| Schedule of Related Party Transactions |
Pilgrim’s has been and, in some cases, continues to be a party to certain transactions with affiliated companies. | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | | June 28, 2026 | | June 29, 2025 | | June 28, 2026 | | June 29, 2025 | | | (In thousands) | | Sales to related parties | | | | | | | | | JBS Toledo N.V. | $ | 12,076 | | | $ | 10,530 | | | $ | 23,422 | | | $ | 20,645 | | JBS USA Food Company(a) | 12,845 | | | 4,963 | | | 20,532 | | | 9,781 | | | Other related parties | 3,166 | | | 1,447 | | | 5,729 | | | 1,740 | | | Total | $ | 28,087 | | | $ | 16,940 | | | $ | 49,683 | | | $ | 32,166 | |
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | June 28, 2026 | | June 29, 2025 | | June 28, 2026 | | June 29, 2025 | | (In thousands) | | Cost of goods purchased from related parties | | | | | | | | JBS USA Food Company(a) | $ | 40,756 | | | $ | 37,024 | | | $ | 77,888 | | | $ | 73,516 | | | Seara Meats B.V. | 17,121 | | | 10,662 | | | 29,193 | | | 37,322 | | | Penasul UK LTD | 8,312 | | | 10,417 | | | 16,295 | | | 20,075 | | | JBS Asia Co Limited | 4,256 | | | 1,667 | | | 9,581 | | | 3,935 | | | JBS Toledo N.V. | 4,822 | | | — | | | 4,822 | | | — | | | Other related parties | 1,819 | | | 324 | | | 4,130 | | | 1,035 | | | Total | $ | 77,086 | | | $ | 60,094 | | | $ | 141,910 | | | $ | 135,883 | |
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | June 28, 2026 | | June 29, 2025 | | June 28, 2026 | | June 29, 2025 | | (In thousands) | | Expenditures paid by related parties | | | | | | | | JBS USA Food Company(b) | $ | 36,716 | | | $ | 167,291 | | | $ | 63,903 | | | $ | 185,381 | | | Total | $ | 36,716 | | | $ | 167,291 | | | $ | 63,903 | | | $ | 185,381 | |
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | June 28, 2026 | | June 29, 2025 | | June 28, 2026 | | June 29, 2025 | | (In thousands) | | Expenditures paid on behalf of related parties | | | | | | | | JBS USA Food Company(b) | $ | 3,241 | | | $ | 2,299 | | | $ | 8,536 | | | $ | 6,817 | | | Total | $ | 3,241 | | | $ | 2,299 | | | $ | 8,536 | | | $ | 6,817 | |
| | | | | | | | | | | | | June 28, 2026 | | December 28, 2025 | | (In thousands) | | Accounts receivable from related parties | | | | | JBS Toledo N.V. | $ | 22,030 | | | $ | 10,486 | | JBS USA Food Company(a)(b) | 4,646 | | | 1,629 | | | JBS Chile Ltda. | 296 | | | — | | | Other related parties | 1,247 | | | 1,283 | | | Total | $ | 28,219 | | | $ | 13,398 | |
| | | | | | | | | | | | | June 28, 2026 | | December 28, 2025 | | (In thousands) | | Accounts payable to related parties | | | | | Seara Meats B.V. | $ | 9,800 | | | $ | 26,686 | | JBS USA Food Company(a) | 7,548 | | | 8,346 | | | JBS Asia Co Limited | 5,514 | | | — | | | Penasul UK LTD | 4,729 | | | 1,156 | | | JBS Toledo N.V. | 1,674 | | | — | | | Other related parties | 1,326 | | | 7,328 | | | Total | $ | 30,591 | | | $ | 43,516 | |
(a)The Company routinely executes transactions to both purchase products from JBS USA Food Company (“JBS USA”) and sell products to them. As of June 28, 2026, goods purchased and in transit from JBS USA were immaterial and not reflected on our Condensed Consolidated Balance Sheets. (b)The Company has an agreement with JBS USA to allocate costs associated with JBS USA’s procurement of SAP licenses and maintenance services for both companies. Under this agreement, the fees associated with procuring SAP licenses and maintenance services are allocated between the Company and JBS USA in proportion to the percentage of licenses used by each company. The agreement expires on the date of expiration, or earlier termination, of the underlying SAP license agreement. The Company also has an agreement with JBS USA to allocate the costs of supporting the business operations by one consolidated corporate team, which have historically been supported by their respective corporate teams. Expenditures paid by JBS USA on behalf of the Company will be reimbursed by the Company and expenditures paid by the Company on behalf of JBS USA will be reimbursed by JBS USA. The current agreement expires on the earlier of either termination by either party or until the occurrence of any mechanism where JBS USA becomes 100% owner of PPC. The Company also has the Tax Sharing Agreement with JBS USA that governs the allocation, payment, and reimbursement obligations of U.S. income tax liabilities and assets among the Company and its relevant U.S. corporate subsidiaries.
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