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DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended
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Sep. 28, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Schedule of Derivative Instruments on a Gross Basis | The following table presents the fair values of our open derivative financial instruments on a gross basis.
|  | Assets |  | Liabilities
|  | September 28, 2025 |  | December 29, 2024 |  | September 28, 2025 |  | December 29, 2024
|  | (in millions)
Derivatives using the “hedge accounting” method: |  |  |  |  |  |  |  |
Commodity contracts |  | $ | 9 |  |  | $ | 13 |  |  | $ | 66 |  |  | $ | 37 |
Derivatives using the “mark-to-market” method: |  |  |  |  |  |  |  |
Commodity contracts |  | 1 |  |  | 2 |  |  | 11 |  |  | 7 |
Foreign exchange contracts |  | 1 |  |  | — |  |  | — |  |  | — |
Total fair value of derivative instruments |  | $ | 11 |  |  | $ | 15 |  |  | $ | 76 |  |  | $ | 44 |
Schedule of Derivative Assets and Liabilities | The following tables reconcile the gross amounts of derivative assets and liabilities to the net amounts presented in our condensed consolidated balance sheets and the related effects of cash collateral under netting arrangements that provide a legal right of offset of assets and liabilities.
| September 28, 2025
| Gross Amount of Derivative Assets/ Liabilities |  | Netting of Derivative Assets/ Liabilities |  | Net Derivative Assets/Liabilities |  | Netting of Derivative and Cash Collateral |  | Net Amount Presented in the Condensed Consolidated Balance Sheet (1)
| (in millions)
Assets: |  |  |  |  |  |  |  |  |
Commodity contracts | $ | 11 |  |  | $ | (10) |  |  | $ | 1 |  |  | $ | 16 |  |  | $ | 16 |
Foreign exchange contracts | 1 |  |  | — |  |  | 1 |  |  | — |  |  | 1 |
Total | $ | 11 |  |  | $ | (10) |  |  | $ | 1 |  |  | $ | 16 |  |  | $ | 17 |
Liabilities: |  |  |  |  |  |  |  |  |
Commodity contracts | $ | 76 |  |  | $ | (10) |  |  | $ | 66 |  |  | $ | (35) |  |  | $ | 31 |
________________ (1)Net derivative assets are recorded in prepaid expenses and other current assets. Net derivative liabilities are recorded in accrued expenses and other current liabilities. These balances include $50 million in cash collateral paid to and held by our brokers, $16 million of which represents the initial margin and exceeded the related open derivative liability position.
| December 29, 2024
| Gross Amount of Derivative Assets/ Liabilities |  | Netting of Derivative Assets/ Liabilities |  | Net Derivative Assets/Liabilities |  | Netting of Derivative and Cash Collateral |  | Net Amount Presented in the Condensed Consolidated Balance Sheet (1)
| (in millions)
Assets: |  |  |  |  |  |  |  |  |
Commodity contracts | $ | 15 |  |  | $ | (13) |  |  | $ | 2 |  |  | $ | 37 |  |  | $ | 39 |
Liabilities: |  |  |  |  |  |  |  |  |
Commodity contracts | 44 |  |  | (13) |  |  | 31 |  |  | (23) |  |  | 8 |
________________ (1)Net derivative assets are recorded in prepaid expenses and other current assets. Net derivative liabilities are recorded in accrued expenses and other current liabilities. These balances include $60 million of cash collateral paid to and held by one of our brokers, $37 million of which represents the initial margin and exceeded the related open derivative liability position.
Schedule of Notional Amounts of Outstanding Derivative Positions | As of September 28, 2025, the notional volumes associated with open derivative instruments designated in cash flow hedging relationships were as follows:
| Volume |  | Metric
Lean hogs | 767,494,000 |  |  | Pounds
Corn | 21,479,000 |  |  | Bushels
Soybean meal | 168,000 |  |  | Tons
Natural Gas | 2,120,000 |  |  | Million BTU
Diesel | 3,024,000 |  |  | Gallons
As of September 28, 2025, the notional volumes associated with open derivative instruments designated in fair value hedging relationships were as follows:
| Volume |  | Metric
Lean hogs | 236,160,000 |  |  | Pounds
Corn | 3,425,000 |  |  | Bushels
Soybeans | 310,000 |  |  | Bushels
Schedule of Pre-tax Gains and Losses on Derivative Instruments | The following table presents the effects on our condensed consolidated financial statements of pre-tax gains and losses on derivative instruments designated in cash flow hedging relationships for the periods indicated:
| Gains (Losses) Recognized in Other Comprehensive Income (Loss) on Derivative |  | Gains (Losses) Reclassified from Accumulated Other Comprehensive Loss into Earnings |  |
| Three Months Ended |  | Three Months Ended |  |
| September 28, 2025 |  | September 29, 2024 |  |  |  | September 28, 2025 |  | September 29, 2024 |  |  |  |  |  |  |  |
| (in millions) |  |
Commodity contracts | $ | (33) |  |  | $ | (3) |  |  |  |  | $ | (38) |  |  | $ | 37 |  |  |  |  |  |  |  |  |
| Gains (Losses) Recognized in Other Comprehensive Income (Loss) on Derivative |  | Gains (Losses) Reclassified from Accumulated Other Comprehensive Loss into Earnings |  |
| Nine Months Ended |  | Nine Months Ended |  |
| September 28, 2025 |  | September 29, 2024 |  |  |  | September 28, 2025 |  | September 29, 2024 |  |  |  |  |  |  |  |
| (in millions) |  |
Commodity contracts | $ | (71) |  |  | $ | (3) |  |  |  |  | $ | (51) |  |  | $ | 11 |  |  |  |  |  |  |  |  |
Interest rate contracts | — |  |  | — |  |  |  |  | (1) |  |  | (1) |  |  |  |  |  |  |  |  |
Foreign currency contracts | — |  |  | 1 |  |  |  |  | — |  |  | 1 |  |  |  |  |  |  |  |  |
Total | $ | (71) |  |  | $ | (2) |  |  |  |  | $ | (52) |  |  | $ | 11 |  |  |  |  |  |  |  |  |
As of September 28, 2025, the notional volumes associated with open derivative instruments using the “mark-to-market” method were as follows:
| Volume |  | Metric
Commodity contracts: |  |  |
Lean hogs | 91,898,000 |  |  | Pounds
Corn | 9,795,000 |  |  | Bushels
Soybean meal | 157,000 |  |  | Tons
Soybeans | 915,000 |  |  | Bushels
Natural gas | 104,000 |  |  | Million BTU
Diesel | 1,008,000 |  |  | Gallons
Foreign currency contracts | 26,185,092 |  |  | U.S. Dollars
The following table presents the effect of derivatives on the condensed consolidated statements of income for the periods indicated.
|  | Three Months Ended |  | Nine Months Ended |  |
|  | September 28, 2025 |  | September 29, 2024 |  | September 28, 2025 |  | September 29, 2024 |  |
|  | (in millions) |  | (in millions) |  |
Sales: |  |  |  |  |  |  |  |  |  |
Cash flow hedging—commodity contracts |  | $ | (39) |  |  | $ | 47 |  |  | $ | (53) |  |  | $ | 34 |  |  |
Mark-to-market—commodity contracts |  | 2 |  |  | (3) |  |  | (11) |  |  | (7) |  |  |
Total derivative gain (loss) recognized in sales |  | (37) |  |  | 44 |  |  | (65) |  |  | 27 |  |  |
Cost of sales: |  |  |  |  |  |  |  |  |  |
Cash flow hedging—commodity contracts |  | 1 |  |  | (10) |  |  | 2 |  |  | (23) |  |  |
Fair value hedging—commodity contracts: |  |  |  |  |  |  |  |  |  |
Change in fair value of open derivatives |  | (7) |  |  | 1 |  |  | (20) |  |  | 5 |  |  |
Change in fair value of related hedged items |  | 7 |  |  | (1) |  |  | 20 |  |  | (5) |  |  |
Gain (loss) on closed derivatives (1) |  | (4) |  |  | 2 |  |  | (4) |  |  | 8 |  |  |
Mark-to-market—commodity contracts |  | 7 |  |  | (5) |  |  | 15 |  |  | (8) |  |  |
Total derivative gain (loss) recognized in cost of sales |  | 4 |  |  | (13) |  |  | 12 |  |  | (23) |  |  |
Selling, general and administrative expenses: |  |  |  |  |  |  |  |  |  |
Mark-to-market—foreign currency contracts |  | 1 |  |  | — |  |  | (1) |  |  | 1 |  |  |
Interest expense: |  |  |  |  |  |  |  |  |  |
Cash flow hedging—interest rate contracts |  | — |  |  | — |  |  | (1) |  |  | (1) |  |  |
Discontinued operations: |  |  |  |  |  |  |  |  |  |
Cash flow hedging - foreign exchange contracts |  | — |  |  | — |  |  | — |  |  | 1 |  |  |
Mark to market - foreign exchange contracts |  | — |  |  | 3 |  |  | — |  |  | 3 |  |  |
Total derivative gain recognized in discontinued operations |  | — |  |  | 3 |  |  | — |  |  | 4 |  |  |
Total derivative gain (loss) |  | $ | (33) |  |  | $ | 33 |  |  | $ | (54) |  |  | $ | 9 |  |  |
________________ (1)Represents the amount of fair value hedge adjustment applied to the carrying amount of hedged assets that is recognized in cost of sales as the underlying hedged assets are relieved from inventories and charged to cost of sales.

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- Definition Tabular disclosure of the location and amount of derivative instruments and nonderivative instruments designated as hedging instruments reported before netting adjustments, and the amount of gain (loss) on derivative instruments and nonderivative instruments designated and qualified as hedging instruments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4CC -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4CC Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4C -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4C Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4A Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4A Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4E -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4E + Details
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- Definition Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item. + References No definition available. + Details
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