| RELATED PARTY TRANSACTIONS |
RELATED PARTY TRANSACTIONS Pilgrim’s has been and, in some cases, continues to be a party to certain transactions with affiliated companies. | | | | | | | | | | | | | | | | | | | Year Ended | | December 28, 2025 | | December 29, 2024 | | December 31, 2023 | | (In thousands) | | Sales to related parties | | | | | | | JBS Toledo N.V. | $ | 41,947 | | | $ | — | | | $ | — | | JBS USA Food Company(a) | 23,307 | | | 28,230 | | | 27,687 | | | JBS Chile Ltd. | 2,797 | | | 3,143 | | | 1,733 | | | Other related parties | 7,483 | | | 1,960 | | | 6,383 | | | Total sales to related parties | $ | 75,534 | | | $ | 33,333 | | | $ | 35,803 | |
| | | | | | | | | | | | | | | | | | | Year Ended | | December 28, 2025 | | December 29, 2024 | | December 31, 2023 | | (In thousands) | | Cost of goods purchased from related parties | | | | | | JBS USA Food Company(a) | $ | 145,324 | | | $ | 159,264 | | | $ | 185,258 | | | Seara Meats B.V. | 89,131 | | | 28,170 | | | 28,828 | | | Penasul UK LTD | 41,804 | | | 10,670 | | | 13,932 | | | JBS Asia CO Limited | 11,027 | | | 6,248 | | | 4,953 | | | Other related parties | 2,560 | | | 2,130 | | | 7,168 | | | Total cost of goods purchased from related parties | $ | 289,846 | | | $ | 206,482 | | | $ | 240,139 | |
| | | | | | | | | | | | | | | | | | | Year Ended | | December 28, 2025 | | December 29, 2024 | | December 31, 2023 | | (In thousands) | | Expenditures paid by related parties | | | | | | JBS USA Food Company(b) | $ | 249,329 | | | $ | 121,962 | | | $ | 156,439 | | | Other related parties | — | | | — | | | 15 | | | Total expenditures paid by related parties | $ | 249,329 | | | $ | 121,962 | | | $ | 156,454 | |
| | | | | | | | | | | | | | | | | | | Year Ended | | December 28, 2025 | | December 29, 2024 | | December 31, 2023 | | (In thousands) | | Expenditures paid on behalf of related parties | | | | | | JBS USA Food Company(b) | $ | 12,931 | | | $ | 14,593 | | | $ | 22,734 | | | Other related parties | — | | | — | | | 5 | | | Total expenditures paid on behalf of related parties | $ | 12,931 | | | $ | 14,593 | | | $ | 22,739 | |
| | | | | | | | | | | | | | | | | | | Year Ended | | December 28, 2025 | | December 29, 2024 | | December 31, 2023 | | (In thousands) | | Other related party transactions | | | | | | | Capital contribution under tax sharing agreement | $ | — | | | $ | — | | | $ | (1,425) | |
| | | | | | | | | | | | | December 28, 2025 | | December 29, 2024 | | (In thousands) | | Accounts receivable from related parties | | | | | JBS Toledo N.V. | $ | 10,486 | | | $ | — | | JBS USA Food Company(a) | 1,629 | | | 1,727 | | | JBS Chile Ltd. | 763 | | | 725 | | | Other related parties | 520 | | | 156 | | | Total accounts receivable from related parties | $ | 13,398 | | | $ | 2,608 | |
| | | | | | | | | | | | | December 28, 2025 | | December 29, 2024 | | (In thousands) | | Accounts payable to related parties | | | | | Seara Meats B.V. | $ | 26,686 | | | $ | 4,861 | | JBS USA Food Company(a) | 8,346 | | | 5,424 | | | Penasul UK LTD | 1,156 | | | 714 | | | JBS Asia Co Limited | — | | | 4,023 | | | Other related parties | 7,328 | | | 235 | | | Total accounts payable to related parties | $ | 43,516 | | | $ | 15,257 | |
(a)The Company routinely executes transactions to both purchase products from JBS USA Food Company (“JBS USA”) and sell products to them. As of December 28, 2025, goods purchased and in transit from JBS USA were $1.5 million and not reflected on our Consolidated Balance Sheets. (b)The Company has an agreement with JBS USA to allocate costs associated with JBS USA’s procurement of SAP licenses and maintenance services for both companies. Under this agreement, the fees associated with procuring SAP licenses and maintenance services are allocated between the Company and JBS USA in proportion to the percentage of licenses used by each company. The agreement expires on the date of expiration, or earlier termination, of the underlying SAP license agreement. The Company also has an agreement with JBS USA to allocate the costs of supporting the business operations by one consolidated corporate team, which have historically been supported by their respective corporate teams. Expenditures paid by JBS USA on behalf of the Company will be reimbursed by the Company and expenditures paid by the Company on behalf of JBS USA will be reimbursed by JBS USA. This agreement expired on December 31, 2025, but effectively continues month-to-month until a new agreement is finalized. |