Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 29, 2012

Net Fair Value of Commodity Price Risk

As of December 29, 2012, the company’s commodity hedge portfolio contained derivatives with a fair value of $(3.2) million, which is recorded in the following accounts with fair values measured as indicated (amounts in millions):

	Level 1			Level 2			Level 3		Total
Liabilities:
Other current		(2.5	)		(0.5	)		—		(3.0	)
Other long-term		(0.1	)		(0.1	)		—		(0.2	)
Total		(2.6	)		(0.6	)		—		(3.2	)
Net Fair Value	$	(2.6	)	$	(0.6	)	$	—	$	(3.2	)

As of December 31, 2011, the company’s commodity hedge portfolio contained derivatives with a fair value of $(5.7) million, which is recorded in the following accounts with fair values measured as indicated (amounts in millions):

	Level 1			Level 2			Level 3		Total
Assets:
Other current	$	0.1		$	—		$	—	$	0.1
Total		0.1			—			—		0.1
Liabilities:
Other current		(2.6	)		(2.9	)		—		(5.5	)
Other long-term		—			(0.3	)		—		(0.3	)
Total		(2.6	)		(3.2	)		—		(5.8	)
Net Fair Value	$	(2.5	)	$	(3.2	)	$	—	$	(5.7	)

Net Fair Value of Interest Rate Swaps

As of December 29, 2012, the fair value of the interest rate swaps was $(0.9) million, which is recorded in the following accounts with fair values measured as indicated (amounts in millions):

	Level 1		Level 2			Level 3		Total
Liabilities:
Other current	$	—	$	(0.9	)	$	—	$	(0.9	)
Total		—		(0.9	)		—		(0.9	)
Net Fair Value	$	—	$	(0.9	)	$	—	$	(0.9	)

As of December 31, 2011, the fair value of the interest rate swaps was $(3.4) million, which is recorded in the following accounts with fair values measured as indicated (amounts in millions):

	Level 1		Level 2			Level 3		Total
Liabilities:
Other current	$	—	$	(2.6	)	$	—	$	(2.6	)
Other long-term		—		(0.8	)		—		(0.8	)
Total		—		(3.4	)		—		(3.4	)
Net Fair Value	$	—	$	(3.4	)	$	—	$	(3.4	)

Derivative Instruments Located on Consolidated Balance Sheet

The company had the following derivative instruments recorded on the consolidated balance sheet, all of which are utilized for the risk management purposes detailed above (amounts in thousands):

Derivatives Designated as Hedging Instruments	Derivative Assets								Derivative Liabilities
	December 29, 2012				December 31, 2011				December 29, 2012				December 31, 2011
	Balance Sheet Location		Fair Value		Balance Sheet Location		Fair Value		Balance Sheet Location		Fair Value		Balance Sheet Location		Fair Value
Interest rate contracts		—		$—		—	$	—		Other current liabilities	$	867		Other current liabilities	$	2,639
Interest rate contracts		—		—		—		—		Other long term liabilities		—		Other long term liabilities		765
Commodity contracts		Other current assets		—		Other current assets		—		Other current liabilities		3,047		Other current liabilities		5,439
Commodity contracts		Other long term assets		9		Other long term assets		61		Other long term liabilities		146		Other long term liabilities		278
Total			$	9			$	61			$	4,060			$	9,121

Derivative Instruments for Deferred Gains and (losses) on Closed Contracts and the Effective Portion for Changes in Fair Value Recorded in Accumulated Other Comprehensive Income

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 accumulated other comprehensive income (“AOCI”), all of which are utilized for the risk management purposes detailed above (amounts in thousands and net of tax):

	Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion)(Net of tax)
Derivatives in Cash Flow Hedging Relationships	For the 52 Weeks Ended December 29, 2012			For the 52 Weeks Ended December 31, 2011			For the 52 Weeks Ended January 1, 2011
Interest rate contracts	$	(1,221	)	$	(547	)	$	(2,684	)
Commodity contracts		(325	)		(17,304	)		30,384
Total	$	(1,546	)	$	(17,851	)	$	27,700

	Amount of (Gain) or Loss Reclassified from Accumulated OCI into Income (Effective Portion)(Net of tax)
Derivatives in Cash Flow Hedging Relationships	For the 52 Weeks Ended December 29, 2012		For the 52 Weeks Ended December 31, 2011			For the 52 Weeks Ended January 1, 2011		Location of (Gain) or Loss Reclassified from AOCI into Income (Effective Portion)
Interest rate contracts	$	1,732	$	2,431		$	2,857	Interest expense (income) Selling, distribution and administrative expenses Production costs(1)
Commodity contracts		—		—			—
Commodity contracts		10,622		(23,393	)		5,212
Total	$	12,354	$	(20,962	)	$	8,069

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

Accumulated Other Comprehensive Income (Loss) Related to Derivative Transactions

The balance in accumulated other comprehensive loss (income) related to commodity price risk and interest rate risk derivative transactions that are closed or will expire over the next three years are as follows (amounts in millions and net of tax) at December 29, 2012:

	Commodity price risk derivatives		Interest rate risk derivatives		Totals
Closed contracts	$	0.1	$	1.0	$	1.1
Expiring in 2013 and beyond		2.4		0.6		3.0
Total	$	2.5	$	1.6	$	4.1

Financial Contracts Hedging Commodity and Interest Rate Risk

As of December 29, 2012, the company had entered into the following financial contracts to hedge commodity and interest rate risks:

Derivatives in Cash Flow Hedging Relationships	Notional amount
	(Millions)
Interest rate contracts	$	67.5
Wheat contracts		88.0
Soybean oil contracts		20.6
Natural gas contracts		11.1
Total	$	187.2