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Derivative financial instruments and fair value measurement | 12 Months Ended
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Dec. 28, 2013
Derivative Instruments And Hedging Activities Disclosure [Abstract] |
Derivatives and Fair Value [Text Block] |
|  |  |  | December 28, 2013
|  |  |  | Fair value |  |  |
|  |  |  | asset (liability) | Level 1 | Level 2 | Level 3
|  |  |  | $ | $ | $ | $
(a) | Commodity futures and forward contracts(1) |  |  |  |
|  |  | Unrealized short-term derivative asset | 1,459 | 284 | 1,175 | -
|  |  | Unrealized long-term derivative asset | 29 | - | 29 | -
|  |  | Unrealized short-term derivative liability | (1,841) | - | (1,841) | -
|  |  | Unrealized long-term derivative liability | (12) | - | (12) | -
(b) | Inventories carried at market(2) | 11,836 | - | 11,836 | -
(c) | Interest rate swaps(3) | (311) | - | (311) | -
(d) | Forward foreign currency contracts(4) | (371) | - | (371) | -
(e) | Contingent consideration(5) | (2,671) | - | - | (2,671)
|  |  |  | December 29, 2012
|  |  |  | Fair value |  |  |
|  |  |  | asset (liability) | Level 1 | Level 2 | Level 3
|  |  |  | $ | $ | $ | $
(a) | Commodity futures and forward contracts(1) |  |  |  |
|  |  | Unrealized short-term derivative asset | 3,184 | 690 | 2,494 | -
|  |  | Unrealized long-term derivative asset | 93 | - | 93 | -
|  |  | Unrealized short-term derivative liability | (1,623) | - | (1,623) | -
|  |  | Unrealized long-term derivative liability | (43) | - | (43) | -
(b) | Inventories carried at market(2) | 15,426 | - | 15,426 | -
(c) | Interest rate swap(3) | (396) | - | (396) | -
(d) | Forward foreign currency contracts(4) | (327) | - | (327) | -
(e) | Contingent consideration(5) | (4,398) | - | - | (4,398)
(1) U nrealized short-term derivative asset is included in prepaid expenses and other current assets, u nrealized long-term derivative asset is included in other assets, unrealized short-term derivative liability is included in o ther current liabilities and u nrealized long-term derivative liability is included in long-term liabilities on the consolidated balance sheets. (2) Inventories carried at market are included in i nventories on the consolidated balance sheet s. (3) The interest rate swap s are included in long-term liabilities on the consolidated balance sheet s. (4) The forward foreign currency contracts are included in accounts receivable on the consolidated balance sheet s. (5) Contingent consideration obligations are included in long-term liabilities (including the current portion thereof) on the consolidated balance sheets. (a) Commodity futures and forward contracts The Company's derivative contracts that are measured at fair value include exchange-traded commodity futures and forward commodity purchase and sale contracts. Exchange-traded futures are valued based on unadjusted quotes for identical assets priced in active markets and are classified as level 1. Fair value for forward commodity purchase and sale contracts is estimated based on exchange-quoted prices adjusted for differences in local markets. Local market adjustments use observable inputs or market transactions for similar assets or liabilities, and, as a result, are classified as level 2. Based on historical experience with the Company's suppliers and customers, the Company's own credit risk, and the Company's knowledge of current market conditions, the Company does not view non-performance risk to be a significant input to fair value for the majority of its forward commodity purchase and sale contracts. These exchange-traded commodity futures and forward commodity purchase and sale contracts are used as part of the Company's risk management strategy, and represent economic hedges to limit risk related to fluctuations in the price of certain commodity grains, as well as the price of cocoa. These derivative instruments are not designated as hedges for accounting purposes. Gains and losses on changes in fair value of these derivative instruments are included in cost of goods sold on the consolidated statement of operations. For the year ended December 28, 2013, the Company recognized a loss of $1,976 (December 29, 2012 – gain of $695; December 31, 2011 – loss of $839). As a t December 28, 2013, the notional amounts of open commodity futures and forward purchase and sale contracts were as follows (in thousands of bushels):
|  |  |  | Number of bushels
|  |  |  | purchase (sale)
|  |  |  | Corn | Soybeans
Forward commodity purchase contracts | 924 | 1,030
Forward commodity sale contracts | (639) | (1,625)
Commodity futures contracts | (495) | (45)
In addition, as at December 28, 2013, the Company had open forward contracts to sell 168 lots of cocoa. (b) Inventories carried at market Grains inventory carried at fair value is determined using quoted market prices from the CBoT. Estimated fair market values for grains inventory quantities at period end are valued using the quoted price on the CBoT adjusted for differences in local markets, and broker or dealer quotes. These assets are placed in level 2 of the fair value hierarchy, as there are observable quoted prices for similar assets in active markets. Gains and losses on commodity grains inventory are included in cost of sales on the consolidated statements of operations. At December 28, 2013, the Company had 212,026 bushels of commodity corn and 623,739 bushels of commodity soybeans in inventories carried at market. (c) Interest rate swap s As at December 28, 2013, Opta Minerals h eld interest rate swap s with a notional value of Cdn $41,925 to pay a fixed rate of 1.85% to 2.02%, plus a margin of 2.0% to 3.5% based on certain financial ratios of Opta Minerals, and receive a variable rate based on various reference rates including prime, bankers' acceptances or LIBOR, plus the same margin, until May 2017. The net notional value decreases in accordance with the quarterly principal repayments on the Opta Minerals' non-revolving term credit facility (see note 11). At each period end, the Company calculates the mark ed-to-market fair value of the interest rate swap s using a valuation technique using quoted observable prices for similar instruments as the primary input. Based on this valuation, the previously recorded fair value is adjusted to the current mark ed-to-market position. The mark ed-to-market gain or loss is placed in level 2 of the fair value hierar c hy. As the interest rate swaps are designated as a cash flow hedge for accounting purposes, gains and losses on changes in the fair value of th is derivative instrument are included on the consolidated state ments of comprehensive earnings.For the year ended December 28, 2013, a $85gain (December 29, 2012– loss of $140; December 31, 2011– gain of $635), net of income tax expense of $20 (December 29, 2012 –income tax benefit of $53; December 31, 2011– income tax expense of $1 9 5), was recorded in other comprehensive earnings. (d) Foreign forward currency contracts As part of its risk management strategy, the Company enters into forward foreign exchange contracts to reduce its exposure to fluctuations in foreign currency exchange rates. For any open forward foreign exchange contracts at period end, the contract rate is compared to the forward rate, and a gain or loss is recorded. These contracts are placed in level 2 of the fair value hierarchy, as the inputs used in making the fair value determination are derived from and are corroborated by observable market data. While t hese forward foreign exchange contracts typically represent economic hedges that are not des ignated as hedging instruments, certain of these contracts may be designated as hedges. At December 28, 2013 the Company had open forward foreign exchange contracts with a notional value of €14,144 ($ 19,434). Gains and losses on changes in the fair value of these derivative instruments are included in foreign exchange loss (gain) on the consolidated statement of operations. For the year ended December 28, 2013, the Company recognized a loss of $44 (December 29, 2012 – loss of $327; December 31, 2011 – loss of $149). (e) Contingent c onsideration The fair value measurement of contingent consideration ari sing from business acquisitions is determined using unobservable (level 3) inputs. These inputs include (i) the es t i mated amount and timing of the projected cash flows on which t he contingency is based; and (i i) the risk-adjusted discount rate used to present value those cash flows. For the year ended December 28, 2013, the change in the fair value of the contingent consideration liability reflected (i) payments of $1,267 related to the acquisitions of Babco (see note 2) and Edner of Nevada, Inc. (“Edner”) (acquired December 14, 2010); (ii) changes in the probability of achiev ing the factors on which the contingencies are based; (iii) accretion of interest expense; and (iv) changes in foreign currency exchange rates.

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- Definition The entire disclosure for derivatives and fair value of assets and liabilities. + References No definition available. + Details
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