Document_and_Entity_Informatio
Document and Entity Information | 4 Months Ended | |
Jun. 14, 2014 | Jul. 18, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 14-Jun-14 | ' |
Document Fiscal Year Focus | '2015 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Trading Symbol | 'SVU | ' |
Entity Registrant Name | 'SUPERVALU INC | ' |
Entity Central Index Key | '0000095521 | ' |
Current Fiscal Year End Date | '--02-28 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 260,775,933 |
CONDENSED_CONSOLIDATED_SEGMENT
CONDENSED CONSOLIDATED SEGMENT FINANCIAL INFORMATION (Unaudited) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Net sales | ' | ' |
Net sales | $5,234 | $5,241 |
Net sales, % | 100.00% | 100.00% |
Operating earnings | ' | ' |
Operating earnings | 135 | 84 |
Total operating earnings % of total net sales | 2.60% | 1.60% |
% of sales | 0.90% | -2.00% |
Interest expense, net | 64 | 249 |
Equity in earnings of unconsolidated affiliates | -1 | -1 |
Earnings (loss) from continuing operations before income taxes | 72 | -164 |
Income tax provision (benefit) | 24 | -62 |
Net earnings (loss) from continuing operations | 48 | -102 |
(Loss) income from discontinued operations, net of tax | -3 | 190 |
Net earnings including noncontrolling interests | 45 | 88 |
Net earnings attributable to noncontrolling interests | 2 | 3 |
Net earnings attributable to SUPERVALU INC. | 43 | 85 |
Independent Business [Member] | ' | ' |
Net sales | ' | ' |
Net sales | 2,400 | 2,463 |
Net sales, % | 45.90% | 47.00% |
Operating earnings | ' | ' |
Operating earnings | 66 | 55 |
% of sales | 2.80% | 2.30% |
Save-A-Lot [Member] | ' | ' |
Net sales | ' | ' |
Net sales | 1,348 | 1,266 |
Net sales, % | 25.70% | 24.20% |
Operating earnings | ' | ' |
Operating earnings | 46 | 52 |
% of sales | 3.40% | 4.10% |
Retail Food [Member] | ' | ' |
Net sales | ' | ' |
Net sales | 1,428 | 1,428 |
Net sales, % | 27.30% | 27.20% |
Operating earnings | ' | ' |
Operating earnings | 30 | 7 |
% of sales | 2.10% | 0.40% |
Corporate [Member] | ' | ' |
Net sales | ' | ' |
Net sales | 58 | 84 |
Net sales, % | 1.10% | 1.60% |
Operating earnings | ' | ' |
Operating earnings | ($7) | ($30) |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $) | 4 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Income Statement [Abstract] | ' | ' |
Net sales | $5,234 | $5,241 |
Cost of sales | 4,482 | 4,446 |
Gross profit | 752 | 795 |
Selling and administrative expenses | 617 | 711 |
Operating earnings | 135 | 84 |
Interest expense, net | 64 | 249 |
Equity in earnings of unconsolidated affiliates | -1 | -1 |
Earnings (loss) from continuing operations before income taxes | 72 | -164 |
Income tax provision (benefit) | 24 | -62 |
Net earnings (loss) from continuing operations | 48 | -102 |
(Loss) income from discontinued operations, net of tax | -3 | 190 |
Net earnings including noncontrolling interests | 45 | 88 |
Net earnings attributable to noncontrolling interests | 2 | 3 |
Net earnings attributable to SUPERVALU INC. | $43 | $85 |
Basic net earnings (loss) per share attributable to SUPERVALU INC.: | ' | ' |
Continuing operations | $0.18 | ($0.43) |
Discontinued operations | ($0.01) | $0.78 |
Basic net earnings per share | $0.17 | $0.35 |
Diluted net earnings (loss) per share attributable to SUPERVALU INC.: | ' | ' |
Continuing operations | $0.18 | ($0.43) |
Discontinued operations | ($0.01) | $0.77 |
Diluted net earnings per share | $0.17 | $0.34 |
Weighted average number of shares outstanding: | ' | ' |
Basic | 260 | 246 |
Diluted | 262 | 250 |
Net sales, % | 100.00% | 100.00% |
Cost of sales, % of net sales | 85.60% | 84.80% |
Gross profit, % of net sales | 14.40% | 15.20% |
Selling and administrative expenses, % of net sales | 11.80% | 13.60% |
Operating earnings, % of net sales | 2.60% | 1.60% |
Interest expense, net, % of net sales | 1.20% | 4.80% |
Equity in earnings of unconsolidated affiliates, % of net sales | 0.00% | 0.00% |
Earnings (loss) from continuing operations before income taxes, % of net sales | 1.40% | -3.10% |
Income tax provision (benefit), % of net sales | 0.50% | -1.20% |
Net earnings (loss) from continuing operations, % of net sales | 0.90% | -2.00% |
(Loss) income from discontinued operations, net of tax, % of net sales | -0.10% | 3.60% |
Net earnings including noncontrolling interests, % of net sales | 0.90% | 1.70% |
Net earnings attributable to noncontrolling interests, % of net sales | 0.00% | 0.10% |
Net earnings attributable to SUPERVALU INC., % of net sales | 0.80% | 1.60% |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' |
Net earnings including noncontrolling interests | $45 | $88 |
Other comprehensive income: | ' | ' |
Amortization of actuarial loss on pension and other postretirement benefit obligations, net of tax of $5 and $11, respectively | 11 | 18 |
Comprehensive income including noncontrolling interests | 56 | 106 |
Comprehensive income attributable to noncontrolling interests | 2 | 3 |
Comprehensive income attributable to SUPERVALU INC. | $54 | $103 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' |
Amortization of actuarial loss on pension and other postretirement benefit obligations | $5 | $11 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Jun. 14, 2014 | Feb. 22, 2014 |
In Millions, unless otherwise specified | ||
Current assets | ' | ' |
Cash and cash equivalents | $90 | $83 |
Receivables, net | 500 | 493 |
Inventories, net | 916 | 861 |
Other current assets | 107 | 106 |
Total current assets | 1,613 | 1,543 |
Property, plant and equipment, net | 1,447 | 1,497 |
Goodwill | 847 | 847 |
Intangible assets, net | 41 | 43 |
Deferred tax assets | 260 | 287 |
Other assets | 146 | 157 |
Total assets | 4,354 | 4,374 |
Current liabilities | ' | ' |
Accounts payable | 1,055 | 1,043 |
Accrued vacation, compensation and benefits | 193 | 190 |
Current maturities of long-term debt and capital lease obligations | 43 | 45 |
Other current liabilities | 216 | 213 |
Total current liabilities | 1,507 | 1,491 |
Long-term debt | 2,486 | 2,486 |
Long-term capital lease obligations | 233 | 246 |
Pension and other postretirement benefit obligations | 483 | 536 |
Long-term tax liabilities | 142 | 140 |
Other long-term liabilities | 185 | 205 |
Commitments and contingencies | ' | ' |
Stockholders' deficit | ' | ' |
Common stock, $0.01 par value: 400 shares authorized; 261 and 260 shares issued, respectively | 3 | 3 |
Capital in excess of par value | 2,824 | 2,862 |
Treasury stock, at cost, 4 shares | -67 | -101 |
Accumulated other comprehensive loss | -296 | -307 |
Accumulated deficit | -3,152 | -3,195 |
Total SUPERVALU INC. stockholders' deficit | -688 | -738 |
Noncontrolling interests | 6 | 8 |
Total stockholders' deficit | -682 | -730 |
Total liabilities and stockholders' deficit | $4,354 | $4,374 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Jun. 14, 2014 | Feb. 22, 2014 |
In Millions, except Per Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 400 | 400 |
Common stock, shares issued | 261 | 260 |
Treasury stock, shares | 4 | 4 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Cash flows from operating activities | ' | ' |
Net earnings including noncontrolling interests | $45 | $88 |
(Loss) income from discontinued operations, net of tax | -3 | 190 |
Net earnings (loss) from continuing operations | 48 | -102 |
Adjustments to reconcile Net earnings (loss) from continuing operations to Net cash provided by (used in) operating activities - continuing operations: | ' | ' |
Asset impairment and other charges | 2 | 182 |
Net gain on sale of assets and exits of surplus leases | -7 | -4 |
Depreciation and amortization | 89 | 98 |
LIFO charge | 2 | 0 |
Deferred income taxes | 6 | 6 |
Stock-based compensation | 7 | 12 |
Net pension and other postretirement benefits cost | 9 | 25 |
Contributions to pension and other postretirement benefit plans | -45 | -72 |
Other adjustments | 6 | 12 |
Changes in operating assets and liabilities, net of effects from business acquisitions | -60 | -255 |
Net cash provided by (used in) operating activities - continuing operations | 57 | -98 |
Net cash used in operating activities - discontinued operations | ' | -86 |
Net cash provided by (used in) operating activities | 57 | -184 |
Cash flows from investing activities | ' | ' |
Proceeds from sale of assets | 4 | 3 |
Purchases of property, plant and equipment | -37 | -18 |
Payments for business acquisitions | -5 | ' |
Other | 6 | 1 |
Net cash used in investing activities - continuing operations | -32 | -14 |
Net cash provided by investing activities - discontinued operations | ' | 101 |
Net cash (used in) provided by investing activities | -32 | 87 |
Cash flows from financing activities | ' | ' |
Proceeds from issuance of debt | ' | 1,989 |
Proceeds from sale of common stock | 2 | 173 |
Payments of debt and capital lease obligations | -13 | -1,953 |
Distributions to noncontrolling interests | -4 | -5 |
Payments of debt financing costs | -3 | -145 |
Other | ' | 2 |
Net cash (used in) provided by financing activities - continuing operations | -18 | 61 |
Net cash used in financing activities - discontinued operations | ' | -37 |
Net cash (used in) provided by financing activities | -18 | 24 |
Net increase (decrease) in cash and cash equivalents | 7 | -73 |
Cash and cash equivalents at beginning of period | 83 | 149 |
Cash and cash equivalents at the end of period | 90 | 76 |
The Company's non-cash activities were as follows: | ' | ' |
Capital lease asset additions and related obligations | ' | 2 |
Purchases of property, plant and equipment included in Accounts payable | 16 | 7 |
Interest and income taxes paid: | ' | ' |
Interest paid (net of amounts capitalized) | 58 | 93 |
Income taxes paid (net of refunds) | ($3) | $19 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 4 Months Ended |
Jun. 14, 2014 | |
Accounting Policies [Abstract] | ' |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' |
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Statement of Registrant | |
The accompanying condensed consolidated financial statements of SUPERVALU INC. (“SUPERVALU” or the “Company”) for the first quarters ended June 14, 2014 and June 15, 2013 are unaudited and, in the opinion of management, contain all adjustments that are of a normal and recurring nature necessary to present fairly the financial condition and results of operations for such periods. The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in the Company’s Annual Report on Form 10-K for the fiscal year ended February 22, 2014. The results of operations for the first quarter ended June 14, 2014 are not necessarily indicative of the results expected for the full year. The Condensed Consolidated Balance Sheet as of February 22, 2014 has been derived from the audited Consolidated Balance Sheet as of that date. | |
Accounting Policies | |
The summary of significant accounting policies is included in the Notes to Consolidated Financial Statements set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended February 22, 2014. | |
Fiscal Year | |
The Company’s fiscal year ends on the last Saturday in February. During fiscal 2015, the Company’s first quarter consists of 16 weeks, the second and third quarters both consist of 12 weeks, the fourth quarter consists of 13 weeks and the fiscal year ended February 28, 2015 consists of 53 weeks. | |
Use of Estimates | |
The preparation of the Company’s condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Cash and Cash Equivalents | |
The Company considers all highly liquid investments with a maturity of three months or less at the time of purchase to be cash equivalents. The Company’s banking arrangements allow the Company to fund outstanding checks when presented to the financial institution for payment. The Company funds all intraday bank balance overdrafts during the same business day. Checks outstanding in excess of bank balances create book overdrafts, which are recorded in Accounts payable in the Condensed Consolidated Balance Sheets and are reflected as an operating activity in the Condensed Consolidated Statements of Cash Flows. As of June 14, 2014 and February 22, 2014, the Company had net book overdrafts of $118 and $134, respectively. | |
Inventories, Net | |
Inventories are valued at the lower of cost or market. Substantially all of the Company’s inventory consists of finished goods and a substantial portion of the Company’s inventories have a last-in, first-out (“LIFO”) reserve applied. Interim LIFO calculations are based on the Company’s estimates of expected year-end inventory levels and costs, as the actual valuation of inventory under the LIFO method is computed at the end of each year based on the inventory levels and costs at that time. If the first-in, first-out method had been used, Inventories, net would have been higher by approximately $204 at June 14, 2014 and $202 at February 22, 2014. The Company recorded a LIFO charge of $2 and $0 for the first quarters ended June 14, 2014 and June 15, 2013, respectively. | |
Revisions | |
In the first quarter of fiscal 2015, the Company revised the presentation of noncontrolling interests as reflected in the Condensed Consolidated Financial Statements. Net earnings attributable to noncontrolling interests were previously presented within Selling and administrative expenses in the Condensed Consolidated Statements of Operations and have been revised to be presented separately as Net earnings attributable to noncontrolling interests. Noncontrolling interests were previously presented in Other long-term liabilities in the Condensed Consolidated Balance Sheets and have been revised as a component of Stockholders’ deficit. Distributions to noncontrolling interests were previously presented as a reduction of cash flows from operating activities in the Condensed Consolidated Statements of Cash Flows and have been revised to be presented within distributions to noncontrolling interests within financing activities. In addition, the Company revised the presentation of equity in earnings of unconsolidated affiliates. Equity in earnings of unconsolidated affiliates was previously presented in Net sales and has been revised to be presented separately as Equity in earnings of unconsolidated affiliates. The revisions did not impact Net earnings attributable to SUPERVALU INC. or net earnings per share for any period. Management has determined that the presentation changes are not material to any period reported. Prior period amounts have been revised to conform to the current period presentation. | |
Recently Adopted Accounting Standards | |
In July 2013, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance under accounting standard update (“ASU”) 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, A Similar Tax Loss, or a Tax Credit Carryforward Exists. This ASU requires entities to present an unrecognized tax benefit as a reduction of a deferred tax asset for a NOL or tax credit carryforward whenever the NOL or tax credit carryforward would be available to reduce the additional taxable income or tax due if the tax position is disallowed. This accounting standard update requires entities to assess whether to net the unrecognized tax benefit with a deferred tax asset as of the reporting date. The Company adopted ASU 2013-11 in the first quarter of fiscal 2015, which resulted in a reclassification of less than $1 of unrecognized tax benefits and other credits against deferred tax assets. | |
In April 2014, the FASB issued authoritative guidance under ASU 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. Under this ASU, disposals must represent a strategic shift that should have a major effect on operations and financial results and allows for continuing involvement in order to meet certain classification and disclosure requirements. Certain disclosures for disposals of individually significant components of an entity that do not qualify for discontinued operations presentation are also required. This ASU is effective prospectively for disposals that have not been reported in previously issued financial statements. The Company adopted ASU 2014-08 in the first quarter of fiscal 2015 and the adoption did not have an impact on the Company’s Condensed Consolidated Financial Statements. | |
Recently Issued Accounting Standards | |
In May 2014, the FASB issued authoritative guidance under ASU 2014-09, Revenue from Contracts with Customers. ASU 2014-09 supersedes existing revenue recognition requirements and provides a new comprehensive revenue recognition model requiring entities to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. This ASU will be adopted by the Company during the first quarter of fiscal 2018. Adoption is allowed by either the full retrospective or modified retrospective approach. The Company is currently evaluating which approach it will apply and the potential adoption impact on its Consolidated Financial Statements. |
BUSINESS_ACQUISITIONS
BUSINESS ACQUISITIONS | 4 Months Ended |
Jun. 14, 2014 | |
Business Combinations [Abstract] | ' |
BUSINESS ACQUISITIONS | ' |
NOTE 2 – BUSINESS ACQUISITIONS | |
Rainbow Stores | |
On May 6, 2014, the Company entered into asset purchase agreements with RBF, LLC (the “Seller”) and Roundy’s Supermarkets, Inc. (“Roundy’s”). In addition, on May 6, 2014, several independent retailer customers and franchisees, including Diamond Lake 1994 L.L.C. in which the Company has a minority ownership interest, also executed asset purchase agreements with the Seller and Roundy’s. | |
Subsequent to the end of the first quarter of fiscal 2015, the Company closed on the purchase of certain assets and assumed certain liabilities related to seven Rainbow Foods grocery stores, 11 Rainbow Foods pharmacy locations, one Rainbow Foods liquor store, and three Rainbow Foods grocery stores in which the Company has a minority interest. The Company intends to operate five of the grocery stores, all pharmacies and the liquor store under the Cub Foods banner and two of the grocery stores are operating as Rainbow Foods grocery stores. The Company acquired Roundy’s RAINBOW™ trademarks. Total consideration for stores acquired by the Company was approximately $33 plus cash payments of approximately $5 for inventories. In addition, the Company assumed certain off-balance sheet obligations, including operating leases and multi-employer pension obligations with respect to the acquired stores. Preliminary purchase accounting allocations have not been completed. | |
The three grocery stores acquired by Diamond Lake 1994 L.L.C are operating under the Cub Foods banner. | |
Save-A-Lot Licensee Stores | |
During the first quarter ended June 14, 2014, the Company paid $5 to acquire equipment, leasehold improvements, inventory and intangible assets associated with 14 licensed Save-A-Lot stores. These Condensed Consolidated Financial Statements reflect the preliminary purchase accounting allocation, which will be completed in the second quarter of fiscal 2015. |
GOODWILL_AND_INTANGIBLE_ASSETS
GOODWILL AND INTANGIBLE ASSETS | 4 Months Ended | ||||||||||||||||||||
Jun. 14, 2014 | |||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ' | ||||||||||||||||||||
NOTE 3 – GOODWILL AND INTANGIBLE ASSETS | |||||||||||||||||||||
Changes in the Company’s Goodwill and Intangible assets consisted of the following: | |||||||||||||||||||||
February 22, | Additions | Impairments | Other net | June 14, | |||||||||||||||||
2014 | adjustments | 2014 | |||||||||||||||||||
Goodwill: | |||||||||||||||||||||
Independent Business goodwill | $ | 710 | $ | — | $ | — | $ | — | $ | 710 | |||||||||||
Save-A-Lot goodwill | 137 | — | — | — | 137 | ||||||||||||||||
Total goodwill | $ | 847 | $ | — | $ | — | $ | — | $ | 847 | |||||||||||
February 22, | Additions/ | Impairments | Other net | June 14, | |||||||||||||||||
2014 | Amortization | adjustments | 2014 | ||||||||||||||||||
Intangible assets: | |||||||||||||||||||||
Customer lists, customer relationships, favorable operating leases and other (accumulated amortization of $81 and $78 as of June 14, 2014 and February 22, 2014, respectively) | $ | 111 | $ | — | $ | — | $ | 1 | $ | 112 | |||||||||||
Trademarks and tradenames – indefinite useful lives | 9 | — | — | — | 9 | ||||||||||||||||
Non-compete agreements (accumulated amortization of $2 and $2 as of June 14, 2014 and February 22, 2014, respectively) | 3 | — | — | — | 3 | ||||||||||||||||
Total intangible assets | 123 | — | — | 1 | 124 | ||||||||||||||||
Accumulated amortization | (80 | ) | (3 | ) | — | (83 | ) | ||||||||||||||
Total intangible assets, net | $ | 43 | $ | 41 | |||||||||||||||||
Amortization of intangible assets with definite useful lives was $3 and $2 for the first quarters ended June 14, 2014 and June 15, 2013, respectively. Future amortization expense is anticipated to average approximately $5 per fiscal year for each of the next five fiscal years. |
RESERVES_FOR_CLOSED_PROPERTIES
RESERVES FOR CLOSED PROPERTIES AND PROPERTY, PLANT AND EQUIPMENT-RELATED IMPAIRMENT CHARGES | 4 Months Ended | ||||
Jun. 14, 2014 | |||||
Text Block [Abstract] | ' | ||||
RESERVES FOR CLOSED PROPERTIES AND PROPERTY, PLANT AND EQUIPMENT-RELATED IMPAIRMENT CHARGES | ' | ||||
NOTE 4 – RESERVES FOR CLOSED PROPERTIES AND PROPERTY, PLANT AND EQUIPMENT-RELATED IMPAIRMENT CHARGES | |||||
Reserves for Closed Properties | |||||
The Company maintains reserves for costs associated with closures of retail stores, distribution centers and other properties that are no longer being utilized in current operations. The Company provides for closed property operating lease liabilities using a discount rate to calculate the present value of the remaining noncancellable lease payments after the closing date, reduced by estimated subtenant rentals that could be reasonably obtained for the property. Adjustments to closed property reserves primarily relate to changes in subtenant income or actual exit costs differing from original estimates. | |||||
Changes in the Company’s reserves for closed properties consisted of the following: | |||||
June 14, 2014 | |||||
Reserves for closed properties at beginning of the fiscal year | $ | 47 | |||
Additions | 1 | ||||
Payments | (4 | ) | |||
Adjustments | (1 | ) | |||
Reserves for closed properties at the end of period | $ | 43 | |||
Property, Plant and Equipment and Lease Reserve Impairment Charges | |||||
Property, plant and equipment and lease reserve impairment charges are recorded as a component of Selling and administrative expenses in the Condensed Consolidated Statements of Operations. The calculation of the closed property charges requires significant judgments and estimates including estimated subtenant rentals, discount rates, and future cash flows based on the Company’s experience and knowledge of the market in which the closed property is located, previous efforts to dispose of similar assets and the assessment of existing market conditions. | |||||
In the first quarter of fiscal 2015, the Company did not incur any property, plant and equipment-related impairment charges. In the first quarter of fiscal 2014, property, plant and equipment-related assets with a carrying amount of $21 were written down to their fair value of $5, resulting in impairment charges of $16. First quarter fiscal 2014 impairment charges primarily related to the write-off of certain software support tools that would no longer be utilized in operations and surplus property impairments. |
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 4 Months Ended | ||||
Jun. 14, 2014 | |||||
Fair Value Disclosures [Abstract] | ' | ||||
FAIR VALUE MEASUREMENTS | ' | ||||
NOTE 5 – FAIR VALUE MEASUREMENTS | |||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities recorded at fair value are categorized using defined hierarchical levels directly related to the amount of subjectivity associated with the inputs to fair value measurements, as follows: | |||||
Level 1 | – | Quoted prices in active markets for identical assets or liabilities; | |||
Level 2 | – | Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; | |||
Level 3 | – | Unobservable inputs in which little or no market activity exists, requiring an entity to develop its own assumptions that market participants would use to value the asset or liability. | |||
Impairment charges related to lease reserves and property, plant and equipment recorded during the first quarter of fiscal 2014 discussed in Note 4 – Reserves for Closed Properties and Property, Plant and Equipment-Related Impairment Charges were measured at fair value using Level 3 inputs. Property, plant and equipment impairment charges and finalization adjustments recorded in the first quarter of fiscal 2014, related to New Albertson’s, Inc. (“NAI”), were measured at fair value using Level 3 inputs and recorded in (Loss) income from discontinued operations, net of tax, and are discussed in Note 15 – Discontinued Operations. | |||||
Financial Instruments | |||||
For certain of the Company’s financial instruments, including cash and cash equivalents, receivables, accounts payable, accrued salaries and other current assets and liabilities, the fair values approximate book values due to their short maturities. | |||||
The estimated fair value of notes receivable was greater than their book value by approximately $2 as of June 14, 2014 and February 22, 2014. Notes receivable are valued based on a discounted cash flow approach applying a market rate for similar instruments using Level 3 inputs. | |||||
The estimated fair value of the Company’s long-term debt (including current maturities) was greater than the book value by approximately $83 as of June 14, 2014 and February 22, 2014. The estimated fair value was based on market quotes, where available, or market values for similar instruments, using Level 2 and 3 inputs. |
LONGTERM_DEBT
LONG-TERM DEBT | 4 Months Ended | ||||||||||
Jun. 14, 2014 | |||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||
LONG-TERM DEBT | ' | ||||||||||
NOTE 6 – LONG-TERM DEBT | |||||||||||
The Company’s long-term debt consisted of the following: | |||||||||||
June 14, | February 22, | ||||||||||
2014 | 2014 | ||||||||||
4.50% Secured Term Loan Facility due March 2019 | $ | 1,474 | $ | 1,474 | |||||||
1.91% to 4.00% Revolving ABL Credit Facility due February 2019 | — | — | |||||||||
8.00% Senior Notes due May 2016 | 628 | 628 | |||||||||
6.75% Senior Notes due June 2021 | 400 | 400 | |||||||||
Other | 14 | 18 | |||||||||
Net discount on debt, using an effective interest rate of 4.63% to 8.58% | (14 | ) | (16 | ) | |||||||
Total debt | 2,502 | 2,504 | |||||||||
Less current maturities of long-term debt | (16 | ) | (18 | ) | |||||||
Long-term debt | $ | 2,486 | $ | 2,486 | |||||||
The Company’s credit facilities and certain long-term debt agreements have restrictive covenants and cross-default provisions which generally provide, subject to the Company’s right to cure, for the acceleration of payments due in the event of a breach of a covenant or a default in the payment of a specified amount of indebtedness due under certain other debt agreements. The Company was in compliance with all such covenants and provisions for all periods presented. | |||||||||||
Senior Secured Credit Agreements | |||||||||||
As of June 14, 2014 and February 22, 2014, the Company had outstanding borrowings of $1,474 under its six-year $1,500 term loan facility (the “Secured Term Loan Facility”), secured by substantially all of the Company’s real estate, equipment and certain other assets, which bears interest at the rate of LIBOR plus 3.50 percent and includes a floor on LIBOR set at 1.00 percent. The Secured Term Loan Facility is guaranteed by the Company’s material subsidiaries (together with the Company, the “Term Loan Parties”). To secure their obligations under the Secured Term Loan Facility, the Company granted a perfected first-priority security interest for the benefit of the facility lenders in the Term Loan Parties’ equity interest in Moran Foods, LLC, the parent entity of the Company’s Save-A-Lot business, and the Term Loan Parties granted a perfected first priority security interest in substantially all of their intellectual property and a first priority mortgage lien and security interest in certain owned or ground-leased real estate and associated equipment pledged as collateral. As of June 14, 2014 and February 22, 2014, there was $684 and $704, respectively, of owned or ground-leased real estate and associated equipment pledged as collateral, which was included in Property, plant and equipment, net in the Condensed Consolidated Balance Sheets. In addition, the obligations of the Term Loan Parties under the Secured Term Loan Facility are secured by second-priority security interests in the collateral securing the Company’s five-year $1,000 asset-based revolving ABL credit facility (the “Revolving ABL Credit Facility”). As of June 14, 2014 and February 22, 2014, $2 and $0, respectively, of the Secured Term Loan Facility was classified as current. | |||||||||||
The loans under the Secured Term Loan Facility may be voluntarily prepaid in certain minimum principal amounts, subject to the payment of breakage or similar costs and, in certain circumstances, a prepayment fee. Pursuant to the Secured Term Loan Facility, the Company must, subject to certain customary reinvestment rights, apply 100 percent of Net Cash Proceeds (as defined in the facility) from certain types of asset sales (excluding proceeds of the collateral security of the Revolving ABL Credit Facility and other secured indebtedness) to prepay the loans outstanding under the Secured Term Loan Facility. Beginning with the fiscal year ended February 22, 2014, the Company must prepay loans outstanding under the facility no later than 90 days after the fiscal year end in an aggregate principal amount equal to a percentage (which percentage ranges from 0 to 50 percent depending on the Company’s Total Secured Leverage Ratio (as defined in the facility) as of the last day of such fiscal year) of Excess Cash Flow (as defined in the facility) for the fiscal year then ended minus any voluntary prepayments made during such fiscal year with Internally Generated Cash (as defined in the facility). The potential amount of prepayment from Excess Cash Flow that will be required for fiscal 2015 is not reasonably estimable as of June 14, 2014. | |||||||||||
On April 17, 2014, the Company entered into an amendment (the “ABL Amendment”) to its Revolving ABL Credit Facility that reduced the interest rates to LIBOR plus 1.50 percent to LIBOR plus 2.00 percent or prime plus 0.50 percent to 1.00 percent, depending on utilization. The ABL Amendment also eliminated the springing maturity provision that would have accelerated the maturity of the facility to 90 days prior to May 1, 2016 if more than $250 of the Company’s 8.00 percent Senior Notes due May 2016 remained outstanding as of that date. The springing maturity provision was replaced with a springing reserve provision that calls for a reserve to be placed against availability under the facility in the amount of any outstanding Material Indebtedness (as defined in the facility) that is due within 30 days of the date the reserve is established. The ABL Amendment also amended the facility to provide that the Company may incur additional term loans under the Secured Term Loan Facility in an aggregate principal amount of up to $500 instead of $250 as was in effect prior to the ABL Amendment, subject to identifying term loan lenders or other institutional lenders willing to provide the additional loans and satisfying certain terms and conditions. In addition, the ABL Amendment extended the maturity date of the facility to February 21, 2019 and contains modified covenants to give the Company additional strategic and operational flexibility. | |||||||||||
As of June 14, 2014 and February 22, 2014, there were no outstanding borrowings under the Revolving ABL Credit Facility. As of June 14, 2014, letters of credit outstanding under the Revolving ABL Credit Facility were $97 at fees of 1.875 percent, and the unused available credit under this facility was $818 with facility fees of 0.375 percent. As of February 22, 2014, letters of credit outstanding under the Company’s previous revolving credit facility due March 2018 were $101 at fees of 2.125 percent, and the unused available credit under this facility was $786 with facility fees of 0.375 percent. As of June 14, 2014 and February 22, 2014, the Revolving ABL Credit Facility and the Company’s previous revolving credit facility due March 2018 was secured on a first priority basis by $1,115 and $1,066, respectively, of certain inventory assets included in Inventories, net, all eligible receivables included in Receivables, net, all of the Company’s pharmacy scripts included in Intangible assets, net and all credit card receivables of wholly-owned stores included in Cash and cash equivalents in the Condensed Consolidated Balance Sheets. | |||||||||||
The revolving loans under the Revolving ABL Credit Facility may be voluntarily prepaid in certain minimum principal amounts, in whole or in part, without premium or penalty, subject to breakage or similar costs. The Company and those subsidiaries named as borrowers under the Revolving ABL Credit Facility are required to repay the revolving loans in cash and provide cash collateral under this facility to the extent that the revolving loans and letters of credit exceed the lesser of the borrowing base then in effect or the aggregate amount of the lenders’ commitments under the Revolving ABL Credit Facility. During the first quarter of fiscal 2015, the Company borrowed and repaid $870 under its Revolving ABL Credit Facility and its previous revolving credit facility due March 2018. During the first quarter of fiscal 2014, the Company borrowed $1,114 and repaid $1,217 under its previous revolving credit facilities. Certain of the Company’s material subsidiaries are co-borrowers under the Revolving ABL Credit Facility, and this facility is guaranteed by the rest of the Company’s material subsidiaries (the Company and those subsidiaries named as borrowers and guarantors under the Revolving ABL Credit Facility, the “ABL Loan Parties”). To secure their obligations under this facility, the ABL Loan Parties have granted a perfected first-priority security interest for the benefit of the facility lenders in its present and future inventory, credit card, wholesale trade, pharmacy and certain other receivables, prescription files and related assets. In addition, the obligations under the Revolving ABL Credit Facility are secured by second-priority liens on and security interests in the collateral securing the Secured Term Loan Facility, subject to certain limitations to ensure compliance with the Company’s outstanding debt instruments and leases. | |||||||||||
Debentures | |||||||||||
The remaining $628 of 8.00 percent Senior Notes due 2016 and $400 of 6.75 percent Senior Notes due June 2021 contain operating covenants, including limitations on liens and on sale and leaseback transactions. The Company was in compliance with all such covenants and provisions for all periods presented. |
INCOME_TAXES
INCOME TAXES | 4 Months Ended |
Jun. 14, 2014 | |
Income Tax Disclosure [Abstract] | ' |
INCOME TAXES | ' |
NOTE 7 – INCOME TAXES | |
The tax rate for the first quarter of fiscal 2015 included $2 in discrete tax benefits. The tax rate for the first quarter of fiscal 2014 included $2 of discrete tax benefits and $2 of discrete tax expense. | |
During the first quarter ended June 14, 2014, unrecognized tax benefits increased $2 from the amounts disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended February 22, 2014. The Company does not anticipate that its total unrecognized tax benefits will change significantly in the next 12 months. | |
As of June 14, 2014, the Company is no longer subject to federal income tax examinations for fiscal years prior to 2011 and in most states is no longer subject to state income tax examinations for fiscal years before 2006. |
STOCKBASED_AWARDS
STOCK-BASED AWARDS | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||
STOCK-BASED AWARDS | ' | ||||||||
NOTE 8 – STOCK-BASED AWARDS | |||||||||
The Company recognized pre-tax stock-based compensation expense (included primarily in Selling and administrative expenses in the Condensed Consolidated Statements of Operations) related to stock options, restricted stock units, restricted stock awards and performance awards (collectively referred to as “stock-based awards”) of $7 and $12 for the first quarters of fiscal 2015 and 2014, respectively. In the first quarter of fiscal 2014, the Company recognized $9 of accelerated stock-based compensation charges in Selling and administrative expenses as a result of a deemed change-in-control, comprised of $5 from long-term incentive programs, $3 from restricted stock awards and $1 from stock options. | |||||||||
Stock Options | |||||||||
In May 2014 and May 2013, the Company granted 5 and 9 of non-qualified stock options to certain employees under the Company’s 2012 Stock Plan with weighted average grant date fair values of $3.28 per share and $2.78 per share, respectively. The stock options vest over a period of three years, and were awarded as part of a broad-based employee incentive program designed to retain and motivate employees across the Company. | |||||||||
The Company used the Black-Scholes option pricing model to estimate the fair value of the options at grant date based upon the following assumptions. | |||||||||
First Quarter Ended | |||||||||
June 14, | June 15, | ||||||||
2014 | 2013 | ||||||||
Dividend yield | — | % | — | % | |||||
Volatility rate | 50.8 – 53.2 | % | 49.3 – 51.3 | % | |||||
Risk-free interest rate | 1.2 – 1.6 | % | 0.6 – 1.0 | % | |||||
Expected life | 4.0 – 5.0 years | 4.0 – 6.0 years | |||||||
Restricted Stock Units | |||||||||
In the first quarter of fiscal 2015, the Company granted 2 restricted stock units (“RSUs”) to certain employees under the 2012 Stock Plan. The RSUs vest over a three year period from the date of grant and were granted at a fair value of $7.50 per unit. |
BENEFIT_PLANS
BENEFIT PLANS | 4 Months Ended | ||||||||||||||||||
Jun. 14, 2014 | |||||||||||||||||||
Compensation And Retirement Disclosure [Abstract] | ' | ||||||||||||||||||
BENEFIT PLANS | ' | ||||||||||||||||||
NOTE 9 – BENEFIT PLANS | |||||||||||||||||||
Net periodic benefit expense and contributions for defined benefit pension and other postretirement benefit plans consisted of the following: | |||||||||||||||||||
First Quarter Ended | |||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||
June 14, 2014 | June 15, 2013 | June 14, 2014 | June 15, 2013 | ||||||||||||||||
(16 weeks) | (16 weeks) | (16 weeks) | (16 weeks) | ||||||||||||||||
Service cost | $ | — | $ | — | $ | — | $ | 1 | |||||||||||
Interest cost | 39 | 37 | 1 | 1 | |||||||||||||||
Expected return on assets | (47 | ) | (43 | ) | — | — | |||||||||||||
Amortization of prior service benefit | — | — | (4 | ) | (4 | ) | |||||||||||||
Amortization of net actuarial loss | 19 | 31 | 1 | 2 | |||||||||||||||
Net periodic benefit expense | $ | 11 | $ | 25 | $ | (2 | ) | $ | — | ||||||||||
Contributions to benefit plans | $ | (45 | ) | $ | (71 | ) | $ | — | $ | (1 | ) | ||||||||
During each of the first quarters ended June 14, 2014 and June 15, 2013, the Company contributed $13 and $12, respectively, to various multi-employer pension plans, primarily defined benefit pension plans, under collective bargaining agreements. |
NET_EARNINGS_LOSS_PER_SHARE
NET EARNINGS (LOSS) PER SHARE | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
NET EARNINGS (LOSS) PER SHARE | ' | ||||||||
NOTE 10 – NET EARNINGS (LOSS) PER SHARE | |||||||||
Basic net earnings (loss) per share is calculated using net earnings (loss) attributable to SUPERVALU INC. stockholders divided by the weighted average number of shares outstanding during the period. Diluted net earnings (loss) per share is similar to basic net earnings (loss) per share except that the weighted average number of shares outstanding is computed after giving effect to the dilutive impacts of stock-based awards. | |||||||||
The following table reflects the calculation of basic and diluted net earnings (loss) per share: | |||||||||
First Quarter Ended | |||||||||
June 14, 2014 | June 15, 2013 | ||||||||
(16 weeks) | (16 weeks) | ||||||||
Net earnings (loss) from continuing operations | $ | 48 | $ | (102 | ) | ||||
Less Net earnings attributable to noncontrolling interests | 2 | 3 | |||||||
Net earnings (loss) from continuing operations attributable to SUPERVALU INC. | 46 | (105 | ) | ||||||
(Loss) income from discontinued operations, net of tax | (3 | ) | 190 | ||||||
Net earnings attributable to SUPERVALU INC. | $ | 43 | $ | 85 | |||||
Weighted average number of shares outstanding – basic | 260 | 246 | |||||||
Dilutive impact of stock-based awards | 2 | 4 | |||||||
Weighted average number of shares outstanding – diluted(1) | 262 | 250 | |||||||
Basic net earnings (loss) per share attributable to SUPERVALU INC.: | |||||||||
Continuing operations | $ | 0.18 | $ | (0.43 | ) | ||||
Discontinued operations | $ | (0.01 | ) | $ | 0.78 | ||||
Basic net earnings per share | $ | 0.17 | $ | 0.35 | |||||
Diluted net earnings (loss) per share attributable to SUPERVALU INC.: | |||||||||
Continuing operations(1) | $ | 0.18 | $ | (0.43 | ) | ||||
Discontinued operations(1) | $ | (0.01 | ) | $ | 0.77 | ||||
Diluted net earnings per share | $ | 0.17 | $ | 0.34 | |||||
-1 | Weighted average number of shares outstanding – diluted was equal to Weighted average number of shares outstanding – basic for the computation of diluted net loss per share from discontinued operations for the first quarter ended June 14, 2014 and diluted net loss per share from continuing operations for the first quarter ended June 15, 2013. | ||||||||
Stock-based awards of 17 and 20 were outstanding during the first quarter ended June 14, 2014 and June 15, 2013, respectively, but were excluded from the calculation of diluted net earnings (loss) per share from continuing operations for the periods because their inclusion would be antidilutive. |
NONCONTROLLING_INTERESTS
NONCONTROLLING INTERESTS | 4 Months Ended | ||||||||||||
Jun. 14, 2014 | |||||||||||||
Noncontrolling Interest [Abstract] | ' | ||||||||||||
NONCONTROLLING INTERESTS | ' | ||||||||||||
NOTE 11 – NONCONTROLLING INTERESTS | |||||||||||||
Noncontrolling interests primarily include minority ownership interests in certain entities operating Retail Food stores under the Cub Foods banner. Pursuant to the terms of the ownership agreements, the Company is required to distribute cash flows generated by these entities on a proportionate basis based on ownership interest. A reconciliation of the beginning and ending carrying amount of the equity attributable to noncontrolling interests is as follows: | |||||||||||||
First Quarter Ended | |||||||||||||
June 14, 2014 | June 15, 2013 | ||||||||||||
(16 weeks) | (16 weeks) | ||||||||||||
Equity attributable to noncontrolling interests at beginning of year | $ | 8 | $ | 10 | |||||||||
Net earnings attributable to noncontrolling interests | 2 | 3 | |||||||||||
Distributions to noncontrolling interests | (4 | ) | (5 | ) | |||||||||
Equity attributable to noncontrolling interests at end of period | $ | 6 | $ | 8 | |||||||||
COMPREHENSIVE_INCOME_AND_ACCUM
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Equity [Abstract] | ' | ||||||||
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | ' | ||||||||
NOTE 12 – COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | |||||||||
The Company reports comprehensive income in the Condensed Consolidated Statements of Comprehensive Income. Comprehensive income includes all changes in stockholders’ deficit during the applicable reporting period, other than those resulting from investments by and distributions to stockholders. The Company’s comprehensive income is calculated as net earnings (loss) including noncontrolling interests plus or minus adjustments for pension and other postretirement benefit obligations, net of tax, less comprehensive income attributable to noncontrolling interests. | |||||||||
Accumulated other comprehensive loss represents the cumulative balance of other comprehensive income, net of tax, as of the end of the reporting period and relates to pension and other postretirement benefit obligation adjustments, net of tax. Changes in Accumulated other comprehensive loss by component is as follows: | |||||||||
First Quarter Ended | |||||||||
June 14, 2014 | June 15, 2013 | ||||||||
(16 weeks) | (16 weeks) | ||||||||
Pension and postretirement benefit plan accumulated other comprehensive loss at beginning of the fiscal year, net of tax | $ | 307 | $ | 612 | |||||
Other comprehensive (income) loss before reclassifications, net of tax expense of $0 and $0, respectively | — | — | |||||||
Amortization of amounts included in net periodic benefit cost, net of tax expense of $5 and $11, respectively | (11 | ) | (18 | ) | |||||
Net current-period Other comprehensive income, net of tax expense of $5 and $11, respectively | (11 | ) | (18 | ) | |||||
Divestiture of NAI pension plan accumulated other comprehensive income, net of tax expense of $0 and $31, respectively | — | (48 | ) | ||||||
Pension and postretirement benefit plan accumulated other comprehensive loss at the end of period, net of tax | $ | 296 | $ | 546 | |||||
Upon completion of the sale of NAI in the first quarter of fiscal 2014, the Company disposed approximately $48 of Accumulated other comprehensive loss, which was a component of Stockholders’ deficit in the Consolidated Balance Sheets as of February 23, 2013, due to NAI’s assumption of a defined benefit pension plan established and operated under NAI. | |||||||||
Amortization of amounts included in net periodic benefit cost before tax were reclassified out of Accumulated other comprehensive loss into Selling and administrative expenses and Cost of sales of $12 and $4, respectively, for the first quarter of fiscal 2015 and $26 and $3 for the first quarter of fiscal 2014, respectively, in the Condensed Consolidated Statements of Operations. See Note 9—Benefit Plans for information regarding the recognition of pension and other postretirement benefit obligation activity. |
COMMITMENTS_CONTINGENCIES_AND_
COMMITMENTS, CONTINGENCIES AND OFF-BALANCE SHEET ARRANGEMENTS | 4 Months Ended |
Jun. 14, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
COMMITMENTS, CONTINGENCIES AND OFF-BALANCE SHEET ARRANGEMENTS | ' |
NOTE 13 – COMMITMENTS, CONTINGENCIES AND OFF-BALANCE SHEET ARRANGEMENTS | |
Guarantees | |
The Company has outstanding guarantees related to certain leases, fixture financing loans and other debt obligations of various retailers as of June 14, 2014. These guarantees were generally made to support the business growth of independent retail customers. The guarantees are generally for the entire terms of the leases or other debt obligations with remaining terms that range from less than one year to 16 years, with a weighted average remaining term of approximately eight years. For each guarantee issued, if the independent retail customer defaults on a payment, the Company would be required to make payments under its guarantee. Generally, the guarantees are secured by indemnification agreements or personal guarantees of the independent retail customer. | |
The Company reviews performance risk related to its guarantees of independent retail customer obligations based on internal measures of credit performance. As of June 14, 2014, the maximum amount of undiscounted payments the Company would be required to make in the event of default of all guarantees was $69 ($53 on a discounted basis). Based on the indemnification agreements, personal guarantees and results of the reviews of performance risk, the Company believes the likelihood that it will be required to assume a material amount of these obligations is remote. Accordingly, no amount has been recorded in the Condensed Consolidated Balance Sheets for these contingent obligations under the Company’s guarantee arrangements. | |
The Company is contingently liable for leases that have been assigned to various third parties in connection with facility closings and dispositions. The Company could be required to satisfy the obligations under the leases if any of the assignees are unable to fulfill their lease obligations. Due to the wide distribution of the Company’s assignments among third parties, and various other remedies available, the Company believes the likelihood that it will be required to assume a material amount of these obligations is remote. | |
The Company is a party to a variety of contractual agreements under which it may be obligated to indemnify the other party for certain matters in the ordinary course of business, which indemnities may be secured by operation of law or otherwise. These agreements primarily relate to the Company’s commercial contracts, contracts entered into for the purchase and sale of stock or assets, operating leases and other real estate contracts, financial agreements, agreements to provide services to the Company and agreements to indemnify officers, directors and employees in the performance of their work. While the Company’s aggregate indemnification obligation could result in a material liability, the Company is not aware of any matters that are expected to result in a material liability. | |
Following the sale of NAI, the Company remains contingently liable with respect to certain self-insurance commitments and other guarantees as a result of parental guarantees issued by SUPERVALU INC. with respect to the obligations of NAI that were incurred while NAI was a subsidiary of the Company. As of February 22, 2014, the total undiscounted amount of all such guarantees was $331 ($297 on a discounted basis). Based on the expected settlement of the self-insurance claims that underlie the Company’s commitments while the Company owned NAI, the Company believes that such contingent liabilities will continue to decline. Subsequent to the sale of NAI, NAI collateralized these obligations with letters of credit to numerous states and certain NAI retail banner real estate assets. Because NAI remains a primary obligor on these self-insurance and other obligations and has collateralized the self-insurance obligations for which the Company remains contingently liable, the Company believes that the likelihood that it will be required to assume a material amount of these obligations is remote. Accordingly, no amount has been recorded in the Condensed Consolidated Balance Sheets for these guarantees. | |
Other Contractual Commitments | |
In the ordinary course of business, the Company enters into supply contracts to purchase products for resale and purchase and service contracts for fixed asset and information technology commitments. These contracts typically include either volume commitments or fixed expiration dates, termination provisions and other standard contractual considerations. As of June 14, 2014, the Company had approximately $312 of non-cancelable future purchase obligations. | |
The Company and AB Acquisition LLC (“AB Acquisition”) entered into a binding term sheet with the Pension Benefit Guaranty Corporation (the “PBGC”) relating to issues regarding the effect of the sale of NAI on certain SUPERVALU retirement plans. The agreement requires that the Company will not pay any dividends to its stockholders at any time for the period beginning on January 9, 2013 and ending on the earliest of (i) March 21, 2018, (ii) the date on which the total of all contributions made to the SUPERVALU Retirement Plan on or after the closing date of the sale of NAI is at least $450 and (iii) the date on which SUPERVALU’s unsecured credit rating is BB+ from Standard & Poor’s or Ba1 from Moody’s (such earliest date, the end of the “PBGC Protection Period”). SUPERVALU has also agreed to make certain contributions to the SUPERVALU Retirement Plan in excess of the minimum required contributions at or before the end of fiscal years 2015 – 2017 (where such fiscal years end during the PBGC Protection Period), and AB Acquisition has agreed to provide a guarantee to the PBGC for such excess payments. Excess contributions required under this binding term sheet include $25 by the end of fiscal 2015, an additional $25 by the end of fiscal 2016 and an additional $50 by the end of fiscal 2017. | |
Legal Proceedings | |
The Company is subject to various lawsuits, claims and other legal matters that arise in the ordinary course of conducting business. In the opinion of management, based upon currently-available facts, it is remote that the ultimate outcome of any lawsuits, claims and other proceedings will have a material adverse effect on the overall results of the Company’s operations, its cash flows or its financial position. | |
In September 2008, a class action complaint was filed against the Company, as well as International Outsourcing Services, LLC (“IOS”); Inmar, Inc.; Carolina Manufacturer’s Services, Inc.; Carolina Coupon Clearing, Inc. and Carolina Services in the United States District Court in the Eastern District of Wisconsin. The plaintiffs in the case are a consumer goods manufacturer, a grocery co-operative and a retailer marketing services company who allege on behalf of a purported class that the Company and the other defendants (i) conspired to restrict the markets for coupon processing services under the Sherman Act and (ii) were part of an illegal enterprise to defraud the plaintiffs under the Federal Racketeer Influenced and Corrupt Organizations Act. The plaintiffs seek monetary damages, attorneys’ fees and injunctive relief. The Company intends to vigorously defend this lawsuit, however all proceedings have been stayed in the case pending the result of the criminal prosecution of certain former officers of IOS. | |
In December 2008, a class action complaint was filed in the United States District Court for the Western District of Wisconsin against the Company alleging that a 2003 transaction between the Company and C&S Wholesale Grocers, Inc. (“C&S”) was a conspiracy to restrain trade and allocate markets. In the 2003 transaction, the Company purchased certain assets of the Fleming Corporation as part of Fleming Corporation’s bankruptcy proceedings and sold certain assets of the Company to C&S which were located in New England. Since December 2008, three other retailers have filed similar complaints in other jurisdictions. The cases have been consolidated and are proceeding in the United States District Court for the District of Minnesota. The complaints allege that the conspiracy was concealed and continued through the use of non-compete and non-solicitation agreements and the closing down of the distribution facilities that the Company and C&S purchased from each other. Plaintiffs are seeking monetary damages, injunctive relief and attorneys’ fees. On July 5, 2011, the District Court granted the Company’s Motion to Compel Arbitration for those plaintiffs with arbitration agreements and plaintiffs appealed. On July 16, 2012, the District Court denied plaintiffs’ Motion for Class Certification and on January 11, 2013, the District Court granted the Company’s Motion for Summary Judgment and dismissed the case regarding the non-arbitration plaintiffs. Plaintiffs have appealed these decisions. On February 12, 2013, the 8th Circuit reversed the District Court decision requiring plaintiffs with arbitration agreements to arbitrate and the Company filed a Petition with the 8th Circuit for an En Banc Rehearing. On June 7, 2013, the 8th Circuit denied the Petition for Rehearing and remanded the case to the District Court. On October 30, 2013, the parties attended a District Court ordered mandatory mediation which was not successful in resolving the matter. On May 21, 2014, a panel of the 8th Circuit (1) reversed the District Court’s decision granting summary judgment in favor of the Company, and (2) affirmed the District Court’s decision denying class certification of a class consisting of all retailers located in the States of Illinois, Indiana, Iowa, Michigan, Minnesota, Ohio and Wisconsin that purchased wholesale grocery products from the Company between December 31, 2004 and September 13, 2008, but remanded the case for the District Court to consider whether to certify a narrower class of purchasers supplied from the Company’s Champaign, Illinois distribution center. On June 18, 2014, the Company filed a petition for en banc review by the 8th Circuit on the reversal of the summary judgment decision and specific issues raised thereunder. | |
In May 2012, Kiefer, a former Assistant Store Manager at Save-A-Lot, filed a class action against Save-A-Lot seeking to represent current and former Assistant Store Managers alleging violations of the Fair Labor Standards Act related to the fluctuating work week method of pay (“FWW”) in the United States District Court in the District of Connecticut. FWW is a method of compensation whereby employees are paid a fixed salary for all hours worked during a week plus additional compensation at one-half the regular rate for overtime hours. Kiefer claimed that the FWW practice is unlawful or, if lawful, that Save-A-Lot improperly applied the FWW method of pay, including in situations involving paid time off, holiday pay, and bonus payments. In March 2013, the United States District Court granted conditional certification in favor of Kiefer on the issue of whether Save-A-Lot properly applied the FWW. In May 2013, the United States District Court denied Save-A-Lot’s motion for summary judgment on the same issue. This FWW practice is permissible under the Fair Labor Standards Act and other state laws, and Save-A-Lot denied all allegations in the case. The same plaintiffs’ attorneys representing Kiefer filed two additional FWW actions against Save-A-Lot and SUPERVALU. Shortly before filing of the Kiefer lawsuit, in one of these cases filed by a former Assistant Store Manager (Roach) in March 2011, the Superior Court for the Judicial District of Hartford at Hartford granted summary judgment in favor of Save-A-Lot determining FWW was a legal practice in Connecticut. In March 2013, another Save-A-Lot Assistant Store Manager (Pagano) filed an FWW class claim against SUPERVALU under Pennsylvania state law in the Philadelphia County Court of Common Pleas relating to overtime payment. In all three cases, which the Company was defending vigorously, plaintiffs were seeking monetary damages and attorneys’ fees. On August 20, 2013, the parties agreed in principle to resolve the matters on a nationwide basis in a settlement that will cap the Company’s aggregate obligation, including with respect to settlement funds, plaintiffs’ attorneys fees and costs and settlement administration costs. The settlement is subject to the applicable courts’ preliminary and final approval. The court granted preliminary approval of the settlement on March 13, 2014. Final resolution is subject to the court’s approval, which the parties will seek in July 2014. The Company recorded a litigation settlement charge of $5 before tax ($3 after tax) in the second quarter of fiscal 2014 in connection with the expected settlement of this matter. The Company funded $5 into a qualified settlement fund on February 28, 2014. | |
Predicting the outcomes of claims and litigation and estimating related costs and exposures involves substantial uncertainties that could cause actual outcomes, costs and exposures to vary materially from current expectations. The Company regularly monitors its exposure to the loss contingencies associated with these matters and may from time to time change its predictions with respect to outcomes and its estimates of related costs and exposures. | |
With respect to the IOS and C&S matters discussed above, the Company believes the chance of a negative outcome is remote. It is possible, although management believes it is remote, that material differences in actual outcomes, costs and exposures relative to current predictions and estimates, or material changes in such predictions or estimates, could have a material adverse effect on the Company’s financial condition, results of operations or cash flows. |
SEGMENT_INFORMATION
SEGMENT INFORMATION | 4 Months Ended |
Jun. 14, 2014 | |
Segment Reporting [Abstract] | ' |
SEGMENT INFORMATION | ' |
NOTE 14 – SEGMENT INFORMATION | |
Refer to the Condensed Consolidated Segment Financial Information for the Company’s segment information. |
DISCONTINUED_OPERATIONS
DISCONTINUED OPERATIONS | 4 Months Ended | ||||||||||||
Jun. 14, 2014 | |||||||||||||
Discontinued Operations And Disposal Groups [Abstract] | ' | ||||||||||||
DISCONTINUED OPERATIONS | ' | ||||||||||||
NOTE 15 – DISCONTINUED OPERATIONS | |||||||||||||
On March 21, 2013, the Company sold NAI to AB Acquisition, which resulted in the sale of the NAI banners, including Albertsons, Acme, Jewel-Osco, Shaw’s and Star Market and related Osco and Sav-on in-store pharmacies (collectively, the “NAI Banners”). The operating results and cash flows of the NAI Banners have been presented separately as discontinued operations in the Condensed Consolidated Financial Statements for all periods presented. | |||||||||||||
During the first quarter of fiscal 2014, the Company received net proceeds of approximately $100 and a short-term note receivable of approximately $44 for the stock of NAI. AB Acquisition assumed approximately $3,200 of debt and capital leases, excluding original issue discounts. In addition, AB Acquisition assumed the underfunded status of NAI’s share of the multiemployer pension plans to which the Company contributed. AB Acquisition’s portion of the underfunded status of the multiemployer pension plans was estimated to be approximately $1,138 before tax, based on the Company’s estimated “proportionate share” of underfunding calculated as of February 23, 2013. | |||||||||||||
In connection with the sale of NAI, the Company entered into various agreements with AB Acquisition and its affiliates related to on-going operations, including a Transition Services Agreement with each of NAI and Albertson’s LLC (collectively, the “TSA”) and operating and supply agreements. These arrangements had initial terms that range from 12 months to 5 years, are generally subject to renewal upon mutual agreement by the parties thereto and also include termination provisions that can be exercised by each party. The initial terms of the TSA run through September 2015 and may be extended in one year increments with a one year notice. The Company recognized $58 and $84 in TSA fees earned during the first quarters of fiscal 2015 and 2014, respectively, including $36 under the first-year transitional fee provisions recognized during the first quarter of fiscal 2014. TSA fees earned are reflected in Net sales in the Condensed Consolidated Statements of Operations. The shared service center costs incurred to support back office functions related to the NAI Banners represent administrative overhead and are recorded in Selling and administrative expenses. | |||||||||||||
During fiscal 2013, the Company recorded a preliminary estimated pre-tax loss on contract for the disposal of NAI of approximately $1,150 and a pre-tax property, plant and equipment-related impairment of $203. The loss on sale calculation was finalized during fiscal 2014, including the finalization of the working capital adjustment. The total loss on sale of NAI was $1,263, comprised of $1,081 of contract loss and $182 of property, plant and equipment-related impairment, resulting in pre-tax reductions to the preliminary estimated loss on sale of NAI of $85 and $5 during the first and second quarters of fiscal 2014, respectively, which was recorded as a component of (Loss) income from discontinued operations, net of tax in the Condensed Consolidated Statements of Operations. The Company determined the pre-tax property, plant and equipment-related impairment using Level 3 inputs. | |||||||||||||
The following is a summary of the Company’s operating results and certain other directly attributable expenses that are included in discontinued operations: | |||||||||||||
First Quarter Ended | |||||||||||||
June 14, 2014 | June 15, 2013 | ||||||||||||
(16 weeks) | (16 weeks) | ||||||||||||
Net sales | $ | — | $ | 1,235 | |||||||||
Income before income taxes from discontinued operations | 2 | 117 | |||||||||||
Income tax provision (benefit) | 5 | (73 | ) | ||||||||||
(Loss) income from discontinued operations, net of tax | $ | (3 | ) | $ | 190 | ||||||||
Income before income taxes from discontinued operations for the first quarter of fiscal 2015 reflects $2 of interest income resulting from settlement of income tax audits. The income tax provision included as a component of Loss (income) from discontinued operations, net of tax for the first quarter of fiscal 2015 included $4 of discrete tax expenses. The income tax benefit included as a component of (Loss) income from discontinued operations, net of tax for the first quarter of fiscal 2014 included $118 of discrete tax benefits primarily resulting from the settlement of Internal Revenue Service audits for the fiscal 2010, 2009 and 2008 tax years. | |||||||||||||
The Company recorded $38 and $53 within Net sales of continuing operations related to wholesale distribution to certain NAI Banners for the first quarters of fiscal 2015 and 2014, respectively. In addition, the Company recorded $54 within Net sales of continuing operations for first quarters of fiscal 2015 and 2014 related to wholesale distribution of certain products to stores owned by Albertson’s LLC that were not part of AB Acquisition’s purchase of NAI. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 4 Months Ended |
Jun. 14, 2014 | |
Accounting Policies [Abstract] | ' |
Statement of Registrant | ' |
Statement of Registrant | |
The accompanying condensed consolidated financial statements of SUPERVALU INC. (“SUPERVALU” or the “Company”) for the first quarters ended June 14, 2014 and June 15, 2013 are unaudited and, in the opinion of management, contain all adjustments that are of a normal and recurring nature necessary to present fairly the financial condition and results of operations for such periods. The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in the Company’s Annual Report on Form 10-K for the fiscal year ended February 22, 2014. The results of operations for the first quarter ended June 14, 2014 are not necessarily indicative of the results expected for the full year. The Condensed Consolidated Balance Sheet as of February 22, 2014 has been derived from the audited Consolidated Balance Sheet as of that date. | |
Accounting Policies | ' |
Accounting Policies | |
The summary of significant accounting policies is included in the Notes to Consolidated Financial Statements set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended February 22, 2014. | |
Fiscal Year | ' |
Fiscal Year | |
The Company’s fiscal year ends on the last Saturday in February. During fiscal 2015, the Company’s first quarter consists of 16 weeks, the second and third quarters both consist of 12 weeks, the fourth quarter consists of 13 weeks and the fiscal year ended February 28, 2015 consists of 53 weeks. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of the Company’s condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Cash and Cash Equivalents | ' |
Cash and Cash Equivalents | |
The Company considers all highly liquid investments with a maturity of three months or less at the time of purchase to be cash equivalents. The Company’s banking arrangements allow the Company to fund outstanding checks when presented to the financial institution for payment. The Company funds all intraday bank balance overdrafts during the same business day. Checks outstanding in excess of bank balances create book overdrafts, which are recorded in Accounts payable in the Condensed Consolidated Balance Sheets and are reflected as an operating activity in the Condensed Consolidated Statements of Cash Flows. As of June 14, 2014 and February 22, 2014, the Company had net book overdrafts of $118 and $134, respectively. | |
Inventories, Net | ' |
Inventories, Net | |
Inventories are valued at the lower of cost or market. Substantially all of the Company’s inventory consists of finished goods and a substantial portion of the Company’s inventories have a last-in, first-out (“LIFO”) reserve applied. Interim LIFO calculations are based on the Company’s estimates of expected year-end inventory levels and costs, as the actual valuation of inventory under the LIFO method is computed at the end of each year based on the inventory levels and costs at that time. If the first-in, first-out method had been used, Inventories, net would have been higher by approximately $204 at June 14, 2014 and $202 at February 22, 2014. The Company recorded a LIFO charge of $2 and $0 for the first quarters ended June 14, 2014 and June 15, 2013, respectively. | |
Revisions | ' |
Revisions | |
In the first quarter of fiscal 2015, the Company revised the presentation of noncontrolling interests as reflected in the Condensed Consolidated Financial Statements. Net earnings attributable to noncontrolling interests were previously presented within Selling and administrative expenses in the Condensed Consolidated Statements of Operations and have been revised to be presented separately as Net earnings attributable to noncontrolling interests. Noncontrolling interests were previously presented in Other long-term liabilities in the Condensed Consolidated Balance Sheets and have been revised as a component of Stockholders’ deficit. Distributions to noncontrolling interests were previously presented as a reduction of cash flows from operating activities in the Condensed Consolidated Statements of Cash Flows and have been revised to be presented within distributions to noncontrolling interests within financing activities. In addition, the Company revised the presentation of equity in earnings of unconsolidated affiliates. Equity in earnings of unconsolidated affiliates was previously presented in Net sales and has been revised to be presented separately as Equity in earnings of unconsolidated affiliates. The revisions did not impact Net earnings attributable to SUPERVALU INC. or net earnings per share for any period. Management has determined that the presentation changes are not material to any period reported. Prior period amounts have been revised to conform to the current period presentation. | |
Recently Adopted Accounting Standards | ' |
Recently Adopted Accounting Standards | |
In July 2013, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance under accounting standard update (“ASU”) 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, A Similar Tax Loss, or a Tax Credit Carryforward Exists. This ASU requires entities to present an unrecognized tax benefit as a reduction of a deferred tax asset for a NOL or tax credit carryforward whenever the NOL or tax credit carryforward would be available to reduce the additional taxable income or tax due if the tax position is disallowed. This accounting standard update requires entities to assess whether to net the unrecognized tax benefit with a deferred tax asset as of the reporting date. The Company adopted ASU 2013-11 in the first quarter of fiscal 2015, which resulted in a reclassification of less than $1 of unrecognized tax benefits and other credits against deferred tax assets. | |
In April 2014, the FASB issued authoritative guidance under ASU 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. Under this ASU, disposals must represent a strategic shift that should have a major effect on operations and financial results and allows for continuing involvement in order to meet certain classification and disclosure requirements. Certain disclosures for disposals of individually significant components of an entity that do not qualify for discontinued operations presentation are also required. This ASU is effective prospectively for disposals that have not been reported in previously issued financial statements. The Company adopted ASU 2014-08 in the first quarter of fiscal 2015 and the adoption did not have an impact on the Company’s Condensed Consolidated Financial Statements. | |
Recently Issued Accounting Standards | ' |
Recently Issued Accounting Standards | |
In May 2014, the FASB issued authoritative guidance under ASU 2014-09, Revenue from Contracts with Customers. ASU 2014-09 supersedes existing revenue recognition requirements and provides a new comprehensive revenue recognition model requiring entities to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. This ASU will be adopted by the Company during the first quarter of fiscal 2018. Adoption is allowed by either the full retrospective or modified retrospective approach. The Company is currently evaluating which approach it will apply and the potential adoption impact on its Consolidated Financial Statements. |
GOODWILL_AND_INTANGIBLE_ASSETS1
GOODWILL AND INTANGIBLE ASSETS (Tables) | 4 Months Ended | ||||||||||||||||||||
Jun. 14, 2014 | |||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
Changes in Company's Goodwill and Intangible Assets | ' | ||||||||||||||||||||
Changes in the Company’s Goodwill and Intangible assets consisted of the following: | |||||||||||||||||||||
February 22, | Additions | Impairments | Other net | June 14, | |||||||||||||||||
2014 | adjustments | 2014 | |||||||||||||||||||
Goodwill: | |||||||||||||||||||||
Independent Business goodwill | $ | 710 | $ | — | $ | — | $ | — | $ | 710 | |||||||||||
Save-A-Lot goodwill | 137 | — | — | — | 137 | ||||||||||||||||
Total goodwill | $ | 847 | $ | — | $ | — | $ | — | $ | 847 | |||||||||||
February 22, | Additions/ | Impairments | Other net | June 14, | |||||||||||||||||
2014 | Amortization | adjustments | 2014 | ||||||||||||||||||
Intangible assets: | |||||||||||||||||||||
Customer lists, customer relationships, favorable operating leases and other (accumulated amortization of $81 and $78 as of June 14, 2014 and February 22, 2014, respectively) | $ | 111 | $ | — | $ | — | $ | 1 | $ | 112 | |||||||||||
Trademarks and tradenames – indefinite useful lives | 9 | — | — | — | 9 | ||||||||||||||||
Non-compete agreements (accumulated amortization of $2 and $2 as of June 14, 2014 and February 22, 2014, respectively) | 3 | — | — | — | 3 | ||||||||||||||||
Total intangible assets | 123 | — | — | 1 | 124 | ||||||||||||||||
Accumulated amortization | (80 | ) | (3 | ) | — | (83 | ) | ||||||||||||||
Total intangible assets, net | $ | 43 | $ | 41 | |||||||||||||||||
RESERVES_FOR_CLOSED_PROPERTIES1
RESERVES FOR CLOSED PROPERTIES AND PROPERTY, PLANT AND EQUIPMENT-RELATED IMPAIRMENT CHARGES (Tables) | 4 Months Ended | ||||
Jun. 14, 2014 | |||||
Text Block [Abstract] | ' | ||||
Changes in Company's Reserves | ' | ||||
Changes in the Company’s reserves for closed properties consisted of the following: | |||||
June 14, 2014 | |||||
Reserves for closed properties at beginning of the fiscal year | $ | 47 | |||
Additions | 1 | ||||
Payments | (4 | ) | |||
Adjustments | (1 | ) | |||
Reserves for closed properties at the end of period | $ | 43 | |||
LONGTERM_DEBT_Tables
LONG-TERM DEBT (Tables) | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Long-Term Debt and Capital Lease Obligations | ' | ||||||||
The Company’s long-term debt consisted of the following: | |||||||||
June 14, | February 22, | ||||||||
2014 | 2014 | ||||||||
4.50% Secured Term Loan Facility due March 2019 | $ | 1,474 | $ | 1,474 | |||||
1.91% to 4.00% Revolving ABL Credit Facility due February 2019 | — | — | |||||||
8.00% Senior Notes due May 2016 | 628 | 628 | |||||||
6.75% Senior Notes due June 2021 | 400 | 400 | |||||||
Other | 14 | 18 | |||||||
Net discount on debt, using an effective interest rate of 4.63% to 8.58% | (14 | ) | (16 | ) | |||||
Total debt | 2,502 | 2,504 | |||||||
Less current maturities of long-term debt | (16 | ) | (18 | ) | |||||
Long-term debt | $ | 2,486 | $ | 2,486 | |||||
STOCKBASED_AWARDS_Tables
STOCK-BASED AWARDS (Tables) | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||
Assumptions Related to Estimated Fair Value of Options Grant Date | ' | ||||||||
The Company used the Black-Scholes option pricing model to estimate the fair value of the options at grant date based upon the following assumptions. | |||||||||
First Quarter Ended | |||||||||
June 14, | June 15, | ||||||||
2014 | 2013 | ||||||||
Dividend yield | — | % | — | % | |||||
Volatility rate | 50.8 – 53.2 | % | 49.3 – 51.3 | % | |||||
Risk-free interest rate | 1.2 – 1.6 | % | 0.6 – 1.0 | % | |||||
Expected life | 4.0 – 5.0 years | 4.0 – 6.0 years |
BENEFIT_PLANS_Tables
BENEFIT PLANS (Tables) | 4 Months Ended | ||||||||||||||||||
Jun. 14, 2014 | |||||||||||||||||||
Compensation And Retirement Disclosure [Abstract] | ' | ||||||||||||||||||
Net Periodic Benefit Expense and Contributions for Defined Benefit Pension Plans and Other Postretirement Benefit Plans | ' | ||||||||||||||||||
Net periodic benefit expense and contributions for defined benefit pension and other postretirement benefit plans consisted of the following: | |||||||||||||||||||
First Quarter Ended | |||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||
June 14, 2014 | June 15, 2013 | June 14, 2014 | June 15, 2013 | ||||||||||||||||
(16 weeks) | (16 weeks) | (16 weeks) | (16 weeks) | ||||||||||||||||
Service cost | $ | — | $ | — | $ | — | $ | 1 | |||||||||||
Interest cost | 39 | 37 | 1 | 1 | |||||||||||||||
Expected return on assets | (47 | ) | (43 | ) | — | — | |||||||||||||
Amortization of prior service benefit | — | — | (4 | ) | (4 | ) | |||||||||||||
Amortization of net actuarial loss | 19 | 31 | 1 | 2 | |||||||||||||||
Net periodic benefit expense | $ | 11 | $ | 25 | $ | (2 | ) | $ | — | ||||||||||
Contributions to benefit plans | $ | (45 | ) | $ | (71 | ) | $ | — | $ | (1 | ) | ||||||||
NET_EARNINGS_LOSS_PER_SHARE_Ta
NET EARNINGS (LOSS) PER SHARE (Tables) | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Calculation of Basic and Diluted Net Earnings (Loss) Per Share | ' | ||||||||
The following table reflects the calculation of basic and diluted net earnings (loss) per share: | |||||||||
First Quarter Ended | |||||||||
June 14, 2014 | June 15, 2013 | ||||||||
(16 weeks) | (16 weeks) | ||||||||
Net earnings (loss) from continuing operations | $ | 48 | $ | (102 | ) | ||||
Less Net earnings attributable to noncontrolling interests | 2 | 3 | |||||||
Net earnings (loss) from continuing operations attributable to SUPERVALU INC. | 46 | (105 | ) | ||||||
(Loss) income from discontinued operations, net of tax | (3 | ) | 190 | ||||||
Net earnings attributable to SUPERVALU INC. | $ | 43 | $ | 85 | |||||
Weighted average number of shares outstanding – basic | 260 | 246 | |||||||
Dilutive impact of stock-based awards | 2 | 4 | |||||||
Weighted average number of shares outstanding – diluted(1) | 262 | 250 | |||||||
Basic net earnings (loss) per share attributable to SUPERVALU INC.: | |||||||||
Continuing operations | $ | 0.18 | $ | (0.43 | ) | ||||
Discontinued operations | $ | (0.01 | ) | $ | 0.78 | ||||
Basic net earnings per share | $ | 0.17 | $ | 0.35 | |||||
Diluted net earnings (loss) per share attributable to SUPERVALU INC.: | |||||||||
Continuing operations(1) | $ | 0.18 | $ | (0.43 | ) | ||||
Discontinued operations(1) | $ | (0.01 | ) | $ | 0.77 | ||||
Diluted net earnings per share | $ | 0.17 | $ | 0.34 | |||||
-1 | Weighted average number of shares outstanding – diluted was equal to Weighted average number of shares outstanding – basic for the computation of diluted net loss per share from discontinued operations for the first quarter ended June 14, 2014 and diluted net loss per share from continuing operations for the first quarter ended June 15, 2013. |
NONCONTROLLING_INTERESTS_Table
NONCONTROLLING INTERESTS (Tables) | 4 Months Ended | ||||||||||||
Jun. 14, 2014 | |||||||||||||
Noncontrolling Interest [Abstract] | ' | ||||||||||||
Reconciliation of Equity Attributable to Noncontrolling Interests | ' | ||||||||||||
A reconciliation of the beginning and ending carrying amount of the equity attributable to noncontrolling interests is as follows: | |||||||||||||
First Quarter Ended | |||||||||||||
June 14, 2014 | June 15, 2013 | ||||||||||||
(16 weeks) | (16 weeks) | ||||||||||||
Equity attributable to noncontrolling interests at beginning of year | $ | 8 | $ | 10 | |||||||||
Net earnings attributable to noncontrolling interests | 2 | 3 | |||||||||||
Distributions to noncontrolling interests | (4 | ) | (5 | ) | |||||||||
Equity attributable to noncontrolling interests at end of period | $ | 6 | $ | 8 | |||||||||
COMPREHENSIVE_INCOME_AND_ACCUM1
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 4 Months Ended | ||||||||
Jun. 14, 2014 | |||||||||
Equity [Abstract] | ' | ||||||||
Schedule of Changes in Accumulated Other Comprehensive Loss | ' | ||||||||
Changes in Accumulated other comprehensive loss by component is as follows: | |||||||||
First Quarter Ended | |||||||||
June 14, 2014 | June 15, 2013 | ||||||||
(16 weeks) | (16 weeks) | ||||||||
Pension and postretirement benefit plan accumulated other comprehensive loss at beginning of the fiscal year, net of tax | $ | 307 | $ | 612 | |||||
Other comprehensive (income) loss before reclassifications, net of tax expense of $0 and $0, respectively | — | — | |||||||
Amortization of amounts included in net periodic benefit cost, net of tax expense of $5 and $11, respectively | (11 | ) | (18 | ) | |||||
Net current-period Other comprehensive income, net of tax expense of $5 and $11, respectively | (11 | ) | (18 | ) | |||||
Divestiture of NAI pension plan accumulated other comprehensive income, net of tax expense of $0 and $31, respectively | — | (48 | ) | ||||||
Pension and postretirement benefit plan accumulated other comprehensive loss at the end of period, net of tax | $ | 296 | $ | 546 | |||||
DISCONTINUED_OPERATIONS_Tables
DISCONTINUED OPERATIONS (Tables) | 4 Months Ended | ||||||||||||
Jun. 14, 2014 | |||||||||||||
Discontinued Operations And Disposal Groups [Abstract] | ' | ||||||||||||
Summary of Company's Operating Results and Certain Other Directly Attributable Expenses | ' | ||||||||||||
The following is a summary of the Company’s operating results and certain other directly attributable expenses that are included in discontinued operations: | |||||||||||||
First Quarter Ended | |||||||||||||
June 14, 2014 | June 15, 2013 | ||||||||||||
(16 weeks) | (16 weeks) | ||||||||||||
Net sales | $ | — | $ | 1,235 | |||||||||
Income before income taxes from discontinued operations | 2 | 117 | |||||||||||
Income tax provision (benefit) | 5 | (73 | ) | ||||||||||
(Loss) income from discontinued operations, net of tax | $ | (3 | ) | $ | 190 | ||||||||
Recovered_Sheet1
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 4 Months Ended | ||
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 | Feb. 22, 2014 |
Accounting Policies [Abstract] | ' | ' | ' |
Number of weeks in first quarter | '16 weeks | ' | ' |
Number of weeks in second and third quarter | '12 weeks | ' | ' |
Number of weeks in fourth quarter | '13 weeks | ' | ' |
Number of weeks in current fiscal year | '53 weeks | ' | ' |
Net book overdrafts | $118 | ' | $134 |
LIFO charge recorded | 2 | 0 | ' |
Value increase in inventory by changing the method from LIFO to FIFO | $204 | ' | $202 |
Business_Acquisitions_Addition
Business Acquisitions - Additional Information (Detail) (USD $) | 4 Months Ended |
Jun. 14, 2014 | |
Asset Purchase Agreement [Member] | Trademarks and Tradenames - Indefinite Useful Lives [Member] | ' |
Business Acquisition [Line Items] | ' |
Total payment related to acquisition | $33 |
Cash payment related to acquisition | 5 |
Asset Purchase Agreement [Member] | Rainbow Foods grocery stores [Member] | ' |
Business Acquisition [Line Items] | ' |
Number of stores acquired | 7 |
Asset Purchase Agreement [Member] | Rainbow Foods grocery stores [Member] | Minority interest [Member] | ' |
Business Acquisition [Line Items] | ' |
Number of stores acquired | 3 |
Asset Purchase Agreement [Member] | Rainbow Foods pharmacy locations [Member] | ' |
Business Acquisition [Line Items] | ' |
Number of stores acquired | 11 |
Asset Purchase Agreement [Member] | Rainbow Foods liquor store [Member] | ' |
Business Acquisition [Line Items] | ' |
Number of stores acquired | 1 |
Asset Purchase Agreement [Member] | Diamond Lake 1994 L.L.C [Member] | ' |
Business Acquisition [Line Items] | ' |
Number of stores acquired | 3 |
Save-A-Lot Licensee Stores [Member] | ' |
Business Acquisition [Line Items] | ' |
Cash payment related to acquisition | $5,000,000 |
Number of stores | 14 |
Recovered_Sheet2
Goodwill and Intangible Assets - Change in Company's Goodwill and Intangible Assets (Detail) (USD $) | 4 Months Ended | 4 Months Ended | ||||||||
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 | Jun. 14, 2014 | Feb. 22, 2014 | Jun. 14, 2014 | Feb. 22, 2014 | Jun. 14, 2014 | Feb. 22, 2014 | Jun. 14, 2014 | Jun. 14, 2014 |
Independent Business [Member] | Independent Business [Member] | Save-A-Lot [Member] | Save-A-Lot [Member] | Trademarks and Tradenames - Indefinite Useful Lives [Member] | Trademarks and Tradenames - Indefinite Useful Lives [Member] | Customer lists, customer relationships, favorable operating leases and other [Member] | Non-Compete Agreements [Member] | |||
Goodwill [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Beginning Balance | $847 | ' | $710 | $710 | $137 | $137 | ' | ' | ' | ' |
Goodwill, Ending Balance | 847 | ' | 710 | 710 | 137 | 137 | ' | ' | ' | ' |
Indefinite-lived Intangible Assets, Beginning Balance | ' | ' | ' | ' | ' | ' | 9 | 9 | ' | ' |
Indefinite-lived Intangible Assets, Ending Balance | ' | ' | ' | ' | ' | ' | 9 | 9 | ' | ' |
Finite-Lived Intangible Assets, Beginning Balance | ' | ' | ' | ' | ' | ' | ' | ' | 111 | 3 |
Finite-Lived Intangible Assets Other Net Adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' |
Finite-Lived Intangible Assets, Ending Balance | ' | ' | ' | ' | ' | ' | ' | ' | 112 | 3 |
Intangible assets excluding amortization, Beginning Balance | 123 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intangible assets other adjustments | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intangible assets excluding amortization, Ending Balance | 124 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated amortization, Beginning balance | -80 | ' | ' | ' | ' | ' | ' | ' | -78 | -2 |
Amortization expense of intangible assets | -3 | -2 | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated amortization, Ending Balance | -83 | ' | ' | ' | ' | ' | ' | ' | -81 | -2 |
Intangible assets, Beginning Balance | 43 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intangible assets, Ending Balance | $41 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Recovered_Sheet3
Goodwill and Intangible Assets - Change in Company's Goodwill and Intangible Assets (Parenthetical) (Detail) (USD $) | Jun. 14, 2014 | Feb. 22, 2014 |
In Millions, unless otherwise specified | ||
Goodwill [Line Items] | ' | ' |
Finite-Lived intangible Assets, Accumulated Amortization | $83 | $80 |
Customer lists, customer relationships, favorable operating leases and other [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Finite-Lived intangible Assets, Accumulated Amortization | 81 | 78 |
Non-Compete Agreements [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Finite-Lived intangible Assets, Accumulated Amortization | $2 | $2 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Additional Information (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' |
Amortization of intangible assets | $3 | $2 |
Future amortization expense, Year One | 5 | ' |
Future amortization expense, Year Two | 5 | ' |
Future amortization expense, Year Three | 5 | ' |
Future amortization expense, Year Four | 5 | ' |
Future amortization expense, Year Five | $5 | ' |
Recovered_Sheet4
Reserves for Closed Properties and Property, Plant and Equipment-Related Impairment Charges - Changes in Company's Reserves (Detail) (USD $) | 4 Months Ended |
In Millions, unless otherwise specified | Jun. 14, 2014 |
Restructuring And Related Activities [Abstract] | ' |
Reserves for closed properties at beginning of the fiscal year | $47 |
Additions | 1 |
Payments | -4 |
Adjustments | -1 |
Reserves for closed properties at the end of period | $43 |
Recovered_Sheet5
Reserves for Closed Properties and Property, Plant and Equipment-Related Impairment Charges - Additional Information (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Restructuring And Related Activities [Abstract] | ' | ' |
Property, Plant and equipment related assets carrying value | ' | $21 |
Property, plant and equipment-related impairment charges | 0 | 16 |
Property, plant and equipment related assets fair value | ' | $5 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Jun. 14, 2014 | Feb. 22, 2014 |
In Millions, unless otherwise specified | ||
Fair Value Disclosures [Abstract] | ' | ' |
Difference between fair value and book value of notes receivable | $2 | $2 |
Difference between fair value and book value of long-term debt | $83 | $83 |
LongTerm_Debt_LongTerm_Debt_an
Long-Term Debt - Long-Term Debt and Capital Lease Obligations (Detail) (USD $) | Jun. 14, 2014 | Feb. 22, 2014 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Long-Term Debentures and Notes due | $2,486 | $2,486 |
Other | 14 | 18 |
Net discount on debt, using an effective interest rate of 4.63% to 8.58% | -14 | -16 |
Total debt | 2,502 | 2,504 |
Less current maturities of long-term debt | -16 | -18 |
Long-term debt | 2,486 | 2,486 |
4.50% Secured Term Loan Facility due March 2019 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-Term Debentures and Notes due | 1,474 | 1,474 |
1.91% to 4.00% Revolving ABL Credit Facility due February 2019 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-Term Debentures and Notes due | 0 | 0 |
8.00% Senior Notes due May 2016 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-Term Debentures and Notes due | 628 | 628 |
6.75% Senior Notes due June 2021 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-Term Debentures and Notes due | $400 | $400 |
LongTerm_Debt_LongTerm_Debt_an1
Long-Term Debt - Long-Term Debt and Capital Lease Obligations (Parenthetical) (Detail) | 4 Months Ended | 12 Months Ended |
Jun. 14, 2014 | Feb. 22, 2014 | |
Minimum [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Effective interest rate | 4.63% | 4.63% |
Maximum [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Effective interest rate | 8.58% | 8.58% |
4.50% Secured Term Loan Facility due March 2019 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate | 4.50% | 4.50% |
1.91% to 4.00% Revolving ABL Credit Facility due February 2019 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate, minimum | 1.91% | 1.91% |
Debt instrument, interest rate, maximum | 4.00% | 4.00% |
8.00% Senior Notes due May 2016 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate | 8.00% | 8.00% |
6.75% Senior Notes due June 2021 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate | 6.75% | 6.75% |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | 0 Months Ended | 4 Months Ended | ||
In Millions, unless otherwise specified | Apr. 17, 2014 | Jun. 14, 2014 | Jun. 15, 2013 | Feb. 22, 2014 |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Line of credit maximum borrowing capacity | ' | $1,500 | ' | ' |
Line of credit facility amount outstanding, current | ' | 2 | ' | 0 |
Line of credit facility amount outstanding | ' | 1,474 | ' | 1,474 |
Percentage of net cash proceeds to prepay outstanding loans | ' | 100.00% | ' | ' |
Maximum period for prepayment of loans outstanding | ' | '90 days | ' | ' |
Term Loan A [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Interest rate at the rate of LIBOR | ' | 3.50% | ' | ' |
LIBOR floor rate | ' | 1.00% | ' | ' |
Term Loan A [Member] | Property, Plant and Equipment [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Ground-leased real estate and associated equipment pledged as collateral | ' | 684 | ' | 704 |
Minimum [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Percentage of aggregate principal amount to prepay outstanding loans | ' | 0.00% | ' | ' |
Maximum [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Percentage of aggregate principal amount to prepay outstanding loans | ' | 50.00% | ' | ' |
Term Loan Credit Facility [Member] | Term Loan A [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Term of credit facility | ' | '6 years | ' | ' |
2016 Senior Notes [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Aggregate principal amount outstanding | 250 | ' | ' | ' |
Debt instrument, interest rate | 8.00% | 8.00% | ' | ' |
Senior Notes contain operating covenants | ' | 628 | ' | ' |
2021 Senior Notes [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Debt instrument, interest rate | ' | 6.75% | ' | ' |
Senior Notes contain operating covenants | ' | 400 | ' | ' |
Revolving ABL Credit Facility [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Line of credit facility amount outstanding | ' | 0 | ' | 0 |
Company's five year asset-based revolving facility | ' | 1,000 | ' | ' |
Maturity date of revolving credit facility | '30 days | ' | ' | ' |
Aggregate principal amount | 500 | ' | ' | ' |
Letter of credit outstanding | ' | 97 | ' | 101 |
Facility fees | ' | 1.88% | ' | 2.13% |
Assets collateralized by the ABL Credit Facility | ' | 818 | ' | 786 |
Maximum letter of credit fee | ' | 0.38% | ' | 0.38% |
Unused credit | ' | 1,115 | ' | 1,066 |
Revolving ABL credit facility borrowing | ' | 870 | 1,114 | ' |
Revolving ABL credit facility prepayment | ' | 870 | 1,217 | ' |
Senior Secured Asset Based Revolving Credit Facility [Member] | Minimum [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
LIBOR Plus interest rate | 1.50% | ' | ' | ' |
Interest rate at the rate of ("Prime plus") | 0.50% | ' | ' | ' |
Senior Secured Asset Based Revolving Credit Facility [Member] | Maximum [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
LIBOR Plus interest rate | 2.00% | ' | ' | ' |
Interest rate at the rate of ("Prime plus") | 1.00% | ' | ' | ' |
Asset Backed Revolving Credit Amended Facility [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Maturity date of revolving credit facility | '90 days | ' | ' | ' |
Debt instrument maturity date | 21-Feb-19 | ' | ' | ' |
Aggregate principal amount | $250 | ' | ' | ' |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Income Tax Disclosure [Abstract] | ' | ' |
Discrete tax benefit | $2 | $2 |
Discrete tax expense | ' | 2 |
Unrecognized tax benefits increased | $2 | ' |
Number of months within which company does not anticipate significant change in unrecognized tax benefits | '12 months | ' |
StockBased_Awards_Additional_I
Stock-Based Awards - Additional Information (Detail) (USD $) | 1 Months Ended | 4 Months Ended | 16 Months Ended | ||
In Millions, except Share data, unless otherwise specified | 31-May-14 | 31-May-13 | Jun. 14, 2014 | Jun. 15, 2013 | Jun. 14, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Pre-tax stock-based compensation expense related to stock-based awards | ' | ' | $7 | $12 | ' |
Award units grant to certain employees | 5,000,000 | 9,000,000 | ' | ' | ' |
Fair value of the options at grand date | $3.28 | $2.78 | ' | ' | ' |
Term for payout of awards over achievement of financial goals | ' | ' | ' | ' | '3 years |
Stock Options and Restricted Stock Awards [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Accelerated Stock Compensation resulted by deemed change-in-control | ' | ' | ' | 9 | ' |
Long Term Incentive Program [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Accelerated Stock Compensation resulted by deemed change-in-control | ' | ' | ' | 5 | ' |
Restricted Stock Awards [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Accelerated Stock Compensation resulted by deemed change-in-control | ' | ' | ' | 3 | ' |
Stock Options [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Accelerated Stock Compensation resulted by deemed change-in-control | ' | ' | ' | $1 | ' |
Restricted Stock Units [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Award units grant to certain employees | ' | ' | 2,000,000 | ' | ' |
Term for payout of awards over achievement of financial goals | ' | ' | '3 years | ' | ' |
Share granted to certain employees at a fair value | ' | ' | $7.50 | ' | ' |
StockBased_Awards_Assumptions_
Stock-Based Awards - Assumptions Related to Estimated Fair Value of Options Grant Date (Detail) | 4 Months Ended | |
Jun. 14, 2014 | Jun. 15, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Dividend yield | 0.00% | 0.00% |
Minimum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Volatility rate | 50.80% | 49.30% |
Risk-free interest rate | 1.20% | 0.60% |
Expected life | '4 years | '4 years |
Maximum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Volatility rate | 53.20% | 51.30% |
Risk-free interest rate | 1.60% | 1.00% |
Expected life | '5 years | '6 years |
Benefit_Plans_Net_Periodic_Ben
Benefit Plans - Net Periodic Benefit Expense and Contributions for Defined Benefit Pension Plans and Other Postretirement Benefit Plans (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Pension Benefits [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Service cost | ' | ' |
Interest cost | 39 | 37 |
Expected return on assets | -47 | -43 |
Amortization of prior service benefit | ' | ' |
Amortization of net actuarial loss | 19 | 31 |
Net periodic benefit expense | 11 | 25 |
Contributions to benefit plans | -45 | -71 |
Other Postretirement Benefits [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Service cost | ' | 1 |
Interest cost | 1 | 1 |
Expected return on assets | ' | ' |
Amortization of prior service benefit | -4 | -4 |
Amortization of net actuarial loss | 1 | 2 |
Net periodic benefit expense | -2 | ' |
Contributions to benefit plans | ' | ($1) |
Benefit_Plans_Additional_Infor
Benefit Plans - Additional Information (Detail) (Multi-employer Postretirement Benefit Plans Other than Pensions [Member], USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Multi-employer Postretirement Benefit Plans Other than Pensions [Member] | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | ' | ' |
Contribution to multi-employer Plans | $13 | $12 |
Net_Earnings_Loss_Per_Share_Ca
Net Earnings (Loss) Per Share - Calculation of Basic and Diluted Net Earnings (Loss) Per Share (Detail) (USD $) | 4 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Earnings Per Share [Abstract] | ' | ' |
Net earnings (loss) from continuing operations | $48 | ($102) |
Less Net earnings attributable to noncontrolling interests | 2 | 3 |
Net earnings (loss) from continuing operations attributable to SUPERVALU INC. | 46 | -105 |
(Loss) income from discontinued operations, net of tax | -3 | 190 |
Net earnings attributable to SUPERVALU INC. | $43 | $85 |
Weighted average number of shares outstanding-basic | 260 | 246 |
Dilutive impact of stock-based awards | 2 | 4 |
Weighted average number of shares outstanding-diluted | 262 | 250 |
Basic net earnings (loss) per share attributable to SUPERVALU INC.: | ' | ' |
Continuing operations | $0.18 | ($0.43) |
Discontinued operations | ($0.01) | $0.78 |
Basic net earnings per share | $0.17 | $0.35 |
Diluted net earnings (loss) per share attributable to SUPERVALU INC.: | ' | ' |
Continuing operations | $0.18 | ($0.43) |
Discontinued operations | ($0.01) | $0.77 |
Diluted net earnings per share | $0.17 | $0.34 |
Net_Earnings_Loss_Per_Share_Ad
Net Earnings (Loss) Per Share - Additional Information (Detail) (Continuing Operations [Member]) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Continuing Operations [Member] | ' | ' |
Schedule Of Computation Of Basic And Diluted Earnings Per Common Share [Line Items] | ' | ' |
Antidilutive securities excluded from computation of earnings per share | 17 | 20 |
Noncontrolling_Interests_Recon
Noncontrolling Interests - Reconciliation of Equity Attributable to Noncontrolling Interests (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Noncontrolling Interest [Abstract] | ' | ' |
Equity attributable to noncontrolling interests at beginning of year | $8 | $10 |
Net earnings attributable to noncontrolling interests | 2 | 3 |
Distributions to noncontrolling interests | -4 | -5 |
Equity attributable to noncontrolling interests at end of period | $6 | $8 |
Recovered_Sheet6
Comprehensive Income and Accumulated Other Comprehensive Loss - Schedule of Changes in Accumulated Other Comprehensive Loss (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Equity [Abstract] | ' | ' |
Pension and postretirement benefit plan accumulated other comprehensive loss at beginning of the fiscal year, net of tax | $307 | $612 |
Other comprehensive (income) loss before reclassifications, net of tax expense of $0 and $0, respectively | 0 | 0 |
Amortization of amounts included in net periodic benefit cost, net of tax expense of $5 and $11, respectively | -11 | -18 |
Net current-period Other comprehensive income, net of tax expense of $5 and $11, respectively | -11 | -18 |
Divestiture of NAI pension plan accumulated other comprehensive income, net of tax expense of $0 and $31, respectively | ' | -48 |
Pension and postretirement benefit plan accumulated other comprehensive loss at the end of period, net of tax | $296 | $546 |
Recovered_Sheet7
Comprehensive Income and Accumulated Other Comprehensive Loss - Schedule of Changes in Accumulated Other Comprehensive Loss (Parenthetical) (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Equity [Abstract] | ' | ' |
Other comprehensive (income) loss before reclassifications, amount of tax expense | $0 | $0 |
Amortization of amounts included in net periodic benefit cost, amount of tax expense | 5 | 11 |
Other comprehensive income, tax | 5 | 11 |
Pension plan accumulated other comprehensive income, tax | $0 | $31 |
Comprehensive_Income_and_Accum2
Comprehensive Income and Accumulated Other Comprehensive Loss - Additional Information (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Accumulated other comprehensive loss | $48 | ' |
Selling and administrative expenses | 617 | 711 |
Cost of sales | 4,482 | 4,446 |
Accumulated Other Comprehensive Loss [Member] | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Selling and administrative expenses | 12 | 26 |
Cost of sales | $4 | $3 |
Recovered_Sheet8
Commitments, Contingencies and Off-Balance Sheet Arrangements - Additional Information (Detail) (USD $) | 1 Months Ended | 4 Months Ended | 3 Months Ended | 4 Months Ended | |||||
In Millions, unless otherwise specified | Feb. 28, 2014 | Jun. 14, 2014 | Sep. 07, 2013 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 14, 2014 | Feb. 22, 2014 |
Retailer | 2015 [Member] | 2016 [Member] | 2017 [Member] | Minimum [Member] | Maximum [Member] | New Albertsons Inc [Member] | |||
NAI Banners [Member] | NAI Banners [Member] | ||||||||
Guarantor Obligations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining terms for guarantees for other debt obligation minimum (less than given term in years) | ' | '1 year | ' | ' | ' | ' | ' | ' | ' |
Remaining terms for guarantees for other debt obligation maximum (in years) | ' | '16 years | ' | ' | ' | ' | ' | ' | ' |
Remaining term for guarantee for other debt obligation weighted average (in years) | ' | '8 years | ' | ' | ' | ' | ' | ' | ' |
Company's guarantee for debt obligations on outstanding indenture in connection with stock purchase agreement | ' | $69 | ' | ' | ' | ' | ' | ' | $331 |
Guarantor obligation maximum exposure discounted | ' | 53 | ' | ' | ' | ' | ' | ' | 297 |
Non-cancelable future purchase obligations | ' | 312 | ' | ' | ' | ' | ' | ' | ' |
Minimum contribution to company Retirement Plan | ' | 450 | ' | ' | ' | ' | ' | ' | ' |
Minimum required contributions to company retirement plan through the fiscal years | ' | ' | ' | ' | ' | ' | '2015 | '2017 | ' |
Excess pension contributions required | ' | ' | ' | 25 | 25 | 50 | ' | ' | ' |
Number of other retailers who have filed similar complaints in other jurisdictions | ' | 3 | ' | ' | ' | ' | ' | ' | ' |
Litigation settlement charge before tax | ' | ' | 5 | ' | ' | ' | ' | ' | ' |
Litigation settlement charge after tax | ' | ' | 3 | ' | ' | ' | ' | ' | ' |
Settlement fund | $5 | ' | ' | ' | ' | ' | ' | ' | ' |
Discontinued_Operations_Additi
Discontinued Operations - Additional Information (Detail) (USD $) | 4 Months Ended | 6 Months Ended | 4 Months Ended | 4 Months Ended | ||||||||||||
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 | Sep. 07, 2013 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 15, 2013 | Jun. 14, 2014 | Jun. 15, 2013 | Feb. 23, 2013 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 14, 2014 | Jun. 15, 2013 | Jun. 15, 2013 |
New Albertsons Inc [Member] | Contracts [Member] | Property, Plant and Equipment [Member] | wholesale distribution [Member] | wholesale distribution [Member] | NAI Banners [Member] | NAI Banners [Member] | NAI Banners [Member] | NAI Banners [Member] | NAI Banners [Member] | Transitional TSA [Member] | Transitional TSA [Member] | Transition Services Agreement [Member] | ||||
Minimum [Member] | Maximum [Member] | Fiscal Year 2014 [Member] | ||||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from divestiture of businesses | ' | ' | ' | ' | ' | ' | ' | ' | $100 | ' | ' | ' | ' | ' | ' | ' |
Note receivable | ' | ' | ' | ' | ' | ' | ' | ' | 44 | ' | ' | ' | ' | ' | ' | ' |
Net proceeds from assumed debt and capital leases | ' | ' | ' | ' | ' | ' | ' | ' | 3,200 | ' | ' | ' | ' | ' | ' | ' |
Unfunded status estimated before tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,138 | ' | ' | ' | ' | ' |
Initial terms of arrangements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '12 months | '5 years | ' | ' | ' |
TSA fees recognized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 58 | 84 | ' |
Incremental fees under transitional TSA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 36 |
Discontinued operation, gain (loss) from disposal of preliminary estimated pre-tax loss on contract | ' | ' | ' | 1,150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discontinued operation, gain (loss) from disposal of pre-tax property, plant and equipment related impairment | ' | ' | ' | 203 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss on sale of NAI | ' | ' | ' | 1,263 | 1,081 | 182 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reduction in the preliminary estimated loss pre-tax | ' | 85 | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discrete tax benefits (expenses) | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 118 | ' | ' | ' | ' | ' | ' |
Income before income taxes from discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | 2 | 117 | ' | ' | ' | ' | ' | ' |
Net sales with NAI post disposal | ' | ' | ' | ' | ' | ' | ' | ' | 38 | 53 | ' | ' | ' | ' | ' | ' |
Net sales of continuing operations related to wholesale distribution | $5,234 | $5,241 | ' | ' | ' | ' | $54 | $54 | ' | ' | ' | ' | ' | ' | ' | ' |
Discontinued_Operations_Summar
Discontinued Operations - Summary of Company's Operating Results and Certain Other Directly Attributable Expenses (Detail) (USD $) | 4 Months Ended | |
In Millions, unless otherwise specified | Jun. 14, 2014 | Jun. 15, 2013 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
(Loss) income from discontinued operations, net of tax | ($3) | $190 |
NAI Banners [Member] | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Net sales | ' | 1,235 |
Income before income taxes from discontinued operations | 2 | 117 |
Income tax provision (benefit) | 5 | -73 |
(Loss) income from discontinued operations, net of tax | ($3) | $190 |