v3.25.2
PENSION AND POSTRETIREMENT BENEFITS (Tables)
 12 Months Ended
Dec. 28, 2024
Retirement Benefits [Abstract]  
Schedule of Net Benefit Costs
The following table summarizes the allocated expenses that were allocated to the company's Plans prior to the Spin-Off:
Type of plan20232022
Pension plans:
Direct planNet periodic benefit cost$1 $— 
Shared plans (multiemployer)Cost allocation - COGS & SGA5 11 
Shared plans (multiemployer)Cost allocation - OIE10 27 
Nonpension postretirement plans:
Direct planNet periodic benefit income(6)(4)
Shared plans (multiemployer)Cost allocation - COGS & SGA3 8 
Shared plans (multiemployer)Cost allocation - OIE(65)70 
Total pension and nonpension postretirement (income)/expense$(52)$112 
All other components of net periodic benefit expense (income) are included in OIE.
Pension BenefitsPostretirement Benefits
(millions)202420232022202420232022
Service cost$8 $2 $— $4 $1 $— 
Interest cost29 8 — 24 6 — 
Expected return on plan assets(35)(9)— (60)(14)— 
Amortization of unrecognized prior service cost2 1 — (8)(2)— 
Recognized (gain) loss, net12 4 — (5)
Curtailment (gain) loss, net3 — — — — — 
Net periodic benefit expense (income)$19 $6 $— $(40)$(14)$— 
Schedule of Defined Benefit Plans Disclosures
The aggregate change in projected benefit obligation, plan assets, and funded status is presented in the following tables:
Pension BenefitsPostretirement Benefits
(millions)2024202320242023
Change in projected benefit obligation
Beginning of year$605 $— $493 $16 
Service cost8 2 4 1 
Interest cost29 8 24 6 
Actuarial (gain)loss(19)21 (24)6 
Benefits paid, net of reimbursements (a)(51)(12)(48)(10)
Spin-Off impacts— 586 — 474 
End of year$572 $605 $449 $493 
Change in plan assets
Fair value beginning of year$470 $— $773 $— 
Actual return on plan assets5 26 36 26 
Employer contributions24 — — — 
Benefits paid(51)(12)(64)(10)
Spin-Off impacts— 456 — 757 
Fair value end of year$448 $470 $745 $773 
Funded (unfunded) status$(124)$(135)$296 $280 
(a) Benefits paid for postretirement plans include rebates and other anticipated subsidies from plan vendors.
The aggregate change in accumulated postemployment benefit obligation and the net amount recognized were:
(millions)20242023
Change in accumulated benefit obligation
Beginning of year$9 $— 
Spin-Off impacts— 9 
Service cost1 — 
Interest cost— — 
Actuarial (gain)loss2 — 
Benefits paid(1)— 
End of year$11 $9 
Amounts recognized in the Consolidated Balance Sheet consist of
Other current liabilities$1 $1 
Other liabilities10 8 
Net amount recognized$11 $9 
Amounts recognized in accumulated other comprehensive income consist of
Net experience gain2 4 
Net amount recognized$2 $4 
Schedule of Amounts Recognized in Balance Sheet
Amounts recognized in the consolidated balance sheet consist of:
Pension BenefitsPostretirement Benefits
(millions)2024202320242023
Postretirement plan assets$— $— $301 $283 
Pension liability(124)(135)— — 
Other liabilities— — (5)(3)
Net amount recognized$(124)$(135)$296 $280 
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss)
Amounts recognized in accumulated other comprehensive income consist of:
Pension BenefitsPostretirement Benefits
(millions)2024202320242023
Prior service cost$9 $15 $(13)$(20)
Net amount recognized$9 $15 $(13)$(20)
Schedule of Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets Information for pension and postretirement plans with accumulated benefit obligations in excess of plan assets and projected benefit obligations in excess of plan assets were:
Pension BenefitsPostretirement Benefits
(millions)2024202320242023
Projected benefit obligation$572 $605 n/an/a
Accumulated benefit obligation$572 $605 n/an/a
Fair value of plan assets$448 $470 n/an/a
Schedule of Defined Benefit Plan, Assumptions
The weighted-average actuarial assumptions used to determine benefit obligations were:
Pension BenefitsPostretirement Benefits
202420232022202420232022
Discount rate5.7 %5.2 %— %5.6 %5.2 %5.2 %
Long-term rate of compensation increase6.0 %6.0 %— %n/an/an/a
The weighted-average actuarial assumptions used to determine annual net periodic benefit cost were:
Pension BenefitsPostretirement Benefits
202420232022202420232022
Discount rate5.2 %5.6 %— %5.1 %5.4 %2.9 %
Discount rate - interest5.1 %5.6 %— %5.0 %5.4 %— %
Long-term rate of compensation increase6.0 %6.0 %— %n/an/an/a
Long-term rate of return on plan assets7.8 %7.8 %n/a8.0 %8.0 %— %
Schedule of Allocation of Plan Assets
The fair value of Plan assets as of December 28, 2024 and December 30, 2023 within the fair value hierarchy are as follows:
Pension BenefitsPostretirement Benefits
(millions)Fair Value Hierarchy Level2024202320242023
Cash and cash equivalents (a)1, 2$22 $60 $11 $120 
Corporate stock, common1— — 25 21 
Bonds, corporate278 86 136 141 
Bonds, government240 49 83 88 
Bonds, other25 6 8 9 
Sub-total$145 $201 $263 $379 
Investments measured at net asset value (NAV) practical expedient (b)303 $269 482 $394 
Total plan assets$448 $470 $745 $773 
(a) Cash and cash equivalents related to pension and postretirement benefits are all classified as Level 2 assets in 2024. Cash and cash equivalents related to pension benefits includes Level 1 assets of $(1) million and Level 2 assets of $61 million for 2023. Cash and cash equivalents related to postretirement benefits includes Level 1 assets of $0 million and Level 2 assets of $120 million for 2023.
(b) Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
The current weighted-average target asset allocation reflected by this strategy is:
Pension BenefitsPostretirement Benefits
Equity securities43 %44 %
Debt securities43 %42 %
Real estate and other14 %14 %
Schedule of Expected Benefit Payments
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid:
(millions)PensionPostretirement
2025$50 $35 
202651 35 
202751 36 
202850 36 
202949 36 
2030-2034226 178 
Benefit payments
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid:
(millions)
2025$1 
20262 
20272 
20281 
20291 
2030-20346