Pension and retirement plans (Tables)

12 Months Ended

Jul. 01, 2023

Pension and retirement plan

Table outlining changes in benefit obligations, plan assets and the funded status of the Plan

	July 1,		July 2,
	2023		2022
	(Thousands)
Changes in benefit obligations:
Benefit obligations at beginning of year	$	614,359	$	762,708
Service cost		12,015		15,007
Interest cost		26,730		15,787
Actuarial gain		(43,407)		(138,899)
Benefits paid		(21,785)		(40,244)
Settlements paid		(116,511)		—
Benefit obligations at end of year	$	471,401	$	614,359
Changes in plan assets:
Fair value of plan assets at beginning of year	$	638,894	$	772,279
Actual return on plan assets		(4,250)		(107,141)
Benefits paid		(21,785)		(40,244)
Settlements paid		(116,511)		—
Contributions		8,000		14,000
Fair value of plan assets at end of year	$	504,348	$	638,894
Funded status of the plan recognized as a non-current asset	$	32,947	$	24,535
Amounts recognized in accumulated other comprehensive loss:
Unrecognized net actuarial losses	$	148,867	$	178,984
Unamortized prior service cost		23		27
	$	148,890	$	179,011
Other changes in plan assets and benefit obligations recognized in other comprehensive income:
Net actuarial loss	$	9,702	$	17,378
Amortization of net actuarial losses		(2,469)		(16,343)
Amortization of prior service costs		(4)		(4)
Net loss recognized due to benefit obligation settlement		(37,350)		—
	$	(30,121)	$	1,031

Weighted average assumptions used to calculate actuarial present values of benefit obligations

	2023		2022
Discount rate	5.4	%	4.8	%

Weighted average assumptions used to determine net benefit costs

	2023		2022
Discount rate	4.6	%	2.5	%
Expected return on plan assets	7.0	%	7.0	%
Rate of compensation increase	3.5	%	3.5	%
Interest crediting rate	4.0	%	4.0	%

Components of net periodic pension costs

	Years Ended
	July 1,		July 2,		July 3,
	2023		2022		2021
	(Thousands)
Service cost	$	12,015	$	15,007	$	15,751
Total net periodic pension cost within selling, general and administrative expenses		12,015		15,007		15,751
Interest cost		26,730		15,787		15,904
Expected return on plan assets		(48,860)		(49,135)		(49,681)
Amortization of prior service cost		4		4		301
Recognized net actuarial loss		2,469		16,343		20,604
Net loss recognized due to benefit obligation settlement		37,350		—		—
Total net periodic pension benefit within other income (expense), net and gain on legal settlements and other		17,693		(17,001)		(12,872)
Net periodic pension cost (benefit)	$	29,708	$	(1,994)	$	2,879

Benefit payments expected to be paid to Plan participants

Benefit payments are expected to be paid to Plan participants as follows for the next five fiscal years and the aggregate for the five years thereafter (in thousands):

2024	$	54,860
2025		39,951
2026		40,046
2027		39,698
2028		41,729
2029 through 2033		194,798

Plan's assets allocation

	2023		2022
Equity securities	67	%	75	%
Fixed income debt securities	30	%	24	%
Cash and cash equivalents	3	%	1	%

Fair value of Plan investments

The following table sets forth the fair value of the Plan’s investments as of July 1, 2023:

	Level 1		Level 2		Level 3		Net Asset Value		Total
	(Thousands)
Cash and cash equivalents	$	15,389	$	—	$	—	$	—	$	15,389
Return Seeking Investments:
Common stocks		—		—		—		138,533		138,533
Real estate		—		—		—		108,936		108,936
High yield credit and bonds		—		—		—		90,767		90,767
Fixed Income Investments:
U.S. government		—		—		—		118,456		118,456
Corporate		—		—		—		32,267		32,267
Total	$	15,389	$	—	$	—	$	488,959	$	504,348

Certain investments included in the table above are measured at fair value using the net asset value per share (or its

equivalent) practical expedient and are not included in the three levels of the fair value hierarchy.

The following table sets forth the fair value of the Plan’s investments as of July 2, 2022:

	Level 1		Level 2		Level 3		Net Asset Value		Total
	(Thousands)
Cash and cash equivalents	$	5,283	$	—	$	—	$	—	$	5,283
Return Seeking Investments:
Common stocks		—		—		—		219,407		219,407
Real estate		—		—		—		149,975		149,975
High yield credit and bonds		—		—		—		109,253		109,253
Fixed Income Investments:
U.S. government		—		—		—		122,912		122,912
Corporate		—		—		—		32,064		32,064
Total	$	5,283	$	—	$	—	$	633,611	$	638,894