v3.25.2
Postretirement Plans
 6 Months Ended
Jul. 12, 2025
Retirement Benefits [Abstract]  
Postretirement Plans

19. POSTRETIREMENT PLANS

The following summarizes the company’s Condensed Consolidated Balance Sheets related pension and other postretirement benefit plan accounts at July 12, 2025 compared to accounts at December 28, 2024 (amounts in thousands):

 

 

 

July 12, 2025

 

 

December 28, 2024

 

Noncurrent benefit asset

 

$

6,702

 

 

$

6,869

 

Current benefit liability

 

$

703

 

 

$

703

 

Noncurrent benefit liability

 

$

5,211

 

 

$

5,511

 

AOCI, net of tax

 

$

(417

)

 

$

(257

)

 

Defined Benefit Plans and Nonqualified Plan

The company sponsors two pension plans, the Flowers Foods, Inc. Retirement Plan No. 2, and the Tasty Baking Company Supplemental Executive Retirement Plan (“Tasty SERP”). The Tasty SERP is frozen and has only retirees and beneficiaries remaining in the plan.

The company used a measurement date of December 31, 2024 for the defined benefit and postretirement benefit plans described below.

There were no contributions made by the company to any plan during the twenty-eight weeks ended July 12, 2025 and July 13, 2024.

The net periodic pension cost for the company’s plans include the following components (amounts in thousands):

 

 

 

For the Twelve Weeks Ended

 

 

For the Twenty-Eight Weeks Ended

 

 

 

July 12, 2025

 

 

July 13, 2024

 

 

July 12, 2025

 

 

July 13, 2024

 

Service cost

 

$

140

 

 

$

168

 

 

$

327

 

 

$

392

 

Interest cost

 

 

268

 

 

 

272

 

 

 

625

 

 

 

634

 

Expected return on plan assets

 

 

(318

)

 

 

(370

)

 

 

(743

)

 

 

(864

)

Amortization of prior service cost

 

 

6

 

 

 

13

 

 

 

14

 

 

 

31

 

Amortization of net loss

 

 

—

 

 

 

10

 

 

 

—

 

 

 

23

 

Total net periodic pension cost

 

$

96

 

 

$

93

 

 

$

223

 

 

$

216

 

 

The components of total net periodic benefit cost other than the service cost are included in the other components of net periodic pension and postretirement benefit plans credit line item on our Condensed Consolidated Statements of Income.

Postretirement Benefit Plan

The company provides certain health care and life insurance benefits for eligible retired employees covered under the active medical plans. The plan incorporates an up-front deductible, coinsurance payments and retiree contributions at various premium levels. Eligibility and maximum period of coverage is based on age and length of service.

401(k) Retirement Savings Plan

The Flowers Foods, Inc. 401(k) Retirement Savings Plan covers substantially all the company’s employees who have completed certain service requirements. The total cost and employer contributions were as follows (amounts in thousands):

 

 

 

For the Twelve Weeks Ended

 

 

For the Twenty-Eight Weeks Ended

 

 

 

July 12, 2025

 

 

July 13, 2024

 

 

July 12, 2025

 

 

July 13, 2024

 

Total cost and employer contributions

 

$

8,484

 

 

$

7,597

 

 

$

19,261

 

 

$

18,117

 

 

Multi-employer Pension Plan

On July 19, 2022, the company announced the closure of the Holsum Bakery in Phoenix, Arizona. The bakery produced bread and bun products and ceased production on October 31, 2022. As a result, the union participants of the IAM National Pension Fund (the “IAM Fund”) at the Phoenix bakery will withdraw from the IAM Fund. During the third quarter of Fiscal 2022, the company recorded a liability of $1.3 million for the withdrawal from the IAM Fund. During the first quarter of Fiscal 2024, the company paid $1.4 million for the withdrawal and recorded additional expense of $0.1 million which is included in the selling, distribution and administrative expenses line item of our Condensed Consolidated Statements of Income. The additional withdrawal liability period ended on July 19, 2025, and no additional costs were incurred.