DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

4 Months Ended

Apr. 23, 2016

Derivative Instruments And Hedging Activities Disclosure [Abstract]

As of April 23, 2016, 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	$	—		$	—		$	—	$	—
Other long-term		323			—			—		323
Total		323			—			—		323

Liabilities:
Other current		(6,719	)		(2,213	)		—		(8,932	)
Other long-term		—			—			—		—
Total		(6,719	)		(2,213	)		—		(8,932	)
Net Fair Value	$	(6,396	)	$	(2,213	)	$	—	$	(8,609	)

As of January 2, 2016, the company’s commodity hedge portfolio contained derivatives which are recorded in the following accounts with fair values measured as indicated (amounts in thousands):

	Level 1			Level 2			Level 3		Total
Liabilities:
Other current		(11,926	)		(2,941	)		—		(14,867	)
Other long-term		(20	)		—			—		(20	)
Total		(11,946	)		(2,941	)		—		(14,887	)
Net Fair Value	$	(11,946	)	$	(2,941	)	$	—	$	(14,887	)

Derivative Instruments Located on Condensed Consolidated Balance Sheet

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

	Derivative Assets						Derivative Liabilities
	April 23, 2016			January 2, 2016			April 23, 2016			January 2, 2016
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	$	—	Other current assets	$	—	Other current liabilities	$	8,932	Other current liabilities	$	14,867
Commodity contracts	Other long term assets	$	323	Other long term assets		—	Other long-term liabilities		—	Other long-term liabilities		20
Total		$	323		$	—		$	8,932		$	14,887

Effect of Derivative Instruments Designated as Cash-Flow Hedges in Other Comprehensive Income (Loss) ("OCI") and Condensed Consolidated Income Statement

The company has the following derivative instruments located on the Condensed Consolidated Statements of Income, utilized for risk management purposes (amounts in thousands and net of tax):

	Recognized in OCI on Derivative						Reclassified from AOCI
	(Effective Portion)					Location of Gain or (Loss)	into Income (Effective Portion)
Derivatives in Cash Flow	For the Sixteen Weeks Ended					Reclassified from AOCI	For the Sixteen Weeks Ended
Hedge Relationships (2)	April 23, 2016		April 25, 2015			into Income (Effective Portion)(2)	April 23, 2016			April 25, 2015
Interest rate contracts	$	—	$	—		Interest (expense) income	$	(47	)	$	(47	)
Commodity contracts		2,588		(4,428	)	Production costs(1)		(1,096	)		(1,540	)
Total	$	2,588	$	(4,428	)		$	(1,143	)	$	(1,587	)

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

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

Accumulated Other Comprehensive Loss (Income) 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 following years are as follows (amounts in thousands and net of tax) at April 23, 2016:

	Commodity price risk derivatives			Interest rate risk derivatives		Totals
Closed contracts	$	247		$	917	$	1,164
Expiring in 2016		5,332			—		5,332
Expiring in 2017		(37	)		—		(37	)
Total	$	5,542		$	917	$	6,459

Financial Contracts Hedging Commodity and Interest Rate Risks

As of April 23, 2016, the company had the following outstanding financial contracts that were entered to hedge commodity and interest rate risk (amounts in thousands):

	Notional amount
Wheat contracts	$	115,682
Soybean oil contracts		11,605
Natural gas contracts		9,505
Total	$	136,792