Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Feb. 28, 2022 | Jul. 16, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Jan. 1, 2022 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | SPTN | ||
Entity Registrant Name | SPARTANNASH COMPANY | ||
Entity Central Index Key | 0000877422 | ||
Current Fiscal Year End Date | --01-01 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Common Stock, Shares Outstanding | 35,921,684 | ||
Entity Public Float | $ 659,681,465 | ||
Entity Shell Company | false | ||
Entity Well Known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
ICFR Auditor Attestation Flag | true | ||
Entity File Number | 000-31127 | ||
Entity Tax Identification Number | 38-0593940 | ||
Entity Address, Address Line One | 850 76th Street, S.W. | ||
Entity Address, Address Line Two | P.O. Box 8700 | ||
Entity Address, City or Town | Grand Rapids | ||
Entity Address, State or Province | MI | ||
Entity Address, Postal Zip Code | 49518 | ||
City Area Code | 616 | ||
Local Phone Number | 878-2000 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Incorporation, State or Country Code | MI | ||
Entity Interactive Data Current | Yes | ||
Title of 12(b) Security | Common Stock, no par value | ||
Security Exchange Name | NASDAQ | ||
Auditor Name | DELOITTE & TOUCHE LLP | ||
Auditor Firm ID | 34 | ||
Auditor Location | Grand Rapids, Michigan | ||
Documents Incorporated by Reference | Part III, Items 10, 11, 12, 13 and 14 Definitive Proxy Statement for the 2022 Annual Meeting |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Current assets | ||
Cash and cash equivalents | $ 10,666 | $ 19,903 |
Accounts and notes receivable, net | 361,686 | 357,564 |
Inventories, net | 522,324 | 541,785 |
Prepaid expenses and other current assets | 62,517 | 72,229 |
Property and equipment held for sale | 23,259 | |
Total current assets | 957,193 | 1,014,740 |
Property and equipment, net | 577,359 | 577,059 |
Goodwill | 181,035 | 181,035 |
Intangible assets, net | 110,960 | 116,142 |
Operating lease assets | 283,040 | 289,173 |
Other assets, net | 97,195 | 99,242 |
Total assets | 2,206,782 | 2,277,391 |
Current liabilities | ||
Accounts payable | 447,451 | 464,784 |
Accrued payroll and benefits | 86,315 | 113,789 |
Other accrued expenses | 67,893 | 60,060 |
Current portion of operating lease liabilities | 47,845 | 45,786 |
Current portion of long-term debt and finance lease liabilities | 6,334 | 5,135 |
Total current liabilities | 655,838 | 689,554 |
Long-term liabilities | ||
Deferred income taxes | 63,692 | 45,728 |
Operating lease liabilities | 266,701 | 278,859 |
Other long-term liabilities | 38,292 | 46,892 |
Long-term debt and finance lease liabilities | 399,390 | 481,309 |
Total long-term liabilities | 768,075 | 852,788 |
Commitments and contingencies (Note 8) | ||
Shareholders’ equity | ||
Common stock, voting, no par value; 100,000 shares authorized; 35,948 and 35,851 shares outstanding | 493,783 | 491,819 |
Preferred stock, no par value, 10,000 shares authorized; no shares outstanding | ||
Accumulated other comprehensive loss | (1,455) | (2,276) |
Retained earnings | 290,541 | 245,506 |
Total shareholders’ equity | 782,869 | 735,049 |
Total liabilities and shareholders’ equity | $ 2,206,782 | $ 2,277,391 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jan. 01, 2022 | Jan. 02, 2021 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | ||
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares outstanding | 35,948,000 | 35,851,000 |
Preferred stock, par value | ||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
CONSOLIDATED STATEMENTS OF EARN
CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Income Statement [Abstract] | |||
Net sales | $ 8,931,039 | $ 9,348,485 | $ 8,536,065 |
Cost of sales | 7,527,160 | 7,923,520 | 7,292,235 |
Gross profit | 1,403,879 | 1,424,965 | 1,243,830 |
Operating expenses | |||
Selling, general and administrative | 1,309,456 | 1,297,740 | 1,172,401 |
Paid time off transition adjustment | (21,371) | ||
Acquisition and integration | 708 | 421 | 1,437 |
Restructuring and asset impairment, net | 2,886 | 24,398 | 13,050 |
Total operating expenses | 1,291,679 | 1,322,559 | 1,186,888 |
Operating earnings | 112,200 | 102,406 | 56,942 |
Other expenses and (income) | |||
Interest expense | 13,851 | 18,418 | 34,548 |
Loss on debt extinguishment | 329 | ||
Postretirement benefit expense (income) | 480 | (685) | 19,803 |
Other, net | (788) | (691) | (1,313) |
Total other expenses, net | 13,543 | 17,042 | 53,367 |
Earnings before income taxes and discontinued operations | 98,657 | 85,364 | 3,575 |
Income tax expense (benefit) | 24,906 | 9,450 | (2,342) |
Earnings from continuing operations | 73,751 | 75,914 | 5,917 |
Loss from discontinued operations, net of taxes | (175) | ||
Net earnings | $ 73,751 | $ 75,914 | $ 5,742 |
Basic earnings per share: | |||
Earnings from continuing operations | $ 2.07 | $ 2.12 | $ 0.16 |
Loss from discontinued operations | 0 | ||
Net earnings | 2.07 | 2.12 | 0.16 |
Diluted earnings per share: | |||
Earnings from continuing operations | 2.05 | 2.12 | 0.16 |
Loss from discontinued operations | 0 | ||
Net earnings | $ 2.05 | $ 2.12 | $ 0.16 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net earnings | $ 73,751 | $ 75,914 | $ 5,742 |
Other comprehensive income (loss), before tax | |||
Pension and postretirement liability adjustment | 1,087 | (895) | 18,699 |
Income tax (expense) benefit related to items of other comprehensive income | (266) | 219 | (4,540) |
Total other comprehensive income (loss), after tax | 821 | (676) | 14,159 |
Comprehensive income | $ 74,572 | $ 75,238 | $ 19,901 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Impact of Adoption of New Standard [Member] | Common Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Retained Earnings [Member]Impact of Adoption of New Standard [Member] |
Balance, value at Dec. 29, 2018 | $ 715,947 | $ (26,863) | $ 484,064 | $ (15,759) | $ 247,642 | $ (26,863) |
Balance, shares at Dec. 29, 2018 | 35,952 | |||||
Accounting Standards Update [Extensible Enumeration] | Accounting Standards Update 2016-02 [Member] | |||||
Net earnings | $ 5,742 | 5,742 | ||||
Other comprehensive income | 14,159 | 14,159 | ||||
Dividends | (27,616) | (27,616) | ||||
Stock-based compensation | 7,312 | $ 7,312 | ||||
Issuance of common stock on stock option exercises, stock bonus plan and associate stock purchase plan | 639 | $ 639 | ||||
Issuance of common stock on stock option exercises, stock bonus plan and associate stock purchase plan, shares | 46 | |||||
Issuances of restricted stock, shares | 488 | |||||
Cancellations of stock-based awards, value | (1,782) | $ (1,782) | ||||
Cancellations of stock-based awards, shares | (135) | |||||
Balance, value at Dec. 28, 2019 | $ 687,538 | $ (1,612) | $ 490,233 | (1,600) | 198,905 | $ (1,612) |
Balance, shares at Dec. 28, 2019 | 36,351 | |||||
Accounting Standards Update [Extensible Enumeration] | Accounting Standards Update 2016-13 [Member] | |||||
Net earnings | $ 75,914 | 75,914 | ||||
Other comprehensive income | (676) | (676) | ||||
Dividends | (27,701) | (27,701) | ||||
Share repurchase, value | (10,000) | $ (10,000) | ||||
Share repurchase, shares | (861) | |||||
Stock-based compensation | 6,299 | $ 6,299 | ||||
Stock warrant | 6,329 | 6,329 | ||||
Issuance of common stock on stock option exercises, stock bonus plan and associate stock purchase plan | 594 | $ 594 | ||||
Issuance of common stock on stock option exercises, stock bonus plan and associate stock purchase plan, shares | 39 | |||||
Issuances of restricted stock, shares | 522 | |||||
Cancellations of stock-based awards, value | (1,636) | $ (1,636) | ||||
Cancellations of stock-based awards, shares | (200) | |||||
Balance, value at Jan. 02, 2021 | $ 735,049 | $ 491,819 | (2,276) | 245,506 | ||
Balance, shares at Jan. 02, 2021 | 35,851 | 35,851 | ||||
Net earnings | $ 73,751 | 73,751 | ||||
Other comprehensive income | 821 | 821 | ||||
Dividends | (28,716) | (28,716) | ||||
Share repurchase, value | (5,325) | $ (5,325) | ||||
Share repurchase, shares | (265) | |||||
Stock-based compensation | 6,868 | $ 6,868 | ||||
Stock warrant | 1,958 | 1,958 | ||||
Issuance of common stock on stock option exercises, stock bonus plan and associate stock purchase plan | 715 | $ 715 | ||||
Issuance of common stock on stock option exercises, stock bonus plan and associate stock purchase plan, shares | 37 | |||||
Issuances of restricted stock, shares | 563 | |||||
Cancellations of stock-based awards, value | (2,252) | $ (2,252) | ||||
Cancellations of stock-based awards, shares | (238) | |||||
Balance, value at Jan. 01, 2022 | $ 782,869 | $ 493,783 | $ (1,455) | $ 290,541 | ||
Balance, shares at Jan. 01, 2022 | 35,948 | 35,948 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Statement Of Stockholders Equity [Abstract] | |||
Dividends per share | $ 0.80 | $ 0.77 | $ 0.76 |
Stock warrant, issuance costs | $ 220 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Cash flows from operating activities | |||
Net earnings | $ 73,751 | $ 75,914 | $ 5,742 |
Loss from discontinued operations, net of tax | 175 | ||
Earnings from continuing operations | 73,751 | 75,914 | 5,917 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Non-cash restructuring, asset impairment and other charges | 2,973 | 22,422 | 18,653 |
Loss on debt extinguishment | 329 | ||
Depreciation and amortization | 92,711 | 89,876 | 88,401 |
Non-cash rent | (4,854) | (5,550) | (7,276) |
LIFO expense | 18,652 | 2,176 | 5,892 |
Pension settlement expense | 18,244 | ||
Postretirement benefits expense | 1,611 | 1,775 | 2,972 |
Deferred taxes on income | 17,603 | 2,457 | (2,260) |
Stock-based compensation expense | 6,868 | 6,299 | 7,312 |
Stock warrant | 1,958 | 6,549 | |
Postretirement benefit plan contributions | (482) | (580) | (623) |
(Gain) loss on disposals of assets | (106) | 3,330 | (6,458) |
Other operating activities | 1,744 | 1,996 | 2,196 |
Changes in operating assets and liabilities: | |||
Accounts receivable | (4,005) | (12,936) | 2,025 |
Inventories | 320 | (7,030) | 40,971 |
Prepaid expenses and other assets | (18,992) | (7,724) | (15,752) |
Accounts payable | (18,286) | 65,197 | 14,941 |
Accrued payroll and benefits | (37,331) | 66,722 | (3,305) |
Current income taxes | 17,475 | (12,552) | 9,421 |
Other accrued expenses and other liabilities | 9,545 | 8,375 | (1,408) |
Net cash provided by operating activities | 161,155 | 306,716 | 180,192 |
Cash flows from investing activities | |||
Purchases of property and equipment | (79,427) | (67,298) | (74,815) |
Net proceeds from the sale of assets | 29,375 | 9,201 | 18,760 |
Acquisitions, net of cash acquired | (86,659) | ||
Loans to customers | (180) | (1,847) | (3,535) |
Payments from customers on loans | 2,317 | 2,739 | 4,074 |
Other investing activities | (63) | (16) | (997) |
Net cash used in investing activities | (47,978) | (57,221) | (143,172) |
Cash flows from financing activities | |||
Proceeds from senior secured credit facility | 1,374,478 | 1,383,637 | 1,217,498 |
Payments on senior secured credit facility | (1,455,016) | (1,584,293) | (1,177,942) |
Proceeds from other long-term debt | 5,800 | ||
Repayment of other long-term debt and finance lease liabilities | (5,710) | (6,510) | (68,460) |
Proceeds from resolution of acquisition contingencies | 15,000 | ||
Share repurchase | (5,325) | (10,000) | |
Net payments related to stock-based award activities | (2,252) | (1,636) | (1,782) |
Dividends paid | (28,327) | (34,509) | (20,709) |
Other financing activities | (262) | (453) | (624) |
Net cash used in financing activities | (122,414) | (253,764) | (31,219) |
Net cash used in discontinued operations | (214) | ||
Net (decrease) increase in cash and cash equivalents | (9,237) | (4,269) | 5,587 |
Cash and cash equivalents at beginning of year | 19,903 | 24,172 | 18,585 |
Cash and cash equivalents at end of year | $ 10,666 | $ 19,903 | $ 24,172 |
Summary of Significant Accounti
Summary of Significant Accounting Policies and Basis of Presentation | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies and Basis of Presentation | Note 1 – Summary of Significant Accounting Policies and Basis of Presentation Principles of Consolidation: The consolidated financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and include the accounts of SpartanNash Company and its subsidiaries (“SpartanNash” or “the Company”). Intercompany accounts and transactions have been eliminated. Fiscal Year: The Company’s fiscal year end is the Saturday nearest to December 31. The following discussion is as of and for the fiscal years ending or ended December 31, 2022 (“2022”), January 1, 2022 ("2021" or “current year”), January 2, 2020 (“2020” or “prior year”) and December 28, 2019 (“2019”), all of which include 52 weeks, with the exception of 2020, which includes 53 weeks. All fiscal quarters are 12 weeks, except for the Company’s first quarter, which is 16 weeks. The fourth quarter of 53-week years include 13 weeks. Use of Estimates: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported therein. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods might differ from those estimates. Revenue Recognition: The Company recognizes revenue when it satisfies a performance obligation by transferring control of the promised goods and services to a customer, in an amount that reflects the consideration that it expects to receive in exchange for those goods or services. This is achieved through applying the following five-step model: The Company generates substantially all of its revenue from contracts with customers, whether formal or implied. Sales taxes collected from customers are remitted to the appropriate taxing jurisdictions and are excluded from sales revenue as the Company considers itself a pass-through conduit for collecting and remitting sales taxes, with the exception of taxes assessed during the procurement process of select inventories. Greater than 99% of the Company’s revenues are recognized at a point in time. Revenues from product sales are recognized when control of the goods is transferred to the customer, which occurs at a point in time, typically upon delivery or shipment to the customer, depending on shipping terms, or upon customer check-out in a corporate-owned retail store. Freight revenues are also recognized upon delivery, at a point in time. Other revenues, including revenues from value-added services and leases, are recognized as earned, over a period of time. All of the Company’s revenues are domestic, as the Company has no performance obligations on international shipments subsequent to delivery to the domestic port. The Company evaluates whether it is a principal (i.e., report revenues on a gross basis) or an agent (i.e., report revenues on a net basis) with respect to each contract with customers. Based upon the nature of the products the Company sells, its customers have limited rights of return, which are immaterial. Discounts provided by the Company to customers at the time of sale are recognized as a reduction in sales as the products are sold. Certain contracts include rebates and other forms of variable consideration, including up-front rebates, rebates in arrears, rebatable incentives, non-cash incentives including stock warrants, and product incentives, which may have tiered structures based on purchase volumes and which are accounted for as variable consideration. To the extent the transaction price includes variable consideration, the Company estimates the amount of variable consideration that should be included in the transaction price utilizing either the expected value method or the most likely amount method depending on the nature of the variable consideration. Variable consideration is included in the transaction price if, in the Company’s judgment, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. Cost of Sales: Cost of sales represents the cost of inventory sold during the period, which for all non-production operations includes purchase costs, in-bound freight, physical inventory adjustments, markdowns and promotional allowances and excludes warehousing costs, depreciation and other administrative expenses. For the Company’s food processing operations which wound down during fiscal 2020, cost of sales included direct product and production costs, inbound freight, purchasing and receiving costs, utilities, depreciation, and other indirect production costs and excludes out-bound freight and other administrative expenses. The Company’s cost of sales and gross profit may not be identical to similarly titled measures reported by other companies. Vendor allowances and credits that relate to the Company’s buying and merchandising activities consist primarily of promotional allowances, which are allowances on purchased quantities and, to a lesser extent, slotting allowances, which are billed to vendors for the Company’s merchandising costs such as setting up warehouse infrastructure. Vendor allowances are recognized as a reduction in cost of sales when the related product is sold. Lump sum payments received for multi-year contracts are amortized over the life of the contracts based on contractual terms. The distribution segments include shipping and handling costs in the selling, general and administrative section of operating expenses within the consolidated statements of earnings. Cash and Cash Equivalents: Cash and cash equivalents consists of cash and highly liquid investments with an original maturity of three months or less at the date of purchase. Accounts and Notes Receivable: Accounts and notes receivable are presented net of allowances for credit losses of $5.1 million and $6.6 million as of January 1, 2022 and January 2, 2021, respectively. The Company estimates losses using an expected loss model, considering both historical data and future expectations, including collection experience, expectations for current credit risks, accounts receivable payment status, the customer’s financial health, as well as the Company’s collateral and creditor position. The Company pools similar assets based on their credit risk characteristics, whereby many of its trade receivables are pooled based on certain customer or aging characteristics. After assets are pooled, an appropriate loss factor is applied based on management’s expectations. The Company also records specific reserves for credit losses in certain circumstances. Operating results include net bad debt (income) expense of $(0.3) million, $2.7 million and $1.5 million for 2021, 2020 and 2019, respectively. Inventory Valuation: Inventories are valued at the lower of cost or market. Approximately 84.0% and 81.4% of the Company’s inventories were valued on the last-in, first-out (LIFO) method at January 1, 2022 and January 2, 2021, respectively. If replacement cost had been used, inventories would have been $81.8 million and $63.1 million higher at January 1, 2022 and January 2, 2021, respectively. The replacement cost method utilizes the most current unit purchase cost to calculate the value of inventories. During 2021, 2020 and 2019, certain inventory quantities were reduced. The reductions resulted in liquidation of LIFO inventory carried at lower costs prevailing in prior years, the effect of which decreased the LIFO provision by $2.1 million, $1.4 million and $1.5 million in 2021, 2020 and 2019, respectively. The Company accounts for its Food Distribution and Military inventory using a perpetual system and utilizes the retail inventory method (“RIM”) to value inventory for center store products in the Retail segment. Under RIM, inventory is stated at cost, determined by applying a cost ratio to the retail value of inventories. Fresh, pharmacy and fuel products are accounted for at cost in the Retail segment. The Company records allowances for inventory shortages based on the results of recent physical counts to provide for estimated shortages from the last physical count to the financial statement date. Goodwill and Other Intangible Assets: Goodwill represents the excess purchase price over the fair value of tangible net assets acquired in business combinations after amounts have been allocated to intangible assets. Goodwill is not amortized, but is reviewed for impairment during the last quarter of each year, or whenever events occur or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount, using a discounted cash flow model and comparable market values of each reporting segment. Measuring the fair value of reporting units is a Level 3 measurement under the fair value hierarchy. See Note 7, for a discussion of fair value levels. Intangible assets primarily consist of trade names, customer relationships, pharmacy prescription lists, non-compete agreements, liquor licenses and franchise fees. The following assets are amortized on a straight-line basis over the period of time in which their expected benefits will be realized: prescription lists and customer relationships (period of expected benefit reflecting the pattern in which the economic benefits are consumed), non-compete agreements and franchise fees (length of agreements), and trade names with definite lives (expected life of the assets). Indefinite-lived trade names and liquor licenses are not amortized but are tested at least annually for impairment. Property and Equipment: Property and equipment are recorded at cost. Expenditures which improve or extend the life of the respective assets are capitalized, whereas expenditures for normal repairs and maintenance are charged to operations as incurred. Depreciation expense on land improvements, buildings and improvements, and equipment is computed using the straight-line method as follows: Land improvements 15 years Buildings and improvements 15 to 40 years Equipment 3 to 15 years Property under finance leases and leasehold improvements are amortized on a straight-line basis over the shorter of the remaining terms of the leases or the estimated useful lives of the assets. Internal use software is included in Property and equipment, net and amounted to $42.6 million and $38.5 million as of January 1, 2022 and January 2, 2021, respectively. Cloud Computing Arrangements: Implementation costs for software that is accessed in hosted cloud computing arrangements is accounted for in accordance with Accounting Standards Codification (“ASC”) 350, . Capitalized costs of hosted cloud computing arrangements include configuration, installation, other upfront costs and internal labor costs of employees devoted to the cloud computing software implementation project. Once a project is complete, amortization is computed using the straight-line method over the term of the associated hosting arrangement, including any options to extend the hosting arrangement that the Company is reasonably certain to exercise, generally 3 to 8 years. These costs are classified in the consolidated balance sheets in “Prepaid expenses and other current assets” or “Other assets, net” based on the term of the arrangement, and the related cash flows are presented as cash outflows from operations. The net book value of these implementation costs was $20.6 million and $13.9 million, as of January 1, 2022 and January 2, 2021, respectively. Leases: At the commencement or modification of a contract, the Company determines whether a lease exists based on 1) the identification of an underlying asset and 2) the right to control the use of the identified asset. When the Company is a lessee, leases are classified as either operating or finance. Operating and finance lease assets represent the Company’s right to use an underlying asset for the lease term, while lease obligations represent the Company’s obligation to make lease payments arising from the lease. Most of the Company’s lease agreements include variable payments related to executory costs for property taxes, utilities, insurance, maintenance and other occupancy costs related to the leased asset. Additionally, certain of the Company’s lease agreements include rental payments based on a percentage of retail sales over contractual levels or, in the case of transportation equipment, provisions requiring payment of variable rent based upon miles driven . These variable payments are not included in the measurement of the lease liability or asset and are expensed as incurred. Leases with an initial expected term of 12 months or less are not recorded in the consolidated balance sheets and the related lease expense is recognized on a straight-line basis over the lease term. Lease assets and obligations are recognized at the lease commencement date based on the present value of lease payments and initial direct costs incurred, less incentives, over the lease term. In the absence of stated or implicit interest rates within lease contracts, incremental borrowing rates are estimated based on the Company’s borrowing rate as of the lease commencement date to determine the present value of lease payments. Incremental borrowing rates are determined by using the yield curve based on the Company’s creditworthiness on a collateralized basis. The Company includes option periods in the assumed lease term when it is reasonably certain that the options will be exercised. Operating lease assets and liabilities are reported discretely in the consolidated balance sheets. Finance lease assets are included in Property and equipment, net and finance lease liabilities are included in Long-term debt and finance lease obligations within the Company’s consolidated balance sheets. Impairment of Long-Lived Assets: The Company reviews and evaluates long-lived assets for impairment when events or circumstances indicate that the carrying amount of an asset may not be recoverable. When the undiscounted expected future cash flows are not sufficient to recover an asset’s carrying amount, the fair value is compared to the carrying value to determine the impairment loss to be recorded. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value, less the cost to sell. Fair values are determined by independent appraisals or expected sales prices based upon market participant data developed by third party professionals or by internal licensed real estate professionals. Estimates of future cash flows and expected sales prices are judgments based upon the Company’s experience and knowledge of operations. These estimates project cash flows several years into the future and are affected by changes in the economy, real estate market conditions and inflation. The Company evaluates definite-lived intangible asset and operating and finance lease impairments in conjunction with testing of the related asset groups as described above. Impairment reserves are applied proportionally as a reduction to the assets in the asset group, including lease assets. Reserves for Closed Properties: The Company records reserves for closed properties that are subject to long-term lease commitments based upon the lease ancillary costs from the date of closure to the end of the remaining lease term. Prior to the adoption of ASC 842, these reserves also included the future minimum lease payments associated with these properties. Future cash flows are based on historical expenses, contractual lease terms and knowledge of the geographic area in which the closed site is located. These estimates are subject to multiple factors, including inflation, ability to sublease the property and other economic conditions. The reserved expenses are paid over the remaining lease terms, which range from 1 to 7 years. Subsequent adjustments to closed property reserves are made when actual exit costs differ from the original estimates. These adjustments are made for changes in estimates in the period in which the changes become known. The current portion of the future closed property obligations is included in “Other accrued expenses,” and the long-term portion is included in “Other long-term liabilities” in the consolidated balance sheets. Debt Issuance Costs : Debt issuance costs are amortized over the term of the related financing agreement and are included as a direct deduction from the carrying amount of the related debt liability in “Long-term debt and finance lease obligations” in the consolidated balance sheets. Insurance Reserves: SpartanNash is insured through self-insurance retentions or high deductible programs for workers’ compensation, general liability, and automobile liability, and is also self-insured for healthcare costs. Self-insurance liabilities are recorded based on claims filed and an estimate of claims incurred but not yet reported. Workers’ compensation, general liability and automobile liabilities are actuarially estimated based on available historical information on an undiscounted basis. The Company has purchased stop-loss coverage to limit its exposure to any significant exposure on a per claim basis for its self-insurance retentions and high deductible programs. On a per claim basis, the Company’s exposure is up to $0.5 million for workers’ compensation and general liability, $1.0 million for automobile liability and $0.6 million for healthcare per covered life per year. A summary of changes in the Company’s self-insurance liability is as follows: (In thousands) 2021 2020 2019 Balance at beginning of year $ 16,737 $ 16,780 $ 14,291 Expenses 72,101 62,999 69,253 Acquisitions — — 1,894 Claim payments, net of employee contributions (69,393 ) (63,042 ) (68,658 ) Balance at end of year $ 19,445 $ 16,737 $ 16,780 The current portion of the self-insurance liability was $11.9 million and $10.0 million as of January 1, 2022 and January 2, 2021, respectively, and is included in “Other accrued expenses” in the consolidated balance sheets. The long-term portion was $7.5 million and $6.7 million as of January 1, 2022 and January 2, 2021, respectively, and is included in “Other long-term liabilities” in the consolidated balance sheets. Income Taxes: Deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future. Such deferred income tax asset and liability computations are based on enacted tax laws and rates applicable to periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred and other tax assets and liabilities. Earnings per share: Earnings per share (“EPS”) is computed using the two-class method. The two-class method determines EPS for each class of common stock and participating securities according to dividends and their respective participation rights in undistributed earnings. Outstanding nonvested restricted stock incentive awards under the Company’s 2015 Plan contain nonforfeitable rights to dividends or dividend equivalents, which participate in undistributed earnings with common stock. These awards are classified as participating securities and are included in the calculation of basic earnings per share. Awards under the 2020 Plan do not contain nonforfeitable rights to dividends or dividend equivalents and are therefore not classified as participating securities. There were no stock warrants outstanding during 2019. The dilutive impact of both the restricted stock awards and warrants are presented below, as applicable. Weighted average restricted stock awards that were not included in the EPS calculations because they were anti-dilutive were 13,614 and 76,654 for 2021 and 2020, respectively. The following table sets forth the computation of basic and diluted EPS for continuing operations: 2021 2020 2019 (In thousands, except per share amounts) (52 Weeks) (53 Weeks) (52 Weeks) Numerator: Earnings from continuing operations $ 73,751 $ 75,914 $ 5,917 Adjustment for earnings attributable to participating securities (1,399 ) (1,871 ) (149 ) Earnings from continuing operations used in calculating earnings per share $ 72,352 $ 74,043 $ 5,768 Denominator: Weighted average shares outstanding, including participating securities 35,639 35,861 36,271 Adjustment for participating securities (676 ) (884 ) (912 ) Shares used in calculating basic earnings per share 34,963 34,977 35,359 Effect of dilutive restricted stock awards 79 1 — Effect of dilutive warrants 225 — — Shares used in calculating diluted earnings per share 35,267 34,978 35,359 Basic earnings per share from continuing operations $ 2.07 $ 2.12 $ 0.16 Diluted earnings per share from continuing operations $ 2.05 $ 2.12 $ 0.16 Stock-Based Employee Compensation: All share-based payments to associates are generally recognized in the consolidated financial statements as compensation cost based on the fair value on the date of grant. The grant date closing price per share of SpartanNash stock is used to estimate the fair value of restricted stock awards and restricted stock units. The value of the portion of awards expected to vest is recognized as expense over the requisite service period. Stock Warrants: Stock warrants are accounted for as equity instruments and measured in accordance with ASC 718, For awards granted to a customer which are not in exchange for distinct goods or services, the fair value of the awards earned based on service or performance conditions is recorded as a reduction of the transaction price, in accordance with ASC 606, . To determine the fair value of the warrants in accordance with ASC 718, the Company uses pricing models based in part on assumptions for which management is required to use judgment. Based on the fair value of the awards, the Company determines the amount of warrant expense based on the customer’s achievement of vesting conditions, which is recorded as a reduction of net sales on the consolidated statement of earnings. The dilutive impact of stock warrants is determined using the treasury stock method. Shareholders’ Equity: The Company’s restated articles of incorporation provide that the Board of Directors may at any time, and from time to time, provide for the issuance of up to 10 million shares of preferred stock in one or more series, each with such designations as determined by the Board of Directors. At January 1, 2022 and January 2, 2021, there were no shares of preferred stock outstanding. Advertising Costs: The Company’s advertising costs are expensed as incurred and are included in Selling, general and administrative expenses. Advertising expenses were $37.7 million, $36.6 million and $39.3 million in 2021, 2020 and 2019, respectively. Accumulated Other Comprehensive Income (Loss)(“AOCI”): The Company reports comprehensive income (loss), which includes net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) refers to expenses, gains and losses that are not included in net earnings, such as pension and other postretirement liability adjustments, but rather are recorded directly to shareholders’ equity. These amounts are also presented in the consolidated statements of comprehensive income. The Company’s pension plan was terminated, and benefit obligations were satisfied during 2019. Beginning with December 28, 2019, AOCI relates to the Company’s other postretirement plans. Discontinued operations: Certain of the previous operations of the Company’s Food Distribution and Retail operations were classified as discontinued operations. Results of discontinued operations are excluded from the accompanying notes to the consolidated financial statements for all periods presented. Results of discontinued operations reported on the consolidated statements of earnings are reported net of tax. Adoption of New Accounting Standards In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02, Leases The adoption of the new standard resulted in the recognition of operating lease assets and liabilities of $241.8 million and $292.3 million, respectively, as of the beginning of 2019. The adoption of the standard also resulted in a transition adjustment to beginning of the year retained earnings of $26.9 million (net of deferred tax impact of $8.5 million). The transition adjustment relates to impairment of right of use assets included in previously impaired asset groups and the impact of hindsight on the evaluation of lease term. Remaining differences between lease assets and liabilities relate to the derecognition of lease-related liabilities and assets recorded under ASC 840, which were included in beginning lease liabilities or assets under ASC 842. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments The adoption of the standard resulted in a transition adjustment to 2020 beginning of the year retained earnings of $2.2 million (gross of the deferred tax impact of $0.6 million). The transition adjustment relates to incremental trade and notes receivable allowances due to the earlier recognition of expected losses under the new standard of $1.9 million and $0.3 million, respectively. |
Revenue
Revenue | 12 Months Ended |
Jan. 01, 2022 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | Note 2 – Revenue Sources of Revenue The Company’s main sources of revenue include the following: Customer Supply Agreements (“CSA”s) – The Company enters into CSAs (also known as Retail Sales and Service Agreements) with many of its retailer customers. These contracts obligate the Company to supply grocery and related products upon receipt of a purchase order from its customers. The contracts often specify minimum purchases a customer is required to make, in dollars or as a percentage of their total purchases, in order to earn certain rebates or incentives. In some cases, customers are required to repay advanced or loaned funds if they fail to meet purchase minimums or otherwise exit the supply agreement. Many of these contracts include various performance obligations other than providing grocery products, such as providing store resets, shelf tags, signage, or merchandising services. The Company has determined that these obligations are not material in the overall context of the contracts, and as such has not allocated transaction price to these obligations. Revenue is recognized under these contracts when control of the product passes to the customer, which may happen before or after delivery depending upon specified shipping terms. The Company’s Food Distribution customer base is diverse. Sales to one customer in the Food Distribution segment represented 17% Contracts with Manufacturers and Brokers to supply the Defense Commissary Agency (“DeCA”) and Other Government Agencies – DeCA operates a chain of commissaries on U.S. military installations. DeCA contracts with manufacturers to obtain grocery products for the commissary system. Manufacturers either deliver the products to the commissaries themselves or, more commonly, contract with distributors such as SpartanNash to provide products to the commissaries. Manufacturers must authorize the distributors as their official representatives to DeCA, and the distributors must adhere to DeCA’s frequent delivery system (“FDS”) procedures governing matters such as product identification, ordering and processing, information exchange and resolution of discrepancies. The Company obtains distribution contracts with manufacturers through competitive bidding processes and direct negotiations. As commissaries need to be restocked, DeCA identifies the manufacturer with which an order is to be placed, determines which distributor is the manufacturer’s official representative for a particular commissary or exchange location, and then places a product order with that distributor under the auspices of DeCA’s master contract with the applicable manufacturer. The distributor selects that product from its existing inventory, delivers it to the commissary or port (in the case of overseas shipments) designated by DeCA, and bills the manufacturer for the product price plus a drayage fee that is typically based on a percentage of the purchase price, but may in some cases be based on a dollar amount per case or pound of product sold. The manufacturer then bills DeCA under the terms of its master contract. As control of the product passes to the customer upon delivery, revenue is recognized by SpartanNash at that time. Revenue is recognized for the full amount paid by the vendor (for product and drayage) as the Company is a principal in the transaction and therefore recognizes revenue on a gross basis for these contracts. The definition of a principal in the transaction is centered on controlling goods before they are transferred to the customer. Key considerations supporting that SpartanNash controls the goods for these contracts prior to transfer to the customer include the following: the Company has the ability to obtain substantially all of the remaining benefits from the assets by selling the goods and/or by pledging the related assets as collateral for borrowings, the Company is required to bear the risk of inventory loss prior to transfer to the customer, has shared responsibilities in the fulfillment and acceptability of the goods, and to a lesser extent, has some discretion in establishing the price for the goods sold to DeCA. Retail Sales – The corporate owned retail stores recognize revenue at the time the customer takes possession of the goods. While there are no formal contracts related to these sales, they are within the scope of ASC 606. Customer returns are not material. The Company does not recognize a sale when it sells gift cards and gift certificates or a reduction of sales when it awards fuel discounts; rather, the impact to revenue is recognized when the customer fuel discounts, gift card or gift certificate are redeemed to purchase product. Disaggregation of Revenue The following table provides information about disaggregated revenue by type of products and customers for each of the Company’s reportable segments: 52 Weeks Ended January 1, 2022 (In thousands) Food Distribution Retail Military Total Type of products: Center store (a) $ 1,499,994 $ 1,001,920 $ 919,169 $ 3,421,083 Fresh (b) 1,474,440 992,897 552,580 3,019,917 Non-food (c) 1,372,376 427,872 410,853 2,211,101 Fuel — 157,236 — 157,236 Other 109,990 1,361 10,351 121,702 Total $ 4,456,800 $ 2,581,286 $ 1,892,953 $ 8,931,039 Type of customers: Individuals $ — $ 2,580,277 $ — $ 2,580,277 Manufacturers, brokers and distributors 54,453 — 1,763,271 1,817,724 Retailers 4,354,897 — 119,331 4,474,228 Other 47,450 1,009 10,351 58,810 Total $ 4,456,800 $ 2,581,286 $ 1,892,953 $ 8,931,039 53 Weeks Ended January 2, 2021 (In thousands) Food Distribution Retail Military Total Type of products: Center store (a) $ 1,519,279 $ 1,097,013 $ 1,043,208 $ 3,659,500 Fresh (b) 1,550,813 1,013,657 610,633 3,175,103 Non-food (c) 1,407,122 419,507 469,653 2,296,282 Fuel — 106,213 — 106,213 Other 99,964 1,527 9,896 111,387 Total $ 4,577,178 $ 2,637,917 $ 2,133,390 $ 9,348,485 Type of customers: Individuals $ — $ 2,636,993 $ — $ 2,636,993 Manufacturers, brokers and distributors 75,827 — 1,989,248 2,065,075 Retailers 4,425,665 — 134,246 4,559,911 Other 75,686 924 9,896 86,506 Total $ 4,577,178 $ 2,637,917 $ 2,133,390 $ 9,348,485 52 Weeks Ended December 28, 2019 (In thousands) Food Distribution Retail Military Total Type of products: Center store (a) $ 1,209,436 $ 928,641 $ 1,027,661 $ 3,165,738 Fresh (b) 1,445,902 900,096 636,147 2,982,145 Non-food (c) 1,247,964 402,450 501,642 2,152,056 Fuel — 148,779 — 148,779 Other 79,307 1,383 6,657 87,347 Total $ 3,982,609 $ 2,381,349 $ 2,172,107 $ 8,536,065 Type of customers: Individuals $ — $ 2,380,524 $ — $ 2,380,524 Manufacturers, brokers and distributors 179,872 — 2,065,919 2,245,791 Retailers 3,739,316 — 99,531 3,838,847 Other 63,421 825 6,657 70,903 Total $ 3,982,609 $ 2,381,349 $ 2,172,107 $ 8,536,065 (a) Center store includes dry grocery, frozen and beverages. (b) Fresh includes produce, meat, dairy, deli, bakery, prepared proteins, seafood and floral. (c) Non-food includes general merchandise, health and beauty care, tobacco products and pharmacy. Contract Assets and Liabilities Under its contracts with customers, the Company stands ready to deliver product upon receipt of a purchase order. Accordingly, the Company has no performance obligations under its contracts until its customers submit a purchase order. The Company does not receive pre-payment from its customers or enter into commitments to provide goods or services that have terms greater than one year. As the performance obligation is part of a contract that has an original expected duration of less than one year, the Company has applied the practical expedient under ASC 606 to omit disclosures regarding remaining performance obligations. Revenue recognized from performance obligations related to prior periods (for example, due to changes in estimated rebates and incentives impacting the transaction price) was not material in any period presented. For volume-based arrangements, the Company estimates the amount of the advanced funds earned by the retailers based on the expected volume of purchases by the retailer, and amortizes the advances as a reduction of the transaction price and revenue earned. These advances are not considered contract assets under ASC 606 as they are not generated through the transfer of goods or services to the retailers. These advances are included in Other assets, net within the consolidated balance sheets. When the Company transfers goods or services to a customer, payment is due subject to normal terms and is not conditional on anything other than the passage of time. Typical payment terms range from due upon receipt to 30 days, depending on the customer. At contract inception, the Company expects that the period of time between the transfer of goods to the customer and when the customer pays for those goods will be less than one year, which is consistent with the Company’s standard payment terms. Accordingly, the Company has elected the practical expedient to not adjust for the effects of a significant financing component. As a result, these amounts are recorded as receivables and not contract assets. The Company had no contract assets for any period presented. Accounts and notes receivable are comprised of the following: January 1, January 2, (In thousands) 2022 2021 Customer notes receivable $ 1,915 $ 2,565 Customer accounts receivable 328,093 337,276 Other receivables 36,092 23,955 Allowance for credit losses (4,414 ) (6,232 ) Net current accounts and notes receivable $ 361,686 $ 357,564 Long-term notes receivable $ 7,061 $ 9,299 Allowance for credit losses (731 ) (371 ) Net long-term notes receivable $ 6,330 $ 8,928 The Company does not typically incur incremental costs of obtaining a contract that are contingent upon successful contract execution and would therefore be capitalized. Changes to the balance of the allowance for credit losses were as follows: Allowance for Credit Losses Current Accounts Long-term (In thousands) and Notes Receivable Notes Receivable Total Balance at January 2, 2021 $ 6,232 $ 371 $ 6,603 Changes in credit loss estimates (1,101 ) 360 (741 ) Write-offs charged against the allowance (717 ) — (717 ) Balance at January 1, 2022 $ 4,414 $ 731 $ 5,145 Allowance for Credit Losses Current Accounts Long-term (In thousands) and Notes Receivable Notes Receivable Total Balance at December 28, 2019 $ 2,739 $ 233 $ 2,972 Impact of adoption of new credit loss standard (ASU 2016-13) 1,911 259 2,170 Provision for expected credit losses 1,966 — 1,966 Write-offs charged against the allowance (384 ) (121 ) (505 ) Balance at January 2, 2021 $ 6,232 $ 371 $ 6,603 During 2021 and 2020, the Company recognized bad debt expense of $0.4 million and $0.7 million, respectively, related to direct write-offs of uncollectable amounts. Concentration of Credit Risk In the ordinary course of business, the Company may advance funds to certain independent retailers (“customer advances”) which are earned by the retailers primarily through achieving specified purchase volume requirements, as outlined in their supply agreements with the Company, or in limited instances for remaining a SpartanNash customer for a specified time period. These customer advances must be repaid if the purchase volume requirements are not met or if the retailer no longer remains a customer for the specified time period. The collectability of customer advances is not assured. In the ordinary course of business, the Company also subleases and assigns certain leases to third parties. As of January 1, 2022, the Company estimates the present value of its maximum potential obligations for subleases and assigned leases to be approximately $6.0 million and $10.0 million, respectively. The Company may also provide financial assistance in the form of loans to certain independent retailers for inventories, store fixtures and equipment and store improvements. Loans are generally secured by liens on real estate, inventory and/or equipment, personal guarantees and other types of collateral, and are generally repayable over a period of five to ten years. The Company establishes reserves based upon assessments of the credit risk of specific customers, collateral value, historical trends and other information. The Company believes that adequate provision has been recorded for any uncollectable amounts. In addition, the Company may guarantee debt and lease obligations of independent retailers. In the event these retailers are unable to meet their debt service payments or otherwise experience an event of default, the Company would be unconditionally liable for the outstanding balance of their debt and lease obligations, which would be due in accordance with the underlying agreements. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Jan. 01, 2022 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | Note 3 – Property and Equipment Property and equipment consist of the following: January 1, January 2, (In thousands) 2022 2021 Land and improvements $ 92,416 $ 89,871 Buildings and improvements 580,317 556,518 Equipment 714,680 668,872 Total property and equipment 1,387,413 1,315,261 Less accumulated depreciation and amortization 810,054 738,202 Property and equipment, net $ 577,359 $ 577,059 Depreciation expense was $65.9 million, $64.7 million and $65.5 million in 2021, 2020 and 2019 respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Jan. 01, 2022 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Note 4 – Goodwill and Other Intangible Assets The Company has three reporting units; however, no goodwill exists within the Retail or Military reporting units. The carrying amount of goodwill recorded within the Food Distribution reporting unit was $181.0 million as of January 1, 2022 and January 2, 2021. The Company reviews goodwill and other intangible assets for impairment annually, during the fourth quarter of each year, and more frequently if circumstances indicate the possibility of impairment. Testing goodwill and other intangible assets for impairment requires management to make significant estimates about the Company’s future performance, cash flows, and other assumptions that can be affected by potential changes in economic, industry or market conditions, business operations, competition, or the Company’s stock price and market capitalization. During the Company’s 2021 annual impairment review, projected cash flows were discounted based on a weighted average cost of capital (“WACC”) of 9.0%. This WACC was developed from adjusted market based and company specific factors, current interest rates, equity risk premiums, and other market-based expectations regarding expected investment returns. The development of the WACC requires estimates of an equity rate of return and a debt rate of return, which are specific to the industry in which the Food Distribution reporting unit operates. The Company concluded that the fair value of the Food Distribution reporting unit was substantially in excess of its carrying value in the annual review. The following table reflects the components of amortized intangible assets, included in “Intangible assets, net” on the consolidated balance sheets: January 1, 2022 January 2, 2021 Gross Gross Carrying Accumulated Carrying Accumulated (In thousands) Amount Amortization Amount Amortization Non-compete agreements $ 4,287 $ 2,792 $ 4,287 $ 2,075 Pharmacy customer prescription lists 4,233 2,095 4,233 1,521 Customer relationships 57,937 18,822 57,937 15,160 Trade names 1,068 987 1,068 837 Franchise fees 1,110 605 1,081 497 Total $ 68,635 $ 25,301 $ 68,606 $ 20,090 The weighted average amortization periods for amortizable intangible assets as of January 1, 2022 are as follows: Non-compete agreements 6.1 years Pharmacy customer prescription lists 8.0 years Customer relationships 16.4 years Trade names 5.0 years Franchise fees 10.0 years Amortization expense for intangible assets was $5.2 million, $5.7 million and $5.8 million for 2021, 2020 and 2019, respectively. Estimated amortization expense for each of the five succeeding fiscal years is as follows: (In thousands) 2022 2023 2024 2025 2026 Amortization expense $ 4,915 $ 4,810 $ 4,559 $ 4,162 $ 3,647 The Company has indefinite-lived intangible assets that are not amortized, consisting primarily of indefinite-lived trade names and liquor licenses. During the third quarter of 2020, the Company made the decision to abandon a tradename within the Food Distribution segment to better integrate with the Company’s overall transportation operations, resulting in a $7.0 million impairment of the associated indefinite-lived tradename asset. During the fourth quarter of 2020, the Company recognized an impairment charge of $1.7 million, related to a tradename based on a change in the assumptions supporting fair value. Changes in the carrying amount of indefinite-lived intangible assets were as follows: (In thousands) Indefinite-lived Intangible Assets Balance at December 28, 2019 $ 76,256 Impairment (Note 5) (8,630 ) Balance at January 2, 2021 and January 1, 2022 $ 67,626 |
Restructuring, Asset Impairment
Restructuring, Asset Impairment and Other Charges | 12 Months Ended |
Jan. 01, 2022 | |
Restructuring And Related Activities [Abstract] | |
Restructuring, Asset Impairment and Other Charges | Note 5 – Restructuring, Asset Impairment and Other Charges The following table provides the activity of reserves for closed properties for 2021, 2020 and 2019. Reserves for closed properties recorded in the consolidated balance sheets are included in “Other accrued expenses” in Current liabilities and “Other long-term liabilities” in Long-term liabilities based on when the obligations are expected to be paid. Lease and (In thousands) Ancillary Costs Severance Total Balance at December 29, 2018 $ 16,386 $ - $ 16,386 Provision for closing charges 1,299 447 1,746 Reclassification of lease liabilities (8,177 ) — (8,177 ) Lease termination adjustments (62 ) — (62 ) Changes in estimates (635 ) — (635 ) Accretion expense 271 — 271 Payments (4,111 ) (430 ) (4,541 ) Balance at December 28, 2019 4,971 17 4,988 Provision for closing charges 325 2,205 2,530 Changes in estimates 26 (228 ) (202 ) Accretion expense 121 — 121 Payments (2,094 ) (1,880 ) (3,974 ) Balance at January 2, 2021 3,349 114 3,463 Provision for closing charges 1,509 — 1,509 Provision for severance — 362 362 Lease termination adjustments (220 ) — (220 ) Changes in estimates 2 — 2 Accretion expense 91 — 91 Payments (1,607 ) (476 ) (2,083 ) Balance at January 1, 2022 $ 3,124 $ - $ 3,124 Included in the liability are lease-related ancillary costs from the date of site closure to the end of the remaining lease term. Prior to the adoption of ASC 842 (Note 1), the liability also included lease obligations recorded at the present value of future minimum lease payments, calculated using a risk-free interest rate, net of estimated sublease income. Upon the adoption of ASC 842, these liabilities were reclassified to operating lease liabilities within the consolidated balance sheets. Restructuring, asset impairment and other charges included in the consolidated statements of earnings consisted of the following: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Asset impairment charges (a) $ 3,783 $ 20,148 $ 17,925 Charge on customer advance (b) — — 2,351 Provision for closing charges 1,509 325 1,299 Gain on sales of assets related to closed facilities (c) (2,607 ) (31 ) (8,532 ) Provision for severance for closed sites (d) 362 2,205 447 Other costs associated with distribution center and store closings (e) 636 1,953 2,135 Changes in estimates (f) 2 (202 ) (635 ) Lease termination adjustments (g) (799 ) — (1,940 ) Total $ 2,886 $ 24,398 $ 13,050 (a) Asset impairment charges in the current year were incurred primarily in the Retail segment and relate to current year store closures and previously closed locations, as well as site closures in connection with the Company’s supply chain transformation initiatives within the Food Distribution segment. In 2020, asset impairment charges of $9.1 million were incurred in the Food Distribution segment related to the evaluation of the expected net proceeds from the Fresh Kitchen facility, the exit of the Fresh Cut business, and the sale of equipment related to both Fresh Cut and Fresh Kitchen. Charges of $8.6 million primarily relate to the abandonment of a tradename related to the integration of the Company’s transportation operations. Additionally, certain of the Company’s Retail assets were determined not to be recoverable based on management’s intention to close stores or sell assets related to previously closed stores, resulting in impairment charges totaling $2.1 million. In 2019, asset impairment charges primarily related to the Food Distribution segment, including the Caito trade name. (b) The charge on customer advance relates to an advance to an independent retailer customer which was not fully recoverable. (c) In 2021, gain on sales of assets primarily relate to sales of pharmacy customer lists, equipment, and real estate associated with the store closings in the Retail segment, in addition to gains on sale of vacant land in the Military segment. 2019 activity primarily related to the sale of a closed Food Distribution warehouse. (d) Severance in the current year relates to closures in the Food Distribution segment as well as Retail store closings. In 2020, severance was related to the exit of the Fresh Cut business within the Food Distribution segment. ( e ) Other costs associated with distribution center and store closings represent additional costs, including labor, inventory transfer and other administrative costs, incurred in connection with restructuring operations in the Food Distribution and Retail segments. ( f ) Changes in estimates primarily relate to revised estimates for turnover and other lease ancillary costs associated with previously closed locations, which were generally lower than the initial estimates at certain properties in all years presented. ( g ) Lease termination adjustments represent the benefits recognized in connection with early lease buyouts for previously closed sites. Payments made in connection with lease buyouts were applied to reserves for closed properties and lease liabilities, as applicable. In the second quarter of 2019 the Company announced a plan to reposition the Caito fresh production operations and to close the Fresh Kitchen. As a result of this plan, the Company evaluated the Caito indefinite-lived trade name and long-lived assets for potential impairment. The indefinite-lived trade names with a book value of $35.5 million were measured at a fair value of $21.5 million, resulting in an impairment charge of $14.0 million related to the Caito tradename. During this test, the Company concluded the long-lived assets were not impaired. During the third quarter of 2020, the Company made the decision to abandon a tradename within the Food Distribution segment to better integrate with the Company’s overall transportation operations. Indefinite lived intangible assets are tested for impairment at least annually, and as needed if an indicator of potential impairment exists. A qualitative assessment was performed to determine whether it is more likely than not that an indefinite lived intangible asset is impaired. If the qualitative assessment supports that it is more likely than not that the fair value of the indefinite lived intangible asset exceeds its carrying value, a quantitative impairment test is not required. If the qualitative assessment does not support the fair value of the indefinite lived intangible asset, then a quantitative assessment is performed. Indefinite lived intangible assets are measured at fair value using Level 3 inputs under the fair value hierarchy, as further described in Note 7. The fair value of indefinite lived intangible assets is determined by estimating the amount and timing of net future cash flows generated from the use of the asset, generally using estimated revenue growth rates and profitability rates and, in the case of the relief-from-royalty methodology, royalty rates. Future cash flows are discounted based on the WACC of the reporting unit in which the asset resides, determined using current interest rates, equity risk premiums, and other market-based expectations regarding expected investment returns, as well as estimates of industry specific equity and debt rates of return. Long-lived assets which are not recoverable are measured at fair value on a nonrecurring basis using Level 3 inputs under the fair value hierarchy, as further described in Note 7 . Assets consisting of property and equipment with a book value of $ 27.5 million were measured at a fair value of $ 23.7 million, resulting in impairment charge s of $ 3.8 million in 20 2 1 . The f air value of long-lived assets is determined by estimating the amount and timing of net future cash flows, discounted using a risk-adjusted rate of interest. The Company estimates future cash flows based on historical results of operations, external factors expected to impact future performance, experience and knowledge of the geographic area in which the assets are located, and when necessary, uses real estate brokers. Assets classified as held for sale in the condensed consolidated balance sheet are valued at the expected net proceeds. The Fresh Kitchen facility, which w as classified as held for sale as of January 2, 2021, was sold in the first quarter of 2021 for proceeds of $ 20.5 million. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Jan. 01, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 6 – Long-Term Debt Long-term debt consists of the following: January 1, January 2, (In thousands) 2022 2021 Senior secured revolving credit facility, due December 2023 $ 359,640 $ 440,177 Finance lease obligations (Note 9) 43,142 43,632 Other, 4.35% - 4.36%, due 2023 - 2026 5,617 6,707 Total debt - Principal 408,399 490,516 Unamortized debt issuance costs (2,675 ) (4,072 ) Total debt - Principal 405,724 486,444 Less current portion 6,334 5,135 Total long-term debt and finance lease liabilities $ 399,390 $ 481,309 The Company’s Amended and Restated Loan and Security Agreement (the “Credit Agreement”) T Availability under the Credit Agreement is based upon advance rates on certain asset categories owned by the Company, including, but not limited to the following: inventory, accounts receivable, real estate, prescription lists, cigarette tax stamps, and rolling stock. The Credit Agreement imposes certain requirements, including limitations on dividends and investments, limitations on the Company’s ability to incur debt, make loans, acquire other companies, change the nature of the Company’s business, enter a merger or consolidation, or sell assets. These requirements can be more restrictive depending upon the Company’s Excess Availability, as defined under the Credit Agreement. Borrowings under the as either Eurodollar loans or Base Rate loans, . The interest rate terms for each of the aforementioned tranches are as follows: Credit Outstanding as of Facility January 1, 2022 Tranche (In thousands) Eurodollar Rate Base Rate Tranche A $ 328,940 LIBOR plus 1.25% to 1.50% Greater of: (i) the Federal Funds Rate plus 0.75% to 1.00% (ii) the Eurodollar Rate plus 2.25% to 2.50% (iii) the prime rate plus 0.25% to 0.50% Tranche A-1 $ 30,700 LIBOR plus 2.25% to 2.50% Greater of: (i) the Federal Funds Rate plus 1.75% to 2.00% (ii) the Eurodollar Rate plus 2.25% to 2.50% (iii) the prime rate plus 1.25% to 1.50% The Company also incurs an unused line of credit fee on the unused portion of the loan commitments at a rate of 0.25%. The Credit Agreement requires that the Company maintain Excess Availability of 10% of the borrowing base, as defined in the Credit Agreement. The Company is in compliance with all financial covenants as of January 1, 2022 and had Excess Availability after the 10% requirement of $468.5 million and $432.4 million at January 1, 2022 and January 2, 2021, respectively. The Credit Agreement provides for the issuance of letters of credit, of which $16.1 million and $15.6 million were outstanding as of January 1, 2022 and January 2, 2021, respectively. The weighted average interest rate for all borrowings, including loan fee amortization, was 2.82% for 2021. At January 1, 2022, aggregate annual maturities and scheduled payments of long-term debt are as follows: (In thousands) 2022 2023 2024 2025 2026 Thereafter Total Total borrowings $ 6,334 $ 364,848 $ 5,061 $ 4,471 $ 5,691 $ 21,994 $ 408,399 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 7 – Fair Value Measurements ASC 820, Fair Value Measurement, Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3: Unobservable inputs for the asset or liability, reflecting the reporting entity’s own assumptions about the assumptions that market participants would use in pricing. Financial instruments include cash and cash equivalents, accounts and notes receivable, accounts payable and long-term debt. The carrying amounts of cash and cash equivalents, accounts and notes receivable, and accounts payable approximate fair value because of the short-term maturities of these financial instruments. For discussion of the fair value measurements related to goodwill, and long-lived asset impairment charges, refer to Note 4 and Note 5. At January 1, 2022 and January 2, 2021, the book value and estimated fair value of the Company’s debt instruments, excluding debt financing costs, were as follows: January 1, January 2, (In thousands) 2022 2021 Book value of debt instruments, excluding debt financing costs: Current maturities of long-term debt and finance lease liabilities $ 6,334 $ 5,135 Long-term debt and finance lease liabilities 402,065 485,381 Total book value of debt instruments 408,399 490,516 Fair value of debt instruments, excluding debt financing costs 414,667 497,941 Excess of fair value over book value $ 6,268 $ 7,425 The estimated fair value of debt is based on market quotes for instruments with similar terms and remaining maturities (Level 2 inputs and valuation techniques). |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 01, 2022 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 8 – Commitments and Contingencies The Company is engaged from time-to-time in routine legal proceedings incidental to its business. The Company does not believe that these routine legal proceedings, taken as a whole, will have a material impact on its business or financial condition. While the ultimate effect of such actions cannot be predicted with certainty, management believes that their outcome will not result in an adverse effect on the Company’s consolidated financial position, operating results or liquidity. The Company subleases property at certain locations and for 2021, 2020 and 2019, received rental income of $4.4 million, $4.0 million and $4.0 million, respectively. In the event of customer default, the Company would be responsible for fulfilling these lease obligations. Future payment obligations under these leases are disclosed in Note 9. Contingencies related to credit risk and collectability are disclosed in Note 2. Unions represent approximately 7% of SpartanNash’s associates. These associates are covered by collective bargaining agreements (“CBAs”). The facilities covered by CBAs, the unions representing the covered associates and the expiration dates for each existing CBA are provided in the following table: Distribution Center Locations Union Locals Expiration Dates Norfolk, Virginia IBT 822 April 2022 Columbus, Georgia IBT 528 September 2022 Grand Rapids, Michigan IBT 406 October 2022 Landover, Maryland IBT 639 February 2024 Lima, Ohio Warehouse IBT 908 January 2025 Lima, Ohio Drivers IBT 908 January 2025 Bellefontaine, Ohio GTL Truck Lines, Inc. IBT 908 February 2025 Bellefontaine, Ohio General Merchandise Service Division IBT 908 February 2025 The Company contributes to the Central States Southeast and Southwest Pension Fund (the “Central States Plan” or the “Plan”), a multi-employer pension plan, in accordance with provisions in place in collective bargaining agreements covering its supply chain operations in Bellefontaine and Lima, Ohio and Grand Rapids, Michigan. This Plan provides retirement benefits to participants based on their service to contributing employers. The benefits to participants under the Plan are paid from assets held in trust for that purpose. An equal number of Trustees are appointed by contributing employers on one hand and by the applicable union(s) on the other hand; however, no representative of SpartanNash is currently serving as a trustee of the Plan. The trustees are responsible for determining the level of benefits to be provided to participants, as well as for such matters as the investment of the assets held in trust and the overall administration of the plan. Our contributions to the Central States Plan are established by each applicable collective bargaining agreement and vary by location. However, our required contributions may increase based on the funded status of the Plan and legal requirements, including those that require substantially underfunded plans like the Central States Plan to adopt a so-called “Rehabilitation Plan” that may require certain increases in employer contribution obligations from year to year. The Plan continues to be in red zone status, and according to the Pension Protection Act (“PPA”), is considered to be in “critical and declining” zone status. Among other factors, plans in the “critical and declining” zone are generally less than 65% On March 10, 2021, the United States Congress passed the American Rescue Plan Act of 2021 (the “Act”), which provides financial relief to certain failing multiemployer pension plans. In accordance with the interim guidance issued by the Pension Benefit Guaranty Corporation on July 9, 2021, the Act is designed to prevent such plans from becoming insolvent for the next 30 years. As the Central States Plan is in critical and declining status, it is expected to apply and qualify for relief under the Act on or shortly after their filing period opens on April 1, 2022. The legislation and the available relief are designed to alleviate the risk of insolvency of the Plan for the next 30 years. The risk of participating in a multi-employer pension plan is different from the risk associated with single-employer plans in the following respects: a. Assets contributed to the multi-employer plan by one employer may be used to provide benefits to employees of other participating employers. b. If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers. c. If a company chooses to stop participating in a multi-employer plan, makes market exits such as closing a distribution center without opening another one in the same locale, or otherwise has participation in the plan drop below certain levels, the company may be required to pay those plans an amount based on the underfunded status of the plan, referred to as a withdrawal liability. Based on the most recent information available to the Company, management believes that the present value of actuarial accrued liabilities in the Central States Plan significantly exceeds the value of the assets held in trust to pay benefits. Management is not aware of any significant change in funding levels in the Plan since January 1, 2022. Due to uncertainty regarding future factors that could trigger a withdrawal liability, as well as the absence of specific information regarding matters such as the Plan’s current financial situations, we are unable to determine with certainty the current amount of the Plan’s underfunding and/or SpartanNash’s current potential withdrawal liability exposure in the event of a future withdrawal from the Plan. Any adjustment for withdrawal liability would be recorded when it is probable that a liability exists and can be reasonably determined. |
Leases
Leases | 12 Months Ended |
Jan. 01, 2022 | |
Leases [Abstract] | |
Leases | Note 9 – Leases A portion of the Company’s retail stores and warehouses operate in leased facilities. The Company also leases the majority of the tractors and trailers within its fleet and certain other assets. Most of the property leases contain multiple renewal options, which generally range from one to ten years. In those locations in which it is economically feasible to continue to operate, management expects that renewal options will be exercised as they come due. The terms of certain leases contain provisions requiring payment of variable rent based on sales and payment of executory costs such as property taxes, utilities, insurance, maintenance and other occupancy costs applicable to the leased premises or, in the case of transportation equipment, provisions requiring payment of variable rent based upon miles driven. Certain properties or portions thereof are subleased to others. As most of the Company’s leases do not reference an implicit discount rate, the Company uses an incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The components of lease cost were as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Operating lease cost $ 58,410 $ 55,955 $ 54,798 Short-term lease cost 8,469 8,698 7,131 Finance lease cost Amortization of assets 4,645 4,045 3,330 Interest on lease liabilities 3,005 3,194 3,084 Variable rent 162 333 10 Sublease income (4,356 ) (3,994 ) (4,014 ) Total net lease cost $ 70,335 $ 68,231 $ 64,339 Supplemental balance sheet information related to leases was as follows: January 1, January 2, (In thousands) 2022 2021 Operating leases: Operating lease assets $ 283,040 $ 289,173 Current portion of operating lease liabilities $ 47,845 $ 45,786 Noncurrent operating lease liabilities 266,701 278,859 Total operating lease liabilities $ 314,546 $ 324,645 Finance leases: Property and equipment, at cost $ 56,591 $ 53,932 Accumulated amortization (18,707 ) (14,971 ) Property and equipment, net $ 37,884 $ 38,961 Current portion of finance lease liabilities $ 5,359 $ 4,030 Noncurrent finance lease liabilities 37,783 39,602 Total finance lease liabilities $ 43,142 $ 43,632 Weighted average remaining lease term (in years): Operating leases 7.8 8.4 Finance leases 10.2 11.3 Weighted average discount rate: Operating leases 5.2 % 5.5 % Finance leases 7.1 % 7.3 % Supplemental cash flow and other information related to leases was as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows used for operating leases $ 62,590 $ 62,008 $ 62,455 Operating cash flows used for finance leases 3,005 3,173 3,047 Financing cash flows used for finance leases 4,738 4,075 5,453 Lease assets obtained in exchange for lease liabilities: Total operating lease liabilities 36,867 62,500 34,346 Total finance lease liabilities 4,238 3,602 3,679 The Company’s total future lease commitments under operating and finance leases in effect at January 1, 2022 are as follows: Operating Finance (In thousands) Leases Leases Total 2022 $ 62,665 $ 8,181 $ 70,846 2023 58,425 6,835 65,260 2024 50,715 6,334 57,049 2025 45,985 5,859 51,844 2026 40,005 5,268 45,273 Thereafter 128,931 28,186 157,117 Total 386,726 60,663 447,389 Less interest 72,180 17,521 89,701 Present value of lease liabilities 314,546 43,142 357,688 Less current portion 47,845 5,359 53,204 Long-term lease liabilities $ 266,701 $ 37,783 $ 304,484 Certain retail store facilities and the Fresh Cut production facility, either owned or obtained through leasing arrangements, are leased to others. A majority of the leases provide for minimum rent and contain renewal options. Certain of the leases contain escalation clauses and contingent rentals based upon stipulated sales volumes. Owned assets, included in property and equipment, which are leased to others are as follows: January 1, January 2, (In thousands) 2022 2021 Land and improvements $ 8,681 $ 7,141 Buildings 40,900 27,864 Owned assets leased to others 49,581 35,005 Less accumulated amortization and depreciation 15,944 11,190 Net owned assets leased to others $ 33,637 $ 23,815 Future minimum rentals to be received under leases in effect at January 1, 2022 are as follows: (In thousands) 2022 2023 2024 2025 2026 Thereafter Total Owned property $ 6,054 $ 5,794 $ 4,875 $ 3,775 $ 3,423 $ 25,064 $ 48,985 Leased property 3,814 3,315 2,630 1,820 969 4,063 16,611 Total $ 9,868 $ 9,109 $ 7,505 $ 5,595 $ 4,392 $ 29,127 $ 65,596 |
Associate Retirement Plans
Associate Retirement Plans | 12 Months Ended |
Jan. 01, 2022 | |
Compensation And Retirement Disclosure [Abstract] | |
Associate Retirement Plans | Note 10 – Associate Retirement Plans The Company provides salary deferral defined contribution plans to substantially all of the Company’s associates not covered by CBAs. Associates covered by CBAs at the Company’s Columbus, Georgia; Norfolk, Virginia; and Landover, Maryland facilities all participate in a defined contribution plan; the remaining associates covered under CBAs participate in a multi-employer pension plan. The Company’s former non-contributory pension plan has been terminated. Defined Contribution Plans Expense for employer matching contributions made to defined contribution plans totaled $11.8 million, $12.2 million and $11.5 million in 2021, 2020 and 2019, respectively. Executive Compensation Plans The Company has a deferred compensation plan for a select group of management personnel or highly compensated associates. The plan is unfunded and permits participants to defer receipt of a portion of their base salary, annual bonus, or long-term incentive compensation which would otherwise be paid to them. The deferred amounts, plus earnings, are distributed following the associate’s termination of employment. Earnings are based on the performance of hypothetical investments elected by the participant from a portfolio of investment options. The Company holds variable universal life insurance policies on certain key associates intended to fund distributions under the deferred compensation plan referenced above. The net cash surrender value of approximately $4.3 million at both January 1, 2022 and January 2, 2021 is recorded in “Other assets, net” in the consolidated balance sheets. These policies have an aggregate amount of life insurance coverage of approximately $15.0 million. Defined Benefit Plans On February 28, 2018, the Company’s Board of Directors granted approval to proceed with terminating the SpartanNash Company Pension Plan (the “Pension Plan”), a frozen defined benefit pension plan. The Plan was terminated on July 31, 2018 and the distribution of assets to plan participants occurred in 2019. In 2020, the Company realized gains of $1.2 million related to refunds from the annuity provider to the Plan associated with the final reconciliation of participant data. The remaining plan asset balance of $2.7 million was used to fund employer match liabilities associated with defined contribution plans in 2021. In 2019, lump sum distributions and annuity payouts of $72.6 million were made resulting in pre-tax settlement charges of $18.2 million, including $18.0 million related to the Plan termination. The Company also recognized other termination expenses of $1.5 million in 2019. Postretirement Medical Plans SpartanNash Company and certain subsidiaries provide healthcare benefits to retired associates under the SpartanNash Company Retiree Medical Plan (the “Retiree Medical Plan”). Former Spartan Stores, Inc. associates hired prior to January 1, 2002 who were not covered by CBAs during their employment, who have at least The following tables set forth the actuarial present value of benefit obligations, funded status, changes in benefit obligations and plan assets, weighted average assumptions used in actuarial calculations and components of net periodic benefit costs for the Company’s significant pension and postretirement benefit plans, excluding multi-employer plans. The prepaid, current accrued, and noncurrent accrued benefit costs associated with pension and postretirement benefits are reported in “Prepaid expenses and other current assets,” “Other assets, net,” “Accrued payroll and benefits,” and “Other long-term liabilities,” respectively, in the consolidated balance sheets. Pension Plan Retiree Medical Plan January 1, January 2, January 1, January 2, (In thousands, except percentages) 2022 2021 2022 2021 Funded Status Projected/Accumulated benefit obligation: Balance at beginning of year $ — $ — $ 11,909 $ 10,783 Service cost — — 187 182 Interest cost — — 226 303 Actuarial (gain) loss — — (849 ) 1,027 Benefits paid — — (442 ) (386 ) Balance at end of year $ — $ — $ 11,031 $ 11,909 Fair value of plan assets: Balance at beginning of year $ 2,689 $ 1,496 $ — $ — Refund from annuity provider — 1,193 — — Company contributions — — 442 386 Excess asset transfer (2,689 ) — — — Benefits paid — — (442 ) (386 ) Balance at end of year $ — $ 2,689 $ — $ — Funded (unfunded) status $ — $ 2,689 $ (11,031 ) $ (11,909 ) Components of net amount recognized in consolidated balance sheets: Current assets $ — $ 2,689 $ — $ — Current liabilities — — (496 ) (471 ) Noncurrent liabilities — — (10,535 ) (11,438 ) Net asset (liability) $ — $ 2,689 $ (11,031 ) $ (11,909 ) Amounts recognized in AOCI: Net actuarial loss $ — $ — $ 1,653 $ 2,732 Accumulated other comprehensive loss $ — $ — $ 1,653 $ 2,732 Weighted average assumptions at measurement date: Discount rate N/A N/A 2.90% 2.57% Ultimate health care cost trend rate N/A N/A 4.50% 4.50% Pension Plan Retiree Medical Plan (In thousands, except percentages) 2021 2020 2019 2021 2020 2019 Components of net periodic benefit (income) cost: Service cost $ — $ — $ — $ 187 $ 182 $ 171 Interest cost — — 1,134 226 303 375 Amortization of prior service cost — — — — — (92 ) Expected return on plan assets — — (714 ) — — — Gain on reconciliation with annuity provider — (1,193 ) — — — — Recognized actuarial net loss — — 691 230 104 — Net periodic benefit (income) expense $ — $ (1,193 ) $ 1,111 $ 643 $ 589 $ 454 Settlement expense — — 18,244 — — — Total net periodic benefit (income) cost $ — $ (1,193 ) $ 19,355 $ 643 $ 589 $ 454 Weighted average assumptions used to determine net periodic benefit (income) cost: Discount rate N/A N/A 3.48% 2.57% 3.26% 4.41% Expected return on plan assets N/A N/A 2.80% N/A N/A N/A Prior service costs (credits) are amortized on a straight-line basis over the average remaining service period of active participants. Actuarial gains and losses for the Pension Plan were amortized over the average remaining life of all participants when the accumulation of such gains and losses exceeded 10% of the greater of the projected benefit obligation and the market-related value of plan assets. Assumed healthcare cost trend rates have a significant effect on the amounts reported for the Retiree Medical Plan. Assumed current healthcare cost trend rates used to determine net periodic benefit cost were as follows: 2021 2020 2019 Post-65 7.00% 7.50% 7.50% Expected Return on Assets and Investment Strategy There were not any pension plan assets as of January 1, 2022. Pension plan assets consisted of money market funds of $2.7 million at January 2, 2021. Money market funds are valued on a daily basis at NAV using the amortized cost of the securities held in the fund. Since amortized cost does not meet the criteria for an active market, money market funds are classified within level 2 of the fair value hierarchy of ASC 820, Fair Value Measurement. See Note 7 for a discussion of the levels of the fair value hierarchy. The fair value measurement level used is based on the lowest level of any input that is significant to the fair value measurement. The Company expects to make contributions in 2022 of $0.5 million to the Retiree Medical Plan. The following estimated benefit payments are expected to be paid in the following fiscal years: (In thousands) 2022 2023 2024 2025 2026 2027 to 2031 Post-retirement medical benefits $ 495 $ 530 $ 559 $ 584 $ 610 $ 3,283 Multi-Employer Health and Welfare Plans In addition to the plans described above, the Company participates in the Michigan Conference of Teamsters and Ohio Conference of Teamsters Health and Welfare plans. The Company contributes to these multi-employer health and welfare plans under the terms contained in existing CBAs, including the requisite contribution amounts set forth within such CBAs. The health and welfare plans provide medical, dental, pharmacy, vision, and other ancillary benefits to active associates and retirees, as determined under the terms of the plan. Although the plans may provide certain benefits to retired employees, the Company’s only contribution obligation is to make contributions in amounts tied to the hours worked by its active employees. As a result, the plan does not constitute a postretirement benefit plan of the Company. Because the plans aggregate contributions from multiple employers, the Company is unable to determine how much of its contributions are allocated to benefits paid to its active employees and those, if any, that are allocated to benefits paid to other employer’s active employees and/or postretirement benefits. These types of plans often have a significant surplus of funds held in reserve in excess of claims incurred, and there is no potential withdrawal liability related to the Company’s participation in the plans. With respect to the Company’s participation in these plans, expense is recognized as contributions are made. The Company contributed $13.2 million, $13.7 million and $13.8 million to these plans in 2021, 2020 and 2019, respectively. Multi-Employer Pension Plan The Company also contributes to the Central States Plan, a multi-employer plan defined previously, under the terms of CBAs that cover its union-represented associates, including the requisite contribution amounts set forth within such CBAs. The Company is party to four CBAs that require contributions to the Central States Plan with expiration dates ranging from April 2022 February 2025 Refer to Note 8, for further information regarding the Company’s participation in the Central States Plan. As of the date the consolidated financial statements were issued, an annual report for the Central States Plan on IRS Form 5500 was not publicly available for the plan year ended December 31, 2021. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income or Loss | 12 Months Ended |
Jan. 01, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income or Loss | Note 11 – Accumulated Other Comprehensive Income or Loss Accumulated other comprehensive income or loss (“AOCI”) represents the cumulative balance of other comprehensive income (loss), net of tax, as of the end of the reporting period. For the Company, the activity relates to pension and other postretirement benefit plans, including those described in Note 10. Changes in AOCI are as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Balance at beginning of the year, net of tax $ (2,276 ) $ (1,600 ) $ (15,759 ) Other comprehensive income (loss) before reclassifications 837 (1,086 ) 219 Income tax (expense) benefit (203 ) 268 (55 ) Other comprehensive income (loss), net of tax, before reclassifications 634 (818 ) 164 Amortization of amounts included in net periodic benefit cost (a) 250 191 18,480 Income tax expense (b) (63 ) (49 ) (4,485 ) Amounts reclassified out of AOCI, net of tax 187 142 13,995 Other comprehensive income (loss), net of tax 821 (676 ) 14,159 Balance at end of the year, net of tax $ (1,455 ) $ (2,276 ) $ (1,600 ) (a) Reclassified from AOCI into Other, net, or Selling, general and administrative expense. Amounts include amortization of net actuarial loss, amortization of prior service cost, and settlement expense totaling $0.1 million and $18.4 million in 2020 and 2019, respectively. There was no settlement expense in 2021. (b) Reclassified from AOCI into Income tax expense (benefit). |
Income Tax
Income Tax | 12 Months Ended |
Jan. 01, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Note 12 – Income Tax The income tax provision for continuing operations is made up of the following components: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Current income tax expense (benefit): Federal $ 5,436 $ 1,844 $ (899 ) State 1,867 5,149 817 Total current income tax expense (benefit) 7,303 6,993 (82 ) Deferred income tax expense (benefit): Federal 14,877 5,637 126 State 2,726 (3,180 ) (2,386 ) Total deferred income tax expense (benefit) 17,603 2,457 (2,260 ) Total income tax expense (benefit) $ 24,906 $ 9,450 $ (2,342 ) A reconciliation of the statutory federal rate to the effective rate is as follows: 2021 2020 2019 (52 Weeks) (53 Weeks) (52 Weeks) Federal statutory income tax rate 21.0 % 21.0 % 21.0 % Stock compensation 0.0 0.7 7.2 Non-deductible expenses 1.7 1.9 0.8 Change in tax contingencies 0.0 0.9 — Charitable product donations (0.1 ) (0.2 ) (5.6 ) Other, net (0.3 ) (1.0 ) (2.4 ) Federal loss carryback (a) — (11.9 ) — State taxes, net of federal income tax benefit 3.8 1.7 (36.1 ) Tax credits (0.9 ) (2.0 ) (50.4 ) Effective income tax rate 25.2 % 11.1 % (65.5 ) % (a) On March 27, 2020, the U.S. government enacted tax legislation to provide economic stimulus and support businesses and individuals during the COVID-19 pandemic, referred to as the Coronavirus Aid, Relief and Economic Security (“CARES”) Act. In connection with the CARES Act, the Company recorded net discrete income tax benefits of $10.1 million in 2020 associated with the additional deductibility of certain expenses combined with provisions which enable companies to carry back tax losses to years prior to the enactment of the Tax Cuts and Jobs Act (“Tax Reform”), where the federal statutory income tax rate was 35%. As a result of carrying back losses to previous tax years, the Company recorded $0.8 million in expense to reinstate tax contingencies which had previously expired, included in the “Change in tax contingencies” line in the table above. Deferred tax assets and liabilities resulting from temporary differences as of January 1, 2022 and January 2, 2021 are as follows: January 1, January 2, (In thousands) 2022 2021 Deferred tax assets: Employee benefits $ 25,358 $ 33,115 Accrued workers' compensation 1,943 1,834 Allowance for doubtful accounts 1,317 1,688 Intangible assets — 2,203 Restructuring 333 377 Deferred revenue 2,083 1,679 Stock warrant 1,258 1,896 Lease liabilities 85,781 87,606 Accrued insurance 893 964 State net operating loss carryforwards (a) 6,576 6,175 All other 2,338 2,481 Total deferred tax assets 127,880 140,018 Deferred tax liabilities: Property and equipment 47,240 47,472 Lease assets 76,589 77,673 Inventory 35,382 33,531 Goodwill 30,044 26,025 Intangible assets 187 — All other 2,130 1,045 Total deferred tax liabilities 191,572 185,746 Net deferred tax liability $ 63,692 $ 45,728 (a) As of January 1, 2022, the Company’s state net operating loss carryforwards in various taxing jurisdictions expire in tax years 2022 through 2041 if not utilized. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: (In thousands) 2021 2020 Balance at beginning of year $ 1,317 $ 1,425 Gross increases - tax positions taken in prior years 84 910 Gross decreases - tax positions taken in prior years (11 ) (1,000 ) Lapsed statutes of limitations (170 ) (18 ) Balance at end of year $ 1,220 $ 1,317 Unrecognized tax benefits of $0.1 million are set to expire prior to December 31, 2022. The Company recognizes interest and penalties accrued related to unrecognized tax benefits in income tax expense. The amount recognized due to a lapse in the statute of limitations that reduced the Company’s effective income tax rate in 2021 and 2020 was immaterial in both years. The amount of unrecognized tax benefits, including interest and penalties, that would reduce the Company’s effective income tax rate if recognized in future periods was $1.0 million as of January 1, 2022. SpartanNash or its subsidiaries file income tax returns with federal, state and local tax authorities within the United States. With few exceptions, SpartanNash is no longer subject to examinations by U.S. federal tax authorities for fiscal years before the year ended January 3, 2015, and state or local tax authorities for fiscal years before the year ended December 31, 2017. |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Jan. 01, 2022 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Payments | Note 13 – Share-Based Payments Share-Based Payments to Employees The Company sponsors a shareholder-approved stock incentive plan (the “2020 Plan”) that provides for the granting of stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance share units, dividend equivalent rights, and other stock-based and stock-related awards to directors, employees, or contractors of the Company, as determined by the Compensation Committee of the Board of Directors. Holders of restricted stock and stock awards issued under the 2020 Plan are entitled to participate in dividends, payable upon the vesting of the underlying awards. As of January 1, 2022, a total of There was no stock option activity in 2021 or 2020. The following table summarizes stock option activity for 2019: Weighted Weighted Average Average Remaining Aggregate Shares Exercise Contractual Intrinsic Value Under Options Price Life Years (in thousands) Options outstanding and exercisable at December 29, 2018 13,052 $ 13.87 0.37 $ 39 Exercised (13,052 ) 13.87 51 Options outstanding and exercisable at December 28, 2019 — $ — — $ — Restricted shares awarded to associates in 2021 vest ratably over a three-year four-year The following table summarizes restricted stock activity for 2021, 2020 and 2019: Weighted Average Grant-Date Shares Fair Value Outstanding and nonvested at December 29, 2018 822,819 $ 23.07 Granted 488,063 17.84 Vested (346,721 ) 23.47 Forfeited (35,428 ) 20.11 Outstanding and nonvested at December 28, 2019 928,733 20.28 Granted 521,566 15.96 Vested (396,219 ) 21.65 Forfeited (80,132 ) 16.48 Outstanding and nonvested at January 2, 2021 973,948 17.72 Granted 562,653 18.96 Vested (388,403 ) 19.81 Forfeited (116,361 ) 18.19 Outstanding and nonvested at January 1, 2022 1,031,837 $ 17.56 The total intrinsic value of shares vested was $7.3 million, $5.3 million and $6.2 million in 2021, 2020 and 2019, respectively. Share-based payment expense recognized and included in “Selling, general and administrative expenses” in the consolidated statements of earnings, and related tax benefits were as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Restricted stock $ 6,868 $ 6,299 $ 7,312 Tax benefits (1,744 ) (839 ) (1,303 ) Stock-based compensation stock expense, net of tax $ 5,124 $ 5,460 $ 6,009 As of January 1, 2022, total unrecognized compensation cost related to non-vested restricted stock awards granted under the stock incentive plan was $7.3 million. The remaining compensation costs not yet recognized are expected to be recognized over a weighted average period of 2.1 years. The Company recognized tax deductions of $7.7 million, $5.9 million and $7.2 million related to the exercise of stock options and the vesting of restricted stock in 2021, 2020 and 2019, respectively. The Company sponsored a stock bonus plan covering 300,000 shares of SpartanNash common stock. Under the provisions of this plan, certain officers and key associates may elect to receive a portion of their annual bonus in common stock rather than cash, which will be issued at 120% of cash value. After the shares are issued, the holder is not able to sell or otherwise transfer the shares until the end of the holding period, which is 24 months. Compensation expense is recorded based upon the market price of the stock as of the measurement date. Under the plan, 15,778, 3,443 and 8,087 shares were issued in 2021, 2020 and 2019, respectively. The stock bonus plan expired on March 31, 2021. The Company also sponsors an associate stock purchase plan covering 200,000 shares of SpartanNash common stock. The plan enables associates of the Company to purchase shares at 95% of the fair market value. As of January 1, 2022, a total of 182,733 shares had been issued under the plan. Stock Warrant On October 7, 2020, in connection with its entry into a commercial agreement with Amazon.com, Inc. (“Amazon”), the Company issued Amazon.com NV Investment Holdings LLC, a subsidiary of Amazon, a warrant to acquire up to an aggregate of 5,437,272 shares of the Company’s common stock (the “Warrant”), subject to certain vesting conditions. Warrant shares equivalent to 2.5% of the Company’s outstanding and issuable shares, or 1,087,455 shares, vested upon the signing of the commercial agreement, and had a grant date fair value of $5.51 per share. Warrant shares equivalent to up to 10.0% of the Company’s outstanding and issuable shares, or 4,349,817 shares, may vest in connection with conditions defined by the terms of the Warrant, as Amazon makes payments to the Company in connection with the commercial supply agreement, in increments of $200 million, and had a grant date fair value of $5.33 per share. Upon vesting, shares may be acquired at an exercise price of $17.7257. The warrant contains customary anti-dilution, down-round and change-in-control provisions. The right to purchase shares in connection with the Warrant expires on October 7, 2027. Non-cash share-based payment expense associated with the stock warrant is recognized as vesting conditions are achieved, based on the grant date fair value of the warrant. The fair value of the warrant was determined as of the grant date in accordance with ASC 718, Compensation – Stock Compensation Selected Assumption Methodology Risk free interest rate 0.56% Derived from the Constant Maturity Treasury Rate with maturity matching time to expiration of the Warrants Volatility 47.00% Based on historical equity volatility of Company stock over a period matching the assumed warrants term Dividend yield 4.57% Based on the historical dividends paid by the Company The warrant shares, which vested upon signing the commercial agreement, have a contractual term of 7 years, whereas the warrant shares, which vest upon payments made to the Company in connection with the commercial supply agreement, have an estimated weighted average term of 3.6 years. The following table summarizes stock warrant activity for 2021 and 2020: Warrant Outstanding and nonvested at December 28, 2019 — Granted 5,437,272 Vested (1,087,455 ) Outstanding and nonvested at January 2, 2021 4,349,817 Vested (434,984 ) Outstanding and nonvested at January 1, 2022 3,914,833 Share-based payment expense recognized, included as a reduction of “Net sales” in the consolidated statements of earnings, and related tax benefits were as follows: 2021 2020 (In thousands) (52 Weeks) (53 Weeks) Warrant expense $ 1,958 $ 6,549 Tax benefits (152 ) (2,051 ) Warrant expense, net of tax $ 1,806 $ 4,498 As of January 1, 2022, total unrecognized cost related to non-vested warrants was $20.7 million, which may be expensed as vesting conditions are satisfied over the remaining term of the agreement, or 5.8 years. Warrants representing 1,522,439 shares are vested and exercisable. As of January 1, 2022, nonvested warrant shares had an intrinsic value of $31.5 million, and vested warrant shares had an intrinsic value of $12.2 million. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Jan. 01, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Note 14 – Supplemental Cash Flow Information Supplemental cash flow information is as follows: 2021 2020 2019 (In thousands) (53 Weeks) (52 Weeks) (52 Weeks) Non-cash investing activities: Capital expenditures included in accounts payable $ 15,277 $ 15,984 $ 16,111 Non-cash acquisition — — 5,363 Non-cash financing activities: Dividends declared but unpaid 485 99 6,907 Other supplemental cash flow information: Cash paid for interest 12,245 18,448 33,236 Income tax (refunds) payments (10,110 ) 18,717 (9,680 ) |
Reporting Segment Information
Reporting Segment Information | 12 Months Ended |
Jan. 01, 2022 | |
Segment Reporting [Abstract] | |
Reporting Segment Information | Note 15 – Reporting Segment Information SpartanNash sells and distributes products that are typically found in supermarkets and discount stores. The Company’s operating segments reflect the manner in which the business is managed and how the Company allocates resources and assesses performance internally. The Company’s chief operating decision maker is the Chief Executive Officer, who determines the allocation of resources and, through a regular review of financial information, assesses the performance of the operating segments. The business is classified by management into three reportable segments: Food Distribution, Military and Retail. These reportable segments are three distinct businesses, each with a different customer base, management structure, and basis for determining budgets, forecasts, and executive compensation. The Company reviews its reportable segments on an annual basis, or more frequently if events or circumstances indicate a change in reportable segments has occurred. The following tables set forth information about the Company by reporting segment: Food (In thousands) Distribution Retail Military Total 2021 (52 Weeks) Net sales to external customers $ 4,456,800 $ 2,581,286 $ 1,892,953 $ 8,931,039 Inter-segment sales 1,095,647 827 — 1,096,474 Acquisition and integration — 708 — 708 Restructuring and asset impairment, net 795 2,459 (368 ) 2,886 Depreciation and amortization 33,023 46,224 13,464 92,711 Operating earnings (loss) 59,489 66,971 (14,260 ) 112,200 Capital expenditures 31,847 33,407 14,173 79,427 2020 (53 Weeks) Net sales to external customers $ 4,577,178 $ 2,637,917 $ 2,133,390 $ 9,348,485 Inter-segment sales 1,125,112 359 — 1,125,471 Acquisition and integration — 421 — 421 Restructuring and asset impairment, net 21,085 3,313 — 24,398 Depreciation and amortization 32,289 45,199 12,388 89,876 Operating earnings (loss) 45,962 66,359 (9,915 ) 102,406 Capital expenditures 25,055 33,894 8,349 67,298 2019 (52 Weeks) Net sales to external customers $ 3,982,609 $ 2,381,349 $ 2,172,107 $ 8,536,065 Inter-segment sales 976,372 — — 976,372 Acquisition and integration (122 ) 1,559 — 1,437 Restructuring and asset impairment, net 14,844 (1,794 ) — 13,050 Depreciation and amortization 33,396 43,171 11,834 88,401 Operating earnings (loss) 47,416 18,842 (9,316 ) 56,942 Capital expenditures 28,385 40,135 6,295 74,815 January 1, January 2, (In thousands) 2022 2021 Total Assets Food Distribution $ 1,092,851 $ 1,112,961 Retail 747,342 763,876 Military 366,589 400,554 Total $ 2,206,782 $ 2,277,391 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies and Basis of Presentation (Policies) | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation: The consolidated financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and include the accounts of SpartanNash Company and its subsidiaries (“SpartanNash” or “the Company”). Intercompany accounts and transactions have been eliminated. |
Fiscal Year | Fiscal Year: The Company’s fiscal year end is the Saturday nearest to December 31. The following discussion is as of and for the fiscal years ending or ended December 31, 2022 (“2022”), January 1, 2022 ("2021" or “current year”), January 2, 2020 (“2020” or “prior year”) and December 28, 2019 (“2019”), all of which include 52 weeks, with the exception of 2020, which includes 53 weeks. All fiscal quarters are 12 weeks, except for the Company’s first quarter, which is 16 weeks. The fourth quarter of 53-week years include 13 weeks. |
Use of Estimates | Use of Estimates: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported therein. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods might differ from those estimates. |
Revenue Recognition | Revenue Recognition: The Company recognizes revenue when it satisfies a performance obligation by transferring control of the promised goods and services to a customer, in an amount that reflects the consideration that it expects to receive in exchange for those goods or services. This is achieved through applying the following five-step model: The Company generates substantially all of its revenue from contracts with customers, whether formal or implied. Sales taxes collected from customers are remitted to the appropriate taxing jurisdictions and are excluded from sales revenue as the Company considers itself a pass-through conduit for collecting and remitting sales taxes, with the exception of taxes assessed during the procurement process of select inventories. Greater than 99% of the Company’s revenues are recognized at a point in time. Revenues from product sales are recognized when control of the goods is transferred to the customer, which occurs at a point in time, typically upon delivery or shipment to the customer, depending on shipping terms, or upon customer check-out in a corporate-owned retail store. Freight revenues are also recognized upon delivery, at a point in time. Other revenues, including revenues from value-added services and leases, are recognized as earned, over a period of time. All of the Company’s revenues are domestic, as the Company has no performance obligations on international shipments subsequent to delivery to the domestic port. The Company evaluates whether it is a principal (i.e., report revenues on a gross basis) or an agent (i.e., report revenues on a net basis) with respect to each contract with customers. Based upon the nature of the products the Company sells, its customers have limited rights of return, which are immaterial. Discounts provided by the Company to customers at the time of sale are recognized as a reduction in sales as the products are sold. Certain contracts include rebates and other forms of variable consideration, including up-front rebates, rebates in arrears, rebatable incentives, non-cash incentives including stock warrants, and product incentives, which may have tiered structures based on purchase volumes and which are accounted for as variable consideration. To the extent the transaction price includes variable consideration, the Company estimates the amount of variable consideration that should be included in the transaction price utilizing either the expected value method or the most likely amount method depending on the nature of the variable consideration. Variable consideration is included in the transaction price if, in the Company’s judgment, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. |
Cost of Sales | Cost of Sales: Cost of sales represents the cost of inventory sold during the period, which for all non-production operations includes purchase costs, in-bound freight, physical inventory adjustments, markdowns and promotional allowances and excludes warehousing costs, depreciation and other administrative expenses. For the Company’s food processing operations which wound down during fiscal 2020, cost of sales included direct product and production costs, inbound freight, purchasing and receiving costs, utilities, depreciation, and other indirect production costs and excludes out-bound freight and other administrative expenses. The Company’s cost of sales and gross profit may not be identical to similarly titled measures reported by other companies. Vendor allowances and credits that relate to the Company’s buying and merchandising activities consist primarily of promotional allowances, which are allowances on purchased quantities and, to a lesser extent, slotting allowances, which are billed to vendors for the Company’s merchandising costs such as setting up warehouse infrastructure. Vendor allowances are recognized as a reduction in cost of sales when the related product is sold. Lump sum payments received for multi-year contracts are amortized over the life of the contracts based on contractual terms. The distribution segments include shipping and handling costs in the selling, general and administrative section of operating expenses within the consolidated statements of earnings. |
Cash and Cash Equivalents | Cash and Cash Equivalents: Cash and cash equivalents consists of cash and highly liquid investments with an original maturity of three months or less at the date of purchase. |
Accounts and Notes Receivable | Accounts and Notes Receivable: Accounts and notes receivable are presented net of allowances for credit losses of $5.1 million and $6.6 million as of January 1, 2022 and January 2, 2021, respectively. The Company estimates losses using an expected loss model, considering both historical data and future expectations, including collection experience, expectations for current credit risks, accounts receivable payment status, the customer’s financial health, as well as the Company’s collateral and creditor position. The Company pools similar assets based on their credit risk characteristics, whereby many of its trade receivables are pooled based on certain customer or aging characteristics. After assets are pooled, an appropriate loss factor is applied based on management’s expectations. The Company also records specific reserves for credit losses in certain circumstances. Operating results include net bad debt (income) expense of $(0.3) million, $2.7 million and $1.5 million for 2021, 2020 and 2019, respectively. |
Inventory Valuation | Inventory Valuation: Inventories are valued at the lower of cost or market. Approximately 84.0% and 81.4% of the Company’s inventories were valued on the last-in, first-out (LIFO) method at January 1, 2022 and January 2, 2021, respectively. If replacement cost had been used, inventories would have been $81.8 million and $63.1 million higher at January 1, 2022 and January 2, 2021, respectively. The replacement cost method utilizes the most current unit purchase cost to calculate the value of inventories. During 2021, 2020 and 2019, certain inventory quantities were reduced. The reductions resulted in liquidation of LIFO inventory carried at lower costs prevailing in prior years, the effect of which decreased the LIFO provision by $2.1 million, $1.4 million and $1.5 million in 2021, 2020 and 2019, respectively. The Company accounts for its Food Distribution and Military inventory using a perpetual system and utilizes the retail inventory method (“RIM”) to value inventory for center store products in the Retail segment. Under RIM, inventory is stated at cost, determined by applying a cost ratio to the retail value of inventories. Fresh, pharmacy and fuel products are accounted for at cost in the Retail segment. The Company records allowances for inventory shortages based on the results of recent physical counts to provide for estimated shortages from the last physical count to the financial statement date. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets: Goodwill represents the excess purchase price over the fair value of tangible net assets acquired in business combinations after amounts have been allocated to intangible assets. Goodwill is not amortized, but is reviewed for impairment during the last quarter of each year, or whenever events occur or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount, using a discounted cash flow model and comparable market values of each reporting segment. Measuring the fair value of reporting units is a Level 3 measurement under the fair value hierarchy. See Note 7, for a discussion of fair value levels. Intangible assets primarily consist of trade names, customer relationships, pharmacy prescription lists, non-compete agreements, liquor licenses and franchise fees. The following assets are amortized on a straight-line basis over the period of time in which their expected benefits will be realized: prescription lists and customer relationships (period of expected benefit reflecting the pattern in which the economic benefits are consumed), non-compete agreements and franchise fees (length of agreements), and trade names with definite lives (expected life of the assets). Indefinite-lived trade names and liquor licenses are not amortized but are tested at least annually for impairment. |
Property and Equipment | Property and Equipment: Property and equipment are recorded at cost. Expenditures which improve or extend the life of the respective assets are capitalized, whereas expenditures for normal repairs and maintenance are charged to operations as incurred. Depreciation expense on land improvements, buildings and improvements, and equipment is computed using the straight-line method as follows: Land improvements 15 years Buildings and improvements 15 to 40 years Equipment 3 to 15 years Property under finance leases and leasehold improvements are amortized on a straight-line basis over the shorter of the remaining terms of the leases or the estimated useful lives of the assets. Internal use software is included in Property and equipment, net and amounted to $42.6 million and $38.5 million as of January 1, 2022 and January 2, 2021, respectively. |
Cloud Computing Arrangements | Cloud Computing Arrangements: Implementation costs for software that is accessed in hosted cloud computing arrangements is accounted for in accordance with Accounting Standards Codification (“ASC”) 350, . Capitalized costs of hosted cloud computing arrangements include configuration, installation, other upfront costs and internal labor costs of employees devoted to the cloud computing software implementation project. Once a project is complete, amortization is computed using the straight-line method over the term of the associated hosting arrangement, including any options to extend the hosting arrangement that the Company is reasonably certain to exercise, generally 3 to 8 years. These costs are classified in the consolidated balance sheets in “Prepaid expenses and other current assets” or “Other assets, net” based on the term of the arrangement, and the related cash flows are presented as cash outflows from operations. The net book value of these implementation costs was $20.6 million and $13.9 million, as of January 1, 2022 and January 2, 2021, respectively. |
Leases | Leases: At the commencement or modification of a contract, the Company determines whether a lease exists based on 1) the identification of an underlying asset and 2) the right to control the use of the identified asset. When the Company is a lessee, leases are classified as either operating or finance. Operating and finance lease assets represent the Company’s right to use an underlying asset for the lease term, while lease obligations represent the Company’s obligation to make lease payments arising from the lease. Most of the Company’s lease agreements include variable payments related to executory costs for property taxes, utilities, insurance, maintenance and other occupancy costs related to the leased asset. Additionally, certain of the Company’s lease agreements include rental payments based on a percentage of retail sales over contractual levels or, in the case of transportation equipment, provisions requiring payment of variable rent based upon miles driven . These variable payments are not included in the measurement of the lease liability or asset and are expensed as incurred. Leases with an initial expected term of 12 months or less are not recorded in the consolidated balance sheets and the related lease expense is recognized on a straight-line basis over the lease term. Lease assets and obligations are recognized at the lease commencement date based on the present value of lease payments and initial direct costs incurred, less incentives, over the lease term. In the absence of stated or implicit interest rates within lease contracts, incremental borrowing rates are estimated based on the Company’s borrowing rate as of the lease commencement date to determine the present value of lease payments. Incremental borrowing rates are determined by using the yield curve based on the Company’s creditworthiness on a collateralized basis. The Company includes option periods in the assumed lease term when it is reasonably certain that the options will be exercised. Operating lease assets and liabilities are reported discretely in the consolidated balance sheets. Finance lease assets are included in Property and equipment, net and finance lease liabilities are included in Long-term debt and finance lease obligations within the Company’s consolidated balance sheets. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets: The Company reviews and evaluates long-lived assets for impairment when events or circumstances indicate that the carrying amount of an asset may not be recoverable. When the undiscounted expected future cash flows are not sufficient to recover an asset’s carrying amount, the fair value is compared to the carrying value to determine the impairment loss to be recorded. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value, less the cost to sell. Fair values are determined by independent appraisals or expected sales prices based upon market participant data developed by third party professionals or by internal licensed real estate professionals. Estimates of future cash flows and expected sales prices are judgments based upon the Company’s experience and knowledge of operations. These estimates project cash flows several years into the future and are affected by changes in the economy, real estate market conditions and inflation. The Company evaluates definite-lived intangible asset and operating and finance lease impairments in conjunction with testing of the related asset groups as described above. Impairment reserves are applied proportionally as a reduction to the assets in the asset group, including lease assets. |
Reserves for Closed Properties | Reserves for Closed Properties: The Company records reserves for closed properties that are subject to long-term lease commitments based upon the lease ancillary costs from the date of closure to the end of the remaining lease term. Prior to the adoption of ASC 842, these reserves also included the future minimum lease payments associated with these properties. Future cash flows are based on historical expenses, contractual lease terms and knowledge of the geographic area in which the closed site is located. These estimates are subject to multiple factors, including inflation, ability to sublease the property and other economic conditions. The reserved expenses are paid over the remaining lease terms, which range from 1 to 7 years. Subsequent adjustments to closed property reserves are made when actual exit costs differ from the original estimates. These adjustments are made for changes in estimates in the period in which the changes become known. The current portion of the future closed property obligations is included in “Other accrued expenses,” and the long-term portion is included in “Other long-term liabilities” in the consolidated balance sheets. |
Debt Issuance Costs | Debt Issuance Costs : Debt issuance costs are amortized over the term of the related financing agreement and are included as a direct deduction from the carrying amount of the related debt liability in “Long-term debt and finance lease obligations” in the consolidated balance sheets. |
Insurance Reserves | Insurance Reserves: SpartanNash is insured through self-insurance retentions or high deductible programs for workers’ compensation, general liability, and automobile liability, and is also self-insured for healthcare costs. Self-insurance liabilities are recorded based on claims filed and an estimate of claims incurred but not yet reported. Workers’ compensation, general liability and automobile liabilities are actuarially estimated based on available historical information on an undiscounted basis. The Company has purchased stop-loss coverage to limit its exposure to any significant exposure on a per claim basis for its self-insurance retentions and high deductible programs. On a per claim basis, the Company’s exposure is up to $0.5 million for workers’ compensation and general liability, $1.0 million for automobile liability and $0.6 million for healthcare per covered life per year. A summary of changes in the Company’s self-insurance liability is as follows: (In thousands) 2021 2020 2019 Balance at beginning of year $ 16,737 $ 16,780 $ 14,291 Expenses 72,101 62,999 69,253 Acquisitions — — 1,894 Claim payments, net of employee contributions (69,393 ) (63,042 ) (68,658 ) Balance at end of year $ 19,445 $ 16,737 $ 16,780 The current portion of the self-insurance liability was $11.9 million and $10.0 million as of January 1, 2022 and January 2, 2021, respectively, and is included in “Other accrued expenses” in the consolidated balance sheets. The long-term portion was $7.5 million and $6.7 million as of January 1, 2022 and January 2, 2021, respectively, and is included in “Other long-term liabilities” in the consolidated balance sheets. |
Income Taxes | Income Taxes: Deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future. Such deferred income tax asset and liability computations are based on enacted tax laws and rates applicable to periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred and other tax assets and liabilities. |
Earnings per share | Earnings per share: Earnings per share (“EPS”) is computed using the two-class method. The two-class method determines EPS for each class of common stock and participating securities according to dividends and their respective participation rights in undistributed earnings. Outstanding nonvested restricted stock incentive awards under the Company’s 2015 Plan contain nonforfeitable rights to dividends or dividend equivalents, which participate in undistributed earnings with common stock. These awards are classified as participating securities and are included in the calculation of basic earnings per share. Awards under the 2020 Plan do not contain nonforfeitable rights to dividends or dividend equivalents and are therefore not classified as participating securities. There were no stock warrants outstanding during 2019. The dilutive impact of both the restricted stock awards and warrants are presented below, as applicable. Weighted average restricted stock awards that were not included in the EPS calculations because they were anti-dilutive were 13,614 and 76,654 for 2021 and 2020, respectively. The following table sets forth the computation of basic and diluted EPS for continuing operations: 2021 2020 2019 (In thousands, except per share amounts) (52 Weeks) (53 Weeks) (52 Weeks) Numerator: Earnings from continuing operations $ 73,751 $ 75,914 $ 5,917 Adjustment for earnings attributable to participating securities (1,399 ) (1,871 ) (149 ) Earnings from continuing operations used in calculating earnings per share $ 72,352 $ 74,043 $ 5,768 Denominator: Weighted average shares outstanding, including participating securities 35,639 35,861 36,271 Adjustment for participating securities (676 ) (884 ) (912 ) Shares used in calculating basic earnings per share 34,963 34,977 35,359 Effect of dilutive restricted stock awards 79 1 — Effect of dilutive warrants 225 — — Shares used in calculating diluted earnings per share 35,267 34,978 35,359 Basic earnings per share from continuing operations $ 2.07 $ 2.12 $ 0.16 Diluted earnings per share from continuing operations $ 2.05 $ 2.12 $ 0.16 |
Stock-Based Employee Compensation | Stock-Based Employee Compensation: All share-based payments to associates are generally recognized in the consolidated financial statements as compensation cost based on the fair value on the date of grant. The grant date closing price per share of SpartanNash stock is used to estimate the fair value of restricted stock awards and restricted stock units. The value of the portion of awards expected to vest is recognized as expense over the requisite service period. |
Stock Warrants | Stock Warrants: Stock warrants are accounted for as equity instruments and measured in accordance with ASC 718, For awards granted to a customer which are not in exchange for distinct goods or services, the fair value of the awards earned based on service or performance conditions is recorded as a reduction of the transaction price, in accordance with ASC 606, . To determine the fair value of the warrants in accordance with ASC 718, the Company uses pricing models based in part on assumptions for which management is required to use judgment. Based on the fair value of the awards, the Company determines the amount of warrant expense based on the customer’s achievement of vesting conditions, which is recorded as a reduction of net sales on the consolidated statement of earnings. The dilutive impact of stock warrants is determined using the treasury stock method. |
Shareholders' Equity | Shareholders’ Equity: The Company’s restated articles of incorporation provide that the Board of Directors may at any time, and from time to time, provide for the issuance of up to 10 million shares of preferred stock in one or more series, each with such designations as determined by the Board of Directors. At January 1, 2022 and January 2, 2021, there were no shares of preferred stock outstanding. |
Advertising Costs | Advertising Costs: The Company’s advertising costs are expensed as incurred and are included in Selling, general and administrative expenses. Advertising expenses were $37.7 million, $36.6 million and $39.3 million in 2021, 2020 and 2019, respectively. |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss)(“AOCI”): The Company reports comprehensive income (loss), which includes net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) refers to expenses, gains and losses that are not included in net earnings, such as pension and other postretirement liability adjustments, but rather are recorded directly to shareholders’ equity. These amounts are also presented in the consolidated statements of comprehensive income. The Company’s pension plan was terminated, and benefit obligations were satisfied during 2019. Beginning with December 28, 2019, AOCI relates to the Company’s other postretirement plans. |
Discontinued Operations | Discontinued operations: Certain of the previous operations of the Company’s Food Distribution and Retail operations were classified as discontinued operations. Results of discontinued operations are excluded from the accompanying notes to the consolidated financial statements for all periods presented. Results of discontinued operations reported on the consolidated statements of earnings are reported net of tax. |
Adoption of New Accounting Standards | Adoption of New Accounting Standards In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02, Leases The adoption of the new standard resulted in the recognition of operating lease assets and liabilities of $241.8 million and $292.3 million, respectively, as of the beginning of 2019. The adoption of the standard also resulted in a transition adjustment to beginning of the year retained earnings of $26.9 million (net of deferred tax impact of $8.5 million). The transition adjustment relates to impairment of right of use assets included in previously impaired asset groups and the impact of hindsight on the evaluation of lease term. Remaining differences between lease assets and liabilities relate to the derecognition of lease-related liabilities and assets recorded under ASC 840, which were included in beginning lease liabilities or assets under ASC 842. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments The adoption of the standard resulted in a transition adjustment to 2020 beginning of the year retained earnings of $2.2 million (gross of the deferred tax impact of $0.6 million). The transition adjustment relates to incremental trade and notes receivable allowances due to the earlier recognition of expected losses under the new standard of $1.9 million and $0.3 million, respectively. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies and Basis of Presentation (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Accounting Policies [Abstract] | |
Property and Equipment Estimated Useful Lives | Depreciation expense on land improvements, buildings and improvements, and equipment is computed using the straight-line method as follows: Land improvements 15 years Buildings and improvements 15 to 40 years Equipment 3 to 15 years |
Summary of Changes in the Company's Self-Insurance Liability | A summary of changes in the Company’s self-insurance liability is as follows: (In thousands) 2021 2020 2019 Balance at beginning of year $ 16,737 $ 16,780 $ 14,291 Expenses 72,101 62,999 69,253 Acquisitions — — 1,894 Claim payments, net of employee contributions (69,393 ) (63,042 ) (68,658 ) Balance at end of year $ 19,445 $ 16,737 $ 16,780 |
Schedule of Computation of Basic and Diluted EPS for Continuing Operations | The following table sets forth the computation of basic and diluted EPS for continuing operations: 2021 2020 2019 (In thousands, except per share amounts) (52 Weeks) (53 Weeks) (52 Weeks) Numerator: Earnings from continuing operations $ 73,751 $ 75,914 $ 5,917 Adjustment for earnings attributable to participating securities (1,399 ) (1,871 ) (149 ) Earnings from continuing operations used in calculating earnings per share $ 72,352 $ 74,043 $ 5,768 Denominator: Weighted average shares outstanding, including participating securities 35,639 35,861 36,271 Adjustment for participating securities (676 ) (884 ) (912 ) Shares used in calculating basic earnings per share 34,963 34,977 35,359 Effect of dilutive restricted stock awards 79 1 — Effect of dilutive warrants 225 — — Shares used in calculating diluted earnings per share 35,267 34,978 35,359 Basic earnings per share from continuing operations $ 2.07 $ 2.12 $ 0.16 Diluted earnings per share from continuing operations $ 2.05 $ 2.12 $ 0.16 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Information about Disaggregated Revenue of Reportable Segments | The following table provides information about disaggregated revenue by type of products and customers for each of the Company’s reportable segments: 52 Weeks Ended January 1, 2022 (In thousands) Food Distribution Retail Military Total Type of products: Center store (a) $ 1,499,994 $ 1,001,920 $ 919,169 $ 3,421,083 Fresh (b) 1,474,440 992,897 552,580 3,019,917 Non-food (c) 1,372,376 427,872 410,853 2,211,101 Fuel — 157,236 — 157,236 Other 109,990 1,361 10,351 121,702 Total $ 4,456,800 $ 2,581,286 $ 1,892,953 $ 8,931,039 Type of customers: Individuals $ — $ 2,580,277 $ — $ 2,580,277 Manufacturers, brokers and distributors 54,453 — 1,763,271 1,817,724 Retailers 4,354,897 — 119,331 4,474,228 Other 47,450 1,009 10,351 58,810 Total $ 4,456,800 $ 2,581,286 $ 1,892,953 $ 8,931,039 53 Weeks Ended January 2, 2021 (In thousands) Food Distribution Retail Military Total Type of products: Center store (a) $ 1,519,279 $ 1,097,013 $ 1,043,208 $ 3,659,500 Fresh (b) 1,550,813 1,013,657 610,633 3,175,103 Non-food (c) 1,407,122 419,507 469,653 2,296,282 Fuel — 106,213 — 106,213 Other 99,964 1,527 9,896 111,387 Total $ 4,577,178 $ 2,637,917 $ 2,133,390 $ 9,348,485 Type of customers: Individuals $ — $ 2,636,993 $ — $ 2,636,993 Manufacturers, brokers and distributors 75,827 — 1,989,248 2,065,075 Retailers 4,425,665 — 134,246 4,559,911 Other 75,686 924 9,896 86,506 Total $ 4,577,178 $ 2,637,917 $ 2,133,390 $ 9,348,485 52 Weeks Ended December 28, 2019 (In thousands) Food Distribution Retail Military Total Type of products: Center store (a) $ 1,209,436 $ 928,641 $ 1,027,661 $ 3,165,738 Fresh (b) 1,445,902 900,096 636,147 2,982,145 Non-food (c) 1,247,964 402,450 501,642 2,152,056 Fuel — 148,779 — 148,779 Other 79,307 1,383 6,657 87,347 Total $ 3,982,609 $ 2,381,349 $ 2,172,107 $ 8,536,065 Type of customers: Individuals $ — $ 2,380,524 $ — $ 2,380,524 Manufacturers, brokers and distributors 179,872 — 2,065,919 2,245,791 Retailers 3,739,316 — 99,531 3,838,847 Other 63,421 825 6,657 70,903 Total $ 3,982,609 $ 2,381,349 $ 2,172,107 $ 8,536,065 (a) Center store includes dry grocery, frozen and beverages. (b) Fresh includes produce, meat, dairy, deli, bakery, prepared proteins, seafood and floral. (c) Non-food includes general merchandise, health and beauty care, tobacco products and pharmacy. |
Summary of Accounts and Notes Receivable | Accounts and notes receivable are comprised of the following: January 1, January 2, (In thousands) 2022 2021 Customer notes receivable $ 1,915 $ 2,565 Customer accounts receivable 328,093 337,276 Other receivables 36,092 23,955 Allowance for credit losses (4,414 ) (6,232 ) Net current accounts and notes receivable $ 361,686 $ 357,564 Long-term notes receivable $ 7,061 $ 9,299 Allowance for credit losses (731 ) (371 ) Net long-term notes receivable $ 6,330 $ 8,928 |
Summary of Changes in Allowance for Credit Losses | Changes to the balance of the allowance for credit losses were as follows: Allowance for Credit Losses Current Accounts Long-term (In thousands) and Notes Receivable Notes Receivable Total Balance at January 2, 2021 $ 6,232 $ 371 $ 6,603 Changes in credit loss estimates (1,101 ) 360 (741 ) Write-offs charged against the allowance (717 ) — (717 ) Balance at January 1, 2022 $ 4,414 $ 731 $ 5,145 Allowance for Credit Losses Current Accounts Long-term (In thousands) and Notes Receivable Notes Receivable Total Balance at December 28, 2019 $ 2,739 $ 233 $ 2,972 Impact of adoption of new credit loss standard (ASU 2016-13) 1,911 259 2,170 Provision for expected credit losses 1,966 — 1,966 Write-offs charged against the allowance (384 ) (121 ) (505 ) Balance at January 2, 2021 $ 6,232 $ 371 $ 6,603 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consist of the following: January 1, January 2, (In thousands) 2022 2021 Land and improvements $ 92,416 $ 89,871 Buildings and improvements 580,317 556,518 Equipment 714,680 668,872 Total property and equipment 1,387,413 1,315,261 Less accumulated depreciation and amortization 810,054 738,202 Property and equipment, net $ 577,359 $ 577,059 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Components of Amortized Intangible Assets, Includes in Intangible Assets, Net | The following table reflects the components of amortized intangible assets, included in “Intangible assets, net” on the consolidated balance sheets: January 1, 2022 January 2, 2021 Gross Gross Carrying Accumulated Carrying Accumulated (In thousands) Amount Amortization Amount Amortization Non-compete agreements $ 4,287 $ 2,792 $ 4,287 $ 2,075 Pharmacy customer prescription lists 4,233 2,095 4,233 1,521 Customer relationships 57,937 18,822 57,937 15,160 Trade names 1,068 987 1,068 837 Franchise fees 1,110 605 1,081 497 Total $ 68,635 $ 25,301 $ 68,606 $ 20,090 |
Summary of Weighted Average Amortization Periods for Amortizable Intangible Assets | The weighted average amortization periods for amortizable intangible assets as of January 1, 2022 are as follows: Non-compete agreements 6.1 years Pharmacy customer prescription lists 8.0 years Customer relationships 16.4 years Trade names 5.0 years Franchise fees 10.0 years |
Schedule of Estimated Amortization Expense for Future | Estimated amortization expense for each of the five succeeding fiscal years is as follows: (In thousands) 2022 2023 2024 2025 2026 Amortization expense $ 4,915 $ 4,810 $ 4,559 $ 4,162 $ 3,647 |
Summary of Changes in Carrying Amount of Indefinite-Lived Intangible Assets | Changes in the carrying amount of indefinite-lived intangible assets were as follows: (In thousands) Indefinite-lived Intangible Assets Balance at December 28, 2019 $ 76,256 Impairment (Note 5) (8,630 ) Balance at January 2, 2021 and January 1, 2022 $ 67,626 |
Restructuring, Asset Impairme_2
Restructuring, Asset Impairment and Other Charges (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Restructuring And Related Activities [Abstract] | |
Schedule of Activity of Reserves for Closed Properties | The following table provides the activity of reserves for closed properties for 2021, 2020 and 2019. Reserves for closed properties recorded in the consolidated balance sheets are included in “Other accrued expenses” in Current liabilities and “Other long-term liabilities” in Long-term liabilities based on when the obligations are expected to be paid. Lease and (In thousands) Ancillary Costs Severance Total Balance at December 29, 2018 $ 16,386 $ - $ 16,386 Provision for closing charges 1,299 447 1,746 Reclassification of lease liabilities (8,177 ) — (8,177 ) Lease termination adjustments (62 ) — (62 ) Changes in estimates (635 ) — (635 ) Accretion expense 271 — 271 Payments (4,111 ) (430 ) (4,541 ) Balance at December 28, 2019 4,971 17 4,988 Provision for closing charges 325 2,205 2,530 Changes in estimates 26 (228 ) (202 ) Accretion expense 121 — 121 Payments (2,094 ) (1,880 ) (3,974 ) Balance at January 2, 2021 3,349 114 3,463 Provision for closing charges 1,509 — 1,509 Provision for severance — 362 362 Lease termination adjustments (220 ) — (220 ) Changes in estimates 2 — 2 Accretion expense 91 — 91 Payments (1,607 ) (476 ) (2,083 ) Balance at January 1, 2022 $ 3,124 $ - $ 3,124 |
Schedule of Restructuring Asset Impairment and Other Charges | Restructuring, asset impairment and other charges included in the consolidated statements of earnings consisted of the following: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Asset impairment charges (a) $ 3,783 $ 20,148 $ 17,925 Charge on customer advance (b) — — 2,351 Provision for closing charges 1,509 325 1,299 Gain on sales of assets related to closed facilities (c) (2,607 ) (31 ) (8,532 ) Provision for severance for closed sites (d) 362 2,205 447 Other costs associated with distribution center and store closings (e) 636 1,953 2,135 Changes in estimates (f) 2 (202 ) (635 ) Lease termination adjustments (g) (799 ) — (1,940 ) Total $ 2,886 $ 24,398 $ 13,050 (a) Asset impairment charges in the current year were incurred primarily in the Retail segment and relate to current year store closures and previously closed locations, as well as site closures in connection with the Company’s supply chain transformation initiatives within the Food Distribution segment. In 2020, asset impairment charges of $9.1 million were incurred in the Food Distribution segment related to the evaluation of the expected net proceeds from the Fresh Kitchen facility, the exit of the Fresh Cut business, and the sale of equipment related to both Fresh Cut and Fresh Kitchen. Charges of $8.6 million primarily relate to the abandonment of a tradename related to the integration of the Company’s transportation operations. Additionally, certain of the Company’s Retail assets were determined not to be recoverable based on management’s intention to close stores or sell assets related to previously closed stores, resulting in impairment charges totaling $2.1 million. In 2019, asset impairment charges primarily related to the Food Distribution segment, including the Caito trade name. (b) The charge on customer advance relates to an advance to an independent retailer customer which was not fully recoverable. (c) In 2021, gain on sales of assets primarily relate to sales of pharmacy customer lists, equipment, and real estate associated with the store closings in the Retail segment, in addition to gains on sale of vacant land in the Military segment. 2019 activity primarily related to the sale of a closed Food Distribution warehouse. (d) Severance in the current year relates to closures in the Food Distribution segment as well as Retail store closings. In 2020, severance was related to the exit of the Fresh Cut business within the Food Distribution segment. ( e ) Other costs associated with distribution center and store closings represent additional costs, including labor, inventory transfer and other administrative costs, incurred in connection with restructuring operations in the Food Distribution and Retail segments. ( f ) Changes in estimates primarily relate to revised estimates for turnover and other lease ancillary costs associated with previously closed locations, which were generally lower than the initial estimates at certain properties in all years presented. ( g ) Lease termination adjustments represent the benefits recognized in connection with early lease buyouts for previously closed sites. Payments made in connection with lease buyouts were applied to reserves for closed properties and lease liabilities, as applicable. |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Debt Disclosure [Abstract] | |
Summary of Debt Instruments | Long-term debt consists of the following: January 1, January 2, (In thousands) 2022 2021 Senior secured revolving credit facility, due December 2023 $ 359,640 $ 440,177 Finance lease obligations (Note 9) 43,142 43,632 Other, 4.35% - 4.36%, due 2023 - 2026 5,617 6,707 Total debt - Principal 408,399 490,516 Unamortized debt issuance costs (2,675 ) (4,072 ) Total debt - Principal 405,724 486,444 Less current portion 6,334 5,135 Total long-term debt and finance lease liabilities $ 399,390 $ 481,309 |
Schedule of Interest Rate Terms for Each of Aforementioned Tranches | Borrowings under the as either Eurodollar loans or Base Rate loans, . The interest rate terms for each of the aforementioned tranches are as follows: Credit Outstanding as of Facility January 1, 2022 Tranche (In thousands) Eurodollar Rate Base Rate Tranche A $ 328,940 LIBOR plus 1.25% to 1.50% Greater of: (i) the Federal Funds Rate plus 0.75% to 1.00% (ii) the Eurodollar Rate plus 2.25% to 2.50% (iii) the prime rate plus 0.25% to 0.50% Tranche A-1 $ 30,700 LIBOR plus 2.25% to 2.50% Greater of: (i) the Federal Funds Rate plus 1.75% to 2.00% (ii) the Eurodollar Rate plus 2.25% to 2.50% (iii) the prime rate plus 1.25% to 1.50% |
Schedule of Aggregate Annual Maturities and Scheduled Payments of Long-term Debt | At January 1, 2022, aggregate annual maturities and scheduled payments of long-term debt are as follows: (In thousands) 2022 2023 2024 2025 2026 Thereafter Total Total borrowings $ 6,334 $ 364,848 $ 5,061 $ 4,471 $ 5,691 $ 21,994 $ 408,399 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Book Value and Estimated Fair Value of Debt Instruments, Excluding Debt Financing Costs | At January 1, 2022 and January 2, 2021, the book value and estimated fair value of the Company’s debt instruments, excluding debt financing costs, were as follows: January 1, January 2, (In thousands) 2022 2021 Book value of debt instruments, excluding debt financing costs: Current maturities of long-term debt and finance lease liabilities $ 6,334 $ 5,135 Long-term debt and finance lease liabilities 402,065 485,381 Total book value of debt instruments 408,399 490,516 Fair value of debt instruments, excluding debt financing costs 414,667 497,941 Excess of fair value over book value $ 6,268 $ 7,425 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Unions Representing Employees and the Expiration Date for Agreements | The facilities covered by CBAs, the unions representing the covered associates and the expiration dates for each existing CBA are provided in the following table: Distribution Center Locations Union Locals Expiration Dates Norfolk, Virginia IBT 822 April 2022 Columbus, Georgia IBT 528 September 2022 Grand Rapids, Michigan IBT 406 October 2022 Landover, Maryland IBT 639 February 2024 Lima, Ohio Warehouse IBT 908 January 2025 Lima, Ohio Drivers IBT 908 January 2025 Bellefontaine, Ohio GTL Truck Lines, Inc. IBT 908 February 2025 Bellefontaine, Ohio General Merchandise Service Division IBT 908 February 2025 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Leases [Abstract] | |
Components of Lease Cost | The components of lease cost were as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Operating lease cost $ 58,410 $ 55,955 $ 54,798 Short-term lease cost 8,469 8,698 7,131 Finance lease cost Amortization of assets 4,645 4,045 3,330 Interest on lease liabilities 3,005 3,194 3,084 Variable rent 162 333 10 Sublease income (4,356 ) (3,994 ) (4,014 ) Total net lease cost $ 70,335 $ 68,231 $ 64,339 |
Schedule of Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: January 1, January 2, (In thousands) 2022 2021 Operating leases: Operating lease assets $ 283,040 $ 289,173 Current portion of operating lease liabilities $ 47,845 $ 45,786 Noncurrent operating lease liabilities 266,701 278,859 Total operating lease liabilities $ 314,546 $ 324,645 Finance leases: Property and equipment, at cost $ 56,591 $ 53,932 Accumulated amortization (18,707 ) (14,971 ) Property and equipment, net $ 37,884 $ 38,961 Current portion of finance lease liabilities $ 5,359 $ 4,030 Noncurrent finance lease liabilities 37,783 39,602 Total finance lease liabilities $ 43,142 $ 43,632 Weighted average remaining lease term (in years): Operating leases 7.8 8.4 Finance leases 10.2 11.3 Weighted average discount rate: Operating leases 5.2 % 5.5 % Finance leases 7.1 % 7.3 % |
Schedule of Supplemental Cash Flow and Other Information Related to Leases | Supplemental cash flow and other information related to leases was as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows used for operating leases $ 62,590 $ 62,008 $ 62,455 Operating cash flows used for finance leases 3,005 3,173 3,047 Financing cash flows used for finance leases 4,738 4,075 5,453 Lease assets obtained in exchange for lease liabilities: Total operating lease liabilities 36,867 62,500 34,346 Total finance lease liabilities 4,238 3,602 3,679 |
Schedule of Maturities of Lease Liabilities Under Operating and Finance Leases | The Company’s total future lease commitments under operating and finance leases in effect at January 1, 2022 are as follows: Operating Finance (In thousands) Leases Leases Total 2022 $ 62,665 $ 8,181 $ 70,846 2023 58,425 6,835 65,260 2024 50,715 6,334 57,049 2025 45,985 5,859 51,844 2026 40,005 5,268 45,273 Thereafter 128,931 28,186 157,117 Total 386,726 60,663 447,389 Less interest 72,180 17,521 89,701 Present value of lease liabilities 314,546 43,142 357,688 Less current portion 47,845 5,359 53,204 Long-term lease liabilities $ 266,701 $ 37,783 $ 304,484 |
Property and Equipment Owned Assets Leased to Others | Owned assets, included in property and equipment, which are leased to others are as follows: January 1, January 2, (In thousands) 2022 2021 Land and improvements $ 8,681 $ 7,141 Buildings 40,900 27,864 Owned assets leased to others 49,581 35,005 Less accumulated amortization and depreciation 15,944 11,190 Net owned assets leased to others $ 33,637 $ 23,815 |
Future Minimum Rentals to be Received Under Lease Obligations | Future minimum rentals to be received under leases in effect at January 1, 2022 are as follows: (In thousands) 2022 2023 2024 2025 2026 Thereafter Total Owned property $ 6,054 $ 5,794 $ 4,875 $ 3,775 $ 3,423 $ 25,064 $ 48,985 Leased property 3,814 3,315 2,630 1,820 969 4,063 16,611 Total $ 9,868 $ 9,109 $ 7,505 $ 5,595 $ 4,392 $ 29,127 $ 65,596 |
Associate Retirement Plans (Tab
Associate Retirement Plans (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Compensation And Retirement Disclosure [Abstract] | |
Schedule of Benefit Obligations, Pension & Other Long-Term Liabilities | The following tables set forth the actuarial present value of benefit obligations, funded status, changes in benefit obligations and plan assets, weighted average assumptions used in actuarial calculations and components of net periodic benefit costs for the Company’s significant pension and postretirement benefit plans, excluding multi-employer plans. The prepaid, current accrued, and noncurrent accrued benefit costs associated with pension and postretirement benefits are reported in “Prepaid expenses and other current assets,” “Other assets, net,” “Accrued payroll and benefits,” and “Other long-term liabilities,” respectively, in the consolidated balance sheets. Pension Plan Retiree Medical Plan January 1, January 2, January 1, January 2, (In thousands, except percentages) 2022 2021 2022 2021 Funded Status Projected/Accumulated benefit obligation: Balance at beginning of year $ — $ — $ 11,909 $ 10,783 Service cost — — 187 182 Interest cost — — 226 303 Actuarial (gain) loss — — (849 ) 1,027 Benefits paid — — (442 ) (386 ) Balance at end of year $ — $ — $ 11,031 $ 11,909 Fair value of plan assets: Balance at beginning of year $ 2,689 $ 1,496 $ — $ — Refund from annuity provider — 1,193 — — Company contributions — — 442 386 Excess asset transfer (2,689 ) — — — Benefits paid — — (442 ) (386 ) Balance at end of year $ — $ 2,689 $ — $ — Funded (unfunded) status $ — $ 2,689 $ (11,031 ) $ (11,909 ) Components of net amount recognized in consolidated balance sheets: Current assets $ — $ 2,689 $ — $ — Current liabilities — — (496 ) (471 ) Noncurrent liabilities — — (10,535 ) (11,438 ) Net asset (liability) $ — $ 2,689 $ (11,031 ) $ (11,909 ) Amounts recognized in AOCI: Net actuarial loss $ — $ — $ 1,653 $ 2,732 Accumulated other comprehensive loss $ — $ — $ 1,653 $ 2,732 Weighted average assumptions at measurement date: Discount rate N/A N/A 2.90% 2.57% Ultimate health care cost trend rate N/A N/A 4.50% 4.50% |
Components of Net Periodic Pension and Postretirement Benefit Cost (Income) | Pension Plan Retiree Medical Plan (In thousands, except percentages) 2021 2020 2019 2021 2020 2019 Components of net periodic benefit (income) cost: Service cost $ — $ — $ — $ 187 $ 182 $ 171 Interest cost — — 1,134 226 303 375 Amortization of prior service cost — — — — — (92 ) Expected return on plan assets — — (714 ) — — — Gain on reconciliation with annuity provider — (1,193 ) — — — — Recognized actuarial net loss — — 691 230 104 — Net periodic benefit (income) expense $ — $ (1,193 ) $ 1,111 $ 643 $ 589 $ 454 Settlement expense — — 18,244 — — — Total net periodic benefit (income) cost $ — $ (1,193 ) $ 19,355 $ 643 $ 589 $ 454 Weighted average assumptions used to determine net periodic benefit (income) cost: Discount rate N/A N/A 3.48% 2.57% 3.26% 4.41% Expected return on plan assets N/A N/A 2.80% N/A N/A N/A |
Assumed Current Healthcare Cost Trend Rates Used to Determine Net Periodic Benefit Cost (Income) | Assumed healthcare cost trend rates have a significant effect on the amounts reported for the Retiree Medical Plan. Assumed current healthcare cost trend rates used to determine net periodic benefit cost were as follows: 2021 2020 2019 Post-65 7.00% 7.50% 7.50% |
Estimated Benefit Payments Expected to be Paid | The following estimated benefit payments are expected to be paid in the following fiscal years: (In thousands) 2022 2023 2024 2025 2026 2027 to 2031 Post-retirement medical benefits $ 495 $ 530 $ 559 $ 584 $ 610 $ 3,283 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income or Loss (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Equity [Abstract] | |
Schedule Of Accumulated Other Comprehensive Income (Loss) | Changes in AOCI are as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Balance at beginning of the year, net of tax $ (2,276 ) $ (1,600 ) $ (15,759 ) Other comprehensive income (loss) before reclassifications 837 (1,086 ) 219 Income tax (expense) benefit (203 ) 268 (55 ) Other comprehensive income (loss), net of tax, before reclassifications 634 (818 ) 164 Amortization of amounts included in net periodic benefit cost (a) 250 191 18,480 Income tax expense (b) (63 ) (49 ) (4,485 ) Amounts reclassified out of AOCI, net of tax 187 142 13,995 Other comprehensive income (loss), net of tax 821 (676 ) 14,159 Balance at end of the year, net of tax $ (1,455 ) $ (2,276 ) $ (1,600 ) (a) Reclassified from AOCI into Other, net, or Selling, general and administrative expense. Amounts include amortization of net actuarial loss, amortization of prior service cost, and settlement expense totaling $0.1 million and $18.4 million in 2020 and 2019, respectively. There was no settlement expense in 2021. (b) Reclassified from AOCI into Income tax expense (benefit). |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Provision for Continuing Operations | The income tax provision for continuing operations is made up of the following components: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Current income tax expense (benefit): Federal $ 5,436 $ 1,844 $ (899 ) State 1,867 5,149 817 Total current income tax expense (benefit) 7,303 6,993 (82 ) Deferred income tax expense (benefit): Federal 14,877 5,637 126 State 2,726 (3,180 ) (2,386 ) Total deferred income tax expense (benefit) 17,603 2,457 (2,260 ) Total income tax expense (benefit) $ 24,906 $ 9,450 $ (2,342 ) |
Reconciliation of Statutory Federal Rate to Effective Rate | A reconciliation of the statutory federal rate to the effective rate is as follows: 2021 2020 2019 (52 Weeks) (53 Weeks) (52 Weeks) Federal statutory income tax rate 21.0 % 21.0 % 21.0 % Stock compensation 0.0 0.7 7.2 Non-deductible expenses 1.7 1.9 0.8 Change in tax contingencies 0.0 0.9 — Charitable product donations (0.1 ) (0.2 ) (5.6 ) Other, net (0.3 ) (1.0 ) (2.4 ) Federal loss carryback (a) — (11.9 ) — State taxes, net of federal income tax benefit 3.8 1.7 (36.1 ) Tax credits (0.9 ) (2.0 ) (50.4 ) Effective income tax rate 25.2 % 11.1 % (65.5 ) % (a) On March 27, 2020, the U.S. government enacted tax legislation to provide economic stimulus and support businesses and individuals during the COVID-19 pandemic, referred to as the Coronavirus Aid, Relief and Economic Security (“CARES”) Act. In connection with the CARES Act, the Company recorded net discrete income tax benefits of $10.1 million in 2020 associated with the additional deductibility of certain expenses combined with provisions which enable companies to carry back tax losses to years prior to the enactment of the Tax Cuts and Jobs Act (“Tax Reform”), where the federal statutory income tax rate was 35%. As a result of carrying back losses to previous tax years, the Company recorded $0.8 million in expense to reinstate tax contingencies which had previously expired, included in the “Change in tax contingencies” line in the table above. |
Summary of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities resulting from temporary differences as of January 1, 2022 and January 2, 2021 are as follows: January 1, January 2, (In thousands) 2022 2021 Deferred tax assets: Employee benefits $ 25,358 $ 33,115 Accrued workers' compensation 1,943 1,834 Allowance for doubtful accounts 1,317 1,688 Intangible assets — 2,203 Restructuring 333 377 Deferred revenue 2,083 1,679 Stock warrant 1,258 1,896 Lease liabilities 85,781 87,606 Accrued insurance 893 964 State net operating loss carryforwards (a) 6,576 6,175 All other 2,338 2,481 Total deferred tax assets 127,880 140,018 Deferred tax liabilities: Property and equipment 47,240 47,472 Lease assets 76,589 77,673 Inventory 35,382 33,531 Goodwill 30,044 26,025 Intangible assets 187 — All other 2,130 1,045 Total deferred tax liabilities 191,572 185,746 Net deferred tax liability $ 63,692 $ 45,728 (a) As of January 1, 2022, the Company’s state net operating loss carryforwards in various taxing jurisdictions expire in tax years 2022 through 2041 if not utilized. |
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: (In thousands) 2021 2020 Balance at beginning of year $ 1,317 $ 1,425 Gross increases - tax positions taken in prior years 84 910 Gross decreases - tax positions taken in prior years (11 ) (1,000 ) Lapsed statutes of limitations (170 ) (18 ) Balance at end of year $ 1,220 $ 1,317 |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity | There was no stock option activity in 2021 or 2020. The following table summarizes stock option activity for 2019: Weighted Weighted Average Average Remaining Aggregate Shares Exercise Contractual Intrinsic Value Under Options Price Life Years (in thousands) Options outstanding and exercisable at December 29, 2018 13,052 $ 13.87 0.37 $ 39 Exercised (13,052 ) 13.87 51 Options outstanding and exercisable at December 28, 2019 — $ — — $ — |
Summary of Restricted Stock Activity | The following table summarizes restricted stock activity for 2021, 2020 and 2019: Weighted Average Grant-Date Shares Fair Value Outstanding and nonvested at December 29, 2018 822,819 $ 23.07 Granted 488,063 17.84 Vested (346,721 ) 23.47 Forfeited (35,428 ) 20.11 Outstanding and nonvested at December 28, 2019 928,733 20.28 Granted 521,566 15.96 Vested (396,219 ) 21.65 Forfeited (80,132 ) 16.48 Outstanding and nonvested at January 2, 2021 973,948 17.72 Granted 562,653 18.96 Vested (388,403 ) 19.81 Forfeited (116,361 ) 18.19 Outstanding and nonvested at January 1, 2022 1,031,837 $ 17.56 |
Summary of Allocation of Stock-Based Compensation Expense in Consolidated Statements of Operations | Share-based payment expense recognized and included in “Selling, general and administrative expenses” in the consolidated statements of earnings, and related tax benefits were as follows: 2021 2020 2019 (In thousands) (52 Weeks) (53 Weeks) (52 Weeks) Restricted stock $ 6,868 $ 6,299 $ 7,312 Tax benefits (1,744 ) (839 ) (1,303 ) Stock-based compensation stock expense, net of tax $ 5,124 $ 5,460 $ 6,009 |
Summary of Assumptions Made for Purposes of Estimating Fair Value under Lattice Model for Warrants | Non-cash share-based payment expense associated with the stock warrant is recognized as vesting conditions are achieved, based on the grant date fair value of the warrant. The fair value of the warrant was determined as of the grant date in accordance with ASC 718, Compensation – Stock Compensation Selected Assumption Methodology Risk free interest rate 0.56% Derived from the Constant Maturity Treasury Rate with maturity matching time to expiration of the Warrants Volatility 47.00% Based on historical equity volatility of Company stock over a period matching the assumed warrants term Dividend yield 4.57% Based on the historical dividends paid by the Company |
Summary of Stock Warrant Activity | The following table summarizes stock warrant activity for 2021 and 2020: Warrant Outstanding and nonvested at December 28, 2019 — Granted 5,437,272 Vested (1,087,455 ) Outstanding and nonvested at January 2, 2021 4,349,817 Vested (434,984 ) Outstanding and nonvested at January 1, 2022 3,914,833 |
Summary of Stock-Based Payment Expense Recognized Included as a Reduction of Net Sales in Consolidated Statements of Operations | Share-based payment expense recognized, included as a reduction of “Net sales” in the consolidated statements of earnings, and related tax benefits were as follows: 2021 2020 (In thousands) (52 Weeks) (53 Weeks) Warrant expense $ 1,958 $ 6,549 Tax benefits (152 ) (2,051 ) Warrant expense, net of tax $ 1,806 $ 4,498 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Cash Flow Information | Supplemental cash flow information is as follows: 2021 2020 2019 (In thousands) (53 Weeks) (52 Weeks) (52 Weeks) Non-cash investing activities: Capital expenditures included in accounts payable $ 15,277 $ 15,984 $ 16,111 Non-cash acquisition — — 5,363 Non-cash financing activities: Dividends declared but unpaid 485 99 6,907 Other supplemental cash flow information: Cash paid for interest 12,245 18,448 33,236 Income tax (refunds) payments (10,110 ) 18,717 (9,680 ) |
Reporting Segment Information (
Reporting Segment Information (Tables) | 12 Months Ended |
Jan. 01, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Operating Segment | The following tables set forth information about the Company by reporting segment: Food (In thousands) Distribution Retail Military Total 2021 (52 Weeks) Net sales to external customers $ 4,456,800 $ 2,581,286 $ 1,892,953 $ 8,931,039 Inter-segment sales 1,095,647 827 — 1,096,474 Acquisition and integration — 708 — 708 Restructuring and asset impairment, net 795 2,459 (368 ) 2,886 Depreciation and amortization 33,023 46,224 13,464 92,711 Operating earnings (loss) 59,489 66,971 (14,260 ) 112,200 Capital expenditures 31,847 33,407 14,173 79,427 2020 (53 Weeks) Net sales to external customers $ 4,577,178 $ 2,637,917 $ 2,133,390 $ 9,348,485 Inter-segment sales 1,125,112 359 — 1,125,471 Acquisition and integration — 421 — 421 Restructuring and asset impairment, net 21,085 3,313 — 24,398 Depreciation and amortization 32,289 45,199 12,388 89,876 Operating earnings (loss) 45,962 66,359 (9,915 ) 102,406 Capital expenditures 25,055 33,894 8,349 67,298 2019 (52 Weeks) Net sales to external customers $ 3,982,609 $ 2,381,349 $ 2,172,107 $ 8,536,065 Inter-segment sales 976,372 — — 976,372 Acquisition and integration (122 ) 1,559 — 1,437 Restructuring and asset impairment, net 14,844 (1,794 ) — 13,050 Depreciation and amortization 33,396 43,171 11,834 88,401 Operating earnings (loss) 47,416 18,842 (9,316 ) 56,942 Capital expenditures 28,385 40,135 6,295 74,815 January 1, January 2, (In thousands) 2022 2021 Total Assets Food Distribution $ 1,092,851 $ 1,112,961 Retail 747,342 763,876 Military 366,589 400,554 Total $ 2,206,782 $ 2,277,391 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies and Basis of Presentation - Additional Information (Detail) - USD ($) | Dec. 29, 2019 | Dec. 30, 2018 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 |
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Revenue recognition performance obligation on international shipments | $ 0 | ||||
Allowance for doubtful accounts | 5,100,000 | $ 6,600,000 | |||
Bad debt expenses | $ (300,000) | $ 2,700,000 | $ 1,500,000 | ||
Inventories valued on LIFO method | 84.00% | 81.40% | |||
Under Value of carrying value of inventories than its replacement value | $ 81,800,000 | $ 63,100,000 | |||
Effect on income due to change in LIFO valuation on liquidation | 2,100,000 | 1,400,000 | $ 1,500,000 | ||
Capitalized computer software | 42,600,000 | 38,500,000 | |||
Implementation costs of cloud computing arrangement | 20,600,000 | 13,900,000 | |||
Workers' compensation liability | 500,000 | ||||
Health care insurance liability | 600,000 | ||||
Automobile insurance liability | 1,000,000 | ||||
Current portion of self insurance liability | 11,900,000 | 10,000,000 | |||
Long term portion of self insurance liability | $ 7,500,000 | $ 6,700,000 | |||
Stock warrant, outstanding and nonvested | 3,914,833 | 4,349,817 | 0 | ||
Issuance of preferred stock | 10,000,000 | 10,000,000 | |||
Preferred stock, shares outstanding | 0 | 0 | |||
Advertising expenses | $ 37,700,000 | $ 36,600,000 | $ 39,300,000 | ||
Operating lease assets | 283,040,000 | 289,173,000 | |||
Operating lease liabilities | 314,546,000 | 324,645,000 | |||
Retained earnings | $ 290,541,000 | 245,506,000 | |||
Accounting Standards Update 2016-02 [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Operating lease assets | $ 241,800,000 | ||||
Operating lease liabilities | 292,300,000 | ||||
Retained earnings | 26,900,000 | ||||
Deferred income tax | $ 8,500,000 | ||||
Accounting Standards Update 2016-13 [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Retained earnings | $ 2,200,000 | ||||
Deferred income tax | 600,000 | ||||
Transition adjustment due to adoption of new credit loss standard | 2,170,000 | ||||
Accounting Standards Update 2016-13 [Member] | Current Accounts and Notes Receivable [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Transition adjustment due to adoption of new credit loss standard | 1,900,000 | 1,911,000 | |||
Accounting Standards Update 2016-13 [Member] | Long Term Notes Receivable [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Transition adjustment due to adoption of new credit loss standard | $ 300,000 | $ 259,000 | |||
Restricted Stock Awards [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Weighted average stock awards not included in EPS calculations | 13,614 | 76,654 | |||
Stock Warrants [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Weighted average stock awards not included in EPS calculations | 13,614 | 76,654 | |||
Minimum [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Percentage of revenues recognized at a point in time | 99.00% | ||||
Cloud computing arrangement, options to extend term | 3 years | ||||
Reserved expenses paid over remaining lease term | 1 year | ||||
Maximum [Member] | |||||
Significant Accounting Policies And Basis Of Presentation [Line Items] | |||||
Cloud computing arrangement, options to extend term | 8 years | ||||
Reserved expenses paid over remaining lease term | 7 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies and Basis of Presentation - Property And Equipment Estimated Useful Lives (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Land Improvements [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 15 years |
Minimum [Member] | Buildings and Improvements [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 15 years |
Minimum [Member] | Equipment [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Maximum [Member] | Buildings and Improvements [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 40 years |
Maximum [Member] | Equipment [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 15 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies and Basis of Presentation - Summary of Changes in SpartanNash's Self-Insurance Liability (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Payables And Accruals [Abstract] | |||
Balance at beginning of year | $ 16,737 | $ 16,780 | $ 14,291 |
Expenses | 72,101 | 62,999 | 69,253 |
Acquisitions | 1,894 | ||
Claim payments, net of employee contributions | (69,393) | (63,042) | (68,658) |
Balance at end of year | $ 19,445 | $ 16,737 | $ 16,780 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies and Basis of Presentation - Schedule of Computation of Basic and Diluted EPS For Continuing Operations (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Numerator: | |||
Earnings from continuing operations | $ 73,751 | $ 75,914 | $ 5,917 |
Adjustment for earnings attributable to participating securities | (1,399) | (1,871) | (149) |
Earnings from continuing operations used in calculating earnings per share | $ 72,352 | $ 74,043 | $ 5,768 |
Denominator: | |||
Weighted average shares outstanding, including participating securities | 35,639 | 35,861 | 36,271 |
Adjustment for participating securities | (676) | (884) | (912) |
Shares used in calculating basic earnings per share | 34,963 | 34,977 | 35,359 |
Shares used in calculating diluted earnings per share | 35,267 | 34,978 | 35,359 |
Basic earnings per share from continuing operations | $ 2.07 | $ 2.12 | $ 0.16 |
Diluted earnings per share from continuing operations | $ 2.05 | $ 2.12 | $ 0.16 |
Stock Warrants [Member] | |||
Denominator: | |||
Effect of dilutive restricted stock awards | 225 | ||
Restricted Stock Awards [Member] | |||
Denominator: | |||
Effect of dilutive restricted stock awards | 79 | 1 |
Revenue - Additional Informatio
Revenue - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Disaggregation Of Revenue [Line Items] | |||
Revenue recognition performance obligation | $ 0 | ||
Revenue, remaining performance obligation, optional exemption, performance obligation | true | ||
Revenue recognition contract terms | 30 days | ||
Contract assets | $ 0 | ||
Recognized bad debt expense | 400,000 | $ 700,000 | |
Present value of potential obligation for sub-lease | 6,000,000 | ||
Assigned sublease obligation | $ 10,000,000 | ||
Maximum [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Revenue recognition contract terms | 1 year | ||
Loan repayable period | 10 years | ||
Minimum [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Loan repayable period | 5 years | ||
Customer Concentration Risk [Member] | Net Sales [Member] | Food Distribution [Member] | Customer One [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Percentage of consolidated net sales | 17.00% | 17.00% | 17.00% |
Customer Concentration Risk [Member] | Net Sales [Member] | Food Distribution [Member] | Other Customers [Member] | Maximum [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Percentage of consolidated net sales | 10.00% | 10.00% | 10.00% |
Revenue - Summary of Informatio
Revenue - Summary of Information about Disaggregated Revenue of Reportable Segments (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 8,931,039 | $ 9,348,485 | $ 8,536,065 |
Center store [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 3,421,083 | 3,659,500 | 3,165,738 |
Fresh [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 3,019,917 | 3,175,103 | 2,982,145 |
Non-food [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 2,211,101 | 2,296,282 | 2,152,056 |
Other Products [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 121,702 | 111,387 | 87,347 |
Fuel [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 157,236 | 106,213 | 148,779 |
Individuals Customer [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 2,580,277 | 2,636,993 | 2,380,524 |
Manufacturers, brokers and distributors [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,817,724 | 2,065,075 | 2,245,791 |
Retailers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 4,474,228 | 4,559,911 | 3,838,847 |
Other Customers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 58,810 | 86,506 | 70,903 |
Food Distribution [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 4,456,800 | 4,577,178 | 3,982,609 |
Food Distribution [Member] | Center store [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,499,994 | 1,519,279 | 1,209,436 |
Food Distribution [Member] | Fresh [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,474,440 | 1,550,813 | 1,445,902 |
Food Distribution [Member] | Non-food [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,372,376 | 1,407,122 | 1,247,964 |
Food Distribution [Member] | Other Products [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 109,990 | 99,964 | 79,307 |
Food Distribution [Member] | Manufacturers, brokers and distributors [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 54,453 | 75,827 | 179,872 |
Food Distribution [Member] | Retailers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 4,354,897 | 4,425,665 | 3,739,316 |
Food Distribution [Member] | Other Customers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 47,450 | 75,686 | 63,421 |
Retail [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 2,581,286 | 2,637,917 | 2,381,349 |
Retail [Member] | Center store [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,001,920 | 1,097,013 | 928,641 |
Retail [Member] | Fresh [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 992,897 | 1,013,657 | 900,096 |
Retail [Member] | Non-food [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 427,872 | 419,507 | 402,450 |
Retail [Member] | Other Products [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,361 | 1,527 | 1,383 |
Retail [Member] | Fuel [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 157,236 | 106,213 | 148,779 |
Retail [Member] | Individuals Customer [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 2,580,277 | 2,636,993 | 2,380,524 |
Retail [Member] | Other Customers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,009 | 924 | 825 |
Military [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,892,953 | 2,133,390 | 2,172,107 |
Military [Member] | Center store [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 919,169 | 1,043,208 | 1,027,661 |
Military [Member] | Fresh [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 552,580 | 610,633 | 636,147 |
Military [Member] | Non-food [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 410,853 | 469,653 | 501,642 |
Military [Member] | Other Products [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 10,351 | 9,896 | 6,657 |
Military [Member] | Manufacturers, brokers and distributors [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 1,763,271 | 1,989,248 | 2,065,919 |
Military [Member] | Retailers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 119,331 | 134,246 | 99,531 |
Military [Member] | Other Customers [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 10,351 | $ 9,896 | $ 6,657 |
Revenue - Summary of Accounts a
Revenue - Summary of Accounts and Notes Receivable (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Receivables [Abstract] | ||
Customer notes receivable | $ 1,915 | $ 2,565 |
Customer accounts receivable | 328,093 | 337,276 |
Other receivables | 36,092 | 23,955 |
Allowance for credit losses | (4,414) | (6,232) |
Net current accounts and notes receivable | 361,686 | 357,564 |
Long-term notes receivable | 7,061 | 9,299 |
Allowance for credit losses | (731) | (371) |
Net long-term notes receivable | $ 6,330 | $ 8,928 |
Revenue - Summary of Changes in
Revenue - Summary of Changes in Allowance for Credit Losses (Detail) - USD ($) $ in Thousands | Dec. 29, 2019 | Jan. 01, 2022 | Jan. 02, 2021 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Beginning balance | $ 2,972 | $ 6,603 | $ 2,972 |
Provision for expected and estimates credit losses | (741) | 1,966 | |
Write-offs charged against the allowance | (717) | (505) | |
Ending balance | 5,145 | 6,603 | |
ASU 2016-13 [Member] | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Impact of adoption of new credit loss standard (ASU 2016-13) | 2,170 | ||
Current Accounts and Notes Receivable [Member] | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Beginning balance | 2,739 | 6,232 | 2,739 |
Provision for expected and estimates credit losses | (1,101) | 1,966 | |
Write-offs charged against the allowance | (717) | (384) | |
Ending balance | 4,414 | 6,232 | |
Current Accounts and Notes Receivable [Member] | ASU 2016-13 [Member] | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Transition adjustment due to adoption of new credit loss standard | 1,900 | 1,911 | |
Long Term Notes Receivable [Member] | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Beginning balance | 233 | 371 | 233 |
Provision for expected and estimates credit losses | 360 | ||
Write-offs charged against the allowance | (121) | ||
Ending balance | $ 731 | 371 | |
Long Term Notes Receivable [Member] | ASU 2016-13 [Member] | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Impact of adoption of new credit loss standard (ASU 2016-13) | $ 300 | $ 259 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 1,387,413 | $ 1,315,261 |
Less accumulated depreciation and amortization | 810,054 | 738,202 |
Property and equipment, net | 577,359 | 577,059 |
Land and Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | 92,416 | 89,871 |
Buildings and Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | 580,317 | 556,518 |
Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 714,680 | $ 668,872 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Property Plant And Equipment [Abstract] | |||
Depreciation expense | $ 65.9 | $ 64.7 | $ 65.5 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | ||||
Jan. 02, 2021USD ($) | Oct. 03, 2020USD ($) | Jul. 13, 2019USD ($) | Jan. 01, 2022USD ($)Segment | Jan. 02, 2021USD ($) | Dec. 28, 2019USD ($) | |
Goodwill [Line Items] | ||||||
Number of reporting units | Segment | 3 | |||||
Goodwill | $ 181,035,000 | $ 181,035,000 | $ 181,035,000 | |||
Weighted average cost of capital | 9.00% | |||||
Amortization expenses of intangible assets | $ 5,200,000 | 5,700,000 | $ 5,800,000 | |||
Impairment of indefinite lived intangible assets | (8,630,000) | |||||
Trade Names [Member] | ||||||
Goodwill [Line Items] | ||||||
Impairment of indefinite lived intangible assets | $ 14,000,000 | |||||
Retail [Member] | ||||||
Goodwill [Line Items] | ||||||
Goodwill | 0 | |||||
Military [Member] | ||||||
Goodwill [Line Items] | ||||||
Goodwill | 0 | |||||
Food Distribution [Member] | ||||||
Goodwill [Line Items] | ||||||
Goodwill | 181,000,000 | $ 181,000,000 | $ 181,000,000 | |||
Food Distribution [Member] | Trade Names [Member] | ||||||
Goodwill [Line Items] | ||||||
Impairment of indefinite lived intangible assets | $ 1,700,000 | $ 7,000,000 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Schedule of Components of Amortized Intangible Assets , Includes in Intangible Assets, Net (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 68,635 | $ 68,606 |
Accumulated Amortization | 25,301 | 20,090 |
Non-compete agreements [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 4,287 | 4,287 |
Accumulated Amortization | 2,792 | 2,075 |
Pharmacy customer prescription lists [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 4,233 | 4,233 |
Accumulated Amortization | 2,095 | 1,521 |
Customer relationships [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 57,937 | 57,937 |
Accumulated Amortization | 18,822 | 15,160 |
Trade Names [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,068 | 1,068 |
Accumulated Amortization | 987 | 837 |
Franchise Fees [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,110 | 1,081 |
Accumulated Amortization | $ 605 | $ 497 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Summary of Weighted Average Amortization Periods for Amortizable Intangible Assets (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Non-compete agreements [Member] | |
Finite Lived Intangible Assets [Line Items] | |
Weighted Average Useful Life | 6 years 1 month 6 days |
Pharmacy customer prescription lists [Member] | |
Finite Lived Intangible Assets [Line Items] | |
Weighted Average Useful Life | 8 years |
Customer relationships [Member] | |
Finite Lived Intangible Assets [Line Items] | |
Weighted Average Useful Life | 16 years 4 months 24 days |
Trade Names [Member] | |
Finite Lived Intangible Assets [Line Items] | |
Weighted Average Useful Life | 5 years |
Franchise Fees [Member] | |
Finite Lived Intangible Assets [Line Items] | |
Weighted Average Useful Life | 10 years |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Schedule of Estimated Amortization Expense for Future (Detail) $ in Thousands | Jan. 01, 2022USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2022 | $ 4,915 |
2023 | 4,810 |
2024 | 4,559 |
2025 | 4,162 |
2026 | $ 3,647 |
Goodwill and Other Intangible_7
Goodwill and Other Intangible Assets - Summary of Changes in Carrying Amount of Indefinite-Lived Intangible Assets (Detail) $ in Thousands | 12 Months Ended |
Jan. 02, 2021USD ($) | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Beginning balance | $ 76,256 |
Impairment (Note 5) | (8,630) |
Ending balance | $ 67,626 |
Restructuring, Asset Impairme_3
Restructuring, Asset Impairment and Other Charges - Schedule of Activity of Reserves for Closed Properties (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Restructuring Cost And Reserve [Line Items] | |||
Beginning balance | $ 3,463 | $ 4,988 | $ 16,386 |
Provision for severance | 362 | 2,205 | 447 |
Reclassification of lease liabilities | (8,177) | ||
Lease termination adjustments | (220) | (62) | |
Changes in estimates | 2 | (202) | (635) |
Accretion expense | 91 | 121 | 271 |
Payments | (2,083) | (3,974) | (4,541) |
Ending balance | 3,124 | 3,463 | 4,988 |
Business Restructuring Reserves [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Provision for closing charges | 1,509 | 2,530 | 1,746 |
Lease and Ancillary Costs [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Beginning balance | 3,349 | 4,971 | 16,386 |
Reclassification of lease liabilities | (8,177) | ||
Lease termination adjustments | (220) | (62) | |
Changes in estimates | 2 | 26 | (635) |
Accretion expense | 91 | 121 | 271 |
Payments | (1,607) | (2,094) | (4,111) |
Ending balance | 3,124 | 3,349 | 4,971 |
Lease and Ancillary Costs [Member] | Business Restructuring Reserves [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Provision for closing charges | 1,509 | 325 | 1,299 |
Severance [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Beginning balance | 114 | 17 | |
Provision for severance | 362 | ||
Changes in estimates | (228) | ||
Payments | $ (476) | (1,880) | (430) |
Ending balance | 114 | 17 | |
Severance [Member] | Business Restructuring Reserves [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Provision for closing charges | $ 2,205 | $ 447 |
Restructuring, Asset Impairme_4
Restructuring, Asset Impairment and Other Charges - Schedule of Restructuring Asset Impairment and Other Charges (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Restructuring Cost And Reserve [Line Items] | |||
Asset impairment charges | $ 3,783 | $ 20,148 | $ 17,925 |
Charge on customer advance | 2,351 | ||
Gain on sales of assets related to closed facilities | (106) | 3,330 | (6,458) |
Provision for severance | 362 | 2,205 | 447 |
Other costs associated with distribution center and store closings | 636 | 1,953 | 2,135 |
Changes in estimates | 2 | (202) | (635) |
Lease termination adjustments | (799) | (1,940) | |
Restructuring and asset impairment | 2,886 | 24,398 | 13,050 |
Business Restructuring Reserves [Member] | Lease and Ancillary Costs [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Provision for closing charges | 1,509 | 325 | 1,299 |
Facility Closing [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Gain on sales of assets related to closed facilities | $ (2,607) | $ (31) | $ (8,532) |
Restructuring, Asset Impairme_5
Restructuring, Asset Impairment and Other Charges - Schedule of Restructuring Asset Impairment and Other Charges (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jul. 13, 2019 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Restructuring Cost And Reserve [Line Items] | ||||
Asset impairment charges | $ 3,783 | $ 20,148 | $ 17,925 | |
Impairment of indefinite lived intangible assets | (8,630) | |||
Write-off of lease liability | 800 | |||
Lease ancillary costs | 220 | 62 | ||
Facility Closing [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Asset impairment charges | 2,100 | |||
Lease and Ancillary Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Lease ancillary costs | 220 | $ 62 | ||
Termination Fee [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Lease ancillary costs | $ 200 | |||
Trade Names [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Impairment of indefinite lived intangible assets | $ 14,000 | |||
Food Distribution Segment [Member] | Trade Names [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Impairment of indefinite lived intangible assets | 8,600 | |||
Fresh Cut Business and Fresh Kitchen [Member] | Food Distribution Segment [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Asset impairment charges | $ 9,100 |
Restructuring, Asset Impairme_6
Restructuring, Asset Impairment and Other Charges - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||
Jul. 13, 2019 | Apr. 24, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Restructuring Cost And Reserve [Line Items] | |||||
Fair value of indefinite lived intangible assets | $ 67,626 | $ 76,256 | |||
Impairment of indefinite lived intangible assets | (8,630) | ||||
Impairment charges | $ 3,783 | $ 20,148 | $ 17,925 | ||
The Fresh Kitchen Facility [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Proceeds from sale of assets held for sale | $ 20,500 | ||||
Fair Value Measurements Nonrecurring [Member] | Significant unobservable inputs (Level 3) [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Long-lived assets | 27,500 | ||||
Long-lived assets measured fair value on nonrecurring basis | 23,700 | ||||
Impairment charges | $ 3,800 | ||||
Trade Names [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Book value of indefinite lived intangible assets | $ 35,500 | ||||
Fair value of indefinite lived intangible assets | 21,500 | ||||
Impairment of indefinite lived intangible assets | $ 14,000 |
Long-Term Debt - Summary of Deb
Long-Term Debt - Summary of Debt Instruments (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Debt Instrument [Line Items] | ||
Finance lease obligations | $ 43,142 | $ 43,632 |
Other, 4.35% - 4.36%, due 2023 - 2026 | 5,617 | 6,707 |
Total debt - Principal | 408,399 | 490,516 |
Unamortized debt issuance costs | (2,675) | (4,072) |
Total debt - Principal | 405,724 | 486,444 |
Less current portion | 6,334 | 5,135 |
Total long-term debt and finance lease liabilities | 399,390 | 481,309 |
Senior Secured Revolving Credit Facility | Revolving credit agreement [Member] | ||
Debt Instrument [Line Items] | ||
Senior secured revolving credit facility, due December 2023 | $ 359,640 | $ 440,177 |
Long-Term Debt - Summary of D_2
Long-Term Debt - Summary of Debt Instruments (Parenthetical) (Detail) | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Long-term Debt [Member] | ||
Debt Instrument [Line Items] | ||
Other debt, due date, start | 2023 | 2023 |
Other debt, due date, end | 2026 | 2026 |
Long-term Debt [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate Range | 4.35% | 4.35% |
Long-term Debt [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate Range | 4.36% | 4.36% |
Senior Secured Revolving Credit Facility | Revolving credit agreement [Member] | ||
Debt Instrument [Line Items] | ||
Notes maturity date | Dec. 18, 2023 | Dec. 18, 2023 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) $ in Millions | Jan. 01, 2022 | Jan. 01, 2022 | Jan. 02, 2021 |
Debt Instrument [Line Items] | |||
Unused portion of loan commitments rate | 0.25% | ||
Maintenance of excess borrowing base | 10.00% | 10.00% | |
Current borrowing available under credit facility | $ 468.5 | $ 468.5 | $ 432.4 |
Weighted average interest rate of convertible senior notes | 2.82% | 2.82% | |
Letter of credit [Member] | |||
Debt Instrument [Line Items] | |||
Unused borrowing capacity | $ 16.1 | $ 16.1 | $ 15.6 |
Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Notes maturity date | Dec. 18, 2023 | ||
Additional borrowings available under credit facility | 325 | $ 325 | |
Credit Agreement [Member] | Revolving credit agreement [Member] | Tranche A [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility maximum borrowing capacity | 975 | 975 | |
Credit Agreement [Member] | Revolving credit agreement [Member] | Tranche A-1 [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility maximum borrowing capacity | $ 40 | $ 40 |
Long-Term Debt - Schedule of In
Long-Term Debt - Schedule of Interest Rate Terms for Each of Aforementioned Tranches (Detail) $ in Thousands | 12 Months Ended |
Jan. 01, 2022USD ($) | |
Tranche A [Member] | |
Debt Instrument [Line Items] | |
Outstanding | $ 328,940 |
Tranche A [Member] | Minimum [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 1.25% |
Tranche A [Member] | Minimum [Member] | Federal Funds Effective Swap Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 0.75% |
Tranche A [Member] | Minimum [Member] | Eurodollar [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.25% |
Tranche A [Member] | Minimum [Member] | Prime Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 0.25% |
Tranche A [Member] | Maximum [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 1.50% |
Tranche A [Member] | Maximum [Member] | Federal Funds Effective Swap Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 1.00% |
Tranche A [Member] | Maximum [Member] | Eurodollar [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.50% |
Tranche A [Member] | Maximum [Member] | Prime Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 0.50% |
Tranche A-1 [Member] | |
Debt Instrument [Line Items] | |
Outstanding | $ 30,700 |
Tranche A-1 [Member] | Minimum [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.25% |
Tranche A-1 [Member] | Minimum [Member] | Federal Funds Effective Swap Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 1.75% |
Tranche A-1 [Member] | Minimum [Member] | Eurodollar [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.25% |
Tranche A-1 [Member] | Minimum [Member] | Prime Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 1.25% |
Tranche A-1 [Member] | Maximum [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.50% |
Tranche A-1 [Member] | Maximum [Member] | Federal Funds Effective Swap Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.00% |
Tranche A-1 [Member] | Maximum [Member] | Eurodollar [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 2.50% |
Tranche A-1 [Member] | Maximum [Member] | Prime Rate [Member] | |
Debt Instrument [Line Items] | |
Variable interest rate | 1.50% |
Long-Term Debt - Schedule of Ag
Long-Term Debt - Schedule of Aggregate Annual Maturities and Scheduled Payments of Long-term Debt (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Long Term Debt [Abstract] | ||
2022 | $ 6,334 | |
2023 | 364,848 | |
2024 | 5,061 | |
2025 | 4,471 | |
2026 | 5,691 | |
Thereafter | 21,994 | |
Total debt - Principal | $ 408,399 | $ 490,516 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Book Value and Estimated Fair Value of Debt Instruments, Excluding Debt Financing Costs (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Book value of debt instruments, excluding debt financing costs: | ||
Current maturities of long-term debt and finance lease liabilities | $ 6,334 | $ 5,135 |
Long-term debt and finance lease liabilities | 402,065 | 485,381 |
Total debt - Principal | 408,399 | 490,516 |
Fair value of debt instruments, excluding debt financing costs | 414,667 | 497,941 |
Excess of fair value over book value | $ 6,268 | $ 7,425 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands | Jul. 09, 2021 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 |
Loss Contingencies [Line Items] | ||||
Rents received from subleases | $ 4,356 | $ 3,994 | $ 4,014 | |
Percentage of associates represent by union covered by CBAs | 7.00% | |||
Critical and declining zone fund status | Less than 65 percent | |||
Multiemployer plan number of years relief from risk of insolvency | 30 years | |||
Minimum [Member] | ||||
Loss Contingencies [Line Items] | ||||
Projected insolvent period based on active to inactive participants ratio | 15 years | |||
Maximum [Member] | ||||
Loss Contingencies [Line Items] | ||||
Status or critical and declining zone plans | 65.00% | |||
Projected insolvent period based on active to inactive participants ratio | 20 years |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Unions Representing Employees and the Expiration Date for Agreements (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Norfolk Virginia [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 822 |
Expiration Dates | 2022-04 |
Columbus Georgia [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 528 |
Expiration Dates | 2022-09 |
Grand Rapids Michigan [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 406 |
Expiration Dates | 2022-10 |
Landover Maryland [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 639 |
Expiration Dates | 2024-02 |
Lima, Ohio Warehouse [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 908 |
Expiration Dates | 2025-01 |
Lima, Ohio Drivers [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 908 |
Expiration Dates | 2025-01 |
Bellefontaine, Ohio GTL Truck Lines, Inc. [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 908 |
Expiration Dates | 2025-02 |
Bellefontaine Ohio General Merchandise Service Division [Member] | |
Commitments And Contingencies [Line Items] | |
Union Locals | IBT 908 |
Expiration Dates | 2025-02 |
Leases - Additional Information
Leases - Additional Information (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Minimum [Member] | |
Lessee Lease Description [Line Items] | |
Leases, renewal term | 1 year |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Leases, renewal term | 10 years |
Leases - Components of Lease Co
Leases - Components of Lease Cost (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Leases [Abstract] | |||
Operating lease cost | $ 58,410 | $ 55,955 | $ 54,798 |
Short-term lease cost | 8,469 | 8,698 | 7,131 |
Finance lease cost | |||
Amortization of assets | 4,645 | 4,045 | 3,330 |
Interest on lease liabilities | 3,005 | 3,194 | 3,084 |
Variable rent | 162 | 333 | 10 |
Sublease income | (4,356) | (3,994) | (4,014) |
Total net lease cost | $ 70,335 | $ 68,231 | $ 64,339 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Operating leases: | ||
Operating lease assets | $ 283,040 | $ 289,173 |
Current portion of operating lease liabilities | 47,845 | 45,786 |
Noncurrent operating lease liabilities | 266,701 | 278,859 |
Total operating lease liabilities | 314,546 | 324,645 |
Finance leases: | ||
Property and equipment, at cost | 56,591 | 53,932 |
Accumulated amortization | (18,707) | (14,971) |
Property and equipment, net | $ 37,884 | $ 38,961 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | us-gaap:OtherAssets | us-gaap:OtherAssets |
Current portion of finance lease liabilities | $ 5,359 | $ 4,030 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | us-gaap:DebtCurrent | us-gaap:DebtCurrent |
Noncurrent finance lease liabilities | $ 37,783 | $ 39,602 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | us-gaap:LongTermDebtAndCapitalLeaseObligations | us-gaap:LongTermDebtAndCapitalLeaseObligations |
Total finance lease liabilities | $ 43,142 | $ 43,632 |
Weighted average remaining lease term (in years): | ||
Operating leases | 7 years 9 months 18 days | 8 years 4 months 24 days |
Finance leases | 10 years 2 months 12 days | 11 years 3 months 18 days |
Weighted average discount rate: | ||
Operating leases | 5.20% | 5.50% |
Finance leases | 7.10% | 7.30% |
Leases - Schedule of Suppleme_2
Leases - Schedule of Supplemental Cash Flow and Other Information Related to Leases (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash flows used for operating leases | $ 62,590 | $ 62,008 | $ 62,455 |
Operating cash flows used for finance leases | 3,005 | 3,173 | 3,047 |
Financing cash flows used for finance leases | 4,738 | 4,075 | 5,453 |
Lease assets obtained in exchange for lease liabilities: | |||
Total operating lease liabilities | 36,867 | 62,500 | 34,346 |
Total finance lease liabilities | $ 4,238 | $ 3,602 | $ 3,679 |
Leases - Schedule of Maturities
Leases - Schedule of Maturities of Lease Liabilities Under Operating and Finance Leases (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Leases [Abstract] | ||
Operating Leases, 2022 | $ 62,665 | |
Operating Leases, 2023 | 58,425 | |
Operating Leases, 2024 | 50,715 | |
Operating Leases, 2025 | 45,985 | |
Operating Leases, 2026 | 40,005 | |
Operating Leases, Thereafter | 128,931 | |
Operating Leases, Total | 386,726 | |
Operating Leases, Less interest | 72,180 | |
Total operating lease liabilities | 314,546 | $ 324,645 |
Operating Leases, Less current portion | 47,845 | 45,786 |
Operating Leases, Long-term lease liabilities | 266,701 | 278,859 |
Finance Leases, 2022 | 8,181 | |
Finance Leases, 2023 | 6,835 | |
Finance Leases, 2024 | 6,334 | |
Finance Leases, 2025 | 5,859 | |
Finance Leases, 2026 | 5,268 | |
Finance Leases, Thereafter | 28,186 | |
Finance Leases, Total | 60,663 | |
Finance Leases, Less interest | 17,521 | |
Total finance lease liabilities | 43,142 | 43,632 |
Finance Leases, Less current portion | 5,359 | 4,030 |
Finance Leases, Long-term lease liabilities | 37,783 | $ 39,602 |
Operating and Finance Leases, 2022 | 70,846 | |
Operating and Finance Leases, 2023 | 65,260 | |
Operating and Finance Leases, 2024 | 57,049 | |
Operating and Finance Leases, 2025 | 51,844 | |
Operating and Finance Leases, 2026 | 45,273 | |
Operating and Finance Leases, Thereafter | 157,117 | |
Operating and Finance Leases, Total | 447,389 | |
Operating and Finance Leases, Less interest | 89,701 | |
Operating and Finance Leases, Present value of lease liabilities | 357,688 | |
Operating and Finance Leases, Less current portion | 53,204 | |
Operating and Finance Leases, Long-term lease liabilities | $ 304,484 |
Leases - Property and Equipment
Leases - Property and Equipment Owned Assets Leased to Others (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Lessor Lease Description [Line Items] | ||
Property and equipment, owned assets leased to others | $ 49,581 | $ 35,005 |
Less accumulated amortization and depreciation | 15,944 | 11,190 |
Net owned assets leased to others | 33,637 | 23,815 |
Land and improvements [Member] | ||
Lessor Lease Description [Line Items] | ||
Property and equipment, owned assets leased to others | 8,681 | 7,141 |
Buildings [Member] | ||
Lessor Lease Description [Line Items] | ||
Property and equipment, owned assets leased to others | $ 40,900 | $ 27,864 |
Leases - Future Minimum Rentals
Leases - Future Minimum Rentals to be Received Under Lease Obligations (Detail) $ in Thousands | Jan. 01, 2022USD ($) |
Schedule of Leases Future Minimum Payments Receivable [Line Items] | |
Operating Lease, 2022 | $ 9,868 |
Operating Lease, 2023 | 9,109 |
Operating Lease, 2024 | 7,505 |
Operating Lease, 2025 | 5,595 |
Operating Lease, 2026 | 4,392 |
Operating Lease, Thereafter | 29,127 |
Operating Lease, Total | 65,596 |
Owned Property [Member] | |
Schedule of Leases Future Minimum Payments Receivable [Line Items] | |
Operating Lease, 2022 | 6,054 |
Operating Lease, 2023 | 5,794 |
Operating Lease, 2024 | 4,875 |
Operating Lease, 2025 | 3,775 |
Operating Lease, 2026 | 3,423 |
Operating Lease, Thereafter | 25,064 |
Operating Lease, Total | 48,985 |
Leased Property [Member] | |
Schedule of Leases Future Minimum Payments Receivable [Line Items] | |
Operating Lease, 2022 | 3,814 |
Operating Lease, 2023 | 3,315 |
Operating Lease, 2024 | 2,630 |
Operating Lease, 2025 | 1,820 |
Operating Lease, 2026 | 969 |
Operating Lease, Thereafter | 4,063 |
Operating Lease, Total | $ 16,611 |
Associate Retirement Plans - Ad
Associate Retirement Plans - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined contribution plans expense | $ 11,800,000 | $ 12,200,000 | $ 11,500,000 |
Cash surrender value of plan assets included in other long term assets | 97,195,000 | 99,242,000 | |
Aggregate amount of life insurance coverage | $ 15,000,000 | 15,000,000 | |
Defined contribution plan employees minimum period of service | 10 years | ||
Defined contribution plan employees age to eligible under the plan | 55 years | ||
Multiplier effect of Monthly postretirement health care benefits to covered employees | $ 5 | ||
Actuarial gains and losses are amortized when accumulation of such gains and losses exceeds | 10.00% | ||
Michigan Conference of Teamsters and Ohio Conference of Teamsters Health and Welfare Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension contributions during last plan year | $ 13,200,000 | 13,700,000 | 13,800,000 |
Central States, Southeast and Southwest Areas Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension contributions during last plan year | $ 13,500,000 | 14,100,000 | 14,000,000 |
Collective bargaining arrangement description | The Company is party to four CBAs that require contributions to the Central States Plan with expiration dates ranging from April 2022 to February 2025. These CBAs cover warehouse personnel and drivers in Grand Rapids, Michigan and Bellefontaine and Lima, Ohio. | ||
Central States, Southeast and Southwest Areas Pension Plan [Member] | Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expiration dates of collective bargaining arrangements | Apr. 30, 2022 | ||
Central States, Southeast and Southwest Areas Pension Plan [Member] | Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expiration dates of collective bargaining arrangements | Feb. 28, 2025 | ||
Percentage representing contribution funded to plan total contribution | 5.00% | ||
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined contribution plans expense | 1,500,000 | ||
Frozen pension plan, termination date | Jul. 31, 2018 | ||
Realized gains related to refunds from annuity provider | 1,193,000 | ||
Defined benefit plan remaining plan assets balance employer fund liabilities | $ 2,700,000 | ||
Pre-tax settlement charges | 18,200,000 | ||
Defined benefit termination plan | 18,000,000 | ||
Distribution charges | 72,600,000 | ||
Settlement accounting charges | 18,244,000 | ||
Fair value of plan assets | 2,689,000 | $ 1,496,000 | |
Pension Plan [Member] | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Pension Plan [Member] | Money Market Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 2,700,000 | |
Retiree Medical Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected Company contribution in 2022 | 500,000 | ||
Cash Surrender Value [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Cash surrender value of plan assets included in other long term assets | $ 4,300,000 | $ 4,300,000 |
Associate Retirement Plans - Sc
Associate Retirement Plans - Schedule of Benefit Obligations, Pension & Other Long-Term Liabilities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Pension Plan [Member] | |||
Projected/Accumulated benefit obligation: | |||
Interest cost | $ 1,134 | ||
Fair value of plan assets: | |||
Balance at beginning of year | $ 2,689 | $ 1,496 | |
Refund from annuity provider | 1,193 | ||
Excess asset transfer | (2,689) | ||
Balance at end of year | 2,689 | 1,496 | |
Funded (unfunded) status | 2,689 | ||
Components of net amount recognized in financial position: | |||
Current assets | 2,689 | ||
Net asset (liability) | 2,689 | ||
Retiree Medical Plan [Member] | |||
Projected/Accumulated benefit obligation: | |||
Balance at beginning of year | 11,909 | 10,783 | |
Service cost | 187 | 182 | 171 |
Interest cost | 226 | 303 | 375 |
Actuarial (gain) loss | (849) | 1,027 | |
Benefits paid | (442) | (386) | |
Balance at end of year | 11,031 | 11,909 | $ 10,783 |
Fair value of plan assets: | |||
Company contributions | 442 | 386 | |
Benefits paid | (442) | (386) | |
Funded (unfunded) status | (11,031) | (11,909) | |
Components of net amount recognized in financial position: | |||
Current liabilities | (496) | (471) | |
Noncurrent liabilities | (10,535) | (11,438) | |
Net asset (liability) | (11,031) | (11,909) | |
Amounts recognized in AOCI: | |||
Net actuarial loss | 1,653 | 2,732 | |
Accumulated other comprehensive loss | $ 1,653 | $ 2,732 | |
Weighted average assumptions at measurement date: | |||
Discount rate | 2.90% | 2.57% | |
Ultimate health care cost trend rate | 4.50% | 4.50% |
Associate Retirement Plans - Co
Associate Retirement Plans - Components of Net Periodic Pension and Postretirement Benefit Cost (Income) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | $ 1,134 | ||
Expected return on plan assets | (714) | ||
Gain on reconciliation with annuity provider | $ (1,193) | ||
Recognized actuarial net loss | 691 | ||
Net periodic benefit (income) expense | (1,193) | 1,111 | |
Settlement expense | 18,244 | ||
Total net periodic benefit (income) cost | (1,193) | $ 19,355 | |
Weighted average assumptions at measurement date: | |||
Discount rate | 3.48% | ||
Expected return on plan assets | 2.80% | ||
Retiree Medical Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 187 | 182 | $ 171 |
Interest cost | 226 | 303 | 375 |
Amortization of prior service cost | (92) | ||
Recognized actuarial net loss | 230 | 104 | |
Net periodic benefit (income) expense | 643 | 589 | 454 |
Total net periodic benefit (income) cost | $ 643 | $ 589 | $ 454 |
Weighted average assumptions at measurement date: | |||
Discount rate | 2.57% | 3.26% | 4.41% |
Associate Retirement Plans - As
Associate Retirement Plans - Assumed Current Healthcare Cost Trend Rates Used to Determine Net Periodic Benefit Cost (Income) (Detail) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Defined Benefit Plan Assumed Health Care Cost Trend Rates [Abstract] | |||
Post-65 | 7.00% | 7.50% | 7.50% |
Associate Retirement Plans - Es
Associate Retirement Plans - Estimated Benefit Payments Expected to be Paid (Detail) - Post-retirement Medical Benefits [Member] $ in Thousands | Jan. 01, 2022USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2022 | $ 495 |
2023 | 530 |
2024 | 559 |
2025 | 584 |
2026 | 610 |
2027 to 2031 | $ 3,283 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income or Loss - Schedule Of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Balance, value | $ 735,049 | $ 687,538 | $ 715,947 |
Other comprehensive income (loss) before reclassifications | 837 | (1,086) | 219 |
Income tax (expense) benefit | (203) | 268 | (55) |
Other comprehensive income (loss), net of tax, before reclassifications | 634 | (818) | 164 |
Amortization of amounts included in net periodic benefit cost | 250 | 191 | 18,480 |
Income tax expense | (63) | (49) | (4,485) |
Amounts reclassified out of AOCI, net of tax | 187 | 142 | 13,995 |
Total other comprehensive income (loss), after tax | 821 | (676) | 14,159 |
Balance, value | 782,869 | 735,049 | 687,538 |
Accumulated Other Comprehensive Income (Loss) [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Balance, value | (2,276) | (1,600) | (15,759) |
Total other comprehensive income (loss), after tax | 821 | (676) | 14,159 |
Balance, value | $ (1,455) | $ (2,276) | $ (1,600) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income or Loss - Schedule Of Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Amortization of net actuarial loss, prior service cost and settlement expense | $ 0 | $ 100,000 | $ 18,400,000 |
Income Tax - Summary of Income
Income Tax - Summary of Income Tax Provision for Continuing Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Current income tax expense (benefit): | |||
Federal | $ 5,436 | $ 1,844 | $ (899) |
State | 1,867 | 5,149 | 817 |
Total current income tax expense (benefit) | 7,303 | 6,993 | (82) |
Deferred income tax expense (benefit): | |||
Federal | 14,877 | 5,637 | 126 |
State | 2,726 | (3,180) | (2,386) |
Total deferred income tax expense (benefit) | 17,603 | 2,457 | (2,260) |
Total income tax expense (benefit) | $ 24,906 | $ 9,450 | $ (2,342) |
Income Tax - Reconciliation of
Income Tax - Reconciliation of Statutory Federal Rate to Effective Rate (Detail) | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 30, 2017 | |
Effective Income Tax Rate Continuing Operations Tax Rate Reconciliation [Abstract] | ||||
Federal statutory income tax rate | 21.00% | 21.00% | 21.00% | 35.00% |
Stock compensation | 0.00% | 0.70% | 7.20% | |
Non-deductible expenses | 1.70% | 1.90% | 0.80% | |
Change in tax contingencies | 0.00% | 0.90% | ||
Charitable product donations | (0.10%) | (0.20%) | (5.60%) | |
Other, net | (0.30%) | (1.00%) | (2.40%) | |
Federal loss carryback | (11.90%) | |||
State taxes, net of federal income tax benefit | 3.80% | 1.70% | (36.10%) | |
Tax credits | (0.90%) | (2.00%) | (50.40%) | |
Effective income tax rate | 25.20% | 11.10% | (65.50%) |
Income Tax - Reconciliation o_2
Income Tax - Reconciliation of Statutory Federal Rate to Effective Rate (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | Dec. 30, 2017 | |
Effective Income Tax Rate Continuing Operations Tax Rate Reconciliation [Abstract] | ||||
Federal statutory rate | 21.00% | 21.00% | 21.00% | 35.00% |
Net discrete income tax benefits of CARES Act | $ 10.1 | |||
Income tax expense reinstate tax contingencies previously expired | $ 0.8 |
Income Tax - Summary of Deferre
Income Tax - Summary of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Jan. 01, 2022 | Jan. 02, 2021 |
Deferred tax assets: | ||
Employee benefits | $ 25,358 | $ 33,115 |
Accrued workers' compensation | 1,943 | 1,834 |
Allowance for doubtful accounts | 1,317 | 1,688 |
Intangible assets | 2,203 | |
Restructuring | 333 | 377 |
Deferred revenue | 2,083 | 1,679 |
Stock warrant | 1,258 | 1,896 |
Lease liabilities | 85,781 | 87,606 |
Accrued insurance | 893 | 964 |
State net operating loss carryforwards | 6,576 | 6,175 |
All other | 2,338 | 2,481 |
Total deferred tax assets | 127,880 | 140,018 |
Deferred tax liabilities: | ||
Property and equipment | 47,240 | 47,472 |
Lease assets | 76,589 | 77,673 |
Inventory | 35,382 | 33,531 |
Goodwill | 30,044 | 26,025 |
Intangible assets | 187 | |
All other | 2,130 | 1,045 |
Total deferred tax liabilities | 191,572 | 185,746 |
Net deferred tax liability | $ 63,692 | $ 45,728 |
Income Tax - Summary of Defer_2
Income Tax - Summary of Deferred Tax Assets and Liabilities (Parenthetical) (Detail) | 12 Months Ended |
Jan. 01, 2022 | |
Income Tax Expense Benefit Continuing Operations [Line Items] | |
Federal credit carryforwards expire year | 2041 |
State and Local Jurisdiction | |
Income Tax Expense Benefit Continuing Operations [Line Items] | |
Net operating losses, expiration date, description | expire in tax years 2022 through 2041 if not utilized |
Income Tax - Reconciliation o_3
Income Tax - Reconciliation of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Reconciliation Of Unrecognized Tax Benefits Excluding Amounts Pertaining To Examined Tax Returns Roll Forward | ||
Balance at beginning of year | $ 1,317 | $ 1,425 |
Gross increases - tax positions taken in prior years | 84 | 910 |
Gross decreases - tax positions taken in prior years | (11) | (1,000) |
Lapsed statutes of limitations | (170) | (18) |
Balance at end of year | $ 1,220 | $ 1,317 |
Income Tax - Additional Informa
Income Tax - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2022 | Jan. 01, 2022 |
Income Tax Expense Benefit Continuing Operations [Line Items] | ||
Uncertain tax positions included in unrecognized tax benefits | $ 1 | |
Forecast [Member] | ||
Income Tax Expense Benefit Continuing Operations [Line Items] | ||
Impact of unrecognized tax benefits settlement on effective tax rate | $ 0.1 |
Share-Based Payments - Addition
Share-Based Payments - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | Oct. 07, 2020 | Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Intrinsic value of share vested | $ 7.3 | $ 5.3 | $ 6.2 | |
Tax deductions related to the exercise of stock option and vesting of restricted stock | $ 7.7 | $ 5.9 | $ 7.2 | |
Stock purchase plan | 300,000 | |||
Annual bonus for common stock, cash value percentage | 120.00% | |||
Share based payment share restriction period | 24 months | |||
Shares issued | 15,778 | 3,443 | 8,087 | |
Purchase price of common stock | 95.00% | |||
Stock warrant, outstanding and nonvested | 3,914,833 | 4,349,817 | 0 | |
Unrecognized cost related to non-vested warrants | $ 20.7 | |||
Non-vested warrants expensed as vesting conditions are satisfied over the remaining term | 5 years 9 months 18 days | |||
Warrant shares, vested and exercisable | 1,522,439 | |||
Non-vested warrant shares, intrinsic value | $ 31.5 | |||
Vested warrant shares, intrinsic value | $ 12.2 | |||
Commercial Agreement [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Warrant shares vested upon signing contractual term | 7 years | |||
Estimated weighted average term | 3 years 7 months 6 days | |||
NV Investment Holdings [Member] | Commercial Agreement [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Warrant to acquire number of securities, common stock shares | 5,437,272 | |||
Exercise price | $ 17.7257 | |||
Warrants commercial supply agreement | $ 200 | |||
Right to purchase warrant, expiration date | Oct. 7, 2027 | |||
NV Investment Holdings [Member] | Commercial Agreement [Member] | Warrants One [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of warrants, outstanding and issuable shares | 2.50% | |||
Warrant to purchase number of securities, common stock shares vested | 1,087,455 | |||
Warrants grant date fair value per share | $ 5.51 | |||
NV Investment Holdings [Member] | Commercial Agreement [Member] | Warrants Two [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of warrants, outstanding and issuable shares | 10.00% | |||
Warrants grant date fair value per share | $ 5.33 | |||
Stock warrant, outstanding and nonvested | 4,349,817 | |||
Restricted Stock Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option award period | 3 years | 4 years | ||
Unrecognized compensation cost | $ 7.3 | |||
Unrecognized compensation cost, weighted average period of recognition | 2 years 1 month 6 days | |||
Restricted Stock Awards [Member] | Board of Directors Chairman [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option award period | 1 year | |||
2020 Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares unissued | 1,742,964 | |||
Associate Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock purchase plan | 200,000 | |||
Shares issued under associate stock purchase plan | 182,733 |
Share-Based Payments - Summary
Share-Based Payments - Summary of Stock Option Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||
Shares Under Options, Outstanding, Beginning balance | 13,052 | |
Shares Under Options, Exercised | (13,052) | |
Shares Under Options, Outstanding, Ending balance | 13,052 | |
Weighted Average Exercise Price, Options outstanding, Beginning balance | $ 13.87 | |
Weighted Average Exercise Price, Exercised | $ 13.87 | |
Weighted Average Exercise Price, Options outstanding, Ending balance | $ 13.87 | |
Weighted Average Remaining Contractual Life Years, Options outstanding | 4 months 13 days | |
Aggregate Intrinsic Value, Options outstanding, Beginning balance | $ 39 | |
Aggregate Intrinsic Value, Exercised | $ 51 | |
Aggregate Intrinsic Value, Options outstanding, Ending balance | $ 39 |
Share-Based Payments - Summar_2
Share-Based Payments - Summary of Restricted Stock Activity (Detail) - Restricted Stock Awards [Member] - $ / shares | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted Stock Awards, Outstanding and nonvested, Beginning balance | 973,948 | 928,733 | 822,819 |
Restricted Stock Awards, Granted | 562,653 | 521,566 | 488,063 |
Restricted Stock Awards, Vested | (388,403) | (396,219) | (346,721) |
Restricted Stock Awards, Forfeited | (116,361) | (80,132) | (35,428) |
Restricted Stock Awards, Outstanding and nonvested, Ending balance | 1,031,837 | 973,948 | 928,733 |
Weighted Average Grant-Date Fair Value, Outstanding and nonvested, Beginning balance | $ 17.72 | $ 20.28 | $ 23.07 |
Weighted Average Grant-Date Fair Value, Granted | 18.96 | 15.96 | 17.84 |
Weighted Average Grant-Date Fair Value, Vested | 19.81 | 21.65 | 23.47 |
Weighted Average Grant-Date Fair Value, Forfeited | 18.19 | 16.48 | 20.11 |
Weighted Average Grant-Date Fair Value, Outstanding and nonvested, ending balance | $ 17.56 | $ 17.72 | $ 20.28 |
Share-Based Payments - Summar_3
Share-Based Payments - Summary of Allocation of Stock-Based Compensation Expense in Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Employee Service Share Based Compensation Aggregate Disclosures [Abstract] | |||
Restricted stock | $ 6,868 | $ 6,299 | $ 7,312 |
Tax benefits | (1,744) | (839) | (1,303) |
Stock-based compensation stock expense, net of tax | $ 5,124 | $ 5,460 | $ 6,009 |
Share-Based Payments - Summar_4
Share-Based Payments - Summary of Assumptions Made for Purposes of Estimating Fair Value under Lattice Model for Warrants (Detail) - Lattice Model [Model] | 12 Months Ended |
Jan. 01, 2022 | |
Risk Free Interest Rate [Member] | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | |
Selected Assumption | 0.0056 |
Methodology | Derived from the Constant Maturity Treasury Rate with maturity matching time to expiration of the Warrants |
Volatility [Member] | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | |
Selected Assumption | 0.4700 |
Methodology | Based on historical equity volatility of Company stock over a period matching the assumed warrants term |
Dividend Yield [Member] | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | |
Selected Assumption | 0.0457 |
Methodology | Based on the historical dividends paid by the Company |
Share-Based Payments - Summar_5
Share-Based Payments - Summary of Stock Warrant Activity (Detail) - shares | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||
Stock warrant, outstanding and nonvested | 4,349,817 | 0 |
Granted | 5,437,272 | |
Vested | (434,984) | (1,087,455) |
Stock warrant, outstanding and nonvested | 3,914,833 | 4,349,817 |
Share-Based Payments - Summar_6
Share-Based Payments - Summary of Stock-Based Payment Expense Recognized Included as a Reduction of Net Sales in Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 01, 2022 | Jan. 02, 2021 | |
Employee Service Share Based Compensation Aggregate Disclosures [Abstract] | ||
Warrant expense | $ 1,958 | $ 6,549 |
Tax benefits | (152) | (2,051) |
Warrant expense, net of tax | $ 1,806 | $ 4,498 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information - Schedule of Supplemental Cash Flow Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Non-cash investing activities: | |||
Capital expenditures included in accounts payable | $ 15,277 | $ 15,984 | $ 16,111 |
Non-cash acquisition | 5,363 | ||
Non-cash financing activities: | |||
Dividends declared but unpaid | 485 | 99 | 6,907 |
Other supplemental cash flow information: | |||
Cash paid for interest | 12,245 | 18,448 | 33,236 |
Income tax (refunds) payments | $ (10,110) | $ 18,717 | $ (9,680) |
Reporting Segment Information -
Reporting Segment Information - Additional Information (Detail) | 12 Months Ended |
Jan. 01, 2022Segment | |
Segment Reporting [Abstract] | |
Number of Reportable Segment | 3 |
Reporting Segment Information_2
Reporting Segment Information - Schedule of Segment Reporting Information, by Operating Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 01, 2022 | Jan. 02, 2021 | Dec. 28, 2019 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 8,931,039 | $ 9,348,485 | $ 8,536,065 |
Acquisition and integration | 708 | 421 | 1,437 |
Restructuring and asset impairment, net | 2,886 | 24,398 | 13,050 |
Depreciation and amortization | 92,711 | 89,876 | 88,401 |
Operating earnings (loss) | 112,200 | 102,406 | 56,942 |
Capital expenditures | 79,427 | 67,298 | 74,815 |
Total Assets | 2,206,782 | 2,277,391 | |
Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 8,931,039 | 9,348,485 | 8,536,065 |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,096,474 | 1,125,471 | 976,372 |
Food Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 4,456,800 | 4,577,178 | 3,982,609 |
Acquisition and integration | (122) | ||
Restructuring and asset impairment, net | 795 | 21,085 | 14,844 |
Depreciation and amortization | 33,023 | 32,289 | 33,396 |
Operating earnings (loss) | 59,489 | 45,962 | 47,416 |
Capital expenditures | 31,847 | 25,055 | 28,385 |
Total Assets | 1,092,851 | 1,112,961 | |
Food Distribution [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 4,456,800 | 4,577,178 | 3,982,609 |
Food Distribution [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,095,647 | 1,125,112 | 976,372 |
Retail [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 2,581,286 | 2,637,917 | 2,381,349 |
Acquisition and integration | 708 | 421 | 1,559 |
Restructuring and asset impairment, net | 2,459 | 3,313 | (1,794) |
Depreciation and amortization | 46,224 | 45,199 | 43,171 |
Operating earnings (loss) | 66,971 | 66,359 | 18,842 |
Capital expenditures | 33,407 | 33,894 | 40,135 |
Total Assets | 747,342 | 763,876 | |
Retail [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 2,581,286 | 2,637,917 | 2,381,349 |
Retail [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 827 | 359 | |
Military [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,892,953 | 2,133,390 | 2,172,107 |
Restructuring and asset impairment, net | (368) | ||
Depreciation and amortization | 13,464 | 12,388 | 11,834 |
Operating earnings (loss) | (14,260) | (9,915) | (9,316) |
Capital expenditures | 14,173 | 8,349 | 6,295 |
Total Assets | 366,589 | 400,554 | |
Military [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 1,892,953 | $ 2,133,390 | $ 2,172,107 |