EMPLOYEE BENEFIT PLANS AND COLLECTIVE BARGAINING AGREEMENTS (Tables)

12 Months Ended

Feb. 25, 2023

Retirement Benefits [Abstract]

Schedule of Changes in Retirement Plan's Benefit Obligation and Fair Value of Assets

The following table provides a reconciliation of the changes in the retirement plans' benefit obligation and fair value of assets over the two-year period ended February 25, 2023 and a statement of funded status as of February 25, 2023 and February 26, 2022 (in millions):

	Pension				Other Post-Retirement Benefits
	February 25, 2023		February 26, 2022		February 25, 2023		February 26, 2022
Change in projected benefit obligation:
Beginning balance	$	2,001.2	$	2,370.5	$	19.0	$	21.2
Service cost	19.9		21.8		—		—
Interest cost	51.4		39.9		0.4		0.2
Actuarial gain	(230.8)		(52.4)		(5.5)		(0.4)
Benefit payments (including settlements)	(144.7)		(379.3)		(1.5)		(2.0)
Plan amendments	0.5		0.7		—		—
Ending balance	$	1,697.5	$	2,001.2	$	12.4	$	19.0
Change in fair value of plan assets:
Beginning balance	$	1,662.3	$	1,941.6	$	—	$	—
Actual return on plan assets	(136.1)		72.1		—		—
Employer contributions	25.8		27.9		1.5		2.0
Benefit payments (including settlements)	(144.7)		(379.3)		(1.5)		(2.0)
Ending balance	$	1,407.3	$	1,662.3	$	—	$	—
Components of net amount recognized in financial position:
Other current liabilities	$	(6.8)	$	(6.2)	$	(2.0)	$	(2.7)
Other long-term liabilities	(283.4)		(332.7)		(10.4)		(16.3)
Funded status	$	(290.2)	$	(338.9)	$	(12.4)	$	(19.0)

Schedule of Amounts Recognized in Other Comprehensive Income (Loss)

Amounts recognized in Accumulated other comprehensive income (loss) consisted of the following (in millions):

	Pension				Other Post-Retirement Benefits
	February 25, 2023		February 26, 2022		February 25, 2023		February 26, 2022
Net actuarial gain	$	(85.2)	$	(84.5)	$	(13.4)	$	(8.4)
Prior service cost	2.0		1.8		—		—
	$	(83.2)	$	(82.7)	$	(13.4)	$	(8.4)

Schedule of Accumulated Benefit Obligation in Excess of Plan Assets

Information for the Company's pension plans, all of which have an accumulated benefit obligation in excess of plan assets as of February 25, 2023 and February 26, 2022, is shown below (in millions):

	February 25, 2023		February 26, 2022
Projected benefit obligation	$	1,697.5	$	2,001.2
Accumulated benefit obligation	1,694.4		1,997.5
Fair value of plan assets	1,407.3		1,662.3

Schedule of Components of Net Pension and Post-retirement Expense

The following table provides the components of net pension and post-retirement (income) expense for the retirement plans and other changes in plan assets and benefit obligations recognized in Other comprehensive income (loss) (in millions):

	Pension						Other Post-Retirement Benefits
	Fiscal  2022		Fiscal  2021		Fiscal 2020		Fiscal  2022		Fiscal  2021		Fiscal 2020
Components of net (income) expense:
Estimated return on plan assets	$	(92.9)	$	(101.1)	$	(103.9)	$	—	$	—	$	—
Service cost	19.9		21.8		15.7		—		—		—
Interest cost	51.4		39.9		48.6		0.4		0.2		0.4
Amortization of prior service cost	0.3		0.3		0.2		—		—		1.9
Amortization of net actuarial loss (gain)	0.2		0.8		2.0		(0.4)		(0.4)		(0.6)
Income due to settlement accounting	(0.6)		(16.2)		(0.7)		—		—		—
(Income) expense, net	(21.7)		(54.5)		(38.1)		—		(0.2)		1.7
Changes in plan assets and benefit obligations recognized in Other comprehensive income (loss):
Net actuarial (gain) loss	(1.1)		(23.2)		(245.8)		(5.4)		(0.4)		1.3
Amortization of net actuarial (loss) gain	(0.2)		(0.8)		(2.0)		0.4		0.4		0.6
Prior service cost	0.5		0.7		—		—		—		—
Amortization of prior service cost	(0.3)		(0.3)		(0.2)		—		—		(1.9)
Settlement income	0.6		16.2		0.7		—		—		—
Total recognized in Other comprehensive income (loss)	(0.5)		(7.4)		(247.3)		(5.0)		—		—
Total net expense and changes in plan assets and benefit obligations recognized in Other comprehensive income (loss)	$	(22.2)	$	(61.9)	$	(285.4)	$	(5.0)	$	(0.2)	$	1.7

Schedule of Assumptions Used

The weighted average actuarial assumptions used to determine year-end projected benefit obligations for pension plans were as follows:

	February 25, 2023		February 26, 2022
Discount rate	5.17	%	3.26	%
Rate of compensation increase	3.03	%	3.01	%
Cash balance plan interest crediting rate	3.65	%	2.35	%

The weighted average actuarial assumptions used to determine net periodic benefit costs for pension plans were as follows: 

	February 25, 2023		February 26, 2022		February 27, 2021
Discount rate	3.26	%	2.60	%	2.83	%
Expected return on plan assets	5.97	%	5.73	%	6.18	%
Cash balance plan interest crediting rate	2.35	%	2.35	%	2.40	%

Schedule of Allocation of Plan Assets

The following table summarizes actual allocations for the Safeway Plan which had $1,147.7 million in plan assets as of February 25, 2023: 

		Plan Assets
Asset category	Target (1)	February 25, 2023		February 26, 2022
Equity	75%	74.0	%	65.4	%
Fixed income	25%	23.7	%	32.7	%
Cash and other	—%	2.3	%	1.9	%
Total	100%	100.0	%	100.0	%

(1) Reflects updates to the investment policy targets made during fiscal 2022.

The following table summarizes the actual allocations for the Shaw's Plan which had $215.1 million in plan assets as of February 25, 2023:    

		Plan Assets
Asset category	Target	February 25, 2023		February 26, 2022
Equity	65%	66.4	%	60.5	%
Fixed income	35%	32.5	%	31.1	%
Cash and other	—%	1.1	%	8.4	%
Total	100%	100.0	%	100.0	%

The following table summarizes the actual allocations for the United Plan which had $28.0 million in plan assets as of February 25, 2023:

		Plan Assets
Asset category	Target (1)	February 25, 2023		February 26, 2022
Equity	50%	41.5	%	48.1	%
Fixed income	50%	54.5	%	41.4	%
Cash and other	—%	4.0	%	10.5	%
Total	100%	100.0	%	100.0	%

(1) The target market value of equity securities for the United Plan is 50% of plan assets. If the equity percentage exceeds 60% or drops below 40%, the asset allocation is adjusted to target.

The following table summarizes the actual allocations for the Safeway VAPP which had $16.5 million in plan assets as of February 25, 2023:

		Plan Assets (1)
Asset category	Target	February 25, 2023		February 26, 2022
Equity	20%	—	%	—	%
Fixed income	60%	—	%	—	%
Other (2)	20%	3.4	%	—	%
Cash	—%	96.6	%	—	%
Total	100%	100.0	%	—	%

(1) As of February 25, 2023, the assets were primarily invested in cash as these assets were recently contributed during fiscal 2022 and have not yet been allocated based on the plan policy. The Safeway VAPP had no assets as of February 26, 2022.

(2) Includes real estate, global tactical asset allocation and private equity investments.

The fair value of the Company's pension plan assets as of February 25, 2023, excluding pending transactions of $51.6 million payable to an intermediary agent, by asset category are as follows (in millions): 

	Fair Value Measurements
Asset category	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Assets Measured at NAV
Cash and cash equivalents (1)	$	20.4	$	16.7	$	3.7	$	—	$	—
Short-term investment collective trust (2)	36.9		—		—		—		36.9
Common and preferred stock: (3)
Domestic common and preferred stock	153.5		153.5		—		—		—
International common stock	58.3		58.3		—		—		—
Collective trust funds (2)	601.0		—		—		—		601.0
Corporate bonds (4)	70.4		—		70.4		—		—
Mortgage- and other asset-backed securities (5)	35.6		—		35.6		—		—
Mutual funds (6)	204.9		161.9		43.0		—		—
U.S. government securities (7)	209.2		—		209.2		—		—
Other securities (8)	68.7		0.2		24.2		—		44.3
Total	$	1,458.9	$	390.6	$	386.1	$	—	$	682.2

The fair value of the Company's pension plan assets as of February 26, 2022, excluding pending transactions of $67.7 million payable to an intermediary agent, by asset category are as follows (in millions): 

	Fair Value Measurements
Asset category	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Assets Measured at NAV
Cash and cash equivalents (1)	$	12.0	$	12.0	$	—	$	—	$	—
Short-term investment collective trust (2)	72.5		—		72.5		—		—
Common and preferred stock: (3)
Domestic common and preferred stock	160.3		160.3		—		—		—
International common stock	58.2		58.2		—		—		—
Collective trust funds (2)	648.1		—		—		—		648.1
Corporate bonds (4)	120.5		—		120.5		—		—
Mortgage- and other asset-backed securities (5)	32.7		—		32.7		—		—
Mutual funds (6)	240.8		150.1		90.7		—		—
U.S. government securities (7)	319.4		—		319.4		—		—
Other securities (8)	65.5		—		21.7		—		43.8
Total	$	1,730.0	$	380.6	$	657.5	$	—	$	691.9

(1) The carrying value of these items approximates fair value.

(2) These investments are valued based on the Net Asset Value ("NAV") of the underlying investments and are provided by the fund issuers. There are no unfunded commitments or redemption restrictions for these funds.

(3) The fair value of common stock is based on the exchange quoted market prices. When quoted prices are not available for identical stock, an industry valuation model is used which maximizes observable inputs.

(4) The fair value of corporate bonds is generally based on yields currently available on comparable securities of the same or similar issuers with similar credit ratings and maturities. When quoted prices are not available for identical or similar bonds, the fair value is based upon an industry valuation model, which maximizes observable inputs.

(5) The fair value of mortgage- and other asset-backed securities is generally based on yields currently available on comparable securities of the same or similar issuers with similar credit ratings and maturities. When quoted prices are not available for comparable securities, the fair value is based upon an industry valuation model which maximizes observable inputs.

(6) These investments are open-ended mutual funds that are registered with the SEC which are valued using the NAV. The NAV of the mutual funds is a published price in an active market. The NAV is determined once a day after the closing of the exchange based upon the underlying assets in the fund, less the fund's liabilities, expressed on a per-share basis. There are no unfunded commitments, or redemption restrictions for these funds, and the funds are required to transact at the published price.

(7) The fair value of U.S. government securities is based on quoted market prices when available. When quoted prices are not available, the fair value of U.S. government securities is based on yields currently available on comparable securities or on an industry valuation model which maximizes observable inputs.

(8) Level 2 Other securities, which consist primarily of U.S. municipal bonds, foreign government bonds and foreign agency securities are valued based on yields currently available on comparable securities of issuers with similar credit ratings. Also included in Other securities is a commingled fund valued based on the NAV of the underlying investments and is provided by the issuer and exchange-traded derivatives that are valued based on quoted prices in an active market for identical derivatives, assets and liabilities. Funds meeting the practical expedient are included in the Assets Measured at NAV column. Exchange-traded derivatives are valued based on quoted prices in an active market for identical derivatives assets and liabilities. Non-exchange-traded derivatives are valued using industry valuation models, which maximize observable inputs, such as interest-rate yield curve data, foreign exchange rates and applicable spot and forward rates.

Schedule of Expected Benefit Payments

The following benefit payments, which reflect expected future service as appropriate, are expected to be paid to plan participants (in millions):

	Pension Benefits		Other Benefits
2023	$	184.0	$	2.1
2024	187.3		1.9
2025	173.8		1.6
2026	167.6		1.5
2027	163.3		1.3
2028 – 2032	652.7		4.3

Schedule of Multiemployer Plans

The following tables contain information about the Company's multiemployer plans. Certain plans have been aggregated in the Other funds line in the following table, as the contributions to each of these plans are not individually material.

	EIN - PN	Pension Protection Act zone status (1)		Company's 5% of total plan contributions		FIP/RP status pending/implemented
Pension fund		2022	2021	2021	2020
UFCW-Northern California Employers Joint Pension Trust Fund	946313554 - 001	Red	Red	Yes	Yes	Implemented
Western Conference of Teamsters Pension Plan	916145047 - 001	Green	Green	No	No	No
Southern California United Food & Commercial Workers Unions and Food Employers Joint Pension Plan (4)	951939092 - 001	Red	Red	Yes	Yes	Implemented
Combined Plan (8)	526128473 - 001	Red	Red	No	Yes	Implemented
Sound Retirement Trust (6)	916069306 - 001	Red	Red	Yes	Yes	Implemented
Bakery and Confectionery Union and Industry International Pension Fund	526118572 - 001	Red	Red	Yes	Yes	Implemented
UFCW Union and Participating Food Industry Employers Tri-State Pension Fund	236396097 - 001	Red	Red	Yes	Yes	Implemented
Rocky Mountain UFCW Unions & Employers Pension Plan	846045986 - 001	Green	Green	Yes	Yes	No
UFCW Local 152 Retail Meat Pension Fund (5)	236209656 - 001	Red	Red	Yes	Yes	Implemented
Desert States Employers & UFCW Unions Pension Plan	846277982 - 001	Green	Green	Yes	Yes	No
UFCW International Union - Industry Pension Fund (5)(9)	516055922 - 001	Green	Green	No	Yes	No
Retail Food Employers and UFCW Local 711 Pension Trust Fund	516031512 - 001	Red	Red	Yes	Yes	Implemented
Oregon Retail Employees Pension Trust	936074377 - 001	Red	Red	Yes	Yes	Implemented
Intermountain Retail Store Employees Pension Trust (7)	916187192 - 001	Red	Red	Yes	Yes	Implemented
UFCW Local 1245 Labor Management Pension Plan	516090661 - 001	Red	Red	Yes	Yes	Implemented

	Contributions of Company (in millions)						Surcharge imposed (2)	Expiration date of collective bargaining agreements	Total collective bargaining agreements	Most significant collective bargaining agreement(s)(3)
Pension fund	2022		2021		2020					Count	Expiration
UFCW-Northern California Employers Joint Pension Trust Fund	$	135.2	$	128.1	$	123.2	No	7/27/2020 to 2/26/2026	85	79	4/12/2025
Western Conference of Teamsters Pension Plan	73.5		68.6		66.9		No	3/4/2020 to 8/21/2027	48	10	9/21/2025
Southern California United Food & Commercial Workers Unions and Food Employers Joint Pension Plan (4)	141.8		138.4		133.7		No	3/6/2022 to 3/6/2026	46	41	3/4/2025
Combined Plan (8)	—		—		26.6		No	10/26/2019 to 2/24/2024	19	15	10/28/2023
Sound Retirement Trust (6)	66.6		61.4		53.8		No	4/4/2020 to 12/13/2025	132	27	5/3/2025
Bakery and Confectionery Union and Industry International Pension Fund	18.3		18.2		18.7		No	10/2/2016 to 1/23/2027	110	34	9/6/2025
UFCW Union and Participating Food Industry Employers Tri-State Pension Fund	11.5		12.0		12.0		No	2/1/2024 to 12/31/2026	6	2	3/29/2024
Rocky Mountain UFCW Unions & Employers Pension Plan	17.2		15.7		15.5		No	8/23/2023 to 11/15/2025	85	27	2/15/2025
UFCW Local 152 Retail Meat Pension Fund (5)	11.4		11.6		11.1		No	5/2/2024	4	4	5/2/2024
Desert States Employers & UFCW Unions Pension Plan	10.8		11.6		8.9		No	10/21/2023 to 11/8/2025	17	15	10/21/2023
UFCW International Union - Industry Pension Fund (5)(9)	—		—		4.6		No	4/1/2023 to 2/26/2026	28	7	6/14/2025
Retail Food Employers and UFCW Local 711 Pension Trust Fund	9.0		8.6		8.6		No	5/21/2022 to 3/1/2025	7	4	3/1/2025
Oregon Retail Employees Pension Trust	12.1		12.0		10.0		No	11/5/2022 to 2/9/2026	134	35	8/10/2024
Intermountain Retail Store Employees Pension Trust (7)	8.0		7.9		6.9		No	5/19/2018 to 12/13/2025	54	18	4/6/2024
UFCW Local 1245 Labor Management Pension Plan	5.7		4.8		2.7		No	11/23/2020 to 4/6/2024	4	2	11/23/2020
Other funds	25.4		24.8		20.8
Total Company contributions to U.S. multiemployer pension plans	$	546.5	$	523.7	$	524.0

(1) PPA established three categories (or "zones") of plans: (1) "Green Zone" for healthy; (2) "Yellow Zone" for endangered; and (3) "Red Zone" for critical. These categories are based upon multiple factors, including the funding ratio of the plan assets to plan liabilities.

(2) Under the PPA, a surcharge may be imposed when employers make contributions under a collective bargaining agreement that is not in compliance with a rehabilitation plan. As of February 25, 2023, the collective bargaining agreements under which the Company was making contributions were in compliance with rehabilitation plans adopted by the applicable pension fund.

(3) These columns represent the number of most significant collective bargaining agreements aggregated by common expiration dates for each of the pension funds listed above.

(4) The information for this fund was obtained from the Form 5500 filed for the plan's year-end at March 31, 2022 and March 31, 2021.

(5) The information for this fund was obtained from the Form 5500 filed for the plan's year-end at June 30, 2021 and June 30, 2020.

(6) The information for this fund was obtained from the Form 5500 filed for the plan's year-end at September 30, 2021 and September 30, 2020.

(7) The information for this fund was obtained from the Form 5500 filed for the plan's year-end at August 31, 2021 and August 31, 2020.

(8) As further described below, effective December 31, 2020, the Mid Atlantic Pension Fund combined into the Food Employers Labor Relations Association and United Food and Commercial Workers Pension Fund to form the Combined Plan, and immediately upon combination the Company withdrew from the Combined Plan under the terms of the agreement with the applicable local unions, the largest contributing employer and the PBGC.

(9) As further described below, effective June 30, 2020, the Company withdrew from the UFCW National Fund and began contributing to the UFCW National VAPP.