OTHER COMPREHENSIVE INCOME

9 Months Ended

Mar. 27, 2021

Other Comprehensive Income (Loss), Net of Tax [Abstract]

OTHER COMPREHENSIVE INCOME

Comprehensive income is net earnings plus certain other items that are recorded directly to shareholders’ equity, such as foreign currency translation adjustment, changes in marketable securities, amounts related to certain hedging arrangements and amounts related to pension and other postretirement plans. Comprehensive income was $124.7 million and comprehensive loss was $102.5 million for the third quarter of fiscal 2021 and fiscal 2020, respectively. Comprehensive income was $731.6 million and $768.1 million for the first 39 weeks of fiscal 2021 and fiscal 2020, respectively.

A summary of the components of other comprehensive income (loss) and the related tax effects for each of the periods presented is as follows:


		13-Week Period Ended Mar. 27, 2021
	Location of Expense (Income) Recognized in Net Earnings	Before Tax Amount		Tax		Net of Tax Amount
		(In thousands)
Pension and other postretirement benefit plans:


Reclassification adjustments:



Amortization of prior service cost	Other expense, net	$	183	$	46	$	137
Amortization of actuarial loss, net	Other expense, net	10,421		2,601		7,820
Total reclassification adjustments		10,604		2,647		7,957
Foreign currency translation:

Foreign currency translation adjustment	N/A	9,805		—		9,805
Marketable securities:
Change in marketable securities (1)	N/A	(3,485)		(732)		(2,753)
Hedging instruments:
Other comprehensive income (loss) before reclassification adjustments:
Change in cash flow hedge	Operating expenses (2)	12,043		2,908		9,135
Change in net investment hedge	N/A	17,901		8,513		9,388

Total other comprehensive income before reclassification adjustments		29,944		11,421		18,523
Reclassification adjustments:
Amortization of cash flow hedges	Interest expense	2,921		730		2,191

Total other comprehensive income		$	49,789	$	14,066	$	35,723

(1)Realized gains or losses on marketable securities are presented within other (income) expense, net in the consolidated results of operations; however, there were no significant gains or losses realized in the third quarter of fiscal 2021.

(2)Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges.


		13-Week Period Ended Mar. 28, 2020
	Location of Expense (Income) Recognized in Net Earnings	Before Tax Amount		Tax		Net of Tax Amount
		(In thousands)
Pension and other postretirement benefit plans:


Reclassification adjustments:
Amortization of prior service cost	Other expense, net	$	1,905	$	477	$	1,428
Amortization of actuarial loss, net	Other expense, net	10,644		2,615		8,029

Total reclassification adjustments		12,549		3,092		9,457
Foreign currency translation:
Foreign currency translation adjustment	N/A	(151,143)		—		(151,143)
Marketable Securities:
Change in marketable securities (1)	N/A	25		5		20
Hedging instruments:
Other comprehensive income (loss) before reclassification adjustments:
Change in cash flow hedges	Operating expenses (2)	(22,844)		(6,093)		(16,751)
Change in net investment hedges (3)	N/A	65,491		8,422		57,069

Total other comprehensive income (loss) before reclassification adjustments		42,647		2,329		40,318
Reclassification adjustments:
Amortization of cash flow hedges	Interest expense	2,874		719		2,155
Total other comprehensive (loss) income		$	(93,048)	$	6,145	$	(99,193)

(2) Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges.


		39-Week Period Ended Mar. 27, 2021
	Location of Expense (Income) Recognized in Net Earnings	Before Tax Amount		Tax		Net of Tax Amount
		(In thousands)
Pension and other postretirement benefit plans:


Reclassification adjustments:



Amortization of prior service cost	Other expense, net	$	549	$	138	$	411
Amortization of actuarial loss, net	Other expense, net	31,161		7,783		23,378
Total reclassification adjustments		31,710		7,921		23,789
Foreign currency translation:
Other comprehensive income (loss) before reclassification adjustments:
Foreign currency translation adjustment	N/A	345,452		—		345,452
Marketable securities:
Change in marketable securities (1)	N/A	(4,140)		(869)		(3,271)
Hedging instruments:
Other comprehensive income (loss) before reclassification adjustments:
Change in cash flow hedges (3)	Operating expenses (2)	11,554		3,051		8,503
Change in net investment hedges	N/A	(30,052)		(7,513)		(22,539)

Total other comprehensive income before reclassification adjustments		(18,498)		(4,462)		(14,036)
Reclassification adjustments:
Amortization of cash flow hedges	Interest expense	8,669		2,168		6,501

Total other comprehensive income (loss)		$	363,193	$	4,758	$	358,435

(1) Realized gains or losses on marketable securities are presented within other (income) expense, net in the consolidated results of operations; however, there were no significant gains or losses realized in the first 39 weeks of fiscal 2021.

(2) Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges.

(3) Change in cash flow hedges includes the termination of some cash flow hedges, as described in Note 6, “Derivative Financial Instruments.”


		39-Week Period Ended Mar. 28, 2020
	Location of Expense (Income) Recognized in Net Earnings	Before Tax Amount		Tax		Net of Tax Amount
		(In thousands)
Pension and other postretirement benefit plans:


Reclassification adjustments:
Amortization of prior service cost	Other expense, net	$	5,715	$	1,431	$	4,284
Amortization of actuarial loss, net	Other expense, net	29,216		7,279		21,937

Total reclassification adjustments		34,931		8,710		26,221
Foreign currency translation:

Foreign currency translation adjustment	N/A	(122,347)		—		(122,347)
Marketable Securities:
Change in marketable securities (1)	N/A	717		150		567
Hedging instruments:
Other comprehensive income (loss) before reclassification adjustments:
Change in cash flow hedges	Operating expenses (2)	(29,506)		(7,217)		(22,289)
Change in net investment hedges (3)	N/A	61,504		15,914		45,590

Total other comprehensive income (loss) before reclassification adjustments		31,998		8,697		23,301
Reclassification adjustments:
Amortization of cash flow hedges	Interest expense	8,622		2,157		6,465
Total other comprehensive (loss) income		$	(46,079)	$	19,714	$	(65,793)

(1)Realized gains or losses on marketable securities are presented within Other (income) expense, net in the Consolidated Results of Operations; however, there were no significant gains or losses realized in the first 39 weeks of fiscal 2020.

(2)Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges.

(3) Change in net investment hedges includes the termination of some net investment hedges.

The following tables provide a summary of the changes in accumulated other comprehensive (loss) income for the periods presented:


	39-Week Period Ended Mar. 27, 2021
	Pension and Other Postretirement Benefit Plans, net of tax		Foreign Currency Translation		Hedging, net of tax		Marketable Securities, net of tax		Total
	(In thousands)
Balance as of Jun. 27, 2020	$	(1,265,714)	$	(402,384)	$	(49,878)	$	7,095	$	(1,710,881)
Equity adjustment from foreign currency translation	—		345,452		—		—		345,452

Amortization of cash flow hedges	—		—		6,501		—		6,501

Change in net investment hedges	—		—		(22,539)		—		(22,539)
Change in cash flow hedge	—		—		8,503		—		8,503


Amortization of unrecognized prior service cost	411		—		—		—		411
Amortization of unrecognized net actuarial losses	23,378		—		—		—		23,378
Change in marketable securities	—		—		—		(3,271)		(3,271)
Balance as of Mar. 27, 2021	$	(1,241,925)	$	(56,932)	$	(57,413)	$	3,824	$	(1,352,446)


	39-Week Period Ended Mar. 28, 2020
	Pension and Other Postretirement Benefit Plans, net of tax		Foreign Currency Translation		Hedging, net of tax		Marketable Securities, net of tax		Total
	(In thousands)
Balance as of Jun. 29, 2019	$	(1,217,617)	$	(290,169)	$	(94,770)	$	2,827	$	(1,599,729)

Equity adjustment from foreign currency translation	—		(122,347)		—		—		(122,347)
Amortization of cash flow hedges	—		—		6,465		—		6,465

Change in net investment hedges	—		—		45,590		—		45,590
Change in cash flow hedge	—		—		(22,289)		—		(22,289)

Amortization of unrecognized prior service cost	4,284		—		—		—		4,284
Amortization of unrecognized net actuarial losses	21,937		—		—		—		21,937
Change in marketable securities	—		—		—		567		567
Balance as of Mar. 28, 2020	$	(1,191,396)	$	(412,516)	$	(65,004)	$	3,394	$	(1,665,522)