RESTRICTED CASH AND INVESTMENTS

9 Months Ended

Sep. 25, 2022

Restricted Cash and Investments [Abstract]

The following is a summary of the carrying value of our restricted cash and investments:


(in thousands)	September 25, 2022		December 26, 2021
Cash collateral held by insurance carriers	$	29,345	$	28,957
Cash and cash equivalents held in Trust	38,377		21,590
Investments held in Trust	115,065		135,419

Company-owned life insurance policies	25,243		32,318
Other restricted cash and cash equivalents	629		2,742
Total restricted cash and investments	$	208,659	$	221,026

Held-to-maturity

Restricted cash and investments include collateral that has been provided or pledged to insurance carriers for workers’ compensation and state workers’ compensation programs. Our insurance carriers and certain state workers’ compensation programs require us to collateralize a portion of our workers’ compensation obligation. The collateral typically takes the form of cash and cash equivalents and highly rated investment grade securities, primarily in debt and asset-backed securities. The majority of our collateral obligations are held in a trust at the Bank of New York Mellon (“Trust”).

The amortized cost and estimated fair value of our held-to-maturity investments held in Trust, aggregated by investment category as of September 25, 2022 and December 26, 2021, were as follows:


	September 25, 2022
(in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Municipal debt securities	$	47,188	$	—	$	(846)	$	46,342
Corporate debt securities	66,817		—		(4,047)		62,770
Agency mortgage-backed securities	63		—		(2)		61
U.S. government and agency securities	997		—		(49)		948
Total held-to-maturity investments	$	115,065	$	—	$	(4,944)	$	110,121


	December 26, 2021
(in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Municipal debt securities	$	56,346	$	2,159	$	—	$	58,505
Corporate debt securities	77,925		995		(563)		78,357
Agency mortgage-backed securities	148		4		—		152
U.S. government and agency securities	1,000		70		—		1,070
Total held-to-maturity investments	$	135,419	$	3,228	$	(563)	$	138,084

The amortized cost and fair value by contractual maturity of our held-to-maturity investments are as follows:


	September 25, 2022
(in thousands)	Amortized cost		Fair value
Due in one year or less	$	21,527	$	21,326
Due after one year through five years	93,538		88,795

Total held-to-maturity investments	$	115,065	$	110,121

Actual maturities may differ from contractual maturities because the issuers of certain debt securities have the right to call or prepay their obligations without penalty. We have no significant concentrations of counterparties in our held-to-maturity investment portfolio.

Deferred compensation investments and company-owned life insurance policies

We hold company-owned life insurance policies to support our deferred compensation liability. During the year ended December 26, 2021, we also held mutual funds and money market funds. As of December 26, 2021, all of the mutual funds and money market funds were converted into company-owned life insurance policies. Unrealized gains and losses related to investments still held at September 25, 2022 and September 26, 2021, which are included in selling, general and administrative expense on our Consolidated Statements of Operations and Comprehensive Income, were as follows:


	Thirteen weeks ended				Thirty-nine weeks ended
(in thousands)	September 25, 2022		September 26, 2021		September 25, 2022		September 26, 2021
Unrealized gains (losses)	$	(1,516)	$	391	$	(7,076)	$	2,817