Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 26, 2024 | Jun. 30, 2023 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 0-9286 | ||
Entity Registrant Name | COCA-COLA CONSOLIDATED, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 56-0950585 | ||
Entity Address, Address Line One | 4100 Coca-Cola Plaza | ||
Entity Address, City or Town | Charlotte | ||
Entity Address, State or Province | NC | ||
Entity Address, Postal Zip Code | 28211 | ||
City Area Code | 980 | ||
Local Phone Number | 392-8298 | ||
Title of 12(b) Security | Common Stock, par value $1.00 per share | ||
Trading Symbol | COKE | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 3,744,268,821 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive proxy statement to be filed with the United States Securities and Exchange Commission in connection with the registrant’s 2024 Annual Meeting of Stockholders are incorporated by reference in Part III of this report to the extent described herein. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000317540 | ||
Common Stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 8,368,993 | ||
Class B Common Stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 1,004,696 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Firm ID | 238 |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | Charlotte, North Carolina |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net sales | $ 6,653,858 | $ 6,200,957 | $ 5,562,714 |
Cost of sales | 4,055,147 | 3,923,003 | 3,608,527 |
Gross profit | 2,598,711 | 2,277,954 | 1,954,187 |
Selling, delivery and administrative expenses | 1,764,260 | 1,636,907 | 1,515,016 |
Income from operations | 834,451 | 641,047 | 439,171 |
Interest (income) expense, net | (918) | 24,792 | 33,449 |
Mark-to-market on acquisition related contingent consideration | 159,354 | 32,301 | 146,308 |
Pension plan settlement expense | 112,796 | 0 | 0 |
Other expense, net | 5,738 | 8,867 | 4,265 |
Income before taxes | 557,481 | 575,087 | 255,149 |
Income tax expense | 149,106 | 144,929 | 65,569 |
Net income | $ 408,375 | $ 430,158 | $ 189,580 |
Common Stock | |||
Basic net income per share: | |||
Common Stock (in dollars per share) | $ 43.56 | $ 45.88 | $ 20.23 |
Weighted average number of Common Stock shares outstanding (in shares) | 8,369 | 8,117 | 7,141 |
Diluted net income per share: | |||
Common Stock (in dollars per share) | $ 43.48 | $ 45.74 | $ 20.17 |
Weighted average number of Common Stock shares outstanding – assuming dilution (in shares) | 9,392 | 9,405 | 9,400 |
Class B Common Stock | |||
Basic net income per share: | |||
Common Stock (in dollars per share) | $ 43.56 | $ 45.93 | $ 20.23 |
Weighted average number of Common Stock shares outstanding (in shares) | 1,005 | 1,257 | 2,232 |
Diluted net income per share: | |||
Common Stock (in dollars per share) | $ 43.40 | $ 45.76 | $ 20.16 |
Weighted average number of Common Stock shares outstanding – assuming dilution (in shares) | 1,023 | 1,288 | 2,259 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 408,375 | $ 430,158 | $ 189,580 |
Defined benefit plans reclassification including pension costs: | |||
Actuarial gain | 3,762 | 7,742 | 14,965 |
Prior service credits (costs) | 8 | (116) | 3 |
Pension plan settlement | 82,822 | 0 | 0 |
Postretirement benefits reclassification including benefit costs: | |||
Actuarial (loss) gain | (6,031) | 7,991 | 3,089 |
Interest rate swap | 0 | 0 | 556 |
Foreign currency translation adjustment | 0 | 9 | (23) |
Other comprehensive income, net of tax | 80,561 | 15,626 | 18,590 |
Comprehensive income | $ 488,936 | $ 445,784 | $ 208,170 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current Assets: | ||
Cash and cash equivalents | $ 635,269 | $ 197,648 |
Allowance for doubtful accounts | (16,060) | (16,119) |
Accounts receivable, other | 67,533 | 54,631 |
Inventories | 321,932 | 347,545 |
Prepaid expenses and other current assets | 88,585 | 94,263 |
Total current assets | 1,705,128 | 1,245,801 |
Property, plant and equipment, net | 1,320,563 | 1,183,730 |
Right-of-use assets - operating leases | 122,708 | 140,588 |
Leased property under financing leases, net | 4,785 | 6,431 |
Other assets | 145,213 | 115,892 |
Goodwill | 165,903 | 165,903 |
Total assets | 4,288,942 | 3,709,545 |
Current Liabilities: | ||
Current portion of obligations under operating leases | 26,194 | 27,635 |
Current portion of obligations under financing leases | 2,487 | 2,303 |
Other accrued liabilities | 237,994 | 200,977 |
Accrued compensation | 146,932 | 126,921 |
Dividends payable | 154,666 | 32,808 |
Total current liabilities | 1,091,334 | 905,156 |
Deferred income taxes | 128,435 | 150,222 |
Pension and postretirement benefit obligations | 60,614 | 60,323 |
Other liabilities | 866,499 | 753,357 |
Noncurrent portion of obligations under operating leases | 102,271 | 118,763 |
Noncurrent portion of obligations under financing leases | 5,032 | 7,519 |
Long-term debt | 599,159 | 598,817 |
Total liabilities | 2,853,344 | 2,594,157 |
Commitments and Contingencies | ||
Equity: | ||
Additional paid in capital | 135,953 | 135,953 |
Retained earnings | 1,352,111 | 1,112,462 |
Accumulated other comprehensive loss | (4,276) | (84,837) |
Total equity | 1,435,598 | 1,115,388 |
Total liabilities and equity | 4,288,942 | 3,709,545 |
Nonrelated Party | ||
Current Assets: | ||
Accounts receivable | 555,933 | 532,047 |
Current Liabilities: | ||
Accounts payable, trade | 383,562 | 351,729 |
Related Party | ||
Current Assets: | ||
Accounts receivable | 51,936 | 35,786 |
Current Liabilities: | ||
Accounts payable, trade | 139,499 | 162,783 |
Convertible Preferred Stock | ||
Equity: | ||
Preferred Stock | 0 | 0 |
Nonconvertible Preferred Stock | ||
Equity: | ||
Preferred Stock | 0 | 0 |
Preferred Stock | ||
Equity: | ||
Preferred Stock | 0 | 0 |
Common Stock | ||
Equity: | ||
Common Stock | 11,431 | 11,431 |
Treasury stock, at cost | $ (60,845) | $ (60,845) |
Common stock, shares issued (in shares) | 11,431,367 | 11,431,367 |
Class B Common Stock | ||
Equity: | ||
Common Stock | $ 1,633 | $ 1,633 |
Treasury stock, at cost | $ (409) | $ (409) |
Common stock, shares issued (in shares) | 1,632,810 | 1,632,810 |
Class C Common Stock | ||
Equity: | ||
Common Stock | $ 0 | $ 0 |
Common stock, shares issued (in shares) | 0 | 0 |
Distribution agreements, net | ||
Current Assets: | ||
Intangible assets, net | $ 817,143 | $ 842,035 |
Customer lists, net | ||
Current Assets: | ||
Intangible assets, net | $ 7,499 | $ 9,165 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Convertible Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 100 | $ 100 |
Preferred stock, shares authorized (in shares) | 50,000 | 50,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Nonconvertible Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 100 | $ 100 |
Preferred stock, shares authorized (in shares) | 50,000 | 50,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common Stock | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 30,000,000 | 30,000,000 |
Common stock, shares issued (in shares) | 11,431,367 | 11,431,367 |
Treasury stock, shares (in shares) | 3,062,374 | 3,062,374 |
Class B Common Stock | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 1,632,810 | 1,632,810 |
Treasury stock, shares (in shares) | 628,114 | 628,114 |
Class C Common Stock | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares issued (in shares) | 0 | 0 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash Flows from Operating Activities: | |||
Net income | $ 408,375 | $ 430,158 | $ 189,580 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation expense from property, plant and equipment and financing leases | 153,472 | 147,962 | 157,320 |
Amortization of intangible assets and deferred proceeds, net | 23,494 | 23,628 | 23,245 |
Fair value adjustment of acquisition related contingent consideration | 159,354 | 32,301 | 146,308 |
Pension plan settlement expense | 112,796 | 0 | 0 |
Deferred income taxes | (49,021) | 8,977 | (9,183) |
Loss on sale of property, plant and equipment | 7,181 | 5,642 | 5,921 |
Amortization of debt costs | 991 | 1,012 | 1,256 |
Deferred payroll taxes under CARES Act | 0 | (18,739) | (18,739) |
Impairment and abandonment of property, plant and equipment | 0 | 0 | 3,200 |
Change in current assets less current liabilities | 29,138 | (74,784) | 30,595 |
Change in other noncurrent assets | 12,708 | 31,779 | 16,003 |
Change in other noncurrent liabilities | (47,798) | (33,430) | (23,751) |
Total adjustments | 402,315 | 124,348 | 332,175 |
Net cash provided by operating activities | 810,690 | 554,506 | 521,755 |
Cash Flows from Investing Activities: | |||
Additions to property, plant and equipment | (282,304) | (298,611) | (155,693) |
Investment in equity method investees | (13,741) | (3,094) | (2,531) |
Proceeds from the sale of property, plant and equipment | 695 | 7,369 | 5,274 |
Acquisition of distribution rights | 0 | (30,649) | (8,993) |
Net cash used in investing activities | (295,350) | (324,985) | (161,943) |
Cash Flows from Financing Activities: | |||
Cash dividends paid | (46,868) | (9,374) | (9,374) |
Payments of acquisition related contingent consideration | (28,208) | (36,515) | (39,097) |
Payments on financing lease obligations | (2,303) | (2,988) | (4,778) |
Debt issuance fees | (340) | (310) | (1,542) |
Payments on term loan facility and senior notes | 0 | (125,000) | (287,500) |
Borrowings under term loan facility | 0 | 0 | 70,000 |
Payments on revolving credit facility | 0 | 0 | (55,000) |
Borrowings under revolving credit facility | 0 | 0 | 55,000 |
Net cash used in financing activities | (77,719) | (174,187) | (272,291) |
Net increase in cash | 437,621 | 55,334 | 87,521 |
Cash at beginning of year | 197,648 | 142,314 | 54,793 |
Cash at end of year | $ 635,269 | $ 197,648 | $ 142,314 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands | Total | Common Stock | Class B Common Stock | Common Stock Common Stock | Common Stock Class B Common Stock | Additional Paid-in Capital | Retained Earnings | Retained Earnings Common Stock | Retained Earnings Class B Common Stock | Accumulated Other Comprehensive Loss | Treasury Stock - Common Stock Common Stock | Treasury Stock - Common Stock Class B Common Stock |
Beginning Balance at Dec. 31, 2020 | $ 512,990 | $ 10,204 | $ 2,860 | $ 135,953 | $ 544,280 | $ (119,053) | $ (60,845) | $ (409) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 189,580 | 189,580 | ||||||||||
Other comprehensive income, net of tax | 18,590 | 18,590 | ||||||||||
Dividends declared | $ (7,141) | $ (2,233) | $ (7,141) | $ (2,233) | ||||||||
Ending Balance at Dec. 31, 2021 | 711,786 | 10,204 | 2,860 | 135,953 | 724,486 | (100,463) | (60,845) | (409) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 430,158 | 430,158 | ||||||||||
Other comprehensive income, net of tax | 15,626 | 15,626 | ||||||||||
Dividends declared | (37,354) | (4,828) | (37,354) | (4,828) | ||||||||
Conversion of 1,227,546 shares of Class B Common Stock | 0 | 1,227 | 1,227 | |||||||||
Ending Balance at Dec. 31, 2022 | 1,115,388 | 11,431 | 1,633 | 135,953 | 1,112,462 | (84,837) | (60,845) | (409) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 408,375 | 408,375 | ||||||||||
Other comprehensive income, net of tax | 80,561 | 80,561 | ||||||||||
Dividends declared | $ (150,642) | $ (18,084) | $ (150,642) | $ (18,084) | ||||||||
Ending Balance at Dec. 31, 2023 | $ 1,435,598 | $ 11,431 | $ 1,633 | $ 135,953 | $ 1,352,111 | $ (4,276) | $ (60,845) | $ (409) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Parenthetical) | 12 Months Ended |
Dec. 31, 2022 $ / shares shares | |
Common Stock | |
Dividends declared on common stock (in dollars per share) | $ 4.50 |
Class B Common Stock | |
Dividends declared on common stock (in dollars per share) | $ 4.50 |
Shares converted (in shares) | shares | 1,227,546 |
Description of Business and Sum
Description of Business and Summary of Critical Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Description of Business and Summary of Critical Accounting Policies | Description of Business and Summary of Critical Accounting Policies Description of Business Coca‑Cola Consolidated, Inc. (the “Company”) distributes, markets and manufactures nonalcoholic beverages, primarily products of The Coca‑Cola Company, and is the largest Coca‑Cola bottler in the United States. Approximately 85% of the Company’s total bottle/can sales volume to retail customers consists of products of The Coca‑Cola Company, which include some of the most recognized and popular beverage brands in the world. The Company also distributes products for several other beverage companies, including Keurig Dr Pepper Inc. and Monster Energy Company. The Company offers a range of nonalcoholic beverage products and flavors, including both sparkling and still beverages, designed to meet the demands of its consumers. Sparkling beverages are carbonated beverages and the Company’s principal sparkling beverage is Coca‑Cola. Still beverages include energy products and noncarbonated beverages such as bottled water, ready to drink tea, ready to drink coffee, enhanced water, juices and sports drinks. The Company’s products are sold and distributed in the United States through various channels, which include selling directly to customers, including grocery stores, mass merchandise stores, club stores, convenience stores and drug stores, selling to on-premise locations, where products are typically consumed immediately, such as restaurants, schools, amusement parks and recreational facilities, and selling through other channels such as vending machine outlets. The Company manages its business on the basis of three operating segments. Nonalcoholic Beverages represents the vast majority of the Company’s consolidated net sales and income from operations. The additional two operating segments do not meet the quantitative thresholds for separate reporting, either individually or in the aggregate, and, therefore, have been combined into “All Other.” Principles of Consolidation The consolidated financial statements include the accounts and the consolidated operations of the Company and its majority-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Use of Estimates The preparation of consolidated financial statements, in conformity with accounting principles generally accepted in the United States (“GAAP”), requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents include cash on hand, cash in banks and cash equivalents, which are highly liquid money market funds and debt instruments with maturities of 90 days or less. The Company maintains cash deposits with major banks, which may exceed federally insured limits. The Company periodically assesses the financial condition of the institutions and believes the risk of any loss is minimal. Investments in debt securities with maturities of 90 days or less that the Company has the positive intent and ability to hold to maturity are carried at amortized cost and classified as held-to-maturity. Investments in debt securities that are not classified as held-to-maturity are carried at fair value and classified as either trading or available-for-sale. Accounts Receivable, Trade The Company sells its products and extends credit, generally without requiring collateral, based on an ongoing evaluation of the customer’s business prospects and financial condition. The Company evaluates the collectability of its trade accounts receivable based on a number of factors, including the Company’s historic collections pattern and changes to a specific customer’s ability to meet its financial obligations. The Company typically collects payment from customers within 30 days from the date of sale. Allowance for Doubtful Accounts The Company has established an allowance for doubtful accounts to adjust the recorded receivable to the estimated amount the Company believes will ultimately be collected. The Company’s allowance for doubtful accounts in the consolidated balance sheets includes a reserve for customer returns and an allowance for credit losses. The Company experiences customer returns primarily as a result of damaged or out-of-date product. At any given time, the Company estimates less than 1% of bottle/can sales and post-mix sales could be at risk for return by customers. Returned product is recognized as a reduction to net sales. The Company estimates an allowance for credit losses, based on historic days’ sales outstanding trends, aged customer balances, previously written-off balances and expected recoveries up to balances previously written off, in order to present the net amount expected to be collected. Accounts receivable balances are written off when determined uncollectible and are recognized as a reduction to the allowance for credit losses. Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined on the first-in, first-out method for finished products and manufacturing materials and on the average cost method for plastic shells, plastic pallets and other inventories. Property, Plant and Equipment Property, plant and equipment are recorded at cost, less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Leasehold improvements on operating leases are depreciated over the shorter of the estimated useful lives or the term of the lease, including renewal options the Company determines are reasonably assured. Additions and major replacements or betterments are added to the assets at cost. Maintenance and repair costs and minor replacements are charged to expense when incurred. When assets are replaced or otherwise disposed, the cost and accumulated depreciation are removed from the accounts and the gains or losses, if any, are reflected in the consolidated statements of operations. Gains or losses on the disposal of manufacturing equipment and manufacturing plants are included in cost of sales. Gains or losses on the disposal of all other property, plant and equipment are included in selling, delivery and administrative (“SD&A”) expenses. The Company evaluates the recoverability of the carrying amount of its property, plant and equipment when events or circumstances indicate the carrying amount of an asset or asset group may not be recoverable. These evaluations are performed at a level where independent cash flows may be attributed to either an asset or an asset group. If the Company determines the carrying amount of an asset or asset group is not recoverable based upon the expected undiscounted future cash flows of the asset or asset group, an impairment loss is recorded equal to the excess of the carrying amounts over the estimated fair values of the long-lived assets. Leases The Company leases office and warehouse space, machinery and other equipment under noncancelable operating lease agreements and also leases certain warehouse space under financing lease agreements. The Company uses the following policies and assumptions to evaluate its leases: • Determining a lease: The Company assesses contracts at inception to determine whether an arrangement is or includes a lease, which conveys the Company’s right to control the use of an identified asset for a period of time in exchange for consideration. Operating lease right-of-use assets and associated liabilities are recognized at the commencement date and initially measured based on the present value of lease payments over the defined lease term. • Allocating lease and non-lease components: The Company has elected the practical expedient to not separate lease and non-lease components for certain classes of underlying assets. The Company has equipment and vehicle lease agreements, which generally have the lease and associated non-lease components accounted for as a single lease component. The Company has real estate lease agreements with lease and non-lease components, which are accounted for separately where applicable. • Calculating the discount rate: The Company calculates the discount rate based on the discount rate implicit in the lease, or if the implicit rate is not readily determinable from the lease, then the Company calculates an incremental borrowing rate using a portfolio approach. The incremental borrowing rate is calculated using the contractual lease term and the Company’s borrowing rate. • Recognizing leases: The Company does not recognize leases with a contractual term of less than 12 months on its consolidated balance sheets. Lease expense for these short-term leases is expensed on a straight-line basis over the lease term. • Including rent increases or escalation clauses: Certain leases contain scheduled rent increases or escalation clauses, which can be based on the Consumer Price Index or other rates. The Company assesses each contract individually and applies the appropriate variable payments based on the terms of the agreement. • Including renewal options and/or purchase options: Certain leases include renewal options to extend the lease term and/or purchase options to purchase the leased asset. The Company assesses these options using a threshold of reasonably certain, which is a high threshold and, therefore, the majority of the Company’s leases do not include renewal periods or purchase options for the measurement of the right-of-use asset and the associated lease liability. For leases the Company is reasonably certain to renew or purchase, those options are included within the lease term and, therefore, included in the measurement of the right-of-use asset and the associated lease liability. • Including options to terminate: Certain leases include the option to terminate the lease prior to its scheduled expiration. This allows a contractually bound party to terminate its obligation under the lease contract, typically in return for an agreed-upon financial consideration. The terms and conditions of the termination options vary by contract. • Including residual value guarantees, restrictions or covenants: The Company’s lease agreements do not contain residual value guarantees, restrictions or covenants. Internal Use Software The Company capitalizes costs incurred in the development or acquisition of internal use software. The Company expenses costs incurred in the preliminary project planning stage. Costs, such as maintenance and training, are also expensed as incurred. Capitalized costs are amortized over their estimated useful lives using the straight-line method. Amortization expense for internal use software, which is included in depreciation expense, was $1.7 million in 2023, $3.0 million in 2022 and $5.4 million in 2021. Goodwill All business combinations are accounted for using the acquisition method. Goodwill is tested for impairment annually, or more frequently if facts and circumstances indicate such assets may be impaired. The Company performs its annual goodwill impairment test, which includes a qualitative assessment to determine whether it is more likely than not that the fair value of the goodwill is below its carrying value, as of the first day of the fourth quarter each year, and more often if there are significant changes in business conditions that could result in impairment. All of the Company’s goodwill resides within one reporting unit within the Nonalcoholic Beverages reportable segment and, therefore, the Company has determined it has one reporting unit for the purpose of assessing goodwill for potential impairment. The Company uses its overall market capitalization as part of its estimate of fair value of the reporting unit and in assessing the reasonableness of the Company’s internal estimates of fair value. When a quantitative analysis is considered necessary for the annual impairment analysis of goodwill, the Company develops an estimated fair value for the reporting unit considering three different approaches: • market value, using the Company’s stock price plus outstanding debt; • discounted cash flow analysis; and • multiple of earnings before interest, taxes, depreciation and amortization based upon relevant industry data. The estimated fair value of the reporting unit is then compared to its carrying amount, including goodwill. If the estimated fair value exceeds the carrying amount, goodwill is not considered impaired. If the carrying amount, including goodwill, exceeds its estimated fair value, any excess of the carrying value of goodwill of the reporting unit over its fair value is recorded as an impairment. To the extent the actual and projected cash flows decline in the future or if market conditions or market capitalization significantly deteriorate, the Company may be required to perform an interim impairment analysis that could result in an impairment of goodwill. During 2023, 2022 and 2021, the Company performed its annual impairment test of goodwill and determined there was no impairment of the carrying value of these assets. Distribution Agreements and Customer Lists The Company’s definite-lived intangible assets consist of distribution agreements and customer lists, which have estimated useful lives of 20 to 40 years and five Acquisition Related Contingent Consideration Liability The acquisition related contingent consideration liability consists of the estimated amounts due to The Coca‑Cola Company under the Company’s comprehensive beverage agreements (collectively, the “CBA”) with The Coca‑Cola Company and Coca‑Cola Refreshments USA, Inc. (“CCR”), a wholly owned subsidiary of The Coca‑Cola Company, over the useful life of the related distribution rights. The CBA relates to a multi-year series of transactions, which were completed in October 2017, through which the Company acquired and exchanged distribution territories and manufacturing plants (the “System Transformation”). Pursuant to the CBA, the Company is required to make quarterly acquisition related sub-bottling payments to CCR on a continuing basis in exchange for the grant of exclusive rights to distribute, promote, market and sell the authorized brands of The Coca‑Cola Company and related products in certain distribution territories the Company acquired from CCR. This acquisition related contingent consideration is valued using a probability weighted discounted cash flow model based on internal forecasts and the weighted average cost of capital (“WACC”) derived from market data, which are considered Level 3 inputs. Each reporting period, the Company adjusts its acquisition related contingent consideration liability related to the distribution territories subject to acquisition related sub-bottling payments to fair value by discounting future expected acquisition related sub-bottling payments required under the CBA using the Company’s estimated WACC. These future expected acquisition related sub-bottling payments extend through the life of the related distribution assets acquired in each distribution territory, which is generally 40 years. As a result, the fair value of the acquisition related contingent consideration liability is impacted by the Company’s WACC, management’s estimate of the acquisition related sub-bottling payments that will be made in the future under the CBA, and current acquisition related sub-bottling payments (all Level 3 inputs). Changes in any of these Level 3 inputs, particularly the underlying risk-free interest rate used to estimate the Company’s WACC, could result in material changes to the fair value of the acquisition related contingent consideration liability and could materially impact the amount of non-cash expense (or income) recorded each reporting period. Pension and Postretirement Benefit Plans The Company has historically sponsored two pension plans. The primary Company-sponsored pension plan (the “Primary Plan”) was frozen as of June 30, 2006 and no benefits accrued to participants after that date. The second Company-sponsored pension plan (the “Bargaining Plan”) is for certain employees under collective bargaining agreements. Benefits under the Bargaining Plan are determined in accordance with negotiated formulas for the respective participants. Contributions to the plans are based on actuarially determined amounts and are limited to the amounts currently deductible for income tax purposes. The Company also sponsors a postretirement healthcare plan for employees meeting specified qualifying criteria. The expense and liability amounts recorded for the benefit plans reflect estimates related to interest rates, investment returns, employee turnover and age at retirement, mortality rates and healthcare costs. The Primary Plan was fully settled in 2023. The Company recognized a non-cash charge related to the full settlement of the Primary Plan benefit liabilities, which was recorded as pension plan settlement expense in the consolidated statement of operations for 2023, and there are no remaining benefit liabilities related to the Primary Plan as of December 31, 2023. See Note 17 for additional discussion of the termination of the Primary Plan. The Company determines an appropriate discount rate annually for the Bargaining Plan and the postretirement healthcare plan based on the Aon AA Above Median yield curve as of the measurement date and reviews the discount rate assumption at the end of each year. The service cost components of the net periodic benefit cost of the plans are charged to current operations, and the non-service cost components of the net periodic benefit cost of the plans are classified as other expense, net. In addition, certain other union employees are covered by plans provided by their respective union organizations and the Company expenses amounts as paid in accordance with union agreements. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to operating losses and tax credit carryforwards, as well as the differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance will be provided against deferred tax assets if the Company determines it is more likely than not such assets will not ultimately be realized. The Company does not recognize a tax benefit unless it concludes that it is more likely than not that the benefit will be sustained on audit by the taxing authority based solely on the technical merits of the associated tax position. If the recognition threshold is met, the Company recognizes a tax benefit measured at the largest amount of the tax benefit that, in the Company’s judgment, is greater than 50% likely to be realized. The Company records interest and penalties related to uncertain tax positions in income tax expense. Revenue Recognition The Company’s sales are divided into two main categories: (i) bottle/can sales and (ii) other sales. Bottle/can sales include products packaged primarily in plastic bottles and aluminum cans. Bottle/can net pricing is based on the invoice price charged to customers reduced by any promotional allowances. Bottle/can net pricing per unit is impacted by the price charged per package, the sales volume generated for each package and the channels in which those packages are sold. Other sales include sales to other Coca‑Cola bottlers, post-mix sales, transportation revenue and equipment maintenance revenue. Post-mix products are dispensed through equipment that mixes fountain syrups with carbonated or still water, enabling fountain retailers to sell finished products to consumers in cups or glasses. The Company’s contracts are derived from customer orders, including customer sales incentives, generated through an order processing and replenishment model. Generally, the Company’s service contracts and contracts related to the delivery of specifically identifiable products have a single performance obligation. Revenues do not include sales or other taxes collected from customers. The Company has defined its performance obligations for its contracts as either at a point in time or over time. Bottle/can sales, sales to other Coca‑Cola bottlers and post-mix sales are recognized when control transfers to a customer, which is generally upon delivery and is considered a single point in time (“point in time”). Other sales, which include revenue for service fees related to the repair of cold drink equipment and delivery fees for freight hauling and brokerage services, are recognized over time (“over time”). Revenues related to cold drink equipment repair are recognized as the respective services are completed using a cost-to-cost input method. Repair services are generally completed in less than one day but can extend up to one month. Revenues related to freight hauling and brokerage services are recognized as the delivery occurs using a miles driven output method. Generally, delivery occurs and freight charges are recognized in the same day. Over time sales orders open at the end of a financial period are not material to the consolidated financial statements. Marketing Programs and Sales Incentives The Company participates in various sales programs with The Coca‑Cola Company, other beverage companies and customers to increase the sale of its products. Programs negotiated with customers include arrangements under which allowances can be earned for attaining agreed-upon sales levels. The cost of these various sales incentives is not considered a separate performance obligation and is included as a deduction to net sales. Allowance payments made to customers can be conditional on the achievement of volume targets and/or marketing commitments. Payments made in advance are recorded as prepayments and amortized in the consolidated statements of operations over the relevant period for which the customer commitment is made. In the event there is no separate identifiable benefit or the fair value of such benefit cannot be established, the amortization of the prepayment is included as a deduction to net sales. The nature of the Company’s contracts gives rise to several types of variable consideration, including prospective and retrospective rebates. The Company accounts for its prospective and retrospective rebates using the expected value method, which estimates the net price to the customer based on the customer’s expected annual sales volume projections. Marketing Funding Support The Company receives marketing funding support payments in cash from The Coca‑Cola Company and other beverage companies. Payments to the Company for marketing programs to promote bottle/can sales volume and fountain syrup sales volume are recognized as a reduction to cost of sales, primarily on a per unit basis, as the product is sold. Payments for periodic programs are recognized in the period during which they are earned. Cash consideration received by a customer from a vendor is presumed to be a reduction of the price of the vendor’s products or services. As such, the cash received is accounted for as a reduction to cost of sales unless it is a specific reimbursement of costs or payments for services. Payments the Company receives from The Coca‑Cola Company and other beverage companies for marketing funding support are classified as a reduction to cost of sales. Commodity Derivative Instruments The Company is subject to the risk of increased costs arising from adverse changes in certain commodity prices. In the normal course of business, the Company manages this risk through a variety of strategies, including the use of commodity derivative instruments. The Company does not use commodity derivative instruments for trading or speculative purposes. These commodity derivative instruments are not designated as hedging instruments under GAAP and are used as “economic hedges” to manage certain commodity price risk. The Company uses several different financial institutions for commodity derivative instruments to minimize the concentration of credit risk. While the Company would be exposed to credit loss in the event of nonperformance by these counterparties, the Company does not anticipate nonperformance by these counterparties. Commodity derivative instruments held by the Company are marked to market on a quarterly basis and recognized in earnings consistent with the expense classification of the underlying hedged item. The Company generally pays a fee for these commodity derivative instruments, which is amortized over the corresponding period of each commodity derivative instrument. Settlements of commodity derivative instruments are included in cash flows from operating activities in the consolidated statements of cash flows. All commodity derivative instruments are recorded at fair value as either assets or liabilities in the consolidated balance sheets. The Company has master agreements with the counterparties to its commodity derivative instruments that provide for net settlement of derivative transactions. Accordingly, the net amounts of derivative assets are recognized in either prepaid expenses and other current assets or other assets in the consolidated balance sheets and the net amounts of derivative liabilities are recognized in either other accrued liabilities or other liabilities in the consolidated balance sheets. Risk Management Programs The Company uses various insurance structures to manage costs related to workers’ compensation, auto liability, medical and other insurable risks. These structures consist of retentions, deductibles, limits and a diverse group of insurers that serve to strategically finance, transfer and mitigate the financial impact of losses to the Company. Losses are accrued using assumptions and procedures followed in the insurance industry, then adjusted for company-specific history and expectations. Cost of Sales Inputs representing a substantial portion of the Company’s cost of sales include: (i) purchases of finished products, (ii) raw material costs, including aluminum cans, plastic bottles, carbon dioxide and sweetener, (iii) concentrate costs and (iv) manufacturing costs, including labor, overhead and warehouse costs. In addition, cost of sales includes shipping, handling and fuel costs related to the movement of finished products from manufacturing plants to distribution centers, amortization expense of distribution rights, distribution fees of certain products and marketing credits from brand companies. Selling, Delivery and Administrative Expenses SD&A expenses include the following: sales management labor costs, distribution costs resulting from transporting finished products from distribution centers to customer locations, distribution center overhead including depreciation expense, distribution center warehousing costs, delivery vehicles and cold drink equipment, point-of-sale expenses, advertising expenses, cold drink equipment repair costs, amortization of intangible assets and administrative support labor and operating costs. Shipping and Handling Costs Shipping and handling costs related to the movement of finished products from manufacturing plants to distribution centers are included in cost of sales. Shipping and handling costs directly related to the movement of finished products from distribution centers to customer locations, including distribution center warehousing costs, are included in SD&A expenses. Stock Compensation The Company has a long-term performance equity plan (the “Long-Term Performance Equity Plan”) under which awards are earned and granted to J. Frank Harrison, III, Chairman of the Board of Directors and Chief Executive Officer of the Company, based on the Company’s attainment during a performance period of performance measures specified by the Compensation Committee of the Company’s Board of Directors. Mr. Harrison may elect to have awards earned under the Long‑Term Performance Equity Plan settled in cash and/or shares of the Company’s Class B Common Stock. See Note 2 for additional information on the Long‑Term Performance Equity Plan. Common Stock and Class B Common Stock The Company has two classes of common stock outstanding, Common Stock and Class B Common Stock. The Common Stock is traded on The Nasdaq Global Select Market under the symbol “COKE.” There is no established public trading market for the Class B Common Stock. Shares of Class B Common Stock are convertible on a share-for-share basis into shares of Common Stock at any time at the option of the holder. Each share of Common Stock is entitled to one vote per share and each share of Class B Common Stock is entitled to 20 votes per share at all meetings of the Company’s stockholders. Except as otherwise required by law, holders of the Common Stock and the Class B Common Stock vote together as a single class on all matters submitted to the Company’s stockholders, including the election of the Board of Directors. As a result, the holders of the Class B Common Stock control approximately 71% of the total voting power of the stockholders of the Company and control the election of the Board of Directors. In the event of liquidation, there is no preference between the two classes of common stock. Dividends No cash dividend or dividend of property or stock other than stock of the Company, as specifically described in the Company’s Restated Certificate of Incorporation, as amended (the “Restated Certificate of Incorporation”), may be declared and paid on the Class B Common Stock unless an equal or greater dividend is declared and paid on the Common Stock. Under the Restated Certificate of Incorporation, the Board of Directors may declare dividends on the Common Stock without declaring equal or any dividends on the Class B Common Stock. Notwithstanding this provision, the Class B Common Stock has voting and conversion rights that allow the Class B Common Stock to participate equally on a per share basis with the Common Stock. The Company’s Board of Directors has declared, and the Company has paid, dividends on the Common Stock and the Class B Common Stock and each class of common stock has participated equally in all dividends declared by the Board of Directors and paid by the Company since 1994. During 2023, dividends of $18.00 per share were declared and dividends of $5.00 per share were paid on both the Common Stock and the Class B Common Stock. Of the dividends declared in 2023, $16.50 per share of dividends declared but not yet paid as of December 31, 2023 were paid on February 9, 2024 to stockholders of record of the Common Stock and the Class B Common Stock as of the close of business on January 26, 2024. During 2022, dividends of $4.50 per share were declared and dividends of $1.00 per share were paid on both the Common Stock and the Class B Common Stock. During 2021, dividends of $1.00 per share were declared and paid on both the Common Stock and the Class B Common Stock. Total cash dividends paid were $46.9 million in 2023 and $9.4 million in both 2022 and 2021. Net Income Per Share The Company applies the two-class method for calculating and presenting net income per share. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock according to dividends declared or accumulated and participation rights in undistributed earnings. Under this method: (i) Income from continuing operations (“net income”) is reduced by the amount of dividends declared in the current period for each class of stock and by the contractual amount of dividends that must be paid for the current period. (ii) The remaining earnings (“undistributed earnings”) are allocated to the Common Stock and the Class B Common Stock to the extent each security may share in earnings as if all the earnings for the period had been distributed. The total earnings allocated to each security is determined by adding together the amount allocated for dividends and the amount allocated for a participation feature. (iii) The total earnings allocated to each security is then divided by the number of outstanding shares of the security to which the earnings are allocated to determine the earnings per share for the security. (iv) Basic and diluted net income per share data are presented for each cla |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions The Coca‑Cola Company The Company’s business consists primarily of the distribution, marketing and manufacture of nonalcoholic beverages of The Coca‑Cola Company, which is the sole owner of the formulas under which the primary components of the Company’s soft drink products, either concentrate or syrup, are manufactured. As of December 31, 2023, J. Frank Harrison, III, Chairman of the Board of Directors and Chief Executive Officer of the Company, controlled 1,004,394 shares of the Company’s Class B Common Stock, which represented approximately 71% of the total voting power of the Company’s outstanding Common Stock and Class B Common Stock on a consolidated basis. As of December 31, 2023, The Coca‑Cola Company owned shares of the Company’s Common Stock representing approximately 9% of the total voting power of the Company’s outstanding Common Stock and Class B Common Stock on a consolidated basis. The number of shares of the Company’s Common Stock currently held by The Coca‑Cola Company gives it the right to have a designee proposed by the Company for nomination to the Company’s Board of Directors in the Company’s annual proxy statement. J. Frank Harrison, III and the trustees of certain trusts established for the benefit of certain relatives of the late J. Frank Harrison, Jr. have agreed to vote the shares of the Company’s Common Stock and Class B Common Stock that they control in favor of such designee. The Coca‑Cola Company does not own any shares of the Company’s Class B Common Stock. The following table summarizes the significant cash transactions between the Company and The Coca‑Cola Company: Fiscal Year (in thousands) 2023 2022 2021 Payments made by the Company to The Coca-Cola Company (1) $ 2,019,409 $ 1,867,727 $ 1,558,784 Payments made by The Coca-Cola Company to the Company 253,972 256,333 207,073 (1) This excludes acquisition related sub-bottling payments made by the Company to CCR, a wholly owned subsidiary of The Coca‑Cola Company, but includes the purchase price of certain additional BODYARMOR distribution rights, each as discussed below. On January 1, 2022, the Company entered into an agreement to acquire $30.1 million of additional BODYARMOR distribution rights with an estimated useful life of 40 years. More than 80% of the payments made by the Company to The Coca‑Cola Company were for concentrate, syrup, sweetener and other finished goods products, which were recorded in cost of sales in the consolidated statements of operations and represent the primary components of the soft drink products the Company manufactures and distributes. Payments made by the Company to The Coca‑Cola Company also included payments for marketing programs associated with large, national customers managed by The Coca‑Cola Company on behalf of the Company, which were recorded as a reduction to net sales in the consolidated statements of operations. Other payments made by the Company to The Coca‑Cola Company related to cold drink equipment parts, fees associated with the rights to distribute certain brands and other customary items. Payments made by The Coca‑Cola Company to the Company included annual funding in connection with the Company’s agreement to support certain business initiatives developed by The Coca‑Cola Company and funding associated with the delivery of post-mix products to various customers, both of which were recorded as a reduction to cost of sales in the consolidated statements of operations. Payments made by The Coca‑Cola Company to the Company also included fountain product delivery and equipment repair services performed by the Company on The Coca‑Cola Company’s equipment, all of which were recorded in net sales in the consolidated statements of operations. Coca‑Cola Refreshments USA, Inc. The CBA requires the Company to make quarterly acquisition related sub-bottling payments to CCR on a continuing basis in exchange for the grant of exclusive rights to distribute, promote, market and sell the authorized brands of The Coca‑Cola Company and related products in certain distribution territories the Company acquired from CCR. These acquisition related sub-bottling payments are based on gross profit derived from the Company’s sales of certain beverages and beverage products that are sold under the same trademarks that identify a covered beverage, a beverage product or certain cross-licensed brands applicable to the System Transformation. Acquisition related sub-bottling payments to CCR were $28.2 million in 2023, $36.5 million in 2022 and $39.1 million in 2021. The following table summarizes the liability recorded by the Company to reflect the estimated fair value of contingent consideration related to future expected acquisition related sub‑bottling payments to CCR: (in thousands) December 31, 2023 December 31, 2022 Current portion of acquisition related contingent consideration $ 64,528 $ 40,060 Noncurrent portion of acquisition related contingent consideration 604,809 501,431 Total acquisition related contingent consideration $ 669,337 $ 541,491 Southeastern Container (“Southeastern”) The Company is a shareholder of Southeastern, a plastic bottle manufacturing cooperative. The Company accounts for Southeastern as an equity method investment. The Company’s investment in Southeastern, which was classified as other assets in the consolidated balance sheets, was $20.9 million as of December 31, 2023 and $21.2 million as of December 31, 2022. South Atlantic Canners, Inc. (“SAC”) The Company is a shareholder of SAC, a manufacturing cooperative located in Bishopville, South Carolina. All of SAC’s shareholders are Coca‑Cola bottlers and each has equal voting rights. The Company accounts for SAC as an equity method investment. The Company’s investment in SAC, which was classified as other assets in the consolidated balance sheets, was $17.2 million as of December 31, 2023 and $8.2 million as of December 31, 2022. The Company also guarantees a portion of SAC’s debt; see Note 20 for additional information. The Company receives a fee for managing the day-to-day operations of SAC pursuant to a management agreement. Proceeds from management fees received from SAC, which were recorded as a reduction to cost of sales in the consolidated statements of operations, were $9.3 million in 2023, $8.9 million in 2022 and $8.7 million in 2021. Coca‑Cola Bottlers’ Sales & Services Company LLC (“CCBSS”) Along with all other Coca‑Cola bottlers in the United States and Canada, the Company is a member of CCBSS, a company formed to provide certain procurement and other services with the intention of enhancing the efficiency and competitiveness of the Coca‑Cola bottling system. The Company accounts for CCBSS as an equity method investment and its investment in CCBSS is not material. CCBSS negotiates the procurement for the majority of the Company’s raw materials, excluding concentrate, and the Company receives a rebate from CCBSS for the purchase of these raw materials. The Company had rebates due from CCBSS of $14.3 million on December 31, 2023 and $25.7 million on December 31, 2022, which were classified as accounts receivable, other in the consolidated balance sheets. Changes in rebates receivable relate to volatility in raw material prices and the timing of cash receipts of rebates. In addition, the Company pays an administrative fee to CCBSS for its services. The Company incurred administrative fees to CCBSS of $2.8 million in 2023, $2.4 million in 2022 and $2.9 million in 2021, which were classified as SD&A expenses in the consolidated statements of operations. CONA Services LLC (“CONA”) Along with certain other Coca‑Cola bottlers, the Company is a member of CONA, an entity formed to provide business process and information technology services to its members. The Company accounts for CONA as an equity method investment. The Company’s investment in CONA, which was classified as other assets in the consolidated balance sheets, was $22.1 million as of December 31, 2023 and $16.9 million as of December 31, 2022. Pursuant to an amended and restated master services agreement with CONA, the Company is authorized to use the Coke One North America system (the “CONA System”), a uniform information technology system developed to promote operational efficiency and uniformity among North American Coca‑Cola bottlers. In exchange for the Company’s rights to use the CONA System and receive CONA-related services, it is charged service fees by CONA. The Company incurred service fees to CONA of $27.5 million in 2023, $25.7 million in 2022 and $24.1 million in 2021. Related Party Leases The Company leases its headquarters office facility and an adjacent office facility in Charlotte, North Carolina from Beacon Investment Corporation, of which J. Frank Harrison, III is the majority stockholder and Morgan H. Everett, Vice Chair of the Company’s Board of Directors, is a minority stockholder. The annual base rent the Company is obligated to pay under this lease is subject to an adjustment for an inflation factor and the lease expires on December 31, 2029. The principal balance outstanding under this lease was $22.5 million on December 31, 2023 and $25.5 million on December 31, 2022. A summary of rental payments for related party leases for 2023, 2022 and 2021 is as follows: Fiscal Year (in thousands) 2023 2022 2021 Company headquarters $ 3,931 $ 3,854 $ 3,778 Snyder Production Center (1) — 927 4,451 (1) The lease for the Snyder Production Center and an adjacent sales facility in Charlotte, North Carolina (together, the “Snyder Production Center”) was terminated during 2022 in connection with the purchase of the Snyder Production Center by CCBCC Operations, LLC, a wholly owned subsidiary of the Company. Long-Term Performance Equity Plan The Long-Term Performance Equity Plan compensates J. Frank Harrison, III based on the Company’s performance. Awards granted to Mr. Harrison under the Long-Term Performance Equity Plan are earned based on the Company’s attainment during a performance period of certain performance measures, each as specified by the Compensation Committee of the Company’s Board of Directors. These awards may be settled in cash and/or shares of the Company’s Class B Common Stock, based on the average of the closing prices of shares of the Company’s Common Stock during the last 20 trading days of the performance period. Compensation expense for the Long-Term Performance Equity Plan, which was included in SD&A expenses in the consolidated statements of operations, was $10.3 million in 2023, $10.1 million in 2022 and $9.8 million in 2021. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition The Company’s sales are divided into two main categories: (i) bottle/can sales and (ii) other sales. Bottle/can sales include products packaged primarily in plastic bottles and aluminum cans. Bottle/can net pricing is based on the invoice price charged to customers reduced by any promotional allowances. Bottle/can net pricing per unit is impacted by the price charged per package, the sales volume generated for each package and the channels in which those packages are sold. Other sales include sales to other Coca‑Cola bottlers, post-mix sales, transportation revenue and equipment maintenance revenue. The Company’s contracts are derived from customer orders, including customer sales incentives, generated through an order processing and replenishment model. Generally, the Company’s service contracts and contracts related to the delivery of specifically identifiable products have a single performance obligation. Revenues do not include sales or other taxes collected from customers. The Company has defined its performance obligations for its contracts as either at a point in time or over time. Bottle/can sales, sales to other Coca‑Cola bottlers and post-mix sales are recognized when control transfers to a customer, which is generally upon delivery and is considered a single point in time. Point in time sales accounted for approximately 98% of the Company’s net sales in 2023 and approximately 97% of the Company’s net sales in both 2022 and 2021. Other sales, which include revenue for service fees related to the repair of cold drink equipment and delivery fees for freight hauling and brokerage services, are recognized over time. Revenues related to cold drink equipment repair are recognized as the respective services are completed using a cost-to-cost input method. Repair services are generally completed in less than one day but can extend up to one month. Revenues related to freight hauling and brokerage services are recognized as the delivery occurs using a miles driven output method. Generally, delivery occurs and freight charges are recognized in the same day. Over time sales orders open at the end of a financial period are not material to the consolidated financial statements. The following table represents a disaggregation of revenue from contracts with customers: Fiscal Year (in thousands) 2023 2022 2021 Point in time net sales: Nonalcoholic Beverages - point in time $ 6,510,155 $ 6,034,914 $ 5,389,444 Total point in time net sales $ 6,510,155 $ 6,034,914 $ 5,389,444 Over time net sales: Nonalcoholic Beverages - over time $ 52,467 $ 46,443 $ 43,225 All Other - over time 91,236 119,600 130,045 Total over time net sales $ 143,703 $ 166,043 $ 173,270 Total net sales $ 6,653,858 $ 6,200,957 $ 5,562,714 The Company’s allowance for doubtful accounts in the consolidated balance sheets includes a reserve for customer returns and an allowance for credit losses. The Company experiences customer returns primarily as a result of damaged or out-of-date product. At any given time, the Company estimates less than 1% of bottle/can sales and post-mix sales could be at risk for return by customers. Returned product is recognized as a reduction to net sales. The Company’s reserve for customer returns was $4.5 million as of December 31, 2023 and $3.0 million as of December 31, 2022. The Company estimates an allowance for credit losses, based on historic days’ sales outstanding trends, aged customer balances, previously written-off balances and expected recoveries up to balances previously written off, in order to present the net amount expected to be collected. Accounts receivable balances are written off when determined uncollectible and are recognized as a reduction to the allowance for credit losses. Following is a summary of activity for the allowance for credit losses during 2023, 2022 and 2021: Fiscal Year (in thousands) 2023 2022 2021 Beginning balance - allowance for credit losses $ 13,119 $ 14,336 $ 18,070 Additions charged to expenses and as a reduction to net sales 2,639 4,326 4,638 Deductions (4,198) (5,543) (8,372) Ending balance - allowance for credit losses $ 11,560 $ 13,119 $ 14,336 |
Segments
Segments | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segments | Segments The Company evaluates segment reporting in accordance with FASB Accounting Standards Codification Topic 280, Segment Reporting, each reporting period, including evaluating the reporting package reviewed by the CODM. The Company has concluded the Chief Executive Officer, the Chief Operating Officer and the Chief Financial Officer, as a group, represent the CODM. Asset information is not provided to the CODM. The Company believes three operating segments exist. Nonalcoholic Beverages represents the vast majority of the Company’s consolidated net sales and income from operations. The additional two operating segments do not meet the quantitative thresholds for separate reporting, either individually or in the aggregate, and, therefore, have been combined into “All Other.” The Company’s segment results are as follows: Fiscal Year (in thousands) 2023 2022 2021 Net sales: Nonalcoholic Beverages $ 6,562,622 $ 6,081,357 $ 5,432,669 All Other 370,748 399,359 366,855 Eliminations (1) (279,512) (279,759) (236,810) Consolidated net sales $ 6,653,858 $ 6,200,957 $ 5,562,714 (1) The entire net sales elimination represents net sales from the All Other segment to the Nonalcoholic Beverages segment. Sales between these segments are recognized at either fair market value or cost depending on the nature of the transaction. Fiscal Year (in thousands) 2023 2022 2021 Income from operations: Nonalcoholic Beverages $ 841,491 $ 639,136 $ 456,713 All Other (7,040) 1,911 (17,542) Consolidated income from operations $ 834,451 $ 641,047 $ 439,171 Depreciation and amortization: Nonalcoholic Beverages $ 164,485 $ 159,845 $ 168,206 All Other 12,481 11,745 12,359 Consolidated depreciation and amortization $ 176,966 $ 171,590 $ 180,565 |
Net Income Per Share
Net Income Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | Net Income Per Share The following table sets forth the computation of basic net income per share and diluted net income per share under the two-class method. See Note 1 for additional information related to net income per share. Fiscal Year (in thousands, except per share data) 2023 2022 2021 Numerator for basic and diluted net income per Common Stock and Class B Common Stock share: Net income $ 408,375 $ 430,158 $ 189,580 Less dividends: Common Stock 41,844 8,062 7,141 Class B Common Stock 5,024 1,312 2,233 Total undistributed earnings $ 361,507 $ 420,784 $ 180,206 Common Stock undistributed earnings – basic $ 322,749 $ 364,359 $ 137,293 Class B Common Stock undistributed earnings – basic 38,758 56,425 42,913 Total undistributed earnings – basic $ 361,507 $ 420,784 $ 180,206 Common Stock undistributed earnings – diluted $ 322,131 $ 363,158 $ 136,899 Class B Common Stock undistributed earnings – diluted 39,376 57,626 43,307 Total undistributed earnings – diluted $ 361,507 $ 420,784 $ 180,206 Numerator for basic net income per Common Stock share: Dividends on Common Stock $ 41,844 $ 8,062 $ 7,141 Common Stock undistributed earnings – basic 322,749 364,359 137,293 Numerator for basic net income per Common Stock share $ 364,593 $ 372,421 $ 144,434 Numerator for basic net income per Class B Common Stock share: Dividends on Class B Common Stock $ 5,024 $ 1,312 $ 2,233 Class B Common Stock undistributed earnings – basic 38,758 56,425 42,913 Numerator for basic net income per Class B Common Stock share $ 43,782 $ 57,737 $ 45,146 Numerator for diluted net income per Common Stock share: Dividends on Common Stock $ 41,844 $ 8,062 $ 7,141 Dividends on Class B Common Stock assumed converted to Common Stock 5,024 1,312 2,233 Common Stock undistributed earnings – diluted 361,507 420,784 180,206 Numerator for diluted net income per Common Stock share $ 408,375 $ 430,158 $ 189,580 Numerator for diluted net income per Class B Common Stock share: Dividends on Class B Common Stock $ 5,024 $ 1,312 $ 2,233 Class B Common Stock undistributed earnings – diluted 39,376 57,626 43,307 Numerator for diluted net income per Class B Common Stock share $ 44,400 $ 58,938 $ 45,540 Fiscal Year (in thousands, except per share data) 2023 2022 2021 Denominator for basic net income per Common Stock and Class B Common Stock share: Common Stock weighted average shares outstanding – basic 8,369 8,117 7,141 Class B Common Stock weighted average shares outstanding – basic 1,005 1,257 2,232 Denominator for diluted net income per Common Stock and Class B Common Stock share: Common Stock weighted average shares outstanding – diluted (assumes conversion of Class B Common Stock to Common Stock) 9,392 9,405 9,400 Class B Common Stock weighted average shares outstanding – diluted 1,023 1,288 2,259 Basic net income per share: Common Stock $ 43.56 $ 45.88 $ 20.23 Class B Common Stock $ 43.56 $ 45.93 $ 20.23 Diluted net income per share: Common Stock $ 43.48 $ 45.74 $ 20.17 Class B Common Stock $ 43.40 $ 45.76 $ 20.16 NOTES TO TABLE (1) For purposes of the diluted net income per share computation for Common Stock, all shares of Class B Common Stock are assumed to be converted; therefore, 100% of undistributed earnings is allocated to Common Stock. (2) For purposes of the diluted net income per share computation for Class B Common Stock, weighted average shares of Class B Common Stock are assumed to be outstanding for the entire period and not converted. (3) For periods presented during which the Company has net income, the denominator for diluted net income per share for Common Stock and Class B Common Stock includes the dilutive effect of shares relative to the Long-Term Performance Equity Plan. For periods presented during which the Company has net loss, the unvested performance units granted pursuant to the Long-Term Performance Equity Plan are excluded from the computation of diluted net loss per share, as the effect would have been anti-dilutive. See Note 2 for additional information on the Long-Term Performance Equity Plan. (4) The Long-Term Performance Equity Plan awards may be settled in cash and/or shares of the Company’s Class B Common Stock. Once an election has been made to settle an award in cash, the dilutive effect of shares relative to such award is prospectively removed from the denominator in the computation of diluted net income per share. (5) The Company did not have anti-dilutive shares for any periods presented. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Finished products $ 207,912 $ 211,089 Manufacturing materials 71,560 89,300 Plastic shells, plastic pallets and other inventories 42,460 47,156 Total inventories $ 321,932 $ 347,545 |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expense and Other Assets [Abstract] | |
Prepaid Expenses and Other Current Assets | Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Repair parts $ 35,256 $ 35,088 Prepaid software 9,427 7,398 Prepaid taxes 9,020 7,829 Prepaid marketing 4,703 4,303 Commodity hedges at fair market value 3,747 4,808 Other prepaid expenses and other current assets 26,432 34,837 Total prepaid expenses and other current assets $ 88,585 $ 94,263 |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, Net | Property, Plant and Equipment, Net The principal categories and estimated useful lives of property, plant and equipment, net were as follows: (in thousands) December 31, 2023 December 31, 2022 Estimated Useful Lives Land $ 99,858 $ 88,185 Buildings 390,852 352,114 8-50 years Machinery and equipment 498,737 462,640 5-20 years Transportation equipment 611,001 515,752 3-20 years Furniture and fixtures 107,072 102,099 3-10 years Cold drink dispensing equipment 449,508 438,879 3-17 years Leasehold and land improvements 179,146 177,940 5-20 years Software for internal use 49,611 48,581 3-10 years Construction in progress 95,623 103,803 Total property, plant and equipment, at cost 2,481,408 2,289,993 Less: Accumulated depreciation and amortization 1,160,845 1,106,263 Property, plant and equipment, net $ 1,320,563 $ 1,183,730 During 2023, 2022 and 2021, the Company performed periodic reviews of property, plant and equipment and determined no material impairment existed. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases Following is a summary of the weighted average remaining lease term and the weighted average discount rate for the Company’s leases: December 31, 2023 December 31, 2022 Weighted average remaining lease term: Operating leases 6.7 years 7.2 years Financing leases 3.5 years 4.3 years Weighted average discount rate: Operating leases 3.8 % 3.6 % Financing leases 5.2 % 5.2 % Following is a summary of the Company’s leases within the consolidated statements of operations: Fiscal Year (in thousands) 2023 2022 2021 Operating lease costs $ 32,959 $ 30,484 $ 26,385 Short-term and variable leases 15,995 15,065 17,245 Depreciation expense from financing leases 1,646 2,315 5,656 Interest expense on financing lease obligations 447 884 2,301 Total lease cost $ 51,047 $ 48,748 $ 51,587 The future minimum lease payments related to the Company’s leases include renewal options the Company has determined to be reasonably certain and exclude payments to landlords for real estate taxes and common area maintenance. Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2023 : (in thousands) Operating Leases Financing Leases 2024 $ 29,932 $ 2,808 2025 24,329 2,869 2026 21,115 1,233 2027 18,614 338 2028 13,890 345 Thereafter 39,022 620 Total minimum lease payments including interest $ 146,902 $ 8,213 Less: Amounts representing interest 18,437 694 Present value of minimum lease principal payments 128,465 7,519 Less: Current portion of lease liabilities - operating and financing leases 26,194 2,487 Noncurrent portion of lease liabilities - operating and financing leases $ 102,271 $ 5,032 Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2022: (in thousands) Operating Leases Financing Leases 2023 $ 31,697 $ 2,750 2024 27,663 2,808 2025 21,628 2,869 2026 19,036 1,233 2027 17,227 338 Thereafter 51,372 966 Total minimum lease payments including interest $ 168,623 $ 10,964 Less: Amounts representing interest 22,225 1,142 Present value of minimum lease principal payments 146,398 9,822 Less: Current portion of lease liabilities - operating and financing leases 27,635 2,303 Noncurrent portion of lease liabilities - operating and financing leases $ 118,763 $ 7,519 Following is a summary of the Company’s leases within the consolidated statements of cash flows: Fiscal Year (in thousands) 2023 2022 2021 Cash flows from operating activities impact: Operating leases $ 33,013 $ 28,891 $ 27,642 Interest payments on financing lease obligations 447 884 2,301 Total cash flows from operating activities impact $ 33,460 $ 29,775 $ 29,943 Cash flows from financing activities impact: Principal payments on financing lease obligations $ 2,303 $ 2,988 $ 4,778 Total cash flows from financing activities impact $ 2,303 $ 2,988 $ 4,778 |
Leases | Leases Following is a summary of the weighted average remaining lease term and the weighted average discount rate for the Company’s leases: December 31, 2023 December 31, 2022 Weighted average remaining lease term: Operating leases 6.7 years 7.2 years Financing leases 3.5 years 4.3 years Weighted average discount rate: Operating leases 3.8 % 3.6 % Financing leases 5.2 % 5.2 % Following is a summary of the Company’s leases within the consolidated statements of operations: Fiscal Year (in thousands) 2023 2022 2021 Operating lease costs $ 32,959 $ 30,484 $ 26,385 Short-term and variable leases 15,995 15,065 17,245 Depreciation expense from financing leases 1,646 2,315 5,656 Interest expense on financing lease obligations 447 884 2,301 Total lease cost $ 51,047 $ 48,748 $ 51,587 The future minimum lease payments related to the Company’s leases include renewal options the Company has determined to be reasonably certain and exclude payments to landlords for real estate taxes and common area maintenance. Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2023 : (in thousands) Operating Leases Financing Leases 2024 $ 29,932 $ 2,808 2025 24,329 2,869 2026 21,115 1,233 2027 18,614 338 2028 13,890 345 Thereafter 39,022 620 Total minimum lease payments including interest $ 146,902 $ 8,213 Less: Amounts representing interest 18,437 694 Present value of minimum lease principal payments 128,465 7,519 Less: Current portion of lease liabilities - operating and financing leases 26,194 2,487 Noncurrent portion of lease liabilities - operating and financing leases $ 102,271 $ 5,032 Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2022: (in thousands) Operating Leases Financing Leases 2023 $ 31,697 $ 2,750 2024 27,663 2,808 2025 21,628 2,869 2026 19,036 1,233 2027 17,227 338 Thereafter 51,372 966 Total minimum lease payments including interest $ 168,623 $ 10,964 Less: Amounts representing interest 22,225 1,142 Present value of minimum lease principal payments 146,398 9,822 Less: Current portion of lease liabilities - operating and financing leases 27,635 2,303 Noncurrent portion of lease liabilities - operating and financing leases $ 118,763 $ 7,519 Following is a summary of the Company’s leases within the consolidated statements of cash flows: Fiscal Year (in thousands) 2023 2022 2021 Cash flows from operating activities impact: Operating leases $ 33,013 $ 28,891 $ 27,642 Interest payments on financing lease obligations 447 884 2,301 Total cash flows from operating activities impact $ 33,460 $ 29,775 $ 29,943 Cash flows from financing activities impact: Principal payments on financing lease obligations $ 2,303 $ 2,988 $ 4,778 Total cash flows from financing activities impact $ 2,303 $ 2,988 $ 4,778 |
Distribution Agreements, Net
Distribution Agreements, Net | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Distribution Agreements, Net | Distribution Agreements, Net Distribution agreements, net, which are amortized on a straight-line basis and have estimated useful lives of 20 to 40 years, consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Distribution agreements at cost $ 990,191 $ 990,191 Less: Accumulated amortization 173,048 148,156 Distribution agreements, net $ 817,143 $ 842,035 Following is a summary of activity for distribution agreements, net during 2023 and 2022: Fiscal Year (in thousands) 2023 2022 Beginning balance - distribution agreements, net $ 842,035 $ 836,777 Other distribution agreements — 30,149 Additional accumulated amortization (24,892) (24,891) Ending balance - distribution agreements, net $ 817,143 $ 842,035 Assuming no impairment of distribution agreements, net, amortization expense in future years based upon recorded amounts as of December 31, 2023 will be $24.9 million for each fiscal year 2024 through 2028. Customer Lists, Net Customer lists, net, which are amortized on a straight-line basis and have estimated useful lives of five (in thousands) December 31, 2023 December 31, 2022 Customer lists at cost $ 25,288 $ 25,288 Less: Accumulated amortization 17,789 16,123 Customer lists, net $ 7,499 $ 9,165 Assuming no impairment of customer lists, net, amortization expense in future years based upon recorded amounts as of December 31, 2023 will, on average, be $1.4 million for each fiscal year 2024 through 2028. |
Customer Lists, Net
Customer Lists, Net | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Customer Lists, Net | Distribution Agreements, Net Distribution agreements, net, which are amortized on a straight-line basis and have estimated useful lives of 20 to 40 years, consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Distribution agreements at cost $ 990,191 $ 990,191 Less: Accumulated amortization 173,048 148,156 Distribution agreements, net $ 817,143 $ 842,035 Following is a summary of activity for distribution agreements, net during 2023 and 2022: Fiscal Year (in thousands) 2023 2022 Beginning balance - distribution agreements, net $ 842,035 $ 836,777 Other distribution agreements — 30,149 Additional accumulated amortization (24,892) (24,891) Ending balance - distribution agreements, net $ 817,143 $ 842,035 Assuming no impairment of distribution agreements, net, amortization expense in future years based upon recorded amounts as of December 31, 2023 will be $24.9 million for each fiscal year 2024 through 2028. Customer Lists, Net Customer lists, net, which are amortized on a straight-line basis and have estimated useful lives of five (in thousands) December 31, 2023 December 31, 2022 Customer lists at cost $ 25,288 $ 25,288 Less: Accumulated amortization 17,789 16,123 Customer lists, net $ 7,499 $ 9,165 Assuming no impairment of customer lists, net, amortization expense in future years based upon recorded amounts as of December 31, 2023 will, on average, be $1.4 million for each fiscal year 2024 through 2028. |
Supply Chain Finance Program
Supply Chain Finance Program | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Supply Chain Finance Program | Supply Chain Finance Program The Company has an agreement with a third-party financial institution to facilitate a supply chain finance (“SCF”) program, which allows qualifying suppliers to sell their receivables from the Company to the financial institution. The participating suppliers negotiate their outstanding receivable arrangements and associated fees directly with the financial institution, and the Company is not party to those agreements. Once a qualifying supplier elects to participate in the SCF program and reaches an agreement with the financial institution, the supplier elects which individual Company invoices it sells to the financial institution. The supplier invoices that have been confirmed as valid under the SCF program require payment in full by the financial institution to the supplier by the original maturity date of the invoice, or discounted payment at an earlier date as agreed upon with the supplier. The Company’s obligations to its suppliers, including amounts due and scheduled payment terms, are not impacted by a supplier’s participation in the SCF program. All outstanding amounts related to suppliers participating in the SCF program are recorded in accounts payable, trade in the consolidated balance sheets, and associated payments are included in operating activities in the consolidated statements of cash flows. The Company’s outstanding confirmed obligations included in accounts payable, trade |
Other Accrued Liabilities
Other Accrued Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Payables and Accruals [Abstract] | |
Other Accrued Liabilities | Other Accrued Liabilities Other accrued liabilities consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Current portion of acquisition related contingent consideration $ 64,528 $ 40,060 Accrued marketing costs 55,799 33,375 Accrued insurance costs 54,040 54,180 Employee and retiree benefit plan accruals 34,203 31,711 Accrued taxes (other than income taxes) 7,474 7,127 Accrued interest payable 2,520 2,677 All other accrued expenses 19,430 31,847 Total other accrued liabilities $ 237,994 $ 200,977 |
Commodity Derivative Instrument
Commodity Derivative Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Commodity Derivative Instruments | Commodity Derivative Instruments The Company is subject to the risk of increased costs arising from adverse changes in certain commodity prices. In the normal course of business, the Company manages this risk through a variety of strategies, including the use of commodity derivative instruments. The Company does not use commodity derivative instruments for trading or speculative purposes. These commodity derivative instruments are not designated as hedging instruments under GAAP and are used as “economic hedges” to manage certain commodity price risk. The Company uses several different financial institutions for commodity derivative instruments to minimize the concentration of credit risk. While the Company would be exposed to credit loss in the event of nonperformance by these counterparties, the Company does not anticipate nonperformance by these counterparties. Commodity derivative instruments held by the Company are marked to market on a quarterly basis and are recognized in earnings consistent with the expense classification of the underlying hedged item. The Company generally pays a fee for these commodity derivative instruments, which is amortized over the corresponding period of each commodity derivative instrument. Settlements of commodity derivative instruments are included in cash flows from operating activities in the consolidated statements of cash flows. The following table summarizes pre-tax changes in the fair values of the Company’s commodity derivative instruments and the classification of such changes in the consolidated statements of operations: Fiscal Year (in thousands) 2023 2022 2021 Cost of sales $ 1,220 $ (3,333) $ 3,469 Selling, delivery and administrative expenses (2,281) 427 1,772 Total (loss) gain $ (1,061) $ (2,906) $ 5,241 All commodity derivative instruments are recorded at fair value as either assets or liabilities in the consolidated balance sheets. The Company has master agreements with the counterparties to its commodity derivative instruments that provide for net settlement of derivative transactions. Accordingly, the net amounts of derivative assets are recognized in either prepaid expenses and other current assets or other assets in the consolidated balance sheets and the net amounts of derivative liabilities are recognized in either other accrued liabilities or other liabilities in the consolidated balance sheets. The following table summarizes the fair values of the Company’s commodity derivative instruments and the classification of such instruments in the consolidated balance sheets: (in thousands) December 31, 2023 December 31, 2022 Prepaid expenses and other current assets $ 3,747 $ 4,808 Total assets $ 3,747 $ 4,808 The following table summarizes the Company’s gross commodity derivative instrument assets and gross commodity derivative instrument liabilities in the consolidated balance sheets: (in thousands) December 31, 2023 December 31, 2022 Gross commodity derivative instrument assets $ 3,747 $ 4,808 Gross commodity derivative instrument liabilities — — The following table summarizes the Company’s outstanding commodity derivative instruments: (in thousands) December 31, 2023 December 31, 2022 Notional amount of outstanding commodity derivative instruments $ 50,187 $ 61,128 Latest maturity date of outstanding commodity derivative instruments December 2024 December 2023 |
Fair Values of Financial Instru
Fair Values of Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Values of Financial Instruments | Fair Values of Financial Instruments GAAP requires assets and liabilities carried at fair value to be classified and disclosed in one of the following categories: • Level 1: Quoted market prices in active markets for identical assets or liabilities. • Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. • Level 3: Unobservable inputs that are not corroborated by market data. The below methods and assumptions were used by the Company in estimating the fair values of its financial instruments. There were no transfers of assets or liabilities between levels in any period presented. Financial Instrument Fair Value Methods and Assumptions Deferred compensation plan assets and liabilities Level 1 The fair value of the Company’s nonqualified deferred compensation plan for certain executives and other highly compensated employees is based on the fair values of associated assets and liabilities, which are held in mutual funds and are based on the quoted market values of the securities held within the mutual funds. Pension plan assets Level 1 The fair values of the Company’s Level 1 pension plan assets, which are equity securities and fixed income investment vehicles, are valued using the quoted market prices of those securities which are actively traded on national exchanges. Pension plan assets Level 2 The fair values of the Company’s Level 2 pension plan assets, which are investments that are pooled with other investments in a commingled fund, are valued using the net asset value produced by the fund manager. The assets within the commingled funds have a readily determinable fair market value. Commodity derivative instruments Level 2 The fair values of the Company’s commodity derivative instruments are based on current settlement values at each balance sheet date, which represent the estimated amounts the Company would have received or paid upon termination of these instruments. The Company’s credit risk related to the commodity derivative instruments is managed by requiring high standards for its counterparties and periodic settlements. The Company considers nonperformance risk in determining the fair values of commodity derivative instruments. Long-term debt Level 2 The carrying amounts of the Company’s variable rate debt approximate the fair values due to variable interest rates with short reset periods. The fair values of the Company’s fixed rate debt are based on estimated current market prices. Acquisition related contingent consideration Level 3 The fair value of the Company’s acquisition related contingent consideration is based on internal forecasts and the WACC derived from market data. The following tables summarize the carrying amounts and the fair values by level of the Company’s deferred compensation plan assets and liabilities, pension plan assets, commodity derivative instruments, long-term debt and acquisition related contingent consideration: December 31, 2023 (in thousands) Carrying Total Fair Value Fair Value Fair Value Assets: Deferred compensation plan assets $ 64,769 $ 64,769 $ 64,769 $ — $ — Pension plan assets 47,321 47,321 24,153 23,168 — Commodity derivative instruments 3,747 3,747 — 3,747 — Liabilities: Deferred compensation plan liabilities 64,769 64,769 64,769 — — Long-term debt 599,159 579,000 — 579,000 — Acquisition related contingent consideration 669,337 669,337 — — 669,337 December 31, 2022 (in thousands) Carrying Total Fair Value Fair Value Fair Value Assets: Deferred compensation plan assets $ 51,257 $ 51,257 $ 51,257 $ — $ — Pension plan assets 261,942 261,942 242,639 19,303 — Commodity derivative instruments 4,808 4,808 — 4,808 — Liabilities: Deferred compensation plan liabilities 51,257 51,257 51,257 — — Long-term debt 598,817 575,900 — 575,900 — Acquisition related contingent consideration 541,491 541,491 — — 541,491 The acquisition related contingent consideration was valued using a probability weighted discounted cash flow model based on internal forecasts and the WACC derived from market data, which are considered Level 3 inputs. Each reporting period, the Company adjusts its acquisition related contingent consideration liability related to the distribution territories subject to acquisition related sub-bottling payments to fair value by discounting future expected acquisition related sub-bottling payments required under the CBA using the Company’s estimated WACC. The future expected acquisition related sub-bottling payments extend through the life of the related distribution assets acquired in each distribution territory, which is generally 40 years. As a result, the fair value of the acquisition related contingent consideration liability is impacted by the Company’s WACC, management’s estimate of the acquisition related sub-bottling payments that will be made in the future under the CBA, and current acquisition related sub-bottling payments (all Level 3 inputs). Changes in any of these Level 3 inputs, particularly the underlying risk-free interest rate used to estimate the Company’s WACC, could result in material changes to the fair value of the acquisition related contingent consideration liability and could materially impact the amount of non-cash expense (or income) recorded each reporting period. The acquisition related contingent consideration liability is the Company’s only Level 3 asset or liability. A summary of the Level 3 activity is as follows: Fiscal Year (in thousands) 2023 2022 Beginning balance - Level 3 liability $ 541,491 $ 542,105 Payments of acquisition related contingent consideration (28,208) (36,515) Reclassification to current payables (3,300) 3,600 Increase in fair value 159,354 32,301 Ending balance - Level 3 liability $ 669,337 $ 541,491 As of December 31, 2023 and December 31, 2022, discount rates of 8.5% and 9.1%, respectively, were utilized in the valuation of the Company’s acquisition related contingent consideration liability. The increase in the fair value of the acquisition related contingent consideration liability in 2023 was driven by higher projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments as well as a decrease in the discount rate used to calculate the fair value of the liability. This fair value adjustment was recorded in mark-to-market on acquisition related contingent consideration in the consolidated statement of operations for 2023. For the next five years, the Company anticipates that the amount it could pay annually under the acquisition related contingent consideration arrangements for the distribution territories subject to acquisition related sub-bottling payments will be in the range of approximately $50 million to $70 million. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The current income tax provision represents the estimated amount of income taxes paid or payable for the year, as well as changes in estimates from prior years. The deferred income tax (benefit) provision represents the change in deferred tax liabilities and assets. The following table presents the significant components of the provision for income taxes: Fiscal Year (in thousands) 2023 2022 2021 Current: Federal $ 158,475 $ 109,899 $ 59,308 State 39,652 26,053 15,444 Total current provision $ 198,127 $ 135,952 $ 74,752 Deferred: Federal $ (40,658) $ 7,478 $ (4,966) State (8,363) 1,499 (4,217) Total deferred (benefit) provision $ (49,021) $ 8,977 $ (9,183) Income tax expense $ 149,106 $ 144,929 $ 65,569 The Company’s effective income tax rate was 26.7% for 2023, 25.2% for 2022 and 25.7% for 2021. The following table provides a reconciliation of income tax expense at the statutory federal rate to actual income tax expense: Fiscal Year 2023 2022 2021 (in thousands) Income % pre-tax Income % pre-tax Income % pre-tax Statutory expense $ 117,071 21.0 % $ 120,768 21.0 % $ 53,581 21.0 % State income taxes, net of federal benefit 21,001 3.8 21,572 3.8 9,522 3.7 Nondeductible compensation 7,372 1.3 4,005 0.7 3,545 1.4 Meals, entertainment and travel expense 3,336 0.6 1,694 0.3 2,028 0.8 Valuation allowance change 701 0.1 (932) (0.2) (902) (0.4) Adjustment for uncertain tax positions 52 — (1,351) (0.2) (984) (0.4) Other, net (427) (0.1) (827) (0.2) (1,221) (0.4) Income tax expense $ 149,106 26.7 % $ 144,929 25.2 % $ 65,569 25.7 % The Company records liabilities for uncertain tax positions related to income tax positions. These liabilities reflect the Company’s best estimate of the ultimate income tax liability based on known facts and information. Material changes in facts or information, as well as the expiration of statutes of limitations and/or settlements with individual tax jurisdictions, may result in material adjustments to these estimates in the future. The Company recognizes potential interest and penalties related to uncertain tax positions in income tax expense. During 2023, 2022 and 2021, the interest and penalties related to uncertain tax positions recognized in income tax expense were not material. In addition, the amount of interest and penalties accrued at December 31, 2023 and December 31, 2022 were not material. The Company had uncertain tax positions, including accrued interest, of $0.4 million on December 31, 2023 and $0.3 million on December 31, 2022, all of which would affect the Company’s effective income tax rate if recognized. While it is expected the amount of uncertain tax positions may change in the next 12 months, the Company does not expect such change would have a material impact on the consolidated financial statements. A reconciliation of uncertain tax positions, excluding accrued interest, is as follows: Fiscal Year (in thousands) 2023 2022 2021 Beginning balance - gross uncertain tax positions $ 285 $ 1,254 $ 2,161 Increase as a result of tax positions taken in the current year 105 105 59 Increase as a result of tax positions taken in a prior year — — — Reduction as a result of the expiration of the applicable statute of limitations (60) (1,074) (966) Ending balance - gross uncertain tax positions $ 330 $ 285 $ 1,254 Deferred income taxes are recorded based upon temporary differences between the financial statement and tax bases of assets and liabilities and available net operating loss and tax credit carryforwards. Temporary differences and carryforwards that comprised deferred income tax assets and liabilities were as follows: (in thousands) December 31, 2023 December 31, 2022 Acquisition related contingent consideration $ 163,827 $ 132,535 Accrued liabilities 32,516 30,064 Operating lease liabilities 31,443 35,832 Deferred compensation 27,017 23,102 Deferred revenue 26,750 27,976 Postretirement benefits 13,601 11,511 Transactional costs 3,101 3,532 Financing lease agreements 470 614 Net operating loss carryforwards 437 532 Pension 427 808 Other 3,084 3,875 Deferred income tax assets $ 302,673 $ 270,381 Less: Valuation allowance for deferred tax assets 4,130 3,428 Net deferred income tax asset $ 298,543 $ 266,953 Depreciation $ (201,875) $ (182,174) Intangible assets (170,504) (173,560) Right-of-use assets - operating leases (30,034) (34,410) Inventory (11,425) (14,603) Prepaid expenses (8,028) (9,193) Patronage dividend (5,112) (3,235) Deferred income tax liabilities $ (426,978) $ (417,175) Net deferred income tax liability $ (128,435) $ (150,222) The Company’s deferred income tax assets and liabilities are subject to adjustment in future periods based on the Company’s ongoing evaluations of such deferred assets and liabilities and new information available to the Company. Valuation allowances are recognized on deferred tax assets if the Company believes it is more likely than not that some or all of the deferred tax assets will not be realized. The Company believes the majority of the deferred tax assets will be realized due to the reversal of certain significant temporary differences and anticipated future taxable income from operations. The valuation allowance of $4.1 million on December 31, 2023 and $3.4 million on December 31, 2022 was established primarily for certain loss carryforwards and deferred compensation. As of December 31, 2023, the Company had no federal net operating losses and $10.1 million of state net operating losses available to reduce future income taxes, which expire in varying amounts through 2043. Prior tax years beginning in year 2020 remain open to examination by the Internal Revenue Service, and various tax years beginning in year 2000 remain open to examination by certain state tax jurisdictions due to loss carryforwards. |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Benefit Plans | Benefit Plans Executive Benefit Plans In addition to the Company’s Director Deferral Plan, the Company has four executive benefit plans: the Supplemental Savings Incentive Plan, the Long-Term Retention Plan, the Officer Retention Plan and the Long-Term Performance Plan. The Company also has a Long-Term Performance Equity Plan, as discussed in Note 2. Pursuant to the Supplemental Savings Incentive Plan, as amended and restated effective November 1, 2011, and as further amended thereafter, eligible participants may elect to defer a portion of their annual salary and bonus. Participants are immediately vested in all deferred contributions they make and become fully vested in Company contributions upon completion of five years of service with the Company, termination of employment due to death or retirement or a change in control. Participant deferrals and Company contributions made in years prior to 2006 are invested in either a fixed benefit option or certain investment funds determined by the participant. Beginning in 2010, the Company may elect at its discretion to match up to 50% of the first 6% of salary, excluding bonuses, deferred by the participant. During 2023, 2022 and 2021, the Company matched 50% of the first 6% of salary, excluding bonuses, deferred by the participant. The Company may also make discretionary contributions to participants’ accounts. Under the Director Deferral Plan, as amended and restated effective January 1, 2014, non-employee directors may defer payment of all or a portion of their annual retainer and meeting fees. There is no Company matching contribution under the Director Deferral Plan. The liability under these two deferral plans was as follows: (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 7,805 $ 8,147 Noncurrent liabilities 82,458 74,976 Total liability - Supplemental Savings Incentive Plan and Director Deferral Plan $ 90,263 $ 83,123 Under the Long-Term Retention Plan, effective March 5, 2014, and as amended thereafter, the Company accrues a defined amount each year for an eligible participant based upon an award schedule. Amounts awarded may earn an investment return based on certain investment funds specified by the Company. Accrued benefits under the Long-Term Retention Plan are 50% vested until age 51. Beginning at age 51, the vesting percentage increases by 5% each year until the accrued benefit is fully vested at age 60. Participants receive payments from the plan upon retirement or, in certain instances, upon termination of employment. Payments are made in the form of monthly installments over a period of 10, 15 or 20 years. The liability under this plan was as follows: (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 219 $ 173 Noncurrent liabilities 10,633 7,249 Total liability - Long-Term Retention Plan $ 10,852 $ 7,422 Under the Officer Retention Plan, as amended and restated effective January 1, 2007, and as further amended thereafter, eligible participants may elect to receive an annuity payable in equal monthly installments over a 10-, 15- or 20-year period commencing at retirement or, in certain instances, upon termination of employment. The benefits under the Officer Retention Plan increase with each year of participation as set forth in an agreement between the participant and the Company. Accrued benefits under the Officer Retention Plan are 50% vested until age 51. Beginning at age 51, the vesting percentage increases by 5% each year until the accrued benefit is fully vested at age 60. The liability under this plan was as follows: (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 3,591 $ 3,730 Noncurrent liabilities 35,663 35,959 Total liability - Officer Retention Plan $ 39,254 $ 39,689 Under the Long-Term Performance Plan, as amended and restated effective January 1, 2018, and as further amended thereafter, the Compensation Committee of the Company’s Board of Directors establishes dollar amounts to which a participant shall be entitled upon attainment of the applicable performance measures. Bonus awards under the Long-Term Performance Plan are made based on the relative achievement of performance measures in terms of the Company-sponsored objectives or objectives related to the performance of the individual participant or of the subsidiary, division, department, region or function in which the participant is employed. The liability under this plan was as follows: (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 9,104 $ 7,738 Noncurrent liabilities 14,029 9,673 Total liability - Long-Term Performance Plan $ 23,133 $ 17,411 Pension Plans The Company has historically sponsored two pension plans. The Primary Plan was frozen as of June 30, 2006 and no benefits accrued to participants after that date. The Bargaining Plan is for certain employees under collective bargaining agreements. Benefits under the Bargaining Plan are determined in accordance with negotiated formulas for the respective participants. Contributions to the plans are based on actuarially determined amounts and are limited to the amounts currently deductible for income tax purposes. The Company updates its mortality assumptions used in the calculation of its pension liability each year using The Society of Actuaries’ latest mortality tables and mortality projection scales. Primary Plan In 2022, the Company began the process of terminating the Primary Plan. In connection with the termination process, the Company offered a lump sum benefit payout option to certain plan participants. The remaining assets of the Primary Plan were used to purchase a group annuity contract that transferred the remaining Primary Plan benefit liabilities to an insurance company. During 2023, the Company contributed $12.0 million to fund the termination of the Primary Plan. The Company recognized settlement expense of $112.8 million during 2023 in conjunction with the full settlement of the Primary Plan benefit liabilities, including final premium adjustments. This settlement expense related primarily to the reclassification of the gross actuarial losses associated with the Primary Plan out of accumulated other comprehensive loss and was recorded as pension plan settlement expense in the consolidated statement of operations for 2023. As of December 31, 2023, there was no remaining projected benefit obligation, plan assets or net unfunded liability related to the Primary Plan. As of December 31, 2022, the projected benefit obligation and plan assets related to the Primary Plan were $231.0 million and $223.3 million, respectively. The projected benefit obligation and the accumulated benefit obligation for the Primary Plan were in excess of plan assets as of December 31, 2022. The net unfunded status of the Primary Plan as of December 31, 2022 was $7.7 million, which was classified as a noncurrent liability in the consolidated balance sheets. Net Periodic Pension Cost Fiscal Year (in thousands) 2023 2022 2021 Service cost $ — $ — $ — Interest cost 5,982 8,978 8,479 Expected return on plan assets (4,608) (6,320) (11,799) Recognized net actuarial loss 1,946 3,588 4,090 Net periodic pension cost - Primary Plan 3,320 6,246 770 Settlement expense 112,796 — — Total pension expense - Primary Plan $ 116,116 $ 6,246 $ 770 Bargaining Plan The following tables set forth pertinent information for the Bargaining Plan: Fiscal Year (in thousands) 2023 2022 Beginning balance - Bargaining Plan projected benefit obligation $ 39,177 $ 50,427 Service cost 3,996 6,586 Interest cost 2,079 1,664 Plan amendments 5 154 Actuarial loss (gain) 1,652 (19,012) Benefits paid (786) (642) Ending balance - Bargaining Plan projected benefit obligation $ 46,123 $ 39,177 Changes in Projected Benefit Obligation The plan assets of the Bargaining Plan were in excess of the projected benefit obligation and the accumulated benefit obligation as of December 31, 2023. The projected benefit obligation and the accumulated benefit obligation for the Bargaining Plan were in excess of plan assets as of December 31, 2022. The accumulated benefit obligation associated with the Bargaining Plan was $46.1 million on December 31, 2023 and $39.2 million on December 31, 2022. The decrease in the discount rate for the Bargaining Plan, as compared to the previous year, was the primary driver of the actuarial loss in 2023. The increase in the discount rate for the Bargaining Plan, as compared to the previous year, was the primary driver of the actuarial gain in 2022. The actuarial loss (gain), net of tax, was recorded in accumulated other comprehensive loss in the consolidated balance sheets. Change in Plan Assets Fiscal Year (in thousands) 2023 2022 Beginning balance - Bargaining Plan assets at fair value $ 38,635 $ 36,944 Actual return on plan assets 5,495 (9,314) Employer contributions 4,300 12,000 Benefits and expenses paid (1,109) (995) Ending balance - Bargaining Plan assets at fair value $ 47,321 $ 38,635 Funded Status (in thousands) December 31, 2023 December 31, 2022 Projected benefit obligation $ (46,123) $ (39,177) Plan assets at fair value 47,321 38,635 Net funded status - Bargaining Plan $ 1,198 $ (542) Amounts Recognized in the Consolidated Balance Sheets (in thousands) December 31, 2023 December 31, 2022 Liabilities: Current liabilities $ — $ — Noncurrent liabilities — (542) Total liability - Bargaining Plan $ — $ (542) Assets: Noncurrent assets $ 1,198 $ — Total asset - Bargaining Plan $ 1,198 $ — Net Periodic Pension Cost Fiscal Year (in thousands) 2023 2022 2021 Service cost $ 3,996 $ 6,586 $ 7,529 Interest cost 2,079 1,664 1,367 Expected return on plan assets (2,438) (1,823) (1,201) Recognized net actuarial loss — 402 864 Amortization of prior service costs 16 — 3 Net periodic pension cost - Bargaining Plan $ 3,653 $ 6,829 $ 8,562 Significant Assumptions Fiscal Year 2023 2022 2021 Projected benefit obligation at the measurement date: Discount rate - Bargaining Plan 5.16 % 5.34 % 3.31 % Weighted average rate of compensation increase N/A N/A N/A Net periodic pension cost for the fiscal year: Discount rate - Bargaining Plan 5.34 % 3.31 % 3.12 % Weighted average expected long-term rate of return of plan assets - Bargaining Plan (1) 7.00 % 5.50 % 5.75 % Weighted average rate of compensation increase N/A N/A N/A (1) The weighted average expected long-term rate of return assumption for the Bargaining Plan assets, which was used to compute net periodic pension cost, is based upon target asset allocation and is determined using forward-looking performance and duration assumptions set at the beginning of each fiscal year. Cash Flows The anticipated future pension benefit payments as of December 31, 2023 were as follows: (in thousands) Anticipated Future Payment 2024 $ 1,059 2025 1,248 2026 1,471 2027 1,710 2028 1,941 2029 - 2033 13,335 All anticipated future pension benefit payments relate to the Bargaining Plan. The Company does not expect cash contributions to the Bargaining Plan to exceed $2 million during 2024. Plan Assets All assets in the Company’s Bargaining Plan are invested in institutional investment funds managed by professional investment advisors which hold U.S. equities, international equities and debt securities. The objective of the Company’s investment philosophy is to earn the plans’ targeted rate of return over longer periods without assuming excess investment risk. The weighted average expected long-term rate of return assumption for the Bargaining Plan assets, which will be used to compute 2024 net periodic pension cost, is based upon target asset allocation and is determined using forward-looking performance and duration assumptions in the context of historical returns and volatilities for each asset class. The Company evaluates the rate of return assumption on an annual basis. The Company’s actual asset allocation at December 31, 2023 and December 31, 2022 and target asset allocation for 2024 by asset category for the Bargaining Plan were as follows: Percentage of Bargaining Plan Target Asset 2023 2022 2024 U.S. debt securities 55 % 56 % 40 % U.S. equity securities 33 % 32 % 46 % International debt securities 1 % 2 % — % International equity securities 10 % 10 % 12 % Cash and cash equivalents 1 % — % 2 % Total 100 % 100 % 100 % The expected long-term rate of return on assets for the Bargaining Plan as of December 31, 2023 was 7.00%. Debt securities in the Bargaining Plan as of December 31, 2023 were comprised primarily of investments in government and corporate bonds with a weighted average maturity of approximately 19 years. U.S. equity securities in the Bargaining Plan as of December 31, 2023 included: (i) large-capitalization domestic equity funds as represented by the S&P 500 index, (ii) mid-capitalization domestic equity funds as represented by the Russell Mid Cap Growth and Value indexes, (iii) small-capitalization domestic equity funds as represented by the Russell Small Cap Growth and Value indexes and (iv) alternative investment funds as represented by the HFRX Global index and the MSCI US REIT index. International equity securities in the Bargaining Plan as of December 31, 2023 included companies from both developed and emerging markets outside the United States. Cash and cash equivalents have a weighted average duration of less than one year. The following table summarizes the Company’s pension plan assets, which are classified as Level 1 and Level 2 for fair value measurement. As of December 31, 2023, the below values include Bargaining Plan assets only, as there were no remaining Primary Plan assets after the termination of the plan. As of December 31, 2022, the below values include both Bargaining Plan and Primary Plan assets. The Company does not have any Level 3 pension plan assets. See Note 15 for additional information. (in thousands) December 31, 2023 December 31, 2022 Pension plan assets - fixed income $ 26,543 $ 232,578 Pension plan assets - equity securities 20,550 16,194 Pension plan assets - cash and cash equivalents 228 13,170 Total pension plan assets $ 47,321 $ 261,942 401(k) Savings Plan The Company provides a 401(k) Savings Plan for substantially all of its employees who are not part of collective bargaining agreements and for certain employees under collective bargaining agreements. The Company’s matching contribution for employees who are not part of collective bargaining agreements is discretionary, with the option to match contributions for eligible participants up to 5% based on the Company’s financial results. For all years presented, the Company matched the maximum 5% of participants’ contributions. The Company’s matching contribution for employees who are part of collective bargaining agreements is determined in accordance with negotiated formulas for the respective employees. The total expense for the Company’s matching contributions to the 401(k) Savings Plan was $30.5 million in 2023, $26.8 million in 2022 and $24.8 million in 2021. Postretirement Benefits The Company provides postretirement benefits for employees meeting specified qualifying criteria. The Company recognizes the cost of postretirement benefits, which consist principally of medical benefits, during employees’ periods of active service. The Company does not prefund these benefits and has the right to modify or terminate certain of these benefits in the future. The following tables set forth pertinent information for the Company’s postretirement benefit plan: Reconciliation of Activity Fiscal Year (in thousands) 2023 2022 Benefit obligation at beginning of year $ 55,299 $ 65,156 Service cost 1,085 1,458 Interest cost 2,761 1,923 Plan participants’ contributions 767 657 Actuarial loss (gain) 7,986 (10,138) Benefits paid (4,070) (3,757) Benefit obligation at end of year $ 63,828 $ 55,299 The decrease in the discount rate for the postretirement benefit plan, as compared to the previous year, was the primary driver of the actuarial loss in 2023. The increase in the discount rate for the postretirement benefit plan, as compared to the previous year, was the primary driver of the actuarial gain in 2022. The actuarial loss (gain), net of tax, was recorded in accumulated other comprehensive loss in the consolidated balance sheets. Reconciliation of Plan Assets Fair Value Fiscal Year (in thousands) 2023 2022 Fair value of plan assets at beginning of year $ — $ — Employer contributions 3,303 3,100 Plan participants’ contributions 767 657 Benefits paid (4,070) (3,757) Fair value of plan assets at end of year $ — $ — Funded Status (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ (3,214) $ (3,177) Noncurrent liabilities (60,614) (52,122) Total liability - postretirement benefits $ (63,828) $ (55,299) Net Periodic Postretirement Benefit Cost Fiscal Year (in thousands) 2023 2022 2021 Service cost $ 1,085 $ 1,458 $ 1,516 Interest cost 2,761 1,923 1,772 Recognized net actuarial loss — 444 682 Net periodic postretirement benefit cost $ 3,846 $ 3,825 $ 3,970 Significant Assumptions Fiscal Year 2023 2022 2021 Benefit obligation at the measurement date: Weighted average healthcare cost trend rate - Pre-Medicare 7.88 % 6.58 % 6.04 % Weighted average healthcare cost trend rate - Post-Medicare 8.65 % 6.89 % 6.29 % Benefit obligation discount rate 5.02 % 5.19 % 2.98 % Net periodic postretirement benefit cost discount rate for fiscal year 5.19 % 2.98 % 2.70 % Postretirement benefit expense - Pre-Medicare: Weighted average healthcare cost trend rate 6.58 % 6.04 % 6.26 % Trend rate graded down to ultimate rate 4.50 % 4.50 % 4.50 % Ultimate rate year 2032 2029 2029 Postretirement benefit expense - Post-Medicare: Weighted average healthcare cost trend rate 6.89 % 6.29 % 6.54 % Trend rate graded down to ultimate rate 4.50 % 4.50 % 4.50 % Ultimate rate year 2032 2029 2029 Cash Flows The anticipated future postretirement benefit payments reflecting expected future service as of December 31, 2023 were as follows: (in thousands) Anticipated Future Payment 2024 $ 3,214 2025 3,530 2026 3,954 2027 4,427 2028 4,738 2029 - 2033 24,857 Accumulated Other Comprehensive Loss A reconciliation of the gross amounts in accumulated other comprehensive loss not yet recognized as components of net periodic benefit cost associated with the plans discussed above is as follows: (in thousands) December 31, Actuarial Gain (Loss) Reclassification December 31, Pension Plans: Actuarial loss $ (117,560) $ 3,036 $ 1,946 $ (112,578) Prior service costs (158) (5) 16 (147) Pension plan settlement — — 112,796 112,796 Postretirement Medical: Actuarial gain (loss) 770 (7,986) — (7,216) Total within accumulated other comprehensive loss $ (116,948) $ (4,955) $ 114,758 $ (7,145) As of December 31, 2023, there were no gross actuarial losses included in accumulated other comprehensive loss associated with the Primary Plan. As of December 31, 2022, there were approximately $117 million of gross actuarial losses included in accumulated other comprehensive loss associated with the Primary Plan. Multiemployer Pension Plans Certain employees of the Company whose employment is covered under collective bargaining agreements participate in a multiemployer pension plan, the Employers-Teamsters Local Union Nos. 175 and 505 Pension Fund (the “Teamsters Plan”). The Company makes monthly contributions to the Teamsters Plan on behalf of such employees. The collective bargaining agreements covering the Teamsters Plan expire at various times through 2026. The Company expects these agreements will be re-negotiated. Participating in the Teamsters Plan involves certain risks in addition to the risks associated with single employer pension plans, as contributed assets are pooled and may be used to provide benefits to employees of other participating employers. If a participating employer stops contributing to the Teamsters Plan, the unfunded obligations of the Teamsters Plan may be borne by the remaining participating employers. If the Company chooses to stop participating in the Teamsters Plan, the Company could be required to pay the Teamsters Plan a withdrawal liability based on the underfunded status of the Teamsters Plan. The Company does not anticipate withdrawing from the Teamsters Plan. In 2015, the Company increased its contribution rates to the Teamsters Plan, with additional increases occurring annually, as part of a rehabilitation plan, which was incorporated into the renewal of collective bargaining agreements with the unions effective April 28, 2014 and adopted by the Company as a rehabilitation plan effective January 1, 2015. This is a result of the Teamsters Plan being certified by its actuary as being in “critical” status for the plan year beginning January 1, 2013. The Company’s participation in the Teamsters Plan is outlined in the table below. A red zone represents less than 80% funding and requires a financial improvement plan (“FIP”) or rehabilitation plan (“RP”). Fiscal Year (in thousands) 2023 2022 2021 Pension Protection Act Zone Status Red Red Red FIP or RP pending or implemented Yes Yes Yes Surcharge imposed Yes Yes Yes Contribution $ 999 $ 959 $ 933 According to the Teamsters Plan’s Form 5500 for both the plan years ended December 31, 2022 and December 31, 2021, the Company was not listed as providing more than 5% of the total contributions. At the date these consolidated financial statements were issued, a Form 5500 was not available for the plan year ended December 31, 2023. The Company has a liability recorded for withdrawing from a multiemployer pension plan in 2008 and is required to make payments of approximately $1 million to this multiemployer pension plan each year through 2028. As of December 31, 2023, the Company had $3.9 million remaining on this liability. |
Other Liabilities
Other Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | Other Liabilities Other liabilities consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Noncurrent portion of acquisition related contingent consideration $ 604,809 $ 501,431 Accruals for executive benefit plans 153,428 137,771 Noncurrent deferred proceeds from related parties 100,176 103,240 Other 8,086 10,915 Total other liabilities $ 866,499 $ 753,357 In 2017, The Coca‑Cola Company agreed to provide the Company a fee to compensate the Company for the net economic impact of changes made by The Coca‑Cola Company to the authorized pricing on sales of covered beverages produced at certain manufacturing plants owned by the Company (the “Legacy Facilities Credit”), which was recorded as a deferred liability and will be amortized as a reduction to cost of sales over a period of 40 years. Also in 2017, upon the conversion of the Company’s then-existing bottling agreements pursuant to the CBA, the Company received a fee from CCR (the “Territory Conversion Fee”), which was recorded as a deferred liability and will be amortized as a reduction to cost of sales over a period of 40 years. Together, the Legacy Facilities Credit and the Territory Conversion Fee are “deferred proceeds from related parties.” |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Following is a summary of the Company’s long-term debt: (in thousands) Maturity Interest Interest Public / December 31, December 31, Senior bonds (1) 11/25/2025 3.80% Semi-annually Public $ 350,000 $ 350,000 Revolving credit facility (2)(3) 7/9/2026 Variable Varies Nonpublic — — Senior notes 10/10/2026 3.93% Quarterly Nonpublic 100,000 100,000 Senior notes 3/21/2030 3.96% Quarterly Nonpublic 150,000 150,000 Unamortized discount on senior bonds (1) 11/25/2025 (17) (26) Debt issuance costs (824) (1,157) Total long-term debt $ 599,159 $ 598,817 (1) The senior bonds due in 2025 were issued at 99.975% of par. (2) The Company’s revolving credit facility has an aggregate maximum borrowing capacity of $500 million. The Company currently believes all banks participating in the revolving credit facility have the ability to and will meet any funding requests from the Company. (3) During 2023, the Company amended its revolving credit facility to complete the transition of the interest rate index from the London InterBank Offered Rate (LIBOR) to the Secured Overnight Financing Rate (SOFR), as contemplated in the revolving credit facility. The principal maturities of debt outstanding on December 31, 2023 were as follows: (in thousands) Debt Maturities 2024 $ — 2025 350,000 2026 100,000 2027 — 2028 — Thereafter 150,000 Long-term debt $ 600,000 The Company mitigates its financing risk by using multiple financial institutions and only entering into credit arrangements with institutions with investment grade credit ratings. The Company monitors counterparty credit ratings on an ongoing basis. The indenture under which the Company’s senior bonds were issued does not include financial covenants, but does limit the incurrence of certain liens and encumbrances as well as indebtedness by the Company’s subsidiaries in excess of certain amounts. The agreements under which the Company’s nonpublic debt was issued include two financial covenants: a consolidated cash flow/fixed charges ratio and a consolidated funded indebtedness/cash flow ratio, each as defined in the respective agreement. The Company was in compliance with these covenants as of December 31, 2023. These covenants have not restricted, and are not expected to restrict, the Company’s liquidity or capital resources. All outstanding long-term debt has been issued by the Company and none has been issued by any of its subsidiaries. There are no guarantees of the Company’s long-term debt. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Manufacturing Cooperatives The Company is obligated to purchase at least 80% of its requirements of plastic bottles for certain designated territories from Southeastern. The Company is also obligated to purchase 17.5 million cases of finished product from SAC on an annual basis through June 2024. The Company purchased 25.3 million cases, 26.9 million cases and 28.0 million cases of finished product from SAC in 2023, 2022 and 2021, respectively. The following table summarizes the Company’s purchases from these manufacturing cooperatives: Fiscal Year (in thousands) 2023 2022 2021 Purchases from Southeastern $ 146,898 $ 153,967 $ 125,142 Purchases from SAC 200,239 193,261 169,399 Total purchases from manufacturing cooperatives $ 347,137 $ 347,228 $ 294,541 The Company guarantees a portion of SAC’s debt, which expires in 2028. The amount guaranteed was $9.5 million on both December 31, 2023 and December 31, 2022. In the event SAC fails to fulfill its commitments under the related debt, the Company would be responsible for payment to the lenders up to the level of the guarantee. The Company does not anticipate SAC will fail to fulfill its commitments related to the debt. The Company further believes SAC has sufficient assets, including production equipment, facilities and working capital, and the ability to adjust the selling prices of its products to adequately mitigate the risk of material loss relating to the Company’s guarantee. The Company holds no assets as collateral against the SAC guarantee, the fair value of which is immaterial to the consolidated financial statements. The Company monitors its investment in SAC and would be required to write down its investment if an impairment, other than a temporary impairment, was identified. No impairment of the Company’s investment in SAC was identified as of December 31, 2023, and there was no impairment identified in 2023, 2022 or 2021. Other Commitments and Contingencies The Company has standby letters of credit, primarily related to its property and casualty insurance programs. These letters of credit totaled $37.6 million on both December 31, 2023 and December 31, 2022. The Company participates in long-term marketing contractual arrangements with certain prestige properties, athletic venues and other locations. As of December 31, 2023, the future payments related to these contractual arrangements, which expire at various dates through 2033, amounted to $130.5 million. The Company is involved in various claims and legal proceedings which have arisen in the ordinary course of its business. Although it is difficult to predict the ultimate outcome of these claims and legal proceedings, management believes the ultimate disposition of these matters will not have a material adverse effect on the financial condition, results of operations or cash flows of the Company. No material amount of loss in excess of recorded amounts is believed to be reasonably possible as a result of these claims and legal proceedings. The Company is subject to audits by tax authorities in jurisdictions where it conducts business. These audits may result in assessments that are subsequently resolved with the authorities or potentially through the courts. Management believes the Company has adequately provided for any assessments likely to result from these audits; however, final assessments, if any, could be different than the amounts recorded in the consolidated financial statements. |
Risks and Uncertainties
Risks and Uncertainties | 12 Months Ended |
Dec. 31, 2023 | |
Risks and Uncertainties [Abstract] | |
Risks and Uncertainties | Risks and Uncertainties Approximately 85% of the Company’s total bottle/can sales volume to retail customers consists of products of The Coca‑Cola Company, which is the sole supplier of these products or of the concentrates or syrups required to manufacture these products. The remaining bottle/can sales volume to retail customers consists of products of other beverage companies. The Company has beverage agreements with The Coca‑Cola Company and other beverage companies under which it has various requirements. Failure to meet the requirements of these beverage agreements could result in the loss of distribution rights for the respective products. The Company faces concentration risks related to a few customers comprising a large portion of the Company’s annual sales volume and net sales. The following table summarizes the percentage of the Company’s total bottle/can sales volume to its largest customers, as well as the percentage of the Company’s total net sales, which are included in the Nonalcoholic Beverages segment, that such volume represents. No other customer represented greater than 10% of the Company’s total net sales for any years presented. Fiscal Year 2023 2022 2021 Approximate percent of the Company’s total bottle/can sales volume Wal-Mart Stores, Inc. 21 % 20 % 20 % The Kroger Company 14 % 12 % 13 % Total approximate percent of the Company’s total bottle/can sales volume 35 % 32 % 33 % Approximate percent of the Company’s total net sales Wal-Mart Stores, Inc. 17 % 16 % 14 % The Kroger Company 11 % 10 % 9 % Total approximate percent of the Company’s total net sales 28 % 26 % 23 % The Company purchases all of the plastic bottles used in its manufacturing plants from Southeastern and Western Container, two manufacturing cooperatives the Company co-owns with several other Coca‑Cola bottlers, and all of its aluminum cans from two domestic suppliers. See Note 2 and Note 20 for additional information. The Company is exposed to price risk on commodities such as aluminum, corn and PET resin (a petroleum- or plant-based product), which affects the cost of raw materials used in the production of its finished products. The Company both produces and procures these finished products. Examples of the raw materials affected are aluminum cans and plastic bottles used for packaging and high fructose corn syrup used as a product ingredient. Further, the Company is exposed to commodity price risk on crude oil, which impacts the Company’s cost of fuel used in the movement and delivery of the Company’s products. The Company participates in commodity hedging and risk mitigation programs, including programs administered by CCBSS and programs the Company administers. Certain liabilities of the Company, including retirement benefit obligations and the Company’s pension liability, are subject to risk of changes in both long-term and short-term interest rates. The Company’s acquisition related contingent consideration liability related to the distribution territories subject to acquisition related sub-bottling payments is subject to risk as a result of changes in the Company’s probability weighted discounted cash flow model, which is based on internal forecasts, and changes in the Company’s WACC, which is derived from market data. Approximately 15% of the Company’s workforce is covered by collective bargaining agreements. The Company’s collective bargaining agreements, which generally have three |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) Accumulated other comprehensive income (loss) (“AOCI(L)”) is comprised of adjustments to the Company’s pension and postretirement medical benefit plans and the foreign currency translation for a subsidiary of the Company that performs data analysis and formerly provided consulting services outside the United States. Following is a summary of AOCI(L) for 2023, 2022 and 2021: Gains (Losses) During the Period Reclassification to Income (in thousands) December 31, Pre-tax Tax Pre-tax Tax December 31, Net pension activity: Actuarial loss $ (71,140) $ 3,036 $ (744) $ 1,946 $ (476) $ (67,378) Prior service costs (105) (5) 1 16 (4) (97) Pension plan settlement (1) — — — 112,796 (44,885) 67,911 Net postretirement benefits activity: Actuarial gain 6,752 (7,986) 1,955 — — 721 Prior service costs (624) — — — — (624) Reclassification of stranded tax effects (1) (19,720) — — — 14,911 (4,809) Total AOCI(L) $ (84,837) $ (4,955) $ 1,212 $ 114,758 $ (30,454) $ (4,276) Gains (Losses) During the Period Reclassification to Income (in thousands) December 31, Pre-tax Tax Pre-tax Tax December 31, Net pension activity: Actuarial loss $ (78,882) $ 6,263 $ (1,533) $ 3,990 $ (978) $ (71,140) Prior service credits (costs) 11 (154) 38 — — (105) Net postretirement benefits activity: Actuarial (loss) gain (1,239) 10,138 (2,481) 444 (110) 6,752 Prior service costs (624) — — — — (624) Foreign currency translation adjustment (9) — — 11 (2) — Reclassification of stranded tax effects (19,720) — — — — (19,720) Total AOCI(L) $ (100,463) $ 16,247 $ (3,976) $ 4,445 $ (1,090) $ (84,837) Gains (Losses) During the Period Reclassification to Income (in thousands) December 31, Pre-tax Tax Pre-tax Tax December 31, Net pension activity: Actuarial loss $ (93,847) $ 14,897 $ (3,658) $ 4,954 $ (1,228) $ (78,882) Prior service credits 8 — — 3 — 11 Net postretirement benefits activity: Actuarial loss (4,328) 3,414 (838) 682 (169) (1,239) Prior service costs (624) — — — — (624) Interest rate swap (2) (556) — — 739 (183) — Foreign currency translation adjustment 14 — — (32) 9 (9) Reclassification of stranded tax effects (19,720) — — — — (19,720) Total AOCI(L) $ (119,053) $ 18,311 $ (4,496) $ 6,346 $ (1,571) $ (100,463) (1) The stranded tax effect activity for 2023 is associated with the full settlement of the Primary Plan benefit liabilities. (2) In 2019, the Company entered into a $100 million fixed rate swap to hedge a portion of the interest rate risk on its previous term loan facility, both of which matured on June 7, 2021. This interest rate swap was designated as a cash flow hedging instrument and changes in its fair value were not material to the consolidated balance sheets. |
Supplemental Disclosures of Cas
Supplemental Disclosures of Cash Flow Information | 12 Months Ended |
Dec. 31, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Disclosures of Cash Flow Information | Supplemental Disclosures of Cash Flow Information Changes in current assets and current liabilities affecting cash were as follows: Fiscal Year (in thousands) 2023 2022 2021 Accounts receivable, trade $ (23,886) $ (59,777) $ (46,825) Allowance for doubtful accounts (59) (1,217) (4,284) Accounts receivable from The Coca-Cola Company (16,150) 21,951 (8,534) Accounts receivable, other (12,902) (20,753) 3,206 Inventories 25,613 (44,694) (77,094) Prepaid expenses and other current assets 5,682 (16,201) (3,922) Accounts payable, trade 17,096 23,417 84,959 Accounts payable to The Coca-Cola Company (23,284) 17,112 38,490 Other accrued liabilities 37,017 (10,649) 21,313 Accrued compensation 20,011 16,027 23,286 Change in current assets less current liabilities $ 29,138 $ (74,784) $ 30,595 The change in other accrued liabilities includes fluctuations in accrued interest payable for all years presented. The Company had the following net cash payments during the period for income taxes and interest: Fiscal Year (in thousands) 2023 2022 2021 Income taxes $ 200,812 $ 140,988 $ 70,988 Interest 23,960 28,086 29,142 The Company had the following significant non-cash financing and investing activities: Fiscal Year (in thousands) 2023 2022 2021 Dividends declared but not yet paid $ 154,666 $ 32,808 $ — Additions to property, plant and equipment accrued and recorded in accounts payable, trade 59,014 44,775 35,809 Right-of-use assets obtained in exchange for operating lease obligations 10,215 25,130 26,907 Reductions to leased property under financing leases — 55,465 — |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts and Reserves | 12 Months Ended |
Dec. 31, 2023 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts and Reserves | Schedule II COCA-COLA CONSOLIDATED, INC. VALUATION AND QUALIFYING ACCOUNTS AND RESERVES Allowance for Doubtful Accounts Fiscal Year (in thousands) 2023 2022 2021 Beginning balance - allowance for doubtful accounts $ 16,119 $ 17,336 $ 21,620 Additions charged to expenses and as a reduction to net sales 4,139 4,326 4,088 Deductions (4,198) (5,543) (8,372) Ending balance - allowance for doubtful accounts $ 16,060 $ 16,119 $ 17,336 Deferred Income Tax Valuation Allowance Fiscal Year (in thousands) 2023 2022 2021 Beginning balance - valuation allowance for deferred tax assets $ 3,428 $ 4,372 $ 5,325 Additions charged to costs and expenses 702 — — Deductions credited to expense — (944) (953) Ending balance - valuation allowance for deferred tax assets $ 4,130 $ 3,428 $ 4,372 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net income | $ 408,375 | $ 430,158 | $ 189,580 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Description of Business and S_2
Description of Business and Summary of Critical Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts and the consolidated operations of the Company and its majority-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements, in conformity with accounting principles generally accepted in the United States (“GAAP”), requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand, cash in banks and cash equivalents, which are highly liquid money market funds and debt instruments with maturities of 90 days or less. The Company maintains cash deposits with major banks, which may exceed federally insured limits. The Company periodically assesses the financial condition of the institutions and believes the risk of any loss is minimal. Investments in debt securities with maturities of 90 days or less that the Company has the positive intent and ability to hold to maturity are carried at amortized cost and classified as held-to-maturity. Investments in debt securities that are not classified as held-to-maturity are carried at fair value and classified as either trading or available-for-sale. |
Accounts Receivable, Trade and Allowance for Doubtful Accounts | Accounts Receivable, Trade The Company sells its products and extends credit, generally without requiring collateral, based on an ongoing evaluation of the customer’s business prospects and financial condition. The Company evaluates the collectability of its trade accounts receivable based on a number of factors, including the Company’s historic collections pattern and changes to a specific customer’s ability to meet its financial obligations. The Company typically collects payment from customers within 30 days from the date of sale. Allowance for Doubtful Accounts The Company has established an allowance for doubtful accounts to adjust the recorded receivable to the estimated amount the Company believes will ultimately be collected. The Company’s allowance for doubtful accounts in the consolidated balance sheets includes a reserve for customer returns and an allowance for credit losses. The Company experiences customer returns primarily as a result of damaged or out-of-date product. At any given time, the Company estimates less than 1% of bottle/can sales and post-mix sales could be at risk for return by customers. Returned product is recognized as a reduction to net sales. The Company estimates an allowance for credit losses, based on historic days’ sales outstanding trends, aged customer balances, previously written-off balances and expected recoveries up to balances previously written off, in order to present the net amount expected to be collected. Accounts receivable balances are written off when determined uncollectible and are recognized as a reduction to the allowance for credit losses. |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined on the first-in, first-out method for finished products and manufacturing materials and on the average cost method for plastic shells, plastic pallets and other inventories. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are recorded at cost, less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Leasehold improvements on operating leases are depreciated over the shorter of the estimated useful lives or the term of the lease, including renewal options the Company determines are reasonably assured. Additions and major replacements or betterments are added to the assets at cost. Maintenance and repair costs and minor replacements are charged to expense when incurred. When assets are replaced or otherwise disposed, the cost and accumulated depreciation are removed from the accounts and the gains or losses, if any, are reflected in the consolidated statements of operations. Gains or losses on the disposal of manufacturing equipment and manufacturing plants are included in cost of sales. Gains or losses on the disposal of all other property, plant and equipment are included in selling, delivery and administrative (“SD&A”) expenses. The Company evaluates the recoverability of the carrying amount of its property, plant and equipment when events or circumstances indicate the carrying amount of an asset or asset group may not be recoverable. These evaluations are performed at a level where independent cash flows may be attributed to either an asset or an asset group. If the Company determines the carrying amount of an asset or asset group is not recoverable based upon the expected undiscounted future cash flows of the asset or asset group, an impairment loss is recorded equal to the excess of the carrying amounts over the estimated fair values of the long-lived assets. |
Leases | Leases The Company leases office and warehouse space, machinery and other equipment under noncancelable operating lease agreements and also leases certain warehouse space under financing lease agreements. The Company uses the following policies and assumptions to evaluate its leases: • Determining a lease: The Company assesses contracts at inception to determine whether an arrangement is or includes a lease, which conveys the Company’s right to control the use of an identified asset for a period of time in exchange for consideration. Operating lease right-of-use assets and associated liabilities are recognized at the commencement date and initially measured based on the present value of lease payments over the defined lease term. • Allocating lease and non-lease components: The Company has elected the practical expedient to not separate lease and non-lease components for certain classes of underlying assets. The Company has equipment and vehicle lease agreements, which generally have the lease and associated non-lease components accounted for as a single lease component. The Company has real estate lease agreements with lease and non-lease components, which are accounted for separately where applicable. • Calculating the discount rate: The Company calculates the discount rate based on the discount rate implicit in the lease, or if the implicit rate is not readily determinable from the lease, then the Company calculates an incremental borrowing rate using a portfolio approach. The incremental borrowing rate is calculated using the contractual lease term and the Company’s borrowing rate. • Recognizing leases: The Company does not recognize leases with a contractual term of less than 12 months on its consolidated balance sheets. Lease expense for these short-term leases is expensed on a straight-line basis over the lease term. • Including rent increases or escalation clauses: Certain leases contain scheduled rent increases or escalation clauses, which can be based on the Consumer Price Index or other rates. The Company assesses each contract individually and applies the appropriate variable payments based on the terms of the agreement. • Including renewal options and/or purchase options: Certain leases include renewal options to extend the lease term and/or purchase options to purchase the leased asset. The Company assesses these options using a threshold of reasonably certain, which is a high threshold and, therefore, the majority of the Company’s leases do not include renewal periods or purchase options for the measurement of the right-of-use asset and the associated lease liability. For leases the Company is reasonably certain to renew or purchase, those options are included within the lease term and, therefore, included in the measurement of the right-of-use asset and the associated lease liability. • Including options to terminate: Certain leases include the option to terminate the lease prior to its scheduled expiration. This allows a contractually bound party to terminate its obligation under the lease contract, typically in return for an agreed-upon financial consideration. The terms and conditions of the termination options vary by contract. • Including residual value guarantees, restrictions or covenants: The Company’s lease agreements do not contain residual value guarantees, restrictions or covenants. |
Internal Use Software | Internal Use Software The Company capitalizes costs incurred in the development or acquisition of internal use software. The Company expenses costs incurred in the preliminary project planning stage. Costs, such as maintenance and training, are also expensed as incurred. Capitalized costs are amortized over their estimated useful lives using the straight-line method. Amortization expense for internal use software, which is included in depreciation expense, was $1.7 million in 2023, $3.0 million in 2022 and $5.4 million in 2021. |
Goodwill | Goodwill All business combinations are accounted for using the acquisition method. Goodwill is tested for impairment annually, or more frequently if facts and circumstances indicate such assets may be impaired. The Company performs its annual goodwill impairment test, which includes a qualitative assessment to determine whether it is more likely than not that the fair value of the goodwill is below its carrying value, as of the first day of the fourth quarter each year, and more often if there are significant changes in business conditions that could result in impairment. All of the Company’s goodwill resides within one reporting unit within the Nonalcoholic Beverages reportable segment and, therefore, the Company has determined it has one reporting unit for the purpose of assessing goodwill for potential impairment. The Company uses its overall market capitalization as part of its estimate of fair value of the reporting unit and in assessing the reasonableness of the Company’s internal estimates of fair value. When a quantitative analysis is considered necessary for the annual impairment analysis of goodwill, the Company develops an estimated fair value for the reporting unit considering three different approaches: • market value, using the Company’s stock price plus outstanding debt; • discounted cash flow analysis; and • multiple of earnings before interest, taxes, depreciation and amortization based upon relevant industry data. The estimated fair value of the reporting unit is then compared to its carrying amount, including goodwill. If the estimated fair value exceeds the carrying amount, goodwill is not considered impaired. If the carrying amount, including goodwill, exceeds its estimated fair value, any excess of the carrying value of goodwill of the reporting unit over its fair value is recorded as an impairment. To the extent the actual and projected cash flows decline in the future or if market conditions or market capitalization significantly deteriorate, the Company may be required to perform an interim impairment analysis that could result in an impairment of goodwill. |
Distribution Agreements and Customer Lists | Distribution Agreements and Customer Lists The Company’s definite-lived intangible assets consist of distribution agreements and customer lists, which have estimated useful lives of 20 to 40 years and five |
Acquisition Related Contingent Consideration Liability | Acquisition Related Contingent Consideration Liability The acquisition related contingent consideration liability consists of the estimated amounts due to The Coca‑Cola Company under the Company’s comprehensive beverage agreements (collectively, the “CBA”) with The Coca‑Cola Company and Coca‑Cola Refreshments USA, Inc. (“CCR”), a wholly owned subsidiary of The Coca‑Cola Company, over the useful life of the related distribution rights. The CBA relates to a multi-year series of transactions, which were completed in October 2017, through which the Company acquired and exchanged distribution territories and manufacturing plants (the “System Transformation”). Pursuant to the CBA, the Company is required to make quarterly acquisition related sub-bottling payments to CCR on a continuing basis in exchange for the grant of exclusive rights to distribute, promote, market and sell the authorized brands of The Coca‑Cola Company and related products in certain distribution territories the Company acquired from CCR. This acquisition related contingent consideration is valued using a probability weighted discounted cash flow model based on internal forecasts and the weighted average cost of capital (“WACC”) derived from market data, which are considered Level 3 inputs. Each reporting period, the Company adjusts its acquisition related contingent consideration liability related to the distribution territories subject to acquisition related sub-bottling payments to fair value by discounting future expected acquisition related sub-bottling payments required under the CBA using the Company’s estimated WACC. These future expected acquisition related sub-bottling payments extend through the life of the related distribution assets acquired in each distribution territory, which is generally 40 years. As a result, the fair value of the acquisition related contingent consideration liability is impacted by the Company’s WACC, management’s estimate of the acquisition related sub-bottling payments that will be made in the future under the CBA, and current acquisition related sub-bottling payments (all Level 3 inputs). Changes in any of these Level 3 inputs, particularly the underlying risk-free interest rate used to estimate the Company’s WACC, could result in material changes to the fair value of the acquisition related contingent consideration liability and could materially impact the amount of non-cash expense (or income) recorded each reporting period. |
Pension and Postretirement Benefit Plans | Pension and Postretirement Benefit Plans The Company has historically sponsored two pension plans. The primary Company-sponsored pension plan (the “Primary Plan”) was frozen as of June 30, 2006 and no benefits accrued to participants after that date. The second Company-sponsored pension plan (the “Bargaining Plan”) is for certain employees under collective bargaining agreements. Benefits under the Bargaining Plan are determined in accordance with negotiated formulas for the respective participants. Contributions to the plans are based on actuarially determined amounts and are limited to the amounts currently deductible for income tax purposes. The Company also sponsors a postretirement healthcare plan for employees meeting specified qualifying criteria. The expense and liability amounts recorded for the benefit plans reflect estimates related to interest rates, investment returns, employee turnover and age at retirement, mortality rates and healthcare costs. The Primary Plan was fully settled in 2023. The Company recognized a non-cash charge related to the full settlement of the Primary Plan benefit liabilities, which was recorded as pension plan settlement expense in the consolidated statement of operations for 2023, and there are no remaining benefit liabilities related to the Primary Plan as of December 31, 2023. See Note 17 for additional discussion of the termination of the Primary Plan. The Company determines an appropriate discount rate annually for the Bargaining Plan and the postretirement healthcare plan based on the Aon AA Above Median yield curve as of the measurement date and reviews the discount rate assumption at the end of each year. The service cost components of the net periodic benefit cost of the plans are charged to current operations, and the non-service cost components of the net periodic benefit cost of the plans are classified as other expense, net. In addition, certain other union employees are covered by plans provided by their respective union organizations and the Company expenses amounts as paid in accordance with union agreements. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to operating losses and tax credit carryforwards, as well as the differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance will be provided against deferred tax assets if the Company determines it is more likely than not such assets will not ultimately be realized. The Company does not recognize a tax benefit unless it concludes that it is more likely than not that the benefit will be sustained on audit by the taxing authority based solely on the technical merits of the associated tax position. If the recognition threshold is met, the Company recognizes a tax benefit measured at the largest amount of the tax benefit that, in the Company’s judgment, is greater than 50% likely to be realized. The Company records interest and penalties related to uncertain tax positions in income tax expense. |
Revenue Recognition | Revenue Recognition The Company’s sales are divided into two main categories: (i) bottle/can sales and (ii) other sales. Bottle/can sales include products packaged primarily in plastic bottles and aluminum cans. Bottle/can net pricing is based on the invoice price charged to customers reduced by any promotional allowances. Bottle/can net pricing per unit is impacted by the price charged per package, the sales volume generated for each package and the channels in which those packages are sold. Other sales include sales to other Coca‑Cola bottlers, post-mix sales, transportation revenue and equipment maintenance revenue. Post-mix products are dispensed through equipment that mixes fountain syrups with carbonated or still water, enabling fountain retailers to sell finished products to consumers in cups or glasses. The Company’s contracts are derived from customer orders, including customer sales incentives, generated through an order processing and replenishment model. Generally, the Company’s service contracts and contracts related to the delivery of specifically identifiable products have a single performance obligation. Revenues do not include sales or other taxes collected from customers. The Company has defined its performance obligations for its contracts as either at a point in time or over time. Bottle/can sales, sales to other Coca‑Cola bottlers and post-mix sales are recognized when control transfers to a customer, which is generally upon delivery and is considered a single point in time (“point in time”). Other sales, which include revenue for service fees related to the repair of cold drink equipment and delivery fees for freight hauling and brokerage services, are recognized over time (“over time”). Revenues related to cold drink equipment repair are recognized as the respective services are completed using a cost-to-cost input method. Repair services are generally completed in less than one day but can extend up to one month. Revenues related to freight hauling and brokerage services are recognized as the delivery occurs using a miles driven output method. Generally, delivery occurs and freight charges are recognized in the same day. Over time sales orders open at the end of a financial period are not material to the consolidated financial statements. The Company’s sales are divided into two main categories: (i) bottle/can sales and (ii) other sales. Bottle/can sales include products packaged primarily in plastic bottles and aluminum cans. Bottle/can net pricing is based on the invoice price charged to customers reduced by any promotional allowances. Bottle/can net pricing per unit is impacted by the price charged per package, the sales volume generated for each package and the channels in which those packages are sold. Other sales include sales to other Coca‑Cola bottlers, post-mix sales, transportation revenue and equipment maintenance revenue. The Company’s contracts are derived from customer orders, including customer sales incentives, generated through an order processing and replenishment model. Generally, the Company’s service contracts and contracts related to the delivery of specifically identifiable products have a single performance obligation. Revenues do not include sales or other taxes collected from customers. The Company has defined its performance obligations for its contracts as either at a point in time or over time. Bottle/can sales, sales to other Coca‑Cola bottlers and post-mix sales are recognized when control transfers to a customer, which is generally upon delivery and is considered a single point in time. Point in time sales accounted for approximately 98% of the Company’s net sales in 2023 and approximately 97% of the Company’s net sales in both 2022 and 2021. Other sales, which include revenue for service fees related to the repair of cold drink equipment and delivery fees for freight hauling and brokerage services, are recognized over time. Revenues related to cold drink equipment repair are recognized as the respective services are completed using a cost-to-cost input method. Repair services are generally completed in less than one day but can extend up to one month. Revenues related to freight hauling and brokerage services are recognized as the delivery occurs using a miles driven output method. Generally, delivery occurs and freight charges are recognized in the same day. Over time sales orders open at the end of a financial period are not material to the consolidated financial statements. |
Marketing Programs and Sales Incentives | Marketing Programs and Sales Incentives The Company participates in various sales programs with The Coca‑Cola Company, other beverage companies and customers to increase the sale of its products. Programs negotiated with customers include arrangements under which allowances can be earned for attaining agreed-upon sales levels. The cost of these various sales incentives is not considered a separate performance obligation and is included as a deduction to net sales. Allowance payments made to customers can be conditional on the achievement of volume targets and/or marketing commitments. Payments made in advance are recorded as prepayments and amortized in the consolidated statements of operations over the relevant period for which the customer commitment is made. In the event there is no separate identifiable benefit or the fair value of such benefit cannot be established, the amortization of the prepayment is included as a deduction to net sales. The nature of the Company’s contracts gives rise to several types of variable consideration, including prospective and retrospective rebates. The Company accounts for its prospective and retrospective rebates using the expected value method, which estimates the net price to the customer based on the customer’s expected annual sales volume projections. |
Marketing Funding Support | Marketing Funding Support The Company receives marketing funding support payments in cash from The Coca‑Cola Company and other beverage companies. Payments to the Company for marketing programs to promote bottle/can sales volume and fountain syrup sales volume are recognized as a reduction to cost of sales, primarily on a per unit basis, as the product is sold. Payments for periodic programs are recognized in the period during which they are earned. Cash consideration received by a customer from a vendor is presumed to be a reduction of the price of the vendor’s products or services. As such, the cash received is accounted for as a reduction to cost of sales unless it is a specific reimbursement of costs or payments for services. Payments the Company receives from The Coca‑Cola Company and other beverage companies for marketing funding support are classified as a reduction to cost of sales. |
Commodity Derivative Instruments | Commodity Derivative Instruments The Company is subject to the risk of increased costs arising from adverse changes in certain commodity prices. In the normal course of business, the Company manages this risk through a variety of strategies, including the use of commodity derivative instruments. The Company does not use commodity derivative instruments for trading or speculative purposes. These commodity derivative instruments are not designated as hedging instruments under GAAP and are used as “economic hedges” to manage certain commodity price risk. The Company uses several different financial institutions for commodity derivative instruments to minimize the concentration of credit risk. While the Company would be exposed to credit loss in the event of nonperformance by these counterparties, the Company does not anticipate nonperformance by these counterparties. Commodity derivative instruments held by the Company are marked to market on a quarterly basis and recognized in earnings consistent with the expense classification of the underlying hedged item. The Company generally pays a fee for these commodity derivative instruments, which is amortized over the corresponding period of each commodity derivative instrument. Settlements of commodity derivative instruments are included in cash flows from operating activities in the consolidated statements of cash flows. All commodity derivative instruments are recorded at fair value as either assets or liabilities in the consolidated balance sheets. The Company has master agreements with the counterparties to its commodity derivative instruments that provide for net settlement of derivative transactions. Accordingly, the net amounts of derivative assets are recognized in either prepaid expenses and other current assets or other assets in the consolidated balance sheets and the net amounts of derivative liabilities are recognized in either other accrued liabilities or other liabilities in the consolidated balance sheets. |
Risk Management Programs | Risk Management Programs The Company uses various insurance structures to manage costs related to workers’ compensation, auto liability, medical and other insurable risks. These structures consist of retentions, deductibles, limits and a diverse group of insurers that serve to strategically finance, transfer and mitigate the financial impact of losses to the Company. Losses are accrued using assumptions and procedures followed in the insurance industry, then adjusted for company-specific history and expectations. |
Cost of Sales | Cost of Sales Inputs representing a substantial portion of the Company’s cost of sales include: (i) purchases of finished products, (ii) raw material costs, including aluminum cans, plastic bottles, carbon dioxide and sweetener, (iii) concentrate costs and (iv) manufacturing costs, including labor, overhead and warehouse costs. In addition, cost of sales includes shipping, handling and fuel costs related to the movement of finished products from manufacturing plants to distribution centers, amortization expense of distribution rights, distribution fees of certain products and marketing credits from brand companies. |
Selling, Delivery and Administrative Expenses | Selling, Delivery and Administrative Expenses SD&A expenses include the following: sales management labor costs, distribution costs resulting from transporting finished products from distribution centers to customer locations, distribution center overhead including depreciation expense, distribution center warehousing costs, delivery vehicles and cold drink equipment, point-of-sale expenses, advertising expenses, cold drink equipment repair costs, amortization of intangible assets and administrative support labor and operating costs. |
Shipping and Handling Costs | Shipping and Handling Costs Shipping and handling costs related to the movement of finished products from manufacturing plants to distribution centers are included in cost of sales. Shipping and handling costs directly related to the movement of finished products from distribution centers to customer locations, including distribution center warehousing costs, are included in SD&A expenses. |
Stock Compensation | Stock Compensation The Company has a long-term performance equity plan (the “Long-Term Performance Equity Plan”) under which awards are earned and granted to J. Frank Harrison, III, Chairman of the Board of Directors and Chief Executive Officer of the Company, based on the Company’s attainment during a performance period of performance measures specified by the Compensation Committee of the Company’s Board of Directors. Mr. Harrison may elect to have awards earned under the Long‑Term Performance Equity Plan settled in cash and/or shares of the Company’s Class B Common Stock. See Note 2 for additional information on the Long‑Term Performance Equity Plan. |
Common Stock and Class B Common Stock and Dividends | Common Stock and Class B Common Stock The Company has two classes of common stock outstanding, Common Stock and Class B Common Stock. The Common Stock is traded on The Nasdaq Global Select Market under the symbol “COKE.” There is no established public trading market for the Class B Common Stock. Shares of Class B Common Stock are convertible on a share-for-share basis into shares of Common Stock at any time at the option of the holder. Each share of Common Stock is entitled to one vote per share and each share of Class B Common Stock is entitled to 20 votes per share at all meetings of the Company’s stockholders. Except as otherwise required by law, holders of the Common Stock and the Class B Common Stock vote together as a single class on all matters submitted to the Company’s stockholders, including the election of the Board of Directors. As a result, the holders of the Class B Common Stock control approximately 71% of the total voting power of the stockholders of the Company and control the election of the Board of Directors. In the event of liquidation, there is no preference between the two classes of common stock. Dividends No cash dividend or dividend of property or stock other than stock of the Company, as specifically described in the Company’s Restated Certificate of Incorporation, as amended (the “Restated Certificate of Incorporation”), may be declared and paid on the Class B Common Stock unless an equal or greater dividend is declared and paid on the Common Stock. Under the Restated Certificate of Incorporation, the Board of Directors may declare dividends on the Common Stock without declaring equal or any dividends on the Class B Common Stock. Notwithstanding this provision, the Class B Common Stock has voting and conversion rights that allow the Class B Common Stock to participate equally on a per share basis with the Common Stock. |
Net Income Per Share | Net Income Per Share The Company applies the two-class method for calculating and presenting net income per share. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock according to dividends declared or accumulated and participation rights in undistributed earnings. Under this method: (i) Income from continuing operations (“net income”) is reduced by the amount of dividends declared in the current period for each class of stock and by the contractual amount of dividends that must be paid for the current period. (ii) The remaining earnings (“undistributed earnings”) are allocated to the Common Stock and the Class B Common Stock to the extent each security may share in earnings as if all the earnings for the period had been distributed. The total earnings allocated to each security is determined by adding together the amount allocated for dividends and the amount allocated for a participation feature. (iii) The total earnings allocated to each security is then divided by the number of outstanding shares of the security to which the earnings are allocated to determine the earnings per share for the security. (iv) Basic and diluted net income per share data are presented for each class of common stock. In applying the two-class method, the Company determined undistributed earnings should be allocated equally on a per share basis between the Common Stock and the Class B Common Stock due to the aggregate participation rights of the Class B Common Stock (i.e., the voting and conversion rights) and the Company’s history of paying dividends equally on a per share basis on the Common Stock and the Class B Common Stock. The Class B Common Stock conversion rights allow the Class B Common Stock to participate in dividends equally with the Common Stock. Class B Common Stock is convertible into Common Stock on a one-for-one per share basis at any time at the option of the holder. Accordingly, the holders of the Class B Common Stock can participate equally in any dividends declared on the Common Stock by exercising their conversion rights. Basic net income per share excludes potential common shares that were dilutive and is computed by dividing net income available for common stockholders by the weighted average number of Common and Class B Common shares outstanding. Diluted net income per share for Common Stock and Class B Common Stock gives effect to all securities representing potential common shares that were dilutive and outstanding during the period. The Company does not have anti-dilutive shares. |
Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements In September 2022, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2022-04, “Liabilities-Supplier Finance Programs,” which requires additional quantitative and qualitative disclosures related to a company’s supply chain finance programs to enhance the transparency of these programs. The new guidance is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the amendment on rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company adopted ASU 2022-04 in the first quarter of 2023, with the exception of the amendment on rollforward information, and the adoption did not have a material impact on its consolidated financial statements. See Note 12 for disclosures related to the Company’s supply chain finance program. Recently Issued Accounting Pronouncements In November 2023, the FASB issued ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which requires additional disclosure of significant segment expenses included in the reported measure of segment profit or loss and regularly provided to the Chief Operating Decision Maker (the “CODM”). It also requires disclosure and a description of the composition of other amounts by reportable segment, disclosure of a reportable segment’s profit or loss and assets currently required by Topic 280 in interim periods and disclosure of the CODM’s title and process for assessing a reportable segment’s profit or loss. The new guidance is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years beginning after December 15, 2024. The Company evaluated the impact ASU 2023-07 will have on its consolidated financial statements and does not expect a material impact upon adoption. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires disclosure of specific categories in the rate reconciliation, including additional information for reconciling items that meet a quantitative threshold, and specific disaggregation of income taxes paid and tax expense. The amendment is effective for annual periods beginning after December 15, 2024. The Company has evaluated the impact ASU 2023-09 will have on its consolidated financial statements and does not expect a material impact upon adoption. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Summary of Significant Transactions Between Company and the Coca-cola Company | The following table summarizes the significant cash transactions between the Company and The Coca‑Cola Company: Fiscal Year (in thousands) 2023 2022 2021 Payments made by the Company to The Coca-Cola Company (1) $ 2,019,409 $ 1,867,727 $ 1,558,784 Payments made by The Coca-Cola Company to the Company 253,972 256,333 207,073 (1) This excludes acquisition related sub-bottling payments made by the Company to CCR, a wholly owned subsidiary of The Coca‑Cola Company, but includes the purchase price of certain additional BODYARMOR distribution rights, each as discussed below. |
Summary of Liability to Estimated Fair Value of Contingent Consideration | The following table summarizes the liability recorded by the Company to reflect the estimated fair value of contingent consideration related to future expected acquisition related sub‑bottling payments to CCR: (in thousands) December 31, 2023 December 31, 2022 Current portion of acquisition related contingent consideration $ 64,528 $ 40,060 Noncurrent portion of acquisition related contingent consideration 604,809 501,431 Total acquisition related contingent consideration $ 669,337 $ 541,491 |
Summary of Rental Payments Related to Leases | A summary of rental payments for related party leases for 2023, 2022 and 2021 is as follows: Fiscal Year (in thousands) 2023 2022 2021 Company headquarters $ 3,931 $ 3,854 $ 3,778 Snyder Production Center (1) — 927 4,451 (1) The lease for the Snyder Production Center and an adjacent sales facility in Charlotte, North Carolina (together, the “Snyder Production Center”) was terminated during 2022 in connection with the purchase of the Snyder Production Center by CCBCC Operations, LLC, a wholly owned subsidiary of the Company. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Disaggregation of Revenue from Contracts with Customers | The following table represents a disaggregation of revenue from contracts with customers: Fiscal Year (in thousands) 2023 2022 2021 Point in time net sales: Nonalcoholic Beverages - point in time $ 6,510,155 $ 6,034,914 $ 5,389,444 Total point in time net sales $ 6,510,155 $ 6,034,914 $ 5,389,444 Over time net sales: Nonalcoholic Beverages - over time $ 52,467 $ 46,443 $ 43,225 All Other - over time 91,236 119,600 130,045 Total over time net sales $ 143,703 $ 166,043 $ 173,270 Total net sales $ 6,653,858 $ 6,200,957 $ 5,562,714 |
Summary of Activity for Allowance for Credit Losses | Following is a summary of activity for the allowance for credit losses during 2023, 2022 and 2021: Fiscal Year (in thousands) 2023 2022 2021 Beginning balance - allowance for credit losses $ 13,119 $ 14,336 $ 18,070 Additions charged to expenses and as a reduction to net sales 2,639 4,326 4,638 Deductions (4,198) (5,543) (8,372) Ending balance - allowance for credit losses $ 11,560 $ 13,119 $ 14,336 |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Summary of Financial Information by Segment | The Company’s segment results are as follows: Fiscal Year (in thousands) 2023 2022 2021 Net sales: Nonalcoholic Beverages $ 6,562,622 $ 6,081,357 $ 5,432,669 All Other 370,748 399,359 366,855 Eliminations (1) (279,512) (279,759) (236,810) Consolidated net sales $ 6,653,858 $ 6,200,957 $ 5,562,714 (1) The entire net sales elimination represents net sales from the All Other segment to the Nonalcoholic Beverages segment. Sales between these segments are recognized at either fair market value or cost depending on the nature of the transaction. Fiscal Year (in thousands) 2023 2022 2021 Income from operations: Nonalcoholic Beverages $ 841,491 $ 639,136 $ 456,713 All Other (7,040) 1,911 (17,542) Consolidated income from operations $ 834,451 $ 641,047 $ 439,171 Depreciation and amortization: Nonalcoholic Beverages $ 164,485 $ 159,845 $ 168,206 All Other 12,481 11,745 12,359 Consolidated depreciation and amortization $ 176,966 $ 171,590 $ 180,565 |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Summary of Computation of Basic Net Income Per Share and Diluted Net Income Per Share | The following table sets forth the computation of basic net income per share and diluted net income per share under the two-class method. See Note 1 for additional information related to net income per share. Fiscal Year (in thousands, except per share data) 2023 2022 2021 Numerator for basic and diluted net income per Common Stock and Class B Common Stock share: Net income $ 408,375 $ 430,158 $ 189,580 Less dividends: Common Stock 41,844 8,062 7,141 Class B Common Stock 5,024 1,312 2,233 Total undistributed earnings $ 361,507 $ 420,784 $ 180,206 Common Stock undistributed earnings – basic $ 322,749 $ 364,359 $ 137,293 Class B Common Stock undistributed earnings – basic 38,758 56,425 42,913 Total undistributed earnings – basic $ 361,507 $ 420,784 $ 180,206 Common Stock undistributed earnings – diluted $ 322,131 $ 363,158 $ 136,899 Class B Common Stock undistributed earnings – diluted 39,376 57,626 43,307 Total undistributed earnings – diluted $ 361,507 $ 420,784 $ 180,206 Numerator for basic net income per Common Stock share: Dividends on Common Stock $ 41,844 $ 8,062 $ 7,141 Common Stock undistributed earnings – basic 322,749 364,359 137,293 Numerator for basic net income per Common Stock share $ 364,593 $ 372,421 $ 144,434 Numerator for basic net income per Class B Common Stock share: Dividends on Class B Common Stock $ 5,024 $ 1,312 $ 2,233 Class B Common Stock undistributed earnings – basic 38,758 56,425 42,913 Numerator for basic net income per Class B Common Stock share $ 43,782 $ 57,737 $ 45,146 Numerator for diluted net income per Common Stock share: Dividends on Common Stock $ 41,844 $ 8,062 $ 7,141 Dividends on Class B Common Stock assumed converted to Common Stock 5,024 1,312 2,233 Common Stock undistributed earnings – diluted 361,507 420,784 180,206 Numerator for diluted net income per Common Stock share $ 408,375 $ 430,158 $ 189,580 Numerator for diluted net income per Class B Common Stock share: Dividends on Class B Common Stock $ 5,024 $ 1,312 $ 2,233 Class B Common Stock undistributed earnings – diluted 39,376 57,626 43,307 Numerator for diluted net income per Class B Common Stock share $ 44,400 $ 58,938 $ 45,540 Fiscal Year (in thousands, except per share data) 2023 2022 2021 Denominator for basic net income per Common Stock and Class B Common Stock share: Common Stock weighted average shares outstanding – basic 8,369 8,117 7,141 Class B Common Stock weighted average shares outstanding – basic 1,005 1,257 2,232 Denominator for diluted net income per Common Stock and Class B Common Stock share: Common Stock weighted average shares outstanding – diluted (assumes conversion of Class B Common Stock to Common Stock) 9,392 9,405 9,400 Class B Common Stock weighted average shares outstanding – diluted 1,023 1,288 2,259 Basic net income per share: Common Stock $ 43.56 $ 45.88 $ 20.23 Class B Common Stock $ 43.56 $ 45.93 $ 20.23 Diluted net income per share: Common Stock $ 43.48 $ 45.74 $ 20.17 Class B Common Stock $ 43.40 $ 45.76 $ 20.16 NOTES TO TABLE (1) For purposes of the diluted net income per share computation for Common Stock, all shares of Class B Common Stock are assumed to be converted; therefore, 100% of undistributed earnings is allocated to Common Stock. (2) For purposes of the diluted net income per share computation for Class B Common Stock, weighted average shares of Class B Common Stock are assumed to be outstanding for the entire period and not converted. (3) For periods presented during which the Company has net income, the denominator for diluted net income per share for Common Stock and Class B Common Stock includes the dilutive effect of shares relative to the Long-Term Performance Equity Plan. For periods presented during which the Company has net loss, the unvested performance units granted pursuant to the Long-Term Performance Equity Plan are excluded from the computation of diluted net loss per share, as the effect would have been anti-dilutive. See Note 2 for additional information on the Long-Term Performance Equity Plan. (4) The Long-Term Performance Equity Plan awards may be settled in cash and/or shares of the Company’s Class B Common Stock. Once an election has been made to settle an award in cash, the dilutive effect of shares relative to such award is prospectively removed from the denominator in the computation of diluted net income per share. (5) The Company did not have anti-dilutive shares for any periods presented. |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | Inventories consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Finished products $ 207,912 $ 211,089 Manufacturing materials 71,560 89,300 Plastic shells, plastic pallets and other inventories 42,460 47,156 Total inventories $ 321,932 $ 347,545 |
Prepaid Expenses and Other Cu_2
Prepaid Expenses and Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expense and Other Assets [Abstract] | |
Summary of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Repair parts $ 35,256 $ 35,088 Prepaid software 9,427 7,398 Prepaid taxes 9,020 7,829 Prepaid marketing 4,703 4,303 Commodity hedges at fair market value 3,747 4,808 Other prepaid expenses and other current assets 26,432 34,837 Total prepaid expenses and other current assets $ 88,585 $ 94,263 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Summary of Principal Categories and Estimated Useful Lives of Property, Plant and Equipment, Net | The principal categories and estimated useful lives of property, plant and equipment, net were as follows: (in thousands) December 31, 2023 December 31, 2022 Estimated Useful Lives Land $ 99,858 $ 88,185 Buildings 390,852 352,114 8-50 years Machinery and equipment 498,737 462,640 5-20 years Transportation equipment 611,001 515,752 3-20 years Furniture and fixtures 107,072 102,099 3-10 years Cold drink dispensing equipment 449,508 438,879 3-17 years Leasehold and land improvements 179,146 177,940 5-20 years Software for internal use 49,611 48,581 3-10 years Construction in progress 95,623 103,803 Total property, plant and equipment, at cost 2,481,408 2,289,993 Less: Accumulated depreciation and amortization 1,160,845 1,106,263 Property, plant and equipment, net $ 1,320,563 $ 1,183,730 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Summary of Weighted Average Remaining Lease Term and Discount Rate and Leases within Condensed Consolidated Statement of Operations | Following is a summary of the weighted average remaining lease term and the weighted average discount rate for the Company’s leases: December 31, 2023 December 31, 2022 Weighted average remaining lease term: Operating leases 6.7 years 7.2 years Financing leases 3.5 years 4.3 years Weighted average discount rate: Operating leases 3.8 % 3.6 % Financing leases 5.2 % 5.2 % Following is a summary of the Company’s leases within the consolidated statements of operations: Fiscal Year (in thousands) 2023 2022 2021 Operating lease costs $ 32,959 $ 30,484 $ 26,385 Short-term and variable leases 15,995 15,065 17,245 Depreciation expense from financing leases 1,646 2,315 5,656 Interest expense on financing lease obligations 447 884 2,301 Total lease cost $ 51,047 $ 48,748 $ 51,587 |
Summary of Future Minimum Lease Payments for Noncancelable Operating Leases | Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2023 : (in thousands) Operating Leases Financing Leases 2024 $ 29,932 $ 2,808 2025 24,329 2,869 2026 21,115 1,233 2027 18,614 338 2028 13,890 345 Thereafter 39,022 620 Total minimum lease payments including interest $ 146,902 $ 8,213 Less: Amounts representing interest 18,437 694 Present value of minimum lease principal payments 128,465 7,519 Less: Current portion of lease liabilities - operating and financing leases 26,194 2,487 Noncurrent portion of lease liabilities - operating and financing leases $ 102,271 $ 5,032 Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2022: (in thousands) Operating Leases Financing Leases 2023 $ 31,697 $ 2,750 2024 27,663 2,808 2025 21,628 2,869 2026 19,036 1,233 2027 17,227 338 Thereafter 51,372 966 Total minimum lease payments including interest $ 168,623 $ 10,964 Less: Amounts representing interest 22,225 1,142 Present value of minimum lease principal payments 146,398 9,822 Less: Current portion of lease liabilities - operating and financing leases 27,635 2,303 Noncurrent portion of lease liabilities - operating and financing leases $ 118,763 $ 7,519 |
Summary of Future Minimum Lease Payments for Noncancelable Finance Leases | Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2023 : (in thousands) Operating Leases Financing Leases 2024 $ 29,932 $ 2,808 2025 24,329 2,869 2026 21,115 1,233 2027 18,614 338 2028 13,890 345 Thereafter 39,022 620 Total minimum lease payments including interest $ 146,902 $ 8,213 Less: Amounts representing interest 18,437 694 Present value of minimum lease principal payments 128,465 7,519 Less: Current portion of lease liabilities - operating and financing leases 26,194 2,487 Noncurrent portion of lease liabilities - operating and financing leases $ 102,271 $ 5,032 Following is a summary of future minimum lease payments for all noncancelable operating leases and financing leases as of December 31, 2022: (in thousands) Operating Leases Financing Leases 2023 $ 31,697 $ 2,750 2024 27,663 2,808 2025 21,628 2,869 2026 19,036 1,233 2027 17,227 338 Thereafter 51,372 966 Total minimum lease payments including interest $ 168,623 $ 10,964 Less: Amounts representing interest 22,225 1,142 Present value of minimum lease principal payments 146,398 9,822 Less: Current portion of lease liabilities - operating and financing leases 27,635 2,303 Noncurrent portion of lease liabilities - operating and financing leases $ 118,763 $ 7,519 |
Summary of Balances Related to Lease Portfolio within Consolidated Statement of Cash Flow | Following is a summary of the Company’s leases within the consolidated statements of cash flows: Fiscal Year (in thousands) 2023 2022 2021 Cash flows from operating activities impact: Operating leases $ 33,013 $ 28,891 $ 27,642 Interest payments on financing lease obligations 447 884 2,301 Total cash flows from operating activities impact $ 33,460 $ 29,775 $ 29,943 Cash flows from financing activities impact: Principal payments on financing lease obligations $ 2,303 $ 2,988 $ 4,778 Total cash flows from financing activities impact $ 2,303 $ 2,988 $ 4,778 |
Distribution Agreements, Net (T
Distribution Agreements, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Distribution Agreements, Net | Distribution agreements, net, which are amortized on a straight-line basis and have estimated useful lives of 20 to 40 years, consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Distribution agreements at cost $ 990,191 $ 990,191 Less: Accumulated amortization 173,048 148,156 Distribution agreements, net $ 817,143 $ 842,035 Customer lists, net, which are amortized on a straight-line basis and have estimated useful lives of five (in thousands) December 31, 2023 December 31, 2022 Customer lists at cost $ 25,288 $ 25,288 Less: Accumulated amortization 17,789 16,123 Customer lists, net $ 7,499 $ 9,165 |
Summary of Reconciliation of Activity for Distribution Agreements, Net | Following is a summary of activity for distribution agreements, net during 2023 and 2022: Fiscal Year (in thousands) 2023 2022 Beginning balance - distribution agreements, net $ 842,035 $ 836,777 Other distribution agreements — 30,149 Additional accumulated amortization (24,892) (24,891) Ending balance - distribution agreements, net $ 817,143 $ 842,035 |
Customer Lists, Net (Tables)
Customer Lists, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Customer Lists, Net | Distribution agreements, net, which are amortized on a straight-line basis and have estimated useful lives of 20 to 40 years, consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Distribution agreements at cost $ 990,191 $ 990,191 Less: Accumulated amortization 173,048 148,156 Distribution agreements, net $ 817,143 $ 842,035 Customer lists, net, which are amortized on a straight-line basis and have estimated useful lives of five (in thousands) December 31, 2023 December 31, 2022 Customer lists at cost $ 25,288 $ 25,288 Less: Accumulated amortization 17,789 16,123 Customer lists, net $ 7,499 $ 9,165 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Payables and Accruals [Abstract] | |
Summary of Other Accrued Liabilities | Other accrued liabilities consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Current portion of acquisition related contingent consideration $ 64,528 $ 40,060 Accrued marketing costs 55,799 33,375 Accrued insurance costs 54,040 54,180 Employee and retiree benefit plan accruals 34,203 31,711 Accrued taxes (other than income taxes) 7,474 7,127 Accrued interest payable 2,520 2,677 All other accrued expenses 19,430 31,847 Total other accrued liabilities $ 237,994 $ 200,977 |
Commodity Derivative Instrume_2
Commodity Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Pre-Tax Changes in Fair Value | The following table summarizes pre-tax changes in the fair values of the Company’s commodity derivative instruments and the classification of such changes in the consolidated statements of operations: Fiscal Year (in thousands) 2023 2022 2021 Cost of sales $ 1,220 $ (3,333) $ 3,469 Selling, delivery and administrative expenses (2,281) 427 1,772 Total (loss) gain $ (1,061) $ (2,906) $ 5,241 |
Summary of Fair Values and Classification in Consolidated Balance Sheets of Derivative Instruments | The following table summarizes the fair values of the Company’s commodity derivative instruments and the classification of such instruments in the consolidated balance sheets: (in thousands) December 31, 2023 December 31, 2022 Prepaid expenses and other current assets $ 3,747 $ 4,808 Total assets $ 3,747 $ 4,808 |
Summary of Gross Derivative Assets and Gross Derivative Liabilities in Consolidated Balance Sheets | The following table summarizes the Company’s gross commodity derivative instrument assets and gross commodity derivative instrument liabilities in the consolidated balance sheets: (in thousands) December 31, 2023 December 31, 2022 Gross commodity derivative instrument assets $ 3,747 $ 4,808 Gross commodity derivative instrument liabilities — — |
Summary of Outstanding Commodity Derivative Agreements | The following table summarizes the Company’s outstanding commodity derivative instruments: (in thousands) December 31, 2023 December 31, 2022 Notional amount of outstanding commodity derivative instruments $ 50,187 $ 61,128 Latest maturity date of outstanding commodity derivative instruments December 2024 December 2023 |
Fair Values of Financial Inst_2
Fair Values of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Methods and Assumptions Used in Estimating Fair Value | The below methods and assumptions were used by the Company in estimating the fair values of its financial instruments. There were no transfers of assets or liabilities between levels in any period presented. Financial Instrument Fair Value Methods and Assumptions Deferred compensation plan assets and liabilities Level 1 The fair value of the Company’s nonqualified deferred compensation plan for certain executives and other highly compensated employees is based on the fair values of associated assets and liabilities, which are held in mutual funds and are based on the quoted market values of the securities held within the mutual funds. Pension plan assets Level 1 The fair values of the Company’s Level 1 pension plan assets, which are equity securities and fixed income investment vehicles, are valued using the quoted market prices of those securities which are actively traded on national exchanges. Pension plan assets Level 2 The fair values of the Company’s Level 2 pension plan assets, which are investments that are pooled with other investments in a commingled fund, are valued using the net asset value produced by the fund manager. The assets within the commingled funds have a readily determinable fair market value. Commodity derivative instruments Level 2 The fair values of the Company’s commodity derivative instruments are based on current settlement values at each balance sheet date, which represent the estimated amounts the Company would have received or paid upon termination of these instruments. The Company’s credit risk related to the commodity derivative instruments is managed by requiring high standards for its counterparties and periodic settlements. The Company considers nonperformance risk in determining the fair values of commodity derivative instruments. Long-term debt Level 2 The carrying amounts of the Company’s variable rate debt approximate the fair values due to variable interest rates with short reset periods. The fair values of the Company’s fixed rate debt are based on estimated current market prices. Acquisition related contingent consideration Level 3 The fair value of the Company’s acquisition related contingent consideration is based on internal forecasts and the WACC derived from market data. |
Summary of Deferred Compensation Plan Commodity Hedging Agreements and Acquisition Related Contingent Consideration | The following tables summarize the carrying amounts and the fair values by level of the Company’s deferred compensation plan assets and liabilities, pension plan assets, commodity derivative instruments, long-term debt and acquisition related contingent consideration: December 31, 2023 (in thousands) Carrying Total Fair Value Fair Value Fair Value Assets: Deferred compensation plan assets $ 64,769 $ 64,769 $ 64,769 $ — $ — Pension plan assets 47,321 47,321 24,153 23,168 — Commodity derivative instruments 3,747 3,747 — 3,747 — Liabilities: Deferred compensation plan liabilities 64,769 64,769 64,769 — — Long-term debt 599,159 579,000 — 579,000 — Acquisition related contingent consideration 669,337 669,337 — — 669,337 December 31, 2022 (in thousands) Carrying Total Fair Value Fair Value Fair Value Assets: Deferred compensation plan assets $ 51,257 $ 51,257 $ 51,257 $ — $ — Pension plan assets 261,942 261,942 242,639 19,303 — Commodity derivative instruments 4,808 4,808 — 4,808 — Liabilities: Deferred compensation plan liabilities 51,257 51,257 51,257 — — Long-term debt 598,817 575,900 — 575,900 — Acquisition related contingent consideration 541,491 541,491 — — 541,491 |
Summary of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | A summary of the Level 3 activity is as follows: Fiscal Year (in thousands) 2023 2022 Beginning balance - Level 3 liability $ 541,491 $ 542,105 Payments of acquisition related contingent consideration (28,208) (36,515) Reclassification to current payables (3,300) 3,600 Increase in fair value 159,354 32,301 Ending balance - Level 3 liability $ 669,337 $ 541,491 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Summary of Significant Components of the Provision for Income Taxes | The following table presents the significant components of the provision for income taxes: Fiscal Year (in thousands) 2023 2022 2021 Current: Federal $ 158,475 $ 109,899 $ 59,308 State 39,652 26,053 15,444 Total current provision $ 198,127 $ 135,952 $ 74,752 Deferred: Federal $ (40,658) $ 7,478 $ (4,966) State (8,363) 1,499 (4,217) Total deferred (benefit) provision $ (49,021) $ 8,977 $ (9,183) Income tax expense $ 149,106 $ 144,929 $ 65,569 |
Summary of Reconciliation of Income Tax Expense at Statutory Federal Rate to Actual Income Tax Expense | The following table provides a reconciliation of income tax expense at the statutory federal rate to actual income tax expense: Fiscal Year 2023 2022 2021 (in thousands) Income % pre-tax Income % pre-tax Income % pre-tax Statutory expense $ 117,071 21.0 % $ 120,768 21.0 % $ 53,581 21.0 % State income taxes, net of federal benefit 21,001 3.8 21,572 3.8 9,522 3.7 Nondeductible compensation 7,372 1.3 4,005 0.7 3,545 1.4 Meals, entertainment and travel expense 3,336 0.6 1,694 0.3 2,028 0.8 Valuation allowance change 701 0.1 (932) (0.2) (902) (0.4) Adjustment for uncertain tax positions 52 — (1,351) (0.2) (984) (0.4) Other, net (427) (0.1) (827) (0.2) (1,221) (0.4) Income tax expense $ 149,106 26.7 % $ 144,929 25.2 % $ 65,569 25.7 % |
Summary of Reconciliation of Uncertain Tax Positions Excluding Accrued Interest | A reconciliation of uncertain tax positions, excluding accrued interest, is as follows: Fiscal Year (in thousands) 2023 2022 2021 Beginning balance - gross uncertain tax positions $ 285 $ 1,254 $ 2,161 Increase as a result of tax positions taken in the current year 105 105 59 Increase as a result of tax positions taken in a prior year — — — Reduction as a result of the expiration of the applicable statute of limitations (60) (1,074) (966) Ending balance - gross uncertain tax positions $ 330 $ 285 $ 1,254 |
Summary of Temporary Differences and Carryforwards that Comprised Deferred Income Tax Assets and Liabilities | Temporary differences and carryforwards that comprised deferred income tax assets and liabilities were as follows: (in thousands) December 31, 2023 December 31, 2022 Acquisition related contingent consideration $ 163,827 $ 132,535 Accrued liabilities 32,516 30,064 Operating lease liabilities 31,443 35,832 Deferred compensation 27,017 23,102 Deferred revenue 26,750 27,976 Postretirement benefits 13,601 11,511 Transactional costs 3,101 3,532 Financing lease agreements 470 614 Net operating loss carryforwards 437 532 Pension 427 808 Other 3,084 3,875 Deferred income tax assets $ 302,673 $ 270,381 Less: Valuation allowance for deferred tax assets 4,130 3,428 Net deferred income tax asset $ 298,543 $ 266,953 Depreciation $ (201,875) $ (182,174) Intangible assets (170,504) (173,560) Right-of-use assets - operating leases (30,034) (34,410) Inventory (11,425) (14,603) Prepaid expenses (8,028) (9,193) Patronage dividend (5,112) (3,235) Deferred income tax liabilities $ (426,978) $ (417,175) Net deferred income tax liability $ (128,435) $ (150,222) |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Summary of Liability under Executive Benefit Plans | The liability under these two deferral plans was as follows: (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 7,805 $ 8,147 Noncurrent liabilities 82,458 74,976 Total liability - Supplemental Savings Incentive Plan and Director Deferral Plan $ 90,263 $ 83,123 (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 219 $ 173 Noncurrent liabilities 10,633 7,249 Total liability - Long-Term Retention Plan $ 10,852 $ 7,422 (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 3,591 $ 3,730 Noncurrent liabilities 35,663 35,959 Total liability - Officer Retention Plan $ 39,254 $ 39,689 (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ 9,104 $ 7,738 Noncurrent liabilities 14,029 9,673 Total liability - Long-Term Performance Plan $ 23,133 $ 17,411 |
Summary of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost | Fiscal Year (in thousands) 2023 2022 2021 Service cost $ — $ — $ — Interest cost 5,982 8,978 8,479 Expected return on plan assets (4,608) (6,320) (11,799) Recognized net actuarial loss 1,946 3,588 4,090 Net periodic pension cost - Primary Plan 3,320 6,246 770 Settlement expense 112,796 — — Total pension expense - Primary Plan $ 116,116 $ 6,246 $ 770 Net Periodic Pension Cost Fiscal Year (in thousands) 2023 2022 2021 Service cost $ 3,996 $ 6,586 $ 7,529 Interest cost 2,079 1,664 1,367 Expected return on plan assets (2,438) (1,823) (1,201) Recognized net actuarial loss — 402 864 Amortization of prior service costs 16 — 3 Net periodic pension cost - Bargaining Plan $ 3,653 $ 6,829 $ 8,562 Net Periodic Postretirement Benefit Cost Fiscal Year (in thousands) 2023 2022 2021 Service cost $ 1,085 $ 1,458 $ 1,516 Interest cost 2,761 1,923 1,772 Recognized net actuarial loss — 444 682 Net periodic postretirement benefit cost $ 3,846 $ 3,825 $ 3,970 |
Summary of Changes in Projected Benefit Obligation | The following tables set forth pertinent information for the Bargaining Plan: Fiscal Year (in thousands) 2023 2022 Beginning balance - Bargaining Plan projected benefit obligation $ 39,177 $ 50,427 Service cost 3,996 6,586 Interest cost 2,079 1,664 Plan amendments 5 154 Actuarial loss (gain) 1,652 (19,012) Benefits paid (786) (642) Ending balance - Bargaining Plan projected benefit obligation $ 46,123 $ 39,177 |
Summary of Change in Plan Assets | Change in Plan Assets Fiscal Year (in thousands) 2023 2022 Beginning balance - Bargaining Plan assets at fair value $ 38,635 $ 36,944 Actual return on plan assets 5,495 (9,314) Employer contributions 4,300 12,000 Benefits and expenses paid (1,109) (995) Ending balance - Bargaining Plan assets at fair value $ 47,321 $ 38,635 |
Summary of Funded Status | Funded Status (in thousands) December 31, 2023 December 31, 2022 Projected benefit obligation $ (46,123) $ (39,177) Plan assets at fair value 47,321 38,635 Net funded status - Bargaining Plan $ 1,198 $ (542) |
Summary of Amounts Recognized in the Consolidated Balance Sheet | Amounts Recognized in the Consolidated Balance Sheets (in thousands) December 31, 2023 December 31, 2022 Liabilities: Current liabilities $ — $ — Noncurrent liabilities — (542) Total liability - Bargaining Plan $ — $ (542) Assets: Noncurrent assets $ 1,198 $ — Total asset - Bargaining Plan $ 1,198 $ — |
Summary of Significant Assumptions | Significant Assumptions Fiscal Year 2023 2022 2021 Projected benefit obligation at the measurement date: Discount rate - Bargaining Plan 5.16 % 5.34 % 3.31 % Weighted average rate of compensation increase N/A N/A N/A Net periodic pension cost for the fiscal year: Discount rate - Bargaining Plan 5.34 % 3.31 % 3.12 % Weighted average expected long-term rate of return of plan assets - Bargaining Plan (1) 7.00 % 5.50 % 5.75 % Weighted average rate of compensation increase N/A N/A N/A (1) The weighted average expected long-term rate of return assumption for the Bargaining Plan assets, which was used to compute net periodic pension cost, is based upon target asset allocation and is determined using forward-looking performance and duration assumptions set at the beginning of each fiscal year. |
Summary of Anticipated Future Pension and Postretirement Benefit Payments | Cash Flows The anticipated future pension benefit payments as of December 31, 2023 were as follows: (in thousands) Anticipated Future Payment 2024 $ 1,059 2025 1,248 2026 1,471 2027 1,710 2028 1,941 2029 - 2033 13,335 Cash Flows The anticipated future postretirement benefit payments reflecting expected future service as of December 31, 2023 were as follows: (in thousands) Anticipated Future Payment 2024 $ 3,214 2025 3,530 2026 3,954 2027 4,427 2028 4,738 2029 - 2033 24,857 |
Summary of Target Asset Allocation, Actual Asset Allocation, and Weighted Average Expected Long-Term Rate of Return and Summary of Pension Plan Assets | The Company’s actual asset allocation at December 31, 2023 and December 31, 2022 and target asset allocation for 2024 by asset category for the Bargaining Plan were as follows: Percentage of Bargaining Plan Target Asset 2023 2022 2024 U.S. debt securities 55 % 56 % 40 % U.S. equity securities 33 % 32 % 46 % International debt securities 1 % 2 % — % International equity securities 10 % 10 % 12 % Cash and cash equivalents 1 % — % 2 % Total 100 % 100 % 100 % The following table summarizes the Company’s pension plan assets, which are classified as Level 1 and Level 2 for fair value measurement. As of December 31, 2023, the below values include Bargaining Plan assets only, as there were no remaining Primary Plan assets after the termination of the plan. As of December 31, 2022, the below values include both Bargaining Plan and Primary Plan assets. The Company does not have any Level 3 pension plan assets. See Note 15 for additional information. (in thousands) December 31, 2023 December 31, 2022 Pension plan assets - fixed income $ 26,543 $ 232,578 Pension plan assets - equity securities 20,550 16,194 Pension plan assets - cash and cash equivalents 228 13,170 Total pension plan assets $ 47,321 $ 261,942 |
Summary of Reconciliation of Activity in Postretirement Benefit Plan | The following tables set forth pertinent information for the Company’s postretirement benefit plan: Reconciliation of Activity Fiscal Year (in thousands) 2023 2022 Benefit obligation at beginning of year $ 55,299 $ 65,156 Service cost 1,085 1,458 Interest cost 2,761 1,923 Plan participants’ contributions 767 657 Actuarial loss (gain) 7,986 (10,138) Benefits paid (4,070) (3,757) Benefit obligation at end of year $ 63,828 $ 55,299 The decrease in the discount rate for the postretirement benefit plan, as compared to the previous year, was the primary driver of the actuarial loss in 2023. The increase in the discount rate for the postretirement benefit plan, as compared to the previous year, was the primary driver of the actuarial gain in 2022. The actuarial loss (gain), net of tax, was recorded in accumulated other comprehensive loss in the consolidated balance sheets. |
Summary of Reconciliation of Plan Assets Fair Value in Postretirement Benefit Plan | Reconciliation of Plan Assets Fair Value Fiscal Year (in thousands) 2023 2022 Fair value of plan assets at beginning of year $ — $ — Employer contributions 3,303 3,100 Plan participants’ contributions 767 657 Benefits paid (4,070) (3,757) Fair value of plan assets at end of year $ — $ — |
Summary of Funded Status in Postretirement Benefit Plan | Funded Status (in thousands) December 31, 2023 December 31, 2022 Current liabilities $ (3,214) $ (3,177) Noncurrent liabilities (60,614) (52,122) Total liability - postretirement benefits $ (63,828) $ (55,299) |
Summary of Significant Assumptions | Significant Assumptions Fiscal Year 2023 2022 2021 Benefit obligation at the measurement date: Weighted average healthcare cost trend rate - Pre-Medicare 7.88 % 6.58 % 6.04 % Weighted average healthcare cost trend rate - Post-Medicare 8.65 % 6.89 % 6.29 % Benefit obligation discount rate 5.02 % 5.19 % 2.98 % Net periodic postretirement benefit cost discount rate for fiscal year 5.19 % 2.98 % 2.70 % Postretirement benefit expense - Pre-Medicare: Weighted average healthcare cost trend rate 6.58 % 6.04 % 6.26 % Trend rate graded down to ultimate rate 4.50 % 4.50 % 4.50 % Ultimate rate year 2032 2029 2029 Postretirement benefit expense - Post-Medicare: Weighted average healthcare cost trend rate 6.89 % 6.29 % 6.54 % Trend rate graded down to ultimate rate 4.50 % 4.50 % 4.50 % Ultimate rate year 2032 2029 2029 |
Summary of Reconciliation of Amounts in Accumulated Other Comprehensive Loss That Have Not Yet Been Recognized as Components of Net Periodic Benefit Cost | A reconciliation of the gross amounts in accumulated other comprehensive loss not yet recognized as components of net periodic benefit cost associated with the plans discussed above is as follows: (in thousands) December 31, Actuarial Gain (Loss) Reclassification December 31, Pension Plans: Actuarial loss $ (117,560) $ 3,036 $ 1,946 $ (112,578) Prior service costs (158) (5) 16 (147) Pension plan settlement — — 112,796 112,796 Postretirement Medical: Actuarial gain (loss) 770 (7,986) — (7,216) Total within accumulated other comprehensive loss $ (116,948) $ (4,955) $ 114,758 $ (7,145) |
Summary of Multiemployer Plans | The Company’s participation in the Teamsters Plan is outlined in the table below. A red zone represents less than 80% funding and requires a financial improvement plan (“FIP”) or rehabilitation plan (“RP”). Fiscal Year (in thousands) 2023 2022 2021 Pension Protection Act Zone Status Red Red Red FIP or RP pending or implemented Yes Yes Yes Surcharge imposed Yes Yes Yes Contribution $ 999 $ 959 $ 933 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Summary of Other Liabilities | Other liabilities consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Noncurrent portion of acquisition related contingent consideration $ 604,809 $ 501,431 Accruals for executive benefit plans 153,428 137,771 Noncurrent deferred proceeds from related parties 100,176 103,240 Other 8,086 10,915 Total other liabilities $ 866,499 $ 753,357 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt | Following is a summary of the Company’s long-term debt: (in thousands) Maturity Interest Interest Public / December 31, December 31, Senior bonds (1) 11/25/2025 3.80% Semi-annually Public $ 350,000 $ 350,000 Revolving credit facility (2)(3) 7/9/2026 Variable Varies Nonpublic — — Senior notes 10/10/2026 3.93% Quarterly Nonpublic 100,000 100,000 Senior notes 3/21/2030 3.96% Quarterly Nonpublic 150,000 150,000 Unamortized discount on senior bonds (1) 11/25/2025 (17) (26) Debt issuance costs (824) (1,157) Total long-term debt $ 599,159 $ 598,817 (1) The senior bonds due in 2025 were issued at 99.975% of par. (2) The Company’s revolving credit facility has an aggregate maximum borrowing capacity of $500 million. The Company currently believes all banks participating in the revolving credit facility have the ability to and will meet any funding requests from the Company. (3) During 2023, the Company amended its revolving credit facility to complete the transition of the interest rate index from the London InterBank Offered Rate (LIBOR) to the Secured Overnight Financing Rate (SOFR), as contemplated in the revolving credit facility. |
Summary of Principal Maturities of Debt Outstanding | The principal maturities of debt outstanding on December 31, 2023 were as follows: (in thousands) Debt Maturities 2024 $ — 2025 350,000 2026 100,000 2027 — 2028 — Thereafter 150,000 Long-term debt $ 600,000 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Company's Purchases from Manufacturing Cooperatives | The following table summarizes the Company’s purchases from these manufacturing cooperatives: Fiscal Year (in thousands) 2023 2022 2021 Purchases from Southeastern $ 146,898 $ 153,967 $ 125,142 Purchases from SAC 200,239 193,261 169,399 Total purchases from manufacturing cooperatives $ 347,137 $ 347,228 $ 294,541 |
Risks and Uncertainties (Tables
Risks and Uncertainties (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Risks and Uncertainties [Abstract] | |
Summary of Percentage of Total Bottle/Can Sales Volume and Percentage Total Net Sales to Its Largest Customers | The following table summarizes the percentage of the Company’s total bottle/can sales volume to its largest customers, as well as the percentage of the Company’s total net sales, which are included in the Nonalcoholic Beverages segment, that such volume represents. No other customer represented greater than 10% of the Company’s total net sales for any years presented. Fiscal Year 2023 2022 2021 Approximate percent of the Company’s total bottle/can sales volume Wal-Mart Stores, Inc. 21 % 20 % 20 % The Kroger Company 14 % 12 % 13 % Total approximate percent of the Company’s total bottle/can sales volume 35 % 32 % 33 % Approximate percent of the Company’s total net sales Wal-Mart Stores, Inc. 17 % 16 % 14 % The Kroger Company 11 % 10 % 9 % Total approximate percent of the Company’s total net sales 28 % 26 % 23 % |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Summary of Accumulated Other Comprehensive (Loss) | Following is a summary of AOCI(L) for 2023, 2022 and 2021: Gains (Losses) During the Period Reclassification to Income (in thousands) December 31, Pre-tax Tax Pre-tax Tax December 31, Net pension activity: Actuarial loss $ (71,140) $ 3,036 $ (744) $ 1,946 $ (476) $ (67,378) Prior service costs (105) (5) 1 16 (4) (97) Pension plan settlement (1) — — — 112,796 (44,885) 67,911 Net postretirement benefits activity: Actuarial gain 6,752 (7,986) 1,955 — — 721 Prior service costs (624) — — — — (624) Reclassification of stranded tax effects (1) (19,720) — — — 14,911 (4,809) Total AOCI(L) $ (84,837) $ (4,955) $ 1,212 $ 114,758 $ (30,454) $ (4,276) Gains (Losses) During the Period Reclassification to Income (in thousands) December 31, Pre-tax Tax Pre-tax Tax December 31, Net pension activity: Actuarial loss $ (78,882) $ 6,263 $ (1,533) $ 3,990 $ (978) $ (71,140) Prior service credits (costs) 11 (154) 38 — — (105) Net postretirement benefits activity: Actuarial (loss) gain (1,239) 10,138 (2,481) 444 (110) 6,752 Prior service costs (624) — — — — (624) Foreign currency translation adjustment (9) — — 11 (2) — Reclassification of stranded tax effects (19,720) — — — — (19,720) Total AOCI(L) $ (100,463) $ 16,247 $ (3,976) $ 4,445 $ (1,090) $ (84,837) Gains (Losses) During the Period Reclassification to Income (in thousands) December 31, Pre-tax Tax Pre-tax Tax December 31, Net pension activity: Actuarial loss $ (93,847) $ 14,897 $ (3,658) $ 4,954 $ (1,228) $ (78,882) Prior service credits 8 — — 3 — 11 Net postretirement benefits activity: Actuarial loss (4,328) 3,414 (838) 682 (169) (1,239) Prior service costs (624) — — — — (624) Interest rate swap (2) (556) — — 739 (183) — Foreign currency translation adjustment 14 — — (32) 9 (9) Reclassification of stranded tax effects (19,720) — — — — (19,720) Total AOCI(L) $ (119,053) $ 18,311 $ (4,496) $ 6,346 $ (1,571) $ (100,463) (1) The stranded tax effect activity for 2023 is associated with the full settlement of the Primary Plan benefit liabilities. (2) In 2019, the Company entered into a $100 million fixed rate swap to hedge a portion of the interest rate risk on its previous term loan facility, both of which matured on June 7, 2021. This interest rate swap was designated as a cash flow hedging instrument and changes in its fair value were not material to the consolidated balance sheets. |
Supplemental Disclosures of C_2
Supplemental Disclosures of Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Summary of Changes in Current Assets and Current Liabilities Affecting Cash Flows | Changes in current assets and current liabilities affecting cash were as follows: Fiscal Year (in thousands) 2023 2022 2021 Accounts receivable, trade $ (23,886) $ (59,777) $ (46,825) Allowance for doubtful accounts (59) (1,217) (4,284) Accounts receivable from The Coca-Cola Company (16,150) 21,951 (8,534) Accounts receivable, other (12,902) (20,753) 3,206 Inventories 25,613 (44,694) (77,094) Prepaid expenses and other current assets 5,682 (16,201) (3,922) Accounts payable, trade 17,096 23,417 84,959 Accounts payable to The Coca-Cola Company (23,284) 17,112 38,490 Other accrued liabilities 37,017 (10,649) 21,313 Accrued compensation 20,011 16,027 23,286 Change in current assets less current liabilities $ 29,138 $ (74,784) $ 30,595 |
Net Cash Payments (Refunds) During the Period for Income Taxes and Interest | The Company had the following net cash payments during the period for income taxes and interest: Fiscal Year (in thousands) 2023 2022 2021 Income taxes $ 200,812 $ 140,988 $ 70,988 Interest 23,960 28,086 29,142 |
Significant Noncash Financing and Investing Activities | The Company had the following significant non-cash financing and investing activities: Fiscal Year (in thousands) 2023 2022 2021 Dividends declared but not yet paid $ 154,666 $ 32,808 $ — Additions to property, plant and equipment accrued and recorded in accounts payable, trade 59,014 44,775 35,809 Right-of-use assets obtained in exchange for operating lease obligations 10,215 25,130 26,907 Reductions to leased property under financing leases — 55,465 — |
Description of Business and S_3
Description of Business and Summary of Critical Accounting Policies (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 USD ($) vote reporting_unit benefit_plan segment category stock $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | |
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Number of operating segments | segment | 3 | ||
Number of additional operating segments do not meet quantitative thresholds for separate reporting | segment | 2 | ||
Period of collection of trade account receivable | 30 days | ||
Amortization expenses of internal-use software | $ | $ 1,700 | $ 3,000 | $ 5,400 |
Number of reporting units | reporting_unit | 1 | ||
Impairment of the carrying value of goodwill | $ | $ 0 | 0 | 0 |
Number of sales categories | category | 2 | ||
Number of classes of common stock outstanding | stock | 2 | ||
Percentage control of total voting power (as a percent) | 71% | ||
Payment of dividend | $ | $ 46,868 | $ 9,374 | $ 9,374 |
Anti-dilutive shares (in shares) | shares | 0 | 0 | 0 |
Total Bottle/Can Sales Volume | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Concentration risk percentage of related party products volume to customers (as a percent) | 85% | ||
Common Stock | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Number of votes per share | vote | 1 | ||
Dividends declared on common stock (in dollars per share) | $ 18 | $ 4.50 | $ 1 |
Cash dividend per share (in dollars per share) | 5 | 1 | 1 |
Dividends declared but not yet paid (in dollars per share) | $ 16.50 | ||
Class B Common Stock | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Number of votes per share | vote | 20 | ||
Dividends declared on common stock (in dollars per share) | $ 18 | 4.50 | 1 |
Cash dividend per share (in dollars per share) | 5 | $ 1 | $ 1 |
Dividends declared but not yet paid (in dollars per share) | $ 16.50 | ||
Class B Common stock convertible into common Stock, conversion ratio | 1 | ||
Pension Plans | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Number of company-sponsored pension plans | benefit_plan | 2 | ||
Minimum | Distribution Agreements | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life | 20 years | ||
Minimum | Customer Lists | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life | 5 years | ||
Maximum | Distribution Agreements | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life | 40 years | ||
Maximum | Customer Lists | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life | 12 years | ||
Bottle/Can Sales | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Sales return estimated percentage (less than) | 1% | ||
Post-Mix and Other | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
Sales return estimated percentage (less than) | 1% | ||
Repair Service | Minimum | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
General period for completion of services (less than for minimum) | 1 day | ||
Repair Service | Maximum | |||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||
General period for completion of services (less than for minimum) | 1 month |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2022 USD ($) | Dec. 31, 2023 USD ($) shares | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Related Party Transaction [Line Items] | ||||
Payments of acquisition related contingent consideration | $ 28,208 | $ 36,515 | $ 39,097 | |
Accounts receivable, other | 67,533 | 54,631 | ||
Lease liabilities for operating leases | $ 128,465 | 146,398 | ||
Long-Term Performance Equity Plan | ||||
Related Party Transaction [Line Items] | ||||
Award settled in cash or shares, average closing prices of shares during trading days of performance period | 20 days | |||
SD&A Expenses | Long-Term Performance Equity Plan | ||||
Related Party Transaction [Line Items] | ||||
Share based compensation | $ 10,300 | 10,100 | 9,800 | |
J. Frank Harrison, III | ||||
Related Party Transaction [Line Items] | ||||
Voting power of stock held by related party (as a percent) | 71% | |||
J. Frank Harrison, III | Class B Common Stock | ||||
Related Party Transaction [Line Items] | ||||
Voting power of stock held by related party (in shares) | shares | 1,004,394 | |||
The Coca-Cola Company | ||||
Related Party Transaction [Line Items] | ||||
Voting power of stock held by related party (as a percent) | 9% | |||
Payments made to related party for concentrate syrup, sweetener, finished products and other purchases (as a percent) | 0.80 | |||
Affiliated Entity | Distribution agreements, net | Agreement To Acquire Additional Distribution Rights | ||||
Related Party Transaction [Line Items] | ||||
Related party transaction, amount of transaction | $ 30,100 | |||
Estimated useful life | 40 years | |||
CCR | Comprehensive Beverage Agreement | ||||
Related Party Transaction [Line Items] | ||||
Payments of acquisition related contingent consideration | $ 28,200 | 36,500 | 39,100 | |
Southeastern | Other Assets | ||||
Related Party Transaction [Line Items] | ||||
Equity investments | 20,900 | 21,200 | ||
SAC | ||||
Related Party Transaction [Line Items] | ||||
Proceeds from management fees received from SAC, classified as reduction of cost of sales | 9,300 | 8,900 | 8,700 | |
SAC | Other Assets | ||||
Related Party Transaction [Line Items] | ||||
Equity investments | 17,200 | 8,200 | ||
CCBSS | ||||
Related Party Transaction [Line Items] | ||||
Accounts receivable, other | 14,300 | 25,700 | ||
Administrative fees due to CCBSS | 2,800 | 2,400 | 2,900 | |
CONA | ||||
Related Party Transaction [Line Items] | ||||
Service fees | 27,500 | 25,700 | $ 24,100 | |
CONA | Other Assets | ||||
Related Party Transaction [Line Items] | ||||
Equity investments | 22,100 | 16,900 | ||
Company headquarters | ||||
Related Party Transaction [Line Items] | ||||
Lease liabilities for operating leases | $ 22,500 | $ 25,500 |
Related Party Transactions - Su
Related Party Transactions - Summary of Significant Transactions between Company and The Coca-Cola Company (Details) - The Coca-Cola Company - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Related Party Transaction [Line Items] | |||
Payments made by the Company to The Coca-Cola Company | $ 2,019,409 | $ 1,867,727 | $ 1,558,784 |
Payments made by The Coca-Cola Company to the Company | $ 253,972 | $ 256,333 | $ 207,073 |
Related Party Transactions - _2
Related Party Transactions - Summary of Liability to Estimated Fair Value of Contingent Consideration (Detail) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Related Party Transaction [Line Items] | ||
Current portion of acquisition related contingent consideration | $ 64,528 | $ 40,060 |
Noncurrent portion of acquisition related contingent consideration | 604,809 | 501,431 |
CCR | Comprehensive Beverage Agreement | ||
Related Party Transaction [Line Items] | ||
Current portion of acquisition related contingent consideration | 64,528 | 40,060 |
Noncurrent portion of acquisition related contingent consideration | 604,809 | 501,431 |
Total acquisition related contingent consideration | $ 669,337 | $ 541,491 |
Related Party Transactions - _3
Related Party Transactions - Summary of Rental Payments Related to Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Company headquarters | |||
Related Party Transaction [Line Items] | |||
Related parties, rental payments | $ 3,931 | $ 3,854 | $ 3,778 |
Snyder Production Center | |||
Related Party Transaction [Line Items] | |||
Related parties, rental payments | $ 0 | $ 927 | $ 4,451 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) category | Dec. 31, 2022 USD ($) | Dec. 31, 2021 | |
Revenue From Contract With Customer [Line Items] | |||
Number of sales categories | category | 2 | ||
Reserve for customer return | $ | $ 4.5 | $ 3 | |
Repair Service | Minimum | |||
Revenue From Contract With Customer [Line Items] | |||
General period for completion of services (less than for minimum) | 1 day | ||
Repair Service | Maximum | |||
Revenue From Contract With Customer [Line Items] | |||
General period for completion of services (less than for minimum) | 1 month | ||
Bottle/Can Sales | |||
Revenue From Contract With Customer [Line Items] | |||
Sales return estimated percentage (less than) | 1% | ||
Post-Mix and Other | |||
Revenue From Contract With Customer [Line Items] | |||
Sales return estimated percentage (less than) | 1% | ||
Point in Time Net Sales | Revenue from Contract with Customer Benchmark | Timing Of Sale | |||
Revenue From Contract With Customer [Line Items] | |||
Sales percentage (as a percent) | 98% | 97% | 97% |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 6,653,858 | $ 6,200,957 | $ 5,562,714 |
Point in Time Net Sales | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 6,510,155 | 6,034,914 | 5,389,444 |
Point in Time Net Sales | Nonalcoholic Beverages | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 6,510,155 | 6,034,914 | 5,389,444 |
Over Time Net Sales | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 143,703 | 166,043 | 173,270 |
Over Time Net Sales | Nonalcoholic Beverages | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 52,467 | 46,443 | 43,225 |
Over Time Net Sales | All Other | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 91,236 | $ 119,600 | $ 130,045 |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Activity in Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance - allowance for credit losses | $ 13,119 | $ 14,336 | $ 18,070 |
Additions charged to expenses and as a reduction to net sales | 2,639 | 4,326 | 4,638 |
Deductions | (4,198) | (5,543) | (8,372) |
Ending balance - allowance for credit losses | $ 11,560 | $ 13,119 | $ 14,336 |
Segments - Additional Informati
Segments - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Segment Reporting Information [Line Items] | |
Number of operating segments | 3 |
Other Segments | |
Segment Reporting Information [Line Items] | |
Number of operating segments | 2 |
Segments - Summary of Financial
Segments - Summary of Financial Information by Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net sales: | |||
Consolidated net sales | $ 6,653,858 | $ 6,200,957 | $ 5,562,714 |
Income from operations: | |||
Consolidated income from operations | 834,451 | 641,047 | 439,171 |
Depreciation and amortization: | |||
Consolidated depreciation and amortization | 176,966 | 171,590 | 180,565 |
Operating Segments | Nonalcoholic Beverages | |||
Net sales: | |||
Consolidated net sales | 6,562,622 | 6,081,357 | 5,432,669 |
Income from operations: | |||
Consolidated income from operations | 841,491 | 639,136 | 456,713 |
Depreciation and amortization: | |||
Consolidated depreciation and amortization | 164,485 | 159,845 | 168,206 |
Operating Segments | Other Segments | |||
Net sales: | |||
Consolidated net sales | 370,748 | 399,359 | 366,855 |
Income from operations: | |||
Consolidated income from operations | (7,040) | 1,911 | (17,542) |
Depreciation and amortization: | |||
Consolidated depreciation and amortization | 12,481 | 11,745 | 12,359 |
Eliminations | |||
Net sales: | |||
Consolidated net sales | $ (279,512) | $ (279,759) | $ (236,810) |
Net Income Per Share - Computat
Net Income Per Share - Computation of Basic Net Income Per Share and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Numerator for basic and diluted net income per Common Stock and Class B Common Stock share: | |||
Net income | $ 408,375 | $ 430,158 | $ 189,580 |
Less dividends: | |||
Total undistributed earnings – basic | 361,507 | 420,784 | 180,206 |
Total undistributed earnings – diluted | 361,507 | 420,784 | 180,206 |
Class B Common Stock | |||
Less dividends: | |||
Common Stock | 5,024 | 1,312 | 2,233 |
Total undistributed earnings – basic | 38,758 | 56,425 | 42,913 |
Total undistributed earnings – diluted | 39,376 | 57,626 | 43,307 |
Numerator for basic net income per Common Stock share: | |||
Numerator for basic net income per Common Stock share | 43,782 | 57,737 | 45,146 |
Numerator for diluted net income per Common Stock share: | |||
Numerator for diluted net income per Common Stock share | $ 44,400 | $ 58,938 | $ 45,540 |
Denominator for basic net income per Common Stock and Class B Common Stock share: | |||
Common Stock weighted average shares outstanding - basic (in shares) | 1,005 | 1,257 | 2,232 |
Denominator for diluted net income per Common Stock and Class B Common Stock share: | |||
Common Stock weighted average shares outstanding - diluted (in shares) | 1,023 | 1,288 | 2,259 |
Basic net income per share: | |||
Common Stock (in dollars per share) | $ 43.56 | $ 45.93 | $ 20.23 |
Diluted net income per share: | |||
Common Stock (in dollars per share) | $ 43.40 | $ 45.76 | $ 20.16 |
Common Stock | |||
Less dividends: | |||
Common Stock | $ 41,844 | $ 8,062 | $ 7,141 |
Total undistributed earnings – basic | 322,749 | 364,359 | 137,293 |
Total undistributed earnings – diluted | 322,131 | 363,158 | 136,899 |
Numerator for basic net income per Common Stock share: | |||
Numerator for basic net income per Common Stock share | 364,593 | 372,421 | 144,434 |
Numerator for diluted net income per Common Stock share: | |||
Numerator for diluted net income per Common Stock share | $ 408,375 | $ 430,158 | $ 189,580 |
Denominator for basic net income per Common Stock and Class B Common Stock share: | |||
Common Stock weighted average shares outstanding - basic (in shares) | 8,369 | 8,117 | 7,141 |
Denominator for diluted net income per Common Stock and Class B Common Stock share: | |||
Common Stock weighted average shares outstanding - diluted (in shares) | 9,392 | 9,405 | 9,400 |
Basic net income per share: | |||
Common Stock (in dollars per share) | $ 43.56 | $ 45.88 | $ 20.23 |
Diluted net income per share: | |||
Common Stock (in dollars per share) | $ 43.48 | $ 45.74 | $ 20.17 |
Net Income Per Share - Comput_2
Net Income Per Share - Computation of Basic Net Income Per Share and Diluted Net Income Per Share, Textual (Details) - shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |||
Percentage undistributed earnings (losses) allocated to common stock diluted | 100% | 100% | 100% |
Anti-dilutive shares (in shares) | 0 | 0 | 0 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Inventory Disclosure [Abstract] | ||
Finished products | $ 207,912 | $ 211,089 |
Manufacturing materials | 71,560 | 89,300 |
Plastic shells, plastic pallets and other inventories | 42,460 | 47,156 |
Total inventories | $ 321,932 | $ 347,545 |
Prepaid Expenses and Other Cu_3
Prepaid Expenses and Other Current Assets - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Prepaid Expense and Other Assets [Abstract] | ||
Repair parts | $ 35,256 | $ 35,088 |
Prepaid software | 9,427 | 7,398 |
Prepaid taxes | 9,020 | 7,829 |
Prepaid marketing | 4,703 | 4,303 |
Commodity hedges at fair market value | 3,747 | 4,808 |
Other prepaid expenses and other current assets | 26,432 | 34,837 |
Total prepaid expenses and other current assets | $ 88,585 | $ 94,263 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Principal Categories and Estimated Useful Lives of Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 2,481,408 | $ 2,289,993 |
Less: Accumulated depreciation and amortization | 1,160,845 | 1,106,263 |
Property, plant and equipment, net | 1,320,563 | 1,183,730 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | 99,858 | 88,185 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 390,852 | 352,114 |
Buildings | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 8 years | |
Buildings | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 50 years | |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 498,737 | 462,640 |
Machinery and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 5 years | |
Machinery and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 20 years | |
Transportation equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 611,001 | 515,752 |
Transportation equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 3 years | |
Transportation equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 20 years | |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 107,072 | 102,099 |
Furniture and fixtures | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 3 years | |
Furniture and fixtures | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 10 years | |
Cold drink dispensing equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 449,508 | 438,879 |
Cold drink dispensing equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 3 years | |
Cold drink dispensing equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 17 years | |
Leasehold and land improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 179,146 | 177,940 |
Leasehold and land improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 5 years | |
Leasehold and land improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 20 years | |
Software for internal use | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 49,611 | 48,581 |
Software for internal use | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 3 years | |
Software for internal use | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | 10 years | |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 95,623 | $ 103,803 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Narrative (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |||
Impairment charges | $ 0 | $ 0 | $ 0 |
Leases - Summary of Weighted Av
Leases - Summary of Weighted Average Remaining Lease Term and Weighted Average Discount Rate for Population of Leases (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Operating leases | ||
Weighted average remaining lease term | 6 years 8 months 12 days | 7 years 2 months 12 days |
Weighted average discount rate | 3.80% | 3.60% |
Financing leases | ||
Weighted average remaining lease term | 3 years 6 months | 4 years 3 months 18 days |
Weighted average discount rate | 5.20% | 5.20% |
Leases - Summary of Balances Re
Leases - Summary of Balances Related to Lease Portfolio within Consolidated Statement of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Operating lease costs | $ 32,959 | $ 30,484 | $ 26,385 |
Short-term and variable leases | 15,995 | 15,065 | 17,245 |
Depreciation expense from financing leases | 1,646 | 2,315 | 5,656 |
Interest expense on financing lease obligations | 447 | 884 | 2,301 |
Total lease cost | $ 51,047 | $ 48,748 | $ 51,587 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Lease Payments For Noncancelable Operating And Financing Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Operating Leases | ||
Year One | $ 29,932 | $ 31,697 |
Year Two | 24,329 | 27,663 |
Year Three | 21,115 | 21,628 |
Year Four | 18,614 | 19,036 |
Year Five | 13,890 | 17,227 |
Thereafter | 39,022 | 51,372 |
Total minimum lease payments including interest | 146,902 | 168,623 |
Less: Amounts representing interest | 18,437 | 22,225 |
Present value of minimum lease principal payments | 128,465 | 146,398 |
Less: Current portion of lease liabilities - operating and financing leases | 26,194 | 27,635 |
Noncurrent portion of lease liabilities - operating and financing leases | 102,271 | 118,763 |
Financing Leases | ||
Year One | 2,808 | 2,750 |
Year Two | 2,869 | 2,808 |
Year Three | 1,233 | 2,869 |
Year Four | 338 | 1,233 |
Year Five | 345 | 338 |
Thereafter | 620 | 966 |
Total minimum lease payments including interest | 8,213 | 10,964 |
Less: Amounts representing interest | 694 | 1,142 |
Present value of minimum lease principal payments | 7,519 | 9,822 |
Less: Current portion of lease liabilities - operating and financing leases | 2,487 | 2,303 |
Noncurrent portion of lease liabilities - operating and financing leases | $ 5,032 | $ 7,519 |
Leases - Summary of Balances _2
Leases - Summary of Balances Related to Lease Portfolio within Consolidated Statement of Cash Flow (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities impact: | |||
Operating leases | $ 33,013 | $ 28,891 | $ 27,642 |
Interest payments on financing lease obligations | 447 | 884 | 2,301 |
Total cash flows from operating activities impact | 33,460 | 29,775 | 29,943 |
Cash flows from financing activities impact: | |||
Principal payments on financing lease obligations | 2,303 | 2,988 | 4,778 |
Total cash flows from financing activities impact | $ 2,303 | $ 2,988 | $ 4,778 |
Distribution Agreements, Net -
Distribution Agreements, Net - Narrative (Details) - Distribution agreements, net $ in Millions | Dec. 31, 2023 USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
Amortization expense for 2024 | $ 24.9 |
Amortization expense for 2025 | 24.9 |
Amortization expense for 2026 | 24.9 |
Amortization expense for 2027 | 24.9 |
Amortization expense for 2028 | $ 24.9 |
Minimum | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful life | 20 years |
Maximum | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful life | 40 years |
Distribution Agreements, Net _2
Distribution Agreements, Net - Components of Distribution Agreements, Net (Details) - Distribution agreements, net - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | |||
Distribution agreements at cost | $ 990,191 | $ 990,191 | |
Less: Accumulated amortization | 173,048 | 148,156 | |
Total finite-lived intangible assets | $ 817,143 | $ 842,035 | $ 836,777 |
Distribution Agreements, Net _3
Distribution Agreements, Net - Reconciliation of Activity for Other Identifiable Intangible Assets Net (Details) - Distribution agreements, net - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance - distribution agreements, net | $ 842,035 | $ 836,777 |
Other distribution agreements | 0 | 30,149 |
Additional accumulated amortization | (24,892) | (24,891) |
Ending balance - distribution agreements, net | $ 817,143 | $ 842,035 |
Customer Lists, Net - Narrative
Customer Lists, Net - Narrative (Details) - Customer lists, net $ in Millions | Dec. 31, 2023 USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
Amortization expense for 2024 | $ 1.4 |
Amortization expense for 2025 | 1.4 |
Amortization expense for 2026 | 1.4 |
Amortization expense for 2027 | 1.4 |
Amortization expense for 2028 | $ 1.4 |
Minimum | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful life | 5 years |
Maximum | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful life | 12 years |
Customer Lists, Net - Other Ide
Customer Lists, Net - Other Identifiable Intangible Assets (Details) - Customer lists, net - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Customer lists at cost | $ 25,288 | $ 25,288 |
Less: Accumulated amortization | 17,789 | 16,123 |
Total finite-lived intangible assets | $ 7,499 | $ 9,165 |
Supply Chain Finance Program (D
Supply Chain Finance Program (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Commitments and Contingencies Disclosure [Abstract] | ||
Supplier Finance Program, Obligation, Current, Statement of Financial Position [Extensible Enumeration] | Accounts payable, trade | Accounts payable, trade |
Outstanding obligation current | $ 55.1 | $ 44.2 |
Other Accrued Liabilities - Sum
Other Accrued Liabilities - Summary of Other Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Current portion of acquisition related contingent consideration | $ 64,528 | $ 40,060 |
Accrued marketing costs | 55,799 | 33,375 |
Accrued insurance costs | 54,040 | 54,180 |
Employee and retiree benefit plan accruals | 34,203 | 31,711 |
Accrued taxes (other than income taxes) | 7,474 | 7,127 |
Accrued interest payable | 2,520 | 2,677 |
All other accrued expenses | 19,430 | 31,847 |
Total other accrued liabilities | $ 237,994 | $ 200,977 |
Commodity Derivative Instrume_3
Commodity Derivative Instruments - Summary of Pre-Tax Changes in Fair Value (Details) - Commodity derivative instruments - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total (loss) gain | $ (1,061) | $ (2,906) | $ 5,241 |
Cost of sales | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total (loss) gain | 1,220 | (3,333) | 3,469 |
Selling, delivery and administrative expenses | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total (loss) gain | $ (2,281) | $ 427 | $ 1,772 |
Commodity Derivative Instrume_4
Commodity Derivative Instruments - Summary of Fair Values and Classification in Consolidated Balance Sheets of Derivative Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Derivatives, Fair Value [Line Items] | ||
Prepaid expenses and other current assets | $ 3,747 | $ 4,808 |
Commodity derivative instruments | ||
Derivatives, Fair Value [Line Items] | ||
Prepaid expenses and other current assets | 3,747 | 4,808 |
Total assets | 3,747 | 4,808 |
Gross commodity derivative instrument assets | 3,747 | 4,808 |
Gross commodity derivative instrument liabilities | $ 0 | $ 0 |
Commodity Derivative Instrume_5
Commodity Derivative Instruments - Summary of Outstanding Commodity Derivative Agreements (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Commodity derivative instruments | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional amount of outstanding commodity derivative instruments | $ 50,187 | $ 61,128 |
Fair Values of Financial Inst_3
Fair Values of Financial Instruments - Deferred Compensation Plan Commodity Hedging Agreements and Acquisition Related Contingent Consideration (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Commodity derivative instruments | |||
Assets: | |||
Commodity derivative instruments | $ 3,747 | $ 4,808 | |
Fair Value Level 3 | |||
Liabilities: | |||
Acquisition related contingent consideration | 669,337 | 541,491 | $ 542,105 |
Carrying Amount | |||
Assets: | |||
Deferred compensation plan assets | 64,769 | 51,257 | |
Pension plan assets | 47,321 | 261,942 | |
Liabilities: | |||
Deferred compensation plan liabilities | 64,769 | 51,257 | |
Long-term debt | 599,159 | 598,817 | |
Acquisition related contingent consideration | 669,337 | 541,491 | |
Carrying Amount | Commodity derivative instruments | |||
Assets: | |||
Commodity derivative instruments | 3,747 | 4,808 | |
Total Fair Value | |||
Assets: | |||
Deferred compensation plan assets | 64,769 | 51,257 | |
Pension plan assets | 47,321 | 261,942 | |
Liabilities: | |||
Deferred compensation plan liabilities | 64,769 | 51,257 | |
Long-term debt | 579,000 | 575,900 | |
Acquisition related contingent consideration | 669,337 | 541,491 | |
Total Fair Value | Commodity derivative instruments | |||
Assets: | |||
Commodity derivative instruments | 3,747 | 4,808 | |
Total Fair Value | Fair Value Level 1 | |||
Assets: | |||
Deferred compensation plan assets | 64,769 | 51,257 | |
Pension plan assets | 24,153 | 242,639 | |
Liabilities: | |||
Deferred compensation plan liabilities | 64,769 | 51,257 | |
Long-term debt | 0 | 0 | |
Acquisition related contingent consideration | 0 | 0 | |
Total Fair Value | Fair Value Level 1 | Commodity derivative instruments | |||
Assets: | |||
Commodity derivative instruments | 0 | 0 | |
Total Fair Value | Fair Value Level 2 | |||
Assets: | |||
Deferred compensation plan assets | 0 | 0 | |
Pension plan assets | 23,168 | 19,303 | |
Liabilities: | |||
Deferred compensation plan liabilities | 0 | 0 | |
Long-term debt | 579,000 | 575,900 | |
Acquisition related contingent consideration | 0 | 0 | |
Total Fair Value | Fair Value Level 2 | Commodity derivative instruments | |||
Assets: | |||
Commodity derivative instruments | 3,747 | 4,808 | |
Total Fair Value | Fair Value Level 3 | |||
Assets: | |||
Deferred compensation plan assets | 0 | 0 | |
Pension plan assets | 0 | 0 | |
Liabilities: | |||
Deferred compensation plan liabilities | 0 | 0 | |
Long-term debt | 0 | 0 | |
Acquisition related contingent consideration | 669,337 | 541,491 | |
Total Fair Value | Fair Value Level 3 | Commodity derivative instruments | |||
Assets: | |||
Commodity derivative instruments | $ 0 | $ 0 |
Fair Values of Financial Inst_4
Fair Values of Financial Instruments - Additional Information (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 USD ($) | Dec. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Time period for acquisition related contingent consideration arrangements | 5 years | |
Amount payable annually under acquisition related contingent consideration arrangements, value, low | $ 50 | |
Amount payable annually under acquisition related contingent consideration arrangements, value, high | $ 70 | |
Discount Rate | Fair Value Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition related contingent consideration liability, measurement input | 0.085 | 0.091 |
Distribution Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Estimated useful life | 40 years |
Fair Values of Financial Inst_5
Fair Values of Financial Instruments - Summary of Reconciliation of Acquisition Related Contingent Consideration Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Business Combination, Contingent Consideration, Liability [Roll Forward] | |||
Payments of acquisition related contingent consideration | $ (28,208) | $ (36,515) | $ (39,097) |
Increase in fair value | 159,354 | 32,301 | 146,308 |
Level 3 | |||
Business Combination, Contingent Consideration, Liability [Roll Forward] | |||
Beginning balance - Level 3 liability | 541,491 | 542,105 | |
Payments of acquisition related contingent consideration | (28,208) | (36,515) | |
Reclassification to current payables | (3,300) | 3,600 | |
Increase in fair value | 159,354 | 32,301 | |
Ending balance - Level 3 liability | $ 669,337 | $ 541,491 | $ 542,105 |
Income Taxes - Significant Comp
Income Taxes - Significant Components of the Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Federal | $ 158,475 | $ 109,899 | $ 59,308 |
State | 39,652 | 26,053 | 15,444 |
Total current provision | 198,127 | 135,952 | 74,752 |
Deferred: | |||
Federal | (40,658) | 7,478 | (4,966) |
State | (8,363) | 1,499 | (4,217) |
Total deferred (benefit) provision | (49,021) | 8,977 | (9,183) |
Income tax expense | $ 149,106 | $ 144,929 | $ 65,569 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax [Line Items] | |||
Effective income tax rate (as a percent) | 26.70% | 25.20% | 25.70% |
Uncertain tax positions | $ 400 | $ 300 | |
Uncertain tax positions that would affect income tax rate | 400 | 300 | |
Change in uncertain tax positions, expected material impact on consolidated financial statements | 0 | ||
Valuation allowance for deferred tax assets | 4,130 | $ 3,428 | |
Federal | |||
Income Tax [Line Items] | |||
Net operating losses | 0 | ||
State | |||
Income Tax [Line Items] | |||
Net operating losses | $ 10,100 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Tax Expense at Statutory Federal Rate to Actual Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income tax expense | |||
Statutory expense | $ 117,071 | $ 120,768 | $ 53,581 |
State income taxes, net of federal benefit | 21,001 | 21,572 | 9,522 |
Nondeductible compensation | 7,372 | 4,005 | 3,545 |
Meals, entertainment and travel expense | 3,336 | 1,694 | 2,028 |
Valuation allowance change | 701 | (932) | (902) |
Adjustment for uncertain tax positions | 52 | (1,351) | (984) |
Other, net | (427) | (827) | (1,221) |
Income tax expense | $ 149,106 | $ 144,929 | $ 65,569 |
% pre-tax income (loss) | |||
Statutory expense | 21% | 21% | 21% |
State income taxes, net of federal benefit | 3.80% | 3.80% | 3.70% |
Nondeductible compensation | 1.30% | 0.70% | 1.40% |
Meals, entertainment and travel expense | 0.60% | 0.30% | 0.80% |
Valuation allowance change | 0.10% | (0.20%) | (0.40%) |
Adjustment for uncertain tax positions | 0% | (0.20%) | (0.40%) |
Other, net | (0.10%) | (0.20%) | (0.40%) |
Income tax expense | 26.70% | 25.20% | 25.70% |
Income Taxes - Reconciliation_2
Income Taxes - Reconciliation of Uncertain Tax Positions Excluding Accrued Interest (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balance - gross uncertain tax positions | $ 285 | $ 1,254 | $ 2,161 |
Increase as a result of tax positions taken in the current year | 105 | 105 | 59 |
Increase as a result of tax positions taken in a prior year | 0 | 0 | 0 |
Reduction as a result of the expiration of the applicable statute of limitations | (60) | (1,074) | (966) |
Ending balance - gross uncertain tax positions | $ 330 | $ 285 | $ 1,254 |
Income Taxes - Temporary Differ
Income Taxes - Temporary Differences and Carryforwards that Comprised Deferred Income Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Income Tax Disclosure [Abstract] | ||
Acquisition related contingent consideration | $ 163,827 | $ 132,535 |
Accrued liabilities | 32,516 | 30,064 |
Operating lease liabilities | 31,443 | 35,832 |
Deferred compensation | 27,017 | 23,102 |
Deferred revenue | 26,750 | 27,976 |
Postretirement benefits | 13,601 | 11,511 |
Transactional costs | 3,101 | 3,532 |
Financing lease agreements | 470 | 614 |
Net operating loss carryforwards | 437 | 532 |
Pension | 427 | 808 |
Other | 3,084 | 3,875 |
Deferred income tax assets | 302,673 | 270,381 |
Less: Valuation allowance for deferred tax assets | 4,130 | 3,428 |
Net deferred income tax asset | 298,543 | 266,953 |
Depreciation | (201,875) | (182,174) |
Intangible assets | (170,504) | (173,560) |
Right-of-use assets - operating leases | (30,034) | (34,410) |
Inventory | (11,425) | (14,603) |
Prepaid expenses | (8,028) | (9,193) |
Patronage dividend | (5,112) | (3,235) |
Deferred income tax liabilities | (426,978) | (417,175) |
Net deferred income tax liability | $ (128,435) | $ (150,222) |
Benefit Plans - Narrative (Deta
Benefit Plans - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 USD ($) benefit_plan segment | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plan settlement expense | $ 112,796 | $ 0 | $ 0 |
Multiemployer plans status red zone minimum funded percentage (as a percent) | 80% | ||
Multiemployer pension plan withdrawing annual payment amount | $ 1,000 | ||
Multiemployer pension plan withdrawing liability recorded | $ 3,900 | ||
401(k) Savings Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Company maximum contribution percentage under plan (as a percent) | 5% | 5% | 5% |
Company actual contribution percentage under plan (as a percent) | 5% | 5% | 5% |
Cost recognized | $ 30,500 | $ 26,800 | $ 24,800 |
Executive Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of executive benefit plans | benefit_plan | 4 | ||
Executive Benefit Plans | Supplemental Savings Incentive Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Company contributions vesting period | 5 years | ||
Company maximum contribution percentage under plan (as a percent) | 50% | ||
Participant contributions percentage under plan (as a percent) | 6% | ||
Company actual contribution percentage under plan (as a percent) | 50% | 50% | 50% |
Company actual matching contribution, percent of employees' salary (as a percent) | 6% | 6% | 6% |
Executive Benefit Plans | Supplemental Savings Incentive Plan and Director Deferral Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of executive benefit plans | segment | 2 | ||
Executive Benefit Plans | Long-Term Retention Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Vested percentage until age 51 under plan (as a percent) | 50% | ||
Age vesting percentage increases | 51 years | ||
Annual vested percentage increase under plan beginning at age 51 (as a percent) | 5% | ||
Fully vested age | 60 years | ||
Annuity to eligible participants installment payment period one | 10 years | ||
Annuity to eligible participants installment payment period two | 15 years | ||
Annuity to eligible participants installment payment period three | 20 years | ||
Executive Benefit Plans | Officer Retention Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Vested percentage until age 51 under plan (as a percent) | 50% | ||
Age vesting percentage increases | 51 years | ||
Annual vested percentage increase under plan beginning at age 51 (as a percent) | 5% | ||
Fully vested age | 60 years | ||
Annuity to eligible participants installment payment period one | 10 years | ||
Annuity to eligible participants installment payment period two | 15 years | ||
Annuity to eligible participants installment payment period three | 20 years | ||
Pension Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of company-sponsored pension plans | benefit_plan | 2 | ||
Pension plan assets | $ 261,942 | ||
Actuarial losses included in accumulated other comprehensive loss | $ 112,578 | 117,560 | |
Pension Plans | Primary Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer contributions | 12,000 | ||
Pension plan settlement expense | 112,796 | 0 | $ 0 |
Remaining liability, unfunded portion | 0 | (7,700) | |
Pension plan assets | 0 | 223,300 | |
Benefit obligation | 0 | 231,000 | |
Actuarial losses included in accumulated other comprehensive loss | 0 | 117,000 | |
Pension Plans | Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer contributions | 4,300 | 12,000 | |
Remaining liability, unfunded portion | 1,198 | (542) | |
Pension plan assets | 47,321 | 38,635 | 36,944 |
Benefit obligation | 46,123 | 39,177 | $ 50,427 |
Accumulated benefit obligation | $ 46,100 | $ 39,200 | |
Weighted average expected long-term rate of return of plan assets | 7% | 5.50% | 5.75% |
Weighted average duration of institutional government and corporate bonds | 19 years | ||
Pension Plans | Bargaining Plan | Maximum | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected future employer contributions, next fiscal year | $ 2,000 | ||
Weighted average duration of cash and cash equivalents | 1 year |
Benefit Plans - Liability Under
Benefit Plans - Liability Under Executive Benefit Plans (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plan Disclosure [Line Items] | ||
Current liabilities | $ 34,203 | $ 31,711 |
Executive Benefit Plans | Supplemental Savings Incentive Plan and Director Deferral Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current liabilities | 7,805 | 8,147 |
Noncurrent liabilities | 82,458 | 74,976 |
Total liability | 90,263 | 83,123 |
Executive Benefit Plans | Long-Term Retention Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current liabilities | 219 | 173 |
Noncurrent liabilities | 10,633 | 7,249 |
Total liability | 10,852 | 7,422 |
Executive Benefit Plans | Officer Retention Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current liabilities | 3,591 | 3,730 |
Noncurrent liabilities | 35,663 | 35,959 |
Total liability | 39,254 | 39,689 |
Executive Benefit Plans | Long-Term Performance Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current liabilities | 9,104 | 7,738 |
Noncurrent liabilities | 14,029 | 9,673 |
Total liability | $ 23,133 | $ 17,411 |
Benefit Plans - Net Periodic Pe
Benefit Plans - Net Periodic Pension Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plan settlement expense | $ 112,796 | $ 0 | $ 0 |
Pension Plans | Primary Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0 | 0 | 0 |
Interest cost | 5,982 | 8,978 | 8,479 |
Expected return on plan assets | (4,608) | (6,320) | (11,799) |
Recognized net actuarial loss | 1,946 | 3,588 | 4,090 |
Net periodic pension/postretirement benefit cost | 3,320 | 6,246 | 770 |
Pension plan settlement expense | 112,796 | 0 | 0 |
Total pension expense | 116,116 | 6,246 | 770 |
Pension Plans | Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 3,996 | 6,586 | 7,529 |
Interest cost | 2,079 | 1,664 | 1,367 |
Expected return on plan assets | (2,438) | (1,823) | (1,201) |
Recognized net actuarial loss | 0 | 402 | 864 |
Amortization of prior service costs | 16 | 0 | 3 |
Net periodic pension/postretirement benefit cost | $ 3,653 | $ 6,829 | $ 8,562 |
Benefit Plans - Changes in Proj
Benefit Plans - Changes in Projected Benefit Obligation (Details) - Pension Plans - Bargaining Plan - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Beginning balance - Bargaining Plan projected benefit obligation | $ 39,177 | $ 50,427 | |
Service cost | 3,996 | 6,586 | $ 7,529 |
Interest cost | 2,079 | 1,664 | 1,367 |
Plan amendments | 5 | 154 | |
Actuarial loss (gain) | 1,652 | (19,012) | |
Benefits paid | (786) | (642) | |
Ending balance - Bargaining Plan projected benefit obligation | $ 46,123 | $ 39,177 | $ 50,427 |
Benefit Plans - Change in Plan
Benefit Plans - Change in Plan Assets (Details) - Pension Plans - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Plan assets at fair value - Beginning balance | $ 261,942 | |
Plan assets at fair value - Ending balance | $ 261,942 | |
Bargaining Plan | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Plan assets at fair value - Beginning balance | 38,635 | 36,944 |
Actual return on plan assets | 5,495 | (9,314) |
Employer contributions | 4,300 | 12,000 |
Benefits and expenses paid | (1,109) | (995) |
Plan assets at fair value - Ending balance | $ 47,321 | $ 38,635 |
Benefit Plans - Funded Status,
Benefit Plans - Funded Status, Pension Plans (Details) - Pension Plans - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | $ 261,942 | ||
Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Projected benefit obligation | $ (46,123) | (39,177) | $ (50,427) |
Plan assets at fair value | 47,321 | 38,635 | $ 36,944 |
Net funded status - Bargaining Plan | $ 1,198 | $ (542) |
Benefit Plans - Amounts Recogni
Benefit Plans - Amounts Recognized in the Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Liabilities: | ||
Noncurrent liabilities | $ (60,614) | $ (60,323) |
Bargaining Plan | ||
Defined Benefit Plan, Assets [Abstract] | ||
Noncurrent assets | 1,198 | 0 |
Total asset - Bargaining Plan | 1,198 | 0 |
Pension Plans | Bargaining Plan | ||
Liabilities: | ||
Current liabilities | 0 | 0 |
Noncurrent liabilities | 0 | (542) |
Total liability - Bargaining Plan | $ 0 | $ (542) |
Benefit Plans - Significant Ass
Benefit Plans - Significant Assumptions Used, Pension Plans (Details) - Pension Plans - Bargaining Plan | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Projected benefit obligation at the measurement date: | |||
Discount rate | 5.16% | 5.34% | 3.31% |
Net periodic pension cost for the fiscal year: | |||
Discount rate | 5.34% | 3.31% | 3.12% |
Weighted average expected long-term rate of return of plan assets | 7% | 5.50% | 5.75% |
Benefit Plans - Anticipated Fut
Benefit Plans - Anticipated Future Pension Benefit Payments (Details) - Pension Plans - Bargaining Plan $ in Thousands | Dec. 31, 2023 USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | $ 1,059 |
2025 | 1,248 |
2026 | 1,471 |
2027 | 1,710 |
2028 | 1,941 |
2029 - 2033 | $ 13,335 |
Benefit Plans - Weighted Averag
Benefit Plans - Weighted Average Expected Long-Term Rate of Return (Details) - Pension Plans - Bargaining Plan | Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Bargaining Plan Assets at Fiscal Year-End | 100% | 100% | |
Forecast | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation | 100% | ||
U.S. debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Bargaining Plan Assets at Fiscal Year-End | 55% | 56% | |
U.S. debt securities | Forecast | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation | 40% | ||
U.S. equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Bargaining Plan Assets at Fiscal Year-End | 33% | 32% | |
U.S. equity securities | Forecast | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation | 46% | ||
International debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Bargaining Plan Assets at Fiscal Year-End | 1% | 2% | |
International debt securities | Forecast | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation | 0% | ||
International equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Bargaining Plan Assets at Fiscal Year-End | 10% | 10% | |
International equity securities | Forecast | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation | 12% | ||
Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Bargaining Plan Assets at Fiscal Year-End | 1% | 0% | |
Cash and cash equivalents | Forecast | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation | 2% |
Benefit Plans - Summary of Pens
Benefit Plans - Summary of Pension Plan Assets (Details) - Pension Plans - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | $ 261,942 | ||
Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | $ 47,321 | 38,635 | $ 36,944 |
Pension plan assets - fixed income | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 232,578 | ||
Pension plan assets - fixed income | Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 26,543 | ||
Pension plan assets - equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 16,194 | ||
Pension plan assets - equity securities | Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 20,550 | ||
Pension plan assets - cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | $ 13,170 | ||
Pension plan assets - cash and cash equivalents | Bargaining Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | $ 228 |
Benefit Plans - Reconciliation
Benefit Plans - Reconciliation of Benefit Obligation (Details) - Postretirement Benefits - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Beginning balance - Bargaining Plan projected benefit obligation | $ 55,299 | $ 65,156 | |
Service cost | 1,085 | 1,458 | $ 1,516 |
Interest cost | 2,761 | 1,923 | 1,772 |
Plan participants’ contributions | 767 | 657 | |
Actuarial loss (gain) | 7,986 | (10,138) | |
Benefits paid | (4,070) | (3,757) | |
Ending balance - Bargaining Plan projected benefit obligation | $ 63,828 | $ 55,299 | $ 65,156 |
Benefit Plans - Reconciliatio_2
Benefit Plans - Reconciliation of Plan Assets Fair Value (Details) - Postretirement Benefits - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Plan assets at fair value - Beginning balance | $ 0 | $ 0 |
Employer contributions | 3,303 | 3,100 |
Plan participants’ contributions | 767 | 657 |
Benefits and expenses paid | (4,070) | (3,757) |
Plan assets at fair value - Ending balance | $ 0 | $ 0 |
Benefit Plans - Funded Status_2
Benefit Plans - Funded Status, Postretirement Benefits (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plan Disclosure [Line Items] | ||
Noncurrent liabilities | $ (60,614) | $ (60,323) |
Postretirement Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current liabilities | (3,214) | (3,177) |
Noncurrent liabilities | (60,614) | (52,122) |
Total liability - Bargaining Plan | $ (63,828) | $ (55,299) |
Benefit Plans - Components of N
Benefit Plans - Components of Net Periodic Postretirement Benefit Cost (Details) - Postretirement Benefits - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 1,085 | $ 1,458 | $ 1,516 |
Interest cost | 2,761 | 1,923 | 1,772 |
Recognized net actuarial loss | 0 | 444 | 682 |
Net periodic pension/postretirement benefit cost | $ 3,846 | $ 3,825 | $ 3,970 |
Benefit Plans - Significant A_2
Benefit Plans - Significant Assumptions Used, Postretirement Benefits (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pre Medicare | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average healthcare cost trend rate | 7.88% | 6.58% | 6.04% |
Weighted average healthcare cost trend rate | 6.58% | 6.04% | 6.26% |
Trend rate graded down to ultimate rate | 4.50% | 4.50% | 4.50% |
Post Medicare | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average healthcare cost trend rate | 8.65% | 6.89% | 6.29% |
Weighted average healthcare cost trend rate | 6.89% | 6.29% | 6.54% |
Trend rate graded down to ultimate rate | 4.50% | 4.50% | 4.50% |
Postretirement Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Benefit obligation discount rate | 5.02% | 5.19% | 2.98% |
Net periodic postretirement benefit cost discount rate for fiscal year | 5.19% | 2.98% | 2.70% |
Benefit Plans - Anticipated F_2
Benefit Plans - Anticipated Future Postretirement Benefit Payments (Details) - Postretirement Benefits $ in Thousands | Dec. 31, 2023 USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | $ 3,214 |
2025 | 3,530 |
2026 | 3,954 |
2027 | 4,427 |
2028 | 4,738 |
2029 - 2033 | $ 24,857 |
Benefit Plans - Reconciliatio_3
Benefit Plans - Reconciliation of Amounts in Accumulated Other Comprehensive Loss That Have Not Yet Been Recognized as Components of Net Periodic Benefit Cost (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Actuarial loss | |
Actuarial Gain (Loss) | $ (4,955) |
Pension plan settlement | |
Settlement expense, beginning balance | 0 |
Settlement expense, reclassification adjustments | 112,796 |
Settlement expense, actuarial gain (loss) | 0 |
Settlement expense, ending balance | 112,796 |
Total within accumulated other comprehensive loss | |
Net periodic benefit cost, beginning balance | (116,948) |
Reclassification Adjustments | 114,758 |
Net periodic benefit cost, ending balance | (7,145) |
Pension Plans | |
Actuarial loss | |
Actuarial loss, beginning balance | (117,560) |
Actuarial Gain (Loss) | 3,036 |
Reclassification Adjustments | 1,946 |
Actuarial loss, ending balance | (112,578) |
Prior service costs | |
Prior service costs, beginning balance | (158) |
Actuarial Gain (Loss) | (5) |
Reclassification Adjustments | 16 |
Prior service costs, ending balance | (147) |
Postretirement Benefits | |
Actuarial loss | |
Actuarial loss, beginning balance | 770 |
Actuarial Gain (Loss) | (7,986) |
Reclassification Adjustments | 0 |
Actuarial loss, ending balance | $ (7,216) |
Benefit Plans - Multiemployer P
Benefit Plans - Multiemployer Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Teamsters Plan | |||
Multiemployer Plans [Line Items] | |||
Contribution | $ 999 | $ 959 | $ 933 |
Other Liabilities - Summary of
Other Liabilities - Summary of Other Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Other Liabilities Disclosure [Abstract] | ||
Noncurrent portion of acquisition related contingent consideration | $ 604,809 | $ 501,431 |
Accruals for executive benefit plans | 153,428 | 137,771 |
Noncurrent deferred proceeds from related parties | 100,176 | 103,240 |
Other | 8,086 | 10,915 |
Total other liabilities | $ 866,499 | $ 753,357 |
Other Liabilities - Narrative (
Other Liabilities - Narrative (Details) | Dec. 31, 2017 |
Legacy Facilities Credit | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization period as reduction to cost of sales | 40 years |
CCR | Comprehensive Beverage Agreement | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization period as reduction to cost of sales | 40 years |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Jul. 09, 2021 | |
Debt Instrument [Line Items] | |||
Debt issuance costs | $ (824,000) | $ (1,157,000) | |
Total long-term debt | 599,159,000 | 598,817,000 | |
Nonpublic | Line of Credit | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 0 | 0 | |
3.80% Senior Notes 11/25/2025 | Public | Senior Notes | |||
Debt Instrument [Line Items] | |||
Interest Rate | 3.80% | ||
Long-term debt, gross | $ 350,000,000 | 350,000,000 | |
Unamortized discount on senior notes | $ (17,000) | (26,000) | |
Senior notes, issued at par percentage (as a percent) | 99.975% | ||
3.93% Senior Notes 10/10/2026 | Nonpublic | Senior Notes | |||
Debt Instrument [Line Items] | |||
Interest Rate | 3.93% | ||
Long-term debt, gross | $ 100,000,000 | 100,000,000 | |
3.96% Senior Notes 3/21/2030 | Nonpublic | Senior Notes | |||
Debt Instrument [Line Items] | |||
Interest Rate | 3.96% | ||
Long-term debt, gross | $ 150,000,000 | $ 150,000,000 | |
2021 Revolving Credit Facility Agreement | Nonpublic | Line of Credit | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Aggregate maximum borrowing capacity | $ 500,000,000 |
Long-Term Debt - Principal Matu
Long-Term Debt - Principal Maturities of Debt Outstanding (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Debt Disclosure [Abstract] | |
2024 | $ 0 |
2025 | 350,000 |
2026 | 100,000 |
2027 | 0 |
2028 | 0 |
Thereafter | 150,000 |
Long-term debt | $ 600,000 |
Long-Term Debt - Narrative (Det
Long-Term Debt - Narrative (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) financial_covenant | |
Debt Disclosure [Abstract] | |
Number of financial covenants | financial_covenant | 2 |
Debt issued by subsidiaries | $ 0 |
Guarantees of company debt | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) case in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) case | Dec. 31, 2022 USD ($) case | Dec. 31, 2021 USD ($) case | |
Loss Contingencies [Line Items] | |||
Letters of credit totaled | $ 37.6 | $ 37.6 | |
Long-term marketing contractual arrangements | $ 130.5 | ||
Southeastern | |||
Loss Contingencies [Line Items] | |||
Purchase requirements of plastic bottles (as a percent) | 80% | ||
SAC | |||
Loss Contingencies [Line Items] | |||
Cases of finished product obligated to purchase on an annual basis | case | 17.5 | ||
Purchased number of cases finished product from SAC | case | 25.3 | 26.9 | 28 |
Debt guarantee for related party | $ 9.5 | $ 9.5 | |
Impairment of investment | $ 0 | $ 0 | $ 0 |
Commitments and Contingencies_2
Commitments and Contingencies - Summary of Company's Purchases from Manufacturing Cooperatives (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Loss Contingencies [Line Items] | |||
Total purchases from manufacturing cooperatives | $ 347,137 | $ 347,228 | $ 294,541 |
Southeastern | |||
Loss Contingencies [Line Items] | |||
Total purchases from manufacturing cooperatives | 146,898 | 153,967 | 125,142 |
SAC | |||
Loss Contingencies [Line Items] | |||
Total purchases from manufacturing cooperatives | $ 200,239 | $ 193,261 | $ 169,399 |
Risks and Uncertainties - Narra
Risks and Uncertainties - Narrative (Details) | 12 Months Ended |
Dec. 31, 2023 supplier entity | |
Concentration Risk [Line Items] | |
Number of entities in which reporting entity is shareholder and purchases majority of plastic bottles | entity | 2 |
Number of entities in which reporting entity is shareholder and purchases majority of aluminum cans | supplier | 2 |
Total Bottle/Can Sales Volume | |
Concentration Risk [Line Items] | |
Concentration risk percentage of related party products volume to customers (as a percent) | 85% |
Collective Bargaining Agreements | Labor Force Concentration Risk | |
Concentration Risk [Line Items] | |
Concentration risk, percentage (as a percent) | 15% |
Collective Bargaining Agreements | Labor Force Concentration Risk | Minimum | |
Concentration Risk [Line Items] | |
Multi-employer plans collective bargaining arrangements, expiration term | 3 years |
Collective Bargaining Agreements | Labor Force Concentration Risk | Maximum | |
Concentration Risk [Line Items] | |
Multi-employer plans collective bargaining arrangements, expiration term | 5 years |
Risks and Uncertainties - Summa
Risks and Uncertainties - Summary of Percentage of Total Bottle/Can Sales Volume and Percentage Total Net Sales to Its Largest Customers (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Wal-Mart Stores, Inc And The Kroger Company | Total Bottle/Can Sales Volume | Product Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage (as a percent) | 35% | 32% | 33% |
Wal-Mart Stores, Inc And The Kroger Company | Total Net Sales | Customer Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage (as a percent) | 28% | 26% | 23% |
Wal-Mart Stores, Inc. | Total Bottle/Can Sales Volume | Product Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage (as a percent) | 21% | 20% | 20% |
Wal-Mart Stores, Inc. | Total Net Sales | Customer Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage (as a percent) | 17% | 16% | 14% |
The Kroger Company | Total Bottle/Can Sales Volume | Product Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage (as a percent) | 14% | 12% | 13% |
The Kroger Company | Total Net Sales | Customer Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage (as a percent) | 11% | 10% | 9% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Summary of Accumulated Other Comprehensive (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 29, 2019 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | $ 1,115,388 | $ 711,786 | $ 512,990 | |
Ending Balance | 1,435,598 | 1,115,388 | 711,786 | |
Reclassification of stranded tax effects | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (19,720) | (19,720) | (19,720) | |
Gains (Losses) During the Period, Pre-tax Activity | 0 | 0 | 0 | |
Gains (Losses) During the Period, Tax Effect | 0 | 0 | 0 | |
Reclassification to Income, Pre-tax Activity | 0 | 0 | 0 | |
Reclassification to Income, Tax Effect | 14,911 | 0 | 0 | |
Ending Balance | (4,809) | (19,720) | (19,720) | |
Total AOCI | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (84,837) | (100,463) | (119,053) | |
Gains (Losses) During the Period, Pre-tax Activity | (4,955) | 16,247 | 18,311 | |
Gains (Losses) During the Period, Tax Effect | 1,212 | (3,976) | (4,496) | |
Reclassification to Income, Pre-tax Activity | 114,758 | 4,445 | 6,346 | |
Reclassification to Income, Tax Effect | (30,454) | (1,090) | (1,571) | |
Ending Balance | (4,276) | (84,837) | (100,463) | |
Interest rate swap | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 0 | (556) | ||
Gains (Losses) During the Period, Pre-tax Activity | 0 | |||
Gains (Losses) During the Period, Tax Effect | 0 | |||
Reclassification to Income, Pre-tax Activity | 739 | |||
Reclassification to Income, Tax Effect | (183) | |||
Ending Balance | 0 | |||
Fixed rate swap | $ 100,000 | |||
Foreign currency translation adjustment | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 0 | (9) | 14 | |
Gains (Losses) During the Period, Pre-tax Activity | 0 | 0 | ||
Gains (Losses) During the Period, Tax Effect | 0 | 0 | ||
Reclassification to Income, Pre-tax Activity | 11 | (32) | ||
Reclassification to Income, Tax Effect | (2) | 9 | ||
Ending Balance | 0 | (9) | ||
Pension Plans | Actuarial loss | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (71,140) | (78,882) | (93,847) | |
Gains (Losses) During the Period, Pre-tax Activity | 3,036 | 6,263 | 14,897 | |
Gains (Losses) During the Period, Tax Effect | (744) | (1,533) | (3,658) | |
Reclassification to Income, Pre-tax Activity | 1,946 | 3,990 | 4,954 | |
Reclassification to Income, Tax Effect | (476) | (978) | (1,228) | |
Ending Balance | (67,378) | (71,140) | (78,882) | |
Pension Plans | Prior service credits (costs) | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (105) | 11 | 8 | |
Gains (Losses) During the Period, Pre-tax Activity | (5) | (154) | 0 | |
Gains (Losses) During the Period, Tax Effect | 1 | 38 | 0 | |
Reclassification to Income, Pre-tax Activity | 16 | 0 | 3 | |
Reclassification to Income, Tax Effect | (4) | 0 | 0 | |
Ending Balance | (97) | (105) | 11 | |
Pension Plans | Pension plan settlement | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 0 | |||
Gains (Losses) During the Period, Pre-tax Activity | 0 | |||
Gains (Losses) During the Period, Tax Effect | 0 | |||
Reclassification to Income, Pre-tax Activity | 112,796 | |||
Reclassification to Income, Tax Effect | (44,885) | |||
Ending Balance | 67,911 | 0 | ||
Postretirement Benefits | Actuarial loss | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 6,752 | (1,239) | (4,328) | |
Gains (Losses) During the Period, Pre-tax Activity | (7,986) | 10,138 | 3,414 | |
Gains (Losses) During the Period, Tax Effect | 1,955 | (2,481) | (838) | |
Reclassification to Income, Pre-tax Activity | 0 | 444 | 682 | |
Reclassification to Income, Tax Effect | 0 | (110) | (169) | |
Ending Balance | 721 | 6,752 | (1,239) | |
Postretirement Benefits | Prior service credits (costs) | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (624) | (624) | (624) | |
Gains (Losses) During the Period, Pre-tax Activity | 0 | 0 | 0 | |
Gains (Losses) During the Period, Tax Effect | 0 | 0 | 0 | |
Reclassification to Income, Pre-tax Activity | 0 | 0 | 0 | |
Reclassification to Income, Tax Effect | 0 | 0 | 0 | |
Ending Balance | $ (624) | $ (624) | $ (624) |
Supplemental Disclosures of C_3
Supplemental Disclosures of Cash Flow Information - Summary of Changes in Current Assets and Current Liabilities Affecting Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |||
Accounts receivable, trade | $ (23,886) | $ (59,777) | $ (46,825) |
Allowance for doubtful accounts | (59) | (1,217) | (4,284) |
Accounts receivable from The Coca-Cola Company | (16,150) | 21,951 | (8,534) |
Accounts receivable, other | (12,902) | (20,753) | 3,206 |
Inventories | 25,613 | (44,694) | (77,094) |
Prepaid expenses and other current assets | 5,682 | (16,201) | (3,922) |
Accounts payable, trade | 17,096 | 23,417 | 84,959 |
Accounts payable to The Coca-Cola Company | (23,284) | 17,112 | 38,490 |
Other accrued liabilities | 37,017 | (10,649) | 21,313 |
Accrued compensation | 20,011 | 16,027 | 23,286 |
Change in current assets less current liabilities | $ 29,138 | $ (74,784) | $ 30,595 |
Supplemental Disclosures of C_4
Supplemental Disclosures of Cash Flow Information - Net Cash Payments (Refunds) During the Period for Income Taxes and Interest (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |||
Income taxes | $ 200,812 | $ 140,988 | $ 70,988 |
Interest | $ 23,960 | $ 28,086 | $ 29,142 |
Supplemental Disclosures of C_5
Supplemental Disclosures of Cash Flow Information - Significant Noncash Financing and Investing Activities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |||
Dividends declared but not yet paid | $ 154,666 | $ 32,808 | $ 0 |
Additions to property, plant and equipment accrued and recorded in accounts payable, trade | 59,014 | 44,775 | 35,809 |
Right-of-use assets obtained in exchange for operating lease obligations | 10,215 | 25,130 | 26,907 |
Reductions to leased property under financing leases | $ 0 | $ 55,465 | $ 0 |
Schedule II - Valuation and Q_2
Schedule II - Valuation and Qualifying Accounts and Reserves (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Allowance for Doubtful Accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | $ 16,119 | $ 17,336 | $ 21,620 |
Additions charged to expenses and as a reduction to net sales | 4,139 | 4,326 | 4,088 |
Deductions | (4,198) | (5,543) | (8,372) |
Ending balance | 16,060 | 16,119 | 17,336 |
Valuation Allowance for Deferred Tax Assets | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | 3,428 | 4,372 | 5,325 |
Additions charged to expenses and as a reduction to net sales | 702 | 0 | 0 |
Deductions credited to expense | 0 | (944) | (953) |
Ending balance | $ 4,130 | $ 3,428 | $ 4,372 |