Fair Value Measurements

12 Months Ended

Dec. 26, 2025

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Fair Value of Financial Instruments

Our derivative assets or liabilities include foreign exchange and interest rate derivatives that are measured at fair value using observable market inputs such as forward rates, interest rates, and our own credit risk as well as an evaluation of our counterparties’ credit risks. We use an income approach to value our outstanding foreign currency and interest rate hedges, which consists of a discounted cash flow model that takes into account the present value of future cash flows under the terms of the contracts using current market information as of the measurement date such as foreign currency spot rate, forward rates and interest rates. Additionally, we include an element of default risk based on observable inputs into the fair value calculation. Based on these inputs, the derivative assets or liabilities are classified within Level 2 of the valuation hierarchy. 

The following table provides a summary of the fair values of our derivative financial instruments measured on a recurring basis (U.S. dollars in millions):

	Foreign currency forward contracts, net (liability) asset
	December 26, 2025		December 27, 2024
Quoted prices in active markets for identical assets (Level 1)	$	—	$	—
Significant other observable inputs (Level 2)	(1.0)		0.3
Significant unobservable inputs (Level 3)	—		—

Refer to Note 14, “Retirement and Other Employee Benefits” for further fair value disclosures related to pension assets. 

In estimating our fair value disclosures for financial instruments, we use the following methods and assumptions:

Cash and cash equivalents: The carrying amount reported in the Consolidated Balance Sheets for these items approximates fair value due to their liquid nature and are classified as Level 1.

Trade accounts receivable and other accounts receivable, net: The carrying value reported in the Consolidated Balance Sheets for these items is net of allowances, which includes a degree of counterparty non-performance risk and are classified as Level 2.

Accounts payable and other current liabilities: The carrying value reported in the Consolidated Balance Sheets for these items approximates their fair value, which is the likely amount for which the liability with short settlement periods would be transferred to a market participant with a similar credit standing as ours and are classified as Level 2.

Long-term debt: The carrying value of our long-term debt reported in the Consolidated Balance Sheets approximates their fair value since they bear interest at variable rates which contain an element of default risk. The fair value of our long-term debt is estimated using Level 2 inputs based on quoted prices for those or similar instruments. Refer to Note 11, “Debt.”

Divestiture of Mann Packing

During the third quarter of 2025, we entered into a non-binding Letter of Intent pursuant to which we intended to sell the Mann Packing business, a wholly-owned subsidiary of the Company included in our fresh and value-added products segment, including substantially all operating assets. Subsequently, on October 15, 2025, we entered into an Asset Purchase Agreement (the "Mann Divestiture Agreement"), by and among Mann Packing and the Company (collectively, the "Sellers") and CBRT Processing, LLC and True Leaf Holdings, LLC (collectively, the "Buyer") pursuant to which the Buyer agreed to acquire the Mann Packing business and substantially all its operational assets including, among other things, machinery and equipment, finished goods, raw materials, packaging supplies, growing crop inventory, and customer lists (collectively, the "Mann Packing Assets") for $19.0 million plus the value of inventory at closing of the transaction. The $19.0 million purchase price is payable as follows: (i) $5.0 million payable in sixty (60) monthly installments commencing on the December 15, 2025 (the "Closing Date"), and (ii) $14.0 million payable in a single installment on the fifth anniversary of the Closing Date. Payment for inventory is payable no later than ninety (90) days after the closing date of the transaction, with the exception of payments for growing crop inventory which are payable no later than the earlier of (1) the one-year anniversary of the Closing Date of the transaction or (2) thirty (30) days following the end of the month in which the crop is harvested and delivered to the Buyer.

As a result of the closing of the transaction, we recorded $31.3 million of receivables related to proceeds under the Mann Divestiture Agreement, including $17.6 million included in Other accounts receivable, net and $13.7 million, net of a present value discount of $4.3 million, included in Other noncurrent assets in our Consolidated Balance Sheet as of December 26, 2025.

Given our entrance into the Letter of Intent during the third quarter of 2025, we determined the Mann Packing Assets met the criteria to be classified as held for sale in our Consolidated Balance Sheets as of the end of our third quarter and through the closing date of the transaction. In accordance with ASC 805 - Business Combinations, the Mann Packing Assets constitute a business and, as a result, $7.2 million of goodwill from our fresh-cut products reporting unit was allocated to the carrying value of the disposal group as determined on a relative fair value basis. As a result of the allocation, we were required to evaluate the retained fresh-cut reporting unit for impairment and determined that the fair value of the reporting unit was in excess of its carrying amount.

The divestiture of Mann Packing resulted in a pre-tax loss of $17.9 million which is included in Asset impairment and other charges, net in our Consolidated Statements of Operations for the year ended December 26, 2025. The amount, which primarily represented write-downs performed during the third quarter of 2025 based on the excess of the disposal group's carrying value over its fair value less costs to sell, included an impairment of goodwill allocated to the disposal group of $7.2 million.

We have determined that this disposal does not meet the criteria for classification as a discontinued operation under ASC 205-20, as it does not represent a strategic shift that has or will have a major effect on our operations and/or financial results, however, does represent the disposal of an individually significant component of the Company. Income before income taxes for this individually significant component was a loss of $58.0 million for the year ended December 26, 2025, inclusive of $17.9 million of charges included in Asset impairment and other charges, net described above. For the years ended December 27, 2024 and December 29, 2023, income before income taxes for this individually significant component was a loss of $23.2 million and a loss of $170.4 million.

Fair Value of Non-Financial Assets

During 2024 we recorded an impairment charge of $1.4 million related to goodwill in our vegetable reporting unit. The fair value of the vegetable reporting unit was estimated based on an analysis of the present value of future discounted cash flows. Significant estimates used in the discounted cash flow models included our weighted average cost of capital, projected cash flows, and long-term rate of growth. The fair value measurements were primarily based on significant inputs that are not observable in the market and thus represent a Level 3 measurement.

Additionally, during the year ended December 29, 2023, long-lived assets with an aggregate carrying value of $202.6 million were written down to their fair value of $93.0 million, resulting in an asset impairment charge of $109.6 million. The fair value of the long-lived assets was estimated based on an analysis of the present value of future discounted cash flows and third-party asset appraisals using a discount rate commensurate with the risk. Significant estimates used in the discounted cash flows model included our weighted average cost of capital, projected cash flows, and long-term rate of growth. The fair value measurements used in the discounted cash flows model were primarily based on significant inputs that are not observable in the market and thus represent a Level 3 measurement.

As of December 26, 2025, we had $9.6 million in property, plant and equipment meeting the criteria of assets held for sale consisting of $7.4 million related to idle farmland in Italy, $2.0 million related to facilities and farmland in Guatemala and $0.2 million related to facilities in Chile. These assets are recognized at the lower of cost or fair value less cost to sell. During 2025, we received proceeds of $22.0 million and recorded a gain on disposal of property, plant and equipment, net and subsidiary of $13.4 million from the sale of assets previously held for sale.

We recorded additional asset impairment and other charges during the years ended December 26, 2025, December 27, 2024 and December 29, 2023, that do not fall under the scope of fair value measurement. Refer to Note 3, “Asset Impairment and Other Charges, Net”.