Tyson Foods 2015 Annual Report Download - page 37
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Please find page 37 of the 2015 Tyson Foods annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.CONTRACTUAL OBLIGATIONS
ThefollowingtablesummarizesourcontractualobligationsasofOctober3,2015:
inmillions
PaymentsDuebyPeriod
2016
2017-2018
2019-2020
2021and
thereafter
Total
Debtandcapitalleaseobligations:
Principalpayments(1) $ 715
$ 706
$ 1,844
$ 3,451
$ 6,716
Interestpayments(2) 244
440
400
1,374
2,458
Guarantees(3) 22
26
49
22
119
Operatingleaseobligations(4) 125
170
87
111
493
Purchaseobligations(5) 1,655
712
209
185
2,761
Capitalexpenditures(6) 532
33
—
—
565
Otherlong-termliabilities(7) —
—
—
—
479
Totalcontractualcommitments $ 3,293
$ 2,087
$ 2,589
$ 5,143
$ 13,591
(1) Intheeventofadefaultonpayment,accelerationoftheprincipalpaymentscouldoccur.
(2)Interestpaymentsincludeinterestonalloutstandingdebt.Paymentsareestimatedforvariablerateandvariabletermdebtbasedoneffectiveinterestrates
atOctober3,2015,andexpectedpaymentdates.
(3) Amountsincludeguaranteesofdebtofoutsidethirdparties,whichconsistofleasesandgrowerloans,allofwhicharesubstantiallycollateralizedbythe
underlyingassets,aswellasresidualvalueguaranteescoveringcertainoperatingleasesforvarioustypesofequipment.Theamountsincludedarethe
maximumpotentialamountoffuturepayments.
(4) Amountsincludeminimumleasepaymentsunderleaseagreements.
(5) Amountsincludeagreementstopurchasegoodsorservicesthatareenforceableandlegallybindingandspecifyallsignificantterms,including:fixedor
minimumquantitiestobepurchased;fixed,minimumorvariablepriceprovisions;andtheapproximatetimingofthetransaction.Thepurchaseobligations
amountincludeditems,suchasfuturepurchasecommitmentsforgrains,livestockcontractsandfixedgrowerfees,thatprovidetermsthatmeettheabove
criteria.Forcertaingrainpurchasecommitmentswithafixedquantityprovision,wehaveassumedthefutureobligationsunderthecommitmentbasedon
availablecommodityfuturespricesaspublishedinobservableactivemarketsasofOctober3,2015.Wehaveexcludedfuturepurchasecommitmentsfor
contractsthatdonotmeetthesecriteria.Purchaseordersarenotincludedinthetable,asapurchaseorderisanauthorizationtopurchaseandiscancelable.
Contractsforgoodsorservicesthatcontainterminationclauseswithoutpenaltyhavealsobeenexcluded.
(6) AmountsincludeestimatedamountstocompletebuildingsandequipmentunderconstructionasofOctober3,2015.
(7)Otherlong-termliabilitiesprimarilyconsistofdeferredcompensation,deferredincome,self-insurance,andassetretirementobligations.Weareunableto
reliablyestimatetheamountofthesepaymentsbeyondfiscal2016;therefore,wehaveonlyincludedthetotalliabilityinthetableabove.Wealsohave
employeebenefitobligationsconsistingofpensionsandotherpostretirementbenefitsof$495millionthatareexcludedfromthetableabove.Adiscussion
oftheCompany'spensionandpostretirementplans,includingfundingmatters,isincludedinPartII,Item8,NotestoConsolidatedFinancialStatements,
Note15:PensionsandOtherPostretirementBenefits.
Inadditiontotheamountsshownaboveinthetable,wehaveunrecognizedtaxbenefitsof$284millionandrelatedinterestandpenaltiesof$46millionat
October3,2015,recordedasliabilities.
ThemaximumcontractualobligationassociatedwithourcashflowassistanceprogramsatOctober3,2015,basedontheestimatedfairvaluesofthelivestock
supplier’snettangibleassetsonthatdate,aggregatedtoapproximately$310million.TherewerenoreceivablesundertheseprogramsatOctober3,2015.
RECENTLY ISSUED/ADOPTED ACCOUNTING PRONOUNCEMENTS
RefertothediscussionunderPartII,Item8,NotestoConsolidatedFinancialStatements,Note2:RecentlyIssuedAccountingPronouncementsforrecentlyissued
accountingpronouncements.
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