PROPERTY, PLANT AND EQUIPMENT

12 Months Ended

Dec. 31, 2023

Property, Plant and Equipment [Abstract]

Property, plant and equipment (“PP&E”), net consisted of the following:


	December 31, 2023		December 25, 2022
	(In thousands)
Land	$	273,846	$	263,494
Buildings	2,170,716		2,065,042
Machinery and equipment	3,953,008		3,651,464
Autos and trucks	93,858		77,865
Finance lease assets	5,550		5,710
Construction-in-progress	458,146		358,819
PP&E, gross	6,955,124		6,422,394
Accumulated depreciation	(3,796,721)		(3,481,548)
PP&E, net	$	3,158,403	$	2,940,846

The Company recognized depreciation expense of $386.8 million, $369.4 million and $354.4 million during 2023, 2022 and 2021, respectively.

During 2023, the Company incurred $557.8 million on capital projects and transferred $461 million of completed projects from construction-in-progress to depreciable assets. Capital expenditures during 2023 were primarily incurred for growth projects, such as the Athens, GA expansion and the South Georgia protein conversion plant, and to improve operational efficiencies, system enhancement projects, and to reduce costs. During 2022, the Company spent $487.1 million on capital projects and transferred $354.2 million of completed projects from construction-in-progress to depreciable assets. Capital expenditures in accounts payable and accrued expenses for the years ended December 31, 2023 and December 25, 2022 were $85.9 million and $72.0 million, respectively.

During 2023, the Company sold certain PP&E for $19.8 million and recognized a gain of $6.1 million. PP&E sold in 2023 consisted of a farm in Mexico and other miscellaneous equipment. During 2022, the Company sold certain PP&E for $35.5 million and recognized a gain of $18.9 million. PP&E sold in 2022 consisted of a farm in Mexico and other miscellaneous equipment.

The Company has closed or idled various facilities in the U.S. and the U.K. The Board of Directors has not determined if it would be in the best interest of the Company to divest any of these idled assets. Management is therefore not certain that it can or will divest any of these assets within one year, is not actively marketing these assets and, accordingly, has not classified them as assets held for sale. The Company continues to depreciate these assets. As of December 31, 2023, the carrying amount of these idled assets was $59.9 million based on depreciable value of $217.4 million and accumulated depreciation of $157.5 million. During 2023, the Company recognized an impairment loss on PP&E of $4.0 million incurred as a result of planned restructuring activities in the U.K. and Europe reportable segment. Additional information regarding restructuring activities is included in “Note 18. Restructuring-Related Activities.”

As of December 31, 2023, the Company assessed if events or changes in circumstances indicated that the aggregate carrying amount of its property, plant and equipment held for use might not be recoverable. There were no indicators present that required the Company to test the recoverability of the aggregate carrying amount of its property, plant and equipment held for use at that date.