Property, Plant and Equipment, Net

12 Months Ended

Dec. 30, 2016

Property, Plant and Equipment [Abstract]

Property, plant and equipment consisted of the following (U.S. dollars in millions):



	December 30, 2016			January 1, 2016
Land and land improvements	$	675.0		$	639.1
Buildings and leasehold improvements	525.6			498.4
Machinery and equipment	529.8			502.7
Maritime equipment (including containers)	176.2			179.3
Furniture, fixtures and office equipment	87.9			85.2
Automotive equipment	62.2			57.1
Construction-in-progress	86.1			66.0
	2,142.8			2,027.8
Less: accumulated depreciation and amortization	(870.8		)	(812.4		)
Property, plant and equipment, net	$	1,272.0		$	1,215.4

Depreciation expense on property, plant and equipment, including assets under capital leases, was $76.8 million for 2016, $71.1 million for 2015 and $72.0 million for 2014.

Shipping containers, machinery and equipment and automotive equipment under capital leases totaled $3.1 million at December 30, 2016 and $2.4 million at January 1, 2016. Accumulated amortization for assets under capital leases was $1.5 million at December 30, 2016 and $1.3 million at January 1, 2016.

The loss (gain) on sales of property, plant and equipment netted to zero for 2016, a gain of $2.1 million for 2015 and a loss of $4.3 million for 2014. In 2016, the loss (gain) on sales of property, plant and equipment consisted primarily of losses on the disposal of low-yielding banana plants in Costa Rica and Guatemala in order to replant and improve productivity, disposal of deciduous plants in Chile and a loss on the sale of a refrigerated vessel, offset by the sale of lands in Central America. In 2015, the gain of $2.1 million consisted primarily of the sales of two refrigerated vessels, and in 2014 the loss of $4.3 million was primarily related to the disposal of low-yield banana plants in Costa Rica and Guatemala in order to replant and improve productivity, partially offset by a gain on sale of shipping-related and other surplus equipment.

Acquisitions and Asset Purchase

During June 2016, we purchased a blueberry farm in Chile of approximately 320 acres, which includes agricultural production land, packing houses and farm equipment. The purchase price for this business was $7.1 million and was funded using operating cash flows and available borrowings under the Credit Facility (as defined in Note 11 “Long-Term Debt and Capital Lease Obligations”). The accounting for this business combination has been completed during the quarter ended September 30, 2016 and we adjusted $0.8 million of goodwill in our Other Fresh Produce segment with a corresponding reduction in property, plant and equipment to the previously recorded preliminary amounts. Goodwill represents the excess purchase price above the fair market value of the net assets acquired.

During November and December 2016, we purchased two non-tropical fruit farms in Chile, which includes agricultural production land and farm equipment. The purchase price for these businesses was $3.5 million, of which $1.9 million was funded using operating cash flows and available borrowings under the Credit Facility and the remaining $1.6 million was paid using the forgiveness of previous advances to these growers.

See Note 7 , "Goodwill and Other Intangible Assets" and Note 11, "Long-Term Debt and Capital Lease Obligations" for further information.