DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Oct. 01, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of Outstanding Swap Agreements

Details of outstanding hedging instruments as of October 1, 2022 are presented below:

Maturity Date of the Hedging Instrument	Currency / Unit of Measure	Notional Value
		(In millions)
Hedging of interest rate risk
June 2023	Euro	500
Hedging of foreign currency risk
Various (October 2022 to January 2023)	Swedish Krona	131
Various (October 2022 to December 2022)	British Pound Sterling	10
June 2023	Euro	500
Hedging of fuel risk
Various October 2022 to December 2024)	Gallons	59

Schedule of Derivatives Balance Sheet Location Table

The location and the fair value of derivative instruments designated as hedges in the consolidated balance sheet as of October 1, 2022 and July 2, 2022 are as follows:

		Derivative Fair Value
	Balance Sheet location	Oct. 1, 2022		Jul. 2, 2022
		(In thousands)
Fair Value Hedges:
Interest rate swaps	Other current liabilities	$	7,136	$	2,820
Cash Flow Hedges:
Fuel swaps	Other current assets	$	16,188	$	47,170
Foreign currency forwards	Other current assets	945		633
Fuel swaps	Other assets	3		—
Fuel swaps	Other current liabilities	1,647		—
Fuel swaps	Other long-term liabilities	3,844		209

The location and carrying amount of hedged liabilities in the consolidated balance sheet as of October 1, 2022 are as follows:

	Oct. 1, 2022
	Carrying Amount of Hedged Assets (Liabilities)		Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities)
	(In thousands)
Balance sheet location:
Current maturities of long-term debt	$	(568,766)	$	7,136

The location and carrying amount of hedged liabilities in the consolidated balance sheet as of July 2, 2022 are as follows:

	Jul. 2, 2022
	Carrying Amount of Hedged Assets (Liabilities)		Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities)
	(In thousands)
Balance sheet location:
Current maturities of long-term debt	$	(568,601)	$	2,820

Schedule of Location and Effect of Derivative Instruments and Related Hedged Items

The location and amount of gains or losses recognized in the consolidated results of operations for fair value hedging relationships for each of the periods, presented on a pretax basis, are as follows:

	13-Week Period Ended
	Oct. 1, 2022		Oct. 2, 2021
	(In thousands)
Total amounts of income and expense line items presented in the consolidated results of operations in which the effects of fair value hedges are recorded	$	124,150	$	128,214
Gain or (loss) on fair value hedging relationships:
Interest rate swaps:
Hedged items	$	2,376	$	(2,433)
Derivatives designated as hedging instruments	(4,759)		(8,390)

The gains and losses on the fair value hedging relationships associated with the hedged items as disclosed in the table above consist of the following components for each of the periods presented:

	13-Week Period Ended
	Oct. 1, 2022		Oct. 2, 2021
	(In thousands)
Interest expense	$	(1,939)	$	(6,526)
Decrease in fair value of debt	(4,315)		(4,093)
Hedged items	$	2,376	$	(2,433)

The location and effect of cash flow and net investment hedge accounting on the consolidated statements of comprehensive income for the 13-week periods ended October 1, 2022 and October 2, 2021, presented on a pretax basis, are as follows:

	13-Week Period Ended Oct. 1, 2022
	Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives		Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income	Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income
	(In thousands)			(In thousands)
Derivatives in cash flow hedging relationships:
Fuel swaps	$	(36,295)	Operating expense	$	12,985
Foreign currency contracts	286		Cost of sales / Other income	—
Total	$	(36,009)		$	12,985
Derivatives in net investment hedging relationships:
Foreign denominated debt	$	31,346	N/A	$	—
Total	$	31,346		$	—
	13-Week Period Ended Oct. 2, 2021
	Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives		Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income	Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income
	(In thousands)			(In thousands)
Derivatives in cash flow hedging relationships:
Fuel swaps	$	(485)	Operating expense	$	7,972
Foreign currency contracts	(78)		Cost of sales / Other income	—
Total	$	(563)		$	7,972
Derivatives in net investment hedging relationships:
Foreign denominated debt	$	13,553	N/A	$	—
Total	$	13,553		$	—