REVENUE RECOGNITION

12 Months Ended

Dec. 27, 2020

Revenue from Contract with Customer [Abstract]

REVENUE RECOGNITION

REVENUE RECOGNITION

The vast majority of the Company's revenue is derived from contracts which are based upon a customer ordering its products. See “Note 1. General” for more information regarding the Company’s policies for revenue recognition.

Disaggregated Revenue

Revenue has been disaggregated into the following categories to show how economic factors affect the nature, amount, timing and uncertainty of revenue and cash flows:

	Year Ended December 27, 2020
	Domestic		Export		Net Sales
	(In thousands)
U.S.	$	7,189,539	$	306,478	$	7,496,017
U.K. and Europe	2,976,878		297,414		3,274,292
Mexico	1,321,592		—		1,321,592
Net sales	$	11,488,009	$	603,892	$	12,091,901

	Year Ended December 29, 2019
	Domestic		Export		Net Sales
	(In thousands)
U.S.	$	7,353,925	$	282,791	$	7,636,716
U.K. and Europe	2,105,578		278,215		2,383,793
Mexico	1,388,710		—		1,388,710
Net sales	$	10,848,213	$	561,006	$	11,409,219

Shipping and Handling Costs

See “Note 1. General” for more information regarding shipping and handling costs.

Contract Costs

The Company can incur incremental costs to obtain or fulfill a contract such as broker expenses that are not expected to be recovered. The amortization period for such expenses is less than one year; therefore, the costs are expensed as incurred.

Taxes

There is no change in accounting for taxes due to the adoption of the new revenue standard, as there is no material change to the timing of revenue recognition. The Company excludes all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by the entity from a customer (for example, sales, use, value added and some excise taxes) from the transaction price.

Contract Balances

The Company receives payment from customers based on terms established with the customer. Payments are typically due within two weeks of delivery. There are rarely contract assets related to costs incurred to perform in advance of scheduled billings. Revenue contract liabilities relate to payments received in advance of satisfying the performance under the customer contract. The revenue contract liability relates to customer prepayments and the advanced consideration received from governmental agency contracts for which performance obligations to the end customer have not been satisfied.

Changes in the revenue contract liability balances for the years ended December 27, 2020 and December 29, 2019 were as follows:

	December 27, 2020		December 29, 2019
	(In thousands)
Balance, beginning of year	$	41,770	$	33,328
Revenue recognized	(32,816)		(57,074)
Cash received, excluding amounts recognized as revenue during the period	56,964		65,516
Balance, end of year	$	65,918	$	41,770

Accounts Receivable