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Segment Reporting | 6 Months Ended
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Mar. 30, 2019
Segment Reporting [Abstract] |
Segment Reporting | SEGMENT REPORTING We operate in four reportable segments: Beef, Pork, Chicken, and Prepared Foods. We measure segment profit as operating income (loss). Other primarily includes our foreign production operations in Australia, China, South Korea, Malaysia, and Thailand, third-party merger and integration costs and corporate overhead related to Tyson New Ventures, LLC. Beef: Beef includes our operations related to processing live fed cattle and fabricating dressed beef carcasses into primal and sub-primal cuts and case-ready products. Products are marketed domestically to consumer products and food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, healthcare facilities, the military and other food processors, as well as to international export markets. This segment also includes sales from allied products such as hides and variety meats, as well as logistics operations to move products through the supply chain. Pork: Pork includes our operations related to processing live market hogs and fabricating pork carcasses into primal and sub-primal cuts and case-ready products. Products are marketed domestically to consumer products and food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, healthcare facilities, the military and other food processors, as well as to international export markets. This segment also includes our live swine group, related allied product processing activities and logistics operations to move products through the supply chain. Chicken: Chicken includes our domestic operations related to raising and processing live chickens into, and purchasing raw materials for, fresh, frozen and value-added chicken products, as well as sales from allied products. Our value-added chicken products primarily include breaded chicken strips, nuggets, patties, tenders, wings and other ready-to-fix or fully cooked chicken parts. Products are marketed domestically to consumer products and food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities, the military and other food processors, as well as to international export markets. This segment also includes logistics operations to move products through our domestic supply chain and the global operations of our chicken breeding stock subsidiary. Prepared Foods: Prepared Foods includes our operations related to manufacturing and marketing frozen and refrigerated food products and logistics operations to move products through the supply chain. This segment includes brands such as Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, State Fair®, as well as artisanal brands Aidells®, Gallo Salame®, and Golden Island®. Products primarily include ready-to-eat sandwiches, sandwich components such as flame-grilled hamburgers and Philly steaks, pepperoni, bacon, breakfast sausage, turkey, lunchmeat, hot dogs, flour and corn tortilla products, appetizers, snacks, prepared meals, ethnic foods, side dishes, meat dishes, breadsticks and processed meats. Products are marketed domestically to consumer products and food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities, the military and other food processors, as well as to international export markets. We allocate expenses related to corporate activities to the segments, except for third-party merger and integration costs and corporate overhead related to Tyson New Ventures, LLC, which are included in Other. Information on segments and a reconciliation to income before income taxes are as follows (in millions):
| Three Months Ended |  | Six Months Ended |
| March 30, 2019 |  | March 31, 2018 |  | March 30, 2019 |  | March 31, 2018 |
Sales: |  |  |  |  |  |  |  |
Beef | $ | 3,884 |  |  | $ | 3,681 |  |  | $ | 7,810 |  |  | $ | 7,567 |  |
Pork | 1,172 |  |  | 1,265 |  |  | 2,351 |  |  | 2,548 |  |
Chicken | 3,407 |  |  | 2,959 |  |  | 6,522 |  |  | 5,956 |  |
Prepared Foods | 2,027 |  |  | 2,147 |  |  | 4,176 |  |  | 4,439 |  |
Other | 277 |  |  | 82 |  |  | 420 |  |  | 170 |  |
Intersegment | (324 | ) |  | (361 | ) |  | (643 | ) |  | (678 | ) |
Total sales | $ | 10,443 |  |  | $ | 9,773 |  |  | $ | 20,636 |  |  | $ | 20,002 |  |
Operating income (loss): |  |  |  |  |  |  |  |
Beef | $ | 156 |  |  | $ | 92 |  |  | $ | 461 |  |  | $ | 348 |  |
Pork | 100 |  |  | 67 |  |  | 195 |  |  | 218 |  |
Chicken | 141 |  | (a) | 231 |  |  | 301 |  | (a) | 503 |  |
Prepared Foods | 245 |  |  | 119 |  | (b) | 510 |  |  | 375 |  | (b)
Other | (7 | ) | (c) | (15 | ) | (c) | (25 | ) | (c) | (28 | ) | (c)
Total operating income | 635 |  |  | 494 |  |  | 1,442 |  |  | 1,416 |  |
Total other expense | 107 |  |  | 71 |  |  | 201 |  |  | 151 |  |
Income before income taxes | $ | 528 |  |  | $ | 423 |  |  | $ | 1,241 |  |  | $ | 1,265 |  |
(a) Chicken operating income includes $5 million and $13 million in Keystone Foods purchase accounting and acquisition related costs for the three and six months ended March 30, 2019, respectively. (b) Prepared Foods operating income includes a $75 million impairment associated with the divestiture of non-protein business and $79 million impairment net of a realized gain associated with the divestitures of non-protein businesses for the three and six months ended March 31, 2018, respectively (see Note 2: Acquisitions and Dispositions). (c) Other operating loss includes $6 million and $24 million in Keystone Foods purchase accounting and acquisition related costs for the three and six months ended March 30, 2019, respectively, and other third-party merger and integration costs and corporate overhead of Tyson New Ventures, LLC of $4 million for each of the three months ended March 30, 2019, and March 31, 2018, and $5 million for each of the the six months ended March 30, 2019, and March 31, 2018. The Beef segment had sales of $100 million and $105 million in the second quarter of fiscal 2019 and 2018, respectively, and sales of $190 million and $199 million in the six months of fiscal 2019 and 2018, respectively, from transactions with other operating segments of the Company. The Pork segment had sales of $211 million and $231 million in the second quarter of fiscal 2019 and 2018, respectively, and sales of $426 million and $432 million in the six months of fiscal 2019 and 2018, respectively, from transactions with other operating segments of the Company. The Chicken segment had sales of $13 million and $25 million in the second quarter of fiscal 2019 and 2018, respectively, and sales of $27 million and $47 million in the six months of fiscal 2019 and 2018, respectively, from transactions with other operating segments of the Company. The aforementioned sales from intersegment transactions, which were at market prices, were included in the segment sales in the above table. The following tables further disaggregate our sales to customers by major distribution channels (in millions):
| Three Months Ended
| March 30, 2019
| Consumer Products(a) |  | Foodservice(b) |  | International(c) |  | Industrial and Other(d) |  | Intersegment |  | Total
Beef | $ | 1,811 |  |  | $ | 1,057 |  |  | $ | 573 |  |  | $ | 343 |  |  | $ | 100 |  |  | $ | 3,884 |
Pork | 334 |  |  | 93 |  |  | 210 |  |  | 324 |  |  | 211 |  |  | 1,172 |
Chicken | 1,463 |  |  | 1,307 |  |  | 155 |  |  | 469 |  |  | 13 |  |  | 3,407 |
Prepared Foods | 1,190 |  |  | 755 |  |  | 20 |  |  | 62 |  |  | — |  |  | 2,027 |
Other | — |  |  | — |  |  | 277 |  |  | — |  |  | — |  |  | 277 |
Intersegment | — |  |  | — |  |  | — |  |  | — |  |  | (324 | ) |  | (324 | )
Total | $ | 4,798 |  |  | $ | 3,212 |  |  | $ | 1,235 |  |  | $ | 1,198 |  |  | $ | — |  |  | $ | 10,443 |
| Six Months Ended
| March 30, 2019
| Consumer Products(a) |  | Foodservice(b) |  | International(c) |  | Industrial and Other(d) |  | Intersegment |  | Total
Beef | $ | 3,662 |  |  | $ | 2,074 |  |  | $ | 1,201 |  |  | $ | 683 |  |  | $ | 190 |  |  | $ | 7,810 |
Pork | 671 |  |  | 184 |  |  | 435 |  |  | 635 |  |  | 426 |  |  | 2,351 |
Chicken | 2,835 |  |  | 2,437 |  |  | 312 |  |  | 911 |  |  | 27 |  |  | 6,522 |
Prepared Foods | 2,465 |  |  | 1,544 |  |  | 44 |  |  | 123 |  |  | — |  |  | 4,176 |
Other | — |  |  | — |  |  | 420 |  |  | — |  |  | — |  |  | 420 |
Intersegment | — |  |  | — |  |  | — |  |  | — |  |  | (643 | ) |  | (643 | )
Total | $ | 9,633 |  |  | $ | 6,239 |  |  | $ | 2,412 |  |  | $ | 2,352 |  |  | $ | — |  |  | $ | 20,636 |
(a) Includes sales to consumer products and food retailers, such as grocery retailers, warehouse club stores, and internet-based retailers. (b) Includes sales to foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities and the military. (c) Includes sales to international markets related to internationally produced products or export sales of domestically produced products. (d) Includes sales to industrial food processing companies that further process our product to sell to end consumers and any remaining sales not included in the Consumer Products, Foodservice or International categories.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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