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PROPERTY AND EQUIPMENT
12 Months Ended
Dec. 28, 2024
Property, Plant and Equipment [Abstract]  
PROPERTY AND EQUIPMENT

NOTE 7. PROPERTY AND EQUIPMENT

Property and equipment consists of:

 

 

 

December 28,

 

 

December 30,

 

(In millions)

 

2024

 

 

2023

 

Land

 

$

17

 

 

$

18

 

Buildings

 

 

65

 

 

 

68

 

Computer software

 

 

755

 

 

 

712

 

Leasehold improvements

 

 

542

 

 

 

571

 

Furniture, fixtures and equipment

 

 

750

 

 

 

760

 

Construction in progress

 

 

29

 

 

 

22

 

 

 

 

2,158

 

 

 

2,151

 

Less accumulated depreciation

 

 

(1,859

)

 

 

(1,854

)

Total

 

$

299

 

 

$

297

 

 

The above table of property and equipment includes assets held under finance leases as follows:

 

 

 

December 28,

 

 

December 30,

 

(In millions)

 

2024

 

 

2023

 

Buildings

 

$

7

 

 

$

7

 

Furniture, fixtures and equipment

 

 

146

 

 

 

142

 

 

 

 

153

 

 

 

149

 

Less accumulated depreciation

 

 

(130

)

 

 

(124

)

Total

 

$

23

 

 

$

25

 

Depreciation expense was $38 million in 2024, $61 million in 2023 and $72 million in 2022.

Included in computer software and construction in progress above are capitalized software costs of $778 million and $730 million at December 28, 2024 and December 30, 2023, respectively. The unamortized amounts of the capitalized software costs are $132 million and $119 million at December 28, 2024 and December 30, 2023, respectively. Amortization of capitalized software costs totaled $55 million, $35 million and $40 million in 2024, 2023 and 2022, respectively. Software development costs that do not meet the criteria for capitalization are expensed as incurred.

Estimated future amortization expense related to capitalized software at December 28, 2024 is as follows:

 

(In millions)

 

2025

 

$

42

 

2026

 

 

36

 

2027

 

 

26

 

2028

 

 

17

 

2029

 

 

9

 

Thereafter

 

 

2

 

The weighted average remaining amortization period for capitalized software is three years.

Assets Held for Sale

The Company’s assets held for sale as of December 28, 2024 consisted of a $6 million land asset. The Company’s assets held for sale of $80 million as of December 30, 2023 consisted of $74 million related to the Varis Division and a $6 million land asset.