RESTRUCTURING-RELATED ACTIVITIES (Tables)

3 Months Ended

Mar. 26, 2023

Restructuring and Related Activities [Abstract]

The following table provides a summary of our estimates of costs associated with these restructuring initiatives by major type of cost:


	Moy Park		Pilgrim’s Pride Ltd.		Pilgrim’s Food Masters		Total
	(In thousands)
Earliest implementation date	October 2022		November 2022		December 2022
Expected completion date	June 2023		July 2023		July 2023
Costs incurred and expected to be incurred:
Employee-related costs	$	9,948	$	7,838	$	11,300	$	29,086
Asset impairment costs	9,173		—		—		9,173
Contract termination costs	124		1,518		3,067		4,709
Other exit and disposal costs (a)	481		2,203		7,550		10,234
Total exit and disposal costs	$	19,726	$	11,559	$	21,917	$	53,202
Cost incurred since earliest implementation date:
Employee-related costs	$	9,608	$	9,318	$	5,695	$	24,621
Asset impairment costs	3,559		—		—		3,559
Contract termination costs	122		—		—		122
Other exit and disposal costs (a)	6,036		2,126		2,028		10,190
Total exit and disposal costs	$	19,325	$	11,444	$	7,723	$	38,492

(a)Comprised of other costs directly related to the restructuring initiatives including Moy Park flock depletion, the write-off of Pilgrim’s Pride Ltd. prepaid maintenance costs and Pilgrim’s Food Masters consulting fees.

During the three months ended March 26, 2023, the Company recognized the following expenses and paid the following cash related to each restructuring initiative:


	Expenses		Cash Outlays
	(In thousands)
Moy Park	$	—	$	4,419
Pilgrim’s Pride Ltd.	1,304		3,588
Pilgrim’s Food Masters	6,722		6,146
	$	8,026	$	14,153

Schedule of Restructuring Reserve

The following table reconciles liabilities and reserves associated with each restructuring initiative from initiative inception to March 26, 2023. Ending liability balances for employee termination benefits and other charges are reported in the line item Accrued expenses and other current liabilities in our Condensed Consolidated Balance Sheets. The ending reserve balance for inventory impairments is reported in the line item Inventories in our Condensed Consolidated Balance Sheets. The ending reserve balance for asset impairments is reported in the line item Property, plant and equipment, net in our Condensed Consolidated Balance Sheets.


	Moy Park
	Liability or reserve as of December 25, 2022		Restructuring charges incurred		Cash payments and disposals		Currency translation		Liability or reserve as of March 26, 2023
	(In thousands)


Asset impairment	$	2,391	$	—	$	(2,837)	$	446	$	—
Inventory adjustments	1		—		(1)		—

Other charges	6,025		—		(1,539)		(356)		4,130

Contract termination	122		—		(42)		1		81
Total	$	8,539	$	—	$	(4,419)	$	91	$	4,211


	Pilgrim’s Pride Ltd.
	Liability or reserve as of December 25, 2022		Restructuring charges incurred		Cash payments and disposals		Currency translation		Liability or reserve as of March 26, 2023
	(In thousands)
Employee retention benefits	$	—	$	319	$	—	$	3	$	322
Severance	5,503		793		(3,588)		59		2,767

Inventory adjustments	615		49		—		9		673
Lease termination	800		—		—		12		812
Other charges	501		143		—		8		652
Total	$	7,419	$	1,304	$	(3,588)	$	91	$	5,226


	Pilgrim’s Food Masters
	Liability or reserve as of December 25, 2022		Restructuring charges incurred		Cash payments and disposals		Currency translation		Liability or reserve as of March 26, 2023
	(In thousands)

Severance	$	639	$	4,736	$	(5,379)	$	4	$	—

Inventory adjustments	—		542		(542)		—		—
Lease termination	—		1,219		—		26		1,245
Other charges	—		225		(225)		—		—
Total	$	639	$	6,722	$	(6,146)	$	30	$	1,245