DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Sep. 28, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Outstanding Swap Agreements

Details of outstanding hedging instruments as of September 28, 2024 are presented below:

Maturity Date of the Hedging Instrument	Currency / Unit of Measure	Notional Value
		(In millions)
Hedging of interest rate risk
January 2034	U.S. Dollar	500
Hedging of foreign currency risk
Various (September 2024 to October 2024)	Swedish Krona	106
Various (October 2024 to May 2025)	British Pound Sterling	28
May 2025	Mexican Peso	439
April 2025	Canadian Dollar	180
January 2029	Euro	470
Hedging of fuel risk
Various (September 2024 to June 2026)	Gallons	63

Schedule of Derivatives Balance Sheet Location

The location and the fair value of derivative instruments designated as hedges in the consolidated balance sheets as of September 28, 2024 and June 29, 2024 are as follows:

		Derivative Fair Value
	Balance Sheet location	Sep. 28, 2024		Jun. 29, 2024
		(In millions)
Fair Value Hedges:
Interest rate swaps	Other current assets	$	1	$	—
Interest rate swaps	Other assets	29		6
Interest rate swaps	Other current liabilities	—		1
Cross currency swaps	Other current assets	4		2
Cross currency swaps	Other current liabilities	1		3
Cash Flow Hedges:
Fuel swaps	Other current assets	$	—	$	1
Foreign currency forwards	Other current liabilities	1		—
Fuel swaps	Other current liabilities	18		2
Fuel swaps	Other assets	—		1
Fuel swaps	Other long-term liabilities	1		—
Net Investment Hedges:
Cross currency swaps	Other current assets	$	5	$	4
Cross currency swaps	Other long-term liabilities	28		10

The location and carrying amount of hedged liabilities in the consolidated balance sheet as of September 28, 2024 are as follows:

	Sep. 28, 2024
	Carrying Amount of Hedged Assets (Liabilities)		Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities)
	(In millions)
Balance sheet location:
Long-term debt	$	(523)	$	(31)

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
	Sep. 28, 2024		Sep. 30, 2023
	(In millions)
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	$	166	$	7
Gain or (loss) on fair value hedging relationships:
Interest rate swaps:
Hedged items	$	(33)	$	—
Derivatives designated as hedging instruments	25		—
Cross currency swaps:
Hedged items	$	(4)	$	3
Derivatives designated as hedging instruments	4		(3)

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
	Sep. 28, 2024		Sep. 30, 2023
	(In millions)
Interest expense	$	(8)	$	—
Increase in fair value of debt	(25)		—
Foreign currency loss	(4)		(3)
Hedged items	$	(37)	$	(3)

The location and effect of cash flow, net investment, and excluded components of fair value hedges on the consolidated statements of comprehensive income for the 13-week periods ended September 28, 2024 and September 30, 2023, presented on a pretax basis, are as follows:

	13-Week Period Ended Sep. 28, 2024
	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 millions)			(In millions)
Derivatives in cash flow hedging relationships:
Fuel swaps	$	(19)	Operating expense	$	—
Foreign currency contracts	(1)		Cost of sales / Other income	—
Total	$	(20)		$	—
Derivatives in net investment hedging relationships:
Cross currency contracts	$	(18)	N/A	$	—
	13-Week Period Ended Sep. 30, 2023
	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 millions)			(In millions)
Derivatives in cash flow hedging relationships:
Fuel swaps	$	34	Operating expense	$	2
Foreign currency contracts	—		Cost of sales / Other income	—
Total	$	34		$	2