Inventories

6 Months Ended

Jul. 02, 2022

Inventories

Inventories

(4) Inventories

Inventories are stated at the lower of cost or net realizable value and include direct material, direct labor, overhead, warehousing and product transfer costs. Cost is determined using the first-in, first-out and average cost methods. Inventories have been reduced by an allowance for excess, obsolete and unsaleable inventories. The allowance is an estimate based on management’s review of inventories on hand compared to estimated future usage and sales.

Inventories consist of the following, as of the dates indicated (in thousands):

	July 2, 2022		January 1, 2022
Raw materials and packaging	$	141,119	$	94,799
Work-in-process		78,356		145,102
Finished goods		448,193		369,893
Inventories	$	667,668	$	609,794