fiscal 2013. The appeal was argued in the second quarter of fiscal 2014 and on September 9, 2014, the Court of Appeals rendered a unanimous decision reversing the judgment against the Company in its entirety. The decision is potentially subject to further appeal. In the event of an appeal, we will defend this action vigorously and any exposure from an adverse ruling on appeal is expected to be limited to the applicable insurance deductible. | |
We are a party to an agreement with a third party wherein we have rights to the use of certain intellectual property designed to assist the Company in improving the operating efficiency of its manufacturing operations. In connection with this agreement, the Company is required to make yearly payments of $2.5 million to the third party. Beginning in fiscal 2015, the Company may be required to make additional payments to the third party based upon a contractual formula for manufacturing efficiencies achieved in applicable production facilities. Our best estimate of the required payment for fiscal 2015 is $6.0 million. If additional operating efficiencies are attained in future periods, the amount of the payments due to the third party could increase materially. The obligation to make such payments is contingent upon achievement of such operating efficiencies and accordingly, it is not currently possible to determine the ultimate amount of such payments. This agreement requires such contractual payments to occur each year from fiscal 2015 through March of fiscal 2021. | |
After taking into account liabilities recognized for all of the foregoing matters, management believes the ultimate resolution of such matters should not have a material adverse effect on our financial condition, results of operations, or liquidity. It is reasonably possible that a change in one of the estimates of the foregoing matters may occur in the future and, as noted, while unlikely, the lead paint matter could result in a material final judgment. Costs of legal services associated with the foregoing matters are recognized in earnings as services are provided. |
PENSION_AND_POSTRETIREMENT_BEN
PENSION AND POSTRETIREMENT BENEFITS | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | |||||||
PENSION AND POSTRETIREMENT BENEFITS | ' | |||||||
PENSION AND POSTRETIREMENT BENEFITS | ||||||||
We have defined benefit retirement plans ("plans") for eligible salaried and hourly employees. Benefits are based on years of credited service and average compensation or stated amounts for each year of service. We also sponsor postretirement plans which provide certain medical and dental benefits ("other postretirement benefits") to qualifying U.S. employees. | ||||||||
Components of pension benefit and other postretirement benefit costs included: | ||||||||
Pension Benefits | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Service cost | $ | 22.1 | $ | 22.3 | ||||
Interest cost | 40.4 | 37.8 | ||||||
Expected return on plan assets | (67.0 | ) | (63.2 | ) | ||||
Amortization of prior service cost | 0.9 | 0.9 | ||||||
Special termination benefits | 6.9 | — | ||||||
Benefit cost — Company plans | 3.3 | (2.2 | ) | |||||
Pension benefit cost — multi-employer plans | 3.2 | 3.1 | ||||||
Total benefit cost | $ | 6.5 | $ | 0.9 | ||||
Postretirement Benefits | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Service cost | $ | 0.1 | $ | 0.2 | ||||
Interest cost | 2.5 | 2.4 | ||||||
Amortization of prior service cost | (2.0 | ) | (1.8 | ) | ||||
Recognized net actuarial loss | 0.9 | 1.7 | ||||||
Total cost | $ | 1.5 | $ | 2.5 | ||||
During the first quarter of fiscal 2015, we contributed $3.0 million to our pension plans and contributed $4.9 million to our other postretirement plans. Based upon the current funded status of the plans and the current interest rate environment, we anticipate making further contributions of approximately $9.9 million to our pension plans for the remainder of fiscal 2015. We anticipate making further contributions of $20.6 million to our other postretirement plans during the remainder of fiscal 2015. These estimates are based on ERISA guidelines, current tax laws, plan asset performance, and liability assumptions, which are subject to change. | ||||||||
Special termination benefits granted in connection with the formation of Ardent Mills resulted in the recognition of $6.9 million of expense in the first quarter of fiscal 2015. This expense was included in results of discontinued operations. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 3 Months Ended | ||||||||||||||||||||||||||||||
Aug. 24, 2014 | |||||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | ||||||||||||||||||||||||||||||
STOCKHOLDERS' EQUITY | ' | ||||||||||||||||||||||||||||||
STOCKHOLDERS' EQUITY | |||||||||||||||||||||||||||||||
The following table presents a reconciliation of our stockholders' equity accounts for the thirteen weeks ended August 24, 2014: | |||||||||||||||||||||||||||||||
ConAgra Foods, Inc. Stockholders' Equity | |||||||||||||||||||||||||||||||
Common | Common | Additional | Retained | Accumulated | Treasury | Noncontrolling | Total | ||||||||||||||||||||||||
Shares | Stock | Paid-in | Earnings | Other | Stock | Interests | Equity | ||||||||||||||||||||||||
Capital | Comprehensive | ||||||||||||||||||||||||||||||
Income (Loss) | |||||||||||||||||||||||||||||||
Balance at May 25, 2014 | 567.9 | $ | 2,839.70 | $ | 1,036.90 | $ | 5,010.60 | $ | (134.3 | ) | $ | (3,494.4 | ) | $ | 96.7 | $ | 5,355.20 | ||||||||||||||
Stock option and incentive plans | (26.2 | ) | (0.1 | ) | 65.6 | 39.3 | |||||||||||||||||||||||||
Currency translation adjustment | (14.7 | ) | (3.0 | ) | (17.7 | ) | |||||||||||||||||||||||||
Unrealized gain on securities | 0.1 | 0.1 | |||||||||||||||||||||||||||||
Derivative adjustment, net of reclassification adjustment | (0.3 | ) | (0.3 | ) | |||||||||||||||||||||||||||
Activities of noncontrolling interests | (0.4 | ) | (6.7 | ) | (7.1 | ) | |||||||||||||||||||||||||
Pension and postretirement healthcare benefits | 2.7 | 2.7 | |||||||||||||||||||||||||||||
Dividends declared on common stock; $0.25 per share | (106.2 | ) | (106.2 | ) | |||||||||||||||||||||||||||
Net income attributable to ConAgra Foods, Inc. | 482.3 | 482.3 | |||||||||||||||||||||||||||||
Balance at August 24, 2014 | 567.9 | $ | 2,839.70 | $ | 1,010.30 | $ | 5,386.60 | $ | (146.5 | ) | $ | (3,428.8 | ) | $ | 87 | $ | 5,748.30 | ||||||||||||||
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended | |||||||||||||||
Aug. 24, 2014 | ||||||||||||||||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ' | |||||||||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||||||||
FAIR VALUE MEASUREMENTS | ||||||||||||||||
FASB guidance establishes a three-level fair value hierarchy based upon the assumptions (inputs) used to price assets or liabilities. The three levels of inputs used to measure fair value are as follows: | ||||||||||||||||
Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities, | ||||||||||||||||
Level 2 — Observable inputs other than those included in Level 1, such as quoted prices for similar assets and liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets, and | ||||||||||||||||
Level 3 — Unobservable inputs reflecting our own assumptions and best estimate of what inputs market participants would use in pricing the asset or liability. | ||||||||||||||||
The fair values of our Level 2 derivative instruments were determined using valuation models that use market observable inputs including interest rate curves and both forward and spot prices for currencies and commodities. Derivative assets and liabilities included in Level 2 primarily represent commodity and foreign currency option and forward contacts, interest rate swaps, and cross-currency swaps. | ||||||||||||||||
The following table presents our financial assets and liabilities measured at fair value on a recurring basis based upon the level within the fair value hierarchy in which the fair value measurements fall, as of August 24, 2014: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Net Value | |||||||||||||
Assets: | ||||||||||||||||
Derivative assets | $ | 12.5 | $ | 18.7 | $ | — | $ | 31.2 | ||||||||
Available-for-sale securities | 2.2 | — | — | 2.2 | ||||||||||||
Deferred compensation assets | 5.6 | — | — | 5.6 | ||||||||||||
Total assets | $ | 20.3 | $ | 18.7 | $ | — | $ | 39 | ||||||||
Liabilities: | ||||||||||||||||
Derivative liabilities | $ | — | $ | 13.1 | $ | — | $ | 13.1 | ||||||||
Deferred compensation liabilities | 46.2 | — | — | 46.2 | ||||||||||||
Total liabilities | $ | 46.2 | $ | 13.1 | $ | — | $ | 59.3 | ||||||||
The following table presents our financial assets and liabilities measured at fair value on a recurring basis based upon the level within the fair value hierarchy in which the fair value measurements fall, as of May 25, 2014: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Net Value | |||||||||||||
Assets: | ||||||||||||||||
Derivative assets | $ | 8.5 | $ | 30.3 | $ | — | $ | 38.8 | ||||||||
Available-for-sale securities | 2.1 | — | — | 2.1 | ||||||||||||
Deferred compensation assets | 5.6 | — | — | 5.6 | ||||||||||||
Total assets | $ | 16.2 | $ | 30.3 | $ | — | $ | 46.5 | ||||||||
Liabilities: | ||||||||||||||||
Derivative liabilities | $ | — | $ | 10.4 | $ | — | $ | 10.4 | ||||||||
Deferred compensation liabilities | 43.7 | — | — | 43.7 | ||||||||||||
Total liabilities | $ | 43.7 | $ | 10.4 | $ | — | $ | 54.1 | ||||||||
Certain assets and liabilities, including long-lived assets, goodwill, asset retirement obligations, and cost and equity investments are measured at fair value on a nonrecurring basis. There were no significant fair value measurement losses recognized for such assets and liabilities in the periods reported. | ||||||||||||||||
The carrying amount of long-term debt (including current installments) was $7.9 billion as of August 24, 2014 and $8.9 billion as of May 25, 2014. Based on current market rates, the fair value of this debt (level 2 liabilities) at August 24, 2014 and May 25, 2014, was estimated at $8.6 billion and $9.5 billion, respectively. Included in the August 24, 2014 and May 25, 2014 long-term debt carrying amount, and excluded from the above fair value table, is $0.5 billion of hedged debt that, along with the related hedge instruments, is adjusted for changes in fair value based solely on the change in the related benchmark interest rate (see Note 8). |
BUSINESS_SEGMENTS_AND_RELATED_
BUSINESS SEGMENTS AND RELATED INFORMATION | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Segment Reporting [Abstract] | ' | |||||||
BUSINESS SEGMENTS AND RELATED INFORMATION | ' | |||||||
BUSINESS SEGMENTS AND RELATED INFORMATION | ||||||||
We report our operations in three reporting segments: Consumer Foods, Commercial Foods, and Private Brands. | ||||||||
The Consumer Foods reporting segment includes branded food sold in various retail channels primarily in North America. Our food products are found in a variety of categories (meals, entrees, condiments, sides, snacks, and desserts) throughout grocery and convenience stores across frozen, refrigerated, and shelf-stable temperature classes. | ||||||||
The Commercial Foods reporting segment includes commercially branded and private branded food and ingredients, which are sold primarily to commercial, foodservice, food manufacturing, and industrial customers. The segment's primary food items include: frozen potato and sweet potato items and a variety of vegetable, spice, and frozen bakery goods which are sold under brands such as Lamb Weston® and Spicetec Flavors & Seasonings®. | ||||||||
The Private Brands reporting segment principally includes private brand and customized food products which are sold in various retail channels, primarily in North America. The products include a variety of categories including: cereal products, snacks, sauces and spreads, pasta, and frozen bakery products. | ||||||||
We do not aggregate operating segments when determining our reporting segments. | ||||||||
Intersegment sales have been recorded at amounts approximating market. Operating profit for each of the segments is based on net sales less all identifiable operating expenses. General corporate expense, net interest expense, and income taxes have been excluded from segment operations. | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Net sales | ||||||||
Consumer Foods | $ | 1,632.30 | $ | 1,649.40 | ||||
Commercial Foods | 1,088.30 | 1,068.90 | ||||||
Private Brands | 980.4 | 997.5 | ||||||
Total net sales | $ | 3,701.00 | $ | 3,715.80 | ||||
Operating profit | ||||||||
Consumer Foods | $ | 190 | $ | 165 | ||||
Commercial Foods | 121.1 | 137.1 | ||||||
Private Brands | 41.9 | 65.5 | ||||||
Total operating profit | $ | 353 | $ | 367.6 | ||||
Equity method investment earnings | ||||||||
Consumer Foods | $ | 0.3 | $ | 0.4 | ||||
Commercial Foods | 25.3 | 3.7 | ||||||
Total equity method investment earnings | $ | 25.6 | $ | 4.1 | ||||
Operating profit plus equity method investment earnings | ||||||||
Consumer Foods | $ | 190.3 | $ | 165.4 | ||||
Commercial Foods | 146.4 | 140.8 | ||||||
Private Brands | 41.9 | 65.5 | ||||||
Total operating profit plus equity method investment earnings | $ | 378.6 | $ | 371.7 | ||||
General corporate expense | $ | 141.2 | $ | 113.6 | ||||
Interest expense, net | 83.7 | 95.8 | ||||||
Income tax expense | 42.5 | 28.9 | ||||||
Income from continuing operations | $ | 111.2 | $ | 133.4 | ||||
Less: Net income attributable to noncontrolling interests | 2.2 | 2.9 | ||||||
Income from continuing operations attributable to ConAgra Foods, Inc. | $ | 109 | $ | 130.5 | ||||
Presentation of Derivative Gains (Losses) for Economic Hedges of Forecasted Cash Flows in Segment Results | ||||||||
Derivatives used to manage commodity price risk and foreign currency risk are not designated for hedge accounting treatment. We believe these derivatives provide economic hedges of certain forecasted transactions. As such, these derivatives are recognized at fair market value with realized and unrealized gains and losses recognized in general corporate expenses. The gains and losses are subsequently recognized in the operating results of the reporting segments in the period in which the underlying transaction being economically hedged is included in earnings. | ||||||||
The following table presents the net derivative gains (losses) from economic hedges of forecasted commodity consumption and the foreign currency risk of certain forecasted transactions, under this methodology: | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Net derivative losses incurred | $ | (38.3 | ) | $ | (18.1 | ) | ||
Less: Net derivative gains allocated to reporting segments | 12 | 2.8 | ||||||
Net derivative losses recognized in general corporate expenses | $ | (50.3 | ) | $ | (20.9 | ) | ||
Net derivative gains allocated to Consumer Foods | $ | 3.7 | $ | 1.9 | ||||
Net derivative gains allocated to Commercial Foods | 3.1 | 1.7 | ||||||
Net derivative gains (losses) allocated to Private Brands | 5.2 | (0.8 | ) | |||||
Net derivative gains included in segment operating profit | $ | 12 | $ | 2.8 | ||||
As of August 24, 2014, the cumulative amount of net derivative losses from economic hedges that had been recognized in general corporate expenses and not yet allocated to reporting segments was $23.4 million. This amount reflected net losses of $38.3 million incurred during the thirteen weeks ended August 24, 2014, as well as net gains of $14.9 million incurred prior to fiscal 2015. Based on our forecasts of the timing of recognition of the underlying hedged items, we expect to reclassify to segment operating results losses of $20.7 million in fiscal 2015 and losses of $2.7 million to segment operating results in fiscal 2016 and thereafter, respectively. | ||||||||
Other Information | ||||||||
Our largest customer, Wal-Mart Stores, Inc. and its affiliates, accounted for 19% and 18% of consolidated net sales in the first quarter of fiscal 2015 and 2014, respectively, primarily in the Consumer Foods and Private Brands segments. | ||||||||
Wal-Mart Stores, Inc. and its affiliates accounted for approximately 17% and 16% of consolidated net receivables as of August 24, 2014 and May 25, 2014, respectively, primarily in the Consumer Foods and Private Brands segments. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Aug. 24, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Consolidation | ' |
Basis of Consolidation — The condensed consolidated financial statements include the accounts of ConAgra Foods, Inc. and all majority-owned subsidiaries. In addition, the accounts of all variable interest entities for which we have been determined to be the primary beneficiary are included in our condensed consolidated financial statements from the date such determination is made. All significant intercompany investments, accounts, and transactions have been eliminated. | |
Comprehensive Income | ' |
Comprehensive Income — Comprehensive income includes net income, currency translation adjustments, certain derivative-related activity, changes in the value of available-for-sale investments, and changes in prior service cost and net actuarial gains (losses) from pension (for amounts not in excess of the 10% corridor) and post-retirement health care plans. We generally deem our foreign investments to be essentially permanent in nature and we do not provide for taxes on currency translation adjustments arising from converting the investment denominated in a foreign currency to U.S. dollars. When we determine that a foreign investment, as well as undistributed earnings, are no longer permanent in nature, estimated taxes are provided for the related deferred tax liability (asset), if any, resulting from currency translation adjustments. | |
Reclassifications | ' |
Reclassifications — Certain prior year amounts have been reclassified to conform with current year presentation. | |
Use of Estimates | ' |
Use of Estimates — Preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions. These estimates and assumptions affect reported amounts of assets, liabilities, revenues, and expenses as reflected in the condensed consolidated financial statements. Actual results could differ from these estimates. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended | |||||||||
Aug. 24, 2014 | ||||||||||
Accounting Policies [Abstract] | ' | |||||||||
Income tax expense (benefit) on components of other comprehensive income | ' | |||||||||
The following details the income tax expense (benefit) on components of other comprehensive income (loss): | ||||||||||
Thirteen Weeks Ended | ||||||||||
August 24, | August 25, | |||||||||
2014 | 2013 | |||||||||
Net derivative adjustment | $ | (0.2 | ) | $ | 26.9 | |||||
Unrealized gains on available-for-sale securities | — | 0.1 | ||||||||
Pension and postretirement healthcare liabilities | 0.9 | — | ||||||||
$ | 0.7 | $ | 27 | |||||||
Reclassifications from accumulated other comprehensive loss into income | ' | |||||||||
The following table summarizes the reclassifications from accumulated other comprehensive loss into income : | ||||||||||
Thirteen Weeks Ended | Affected Line Item in the Condensed Consolidated Statement of Earnings | |||||||||
24-Aug-14 | 25-Aug-13 | |||||||||
Net derivative adjustment: | ||||||||||
Fair value hedges | $ | — | $ | 0.1 | Interest expense, net | |||||
Cash flow hedges | (0.5 | ) | — | Interest expense, net | ||||||
(0.5 | ) | 0.1 | Total before tax | |||||||
0.2 | — | Income tax expense | ||||||||
$ | (0.3 | ) | $ | 0.1 | Net of tax | |||||
Amortization of pension and postretirement healthcare liabilities: | ||||||||||
Net prior service cost | $ | (1.1 | ) | $ | (0.8 | ) | Selling, general and administrative expenses | |||
Net actuarial losses | 0.9 | 1.6 | Selling, general and administrative expenses | |||||||
(0.2 | ) | 0.8 | Total before tax | |||||||
0.1 | (0.3 | ) | Income tax expense (benefit) | |||||||
$ | (0.1 | ) | $ | 0.5 | Net of tax | |||||
DISCONTINUED_OPERATIONS_OTHER_1
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS (Tables) | 3 Months Ended | ||||||||
Aug. 24, 2014 | |||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||
Schedule of disposal groups, including discontinued operations, income statement, balance sheet and additional disclosures | ' | ||||||||
The summary comparative financial results of discontinued operations were as follows: | |||||||||
Thirteen Weeks Ended | |||||||||
24-Aug-14 | 25-Aug-13 | ||||||||
Net sales | $ | 16.2 | $ | 490.8 | |||||
Net gain on sale of business | 626.5 | — | |||||||
Income (loss) from operations of discontinued operations before income taxes and equity method investment earnings | (13.0 | ) | 19.4 | ||||||
Income before income taxes | 613.5 | 19.4 | |||||||
Income tax expense | 240.2 | 5.7 | |||||||
Equity method investment earnings | — | 0.1 | |||||||
Income from discontinued operations, net of tax | $ | 373.3 | $ | 13.8 | |||||
Assets and liabilities classified as held for sale | ' | ||||||||
The assets and liabilities classified as held for sale reflected in our Condensed Consolidated Balance Sheets were as follows: | |||||||||
August 24, 2014 | May 25, 2014 | ||||||||
Cash and cash equivalents | $ | — | $ | 41.8 | |||||
Receivables, less allowance for doubtful accounts of $0 and $1.2 | — | 172.4 | |||||||
Receivable on sale of flour milling assets | — | 162.4 | |||||||
Inventories | — | 215.6 | |||||||
Prepaid expenses and other current assets | — | 39.5 | |||||||
Current assets held for sale | $ | — | $ | 631.7 | |||||
Property, plant and equipment, net | $ | 10.9 | $ | 186.8 | |||||
Goodwill | — | 8 | |||||||
Brands, trademarks and other intangibles, net | — | 0.9 | |||||||
Other assets | — | 3.2 | |||||||
Noncurrent assets held for sale | $ | 10.9 | $ | 198.9 | |||||
Current installments of long-term debt | $ | — | $ | 0.1 | |||||
Accounts payable | — | 143.1 | |||||||
Accrued payroll | — | 2.3 | |||||||
Other accrued liabilities | — | 19.3 | |||||||
Current liabilities held for sale | $ | — | $ | 164.8 | |||||
Senior long-term debt, excluding current installments | $ | — | $ | 0.1 | |||||
Other noncurrent liabilities | — | 1.9 | |||||||
Noncurrent liabilities held for sale | $ | — | $ | 2 | |||||
RESTRUCTURING_ACTIVITIES_Table
RESTRUCTURING ACTIVITIES (Tables) | 3 Months Ended | |||||||||||||||||||
Aug. 24, 2014 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
Summary of expected realization and incurred restructuring pre-tax expenses | ' | |||||||||||||||||||
During the first quarter of fiscal 2015, we recognized the following pre-tax expenses for the SCAE Plan: | ||||||||||||||||||||
Consumer Foods | Commercial Foods | Private Brands | Corporate | Total | ||||||||||||||||
Multi-employer pension costs | $ | — | $ | — | $ | — | $ | 0.2 | $ | 0.2 | ||||||||||
Other cost of goods sold | — | — | 0.6 | — | 0.6 | |||||||||||||||
Total cost of goods sold | — | — | 0.6 | 0.2 | 0.8 | |||||||||||||||
Severance and related costs | 1.4 | 4.3 | 0.7 | 0.1 | 6.5 | |||||||||||||||
Asset impairment | — | — | 1.9 | — | 1.9 | |||||||||||||||
Accelerated depreciation | 7.5 | — | 0.5 | 0.7 | 8.7 | |||||||||||||||
Other selling, general and administrative expenses | 0.3 | — | 2.3 | 0.6 | 3.2 | |||||||||||||||
Total selling, general and administrative expenses | 9.2 | 4.3 | 5.4 | 1.4 | 20.3 | |||||||||||||||
Consolidated total | $ | 9.2 | $ | 4.3 | $ | 6 | $ | 1.6 | $ | 21.1 | ||||||||||
Included in the above results are $9.9 million of charges that have resulted or will result in cash outflows and $11.2 million in non-cash charges. | ||||||||||||||||||||
We recognized the following cumulative (plan inception to August 24, 2014) pre-tax expenses related to the SCAE Plan in our Condensed Consolidated Statement of Earnings: | ||||||||||||||||||||
Consumer Foods | Commercial Foods | Private Brands | Corporate | Total | ||||||||||||||||
Multi-employer pension costs | $ | — | $ | — | $ | — | $ | 11.4 | $ | 11.4 | ||||||||||
Other cost of goods sold | 0.8 | — | 1.2 | — | 2 | |||||||||||||||
Total cost of goods sold | 0.8 | — | 1.2 | 11.4 | 13.4 | |||||||||||||||
Severance and related costs | 14.1 | 9.1 | 9.6 | 42.7 | 75.5 | |||||||||||||||
Asset impairment | 0.3 | — | 5.8 | — | 6.1 | |||||||||||||||
Accelerated depreciation | 9.9 | — | 15.6 | 1.3 | 26.8 | |||||||||||||||
Other selling, general and administrative expenses | 0.3 | — | 7.3 | 3.8 | 11.4 | |||||||||||||||
Total selling, general and administrative expenses | 24.6 | 9.1 | 38.3 | 47.8 | 119.8 | |||||||||||||||
Consolidated total | $ | 25.4 | $ | 9.1 | $ | 39.5 | $ | 59.2 | $ | 133.2 | ||||||||||
Liabilities recorded for the restructuring and changes therein | ' | |||||||||||||||||||
Liabilities recorded for the SCAE Plan and changes therein for the first quarter of fiscal 2015 were as follows: | ||||||||||||||||||||
Balance at May 25, | Costs Incurred | Costs Paid | Changes in Estimates | Balance at August 24, | ||||||||||||||||
2014 | and Charged | or Otherwise Settled | 2014 | |||||||||||||||||
to Expense | ||||||||||||||||||||
Severance | $ | 46.9 | $ | 7 | $ | (23.1 | ) | $ | (0.5 | ) | $ | 30.3 | ||||||||
Multi-employer pension and other costs | 11.2 | — | — | 0.2 | 11.4 | |||||||||||||||
Other costs | 6 | 4.3 | (5.0 | ) | (1.1 | ) | 4.2 | |||||||||||||
Total | $ | 64.1 | $ | 11.3 | $ | (28.1 | ) | $ | (1.4 | ) | $ | 45.9 | ||||||||
LONGTERM_DEBT_Tables
LONG-TERM DEBT (Tables) | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Net Interest Expense | ' | |||||||
Net interest expense consists of: | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Long-term debt | $ | 85.6 | $ | 99.7 | ||||
Short-term debt | 0.5 | 0.3 | ||||||
Interest income | (0.5 | ) | (0.5 | ) | ||||
Interest capitalized | (1.9 | ) | (3.7 | ) | ||||
$ | 83.7 | $ | 95.8 | |||||
VARIABLE_INTEREST_ENTITIES_Tab
VARIABLE INTEREST ENTITIES (Tables) | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Variable Interest Entity, Measure of Activity [Abstract] | ' | |||||||
Variable Interest Entities Reflected on Condensed Consolidated Balance Sheets | ' | |||||||
Due to the consolidation of this variable interest entity, we reflected in our Condensed Consolidated Balance Sheets: | ||||||||
August 24, | May 25, | |||||||
2014 | 2014 | |||||||
Cash and cash equivalents | $ | 13.9 | $ | 17.7 | ||||
Receivables, less allowance for doubtful accounts | 21.3 | 19.1 | ||||||
Inventories | 1.5 | 1.4 | ||||||
Prepaid expenses and other current assets | 0.1 | 0.3 | ||||||
Property, plant and equipment, net | 51 | 51.8 | ||||||
Goodwill | 18.8 | 18.8 | ||||||
Brands, trademarks and other intangibles, net | 6.5 | 6.7 | ||||||
Total assets | $ | 113.1 | $ | 115.8 | ||||
Accounts payable | $ | 13.8 | $ | 11.7 | ||||
Accrued payroll | 0.8 | 0.5 | ||||||
Other accrued liabilities | 0.7 | 0.6 | ||||||
Other noncurrent liabilities (noncontrolling interest) | 28.9 | 33.3 | ||||||
Total liabilities | $ | 44.2 | $ | 46.1 | ||||
GOODWILL_AND_OTHER_IDENTIFIABL1
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS (Tables) | 3 Months Ended | |||||||||||||||
Aug. 24, 2014 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Change in Carrying Amount of Goodwill | ' | |||||||||||||||
The change in the carrying amount of goodwill for the first quarter of fiscal 2015 was as follows: | ||||||||||||||||
Consumer | Commercial | Private Brands | Total | |||||||||||||
Foods | Foods | |||||||||||||||
Balance as of May 25, 2014 | $ | 3,748.50 | $ | 865.4 | $ | 3,214.60 | $ | 7,828.50 | ||||||||
Acquisitions | — | 15.9 | — | 15.9 | ||||||||||||
Currency translation and purchase accounting adjustments | (4.8 | ) | — | (1.6 | ) | (6.4 | ) | |||||||||
Balance as of August 24, 2014 | $ | 3,743.70 | $ | 881.3 | $ | 3,213.00 | $ | 7,838.00 | ||||||||
Other Identifiable Intangible Assets | ' | |||||||||||||||
Other identifiable intangible assets were as follows: | ||||||||||||||||
August 24, 2014 | May 25, 2014 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Non-amortizing intangible assets | $ | 1,057.90 | $ | — | $ | 1,059.50 | $ | — | ||||||||
Amortizing intangible assets | 2,375.10 | 257.4 | 2,376.10 | 230.7 | ||||||||||||
$ | 3,433.00 | $ | 257.4 | $ | 3,435.60 | $ | 230.7 | |||||||||
DERIVATIVE_FINANCIAL_INSTRUMEN1
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended | |||||||||||
Aug. 24, 2014 | ||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||
Derivative Assets and Liabilities and Amounts Representing Right to Reclaim Cash Collateral Were Reflected in Balance Sheets | ' | |||||||||||
Derivative assets and liabilities and amounts representing a right to reclaim cash collateral or obligation to return cash collateral were reflected in our Condensed Consolidated Balance Sheets as follows: | ||||||||||||
August 24, | May 25, | |||||||||||
2014 | 2014 | |||||||||||
Prepaid expenses and other current assets | $ | 31.2 | $ | 38.8 | ||||||||
Other accrued liabilities | 13.1 | 10.4 | ||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Gross, Fair Value | ' | |||||||||||
The following table presents our derivative assets and liabilities, at August 24, 2014, on a gross basis, prior to the setoff of $0.4 million to total derivative assets and $17.6 million to total derivative liabilities where legal right of setoff existed: | ||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | |||||||||
Location | Location | |||||||||||
Interest rate swap contracts | Prepaid expenses and other current assets | $ | 6.9 | Other accrued liabilities | $ | — | ||||||
Total derivatives designated as hedging instruments | $ | 6.9 | $ | — | ||||||||
Commodity contracts | Prepaid expenses and other current assets | $ | 12.1 | Other accrued liabilities | $ | 30.7 | ||||||
Foreign exchange contracts | Prepaid expenses and other current assets | 10.9 | Other accrued liabilities | — | ||||||||
Other | Prepaid expenses and other current assets | 0.9 | Other accrued liabilities | — | ||||||||
Total derivatives not designated as hedging instruments | $ | 23.9 | $ | 30.7 | ||||||||
Total derivatives | $ | 30.8 | $ | 30.7 | ||||||||
The following table presents our derivative assets and liabilities at May 25, 2014, on a gross basis, prior to the setoff of $13.0 million to total derivative assets and $6.8 million to total derivative liabilities where legal right of setoff existed: | ||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | |||||||||
Location | Location | |||||||||||
Interest rate swap contracts | Prepaid expenses and other current assets | $ | 9.1 | Other accrued liabilities | $ | — | ||||||
Total derivatives designated as hedging instruments | $ | 9.1 | $ | — | ||||||||
Commodity contracts | Prepaid expenses and other current assets | $ | 28.6 | Other accrued liabilities | $ | 13.9 | ||||||
Foreign exchange contracts | Prepaid expenses and other current assets | 13.4 | Other accrued liabilities | 3.3 | ||||||||
Other | Prepaid expenses and other current assets | 0.7 | Other accrued liabilities | — | ||||||||
Total derivatives not designated as hedging instruments | $ | 42.7 | $ | 17.2 | ||||||||
Total derivatives | $ | 51.8 | $ | 17.2 | ||||||||
Location and Amount of Gains (Losses) from Derivatives Not Designated as Hedging Instruments in Condensed Consolidated Statements of Earnings | ' | |||||||||||
The location and amount of gains (losses) from derivatives not designated as hedging instruments in our Condensed Consolidated Statements of Earnings were as follows: | ||||||||||||
Derivatives Not Designated as Hedging Instruments | Location in Condensed Consolidated Statement of Earnings of | Amount of Gain (Loss) | ||||||||||
Gain (Loss) Recognized on Derivatives | Recognized on Derivatives | |||||||||||
in Condensed Consolidated | ||||||||||||
Statement of Earnings for | ||||||||||||
the Thirteen Weeks Ended | ||||||||||||
August 24, 2014 | August 25, 2013 | |||||||||||
Commodity contracts | Cost of goods sold | (38.6 | ) | (15.5 | ) | |||||||
Foreign exchange contracts | Cost of goods sold | 0.3 | (1.2 | ) | ||||||||
Foreign exchange contracts | Selling, general and administrative expense | 0.3 | 0.6 | |||||||||
Interest rate contracts | Selling, general and administrative expense | (1.4 | ) | — | ||||||||
Total loss from derivative instruments not designated as hedging instruments | $ | (39.4 | ) | $ | (16.1 | ) |
SHAREBASED_PAYMENTS_Tables
SHARE-BASED PAYMENTS (Tables) | 3 Months Ended | |
Aug. 24, 2014 | ||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |
Weighted Average Black-Scholes Assumptions for Stock Options Granted | ' | |
The weighted average Black-Scholes assumptions for stock options granted during the first quarter of fiscal 2015 were as follows: | ||
Expected volatility (%) | 17.44 | |
Dividend yield (%) | 3.12 | |
Risk-free interest rate (%) | 1.62 | |
Expected life of stock option (years) | 4.92 |
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Earnings Per Share [Abstract] | ' | |||||||
Schedule of Reconciliation of Income and Average Share Amounts to Compute Basic and Diluted Earnings Per Share | ' | |||||||
The following table reconciles the income and average share amounts used to compute both basic and diluted earnings per share: | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Net income available to ConAgra Foods, Inc. common stockholders: | ||||||||
Income from continuing operations attributable to ConAgra Foods, Inc. common stockholders | $ | 109 | $ | 130.5 | ||||
Income from discontinued operations, net of tax, attributable to ConAgra Foods, Inc. common stockholders | 373.3 | 13.8 | ||||||
Net income attributable to ConAgra Foods, Inc. common stockholders | $ | 482.3 | $ | 144.3 | ||||
Less: Increase in redemption value of noncontrolling interests in excess of earnings allocated | 0.4 | 0.4 | ||||||
Net income available to ConAgra Foods, Inc. common stockholders | $ | 481.9 | $ | 143.9 | ||||
Weighted average shares outstanding: | ||||||||
Basic weighted average shares outstanding | 423.9 | 421.1 | ||||||
Add: Dilutive effect of stock options, restricted stock unit awards, and other dilutive securities | 5.4 | 7.1 | ||||||
Diluted weighted average shares outstanding | 429.3 | 428.2 | ||||||
INVENTORIES_Tables
INVENTORIES (Tables) | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Major Classes of Inventories | ' | |||||||
The major classes of inventories were as follows: | ||||||||
August 24, | May 25, | |||||||
2014 | 2014 | |||||||
Raw materials and packaging | $ | 469.1 | $ | 498.6 | ||||
Work in process | 136.7 | 118.6 | ||||||
Finished goods | 1,477.20 | 1,335.30 | ||||||
Supplies and other | 127.3 | 124.5 | ||||||
Total | $ | 2,210.30 | $ | 2,077.00 | ||||
PENSION_AND_POSTRETIREMENT_BEN1
PENSION AND POSTRETIREMENT BENEFITS (Tables) | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | |||||||
Components of Pension Benefit and Other Postretirement Benefit Costs | ' | |||||||
Components of pension benefit and other postretirement benefit costs included: | ||||||||
Pension Benefits | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Service cost | $ | 22.1 | $ | 22.3 | ||||
Interest cost | 40.4 | 37.8 | ||||||
Expected return on plan assets | (67.0 | ) | (63.2 | ) | ||||
Amortization of prior service cost | 0.9 | 0.9 | ||||||
Special termination benefits | 6.9 | — | ||||||
Benefit cost — Company plans | 3.3 | (2.2 | ) | |||||
Pension benefit cost — multi-employer plans | 3.2 | 3.1 | ||||||
Total benefit cost | $ | 6.5 | $ | 0.9 | ||||
Postretirement Benefits | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Service cost | $ | 0.1 | $ | 0.2 | ||||
Interest cost | 2.5 | 2.4 | ||||||
Amortization of prior service cost | (2.0 | ) | (1.8 | ) | ||||
Recognized net actuarial loss | 0.9 | 1.7 | ||||||
Total cost | $ | 1.5 | $ | 2.5 | ||||
STOCKHOLDERS_EQUITY_Tables
STOCKHOLDERS' EQUITY (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||||
Aug. 24, 2014 | |||||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | ||||||||||||||||||||||||||||||
Reconciliation of Stockholders Equity | ' | ||||||||||||||||||||||||||||||
The following table presents a reconciliation of our stockholders' equity accounts for the thirteen weeks ended August 24, 2014: | |||||||||||||||||||||||||||||||
ConAgra Foods, Inc. Stockholders' Equity | |||||||||||||||||||||||||||||||
Common | Common | Additional | Retained | Accumulated | Treasury | Noncontrolling | Total | ||||||||||||||||||||||||
Shares | Stock | Paid-in | Earnings | Other | Stock | Interests | Equity | ||||||||||||||||||||||||
Capital | Comprehensive | ||||||||||||||||||||||||||||||
Income (Loss) | |||||||||||||||||||||||||||||||
Balance at May 25, 2014 | 567.9 | $ | 2,839.70 | $ | 1,036.90 | $ | 5,010.60 | $ | (134.3 | ) | $ | (3,494.4 | ) | $ | 96.7 | $ | 5,355.20 | ||||||||||||||
Stock option and incentive plans | (26.2 | ) | (0.1 | ) | 65.6 | 39.3 | |||||||||||||||||||||||||
Currency translation adjustment | (14.7 | ) | (3.0 | ) | (17.7 | ) | |||||||||||||||||||||||||
Unrealized gain on securities | 0.1 | 0.1 | |||||||||||||||||||||||||||||
Derivative adjustment, net of reclassification adjustment | (0.3 | ) | (0.3 | ) | |||||||||||||||||||||||||||
Activities of noncontrolling interests | (0.4 | ) | (6.7 | ) | (7.1 | ) | |||||||||||||||||||||||||
Pension and postretirement healthcare benefits | 2.7 | 2.7 | |||||||||||||||||||||||||||||
Dividends declared on common stock; $0.25 per share | (106.2 | ) | (106.2 | ) | |||||||||||||||||||||||||||
Net income attributable to ConAgra Foods, Inc. | 482.3 | 482.3 | |||||||||||||||||||||||||||||
Balance at August 24, 2014 | 567.9 | $ | 2,839.70 | $ | 1,010.30 | $ | 5,386.60 | $ | (146.5 | ) | $ | (3,428.8 | ) | $ | 87 | $ | 5,748.30 | ||||||||||||||
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended | |||||||||||||||
Aug. 24, 2014 | ||||||||||||||||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ' | |||||||||||||||
Fair Value of Assets and Liabilities Measured on Recurring Basis | ' | |||||||||||||||
The following table presents our financial assets and liabilities measured at fair value on a recurring basis based upon the level within the fair value hierarchy in which the fair value measurements fall, as of August 24, 2014: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Net Value | |||||||||||||
Assets: | ||||||||||||||||
Derivative assets | $ | 12.5 | $ | 18.7 | $ | — | $ | 31.2 | ||||||||
Available-for-sale securities | 2.2 | — | — | 2.2 | ||||||||||||
Deferred compensation assets | 5.6 | — | — | 5.6 | ||||||||||||
Total assets | $ | 20.3 | $ | 18.7 | $ | — | $ | 39 | ||||||||
Liabilities: | ||||||||||||||||
Derivative liabilities | $ | — | $ | 13.1 | $ | — | $ | 13.1 | ||||||||
Deferred compensation liabilities | 46.2 | — | — | 46.2 | ||||||||||||
Total liabilities | $ | 46.2 | $ | 13.1 | $ | — | $ | 59.3 | ||||||||
The following table presents our financial assets and liabilities measured at fair value on a recurring basis based upon the level within the fair value hierarchy in which the fair value measurements fall, as of May 25, 2014: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Net Value | |||||||||||||
Assets: | ||||||||||||||||
Derivative assets | $ | 8.5 | $ | 30.3 | $ | — | $ | 38.8 | ||||||||
Available-for-sale securities | 2.1 | — | — | 2.1 | ||||||||||||
Deferred compensation assets | 5.6 | — | — | 5.6 | ||||||||||||
Total assets | $ | 16.2 | $ | 30.3 | $ | — | $ | 46.5 | ||||||||
Liabilities: | ||||||||||||||||
Derivative liabilities | $ | — | $ | 10.4 | $ | — | $ | 10.4 | ||||||||
Deferred compensation liabilities | 43.7 | — | — | 43.7 | ||||||||||||
Total liabilities | $ | 43.7 | $ | 10.4 | $ | — | $ | 54.1 | ||||||||
BUSINESS_SEGMENTS_AND_RELATED_1
BUSINESS SEGMENTS AND RELATED INFORMATION (Tables) | 3 Months Ended | |||||||
Aug. 24, 2014 | ||||||||
Segment Reporting [Abstract] | ' | |||||||
Segment Operations | ' | |||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Net sales | ||||||||
Consumer Foods | $ | 1,632.30 | $ | 1,649.40 | ||||
Commercial Foods | 1,088.30 | 1,068.90 | ||||||
Private Brands | 980.4 | 997.5 | ||||||
Total net sales | $ | 3,701.00 | $ | 3,715.80 | ||||
Operating profit | ||||||||
Consumer Foods | $ | 190 | $ | 165 | ||||
Commercial Foods | 121.1 | 137.1 | ||||||
Private Brands | 41.9 | 65.5 | ||||||
Total operating profit | $ | 353 | $ | 367.6 | ||||
Equity method investment earnings | ||||||||
Consumer Foods | $ | 0.3 | $ | 0.4 | ||||
Commercial Foods | 25.3 | 3.7 | ||||||
Total equity method investment earnings | $ | 25.6 | $ | 4.1 | ||||
Operating profit plus equity method investment earnings | ||||||||
Consumer Foods | $ | 190.3 | $ | 165.4 | ||||
Commercial Foods | 146.4 | 140.8 | ||||||
Private Brands | 41.9 | 65.5 | ||||||
Total operating profit plus equity method investment earnings | $ | 378.6 | $ | 371.7 | ||||
General corporate expense | $ | 141.2 | $ | 113.6 | ||||
Interest expense, net | 83.7 | 95.8 | ||||||
Income tax expense | 42.5 | 28.9 | ||||||
Income from continuing operations | $ | 111.2 | $ | 133.4 | ||||
Less: Net income attributable to noncontrolling interests | 2.2 | 2.9 | ||||||
Income from continuing operations attributable to ConAgra Foods, Inc. | $ | 109 | $ | 130.5 | ||||
Allocation of Net Derivative Gains (Losses) from Economic Hedges of Forecasted Commodity Consumption and Foreign Currency Risk | ' | |||||||
The following table presents the net derivative gains (losses) from economic hedges of forecasted commodity consumption and the foreign currency risk of certain forecasted transactions, under this methodology: | ||||||||
Thirteen Weeks Ended | ||||||||
August 24, | August 25, | |||||||
2014 | 2013 | |||||||
Net derivative losses incurred | $ | (38.3 | ) | $ | (18.1 | ) | ||
Less: Net derivative gains allocated to reporting segments | 12 | 2.8 | ||||||
Net derivative losses recognized in general corporate expenses | $ | (50.3 | ) | $ | (20.9 | ) | ||
Net derivative gains allocated to Consumer Foods | $ | 3.7 | $ | 1.9 | ||||
Net derivative gains allocated to Commercial Foods | 3.1 | 1.7 | ||||||
Net derivative gains (losses) allocated to Private Brands | 5.2 | (0.8 | ) | |||||
Net derivative gains included in segment operating profit | $ | 12 | $ | 2.8 | ||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Income Tax Expense (Benefit)) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Accounting Policies [Abstract] | ' | ' |
Net derivative adjustment | ($0.20) | $26.90 |
Unrealized gains on available-for-sale securities | 0 | 0.1 |
Pension and postretirement healthcare liabilities | 0.9 | 0 |
Other comprehensive income tax, total | $0.70 | $27 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Reclassifications from AOCI) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' |
Interest expense, net | $83.70 | $95.80 |
Total before tax | -111.2 | -133.4 |
Income tax expense (benefit) | 42.5 | 28.9 |
Thirteen Weeks Ended | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' |
Net of tax | -0.3 | 0.1 |
Thirteen Weeks Ended | Fair value hedges | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' |
Interest expense, net | 0 | 0.1 |
Thirteen Weeks Ended | Cash flow hedges | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' |
Interest expense, net | -0.5 | 0 |
Total before tax | -0.5 | 0.1 |
Income tax expense (benefit) | 0.2 | 0 |
Thirteen Weeks Ended | Amortization of pension and postretirement healthcare liabilities: | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' |
Net prior service cost | -1.1 | -0.8 |
Net actuarial losses | 0.9 | 1.6 |
Total before tax | -0.2 | 0.8 |
Income tax expense (benefit) | 0.1 | -0.3 |
Net of tax | ($0.10) | $0.50 |
ACQUISITIONS_Narrative_Details
ACQUISITIONS (Narrative) (Details) (USD $) | 3 Months Ended | 1 Months Ended | |||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | 25-May-14 | Jul. 31, 2014 | Sep. 30, 2013 |
TaiMei Potato Industry Limited | Harlan Bakeries | ||||
Business Acquisitions [Line Items] | ' | ' | ' | ' | ' |
Payments to acquire business, gross | ' | ' | ' | $92.50 | $39.90 |
Payments to acquire business, net | 75.4 | 0 | ' | 75.4 | ' |
Purchase price allocated to goodwill | $7,838 | ' | $7,828.50 | $15.90 | ' |
DISCONTINUED_OPERATIONS_OTHER_2
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS (Narrative) (Details) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | |||||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | 29-May-14 | Aug. 24, 2014 | 25-May-14 | 29-May-14 | 25-May-14 | 25-May-14 | Nov. 24, 2013 | Aug. 24, 2014 | Aug. 24, 2014 |
Ardent Mills | Ardent Mills | Ardent Mills | Ardent Mills | Three flour milling facilities | Medallion | Lightlife | Equity Method Investment | Other Assets | |||
Ardent Mills | Ardent Mills | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash contribution | ' | ' | $49 | ' | ' | ' | ' | ' | ' | ' | ' |
Equity Method Investment, Ownership Percentage | ' | ' | ' | ' | ' | 44.00% | ' | ' | ' | ' | ' |
Carrying value of equity method investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 721.5 |
Total equity method investment earnings | 492 | 538.1 | ' | ' | ' | ' | ' | ' | ' | 3.8 | ' |
Discontinued Operation, Provision for Loss (Gain) on Disposal, before Income Tax | -626.5 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income (loss) from operations of discontinued operations before income taxes | 613.5 | 19.4 | ' | 624.8 | ' | ' | ' | ' | ' | ' | ' |
Income from discontinued operations, net of tax | 373.3 | 13.8 | ' | 381.2 | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Divestiture of Businesses | ' | ' | ' | ' | $402.90 | ' | $163 | $32 | $54.70 | ' | ' |
DISCONTINUED_OPERATIONS_OTHER_3
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Discontinued Operations and Disposal Groups [Abstract] | ' | ' |
Net sales | $16.20 | $490.80 |
Net gain on sale of business | 626.5 | 0 |
Income (loss) from operations of discontinued operations before income taxes and equity method investment earnings | -13 | 19.4 |
Income before income taxes | 613.5 | 19.4 |
Income tax expense | 240.2 | 5.7 |
Equity method investment earnings | 0 | 0.1 |
Income from discontinued operations, net of tax | $373.30 | $13.80 |
DISCONTINUED_OPERATIONS_OTHER_4
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS (Assets and Liabilities Classified as Held for Sale) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 | Aug. 25, 2013 | 26-May-13 |
In Millions, unless otherwise specified | ||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ' | ' | ' |
Cash and cash equivalents | $0 | $41.80 | $12.80 | $33 |
Receivables, less allowance for doubtful accounts of $0 and $1.2 | 0 | 172.4 | ' | ' |
Receivable on sale of flour milling assets | 0 | 162.4 | ' | ' |
Inventories | 0 | 215.6 | ' | ' |
Prepaid expenses and other current assets | 0 | 39.5 | ' | ' |
Current assets held for sale | 0 | 631.7 | ' | ' |
Property, plant and equipment, net | 10.9 | 186.8 | ' | ' |
Goodwill | 0 | 8 | ' | ' |
Brands, trademarks and other intangibles, net | 0 | 0.9 | ' | ' |
Other assets | 0 | 3.2 | ' | ' |
Noncurrent assets held for sale | 10.9 | 198.9 | ' | ' |
Current installments of long-term debt | 0 | 0.1 | ' | ' |
Accounts payable | 0 | 143.1 | ' | ' |
Accrued payroll | 0 | 2.3 | ' | ' |
Other accrued liabilities | 0 | 19.3 | ' | ' |
Current liabilities held for sale | 0 | 164.8 | ' | ' |
Senior long-term debt, excluding current installments | 0 | 0.1 | ' | ' |
Other noncurrent liabilities | 0 | 1.9 | ' | ' |
Noncurrent liabilities held for sale | $0 | $2 | ' | ' |
DISCONTINUED_OPERATIONS_OTHER_5
DISCONTINUED OPERATIONS, OTHER ASSETS HELD FOR SALE, AND THE FORMATION OF ARDENT MILLS (Assets and Liabilities Classified as Held for Sale) (Parenthetical) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Discontinued Operations and Disposal Groups [Abstract] | ' | ' |
Allowance for doubtful accounts | $0 | $1.20 |
RESTRUCTURING_ACTIVITIES_Narra
RESTRUCTURING ACTIVITIES (Narrative) (Details) (USD $) | 3 Months Ended | 15 Months Ended | 19 Months Ended | 27 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 |
SCAE Plan | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructuring and Related Cost, Approved Cost | ' | ' | ' | ' | $325 |
Restructuring and Related Cost, Incurred Cost | 21.1 | 7.3 | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | ' | ' | 219.2 |
Restructuring And Related Cost Expected Cash Outflows | 9.9 | ' | ' | 99 | 165.9 |
Restructuring And Related Cost Expected Noncash Charges | 11.2 | ' | 53.3 | 34.2 | ' |
Acquisition Related Restructuring | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructured and related cost incurred to date | ' | ' | ' | 23.6 | ' |
Acquisition Related Restructuring | Consumer Foods | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructuring and Related Cost, Incurred Cost | 0.2 | 0.9 | ' | ' | ' |
Restructured and related cost incurred to date | ' | ' | ' | 21.1 | ' |
Acquisition Related Restructuring | Corporate | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructured and related cost incurred to date | ' | ' | ' | 2.5 | ' |
Ralcorp Pre-acquisition Restructuring | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructuring and Related Cost, Incurred Cost | ' | 1.3 | ' | ' | ' |
Restructuring And Related Cost Expected Cash Outflows | 1.9 | ' | ' | ' | ' |
Restructuring And Related Cost Expected Noncash Charges | 1.8 | ' | ' | ' | ' |
Restructured and related cost incurred to date | ' | ' | ' | 3.7 | ' |
Ralcorp Pre-acquisition Restructuring | Corporate | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructured and related cost incurred to date | ' | ' | ' | 0.2 | ' |
Ralcorp Pre-acquisition Restructuring | Private Brands | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' |
Restructured and related cost incurred to date | ' | ' | ' | $3.50 | ' |
RESTRUCTURING_ACTIVITIES_Conso
RESTRUCTURING ACTIVITIES (Consolidated Amounts) (Details) (SCAE Plan, USD $) | 3 Months Ended | 19 Months Ended | 27 Months Ended |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | $219.20 |
Restructuring and Related Cost, Incurred Cost | 21.1 | 133.2 | ' |
Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 51.3 |
Restructuring and Related Cost, Incurred Cost | 9.2 | 25.4 | ' |
Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 9.1 |
Restructuring and Related Cost, Incurred Cost | 4.3 | 9.1 | ' |
Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 58.8 |
Restructuring and Related Cost, Incurred Cost | 6 | 39.5 | ' |
Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 100 |
Restructuring and Related Cost, Incurred Cost | 1.6 | 59.2 | ' |
Multi-employer pension costs | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 11.4 |
Restructuring and Related Cost, Incurred Cost | 0.2 | 11.4 | ' |
Multi-employer pension costs | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Multi-employer pension costs | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Multi-employer pension costs | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Multi-employer pension costs | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 11.4 |
Restructuring and Related Cost, Incurred Cost | 0.2 | 11.4 | ' |
Other cost of goods sold | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 7.2 |
Restructuring and Related Cost, Incurred Cost | 0.6 | 2 | ' |
Other cost of goods sold | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 3.3 |
Restructuring and Related Cost, Incurred Cost | 0 | 0.8 | ' |
Other cost of goods sold | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Other cost of goods sold | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 3.9 |
Restructuring and Related Cost, Incurred Cost | 0.6 | 1.2 | ' |
Other cost of goods sold | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Total cost of goods sold | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 18.6 |
Restructuring and Related Cost, Incurred Cost | 0.8 | 13.4 | ' |
Total cost of goods sold | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 3.3 |
Restructuring and Related Cost, Incurred Cost | 0 | 0.8 | ' |
Total cost of goods sold | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Total cost of goods sold | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 3.9 |
Restructuring and Related Cost, Incurred Cost | 0.6 | 1.2 | ' |
Total cost of goods sold | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 11.4 |
Restructuring and Related Cost, Incurred Cost | 0.2 | 11.4 | ' |
Severance and related costs | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 78 |
Restructuring and Related Cost, Incurred Cost | 6.5 | 75.5 | ' |
Severance and related costs | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 14.4 |
Restructuring and Related Cost, Incurred Cost | 1.4 | 14.1 | ' |
Severance and related costs | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 9.1 |
Restructuring and Related Cost, Incurred Cost | 4.3 | 9.1 | ' |
Severance and related costs | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 9.6 |
Restructuring and Related Cost, Incurred Cost | 0.7 | 9.6 | ' |
Severance and related costs | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 44.9 |
Restructuring and Related Cost, Incurred Cost | 0.1 | 42.7 | ' |
Asset impairment | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 6.1 |
Restructuring and Related Cost, Incurred Cost | 1.9 | 6.1 | ' |
Asset impairment | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0.3 |
Restructuring and Related Cost, Incurred Cost | 0 | 0.3 | ' |
Asset impairment | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Asset impairment | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 5.8 |
Restructuring and Related Cost, Incurred Cost | 1.9 | 5.8 | ' |
Asset impairment | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Accelerated depreciation | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 44.3 |
Restructuring and Related Cost, Incurred Cost | 8.7 | 26.8 | ' |
Accelerated depreciation | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 24.4 |
Restructuring and Related Cost, Incurred Cost | 7.5 | 9.9 | ' |
Accelerated depreciation | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Accelerated depreciation | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 16.8 |
Restructuring and Related Cost, Incurred Cost | 0.5 | 15.6 | ' |
Accelerated depreciation | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 3.1 |
Restructuring and Related Cost, Incurred Cost | 0.7 | 1.3 | ' |
Other selling, general and administrative expenses | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 72.2 |
Restructuring and Related Cost, Incurred Cost | 3.2 | 11.4 | ' |
Other selling, general and administrative expenses | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 8.9 |
Restructuring and Related Cost, Incurred Cost | 0.3 | 0.3 | ' |
Other selling, general and administrative expenses | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 0 |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | ' |
Other selling, general and administrative expenses | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 22.7 |
Restructuring and Related Cost, Incurred Cost | 2.3 | 7.3 | ' |
Other selling, general and administrative expenses | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 40.6 |
Restructuring and Related Cost, Incurred Cost | 0.6 | 3.8 | ' |
Total selling, general and administrative expenses | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 200.6 |
Restructuring and Related Cost, Incurred Cost | 20.3 | 119.8 | ' |
Total selling, general and administrative expenses | Consumer Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 48 |
Restructuring and Related Cost, Incurred Cost | 9.2 | 24.6 | ' |
Total selling, general and administrative expenses | Commercial Foods | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 9.1 |
Restructuring and Related Cost, Incurred Cost | 4.3 | 9.1 | ' |
Total selling, general and administrative expenses | Private Brands | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 54.9 |
Restructuring and Related Cost, Incurred Cost | 5.4 | 38.3 | ' |
Total selling, general and administrative expenses | Corporate | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | 88.6 |
Restructuring and Related Cost, Incurred Cost | $1.40 | $47.80 | ' |
RESTRUCTURING_ACTIVITIES_Liabi
RESTRUCTURING ACTIVITIES (Liabilities for Initiatives and Changes) (Details) (SCAE Plan, USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Aug. 24, 2014 |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at | $64.10 |
Costs Incurred and Charged to Expense | 11.3 |
Costs Paid or Otherwise Settled | -28.1 |
Changes in Estimates | 1.4 |
Balance at | 45.9 |
Severance | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at | 46.9 |
Costs Incurred and Charged to Expense | 7 |
Costs Paid or Otherwise Settled | -23.1 |
Changes in Estimates | 0.5 |
Balance at | 30.3 |
Multi-employer pension and other costs | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at | 11.2 |
Costs Incurred and Charged to Expense | 0 |
Costs Paid or Otherwise Settled | 0 |
Changes in Estimates | -0.2 |
Balance at | 11.4 |
Other costs | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at | 6 |
Costs Incurred and Charged to Expense | 4.3 |
Costs Paid or Otherwise Settled | -5 |
Changes in Estimates | -1.1 |
Balance at | $4.20 |
LONGTERM_DEBT_Narrative_Detail
LONG-TERM DEBT (Narrative) (Details) (USD $) | 3 Months Ended | 3 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | Aug. 24, 2014 | Nov. 27, 2010 | Aug. 24, 2014 | 25-May-14 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | 25-May-14 | 25-May-14 |
2010 Interest Rate Swap | 2010 Interest Rate Swap | 2014 Interest Rate Swap | Floating Rate Notes 0.37% | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | LIBOR plus 1.75% term loans | Tender Premium | LIBOR | LIBOR | |||
2023 Maturity | 2043 Maturity | 2019 Maturity | 2018 Maturity | 2017 Maturity | Floating Rate Notes 0.37% | LIBOR plus 1.75% term loans | |||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayments of Long-term Debt | $1,486.70 | $2.30 | ' | ' | ' | ' | $225 | $200 | $25 | $25 | $25 | $900 | ' | ' | ' |
Debt Instrument, Interest Rate, Stated Percentage | 3.25% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.75% |
Reduction of net interest expense due to impact of interest rate swap contracts | 0.3 | ' | 2.3 | ' | 2.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from termination of interest rate swap contract | ' | ' | ' | 28.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gains (Losses) on Extinguishment of Debt | 16.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.3 | 9.5 | ' | ' |
Other Notes Payable | ' | ' | ' | ' | ' | $550 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Floating rate notes percentage rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.37% | ' |
LONGTERM_DEBT_Net_Interest_Exp
LONG-TERM DEBT (Net Interest Expense) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Debt Disclosure [Abstract] | ' | ' |
Long-term debt | $85.60 | $99.70 |
Short-term debt | 0.5 | 0.3 |
Interest income | -0.5 | -0.5 |
Interest capitalized | -1.9 | -3.7 |
Interest expense, net | $83.70 | $95.80 |
VARIABLE_INTEREST_ENTITIES_Nar
VARIABLE INTEREST ENTITIES (Narrative) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | 25-May-14 |
Variable Interest Entity [Line Items] | ' | ' |
Price at which Ochoa has the right to put its equity interest | $39.80 | ' |
Balance of promissory note due from joint venture | 36.1 | ' |
Long-term debt interest rate | 3.25% | ' |
Line of credit with Lamb Weston BSW, Maximum Borrowing Capacity | 15 | ' |
Lamb Weston BSW | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Acquisition of equity interest in Lamb Weston | 49.99% | ' |
Lamb Weston RDO | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Acquisition of equity interest in Lamb Weston | 50.00% | ' |
Investment in Lamb Weston, maximum exposure | 12.2 | 12.6 |
Owners' equity in capital structure of variable interest entity | 24.4 | ' |
Term borrowings from banks in capital structure of Lamb Weston, RDO | $42.80 | ' |
LIBOR | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Libor Plus | 2.00% | ' |
VARIABLE_INTEREST_ENTITIES_Ref
VARIABLE INTEREST ENTITIES (Reflected in Condensed Consolidated Balance Sheets) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 | Aug. 25, 2013 | 26-May-13 |
In Millions, unless otherwise specified | ||||
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | $133.70 | $141.30 | $181.40 | $150.90 |
Receivables, less allowance for doubtful accounts | 1,080.40 | 1,058.40 | ' | ' |
Inventories | 2,210.30 | 2,077 | ' | ' |
Prepaid expenses and other current assets | 267 | 322.4 | ' | ' |
Property, plant and equipment, net | 3,667.60 | 3,636 | ' | ' |
Goodwill | 7,838 | 7,828.50 | ' | ' |
Brands, trademarks and other intangibles, net | 3,175.60 | 3,204.90 | ' | ' |
Total assets | 19,373.10 | 19,366.40 | ' | ' |
Accounts payable | 1,441.80 | 1,349.30 | ' | ' |
Accrued payroll | 174.1 | 154.3 | ' | ' |
Other accrued liabilities | 709.8 | 748.1 | ' | ' |
Other noncurrent liabilities (noncontrolling interest) | 2,807.90 | 2,599.40 | ' | ' |
Total liabilities | 13,624.80 | 14,011.20 | ' | ' |
Variable Interest Entities | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 13.9 | 17.7 | ' | ' |
Receivables, less allowance for doubtful accounts | 21.3 | 19.1 | ' | ' |
Inventories | 1.5 | 1.4 | ' | ' |
Prepaid expenses and other current assets | 0.1 | 0.3 | ' | ' |
Property, plant and equipment, net | 51 | 51.8 | ' | ' |
Goodwill | 18.8 | 18.8 | ' | ' |
Brands, trademarks and other intangibles, net | 6.5 | 6.7 | ' | ' |
Total assets | 113.1 | 115.8 | ' | ' |
Accounts payable | 13.8 | 11.7 | ' | ' |
Accrued payroll | 0.8 | 0.5 | ' | ' |
Other accrued liabilities | 0.7 | 0.6 | ' | ' |
Other noncurrent liabilities (noncontrolling interest) | 28.9 | 33.3 | ' | ' |
Total liabilities | $44.20 | $46.10 | ' | ' |
GOODWILL_AND_OTHER_IDENTIFIABL2
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS (Change in Carrying Amount of Goodwill) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Aug. 24, 2014 |
Goodwill [Line Items] | ' |
Balance as of | $7,828.50 |
Acquisitions | 15.9 |
Currency translation and purchase accounting adjustments | -6.4 |
Balance as of | 7,838 |
Consumer Foods | ' |
Goodwill [Line Items] | ' |
Balance as of | 3,748.50 |
Acquisitions | 0 |
Currency translation and purchase accounting adjustments | -4.8 |
Balance as of | 3,743.70 |
Commercial Foods | ' |
Goodwill [Line Items] | ' |
Balance as of | 865.4 |
Acquisitions | 15.9 |
Currency translation and purchase accounting adjustments | 0 |
Balance as of | 881.3 |
Private Brands | ' |
Goodwill [Line Items] | ' |
Balance as of | 3,214.60 |
Acquisitions | 0 |
Currency translation and purchase accounting adjustments | -1.6 |
Balance as of | $3,213 |
GOODWILL_AND_OTHER_IDENTIFIABL3
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS (Other Identifiable Intangible Assets) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
Non-amortizing intangible assets, gross carrying amount | $1,057.90 | $1,059.50 |
Amortizing intangible assets, gross carrying amount | 2,375.10 | 2,376.10 |
Intangible assets, gross carrying amount | 3,433 | 3,435.60 |
Non-amortizing intangible assets, accumulated amortization | 0 | 0 |
Amortizing intangible assets, accumulated amortization | 257.4 | 230.7 |
Intangible assets, accumulated amortization | $257.40 | $230.70 |
GOODWILL_AND_OTHER_IDENTIFIABL4
GOODWILL AND OTHER IDENTIFIABLE INTANGIBLE ASSETS (Narrative) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Aug. 24, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ' |
Weighted average life in years of amortizing intangible assets | '23 years |
Amortization expense year one | $108.20 |
Amortization expense year two | 108.2 |
Amortization expense year three | 108.2 |
Amortization expense year four | 108.2 |
Amortization expense year five | $108.20 |
DERIVATIVE_FINANCIAL_INSTRUMEN2
DERIVATIVE FINANCIAL INSTRUMENTS (Narrative) (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | 25-May-14 |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Derivative asset prior to offsetting to total derivative | $0.40 | ' | $13 |
Derivative liability prior to offsetting to total derivative | 17.6 | ' | 6.8 |
Hedge for Anticipated Consumption of Commodity Inputs, Period | '36 months | ' | ' |
Unrealized derivative adjustments | 0 | 45.5 | ' |
Amounts representing a right to reclaim cash collateral included in prepaid expenses and other current assets | ' | ' | 6.2 |
Change in Unrealized Gain (Loss) on Hedged Item in Fair Value Hedge | -2.5 | ' | ' |
Reduction of net interest expense due to impact of interest rate swap contracts | 0.3 | ' | ' |
Maximum amount of loss due to the credit risk of the counterparties | 18.7 | ' | ' |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 18 | ' | ' |
Open Commodity Purchase Contracts | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Notional value of open commodity contracts | 1,100 | ' | 1,400 |
Open commodity sales contracts | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Notional value of open commodity contracts | 1,100 | ' | 1,400 |
2014 Interest Rate Swap | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Reduction of net interest expense due to impact of interest rate swap contracts | 2.6 | ' | ' |
Foreign exchange contracts | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Notional value of open commodity contracts | 113.5 | ' | 170.1 |
2043 Maturity | Cash Flow Hedging | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Unrealized derivative adjustments | ' | 4.2 | ' |
Unamortized amount of debt instruments being hedged | 3 | ' | ' |
2023 Maturity | Cash Flow Hedging | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Unrealized derivative adjustments | ' | -2 | ' |
Unamortized amount of debt instruments being hedged | -1.4 | ' | ' |
Selling, general and administrative expense | Interest rate contracts | ' | ' | ' |
Derivative Financial Instruments [Line Items] | ' | ' | ' |
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | $2.20 | ' | ' |
DERIVATIVE_FINANCIAL_INSTRUMEN3
DERIVATIVE FINANCIAL INSTRUMENTS (Right to Reclaim Cash Collateral) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ' |
Prepaid expenses and other current assets | $31.20 | $38.80 |
Other accrued liabilities | $13.10 | $10.40 |
DERIVATIVE_FINANCIAL_INSTRUMEN4
DERIVATIVE FINANCIAL INSTRUMENTS (Assets and Liabilities on A Gross Basis) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives | $30.80 | $51.80 |
Total derivatives | 30.7 | 17.2 |
Total derivatives designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives | 6.9 | 9.1 |
Total derivatives | 0 | 0 |
Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | 23.9 | 42.7 |
Total derivatives not designated as hedging instruments | 30.7 | 17.2 |
Interest rate swap contracts | Other accrued liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives | 0 | 0 |
Interest rate swap contracts | Prepaid expenses and other current assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives | 6.9 | 9.1 |
Commodity contracts | Other accrued liabilities | Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | 30.7 | 13.9 |
Commodity contracts | Prepaid expenses and other current assets | Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | 12.1 | 28.6 |
Foreign exchange contracts | Other accrued liabilities | Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | 0 | 3.3 |
Foreign exchange contracts | Prepaid expenses and other current assets | Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | 10.9 | 13.4 |
Other | Other accrued liabilities | Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | 0 | 0 |
Other | Prepaid expenses and other current assets | Total derivatives not designated as hedging instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total derivatives not designated as hedging instruments | $0.90 | $0.70 |
DERIVATIVE_FINANCIAL_INSTRUMEN5
DERIVATIVE FINANCIAL INSTRUMENTS (Derivatives Not Designated as Hedging Instruments) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Derivatives, Fair Value [Line Items] | ' | ' |
Total loss from derivative instruments not designated as hedging instruments | ($39.40) | ($16.10) |
Commodity contracts | Cost of goods sold | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total loss from derivative instruments not designated as hedging instruments | -38.6 | -15.5 |
Foreign exchange contracts | Cost of goods sold | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total loss from derivative instruments not designated as hedging instruments | 0.3 | -1.2 |
Foreign exchange contracts | Selling, general and administrative expense | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total loss from derivative instruments not designated as hedging instruments | 0.3 | 0.6 |
Interest rate contracts | Selling, general and administrative expense | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Total loss from derivative instruments not designated as hedging instruments | ($1.40) | $0 |
SHAREBASED_PAYMENTS_Narrative_
SHARE-BASED PAYMENTS (Narrative) (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Stock Based Compensation Activity [Line Items] | ' | ' |
Total stock-based compensation expense | $17.10 | $17.40 |
Stock option granted | 3.8 | ' |
Weighted average exercise price of stock options granted | $30.89 | ' |
Weighted average value of stock options granted during the first three quarters of fiscal 2014 | $3.28 | ' |
Performance period ending 2015 | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Percentage of the targeted number of performance shares, minimum range and will be paid in shares of common stock | 0.00% | ' |
Percentage of the targeted number of performance shares, maximum range and will be paid in shares of common stock | 220.00% | ' |
Percentage of target incentive required payout | 25.00% | ' |
Performance period ending 2014 | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Percentage of the targeted number of performance shares, minimum range and will be paid in shares of common stock | 0.00% | ' |
Percentage of the targeted number of performance shares, maximum range and will be paid in shares of common stock | 220.00% | ' |
Percentage of target incentive required payout | 25.00% | ' |
Restricted stock | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Stock granted, shares | 0.7 | ' |
Weighted average value of stock options granted | $30.94 | ' |
Cash-settled restricted stock units | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Stock granted, shares | 0.9 | ' |
Weighted average value of stock options granted | $30.89 | ' |
Performance shares | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Stock granted, shares | 0.4 | ' |
Weighted average value of stock options granted | $30.89 | ' |
Ardent Mills | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Total stock-based compensation expense | 0.4 | ' |
Subsidiaries | ' | ' |
Stock Based Compensation Activity [Line Items] | ' | ' |
Total stock-based compensation expense | $0.30 | $0.20 |
SHAREBASED_PAYMENTS_Weighted_A
SHARE-BASED PAYMENTS (Weighted Average Black-Scholes Assumptions) (Detail) | 3 Months Ended |
Aug. 24, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' |
Expected volatility (%) | 17.44% |
Dividend yield (%) | 3.12% |
Risk-free interest rate (%) | 1.62% |
Expected life of stock option (years) | '4 years 11 months 1 day |
EARNINGS_PER_SHARE_Average_Sha
EARNINGS PER SHARE (Average Share Amounts to Compute EPS) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Net income available to ConAgra Foods, Inc. common stockholders: | ' | ' |
Income from continuing operations attributable to ConAgra Foods, Inc. common stockholders | $109 | $130.50 |
Income from discontinued operations, net of tax, attributable to ConAgra Foods, Inc. common stockholders | 373.3 | 13.8 |
Net income attributable to ConAgra Foods, Inc. | 482.3 | 144.3 |
Less: Increase in redemption value of noncontrolling interests in excess of earnings allocated | 0.4 | 0.4 |
Net income available to ConAgra Foods, Inc. common stockholders | $481.90 | $143.90 |
Weighted average shares outstanding: | ' | ' |
Basic weighted average shares outstanding | 423.9 | 421.1 |
Add: Dilutive effect of stock options, restricted stock unit awards, and other dilutive securities | 5.4 | 7.1 |
Diluted weighted average shares outstanding | 429.3 | 428.2 |
EARNINGS_PER_SHARE_Narrative_D
EARNINGS PER SHARE (Narrative) (Details) (Stock Options) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Stock Options | ' | ' |
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | ' | ' |
Stock options outstanding | 4.8 | 1.7 |
INVENTORIES_Major_Classes_of_I
INVENTORIES (Major Classes of Inventories) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials and packaging | $469.10 | $498.60 |
Work in process | 136.7 | 118.6 |
Finished goods | 1,477.20 | 1,335.30 |
Supplies and other | 127.3 | 124.5 |
Total | $2,210.30 | $2,077 |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | 25-May-14 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Income tax expense | $42.50 | $28.90 | ' |
Effective tax rate | 28.00% | 18.00% | ' |
Gross unrecognized tax benefits | 75.1 | ' | 84.9 |
Unrecognized tax benefits with uncertainty of timing of deductibility | 8.2 | ' | 8.2 |
Unrecognized liabilities for gross interest and penalties | 26.9 | ' | 29.6 |
Unrecognized tax benefits that would favorably impact effective tax rate | 44.1 | ' | 50.8 |
Gross unrecognized tax benefits, actual | $19.70 | ' | ' |
CONTINGENCIES_Details
CONTINGENCIES (Details) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||
Aug. 24, 2014 | 25-May-14 | Aug. 25, 2013 | 26-May-13 | Aug. 26, 2012 | 25-May-14 | 30-May-09 | 26-May-13 | 27-May-12 | Aug. 26, 2012 | Aug. 26, 2012 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 26, 2012 | Apr. 30, 2010 | Apr. 30, 2010 | Aug. 24, 2014 | 25-May-14 | Nov. 24, 2013 | Aug. 25, 2013 | 31-May-15 | |
Litigation Matter | Litigation Matter | Compensatory Damages | Punitive Damages | Beatrice | Potato Supply Agreement Guarantee | Onion Supply Agreement Guarantee | Leases and Other Commercial Obligations Guarantee | Threatened Litigation | Subcontractor | Primary Contractor | California | Commercial Foods | Commercial Foods | Commercial Foods | Scenario, Forecast | ||||||||
site | Damage from Fire, Explosion or Other Hazard | Pending Litigation | Pending Litigation | Beatrice | |||||||||||||||||||
employee | Damage from Fire, Explosion or Other Hazard | Damage from Fire, Explosion or Other Hazard | |||||||||||||||||||||
employee | employee | ||||||||||||||||||||||
Guarantor Obligations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected decision from court | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,150,000,000 | ' | ' | ' | ' |
Number of sites under environmental matters for which acquired company has a liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 37 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of sites under environmental matters for which acquired company is making payments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reserves for Beatrice environmental matters | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 61,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum period of guarantee | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum period expected for disbursements on environmental matters | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '18 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Guarantee obligation under purchase agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25,000,000 | 4,700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of supplier loans effectively guaranteed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan purchase under agreement | ' | ' | ' | 40,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Asset impairment charges | 2,800,000 | ' | 2,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,900,000 | 10,200,000 | ' |
Gain on sale of land | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,100,000 | ' | ' | ' |
Face value of federal income tax credits | 26,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dispute coverage charge with insurance carrier | ' | ' | ' | ' | ' | ' | 24,800,000 | 7,500,000 | 17,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingency Accrual, Period Increase (Decrease) | 5,800,000 | 6,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Legal Settlements | ' | 3,500,000 | ' | 25,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain (Loss) Related to Litigation Settlement | ' | ' | ' | 25,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingency, Number of Plaintiffs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | 2 | 1 | ' | ' | ' | ' | ' |
Unfavorable verdict | ' | ' | ' | ' | ' | ' | ' | ' | ' | 77,500,000 | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Punitive award against the company | ' | ' | ' | ' | 7,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum annual payments to third party | ' | ' | ' | ' | ' | 2,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimate of annual payment to third party in 2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6,000,000 |
PENSION_AND_POSTRETIREMENT_BEN2
PENSION AND POSTRETIREMENT BENEFITS (Costs) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Pension Benefits | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' |
Service cost | $22.10 | $22.30 |
Interest cost | 40.4 | 37.8 |
Expected return on plan assets | -67 | -63.2 |
Amortization of prior service cost | 0.9 | 0.9 |
Special termination benefits | 6.9 | 0 |
Benefit cost b Company plans | 3.3 | -2.2 |
Pension benefit cost b multi-employer plans | 3.2 | 3.1 |
Total benefit cost | 6.5 | 0.9 |
Postretirement Benefits | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' |
Service cost | 0.1 | 0.2 |
Interest cost | 2.5 | 2.4 |
Amortization of prior service cost | -2 | -1.8 |
Recognized net actuarial loss | 0.9 | 1.7 |
Total benefit cost | $1.50 | $2.50 |
PENSION_AND_POSTRETIREMENT_BEN3
PENSION AND POSTRETIREMENT BENEFITS (Narrative) (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Aug. 24, 2014 |
Ardent Mills | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' |
Special termination benefits expense | $6.90 |
Pension Benefits | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' |
Employer contributions to pension plan and other postretirement plan | 3 |
Further contribution to pension and other postretirement plan | 9.9 |
Postretirement Benefits | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' |
Employer contributions to pension plan and other postretirement plan | 4.9 |
Further contribution to pension and other postretirement plan | $20.60 |
STOCKHOLDERS_EQUITY_Details
STOCKHOLDERS' EQUITY (Details) (USD $) | 3 Months Ended | 3 Months Ended | |||||||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | Aug. 24, 2014 | 25-May-14 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 | Aug. 24, 2014 |
Common Stock | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Noncontrolling Interests | |||
Schedule Of Stockholders Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at | $5,355.20 | ' | $2,839.70 | $2,839.70 | $1,036.90 | $5,010.60 | ($134.30) | ($3,494.40) | $96.70 |
Balance at , Shares | ' | ' | 567.9 | 567.9 | ' | ' | ' | ' | ' |
Stock option and incentive plans | 39.3 | ' | ' | ' | -26.2 | -0.1 | ' | 65.6 | ' |
Currency translation adjustment | -17.7 | ' | ' | ' | ' | ' | -14.7 | ' | -3 |
Unrealized gain on securities | 0.1 | ' | ' | ' | ' | ' | 0.1 | ' | ' |
Derivative adjustment, net of reclassification adjustment | -0.3 | ' | ' | ' | ' | ' | -0.3 | ' | ' |
Activities of noncontrolling interests | -7.1 | ' | ' | ' | -0.4 | ' | ' | ' | -6.7 |
Pension and postretirement healthcare benefits | 2.7 | ' | ' | ' | ' | ' | 2.7 | ' | ' |
Dividends declared on common stock; $0.25 per share | -106.2 | ' | ' | ' | ' | -106.2 | ' | ' | ' |
Net income attributable to ConAgra Foods, Inc. | 482.3 | 144.3 | ' | ' | ' | 482.3 | ' | ' | ' |
Balance at | $5,748.30 | ' | $2,839.70 | $2,839.70 | $1,010.30 | $5,386.60 | ($146.50) | ($3,428.80) | $87 |
Balance at , Shares | ' | ' | 567.9 | 567.9 | ' | ' | ' | ' | ' |
STOCKHOLDERS_EQUITY_Parentheti
STOCKHOLDERS' EQUITY (Parenthetical) (Details) (USD $) | 3 Months Ended |
Aug. 24, 2014 | |
Stockholders' Equity Note [Abstract] | ' |
Cash dividends declared per common share | $0.25 |
FAIR_VALUE_MEASUREMENTS_Fair_V
FAIR VALUE MEASUREMENTS (Fair Value of Assets and Liabilities Measured on Recurring Basis) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Millions, unless otherwise specified | ||
Assets: | ' | ' |
Derivative assets | $31.20 | $38.80 |
Available-for-sale securities | 2.2 | 2.1 |
Deferred compensation assets | 5.6 | 5.6 |
Total assets | 39 | 46.5 |
Liabilities: | ' | ' |
Derivative liabilities | 13.1 | 10.4 |
Deferred compensation liabilities | 46.2 | 43.7 |
Total liabilities | 59.3 | 54.1 |
Level 1 | ' | ' |
Assets: | ' | ' |
Derivative assets | 12.5 | 8.5 |
Available-for-sale securities | 2.2 | 2.1 |
Deferred compensation assets | 5.6 | 5.6 |
Total assets | 20.3 | 16.2 |
Liabilities: | ' | ' |
Derivative liabilities | 0 | 0 |
Deferred compensation liabilities | 46.2 | 43.7 |
Total liabilities | 46.2 | 43.7 |
Level 2 | ' | ' |
Assets: | ' | ' |
Derivative assets | 18.7 | 30.3 |
Available-for-sale securities | 0 | 0 |
Deferred compensation assets | 0 | 0 |
Total assets | 18.7 | 30.3 |
Liabilities: | ' | ' |
Derivative liabilities | 13.1 | 10.4 |
Deferred compensation liabilities | 0 | 0 |
Total liabilities | 13.1 | 10.4 |
Level 3 | ' | ' |
Assets: | ' | ' |
Derivative assets | 0 | 0 |
Available-for-sale securities | 0 | 0 |
Deferred compensation assets | 0 | 0 |
Total assets | 0 | 0 |
Liabilities: | ' | ' |
Derivative liabilities | 0 | 0 |
Deferred compensation liabilities | 0 | 0 |
Total liabilities | $0 | $0 |
FAIR_VALUE_MEASUREMENTS_Narrat
FAIR VALUE MEASUREMENTS (Narrative) (Details) (USD $) | Aug. 24, 2014 | 25-May-14 |
In Billions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Carrying amount of long-term debt | $7.90 | $8.90 |
Long-term debt at fair value | 8.6 | 9.5 |
Hedged debt | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Carrying amount of long-term debt | $0.50 | $0.50 |
BUSINESS_SEGMENTS_AND_RELATED_2
BUSINESS SEGMENTS AND RELATED INFORMATION (Narrative) (Detail) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 | 25-May-14 |
Segment | |||
Segment Reporting [Abstract] | ' | ' | ' |
Number of reportable segments | 3 | ' | ' |
Net derivative gains (losses) recognized in general corporate expenses | $38.30 | ' | ' |
Cumulative net derivative losses from economic hedges recognized in corporate | 23.4 | ' | ' |
Derivative loss to be reclassified to segment operating results thereafter | 14.9 | ' | ' |
Reclassify losses in 2014 | 20.7 | ' | ' |
Reclassify gains (losses) in 2015 and thereafter | $2.70 | ' | ' |
Percentage of consolidated net sales in consumer food segment accounted by Wal-Mart Stores, Inc. and its affiliates | 19.00% | 18.00% | ' |
Percentage of consolidated net receivables in commercial foods accounted by Wal-Mart Stores, Inc. and its affiliates | 17.00% | ' | 16.00% |
BUSINESS_SEGMENTS_AND_RELATED_3
BUSINESS SEGMENTS AND RELATED INFORMATION (Segment Operations) (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Net sales | ' | ' |
Net sales | $3,701 | $3,715.80 |
Operating profit | ' | ' |
Total operating profit | 353 | 367.6 |
Equity method investment earnings | ' | ' |
Total equity method investment earnings | 25.6 | 4.1 |
Operating profit plus equity method investment earnings | ' | ' |
Total operating profit plus equity method investment earnings | 378.6 | 371.7 |
Interest expense, net | 83.7 | 95.8 |
Income tax expense | 42.5 | 28.9 |
Income from continuing operations | 111.2 | 133.4 |
Less: Net income attributable to noncontrolling interests | 2.2 | 2.9 |
Income from continuing operations attributable to ConAgra Foods, Inc. | 109 | 130.5 |
Consumer Foods | ' | ' |
Net sales | ' | ' |
Net sales | 1,632.30 | 1,649.40 |
Operating profit | ' | ' |
Total operating profit | 190 | 165 |
Equity method investment earnings | ' | ' |
Total equity method investment earnings | 0.3 | 0.4 |
Operating profit plus equity method investment earnings | ' | ' |
Total operating profit plus equity method investment earnings | 190.3 | 165.4 |
Commercial Foods | ' | ' |
Net sales | ' | ' |
Net sales | 1,088.30 | 1,068.90 |
Operating profit | ' | ' |
Total operating profit | 121.1 | 137.1 |
Equity method investment earnings | ' | ' |
Total equity method investment earnings | 25.3 | 3.7 |
Operating profit plus equity method investment earnings | ' | ' |
Total operating profit plus equity method investment earnings | 146.4 | 140.8 |
Private Brands | ' | ' |
Net sales | ' | ' |
Net sales | 980.4 | 997.5 |
Operating profit | ' | ' |
Total operating profit | 41.9 | 65.5 |
Operating profit plus equity method investment earnings | ' | ' |
Total operating profit plus equity method investment earnings | 41.9 | 65.5 |
General corporate expense | ' | ' |
Operating profit plus equity method investment earnings | ' | ' |
General corporate expense | $141.20 | $113.60 |
BUSINESS_SEGMENTS_AND_RELATED_4
BUSINESS SEGMENTS AND RELATED INFORMATION (Allocation of Net Derivative Gains (Losses) from Economic Hedges of Forecasted Commodity Consumption and Foreign Currency Risk) (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Aug. 24, 2014 | Aug. 25, 2013 |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | $38.30 | ' |
Commodity contracts | ' | ' |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | -38.3 | -18.1 |
Commodity contracts | Consumer Foods | ' | ' |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | 3.7 | 1.9 |
Commodity contracts | Commercial Foods | ' | ' |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | 3.1 | 1.7 |
Commodity contracts | Private Brands | ' | ' |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | 5.2 | -0.8 |
Operating Segments | Commodity contracts | ' | ' |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | 12 | 2.8 |
Segment Reconciling Items | Commodity contracts | ' | ' |
Operating Statistics [Line Items] | ' | ' |
Derivative, Gain (Loss) on Derivative, Net | ($50.30) | ($20.90) |