Derivative Instruments (Tables)

9 Months Ended

Mar. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts of Outstanding Derivative Positions

The following table summarizes the notional volumes for the coffee-related derivative instruments held by the Company at March 31, 2018 and June 30, 2017:

(In thousands)	March 31, 2018		June 30, 2017
Derivative instruments designated as cash flow hedges:
Long coffee pounds	32,625		33,038
Derivative instruments not designated as cash flow hedges:
Long coffee pounds	2,129		2,121
Less: Short coffee pounds	(38	)	—
Total	34,716		35,159

Schedule of Fair Values of Derivative Instruments on the Consolidated Balance Sheets

Fair values of derivative instruments on the Company’s Condensed Consolidated Balance Sheets:

	Derivative Instruments Designated as Cash Flow Hedges				Derivative Instruments Not Designated as Accounting Hedges
	March 31, 2018		June 30, 2017		March 31, 2018		June 30, 2017
(In thousands)
Financial Statement Location:
Short-term derivative assets(1):
Coffee-related derivative instruments	$	16	$	66	$	1	$	—
Long-term derivative assets(2):
Coffee-related derivative instruments	$	—	$	66	$	—	$	—
Short-term derivative liabilities(1):
Coffee-related derivative instruments	$	2,068	$	1,733	$	553	$	190
Long-term derivative liabilities(2):
Coffee-related derivative instruments	$	146	$	446	$	—	$	—

________________

(1) Included in “Short-term derivative liabilities” on the Company’s Condensed Consolidated Balance Sheets at March 31, 2018 and June 30, 2017.

(2) Included in “Other long-term liabilities” on the Company’s Condensed Consolidated Balance Sheets at March 31, 2018 and June 30, 2017.

Schedule of Pretax Effect of Derivative Instruments on Earnings and OCI

The following table presents pretax net gains and losses for the Company’s coffee-related derivative instruments designated as cash flow hedges, as recognized in accumulated other comprehensive income (loss) “AOCI,” “Cost of goods sold” and “Other, net”:

	Three Months Ended March 31,					Nine Months Ended March 31,						Financial Statement Classification
(In thousands)	2018			2017		2018			2017
Net (losses) gains recognized in AOCI	$	(3,265	)	$	188	$	(5,724	)	$	(2,029	)	AOCI
Net (losses) gains recognized in earnings	$	(1,815	)	$	865	$	(2,419	)	$	614		Costs of goods sold
Net gains recognized in earnings (ineffective portion)(1)	$	—		$	90	$	48		$	63		Other, net

________________

(1) Amount included in nine months ended March 31, 2018 relates to trades terminated prior to the adoption of ASU 2017-12.

Schedule of Net Realized and Unrealized Gains and Losses Recorded in 'Other, net'

Net gains and losses recorded in “Other, net” are as follows:

	Three Months Ended March 31,					Nine Months Ended March 31,
(In thousands)	2018			2017		2018			2017
Net (losses) gains on coffee-related derivative instruments	$	(444	)	$	188	$	(537	)	$	(1,052	)
Net gains (losses) on investments	—			738		7			(354		)
Net (losses) gains on derivative instruments and investments(1)	(444		)	926		(530		)	(1,406		)
Other gains, net(2)	598			118		1,324			318
Other, net	$	154		$	1,044	$	794		$	(1,088	)

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(1) Excludes net gains and losses on coffee-related derivative instruments designated as cash flow hedges recorded in cost of goods sold in the three and nine months ended March 31, 2018 and 2017.

Schedule of Offsetting Assets

The following table presents the Company’s net exposure from its offsetting derivative asset and liability positions as of the reporting dates indicated:

(In thousands)		Gross Amount Reported on Balance Sheet		Netting Adjustments			Cash Collateral Posted		Net Exposure
March 31, 2018	Derivative Assets	$	17	$	(17	)	$	—	$	—
	Derivative Liabilities	$	2,767	$	(17	)	$	—	$	2,750
June 30, 2017	Derivative Assets	$	132	$	(132	)	$	—	$	—
	Derivative Liabilities	$	2,369	$	(132	)	$	—	$	2,237

Schedule of Offsetting Liabilities

The following table presents the Company’s net exposure from its offsetting derivative asset and liability positions as of the reporting dates indicated:

(In thousands)		Gross Amount Reported on Balance Sheet		Netting Adjustments			Cash Collateral Posted		Net Exposure
March 31, 2018	Derivative Assets	$	17	$	(17	)	$	—	$	—
	Derivative Liabilities	$	2,767	$	(17	)	$	—	$	2,750
June 30, 2017	Derivative Assets	$	132	$	(132	)	$	—	$	—
	Derivative Liabilities	$	2,369	$	(132	)	$	—	$	2,237