Derivative Financial Instruments (Tables)

9 Months Ended

Oct. 07, 2017

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Net Fair Value of Commodity Price Risk

As of October 7, 2017, 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	$	277		$	—	$	—	$	277
Other long-term		176			—		—		176
Total		453			—		—		453
Liabilities:
Other current		(9,533	)		—		—		(9,533	)
Other long-term		(8	)		—		—		(8	)
Total		(9,541	)		—		—		(9,541	)
Net Fair Value	$	(9,088	)	$	—	$	—	$	(9,088	)

As of December 31, 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	$	1,576		$	—	$	—	$	1,576
Other long-term		35			—		—		35
Total		1,611			—		—		1,611
Liabilities:
Other current		(2,435	)		—		—		(2,435	)
Total		(2,435	)		—		—		(2,435	)
Net Fair Value	$	(824	)	$	—	$	—	$	(824	)

Derivative Held for Hedging the Risk of Changes in Forecasted Interest Payments on Issuance of Long-term Debt

The following table outlines the company’s derivatives, which were hedging the risk of changes in forecasted interest payments on forecasted issuance of long-term debt (amounts in thousands, before tax, and an asset is a positive value and a liability is a negative value):

Terminated	Description	Aggregate Notional Amount		Fair Value When Terminated			Fair Value Deferred in AOCI(1)			Ineffective Portion at Termination
April/2012	Treasury lock	$	500,000	$	(3,137	)	$	2,510		$	627
September/2016	Treasury lock	$	200,000	$	1,298		$	(1,298	)	$	—
September/2016	Treasury lock	$	150,000	$	(323	)	$	215		$	108

(1) The amount reported in AOCI is reclassified to interest expense as interest payments are made on the related notes through the maturity date.

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
	October 7, 2017			December 31, 2016			October 7, 2017			December 31, 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	$	277	Other current assets	$	1,576	Other current accrued liabilities	$	9,533	Other current accrued liabilities	$	2,435
Commodity contracts	Other assets		176	Other assets		35	Other long-term liabilities		8	Other long-term liabilities		—
Total		$	453		$	1,611		$	9,541		$	2,435

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 Gain or (Loss)						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)	October 7, 2017			October 8, 2016		into Income (Effective Portion)(2)	October 7, 2017		October 8, 2016
Interest rate contracts	$	—		$	666	Interest expense	$	21	$	38
Commodity contracts		(9,652	)		2,767	Production costs(3)		351		704
Total	$	(9,652	)	$	3,433		$	372	$	742
	Amount of Gain or (Loss)						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 Forty Weeks Ended					Reclassified from AOCI	For the Forty Weeks Ended
Hedge Relationships(1)	October 7, 2017			October 8, 2016		into Income (Effective Portion)(2)	October 7, 2017		October 8, 2016
Interest rate contracts	$	—		$	666	Interest expense	$	68	$	121
Commodity contracts		(5,932	)		1,830	Production costs(3)		1,098		2,567
Total	$	(5,932	)	$	2,496		$	1,166	$	2,688

1. Amounts in parentheses indicate debits to determine net income (loss).

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

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

AOCI Related to Derivative Transactions

At October 7, 2017, 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	$	(142	)	$	(95	)	$	(237	)
Expiring in 2018		(5,620	)		—			(5,620	)
Expiring in 2019		2			—			2
Expiring in 2020		28			—			28
Total	$	(5,732	)	$	(95	)	$	(5,827	)

Financial Contracts Hedging Commodity Risk

As of October 7, 2017, the company had the following outstanding financial contracts that were entered to hedge commodity risk (amounts in thousands):

	Notional amount
Wheat contracts	$	128,682
Soybean oil contracts		17,066
Natural gas contracts		13,260
Total	$	159,008