XML 29 R11.htm IDEA: XBRL DOCUMENT v3.25.2
RESTRUCTURING ACTIVITIES
12 Months Ended
May 25, 2025
Restructuring and Related Activities [Abstract]  
RESTRUCTURING ACTIVITIES

3. RESTRUCTURING ACTIVITIES

Conagra Restructuring Plan

In fiscal 2019, senior management initiated a restructuring plan for costs incurred in connection with actions taken to improve SG&A expense effectiveness and efficiencies and to optimize our supply chain network (the “Conagra Restructuring Plan”). We are reporting on actions initiated through the end of fiscal 2025, including the estimated amounts or range of amounts for each major type of costs expected to be incurred, and the charges that have resulted or will result in cash outflows. As of May 25, 2025, we have approved and expect to incur $354.5 million of charges ($100.9 million of cash charges and $253.6 million of non-cash charges) for actions identified to date under the Conagra Restructuring Plan. We recognized charges of $101.7 million, $66.6 million, and $10.7 million in connection with the Conagra Restructuring Plan in fiscal 2025, 2024, and 2023, respectively. We anticipate that we will recognize costs related to the Conagra Restructuring Plan through the end of fiscal 2026.

We anticipate that we will recognize the following pre-tax expenses in association with the Conagra Restructuring Plan (amounts include charges recognized from plan inception through the end of fiscal 2025):

Grocery &

Refrigerated

    

Snacks

    

& Frozen

    

International

    

Foodservice

    

Corporate

    

Total

Accelerated depreciation

$

47.2

$

47.7

$

$

$

$

94.9

Other cost of goods sold

15.2

10.5

2.0

27.7

Total cost of goods sold

62.4

58.2

2.0

122.6

Severance and related costs

12.8

9.7

5.6

0.3

15.8

44.2

Asset impairment (net of gains on disposal)

46.6

83.1

12.3

142.0

Contract/lease termination

1.1

0.9

0.3

0.1

2.4

Consulting/professional fees

0.6

0.6

5.4

6.6

Other selling, general and administrative expenses

21.0

12.2

0.9

2.0

36.1

Total selling, general and administrative expenses

82.1

106.5

19.1

0.3

23.3

231.3

Total

$

144.5

$

164.7

$

21.1

$

0.3

$

23.3

$

353.9

Pension and postretirement non-service income

0.6

Consolidated total

$

354.5

During fiscal 2025, we recognized the following pre-tax expenses for the Conagra Restructuring Plan:

Grocery &

Refrigerated

    

Snacks

    

& Frozen

    

International

    

Corporate

    

Total

Accelerated depreciation

$

2.5

$

$

$

$

2.5

Other cost of goods sold

2.9

5.3

(0.1)

8.1

Total cost of goods sold

5.4

5.3

(0.1)

10.6

Severance and related costs

0.9

6.1

(0.2)

6.4

13.2

Asset impairment (net of gains on disposal)

2.7

66.4

(1.9)

67.2

Contract/lease termination

1.5

0.3

1.8

Other selling, general and administrative expenses

5.2

2.7

0.7

0.3

8.9

Total selling, general and administrative expenses

10.3

75.2

(1.1)

6.7

91.1

Total

$

15.7

$

80.5

$

(1.2)

$

6.7

$

101.7

Included in the above results are $27.5 million of charges that have resulted or will result in cash outflows and $74.2 million in non-cash charges.

We recognized the following cumulative (plan inception to May 25, 2025) pre-tax expenses for the Conagra Restructuring Plan in our Consolidated Statements of Earnings:

Grocery &

Refrigerated

    

Snacks

    

& Frozen

    

International

    

Foodservice

    

Corporate

    

Total

Accelerated depreciation

$

43.4

$

47.7

$

$

$

$

91.1

Other cost of goods sold

12.1

9.5

2.0

23.6

Total cost of goods sold

55.5

57.2

2.0

114.7

Severance and related costs

12.7

9.7

5.6

0.3

15.8

44.1

Asset impairment (net of gains on disposal)

25.2

85.0

12.3

122.5

Contract/lease termination

2.0

0.9

0.3

0.1

3.3

Consulting/professional fees

0.5

0.6

5.1

6.2

Other selling, general and administrative expenses

19.0

8.8

0.8

1.2

29.8

Total selling, general and administrative expenses

59.4

105.0

19.0

0.3

22.2

205.9

Total

$

114.9

$

162.2

$

21.0

$

0.3

$

22.2

$

320.6

Pension and postretirement non-service income

0.6

Consolidated total

$

321.2

Included in the above results are $92.9 million of charges that have resulted or will result in cash outflows and $228.3 million in non-cash charges.

Liabilities recorded for the Conagra Restructuring Plan and changes therein for fiscal 2025 were as follows:

Costs

Balance at

Incurred

Costs Paid

Balance at

May 26,

and Charged

or Otherwise

Changes in

May 25,

2024

to Expense

Settled

Estimates

2025

Severance and related costs

$

9.8

$

14.1

$

(8.4)

$

(0.9)

$

14.6

Contract/lease termination

1.8

(1.8)

Other costs

0.6

12.5

(10.3)

2.8

Total

$

10.4

$

28.4

$

(20.5)

$

(0.9)

$

17.4