XML 26 R10.htm IDEA: XBRL DOCUMENT
v3.24.2

RESTRUCTURING ACTIVITIES | 12 Months Ended
--- | ---
May 26, 2024
RESTRUCTURING ACTIVITIES |
RESTRUCTURING ACTIVITIES | 2. RESTRUCTURING ACTIVITIES Conagra Restructuring Plan In fiscal 2019, senior management initiated a restructuring plan for costs incurred in connection with actions taken to improve SG&A expense effectiveness and efficiencies and to optimize our supply chain network (the “Conagra Restructuring Plan”). Although we remain unable to make good faith estimates relating to the entire Conagra Restructuring Plan, we are reporting on actions initiated through the end of fiscal 2024, including the estimated amounts or range of amounts for each major type of costs expected to be incurred, and the charges that have resulted or will result in cash outflows. As of May 26, 2024, we have approved and expect to incur $286.6 million of charges ($82.6 million of cash charges and $204.0 million of non-cash charges) for actions identified to date under the Conagra Restructuring Plan. We recognized charges of $66.6 million, $10.7 million, and $29.4 million in connection with the Conagra Restructuring Plan in fiscal 2024, 2023, and 2022, respectively. We expect to incur costs related to the Conagra Restructuring Plan over a multi-year period. We anticipate that we will recognize the following pre-tax expenses in association with the Conagra Restructuring Plan (amounts include charges recognized from plan inception through the end of fiscal 2024): ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Grocery & | ​ | Refrigerated | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Snacks |  | & Frozen |  | International |  | Foodservice |  | Corporate |  | Total
Accelerated depreciation | ​ | $ | 49.3 | ​ | $ | 58.8 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 108.1
Other cost of goods sold | ​ | ​ | 14.2 | ​ | ​ | 5.5 | ​ | ​ | 2.4 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 22.1
Total cost of goods sold | ​ | ​ | 63.5 | ​ | ​ | 64.3 | ​ | ​ | 2.4 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 130.2
Severance and related costs | ​ | ​ | 13.5 | ​ | ​ | 3.9 | ​ | ​ | 6.1 | ​ | ​ | 0.3 | ​ | ​ | 9.4 | ​ | ​ | 33.2
Asset impairment (net of gains on disposal) | ​ | ​ | 48.6 | ​ | ​ | 18.6 | ​ | ​ | 14.7 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 81.9
Contract/lease termination | ​ | ​ | (1.0) | ​ | ​ | 0.9 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 0.1 | ​ | ​ | —
Consulting/professional fees | ​ | ​ | 0.6 | ​ | ​ | 0.6 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 5.5 | ​ | ​ | 6.7
Other selling, general and administrative expenses | ​ | ​ | 20.2 | ​ | ​ | 10.1 | ​ | ​ | 1.9 | ​ | ​ | — | ​ | ​ | 1.8 | ​ | ​ | 34.0
Total selling, general and administrative expenses | ​ | ​ | 81.9 | ​ | ​ | 34.1 | ​ | ​ | 22.7 | ​ | ​ | 0.3 | ​ | ​ | 16.8 | ​ | ​ | 155.8
Total | ​ | $ | 145.4 | ​ | $ | 98.4 | ​ | $ | 25.1 | ​ | $ | 0.3 | ​ | $ | 16.8 | ​ | $ | 286.0
Pension and postretirement non-service income | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 0.6
Consolidated total | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ | 286.6
​ During fiscal 2024, we recognized the following pre-tax expenses for the Conagra Restructuring Plan: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Grocery & | ​ | Refrigerated | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Snacks |  | & Frozen |  | International |  | Corporate |  | Total
Accelerated depreciation | ​ | $ | 7.7 | ​ | $ | 7.4 | ​ | $ | — | ​ | $ | — | ​ | $ | 15.1
Other cost of goods sold | ​ | ​ | 0.5 | ​ | ​ | 1.4 | ​ | ​ | 2.1 | ​ | ​ | — | ​ | ​ | 4.0
Total cost of goods sold | ​ | ​ | 8.2 | ​ | ​ | 8.8 | ​ | ​ | 2.1 | ​ | ​ | — | ​ | ​ | 19.1
Severance and related costs | ​ | ​ | 0.4 | ​ | ​ | 2.4 | ​ | ​ | 4.5 | ​ | ​ | 3.1 | ​ | ​ | 10.4
Asset impairment (net of gains on disposal) | ​ | ​ | 0.6 | ​ | ​ | 17.7 | ​ | ​ | 14.1 | ​ | ​ | — | ​ | ​ | 32.4
Contract/lease termination | ​ | ​ | — | ​ | ​ | 0.8 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 0.8
Consulting/professional fees | ​ | ​ | 0.2 | ​ | ​ | 0.2 | ​ | ​ | — | ​ | ​ | (0.1) | ​ | ​ | 0.3
Other selling, general and administrative expenses | ​ | ​ | 0.9 | ​ | ​ | 2.2 | ​ | ​ | 0.1 | ​ | ​ | 0.4 | ​ | ​ | 3.6
Total selling, general and administrative expenses | ​ | ​ | 2.1 | ​ | ​ | 23.3 | ​ | ​ | 18.7 | ​ | ​ | 3.4 | ​ | ​ | 47.5
Total | ​ | $ | 10.3 | ​ | $ | 32.1 | ​ | $ | 20.8 | ​ | $ | 3.4 | ​ | $ | 66.6
​ Included in the above results are $15.6 million of charges that have resulted or will result in cash outflows and $51.0 million in non-cash charges. We recognized the following cumulative (plan inception to May 26, 2024) pre-tax expenses for the Conagra Restructuring Plan in our Consolidated Statements of Earnings: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Grocery & | ​ | Refrigerated | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Snacks |  | & Frozen |  | International |  | Foodservice |  | Corporate |  | Total
Accelerated depreciation | ​ | $ | 40.9 | ​ | $ | 47.7 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 88.6
Other cost of goods sold | ​ | ​ | 9.2 | ​ | ​ | 4.2 | ​ | ​ | 2.1 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 15.5
Total cost of goods sold | ​ | ​ | 50.1 | ​ | ​ | 51.9 | ​ | ​ | 2.1 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 104.1
Severance and related costs | ​ | ​ | 11.8 | ​ | ​ | 3.6 | ​ | ​ | 5.8 | ​ | ​ | 0.3 | ​ | ​ | 9.4 | ​ | ​ | 30.9
Asset impairment (net of gains on disposal) | ​ | ​ | 22.5 | ​ | ​ | 18.6 | ​ | ​ | 14.2 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 55.3
Contract/lease termination | ​ | ​ | 0.5 | ​ | ​ | 0.9 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 0.1 | ​ | ​ | 1.5
Consulting/professional fees | ​ | ​ | 0.5 | ​ | ​ | 0.6 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 5.1 | ​ | ​ | 6.2
Other selling, general and administrative expenses | ​ | ​ | 13.8 | ​ | ​ | 6.1 | ​ | ​ | 0.1 | ​ | ​ | — | ​ | ​ | 0.9 | ​ | ​ | 20.9
Total selling, general and administrative expenses | ​ | ​ | 49.1 | ​ | ​ | 29.8 | ​ | ​ | 20.1 | ​ | ​ | 0.3 | ​ | ​ | 15.5 | ​ | ​ | 114.8
Total | ​ | $ | 99.2 | ​ | $ | 81.7 | ​ | $ | 22.2 | ​ | $ | 0.3 | ​ | $ | 15.5 | ​ | $ | 218.9
Pension and postretirement non-service income | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 0.6
Consolidated total | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ | 219.5
​ Included in the above results are $65.4 million of charges that have resulted or will result in cash outflows and $154.1 million in non-cash charges. Liabilities recorded for the Conagra Restructuring Plan and changes therein for fiscal 2024 were as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | Costs | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Balance at | ​ | Incurred | ​ | Costs Paid | ​ | ​ | ​ | ​ | Balance at
​ | ​ | May 28, | ​ | and Charged | ​ | or Otherwise | ​ | Changes in | ​ | May 26,
​ | ​ | 2023 | ​ | to Expense | ​ | Settled | ​ | Estimates | ​ | 2024
Severance and related costs | ​ | $ | 1.7 | ​ | $ | 10.3 | ​ | $ | (2.3) | ​ | $ | 0.1 | ​ | $ | 9.8
Contract/lease termination | ​ | ​ | — | ​ | ​ | 0.8 | ​ | ​ | (0.8) | ​ | ​ | — | ​ | ​ | —
Consulting/professional fees | ​ | ​ | 0.2 | ​ | ​ | 0.3 | ​ | ​ | (0.5) | ​ | ​ | — | ​ | ​ | —
Other costs | ​ | ​ | — | ​ | ​ | 4.1 | ​ | ​ | (3.5) | ​ | ​ | — | ​ | ​ | 0.6
Total | ​ | $ | 1.9 | ​ | $ | 15.5 | ​ | $ | (7.1) | ​ | $ | 0.1 | ​ | $ | 10.4
​ Pinnacle Integration Restructuring Plan As of the end of the first quarter of fiscal 2023, we had completed our restructuring and integration plan related to our acquisition of Pinnacle Foods, Inc. (“Pinnacle”) in 2018 for the purpose of achieving significant cost synergies (the “Pinnacle Integration Restructuring Plan”). We recognized charges of $2.4 million and $19.6 million in connection with the Pinnacle Integration Restructuring Plan in fiscal 2023 and 2022, respectively.

X
- References No definition available. + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//420/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 5.P.4(e)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479823/420-10-S99-2 + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration