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RELATED PARTY TRANSACTIONS
6 Months Ended
Jun. 28, 2020
Related Party Transactions [Abstract]  
RELATED PARTY TRANSACTIONS RELATED PARTY TRANSACTIONS
Pilgrim’s has been and, in some cases, continues to be a party to certain transactions with affiliated companies.
 Three Months EndedSix Months Ended
 June 28, 2020June 30, 2019June 28, 2020June 30, 2019
 (In thousands)
Sales to related parties:
JBS USA Food Company(a)
$3,094  $3,511  $6,547  $7,169  
JBS Global (U.K.) Ltd.—  43  —  86  
JBS Chile Ltda.(b)
(44) 54  (44) 132  
Combo, Mercado De Congelados 414  24  487  28  
JBS Australia495  —  1,281  —  
Total sales to related parties$3,959  $3,632  $8,271  $7,415  
Three Months EndedSix Months Ended
June 28, 2020June 30, 2019June 28, 2020June 30, 2019
(In thousands)
Cost of goods purchased from related parties:
JBS USA Food Company(a)
$35,913  $32,828  $72,810  $63,241  
Seara Meats B.V.1,080  4,369  3,723  8,890  
JBS Toledo NV93  88  156  208  
JBS Global (U.K.) Ltd.219  —  445  —  
Total cost of goods purchased from related parties$37,305  $37,285  $77,134  $72,339  
Three Months EndedSix Months Ended
June 28, 2020June 30, 2019June 28, 2020June 30, 2019
(In thousands)
Expenditures paid by related parties:
JBS USA Food Company(c)
$13,892  $8,103  $21,973  $18,109  
Seara Food Europe Holdings —   —  
JBS Chile Ltda.—   —   
Seara Alimentos—   —   
Total expenditures paid by related parties$13,894  $8,111  $21,975  $18,122  
Three Months EndedSix Months Ended
June 28, 2020June 30, 2019June 28, 2020June 30, 2019
(In thousands)
Expenditures paid on behalf of related parties:
       JBS USA Food Company(c)
$4,206  $1,776  $6,626  $3,979  
Total expenditures paid on behalf of related parties$4,206  $1,776  $6,626  $3,979  
June 28, 2020December 29, 2019
 (In thousands)
Accounts receivable from related parties:
JBS USA Food Company(a)
$642  $643  
JBS Chile Ltda.85  301  
Combo, Mercado de Congelados231  —  
JBS Australia151  —  
Total accounts receivable from related parties$1,109  $944  
June 28, 2020December 29, 2019
(In thousands)
Accounts payable to related parties:
JBS USA Food Company(a)
$6,298  $2,826  
JBS Global (U.K.) Ltd.109   
Seara Meats B.V.997  988  
Total accounts payable to related parties$7,404  $3,819  
(a) The Company routinely executes transactions to both purchase products from JBS USA Food Company (“JBS USA”) and sell products to them. As of June 28, 2020, approximately $2.0 million of goods purchased from JBS USA were in transit and not reflected on our Condensed Consolidated Balance Sheet.
(b) The Company currently reflects a sales credit with JBS Chile Ltda. due to a claim against a sale from November 2019.
(c) The Company has an agreement with JBS USA to allocate costs associated with JBS USA’s procurement of SAP licenses and maintenance services for its combined companies. Under this agreement, the fees associated with procuring SAP licenses and maintenance services are allocated between the Company and JBS USA in proportion to the percentage of licenses used by each company. The agreement expires on the date of expiration, or earlier termination, of the underlying SAP license agreement. The Company also has an agreement with JBS USA to allocate the costs of supporting the business operations by one consolidated corporate team, which have historically been supported by their respective corporate teams. Expenditures paid by JBS USA on behalf of the Company will be reimbursed by the Company and expenditures paid by the Company on behalf of JBS USA will be reimbursed by JBS USA. This agreement expires on December 31, 2020.