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Segment Reporting | 12 Months Ended
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Oct. 03, 2020
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). International/Other primarily includes our foreign operations in Australia, China, Malaysia, Mexico, the Netherlands, South Korea 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 meat cuts and case-ready products. Products are marketed domestically to 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 specialty 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 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 specialty 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 specialty products. Our value-added chicken products primarily include breaded chicken strips, nuggets, patties and other ready-to-fix or fully cooked chicken parts. Products are marketed domestically to 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® and Gallo Salame®. 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 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 of $5 million, $36 million, and $26 million in fiscal 2020, 2019 and 2018, respectively, which are included in International/Other. Assets and additions to property, plant and equipment relating to corporate activities remain in International/Other. Additionally, as of September 28, 2019, we allocated approximately $342 million of goodwill to International/Other as a result of our Keystone Foods and Thai and European operations acquisitions. Refer to Note 5: Goodwill and Intangible Assets for further description. Information on segments and a reconciliation to income from continuing operations before income taxes are as follows (in millions):
| Beef |  |  | Pork |  |  | Chicken |  |  | Prepared Foods |  |  | International/Other |  |  | Intersegment Sales |  |  | Consolidated |
Fiscal 2020 |  |  |  |  |  |  |  |  |  |  |  |  |
Sales | $ | 15,742 |  |  | $ | 5,128 |  |  | $ | 13,234 |  |  | $ | 8,532 |  |  | $ | 1,856 |  |  | $ | (1,307 | ) |  | $ | 43,185 |
Operating Income (Loss) | 1,686 |  |  | 565 |  |  | 122 |  |  | 743 |  |  | (2 | ) |  |  |  | 3,114 |
Total Other (Income) Expense |  |  |  |  |  |  |  |  |  |  |  |  | 344 |
Income before Income Taxes |  |  |  |  |  |  |  |  |  |  |  |  | 2,770 |
Depreciation and amortization | 106 |  |  | 56 |  |  | 553 |  |  | 398 |  |  | 65 |  |  |  |  | 1,178 |
Total Assets | 3,508 |  |  | 1,516 |  |  | 11,028 |  |  | 14,883 |  |  | 3,806 |  |  |  |  | 34,741 |
Additions to property, plant and equipment | 219 |  |  | 117 |  |  | 577 |  |  | 211 |  |  | 75 |  |  |  |  | 1,199 |
Fiscal 2019 |  |  |  |  |  |  |  |  |  |  |  |  |
Sales | $ | 15,828 |  |  | $ | 4,932 |  |  | $ | 13,300 |  |  | $ | 8,418 |  |  | $ | 1,289 |  |  | $ | (1,362 | ) |  | $ | 42,405 |
Operating Income (Loss) | 1,107 |  |  | 263 |  |  | 621 |  |  | 843 |  |  | (7 | ) |  |  |  | 2,827 |
Total Other (Income) Expense |  |  |  |  |  |  |  |  |  |  |  |  | 396 |
Income before Income Taxes |  |  |  |  |  |  |  |  |  |  |  |  | 2,431 |
Depreciation and amortization | 97 |  |  | 47 |  |  | 513 |  |  | 397 |  |  | 32 |  |  |  |  | 1,086 |
Total Assets | 3,137 |  |  | 1,372 |  |  | 10,807 |  |  | 15,138 |  |  | 2,643 |  |  |  |  | 33,097 |
Additions to property, plant and equipment | 133 |  |  | 128 |  |  | 637 |  |  | 246 |  |  | 115 |  |  |  |  | 1,259 |
Fiscal 2018 |  |  |  |  |  |  |  |  |  |  |  |  |
Sales | $ | 15,473 |  |  | $ | 4,879 |  |  | $ | 12,044 |  |  | $ | 8,668 |  |  | $ | 305 |  |  | $ | (1,317 | ) |  | $ | 40,052 |
Operating Income (Loss) | 1,013 |  |  | 361 |  |  | 866 |  |  | 845 |  |  | (53 | ) |  |  |  | 3,032 |
Total Other (Income) Expense |  |  |  |  |  |  |  |  |  |  |  |  | 287 |
Income before Income Taxes |  |  |  |  |  |  |  |  |  |  |  |  | 2,745 |
Depreciation and amortization | 103 |  |  | 42 |  |  | 368 |  |  | 410 |  |  | 10 |  |  |  |  | 933 |
Total Assets | 3,061 |  |  | 1,265 |  |  | 8,794 |  |  | 15,063 |  |  | 926 |  |  |  |  | 29,109 |
Additions to property, plant and equipment | 107 |  |  | 150 |  |  | 570 |  |  | 228 |  |  | 145 |  |  |  |  | 1,200 |
The Beef segment had sales of $390 million, $411 million and $420 million for fiscal 2020, 2019 and 2018, respectively, from transactions with other operating segments. The Pork segment had sales of $865 million, $893 million and $817 million for fiscal 2020, 2019 and 2018, respectively, from transactions with other operating segments. The Chicken segment had sales of $52 million, $58 million and $80 million for fiscal 2020, 2019 and 2018, respectively, from transactions with other operating segments. The aforementioned sales from intersegment transactions, which were at market prices, were included in the segment sales in the above table. Our largest customer, Walmart Inc., accounted for 18.7%, 16.9% and 17.3% of consolidated sales in fiscal 2020, 2019 and 2018, respectively. Sales to Walmart Inc. were included in all the segments. Any extended discontinuance of sales to this customer could, if not replaced, have a material impact on our operations. The majority of our operations are domiciled in the United States. Approximately 95%, 96% and 99% of sales to external customers for fiscal 2020, 2019 and 2018, respectively, were sourced from the United States. Approximately $25.6 billion and $24.8 billion of long-lived assets were located in the United States at October 3, 2020, and September 28, 2019, respectively. Excluding goodwill and intangible assets, long-lived assets located in the United States totaled approximately $8.5 billion and $7.5 billion at October 3, 2020, and September 28, 2019, respectively. Approximately $1,287 million and $1,107 million of long-lived assets were located in foreign locations, primarily Brazil, China, the European Union, New Zealand and Thailand at October 3, 2020, and September 28, 2019, respectively. Excluding goodwill and intangible assets, long-lived assets in foreign countries totaled approximately $648 million and $506 million at October 3, 2020, and September 28, 2019, respectively. We sell certain products in foreign markets, primarily Australia, Canada, Central America, Chile, China, the European Union, the United Kingdom, Japan, Mexico, Malaysia, the Middle East, South Korea, Taiwan and Thailand. Our export sales from the United States totaled $4.0 billion, $4.1 billion and $4.2 billion for fiscal 2020, 2019 and 2018, respectively. Substantially all of our export sales are facilitated through unaffiliated brokers, marketing associations and foreign sales staffs. Sales of products produced in a country other than the United States were less than 10% of consolidated sales for each of fiscal 2020, 2019 and 2018. The following tables further disaggregate our sales to customers by major distribution channels (in millions):
| Twelve months ended October 3, 2020 |
| Retail(a) |  |  | Foodservice(b) |  |  | International(c) |  |  | Industrial and Other(d) |  |  | Intersegment |  |  | Total |
Beef | $ | 8,155 |  |  | $ | 3,669 |  |  | $ | 2,183 |  |  | $ | 1,345 |  |  | $ | 390 |  |  | $ | 15,742 |
Pork | 1,590 |  |  | 403 |  |  | 1,026 |  |  | 1,244 |  |  | 865 |  |  | 5,128 |
Chicken | 5,935 |  |  | 4,892 |  |  | 642 |  |  | 1,713 |  |  | 52 |  |  | 13,234 |
Prepared Foods | 5,137 |  |  | 3,090 |  |  | 126 |  |  | 179 |  |  | — |  |  | 8,532 |
International/Other | — |  |  | — |  |  | 1,856 |  |  | — |  |  | — |  |  | 1,856 |
Intersegment | — |  |  | — |  |  | — |  |  | — |  |  | (1,307 | ) |  | (1,307 | )
Total | $ | 20,817 |  |  | $ | 12,054 |  |  | $ | 5,833 |  |  | $ | 4,481 |  |  | $ | — |  |  | $ | 43,185 |
| Twelve months ended September 28, 2019 |
| Retail(a) |  |  | Foodservice(b) |  |  | International(c) |  |  | Industrial and Other(d) |  |  | Intersegment |  |  | Total |
Beef | $ | 7,420 |  |  | $ | 4,151 |  |  | $ | 2,426 |  |  | $ | 1,420 |  |  | $ | 411 |  |  | $ | 15,828 |
Pork | 1,415 |  |  | 400 |  |  | 890 |  |  | 1,334 |  |  | 893 |  |  | 4,932 |
Chicken | 5,637 |  |  | 5,138 |  |  | 690 |  |  | 1,777 |  |  | 58 |  |  | 13,300 |
Prepared Foods | 4,793 |  |  | 3,270 |  |  | 104 |  |  | 251 |  |  | — |  |  | 8,418 |
International/Other | — |  |  | — |  |  | 1,289 |  |  | — |  |  | — |  |  | 1,289 |
Intersegment | — |  |  | — |  |  | — |  |  | — |  |  | (1,362 | ) |  | (1,362 | )
Total | $ | 19,265 |  |  | $ | 12,959 |  |  | $ | 5,399 |  |  | $ | 4,782 |  |  | $ | — |  |  | $ | 42,405 |
(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 Retail, 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://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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