Derivative Financial Instruments (Tables)

6 Months Ended

Jul. 13, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Net Fair Value of Commodity Price Risk and Interest Rate Risk

As of July 13, 2024, the company’s hedge portfolio contained commodity derivatives, which are recorded in the following accounts with fair values measured as indicated (amounts in thousands):

	Level 1			Level 2		Level 3		Total
Assets:
Other current	$	12		$	—	$	—	$	12
Other long-term		—			—		—		—
Total		12			—		—		12
Liabilities:
Other current		(716	)		—		—		(716	)
Other long-term		(30	)		—		—		(30	)
Total		(746	)		—		—		(746	)
Net Fair Value	$	(734	)	$	—	$	—	$	(734	)

As of December 30, 2023, the company’s hedge portfolio contained commodity derivatives, which are recorded in the following accounts with fair values measured as indicated (amounts in thousands):

	Level 1			Level 2		Level 3		Total
Assets:
Other current	$	55		$	—	$	—	$	55
Other long-term		—			—		—		—
Total		55			—		—		55
Liabilities:
Other current		(1,918	)		—		—		(1,918	)
Other long-term		(2	)		—		—		(2	)
Total		(1,920	)		—		—		(1,920	)
Net Fair Value	$	(1,865	)	$	—	$	—	$	(1,865	)

As of July 13, 2024, the company’s hedge portfolio contained interest derivatives, which are recorded in the following accounts with fair values measured as indicated (amounts in thousands):

	Level 1			Level 2		Level 3		Total
Assets:
Other current	$	—		$	—	$	—	$	—
Other long-term		—			—		—		—
Total		—			—		—		—
Liabilities:
Other current		—			—		—		—
Other long-term		(22	)		—		—		(22	)
Total		(22	)		—		—		(22	)
Net Fair Value	$	(22	)	$	—	$	—	$	(22	)

Derivative Instruments Located on Condensed Consolidated Balance Sheet

The company has the following derivative instruments located on the Condensed Consolidated Balance Sheets, which are utilized for the risk management purposes detailed above (amounts in thousands):

	Derivative Assets						Derivative Liabilities
	July 13, 2024			December 30, 2023			July 13, 2024			December 30, 2023
Derivatives Designated as Hedging Instruments	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Commodity contracts	Other current assets	$	12	Other current assets	$	55	Other accrued liabilities	$	716	Other accrued liabilities	$	1,918
Commodity contracts	Other assets		—	Other assets		—	Other long-term liabilities		52	Other long-term liabilities		2
Total		$	12		$	55		$	768		$	1,920

Effect of Derivative Instruments for Deferred Gains And (Losses) on Closed Contracts and Effective Portion in Fair Value on AOCI, Utilized for Risk Management Purposes (Detail)

The company had the following derivative instruments for deferred gains and (losses) on closed contracts and the effective portion for changes in fair value recorded in AOCI (no amounts were excluded from the effectiveness test), all of which are utilized for the risk management purposes detailed above (amounts in thousands and net of tax):

	Amount of (Loss) or Gain						Amount of Gain or (Loss)
	Recognized in AOCI on Derivatives						Reclassified from AOCI
	(Effective Portion)					Location of Gain or (Loss)	into Income (Effective Portion)
Derivatives in Cash Flow	For the Twelve Weeks Ended					Reclassified from AOCI	For the Twelve Weeks Ended
Hedge Relationships(1)	July 13, 2024			July 15, 2023		into Income (Effective Portion)(2)	July 13, 2024			July 15, 2023
Interest rate contracts	$	(22	)	$	—	Interest expense	$	86		$	86
Commodity contracts		466			3,092	Production costs(3)		(107	)		(381	)
Total	$	444		$	3,092		$	(21	)	$	(295	)

	Amount of (Loss) or Gain						Amount of Gain or (Loss)
	Recognized in AOCI on Derivatives						Reclassified from AOCI
	(Effective Portion)					Location of Gain or (Loss)	into Income (Effective Portion)
Derivatives in Cash Flow	For the Twenty-Eight Weeks Ended					Reclassified from AOCI	For the Twenty-Eight Weeks Ended
Hedge Relationships(1)	July 13, 2024			July 15, 2023		into Income (Effective Portion)(2)	July 13, 2024			July 15, 2023
Interest rate contracts	$	(22	)	$	—	Interest expense	$	201		$	201
Commodity contracts		(100	)		48	Production costs(3)		(772	)		(1,436	)
Total	$	(122	)	$	48		$	(571	)	$	(1,235	)

1.Amounts in parentheses indicate debits to determine net income.

2.Amounts in parentheses, if any, indicate credits to determine net income.

3.Included in materials, supplies, labor and other production costs (exclusive of depreciation and amortization shown separately).

Accumulated Other Comprehensive Loss (Income) Related to Derivative Transactions

At July 13, 2024, the balance in AOCI related to commodity price risk and interest rate risk derivative transactions that closed or will expire over the following years are as follows (amounts in thousands and net of tax) (amounts in parenthesis indicate a debit balance):

	Commodity Price Risk Derivatives			Interest Rate Risk Derivatives			Totals
Closed contracts	$	(130	)	$	2,115		$	1,985
Expiring in 2024		(548	)		—			(548	)
Expiring in 2025		(3	)		—			(3	)
Expiring in 2026		—			(22	)		(22	)
Total	$	(681	)	$	2,093		$	1,412

Financial Contracts Hedging Commodity Risk

As of July 13, 2024, the company had the following outstanding financial contracts that were entered to hedge commodity risk (amounts in thousands):

	Notional Amount
Wheat contracts	$	1,581
Soybean oil contracts		6,483
Natural gas contracts		1,978
Interest rate contracts		50,000
Total	$	60,042