XML 36 R22.htm IDEA: XBRL DOCUMENT
v3.10.0.1

INCENTIVE COMPENSATION | 6 Months Ended
--- | ---
Jul. 01, 2018
INCENTIVE COMPENSATION [Abstract] |
INCENTIVE COMPENSATION | INCENTIVE COMPENSATION The Company sponsors a short-term incentive plan that provides the grant of either cash or share-based bonus awards payable upon achievement of specified performance goals (the “STIP”). Full-time, salaried exempt employees of the Company and its affiliates who are selected by the administering committee are eligible to participate in the STIP. At July 1, 2018, the Company has accrued $0.8 million related to cash bonus awards that could potentially be awarded under the STIP during the remainder of 2018 and 2019. The Company assumed responsibility for the JFC LLC Long-Term Equity Incentive Plan dated January 1, 2014, as amended (the “JFC LTIP”) through its acquisition of JFC LLC and its subsidiaries (together, “GNP”) on January 6, 2017. The Company has accrued $2.2 million in costs related to the JFC LTIP at July 1, 2018. The Company assumed responsibility for the Moy Park Incentive Plan dated January 1, 2013, as amended (the “MPIP”) through its acquisition of Moy Park on September 8, 2017. The Company has accrued $0.6 million in costs related to the MPIP at July 1, 2018. The Company also sponsors a performance-based, omnibus long-term incentive plan that provides for the grant of a broad range of long-term equity-based and cash-based awards to the Company’s officers and other employees, members of the Board of Directors and any consultants (the “LTIP”). The equity-based awards that may be granted under the LTIP include “incentive stock options,” within the meaning of the IRC, nonqualified stock options, stock appreciation rights, restricted stock awards and restricted stock units (“RSUs”). At July 1, 2018, we have reserved approximately 4.4 million shares of common stock for future issuance under the LTIP. The following awards were outstanding during the twenty-six weeks ended July 1, 2018:
Award Type |  | Benefit Plan |  | Awards Granted |  | Grant Date |  | Grant Date Fair Value per Award |  | Vesting Condition |  | Vesting Date |  | Awards Forfeited to Date |  | Settlement Method
RSU |  | LTIP |  | 389,424 |  |  | 01/19/2017 |  | 18.38 |  |  | Performance / Service |  | (a) |  | 389,424 |  | (a) | Stock
RSU |  | LTIP |  | 410,000 |  |  | 02/14/2018 |  | 25.59 |  |  | Service |  | 01/01/2019 |  | — |  |  | Stock
RSU |  | LTIP |  | 161,215 |  |  | 03/01/2018 |  | 24.93 |  |  | Service |  | (b) |  | 5,097 |  |  | Stock
RSU |  | LTIP |  | 266,478 |  |  | 03/01/2018 |  | 24.93 |  |  | Performance / Service |  | (c) |  | 22,548 |  |  | Stock
RSU |  | LTIP |  | 11,144 |  |  | 05/10/2018 |  | 21.54 |  |  | (d) |  | (d) |  | — |  |  | Stock
(a) | Performance conditions associated with these awards were not satisfied. Therefore, 100% of the awards were forfeited during the twenty-six weeks ended July 1, 2018.
(b) | These restricted stock units vest in ratable tranches on December 31, 2018, December 31, 2019 and December 31, 2020. Expected compensation cost related to these units totals $4.0 million based on a closing stock price for the Company’s common stock of $24.93 per share on March 1, 2018. Compensation cost will be amortized to profit/loss over the remaining vesting period.
(c) | If performance conditions related to the Company's 2018 operating results are satisfied, these restricted stock units vest in ratable tranches on December 31, 2019, December 31, 2020 and December 31, 2021. Expected compensation cost related to these units totals $6.6 million based on a closing stock price for the Company's common stock of $24.93 per share on March 1, 2018. Compensation cost will be amortized to profit/loss upon satisfaction of the performance conditions over the remaining vesting period.
(d) | These restricted stock units were granted to the four non-employees who currently serve on the Company's Board of Directors. Each participating director's units will vest upon his departure from the Company's Board of Directors. Compensation cost was recognized in profit/loss upon the grant date.
Compensation costs and the income tax benefit recognized for our share-based compensation arrangements are included below:
| Thirteen Weeks Ended |  | Twenty-Six Weeks Ended
| July 1, 2018 |  | June 25, 2017 |  | July 1, 2018 |  | June 25, 2017
| (In thousands)
Share-based compensation cost: |  |  |  |  |  |  |
Cost of sales | $ | 117 |  |  | $ | 38 |  |  | $ | 169 |  |  | $ | 187 |
Selling, general and administrative expense | 4,243 |  |  | 449 |  |  | 5,464 |  |  | 1,760 |
Total | $ | 4,360 |  |  | $ | 487 |  |  | $ | 5,633 |  |  | $ | 1,947 |
Income tax benefit | $ | 1,061 |  |  | $ | 184 |  |  | $ | 1,371 |  |  | $ | 601 |
The Company’s RSU activity is included below:
| Twenty-Six Weeks Ended July 1, 2018 |  | Twenty-Six Weeks Ended June 25, 2017
| Number |  | Weighted Average Grant Date Fair Value |  | Number |  | Weighted Average Grant Date Fair Value
| (In thousands, except weighted average fair values)
Outstanding at beginning of period | 389 |  |  | $ | 18.39 |  |  | 906 |  |  | $ | 20.00 |
Granted | 849 |  |  | 25.20 |  |  | 462 |  |  | 18.72 |
Vested | — |  |  | — |  |  | (486 | ) |  | 17.73 |
Forfeited | (417 | ) |  | 18.82 |  |  | (251 | ) |  | 25.36 |
Outstanding at end of period | 821 |  |  | $ | 25.21 |  |  | 631 |  |  | $ | 18.68 |
No awards vested during the twenty-six weeks ended July 1, 2018. The total fair value of awards vested during the twenty-six weeks ended June 25, 2017 was $9.2 million. At July 1, 2018, the total unrecognized compensation cost related to all nonvested awards was $15.7 million. That cost is expected to be recognized over a weighted average period of 1.57 years. Historically, we have issued new shares to satisfy award conversions.

X
- Definition Incentive compensation plans abstract. + References No definition available. + Details
Name: | ppc_IncentiveCompensationPlansAbstract
Namespace Prefix: | ppc_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -URI http://asc.fasb.org/subtopic&trid=2208855 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration