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Fair Value Measurements | 6 Months Ended
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Dec. 31, 2022
Fair Value Disclosures [Abstract] |
Fair Value Measurements | FAIR VALUE MEASUREMENTS The Company categorizes its assets and liabilities, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy as set forth below. The three levels of the hierarchy are defined as follows: Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 — Observable inputs other than quoted prices included in Level 1. Level 2 inputs include quoted prices for identical assets or liabilities in non-active markets, quoted prices for similar assets or liabilities in active markets, and inputs other than quoted prices that are observable for substantially the full term of the asset or liability. Level 3 — Unobservable inputs reflecting management’s own assumptions about the input used in pricing the asset or liability. The Company does not have any Level 3 investments. The following table shows the fair value measurements of the Company’s financial assets and liabilities at December 31, 2022 and July 2, 2022:
| Level 1 |  | Level 2 |  |
| December 31, 2022 |  | July 2, 2022 |  | December 31, 2022 |  | July 2, 2022 |  |  |  |
| (millions)
Assets: |  |  |  |  |  |  |  |  |  |  |
Cash equivalents(1) | $ | 169.6 |  |  | $ | 99.1 |  |  | $ | 8.9 |  |  | $ | 10.9 |  |  |  |  |
Short-term investments: |  |  |  |  |  |  |  |  |  |  |
Time deposits(2) | — |  |  | — |  |  | 0.6 |  |  | 0.6 |  |  |  |  |
Commercial paper(2) | — |  |  | — |  |  | — |  |  | 59.6 |  |  |  |  |
Government securities - U.S.(2) | 2.5 |  |  | 39.4 |  |  | — |  |  | — |  |  |  |  |
Corporate debt securities - U.S.(2) | — |  |  | — |  |  | — |  |  | 55.2 |  |  |  |  |
Other | — |  |  | — |  |  | 12.9 |  |  | 8.6 |  |  |  |  |
Long-term investments: |  |  |  |  |  |  |  |  |  |  |
Other | — |  |  | — |  |  | 0.1 |  |  | 0.1 |  |  |  |  |
Derivative assets: |  |  |  |  |  |  |  |  |  |  |
Inventory-related instruments(3) | — |  |  | — |  |  | 5.1 |  |  | — |  |  |  |  |
Net investment hedges(3) | — |  |  | — |  |  | — |  |  | 47.8 |  |  |  |  |
Intercompany loans and payables(3) | — |  |  | — |  |  | 0.6 |  |  | 0.4 |  |  |  |  |
Liabilities: |  |  |  |  |  |  |  |  |  |  |
Derivative liabilities: |  |  |  |  |  |  |  |  |  |  |
Inventory-related instruments(3) | — |  |  | — |  |  | 22.6 |  |  | 2.7 |  |  |  |  |
Net investment hedges(3) | — |  |  | — |  |  | 94.5 |  |  | 44.0 |  |  |  |  |
Intercompany loans and payables(3) | — |  |  | — |  |  | 2.7 |  |  | 0.5 |  |  |  |  |
(1)Cash equivalents consist of money market funds and time deposits with maturities of three months or less at the date of purchase. Due to their short-term maturity, management believes that their carrying value approximates fair value. (2)Short-term investments are recorded at fair value, which approximates their carrying value, and are primarily based upon quoted vendor or broker priced securities in active markets. (3)The fair value of these hedges is primarily based on the forward curves of the specific indices upon which settlement is based and includes an adjustment for the counterparty’s or Company’s credit risk. Refer to Note 11, "Debt," for the fair value of the Company's outstanding debt instruments. Non-Financial Assets and Liabilities The Company’s non-financial instruments, which primarily consist of goodwill, intangible assets, right-of-use assets and property and equipment, are not required to be measured at fair value on a recurring basis and are reported at carrying value. However, on a periodic basis whenever events or changes in circumstances indicate that their carrying value may not be fully recoverable (and at least annually for goodwill and indefinite-lived intangible assets), non-financial instruments are assessed for impairment and, if applicable, written-down to and recorded at fair value, considering market participant assumptions. There were no impairment charges recorded during the three and six months ended December 31, 2022 and January 1, 2022.

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- Definition The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 + Details
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