v3.25.1
Fair Value Measurement
 3 Months Ended
Mar. 29, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
FASB authoritative guidance defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements.  The following table presents the Company’s financial instruments that are measured at fair value on a recurring and nonrecurring basis as of March 29, 2025 and are categorized using the fair value hierarchy under FASB authoritative guidance.  The fair value hierarchy has three levels based on the reliability of the inputs used to determine the fair value.
 
  Fair Value Measurements at March 29, 2025 Using
Quoted Prices in
Active Markets for
Identical Assets		Significant Other
Observable
Inputs		Significant
Unobservable
Inputs
(In thousands of dollars)Total(Level 1)(Level 2)(Level 3)
Assets
Derivative assets$15,732 $— $15,732 $— 
Total Assets$15,732 $— $15,732 $— 
Liabilities
Derivative liabilities$12,373 $— $12,373 $— 
Contingent consideration36,459 — — 36,459 
Total Liabilities$48,832 $— $12,373 $36,459 

  Fair Value Measurements at December 28, 2024 Using
Quoted Prices in
Active Markets for
Identical Assets		Significant Other
Observable
Inputs		Significant
Unobservable
Inputs
(In thousands of dollars)Total(Level 1)(Level 2)(Level 3)
Assets
Derivative assets$30,693 $— $30,693 $— 
Total Assets$30,693 $— $30,693 $— 
Liabilities
Derivative liabilities$41,920 $— $41,920 $— 
Contingent consideration28,862 — — 28,862 
Total Liabilities$70,782 $— $41,920 $28,862 

Derivative assets and liabilities consists primarily of the Company’s corn option and future contracts, foreign currency forward and option contracts, interest rate swap contracts and cross currency swap contracts which represent the difference between observable market rates of commonly quoted intervals for similar assets and liabilities in active markets and the fixed swap rate considering the instruments term, notional amount and credit risk. See Note 15 (Derivatives) to the Company’s Consolidated Financial Statements included herein for discussion on the Company’s derivatives.

The fair value measurement of contingent consideration liability uses significant unobservable inputs (level 3). We estimated the fair value of the FASA contingent consideration using a Monte Carlo simulation methodology from a third-party that includes simulating the forecasted net income or earnings plus interest expense, taxes, depreciation and amortization (“EBITDA”) using a Geometric Brownian Motion in a risk-neutral framework. The assumptions used in the FASA contingent consideration analysis as of March 29, 2025 included the EBITDA forecast through the remaining term of the contingent consideration, an EBITDA discount rate, an EBITDA volatility, credit spread, risk-free rate and exchange rate. Significant increases and decreases in these inputs could result in a significantly lower or higher fair value measurement of the FASA contingent consideration. The changes in contingent consideration are due to the following:
(in thousands of dollars)Contingent Consideration
Balance as of December 28, 2024$28,862 
Total included in earnings during period5,441 
Exchange rate changes2,156 
Balance as of March 29, 2025$36,459 

Fair value of financial instruments that are not carried at fair value are as follows:

  Fair Value Measurements at March 29, 2025 Using
Quoted Prices in
Active Markets for
Identical Assets		Significant Other
Observable
Inputs		Significant
Unobservable
Inputs
(In thousands of dollars)Total(Level 1)(Level 2)(Level 3)
Liabilities
6% Senior notes$984,900 $— $984,900 $— 
5.25% Senior notes492,500 — 492,500 — 
3.625% Senior notes553,199 — 553,199 — 
Term loan A-1394,020 — 394,020 — 
Term loan A-2466,406 — 466,406 — 
Term loan A-3295,515 — 295,515 — 
Term loan A-4475,734 — 475,734 — 
Revolver debt153,450 — 153,450 — 
Total Liabilities$3,815,724 $— $3,815,724 $— 

  Fair Value Measurements at December 28, 2024 Using
Quoted Prices in
Active Markets for
Identical Assets		Significant Other
Observable
Inputs		Significant
Unobservable
Inputs
(In thousands of dollars)Total(Level 1)(Level 2)(Level 3)
Liabilities
6% Senior notes$982,500 $— $982,500 $— 
5.25% Senior notes490,000 — 490,000 — 
3.625% Senior notes534,908 — 534,908 — 
Term loan A-1395,015 — 395,015 — 
Term loan A-2469,516 — 469,516 — 
Term loan A-3296,261 — 296,261 — 
Term loan A-4478,844 — 478,844 — 
Revolver debt264,330 — 264,330 — 
Total Liabilities$3,911,374 $— $3,911,374 $— 

The fair value of the senior notes, term loan A-1, term loan A-2, term loan A-3, term loan A-4 and revolver debt is based on market quotation from third-party banks. The carrying amount of the Company’s other debt is not deemed to be significantly different from the fair value and all other instruments have been recorded at fair value.

The carrying amount of cash, cash equivalents and restricted cash, accounts receivable, accounts payable and accrued expenses approximates fair value due to the short maturity of these instruments and as such has been excluded from the table above.